Document:

exhibit10-2.htm

EXHIBIT
10.2

    

     

    SEPARATION
AGREEMENT

     

    This
Separation Agreement (this “Agreement”) is entered into as of February 17, 2010
between NV Energy, Inc., a Nevada corporation (the “Company”), and William D.
Rogers (the “Executive”).

     

    WHEREAS,
the Executive served as Senior Vice President, Chief Financial Officer and
Treasurer of the Company until his resignation from such position on February 2,
2010; and

     

    WHEREAS,
the Company and the Executive desire to set forth herein their mutual agreement
with respect to all matters relating to the Executive’s resignation and
cessation of employment with the Company and its affiliates and the Executive’s
release of claims upon the terms set forth herein.

     

    NOW,
THEREFORE, in consideration of the mutual promises and agreements contained
herein, the adequacy and sufficiency of which are hereby acknowledged, the
Company and the Executive hereby agree as follows:

     

    1. Resignation; Termination of
Employment.  The Company and the Executive hereby acknowledge
that the Executive resigned as Senior Vice President, Chief Financial Officer
and Treasurer of the Company and from all other positions (if any) with the
Company and its affiliates as of February 2, 2010 (the “Employment Termination
Date”).

     

    2. Payment of Accrued
Amounts.  The Company shall pay to the Executive within 30 days
following the Employment Termination Date all amounts due to the Executive for
salary accrued for services rendered through the Employment Termination Date,
less an amount for paid time off used but not accrued as of the Employment
Termination Date.

     

    3. Separation Payments;
Reimbursements.

     

    (a) Separation
Payments.  Provided that the Executive complies with the
covenants contained in Sections 7(a) and 8 hereof and in consideration for the
release of claims contained in Section 10 hereof and provided that the Executive
has not revoked the release, the Company shall pay to the Executive within 30
days following the Employment Termination Date the lump sum cash amount of
$687,519.28, which is comprised of the following:

     

    (i) $420,000,
equal to one year of base salary;

     

    (ii) $187,600,
equal to the Executive’s 2009 short-term incentive plan award;

     

     

     

    
      
         

      

      
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    (iii) $55,000
as additional severance pay;

     

    (iv) $4,919.28,
equal to 12 months of premiums under COBRA (as defined in Section 4 hereof);
and

     

    (v) $20,000
for outplacement services.

     

        (b) Reimbursements.  In
addition to the lump sum separation payment set forth in Section 3(a) hereof,
the Company shall reimburse the Executive, in accordance with Section 6
hereof, for the following:

     

    (i) reasonable
relocation costs incurred by the Executive associated with the sale of his Las
Vegas residence, which shall include only his reasonable personal property
moving expenses incurred by him prior to December 31, 2010 and his reasonable
real estate brokerage commissions incurred by him prior to December 31, 2011 (it
being understood that such relocation costs shall not include any loss resulting
from the sale of his residence); and

     

    (ii) up to
$7,500 for expenses incurred by the Executive for the payment of legal fees
relating to the review and negotiation of this Agreement;

     

    4. Employee
Benefits.  As of the Employment Termination Date, the Executive
shall be entitled to those employee benefits provided by the Company upon
termination of employment pursuant to the terms and subject to the conditions of
the applicable employee benefit plans and programs of the Company in which the
Executive participates, including the vesting and payment of benefits pursuant
to the Company’s Retirement Plan, 401(k) Plan, 401(k) Restoration Plan, Pension
Restoration Plan and Supplemental Executive Retirement Plan, in each case in
accordance with, and subject to, the terms and conditions of such
plans.  In addition, the Executive may elect to continue coverage, at
his expense, under the Company’s employee and executive life insurance policies
and the Company’s executive disability insurance policy in accordance with, and
subject to, the terms and conditions of such policies.  Pursuant to
the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), the
Executive may elect to continue coverage for the Executive and his dependents
under the Company’s medical plan for a period of up to 18 months following the
Employment Termination Date or as otherwise provided by COBRA.  Such
COBRA coverage shall be at the Executive’s expense, except as otherwise provided
in Section 3(a)(iv) hereof.

     

    5. Federal and State
Withholding.  The Company shall deduct from the amounts payable
to the Executive pursuant to Sections 2, 3 and 4 hereof the amount of all
required federal and state withholding taxes in accordance with the Executive’s
Form W-4 on file with the Company and all applicable social security
taxes.

     

    6. Section
409A.  This Agreement is intended to comply with the
requirements of Section 409A of the Internal Revenue Code of 1986, as amended
(the “Code”), 

     

     

    
      
         

      

      
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      and shall
be interpreted and construed consistently with such intent.  The
payments to the Executive pursuant to this Agreement are also intended to be
exempt from Section 409A of the Code to the maximum extent possible, under
either the separation pay exemption pursuant to Treasury regulation
§1.409A-1(b)(9)(iii) or as short-term deferrals pursuant to Treasury regulation
§1.409A-1(b)(4), and for this purpose each payment shall be considered a
separate payment.  In the event that the terms of this Agreement would
subject the Executive to taxes or penalties under Section 409A of the Code
(“409A Penalties”), the Company and the Executive shall cooperate diligently to
amend the terms of this Agreement to avoid such 409A Penalties, to the extent
possible; provided that in no event shall the Company be responsible for any
409A Penalties that arise in connection with any amounts payable under this
Agreement.  It is intended that the Executive’s “separation from
service,” within the meaning of Section 409A of the Code, occurred on February
2, 2010.  Any reimbursement payable to the Executive pursuant to this
Agreement or otherwise shall be conditioned on the submission by the Executive
of all expense reports reasonably required by the Company under any applicable
expense reimbursement policy, and shall be paid to the Executive within 30 days
following receipt of such expense reports, but in no event later than the last
day of the calendar year following the calendar year in which the Executive
incurred the reimbursable expense.  Any amount of expenses eligible
for reimbursement, or in-kind benefit provided, during a calendar year shall not
affect the amount of expenses eligible for reimbursement, or in-kind benefit to
be provided, during any other calendar year.  The right to any
reimbursement or in-kind benefit pursuant to this Agreement or otherwise shall
not be subject to liquidation or exchange for any other
benefit.

    

     

    7. Nondisparagement.

     

    (a) The
Executive agrees that the Executive shall not directly (or through any other
person or entity) make any public or private statements (whether oral or in
writing) that are derogatory or damaging to the Company or any of its
affiliates, including, but not limited to, its businesses, activities,
operations, affairs, products, services, reputation or prospects or any of their
directors, officers or employees.  This Section 7(a) shall not be
deemed to be breached by testimony of the Executive given in any judicial or
governmental proceeding which the Executive reasonably believes to be truthful
at the time given or by any other action of the Executive which he reasonably
believes is taken in accordance with the requirements of applicable law or
administrative regulation.

     

    (b) Except
for confirming the Executive’s dates of employment and job title or as otherwise
required by law, administrative regulation or securities exchange rules, the
Company’s responses to external inquiries regarding the Executive’s resignation
and cessation of employment with the Company shall be made in a manner which is
consistent with the Company’s press release dated February 2,
2010.  The Company agrees that the executive officers of the Company
authorized by the Company to make public statements shall not make, or authorize
the making of, any public statement which disparages the
Executive.  This Section 7(b) shall not be deemed to be breached
by any statement made by or on behalf of the Company or any testimony given by
or on behalf of the Company in any judicial or governmental proceeding, in each
case which the Company reasonably believes to be truthful at 

     

     

    
      
         

      

      
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      the time
given, or by any other statement or action by or on behalf of the Company which
the Company reasonably believes is made or taken in accordance with the
requirements of applicable law, administrative regulation or securities exchange
rules.

    

     

    8. Confidentiality.  The
Executive shall not, at any time following the Employment Termination Date, make
use of or disclose, directly or indirectly, any (a) trade secret or other
confidential or secret information of the Company or any of its affiliates, or
(b) other technical, business, proprietary or financial information of the
Company or any of its affiliates not available to the public generally
(“Confidential Information”), except to the extent that such Confidential
Information (i) becomes a matter of public record or is published in a
newspaper, magazine or other periodical or on electronic or other media
available to the general public, other than as a result of any act or omission
of the Executive, or (ii) is required to be disclosed by any law, regulation or
order of any court or regulatory commission, department or agency, provided that
the Executive gives prompt notice of such requirement to the Company to enable
the Company to seek an appropriate protective order.  Within five days
following the Employment Termination Date, the Executive shall surrender to the
Company all records, memoranda, notes, plans, reports and other documents and
data, whether in electronic or paper form, which constitute Confidential
Information which the Executive may then possess or have under the Executive’s
control (together with all copies thereof).

     

    9. Remedies;
Jurisdiction.  Without limiting the right of the Company to
pursue all other legal and equitable remedies available for violation by the
Executive of the covenants contained in Sections 7(a) and 8 hereof, it is
expressly agreed by the Executive and the Company that such other remedies
cannot fully compensate the Company for any such violation and that the Company
shall be entitled to a restraining order and injunctive relief to prevent any
such violation or any continuing violation thereof.  The Executive
agrees to submit to the personal jurisdiction of the courts of the State of
Nevada in any action by the Company to enforce an arbitration award against the
Executive or to obtain injunctive or other relief.

     

    10. Release of
Claims.  The Executive, on behalf of himself and anyone
claiming through him, including, but not limited to, his past, present and
future spouses, family members, relatives, agents, attorneys, representatives,
heirs, executors and administrators, and the predecessors, successors and
assigns of each of them, hereby releases and agrees not to sue the Company or
any of its divisions, subsidiaries, affiliates, other related entities (whether
or not such entities are wholly owned) or any of the past, present or future
owners, officers, directors, administrators, trustees, fiduciaries, employees,
agents, attorneys or representatives thereof, or the predecessors, successors or
assigns of each of them (hereinafter jointly referred to as the “Released
Parties”), with respect to any and all known or unknown claims which the
Executive now has, has ever had, or may in the future have, against any of the
Released Parties for or related in any way to anything occurring from the
beginning of time up to and including the date on which he signs this Agreement,
including, without limiting the generality of the foregoing, any and all claims
which in any way result from, arise out of, or relate to, the Executive’s
employment by any of the Released Parties or the termination of such employment,
including, but not limited to, any and all claims for severance or termination
payments under any agreement 

     

     

    
      
         

      

      
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      between
the Executive and any of the Released Parties including, without limitation, the
letter agreement dated April 29, 2005 and any amendment or supplement thereto
(the “Employment Agreement”), or any program or arrangement of any of the
Released Parties or any claims that could have been asserted by the Executive or
on his behalf against any of the Released Parties in any federal, state or local
court, commission, department or agency under any fair employment, contract or
tort law, or any other federal, state or local law, regulation or ordinance (as
in effect or amended from time to time), including, without limitation, the Age
Discrimination in Employment Act, Title VII of the Civil Rights Act of 1964, the
Employee Retirement Income Security Act of 1974, the Americans with Disabilities
Act, the Family and Medical Leave Act, or under any compensation, bonus,
severance, retirement or other benefit plan; provided, however, that nothing
contained in this Section 10 shall apply to, or release the Company from (a) any
obligation of the Company contained in this Agreement, (b) any vested or
accrued benefit under any plan or program of the Company in which the Executive
participates, (c) any obligation which the Company may have to indemnify the
Executive pursuant to its By-laws or (d) any obligation which the Company may
have to provide coverage to the Executive pursuant to its director and officer
insurance policy with respect to actions or omissions of the Executive during
his service as an officer of the Company.  The Executive expressly
represents and warrants that he has not filed or had filed on his behalf any
claim against any of the Released Parties.  The consideration offered
herein is accepted by the Executive as being in full accord, satisfaction,
compromise and settlement of any and all claims or potential claims, and the
Executive expressly agrees that the Executive is not entitled to, and shall not
receive, any further recovery of any kind from the Company or any of the other
Released Parties, and that in the event of any further proceedings whatsoever
based upon any matter released herein, neither the Company nor any of the other
Released Parties shall have any further monetary or other obligation of any kind
to the Executive, including any obligation for any costs, expenses or attorneys’
fees incurred by or on behalf of the Executive.  The Executive agrees
that the Executive has no present or future right to employment with the Company
or any of the other Released Parties and that the Executive will not apply for
or otherwise seek employment with any of them.

    

     

    11. Authority.  The
Executive expressly represents and warrants that the Executive is the sole owner
of the actual and alleged claims, demands, rights, causes of action and other
matters that are released herein; that the same have not been transferred or
assigned or caused to be transferred or assigned to any other person, firm,
corporation or other legal entity; and that the Executive has the full right and
power to grant, execute and deliver the release, undertakings and agreements
contained herein.

     

    12. Arbitration.  Except
as provided in Section 9 hereof, any dispute or controversy between the Company
and the Executive, whether arising out of or relating to this Agreement, the
breach of this Agreement, or otherwise, shall be settled by arbitration in the
State of Nevada, administered by the American Arbitration Association, with any
such dispute or controversy arising under this Agreement being so administered
in accordance with its Commercial Rules then in effect, and judgment on the
award rendered by the arbitrator may be entered in any court having jurisdiction
thereof.  The arbitrator shall have the authority to award any remedy
or relief that a court of competent jurisdiction could order or grant,
including, 

     

     

    
      
         

      

      
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      without
limitation, the issuance of an injunction.  However, either party may,
without inconsistency with this arbitration provision, apply to any court having
jurisdiction over such dispute or controversy and seek interim provisional,
injunctive or other equitable relief until the arbitration award is rendered or
the controversy is otherwise resolved.  Except as necessary in court
proceedings to enforce this arbitration provision or an award rendered
hereunder, or to obtain interim relief, neither a party nor an arbitrator may
disclose the existence, content or results of any arbitration hereunder without
the prior written consent of the Company.  The Company and the
Executive acknowledge that this Agreement evidences a transaction involving
interstate commerce.  Notwithstanding any choice of law provision
included in this Agreement, the United States Federal Arbitration Act shall
govern the interpretation and enforcement of this arbitration
provision.  The filing fee of the American Arbitration Association and
the fee of the arbitrator in any such arbitration shall be paid by the Company
and all other fees and expenses of such arbitration shall be borne by the party
which incurred such fees and expenses.

    

     

    13. Successors; Binding
Agreement.  This Agreement shall inure to the benefit of and be
enforceable by the Executive and by the Executive’s personal or legal
representatives, executors, administrators, successors, heirs, distributees,
devisees and legatees.  In the event of the death of the Executive
while any amounts are payable to the Executive hereunder, all such amounts,
unless otherwise provided herein, shall be paid in accordance with the terms of
this Agreement to such person or persons designated in writing by the Executive
to receive such amounts or, if no person is so designated, to the Executive’s
estate.

     

    14. Notices.  All
notices and other communications required or permitted under this Agreement
shall be in writing and shall be deemed to have been duly given by a party
hereto when delivered personally or by overnight courier that guarantees next
day delivery or five days after deposit in the United States mail, postage
prepaid to the following address of the other party hereto (or to such other
address of such other party as shall be furnished in accordance
herewith):

     

    If to the
Company, to:

     

    NV
Energy, Inc.

    6226 West
Sahara Avenue

    Las
Vegas, Nevada  89146

    Attention:  Corporate Senior Vice President, General Counsel and
Secretary

     

     

    If to the
Executive, to:

     

    William
D. Rogers

    432 Snowy
Egret

    Kiawah,
South Carolina  29455

     

     

    
      
         

      

      
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    With a
copy to:

     

    Raymond
L. Vandenberg, Esq.

    Vandenberg
& Feliu LLP

    60 East
42nd
Street

    51st
Floor

    New York,
New York 10165

     

    15. Governing
Law.  The interpretation, construction and performance of this
Agreement shall be governed by and construed and enforced in accordance with the
internal laws of the State of Nevada without regard to the principle of
conflicts of laws.

     

    16. Entire
Agreement.  This Agreement constitutes the entire agreement and
understanding between the parties with respect to the subject matter hereof and
supersedes and preempts any prior understandings, agreements or representations
by or between the parties, written or oral, including, without limitation, the
Employment Agreement, which may have related in any manner to the subject matter
hereof.

     

    17. Counterparts.  This
Agreement may be executed in two counterparts, each of which shall be deemed to
be an original and both of which together shall constitute one and the same
instrument.

     

    18. Miscellaneous.  No
provision of this Agreement may be modified or waived unless such modification
or waiver is agreed to in writing and executed by the Executive and by a duly
authorized officer of the Company.  No waiver by either party hereto
at any time of any breach by the other party hereto of, or compliance with, any
condition or provision of this Agreement to be performed by such other party
shall be deemed a waiver of similar or dissimilar provisions or conditions at
the same or at any prior or subsequent time.  Failure by the Executive
or the Company to insist upon strict compliance with any provision of this
Agreement or to assert any right which the Executive or the Company may have
hereunder shall not be deemed to be a waiver of such provision or right or any
other provision or right of this Agreement.

     

    19. No
Admission.  Nothing in this Agreement is intended to, or shall
be construed as, an admission by the Company or any of the other Released
Parties that it violated any law, interfered with any right, breached any
obligation or otherwise engaged in any improper or illegal conduct with respect
to the Executive or otherwise.  The Company, for itself and the other
Released Parties, hereby expressly denies any such illegal or wrongful
conduct

     

    20. ACKNOWLEDGMENT BY
EXECUTIVE.  BY EXECUTING THIS AGREEMENT, THE EXECUTIVE
EXPRESSLY ACKNOWLEDGES THAT THE EXECUTIVE HAS READ THIS AGREEMENT CAREFULLY,
THAT THE EXECUTIVE FULLY UNDERSTANDS ITS TERMS AND CONDITIONS, THAT THE
EXECUTIVE HAS BEEN ADVISED TO CONSULT WITH AN ATTORNEY PRIOR TO EXECUTING THIS
AGREEMENT, THAT THE EXECUTIVE HAS BEEN ADVISED THAT THE EXECUTIVE 

     

     

    
      
         

      

      
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      HAS 21
DAYS WITHIN WHICH TO DECIDE WHETHER OR NOT TO EXECUTE THIS AGREEMENT AND THAT
THE EXECUTIVE INTENDS TO BE LEGALLY BOUND BY IT.  DURING A PERIOD OF
SEVEN DAYS FOLLOWING THE DATE OF THE EXECUTIVE’S EXECUTION OF THIS AGREEMENT,
THE EXECUTIVE SHALL HAVE THE RIGHT TO REVOKE THE RELEASE CONTAINED IN
SECTION 10 OF THIS AGREEMENT OF CLAIMS UNDER THE AGE DISCRIMINATION IN
EMPLOYMENT ACT BY SERVING WITHIN SUCH PERIOD WRITTEN NOTICE OF
REVOCATION.  IF THE EXECUTIVE EXERCISES THE EXECUTIVE’S RIGHTS UNDER
THE PRECEDING SENTENCE, THE EXECUTIVE SHALL HAVE NO RIGHT TO THE AMOUNT PAYABLE
TO THE EXECUTIVE PURSUANT TO SECTION 3 OF THIS AGREEMENT.

    

     

    IN
WITNESS WHEREOF, the Company has caused this Agreement to be executed by a duly
authorized officer of the Company and the Executive has executed this Agreement
as of the day and year first above written.

     

    NV
ENERGY, INC.

     

     

     

    By:                                                                          

     

    Michael W. Yackira

    President
and Chief Executive Officer

     

     

     

     

     

     

    _____________________________

    William D. Rogers

     

    

     

    
      
         

      

      
        8ex10_1.htm

    
      

      

    

     

    
Exhibit
10.1

     

    SECOND
AMENDMENT TO CREDIT AGREEMENT

     

    THIS
SECOND AMENDMENT TO CREDIT AGREEMENT (this "Amendment"), dated effective as of
February 19, 2010, amends and supplements that certain Credit Agreement dated as
of November 6, 2007, as amended to date (as so amended and as the same may be
further amended, restated or supplemented from time to time, the "Credit
Agreement"), by and between ASSOCIATED BANK, NATIONAL ASSOCIATION, a national
banking association (the "Bank"), and MAGNETEK, INC., a Delaware corporation
(the "Company").

     

    RECITAL

     

    The
Company and the Bank desire to amend and supplement the Credit Agreement as
provided below.

     

    AGREEMENTS

     

    In
consideration of the Recital and the promises and agreements set forth in the
Credit Agreement, as amended hereby, the parties agree as follows:

     

    1. Definitions and
References.  Capitalized terms not otherwise defined herein
have the meanings assigned in the Credit Agreement.  All references to
the Credit Agreement contained in the Collateral Documents and the other Loan
Documents, as amended or amended and restated, shall, upon the execution of this
Amendment, mean the Credit Agreement as amended by this Amendment.

     

    2. Amendments to Credit
Agreement.

     

    (a) Section 1
of the Credit Agreement is hereby amended by adding the following definitions
which shall be placed in alphabetical order:

     

    "Adjusted EBITDA"
shall mean, as to the Company for any period as to which such amount is being
determined, the sum of (a) Net Income, plus (b) depreciation
expense, plus (c)
amortization of intangibles, plus (d) deferred income tax
expense, plus (e)
non-cash stock compensation expense, plus (f) to the extent taken
into account in determining net income, pension expense, all as determined
without duplication for the Company and its Consolidated
Subsidiaries.

     

    "Qualified Inventory"
shall mean inventory of the Company which is saleable in the ordinary course of
business (other than inventory which is

     

    
      

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    defective
but including inventory which is work in process) which is new, unused and which
meets the following requirements and continues to meet the same until it is sold
or otherwise disposed of as permitted by this Agreement: (a) it is not subject
to any assignment, claim, Lien or security interest whatsoever, other than the
Lien of the Bank hereunder; (b) it is not obsolete and it is merchantable,
saleable in the ordinary course of the Company's business, in good condition and
currently usable; (c) it is not inventory located on premises other than
premises owned by the Company that are located in the United States; (d) it is
not inventory which the Bank at its sole and absolute discretion, determines in
good faith to be unacceptable due to age, type, category or quantity; (e) it is
inventory on which the Bank has a valid, enforceable, perfected first Lien; and
(f) it is not Inventory sold to, returned to, or repossessed by the Company from
a dealer or purchaser of inventory from the Company.  Inventory of the
Company which is at any time Qualified Inventory, but which subsequently fails
to meet any of the foregoing requirements shall forthwith cease to be Qualified
Inventory.

     

    (b) The
defined term "Borrowing Base Availability" in section 1 of the Credit Agreement
is amended in its entirety to read as follows:

     

    "Borrowing Base
Availability" means an amount equal to the sum of (a) 80% of the
face amount of Qualified Accounts, plus (b) 40% of the lower of the Company's
cost or the wholesale market value, determined on a first in first out basis in
accordance with GAAP, of Qualified Inventory, in each case as shown on the most
recent Borrowing Base Certificate furnished by the Company to the
Bank.

     

    (c) The
second sentence of the defined term "Commitment" in section 1 of the Credit
Agreement is amended in its entirety to read as follows:

     

    "The
Commitment of the Bank is $7,500,000, and is subject to reduction from time to
time pursuant to section 2.4."

     

    (d) The first
sentence of the defined term "LIBOR Rate" in section 1 of the Credit Agreement
is hereby amended in its entirety to read as follows:

     

    "LIBOR Rate" means the
greater of: (a) three percent (3.0%) per annum; or (b) the per annum rate
reported in the Money
Rates column or section of The Wall Street
Journal (Midwest Edition) as the London Interbank Offered Rates (LIBOR)
for loans for a period of one month as of the first Business Day of each month,
rounded upward to the nearest 1/8th
of

     

    
      
        
          
                                                              

        

         

      

      
         

        
          

        

      

      
         

      

    

    1%, and
the LIBOR Rate shall change on the first Business Day of each
month.

     

    (e) The
defined term "Maturity Date" in section 1 of the Credit Agreement is amended by
deleting the date "November 1, 2010" contained therein and inserting the date
"December 15, 2010" in its place.

     

    (f) The first
two sentences of Section 2.5(a) of the Credit Agreement are hereby amended in
their entirety to read as follows:

     

    The
unpaid principal balance of the Loans outstanding from time to time shall bear
interest for the period commencing on the Borrowing Date of such Loan until such
Loan is paid in full.  Each Loan shall bear interest at the LIBOR Rate
plus two percent (2.0%) and shall change on each date on which the LIBOR Rate
changes.

     

    (g) Section
2.8(a)(i) of the Credit Agreement is hereby amended in its entirety to read as
follows:

     

    (i) the
requested Letter of Credit will not be issued if, upon issuance, either: [a] the
sum of [i] the unpaid principal balance of the Note and [ii] the LOC Exposure
would exceed the lesser of [A] the Commitment or [B] the Borrowing
Base Availability, or [b] after issuance of the requested Letter of Credit, the
LOC Exposure would exceed $2,000,000; and

     

    (h) Section
2.12 of the Credit Agreement is hereby amended in its entirety to read as
follows:

     

    2.12 Letter of Credit
Fees.  On the Borrowing Date of each Letter of Credit (and on
the date of any renewal thereof), the Company shall pay to the Bank the normal
negotiation, presentation, transfer, amendment and other processing fees, and
other standard costs and charges of the Bank relating to letters of credit as in
effect from time to time.  In addition, the Company shall pay the
following fees with respect to Letters of Credit: (a) if a Letter of Credit is
an international letter of credit (i.e., a letter of credit which provides for
payment to a beneficiary located outside the United States), the Company shall
pay on the Borrowing Date of the Letter of Credit (and on the date of any
renewal thereof), the ordinary and customary fees of the Bank for international
letters of credit as in effect from time to time; or (b) if the Letter of Credit
is a domestic letter of credit (i.e., a letter of credit which provides for
payment to a beneficiary located inside the United States), the Company shall
pay a per annum fee equal to 1.5%

     

    
      
        
          
                                                            

        

         

      

      
         

        
          

        

      

      
         

      

    

    multiplied
by the amount available for drawing under the Letter of Credit, payable
quarterly in advance on the Borrowing Date of the Letter of Credit and on the
same day of each third month thereafter.

     

    (i) Section 2
of the Credit Agreement is hereby amended by adding a section thereto as
follows:

     

    2.16. Commitment Fee.  As
consideration for the commitment of the Bank to make Loans, the Company agrees
to pay to the Bank, on the last Business Day of each calendar quarter commencing
with the quarter ending March 31, 2010, and on the Maturity Date, a commitment
fee equal to 0.25% per year on the daily average unused amount of the Bank's
commitment to make Loans hereunder during the quarter or other applicable
period; provided that for purposes of computing the commitment fee due on March
31, 2010, the applicable period shall be January 1, 2010, through March 31,
2010.  Commitment fees shall be calculated for the actual number of
days elapsed on the basis of a 360-day year.

     

    (j) Section
5.1(f) of the Credit Agreement is hereby amended in its entirety to read as
follows:

     

          (f) Borrowing Base Certificates.  Furnish
to the Bank, within thirty (30) days after the end of each calendar month, a
Borrowing Base Certificate as of the end of that calendar month.

     

    (k) The
proviso in Section 5.2 of the Credit Agreement is hereby amended in its entirety
to read as follows:

     

    provided, however, unless a
Default or Event of Default exists, the Company shall only be required to
reimburse the Bank for the cost of field exams, inspections or audits during any
calendar year if Loans are outstanding for 15 days total (whether consecutive or
non-consecutive) during the calendar year and then only in an amount not to
exceed $5,000 for the calendar year

     

    (l) Section
6.6 of the Credit Agreement is amended in its entirety to read as
follows:

     

    6.6 Acquisitions, Advances and
Investments.  Acquire any other business or partnership or
joint venture interest or make any loans, advances or extensions of credit to,
or any investments in, any Person except (a) the acquisitions of assets or
stock of a third Party which (i) were

     

    
      
        
          
                                                         

        

         

      

      
         

        
          

        

      

      
         

      

    

    disclosed
to the Bank by the Company in writing prior to December 15, 2009, or (ii)
exclusive of the acquisitions described in the previous clause, do not exceed,
in the aggregate, $500,000 in any calendar year, (b) the purchase of United
States government obligations maturing within one year of the date of
acquisition; (c) extensions of credit to customers in the ordinary course
of business; (d) the purchase of certificates of deposit at the Bank;
(e) commercial paper having a maturity not exceeding 90 days which is rated
not less than P-1 by Moody's Investors Service, Inc. or A-1 by Standard and
Poor's Ratings Service; (f) investments in money market funds which invest
principally in obligations described in (b) or (e) above; (g) existing
investments of the Company in and existing advances by the Company to wholly
owned Subsidiaries of the Company; (h) investments in repurchase
agreements at the Bank; (i) loans and advances to employees and agents
in the ordinary course of business for travel and entertainment expenses and
similar items; and (j) demand deposits in a bank which is organized under
the laws of the United States or of any State and which has a combined capital
and surplus in excess of $50,000,000 (subject to section 5.10).

     

    (m) Section
6.10 of the Credit Agreement is amended in its entirety to read as
follows:

     

    6.10.
Maximum Pension
Payments.  The Company shall not make cash contributions to the
defined benefit retirement plan maintained by it, except for payments during the
following months not exceeding the amounts (measured on a cash basis) for those
months as follows:

     

    
      	
              Month

            	 	
              Maximum Contribution

            	 
	
              January,
      2010

            	 	$	2,700,000	 
	
              April,
      2010

            	 	$	3,200,000	 
	
              July,
      2010

            	 	$	3,200,000	 
	
              September,
      2010

            	 	$	2,600,000	 
	
              October,
      2010

            	 	$	3,200,000	 

    

     

    (n) Section
6.11 of the Credit Agreement is amended by deleting the amount "$2,500,000"
contained in clause (b) thereof and inserting the amount "$2,000,000" in its
place.

     

    (o) Section 6
of the Credit Agreement is hereby amended by adding a section thereto as
follows:

     

    
      
        
          
                                                             

        

         

      

      
         

        
          

        

      

      
         

      

    

    (p) 6.13 Adjusted
EBITDA.  Permit the Adjusted EBITDA of the Company and its
Consolidated Subsidiaries to be less than the following amounts for the
following periods:

     

    
      	
              Period

            	 	
              Minimum Amount

            	 
	
              The
      nine month period ending March 31, 2010

            	 	$	3,000,000	 
	
              The
      Company's fiscal year ending on or about June 30, 2010

            	 	$	5,500,000	 
	
              The
      twelve month period ending September 30, 2010

            	 	$	6,500,000	 

    

     

    (q) The
"Borrowing Base Certificate" shall be amended to be in the form attached hereto
as Exhibit
A.

     

    3. Closing
Conditions.  This Amendment shall become effective upon the
execution and delivery by the parties of this Amendment and receipt by the Bank
of:

     

    (a) a
certificate of good standing of the Company issued by the Delaware Secretary of
State, dated within ten (10) days of the date hereof;

     

    (b) a General
Business Security Agreement in form satisfactory to the Bank duly executed by
the Company;

     

    (c) an
updated certificate of insurance covering the Collateral added by the
aforementioned General Business Security Agreement; and

     

    (d) such
other forms, certificates, agreements, documents and instruments as the Bank may
reasonably requests.

     

    4. No
Waiver.   The Company agrees that nothing contained herein
shall be construed by the Company as a waiver by the Bank of the Company's
compliance with each representation, warranty and/or covenant contained in the
Credit Agreement, the Collateral Documents and the other Loan Documents and that
no waiver of any provision of the Credit Agreement, the Collateral Documents or
the other Loan Documents by the Bank has occurred.  The Company
further agrees that nothing contained herein shall impair the right of the Bank
to require strict performance by the Company of the Credit
Agreement.

     

    
      
        
          
                                                         

        

         

      

      
         

        
          

        

      

      
         

      

    

    5. Representations and
Warranties.  The Company represents and warrants to the Bank
that:

     

    (a) The
execution and delivery of this Amendment is within its corporate power, has been
duly authorized by proper corporate action on the part of the Company, is not in
violation of any existing law, rule or regulation of any governmental agency or
authority, any order or decision of any court, the Certificate of Incorporation
or By-Laws of the Company or the terms of any agreement, restriction or
undertaking to which the Company is a party or by which it is bound, and does
not require the approval or consent of the members of the Company, any
governmental body, agency or authority or any other person or entity, except for
those approvals and consents which have already been obtained and are in full
force and effect; and

     

    (b) The
representations and warranties of the Company contained in the Loan Documents
are true and correct in all material respects as of the date of this Amendment
(except to the extent such representations and warranties relate to an earlier
date in which case they are true and correct in all material respects as of such
earlier date).

     

    6. Miscellaneous.

     

    (a) Charges, Expenses and
Fees.  The Company agrees to pay on demand all reasonable
out-of-pocket costs and expenses paid or incurred by the Bank in connection with
the negotiation, preparation, execution and delivery of this Amendment and all
forms, certificates, agreements, documents and instruments hereto or otherwise
contemplated hereby, including the reasonable fees and expenses of the Bank's
counsel.

     

    (b) Amendments and
Waivers.  This Amendment may not be changed or amended orally,
and no waiver hereunder may be oral, and any change or amendment hereto or any
waiver hereunder must be in a writing which is identified as an amendment or
waiver of this Amendment and signed by the party or parties against whom such
change, amendment or waiver is sought to be enforced.

     

    (c) Headings.  The
headings in this Amendment are intended solely for convenience of reference and
shall be given no effect in the construction or interpretation of this
Amendment.

     

    (d) Affirmation.  Each
party hereto affirms and acknowledges that the Credit Agreement as amended
by this Amendment remains in full force and effect in accordance with its
terms.

     

    
      
        
          
                                                          

        

         

      

      
         

        
          

        

      

      
         

      

    

    (e) Counterparts.  This
Amendment may be executed in one or more counterparts, each of which shall
constitute an original, but all of which when taken together shall constitute
one and the same instrument.  Delivery of an executed counterpart by
facsimile or by e-mail of a portable document file (PDF) shall be as effective
as delivery of an original counterpart hereof.

     

    IN
WITNESS WHEREOF, the parties have executed this Second Amendment as of the date
first written above.

     

     

    
       

       

      
        	
                COMPANY:

              
	 
      
	
                MAGNETEK,
      INC.

              

      

      

      
        	
                BY:

              	
                /S/
      Marty J. Schwenner

              
	 
      	
                Marty
      J. Schwenner

              
	 
      	
                Vice
      President and Chief Financial
Officer

              

      

       

      
 

      
        	
                BANK:

              
	 
      
	
                ASSOCIATED
      BANK, NATIONAL ASSOCIATION

              

      

      

      
        	
                BY:

              	
                /S/
      Gregory A. Larson

              
	 
      	
                Gregory
      A. Larson

              
	 
      	
                Senior
      Vice President

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