Document:

Exhiit
10.2

EXECUTION
COPY

GOLDMAN SACHS & CO. | 85 BROAD STREET | NEW
YORK, NEW YORK 10004 | TEL:  212-902-1000

Opening Transaction

	
  To:

  	
   

  	
  Best Buy Co., Inc. 

  
	
   

  	
   

  	
  7601 Penn Avenue South 

  Richfield, MN 55423 

  Attention: Ryan Robinson

  
	
   

  	
   

  	
   

  
	
  A/C:

  	
   

  	
  028676435

  
	
   

  	
   

  	
   

  
	
  From:

  	
   

  	
  Goldman, Sachs & Co.

  
	
   

  	
   

  	
   

  
	
  Re:

  	
   

  	
  Uncollared Accelerated Stock Buyback

  
	
   

  	
   

  	
   

  
	
  Ref. No:

  	
   

  	
  As provided in the Supplemental Confirmation

  
	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
  June 26, 2007

  

 

This master confirmation (this “Master Confirmation”),
dated as of June 26, 2007 is intended to set forth certain terms and provisions
of certain Transactions (each, a “Transaction”)
entered into from time to time between Goldman, Sachs & Co. (“GS&Co.”) and Best Buy Co., Inc. (“Counterparty”).  This Master Confirmation, taken alone, is
neither a commitment by either party to enter into any Transaction nor evidence
of a Transaction.  The additional terms
of any particular Transaction shall be set forth in a Supplemental Confirmation
in the form of Schedule A hereto (a “Supplemental Confirmation”),
which shall reference this Master Confirmation and supplement, form a part of,
and be subject to this Master Confirmation. 
This Master Confirmation and each Supplemental Confirmation together
shall constitute a “Confirmation” as referred to in the Agreement specified
below.

The definitions and provisions contained in the 2002 ISDA Equity
Derivatives Definitions (the “Equity Definitions”),
as published by the International Swaps and Derivatives Association, Inc., are
incorporated into this Master Confirmation. 
This Master Confirmation and each Supplemental Confirmation evidence a
complete binding agreement between Counterparty and GS&Co. as to the
subject matter and terms of each Transaction to which this Master Confirmation
and such Supplemental Confirmation relate and shall supersede all prior or
contemporaneous written or oral communications with respect thereto.

This Master Confirmation and each Supplemental Confirmation supplement,
form a part of, and are subject to an agreement in the form of the 1992 ISDA
Master Agreement (Multicurrency-Cross Border) (the “Agreement”)
as if GS&Co. and Counterparty had executed the Agreement on the date of
this Master Confirmation (but without any Schedule except for (i) the
election of Loss and Second Method for purposes of Section 6(e) of the
Agreement, New York law (without regard to the conflicts of law principles) as
the governing law and US Dollars (“USD”) as the Termination Currency,
(ii) the election that subparagraph (ii) of Section 2(c) will
not apply to the Transactions, (iii) the election that the “Cross Default”
provisions of Section 5(a)(vi) shall apply to Counterparty, with a “Threshold
Amount” of USD100 million).

The Transactions shall be the sole Transactions under the Agreement.  If there exists any ISDA Master Agreement
between GS&Co. and Counterparty or any confirmation or other agreement
between GS&Co. and Counterparty pursuant to which an ISDA Master Agreement
is deemed to exist between GS&Co. and Counterparty, then notwithstanding
anything to the contrary in such ISDA Master Agreement, such confirmation or
agreement or any other agreement to which GS&Co. and Counterparty are
parties, the Transactions shall not be considered Transactions under, or
otherwise governed by, such existing or deemed ISDA Master Agreement.

All provisions contained or incorporated by reference in the Agreement
shall govern this Master Confirmation and each Supplemental Confirmation except
as expressly modified herein or in the related Supplemental Confirmation.

If, in relation to any Transaction to which this Master Confirmation
and a Supplemental Confirmation relate, there is any inconsistency between the
Agreement, this Master Confirmation, any Supplemental Confirmation and the
Equity Definitions, the following will prevail for purposes of such Transaction
in the order of precedence indicated: (i) such Supplemental Confirmation;
(ii) this Master Confirmation; (iii) the Agreement; and (iv) the
Equity Definitions.

1.             Subject to the terms
and conditions of this Master Confirmation and the relevant Supplemental
Confirmation, on the Initial Share Delivery Date (as defined below), GS&Co.
shall deliver to Counterparty a number of Shares equal to the Initial Shares
for the relevant Transaction pursuant to Initial Share Delivery below, and
Counterparty shall pay to GS&Co. cash in immediately available funds in an
amount equal to the Prepayment Amount (as defined below). The additional terms
of each Transaction set forth below are intended to be an adjustment to the
Prepayment Amount. Solely for purposes of the Equity Definitions, each
Transaction shall be treated as if it were a Share Forward Transaction.  However, the parties acknowledge that the
Transaction is a Share buyback transaction and is not intended to effect a net
issuance of Shares or raise equity capital for Counterparty.  Set forth herein are the terms and conditions
which, together with the terms and conditions set forth in each Supplemental
Confirmation relating to any Transaction, shall govern such Transaction.

	
  General Terms:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Trade Date:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Buyer:

  	
   

  	
  Counterparty

  
	
   

  	
   

  	
   

  
	
  Seller:

  	
   

  	
  GS&Co.

  
	
   

  	
   

  	
   

  
	
  Shares:

  	
   

  	
  Common stock, par value $0.10 per share, of
  Counterparty (Ticker: BBY)

  
	
   

  	
   

  	
   

  
	
  Exchange:

  	
   

  	
  New York Stock Exchange

  
	
   

  	
   

  	
   

  
	
  Related
  Exchange(s):

  	
   

  	
  All Exchanges.

  
	
   

  	
   

  	
   

  
	
  Prepayment\Variable

  	
   

  	
   

  
	
  Obligation:

  	
   

  	
  Applicable

  
	
   

  	
   

  	
   

  
	
  Prepayment
  Amount:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Prepayment Date:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Valuation:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  VWAP Price:

  	
   

  	
  For any Exchange Business Day, as determined by the
  Calculation Agent based on the New York 10b-18 Volume Weighted Average Price
  per Share for the regular trading session (including any extensions thereof)
  of the Exchange on such Exchange Business Day (without regard to pre-open or
  after hours trading outside of such regular trading session for such Exchange
  Business Day), as published by Bloomberg at 4:15 p.m. New York time (or 15
  minutes following the end of any extension of the regular trading session) on
  such Exchange Business Day, on Bloomberg page “BBY.N <Equity> AQR_SEC” (or any successor thereto), or if
  such price is not so reported on such Exchange Business Day for any reason,
  as reasonably determined by the Calculation Agent. For purposes of
  calculating the VWAP Price, the Calculation Agent will include only those
  trades that are reported during the period of time during which Counterparty
  could purchase its own shares under Rule 10b-18(b)(2) and are 

  

 

 2
 

 

	
  

  	
   

  	
  effected pursuant to the conditions of Rule
  10b-18(b)(3), each under the Exchange Act (as defined herein) (such trades, “Rule 10b-18 eligible transactions”).

  
	
   

  	
   

  	
   

  
	
  Forward Price:

  	
   

  	
  The average of the VWAP Prices for the Exchange
  Business Days in the Calculation Period, subject to Valuation Disruption
  below.

  
	
   

  	
   

  	
   

  
	
  Forward Price

  	
   

  	
   

  
	
  Adjustment
  Amount:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Calculation
  Period:

  	
   

  	
  The period from and including the Valuation Period
  Start Date to and including the Termination Date.

  
	
   

  	
   

  	
   

  
	
  Valuation Period
  Start Date:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Termination
  Date:

  	
   

  	
  For each Transaction, the Scheduled Termination Date
  set forth in the related Supplemental Confirmation; provided that GS&Co.
  shall have the right to designate any Exchange Business Day on or after the
  First Acceleration Date to be the Termination Date (the “Accelerated Termination Date”)
  by delivering notice to Counterparty of such designation prior to 11:59 p.m.
  New York City time on such Exchange Business Day.

  
	
   

  	
   

  	
   

  
	
  First
  Acceleration Date:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Valuation
  Disruption:

  	
   

  	
  The definition of “Market Disruption Event” in
  Section 6.3(a) of the Equity Definitions is hereby amended by deleting the
  words “at any time during the one-hour period that ends at the relevant
  Valuation Time, Latest Exercise Time, Knock-in Valuation Time or Knock-out
  Valuation Time, as the case may be” and inserting the words “at any time on
  any Scheduled Trading Day during the Calculation Period or Settlement Valuation
  Period” after the word “material,” in the third line thereof.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Notwithstanding anything to the contrary in the
  Equity Definitions, to the extent that a Disrupted Day occurs (i) in the
  Calculation Period, the Calculation Agent may, in its good faith and
  commercially reasonable discretion, postpone either or both of the Valuation
  Period Start Date or the Scheduled Termination Date, or (ii) in the
  Settlement Valuation Period, the Calculation Agent may extend the Settlement
  Valuation Period. If any such Disrupted Day is a Disrupted Day because of a
  Market Disruption Event (or a deemed Market Disruption Event as provided
  herein), the Calculation Agent shall determine whether (i) such Disrupted Day
  is a Disrupted Day in full, in which case the VWAP Price for such Disrupted
  Day shall not be included for purposes of determining the Forward Price or
  the Settlement Price, as the case may be, or (ii) such Disrupted Day is a
  Disrupted Day only in part, in which case the VWAP Price for such Disrupted
  Day shall be determined by the Calculation Agent based on Rule 10b-18
  eligible transactions in the Shares on such Disrupted Day effected before the
  relevant Market Disruption Event occurred and/or after the relevant Market
  Disruption Event ended, and the weighting of the VWAP Price for the relevant
  Exchange Business Days during the Calculation Period or the Settlement
  Valuation Period, as the case may be, shall be adjusted in a commercially
  reasonable manner by the Calculation Agent for purposes of determining the
  Forward Price or the Settlement Price, as the case may be, with such
  adjustments based on, among other factors, the duration of any Market
  Disruption Event and the volume, historical trading patterns and price of the
  Shares.

  

 

 3
 

 

	
  

  	
   

  	
  If a Disrupted Day occurs during the Calculation
  Period or the Settlement Valuation Period, as the case may be, and each of
  the nine immediately following Scheduled Trading Days is a Disrupted Day,
  then the Calculation Agent, in its good faith and commercially reasonable
  discretion, may deem such ninth Scheduled Trading Day to be an Exchange
  Business Day that is not a Disrupted Day and determine the VWAP Price for
  such ninth Scheduled Trading Day using its good faith estimate of the value
  of the Shares on such ninth Scheduled Trading Day based on the volume,
  historical trading patterns and price of the Shares and such other factors as
  it deems appropriate.

  
	
   

  	
   

  	
   

  
	
  Settlement Terms:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Settlement
  Procedures:

  	
   

  	
  If the Number of Shares to be Delivered is positive,
  Physical Settlement shall be applicable. If the Number of Shares to be
  Delivered is negative, then the Counterparty Settlement Provisions in Annex A
  shall apply.

  
	
   

  	
   

  	
   

  
	
  Physical
  Settlement:

  	
   

  	
  Applicable to GS&Co.; provided
  that GS&Co. does not, and shall not, make the agreement or the
  representations set forth in Section 9.11 of the Equity Definitions related
  to the restrictions imposed by applicable securities laws with respect to any
  Shares delivered by GS&Co. to Counterparty under any Transaction.

  
	
   

  	
   

  	
   

  
	
  Number of Shares
  

  	
   

  	
   

  
	
  to be Delivered:

  	
   

  	
  A number of Shares equal to (x)(a) the Prepayment
  Amount divided by (b)(i) the Forward Price
  minus (ii) the Forward Price Adjustment Amount minus (y) the number of
  Initial Shares.

  
	
   

  	
   

  	
   

  
	
  Excess Dividend
  Amount:

  	
   

  	
  For the avoidance of doubt, all references to the
  Excess Dividend Amount shall be deleted from Section 9.2(a)(iii) of the
  Equity Definitions.

  
	
   

  	
   

  	
   

  
	
  Settlement Date:

  	
   

  	
  The date that is one Settlement Cycle immediately
  following the Termination Date.

  
	
   

  	
   

  	
   

  
	
  Settlement Currency:

  	
   

  	
  USD

  
	
   

  	
   

  	
   

  
	
  Initial Share
  Delivery:

  	
   

  	
  GS&Co. shall deliver a number of Shares equal to
  the Initial Shares to Counterparty on the Initial Share Delivery Date in
  accordance with Section 9.4 of the Equity Definitions, with the Initial Share
  Delivery Date deemed to be a “Settlement Date” for purposes of such Section
  9.4.

  
	
   

  	
   

  	
   

  
	
  Initial Share
  Delivery Date:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Initial Shares:

  	
   

  	
  For each Transaction, as set forth in the related
  Supplemental Confirmation.

  
	
   

  	
   

  	
   

  
	
  Share Adjustments:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Potential
  Adjustment Event:

  	
   

  	
  Notwithstanding anything to the contrary in Section
  11.2(e) of the Equity Definitions, an Extraordinary Dividend shall not
  constitute a Potential Adjustment Event.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  It shall constitute an additional Potential
  Adjustment Event if the Termination Date for any Transaction is postponed
  pursuant to “Valuation Disruption” above, in which case the Calculation Agent
  may, in its commercially reasonable discretion, adjust any relevant terms of
  the such Transaction as necessary to preserve as nearly as practicable the
  fair value of such Transaction to GS&Co. prior to such postponement.

  

 

 4
 

 

	
  Extraordinary Dividend:

  	
   

  	
  For any fiscal quarter of the Issuer occurring (in
  whole or in part) during the period from and including the Valuation Period
  Start Date to and including the Termination Date, any dividend or
  distribution on the Shares with an ex-dividend date occurring during such
  fiscal quarter (other than any dividend or distribution of the type described
  in Section 11.2(e)(i) or Section 11.2(e)(ii)(A) or (B) of the Equity
  Definitions) (a “Dividend”) the amount or
  value of which (as determined by the Calculation Agent), when aggregated with
  the amount or value (as determined by the Calculation Agent) of any and all
  previous Dividends with ex-dividend dates occurring in the same fiscal
  quarter, exceeds the Ordinary Dividend Amount. For the avoidance of doubt, it being understood that extraordinary
  and ordinary dividends shall only be
  authorized and declared by the Board of Directors of the Counterparty.

  
	
   

  	
   

  	
   

  
	
  Ordinary
  Dividend Amount:

  	
   

  	
  For each Transaction, as set forth in the
  Supplemental Confirmation

  
	
   

  	
   

  	
   

  
	
  Method of
  Adjustment:

  	
   

  	
  Calculation Agent Adjustment

  

 

Extraordinary Events:

Consequences of

Merger
Events:

	
  

  	
  (a)

  	
   

  	
  Share-for-Share:

  	
   

  	
  Modified Calculation Agent Adjustment

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
   

  	
  Share-for-Other:

  	
   

  	
  Cancellation and Payment

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (c)

  	
   

  	
  Share-for-Combined:

  	
   

  	
  Component Adjustment

  

 

	
  Tender Offer:

  	
   

  	
  Applicable; provided that
  Sections 12.3(a) and 12.3(d) of the Equity Definitions shall each be amended
  by replacing each occurrence of the words “Tender Offer Date” by
  “Announcement Date.”

  

 

Consequences
of

Tender Offers:

	
  

  	
  (a)

  	
  Share-for-Share:

  	
   

  	
  Modified Calculation Agent Adjustment or
  Cancellation and Payment, at the election of GS&Co.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
  Share-for-Other:

  	
   

  	
  Modified Calculation Agent Adjustment or
  Cancellation and Payment, at the election of GS&Co.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (c)

  	
  Share-for-Combined:

  	
   

  	
  Modified Calculation Agent Adjustment or
  Cancellation and Payment, at the election of GS&Co.

  

 

	
  Nationalization,

  Insolvency or Delisting:

  	
   

  	
  Cancellation and Payment; provided
  that in addition to the provisions of Section 12.6(a)(iii) of the Equity
  Definitions, it shall also constitute a Delisting if the Exchange is located
  in the United States and the Shares are not immediately re-listed, re-traded
  or re-quoted on any of the New York Stock Exchange, the American Stock
  Exchange, The NASDAQ Global Select Market or The NASDAQ Global Market (or
  their respective successors), and if the Shares are immediately re-listed,
  re-traded or re-quoted on any such exchange or quotation system, such
  exchange or quotation system shall be deemed to be the Exchange.

  

 5
 

 

	
  Additional Disruption Events:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (a)

  	
  Change in Law:

  	
   

  	
  Applicable

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (b)

  	
  Failure to Deliver:

  	
   

  	
  Applicable

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (c)

  	
  Insolvency Filing:

  	
   

  	
  Applicable

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  (d)

  	
  Loss of Stock Borrow:

  	
   

  	
  Applicable; provided that
  Sections 12.9(a)(vii) and 12.9(b)(iv) of the Equity Definitions are hereby
  amended by deleting the words “at a rate equal to or less than the Maximum
  Stock Loan Rate” and replacing them with “at a rate of return equal to or
  greater than zero”.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Hedging Party:

  	
   

  	
  GS&Co.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Determining Party:

  	
   

  	
  GS&Co.

  

 

	
  Additional Termination Event(s):

  	
   

  	
  Notwithstanding anything to the contrary in the
  Equity Definitions, if, as a result of an Extraordinary Event, any
  Transaction would be cancelled or terminated (whether in whole or in part)
  pursuant to Article 12 of the Equity Definitions, an Additional Termination
  Event (with such terminated Transaction(s) (or portions thereof) being the
  Affected Transaction(s) and Counterparty being the sole Affected Party) shall
  be deemed to occur, and, in lieu of Sections 12.7, 12.8 and 12.9 of the
  Equity Definitions, Section 6 of the Agreement shall apply to such Affected
  Transaction(s).

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  The declaration by the Issuer of any Extraordinary
  Dividend, the ex-dividend date for which occurs or is scheduled to occur
  during the Calculation Period, will constitute an Additional Termination
  Event, with Counterparty as the sole Affected Party and all Transactions
  hereunder as the Affected Transactions.

  
	
   

  	
   

  	
   

  
	
  Non-Reliance/Agreements and Acknowledgements
  Regarding Hedging Activities/Additional Acknowledgements:

  	
   

  	
  Applicable

  
	
   

  	
   

  	
   

  
	
  Transfer:

  	
   

  	
  Notwithstanding anything to the contrary in the
  Agreement, GS&Co. may assign, transfer and set over all rights, title and
  interest, powers, privileges and remedies of GS&Co. under any
  Transaction, in whole or in part, to an affiliate of GS&Co. whose
  obligations are guaranteed by The Goldman Sachs Group, Inc. without the
  consent of Counterparty.

  
	
   

  	
   

  	
   

  
	
  GS&Co. Payment Instructions:

  	
   

  	
  Chase Manhattan Bank New York

  	
   

  	
   

  
	
   

  	
   

  	
  For A/C Goldman, Sachs & Co.

  	
   

  	
   

  
	
   

  	
   

  	
  A/C # 930-1-011483

  	
   

  	
   

  
	
   

  	
   

  	
  ABA: 021-000021

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Counterparty’s Contact Details

  	
   

  	
   

  	
   

  	
   

  
	
  for Purpose of Giving Notice:

  	
   

  	
  Best Buy Co., Inc.

  	
   

  	
   

  
	
   

  	
   

  	
  7601 Penn Avenue South

  	
   

  	
   

  
	
   

  	
   

  	
  Richfield, MN 55423

  	
   

  	
   

  
	
   

  	
   

  	
  Attention: Director, Treasury

  	
   

  	
   

  
	
   

  	
   

  	
  Telephone No.: (612) 291-9274

  	
   

  	
   

  
	
   

  	
   

  	
  Facsimile No.: (952) 430-6389

  	
   

  	
   

  

 

 6
 

 

	
  

  	
   

  	
  With a copy to:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Latham & Watkins LLP

  
	
   

  	
   

  	
  885 Third Avenue

  
	
   

  	
   

  	
  New York, New York 10022

  
	
   

  	
   

  	
  Attention: Carlos Alvarez, Esq.

  
	
   

  	
   

  	
   

  
	
  GS&Co.’s Contact Details for

  	
   

  	
   

  	
   

  	
   

  
	
  Purpose of Giving Notice:

  	
   

  	
  Telephone No.:

  	
   

  	
  (212) 902-8996

  
	
   

  	
   

  	
  Facsimile No.:

  	
   

  	
  (212) 902-0112

  
	
   

  	
   

  	
  Attention: Equity Operations: Options and
  Derivatives

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  With a copy to:

  
	
   

  	
   

  	
  Tracey McCabe

  
	
   

  	
   

  	
  Equity Capital Markets

  
	
   

  	
   

  	
  One New York Plaza

  
	
   

  	
   

  	
  New York, NY 10004

  
	
   

  	
   

  	
  Telephone No.:

  	
   

  	
  (212) 357-0428

  
	
   

  	
   

  	
  Facsimile No.:

  	
   

  	
  (212) 902-3000

  

 

2.             Calculation Agent.                                               GS&Co.

3.             Additional Mutual
Representations, Warranties and Covenants of GS&Co. and Counterparty.  In addition to the representations,
warranties and covenants in the Agreement, each party represents, warrants and
covenants to the other party that:

(i)    Eligible Contract Participant.  It is an “eligible contract participant”, as
defined in the U.S. Commodity Exchange Act (as amended), and is entering into
each Transaction hereunder as principal (and not as agent or in any other
capacity, fiduciary or otherwise) and not for the benefit of any third party.

(ii)   Accredited Investor.  Each party acknowledges that the offer and
sale of each Transaction to it is intended to be exempt from registration under
the Securities Act of 1933, as amended (the “Securities
Act”), by virtue of Section 4(2) thereof and the provisions of Regulation
D promulgated thereunder (“Regulation D”).  Accordingly, each party represents and
warrants to the other that (i) it has the financial ability to bear the
economic risk of its investment in each Transaction and is able to bear a total
loss of its investment, (ii) it is an “accredited investor” as that term
is defined under Regulation D and (iii) the disposition of each Transaction is
restricted under this Master Confirmation, the Securities Act and state
securities laws.

4.             Additional
Representations, Warranties and Covenants of Counterparty.  In addition to the representations,
warranties and covenants in the Agreement, Counterparty represents, warrants
and covenants to GS&Co. that:

(a)           It
is not entering into any Transaction (i) on the basis of, and is not aware of,
any material non-public information with respect to the Shares (ii) in
anticipation of, in connection with, or to facilitate, a distribution of its
securities, a self tender offer or a third-party tender offer or (iii) to
create actual or apparent trading activity in the Shares (or any security
convertible into or exchangeable for the Shares) or to raise or depress or
otherwise manipulate the price of the Shares (or any security convertible into
or exchangeable for the Shares), in each case for the purpose of inducing the
purchase or sale of the Shares by others.

(b)           Each
Transaction is being entered into pursuant to a publicly disclosed Share
buy-back program and its Board of Directors has approved the use of derivatives
to effect the Share buy-back program.

(c)           Counterparty
intends that each Transaction qualifies as an equity instrument for purposes of
EITF Issue No. 00-19 as in effect on the Trade Date.  Notwithstanding the foregoing and without
limiting the generality of Section 13.1 of the Equity Definitions, it
acknowledges that neither GS&Co. nor any of its affiliates is making any
representations or warranties or taking any position or expressing any view
with respect to the treatment of any Transaction under any accounting standards
including FASB Statements 128, 133 as amended, or 149, 150, EITF 

 7
 

00-19, 01-6 or EITF 03-6 (or any successor issue statements) or under
the Financial Accounting Standards Board’s Liabilities & Equity Project.

(d)           As
of (i) the date hereof and (ii) the Trade Date for each Transaction hereunder,
Counterparty is in compliance with its reporting obligations under the
Securities Exchange Act of 1934, as amended (the “Exchange Act”)
and its most recent Annual Report on Form 10-K, together with all reports subsequently
filed by it pursuant to the Exchange Act, taken together and as amended and
supplemented to the date of this representation, do not, as of their respective
filing dates, contain any untrue statement of a material fact or omit to state
any material fact required to be stated therein or necessary to make the
statements therein, in the light of the circumstances under which they were
made, not misleading;

(e)           Counterparty is aware of its reporting obligations under Regulation S-K
and/or Regulation S-B under the Exchange Act, as applicable, in respect of the
Transaction.

(f)            The
shares are not, and Counterparty will not cause the Shares to be, subject to a “restricted
period” (as defined in Regulation M promulgated under the Exchange Act) at any
time during any Regulation M Period (as defined below) for any Transaction
unless Counterparty has provided written notice to GS&Co. of such
restricted period not later than the Scheduled Trading Day immediately
preceding the first day of such “restricted period”; Counterparty acknowledges
that any such notice may cause a Disrupted Day to occur pursuant to Section 5
below; accordingly, Counterparty acknowledges that its delivery of such notice
must comply with the standards set forth in Section 6 below; “Regulation M Period” means, for any Transaction, the period
commencing on the Valuation Period Start Date for such Transaction and ending
on the last day of the Relevant Period (as defined below) for such Transaction,
or such earlier day as elected by GS&Co. and communicated to Counterparty
on such day. “Relevant Period”
means, for any Transaction, the period commencing on the first day of the
Calculation Period for such Transaction and ending on the last Additional
Relevant Day (as specified in the related Supplemental Confirmation) for such
Transaction (or, if later, the First Acceleration Date without regard to any
acceleration thereof pursuant to “Special Provisions Relating to Friendly
Transaction Announcements” below), or such earlier day as elected by GS&Co.
and communicated to Counterparty on such day.

(g)           As
of the Trade Date, the Prepayment Date, the Initial Share Delivery Date, the
Settlement Date and the Second Settlement Date, if any, for each Transaction,
Counterparty is not “insolvent” (as such term is defined under Section 101(32)
of the U.S. Bankruptcy Code (Title 11 of the United States Code) (the “Bankruptcy Code”)) and Counterparty would be able to
purchase a number of Shares with a value equal to the Prepayment Amount in
compliance with the laws of the jurisdiction of Counterparty’s incorporation.

(h)           Counterparty
is not and, after giving effect to any Transaction, will not be, required to
register as an “investment company” as such term is defined in the Investment
Company Act of 1940, as amended.

(i)            Counterparty
will not take any action that would limit or in any way adversely affect
GS&Co.’s rights under the Agreement, this Master Confirmation or any
Supplemental Confirmation.

(j)            With
the exception of any Collared Accelerated Stock Buyback transaction evidenced
by the other confirmation dated June 26, 2007 between Counterparty and
GS&Co. and any supplemental confirmations thereto Counterparty has not and,
during the Relevant Period or, if applicable, the Settlement Valuation Period for
any Transaction, will not enter into agreements similar to the Transactions
described herein where any initial hedge period, calculation period, relevant
period or settlement valuation period (each however defined) in such other
transaction will overlap at any time (including as a result of extensions in
such initial hedge period, calculation period, relevant period or settlement
valuation period as provided in the relevant agreements) with any Relevant
Period or, if applicable, any Settlement Valuation Period under this Master
Confirmation.  In the event that the
initial hedge period, relevant period, calculation period or settlement
valuation period in any other similar transaction overlaps with any Relevant
Period or, if applicable, Settlement Valuation Period under this Master
Confirmation as a result of any postponement of the Termination Date or
extension of the Settlement Valuation Period pursuant to Valuation Disruption
above, Counterparty shall promptly amend such transaction to avoid any such
overlap.

 8
 

5.             Regulatory
Disruption.  In the event that
GS&Co. concludes, in its reasonable discretion, that it is appropriate with
respect to any legal, regulatory or self-regulatory requirements or related
policies and procedures (whether or not such requirements, policies or
procedures are imposed by law or have been voluntarily adopted by GS&Co.),
for it to refrain from purchasing Shares on any Scheduled Trading Day during
the Calculation Period or, if applicable, the Settlement Valuation Period,
GS&Co. may by written notice to Counterparty elect to deem that a Market
Disruption Event has occurred on such Scheduled Trading Day.  The notice shall not specify, and GS&Co.
shall not otherwise communicate to Counterparty, the reason for GS&Co.’s
election.

6.             10b5-1 Plan.  Counterparty represents,
warrants and covenants to GS&Co. that:

(a)           Counterparty is entering into this Master
Confirmation and each Transaction hereunder in good faith and not as part of a
plan or scheme to evade the prohibitions of Rule 10b5-1 under the Exchange Act
(“Rule 10b5-1”) or any other antifraud or
anti-manipulation provisions of the federal or applicable state securities laws
and that it has not entered into or altered and will not enter into or alter
any corresponding or hedging transaction or position with respect to the
Shares.  Counterparty acknowledges that
it is the intent of the parties that each Transaction entered into under this
Master Confirmation comply with the requirements of paragraphs (c)(1)(i)(A) and
(B) of Rule 10b5-1 and each Transaction entered into under this Master
Confirmation shall be interpreted to comply with the requirements of Rule
10b5-1(c).

(b)           Counterparty will not seek to control or
influence GS&Co.’s decision to make any “purchases or sales” (within the
meaning of Rule 10b5-1(c)(1)(i)(B)(3)) under any Transaction entered into under
this Master Confirmation, including, without limitation, GS&Co.’s decision
to enter into any hedging transactions.

(c)           Counterparty
acknowledges and agrees that any amendment, modification, waiver or termination
of this Master Confirmation or the relevant Supplemental Confirmation must be
effected in accordance with the requirements for the amendment or termination
of a “plan” as defined in Rule 10b5-1(c).

7.             Counterparty Purchases.

Counterparty (or any “affiliated
purchaser” as defined in Rule 10b-18 under the Exchange Act (“Rule 10b-18”)) shall not, without the prior written consent
of GS&Co., directly or indirectly purchase any Shares (including by means
of a derivative instrument), listed contracts on the Shares or securities that
are convertible into, or exchangeable or exercisable for Shares (including,
without limitation, any Rule 10b-18 purchases of blocks (as defined in Rule
10b-18)) during any Relevant Period or, if applicable, Settlement Valuation
Period, except through GS&Co.; provided that purchases effected by
or for an issuer plan by an agent independent of the issuer within the meaning
of Rule 10b-18(a)(13)(ii) shall not be subject to this Section 7.

8.             Special Provisions
for Merger Transactions. 
Notwithstanding anything to the contrary herein or in the Equity
Definitions:

(a)           Counterparty agrees that
it:

(i)            will not during the
period commencing on the Trade Date through the end of the Relevant Period for
any Transaction make, or permit to be made, any public announcement (as defined
in Rule 165(f) under the Securities Act) of any Merger Transaction or potential
Merger Transaction unless such public announcement is made prior to the opening
or after the close of the regular trading session on the Exchange for the
Shares;

(ii)           shall promptly (but in
any event prior to the next opening of the regular trading session on the
Exchange) notify GS&Co. following any such announcement that such
announcement has been made; and

(iii)          shall
promptly (but in any event prior to the next opening of the regular trading
session on the Exchange) provide GS&Co. with written notice specifying (i)
Counterparty’s average daily Rule 10b-18 Purchases (as defined in Rule 10b-18)
during the three full calendar months immediately preceding the announcement
date that were not effected through GS&Co. or its affiliates and (ii) the
number of Shares purchased pursuant to the proviso in Rule 10b-18(b)(4) under
the Exchange Act for the three full calendar months preceding the announcement
date.

 9
 

Such written
notice shall be deemed to be a certification by Counterparty to GS&Co. that
such information is true and correct.  In
addition, Counterparty shall promptly notify GS&Co. of the earlier to occur
of the completion of such transaction and the completion of the vote by target
shareholders.  Counterparty acknowledges
that any such notice may cause the terms of any Transaction to be adjusted or
such Transaction to be terminated; accordingly, Counterparty acknowledges that
its delivery of such notice must comply with the standards set forth in Section
7 above.

(b)           In
connection with any Merger Transaction, GS&Co. in its reasonable discretion
may (i) suspend the Calculation Period and/or the Relevant Period and postpone
the Termination Date and make related adjustments as though such event were a
Potential Adjustment Event or (ii) treat the occurrence of such public
announcement as an Additional Termination Event with Counterparty as the sole
Affected Party and the Transactions hereunder as the Affected Transactions.

“Merger
Transaction” means any merger, acquisition or similar transaction
involving a recapitalization as contemplated by Rule 10b-18(a)(13)(iv) under
the Exchange Act.

9.             Special Provisions
for Friendly Transaction Announcements.

(a)           If a Friendly
Transaction Announcement occurs after the Trade Date, but prior to the First
Acceleration Date of any Transaction, the First Acceleration Date shall be the
date of such Friendly Transaction Announcement.

(b)           “Friendly Transaction Announcement” means
(i) an Acquisition Transaction Announcement by Counterparty or its board of
directors prior to the last day of the Relevant Period or any earlier date of
termination or cancellation of the relevant Transaction pursuant to Section 6
of the Agreement or Article 12 of the Equity Definitions (such date, the “Actual Termination Date”), (ii) an
announcement prior to the date three months following the Scheduled Termination
Date that an Acquisition Transaction that is the subject of an Acquisition
Transaction Announcement occurring prior to the Actual Termination Date has
been approved, agreed to, recommended by or otherwise consented to by
Counterparty or its board of directors, or negotiated by Counterparty or any
authorized representative of Counterparty, or (iii) where Counterparty or its
board of directors has a legal obligation to make a recommendation to its
shareholders in respect of any such Acquisition Transaction prior to the date
three months following the Scheduled Termination Date, the absence of a
recommendation that its shareholders reject such transaction.

“Acquisition Transaction
Announcement” means (i) the announcement of an Acquisition
Transaction, (ii) an announcement that Counterparty or any of its subsidiaries
has entered into an agreement, a letter of intent or an understanding designed
to result in an Acquisition Transaction, (iii) the announcement of the
intention to solicit or enter into, or to explore strategic alternatives or
other similar undertaking that may include, an Acquisition Transaction, or (iv)
any other announcement that in the reasonable judgment of the Calculation Agent
may result in an Acquisition Transaction. For the avoidance of doubt,
announcements as used in the definition of Acquisition Transaction Announcement
refer to any public announcement whether made by the Issuer or a third party.

“Acquisition Transaction”
means (i) any Merger Event (for purposes of this definition the definition of
Merger Event shall be read with the references therein to “100%” being replaced
by “15%” and to “50%” by “75%” and without reference to the clause beginning
immediately following the definition of Reverse Merger therein to the end of
such definition) or Tender Offer, or any other transaction involving the merger
of Counterparty with or into any third party, (ii) the sale or transfer of all
or substantially all of the assets of Counterparty, (iii) a recapitalization,
reclassification, binding share exchange or other similar transaction and (iv)
any transaction in which Counterparty or its board of directors has a legal
obligation to make a recommendation to its shareholders in respect of such
transaction (whether pursuant to Rule 14e-2 under the Exchange Act or
otherwise).

10.           Automatic Termination
Provisions.  Notwithstanding anything
to the contrary in Section 6 of the Agreement, if a Termination Price is
specified in one or more Supplemental Confirmations, then an Additional
Termination Event with Counterparty as the sole Affected Party and all
Transactions to which such Supplemental Confirmations relate as Affected
Transactions will automatically occur without any notice or action 

 10
 

by GS&Co. or
Counterparty if the price of the Shares on the Exchange at any time falls below
such Termination Price.  The Exchange
Business Day that the price of the Shares on the Exchange at any time falls
below the Termination Price will be the “Early Termination Date” for purposes
of the Agreement.

11.                                Acknowledgments.  (a) The parties hereto intend for:

(i)           each
Transaction to be a “securities contract” as defined in Section 741(7) of the
Bankruptcy Code, a “swap agreement” as defined in Section 101(53B) of the
Bankruptcy Code and a “forward contract” as defined in Section 101(25) of the
Bankruptcy Code, and the parties hereto to be entitled to the protections
afforded by, among other Sections, Sections 362(b)(6), 362(b)(17), 362(b)(27),
362(o), 546(e), 546(g), 546(j), 555, 556, 560 and 561 of the Bankruptcy Code;

(ii)          the
Agreement to be a “master netting agreement” as defined in Section 101(38A) of
the Bankruptcy Code;

(iii)         a
party’s right to liquidate, terminate or accelerate any Transaction, net out or
offset termination values or payment amounts, and to exercise any other
remedies upon the occurrence of any Event of Default or Termination Event under
the Agreement with respect to the other party or any Extraordinary Event that
results in the termination or cancellation of any Transaction to constitute a “contractual
right” (as defined in the Bankruptcy Code);

(iv)         any
cash, securities or other property transferred as performance assurance, credit
support or collateral with respect to each Transaction to constitute “margin
payments” (as defined in the Bankruptcy Code); and

(v)          all
payments for, under or in connection with each Transaction, all payments for
the Shares (including, for the avoidance of doubt, payment of the Prepayment
Amount) and the transfer of such Shares to constitute “settlement payments” and
“transfers” (as defined in the Bankruptcy Code).

(b)           Counterparty acknowledges that:

(i)           during the term of any Transaction,
GS&Co. and its affiliates may buy or sell Shares or other securities or buy
or sell options or futures contracts or enter into swaps or other derivative
securities in order to establish or adjust its hedge position with respect to
such Transaction;

(ii)          GS&Co. and its affiliates may also be
active in the market for the Shares other than in connection with hedging
activities in relation to any Transaction;

(iii)         GS&Co.
shall make its own determination as to whether, when or in what manner any
hedging or market activities in Counterparty’s securities shall be conducted
and shall do so in a manner that it deems appropriate to hedge its price and
market risk with respect to the Forward Price and the VWAP Price;

(iv)         any market activities of GS&Co. and
its affiliates with respect to the Shares may affect the market price and
volatility of the Shares, as well as the Forward Price and VWAP Price, each in
a manner that may be adverse to Counterparty; and

(v)          each Transaction is a derivatives
transaction in which it has granted GS&Co. an option;  GS&Co. may purchase shares for its own
account at an average price that may be greater than, or less than, the price
paid by Counterparty under the terms of the related Transaction.

(c)           Counterparty and GS&Co. agree that
neither Counterparty nor GS&Co., nor any of their respective affiliates,
intend to treat the payment of the Initial Purchase Price by Counterparty to
GS&Co. on the Prepayment Date with respect to any Transaction as a loan for
purposes of filing any U.S. federal, state, local or other tax return.

 11
 

(d)           GS&Co. represents and warrants to
Counterparty that (A) on the Trade Date, GS&Co. and its affiliates subject
to aggregation with GS&Co. for the purposes of the “beneficial ownership”
test under Section 13 of the Exchange Act do not “beneficially own” (within the
meaning of Section 13 under the Exchange Act and the rules promulgated
thereunder) a number of Shares in excess of 5% of the number of Shares
outstanding on the Trade Date (based on the total number of Shares outstanding
shown on Counterparty’s Annual Report on Form 10-K for the fiscal year ended
March 3, 2007) and (B) no delivery of Shares on any of the Prepayment Date, the
Initial Share Delivery Date, the Settlement Date or the Second Settlement Date,
if any, for any Transaction will constitute in excess of 5% of the number of
Shares outstanding on such date (based on the total number of Shares
outstanding shown on Counterparty’s most recent Annual Report on Form 10-K or
Quarterly Report on Form 10-Q).

12.           Credit Support
Documents.  The parties hereto
acknowledge that no Transaction hereunder is secured by any collateral that
would otherwise secure the obligations of Counterparty herein or pursuant to
the Agreement.

13.           Limitation on Set-off.  (a) The parties agree that upon the
occurrence of an Event of Default or Termination Event with respect to a party
who is the Defaulting Party or an Affected Party (“X”), the other party (“Y”) will have
the right (but not be obliged) without prior notice to X or any other person to
set-off or apply any obligation of X owed to Y (or any Affiliate of Y) (whether
or not matured or contingent and whether or not arising under the Agreement,
and regardless of the currency, place of payment or booking office of the
obligation) against any obligation of Y (or any Affiliate of Y) owed to X
(whether or not matured or contingent and whether or not arising under the
Agreement, and regardless of the currency, place of payment or booking office
of the obligation).  Y will give notice
to the other party of any set-off effected under this Section 13.

Amounts (or the relevant
portion of such amounts) subject to set-off may be converted by Y into the
Termination Currency at the rate of exchange at which such party would be able,
acting in a reasonable manner and in good faith, to purchase the relevant
amount of such currency.  If any
obligation is unascertained, Y may in good faith estimate that obligation and
set-off in respect of the estimate, subject to the relevant party accounting to
the other when the obligation is ascertained. 
Nothing in this Section 13 shall be effective to create a charge or
other security interest.  This Section 13
shall be without prejudice and in addition to any right of set-off, combination
of accounts, lien or other right to which any party is at any time otherwise
entitled (whether by operation of law, contract or otherwise).

(b)           Notwithstanding
anything to the contrary in the foregoing, GS&Co. agrees not to set off or
net amounts due from Counterparty with respect to any Transaction against
amounts due from GS&Co. to Counterparty with respect to contracts or
instruments that are not Equity Contracts. 
“Equity Contract” means any
transaction or instrument that does not convey rights to GS&Co. that are
senior to claims of common stockholders in the event of Counterparty’s
bankruptcy.

14.           Delivery of Shares.  Notwithstanding anything to the contrary
herein, GS&Co. may, by prior notice to Counterparty, satisfy its obligation
to deliver any Shares or other securities on any date due (an “Original Delivery Date”) by making separate deliveries of
Shares or such securities, as the case may be, at more than one times on or prior
to such Original Delivery Date, so long as the aggregate number of Shares and
other securities so delivered on or prior to such Original Delivery Date is
equal to the number required to be delivered on such Original Delivery Date.  In addition, if GS&Co. determines, in its
sole discretion, that delivery of Shares or other securities, as the case may
be, on an Original Delivery Date could give rise to payment, reporting or
registration obligations or other requirements applicable to GS&Co. under
any state or federal laws, regulations or regulatory orders applicable to
ownership of Shares or such other securities or policies of GS&Co. related
to compliance therewith, GS&Co. may, by notice to Counterparty prior to any
Original Delivery Date, elect to satisfy its obligation to deliver any Shares
or other securities to be delivered hereunder on such Original Delivery Date by
making separate deliveries of Shares or such other securities, as the case may
be, on such Original Delivery Date and up to three Exchange Business Days
immediately following such Original Delivery Date, so long as the aggregate
number of Shares and other securities so delivered is equal to the number
required to be delivered on such Original Delivery Date.

15.           Early Termination.  In the event that an Early Termination Date
(whether as a result of an Event of Default or a Termination Event) occurs or
is designated with respect to any Transaction (except as a result of a Merger
Event in which the consideration or proceeds to be paid to holders of Shares
consists solely of cash), if either party 

 12
 

would owe any amount to
the other party pursuant to Section 6(d)(ii) of the Agreement (any such amount,
a “Payment Amount”), then, in lieu of any
payment of such Payment Amount, Counterparty may, no later than the Early
Termination Date or the date on which such Transaction is terminated, elect to
deliver or for GS&Co. to deliver, as the case may be, to the other party a
number of Shares (or, in the case of a Merger Event, a number of units, each
comprising the number or amount of the securities or property that a
hypothetical holder of one Share would receive in such Merger Event (each such
unit, an “Alternative Delivery Unit” and, the
securities or property comprising such unit, “Alternative
Delivery Property”)) with a value equal to the Payment Amount, as
determined by the Calculation Agent (and the parties agree that, in making such
determination of value, the Calculation Agent may take into account a number of
factors, including the market price of the Shares or Alternative Delivery
Property on the Early Termination Date and, if such delivery is made by
GS&Co., the prices at which GS&Co. purchases Shares or Alternative
Delivery Property to fulfill its delivery obligations under this Section 15); provided that in determining the
composition of any Alternative Delivery Unit, if the relevant Merger Event
involves a choice of consideration to be received by holders, such holder shall
be deemed to have elected to receive the maximum possible amount of cash. If
such delivery is made by Counterparty, paragraphs 2 through 7 of Annex A shall
apply as if such delivery were a settlement of the Transaction to which Net
Share Settlement applied, the Cash Settlement Payment Date were the Early
Termination Date and the Forward Cash Settlement Amount were zero (0) minus the Payment Amount owed by Counterparty.

16.           Calculations and
Payment Date upon Early Termination. 
The parties acknowledge and agree that in calculating Loss pursuant to
Section 6 of the Agreement, GS&Co. may (but need not) determine losses
without reference to actual losses incurred but based on expected losses
assuming a commercially reasonable (including without limitation with regard to
reasonable legal and regulatory guidelines) risk bid were used to determine
loss to avoid awaiting the delay associated with closing out any hedge or
related trading position in a commercially reasonable manner prior to or sooner
following the designation of an Early Termination Date.  Notwithstanding anything to the contrary in
Section 6(d)(ii) of the Agreement, all amounts calculated as being due in
respect of an Early Termination Date under Section 6(e) of the Agreement will
be payable on the day that notice of the amount payable is effective; provided that if Counterparty elects to
receive Shares or Alternative Delivery Property in accordance with Section 15,
such Shares or Alternative Delivery Property shall be delivered on a date
selected by GS&Co. as promptly as practicable.

17.           Special Provisions
for Counterparty Payments.  Each
party acknowledges that Counterparty shall have the right, in its sole
discretion, to make any payment required to be made by it, pursuant to Section
6(e) of the Agreement (including pursuant to the modification of the
application of Sections 12.7 or 12.9 of the Equity Definitions (except with
respect to any portion of the consideration for the Shares consisting of cash
in the event of a Merger Event or Tender Offer)) following the occurrence of an
Early Termination Date or Extraordinary Event, by electing to share settle the
Transactions under this Master Confirmation pursuant to the terms and
conditions of the Counterparty Settlement Provisions set forth in Annex
A.  In no event shall the number of Shares required to be delivered by Counterparty
in connection with such a share settlement exceed the number of Reserved Shares
(as defined in the Supplemental Confirmation).

18.           Agreement in Respect
of Adjustments; Agreement in Respect of Dividends.  In determining any adjustment in respect of
any Transaction pursuant to Article 11 or Article 12 of the Equity Definitions,
the Calculation Agent shall make such adjustments without regard to changes in
expected dividends since the Trade Date for such Transaction. For the avoidance
of doubt, if an Early Termination Date occurs in respect of any Transaction as
a result of an Additional Termination Event of the type described in the second
paragraph opposite “Additional Termination Event(s)” above, the relevant party’s
Loss for purposes of Section 6(e) of the Agreement in respect of such
Additional Termination Event shall be determined without regard to the
difference between such Extraordinary Dividend giving rise to such Additional
Termination Event and the expected dividend as of the Trade Date for such
Transaction.

19.           Claim in Bankruptcy.  GS&Co. acknowledges and agrees that this
Confirmation is not intended to convey to it rights with respect to the
Transaction that are senior to the claims of common stockholders in the event
of Counterparty’s bankruptcy.  For the
avoidance of doubt, the parties agree that the preceding sentence shall not
apply at any time other than during Counterparty’s bankruptcy to any claim
arising as a result of a breach by Counterparty of any of its obligations under
this Confirmation or the Agreement.

 13
 

20.           General Obligations
Law of New York.  With respect to
each Transaction, (i) this Master Confirmation, together with the related
Supplemental Confirmation is a “qualified financial contract”, as such term is
defined in Section 5-701(b)(2) of the General Obligations Law of New York (the “General Obligations Law”); (ii) such Supplemental
Confirmation constitutes a “confirmation in writing sufficient to indicate that
a contract has been made between the parties” hereto, as set forth in Section
5-701(b)(3)(b) of the General Obligations Law; and (iii) this Master
Confirmation, together with the related Supplemental Confirmation, constitutes
a prior “written contract” as set forth in Section 5-701(b)(1)(b) of the
General Obligations Law, and each party hereto intends and agrees to be bound
by this Master Confirmation and the related Supplemental Confirmation.

21.           Governing Law.  The Agreement, this Master Confirmation, each
Supplemental Confirmation and all matters arising in connection with the
Agreement, this Master Confirmation and 
each Supplemental Confirmation shall be governed by, and construed and
enforced in accordance with, the laws of the State of New York (without
reference to its choice of laws doctrine).

22.                                Offices.

(a)           The Office of GS&Co.
for each Transaction is:  One New York
Plaza, New York, New York 10004.

(b)           The Office of
Counterparty for each Transaction is: 
7601 Penn Avenue, South

Richfield, MN 55423.

23.           Arbitration.  The Agreement, this Master Confirmation and
each Supplemental Confirmation are subject to the following arbitration
provisions:

(a)           All parties to this
Confirmation are giving up the right to sue each other in court, including the
right to a trial by jury, except as provided by the rules of the arbitration
forum in which a claim is filed.

(b)           Arbitration awards are
generally final and binding; a party’s ability to have a court reverse or
modify an arbitration award is very limited.

(c)           Counterparty agrees that
any and all controversies that may arise between Counterparty and GS&Co.,
including, but not limited to, those arising out of or relating to the
Agreement or any Transaction hereunder, shall be determined by arbitration
conducted before The New York Stock Exchange, Inc. (“NYSE”) or NASD Dispute
Resolution (“NASD-DR”), or, if the NYSE and NASD-DR decline to hear the matter,
before the American Arbitration Association, in accordance with their
arbitration rules then in force.  The
award of the arbitrator shall be final, and judgment upon the award rendered
may be entered in any court, state or federal, having jurisdiction.

(d)           The
ability of the parties to obtain documents, witness statements and other
discovery is generally more limited in arbitration than in court proceedings.

(e)           The arbitrators do not
have to explain the reason(s) for their award.

(f)            The panel of
arbitrators will typically include a minority of arbitrators who were or are
affiliated with the securities industry, unless Counterparty is a member of the
organization sponsoring the arbitration facility, in which case all arbitrators
may be affiliated with the securities industry.

(g)           The rules of some
arbitration forums may impose time limits for bringing a claim in
arbitration.  In some cases, a claim that
is ineligible for arbitration may be brought in court.

(h)           The rules of the
arbitration forum in which the claim is filed, and any amendments thereto,
shall be incorporated into this Confirmation.

 14
 

(i)            No
person shall bring a putative or certified class action to arbitration, nor
seek to enforce any pre-dispute arbitration agreement against any person who
has initiated in court a putative class action or who is a member of a putative
class who has not opted out of the class with respect to any claims encompassed
by the putative class action until: (i) the class certification is denied; (ii)
the class is decertified; or (iii) Counterparty is excluded from the class by
the court.

(j)            Such
forbearance to enforce an agreement to arbitrate shall not constitute a waiver
of any rights under this Confirmation except to the extent stated herein.”

24.           Counterparts.        This Master Confirmation
may be executed in any number of counterparts, all of which shall constitute
one and the same instrument, and any party hereto may execute this Master
Confirmation by signing and delivering one or more counterparts.

 15

EXECUTION COPY

	
   

  	
  Yours faithfully,

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  GOLDMAN,
  SACHS & CO.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Debra
  Tageldein

  
	
   

  	
   

  	
  Authorized Signatory

  
	
   

  	
   

  	
   

  
	
  Agreed and
  Accepted By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  BEST
  BUY CO., INC.

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ Ryan D.
  Robinson

  	
   

  	
   

  
	
   

  	
  Name: 

  	
  Ryan D. Robinson

  
	
   

  	
  Title: 

  	
  Senior Vice
  President and Chief Financial Officer – 
  New Growth Platforms

  
					

 

SCHEDULE A

SUPPLEMENTAL CONFIRMATION

	
  

  	
  To:

  	
   

  	
  Best Buy Co.,
  Inc. 7601 Penn Avenue South Richfield, MN 55423

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  From:

  	
   

  	
  Goldman, Sachs
  & Co.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Subject:

  	
   

  	
  Uncollared
  Accelerated Stock Buyback

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Ref. No:

  	
   

  	
  [Insert
  Reference No.]

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
   

  	
  June 26, 2007

  

 

The purpose of this Supplemental Confirmation is to
confirm the terms and conditions of the Transaction entered into between Goldman,
Sachs & Co. (“GS&Co.”)
and Best Buy Co., Inc. (“Counterparty”)
(together, the “Contracting Parties”) on the Trade
Date specified below.  This Supplemental
Confirmation is a binding contract between GS&Co. and Counterparty as of
the relevant Trade Date for the Transaction referenced below.

1.             This
Supplemental Confirmation supplements, forms part of, and is subject to the
Master Confirmation dated as of June 26, 2007 (the “Master
Confirmation”) between the Contracting Parties, as amended and
supplemented from time to time.  All
provisions contained in the Master Confirmation govern this Supplemental
Confirmation except as expressly modified below.

2.             The
terms of the Transaction to which this Supplemental Confirmation relates are as
follows:

	
  Trade Date:

  	
   

  	
  [               ]

  
	
   

  	
   

  	
   

  
	
  Forward Price
  Adjustment Amount:

  	
   

  	
  USD[           ]

  
	
   

  	
   

  	
   

  
	
  Valuation Period
  Start Date:

  	
   

  	
  The first
  Exchange Business Day immediately following the Hedge Period End Date (the “Reference Date”) of the Collared Accelerated Buyback
  transaction between Counterparty and GS&Co. with a trade date of [               ]

  
	
   

  	
   

  	
   

  
	
  Scheduled
  Termination Date:

  	
   

  	
  [           ]

  
	
   

  	
   

  	
   

  
	
  First
  Acceleration Date:

  	
   

  	
  [           ]

  
	
   

  	
   

  	
   

  
	
  Prepayment
  Amount:

  	
   

  	
  USD[            ]

  
	
   

  	
   

  	
   

  
	
  Prepayment Date:

  	
   

  	
  [            ]

  
	
   

  	
   

  	
   

  
	
  Initial Shares:

  	
   

  	
  A number of
  Shares equal to [         ]% of
  the Prepayment Amount divided by the Hedge Period Reference Price; provided that if GS&Co. is unable to borrow or
  otherwise acquire a number of Shares equal to the Initial Shares for delivery
  to Counterparty on the Initial Share Delivery Date, the Initial Shares shall
  be reduced to such number of Shares that GS&Co. is able to so borrow or
  otherwise acquire.

  

 

 A-1
 

 

	
  

  	
   

  	
   

  
	
  Hedge Period
  Reference Price:

  	
   

  	
  The Hedge Period
  Reference Price set forth in the Trade Notification delivered under the
  Collared Accelerated Buyback transaction between Counterparty and GS&Co.
  with a trade date of [              ]

  
	
   

  	
   

  	
   

  
	
  Initial Share
  Delivery Date:

  	
   

  	
  The date that is
  [        ] Exchange Business Days
  immediately after the Reference Date.

  
	
   

  	
   

  	
   

  
	
  Ordinary
  Dividend Amount:

  	
   

  	
  [With respect to
  the quarterly dividend of the Issuer for the fiscal quarter of the
  Issuer beginning [            ],
  which is payable on [           ]
  to shareholders of record as of the close of business on [              ], USD[             ]. 
  For any fiscal quarter of the Issuer thereafter,] USD[          ].

  
	
   

  	
   

  	
   

  
	
  Termination
  Price:

  	
   

  	
  USD[            ]
  per Share

  
	
   

  	
   

  	
   

  
	
  Additional
  Relevant Days:

  	
   

  	
  The [              ]
  Exchange Business Days immediately following the later of the last day of the
  Calculation Period or, if applicable, any settlement date pursuant to the
  terms of Annex A.

  

 

3.             Counterparty represents and warrants to GS&Co. that neither it nor any “affiliated purchaser”
(as defined in Rule 10b-18 under the Exchange Act) has made any purchases of
blocks pursuant to the proviso in Rule 10b-18(b)(4) under the Exchange Act
during the four full calendar weeks immediately preceding the Trade Date.

4.             This
Supplemental Confirmation may be executed in any number of counterparts, all of
which shall constitute one and the same instrument, and any party hereto may
execute this Supplemental Confirmation by signing and delivering one or more
counterparts.

 A-2
 

 

	
  

  	
  Yours sincerely,

  
	
   

  	
   

  	
   

  
	
   

  	
  GOLDMAN, SACHS
  & CO.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Authorized Signatory

  
	
   

  	
   

  	
   

  
	
  Agreed and
  Accepted By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  BEST
  BUY CO., INC.

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Name: 

  	
   

  
	
   

  	
  Title: 

  	
   

  
	
   

  	
   

  	
   

  
							

 

 A-3

ANNEX A

COUNTERPARTY SETTLEMENT PROVISIONS

1.             The following
Counterparty Settlement Provisions shall apply to the extent indicated under
the Master Confirmation:

	
  Settlement Currency:

  	
   

  	
  USD

  
	
   

  	
   

  	
   

  
	
  Settlement
  Method Election:

  	
   

  	
  Applicable; provided that
  (i) Section 7.1 of the Equity Definitions is hereby amended by deleting
  the word “Physical” in the sixth line
  thereof and replacing it with the words “Net Share”
  and (ii) the Electing Party may make a settlement method election only if the
  Electing Party represents and warrants to GS&Co. in writing on the date
  it notifies GS&Co. of its election that, as of such date, the Electing
  Party is not aware of any material non-public information concerning
  Counterparty or the Shares and is electing the settlement method in good
  faith and not as part of a plan or scheme to evade compliance with the
  federal securities laws.

  
	
   

  	
   

  	
   

  
	
  Electing Party:

  	
   

  	
  Counterparty

  
	
   

  	
   

  	
   

  
	
  Settlement
  Method

  	
   

  	
   

  
	
  Election Date:

  	
   

  	
  The earlier of (i) the Scheduled Termination Date and
  (ii) the Accelerated Termination Date, as the case may be.

  
	
   

  	
   

  	
   

  
	
  Default
  Settlement Method:

  	
   

  	
  Physical Settlement

  
	
   

  	
   

  	
   

  
	
  Forward Cash
  Settlement

  	
   

  	
   

  
	
  Amount:

  	
   

  	
  The Number of Shares to be Delivered multiplied by the Settlement Price.

  
	
   

  	
   

  	
   

  
	
  Settlement
  Price:

  	
   

  	
  The average of the VWAP Prices for the Exchange
  Business Days in the Settlement Valuation Period, subject to Valuation
  Disruption as specified in the Master Confirmation.

  
	
   

  	
   

  	
   

  
	
  Settlement
  Valuation Period:

  	
   

  	
  A number of Scheduled Trading Days selected be
  GS&Co. in its reasonable discretion, beginning on the Scheduled Trading
  Day immediately following the Termination Date or, in the case of a Second
  Settlement, the date of the Friendly Transaction Announcement.

  
	
   

  	
   

  	
   

  
	
  Cash Settlement:

  	
   

  	
  If Cash Settlement is applicable, then Buyer shall
  pay to Seller the absolute value of the Forward Cash Settlement Amount on the
  Cash Settlement Payment Date.

  
	
   

  	
   

  	
   

  
	
  Cash Settlement

  	
   

  	
   

  
	
  Payment Date:

  	
   

  	
  The date one Settlement Cycle following the last day
  of the Settlement Valuation Period.

  
	
   

  	
   

  	
   

  
	
  Net Share
  Settlement

  	
   

  	
   

  
	
  Procedures:

  	
   

  	
  If Net Share Settlement is applicable, Net Share
  Settlement shall be made in accordance with paragraphs 2 through 7 below.

  

 

2.             Net Share Settlement
shall be made by delivery on the Cash Settlement Payment Date of a number of
Shares satisfying the conditions set forth in paragraph 3 below (the “Registered Settlement Shares”), or a number of Shares not
satisfying such conditions (the “Unregistered Settlement
Shares”), in either case with a 

 1
 

value equal to the
absolute value of the Forward Cash Settlement Amount, with such Shares’ value
based on the value thereof to GS&Co. (which value shall, in the case of
Unregistered Settlement Shares, take into account a commercially reasonable
illiquidity discount), in each case as determined by the Calculation Agent.

3.             Counterparty
may only deliver Registered Settlement Shares pursuant to paragraph 2 above if:

(a)           a
registration statement covering public resale of the Registered Settlement
Shares by GS&Co. (the “Registration Statement”)
shall have been filed with, and declared effective by, the Securities and
Exchange Commission under the Securities Act on or prior to the date of
delivery, and no stop order shall be in effect with respect to the Registration
Statement; a printed prospectus relating to the Registered Settlement Shares
(including any prospectus supplement thereto, the “Prospectus”)
shall have been delivered to GS&Co., in such quantities as GS&Co. shall
reasonably have requested, on or prior to the date of delivery;

(b)           the
form and content of the Registration Statement and the Prospectus (including,
without limitation, any sections describing the plan of distribution) shall be
satisfactory to GS&Co. in its reasonable discretion;

(c)           as
of or prior to the date of delivery, GS&Co. and its agents shall have been
afforded a reasonable opportunity to conduct a due diligence investigation with
respect to Counterparty customary in scope for underwritten offerings of equity
securities and the results of such investigation are satisfactory to
GS&Co., in its reasonable discretion; and

(d)           as
of the date of delivery, an agreement (the “Underwriting
Agreement”) shall have been entered into with GS&Co. in
connection with the public resale of the Registered Settlement Shares by
GS&Co. substantially similar to underwriting agreements customary for
underwritten offerings of equity securities, in form and substance reasonably
satisfactory to GS&Co., which Underwriting Agreement shall include, without
limitation, provisions substantially similar to those contained in such
underwriting agreements relating to the indemnification of, and contribution in
connection with the liability of, GS&Co. and its affiliates.

4.             If
Counterparty delivers Unregistered Settlement Shares pursuant to paragraph 2
above:

(a)           all
Unregistered Settlement Shares shall be delivered to GS&Co. (or any
affiliate of GS&Co. designated by GS&Co.) pursuant to the exemption
from the registration requirements of the Securities Act provided by Section
4(2) thereof;

(b)           as
of or prior to the date of delivery, GS&Co. and any potential purchaser of
any such shares from GS&Co. (or any affiliate of GS&Co. designated by
GS&Co.) identified by GS&Co. shall be afforded a commercially
reasonable opportunity to conduct a due diligence investigation with respect to
Counterparty customary in scope for private placements of equity securities
(including, without limitation, the right to have made available to them for
inspection all financial and other records, pertinent corporate documents and
other information reasonably requested by them); and

(c)           as
of the date of delivery, Counterparty shall enter into an agreement (a “Private Placement Agreement”) with GS&Co. (or any
affiliate of GS&Co. designated by GS&Co.) in connection with the
private placement of such shares by Counterparty to GS&Co. (or any such
affiliate) and the private resale of such shares by GS&Co. (or any such
affiliate), substantially similar to private placement purchase agreements
customary for private placements of equity securities, in form and substance
commercially reasonably satisfactory to GS&Co., which Private Placement
Agreement shall include, without limitation, provisions substantially similar
to those contained in such private placement purchase agreements relating to
the indemnification of, and contribution in connection with the liability of,
GS&Co. and its affiliates, and shall provide for the payment by
Counterparty of all reasonable fees and expenses in connection with such
resale, including all reasonable fees and expenses of one counsel for
GS&Co., and shall contain representations, warranties and agreements of
Counterparty reasonably necessary or advisable to establish and maintain the
availability of an exemption from the registration requirements of the
Securities Act for such resales.

 2
 

5.             GS&Co., itself or
through an affiliate (the “Selling Agent”)
or, with the consent of Counterparty, any underwriter(s), will sell all, or
such lesser portion as may be required hereunder, of the Registered Settlement
Shares or Unregistered Settlement Shares and any Makewhole Shares (as defined
below) (together, the “Settlement Shares”)
delivered by Counterparty to GS&Co. pursuant to paragraph 6 below
commencing on the Net Share Settlement Date and continuing until the date on
which the aggregate Net Proceeds (as such term is defined below) of such sales,
as determined by GS&Co., is equal to the absolute value of the Forward Cash
Settlement Amount (such date, the “Final Resale Date”).  If the proceeds of any sale(s) made by
GS&Co., the Selling Agent or any underwriter(s), net of any fees and
commissions (including, without limitation, underwriting or placement fees)
customary for similar transactions under the circumstances at the time of the
offering, together with carrying charges and expenses incurred in connection
with the offer and sale of the Shares (including, but without limitation to,
the covering of any over-allotment or short position (syndicate or otherwise))
(the “Net Proceeds”) exceed the absolute value
of the Forward Cash Settlement Amount, GS&Co. will refund, in U.S. Dollars,
such excess to Counterparty on the date that is three (3) Business Days
immediately following the Final Resale Date, and, if any portion of the
Settlement Shares remains unsold, GS&Co. shall return to Counterparty on
that date such unsold Shares.

6.             If
the Calculation Agent determines that the Net Proceeds received from the sale
of the Registered Settlement Shares or Unregistered Settlement Shares or any
Makewhole Shares, if any, pursuant to this paragraph 6 are less than the
absolute value of the Forward Cash Settlement Amount (the amount in U.S.
Dollars by which the Net Proceeds are less than the absolute value of the
Forward Cash Settlement Amount being the “Shortfall” and
the date on which such determination is made, the “Deficiency
Determination Date”), Counterparty shall on the Exchange Business
Day next succeeding the Deficiency Determination Date (the “Makewhole Notice Date”) deliver to GS&Co., through the
Agent, a notice of Counterparty’s election that Counterparty shall either (i)
pay an amount in cash equal to the Shortfall on the day that is one (1)
Business Day after the Makewhole Notice Date, or (ii) deliver additional
Shares.  If Counterparty elects to
deliver to GS&Co. additional Shares, then Counterparty shall deliver
additional Shares in compliance with the terms and conditions of paragraph 3 or
paragraph 4 above, as the case may be (the “Makewhole
Shares”), on the first Clearance System Business Day which is also an
Exchange Business Day following the Makewhole Notice Date in such number as the
Calculation Agent reasonably believes would have a market value on that
Exchange Business Day equal to the Shortfall. 
Such Makewhole Shares shall be sold by GS&Co. in accordance with the
provisions above; provided that if the sum of the
Net Proceeds from the sale of the originally delivered Shares and the Net
Proceeds from the sale of any Makewhole Shares is less than the absolute value
of the Forward Cash Settlement Amount then Counterparty shall, at its election,
either make such cash payment or deliver to GS&Co. further Makewhole Shares
until such Shortfall has been reduced to zero.

7.             Notwithstanding the
foregoing, in no event shall the aggregate number of Settlement Shares and
Makewhole Shares be greater than the Reserved Shares minus
the amount of any Shares actually delivered by Counterparty under any other
Transaction(s) under this Master Confirmation (the result of such calculation,
the “Capped Number”).  Counterparty represents and warrants (which
shall be deemed to be repeated on each day that a Transaction is outstanding)
that the Capped Number is equal to or less than the number of Shares determined
according to the following formula:

A – B

	
  

  	
  Where

   

  	
  A = the number of authorized but unissued shares of
  the Counterparty that are not reserved for future issuance on the date of the
  determination of the Capped Number; and

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  B = the maximum number of Shares required to be
  delivered to third parties if Counterparty elected Net Share Settlement of
  all transactions in the Shares (other than Transactions in the Shares under
  this Master Confirmation) with all third parties that are then currently
  outstanding and unexercised.

  

 

“Reserved Shares” means 100 million Shares.

 3Exhibit 10.3

REVOLVING
CREDIT AGREEMENT

REVOLVING CREDIT
AGREEMENT dated as of June 26, 2007 by and between BEST BUY CO., INC. (the “Company”),
a Minnesota corporation, the lenders from time to time party hereto (such
lenders being hereinafter sometimes referred to collectively as the “Lenders”
and individually as a “Lender”), and GOLDMAN
SACHS CREDIT PARTNERS L.P., one of the Lenders, as administrative
agent for the Lenders (in such capacity, the “Agent”) and as Lead
Arranger for the Lenders.

ARTICLE I

DEFINITIONS

Section
1.1                                        Certain Defined Terms.  As used herein and, unless otherwise defined
therein, or in any Exhibit or Schedule hereto, the following terms shall have
the following respective meanings (such meanings to be equally applicable to
both the singular and plural form of the terms defined, as the context may
require):

“Adjusted Eurodollar Rate”:  with respect to each Interest Period
applicable to a Eurodollar Rate Advance, the rate (rounded upward, if
necessary, to the next higher one hundredth of one percent) determined by
dividing the Eurodollar Rate for such Interest Period by 1.00 minus the
Eurocurrency Reserve Percentage.

“Advance”:  a Prime Rate Advance or a Eurodollar Rate
Advance.

“Affiliate”:  when used with respect to a specified Person,
another Person that directly or indirectly through one or more intermediaries,
controls or is controlled by or is under common control with the Person
specified.  For purposes hereof, “control”
shall have the meaning given such term in Rule 12b-2 under the Securities
Exchange Act of 1934, and “controlled” shall have a correlative meaning.

“Agent”:  as defined in the preamble.

“Aggregate Commitment
Amount”:  as of any date of
determination, the sum of the Commitment Amounts of all of the Lenders.

“Agreement”:  this Revolving Credit Agreement, as amended,
supplemented, restated or otherwise modified and as in effect from time to
time.

“Applicable Margin”: for each Prime Rate
Advance, for each Eurodollar Rate Advance (for the Interest Period applicable
to such Eurodollar Rate Advance) and for each Facility Fee, a percentage per
annum equal to the percentage set forth below determined by reference to (x)
the Company’s corporate credit rating from S&P or (y) the rating of the
Company’s long-term, senior unsecured debt from Moody’s, in each case, for
Eurodollar Rate Advances, as in effect on the first day of the applicable
Interest Period, and for Prime Rate Advances and for Facility Fees, as in
effect from time to time:

 

	
  Company’s

  Corporate Credit

  Rating from S&P or

  Long-Term Senior

  Unsecured Debt

  Rating from Moody’s

  (“Level”)

  	
   

  	
  Eurodollar Rate

  Advances

  	
   

  	
  Prime Rate

  Advances

  	
   

  	
  Facility

  Fees

  	
   

  
	
  Level 1  

  BBB+ or higher, or Baa1 or higher

  	
   

  	
  0.400

  	
  %

  	
  0.000

  	
  %

  	
  0.100

  	
  %

  
	
  Level 2  

  BBB or Baa2

  	
   

  	
  0.525

  	
  %

  	
  0.000

  	
  %

  	
  0.125

  	
  %

  
	
  Level 3

  BBB- or Baa3

  	
   

  	
  0.600

  	
  %

  	
  0.000

  	
  %

  	
  0.150

  	
  %

  
	
  Level 4

  Lower than BBB- or lower than Baa3

  	
   

  	
  0.800

  	
  %

  	
  0.000

  	
  %

  	
  0.200

  	
  %

  

 

provided
that if, at any date of determination, no rating is available from S&P,
Moody’s or any other nationally recognized statistical rating organization
designated by the Company and approved in writing by the Majority Lenders, the
Applicable Margin will be based upon Level 4 and provided further that
(i) upon the occurrence of a ratings differential between S&P and
Moody’s that corresponds to a differential of one Level, the Applicable Margin
shall be based upon the Level corresponding to the higher rating and
(ii) upon the occurrence of a ratings differential between S&P and
Moody’s that corresponds to a differential of two or more Levels, the
Applicable Margin shall be based upon the Level that is one Level above the
Level corresponding to the lower rating and provided  further that, for purposes of this definition, any change in
the Applicable Margin due to any change in the rating of the Company’s
long-term unsecured debt shall be effective 10 Business Days after the earliest
of (a) the date on which the Company gives notice of such change to the Agent
pursuant to Section 5.9(h) or (b) the date on which the Agent gives notice of
such change to the Company.

“Approved Electronic Communications” means any
notice, demand, communication, information, document or other material that the
Company or any Guarantor provides to the Agent pursuant to any Loan Document or
the transactions contemplated therein which is distributed to the Agent or to
the Lenders by means of electronic communications pursuant to Section 8.2(b).

“Board”:  the Board of Governors of the Federal Reserve
System of the United States.

“Borrowing Date”:  each Business Day or Eurodollar Business Day
on which the Lenders are to make Loans to the Company pursuant to
Section 2.1.

 2
 

“Business Day”:  any day (other than a Saturday, Sunday or
legal holiday) on which banks are permitted to be open for business in all of
the cities where any Lender has its principal office in the United States of
America.

“Canadian Indebtedness”: as defined in Section
5.13(g).

“Cash Flow Leverage Ratio”: 
as of the last day of any Measurement Period, the ratio of (a) the
Interest-bearing Indebtedness of the Company plus eight times Rental and Lease
Expense for the Measurement Period ended on such date, to (b) the sum for the
Measurement Period ending on such date of (i) Earnings Before Interest, Income
Taxes, Depreciation and Amortization and (ii) Rental and Lease Expense, in all
cases determined on a Consolidated basis in accordance with GAAP and as set
forth in the Company’s financial statements delivered hereunder.

“Change of Control”: either (a) the occurrence,
after the Effective Date, of any of any Person or two or more Persons acting in
concert acquiring beneficial ownership (within the meaning of Rule 13d-3
of the Securities and Exchange Commission under the Securities Exchange Act of
1934), directly or indirectly, of common stock of the Company representing
33.33% or more of the combined voting power of all common stock of the Company
entitled to vote in the election of directors or (b) during any period of up to
twelve consecutive months, whether commencing before or after the Effective Date,
individuals who at the beginning of such twelve-month period were directors of
the Company, ceasing for any reason (other than by reason of death, disability
or scheduled retirement) to constitute a majority of the Board of Directors of
the Company, unless such directors were replaced by new directors whose
election to the Board of Directors of the Company, or whose nomination for
election by the stockholders of the Company, was approved by a majority of the
directors then still in office who either were directors at the beginning of
such period or whose election or nomination for election was previously so
approved.

“Code”:  the Internal Revenue Code of 1986, as amended
or any successor thereto.

“Commitment”:  as to any Lender, the obligation of such Lender
to make Loans pursuant to Sections 2.1.

“Commitment Amount”:  as to any Lender, the amount set opposite
such Lender’s name as its “Commitment Amount” in Schedule 1.1(a), as the
same may be reduced from time to time pursuant to Section 2.8.

“Commitment Percentage”:  as to any Lender, the percentage set forth
opposite such Lender’s name as its “Commitment Percentage” in Schedule 1.1(a).

“Company: as defined
in the Preamble.

“Company Shares”:  as defined in Section 2.12.

“Compliance Certificate”:  a certificate in the form of Exhibit A.

 3
 

“Consolidated”:
means, the consolidation of accounts in accordance with GAAP.

“Documentary Letter of
Credit”:  a letter of credit which requires that the
drafts thereunder be accompanied by a document of title covering or securing
title to the goods acquired with the proceeds of such drafts.

“ERISA”:  the Employee Retirement Income Security Act
of 1974, as amended.

“ERISA Affiliate”:  any trade or business (whether or not
incorporated) that is a member of a group of which the Company is a member and
which is treated as a single employer under Section 414 of the Code.

“Earnings Before Interest, Income Taxes,
Depreciation and Amortization”:  for
any period of determination, the Consolidated net income of the Company before
deductions for income taxes, Net Interest Expense/Income, depreciation and
amortization, all as determined in accordance with GAAP, excluding therefrom
(a) non-operating gains (including, without limitation, extraordinary or
unusual gains, gains from discontinuance of operations, gains arising from the
sale of assets and other nonrecurring gains) of the Company and its
Subsidiaries during the applicable Measurement Period and (b) similar
non-operating losses (including, without limitation, losses arising from the
sale of assets and other nonrecurring losses) of the Company and its
Subsidiaries during such period.

“Effective Date”:  the date on which, after the execution and
delivery of this Agreement by the Company, an executed counterpart of this
Agreement (or facsimile thereof) is delivered by the Lenders and the Agent
(which shall constitute their confirmation that all of the conditions precedent
set forth in Section 3.1 shall have been satisfied or waived in writing by the
Lenders).

“Equity Interests” means any and all shares, interests, participations or other
equivalents (however designated) of capital stock of a corporation, any and all
equivalent ownership interests in a Person (other than a corporation),
including partnership interests and membership interests, and any and all
warrants, rights or options to purchase or other arrangements or rights to
acquire any of the foregoing.

“Eurocurrency Reserve Percentage”:  as of any day, that percentage (expressed as
a decimal) which is in effect on such day, as prescribed by the Board for
determining the maximum reserve requirement (including any basic, supplemental
or emergency reserves) for a member bank of the Federal Reserve System, with
deposits comparable in amount to those held by the Agent, in respect of “Eurocurrency
Liabilities” as such term is defined in Regulation D of the Board or in respect
of any other category of liabilities that includes deposits by reference to
which the interest rate on Eurodollar Rate Advances is determined or any
category of extensions of credit or other assets that include loans by
non-United States offices of any Lender to United States residents to which the
interest rate on Eurodollar Rate Advances is determined. The rate of interest
applicable to any outstanding Eurodollar Rate Advances shall be adjusted
automatically on and as of the effective date of any change in the Eurocurrency
Reserve Percentage.

“Eurodollar Applicable Reference Page”: any
generally-published reference on interest rates applicable to U.S. Dollars from
time to time selected by the Agent, in its sole

 4
 

discretion, which may
include (a) the Reuters Screen LIBO Page or (b) Page 1700 and following
pages on the Knight-Ridder MoneyCenter Service.

“Eurodollar Business Day”:  a Business Day which is also a day for
trading by and between banks in United States dollar deposits in the interbank
eurocurrency market and a day on which banks are open for business in New York
City.

“Eurodollar Rate”:  with respect to each Interest Period
applicable to a Eurodollar Rate Advance, the average offered rate for deposits
in U.S. Dollars (rounded upward, if necessary, to the nearest 1/16 of 1%) for
delivery of such deposits on the first day of such Interest Period, for the
number of days in such Interest Period, which appears on the Eurodollar
Applicable Reference Page as of 11:00 A.M., London time (or such other time as
of which such rate appears) two Eurodollar Business Days prior to the first day
of such Interest Period.

“Eurodollar Rate Advance”:  an Advance with respect to which the interest
rate is determined by reference to the Adjusted Eurodollar Rate.

“Event of Default”:
any event described in Section
6.1.

“Facility Fees”:  as defined in Section 2.10.

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

“GAAP”:  generally accepted accounting principles set
forth in the opinions and pronouncements of the Financial Accounting Standards
Board which are in effect and applicable to the accounting period in respect of
which reference to GAAP is being made.

“Governmental Authority”:  any
federal, state, local or foreign court or governmental agency, authority,
department, board, instrumentality or regulatory body.

“GSCP”:  Goldman Sachs Credit partners L.P., in its
individual capacity.

“Guarantee”:  with
respect to any Person at the time of any determination, without duplication,
any obligation, contingent or otherwise, of such Person guaranteeing or having
the economic effect of guaranteeing any Indebtedness of any other Person (the “primary
obligor”) in any manner, whether directly or otherwise:  (a) to purchase or pay (or advance or
supply funds for the purchase or payment of) such Indebtedness or to purchase
(or to advance or supply funds for the purchase of) any direct or indirect
security therefor, (b) to purchase property, securities, or services for
the purpose of assuring the owner of such Indebtedness of the payment of such
Indebtedness, (c) to maintain working capital, equity capital, or other
financial statement condition of the primary obligor so as to enable the
primary obligor to pay such Indebtedness or otherwise to protect the owner
thereof against loss in respect thereof, or (d) entered into for the

 5
 

purpose
of assuring in any manner the owner of such Indebtedness of the payment of such
Indebtedness or to protect the owner against loss in respect thereof; provided,
that the term “Guarantee” shall not include endorsements for collection or
deposit in the ordinary course of business.

“Guaranty”:  a
guaranty, substantially in the form of Exhibit B, of the Obligations, executed
and delivered to the Agent in connection with this Agreement.

“Guarantors”:  Best Buy Stores, L.P., BBC Investment Co.,
BBC Property Co., each other Restricted Subsidiary set forth on Schedule
4.14(b) as of the Effective Date and each Restricted Subsidiary for which a
Guaranty has been executed and delivered to the Agent pursuant to Section
5.11(b).

“Historical Financial
Statements”:  as of the
Effective Date, the audited consolidated balance sheet of the Company and its
consolidated Subsidiaries, for the immediately preceding three fiscal years of
the Company, consisting of balance sheets and the related consolidated
statements of earnings, shareholders’ equity and cash flows for each fiscal
year, certified by the chief financial officer of the Company that they fairly
present, in all material respects, the financial condition of the Company and
its Subsidiaries as at the dates indicated and the results of their operations
and their cash flows for the periods indicated.

“Immediately Available
Funds”:  funds with good value on the day and in the
city in which payment is received.

“Indebtedness”:  with
respect to any Person at the time of any determination, without duplication,
the following obligations, contingent or otherwise, of such Person to the
extent that they, in conformity with GAAP, should be classified upon the
balance sheet of such Person as liabilities: 
(a) all obligations of such Person for borrowed money, (b) all
obligations of such Person evidenced by bonds, debentures, notes or other
similar instruments, (c) all obligations of such Person upon which
interest charges are customarily paid or accrued, (d) all obligations of
such Person under conditional sale or other title retention agreements relating
to property purchased by such Person, (e) all obligations of such Person
issued or assumed as the deferred purchase price of property, (f) all
Indebtedness of others secured by any Lien on property owned or acquired by
such Person, whether or not the obligations secured thereby have been assumed,
(g) all capitalized and synthetic lease obligations of such Person,
(h) all obligations of such Person in respect of interest rate protection
agreements, (i) all obligations of such Person, actual or contingent, as
an account party in respect of letters of credit or bankers’ acceptances,
(j) all Indebtedness of any partnership or joint venture to the extent
such Person is personally liable, and (k) all Guarantees by such Person of
Indebtedness of others.

“Initial Loans”:  as defined in Section 2.12.

“Interest-bearing
Indebtedness”: as of
the last date of any Measurement Period, all Indebtedness of the Company and
its Subsidiaries for borrowed money or that bears interest and that, in
accordance with GAAP, would be classified as long term or short term debt on
the Consolidated balance sheet of the Company.

 6
 

“Interest Coverage Ratio”: for any Measurement Period, the ratio of (a)
the sum of (i) Earnings Before Interest, Income Taxes, Depreciation and
Amortization plus (ii) Rental and Lease Expense to (b) the sum of
(y) Net Interest Expense/Income plus (z) Rental and Lease Expense.

“Interest Period”:  (a)
with respect to each Eurodollar Rate Advance, the period commencing on the date
of such Advance and ending one, two or three months thereafter, as the Company
may elect in the applicable Notice of Borrowing, Continuation or Conversion; provided,
that:

(i)                                     Any
Interest Period which would otherwise end on a day which is not a Eurodollar
Business Day shall be extended to the next succeeding Eurodollar Business Day
unless such Interest Period is one month or longer and such Eurodollar Business
Day falls in another calendar month, in which case such Interest Period shall
end on the next preceding Eurodollar Business Day;

(ii)                                  Any
Interest Period of one month or longer which begins on the last Eurodollar
Business Day of a calendar month (or a day for which there is no numerically
corresponding day in the calendar month at the end of such Interest Period)
shall end on the last Eurodollar Business Day of a calendar month;

(iii)                               No
Interest Period may end after the date set forth in clause (a) of the
definition of “Termination Date” set forth in this Section 1.1; and

(iv)                              For
purposes of determining an Interest Period, a month means a period starting on
one day in a calendar month and ending on the numerically corresponding day in
the next calendar month; provided, however, that if there is no numerically
corresponding day in the month in which such an Interest Period is to end or if
such an Interest Period begins on the last Eurodollar Business Day of a
calendar month, then such Interest Period shall end on the last Eurodollar
Business Day of the calendar month in which such Interest Period is to end.

“Lender”:  as defined in the Preamble.

“Lien”: with respect to any Person, any
security interest, mortgage, pledge, lien, charge, encumbrance, title retention
agreement or analogous instrument or device (including but not limited to the
interest of each lessor under any capitalized lease), in, of or on any assets
or properties of such Person, now owned or hereafter acquired, whether arising
by agreement or operation of law.

“Loans”: as defined
in Section 2.1.

“Loan Documents”:  this
Agreement, the Notes, the Guaranties and all other agreements, documents,
certificates and instruments delivered pursuant hereto or in connection
herewith, in each case as amended, supplemented, restated or otherwise modified
and in effect from time to time.

 7
 

“Majority Lenders”:  As of any date of determination, so long as
the Commitments remain outstanding, Lenders whose Commitment Percentages total
at least 51% or, if the Commitments have been terminated, Lenders holding at
least 51% of the aggregate principal amount of the Loans.

“Material Adverse Effect”:  with
respect to any Person, (a) a materially adverse effect on the business,
assets, operations, or financial condition of such Person and its Subsidiaries
taken as a whole, (b) material impairment of the ability of such Person to
perform any material obligation under any Loan Document to which such Person is
or becomes a party or (c) material impairment of any of the material
rights of, or benefits available to, the Agent or the Lenders under any Loan
Document.

“Material Subsidiary”:  (a) the Guarantors and (b) with respect to
any fiscal year of the Company, any Subsidiary which accounted for an amount
equal to or greater than five (5%) percent of the Consolidated aggregate
revenues of the Company for such fiscal year.

“Measurement Period”:  each
period of four fiscal quarters ending on the last day of the most recent fiscal
quarter of the Company.

“Moody’s”: Moody’s Investors Service, Inc.

“Multiemployer Plan”:  as
such term is defined in Section 4001(a)(3) of ERISA, which is maintained (on
the Effective Date, within the five years preceding the Effective Date, or at
any time after the Effective Date) for employees of Company or any ERISA
Affiliate.

“Net
Interest Expense/Income”: for any period of determination, interest expense minus
interest income, in each case calculated on a Consolidated basis for the
Company and its Subsidiaries in accordance with GAAP.

“Notes”:  as
defined in Section 2.3.

“Notice
of Borrowing, Continuation or Conversion”:  the
written notice in the form reasonably satisfactory to the Agent, delivered in
accordance with, and within the period specified in, Section 2.2 or 2.4, as
applicable.

“Obligations”: 
(a) the Company’s obligations in respect of the due and punctual
payment of principal and interest on the Loans when and as due, whether at
maturity, by acceleration, or otherwise and (b) all fees, expenses,
indemnities, reimbursements and other obligations owed to the Agent and the
Lenders under this Agreement or any other Loan Document.

“Offshore Rate Loans”:  any Eurodollar Rate Advances.

“PBGC”:  the
Pension Benefit Guaranty Corporation created by Section 4002(a) of ERISA or any
Governmental Authority succeeding to the functions thereof.

“Person”:  any
natural person, corporation, partnership, limited liability company, joint
venture, firm, association, trust, unincorporated organization, government or
governmental

 8
 

agency
or political subdivision or any other entity, whether acting in an individual,
fiduciary or other capacity.

“Plan”: each employee benefit plan (whether in
existence on the Effective Date or thereafter instituted), as such term is
defined in Section 3 of ERISA, maintained for the benefit of employees,
officers or directors of Company or of any ERISA Affiliate.

“Platform”:  IntraLinks/IntraAgency, SyndTrak or
another relevant website or other information platform.

“Prime Rate”:  the rate of interest quoted in The Wall Street Journal, Money Rates
Section as the Prime Rate (currently defined as the base rate on corporate
loans posted by at least 75% of the nation’s thirty (30) largest banks), as in
effect from time to time.  The Prime Rate
is a reference rate and does not necessarily represent the lowest or best rate
actually charged to any customer.  The
Agent or any other Lender may make commercial loans or other loans at rates of
interest at, above or below the Prime Rate.

“Prime Rate Advance”:  a
portion of the Loans with respect to which the interest rate is determined by
reference to the Prime Rate.

“Prohibited Transaction”:  as
such term is defined in Section 4975 of the Code or Section 406 of ERISA.

“Pro Rata Share”:  with
respect to each Lender, in each case expressed as a percentage:

(a)                                  as
such term pertains to such Lender’s obligation to make Loans, right to receive
Facility Fees, and obligation to reimburse the Agent pursuant to Section 7.9,
such Lender’s Commitment Percentage, and

(b)         as such term pertains to
such Lender’s right to receive payment of interest on and principal of its
outstanding Loans and for all other purposes, the fraction which the amount of
the unpaid principal balance of its outstanding Loans is to the aggregate
unpaid principal balance of all outstanding Loans.

“Regulatory Change”:  with
respect to any Lender, any change after the Effective Date in federal, state or
foreign laws or regulations or the adoption or making after such date of any
interpretations, directives or requests, in either case applying to a class of
banks including such Lender under any federal, state or foreign laws or
regulations (whether or not having the force of law) by any court or
Governmental Authority charged with the interpretation or administration
thereof.

“Rental and Lease Expense”:  for
any Measurement Period, all items that, in accordance with GAAP, would be
classified as Rental and Lease Expense that are included in selling, general
and administrative expenses on the Consolidated income statement of the
Company, in each case determined in accordance with GAAP, provided that Rental
and Lease Expense shall not include any Rental and Lease Expense incurred
during the Measurement Period in connection with discontinued operations for
which the Company is no longer obligated.

 9
 

“Replacement Credit
Facility”:  the $2 billion five-year
unsecured senior revolving credit facility referred to in the Commitment Letter
dated June 26, 2007 addressed to the Company by J.P. Morgan Securities Inc. and
JPMorgan Chase Bank, N.A. or any substantially equivalent, or greater,
unsecured senior credit facility hereafter made available to the Company in
lieu thereof.

“Reportable Event”:  as
such term is defined in Section 4043 of ERISA and the regulations issued under
such Section, with respect to a Plan, excluding, however, such events as to
which the PBGC by regulation has waived the requirement of Section 4043(a) of
ERISA that it be notified within 30 days of the occurrence of such event, provided,
that a failure to meet the minimum funding standard of Section 412 of the Code
and of Section 302 of ERISA shall be a Reportable Event regardless of the
issuance of any such waivers in accordance with Section 412(d) of the Code.

“Restricted Payments”:  with
respect to any Person, collectively, all dividends or other distributions of
any nature (cash, securities (other than common stock of such Person), assets
or otherwise) declared or paid, and all payments made (including the purchase
price of any equity securities repurchased by such Person), by such Person on
any class of equity securities (including, without limitation, warrants,
options or rights therefor) issued by such Person or any of its Subsidiaries,
whether such securities are authorized or outstanding on the Effective Date or
at any time thereafter.

“Restricted Subsidiary”:  With respect to any fiscal year of the
Company, any Subsidiary which accounted for an amount equal to or greater than
twenty (20%) percent of the Consolidated aggregate revenues of the Company for
such fiscal year, provided that, if, in any fiscal year of the Company,
the Subsidiaries (other than Best Buy Stores, L.P.), on a collective basis,
accounted for more than fifty (50%) of the Consolidated aggregate revenues of
the Company for such fiscal year, then the percentage amount stated in the
clause preceding the proviso clause of this definition shall be automatically
and permanently reduced to five (5%).

“S&P”: means Standard & Poor’s, a
division of The McGraw-Hill Companies, Inc.

“Subsidiary”:  with
respect to any Person, any corporation, partnership, trust or other Person of
which more than 50% of the outstanding capital stock (or similar
interests)  having ordinary voting power
to elect a majority of the board of directors of such corporation (or similar
governing body) (irrespective of whether or not, at the time, capital stock of
or other similar interests shall or might have voting power upon the occurrence
of any contingency) is at the time directly or indirectly owned by such Person,
by such Person and one or more other Subsidiaries of such Person.

“Termination Date”:  the earliest to occur of (a) June 24, 2008, (b) the date on which the
Commitments are terminated pursuant to Section 2.8 or (c) the date on
which the Commitments are terminated pursuant to Section 6.2.

“Total Outstandings”:  as of any date of determination, the amount
of the aggregate unpaid principal balance of Loans outstanding on such date.

 10

“Unfunded Liabilities”:  (a) in the case of Plans subject to
Title IV of ERISA (other than Multiemployer Plans), the amount (if any) by
which the present value of all vested nonforfeitable benefits under such Plan
exceeds the fair market value of all Plan assets allocable to such benefits,
all determined as of the then most recent valuation report prepared by the
actuary for such Plan, and (b) in the case of Multiemployer Plans, the
withdrawal liability of the Company and the ERISA Affiliates.

“Unmatured Event of
Default”:  any event which, with the
giving of notice (whether such notice is required under Section 6.1, or under
some other provision of this Agreement, or otherwise) or lapse of time, or
both, would constitute an Event of Default.

“U.S. Dollars” and “$”: The lawful
currency of the United States of America.

Section
1.2                                      Accounting
Terms and Calculations.  Except as
may be expressly provided to the contrary herein, all accounting terms used
herein shall be interpreted and all accounting determinations hereunder shall
be made in conformity with GAAP, as the same may change from time to time.

Section
1.3                                      Computation
of Time Periods.  In this Agreement,
in the computation of a period of time from a specified date to a later
specified date, unless otherwise stated the word “from” means “from and
including” and the word “to” or “until” each means “to but excluding”.

Section 1.4                                      Principles of
Construction.  In this Agreement, the
singular includes the plural and the plural the singular; words imparting any gender
include the other gender; references to “Section”, “Exhibit”, “Schedule” and
like references shall be to sections of, and exhibits and schedules to, this
Agreement unless otherwise specifically provided; the words “hereof”, “herein”
and “hereunder” and words of similar import when used in this Agreement shall
refer to this Agreement as a whole and not to any particular provision of this
Agreement; references to “writing” include printing, typing, lithography and
other means of reproducing words in a visible form; references to agreements
and other contractual instruments shall be deemed to include all subsequent
amendments thereto or changes therein entered into in accordance with their
respective terms; and references to Persons include their permitted successors
and assigns.  Unless the context in which
used herein otherwise clearly requires, “or” has the inclusive meaning
represented by the phrase “and/or.”

ARTICLE
II

TERMS OF THE CREDIT FACILITY

Section 2.1                                      Lending
Facilities.

On the terms and subject
to the conditions hereof, each Lender severally agrees to make Loans to the
Company on a revolving basis in U.S. Dollars (each a “Loan” and
collectively, the “Loans”) at any time and from time to time from the
Effective Date to the Termination Date, during which period the Company may
borrow, repay and reborrow in accordance with the provisions hereof, provided,
that no Loan will be made in any amount which after giving effect thereto,
would cause the Total Outstandings to exceed the Aggregate Commitment Amount, provided,
further, that no Lender shall be required to make any Loan if, after
giving effect thereto, the outstanding

 11
 

principal balance of such
Lender’s Loans would exceed such Lender’s Commitment Amount.  Loans hereunder shall be made by the Lenders
ratably based on their respective Pro Rata Shares.  Loans may be obtained and maintained, at the
election of the Company but subject to the limitations hereof, as Prime Rate
Advances or as Eurodollar Rate Advances.

Section 2.2                                      Procedure for
Loans.

(a)          Requests for Advances.  Any request by the Company for Loans shall be
made to the Agent by telephone, promptly confirmed by giving the Agent a Notice
of Borrowing, Continuation or Conversion, and (i) must be received by the Agent
not later than 12:00 noon (New York time) three Eurodollar Business Days prior
to the requested Borrowing Date if the Loans are requested as Eurodollar Rate
Advances and (ii) not later than 12:00 noon (New York time) on the requested
Borrowing Date if the Loans are requested as Prime Rate Advances.  Each request to borrow hereunder shall be
irrevocable and shall be deemed a representation by the Company that on the
requested Borrowing Date and after giving effect to the requested Loans the applicable
conditions specified in Section 2.1 and Article III have been and will be
satisfied.  Each request to borrow
hereunder shall specify (a) the requested Borrowing Date, (b) the
aggregate amount of Loans to be made on such date, which shall be in a minimum
amount of (i) $5,000,000 or an integral multiple of $500,000 in excess thereof,
to the extent such Loans are to be funded as Eurodollar Rate Advances or (ii)
$2,000,000 or an integral multiple of $500,000 in excess thereof to the extent
such Loans are to be funded as Prime Rate Advances, (c) whether such Loans
are to be made as Prime Rate Advances or as Eurodollar Rate Advances, and
(d) in the case of Eurodollar Rate Advances, the duration of the initial
Interest Period applicable thereto. 
Without in any way limiting the Company’s obligation to confirm in
writing any telephone request to borrow hereunder, the Agent may rely on any
such request which it believes in good faith to be genuine; and the Company
hereby waives any claim against the Agent or the Lenders based on a dispute
with the Agent’s record of the terms of such request.

(b)         Funding By Lenders.  The Agent shall promptly notify each other
Lender of the receipt of such request, the matters specified therein, and of
such Lender’s Pro Rata Share of the requested Loans.  On the requested Borrowing Date, each Lender
shall provide its share of any requested Loans at the principal office of the
Agent in New York, New York not later than 2:30 P.M. (New York time).  Unless the Agent determines that any
applicable condition specified in Article III has not been satisfied, the Agent
will make available to the Company’s account the amount of the requested Loans
at the Agent’s principal office in New York, New York in Immediately Available
Funds not later than 4:00 P.M. (New York time) on the requested Borrowing
Date.  If the Agent has made a Loan on
behalf of a Lender but has not received the amount of such Loan (or a Federal
Reserve Bank reference number for the wire transfer of the amount of such Loan)
from such Lender by 4:00 P.M. (New York time) on the requested Borrowing Date,
such Lender shall pay interest to the Agent on the amount so advanced at the
Federal Funds Rate from the date of such Loan to the date funds are received by
the Agent from such Lender, such interest to be payable with such remittance
from such Lender of the principal amount of such Loan (provided, however, that
the Agent shall not make any Loans on behalf of a Lender if the Agent has
received prior notice from such Lender that

 12
 

it will not
make such Loan).  If the Agent does not
receive payment from such Lender by the next Business Day after the date of any
Loan, the Agent shall be entitled to recover such Loan, including any unpaid
interest thereon at the rate then applicable to such Loan, on demand, from the
Company, without prejudice to the Agent’s and the Company’s rights against such
Lender.  If such Lender pays the Agent
the amount herein required with interest at the Federal Funds Rate before the
Agent has recovered from the Company, such Lender shall be entitled to the
interest payable by the Company with respect to the Loan in question accruing
from the date the Agent made such Loan.

(c)          Limitation on Number
of Certain Loans.  Notwithstanding anything to the contrary, the
Company will not at any time permit the number of Offshore Rate Loans then
outstanding to exceed ten in the aggregate unless otherwise agreed by the
Agent.

Section 2.3                                      Noteless
Transaction.

(a)                                  Lender’s
Records.  The Loans made by each
Lender shall be evidenced by one or more loan accounts or records maintained by
such Lender in the ordinary course of business. 
The loan accounts or records maintained by the Agent and each Lender
shall be conclusive evidence (in the absence of manifest error) of the amount of
the Loans made by the Lenders to the Company and the interest and payments
thereon.  Any failure to record or any
error in doing so shall not, however, limit or otherwise affect the obligation
of the Company hereunder to pay any amount owing with respect to the Loans.

(b)                                 Lender’s
Right to Request Notes.  If requested
by any Lender, the Company shall execute and deliver to such Lender a
promissory note evidencing such Lender’s Loans (each a “Note” and
collectively, the “Notes”) (each such Note to be substantially in the
form of Exhibit C).  Each Lender shall
endorse on the schedule annexed to its Note the date, amount and maturity of
each Loan made by it and the amount of each payment of principal made by the
Company with respect thereto.  Each such
Lender is irrevocably authorized by the Company to endorse its Note and each
Lender’s record shall be prima facie evidence of the amount of each such Loan; provided,
however, that the failure of a Lender to make, or an error in making, a
notation thereon with respect to any Loan shall not limit or otherwise affect
the obligations of the Company hereunder or under any such Note to such Lender.

Section 2.4                                      Conversions
and Continuations.  On the terms and
subject to the limitations hereof, the Company shall have the option at any
time and from time to time to convert all or any portion of the Loans into
Prime Rate Advances or Eurodollar Rate Advances, or to continue a Eurodollar
Rate Advance as such (in a minimum amount of $5,000,000 or an integral multiple
of $500,000 in excess thereof, with respect to any conversion into or
continuation as Eurodollar Rate Advances, or $2,000,000 or an integral multiple
of $500,000 in excess thereof, with respect to any conversion into Prime Rate
Advances); provided, however that (i) a Eurodollar Rate
Advance may be converted or continued only on the last day of the Interest
Period applicable thereto, and (ii) at the option of the Majority Lenders,
no Advance may be converted into or continued as a Eurodollar Rate Advance if
an Unmatured Event of Default or Event of Default has occurred and is
continuing on the proposed date of continuation or

 13
 

conversion.  The Company shall give the Agent a Notice of
Borrowing, Continuation or Conversion with respect to the continuation or
conversion of any Advance so as to be received by the Agent not later than
12:00 noon (New York time) three Eurodollar Business Days prior to requested
date of conversion or continuation in the case of the continuation of, or
conversion to, Eurodollar Rate Advances and not later than 12:00 noon (New York
time) on the date of any requested conversion to Prime Rate Advances.  Each such notice shall specify (a) the
amount to be continued or converted, (b) the date for the continuation or
conversion (which must be (i) the last day of the preceding Interest Period
and a Eurodollar Business Day in the case of conversions to or continuations of
Eurodollar Rate Advances, and (ii) a Business Day in the case of
conversions to Prime Rate Advances), and (c) in the case of conversions to
or continuations of Eurodollar Rate Advances, the Interest Period applicable
thereto.  Any notice given by the Company
under this Section 2.4 shall be irrevocable. 
If the Company shall fail to notify the Agent of the continuation of any
Eurodollar Rate Advances or of the conversion of Eurodollar Rate Advances
within the time required by this Section 2.4, such Advances shall, on the last
day of the Interest Period applicable thereto, at the option of the Agent (a)
be automatically be converted into Prime Rate Advances of the same principal
amount or (b) be automatically converted into Eurodollar Rate Advances having
an Interest Period of one month.  All
conversions to and continuations of Advances shall be made uniformly and
ratably among the Lenders.

Section
2.5                                      Interest
Rates, Interest Payments and Default Interest.  Interest shall accrue and be payable as
follows:

(a)          Subject to paragraph (c)
below, each Loan that is a Eurodollar Rate Advance shall bear interest on the
unpaid principal amount thereof during the Interest Period applicable thereto
at a rate per annum equal to the sum of (i) the Adjusted Eurodollar Rate
for such Interest Period plus (ii) the Applicable Margin.

(b)         Subject to paragraph (c)
below, each Loan that is a Prime Rate Advance shall bear interest on the unpaid
principal amount thereof at a rate per annum equal to the sum of (i) the
Prime Rate plus (ii) the Applicable Margin.

(c)          Upon and during the
continuation of any payment Event of Default in respect of any Advance, the
past due Advance shall, at the option of the Majority Lenders (or, in the case
of any Event of Default under Sections 6.1(a), (e), (f) or (g), automatically
upon and during the continuation of any such Event of Default), thereafter bear
interest until paid in full (or until the corresponding Event of Default is
waived in writing by the Majority Lenders), whether at the date scheduled
therefor or earlier upon acceleration, at a rate per annum equal to the sum of
the rate otherwise applicable to such Advance plus 2.00%.

(d)         Interest accrued to the
day of payment shall be payable (i) with respect to each Offshore Rate Loan, on
the last day of the Interest Period applicable thereto; (ii) with respect to
any Prime Rate Advance, on the first day of each month; and (iii) with respect
to all Loans, on the Termination Date; provided that interest under Section
2.5(c) shall be payable on demand.

 14
 

Section 2.6                                      Repayment;
Mandatory Prepayments.

(a)          Principal of all Loans,
together with all accrued, unpaid interest thereon, shall be due and payable by
the Company on the Termination Date.

(b)         If at any time the Total
Outstandings exceed the Aggregate Commitment Amount, the Company shall prepay
the Loans in the amount of such excess.

Optional Prepayments.  The
Company may, upon (i) at least three Eurodollar Business Days’ prior written
notice to the Agent, in the case of Offshore Rate Loans, and (ii) written
notice to the Agent given prior to 1:00 P.M. on any Business Day, in the case
of Prime Rate Advances, in each case stating the proposed date and the
aggregate principal amount of the prepayment, and if such notice is given the
Company shall, prepay the Advances, in whole or in part, together with (A)
accrued interest to the date of such prepayment on the principal amount prepaid
and (B) in the case of Offshore Rate Loans, any amount payable to the Lenders
pursuant to Section 2.18; provided, however, that each partial prepayment shall
be in an aggregate principal amount of not less than (i) $5,000,000 or an
integral multiple of $500,000 in excess thereof, as to prepayments of
Eurodollar Rate Advances or (ii) $2,000,000 or an integral multiple of $500,000
in excess thereof, as to prepayments of Prime Rate Advances.  Amounts paid (unless following an
acceleration or upon termination of the Commitments in whole) or prepaid under
this Section 2.7 may be re-borrowed upon the terms and subject to the
conditions and limitations of this Agreement. 
All principal paid or prepaid under Section 2.6, this Section 2.7 or
Section 2.8 shall be applied to the outstanding principal balance of each
Lender’s Loans (in accordance with such Lender’s Pro Rata Share).

Section 2.7                                      Reduction or
Termination of Commitments.

(a)          Optional.  The Company may, at any time, upon not less
than five Business Days’ prior written notice to the Agent, reduce the
Commitments, ratably, with any such reduction in a minimum aggregate amount for
all the Lenders of $5,000,000, or an integral multiple thereof, or terminate
the Commitments in their entirety.

(b)         Mandatory.  On (x) the date of receipt by the Company of
any cash proceeds from the incurrence by
the Company of any debt for borrowed money, including without limitation
pursuant to a public offering, private placement or a syndicated bank
financing, except (A) commercial paper, (B) Indebtedness incurred under this
Agreement, (C) Indebtedness
incurred under letter of credit facilities and (D) other debt for borrowed
money in an amount not to exceed $200,000,000 at any time outstanding,
and (y) the first date on which the Company or any of its Subsidiaries is entitled
to borrow under the Replacement Credit Facility, the Revolving Commitments
shall be permanently reduced in an aggregate amount equal to 100% of such
proceeds, net of underwriting discounts and commissions and other reasonable
costs and expenses associated therewith, including reasonable legal fees and
expenses, and/or 100% of the aggregate amount of the commitments under the
Replacement Credit Facility, as the case may be.

 15
 

(c)          Upon any reduction in
the Commitments pursuant to this Section 2.8, the Company shall pay to the
Agent for the account of the Lenders the amount, if any, by which the Total
Outstandings exceed the Aggregate Commitment Amount after giving effect to such
reduction.

(d)         Upon termination of the
Commitments pursuant to this Section, the Company shall pay to the Agent for
the account of the Lenders the full amount of all outstanding Loans, all
accrued and unpaid interest thereon, all unpaid Facility Fees accrued to the
date of such termination, any indemnities payable pursuant to Section 2.18 and
all other unpaid Obligations of the Company to the Lenders and the Agent
hereunder.

Section
2.8                                      Agent’s
Fees.  The Company shall pay to the
Agent fees in accordance with the terms of a letter agreement between the
Company and the Agent concerning such fees.

Section
2.9                                      Facility
Fees.  The Company shall pay to the
Agent, for the account of each Lender, a facility fee (the “Facility Fee”)
in an amount equal to the Applicable Margin calculated on the average daily
Commitment Amount (whether used or unused) of such Lender during each calendar
quarter during the period from the Closing Date to the Termination Date.  Such Facility Fees are payable calendar
quarterly in arrears on the first day of the following calendar quarter and on
the Termination Date.

Section
2.10                                Computation.  Facility Fees and interest on Eurodollar Rate
Advances shall be computed on the basis of actual days elapsed and a year of
360 days, or in the case of interest on Prime Rate Advances, a year of 365 or
366 days, as applicable.

Section
2.11                                Payments.  Payments and prepayments of principal of, and
interest on, the Notes and all fees, expenses and other obligations under this
Agreement payable to the Agent or the Lenders shall be made without setoff or
counterclaim in Immediately Available Funds not later than 12:00 noon (New York
time) (or, as to prepayments of Prime Rate Loans, 1:00 PM (New York time)) on
the dates called for under this Agreement to the Agent at its main office in
New York, New York.  Funds received after
such time shall be deemed to have been received on the next Business Day.  The Agent will promptly distribute in like
funds to each Lender its Pro Rata Share of each payment of principal or
interest applied to the Loans, and each payment of Facility Fees or other amounts
received by the Agent for the account of the Lenders.  Whenever any payment to be made hereunder or
on the Notes shall be stated to be due on a day which is not a Business Day,
such payment shall be made on the next succeeding Business Day and such extension
of time, in the case of a payment of principal, shall be included in the
computation of any interest on such principal.

Section
2.12                                Use
of Loan Proceeds.  The proceeds of
the Loans shall be used for the general corporate purposes of the Company and
its Subsidiaries in a manner not in conflict with any of the covenants in this Agreement; provided, that
the proceeds of up to $3,000,000,000 in initial Loans made under this Agreement
(the “Initial Loans”) may be used for the purpose of repurchasing shares
of the common stock of the Company (the “Company Shares”).

 16
 

Section
2.13                                Interest
Rate Not Ascertainable, Etc.  If, on
or prior to the date for determining the Adjusted Eurodollar Rate in respect of
the Interest Period, any Lender reasonably determines (which determination
shall be conclusive and binding, absent error) that:

(a)          deposits in U.S. Dollars
(in the applicable amount) are not being made available to such Lender in the
relevant market for such Interest Period, or

(b)         the Adjusted Eurodollar
Rate will not adequately and fairly reflect the cost to such Lender of funding
or maintaining Offshore Rate Loans for such Interest Period,

such Lender shall forthwith
give notice to the Agent and the Company and the other Lenders of such
determination, whereupon the obligation of such Lender to make or continue, or
to convert any Advances to, Offshore Rate Loans shall be suspended until such Lender
notifies the Company and the Agent that the circumstances giving rise to such
suspension no longer exist.  While any
such suspension continues, all further Advances by such Lender shall be made as
Prime Rate Advances.  No such suspension
shall affect the interest rate then in effect during the applicable Interest
Period for any Offshore Rate Loan
outstanding at the time such suspension is imposed.

Section
2.14                                Increased
Cost.  If, after the date hereof, any
Regulatory Change:

(a)          shall subject any Lender
(or its applicable lending office) to any tax, duty or other charge with
respect to its Offshore Rate Loans, its Note(s) or its obligation to make
Offshore Rate Loans, or shall change the basis of taxation of payment to any
Lender (or its applicable lending office) of the principal of or interest on
its Offshore Rate Loans, or any other amounts due under this Agreement in
respect of its Offshore Rate Loans, its obligation to make Offshore Rate Loans
(except for changes in the rate of tax on the overall net income of such Lender
or its applicable lending office imposed by the jurisdiction in which such
Lender’s principal office or applicable lending office is located); or

(b)         shall impose, modify or
deem applicable any reserve, special deposit, capital requirement or similar
requirement (including, without limitation, any such requirement imposed by the
Board of Governors of the Federal Reserve System, but excluding with respect to
any Offshore Rate Loan any such requirement to the extent included in
calculating the applicable Adjusted Eurodollar Rate) against assets of,
deposits with or for the account of, or credit extended by, any Lender’s
applicable lending office or shall impose on any Lender (or its applicable
lending office) or on the interbank eurocurrency market any other condition
affecting its Offshore Rate Loans, its Note(s) or its obligation to make Offshore
Rate Loans;

and the result of any of the
foregoing is to increase the cost to such Lender (or its applicable lending
office) of making or maintaining any Offshore Rate Loan, or to reduce the amount of any sum received
or receivable by such Lender (or its applicable lending office) under this
Agreement or under its Note(s), then, within 30 days after demand by such
Lender (with a copy to the Agent), the Company shall pay to such Lender such
additional amount or amounts as will

 17
 

compensate such Lender for such
increased cost or reduction in amounts received or receivable.  Each Lender will promptly notify the Company
and the Agent of any Regulatory Change of which it has knowledge, occurring
after the date hereof, which will entitle such Lender to compensation pursuant
to this Section and will designate a different applicable lending office if
such designation will avoid the need for, or reduce the amount of, such
compensation and will not, in the judgment of such Lender, be otherwise
disadvantageous to such Lender.  A
certificate of any Lender claiming compensation under this Section, setting
forth the additional amount or amounts to be paid to it hereunder and stating
in reasonable detail the basis for the charge and the method of computation,
shall be conclusive in the absence of error. 
In determining such amount, any Lender may use any reasonable averaging
and attribution methods.  The Company
shall not be obligated to pay any such amount that is attributable to the
period ending 91 days prior to the date of the first notice delivered by any
Lender under the third preceding sentence 
with respect to any Regulatory Change (the “Section 2.15 Excluded
Period”), except to the extent any amount is attributable to the Section
2.15 Excluded Period as a result of the retroactive application of the
applicable Regulatory Change.  Failure on
the part of any Lender to demand compensation for any increased costs or
reduction in amounts received or receivable with respect to any Interest Period
or other applicable period shall not constitute a waiver of such Lender’s
rights to demand compensation for any increased costs or reduction in amounts
received or receivable in any subsequent Interest Period or other applicable
period.

Section
2.15                                Illegality.  If, after the date of this Agreement, any
Regulatory Change shall make it unlawful or impossible for such Lender to make,
maintain or fund any Offshore Rate Loans, such Lender shall notify the Company
and the Agent, whereupon the obligation of such Lender to make or continue, or
to convert any Advances to, Offshore Rate Loans shall be suspended until such
Lender notifies the Company and the Agent that the circumstances giving rise to
such suspension no longer exist.  Before
giving any such notice, such Lender shall designate a different applicable
lending office if such designation will avoid the need for giving such notice
and will not, in the judgment of such Lender, be otherwise disadvantageous to
such Lender.  If such Lender determines
that it may not lawfully continue to maintain any Offshore Rate Loans to the
end of the applicable Interest Periods, all of the affected Advances shall be
automatically converted to Prime Rate Advances as of the date of such Lender’s
notice, and upon such conversion or prepayment the Company shall indemnify such
Lender in accordance with Section 2.18.

Section
2.16                                Capital
Adequacy.  In the event that any
Lender shall have reasonably determined that any Regulatory Change has or shall
have the effect of reducing the rate of return on such Lender’s capital or the
capital of its parent corporation as a consequence of its Commitment and/or the
Advances to a level below that which such Lender or its parent corporation
could have achieved but for such Regulatory Change (taking into account such
Lender’s policies and the policies of its parent corporation with respect to
capital adequacy), then the Company shall, within ten days after written notice
and demand from such Lender (with a copy to the Agent), pay to such Lender
additional amounts sufficient to compensate such Lender or its parent
corporation for such reduction; provided, that the Company shall not be
obligated to pay any such additional amount (i) unless such Lender shall
first have notified (in the absence of gross negligence by the Agent) the
Company in writing that it intends to seek such compensation pursuant to this
Section 2.17 and (ii) that is attributable to the period ending 91 days
prior to the date of such notice with respect to any Regulatory Change (the “Section
2.17 Excluded Period”),

 18
 

except to the extent any amount is attributable to the
Section 2.17 Excluded Period as a result of the retroactive application of the
applicable Regulatory Change.  Any
determination by such Lender under this Section and any certificate as to the
amount of such reduction given to the Company by such Lender shall be final,
conclusive and binding for all purposes, absent manifest error.

Section
2.17                                Funding
Losses.  The Company shall compensate
each Lender, upon its written request, for all losses, expenses and liabilities
(including, without limitation, any interest paid by such Lender to lenders of
funds borrowed by it to make or carry Eurodollar Rate Advances to the extent
not recovered by such Lender in connection with the re-employment of such funds)
which such Lender may sustain: 
(a) if for any reason, other than a default by such Lender, a
funding of a Eurodollar Rate Advance does not occur on the date specified
therefor in the Company’s request or notice as to such Advance under Section
2.2 or 2.4 or (b) if, for whatever reason (including, but not limited to,
acceleration of the maturity of Advances following an Event of Default), any
repayment or prepayment of a Eurodollar Rate Advance, or a conversion pursuant
to Section 2.16, occurs on any day other than the last day of the Interest
Period applicable thereto.  A Lender’s
request for compensation shall set forth the basis for the amount requested and
shall be final, conclusive and binding, absent manifest error.

Section
2.18                                Discretion
of Lenders as to Manner of Funding. 
Each Lender shall be entitled to fund and maintain its funding of
Offshore Rate Loans in any manner it may elect, it being understood, however,
that for the purposes of this Agreement all determinations hereunder (including,
but not limited to, determinations under Section 2.18, but excluding
determinations of the Eurodollar Rate that the Agent may elect to make from the
Reuters screen) shall be made as if such Lender had actually funded and
maintained each Offshore Rate Loan during the Interest Period for such Advance
through the purchase of deposits having a maturity corresponding to the last
day of the applicable Interest Period and an interest rate equal to the
Eurodollar Rate.

Section
2.19                                Setoff.  Whenever an Event of Default shall have
occurred and be continuing, the Company hereby irrevocably authorizes each
Lender to set off the Obligations owed to it (including, without limitation,
any participation in the Obligations of other Lenders purchased pursuant to
Section 7.10 or 7.11) against all deposits and credits of the Company with, and
any and all claims of the Company related to this Agreement against, such
Lender; provided, however,  that no
Lender may set off against any payment or delivery obligation of such Lender to
the Company pursuant to the terms of any transaction evidenced by (a) the
Uncollared Accelerated Stock Buyback transaction dated June 26, 2007 between
the Company and Goldman Sachs & Co. or (b) the Collared Accelerated Stock
Buyback transaction dated June 26, 2007 between the Company and Goldman Sachs
& Co.  Such right shall exist whether
or not the Agent shall have made any demand hereunder or under any other Loan
Document, whether or not such indebtedness, or any part thereof, or deposits
and credits held for the account of the Company is or are matured or unmatured,
and regardless of the existence or adequacy of any collateral, guaranty or any
other security, right or remedy available to the Lenders.  Each Lender agrees that, as promptly as is
reasonably possible after the exercise of any such setoff right, it shall
notify the Agent and the Company of its exercise of such setoff right; provided,
however, that the failure of any Lender to provide such notice shall not
affect the validity of the exercise of such setoff rights.  Nothing in this Agreement shall be deemed a
waiver or prohibition of or

 19
 

restriction on any rights of banker’s lien, setoff and
counterclaim available to any Lender pursuant to law.

Section
2.20                                Taxes.

(a)          Any and all payments by
the Company hereunder or under the Notes shall be made free and clear of and
without deduction for any and all present or future taxes, levies, imposts,
deductions, charges of withholdings, and all liabilities with respect thereto, excluding,
in the case of each Lender and the Agent, taxes imposed on its overall net
income, and franchise taxes imposed on it in lieu of net income taxes (all such
non-excluded taxes, levies, imposts, deductions, charges, withholdings and
liabilities in respect of payments hereunder or under the Notes being
hereinafter referred to as “Taxes”).

(b)         The Company shall
indemnify each Lender and the Agent for the full amount of Taxes imposed on or
paid by such Lender or the Agent and any penalties, interest and expenses with
respect thereto.  Payments on this
indemnification shall be made within 30 days from the date such Lender or the
Agent makes written demand therefor.

(c)          Within 30 days after the
date of any payment of Taxes pursuant to the Company’s obligations under
Sections 2.21(a) or (b), the Company shall furnish to the Agent, at its address
referred to on the signature page hereof a certified copy of a receipt
evidencing payment thereof.  In the case
of any payment hereunder or under the Notes by or on behalf of the Company
through an account or branch outside the United States or by or on behalf of
the Company by a payor that is not a United States person, if the Company
determines that no Taxes are payable in respect thereof, the Company shall
furnish or shall cause such payor to furnish, to the Agent, at such address, an
opinion of counsel acceptable to the Agent stating that such payment is exempt
from Taxes.  For purposes of this
subsection (c) and subsection (d), the terms “United States” and “United States
person” shall have the meanings specified in Section 7701 of the Internal
Revenue Code.

(d)         Lenders to Submit
Forms.  Each Lender, as of the date
it becomes a party hereto, represents to the Company and the Agent that it is
either (i) a corporation organized under the laws of the United States or any
State thereof or (ii) is entitled to complete exemption from United States
withholding tax imposed on or with respect to any payments, including fees, to
be made pursuant to this Agreement (x) under an applicable provision of a tax
convention to which the United States is a party or (y) because it is acting
through a branch, agency or office in the United States and any payment to be
received by it hereunder is effectively connected with a trade or business in
the United States.  Each Lender that is
not a United States person (as such term is defined in Section 7701(a)(30) of
the Code) shall submit to the Company and the Agent, on or before the day on
which such Lender becomes a Lender, a duly completed and signed copy of either
Form W-8BEN or Form W-8ECI of the United States Internal Revenue Service.  Form W-8BEN shall include the Foreign Lender’s
United States taxpayer identification number if required under the current
regulations to claim

 20
 

exemption from
withholding pursuant to a tax convention. 
Thereafter and from time to time, each such Lender shall submit to the
Company and the Agent such additional duly completed and signed copies of one
or the other of such Forms (or such successor Forms as shall be adopted from
time to time by the relevant United States taxing authorities) as may be (i)
reasonably requested by the Company or the Agent and (ii) required and
permitted under then-current United States law or regulations to avoid United
States withholding taxes on payments in respect of all payments to be received
by such Lender hereunder.  Upon the
request of the Company or the Agent, each Lender that is a United States person
(as such term is defined in Section 7701(a)(30) of the Code) shall submit to
the Company and the Agent a certificate on Internal Revenue Service Form W-9 or
such substitute form as is reasonably satisfactory to the Company and the Agent
to the effect that it is such a United States person.

(e)          Inability of a Lender.  If the Company shall be required by law or
regulation to make any deduction, withholding or backup withholding of any
taxes, levies, imposts, duties, fees, liabilities or similar charges of the
United States of America, any possession or territory of the United States of
America (including the Commonwealth of Puerto Rico) or any area subject to the
jurisdiction of the United States of America (“U.S. Taxes”) from any
payments to a Lender pursuant to any Loan Document in respect of the
Obligations payable to such Lender then or thereafter outstanding, the Company
shall make such withholdings or deductions and pay the full amount withheld or
deducted to the relevant taxation authority or other authority in accordance
with applicable law.

(f)            Substitution of
Lender.  In the event the Company is
required pursuant to this Section 2.21 to pay any additional amount to any
Lender, such Lender shall, if no Event of Default or Unmatured Event of Default
has occurred and is continuing, upon the request of the Company to such Lender
and the Agent, assign, pursuant to and in accordance with the provisions of
Section 8.5(c), all of its rights and obligations under this Agreement and
under the Loan Documents to another Lender or an assignee selected by the
Company and reasonably satisfactory to the Agent, in consideration for (i) the
payment by such assignee to the assigning Lender of the principal of, and
interest accrued and unpaid to the date of such assignment on, the Loans made
by such Lender, (ii) the payment by the Company to the assigning Lender of any
and all other amounts owing to such Lender under any provision of this
Agreement accrued and unpaid to the date of such assignment and (iii) the
Company’s release of the assigning Lender from any further obligation or
liability under this Agreement. 
Notwithstanding anything to the contrary in this Section 2.21(f), in no
event shall the replacement of any Lender result in a decrease in the aggregate
Commitment Amounts without the written consent of the Majority Lenders.

ARTICLE
III

CONDITIONS PRECEDENT

Section
3.1                                      Conditions
Precedent to Effectiveness of Agreement. 
The effectiveness of this Agreement shall be subject to the prior or
simultaneous fulfillment of each of the following conditions:

 21
 

(a)  the Agent shall have received the
following:

(i)                                     This
Agreement, duly executed by the Company and the Lenders;

(ii)                                  Notes
payable to any Lenders requesting such Notes, duly executed by the Company,
complying with the requirements of Section 2.3;

(iii)                               Guaranties
of the initial Guarantors, duly executed by such Guarantors;

(iv)                              copies
of the articles or certificate of incorporation or organization, including all
amendments thereto, of the Company and the initial Guarantors, certified, as of
a date acceptable to the Agent, by the appropriate governmental official of the
jurisdiction of its incorporation or organization;

(v)                                 long-form
certificates of good standing of the Company and the initial Guarantors, as of
a date acceptable to the Agent, from such governmental official;

(vi)                              certificates
of the Secretary or an Assistant Secretary of the Company and the initial
Guarantors, dated the Effective Date, certifying (A) that attached thereto
is a true and complete copy of the organizational documents of the Company or
such Guarantor as in effect on such date, (B) that attached thereto is a
true and complete copy of resolutions duly adopted by the Board of Directors,
sole shareholder or other governing body of the Company or such Guarantor,
authorizing the execution, delivery and performance of the Loan Documents to
which it is a party and, in the case of the Company, the borrowings thereunder,
and certifying that such resolutions have not been modified, rescinded or
amended and are in full force and effect, (C) that the articles or
certificate of incorporation or organization of the Company or such Guarantor
have not been amended since the date of the last amendment thereto shown on the
certificate of good standing furnished pursuant to Section 3.1(a)(iv), and
(D) as to the authority, incumbency and specimen signature of each officer
executing any Loan Document or any other document delivered in connection
herewith or therewith on behalf of the Company or such Guarantor;

(vii)                           the
Historical Financial Statements;

(viii)                        the
favorable written opinion of Latham & Watkins LLP, counsel for the Company
and its Subsidiaries, addressed to the Lenders, as to the matters and to the
effect set forth in Exhibit D-1 and (B) General Counsel of the Company, as
to the matters and to the effect set forth in Exhibit D-2; and

(ix)                                a
certificate of the appropriate financial officer of the Company to the effect
that, as of the Effective Date, the representations and warranties of the
Company set forth herein and of each initial Guarantor set forth

 22
 

in its
Guaranty are true and correct, and that no Event of Default or Unmatured Event
of Default has occurred or will exist.

(b)         the Agent and the Lenders
shall have received all fees and other amounts due and payable by the Company
to the Agent and the Lenders under, or as contemplated by, this Agreement or
any other Loan Document on or prior to the Effective Date, including, but not
limited to, the reasonable fees and expenses of counsel to the Agent payable
pursuant to Section 8.3.

(c)          The representations and
warranties of the Company contained in Article IV and of each Guarantor
contained in its Guaranty shall be true and correct on and as of the Effective
Date.

(d)         The Company shall have
performed and complied with all agreements, terms and conditions contained in
this Agreement required to be performed or complied with by the Company prior
to or simultaneously with the Effective Date.

(e)          Prior to the Effective
Date, the Agent shall have received all documentation and other information
required by bank regulatory authorities under applicable “know-your-customer”
and anti-money laundering rules and regulations, including the U.S.A. Patriot
Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)).

Delivery of an executed counterpart
of this Agreement (or facsimile thereof) by the Lenders and the Agent shall
constitute their confirmation that all of the conditions precedent set forth in
this Section 3.1 have been satisfied or waived by the Lenders and shall
establish conclusively that this Agreement has become effective.

Section
3.2                                      Conditions
Precedent to Each Loan.  The
obligation of the Lenders to make all Loans shall be subject to the fulfillment
of the following conditions:

(a)          the representations and
warranties of the Company contained in Article IV (except for the last sentence
of Section 4.5) and of each Guarantor contained in its Guaranty shall be true
and correct on and as of the date on which each Loan is requested to be made,
on which each Advance is requested to be continued or converted with the same
force and effect as if made on and as of such date, and the giving of the
relevant Notice of Borrowing, Continuation or Conversion shall constitute a
representation and warranty to such effect;

(b)         no Event of Default or
Unmatured Event of Default shall have occurred and be continuing on the
Borrowing Date or would exist after giving effect to the making of the
requested Loan or the requested continuation or conversion of an Advance; and

(c)          the Agent shall have
received a timely and properly completed Notice of Borrowing, Continuation or
Conversion, as required under Section 2.2;

 23
 

provided,
however, that (notwithstanding the foregoing)
the representations and warranties set forth in Sections 4.7, 4.8, 4.10, 4.11,
4.12 and 4.14, and the covenants set forth in Sections 5.1, 5.8, 5.9 and 5.17
(and any Unmatured Event of Default or Default described in Section 6.1(b), (c)
or (d) related to any of the forgoing Sections) shall be disregarded in
determining the obligation of the Lenders to make any and all Initial Loans
requested by the Company to be made on or prior on July 6, 2007.

ARTICLE
IV

REPRESENTATIONS AND WARRANTIES

To induce the Lenders to
enter into this Agreement, to grant their respective Commitments and to make
Loans hereunder, the Company hereby represents and warrants to the Lenders that:

Section
4.1                                      Organization,
Standing, Etc..  The Company is a
corporation duly incorporated, validly existing and in good standing under the
laws of the jurisdiction of its incorporation and has all requisite corporate
power and authority to carry on its business as now conducted, to enter into
this Agreement and to perform its obligations under each Loan Document to which
it is a party.  Each Subsidiary of the
Company is duly organized, validly existing and in good standing under the laws
of its jurisdiction of organization and has all requisite power and authority
to carry on its business as now conducted. 
The Company and each Material Subsidiary (a) holds all certificates
of authority, licenses and permits necessary to carry on its business as
presently conducted in each jurisdiction in which it is carrying on such
business, except where the failure to hold such certificates, licenses or
permits would not have a Material Adverse Effect, and (b) is duly
qualified and in good standing as a foreign corporation in each jurisdiction in
which the character of the properties owned, leased or operated by it or the
business conducted by it makes such qualification necessary and the failure so
to qualify would permanently preclude it from enforcing its rights with respect
to any assets or expose it to any liability, which in either case could have a
Material Adverse Effect.

Section
4.2                                      Authorization
and Validity.  The execution,
delivery and performance by the Company of each Loan Document to which it is a
party have been duly authorized by all necessary corporate action, and this
each Loan Document to which the Company is a party constitutes the legal, valid
and binding obligations of the Company, enforceable against the Company in
accordance with its respective terms, subject to limitations as to
enforceability which might result from bankruptcy, insolvency, moratorium and
other similar laws affecting creditors’ rights generally and general principles
of equity.

Section
4.3                                      Compliance
With Law and Other Agreements.  The
execution, delivery and performance by the Company and each Guarantor of each
Loan Document to which it is a party will not (a) violate any provision of
any law, statute, rule or regulation or any order, writ, judgment, injunction,
decree, determination or award of any Governmental Authority applicable to the
Company or any Subsidiary, (b) violate or contravene any provision of the
organizational documents of the Company or any Subsidiary, or (c) after
giving effect to the notice of termination of the commitments of the lenders
under the 5-Year Credit Agreement dated as of December 22, 2004 among the
Company, the lenders parties thereto and U.S. Bank National Association, as
administrative agent for such lenders, which notice has been delivered

 24
 

to U.S. Bank National Association as of the date
hereof, result in a breach of or constitute a default under any indenture, loan
or credit agreement or any other agreement, lease or instrument to which the
Company or any Subsidiary is a party or by which the Company, any Subsidiary or
any of their properties may be bound, or result in the creation of any Lien
thereunder.

Section
4.4                                      Governmental
Consent.  No order, consent,
approval, license, authorization or validation of, or filing, recording or
registration with, or exemption by, any Governmental Authority is required on
the part of the Company or any Subsidiary to authorize, or is required in
connection with, the execution, delivery and performance of, or the legality,
validity, binding effect or enforceability of, the Loan Documents.

Section
4.5                                      Financial
Statements and No Material Adverse Change. 
The Company’s audited financial statements as of March 3, 2007, as
heretofore furnished to the Lenders and as filed with the Securities and
Exchange Commission, have been prepared in conformity with GAAP on a consistent
basis and fairly present the Consolidated financial condition of the Company as
at such date and the results of its operations and cash flow for the period
then ended.  As of the date of such
financial statement, neither the Company nor any Subsidiary had any material
obligation, contingent liability, liability for taxes or long-term lease
obligations or unusual forward or long-term commitment which is required by
GAAP to be, but is not, either reflected in such financial statement or in the
notes thereto.  Since March 3, 2007
(disregarding the repurchase of Company Shares and the related transactions),
no material adverse change has occurred in the business, assets, operations or
financial condition of the Company and its Subsidiaries taken as a whole.

Section
4.6                                      Litigation.  There are no actions, suits or proceedings
pending or, to the knowledge of the Company, threatened against or affecting
the Company, any Subsidiary or any of their properties before any arbitrator or
any Governmental Authority which have had or would reasonably be expected to
have a Material Adverse Effect.

Section
4.7                                      ERISA.  As of the Effective Date, neither the Company
nor any ERISA Affiliate is a party to or has any liability to any Multiemployer
Plan.  Except as required under Section
4980B of the Code, Section 601 of ERISA or applicable state law, neither the
Company nor any Subsidiary is obligated to provide post-retirement medical or insurance
benefits with respect to employees or former employees.

Section
4.8                                      Environmental,
Health and Safety Laws.  Neither the
Company nor any Subsidiary has received any notice to the effect that any part
of its operations or properties is not in 
compliance with any such law, rule, regulation or order or notice that
it or its property is the subject of any governmental investigation evaluating
whether any remedial action is needed to respond to any release of any toxic or
hazardous waste or substance into the environment, which non-compliance or
remedial action could reasonably be expected to have a Material Adverse Effect
on the Company.

Section
4.9                                      Federal
Reserve Regulations.  Neither the
Company nor any Subsidiary is engaged principally or as one of its important
activities in the business of extending credit for the purpose of purchasing or
carrying margin stock.  The value of all
margin stock

 25
 

owned by the Company and its Subsidiaries does not
constitute more than 25% of the value of the Consolidated assets of the
Company.

Section
4.10                                Title
to Property; Possession Under Leases. 
Each of the Company and its Subsidiaries has good title, free of all
Liens other than those permitted by Section 5.12 hereof, to all of the
properties and assets reflected in the most recent financial statements delivered
to the Lenders hereunder as being owned by it and all assets acquired
subsequent to the date of such financial statements, except for assets disposed
of in the ordinary course of business. 
To the knowledge of the Company, there are no actual, threatened or
alleged defaults with respect to any leases of any real or personal property
under which the Company or any of its Material Subsidiaries is lessor, in each
case which actual, threatened or alleged defaults could have a Material Adverse
Effect.

Section
4.11                                Taxes.  No tax Liens have been filed and no material claims
are being asserted with respect to any such taxes, fees or charges, other than
those permitted by Section 5.12(c).  The
charges, accruals and reserves on the books of the Company and each Subsidiary
in respect of taxes and other governmental charges are adequate and the Company knows
of no proposed material tax assessment against it or any Subsidiary or any
basis therefor.  The United States income
tax returns of the Company and its Subsidiaries have been audited by the
Internal Revenue Service and closed to adjustment by the Internal Revenue
Service or the Company for all fiscal years of the Company ending on or before
March 2, 2002.

Section
4.12                                Trademarks,
Patents.  Each of the Company and its
Material Subsidiaries possesses or has the right to use all of the patents,
trademarks, trade names, service marks and copyrights, and applications
therefor, and all technology, know-how, processes, methods and designs used in
or necessary for the conduct of its business, without known conflict with the
rights of others except conflicts that would not be likely to have a Material
Adverse Effect on the Company.

Section
4.13                                Investment
Company Act.  The Company is not an “investment
company” or a company “controlled” by an investment company within the meaning
of the Investment Company Act of 1940, as amended.

Section
4.14                                Subsidiaries.  Schedule 4.14(a) sets forth the
organizational chart of the Company and its Subsidiaries as of the Effective
Date, including the legal name and the jurisdiction of incorporation of each of
the Company’s Subsidiaries as of the date indicated therein.  Schedule 4.14(b) separately identifies all
Restricted Subsidiaries and Material Subsidiaries as of the Company’s fiscal
year ended March 3, 2007 and, with respect to each Restricted Subsidiary sets
forth (i) the jurisdiction of incorporation of such Restricted Subsidiary, (ii)
the authorized and outstanding capital stock of such Restricted Subsidiary by
class and number and (iii) the name of each Person owning the capital stock of
such Restricted Subsidiary.  There are no
warrants, options or other rights to purchase any capital stock in any
Restricted Subsidiary.

 26

ARTICLE V

COVENANTS

Until the Commitments shall
have expired or been terminated and all of the Loans shall have been paid in
full, unless the Majority Lenders shall otherwise consent in writing, the
Company will:

Section
5.1                                      Financial
Statements.  Furnish to the Agent,
with a copy for each Lender:

(a)          as soon as available and
in any event within 90 days after the end of each fiscal year of the Company, a
copy of the Consolidated financial statements of the Company consisting of at
least statements of income, a reconciliation of changes in equity accounts and
cash flow statements for such fiscal year and balance sheets as at the end of
such fiscal year, setting forth in each case in comparative form corresponding
figures from the preceding year audit, certified without qualification as to
scope, as to the going concern nature of the Company, by Deloitte & Touche
LLP or other independent certified public accountants of recognized national
standing selected by the Company;

(b)         as soon as available and
in any event within (i) in the case of the last fiscal quarter of each year, 60
days and (ii) in all other cases, 45 days, after the end of each fiscal
quarter, a copy of the unaudited Consolidated financial statements of the
Company consisting of at least statements of income for said fiscal quarter and
for the period from the beginning of the fiscal year to the end of such fiscal
quarter, cash flow statements for such fiscal quarter and for the period from
the beginning of the fiscal year to the end of such fiscal quarter and balance
sheets as at the end of such fiscal quarter, setting forth, in each case,
comparative figures for the corresponding period of the preceding fiscal year,
certified by the chief financial officer of the Company or his designee as
being true and prepared in accordance with GAAP, except for year-end audit
adjustments and the absence of footnotes;

(c)          promptly after the
sending or filing thereof, copies of all regular and periodic financial reports
which the Company or any Subsidiary shall file with the Securities and Exchange
Commission or any national securities exchange;

(d)         such other information
respecting the financial condition and results of operations of the Company as
the Agent or any Lender may from time to time reasonably request; and

(e)          as soon as available and
in any event within (i) in the case of the last fiscal quarter of each year, 60
days and (ii) in all other cases, 45 days after the end of each fiscal quarter,
and together with the financial statements required pursuant to Section 5.1(b),
a properly completed Compliance Certificate, signed by an appropriate financial
officer of the Company.

Documents required to be
delivered pursuant to Section 5.1(a), (b) and (c) (to the extent any such
documents are included in materials otherwise filed with the Securities and
Exchange Commission) may be delivered electronically and, if so delivered,
shall be

 27
 

deemed to have been
delivered on the date (i) on which the Company posts such documents on
www.sec.gov, or provides a link thereto, on the Company’s website at
www.bestbuy.com; or (ii) on which such documents are posted on the Company’s
behalf on IntraLinks/IntraAgency or another relevant website, if any, to which
each Lender and the Agent have ready access without charge (whether a commercial,
third-party website or whether sponsored by the Agent); provided that
the Company shall deliver paper copies of such documents to the Agent or any
Lender that requests the Company to deliver such paper copies.

Section
5.2                                      Corporate
Existence.  Except as permitted by
Section 5.11, maintain, and cause each Material Subsidiary to maintain, its
corporate existence in good standing under the laws of its jurisdiction of
incorporation and its qualification to transact business in each jurisdiction
where failure so to qualify would permanently preclude the Company or such
Subsidiary from enforcing its rights with respect to any material asset or
would expose the Company or such Subsidiary to any material liability, and do
or cause to be done, and cause each Material Subsidiary to do or cause to be
done, all things necessary to obtain, preserve, renew, extend and keep in full
force and effect the rights, licenses, permits, franchises and authorizations
material to the conduct of its business.

Section
5.3                                      Compliance
with Laws, Etc..  Comply, and cause
each Subsidiary to comply, in all respects with all applicable laws, rules,
regulations and orders of any Governmental Authority applicable to the Company
or such Subsidiary, whether now in effect or hereafter enacted, the failure to
comply with which has had or would likely have a Material Adverse Effect on the
Company.

Section
5.4                                      Insurance.  Keep, and cause each Subsidiary to keep, its
insurable properties adequately insured at all times by financially sound and
reputable insurers; maintain, and cause each Subsidiary to maintain, such other
insurance, in such amounts and against such risks, as is customary with
companies in the same or similar businesses, including (i) public
liability insurance against such tort claims which may be asserted against it,
and (ii) fire and other risks insured against by extended coverage; and
maintain, and cause each Subsidiary to maintain, such other insurance as may be
required by law or agreement.

Section
5.5                                      Payment
of Indebtedness, Taxes and Claims. 
Pay, and cause each of its Subsidiaries to pay, its Indebtedness and
other obligations promptly and in accordance with their terms; file, and cause
each of its Subsidiaries to file, all tax returns and reports which are
required by law to be filed by it; pay, and cause each of its Subsidiaries to
pay, before they become delinquent, all taxes, assessments and governmental
charges and levies imposed upon it or its property and all claims or demands of
any kind (including but not limited to those of suppliers, mechanics, carriers,
warehousemen, landlords and other like Persons) which, if unpaid, might result
in the creation of a Lien upon its property; provided that the foregoing
items need not be paid if they are being contested in good faith by appropriate
proceedings, and as long as the Company’s or such Subsidiary’s title to its
property is not materially adversely affected, its use of such property in the
ordinary course of its business is not materially interfered with and adequate
reserves with respect thereto have been set aside on the Company’s or such
Subsidiary’s books in conformity with GAAP.

 28
 

Section
5.6                                      Books
and Records; Inspections; Audits. 
Keep, and cause each Subsidiary to keep, proper books and records of
account in which full, true and correct entries will be made of all its
dealings, business and affairs in accordance with GAAP consistently applied and
consistent with the principles applied in the preparation of the financial
statements referred to in Section 4.5; permit, and cause each Subsidiary to
permit, any Person designated by any Lender to visit and inspect any of its
properties, corporate books and financial records and to copy and make extracts
therefrom and to discuss its affairs and finances with its officers and with
its independent certified public accountants, all at such times during regular
business hours as such Lender shall reasonably request (collectively, the “Inspections”);
provided that the Company shall not be obligated to permit any Lender to conduct
more than one Inspection in any calendar year unless a Default or Event of
Default is then continuing.

Section
5.7                                      Maintenance
of Properties.  Maintain, and cause
each Subsidiary to maintain, its properties used or useful in the conduct of
its business in good condition, repair and working order, except to the extent
that the failure to so maintain its properties would not likely have a Material
Adverse Effect on the Company or such Subsidiary.

Section
5.8                                      ERISA.  Establish, maintain and operate each Plan in
compliance with all material applicable requirements of ERISA and of the Code
and with all material applicable rulings and regulations issued under the
provisions of ERISA and of the Code, and will not, and will not permit any
ERISA Affiliate to, (a) engage in any transaction in connection with which
the Company or any ERISA Affiliate would be subject to either a civil penalty
assessed pursuant to Section 502(i) of ERISA or a tax imposed by Section 4975
of the Code, in either case in an amount exceeding $100,000, (b) fail to
make full payment when due of all amounts which, under the provisions of any
Plan, the Company or any ERISA Affiliate is required to pay as contributions
thereto, or permit to exist any accumulated funding deficiency (as such term is
defined in Section 302 of ERISA and Section 412 of the Code), whether or not
waived, with respect to any Plan in an aggregate amount exceeding $20,000,000
or (c) fail to make any payments in an aggregate amount exceeding
$20,000,000 to any Multiemployer Plan that the Company or any ERISA Affiliate
may be required to make under any agreement relating to such Multiemployer Plan
or any law pertaining thereto.

Section
5.9                                      Litigation
and Other Notices.  Furnish to the
Agent, with a copy for each Lender, written notice of the following promptly
after any officer of the Company or any Subsidiary becomes aware of the same:

(a)          any Event of Default or
Unmatured Event of Default, specifying the nature and extent thereof and the
corrective action (if any) proposed to be taken with respect thereto;

(b)         the filing or
commencement of, or receipt of notice of intention of any person to file or
commence, any action, suit or proceeding, whether at law or in equity or by or
before any Governmental Authority, against the Company or any Subsidiary which
has had or would likely have a Material Adverse Effect on the Company or such
Subsidiary;

 29
 

(c)          any development
affecting or relating to the Company or any Subsidiary, including without
limitation any development in litigation, that in the reasonable judgment of
the Company has had, or would likely have, a Material Adverse Effect on the
Company or such Subsidiary;

(d)         the issuance by any
Governmental Authority of any injunction, order, decision or other restraint
prohibiting, or having the effect of prohibiting, the Loans, or the initiation
of any litigation or similar proceeding seeking any such injunction, order or
other restraint;

(e)          the occurrence of any
Reportable Event with respect to any Plan and the action which is proposed to
be taken with respect thereto, together with a copy of the notice of such
Reportable Event to the PBGC;

(f)            the commencement of
any judicial or administrative proceeding relating to health, safety or
environmental matters in which an adverse determination or result could result
in the revocation of on any operating permits, air emission permits, water
discharge permits, hazardous waste permits or other permits held by the Company
or any Subsidiary which are material to the operations of the Company or such
Subsidiary, or (ii) which will or threatens to impose a liability on the
Company or such Subsidiary to any Person or which will require an expenditure
by the Company or such Subsidiary to cure any alleged problem or violation, in
each case to the extent such revocation or liability has had or would likely
have a Material Adverse Effect on the Company or such Subsidiary; or

(g)         the issuance by any
Governmental Authority of any injunction, order or decision, or the entry by
the Company or any Subsidiary into an agreement with any Governmental Agency,
restricting the business of the Company or any Subsidiary or concerning any
business practice of the Company or any Subsidiary, in each case to the extent
such issuance has had or would likely have a Material Adverse Effect on the
Company or such Subsidiary; or

(h)         any change in the Company’s
long-term senior unsecured debt rating by Moody’s or corporate credit rating by
S&P.

Section
5.10                                Restricted
Payments.  Not make Restricted
Payments unless both before and after giving effect thereto, no Event of
Default or Unmatured Event of Default will have occurred or be continuing,
other than the purchase of the Company Shares with the proceeds of the Initial
Loans.

Section 5.11                                Restrictions
on Fundamental Changes; Guaranties of Restricted Subsidiaries.

(a)          Not, and not permit any
Subsidiary to engage in any business activities or operations if, as a result
thereof, the general nature of the business of the Company or the Company and
its Subsidiaries taken as a whole would be substantially changed from that
conducted on the Effective Date.  So long
as no Unmatured Event of Default or Event of Default is continuing the Company
is and continues to be in compliance with

 30
 

the
requirements of Section 5.18 before and after any of the transactions
hereinafter described, the Company or any Subsidiary may (i) upon not less than
10 Business Days’ prior written notice to the Agent and the Lenders, merge or
consolidate with any other Person, so long as the Company or any other Subsidiary
is the survivor; (ii) sell, lease or otherwise dispose of (or enter into any
commitment to convey, sell, lease, transfer or otherwise dispose of) all or any
part of its business or assets; (iii) acquire by purchase or otherwise all of
the business or property of, or stock or other evidence of beneficial ownership
of, any Person or (iv) create or acquire any new Subsidiaries.

(b)         With respect to each
Subsidiary that becomes a Restricted Subsidiary after the Effective Date: (a)
the Company will furnish to the Lenders written notice within 30 Business Days
after such Subsidiary becomes a Restricted Subsidiary and (b) the Company will,
within 30 Business Days of any written request therefor by the Agent at the
direction of the Majority Lenders (i) cause such Subsidiary to duly execute and
deliver to the Agent a Guaranty properly completed for such Subsidiary and in
sufficient counterparts for the Agent and the Lenders and (ii) furnish to the
Agent documents of the type specified in Sections 3.1(a)(iv), (v) and (vi)
properly completed for such Subsidiary and dated a date reasonably acceptable
to the Agent.  Nothing in this Agreement
shall obligate the Agent or the Lenders to release or terminate a Guaranty of
any Guarantor which ceases to be a Restricted Subsidiary.

Section
5.12                                Liens.  Not, and not permit any Subsidiary to,
create, incur, assume or suffer to be created, incurred or exist any Lien, or
enter into or make any commitment to enter into any arrangement for the
acquisition of any property through conditional sale, lease-purchase, or other
title retention agreements with respect to property now owned or hereafter
acquired by the Company or any Subsidiary, except:

(a)          Liens existing on the
Effective Date (or such other date set forth in such Schedule 5.12(a)) and
described in Schedule 5.12(a), and Liens on the same property securing any
Indebtedness the proceeds of which are used solely to refinance the
Indebtedness secured by such existing Liens;

(b)         deposits or pledges, or
cash collateral given to any financial institution that has issued a letter of
credit, in any case to secure payment of workers’ compensation, unemployment
insurance, old age pensions or other social security obligations, incurred in
the ordinary course of business of the Company;

(c)          Liens for taxes, fees,
assessments and governmental charges not delinquent or which are being
contested in good faith by appropriate proceedings and for which whatever
reserves required by GAAP have been established;

(d)         Liens consisting of
easements, rights-of-way, zoning restrictions, restrictions on the use of real
property, and defects and irregularities in the title thereto, landlords’,
materialmen’s or mechanic’s liens and other similar liens and encumbrances none
of which interfere materially with the use of the property covered thereby in
the ordinary course of the business of the Company or such Subsidiary and which
do not materially detract from the value of such properties;

 31
 

(e)          Subject to the
limitation set forth in Section 5.13(d), Liens created or assumed in connection
with the acquisition of real property by the Company or any Subsidiary,
provided that such Liens attach only to the property acquired and secure only
Indebtedness incurred solely to finance the acquisition of such property, and
Liens on the same property securing any Indebtedness the proceeds of which are
used solely to refinance such Indebtedness;

(f)            Subject to the
limitation set forth in Section 5.13(d), Liens on inventory of the Company or
any Subsidiary and proceeds thereof pursuant to agreements with the suppliers
of inventory or inventory lenders to the Company or such Subsidiary, provided
that such Liens attach only to inventory financed pursuant to such agreements
and secure only Indebtedness incurred solely to finance the acquisition of such
inventory by the Company or such Subsidiary;

(g)         Liens on equipment,
provided that such Liens secure only Indebtedness incurred solely to finance,
or reimburse the Company for the cost of, capital expenditures for the
acquisition or construction of such equipment; and

(h)         Liens on Company Shares.

Section
5.13                                Indebtedness.  Not, and not permit any Subsidiary to, incur,
create, issue, assume or remain liable for any Indebtedness, except:

(a)          the Obligations;

(b)         any other Indebtedness
existing on the Effective Date and described in Schedule 5.13, and Indebtedness
the proceeds of which are used solely to refinance such Indebtedness;

(c)          Indebtedness secured by
Liens permitted under Section 5.12(g);

(d)         Indebtedness secured by
Liens permitted under Section 5.12(e) and (f), provided the amount of such
Indebtedness at any time outstanding does not exceed thirty-five percent of the
lower of cost (determined on an average cost basis) or market value of the
Company’s real estate or inventory, respectively;

(e)          Indebtedness in respect
of Documentary Letters of Credit incurred in the ordinary course of business;

(f)            current liabilities,
other than for borrowed money, incurred in the ordinary course of business;

(g)         the Indebtedness existing
on the Effective Date and described in Schedule 5.13(g), and Indebtedness the
proceeds of which are used solely to refinance such Indebtedness (the “Canadian
Indebtedness”);

 32
 

(h)         other Indebtedness not
secured by a Lien prohibited by Section 5.12, so long as such Indebtedness is
created at a time when no Unmatured Event of Default or Event of Default is
continuing or would result therefrom.

Section 5.14                                Guarantees.  Not, and not permit any Subsidiary to, be or
become liable  on any Guarantee, except
Guarantees of the Indebtedness permitted by Section 5.13.

Section 5.15                                Negative Pledges.  Not, and not permit any Subsidiary to, enter
into any agreement, bond, note or other instrument for the benefit of any
Person other than the Agent and the Lenders that would (a) prohibit the Company
or such Subsidiary from granting, or otherwise limit the ability of the Company
or such Subsidiary to grant, any Lien on any of its property to the Agent, for
the benefit of the Lenders, or to lenders providing credit facilities to replace
the Commitments or refinance the Obligations, except (i) limitations created in
agreements creating Liens on, and applicable only to, property on which a Lien
is granted by the Company as permitted in Sections 5.12(b), (e), (f) or (g) or
(ii) limitations in agreements creating the Canadian Indebtedness, or (b)
require the Company or such Subsidiary to grant a Lien to any other Person if
the Company or such Subsidiary grants Liens to the Agent, for the benefit of
the Lenders, or to lenders providing credit facilities to replace the
Commitments or refinance the Obligations.

Section
5.16                                Federal
Reserve Regulations.  Not use any
part of the proceeds of any Loan directly or indirectly (a) to purchase or
carry margin stock (other than as provided in Section 2.12) or to extend credit
to others for the purpose of purchasing or carrying margin stock or to refund
Indebtedness originally incurred for such purpose or (b) for any purpose
which entails a violation of, or which is inconsistent with, the provisions of
Regulations U or X.

Section
5.17                                Environmental
Matters.  Observe and comply with,
and cause each Subsidiary to observe and comply with, all laws, rules,
regulations and orders of any government or government agency relating to
health, safety, pollution, hazardous materials or other environmental matters
to the extent non-compliance could result in a Material Adverse Effect on the
Company.

Section 5.18                                Financial Covenants.  

(a)          Cash Flow Leverage
Ratio.  Not permit the Cash Flow
Leverage Ratio at the end of each fiscal quarter during any such fiscal
quarter, commencing with the fiscal quarter ending September 1, 2007, to exceed
3.50 to 1.00

(b)         Interest Coverage
Ratio.  Not permit the Interest
Coverage Ratio, as at the end of any fiscal quarter for the Measurement Period
ending on that date, commencing with the fiscal quarter ending September 1,
2007, to be less than 2.75 to 1.00.

ARTICLE
VI

EVENTS OF DEFAULT AND REMEDIES

Section
6.1                                      Events
of Default.  The occurrence of any
one or more of the following events shall constitute an Event of Default:

 33
 

(a)          the Company shall fail
to pay when due, whether by acceleration of maturity, required prepayment or
otherwise, any payment of principal of or interest on the Notes or any other
Obligation required to be paid to the Agent or any Lender pursuant to this
Agreement or any other Loan Document, and in the case of any such failure with
respect to any interest or fee payment hereunder, such failure shall continue
for 3 Business Days; or

(b)         any representation or
warranty made by or on behalf of the Company or any Subsidiary in this
Agreement or any other Loan Document or in any certificate, statement, report
or document herewith or hereafter furnished to the Agent or any Lender pursuant
to this Agreement or any other Loan Document shall prove to have been false or
misleading in any material respect on the date as of which the facts set forth
are stated or certified; or

(c)          the Company or any
Material Subsidiary shall fail to preserve its corporate existence under the
laws of the jurisdiction of its incorporation or shall fail to comply with any
term, covenant or agreement contained in Sections 5.9(a), 5.10 through 5.18; or

(d)         the Company shall fail to
comply with any other agreement, covenant, condition, provision or term
contained in this Agreement (other than those herein above set forth in this
Section 6.1) or any other Loan Document and such failure to comply shall
continue for 30 days after whichever of the following dates is the earliest:  (i) the date the Company gives notice of
such failure to the Agent, (ii) the date the Company should have given
notice of such failure to the Agent pursuant to Section 5.9, or (iii) the
date the Agent gives notice of such failure to the Company; or

(e)          the Company or any
Subsidiary shall become insolvent or shall generally not pay its debts as they
mature or shall apply for, shall consent to, or shall acquiesce in the
appointment of a custodian, trustee or receiver of the Company or any
Subsidiary or for a substantial part of the property of any of them or, in the
absence of such application, consent or acquiescence, a custodian, trustee or
receiver shall be appointed for the Company or any Subsidiary or for a
substantial part of the property of any of them or the Company or any Subsidiary
shall make an assignment for the benefit of creditors; or

(f)            any bankruptcy,
receivership, custodianship, reorganization, debt arrangement or other
proceedings under any bankruptcy or insolvency law shall be instituted by or
against the Company or any Subsidiary, and, if instituted against the Company
or any Subsidiary, shall have been consented to or acquiesced in by the Company
or such Subsidiary, as applicable, or shall not have been dismissed within 60
days, or an order for relief shall have been entered against the Company or
such Subsidiary, as applicable; or

(g)         any dissolution or
liquidation proceeding shall be instituted by or against the Company or any
Subsidiary and, if instituted against the Company or any

 34
 

Subsidiary,
shall be consented to or acquiesced in by the Company or such Subsidiary or
shall not have been dismissed within 60 days; or

(h)         one or more judgments for
the payment of money in an aggregate amount in excess of $50,000,000 shall be
rendered against the Company or any Subsidiary (unless such judgment is covered
by insurance and the insurer has offered to defend such judgment or
acknowledged, in writing, its liability with respect thereto) and the same
shall remain undischarged for a period of 60 consecutive days during which execution
shall not be effectively stayed, or any action shall be legally taken by a
judgment creditor to levy upon assets or properties of the Company or any
Subsidiary to enforce any such judgment; or

(i)             the Company or any
Subsidiary shall (i) fail to pay any principal or interest, regardless of
amount, due in respect of Indebtedness in a principal amount aggregating in
excess of $50,000,000, when and as the same shall become due and payable (after
giving effect to any applicable grace period specified in the instrument
evidencing or governing such Indebtedness), or (ii) fail to observe or
perform any other term, covenant or provision contained in any instrument
evidencing or governing such Indebtedness in a principal amount aggregating in
excess of $50,000,000 (after giving effect to any applicable grace period
specified in the instrument evidencing or governing such Indebtedness) if the
effect of any such failure is to cause, or to permit the holder or holders of
such Indebtedness or a trustee or other Person acting on behalf of such holder
or holders to cause, such Indebtedness to become due prior to its stated
maturity or to realize on any collateral given as security for such
Indebtedness; provided, however, that any of the foregoing occurrences with respect
to any Indebtedness arising from the purchase of goods or services by the
Company that is being contested in good faith by appropriate proceedings shall
not constitute an Event of Default as long as the Company’s or such Subsidiary’s
title to any substantial part of its property is not materially adversely
affected, its use of such property in the ordinary course of its business is
not materially interfered with and adequate reserves with respect thereto have
been set aside on its books in conformity with GAAP; or

(j)             any execution or
attachment shall be issued whereby any substantial part of the property of the
Company or any Subsidiary shall be taken or attempted to be taken and the same
shall not have been vacated or stayed within 60 days after the issuance
thereof; or

(k)          any of the following
shall have occurred:

(i)                                     a
Reportable Event as defined in Section 4043(b), subdivision (5), of ERISA shall
have occurred with respect to any Plan subject to Title IV of ERISA (other than
any Multiemployer Plan) unless a waiver of the failure to meet minimum funding
standards under Section 412 of the Code shall have been timely applied for and
shall not have been denied; or

 35
 

(ii)                                  a
Reportable Event as defined in Section 4043(b), subdivision (6), of ERISA shall
have occurred with respect to any Plan subject to Title IV of ERISA (other than
any Multiemployer Plan); or

(iii)                               the
Company or any ERISA Affiliate shall have engaged in any Prohibited Transaction
and either (1) the Prohibited Transaction shall not have been corrected
within the correction period applicable to it under Section 502(i) of ERISA or
Section 4975(b) of the Code, or (2) an exemption shall not be applicable
or have been obtained under Section 408 of ERISA or Section 4975 of the Code;
or

(iv)                              the
PBGC shall have terminated any Plan other than any Multiemployer Plan under
Title IV of ERISA or the Company or any ERISA Affiliate shall have received
notice from the PBGC of the intention of the PBGC to terminate any such Plan or
to appoint a Trustee to administer any such Plan, which notice shall not have
been withdrawn within 14 days of the date thereof; or

(v)                                 the
Company or any ERISA Affiliate shall have voluntarily terminated any Plan
subject to Title IV of ERISA (other than a Multiemployer Plan), pursuant to a
distress termination under Title IV of ERISA; or

(vi)                              the
Company or any ERISA Affiliate, as an employer under a Multiemployer Plan,
shall have made a complete or partial withdrawal from such Multiemployer Plan;

and,
upon the occurrence of any of the foregoing, the aggregate amount of the
Unfunded Liabilities of all Plans subject to Title IV of ERISA shall exceed in
the aggregate $20,000,000 or the Company shall incur liability in excess of
$20,000,000 in the aggregate; or

(l)             a Change of Control shall
occur.

Section
6.2                                      Remedies.  If (x) any Event of Default described in
Section 6.1(e), (f) or (g) shall occur, the Commitments shall automatically
terminate, the Obligations shall automatically become immediately due and
payable and the Agent, at the direction of the Majority Lenders, may enforce
all rights and exercise all remedies of the Agent or the Lenders under the Loan
Documents and under applicable law, or (y) any other Event of Default
shall occur and be continuing, then, the Agent, at the direction of the
Majority Lenders, shall at any time and from time to time do any or all of the
following:  (i) declare the
Commitments terminated, whereupon the Commitments shall be terminated,
(ii) declare the Obligations to be forthwith due and payable, whereupon
the Obligations shall immediately become due and payable, in each case without
presentment, demand, protest or other notice of any kind, all of which are
hereby expressly waived, anything in this Agreement or the other Loan Documents
to the contrary notwithstanding, and (iii) enforce all rights and exercise
all remedies of the Agent or the Lenders under the Loan Documents and under
applicable law.

 36
 

ARTICLE
VII

THE AGENT

The following provisions
shall govern the relationship of the Agent with the Lenders.

Section
7.1                                      Appointment
and Authorization.  Each Lender
appoints and authorizes the Agent to take such action as agent on its behalf
and to exercise such respective powers under the Loan Documents as are
delegated to the Agent by the terms thereof, together with such powers as are
reasonably incidental thereto.  Neither
the Agent nor any of its directors, officers or employees shall be liable for
any action taken or omitted to be taken by it under or in connection with the
Loan Documents, except for its own gross negligence or willful misconduct.  The Agent shall act as an independent
contractor in performing its obligations as Agent hereunder.  The duties of the Agent shall be mechanical
and administrative in nature and nothing herein contained shall be deemed to
create any fiduciary relationship among or between the Agent, the Company or
the Lenders.

Section
7.2                                      Note
Holders.  The Agent may treat the
payee of any Note as the holder of the Obligations evidenced thereby until
written notice of transfer shall have been filed with it, signed by such payee
and in form satisfactory to the Agent.

Section
7.3                                      Consultation
With Counsel.  The Agent may consult
with legal counsel selected by it and shall not be liable for any action taken
or suffered in good faith by it in accordance with the advice of such counsel.

Section
7.4                                      Loan
Documents.  The Agent shall not be
responsible to any Lender for any recitals, statements, representations or
warranties in any Loan Document and shall not be under a duty to examine or
pass upon the validity, effectiveness, genuineness or value of any of the Loan
Documents or any other instrument or document furnished pursuant thereto, and
the Agent shall be entitled to assume that the same are valid, effective and
genuine and what they purport to be.

Section
7.5                                      GSCP
and Affiliates.  With respect to its
Commitment and the Loans made by it, GSCP shall have the same rights and powers
under the Loan Documents as any other Lender and may exercise the same as
though it were not the Agent consistent with the terms thereof, and GSCP and
its affiliates may accept deposits from, lend money to, and generally engage in
any kind of business with the Company as if it were not the Agent.

Section
7.6                                      Action
by Agent.  Except as may otherwise be
expressly stated in this Agreement, the Agent shall be entitled to use its
discretion with respect to exercising or refraining from exercising any rights
which may be vested in it by, or with respect to taking or refraining from
taking any action or actions which it may be able to take under or in respect
of, the Loan Documents.  The Agent shall
be required to act or to refrain from acting (and shall be fully protected in
so acting or refraining from acting) upon the instructions of the Majority
Lenders, and such instructions shall be binding upon all holders of Loans; provided,
however, that the Agent shall not be required to take any action which
exposes the Agent to personal liability or which is contrary to the Loan
Documents or applicable law.  The Agent
shall incur no

 37
 

liability under or in respect of any of the Loan
Documents by acting upon any notice, consent, certificate, warranty or other
paper or instrument believed by it to be genuine or authentic or to be signed
by the proper party or parties and to be consistent with the terms of this
Agreement.

Section
7.7                                      Credit
Analysis.  Each Lender has made, and
shall continue to make, its own independent investigation or evaluation of the
operations, business, property and condition, financial and otherwise, of the
Company in connection with entering into this Agreement and has made its own
appraisal of the creditworthiness of the Company.  Except as explicitly provided herein, the
Agent has no duty or responsibility, either initially or on a continuing basis,
to provide any Lender with any credit or other information with respect to such
operations, business, property, condition or creditworthiness, whether such
information comes into its possession on or before the first Event of Default
or at any time thereafter.

Section 7.8                                      Notices of
Event of Default, Etc..  In the event
that any Lender shall have acquired actual knowledge of any Event of Default or
Unmatured Event of Default, other than as a result of its receipt of financial
statements delivered to it pursuant to Section 5.1, such Lender shall promptly
give notice thereof to the Agent.  The
Agent shall, promptly upon receipt of any such notice provide a copy thereof to
the other Lenders.  Upon receipt from any
Lender of a request that the Agent give notice to the Company of the occurrence
of an Event of Default or Unmatured Event of Default, the Agent shall promptly
forward such request to the other Lenders and will take such action and assert
such rights under this Agreement and the other Loan Documents as the Majority
Lenders shall direct in writing.

Section 7.9                                      Indemnification.  Each Lender agrees to indemnify the Agent, as
Agent (to the extent not reimbursed by the Company), according to such Lender’s
Pro Rata Share, from and against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements
of any kind or nature whatsoever which may be imposed on or incurred by the
Agent in any way relating to or arising out of the Loan Documents or any action
taken or omitted by the Agent under the Loan Documents, provided that no Lender
shall be liable for any portion of such liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements
resulting from the Agent’s gross negligence or willful misconduct.  No payment by any Lender under this Section
7.9 shall relieve the Company of any of its obligations under this Agreement.

Section 7.10                                Payments and
Collections.  All funds received by
the Agent in respect of any payments made by the Company on the Loans or
Facility Fees shall be distributed by the Agent among the Lenders on the date
received or deemed received pursuant to Section 2.12, in like funds as
received, ratably according to each Lender’s Pro Rata Share.  After any Event of Default has occurred and
the Commitments have been terminated or the obligations have been accelerated,
all funds received by the Agent, whether as payments by the Company or as
realization on collateral or on any guaranties, shall (except as may otherwise
be required by law) be distributed by the Agent in the following order:  (a) first to the Agent or any Lender who
has incurred unreimbursed costs of collection with respect to any Indebtedness
of the Company hereunder, ratably to the Agent and each Lender in the
proportion that the costs incurred by the Agent or such Lender bear to the
total of all such costs incurred by the Agent and all Lenders; (b) next
ratably to the Lenders for application on the Loans; and (c) last to the
Lenders (in accordance with their respective Pro Rata Shares) for any unpaid
Facility Fees owing by the 

 38
 

Company hereunder.  To the extent the Agent or any Lender
receives any payment on the Obligations, whether from the Company or otherwise,
that is subsequently invalidated, declared to be fraudulent or preferential,
set aside or required to be repaid to a trustee, receiver or any other party
under any bankruptcy law, state or federal law, common law or equitable cause,
then, to the extent of such recovery, the Obligations originally intended to be
satisfied by such payment shall be revived and continued in full force and
effect as if such payment had not been received, and each Lender shall purchase
from the Agent or such Lender, for cash, at face value and without recourse,
such participations in the revived Obligations as shall be necessary to cause
such revived Obligations to be shared ratably among all of the Lenders.  The Agent or such Lender, as the case may be,
shall promptly notify the other Lenders and, if applicable, the Agent, of any
such recovery.

Section
7.11                                Sharing
of Payments.  If any Lender shall
receive and retain any payment, voluntary or involuntary, whether by setoff,
application of deposit balance or security, or otherwise, in respect of Indebtedness
under this Agreement or the Notes in excess of such Lender’s share thereof as
determined under this Agreement, then such Lender shall purchase from the other
Lenders for cash and at face value and without recourse, such participation in
the Loans held by such other Lenders as shall be necessary to cause such excess
payment to be shared ratably as aforesaid with such other Lenders; provided,
that if such excess payment or part thereof is thereafter recovered from such
purchasing Lender, the related purchases from the other Lenders shall be
rescinded ratably and the purchase price restored as to the portion of such
excess payment so recovered, but without interest.

Section
7.12                                Successor
Agent.  The Agent may resign at any
time by giving ten days written notice thereof to the Lenders and the
Company.  The Majority Lenders may remove
the Agent at any time with or without cause by giving the Agent and the Company
ten days written notice thereof.  Upon
any such resignation or removal, the Majority Lenders shall have the right to
appoint a successor Agent, which successor Agent shall (unless an Event of
Default has occurred and is continuing) be reasonably acceptable to the
Company.  If no successor Agent shall
have been so appointed and shall have accepted such appointment within 30 days
after the retiring Agent’s giving of notice of its resignation or the removal
of the retiring Agent, then the retiring Agent may, on behalf of the Lenders,
appoint an Agent which shall be a Lender or a commercial bank organized under
the laws of the United States of America or of any State thereof and having a
combined capital and surplus of at least $500,000,000, which successor Agent
shall (unless an Event of Default has occurred and is continuing) be reasonably
acceptable to the Company.  If neither
the Majority Lenders nor the Agent have appointed a successor Agent, the
Majority Lenders shall be deemed to succeeded to and become vested with all the
rights, powers, privileges and duties of the retiring Agent.  Upon the acceptance of any appointment as the
Agent hereunder by a successor Agent, such successor Agent shall thereupon
succeed to and become vested with all rights, powers, privileges and duties of
the retiring Agent, and the retiring Agent shall be relieved from any further
duties and obligations in its capacity as Agent, under this Agreement and the
other Loan Documents.  After the retiring
Agent’s resignation or removal hereunder as the Agent, the provisions of this
Article VII shall inure to its benefit as to any actions taken or omitted to be
taken by it while it was acting as the Agent under this Agreement and any other
Loan Document.

 39

ARTICLE VIII

MISCELLANEOUS

Section 8.1             Amendments
and Waivers; No Waiver of Rights and Remedies.

(a)   None of this Agreement, any Loan Document or
any provision hereof or thereof may be amended, modified or waived unless the
same shall be in writing signed by the Company and the Majority Lenders; provided,
that (i) no amendment, waiver or consent shall, unless in writing and signed by
all the Lenders, do any of the following: (A) reduce the amount of the
principal of, or the amount of or rate of interest on, any Note or any Loan or
any fees or other amount payable hereunder, (B) postpone any date fixed
for any payment of principal of, or interest on, the Loans or any fees or other
amounts payable hereunder, (C) amend the definitions of  “Pro Rata Share” or “Majority Lenders”, (D)
amend Section 3.1 or Section 3.2, (E) amend this Section 8.1(a), or
(F) release any Guaranty; (ii) no amendment, waiver or consent shall, unless in
writing and signed by Lenders whose Pro Rata Shares (determined under clause
(b) of the definition thereof if any Loans are outstanding and otherwise under
clause (a) of such definition) aggregate 51% or more, amend Section 5.12(f) or
Section 5.13(d) (except in a manner that would be more restrictive as to the
Company or its Subsidiaries); (iii) no amendment, waiver or consent shall,
unless in writing and signed by the Agent in addition to the requisite Lenders
indicated above to take such action, affect the rights or duties of the Agent
under this Agreement; (iv) no amendment may increase any Lender’s
Commitment Amount unless it is in writing and signed by each Lender; and
(v) no amendment, waiver or consent shall amend or modify Section 2.1,
2.2, 2.4, 2.7 or 2.8, unless it is in writing and signed by the Agent.  Any such amendment, modification or waiver or
any other consent to any departure from any such provision by the Company shall
in any event be effective only in the specific instance or for the specific
purpose for which given.  No notice to,
or demand on, the Company in any case shall entitle the Company to any other or
further notice or demand in similar or other circumstances.

(b)   No failure or delay on the part of the Agent
or any Lender in exercising, and no course of dealing with respect to, any
right, power or privilege hereunder or under any other Loan Document shall
operate as a waiver thereof; nor shall any single or partial exercise of any
such right, power or privilege, or any abandonment or discontinuance of the
enforcement thereof, preclude any other or further exercise thereof or the
exercise of any other right, power or privilege.  The rights and remedies of the Agent and the
Lenders hereunder and under any other Loan Document are cumulative and not
exclusive of any right or remedy which the Agent or any Lender otherwise has.

Section 8.2             Notices

  (a)  Generally.  Except as otherwise specifically provided for
herein, all notices, requests, demands, instructions, consents, directions and
other communications provided for herein shall be in writing (including
teletransmission communication) and (unless otherwise required by applicable
law) shall be teletransmitted, mailed or delivered to the intended recipient at
the “Address for Notices” specified below its name on the signature page(s)
hereof or on a separate page immediately following such signature page(s); or
at such other address as shall be

 40
 

designated by such party in a notice to the other
parties.  All notices and other
communications shall be effective and be deemed received when transmitted by
telecopier or personally delivered or, in the case of a mailed notice or notice
sent by overnight courier, upon receipt thereof as conclusively evidenced by
the signed receipt therefor, in each case given or addressed as aforesaid,
except that notices to the Agent or any Lender under the provisions of Article
II shall not be effective until received by the Agent or such Lender.

(b)           Electronic Communications.

(i)            Notices and other communications to
the Lenders hereunder may be delivered or furnished by electronic communication
(including e-mail and Internet or intranet websites, including the
Platform) pursuant to procedures approved by the Agent, provided that
the foregoing shall not apply to notices to any Lender pursuant to Section 2 if
such Lender has notified the Agent that it is incapable of receiving notices
under such Section by electronic communication. 
The Agent or the Company may, in its discretion, agree to accept notices
and other communications to it hereunder by electronic communications pursuant
to procedures approved by it, provided that approval of such procedures
may be limited to particular notices or communications.  Unless the Agent otherwise prescribes,
(i) notices and other communications sent to an e-mail address shall be
deemed received upon the sender’s receipt of an acknowledgement from the
intended recipient (such as by the “return receipt requested” function, as
available, return e-mail or other written acknowledgement), provided
that if such notice or other communication is not sent during the normal business
hours of the recipient, such notice or communication shall be deemed to have
been sent at the opening of business on the next Business Day for the
recipient, and (ii) notices or communications posted to an Internet or
intranet website shall be deemed received upon the deemed receipt by the
intended recipient at its e-mail address as described in the foregoing
clause (i) of notification that such notice or communication is available
and identifying the website address therefor.

(ii)           The Company and each Guarantor
understands that the distribution of material through an electronic medium is
not necessarily secure and that there are confidentiality and other risks
associated with such distribution and agrees and assumes the risks associated
with such electronic distribution, except to the extent caused by the willful
misconduct or gross negligence of the Agent.

(iii)          The Platform and any Approved
Electronic Communications are provided “as is” and “as available”.  None of the Agent or any of its officers,
directors, employees, agents, advisors or representatives (the “Agent
Affiliates”) warrant the accuracy, adequacy, or completeness of the
Approved Electronic Communications or the Platform and each expressly disclaims
liability for errors or omissions in the Platform and the Approved Electronic
Communications.  No warranty of any kind,
express, implied or statutory, including any warranty of merchantability,
fitness for a particular

 41
 

purpose,
non-infringement of third party rights or freedom from viruses or other code
defects is made by the Agent Affiliates in connection with the Platform or the
Approved Electronic Communications.

(iv)          Each of the Company, the Guarantors,
the Lenders and the Agent agree that the Agent may, but shall not be obligated
to, store any Approved Electronic Communications on the Platform in accordance
with the Agent’s customary document retention procedures and policies.

Section 8.3             Costs and Expenses.  The Company agrees to pay on demand:  (a) all reasonable out-of-pocket costs,
expenses and fees incurred by the Agent in connection with the negotiation,
preparation, approval, syndication and execution and delivery of the Loan
Documents (including
reasonable charges and disbursements of outside counsel to the Agent
(determined on the basis of such counsel’s generally applicable rates, which
may be higher than the rates such counsel charges the Agent in certain matters)
and/or the allocated costs of in-house counsel incurred from time to time) to
the Agent, in connection with the negotiation, preparation, execution and
delivery of this Agreement and the other Loan Documents, the commitments
relating thereto, the transactions contemplated hereby and thereby and the
satisfaction and attempted satisfaction of conditions precedent hereunder,
(b) the reasonable fees and expenses of counsel for the Agent in
connection with any amendment, modification or waiver or proposed amendment,
modification or waiver of any of the terms of this Agreement or any of the
other Loan Documents and (c) all reasonable costs and expenses of the
Agent and the Lenders (including reasonable counsels’ fees) in connection with
the enforcement (whether through negotiations, legal proceedings or otherwise)
of this Agreement and the other Loan Documents.

Section
8.4             Survival of Agreement.  All representations, warranties, covenants
and agreements made by the Company herein or in the other Loan Documents and in
the certificates or other instruments prepared or delivered in connection with
or pursuant to this Agreement or any other Loan Document shall be deemed to
have been relied upon by the Lenders and shall survive the making of the Loans
by the Lenders and the execution and delivery to the Lenders by the Company of
the Notes, regardless of any investigation made by or on behalf of the Lenders,
and shall continue in full force and effect as long as any Obligation is
outstanding and unpaid and so long as the Commitments have not been terminated;
provided, however, that the obligations of the Company under Section
8.3 and 8.15 shall survive payment in full of
the Obligations and the termination of the Commitments.

Section 8.5             Binding
Effect; Assignments and Participations

(a)   This Agreement shall be binding upon and
inure to the benefit of the Company, the Agent, the Lenders, all future holders
of the Notes, and their respective successors and assigns, except that the
Company may not assign or transfer any of its rights or obligations under this
Agreement without the prior written consent of each Lender.

(b)   Any Lender may, in the ordinary course of its
commercial banking business and in accordance with applicable law, at any time
sell to one or more banks or other entities (“Participants”)
participating interests in any Loan or other Obligation

 42
 

owing to such
Lender, any Note held by such Lender, and any Commitment of such Lender, or any
other interest of such Lender hereunder. 
In the event of any such sale by a Lender of participating interests to
a Participant, (i) such Lender’s obligations under this Agreement to the other
parties to this Agreement shall remain unchanged, (ii) such Lender shall remain
solely responsible for the performance thereof, (iii) such Lender shall remain
the holder of any such Note for all purposes under this Agreement, (iv) the
Company and the Agent shall continue to deal solely and directly with such
Lender in connection with such Lender’s rights and obligations under this
Agreement and (v) the agreement pursuant to which such Participant acquires its
participating interest herein shall provide that such Lender shall retain the
sole right and responsibility to enforce the Obligations, including, without
limitation the right to consent or agree to any amendment, modification,
consent or waiver with respect to this Agreement or any other Loan Document, provided
that such agreement may provide that such Lender will not consent or agree to
any such amendment, modification, consent or waiver with respect to the matters
set forth in Sections 8.1(a)(i)(A) or (B) without the prior consent of such
Participant.  The Company agrees that if
amounts outstanding under this Agreement, the Notes and the Loan Documents are
due and unpaid, or shall have been declared or shall have become due and
payable upon the occurrence of an Event of Default, each Participant shall be
deemed to have, to the extent permitted by applicable law, the right of setoff
in respect of its participating interest in amounts owing under this Agreement
and any Note or other Loan Document to the same extent as if the amount of its
participating interest were owing directly to it as a Lender under this
Agreement or any Note or other Loan Document; provided, that such right
of setoff shall be subject to the obligation of such Participant to share with
the Lenders, and the Lenders agree to share with such Participant, as provided
in Section 2.20.

Each Lender may, from time
to time, with the consent of the Agent, and the Company (none of which consents
shall be unreasonably withheld; and if an Event of Default shall have occurred
and be continuing, then the consent of the Company shall not be required; and
if the relevant assignment is made to a Lender or an Affiliate of a Lender, the
consents of the Agent and the Company shall not be required), assign to other
lenders (“Assignees”) all or part of its rights or obligations hereunder
or under any Loan Document in a minimum aggregate amount of $2,500,000 of the
Loans then held by that Lender (or, if less, the entire amount of the Loans
then held by that Lender) together with equivalent proportions of its Commitment
pursuant to written agreements executed by such assigning Lender, such
Assignee(s), the Company and the Agent in substantially the form of Exhibit E or such other form as may be approved from time  to time by the Agent, which agreements shall specify in each
instance the portion of the Obligations which is to be assigned to each
Assignee and the portion of the Pro Rata Share and Commitment of such Lender to
be assumed by each Assignee (each, an “Assignment Agreement”); provided,
however, that the assigning Lender must pay to the Agent a processing
and recordation fee of $3,500.  Upon the execution of each Assignment
Agreement by the assigning Lender, the relevant Assignee, the Company and the
Agent, payment to the assigning Lender by such Assignee of the purchase price
for the portion of the Obligations being acquired by it and receipt by the
Company of a copy of the relevant Assignment Agreement, (x) such Assignee
lender shall thereupon become a “Lender” for all purposes of this Agreement
with a Pro Rata Share and a Commitment in the amount set forth in such
Assignment Agreement and with all the rights, powers and obligations afforded a
Lender under this Agreement, (y) such assigning Lender shall

 43
 

have no further liability
for funding the portion of its Commitment assumed by such Assignee and (z) the
address for notices to such Assignee shall be as specified in the Assignment
Agreement executed by it.  Concurrently
with the execution and delivery of each Assignment Agreement, the assigning
Lender shall surrender to the Agent the Note (if any) a portion of which is
being assigned, and the Company shall execute and deliver a Note (if any such
Note is requested by the Assignee) to the Assignee in the amount of its
Commitment, and a new Note to the assigning Lender in the amount of  its Commitment, after giving effect to the
reduction occasioned by such assignment, any such Notes shall constitute a “Note”
for all purposes of this Agreement and of the other Loan Documents.

(c)   Each Lender may disclose to any Assignee or
Participant and to any prospective Assignee or Participant any and all
financial information in such Lender’s possession concerning the Company or any
Subsidiary which has been delivered to such Lender by or on behalf of the
Company or any Subsidiary pursuant to this Agreement or which has been
delivered to such Lender by or on behalf of the Company or any of their
Subsidiary in connection with such Lender’s credit evaluation of the Company or
any of  Subsidiary prior to entering into
this Agreement, provided that prior to disclosing such information, such
Lender shall first obtain the agreement of such prospective Assignee or
Participant to comply with the provisions of Section 8.17 or a confidentiality
agreement at least as restrictive as the provisions of Section 8.17.

(d)   Notwithstanding any other provision in this
Agreement, any Lender may at any time create a security interest in, or pledge,
all or any portion of its rights under and interest in this Agreement and any
note held by it in favor of any federal reserve bank in accordance with
Regulation A of the Board or U. S. Treasury Regulation 31 CFR § 203.14, and
such Federal Reserve Bank may enforce such pledge or security interest in any
manner permitted under applicable law.

Section
8.6             Taxes.  The Company agrees to pay, and save the Agent
and the Lenders harmless from all liability for, any stamp or other taxes which
may be payable with respect to the execution or delivery of this Agreement or
the issuance of the Notes.

Section
8.7             Severability of
Provisions.  Whenever possible, each
provision of this Agreement and the other Loan Documents and any other
statement, instrument or transaction contemplated hereby or thereby or relating
hereto or thereto shall be interpreted in such manner as to be effective and
valid under applicable law, but, if any provision of this Agreement or any
other Loan Document or any other statement, instrument or transaction
contemplated hereby or thereby or relating hereto or thereto shall be held to
be prohibited or invalid in any jurisdiction under such applicable law, such
provision shall be ineffective only to the extent of such prohibition or
invalidity, without invalidating the remainder of such provision or the
remaining provisions of this Agreement or the other Loan Documents and any
other statement, instrument or transaction contemplated hereby or thereby or
relating hereto or thereto and shall not be effective to affect the
enforceability of such provision in any other jurisdiction.

Section
8.8             Governing Law and
Construction.  THE VALIDITY,
CONSTRUCTION AND ENFORCEABILITY OF THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS
SHALL BE GOVERNED BY THE LAWS OF THE STATE OF NEW

 44
 

YORK, BUT GIVING EFFECT TO FEDERAL LAWS OF THE UNITED
STATES APPLICABLE TO NATIONAL LENDERS.

Section
8.9             Consent to Jurisdiction.  THE COMPANY HEREBY IRREVOCABLY SUBMITS TO THE
JURISDICTION OF ANY NEW YORK STATE OR FEDERAL COURT SITTING IN NEW YORK, NEW
YORK OVER ANY ACTION OR PROCEEDING COMMENCED BY THE AGENT OR ANY LENDER ARISING
OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT AND THE COMPANY
HEREBY IRREVOCABLY AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR
PROCEEDING MAY BE HEARD AND DETERMINED IN SUCH NEW YORK STATE OR FEDERAL
COURT.  THE COMPANY HEREBY IRREVOCABLY
WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO, THE DEFENSE OF AN
INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION OR PROCEEDING.  THE COMPANY AGREES THAT A JUDGMENT, FINAL BY
APPEAL OR EXPIRATION OF TIME TO APPEAL WITHOUT AN APPEAL BEING TAKEN, IN ANY
SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER
JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY
LAW.  NOTHING IN THIS SECTION 8.9 SHALL
AFFECT THE RIGHT OF THE AGENT OR ANY LENDER TO BRING ANY ACTION OR PROCEEDING
AGAINST THE COMPANY OR ITS PROPERTY IN THE COURTS OF ANY OTHER JURISDICTIONS.

Section
8.10           Captions.  The captions or headings herein and any table
of contents hereto are for convenience only and in no way define, limit or
describe the scope or intent of any provision of this Agreement.

Section
8.11           Entire Agreement; No
Third Party Beneficiaries.  This
Agreement and the other Loan Documents embody the entire agreement and
understanding between the Company, the Agent and the Lenders with respect to
the subject matter hereof and thereof. 
This Agreement supersedes all prior agreements and understandings
relating to the subject matter hereof. 
Nothing contained in this Agreement or in any other Loan Document,
expressed or implied is intended to confer upon any Person other than the
parties hereto and thereto any rights, remedies, obligations or liabilities
hereunder or thereunder.

Section
8.12           Counterparts.  This Agreement may be executed in any number
of counterparts, each of which shall constitute an original but all of which
when taken together shall constitute but one contract which shall become
effective when the Agent shall have received counterparts hereof signed on
behalf of the Company, the Agent and each Lender.

Section
8.13           Company Acknowledgments.  The Company hereby acknowledges that
(a) it has been advised by counsel in the negotiation, execution and
delivery of this Agreement and the other Loan Documents, (b) neither the
Agent nor any Lender has any fiduciary relationship to the Company, the
relationship being solely that of borrower and lender, (c) no joint
venture exists among or between the Company and the Agent or any Lender, and
(d) the Agent and the Lenders undertake no responsibility to the Company
to review or inform the Company of any matter in connection with any phase of
the business or operations of the Company and the Company shall rely entirely
upon its own judgment with respect to its

 45
 

business, and any review, inspection or supervision
of, or information supplied to the Company by the Agent or any Lender is for
the protection of the Agent and the Lenders and neither the Company nor any
third party is entitled to rely thereon.

Section
8.14           Highest Lawful Rate.  Anything herein to the contrary
notwithstanding, the Obligations shall be subject to the limitation that
payments of interest thereon shall not be required, for any period for which
interest is computed hereunder, to the extent that contracting for or receipt
thereof would be contrary to provisions of any law applicable to any Lender
limiting the highest rate of interest which may be lawfully contracted for,
charged or received by such Lender.

Section
8.15           Indemnification.  The
Company hereby agrees to defend, protect, indemnify and hold harmless the
Agent, the Lenders, their respective Affiliates, and their respective
directors, officers, employees, attorneys and agents (each of the foregoing
being an “Indemnitee” and all of the foregoing being collectively the “Indemnitees”)
from and against any and all claims, actions, damages, liabilities, judgments,
costs and expenses (including all reasonable fees and disbursements of counsel
which may be incurred in the investigation or defense of any matter) imposed
upon, incurred by or asserted against any Indemnitee, whether direct, indirect
or consequential and whether based on any federal, state, local or foreign laws
or regulations (including securities laws, environmental laws, commercial laws
and regulations), under common law or on equitable cause, or on contract or
otherwise by reason of, relating to or in connection with any action taken or
not taken by the Company, its Subsidiaries and Affiliates, and their respective
directors, officers, employees, attorneys or agents in connection with any Loan
Document, including, without limitation, any use of any credit extended under
the Loan Documents; provided, however, that the Company shall not be liable to
any Indemnitee for any portion of such claims, damages, liabilities and
expenses resulting from such Indemnitee’s gross negligence or willful
misconduct as determined by a final non-appealable judgment of a court of
competent jurisdiction, or arising from claims made by the Agent or any Lender
against the Agent or any other Lender, not involving an act or omission of the
Company.  In the event this indemnity is
unenforceable as a matter of law as to a particular matter or consequence
referred to herein, it shall be enforceable to the full extent permitted by
law.  The indemnification provisions set
forth above shall be in addition to any liability the Company may otherwise
have under the Loan Documents.  In the
case of an investigation, litigation or other proceeding to which the indemnity
in this Section 8.15 applies, such indemnity shall be effective whether or not
such investigation, litigation or proceeding is brought by the Company, its
directors, equityholders or creditors or an Indemnitee or any other Person,
whether or not any Indemnitee is otherwise a party thereto and whether or not
the transactions contemplated hereby are consummated.  The Company also agrees not to assert any
claim for special, indirect, consequential or punitive damages against the
Agent, any Lender, any of their Affiliates, or any of their respective
directors, officers, employees, attorneys and agents, on any theory of
liability, arising out of or otherwise relating to the Notes, this Agreement,
any of the transactions contemplated herein or the actual or proposed use of
the proceeds of the Loans.  Without
prejudice to the survival of any other obligation of the Company hereunder the
indemnities and obligations of the Company contained in this Section shall
survive the payment in full of the other Obligations.

Section 8.16           Waiver
of Jury Trial.  EACH OF THE COMPANY,
THE AGENT AND THE LENDERS IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY

 46
 

JURY IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

Section 8.17           Confidentiality
of Information.  The Agent and each
Lender shall use reasonable efforts to assure that information about the
Company and its operations, affairs and financial condition, not generally
disclosed to the public or to trade and other creditors, which is furnished to
the Agent or such Lender pursuant to the provisions hereof is used only for the
purposes of this Agreement and any other relationship between any Lender and
the Company and shall not be divulged to any Person other than the Agent, the
Lenders, their Affiliates and their respective officers, directors, employees
and agents, except such information may be disclosed: (a) to their attorneys,
accountants and other advisors that are in a confidential relationship with the
Agent or such Lender, (b) in connection with the enforcement of the rights of
the Agent or the Lenders under the Loan Documents or otherwise in connection
with applicable litigation, (c) in connection with assignments and
participations and the solicitation of prospective assignees and participants
referred to in Section 8.5(d) or by any direct or indirect contractual
counterparties (or the professional advisors thereto) to any swap or derivative
transaction relating to the Borrower and its obligations, (d) if such
information is generally available to the public other then as a result of
disclosure by the Agent or a Lender , (e) disclosure to any rating agency when
required by it, provided that, prior to any disclosure, such rating
agency shall undertake in writing to preserve the confidentiality of any
confidential information relating to the Credit Parties received by it from any
of the Agents or any Lender, (f) disclosures required or requested by any
governmental agency or representative thereof or by The National Association of
Insurance Commissioners, and any successor thereto, or pursuant to legal or
judicial process; provided, unless specifically prohibited by applicable
law or court order, each Lender and each Agent shall make reasonable efforts to
notify Borrower of any request by any governmental agency or representative
thereof (other than any such request in connection with any examination of the
financial condition or other routine examination of such Lender by such
governmental agency) for disclosure of any such non-public information
prior to disclosure of such information and (g) as may otherwise be required or
requested by any regulatory authority having jurisdiction over the Agent or any
Lender or any of its Affiliates or by any applicable law, rule, regulation or
judicial process, the opinion of the Agent or such Lender’s counsel concerning
the making of such disclosure to be binding on the parties hereto.  Neither the Agent nor any Lender shall incur
any liability to the Company by reason of any disclosure permitted by this
Section 8.17.

Section 8.18           Patriot
Act.  Each Lender and Agent (for
itself and not on behalf of any Lender) hereby notifies the Company that
pursuant to the requirements of the U.S.A. Patriot Act (Title III of Pub. L.
107-56 (signed into law October 26, 2001)) (the “Act”), it is required
to obtain, verify and record information that identifies the Company and the
Guarantors, which information includes the name and address of the Company and
the Guarantors and other information that will allow such Lender or Agent, as
applicable, to identify the Company and the Guarantors in accordance with the
Act.

 47

IN WITNESS WHEREOF, the
parties hereto have caused this Agreement to be executed as of the day and year
first above written.

	
   

  	
  BEST BUY CO., INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Ryan D. Robinson

  	
   

  
	
   

  	
  Its

  	
  Senior Vice
  President and Chief Financial 

  	
   

  
	
   

  	
   

  	
  Officer – New Growth
  Platforms

  	
   

  
					

 

 S-1
 

 

	
   

  	
  GOLDMAN SACHS CREDIT PARTNERS L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Walter A. Jackson

  	
   

  
	
   

  	
  Its

  	
  Authorized
  Signatory

  	
   

  
					

 

 S-2

ADDRESS FOR
NOTICES

Best
Buy Co., Inc.

7601
Penn Avenue South

Richfield,
MN  55423

Attn:
Sheila Colgan

Fax: (952) 430-6389

Goldman
Sachs Credit Partners L.P. 

c/o Goldman, Sachs & Co. 

30 Hudson Street, 17th Floor 

Jersey City, NJ 07302 

Attention: SBD Operations 

Attention:  Pedro Ramirez 

Telecopier:  (212) 357-4597  

Email and for delivery of final financial statements for posting:
gsd.link@gs.com

with
a copy to:

Goldman
Sachs Credit Partners L.P. 

1 New York Plaza 

New York, New York  10004 

Attention:  [Elizabeth Fischer][Rob Schatzman] 

Telecopier:  (212) 902-3000

 

EXHIBIT A TO

REVOLVING

CREDIT AGREEMENT

FORM OF

COMPLIANCE CERTIFICATE

TO:  Goldman
Sachs Credit Partners L.P., as Agent

THE UNDERSIGNED HEREBY CERTIFIES THAT:

(1)                                  I
am an appropriate financial officer of Best Buy Co., Inc. (the “Company”), a
Minnesota corporation;

(2)                                  I
have reviewed the terms of the Revolving Credit Agreement, dated as of June 26,
2007, among the Company, the Lenders party thereto, Goldman Sachs Credit
Partners L.P., as Agent and certain other parties (as the same may hereafter be amended, restated, or otherwise modified
from time to time, referred to herein and in the attachment hereto as
the “Credit Agreement”), and I have made, or have caused to be made under my
supervision, a detailed review of the transactions and conditions of the Company
during the accounting period covered by the attachment hereto;

(3)                                  The
examinations described in paragraph (2) did not disclose, and I have no
knowledge of, whether arising out of such examinations or otherwise, the
existence of any condition or event which constitutes an Event of Default or
Unmatured Event of Default (as such terms are defined in the Credit Agreement)       during or at the end of the accounting
period covered by the attachment hereto or as of the date of this Certificate,
except as described below (or in a separate attachment to this
Certificate).  The exceptions, listing in
detail the nature of the condition or event, the period during which it has
existed and the action which Company has taken, is taking or proposes to take
with respect to each such condition or event, are as follows:

                                                                                                                                                                                                                                                                                                                                                                                                                                                                             .

The foregoing certifications, together with the
computations set forth in the attachment hereto and the financial statements
delivered with this Certificate in support hereof, are made and delivered this                
day of                               ,
200   , pursuant to Section 5.1 of the Credit Agreement.

	
  

  	
  BEST BUY CO., INC.

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Its:

  	
   

  

 

 A -1
 

ATTACHMENT

TO COMPLIANCE CERTIFICATE

AS OF                               ,
20   , WHICH PERTAINS

TO THE PERIOD FROM                               ,
20   ,

TO                               ,
20    

Terms defined in the Credit Agreement are used herein
as defined therein and Section references herein refer to the Sections of the
Credit Agreement.

	
  (1)

  	
  Cash Flow Leverage Ratio:

  	
   

  	
   

  
	
   

  	
  (prescribed by Section 5.18(a))

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  a.

  	
  Sum of:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  i.

  	
  Interest-bearing Indebtedness of the

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Company:

  	
  $                   (A)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ii.

  	
  Eight Times Rental and Lease Expense

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Rental and Lease Expense

  	
  $                   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  multiplied by

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  eight (8)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Subtotal

  	
  $                   (B)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Total ((A) plus (B)):

  	
  $                    (C)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  b.

  	
  Sum of:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  i.

  	
  net income

  	
  $                   (D)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ii.

  	
  income tax expense

  	
  $                   (E)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  iii.

  	
  Net Interest Expense/Income

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  interest expense

  	
  $                   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  minus

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  interest income

  	
  $                   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Subtotal

  	
  $                   (F)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  iv.

  	
  depreciation and

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  amortization

  	
  $                   (G)

  	
   

  
									

 

 A -2
 

 

	
   

  	
   

  	
   

  	
  Total Earnings Before Interest,

  	
   

  
	
   

  	
   

  	
   

  	
  Income Taxes, Depreciation

  	
   

  
	
   

  	
   

  	
   

  	
  and Amortization (sum of (D)

  	
   

  
	
   

  	
   

  	
   

  	
  through (G)):

  	
  $                    (H)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  v.

  	
  Rental and Lease Expense

  	
  $                   (I)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Total:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  ((H) plus (I))

  	
  $                (J)

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  c.

  	
   

  	
  Maximum Cash Flow Leverage Ratio permitted under
  Section 5.18(a):

  	
  3.50 to 1.00

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  d.

  	
   

  	
  Actual Cash Flow Leverage Ratio ((C) to (J)):

  	
        to 1.00

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (2)

  	
  Interest Coverage Ratio:

  	
   

  	
   

  
	
   

  	
  (prescribed by Section 5.18(b))

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  a.

  	
  Sum of:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  i.

  	
  Earnings Before Interest,

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Income Taxes, Depreciation and

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Amortization (from (H))

  	
  $                   (K)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ii.

  	
  Rental and Lease Expense

  	
  $                   (L)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Total:

  	
   

  
	
   

  	
   

  	
  to

  	
   

  	
  ((K) plus (L))

  	
  $               (M)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  b.

  	
  Sum of:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  i.

  	
  Net Interest Expense/Income

  	
   

  
	
   

  	
   

  	
  (from (F))

  	
  $               (N)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ii.

  	
  Rental and Lease Expense

  	
  $               (O)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Total((N) plus (O))

  	
  $                (P)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  c.

  	
  Minimum Interest Coverage Ratio required under
  Section 5.18(b):

  	
  2.75 to 1.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  d.

  	
  Actual Interest Coverage Ratio ((M) to (P)):

  	
        to 1.0

  	
   

  
										

 

 A -3

EXHIBIT C TO

REVOLVING

CREDIT
AGREEMENT

FORM OF NOTE

          ,
2007

$                                   ,

FOR VALUE RECEIVED, BEST BUY CO., INC., a Minnesota
corporation, hereby promises to pay to the order of                                            
(the “Lender”), at the main office of Goldman Sachs Credit Partners L.P. at [          ]
in lawful money of the United States of America in Immediately Available Funds
(as such term and each other capitalized term used herein are defined in the
Credit Agreement hereinafter referred to), the principal sum of                                                                  
AND NO/100 DOLLARS ($                            )
or the aggregate unpaid principal amount of all Loans made by the Lender
pursuant to the Credit Agreement, whichever is less, and to pay interest in
like funds from the date hereof on the unpaid balance thereof at the rates per
annum and at such times as specified in the Credit Agreement.

This note is one of the
Notes referred to in the Revolving Credit Agreement, dated concurrently
herewith, among the undersigned, the Lenders party thereto, Goldman Sachs
Credit Partners L.P., as administrative agent for the Lenders and certain other
parties (as the same may be amended, modified or restated from time to time,
the “Credit Agreement”).  This note is subject to the Credit Agreement and is further subject to prepayment and its maturity is subject to
acceleration in each case upon the terms provided in the Credit Agreement.

The undersigned hereby waives diligence, presentment,
demand, protest, and notice (except such notice as is required under the Loan
Documents, as such term is defined in the Credit Agreement) of any kind
whatsoever.  The nonexercise by the
Lender of any of its rights hereunder in any particular instance shall not
constitute a waiver thereof in any subsequent instance.

This note is entitled to the benefit of the Loan
Documents.

THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH THE
LAW OF THE STATE OF NEW YORK, BUT GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO
NATIONAL BANKS.  In the event of default
hereunder, the undersigned agrees to pay all costs and expenses of collection,
including but not limited to reasonable attorneys’ fees.

	
  

  	
  BEST BUY CO., INC.

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Its:

  	
   

  	
   

  

 

 D-4

EXHIBIT E TO

REVOLVING

CREDIT AGREEMENT

FORM
OF ASSIGNMENT AGREEMENT

ASSIGNMENT AGREEMENT, dated as of                              ,
20     , among                     
(the “Transferor Lender”),                       
(the “Purchasing Lender”), Best Buy Co., Inc., a Minnesota corporation
(the “Company”) and Goldman Sachs Credit Partners L.P., as
administrative agent for the Lenders under the Credit Agreement described below
(in such capacity, the “Agent”).

W
I T N E S S E T H

WHEREAS, this Assignment Agreement is being executed
and delivered in accordance with subsection 8.5(c) of the Credit Agreement,
dated as of June 26, 2007, among the Company, the Transferor Lender, the other
Lenders party thereto, the Agent and certain other parties (as from time to time
amended, supplemented or otherwise modified in accordance with the terms
thereof, the “Credit Agreement”; terms defined therein being used herein
as therein defined);

WHEREAS, the Purchasing Lender wishes to become a
Lender party to the Credit Agreement; and

WHEREAS, the Transferor Lender is selling and
assigning to the Purchasing Lender rights, obligations and commitments under
the Credit Agreement;

NOW, THEREFORE, the parties hereto hereby agree as
follows:

Upon the execution and delivery of this Assignment
Agreement by the Purchasing Lender, the Transferor Lender, the Agent and the
Company, the Purchasing Lender shall be a Lender party to the Credit Agreement
for all purposes thereof.

(1)                                  Effective
on                     ,
20      , (the “Effective Date”), the Transferor
Lender hereby sells and assigns to the Purchasing Lender a portion of its
Commitment Amount equal to $               
(the “Assigned Amount”), and a corresponding portion of the principal amount of
and all interest accrued on its Loans outstanding under the Credit
Agreement.  Together with the Assigned
Amount, the Transferor Lender hereby assigns to the Purchasing Lender a pro
rata share of the Transferor Lender’s interest as a Lender in the Loan
Documents (the Assigned Amount, such Loans and such interest in the Loan
Documents being hereinafter referred to as the “Assigned Interest”).  The Purchasing Lender hereby assumes the
Assigned Amount and the Transferor Lender’s related obligations under the Loan
Documents.

(2)                                  On
the Effective Date, the Purchasing Lender shall pay to the Transferor Lender a
purchase price (the “Purchase Price”) equal to the outstanding principal amount
of the Loans included in the Assigned Interest as of the day preceding the
Effective 

 H-1
 

Date.  The
Transferor Lender acknowledges receipt from the Purchasing Lender of an amount
equal to the Purchase Price.

(3)                                  All
interest, Facility Fees and Letter of Credit Fees accrued on the Assigned
Interest for the billing period in which the Effective Date falls shall be paid
to the Agent as provided in the Credit Agreement, and distributed by the Agent
(a) with respect to amounts accrued before the Effective Date, to the
Transferor Lender and (b) with respect to amounts accrued on or after the
Effective Date, to the Purchasing Lender. 
The Transferor Lender has made arrangements with the Purchasing Lender
with respect to the portion, if any, to be paid by the Transferor Lender to the
Purchasing Lender of other fees heretofore received by the Transferor Lender
pursuant to the Credit Agreement.

(4)                                  Subject
to the provisions of paragraph 3 above, from and after the Effective Date,
principal, interest, fees and other amounts that would otherwise be payable to
or for the account of the Transferor Lender pursuant to the Credit Agreement
and the other Loan Documents in respect of the Assigned Interest shall,
instead, be payable to or for the account of the Purchasing Lender pursuant to
the Credit Agreement.  Each time the
Lenders are asked, from and after the Effective Date, to make Loans or
otherwise extend credit under the Loan Documents, the Agent shall advise the
Purchasing Lender, as provided in the Credit Agreement, of the request, and the
Purchasing Lender shall be solely responsible for making a Loan or otherwise
extending credit in accordance with its Assigned Interest.

(5)                                  Concurrently
with the execution and delivery hereof, (i) the Company, the Transferor Lender
and the Purchasing Lender shall make appropriate arrangements so that a
replacement Note is issued to the Transferor Lender (if such Note is requested
by the Transferor Lender), and a new Note is issued to the Purchasing Lender
(if such Note is requested by the Purchasing Lender), in each case in principal
amounts reflecting, in accordance with the Credit Agreement, their Commitments
(as adjusted pursuant to this Assignment Agreement), (ii) as and to the extent
provided in the Credit Agreement, the Agent shall prepare and distribute to the
Company and the Lenders a revised schedule of the Commitments, Loans and credit
percentages of each Lender, after giving effect to the assignment of the
Assigned Interest, and (iii) the Transferor Lender shall pay to the Agent a
processing and recordation fee of $[3,500].

(6)                                  The
Transferor Lender (a) represents and warrants to the Purchasing Lender that it
is the legal and beneficial owner of the interest being assigned by it
hereunder and that such interest is free and clear of any adverse claim; (b)
represents and warrants to the Purchasing Lender that the copies of the Loan
Documents and the related agreements, certificates, opinion and letters
previously delivered to the Purchasing Lender are true and correct copies of
the Loan Documents and related agreements, certificates, opinion and letters
executed by and/or delivered in connection with the closing of the credit
facility contemplated by the Credit Agreement; (c) makes no representation or
warranty and assumes no responsibility with respect to any statements,
warranties or representations made 

 H-2
 

in or in connection with the Loan Documents or the
execution, legality, validity, enforceability, genuineness, sufficiency or
value of any of the Loan Documents or any other instrument or document
furnished pursuant thereto; and (d) makes no representation or warranty and
assumes no responsibility with respect to the financial condition of the
Company, or the performance or observance by the Company or any other Person of
any of their respective obligations under the Loan Documents or any other
instrument or document furnished pursuant thereto.

(7)                                  The
Purchasing Lender (a) confirms to the Transferor Lender and the Agent that it
has received a copy of the Loan Documents together with such other documents
and information as it has deemed appropriate to make its own credit analysis
and decision to enter into this Agreement; (b) acknowledges that it has,
independently and without reliance upon the Transferor Lender, the Agent or any
Lender and instead in reliance upon its own review of such documents and
information as the Purchasing Lender deemed appropriate, made its own credit
analysis and decision to enter into this Agreement and agrees that it will,
independently and without reliance upon the Transferor Lender, the Agent or any
Lender, and based on such documents and information as the Purchasing Lender
shall deem appropriate at the time, continue to make its own credit decision in
taking or not taking action under the Loan Documents; and (c) agrees that it
will perform in accordance with their terms all of the obligations which by the
terms of the Loan Documents are required to be performed by the Purchasing
Lender as a Lender under the Credit Agreement.

(8)                                  The
Transferor Lender and the Purchasing Lender each individually represents and
warrants that (a) it is validly existing and in good standing and has all
requisite power to enter into this Agreement and to carry out the provisions
hereof and has duly authorized the execution and delivery of this Agreement;
(b) the execution and delivery of this Agreement and the performance of the
obligations hereunder do not violate any provision of law, any order, rule or
regulation of any court or governmental agency or its charter, articles of
incorporation or bylaws or constitute a default under any agreement or other
instrument to which it is a party or by which it is bound; and (c) it has
duly executed and delivered this Agreement, and this Agreement constitutes a
legal, valid and binding obligation enforceable against it in accordance with
its terms.

(9)                                  Each
of the parties to this Assignment Agreement agrees that at any time and from
time to time upon the written request of any other party, it will execute and
deliver such further documents and do such further acts and things as such
other party may reasonably request in order to effect the purposes of this
Assignment Agreement.

(10)                            
The address for notices to  the
Purchasing Lender as well as administrative information with respect to the
Purchasing Lender is as set out below:

 H-3
 

(11)                            THIS
ASSIGNMENT AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE LAWS OF THE STATE OF NEW YORK.

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

	
  

  	
   

  	
                              

  	
  ,

  
	
   

  	
   

  	
  Transferor Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
  

  	
   

  	
                               

  	
  ,

  
	
   

  	
   

  	
  Purchasing Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  GOLDMAN SACHS CREDIT PARTNERS L.P.,

  
	
   

  	
   

  	
  as Agent

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CONSENTED AND ACKNOWLEDGED

  
	
   

  	
   

  	
  BEST BUY CO., INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
											

 

Information on Purchasing Lender:

Address:

 H-4
 

[            ]

Attention:                                         

Fax:
                                   

 H-5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}]]