Document:

Exhibit
4.2

 

SIXTH
SUPPLEMENTAL INDENTURE

 

SIXTH SUPPLEMENTAL INDENTURE (“Sixth
Supplemental Indenture”), dated as of December 29, 2009, among
TriMas Corporation, a Delaware corporation (the “Company”),
the Guarantors identified on the signature pages hereto (the “Guarantors”) and The Bank of New York Mellon
(formerly The Bank of New York), as trustee (the “Trustee”).

 

WITNESSETH:

 

WHEREAS, the Company, the Guarantors and the Trustee
have entered into an Indenture, dated as of June 6, 2002 (the “Base Indenture”) as amended and supplemented by the First
Supplemental Indenture, dated as of March 4, 2003 (the “First Supplemental Indenture”), the Second Supplemental
Indenture dated as of May 9, 2003 (the “Second Supplemental Indenture”),
the Third Supplemental Indenture dated as of August 6, 2003 (the “Third Supplemental Indenture”), the Fourth Supplemental
Indenture dated as of February 28, 2008 (the “Fourth
Supplemental Indenture”) and the Fifth Supplemental Indenture dated
as of January 26, 2009 (the “Fifth Supplemental
Indenture”), and together with the Base Indenture, First
Supplemental Indenture, Second Supplemental Indenture, Third Supplemental
Indenture and Fourth Supplemental Indenture the “Original
Indenture”), governing the Company’s 97/8% Senior Subordinated Notes due 2012 (the “Notes”);

 

WHEREAS, under Section 9.02 of the Original
Indenture, the Company, the Guarantors and the Trustee may amend the Original
Indenture with the consent of the Holders of at least a majority in principal
amount of Notes then outstanding voting as a single class pursuant to the terms
set forth therein;

 

WHEREAS, Holders of a majority in principal amount of
Notes outstanding voting as a single class have consented to the amendments set
forth herein in connection with the tender offer and consent solicitation of
the Company commencing on December 14, 2009, with respect to the Notes
(the “Tender Offer”);

 

WHEREAS, the Company and the Guarantors desire to
enter into this Sixth Supplemental Indenture on the date set forth above for
the purpose of making the amendments set forth herein, which amendments will
become operative as set forth in Section 4 herein; and

 

WHEREAS, all other conditions and requirements
necessary to make this Sixth Supplemental Indenture a valid, binding and legal
instrument enforceable in accordance with its terms have been performed and fulfilled
by the parties hereto, and the execution and delivery thereof have been in all
respects duly authorized by the parties hereto.

 

NOW, THEREFORE, for and in consideration of the
foregoing premises, it is mutually covenanted and agreed, for the equal and
proportionate benefit of all Holders of the Notes, as follows:

 

1.             DEFINITIONS.  For all
purposes of the Original Indenture and this Sixth Supplemental Indenture,
except as otherwise expressly provided or unless the context otherwise
requires:

 

(a)           References.  The terms “herein,” “hereof” and other words
of similar import refer to the Original Indenture and this Sixth Supplemental
Indenture as a whole and not to any particular article, section or other
subdivision; and

 

(b)           Capitalized Terms.  All capitalized terms used in this Sixth
Supplemental Indenture but not defined herein shall have the meanings assigned
to such terms in the Original Indenture.

 

2.             ELIMINATION AND AMENDMENT OF CERTAIN DEFINED TERMS IN ARTICLE I OF THE
ORIGINAL INDENTURE.  From and
as of the Operational Time (as defined in Section 4(b) of this Sixth
Supplemental Indenture), any defined terms appearing in Article 1 of the
Original Indenture or

 

 

elsewhere in the Original Indenture, and all
references thereto, that are used solely in the sections, subsections or
provisions of the Original Indenture deleted from the Original Indenture by
virtue of Section 3 of this Sixth Supplemental Indenture shall be deleted
in their entireties from Section 1.01 of the Original Indenture.

 

3.             AMENDMENT OF CERTAIN PROVISIONS OF ARTICLES 3, 4, 5 AND 6 AND OTHER RELATED
PROVISIONS OF THE ORIGINAL INDENTURE.

 

(a)           Amendment of Section 3.09 of the Original
Indenture.  From and as of
the Operational Time (as defined in Section 4(b) of this Sixth
Supplemental Indenture), Section 3.09 of the Original Indenture shall be
amended by deleting such section in its entirety, together with any references
thereto in the Original Indenture.

 

(b)           Amendment of Article 4 of Original Indenture.  From and as of the Operational Time (as
defined in Section 4(b) of this Sixth Supplemental Indenture), Article 4
of the Original Indenture shall be amended by deleting Sections 4.03, 4.04,
4.05, 4.06, 4.07, 4.08, 4.09, 4.10, 4.11, 4.12, 4.14, 4.15, 4.16, and 4.17 in
their entireties, together with any references thereto in the Original
Indenture.

 

(c)           Amendment of Section 5.01 of Original Indenture.  From and as of the Operational Time (as
defined in Section 4(b) of this Sixth Supplemental Indenture), Section 5.01
of the Original Indenture shall be amended by

 

(i)            Adding “and” after “;” at the end of clause (2);

 

(ii)           Deleting “; and” at the end of clause (3) and
substituting “.” therefor; and

 

(iii)          Deleting clause (4) in its entirety.

 

(iv)          deleting the following language:  “In addition, the Company shall not, directly
or indirectly, lease all or substantially all of its properties or assets, in
one or more related transactions, to any other Person. This Section 5.01
will not apply to a sale, assignment, transfer, conveyance or other disposition
of assets between or among the Company and any of the Guarantors.”

 

(d)           Amendment of Article 6 of the Original Indenture.  From and as of the Operational Time, Article 6
of the Original Indenture shall be amended by: 
(i) deleting Sections 6.01(3), (4), (5), (6), (7), (8) and (9) in
their entireties, together with any references thereto in the Original
Indenture; (ii) adding “and” after “;” at the end of Section 6.01(1);
and (iii) deleting “;” at the end of Section 6.01(2) and
substituting “.” therefor.

 

(e)           Amendment of Additional Provisions of Original
Indenture.  From and as of
the Operational Time, any and all additional provisions of the Original
Indenture shall be deemed amended to reflect the intentions of the amendments
provided for in this Section 3 and elsewhere herein.

 

4.             EFFECT OF SIXTH SUPPLEMENTAL INDENTURE; OPERATION OF AMENDMENTS.

 

(a)           Effect of Sixth Supplemental Indenture.  In accordance with Section 9.04 of
the Original Indenture, upon the execution of this Sixth Supplemental
Indenture, the Original Indenture shall be modified in accordance herewith, and
this Sixth Supplemental Indenture shall form a part of the Original Indenture
for all purposes; and every Holder of the Notes heretofore authenticated and
delivered under the Original Indenture shall be bound hereby.  Except as modified by this Sixth Supplemental
Indenture, the Original Indenture and the Notes, and the rights of the Holders
of the Notes thereunder, shall remain unchanged and in full force and effect.

 

(b)           Operation of Amendments.  The provisions of this Sixth Supplemental Indenture
shall not become operative until the date and time (such date and time, the “Operational  Time”) the Company
notifies (in writing) The Bank of New York Mellon Trust Company, N.A., as depositary for the Notes under the
Tender Offer (the “Depositary”),
that the Company has purchased Notes tendered and not withdrawn pursuant to the
Tender Offer.  In the event the Company
notifies (in writing) the Depositary that it has withdrawn or terminated the
Tender

 

2

 

Offer prior to the Operational Time, this Sixth
Supplemental Indenture shall be terminated and be of no force or effect and the
Original Indenture shall not be modified hereby.  The Company shall promptly notify the Trustee
in writing of any notice it gives to the Depositary.

 

5.             MATTERS CONCERNING THE TRUSTEE.  The Trustee accepts the trusts of the
Original Indenture, as amended and supplemented by this Sixth Supplemental Indenture,
and agrees to perform the same, but only upon the terms and conditions set
forth in the Original Indenture, as amended and supplemented by this Sixth
Supplemental Indenture, to which the parties hereto and the Holders from time
to time of the Notes agree and, except as expressly set forth in the Original
Indenture, as amended and supplemented by this Sixth Supplemental Indenture,
shall incur no liability or responsibility in respect thereof.  Without limiting the generality of the foregoing,
the recitals contained herein shall be taken as the statements of the Company,
and the Trustee assumes no responsibility for their correctness, and the
Trustee makes no representation as to the validity or sufficiency of this Sixth
Supplemental Indenture or any consents thereto.

 

6.             RATIFICATION AND CONFIRMATION OF THE ORIGINAL INDENTURE.  Except as expressly amended hereby, the
Original Indenture is in all respects ratified and confirmed and all the terms,
provisions and conditions thereof shall be and remain in full force and effect.

 

7.             MISCELLANEOUS.

 

(a)           Binding Effect.  All agreements of the Company in this Sixth
Supplemental Indenture shall be binding upon the Company’s successors.  All agreements of the Trustee in this Sixth
Supplemental Indenture shall be binding upon its successors.

 

(b)           Governing Law.  THE INTERNAL LAW OF THE
STATE OF NEW YORK SHALL GOVERN AND BE USED TO CONSTRUE THIS SUPPLEMENTAL
INDENTURE BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF
LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION
WOULD BE REQUIRED THEREBY.

 

(c)           Conflict with Trust Indenture Act of 1939.  If and to the extent that any provision of
this Sixth Supplemental Indenture limits, qualifies or conflicts with the
duties imposed by Sections 310-317 of the Trust Indenture Act of 1939, as
amended (the “Trust Indenture Act”), by
operation of Section 318(c) of the Trust Indenture Act, the imposed
duties shall control.

 

(d)           Effect of Headings.  The Section headings
herein are for convenience only and shall not affect the construction hereof.

 

(e)           Counterparts.  The parties may sign any
number of copies of this Sixth Supplemental Indenture.  Each signed copy shall be an original, but
all of them together represent the same agreement.

 

(f)            Severability.  In case any provision of this Sixth
Supplemental Indenture shall be determined to be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions hereof or of the Original Indenture shall not in any way be affected
or impaired thereby.

 

(signature page follows)

 

3

 

IN WITNESS WHEREOF, the
parties hereto have caused this Sixth Supplemental Indenture to be duly
executed and attested, all as of the date above first written.

 

Dated: December 29,
2009

 

	
   

  	
   

  	
  COMPANY:

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TRIMAS CORPORATION

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ ROBERT J. ZALUPSKI

  
	
   

  	
   

  	
  Name:  Robert J. Zalupski

  
	
   

  	
   

  	
  Title:  Vice President Finance,
  Corporate Development & Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  TRIMAS COMPANY LLC

  
	
   

  	
  ARROW ENGINE COMPANY

  
	
   

  	
  CEQUENT PERFORMANCE
  PRODUCTS, INC.

  
	
   

  	
  CEQUENT CONSUMER PRODUCTS,
  INC.

  
	
   

  	
  COMPAC CORPORATION

  
	
   

  	
  DEW TECHNOLOGIES, INC.

  
	
   

  	
  HI-VOL PRODUCTS LLC

  
	
   

  	
  KEO CUTTERS, INC.

  
	
   

  	
  LAKE ERIE PRODUCTS
  CORPORATION

  
	
   

  	
  MONOGRAM AEROSPACE
  FASTENERS, INC.

  
	
   

  	
  NI INDUSTRIES, INC.

  
	
   

  	
  NORRIS CYLINDER COMPANY

  
	
   

  	
  RICHARDS MICRO-TOOL, INC.

  
	
   

  	
  RIEKE CORPORATION

  
	
   

  	
  RIEKE LEASING CO.,
  INCORPORATED

  
	
   

  	
  RIEKE OF MEXICO, INC.

  
	
   

  	
  THE HAMMERBLOW COMPANY,
  LLC

  
	
   

  	
  TRIMAS INTERNATIONAL HOLDINGS LLC,

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ ROBERT J. ZALUPSKI

  
	
   

  	
   

  	
  Name: Robert J. Zalupski 

  
	
   

  	
   

  	
  Title: Vice President & Treasurer

  

 

[Supplemental
Indenture]

 

4

 

	
   

  	
   

  	
  LAMONS GASKET COMPANY,

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  s/ HENRY GUND

  
	
   

  	
   

  	
  Name: Henry Gund

  
	
   

  	
   

  	
  Title: Vice President & Treasurer

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TOWING HOLDING LLC,

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ ROBERT J. ZALUPSKI

  
	
   

  	
   

  	
  Name: Robert J. Zalupski

  
	
   

  	
   

  	
  Title: Treasurer

  

 

[Supplemental
Indenture]

 

5

 

	
   

  	
   

  	
   

  	
  THE BANK OF NEW YORK MELLON

  
	
   

  	
   

  	
   

  	
  as Trustee

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ MARY MISELIS

  
	
   

  	
   

  	
   

  	
  Name:  Mary Miselis

  
	
   

  	
   

  	
   

  	
  Title: Vice
  President

  

 

6Exhibit 10.1

 

EXHIBIT A

 

 

CREDIT AGREEMENT

 

dated as of June 6,
2002,

 

as Amended and Restated as
of August 2, 2006,

 

as Further Amended and
Restated as of December 16, 2009, and January 13, 2010,

 

among

 

TRIMAS CORPORATION,

 

TRIMAS COMPANY LLC,

 

The Subsidiary Term
Borrowers Party Hereto,

The Foreign Subsidiary
Borrowers Party Hereto,

The Lenders Party Hereto,

 

JPMORGAN CHASE BANK, N.A.,

as Administrative Agent and Collateral Agent

 

and

 

COMERICA BANK,

as Syndication Agent

 

 

J.P. MORGAN SECURITIES INC.,

as Lead Arranger and Bookrunner

 

 

 

TABLE OF CONTENTS

 

	
   

  	
  Page

  
	
   

  	
   

  
	
  ARTICLE I

  
	
   

  
	
  Definitions

  
	
   

  	
   

  
	
  SECTION 1.01.  Defined Terms

  	
  1

  
	
  SECTION 1.02.  Classification of Loans and Borrowings

  	
  47

  
	
  SECTION 1.03.  Terms Generally

  	
  47

  
	
  SECTION 1.04.  Accounting Terms; GAAP

  	
  48

  
	
  SECTION 1.05.  Exchange Rates

  	
  48

  
	
  SECTION 1.06.  Redenomination of Certain Foreign Currencies

  	
  49

  
	
   

  	
   

  
	
  ARTICLE
  II

  
	
   

  	
   

  
	
  The
  Credits

  
	
   

  	
   

  
	
  SECTION 2.01.  Commitments; Deposit Account

  	
  49

  
	
  SECTION 2.02.  Loans and Borrowings

  	
  54

  
	
  SECTION 2.03.  Requests for Borrowings

  	
  56

  
	
  SECTION 2.04.  Swingline Loans

  	
  57

  
	
  SECTION 2.05.  Letters of Credit

  	
  58

  
	
  SECTION 2.06.  Funding of Borrowings

  	
  66

  
	
  SECTION 2.07.  Interest Elections

  	
  67

  
	
  SECTION 2.08.  Termination and Reduction of Commitments

  	
  68

  
	
  SECTION 2.09.  Repayment of Loans; Evidence of Debt

  	
  69

  
	
  SECTION 2.10.  Amortization of Tranche B Term Loans

  	
  71

  
	
  SECTION 2.11.  Prepayment of Loans

  	
  73

  
	
  SECTION 2.12.  Fees

  	
  76

  
	
  SECTION 2.13.  Interest

  	
  78

  
	
  SECTION 2.14.  Alternate Rate of Interest

  	
  79

  
	
  SECTION 2.15.  Increased Costs

  	
  79

  
	
  SECTION 2.16.  Break Funding Payments

  	
  81

  
	
  SECTION 2.17.  Taxes

  	
  82

  
	
  SECTION 2.18.  Payments Generally; Pro Rata Treatment;
  Sharing of Set-offs

  	
  83

  
	
  SECTION 2.19.  Mitigation Obligations; Replacement of
  Lenders

  	
  86

  
	
  SECTION 2.20.  Additional Reserve Costs

  	
  87

  
	
  SECTION 2.21.  Designation of Foreign Subsidiary Borrowers

  	
  87

  
	
  SECTION 2.22.  Foreign Subsidiary Borrower Costs

  	
  88

  
	
  SECTION 2.23.  Increase in or Conversion of Commitments

  	
  88

  
	
  SECTION 2.24.  Defaulting Lenders

  	
  90

  

 

 

	
  ARTICLE
  III

  
	
   

  	
   

  
	
  Representations
  and Warranties

  
	
   

  	
   

  
	
  SECTION 3.01.  Organization; Powers

  	
  92

  
	
  SECTION 3.02.  Authorization; Enforceability

  	
  93

  
	
  SECTION 3.03.  Governmental Approvals; No Conflicts

  	
  93

  
	
  SECTION 3.04.  Financial Condition; No Material Adverse
  Change

  	
  93

  
	
  SECTION 3.05.  Properties

  	
  94

  
	
  SECTION 3.06.  Litigation and Environmental Matters

  	
  94

  
	
  SECTION 3.07.  Compliance with Laws and Agreements

  	
  95

  
	
  SECTION 3.08.  Investment Company Status

  	
  95

  
	
  SECTION 3.09.  Taxes

  	
  95

  
	
  SECTION 3.10.  ERISA

  	
  95

  
	
  SECTION 3.11.  Disclosure

  	
  95

  
	
  SECTION 3.12.  Subsidiaries

  	
  96

  
	
  SECTION 3.13.  Insurance

  	
  96

  
	
  SECTION 3.14.  Labor Matters

  	
  96

  
	
  SECTION 3.15.  Solvency

  	
  96

  
	
  SECTION 3.16.  Senior Indebtedness

  	
  97

  
	
  SECTION 3.17.  Security Documents

  	
  97

  
	
  SECTION 3.18.  Federal Reserve Regulations

  	
  98

  
	
   

  	
   

  
	
  ARTICLE
  IV

  
	
   

  	
   

  
	
  Conditions

  
	
   

  	
   

  
	
  SECTION 4.01.  [Intentionally Omitted.]

  	
  98

  
	
  SECTION 4.02.  Each Credit Event

  	
  98

  
	
  SECTION 4.03.  Credit Events Relating to Foreign Subsidiary
  Borrowers

  	
  99

  
	
   

  	
   

  
	
  ARTICLE V

  
	
   

  	
   

  
	
  Affirmative Covenants

  
	
   

  	
   

  
	
  SECTION 5.01.  Financial Statements and Other Information

  	
  100

  
	
  SECTION 5.02.  Notices of Material Events

  	
  102

  
	
  SECTION 5.03.  Information Regarding Collateral

  	
  102

  
	
  SECTION 5.04.  Existence; Conduct of Business; Asset
  Dropdown

  	
  103

  
	
  SECTION 5.05.  Payment of Obligations

  	
  103

  
	
  SECTION 5.06.  Maintenance of Properties

  	
  103

  
	
  SECTION 5.07.  Insurance

  	
  104

  
	
  SECTION 5.08.  Casualty and Condemnation

  	
  104

  
	
  SECTION 5.09.  Books and Records; Inspection and Audit
  Rights

  	
  104

  
	
  SECTION 5.10.  Compliance with Laws

  	
  105

  
	
  SECTION 5.11.  Use of Proceeds and Letters of Credit

  	
  105

  

 

ii

 

	
  SECTION 5.12.  Additional Subsidiaries

  	
  105

  
	
  SECTION 5.13.  Further Assurances

  	
  105

  
	
  SECTION 5.14.  Interest Rate Protection

  	
  106

  
	
   

  	
   

  
	
  ARTICLE
  VI

  
	
   

  	
   

  
	
  Negative
  Covenants

  
	
   

  	
   

  
	
  SECTION 6.01.  Indebtedness; Certain Equity Securities

  	
  106

  
	
  SECTION 6.02.
   Liens

  	
  109

  
	
  SECTION 6.03.
   Fundamental Changes

  	
  111

  
	
  SECTION 6.04.  Investments, Loans, Advances, Guarantees and
  Acquisitions

  	
  112

  
	
  SECTION 6.05.  Asset Sales

  	
  114

  
	
  SECTION 6.06.  Sale and Leaseback Transactions

  	
  116

  
	
  SECTION 6.07.  Hedging Agreements

  	
  116

  
	
  SECTION 6.08.  Restricted Payments; Certain Payments of
  Indebtedness

  	
  116

  
	
  SECTION 6.09.  Transactions with Affiliates

  	
  118

  
	
  SECTION 6.10.  Restrictive Agreements

  	
  119

  
	
  SECTION 6.11.  Amendment of Material Documents

  	
  120

  
	
  SECTION 6.12.  Interest Expense Coverage Ratio

  	
  120

  
	
  SECTION 6.13.  Leverage Ratio

  	
  121

  
	
  SECTION 6.14.  Capital Expenditures

  	
  121

  
	
   

  	
   

  
	
  ARTICLE
  VII

  
	
   

  	
   

  
	
  Events of
  Default

  
	
   

  	
   

  
	
  ARTICLE
  VIII

  
	
   

  	
   

  
	
  The
  Administrative Agent

  
	
   

  	
   

  
	
  ARTICLE
  IX

  
	
   

  	
   

  
	
  Collection
  Allocation Mechanism

  
	
   

  	
   

  
	
  SECTION 9.01.  Implementation of CAM

  	
  128

  
	
  SECTION 9.02.  Letters of Credit

  	
  128

  
	
   

  	
   

  
	
  ARTICLE X

  
	
   

  	
   

  
	
  Miscellaneous

  
	
   

  	
   

  
	
  SECTION 10.01.  Notices

  	
  130

  
	
  SECTION 10.02.  Waivers; Amendments

  	
  131

  
	
  SECTION 10.03.  Expenses; Indemnity; Damage Waiver

  	
  134

  

 

iii

 

	
  SECTION 10.04.  Successors and Assigns

  	
  135

  
	
  SECTION 10.05.  Survival

  	
  139

  
	
  SECTION 10.06.  Counterparts; Integration; Effectiveness

  	
  139

  
	
  SECTION 10.07.  Severability

  	
  139

  
	
  SECTION 10.08.  Right of Setoff

  	
  139

  
	
  SECTION 10.09.  Governing Law; Jurisdiction; Consent to
  Service of Process

  	
  140

  
	
  SECTION 10.10.  WAIVER OF JURY TRIAL

  	
  140

  
	
  SECTION 10.11.  Headings

  	
  141

  
	
  SECTION 10.12.  Confidentiality

  	
  141

  
	
  SECTION 10.13.  Interest Rate Limitation

  	
  142

  
	
  SECTION 10.14.  Judgment Currency

  	
  142

  
	
  SECTION 10.15.  Obligations
  Joint and Several

  	
  143

  

 

	
  SCHEDULES:(1)

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 1.01(a)

  	
   

  	
  —

  	
   

  	
  Mortgaged Property

  
	
  Schedule 2.01

  	
   

  	
  —

  	
   

  	
  Commitments

  
	
  Schedule 3.05

  	
   

  	
  —

  	
   

  	
  Real Property

  
	
  Schedule 3.06

  	
   

  	
  —

  	
   

  	
  Disclosed Matters

  
	
  Schedule 3.12

  	
   

  	
  —

  	
   

  	
  Subsidiaries

  
	
  Schedule 3.13

  	
   

  	
  —

  	
   

  	
  Insurance

  
	
  Schedule 3.17(d)

  	
   

  	
  —

  	
   

  	
  Mortgage Filing Offices

  
	
  Schedule 6.01(a)(iii)

  	
   

  	
  —

  	
   

  	
  Existing Indebtedness

  
	
  Schedule 6.02

  	
   

  	
  —

  	
   

  	
  Existing Liens

  
	
  Schedule 6.04

  	
   

  	
  —

  	
   

  	
  Existing Investments

  
	
  Schedule 6.05

  	
   

  	
  —

  	
   

  	
  Asset Sales

  
	
  Schedule 6.09

  	
   

  	
  —

  	
   

  	
  Existing Affiliate Transactions

  
	
  Schedule 6.10

  	
   

  	
  —

  	
   

  	
  Existing Restrictions

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  EXHIBITS:(2)

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A

  	
   

  	
  —

  	
   

  	
  Form of Assignment and Acceptance

  
	
  Exhibit B

  	
   

  	
  —

  	
   

  	
  Form of Opinion of Parent Borrower’s Counsel

  
	
  Exhibit C

  	
   

  	
  —

  	
   

  	
  Form of Foreign Subsidiary Borrowing Agreement

  
	
  Exhibit D

  	
   

  	
  —

  	
   

  	
  Form of Guarantee Agreement

  
	
  Exhibit E

  	
   

  	
  —

  	
   

  	
  [Intentionally Omitted]

  
	
  Exhibit F

  	
   

  	
  —

  	
   

  	
  Form of Indemnity, Subrogation and
  Contribution Agreement

  
	
  Exhibit G

  	
   

  	
  —

  	
   

  	
  Form of Mortgage

  
	
  Exhibit H

  	
   

  	
  —

  	
   

  	
  Form of Pledge Agreement

  

 

(1) Schedules
are not being restated.

(2) Exhibits
are not being restated.

 

iv

 

	
  Exhibit I

  	
   

  	
  —

  	
   

  	
  Form of Security Agreement

  
	
  Exhibit J

  	
   

  	
  —

  	
   

  	
  Form of Subordination and Other Provisions

  
	
  Exhibit K

  	
   

  	
  —

  	
   

  	
  Mandatory Costs Rate

  
	
  Exhibit L

  	
   

  	
  —

  	
   

  	
  Description of Intercreditor Agreement

  

 

v

 

CREDIT AGREEMENT dated as of June 6, 2002, as amended and restated
as of August 2, 2006, as further amended and restated as of December 16,
2009, and January 13, 2010, among TRIMAS COMPANY LLC, TRIMAS CORPORATION,
the SUBSIDIARY TERM BORROWERS party hereto, the FOREIGN SUBSIDIARY BORROWERS
party hereto, the LENDERS party hereto and JPMORGAN CHASE BANK, N.A., as
Administrative Agent and Collateral Agent, and COMERICA BANK, as Syndication
Agent.

 

The parties hereto agree as
follows:

 

ARTICLE I

 

Definitions

 

SECTION 1.01.  Defined Terms.  As used in this Agreement, the following
terms have the meanings specified below:

 

“ABR”, when used in reference to any
Loan or Borrowing, refers to whether such Loan, or the Loans comprising such
Borrowing, are bearing interest at a rate determined by reference to the
Alternate Base Rate.

 

“Acquired Assets” means (a) the
consolidated tangible assets acquired pursuant to a Permitted Acquisition
during any fiscal year determined in accordance with GAAP (the “Specified
Amount”), provided that if such Permitted Acquisition is not
consummated during the first quarter of a fiscal year, Acquired Assets for such
fiscal year shall be determined by multiplying the Specified Amount by (i) 0.75
if such Permitted Acquisition is consummated during the second quarter of such
fiscal year, (ii) 0.50 if such Permitted Acquisition is consummated during
the third quarter of such fiscal year and (iii) 0.25 if such Permitted
Acquisition is consummated during the fourth quarter of such fiscal year and (b) with
respect to any fiscal year occurring after such Permitted Acquisition, the
Specified Amount.

 

“Acquisition Lease Financing” means
any sale or transfer by the Parent Borrower or any Subsidiary of any property,
real or personal, that is acquired pursuant to a Permitted Acquisition, in an
aggregate amount, not to exceed at any time $50,000,000, after the Restatement
Effective Date that is rented or leased by the Parent Borrower or such
Subsidiary so long as the proceeds from such transaction consist solely of
cash; provided that such amount shall increase to $75,000,000 upon
completion of the IPO Repayment Event.

 

“Adjusted LIBO Rate” means, with
respect to any Eurocurrency Borrowing for any Interest Period, an interest rate
per annum (rounded upwards, if necessary, to the next 1/16 of 1%) equal to (a) the
LIBO Rate for such Interest Period multiplied by (b) the Statutory Reserve
Rate.

 

 

“Administrative Agent” means JPMCB, in
its capacity as administrative agent for the Lenders hereunder.  With respect to Foreign Currency Borrowings,
the Administrative Agent may be an Affiliate of JPMCB for purposes of
administering such Borrowings, and all references herein to the term “Administrative
Agent” shall be deemed to refer to the Administrative Agent in respect of the
applicable Borrowing or to all Administrative Agents, as the context requires.

 

“Administrative Questionnaire” means
an Administrative Questionnaire in a form supplied by the Administrative Agent.

 

“Affiliate” means, with respect to a
specified Person, another Person that directly, or indirectly through one or
more intermediaries, Controls or is Controlled by or is under common Control
with the Person specified.

 

“Agents” means, collectively, the
Administrative Agent, the Collateral Agent and Comerica Bank, as syndication
agent.

 

“Alternate Base Rate” means, for any
day, a rate per annum equal to (a) in the case of Class A Revolving
Loans, Class C Revolving Loans, Class A Tranche B Term Loans and Class A
Tranche B-1 Loans, the greatest of (i) the Prime Rate in effect on such
day, (ii) the Federal Funds Effective Rate in effect on such day
plus 1⁄2 of 1% and (iii) the Adjusted LIBO Rate (after giving effect to
the 2.00% floor referred to in the definition of “LIBO Rate”, for purposes of
determining interest rates applicable to Class A Tranche B Loans and Class A
Tranche B-1 Loans) on such day (or if such day is not a Business Day, the
immediately preceding Business Day) for a deposit in dollars with a maturity of
one month plus 1% and (b) in the case of Class B Revolving Loans, Class B
Tranche B Term Loans and Class B Tranche B-1 Loans, the greater of (i) the
Prime Rate in effect on such day and (ii) the Federal Funds Effective Rate
in effect on such day plus 1⁄2 of 1%. 
Any change in the Alternate Base Rate due to a change in the Prime Rate,
the Federal Funds Effective Rate or the Adjusted LIBO Rate shall be effective
from and including the effective date of such change in the Prime Rate, the
Federal Funds Effective Rate or the Adjusted LIBO Rate, as the case may be.

 

“Amendment and Restatement Agreement”
means the Amendment and Restatement Agreement dated as of December 16,
2009, among the Parent Borrower, Holdings, the Lenders party thereto and JPMCB,
as Administrative Agent.

 

“Applicable Rate” means, for any day, (a) with
respect to any ABR Class A Tranche B Term Loan, 3.00%, (b) with
respect to any ABR Class B Tranche B Term Loan, 1.75%, (c) with
respect to any Eurocurrency Class A Tranche B Term Loan or Eurocurrency Class A
Tranche B-1 Loan, 4.00%, (d) with respect to any Eurocurrency Class B
Tranche B Term Loan or Eurocurrency Class B Tranche B-1 Loan, 2.75%, (e) with
respect to any Swingline Loan, the applicable percentage set forth below under
the caption “Class A ABR Spread”, (f) with respect to any ABR Class A
Revolving Loan, ABR Class C Revolving Loan, Eurocurrency Class A
Revolving Loan, or Eurocurrency Class C Revolving Loan, the applicable
percentage set forth below under the caption 

 

2

 

“Class A and Class C
ABR Spread” or “Class A and Class C Eurocurrency Spread”, as the case
may be, based upon the Leverage Ratio as of the most recent determination date:

 

	
  Class A Applicable Rate

  

 

	
  Leverage Ratio

  	
   

  	
  Class A and

  Class C ABR

  Spread

  	
   

  	
  Class A and

  Class C

  Eurocurrency

  Spread

  	
   

  
	
  Category 1:  Greater than or equal to 3.00 to 1.00

  	
   

  	
  3.00

  	
  %

  	
  4.00

  	
  %

  
	
  Category 2:  Less than 3.00 to 1.00

  	
   

  	
  2.75

  	
  %

  	
  3.75

  	
  %

  

 

(g) with respect to any ABR Class B
Revolving Loan or Eurocurrency Class B Revolving Loan, the applicable
percentage set forth below under the caption “Class B ABR Spread” or “Class B
Eurocurrency Spread”, as the case may be, based upon the Leverage Ratio as of
the most recent determination date:

 

	
  Class B Applicable Rate

  

 

	
  Leverage Ratio

  	
   

  	
  Class B ABR

  Spread

  	
   

  	
  Class B

  Eurocurrency

  Spread

  	
   

  
	
  Category 1:  Greater than or equal to 4.50 to 1.00

  	
   

  	
  1.75

  	
  %

  	
  2.75

  	
  %

  
	
  Category 2:  Less than 4.50 to 1.00 but greater than
  or equal to 4.00 to 1.00

  	
   

  	
  1.50

  	
  %

  	
  2.50

  	
  %

  
	
  Category 3:  Less than 4.00 to 1.00

  	
   

  	
  1.25

  	
  %

  	
  2.25

  	
  %

  

 

and (h) with respect to the Commitment
Fees (i) 0.75% in respect of Class A Revolving Commitments and Class C
Revolving Commitments and (ii) 0.50% in respect of Class B Revolving
Commitments.

 

For purposes of the foregoing clauses (e), (f) and
(g), (i) the Leverage Ratio shall be determined as of the end of each
fiscal quarter of the Parent Borrower’s fiscal year based upon Holdings’
consolidated financial statements delivered pursuant to Section 5.01(a) or
(b) and (ii) each change in the Applicable Rate resulting from a
change in the Leverage Ratio shall be effective during the period commencing on
and including the date of delivery to the Administrative Agent of such
consolidated financial statements indicating such change and ending on the date
immediately preceding the effective date of the next such change; provided
that the Applicable Rate shall be deemed to be in Category 1 (A) at
any time that an Event of Default has occurred and is continuing or 

 

3

 

(B) if Holdings or the
Parent Borrower fails to deliver the consolidated financial statements required
to be delivered by it pursuant to Section 5.01(a) or (b), during the
period from the expiration of the time for delivery thereof until such
consolidated financial statements are delivered.

 

The Applicable Rate (including the Class B
Applicable Rate grid above) in respect of Class B Tranche B Term Loans, Class B
Tranche B-1 Loans and Class B Revolving Loans will be decreased by 0.50%
immediately after both the completion of the IPO Repayment Event and the credit
ratings for the Loans are B+ (with stable outlook) or better by S&P and B1
(with stable outlook) or better by Moody’s and for each day thereafter.

 

“Approved Fund” means any Person
(other than a natural person) that is engaged in making, purchasing, holding or
investing in bank loans and similar extensions of credit in the ordinary course
and that is administered or managed by (a) a Lender, (b) an Affiliate
of a Lender or (c) an entity or an Affiliate of an entity that administers
or manages a Lender.

 

“Assessment Rate” means, for any day,
the annual assessment rate in effect on such day that is payable by a member of
the Bank Insurance Fund classified as “well-capitalized” and within supervisory
subgroup “B” (or a comparable successor risk classification) within the meaning
of 12 C.F.R. Part 327 (or any successor provision) to the Federal Deposit
Insurance Corporation for insurance by such Corporation of time deposits made
in dollars at the offices of such member in the United States; provided
that if, as a result of any change in any law, rule or regulation, it is
no longer possible to determine the Assessment Rate as aforesaid, then the
Assessment Rate shall be such annual rate as shall be determined by the
Administrative Agent to be representative of the cost of such insurance to the
Lenders.

 

“Asset Dropdown” means the sale or
contribution by Holdings to the Parent Borrower or any Subsidiary of all of its
assets to the extent permitted by applicable law or third party contracts,
except as otherwise agreed to by the Administrative Agent.

 

“Assignment and Acceptance” means an
assignment and acceptance entered into by a Lender and an assignee (with the
consent of any party whose consent is required by Section 10.04), and
accepted by the Administrative Agent, in the form of Exhibit A to the
Existing Credit Agreement or any other form approved by the Administrative
Agent.

 

“Assumed Preferred Stock” means any
preferred stock or preferred equity interests of any Person that becomes a
Subsidiary after the First Restatement Effective Date; provided that (a) such
preferred stock or preferred equity interests exists at the time such Person
becomes a Subsidiary and is not created in contemplation of or in connection
with such Person becoming a Subsidiary and (b) the aggregate liquidation
value of all such outstanding preferred stock and preferred equity interests
shall not exceed $25,000,000 (which amount shall increase to $40,000,000 upon
completion of the IPO

 

4

 

 

Repayment Event) at any time
outstanding, less the aggregate principal amount of Indebtedness incurred and
outstanding pursuant to Section 6.01(a)(xi).

 

“Benchmark LIBO Rate” has the meaning
assigned to such term in Section 2.01(a)(ii)(D).

 

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

 

“Borrowing” means (a) Loans of
the same Class and Type, made, converted or continued on the same date
and, in the case of Eurocurrency Loans, as to which a single Interest Period is
in effect, or (b) a Swingline Loan.

 

“Borrowing Request” means a request by
the Parent Borrower, a Subsidiary Term Borrower or a Foreign Subsidiary
Borrower, as the case may be, for a Borrowing in accordance with Section 2.03.

 

“Business Day” means any day that is
not a Saturday, Sunday or other day on which commercial banks in New York
City are authorized or required by law to remain closed; provided
that (a) when used in connection with any Eurocurrency Loan
denominated in dollars or Sterling, the term “Business Day” shall also
exclude any day on which banks are not open for dealings in dollar deposits in
the London interbank market and (b) when used in connection with any
Revolving Loan denominated in Euro, the term “Business Day” shall also exclude
any day on which the TARGET payment system is not open for the settlement of
payment in Euro.

 

“Calculation Date” means (a) each
date on which a Revolving Loan is made and (b) the last Business Day of
each calendar month.

 

“CAM” shall mean the mechanism for the
allocation and exchange of interests in the Credit Facilities and collections
thereunder established under Article IX.

 

“CAM Exchange” shall mean the exchange
of the Lender’s interests provided for in Section 9.01.

 

“CAM Exchange Date” shall mean the
date on which (a) any event referred to in paragraph (h) or (i) of
Article VII shall occur in respect of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower or (b) an
acceleration of the maturity of the Loans pursuant to Article VII shall
occur.

 

“CAM Percentage” shall mean, as to
each Lender, a fraction, expressed as a decimal, of which (a) the
numerator shall be the aggregate Dollar Equivalent (determined on the basis of
Exchange Rates prevailing on the CAM Exchange Date) of the Specified
Obligations owed to such Lender and such Lender’s participation in undrawn
amounts of Letters of Credit immediately prior to the CAM Exchange Date and (b) the
denominator shall be the aggregate Dollar Equivalent (as so determined) of the 

 

5

 

Specified Obligations owed
to all the Lenders and the aggregate undrawn amount of outstanding Letters of
Credit immediately prior to such CAM Exchange Date.

 

“Capital Expenditures” means, for any
period, without duplication, (a) the additions to property, plant and
equipment and other capital expenditures of Holdings, the Parent Borrower and
its consolidated Subsidiaries (including the Receivables Subsidiary) that are
(or would be) set forth in a consolidated statement of cash flows of Holdings
for such period prepared in accordance with GAAP other than (x) such
additions and expenditures classified as Permitted Acquisitions and (y) such
additions and expenditures made with Net Proceeds from any casualty or other
insured damage or condemnation or similar awards and (b) Capital Lease
Obligations incurred by Holdings, the Parent Borrower and its consolidated
Subsidiaries (including the Receivables Subsidiary) during such period.

 

“Capital Lease Obligations” of any
Person means the obligations of such Person to pay rent or other amounts under
any lease of (or other arrangement conveying the right to use) real or personal
property, or a combination thereof, which obligations are required to be
classified and accounted for as capital leases on a balance sheet of such
Person under GAAP, and the amount of such obligations shall be the capitalized
amount thereof determined in accordance with GAAP.

 

“Change in Control” means (a) the
acquisition by any Person other than Holdings of any direct Equity Interest in
the Parent Borrower; (b) prior to the date of an IPO, any Person or
group (within the meaning of the Securities Exchange Act of 1934 and the rules of
the Securities and Exchange Commission thereunder as in effect on the
Restatement Effective Date) other than Heartland and its Affiliates shall
beneficially own at any time, directly or indirectly (without giving effect,
for avoidance of doubt, to shares owned by Heartland and its Affiliates), a greater
percentage of the aggregate ordinary voting power of Holdings than the
aggregate ordinary voting power of Holdings that is beneficially owned at such
time, directly or indirectly (without giving effect, for avoidance of doubt, to
shares owned by such Person), by Heartland and its Affiliates (treating shares
over which Heartland or its Affiliates have voting authority by right of
contract or otherwise as being owned by Heartland and its Affiliates), unless
Heartland and its Affiliates shall have the right to designate, by right of
contract or otherwise, a majority of the board of directors of Holdings; (c) on
or after an IPO, the acquisition of beneficial ownership, directly or
indirectly, by any Person or group (within the meaning of the Securities Exchange
Act of 1934 and the rules of the Securities and Exchange Commission
thereunder as in effect on the Restatement Effective Date) other than Heartland
and its Affiliates, of Equity Interests representing more than 25% of either
the aggregate ordinary voting power represented by the issued and outstanding
Equity Interests in Holdings and such Person or group beneficially owns at such
time, directly or indirectly (without giving effect, for avoidance of doubt, to
shares owned by Heartland and its Affiliates), a greater percentage of the
aggregate ordinary voting power of Holdings than the aggregate ordinary voting
power of Holdings that is beneficially owned at such time, directly or
indirectly, (without giving effect, for avoidance of doubt, to shares owned by
such Person), by Heartland and its Affiliates (treating shares over which 

 

6

 

Heartland or its Affiliates
have voting authority by right of contract or otherwise as being owned by
Heartland and its Affiliates), unless Heartland and its Affiliates shall have
the right to designate, by right of contract or otherwise, a majority of the
board of directors of Holdings; (d) occupation of a majority of the seats
on the board of directors of Holdings by Persons who were not nominated by
Heartland and its Affiliates or approved by Heartland and its Affiliates; or (e) the
occurrence of any change in control (or similar event, however denominated)
with respect to Holdings or the Parent Borrower under (i) any indenture or
agreement in respect of Material Indebtedness to which Holdings, the Parent
Borrower or any Subsidiary is a party, including the Subordinated Debt
Documents, (ii) any instrument governing any preferred stock of Holdings,
the Parent Borrower or any Subsidiary having a liquidation value or redemption
value in excess of $10,000,000 or (iii) the Permitted Receivables
Financing.

 

“Change in Law” means (a) the
adoption of any law, rule or regulation after the First Restatement
Effective Date, (b) any change in any law, rule or regulation or in
the interpretation or application thereof by any Governmental Authority after
the First Restatement Effective Date or (c) compliance by any Lender or
the Issuing Bank (or, for purposes of Section 2.15(b), by any lending
office of such Lender or by such Lender’s or the Issuing Bank’s holding
company, if any) with any request, guideline or directive (whether or not
having the force of law) of any Governmental Authority made or issued after the
First Restatement Effective Date.

 

“Class”, when used in reference to any
Loan or Borrowing, refers to whether such Loan, or the Loans comprising such
Borrowing, are Class A Revolving Loans, Class B Revolving Loans, Class C
Revolving Loans, Class A Tranche B Term Loans, Class B Tranche B Term
Loans, Class A Tranche B-1 Loans, Class B Tranche B-1 Loans or
Swingline Loans, when used in reference to any Commitment, refers to whether
such Commitment is a Class A Revolving Commitment, Class B Revolving
Commitment, Class C Revolving Commitment, Class A Tranche B-1
Commitment or Class B Tranche B-1 Commitment and when used in reference to
any Lender, refers to whether such Lender is a Class A Revolving Lender, Class B
Revolving Lender, Class C Revolving Lender, Class A Tranche B Lender,
Class B Tranche B Lender, Class A Tranche B-1 Lender or Class B
Tranche B-1 Lender.

 

“Class A/C Revolving Borrowing”
has the meaning assigned to such term in Section 2.02(a).

 

“Class A Foreign Currency Borrowing”
means a Foreign Currency Borrowing comprised of Foreign Currency Loans made by Class A
Revolving Lenders.

 

“Class A Foreign Currency Commitment”
means, with respect to each Class A Revolving Lender, the commitment of
such Class A Revolving Lender to make Foreign Currency Loans and to
acquire participations in Foreign Currency Letters of Credit, expressed as an
amount representing the maximum aggregate amount of such Class A Revolving
Lender’s Foreign Currency Exposure hereunder, as such commitment may be (a) reduced
from time to time pursuant to Section 2.08 and (b) reduced or 

 

7

 

increased from time to time
pursuant to assignments by or to such Revolving Lender pursuant to Section 10.04.  The amount of each Class A Revolving
Lender’s Foreign Currency Commitment as of the Restatement Effective Date or as
of the date on which such Class A Revolving Lender shall have assumed its
Foreign Currency Commitment is set forth on Schedule 2.01 or in the
Assignment and Acceptance pursuant to which such Class A Revolving Lender
shall have assumed its Class A Foreign Currency Commitment, as applicable.

 

“Class A Foreign Currency Exposure”
means, with respect to any Class A Revolving Lender at any time, the
Dollar Equivalent of the sum of the outstanding principal amount of such Lender’s
Foreign Currency Loans and Foreign Currency LC Exposure at such time.

 

“Class A Revolving Applicable
Percentage” means, at any time, with respect to any Class A Revolving
Lender, the percentage of the total Class A Revolving Commitments represented
by such Lender’s Class A Revolving Commitment.  If the Class A Revolving Commitments
have terminated or expired, the Class A Revolving Applicable Percentages
shall be determined based upon the Class A Revolving Commitments most
recently in effect, giving effect to any assignments.

 

“Class A Revolving Availability
Period” means the period from and including the Restatement Effective Date
to but excluding the earlier of the Class A Revolving Commitment
Termination Date and the date of termination of the Class A Revolving
Commitments.

 

“Class A Revolving Commitment”
means, with respect to each Class A Revolving Lender, the commitment, if
any, of such Class A Revolving Lender to make Class A Revolving
Loans, including Foreign Currency Loans, and to acquire participations in
Revolving Letters of Credit, including Foreign Currency Letters of Credit, and
Swingline Loans hereunder, expressed as an amount representing the maximum
aggregate amount of such Class A Revolving Lender’s Class A Revolving
Exposure, including Foreign Currency Exposure, hereunder, as such commitment
may be (a) reduced from time to time pursuant to Section 2.08, (b) reduced
or increased from time to time pursuant to assignments by or to such Lender
pursuant to Section 10.04 and (c) increased or assumed pursuant to
the Incremental Amendment.  The amount of
each Class A Revolving Lender’s Class A Revolving Commitment as of
the Restatement Effective Date or as of the date on which such Class A
Revolving Lender shall have assumed its Class A Revolving Commitment is
set forth on Schedule 2.01 or in the Assignment and Acceptance or
Incremental Amendment pursuant to which such Class A Revolving Lender
shall have assumed its Class A Revolving Commitment, as applicable.

 

“Class A Revolving Commitment
Termination Date” means February 28, 2012; provided that if, on
or prior to February 28, 2012, the Parent Borrower has repaid or
refinanced the Existing Subordinated Notes in full, the Class A Revolving
Commitment Termination Date shall be December 15, 2013.

 

8

 

“Class A Revolving Exposure”
means, with respect to any Class A Revolving Lender at any time, the sum
of the outstanding principal amount of such Class A Revolving Lender’s Class A
Revolving Loans and its Revolving LC Exposure and Swingline Exposure at such
time.

 

“Class A Revolving Lender” means
a Lender with a Class A Revolving Commitment or, if the Class A
Revolving Commitments have terminated or expired, a Lender with Class A
Revolving Exposure.

 

“Class A Revolving Loan” means (a) each
Revolving Loan outstanding under (and as defined in) the Existing Credit
Agreement as of the Restatement Effective Date that became a Class A
Revolving Loan hereunder pursuant to the Amendment and Restatement Agreement
and (b) a Loan made on or after the Restatement Effective Date pursuant to
Section 2.01(a)(i)(A).

 

“Class A Tranche B Lender” means
a Lender with an outstanding Class A Tranche B Term Loan.

 

“Class A Tranche B Maturity Date”
means December 15, 2015, or if such day is not a Business Day, the first
Business Day thereafter; provided that if the Existing Subordinated
Notes have not been repaid or refinanced on or prior to February 28, 2012,
the Class A Tranche B Maturity Date will be February 28, 2012.

 

“Class A Tranche B Term Loan”
means a Tranche B Term Loan outstanding under (and as defined in) the Existing
Credit Agreement as of the Restatement Effective Date that became a Class A
Tranche B Term Loan hereunder pursuant to the Amendment and Restatement
Agreement.

 

“Class A Tranche B-1 Commitment”
means, with respect to each Class A Tranche B-1 Lender, an amount
representing the maximum permitted aggregate amount of such Lender’s Tranche
B-1 Credit Exposure hereunder, as such amount may be (a) reduced from time
to time pursuant to Section 2.08 and (b) reduced or increased from
time to time pursuant to assignments by or to such Lender pursuant to Section 10.04.  For the avoidance of doubt, a Lender’s Class A
Tranche B-1 Commitment shall be deemed “unused” at any time to the extent it
exceeds such Lender’s Tranche B-1 Credit Exposure at such time.  The amount of each Class A Tranche B-1
Lender’s Class A Tranche B-1 Commitment as of the Restatement Effective
Date or as of the date on which such Class A Tranche B-1 Lender became a Class A
Tranche B-1 Lender is set forth on Schedule 2.01 or in the Assignment and
Assumption pursuant to which such Lender shall have assumed its Class A
Tranche B-1 Commitment, as applicable.

 

“Class A Tranche B-1 Lender”
means a Lender with a Class A Tranche B-1 Commitment or, if the Class A
Tranche B-1 Commitments have been reduced to zero, a Lender with a Tranche B-1
Credit Exposure attributable to a Class A Tranche B-1 Commitment.

 

9

 

“Class A Tranche B-1 Loan” means (a) a
Tranche B-1 Loan made under (and as defined in) the Existing Credit Agreement
that as of the Restatement Effective Date became a Class A Tranche B-1
Loan hereunder pursuant to the Amendment and Restatement Agreement or (b) a
Tranche B-1 Loan made on or after the Restatement Effective Date by a Class A
Tranche B-1 Lender.

 

“Class B Foreign Currency Borrowing”
means a Foreign Currency Borrowing comprised of Foreign Currency Loans made by Class B
Revolving Lenders.

 

“Class B Foreign Currency Commitment”
means, with respect to each Class B Revolving Lender, the commitment of
such Class B Revolving Lender to make Foreign Currency Loans, expressed as
an amount representing the maximum aggregate amount of such Class B Revolving
Lender’s Foreign Currency Exposure hereunder, as such commitment may be (a) reduced
from time to time pursuant to Section 2.08 and (b) reduced or
increased from time to time pursuant to assignments by or to such Revolving
Lender pursuant to Section 10.04. 
The amount of each Class B Revolving Lender’s Foreign Currency
Commitment as of the Restatement Effective Date or as of the date on which such
Class B Revolving Lender shall have assumed its Foreign Currency
Commitment is set forth on Schedule 2.01 or in the Assignment and
Acceptance pursuant to which such Class B Revolving Lender shall have
assumed its Foreign Currency Commitment, as applicable.

 

“Class B Foreign Currency Exposure”
means, with respect to any Class B Revolving Lender at any time, the Dollar
Equivalent of the sum of the outstanding principal amount of such Lender’s
Foreign Currency Loans at such time.

 

“Class B Revolving Applicable
Percentage” means, with respect to any Class B Revolving Lender, the
percentage of the total Class B Revolving Commitments represented by such
Lender’s Class B Revolving Commitment. 
If the Class B Revolving Commitments have terminated or expired,
the Class B Revolving Applicable Percentages shall be determined based
upon the Class B Revolving Commitments most recently in effect, giving
effect to any assignments.

 

“Class B Revolving Availability
Period” means the period from and including the Restatement Effective Date
to but excluding the earlier of the Class B Revolving Commitment
Termination Date and the date of termination of the Class B Revolving
Commitments.

 

“Class B Revolving Commitment”
means, with respect to each Class B Revolving Lender, the commitment, if
any, of such Class B Revolving Lender to make Class B Revolving
Loans, including Foreign Currency Loans, expressed as an amount representing
the maximum aggregate amount of such Class B Revolving Lender’s Class B
Revolving Exposure, including Foreign Currency Exposure, hereunder, as such
commitment may be (a) reduced from time to time pursuant to Section 2.08
and (b) reduced or increased from time to time pursuant to assignments by
or to such Lender pursuant to Section 10.04.  The amount of each Class B Revolving
Lender’s Class B Revolving Commitment as of the Restatement Effective Date
or as of the date on which 

 

10

 

such Class B Revolving
Lender shall have assumed its Class B Revolving Commitment is set forth on
Schedule 2.01 or in the Assignment and Acceptance pursuant to which such Class B
Revolving Lender shall have assumed its Class B Revolving Commitment, as
applicable.

 

“Class B Revolving Commitment
Termination Date” means August 2, 2011.

 

“Class B Revolving Exposure”
means, with respect to any Class B Revolving Lender at any time, the sum
of the outstanding principal amount of such Class B Revolving Lender’s Class B
Revolving Loans at such time.

 

“Class B Revolving Lender” means
a Lender with a Class B Revolving Commitment or, if the Class B
Revolving Commitments have terminated or expired, a Lender with Class B
Revolving Exposure.

 

“Class B Revolving Loan” means a
Revolving Loan (a) outstanding under (and as defined in) the Existing
Credit Agreement as of the Restatement Effective Date that became a Class B
Revolving Facility Loan hereunder pursuant to the Amendment and Restatement
Agreement and (b) made by a Class B Revolving Lender on or after the
Restatement Effective Date pursuant to Section 2.01(a)(i)(B).

 

“Class B Tranche B Lender” means
a Lender with an outstanding Class B Tranche B Term Loan.

 

“Class B Tranche B Maturity Date”
means August 2, 2013, or if such day is not a Business Day, the first
Business Day thereafter; provided that if the Existing Subordinated
Notes have not been repaid or refinanced on or prior to February 28, 2012,
the Class B Tranche B Maturity Date will be February 28, 2012.

 

“Class B Tranche B Term Loan”
means a Tranche B Term Loan outstanding under (and as defined in) the Existing
Credit Agreement as of the Restatement Effective Date that became a Class B
Tranche B Term Loan hereunder pursuant to the Amendment and Restatement
Agreement.

 

“Class B Tranche B-1 Commitment”
means, with respect to each Class B Tranche B-1 Lender, an amount
representing the maximum permitted aggregate amount of such Lender’s Tranche
B-1 Credit Exposure hereunder, as such amount may be (a) reduced from time
to time pursuant to Section 2.08 and (b) reduced or increased from
time to time pursuant to assignments by or to such Lender pursuant to Section 10.04.  For the avoidance of doubt, a Lender’s Class B
Tranche B-1 Commitment shall be deemed “unused” at any time to the extent it
exceeds such Lender’s Tranche B-1 Credit Exposure at such time.  The amount of each Class B Tranche B-1
Lender’s Class B Tranche B-1 Commitment as of the Restatement Effective
Date or as of the date on which such Class B Tranche B-1 Lender became a Class B
Tranche B-1 Lender is set forth on Schedule 2.01 or in the Assignment and
Assumption pursuant to which such Lender shall have assumed its Class B
Tranche B-1 Commitment, as applicable.

 

11

 

“Class B Tranche B-1 Lender”
means a Lender with a Class B Tranche B-1 Commitment or, if the Class B
Tranche B-1 Commitments have been reduced to zero, a Lender with a Tranche B-1
Credit Exposure attributable to a Class A Tranche B-1 Commitment.

 

“Class B Tranche B-1 Loan” means (a) a
Tranche B-1 Loan made under (and as defined in) the Existing Credit Agreement
that as of the Restatement Effective Date became a Class B Tranche B-1
Loan hereunder pursuant to the Amendment and Restatement Agreement or (b) a
Tranche B-1 Loan made on or after the Restatement Effective Date by a Class B
Tranche B-1 Lender.

 

“Class C Amendment Effective Date”
means January 13, 2010.

 

“Class C Foreign Currency Borrowing”
means a Foreign Currency Borrowing comprised of Foreign Currency Loans made by Class C
Revolving Lenders.

 

“Class C Foreign Currency Commitment”
means, with respect to each Class C Revolving Lender, the commitment of
such Class C Revolving Lender to make Foreign Currency Loans, expressed as
an amount representing the maximum aggregate amount of such Class C
Revolving Lender’s Foreign Currency Exposure hereunder, as such commitment may
be (a) reduced from time to time pursuant to Section 2.08 and (b) reduced
or increased from time to time pursuant to assignments by or to such Revolving
Lender pursuant to Section 10.04. 
The amount of each Class C Revolving Lender’s Foreign Currency
Commitment (i) in the case of the initial Class C Revolving Lender as
of the Class C Amendment Effective Date, is $0 or (ii) in the case of
a Person that becomes a Class C Revolving Lender by assignment, as of the
date on which such Class C Revolving Lender shall have assumed its Class C
Foreign Currency Commitment, is set forth in the Assignment and Acceptance
pursuant to which such Class C Revolving Lender shall have assumed its Class C
Foreign Currency Commitment.

 

“Class C Foreign Currency Exposure”
means, with respect to any Class C Revolving Lender at any time, the Dollar
Equivalent of the sum of the outstanding principal amount of such Lender’s
Foreign Currency Loans at such time.

 

“Class C Revolving Applicable
Percentage” means, at any time, with respect to any Class C Revolving
Lender, the percentage of the total Class C Revolving Commitments
represented by such Lender’s Class C Revolving Commitment.  If the Class C Revolving Commitments
have terminated or expired, the Class C Revolving Applicable Percentages
shall be determined based upon the Class C Revolving Commitments most
recently in effect, giving effect to any assignments.

 

“Class C Revolving Availability
Period” means the period from and including the Class C Amendment
Effective Date to but excluding the earlier of the Class A Revolving
Commitment Termination Date and the date of termination of the Class C
Revolving Commitments.

 

12

 

“Class C Revolving Commitment”
means, with respect to each Class C Revolving Lender, the commitment, if
any, of such Class C Revolving Lender to make Class C Revolving
Loans, including Foreign Currency Loans, expressed as an amount representing
the maximum aggregate amount of such Class C Revolving Lender’s Class C
Revolving Exposure, including Foreign Currency Exposure, hereunder, as such
commitment may be (a) reduced from time to time pursuant to Section 2.08
and (b) reduced or increased from time to time pursuant to assignments by
or to such Lender pursuant to Section 10.04.  The amount of each Class C Revolving
Lender’s Class C Revolving Commitment (i) in the case of the initial Class C
Revolving Lender as of the Class C Amendment Effective Date, is $5,000,000
or (ii) in the case of a Person that becomes a Class C Revolving
Lender by assignment, as of the date on which such Class C Revolving
Lender shall have assumed its Class C Revolving Commitment, is set forth
in the Assignment and Acceptance pursuant to which such Class C Revolving
Lender shall have assumed its Class C Revolving Commitment.

 

“Class C Revolving Exposure”
means, with respect to any Class C Revolving Lender at any time, the sum
of the outstanding principal amount of such Class C Revolving Lender’s Class C
Revolving Loans.

 

“Class C Revolving Lender” means
a Lender with a Class C Revolving Commitment or, if the Class C
Revolving Commitments have terminated or expired, a Lender with Class C
Revolving Exposure.  The initial Class C
Revolving Lender is Jefferies Finance LLC.

 

“Class C Revolving Loan” means a
Loan made pursuant to Section 2.01(a)(i)(C).

 

“Code” means the Internal Revenue Code
of 1986, as amended from time to time.

 

“Collateral” means any and all “Collateral”,
as defined in any applicable Security Document.

 

“Collateral Agent” means JPMCB, in its
capacity as collateral agent for the Lenders under the Security Documents.  With respect to Foreign Currency Borrowings,
the Collateral Agent may be an Affiliate of JPMCB, for purposes of
administering the collateralization of such Borrowings, and all references
herein to the term “Collateral Agent” shall be deemed to refer to the
Collateral Agent in respect of the applicable Borrowing or to all Collateral
Agents, as the context requires.

 

“Collateral and Guarantee
Requirement” means the requirement that:

 

(a) the
Collateral Agent shall have received from each party thereto (other than the
Collateral Agent) either (i) a counterpart of (A) the Guarantee
Agreement, (B) the Indemnity, Subrogation and Contribution Agreement, (C) the
Pledge Agreement and (D) the Security Agreement in each case duly executed
and delivered on behalf of such Loan Party, or (ii) in the case of any
Person that 

 

13

 

becomes a Loan Party after
the Original Effective Date, a supplement to each of the Guarantee Agreement,
the Indemnity, the Subrogation and Contribution Agreement, the Pledge Agreement
and the Security Agreement, in each case in the form specified therein, duly
executed and delivered on behalf of such Loan Party;

 

(b) all
outstanding Equity Interests of the Parent Borrower and each Subsidiary
(including the Receivables Subsidiary) owned by or on behalf of any Loan Party
shall have been pledged pursuant to the Pledge Agreement (except that the Loan
Parties shall not be required to pledge more than 65% of the outstanding voting
Equity Interests of any Foreign Subsidiary, it being understood that this
exception shall not limit the application of the Foreign Security Collateral
and Guarantee Requirement) and the Collateral Agent shall have received
certificates or other instruments representing all such Equity Interests,
together with stock powers or other instruments of transfer with respect
thereto endorsed in blank;

 

(c) all
Indebtedness of Holdings, the Parent Borrower and each Subsidiary in an
aggregate principal amount that exceeds $500,000 that is owing to any Loan
Party shall be evidenced by a promissory note and shall have been pledged
pursuant to the Pledge Agreement and the Collateral Agent shall have received
all such promissory notes, together with instruments of transfer with respect
thereto endorsed in blank;

 

(d) all
documents and instruments, including Uniform Commercial Code financing
statements, required by law or reasonably requested by the Collateral Agent to
be filed, registered or recorded to create the Liens intended to be created by
the Security Agreement and the Pledge Agreement and perfect such Liens to the
extent required by, and with the priority required by, the Security Agreement
and the Pledge Agreement shall have been filed, registered or recorded or
delivered to the Collateral Agent for filing, registration or recording;

 

(e) the
Collateral Agent shall have received (i) counterparts of a Mortgage with
respect to each Mortgaged Property duly executed and delivered by the record
owner of such Mortgaged Property, (ii) a policy or policies of title
insurance issued by a nationally recognized title insurance company insuring
the Lien of each such Mortgage as a valid first Lien on the Mortgaged Property
described therein, free of any other Liens except as expressly permitted by Section 6.02,
together with such endorsements, coinsurance and reinsurance as the
Administrative Agent or the Required Lenders may reasonably request, and (iii) such
surveys, abstracts, appraisals, legal opinions and other documents as the
Administrative Agent or the Required Lenders may reasonably request with
respect to any such Mortgage or Mortgaged Property; and

 

(f) each
Loan Party (other than the Foreign Subsidiary Borrowers) shall have obtained
all consents and approvals required to be obtained by it in

 

14

 

 

connection with the
execution and delivery of all Security Documents to which it is a party, the
performance of its obligations thereunder and the granting by it of the Liens
thereunder.

 

“Commission” means the Securities and
Exchange Commission or any Governmental Authority succeeding to any or all of
the functions of said Commission.

 

“Commitment” means a Class A
Revolving Commitment, Class B Revolving Commitment, Class C Revolving
Commitment, Class A Tranche B-1 Commitment or Class B Tranche B-1
Commitment, or any combination thereof (as the context requires).

 

“Commitment Fee” has the meaning
assigned to such term in Section 2.12(a).

 

“Commitment Increase” has the meaning
assigned to such term in Section 2.23(b).

 

“Commitment Termination Date” means
the Class A Revolving Commitment Termination Date or the Class B
Revolving Commitment Termination Date, as applicable.

 

“Consolidated Cash Interest Expense”
means, for any period, the excess of (a) the sum, without duplication, of (i) the
interest expense (including imputed interest expense in respect of Capital
Lease Obligations) of Holdings, the Parent Borrower and the Subsidiaries
(including the Receivables Subsidiary) for such period, determined on a
consolidated basis in accordance with GAAP, plus (ii) any interest accrued
during such period in respect of Indebtedness of Holdings, the Parent Borrower
or any Subsidiary (including the Receivables Subsidiary) that is required to be
capitalized rather than included in consolidated interest expense for such period
in accordance with GAAP, plus (iii) any cash payments made during such
period in respect of obligations referred to in clause (b)(iii) below
that were amortized or accrued in a previous period, plus (iv) interest-equivalent
costs associated with any Permitted Receivables Financing, whether accounted
for as interest expense or loss on the sale of receivables, minus (b) the
sum of, without duplication, (i) interest income of Holdings, the Parent
Borrower and the Subsidiaries (including the Receivables Subsidiary) for such
period, determined on a consolidated basis in accordance with GAAP, plus (ii) to
the extent included in such consolidated interest expense for such period,
noncash amounts attributable to amortization of financing costs paid in a
previous period, plus (iii) to the extent included in such consolidated
interest expense for such period, noncash amounts attributable to amortization
of debt discounts or accrued interest payable in kind for such period, plus (iv) to
the extent included in such consolidated interest expense for such period, all
financing fees incurred in connection with the Transactions.

 

“Consolidated EBITDA” means, for any
period, Consolidated Net Income for such period plus (a) without
duplication and to the extent deducted in determining such Consolidated Net
Income, the sum of (i) consolidated interest expense for such 

 

15

 

period, (ii) consolidated
income tax expense for such period (including all single business tax expenses
imposed by state law), (iii) all amounts attributable to depreciation and
amortization for such period, (iv) any extraordinary noncash charges for
such period, (v) all management fees and other fees paid during such
period to Heartland and/or its Affiliates pursuant to the Heartland Management
Agreement to the extent permitted by Section 6.09, (vi) interest-equivalent
costs associated with any Permitted Receivables Financing for such period,
whether accounted for as interest expense or loss on the sale of receivables,
and all Preferred Dividends, (vii) all extraordinary losses during such
period that are either noncash or relate to the retirement of Indebtedness, (viii) noncash
expenses during such period resulting from the grant of Equity Interests to management
and employees of Holdings, the Parent Borrower or any of the Subsidiaries, (ix) the
aggregate amount of deferred financing expenses for such period, (x) all
other noncash expenses or losses of Holdings, the Parent Borrower or any of the
Subsidiaries for such period (excluding any such charge that constitutes an
accrual of or a reserve for cash charges for any future period), (xi) any
nonrecurring fees, expenses or charges realized by Holdings, the Parent
Borrower or any of the Subsidiaries for such period related to any offering of
Equity Interests or incurrence of Indebtedness, whether or not consummated,
(xii) fees and expenses in connection with the Transactions and the
Restatement Transactions, (xiii) any nonrecurring costs and expenses
arising from the integration of any business acquired pursuant to any Permitted
Acquisition consummated after the Restatement Effective Date not to exceed
$15,000,000 in the aggregate (which amount shall increase to $10,000,000 in any
fiscal year and $25,000,000 in the aggregate upon completion of the IPO
Repayment Event), (xiv) any nonrecurring expenses or similar costs relating to
cost savings projects, including restructuring and severance expenses, not to
exceed $32,000,000 in the aggregate from and after October 1, 2009;
provided that no more than $15,000,000 may be counted in any fiscal year
commencing on or after January 1, 2010, (xv) [reserved], (xvi) [reserved],
(xvii) EBITDA from discontinued operations, not to exceed in any fiscal year
$10,000,000, (xviii) losses associated with the prepayment of leases
(whether operating leases or capital leases) outstanding on the Restatement
Effective Date from discontinued operations and (xix) losses or charges
associated with asset sales otherwise permitted hereunder not to exceed in the
aggregate $10,000,000, minus (b) without duplication and to the extent
included in determining such Consolidated Net Income, (i) any
extraordinary gains for such period and (ii) any gains realized from the
retirement of Indebtedness after the Restatement Effective Date, all determined
on a consolidated basis in accordance with GAAP.  If the Parent Borrower or any Subsidiary has acquired
assets to be used or useful in their continuing operations (to the extent
permitted by Section 6.14) in connection with the prepayment of leases
during the relevant period for determining the Senior Leverage Ratio,
Consolidated EBITDA for the relevant period shall be calculated only for
purposes of determining Senior Leverage Ratio after giving pro forma effect
thereto, as if such acquisition of assets and related termination of leases had
occurred on the first day of the relevant period for determining Consolidated
EBITDA. If the Parent Borrower or any Subsidiary has made any Permitted
Acquisition or any sale, transfer, lease or other disposition of assets outside
of the ordinary course of business permitted by Section 6.05 during the
relevant period for determining the Leverage Ratio and the Interest Expense
Coverage Ratio, Consolidated EBITDA for the relevant period shall be calculated
only for purposes of determining 

 

16

 

Leverage Ratio and the
Interest Expense Coverage Ratio after giving pro forma effect thereto, as if
such Permitted Acquisition or sale, transfer, lease or other disposition of
assets (and, in each case, any related incurrence, repayment or assumption of
Indebtedness, with any new Indebtedness being deemed to be amortized over the
relevant period in accordance with its terms, and assuming that any Revolving
Loans borrowed in connection with such acquisition are repaid with excess cash
balances when available) had occurred on the first day of the relevant period
for determining Consolidated EBITDA.  Any
such pro forma calculations may include operating and other expense reductions
and other adjustments for such period resulting from any Permitted Acquisition,
or sale, transfer, lease or other disposition of assets that is being given pro
forma effect to the extent that such operating and other expense reductions and
other adjustments (a) would be permitted pursuant to Article XI of
Regulation S-X under the Securities Act of 1933 (“Regulation S-X”) or (b) are
reasonably consistent with the purpose of Regulation S-X as determined in good
faith by the Parent Borrower in consultation with the Administration Agent.

 

“Consolidated Net Income” means, for
any period, the net income or loss of Holdings, the Parent Borrower and the
Subsidiaries (including the Receivables Subsidiary) for such period determined
on a consolidated basis in accordance with GAAP; provided that there
shall be excluded (a) the income of any Person (other than the Parent
Borrower) in which any other Person (other than the Parent Borrower or any
Subsidiary or any director holding qualifying shares in compliance with
applicable law) owns an Equity Interest, except to the extent of the amount of
dividends or other distributions actually paid to the Parent Borrower or any of
the Subsidiaries during such period, and (b) the income or loss of any
Person accrued prior to the date it becomes a Subsidiary or is merged into or
consolidated with the Parent Borrower or any Subsidiary or the date that such
Person’s assets are acquired by the Parent Borrower or any Subsidiary.

 

“Control” means the possession,
directly or indirectly, of the power to direct or cause the direction of the
management or policies of a Person, whether through the ability to exercise
voting power, by contract or otherwise.  “Controlling”
and “Controlled” have meanings correlative thereto.

 

“Credit Facility” means a category of
Commitments and extensions of credit thereunder.

 

“Default” means any event or condition
which constitutes an Event of Default or which upon notice, lapse of time or
both would, unless cured or waived, become an Event of Default.

 

“Defaulting Lender” means any Class A
Revolving Lender or Class C Revolving Lender, as determined by the
Administrative Agent in its reasonable discretion acting in good faith, that
has (a) failed to fund any portion of its Class A Revolving Loans,
participations in Revolving Letters of Credit or Swingline Loans, or Class C
Revolving Loans, as applicable, within three Business Days of the date required
to be 

 

17

 

funded by it hereunder, (b) notified
the Parent Borrower, the Administrative Agent, the Issuing Bank, the Swingline
Lender or any Lender in writing that it does not intend to comply with any of
its funding obligations under this Agreement or has made a public statement to
the effect that it does not intend to comply with its funding obligations under
this Agreement or under other agreements in which it commits to extend credit, (c) failed,
within three Business Days after request by the applicable Administrative
Agent, to confirm that it will comply with the terms of this Agreement relating
to its obligations to fund prospective Class A Revolving Loans and
participations in then outstanding Revolving Letters of Credit and Swingline
Loans, or Class C Revolving Loans, as applicable, or (d) (i) become
or is insolvent or has a parent company that has become or is insolvent or (ii) become
the subject of a bankruptcy or insolvency proceeding, or has had a receiver,
conservator, trustee or custodian appointed for it, or has taken any action in
furtherance of, or indicating its consent to, approval of or acquiescence in
any such proceeding or appointment or has a parent company that has become the
subject of a bankruptcy or insolvency proceeding, or has had a receiver,
conservator, trustee or custodian appointed for it, or has taken any action in
furtherance of, or indicating its consent to, approval of or acquiescence in
any such proceeding or appointment.

 

“Deposit” means, with respect to each
Lender at any time, amounts actually on deposit in the Deposit Account to the
credit of such Lender’s Sub-Account at
such time.

 

“Deposit Account” means the “TriMas
2006 Credit Agreement Deposit Account” established by the Administrative Agent
at JPMCB pursuant to Section 2.01(a)(ii)(A).

 

“Deposit Return” has the meaning set
forth in Section 2.01(a)(ii)(D).

 

“Disclosed Matters” means the actions,
suits and proceedings and the environmental matters disclosed in
Schedule 3.06.

 

“dollars” or “$” refers to
lawful money of the United States of America.

 

“Dollar Equivalent” means, on any date
of determination, (a) with respect to any amount in dollars, such amount,
and (b) with respect to any amount in any Foreign Currency, the equivalent
in dollars of such amount, determined by the Administrative Agent pursuant to Section 1.05(b) using
the Exchange Rate with respect to such Foreign Currency at the time in effect
under the provisions of such Section.

 

“Domestic Loan Party” means any Loan
Party, other than the Foreign Subsidiary Borrowers.

 

“EMU Legislation” means the
legislative measures of the European Union for the introduction of, changeover
to or operation of the Euro in one or more member states.

 

18

 

“Environmental Laws” means all laws,
rules, regulations, codes, ordinances, orders, decrees, judgments, injunctions,
notices or binding agreements issued, promulgated or entered into by any
Governmental Authority, relating in any way to the environment, preservation or
reclamation of natural resources, the management, Release or threatened Release
of any Hazardous Material or to health and safety matters.

 

“Environmental Liability” means any
liabilities, obligations, damages, losses, claims, actions, suits, judgments,
or orders, contingent or otherwise (including any liability for damages, costs
of environmental remediation, costs of administrative oversight, fines, natural
resource damages, penalties or indemnities), of Holdings, the Parent Borrower
or any Subsidiary (including the Receivables Subsidiary) directly or indirectly
resulting from or relating to (a) compliance or non-compliance with any
Environmental Law, (b) the generation, use, handling, transportation,
storage, treatment or disposal of any Hazardous Materials, (c) any actual
or alleged exposure to any Hazardous Materials, (d) the Release or
threatened Release of any Hazardous Materials or (e) any contract,
agreement or other consensual arrangement pursuant to which liability is
assumed or imposed with respect to any of the foregoing.

 

“Equity Interests” means shares of
capital stock, partnership interests, membership interests in a limited
liability company, beneficial interests in a trust or other equity ownership
interests in a Person or any warrants, options or other rights to acquire such
interests.

 

“ERISA” means the Employee Retirement
Income Security Act of 1974, as amended from time to time.

 

“ERISA Affiliate” means any trade or
business (whether or not incorporated) that, together with the Parent Borrower,
is treated as a single employer under Section 414(b) or (c) of
the Code or, solely for purposes of Section 302 of ERISA and Section 412
of the Code, is treated as a single employer under Section 414 of the
Code.

 

“ERISA Event” means (a) any “reportable
event”, as defined in Section 4043 of ERISA or the regulations issued
thereunder with respect to a Plan (other than an event for which the 30-day
notice period is waived); (b) the existence with respect to any Plan of an
“accumulated funding deficiency” (as defined in Section 412 of the Code or
Section 302 of ERISA), whether or not waived; (c) the filing pursuant
to Section 412(d) of the Code or Section 303(d) of ERISA of
an application for a waiver of the minimum funding standard with respect to any
Plan; (d) the incurrence by the Parent Borrower or any of its ERISA
Affiliates of any liability under Title IV of ERISA with respect to the
termination of any Plan; (e) the receipt by the Parent Borrower or any
ERISA Affiliate from the PBGC or a plan administrator of any notice relating to
an intention to terminate any Plan or Plans or to appoint a trustee to
administer any Plan; (f) the incurrence by the Parent Borrower or any of
its ERISA Affiliates of any liability with respect to the withdrawal or partial
withdrawal from any Plan or Multiemployer Plan; or (g) the receipt by the
Parent Borrower or any ERISA Affiliate of any notice, or 

 

19

 

the receipt by any
Multiemployer Plan from the Parent Borrower or any ERISA Affiliate of any
notice, concerning the imposition of Withdrawal Liability or a determination
that a Multiemployer Plan is, or is expected to be, insolvent or in
reorganization, within the meaning of Title IV of ERISA.

 

“Euro” or “€” means the single
currency of the European Union as constituted by the Treaty on European Union
and as referred to in the EMU Legislation.

 

“Eurocurrency”, when used in reference
to any Loan or Borrowing, refers to whether such Loan, or the Loans comprising
such Borrowing, are bearing interest at a rate determined by reference to the
Adjusted LIBO Rate.

 

“Event of Default” has the meaning
assigned to such term in Article VII.

 

“Excess Cash Flow”
means, for any fiscal year, the sum (without duplication) of:

 

(a) the
Consolidated Net Income for such fiscal year, adjusted to exclude any gains or
losses attributable to Prepayment Events; plus

 

(b) the
excess, if any, of the Net Proceeds received during such fiscal year by
Holdings, the Parent Borrower and its consolidated Subsidiaries (including the
Receivables Subsidiary) in respect of any Prepayment Events over (x) amounts
permitted to be reinvested pursuant to Section 2.11(d) and (y) the
aggregate principal amount of Tranche B Term Loans prepaid pursuant to Section 2.11(d) in
respect of such Net Proceeds; plus

 

(c) depreciation,
amortization and other noncash charges or losses deducted in determining such
consolidated net income (or loss) for such fiscal year; plus

 

(d) the
sum of (i) the amount, if any, by which Net Working Capital (adjusted to
exclude changes arising from Permitted Acquisitions) decreased during such
fiscal year plus (ii) the net amount, if any, by which the consolidated
deferred revenues and other consolidated accrued long-term liability accounts
of Holdings, the Parent Borrower and its consolidated Subsidiaries (including
the Receivables Subsidiary) (adjusted to exclude changes arising from Permitted
Acquisitions) increased during such fiscal year plus (iii) the net amount,
if any, by which the consolidated accrued long-term asset accounts of Holdings,
Parent Borrower and its consolidated Subsidiaries (including the Receivables
Subsidiary) (adjusted to exclude changes arising from Permitted Acquisitions)
decreased during such fiscal year; minus

 

(e) the
sum of (i) any noncash gains included in determining such consolidated net
income (or loss) for such fiscal year plus (ii) the amount, if any, by
which Net Working Capital (adjusted to exclude changes arising from Permitted
Acquisitions) increased during such fiscal year plus (iii) the net amount,

 

20

 

if any, by which the
consolidated deferred revenues and other consolidated accrued long-term
liability accounts of Holdings, the Parent Borrower and its consolidated
Subsidiaries (including the Receivables Subsidiary) (adjusted to exclude
changes arising from Permitted Acquisitions) decreased during such fiscal year
plus (iv) the net amount, if any, by which the consolidated accrued
long-term asset accounts of Holdings, the Parent Borrower and its consolidated
Subsidiaries (including the Receivables Subsidiary) (adjusted to exclude
changes arising from Permitted Acquisitions) increased during such fiscal year;
minus

 

(f) the
sum of (i) Capital Expenditures for such fiscal year (except to the extent
attributable to the incurrence of Capital Lease Obligations or otherwise
financed by incurring Long-Term Indebtedness) plus (ii) cash
consideration paid during such fiscal year to make acquisitions or other
capital investments (except to the extent financed by incurring Long-Term
Indebtedness); minus

 

(g) the
aggregate principal amount of Long-Term Indebtedness repaid or prepaid by
Holdings, the Parent Borrower and its consolidated Subsidiaries (including the
Receivables Subsidiary) during such fiscal year, excluding (i) Indebtedness
in respect of Revolving Loans (except to the extent the Revolving Commitments
are permanently reduced in the amount of and at the time of any such payment)
and Letters of Credit, (ii) Tranche B Term Loans prepaid pursuant to Section 2.11(d) or
(e), (iii) Indebtedness in respect of Tranche B-1 Loans (except to the
extent the Tranche B-1 Commitments are permanently reduced in the amount of and
at the time of such payment) and (iv) repayments or prepayments of
Long-Term Indebtedness financed by incurring other Long-Term Indebtedness; minus

 

(h) the
noncash impact of currency translations and other adjustments to the equity
account, including adjustments to the carrying value of marketable securities
and to pension liabilities, in each case to the extent such items would
otherwise constitute Excess Cash Flow.

 

“Exchange Rate” means on any day, with
respect to any Foreign Currency, the rate at which such Foreign Currency may be
exchanged into dollars, as set forth at approximately 11:00 a.m., London
time, on such day on the Reuters World Currency Page for such Foreign
Currency.  In the event that such rate
does not appear on any Reuters World Currency Page, the Exchange Rate shall be
determined by reference to such other publicly available service for displaying
exchange rates as may be agreed upon by the Administrative Agent and the Parent
Borrower, or, in the absence of such agreement, such Exchange Rate shall
instead be the arithmetic average of the spot rates of exchange of the
Administrative Agent in the market where its foreign currency exchange
operations in respect of such Foreign Currency are then being conducted, at or
about 10:00 a.m., local time, on such date for the purchase of dollars for
delivery two Business Days later; provided that if at the time of
any such determination, for any reason, no such spot rate is being quoted, the
Administrative Agent, after consultation 

 

21

 

with the Parent Borrower,
may use any reasonable method it deems appropriate to determine such rate, and
such determination shall be conclusive absent manifest error.

 

“Excluded Taxes” means, with respect
to the Administrative Agent, any Lender, the Issuing Bank or any other
recipient of any payment to be made by or on account of any obligation of the
Parent Borrower, the Subsidiary Term Borrowers or any Foreign Subsidiary
Borrower hereunder, (a) income or franchise taxes imposed on (or measured
by) its net income by the United States of America, or by the jurisdiction
under the laws of which such recipient is organized or in which its principal
office is located or, in the case of any Lender, in which its applicable
lending office is located, (b) any branch profits Taxes imposed by the
United States of America or any similar Tax imposed by any other
jurisdiction described in clause (a) above and (c) in the case
of a Foreign Lender (other than an assignee pursuant to a request by the Parent
Borrower under Section 2.19(b)), (i) any United States
withholding Tax that is in effect (other than as a result of a reallocation of
obligations by operation of the CAM) and would apply to amounts payable to such
Foreign Lender at the time such Foreign Lender becomes a party to this
Agreement (or designates a new lending office), except to the extent that such
Foreign Lender (or its assignor, if any) was entitled, at the time of
designation of a new lending office (or assignment), to receive additional
amounts from the Parent Borrower with respect to any United States withholding
Tax pursuant to Section 2.17(a) and (ii) any withholding Tax
that is attributable to such Foreign Lenders’ failure to comply with Section 2.17(e).

 

“Existing Credit Agreement” means the
Credit Agreement dated as of June 6, 2002, as amended and restated on August 2,
2006, by and among Holdings, the Parent Borrower, the Administrative Agent and
the other parties thereto, as in effect immediately prior to the Restatement
Effective Date.

 

“Existing Subordinated Notes” means
the 9.875% Subordinated Notes of Holdings due 2012 in the aggregate principal
amount of $437,770,000 (including the Exchange Notes issued in exchange for the
initial Existing Subordinated Notes as contemplated by the registration rights
agreement related thereto) and the Indebtedness represented thereby.

 

“Federal Funds Effective Rate” means,
for any day, the weighted average (rounded upwards, if necessary, to the next
1/100 of 1%) of the rates on overnight Federal funds transactions with members
of the Federal Reserve System arranged by Federal funds brokers, as published
on the next succeeding Business Day by the Federal Reserve Bank of
New York, or, if such rate is not so published for any day that is a
Business Day, the average (rounded upwards, if necessary, to the next 1/100 of
1%) of the quotations for such day for such transactions received by the
Administrative Agent from three Federal funds brokers of recognized standing
selected by it.

 

“Financial Officer” means the chief
financial officer, principal accounting officer, treasurer or controller of
Holdings or the Parent Borrower, as applicable.

 

“First Restatement Effective Date”
means August 2, 2006.

 

22

 

“Foreign Currencies” means Euro and
Sterling.

 

“Foreign Currency Administrative Agent”
means J.P. Morgan Europe Limited, in its capacity as foreign currency
administrative agent for the Lenders hereunder.

 

“Foreign Currency Borrowing” means a
Borrowing comprised of Foreign Currency Loans.

 

“Foreign Currency Commitment” means a Class A
Foreign Currency Commitment, a Class B Foreign Currency Commitment or a Class C
Foreign Currency Commitment.

 

“Foreign Currency Exposure” means Class A
Foreign Currency Exposure, Class B Foreign Currency Exposure or Class C
Foreign Currency Exposure.

 

“Foreign Currency LC Exposure” means,
at any time, the sum of (a) the aggregate undrawn amount of all
outstanding Foreign Currency Letters of Credit at such time plus (b) the
aggregate amount of all LC Disbursements in respect of Foreign Currency Letters
of Credit that have not yet been reimbursed by or on behalf of the Foreign
Subsidiary Borrowers at such time.  The
Foreign Currency LC Exposure of any Class A Revolving Lender at any time
shall be its Class A Revolving Applicable Percentage of the total Foreign
Currency LC Exposure at such time.

 

“Foreign Currency Letter of Credit”
means a Letter of Credit denominated in a Foreign Currency.

 

“Foreign Currency Loan” means a
Revolving Loan denominated in a Foreign Currency.

 

“Foreign Lender” means any Lender that
is organized under the laws of a jurisdiction other than that in which the
Parent Borrower or any Foreign Subsidiary Borrower, as the case may be, is
located.  For purposes of this
definition, the United States of America, each State thereof and the
District of Columbia shall be deemed to constitute a single jurisdiction.

 

“Foreign Security
Collateral and Guarantee Requirement” means the requirement that:

 

(a) the
Collateral Agent shall have received from the applicable Foreign Subsidiary
Borrower and its subsidiaries a counterpart of each Foreign Security Document
relating to the assets (including the capital stock of its subsidiaries) of
such Foreign Subsidiary Borrower, excluding assets as to which the Collateral
Agent shall determine in its reasonable discretion, after consultation with the
Parent Borrower, that the costs and burdens of obtaining a security interest
are excessive in relation to the value of the security afforded thereby;

 

23

 

(b) all
documents and instruments (including legal opinions) required by law or
reasonably requested by the Collateral Agent to be filed, registered or
recorded to create the Liens intended to be created over the assets specified
in clause (a) above and perfect such Liens to the extent required by,
and with priority required by, such Foreign Security Documents, shall have been
filed, registered or recorded or delivered to the Collateral Agent for filing,
registration or recording;

 

(c) such
Foreign Subsidiary Borrower and its subsidiaries shall become a guarantor of
the obligations under the Loan Documents of other Foreign Subsidiary Borrowers,
if any, under a guarantee agreement reasonably acceptable to the Collateral
Agent, in either case duly executed and delivered on behalf of such Foreign
Subsidiary Borrower and such subsidiaries, except that such guarantee shall not
be required if the Collateral Agent shall determine in its reasonable
discretion, after consultation with the Parent Borrower, that the benefits of
such a guarantee are limited and such limited benefits are not justified in
relation to the burdens imposed by such guarantee on the Parent Borrower and
its Subsidiaries; and

 

(d) such
Foreign Subsidiary Borrower shall have obtained all consents and approvals
required to be obtained by it in connection with the execution and delivery of
such Foreign Security Documents, the performance of its obligations thereunder
and the granting by it of the Liens thereunder.

 

“Foreign Security Documents” means any
agreement or instrument entered into by any Foreign Subsidiary Borrower that is
reasonably requested by the Collateral Agent providing for a Lien over the
assets (including shares of other Subsidiaries) of such Foreign Subsidiary
Borrower.

 

“Foreign Subsidiary” means any Subsidiary
that is organized under the laws of a jurisdiction other than the
United States of America or any State thereof or the District of Columbia.

 

“Foreign Subsidiary Borrowers” means
any wholly owned Foreign Subsidiary of the Parent Borrower organized under the
laws of England and Wales, any member nation of the European Union or any other
nation in Europe reasonably acceptable to the Collateral Agent that becomes a
party to this Agreement pursuant to Section 2.21.

 

“Foreign Subsidiary Borrowing Agreement”
means an agreement substantially in the form of Exhibit C to the Existing
Credit Agreement.

 

“GAAP” means generally accepted
accounting principles in the United States of America.

 

“Governmental Authority” means the
government of the United States of America, any other nation or any
political subdivision thereof, whether state or local, and

 

24

 

 

any agency, authority, instrumentality, regulatory body, court, central
bank or other entity exercising executive, legislative, judicial, taxing,
regulatory or administrative powers or functions of or pertaining to
government.

 

“Guarantee”
of or by any Person (the “guarantor”) means any obligation, contingent
or otherwise, of the guarantor guaranteeing or having the economic effect of
guaranteeing any Indebtedness or other obligation of any other Person (the “primary
obligor”) in any manner, whether directly or indirectly, and including any
obligation of the guarantor, direct or indirect, (a) to purchase or pay
(or advance or supply funds for the purchase or payment of) such Indebtedness
or other obligation or to purchase (or to advance or supply funds for the
purchase of) any security for the payment thereof, (b) to purchase or
lease property, securities or services for the purpose of assuring the owner of
such Indebtedness or other obligation of the payment thereof, (c) to
maintain working capital, equity capital or any other financial statement
condition or liquidity of the primary obligor so as to enable the primary
obligor to pay such Indebtedness or other obligation or (d) as an account
party in respect of any letter of credit or letter of guaranty issued to
support such Indebtedness or obligation; provided, that the term
Guarantee shall not include endorsements for collection or deposit in the
ordinary course of business.

 

“Guarantee
Agreement” means the Guarantee Agreement, substantially in the form of Exhibit D
to the Existing Credit Agreement, made by Holdings, the Parent Borrower and the
Subsidiary Loan Parties party thereto in favor of the Collateral Agent for the
benefit of the Secured Parties.

 

“Hazardous
Materials”  means all explosive,
radioactive, hazardous or toxic substances, wastes or other pollutants,
including petroleum or petroleum distillates, asbestos or asbestos containing
materials, polychlorinated biphenyls, radon gas, infectious or medical wastes
and all other substances or wastes of any nature regulated pursuant to any
Environmental Law.

 

“Heartland”
means Heartland Industrial Partners, L.P., a Delaware limited partnership.

 

“Heartland
Management Agreement” means the monitoring agreement dated as of the
Original Effective Date between Heartland (or one or more of its Affiliates)
and Holdings.

 

“Hedging
Agreement” means any interest rate protection agreement, foreign currency
exchange agreement, commodity price protection agreement or other interest or
currency exchange rate or commodity price hedging arrangement.

 

“Holdings”
means TriMas Corporation, a Delaware corporation.

 

“Increase
Effective Date” has the meaning assigned to such term in Section 2.23(b).

 

25

 

“Incremental
Amendment” has the meaning assigned to such term in Section 2.23(c).

 

“Indebtedness”
of any Person means, without duplication, (a) all obligations of such
Person for borrowed money or with respect to advances of any kind, (b) all
obligations of such Person evidenced by bonds, debentures, notes or similar
instruments, (c) all obligations of such Person upon which interest charges are
customarily paid, (d) all obligations of such Person under conditional
sale or other title retention agreements relating to property acquired by such
Person, (e) all obligations of such Person in respect of the deferred
purchase price of property or services (excluding current accounts payable
incurred in the ordinary course of business), (f) all Indebtedness of
others secured by (or for which the holder of such Indebtedness has an existing
right, contingent or otherwise, to be secured by) any Lien on property owned or
acquired by such Person, whether or not the Indebtedness secured thereby has
been assumed, (g) all Guarantees by such Person of Indebtedness of others,
(h) all Capital Lease Obligations of such Person, (i) all
obligations, contingent or otherwise, of such Person as an account party in
respect of letters of credit and letters of guaranty and (j) all
obligations, contingent or otherwise, of such Person in respect of bankers’
acceptances.  The Indebtedness of any
Person shall include the Indebtedness of any other entity (including any
partnership in which such Person is a general partner) to the extent such
Person is liable therefor as a result of such Person’s ownership interest in or
other relationship with such entity, except to the extent the terms of such
Indebtedness provide that such Person is not liable therefor.  Notwithstanding anything to the contrary in
this paragraph, the term “Indebtedness” shall not include (a) agreements
providing for indemnification, purchase price adjustments or similar
obligations incurred or assumed in connection with the acquisition or
disposition of assets or capital stock, (b) trade payables and accrued
expenses in each case arising in the ordinary course of business and (c) Deposits.  For the avoidance of doubt, notwithstanding
any change in GAAP after the Restatement Effective Date that would require
lease obligations that would be treated as operating leases as of the
Restatement Effective Date, to be classified and accounted for as Capital Lease
Obligations or otherwise reflected on Holdings’ consolidated balance sheet,
such obligations shall continue to be excluded from the definition of Indebtedness.

 

“Indemnified
Taxes” means Taxes other than Excluded Taxes.

 

“Indemnity,
Subrogation and Contribution Agreement” means the Indemnity, Subrogation
and Contribution Agreement, substantially in the form of Exhibit F to the
Existing Credit Agreement, among the Parent Borrower, the Subsidiary Loan
Parties party thereto and the Collateral Agent.

 

“Information
Memorandum” means the Confidential Information Memorandum dated June 2006,
relating to the Parent Borrower and the Transactions.

 

“Intercreditor
Agreement” means an intercreditor agreement among the Administrative Agent,
the Collateral Agent, and the holders of Permitted Subordinated Notes
Refinancing Indebtedness, or a trustee or agent acting on behalf of such
holders, on 

 

26

 

terms consistent with those set forth on Exhibit L hereto and
otherwise reasonably satisfactory to the Administrative Agent.

 

“Interest
Election Request” means a request by the Parent Borrower, a Subsidiary Term
Borrower or a Foreign Subsidiary Borrower, as the case may be, to convert or
continue a Revolving Loan or Term Borrowing in accordance with Section 2.07.

 

“Interest
Expense Coverage Ratio” means, as of the last day of any fiscal quarter,
the ratio of (a) Consolidated EBITDA to (b) the sum of (i) Consolidated
Cash Interest Expense and (ii) Preferred Dividends, in each case for the
period of four consecutive fiscal quarters then ended.

 

“Interest
Payment Date” means (a) with respect to any ABR Loan (other than a
Swingline Loan), the last day of each March, June, September and December,
(b) with respect to any Eurocurrency Loan, the last day of the Interest
Period applicable to the Borrowing of which such Loan is a part and, in the
case of a Eurocurrency Borrowing with an Interest Period of more than three
months’ duration, each day prior to the last day of such Interest Period that
occurs at intervals of three months’ duration after the first day of such
Interest Period, and (c) with respect to any Swingline Loan, the day that
such Loan is required to be repaid.

 

“Interest
Period” means, with respect to any Eurocurrency Borrowing, the period
commencing on the date of such Borrowing and ending on the numerically
corresponding day in the calendar month that is one, two, three or
six months thereafter (or nine or twelve months thereafter if, at the time
of the relevant Borrowing, all Lenders participating therein agree to make an
interest period of such duration available), as the Parent Borrower, a
Subsidiary Term Borrower or a Foreign Subsidiary Borrower, as the case may be,
may elect; provided, that (a) if any Interest Period would end on a
day other than a Business Day, such Interest Period shall be extended to the
next succeeding Business Day unless such next succeeding Business Day would
fall in the next calendar month, in which case such Interest Period shall end
on the next preceding Business Day and (b) any Interest Period that
commences on the last Business Day of a calendar month (or on a day for which
there is no numerically corresponding day in the last calendar month of such
Interest Period) shall end on the last Business Day of the last calendar month
of such Interest Period.  For purposes
hereof, the date of a Borrowing initially shall be the date on which such Borrowing
is made and thereafter shall be the effective date of the most recent
conversion or continuation of such Borrowing. 
The amendment to the Existing Credit Agreement effected pursuant to the
Amendment and Restatement Agreement shall not affect any Interest Period for
any Loans outstanding on the Restatement Effective Date.

 

“Investors”
means Heartland, its Affiliates, and the other entities identified by Heartland
as “Investors” to the Administrative Agent prior to the Original Effective
Date.

 

27

 

“IPO”
means an underwritten public offering by Holdings of Equity Interests of
Holdings pursuant to a registration statement filed with the Securities and
Exchange Commission in accordance with the Securities Act of 1933.

 

“IPO
Repayment Event” means repayment of principal in an aggregate minimum
amount of $100,000,000 in respect of (i) Tranche B Term Loans and/or (ii) Existing
Subordinated Notes, in each case contemporaneous with or subsequent to the
consummation of an IPO.

 

“Issuing
Bank” means JPMCB, in its capacity as the issuer of Letters of Credit
hereunder, and its successors in such capacity as provided in Section 2.05(i).  The Issuing Bank may, in its discretion,
arrange for one or more Letters of Credit to be issued by Affiliates of the
Issuing Bank, including with respect to Foreign Currency Letters of Credit, and
in each such case the term “Issuing Bank” shall include any such Affiliate with
respect to Letters of Credit issued by such Affiliate.  In the event that there is more than one
Issuing Bank at any time, references herein and in the other Loan Documents to
the Issuing Bank shall be deemed to refer to the Issuing Bank in respect of the
applicable Letter of Credit or to all Issuing Banks, as the context requires.

 

“JPMCB”
means JPMorgan Chase Bank, N.A.

 

“Judgment
Currency” has the meaning set forth in Section 10.14.

 

“Judgment
Currency Conversion Date” has the meaning set forth in Section 10.14.

 

“LC
Disbursement” means a payment made by the Issuing Bank pursuant to a Letter
of Credit.

 

“LC
Exposure” means, at any time, the sum of (a) the aggregate undrawn
amount of all outstanding Letters of Credit at such time plus (b) the
aggregate amount of all LC Disbursements that have not yet been reimbursed by
or on behalf of the Parent Borrower or the Foreign Subsidiary Borrowers, as the
case may be, at such time.  The LC
Exposure of any Lender at any time shall be the sum of its Class A
Revolving Applicable Percentage of the total Revolving LC Exposure at such time
plus its Tranche B-1 Applicable Percentage of the total Tranche B-1 LC Exposure
at such time.

 

“LC
Reserve Account” has the meaning set forth in Section 9.02(a).

 

“Lender
Affiliate” means, (a) with respect to any Lender, (i) an
Affiliate of such Lender or (ii) any entity (whether a corporation,
partnership, trust or otherwise) that is engaged in making, purchasing, holding
or otherwise investing in bank loans and similar extensions of credit in the
ordinary course of its business and is administered or managed by a Lender or
an Affiliate of such Lender and (b) with respect to any Lender that is a
fund that invests in bank loans and similar extensions of credit, any other
fund that invests in bank loans and similar extensions of credit and is managed
by the same investment advisor as such Lender or by an Affiliate of such
investment advisor.

 

28

 

“Lenders”
means the Persons listed on Schedule 2.01 and any other Person that shall
have become a party hereto pursuant to an Assignment and Acceptance or an
Incremental Amendment, as the case may be, other than any such Person that
ceases to be a party hereto pursuant to an Assignment and Acceptance.  Unless the context otherwise requires, the
term “Lenders” includes the Swingline Lender.

 

“Letter
of Credit” means any letter of credit issued pursuant to this Agreement.

 

“Leverage
Ratio” means, on any date, the ratio of (a) Total Indebtedness as of
such date to (b) Consolidated EBITDA for the period of four consecutive
fiscal quarters of Holdings ended on such date (or, if such date is not the
last day of a fiscal quarter, ended on the last day of the fiscal quarter of
Holdings most recently ended prior to such date for which financial statements
are available).

 

“LIBO
Rate” means, with respect to any Eurocurrency Borrowing (other than such
Borrowings denominated in a Foreign Currency) for any Interest Period, the rate
appearing on Page 3750 of the Dow Jones Market Service (or on any
successor or substitute page of such Service, or any successor to or
substitute for such Service, providing rate quotations comparable to those
currently provided on such page of such Service, as determined by the
Administrative Agent from time to time for purposes of providing quotations of
interest rates applicable to dollar deposits in the London interbank market) at
approximately 11:00 a.m., London time, two Business Days prior to the
commencement of such Interest Period, as the rate for dollar deposits with a
maturity comparable to such Interest Period. With respect to Eurocurrency
Borrowings denominated in a Foreign Currency, the LIBO Rate for any Interest
Period shall be determined by the Administrative Agent at approximately 11:00 a.m.,
London time, on the Quotation Day for such Interest Period by reference to the
British Bankers’ Association Interest Settlement Rates for deposits in the
currency of such Borrowing (as reflected on the applicable Telerate screen) for
a period equal to such Interest Period. 
In the event that such rate is not available at such time for any
reason, then the “LIBO Rate” with respect to such Eurocurrency Borrowing
for such Interest Period shall be the rate at which deposits in the applicable
currency for the Dollar Equivalent of $5,000,000 and for a maturity comparable
to such Interest Period are offered by the principal London office of the
Administrative Agent in immediately available funds in the London interbank
market at approximately 11:00 a.m., London time, two Business Days prior
to the commencement of such Interest Period. 
Notwithstanding the foregoing, at no time shall the LIBO Rate with
respect to any Eurocurrency Borrowing comprised of Class A Tranche B Loans
or Class A Tranche B-1 Loans be less than 2.00%.

 

“Lien”
means, with respect to any asset, (a) any mortgage, deed of trust, lien,
pledge, hypothecation, encumbrance, charge or security interest in, on or of
such asset, (b) the interest of a vendor or a lessor under any conditional
sale agreement, capital lease or title retention agreement (or any financing
lease having substantially the same economic effect as any of the foregoing)
relating to such asset and (c) in the case of 

 

29

 

securities, any purchase option, call or similar right of a third party
with respect to such securities.

 

“Loan
Documents” means this Agreement, the Amendment and Restatement Agreement
and the Security Documents.

 

“Loan
Parties” means Holdings, the Parent Borrower, the Subsidiary Term
Borrowers, the Foreign Subsidiary Borrowers and the other Subsidiary Loan
Parties.

 

“Loans”
means the loans made by the Lenders to the Parent Borrower, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers pursuant to this Agreement.

 

“Long-Term
Indebtedness” means any Indebtedness that, in accordance with GAAP,
constitutes (or, when incurred, constituted) a long-term liability, including
the current portion of any Long-Term Indebtedness.

 

“Mandatory
Costs Rate” has the meaning set forth in Section 2.20.

 

“Margin
Stock” shall have the meaning assigned to such term in Regulation U.

 

“Material
Adverse Effect” means a material adverse effect on (a) the business,
operations, properties, assets, financial condition, or material agreements of
Holdings, the Parent Borrower and the Subsidiaries (including the Receivables
Subsidiary), taken as a whole (it being understood that any effect on the
business, operations, properties, assets, financial condition, or material
agreements of Holdings, the Parent Borrower and the Subsidiaries (including the
Receivables Subsidiary) resulting from the Asset Dropdown will not constitute a
material adverse effect for purposes of this clause (a)), (b) the
ability of any Loan Party in any material respect to perform any of its
obligations under any Loan Document or (c) the rights of or benefits
available to the Lenders under any Loan Document.

 

“Material
Agreements” means (a) any agreements or instruments relating to
Material Indebtedness and (b) the Heartland Management Agreement.

 

“Material
Indebtedness” means (a) Indebtedness in respect of the Existing
Subordinated Notes, the Permitted Senior Notes, the Permitted Subordinated
Notes and the Permitted Acquisition Subordinated Notes, (b) obligations in
respect of the Permitted Receivables Financing and (c) any other
Indebtedness (other than the Loans and Letters of Credit), or obligations in
respect of one or more Hedging Agreements, of any one or more of Holdings, the
Parent Borrower and its Subsidiaries evidencing an aggregate outstanding
principal amount exceeding $15,000,000. 
For purposes of determining Material Indebtedness, the “principal amount”
of the obligations of Holdings, the Parent Borrower or any Subsidiary in
respect of any Hedging Agreement at any time shall be the maximum aggregate
amount (giving effect to any netting agreements) that Holdings, the 

 

30

 

Parent Borrower or such Subsidiary would be required to pay if such
Hedging Agreement were terminated at such time.

 

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

 

“Mortgage”
means a mortgage, deed of trust, assignment of leases and rents, leasehold
mortgage or other security document granting a Lien on any Mortgaged Property to
secure the Obligations.  Each Mortgage
shall be substantially in the form of Exhibit G to the Existing Credit
Agreement with such changes as are necessary under applicable local law.

 

“Mortgaged
Property” means, initially, each parcel of real property and the
improvements thereto owned by a Loan Party and identified on Schedule 1.01(a),
and includes each other parcel of real property and improvements thereto with
respect to which a Mortgage is granted pursuant to Section 5.12 or 5.13.

 

“Multiemployer
Plan” means a multiemployer plan as defined in Section 4001(a)(3) of
ERISA.

 

“Net
Proceeds” means, with respect to any event (a) the cash proceeds
received in respect of such event including (i) any cash received in respect of
any noncash proceeds, but only as and when received, (ii) in the case of a
casualty, insurance proceeds in excess of $1,000,000 and (iii) in the case
of a condemnation or similar event, condemnation awards and similar payments,
net of (b) the sum of (i) all reasonable fees and out-of-pocket
expenses paid by Holdings, the Parent Borrower and the Subsidiaries to third
parties (other than Affiliates) in connection with such event, (ii) in the
case of a sale, transfer or other disposition of an asset (including pursuant
to a sale and leaseback transaction or a casualty or a condemnation or similar
proceeding), the amount of all payments required to be made by Holdings, the
Parent Borrower and the Subsidiaries as a result of such event to repay
Indebtedness (other than Loans) secured by such asset or otherwise subject to
mandatory prepayment as a result of such event, and (iii) the amount of
all Taxes paid (or reasonably estimated to be payable) by Holdings, the Parent
Borrower and the Subsidiaries, and the amount of any reserves established by
Holdings, the Parent Borrower and the Subsidiaries to fund contingent
liabilities reasonably estimated to be payable, in each case during the
24-month period immediately following such event and that are directly
attributable to such event (as determined reasonably and in good faith by the
chief financial officer of Holdings or the Parent Borrower) to the extent such
liabilities are actually paid within such applicable time periods.  Notwithstanding anything to the contrary set
forth above, the proceeds of any sale, transfer or other disposition of
receivables (or any interest therein) pursuant to any Permitted Receivables
Financing shall not be deemed to constitute Net Proceeds.

 

“Net
Working Capital” means, at any date, (a) the consolidated current
assets of Holdings, the Parent Borrower and its consolidated Subsidiaries (including
the Receivables Subsidiary) as of such date (excluding cash and Permitted
Investments) minus (b) the consolidated current liabilities of Holdings, the
Parent Borrower and its consolidated Subsidiaries (including the Receivables
Subsidiary) as of such date 

 

31

 

(excluding current liabilities in respect of Indebtedness).  Net Working Capital at any date may be a
positive or negative number.  Net Working
Capital increases when it becomes more positive or less negative and decreases
when it becomes less positive or more negative.

 

“New
Revolving Lender” has the meaning assigned to such term in Section 2.23(a).

 

“New
U.S. Holdco” means a Subsidiary formed after the Restatement Effective Date
under the laws of any State of the United States, the Equity Interests of which
are held solely by Foreign Subsidiaries; provided that such newly formed
Subsidiary shall not engage in any business or own any assets other than the
ownership of Equity Interests in Foreign Subsidiaries and intercompany
obligations that are otherwise permitted hereunder.

 

“Non-Consenting
Lender” has the meaning assigned to such term in Section 10.02(c).

 

“Obligations”
has the meaning assigned to such term in the Security Agreement.

 

“Original
Effective Date” means June 6, 2002.

 

“Other
Taxes” means any and all present or future recording, stamp, documentary,
excise, transfer, sales, property or similar taxes, charges or levies imposed
by any Governmental Authority arising from any payment made under any Loan
Document or from the execution, delivery or enforcement of, or otherwise with
respect to, any Loan Document, other than Excluded Taxes.

 

“Parent
Borrower” means TriMas Company LLC, a Delaware limited liability company.

 

“PBGC”
means the Pension Benefit Guaranty Corporation referred to and defined in ERISA
and any successor entity performing similar functions.

 

“Perfection
Certificate” means a certificate in the form of Annex I to the
Security Agreement or any other form approved by the Collateral Agent.

 

“Permitted
Acquisition” means any acquisition, whether by purchase, merger,
consolidation or otherwise, by the Parent Borrower or a Subsidiary of all or
substantially all the assets of, or all the Equity Interests in, a Person or a
division, line of business or other business unit of a Person so long as (a) such
acquisition shall not have been preceded by a tender offer that has not been
approved or otherwise recommended by the board of directors of such Person, (b) such
assets are to be used in, or such Person so acquired is engaged in, as the case
may be, a business of the type conducted by the Parent Borrower and its
Subsidiaries on the date of execution of this Agreement or in a business
reasonably related thereto, (c) such acquisition shall be financed with
proceeds from 

 

32

 

(i) Revolving Loans, Permitted Acquisition Subordinated Notes,
Acquisition Lease Financings, Permitted Receivables Financings and/or Qualified
Holdings Preferred Stock issued and outstanding pursuant to clause (b) of
the definition of Qualified Holdings Preferred Stock, (ii) the issuance of
Equity Interests by Holdings, (iii) Excess Cash Flow not required to be
used to prepay Tranche B Term Loans pursuant to Section 2.11(e), (iv) Net
Proceeds in respect of any Prepayment Event permitted to be reinvested pursuant
to Section 2.11(d) or (v) any combination thereof and (d) immediately
after giving effect thereto, (i) no Default has occurred and is continuing
or would result therefrom, (ii) all transactions related thereto are
consummated in all material respects in accordance with applicable laws, (iii) all
the Equity Interests (other than Assumed Preferred Stock) of each Subsidiary
formed for the purpose of or resulting from such acquisition shall be owned
directly by the Parent Borrower or a Subsidiary and all actions required to be
taken under Sections 5.12 and 5.13 have been taken, (iv) Holdings,
the Parent Borrower and its Subsidiaries are in compliance, on a pro forma basis
after giving effect to such acquisition, with the covenants contained in Section 6.13
recomputed as at the last day of the most recently ended fiscal quarter of
Holdings for which financial statements are available, as if such acquisition
(and any related incurrence or repayment of Indebtedness) had occurred on the
first day of each relevant period for testing such compliance (provided
that any acquisition that occurs prior to the first testing period under such
Sections shall be deemed to have occurred during such first testing period), (v) any
Indebtedness or any preferred stock that is incurred, acquired or assumed in
connection with such acquisition shall be in compliance with Section 6.01,
(vi) the aggregate amount of unused available Revolving Commitments taken
together with the amounts available to be drawn under the Permitted Receivables
Financing is at least $50,000,000; provided that the consideration paid
in respect of Permitted Acquisitions in each of the fiscal years ending on December 31,
2010 and December 31, 2011 shall not exceed the sum of $25,000,000 (which
amount may be increased for the fiscal year ending December 31, 2011 by an
amount equal to the total unused amount of such $25,000,000 limit for the
fiscal year ending December 31, 2010) plus the amount of Net
Proceeds in respect of Prepayment Events permitted to be reinvested pursuant to
Section 2.11(d) and not otherwise reinvested or used to prepay
Tranche B Term Loans pursuant to the terms thereof during such year and (vii) the
Parent Borrower has delivered to the Administrative Agent an officers’
certificate to the effect set forth in clauses (a), (b), (c) and (d)(i) through
(vi) above, together with all relevant financial information for the
Person or assets to be acquired.

 

“Permitted
Acquisition Subordinated Notes” means Indebtedness of Holdings or the
Parent Borrower in an aggregate principal amount not to exceed at any time the
sum of (x) $250,000,000 and (y) the amount of any underwriting or
placement discounts, fees or commissions and other financing expenses incurred
to yield net proceeds of $250,000,000, less the liquidation value of any
applicable Qualified Holdings Preferred Stock issued and outstanding pursuant
to clause (b) of the definition of Qualified Holdings Preferred Stock, provided
that (a) such Indebtedness and any related Guarantees shall not be secured
by any Lien, (b) such Indebtedness shall be subject to subordination and
intercreditor provisions that are no more favorable to the holders or obligees
thereof than the subordination or intercreditor provisions of the Existing 

 

33

 

Subordinated Notes in any material respect, (c) such Indebtedness
shall not have any principal payments due prior to the date that is 12 months
after the Class A Tranche B Maturity Date (which for purposes of this
provision shall be deemed to be December 15, 2015), whether at maturity or
otherwise, except upon the occurrence of a change of control or similar event
(including asset sales), in each case so long as the provisions relating to
change of control or similar events (including asset sales) included in the
governing instrument of such Indebtedness provide that the provisions of this
Agreement must be satisfied prior to the satisfaction of such provisions of
such Indebtedness and (d) such Indebtedness bears interest at a fixed
rate, which rate shall be, in the good faith judgment of the Parent Borrower’s
board of directors, consistent with the market at the time of issuance for
similar Indebtedness for comparable issuers or borrowers.

 

“Permitted
Capital Expenditure Amount” means with respect to any fiscal year, the sum
of (i) the Base Amount for such fiscal year as specified below, (ii) 10%
of Acquired Assets (the “Acquired Assets Amount”) and (iii) for
each fiscal year after any Acquired Assets Amount is initially included in
clause (ii) above, 5% of such Acquired Assets Amount, calculated on a
cumulative basis.

 

	
  Fiscal
  Year Ended

  	
   

  	
  Base Amount

  	
   

  
	
  2006

  	
   

  	
  $

  	
  40,000,000

  	
   

  
	
  2007

  	
   

  	
  $

  	
  40,000,000

  	
   

  
	
  2008

  	
   

  	
  $

  	
  44,000,000

  	
   

  
	
  2009

  	
   

  	
  $

  	
  48,400,000

  	
   

  
	
  2010

  	
   

  	
  $

  	
  37,500,000

  	
   

  
	
  2011

  	
   

  	
  $

  	
  37,500,000

  	
   

  
	
  2012

  	
   

  	
  $

  	
  40,000,400

  	
   

  
	
  2013

  and thereafter

  	
   

  	
  $

  	
  45,000,000

  	
   

  

 

“Permitted Encumbrances” means:

 

(a) Liens
imposed by law for taxes that are not yet due or are being contested in compliance
with Section 5.05;

 

(b) carriers’,
warehousemen’s, mechanics’, materialmen’s, repairmen’s and other like Liens
imposed by law, arising in the ordinary course of business and securing
obligations that are not overdue by more than 30 days or are being
contested in compliance with Section 5.05;

 

(c) pledges
and deposits made in the ordinary course of business in compliance with workers’
compensation, unemployment insurance and other social security laws or
regulations;

 

34

 

(d) deposits
to secure the performance of bids, trade contracts, leases, statutory
obligations, surety and appeal bonds, performance bonds and other obligations
of a like nature, in each case in the ordinary course of business and Liens in
respect of the proceeds from the issuance of Permitted Acquisition Subordinated
Notes held by a trustee or an agent prior to the consummation of a Permitted
Acquisition;

 

(e) judgment
Liens in respect of judgments that do not constitute an Event of Default under
clause (k) of Article VII;

 

(f) easements,
zoning restrictions, rights-of-way and similar encumbrances on real property
imposed by law or arising in the ordinary course of business that do not secure
any monetary obligations and do not materially detract from the value of the
affected property or interfere with the ordinary conduct of business of
Holdings, the Parent Borrower or any Subsidiary;

 

(g) ground
leases in respect of real property on which facilities owned or leased by
Holdings, the Parent Borrower or any of the Subsidiaries are located, other
than any Mortgaged Property;

 

(h) Liens
in favor or customs and revenue authorities arising as a matter of law to
secure payment of customs duties in connection with the importation of goods in
the ordinary course of business;

 

(i) Leases
or subleases granted to other Persons and not interfering in any material
respect with the business of Holdings, the Parent Borrower and the
Subsidiaries, taken as a whole;

 

(j) banker’s
liens, rights of set-off or similar rights, in each case arising by operation
of law; and

 

(k) Liens
in favor of a landlord on leasehold improvements in leased premises;

 

provided that the term “Permitted
Encumbrances” shall not include any Lien securing Indebtedness.

 

“Permitted Investments” means:

 

(a) direct
obligations of, or obligations the principal of and interest on which are
unconditionally guaranteed by, the United States of America (or by any
agency thereof to the extent such obligations are backed by the full faith and
credit of the United States of America), in each case maturing within one
year from the date of acquisition thereof;

 

35

 

(b) investments
in commercial paper maturing within one year from the date of acquisition
thereof and having, at such date of acquisition, the highest credit rating
obtainable from S&P or from Moody’s;

 

(c) investments
in certificates of deposit, banker’s acceptances and time deposits maturing
within one year from the date of acquisition thereof issued or guaranteed by or
placed with, and money market deposit accounts issued or offered by, any
domestic office of any commercial bank organized under the laws of the
United States of America or any State thereof which has a combined capital
and surplus and undivided profits of not less than $500,000,000;

 

(d) fully
collateralized repurchase agreements with a term of not more than 30 days
for securities described in clause (a) above and entered into with a
financial institution satisfying the criteria described in clause (c) above;

 

(e) securities
issued by any state of the United States of America or any political
subdivision of any such state or any public instrumentality thereof having
maturities of not more than six months from the date of acquisition thereof and,
at the time of acquisition, having the highest credit rating obtainable from
S&P or from Moody’s;

 

(f) securities
issued by any foreign government or any political subdivision of any foreign
government or any public instrumentality thereof having maturities of not more
than six months from the date of acquisition thereof and, at the time of
acquisition, having the highest credit rating obtainable from S&P or from
Moody’s;

 

(g) investments
of the quality as those identified on Schedule 6.04 as “Qualified Foreign
Investments” made in the ordinary course of business;

 

(h) cash;
and

 

(i) investments
in funds that invest solely in one or more types of securities described in
clauses (a), (e) and (f) above.

 

“Permitted
Joint Venture and Foreign Subsidiary Investments” means investments by
Holdings, the Parent Borrower or any Subsidiary in the Equity Interests of (a) any
Person that is not a Subsidiary or (b) any Person that is a Foreign
Subsidiary, in an aggregate amount not to exceed $50,000,000; provided
that such amount shall increase to (i) $75,000,000 upon completion of the
IPO Repayment Event and (ii) $100,000,000 upon completion of the IPO
Repayment Event and after the Leverage Ratio is less than 3.75 to 1.00.

 

“Permitted
Receivables Documents” means the Receivables Purchase Agreement, the
Receivables Transfer Agreement and all other documents and agreements relating
to the Permitted Receivables Financing.

 

36

 

“Permitted
Receivables Financing” means (a) the sale by the Parent Borrower and
certain Subsidiaries (other than Foreign Subsidiaries) of accounts receivable
to the Receivables Subsidiary pursuant to the Receivables Purchase Agreement
and (b) the sale or pledge of such accounts receivable (or participations
therein) by the Receivables Subsidiary to certain purchasers pursuant to the
Receivables Transfer Agreement.

 

“Permitted
Senior Notes” means Indebtedness of Holdings or the Parent Borrower, provided
that (a) such Indebtedness and any related Guarantees shall not be secured
by any Lien, (b) the net proceeds from such Indebtedness shall be used to
prepay Tranche B Term Loans pursuant to Section 2.11(d), except that up to
$250,000,000 in proceeds from such Indebtedness may instead be used to repay
Revolving Loans pursuant to Section 2.09(a) and reduce the balances
in respect of the Permitted Receivables Financing, in either case, only if,
immediately after giving effect to such repayment, the Senior Leverage Ratio is
less than 3.00 to 1.00, (c) such Indebtedness shall not have any principal
payments due prior to December 15, 2016, whether at maturity or otherwise,
except upon the occurrence of a change of control or similar event (including
asset sales), in each case so long as the provisions relating to change of
control or similar events (including asset sales) included in the governing
instrument of such Indebtedness provide that the provisions of this Agreement
must be satisfied (or, in the case of asset sales, permit the provisions of
this Agreement to be satisfied) prior to the satisfaction of such provisions of
such Indebtedness and (d) such Indebtedness bears interest at a fixed
rate, which rate shall be, in the good faith judgment of the Parent Borrower’s
board of directors, consistent with the market at the time of issuance for
similar Indebtedness for comparable issuers or borrowers.

 

“Permitted
Subordinated Notes” means Indebtedness of Holdings or the Parent Borrower,
provided that (a) such Indebtedness and any related Guarantees shall not
be secured by any Lien, (b) such Indebtedness shall be subject to
subordination and intercreditor provisions that are no more favorable to the
holders or obligees thereof than the subordination or intercreditor provisions
of the Existing Subordinated Notes in any material respect, (c) the Net
Proceeds from such Indebtedness shall be used to prepay Tranche B Term Loans
pursuant to Section 2.11(d), except that up to $250,000,000 in proceeds
from such Indebtedness may instead be used to repay Revolving Loans pursuant to
Section 2.09(a) and reduce the balances in respect of the Permitted
Receivables Financing, only if, immediately after giving effect to such
repayment, the Senior Leverage Ratio is less than 3.00 to 1.00, (d) such
Indebtedness shall not have any principal payments due prior to December 15,
2016, whether at maturity or otherwise, except upon the occurrence of a change
of control or similar event (including asset sales), in each case so long as
the provisions relating to change of control or similar events (including asset
sales) included in the governing instrument of such Indebtedness provide that
the provisions of this Agreement must be satisfied (or, in the case of asset
sales, permit the provisions of this Agreement to be satisfied) prior to the
satisfaction of such provisions of such Indebtedness and (e) such
Indebtedness bears interest at a fixed rate, which rate shall be, in the good
faith judgment of the Parent Borrower’s board of 

 

37

 

directors, consistent with the market at the time of issuance for
similar Indebtedness for comparable issuers or borrowers.

 

“Permitted
Subordinated Notes Refinancing Indebtedness” means Indebtedness of Holdings
or the Parent Borrower; provided that (a) the aggregate principal
amount of such Indebtedness shall not exceed the sum of the aggregate principal
amount of Existing Subordinated Notes refinanced thereby plus fees,
expenses and call premiums relating thereto plus $25,000,000, (b) all
Net Proceeds from such Indebtedness (other than the portion of such Net
Proceeds attributable to the $25,000,000 amount in excess of payments in
respect of the Existing Subordinated Notes referred to in clause (a) above)
shall be used to repay the Existing Subordinated Notes and to pay related fees,
expenses and call premiums, (c) such Indebtedness (and any related
Guarantees) shall be either unsecured or secured by the Collateral on a second
lien basis to the Obligations and shall not be secured by any property or
assets of Holdings or any Subsidiary other than the Collateral, (d) if so
secured, the holders of such Indebtedness, or a trustee or agent acting on
behalf of such holders, shall enter into an Intercreditor Agreement with the
Collateral Agent, (e) such Indebtedness shall not have any principal
payments due prior to March 31, 2016, whether at maturity or otherwise,
except upon the occurrence of a change of control or similar event (including
asset sales), in each case so long as the provisions relating to change of
control or similar events (including asset sales) included in the governing
instrument of such Indebtedness provide that the provisions of this Agreement
must be satisfied (or, in the case of asset sales, permit the provisions of
this Agreement to be satisfied) prior to the satisfaction of such provisions of
such Indebtedness and (f) such Indebtedness shall bear interest at a fixed
rate, which rate shall be, in the good faith judgment of the Parent Borrower’s
board of directors, consistent with the market at the time of issuance for
similar Indebtedness for comparable issuers or borrowers.

 

“Person”
means any natural person, corporation, limited liability company, trust, joint
venture, association, company, partnership, Governmental Authority or other
entity.

 

“Plan”  means any employee pension benefit plan
(other than a Multiemployer Plan) subject to the provisions of Title IV of
ERISA or Section 412 of the Code or Section 302 of ERISA, and in
respect of which the Parent Borrower or any ERISA Affiliate is (or, if such
plan were terminated, would under Section 4069 of ERISA be deemed to be)
an “employer” as defined in Section 3(5) of ERISA.

 

“Pledge
Agreement” means the Pledge Agreement, substantially in the form of Exhibit H
to the Existing Credit Agreement, among Holdings, the Parent Borrower, the
Subsidiary Loan Parties party thereto and the Collateral Agent for the benefit
of the Secured Parties.

 

“Preferred
Dividends” means any cash dividends of Holdings permitted hereunder paid
with respect to preferred stock of Holdings.

 

38

 

“Prepayment Event” means:

 

(a) any
sale, transfer or other disposition (including pursuant to a sale and leaseback
transaction) of any property or asset of Holdings, the Parent Borrower or any
Subsidiary, other than dispositions described in clauses (a), (b),
(c), (d), (f), (g) and (j) (but only to the extent the sales,
transfers or other dispositions under clause (j) do not exceed $25,000,000
thereof) of Section 6.05 and Section 6.06(a), provided that
Acquisition Lease Financings shall not constitute a Prepayment Event; or

 

(b) any
casualty or other insured damage to, or any taking under power of eminent
domain or by condemnation or similar proceeding of, any property or asset of
Holdings, the Parent Borrower or any Subsidiary having a book value or fair
market value in excess of $1,000,000, but only to the extent that the Net
Proceeds therefrom have not been applied to repair, restore or replace such
property or asset within 365 days after such event; or

 

(c) the
incurrence by Holdings, the Parent Borrower or any Subsidiary of any
Indebtedness, other than Indebtedness permitted by Section 6.01(a) (except
for Permitted Senior Notes (except to the extent proceeds therefrom are
permitted to be used for other purposes pursuant to clause (b) of the
definition thereof) and Permitted Subordinated Notes (except to the extent
proceeds therefrom are permitted to be used for other purposes pursuant to
clause (c) of the definition thereof)).

 

“Prime
Rate” means the rate of interest per annum publicly announced from time to
time by JPMCB as its prime rate in effect at its principal office in
New York City; each change in the Prime Rate shall be effective from and
including the date such change is publicly announced as being effective.

 

“Purchase
Agreement” means the Stock Purchase Agreement dated as of May 17,
2002, among Heartland, Holdings and Seller as amended, supplemented or
otherwise modified from time to time.

 

“Qualified
Holdings Preferred Stock” means any preferred capital stock or preferred
equity interest of Holdings (a)(i) that does not provide for any cash dividend
payments or other cash distributions in respect thereof prior to the Class A
Tranche B Maturity Date and (ii) that by its terms (or by the terms
of any security into which it is convertible or for which it is exchangeable or
exercisable) or upon the happening of any event does not (A)(x) mature or
become mandatorily redeemable pursuant to a sinking fund obligation or
otherwise; (y) become convertible or exchangeable at the option of the
holder thereof for Indebtedness or preferred stock that is not Qualified
Holdings Preferred Stock; or (z) become redeemable at the option of the
holder thereof (other than as a result of a change of control event), in whole
or in part, in each case on or prior to the first anniversary of the Class A
Tranche B Maturity Date (which for purposes of this provision shall be
deemed to be December 15, 2015) and (B) provide holders thereunder
with any rights upon the occurrence of a “change of control” event prior to the
repayment of the 

 

39

 

Obligations under the Loan Documents, (b) with respect to which
Holdings has delivered a notice to the Administrative Agent that it has issued
preferred stock or preferred equity interest in lieu of incurring (x) Permitted
Acquisition Subordination Notes or (y) Indebtedness permitted by
clause (xiii) under Section 6.01(a), with such notice specifying to
which of such Indebtedness such preferred stock or preferred equity interest
applies; provided that (i) the aggregate liquidation value of all
such preferred stock or preferred equity interest issued pursuant to this
clause (b) shall not exceed at any time the dollar limitation related
to the applicable Indebtedness hereunder, less the aggregate principal amount
of such Indebtedness then outstanding and (ii) the terms of such preferred
stock or preferred equity interests (x) shall provide that upon a default
thereof, the remedies of the holders thereof shall be limited to the right to
additional representation on the board of directors of Holdings and (y) shall
otherwise be no less favorable to the Lenders, in the aggregate, than the terms
of the applicable Indebtedness or (c) having an aggregate initial
liquidation value not to exceed $25,000,000, provided that the terms of
such preferred stock or preferred equity interests shall provide that upon a
default thereof, the remedies of the holders thereof shall be limited to the
right to additional representation on the board of directors of Holdings.

 

“Quotation
Day” means, with respect to any Eurocurrency Borrowing denominated in a
Foreign Currency and any Interest Period, the day on which it is market
practice in the relevant interbank market for prime banks to give quotations
for deposits in the currency of such Borrowing for delivery on the first day of
such Interest Period.  If such quotations
would normally be given by prime banks on more than one day, the Quotation Day
will be the last of such days.

 

“Reaffirmation
Agreement” means the Reaffirmation Agreement dated as of the date hereof,
among the Parent Borrower, Holdings, the Subsidiary Loan Parties and JPMCB, as
Administrative Agent and Collateral Agent.

 

“Receivables
Purchase Agreement” means (a) the Receivables Purchase Agreement dated
as of June 6, 2002 among the Receivables Subsidiary, Holdings, the Parent
Borrower and the Subsidiaries party thereto, related to the Permitted
Receivables Financing, as may be amended, supplemented or otherwise modified to
the extent permitted by Section 6.11 and (b) any agreement replacing
such Receivables Purchase Agreement, provided that such replacing
agreement contains terms that are substantially similar to such Receivables
Purchase Agreement and that are otherwise no more adverse to the Lenders than
the applicable terms of such Receivables Purchase Agreement.  It is understood that the receivables
purchase agreement relating to the proposed receivables securitization facility
to be arranged by Wachovia Bank, National Assocation and Wells Fargo Securities
LLC or any of their respective affiliates, on terms substantially similar to
those under the Receivables Purchase Agreement referred to in clause (a) above,
as approved by the Administrative Agent, will be a Receivables Purchase
Agreement.

 

“Receivables
Subsidiary” means TSPC, Inc., a Nevada corporation.

 

40

 

“Receivables
Transfer Agreement” means (a) the Receivables Transfer Agreement dated
as of the Original Effective Date, among the Receivables Subsidiary, Holdings
and the purchasers party thereto, relating to the Permitted Receivables
Financing, as may be amended, supplemented or otherwise modified to the extent
permitted by Section 6.11 and (b) any agreement replacing such
Receivables Transfer Agreement, provided that such replacing agreement
contains terms that are substantially similar to such Receivables Transfer
Agreement and that are otherwise no more adverse to the Lenders than the
applicable terms of such Receivables Transfer Agreement.  It is understood that the receivables
transfer agreement relating to the proposed receivables securitization facility
to be arranged by Wachovia Bank, National Assocation and Wells Fargo Securities
LLC or any of their respective affiliates, on terms substantially similar to
those under the Receivables Transfer Agreement referred to in clause (a) above,
as approved by the Administrative Agent, will be a Receivables Transfer
Agreement.

 

“Register”
has the meaning set forth in Section 10.04.

 

“Regulation
U” shall mean Regulation U of the Board as from time to time in effect
and all official rulings and interpretations thereunder or thereof.

 

“Regulation
X” shall mean Regulation X of the Board as from time to time in effect and
all official rulings and interpretations thereunder or thereof.

 

“Related
Parties” means, with respect to any specified Person, such Person’s
Affiliates and the respective directors, officers, employees, agents, trustees
and advisors of such Person and such Person’s Affiliates.

 

“Release”
means any release, spill, emission, leaking, dumping, injection, pouring,
deposit, disposal, discharge, dispersal, leaching or migration into or through
the environment (including ambient air, surface water, groundwater, land
surface or subsurface strata) or within any building, structure, facility or
fixture.

 

“Replacement
Subordinated Notes” means Indebtedness of Holdings or the Parent Borrower
of the type described in clauses (a), (b), (d) and (e) of the
definition of “Permitted Subordinated Notes”.

 

“Required
Lenders” means, at any time, Lenders having Revolving Exposures, Tranche B
Term Loans, Tranche B-1 Commitments and unused Revolving Commitments
representing more than 50% of the sum of the total Revolving Exposures,
outstanding Tranche B Term Loans, Tranche B-1 Commitments and unused
Revolving Commitments at such time.

 

“Restatement
Effective Date” has the meaning assigned to such term in the Amendment and
Restatement Agreement.

 

“Restatement
Transactions” means (a) the execution and delivery by each Loan Party
that is a party thereto of the Amendment and Restatement Agreement and any
amendments or modifications to the other Loan Documents contemplated thereby, (b) the

 

41

 

amendment and restatement of the Existing Credit Agreement in the form
of this Agreement and the consummation of the other transactions and matters
contemplated by the Amendment and Restatement Agreement and (c) the
payment of fees and expenses incurred in connection with the foregoing.

 

“Restricted
Indebtedness” means Indebtedness of Holdings, the Parent Borrower or any
Subsidiary, the payment, prepayment, redemption, repurchase or defeasance of
which is restricted under Section 6.08(b).

 

“Restricted
Payment” means any dividend or other distribution (whether in cash,
securities or other property) with respect to any Equity Interests in Holdings,
the Parent Borrower or any Subsidiary (including the Receivables Subsidiary),
or any payment (whether in cash, securities or other property), including any
sinking fund or similar deposit, on account of the purchase, redemption,
retirement, acquisition, cancelation or termination of any Equity Interests in
Holdings, the Parent Borrower or any Subsidiary (including the Receivables
Subsidiary) or any option, warrant or other right to acquire any such Equity
Interests in Holdings, the Parent Borrower or any Subsidiary (including the
Receivables Subsidiary).

 

“Revolving
Commitments” means Class A Revolving Commitments, Class B
Revolving Commitments and Class C Revolving Commitments.

 

“Revolving
Exposure” means Class A Revolving Exposure, Class B Revolving
Exposure or Class C Revolving Exposure (or any combination thereof) as the
context requires.

 

“Revolving
LC Disbursement” means a payment made by any Issuing Bank pursuant to a
Revolving Letter of Credit.

 

“Revolving
LC Exposure” means, at any time, the sum of (a) the aggregate undrawn
amount of all outstanding Revolving Letters of Credit at such time plus (b) the
aggregate amount of all Revolving LC Disbursements that have not yet been
reimbursed by or on behalf of the Parent Borrower at such time (by the
borrowing of Loans or otherwise).  The
Revolving LC Exposure of any Class A Revolving Lender at any time shall be
its Class A Revolving Applicable Percentage of the total Revolving LC
Exposure at such time.

 

“Revolving
Lenders” means the Class A Revolving Lenders, Class B Revolving
Lenders and Class C Revolving Lenders.

 

“Revolving
Letter of Credit” means, at any time, each Letter of Credit outstanding at
such time designated as a Revolving Letter of Credit pursuant to Section 2.05(a).

 

“Revolving
Loans” means the Class A Revolving Loans, Class B Revolving Loans
and Class C Revolving Loans.

 

42

 

“S&P”
means Standard & Poor’s Rating Services, a division of The McGraw-Hill
Companies, Inc., or any successor thereto.

 

“Secured
Parties” has the meaning assigned to such term in the Security Agreement.

 

“Security
Agreement” means the Security Agreement, substantially in the form of Exhibit I
to the Existing Credit Agreement, among Holdings, the Parent Borrower, the
Subsidiary Loan Parties party thereto and the Collateral Agent for the benefit
of the Secured Parties.

 

“Security
Documents” means the Security Agreement, the Pledge Agreement, the
Mortgages, the Guarantee Agreement, the Indemnity, Subrogation and Contribution
Agreement, the Intercreditor Agreement, each Foreign Security Document entered
into pursuant to Section 2.21 and Section 4.03 and each other
security agreement or other instrument or document executed and delivered
pursuant to Section 5.12 or 5.13 to secure any of the Obligations.

 

“Seller”
means Metaldyne Corporation, a Delaware corporation.

 

“Senior
Indebtedness” means Total Indebtedness less Subordinated Debt.

 

“Senior
Leverage Ratio” means, on any date, the ratio of (a) Senior
Indebtedness as of such date to (b) Consolidated EBITDA for the period of
four consecutive fiscal quarters of the Parent Borrower ended on such date (or,
if such date is not the last day of a fiscal quarter, ended on the last day of
the fiscal quarter of the Parent Borrower most recently ended prior to such
date for which financial statements are available).

 

“Shareholder
Agreement” means the Shareholders Agreement dated as of the Original
Effective Date, among Holdings, Heartland and the other parties thereto, as
amended from time to time.

 

“Specified
Obligations” means Obligations consisting of the principal and interest on
Loans, reimbursement obligations in respect of LC Disbursements and fees.

 

“Statutory
Reserve Rate” means a fraction (expressed as a decimal), the numerator of
which is the number one and the denominator of which is the number one minus
the aggregate of the maximum reserve percentages (including any marginal,
special, emergency or supplemental reserves) expressed as a decimal established
by the Board (or in the case of Foreign Currency Borrowings, the applicable
Governmental Authority) to which the Administrative Agent is subject with
respect to the Adjusted LIBO Rate, for eurocurrency funding (currently referred
to as “Eurocurrency Liabilities” in Regulation D of the Board).  Such reserve percentages shall include those
imposed pursuant to such Regulation D. 
Eurocurrency Loans shall be deemed to constitute eurocurrency funding
and to be subject to such reserve requirements without benefit of or credit for
proration, exemptions or offsets that may be available from time to time to any

 

43

 

Lender under any applicable law, rule or regulation.  The Statutory Reserve Rate shall be adjusted
automatically on and as of the effective date of any change in any reserve
percentage.

 

“Sterling”
or “£” means the lawful money of the United Kingdom.

 

“Sub-Account”
has the meaning set forth in Section 2.01(a)(ii)(A).

 

“Subordinated
Debt” means the Existing Subordinated Notes, the Permitted Subordinated
Notes, the Permitted Acquisition Subordinated Notes and any other subordinated
Indebtedness of Holdings, the Parent Borrower or any Subsidiary.

 

“Subordinated
Notes Documents” means the indenture under which any of the Existing
Subordinated Notes, the Permitted Subordinated Notes and the Permitted
Acquisition Subordinated Notes are issued and all other instruments, agreements
and other documents evidencing or governing such Notes or providing for any
Guarantee or other right in respect thereof.

 

“subsidiary”
means, with respect to any Person (the “parent”) at any date, any
corporation, limited liability company, partnership, association or other
entity the accounts of which would be consolidated with those of the parent in
the parent’s consolidated financial statements if such financial statements
were prepared in accordance with GAAP as of such date, as well as any other
corporation, limited liability company, partnership, association or other
entity (a) of which securities or other ownership interests representing
more than 50% of the ordinary voting power or, in the case of a partnership,
more than 50% of the general partnership interests are, as of such date, owned,
controlled or held, or (b) that is, as of such date, otherwise Controlled,
by the parent or one or more subsidiaries of the parent or by the parent and
one or more subsidiaries of the parent.

 

“Subsidiary”
means any subsidiary of the Parent Borrower or Holdings, as the context
requires, including the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers.  Unless expressly otherwise
provided, the term “Subsidiary” shall not include the Receivables Subsidiary.

 

“Subsidiary
Loan Party” means (a) any Subsidiary that is not a Foreign Subsidiary
(other than (i) the Foreign Subsidiary Borrowers and (ii) any New
U.S. Holdco), (b) any Subsidiary Term Borrower and (c) any Foreign
Subsidiary Borrower and any other Foreign Subsidiary that executes a guarantee
agreement pursuant to paragraph (c) of the Collateral and Guarantee
Requirement.

 

“Subsidiary
Term Borrowers” means each direct or indirect wholly owned domestic
subsidiary of the Parent Borrower listed on the signature page of the
Existing Credit Agreement.

 

“Swingline
Exposure” means, at any time, the aggregate principal amount of all
Swingline Loans outstanding at such time. 
The Swingline Exposure of any Class A

 

44

 

Revolving Lender at any time shall be its Class A Revolving
Applicable Percentage of the total Swingline Exposure at such time.

 

“Swingline
Lender” means either JPMCB, in its capacity as lender of Swingline Loans
hereunder, or Comerica Bank, in its capacity as lender of Swingline Loans
hereunder, as the case may be. 
References herein and in the other Loan Documents to the Swingline
Lender shall be deemed to refer to the Swingline Lender in respect of the
applicable Swingline Loan or to all Swingline Lenders, as the context requires.

 

“Swingline
Loan” means a Loan made pursuant to Section 2.04.

 

“Synthetic
Purchase Agreement” means any swap, derivative or other agreement or
combination of agreements pursuant to which Holdings, the Parent Borrower or a
Subsidiary is or may become obligated to make (i) any payment (other than
in the form of Equity Interests of Holdings) in connection with a purchase by a
third party from a Person other than Holdings, the Parent Borrower or a
Subsidiary of any Equity Interest or Restricted Indebtedness or (ii) any
payment (other than on account of a permitted purchase by it of any Equity
Interest or any Restricted Indebtedness) the amount of which is determined by
reference to the price or value at any time of any Equity Interest or
Restricted Indebtedness; provided that (i) the other obligations
under the Purchase Agreement or (ii) phantom stock or similar plans
providing for payments only to current or former directors, officers,
consultants, advisors or employees of Holdings, the Parent Borrower or the
Subsidiaries (or to their heirs or estates) shall not be deemed to be a
Synthetic Purchase Agreement.

 

“Taxes”
means any and all present or future taxes (of any nature whatsoever), levies,
imposts, duties, deductions, charges or withholdings imposed by any
Governmental Authority.

 

“Term
Loan Borrowers” means the Parent Borrower and the Subsidiary Term
Borrowers.

 

“Total
Indebtedness” means, as of any date, the sum of, without duplication, (a) the
aggregate principal amount of Indebtedness of Holdings, the Parent Borrower and
the Subsidiaries outstanding as of such date, in the amount that would be
reflected on a balance sheet prepared as of such date on a consolidated basis
in accordance with GAAP, plus (b) the aggregate “Net Investment” as
defined in Annex A to the Receivables Transfer Agreement, plus (c) the
aggregate principal amount of Indebtedness of Holdings, the Parent Borrower and
the Subsidiaries outstanding as of such date that is not required to be
reflected on a balance sheet in accordance with GAAP, determined on a
consolidated basis; provided that, for purposes of clause (c) above,
the term “Indebtedness” shall not include (i) contingent obligations of
Holdings, the Parent Borrower or any Subsidiary as an account party in respect
of any letter of credit or letter of guaranty unless, without duplication, such
letter of credit or letter of guaranty supports an obligation that constitutes
Indebtedness and (ii) Indebtedness described in Section 6.01(a)(xii).

 

45

 

“Tranche
B Lenders” means the Class A Tranche B Lenders and Class B
Tranche B Lenders.

 

“Tranche
B Maturity Date” means the Class A Tranche B Maturity Date or the Class B
Tranche B Maturity Date, as applicable.

 

“Tranche
B Term Loans” means the Class A Tranche B Term Loans and Class B
Tranche B Term Loans.

 

“Tranche
B-1 Applicable Percentage” means, with respect to any Tranche B-1 Lender,
the percentage of the Tranche B-1 Total Commitment represented by such Lender’s
Tranche B-1 Commitment.  If the Tranche
B-1 Commitments have been reduced to zero, the Tranche B-1 Applicable
Percentages shall be determined based upon the Tranche B-1 Commitments most
recently in effect, giving effect to any assignments.

 

“Tranche
B-1 Availability Period” means the period from and including the First
Restatement Effective Date to but excluding the earlier of the Class B
Revolving Commitment Termination Date and the date of termination of the
Tranche B-1 Commitments.

 

“Tranche
B-1 Commitments” means the Class A Tranche B-1 Commitments and Class B
Tranche B-1 Commitments.

 

“Tranche
B-1 Credit Exposure” means, with respect to any Lender at any time, the sum
of the outstanding principal amount of such Lender’s Tranche B-1 Loans and such
Lender’s Tranche B-1 LC Exposure at such time.

 

“Tranche
B-1 LC Disbursement” means a payment made by any Issuing Bank pursuant to a
Tranche B-1 Letter of Credit.

 

“Tranche
B-1 LC Exposure” means, at any time, the sum of (a) the aggregate
undrawn amount of all outstanding Tranche B-1 Letters of Credit at such time
plus (b) the aggregate amount of all Tranche B-1 LC Disbursements that
have not yet been reimbursed by or on behalf of the Parent Borrower at such
time (by the borrowing of Loans or otherwise). 
The Tranche B-1 LC Exposure of any Lender at any time shall be its
Tranche B-1 Applicable Percentage of the total Tranche B-1 LC Exposure at such
time.

 

“Tranche
B-1 Lender” means a Class A Tranche B-1 Lender or a Class B
Tranche B-1 Lender.

 

“Tranche
B-1 Letter of Credit” means, at any time, each Letter of Credit outstanding
at such time designated as a Tranche B-1 Letter of Credit pursuant to Section 2.05(a).

 

“Tranche
B-1 Loan” means a Loan made pursuant to Section 2.02(a)(ii).

 

46

 

“Tranche
B-1 Total Commitment” means, at any time, the aggregate amount of all the
Tranche B-1 Commitments at such time.

 

“Transactions”
means (a) the execution, delivery and performance by each Loan Party of
the Loan Documents to which it is to be a party, the borrowing of Loans, the
use of the proceeds thereof and the issuance of Letters of Credit hereunder and
(b) the payment of the fees and expenses payable in connection with (a) above.

 

“Type”,
when used in reference to any Loan or Borrowing, refers to whether the rate of
interest on such Loan, or on the Loans comprising such Borrowing, is determined
by reference to the Adjusted LIBO Rate or the Alternate Base Rate.

 

“Undrawn/Unreimbursed
Tranche B-1 LC Exposure” means, at any time, the sum of (a) the
aggregate undrawn amounts of all outstanding Tranche B-1 Letters of Credit at
such time plus (b) the aggregate amounts of all Tranche B-1 LC
Disbursements that have not yet been (i) reimbursed by or on behalf of the
Parent Borrower at such time (by the borrowing of Loans or otherwise) or (ii) otherwise
repaid to the applicable Issuing Banks by the application of the Deposits
pursuant to Section 2.05(e).  The
Undrawn/Unreimbursed Tranche B-1 LC Exposure of any Lender at any time shall be
its Tranche B-1 Applicable Percentage of the total Undrawn/Unreimbursed Tranche
B-1 LC Exposure at such time.

 

“Withdrawal
Liability” means liability to a Multiemployer Plan as a result of a
complete or partial withdrawal from such Multiemployer Plan, as such terms are
defined in Part I of Subtitle E of Title IV of ERISA.

 

SECTION 1.02.  Classification of Loans and Borrowings.  For purposes of this Agreement, Loans may be
classified and referred to by Class (e.g., a “Class A
Revolving Loan” or a “Class B Tranche B-1 Loan”) or by Type (e.g.,
a “Eurocurrency Loan”) or by Class and Type (e.g., a “Eurocurrency Class A
Revolving Loan”).  Borrowings also may be
classified and referred to by Class (e.g., a “Class A
Revolving Loan” or a “Class B Tranche B-1 Loan”) or by Type (e.g.,
a “Eurocurrency Borrowing”) or by Class and Type (e.g., a “Eurocurrency
Class A Revolving Loan”).

 

SECTION 1.03.  Terms Generally.  The definitions of terms herein shall apply
equally to the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms.  The words “include”, “includes” and “including”
shall be deemed to be followed by the phrase “without limitation”.  The word “will” shall be construed to have
the same meaning and effect as the word “shall”.  Unless the context requires otherwise (a) any
definition of or reference to any agreement, instrument or other document
herein shall be construed as referring to such agreement, instrument or other
document as from time to time amended, supplemented or otherwise modified
(subject to any restrictions on such amendments, supplements or modifications
set forth herein), (b) any reference herein to any Person shall be
construed to include such Person’s successors and assigns, (c) the words “herein”,
“hereof” and “hereunder”, and words of similar import, shall be construed to
refer to this Agreement in its entirety and not to any 

 

47

 

particular provision hereof,
(d) all references herein to Articles, Sections, Exhibits and Schedules
shall be construed to refer to Articles and Sections of, and Exhibits and
Schedules to, this Agreement and (e) the words “asset” and “property”
shall be construed to have the same meaning and effect and to refer to any and
all tangible and intangible assets and properties, including cash, securities,
accounts and contract rights.

 

SECTION 1.04.  Accounting Terms; GAAP.  Except as otherwise expressly provided
herein, all terms of an accounting or financial nature shall be construed in
accordance with GAAP, as in effect from time to time; provided that, if
the Parent Borrower notifies the Administrative Agent that the Parent Borrower
requests an amendment to any provision hereof to eliminate the effect of any
change occurring after the Restatement Effective Date in GAAP or in the
application thereof on the operation of such provision (or if the
Administrative Agent notifies the Parent Borrower that the Required Lenders request
an amendment to any provision hereof for such purpose), regardless of whether
any such notice is given before or after such change in GAAP or in the
application thereof, then such provision shall be interpreted on the basis of
GAAP as in effect and applied immediately before such change shall have become
effective until such notice shall have been withdrawn or such provision amended
in accordance herewith.  Notwithstanding
any other provision contained herein, all terms of an accounting or financial
nature used herein shall be construed, and all computations of amounts and
ratios referred to herein shall be made, without giving effect to any election
under Statement of Financial Accounting Standards 159 (or any other Financial
Accounting Standard having a similar result or effect) to value any
Indebtedness or other liabilities of Holdings, the Parent Borrower or any
Subsidiary at “fair value”, as defined therein.

 

SECTION 1.05.  Exchange Rates.  (a) Not later than 1:00 p.m.,
New York City time, on each Calculation Date beginning with the date on
which the initial Foreign Currency Borrowing is made or the initial Foreign
Currency Letter of Credit is issued, the Administrative Agent shall (i) determine
the Exchange Rate as of such Calculation Date with respect to each Foreign
Currency and (ii) give notice thereof to the Revolving Lenders and the
Parent Borrower (on behalf of itself and the Foreign Subsidiary
Borrowers).  The Exchange Rates so
determined shall become effective on the first Business Day immediately
following the relevant Calculation Date (a “Recalculation Date”), shall
remain effective until the next succeeding Recalculation Date, and shall for
all purposes of this Agreement (other than Section 9.01, Section 10.14
or any other provision expressly requiring the use of a current Exchange Rate)
be the Exchange Rates employed in converting any amounts between dollars and
Foreign Currencies.

 

(b) Not
later than 5:00 p.m., New York City time, on each Recalculation Date
and each date on which Revolving Loans denominated in any Foreign Currency are
made, the Administrative Agent shall (i) determine the aggregate amount of
the Dollar Equivalents of (A) the principal amounts of the Foreign
Currency Loans then outstanding (after giving effect to any Foreign Currency
Loans made or repaid on such date), (B) the face value of outstanding
Foreign Currency Letters of Credit and (C) unreimbursed drawings in respect of
Foreign Currency Letters of Credit and (ii) notify the Revolving 

 

48

 

Lenders and the Parent
Borrower (on behalf of itself and the Foreign Subsidiary Borrowers) of the
results of such determination.

 

SECTION 1.06.  Redenomination of Certain Foreign
Currencies.  (a) Each obligation
of any party to this Agreement to make a payment denominated in the national
currency unit of any member state of the European Union that adopts the Euro as
its lawful currency after the Restatement Effective Date shall be redenominated
into Euro at the time of such adoption (in accordance with the EMU
Legislation).  If, in relation to the
currency of any such member state, the basis of accrual of interest expressed
in this Agreement in respect of that currency shall be inconsistent with any
convention or practice in the London Interbank Market for the basis of accrual
of interest in respect of the Euro, such expressed basis shall be replaced by
such convention or practice with effect from the date on which such member
state adopts the Euro as its lawful currency; provided that if any
Foreign Currency Borrowing in the currency of such member state is outstanding
immediately prior to such date, such replacement shall take effect, with
respect to such Foreign Currency Borrowing, at the end of the then current
Interest Period.

 

(b) Each
provision of this Agreement shall be subject to such reasonable changes of
construction as the Administrative Agent may from time to time specify to be
appropriate to reflect the adoption of the Euro by any member state of the
European Union and any relevant market conventions or practices relating to the
Euro.

 

ARTICLE II

 

The Credits

 

SECTION 2.01.  Commitments; Deposit Account.  (a) (i) Subject to the terms and
conditions set forth herein, (A) each Class A Revolving Lender agrees to
make Class A Revolving Loans to the Parent Borrower and the Foreign
Subsidiary Borrowers, as the case may be, from time to time during the Class A
Revolving Availability Period in an aggregate principal amount that will not
result in such Lender’s (x) Class A Revolving Exposure exceeding
such Lender’s Class A Revolving Commitment or (y) Foreign Currency
Exposure exceeding such Lender’s Class A Foreign Currency Commitment, (B) each
Class B Revolving Lender agrees to make Class B Revolving Loans to
the Parent Borrower and the Foreign Subsidiary Borrowers, as the case may be,
from time to time during the Class B Revolving Availability Period in an
aggregate principal amount that will not result in such Lender’s (x) Class B
Revolving Exposure exceeding such Lender’s Class B Revolving Commitment or
(y) Foreign Currency Exposure exceeding such Lender’s Class B Foreign
Currency Commitment and (C) each Class C Revolving Lender agrees to
make Class C Revolving Loans to the Parent Borrower and the Foreign
Subsidiary Borrowers, as the case may be, from time to time during the Class C
Revolving Availability Period in an aggregate principal amount that will not
result in such Lender’s (x) Class C Revolving Exposure exceeding
such Lender’s Class C Revolving Commitment or (y) Foreign Currency
Exposure exceeding such Lender’s Class C Foreign Currency Commitment.

 

49

 

(ii) (A) On or prior to the First Restatement Effective Date,
the Administrative Agent has established a bank account with JPMCB as the
Deposit Account of the Administrative Agent with the title “TriMas 2006
Credit Agreement Deposit Account”.  The Administrative Agent shall maintain
records enabling it to determine at any time the amount of the interest of each
Tranche B-1 Lender in the Deposit Account (the interest of each Tranche B-1
Lender in the Deposit Account, as evidenced by such records, being referred to
as such Lender’s “Sub-Account”).  The
Administrative Agent shall establish such additional Sub-Accounts for assignee Tranche
B-1 Lenders as shall be required pursuant to Section 10.04(b).  No Person (other than the Administrative
Agent) shall have the right to make any withdrawal from the Deposit Account or
to exercise any other right or power with respect thereto except as expressly
provided in Section 2.01(a)(ii)(C) below or in Section 10.04(b). 
Without limiting the generality of the foregoing, each party hereto
acknowledges and agrees that the Deposits are and will at all times be property
of the Tranche B-1 Lenders, and that no
amount on deposit at any time in the Deposit Account shall be the property of
any of the Loan Parties, constitute “Collateral” under the Credit Documents or
otherwise be available in any manner to satisfy any Obligations of any of the
Loan Parties under the Credit Documents. 
Each Tranche B-1 Lender agrees
that its right, title and interest in and to the Deposit Account shall be
limited to the right to require amounts in its Sub-Account to be applied as
provided in Section 2.01(a)(ii)(C) below and that it will have no right to require the return of its Deposit
other than as expressly provided in such Section 2.01(a)(ii)(C).  Each Tranche B-1
Lender hereby acknowledges that (1) its
Deposit constitutes payment for its participations in Tranche B-1 Letters of
Credit issued or to be issued hereunder, (2) its Deposit and any
investments made therewith shall secure its obligations to the Issuing Banks
hereunder and (3) the Issuing Banks will be issuing, amending, renewing
and extending Tranche B-1 Letters of Credit in reliance on the availability of
such Tranche B-1 Lender’s Deposit to discharge such Tranche B-1 Lender’s
obligations in accordance with Section 2.05(e) in connection with any
Tranche B-1 LC Disbursement thereunder. 
Each Lender hereby grants to the Administrative Agent, for the benefit
of the Issuing Banks, a security interest in its Deposit and agrees that the
Administrative Agent, as holder of the Deposits and any investments made
therewith, will be acting, inter  alia, as collateral agent for
the Issuing Banks.  The funding of
the Deposits and the agreements with respect thereto set forth in this
Agreement constitute arrangements among the Administrative Agent, the Issuing
Banks and the Tranche B-1 Lenders with respect to the funding obligations of
the Tranche B-1 Lenders under this Agreement, and the Deposits do not
constitute loans or extensions of credit to any Loan Party.  No Loan Party
shall have any responsibility or liability to the Tranche B-1 Lenders, the Agents or any other Person in respect of
the establishment, maintenance, administration or misappropriation of the
Deposit Account (or any Sub-Account) or with respect to the investment of
amounts held therein, including pursuant to Section 2.01(a)(ii)(D) below, or the duties and responsibilities of the
Administrative Agent with respect to the foregoing contemplated by Section 2.01(a)(ii)(E) below.  JPMCB
hereby waives any right of setoff against the Deposits that it may have under
applicable law or otherwise with respect to amounts owed to it by Tranche
B-1 Lenders (it being agreed that such waiver
shall not reduce the rights of JPMCB, in its capacity as 

 

50

 

an Issuing
Bank or otherwise, to apply or require the application of the Deposits in
accordance with the provisions of this Agreement).

 

(B) The
following amounts will be deposited in the Deposit Account at the following
times:

 

(1) The Deposits
of each Tranche B-1 Lender (including the amount deposited in the Deposit
Account by such Lender on the First Restatement Effective Date in an amount
equal to such Lender’s Tranche B-1 Commitment) shall be available, on the terms
and subject to the conditions set forth herein, (A) to fund Tranche
B-1 Loans by such Tranche B-1 Lender pursuant to Section 2.02(a) and (B) for
application pursuant to Section 2.05(e) to reimburse such Lender’s Tranche B-1 Applicable
Percentage of Tranche B-1 LC
Disbursements that are not reimbursed by the Parent Borrower.

 

(2) On any date
prior to the Class B Revolving Commitment Termination Date on which the
Administrative Agent receives any payment for the account of any Tranche
B-1 Lender with respect to the principal amount
of any of its Tranche B-1 Loans, subject
to clause (4) below, the Administrative Agent shall deposit such amount in
the Deposit Account and credit such amount to the Sub-Account of such Tranche
B-1 Lender.

 

(3) On any date
prior to the Class B Revolving Commitment Termination Date on which the
Administrative Agent or any Issuing Bank receives any reimbursement payment
from the Parent Borrower in respect of a Tranche B-1 LC Disbursement with respect to which amounts were
withdrawn from the Deposit Account to reimburse any Issuing Bank, subject to
clause (4) below, the Administrative Agent shall deposit in the Deposit
Account, and credit to the Sub-Accounts of the Tranche B-1 Lenders, the portion of such reimbursement payment to
be deposited therein, in accordance with Section 2.05(e).

 

(4) If at any
time when any amount is required to be deposited in the Deposit Account under
clause (2) or (3) above the sum of such amount and the
aggregate amount of the Deposits at such time would exceed the Tranche B-1
Total Commitment minus the aggregate principal amount of the outstanding
Tranche B-1 Loans, then such excess shall not be deposited in the Deposit
Account and the Administrative Agent shall instead pay to each Tranche B-1
Lender its Tranche B-1 Applicable Percentage of such excess.

 

(5) Concurrently
with the effectiveness of any assignment by any Tranche B-1 Lender of all or any portion of its Tranche B-1
Commitment, the Administrative Agent shall
transfer into the Sub-Account of the assignee the corresponding portion of the
amount on deposit in the assignor’s Sub-Account in accordance with Section 10.04(b)(vii)(B)(2).

 

51

 

(C) Amounts
on deposit in the Deposit Account shall be withdrawn and distributed (or
transferred, in the case of clause (5) below) as follows:

 

(1) On each date
on which a Tranche B-1 Borrowing is to be
made, the Administrative Agent shall, pursuant to Section 2.02(a) or Section 2.05(e),
as applicable, and subject to the satisfaction of the conditions applicable
thereto set forth in Section 4.02, withdraw from the Deposit Account the
principal amount of such Tranche B-1 Borrowing
(and debit the Sub-Account of each Tranche B-1 Lender in the amount of such Lender’s Tranche B-1 Applicable Percentage of such Borrowing) and make such
amount available to the Parent Borrower.

 

(2) On each date
on which an Issuing Bank is to be reimbursed by the Tranche B-1 Lenders pursuant to Section 2.05(e) for any Tranche
B-1 LC Disbursement, the Administrative Agent
shall withdraw from the Deposit Account the amount of such unreimbursed Tranche
B-1 LC Disbursement (and debit the Sub-Account
of each Tranche B-1 Lender in the amount
of such Tranche B-1 Lender’s Applicable
Percentage of such unreimbursed Tranche B-1 LC Disbursement) and make such amount available to such Issuing Bank in
accordance with Section 2.05(e).

 

(3) Concurrently
with each voluntary reduction of the Tranche B-1 Total Commitment pursuant to and in accordance with Section 2.08(b),
the Administrative Agent shall withdraw from the Deposit Account and pay to
each Tranche B-1 Lender such Tranche
B-1 Lender’s Applicable Percentage of any
amount by which the Deposits, after giving effect to such reduction of the
Tranche B-1 Total Commitment, would exceed the Tranche B-1 Total Commitment
minus the aggregate principal amount of the outstanding Tranche B-1 Loans and
unreimbursed Tranche B-1 LC Disbursements that have been funded by the
application of Deposits.

 

(4) Concurrently
with any reduction of the Tranche B-1 Total
Commitment to zero pursuant to and in accordance with Section 2.08(c) or
Article VII, the Administrative Agent shall withdraw from the Deposit
Account and pay to each Tranche B-1 Lender
such Tranche B-1 Lender’s Tranche B-1
Applicable Percentage of the excess at such time of the aggregate amount of the Deposits over the Undrawn/Unreimbursed Tranche B-1 LC Exposure.

 

(5) Concurrently
with the effectiveness of any assignment by any Tranche B-1 Lender of all or any portion of its Tranche B-1
Commitment, the corresponding portion of the
assignor’s Sub-Account shall be transferred from the assignor’s Sub-Account to
the assignee’s Sub-Account in accordance with Section 10.04(b) and,
if required by Section 10.04(b), the Administrative Agent shall close such
assignor’s Sub-Account.

 

(6) Upon the
reduction of each of the Tranche B-1 Total
Commitment and the Undrawn/Unreimbursed Tranche B-1 LC Exposure to zero, 

 

52

 

the Administrative Agent shall withdraw from the Deposit
Account and pay to each Tranche B-1 Lender
the entire remaining amount of such Tranche B-1 Lender’s Deposit, and shall close the Deposit Account.

 

Each Tranche B-1 Lender
irrevocably and unconditionally agrees that its Deposit may be applied or
withdrawn from time to time as set forth in this Section 2.01(a)(ii)(C).

 

(D) The Administrative Agent shall invest, or cause to be
invested, the Deposit of each Tranche B-1 Lender so as to earn for the account of such Tranche B-1 Lender a return thereon (the “Deposit Return”) for each day at
a rate per annum equal to (1) the one month LIBOR rate as determined by
the Administrative Agent on such day (or if such day was not a Business Day,
the first Business Day immediately preceding such day) based on rates for
deposits in dollars (as set forth by Bloomberg L.P.-page BTMM or any other
comparable publicly available service as may be selected by the Administrative
Agent) (the “Benchmark LIBO Rate”)
minus (2) 0.25% per annum (based on a 365/366 day year).  The Benchmark LIBO Rate will be reset on each
Business Day.  The Deposit Return
accrued through and including the last day of March, June, September and December of
each year shall be payable by the Administrative Agent to each Tranche B-1
Lender on the third Business Day following such last day, commencing on the
first such date to occur after the First Restatement Effective Date, and on the
date on which each of the Tranche B-1 Total Commitment and the Tranche B-1 LC
Exposure shall have been reduced to zero, and the Administrative Agent agrees
to pay to each Tranche B-1 Lender the amount due to it under this
sentence.  No Loan Party shall have any
obligation under or in respect of the provisions of this Section 2.01(a)(ii)(D).

 

(E) As provided in Article VIII, the Administrative
Agent may perform any and all its duties and exercise its rights and powers contemplated
by this Section 2.01 by or through one or more sub-agents appointed by it
(which may include any of its Affiliates). 
The parties hereto acknowledge that on or prior to the First Restatement
Effective Date the Administrative Agent has engaged JPMorgan Chase
Institutional Trust Services to act as its sub-agent in connection with the
Deposit Account, and that in such capacity JPMorgan Chase Institutional Trust
Services shall be entitled to the benefit of all the provisions of this
Agreement contemplated by Article VIII, including the provisions of Section 10.03.

 

(F) Notwithstanding any other provision of this Agreement,
including Sections 2.02 and 2.05(a), no Tranche B-1 Loan shall be made, and no Tranche B-1 Letter of Credit shall be issued or the stated amount
thereof increased, if after giving effect thereto the aggregate amount of the
Deposits would be less than the Undrawn/Unreimbursed Tranche B-1 LC
Exposure.  The Administrative Agent
agrees to provide, at the request of any Issuing Bank,

 

53

 

information
to such Issuing Bank as to the aggregate amount of the Deposits and the
Undrawn/Unreimbursed Tranche B-1 LC Exposure.

 

(G) The Parent Borrower and each Issuing Bank acknowledges
and agrees that, notwithstanding any other provision contained herein, the
deposit by each Tranche B-1 Lender in the
Deposit Account on the First Restatement Effective Date of funds equal to its Tranche
B-1 Commitment (except as provided in the second
to last sentence of Section 2.05(d)) fully discharged the obligation of
such Tranche B-1 Lender to fund Tranche
B-1 Loans by such Tranche B-1 Lender pursuant to Section 2.02(a) and to
reimburse such Lender’s Tranche
B-1 Applicable Percentage of Tranche B-1 LC Disbursements that are not reimbursed by the Parent
Borrower pursuant to Section 2.05(d) or (e), and that no other or
further payments shall be required to be made by any Tranche B-1 Lender in respect of any such funding or reimbursement
obligations.

 

(b) [Reserved].

 

(c) Within
the foregoing limits and subject to the terms and conditions set forth herein,
the Parent Borrower and the Foreign Subsidiary Borrowers, as the case may be,
may borrow, prepay and reborrow Revolving Loans or Tranche B-1 Loans.  Amounts repaid or prepaid in respect of
Tranche B Term Loans may not be reborrowed.

 

SECTION 2.02.  Loans and Borrowings.  (a) (i) Each Loan (other than a
Swingline Loan) shall be made as part of a Borrowing consisting of Loans of the
same Class and Type made by the Lenders ratably in accordance with their
respective Commitments of the applicable Class; provided that for
purposes of this paragraph (a) (i) the Class A Tranche B-1
Commitments and Class B Tranche B-1 Commitments shall be deemed to be one Class and
(ii) the Class A Revolving Commitments and Class C Revolving
Commitments shall be deemed to be one Class and a Borrowing in respect of
the Class A Revolving Commitments and Class C Revolving Commitments
(a “Class A/C Revolving Borrowing”) shall consist of Class A
Revolving Loans and Class C Revolving Loans made by the Class A
Revolving Lenders and Class C Revolving Lenders, respectively, ratably in
accordance with their respective Commitments; provided  further
that at any time when the Class A Revolving Commitments are fully
utilized, any additional Class A/C Revolving Borrowing shall consist of Class C
Revolving Loans made by the Class C Revolving Lenders ratably in
accordance with their respective Class C Revolving Commitments.  The failure of any Lender to make any Loan required
to be made by it shall not relieve any other Lender of its obligations
hereunder; provided that the Commitments of the Lenders are several and
no Lender shall be responsible for any other Lender’s failure to make Loans as
required.

 

(ii) Subject
to the terms and conditions set forth herein, each Tranche B-1 Lender agrees to
make Tranche B-1 Loans to the Parent Borrower,
with amounts in its Sub-Account, from time to time during the Tranche B-1
Availability Period in an aggregate principal amount that will not after giving
effect to any such Tranche B-1 Loan result in such Lender’s Tranche B-1 Credit

 

54

 

Exposure
exceeding such Lender’s Tranche B-1 Commitment. 
Each Tranche B-1 Loan shall be part of a Tranche B-1 Borrowing
consisting of Loans of the same Type held by the Tranche B-1 Lenders ratably in
accordance with their respective Tranche B-1 Applicable Percentages, without
regard to whether any such Lender is a Class A Tranche B-1 Lender or a Class B
Tranche B-1 Lender.  Each Tranche B-1
Lender hereby authorizes and directs the Administrative Agent to make its
portion of each Tranche B-1 Borrowing available to the Parent Borrower by withdrawing from the Deposit Account (and
debiting such Tranche B-1 Lender’s Sub-Account in the amount of) such Lender’s Tranche B-1 Applicable Percentage of such
Tranche B-1 Borrowing and crediting such amount to the applicable account of
the Parent Borrower as provided in Section 2.06.  Within the foregoing limits and subject to
the terms and conditions set forth herein, the Parent
Borrower may borrow, prepay and reborrow Tranche B-1 Loans.

 

(b) Subject
to Section 2.14, each Loan (other than Foreign Currency Loans) shall be
comprised entirely of ABR Loans or Eurocurrency Loans as the Parent Borrower
may request in accordance herewith.  All
Foreign Currency Borrowings shall be comprised entirely of Eurocurrency
Loans.  Each Swingline Loan shall be an
ABR Loan.  Each Lender at its option may
make any Eurocurrency Loan by causing any domestic or foreign branch or
Affiliate of such Lender to make such Loan; provided that any exercise
of such option shall not affect the obligation of the Parent Borrower, a
Subsidiary Term Borrower or a Foreign Subsidiary Borrower, as the case may be,
to repay such Loan in accordance with the terms of this Agreement.

 

(c) At
the commencement of each Interest Period for any Eurocurrency Borrowing, such
Borrowing shall be in an aggregate amount that is an integral multiple of
$1,000,000 (or 1,000,000 units of the applicable Foreign Currency) and not less
than $5,000,000 (or 5,000,000 units of the applicable Foreign Currency).  At the time that each ABR Revolving Borrowing
is made, such Borrowing shall be in an aggregate amount that is an integral
multiple of $1,000,000 and not less than $5,000,000; provided that (i) an
ABR Class A/C Revolving Borrowing or ABR Class B Revolving Borrowing
may be in an aggregate amount that is equal to the entire unused balance of the
total (A) Class A Revolving Commitments and Class C Revolving
Commitments, taken together, or (B) Class B Revolving Commitments, as
applicable, and (ii) an ABR Class A/C Revolving Borrowing or a
Tranche B-1 Borrowing, or a Eurocurrency Class A/C Revolving Borrowing, in
the case of Foreign Currency Letters of Credit, may be in an aggregate amount
that is equal to the amount that is required to finance the reimbursement of a
Revolving LC Disbursement or Tranche B-1 LC Disbursement as contemplated by Section 2.05(e).  Each Swingline Loan shall be in an amount
that is an integral multiple of $100,000 and not less than $500,000.  Borrowings of more than one Type and Class may
be outstanding at the same time; provided that there shall not at any
time be more than a total of 12 Eurocurrency Borrowings outstanding.

 

(d) Notwithstanding
any other provision of this Agreement, none of the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower shall be entitled
to request, or to elect to convert or continue, any Borrowing if the 

 

55

 

Interest Period requested
with respect thereto would end after (i) in the case of a Class A/C
Revolving Borrowing, the Class A Revolving Commitment Termination Date, (ii) in
the case of a Class B Revolving Borrowing or Tranche B-1 Borrowing, the Class B
Revolving Commitment Termination Date, (iii) in the case of a Class A
Tranche B Term Borrowing, the Class A Tranche B Maturity Date and (iv) in
the case of a Class B Tranche B Term Borrowing, the Class B Tranche B
Maturity Date.

 

(e) Notwithstanding
any other provision of this Agreement, but subject to Article IX, a Lender
with no Foreign Currency Commitment hereunder shall not be obligated to make or
participate in any Foreign Currency Loans.

 

SECTION 2.03.  Requests for Borrowings.  (a) To request a Revolving Loan or
Tranche B-1 Loan, the Parent Borrower shall notify the Administrative
Agent of such request by telephone (i) in the case of a Eurocurrency
Borrowing, not later than 12:00 noon, New York City time, three
Business Days before the date of the proposed Borrowing or (ii) in the
case of an ABR Borrowing, not later than 12:00 noon,
New York City time, one Business Day before the date of the proposed
Borrowing; provided that any such notice of an ABR Class A/C
Revolving Borrowing to finance the reimbursement of an LC Disbursement as
contemplated by Section 2.05(e) may be given not later than 10:00 a.m.,
New York City time, on the date of the proposed Borrowing, and (b) to
request a Foreign Currency Borrowing, the applicable Foreign Subsidiary
Borrower shall notify the Foreign Currency Administrative Agent of such request
by telephone not later than 11:00 a.m., London Time, three Business Days
before the date of the proposed Borrowing. 
Each such telephonic Borrowing Request shall be irrevocable and shall be
confirmed promptly by hand delivery or telecopy to the Administrative Agent of
a written Borrowing Request in a form approved by the Administrative Agent and
signed by the Parent Borrower and, in the case of a Foreign Currency Borrowing,
the applicable Foreign Subsidiary Borrower. 
Each such telephonic and written Borrowing Request shall specify the following
information in compliance with Section 2.02:

 

(i) whether
the requested Borrowing is to be a Revolving Borrowing or Tranche B-1
Borrowing;

 

(ii) in
the case of a Revolving Borrowing, whether the requested Borrowing is a Class A/C
Revolving Borrowing or a Class B Revolving Borrowing;

 

(iii) the
aggregate amount of such Borrowing;

 

(iv) the
date of such Borrowing, which shall be a Business Day;

 

(v) whether
such Borrowing is to be an ABR Borrowing or a Eurocurrency Borrowing, unless
such Borrowing is a Foreign Currency Borrowing;

 

(vi) if
such Borrowing is a Foreign Currency Borrowing, the relevant Foreign Currency;

 

56

 

(vii) in
the case of a Eurocurrency Borrowing, the initial Interest Period to be applicable
thereto, which shall be a period contemplated by the definition of the term “Interest
Period”; and

 

(viii) the
location and number of the Parent Borrower’s or the applicable Foreign
Subsidiary Borrower’s, as the case may be, account to which funds are to be
disbursed, which shall comply with the requirements of Section 2.06.

 

If
no election as to the Class of any Revolving Borrowing is specified, then
the requested Revolving Borrowing shall be a Class A/C Revolving
Borrowing.  If no election as to the Type
of Borrowing is specified, then the requested Borrowing shall be an ABR
Borrowing, unless such Borrowing is a Foreign Currency Borrowing, in which case
such Borrowing shall be a Eurocurrency Borrowing.  If no Interest Period is specified with respect
to any requested Eurocurrency Revolving Loan, then the Parent Borrower shall be
deemed to have selected an Interest Period of one month’s duration.  Promptly following receipt of a Borrowing
Request in accordance with this Section, the Administrative Agent shall advise
each Lender of the details thereof and of the amount of such Lender’s Loan to
be made as part of the requested Borrowing.

 

SECTION 2.04.  Swingline Loans.  (a) Subject to the terms and conditions
set forth herein, the Swingline Lender agrees to make Swingline Loans to the
Parent Borrower from time to time during the Class A Revolving
Availability Period, in an aggregate principal amount at any time outstanding
that will not result in (i) the aggregate principal amount of outstanding
Swingline Loans exceeding $20,000,000 or (ii) the sum of the total Class A
Revolving Exposures exceeding the total Class A Revolving Commitments; provided
that the Swingline Lender shall not be required to make a Swingline Loan to
refinance an outstanding Swingline Loan. 
On the last day of each month during the Class A Revolving
Availability Period, the Parent Borrower shall repay any outstanding Swingline
Loans.  Within the foregoing limits and
subject to the terms and conditions set forth herein, the Parent Borrower may
borrow, prepay and reborrow Swingline Loans.

 

(b) To
request a Swingline Loan, the Parent Borrower shall notify the Administrative
Agent of such request by telephone (confirmed by telecopy), not later than
12:00 noon, New York City time, on the day of a proposed Swingline
Loan.  Each such notice shall be
irrevocable and shall specify the requested date (which shall be a Business
Day) and amount of the requested Swingline Loan.  The Administrative Agent will promptly advise
the Swingline Lender of any such notice received from the Parent Borrower.  The Swingline Lender shall make each
Swingline Loan available to the Parent Borrower by means of a credit to the
general deposit account of the Parent Borrower with the Swingline Lender (or,
in the case of a Swingline Loan made to finance the reimbursement of an LC
Disbursement as provided in Section 2.05(e), by remittance to the Issuing
Bank) by 3:00 p.m., New York City time, on the requested date of such
Swingline Loan. The Parent Borrower shall not request a Swingline Loan if at
the time of 

 

57

 

and immediately after giving
effect to such request a Default has occurred and is continuing.

 

(c) The
Swingline Lender may by written notice given to the Administrative Agent not
later than 12:00 noon, New York City time, on any Business Day
require the Class A Revolving Lenders to acquire participations on such
Business Day in all or a portion of the Swingline Loans outstanding.  Such notice shall specify the aggregate
amount of Swingline Loans in which Class A Revolving Lenders will
participate.  Promptly upon receipt of
such notice, the Administrative Agent will give notice thereof to each Class A
Revolving Lender, specifying in such notice such Lender’s Class A Revolving
Applicable Percentage of such Swingline Loan or Loans.  Each Class A Revolving Lender hereby
absolutely and unconditionally agrees, upon receipt of notice as provided
above, to pay to the Administrative Agent, for the account of the Swingline Lender,
such Lender’s Class A Revolving Applicable Percentage of such Swingline
Loan or Loans.  Each Class A
Revolving Lender acknowledges and agrees that its obligation to acquire
participations in Swingline Loans pursuant to this paragraph is absolute and unconditional
and shall not be affected by any circumstance whatsoever, including the
occurrence and continuance of a Default or reduction or termination of the Class A
Revolving Commitments, and that each such payment shall be made without any
offset, abatement, withholding or reduction whatsoever (provided that
such payment shall not cause such Class A Revolving Lender’s Class A
Revolving Exposure to exceed such Class A Revolving Lender’s Class A
Revolving Commitment).  Each Class A
Revolving Lender shall comply with its obligation under this paragraph by wire
transfer of immediately available funds, in the same manner as provided in Section 2.06
with respect to Loans made by such Lender (and Section 2.06 shall apply, mutatis
mutandis, to the payment obligations of the Class A Revolving
Lenders), and the Administrative Agent shall promptly pay to the Swingline
Lender the amounts so received by it from the Class A Revolving
Lenders.  The Administrative Agent shall
notify the Parent Borrower of any participations in any Swingline Loan acquired
pursuant to this paragraph, and thereafter payments in respect of such
Swingline Loan shall be made to the Administrative Agent and not to the
Swingline Lender.  Any amounts received
by the Swingline Lender from the Parent Borrower (or other party on behalf of
the Parent Borrower) in respect of a Swingline Loan after receipt by the
Swingline Lender of the proceeds of a sale of participations therein shall be
promptly remitted to the Administrative Agent; any such amounts received by the
Administrative Agent shall be promptly remitted by the Administrative Agent to
the Class A Revolving Lenders that shall have made their payments pursuant
to this paragraph and to the Swingline Lender, as their interests may
appear.  The purchase of participations
in a Swingline Loan pursuant to this paragraph shall not relieve the Parent
Borrower of any default in the payment thereof.

 

SECTION 2.05.  Letters of Credit.  (a) General.  (i) Subject to the terms and conditions
set forth herein, the Parent Borrower may request the issuance of Letters of
Credit for its own account or the account of a Subsidiary and any Foreign
Subsidiary Borrower may request the issuance of Foreign Currency Letters of
Credit for its own account or the account of a Subsidiary of such Foreign
Subsidiary Borrower, in each case in a form reasonably acceptable to the
Administrative Agent and the Issuing Bank, at any 

 

58

 

time and from time to time
during the Class A Revolving Availability Period and the Tranche B-1
Availability Period, as applicable (provided that the Parent Borrower or
a Foreign Subsidiary Borrower, as the case may be, shall be a co-applicant with
respect to each Letter of Credit issued for the account of or in favor of a
Subsidiary that is not a Foreign Subsidiary Borrower).  In the event of any inconsistency between the
terms and conditions of this Agreement and the terms and conditions of any form
of letter of credit application or other agreement submitted by the Parent
Borrower or any Foreign Subsidiary Borrower, as the case may be, to, or entered
into by the Parent Borrower or any Foreign Subsidiary Borrower, as the case may
be, with, the Issuing Bank relating to any Letter of Credit, the terms and conditions
of this Agreement shall control.

 

(ii) The
Parent Borrower may at any time
redesignate Tranche B-1 Letters of Credit as Revolving Letters of Credit and
Revolving Letters of Credit (other than Revolving Letters of Credit denominated
in a Foreign Currency) as Tranche B-1 Letters of Credit; provided, that (A) the
Parent Borrower shall by notice to the
Administrative Agent identify the Letters of Credit to be redesignated
hereunder and certify that the conditions to such redesignation set forth in
the following clause (B) are satisfied and that no Default shall have
occurred and be continuing; and (B) no redesignation of a Letter of Credit
shall become effective hereunder unless after giving effect to such
redesignation the conditions precedent to the issuance, amendment, renewal or
extension of a Letter of Credit under the third sentence of paragraph (b) below
shall be satisfied.  The Class A
Revolving Lenders hereby agree that upon the effectiveness of any redesignation
of a Tranche B-1 Letter of Credit as a Revolving Letter of Credit, the Issuing
Bank that issued such Letter of Credit shall be deemed, without further action
by any party hereto, to have granted to each Class A Revolving Lender, and
each Class A Revolving Lender shall be deemed to have purchased from such
Issuing Bank, a participation in such Letter of Credit in accordance with
paragraph (d) below, and on and after the effectiveness of any such
redesignation, such Letter of Credit shall constitute a Revolving Letter of
Credit for all purposes hereof.  The
Tranche B-1 Lenders hereby agree that upon the effectiveness of any
redesignation of a Revolving Letter of Credit as a Tranche B-1 Letter of
Credit, the Issuing Bank that issued such Letter of Credit shall be deemed,
without further action by any party hereto, to have granted to each Tranche B-1
Lender, and each Tranche B-1 Lender shall be deemed to have purchased from such
Issuing Bank, a participation in such Letter of Credit in accordance with
paragraph (d) below, and on and after the effectiveness of any such
redesignation, such Letter of Credit shall constitute a Tranche B-1 Letter of
Credit for all purposes hereof.  No
Tranche B-1 Letter of Credit may be redesignated as a Revolving Letter of Credit
if the Parent Borrower and the Issuing
Bank in respect thereof shall have agreed at the time such Issuing Bank became
an Issuing Bank that such Issuing Bank will not be required to issue Revolving
Letters of Credit, or that Tranche B-1 Letters of Credit issued by such Issuing
Bank may not be redesignated by the Parent Borrower
as Revolving Letters of Credit, and shall not have subsequently agreed
otherwise.

 

59

 

(b) Notice
of Issuance, Amendment, Renewal, Extension; Certain Conditions.  To request the issuance of a Letter of Credit
(or the amendment, renewal or extension of an outstanding Letter of Credit),
the Parent Borrower or the applicable Foreign Subsidiary Borrower, as the case
may be, shall hand deliver or telecopy (or transmit by electronic
communication, if arrangements for doing so have been approved by the Issuing
Bank) to the Issuing Bank and the Administrative Agent (reasonably in advance
of the requested date of issuance, amendment, renewal or extension) a notice
requesting the issuance of a Letter of Credit, or identifying the Letter of
Credit to be amended, renewed or extended, and specifying the date of issuance,
amendment, renewal or extension (which shall be a Business Day), the date on
which such Letter of Credit is to expire (which shall comply with
paragraph (c) of this Section), the amount of such Letter of Credit,
the currency in which such Letter of Credit is to be issued (which in the case
of a Tranche B-1 Letter of Credit, shall be dollars, and in the case of a
Revolving Letter of Credit, shall be dollars or a Foreign Currency), whether
such Letter of Credit is to be a Revolving Letter of Credit or a Tranche B-1
Letter of Credit, the name and address of the beneficiary thereof and such
other information as shall be necessary to prepare, amend, renew or extend such
Letter of Credit.  If requested by the
Issuing Bank, the Parent Borrower or the applicable Foreign Subsidiary
Borrower, as the case may be, also shall submit a letter of credit application
on the Issuing Bank’s standard form in connection with any request for a Letter
of Credit.  A Letter of Credit shall be
issued, amended, renewed or extended only if (and upon issuance, amendment,
renewal or extension of each Letter of Credit the Parent Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, shall be deemed to
represent and warrant that), after giving effect to such issuance, amendment,
renewal or extension (i) the LC Exposure shall not exceed $65,000,000, (ii) the
total Revolving LC Exposure shall not exceed $50,000,000, (iii) the total Class A
Revolving Exposure shall not exceed the total Class A Revolving
Commitments, (iv) the total Tranche B-1 Exposure shall not exceed the
total Tranche B-1 Commitments and (v) the total Class A Foreign
Currency Exposures shall not exceed the total Class A Foreign Currency
Commitments.

 

(c) Expiration
Date.  Each Letter of Credit shall
expire at or prior to the close of business on the earlier of (i) the date
one year after the date of the issuance of such Letter of Credit (or, in the
case of any renewal or extension thereof, one year after such renewal or
extension) and (ii) the date that is five Business Days prior to (A) in
the case of a Revolving Letter of Credit, the Class A Revolving Commitment
Termination Date and (B) in the case of a Tranche B-1 Letter of Credit,
the Class B Revolving Commitment Termination Date.

 

(d) Participations.  By the issuance of a Letter of Credit (or an
amendment to a Letter of Credit increasing the amount thereof) and without any further
action on the part of the Issuing Bank or the Lenders, the Issuing Bank hereby
grants (i) to each Class A Revolving Lender, and each Class A
Revolving Lender hereby acquires from the Issuing Bank, a participation in such
Revolving Letters of Credit equal to such Class A Revolving Lender’s Class A
Revolving Applicable Percentage of the aggregate amount available to be drawn
under such Revolving Letters of Credit and (ii) to each Tranche B-1
Lender, and each Tranche B-1 Lender hereby acquires from the Issuing Bank, a 

 

60

 

participation in such
Tranche B-1 Letters of Credit equal to such Lender’s Tranche B-1 Applicable
Percentage of the aggregate amount available to be drawn under such Tranche B-1
Letters of Credit.  In consideration and
in furtherance of the foregoing, (A) each Class A Revolving Lender
hereby absolutely and unconditionally agrees to pay to the Administrative
Agent, for the account of the Issuing Bank, such Class A Revolving Lender’s
Class A Revolving Applicable Percentage of each Revolving LC Disbursement
made by the Issuing Bank and not reimbursed by the Parent Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, on the date due as
provided in paragraph (e) of this Section, or of any reimbursement payment
in respect of a Revolving LC Disbursement required to be refunded to the Parent
Borrower or the applicable Foreign Subsidiary Borrower, as the case may be, for
any reason, and (B) each Tranche B-1 Lender hereby absolutely and
unconditionally authorizes and directs the Administrative Agent, and the
Administrative Agent agrees, to withdraw from the Deposit Account (and debit
such Lender’s Sub-Account in the amount of) such Lender’s Tranche B-1 Applicable Percentage of each Tranche B-1 LC
Disbursement made by such Issuing Bank and not reimbursed by the Parent Borrower on the date due as provided in
paragraph (e) of this Section, or such Lender’s Tranche B-1 Applicable Percentage of any reimbursement payment
in respect of a Tranche B-1 LC Disbursement required to be refunded to the Parent Borrower for any reason (it being
understood and agreed that, except as provided in the last sentence of this
paragraph, each Tranche B-1 Lender’s
obligations in respect of participations in Tranche B-1 Letters of Credit shall
be payable solely from, and limited to, such Tranche B-1 Lender’s Deposit). 
Each Class A Revolving Lender and Tranche B-1 Lender acknowledges
and agrees that its obligation to acquire participations pursuant to this
paragraph in respect of Letters of Credit is, subject in the case of Tranche
B-1 Lenders to the preceding sentence, absolute and unconditional and shall not
be affected by any circumstance whatsoever, including any amendment, renewal or
extension of any Letter of Credit or the occurrence and continuance of a
Default or reduction or termination of its Class A Revolving Commitment,
its Tranche B-1 Commitment, all Class A Revolving Commitments or the
Tranche B-1 Total Commitment, and that each such payment shall be made without
any offset, abatement, withholding or reduction whatsoever; provided
that in the event any reimbursement payment in respect of a Tranche B-1 LC
Disbursement shall be required to be refunded by an Issuing Bank to the Parent Borrower after the return of the
Deposits to the Lenders as provided in Section 2.01(a)(ii)(C), each Tranche B-1 Lender agrees to acquire and fund
a participation in such refunded amount equal to the lesser of its Tranche B-1
Applicable Percentage thereof and the amount of its Deposit that shall have
been so returned.  Notwithstanding the
foregoing or any other provision of this Agreement, but subject to Article IX,
a Lender with no Foreign Currency Commitment hereunder shall not be obligated
to participate in any Foreign Currency Letter of Credit.

 

(e) Reimbursement.  If the Issuing Bank shall make any LC
Disbursement in respect of a Letter of Credit, the Parent Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, shall reimburse
such LC Disbursement by paying to the Administrative Agent an amount equal to
such LC Disbursement not later than 12:00 noon, New York City time,
on the date that such LC Disbursement is made, if the Parent Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, shall 

 

61

 

have received notice of such
LC Disbursement prior to 10:00 a.m., New York City time or London
time (in the case of Foreign Currency Letters of Credit), on such date, or, if
such notice has not been received by the Parent Borrower or the applicable
Foreign Subsidiary Borrower, as the case may be, prior to such time on such
date, then not later than 12:00 noon, New York City time or London
time (in the case of Foreign Currency Letters of Credit), on the Business Day
immediately following the day that the Parent Borrower or the applicable
Foreign Subsidiary Borrower, as the case may be, receives such notice; provided
that (i) the Parent Borrower may, subject to the conditions to
borrowing set forth herein, request in accordance with Section 2.03 or
2.04 that such payment be financed with an ABR Borrowing (which will be a Class A/C
Revolving Borrowing in the case of a Revolving Letter of Credit or a Borrowing
of Tranche B-1 Loans in the case of a Tranche B-1 Letter of Credit) in an
equivalent amount and, to the extent so financed, the Parent Borrower’s
obligation to make such payment shall be discharged and replaced by the
resulting ABR Class A Revolving Loans and ABR Class C Revolving
Loans, Swingline Loan or Tranche B-1 Loans and (ii) such Foreign
Subsidiary Borrower may, subject to the conditions to borrowing set forth
herein, request in accordance with Section 2.03 that such payment be
financed with a Eurocurrency Class A/C Revolving Borrowing in an
equivalent amount in the applicable Foreign Currency and, to the extent so
financed, such Foreign Subsidiary Borrower’s obligation to make such payment
shall be discharged and replaced by the resulting Eurocurrency Class A
Revolving Loans and Eurocurrency Class C Revolving Loans.  If the Parent Borrower or the applicable
Foreign Subsidiary Borrower, as the case may be, fails to make such payment
when due, the Administrative Agent shall notify each Lender of the applicable LC
Disbursement, the payment then due from the Parent Borrower or the applicable
Foreign Subsidiary Borrower, as the case may be, in respect thereof and such
Lender’s Class A Revolving Applicable Percentage or Tranche B-1 Applicable
Percentage, as the case may be, thereof. 
Promptly following receipt of such notice, each Lender shall pay to the
Administrative Agent its Class A Revolving Applicable Percentage or its
Tranche B-1 Applicable Percentage, as the case may be, of the unreimbursed LC
Disbursement in the same manner as provided in Section 2.06 with respect
to Loans made by such Lender (and Section 2.06 shall apply, mutatis
mutandis, to the payment obligations of the Class A Revolving
Lenders and the Tranche B-1 Lenders), and the Administrative Agent shall
promptly pay to the Issuing Bank the amounts so received by it from the Class A
Revolving Lenders and the Tranche B-1 Lenders. 
Promptly following receipt by the Administrative Agent of any payment
from the Parent Borrower or the applicable Foreign Subsidiary Borrower, as the case
may be, pursuant to this paragraph, the Administrative Agent shall distribute
such payment to the Issuing Bank or, to the extent that Class A Revolving
Lenders or Tranche B-1 Lenders have made payments pursuant to this paragraph to
reimburse the Issuing Bank, then distribute such payment to such Lenders and
the Issuing Bank as their interests may appear. 
Any payment made by a Class A Revolving Lender or a Tranche B-1
Lender pursuant to this paragraph to reimburse the Issuing Bank for any LC
Disbursement (other than the funding of ABR Class A Revolving Loans and
ABR Class C Revolving Loans or Tranche B-1 Loans or a Swingline Loan as
contemplated above) shall not constitute a Loan and shall not relieve the
Parent Borrower or the applicable Foreign Subsidiary Borrower, as the case may
be, of its obligation to reimburse such LC Disbursement.

 

62

 

(f) Obligations
Absolute.  The obligation of the
Parent Borrower or any Foreign Subsidiary Borrower to reimburse LC
Disbursements as provided in paragraph (e) of this Section shall
be absolute, unconditional and irrevocable, and shall be performed strictly in
accordance with the terms of this Agreement under any and all circumstances
whatsoever and irrespective of (i) any lack of validity or enforceability
of any Letter of Credit or this Agreement, or any term or provision therein, (ii) any
draft or other document presented under a Letter of Credit proving to be
forged, fraudulent or invalid in any respect or any statement therein being
untrue or inaccurate in any respect, (iii) payment by the Issuing Bank
under a Letter of Credit against presentation of a draft or other document that
does not comply with the terms of such Letter of Credit, or (iv) any other
event or circumstance whatsoever, whether or not similar to any of the
foregoing, that might, but for the provisions of this Section, constitute a
legal or equitable discharge of, or provide a right of setoff against, the
obligations of the Parent Borrower or any Foreign Subsidiary Borrower
hereunder.  None of the Administrative
Agent, the Lenders or the Issuing Bank, or any of their Related Parties, shall
have any liability or responsibility by reason of or in connection with the
issuance or transfer of any Letter of Credit or any payment or failure to make
any payment thereunder (irrespective of any of the circumstances referred to in
the preceding sentence), or any error, omission, interruption, loss or delay in
transmission or delivery of any draft, notice or other communication under or
relating to any Letter of Credit (including any document required to make a
drawing thereunder), any error in interpretation of technical terms or any
consequence arising from causes beyond the control of the Issuing Bank; provided
that the foregoing shall not be construed to excuse the Issuing Bank from
liability to the Parent Borrower or any applicable Foreign Subsidiary Borrower,
as the case may be, to the extent of any direct damages (as opposed to
consequential damages, claims in respect of which are hereby waived by the
Parent Borrower or any applicable Foreign Subsidiary Borrower, as the case may
be, to the extent permitted by applicable law) suffered by the Parent Borrower
or any applicable Foreign Subsidiary Borrower, as the case may be, that are
caused by the Issuing Bank’s failure to exercise care when determining whether
drafts and other documents presented under a Letter of Credit comply with the
terms thereof.  The parties hereto
expressly agree that, in the absence of gross negligence or wilful misconduct
on the part of the Issuing Bank (as finally determined by a court of competent
jurisdiction), the Issuing Bank shall be deemed to have exercised care in each
such determination.  In furtherance of
the foregoing and without limiting the generality thereof, the parties agree
that, with respect to documents presented which appear on their face to be in
substantial compliance with the terms of a Letter of Credit, the Issuing Bank
may, in its sole discretion, either accept and make payment upon such documents
without responsibility for further investigation, regardless of any notice or
information to the contrary, or refuse to accept and make payment upon such
documents if such documents are not in strict compliance with the terms of such
Letter of Credit.

 

(g) Disbursement
Procedures.  The Issuing Bank shall,
promptly following its receipt thereof, examine all documents purporting to
represent a demand for payment under a Letter of Credit.  The Issuing Bank shall promptly notify the
Administrative Agent and the Parent Borrower or any applicable Foreign
Subsidiary Borrower, as the case may be, by telephone (confirmed by telecopy)
of such demand for payment and 

 

63

 

whether the Issuing Bank has
made or will make an LC Disbursement thereunder; provided that any
failure to give or delay in giving such notice shall not (i) relieve the
Parent Borrower or any applicable Foreign Subsidiary Borrower, as the case may
be, of its obligation to reimburse the Issuing Bank and the Lenders with
respect to any such LC Disbursement (other than with respect to the timing of
such reimbursement obligation set forth in Section 2.05(e)) or (ii) relieve
(A) any Lender’s obligations to acquire participations as required
pursuant to paragraph (d) of this Section 2.05 or (B) in the
case of a Tranche B-1 LC Disbursement, the obligation of the Administrative
Agent, promptly after receipt of such notice, to withdraw from the Deposit
Account each Lender’s Tranche B-1 Applicable Percentage of such Tranche B-1 LC
Disbursement and apply such amounts to make payments to the Issuing Bank as
provided herein.

 

(h) Interim
Interest.  If the Issuing Bank shall
make any LC Disbursement, then, unless the Parent Borrower or any applicable
Foreign Subsidiary Borrower, as the case may be, shall reimburse such LC
Disbursement in full on the date such LC Disbursement is made, the unpaid
amount thereof shall bear interest, for each day from and including the date
such LC Disbursement is made to but excluding the date that the Parent Borrower
or any applicable Foreign Subsidiary Borrower, as the case may be, reimburses
such LC Disbursement, at the rate per annum then applicable to (i) in the
case of interest for the account of the Issuing Bank, ABR Class A
Revolving Loans and (ii) in the case of interest for the account of any
Lender, ABR Loans made by such Lender; provided that, if the Parent
Borrower or any applicable Foreign Subsidiary Borrower, as the case may be,
fails to reimburse such LC Disbursement when due pursuant to paragraph (e) of
this Section 2.05, then Section 2.13(c) shall apply.  Interest accrued pursuant to this paragraph
shall be for the account of the Issuing Bank, except that interest accrued on
and after the date of payment by any Lender pursuant to paragraph (e) of
this Section 2.05 to reimburse the Issuing Bank shall be for the account
of such Lender to the extent of such payment.

 

(i) Replacement
of the Issuing Bank; Additional Issuing Banks.  The Issuing Bank may be replaced at any time
by written agreement among the Parent Borrower (on behalf of itself and the
Foreign Subsidiary Borrowers), the Administrative Agent, the replaced Issuing
Bank and the successor Issuing Bank.  One
or more Lenders may be appointed as additional Issuing Banks by written
agreement among the Parent Borrower (on behalf of itself and the Foreign
Subsidiary Borrowers), the Administrative Agent (whose consent will not be
unreasonably withheld) and the Lender that is to be so appointed.  The Administrative Agent shall notify the
Lenders of any such replacement of the Issuing Bank or any such additional
Issuing Bank.  At the time any such
replacement shall become effective, the Parent Borrower (on behalf of itself
and the Foreign Subsidiary Borrowers) shall pay all unpaid fees accrued for the
account of the replaced Issuing Bank pursuant to Section 2.12(b).  From and after the effective date of any such
replacement or addition, as applicable, (i) the successor or additional
Issuing Bank shall have all the rights and obligations of the Issuing Bank
under this Agreement with respect to Letters of Credit to be issued thereafter
and (ii) references herein to the term “Issuing Bank” shall be deemed to
refer to such successor or such addition or to any previous Issuing Bank, or to
such successor or such addition and all previous Issuing Banks, as the

 

64

 

context shall
require.  After the replacement of an
Issuing Bank hereunder, the replaced Issuing Bank shall remain a party hereto
and shall continue to have all the rights and obligations of an Issuing Bank
under this Agreement with respect to Letters of Credit issued by it prior to
such replacement, but shall not be required to issue additional Letters of
Credit.  If at any time there is more
than one Issuing Bank hereunder, the Parent Borrower (on behalf of itself and
the Foreign Subsidiary Borrowers) may, in its discretion, select which Issuing
Bank is to issue any particular Letter of Credit.

 

(j) Cash Collateralization. 
If any Event of Default shall occur and be continuing, on the Business
Day that the Parent Borrower or any Foreign Subsidiary Borrower receives notice
from the Administrative Agent or the Required Lenders (or, if the maturity of
the Loans has been accelerated, Class A Revolving Lenders and/or Tranche
B-1 Lenders with LC Exposure representing greater than 50% of the total LC
Exposure) demanding the deposit of cash collateral pursuant to this paragraph,
the Parent Borrower and the Foreign Subsidiary Borrowers, as the case may be,
shall deposit in an account with the Administrative Agent, in the name of the
Administrative Agent and for the benefit of the Lenders, an amount in cash in
the applicable currency equal to the LC Exposure as of such date plus any
accrued and unpaid interest thereon; provided that the obligation to
deposit such cash collateral shall become effective immediately, and such
deposit shall become immediately due and payable, without demand or other
notice of any kind, upon the occurrence of any Event of Default with respect to
the Parent Borrower or any Foreign Subsidiary Borrower described in
clause (h) or (i) of Article VII.  Each such deposit shall be held by the
Administrative Agent as collateral for the payment and performance of the
obligations of the Parent Borrower and the Foreign Subsidiary Borrowers under
this Agreement.  The Administrative Agent
shall have exclusive dominion and control, including the exclusive right of
withdrawal, over such account.  Other
than any interest earned on the investment of such deposits, which investments
shall be made at the option and sole discretion of the Administrative Agent and
at the risk and expense of the Parent Borrower and the Foreign Subsidiary
Borrowers, such deposits shall not bear interest.  Interest or profits, if any, on such
investments shall accumulate in such account. 
Moneys in such account shall be applied by the Administrative Agent to
reimburse the Issuing Bank for LC Disbursements for which it has not been
reimbursed and, to the extent not so applied, shall be held for the
satisfaction of the reimbursement obligations of the Parent Borrower and the
Foreign Subsidiary Borrowers for the LC Exposure at such time or, if the
maturity of the Loans has been accelerated (but subject to the consent of Class A
Revolving Lenders and/or Tranche B-1 Lenders with LC Exposure representing
greater than 50% of the total LC Exposure), be applied to satisfy other
obligations of the Parent Borrower and the Foreign Subsidiary Borrowers under
this Agreement.  If the Parent Borrower
or any Foreign Subsidiary Borrower is required to provide an amount of cash
collateral hereunder as a result of the occurrence of an Event of Default, such
amount plus any accrued interest or realized profits of such amounts (to the
extent not applied as aforesaid) shall be returned to the Parent Borrower or
such Foreign Subsidiary Borrower within three Business Days after all Events of
Default have been cured or waived.  If
the Parent Borrower is required to provide an amount of such collateral
hereunder pursuant to Section 2.11(b), such amount plus any accrued
interest or realized profits on account of such amount (to the 

 

65

 

extent not
applied as aforesaid) shall be returned to the Parent Borrower as and to the
extent that, after giving effect to such return, the Parent Borrower would
remain in compliance with Section 2.11(b) and no Default or Event of
Default shall have occurred and be continuing.

 

SECTION 2.06.  Funding of
Borrowings.  (a) Each Lender
shall make each Loan to be made by it hereunder on the proposed date thereof by
wire transfer of immediately available funds by 12:00 noon, New York
City time, or in the case of Foreign Currency Borrowings, London time, to the
account of the Administrative Agent most recently designated by it for such
purpose by notice to the Lenders; provided that Swingline Loans shall be
made as provided in Section 2.04. 
The Administrative Agent will make such Loans available to the Parent
Borrower or the applicable Foreign Subsidiary Borrower, as the case may be, by
promptly crediting the amounts so received, in like funds, to an account of the
Parent Borrower or such Foreign Subsidiary Borrower, as the case may be,
maintained with the Administrative Agent in New York City, or in the case
of Foreign Currency Borrowings, London, and designated by the Parent Borrower
or such Foreign Subsidiary Borrower, as the case may be, in the applicable
Borrowing Request; provided that Class A Revolving Loans and Class C
Revolving Loans made to finance the reimbursement of an LC Disbursement as
provided in Section 2.05(e) shall be remitted by the Administrative
Agent to the Issuing Bank.

 

(b) Unless the Administrative Agent shall have received notice
from a Lender prior to the proposed date of any Borrowing that such Lender will
not make available to the Administrative Agent such Lender’s share of such
Borrowing, the Administrative Agent may assume that such Lender has made such
share available on such date in accordance with paragraph (a) of this
Section and may, in reliance upon such assumption, make available to the
Parent Borrower or the applicable Foreign Subsidiary Borrower, as the case may
be, a corresponding amount.  In such
event, if a Lender has not in fact made its share of the applicable Borrowing
available to the Administrative Agent, then the applicable Lender and the
Parent Borrower or the applicable Foreign Subsidiary Borrower, as the case may
be, severally agree to pay to the Administrative Agent forthwith on demand such
corresponding amount with interest thereon, for each day from and including the
date such amount is made available to the Parent Borrower or the applicable
Foreign Subsidiary Borrower, as the case may be, to but excluding the date of
payment to the Administrative Agent, at (i) in the case of such Lender,
the greater of (x) the Federal Funds Effective Rate and (y) a rate
determined by the Administrative Agent in accordance with banking industry rules on
interbank compensation, except with respect to Foreign Currency Borrowings, the
applicable rate shall be determined as specified in clause (y) above,
or (ii) in the case of the Parent Borrower or any Foreign Subsidiary
Borrower, the interest rate applicable to ABR Class A Revolving
Loans.  If such Lender pays such amount
to the Administrative Agent, then such amount shall constitute such Lender’s
Loan included in such Borrowing.

 

(c) The Administrative Agent will make each Tranche B-1 Loan to be
made hereunder available to the Parent Borrower
by promptly crediting the amounts withdrawn by it from the Deposit Account in
accordance with Section 2.02(a)(ii), in like 

 

66

 

funds, to an
account designated by the Parent Borrower
in the applicable Borrowing Request; provided that Tranche B-1 Loans
made to finance the reimbursement of an LC Disbursement as provided in Section 2.05(e) shall
be remitted by the Administrative Agent to the applicable Issuing Bank.

 

SECTION 2.07.  Interest
Elections.  (a) Each Borrowing
initially shall be of the Type specified in the applicable Borrowing Request
and, in the case of a Eurocurrency Borrowing, shall have an initial Interest
Period as specified in such Borrowing Request. 
Thereafter, the Parent Borrower, the applicable Subsidiary Term Borrower
or the applicable Foreign Subsidiary Borrower, as the case may be, may elect to
convert such Borrowing to a different Type or to continue such Borrowing and,
in the case of a Eurocurrency Borrowing, may elect Interest Periods therefor,
all as provided in this Section.  The
Parent Borrower, the applicable Subsidiary Term Borrower or the applicable Foreign
Subsidiary Borrower, as the case may be, may elect different options with
respect to different portions of the affected Borrowing, in which case each
such portion shall be allocated ratably among the Lenders holding the Loans
comprising such Borrowing, and the Loans comprising each such portion shall be
considered a separate Borrowing.  This Section shall
not apply to Swingline Loans, which may not be converted or continued.

 

(b) To make an election pursuant to this Section, the Parent
Borrower, the applicable Subsidiary Term Borrower or the applicable Foreign
Subsidiary Borrower, as the case may be, shall notify the Administrative Agent
of such election by telephone by the time that a Borrowing Request would be
required under Section 2.03 if the Parent Borrower, the applicable
Subsidiary Term Borrower or the applicable Foreign Subsidiary Borrower, as the
case may be, were requesting a Revolving Loan, Tranche B-1 Loan or Tranche B
Term Loan of the Type resulting from such election to be made on the effective
date of such election.  Each such
telephonic Interest Election Request shall be irrevocable and shall be
confirmed promptly by hand delivery or telecopy to the Administrative Agent of
a written Interest Election Request in a form approved by the Administrative
Agent and signed by the Parent Borrower, the applicable Subsidiary Term
Borrower or the applicable Foreign Subsidiary Borrower, as the case may be.

 

(c) Each telephonic and written Interest
Election Request shall specify the following information in compliance with Section 2.02:

 

(i) the Borrowing to which such Interest Election Request applies
and, if different options are being elected with respect to different portions
thereof, the portions thereof to be allocated to each resulting Borrowing (in
which case the information to be specified pursuant to clauses (iii) and (iv) below
shall be specified for each resulting Borrowing);

 

(ii) the effective date of the election made pursuant to such
Interest Election Request, which shall be a Business Day;

 

(iii) whether the resulting Borrowing is to be an ABR Borrowing or
a Eurocurrency Borrowing; and

 

67

 

(iv) if the resulting Borrowing is a Eurocurrency Borrowing, the
Interest Period to be applicable thereto after giving effect to such election,
which shall be a period contemplated by the definition of the term “Interest
Period”.

 

If any such Interest Election Request requests a Eurocurrency Borrowing
but does not specify an Interest Period, then the Parent Borrower, the
applicable Subsidiary Term Borrower or the applicable Foreign Subsidiary
Borrower, as the case may be, shall be deemed to have selected an Interest
Period of one month’s duration.

 

(d) Promptly following receipt of an Interest Election Request,
the Administrative Agent shall advise each Lender of the details thereof and of
such Lender’s portion of each resulting Borrowing.

 

(e) If an Interest Election Request with respect to a Eurocurrency
Borrowing is not timely delivered prior to the end of the Interest Period
applicable thereto, then, unless such Borrowing is repaid as provided herein,
at the end of such Interest Period such Borrowing shall be converted to an ABR
Borrowing (unless such Borrowing is a Foreign Currency Borrowing, in which case
such Borrowing shall become due and payable on the last day of such Interest
Period).  Notwithstanding any contrary
provision hereof, if an Event of Default has occurred and is continuing and the
Administrative Agent, at the request of the Required Lenders, so notifies the
Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers), then, so long as an Event of Default is
continuing (i) no outstanding Borrowing (other than a Foreign Currency
Borrowing) may be converted to or continued as a Eurocurrency Borrowing and (ii) unless
repaid, each Eurocurrency Borrowing (other than a Foreign Currency Borrowing)
shall be converted to an ABR Borrowing at the end of the Interest Period
applicable thereto.

 

SECTION 2.08.  Termination
and Reduction of Commitments.  (a) Unless
previously terminated, (i) the Class A Revolving Commitments and Class C
Revolving Commitments shall terminate on the Class A Revolving Commitment
Termination Date and (ii) the Class B Revolving Commitments and
Tranche B-1 Commitments shall terminate on the Class B Revolving
Commitment Termination Date.  Each party
to this Agreement acknowledges that the Tranche B Commitments (as defined in
the Existing Credit Agreement) have terminated.

 

(b) The Parent Borrower (on behalf of itself and the Foreign
Subsidiary Borrowers) may at any time terminate, or from time to time reduce,
the Commitments of any Class (it being understood that reductions of the Class A
Revolving Commitments, the Class B Revolving Commitments, or the Class C
Revolving Commitments will automatically reduce the related Foreign Currency
Commitments on a pro rata basis); provided that (i) each reduction
of the Commitments of any Class shall be in an amount that is an integral
multiple of $1,000,000 and not less than $5,000,000 and (ii) (A) the
Revolving Commitments of any Class shall not be terminated or reduced if,
after giving effect to any concurrent prepayment of the Revolving Loans of such
Class in accordance with Section 2.11, the sum of the Revolving
Exposures of such Class would exceed the 

 

68

 

total
Revolving Commitments of such Class or (B) the Tranche B-1
Commitments shall not be reduced if, after giving effect to any concurrent prepayment
of the Tranche B-1 Loans in accordance with Section 2.11, the sum of the
Tranche B-1 Exposures would exceed the Tranche B-1 Total Commitment.  For purposes of this paragraph (b), the Class A
Revolving Commitments and Class C Revolving Commitments shall be deemed to
be a single Class.

 

(c) The Parent Borrower (on behalf of itself and the Foreign
Subsidiary Borrowers) shall notify the Administrative Agent (or, in the case of
Foreign Currency Commitments, the Foreign Currency Administrative Agent) of any
election to terminate or reduce the Commitments of any Class under
paragraph (b) of this Section at least three Business Days prior
(and, in the case of Foreign Currency Commitments, not later than 11 a.m.,
London Time, three Business Days prior) to the effective date of such
termination or reduction, specifying such election and the effective date
thereof.  Promptly following receipt of
any notice, the Administrative Agent shall advise the Lenders of the contents thereof.  Each notice delivered by the Parent Borrower
(on behalf of itself and the Foreign Subsidiary Borrowers) pursuant to this Section shall
be irrevocable; provided that a notice of termination of the Revolving
Commitments of any Class or a notice of reduction of the Tranche B-1
Commitments to zero delivered by the Parent Borrower (on behalf of itself and
the Foreign Subsidiary Borrowers) may state that such notice is conditioned
upon the effectiveness of other credit facilities or the occurrence of another
transaction, in which case such notice may be revoked by the Parent Borrower
(on behalf of itself and the Foreign Subsidiary Borrowers) (by notice to the
Administrative Agent on or prior to the specified effective date) if such
condition is not satisfied.  Any
reduction of the Commitments of any Class shall be permanent.  Each reduction of the Revolving Commitments
of any Class shall be made ratably among the Lenders of such Class, as
applicable, in accordance with their respective Revolving Commitments of such Class and
each reduction of the Tranche B-1 Commitments shall be made ratably among the
Tranche B-1 Lenders in accordance with their respective Tranche B-1
Commitments; provided that for purposes of this paragraph (c), the Class A
Revolving Commitments and Class C Revolving Commitments shall be deemed to
constitute a single Class. 
Notwithstanding the foregoing, any notice delivered to the
Administrative Agent pursuant to this Section 2.08(c) shall specify
the aggregate amount of the Commitments of each Class (without giving
effect to the proviso in the immediately preceding sentence) being so reduced.

 

For the avoidance of doubt, the conversion of a Class B Revolving
Commitment into a Class A Revolving Commitment pursuant to an Incremental
Amendment shall not be considered a reduction of Revolving Commitments and the
provisions of this Section 2.08 shall not apply to such conversion.

 

SECTION 2.09.  Repayment of
Loans; Evidence of Debt.  (a) The
Parent Borrower, each Subsidiary Term Borrower (with respect to Tranche B
Term Loans made to such Subsidiary Term Borrower) and each Foreign Subsidiary
Borrower (with respect to Foreign Currency Loans made to such Foreign
Subsidiary Borrower) hereby unconditionally promises to pay (i) to the
Administrative Agent (A) for the account of 

 

69

 

each Class A
Revolving Lender the then unpaid principal amount of each Class A
Revolving Loan of such Lender on the Class A Revolving Commitment
Termination Date, (B) for the account of each Class B Revolving Lender
the then unpaid principal amount of each Class B Revolving Loan of such
Lender on the Class B Revolving Commitment Termination Date, (C) for
the account of each Class C Revolving Lender the then unpaid principal
amount of each Class C Revolving Loan of such Lender on the Class A
Revolving Commitment Termination Date and (D) for the account of each
Tranche B-1 Lender the then unpaid principal amount of each Tranche B-1 Loan of
such Lender on the Class B Revolving Commitment Termination Date, (ii) to
the Administrative Agent for the account of each Lender the then unpaid
principal amount of each Tranche B Term Loan of such Lender as provided in Section 2.10
and (iii) to the Swingline Lender the then unpaid principal amount of each
Swingline Loan on the earlier of the Class A Revolving Commitment
Termination Date and the first date after such Swingline Loan is made that is
the 15th or last day of a calendar month and is at least two Business Days
after such Swingline Loan is made; provided that on each date that a
Revolving Loan (other than a Foreign Currency Borrowing) is made, the Parent
Borrower shall repay all Swingline Loans that were outstanding on the date such
Borrowing was requested.

 

(b) Each Lender shall maintain in accordance with its usual
practice an account or accounts evidencing the indebtedness of the Parent
Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers to
such Lender resulting from each Loan made by such Lender, including the amounts
of principal and interest payable and paid to such Lender from time to time
hereunder.

 

(c) The Administrative Agent shall maintain accounts in which it
shall record (i) the amount of each Loan made hereunder, the Class and
Type thereof and the Interest Period applicable thereto, (ii) the amount
of any principal or interest due and payable or to become due and payable from
the Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers to each Lender hereunder and (iii) the amount of any sum
received by the Administrative Agent hereunder for the account of the Lenders
and each Lender’s share thereof.

 

(d) The entries made in the accounts maintained pursuant to
paragraph (b) or (c) of this Section shall be prima
facie evidence of the existence and amounts of the obligations recorded
therein; provided that the failure of any Lender or the Administrative
Agent to maintain such accounts or any error therein shall not in any manner
affect the obligation of the Parent Borrower, the Subsidiary Term Borrowers and
the Foreign Subsidiary Borrowers to repay the Loans in accordance with the
terms of this Agreement.

 

(e) Any Lender may request that Loans of any Class made by it
be evidenced by a promissory note.  In
such event, the Parent Borrower, the applicable Subsidiary Term Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, shall prepare,
execute and deliver to such Lender a promissory note payable to the order of
such Lender (or, if requested by such Lender, to such Lender and its 

 

70

 

registered
assigns) and in a form approved by the Administrative Agent.  Thereafter, the Loans evidenced by such
promissory note and interest thereon shall at all times (including after
assignment pursuant to Section 10.04) be represented by one or more
promissory notes in such form payable to the order of the payee named therein
(or, if such promissory note is a registered note, to such payee and its
registered assigns).

 

SECTION 2.10.  Amortization
of Tranche B Term Loans.  (a) Subject
to adjustment pursuant to paragraph (e) of this Section, the Term
Loan Borrowers (i) shall repay Class A Tranche B Term Loans on each
date set forth below in an aggregate principal amount equal to (A) a
fraction, the numerator of which is the aggregate principal amount of Class A
Tranche B Term Loans outstanding on the Restatement Effective Date and the
denominator of which is the aggregate principal amount of Tranche B Term Loans
outstanding on the Restatement Effective Date multiplied by (B) the amount
set forth opposite such date in the table below and (ii) shall repay Class B
Tranche B Term Loans on each date set forth below on or before the Class B
Tranche B Maturity Date in an aggregate principal amount equal to (A) a
fraction, the numerator of which is the aggregate principal amount of Class B
Tranche B Term Loans outstanding on the Restatement Effective Date and the
denominator of which is the aggregate principal amount of Tranche B Term Loans
outstanding on the Restatement Effective Date multiplied by (B) the amount
set forth opposite such date in the table below (it being understood that the
amounts set forth below do not reflect adjustments in respect of prepayments,
if any, of Tranche B Term Loans prior to the Restatement Effective Date, which
shall affect and reduce the scheduled amortization payments set forth below in
a manner consistent with Section 2.10(d) of the Existing Credit
Agreement):

 

	
  Date

  	
   

  	
  Amount

  	
   

  
	
  December 31, 2009

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  March 31, 2010

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2010

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2010

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  December 31, 2010

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  March 31, 2011

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2011

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2011

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  December 31, 2011

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  March 31, 2012

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2012

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2012

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  December 31, 2012

  	
   

  	
  $

  	
  650,000

  	
   

  

 

71

 

	
  Date

  	
   

  	
  Amount

  	
   

  
	
  March 31, 2013

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2013

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2013

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  December 31, 2013

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  March 31, 2014

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2014

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2014

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  December 31, 2014

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  March 31, 2015

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  June 30, 2015

  	
   

  	
  $

  	
  650,000

  	
   

  
	
  September 30, 2015

  	
   

  	
  $

  	
  650,000

  	
   

  

 

provided that the foregoing scheduled
amortization payments shall be deemed to include, with respect to each Class of
Tranche B Term Loans, the entire remaining principal amount of the
Tranche B Term Loans of such Class payable on the applicable
Tranche B Maturity Date.  It is
understood that the foregoing scheduled repayments of Class A Tranche B
Term Loans and Class B Tranche B Term Loans are intended to result in
scheduled repayments of such Term Loans in the same amounts that would have
been required, as of the Restatement Effective Date, if the Restatement Transactions
had not occurred, but taking into account adjustments subsequent to the
Restatement Effective Date and, in the case of Class A Tranche B
Loans, scheduled repayments after the date that such Loans would have matured
under the Existing Credit Agreement.

 

(b) [Reserved].

 

(c) To the extent not previously paid, (i) all Class A
Tranche B Term Loans shall be due and payable on the Class A Tranche B
Maturity Date and (ii) all Class B Tranche B Term Loans shall be due
and payable on the Class B Tranche B Maturity Date.

 

(d) Any prepayment of Tranche B Term Loans of either Class shall
be applied to reduce the subsequent scheduled repayments of the Tranche B Term
Loans of such Class to be made pursuant to this Section ratably; provided
that any prepayment made pursuant to Section 2.11(a) shall be
applied, first, to reduce the next two scheduled repayments of the Tranche B
Term Loans of such Class due to be made within the next twelve months
pursuant to this Section unless and until such next scheduled repayment has
been eliminated as a result of reductions hereunder (provided, further,
that the amount of such prepayment that may be allocated as provided in this
proviso may not exceed the greater of 50% of such prepayment and the amount of
such two scheduled 

 

72

 

repayments).  Notwithstanding the foregoing, any prepayment
of Eurocurrency Tranche B Term Loans made pursuant to Section 2.11(a) on
a date that is (x) the last day of an Interest Period and (y) no more
than five days prior to a scheduled amortization payment pursuant this Section shall
be applied, first, to reduce such scheduled payment, and any excess shall be
applied as required by the first sentence of this Section 2.10(d).

 

(e) Prior to any repayment of any Tranche B Term Loans of either Class hereunder,
the Parent Borrower (on behalf of itself and the applicable Subsidiary Term
Borrower) shall select the Borrowing or Borrowings of the applicable Class to
be repaid and shall notify the Administrative Agent by telephone (confirmed by
telecopy) of such selection not later than 11:00 a.m., New York City
time, three Business Days before the scheduled date of such repayment.  Each repayment of a Borrowing shall be
applied ratably to the Loans included in the repaid Borrowing.  Repayments of Tranche B Term Loans shall be
accompanied by accrued interest on the amount repaid.

 

SECTION 2.11.  Prepayment
of Loans.  (a) The Parent
Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers,
as the case may be, shall have the right at any time and from time to time to
prepay any Borrowing in whole or in part, subject to the requirements of this
Section.

 

(b) In the event and on such occasion that (i) the sum of the
Class A Revolving Exposures exceeds the total Class A Revolving
Commitments, (ii) the sum of the Class B Revolving Exposures exceeds
the total Class B Revolving Commitments, (iii) the sum of the Class C
Revolving Exposures exceeds the total Class C Revolving Commitments or (iv) the
sum of the Tranche B-1 Exposures exceeds the Tranche B-1 Total Commitment, the
Parent Borrower and the Foreign Subsidiary Borrowers, as the case may be, shall
prepay Loans (or, if no such Borrowings are outstanding, deposit cash
collateral in an account with the Administrative Agent pursuant to Section 2.05(j))
in an aggregate amount equal to such excess.

 

(c) In the event and on such occasion that (i) the sum of the
Class A Foreign Currency Exposures exceeds (A) 105% of the total Class A
Foreign Currency Commitments solely as a result of currency fluctuations or (B) the
total Class A Foreign Currency Commitments (other than as a result of
currency fluctuations), the Foreign Subsidiary Borrowers shall prepay Class A
Foreign Currency Borrowings (or if no such Borrowings are outstanding, deposit
cash collateral in an account with the Administrative Agent pursuant to Section 2.05(j))
in an amount equal to the amount by which the sum of Class A Foreign
Currency Exposures exceed the total Class A Foreign Currency Commitments no
later than in the case of clause (i)(A) above the next Interest
Payment Date and in the case of clause (i)(B) above, the first Business
Day that such excess exists, (ii) the sum of the Class B Foreign
Currency Exposures exceeds (A) 105% of the total Class B Foreign
Currency Commitments solely as a result of currency fluctuations or (B) the
total Class B Foreign Currency Commitments (other than as a result of
currency fluctuations), the Foreign Subsidiary Borrowers shall prepay Class B
Foreign Currency Borrowings (or if no such Borrowings are outstanding, deposit
cash collateral in an account with the Administrative Agent pursuant to Section 2.05(j))
in an amount equal to 

 

73

 

the amount by
which the sum of Class B Foreign Currency Exposures exceed the total Class B
Foreign Currency Commitments no later than in the case of clause (ii)(A) above
the next Interest Payment Date and in the case of clause (ii)(B) above,
the first Business Day that such excess exists and (iii) the sum of the Class C
Foreign Currency Exposures exceeds (A) 105% of the total Class C
Foreign Currency Commitments solely as a result of currency fluctuations or (B) the
total Class C Foreign Currency Commitments (other than as a result of currency
fluctuations), the Foreign Subsidiary Borrowers shall prepay Class C
Foreign Currency Borrowings (or if no such Borrowings are outstanding, deposit
cash collateral in an account with the Administrative Agent pursuant to Section 2.05(j))
in an amount equal to the amount by which the sum of Class C Foreign
Currency Exposures exceed the total Class C Foreign Currency Commitments
no later than in the case of clause (i)(A) above the next Interest
Payment Date and in the case of clause (i)(B) above, the first Business
Day that such excess exists.

 

(d) In the event and on each occasion that any Net Proceeds are
received by or on behalf of Holdings, the Parent Borrower or any Subsidiary in
respect of any Prepayment Event, the Parent Borrower (on behalf of itself and,
in the case of Tranche B Term Loans, the Subsidiary Term Borrowers) shall,
within three Business Days after such Net Proceeds are received, prepay Tranche
B Term Loans in an aggregate amount equal to such Net Proceeds; provided
that, in the case of any event described in clause (a) of the
definition of the term Prepayment Event (other than sales, transfers or other
dispositions pursuant to Section 6.05(j) in excess of $25,000,000),
if Holdings or the Parent Borrower shall deliver, within such three Business
Days, to the Administrative Agent a certificate of a Financial Officer to the
effect that Holdings, the Parent Borrower and the Subsidiaries, intend to apply
the Net Proceeds from such event (or a portion thereof specified in such
certificate), within 365 days after receipt of such Net Proceeds, to
acquire real property, equipment or other tangible assets to be used in the
business of the Parent Borrower and the Subsidiaries, and certifying that no
Default has occurred and is continuing, then no prepayment shall be required
pursuant to this paragraph in respect of the Net Proceeds in respect of such
event (or the portion of such Net Proceeds specified in such certificate, if
applicable) except to the extent of any such Net Proceeds therefrom that have
not been so applied by the end of such 365-day period, at which time a
prepayment shall be required in an amount equal to such Net Proceeds that have
not been so applied.

 

(e) Following the end of each fiscal year of the Parent Borrower,
commencing with the fiscal year ending December 31, 2006, the Parent
Borrower (on behalf of itself and, in the case of Tranche B Term Loans, the
Subsidiary Term Borrowers) shall prepay Tranche B Term Loans in an aggregate
amount equal to 50% of Excess Cash Flow for such fiscal year; provided
that such percentage shall be reduced from 50% to 25% with respect to the
prepayment under this paragraph (e) if the Parent Borrower’s Leverage
Ratio as of the last fiscal quarter preceding the applicable prepayment date is
less than 3.00 to 1.00.  Each prepayment
pursuant to this paragraph shall be made on or before the date on which
financial statements are delivered pursuant to Section 5.01 with respect
to the fiscal year for which Excess Cash Flow is being calculated (and in any event
within 95 days after the end of such fiscal year).

 

74

 

(f) Prior to any optional or mandatory prepayment of Borrowings
hereunder, the Parent Borrower (on behalf of itself, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers) shall select the Borrowing or
Borrowings to be prepaid and shall specify such selection in the notice of such
prepayment pursuant to paragraph (g) of this Section.  In the event of any optional or mandatory
prepayment of Tranche B Term Loans made at a time when Tranche B Term Loans of
more than one Class remain outstanding, the Parent Borrower shall select
Tranche B Term Loans to be prepaid so that the aggregate amount of such
prepayment is allocated between the Class A Tranche B Term Loans and Class B
Tranche B Term Loans pro rata based on the aggregate principal amount of outstanding
Borrowings of each such Class; provided that any optional prepayment of Class B
Tranche B Term Loans may be made pursuant to Section 2.11(a) above
without a pro rata prepayment of Class A Tranche B Term Loans.  Any optional prepayment of Tranche B-1 Loans
shall be allocated ratably among the Tranche B-1 Lenders based on the aggregate
principal amount of each such Lender’s outstanding Tranche B-1 Loans, without
regard to whether any such Lender is a Class A Tranche B-1 Lender or a Class B
Tranche B-1 Lender.

 

(g) The Parent Borrower (on behalf of itself, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers) shall notify the Administrative
Agent (or, in the case of a Foreign Currency Borrowing, the Foreign Currency
Administrative Agent) and, in the case of prepayment of a Swingline Loan, the
Swingline Lender by telephone (confirmed by telecopy) of any prepayment
hereunder (i) in the case of prepayment of a Eurocurrency Borrowing, not
later than 12:00 noon, New York City time, three Business Days before
the date of prepayment, (ii) in the case of prepayment of an ABR
Borrowing, not later than 12:00 noon, New York City time, one
Business Day before the date of prepayment, (iii) in the case of
prepayment of a Swingline Loan, not later than 12:00 noon, New York
City time, on the date of prepayment and (iv) in the case of prepayment of
a Foreign Currency Borrowing, not later than 11 a.m. London Time, three
Business Days before the date of prepayment. 
Each such notice shall be irrevocable and shall specify the prepayment
date, the principal amount of each Borrowing or portion thereof to be prepaid
and, in the case of a mandatory prepayment, a reasonably detailed calculation
of the amount of such prepayment; provided that, if a notice of optional
prepayment is given in connection with a conditional notice of termination of
any Class of the Revolving Commitments or a conditional notice of
reduction of the Tranche B-1 Commitments to zero as contemplated by Section 2.08,
then such notice of prepayment may be revoked if such notice of termination is
revoked in accordance with Section 2.08; provided  further
that in the case of any prepayment of any Class A/C Revolving Borrowing,
the Parent Borrower shall provide separate notice of prepayment with respect to
that portion of such Borrowing comprised of Class A Revolving Loans and
that comprised of Class C Revolving Loans. 
Promptly following receipt of any such notice (other than a notice
relating solely to Swingline Loans), the Administrative Agent shall advise the
Lenders of the contents thereof.  Each
partial prepayment of any Borrowing shall be in an amount that would be
permitted in the case of an advance of a Borrowing of the same Type as provided
in Section 2.02, except as necessary to apply fully the required amount of
a mandatory prepayment.  Each prepayment
of a Borrowing shall be applied ratably to the Loans included in the prepaid 

 

75

 

Borrowing.  Prepayments shall be accompanied by accrued
interest to the extent required by Section 2.13. Prepayments of Tranche
B-1 Loans shall be deposited by the Administrative Agent in the Deposit Account
to the extent provided in Section 2.01(a)(ii)(B).

 

(h) In the event that any optional prepayment of Class A
Tranche B Term Loans or any reduction in the Class A Tranche B-1
Commitments is made substantially concurrently with (or with the proceeds from)
the incurrence of Indebtedness by Holdings, the Parent Borrower or any
Subsidiary of Indebtedness in the form of a term loan facility or a synthetic
letter of credit (or similar) facility, as applicable, having interest margins
that are, or upon satisfaction of certain conditions could be, lower than the
Applicable Margin then in effect for the Class A Tranche B Term Loans or
the Class A Tranche B-1 Loans, as applicable, such prepayment or reduction
shall be accompanied by, in the case of any such prepayment or reduction prior
to the first anniversary of the Restatement Effective Date, a prepayment
premium equal to 2.00% of the aggregate principal amount of Class A
Tranche B Term Loans so prepaid and Class A Tranche B-1 Commitments so
reduced and, in the case of any such prepayment or reduction after the first
anniversary but prior to the second anniversary of the Restatement Effective
Date, a prepayment premium equal to 1.00% of the aggregate principal amount of Class A
Tranche B Term Loans so prepaid and Class A Tranche B-1 Commitments so
reduced.

 

SECTION 2.12.  Fees.  (a) The Parent Borrower (on behalf of
itself, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers)
agrees to pay to the Administrative Agent for the account of each Lender a
commitment fee (the “Commitment Fee”), which shall accrue at the Applicable
Rate on the average daily unused amount of Class A Revolving Commitment, Class B
Revolving Commitment or Class C Revolving Commitment, as applicable, of
such Lender during the period from and including the Restatement Effective Date
(or, in the case of a Class C Revolving Commitment, the Class C
Amendment Effective Date) to but excluding the date on which such Commitment
terminates.  Accrued Commitment Fees
shall be payable in arrears in respect of either Class of the Revolving
Commitments, on the last day of March, June, September and December of
each year and on the date on which the Revolving Commitments of such Class terminate,
commencing on the first such date to occur after the Restatement Effective
Date.  All Commitment Fees shall be
computed on the basis of a year of 360 days and shall be payable for the
actual number of days elapsed (including the first day but excluding the last
day).  For purposes of computing
Commitment Fees with respect to Revolving Commitments, a Revolving Commitment
of a Lender shall be deemed to be used to the extent of the outstanding
Revolving Loans and Revolving LC Exposure of such Lender (and the Swingline
Exposure of such Lender shall be disregarded for such purpose).

 

(b) (i) The Parent Borrower (on behalf of itself and the
Foreign Subsidiary Borrowers) agrees to pay (A) to the Administrative
Agent for the account of each Class A Revolving Lender a participation fee
with respect to its participations in Revolving Letters of Credit, which shall
accrue at the same Applicable Rate as interest on Eurocurrency Class A
Revolving Loans made by such Lender on the average daily 

 

76

 

amount of such
Lender’s Revolving LC Exposure (excluding any portion thereof attributable to
unreimbursed LC Disbursements) during the period from and including the
Restatement Effective Date to but excluding the later of the date on which (1) such
Lender’s Class A Revolving Commitment terminates and (2) such Lender
ceases to have any Revolving LC Exposure, and (B) to the Issuing Bank a
fronting fee, which shall accrue at the rate of 0.25% per annum on the average
daily amount of the LC Exposure (excluding any portion thereof attributable to
unreimbursed LC Disbursements) during the period from and including the
Restatement Effective Date to but excluding the later of the date on which (1) all
Class A Revolving Commitments terminate and Tranche B-1 Commitments are
reduced to zero and (2) the date on which there ceases to be any LC
Exposure, as well as the Issuing Bank’s standard fees with respect to the
issuance, amendment, renewal or extension of any Letter of Credit or processing
of drawings thereunder.  Participation
fees and fronting fees accrued through and including the last day of March,
June, September and December of each year shall be payable on the
third Business Day following such last day, commencing on the first such date
to occur after the First Restatement Effective Date; provided that (x) all
such fees in respect of Revolving Letters of Credit shall be payable on the
date on which the Class A Revolving Commitments terminate and any such
fees accruing after the date on which the Class A Revolving Commitments
terminate shall be payable on demand and (y) all such fees payable in
respect of Tranche B-1 Letters of Credit shall be payable on the date on which
the Tranche B-1 Total Commitment is reduced to zero and any such fees accruing
after the date on which the Tranche B-1 Total Commitment is reduced to zero
shall be payable on demand.  Any other
fees payable to the Issuing Bank pursuant to this paragraph shall be payable
within 10 days after demand.  All
participation fees and fronting fees shall be computed on the basis of a year
of 360 days and shall be payable for the actual number of days elapsed
(including the first day but excluding the last day).

 

(ii) The Parent Borrower (on behalf of itself and the Foreign
Subsidiary Borrowers) agrees to pay to the Administrative Agent for the account
of each Tranche B-1 Lender a fee, accruing at the rate of 4.00% per annum in
the case of a Class A Tranche B-1 Lender and 2.75% per annum in the case
of a Class B Tranche B-1 Lender, on the daily amount of the Deposit of
such Lender during the period from and including the date hereof to but
excluding the date on which each of the Tranche B-1 Total Commitment and the
Tranche B-1 LC Exposure have been reduced to zero.  In addition, the Parent Borrower agrees to
pay to the Administrative Agent for the account of each Tranche B-1 Lender an
additional amount, accruing at the rate per annum of (i) in the case of
each Class A Tranche B-1 Lender, 0.25% plus the excess of 2.00% over the
Benchmark LIBO Rate and (ii) in the case of each Class B Tranche B-1
Lender, 0.25%, in each case on the daily amount of the Deposit of such Lender
during the period from and including the First Restatement Effective Date to
but excluding the date on which each of the Tranche B-1 Total Commitment and
the Tranche B-1 LC Exposure have been reduced to zero.  Fees and other amounts under this paragraph
accrued through and including the last day of March, June, September and December of
each year shall be payable on the third Business Day following such last day,
commencing on the first such date to occur after the Restatement Effective
Date, and on the 

 

77

 

date on which each of the Tranche B-1 Total Commitment and the Tranche
B-1 LC Exposure have been reduced to zero. 
All fees and amounts payable under this paragraph shall be computed on
the basis of a 365/366 day year and shall be payable for the actual number of
days elapsed (including the first day but excluding the last day).

 

(c) The Parent Borrower (on behalf of itself, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers) agrees to pay to the
Administrative Agent, for its own account, fees payable in the amounts and at
the times separately agreed upon between the Parent Borrower and the
Administrative Agent.

 

(d) All fees payable hereunder shall be paid on the dates due, in
immediately available funds, to the Administrative Agent (or to the Issuing
Bank, in the case of fees payable to it) for distribution, in the case of
Commitment Fees and participation fees, to the Lenders entitled thereto.  Fees paid shall not be refundable under any
circumstances.

 

SECTION 2.13.  Interest.  (a) The Loans comprising each
ABR Borrowing (including each Swingline Loan) shall bear interest at the
applicable Alternate Base Rate plus the Applicable Rate.

 

(b) The Loans comprising each Eurocurrency Borrowing shall bear
interest at the Adjusted LIBO Rate for the Interest Period in effect for such
Borrowing plus the Applicable Rate.

 

(c) Notwithstanding the foregoing, if any principal of or interest
on any Loan or any fee or other amount payable by the Parent Borrower, the
Subsidiary Term Borrowers or the Foreign Subsidiary Borrowers, as the case may
be, hereunder is not paid when due, whether at stated maturity, upon
acceleration or otherwise, such overdue amount shall bear interest, after as
well as before judgment, at a rate per annum equal to (i) in the case of
overdue principal of any Loan, 2% plus the rate otherwise applicable to such
Loan as provided in the preceding paragraphs of this Section or (ii) in
the case of any other amount, 2% plus the rate applicable to ABR Revolving
Loans of the Class as to which such overdue amount relates or the Class of
Lender as to which such overdue amount is owing (or, if such overdue amount is
not related to a particular Class, the rate applicable to ABR Class A
Revolving Loans as provided in paragraph (a) of this Section).

 

(d) Accrued interest on each Loan shall be payable in arrears on
each Interest Payment Date for such Loan and, in the case of Revolving Loans of
any Class, upon termination of the Revolving Commitments of such Class and
in the case of Tranche B-1 Loans, upon reduction of the Tranche B-1 Commitment
to zero; provided that (i) interest accrued pursuant to
paragraph (c) of this Section shall be payable on demand, (ii) in
the event of any repayment or prepayment of any Loan (other than a prepayment
of an ABR Revolving Loan prior to the end of the Class A Revolving
Availability Period, Class B Revolving Availability Period or Class C
Revolving Availability Period, as applicable), accrued interest on the
principal amount repaid or 

 

78

 

prepaid shall
be payable on the date of such repayment or prepayment and (iii) in the
event of any conversion of any Eurocurrency Loan prior to the end of the
current Interest Period therefor, accrued interest on such Loan shall be
payable on the effective date of such conversion.

 

(e) All interest hereunder shall be computed on the basis of a
year of 360 days, except that (i) interest on a Foreign Currency
Borrowing denominated in Sterling and (ii) interest computed by reference
to the Alternate Base Rate at times when the Alternate Base Rate is based on
the Prime Rate shall be computed on the basis of a year of 365 days (or
366 days in a leap year), and in each case shall be payable for the actual
number of days elapsed (including the first day but excluding the last
day).  The applicable Alternate Base Rate
or Adjusted LIBO Rate shall be determined by the Administrative Agent, and such
determination shall be conclusive absent manifest error.

 

SECTION 2.14.  Alternate Rate of Interest.  If prior to the commencement of any Interest
Period for a Eurocurrency Borrowing denominated in any currency:

 

(a) the Administrative Agent determines (which determination shall
be conclusive absent manifest error) that adequate and reasonable means do not
exist for ascertaining the Adjusted LIBO Rate for such Interest Period; or

 

(b) the Administrative Agent is advised by the Required Lenders
that the Adjusted LIBO Rate for such Interest Period will not adequately and
fairly reflect the cost to such Lenders of making or maintaining their Loans
included in such Borrowing for such Interest Period;

 

then the Administrative Agent shall give notice thereof to the Parent
Borrower (on behalf of itself, the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers) and the Lenders by telephone or telecopy as promptly as
practicable thereafter and, until the Administrative Agent notifies the Parent
Borrower (on behalf of itself, the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers) and the Lenders that the circumstances giving rise to
such notice no longer exist, (i) any Interest Election Request that
requests the conversion of any Borrowing denominated in such currency to, or
continuation of any Borrowing denominated in such currency as, a Eurocurrency
Borrowing shall be ineffective, and any Eurocurrency Borrowing denominated in
such currency that is requested to be continued (A) if such currency is
the dollar, shall be converted to an ABR Borrowing on the last day of the Interest
Period applicable thereto and (B) if such currency is a Foreign Currency,
shall be repaid on the last day of the Interest Period applicable thereto and (ii) if
any Borrowing Request requests a Eurocurrency Borrowing denominated in such
currency (A) if such currency is the dollar, such Borrowing shall be made
as an ABR Borrowing and (B) if such currency is a Foreign Currency, such
Borrowing Request shall be ineffective.

 

SECTION 2.15.  Increased Costs.  (a) If any Change in Law shall:

 

(i) impose, modify or deem applicable any reserve, special deposit
or similar requirement against assets of, deposits with or for the account of,
or 

 

79

 

credit extended by, any Lender (except any such reserve requirement
reflected in the Adjusted LIBO Rate) or the Issuing Bank or any Deposit or the
Deposit Account; or

 

(ii) impose on any Lender or the Issuing Bank or the London
interbank market any other condition affecting this Agreement or Eurocurrency
Loans made by such Lender or any Letter of Credit or participation therein or
any Deposit or the Deposit Account;

 

and the result of any of the foregoing shall be to increase the cost to
such Lender of making or maintaining its Deposit or any Eurocurrency Loan (or
of maintaining its obligation to make any such Loan) or to increase the cost to
such Lender or the Issuing Bank of participating in, issuing or maintaining any
Letter of Credit or to reduce the amount of any sum received or receivable by
such Lender or the Issuing Bank hereunder (whether of principal, interest or
otherwise), then the Parent Borrower, the applicable Subsidiary Term Borrowers
or the applicable Foreign Subsidiary Borrowers, as the case may be, will pay to
such Lender or the Issuing Bank, as the case may be, such additional amount or
amounts as will compensate such Lender or the Issuing Bank, as the case may be,
for such additional costs incurred or reduction suffered.

 

(b) If any Lender or the Issuing Bank determines that any Change
in Law regarding capital requirements has or would have the effect of reducing
the rate of return on such Lender’s or the Issuing Bank’s capital or on the
capital of such Lender’s or the Issuing Bank’s holding company, if any, as a
consequence of this Agreement or the Loans made by, or participations in
Letters of Credit held by, such Lender, or the Deposit or Sub-Account of such
Lender, or the Letters of Credit issued by the Issuing Bank, to a level below
that which such Lender or the Issuing Bank or such Lender’s or the Issuing Bank’s
holding company could have achieved but for such Change in Law (taking into
consideration such Lender’s or the Issuing Bank’s policies and the policies of
such Lender’s or the Issuing Bank’s holding company with respect to capital
adequacy), then from time to time the Parent Borrower, the applicable
Subsidiary Term Borrowers or the applicable Foreign Subsidiary Borrowers, as
the case may be, will pay to such Lender or the Issuing Bank, as the case may
be, such additional amount or amounts as will compensate such Lender or the
Issuing Bank or such Lender’s or the Issuing Bank’s holding company for any
such reduction suffered.

 

(c) A certificate of a Lender or the Issuing Bank setting forth
the amount or amounts necessary to compensate such Lender or the Issuing Bank
or its holding company, as the case may be, as specified in paragraph (a) or
(b) of this Section shall be delivered to the Parent Borrower (on
behalf of itself, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers) and shall be conclusive absent manifest error.  The Parent Borrower, the applicable
Subsidiary Term Borrowers or the applicable Foreign Subsidiary Borrowers, as
the case may be, shall pay such Lender or the Issuing Bank, as the case may be,
the amount shown as due on any such certificate within 10 days after
receipt thereof.

 

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(d) Failure or delay on the part of any Lender or the Issuing Bank
to demand compensation pursuant to this Section shall not constitute a waiver
of such Lender’s or the Issuing Bank’s right to demand such compensation; provided
that none of the Parent Borrower, any Subsidiary Term Borrower or any Foreign
Subsidiary Borrower shall be required to compensate a Lender or the Issuing
Bank pursuant to this Section for any increased costs or reductions
incurred more than 270 days prior to the date that such Lender or the
Issuing Bank, as the case may be, notifies the Parent Borrower (on behalf of
itself, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers) of
the Change in Law giving rise to such increased costs or reductions and of such
Lender’s or the Issuing Bank’s intention to claim compensation therefor; provided
further that, if the Change in Law giving rise to such increased costs
or reductions is retroactive, then the 270-day period referred to above shall
be extended to include the period of retroactive effect thereof.

 

SECTION 2.16.  Break
Funding Payments.  In the event of (a) the
payment of any principal of any Eurocurrency Loan other than on the last day of
an Interest Period applicable thereto (including as a result of an Event of
Default), (b) the conversion of any Eurocurrency Loan other than on the
last day of the Interest Period applicable thereto, (c) the failure to borrow,
convert, continue or prepay any Revolving Loan or Tranche B Term Loan on the
date specified in any notice delivered pursuant hereto (regardless of whether
such notice may be revoked under Section 2.11(g) and is revoked in
accordance therewith), or (d) the assignment of any Eurocurrency Loan
other than on the last day of the Interest Period applicable thereto as a
result of a request by the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower pursuant to Section 2.19, then, in any such
event, the Parent Borrower, the applicable Subsidiary Term Borrower or the
applicable Foreign Subsidiary Borrower, as the case may be, shall compensate
each Lender for the loss, cost and expense attributable to such event.  In the case of a Eurocurrency Loan, such
loss, cost or expense to any Lender shall be deemed to include an amount
determined by such Lender to be the excess, if any, of (i) the amount of
interest which would have accrued on the principal amount of such Loan had such
event not occurred, at the Adjusted LIBO Rate that would have been applicable
to such Loan, for the period from the date of such event to the last day of the
then current Interest Period therefor (or, in the case of a failure to borrow,
convert or continue, for the period that would have been the Interest Period
for such Loan), over (ii) the amount of interest which would accrue on
such principal amount for such period at the interest rate which such Lender
would bid were it to bid, at the commencement of such period, for deposits in
the applicable currency of a comparable amount and period from other banks in
the Eurocurrency market.  A certificate
of any Lender setting forth any amount or amounts that such Lender is entitled to
receive pursuant to this Section shall be delivered to the Parent Borrower
(on behalf of itself, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers) and shall be conclusive absent manifest error.  The Parent Borrower, the applicable Subsidiary
Term Borrower or the applicable Foreign Subsidiary Borrower, as the case may
be, shall pay such Lender the amount shown as due on any such certificate
within 10 days after receipt thereof.

 

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SECTION 2.17.  Taxes.  (a) Any and all payments by or on
account of any obligation of the Parent Borrower, any Subsidiary Term Borrower
or any Foreign Subsidiary Borrower hereunder or under any other Loan Document
shall be made free and clear of and without deduction for any Indemnified Taxes
or Other Taxes; provided that if the Parent Borrower, any Subsidiary
Term Borrower or any Foreign Subsidiary Borrower shall be required to deduct
any Indemnified Taxes or Other Taxes from such payments, then (i) the sum
payable shall be increased as necessary so that after making all required
deductions (including deductions applicable to additional sums payable under
this Section) the Administrative Agent, Lender or Issuing Bank (as the case may
be) receives an amount equal to the sum it would have received had no such
deductions been made, (ii) the Parent Borrower, such Subsidiary Term
Borrower or such Foreign Subsidiary Borrower, as the case may be, shall make
such deductions and (iii) the Parent Borrower, such Subsidiary Term
Borrower or such Foreign Subsidiary Borrower, as the case may be, shall pay the
full amount deducted to the relevant Governmental Authority in accordance with
applicable law.

 

(b) In addition, the Parent Borrower, each Subsidiary Term
Borrower and each Foreign Subsidiary Borrower shall pay any Other Taxes to the
relevant Governmental Authority in accordance with applicable law.

 

(c) The Parent Borrower, each Subsidiary Term Borrower and each
Foreign Subsidiary Borrower, as the case may be, shall indemnify the
Administrative Agent, each Lender and the Issuing Bank, within 10 Business
Days after written demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes (i) paid by the Administrative Agent, such Lender or
the Issuing Bank, as the case may be, on or with respect to any payment by or
on account of any obligation of the Parent Borrower, each Subsidiary Term
Borrower and each Foreign Subsidiary Borrower, as the case may be,  hereunder or under any other Loan Document
(including Indemnified Taxes or Other Taxes imposed or asserted on or
attributable to amounts payable under this Section) and any penalties, interest
and reasonable expenses arising therefrom or with respect thereto and (ii) withheld
by the Administrative Agent with respect to any and all payments of the Deposit
Return to the Tranche B-1 Lenders (including Indemnified Taxes or Other Taxes
imposed or asserted on or attributable to amounts payable under this Section),
in each case, whether or not such Indemnified Taxes or Other Taxes were
correctly or legally imposed or asserted by the relevant Governmental
Authority.  A certificate as to the
amount of such payment or liability delivered to the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower, as the case may
be, by a Lender or the Issuing Bank, or by the Administrative Agent on its own
behalf or on behalf of a Lender or the Issuing Bank, shall be conclusive absent
manifest error.

 

(d) As soon as practicable after any payment of Indemnified Taxes
or Other Taxes by the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower to a Governmental Authority, the Parent Borrower,
such Subsidiary Term Borrower or such Foreign Subsidiary Borrower, as the case
may be, shall deliver to the Administrative Agent the original or a certified
copy of a receipt issued by such Governmental Authority evidencing such
payment, a copy of the return reporting such 

 

82

 

payment or
other evidence of such payment reasonably satisfactory to the Administrative
Agent.

 

(e) Any Lender that is entitled to an exemption from or reduction
of withholding tax under the law of the jurisdiction in which the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower, as
the case may be, is located, or any treaty to which such jurisdiction is a
party, with respect to payments under this Agreement shall deliver to the
Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers) (with a copy to the Administrative Agent), at the
time or times prescribed by applicable law, such properly completed and
executed documentation prescribed by applicable law or reasonably requested by
the Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers) as will permit such payments to be made without
withholding or at a reduced rate.

 

(f) If the Administrative Agent or a Lender (or a transferee)
determines, in its sole discretion, that it has received a refund of any Taxes
or Other Taxes as to which it has been indemnified by the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower or with respect to
which the Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers
and the Foreign Subsidiary Borrowers) has paid additional amounts pursuant to
this Section 2.17, it shall pay over such refund to the Parent Borrower
(but only to the extent of indemnity payments made, or additional amounts paid,
by the Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower under this Section 2.17 with respect to the Taxes or the Other
Taxes giving rise to such refund), net of all out-of-pocket expenses of the
Administrative Agent or such Lender (or transferee) and without interest (other
than any interest paid by the relevant Governmental Authority with respect to
such refund); provided, however, that the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower, upon the request
of the Administrative Agent or such Lender (or transferee), agrees to repay the
amount paid over to the Parent Borrower (plus any penalties, interest or other
charges imposed by the relevant Governmental Authority) to the Administrative
Agent or such Lender (or transferee) in the event the Administrative Agent or
such Lender (or transferee) is required to repay such refund to such
Governmental Authority.  Nothing
contained in this Section 2.17(f) shall require the Administrative
Agent or any Lender to make available its tax returns or any other information
relating to its taxes which it deems confidential to the Parent Borrower or any
other person.

 

SECTION 2.18.  Payments
Generally; Pro Rata Treatment; Sharing of Set-offs.  (a) The Parent Borrower (on behalf of
itself, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers)
shall make each payment required to be made by it hereunder or under any other
Loan Document (whether of principal, interest, fees or reimbursement of LC
Disbursements, or of amounts payable under Section 2.15, 2.16 or 2.17, or
otherwise) on or before the time expressly required hereunder or under such
other Loan Document for such payment (or, if no such time is expressly
required, prior to 12:00 noon, New York City time, or if the
applicable Loan is a Foreign Currency Loan, London time), on the date when due,
in immediately available funds, without set-off or 

 

83

 

counterclaim.  Any amounts received after such time on any
date may, in the discretion of the Administrative Agent, be deemed to have been
received on the next succeeding Business Day for purposes of calculating
interest thereon.  All such payments
shall be made to the Administrative Agent at its offices at 270 Park Avenue,
New York, New York (unless otherwise instructed in the case of
Foreign Currency Loans), except payments to be made directly to the Issuing
Bank or Swingline Lender as expressly provided herein and except that payments
pursuant to Sections 2.15, 2.16, 2.17 and 10.03 shall be made directly to the
Persons entitled thereto and payments pursuant to other Loan Documents shall be
made to the Persons specified therein. 
The Administrative Agent shall distribute any such payments received by
it for the account of any other Person to the appropriate recipient promptly
following receipt thereof.  If any
payment under any Loan Document shall be due on a day that is not a Business
Day, the date for payment shall be extended to the next succeeding Business
Day, and, in the case of any payment accruing interest, interest thereon shall
be payable for the period of such extension. 
Subject to Section 9.01, (i) all payments under each Loan
Document of principal or interest in respect of any Loan or LC Disbursement
shall be made in the currency of such Loan or LC Disbursement, (ii) any
portion of the fees payable pursuant to Section 2.12(b) in respect of
Foreign Currency LC Exposure shall be made in the applicable Foreign Currency,
and (iii) all other payments hereunder and under each other Loan Document
shall be made in dollars.

 

(b) If at any time insufficient funds are received by and
available to the Administrative Agent to pay fully all amounts of principal,
unreimbursed LC Disbursements, interest and fees then due hereunder, such funds
shall be applied (i) first, towards payment of interest and fees then due
hereunder, ratably among the parties entitled thereto in accordance with the
amounts of interest and fees then due to such parties, and (ii) second,
towards payment of principal and unreimbursed LC Disbursements then due
hereunder, ratably among the parties entitled thereto in accordance with the
amounts of principal and unreimbursed LC Disbursements then due to such
parties.

 

(c) If any Lender shall, by exercising any right of set-off or counterclaim
or otherwise, obtain payment in respect of any principal of or interest on any
of its Revolving Loans, Tranche B Term Loans, Tranche B-1 Loans or
participations in LC Disbursements or Swingline Loans resulting in such Lender
receiving payment of a greater proportion of the aggregate amount of its
Revolving Loans, Tranche B Term Loans, Tranche B-1 Loans and participations in
LC Disbursements and Swingline Loans and accrued interest thereon than the
proportion received by any other Lender, then the Lender receiving such greater
proportion shall purchase (for cash at face value) participations in the
Revolving Loans, Tranche B Term Loans, Tranche B-1 Loans and participations in
LC Disbursements and Swingline Loans of other Lenders to the extent necessary
so that the benefit of all such payments shall be shared by the Lenders ratably
in accordance with the aggregate amount of principal of and accrued interest on
their respective Revolving Loans, Tranche B Term Loans, Tranche B-1 Loans and
participations in LC Disbursements and Swingline Loans; provided that (i) if
any such participations are purchased and all or any portion of the payment
giving rise thereto is

 

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recovered,
such participations shall be rescinded and the purchase price restored to the
extent of such recovery, without interest, and (ii) the provisions of this
paragraph shall not be construed to apply to any payment made by the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower
pursuant to and in accordance with the express terms of this Agreement or any
payment obtained by a Lender as consideration for the assignment of or sale of
a participation in any of its Loans or participations in LC Disbursements to
any assignee or participant, other than to the Parent Borrower or any
Subsidiary or Affiliate thereof (as to which the provisions of this paragraph
shall apply).  The Parent Borrower, each
Subsidiary Term Borrower and each Foreign Subsidiary Borrower consents to the
foregoing and agrees, to the extent it may effectively do so under applicable
law, that any Lender acquiring a participation pursuant to the foregoing
arrangements may exercise against the Parent Borrower, any Subsidiary Term
Borrower or any Foreign Subsidiary Borrower, as the case may be, rights of
set-off and counterclaim with respect to such participation as fully as if such
Lender were a direct creditor of the Parent Borrower, such Subsidiary Term
Borrower or such Foreign Subsidiary Borrower in the amount of such
participation.

 

(d) Unless the Administrative Agent shall have received notice
from the Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers
and the Foreign Subsidiary Borrowers) prior to the date on which any payment is
due to the Administrative Agent for the account of the Lenders or the Issuing
Bank hereunder that the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower, as the case may be, will not make such payment,
the Administrative Agent may assume that the Parent Borrower, such Subsidiary
Term Borrower or such Foreign Subsidiary Borrower, as the case may be, has made
such payment on such date in accordance herewith and may, in reliance upon such
assumption, distribute to the Lenders or the Issuing Bank, as the case may be
(or to the extent provided in Section 2.01(a)(ii)(B), deposit in the
Deposit Account), the amount due.  In
such event, if the Parent Borrower, such Subsidiary Term Borrower or such Foreign
Subsidiary Borrower, as the case may be, has not in fact made such payment,
then each of the Lenders or the Issuing Bank, as the case may be, severally
agrees to repay to the Administrative Agent forthwith on demand the amount so
distributed to such Lender or Issuing Bank (or, if such amount shall have been
deposited in the Deposit Account, each Tranche B-1 Lender authorizes the
Administrative Agent to withdraw such amount from the Deposit Account) with
interest thereon, for each day from and including the date such amount is
distributed to it to but excluding the date of payment to the Administrative
Agent, at the greater of the Federal Funds Effective Rate and a rate determined
by the Administrative Agent in accordance with banking industry rules on
interbank compensation.

 

(e) If any Lender shall fail to make any payment required to be
made by it pursuant to Section 2.04(c), 2.05(d) or (e), 2.06(b), 2.18(d) or
10.03(c), then the Administrative Agent may, in its discretion (notwithstanding
any contrary provision hereof), apply any amounts thereafter received by the
Administrative Agent for the account of such Lender to satisfy such Lender’s
obligations under such Sections until all such unsatisfied obligations are
fully paid.

 

85

 

SECTION 2.19.  Mitigation
Obligations; Replacement of Lenders. 
(a) If any Lender requests compensation under Section 2.15, or
if the Parent Borrower, any Subsidiary Term Borrower or any Foreign
Subsidiary Borrower is required to pay any additional amount to any Lender or
any Governmental Authority for the account of any Lender pursuant to Section 2.17,
then such Lender shall use reasonable efforts to designate a different lending
office for funding or booking its Loans hereunder or to assign its rights and
obligations hereunder to another of its offices, branches or affiliates, if, in
the judgment of such Lender, such designation or assignment (i) would
eliminate or reduce amounts payable pursuant to Section 2.15 or 2.17, as
the case may be, in the future and (ii) would not subject such Lender to
any unreimbursed cost or expense and would not otherwise be disadvantageous to
such Lender.  The Parent Borrower (on
behalf of itself, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers) hereby agrees to pay all reasonable costs and expenses incurred by
any Lender in connection with any such designation or assignment.

 

(b) If any Lender requests compensation under Section 2.15,
or if the Parent Borrower, any Subsidiary Term Borrower or any Foreign
Subsidiary Borrower is required to pay any additional amount to any Lender or
any Governmental Authority for the account of any Lender pursuant to Section 2.17,
or if any Lender defaults in its obligation to fund Loans hereunder (or, in the
case of a Class A Revolving Lender, becomes a Defaulting Lender), then the
Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers) may, at its sole expense and effort, upon notice
to such Lender and the Administrative Agent, require such Lender to assign and
delegate, without recourse (in accordance with and subject to the restrictions
contained in Section 10.04), all its interests, rights and obligations
under this Agreement to an assignee selected by the Parent Borrower that shall
assume such obligations (which assignee may be another Lender, if a Lender
accepts such assignment); provided that (i) the Parent Borrower (on
behalf of itself, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers) shall have received the prior written consent of the Administrative
Agent (and, if a Class A Revolving Commitment is being assigned, the
Issuing Bank and Swingline Lender), which consent shall not unreasonably be
withheld, (ii) such Lender shall have received payment of an amount equal
to the outstanding principal of its Loans, its Deposit and participations in LC
Disbursements and Swingline Loans, accrued interest thereon, accrued fees and
all other amounts payable to it hereunder, from the assignee (to the extent of
such outstanding principal and accrued interest and fees) or the Parent
Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers
(in the case of all other amounts) and (iii) in the case of any such
assignment resulting from a claim for compensation under Section 2.15 or
payments required to be made pursuant to Section 2.17, such assignment
will result in a material reduction in such compensation or payments.  A Lender shall not be required to make any
such assignment and delegation if, prior thereto, as a result of a waiver by
such Lender or otherwise, the circumstances entitling the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower to require such
assignment and delegation cease to apply.

 

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SECTION 2.20.  Additional
Reserve Costs.  (a) If and so
long as any Revolving Lender is required to make special deposits with the Bank
of England, to maintain reserve asset ratios or to pay fees, in each case in
respect of such Revolving Lender’s Foreign Currency Loans, such Revolving
Lender may require the relevant Foreign Subsidiary Borrower to pay,
contemporaneously with each payment of interest on each of such Foreign
Currency Loans, additional interest on such Foreign Currency Loan at a rate per
annum equal to the mandatory costs rate (the “Mandatory Costs Rate”)
calculated in accordance with the formula and in the manner set forth in Exhibit K
to the Existing Credit Agreement.

 

(b) If and so long as any Revolving Lender is required to comply
with reserve assets, liquidity, cash margin or other requirements of any
monetary or other authority (including any such requirement imposed by the
European Central Bank or the European System of Central Banks, but excluding
requirements reflected in the Statutory Reserve Rate or the Mandatory Costs
Rate) in respect of any of such Revolving Lender’s Foreign Currency Loans, such
Revolving Lender may require the relevant Foreign Subsidiary Borrower to pay, contemporaneously
with each payment of interest on each of such Revolving Lender’s Foreign
Currency Loans subject to such requirements, additional interest on such
Foreign Currency Loan at a rate per annum specified by such Revolving Lender to
be the cost to such Revolving Lender of complying with such requirements in
relation to such Foreign Currency Loan.

 

(c) Any additional interest owed pursuant to paragraph (a) or
(b) above shall be determined by the relevant Revolving Lender, which
determination shall be conclusive absent manifest error, and notified to the
Parent Borrower (on behalf of the relevant Foreign Subsidiary Borrower) (with a
copy to the Administrative Agent) at least five Business Days before each date
on which interest is payable for the relevant Foreign Currency Loan, and such
additional interest so notified by such Revolving Lender shall be payable to
the Administrative Agent for the account of such Revolving Lender on each date
on which interest is payable for such Foreign Currency Loan.

 

SECTION 2.21.  Designation
of Foreign Subsidiary Borrowers.  The
Parent Borrower may at any time and from time to time designate any Foreign
Subsidiary as a Foreign Subsidiary Borrower, by delivery to the Administrative
Agent of a Foreign Subsidiary Borrowing Agreement executed by such Foreign
Subsidiary and the Parent Borrower, and upon such delivery such Foreign
Subsidiary shall for all purposes of this Agreement and the other Loan
Documents be a Foreign Subsidiary Borrower until the Parent Borrower shall
terminate such designation pursuant to a termination agreement satisfactory to
the Administrative Agent, whereupon such Foreign Subsidiary shall cease to be a
Foreign Subsidiary Borrower and a party to this Agreement and any other
applicable Loan Documents. 
Notwithstanding the preceding sentence, but subject to Section 10.04(a),
no such termination will become effective as to any Foreign Subsidiary Borrower
at a time when any principal of or interest on any Loan to such Foreign
Subsidiary Borrower is outstanding.  As
soon as practicable upon receipt of a Foreign Subsidiary Borrowing Agreement,
the Administrative Agent shall send a copy thereof to each Lender.

 

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SECTION 2.22.  Foreign
Subsidiary Borrower Costs.  (a) If
the cost to any Revolving Lender of making or maintaining any Foreign Currency
Loan to a Foreign Subsidiary Borrower is increased (or the amount of any sum
received or receivable by any Revolving Lender (or its applicable lending
office) is reduced) by an amount deemed in good faith by such Revolving Lender
to be material, by reason of the fact that such Foreign Subsidiary Borrower is
incorporated in, or conducts business in, a jurisdiction outside the
United States, such Foreign Subsidiary Borrower shall indemnify such
Revolving Lender for such increased cost or reduction within 15 days after
demand by such Revolving Lender (with a copy to the Administrative Agent).  A certificate of such Revolving Lender
claiming compensation under this paragraph and setting forth the additional
amount or amounts to be paid to it hereunder (and the basis for the calculation
of such amount or amounts) shall be conclusive in the absence of manifest
error.

 

(b) Each Revolving Lender will promptly notify the Parent Borrower
(on behalf of the relevant Foreign Subsidiary Borrower) and the Administrative
Agent of any event of which it has knowledge that will entitle such Revolving
Lender to additional interest or payments pursuant to paragraph (a) above,
but in any event within 45 days after such Revolving Lender obtains actual
knowledge thereof; provided that (i) if any Revolving Lender fails
to give such notice within 45 days after it obtains actual knowledge of
such an event, such Revolving Lender shall, with respect to compensation
payable pursuant to this Section 2.22 in respect of any costs resulting
from such event, only be entitled to payment under this Section 2.22 for
costs incurred from and after the date 45 days prior to the date that such
Revolving Lender does give such notice and (ii) each Revolving Lender will
designate a different applicable lending office, if, in the judgment of such
Revolving Lender, such designation will avoid the need for, or reduce the
amount of, such compensation and will not be otherwise disadvantageous to such
Revolving Lender.

 

SECTION 2.23.  Increase
in or Conversion of Commitments.  (a) The
Parent Borrower, by written notice to the Administrative Agent, may (i) from
time to time request that the Class A Revolving Commitments be increased; provided
that the aggregate amount of the Revolving Commitments after giving effect to
any increase in Revolving Commitments pursuant to clause (i) shall not
exceed $90,000,000 and (ii) from time to time convert the Class B
Revolving Commitment of any Class B Revolving Lender (that shall have
elected in writing to so convert) to a Class A Revolving Commitment, provided
that no Class B Revolving Lender shall have any obligation to so
convert.  Any such notice shall set forth
(i) the amount of the requested increase or conversion, (ii) the date
on which such increase or conversion is requested to become effective (which
shall be not less than 10 Business Days or more than 60 days after the date of
such notice unless otherwise agreed by the Parent Borrower and the
Administrative Agent) and (iii) each financial institution that is willing
to extend Class A Revolving Commitments and each Class B Revolving
Lender that is willing to convert its Class B Revolving Commitment to a Class A
Revolving Commitment, as applicable (each, a “New Revolving Lender”); provided
that each New Revolving Lender shall be subject to the approval of the
Administrative Agent (which approval shall not be unreasonably withheld or
delayed) and each New Revolving Lender shall execute all 

 

88

 

such
documentation as the Administrative Agent shall reasonably specify to evidence
its Class A Revolving Commitment and/or its status as a Class A
Revolving Lender hereunder, as the case may be.

 

(b) On the effective date (the “Increase Effective Date”)
of any increase in the Class A Revolving Commitments or conversion of Class B
Revolving Commitments pursuant to this Section 2.23 (a “Commitment
Increase”) (i) if any Class A Revolving Loans and Class C
Revolving Loans are outstanding, the Parent Borrower (A) shall prepay all Class A
Revolving Loans and Class C Revolving Loans then outstanding (including
all accrued but unpaid interest thereon) and (B) may, at its option, fund
such prepayment by simultaneously borrowing Class A Revolving Loans and Class C
Revolving Loans in accordance with this Agreement, which Class A Revolving
Loans and Class C Revolving Loans shall be made by the Class A
Revolving Lenders and Class C Revolving Lenders, respectively, ratably in
accordance with their respective Revolving Commitments (calculated after giving
effect to the Commitment Increase) and (ii) in the case of any conversion
of a Class B Revolving Commitment to a Class A Revolving Commitment,
if any Class B Revolving Loans are outstanding, the Parent Borrower (A) shall
prepay all Class B Revolving Loans then outstanding (including all accrued
but unpaid interest thereon) and (ii) may, at its option, fund such
prepayment by simultaneously borrowing Class B Revolving Loans in
accordance with this Agreement, which Class B Revolving Loans shall be
made by the Class B Revolving Lenders ratably in accordance with their
respective Class B Revolving Applicable Percentages (calculated after
giving effect to the conversion of such New Class A Revolving Lender’s Class B
Revolving Commitment into a Class A Revolving Commitment).  The payments made pursuant to clauses (i) and
(ii) above in respect of Eurodollar Revolving Loans of each Class shall
be subject to Section 2.16.

 

(c) New Class A Revolving Commitments created pursuant to
this Section 2.23 shall become effective on the date specified in the
notice delivered by the Parent Borrower pursuant to the first sentence of
paragraph (a) above unless otherwise agreed by the Parent Borrower and the
Administrative Agent.  Any Commitment
Increase shall become effective pursuant to an amendment (the “Incremental
Amendment”) to this Agreement executed by the Parent Borrower, each New
Revolving Lender and the Administrative Agent. 
Any Incremental Amendment may, without the consent of any other Lenders,
effect such amendments to this Agreement and the other Loan Documents as may be
necessary or appropriate, in the reasonable opinion of the Administrative Agent
and the Parent Borrower, to effect the provisions of this Section.

 

(d) Notwithstanding the foregoing, no increase in the total Class A
Revolving Commitments (including any increase resulting from the conversion of Class B
Revolving Commitments) or addition of a New Revolving Lender shall become
effective under this Section unless (i) on the effective date of such
increase or addition, the conditions set forth in Section 4.02 shall be
satisfied as though a Borrowing were being made on such date and the
Administrative Agent shall have received a certificate to that effect dated
such date and executed by the President, a Vice President or a Financial
Officer of Holdings and the Parent Borrower and (ii) the Administrative
Agent shall have 

 

89

 

received (with
sufficient copies for each of the Class A Revolving Lenders and Class C
Revolving Lenders) documents consistent with those delivered on the Restatement
Effective Date as to the corporate power and authority of the Parent Borrower
to borrow hereunder after giving effect to such increase or addition (or, if
such documents delivered on the Restatement Effective Date already contemplate
an increase in an amount at least equal to the amount of such increase, stating
that such documents remain in full force and effect on the date of such
increase and have not been annulled, modified, rescinded or revoked).

 

SECTION 2.24.  Defaulting Lenders.  Notwithstanding any provision of this
Agreement to the contrary, if any Class A Revolving Lender or Class C
Revolving Lender becomes a Defaulting Lender, then the following provisions
shall apply for so long as such Lender is a Defaulting Lender:

 

(a) Fees shall cease to accrue on the unfunded portion of the Class A
Revolving Commitment or Class C Revolving Commitment, as applicable, of
such Defaulting Lender pursuant to Section 2.12(a).

 

(b) The Class A Revolving Commitment or Class C
Revolving Commitment, as applicable, and Revolving Credit Exposure of such
Defaulting Lender shall not be included in determining whether the requisite
Lenders have taken or may take any action hereunder (including any consent to
any amendment or waiver pursuant to Section 10.02); provided that any
waiver, amendment or modification requiring the consent of all Lenders or each affected
Lender which affects such Defaulting Lender differently than other affected
Lenders shall require the consent of such Defaulting Lender.

 

(c) If any Swingline Exposure or Revolving LC Exposure exists at
the time a Class A Revolving Lender becomes a Defaulting Lender then (i) all
or any part of such Swingline Exposure and Revolving LC Exposure shall be
reallocated among the Class A Revolving Lenders that are not Defaulting
Lenders in accordance with their respective Class A Revolving Applicable
Percentages but only to the extent (x) the sum of all such non-Defaulting
Lenders’ Class A Revolving Exposures plus such Defaulting Lender’s
Swingline Exposure and Revolving LC Exposure does not exceed the total of all
such non-Defaulting Lenders’ Class A Revolving Commitments and (y) the
conditions set forth in Section 4.02 are satisfied at such time.  In the case of any such reallocation, the
fees payable to the Class A Revolving Lenders pursuant to Section 2.12(a) and
Section 2.12(b)(i) shall be adjusted in accordance with such
non-Defaulting Lenders’ Class A Revolving Applicable Percentages.

 

(d) If the reallocation described in clause (c) above cannot,
or can only partially, be effected, the Parent Borrower shall, within one
Business Day following notice by the Administrative Agent (x) first,
prepay such Swingline Exposure and (y) second, cash collateralize such
Defaulting Lender’s Revolving LC Exposure (after giving effect to any partial
reallocation pursuant to clause (c) 

 

90

 

above) in accordance with the procedures set forth in Section 2.05(j) for
so long as such Revolving LC Exposure is outstanding.  In the case of any such cash
collateralization, the Parent Borrower shall not be required to pay any fees to
such Defaulting Lender pursuant to Section 2.12(b)(i) with respect to
such Defaulting Lender’s Revolving LC Exposure for so long as such Defaulting
Lender’s Revolving LC Exposure is cash collateralized.

 

(e) If any Defaulting Lender’s Revolving LC Exposure is neither
cash collateralized nor reallocated pursuant to paragraph (c) or (d) above,
then, without prejudice to any rights or remedies of the Issuing Bank or any Class A
Revolving Lender that is not a Defaulting Lender hereunder, all participation
fees payable under Section 2.12(b)(i) with respect to such Defaulting
Lender’s Revolving LC Exposure shall be payable to the Issuing Bank until such
LC Exposure is cash collateralized and/or reallocated pursuant to paragraph (c) and
(d) above.

 

(f) So long as any Lender is a Defaulting Lender, the Swingline
Lender shall not be required to fund any Swingline Loan and the Issuing Bank
shall not be required to issue, amend or increase any Revolving Letter of
Credit, unless it is satisfied that the related exposure will be 100% covered
by the Class A Revolving Commitments of the Class A Revolving Lenders
that are not Defaulting Lenders and/or cash collateral will be provided by the
Parent Borrower in accordance with paragraph (c) above, and participating
interests in any such newly issued or increased Revolving Letter of Credit or
newly made Swingline Loan shall be allocated among Class A Revolving
Lenders that are not Defaulting Lenders in a manner consistent with paragraph (c) above
(and Defaulting Lenders shall not participate therein).

 

(g) Any amount payable to such Defaulting Lender hereunder
(whether on account of principal, interest, fees or otherwise and including any
amount that would otherwise be payable to such Defaulting Lender pursuant to Section 2.18,
but excluding Section 2.19(b)) shall, in lieu of being distributed to such
Defaulting Lender, be retained by the Administrative Agent in a segregated
account and, subject to any applicable requirements of law, be applied at such
time or times as may be determined by the Administrative Agent (i) first,
to the payment of any amounts owing by such Defaulting Lender to the
Administrative Agent hereunder, (ii) second, pro rata, to the payment of
any amounts owing by such Defaulting Lender to the Issuing Bank or Swingline
Lender hereunder, (iii) third, to the funding of any Class A
Revolving Loan or Class C Revolving Loan, as applicable, or the funding or
cash collateralization of any participating interest in any Swingline Loan or
Revolving Letter of Credit in respect of which such Defaulting Lender has
failed to fund its portion thereof as required by this Agreement, as determined
by the Administrative Agent, (iv) fourth, if so determined by the
Administrative Agent and the Parent Borrower, held in such account as cash
collateral for future funding obligations of the Defaulting Lender under this
Agreement, (v) fifth, pro rata, to the payment of any amounts owing to the
Parent Borrower or the Class A Revolving Lenders or Class C Revolving

 

91

 

Lenders (or both), as applicable, as a result of any judgment of a
court of competent jurisdiction obtained by the Parent Borrower, any Class A
Revolving Lender or any Class C Revolving Lender, against such Defaulting
Lender as a result of such Defaulting Lender’s breach of its obligations under
this Agreement and (vi) sixth, to such Defaulting Lender or as otherwise
directed by a court of competent jurisdiction; provided that if such payment is
(x) a prepayment of the principal amount of any Class A Revolving
Loans or Class C Revolving Loans or reimbursement obligations in respect
of Revolving LC Disbursements in respect of which a Defaulting Lender has
funded its participation obligations and (y) made at a time when the
conditions set forth in Section 4.02 are satisfied, such payment shall be
applied solely to prepay the Class A Revolving Loans and Class C
Revolving Loans of all Class A Revolving Lenders and Class C
Revolving Lenders, as applicable, and reimbursement obligations owed to all Class A
Revolving Lenders, in each case that are not Defaulting Lenders, pro rata
(based on the sum of Revolving Loans and reimbursement obligations, as
applicable, owed to each such Lender) prior to being applied to the prepayment
of any Class A Revolving Loans or Class C Revolving Loans, as
applicable, or reimbursement obligations owed to, any Defaulting Lender.

 

(h) In the event that the Administrative Agent, the Parent
Borrower, the Issuing Bank and the Swingline Lender each agrees that a Defaulting
Lender has adequately remedied all matters that caused such Lender to be a
Defaulting Lender, then the Swingline Exposure and Revolving LC Exposure of the
Class A Revolving Lenders shall be readjusted to reflect the inclusion of
such Lender’s Commitment and on such date such Lender shall purchase at par
such of the Class A Revolving Loans and Class C Revolving Loans of
the other Class A Revolving Lenders and Class C Revolving Lenders
(but not Swingline Loans) as the Administrative shall determine may be
necessary in order for such Lender to hold such Class A Revolving Loans
and Class C Revolving Loans in accordance with its Class A Revolving
Applicable Percentage or Class C Revolving Applicable Percentage, as
applicable.

 

ARTICLE III

 

Representations
and Warranties

 

Each of Holdings, the Parent Borrower, each
Subsidiary Term Borrower (as to itself only) and each Foreign Subsidiary
Borrower (as to itself only) represents and warrants to the Lenders that:

 

SECTION 3.01.  Organization;
Powers.  Each of Holdings, the Parent
Borrower and its Subsidiaries (including the Receivables Subsidiary) is duly
organized, validly existing and in good standing under the laws of the
jurisdiction of its organization, has all requisite power and authority to
carry on its business as now conducted and, except where the failure to do so,
individually or in the aggregate, could not reasonably be expected to result in
a Material Adverse Effect, is qualified to do 

 

92

 

business in,
and is in good standing in, every jurisdiction where such qualification is
required.

 

SECTION 3.02.  Authorization;
Enforceability.  The Transactions and
Restatement Transactions to be entered into by each Loan Party are within such
Loan Party’s powers and have been duly authorized by all necessary action.  This Agreement has been duly executed and
delivered by each of Holdings and the Parent Borrower and constitutes, and each
other Loan Document to which any Loan Party is to be a party, when executed and
delivered by such Loan Party, will constitute, a legal, valid and binding
obligation of Holdings, the Parent Borrower or such Loan Party (as the case may
be), enforceable in accordance with its terms, subject to applicable
bankruptcy, insolvency, reorganization, moratorium or other laws affecting
creditors’ rights generally and subject to general principles of equity,
regardless of whether considered in a proceeding in equity or at law.

 

SECTION 3.03.  Governmental
Approvals; No Conflicts.  The
Transactions and Restatement Transactions and the other transactions
contemplated hereby (a) do not require any consent or approval of,
registration or filing with, or any other action by, any Governmental
Authority, except (x) such as have been obtained or made and are in full
force and effect, (y) filings necessary to perfect Liens created under the
Loan Documents and (z) consents, approvals, registrations, filings or
actions the failure of which to obtain or perform could not reasonably be
expected to result in a Material Adverse Effect, (b) will not violate any
applicable law or regulation or the charter, by-laws or other organizational
documents of Holdings, the Parent Borrower or any of its Subsidiaries
(including the Receivables Subsidiary) or any order of any Governmental
Authority, (c) will not violate or result in a default under any
indenture, agreement or other instrument binding upon Holdings, the Parent
Borrower or any of its Subsidiaries (including the Receivables Subsidiary) or
its assets, or give rise to a right thereunder to require any payment to be
made by Holdings, the Parent Borrower or any of its Subsidiaries (including the
Receivables Subsidiary), except for violations, defaults or the creation of
such rights that could not reasonably be expected to result in a Material
Adverse Effect, and (d) will not result in the creation or imposition of
any Lien on any asset of Holdings, the Parent Borrower or any of its
Subsidiaries (including the Receivables Subsidiary), except Liens created under
the Loan Documents and Liens permitted by Section 6.02.

 

SECTION 3.04.  Financial
Condition; No Material Adverse Change. 
(a) Holdings has heretofore furnished to the Lenders its
consolidated balance sheet and statements of income, stockholders equity and
cash flows (i) as of and for the fiscal year ended December 31, 2008,
reported on by KPMG LLP, independent public accountants, and (ii) as of
and for the fiscal quarter and the portion of the fiscal year ended September 30,
2009, certified by its chief financial officer. 
Such financial statements present fairly, in all material respects, the
financial position and results of operations and cash flows of Holdings and its
consolidated Subsidiaries as of such dates and for such periods in accordance
with GAAP, subject to year-end audit adjustments and the absence of footnotes
in the case of the statements referred to in clause (ii) above.

 

93

 

(b) [Reserved]

 

(c) Except as disclosed in the financial statements referred to
above or the notes thereto or in the Information Memorandum, except for the
Disclosed Matters and except for liabilities arising as a result of the
Transactions, after giving effect to the Transactions, none of Holdings, the
Parent Borrower or the Subsidiaries (including the Receivables Subsidiary) has,
as of the First Restatement Effective Date, any contingent liabilities that
would be material to Holdings, the Parent Borrower and the Subsidiaries
(including the Receivables Subsidiary), taken as a whole.

 

(d) Since December 31, 2005, there has been no event, change
or occurrence that, individually or in the aggregate, has had or could
reasonably be expected to result in a Material Adverse Effect.

 

SECTION 3.05.  Properties.  (a) Each of Holdings, the Parent
Borrower and its Subsidiaries has good title to, or valid leasehold interests
in, all its real and personal property material to its business (including its
Mortgaged Properties), except for minor defects in title that do not interfere
with its ability to conduct its business as currently conducted or to utilize
such properties for their intended purposes.

 

(b) Each of Holdings, the Parent Borrower and its Subsidiaries
owns, or is licensed to use, all trademarks, tradenames, copyrights, patents
and other intellectual property material to its business, and the use thereof
by Holdings, the Parent Borrower and its Subsidiaries does not infringe upon
the rights of any other Person, except for any such infringements that,
individually or in the aggregate, could not reasonably be expected to result in
a Material Adverse Effect.

 

(c) Schedule 3.05 sets forth the address of each real property
that is owned or leased by Holdings, the Parent Borrower or any of its
Subsidiaries as of the First Restatement Effective Date after giving effect to
the Transactions.

 

(d) As of the First Restatement Effective Date, none of Holdings,
the Parent Borrower or any of its Subsidiaries has received written notice of
any pending or contemplated condemnation proceeding affecting any Mortgaged
Property or any sale or disposition thereof in lieu of condemnation.  Neither any Mortgaged Property nor any
interest therein is subject to any right of first refusal, option or other
contractual right to purchase such Mortgaged Property or interest therein.

 

SECTION 3.06.  Litigation
and Environmental Matters.  (a) There
are no actions, suits or proceedings by or before any arbitrator or
Governmental Authority pending against or, to the knowledge of Holdings or the
Parent Borrower, threatened against or affecting Holdings, the Parent Borrower
or any of its Subsidiaries (including the Receivables Subsidiary) (i) as
to which there is a reasonable possibility of an adverse determination and
that, if adversely determined, could reasonably be expected, individually or in
the aggregate, to result in a Material Adverse Effect (other than the Disclosed
Matters) or (ii) that involve any of the Loan Documents or the
Transactions or Restatement Transactions.

 

94

 

(b) Except for the Disclosed Matters and except with respect to
any other matters that, individually or in the aggregate, could not reasonably
be expected to result in a Material Adverse Effect, none of Holdings, the
Parent Borrower or any of its Subsidiaries (including the Receivables
Subsidiary) (i) has failed to comply with any Environmental Law or to
obtain, maintain or comply with any permit, license or other approval required
under any Environmental Law, (ii) has become subject to any Environmental
Liability, (iii) has received notice of any claim with respect to any
Environmental Liability or (iv) knows of any basis for any Environmental
Liability.

 

(c) Since the First Restatement Effective Date, there has been no
change in the status of the Disclosed Matters that, individually or in the
aggregate, has resulted in, or materially increased the likelihood of, a
Material Adverse Effect.

 

SECTION 3.07.  Compliance
with Laws and Agreements.  Each of
Holdings, the Parent Borrower and its Subsidiaries (including the Receivables
Subsidiary) is in compliance with all laws, regulations and orders of any
Governmental Authority applicable to it or its property and all indentures,
agreements and other instruments binding upon it or its property, except where
the failure to do so, individually or in the aggregate, could not reasonably be
expected to result in a Material Adverse Effect.  No Default has occurred and is continuing.

 

SECTION 3.08.  Investment
Company Status.  None of Holdings,
the Parent Borrower or any of its Subsidiaries (including the Receivables
Subsidiary) is an “investment company” as defined in, or subject to regulation
under, the Investment Company Act of 1940.

 

SECTION 3.09.  Taxes.  Each of Holdings, the Parent Borrower and its
Subsidiaries (including the Receivables Subsidiary) has timely filed or caused
to be filed all Tax returns and reports required to have been filed and has
paid or caused to be paid all Taxes required to have been paid by it, except (a) any
Taxes that are being contested in good faith by appropriate proceedings and for
which Holdings, the Parent Borrower or such Subsidiary (including the
Receivables Subsidiaries), as applicable, has set aside on its books adequate
reserves or (b) to the extent that the failure to do so could not
reasonably be expected to result in a Material Adverse Effect.

 

SECTION 3.10.  ERISA.  No ERISA Event has occurred or is reasonably
expected to occur that, when taken together with all other such ERISA Events
for which liability is reasonably expected to occur, could reasonably be
expected to result in a Material Adverse Effect.  As of the First Restatement Effective Date,
the present value of all accumulated benefit obligations of all underfunded
Plans (based on the assumptions used for purposes of Statement of Financial
Accounting Standards No. 87) did not, as of the date of the most recent
financial statements reflecting such amounts, exceed by more than $5,100,000
the fair market value of the assets of all such underfunded Plans.

 

SECTION 3.11.  Disclosure.  Each of Holdings and the Parent Borrower has
disclosed to the Lenders all agreements, instruments and corporate or other
restrictions to which Holdings, the Parent Borrower or any of its Subsidiaries
(including 

 

95

 

the
Receivables Subsidiary) is subject, and all other matters known to any of them,
that, individually or in the aggregate, could reasonably be expected to result
in a Material Adverse Effect.  Neither
the Information Memorandum nor any of the other reports, financial statements,
certificates or other information furnished by or on behalf of any Loan Party
to the Administrative Agent or any Lender in connection with the negotiation of
this Agreement or any other Loan Document or delivered hereunder or thereunder
(as modified or supplemented by other information so furnished) contains any
material misstatement of fact or omits to state any material fact necessary to
make the statements therein, in the light of the circumstances under which they
were made, not misleading; provided that, with respect to projected
financial information, Holdings and the Parent Borrower represent only that
such information was prepared in good faith based upon assumptions believed to
be reasonable at the time such projections were prepared.

 

SECTION 3.12.  Subsidiaries.  Holdings does not have any subsidiaries other
than the Parent Borrower and the Parent Borrower’s Subsidiaries.  Schedule 3.12 sets forth the name of,
and the ownership interest of the Parent Borrower in, each Subsidiary of the
Parent Borrower and identifies each Subsidiary that is a Subsidiary Loan Party,
in each case as of the First Restatement Effective Date.

 

SECTION 3.13.  Insurance.  Schedule 3.13 sets forth a description of all
material insurance policies maintained by or on behalf of Holdings, the Parent
Borrower and the Subsidiaries as of the First Restatement Effective Date.  As of the First Restatement Effective Date,
all premiums due in respect of such insurance have been paid.

 

SECTION 3.14.  Labor
Matters.  As of the Restatement
Effective Date, there are no strikes, lockouts or slowdowns against Holdings,
the Parent Borrower or any Subsidiary pending or, to the knowledge of Holdings
or the Parent Borrower, threatened that could reasonably be expected to have a
Material Adverse Effect.  All payments
due from Holdings, the Parent Borrower or any Subsidiary, or for which any
claim may be made against Holdings, the Parent Borrower or any Subsidiary, on
account of wages and employee health and welfare insurance and other benefits,
have been paid or accrued as a liability on the books of Holdings, the Parent
Borrower or such Subsidiary except for those which, individually or in the
aggregate, would not reasonably be expected to have a Material Adverse
Effect.  The consummation of the
Transactions or Restatement Transactions will not give rise to any right of
termination or right of renegotiation on the part of any union under any
collective bargaining agreement to which Holdings, the Parent Borrower or any
Subsidiary is bound.

 

SECTION 3.15.  Solvency.  Immediately after the consummation of the
Transactions to occur on the First Restatement Effective Date and immediately
following the making of each Loan made on the First Restatement Effective Date
and after giving effect to the application of the proceeds of such Loans, (a) the
fair value of the assets of each Loan Party, at a fair valuation, will exceed
its debts and liabilities, subordinated, contingent or otherwise; (b) the
present fair saleable value of the property of each Loan Party will be greater
than the amount that will be required to pay the probable liability of 

 

96

 

its debts and
other liabilities, subordinated, contingent or otherwise, as such debts and
other liabilities become absolute and matured; (c) each Loan Party will be
able to pay its debts and liabilities, subordinated, contingent or otherwise,
as such debts and liabilities become absolute and matured; and (d) the
Loan Parties, on a consolidated basis, will not have unreasonably small capital
with which to conduct the business in which it is engaged as such business is
now conducted and is proposed to be conducted following the First Restatement
Effective Date.

 

SECTION 3.16.  Senior
Indebtedness.  The Obligations
constitute “Senior Indebtedness” under and as defined in the Subordinated Notes
Documents.

 

SECTION 3.17.  Security
Documents.  (a) The Pledge
Agreement is effective to create in favor of the Collateral Agent, for the
benefit of the Secured Parties, a legal, valid and enforceable security
interest in the Collateral (as defined in the Pledge Agreement) and, when such
Collateral is delivered to the Collateral Agent and for so long as the
Collateral Agent remains in possession of such Collateral, the security
interest created by the Pledge Agreement shall constitute a perfected first
priority security interest in all right, title and interest of the pledgor
thereunder in such Collateral, in each case prior and superior in right to any
other Person.

 

(b) The Security Agreement is effective to create in favor of the
Collateral Agent, for the benefit of the Secured Parties, a legal, valid and
enforceable security interest in the Collateral (as defined in the Security
Agreement) and, when financing statements in appropriate form are filed in the
offices specified on Schedule 6 to the Perfection Certificate, the
security interest created by the Security Agreement shall constitute a
perfected security interest in all right, title and interest of the grantors
thereunder in such Collateral (other than the Intellectual Property (as defined
in the Security Agreement)), in each case prior and superior in right to any
other Person, other than with respect to Liens permitted by Section 6.02.

 

(c) When the Security Agreement (or a summary thereof) is filed in
the United States Patent and Trademark Office and the United States
Copyright Office and the financing statements referred to in Section 3.17(b) above
are appropriately filed, the security interest created by the Security
Agreement shall constitute a perfected security interest in all right, title
and interest of the grantors thereunder in the Intellectual Property (as
defined in the Security Agreement) in which a security interest may be
perfected by filing, recording or registering a security agreement, financing
statement or analogous document in the United States Patent and Trademark
Office or the United States Copyright Office, as applicable, in each case prior
and superior in right to any other Person (it being understood that subsequent
recordings in the United States Patent and Trademark Office and the
United States Copyright Office and subsequent UCC filings may be necessary
to perfect a lien on registered trademarks, trademark applications and
copyrights acquired by the Loan Parties after the Original Effective Date),
other than with respect to Liens permitted by Section 6.02.

 

97

 

(d) The Mortgages are effective to create, subject to the
exceptions listed in each title insurance policy covering such Mortgage, in
favor of the Collateral Agent, for the benefit of the Secured Parties, a legal,
valid and enforceable Lien on all of the applicable mortgagor’s right, title
and interest in and to the Mortgaged Properties thereunder and the proceeds
thereof, and when the Mortgages are filed in the offices specified on
Schedule 3.17(d), the Lien created by each Mortgage shall constitute a
perfected Lien on all right, title and interest of the applicable mortgagor in
such Mortgaged Properties and the proceeds thereof, in each case prior and
superior in right to any other Person, other than with respect to the rights of
Persons pursuant to Liens permitted by Section 6.02.

 

(e) Following the execution of any Foreign Security Document
pursuant to Section 4.03, each Foreign Security Document shall be
effective to create in favor of the Collateral Agent, for the benefit of the
Secured Parties, a legal, valid and enforceable security interest in the applicable
collateral covered by such Foreign Security Document, and when the actions
specified in such Foreign Security Document, if any, are completed, the
security interest created by such Foreign Security Document shall constitute a
perfected security interest in all right, title and interest of the grantors
thereunder in such collateral to the full extent possible under the laws of the
applicable foreign jurisdiction, in each case prior and superior in right to
any other Person, other than with respect to Liens permitted by Section 6.02.

 

SECTION 3.18.  Federal
Reserve Regulations.  (a) None
of Holdings, the Parent Borrower or any of the Subsidiaries (including the
Receivables Subsidiary) is engaged principally, or as one of its important
activities, in the business of extending credit for the purpose of buying or
carrying Margin Stock.

 

(b) No part of the proceeds of any Loan or any Letter of Credit
will be used, whether directly or indirectly, and whether immediately,
incidentally or ultimately, for any purpose that entails a violation of
the provisions of the Regulations of the Board, including Regulation U or
X.

 

ARTICLE IV

 

Conditions

 

SECTION 4.01. 
[Intentionally Omitted.]

 

SECTION 4.02.  Each
Credit Event.  The obligation of each
Lender to make a Loan on the occasion of any Borrowing (other than (i) any
Class A Revolving Loan made pursuant to Section 2.04(c) or Section 2.05(d) and
(ii) any continuation or conversion of a Borrowing pursuant to the terms
hereof that does not result in the increase of the aggregate principal amount
of the Borrowings then outstanding), of each Tranche B-1 Lender to make a
deposit, and of the Issuing Bank to issue, amend, renew or extend any Letter of
Credit, is subject to receipt of the request therefor in accordance herewith
and to the satisfaction of the following conditions:

 

98

 

(a) The representations and warranties of each Loan Party set
forth in the Loan Documents shall be true and correct on and as of the date of
such Borrowing or the date of issuance, amendment, renewal or extension of such
Letter of Credit, as applicable.

 

(b) At the time of and immediately after giving effect to such
Borrowing or the issuance, amendment, renewal or extension of such Letter of
Credit, as applicable, no Default shall have occurred and be continuing.

 

Each Borrowing and each issuance, amendment, renewal or extension of a
Letter of Credit shall be deemed to constitute a representation and warranty by
Holdings and the Parent Borrower on the date thereof as to the matters
specified in paragraphs (a) and (b) of this Section.

 

SECTION 4.03.  Credit Events Relating to Foreign
Subsidiary Borrowers.  The obligation
of each Lender to make Loans to any Foreign Subsidiary Borrower, and of the Issuing
Bank to issue, amend, renew or extend any Letter of Credit to any Foreign
Subsidiary Borrower, is subject to the satisfaction of the following
conditions:

 

(a) With respect to the initial Loan made or the initial Letter of
Credit issued, whichever comes first, to such Foreign Subsidiary Borrower,

 

(i) the Administrative Agent (or its counsel) shall have received
such Foreign Subsidiary Borrower’s Foreign Subsidiary Borrowing Agreement duly
executed by all parties thereto; and

 

(ii) the Administrative Agent shall have received such documents
(including legal opinions) and certificates as the Administrative Agent or its
counsel may reasonably request relating to the formation, existence and good
standing of such Foreign Subsidiary Borrower, the authorization of the Foreign
Currency Borrowings as they relate to such Foreign Subsidiary Borrower and any
other legal matters relating to such Foreign Subsidiary Borrower or its Foreign
Subsidiary Borrowing Agreement, all in form and substance satisfactory to the Administrative
Agent and its counsel.

 

(b) With respect to any Borrowing following which the aggregate
amount of outstanding Foreign Currency Borrowings exceeds the Dollar Equivalent
of $5,000,000, the Administrative Agent shall be satisfied that the Foreign
Security Collateral and Guarantee Requirement shall be satisfied with respect
to all Foreign Subsidiary Borrowers.

 

ARTICLE V

 

Affirmative
Covenants

 

Until the Commitments have expired or been terminated and the principal
of and interest on each Loan and all fees payable hereunder shall have been
paid in full 

 

99

 

and all Letters of Credit shall have expired
or terminated and all LC Disbursements shall have been reimbursed, each of
Holdings, the Parent Borrower, each Subsidiary Term Borrower (as to itself
only) and each Foreign Subsidiary Borrower (as to itself only) covenants and
agrees with the Lenders that:

 

SECTION 5.01.  Financial Statements and Other
Information.  Holdings or the Parent
Borrower will furnish to the Administrative Agent and each Lender:

 

(a) within 95 days after the end of each fiscal year of
Holdings, its audited consolidated and unaudited consolidating balance sheet
and related statements of operations, stockholders’ equity and cash flows as of
the end of and for such year, setting forth in each case in comparative form
the figures for the previous fiscal year, all reported on by KPMG LLP or other
independent public accountants of recognized national standing (without a “going
concern” or like qualification or exception and without any qualification or
exception as to the scope of such audit) to the effect that such consolidated
financial statements present fairly in all material respects the financial
condition and results of operations of Holdings and its consolidated
subsidiaries on a consolidated basis in accordance with GAAP consistently
applied (it being understood that the obligation to furnish the foregoing to
the Administrative Agent and the Lenders shall be deemed to be satisfied in
respect of any fiscal year of Holdings by the filing of Holdings’ annual report
on Form 10-K for such fiscal year with the Commission to the extent the
foregoing are included therein);

 

(b) within 50 days after the end of each of the first three
fiscal quarters of each fiscal year of Holdings, its consolidated balance sheet
and related statements of operations, stockholders’ equity and cash flows as of
the end of and for such fiscal quarter and the then elapsed portion of the
fiscal year, setting forth in each case in comparative form the figures for the
corresponding period or periods of (or, in the case of the balance sheet, as of
the end of) the previous fiscal year, all certified by one of its Financial
Officers as presenting fairly in all material respects the financial condition
and results of operations of Holdings and its consolidated subsidiaries on a
consolidated basis in accordance with GAAP consistently applied, subject to
normal year-end audit adjustments and the absence of footnotes (it being
understood that the obligation to furnish the foregoing to the Administrative
Agent and the Lenders shall be deemed to be satisfied in respect of any fiscal
quarter of Holdings by the filing of Holdings’ quarterly report on Form 10-Q
for such fiscal quarter with the Commission to the extent the foregoing are
included therein);

 

(c) concurrently with any delivery of financial statements under
clause (a) or (b) above, a certificate of a Financial Officer of
Holdings or the Parent Borrower (i) certifying as to whether a Default has
occurred and, if a Default has occurred, specifying the details thereof and any
action taken or proposed to be taken with respect thereto, (ii) setting
forth reasonably detailed calculations demonstrating compliance with Sections 6.12,
6.13 and 6.14, (iii) stating whether 

 

100

 

any change in GAAP or in the application thereof has occurred since the
date of Holdings’ audited financial statements referred to in Section 3.04
and, if any such change has occurred, specifying the effect of such change on
the financial statements accompanying such certificate, (iv) identifying
all Subsidiaries existing on the date of such certificate and indicating, for
each such Subsidiary, whether such Subsidiary is a Subsidiary Loan Party or a
Foreign Subsidiary and whether such Subsidiary was formed or acquired since the
end of the previous fiscal quarter and (v) to the extent that the Asset
Dropdown has not been completed, describing the status of the Asset Dropdown;

 

(d) concurrently with any delivery of financial statements under
clause (a) above, (i) a certificate of the accounting firm that
reported on such financial statements stating whether they obtained knowledge
during the course of their examination of such financial statements of any
Default (which certificate may be limited to the extent required by accounting rules or
guidelines) and (ii) a certificate of a Financial Officer of Holdings or
the Parent Borrower (A) identifying any parcels of real property or
improvements thereto with a value exceeding $750,000 that have been acquired by
any Loan Party since the end of the previous fiscal year, (B) identifying
any changes of the type described in Section 5.03(a) that have not
been previously reported by the Parent Borrower, (C) identifying any
Permitted Acquisitions that have been consummated since the end of the previous
fiscal year, including the date on which each such Permitted Acquisition was
consummated and the consideration therefor, (D) identifying any
Intellectual Property (as defined in the Security Agreement) with respect to
which a notice is required to be delivered under the Security Agreement and has
not been previously delivered and (E) identifying any Prepayment Events
that have occurred since the end of the previous fiscal year and setting forth
a reasonably detailed calculation of the Net Proceeds received from Prepayment
Events since the end of such previous fiscal year;

 

(e) no later than February 15 of each fiscal year of Holdings
(commencing with the fiscal year ending December 31, 2005), a detailed
consolidated budget for such fiscal year (including a projected consolidated
balance sheet and related statements of projected operations and cash flow as
of the end of and for such fiscal year and setting forth the assumptions used
for purposes of preparing such budget) and, promptly when available, any
material revisions of such budget that have been approved by senior management
of Holdings;

 

(f) promptly after the same become publicly available, copies of
all periodic and other reports, proxy statements and other materials filed by
Holdings, the Parent Borrower or any Subsidiary with the Commission or with any
national securities exchange, as the case may be (it being understood that the
obligation to furnish the foregoing to the Administrative Agent and the Lenders
shall be deemed to be satisfied to the extent the foregoing are filed with the
Commission); and

 

101

 

(g) promptly following any request therefor, such other
information regarding the operations, business affairs and financial condition
of Holdings, the Parent Borrower or any Subsidiary, or compliance with the
terms of any Loan Document, as the Administrative Agent or any Lender may
reasonably request.

 

SECTION 5.02.  Notices of Material Events.  Holdings and the Parent Borrower will furnish
to the Administrative Agent and each Lender prompt written notice of the
following:

 

(a) the occurrence of any Default;

 

(b) the filing or commencement of any action, suit or proceeding
by or before any arbitrator or Governmental Authority against or affecting
Holdings, the Parent Borrower or any Subsidiary thereof that, if adversely
determined, could reasonably be expected to result in a Material Adverse
Effect;

 

(c) the occurrence of any ERISA Event that, alone or together with
any other ERISA Events that have occurred, could reasonably be expected to
result in liability of Holdings, the Parent Borrower and its Subsidiaries in an
aggregate amount exceeding $10,000,000; and

 

(d) any other development that results in, or could reasonably be
expected to result in, a Material Adverse Effect.

 

Each notice delivered under this Section shall be accompanied by a
statement of a Financial Officer or other executive officer of the Parent
Borrower setting forth the details of the event or development requiring such
notice and any action taken or proposed to be taken with respect thereto.

 

SECTION 5.03.  Information
Regarding Collateral.  (a) The
Parent Borrower will furnish to the Administrative Agent prompt written notice
of any change (i) in any Loan Party’s legal name or in any trade name used
to identify it in the conduct of its business or in the ownership of its
properties, (ii) in the location of any Loan Party’s chief executive
office, its principal place of business, any office in which it maintains books
or records relating to Collateral owned by it or any office or facility at
which Collateral owned by it is located (including the establishment of any
such new office or facility), (iii) in any Loan Party’s identity or
structure, (iv) in any Loan Party’s jurisdiction of organization or (v) in
any Loan Party’s Federal Taxpayer Identification Number.  The Parent Borrower agrees not to effect or
permit any change referred to in the preceding sentence unless written notice
has been delivered to the Collateral Agent, together with all applicable
information to enable the Administrative Agent to make all filings under the
Uniform Commercial Code or otherwise that are required in order for the
Collateral Agent (on behalf of the Secured Parties) to continue at all times
following such change to have a valid, legal and perfected security interest in
all the Collateral.

 

(b) Each year, at the time of delivery of annual financial
statements with respect to the preceding fiscal year pursuant to clause (a) of
Section 5.01, Holdings (on 

 

102

 

behalf of
itself and the other Loan Parties) shall deliver to the Administrative Agent a
certificate of a Financial Officer of Holdings (i) setting forth the
information required pursuant to the Perfection Certificate or confirming that
there has been no change in such information since the date of the Perfection
Certificate delivered on the Original Effective Date or the date of the most
recent certificate delivered pursuant to this Section and (ii) certifying
that all Uniform Commercial Code financing statements (including fixture
filings, as applicable) or other appropriate filings, recordings or
registrations, including all refilings, rerecordings and reregistrations,
containing a description of the Collateral have been filed of record in each
governmental, municipal or other appropriate office in each jurisdiction
identified pursuant to clause (i) above to the extent necessary to protect
and perfect the security interests under the Collateral Agreement for a period
of not less than 18 months after the date of such certificate (except as noted
therein with respect to any continuation statements to be filed within such
period).

 

SECTION 5.04.  Existence;
Conduct of Business; Asset Dropdown. 
(a) Each of Holdings, the Parent Borrower and the Foreign
Subsidiary Borrowers will, and will cause each of the Subsidiaries to, do or
cause to be done all things necessary to preserve, renew and keep in full force
and effect its legal existence and the rights, licenses, permits, privileges,
franchises, patents, copyrights, trademarks and trade names the loss of which
would have a Material Adverse Effect; provided that the foregoing shall
not prohibit any merger, consolidation, liquidation or dissolution permitted
under Section 6.03 or disposition permitted under Section 6.05.  Holdings and the Parent Borrower will cause
all the Equity Interests of the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers to be owned, directly or indirectly, by the Parent
Borrower or any Subsidiary, and the Subsidiary Term Borrowers shall at all
times remain a guarantor under the Guarantee Agreement.

 

(b) Holdings shall complete the Asset Dropdown as soon as
reasonably practicable and in any event on or prior to the date that is
90 days after the Original Effective Date.

 

SECTION 5.05.  Payment of
Obligations.  Each of Holdings, the
Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers will, and will cause each of the Subsidiaries (including the
Receivables Subsidiary) to, pay its Indebtedness and other obligations,
including Tax liabilities, before the same shall become delinquent or in
default, except where (a) the validity or amount thereof is being
contested in good faith by appropriate proceedings, (b) Holdings, the
Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers or such Subsidiary has set aside on its books adequate reserves with
respect thereto in accordance with GAAP, (c) such contest effectively
suspends collection of the contested obligation and the enforcement of any Lien
securing such obligation and (d) the failure to make payment pending such
contest could not reasonably be expected to result in a Material Adverse
Effect.

 

SECTION 5.06.  Maintenance
of Properties.  Each of Holdings, the
Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers will, 

 

103

 

and will cause
each of the Subsidiaries to, keep and maintain all property material to the
conduct of their business, taken as a whole, in good working order and
condition, ordinary wear and tear excepted; provided that the foregoing
shall not prohibit any merger, consolidation, liquidation or dissolution
permitted under Section 6.03 or disposition permitted under Section 6.05.

 

SECTION 5.07.  Insurance.  Each of Holdings, the Parent Borrower, the
Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers will, and will
cause each of the Subsidiaries to, maintain insurance in such amounts (with no
greater risk retention) and against such risks as are customarily maintained by
companies of established repute engaged in the same or similar businesses
operating in the same or similar locations, except where the failure to do so
could not reasonably be expected to result in a Material Adverse Effect.  Such insurance shall be maintained with
financially sound and reputable insurance companies, except that a portion of
such insurance program (not to exceed that which is customary in the case of
companies engaged in the same or similar business or having similar properties
similarly situated) may be effected through self-insurance, provided
adequate reserves therefor, in accordance with GAAP, are maintained.  In addition, each of Holdings, the Parent
Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers
will, and will cause each of its Subsidiaries to, maintain all insurance
required to be maintained pursuant to the Security Documents.  The Parent Borrower will furnish to the
Lenders, upon request of the Administrative Agent, information in reasonable detail
as to the insurance so maintained.  All
insurance policies or certificates (or certified copies thereof) with respect
to such insurance shall be endorsed to the Collateral Agent’s reasonable
satisfaction for the benefit of the Lenders (including, without limitation, by
naming the Collateral Agent as loss payee or additional insured, as
appropriate).

 

SECTION 5.08.  Casualty
and Condemnation.  The Parent
Borrower (a) will furnish to the Administrative Agent and the Lenders
prompt written notice of casualty or other insured damage to any material
portion of any Collateral having a book value or fair market value of
$1,000,000 or more or the commencement of any action or proceeding for the
taking of any Collateral having a book value or fair market value of $1,000,000
or more or any part thereof or interest therein under power of eminent domain
or by condemnation or similar proceeding and (b) will ensure that the Net
Proceeds of any such event (whether in the form of insurance proceeds,
condemnation awards or otherwise) are collected and applied in accordance with
the applicable provisions of this Agreement and the Security Documents.

 

SECTION 5.09.  Books and
Records; Inspection and Audit Rights. 
Each of Holdings, the Parent Borrower, the Subsidiary Term Borrowers and
the Foreign Subsidiary Borrowers will, and will cause each of the Subsidiaries
to, keep proper books of record and account in which full, true and correct
entries are made of all dealings and transactions in relation to its business
and activities.  Each of Holdings, the
Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers will, and will cause each of the Subsidiaries to, permit any
representatives designated by the Administrative Agent or any Lender, upon
reasonable prior notice, to visit and inspect its

 

104

 

properties, to examine and make extracts from its books and records,
and to discuss its affairs, finances and condition with its officers and
independent accountants, all at such reasonable times and as often as
reasonably requested.

 

SECTION 5.10.  Compliance with Laws.  Each of Holdings, the Parent Borrower, the
Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers will, and will
cause each of the Subsidiaries to, comply with all laws, rules, regulations and
orders of any Governmental Authority applicable to it or its property, except
where the failure to do so, individually or in the aggregate, could not
reasonably be expected to result in a Material Adverse Effect.

 

SECTION 5.11.  Use of Proceeds and Letters of Credit.  The Parent Borrower and the Subsidiary Term
Borrowers will use on the First Restatement Effective Date the proceeds of the
Tranche B Term Loan solely (a) to repay amounts outstanding under the
Existing Credit Agreement and (b) to pay costs and expenses in connection
with such repayment.  The proceeds of the
Revolving Loans, Tranche B-1 Loans and Swingline Loans will be used only for
general corporate purposes and, to the extent permitted by Section 6.01(a)(i),
Permitted Acquisitions.  Letters of
Credit will be available only for general corporate purposes.  No part of the proceeds of any Loan will be
used, whether directly or indirectly, for any purpose that entails a violation
of any of the Regulations of the Board, including Regulations T, U and X.

 

SECTION 5.12.  Additional Subsidiaries.  If any additional Subsidiary is formed or
acquired after the Original Effective Date, the Parent Borrower will, within
five Business Days after such Subsidiary is formed or acquired, notify the
Administrative Agent and the Lenders thereof and, within five Business Days
after such Subsidiary is formed or acquired, cause the Collateral and Guarantee
Requirement to be satisfied with respect to any Equity Interest in or
Indebtedness of such Subsidiary owned by or on behalf of any Loan Party.

 

SECTION 5.13.  Further Assurances.  (a) Each of Holdings, the Parent
Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers
will, and will cause each Subsidiary Loan Party to, execute any and all further
documents, financing statements, agreements and instruments, and take all such
further actions (including the filing and recording of financing statements,
fixture filings, mortgages, deeds of trust, landlord waivers and other
documents), which may be required under any applicable law, or which the
Administrative Agent or the Required Lenders may reasonably request, to cause
the Collateral and Guarantee Requirement to be and remain satisfied, all at the
expense of the Loan Parties.  Holdings,
the Parent Borrower, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers also agree to provide to the Administrative Agent, from time to time
upon request, evidence reasonably satisfactory to the Administrative Agent as
to the perfection and priority of the Liens created or intended to be created
by the Security Documents.

 

(b) If any assets (including any real
property or improvements thereto or any interest therein) having a book value
or fair market value of $1,000,000 or more in 

 

105

 

the aggregate are acquired by the Parent Borrower or any Subsidiary
Loan Party after the Original Effective Date or through the acquisition of a
Subsidiary Loan Party under Section 5.12 (other than, in each case, assets
constituting Collateral under the Security Agreement or the Pledge Agreement
that become subject to the Lien of the Security Agreement or the Pledge
Agreement upon acquisition thereof), the Parent Borrower or, if applicable, the
relevant Subsidiary Loan Party will notify the Administrative Agent and the
Lenders thereof, and, if reasonably requested by the Administrative Agent or
the Required Lenders, the Parent Borrower will cause such assets to be
subjected to a Lien securing the Obligations and will take, and cause the
Subsidiary Loan Parties to take, such actions as shall be necessary or
reasonably requested by the Administrative Agent to grant and perfect such
Liens, including actions described in paragraph (a) of this Section,
all at the expense of the Loan Parties.

 

SECTION 5.14.  Interest Rate Protection.  As promptly as practicable, and in any event
within 90 days after the Original Effective Date, the Parent Borrower will
enter into with one or more Lenders, and thereafter for a period of not less
than three years will maintain in effect, one or more interest rate protection
agreements on such terms as shall be reasonably satisfactory to the
Administrative Agent, the effect of which shall be to fix or limit the interest
cost to the Parent Borrower with respect to at least 50% of the sum of (x) the
outstanding Tranche B Term Loans, (y) the outstanding Subordinated Debt
and (z) any other outstanding Indebtedness that may not be reborrowed
following a repayment thereof.

 

ARTICLE VI

 

Negative Covenants

 

Until the Commitments have expired or terminated
and the principal of and interest on each Loan and all fees payable hereunder
have been paid in full and all Letters of Credit have expired or terminated and
all LC Disbursements shall have been reimbursed, each of Holdings, the Parent
Borrower, each Subsidiary Term Borrower (as to itself only) and each Foreign
Subsidiary Borrower (as to itself only) covenants and agrees with the Lenders
that:

 

SECTION 6.01.  Indebtedness; Certain Equity Securities.  (a) None of Holdings, the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower will,
nor will they permit any Subsidiary to, create, incur, assume or permit to
exist any Indebtedness, except:

 

(i) Indebtedness
created under the Loan Documents;

 

(ii) (A) the
Permitted Receivables Financing and (B) financings in respect of sales of
accounts receivable by a Foreign Subsidiary permitted by Section 6.05(c)(ii);

 

(iii) Indebtedness
existing on the First Restatement Effective Date and set forth in
Schedule 6.01(a)(iii) and extensions, renewals and replacements 

 

106

 

of any such Indebtedness
that do not increase the outstanding principal amount as specified on such
Schedule 6.01(a)(iii) or result in an earlier maturity date or decreased
weighted average life thereof;

 

(iv) the
Existing Subordinated Notes and refinancings thereof with Replacement
Subordinated Notes;

 

(v) the
Permitted Acquisition Subordinated Notes, the Permitted Subordinated Notes and
the Permitted Senior Notes;

 

(vi) Indebtedness
of the Parent Borrower to any Subsidiary and of any Subsidiary to the Parent
Borrower or any other Subsidiary; provided that Indebtedness of any
Subsidiary that is not a Domestic Loan Party to the Parent Borrower or any
Subsidiary Loan Party shall be subject to Section 6.04;

 

(vii) Guarantees
by the Parent Borrower of Indebtedness of any Subsidiary and by any Subsidiary
of Indebtedness of the Parent Borrower or any other Subsidiary; provided
that (A) Guarantees by the Parent Borrower or any Subsidiary Loan Party of
Indebtedness of any Subsidiary that is not a Domestic Loan Party shall be
subject to Section 6.04 and (B) this clause (vii) shall not
apply to the Existing Subordinated Notes, the Permitted Subordinated Notes, the
Permitted Senior Notes or the Permitted Acquisition Subordinated Notes;

 

(viii) Guarantees
by Holdings, the Parent Borrower or any Subsidiary, as the case may be, in
respect of the Existing Subordinated Notes, the Permitted Subordinated Notes,
the Permitted Senior Notes, the Permitted Acquisition Subordinated Notes or
Permitted Subordinated Notes Refinancing Indebtedness; provided that
none of Holdings, the Parent Borrower or any Subsidiary, as the case may be,
shall Guarantee the Existing Subordinated Notes, the Permitted Subordinated
Notes, the Permitted Senior Notes, the Permitted Acquisition Subordinated Notes
or Permitted Subordinated Notes Refinancing Indebtedness unless (A) it
also has Guaranteed the Obligations pursuant to the Guarantee Agreement and (B) such
Guarantee of the Existing Subordinated Notes, the Permitted Subordinated Notes,
or the Permitted Acquisition Subordinated Notes is subordinated to such
Guarantee of the Obligations on terms no less favorable to the Lenders than the
subordination provisions of the Existing Subordinated Notes;

 

(ix) Indebtedness
of the Parent Borrower or any Subsidiary incurred to finance the acquisition,
construction or improvement of any fixed or capital assets, including Capital
Lease Obligations and any Indebtedness assumed in connection with the
acquisition of any such assets or secured by a Lien on any such assets prior to
the acquisition thereof, and extensions, renewals and replacements of any such
Indebtedness that do not increase the outstanding principal amount thereof or
result in an earlier maturity date or decreased weighted average life thereof; provided
that (A) such Indebtedness is incurred prior to or within 180 days
after such acquisition or the completion of such 

 

107

 

construction or improvement
and (B) the aggregate principal amount of Indebtedness permitted by this
clause (ix) shall not exceed $30,000,000 (which amount shall increase
to $50,000,000 upon completion of the IPO Repayment Event) at any time
outstanding;

 

(x) Indebtedness
arising as a result of an Acquisition Lease Financing or any other sale and
leaseback transaction permitted under Section 6.06;

 

(xi)
Indebtedness of any Person that becomes a Subsidiary after the First
Restatement Effective Date; provided that (A) such Indebtedness
exists at the time such Person becomes a Subsidiary and is not created in
contemplation of or in connection with such Person becoming a Subsidiary and (B) the
aggregate principal amount of Indebtedness permitted by this clause (xi)
shall not exceed $25,000,000 (which amount shall increase to $40,000,000 upon
completion of the IPO Repayment Event) at any time outstanding, less the
liquidation value of any outstanding Assumed Preferred Stock;

 

(xii)
Indebtedness of Holdings, the Parent Borrower or any Subsidiary in respect of
workers’ compensation claims, self-insurance obligations, performance bonds,
surety appeal or similar bonds and completion guarantees provided by Holdings,
the Parent Borrower and the Subsidiaries in the ordinary course of their
business;

 

(xiii)
other unsecured Indebtedness of Holdings, the Parent Borrower or any Subsidiary
in an aggregate principal amount not exceeding $15,000,000 (which amount shall
increase to $25,000,000 upon completion of the IPO Repayment Event) at any time
outstanding, less the liquidation value of any applicable Qualified Holdings
Preferred Stock issued and outstanding pursuant to clause (b) of the
definition of Qualified Holdings Preferred Stock;

 

(xiv)
secured Indebtedness incurred (A) prior to the Restatement Effective Date
in compliance with this clause (xiv) as provided in the Existing Credit
Agreement and (B) after the Restatement Effective Date in an aggregate
amount not exceeding $25,000,000 at any time outstanding, in each case in
respect of foreign lines of credit;

 

(xv)
Indebtedness arising from the honoring by a bank or other financial institution
of a check, draft or similar instrument inadvertently (except in the case of
daylight overdrafts) drawn against insufficient funds in the ordinary course of
business; provided, however, that such Indebtedness is
extinguished within ten days of incurrence;

 

(xvi)
Indebtedness arising in connection with endorsement of instruments for deposit
in the ordinary course of business;

 

108

 

(xvii)
Indebtedness incurred in connection with the financing of insurance premiums in
an aggregate amount at any time outstanding not to exceed the premiums owed
under such policy, if applicable;

 

(xviii)
contingent obligations to financial institutions, in each case to the extent in
the ordinary course of business and on terms and conditions which are within
the general parameters customary in the banking industry, entered into to
obtain cash management services or deposit account overdraft protection
services (in an amount similar to those offered for comparable services in the
financial industry) or other services in connection with the management or
opening of deposit accounts or incurred as a result of endorsement of
negotiable instruments for deposit or collection purposes and other customary,
contingent obligations of the Parent Borrower and its Subsidiaries incurred in
the ordinary course of business;

 

(xix)
unsecured guarantees by the Parent Borrower or any Subsidiary Loan Party of
facility leases of any Loan Party;

 

(xx)
Indebtedness of the Parent Borrower or any Subsidiary Loan Party under Hedging
Agreements with respect to interest rates, foreign currency exchange rates or
commodity prices, in each case not entered into for speculative purposes; provided
that if such Hedging Agreements relate to interest rates, (A) such Hedging
Agreements relate to payment obligations on Indebtedness otherwise permitted to
be incurred by the Loan Documents and (B) the notional principal amount of
such Hedging Agreements at the time incurred does not exceed the principal
amount of the Indebtedness to which such Hedging Agreements relate; and

 

(xxi)
Permitted Subordinated Notes Refinancing Indebtedness.

 

(b) None of Holdings, the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower will,
nor will they permit any Subsidiary to, issue any preferred stock or other
preferred Equity Interests, except (i) Qualified Holdings Preferred Stock,
(ii) Assumed Preferred Stock and (iii) preferred stock or preferred
Equity Interests held by Holdings, the Parent Borrower or any Subsidiary.

 

SECTION 6.02.  Liens. 
None of Holdings, the Parent Borrower, any Subsidiary Term Borrower or
any Foreign Subsidiary Borrower will, nor will they permit any Subsidiary to,
create, incur, assume or permit to exist any Lien on any property or asset now
owned or hereafter acquired by it, or assign or sell any income or revenues
(including accounts receivable) or rights in respect of any thereof, except:

 

(a) Liens
created under the Loan Documents;

 

(b) Permitted
Encumbrances;

 

(c) Liens
in respect of the Permitted Receivables Financing;

 

109

 

(d) any
Lien on any property or asset of Holdings, the Parent Borrower or any
Subsidiary existing on the First Restatement Effective Date and set forth in
Schedule 6.02; provided that (i) such Lien shall not apply to
any other property or asset of Holdings, the Parent Borrower or any Subsidiary
and (ii) such Lien shall secure only those obligations which it secures on
the First Restatement Effective Date and extensions, renewals and replacements
thereof that do not increase the outstanding principal amount thereof;

 

(e) any
Lien existing on any property or asset prior to the acquisition thereof by the
Parent Borrower or any Subsidiary or existing on any property or asset of any
Person that becomes a Subsidiary after the First Restatement Effective Date
prior to the time such Person becomes a Subsidiary; provided that (i) such
Lien is not created in contemplation of or in connection with such acquisition
or such Person becoming a Subsidiary, as the case may be, (ii) such Lien
shall not apply to any other property or assets of the Parent Borrower or any Subsidiary
and (iii) such Lien shall secure only those obligations which it secures
on the date of such acquisition or the date such Person becomes a Subsidiary,
as the case may be;

 

(f) Liens
on fixed or capital assets acquired, constructed or improved by, or in respect
of Capital Lease Obligations of, the Parent Borrower or any Subsidiary; provided
that (i) such security interests secure Indebtedness permitted by
clause (ix) of Section 6.01(a), (ii) such security
interests and the Indebtedness secured thereby are incurred prior to or within
180 days after such acquisition or the completion of such construction or
improvement, (iii) the Indebtedness secured thereby does not exceed the
cost of acquiring, constructing or improving such fixed or capital assets and (iv) such
security interests shall not apply to any other property or assets of the
Parent Borrower or any Subsidiary;

 

(g) Liens,
with respect to any Mortgaged Property, described in Schedule B-2 of the title
policy covering such Mortgaged Property;

 

(h) Liens
in respect of sales of accounts receivable by Foreign Subsidiaries permitted by
Section 6.05(c)(ii);

 

(i) other
Liens securing liabilities permitted hereunder in an aggregate amount not
exceeding (i) in respect of consensual Liens, $5,000,000 (which amount
shall increase to $10,000,000 upon completion of the IPO Repayment Event) and (ii) in
respect of all such Liens, $10,000,000 (which amount shall increase to
$20,000,000 upon completion of the IPO Repayment Event), in each case at any
time outstanding;

 

(j) Liens
in respect of Indebtedness permitted by Section 6.01(a)(xiv), provided
that the assets subject to such Liens are not located in the United States;

 

(k) Liens,
rights of setoff and other similar Liens existing solely with respect to cash and
Permitted Investments on deposit in one or more accounts 

 

110

 

maintained by any Lender, in
each case granted in the ordinary course of business in favor of such Lender
with which such accounts are maintained, securing amounts owing to such Lender
with respect to cash management and operating account arrangements, including
those involving pooled accounts and netting arrangements; provided that,
unless such Liens are non-consensual and arise by operation of law, in no case
shall any such Liens secure (either directly or indirectly) the repayment of
any Indebtedness for borrowed money;

 

(l) licenses
or sublicenses of Intellectual Property (as defined in the Security Agreement)
granted by any Company in the ordinary course of business and not interfering
in any material respect with the ordinary conduct of business of the Company;

 

(m) the
filing of UCC financing statements solely as a precautionary measure in
connection with operating leases or consignment of goods;

 

(n) Liens
for the benefit of a seller deemed to attach solely to cash earnest money
deposits in connection with a letter of intent or acquisition agreement with
respect to a Permitted Acquisition;

 

(o) Liens
deemed to exist in connection with Investments permitted under Section 6.04
that constitute repurchase obligations and in connection with related set-off
rights;

 

(p) Liens
of a collection bank arising in the ordinary course of business under Section 4-210
of the UCC in effect in the relevant jurisdiction covering only the items being
collected upon;

 

(q) Liens
of sellers of goods to the Parent Borrower or any of its Subsidiaries arising
under Article 2 of the UCC in effect in the relevant jurisdiction in the
ordinary course of business, covering only the goods sold and covering only the
unpaid purchase price for such goods and related expenses; and

 

(r) Liens
securing Permitted Subordinated Notes Refinancing Indebtedness.

 

SECTION 6.03.  Fundamental Changes.  (a) None of Holdings, the Parent Borrower,
any Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will
they permit any other Person to merge into or consolidate with it, or liquidate
or dissolve, except that, if at the time thereof and immediately after giving
effect thereto no Default shall have occurred and be continuing (i) any
Subsidiary may merge into the Parent Borrower in a transaction in which the
Parent Borrower is the surviving corporation, (ii) any Subsidiary may
merge into any Subsidiary in a transaction in which the surviving entity is a
Subsidiary and (if any party to such merger is a Subsidiary Loan Party) is a
Subsidiary Loan Party (provided that, with respect to any such mergers
involving the Subsidiary Term Borrowers or the Foreign Subsidiary Borrowers,
the surviving entity of such mergers shall be a Subsidiary Term Borrower or a
Foreign 

 

111

 

Subsidiary Borrower, as the case may be) and (iii) any Subsidiary
(other than a Subsidiary Loan Party) may liquidate or dissolve if the Parent
Borrower determines in good faith that such liquidation or dissolution is in
the best interests of the Parent Borrower and is not materially disadvantageous
to the Lenders; provided that any such merger involving a Person that is
not a wholly owned Subsidiary immediately prior to such merger shall not be
permitted unless also permitted by Section 6.04.  Notwithstanding the foregoing, this Section 6.03
shall not prohibit any Permitted Acquisition.

 

(b) The Parent Borrower will not, and
will not permit any of its Subsidiaries to, engage to any material extent in
any business other than businesses of the type conducted by the Parent Borrower
and its Subsidiaries on the date of execution of this Agreement and businesses
reasonably related thereto.

 

(c) Holdings will not engage in any
business or activity other than (i) the ownership of all the outstanding
shares of capital stock of the Parent Borrower, (ii) performing its
obligations (A) under the Loan Documents, (B) under the Subordinated
Notes Documents and the agreements relating to the Permitted Senior Notes and (C) under
the Permitted Receivables Financing, (iii) activities incidental thereto
and to Holdings’s existence, (iv) activities related to the performance of
all its obligations in respect of the Transactions, (v) performing its
obligations under guarantees in respect of sale and leaseback transactions
permitted by Section 6.06 and (vi) other activities (including the
incurrence of Indebtedness and the issuance of its Equity Interests) that are
permitted by this Agreement.  Holdings
will not own or acquire any assets (other than shares of capital stock of the
Parent Borrower and the Permitted Investments or incur any liabilities (other
than liabilities imposed by law, including tax liabilities, liabilities related
to its existence and permitted business and activities specified in the
immediately preceding sentence).

 

(d) The Receivables Subsidiary will not
engage in any business or business activity other than the activities related
to the Permitted Receivables Financing and its existence.  The Receivables Subsidiary will not own or
acquire any assets (other than the receivables subject to the Permitted
Receivables Financing) or incur any liabilities (other than the liabilities imposed
by law including tax liabilities, and other liabilities related to its
existence and permitted business and activities specified in the immediately
preceding sentence, including liabilities arising under the Permitted
Receivables Financing).

 

SECTION 6.04.  Investments, Loans, Advances, Guarantees
and Acquisitions.  None of the Parent
Borrower or any Foreign Subsidiary Borrower will, nor will they permit any
Subsidiary to, purchase, hold or acquire (including pursuant to any merger with
any Person that was not a wholly owned Subsidiary prior to such merger) any
Equity Interests in or evidences of indebtedness or other securities (including
any option, warrant or other right to acquire any of the foregoing) of, make or
permit to exist any loans or advances to, Guarantee any obligations of, or make
or permit to exist any investment or any other interest in, any other Person,
or purchase or otherwise acquire (in 

 

112

 

one transaction or a series of transactions) any assets of any other
Person constituting a business unit, except:

 

(a) Permitted
Investments;

 

(b) investments
existing on the First Restatement Effective Date and set forth on
Schedule 6.04;

 

(c) Permitted
Acquisitions;

 

(d) investments
by the Parent Borrower and the Subsidiaries in Equity Interests in their
respective Subsidiaries that exist immediately prior to any applicable
transaction; provided that (i) any such Equity Interests held by a
Loan Party shall be pledged pursuant to the Pledge Agreement or any applicable
Foreign Security Documents, as the case may be, to the extent required by this
Agreement and (ii) the aggregate amount of investments (excluding any such
investments, loans, advances and Guarantees to such Subsidiaries that are assumed
and exist on the date any Permitted Acquisition is consummated and that are not
made, incurred or created in contemplation of or in connection with such
Permitted Acquisition) by Loan Parties in, and loans and advances by Loan
Parties to, and Guarantees by Loan Parties of Indebtedness of, Subsidiaries
that are not Domestic Loan Parties made after the First Restatement Effective
Date shall not at any time exceed, in the aggregate, $50,000,000;

 

(e) loans
or advances made by the Parent Borrower to any Subsidiary and made by any
Subsidiary to the Parent Borrower or any other Subsidiary; provided that
(i) any such loans and advances made by a Loan Party shall be evidenced by
a promissory note pledged pursuant to the Pledge Agreement and (ii) the
amount of such loans and advances made by Loan Parties to Subsidiaries that are
not Loan Parties shall be subject to the limitation set forth in clause (d) above;

 

(f) Guarantees
permitted by Section 6.01(a)(viii);

 

(g) investments
arising as a result of the Permitted Receivables Financing;

 

(h) investments
constituting permitted Capital Expenditures under Section 6.14;

 

(i) investments
received in connection with the bankruptcy or reorganization of, or settlement
of delinquent accounts and disputes with, customers and suppliers, in each case
in the ordinary course of business;

 

(j) any
investments in or loans to any other Person received as noncash consideration
for sales, transfers, leases and other dispositions permitted by Section 6.05;

 

113

 

(k) Guarantees
by Holdings, the Parent Borrower and the Subsidiaries of leases entered into by
any Subsidiary as lessee; provided that the amount of such Guarantees
made by Loan Parties to Subsidiaries that are not Loan Parties shall be subject
to the limitation set forth in clause (d) above;

 

(l) extensions
of credit in the nature of accounts receivable or notes receivable in the
ordinary course of business;

 

(m) loans
or advances to employees made in the ordinary course of business consistent
with prudent business practice and not exceeding $5,000,000 in the aggregate
outstanding at any one time;

 

(n) investments
in the form of Hedging Agreements permitted under Section 6.07;

 

(o) investments
by the Parent Borrower or any Subsidiary in (i) the capital stock of a
Receivables Subsidiary and (ii) other interests in a Receivables
Subsidiary, in each case to the extent required by the terms of the Permitted
Receivables Financing;

 

(p) payroll,
travel and similar advances to cover matters that are expected at the time of
such advances ultimately to be treated as expenses for accounting purposes and
that are made in the ordinary course of business;

 

(q) Permitted
Joint Venture and Foreign Subsidiary Investments;

 

(r) investments,
loans or advances in addition to those permitted by clauses (a) through
(q) above not exceeding in the aggregate $10,000,000 (which amount shall
increase to $20,000,000 upon completion of the IPO Repayment Event) at any time
outstanding; and

 

(s) investments
made with the Net Proceeds of any issuance of Equity Interests of Holdings
subsequent to an IPO.

 

SECTION 6.05.  Asset Sales.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary to, sell, transfer, lease or otherwise dispose of any
asset, including any Equity Interest owned by it, nor will they permit any
Subsidiary to issue any additional Equity Interest in such Subsidiary, except:

 

(a) sales,
transfers, leases and other dispositions of inventory, used or surplus
equipment or other obsolete assets, Permitted Investments and Investments
referred to in Section 6.04(i) in the ordinary course of business;

 

(b) sales,
transfers and dispositions to the Parent Borrower or a Subsidiary; provided
that any such sales, transfers or dispositions involving a

 

114

 

Subsidiary that is not a
Domestic Loan Party shall be made in compliance with Section 6.09;

 

(c) (i) sales
of accounts receivable and related assets pursuant to the Receivables Purchase
Agreement and (ii) sales of accounts receivable and related assets by a
Foreign Subsidiary pursuant to customary terms whereby recourse and exposure in
respect thereof to any Foreign Subsidiary does not exceed at any time
$10,000,000.

 

(d) the
creation of Liens permitted by Section 6.02 and dispositions as a result
thereof;

 

(e) sales
or transfers that are permitted sale and leaseback transactions pursuant to Section 6.06;

 

(f) sales
and transfers that constitute part of an Acquisition Lease Financing;

 

(g) Restricted
Payments permitted by Section 6.08;

 

(h) transfers
and dispositions constituting investments permitted under Section 6.04;

 

(i) sales,
transfers and other dispositions of property identified on Schedule 6.05; and

 

(j) sales,
transfers and other dispositions of assets (other than Equity Interests in a
Subsidiary) that are not permitted by any other clause of this Section; provided
that the aggregate fair market value of all assets sold, transferred or
otherwise disposed of in reliance upon this clause (j) shall not exceed (i) 15%
of the aggregate fair market value of all assets of the Parent Borrower
(determined as of the end of its most recent fiscal year), including any Equity
Interest owned by it, during any fiscal year of the Parent Borrower, provided
that such amount shall be increased, in respect of the fiscal year ending on December 31,
2006, and each fiscal year thereafter by an amount equal to the total unused
amount of such permitted sales, transfers and other dispositions for the
immediately preceding fiscal year (without giving effect to the amount of any
unused permitted sales, transfers and other dispositions that were carried
forward to such preceding fiscal year) and (ii) 25% of the aggregate fair
market value of all assets of the Parent Borrower as of the First Restatement
Effective Date, including any Equity Interest owned by it, during the term of
this Agreement subsequent to the First Restatement Effective Date;

 

provided that (x) all
sales, transfers, leases and other dispositions permitted hereby (other than
those permitted by clause (b) above) shall be made for fair value and
(y) all sales, transfers, leases and other dispositions permitted by
clauses (i) and (j) above shall be for at least 85% cash
consideration.

 

115

 

SECTION 6.06.  Sale and Leaseback Transactions.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary to, enter into any arrangement, directly or indirectly,
whereby it shall sell or transfer any property, real or personal, used or
useful in its business, whether now owned or hereinafter acquired, and
thereafter rent or lease such property or other property that it intends to use
for substantially the same purpose or purposes as the property sold or
transferred, except for (a) any such sale of any fixed or capital assets
(other than any such transaction to which (b) or (c) below is
applicable) that is made for cash consideration in an amount not less than the
cost of such fixed or capital asset in an aggregate amount less than or equal
to 15% of the Permitted Capital Expenditure Amount, so long as the Capital
Lease Obligations associated therewith are permitted by Section 6.01(a)(ix),
(b) in the case of property owned as of or after the Restatement Effective
Date, any such sale of any fixed or capital assets that is made for cash
consideration in an aggregate amount not less than the fair market value of
such fixed or capital assets not to exceed $25,000,000 in the aggregate, so
long as the Capital Lease Obligations (if any) associated therewith are
permitted by Section 6.01(a)(ix) and (c) any Acquisition Lease
Financing.

 

SECTION 6.07.  Hedging Agreements.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary to, enter into any Hedging Agreement, other than (a) Hedging
Agreements required by Section 5.14 and (b) Hedging Agreements
entered into in the ordinary course of business and which are not speculative
in nature to hedge or mitigate risks to which the Parent Borrower, any
Subsidiary Term Borrower, any Foreign Subsidiary Borrower or any other
Subsidiary is exposed in the conduct of its business or the management of its
assets or liabilities (including Hedging Agreements that effectively cap,
collar or exchange interest rates (from fixed to floating rates, from one
floating rate to another floating rate or otherwise)).

 

SECTION 6.08.  Restricted Payments; Certain Payments of
Indebtedness.  (a) None of Holdings,
the Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower will, nor will they permit any Subsidiary to, declare or make, or
agree to pay or make, directly or indirectly, any Restricted Payment, or incur
any obligation (contingent or otherwise) to do so, except:

 

(i) Holdings
may declare and pay dividends with respect to its Equity Interests payable
solely in additional Equity Interests of Holdings;

 

(ii) Subsidiaries
may declare and pay dividends ratably with respect to their capital stock;

 

(iii) the
Parent Borrower may make payments to Holdings to permit it to make, and
Holdings may make, Restricted Payments, not exceeding $5,000,000 during the
term of this Agreement, in each case pursuant to and in accordance with stock
option plans, equity purchase programs or agreements or

 

116

 

other benefit plans, in each
case for management or employees or former employees of the Parent Borrower and
the Subsidiaries;

 

(iv) the
Parent Borrower may pay dividends to Holdings at such times and in such amounts
as shall be necessary to permit Holdings to discharge and satisfy its
obligations that are permitted hereunder (including (A) state and local
taxes and other governmental charges, and administrative and routine expenses
required to be paid by Holdings in the ordinary course of business and (B) cash
dividends payable by Holdings in respect of Qualified Holdings Preferred Stock
issued pursuant to clauses (b) and (c) of the definition thereof, provided
that dividends payable by the Parent Borrower to Holdings pursuant to this
clause (iv) in order to satisfy cash dividends payable by Holdings in
respect of Qualified Holdings Preferred Stock issued pursuant to clause (c) of
the definition thereof may only be made after the fiscal year ending December 31,
2006 with Excess Cash Flow not otherwise required to be used to prepay Tranche
B Term Loans pursuant to Section 2.11(e)); and

 

(v) the
Parent Borrower may make payments to Holdings to permit it to make, and
Holdings may make payments permitted by Sections 6.09(d), (e), (f), (g) and
(h); provided that, at the time of such payment and after giving effect
thereto, no Default or Event of Default shall have occurred and be continuing
and Holdings and the Parent Borrower are in compliance with Section 6.12; provided,
further, that any payments that are prohibited because of the
immediately preceding proviso shall accrue and may be made as so accrued upon
the curing or waiver of such Default, Event of Default or noncompliance.

 

(b) None of Holdings, the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower will,
nor will they permit any Subsidiary to, make or agree to pay or make, directly
or indirectly, any payment or other distribution (whether in cash, securities
or other property) of or in respect of principal of or interest on any
Indebtedness, or any payment or other distribution (whether in cash, securities
or other property), including any sinking fund or similar deposit, on account
of the purchase, redemption, retirement, acquisition, cancellation or
termination of any Indebtedness, except:

 

(i) payment
of Indebtedness created under the Loan Documents;

 

(ii) payment
of regularly scheduled interest and principal payments as and when due in
respect of any Indebtedness, other than payments in respect of the subordinated
Indebtedness prohibited by the subordination provisions thereof;

 

(iii) refinancings
of Indebtedness to the extent permitted by Section 6.01;

 

(iv) payment
of secured Indebtedness (other than Permitted Subordinated Notes Refinancing
Indebtedness) out of the proceeds of any sale or transfer of the property or
assets securing such Indebtedness;

 

117

 

(v) payment
in respect of Capital Lease Obligations in an aggregate amount not to exceed
$25,000,000 during the term of this Agreement less the amount of Capital
Expenditures made pursuant to Section 6.14(c)(i);

 

(vi) payment
in respect of (A) Existing Subordinated Notes using proceeds from (1) the
issuance of Replacement Subordinated Notes or (2) Permitted Subordinated
Notes Refinancing Indebtedness and (B) Existing Subordinated Notes and
Permitted Subordinated Notes Refinancing Indebtedness using (1) any Net
Proceeds from an IPO, (2) the portion of Excess Cash Flow not subject to
mandatory prepayment pursuant to Section 2.11(e) or (3) any
source of cash (to the extent not otherwise prohibited in this Agreement) up to
an amount not to exceed (x) if, after giving effect to such payment, the
Leverage Ratio would be less than 3.25 to 1.00, $50,000,000 and (y) otherwise,
$15,000,000; and

 

(vii) payment
of Indebtedness with the Net Proceeds of an issuance of Holdings’ Equity
Interests subsequent to an IPO.

 

(c) None of Holdings, the Parent
Borrower or any Foreign Subsidiary Borrower will, nor will they permit any
Subsidiary to, enter into or be party to, or make any payment under, any
Synthetic Purchase Agreement unless (i) in the case of any Synthetic
Purchase Agreement related to any Equity Interest of Holdings, the payments
required to be made by Holdings are limited to amounts permitted to be paid
under Section 6.08(a), (ii) in the case of any Synthetic Purchase
Agreement related to any Restricted Indebtedness, the payments required to be
made by Holdings, the Parent Borrower or the Subsidiaries thereunder are
limited to the amount permitted under Section 6.08(b) and (iii) in
the case of any Synthetic Purchase Agreement, the obligations of Holdings, the
Parent Borrower and the Subsidiaries thereunder are subordinated to the
Obligations on terms satisfactory to the Required Lenders.

 

SECTION 6.09.  Transactions with Affiliates.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary to, sell, lease or otherwise transfer any property or
assets to, or purchase, lease or otherwise acquire any property or assets from,
or otherwise engage in any other transactions with, any of its Affiliates, except:

 

(a) transactions
that are at prices and on terms and conditions not less favorable to the Parent
Borrower or such Subsidiary than could be obtained on an arm’s-length basis
from unrelated third parties;

 

(b) transactions
between or among the Parent Borrower and the Subsidiaries not involving any
other Affiliate (to the extent not otherwise prohibited by other provisions of
this Agreement);

 

(c) any
Restricted Payment permitted by Section 6.08;

 

(d) transactions
pursuant to agreements in effect on the First Restatement Effective Date and
listed on Schedule 6.09 (provided that this clause (d) shall
not 

 

118

 

apply to any extension, or
renewal of, or any amendment or modification of such agreements that is less
favorable to the Parent Borrower or the applicable Subsidiaries, as the case
may be);

 

(e) the
payment, on a quarterly basis, of management fees to Heartland and/or its
Affiliates in accordance with the Heartland Management Agreement, provided
that the annual amount of such management fees shall not exceed $4,000,000 and
the payment of a one-time fee in consideration of terminating the Heartland
Management Agreement upon consummation of an IPO in an amount not to exceed
$10,000,000;

 

(f) the
reimbursement of Heartland and/or its Affiliates for their reasonable
out-of-pocket expenses incurred by them in connection with the Transactions and
performing management services to Holdings, the Parent Borrower and the
Subsidiaries, pursuant to the Heartland Management Agreement as in effect on
the Original Effective Date;

 

(g) the
payment of one time fees to Heartland and/or its Affiliates in connection with
any Permitted Acquisition, such fees to be payable at the time of each such
acquisition and not to exceed the percentage of the aggregate consideration
paid by Holdings, the Parent Borrower and its Subsidiaries for any such
acquisition as specified in the Heartland Management Agreement as in effect on
the Original Effective Date; and

 

(h) payments
to Heartland and/or its Affiliates for any financial advisor, underwriter or
placement services or other investment banking activities rendered to Holdings,
the Parent Borrower or the Subsidiaries, pursuant to the Heartland Management
Agreement as in effect on the Original Effective Date.

 

SECTION 6.10.  Restrictive Agreements.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary to, directly or indirectly, enter into, incur or permit
to exist any agreement or other arrangement that prohibits, restricts or
imposes any condition upon (a) the ability of Holdings, the Parent
Borrower or any Subsidiary to create, incur or permit to exist any Lien upon
any of its property or assets, or (b) the ability of any Subsidiary to pay
dividends or other distributions with respect to any shares of its capital
stock or to make or repay loans or advances to the Parent Borrower or any other
Subsidiary or to Guarantee Indebtedness of the Parent Borrower or any other
Subsidiary; provided that (i) the foregoing shall not apply to
restrictions and conditions imposed by law or by (A) any Loan Document or
Permitted Receivables Document or (B) any Existing Subordinated Notes,
Permitted Acquisition Subordinated Notes, Permitted Subordinated Notes,
Permitted Senior Notes or Permitted Subordinated Notes Refinancing Indebtedness
that are customary, in the reasonable judgment of the board of directors
thereof, for the market in which such Indebtedness is issued so long as such
restrictions do not prevent, impede or impair (x) the creation of Liens
and Guarantees in favor of the Lenders under the Loan Documents or (y) the
satisfaction of the obligations 

 

119

 

of the Loan Parties under the Loan Documents, (ii) the foregoing
shall not apply to restrictions and conditions existing on the First
Restatement Effective Date identified on Schedule 6.10 (but shall apply to any
extension or renewal of, or any amendment or modification expanding the scope
of, any such restriction or condition), (iii) the foregoing shall not
apply to customary restrictions and conditions contained in agreements relating
to the sale of a Subsidiary pending such sale, provided, further,
that such restrictions and conditions apply only to the Subsidiary that is to
be sold and such sale is permitted hereunder, (iv) clause (a) of
the foregoing shall not apply to restrictions or conditions imposed by any
agreement relating to secured Indebtedness permitted by this Agreement if such
restrictions or conditions apply only to the property or assets securing such
Indebtedness and (v) clause (a) of the foregoing shall not apply
to customary provisions in leases and other agreements restricting the
assignment thereof.

 

SECTION 6.11.  Amendment of Material Documents.  None of Holdings, the Parent Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower will, nor will they
permit any Subsidiary (including the Receivables Subsidiary) to, amend, restate,
modify or waive any of its rights under (a) its certificate of
incorporation, by-laws or other organizational documents, and (b) any
Material Agreement or other agreements (including joint venture agreements), in
each case to the extent such amendment, restatement, modification or waiver is
adverse to the Lenders in any material respect (it being agreed that the
addition or removal of Loan Parties from participation in a Permitted
Receivables Financing shall not constitute an amendment, modification or waiver
of either the Receivables Purchase Agreement or Receivables Transfer Agreement
that is adverse to the Lenders).

 

SECTION 6.12.  Interest Expense Coverage Ratio.  Neither Holdings nor the Parent Borrower will
permit the Interest Expense Coverage Ratio, in each case on the last day of any
period of four consecutive fiscal quarters ending during any period set forth
below, to be less than the ratio set forth below opposite such period:

 

	
  Period

  	
   

  	
  Ratio

  	
   

  
	
  April 1, 2006, to September 30, 2006

  	
   

  	
  1.50 to 1.00

  	
   

  
	
  October 1, 2006, to March 31, 2007

  	
   

  	
  1.70 to 1.00

  	
   

  
	
  April 1, 2007, to September 30, 2007

  	
   

  	
  1.85 to 1.00

  	
   

  
	
  October 1, 2007, to June 30, 2008

  	
   

  	
  1.90 to 1.00

  	
   

  
	
  July 1, 2008, to December 31, 2008

  	
   

  	
  2.00 to 1.00

  	
   

  
	
  January 1, 2009, to June 30, 2009

  	
   

  	
  2.10 to 1.00

  	
   

  
	
  July 1, 2009, to December 31, 2009

  	
   

  	
  2.20 to 1.00

  	
   

  
	
  January 1, 2010, to March 31, 2010

  	
   

  	
  2.30 to 1.00

  	
   

  
	
  April 1, 2010 to June 30, 2010

  	
   

  	
  2.15 to 1.00

  	
   

  
	
  July 1, 2010 to June 30, 2011

  	
   

  	
  2.00 to 1.00

  	
   

  

 

120

 

	
  Period

  	
   

  	
  Ratio

  	
   

  
	
  July 1, 2011 to June 30, 2012

  	
   

  	
  2.25 to 1.00

  	
   

  
	
  July 1, 2012 to December 31, 2012

  	
   

  	
  2.40 to 1.00

  	
   

  
	
  January 1, 2013, to September 30, 2013

  	
   

  	
  2.50 to 1.00

  	
   

  
	
  October 1, 2013, and thereafter

  	
   

  	
  2.75 to 1.00

  	
   

  

 

SECTION 6.13.  Leverage Ratio.  Neither Holdings nor the Parent Borrower will
permit the Leverage Ratio on the last day of any fiscal quarter ending during
any period set forth below to exceed the ratio set forth opposite such period:

 

	
  Period

  	
   

  	
  Ratio

  	
   

  
	
  April 1, 2006, to December 31, 2006

  	
   

  	
  5.75 to 1.00

  	
   

  
	
  January 1, 2007, to June 30, 2007

  	
   

  	
  5.65 to 1.00

  	
   

  
	
  July 1, 2007, to September 30, 2007

  	
   

  	
  5.50 to 1.00

  	
   

  
	
  October 1, 2007, to June 30, 2008

  	
   

  	
  5.25 to 1.00

  	
   

  
	
  July 1, 2008, to June 30, 2009

  	
   

  	
  5.00 to 1.00

  	
   

  
	
  July 1, 2009, to September 30, 2009

  	
   

  	
  4.75 to 1.00

  	
   

  
	
  October 1, 2009, to December 31, 2009

  	
   

  	
  4.50 to 1.00

  	
   

  
	
  January 1, 2010 to March 31, 2010

  	
   

  	
  5.00 to 1.00

  	
   

  
	
  April 1, 2010 to June 30, 2010

  	
   

  	
  5.25 to 1.00

  	
   

  
	
  July 1, 2010 to December 31, 2010

  	
   

  	
  5.00 to 1.00

  	
   

  
	
  January 1, 2011 to June 30, 2011

  	
   

  	
  4.75 to 1.00

  	
   

  
	
  July 1, 2011 to September 30, 2011

  	
   

  	
  4.50 to 1.00

  	
   

  
	
  October 1, 2011 to September 30, 2012

  	
   

  	
  4.25 to 100

  	
   

  
	
  October 1, 2012, to June 30, 2013

  	
   

  	
  4.00 to 1.00

  	
   

  
	
  July 1, 2013, and thereafter

  	
   

  	
  3.50 to 1.00

  	
   

  

 

SECTION 6.14.  Capital Expenditures.  (a) Neither Holdings nor the Parent
Borrower will permit the aggregate amount of Capital Expenditures for any
period to exceed the applicable Permitted Capital Expenditure Amount, as such
amount may be reduced pursuant to Section 6.06(a), for such period.

 

(b) Notwithstanding the foregoing, the
Parent Borrower may in respect of the fiscal year ending on December 31,
2006, and each fiscal year thereafter, increase the amount of Capital
Expenditures permitted to be made during such fiscal year pursuant to 

 

121

 

Section 6.14(a) by an amount equal to the total unused amount
of permitted Capital Expenditures for the immediately preceding fiscal year
(without giving effect to the amount of any unused permitted Capital
Expenditures that were carried forward to such preceding fiscal year); provided
that any such unused amounts shall be disregarded and no such increase shall be
permitted with respect to the amount of Capital Expenditures permitted to be
made during the fiscal year ending on December 31, 2010.

 

(c) In addition, the Parent Borrower or
its Subsidiaries may make (i) Capital Expenditures for prepayment of
leases in effect on the First Restatement Effective Date in connection with an
IPO, less the amount of capital leases prepaid pursuant to Section 6.08(b)(v),
(ii) Capital Expenditures resulting from the purchase of assets of
businesses constituting discontinued operations not to exceed $25,000,000 and (iii) Capital
Expenditures with Net Proceeds from any issuance of Holdings’ Equity Interests
subsequent to an IPO.

 

ARTICLE VII

 

Events of Default

 

If any of the following
events (“Events of Default”) shall occur:

 

(a) the
Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower shall fail to pay any principal of any Loan or any reimbursement
obligation in respect of any LC Disbursement when and as the same shall become
due and payable, whether at the due date thereof or at a date fixed for
prepayment thereof or otherwise;

 

(b) the
Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower shall fail to pay any interest on any Loan or any fee or any other
amount (other than an amount referred to in clause (a) of this Article)
payable under this Agreement or any other Loan Document, when and as the same
shall become due and payable, and such failure shall continue unremedied for a
period of five Business Days;

 

(c) any
representation or warranty made or deemed made by or on behalf of Holdings, the
Parent Borrower, any Subsidiary Term Borrower, any Foreign Subsidiary Borrower
or any Subsidiary in or in connection with any Loan Document or any amendment
or modification thereof or waiver thereunder, or in any report, certificate,
financial statement or other document furnished pursuant to or in connection
with any Loan Document or any amendment or modification thereof or waiver
thereunder, shall prove to have been incorrect in any material respect when
made or deemed made;

 

(d) Holdings,
the Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower shall fail to observe or perform any covenant, condition or agreement
contained in Section 5.02, 5.04(a) (with respect to the existence of
Holdings, the Parent Borrower, any Subsidiary Term Borrower or 

 

122

 

any Foreign Subsidiary
Borrower and ownership of the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers), 5.04(b), 5.11 or 5.14 or in Article VI;

 

(e) any
Loan Party shall fail to observe or perform any covenant, condition or
agreement contained in any Loan Document (other than those specified in
clause (a), (b) or (d) of this Article), and such failure shall
continue unremedied for a period of 30 days after notice thereof from the
Administrative Agent to the Parent Borrower (which notice will be given at the
request of any Lender);

 

(f) Holdings,
the Parent Borrower or any Subsidiary shall fail to make any payment of
principal or interest in respect of any Material Indebtedness, when and as the
same shall become due and payable after giving effect to any applicable grace
period with respect thereto;

 

(g) any
event or condition occurs that results in any Material Indebtedness becoming
due prior to its scheduled maturity or that enables or permits the holder or
holders of any Material Indebtedness or any trustee or agent on its or their
behalf to cause any Material Indebtedness to become due, or to require the
prepayment, repurchase, redemption or defeasance thereof, prior to its
scheduled maturity; provided that this clause (g) shall not
apply to secured Indebtedness that becomes due as a result of the voluntary
sale or transfer of the property or assets securing such Indebtedness;

 

(h) an
involuntary proceeding shall be commenced or an involuntary petition shall be
filed seeking (i) liquidation, reorganization or other relief in respect
of Holdings, the Parent Borrower, any Subsidiary Term Borrower, any Foreign
Subsidiary Borrower or any Subsidiary or its debts, or of a substantial part of
its assets, under any Federal, state or foreign bankruptcy, insolvency,
receivership or similar law now or hereafter in effect or (ii) the
appointment of a receiver, trustee, custodian, sequestrator, conservator or
similar official for Holdings, the Parent Borrower or any Subsidiary or for a
substantial part of its assets, and, in any such case, such proceeding or
petition shall continue undismissed for 60 days or an order or decree
approving or ordering any of the foregoing shall be entered;

 

(i) Holdings,
the Parent Borrower or any Subsidiary shall (i) voluntarily commence any
proceeding or file any petition seeking liquidation, reorganization or other
relief under any Federal, state or foreign bankruptcy, insolvency, receivership
or similar law now or hereafter in effect, (ii) consent to the institution
of, or fail to contest in a timely and appropriate manner, any proceeding or
petition described in clause (h) of this Article, (iii) apply for or
consent to the appointment of a receiver, trustee, custodian, sequestrator,
conservator or similar official for Holdings, the Parent Borrower or any
Subsidiary or for a substantial part of its assets, (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 

 

123

 

benefit of creditors or (vi) take
any action for the purpose of effecting any of the foregoing;

 

(j) Holdings,
the Parent Borrower or any Subsidiary shall become unable, admit in writing in
a court proceeding its inability or fail generally to pay its debts as they
become due;

 

(k) one
or more judgments for the payment of money in an aggregate amount in excess of
$15,000,000 shall be rendered against Holdings, the Parent Borrower, any
Subsidiary or any combination thereof and the same shall remain undischarged
for a period of 30 consecutive days during which execution shall not be
effectively stayed, or any action shall be legally taken by a judgment creditor
to attach or levy upon any assets of Holdings, the Parent Borrower or any
Subsidiary to enforce any such judgment;

 

(l) an
ERISA Event shall have occurred that, in the opinion of the Required Lenders,
when taken together with all other ERISA Events that have occurred, could
reasonably be expected to result in a Material Adverse Effect on Holdings, the
Parent Borrower and its Subsidiaries;

 

(m) any
Lien covering property having a book value or fair market value of $1,000,000
or more purported to be created under any Security Document shall cease to be, or
shall be asserted by any Loan Party not to be, a valid and perfected Lien on
any Collateral, except (i) as a result of the sale or other disposition of
the applicable Collateral in a transaction permitted under the Loan Documents
or (ii) as a result of the Administrative Agent’s failure to maintain
possession of any stock certificates, promissory notes or other instruments
delivered to it under the Collateral Agreement;

 

(n) the
Guarantee Agreement shall cease to be, or shall have been asserted not to be,
in full force and effect;

 

(o) the
Parent Borrower, Holdings or any Subsidiary shall challenge the subordination
provisions of the Subordinated Debt or assert that such provisions are invalid
or unenforceable or that the Obligations of the Parent Borrower, any Subsidiary
Term Borrower or any Foreign Subsidiary Borrower, or the Obligations of
Holdings or any Subsidiary under the Guarantee Agreement, are not senior
Indebtedness under the subordination provisions of the Subordinated Debt, or
any court, tribunal or government authority of competent jurisdiction shall
judge the subordination provisions of the Subordinated Debt to be invalid or
unenforceable or such Obligations to be not senior Indebtedness under such
subordination provisions or otherwise cease to be, or shall be asserted not to
be, legal, valid and binding obligations of the parties thereto, enforceable in
accordance with their terms; or

 

(p) a
Change in Control shall occur;

 

124

 

then, and in every such event (other than an event with respect to the
Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower described in clause (h) or (i) of this Article), and at any
time thereafter during the continuance of such event, the Administrative Agent
may, and at the request of the Required Lenders shall, by notice to the Parent
Borrower (on behalf of itself, the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers), take either or both of the following actions, at the
same or different times:  (i) terminate the Commitments, and
thereupon the Commitments shall terminate immediately, and (ii) declare
the Loans then outstanding to be due and payable in whole (or in part, in which
case any principal not so declared to be due and payable may thereafter be
declared to be due and payable), and thereupon the principal of the Loans so
declared to be due and payable, together with accrued interest thereon and all
fees and other obligations of the Parent Borrower, any Subsidiary Term Borrower
or any Foreign Subsidiary Borrower accrued hereunder, shall become due and
payable immediately, without presentment, demand, protest or other notice of
any kind, all of which are hereby waived by the Parent Borrower, the Subsidiary
Term Borrowers and the Foreign Subsidiary Borrowers; and in case of any event
with respect to the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower described in clause (h) or (i) of this
Article, the Commitments shall automatically terminate and the principal of the
Loans then outstanding, together with accrued interest thereon and all fees and
other obligations of the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower accrued hereunder, shall automatically become due
and payable, without presentment, demand, protest or other notice of any kind,
all of which are hereby waived by the Parent Borrower, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers.

 

ARTICLE VIII

 The Administrative Agent

 

Each of the Lenders and the Issuing Bank hereby irrevocably appoints
the Administrative Agent (it being understood that reference in this Article VIII
to the Administrative Agent shall be deemed to include the Collateral Agent) as
its agent and authorizes the Administrative Agent to take such actions on its
behalf and to exercise such powers as are delegated to the Administrative Agent
by the terms of the Loan Documents, together with such actions and powers as
are reasonably incidental thereto.

 

The bank serving as the Administrative Agent hereunder shall have the
same rights and powers in its capacity as a Lender as any other Lender and may
exercise the same as though it were not the Administrative Agent, and such bank
and its Affiliates may accept deposits from, lend money to and generally engage
in any kind of business with Holdings, the Parent Borrower or any Subsidiary or
other Affiliate thereof as if it were not the Administrative Agent hereunder.

 

The Administrative Agent shall not have any duties or obligations
except those expressly set forth in the Loan Documents.  Without limiting the generality of the
foregoing, (a) the Administrative Agent shall not be subject to any
fiduciary or other 

 

125

 

implied duties, regardless of whether a
Default has occurred and is continuing, (b) the Administrative Agent shall
not have any duty to take any discretionary action or exercise any
discretionary powers, except discretionary rights and powers expressly
contemplated by the Loan Documents that the Administrative Agent is required to
exercise in writing by the Required Lenders (or such other number or percentage
of the Lenders as shall be necessary under the circumstances as provided in Section 10.02),
and (c) except as expressly set forth in the Loan Documents, the
Administrative Agent shall not have any duty to disclose, and shall not be
liable for the failure to disclose, any information relating to Holdings, the
Parent Borrower or any of its Subsidiaries that is communicated to or obtained
by the bank serving as Administrative Agent or any of its Affiliates in any
capacity.  The Administrative Agent shall
not be liable for any action taken or not taken by it with the consent or at
the request of the Required Lenders (or such other number or percentage of the
Lenders as shall be necessary under the circumstances as provided in Section 10.02)
or in the absence of its own gross negligence or wilful misconduct.  The Administrative Agent shall be deemed not
to have knowledge of any Default unless and until written notice thereof is
given to the Administrative Agent by Holdings, the Parent Borrower, a
Subsidiary Term Borrower, a Foreign Subsidiary Borrower or a Lender, and the
Administrative Agent shall not be responsible for or have any duty to ascertain
or inquire into (i) any statement, warranty or representation made in or
in connection with any Loan Document, (ii) the contents of any
certificate, report or other document delivered thereunder or in connection
therewith, (iii) the performance or observance of any of the covenants,
agreements or other terms or conditions set forth in any Loan Document, (iv) the
validity, enforceability, effectiveness or genuineness of any Loan Document or
any other agreement, instrument or document, or (v) the satisfaction of
any condition set forth in Article IV or elsewhere in any Loan Document,
other than to confirm receipt of items expressly required to be delivered to
the Administrative Agent.

 

The Administrative Agent shall be entitled to rely upon, and shall not
incur any liability for relying upon, any notice, request, certificate,
consent, statement, instrument, document or other writing believed by it to be
genuine and to have been signed or sent by the proper Person.  The Administrative Agent also may rely upon
any statement made to it orally or by telephone and believed by it to be made
by the proper Person, and shall not incur any liability for relying thereon.  The Administrative Agent may consult with
legal counsel (who may be counsel for the Parent Borrower, a Subsidiary Term
Borrower or any Foreign Subsidiary Borrower), independent accountants and other
experts selected by it, and shall not be liable for any action taken or not
taken by it in accordance with the advice of any such counsel, accountants or
experts.

 

The Administrative Agent may perform any and all its duties and
exercise its rights and powers by or through any one or more sub-agents
appointed by the Administrative Agent. 
The Administrative Agent and any such sub-agent may perform any and all
its duties and exercise its rights and powers through their respective Related
Parties.  The exculpatory provisions of
the preceding paragraphs shall apply to any such sub-agent and to the Related
Parties of each Administrative Agent and any such sub-agent, and shall apply to
their respective activities in connection with the syndication of the credit
facilities provided for herein as well as activities as Administrative Agent.

 

126

 

Subject to the appointment and acceptance of a successor Administrative
Agent as provided in this paragraph, the Administrative Agent may resign at any
time by notifying the Lenders, the Issuing Bank and the Parent Borrower (on
behalf of itself, the Subsidiary Term Borrowers and the Foreign Subsidiary
Borrowers).  Upon any such resignation,
the Required Lenders shall have the right, in consultation with the Parent
Borrower and, if applicable, the relevant Subsidiary Term Borrower and Foreign
Subsidiary Borrower, to appoint a successor from among the Lenders.  If no successor shall have been so appointed
by the Required Lenders and shall have accepted such appointment within
30 days after the retiring Administrative Agent gives notice of its
resignation, then the retiring Administrative Agent may, on behalf of the
Lenders and the Issuing Bank, appoint a successor Administrative Agent which
shall be a bank with an office in New York, New York, or an Affiliate
of any such bank.  Upon the acceptance of
its appointment as Administrative Agent hereunder by a successor, such
successor shall succeed to and become vested with all the rights, powers,
privileges and duties of the retiring Administrative Agent, and the retiring
Administrative Agent shall be discharged from its duties and obligations
hereunder.  The fees payable by the
Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers) to a successor Administrative Agent shall be the
same as those payable to its predecessor unless otherwise agreed between the
Parent Borrower (on behalf of itself, the Subsidiary Term Borrowers and the
Foreign Subsidiary Borrowers) and such successor.  After the Administrative Agent’s resignation
hereunder, the provisions of this Article and Section 10.03 shall
continue in effect for the benefit of such retiring Administrative Agent, its
sub-agents and their respective Related Parties in respect of any actions taken
or omitted to be taken by any of them while it was acting as Administrative
Agent.

 

Each Lender acknowledges that it has, independently and without
reliance upon the Administrative Agent or any other Lender and based on such
documents and information as it has deemed appropriate, made its own credit
analysis and decision to enter into this Agreement.  Each Lender also acknowledges that it will,
independently and without reliance upon the Administrative Agent or any other
Lender and based on such documents and information as it shall from time to
time deem appropriate, continue to make its own decisions in taking or not
taking action under or based upon this Agreement, any other Loan Document or
related agreement or any document furnished hereunder or thereunder.

 

The Lenders identified in this Agreement as the Syndication Agent and
the Documentation Agents shall not have any right, power, obligation,
liability, responsibility or duty under this Agreement other than those
applicable to all Lenders.  Without
limiting the foregoing, none of the Syndication Agent or the Documentation
Agents shall have or be deemed to have a fiduciary relationship with any
Lender.  Each Lender hereby makes the
same acknowledgments with respect to the Syndication Agent and the
Documentation Agents as it makes with respect to the Administrative Agent or
any other Lender in this Article VIII.

 

127

 

ARTICLE IX

 Collection Allocation Mechanism

 

SECTION 9.01.  Implementation
of CAM.  (a) On the CAM Exchange
Date, (i) the Commitments shall automatically and without further act be
terminated as provided in Article VII, (ii) all Foreign Currency
Borrowings and the Commitments to make Foreign Currency Loans shall be
converted into, and all such amounts due thereunder shall accrue and be payable
in, dollars at the Exchange Rate on such date and (iii) the Lenders shall
automatically and without further act (and without regard to the provisions of Section 10.04)
be deemed to have exchanged interests in the Credit Facilities such that in
lieu of the interest of each Lender in each Credit Facility in which it shall
participate as of such date (including such Lender’s interest in the Specified
Obligations of each Loan Party in respect of each such Credit Facility), such
Lender shall hold an interest in every one of the Credit Facilities (including
the Specified Obligations of each Loan Party in respect of each such Credit
Facility and each LC Reserve Account established pursuant to Section 9.02
below), whether or not such Lender shall previously have participated therein,
equal to such Lender’s CAM Percentage thereof. 
Each Lender and each Loan Party hereby consents and agrees to the CAM
Exchange, and each Lender agrees that the CAM Exchange shall be binding upon
its successors and assigns and any person that acquires a participation in its
interests in any Credit Facility.

 

(b) As a result of the CAM Exchange, upon and after the CAM
Exchange Date, each payment received by the Administrative Agent or the
Collateral Agent pursuant to any Loan Document in respect of the Specified
Obligations, and each distribution made by the Collateral Agent pursuant to any
Security Documents in respect of the Specified Obligations, shall be
distributed to the Lenders pro rata in accordance with their respective CAM
Percentages.  Any direct payment received
by a Lender upon or after the CAM Exchange Date, including by way of setoff, in
respect of a Specified Obligation shall be paid over to the Administrative
Agent for distribution to the Lenders in accordance herewith.

 

SECTION 9.02.  Letters of
Credit.  (a) In the event that
on the CAM Exchange Date any Revolving Letter of Credit shall be outstanding
and undrawn in whole or in part, or any amount drawn under a Revolving Letter
of Credit shall not have been reimbursed either by the Parent Borrower or any
Foreign Subsidiary Borrower, as the case may be, or with the proceeds of a
Revolving Loan, each Class A Revolving Lender shall promptly pay over to
the Administrative Agent, in immediately available funds and in the currency
that such Letters of Credit are denominated, an amount equal to such Class A
Revolving Lender’s Class A Revolving Applicable Percentage (as notified to
such Lender by the Administrative Agent) of such Letter of Credit’s undrawn
face amount or (to the extent it has not already done so) such Letter of Credit’s
unreimbursed drawing, together with interest thereon from the CAM Exchange Date
to the date on which such amount shall be paid to the Administrative Agent at
the rate that would be applicable at the time to an ABR Class A Revolving
Loan in a principal amount equal to such amount, as the case may be.  The Administrative Agent shall establish a
separate 

 

128

 

account or
accounts for each Class A Revolving Lender (each, an “LC Reserve
Account”) for the amounts received with respect to each such Letter of
Credit pursuant to the preceding sentence. 
The Administrative Agent shall deposit in each Class A Revolving
Lender’s LC Reserve Account such Lender’s CAM Percentage of the amounts
received from the Class A Revolving Lenders as provided above.  The Administrative Agent shall have sole
dominion and control over each LC Reserve Account, and the amounts deposited in
each LC Reserve Account shall be held in such LC Reserve Account until
withdrawn as provided in paragraph (b), (c), (d) or (e) below.  The Administrative Agent shall maintain
records enabling it to determine the amounts paid over to it and deposited in
the LC Reserve Accounts in respect of each Revolving Letter of Credit and the
amounts on deposit in respect of each Revolving Letter of Credit attributable
to each Lender’s CAM Percentage.  The
amounts held in each Lender’s LC Reserve Account shall be held as a reserve
against the Revolving LC Exposure, shall be the property of such Lender, shall
not constitute Loans to or give rise to any claim of or against any Loan Party
and shall not give rise to any obligation on the part of the Parent Borrower or
the Foreign Subsidiary Borrowers to pay interest to such Lender, it being
agreed that the reimbursement obligations in respect of Revolving Letters of
Credit shall arise only at such times as drawings are made thereunder, as
provided in Section 2.05.

 

(b) In the event that after the CAM Exchange Date any drawing shall
be made in respect of a Revolving Letter of Credit, the Administrative Agent
shall, at the request of the Issuing Bank, withdraw from the LC Reserve Account
of each Class A Revolving Lender any amounts, up to the amount of such
Lender’s CAM Percentage of such drawing, deposited in respect of such Letter of
Credit and remaining on deposit and deliver such amounts to the Issuing Bank in
satisfaction of the reimbursement obligations of the Class A Revolving
Lenders under Section 2.05(e) (but not of the Parent Borrower and the
Foreign Subsidiary Borrowers under Section 2.05(f), respectively).  In the event any Class A Revolving
Lender shall default on its obligation to pay over any amount to the
Administrative Agent in respect of any Revolving Letter of Credit as provided
in this Section 9.02, the Issuing Bank shall, in the event of a drawing
thereunder, have a claim against such Class A Revolving Lender to the same
extent as if such Lender had defaulted on its obligations under Section 2.05(e),
but shall have no claim against any other Lender in respect of such defaulted
amount, notwithstanding the exchange of interests in the reimbursement
obligations pursuant to Section 9.01. 
Each other Lender shall have a claim against such defaulting Class A
Revolving Lender for any damages sustained by it as a result of such default,
including, in the event such Letter of Credit shall expire undrawn, its CAM
Percentage of the defaulted amount.

 

(c) In the event that after the CAM Exchange Date any Revolving
Letter of Credit shall expire undrawn, the Administrative Agent shall withdraw
from the LC Reserve Account of each Class A Revolving Lender the amount
remaining on deposit therein in respect of such Letter of Credit and distribute
such amount to such Lender.

 

(d) With the prior written approval of the Administrative Agent
and the Issuing Bank, any Class A Revolving Lender may withdraw the amount
held in its LC Reserve Account in respect of the undrawn amount of any
Revolving Letter of Credit.  

 

129

 

Any Class A
Revolving Lender making such a withdrawal shall be unconditionally obligated,
in the event there shall subsequently be a drawing under such Letter of Credit,
to pay over to the Administrative Agent, for the account of the Issuing Bank on
demand, its CAM Percentage of such drawing.

 

(e) Pending the withdrawal by any Class A Revolving Lender of
any amounts from its LC Reserve Account as contemplated by the above
paragraphs, the Administrative Agent will, at the direction of such Lender and
subject to such rules as the Administrative Agent may prescribe for the
avoidance of inconvenience, invest such amounts in Permitted Investments.  Each Class A Revolving Lender that has
not withdrawn its CAM Percentage of amounts in its LC Reserve Account as
provided in paragraph (d) above shall have the right, at intervals
reasonably specified by the Administrative Agent, to withdraw the earnings on
investments so made by the Administrative Agent with amounts in its LC Reserve
Account and to retain such earnings for its own account.

 

ARTICLE X

 Miscellaneous

 

SECTION 10.01.  Notices.  Except in the case of notices and other
communications expressly permitted to be given by telephone, all notices and
other communications provided for herein shall be in writing and shall be
delivered by hand or overnight courier service, mailed by certified or
registered mail or sent by telecopy, as follows:

 

(a) if to Holdings, the Parent Borrower, any Subsidiary Term
Borrower or any Foreign Subsidiary Borrower, to the Parent Borrower (on behalf
of itself, Holdings, any Subsidiary Term Borrower and any Foreign Subsidiary
Borrower) at 39400 Woodward Avenue, Suite 130, Bloomfield Hills, MI 48304,
Attention of Joshua Sherbin, General Counsel (Telephone No. (248)
631-5450, Telecopy No. (248) 631-5413),

 

with a copy to

 

Jonathan A. Schaffzin, Esq.

Cahill Gordon & Reindel LLP

80 Pine Street

New York, New York

(Telecopy No. (212) 269-5420);

 

(b) if to the Administrative Agent, to JPMorgan Chase Bank, N.A.,
Loan and Agency Services Group, 1111 Fannin, 10th floor, Houston, Texas 77002 Attention of
Michael Chau (Telecopy: 713-750-2938), with a copy to JPMorgan Chase
Bank, N.A., 270 Park Avenue, New York, New York 10017,
Attention of Richard Duker (Telecopy No. 212-270-5127);

 

130

 

(c) if to the Issuing Bank, to it at JPMorgan Chase Bank, N.A.,
Standby Letters of Credit, 10420 Highland Mn Dr BL2, Tampa, Florida, 33610 4th floor (Telecopy: 813-432-5161) attention of
James Alonzo, and in the event that there is more than one Issuing Bank, to
such other Issuing Bank at its address (or telecopy number) set forth in its
Administrative Questionnaire;

 

(d) if to JPMCB, as Swingline Lender, to it at 1111 Fannin, 10th floor, Houston, Texas 77002, Attention of
Michael Chau (Telecopy: 713-750-2938);

 

(e) if to Comerica, as Swingline Lender, to it at Comerica Tower
at Detroit Center, 500 Woodward Avenue, 9th floor, M/C 3270, Detroit, Michigan 48226,
Attention of Tammy Gurne (Telecopy No. (313) 222-1582);

 

(f) if to the Foreign Currency Administrative Agent, to J.P.
Morgan Europe Limited, Loan and Agency Services Group, 125 London Wall, 9th
Floor, London, EC2Y 5AJ, United Kingdom, Attention of James Beard (Telecopy No. +44
(0) 207-777-2360/2085); and

 

(g) if to any other Lender, to it at its address (or telecopy
number) set forth in its Administrative Questionnaire.

 

Any party hereto may change its address or telecopy number for notices
and other communications hereunder by notice to the other parties hereto.  All notices and other communications given to
any party hereto in accordance with the provisions of this Agreement shall be
deemed to have been given on the date of receipt.

 

SECTION 10.02.  Waivers;
Amendments.  (a) No failure or
delay by the Administrative Agent, the Issuing Bank or any Lender in exercising
any right or power hereunder or under any other Loan Document shall operate as
a waiver thereof, nor shall any single or partial exercise of any such right or
power, or any abandonment or discontinuance of steps to enforce such a right or
power, preclude any other or further exercise thereof or the exercise of any
other right or power.  The rights and
remedies of the Administrative Agent, the Issuing Bank and the Lenders
hereunder and under the other Loan Documents are cumulative and are not
exclusive of any rights or remedies that they would otherwise have.  No waiver of any provision of any Loan
Document or consent to any departure by any Loan Party therefrom shall in any
event be effective unless the same shall be permitted by paragraph (b) of
this Section, and then such waiver or consent shall be effective only in the
specific instance and for the purpose for which given.  Without limiting the generality of the
foregoing, the making of a Loan or issuance of a Letter of Credit shall not be
construed as a waiver of any Default, regardless of whether the Administrative
Agent, any Lender or the Issuing Bank may have had notice or knowledge of such
Default at the time.

 

(b) Neither this Agreement nor any other Loan Document nor any
provision hereof or thereof may be waived, amended or modified except, in the
case of this Agreement, pursuant to an agreement or agreements in writing
entered into by Holdings, the Parent Borrower, each Subsidiary Term Borrower
(but only to the extent 

 

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such waiver,
amendment or modification relates to such Subsidiary Term Borrower), each
Foreign Subsidiary Borrower (but only to the extent such waiver, amendment or
modification relates to such Foreign Subsidiary Borrower) and the Required
Lenders or, in the case of any other Loan Document, pursuant to an agreement or
agreements in writing entered into by the Administrative Agent and the Loan
Party or Loan Parties that are parties thereto, in each case with the consent
of the Required Lenders; provided that no such agreement shall (i) increase
the Commitment of any Lender without the written consent of such Lender, (ii) reduce
the principal amount of any Loan or LC Disbursement or reduce the rate of
interest thereon, or reduce any fees payable hereunder, or reduce or forgive
the Deposit Return, without the written consent of each Lender affected
thereby, (iii) postpone the maturity of any Loan, or any scheduled date of
payment of the principal amount of any Term Loan under Section 2.10, or
the required date of reimbursement of any LC Disbursement, or any date for the
payment of any interest or fees payable hereunder, or reduce or forgive the
amount of, waive or excuse any such payment, or postpone the scheduled date of
expiration of any Commitment or postpone the scheduled date of expiration of
any Letter of Credit beyond the Commitment Termination Date, without the
written consent of each Lender affected thereby, (iv) change Section 2.18(a),
(b) or (c) in a manner that would alter the pro rata sharing of
payments required thereby, without the written consent of each Lender, (v) change
the percentage set forth in the definition of “Required Lenders” or any other provision
of any Loan Document (including this Section) specifying the number or
percentage of Lenders (or Lenders of any Class) required to waive, amend or
modify any rights thereunder or make any determination or grant any consent
thereunder, without the written consent of each Lender (or each Lender of such
Class, as the case may be), (vi) release Holdings or any Subsidiary Loan
Party from its Guarantee under the Guarantee Agreement (except as expressly
provided in the Guarantee Agreement), or limit its liability in respect of such
Guarantee, without the written consent of each Lender, (vii) release all
or substantially all of the Collateral from the Liens of the Security
Documents, without the written consent of each Lender (except as expressly
provided in the Security Documents) or (viii) change any provisions of any
Loan Document in a manner that by its terms adversely affects the rights in
respect of payments due to Lenders holding Loans of any Class differently
than those holding Loans of any other Class, without the written consent of
Lenders holding a majority in interest of the outstanding Loans and unused
Commitments of each affected Class; provided, further, that (A) no
such agreement shall amend, modify or otherwise affect the rights or duties of the
Administrative Agent, the Issuing Bank or the Swingline Lender without the
prior written consent of the Administrative Agent, the Issuing Bank or the
Swingline Lender, as the case may be, and (B) any waiver, amendment or
modification of this Agreement that by its terms affects the rights or duties
under this Agreement of the Revolving Lenders (but not the Tranche B Lenders,
Tranche B-1 Lenders and Incremental Lenders), the Tranche B-1 Lenders (but not
the Revolving Lenders, Tranche B Lenders and Incremental Lenders) the Tranche B
Lenders (but not the Revolving Lenders, Tranche B-1 Lenders and Incremental
Lenders), or the Incremental Lenders (but not the Revolving Lenders, Tranche B
Lenders and Tranche B-1 Lenders) may be effected by an agreement or agreements
in writing entered into by Holdings, the Parent Borrower, each Subsidiary Term
Borrower (but only to the extent such waiver, amendment or modification relates
to such Subsidiary Term Borrower), 

 

132

 

each Foreign
Subsidiary Borrower (but only to the extent such waiver, amendment or
modification relates to such Foreign Subsidiary Borrower) and requisite
percentage in interest of the affected Class of Lenders that would be
required to consent thereto under this Section if such Class of
Lenders were the only Class of Lenders hereunder at the time.  Notwithstanding the foregoing, any provision
of this Agreement may be amended by an agreement in writing entered into by
Holdings, the Parent Borrower, each Subsidiary Term Borrower (but only to the
extent such waiver, amendment or modification relates to such Subsidiary Term
Borrower), each Foreign Subsidiary Borrower (but only to the extent such
waiver, amendment or modification relates to such Foreign Subsidiary Borrower),
the Required Lenders and the Administrative Agent (and, if their rights or
obligations are affected thereby, the Issuing Bank and the Swingline Lender) if
(i) by the terms of such agreement the Commitment of each Lender not
consenting to the amendment provided for therein shall terminate upon the
effectiveness of such amendment and (ii) at the time such amendment
becomes effective, each Lender not consenting thereto receives payment in full
of the principal of and interest accrued on each Loan made by it and all other
amounts owing to it or accrued for its account under this Agreement.

 

(c) In connection with any proposed amendment, modification,
waiver or termination (a “Proposed Change”) requiring the consent of all
Lenders or all affected Lenders, if the consent of the Required Lenders (and,
to the extent any Proposed Change requires the consent of Lenders holding Loans
of any Class pursuant to clause (v) or (viii) of
paragraph (b) of this Section, the consent of at least 50% in
interest of the outstanding Loans and unused Commitments of such Class) to such
Proposed Change is obtained, but the consent to such Proposed Change of other
Lenders whose consent is required is not obtained (any such Lender whose
consent is not obtained as described in paragraph (b) of this Section being
referred to as a “Non-Consenting Lender”), then, so long as the Lender that is
acting as Administrative Agent is not a Non-Consenting Lender, the Parent
Borrower may, at its sole expense and effort, upon notice to such Non-Consenting
Lender and the Administrative Agent, require such Non-Consenting Lender to
assign and delegate, without recourse (in accordance with and subject to the
restrictions contained in Section 10.04), all its interests, rights and
obligations under this Agreement to an assignee that shall assume such
obligations (which assignee may be another Lender, if a Lender accepts such
assignment), provided that (a) the Parent Borrower shall have received the
prior written consent of the Administrative Agent (and, if a Revolving
Commitment is being assigned, the Issuing Bank and Swingline Lender), which
consent shall not be unreasonably withheld, (b) such Non-Consenting Lender
shall have received payment of an amount equal to the outstanding principal of
its Loans and participations in LC Disbursements and Swingline Loans, accrued
interest thereon, accrued fees and all other amounts payable to it hereunder
from the assignee (to the extent of such outstanding principal and accrued
interest and fees) or the Borrower (in the case of all other amounts), (c) the
Borrower or such assignee shall have paid to the Administrative Agent the
processing and recordation fee specified in Section 10.04(b), (d) such
assignee shall consent to such Proposed Change and (e) if such Non-Consenting
Lender is acting as the Administrative Agent, it will not be required to assign
and delegate its interests, rights and obligations as Administrative agent
under this Agreement.

 

133

 

SECTION 10.03.  Expenses;
Indemnity; Damage Waiver.  (a) Holdings,
the Parent Borrower, each Subsidiary Term Borrower and each Foreign Subsidiary
Borrower, jointly and severally, shall pay (i) all reasonable
out-of-pocket expenses incurred by the Agents and their Affiliates, including
the reasonable fees, charges and disbursements of one counsel in each
applicable jurisdiction for each of the Agents, in connection with the
syndication of the credit facilities provided for herein, due diligence
investigation, the preparation and administration of the Loan Documents or any
amendments, modifications or waivers of the provisions thereof (whether or not
the transactions contemplated hereby or thereby shall be consummated), (ii) all
reasonable out-of-pocket expenses incurred by the Issuing Bank in connection
with the issuance, amendment, renewal or extension of any Letter of Credit or
any demand for payment thereunder and (iii) all out-of-pocket expenses
incurred by the Agents, the Issuing Bank or any Lender, including the fees,
charges and disbursements of any counsel for the Agents, the Issuing Bank or
any Lender, in connection with the enforcement or protection of its rights in
connection with the Loan Documents, including its rights under this Section, or
in connection with the Loans made or Letters of Credit issued hereunder,
including all such out-of-pocket expenses incurred during any workout,
restructuring or negotiations in respect of such Loans or Letters of Credit.

 

(b) Holdings, the Parent Borrower, each Subsidiary Term Borrower
and each Foreign Subsidiary Borrower, jointly and severally, shall indemnify
the Agents, the Issuing Bank and each Lender, and each Related Party of any of
the foregoing Persons (each such Person being called an “Indemnitee”)
against, and hold each Indemnitee harmless from, any and all losses, claims,
damages, liabilities and related expenses, including the fees, charges and
disbursements of any counsel for any Indemnitee, incurred by or asserted
against any Indemnitee arising out of, in connection with, or as a result of (i) the
execution or delivery of any Loan Document or any other agreement or instrument
contemplated hereby, the performance by the parties to the Loan Documents of
their respective obligations thereunder or the consummation of the
Transactions, the Restatement Transactions or any other transactions
contemplated hereby, (ii) any Loan or Letter of Credit or the use of the
proceeds therefrom (including any refusal by the Issuing Bank to honor a demand
for payment under a Letter of Credit if the documents presented in connection
with such demand do not strictly comply with the terms of such Letter of
Credit), (iii) any actual or alleged presence or release of Hazardous
Materials on or from any Mortgaged Property or any other property currently or
formerly owned or operated by Holdings, the Parent Borrower or any Subsidiary,
or any Environmental Liability related in any way to Holdings, the Parent
Borrower or any Subsidiary, or (iv) any actual or prospective claim,
litigation, investigation or proceeding relating to any of the foregoing,
whether based on contract, tort or any other theory and regardless of whether
any Indemnitee is a party thereto; provided that such indemnity shall
not, as to any Indemnitee, be available to the extent that such losses, claims,
damages, liabilities or related expenses are determined by a court of competent
jurisdiction by final and nonappealable judgment to have resulted from the
gross negligence or wilful misconduct of such Indemnitee.

 

134

 

(c) To the extent that Holdings, the Parent Borrower, the
Subsidiary Term Borrowers and the Foreign Subsidiary Borrowers fail to pay any
amount required to be paid by it to the Administrative Agent, the Issuing Bank
or the Swingline Lender under paragraph (a) or (b) of this Section (and
without limiting such party’s obligation to do so), each Lender severally
agrees to pay to the Administrative Agent, the Issuing Bank or the Swingline
Lender, as the case may be, such Lender’s pro rata share (determined as of the
time that the applicable unreimbursed expense or indemnity payment is sought)
of such unpaid amount; provided that the unreimbursed expense or
indemnified loss, claim, damage, liability or related expense, as the case may
be, was incurred by or asserted against the Administrative Agent, the Issuing
Bank or a Swingline Lender in its capacity as such; provided  further
that to the extent indemnification of (i) the Issuing Bank in respect of a
Revolving Letter of Credit or (ii) the Swingline Lender is required
pursuant to this Section 10.03(c), such obligation will be limited to Class A
Revolving Lenders only.  For purposes
hereof, a Lender’s “pro rata share” shall be determined based upon its share of
the sum of the total Revolving Exposures, outstanding Tranche B Term Loans,
unused Commitments and Tranche B-1 Total Commitment at the time.

 

(d) To the extent permitted by applicable law, none of Holdings,
the Parent Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary
Borrower shall assert, and each hereby waives, any claim against any
Indemnitee, on any theory of liability, for special, indirect, consequential or
punitive damages (as opposed to direct or actual damages) arising out of, in
connection with, or as a result of, this Agreement or any agreement or
instrument contemplated hereby, the Transactions, the Restatement Transactions,
any Loan or Letter of Credit or the use of the proceeds thereof.

 

(e) All amounts due under this Section shall be payable
promptly after written demand therefor.

 

(f) Neither Heartland nor any director, officer, employee,
stockholder or member, as such, of any Loan Party or Heartland shall have any
liability for the Obligations or for any claim based on, in respect of or by
reason of the Obligations or their creation; provided that the foregoing
shall not be construed to relieve any Loan Party of its Obligations under any
Loan Document.

 

SECTION 10.04.  Successors
and Assigns.  (a) The provisions
of this Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns permitted hereby (including
any Affiliate of the Issuing Bank that issues any Letter of Credit), except
that, subject to Section 10.15(g), none of Holdings, the Parent Borrower,
any Subsidiary Term Borrower or any Foreign Subsidiary Borrower may assign or
otherwise transfer any of its rights or obligations hereunder without the prior
written consent of each Lender (and any attempted assignment or transfer by
Holdings, the Parent Borrower, any Subsidiary Term Borrower or any Foreign
Subsidiary Borrower without such consent shall be null and void).  Nothing in this Agreement, expressed or
implied, shall be construed to confer upon any Person (other than the parties
hereto, their respective successors and assigns permitted hereby (including any
Affiliate of the Issuing Bank that issues any Letter of Credit) and, to the 

 

135

 

extent
expressly contemplated hereby, the Related Parties of each of the Administrative
Agent, the Issuing Bank and the Lenders) any legal or equitable right, remedy
or claim under or by reason of this Agreement.

 

(b) Any Lender may assign to one or more assignees all or a
portion of its rights and obligations under this Agreement (including all or a
portion of its Commitments, the Loans at the time owing to it and its Deposit);
provided  that (i) except in
the case of an assignment to a Lender, a Lender Affiliate or an Approved Fund,
each of the Parent Borrower, each Subsidiary Term Borrower (but only to the
extent such assignment relates to a Tranche B Term Loan to such Subsidiary Term
Borrower), each Foreign Subsidiary Borrower and the Administrative Agent (and,
in the case of an assignment of all or a portion of a Class A Revolving
Commitment or any Lender’s obligations in respect of its LC Exposure or
Swingline Exposure, the Issuing Bank and the Swingline Lender) must give their
prior written consent to such assignment (which consent shall not be
unreasonably withheld or delayed), (ii) except in the case of an
assignment to a Lender, a Lender Affiliate or an Approved Fund or an assignment
of the entire remaining amount of the assigning Lender’s Commitment or Loans,
the amount of the Commitment or Loans of the assigning Lender subject to each
such assignment (determined as of the date the Assignment and Acceptance with
respect to such assignment is delivered to the Administrative Agent) shall not
be less than (x) in the case of Revolving Commitments and Revolving Loans,
$5,000,000, and (y) in the case of Tranche B-1 Commitments and
Tranche B Term Loans and Tranche B-1 Loans, $1,000,000 unless each of the
Parent Borrower, each Foreign Subsidiary Borrower (but only to the extent such
assignment relates to Foreign Currency Commitments or Foreign Currency Loans
relating to such Foreign Subsidiary Borrower) and the Administrative Agent
otherwise consent, (iii) each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender’s rights and
obligations under this Agreement, except that this clause (iii) shall not
be construed to prohibit the assignment of a proportionate part of all the
assigning Lender’s rights and obligations in respect of one Class of
Commitments or Loans, (iv) notwithstanding anything to the contrary,
assignments by any Revolving Lender of any portion of its Revolving Commitments
or any portion of Revolving Loans must include a ratable portion of its Foreign
Currency Commitments and ratable portion of its Foreign Currency Loans and visa
versa, (v) the parties to each assignment shall execute and deliver to the
Administrative Agent an Assignment and Acceptance, together with a processing
and recordation fee of $3,500, (vi) the assignee, if it shall not be a
Lender, shall deliver to the Administrative Agent an Administrative
Questionnaire and (vii) in connection with
each assignment of a Tranche B-1 Commitment, Tranche B-1 Loan or Tranche B-1 LC
Exposure, (A) the Deposit of the assignor Lender shall not be released,
but shall instead be purchased by the relevant assignee and continue to be held
for application (to the extent not already applied) in accordance with Article II
to satisfy such assignee’s obligations in respect of such Tranche B-1 Loans and
such Tranche B-1 LC Exposure and (B) each Lender agrees that immediately
prior to each assignment (1) the Administrative Agent shall establish a
new Sub-Account in the name of the assignee, (2) a corresponding portion
of the Deposit credited to the Sub-Account of the assignor Lender shall be
purchased by the assignee and shall be transferred from the assignor’s
Sub-Account to the assignee’s Sub-Account 

 

136

 

and
(3) if after giving effect to such assignment the Tranche B-1 Commitment
of the assignor Lender shall be zero, the Administrative Agent shall close the
Sub-Account of such assignor Lender; and provided  further
that any consent of the Parent Borrower or any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower otherwise required under this paragraph shall not
be required if an Event of Default under Article VII has occurred and is
continuing.  Subject to acceptance and
recording thereof pursuant to paragraph (d) of this Section, from and
after the effective date specified in each Assignment and Acceptance the
assignee thereunder shall be a party hereto and, to the extent of the interest
assigned by such Assignment and Acceptance, have the rights and obligations of
a Lender under this Agreement (provided that any liability of the Parent
Borrower, any Subsidiary Term Borrower or any Foreign Subsidiary Borrower to
such assignee under Section 2.15, 2.16 or 2.17 shall be limited to the
amount, if any, that would have been payable thereunder by the Parent Borrower,
any Subsidiary Term Borrower or any Foreign Subsidiary Borrower in the absence
of such assignment), and the assigning Lender thereunder shall, to the extent
of the interest assigned by such Assignment and Acceptance, be released from
its obligations under this Agreement (and, in the case of an Assignment and
Acceptance covering all of the assigning Lender’s rights and obligations under
this Agreement, such Lender shall cease to be a party hereto but shall continue
to be entitled to the benefits of Sections 2.15, 2.16, 2.17 and 10.03).  Any assignment or transfer by a Lender of
rights or obligations under this Agreement that does not comply with this
paragraph shall be treated for purposes of this Agreement as a sale by such
Lender of a participation in such rights and obligations in accordance with
paragraph (e) of this Section.

 

(c) The Administrative Agent, acting for this purpose as an agent
of the Parent Borrower, the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers, shall maintain at one of its offices in The City of
New York a copy of each Assignment and Acceptance delivered to it and a
register for the recordation of the names and addresses of the Lenders, and the
Commitment of, and principal amount of the Loans and LC Disbursements owing to,
each Lender pursuant to the terms hereof from time to time (the “Register”).  The entries in the Register shall be
conclusive, and Holdings, the Parent Borrower, the Subsidiary Term Borrowers,
the Foreign Subsidiary Borrowers, the Administrative Agent, the Issuing Bank
and the Lenders may treat each Person whose name is recorded in the Register
pursuant to the terms hereof as a Lender hereunder for all purposes of this
Agreement, notwithstanding notice to the contrary.  The Register shall be available for
inspection by the Parent Borrower, the Subsidiary Term Borrowers, the Foreign
Subsidiary Borrowers, the Issuing Bank and any Lender, at any reasonable time
and from time to time upon reasonable prior notice.

 

(d) Upon its receipt of a duly completed Assignment and Acceptance
executed by an assigning Lender and an assignee, the assignee’s completed
Administrative Questionnaire (unless the assignee shall already be a Lender
hereunder), the processing and recordation fee referred to in paragraph (b) of
this Section and any written consent to such assignment required by
paragraph (b) of this Section, the Administrative Agent shall accept
such Assignment and Acceptance and record the information contained therein in
the Register.  No assignment shall be
effective for 

 

137

 

purposes of
this Agreement unless it has been recorded in the Register as provided in this
paragraph.

 

(e) Any Lender may, without the consent of the Parent Borrower,
any Subsidiary Term Borrower or any Foreign Subsidiary Borrower, the
Administrative Agent, the Issuing Bank or the Swingline Lender, sell
participations to one or more banks or other entities (a “Participant”)
in all or a portion of such Lender’s rights and obligations under this
Agreement (including all or a portion of its Commitment and the Loans and its
Deposit owing to it); provided that (i) such Lender’s obligations
under this Agreement shall remain unchanged, (ii) such Lender shall remain
solely responsible to the other parties hereto for the performance of such
obligations and (iii) Holdings, the Parent Borrower, the Subsidiary Term
Borrowers, the Foreign Subsidiary Borrowers, the Administrative Agent, the
Issuing Bank and the other Lenders shall continue to deal solely and directly
with such Lender in connection with such Lender’s rights and obligations under
this Agreement.  Any agreement or
instrument pursuant to which a Lender sells such a participation shall provide
that such Lender shall retain the sole right to enforce the Loan Documents and to
approve any amendment, modification or waiver of any provision of the Loan
Documents; provided that such agreement or instrument may provide that
such Lender will not, without the consent of the Participant, agree to any
amendment, modification or waiver described in the first proviso to Section 10.02(b) that
affects such Participant.  Subject to
paragraph (f) of this Section, the Parent Borrower, the Subsidiary Term
Borrowers and the Foreign Subsidiary Borrowers agree that each Participant
shall be entitled to the benefits of Sections 2.15, 2.16 and 2.17 to the same
extent as if it were a Lender and had acquired its interest by assignment
pursuant to paragraph (b) of this Section.  To the extent permitted by law, each
Participant also shall be entitled to the benefits of Section 10.08 as
though it were a Lender, provided such Participant agrees to be subject to Section 2.18(c) as
though it were a Lender.

 

(f) A Participant shall not be entitled to receive any greater
payment under Section 2.15 or 2.17 than the applicable Lender would have
been entitled to receive with respect to the participation sold to such
Participant, unless the sale of the participation to such Participant is made
with the prior written consent of the Parent Borrower and, to the extent
applicable, each relevant Subsidiary Term Borrower and Foreign Subsidiary
Borrower.  A Participant that would be a
Foreign Lender if it were a Lender shall not be entitled to the benefits of Section 2.17
unless the Parent Borrower and, to the extent applicable, each relevant Foreign
Subsidiary Borrower is notified of the participation sold to such Participant
and such Participant agrees, for the benefit of the Parent Borrower and, to the
extent applicable, each relevant Foreign Subsidiary Borrower, to comply with Section 2.17(e) as
though it were a Lender.

 

(g) Any Lender may, without the consent of the Parent Borrower or
the Administrative Agent, at any time pledge or assign a security interest in
all or any portion of its rights under this Agreement to secure obligations of
such Lender, including any pledge or assignment to secure obligations to a
Federal Reserve Bank, and this Section shall not apply to any such pledge
or assignment of a security interest; provided that no such pledge or
assignment of a security interest shall release a Lender from any of its 

 

138

 

obligations
hereunder or substitute any such pledgee or assignee for such Lender as a party
hereto.

 

SECTION 10.05.  Survival.  All covenants, agreements, representations
and warranties made by the Loan Parties in the Loan Documents and in the
certificates or other instruments delivered in connection with or pursuant to
this Agreement or any other Loan Document shall be considered to have been relied
upon by the other parties hereto and shall survive the execution and delivery
of the Loan Documents and the making of any Loans and issuance of any Letters
of Credit, regardless of any investigation made by any such other party or on
its behalf and notwithstanding that the Administrative Agent, the Issuing Bank
or any Lender may have had notice or knowledge of any Default or incorrect
representation or warranty at the time any credit is extended hereunder, and
shall continue in full force and effect as long as the principal of or any
accrued interest on any Loan or any fee or any other amount payable under this
Agreement is outstanding and unpaid or any Letter of Credit is outstanding and
so long as the Commitments have not expired or terminated.  The provisions of Sections 2.15, 2.16, 2.17
and 10.03 and Article VIII shall survive and remain in full force and
effect regardless of the consummation of the transactions contemplated hereby,
the repayment of the Loans, the expiration or termination of the Letters of
Credit and the Commitments or the termination of this Agreement or any
provision hereof.

 

SECTION 10.06.  Counterparts;
Integration; Effectiveness.  This
Agreement may be executed in counterparts (and by different parties hereto on
different counterparts), each of which shall constitute an original, but all of
which when taken together shall constitute a single contract.  This Agreement, the other Loan Documents and
any separate letter agreements with respect to fees payable to the
Administrative Agent constitute the entire contract among the parties relating
to the subject matter hereof and supersede any and all previous agreements and
understandings, oral or written, relating to the subject matter hereof.  This Agreement shall become effective as provided
in the Amendment and Restatement Agreement, and thereafter shall be binding
upon and inure to the benefit of the parties hereto and their respective
successors and assigns.

 

SECTION 10.07.  Severability.  Any provision of this Agreement held to be invalid,
illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such invalidity, illegality or unenforceability
without affecting the validity, legality and enforceability of the remaining
provisions hereof; and the invalidity of a particular provision in a particular
jurisdiction shall not invalidate such provision in any other jurisdiction.

 

SECTION 10.08.  Right of
Setoff.  If an Event of Default shall
have occurred and be continuing, each Lender and each of its Affiliates is
hereby authorized at any time and from time to time, to the fullest extent
permitted by law, to set off and apply any and all deposits (general or
special, time or demand, provisional or final) at any time held and other
obligations at any time owing by such Lender or Affiliate to or for the credit
or the account of the Parent Borrower, any Subsidiary Term Borrower or any
Foreign Subsidiary Borrower against any of and all the obligations of the
Parent 

 

139

 

Borrower, any
Subsidiary Term Borrower or any Foreign Subsidiary Borrower now or hereafter
existing under this Agreement held by such Lender, irrespective of whether or
not such Lender shall have made any demand under this Agreement and although
such obligations may be unmatured.  The
rights of each Lender under this Section are in addition to other rights
and remedies (including other rights of setoff) which such Lender may have.

 

SECTION 10.09.  Governing
Law; Jurisdiction; Consent to Service of Process.  (a) This Agreement shall be construed in
accordance with and governed by the law of the State of New York.

 

(b) Each of Holdings, the Parent Borrower, each Subsidiary Term
Borrower and each Foreign Subsidiary Borrower hereby irrevocably and
unconditionally submits, for itself and its property, to the nonexclusive
jurisdiction of the Supreme Court of the State of New York sitting in
New York County and of the United States District Court of the
Southern District of New York, and any appellate court from any thereof,
in any action or proceeding arising out of or relating to any Loan Document, or
for recognition or enforcement of any judgment, and each of the parties hereto
hereby irrevocably and unconditionally agrees that all claims in respect of any
such action or proceeding may be heard and determined in such New York
State or, to the extent permitted by law, in such Federal court.  Each of the parties hereto agrees that a
final judgment in any such action or proceeding shall be conclusive and may be
enforced in other jurisdictions by suit on the judgment or in any other manner
provided by law.  Nothing in this
Agreement or any other Loan Document shall affect any right that the
Administrative Agent, the Issuing Bank or any Lender may otherwise have to
bring any action or proceeding relating to this Agreement or any other Loan
Document against Holdings, the Parent Borrower, any of the Subsidiary Term
Borrowers, any of the Foreign Subsidiary Borrowers or their properties in the
courts of any jurisdiction.

 

(c) Each of Holdings, the Parent Borrower, each  Subsidiary Term Borrower and each Foreign
Subsidiary Borrower hereby irrevocably and unconditionally waives, to the
fullest extent it may legally and effectively do so, any objection which it may
now or hereafter have to the laying of venue of any suit, action or proceeding
arising out of or relating to this Agreement or any other Loan Document in any
court referred to in paragraph (b) of this Section.  Each of the parties hereto hereby irrevocably
waives, to the fullest extent permitted by law, the defense of an inconvenient
forum to the maintenance of such action or proceeding in any such court.

 

(d) Each party to this Agreement irrevocably consents to service
of process in the manner provided for notices in Section 10.01.  Nothing in this Agreement or any other Loan
Document will affect the right of any party to this Agreement to serve process
in any other manner permitted by law.

 

SECTION 10.10.  WAIVER OF
JURY TRIAL.  EACH PARTY HERETO HEREBY
WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE
TO A TRIAL BY JURY IN  ANY 

 

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LEGAL
PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT,
ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED
ON CONTRACT, TORT OR ANY OTHER THEORY). 
EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR
ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH
OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE
FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO
HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE
MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

 

SECTION 10.11.  Headings.  Article and Section headings and
the Table of Contents used herein are for convenience of reference only, are
not part of this Agreement and shall not affect the construction of, or be
taken into consideration in interpreting, this Agreement.

 

SECTION 10.12.  Confidentiality.  Each of the 
Administrative Agent, the Issuing Bank and the Lenders agrees to
maintain the confidentiality of the Information (as defined below), except that
Information may be disclosed (a) to its and its Lender Affiliates’
directors, officers, employees and agents, including accountants, legal counsel
and other advisors (it being understood that the Persons to whom such
disclosure is made will be informed of the confidential nature of such
Information and instructed to keep such Information confidential pursuant to
the terms hereof), (b) to the extent requested by any regulatory or
quasi-regulatory authority, (c) to the extent required by applicable laws
or regulations or by any subpoena or similar legal process, (d) to any
other party to this Agreement, (e) in connection with the exercise of any
remedies hereunder or any suit, action or proceeding relating to this Agreement
or any other Loan Document or the enforcement of rights hereunder or
thereunder, (f) subject to an agreement containing provisions
substantially the same as those of this Section, to (i) any assignee of or
Participant in, or any prospective assignee of or Participant in, any of its
rights or obligations under this Agreement or (ii) any actual or
prospective counterparty (or its advisors) to any swap or derivative
transaction relating to the Parent Borrower, any Subsidiary Term Borrower, any
Foreign Subsidiary Borrower and their respective obligations, (g) with the
consent of the Parent Borrower or (h) to the extent such Information (i) is
publicly available at the time of disclosure or becomes publicly available
other than as a result of a breach of this Section or (ii) becomes
available to the Administrative Agent, the Issuing Bank or any Lender on a
nonconfidential basis from a source other than Holdings, the Parent Borrower or
any Subsidiary (including the Receivables Subsidiary).  For the purposes of this Section, “Information”
means all information received from Holdings, the Parent Borrower or any
Subsidiary  (including the Receivables
Subsidiary) relating to Holdings, the Parent Borrower or any Subsidiary
(including the Receivables Subsidiary) or its business, other than any such
information that is available to the Administrative Agent, the Issuing Bank or
any Lender on a nonconfidential basis prior to disclosure by Holdings, the
Parent Borrower or any Subsidiary (including the Receivables Subsidiary); provided
that, in the case of 

 

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information
received from Holdings, the Parent Borrower or any Subsidiary (including the
Receivables Subsidiary) after the First Restatement Effective Date, such
information is clearly identified at the time of delivery as confidential.  Any Person required to maintain the
confidentiality of Information as provided in this Section shall be
considered to have complied with its obligation to do so if such Person has
exercised the same degree of care to maintain the confidentiality of such
Information as such Person would accord to its own confidential information.

 

SECTION 10.13.  Interest
Rate Limitation.  Notwithstanding
anything herein to the contrary, if at any time the interest rate applicable to
any Loan, together with all fees, charges and other amounts which are treated
as interest on such Loan under applicable law (collectively the “Charges”),
shall exceed the maximum lawful rate (the “Maximum Rate”) which may be
contracted for, charged, taken, received or reserved by the Lender holding such
Loan in accordance with applicable law, the rate of interest payable in respect
of such Loan hereunder, together with all Charges payable in respect thereof,
shall be limited to the Maximum Rate and, to the extent lawful, the interest
and Charges that would have been payable in respect of such Loan but were not
payable as a result of the operation of this Section shall be cumulated
and the interest and Charges payable to such Lender in respect of other Loans
or periods shall be increased (but not above the Maximum Rate therefor) until
such cumulated amount, together with interest thereon at the Federal Funds
Effective Rate to the date of repayment, shall have been received by such
Lender.

 

SECTION 10.14.  Judgment
Currency.  (a) The obligations
hereunder of the Parent Borrower, the Subsidiary Term Borrowers and the Foreign
Subsidiary Borrowers and under the other Loan Documents to make payments in
dollars or in the Foreign Currencies, as the case may be, (the “Obligation
Currency”) shall not be discharged or satisfied by any tender or recovery
pursuant to any judgment expressed in or converted into any currency other than
the Obligation Currency, except to the extent that such tender or recovery
results in the effective receipt by the Administrative Agent, the Collateral
Agent or a Lender of the full amount of the Obligation Currency expressed to be
payable to the Administrative Agent, Collateral Agent or Lender under this
Agreement or the other Loan Documents. 
If, for the purpose of obtaining or enforcing judgment against the
Parent Borrower, any Subsidiary Term Borrower, any Foreign Subsidiary Borrower
or any other Loan Party in any court or in any jurisdiction, it becomes
necessary to convert into or from any currency other than the Obligation
Currency (such other currency being hereinafter referred to as the “Judgment
Currency”) an amount due in the Obligation Currency, the conversion shall
be made, at the Dollar Equivalent of such amount, in each case, as of the date
immediately preceding the day on which the judgment is given (such Business Day
being hereinafter referred to as the “Judgment Currency Conversion Date”).

 

(b) If there is a change in the rate of exchange prevailing
between the Judgment Currency Conversion Date and the date of actual payment of
the amount due, the Parent Borrower, each Subsidiary Term Borrower and each
Foreign Subsidiary Borrower, as the case may be,  covenants and agrees to pay, or cause to be
paid, such 

 

142

 

additional
amounts, if any (but in any event not a lesser amount), as may be necessary to
ensure that the amount paid in the Judgment Currency, when converted at the
rate of exchange prevailing on the date of payment, will produce the amount of
the Obligation Currency which could have been purchased with the amount of
Judgment Currency stipulated in the judgment or judicial award at the rate of
exchange prevailing on the Judgment Currency Conversion Date.

 

(c) For purposes of determining the Dollar Equivalent, such
amounts shall include any premium and costs payable in connection with the
purchase of the Obligation Currency.

 

SECTION 10.15.  Obligations
Joint and Several.  (a) Each
Term Loan Borrower agrees that it shall, jointly with the other Term Loan
Borrowers and severally, be liable for all the Obligations in respect of the
Tranche B Term Loans (the “Term Loan Obligations”).  Each Term Loan Borrower further agrees that
the Term Loan Obligations of the other Term Loan Borrowers may be extended and
renewed, in whole or in part, without notice to or further assent from it, and
that it will remain bound upon its agreement hereunder notwithstanding any
extension or renewal of any Term Loan Obligation of the other Term Loan
Borrowers.

 

(b) Each Term Loan Borrower waives presentment to, demand of
payment from and protest to the other Term Loan Borrowers of any of the Term
Loan Obligations or the other Term Loan Borrowers of any Term Loan Obligations,
and also waives notice of acceptance of its obligations and notice of protest
for nonpayment.  The Term Loan
Obligations of a Term Loan Borrower hereunder shall not be affected by (i) the
failure of any Tranche B Lender or the Issuing Bank or the Administrative Agent
or the Collateral Agent to assert any claim or demand or to enforce any right
or remedy against the other Term Loan Borrowers under the provisions of this
Agreement or any of the other Loan Documents or otherwise; (ii) any
rescission, waiver, amendment or modification of any of the terms or provisions
of this Agreement, any of the other Loan Documents or any other agreement; or (iii) the
failure of any Tranche B Lender or the Issuing Bank to exercise any right or
remedy against any other Term Loan Borrower.

 

(c) Each Term Loan Borrower further agrees that its agreement
hereunder constitutes a promise of payment when due and not of collection, and
waives any right to require that any resort be had by any Tranche B Lender or
the Issuing Bank to any balance of any deposit account or credit on the books
of any Tranche B Lender or the Issuing Bank in favor of any other Term Loan
Borrower or any other person.

 

(d) The Term Loan Obligations of each Term Loan Borrower hereunder
shall not be subject to any reduction, limitation, impairment or termination
for any reason, including compromise, and shall not be subject to any defense
or setoff, counterclaim, recoupment or termination whatsoever by reason of the
invalidity, illegality or unenforceability of the Term Loan Obligations of the
other Term Loan Borrowers or otherwise. 
Without limiting the generality of the foregoing, the Term Loan
Obligations of each Term Loan Borrower hereunder shall not be discharged or
impaired or otherwise 

 

143

 

affected by
the failure of the Administrative Agent, the Collateral Agent or any Tranche B
Lender or the Issuing Bank to assert any claim or demand or to enforce any
remedy under this Agreement or under any other Loan Document or any other
agreement, by any waiver or modification in respect of any thereof, by any
default, failure or delay, willful or otherwise, in the performance of the Term
Loan Obligations of the other Term Loan Borrowers or by any other act or
omission which may or might in any manner or to any extent vary the risk of such
Term Loan Borrower or otherwise operate as a discharge of such Term Loan
Borrower as a matter of law or equity.

 

(e) Each Term Loan Borrower further agrees that its obligations
hereunder shall continue to be effective or be reinstated, as the case may be,
if at any time payment, or any part thereof, of principal of or interest on any
Term Loan Obligation of the other Term Loan Borrowers is rescinded or must
otherwise be restored by the Administrative Agent, the Collateral Agent or any
Tranche B Lender or the Issuing Bank upon the bankruptcy or reorganization of
any of the other Term Loan Borrowers or otherwise.

 

(f) In furtherance of the foregoing and not in limitation of any
other right which the Administrative Agent, the Collateral Agent or any Tranche
B Lender or the Issuing Bank may have at law or in equity against any Term Loan
Borrower by virtue hereof, upon the failure of a Term Loan Borrower to pay any
Term Loan Obligation when and as the same shall become due, whether at
maturity, by acceleration, after notice of prepayment or otherwise, each other
Term Loan Borrower hereby promises to and will, upon receipt of written demand
by the Administrative Agent, forthwith pay, or cause to be paid, in cash the
amount of such unpaid Term Loan Obligations, and thereupon each Tranche B
Lender shall, in a reasonable manner, assign the amount of the Term Loan
Obligations of the other Term Loan Borrowers owed to it and paid by such Term
Loan Borrower pursuant to this Section 10.15 to such Term Loan Borrower,
such assignment to be pro tanto
to the extent to which the Term Loan Obligations in question were discharged by
such Term Loan Borrower or make such disposition thereof as such Term Loan
Borrower shall direct (all without recourse to any Term Loan Lender and without
any representation or warranty by any Term Loan Lender).

 

(g) Notwithstanding any other provision herein, the Parent
Borrower shall be entitled, at any time and in its sole discretion, to
designate any Term Loan Borrower (including itself) to replace any other Term
Borrower as a borrower hereunder with respect to any outstanding Tranche B Term
Loans.

 

144

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