Document:

Secured Subordinated Promissory Note

 Exhibit 10.6 
 This Note is subject to the terms of that certain Debt and Lien Subordination Agreement dated on or about the
date hereof between the Borrower, the Holder and Bank of America, N.A., a national banking association (the “Debt and Lien Subordination Agreement”) pursuant to which the obligations of the Borrower hereunder are subordinated to
certain obligations of the Borrower to the lenders under that certain Amended and Restated Credit and Security Agreement among the Borrower, certain other parties and Bank of America, N.A., acting as collateral and administrative agent, for itself and such lenders, as the same may be amended or otherwise modified from time to time (the “Senior Credit
Agreement”). This Note is secured by a second priority lien on the outstanding shares of capital stock of PNA Group, Inc., a wholly owned subsidiary of the Borrower (the “Subsidiary”) and the proceeds thereof, which lien is
also subject to the terms of the Debt and Lien Subordination Agreement. 
 SECURED SUBORDINATED PROMISSORY NOTE 
  

			
	$12,000,000	 	May 9, 2006

 FOR VALUE RECEIVED, the undersigned, TRAVEL HOLDING CORPORATION, a Delaware corporation (the
“Borrower”), HEREBY PROMISES TO PAY to PREUSSAG NORTH AMERICA, INC., a New York corporation or such other person or persons identified in the record of Holders provided for in Section 2.01 (the “Holder”), the
principal sum of twelve million dollars ($12,000,000), together with interest accrued on the unpaid principal amount of this Note, payable as provided herein. 
 ARTICLE I 
 TERMS OF PAYMENT 
 SECTION 1.01. Payment of Principal. Subject to the provisions of Section 1.03 below, the Borrower shall pay to the Holder $1,000,000 of principal amount of this Note on each anniversary of the date of this
Note, and the entire unpaid principal amount of this Note, including any accrued and unpaid interest, shall be payable on the date that is five years and six months from the date of this Note (the “Maturity Date”). The Borrower may
prepay the unpaid principal amount of this Note in whole or in part at any time without premium or penalty upon three (3) business days’ prior written notice to the Holder. Partial prepayments shall be applied first to accrued but unpaid
interest and thereafter to required principal payments in order of maturity. 
 SECTION 1.02. Interest. Interest shall accrue on the
outstanding principal amount of this Note at a rate equal to 8% per annum. Interest shall be payable in arrears on the last day of each calendar quarter, and on the date on which the principal amount of this Note is paid in full. Any overdue
amount of principal, interest, fees or other amounts payable under this Note shall bear interest, payable on demand, at a rate equal to 10% per annum, it being understood and agreed that any payment deferred pursuant to Section 1.03 shall
not be deemed “overdue” by virtue of such deferral and shall not bear interest. 
 SECTION 1.03. Deferral of Payment
Obligations. Notwithstanding any other provision of this Note, if, after giving effect to the payment of any installment of principal pursuant to Section 1.01 (other than the payment due on the Maturity Date) or any 

 
payment of interest pursuant to Section 1.02, the Borrower would have a Fixed Charge Coverage Ratio (as such term is defined, mutatis mutandis,
in the Senior Credit Agreement) of less than 1.2x, then such payment shall be deferred and shall become due and payable on the last day of the first calendar quarter after the scheduled payment date on which, after giving effect to such payment and
any other payments under this Note due on such date, the Borrower would have a Fixed Charge Coverage Ratio of 1.2x or greater. 
 SECTION
1.04. Payments and Computations. Subject to the provisions of Section 1.03, the Borrower shall make each scheduled payment hereunder not later than at 11:00 A.M. (New York City time) on the day when due in United States dollars to the
Holder in same day funds. All computations of interest shall be made on the basis of a year of 365 or 366 days, as the case may be, for the actual number of days (including the first day but excluding the last day) occurring in the period for which
such interest is payable. Whenever any payment hereunder shall be stated to be due on a day other than a business day, such payment shall be made on the next succeeding business day. 
 SECTION 1.05. Limitation on Dividends and Loans to Affiliates. If, at any time, an Event of Default has occurred and is continuing or any payment
of principal or interest has been deferred pursuant to Section 1.03 and such deferred payment has not yet been made, the Borrower shall not, without the prior written consent of the Holder, (i) make, declare or pay any dividends on any
class or classes of the Borrower’s equity securities (other than stock dividends to effectuate a “stock split”), purchase, redeem, retire, defease or otherwise acquire for value any of its equity securities now or hereafter
outstanding, return any capital to its stockholders (or the equivalent persons thereof) as such, or make any distribution of assets, equity securities or obligations to its stockholders (or the equivalent persons thereof) as such or (ii) grant
or make any loan to any affiliate (as defined in Rule 405 under the Securities Act of 1933, as amended) of the Borrower other than loans to any subsidiary of the Borrower. 
 SECTION 1.06. Reporting Requirements. So long as any principal amount of this Note shall remain unpaid, the Borrower shall, unless the Holder
shall otherwise consent in writing, furnish to the Holder: 
 (a) Default Notice. Within five (5) business days
after the occurrence of any Event of Default, as defined below, continuing on the date of such statement, a statement of the chief financial officer of the Borrower setting forth the details of such Event of Default and the action that the Borrower
has taken and proposes to take with respect thereto. 
 (b) Litigation Notice. Within five (5) business days after
obtaining actual knowledge of any material litigation, arbitration or proceeding which may exist at any time that is reasonably likely to have a material adverse affect on Borrower’s ability to meet its obligations under this Note, a statement
of the chief financial officer of the Borrower setting forth the details of such occurrence and the action that the Borrower has taken and proposes to take with respect thereto. 

 (c) Information Furnished to Lenders. As soon as possible and in any event within
five (5) days after furnishing such information to the Borrower’s lenders (other than the Holder), all quarterly and year-end borrowing certificates and quarterly and year-end financial information furnished to the lender under the Senior
Credit Agreement (or any replacement credit facility). 
 SECTION 1.07. Events of Default. If any of the following events shall occur
and be continuing (in each case, an “Event of Default”): 
 (a) The Borrower shall fail to pay any principal
of, or interest on, this Note within three (3) business days of the date due (it being understood that any payment of principal or interest that is deferred pursuant to Section 1.03 shall not be due until the date on which such deferred
payment is due as provided in Section 1.03); 
 (b) The Borrower shall breach its obligations under Section 1.05 and
such breach shall not be remedied within ten (10) business days after the Borrower shall have received notice (either oral or written) from the Holder of such breach; 
 (c) The Borrower shall fail to timely provide the Holder with any report required by Section 1.06 and such failure shall not be
remedied within ten (10) business days after the Borrower shall have received notice (either oral or written) from the Holder of such failure; 
 (d) The borrowers under the Senior Credit Agreement shall have defaulted in one or more obligations thereunder and the lenders under the Senior Credit Agreement shall have thereupon declared the obligations of the
borrowers under the Senior Credit Agreement to be due and payable or required to be prepaid prior to the stated maturity thereof; 
 (e) An involuntary proceeding shall be commenced or an involuntary petition shall be filed in a court of competent jurisdiction seeking (i) relief in respect of the Borrower, or of a substantial part of the property or assets of the
Borrower, under any applicable bankruptcy, insolvency, receivership or similar law, (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower or for a substantial part of the property
or assets of the Borrower or (iii) the winding-up or liquidation of the Borrowers under the Senior Credit Agreement; and such proceeding or petition shall continue undismissed or unstayed for sixty (60) days or an order or decree approving
or ordering any of the foregoing shall be entered; 
 (f) The Borrower shall (i) voluntarily commence any proceeding or
file any petition seeking relief under any applicable bankruptcy, insolvency, receivership or similar law, (ii) consent to the institution of, or fail to contest in a timely and appropriate manner, any proceeding or the filing of any petition
described in (c) above, (iii) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower or for a substantial part of the property or assets of the Borrower,
(iv) file an answer 

 
admitting the material allegations of a petition filed against it in any such proceeding, (v) make a general assignment for the benefit of creditors,
(vi) admit in writing its inability or fail generally to pay its debts as they become due or (vii) take any corporate action for the purpose of effecting any of the foregoing; 
 (g) The Borrower shall sell, lease or transfer of all or substantially all of its assets to any person other than to any wholly owned
subsidiary of the Borrower; 
 (h) A majority of the outstanding shares of capital stock of the Borrower shall cease to be
held by the Persons holding the outstanding shares of capital stock of the Borrower as of the date hereof or by Affiliates of such Persons, whether as a result of a stock sale, merger, consolidation or other transaction or series of related
transactions, and the Borrower’s obligations under this Note are not paid in full within two business days of such occurrence; 
 (i) Any provision of this Note shall for any reason cease to be valid and binding on or enforceable against the Borrower, or the Borrower shall deny any further obligation or liability under this Note; or 
 (j) It is or will become unlawful for the Borrower to fulfill or comply with any obligation under this Note; 
 then, and in any such event, this Note, all unpaid principal, interest and other amounts hereunder shall automatically become and be forthwith due and payable, without
presentment, demand, protest or further notice of any kind, all of which are hereby expressly waived by the Borrower. 
 SECTION 1.08.
Grant of Security. The Borrower hereby grants to the Holder a second priority security interest in the Borrower’s right, title and interest in and to the capital stock of the Subsidiary (represented by 1,000 shares of common stock, par
value $1.00), together with all shares of PNA Group, Inc. capital stock hereafter acquired by the Borrower and all proceeds of any of the foregoing (the “Collateral”). The Holder acknowledges and agrees that the lenders under the
Senior Credit Agreement shall have a first priority perfected security interest in the Collateral and shall be entitled to possession of the certificates evidencing the shares of capital stock of the Subsidiary. The Borrower represents and warrants
that together with the execution and delivery of this Note, the Borrower has given notice of this second priority security interest in the Collateral to the lenders under the Senior Credit Agreement and the Borrower covenants and agrees that upon
receipt of any additional shares of capital stock of the Subsidiary, the Borrower shall promptly give notice of its second priority security interest in such additional shares of capital stock to the lenders under the Senior Credit Agreement.

 SECTION 1.09. Security for Obligations. The Collateral secures the payment of all obligations of the Borrower now or hereinafter
existing under this Note, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, fees, premiums, penalties, indemnifications, contract causes of action, costs, expenses or otherwise. 

 SECTION 1.10. Rights Upon Event of Default. Subject to the terms and conditions of the Debt and
Lien Subordination Agreement, if an Event of Default has occurred and is continuing, the Holder shall be entitled to exercise the rights of a secured creditor upon default under the Uniform Commercial Code in effect in the State of New York.

 ARTICLE II 
 MISCELLANEOUS

 SECTION 2.01. Registration. This Note is issued in registered form pursuant to U.S. Treasury Regulations section 1.871-14(c)(1).
The Borrower (or its agent) will maintain a record of the Holder or Holders of the Note, and of principal and interest thereon as required by that regulation. The Note may be transferred or otherwise assigned only by surrender of this Note and
issuance of a new Note in accordance with this Section 2.01, and neither the Note nor any interests therein may be sold, transferred or assigned to any person except upon satisfaction of the conditions specified in this Section 2.01.

 SECTION 2.02. Notices. All notices, requests, claims, demands and other communications hereunder shall be in writing and shall be
given or made (and shall be deemed to have been duly given or made upon receipt) by delivery in person, by an internationally recognized overnight courier service, by facsimile or registered or certified mail (postage prepaid, return receipt
requested) to the respective parties hereto at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section 2.02): 
  

	 	(a)	if to the Holder: 

 Preussag North America, Inc.

 c/o TUI AG 
 Karl-Wiechert-Allee 4 
 30625 Hannover 
 Germany Telecopy: +49 (0) 511 566-1748 
 Attention: Wilhelm Gäbel 
 with a copy to: 
 Shearman &
Sterling LLP 
 599 Lexington Avenue 
 New York, NY 10022-6069 
 Telecopy: (212) 848-7179 
 Attention: Peter D. Lyons, Esq. 
 or to such
other Holder as shall be identified pursuant to Section 2.01; 

	 	(b)	if to the Borrower: 

 Travel Holding Corporation

 c/o Platinum Equity Advisors, LLC 
 360 North Crescent Drive, South Building 
 Beverly Hills, CA 90210 
 Telecopy: (310) 712-1863 
 Attention:
Eva M. Kalawski, Esq. 
 with a copy to: 
 Bingham McCutchen LLP 
 600 Anton Boulevard,
18th Floor 
 Costa Mesa, CA 92626-1924 
 Telecopy: (714) 830-0726 
 Attention: James W. Loss, Esq. 
 All notices
hereunder shall be deemed to have been duly given: when received if personally delivered; when transmitted by telecopy; the day after it is sent, if sent for next day delivery to a domestic address by an internationally recognized overnight delivery
service; and upon receipt, if sent by certified or registered mail, return receipt requested. 
 SECTION 2.03. Assignment. Subject to
the requirements of Section 2.01, this Note shall be binding upon, inure to the benefit of and be enforceable by any successor in interest to the Holder. The Borrower may assign its obligations under this Note to any purchaser of all or
substantially all of its assets with the prior written consent of the Holder, which consent shall be granted or withheld in the sole discretion of the Holder. 
 SECTION 2.04. Amendment. This Note may not be amended or modified except (a) by an instrument in writing signed by, or on behalf of, the Holder and the Borrower or (b) by a waiver in accordance with
Section 2.05. 
 SECTION 2.05. Waiver. Either the Borrower or the Holder may (a) extend the time for the performance of any
of the obligations or other acts of the other party or (b) waive compliance with any of the agreements of the other party or conditions to such party’s obligations contained herein. Any such extension or waiver shall be valid only if set
forth in an instrument in writing signed by the party to be bound thereby. Any waiver of any term or condition shall not be construed as a waiver of any subsequent breach or a subsequent waiver of the same term or condition, or a waiver of any other
term or condition of this Note. The failure of either party hereto to assert any of its rights hereunder shall not constitute a waiver of any of such rights. 
 SECTION 2.06. No Third Party Beneficiaries. This Note shall be binding upon and inure solely to the benefit of the parties hereto and their respective successors and permitted assigns and nothing herein,
express or implied, is intended to or shall confer upon any other person any legal or equitable right, benefit or remedy of any nature whatsoever, under or by reason of this Note. 

 SECTION 2.07. Currency. Unless otherwise specified in this Note, all references to currency,
monetary values and dollars set forth herein shall mean United States (U.S.) dollars and all payments hereunder shall be made in United States dollars. 
 SECTION 2.08. Governing Law. This Note shall be governed by, and construed in accordance with, the laws of the State of New York applicable to contracts executed and performed entirely within the State of New
York. 
 SECTION 2.09. Jurisdiction; Venue; Consent to Service of Process. The Borrower irrevocably and unconditionally submits to the
non-exclusive jurisdiction of the United States District Court for the Southern District of New York or, if such court will not accept jurisdiction, the Supreme Court of the State of New York or any court of competent civil jurisdiction sitting in
New York County, New York. In any action, suit or other proceeding, the Borrower irrevocably and unconditionally waives and agrees not to assert by way of motion, as a defense or otherwise any claims that it is not subject to the jurisdiction of the
above courts, that such action or suit is brought in an inconvenient forum or that the venue of such action, suit or other proceeding is improper. The Borrower irrevocably consents to service of process in the manner provided for the giving of
notices pursuant to Section 2.02 of this Note. Nothing in this Section 2.09 shall affect the right of any person to serve process in any other manner permitted under applicable law. 
 [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK] 

 IN WITNESS WHEREOF, the Borrower has caused this Note to be duly executed and delivered by its officer
thereunto duly authorized as of the date first above written. 
  

			
	TRAVEL HOLDING CORPORATION
		
	By:	 	/s/ Jacob Kotzubei
		 	Name: Jacob Kotzubei
		 	Title: Vice President

 ACCEPTED: 
  

			
	PREUSSAG NORTH AMERICA, INC.
		
	By:	 	/s/ V. Herman Sher
		 	Name: V. Herman Sher
		 	Title: Vice PresidentFirst Consent Letter and First Amendment to Amended and Restated Credit Agmt

 Exhibit 10.7 
 EXECUTION COPY 
 FIRST CONSENT LETTER 
 AND 
 FIRST AMENDMENT TO AMENDED AND 
 RESTATED CREDIT AND SECURITY AGREEMENT 
 May 31, 2006 
 PNA Group, Inc. 
     and the other Borrowers referred to below 
 c/o Travel Holding Corporation 
 360 North Crescent Drive, South Building 
 Beverly Hills, California 90210

 Attention: Eva M. Kalawski, Esq. 
 Ladies and Gentlemen:

 Reference is hereby made to that certain Amended and Restated Credit and Security Agreement dated May 9, 2006 (the “Credit
Agreement”), among PNA Group, Inc., a Delaware corporation and successor by merger to Travel Merger Corporation (“PNA”), Smith Pipe & Steel Company, an Arizona corporation (“Smith”), Infra-Metals Co., a Georgia
corporation (“Infra-Metals”), Feralloy Corporation, a Delaware corporation (“Feralloy”), Delta Steel L.P., a Texas limited partnership (“Delta Steel”), Delta GP, L.L.C., a Texas limited liability company (“Delta
GP”), Delta LP, L.L.C., a Delaware limited liability company (“Delta LP”), Delnor Corporation, a Texas corporation (“Delnor”), and Travel Main Corporation, a Delaware corporation (“Travel Main”; PNA, Smith,
Infra-Metals, Feralloy, Delta Steel, Delta GP, Delta LP, Delnor, and Travel Main are hereinafter referred to collectively as “Borrowers” and each individually as a “Borrower”); the various financial institutions that are
signatories thereto as lenders (together with their respective successors and assigns, the “Lenders”); Bank of America, N.A., a national banking association, as collateral and administrative agent for the Lenders (together with its
successors in such capacity, “Administrative Agent”); and the other Agents named therein. Each capitalized term used herein and not otherwise defined herein shall have the meaning ascribed to such term in the Credit Agreement. 

Borrowers have advised Administrative Agent and Lenders that, concurrently with the execution of this First Consent Letter and First Amendment to
Amended and Restated Credit and Security Agreement (this “Consent Letter”), (i) PNA intends to form a new wholly-owned subsidiary, Lockwood Acquisition, LLC, a Delaware limited liability company (“Lockwood Acquisition”);
(ii) PNA and Lockwood Acquisition intend to enter into a purchase agreement (“Purchase Agreement”) with certain sellers (“Sellers”), pursuant to which (a) Lockwood Acquisition would purchase all of the existing limited
partnership interests of Clinton & Lockwood, Ltd., a Texas limited partnership (“C&L”); (b) PNA would purchase the general partnership interest of C&L; (c) PNA would purchase all of the existing limited
partnership interests of Metals Supply Company, Ltd., a Texas limited partnership (“Metals Supply”); and (d) PNA would purchase all of the issued and outstanding capital stock of MSC Management, 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

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 Inc., a Texas corporation and the general partner of Metals Supply (“MSC” and, together with Metals Supply
and C&L, the “Acquired Entities”). 
 Borrowers have requested that Administrative Agent and Lenders consent to, and subject to
the terms and conditions contained herein, Administrative Agent and Lenders are willing to consent to, the following (collectively, the “Proposed Transactions”): (i) the acquisition of the Acquired Entities from Sellers pursuant to
the Purchase Agreement (the “Acquisition”) and the other transactions contemplated by the immediately preceding paragraph of this Consent Letter, and (ii) the incurrence and maintenance by PNA and Lockwood Acquisition of indebtedness
under the Purchase Agreement (the “Deferred Payments”) to Sellers in an aggregate principal amount not to exceed $11,200,000, which indebtedness shall be the deferred portion of the purchase price for the Acquisition. 
 1. Consent. Subject to the satisfaction of the conditions precedent set forth below and the other terms contained herein,
Administrative Agent and Lenders hereby consent to the Proposed Transactions. Administrative Agent’s and Lenders’ consent to the Proposed Transactions shall be subject to satisfaction of the following conditions precedent in form and
substance satisfactory to Administrative Agent: 
  

	 	a.	each of the Acquired Entities shall, at the time of the Acquisition, carry on a business that is the same as or related, ancillary or complementary to the business carried on by
Borrowers, or own assets used or useful in a business that is the same as or related, ancillary or complementary to the business carried on by Borrowers; 

  

	 	b.	both before and after giving effect to the Acquisition, no Default or Event of Default shall then exist (including, without limitation, under Section 12.1.6 of the Credit
Agreement as it relates to Debt incurred pursuant to Section 10.2.3(ii) of the Credit Agreement); 

  

	 	c.	Administrative Agent shall have received and reviewed a copy of the executed Purchase Agreement, including all exhibits and schedules thereto, which Purchase Agreement shall provide
for a purchase price for the Acquisition, together with a pay off amount owed to Comerica Bank, not to exceed $65,500,000, including the Deferred Payments, and such Purchase Agreement shall be satisfactory to Administrative Agent in all respects;

  

	 	d.	Administrative Agent shall have received and reviewed copies of all third-party consents and notices required in order for Sellers to consummate the Acquisition, and such consents
and notices shall be satisfactory to Administrative Agent in all respects; 

  

	 	e.	Borrowers shall have delivered to Administrative Agent audited financial statements (or, if not available, unaudited financial statements, or, if unaudited financial statements are
not available, other financial information satisfactory to Administrative Agent) for each of the Acquired Entities, in form and substance satisfactory to Administrative Agent; 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

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	 	f.	Administrative Agent shall have received duly executed UCC-3 termination statements, mortgage satisfactions and such other instruments, or a duly executed payoff letter obligating
Comerica Bank to provide such UCC-3 termination statements, mortgage satisfactions and other instruments, in form and substance satisfactory to Administrative Agent, as shall be necessary to terminate and satisfy all Liens in favor of Comerica Bank
on the real or personal property of the Acquired Entities; 

  

	 	g.	Borrowers, Lockwood Acquisition and MSC shall have executed and delivered to Administrative Agent counterparts or amendments to the applicable Pledge Agreements and such other
agreements, documents and instruments as Administrative Agent may reasonably request, in each case in form and substance satisfactory to Administrative Agent, pursuant to which such Persons shall pledge to Administrative Agent, for itself and for
the benefit of the Secured Parties, as security for the Obligations, 100% of the capital stock of, or other Equity Interests in, Lockwood Acquisition and the Acquired Entities; 

  

	 	h.	Lockwood Acquisition and each of the Acquired Entities shall have executed and delivered to Administrative Agent a joinder agreement to the Credit Agreement, becoming Borrowers
thereunder and securing the Obligations, and such Security Documents, other documents, agreements and instruments as Administrative Agent may reasonably request, in each case in form and substance satisfactory to Administrative Agent;

  

	 	i.	Borrowers shall have delivered to Administrative Agent Lien search reports in form and substance satisfactory to Administrative Agent, and, upon consummation of the Acquisition and
the filing of the financing statements contemplated by clause (j) below, Administrative Agent shall have, for itself and for the benefit of the Secured Parties, a first priority Lien on all personal property of Lockwood Acquisition and each of
the Acquired Entities, subject only to Permitted Liens; 

  

	 	j.	Borrowers shall have filed or authorized Administrative Agent to file proper financing statements in appropriate form for filing under the Uniform Commercial Code in effect in all
jurisdictions that Administrative Agent may deem necessary or desirable in order to perfect Administrative Agent’s Liens in the personal property forming a part of the Acquisition; 

  

	 	k.	Administrative Agent shall have received evidence that 100% of the purchase price (other than the Deferred Payments) for the Acquisition and 100% of the transaction expenses
incurred by Borrowers in connection with the Acquisition shall be funded through (i) a loan or loans by Platinum Equity Advisors, LLC or one or more of its affiliates (“Platinum”) to New Parent and (ii) the investment of the
proceeds of such loans by New Parent into PNA in the form of additional paid in capital (the “Additional Paid in Capital”); 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

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	 	l.	Administrative Agent shall have received from New Parent and Platinum counterparts of a letter agreement in the form of Exhibit A attached hereto; 

  

	 	m.	without limiting the generality of the foregoing items, Borrowers, Lockwood Acquisition and the Acquired Entities shall have delivered or caused to be delivered to Administrative
Agent, in form and substance satisfactory to Administrative Agent, such additional information, instruments, resolutions, documents, agreements, certificates, opinions and other items as Administrative Agent may reasonably request; and

  

	 	n.	Administrative Agent shall have received executed counterparts of this Consent Letter from the Required Lenders and each of the Borrowers. 

 2. Acknowledgements, Agreements and Amendments. 
  

	 	a.	Borrowers, Administrative Agent and Lenders acknowledge and agree that notwithstanding the provisions of Section 7.3.1 of the Credit Agreement, within ninety (90) days
after the consummation of the Acquisition and, in any event, on or before August 29, 2006, each of the Acquired Entities shall execute and deliver to Administrative Agent, as security for the Obligations, such mortgages, deeds of trust, or
other instruments as Administrative Agent shall request, pursuant to which such Persons shall grant and convey to Administrative Agent, for itself and for the benefit of Lenders, Liens upon any and all owned real property acquired in connection with
the Acquisition, and such Persons shall cause such instruments to be duly recorded in each office where such recording is required to constitute a fully perfected Lien upon the real property covered thereby; provided, however,
that upon the satisfaction of each of the PropCo Release Conditions as determined by Administrative Agent, (i) prior to the conveyance of such Liens, Lockwood Acquisition and C&L’s obligations under this Section 2(a) shall
immediately and automatically terminate, or (ii) after the conveyance of such Liens, Administrative Agent and the Lenders shall be required to promptly release all such Liens granted by Lockwood Acquisition and C&L, and, in either case,
each of Lockwood Acquisition and C&L shall cease to be an Obligor and all other Liens of Administrative Agent and the other Secured Parties in the Property of Lockwood Acquisition and C&L shall be released. Notwithstanding the foregoing,
after completing its due diligence, Administrative Agent may decline to take a mortgage, deed of trust or deed to secure debt on any real property that Administrative Agent determines in its discretion has environmental concerns.

  

	 	b.	Within forty-five (45) days of the consummation of the Acquisition (or such later date as shall be acceptable to Administrative Agent in its discretion), Borrowers shall
deliver to Administrative Agent control agreements in form and substance satisfactory to Administrative Agent with respect to all deposit accounts and securities accounts, if any, of each Acquired Entity and Lockwood Acquisition.

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

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	 	c.	Borrowers, Administrative Agent and Lenders hereby agree that it shall constitute an Event of Default under the Credit Agreement if (i) PNA shall cease to own beneficially and
of record 100% of the Equity Interests of Lockwood Acquisition (except to the extent that Lockwood Acquisition is released as an Obligor under the Credit Documents upon satisfaction of the PropCo Release Conditions as determined by Administrative
Agent) or (i) Lockwood Acquisition shall cease to own 100% of the Equity Interests of C&L (except to the extent that C&L is released as an Obligor under the Credit Documents upon satisfaction of the PropCo Release Conditions as
determined by Administrative Agent). 

  

	 	d.	Borrowers, Administrative Agent and Lenders hereby agree that none of the Accounts or Inventory of the Acquired Entities shall be included in the Borrowing Base unless and until
Administrative Agent has completed its field audit with respect thereto and determined to its satisfaction that such assets are eligible for inclusion in the Borrowing Base and, with respect to Inventory, appropriate Lien Waivers have been delivered
to Administrative Agent or appropriate rent reserves have been established as contemplated by the definition of Availability Reserves and Section 8.1.1 of the Credit Agreement. 

  

	 	e.	Borrowers, Administrative Agent and Lenders hereby agree that the Deferred Payments shall be unsecured and that the Credit Agreement is hereby modified and amended to the extent
necessary to provide that the Deferred Payments shall constitute “Funded Debt.” 

  

	 	f.	Borrower, Administrative Agent and Lenders hereby agree that the Credit Agreement is hereby modified and amended to the extent necessary to provide that no Distribution with respect
to, or on account of, the Additional Paid in Capital shall be a “Permitted Level I Distribution” or a “Permitted Level II Distribution.” 

  

	 	g.	Borrower, Administrative Agent and Lenders hereby agree that all covenants and other provisions of the Credit Agreement and the other Credit Documents shall be deemed, to the extent
applicable, to incorporate the consents to the Proposed Transactions contained in this Consent Letter. 

 3.
Miscellaneous. Borrowers hereby: (i) ratify and reaffirm the Obligations, the Credit Agreement and each of the other Credit Documents and all of Borrowers’ covenants, duties, indebtedness and liabilities under the Credit
Documents; (ii) acknowledge and stipulate that (a) the Credit Agreement and the other Credit Documents executed by Borrowers are legal, valid and binding obligations of Borrowers that are enforceable against Borrowers in accordance with
the terms thereof and (b) all of the Obligations are owing and payable without defense, offset or counterclaim (and to the extent there exists any such defense, offset or counterclaim on the date hereof, the same is hereby waived by Borrowers);
(iii) represent and warrant to Administrative Agent and Lenders, to induce Administrative Agent and Lenders to enter into this Consent Letter, that (a) no Event of Default exists on the date hereof, and (b) this Consent Letter has
been duly executed and delivered by Borrowers; (iv) agree that this Consent Letter shall be 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

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governed by and construed in accordance with the internal laws of the State of Georgia; (v) agree that this Consent Letter shall be binding upon and
inure to the benefit of the parties hereto and their respective successors and assigns; and (vi) agree that, except as otherwise expressly provided in this Consent Letter, nothing herein shall be deemed to amend or modify any provision of
the Credit Agreement or any of the other Credit Documents, each of which shall remain in full force and effect. 
 If this Consent Letter is
acceptable to Borrowers, please evidence Borrowers’ agreement with the terms hereof by executing and returning a copy of this letter to Administrative Agent. By their signatures below, Borrowers agree that Administrative Agent’s and
Lenders’ consent as set forth herein will not be effective until all of the conditions to such consent have been fully satisfied. This Consent Letter shall be effective only upon receipt by Administrative Agent of counterparts hereof from
Borrowers and Required Lenders. 
 [Signatures commence on following page] 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

  

			
	Very truly yours,
	
	ADMINISTRATIVE AGENT:
	
	BANK OF AMERICA, N.A.
		
	By:	 	/s/ Dennis S. Losin
	Name:	 	Dennis S. Losin
	Title:	 	Senior Vice President

  

			
	
	LENDERS:
	
	BANK OF AMERICA, N.A.
		
	By:	 	/s/ Dennis S. Losin
	Name:	 	Dennis S. Losin
	Title:	 	Senior Vice President

  

			
	WELLS FARGO FOOTHILL, LLC
		
	By:	 	/s/ Karen Hilaire
	Name:	 	Karen Hilaire
	Title:	 	Assistant Vice President

  

			
	THE CIT GROUP/BUSINESS CREDIT, INC.
		
	By:	 	/s/ Mark J. Long
	Name:	 	Mark J. Long
	Title:	 	Vice President

  

			
	LASALLE BANK NATIONAL ASSOCIATION
		
	By:	 	/s/ Oscar D. Johnson, Jr.
	Name:	 	Oscar D. Johnson, Jr.
	Title:	 	Senior Vice President

  

			
	WACHOVIA CAPITAL FINANCE CORPORATION (CENTRAL)
		
	By:	 	/s/ Laura Wheeland
	Name:	 	Laura Wheeland
	Title:	 	Vice President

  

 Signature Page - First Consent Letter 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

  

			
	CITIZENS BANK OF MASSACHUSETTS
		
	By:	 	/s/ Susan K. Gadrix
	Name:	 	Susan K. Gadrix
	Title:	 	Vice President

  

			
	NATIONAL CITY BUSINESS CREDIT, INC.
		
	By:	 	/s/ Jason Hanes
	Name:	 	Jason Hanes
	Title:	 	Vice President

  

			
	PNC BANK, NATIONAL ASSOCIATION
		
	By:	 	/s/ Alex M. Council
	Name:	 	Alex M. Council
	Title:	 	Vice President

  

			
	TEXTRON FINANCIAL CORPORATION
		
	By:	 	/s/ Brian R. O’Fallon
	Name:	 	Brian R. O’Fallon
	Title:	 	Senior Account Executive

  

			
	E*TRADE BANK
		
	By:	 	/s/ Sam Crow
	Name:	 	Sam Crow
	Title:	 	Senior Manager

 [Signatures continue on following page] 
  

 Signature Page - First Consent Letter 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

  

			
	Acknowledged and Agreed to:
	
	BORROWERS:
	
	SMITH PIPE & STEEL COMPANY
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

			
	INFRA-METALS CO.
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

			
	FERALLOY CORPORATION
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

					
	DELTA STEEL L.P.
		
	By:	 	Delta GP, L.L.C., its general partner
			
		 	By:	 	/s/ Eva M. Kalawski
		 	Name:	 	Eva M. Kalawski
		 	Title:	 	Vice President and Secretary

  

					
	By:	 	Delta GP, L.L.C., its limited partner
			
		 	By:	 	/s/ Eva M. Kalawski
		 	Name:	 	Eva M. Kalawski
		 	Title:	 	Vice President and Secretary

  

			
	DELTA GP, L.L.C.
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

 Signature Page - First Consent Letter 

 
PNA Group, Inc. and the other Borrowers 
 May 31, 2006

  

			
	DELTA LP, L.L.C.
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

			
	PNA GROUP, INC.
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

			
	DELNOR CORPORATION
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

			
	TRAVEL MAIN CORPORATION
		
	By:	 	/s/ Eva M. Kalawski
	Name:	 	Eva M. Kalawski
	Title:	 	Vice President and Secretary

  

 Signature Page - First Consent Letter

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