Document:

Second Amendment to Amended and Restated Credit Agreement and Consent

 Exhibit 10.3 
 SECOND AMENDMENT TO AMENDED AND RESTATED 
 CREDIT AGREEMENT AND
CONSENT 
 This SECOND AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT AND CONSENT (this “Second
Amendment”) is made and entered into as of the 20th day of September, 2012, by and among CASELLA WASTE SYSTEMS, INC., a Delaware corporation (the “Parent”), its Subsidiaries listed on Schedule 1 to the Amended
and Restated Credit Agreement, dated as of March 18, 2011 (as the same may be amended and in effect from time to time, the “Credit Agreement”) (together with the Parent, collectively, the “Borrowers”), the
Lenders party thereto, and BANK OF AMERICA, N.A., as Administrative Agent, Swing Line Lender and L/C Issuer. 

WHEREAS, the Parent previously issued 11% Senior Second Lien Notes Due 2014 in an original principal amount of $180,000,000 (the
“Second Lien Notes”) pursuant to that certain Indenture, dated as of July 9, 2009, between the Parent and Wilmington Trust Company; 
 WHEREAS, the Parent previously issued 7 3/4% Senior Subordinated Notes Due 2019 in an original principal amount of $200,000,000 (the “2011 Senior Subordinated
Notes”) pursuant to that certain Indenture, dated as of February 7, 2011 (as modified from time to time, the “Senior Subordinated Notes Indenture”), between the Parent and U.S. Bank National Association, as trustee;

 WHEREAS, the Parent has advised the Administrative Agent and the Lenders that, as more particularly described
in the summary attached hereto as Exhibit A (the “Transaction Summary”), it plans to issue additional Senior Subordinated Notes in an aggregate principal amount at least equal to $125,000,000 pursuant to the Senior
Subordinated Notes Indenture (such notes, the “2012 Senior Subordinated Notes”) and apply the Net Cash Proceeds of such issuance, along with funds raised from one or more Equity Issuances and Committed Loans advanced under the
Credit Agreement, to refinance the Second Lien Notes in the minimum principal amount of $175,000,000, including all principal, interest, fees, premium or other amounts payable in connection therewith (such transaction, the “Second Lien
Refinancing”); 
 WHEREAS, the Borrowers, the Administrative Agent and Required Lenders previously entered into
that certain First Amendment to Amended and Restated Credit Agreement and Consent, dated as of April 27, 2012 (the “First Amendment”), pursuant to which the Required Lenders, among other things, consented to the Target
Acquisition (as defined in the First Amendment); and 
 WHEREAS, the Borrowers have requested that each of the Lenders
agree, and Lenders constituting “Required Lenders” under the terms of the Credit Agreement are willing to agree, on the terms and subject to the conditions set forth herein, (a) to consent to use up to $50,000,000 of the Committed
Loans in connection with the Second Lien Refinancing and, in connection with such consent, to waive or amend certain provisions of the Credit Agreement, (b) to make certain acknowledgments regarding the funding of the Target Acquisition, and
(c) to amend certain provisions of the Credit Agreement. 

  
 1 

 NOW, THEREFORE, in consideration of the foregoing, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 
 1. Definitions;
Loan Document. Capitalized terms used herein without definition shall have the meanings assigned to such terms in the Credit Agreement. This Second Amendment shall constitute a Loan Document for all purposes of the Credit Agreement and the other
Loan Documents. 
 2. Amendments to Section 1.01 (Defined Terms) of the Credit Agreement. Section 1.01 of the
Credit Agreement is hereby amended by: 
 (i) Inserting the following definitions in the appropriate
alphabetical order: 
 ““Excluded Interim Second Lien Debt” has the meaning assigned
thereto in the Second Amendment.” 
 ““New Equity Raise” means one or more Equity
Issuances after the Second Amendment Date pursuant to which the Parent has received at least $60,000,000 in aggregate net cash proceeds (excluding up to $50,000,000 in the aggregate of proceeds of the Parent’s follow-on common equity offering
being conducted in connection with the refinancing of the Second Lien Notes described in the Transaction Summary attached to the Second Amendment, to the extent such proceeds are used to finance the repayment of Second Lien Notes and/or the Target
Acquisition or to repay Committed Loans).” 
 ““Second Amendment” means that certain
Second Amendment to Amended and Restated Credit Agreement and Consent, dated as of September 20, 2012, among the Borrowers, the Administrative Agent and Lenders constituting Required Lenders.” 

““Second Amendment Date” means September 20, 2012.” 

(ii) Amending the definition of “Additional Debt Raise” contained therein by (i) deleting the reference to
“$125,000,000” contained therein and replacing it with a reference to “$75,000,000” and (ii) deleting the reference to “$200,000,000” contained therein and replacing it with a reference to “$150,000,000”.

 (iii) Amending clause (a) of the definition of “Consolidated Adjusted Net Income” by
re-designating the first subclause (xi) thereof as subclause (x) thereof (i.e., correcting the existing numbering). 
 (iv) Further amending clause (a) of the definition of “Consolidated Adjusted Net Income” by inserting the following subclause (xii) at the end thereof: “(xii) cash charges in
connection with severance and reorganization in an aggregate amount not to exceed $3,000,000 from and after the Closing Date;”. 

  
 2 

 (v) Further amending clause (a) of the definition of “Consolidated
Adjusted Net Income” by inserting the following subclause (xiii) at the end thereof: “and (xiii) non-cash charges associated with interest rate derivatives deemed to be ineffective;”. 

(vi) Amending the definition of “Consolidated Total Interest Expense” by deleting the word “and”
immediately preceding clause (d) thereof and inserting the following clause (e) at the end thereof: “, and (e) non-cash interest expense associated with interest rate derivatives.” 

3. Amendment to Section 2.14(a) (Request for Accordion Advance) of the Credit Agreement. Effective upon the offer by the
Parent to purchase at least $175,000,000 of the Second Lien Notes, Section 2.14(a) of the Credit Agreement is hereby amended by deleting the two provisos contained in the first sentence thereof in their entirety and replacing them with the
following (provided, for the avoidance of doubt, that prior to such offer to purchase, the two existing provisos set forth in the first sentence of Section 2.14(a) of the Credit Agreement, without giving effect to this Second Amendment,
shall continue to apply notwithstanding the effectiveness of this Second Amendment): 
 “provided
that the aggregate amounts so requested under clauses (i) and (ii) above after the date hereof (excluding any such amounts to the extent used to prepay term loans or replace Revolving Commitments) shall not exceed
$100,000,000; and provided, further, that, after giving effect to any such Accordion Advance, the sum of the Total Facility Amount shall not at any time exceed $327,500,000 in the aggregate (minus any and all permanent
reductions of the Aggregate Commitments previously voluntarily effected by the Borrowers pursuant to Section 2.06 or prepayments of any term loan advanced hereunder from time to time and then outstanding (other than in connection with a
replacement term loan or a replacement revolving credit facility under this Section 2.14))” 
 4. Amendments
to Section 7.03(k) (Indebtedness) of the Credit Agreement. Section 7.03(k) of the Credit Agreement is hereby amended by deleting the reference therein to “$350,000,000” contained therein and replacing it with the following:
“$450,000,000.” Section 7.03(k)(B) of the Credit Agreement is hereby amended by deleting each reference therein to “$350,000,000” and “$400,000,000” contained therein and replacing with the following, respectively:
“$450,000,000” and “$500,000,000”. 
 5. Amendments to Section 7.11 (Financial Covenants) of the
Credit Agreement. Effective upon the offer by the Parent to purchase at least $175,000,000 of the Second Lien Notes, Section 7.11 of the Credit Agreement is hereby amended by deleting such Section in its entirety and substituting in lieu
thereof the following (provided, for the avoidance of doubt, that prior to such offer to purchase, the existing financial covenants set forth in 7.11 of the Credit Agreement, without giving effect to this Second Amendment, shall continue to
apply notwithstanding the effectiveness of this Second Amendment): 
 “7.11 Financial Covenants. For the
avoidance of doubt, notwithstanding anything to the contrary in the Agreement, it is understood that the following financial covenants shall be calculated exclusive of the assets, liabilities (except for liabilities of the Excluded Subsidiaries that
are recourse to the Borrowers), net worth and operations of the Excluded Subsidiaries. 

  
 3 

 (a) Minimum Interest Coverage Ratio. The Borrowers shall not permit the ratio of
(a) Consolidated EBITDA for the period of four (4) consecutive fiscal quarters then ending to (b) Consolidated Total Interest Expense for such period to be less than the ratio set forth below opposite such fiscal quarter: 

 

			
	 Four Fiscal Quarters Ending
	  	 Minimum Interest Coverage Ratio

	 October 31, 2012
 through January 31, 2013
	  	2.00:1.00
	April 30, 2013	  	2.15:1.00
	 July 31, 2013
 through January 31, 2014
	  	2.25:1.00
	 April 30, 2014
 and thereafter
	  	2.50:1.00

 (b) Maximum Consolidated Total Funded Debt to Consolidated EBITDA. The Borrowers shall not permit
the ratio of (a) Consolidated Total Funded Debt as of such date to (b) Consolidated EBITDA for the period of four (4) consecutive fiscal quarters then ending to exceed the ratio set forth below opposite such fiscal quarter;
provided, however, that for each fiscal quarter ending on or after the date on which the Borrowers have consummated the New Equity Raise, each of the ratios set forth below shall be reduced by 50 basis points: 

 

			
	 Four Fiscal Quarters Ending
	  	 Maximum Consolidated Total

Funded Debt to Consolidated

EBITDA

	 October 31, 2012
 through January 31, 2013
	  	5.75:1.00
	 April 30, 2013
 through January 31, 2014
	  	5.50:1.00
	 April 30, 2014
 through January 31, 2015
	  	5.25:1.00
	 April 30, 2015
 through January 31, 2016
	  	4.75:1.00
	 April 30, 2016
 and thereafter
	  	4.50:1.00

 Notwithstanding the foregoing, solely for the purposes of calculating Consolidated Total Funded Debt to Consolidated
EBITDA pursuant to this Section 7.11(b), neither Excluded Interim Sub Debt nor Excluded Interim Second Lien Debt shall be included in Consolidated Total Funded Debt during any period in which (and for so long as) such Excluded Interim
Sub Debt or Excluded Interim Second Lien Debt is properly designated as such under and in accordance with Section 7.03(k) or the Second Amendment, as applicable. 

  
 4 

 (c) Maximum Consolidated Senior Funded Debt to Consolidated EBITDA. The Borrowers
shall not permit the ratio of (a) Consolidated Senior Funded Debt as of such date to (b) Consolidated EBITDA for the period of four (4) consecutive fiscal quarters then ending to exceed the ratio set forth below opposite such fiscal
quarter: 
  

			
	 Four Fiscal Quarters Ending
	  	 Maximum Consolidated Senior

Funded Debt to Consolidated

EBITDA

	 October 31, 2012
 and thereafter
	  	2.75:1.00

 (d) Maximum Capital Expenditures. During any fiscal year and tested at the end of each fiscal
year, the Borrowers and Non-Borrower Subsidiaries shall not make any Capital Expenditure (or become legally obligated to make such expenditures during such fiscal year) other than Capital Expenditures for properties and assets used in the operation
of the Borrowers’ or Non-Borrowers’ business not exceeding 1.5 times the sum of the Borrowers’ and the Non-Borrower Subsidiaries’ consolidated depreciation expenses, depletion expenses and landfill amortization expenses in such
fiscal year.” 
 6. Amendment to Form of Compliance Certificate. Effective upon the closing of this Second
Amendment, Exhibit D to the Credit Agreement (Form of Compliance Certificate) is hereby amended and restated in its entirety by the Exhibit D attached hereto as Annex 1. Effective upon the offer by the Parent to purchase at least
$175,000,000 of the Second Lien Notes, Exhibit D to the Credit Agreement (Form of Compliance Certificate) is hereby amended and restated in its entirety by the Exhibit D attached hereto as Annex 2. 

7. Consent to Second Lien Refinancing. Subject to the conditions to effectiveness set forth in Paragraph 11 below, the
Administrative Agent and the Lenders party hereto hereby consent to the Second Lien Refinancing and acknowledge and agree to the following in connection therewith: 

(i) The Maturity Date shall be deemed to be March 18, 2016 for all purposes under the Credit Agreement following the
consummation of the Second Lien Refinancing in Full (as defined in the Transaction Summary) or any other refinancing of the Second Lien Notes in full (including principal, interest, premium and other amounts due thereunder) in accordance with the
terms of the Credit Agreement (including Section 2.07(a) thereof) on or before March 1, 2014. In the event that the consummation of the Second Lien Refinancing in Full (as defined in the Transaction Summary) has not occurred, or the Second
Lien Notes are not otherwise so refinanced in full, in each case on or before March 1, 2014, the Maturity Date shall be March 31, 2014. Section 2.07(a) of the Credit Agreement is hereby deemed to be amended to reflect the
Administrative Agent’s and Required Lenders’ acknowledgment and consent under this subparagraph (i). 

(ii) The application of no more than $50,000,000 of Committed Loans under the Credit Agreement to the consummation of the
Second Lien Refinancing shall be a permitted use of Committed Loan proceeds under the Credit Agreement notwithstanding 

  
 5 

 
anything to the contrary set forth in Section 5.04 of the Credit Agreement. Section 5.04 of the Credit Agreement is hereby deemed to be amended to reflect the Administrative
Agent’s and Required Lenders’ acknowledgment and consent under this subparagraph (ii). 
 (iii)
Notwithstanding anything to the contrary set forth in Section 7.03(k) of the Credit Agreement or the definition of Second Lien Notes, (w) the 2012 Senior Subordinated Notes will be treated solely as Senior Subordinated Notes (and not
Second Lien Notes) for all purposes under the Credit Agreement, (x) the Indebtedness of the Borrowers evidenced by the 2012 Senior Subordinated Notes will be treated solely as Senior Subordinated Debt for all purposes under the Credit
Agreement, (y) the Senior Subordinated Notes Indenture will be treated solely as a “Senior Subordinated Notes Indenture” (and not a Second Lien Notes Indenture) for all purposes under the Credit Agreement, and (z) all documents,
instruments, agreements and indentures entered into or executed in connection with the 2012 Senior Subordinated Notes will be treated solely as Senior Subordinated Debt Documents (and not Second Lien Notes Documents) for all purposes under the
Credit Agreement. Section 7.03(k) of the Credit Agreement is hereby deemed to be amended to reflect the Administrative Agent’s and Required Lenders’ acknowledgment and consent under this subparagraph (iii). 

(iv) The repurchase of the Second Lien Notes pursuant to the Second Lien Refinancing constitutes a permitted Investment
under Section 7.02(m) of the Credit Agreement notwithstanding anything to the contrary set forth therein. Section 7.02(m) of the Credit Agreement is hereby deemed to be amended to reflect the Administrative Agent’s and Required
Lenders’ acknowledgment under this subparagraph (iv). 
 (v) The tender for the Second Lien Notes in
connection with the Second Lien Refinancing as described in the Transaction Summary, or any other offer to purchase, or redemption or repurchase of, the Second Lien Notes that complies with the terms of the Credit Agreement, does not constitute an
Event of Default under Section 8.01(n) of the Credit Agreement notwithstanding anything to the contrary set forth therein. Section 8.01(n) of the Credit Agreement is hereby deemed to be amended to reflect the Administrative Agent’s
and the Required Lenders’ acknowledgment under this subparagraph (v). 
 (vi) If, in connection with the
Second Lien Refinancing or other refinancing of the Second Lien Notes in connection with the issuance of the 2012 Senior Subordinated Notes, certain of the Second Lien Notes intended to be refinanced are not tendered to, discharged by or otherwise
satisfied by, the Borrowers substantially simultaneously with (and, in any event within one (1) Business Day after) the issuance of the 2012 Senior Subordinated Notes, as contemplated by the Borrowers in the Transaction Summary in connection
with the Second Lien Refinancing or other refinancing of the Second Lien Notes in connection with the issuance of the 2012 Senior Subordinated Notes (the aggregate outstanding principal amount of the Second Lien Notes not so tendered, discharged or
satisfied, the “Interim Second Lien Debt”) the Borrowers may elect to exclude all or any portion of such Interim Second Lien Debt from covenant calculations for purposes of Section 7.11(b) (any Interim Second Lien Debt so
excluded, “Excluded  

  
 6 

 
Interim Second Lien Debt”) so long as the Deposit Conditions (defined below) are met (and continue to be met) with respect to such Interim Second Lien Debt (and in the event that any
of the Deposit Conditions cease to be met on any date, including that such Interim Second Lien Debt is outstanding for more than ninety (90) days, such Interim Second Lien Debt shall no longer be excluded from the covenants under
Section 7.11(b) as of such date and shall no longer constitute Excluded Interim Second Lien Debt). The failure of any of the Deposit Conditions to be met at any time with respect to any Interim Second Lien Debt shall cause such Interim
Second Lien Debt to cease to be Excluded Interim Second Lien Debt. 
 The “Deposit Conditions”
shall mean, with respect to any Excluded Interim Second Lien Debt, the satisfaction (and continued satisfaction) of each of the following conditions with respect to such Indebtedness: (x) Net Cash Proceeds of the issuance of the 2012 Senior
Subordinated Notes in an amount equal to the principal amount of such Excluded Interim Second Lien Debt is deposited by the Borrowers with the Administrative Agent and maintained in a blocked deposit account at Bank of America pending the
redemption, repayment, discharge or other satisfaction thereof and such deposit account is pledged to the Administrative Agent for the benefit of the Secured Parties to secure the Obligations (it being acknowledged that such funds shall be released
in connection with the redemption, repayment, discharge or other satisfaction of such Excluded Interim Second Lien Debt in a manner that does not violate the terms of the Second Lien Notes Documents); (y) the Borrowers shall commence the
redemption, repayment, discharge or other satisfaction of such Excluded Interim Second Lien Debt in a manner that does not violate the terms of the Second Lien Notes Documents (subject to any contractual notice periods required therein) within five
(5) Business Days following the issuance of the 2012 Senior Subordinated Notes; and (z) such Excluded Interim Second Lien Debt is in fact redeemed, repaid, discharged or otherwise satisfied as soon as practicable under the Second Lien
Notes Documents or otherwise and, in any event, within ninety (90) days following the issuance of the 2012 Senior Subordinated Notes. 
 (vii) The Borrowers hereby agree to provide the Administrative Agent with all consents and other documentation as the Administrative Agent shall require related to (w) the issuance of the 2012 Senior
Subordinated Notes, (x) the tender, redemption and/or all other actions taken with respect to the repayment of the Second Lien Notes, (y) any concurrent Equity Issuance, and (z) any Interim Second Lien Debt. 

8. Source of Funds for the Target Acquisition. Notwithstanding the requirement set forth in paragraph 2 of Annex 3 of the First
Amendment that the Parent fund the Target Acquisition with the proceeds of an Equity Issuance, the Parent shall be permitted to use proceeds of Committed Loans under the Credit Agreement to pay the purchase consideration for the Target Acquisition
so long as the Borrowers previously received proceeds of an Equity Issuance in an amount equal to or greater than the purchase consideration for the Target Acquisition (such purchase consideration amount, the “Acquisition Equity”)
and applied proceeds in an amount at least equal to the Acquisition Equity to the prepayment of Committed Loans in accordance with Section 2.05(a) of the Credit Agreement. 

  
 7 

 9. No Waiver. Nothing contained herein shall be deemed to (i) constitute a
waiver of any Default or Event of Default that may heretofore or hereafter occur or have occurred and be continuing or, except as expressly set forth herein, to otherwise modify any provision of the Credit Agreement or any other Loan Document, or
(ii) give rise to any defenses or counterclaims to the Administrative Agent’s or any of the Lenders’ right to compel payment of the Obligations when due or to otherwise enforce their respective rights and remedies under the Credit
Agreement and the other Loan Documents. 
 10. Amendment Fee. The Borrowers hereby jointly and severally promise to pay
to each existing Lender which consents to this Second Amendment, in consideration of each such Lender entering into this Second Amendment, a fee in an amount equal to 25 basis points of such Lender’s Revolving Commitment as of the date hereof
(the “Amendment Fees”). The Amendment Fees shall be fully-earned as of the date hereof and shall be non-refundable. 
 11. Conditions to Effectiveness. This Second Amendment shall become effective as of the date when each of the following conditions is satisfied: 

(a) The Administrative Agent’s receipt of the following, each of which shall be originals or telecopies (followed promptly by
originals) unless otherwise specified, each dated as of the date hereof and each in form and substance satisfactory to the Administrative Agent unless otherwise specified: 

(i) counterparts of this Second Amendment, properly executed by a Responsible Officer of each of the Borrowers, and
sufficient in number for distribution to each party hereto; 
 (ii) such certificates of resolutions or other
action, incumbency certificates and/or other certificates of Responsible Officers of each Borrower as the Administrative Agent may reasonably require evidencing the identity, authority and capacity of each Responsible Officer thereof authorized to
act as a Responsible Officer in connection with this Second Amendment; 
 (iii) a favorable opinion of Wilmer,
Cutler, Pickering, Hale and Dorr, LLP, counsel to the Parent and the other Borrowers organized in New York, Delaware, Virginia and Massachusetts, addressed to the Administrative Agent and the Lenders, in form and substance satisfactory to the
Administrative Agent; 
 (iv) a certificate signed by a Responsible Officer of each Borrower certifying
(A) that the conditions specified in this Paragraph 11 and Section 4.02(a) and (b) of the Credit Agreement have been satisfied and (B) that there has been no event or condition since the date of the audited financial
statements of the Parent and its Subsidiaries for the fiscal year ended April 30, 2012, that has had or could be reasonably expected to have, either individually or in the aggregate, a Material Adverse Effect; and 

(v) such other assurances, certificates, documents, consents or opinions as the Administrative Agent reasonably may
require. 

  
 8 

 (b) The Borrowers shall have paid to the Administrative Agent, for the accounts of the
applicable Lenders, the Amendment Fee. 
 (c) The Borrowers shall have paid all fees, charges and disbursements of counsel
(including any local counsel) to the Administrative Agent (directly to such counsel if requested by the Administrative Agent) to the extent invoiced prior to or on the date hereof. 

12. Representations and Warranties. The Borrowers jointly and severally represent and warrant to the Administrative Agent and the
Lenders as follows: 
 (a) The execution, delivery and performance of this Second Amendment and the transactions contemplated
hereby (including the Second Lien Refinancing) (i) are within the corporate (or the equivalent company or partnership) authority of each of the Borrowers, (ii) have been duly authorized by all necessary corporate (or other) proceedings,
(iii) do not conflict with or result in any material breach or contravention of any provision of law, statute, rule or regulation to which any of the Borrowers is subject or any judgment, order, writ, injunction, license or permit applicable to
any of the Borrowers so as to materially adversely affect the assets, business or any activity of the Borrowers, and (iv) do not conflict with any provision of the corporate charter, articles or bylaws (or equivalent other company or
partnership documents) of the Borrowers or any agreement or other instrument binding upon the Borrowers, including, without limitation, the Senior Subordinated Notes Indenture, the Second Lien Notes Indenture and the Indenture governing the 2005
Fame Bonds. 
 (b) The execution, delivery and performance of this Second Amendment will result in valid and legally binding
obligations of the Borrowers enforceable against each in accordance with the respective terms and provisions hereof and thereof, except as enforceability is limited by bankruptcy, insolvency, reorganization, moratorium or other Applicable Laws
relating to or affecting generally the enforcement of creditors’ rights and except to the extent that availability of the remedy of specific performance or injunctive relief or other equitable remedy is subject to the discretion of the court
before which any proceeding therefor may be brought. 
 (c) The execution, delivery and performance by the Borrowers of this
Second Amendment and the transactions contemplated hereby (including the Second Lien Refinancing, as more fully described in the Transaction Summary) do not require any approval or consent of, or filing with, any governmental agency or authority
other than those already obtained in writing (copies of which have been delivered to the Administrative Agent), if any. 
 (d)
The representations and warranties contained in Article V of the Credit Agreement are true and correct in all material respects as of the date hereof as though made on and as of the date hereof, except to the extent that such representations and
warranties specifically refer to an earlier date, in which case they shall be true and correct as of such earlier date and except to the extent of changes resulting from transactions contemplated or permitted by the Credit Agreement as amended by
the Second Amendment and changes occurring in the ordinary course of business which singly or in the aggregate do not have a Material Adverse Effect. For purposes of this Paragraph 12(d), the representations and warranties contained in
Section 5.05(a) of the Credit Agreement shall be deemed to refer to the most recent statements furnished pursuant to Section 6.04(a) of the Credit Agreement. 

  
 9 

 (e) Both before and after giving effect to this Second Amendment and the transactions
contemplated hereby (including the Second Lien Refinancing), no Default or Event of Default under the Credit Agreement has occurred and is continuing. 
 13. Ratification, etc. Except as expressly amended hereby, the Credit Agreement, the other Loan Documents and all documents, instruments and agreements related thereto are hereby ratified and
confirmed in all respects and shall continue in full force and effect. This Second Amendment and the Credit Agreement shall hereafter be read and construed together as a single document, and all references in the Credit Agreement, any other Loan
Document or any agreement or instrument related to the Credit Agreement shall hereafter refer to the Credit Agreement as amended by this Second Amendment. 
 14. GOVERNING LAW. THIS SECOND AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. 

15. Counterparts. This Second Amendment may be executed in any number of counterparts and by different parties hereto on separate
counterparts, each of which when so executed and delivered shall be an original, but all of which counterparts taken together shall be deemed to constitute one and the same instrument. Delivery of an executed counterpart of a signature page of this
Second Amendment by telecopy shall be as effective as delivery of an original executed counterpart of this Second Amendment. 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

  
 10 

 IN WITNESS WHEREOF, each of the undersigned has duly executed this Second Amendment
to Amended and Restated Credit Agreement and Consent as a sealed instrument as of the date first set forth above. 
  

			
	 BORROWERS:

	
	 CASELLA WASTE SYSTEMS, INC.

		
	 By:    
	 	 /s/ Edwin Johnson

		 	 Name: Edwin Johnson

		 	 Title:   Chief Financial Officer and Treasurer

	
	 ALL CYCLE WASTE, INC.

	 ATLANTIC COAST FIBERS, INC.

	 B. AND C. SANITATION CORPORATION

	 BRISTOL WASTE MANAGEMENT, INC.

	 C.V. LANDFILL, INC.

	 CASELLA ALBANY RENEWABLES, LLC

	 CASELLA MAJOR ACCOUNT SERVICES, LLC

	 CASELLA RECYCLING, LLC

	 CASELLA RENEWABLE SYSTEMS, LLC

	 CASELLA TRANSPORTATION, INC.

	 CASELLA WASTE MANAGEMENT OF MASSACHUSETTS, INC.

	 CASELLA WASTE MANAGEMENT OF N.Y., INC.

	 CASELLA WASTE MANAGEMENT OF PENNSYLVANIA, INC.

	 CASELLA WASTE MANAGEMENT, INC.

	 CASELLA WASTE SERVICES OF ONTARIO LLC

	 CHEMUNG LANDFILL LLC

	 COLEBROOK LANDFILL LLC

	 CWM ALL WASTE LLC

	 FOREST ACQUISITIONS, INC.

	 GRASSLANDS INC.

	 GROUNDCO LLC

	 HAKES C&D DISPOSAL, INC.

	 HARDWICK LANDFILL, INC.

	 HIRAM HOLLOW REGENERATION CORP.

	 KTI BIO FUELS, INC.

	 KTI ENVIRONMENTAL GROUP, INC.

		
	 By:
	 	 /s/ Edwin Johnson

		 	 Name: Edwin Johnson

		 	 Title: Vice President and Treasurer

  
 Signature
Pages to Second Amendment 

 
			
	 KTI NEW JERSEY FIBERS, INC.

	 KTI OPERATIONS, INC.

	 KTI SPECIALTY WASTE SERVICES, INC.

	 KTI, INC.

	 MAINE ENERGY RECOVERY COMPANY, LIMITED PARTNERSHIP

	 NEW ENGLAND WASTE SERVICES OF MASSACHUSETTS, INC.

	 NEW ENGLAND WASTE SERVICES OF ME, INC.

	 NEW ENGLAND WASTE SERVICES OF N.Y., INC.

	 NEW ENGLAND WASTE SERVICES OF VERMONT, INC.

	 NEW ENGLAND WASTE SERVICES, INC.

	 NEWBURY WASTE MANAGEMENT, INC.

	 NEWSME LANDFILL OPERATIONS LLC

	 NEWS OF WORCESTER LLC

	 NORTH COUNTRY ENVIRONMENTAL SERVICES, INC.

	 NORTHERN PROPERTIES CORPORATION OF PLATTSBURGH

	 PINE TREE WASTE, INC.

	 RESOURCE WASTE SYSTEMS, INC.

	 SCHULTZ LANDFILL, INC.

	 SOUTHBRIDGE RECYCLING & DISPOSAL PARK, INC.

	 SUNDERLAND WASTE MANAGEMENT, INC.

	 THE HYLAND FACILITY ASSOCIATES

	 U.S. FIBER, LLC

	 WASTE-STREAM INC.

	 WINTERS BROTHERS, INC.

		
	 By:    
	 	 /s/ Edwin Johnson

		 	 Name: Edwin Johnson

		 	 Title:   Vice President and Treasurer

  
 Signature
Pages to Second Amendment 

 
			
	 BANK OF AMERICA, N.A.,

as Administrative Agent

		
	 By:    
	 	 /s/ Maria F. Maia

		 	 Name: Maria F. Maia

		 	 Title:   Managing Director

  
 Signature
Pages to Second Amendment 

 
			
	 BANK OF AMERICA, N.A.,

as a Lender

		
	 By:    
	 	 /s/ Maria F. Maia

		 	 Name: Maria F. Maia

		 	 Title:   Managing Director

  
 Signature
Pages to Second Amendment 

 
			
	 COMERICA BANK

as a Revolving Lender

		
	 By:    
	 	 /s/ Tony G. Rice

		 	 Name: Tony G. Rice

		 	Title:   Vice President

  
 Signature
Pages to Second Amendment 

 
			
	 JP Morgan Chase Bank, N.A.

as a Lender

		
	 By:    
	 	 /s/ Sonya E. Young

		 	 Name: Sonya E. Young

		 	 Title:   Underwriter I

  
 Signature
Pages to Second Amendment 

 
			
	 KEYBANK NATIONAL ASSOCIATION

as a Lender

		
	 By:    
	 	 /s/ Shibani Faehnle

		 	 Name: Shibani Faehnle

		 	 Title:   Vice President

  
 Signature
Pages to Second Amendment 

 
			
	 TD Bank N.A.

as a Lender

		
	 By:    
	 	 /s/ E. Kirke Hart

		 	 Name: E. Kirke Hart

		 	 Title:   Senior Vice President

  
 Signature
Pages to Second Amendment 

 
			
	 UNION BANK N.A.

as a Lender

		
	 By:    
	 	 /s/ Peter C. Thompson

		 	 Name: Peter C. Thompson

		 	 Title:   Vice President

  
 Signature
Pages to Second Amendment 

 EXHIBIT A 
 TRANSACTION SUMMARY 
 Casella Waste Systems, Inc. (the “Parent”)
proposes to enter into certain transactions (the “Transactions”) consisting of (i) an offering of additional Senior Subordinated Notes in an aggregate principal amount of at least $125,000,000 pursuant to the Senior
Subordinated Notes Indenture (such notes, the “2012 Senior Subordinated Notes”), (ii) a public offering of Class A common stock in an amount of up to $50 million (the “2012 Equity Offering”), (iii) a
borrowing of up to $50 million under the Credit Agreement to refinance the Second Lien Loans, (iv) a tender offer to purchase the Second Lien Notes, and (iv) a redemption of remaining Second Lien Notes. Capitalized terms used herein
without definition shall have the meanings ascribed to such terms in the Credit Agreement. 
 The Parent proposes to apply the
Net Cash Proceeds of the issuance of at least $125 million of 2012 Senior Subordinated Notes, $25 million of the 2012 Equity Offering and approximately $50 million of Committed Loans advanced under the Credit Agreement, to refinance in full the
Second Lien Notes, including all principal, interest, fees, premium or other amounts payable in connection therewith (such transaction, the “Second Lien Refinancing in Full”). 

The Parent intends to offer to purchase for cash any and all outstanding Second Lien Notes, if it is able to raise sufficient funds to do
so in the Transactions. Subject to the conditions stated in the documentation relating to the tender offer, holders that tender (and do not validly withdraw) their Second Lien Notes by the early tender deadline will receive an additional consent
payment. Concurrent with the offer to purchase the Second Lien Notes, the Parent is seeking the consent of the holders of Second Lien Notes to amendments to the Second Lien Notes Indenture to, among other modifications, eliminate substantially all
of the restrictive covenants and certain events of default contained therein. Simultaneously with the closing of the 2012 Senior Subordinated Notes offering, the Parent intends to issue a notice to redeem Second Lien Notes that remain outstanding
following expiration of the Tender Offer. 
 The offering of 2012 Senior Subordinated Notes is not contingent upon the
consummation of the 2012 Equity Offering but, in the event that the available proceeds of the Transactions are less than the approximately $200 million required for a Second Lien Refinancing in Full, the Borrowers are not permitted to use proceeds
from the revolver to refinance the Second Lien Notes except in connection with a refinancing of at least $175,000,000 of Second Lien Notes. The Maturity Date of the Committed Loans will continue to be March 31, 2014 if the Second Lien
Refinancing in Full does not occur on or before March 1, 2014. The Maturity Date under the Credit Agreement will be March 18, 2016, as long as the Second Lien Refinancing in Full has occurred on or before March 1, 2014. 

The Parent does not contemplate consummating the Target Acquisition contemporaneously with the Transaction. The Parent is proposing to
raise $50 million of equity, of which $25 million is intended for the Second Lien Refinancing and $25 million is intended for general corporate purposes, including acquisitions. The proposed Second Amendment and Consent confirms that Net Cash
Proceeds of the 2012 Equity Offering raised in the Transaction (or any Equity Issuance) may be used to prepay borrowings under the Credit Agreement, and such amounts would be available as Committed Loans to pay the consideration for the Target
Acquisition. 
 Exhibit A to Second Amendment 

 Annex 1 to Second Amendment 

(Effective as of Second Amendment Date) 
 EXHIBIT D 
 FORM OF COMPLIANCE CERTIFICATE 

Financial Statement Date:
                    ,          
 To:    Bank of America, N.A., as Administrative Agent 
 Ladies and Gentlemen:

 Reference is made to that certain Amended and Restated Credit Agreement, dated as of March 18, 2011 (as amended,
restated, extended, supplemented or otherwise modified in writing from time to time, the “Credit Agreement;” the terms defined therein being used herein as therein defined), among Casella Waste Systems, Inc., a Delaware corporation
(the “Parent”) and each of its direct and indirect Subsidiaries (other than Excluded Subsidiaries and Non-Borrower Subsidiaries) identified therein (collectively, the “Borrowers”), the Lenders from time to time
party thereto, and Bank of America, N.A., as Administrative Agent, L/C Issuer, and Swing Line Lender. 
 The undersigned
Responsible Officer hereby certifies as of the date hereof that he/she is the
                                         of the
Parent, and that, as such, he/she is authorized to execute and deliver this Certificate to the Administrative Agent on behalf of the Borrowers, and that: 
 [Use following paragraph 1 for fiscal year-end financial statements] 
 1.
The Borrowers have delivered the year-end audited financial statements required by Section 6.04(a) of the Credit Agreement for the fiscal year of the Borrowers ended as of the above date, together with the report and opinion of an
independent certified public accountant required by such section. 
 [Use following paragraph 1 for fiscal quarter-end
financial statements] 
 1. The Borrowers have delivered the unaudited financial statements required by
Section 6.04(b) of the Credit Agreement for the fiscal quarter of the Parent and its Subsidiaries ended as of the above date. Such consolidated financial statements were prepared in accordance with GAAP and fairly present the
consolidated financial condition of the Parent and its Subsidiaries as at the close of business on the date thereof and the results of operations for the period then ended, subject only to normal year-end audit adjustments and the absence of
footnotes. 
 2. The undersigned has reviewed and is familiar with the terms of the Credit Agreement and has made, or has caused
to be made under his/her supervision, a detailed review of the transactions and condition (financial or otherwise) of the Parent and its Subsidiaries during the accounting period covered by such financial statements. 

  
 Exhibit D

 Form of Compliance Certificate 

 3. A review of the activities of the Parent and its Subsidiaries during such fiscal period
has been made under the supervision of the undersigned with a view to determining whether during such fiscal period the Parent and its Subsidiaries performed and observed all its Obligations under the Loan Documents, and 

[select one:] 
 [to the best knowledge of the undersigned, no Default or Event of Default has occurred and is continuing.] 
 —or— 
 [to the best knowledge of the undersigned, the following
covenants contained in Article VI and Article VII of the Credit Agreement as of the end of such fiscal period have not been performed or observed and the following is a list of each such Default or Event of Default and its nature and period of
existence and a summary of what actions the Borrowers propose to take with respect thereto and attaching, in the event that such Default or Event of Default relates to environmental matters, an Environmental Compliance Certificate:] and 

4. [Except to the extent described below, the] [The] representations and warranties of the Borrowers contained in Article V of the
Credit Agreement or any other Loan Document are true and correct on the date hereof, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they shall be true and correct as of such earlier
date and except to the extent of changes resulting from transactions contemplated or permitted by the Credit Agreement and changes occurring in the ordinary course of business which singly or in the aggregate do not have a Material Adverse Effect.
For purposes of this Compliance Certificate, the representations and warranties contained in Section 5.05(a) of the Credit Agreement shall be deemed to refer to [the most recent audited financial statements furnished pursuant to
Section 4.01(a)(ix) or Section 6.04(a) of the Credit Agreement, as applicable][the statements in connection with which this Compliance Certificate is delivered]. 

[Describe any exceptions.] [For the avoidance of doubt, none of the foregoing disclosures shall constitute an amendment or supplement to
the disclosure schedules attached to the Credit Agreement or any other Loan Document.] 
 5. The financial covenant analyses and
information set forth on Schedule 1 attached hereto are true and accurate on and as of the Financial Statement Date. 

  
 Exhibit D

 Form of Compliance Certificate 

 IN WITNESS WHEREOF, the undersigned has executed this Compliance Certificate as of
                    ,         . 

 

			
		 	CASELLA WASTE SYSTEMS, INC., for
		 	itself and each of the Borrowers referred to herein
		
	By:	 	 
		 	Name:
		 	Title:

  
 Exhibit D

 Form of Compliance Certificate 

 For the Quarter/Year ended
                    ,          (the “Statement Date”) 

SCHEDULE 1 
 to
the Compliance Certificate 
 ($ in 000’s) 
  

									
	I.	 	Section 7.11(a) – Minimum Interest Coverage Ratio.	  	
			
	A.	 	Consolidated EBITDA for the four (4) consecutive fiscal quarters ending on the Statement Date (the “Subject Period”):	  	
			
		 	1.	 	Consolidated Adjusted Net Income for the Subject Period:
					
		 		 	a.	 	Consolidated Net Income (or Loss) of the Parent and its Subsidiaries after deduction of all expenses, taxes, and other proper charges determined in accordance with GAAP, less (or
plus, in the case of losses), to the extent included therein, (i) gains (or loss) from extraordinary items, (ii) any income (or loss) from discontinued operations, and (iii) income (or loss) attributable to any Investment in any Excluded
Subsidiaries; provided, however, that consolidated net income shall not be reduced pursuant to this clause (iii) by actual cash dividends or distributions received from any Excluded Subsidiary, or by Net Cash Proceeds (to the extent included in
income) in connection with the Disposition of any such Investment, so long as (and to the extent that) such cash dividends and distributions or Net Cash Proceeds have not been subsequently reinvested in an Excluded Subsidiary during the Subject
Period	  	$                    
		 		 		 		  	  

			
		 	plus, to the extent deducted in calculating Consolidated Net Income (or Loss) and without duplication:	  	
					
		 		 	b.	 	the non-recurring, non-cash write-off of debt issuance expenses related to the refinancing of Indebtedness under the Existing Credit Agreement (including, without limitation, the
repayment of the term loan B thereunder) and the 2003 Senior Subordinated Debt Refinancing for the Subject Period (up to an aggregate amount of $10,000,000 for all periods)	  	$
		 		 		 		  	  

					
		 		 	c.	 	non-recurring extraordinary charges related to the FCR Disposition for the Subject Period (up to an aggregate amount of $5,000,000 for all periods)	  	$
		 		 		 		  	  

  
 Exhibit D

 Form of Compliance Certificate 

									
					
		 		    	d.	 	transaction costs for acquisitions and development projects which are expensed rather than capitalized (as a result of applying FASB Rule 141 treatment to such transaction costs)
for the Subject Period	  	$                    
		 		    		 		  	  

					
		 		    	e.	 	non-cash losses in connection with asset sales, asset impairment charges and abandonment of assets for the Subject Period (up to an aggregate amount of $35,000,000 (calculated
without giving effect to the aggregate amount of such non-cash losses incurred in connection with the MERC Transaction) from and after the Closing Date)	  	$
		 		    		 		  	  

					
		 		    	f.	 	non-cash losses resulting from the sale or other Disposition of the assets or Equity Interests of MERC or the closure and discontinuation of the operations of MERC for the Subject
Period (up to an aggregate amount not to exceed $42,000,000 from and after the Closing Date)	  	$
		 		    		 		  	  

					
		 		    	g.	 	non-cash stock-based compensation expenses under the Borrowers’ employee share-based compensation plans for the Subject Period	  	$
		 		    		 		  	  

					
		 		    	h.	 	non-cash charges in connection with the declaration or payment of PIK Dividends for the Subject Period	  	$
		 		    		 		  	  

					
		 		    	i.	 	all other non-cash charges reasonably acceptable to the Administrative Agent for the Subject Period	  	$
		 		    		 		  	  

					
		 		    	j.	 	cash charges in connection with the MERC Transaction for the Subject Period (up to an aggregate amount of $3,000,000 from and after the Closing Date)	  	$
		 		    		 		  	  

					
		 		    	k.	 	non-recurring, non-cash write-off of debt issuance expenses related to the refinancing of the Second Lien Notes for the Subject Period (up to an aggregate amount of $6,000,000 for
all periods)	  	$
		 		    		 		  	  

					
		 		    	l.	 	cash premium payments in connection with the early redemption and refinancing of the Second Lien Notes for the Subject Period (up to an aggregate amount of $11,000,000 for all
periods)	  	$
		 		    		 		  	  

					
		 		    	m.	 	cash charges in connection with severance and reorganization in an aggregate amount not to exceed $3,000,000 from and after the Closing Date	  	$
		 		    		 		  	  

  
 Exhibit D

 Form of Compliance Certificate 

									
					
		    		 	n.	 	non-cash charges associated with interest rate derivatives deemed to be ineffective	  	$                    
		    		 		 		  	  

		
		    	minus, to the extent included in the calculation of Consolidated Net Income (or Loss) and without duplication
					
		    		 	o.	 	non-cash extraordinary gains on the sale of assets including non-cash gains on the sale of assets outside the ordinary course of business for the Subject Period	  	$
		    		 		 		  	  

		    		 	p.	 	non-cash extraordinary gains resulting from the application of FAS 133 for the Subject Period	  	$
		    		 		 		  	  

		    		 	q.	 	 Consolidated Adjusted Net Income for the Subject Period
 (Lines I.A.1.a + b + c + d + e + f + g + h + i + j + k + l + m + n – o – p)
	  	$
		    		 		 		  	  

		
		    	plus, to the extent deducted in determining Consolidated Adjusted Net Income (or Loss) in the Subject Period and without duplication
				
		    	2.	 	Interest expense (including accretion expense, original issue discount and costs in connection with the early extinguishment of debt) for the Subject Period	  	$
		    		 		 		  	  

				
		    	3.	 	Income taxes for the Subject Period	  	$
		    		 		 		  	  

				
		    	4.	 	Amortization expense for the Subject Period	  	$
		    		 		 		  	  

				
		    	5.	 	Depreciation and depletion expense for the Subject Period	  	$
		    		 		 		  	  

				
		    	6.	 	Consolidated EBITDA for the Subject Period
 (Lines I.A.1.q + 2
+ 3 + 4 + 5)
	  	$
		    		 		 		  	  

  
 Exhibit D

 Form of Compliance Certificate 

											
		
	B.	 	Consolidated Total Interest Expense for the Subject Period	  
			
		 	The aggregate amount of interest expense required to be paid or accrued in accordance with GAAP by the Borrowers during the Subject Period on all Indebtedness of the
Borrowers outstanding during all or any part of the Subject Period, whether such interest was or is required to be reflected as an item of expense or capitalized, including payments consisting of interest in respect of any Capitalized Lease or any
Synthetic Lease, and including commitment fees, letter of credit fees, agency fees, balance deficiency fees and similar fees or expenses for the Subject Period in connection with the borrowing of money, but excluding therefrom, without duplication,
(a) the non-cash amortization of debt issuance costs, including original issue discount and premium, if any, (b) the write-off of deferred financing fees and charges in connection with the repayment of any Indebtedness and in connection with the
Existing Credit Agreement, in each case, that are classified as interest under GAAP, (c) to the extent financed in connection with any refinancing of Indebtedness, any call, tender or similar premium expressly required to be paid in cash under the
existing terms (and not by way of amendment or supplement in contemplation of such refinancing) of the Indebtedness being refinanced in connection with such refinancing and the interest component of any remaining original issue discount on the
Indebtedness so refinanced, (d) dividends (including PIK Dividends) on Preferred Stock (if any) paid by the Borrowers and, to the extent deducted in calculating Consolidated Net Income (or Loss), the costs and expenses incurred by the Borrowers in
connection with the issuance of Preferred Stock, in each case that are required by GAAP to be treated as interest expense, and (e) non-cash interest expense associated with interest rate derivatives	  	 	$	  
		 		 		 		  	  
	  
	 
			
	C.	 	Interest Coverage Ratio (Line I.A.6 ÷ Line I.B)	  	 	             to 1	  

			
	
	Minimum required (as at the end of any fiscal quarter ending before the date on which the Borrowers have consummated the Additional Equity
Raise):
		
	 Four Fiscal Quarters Ending
	 	 Minimum Interest Coverage Ratio

	 April 30, 2012 through
 July 31, 2012
	 	2.15:1.00
		
	 October 31, 2012 through
 January 31, 2013
	 	2.25:1.00
		
	April 30, 2013 and thereafter	 	2.50:1.00

  
 Exhibit D

 Form of Compliance Certificate 

			
	
	Minimum required (as at the end of any fiscal quarter ending on or after the date on which the Borrowers have consummated the Additional Equity
Raise):
		
	 Four Fiscal Quarters Ending
	 	 Minimum Interest Coverage Ratio

	 April 30, 2012 through
 July 31, 2012
	 	2.15:1.00
		
	October 31, 2012	 	2.25:1.00
		
	January 31, 2013	 	2.35:1.00
		
	April 30, 2013 and thereafter	 	2.50:1.00

									
		
	II.	 	Section 7.11(b) – Maximum Consolidated Total Funded Debt to Consolidated EBITDA.
			
	A.	 	Consolidated Total Funded Debt at the Statement Date	  	
		 	the sum of:	  	
				
		 	1.	 	  
 Aggregate amount of Indebtedness for borrowed money or
credit obtained or other similar monetary obligations, direct or indirect, (including (x) the principal obligations of the Borrowers under the Second Lien Notes and the Senior Subordinated Notes, (y) obligations under “finance leases” and
(z) any unpaid reimbursement obligations with respect to letters of credit; but excluding any contingent obligations with respect to letters of credit outstanding)
	  	$                    
		 		 		 		  	  

				
		 	2.	 	all obligations evidenced by notes, bonds, debentures or other similar debt instruments (other than Performance Bonds and Landfill Surety Arrangements)	  	$
		 		 		 		  	  

				
		 	3.	 	the deferred purchase price of assets (other than trade payables incurred in the ordinary course of business and holdbacks)	  	$
		 		 		 		  	  

				
		 	4.	 	all Attributable Indebtedness, including, without limitation, Indebtedness with respect to capitalization of landfill operating contract obligations, to the extent
capitalized under GAAP (but excluding landfill operating leases to the extent they are characterized as operating leases and not capitalized)	  	$
		 		 		 		  	  

				
		 	5.	 	(x) Equity Related Purchase Obligations in respect of Non-Qualified Preferred Stock (including Grandfathered Non-Qualified Preferred Stock) and (y) commencing on the
date that is twelve months prior to the maturity of such Equity Related Purchase Obligations (assuming for this purpose the demand or exercise, if applicable, by the requisite holder or holders on the earliest date provided therefor), Equity Related
Purchase Obligations in respect of Qualified Preferred Stock	  	$
		 		 		 		  	  

  
 Exhibit D

 Form of Compliance Certificate 

									
				
		 	6.	 	Indebtedness of the type referred to in Lines II.A.1 through II.A.5 above of another Person guaranteed by any of the Borrowers	  	$                    
		 		 		  		  	  

				
		 	7.	 	Consolidated Total Funded Debt at the Statement Date
 (Line
II.A.1 + 2 + 3 + 4 + 5 + 6)
	  	$
		 		 		  		  	  

		
	B.	 	Consolidated EBITDA for the Subject Period
				
		 	1.	 	Consolidated EBITDA for the Subject Period as calculated for the purposes of Section 7.11(a) of the Credit Agreement (Line I.A.6 above)	  	$
		 		 		  		  	  

				
		 	2.	 	EBITDA attributable to the twelve (12) month period prior to the date of the MERC Transaction for the operating assets that are the subject of the MERC Transaction,
only to the extent MERC is accounted for as a discontinued operation in accordance with GAAP	  	$
		 		 		  		  	  

				
		 	3.	 	EBITDA for the prior twelve (12) months of companies acquired by the Borrowers during the Subject Period (without duplication with respect to the adjustments set forth
in Line I.A.1.b through Line I.A.1.n above) only if (x) the financial statements of such Acquired Business or new Subsidiary have been audited, for the period sought to be included, by an independent accounting firm satisfactory to the
Administrative Agent, or (y) the Administrative Agent consents to such inclusion after being furnished with other acceptable financial statements	  	$
		 		 		  		  	  

				
		 	4.	 	Non-recurring private company expenses which are discontinued upon any acquisition referenced in Line II.B.3 above (such as owner’s compensation), as approved by
the Administrative Agent	  	$
		 		 		  		  	  

				
		 	5.	 	Consolidated EBITDA for the Subject Period
 (Lines II.B.1 + 2 +
3 + 4)
	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

											
			
	C.	 	Consolidated Total Funded Debt to Consolidated EBITDA
 (Line
II.A.6 ÷ Line II.B.5):
	  	 	             to 1	  

			
	
	Maximum permitted (as at the end of any fiscal quarter ending before the date on which the Borrowers have consummated the Additional Equity
Raise):
		
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Total

Funded Debt to Consolidated

EBITDA1

	 April 30, 2012 through
 January 31, 2014
	 	5.25:1.00
		
	 April 30, 2014 through
 January 31, 2015
	 	5.00:1.00
		
	 April 30, 2015 through
 January 31, 2016
	 	4.75:1.00
		
	April 30, 2016 and thereafter	 	4.50:1.00

 

	1 	 In the event that the Borrowers receive gross cash proceeds as a result of one or more Equity Issuances in an aggregate amount less than the amount that would constitute an Additional Equity Raise, and
(i) the Borrowers have consummated the Target Acquisition on or before the last day of the applicable fiscal quarter, the maximum ratios set forth in this table shall be 0.25 lower (based on the table as in effect on the First Amendment Date)
for each $25,000,000 of gross cash proceeds received from Equity Issuances on or before the last day of the applicable fiscal quarter in excess of the first $25,000,000 so received or (ii) the Borrowers have not consummated the Target
Acquisition on or before the last day of any applicable fiscal quarter, the maximum ratios set forth in this table shall be 0.25 lower for each $25,000,000 of gross cash proceeds received from Equity Issuances on or before the last day of the
applicable fiscal quarter; provided that in no event shall any ratio for any quarter be lowered below the ratio that would be required in the table below this table (setting forth covenant levels for fiscal quarters ending on or after
the Borrowers have consummated the Additional Equity Raise) for the same quarter assuming the Additional Equity Raise had been consummated. 

  
 Exhibit D

 Form of Compliance Certificate 

			
	
	Maximum permitted (as at the end of any fiscal quarter ending on or after the date on which the Borrowers have consummated the Additional Equity
Raise):
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Total

Funded Debt to Consolidated

EBITDA

	April 30, 2012	 	5.25:1.00
		
	 July 31, 2012 to
 January 31, 2013
	 	4.50:1.00
		
	 April 30, 2013 through
 January 31, 2014
	 	4.25:1.00
		
	April 30, 2014 and thereafter	 	4.00:1.00

									
		
	III.	 	Section 7.11(c) – Maximum Consolidated Senior Funded Debt to Consolidated EBITDA.
			
	A.	 	Consolidated Senior Funded Debt at the Statement Date	  	
				
		 	1.	 	Consolidated Total Funded Debt at the Statement Date
 (Line
II.A.7 above)
	  	$                    
		 		 		  		  	  

			
		 	minus	  	
				
		 	2.	 	Subordinated Debt outstanding at the Statement Date	  	$
		 		 		  		  	  

			
		 	plus	  	
				
		 	3.	 	All scheduled principal payments in respect of Seller Subordinated Debt that will become due and payable during the next successive period of four (4) fiscal quarters
following the Statement Date	  	$
		 		 		  		  	  

				
		 	4.	 	Consolidated Senior Funded Debt at the Statement Date
 (Line
III.A.1 – 2 + 3)
	  	$
		 		 		  		  	  

			
	B.	 	Consolidated EBITDA for the Subject Period (Line II.B.5 above)	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

											
			
	C.	 	Consolidated Senior Funded Debt to Consolidated EBITDA
 (Line
III.A.4 ÷ Line III.B)
	  	 	             to 1	  

			
	
	Maximum Permitted (as at the end of any fiscal quarter ending before the date on which the Borrowers have consummated the Additional Equity
Raise):
		
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Senior

Funded Debt to Consolidated

EBITDA2

	 April 30, 2012 through
 January 31, 2014
	 	3.25:1.00
		
	 April 30, 2014 through
 January 31, 2016
	 	3.00:1.00
		
	April 30, 2016 and thereafter	 	2.75:1.00
	
	Maximum permitted (as at the end of any fiscal quarter ending on or after the date on which the Borrowers have consummated the Additional Equity
Raise):
		
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Senior

Funded Debt to Consolidated

EBITDA

	April 30, 2012	 	3.25:1.00
		
	 July 31, 2012 through
 January 31, 2014
	 	3.00:1.00
		
	April 30, 2014 and thereafter	 	2.75:1.00

  

											
			
	IV.	 	Section 7.11(d) – Maximum Capital Expenditures.	  			
			
	A.	 	Capital Expenditures made (or which any Borrower or Non-Borrower Subsidiary has become legally obligated to make) during the fiscal year ending
                    	  	 	$                    	  
		 		 		 		  	  
	  
	 

  

	2 	In the event that the Borrowers receive gross cash proceeds as a result of one or more Equity Issuances in an aggregate amount less than the amount that would
constitute an Additional Equity Raise, and (i) the Borrowers have consummated the Target Acquisition on or before the last day of the applicable fiscal quarter, the maximum ratios set forth in this table shall be 0.25 lower (based on the table
as in effect on the First Amendment Date) for each $25,000,000 of gross cash proceeds received from Equity Issuances on or before the last day of the applicable fiscal quarter in excess of the first $25,000,000 so received or (ii) the Borrowers
have not consummated the Target Acquisition on or before the last day of any applicable fiscal quarter, the maximum ratios set forth in this table shall be 0.25 lower for each $25,000,000 of gross cash proceeds received from Equity Issuances on or
before the last day of the applicable fiscal quarter; provided that in no event shall any ratio for any quarter be lowered below the ratio that would be required in the table below this table (setting forth covenant levels for fiscal
quarters ending on or after the Borrowers have consummated the Additional Equity Raise) for the same quarter assuming the Additional Equity Raise had been consummated. 

  
 Exhibit D

 Form of Compliance Certificate 

			
	
	Maximum Permitted:
	
	 1.5 times the sum of the Borrowers’ and the Non-Borrowers’

consolidated depreciation expenses, depletion expenses and
 landfill amortization expenses in such fiscal year, the product
 of which calculation equals
$            

  
 Exhibit D

 Form of Compliance Certificate 

 Annex 2 to Second Amendment 

(Effective upon the offer by the Parent to purchase at least 

$175,000,000 of the Second Lien Notes) 
 EXHIBIT D 
 FORM OF COMPLIANCE CERTIFICATE

 Financial Statement Date:
                    ,          
 To:    Bank of America, N.A., as Administrative Agent 
 Ladies and Gentlemen:

 Reference is made to that certain Amended and Restated Credit Agreement, dated as of March 18, 2011 (as amended,
restated, extended, supplemented or otherwise modified in writing from time to time, the “Credit Agreement;” the terms defined therein being used herein as therein defined), among Casella Waste Systems, Inc., a Delaware corporation
(the “Parent”) and each of its direct and indirect Subsidiaries (other than Excluded Subsidiaries and Non-Borrower Subsidiaries) identified therein (collectively, the “Borrowers”), the Lenders from time to time
party thereto, and Bank of America, N.A., as Administrative Agent, L/C Issuer, and Swing Line Lender. 
 The undersigned
Responsible Officer hereby certifies as of the date hereof that he/she is the
                                         of the
Parent, and that, as such, he/she is authorized to execute and deliver this Certificate to the Administrative Agent on behalf of the Borrowers, and that: 
 [Use following paragraph 1 for fiscal year-end financial statements] 
 1.
The Borrowers have delivered the year-end audited financial statements required by Section 6.04(a) of the Credit Agreement for the fiscal year of the Borrowers ended as of the above date, together with the report and opinion of an
independent certified public accountant required by such section. 
 [Use following paragraph 1 for fiscal quarter-end
financial statements] 
 1. The Borrowers have delivered the unaudited financial statements required by
Section 6.04(b) of the Credit Agreement for the fiscal quarter of the Parent and its Subsidiaries ended as of the above date. Such consolidated financial statements were prepared in accordance with GAAP and fairly present the
consolidated financial condition of the Parent and its Subsidiaries as at the close of business on the date thereof and the results of operations for the period then ended, subject only to normal year-end audit adjustments and the absence of
footnotes. 
 2. The undersigned has reviewed and is familiar with the terms of the Credit Agreement and has made, or has caused
to be made under his/her supervision, a detailed review of the transactions and condition (financial or otherwise) of the Parent and its Subsidiaries during the accounting period covered by such financial statements. 

  
 Exhibit D

 Form of Compliance Certificate 

 3. A review of the activities of the Parent and its Subsidiaries during such fiscal period
has been made under the supervision of the undersigned with a view to determining whether during such fiscal period the Parent and its Subsidiaries performed and observed all its Obligations under the Loan Documents, and 

[select one:] 
 [to the best knowledge of the undersigned, no Default or Event of Default has occurred and is continuing.] 
 —or— 
 [to the best knowledge of the undersigned, the following
covenants contained in Article VI and Article VII of the Credit Agreement as of the end of such fiscal period have not been performed or observed and the following is a list of each such Default or Event of Default and its nature and period of
existence and a summary of what actions the Borrowers propose to take with respect thereto and attaching, in the event that such Default or Event of Default relates to environmental matters, an Environmental Compliance Certificate:] and 

4. [Except to the extent described below, the] [The] representations and warranties of the Borrowers contained in Article V of the
Credit Agreement or any other Loan Document are true and correct on the date hereof, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they shall be true and correct as of such earlier
date and except to the extent of changes resulting from transactions contemplated or permitted by the Credit Agreement and changes occurring in the ordinary course of business which singly or in the aggregate do not have a Material Adverse Effect.
For purposes of this Compliance Certificate, the representations and warranties contained in Section 5.05(a) of the Credit Agreement shall be deemed to refer to [the most recent audited financial statements furnished pursuant to
Section 4.01(a)(ix) or Section 6.04(a) of the Credit Agreement, as applicable][the statements in connection with which this Compliance Certificate is delivered]. 

[Describe any exceptions.] [For the avoidance of doubt, none of the foregoing disclosures shall constitute an amendment or supplement to
the disclosure schedules attached to the Credit Agreement or any other Loan Document.] 
 5. The financial covenant analyses and
information set forth on Schedule 1 attached hereto are true and accurate on and as of the Financial Statement Date. 

  
 Exhibit D

 Form of Compliance Certificate 

 IN WITNESS WHEREOF, the undersigned has executed this Compliance Certificate as of
                    ,                     .

  

			
	CASELLA WASTE SYSTEMS, INC., for itself and each of the Borrowers referred to herein
		
	By:	 	 
		 	Name:
		 	 Title:

  
 Exhibit D

 Form of Compliance Certificate 

 For the Quarter/Year ended
                    ,          (the “Statement Date”) 

SCHEDULE 1 
 to
the Compliance Certificate 
 ($ in 000’s) 
  

									
	I.	 	Section 7.11(a) – Minimum Interest Coverage Ratio.
			
	A.	 	Consolidated EBITDA for the four (4) consecutive fiscal quarters ending on the Statement Date (the “Subject Period”):	  	
				
		 	1.	 	Consolidated Adjusted Net Income for the Subject Period:	  	
					
		 		 	a.	  	Consolidated Net Income (or Loss) of the Parent and its Subsidiaries after deduction of all expenses, taxes, and other proper charges determined in accordance with GAAP, less (or
plus, in the case of losses), to the extent included therein, (i) gains (or loss) from extraordinary items, (ii) any income (or loss) from discontinued operations, and (iii) income (or loss) attributable to any Investment in any Excluded
Subsidiaries; provided, however, that consolidated net income shall not be reduced pursuant to this clause (iii) by actual cash dividends or distributions received from any Excluded Subsidiary, or by Net Cash Proceeds (to the extent included in
income) in connection with the Disposition of any such Investment, so long as (and to the extent that) such cash dividends and distributions or Net Cash Proceeds have not been subsequently reinvested in an Excluded Subsidiary during the Subject
Period	  	$                    
		 		 		  		  	  

			
		 	plus, to the extent deducted in calculating Consolidated Net Income (or Loss) and without duplication:	  	
					
		 		 	b.	  	the non-recurring, non-cash write-off of debt issuance expenses related to the refinancing of Indebtedness under the Existing Credit Agreement (including, without limitation, the
repayment of the term loan B thereunder) and the 2003 Senior Subordinated Debt Refinancing for the Subject Period (up to an aggregate amount of $10,000,000 for all periods)	  	$
		 		 		  		  	  

					
		 		 	c.	  	non-recurring extraordinary charges related to the FCR Disposition for the Subject Period (up to an aggregate amount of $5,000,000 for all periods)	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

									
					
		 		 	d.	  	transaction costs for acquisitions and development projects which are expensed rather than capitalized (as a result of applying FASB Rule 141 treatment to such transaction costs)
for the Subject Period	  	$                    
		 		 		  		  	  

					
		 		 	e.	  	non-cash losses in connection with asset sales, asset impairment charges and abandonment of assets for the Subject Period (up to an aggregate amount of $35,000,000 (calculated
without giving effect to the aggregate amount of such non-cash losses incurred in connection with the MERC Transaction) from and after the Closing Date)	  	$
		 		 		  		  	  

					
		 		 	f.	  	non-cash losses resulting from the sale or other Disposition of the assets or Equity Interests of MERC or the closure and discontinuation of the operations of MERC for the Subject
Period (up to an aggregate amount not to exceed $42,000,000 from and after the Closing Date)	  	$
		 		 		  		  	  

					
		 		 	g.	  	non-cash stock-based compensation expenses under the Borrowers’ employee share-based compensation plans for the Subject Period	  	$
		 		 		  		  	  

					
		 		 	h.	  	non-cash charges in connection with the declaration or payment of PIK Dividends for the Subject Period	  	$
		 		 		  		  	  

					
		 		 	i.	  	all other non-cash charges reasonably acceptable to the Administrative Agent for the Subject Period	  	$
		 		 		  		  	  

					
		 		 	j.	  	cash charges in connection with the MERC Transaction for the Subject Period (up to an aggregate amount of $3,000,000 from and after the Closing Date)	  	$
		 		 		  		  	  

					
		 		 	k.	  	non-recurring, non-cash write-off of debt issuance expenses related to the refinancing of the Second Lien Notes for the Subject Period (up to an aggregate amount of $6,000,000 for
all periods)	  	$
		 		 		  		  	  

					
		 		 	l.	  	cash premium payments in connection with the early redemption and refinancing of the Second Lien Notes for the Subject Period (up to an aggregate amount of $11,000,000 for all
periods)	  	$
		 		 		  		  	  

					
		 		 	m.	  	cash charges in connection with severance and reorganization in an aggregate amount not to exceed $3,000,000 from and after the Closing Date	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

									
					
		 		 	n.	  	non-cash charges associated with interest rate derivatives deemed to be ineffective	  	$                    
		 		 		  		  	  

			
		 	minus, to the extent included in the calculation of Consolidated Net Income (or Loss) and without duplication	  	
					
		 		 	o.	  	non-cash extraordinary gains on the sale of assets including non-cash gains on the sale of assets outside the ordinary course of business for the Subject Period	  	$
		 		 		  		  	  

					
		 		 	p.	  	non-cash extraordinary gains resulting from the application of FAS 133 for the Subject Period	  	$
		 		 		  		  	  

					
		 		 	q.	  	 Consolidated Adjusted Net Income for the Subject Period
 (Lines I.A.1.a + b + c + d + e + f + g + h + i + j + k + l + m + n – o – p)
	  	$
		 		 		  		  	  

			
		 	plus, to the extent deducted in determining Consolidated Adjusted Net Income (or Loss) in the Subject Period and without duplication	  	
				
		 	2.	 	Interest expense (including accretion expense, original issue discount and costs in connection with the early extinguishment of debt) for the Subject Period	  	$
		 		 		  		  	  

				
		 	3.	 	Income taxes for the Subject Period	  	$
		 		 		  		  	  

				
		 	4.	 	Amortization expense for the Subject Period	  	$
		 		 		  		  	  

				
		 	5.	 	Depreciation and depletion expense for the Subject Period	  	$
		 		 		  		  	  

				
		 	6.	 	Consolidated EBITDA for the Subject Period
 (Lines I.A.1.q + 2
+ 3 + 4 + 5)
	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

											
		
	B.	 	Consolidated Total Interest Expense for the Subject Period	  
			
		 	The aggregate amount of interest expense required to be paid or accrued in accordance with GAAP by the Borrowers during the Subject Period on all Indebtedness of the
Borrowers outstanding during all or any part of the Subject Period, whether such interest was or is required to be reflected as an item of expense or capitalized, including payments consisting of interest in respect of any Capitalized Lease or any
Synthetic Lease, and including commitment fees, letter of credit fees, agency fees, balance deficiency fees and similar fees or expenses for the Subject Period in connection with the borrowing of money, but excluding therefrom, without duplication,
(a) the non-cash amortization of debt issuance costs, including original issue discount and premium, if any, (b) the write-off of deferred financing fees and charges in connection with the repayment of any Indebtedness and in connection with the
Existing Credit Agreement, in each case, that are classified as interest under GAAP, (c) to the extent financed in connection with any refinancing of Indebtedness, any call, tender or similar premium expressly required to be paid in cash under the
existing terms (and not by way of amendment or supplement in contemplation of such refinancing) of the Indebtedness being refinanced in connection with such refinancing and the interest component of any remaining original issue discount on the
Indebtedness so refinanced, (d) dividends (including PIK Dividends) on Preferred Stock (if any) paid by the Borrowers and, to the extent deducted in calculating Consolidated Net Income (or Loss), the costs and expenses incurred by the Borrowers in
connection with the issuance of Preferred Stock, in each case that are required by GAAP to be treated as interest expense, and (e) non-cash interest expense associated with interest rate derivatives	  	 	$	  
		 		 		 		  	  
	  
	 
			
	C.	 	Interest Coverage Ratio (Line I.A.6 ÷ Line I.B)	  	 	             to 1	  

			
	
	Minimum required:
		
	 Four Fiscal Quarters Ending
	 	 Minimum Interest Coverage Ratio

	 October 31, 2012 through
 January 31, 2013
	 	2.00:1.00
		
	April 30, 2013	 	2.15:1.00
		
	 July 31, 2013 through
 January 31, 2014
	 	2.25:1.00
		
	April 30, 2014 and thereafter	 	2.50:1.00

  
 Exhibit D

 Form of Compliance Certificate 

									
		
	II.	 	Section 7.11(b) – Maximum Consolidated Total Funded Debt to Consolidated EBITDA.
			
	A.	 	Consolidated Total Funded Debt at the Statement Date	  	
		 	the sum of:	  	
				
		 	1.	 	Aggregate amount of Indebtedness for borrowed money or credit obtained or other similar monetary obligations, direct or indirect, (including (x) the principal
obligations of the Borrowers under the Second Lien Notes and the Senior Subordinated Notes, (y) obligations under “finance leases” and (z) any unpaid reimbursement obligations with respect to letters of credit; but excluding any contingent
obligations with respect to letters of credit outstanding)	  	$                    
		 		 		  		  	  

				
		 	2.	 	all obligations evidenced by notes, bonds, debentures or other similar debt instruments (other than Performance Bonds and Landfill Surety Arrangements)	  	$
		 		 		  		  	  

				
		 	3.	 	the deferred purchase price of assets (other than trade payables incurred in the ordinary course of business and holdbacks)	  	$
		 		 		  		  	  

				
		 	4.	 	all Attributable Indebtedness, including, without limitation, Indebtedness with respect to capitalization of landfill operating contract obligations, to the extent
capitalized under GAAP (but excluding landfill operating leases to the extent they are characterized as operating leases and not capitalized)	  	$
		 		 		  		  	  

				
		 	5.	 	(x) Equity Related Purchase Obligations in respect of Non-Qualified Preferred Stock (including Grandfathered Non-Qualified Preferred Stock) and (y) commencing on the
date that is twelve months prior to the maturity of such Equity Related Purchase Obligations (assuming for this purpose the demand or exercise, if applicable, by the requisite holder or holders on the earliest date provided therefor), Equity Related
Purchase Obligations in respect of Qualified Preferred Stock	  	$
		 		 		  		  	  

				
		 	6.	 	Indebtedness of the type referred to in Lines II.A.1 through II.A.5 above of another Person guaranteed by any of the Borrowers	  	$
		 		 		  		  	  

				
		 	7.	 	Consolidated Total Funded Debt at the Statement Date
 (Line
II.A.1 + 2 + 3 + 4 + 5 + 6)
	  	$
		 		 		  		  	  

			
	B.	 	Consolidated EBITDA for the Subject Period	  	
				
		 	1.	 	Consolidated EBITDA for the Subject Period as calculated for the purposes of
Section 7.11(a) of the Credit Agreement
(Line I.A.6 above)
	  	$
		 		 		  		  	  

  
 Exhibit D

 Form of Compliance Certificate 

											
				
		 	2.	 	EBITDA attributable to the twelve (12) month period prior to the date of the MERC Transaction for the operating assets that are the subject of the MERC Transaction,
only to the extent MERC is accounted for as a discontinued operation in accordance with GAAP	  	 	$                    	  
		 		 		  		  	  
	  
	 
				
		 	3.	 	EBITDA for the prior twelve (12) months of companies acquired by the Borrowers during the Subject Period (without duplication with respect to the adjustments set forth
in Line I.A.1.b through Line I.A.1.n above) only if (x) the financial statements of such Acquired Business or new Subsidiary have been audited, for the period sought to be included, by an independent accounting firm satisfactory to the
Administrative Agent, or (y) the Administrative Agent consents to such inclusion after being furnished with other acceptable financial statements	  	 	$	  
		 		 		  		  	  
	  
	 
				
		 	4.	 	Non-recurring private company expenses which are discontinued upon any acquisition referenced in Line II.B.3 above (such as owner’s compensation), as approved by
the Administrative Agent	  	 	$	  
		 		 		  		  	  
	  
	 
				
		 	5.	 	Consolidated EBITDA for the Subject Period
 (Lines II.B.1 + 2 +
3 + 4)
	  	 	$	  
		 		 		  		  	  
	  
	 
			
	C.	 	Consolidated Total Funded Debt to Consolidated EBITDA
 (Line
II.A.6 ÷ Line II.B.5):
	  	 	             to 1	  

  

			
	
	Maximum permitted:
		
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Total

Funded Debt to Consolidated

EBITDA1

	 October 31, 2012 through

January 31, 2013
	 	5.75:1.00
		
	 April 30, 2013 through
 January 31, 2014
	 	5.50:1.00
		
	 April 30, 2014 through
 January 31, 2015
	 	5.25:1.00
		
	 April 30, 2015 through
 January 31, 2016
	 	4.75:1.00
		
	April 30, 2016 and thereafter	 	4.50:1.00

 

	1 	For each fiscal quarter ending on or after the date on which the Borrowers have consummated the New Equity Raise, each of the ratios set forth below shall be reduced by
50 basis points. 

  
 Exhibit D

 Form of Compliance Certificate 

											
		
	III.	 	Section 7.11(c) – Maximum Consolidated Senior Funded Debt to Consolidated EBITDA.	  
		
	A.	 	Consolidated Senior Funded Debt at the Statement Date	  
				
		 	1.	 	 Consolidated Total Funded Debt at the Statement Date
 (Line II.A.7 above)
	  	 	$                    	  
		 		 		 		  	  
	  
	 
			
		 	minus	  			
				
		 	2.	 	Subordinated Debt outstanding at the Statement Date	  	 	$	  
		 		 		 		  	  
	  
	 
			
		 	plus	  			
				
		 	3.	 	All scheduled principal payments in respect of Seller Subordinated Debt that will become due and payable during the next successive period of four (4) fiscal quarters
following the Statement Date	  	 	$	  
		 		 		 		  	  
	  
	 
				
		 	4.	 	 Consolidated Senior Funded Debt at the Statement Date
 (Line III.A.1 – 2 + 3)
	  	 	$	  
		 		 		 		  	  
	  
	 
			
	B.	 	Consolidated EBITDA for the Subject Period (Line II.B.5 above)	  	 	$	  
		 		 		 		  	  
	  
	 
			
	C.	 	Consolidated Senior Funded Debt to Consolidated EBITDA

(Line III.A.4 ÷ Line III.B)
	  	 	             to 1	  

			
	
	Maximum Permitted:
		
	 Four Fiscal Quarters Ending
	 	 Maximum Consolidated Senior

Funded Debt to Consolidated

EBITDA

	October 31, 2012 and thereafter	 	2.75:1.00

  
 Exhibit D

 Form of Compliance Certificate 

											
			
	IV.	 	Section 7.11(d) – Maximum Capital Expenditures.	  			
			
	A.	 	Capital Expenditures made (or which any Borrower or Non-Borrower Subsidiary has become legally obligated to make) during the fiscal year ending
                    	  	 	$                    	  
		 		 		 		  	  
	  
	 

  

			
	
	Maximum Permitted:
	
	 1.5 times the sum of the Borrowers’ and the Non-Borrowers’

consolidated depreciation expenses, depletion expenses and
 landfill amortization expenses in such fiscal year, the product
 of which calculation equals
$            

  
 Exhibit D

 Form of Compliance CertificateSettlement Agreement

 EXHIBIT 10.1 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has
been requested with respect to the omitted portions. 

 SETTLEMENT AGREEMENT 

This Settlement Agreement is by and between Overland Storage, Inc. (referred to herein as “Overland”), a California
corporation with a principal place of business at 9112 Spectrum Center Boulevard, San Diego, California 92123; and International Business Machines Corporation (referred to herein as “IBM”), a New York corporation with a principal
place of business at 1 New Orchard Road, Armonk, New York 10504-1722 (each of Overland and IBM is referred to herein as a “Party” and are collectively referred to herein as the “Parties”). 

RECITALS 
 Whereas, Overland and IBM are parties to the ITC Action and the District Court Action (both defined below); 
 Whereas, the Parties wish to resolve their differences in the ITC Action and the District Court Action without admitting liability or conceding the claims or defenses raised against it; 

Whereas, each of the Parties acknowledges that the execution of this Settlement Agreement will be of substantial benefit to it.

 NOW, THEREFORE, in consideration of the above recitals and the mutual covenants hereinafter contained and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: 

1. DEFINITIONS 
 As used herein, capitalized terms not otherwise defined herein shall have the following meanings: 
 1.1 “ITC Action” means the action in the United States International Trade Commission captioned In re Certain Automated Media Library Devices, Investigation
No. 337-TA-746. 
 1.2 “District Court Action” means the action in the United States District Court
for the Southern District of California captioned Overland Storage, Inc. v. BDT Automation Technology (ZHUHAI FTZ) Co., Ltd., et al., Civil Action No. 10-CV-1700. 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 1.3 “License Agreement” shall mean that certain license agreement entered
by and between Overland and IBM concurrent herewith, a copy of which is attached hereto as Exhibit C. 
 1.4 ** 

1.5 “Patents-In-Suit” shall mean U.S. Patent Nos. 6,328,766 and 6,353,581. 

1.6 “Subsidiary” of a Party hereto or of a third party shall mean a corporation, company or other entity: 

1.6.1 more than fifty percent (50%) of whose outstanding shares or securities (representing the right to vote for the election of
directors or other managing authority) are, now or hereafter, owned or controlled, directly or indirectly, by a Party hereto or such third party, but such corporation, company or other entity shall be deemed to be a Subsidiary only so long as such
ownership or control exists; or 
 1.6.2 which does not have outstanding shares or securities, as may be the case in a
partnership, joint venture or unincorporated association, but more than fifty percent (50%) of whose ownership interest representing the right to make the decisions for such corporation, company or other entity is, now or hereafter, owned or
controlled, directly or indirectly, by a Party hereto or such third party, but such corporation, company or other entity shall be deemed to be a Subsidiary only so long as such ownership or control exists. 

1.7 “Effective Date” means the date upon which Overland receives the payment described in Section 4. 

1.8 “Execution Date” means the date upon which this Settlement Agreement is signed by all parties. 

2. DISMISSAL 
 2.1 In consideration of the mutual promises set forth herein, within three (3) business days of the Execution Date of this Settlement Agreement, Overland and IBM shall: 

(a) with respect to the ITC Action, execute and/or cause their respective counsel to execute papers in the forms set forth in
Exhibit A, or in such other form as required for the Commission’s approval, for the purpose of terminating the ITC Action with prejudice as to IBM and Dell Inc. (“Dell”); and 

(b) with respect to the District Court Action, execute and/or cause their respective counsel to execute papers in the forms set forth in
Exhibit B, or in such other form as required for the Court’s approval, to Dismiss with Prejudice the District Court Action as to all of their respective claims by and between Overland and IBM and Dell. 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 For the avoidance of doubt, nothing in this Settlement Agreement creates any obligation on
the part of Overland to dismiss or terminate the ITC Action or District Court Action with respect to any party other than IBM and Dell. 
 2.2 The Parties agree that each Party shall bear its own costs, fees, and expenses relating to the ITC Action and the District Court Action, including attorneys’ fees, expert fees, and court costs,
and in the negotiation, preparation, and execution of this Settlement Agreement, the License Agreement (attached hereto as Exhibit C), and the ** (attached hereto as Exhibit D). 
 3. LICENSES; COVENANTS; OTHER GRANTS OF RIGHTS 

Concurrently with this Settlement Agreement, Overland and IBM have entered into a License Agreement (attached hereto as Exhibit C) and **
(attached hereto as Exhibit D). 
 4. PAYMENT 
 4.1 Total Consideration. In consideration of the releases and rights granted in this Settlement Agreement and the License Agreement, IBM shall pay to Overland ** (“Payment”) and
enter into the **. 
 4.2 Payment Instructions. IBM agrees to make this payment within ** of the latest of
(i) the Execution Date of this Settlement Agreement; (ii) the Execution Date of the License Agreement; (iii) the Execution Date of the **; or (iv) delivery of a letter to IBM on Overland letterhead that states: (a) the
amount to be transferred; (b) Overland’s address; (c) Overland’s taxpayer identification number; (d) Overland’s Bank Account Name; (e) Overland’s bank name and address; and (f) Overland’s bank account
number, bank routing number and Swift Code number. IBM’s sole obligation with respect to the Payment will be to make the payment contemplated in this paragraph. 
 4.3 Taxes. IBM shall make the Payment without any deductions for taxes or charges of any kind. All taxes imposed as a result of the existence of this Settlement Agreement or the performance
hereunder shall be paid by the party required to do so by applicable law. 
 5. TERMINATION 

5.1 This Settlement Agreement may not be terminated by any Party. 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 6. ASSIGNMENT 

6.1 Assignment. This Settlement Agreement is personal to each of the parties and their affiliates and successor companies, and
it cannot be assigned to any third party in whole or part. 
 7. REPRESENTATIONS, WARRANTIES 

7.1 Overland represents and warrants that (i) it has the full right and power to enter into this Settlement Agreement;
(ii) no other person’s consent or approval is required for the granting of such rights; and (iii) this Settlement Agreement and the grant of rights herein does not conflict with, violate or otherwise constitute a breach of any
agreement between it and any person. 
 7.2 IBM represents and warrants that IBM has the full right and power to enter into
this Settlement Agreement and that this Settlement Agreement does not conflict with, violate, or otherwise constitute a breach of any agreement between IBM and any person. 
 8. CONFIDENTIALITY 
 8.1 Each Party, on behalf of
itself and its Subsidiaries, agrees not to disclose any term or condition of this Settlement Agreement to any third party without the prior written consent of the other Party. This obligation is subject to the following exceptions: 

(a) disclosure is permissible if required by government or court order, provided the Party required to disclose first gives the other
prior written notice to enable it to seek a protective order; 
 (b) disclosure is permissible if otherwise required by law
(including but not limited to legal requirements and regulations of the U.S. Securities and Exchange Commission or rules of the NYSE or NASDAQ) and, in the event of such a disclosure, the disclosing party agrees to provide advance notice to the
non-disclosing party and the disclosing party shall seek to maintain confidentiality of the terms and conditions to maximum extent reasonably possible; 
 (c) disclosure is permissible in connection with any subject matter addressed by the other party in any filings made pursuant to the regulations of the U.S. Securities and Exchange Commission and
rules of the NYSE or NASDAQ or foreign equivalents of such governmental bodies and, in the event of such a disclosure, the disclosing party agrees to provide advance notice to the non-disclosing party and the disclosing party shall seek to maintain
confidentiality of the terms and conditions to maximum extent reasonably possible; 
 (d) disclosure is permissible if
required to enforce rights under this Settlement Agreement; 
 (e) each Party may use similar terms and conditions in other
agreements; 
  

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 (f) each Party may disclose only the scope of the rights granted hereunder (but not any
financial terms) to the extent reasonably necessary, on a confidential basis, to its customers, potential customers, and other third parties with which it has a current or potential commercial relationship; and 

(g) each Party may disclose the terms and conditions of this Settlement Agreement to the extent reasonably necessary, on a
confidential basis, to its accountants, attorneys, financial advisors, its present or future providers of venture capital and/or potential investors in or acquirers of such party or product or service lines which qualify for a license under
Section 2.8 of the License Agreement (attached hereto as Exhibit C). 
 8.2 Neither Party shall use or refer to this
Settlement Agreement, the License Agreement, or the ** or any of their provisions in any promotional activity, and each Party agrees not to issue any press release or make any other public announcement of any term or condition of this Settlement
Agreement, the License Agreement, or the **. Notwithstanding the foregoing, each Party may publicly disclose the fact that the ITC Action and District Court Action have been resolved by settlement without disclosing any term or condition of this
Settlement Agreement, the License Agreement, or the **. 
 8.3 For the avoidance of doubt, the parties acknowledge and
agree that Section 8.1 permits IBM to disclose so much of the terms of this Settlement Agreement as is necessary to demonstrate to a customer that IBM and the customer are covered or protected by the terms of this Settlement Agreement.

 9. MISCELLANEOUS 
 9.1 Entire Agreement. This Settlement Agreement, the License Agreement (attached hereto as Exhibit C), and the ** (attached hereto as Exhibit D) constitute the entire agreement between the
parties relating to the subject matter hereof, and supersedes all prior proposals, agreements, representations, and other communications, if any, between the parties with respect to the subject matter hereof. 

9.2 If any section of this Settlement Agreement is found by competent authority to be invalid, illegal or unenforceable in any
respect for any reason, the validity, legality and enforceability of such section in every other respect and the remainder of this Settlement Agreement shall continue in effect so long as the Settlement Agreement still expresses the intent of the
Parties. However, if the intent of the Parties cannot be preserved, this Settlement Agreement shall be either renegotiated or terminated. 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 9.3 Modification; Waiver. This Settlement Agreement shall not be binding upon
the Parties until it has been signed herein below by or on behalf of each Party. No modification, supplementation, or amendment to this Settlement Agreement will be effective unless it is in writing and executed by authorized representatives of the
parties, except that either Party may amend its address in Section 9.5 by written notice to the other Party. Nor will any waiver of any rights be effective unless assented to in writing by the party to be charged. The failure or delay of either
party in exercising any of its rights hereunder, including any rights with respect to a breach or default by the other party, will in no way operate as a waiver of such rights or prevent the assertion of such rights with respect to any later breach
or default by the other party. 
 9.4 Headings. The headings used in this Settlement Agreement are for reference and
convenience only and will not be used in interpreting the provisions of this Settlement Agreement. 
 9.5 Notices.
Notices and other communications shall be sent by facsimile, reputable overnight courier, email, or by registered or certified mail to the following addresses and shall be effective upon sending: 

To Overland and its Subsidiaries and Affiliates: 
 Kurt Kalbfleisch 
 Vice President and CFO 

Overland Storage Inc. 
 9112 Spectrum Center Boulevard 
 San Diego, CA 92123 

Facsimile: (858) 495-4267 
 With a copy to: 
 Sean Cunningham 

DLA Piper LLP (US) 
 401 B Street, Suite 1700 
 San Diego, CA 92101 

Facsimile: (619) 699-2701 
 To IBM and its Subsidiaries and Affiliates: 
 Director of Licensing 

IBM Corporation 

North Castle Drive, MD-NC119 
 Armonk, NY 10504-1785 
 Facsimile: (914) 765-4380 

 

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 9.6 Governing Law. The parties agree that this Agreement will be governed by and
construed in accordance with the laws of the State of New York and of the United States of America without regard to choice of law provisions or rules. The parties further agree that this Settlement Agreement was mutually drafted by all parties and
that any interpretation of this Settlement Agreement or any terms thereof will not be interpreted against one party as the drafting party. 
 9.7 Counterparts. This Settlement Agreement may be executed in counterparts by the parties hereto on any number of counterparts, each of which will be deemed an original, but all such
respective counterparts will together constitute one and the same agreement. The parties agree that electronically transmitted signature pages will be treated as if they were originals. 

9.8 Additional Provisions. Each party hereby declares and represents that it is executing this Agreement after consultation
with its own independent legal counsel. 
 9.8.1 Any rule of construction to the effect that ambiguities are to be resolved
against the drafting party will not be applied in the construction or interpretation of this Settlement Agreement. As used in this Settlement Agreement, the words “include” and “including,” “for example,” “such
as,” and variations thereof, will not be deemed to be terms of limitation, but rather will be deemed to be followed by the words “without limitation.” 
 9.8.2 Each party acknowledges to the other party that it has been represented by independent legal counsel of its own choice throughout all of the negotiations which preceded the execution of this
Settlement Agreement. Each party further acknowledges that it and its counsel have had adequate opportunity to make whatever investigation or inquiry they may deem necessary or desirable in connection with the subject matter of this Settlement
Agreement prior to the execution hereof and that in entering into this Settlement Agreement it is not relying on any representations of the other party in connection therewith. 
 [Balance of page intentionally left blank.] 
  

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 In Witness Whereof, the parties hereto have caused this Settlement Agreement to be
executed by their duly authorized representatives as undersigned: 
  

									
	 Overland Storage, Inc.,
 on its own behalf and on behalf of each of
 its Subsidiaries and Affiliates
	 		 	 International Business Machines Corporation,
 on their own behalf and on behalf of each of
 their Subsidiaries and
Affiliates

					
	By:	 	/s/	 		 	By:	 	/s/

									
	Printed Name:	 	 	 		 	Printed Name:	 	 

									
	 Title:
	 	 	 		 	 Title:
	 	 
	Date:	 	November 16, 2011	 		 	Date:	 	November 16, 2011

  

	**	Indicates that certain information contained herein has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been
requested with respect to the omitted portions. 

 EXHIBIT A 

(See attached.) 

Exhibit A 

 UNITED STATES INTERNATIONAL TRADE COMMISSION 

WASHINGTON, D.C. 
 Before the Honorable Charles E. Bullock 
 Administrative Law Judge 

 

			
	 In the Matter of:
	  	
		
	 CERTAIN AUTOMATED MEDIA
LIBRARY
 DEVICES
	  	 Investigation No. 337-TA-746
 PUBLIC VERSION

 JOINT MOTION FOR TERMINATION OF INVESTIGATION BY SETTLEMENT AS 

TO RESPONDENTS INTERNATIONAL BUSINESS MACHINES CORPORATION 
 AND DELL INC. 
 Pursuant to 19 C.F.R.
§ 210.21(b), Complainant Overland Storage, Inc. (“Overland”) and Respondents International Business Machine Corporation (“IBM”) and Dell Inc. (“Dell”) (collectively “the Moving Parties”) jointly move
to terminate Investigation No. 337-TA-746 as to IBM and Dell on the basis of a settlement agreement between Overland and IBM. This motion does not apply to Respondents BDT AG, BDT Products, Inc., BDT Automation Technology (Zhuhai FTZ) Co.,
Ltd., and BDT de México, S. de R.L. de C.V. (collectively “the Non-Settling Respondents”). For the reasons set forth in the supporting memorandum, the Moving Parties respectfully request that the motion be granted and that the
Investigation be terminated with respect to IBM and Dell.1

 Overland and IBM have entered into a settlement agreement, license agreement and Product Sales Agreement (collectively the
“Agreements”). The settlement agreement includes an agreement to terminate this Investigation with prejudice as to IBM and Dell. There are no other agreements, written or oral, express or implied between the parties concerning the subject
matter of this Investigation. 
  
  

	1 	 Overland is concurrently filing a motion to dismiss its claims against IBM and Dell in Overland Storage, Inc. v. BDT AG, et al., Case
No. 3:10-cv-1700-JLS-BLM, pending in the United States District Court for the Southern District of California. Overland is not moving to dismiss its claims against the Non-Settling Respondents in the district court case.

  
 -1-

 Each of the Agreements contains Confidential Business Information
within the meaning of 19 C.F.R. § 201.6. The Moving Parties therefore request that the Agreements be treated as Confidential Business Information under the Protective Order (Order No. 1) in this Investigation. The unredacted
Agreements will be filed separately as a confidential document. In compliance with Rule 210.21(b), the Moving Parties file this public motion to terminate with the public versions of the settlement agreement (Exhibit A), license agreement
(Exhibit B) and Product Sales Agreement (Exhibit C), which will also be served on counsel for the Non-Settling Respondents. The Commission has previously approved providing non-settling respondents with redacted versions of settlement
agreements in prior investigations. The Moving Parties request that the unredacted Agreements not be provided to the Non-Settling Respondents.2 
 Pursuant to Ground Rule 3.2, the Moving Parties certify that they have made reasonable, good-faith efforts to resolve the matter with the Non-Settling Respondents at least two days prior to filing
this motion. On November 16, 2011, the Moving Parties notified the Non-Settling Respondents of their intent to file this motion. The Non-Settling Respondents oppose the motion. 

Because the public interest and Commission precedent support the termination of a pending investigation based on settlement, the Moving
Parties respectfully request that the Administrative Law Judge issue an initial determination terminating the above-captioned investigation as to IBM and Dell in accordance with the provisions of 19 U.S.C. § 1337(c) and 19 C.F.R.
§ 210.21(b) based on the accompanying Agreements. 
  

 

	2 	 See Certain Machine Vision Software, Machine Vision Systems, and Products Containing Same, Inv. No. 663-TA-680, Order No. 17 (Initial
Determination), 2009 WL 3535542 (Oct. 26, 2009) (counsel for non-settling respondents were not entitled to receive unredacted financial terms of settlement) (“it has been recognized, both in section 337 investigations and in district court
cases, that forcing settling respondents and complainants to reveal the precise terms of their settlements to non-settling respondents could discourage settlements, even if such disclosures were made only to counsel who have subscribed to the
protective order.”); Certain Hydraulic Excavators and Components Thereof, Inv. No. 337-TA-582, Order No. 49, 2007 WL 2328098 (Aug. 13, 2007) (only public version of settlement agreement should be served on non-settling
respondents) (“In order to foster settlement in this case, it is necessary to protect the exact terms of the settlement agreement against disclosure to the non-settling respondents.”). 

  
 -2-

					
	Dated: November 21, 2011	 		 	Respectfully submitted,
			
	/s/ Sean Cunningham	 		 	/s/ V. James Adduci, II
	 Sean Cunningham
 Erin
Gibson
 DLA PIPER LLP (US)
 401 B Street, Suite 1700
 San Diego, California

Telephone: (619) 699-2700
 Facsimile: (619)
699-2701
	 		 	 V. James Adduci, II
 Michael
L. Doane
 Katherine R. Lahnstein

ADDUCI, MASTRIANI & SCHAUMBERG, LLP
 1200 Seventeenth Street, N.W., Fifth Floor
 Washington, D.C. 20036

Telephone: (202) 467-6300
 Facsimile: (202)
466-2006

	 Brent Yamashita
 Robert
Buergi
 DLA PIPER LLP (US)
 2000 University Avenue
 East Palo Alto, California 94303

Telephone: (650) 833-2000
 Facsimile: (650)
833-2001
	 		 	 Gregory S. Arovas

KIRKLAND & ELLIS LLP
 601 Lexington Avenue
 New York, New York 10022

Telephone: (212) 446-4800
 Facsimile: (212)
446-4900

			
	Counsel for Complainant
Overland Storage, Inc.	 		 	 Edward C. Donovan
 D. Sean
Trainor
 William Fink

KIRKLAND & ELLIS LLP
 655 Fifteenth Street, NW
 Washington, D.C. 20005

Telephone: (202) 879-5000
 Facsimile: (202)
879-5200

			
		 		 	 Counsel for Respondent

International Business Machines Corporation

			
	 	 		 	/s/ Jason W. Cook
		 		 	 Jason W. Cook

ALSTON & BIRD LLP
 2828 North Harwood Street
 18th Floor
 Dallas, Texas 75201-2139
 Telephone: (214) 922-3400

Facsimile: (214) 922-3899

			
		 		 	 Chad Thompson

ALSTON & BIRD LLP
 The Atlantic Building
 950 F. Street, NW
 Washington, DC 20004
 Telephone: (202) 239-3300

Facsimile: (202) 239-3333

			
		 		 	Counsel for Respondent Dell Inc.

  
 -3-

 UNITED STATES INTERNATIONAL TRADE COMMISSION 

WASHINGTON, D.C. 
 Before the Honorable Charles E. Bullock 
 Administrative Law Judge 

 

			
	 In the Matter of:
	  	
		
	 CERTAIN AUTOMATED MEDIA LIBRARY

DEVICES
	  	 Investigation No. 337-TA-746
 PUBLIC VERSION

 MEMORANDUM IN SUPPORT OF JOINT MOTION FOR TERMINATION OF 

INVESTIGATION BY SETTLEMENT AS TO RESPONDENTS INTERNATIONAL 
 BUSINESS MACHINES CORPORATION AND DELL INC. 
 On November 16,
2011, Complainant Overland Storage, Inc. (“Overland”) and Respondent International Business Machine Corporation (“IBM”) entered into a settlement agreement, license agreement and Product Sales Agreement (collectively the
“Agreements”) each of which is fully effective and has been executed by authorized representatives of Overland and IBM. The settlement agreement includes an agreement to terminate with prejudice this Investigation as to IBM and Dell Inc.
(“Dell”). Accordingly, Overland, IBM, and Dell (collectively “the Moving Parties”) respectfully request that the Administrative Law Judge issue an initial determination terminating this Investigation with respect to IBM and Dell.

 Request to Terminate the Investigation as to IBM and Dell 
 Commission Rule 210.21(b)(l) provides that “[a]n investigation before the Commission may be terminated as to one or more respondents pursuant to section 337(c) of the Tariff Act of 1930 on the
basis of a licensing or other settlement agreement.” Commission Rule 210.21(b)(1). The terms of the settlement agreement, license agreement and Product Sales Agreement between Overland and IBM are set forth in attached Exhibits A, B
and C respectively, from which Confidential Business Information under the Protective Order (Order No. 1) has been redacted. The unredacted Agreements will be filed separately as a confidential document. See Commission
Rule 210.21(b)(1). The Moving Parties state that there are no other agreements, written or oral, express or implied between the parties concerning the subject matter of this Investigation. 

  
 -1-

 This motion seeks to terminate the Investigation as to IBM and Dell only, and the
Investigation will proceed as to Respondents BDT AG, BDT Products, Inc., BDT Automation Technology (Zhuhai FTZ) Co., Ltd., and BDT de México, S. de R.L. de C.V. (collectively “the Non-Settling Respondents”), who are not parties to
the Agreements. In order to promote settlement, the Moving Parties therefore request that the Agreements be treated as Confidential Business Information under the Protective Order in this Investigation. Counsel for the Non-Settling Respondents are
being provided with the public versions of the Agreements. The Commission has previously approved providing non-settling respondents with redacted versions of settlement agreements in prior investigations. The Moving Parties request that the
unredacted Agreements not be provided to the Non-Settling Respondents. Certain Dynamic Random Access Memory Semiconductors and Products Containing Same, Including Memory Modules, Inv. No. 337-TA-707, Order No. 10 (Initial
Determination) (June 29, 2010); Certain Automotive Multimedia Display and Navigation Systems, Inv. No. 337-TA-657, Order No. 27 (Initial Determination) (June 23, 2009); Certain Machine Vision Software, Machine Vision
Systems, and Products Containing Same, Inv. No. 663-TA-680, Order No. 17 (Initial Determination), 2009 WL 3535542 (Oct. 26, 2009) (“[I]t has been recognized, both in section 337 investigations and in district court cases,
that forcing settling respondents and complainants to reveal the precise terms of their settlements to nonsettling respondents could discourage settlements, even if such disclosures were made only to counsel who have subscribed to the protective
order.”); Certain Hydraulic Excavators and Components Thereof, Inv. No. 337-TA-582, Order No. 49, 2007 WL 2328098 (Aug. 13, 2007) (“In order to foster settlement in this case, it is necessary to protect the exact
terms of the settlement agreement against disclosure to the non-settling respondents.”). 

  
 -2-

 The public interest and Commission policy generally favor licensing or other settlement
agreements, as they preserve the Commission’s and the private parties’ time and resources. See, e.g., Certain Safety Eyewear and Components Thereof, Inv. No. 337-TA-433, Order No. 37, at 2 (Nov. 3, 2000); Certain
Integrated Circuit Chipsets and Products Containing Same, Inv. No. 337-TA-428, Order No. 16 (Pub. Version), at 5 (Aug. 22, 2000); Certain Synchronous Dynamic Random Access Memory Devices, Microprocessors, and Products
Containing Same, Inv. No. 337-TA-431, Order No. 11 (Pub. Version), at 2 (July 13, 2000). Termination based upon a licensing or other settlement agreement is routinely granted. Id. Termination of this Investigation with
respect to IBM and Dell will not have any adverse effect on the public health and welfare and/or competitive conditions in the United States. Thus, the Administrative Law Judge is authorized to issue an initial determination terminating this
Investigation as to IBM and Dell pursuant to 19 C.F.R. § 210.21(b). 
 Accordingly, the Moving Parties
respectfully request that the Administrative Law Judge grant their joint motion and issue an initial determination terminating this Investigation with respect to IBM and Dell. 

  
 -3-

 Conclusion 
 For the reasons stated above, the Moving Parties respectfully request that the Administrative Law Judge grant the parties’ Joint Motion for Termination of Investigation by Settlement as to
Respondents International Business Machines Corporation and Dell Inc. 
  

					
	Dated: November 21, 2011	 		 	Respectfully submitted,
			
	/s/ Sean Cunningham	 		 	/s/ V. James Adduci, II
	 Sean Cunningham
 Erin
Gibson
 DLA PIPER LLP (US)
 401 B Street, Suite 1700
 San Diego, California

Telephone: (619) 699-2700
 Facsimile: (619)
699-2701
	 		 	 V. James Adduci, II
 Michael
L. Doane
 Katherine R. Lahnstein

ADDUCI, MASTRIANI & SCHAUMBERG, LLP
 1200 Seventeenth Street, N.W., Fifth Floor
 Washington, D.C. 20036

Telephone: (202) 467-6300
 Facsimile: (202)
466-2006

			
	 Brent Yamashita
 Robert
Buergi
 DLA PIPER LLP (US)
 2000 University Avenue
 East Palo Alto, California 94303

Telephone: (650) 833-2000
 Facsimile: (650)
833-2001
	 		 	 Gregory S. Arovas

KIRKLAND & ELLIS LLP
 601 Lexington Avenue
 New York, New York 10022

Telephone: (212) 446-4800
 Facsimile: (212)
446-4900

			
	 Counsel for Complainant

Overland Storage, Inc.
	 		 	 Edward C. Donovan
 D. Sean
Trainor
 William Fink

KIRKLAND & ELLIS LLP
 655 Fifteenth Street, NW
 Washington, D.C. 20005

Telephone: (202) 879-5000
 Facsimile: (202)
879-5200

			
		 		 	 Counsel for Respondent

International Business Machines Corporation

			
	 	 		 	/s/ Jason W. Cook
		 		 	 Jason W. Cook

ALSTON & BIRD LLP
 2828 North Harwood Street
 18th Floor
 Dallas, Texas 75201-2139
 Telephone: (214) 922-3400

Facsimile: (214) 922-3899

		 		 	

  
 -4-

					
		 		 	 Chad Thompson

ALSTON & BIRD LLP
 The Atlantic Building
 950 F Street, NW
 Washington, DC 20004
 Telephone: (202) 239-3300

Facsimile: (202) 239-3333

			
		 		 	 Counsel for Respondent Dell Inc.

  
 -5-

 UNITED STATES INTERNATIONAL TRADE COMMISSION 

WASHINGTON, D.C. 
 Before the Honorable Charles E. Bullock 
 Administrative Law Judge

  

			
	 In the Matter of:
	  	
		
	 CERTAIN AUTOMATED MEDIA

LIBRARY DEVICES
	  	Inv. No. 337-TA-746

 I, Sally D. Jones, hereby certify that on November 21, 2011, a copy of [PUBLIC] Joint Motion for
Termination of Investigation by Settlement as to Respondents International Business Machines Corporation and Dell Inc.; Memorandum in Support of Joint Motion for Termination of Investigation by Settlement as to Respondents International Business
Machines Corporation and Dell Inc. was served on the following as indicated: 
  

			
	 James R. Holbein, Secretary

U.S. International Trade Commission

500 E Street, S.W., Room 112A

Washington, D.C. 20436
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via ELECTRONIC FILING (PDF file)

		
	 The Honorable Charles E. Bullock

Administrative Law Judge

U.S. International Trade Commission

500 E Street, S.W., Room 317R

Washington, DC 20436
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery (on ____________)
 x Via Overnight Courier (2 copies)
  ̈ Via
Facsimile
 x Via Email (PDF file)
 irina.kushner@usitc.gov

	For Respondent Dell, Inc.	  	
		
	 Jason W. Cook

ALSTON & BIRD LLP

2828 N. Harwood Street

Suite 1800
 Dallas, TX 75201-2139
 Tel. (214) 922-3400

Fax (214) 922-3899
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via Email
 Dell-ITC-746@alston.com

			
		
	For Respondents BDT AG, DDT-Solutions
GmbH & Co. KG, BDT Automation
Technology, BDT de Mexico, S. De R.L. de
C.V., and BDT Products, Inc.	  	
		
	 Gabriel G. Hedrick

(Lead Attorney for service)

Anton N. Handal
 Pamela C. Chalk
 1200 Third Avenue, Suite 1321

San Diego, California 92101

Tel (619) 544-6400

Fax (619) 696-0323
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via Email
 ghedrick@handal-law.com
 anh@handal-law.com

pchalk@handal-law.com

		
	 James B. Altman

Barbara A. Murphy

David F. Nickel
 Foster, Murphy, Altman & Nickel, PC
 1899
L Street, NW, Suite 1150
 Washington, DC 20036

Tel (202) 223-6200
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via Email
 FM-BDT@fostermurphy.com

		
	 Robert E. Purcell, Esq.

The Law Office of Robert E. Purcell, PLLC

211 West Jefferson Street, Suite 24

Syracuse, New York 13202

Tel (315) 671-0710

Fax (315) 671-0711
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via Email
 rpurcell@repurcelllaw.com

		
	 For Respondent International Business 
 Machines Corporation
	  	
		
	 V. James Adduci, II

(Lead Attorney for service)

Adduci, Mastriani, Schaumberg, LLP

1200 Seventeenth Street, N.W., Fifth Floor

Washington, D.C. 20036

Telephone: (202) 467-6300

Fax: (202) 466-2006
	  	  ̈ Via First Class Mail
  ̈ Via Hand Delivery
  ̈ Via Overnight Courier
  ̈ Via Facsimile

x Via Email
 IBM-3@adduci.com
 IBM746Service@kirkland.com

		
	 Gregory S. Arovas

Kirkland & Ellis LLP

601 Lexington Avenue

New York, NY 10022

Tel: (212) 446-4800

Fax: (212) 446-4900
	  	

			
		
	 Edward C. Donovan

D. Sean Trainor
 William Fink
 Kirkland & Ellis
LLP
 655 Fifteenth Street, NW

Washington, DC 20005

Tel: (202) 879-5000

Fax: (202) 879-5200
	  	

  

	
	/s/ Sally D. Jones
	Sally D. Jones

 EXHIBIT B 

(See attached.) 

Exhibit B 

 
 SEAN C. CUNNINGHAM (Bar No. 174931) 
 sean.cunningham@dlapiper.com 
 BRENT K. YAMASHITA (Bar No. 206890) 

brent.yamashita@dlapiper.com 
 ERIN P. GIBSON
(Bar No. 229305) 
 erin.gibson@dlapiper.com 
 ROBERT BUERGI (Bar No. 242910) 
 robert.buergi@dlapiper.com 

DLA PIPER LLP (US) 
 401 B Street, Suite 1700

 San Diego, CA 92101-4297 
 Tel: (619)
699-2700 
 Fax: (619) 699-2701 

Attorneys for PLAINTIFF 
 OVERLAND STORAGE, INC.

 CHRISTOPHER LAWLESS (Bar No. 268952) 
 christopher.lawless@kirkland.com 
 KIRKLAND & ELLIS LLP 

333 South Hope Street 
 29th Floor 

Los Angeles, CA 90071 
 Tel.: (213) 680-8400

 Fax: (213) 680-8500 
 Attorneys for
DEFENDANT 
 INTERNATIONAL BUSINESS MACHINES 
 CORPORATION 
 RACHEL CAPOCCIA (Bar No. 187160) 

rachel.capoccia@alston.com 
 ALSTON & BIRD
LLP 
 333 South Hope Street 
 16th
Floor 
 Los Angeles, CA 90071 
 Tel:
(213) 576-1100 
 Fax: (213) 576-2882 

Attorneys for DEFENDANT 
 DELL INC.

 

  
 UNITED STATES DISTRICT
COURT 
 SOUTHERN DISTRICT OF CALIFORNIA 
  

			
	 OVERLAND STORAGE, INC.,
  

Plaintiff,
  

v.
  
 BDT AG,
 BDT PRODUCTS, INC.,
 BDT-SOLUTIONS GMBH & CO. KG,
 BDT AUTOMATION TECHNOLOGY

(ZHUHAI FTZ) CO., LTD.,
 BDT DE MÉXICO, S.
DE R.L. DE C.V.,
 DELL INC.,

INTERNATIONAL BUSINESS
 MACHINES
CORP.,
  
 Defendants.
	  	 Case No. 3:10-cv-1700 JLS BLM
  

JOINT MOTION AND STIPULATION
 FOR
DISMISSAL OF CLAIMS WITH
 RESPECT TO DEFENDANTS
 INTERNATIONAL BUSINESS
 MACHINES CORP. AND DELL INC.

WITH PREJUDICE

 Plaintiff Overland Storage, Inc. (“Overland”) and Defendants International Business Machines
Corporation (“IBM”) and Dell Inc. (“Dell”) (collectively “the Moving Parties”), through their respective counsel, hereby jointly move and stipulate to dismiss with prejudice all

  

					
	 DLA PIPER LLP (US)

SAN DIEGO
	  	JOINT MOTION AND STIPULATION FOR DISMISSAL	  	CASE NO. 3:10-CV-1700 JLS BLM

 -1- 

 
claims asserted by Overland against IBM and Dell in this case. Overland does not dismiss its claims as to Defendants BDT AG, BDT Products, Inc., BDT-Solutions GmbH & Co. KG, BDT
Automation Technology (Zhuhai FTZ) Co., Ltd., and BDT de Mexico, S. de R.L. de C.V. The Moving Parties further jointly move and stipulate that they shall each bear their own attorneys’ fees, expenses, and costs. A proposed Order conforming to
this Stipulation is submitted herewith. 
  

							
	Dated: November 25, 2012	 		 	DLA PIPER LLP (US)
				
		 		 	By  	 	/s/ Sean C. Cunningham
		 		 		 	SEAN C. CUNNINGHAM
		 		 		 	 BRENT K. YAMASHITA
 ERIN P.
GIBSON
 ROBERT BUERGI

		 		 		 	  
 Attorneys for PLAINTIFF OVERLAND

STORAGE, INC.

  

							
	Dated: November 25, 2012	 		 	KIRKLAND & ELLIS LLP
				
		 		 	By  	 	/s/ Christopher Lawless
		 		 		 	 CHRISTOPHER LAWLESS
  

		 		 	 Attorneys for DEFENDANT INTERNATIONAL
 BUSINESS MACHINES CORPORATION

  

							
	Dated: November 25, 2012	 		 	ALSTON & BIRD LLP
				
		 		 	By  	 	/s/ Rachel Capoccia
		 		 		 	 RACHEL CAPOCCIA
  

		 		 	Attorneys for DEFENDANT DELL INC.

  

					
	 DLA PIPER LLP (US)

SAN DIEGO
	  	JOINT MOTION AND STIPULATION FOR DISMISSAL	  	CASE NO. 3:10-CV-1700 JLS BLM

 -2- 

 UNITED STATES DISTRICT COURT 

SOUTHERN DISTRICT OF CALIFORNIA 
  

			
	 OVERLAND STORAGE, INC.,
  

Plaintiff,
  

v.
  
 BDT AG,
 BDT PRODUCTS, INC.,
 BDT-SOLUTIONS GMBH & CO. KG,
 BDT AUTOMATION TECHNOLOGY

(ZHUHAI FTZ) CO., LTD.,
 BDT DE MÉXICO, S.
DE R.L. DE C.V.,
 DELL INC.,

INTERNATIONAL BUSINESS
 MACHINES
CORP.,
  
 Defendants.
	  	 Case No. 3:10-cv-1700 JLS BLM
  

ORDER DISMISSING CLAIMS WITH
 RESPECT
TO DEFENDANTS
 INTERNATIONAL BUSINESS
 MACHINES CORP. AND DELL INC.
 WITH PREJUDICE

 Upon the Joint Motion and Stipulation of Plaintiff Overland Storage, Inc.
(“Overland”) and Defendants International Business Machines Corporation (“IBM”) and Dell Inc. (“Dell”) on file herein, 
 IT IS HEREBY ORDERED that all claims asserted by Overland against IBM and Dell in the above-captioned matter, are hereby dismissed with prejudice, each party to bear its own attorneys’ fees and
costs. 
 Dated:                     

  

	
	
	  
	United States District Judge

 EXHIBIT C 

 

	**	This exhibit has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted
exhibit. 

  
 Exhibit C

 EXHIBIT D 

 

	**	This exhibit has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted
exhibit. 

  
 Exhibit D

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00210-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00210-of-00352.parquet"}]]