Document:

exv10w2

 

Exhibit 10.2

International Wire Group, Inc. Key Management Incentive Plan

Summary

Participants. Key Management of International Wire Group, Inc. (the “Company”) and its
subsidiaries as identified by the Board of Directors of the Company (the “Board”) (each, a
“Participant,” and together, the “Participants”).

Target. At the beginning of the year (the “Bonus Year”), the Board and/or Compensation
Committee sets a target EBITDA (earnings before interest, taxes, depreciation and amortization) for
the Company’s current fiscal year (or, in the absence of a specific determination, the Company’s
EBITDA in the Company’s budget approved by the Board). The Compensation Committee of the Board
(the “Compensation Committee”) and/or Board may also establish additional bonus considerations
(other than EBITDA) for the Chief Executive Officer (the “CEO”) and/or other Participants. Also at
the beginning of the year, the Compensation Committee and/or the
Board, based on the recommendations of the CEO (except with respect
to himself), sets a target bonus amount
for each Participant, which is a percentage of that Participant’s base salary. Specifically, a
chart is created for the year indicating a potential bonus for each Participant equal to a target
percentage of base salary for each Participant for a given percentage of EBITDA attained by the
Company in the Bonus Year (the “Bonus Look-up Chart”). The Bonus Look-up Chart is approved as a
guideline for bonuses that will be awarded, if any, to the Participants in the first quarter of the
year following the Bonus Year.

Bonus Determination. Following the Bonus Year, the Company’s CEO reviews the Company’s
actual EBITDA results for the Bonus Year (“Bonus Year EBITDA”) along with the Bonus Look-up Chart.
The CEO, in his sole discretion, taking into consideration the Bonus Year EBITDA, the Bonus Look-up
Chart, performance of each Participant and any other factors that the CEO, in his sole discretion,
deems appropriate, recommends for approval by the Compensation Committee and/or the Board the bonus
for each Participant (the “Bonus”), except for the Bonus of the CEO. As a result of the CEO’s
discretion in awarding the bonuses, the Bonus for each Participant may be more or less than is
indicated for a given Participant by the Bonus Look-up Chart. With respect to the Bonus for the
CEO, the Compensation Committee and/or Board, taking into consideration the Bonus Year EBITDA, the
Bonus Look-up Chart, the CEO’s performance and any other factors that the Compensation Committee
and/or Board, in their sole discretions, deems appropriate, determines the CEO’s Bonus. The final
determination of the Bonus for each Participant, if any, is in the sole discretion of the
Compensation Committee and/or the Board. The Compensation Committee and/or Board determines the
Bonus for the CEO and/or other Participants in relation to additional bonus considerations for
approval by the Compensation Committee and/or Board.exv10w3

 

Exhibit 10.3

TERMINATION OF INTERCREDITOR AGREEMENT

     THIS
TERMINATION OF INTERCREDITOR AGREEMENT (this “Amendment”), dated as of August
23, 2006, is by and between WACHOVIA CAPITAL FINANCE CORPORATION (CENTRAL), an Illinois corporation,
formerly known as Congress Financial Corporation (Central), in its capacity as agent pursuant to
the Working Capital Loan and Security Agreement (as hereinafter defined) for the lenders who are
party from time to time thereto (in such capacity, together with its successors and assigns in such
capacity, “Working Capital Agent”) and SILVER POINT FINANCE, LLC, a Delaware limited
liability company, in its capacity as collateral agent pursuant to the Term Loan Agreement (as
hereinafter defined) for the lenders who are party from time to time thereto (in such capacity,
together with its successors and assigns in such capacity, the “Term Loan Agent”).

WITNESSETH:

     WHEREAS, Working Capital Agent and Term Loan Agent have previously entered into and executed
the Intercreditor Agreement, dated as of October 20,2004 (as the same now exists, the
“Intercreditor Agreement”), as acknowledged by Omega Wire, Inc. (successor by merger with Camden
Wire Co., Inc., International Wire Rome Operations, Inc. and OWI Corporation) (“Omega”), IWG
Resources, LLC (“Resources”), Wire Technologies, Inc. (“Wire Technologies”, and together with IWG
High Performance Conductors, Inc. (“High Performance”),
Omega and Resources, each individually a
“Borrower” and collectively, “Borrowers”) and International Wire Group, Inc.
(“Parent”, and sometimes hereinafter referred to as “Guarantor”);

     WHEREAS, Borrowers intend to repay the Term Loan Debt and terminate the Term
Loan Documents;

     WHEREAS, Working Capital Lenders and Working Capital Agent and Term Loan Lenders and
Term Loan Agent desire to terminate the Intercreditor Agreement;

     NOW THEREFORE, in consideration of the mutual benefits accruing to the parties hereto and
other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged,
the parties hereto do hereby agree as follows:

 

 

     1. Definitions. All capitalized terms used herein which are not otherwise defined
herein shall have the meaning ascribed to such term as set forth in the Intercreditor Agreement.

     2. Termination of Intercreditor Agreement. Effective as of the Payoff Date (as defined
in that certain payoff letter among Borrowers, Guarantors and Term Loan Agent), Working
Capital Lenders and Working Capital Agent and Term Loan Lenders and Term Loan Agent
hereby agree that the Intercreditor Agreement shall be terminated and of no further force and
effect.

     3. Governing Law. The validity, construction and effect of this Amendment shall be
governed by the laws of the State of New York, but excluding any principles of conflicts of
law or other rules of law that would result in the application of the law of any jurisdiction
other than the laws of the State of New York.

     4. Binding Effect. This Amendment shall be binding upon and inure to the benefit of
each of the parties hereto and their respective successors and assigns.

     5. Counterparts. This Amendment may be executed in any number of counterparts, each
of which shall be an original with the same force and effect as if the signatures thereto and
hereto were upon the same instrument. Delivery of an executed counterpart of this Amendment by
telecopier or other method of electronic transmission shall have the same force and effect as
delivery of an original executed counterpart of this Amendment.

[REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

2

 

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

	 	 	 	 	 	 	 
	 	 	WORKING CAPITAL AGENT
	 
	 	 	 	 	 	 
	 	 	WACHOVIA CAPITAL FINANCE
	 	 	CORPORATION (CENTRAL), successor by
	 	 	merger to Congress Financial Corporation (Central)
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Barry Felker	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Name:
	 	Barry Felker	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Title:
	 	Associate	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	TERM LOAN AGENT
	 
	 	 	 	 	 	 
	 	 	SILVER POINT FINANCE, LLC
	 
	 	 	 	 	 	 
	 

	 	By:
	 	 
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Name:
	 	 
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Title:
	 	 
	 	 
	 

	 	 	 	 	 	 

 

 

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

	 	 	 	 	 	 	 
	 	 	WORKING CAPITAL AGENT
	 
	 	 	 	 	 	 
	 	 	WACHOVIA CAPITAL FINANCE
	 	 	CORPORATION (CENTRAL), successor by
	 	 	merger to Congress Financial Corporation (Central)
	 
	 	 	 	 	 	 
	 

	 	By:
	 	 
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Name:
	 	 
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Title:
	 	 
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	TERM LOAN AGENT
	 
	 	 	 	 	 	 
	 	 	SILVER POINT FINANCE, LLC
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Chris MacDonald	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Name:
	 	Chris MacDonald	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Title:
	 	Authorized Signatoryexv10w39

 

EXHIBIT
10.39

[letterhead of International Wire Group, Inc.]

March 26, 2007

William Lane Pennington

Suite 260

2431 East 61st Street

Tulsa, OK 74114

Dear Lane:

     We are writing to confirm that, by written consent of the Board of Directors International
Wire Group, Inc. dated December 29, 2006, your term as Vice Chairman has been extended through
December 31, 2007. Your cash compensation will remain $175,000 annually. Additionally, your
company-provided medical and other insurance benefits will continue and your stock options are
unaffected.

     If the foregoing is correct, please so indicate by signing this letter in the space provided
below.

[The remainder of this page has intentionally been left blank]

 

 

	 	 	 	 	 	 	 
	 	 	Very truly yours,	 	 
	 	 	INTERNATIONAL WIRE GROUP, INC.	 	 
	 

	 	By:
	 	/s/ Rodney D. Kent
 

	 	 
	 

	 	 	 	Name: Rodney D. Kent	 	 
	 

	 	 	 	Title: Chief Executive Officer	 	 

 

 

	 	 	 
	AGREED AND ACCEPTED
	 	 
	March 28, 2007:
	 	 
	 
	 	 
	WILLIAM LANE PENNINGTON
	 	 
	 
	 	 
	/s/ William Lane Penningtonexv10w1

 

AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT

dated as of April 27, 2007

among

NORTHERN BORDER PIPELINE COMPANY,

as Borrower

THE LENDERS FROM TIME TO TIME PARTY HERETO,

SUNTRUST BANK,

as Administrative Agent

and

WACHOVIA BANK, NATIONAL ASSOCIATION,

as Syndication Agent

BMO CAPITAL MARKETS,

CITIBANK, N.A.,

and

MIZUHO CORPORATE BANK, LTD.,

as Co-Documentation Agents

and

JPMORGAN CHASE BANK, N.A. 

and

EXPORT DEVELOPMENT CANADA, 

as Managing Agents

 

SUNTRUST CAPITAL MARKETS, INC.

and

WACHOVIA CAPITAL MARKETS, LLC,

as Co-Lead Arrangers and Book Managers

4503785

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	ARTICLE I DEFINITIONS; CONSTRUCTION
	 	 	1	 
	Section 1.1.
	 	Definitions	 	 	1	 
	Section 1.2.
	 	Classifications of Loans and Borrowings	 	 	20	 
	Section 1.3.
	 	Accounting Terms and Determination	 	 	20	 
	Section 1.4.
	 	Terms Generally	 	 	20	 
	 
	 	 	 	 	 	 
	ARTICLE II AMOUNT AND TERMS OF THE COMMITMENTS	 	 	21	 
	Section 2.1.
	 	General Description of Facilities	 	 	21	 
	Section 2.2.
	 	Revolving Loans	 	 	21	 
	Section 2.3.
	 	Procedure for Revolving Borrowings	 	 	21	 
	Section 2.4.
	 	Swingline Commitment	 	 	22	 
	Section 2.5.
	 	Funding of Borrowings	 	 	23	 
	Section 2.6.
	 	Interest Elections	 	 	24	 
	Section 2.7.
	 	Optional Reduction and Termination of Commitments	 	 	25	 
	Section 2.8.
	 	Repayment of Loans	 	 	25	 
	Section 2.9.
	 	Evidence of Indebtedness	 	 	26	 
	Section 2.10.
	 	Prepayments	 	 	26	 
	Section 2.11.
	 	Interest on Loans	 	 	27	 
	Section 2.12.
	 	Fees	 	 	28	 
	Section 2.13.
	 	Computation of Interest and Fees	 	 	29	 
	Section 2.14.
	 	Inability to Determine Interest Rates	 	 	29	 
	Section 2.15.
	 	Illegality	 	 	29	 
	Section 2.16.
	 	Increased Costs	 	 	30	 
	Section 2.17.
	 	Funding Indemnity	 	 	31	 
	Section 2.18.
	 	Taxes	 	 	31	 
	Section 2.19.
	 	Payments Generally; Pro Rata Treatment; Sharing of Set-offs	 	 	33	 
	Section 2.20.
	 	Letters of Credit	 	 	34	 
	Section 2.21.
	 	Increase of Commitments; Additional Lenders	 	 	38	 
	Section 2.22.
	 	Mitigation of Obligations	 	 	40	 
	Section 2.23.
	 	Extensions of Revolving Commitment Termination Date	 	 	40	 
	 
	 	 	 	 	 	 
	ARTICLE III CONDITIONS PRECEDENT TO LOANS AND LETTERS OF CREDIT	 	 	41	 
	Section 3.1.
	 	Conditions To Effectiveness	 	 	41	 
	Section 3.2.
	 	Each Credit Event	 	 	43	 
	Section 3.3.
	 	Delivery of Documents	 	 	43	 
	Section 3.4.
	 	Effect of Amendment and Restatement	 	 	43	 
	 
	 	 	 	 	 	 
	ARTICLE IV REPRESENTATIONS AND WARRANTIES	 	 	44	 
	Section 4.1.
	 	Existence; Power	 	 	45	 
	Section 4.2.
	 	Organizational Power; Authorization	 	 	45	 
	Section 4.3.
	 	Governmental Approvals; No Conflicts	 	 	45	 
	Section 4.4.
	 	Financial Statements	 	 	45	 
	Section 4.5.
	 	Litigation and Environmental Matters	 	 	45	 

 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	Section 4.6.
	 	Compliance with Laws and Agreements	 	 	46	 
	Section 4.7.
	 	Investment Company Act, Etc	 	 	46	 
	Section 4.8.
	 	Taxes	 	 	46	 
	Section 4.9.
	 	Margin Regulations	 	 	46	 
	Section 4.10.
	 	ERISA	 	 	46	 
	Section 4.11.
	 	Ownership of Property	 	 	47	 
	Section 4.12.
	 	Disclosure	 	 	47	 
	Section 4.13.
	 	Labor Relations	 	 	48	 
	Section 4.14.
	 	Subsidiaries	 	 	48	 
	Section 4.15.
	 	Insolvency	 	 	48	 
	Section 4.16.
	 	OFAC	 	 	48	 
	Section 4.17.
	 	Patriot Act	 	 	48	 
	 
	 	 	 	 	 	 
	ARTICLE V AFFIRMATIVE COVENANTS
	 	 	49	 
	Section 5.1.
	 	Financial Statements and Other Information	 	 	49	 
	Section 5.2.
	 	Notices of Material Events	 	 	49	 
	Section 5.3.
	 	Existence; Conduct of Business	 	 	50	 
	Section 5.4.
	 	Compliance with Laws, Etc	 	 	51	 
	Section 5.5.
	 	Payment of Obligations	 	 	51	 
	Section 5.6.
	 	Books and Records	 	 	51	 
	Section 5.7.
	 	Visitation, Inspection, Etc	 	 	51	 
	Section 5.8.
	 	Maintenance of Properties; Insurance	 	 	51	 
	Section 5.9.
	 	Use of Proceeds and Letters of Credit	 	 	51	 
	Section 5.10.
	 	Pari Passu Status	 	 	52	 
	Section 5.11.
	 	Maintenance of Tax Status	 	 	52	 
	Section 5.12.
	 	Maintenance of Tariff	 	 	52	 
	Section 5.13.
	 	Shipper Credit Quality	 	 	52	 
	Section 5.14.
	 	2002 Indenture	 	 	52	 
	 
	 	 	 	 	 	 
	ARTICLE VI FINANCIAL COVENANTS	 	 	52	 
	Section 6.1.
	 	Leverage Ratio	 	 	52	 
	 
	 	 	 	 	 	 
	ARTICLE VII NEGATIVE COVENANTS	 	 	53	 
	Section 7.1.
	 	Indebtedness	 	 	53	 
	Section 7.2.
	 	Negative Pledge	 	 	53	 
	Section 7.3.
	 	Fundamental Changes	 	 	54	 
	Section 7.4.
	 	Investments, Loans, Etc	 	 	55	 
	Section 7.5.
	 	Restricted Payments	 	 	55	 
	Section 7.7.
	 	Transactions with Affiliates	 	 	56	 
	Section 7.8.
	 	Restrictive Agreements	 	 	56	 
	Section 7.9.
	 	Government Regulations	 	 	56	 
	Section 7.10.
	 	Hedging Transactions	 	 	56	 
	Section 7.11.
	 	Accounting Changes	 	 	57	 
	Section 7.12.
	 	Restrictions on Agreements Governing Indebtedness	 	 	57	 
	Section 7.13.
	 	Certain Amendments to Cash Distribution Policies and Borrower	 	 	 	 
	 
	 	Partnership Agreement	 	 	57	 

ii 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page	 
	ARTICLE VIII EVENTS OF
DEFAULT	 	 	57	 
	Section 8.1. 
	 	Events of Default	 	 	57	 
	 
	 	 	 	 	 	 
	ARTICLE IX THE ADMINISTRATIVE
AGENT	 	 	60	 
	Section 9.1.
	 	Appointment of Administrative Agent	 	 	60	 
	Section 9.2.
	 	Nature of Duties of Administrative Agent	 	 	61	 
	Section 9.3.
	 	Lack of Reliance on the Administrative Agent	 	 	61	 
	Section 9.4.
	 	Certain Rights of the Administrative Agent	 	 	62	 
	Section 9.5.
	 	Reliance by Administrative Agent	 	 	62	 
	Section 9.6.
	 	The Administrative Agent in its Individual Capacity	 	 	62	 
	Section 9.7.
	 	Successor Administrative Agent	 	 	62	 
	Section 9.8.
	 	Authorization to Execute other Loan Documents	 	 	63	 
	Section 9.9.
	 	Syndication Agent, Co-Documentation
Agents and Managing Agents	 	 	63	 
	 
	 	 	 	 	 	 
	ARTICLE X MISCELLANEOUS	 	 	63	 
	Section 10.1.
	 	Notices	 	 	63	 
	Section 10.2.
	 	Waiver; Amendments	 	 	65	 
	Section 10.3.
	 	Expenses; Indemnification	 	 	66	 
	Section 10.4.
	 	Successors and Assigns	 	 	68	 
	Section 10.5.
	 	Governing Law; Jurisdiction; Consent to Service of Process	 	 	71	 
	Section 10.6.
	 	WAIVER OF JURY TRIAL	 	 	72	 
	Section 10.7.
	 	Right of Setoff	 	 	72	 
	Section 10.8.
	 	Counterparts; Integration	 	 	73	 
	Section 10.9.
	 	Survival	 	 	73	 
	Section 10.10.
	 	Severability	 	 	73	 
	Section 10.11.
	 	Confidentiality	 	 	73	 
	Section 10.12.
	 	Interest Rate Limitation	 	 	74	 
	Section 10.13.
	 	Waiver of Effect of Corporate Seal	 	 	74	 
	Section 10.15.
	 	No General Partner Liability	 	 	74	 
	Section 10.16.
	 	Location of Closing	 	 	75	 

	 	 	 	 	 
	Schedules
	 	 	 	 
	Schedule I
	 	—	 	Applicable Margin and Applicable Percentage
	Schedule II
	 	 	 	Commitment Amounts
	Schedule 4.5
	 	—	 	Environmental Matters
	Schedule 4.14
	 	—	 	Subsidiaries
	Schedule 7.2
	 	—	 	Existing Liens
	Schedule 7.4
	 	—	 	Existing Investments
	Schedule 7.7
	 	—	 	Transactions with Affiliates
	 
	 	 	 	 
	Exhibits
	 	 	 	 
	Exhibit A
	 	—	 	Form of Amended and Restated Revolving Credit Note
	Exhibit B
	 	—	 	Form of Amended and Restated Swingline Note
	Exhibit C
	 	—	 	Form of Assignment and Acceptance
	Exhibit 2.3
	 	—	 	Form of Notice of Revolving Borrowing

iii 

 

	 	 	 	 	 
	Exhibit 2.4
	 	—	 	Form of Notice of Swingline Borrowing
	Exhibit 2.6
	 	—	 	Form of Notice of Continuation/Conversion
	Exhibit 3.1(b)(iv)
	 	—	 	Form of Secretary’s Certificate
	Exhibit 3.1(b)(vi)
	 	—	 	Form of Officer’s Certificate
	Exhibit 5.1(c)
	 	—	 	Form of Compliance Certificate

iv 

 

AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT

          THIS AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT (this “Agreement”) is made and
entered into as of April 27, 2007, by and among NORTHERN BORDER PIPELINE COMPANY, a Texas general
partnership (the “Borrower”), the several banks and other financial institutions and
lenders from time to time party hereto (the “Lenders”), SUNTRUST BANK, in its capacity as
administrative agent for the Lenders (the “Administrative Agent”), as issuing bank (the
“Issuing Bank”) and as swingline lender (the “Swingline Lender”), WACHOVIA BANK,
NATIONAL ASSOCIATION, as syndication agent (the “Syndication Agent”) and BMO CAPITAL
MARKETS, CITIBANK, N.A., and MIZUHO CORPORATE BANK, LTD., as Co-Documentation
Agents.

W I T N E S S E T H:

          WHEREAS, the Borrower, certain of the Lenders and Wachovia Bank, National Association as
administrative agent and issuing bank are parties to that certain Credit Agreement, dated as of May
16, 2005 (as amended, restated, supplemented or otherwise modified, the “Existing Credit
Agreement”), pursuant to which the Lenders established a $175,000,000 revolving credit facility
in favor of the Borrower;

          WHEREAS, the Borrower has requested that the Lenders amend and restate the Existing Credit
Agreement to (a) increase the revolving credit facility to $250,000,000 and (b) modify the Existing
Credit Agreement in certain other respects; and subject to the terms and conditions of this
Agreement, the Lenders, the Issuing bank and the Swingline Lender, to the extent of their
respective Commitments as defined herein, are willing to do so;

          NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained,
the Borrower, the Lenders, the Administrative Agent, the Issuing Bank and the Swingline Lender
agree that the Existing Credit Agreement is hereby amended and restated as follows:

ARTICLE I

DEFINITIONS; CONSTRUCTION

          Section 1.1. Definitions. In addition to the other terms defined herein, the
following terms used herein shall have the meanings herein specified (to be equally applicable to
both the singular and plural forms of the terms defined):

          “Additional Lender” shall have the meaning given to such term in Section 2.21.

          “Adjusted LIBO Rate” shall mean, with respect to each Interest Period for a Eurodollar
Borrowing, the rate per annum obtained by dividing (i) LIBOR for such Interest Period by (ii) a
percentage equal to 1.00 minus the Eurodollar Reserve
Percentage.

          “Administrative Agent” shall have the meaning assigned to such term in the opening
paragraph hereof.

 

 

          “Administrative Questionnaire” shall mean, with respect to each Lender, an
administrative questionnaire in the form prepared by the Administrative Agent and submitted to the
Administrative Agent duly completed by such Lender.

          “Affiliate” shall mean, as to any Person, any other Person that directly, or
indirectly through one or more intermediaries, Controls, is Controlled by, or is under common
Control with, such Person. For the purposes of this definition, “Control” shall mean the power,
directly or indirectly, to direct or cause the direction of the management and policies of a
Person, whether through the ability to exercise voting power, by control or otherwise. The terms
“Controlling”, “Controlled by”, and “under common Control with” have the meanings correlative
thereto.

          “Aggregate Revolving Commitment Amount” shall mean the aggregate principal amount of
the Aggregate Revolving Commitments from time to time. On the Closing Date, the Aggregate
Revolving Commitment Amount equals $250,000,000.

          “Aggregate Revolving Commitments” shall mean, collectively, all Revolving Commitments
of all Lenders at any time outstanding.

          “Applicable Lending Office” shall mean, for each Lender and for each Type of Loan, the
“Lending Office” of such Lender (or an Affiliate of such Lender) designated for such Type of Loan
in the Administrative Questionnaire submitted by such Lender or such other office of such Lender
(or an Affiliate of such Lender) as such Lender may from time to time specify to the Administrative
Agent and the Borrower as the office by which its Loans of such Type are to be made and maintained.

          “Applicable Margin” shall mean, as of any date, with respect to all Revolving Loans
outstanding on any date or the letter of credit fee, the percentage per annum determined by
reference to the applicable Rating Category from time to time in effect as set forth on
Schedule I, plus the utilization percentage as set forth on Schedule I, at any time that
more than 50% of the Revolving Commitment is outstanding; provided, that a change in the
Applicable Margin resulting from a change in the Rating Category shall be effective on the day on
which either rating agency changes its rating and shall continue until the day prior to the day
that a further change becomes effective. The Applicable Margin as of the Closing Date, shall be at
Level II as set forth on Schedule I.

          “Applicable Percentage” shall mean, as of any date, with respect to the facility fee
as of any date, the percentage per annum determined by reference to the applicable Rating Category
as set forth on Schedule I; provided, that a change in the Applicable Percentage
resulting from a change in the Rating Category shall be effective on the day on which either rating
agency changes its rating and shall continue until the day prior to the day that a further change
becomes effective. Notwithstanding the foregoing, the Applicable Percentage for the facility fee
as of the Closing Date shall be at Level II as set forth on Schedule I.

          “Approved Fund” shall mean any Person (other than a natural Person) that is (or will
be) engaged in making, purchasing, holding or otherwise investing in commercial loans and similar
extensions of credit in the ordinary course of its business and that is administered or

2

 

managed by
(i) a Lender, (ii) an Affiliate of a Lender or (iii) an entity or an Affiliate of an entity that
administers or manages a Lender.

          “Assignment and Acceptance” shall mean an assignment and acceptance entered into by a
Lender and an assignee (with the consent of any party whose consent is required by Section
10.4(b)) and accepted by the Administrative Agent, in the form of Exhibit C attached
hereto or any other form approved by the Administrative Agent.

          “Availability Period” shall mean the period from the Closing Date to the Revolving
Commitment Termination Date.

          “Base Rate” shall mean the higher of (i) the per annum rate which the Administrative
Agent publicly announces from time to time to be its prime lending rate, as in effect from time to
time, and (ii) the Federal Funds Rate, as in effect from time to time, plus one-half of one percent
(0.50%). The Administrative Agent’s prime lending rate is a reference rate and does not
necessarily represent the lowest or best rate charged to customers. The Administrative Agent may
make commercial loans or other loans at rates of interest at, above or below the Administrative
Agent’s prime lending rate. Each change in the Administrative Agent’s prime lending rate shall be
effective from and including the date such change is publicly announced as being effective.

          “Borrower” shall have the meaning assigned to such term in the opening paragraph
hereof.

          “Borrower Partnership Agreement” means the First Amended and Restated General
Partnership Agreement relating to the formation of Borrower, dated as of April 6, 2006 as amended,
supplemented, restated or otherwise modified from time to time.

          “Borrowing” shall mean a borrowing consisting of (i) Loans of the same Class and Type,
made, converted or continued on the same date and in the case of Eurodollar Loans, as to which a
single Interest Period is in effect, or (ii) a Swingline Loan.

          “Business Day” shall mean (i) any day other than a Saturday, Sunday or other day on
which commercial banks in Atlanta, Georgia and New York, New York are authorized or required by law
to close and (ii) if such day relates to a Borrowing of, a payment or prepayment of principal or
interest on, a conversion of or into, or an Interest Period for, a Eurodollar Loan or a notice with
respect to any of the foregoing, any day on which dealings in Dollars are carried on in the London
interbank market.

          “Capital Lease Obligations” of any Person shall mean all obligations of such Person to
pay rent or other amounts under any lease (or other arrangement conveying the right to use) of 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.

          “Capital Stock” shall mean any non-redeemable capital stock (or in the case of a
partnership or limited liability company, the partners’ or members’ equivalent equity interest) of

3

 

the Borrower or any of its Subsidiaries (to the extent issued to a Person other than the Borrower),
whether common or preferred.

          “Change in Control” shall mean (x) the failure of TransCanada Corporation or ONEOK,
Inc. , directly or indirectly through one or more of its respective Subsidiaries, to act as the
Operator or (y) the failure of (i) ONEOK Partners, directly or indirectly through one or more of
its Subsidiaries, and/or (ii) TC PipeLines, LP, directly or indirectly through one or more of its
Subsidiaries, to own at least 50% of the partnership interest of the Borrower, in the aggregate.

          “Change in Law” shall mean (i) the adoption of any applicable law, rule or
regulation after the date of this Agreement, (ii) any change in any applicable law, rule or
regulation, or any change in the interpretation or application thereof, by any Governmental
Authority after the date of this Agreement, or (iii) compliance by any Lender (or its Applicable
Lending Office) or the Issuing Bank (or for purposes of Section 2.16(b), by such Lender’s
or the Issuing Bank’s parent corporation, if applicable) with any request, guideline or directive
(whether or not having the force of law) of any Governmental Authority made or issued after the
date of this Agreement.

          “Class”, when used in reference to any Loan or Borrowing, refers to whether such Loan,
or the Loans comprising such Borrowing, are Revolving Loans or Swingline Loans and when used in
reference to any Commitment, refers to whether such Commitment is a Revolving Commitment or a
Swingline Commitment.

          “Closing Date” shall mean the date on which the conditions precedent set forth in
Section 3.1 and Section 3.2 have been satisfied or waived in accordance with
Section 10.2.

          “Code” shall mean the Internal Revenue Code of 1986, as amended and in effect from
time to time.

          “Commercial Operation Date” shall mean the date on which a Material Project is
substantially complete and commercially operable.

          “Commitment” shall mean a Revolving Commitment or a Swingline Commitment or any
combination thereof (as the context shall permit or require).

          “Compliance Certificate” shall mean a certificate from the principal executive
officer, the principal financial officer or the treasurer of the Operator in the form of, and
containing the certifications set forth in, the certificate attached hereto as Exhibit
5.1(c).

          “Consolidated EBITDA” shall mean, for the Borrower and its Subsidiaries for any
period, an amount equal to the sum of (i) Consolidated Net Income for such period plus (ii) to the
extent deducted in determining Consolidated Net Income for such period, (A) Consolidated Interest
Expense, (B) income tax expense determined on a consolidated basis in accordance with GAAP, (C)
depreciation and amortization determined on a consolidated basis in accordance with GAAP, and (D)
all other non-cash charges, determined in each case on a consolidated basis in accordance with GAAP
for such period.

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          “Consolidated Interest Expense” shall mean, for the Borrower and its Subsidiaries for
any period determined on a consolidated basis in accordance with GAAP, the sum of (i) total
interest expense, including without limitation the interest component of any payments in respect of
Capital Lease Obligations capitalized or expensed during such period (whether or not actually paid
during such period) plus (ii) the net amount payable (or minus the net amount receivable) under any
Hedging Transaction (relating to interest rates only) during such period (whether or not actually
paid or received during such period).

          “Consolidated Net Income” shall mean, for the Borrower and its Subsidiaries for any
period, the net income (or loss) of the Borrower and its Subsidiaries for such period determined on
a consolidated basis in accordance with GAAP, including without limitation any income (or loss) of
any Person accrued prior to the date it becomes a Subsidiary or is merged into or consolidated with
the Borrower or any of its Subsidiaries on the date that such Person’s assets are acquired by the
Borrower or any of its Subsidiaries, but excluding therefrom (to the extent otherwise included
therein) (i) any extraordinary gains or losses, (ii) any gains attributable to write-ups of assets,
and (iii) any equity interest of the Borrower or any Subsidiary of the Borrower in the unremitted
earnings of any Person that is not a Subsidiary.

          “Consolidated Total Debt” shall mean, as of any date, all Indebtedness of the Borrower
and its Subsidiaries measured on a consolidated basis as of such date, but excluding Indebtedness
of the type described in subsection (xi) of the definition thereto.

          “Contractual Obligation” of any Person shall mean any provision of any security issued
by such Person or of any agreement, instrument or undertaking under which such Person is obligated
or by which it or any of the property in which it has an interest is bound.

          “Default” shall mean any condition or event that, with the giving of notice or the
lapse of time or both, would constitute an Event of Default.

          “Default Interest” shall have the meaning set forth in Section 2.11(c).

          “Dollar(s)” and the sign “$” shall mean lawful money of the United States of America.

          “Eligible Assignee” shall mean (i) a Lender; (ii) an Affiliate of a Lender; (iii) an
Approved Fund; and (iv) any other Person (other than a natural Person) approved by the
Administrative Agent, the Issuing Bank, and unless an Event of Default has occurred and is
continuing, the Borrower (each such approval not to be unreasonably withheld or delayed). If the
consent of the Borrower to an assignment or to an Eligible Assignee is required hereunder
(including a consent to an assignment which does not meet the minimum assignment thresholds
specified in paragraph (b) of Section 10.4), the Borrower shall be deemed to have given its
consent five Business Days after the date notice thereof has actually been delivered by the
assigning Lender (through the Administrative Agent) to the Borrower, unless such consent is
expressly refused by the Borrower prior to such fifth Business Day.

          “Environmental Laws” shall mean all laws, rules, regulations, codes, ordinances,
orders, decrees, judgments, injunctions, notices or binding agreements issued, promulgated or
entered into by or with any Governmental Authority, relating in any way to the environment,

5

 

preservation or reclamation of natural resources, the management, Release or threatened
Release of any Hazardous Material or to health and safety matters.

          “Environmental Liability” shall mean any liability, contingent or otherwise (including
any liability for damages, costs of environmental investigation and remediation, costs of
administrative oversight, fines, natural resource damages, penalties or indemnities), of the
Borrower or any Subsidiary directly or indirectly resulting from or based upon (i) any actual or
alleged violation of any Environmental Law, (ii) the generation, use, handling, transportation,
storage, treatment or disposal of any Hazardous Materials, (iii) any actual or alleged exposure to
any Hazardous Materials, (iv) the Release or threatened Release of any Hazardous Materials or (v)
any contract, agreement or other consensual arrangement pursuant to which liability is assumed or
imposed with respect to any of the foregoing.

          “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended
from time to time, and any successor statute.

          “ERISA Affiliate” shall mean each “person” (as defined in Section 3(a) of ERISA)
(whether or not incorporated) which is, or has been within the past five years, a member of the
Borrower’s controlled group (within the meaning of PBGC regulation §4001.2).

          “ERISA Event” shall mean (i) 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); (ii) 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; (iii) 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; (iv) the
incurrence by the Borrower or any of its ERISA Affiliates of any liability under Title IV of ERISA
with respect to the termination of any Plan; (v) the receipt by the Borrower or any ERISA Affiliate
from the PBGC or a plan administrator appointed by the PBGC of any notice relating to an intention
to terminate any Plan or Plans or to appoint a trustee to administer any Plan; (vi) the incurrence
by the 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 (vii) the receipt by the Borrower or any
ERISA Affiliate of any notice, or the receipt by any Multiemployer Plan from the 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.

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

          “Eurodollar Reserve Percentage” shall mean the aggregate of the maximum reserve
percentages (including, without limitation, any emergency, supplemental, special or other marginal
reserves) expressed as a decimal (rounded upwards to the next 1/100th of 1%) in effect
on any day to which the Administrative Agent is subject with respect to the Adjusted LIBO Rate
pursuant to regulations issued by the Board of Governors of the Federal Reserve System (or any
Governmental Authority succeeding to any of its principal functions) with respect to

6

 

eurocurrency funding (currently referred to as “eurocurrency liabilities” under Regulation D).
Eurodollar 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 Lender under Regulation D. The Eurodollar Reserve Percentage
shall be adjusted automatically on and as of the effective date of any change in any reserve
percentage.

          “Event of Default” shall have the meaning provided in Article VIII.

          “Excluded Taxes” shall mean 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 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 in which any Lender is located and (c)
in the case of a Foreign Lender, any withholding tax that (i) is imposed on amounts payable to such
Foreign Lender at the time such Foreign Lender becomes a party to this Agreement, (ii) is imposed
on amounts payable to such Foreign Lender at any time that such Foreign Lender designates a new
lending office, other than taxes that have accrued prior to the designation of such lending office
that are otherwise not Excluded Taxes, and (iii) is attributable to such Foreign Lender’s failure
to comply with Section 2.18(e).

          “Executive Summary” shall mean the Executive Summary dated April 1007 relating to the
Borrower and the transactions contemplated by this Agreement and the other Loan Documents.

          “Existing Credit Agreement” shall have the meaning set forth in the recitals hereto.

          “Existing Lenders” shall mean the lenders party to the Existing Credit Agreement as of
the date hereof.

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

          “Fee Letter” shall mean that certain fee letter, dated as of April 6, 2007, executed
by SunTrust Capital Markets, Inc. and SunTrust Bank and accepted by Borrower.

          “FERC” shall mean the Federal Energy Regulatory Commission and any successor agency or
commission.

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          “Fiscal Quarter” shall mean any fiscal quarter of the Borrower.

          “Fiscal Year” shall mean any fiscal year of the Borrower.

          “Foreign Lender” shall mean any Lender that is not a United States person under
Section 7701(a)(3) of the Code.

          “Foreign Subsidiary” shall mean any Subsidiary that is organized under the laws of a
jurisdiction other than one of the fifty states of the United States or the District of Columbia.

          “GAAP” shall mean generally accepted accounting principles in the United States
applied on a consistent basis and subject to the terms of Section 1.3.

          “Governmental Authority” shall mean the government of the United States of America,
any other nation or any political subdivision thereof, whether state or local, and 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”) shall mean 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, direct or
indirect, of the guarantor (i) 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, (ii) 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, (iii) 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 (iv) as an account party in respect of any
letter of credit or letter of guaranty issued in support of such Indebtedness or obligation;
provided, that the term “Guarantee” shall not include endorsements for collection or
deposits in the ordinary course of business. The amount of any Guarantee shall be deemed to be an
amount equal to the stated or determinable amount of the primary obligation in respect of which
Guarantee is made or, if not so stated or determinable, the maximum reasonably anticipated
liability in respect thereof (assuming such Person is required to perform thereunder) as determined
by such Person in good faith. The term “Guarantee” used as a verb has a corresponding meaning.

          “Hazardous Materials” shall mean all explosive or radioactive substances or wastes and
all hazardous or toxic substances, wastes or other pollutants, including petroleum or any fraction
or by-product thereof, 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.

          “Hedging Obligations” of any Person shall mean any and all obligations of such Person,
whether absolute or contingent and howsoever and whensoever created, arising, evidenced or acquired
under (i) any and all Hedging Transactions, (ii) any and all cancellations, buy backs, reversals,
terminations or assignments of any Hedging Transactions and (iii) any and

8

 

all renewals, extensions and modifications of any Hedging Transactions and any and all
substitutions for any Hedging Transactions.

          “Hedging Transaction” of any Person shall mean any transaction (including an agreement
with respect thereto) now existing or hereafter entered into by such Person that is a rate swap,
basis swap, forward rate transaction, commodity swap, interest rate option, foreign exchange
transaction, cap transaction, floor transaction, collateral transaction, forward transaction,
currency swap transaction, cross-currency rate swap transaction, currency option or any other
similar transaction (including any option with respect to any of these transactions) or any
combination thereof, whether linked to one or more interest rates, foreign currencies, commodity
prices, equity prices or other financial measures.

          “ Hybrid Securities” shall mean any trust preferred securities, or deferrable
interest subordinated debt with a maturity of at least 20 years, which provides for the optional or
mandatory deferral of interest or distributions, issued by the Borrower, or any business trusts,
limited liability companies, limited partnerships or similar entities (i) substantially all of the
common equity, general partner or similar interests of which are owned (either directly or
indirectly through one or more wholly owned Subsidiaries) at all times by the Borrower or any of
its Subsidiaries, (ii) that have been formed for the purpose of issuing such trust preferred
securities or deferrable interest subordinated debt and (iii) substantially all the assets of which
consist of (A) subordinated debt of the Borrower or a Subsidiary of the Borrower and (B) payments
made from time to time on the subordinated debt.

          “Indebtedness” of any Person shall mean, without duplication (i) all obligations of
such Person for borrowed money, (ii) all obligations of such Person evidenced by bonds, debentures,
notes or other similar instruments, (iii) all obligations of such Person in respect of the deferred
purchase price of property or services (other than trade payables incurred in the ordinary course
of business on terms customary in the trade), (iv) all obligations of such Person under any
conditional sale or other title retention agreement(s) relating to property acquired by such
Person, (v) all Capital Lease Obligations of such Person, (vi) all obligations, contingent or
otherwise, of such Person in respect of letters of credit, acceptances or similar extensions of
credit, (vii) all Guarantees of such Person of the type of Indebtedness described in clauses (i)
through (vi) above, (viii) all Indebtedness of a third party secured by any Lien granted by such
Person on property owned by such Person, whether or not such Indebtedness has been assumed by such
Person, (ix) all obligations of such Person, contingent or otherwise, to purchase, redeem, retire
or otherwise acquire for value any common stock of such Person, (x) Off-Balance Sheet Liabilities
and (xi) all Hedging Obligations. The Indebtedness of any Person shall include the Indebtedness of
any partnership or joint venture in which such Person is a general partner or a joint venturer,
except to the extent that the terms of such Indebtedness provide that such Person is not liable
therefor.

          “Indemnified Taxes” shall mean Taxes other than Excluded Taxes.

          “Indentures” means the Indenture, 7.75% Senior Notes due 2009, dated as of August 17,
1999; the Indenture, 7.5% Senior Notes due 2021, dated as of September 17, 2001; and the Indenture,
6.25% Senior Notes due 2007, dated as of April 29, 2002.

9

 

          “Interest Period” shall mean with respect to (i) any Swingline Borrowing, such period
as the Swingline Lender and the Borrower shall mutually agree and (ii) any Eurodollar Borrowing, a
period of one, two, three or six months; provided, that:

     (i) the initial Interest Period for such Borrowing shall commence on the date of such
Borrowing (including the date of any conversion from a Borrowing of another Type), and each
Interest Period occurring thereafter in respect of such Borrowing shall commence on the day
on which the next preceding Interest Period expires;

     (ii) if any Interest Period would otherwise end on a day other than a Business Day,
such Interest Period shall be extended to the next succeeding Business Day, unless such
Business Day falls in another calendar month, in which case such Interest Period would end
on the next preceding Business Day;

     (iii) any Interest Period which begins on the last Business Day of a calendar month or
on a day for which there is no numerically corresponding day in the calendar month at the
end of such Interest Period shall end on the last Business Day of such calendar month; and

     (iv) no Interest Period may extend beyond the Revolving Commitment Termination Date.

          “Issuing Bank” shall mean SunTrust Bank, or any other Lender, each in its capacity as
an issuer of Letters of Credit pursuant to Section 2.20.

          “LC Commitment” shall mean that portion of the Aggregate Revolving Commitment Amount
that may be used by the Borrower for the issuance of Letters of Credit in an aggregate face amount
not to exceed $250,000,000.

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

          “LC Documents” shall mean the Letters of Credit and all applications, agreements and
instruments relating to the Letters of Credit.

          “LC Exposure” shall mean, at any time, the sum of (i) the aggregate undrawn amount of
all outstanding Letters of Credit at such time, plus (ii) the aggregate amount of all LC
Disbursements that have not been reimbursed by or on behalf of the Borrower at such time. The LC
Exposure of any Lender shall be its Pro Rata Share of the total LC Exposure at such time.

          “Lenders” shall have the meaning assigned to such term in the opening paragraph of
this Agreement and shall include, where appropriate, the Swingline Lender and each Additional
Lender that joins this Agreement pursuant to Section 2.21

          “Letter of Credit” shall mean any stand-by letter of credit issued pursuant to
Section 2.20 by the Issuing Bank for the account of the Borrower pursuant to the LC
Commitment.

10

 

          “Leverage Ratio” shall mean, as of any date, the ratio of (i) Consolidated Total Debt
as of such date to (ii) Consolidated EBITDA for the four consecutive Fiscal Quarters ending on or
immediately prior to such date.

          “LIBOR” shall mean, for any applicable Interest Period with respect to any Eurodollar
Loan, the British Bankers’ Association Interest Settlement Rate per annum for deposits in Dollars
for a period equal to such Interest Period appearing on the display designated as Page 3750 on the
Dow Jones Markets Service (or such other page on that service or such other service designated by
the British Bankers’ Association for the display of such Association’s Interest Settlement Rates
for Dollar deposits) as of 11:00 a.m. (London, England time) on the day that is two Business Days
prior to the first day of the Interest Period or if such Page 3750 is unavailable for any reason at
such time, the rate which appears on the Reuters Screen ISDA Page as of such date and such time;
provided, that if the Administrative Agent determines that the relevant foregoing sources
are unavailable for the relevant Interest Period, LIBOR shall mean the rate of interest determined
by the Administrative Agent to be the average (rounded upward, if necessary, to the nearest
1/100th of 1%) of the rates per annum at which deposits in Dollars are offered to the
Administrative Agent two (2) Business Days preceding the first day of such Interest Period by
leading banks in the London interbank market as of 10:00 a.m. (New York time) for delivery on the
first day of such Interest Period, for the number of days comprised therein and in an amount
comparable to the amount of the Eurodollar Loan of the Administrative Agent. Such rates may be
adjusted for any applicable reserve requirements.

          “Lien” shall mean (i) any mortgage, deed of trust, deed to secure debt, pledge,
security interest, lien (statutory or otherwise), charge, claim, easement or encumbrance,
hypothecation, assignment, deposit arrangement, or (ii) any preference, priority or other security
agreement or preferential arrangement of any kind or nature whatsoever (including any conditional
sale or other title retention agreement and any capital lease having the same economic effect as
any of the foregoing).

          “Loan Documents” shall mean, collectively, this Agreement, the Notes (if any), the LC
Documents, all Notices of Borrowing, all Notices of Conversion/Continuation, all Compliance
Certificates and any and all other instruments, agreements, documents and writings executed in
connection with any of the foregoing.

          “Loans” shall mean all Revolving Loans and Swingline Loans in the aggregate or any of
them, as the context shall require.

          “Material Adverse Effect” shall mean, with respect to any event, act, condition or
occurrence of whatever nature (including any adverse determination in any litigation, arbitration,
or governmental investigation or proceeding), whether singularly or in conjunction with any other
event or events, act or acts, condition or conditions, occurrence or occurrences whether or not
related, a material adverse change in, or a material adverse effect on, (i) the business, results
of operations, financial condition, assets, or liabilities of the Borrower or of the Borrower and
its Subsidiaries taken as a whole, (ii) the ability of the Borrower to perform any of its
obligations under the Loan Documents, (iii) the rights and remedies of the Administrative Agent,
the Issuing Bank, Swingline Lender, and the Lenders under any of the Loan Documents evidencing,

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governing or securing the Obligations or (iv) the legality, validity or enforceability of any
of the Loan Documents evidencing, governing or securing the Obligations.

          “Material Indebtedness” shall mean Indebtedness (other than the Loans and Letters of
Credit) and Hedging Obligations of the Borrower or any of its Subsidiaries, individually or in an
aggregate principal amount exceeding $15,000,000. For purposes of determining the amount of
attributed Indebtedness from Hedging Obligations, the “principal amount” of any Hedging Obligations
at any time shall be the Net Mark-to-Market Exposure of such Hedging Obligations.

          “Material Project” means the construction or expansion of any capital project of the
Borrower or any of its Subsidiaries, the aggregate capital cost of which exceeds $25,000,000.

          “Material Project EBITDA Adjustment” means, with respect to each Material Project:

     (A) prior to the Commercial Operation Date of a Material Project (but including the fiscal
quarter in which such Commercial Operation Date occurs), a percentage (based on the then-current
completion percentage of such Material Project) of an amount to be approved by the Administrative
Agent as the projected EBITDA of Borrower and its subsidiaries attributable to such Material
Project for the first 12-month period following the scheduled Commercial Operation Date of such
Material Project (such amount to be determined based on customer contracts or tariff-based
customers relating to such Material Project, the creditworthiness of the other parties to such
contracts or such tariff-based customers, and projected revenues from such contracts, tariffs,
capital costs and expenses, scheduled Commercial Operation Date, oil and gas reserve and production
estimates, commodity price assumptions and other factors deemed appropriate by Administrative
Agent), which may, at the Borrower’s option, be added to actual EBITDA for the Borrower and its
subsidiaries for the fiscal quarter in which construction of such Material Project commences and
for each fiscal quarter thereafter until the Commercial Operation Date of such Material Project
(including the fiscal quarter in which such Commercial Operation Date occurs, but net of any actual
EBITDA of the Borrower and its subsidiaries attributable to such Material Project following such
Commercial Operation Date); provided that if the actual Commercial Operation Date does not
occur by the scheduled Commercial Operation Date, then the foregoing amount shall be reduced, for
quarters ending after the scheduled Commercial Operation Date to (but excluding) the first full
quarter after its Commercial Operation Date, by the following percentage amounts depending on the
period of delay (based on the period of actual delay or then-estimated delay, whichever is longer):
(i) 90 days or less, 0%, (ii) longer than 90 days, but not more than 180 days, 25%, (iii) longer
than 180 days but not more than 270 days, 50%, and (iv) longer than 270 days, 100%; and

     (B) beginning with the first full fiscal quarter following the Commercial Operation Date of a
Material Project and for the two immediately succeeding fiscal quarters, an amount to be approved
by the Administrative Agent as the projected EBITDA of Borrower and its subsidiaries attributable
to such Material Project (determined in the same manner as set forth in clause (A) above) for the
balance of the four full fiscal quarter period following such Commercial Operation Date, which
shall be added to actual EBITDA for the Borrower and its subsidiaries for such fiscal quarters.

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Notwithstanding the foregoing:

     (i) no such additions shall be allowed with respect to any Material Project unless:

     (a) not later than 45 days prior to the date on which the Borrower requests to receive a
Material Project EBITDA Adjustment, the Borrower shall have delivered to the Administrative Agent
written pro forma projections of EBITDA of the Borrower and its subsidiaries attributable to such
Material Project, and

     (b) such projections and shall have received such other information and documentation as the
Administrative Agent may reasonably request, all in form and substance satisfactory to the
Administrative Agent, and

     (ii) the aggregate amount of all Material Project EBITDA Adjustments during any period shall
be limited to 20% of the total actual EBITDA of the Borrower and its subsidiaries for such period
(which total actual EBITDA shall be determined without including any Material Project EBITDA
Adjustments).

          “Moody’s” shall mean Moody’s Investors Service, Inc.

          “Multiemployer Plan” shall have the meaning set forth in Section 4001(a)(3) of ERISA.

          “Net Mark-to-Market Exposure” of any Person shall mean, as of any date of
determination with respect to any Hedging Obligation, the excess (if any) of all unrealized losses
over all unrealized profits of such Person arising from such Hedging Obligation. “Unrealized
losses” shall mean the fair market value of the cost to such Person of replacing the Hedging
Transaction giving rise to such Hedging Obligation as of the date of determination (assuming the
Hedging Transaction were to be terminated as of that date), and “unrealized profits” means the fair
market value of the gain to such Person of replacing such Hedging Transaction as of the date of
determination (assuming such Hedging Transaction were to be terminated as of that date).

          “Notes” shall mean, collectively, the Revolving Credit Notes and the Swingline Note.

          “Notices of Borrowing” shall mean, collectively, the Notices of Revolving Borrowing
and the Notices of Swingline Borrowing.

          “Notice of Conversion/Continuation” shall mean the notice given by the Borrower to the
Administrative Agent in respect of the conversion or continuation of an outstanding Borrowing as
provided in Section 2.6(b).

          “Notice of Revolving Borrowing” shall have the meaning as set forth in Section
2.3.

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          “Notice of Swingline Borrowing” shall have the meaning as set forth in Section
2.4.

          “Obligations” shall mean all amounts owing by the Borrower to the Administrative
Agent, the Issuing Bank or any Lender (including the Swingline Lender) pursuant to or in connection
with this Agreement or any other Loan Document, including without limitation, all principal,
interest (including any interest accruing after the filing of any petition in bankruptcy or the
commencement of any insolvency, reorganization or like proceeding relating to the Borrower, whether
or not a claim for post-filing or post-petition interest is allowed in such proceeding), all
reimbursement obligations, fees, expenses, indemnification and reimbursement payments, costs and
expenses (including all fees and expenses of counsel to the Administrative Agent, the Issuing Bank
and any Lender (including the Swingline Lender) incurred pursuant to this Agreement or any other
Loan Document), whether direct or indirect, absolute or contingent, liquidated or unliquidated, now
existing or hereafter arising hereunder or thereunder, and all Hedging Obligations owed to the
Administrative Agent, any Lender or any of their Affiliates incurred in order to limit interest
rate or fee fluctuation with respect to the Loans and Letters of Credit, and all obligations and
liabilities incurred in connection with collecting and enforcing the foregoing, together with all
renewals, extensions, modifications or refinancings thereof.

          “Off-Balance Sheet Liabilities” of any Person shall mean (i) any repurchase obligation
or liability of such Person with respect to accounts or notes receivable sold by such Person, (ii)
any liability of such Person under any sale and leaseback transactions that do not create a
liability on the balance sheet of such Person, (iii) any Synthetic Lease Obligation or (iv) any
obligation arising with respect to any other transaction which is the functional equivalent of or
takes the place of borrowing but which does not constitute a liability on the balance sheet of such
Person.

          “Operating Agreement” shall mean that certain operating agreement, dated April 6,
2006, between the Borrower and Operator, as amended, modified or supplemented from time to time.

          “Operator” shall mean TransCanada Northern Border Inc., a Delaware corporation, as
provided for in Section 8 of the Borrower Partnership Agreement, or such other Person as may be
designated in accordance with Section 8 of the Borrower Partnership Agreement.

          “OSHA” shall mean the Occupational Safety and Health Act of 1970, as amended from time
to time, and any successor statute.

          “Other Taxes” shall mean any and all present or future stamp or documentary taxes or
any other excise or property taxes, charges or similar levies arising from any payment made
hereunder or from the execution, delivery or enforcement of, or otherwise with respect to, this
Agreement or any other Loan Document.

          “Participant” shall have the meaning set forth in Section 10.4(d).

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          “Partner” shall mean any one of ONEOK Partners Intermediate Limited Partnership and TC
PipeLines Intermediate Limited Partnership, or any Person substitute for any thereof as a partner
pursuant to Section 10 of the Borrower Partnership Agreement or which becomes a partner pursuant to
Section 11 of the Borrower Partnership Agreement.

          “Partners’ Capital” shall mean, at any time, the amount reflected as “Partners’
Capital” on a consolidated balance sheet of the Borrower and its Subsidiaries at such time,
prepared in accordance with GAAP.

          “Payment Office” shall mean the office of the Administrative Agent located at 303
Peachtree St., NE, Atlanta, GA 30308, or such other location as to which the Administrative Agent
shall have given written notice to the Borrower and the other Lenders.

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

          “Permitted Encumbrances” shall mean:

     (i) Liens imposed by law for taxes, assessments or other governmental charges or levies
not yet due or which are being contested in good faith by appropriate proceedings and with
respect to which adequate reserves are being maintained in accordance with GAAP;

     (ii) Liens of landlords, carriers, operators, warehousemen, mechanics, and materialmen,
statutory Liens of producers of hydrocarbons, and similar Liens arising by operation of law,
in each case incurred in the ordinary course of business for amounts not yet due or which
are being contested in good faith by appropriate proceedings and with respect to which
adequate reserves are being maintained in accordance with GAAP;

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

     (iv) deposits to secure the performance of tenders, bids, contracts (other than for
borrowed money), leases, statutory obligations, surety and appeal bonds, performance bonds
and other obligations of a like nature, in each case entered into in the ordinary course of
business or to secure obligations on surety or appeal bonds;

     (v) judgment and attachment liens not giving rise to an Event of Default or Liens
created by or existing from any litigation or legal proceeding that are currently being
contested in good faith by appropriate proceedings and with respect to which adequate
reserves are being maintained in accordance with GAAP;

     (vi) 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 materially interfere with the ordinary conduct of business of the Borrower and its
Subsidiaries taken as a whole; and

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     (vii) Liens securing obligations of others, neither assumed nor guaranteed by the
Borrower nor on which it customarily pays interest, existing upon real estate or rights in
or relating to real estate acquired by such Person for substation, metering station,
compression station, gathering line, transmission line, transportation line, distribution
line or right of way purposes, and any Liens reserved in leases for rent and for compliance
with the terms of the leases in the case of leasehold estates, to the extent that any such
Lien referred to in this clause (vii) does not materially impair the use of the property.

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

          “Permitted Investments” shall mean:

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

     (ii) commercial paper and auction rate securities having the highest rating, at the
time of acquisition thereof, of S&P or Moody’s and in either case maturing or having an
auction date within six months from the date of acquisition thereof;

     (iii) certificates of deposit, bankers’ acceptances and time deposits maturing within
180 days of 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 or any state thereof which has a combined
capital and surplus and undivided profits of not less than $500,000,000;

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

     (v) mutual funds investing solely in any one or more of the Permitted Investments
described in clauses (i) through (iv) above.

          “Person” shall mean any individual, partnership, firm, corporation, association, joint
venture, limited liability company, trust or other entity, or any Governmental Authority.

          “Pipeline” shall mean the Borrower’s pipeline system and related facilities extending
from a point near Port of Morgan, Montana, to a point near North Hayden, Indiana, as it may
hereafter be expanded and extended.

          “Plan” shall mean 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 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.

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          “Pro Rata Share” shall mean with respect to any Commitment of any Lender at any time,
a percentage, the numerator of which shall be such Lender’s Commitment (or if such Commitments have
been terminated or expired or the Loans have been declared to be due and payable, such Lender’s
Revolving Credit Exposure), and the denominator of which shall be the sum of such Commitments of
all Lenders (or if such Commitments have been terminated or expired or the Loans have been declared
to be due and payable, all Revolving Credit Exposure of all Lenders).

          “Regulation D” shall mean Regulation D of the Board of Governors of the Federal
Reserve System, as the same may be in effect from time to time, and any successor regulations.

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

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

          “Required Lenders” shall mean, at any time, Lenders holding more than 50% of the
aggregate outstanding Revolving Commitments at such time or if the Lenders have no Commitments
outstanding, then Lenders holding more than 50% of the Revolving Credit Exposure.

          “Requirement of Law” for any Person shall mean the articles or certificate of
incorporation, bylaws, partnership certificate and agreement, or limited liability company
certificate of organization and agreement, as the case may be, and other organizational and
governing documents of such Person, and any law, treaty, rule or regulation, or determination of a
Governmental Authority, in each case applicable to or binding upon such Person or any of its
property or to which such Person or any of its property is subject.

          “Responsible Officer” shall mean any of the Principal Executive Officer, Principal
Financial Officer, Treasurer or any vice president or any secretary or assistant secretary of the
Operator or such other representative of the Operator as may be designated in writing by any one of
the foregoing with the consent of the Administrative Agent, and, with respect to the financial
covenants only, the Principal Executive Officer, Principal Financial Officer, Treasurer or any vice
president of the Operator.

          “Restricted Payment” shall have the meaning set forth in Section 7.5.

          “Revolving Commitment” shall mean, with respect to each Lender, the obligation of such
Lender to make Revolving Loans to the Borrower and to participate in Letters of Credit and
Swingline Loans in an aggregate principal amount not exceeding the amount set forth with respect to
such Lender on Schedule II, as such schedule may be amended pursuant to Section
2.21, or in the case of a Person becoming a Lender after the Closing Date through an assignment
of an existing Revolving Commitment, the amount of the assigned “Revolving Commitment” as

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provided in the Assignment and Acceptance executed by such Person as an assignee, as the same
may be increased or deceased pursuant to terms hereof.

          “Revolving Commitment Termination Date” shall mean the earliest of (i) April 27, 2012,
or the date later in effect pursuant to Section 2.23 (ii) the date on which the Revolving
Commitments are terminated pursuant to Section 2.7 and (iii) the date on which all amounts
outstanding under this Agreement have been declared or have automatically become due and payable
(whether by acceleration or otherwise).

          “Revolving Credit Exposure” shall mean, with respect to any Lender at any time, the
sum of the outstanding principal amount of such Lender’s Revolving Loans, LC Exposure and Swingline
Exposure.

          “Revolving Credit Note” shall mean a promissory note of the Borrower payable to the
order of a requesting Lender in the principal amount of such Lender’s Revolving Commitment, in
substantially the form of Exhibit A.

          “Revolving Loan” shall mean a loan made by a Lender (other than the Swingline Lender)
to the Borrower under its Revolving Commitment, which may either be a Base Rate Loan or a
Eurodollar Loan.

          “S&P” shall mean Standard & Poor’s, a Division of the McGraw-Hill Companies.

          “Senior Notes” means the Borrower’s Senior Notes issued pursuant to the Indentures.

          “Service Agreement” shall mean an agreement in substantially the form of U.S. Shippers
Service Agreement, and any other form of firm transportation agreement, included in the Tariff,
entered into between the Borrower and a Shipper, as such agreements may be amended, modified or
supplemented from time to time.

          “Shipper” shall mean any Person who is, at the time of such characterization, a party
to a Service Agreement with the Borrower for the transportation of gas through the Pipeline.

          “Subsidiary” shall mean, with respect to any Person (the “parent”), any
corporation, partnership, joint venture, limited liability company, 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, partnership, joint venture, limited liability company,
association or other entity of which securities or other ownership interests representing more than
50% of the equity or 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.
Unless otherwise indicated, all references to “Subsidiary” hereunder shall mean a Subsidiary of
the Borrower.

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          “Swingline Commitment” shall mean the commitment of the Swingline Lender to make
Swingline Loans in an aggregate principal amount at any time outstanding not to exceed $25,000,000.

          “Swingline Exposure” shall mean, with respect to each Lender, the principal amount of
the Swingline Loans in which such Lender is legally obligated either to make a Base Rate Loan or to
purchase a participation in accordance with Section 2.4, which shall equal such Lender’s
Pro Rata Share of all outstanding Swingline Loans.

          “Swingline Lender” shall mean SunTrust Bank, or any other Lender that may agree to
make Swingline Loans hereunder.

          “Swingline Loan” shall mean a loan made to the Borrower by the Swingline Lender under
the Swingline Commitment.

          “Swingline Note” shall mean the promissory note of the Borrower payable to the order
of the Swingline Lender in the principal amount of the Swingline Commitment, substantially the form
of Exhibit B.

          “Swingline Rate” shall mean, for any Interest Period, the rate as offered by the
Swingline Lender and accepted by the Borrower. The Borrower is under no obligation to accept this
rate and the Swingline Lender is under no obligation to provide it.

          “Syndication Agent” shall mean Wachovia Bank, National Association, as Syndication
Agent.

          “Synthetic Lease” shall mean a lease transaction under which the parties intend that
(i) the lease will be treated as an “operating lease” by the lessee pursuant to Statement of
Financial Accounting Standards No. 13, as amended and (ii) the lessee will be entitled to various
tax and other benefits ordinarily available to owners (as opposed to lessees) of like property.

          “Synthetic Lease Obligations” shall mean, with respect to any Person, the sum of (i)
all remaining rental obligations of such Person as lessee under Synthetic Leases which are
attributable to principal and, without duplication, (ii) all rental and purchase price payment
obligations of such Person under such Synthetic Leases assuming such Person exercises the option to
purchase the lease property at the end of the lease term.

          “Tariff” shall mean the FERC gas tariff of the Borrower stating the terms and
conditions applicable to the transportation of gas through the Pipeline, such terms and conditions
consisting of the compilation on file with the FERC of Borrower’s Rate Schedules, General Terms and
Conditions and related forms of Service Agreement (as each of such terms is defined in said
Tariff), as amended and in effect from time to time.

          “Taxes” shall mean any and all present or future taxes, levies, imposts, duties,
deductions, charges or withholdings imposed by any Governmental Authority.

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          “Type”, when used in reference to a 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 Base Rate.

          “Withdrawal Liability” shall mean 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 1.2. Classifications of Loans and Borrowings. For purposes of this Agreement,
Loans may be classified and referred to by Class (e.g. a “Revolving Loan” or “Swingline Loan”) or
by Type (e.g. a “Eurodollar Loan” or “Base Rate Loan”) or by Class and Type (e.g. “Revolving
Eurodollar Loan”). Borrowings also may be classified and referred to by Class (e.g. “Revolving
Borrowing”) or by Type (e.g. “Eurodollar Borrowing”) or by Class and Type (e.g. “ Revolving
Eurodollar Borrowing”).

          Section 1.3. Accounting Terms and Determination. Unless otherwise defined or
specified herein, all accounting terms used herein shall be interpreted, all accounting
determinations hereunder shall be made, and all financial statements required to be delivered
hereunder shall be prepared, in accordance with GAAP as in effect from time to time, applied on a
basis consistent with the most recent audited consolidated financial statement of the Borrower
delivered pursuant to Section 5.1(a); provided, that if the Borrower notifies the
Administrative Agent that the Borrower wishes to amend any covenant in Article VI to
eliminate the effect of any change in GAAP on the operation of such covenant (or if the
Administrative Agent notifies the Borrower that the Required Lenders wish to amend Article
VI for such purpose), then the Borrower’s compliance with such covenant shall be determined on
the basis of GAAP in effect immediately before the relevant change in GAAP became effective, until
either such notice is withdrawn or such covenant is amended in a manner satisfactory to the
Borrower and the Required Lenders.

          Section 1.4. 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”. In the
computation of periods of time from a specified date to a later specified date, the word “from”
means “from and including” and the word “to” means “to but excluding”. Unless the context requires
otherwise (i) 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 it was
originally executed or as it may from time to time be amended, restated, supplemented or otherwise
modified (subject to any restrictions on such amendments, supplements or modifications set forth
herein), (ii) any reference herein to any Person shall be construed to include such Person’s
successors and permitted assigns, (iii) the words “hereof”, “herein” and “hereunder” and words of
similar import shall be construed to refer to this Agreement as a whole and not to any particular
provision hereof, (iv) all references to Articles, Sections, Exhibits and Schedules shall be
construed to refer

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to Articles, Sections, Exhibits and Schedules to this Agreement and (v) all references to a
specific time shall be construed to refer to the time in the city and state of the Administrative
Agent’s principal office, unless otherwise indicated.

ARTICLE II

AMOUNT AND TERMS OF THE COMMITMENTS

          Section 2.1. General Description of Facilities. Subject to and upon the terms and
conditions herein set forth, (i) the Lenders hereby establish in favor of the Borrower a revolving
credit facility pursuant to which each Lender severally agrees (to the extent of such Lender’s
Revolving Commitment) to make Revolving Loans to the Borrower in accordance with Section
2.2, (ii) the Issuing Bank agrees to issue Letters of Credit in accordance with Section
2.20, (iii) the Swingline Lender agrees to make Swingline Loans in accordance with
Section 2.4 and (iv) each Lender agrees to purchase a participation interest in the Letters
of Credit and the Swingline Loans pursuant to the terms and conditions hereof; provided,
that in no event shall the aggregate principal amount of all outstanding Revolving Loans, Swingline
Loans and outstanding LC Exposure exceed at any time the Aggregate Revolving Commitment Amount from
time to time in effect.

          Section 2.2. Revolving Loans. Subject to the terms and conditions set forth herein,
each Lender severally agrees to make Revolving Loans, ratably in proportion to its Pro Rata Share,
to the Borrower, from time to time during the Availability Period, in an aggregate principal amount
outstanding at any time that will not result in such Lender’s Revolving Credit Exposure exceeding
such Lender’s Revolving Commitment. During the Availability Period, the Borrower shall be entitled
to borrow, prepay and reborrow Revolving Loans in accordance with the terms and conditions of this
Agreement; provided, that the Borrower may not borrow or reborrow should there exist a
Default or Event of Default.

          Section 2.3. Procedure for Revolving Borrowings.

          The Borrower shall give the Administrative Agent written notice (or telephonic notice promptly
confirmed in writing) of each Revolving Borrowing substantially in the form of Exhibit 2.3
(a “Notice of Revolving Borrowing”) (x) prior to 11:00 a.m. (New York time) on the
requested date of each Base Rate Borrowing and (y) prior to 11:00 a.m. (New York time) three (3)
Business Days prior to the requested date of each Eurodollar Borrowing. Each Notice of Revolving
Borrowing shall be irrevocable and shall specify: (i) the aggregate principal amount of such
Borrowing, (ii) the date of such Borrowing (which shall be a Business Day), (iii) the Type of such
Revolving Loan comprising such Borrowing and (iv) in the case of a Eurodollar Borrowing, the
duration of the initial Interest Period applicable thereto (subject to the provisions of the
definition of Interest Period). Each Revolving Borrowing shall consist entirely of Base
Rate Loans or Eurodollar Loans, as the Borrower may request. The aggregate principal amount
of each Borrowing shall be not less than $5,000,000 or a larger multiple of $1,000,000 for
Eurodollar Borrowings or not less than $1,000,000 or a larger multiple of $100,000 for Base Rate
Borrowings; provided, that Base Rate Loans made pursuant to Section 2.4 or
Section 2.20(d) may be made in lesser amounts as provided therein. At no time shall the
total number of Eurodollar Borrowings outstanding at any time exceed six. Promptly following the
receipt of a

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Notice of Revolving Borrowing in accordance herewith, the Administrative Agent shall
advise each Lender of the details thereof and the amount of such Lender’s Revolving Loan to be made
as part of the requested Revolving Borrowing.

          Section 2.4. Swingline Commitment.

          (a) Subject to the terms and conditions set forth herein, the Swingline Lender agrees to make
Swingline Loans to the Borrower, from time to time during the Availability Period, in an aggregate
principal amount outstanding at any time not to exceed the lesser of (i) the Swingline Commitment
then in effect and (ii) the difference between the Aggregate Revolving Commitment Amount and the
aggregate Revolving Credit Exposures of all Lenders; provided, that the Swingline Lender
shall not be required to make a Swingline Loan to refinance an outstanding Swingline Loan. The
Borrower shall be entitled to borrow, repay and reborrow Swingline Loans in accordance with the
terms and conditions of this Agreement.

          (b) The Borrower shall give the Administrative Agent written notice (or telephonic notice
promptly confirmed in writing) of each Swingline Borrowing substantially in the form of Exhibit
2.4 attached hereto (“Notice of Swingline Borrowing”) prior to 11:00 a.m. (New York
time) on the requested date of each Swingline Borrowing. Each Notice of Swingline Borrowing shall
be irrevocable and shall specify: (i) the principal amount of such Swingline Loan, (ii) the date of
such Swingline Loan (which shall be a Business Day) and (iii) the account of the Borrower to which
the proceeds of such Swingline Loan should be credited. The Administrative Agent will promptly
advise the Swingline Lender of each Notice of Swingline Borrowing. Each Swingline Loan shall
accrue interest at the lesser of the Base Rate and the Swingline Rate and shall have an Interest
Period (subject to the definition thereof) as agreed between the Borrower and the Swingline Lender.
The aggregate principal amount of each Swingline Loan shall be not less than $100,000 or a larger
multiple of $50,000, or such other minimum amounts agreed to by the Swingline Lender and the
Borrower. The Swingline Lender will make the proceeds of each Swingline Loan available to the
Borrower in Dollars in immediately available funds at the account specified by the Borrower in the
applicable Notice of Swingline Borrowing not later than 1:00 p.m. (New York time) on the requested
date of such Swingline Loan.

          (c) The Swingline Lender, at any time and from time to time in its sole discretion, may, on
behalf of the Borrower (which hereby irrevocably authorizes and directs the Swingline Lender to act
on its behalf), give a Notice of Revolving Borrowing to the Administrative Agent requesting the
Lenders (including the Swingline Lender) to make Base Rate Loans in an amount equal to the unpaid
principal amount of any Swingline Loan. Each Lender will make the proceeds of its Base Rate Loan
included in such Borrowing available to the Administrative Agent for the account of the Swingline Lender in accordance with Section
2.5, which will be used solely for the repayment of such Swingline Loan.

          (d) If for any reason a Base Rate Borrowing may not be (as determined in the sole discretion
of the Administrative Agent), or is not, made in accordance with the foregoing provisions, then
each Lender (other than the Swingline Lender) shall purchase an undivided participating interest in
such Swingline Loan in an amount equal to its Pro Rata Share thereof on the date that such Base
Rate Borrowing should have occurred. On the date of such required
 

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Purchase, each Lender shall
promptly transfer, in immediately available funds, the amount of its participating interest to the
Administrative Agent for the account of the Swingline Lender. If such Swingline Loan bears
interest at a rate other than the Base Rate, such Swingline Loan shall automatically become a Base
Rate Loan on the effective date of any such participation and interest shall become payable on
demand.

          (e) Each Lender’s obligation to make a Base Rate Loan pursuant to Section 2.4(c) or to
purchase the participating interests pursuant to Section 2.4(d) shall be absolute and
unconditional and shall not be affected by any circumstance, including without limitation (i) any
setoff, counterclaim, recoupment, defense or other right that such Lender or any other Person may
have or claim against the Swingline Lender, the Borrower or any other Person for any reason
whatsoever, (ii) the existence of a Default or an Event of Default or the termination of any
Lender’s Revolving Commitment, (iii) the existence (or alleged existence) of any event or condition
which has had or could reasonably be expected to have a Material Adverse Effect, (iv) any breach of
this Agreement or any other Loan Document by the Borrower, the Administrative Agent or any Lender
or (v) any other circumstance, happening or event whatsoever, whether or not similar to any of the
foregoing. If such amount is not in fact made available to the Swingline Lender by any Lender, the
Swingline Lender shall be entitled to recover such amount on demand from such Lender, together with
accrued interest thereon for each day from the date of demand thereof (i) at the Federal Funds Rate
until the second Business Day after such demand and (ii) at the Base Rate at all times thereafter.
Until such time as such Lender makes its required payment, the Swingline Lender shall be deemed to
continue to have outstanding Swingline Loans in the amount of the unpaid participation for all
purposes of the Loan Documents. In addition, such Lender shall be deemed to have assigned any and
all payments made of principal and interest on its Loans and any other amounts due to it hereunder,
to the Swingline Lender to fund the amount of such Lender’s participation interest in such
Swingline Loans that such Lender failed to fund pursuant to this Section 2.4, until such
amount has been purchased in full.

          Section 2.5. Funding of Borrowings.

          (a) Each Lender will make available each Loan to be made by it hereunder on the proposed date
thereof by wire transfer in immediately available funds by 11:00 a.m. (New York time) to the
Administrative Agent at the Payment Office; provided, that the Swingline Loans will be made
as set forth in Section 2.4. The Administrative Agent will make such Loans available to
the Borrower by promptly crediting the amounts that it receives, in like funds by the close of
business on such proposed date, to an account maintained by the Borrower with the Administrative
Agent or at the Borrower’s option, by effecting a wire transfer of such amounts to an account
designated by the Borrower to the Administrative Agent.

          (b) Unless the Administrative Agent shall have been notified by any Lender (x) prior to 10:00
a.m. (New York time) on the requested date of each Base Rate Borrowing and (y) prior to 5:00 p.m.
(New York time) one (1) Business Day prior to the date of a Eurodollar Borrowing in which such
Lender is to participate 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 amount available to the Administrative Agent on such date, and the Administrative Agent, in
reliance on such assumption, may make available to the Borrower on such date a corresponding
amount. If such corresponding amount is not in fact

23

 

made available to the Administrative Agent by
such Lender on the date of such Borrowing, the Administrative Agent shall be entitled to recover
such corresponding amount on demand from such Lender together with interest at the Federal Funds
Rate until the second Business Day after such demand and thereafter at the Base Rate. If such
Lender does not pay such corresponding amount forthwith upon the Administrative Agent’s demand
therefor, the Administrative Agent shall promptly notify the Borrower, and the Borrower shall
immediately pay such corresponding amount to the Administrative Agent together with interest at the
rate specified for such Borrowing. Nothing in this subsection shall be deemed to relieve any
Lender from its obligation to fund its Pro Rata Share of any Borrowing hereunder or to prejudice
any rights which the Borrower may have against any Lender as a result of any default by such Lender
hereunder.

          (c) All Revolving Borrowings shall be made by the Lenders on the basis of their respective Pro
Rata Shares. No Lender shall be responsible for any default by any other Lender in its obligations
hereunder, and each Lender shall be obligated to make its Loans provided to be made by it
hereunder, regardless of the failure of any other Lender to make its Loans hereunder.

          Section 2.6. Interest Elections.

          (a) Each Borrowing initially shall be of the Type specified in the applicable Notice of
Borrowing, and in the case of a Eurodollar Borrowing, shall have an initial Interest Period as
specified in such Notice of Borrowing. Thereafter, the Borrower may elect to convert such
Borrowing into a different Type or to continue such Borrowing, and in the case of a Eurodollar
Borrowing, may elect Interest Periods therefor, all as provided in this Section 2.6. The
Borrower 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 Loans
comprising such Borrowing, and the Loans comprising each such portion shall be considered a
separate Borrowing. This Section shall NOT apply to Swingline Borrowings, which may not be
converted or continued.

          (b) To make an election pursuant to this Section 2.6, the Borrower shall give the
Administrative Agent prior written notice (or telephonic notice promptly confirmed in writing) of
each Borrowing substantially in the form of Exhibit 2.6 attached hereto (a “Notice of
Conversion/Continuation”) that is to be converted or continued, as the case may be, (x) prior
to 11:00 a.m. (New York time) on the requested date of a conversion into a Base Rate Borrowing and
(y) prior to 11:00 a.m. (New York time) three (3) Business Days prior to a continuation of or
conversion into a Eurodollar Borrowing. Each such Notice of Conversion/Continuation shall be
irrevocable and shall specify (i) the Borrowing to which such Notice of Continuation/Conversion
applies and if different options are being elected with respect to different portions thereof,
the portions thereof that are to be allocated to each resulting Borrowing (in which case the
information to be specified pursuant to clauses (iii) and (iv) shall be specified for each
resulting Borrowing); (ii) the effective date of the election made pursuant to such Notice of
Continuation/Conversion, which shall be a Business Day, (iii) whether the resulting Borrowing is to
be a Base Rate Borrowing or a Eurodollar Borrowing; and (iv) if the resulting Borrowing is to be a
Eurodollar Borrowing, the Interest Period applicable thereto after giving effect to such election,
which shall be a period contemplated by the definition of “Interest Period”. If any such Notice of
Continuation/Conversion requests a Eurodollar Borrowing but does not specify an

24

 

Interest Period,
the Borrower shall be deemed to have selected an Interest Period of one month. The principal
amount of any resulting Borrowing shall satisfy the minimum borrowing amount for Eurodollar
Borrowings and Base Rate Borrowings set forth in Section 2.3.

          (c) If, on the expiration of any Interest Period in respect of any Eurodollar Borrowing, the
Borrower shall have failed to deliver a Notice of Conversion/ Continuation, then, unless such
Borrowing is repaid as provided herein, the Borrower shall be deemed to have elected to convert
such Borrowing to a Base Rate Borrowing. No Borrowing may be converted into, or continued as, a
Eurodollar Borrowing if a Default or an Event of Default exists, unless the Administrative Agent
and each of the Lenders shall have otherwise consented in writing. No conversion of any
Eurodollar Loans shall be permitted except on the last day of the Interest Period in respect
thereof.

          (d) Upon receipt of any Notice of Conversion/Continuation, the Administrative Agent shall
promptly notify each Lender of the details thereof and of such Lender’s portion of each resulting
Borrowing.

          Section 2.7. Optional Reduction and Termination of Commitments.

          (a) Unless previously terminated, all Revolving Commitments, Swingline Commitments and LC
Commitments shall terminate on the Revolving Commitment Termination Date.

          (b) Upon at least three (3) Business Days’ prior written notice (or telephonic notice promptly
confirmed in writing) to the Administrative Agent (which notice shall be irrevocable), the Borrower
may reduce the Aggregate Revolving Commitments in part or terminate the Aggregate Revolving
Commitments in whole; provided, that (i) any partial reduction shall apply to reduce
proportionately and permanently the Revolving Commitment of each Lender, (ii) any partial reduction
pursuant to this Section 2.7 shall be in an amount of at least $5,000,000 and any larger
multiple of $1,000,000, and (iii) no such reduction shall be permitted which would reduce the
Aggregate Revolving Commitment Amount to an amount less than the outstanding Revolving Credit
Exposures of all Lenders. Any such reduction in the Aggregate Revolving Commitment Amount below
the sum of the principal amount of the Swingline Commitment and the LC Commitment shall result in a
proportionate reduction (rounded to the next lowest integral multiple of $100,000) in the Swingline
Commitment and the LC Commitment.

          Section 2.8. Repayment of Loans.

          (a) The outstanding principal amount of all Revolving Loans shall be due and payable (together
with accrued and unpaid interest thereon) on the Revolving Commitment Termination Date.

          (b) The principal amount of each Swingline Borrowing shall be due and payable (together with
accrued and unpaid interest thereon) on the earlier of (i) the last day of the Interest Period
applicable to such Borrowing and (ii) the Revolving Commitment Termination Date.

25

 

          Section 2.9. Evidence of Indebtedness. (a) Each Lender shall maintain in accordance
with its usual practice appropriate records evidencing the Indebtedness of the Borrower to such
Lender resulting from each Loan made by such Lender from time to time, including the amounts of
principal and interest payable thereon and paid to such Lender from time to time under this
Agreement. The Administrative Agent shall maintain appropriate records in which shall be recorded
(i) the Revolving Commitment of each Lender, (ii) the amount of each Loan made hereunder by each
Lender, the Class and Type thereof and the Interest Period applicable thereto, (iii) the date of
each continuation thereof pursuant to Section 2.6, (iv) the date of each conversion of all
or a portion thereof to another Type pursuant to Section 2.6, (v) the date and amount of
any principal or interest due and payable or to become due and payable from the Borrower to each
Lender hereunder in respect of such Loans and (vi) both the date and amount of any sum received by
the Administrative Agent hereunder from the Borrower in respect of the Loans and each Lender’s Pro
Rata Share thereof. The entries made in such records shall be prima facie evidence of the
existence and amounts of the obligations of the Borrower therein recorded; provided, that
the failure or delay of any Lender or the Administrative Agent in maintaining or making entries
into any such record or any error therein shall not in any manner affect the obligation of the
Borrower to repay the Loans (both principal and unpaid accrued interest) of such Lender in
accordance with the terms of this Agreement.

          (b) At the request of any Lender (including the Swingline Lender) at any time, the Borrower
agrees that it will execute and deliver to such Lender a Revolving Credit Note and, in the case of
the Swingline Lender only, a Swingline Note, payable to the order of such Lender.

          Section 2.10. Prepayments.

          (a) The Borrower shall have the right at any time and from time to time to prepay any
Borrowing, in whole or in part, without premium or penalty, by giving irrevocable written notice
(or telephonic notice promptly confirmed in writing) to the Administrative Agent no later than (i)
in the case of prepayment of any Eurodollar Borrowing, 11:00 a.m. (New York time) not less than
three (3) Business Days prior to any such prepayment, (ii) in the case of any prepayment of any
Base Rate Borrowing, not less than one Business Day prior to the date of such prepayment, and (iii)
in the case of Swingline Borrowings, prior to 11:00 a.m. (New York time) on the date of such
prepayment. Each such notice shall be irrevocable and shall specify the proposed date of such
prepayment and the principal amount of each Borrowing or portion thereof
to be prepaid. Upon receipt of any such notice, the Administrative Agent shall promptly
notify each affected Lender of the contents thereof and of such Lender’s Pro Rata Share of any such
prepayment. If such notice is given, the aggregate amount specified in such notice shall be due
and payable on the date designated in such notice, together with accrued interest to such date on
the amount so prepaid in accordance with Section 2.11(d); provided, that if a
Eurodollar Borrowing is prepaid on a date other than the last day of an Interest Period applicable
thereto, the Borrower shall also pay all amounts required pursuant to Section 2.17. Each
partial prepayment of any Loan (other than a Swingline Loan) shall be in an amount that would be
permitted in the case of an advance of a Revolving Borrowing of the same Type pursuant to
Section 2.2 or in the case of a Swingline Loan pursuant to Section 2.4. Each
prepayment of a Borrowing shall be applied ratably to the Loans comprising such Borrowing.

26

 

          (b) If at any time the Revolving Credit Exposure of all Lenders exceeds the Aggregate
Revolving Commitment Amount, as reduced pursuant to Section 2.7 or otherwise, the Borrower
shall immediately repay Swingline Loans and Revolving Loans in an amount equal to such excess,
together with all accrued and unpaid interest on such excess amount and any amounts due under
Section 2.17. Each prepayment shall be applied first to the Swingline Loans to the full
extent thereof, second to the Base Rate Loans to the full extent thereof, and finally to Eurodollar
Loans to the full extent thereof. If after giving effect to prepayment of all Swingline Loans and
Revolving Loans, the Revolving Credit Exposure of all Lenders exceeds the Aggregate Revolving
Commitment Amount, the Borrower shall deposit in an account with the Administrative Agent, in the
name of the Administrative Agent and for the benefit of the Issuing Bank and the Lenders, an amount
in cash equal to such excess plus any accrued and unpaid fees thereon to be held as collateral for
the LC Exposure. Such account shall be administered in accordance with Section 2.20(g)
hereof.

          Section 2.11. Interest on Loans.

          (a) The Borrower shall pay interest on each Base Rate Loan at the Base Rate in effect from
time to time and on each Eurodollar Loan at the Adjusted LIBO Rate for the applicable Interest
Period in effect for such Loan, plus, in each case, the Applicable Margin in effect from time to
time.

          (b) The Borrower shall pay interest on each Swingline Loan at the rate applicable to such Loan
pursuant to Section 2.4(b).

          (c) While an Event of Default exists or after acceleration, at the option of the Required
Lenders, the Borrower shall pay interest (“Default Interest”) with respect to all
Eurodollar Loans at the rate otherwise applicable for the then-current Interest Period plus an
additional 2% per annum until the last day of such Interest Period, and thereafter, and with
respect to all Base Rate Loans (including all Swingline Loans) and all other Obligations hereunder
(other than Loans), at an all-in rate in effect for Base Rate Loans, plus an additional 2% per
annum.

          (d) Interest on the principal amount of all Loans shall accrue from and including the date
such Loans are made to but excluding the date of any repayment thereof. Interest on
all outstanding Base Rate Loans shall be payable quarterly in arrears on the last day of each
March, June, September and December and on the Revolving Commitment Termination Date. Interest on
all outstanding Eurodollar Loans shall be payable on the last day of each Interest Period
applicable thereto, and, in the case of any Eurodollar Loans having an Interest Period in excess of
three months or 90 days, respectively, on each day which occurs every three months or 90 days, as
the case may be, after the initial date of such Interest Period, and on the Revolving Commitment
Termination Date. Interest on each Swingline Loan shall be payable on the maturity date of such
Loan, which shall be the last day of the Interest Period applicable thereto, and on the Revolving
Commitment Termination Date. Interest on any Loan which is converted into a Loan of another Type
or which is repaid or prepaid shall be payable on the date of such conversion or on the date of any
such repayment or prepayment (on the amount repaid or prepaid) thereof. All Default Interest shall
be payable on demand.

27

 

          (e) The Administrative Agent shall determine each interest rate applicable to the Loans
hereunder and shall promptly notify the Borrower and the Lenders of such rate in writing (or by
telephone, promptly confirmed in writing). Any such determination shall be conclusive and binding
for all purposes, absent manifest error.

          Section 2.12. Fees.

          (a) The Borrower shall pay to the Administrative Agent and the Syndication Agent for their own
respective accounts fees in the amounts and at the times previously agreed upon in writing by the
Borrower and the Administrative Agent or the Syndication Agent, as applicable.

          (b) The Borrower agrees to pay to the Administrative Agent for the account of each Lender a
facility fee, which shall accrue at the Applicable Percentage per annum (determined daily in
accordance with Schedule I) on the daily amount of the Revolving Commitment (whether used
or unused) of such Lender during the Availability Period; provided, that if such Lender
continues to have any Revolving Credit Exposure after the Revolving Commitment Termination Date,
then the facility fee shall continue to accrue on the daily amount of such Revolving Credit
Exposure from and after the Revolving Commitment Termination Date to the date that all of such
Lender’s Revolving Credit Exposure has been paid in full.

          (c) The Borrower agrees to pay (i) to the Administrative Agent, for the account of each
Lender, a letter of credit fee with respect to its participation in each Letter of Credit, which
shall accrue at a rate per annum equal to the Applicable Margin for Eurodollar Loans then in effect
on the average daily amount of such Lender’s LC Exposure attributable to such Letter of Credit
during the period from and including the date of issuance of such Letter of Credit to but excluding
the date on which such Letter of Credit expires or is drawn in full (including without limitation
any LC Exposure that remains outstanding after the Revolving Commitment Termination Date) and (ii)
to the Issuing Bank for its own account a fronting fee, which shall accrue at the rate of 0.125%
per annum on the average daily amount of the LC Exposure (excluding any portion thereof
attributable to unreimbursed LC Disbursements) during the Availability Period (or until the date
that such Letter of Credit is irrevocably cancelled, whichever is later), as well as the Issuing
Bank’s standard fees with respect to issuance, amendment, renewal or extension of any Letter of
Credit or processing of drawings thereunder.
Notwithstanding the foregoing, if the Required Lenders elect to increase the interest rate on
the Loans to the Default Interest pursuant to Section 2.11(c), the rate per annum used to
calculate the letter of credit fee pursuant to clause (i) above shall automatically be increased by
an additional 2% per annum.

          (d) The Borrower shall pay to the Administrative Agent, for the ratable benefit of each
Lender, the upfront fee previously agreed upon by the Borrower and the Administrative Agent, which
shall be due and payable on the Closing Date.

          (e) Accrued fees under paragraphs (b) and (c) above shall be payable quarterly in arrears on
the last day of each March, June, September and December, commencing on June 30, 2007 and on the
Revolving Commitment Termination Date (and if later, the date the

28

 

Loans and LC Exposure shall be
repaid in their entirety); provided further, that any such fees accruing after the
Revolving Commitment Termination Date shall be payable on demand.

          Section 2.13. Computation of Interest and Fees. Interest hereunder based on the
Administrative Agent’s prime lending rate shall be computed on the basis of a year of 365 days (or
366 days in a leap year) and paid for the actual number of days elapsed (including the first day
but excluding the last day). All other interest and all fees shall be computed on the basis of a
year of 360 days and paid for the actual number of days elapsed (including the first day but
excluding the last day). Each determination by the Administrative Agent of an interest amount or
fee hereunder shall be made in good faith and, except for manifest error, shall be final,
conclusive and binding for all purposes.

          Section 2.14. Inability to Determine Interest Rates. If prior to the commencement of
any Interest Period for any Eurodollar Borrowing,

     (i) the Administrative Agent shall have determined (which determination shall be
conclusive and binding upon the Borrower) that, by reason of circumstances affecting the
relevant interbank market, adequate means do not exist for ascertaining LIBOR for such
Interest Period, or

     (ii) the Administrative Agent shall have received notice from the Required Lenders that
the Adjusted LIBO Rate does not adequately and fairly reflect the cost to such Lenders (or
Lender, as the case may be) of making, funding or maintaining their (or its, as the case may
be) Eurodollar Loans for such Interest Period,

the Administrative Agent shall give written notice (or telephonic notice, promptly confirmed in
writing) to the Borrower and to the Lenders as soon as practicable thereafter. In the case of
Eurodollar Loans, until the Administrative Agent shall notify the Borrower and the Lenders that the
circumstances giving rise to such notice no longer exist, (i) the obligations of the Lenders to
make Eurodollar Revolving Loans or to continue or convert outstanding Loans as or into Eurodollar
Loans shall be suspended and (ii) all such affected Loans shall be converted into Base Rate Loans
on the last day of the then current Interest Period applicable thereto unless the Borrower prepays
such Loans in accordance with this Agreement. Unless the Borrower notifies
the Administrative Agent at least one Business Day before the date of any Eurodollar Revolving
Borrowing for which a Notice of Revolving Borrowing has previously been given that it elects not to
borrow on such date, then such Revolving Borrowing shall be made as a Base Rate Borrowing.

          Section 2.15. Illegality. If any Change in Law shall make it unlawful or impossible
for any Lender to make, maintain or fund any Eurodollar Loan and such Lender shall so notify the
Administrative Agent, the Administrative Agent shall promptly give notice thereof to the Borrower
and the other Lenders, whereupon until such Lender notifies the Administrative Agent and the
Borrower that the circumstances giving rise to such suspension no longer exist, the obligation of
such Lender to make Eurodollar Revolving Loans, or to continue or convert outstanding Loans as or
into Eurodollar Loans, shall be suspended. In the case of the making of a Eurodollar Revolving
Borrowing, such Lender’s Revolving Loan shall be made as a Base Rate Loan as part of the same
Revolving Borrowing for the same Interest Period and if the affected

29

 

Eurodollar Loan is then
outstanding, such Loan shall be converted to a Base Rate Loan either (i) on the last day of the
then current Interest Period applicable to such Eurodollar Loan if such Lender may lawfully
continue to maintain such Loan to such date or (ii) immediately if such Lender shall determine that
it may not lawfully continue to maintain such Eurodollar Loan to such date. Notwithstanding the
foregoing, the affected Lender shall, prior to giving such notice to the Administrative Agent,
designate a different Applicable Lending Office if such designation would avoid the need for giving
such notice and if such designation would not otherwise be disadvantageous to such Lender in the
good faith exercise of its discretion.

          Section 2.16. Increased Costs.

          (a) If any Change in Law shall:

     (i) impose, modify or deem applicable any reserve, special deposit or similar
requirement that is not otherwise included in the determination of the Adjusted LIBO Rate
hereunder against assets of, deposits with or for the account of, or credit extended by, any
Lender (except any such reserve requirement reflected in the Adjusted LIBO Rate) or the
Issuing Bank; or

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

and the result of either of the foregoing is to increase the cost to such Lender of making,
converting into, continuing or maintaining a Eurodollar Loan or to increase the cost to such Lender
or the Issuing Bank of participating in or issuing any Letter of Credit or to reduce the amount
received or receivable by such Lender or the Issuing Bank hereunder (whether of principal, interest
or any other amount), then the Borrower shall promptly pay, upon written notice from and demand by
such Lender on the Borrower (with a copy of such notice and demand to the Administrative Agent), to
the Administrative Agent for the account of such Lender, within five Business Days after the date
of such notice and demand, additional amount
or amounts sufficient to 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 shall have determined that on or after the date of this
Agreement 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 parent corporation) as a consequence of its obligations hereunder or
under or in respect of any Letter of Credit to a level below that which such Lender or the Issuing
Bank or such Lender’s or the Issuing Bank’s parent corporation could have achieved but for such
Change in Law (taking into consideration such Lender’s or the Issuing Bank’s policies or the
policies of such Lender’s or the Issuing Bank’s parent corporation with respect to capital
adequacy) then, from time to time, within five (5) Business Days after receipt by the Borrower of
written demand by such Lender (with a copy thereof to the Administrative Agent), the Borrower shall
pay to such Lender such additional amounts as will compensate such Lender or the Issuing Bank or
such Lender’s or the Issuing Bank’s parent corporation for any such reduction suffered.

30

 

          (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 such Lender’s or the Issuing Bank’s
parent corporation, as the case may be, specified in paragraph (a) or (b) of this Section
2.16 shall be delivered to the Borrower (with a copy to the Administrative Agent) and shall be
conclusive, absent manifest error. The Borrower shall pay any such Lender or the Issuing Bank, as
the case may be, such amount or amounts within 10 days after receipt thereof.

          (d) Failure or delay on the part of any Lender or the Issuing Bank to demand compensation
pursuant to this Section 2.16 shall not constitute a waiver of such Lender’s or the Issuing
Bank’s right to demand such compensation; provided, that the Borrower shall not be required
to compensate a Lender or the Issuing Bank under this Section 2.16 for any increased costs
or reductions incurred more than 90 days prior to the date that such Lender or the Issuing Bank
notifies the Borrower of 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 such 90 day period
shall be extended to include the period of such retroactive effect.

          Section 2.17. Funding Indemnity. In the event of (a) the payment of any principal of
a Eurodollar Loan other than on the last day of the Interest Period applicable thereto (including
as a result of an Event of Default), (b) the conversion or continuation of a Eurodollar Loan other
than on the last day of the Interest Period applicable thereto or (c) the failure by the Borrower
to borrow, prepay, convert or continue any Eurodollar Loan on the date specified in any applicable
notice (regardless of whether such notice is withdrawn or revoked). In the case of a Eurodollar
Loan, such loss, cost or expense shall be deemed to include an amount determined by such Lender to
be the excess, if any, of (A) the amount of interest that would have accrued on the principal
amount of such Eurodollar Loan if such event had not occurred at the Adjusted LIBO Rate applicable
to such Eurodollar 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 Eurodollar Loan) over (B) the amount
of
interest that would accrue on the principal amount of such Eurodollar Loan for the same period
if the Adjusted LIBO Rate were set on the date such Eurodollar Loan was prepaid or converted or the
date on which the Borrower failed to borrow, convert or continue such Eurodollar Loan. A
certificate as to any additional amount payable under this Section 2.17 submitted to the
Borrower by any Lender (with a copy to the Administrative Agent) shall be conclusive, absent
manifest error.

          Section 2.18. Taxes.

          (a) Any and all payments by or on account of any obligation of the Borrower hereunder shall be
made free and clear of and without deduction for any Indemnified Taxes or Other Taxes;
provided, that if the 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 2.18) the Administrative Agent, any Lender or the Issuing Bank (as the case
may be) shall receive an amount equal to the sum it would have received had no such deductions been
made, (ii) the Borrower shall make such deductions and (iii) the Borrower shall pay the full amount
deducted to the relevant Governmental Authority in accordance with applicable law.

31

 

          (b) In addition, the Borrower shall pay any Other Taxes to the relevant Governmental Authority
in accordance with applicable law.

          (c) The Borrower shall indemnify the Administrative Agent, each Lender and the Issuing Bank,
within five (5) Business Days after written demand therefor, for the full amount of any Indemnified
Taxes or Other Taxes 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 Borrower
hereunder (including Indemnified Taxes or Other Taxes imposed or asserted on or attributable to
amounts payable under this Section 2.18) and any penalties, interest and reasonable
expenses arising therefrom or with respect thereto, 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 Borrower 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
Borrower to a Governmental Authority, the Borrower 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 payment or other evidence of such payment reasonably
satisfactory to the Administrative Agent.

          (e) Any Foreign Lender that is entitled to an exemption from or reduction of withholding tax
under the Code or any treaty to which the United States is a party, with respect to payments under
this Agreement shall deliver to the Borrower (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 Borrower as will permit such payments
to be made without withholding or at a reduced rate. Without limiting the generality of the
foregoing, each Foreign Lender agrees that it will deliver
to the Administrative Agent and the Borrower (or in the case of a Participant, to the Lender
from which the related participation shall have been purchased), as appropriate, two (2) duly
completed copies of (i) Internal Revenue Service Form W-8 ECI, or any successor form thereto,
certifying that the payments received from the Borrower hereunder are effectively connected with
such Foreign Lender’s conduct of a trade or business in the United States; or (ii) Internal Revenue
Service Form W-8 BEN, or any successor form thereto, certifying that such Foreign Lender is
entitled to benefits under an income tax treaty to which the United States is a party which reduces
the rate of withholding tax on payments of interest; or (iii) Internal Revenue Service Form W-8
BEN, or any successor form prescribed by the Internal Revenue Service, together with a certificate
(A) establishing that the payment to the Foreign Lender qualifies as “portfolio interest” exempt
from U.S. withholding tax under Code section 871(h) or 881(c), and (B) stating that (1) the Foreign
Lender is not a bank for purposes of Code section 881(c)(3)(A), or the obligation of the
Borrower hereunder is not, with respect to such Foreign Lender, a loan agreement entered into in
the ordinary course of its trade or business, within the meaning of that section; (2) the Foreign
Lender is not a 10% shareholder of the Borrower within the meaning of Code section 871(h)(3) or
881(c)(3)(B); and (3) the Foreign Lender is not a controlled foreign corporation that is related to
the Borrower within the meaning of Code section 881(c)(3)(C); or (iv) such other Internal Revenue
Service forms as may be applicable to the Foreign Lender, including Forms W-8 IMY or W-8 EXP. Each
such Foreign Lender shall deliver to the

32

 

Borrower and the Administrative Agent such forms on or
before the date that it becomes a party to this Agreement (or in the case of a Participant, on or
before the date such Participant purchases the related participation). In addition, each such
Foreign Lender shall deliver such forms promptly upon the obsolescence or invalidity of any form
previously delivered by such Foreign Lender. Each such Foreign Lender shall promptly notify the
Borrower and the Administrative Agent at any time that it determines that it is no longer in a
position to provide any previously delivered certificate to the Borrower (or any other form of
certification adopted by the Internal Revenue Service for such purpose).

          Section 2.19. Payments Generally; Pro Rata Treatment; Sharing of Set-offs.

          (a) The Borrower shall make each payment required to be made by it hereunder (whether of
principal, interest, fees or reimbursement of LC Disbursements, or of amounts payable under
Sections 2.16, 2.17 or 2.18, or otherwise) prior to 12:00 noon (New York
time) on the date when due, in immediately available funds, free and clear of any defenses, rights
of set-off, counterclaim, or withholding or deduction of taxes. 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 the Payment Office, except payments to
be made directly to the Issuing Bank or Swingline Lender as expressly provided herein and except
that payments pursuant to Sections 2.16, 2.17 and 2.18 and 10.3
shall be made directly to the Persons entitled thereto. 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 hereunder 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 made payable for the period
of such extension. All payments hereunder 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 or
participations in LC Disbursements or Swingline Loans that would result in such Lender receiving
payment of a greater proportion of the aggregate amount of its Revolving 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 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 and

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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 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 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 or Swingline Loans to any assignee or participant, other than to
the Borrower or any Subsidiary or Affiliate thereof (as to which the provisions of this paragraph
shall apply). The 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 Borrower rights of set-off and counterclaim with respect to
such participation as fully as if such Lender were a direct creditor of the Borrower in the amount
of such participation.

          (d) Unless the Administrative Agent shall have received notice from the Borrower 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 Borrower will not make such payment, the Administrative Agent may
assume that the Borrower 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,
the amount or amounts due. In such event, if the Borrower 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
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 2.4(c), 2.5(b), 2.19(d), 2.20(d) or (e) or
10.3(d), 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.

          Section 2.20. Letters of Credit.

          (a) During the Availability Period, the Issuing Bank, in reliance upon the agreements of the
other Lenders pursuant to Section 2.20(d), agrees to issue, at the request of the Borrower,
Letters of Credit for the account of the Borrower or any of its Subsidiaries on the terms and
conditions hereinafter set forth; provided, that (i) each Letter of Credit shall expire on
the earlier of (A) the date one year after the date of issuance of such Letter of Credit (or in the
case of any renewal or extension thereof, one year after such renewal or extension) and (B) the
date that is five (5) Business Days prior to the Revolving Commitment Termination Date; (ii) each
Letter of Credit shall be in a stated amount of at least $100,000; and (iii) the Borrower may not
request any Letter of Credit, if, after giving effect to such issuance (A) the aggregate LC
Exposure would exceed the LC Commitment or (B) the aggregate Revolving Credit Exposure of all
Lenders would exceed the Aggregate Revolving Commitment Amount. Each Lender shall be

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deemed to,
and hereby irrevocably and unconditionally agrees to, purchase from the Issuing Bank without
recourse a participation in each Letter of Credit equal to such Lender’s Pro Rata Share of the
aggregate amount available to be drawn under such Letter of Credit on the date of issuance with
respect to all other Letters of Credit. Each issuance of a Letter of Credit shall be deemed to
utilize the Revolving Commitment of each Lender by an amount equal to the amount of such
participation.

          (b) To request the issuance of a Letter of Credit (or any amendment, renewal or extension of
an outstanding Letter of Credit), the Borrower shall give the Issuing Bank and the Administrative
Agent irrevocable written notice at least three (3) Business Days prior to the requested date of
such issuance specifying the date (which shall be a Business Day) such Letter of Credit is to be
issued (or amended, extended or renewed, as the case may be), the expiration date of such Letter of
Credit, the amount of such 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. In addition to the satisfaction of the conditions in Article III, the issuance of
such Letter of Credit (or any amendment which increases the amount of such Letter of Credit) will
be subject to the further conditions that such Letter of Credit shall be in such form and contain
such terms as the Issuing Bank shall approve and that the Borrower shall have executed and
delivered any additional applications, agreements and instruments relating to such Letter of Credit
as the Issuing Bank shall reasonably require; provided, that in the event of any conflict
between such applications, agreements or instruments and this Agreement, the terms of this
Agreement shall control.

          (c) At least two Business Days prior to the issuance of any Letter of Credit, the Issuing Bank
will confirm with the Administrative Agent (by telephone or in writing) that the Administrative
Agent has received such notice and if not, the Issuing Bank will provide the Administrative Agent
with a copy thereof. Unless the Issuing Bank has received notice from the Administrative Agent on
or before the Business Day immediately preceding the date the Issuing Bank is to issue the
requested Letter of Credit (1) directing the Issuing Bank not to issue the Letter of Credit because
such issuance is not then permitted hereunder because of the limitations set forth in Section
2.20(a) or that one or more conditions specified in Article III are not then satisfied,
then, subject to the terms and conditions hereof, the Issuing Bank shall, on the requested date,
issue such Letter of Credit in accordance with the Issuing Bank’s usual and customary business
practices.

          (d) The Issuing Bank shall examine all documents purporting to represent a demand for payment
under a Letter of Credit promptly following its receipt thereof. The Issuing Bank shall notify the
Borrower and the Administrative Agent of such demand for payment and whether the Issuing Bank has
made or will make a LC Disbursement thereunder; provided, that any failure to give or delay
in giving such notice shall not relieve the Borrower of its obligation to reimburse the Issuing
Bank and the Lenders with respect to such LC Disbursement. The Borrower shall be irrevocably and
unconditionally obligated to reimburse the Issuing Bank for any LC Disbursements paid by the
Issuing Bank in respect of such drawing, without presentment, demand or other formalities of any
kind. Unless the Borrower shall have notified the Issuing Bank and the Administrative Agent prior
to 11:00 a.m. (New York time) on the Business Day immediately prior to the date on which such
drawing is honored that the Borrower intends to reimburse the Issuing Bank for the amount of such
drawing in funds other than from

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the proceeds of Revolving Loans, the Borrower shall be deemed to
have timely given a Notice of Revolving Borrowing to the Administrative Agent requesting the
Lenders to make a Base Rate Borrowing on the date on which such drawing is honored in an exact
amount due to the Issuing Bank; provided, that for purposes solely of such Borrowing, the
conditions precedents set forth in Section 3.2 hereof shall not be applicable. The
Administrative Agent shall notify the Lenders of such Borrowing in accordance with Section
2.3, and each Lender shall make the proceeds of its Base Rate Loan included in such Borrowing
available to the Administrative Agent for the account of the Issuing Bank in accordance with
Section 2.5. The proceeds of such Borrowing shall be applied directly by the
Administrative Agent to reimburse the Issuing Bank for such LC Disbursement.

          (e) If for any reason a Base Rate Borrowing may not be (as determined in the sole discretion
of the Administrative Agent), or is not, made in accordance with the foregoing provisions, then
each Lender (other than the Issuing Bank) shall be obligated to fund the participation that such
Lender purchased pursuant to subsection (a) in an amount equal to its Pro Rata Share of such LC
Disbursement on and as of the date which such Base Rate Borrowing should have occurred. Each
Lender’s obligation to fund its participation shall be absolute and unconditional and shall not be
affected by any circumstance, including without limitation (i) any setoff, counterclaim,
recoupment, defense or other right that such Lender or any other Person may have against the
Issuing Bank or any other Person for any reason whatsoever, (ii) the existence of a Default or an
Event of Default or the termination of the Aggregate Revolving Commitments, (iii) any adverse
change in the condition (financial or otherwise) of the Borrower or any of its Subsidiaries, (iv)
any breach of this Agreement by the Borrower or any other
Lender, (v) any amendment, renewal or extension of any Letter of Credit or (vi) any other
circumstance, happening or event whatsoever, whether or not similar to any of the foregoing. On
the date that such participation is required to be funded, each Lender shall promptly transfer, in
immediately available funds, the amount of its participation to the Administrative Agent for the
account of the Issuing Bank. Whenever, at any time after the Issuing Bank has received from any
such Lender the funds for its participation in a LC Disbursement, the Issuing Bank (or the
Administrative Agent on its behalf) receives any payment on account thereof, the Administrative
Agent or the Issuing Bank, as the case may be, will distribute to such Lender its Pro Rata Share of
such payment; provided, that if such payment is required to be returned for any reason to
the Borrower or to a trustee, receiver, liquidator, custodian or similar official in any bankruptcy
proceeding, such Lender will return to the Administrative Agent or the Issuing Bank any portion
thereof previously distributed by the Administrative Agent or the Issuing Bank to it.

          (f) To the extent that any Lender shall fail to pay any amount required to be paid pursuant to
paragraph (d) below on the due date therefor, such Lender shall pay interest to the Issuing Bank
(through the Administrative Agent) on such amount from such due date to the date such payment is
made at a rate per annum equal to the Federal Funds Rate; provided, that if such Lender
shall fail to make such payment to the Issuing Bank within three (3) Business Days of such due
date, then, retroactively to the due date, such Lender shall be obligated to pay interest on such
amount at the rate set forth in Section 2.11(c).

          (g) If any Event of Default shall occur and be continuing, on the Business Day that the
Borrower receives notice from the Administrative Agent or the Required Lenders demanding the
deposit of cash collateral pursuant to this paragraph, the Borrower shall deposit in

36

 

an account
with the Administrative Agent, in the name of the Administrative Agent and for the benefit of the
Issuing Bank and the Lenders, an amount in cash equal to the LC Exposure as of such date plus any
accrued and unpaid fees 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 notice of any kind, upon the occurrence of any Event of Default with
respect to the Borrower described in clause (g) or (h) of Section 8.1. Such deposit shall
be held by the Administrative Agent as collateral for the payment and performance of the
obligations of the Borrower under this Agreement. The Administrative Agent shall have exclusive
dominion and control, including the exclusive right of withdrawal, over such account. Borrower
agrees to execute any documents and/or certificates to effectuate the intent of this paragraph.
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 Borrower’s risk and
expense, such deposits shall not bear interest. Interest and 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 had not been reimbursed and
to the extent so applied, shall be held for the satisfaction of the reimbursement obligations of
the Borrower for the LC Exposure at such time or, if the maturity of the Loans has been
accelerated, with the consent of the Required Lenders, be applied to satisfy other obligations of
the Borrower under this Agreement and the other Loan Documents. If the Borrower is required to
provide an amount of cash collateral hereunder as a result of the occurrence of an Event of
Default, such amount (to the extent not so applied as aforesaid) shall be returned to the Borrower
within three Business Days after all Events of Default have been cured or waived.

          (h) Promptly following the end of each calendar quarter, the Issuing Bank shall deliver
(through the Administrative Agent) to each Lender and the Borrower a report describing the
aggregate Letters of Credit outstanding at the end of such Fiscal Quarter. Upon the request of any
Lender from time to time, the Issuing Bank shall deliver to such Lender any other information
reasonably requested by such Lender with respect to each Letter of Credit then outstanding.

          (i) The Borrower’s obligation to reimburse LC Disbursements hereunder shall be absolute,
unconditional and irrevocable and shall be performed strictly in accordance with the terms of this
Agreement under all circumstances whatsoever and irrespective of any of the following
circumstances:

     (i) Any lack of validity or enforceability of any Letter of Credit or this Agreement,
or whether any Letter of Credit was issued for the account of any Subsidiary of Borrower;

     (ii) The existence of any claim, set-off, defense or other right which the Borrower or
any Subsidiary or Affiliate of the Borrower may have at any time against a beneficiary or
any transferee of any Letter of Credit (or any Persons or entities for whom any such
beneficiary or transferee may be acting), any Lender (including the Issuing Bank) or any
other Person, whether in connection with this Agreement or the Letter of Credit or any
document related hereto or thereto or any unrelated transaction;

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     (iii) 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;

     (iv) Payment by the Issuing Bank under a Letter of Credit against presentation of a
draft or other document to the Issuing Bank that does not comply with the terms of such
Letter of Credit;

     (v) Any other event or circumstance whatsoever, whether or not similar to any of the
foregoing, that might, but for the provisions of this Section 2.20, constitute a
legal or equitable discharge of, or provide a right of setoff against, the Borrower’s
obligations hereunder; or

     (vi) The existence of a Default or an Event of Default.

Neither the Administrative Agent, the Issuing Bank, the Lenders nor any Related Party of any of the
foregoing 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 above), 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 Borrower to the extent of any actual direct
damages (as opposed to special, indirect (including claims for lost profits or other consequential
damages), or punitive damages, claims in respect of which are hereby waived by the Borrower to the
extent permitted by applicable law) suffered by the Borrower that are caused by the Issuing Bank’s
failure to exercise due care when determining whether drafts or 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 willful 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 due 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 that
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.

          (j) Each Letter of Credit shall be subject to the Uniform Customs and Practices for
Documentary Credits (1993 Revision), International Chamber of Commerce Publication No. 500, as the
same may be amended from time to time, and, to the extent not inconsistent therewith, the governing
law of this Agreement set forth in Section 10.5.

          Section 2.21. Increase of Commitments; Additional Lenders.

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          (a) So long as no Event of Default has occurred and is continuing, from time to time after the
Closing Date, Borrower may, upon at least 30 days’ written notice to the Administrative Agent (who
shall promptly provide a copy of such notice to each Lender), propose to increase the Aggregate
Commitments to an amount not to exceed $350,000,000 (the amount of any such increase, the
“Additional Commitment Amount”). Each Lender shall have the right for a period of 15 days
following receipt of such notice, to elect by written notice to the Borrower and the Administrative
Agent to increase its Revolving Commitment by a principal amount equal to its Pro Rata Share of the
Additional Commitment Amount. No Lender (or any successor thereto) shall have any obligation to
increase its Revolving Commitment or its other obligations under this Agreement and the other Loan
Documents, and any decision by a Lender to increase its Revolving Commitment shall be made in its
sole discretion independently from any other Lender.

          (b) If any Lender shall not elect to increase its Revolving Commitment pursuant to subsection
(a) of this Section 2.21, the Borrower may designate another bank or other financial
institution (which may be, but need not be, one or more of the existing Lenders) which at the time
agrees to, in the case of any such Person that is an existing Lender, increase its Revolving
Commitment and in the case of any other such Person (an “Additional Lender”), become a
party to this Agreement; provided, however, that any new bank or financial
institution must be reasonably acceptable to the Administrative Agent. The sum of the increases in
the Revolving Commitments of the existing Lenders pursuant to this subsection (b) plus the
Revolving Commitments of the Additional Lenders shall not in the aggregate exceed the unsubscribed
amount of the Additional Commitment Amount.

          (c) An increase in the aggregate amount of the Revolving Commitments pursuant to this
Section 2.21 shall become effective upon the receipt by the Administrative Agent of an
supplement or joinder in form and substance satisfactory to the Administrative Agent executed by
the Borrower and by each Additional Lender and by each other Lender whose Revolving Commitment is
to be increased, setting forth the new Revolving Commitments of such Lenders and setting forth the
agreement of each Additional Lender to become a party to this Agreement and to be bound by all the
terms and provisions hereof, together with Notes evidencing such increase in the Commitments, and
such evidence of appropriate corporate authorization on the part of the Borrower with respect to
the increase in the Revolving Commitments and such opinions of counsel for the Borrower with
respect to the increase in the Revolving Commitments as the Administrative Agent may reasonably
request.

          (d) Upon the acceptance of any such agreement by the Administrative Agent, the Aggregate
Revolving Commitment Amount shall automatically be increased by the amount of the Revolving
Commitments added through such agreement and Schedule II shall automatically be deemed
amended to reflect the Revolving Commitments of all Lenders after giving effect to the addition of
such Revolving Commitments.

          (e) Upon any increase in the aggregate amount of the Revolving Commitments pursuant to this
Section 2.21 that is not pro rata among all Lenders, (x) within five Business Days, in the
case of any Base Rate Loans then outstanding, and at the end of the then current Interest Period
with respect thereto, in the case of any Eurodollar Loans then outstanding, the Borrower shall
prepay such Loans in their entirety and, to the extent the Borrower elects to

39

 

do so and subject to
the conditions specified in Article III, the Borrower shall reborrow Loans from the Lenders
in proportion to their respective Revolving Commitments after giving effect to such increase, until
such time as all outstanding Loans are held by the Lenders in proportion to their respective
Commitments after giving effect to such increase and (y) effective upon such increase, the amount
of the participations held by each Lender in each Letter of Credit then outstanding shall be
adjusted automatically such that, after giving effect to such adjustments, the Lenders shall hold
participations in each such Letter of Credit in proportion to their respective Revolving
Commitments.

          Section 2.22. Mitigation of Obligations. If any Lender requests compensation under
Section 2.16, or if the Borrower is required to pay any additional amount to any Lender or
any Governmental Authority for the account of any Lender pursuant to Section 2.18, 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 sole judgment of such Lender, such designation or
assignment (i) would eliminate or reduce amounts payable under Section 2.16 or Section
2.18, 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
Borrower hereby agrees to pay all costs and expenses incurred by any Lender in connection with such
designation or assignment.

          Section 2.23. Extensions of Revolving Commitment Termination Date. After the first
anniversary of the Closing Date and at least 45 days prior to the scheduled Revolving
Commitment Termination Date then in effect, the Borrower may (but in no event more than once
per year or twice during the term of this Agreement), by written notice to the Administrative
Agent, request that the scheduled Revolving Commitment Termination Date then in effect be extended
for a twelve-month period, effective as of a date selected by the Borrower (the “Extension
Effective Date”); the Extension Effective Date shall be at least 45 days, but not more than 60
days, after the date such extension request is received by the Administrative Agent (the
“Extension Request Date”). Upon receipt of the extension request, the Administrative Agent
shall promptly notify each Lender thereof, and approval by the Required Lenders shall be necessary
for the extension to become effective. If a Lender agrees, in its individual and sole discretion,
to so extend its Revolving Credit Commitment (an “Extending Lender”), it shall deliver to
the Administrative Agent a written notice of its agreement to do so no later than 15 days after the
Extension Request Date (or such later date to which the Borrower and the Administrative Agent shall
agree), and the Administrative Agent shall promptly thereafter notify the Borrower of such
Extending Lender’s agreement to extend its Revolving Credit Commitment (and such agreement shall be
irrevocable until the Extension Effective Date). The Revolving Credit Commitment of any Lender
that fails to accept or respond to the Borrower’s request for extension of the Revolving Commitment
Termination Date (a “Declining Lender”) shall be terminated on the Revolving Commitment
Termination Date then in effect for such Lender (without regard to any extension by other Lenders)
and on such Revolving Commitment Termination Date the Borrower shall pay in full the unpaid
principal amount of all Loans owing to such Declining Lender, together with all accrued and unpaid
interest thereon and all fees accrued and unpaid under this Agreement to the date of such payment
of principal and all other amounts due to such Declining Lender under this Agreement. The
Administrative Agent shall promptly notify each Extending Lender of the aggregate Commitments of
the Declining Lenders. Each Extending Lender may offer to increase its respective Commitment by an
amount not to

40

 

exceed the aggregate amount of the Declining Lenders’ Commitments, and such Extending
Lender shall deliver to the Administrative Agent a notice of its offer to so increase its
Commitment no later than 30 days after the Extension Request Date (or such later date to which the
Borrower and the Administrative Agent shall agree), and such offer shall be irrevocable until the
Extension Effective Date. To the extent the aggregate amount of additional Commitments that the
Extending Lenders offer pursuant to the preceding sentence exceeds the aggregate amount of the
Declining Lenders’ Commitments, such additional Commitments shall be reduced on a pro rata basis.
To the extent the aggregate amount of Commitments that the Extending Lenders have so offered to
extend is less than the aggregate amount of Commitments that the Borrower has so requested to be
extended, the Borrower shall have the right but not the obligation to require any Declining Lender
to (and any such Declining Lender shall) assign in full its rights and obligations under this
Agreement to one or more banks or other financial institutions (which may be, but need not be, one
or more of the Extending Lenders) which at the time agree to, in the case of any such Person that
is an Extending Lender, increase its Commitment and in the case of any other such Person (a
“New Lender”) become a party to this Agreement; provided that (i) such assignment
is otherwise in compliance with Section 10.4, (ii) such Declining Lender receives payment
in full of the unpaid principal amount of all Loans owing to such Declining Lender, together with
all accrued and unpaid interest thereon and all fees accrued and unpaid under this Agreement to the
date of such payment of principal and all other amounts due to such Declining Lender under this
Agreement and (iii) any such assignment shall be effective on the date on or before such Extension
Effective Date as may be specified by
the Borrower and agreed to by the respective New Lenders and Extending Lenders, as the case
may be, and the Administrative Agent. If, but only if, Extending Lenders and New Lenders, as the
case may be, have agreed to provide Commitments in an aggregate amount greater than 50% of the
aggregate amount of the Commitments outstanding immediately prior to such Extension Effective Date
and the conditions precedent in Section 3.2 are met, the Termination Date in effect with
respect to such Extending Lenders and New Lenders shall be extended by twelve months.

ARTICLE III

CONDITIONS PRECEDENT TO LOANS AND LETTERS OF CREDIT

          Section 3.1. Conditions To Effectiveness. This Agreement shall become effective, and
the Lenders, the Swingline Lender and Issuing Bank shall be obligated to make the initial Loans and
issue the initial Letters of Credit hereunder, upon the satisfaction of the following conditions,
in addition to the conditions precedent specified in Section 3.2:

          (a) The Administrative Agent and Wachovia Bank, National Association shall have received all
fees and other amounts due and payable on or prior to the Closing Date, including reimbursement or
payment of all out-of-pocket expenses (including reasonable fees, charges and disbursements of
outside counsel to the Administrative Agent and Wachovia Bank, National Association) required to be
reimbursed or paid by the Borrower hereunder, under any other Loan Document and under any agreement
with the Administrative Agent, Wachovia Capital Markets, LLC., or SunTrust Capital Markets, Inc. as
Co-Lead Arrangers, or Wachovia Bank, National Association.

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          (b) The Administrative Agent (or its counsel) shall have received the following:

     (i) a counterpart of this Agreement signed by or on behalf of each party hereto or
written evidence satisfactory to the Administrative Agent (which may include telecopy
transmission of a signed signature page of this Agreement) that such party has signed a
counterpart of this Agreement;

     (ii) duly executed Revolving Credit Notes payable to each Lender and the Swingline Note
payable to the Swingline Lender;

     (iii) evidence satisfactory to the Administrative Agent that all amounts due and
payable under the Existing Credit Agreement to Existing Lenders that will not be Lenders
party to this Agreement have been repaid and all commitments of such lenders will be
terminated;

     (iv) a certificate of the Secretary or Assistant Secretary of the Operator, each in the
form of Exhibit 3.1(b)(iv), attaching and certifying copies of the Borrower
Partnership Agreement, the Operating Agreement or comparable organizational documents, and
copies of the articles of incorporation or partnership agreement of each Partner, and of the
resolutions of the management committee of the Borrower and other appropriate
authorizations, authorizing the execution, delivery and performance of the Loan Documents to
which it is a party and certifying the name, title and true signature of each officer of the
Operator executing the Loan Documents;

     (v) a favorable written opinion, addressed to the Administrative Agent and each of the
Lenders, and covering such matters relating to the Borrower and the Operator, the Loan
Documents and the transactions contemplated therein as the Administrative Agent or the
Required Lenders shall reasonably request, of (a) Andrews Kurth LLP, counsel to the Borrower
and the Operator, and (b) Marcia K. Anderson, Attorney to the Operator;

     (vi) a certificate in the form of Exhibit 3.1(b)(vi), dated the Closing Date
and signed by a Responsible Officer, certifying that (x) no Default or Event of Default
exists, (y) all representations and warranties of the Borrower set forth in the Loan
Documents are true and correct and (z) since the date of the financial statements of the
Borrower described in Section 4.4, there shall have been no change which has had or
could reasonably be expected to have a Material Adverse Effect;

     (vii) a duly executed Notice of Borrowing;

     (viii) a duly executed funds disbursement letter, together with a report setting forth
the sources and uses of the proceeds hereof;

     (ix) certified copies of all consents, approvals, authorizations, registrations and
filings and orders required or advisable to be made or obtained under any Requirement of
Law, or by any Contractual Obligation of the Borrower, in connection with the execution,

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delivery, performance, validity and enforceability of the Loan Documents or any of the
transactions contemplated thereby, and such consents, approvals, authorizations,
registrations, filings and orders shall be in full force and effect and all applicable
waiting periods shall have expired, and no investigation or inquiry by any governmental
authority regarding the Credit Facility or any transaction being financed with the proceeds
thereof shall be ongoing; and

     (x) copies of the audited consolidated financial statements for Borrower and its
Subsidiaries for the Fiscal Years ending December 31, 2004, December 31, 2005 and December
31, 2006.

          Section 3.2. Each Credit Event. The obligation of each Lender to make a Loan on the
occasion of any Borrowing and of the Issuing Bank to issue, amend, renew or extend any Letter of
Credit is subject to the satisfaction of the following conditions:

          (a) 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 or Event of
Default shall exist;

          (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, all representations and
warranties of the Borrower set forth in the Loan Documents shall be true and correct in all
material respects on and as of the date of such Borrowing or the date of issuance, amendment,
extension or renewal of such Letter of Credit, in each case before and after giving effect thereto;

          (c) the Borrower shall have delivered the required Notice of Borrowing; and

          (d) the Administrative Agent shall have received such other documents, certificates,
information or legal opinions as the Administrative Agent or the Required Lenders may reasonably
request, all in form and substance reasonably satisfactory to the Administrative Agent or the
Required Lenders and consistent with the terms of the Agreement.

          Each Borrowing and each issuance, amendment, extension or renewal of any Letter of Credit
shall be deemed to constitute a representation and warranty by the Borrower on the date thereof as
to the matters specified in paragraphs (a) and (b) of this Section 3.2.

          Section 3.3. Delivery of Documents. All of the Loan Documents, certificates, legal
opinions and other documents and papers referred to in this Article III, unless otherwise
specified, shall be delivered to the Administrative Agent for the account of each of the Lenders
and, except for the Notes, in sufficient counterparts or copies for each of the Lenders and shall
be in form and substance satisfactory in all respects to the Administrative Agent.

          Section 3.4. Effect of Amendment and Restatement. Upon this Agreement becoming
effective pursuant to Section 3.1, from and after the Closing Date: all terms and conditions of
the Existing Credit Agreement and any other “Loan Document” as defined therein, as amended and
restated by this Agreement and the other Loan Documents being executed and delivered on the Closing
Date, shall be and remain in full force and effect, as so amended and

43

 

restated, and shall
constitute the legal, valid, binding and enforceable obligations of the parties thereto to Lenders
and Administrative Agent. Without limiting the generality of the foregoing:

          (a) the terms and conditions of the Existing Credit Agreement shall be amended and restated as
set forth herein and, as so amended and restated, shall be amended and restated in their entirety,
but shall be amended and restated only with respect to the rights, duties and obligations among
Borrower, Lenders and Administrative Agent accruing from and after the Closing Date;

          (b) this Agreement shall not in any way release or impair the rights, duties or Obligations
created pursuant to the Existing Credit Agreement or any other Loan Document or affect the relative
priorities thereof, in each case to the extent in force and effect thereunder as of the Closing
Date, except as modified hereby or by documents, instruments and agreements
executed and delivered in connection herewith, and all of such rights, duties and Obligations,
as so modified, are assumed, ratified and affirmed by the Borrower;

          (c) all indemnification obligations of the Borrower under the Existing Credit Agreement and
any other Loan Documents shall survive the execution and delivery of this Agreement and shall
continue in full force and effect for the benefit of Lenders, Administrative Agent, and any other
Person indemnified under the Existing Credit Agreement or any other Loan Document at any time prior
to the Closing Date;

          (d) the Obligations incurred under the Existing Credit Agreement shall, to the extent
outstanding on the Closing Date, continue outstanding under this Agreement and shall not be deemed
to be paid, released, discharged, extinguished or otherwise satisfied by the execution of this
Agreement, and this Agreement shall not constitute a novation of such Obligations or any of the
other rights, duties and obligations of the parties hereunder;

          (e) the execution, delivery and effectiveness of this Agreement shall not operate as a waiver
of any right, power or remedy of Lenders or Administrative Agent under the Existing Credit
Agreement, nor constitute a waiver of any covenant, agreement or obligation under the Existing
Credit Agreement, except to the extent that any such covenant, agreement or obligation is no longer
set forth herein or is modified hereby; and

          (f) any and all references in the Loan Documents to the Existing Credit Agreement shall,
without further action of the parties, be deemed a reference to the Existing Credit Agreement, as
amended and restated by this Agreement, and as this Agreement shall be further amended or amended
and restated from time to time hereafter.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES

          The Borrower represents and warrants to the Administrative Agent and each Lender as follows:

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          Section 4.1. Existence; Power. The Borrower, each of its Subsidiaries and the
Operator (i) is duly organized, validly existing and in good standing as a corporation, partnership
or limited liability company under the laws of the jurisdiction of its organization, (ii) has all
requisite power and authority to carry on its business as now conducted, and (iii) is duly
qualified to do business, and is in good standing, in each jurisdiction where such qualification is
required, except where a failure to be so qualified could not reasonably be expected to result in a
Material Adverse Effect.

          Section 4.2. Organizational Power; Authorization. The execution, delivery and
performance by the Borrower of the Loan Documents are within such Person’s organizational powers
and have been duly authorized by all necessary organizational, and if required,
shareholder, partner or member, action. This Agreement has been duly executed and delivered by
the Borrower, and constitutes, and each other Loan Document to which the Borrower is a party, when
executed and delivered by the Borrower, will constitute, valid and binding obligations of the
Borrower, enforceable against it in accordance with their respective terms, except as may be
limited by applicable bankruptcy, insolvency, reorganization, moratorium, or similar laws affecting
the enforcement of creditors’ rights generally and by general principles of equity.

          Section 4.3. Governmental Approvals; No Conflicts. The execution, delivery and
performance by the Borrower of this Agreement and the other Loan Documents (a) do not require any
consent or approval of, registration or filing with, or any action by, any Governmental Authority,
except those as have been obtained or made and are in full force and effect, (b) will not violate
any Requirements of Law applicable to the Borrower and any of its Subsidiaries, or any judgment,
order or ruling of any Governmental Authority, (c) will not violate or result in a default under
any indenture, agreement or other instrument binding on the Borrower or any of its Subsidiaries or
any of its assets or give rise to a right thereunder to require any payment to be made by the
Borrower or any of its Subsidiaries, in each case other than violations, defaults or rights which
could not reasonably 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 the Borrower or any of its Subsidiaries,
except Liens (if any) created under the Loan Documents.

          Section 4.4. Financial Statements. The Borrower has furnished to each Lender the
audited consolidated balance sheet of the Borrower and its Subsidiaries as of December 31, 2006 and
the related consolidated statements of income, shareholders’ equity and cash flows for the Fiscal
Year then ended prepared by KPMG, LLP. Such financial statements fairly present the consolidated
financial condition of the Borrower and its Subsidiaries as of such dates and the consolidated
results of operations for such periods in conformity with GAAP consistently applied. As of the
Closing Date, since December 31, 2006, there have been no changes with respect to the Borrower and
its Subsidiaries which have had or could reasonably be expected to have, singly or in the
aggregate, a Material Adverse Effect.

          Section 4.5. Litigation and Environmental Matters.

          (a) No litigation, investigation or proceeding of or before any arbitrators or Governmental
Authorities is pending against or, to the knowledge of the Borrower, threatened against or
affecting the Borrower or any of its Subsidiaries (i) as to which there is a reasonable

45

 

possibility
of an adverse determination that could reasonably be expected to have, either individually or in
the aggregate, a Material Adverse Effect or (ii) which in any manner draws into question the
validity or enforceability of this Agreement or any other Loan Document.

          (b) Except for the matters set forth on Schedule 4.5, neither the Borrower nor any of
its Subsidiaries (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, that, in each case, could reasonably be expected to have, either
individually or in the aggregate, a Material Adverse Effect.

          Section 4.6. Compliance with Laws and Agreements. The Borrower and each Subsidiary is
in compliance with (a) its Tariff, all Requirements of Law and all judgments, decrees and orders of
any Governmental Authority and (b) all indentures, agreements or other instruments binding upon it
or its properties, except where non-compliance, either singly or in the aggregate, could not
reasonably be expected to result in a Material Adverse Effect.

          Section 4.7. Investment Company Act, Etc. Neither the Borrower nor any of its
Subsidiaries is (a) an “investment company” or is “controlled” by an “investment company”, as such
terms are defined in, or subject to regulation under, the Investment Company Act of 1940, as
amended or (b) otherwise subject to any other regulatory scheme limiting its ability to incur debt
or requiring any approval or consent from or registration or filing with, any Governmental
Authority in connection therewith.

          Section 4.8. Taxes. The Borrower and its Subsidiaries and each other Person for whose
taxes the Borrower or any Subsidiary could become liable have timely filed or caused to be filed
all Federal income tax returns and all other material tax returns that are required to be filed by
them, and have paid all taxes shown to be due and payable on such returns or on any assessments
made against it or its property and all other taxes, fees or other charges imposed on it or any of
its property by any Governmental Authority, except where the same are currently being contested in
good faith by appropriate proceedings and for which the Borrower or such Subsidiary, as the case
may be, has set aside on its books adequate reserves in accordance with GAAP. The charges,
accruals and reserves on the books of the Borrower and its Subsidiaries in respect of such taxes
are adequate, and no tax liabilities that could be materially in excess of the amount so provided
are anticipated.

          Section 4.9. Margin Regulations. None of the proceeds of any of the Loans or Letters
of Credit will be used, directly or indirectly, for “purchasing” or “carrying” any “margin stock”
with the respective meanings of each of such terms under Regulation U of the Board of Governors of
the Federal Reserve System as now and from time to time hereafter in effect or for any purpose that
violates the provisions of the Regulation U. Neither the Borrower nor its Subsidiaries is engaged
principally, or as one of its important activities, in the business of extending credit for the
purpose of purchasing or carrying “margin stock.”

          Section 4.10. 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

46

 

reasonably
expected to occur, could reasonably be expected to result in a Material Adverse Effect. The
present value of all accumulated benefit obligations under each Plan (based on the assumptions used
for purposes of Statement of Financial Standards No. 87) did not, as of the date of the most recent
financial statements reflecting such amounts, exceed the fair market value of the assets of such
Plan, and the present value of all accumulated benefit obligations of all underfunded Plans (based
on the assumptions
used for purposes of Statement of Financial Standards No. 87) did not, as of the date of the
most recent financial statements reflecting such amounts, exceed the fair market value of the
assets of all such underfunded Plans.

          Section 4.11. Ownership of Property.

          (a) Each of the Borrower and its Subsidiaries has good title to, or valid leasehold or
easement interests in, all of its real and personal property material to the operation of its
business, including all such properties reflected in the most recent audited consolidated balance
sheet of the Borrower referred to in Section 4.4 or purported to have been acquired by the
Borrower or any Subsidiary after said date (except as sold or otherwise disposed of in the ordinary
course of business), in each case free and clear of Liens prohibited by this Agreement except to
the extent that the failure to have such good title or that such Liens exist could not reasonably
be expected to result in a Material Adverse Effect. All leases that individually or in the
aggregate are material to the business or operations of the Borrower and its Subsidiaries are valid
and subsisting and are in full force.

          (b) Each of the Borrower and its Subsidiaries owns, or is licensed, or otherwise has the
right, to use, all patents, trademarks, service marks, trade names, copyrights and other
intellectual property material to its business, and the use thereof by the Borrower and its
Subsidiaries does not infringe in any material respect on the rights of any other Person except to
the extent that the failure to do so could not reasonably be expected to result in a Material
Adverse Effect.

          (c) The properties of the Borrower and its Subsidiaries are insured with financially sound and
reputable insurance companies which are not Affiliates of the Borrower, in such amounts with such
deductibles and covering such risks as are customarily carried by companies engaged in similar
businesses and owning similar properties in localities where the Borrower or any applicable
Subsidiary operates.

          Section 4.12. Disclosure. The Borrower has disclosed to the Lenders all agreements,
instruments, and corporate or other restrictions to which the Borrower or any of its Subsidiaries
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 reports (including without limitation all reports that the Borrower is
required to file with the Securities and Exchange Commission), financial statements, certificates
or other information furnished by or on behalf of the Borrower to the Administrative Agent or any
Lender in connection with the negotiation or syndication of this Agreement or any other Loan
Document or delivered hereunder or thereunder (as modified or supplemented by any other information
so furnished) contains any material misstatement of fact or omits to state any material fact
necessary to make the statements therein, in each case when taken as a whole, in light of the
circumstances under which they were made, not misleading.

47

 

          Section 4.13. Labor Relations. There are no strikes, lockouts or other material labor
disputes or grievances against the Borrower
or any of its Subsidiaries, or, to the Borrower’s knowledge, threatened against or affecting
the Borrower or any of its Subsidiaries, and no significant unfair labor practice, charges or
grievances are pending against the Borrower or any of its Subsidiaries, or to the Borrower’s
knowledge, threatened against any of them before any Governmental Authority. All payments due from
the Borrower or any of its Subsidiaries pursuant to the provisions of any collective bargaining
agreement have been paid or accrued as a liability on the books of the Borrower or any such
Subsidiary, except where the failure to do so could not reasonably be expected to have a Material
Adverse Effect.

          Section 4.14. Subsidiaries. Schedule 4.14 sets forth the name of, the
jurisdiction of incorporation or organization of, and the type of, each Subsidiary, in each case as
of the Closing Date.

          Section 4.15. Insolvency. After giving effect to the execution and delivery of the
Loan Documents, the making of the Loans under this Agreement, neither the Borrower nor its
Subsidiaries will be “insolvent,” within the meaning of such term as defined in § 101 of Title 11
of the United States Code, as amended from time to time, or be unable to pay its debts generally as
such debts become due, or have an unreasonably small capital to engage in any business or
transaction, whether current or contemplated.

          Section 4.16. OFAC. The Borrower (i) is not a person whose property or interest in
property is blocked or subject to blocking pursuant to Section 1 of Executive Order 13224 of
September 23, 2001 Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten
to Commit, or Support Terrorism (66 Fed. Reg. 49079 (2001)), (ii) does not engage in any dealings
or transactions prohibited by Section 2 of such executive order, and is not otherwise associated
with any such person in any manner violative of Section 2, and (iii) is not a person on the list of
Specially Designated Nationals and Blocked Persons or subject to the limitations or prohibitions
under any other U.S. Department of Treasury’s Office of Foreign Assets Control regulation or
executive order.

          Section 4.17. Patriot Act. The Borrower is in compliance, in all material respects,
with (i) the Trading with the Enemy Act, as amended, and each of the foreign assets control
regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended)
and any other enabling legislation or executive order relating thereto, and (ii) the Uniting And
Strengthening America By Providing Appropriate Tools Required To Intercept And Obstruct Terrorism
(USA Patriot Act of 2001). No part of the proceeds of the Loans will be used, directly or
indirectly, for any payments to any governmental official or employee, political party, official of
a political party, candidate for political office, or anyone else acting in an official capacity,
in order to obtain, retain or direct business or obtain any improper advantage, in violation of the
United States Foreign Corrupt Practices Act of 1977, as amended.

          Section 4.18. Partnership Agreement. The Borrower Partnership Agreement is in full
force and effect.

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ARTICLE V

AFFIRMATIVE COVENANTS

          The Borrower covenants and agrees that so long as any Lender has a Commitment hereunder or any
Obligation remains unpaid or outstanding:

          Section 5.1. Financial Statements and Other Information. The Borrower will deliver to
the Administrative Agent and each Lender:

          (a) as soon as available and in any event within 120 days after the end of each Fiscal Year of
Borrower, a copy of the annual audited report for such Fiscal Year for the Borrower and its
Subsidiaries, containing a consolidated balance sheet of the Borrower and its Subsidiaries as of
the end of such Fiscal Year and the related consolidated statements of income, stockholders’ equity
and cash flows (together with all footnotes thereto) of the Borrower and its Subsidiaries for such
Fiscal Year, setting forth in each case in comparative form the figures for the previous Fiscal
Year, all in reasonable detail and reported on by KPMG, LLP or other independent public accountants
of nationally recognized standing (without a “going concern” or like qualification, exception or
explanation and without any qualification or exception as to scope of such audit) to the effect
that such financial statements present fairly in all material respects the financial condition and
the results of operations of the Borrower and its Subsidiaries for such Fiscal Year on a
consolidated and consolidating basis in accordance with GAAP and that the examination by such
accountants in connection with such consolidated financial statements has been made in accordance
with generally accepted auditing standards;

          (b) as soon as available and in any event within 60 days after the end of each Fiscal Quarter
of the Borrower, an unaudited consolidated and consolidating balance sheet of the Borrower and its
Subsidiaries as of the end of such Fiscal Quarter and the related unaudited consolidated and
consolidating statements of income and cash flows of the Borrower and its Subsidiaries for such
Fiscal Quarter and the then elapsed portion of such Fiscal Year, setting forth in each case in
comparative form the figures for the corresponding quarter and the corresponding portion of
Borrower’s previous Fiscal Year;

          (c) concurrently with the delivery of the financial statements referred to in clauses (a) and
(b) above, a Compliance Certificate signed by a Responsible Officer;

          (d) promptly after the same become publicly available, copies of all periodic and other
reports, proxy statements and other materials filed with the Securities and Exchange Commission, or
any Governmental Authority succeeding to any or all functions of said Commission, and all annual
financial reports which the Borrower files with FERC or the Department of Energy; and

          (e) promptly following any request therefor, such other information regarding the results of
operations, business affairs and financial condition of the Borrower or any Subsidiary as the
Administrative Agent or any Lender may reasonably request.

          Section 5.2. Notices of Material Events. The Borrower will furnish to the
Administrative Agent prompt written notice of the following:

49

 

          (a) the occurrence of any Default or Event of Default;

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

          (c) the occurrence of any event or any other development by which the Borrower or any of its
Subsidiaries (i) fails 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) becomes subject to
any Environmental Liability, (iii) receives notice of any claim with respect to any Environmental
Liability, or (iv) becomes aware of any basis for any Environmental Liability and in each of the
preceding clauses, which individually or in the aggregate, could reasonably be expected to result
in a Material Adverse Effect;

          (d) 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 the Borrower and its
Subsidiaries in an aggregate amount exceeding $15,000,000;

          (e) the occurrence of any default or event of default, or the receipt by Borrower or any of
its Subsidiaries of any written notice of an alleged default or event of default, respect of any
Material Indebtedness of the Borrower or any of its Subsidiaries,

          (f) the occurrence of any material default under any Service Agreement (other than a T-1R
Service Agreement) with a Shipper or any action or inaction by itself or any Shipper which but for
the lapse of time or the giving of notice or both would become a material default under its Service
Agreement which could reasonably be expected to result in a Material Adverse Effect, accompanied by
a written statement of the executive officer of the Borrower or the Operator which sets forth, so
far as is known to such officer, the relevant details of such default, action or inaction and any
action the Borrower or the Shipper has taken or proposes to take with respect thereto;

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

Each notice delivered under this Section 5.2 shall be accompanied by a written statement of
a Responsible Officer 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 5.3. Existence; Conduct of Business. The Borrower will, and will cause each
of its Subsidiaries to, do or cause to be done all things necessary to preserve, renew and maintain
in full force and effect its legal existence and its respective rights, licenses, permits,
privileges, franchises, patents, copyrights, trademarks and trade names material to the conduct of
its business and will continue to engage in the same business as presently conducted or such other
businesses that are reasonably related thereto; provided, that nothing in this Section
5.3 shall prohibit any merger, consolidation, liquidation or dissolution permitted under
Section 7.3.

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          Section 5.4. Compliance with Laws, Etc. The Borrower will, and will cause each of its
Subsidiaries to, comply with its Tariff and all laws, rules, regulations and requirements of any
Governmental Authority applicable to its business and properties, including without limitation, all
Environmental Laws, ERISA and OSHA, except where the failure to do so, either individually or in
the aggregate, could not reasonably be expected to result in a Material Adverse Effect.

          Section 5.5. Payment of Obligations. The Borrower will, and will cause each of its
Subsidiaries to, pay and discharge at or before maturity, all of its obligations and liabilities
(including without limitation all tax liabilities and claims that could result in a statutory Lien)
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) the Borrower or such
Subsidiary has set aside on its books adequate reserves with respect thereto in accordance with
GAAP and (c) the failure to make payment pending such contest could not reasonably be expected to
result in a Material Adverse Effect.

          Section 5.6. Books and Records. The Borrower will, and will cause each of its
Subsidiaries to, keep proper books of record and account in which full, true and correct entries
shall be made of all dealings and transactions in relation to its business and activities to the
extent necessary to prepare the consolidated financial statements of Borrower in conformity with
law or GAAP with respect to which such Person is required to maintain written records in relation
to its business and activities.

          Section 5.7. Visitation, Inspection, Etc. The Borrower will, and will cause each of
its Subsidiaries to, permit any representative of the Administrative Agent or any Lender, to visit
and inspect its properties, to examine its books and records and to make copies and take extracts
therefrom, and to discuss its affairs, finances and accounts with any of its officers and with its
independent certified public accountants, all at such reasonable times and as often as the
Administrative Agent or any Lender may reasonably request after reasonable prior notice to the
Borrower; provided, however, if an Event of Default has occurred and is continuing,
no prior notice shall be required.

          Section 5.8. Maintenance of Properties; Insurance. The Borrower will, and will cause
each of its Subsidiaries to, (a) keep and maintain all property material to the conduct of its
business (including the Pipeline) in good working order and condition, ordinary wear and tear
excepted and (b) maintain with financially sound and reputable insurance companies, insurance with
respect to its properties and business, and the properties and business of its Subsidiaries,
against loss or damage of the kinds customarily insured against by companies in the same or similar
businesses operating in the same or similar locations.

          Section 5.9. Use of Proceeds and Letters of Credit. The Borrower will use the
proceeds of all Loans to refinance existing indebtedness, to finance permitted acquisitions, to pay
related fees and expenses, to issue Letters of Credit and to provide for working capital needs and
for other general business purposes of the Borrower and its Subsidiaries, including capital
expenditures. No part of the proceeds of any Loan will be used, whether directly or indirectly,
for any purpose that would violate any rule or regulation of the Board of Governors of the

51

 

Federal
Reserve System, including Regulations T, U or X. All Letters of Credit will be used for general
business purposes.

          Section 5.10. Pari Passu Status. The Borrower will ensure the claims and rights of
the Lenders against it under this Agreement and each other Loan Document will not be subordinate
to, and will rank at all times at least pari passu with, all other unsecured Debt of the Borrower.
The Borrower will not amend, modify or supplement the Indentures or the Senior Notes in any manner
that would make them materially more onerous to the Borrower than the provisions of this Agreement
and the Notes as in effect from time to time.

          Section 5.11. Maintenance of Tax Status. Except to the extent otherwise required in
the Borrower Partnership Agreement, the Borrower shall take all action necessary to prevent it from
being, and will take no action which would have the effect of causing the Borrower to be, treated
as an association taxable as a corporation or otherwise to be taxed as an entity for federal income
tax purposes.

          Section 5.12. Maintenance of Tariff The Borrower shall use best efforts to cause
Tariff to remain effective.

          Section 5.13. Shipper Credit Quality. The Borrower will require all Shippers to meet
the credit worthiness standards of the Borrower’s Tariff and the Borrower’s historical credit
practices (except to the extent changes to such credit practices are required as a result of any
FERC proceeding) and, if necessary, to provide credit enhancement consistent with Borrower’s Tariff
and such credit practices.

          Section 5.14. 2002 Indenture. The Borrower will pay all amounts outstanding under
the 6.25% Senior Notes dated as of April 29, 2002 on or prior to their maturity date and terminate
their commitments under the indenture associated therewith.

ARTICLE VI

FINANCIAL COVENANTS

          The Borrower covenants and agrees that so long as any Lender has a Commitment hereunder or any
Obligation remains unpaid or outstanding:

          Section 6.1. Leverage Ratio. The Borrower will maintain at all times a Leverage Ratio
of not greater than 4.750:1.00 (the “Required Threshold”); provided,
however, that if the Borrower consummates one or more acquisitions permitted hereunder in
which the aggregate purchase price of all such acquisitions exceeds $25,000,000, then the Required
Threshold shall be increased to 5.50:1.00 for the first three full fiscal reporting periods during
any 12-month period immediately following the consummation of such acquisitions. For the purposes
of computing the Leverage Ratio, Consolidated EBITDA shall include Material Project EBITDA
Adjustments and to the extent Consolidated Total Debt includes outstanding amounts under Hybrid
Securities, then a portion of the amount of such Hybrid Securities not to exceed a total of 15% of
consolidated total capitalization may be excluded from Consolidated Total Debt.

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ARTICLE VII

NEGATIVE COVENANTS

          The Borrower covenants and agrees that so long as any Lender has a Commitment hereunder or any
Obligation remains unpaid or outstanding:

          Section 7.1. Indebtedness. The Borrower will not permit any of its Subsidiaries to,
create, incur, assume or suffer to exist any Indebtedness, except Indebtedness in an aggregate
outstanding principal amount at any one time outstanding not to exceed 5% of Partners’ Capital at
such time. Borrower will not, and will not permit any Subsidiary to, issue any preferred stock or
other preferred equity interests that (i) matures or is mandatorily redeemable pursuant to a
sinking fund obligation or otherwise, (ii) is or may become redeemable or repurchaseable by
Borrower or such Subsidiary at the option of the holder thereof, in whole or in part or (iii) is
convertible or exchangeable at the option of the holder thereof for Indebtedness or preferred stock
or any other preferred equity interests described in this paragraph, on or prior to, in the case of
clause (i), (ii) or (iii), the first anniversary of the Revolving Commitment Termination Date.

          Section 7.2. Negative Pledge. The Borrower will not, and will not permit any of its
Subsidiaries to, create, incur, assume or
suffer to exist any Lien on any of its assets or property now owned or hereafter acquired or,
except:

          (a) Permitted Encumbrances;

          (b) any Liens on any property or asset of the Borrower or any Subsidiary existing on the
Closing Date set forth on Schedule 7.2; provided, that such Lien shall not apply to
any other property or asset of the Borrower or any Subsidiary;

          (c) purchase money Liens upon or in any fixed or capital assets to secure the purchase price
or the cost of construction or improvement of such fixed or capital assets or to secure
Indebtedness incurred solely for the purpose of financing the acquisition, construction or
improvement of such fixed or capital assets (including Liens securing any Capital Lease
Obligations); provided, that (i) such Lien secures Indebtedness permitted by Section
7.1, (ii) such Lien attaches to such asset concurrently or within 90 days after the
acquisition, improvement or completion of the construction thereof; (iii) such Lien does not extend
to any other asset; and (iv) the Indebtedness secured thereby does not exceed the cost of
acquiring, constructing or improving such fixed or capital assets;

          (d) any Lien (i) existing on any asset of any Person at the time such Person becomes a
Subsidiary of the Borrower, (ii) existing on any asset of any Person at the time such Person is
merged with or into the Borrower or any Subsidiary of the Borrower or (iii) existing on any asset
prior to the acquisition thereof by the Borrower or any Subsidiary of the Borrower;
provided, that any such Lien was not created in the contemplation of any of the foregoing
and any such Lien secures only those obligations which it secures on the date that such Person
becomes a Subsidiary or the date of such merger or the date of such acquisition; and

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          (e) extensions, renewals, or replacements of any Lien referred to in paragraphs (a) through
(d) of this Section 7.2; provided, that the principal amount of the Indebtedness
secured thereby is not increased and that any such extension, renewal or replacement is limited to
the assets originally encumbered thereby;

          (f) any Liens (i) in favor of the Administrative Agent arising under Section 2.20(g)
and (ii) in favor of any trustee under any indentures governing Indebtedness of the Borrower or any
of its Subsidiaries securing unpaid fees of such trustee in collateral in possession of such
trustee.

          Section 7.3. Fundamental Changes.

          (a) The Borrower will not, and will not permit any Subsidiary to, merge into or consolidate
into any other Person, or permit any other Person to merge into or consolidate with it, or sell,
lease, transfer or otherwise dispose of (in a single transaction or a series of transactions) all
of its assets (in each case, whether now owned or hereafter acquired) or all or substantially all
of the stock of or other equity interest in any of its Subsidiaries (in each case, whether now
owned or hereafter acquired) or liquidate or dissolve; provided, that if at the time
thereof and immediately after giving effect thereto, no Default or Event of Default shall have
occurred and be continuing, then (i) the Borrower or any Subsidiary may merge with a Person if
the Borrower (or such Subsidiary if the Borrower is not a party to such merger) is the
surviving Person, (ii) any Subsidiary may merge into another Subsidiary; (iii) any Subsidiary may
sell, transfer, lease or otherwise dispose of all or substantially all of its assets to the
Borrower and (iv) any Subsidiary may sell, lease, transfer or otherwise dispose of (in a single
transaction or a series of transactions) all of its assets (in each case, whether now owned or
hereafter acquired) or all or substantially all of the stock of or other equity interest or may
liquidate or dissolve if no Default or Event of Default has occurred and is continuing or would
result therefrom, and the Borrower determines in good faith that such sale, lease, transfer,
disposition, liquidation or dissolution is in the best interests of the Borrower and is not
materially disadvantageous to the Lenders; provided, however, that (x) in no event
shall any such merger, consolidation, sale, transfer, lease or other disposition whether or not
otherwise permitted by this Section 7.3 have the effect of releasing the Borrower from any
of its obligations and liabilities under this Agreement or the other Loan Documents and (y) in no
event shall the Borrower merge or consolidate with or into any other Person, or sell, assign, lease
or otherwise dispose of (whether in one transaction or in a series of transactions) all or
substantially all of its business and assets (whether now owned or hereafter acquired) to, any
Person, except pursuant to Section 14 or Section 15 (to the extent it applies to a merger pursuant
to Section 14) of the Borrower Partnership Agreement.

          (b) The Borrower shall not lease, sell or otherwise dispose of its assets to any other Person
except: (i) sales of inventory and other assets in the ordinary course of business, (ii) leases,
sales or other dispositions of its assets that, together with all other assets of Borrower
previously leased, sold or disposed of (other than disposed of pursuant to this Section
7.3(b)) during the twelve-month period ending with the month in which any such lease, sale or
other disposition occurs, do not constitute a substantial portion of the assets of Borrower, (iii)
sales of assets which are concurrently leased back, (iv) dispositions of assets which are obsolete
or no longer used or useful in the business of Borrower, and (v) as permitted pursuant to Section
14 or

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Section 15 (to the extent it applies to a merger pursuant to Section 14) of the Borrower
Partnership Agreement.

          (c) The Borrower will not, and will not permit any of its Subsidiaries to, engage in any
business other than the operation of the Pipeline, the construction and operation of additions,
extensions and expansions related to the Pipeline, the ownership and operation of any other
pipelines, gas storage facilities and related equipment and Property, and services related to the
transportation and marketing of natural gas.

          Section 7.4. Investments, Loans, Etc. The Borrower will not, and will not permit any
of its Subsidiaries 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 common stock, evidence 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 (all of the
foregoing being collectively called “Investments”), or purchase or otherwise acquire (in
one transaction or a series of transactions) any assets of any other Person that constitute a
business unit, or create or form any Subsidiary, except:

          (a) Investments (other than Permitted Investments) existing on the date hereof and set forth
on Schedule 7.4 (including Investments in Subsidiaries);

          (b) Permitted Investments;

          (c) Guarantees constituting Indebtedness permitted by Section 7.1;

          (d) loans or advances to employees, officers or directors of the Borrower or any Subsidiary in
the ordinary course of business for travel, relocation and related expenses; provided,
however, that the aggregate amount of all such loans and advances does not exceed
$1,000,000 at any time;

          (e) Hedging Transactions permitted by Section 7.10;

          (f) Investments consisting of advances in the ordinary course of business in the operation of
the Pipeline, the construction of additional gas compressor facilities on the Pipeline or the
retrofitting of gas compressor facilities existing on the Pipeline;

          (g) Purchases or other acquisitions of the capital stock or obligations of, or any interest
in, any other Person not in excess in the aggregate for all such purchases and acquisitions of 5%
of Partners’ Capital, provided that after giving effect to such purchase or acquisition, no Event
of Default shall have occurred and be continuing or will result therefrom; or

          (h) Investments permitted by Section 7.3(c).

          Section 7.5. Restricted Payments. The Borrower will not, and will not permit its
Subsidiaries to, declare or make, or agree to pay or make, directly or indirectly, any dividend on
any class of its stock, or make any payment on account of, or set apart assets for a sinking or

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other analogous fund for, the purchase, redemption, retirement, defeasance or other acquisition of,
any shares of common stock or Indebtedness subordinated to the Obligations of the Borrower or any
Guarantee thereof or any options, warrants, or other rights to purchase such common stock or such
Indebtedness, whether now or hereafter outstanding (each, a “Restricted Payment”), except
for (i) dividends payable by the Borrower solely in shares of any class of its common stock, (ii)
Restricted Payments made by any Subsidiary to the Borrower or to another Subsidiary, on at least a
pro rata basis with any other shareholders if such Subsidiary is not wholly owned by the Borrower
and other wholly owned Subsidiaries, and (iii) if no Event of Default has occurred or would result
therefrom, distributions on the partnership interests in accordance with the Borrower Partnership
Agreement.

          Section 7.6. Reserved.

          Section 7.7. Transactions with Affiliates. Except as set forth in Schedule
7.7, the Borrower will not, and will not permit any of its Subsidiaries 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) in the ordinary course of business at
prices and on terms and conditions not less favorable to the Borrower or such Subsidiary than
could be obtained on an arm’s-length basis from unrelated third parties, and (b) any Restricted
Payment permitted by Section 7.5.

          Section 7.8. Restrictive Agreements. The Borrower will not, and will not permit any
Subsidiary to, directly or indirectly, enter into, incur or permit to exist any agreement that
prohibits, restricts or imposes any condition upon (a) the ability of the Borrower or any
Subsidiary to create, incur or permit any Lien upon any of its assets or properties, whether now
owned or hereafter acquired or (b) the ability of any Subsidiary to pay dividends or other
distributions with respect to its common stock, to make or repay loans or advances to the Borrower
or any other Subsidiary, to Guarantee Indebtedness of the Borrower or any other Subsidiary or to
transfer any of its property or assets to the Borrower or any Subsidiary of the Borrower;
provided, that (i) the foregoing shall not apply to restrictions or conditions imposed by
law or by this Agreement or any other Loan Document, (ii) the foregoing shall not apply to
customary restrictions and conditions contained in agreements relating to the sale of a Subsidiary
pending such sale, provided such restrictions and conditions apply only to the Subsidiary that is
sold and such sale is permitted hereunder, (iii) clause (a) shall not apply to restrictions or
conditions imposed by any agreement relating to secured Indebtedness permitted by this Agreement if
such restrictions and conditions apply only to the property or assets securing such Indebtedness
and (iv) clause (a) shall not apply to customary provisions in leases restricting the assignment
thereof.

          Section 7.9. Government Regulations. The Borrower will not conduct its business in
such a way that it will become subject to regulation under the Investment Company Act of 1940, as
amended, the Federal Power Act, as amended, or any other Law (other than Regulations T, U, and X of
the Board of Governors of the Federal Reserve System) which regulates the incurrence of
Indebtedness.

          Section 7.10. Hedging Transactions. The Borrower will not, and will not permit any of
the Subsidiaries to, enter into any Hedging Transaction, other than Hedging

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Transactions entered
into in the ordinary course of business to hedge or mitigate risks to which the Borrower or any
Subsidiary is exposed in the conduct of its business or the management of its liabilities. Solely
for the avoidance of doubt, the Borrower acknowledges that a Hedging Transaction entered into for
speculative purposes or of a speculative nature (which shall be deemed to include any Hedging
Transaction under which the Borrower or any of the Subsidiaries is or may become obliged to make
any payment (i) in connection with the purchase by any third party of any common stock or any
Indebtedness or (ii) as a result of changes in the market value of any common stock or any
Indebtedness) is not a Hedging Transaction entered into in the ordinary course of business to hedge
or mitigate risks.

          Section 7.11. Accounting Changes. The Borrower will not, and will not permit any of
its Subsidiaries to, make any significant change in accounting treatment or reporting practices,
except as required by law or GAAP with respect to which the Borrower and its Subsidiaries is
required to maintain written records in relation to its business and activities, or change the
fiscal year of the Borrower or of
any of its Subsidiaries, except to change the fiscal year of a Subsidiary to conform its
fiscal year to that of the Borrower.

          Section 7.12. Restrictions on Agreements Governing Indebtedness. The Borrower will
not, and will not permit any of its Subsidiaries to, enter into or otherwise become a party to any
agreement governing Indebtedness of the Borrower or such Subsidiary which contains any redemption
or “put rights” with respect to such Indebtedness.

          Section 7.13. Certain Amendments to Cash Distribution Policies and Borrower Partnership
Agreement. The Borrower agrees that it shall not consent to, vote in favor of or permit any
amendment of (a) its cash distribution policies of in any manner which would result in a Material
Adverse Event or materially adversely affect the rights and remedies of Lenders under and in
connection with this Agreement, the Notes or any other Loan Document; or (b) the Borrower
Partnership Agreement, in any manner which would (i) have a material adverse effect on the rights
and remedies of Lenders under and in connection with this Agreement, the Notes or any other Loan
Document; or (ii) result in a Material Adverse Event.

ARTICLE VIII

EVENTS OF DEFAULT

          Section 8.1. Events of Default. If any of the following events (each an “Event of
Default”) shall occur:

          (a) the Borrower shall fail to pay any principal of any Loan or of 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 or otherwise; or

          (b) the Borrower shall fail to pay any interest on any Loan or any fee or any other amount
(other than an amount payable under clause (a) of this Section 8.1) payable under

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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 (5) days; or

          (c) any representation or warranty made or deemed made by or on behalf of the Borrower or any
Subsidiary in or in connection with this Agreement or any other Loan Document (including the
Schedules attached thereto) and any amendments or modifications hereof or waivers hereunder, or in
any certificate, report, financial statement or other document submitted to the Administrative
Agent or the Lenders by the Borrower or any representative of the Borrower pursuant to or in
connection with this Agreement or any other Loan Document shall prove to be incorrect in any
material respect when made or deemed made or submitted; or

          (d) the Borrower shall fail to observe or perform any covenant or agreement contained in
Sections 5.1, 5.2, or 5.3 (with respect to the Borrower’s existence) or
Articles VI or VII; or

          (e) the Borrower shall fail to observe or perform any covenant or agreement contained in this
Agreement (other than those referred to in clauses (a), (b) and (d) above) or any other Loan
Document, and such failure shall remain unremedied for 30 days after the earlier of (i) any officer
of the Borrower becomes aware of such failure, or (ii) notice thereof shall have been given to the
Borrower by the Administrative Agent or any Lender; or

          (f) the Borrower or any Subsidiary (whether as primary obligor or as guarantor or other
surety) shall fail to pay any principal of, or premium or interest on, any Material Indebtedness
that is outstanding, when and as the same shall become due and payable (whether at scheduled
maturity, required prepayment, acceleration, demand or otherwise), and such failure shall continue
after the applicable grace period, if any, specified in the agreement or instrument evidencing or
governing such Indebtedness; or any other event shall occur or condition shall exist under any
agreement or instrument relating to such Indebtedness and shall continue after the applicable grace
period, if any, specified in such agreement or instrument, if the effect of such event or condition
is to accelerate, or permit the acceleration of, the maturity of such Indebtedness; or any such
Indebtedness shall be declared to be due and payable, or required to be prepaid or redeemed (other
than by a regularly scheduled required prepayment or redemption), purchased or defeased, or any
offer to prepay, redeem, purchase or defease such Indebtedness shall be required to be made, in
each case prior to the stated maturity thereof;; or

          (g) the Borrower or any Subsidiary shall (i) commence a voluntary case or other proceeding or
file any petition seeking liquidation, reorganization or other relief under any federal, state or
foreign bankruptcy, insolvency or other similar law now or hereafter in effect or seeking the
appointment of a custodian, trustee, receiver, liquidator or other similar official of it or any
substantial part of its property, (ii) consent to the institution of, or fail to contest in a
timely and appropriate manner, any proceeding or petition described in clause (i) of this
Section 8.1, (iii) apply for or consent to the appointment of a custodian, trustee,
receiver, liquidator or other similar official for the Borrower or any such 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 benefit of
creditors, or (vi) take any action for the purpose of effecting any of the foregoing; or

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

          (i) the Borrower or any Subsidiary shall become unable to pay, shall admit in writing its
inability to pay, or shall fail to pay, its debts as they become due; or

          (j) an ERISA Event shall have occurred that, in the opinion of the Required Lenders, when
taken together with other ERISA Events that have occurred, could reasonably be expected to result
in liability to the Borrower and the Subsidiaries in an aggregate amount exceeding $15,000,000; or

          (k) any judgment or order for the payment of money in excess of $15,000,000 in the aggregate
shall be rendered against the Borrower or any Subsidiary, and either (i) enforcement proceedings
shall have been commenced by any creditor upon such judgment or order or (ii) there shall be a
period of 30 consecutive days during which a stay of enforcement of such judgment or order, by
reason of a pending appeal or otherwise, shall not be in effect; or

          (l) any non-monetary judgment or order shall be rendered against the Borrower or any
Subsidiary that could reasonably be expected to have a Material Adverse Effect, and there shall be
a period of 30 consecutive days during which a stay of enforcement of such judgment or order, by
reason of a pending appeal or otherwise, shall not be in effect; or

          (m) a Change in Control shall occur or exist; or

          (n) any Loan Document shall, at any time after its execution and delivery and for any reason,
cease to be in full force and effect in any material respect, or be declared to be null and void
(other than in accordance with the terms hereof or thereof), or the validity or enforceability
thereof be contested by the Borrower, or the Borrower shall deny in writing that it has any or any
further liability or obligations under any Loan Document to which it is a party; or

          (o) any event or condition shall occur or exist with respect to any activity or substance
regulated under the Environmental Law and, as a result of such event or condition, the Borrower or
any of its Subsidiaries shall have incurred or in the opinion of the Required Lenders will be
reasonably likely to incur a liability in excess of $15,000,000 during any consecutive twelve (12)
month period; or

          (p) the Borrower shall dissolve, liquidate, or otherwise terminate its existence; or

          (q) the Borrower or any Partner or any parent company thereof shall seek, or shall directly or
indirectly cause any Person to see, in any proceeding before the FERC or any other administrative
or legal authority in the United States or Canada to rescind or terminate or to

59

 

have repealed or
declared invalid the Tariff, or to suspend, amend or modify the Tariff in any respect, which may
reasonably by expected to have a Material Adverse Effect on the Borrower’s ability to perform its
obligations under the Loan Documents; provided, however, that no Event of Default shall occur under
this Section 8.1(q) solely by reason of the taking of any action required to be taken by
any such Person to satisfy the requirements of any order of any court or regulatory authority
having jurisdiction;

then, and in every such event (other than an event with respect to the Borrower described in clause
(g) or (h) of this Section 8.1) and at any time thereafter during the continuance of such
event, the Administrative Agent may, and upon the written request of the Required Lenders shall, by
notice to the Borrower, take any or all of the following actions, at the same or different times:
(i) terminate the Commitments, whereupon the Commitment of each Lender shall
terminate immediately, (ii) declare the principal of and any accrued interest on the Loans, and all
other Obligations owing hereunder, to be, whereupon the same shall become, due and payable
immediately, without presentment, demand, protest or other notice of any kind, all of which are
hereby waived by the Borrower, (iii) exercise all remedies contained in any other Loan Document,
and (iv) exercise any other remedies available at law or in equity; and that, if an Event of
Default specified in either clause (g) or (h) shall occur, the Commitments shall automatically
terminate and the principal of the Loans then outstanding, together with accrued interest thereon,
and all fees, and all other Obligations shall automatically become due and payable, without
presentment, demand, protest or other notice of any kind, all of which are hereby waived by the
Borrower.

ARTICLE IX

THE ADMINISTRATIVE AGENT

          Section 9.1. Appointment of Administrative Agent.

          (a) Each Lender irrevocably appoints SunTrust Bank as the Administrative Agent and authorizes
it to take such actions on its behalf and to exercise such powers as are delegated to the
Administrative Agent under this Agreement and the other Loan Documents, together with all such
actions and powers that are reasonably incidental thereto. The Administrative Agent may perform
any of its duties hereunder or under the other Loan Documents by or through any one or more
sub-agents or attorneys-in-fact appointed by the Administrative Agent. The Administrative Agent
and any such sub-agent or attorney-in-fact may perform any and all of its duties and exercise its
rights and powers through their respective Related Parties. The exculpatory provisions set forth
in this Article shall apply to any such sub-agent or attorney-in-fact and the Related Parties of
the Administrative Agent, any such sub-agent and any such attorney-in-fact 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.

          (b) The Issuing Bank shall act on behalf of the Lenders with respect to any Letters of Credit
issued by it and the documents associated therewith until such time and except for so long as the
Administrative Agent may agree at the request of the Required Lenders to act for the Issuing Bank
with respect thereto; provided, that the Issuing Bank shall have all the

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benefits and immunities
(i) provided to the Administrative Agent in this Article with respect to any acts taken or
omissions suffered by the Issuing Bank in connection with Letters of Credit issued by it or
proposed to be issued by it and the application and agreements for letters of credit pertaining to
the Letters of Credit as fully as if the term “Administrative Agent” as used in this Article
included the Issuing Bank with respect to such acts or omissions and (ii) as additionally provided
in this Agreement with respect to the Issuing Bank.

          Section 9.2. Nature of Duties of Administrative Agent. The Administrative Agent shall
not have any duties or obligations except those expressly set forth in this Agreement and the
other Loan Documents. Without limiting the generality of the foregoing, (a) the Administrative
Agent shall not be subject to any fiduciary or other implied duties, regardless of whether a
Default or an Event of 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
those 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 10.2), 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 the Borrower or any of its Subsidiaries that is
communicated to or obtained by the 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, its
sub-agents or attorneys-in-fact 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 10.2) or in the absence of its own gross negligence or willful misconduct. The
Administrative Agent shall not be responsible for the negligence or misconduct of any sub-agents or
attorneys-in-fact selected by it with reasonable care. The Administrative Agent shall not be
deemed to have knowledge of any Default or Event of Default unless and until written notice thereof
(which notice shall include an express reference to such event being a “Default” or “Event of
Default” hereunder) is given to the Administrative Agent by the Borrower or any 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 hereunder or thereunder or in
connection herewith or therewith, (iii) the performance or observance of any of the covenants,
agreements, or other terms and 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 III
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 may consult with legal counsel
(including counsel for the Borrower) concerning all matters pertaining to such duties.

          Section 9.3. Lack of Reliance on the Administrative Agent. Each of the Lenders, the
Swingline Lender and the Issuing Bank 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 of the Lenders, the Swingline Lender and the Issuing Bank 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 has deemed

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appropriate, continue to make its own decisions in
taking or not taking of any action under or based on this Agreement, any related agreement or any
document furnished hereunder or thereunder.

          Section 9.4. Certain Rights of the Administrative Agent. If the Administrative Agent
shall request instructions from the Required Lenders with respect to any action or actions
(including the failure to act) in connection with this Agreement, the Administrative Agent shall
be entitled to refrain from such act or taking such act, unless and until it shall have
received instructions from such Lenders; and the Administrative Agent shall not incur liability to
any Person by reason of so refraining. Without limiting the foregoing, no Lender shall have any
right of action whatsoever against the Administrative Agent as a result of the Administrative Agent
acting or refraining from acting hereunder in accordance with the instructions of the Required
Lenders where required by the terms of this Agreement.

          Section 9.5. Reliance by 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, sent or made by the proper Person. The Administrative Agent may also 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 (including counsel for the Borrower), independent public 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 such counsel, accountants or experts.

          Section 9.6. The Administrative Agent in its Individual Capacity. The bank serving as
the Administrative Agent shall have the same rights and powers under this Agreement and any other
Loan Document in its capacity as a Lender as any other Lender and may exercise or refrain from
exercising the same as though it were not the Administrative Agent; and the terms “Lenders”,
“Required Lenders”, “holders of Notes”, or any similar terms shall, unless the context clearly
otherwise indicates, include the Administrative Agent in its individual capacity. The bank acting
as the Administrative Agent and its Affiliates may accept deposits from, lend money to, and
generally engage in any kind of business with the Borrower or any Subsidiary or Affiliate of the
Borrower as if it were not the Administrative Agent hereunder.

          Section 9.7. Successor Administrative Agent.

          (a) The Administrative Agent may resign at any time by giving notice thereof to the Lenders
and the Borrower. Upon any such resignation, the Required Lenders shall have the right to appoint
a successor Administrative Agent, subject to the approval by the Borrower provided that no Default
or Event of Default shall exist at such time. If no successor Administrative Agent shall have been
so appointed, and shall have accepted such appointment within 30 days after the retiring
Administrative Agent gives notice of 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 commercial bank organized under the laws of the United States of America or any state thereof
or a bank which maintains an office in the United States, having a combined capital and surplus of
at least $500,000,000.

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          (b) Upon the acceptance of its appointment as the Administrative Agent hereunder by a
successor, such successor Administrative Agent shall thereupon 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
under this Agreement and the other Loan Documents. If within 45 days after written notice is
given of the retiring Administrative Agent’s resignation under this Section 9.7 no
successor Administrative Agent shall have been appointed and shall have accepted such appointment,
then on such 45th day (i) the retiring Administrative Agent’s resignation shall become
effective, (ii) the retiring Administrative Agent shall thereupon be discharged from its duties and
obligations under the Loan Documents and (iii) the Required Lenders shall thereafter perform all
duties of the retiring Administrative Agent under the Loan Documents until such time as the
Required Lenders appoint a successor Administrative Agent as provided above. After any retiring
Administrative Agent’s resignation hereunder, the provisions of this Article shall continue in
effect for the benefit of such retiring Administrative Agent and its representatives and agents in
respect of any actions taken or not taken by any of them while it was serving as the Administrative
Agent.

          Section 9.8. Authorization to Execute other Loan Documents. Each Lender hereby
authorizes the Administrative Agent to execute on behalf of all Lenders all Loan Documents other
than this Agreement.

          Section 9.9. Syndication Agent, Co-Documentation Agents and Managing Agents. Each Lender hereby
designates Wachovia Bank, National Association as Syndication Agent and agrees that the Syndication
Agent shall have no duties or obligations under any Loan Documents to any Lender or the Borrower.
Each Lender hereby designates BMO Capital Markets, Citibank, N.A., and Mizuho
Corporate Bank, Ltd., as Co-Documentation Agents and agrees that the Co-Documentation Agents shall
have no duties or obligations under any Loan Documents to any Lender or any Loan Party. Each Lender hereby designates JPMorgan Chase Bank, N.A. and Export Development Canada, as Managing Agents and agrees that the Managing Agents shall have no duties or obligations under any Loan Documents to any Lender or any Loan Party.

ARTICLE X

MISCELLANEOUS

          Section 10.1. Notices.

          (a) Except in the case of notices and other communications expressly permitted to be given by
telephone, all notices and other communications to any party herein to be effective 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:

	 	 	 	 	 
	 

	 	To the Borrower:
	 	Northern Border Pipeline Company
	 

	 	 	 	c/o TransCanada Northern Border Inc.
	 

	 	 	 	13710 FNB Parkway
	 

	 	 	 	Omaha, NE 68124
	 

	 	 	 	Attn: Patricia M. Wiederholt
	 

	 	 	 	Principal Financial Officer and Controller
	 

	 	 	 	Telephone: 402-492-7436
	 

	 	 	 	Telecopy: 402-492-7491

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	 	with a copy to:
	 	Northern Border Pipeline Company
	 

	 	 	 	c/o TransCanada Northern Border Inc.
	 

	 	 	 	450 1st Street S.W.
	 

	 	 	 	Calgary, Albert Canada T2P 5H1
	 

	 	 	 	Attn: Sean Brett
	 

	 	 	 	     Treasurer
	 

	 	 	 	Telephone: 403-920-2528
	 

	 	 	 	Telecopy: 403-920-2358
	 
	 	 	 	 
	 

	 	To the Administrative Agent

or Swingline Lender:
	 	
SunTrust Bank

303 Peachtree Street, N. E.
	 

	 	 	 	Atlanta, Georgia 30308
	 

	 	 	 	Attention: Joe McCreery
	 

	 	 	 	Telecopy Number:
	 
	 	 	 	 
	 

	 	With a copy to:
	 	SunTrust Bank
	 

	 	 	 	Agency Services
	 

	 	 	 	303 Peachtree Street, N. E./ 25th Floor
	 

	 	 	 	Atlanta, Georgia 30308
	 

	 	 	 	Attention: Ms. Dorris Folsom
	 

	 	 	 	Telecopy Number: (404) 658-4906
	 
	 	 	 	 
	 

	 	 	 	and
	 
	 	 	 	 
	 

	 	 	 	King & Spalding LLP
	 

	 	 	 	1180 Peachtree Street, N.E.
	 

	 	 	 	Atlanta, Georgia 30309
	 

	 	 	 	Attention: W. Todd Holleman
	 

	 	 	 	Telecopy Number: (404) 572-5100
	 
	 	 	 	 
	 

	 	To the Issuing Bank:
	 	SunTrust Bank
	 

	 	 	 	25 Park Place, N. E./Mail Code
3706

Atlanta, Georgia 30303
	 

	 	 	 	Attention: John Conley
	 

	 	 	 	Telecopy Number: (404) 588-8129
	 
	 	 	 	 
	 

	 	To the Swingline Lender:
	 	SunTrust Bank
	 

	 	 	 	Agency Services
	 

	 	 	 	303 Peachtree Street, N.E./25th Floor
	 

	 	 	 	Atlanta, Georgia 30308
	 

	 	 	 	Attention: Ms. Dorris Folsom
	 

	 	 	 	Telecopy Number: (404) 658-4906

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	 	To any other Lender:
	 	the address set forth in the Administrative
	 

	 	 	 	Questionnaire or the Assignment and Acceptance
	 

	 	 	 	Agreement executed by such Lender

     Any party hereto may change its address or telecopy number for notices and other
communications hereunder by notice to the other parties hereto. All such notices and other
communications shall, when transmitted by overnight delivery, or faxed, be effective when delivered
for overnight (next-day) delivery, or transmitted in legible form by facsimile machine,
respectively, or if mailed, upon the third Business Day after the date deposited into the mail or
if delivered, upon delivery; provided, that notices delivered to the Administrative Agent, the
Issuing Bank or the Swingline Bank shall not be effective until actually received by such Person at
its address specified in this Section 10.1.

          (b) Any agreement of the Administrative Agent and the Lenders herein to receive certain
notices by telephone or facsimile is solely for the convenience and at the request of the Borrower.
The Administrative Agent and the Lenders shall be entitled to rely on the authority of any Person
purporting to be a Person authorized by the Borrower to give such notice and the Administrative
Agent and Lenders shall not have any liability to the Borrower or other Person on account of any
action taken or not taken by the Administrative Agent or the Lenders in reliance upon such
telephonic or facsimile notice. The obligation of the Borrower to repay the Loans and all other
Obligations hereunder shall not be affected in any way or to any extent by any failure of the
Administrative Agent and the Lenders to receive written confirmation of any telephonic or facsimile
notice or the receipt by the Administrative Agent and the Lenders of a confirmation which is at
variance with the terms understood by the Administrative Agent and the Lenders to be contained in
any such telephonic or facsimile notice.

          Section 10.2. Waiver; Amendments.

          (a) No failure or delay by the Administrative Agent, the Issuing Bank or any Lender in
exercising any right or power hereunder or any other Loan Document, and no course of dealing
between the Borrower and the Administrative Agent or any Lender, 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 right or power, preclude any other or further exercise
thereof or the exercise of any other right or power hereunder or thereunder. 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 provided by
law. No waiver of any provision of this Agreement or any other Loan Document or consent to any
departure by the Borrower therefrom shall in any event be effective unless the same shall be
permitted by paragraph (b) of this Section 10.2, 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 the issuance of a Letter of Credit shall not
be construed as a waiver of any Default or Event of Default, regardless of whether the
Administrative Agent, any Lender or the Issuing Bank may have had notice or knowledge of such
Default or Event of Default at the time.

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          (b) No amendment or waiver of any provision of this Agreement or the other Loan Documents, nor
consent to any departure by the Borrower therefrom, shall in any event be effective unless the same
shall be in writing and signed by the Borrower and the Required Lenders or the Borrower and the
Administrative Agent with the consent of the Required Lenders and then such waiver or consent shall
be effective only in the specific instance and for the specific purpose for which given;
provided, that no amendment or waiver 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, without
the written consent of each Lender affected thereby, (iii) postpone the date fixed for any payment
of any principal of, or interest on, any Loan or LC Disbursement or interest thereon or any fees
hereunder or reduce the amount of, waive or excuse any such payment, or postpone the scheduled date
for the termination or reduction of any Commitment, without the written consent of each Lender
affected thereby, (iv) change Section 2.19(b) or (c) in a manner that would alter
the pro rata sharing of payments required thereby, without the written consent of each Lender or
waive or amend any condition set forth in Section 3.1, (v) change any of the provisions of
this Section 10.2 or the definition of “Required Lenders” or any other provision hereof
specifying the number or percentage of Lenders which are required to waive, amend or modify any
rights hereunder or make any determination or grant any consent hereunder, without the consent of
each Lender; (vi) release any guarantor or limit the liability of any such guarantor under any
guaranty agreement, without the written consent of each Lender; (vii) release all or substantially
all collateral (if any) securing any of the Obligations, without the written consent of each
Lender; provided further, that no such agreement shall amend, modify or otherwise affect
the rights, duties or obligations of the Administrative Agent, the Swingline Bank or the Issuing
Bank without the prior written consent of such Person. Notwithstanding anything contained herein
to the contrary, this Agreement may be amended and restated without the consent of any Lender (but
with the consent of the Borrower and the Administrative Agent) if, upon giving effect to such
amendment and restatement, such Lender shall no longer be a party to this Agreement (as so amended
and restated), the Commitments of such Lender shall have terminated (but such Lender shall continue
to be entitled to the benefits of Sections 2.16, 2.17, 2.18 and
10.3), such Lender shall have no other commitment or other obligation hereunder and shall
have been paid in full all principal, interest and other amounts owing to it or accrued for its
account under this Agreement.

          Section 10.3. Expenses; Indemnification.

          (a) The Borrower shall pay (i) all reasonable, out-of-pocket costs and expenses of the
Administrative Agent, the Syndication Agent and their Affiliates, including the reasonable fees,
charges and disbursements of counsel for the Administrative Agent, the Syndication Agent and their
Affiliates, in connection with the syndication of the credit facilities provided for herein, the
preparation and administration of the Loan Documents and any amendments, modifications or waivers
thereof (whether or not the transactions contemplated in this Agreement or any other Loan Document
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 costs and expenses (including, without
limitation, the reasonable fees, charges and disbursements of outside counsel and the allocated
cost of inside counsel) incurred by the
Administrative Agent, the Syndication Agent, the Issuing Bank or any Lender in connection with

66

 

the enforcement or protection of its rights in connection with this Agreement, including its rights
under this Section 10.3, or in connection with the Loans made or any 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) The Borrower shall indemnify the Administrative Agent (and any sub-agent thereof), each
Lender and the Issuing Bank, 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 reasonable fees,
charges and disbursements of any counsel for any Indemnitee), and shall indemnify and hold harmless
each Indemnitee from all fees and time charges and disbursements for attorneys who may be employees
of any Indemnitee, incurred by any Indemnitee or asserted against any Indemnitee by any third party
or by the Borrower or any of its Subsidiaries arising out of, in connection with, or as a result of
(i) the execution or delivery of this Agreement, any other Loan Document or any agreement or
instrument contemplated hereby or thereby, the performance by the parties hereto of their
respective obligations hereunder or thereunder or the consummation of the transactions contemplated
hereby or thereby, (ii) any Loan or Letter of Credit or the use or proposed 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 property owned or operated by the Borrower or any of its Subsidiaries, or
any Environmental Liability related in any way to the Borrower or any of its Subsidiaries, 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, whether brought by a third party or
by the Borrower or any other Subsidiary, 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 (x) are determined by a
court of competent jurisdiction by final and nonappealable judgment to have resulted from the gross
negligence or willful misconduct of such Indemnitee, (y) result from a claim brought by the
Borrower or any other Subsidiary against an Indemnitee for breach in bad faith of such Indemnitee’s
obligations hereunder or under any other Loan Document, if the Borrower or such Subsidiary has
obtained a final and nonappealable judgment in its favor on such claim as determined by a court of
competent jurisdiction or (z) result from a claim brought by one Indemnitee against another
Indemnitee (other than the Administrative Agent, the Syndication Agent, the Swingline Lender or the
Issuing Bank, in their capacities as such).

          (c) The Borrower shall pay, and hold the Administrative Agent and each of the Lenders harmless
from and against, any and all present and future stamp, documentary, and other similar taxes with
respect to this Agreement and any other Loan Documents, any collateral described therein, or any
payments due thereunder, and save the Administrative Agent and each Lender harmless from and
against any and all liabilities with respect to or resulting from any delay or omission to pay such
taxes.

          (d) To the extent that the Borrower fails to pay any amount required to be paid to the
Administrative Agent, the Issuing Bank or the Swingline Lender under clauses (a), (b) or
(c) hereof, each Lender severally agrees to pay to the Administrative Agent, the Issuing Bank
or

67

 

the Swingline Lender, as the case may be, such Lender’s Pro Rata Share (determined as of the
time that the unreimbursed expense or indemnity payment is sought) of such unpaid amount;
provided, that the unreimbursed expense or indemnified payment, claim, damage, liability or
related expense, as the case may be, was incurred by or asserted against the Administrative Agent,
the Issuing Bank or the Swingline Lender in its capacity as such.

          (e) To the extent permitted by applicable law, the Borrower shall not assert, and hereby
waives, any claim against any Indemnitee, on any theory of liability, for special, indirect,
consequential or punitive damages (as opposed to actual or direct damages) arising out of, in
connection with or as a result of, this Agreement or any agreement or instrument contemplated
hereby, the transactions contemplated therein, any Loan or any Letter of Credit or the use of
proceeds thereof.

          (f) All amounts due under this Section 10.4 shall be payable promptly after written
demand therefor.

          Section 10.4. 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, except that the
Borrower may not assign or otherwise transfer any of its rights or obligations hereunder without
the prior written consent of the Administrative Agent and each Lender, and no Lender may assign or
otherwise transfer any of its rights or obligations hereunder except (i) to an assignee in
accordance with the provisions of paragraph (b) of this Section, (ii) by way of participation in
accordance with the provisions of paragraph (d) of this Section or (iii) by way of pledge or
assignment of a security interest subject to the restrictions of paragraph (f) of this Section (and
any other attempted assignment or transfer by any party hereto 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, Participants to the
extent provided in paragraph (d) of this Section and, to the extent expressly contemplated hereby,
the Related Parties of each of the Administrative Agent and the Lenders) any legal or equitable
right, remedy or claim under or by reason of this Agreement.

          (b) Any Lender may at any time 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 Commitment and the Loans at
the time owing to it); provided that any such assignment shall be subject to the following
conditions:

          (i) Minimum Amounts.

     (A) in the case of an assignment of the entire remaining amount of the
assigning Lender’s Commitment and the Loans at the time owing to it or in the case
of an assignment to a Lender, an Affiliate of a Lender or an Approved Fund, no
minimum amount need be assigned; and

     (B) in any case not described in paragraph (b)(i)(A) of this Section, the
aggregate amount of the Commitment (which for this purpose includes Revolving

68

 

Credit
Exposure outstanding thereunder) or, if the applicable Commitment is not then in
effect, the principal outstanding balance of the Revolving Credit Exposure 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 or, if “Trade Date” is specified in the Assignment and
Acceptance, as of the Trade Date) shall not be less than $1,000,000, unless each of
the Administrative Agent and, so long as no Event of Default has occurred and is
continuing, the Borrower otherwise consents (each such consent not to be
unreasonably withheld or delayed).

     (ii) Proportionate Amounts. 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 with respect to the Revolving Credit Exposure or the Commitment
assigned.

     (iii) Required Consents. No consent shall be required for any assignment
except to the extent required by paragraph (b)(i)(B) of this Section and, in addition:

     (A) the consent of the Borrower (such consent not to be unreasonably withheld
or delayed) shall be required unless (x) an Event of Default has occurred and is
continuing at the time of such assignment or (y) such assignment is to a Lender, an
Affiliate of a Lender or an Approved Fund;

     (B) the consent of the Administrative Agent (such consent not to be
unreasonably withheld or delayed) shall be required for assignments to a Person that
is not a Lender with a Commitment; and

     (C) the consent of the Issuing Bank (such consent not to be unreasonably
withheld or delayed) shall be required for any assignment that increases the
obligation of the assignee to participate in exposure under one or more Letters of
Credit (whether or not then outstanding), and the consent of the Swingline Lender
(such consent not to be unreasonably withheld or delayed) shall be required for any
assignment in respect of the Revolving Credit Commitments.

          (iv) Assignment and Acceptance. The parties to each assignment shall deliver
to the Administrative Agent (A) a duly executed Assignment and Acceptance, (B) a processing
and recordation fee of $3,000, (C) an Administrative Questionnaire unless the assignee is
already a Lender and (D) the documents required under Section 10.4 if such assignee
is a Foreign Lender.

          (v) No Assignment to Borrower. No such assignment shall be made to the
Borrower or any of the Borrower’s Affiliates or Subsidiaries.

          (vi) No Assignment to Natural Persons. No such assignment shall be made to a
natural person.

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Subject to acceptance and recording thereof by the Administrative Agent pursuant to paragraph (c)
of this Section 10.4, from and after the effective date specified in each Assignment and
Acceptance, the assignee thereunder shall be a party to this Agreement and, to the extent of the
interest assigned by such Assignment and Acceptance, have the rights and obligations of a Lender
under this Agreement, 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 2.16, 2.17,
2.18 and
10.3 with respect to facts and circumstances occurring prior to the effective date of such
assignment. 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 (d)
of this Section 10.4.

          (c) The Administrative Agent, acting solely for this purpose as an agent of the Borrower,
shall maintain at one of its offices in Atlanta, Georgia 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 Commitments of, and principal amount of the Revolving Credit Exposure owing to, each Lender
pursuant to the terms hereof from time to time (the “Register”). The entries in the
Register shall be conclusive, and the Borrower, the Administrative Agent 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 Borrower and any Lender, at any reasonable time and from
time to time upon reasonable prior notice.

          (d) Any Lender may at any time, without the consent of, or notice to, the Borrower, the
Administrative Agent, the Swingline Bank or the Issuing Bank sell participations to any Person
(other than a natural person, the Borrower or any of the Borrower’s Affiliates or Subsidiaries)
(each, a “Participant”) in all or a portion of such Lender’s rights and/or obligations
under this Agreement (including all or a portion of its Commitment and/or the Loans 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) the Borrower, the Administrative Agent, the Lenders, Issuing Bank and
Swingline Lender shall continue to deal solely and directly with such Lender in connection with
such Lender’s rights and obligations under this Agreement.

          (e) 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 this Agreement and to approve any
amendment, modification or waiver of any provision of this Agreement; 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 with respect to the following to the
extent affecting such Participant: (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,
without the written consent of each Lender affected thereby, (iii) postpone the date fixed for any

70

 

payment of any principal of, or interest on, any Loan or LC Disbursement or interest thereon or any
fees hereunder or reduce the amount of, waive or excuse any such payment, or postpone the scheduled
date for the termination or reduction of any Commitment, without the written consent of each Lender
affected thereby, (iv) change Section 2.19(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 any of the provisions of this Section 10.4 or the definition of “Required Lenders”
or any other provision hereof specifying the number or percentage of Lenders which are required to
waive, amend or modify any rights hereunder or make any determination or grant any consent
hereunder, without the consent of each Lender; (vi) release any guarantor or limit the liability of
any such guarantor under any guaranty agreement without the written consent of each Lender; or
(vii) release all or substantially all collateral (if any) securing any of the Obligations.
Subject to paragraph (e) of this Section 10.4, the Borrower agrees that each Participant
shall be entitled to the benefits of Sections 2.16, 2.17, and 2.18 to the
same extent as if it were a Lender and had acquired its interest by assignment pursuant to
paragraph (b) of this Section 10.4. To the extent permitted by law, each Participant also
shall be entitled to the benefits of Section 10.7 as though it were a Lender, provided
such Participant agrees to be subject to Section 2.19 as though it were a Lender.

          (f) A Participant shall not be entitled to receive any greater payment under Section
2.16 and Section 2.18 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 Borrower’s prior written consent. A Participant that would be a
Foreign Lender if it were a Lender shall not be entitled to the benefits of Section 2.18
unless the Borrower is notified of the participation sold to such Participant and such Participant
agrees, for the benefit of the Borrower, to comply with Section 2.18(e) as though it were a
Lender.

          (g) Any Lender may 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 without limitation
any pledge or assignment to secure obligations to a Federal Reserve Bank; provided that no
such pledge or assignment shall release such Lender from any of its obligations hereunder or
substitute any such pledgee or assignee for such Lender as a party hereto.

          Section 10.5. Governing Law; Jurisdiction; Consent to Service of Process.

          (a) This Agreement and the other Loan Documents shall be construed in accordance with and be
governed by the law (without giving effect to the conflict of law principles thereof) of the State
of New York.

          (b) The Borrower hereby irrevocably and unconditionally submits, for itself and its property,
to the non-exclusive jurisdiction of the United States District Court of the Southern District of
New York, and of any state court of the State of Supreme Court of the State of New York sitting in
New York county and any appellate court from any thereof, in any action or proceeding arising out
of or relating to this Agreement or any other Loan Document or the transactions contemplated hereby
or thereby, 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
court or, to the extent permitted by applicable law, such Federal court. Each of the parties
hereto

71

 

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 the Borrower or its properties in the courts
of any jurisdiction.

          (c) The Borrower irrevocably and unconditionally waives any objection which it may now or
hereafter have to the laying of venue of any such suit, action or proceeding described in paragraph
(b) of this Section 10.5 and brought in any court referred to in paragraph (b) of this
Section 10.5. Each of the parties hereto irrevocably waives, to the fullest extent
permitted by applicable 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 the service of process in the manner
provided for notices in Section 10.1. Nothing in this Agreement or in any other Loan
Document will affect the right of any party hereto to serve process in any other manner permitted
by law.

          Section 10.6. WAIVER OF JURY TRIAL. EACH PARTY HERETO IRREVOCABLY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL
PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT OR THE
TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY (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 AND THE OTHER LOAN DOCUMENTS BY, AMONG OTHER THINGS,
THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

          Section 10.7. Right of Setoff. In addition to any rights now or hereafter granted
under applicable law and not by way of limitation of any such rights, each Lender and the Issuing
Bank shall have the right, at any time or from time to time upon the occurrence and during the
continuance of an Event of Default, without prior notice to the Borrower, any such notice being
expressly waived by the Borrower to the extent permitted by applicable law, to set off and apply
against all deposits (general or special, time or demand, provisional or final) of the Borrower at
any time held or other obligations at any time owing by such Lender and the Issuing Bank to or for
the credit or the account of the Borrower against any and all Obligations held by such Lender or
the Issuing Bank, as the case may be, irrespective of whether such Lender or the Issuing Bank shall
have
made demand hereunder and although such Obligations may be unmatured. Each Lender and the
Issuing Bank agree promptly to notify the Administrative Agent and the Borrower after any such
set-off and any application made by such Lender and the

72

 

Issuing
Bank, as the case may be;
provided, that the failure to give such notice shall not affect the validity of such
set-off and application.

          Section 10.8. Counterparts; Integration. This Agreement may be executed by one or
more of the parties to this Agreement on any number of separate counterparts (including by
telecopy), and all of said counterparts taken together shall be deemed to constitute one and the
same instrument. This Agreement, the Fee Letters, the other Loan Documents, and any separate
letter agreement(s) relating to any fees payable to the Administrative Agent constitute the entire
agreement among the parties hereto and thereto regarding the subject matters hereof and thereof and
supersede all prior agreements and understandings, oral or written, regarding such subject matters.

          Section 10.9. Survival. All covenants, agreements, representations and warranties
made by the Borrower herein and in the certificates or other instruments delivered in connection
with or pursuant to this Agreement shall be considered to have been relied upon by the other
parties hereto and shall survive the execution and delivery of this Agreement 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 Event of 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 2.16, 2.17,
2.18, and 10.3 and Article IX 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 as the case may be. All representations and
warranties made herein, in the certificates, reports, notices, and other documents delivered
pursuant to this Agreement shall survive the execution and delivery of this Agreement and the other
Loan Documents, and the making of the Loans and the issuance of the Letters of Credit.

          Section 10.10. Severability. Any provision of this Agreement or any other Loan
Document held to be illegal, invalid or unenforceable in any jurisdiction, shall, as to such
jurisdiction, be ineffective to the extent of such illegality, invalidity or unenforceability
without affecting the legality, validity or enforceability of the remaining provisions hereof or
thereof; and the illegality, invalidity or unenforceability of a particular provision in a
particular jurisdiction shall not invalidate or render unenforceable such provision in any other
jurisdiction.

          Section 10.11. Confidentiality. Each of the Administrative Agent, the Issuing Bank
and each Lender agrees to take normal and reasonable precautions to maintain the confidentiality of
any information designated in writing as confidential and provided to it by the Borrower or any
Subsidiary, except that such information
may be disclosed (i) to any Related Party of the Administrative Agent, the Issuing Bank or any
such Lender, including without limitation accountants, legal counsel and other advisors, (ii) to
the extent required by applicable laws or regulations or by any subpoena or similar legal process,
(iii) to the extent requested by any regulatory agency or authority, (iv) to the extent that such
information becomes publicly available other than as a result of a breach of this Section
10.11, or which becomes available to

73

 

the Administrative Agent, the Issuing Bank, any Lender or
any Related Party of any of the foregoing on a nonconfidential basis from a source other than the
Borrower, (v) in connection with the exercise of any remedy hereunder or any suit, action or
proceeding relating to this Agreement or the enforcement of rights
hereunder, and (vi) subject to
provisions substantially similar to this Section 10.11, to any actual or prospective
assignee or Participant, or (vii) with the consent of the Borrower. Any Person required to maintain
the confidentiality of any information as provided for in this Section 10.11 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 its
own confidential information.

          Section 10.12. 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 may be treated as interest on such Loan under applicable law (collectively,
the “Charges”), shall exceed the maximum lawful rate of interest (the “Maximum
Rate”) which may be contracted for, charged, taken, received or reserved by a 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 10.12 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 Rate to the date of repayment, shall have been received
by such Lender.

          Section 10.13. Waiver of Effect of Corporate Seal. The Borrower represents and
warrants that it is not required to affix its corporate seal to this Agreement or any other Loan
Document pursuant to any Requirement of Law or regulation, agrees that this Agreement is delivered
by Borrower under seal and waives any shortening of the statute of limitations that may result from
not affixing the corporate seal to this Agreement or such other Loan Documents.

          Section 10.14. Patriot Act. The Administrative Agent and each Lender hereby notifies
the Borrower that pursuant to the requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56
(signed into law October 26, 2001)) (the “Patriot Act”), it is required to obtain, verify and
record information that identifies the Borrower, which information includes the name and address of
the Borrower and other information that will allow such Lender or the Administrative Agent, as
applicable, to identify the Borrower in accordance with the Patriot Act. The Borrower shall, and
shall cause each of its Subsidiaries to, provide to the extent commercially reasonable, such
information and take such other actions as are reasonably
requested by the Administrative Agent or any Lender in order to assist the Administrative
Agent and the Lenders in maintaining compliance with the Patriot Act.

          Section 10.15. No General Partner Liability The Administrative Agent and Lenders agree
for themselves and their respective successors, participants and assigns, including any subsequent
holder of any Note, that any claim against Borrower which may arise under any Loan Document shall
be made only against and shall be limited to the assets of Borrower, and that no judgment, order or
execution entered in any suit, action or proceeding, whether legal or equitable, on this Agreement,
such Note or any of the other Loan Documents shall be obtained or

74

 

enforced against any general
partner of the Borrower or its assets for the purpose of obtaining satisfaction and payment of such
Note, the Obligations evidenced thereby, any other Obligation or any claims arising thereunder or
under this Agreement or any other Loan Document, any right to proceed against any general partner
of the Borrower individually or their respective representatives or assets being hereby expressly
waived, renounced and remitted by the Administrative Agent and Lenders for themselves and their
respective successors, participants and assigns. Nothing in this Section 10.15, however,
shall be construed so as to prevent the Administrative Agent, any Lender or any other holder of any
Note from commencing any action, suit or proceeding with respect to or causing legal papers to be
served upon any general partner of the Borrower for the purpose of obtaining jurisdiction over
Borrower.

          Section 10.16. Location of Closing. Each Lender acknowledges and agrees that it has
delivered, with the intent to be bound, its executed counterparts of this Agreement to Agent, c/o
King & Spalding LLP, 1185 Avenue of the Americas, New York, New York 10036. Borrower acknowledges
and agrees that it has delivered, with the intent to be bound, its executed counterparts of this
Agreement and each other Loan Document, together with all other documents, instruments, opinions,
certificates and other items required under Section 3.1, to Administrative Agent, c/o King
& Spalding LLP, 1185 Avenue of the Americas, New York, New York 10036. All parties agree that
closing of the transactions contemplated by this Credit Agreement has occurred in New York.

(remainder of page left intentionally blank)

75

 

          IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their
respective authorized officers as of the day and year first above written.

	 	 	 	 	 
	 	 	NORTHERN BORDER PIPELINE COMPANY
	 
	 	 	 	 
	 	 	By: TransCanada Northern Border Inc., its Operator
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Paul F. Miller
	 

	 	 	 	 
	 

	 	Name:
	 	Paul F. Miller
	 

	 	Title:
	 	Principal Executive Officer, Vice President
and General Manager
	 
	 	 	 	 
	 

	 	By:
	 	/s/ Patricia M. Widerholt
	 

	 	 	 	 
	 

	 	Name:
	 	Patricia M. Wiederholt
	 

	 	Title:
	 	Principal Financial Officer and Controller

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	SUNTRUST BANK

as Administrative Agent, as Issuing Bank, as

Swingline Lender and as a Lender

 	 
	 	By:  	/s/
Joe Mc Creery
 	 
	 	 	Name:  	Joe Mc Creery	 
	 	 	Title:  	Director	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	WACHOVIA BANK, NATIONAL ASSOCIATION

as Syndication Agent and as a Lender

 	 
	 	By:  	/s/
Shannan Townsend
 	 
	 	 	Name:  	Shannan Townsend	 
	 	 	Title:  	Director	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	BMO CAPITAL MARKETS,

as Co-Documentation Agent

 	 
	 	By:  	/s/
Cahal Carmody
 	 
	 	 	Name:  	Cahal Carmody	 
	 	 	Title:  	Vice President	 
	 

	 	 	 	 	 
	 	BMO CAPITAL MARKETS FINANCING, INC.,
as a Lender

 	 
	 	By:  	/s/ Cahal Carmody
 	 
	 	 	Name:  	Cahal Carmody	 
	 	 	Title:  	Vice President	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	CITIBANK, N.A., as Co-Documentation Agent 

and as a Lender

 	 
	 	By:  	/s/
David Lawrence
 	 
	 	 	Name:  	David Lawrence	 
	 	 	Title:  	Attorney-in-Fact	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	MIZUHO CORPORATE BANK, LTD., as
Co-Documentation Agent and as a Lender

 	 
	 	By:  	/s/
Leon Mo
 	 
	 	 	Name:  	Leon Mo	 
	 	 	Title:  	Senior Vice President	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	JPMORGAN CHASE BANK, NA, as Managing 

Agent and as a Lender

 	 
	 	By:  	/s/
Tara Narasiman
 	 
	 	 	Name:  	Tara Narasiman	 
	 	 	Title:  	Associate	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	EXPORT DEVELOPMENT CANADA, as 

Managing Agent and as a Lender

 	 
	 	By:  	/s/
Francois Morel
 	 
	 	 	Name:  	Francois Morel	 
	 	 	Title:  	Senior Financing Manager	 
	 

	 	 	 	 	 
	 	By:  	/s/
G. Mark Doyle
 	 
	 	 	Name:  	Mark Doyle	 
	 	 	Title:  	Financing Manager	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	ROYAL BANK OF CANADA, as a Lender

 	 
	 	By:  	/s/
David A. McCluskey
 	 
	 	 	Name:  	David A. McCluskey	 
	 	 	Title:  	Authorized Signatory	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	WELLS FARGO BANK N.A., as a Lender

 	 
	 	By:  	/s/
Sushim Shah
 	 
	 	 	Name:  	Sushim Shah	 
	 	 	Title:  	Vice President	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

	 	 	 	 	 
	 	BANK OF AMERICA, N.A., as a Lender

 	 
	 	By:  	/s/
Christopher Smith
 	 
	 	 	Name:  	Christopher Smith	 
	 	 	Title:  	Senior Vice President	 
	 

[SIGNATURE PAGE TO THE NORTHERN BORDER PIPELINE AMENDED AND RESTATED

REVOLVING CREDIT AGREEMENT]

 

 

Schedule I

APPLICABLE MARGIN AND APPLICABLE PERCENTAGE

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Applicable	 	Applicable	 	 	 	 
	 	 	 	 	Margin for	 	Margin for	 	Applicable	 	 
	Pricing	 	Rating	 	Eurodollar	 	Base Rate	 	Percentage for	 	Utilization
	Level	 	Category	 	Loans	 	Loans	 	Facility Fee	 	Percentage
	I
	 	A or higher/A2 or 

higher

	 	0.155% per annum
	 	0.00% per annum
	 	0.045% per annum
	 	0.050% per annum
	 	 	 
	 	 	 	 	 	 	 	 
	II
	 	A-/A3

	 	0.200% per annum
	 	0.00% per annum
	 	0.050% per annum
	 	0.050% per annum
	 	 	 
	 	 	 	 	 	 	 	 
	III
	 	BBB+/Baa1

	 	0.230% per annum
	 	0.00% per annum
	 	0.070% per annum
	 	0.050% per annum
	 	 	 
	 	 	 	 	 	 	 	 
	IV
	 	BBB/Baa2

	 	0.3100% per annum
	 	0.00% per annum
	 	0.090% per annum
	 	0.050% per annum
	 	 	 
	 	 	 	 	 	 	 	 
	V
	 	BBB- or lower/Baa3

or lower

	 	0.440% per annum
	 	0.00% per annum
	 	0.110% per annum
	 	0.100% per annum

     The credit ratings to be utilized for purposes of this Schedule are those assigned to the
senior, unsecured long-term debt securities of the Borrower without third-party credit enhancement,
whether or not any such debt securities are actually outstanding, and any rating assigned to any
other debt security of the Borrower shall be disregarded. The rating in effect on any date is that
in effect at the close of business on such date. If the Borrower is split-rated and (1) the
ratings differential is one category, the higher of the two ratings will apply (e.g., A-/Baa1
results in Level II status) (2) the ratings differential is two categories, the rating which falls
between them shall apply (e.g., A-/Baa2, then the rate would be based on Level III status) or (3)
the ratings differential is more than two category, the rate shall be determined by reference to
the category next above that of the lower of the two ratings (e.g., A-/Baa3, then the rate would be
based on Level IV status). If the Borrower is not rated by either Moody’s or S&P, then the rate
shall be established by reference to Level V.

     If the rating system of Moody’s or S&P shall change, or if either rating agency shall cease to
be in the business of rating corporate debt obligations, the Borrower, the Lenders and the
Administrative Agent shall negotiate in good faith to amend this Schedule to reflect such changed
rating system or the unavailability of ratings from such rating agency and, pending the
effectiveness of any such amendment, the Applicable Margin and the Applicable Percentage shall be
determined by reference to the rating most recently in effect prior to any such change or
cessation. If after a reasonable time the parties cannot agree to a mutually acceptable amendment,
the Applicable Margin and the Applicable Percentage shall be determined by reference to Level V.

Schedule I

 

 

Schedule II

COMMITMENT AMOUNTS

	 	 	 	 	 	 	 	 	 
	 	 	Revolving	 	 
	Lender	 	Commitment Amount	 	Pro Rata Share
	SunTrust Bank
	 	$	34,000,000	 	 	 	13.60	%
	Wachovia Bank, National Association
	 	$	34,000,000	 	 	 	13.60	%
	BMO Capital Markets Financing, Inc.
	 	$	25,000,000	 	 	 	10.00	%
	Citibank, N.A.
	 	$	25,000,000	 	 	 	10.00	%
	Mizuho Corporate Bank, Ltd.
	 	$	25,000,000	 	 	 	10.00	%
	JPMorgan Chase Bank, NA
	 	$	25,000,000	 	 	 	10.00	%
	Export Development Canada
	 	$	25,000,000	 	 	 	10.00	%
	Royal Bank of Canada
	 	$	19,000,000	 	 	 	7.60	%
	Wells Fargo Bank N.A.
	 	$	19,000,000	 	 	 	7.60	%
	Bank of America, N.A.
	 	$	19,000,000	 	 	 	7.60	%

Schedule
7.7

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