Document:

EXHIBIT 10.7

                          REGISTRATION RIGHTS AGREEMENT

     REGISTRATION RIGHTS AGREEMENT (this "AGREEMENT"), dated as of June 23,
2005, by and among Ruby Mining Company, a Colorado corporation with its
headquarters located at 3490 Piedmont Road, Suite 304, Atlanta, GA 30305 (the
"COMPANY"), and each of the undersigned (together with their respective
affiliates and any assignee or transferee of all of their respective rights
hereunder, the "INITIAL INVESTORS").

     WHEREAS:

     A. In connection with the Securities Purchase Agreement by and among the
parties hereto of even date herewith (the "Securities Purchase Agreement"), the
Company has agreed, upon the terms and subject to the conditions contained
therein, to issue and sell to the Initial Investors (i) secured convertible
notes in the aggregate principal amount of up to Two Million Five Hundred
Thousand Dollars ($2,500,000) (the "Notes") that are convertible into shares of
the Company's common stock (the "Common Stock"), upon the terms and subject to
the limitations and conditions set forth in such Notes and (ii) warrants (the
"Warrants") to acquire an aggregate of 9,615,385 shares of Common Stock, upon
the terms and conditions and subject to the limitations and conditions set forth
in the Warrants; and

     B. To induce the Initial Investors to execute and deliver the Securities
Purchase Agreement, the Company has agreed to provide certain registration
rights under the Securities Act of 1933, as amended, and the rules and
regulations thereunder, or any similar successor statute (collectively, the
"1933 ACT"), and applicable state securities laws;

     NOW, THEREFORE, in consideration of the premises and the mutual covenants
contained herein and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Company and each of the
Initial Investors hereby agree as follows:

          1. DEFINITIONS.

               A. As used in this Agreement, the following terms shall have the
following meanings:

                    (I) "INVESTORS" means the Initial Investors and any
transferee or assignee who agrees to become bound by the provisions of this
Agreement in accordance with Section 9 hereof.

                    (II) "REGISTER," "REGISTERED," and "REGISTRATION" refer to a
registration effected by preparing and filing a Registration Statement or
Statements in compliance with the 1933 Act and pursuant to Rule 415 under the
1933 Act or any successor rule providing for offering securities on a continuous
basis ("RULE 415"), and the declaration or ordering of effectiveness of such
Registration Statement by the United States Securities and Exchange Commission
(the "SEC").

                    (III) "REGISTRABLE SECURITIES" means the Conversion Shares
issued or issuable upon conversion or otherwise pursuant to the Notes and
Additional Notes (as

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defined in the Securities Purchase Agreement) including, without limitation,
Damages Shares (as defined in the Notes) issued or issuable pursuant to the
Notes, shares of Common Stock issued or issuable in payment of the Standard
Liquidated Damages Amount (as defined in the Securities Purchase Agreement),
shares issued or issuable in respect of interest or in redemption of the Notes
in accordance with the terms thereof) and Warrant Shares issuable, upon exercise
or otherwise pursuant to the Warrants and Additional Warrants (as defined in the
Securities Purchase Agreement), and any shares of capital stock issued or
issuable as a dividend on or in exchange for or otherwise with respect to any of
the foregoing.

                    (IV) "REGISTRATION STATEMENT" means a registration statement
of the Company under the 1933 Act.

               B. Capitalized terms used herein and not otherwise defined herein
shall have the respective meanings set forth in the Securities Purchase
Agreement or the Convertible Note.

          2. REGISTRATION.

               A. MANDATORY REGISTRATION. The Company shall prepare, and, on or
prior to sixty (60) days from the date of Closing (as defined in the Securities
Purchase Agreement) (the "FILING DATE"), file with the SEC a Registration
Statement on Form S-3 (or, if Form S-3 is not then available, on such form of
Registration Statement as is then available to effect a registration of the
Registrable Securities, subject to the consent of the Initial Investors, which
consent will not be unreasonably withheld) covering the resale of the
Registrable Securities underlying the Notes and Warrants issued or issuable
pursuant to the Securities Purchase Agreement, which Registration Statement, to
the extent allowable under the 1933 Act and the rules and regulations
promulgated thereunder (including Rule 416), shall state that such Registration
Statement also covers such indeterminate number of additional shares of Common
Stock as may become issuable upon conversion of or otherwise pursuant to the
Notes and exercise of the Warrants to prevent dilution resulting from stock
splits, stock dividends or similar transactions. The number of shares of Common
Stock initially included in such Registration Statement shall be no less than an
amount equal to two (2) times the sum of the number of Conversion Shares that
are then issuable upon conversion of the Notes and Additional Notes (based on
the Variable Conversion Price as would then be in effect and assuming the
Variable Conversion Price is the Conversion Price at such time), and the number
of Warrant Shares that are then issuable upon exercise of the Warrants, without
regard to any limitation on the Investor's ability to convert the Notes or
exercise the Warrants. The Company acknowledges that the number of shares
initially included in the Registration Statement represents a good faith
estimate of the maximum number of shares issuable upon conversion of the Notes
and upon exercise of the Warrants.

               B. UNDERWRITTEN OFFERING. If any offering pursuant to a
Registration Statement pursuant to Section 2(a) hereof involves an underwritten
offering, the Investors who hold a majority in interest of the Registrable
Securities subject to such underwritten offering, with the consent of a
majority-in-interest of the Initial Investors, shall have the right to select
one legal counsel and an investment banker or bankers and manager or managers to
administer the

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offering, which investment banker or bankers or manager or managers shall be
reasonably satisfactory to the Company.

               C. PAYMENTS BY THE COMPANY. The Company shall use its best
efforts to obtain effectiveness of the Registration Statement as soon as
practicable. If (i) the Registration Statement(s) covering the Registrable
Securities required to be filed by the Company pursuant to Section 2(a) hereof
is not filed by the Filing Date or declared effective by the SEC on or prior to
one hundred (100) days from the date of Closing (as defined in the Securities
Purchase Agreement), or (ii) after the Registration Statement has been declared
effective by the SEC, sales of all of the Registrable Securities cannot be made
pursuant to the Registration Statement, or (iii) the Common Stock is not listed
or included for quotation on the Nasdaq National Market ("NASDAQ"), the Nasdaq
SmallCap Market ("NASDAQ SMALLCAP"), the New York Stock Exchange (the "NYSE") or
the American Stock Exchange (the "AMEX") after being so listed or included for
quotation, or (iv) the Common Stock ceases to be traded on the Over-the-Counter
Bulletin Board (the "OTCBB") or any equivalent replacement exchange prior to
being listed or included for quotation on one of the aforementioned markets,
then the Company will make payments to the Investors in such amounts and at such
times as shall be determined pursuant to this Section 2(c) as partial relief for
the damages to the Investors by reason of any such delay in or reduction of
their ability to sell the Registrable Securities (which remedy shall not be
exclusive of any other remedies available at law or in equity). The Company
shall pay to each holder of the Notes or Registrable Securities an amount equal
to the then outstanding principal amount of the Notes (and, in the case of
holders of Registrable Securities, the principal amount of Notes from which such
Registrable Securities were converted) ("OUTSTANDING PRINCIPAL AMOUNT"),
multiplied by the Applicable Percentage (as defined below) times the sum of: (i)
the number of months (prorated for partial months) after the Filing Date or the
end of the aforementioned one hundred (100) day period and prior to the date the
Registration Statement is declared effective by the SEC, provided, however, that
there shall be excluded from such period any delays which are solely
attributable to changes required by the Investors in the Registration Statement
with respect to information relating to the Investors, including, without
limitation, changes to the plan of distribution, or to the failure of the
Investors to conduct their review of the Registration Statement pursuant to
Section 3(h) below in a reasonably prompt manner; (ii) the number of months
(prorated for partial months) that sales of all of the Registrable Securities
cannot be made pursuant to the Registration Statement after the Registration
Statement has been declared effective (including, without limitation, when sales
cannot be made by reason of the Company's failure to properly supplement or
amend the prospectus included therein in accordance with the terms of this
Agreement, but excluding any days during an Allowed Delay (as defined in Section
3(f)); and (iii) the number of months (prorated for partial months) that the
Common Stock is not listed or included for quotation on the OTCBB, Nasdaq,
Nasdaq SmallCap, NYSE or AMEX or that trading thereon is halted after the
Registration Statement has been declared effective. The term "APPLICABLE
PERCENTAGE" means two hundredths (.02). (For example, if the Registration
Statement becomes effective one (1) month after the end of such one hundred
(100) day period, the Company would pay $5,000 for each $250,000 of Outstanding
Principal Amount. If thereafter, sales could not be made pursuant to the
Registration Statement for an additional period of one (1) month, the Company
would pay an additional $5,000 for each $250,000 of Outstanding Principal
Amount.) Such amounts shall be paid in cash or, at the Company's option, in
shares of Common Stock priced at the Conversion Price (as defined in the Notes)
on such payment date.

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               D. PIGGY-BACK REGISTRATIONS. Subject to the last sentence of this
Section 2(d), if at any time prior to the expiration of the Registration Period
(as hereinafter defined) the Company shall determine to file with the SEC a
Registration Statement relating to an offering for its own account or the
account of others under the 1933 Act of any of its equity securities (other than
on Form S-4 or Form S-8 or their then equivalents relating to equity securities
to be issued solely in connection with any acquisition of any entity or business
or equity securities issuable in connection with stock option or other bona
fide, employee benefit plans), the Company shall send to each Investor who is
entitled to registration rights under this Section 2(d) written notice of such
determination and, if within fifteen (15) days after the effective date of such
notice, such Investor shall so request in writing, the Company shall include in
such Registration Statement all or any part of the Registrable Securities such
Investor requests to be registered, except that if, in connection with any
underwritten public offering for the account of the Company the managing
underwriter(s) thereof shall impose a limitation on the number of shares of
Common Stock which may be included in the Registration Statement because, in
such underwriter(s)' judgment, marketing or other factors dictate such
limitation is necessary to facilitate public distribution, then the Company
shall be obligated to include in such Registration Statement only such limited
portion of the Registrable Securities with respect to which such Investor has
requested inclusion hereunder as the underwriter shall permit. Any exclusion of
Registrable Securities shall be made pro rata among the Investors seeking to
include Registrable Securities in proportion to the number of Registrable
Securities sought to be included by such Investors; provided, however, that the
Company shall not exclude any Registrable Securities unless the Company has
first excluded all outstanding securities, the holders of which are not entitled
to inclusion of such securities in such Registration Statement or are not
entitled to pro rata inclusion with the Registrable Securities; and provided,
further, however, that, after giving effect to the immediately preceding
proviso, any exclusion of Registrable Securities shall be made pro rata with
holders of other securities having the right to include such securities in the
Registration Statement other than holders of securities entitled to inclusion of
their securities in such Registration Statement by reason of demand registration
rights. No right to registration of Registrable Securities under this Section
2(d) shall be construed to limit any registration required under Section 2(a)
hereof. If an offering in connection with which an Investor is entitled to
registration under this Section 2(d) is an underwritten offering, then each
Investor whose Registrable Securities are included in such Registration
Statement shall, unless otherwise agreed by the Company, offer and sell such
Registrable Securities in an underwritten offering using the same underwriter or
underwriters and, subject to the provisions of this Agreement, on the same terms
and conditions as other shares of Common Stock included in such underwritten
offering. Notwithstanding anything to the contrary set forth herein, the
registration rights of the Investors pursuant to this Section 2(d) shall only be
available in the event the Company fails to timely file, obtain effectiveness or
maintain effectiveness of any Registration Statement to be filed pursuant to
Section 2(a) in accordance with the terms of this Agreement.

               E. ELIGIBILITY FOR FORM S-3, SB-2 OR S-1; CONVERSION TO FORM S-3.
The Company represents and warrants that it meets the requirements for the use
of Form S-3, SB-2 or S-1 for registration of the sale by the Initial Investors
and any other Investors of the Registrable Securities. The Company agrees to
file all reports required to be filed by the Company with the SEC in a timely
manner so as to remain eligible or become eligible, as the case may be, and
thereafter to maintain its eligibility, for the use of Form S-3. If the Company
is not currently eligible to use Form S-3, not later than five (5) business days
after the Company

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<PAGE>

first meets the registration eligibility and transaction requirements for the
use of Form S-3 (or any successor form) for registration of the offer and sale
by the Initial Investors and any other Investors of Registrable Securities, the
Company shall file a Registration Statement on Form S-3 (or such successor form)
with respect to the Registrable Securities covered by the Registration Statement
on Form SB-2 or Form S-1, whichever is applicable, filed pursuant to Section
2(a) (and include in such Registration Statement on Form S-3 the information
required by Rule 429 under the 1933 Act) or convert the Registration Statement
on Form SB-2 or Form S-1, whichever is applicable, filed pursuant to Section
2(a) to a Form S-3 pursuant to Rule 429 under the 1933 Act and cause such
Registration Statement (or such amendment) to be declared effective no later
than thirty (30) days after filing. In the event of a breach by the Company of
the provisions of this Section 2(e), the Company will be required to make
payments pursuant to Section 2(c) hereof.

          3. OBLIGATIONS OF THE COMPANY.

     In connection with the registration of the Registrable Securities, the
Company shall have the following obligations:

               A. The Company shall prepare promptly, and file with the SEC not
later than the Filing Date, a Registration Statement with respect to the number
of Registrable Securities provided in Section 2(a), and thereafter use its best
efforts to cause such Registration Statement relating to Registrable Securities
to become effective as soon as possible after such filing but in no event later
than one hundred (100) days from the date of Closing), and keep the Registration
Statement effective pursuant to Rule 415 at all times until such date as is the
earlier of (i) the date on which all of the Registrable Securities have been
sold and (ii) the date on which the Registrable Securities (in the opinion of
counsel to the Initial Investors) may be immediately sold to the public without
registration or restriction (including, without limitation, as to volume by each
holder thereof) under the 1933 Act (the "REGISTRATION PERIOD"), which
Registration Statement (including any amendments or supplements thereto and
prospectuses contained therein) shall not contain any untrue statement of a
material fact or omit to state a material fact required to be stated therein, or
necessary to make the statements therein not misleading.

               B. The Company shall prepare and file with the SEC such
amendments (including post-effective amendments) and supplements to the
Registration Statements and the prospectus used in connection with the
Registration Statements as may be necessary to keep the Registration Statements
effective at all times during the Registration Period, and, during such period,
comply with the provisions of the 1933 Act with respect to the disposition of
all Registrable Securities of the Company covered by the Registration Statements
until such time as all of such Registrable Securities have been disposed of in
accordance with the intended methods of disposition by the seller or sellers
thereof as set forth in the Registration Statements. In the event the number of
shares available under a Registration Statement filed pursuant to this Agreement
is insufficient to cover all of the Registrable Securities issued or issuable
upon conversion of the Notes and exercise of the Warrants, the Company shall
amend the Registration Statement, or file a new Registration Statement (on the
short form available therefor, if applicable), or both, so as to cover all of
the Registrable Securities, in each case, as soon as practicable, but in any
event within fifteen (15) days after the necessity therefor arises (based on the
market price of the Common Stock and other relevant factors on which the

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<PAGE>

Company reasonably elects to rely). The Company shall use its best efforts to
cause such amendment and/or new Registration Statement to become effective as
soon as practicable following the filing thereof, but in any event within thirty
(30) days after the date on which the Company reasonably first determines (or
reasonably should have determined) the need therefor. The provisions of Section
2(c) above shall be applicable with respect to such obligation, with the one
hundred (100) days running from the day the Company reasonably first determines
(or reasonably should have determined) the need therefor.

               C. The Company shall furnish to each Investor whose Registrable
Securities are included in a Registration Statement and its legal counsel (i)
promptly (but in no event more than three (3) business days) after the same is
prepared and publicly distributed, filed with the SEC, or received by the
Company, one copy of each Registration Statement and any amendment thereto, each
preliminary prospectus and prospectus and each amendment or supplement thereto,
and, in the case of the Registration Statement referred to in Section 2(a), each
letter written by or on behalf of the Company to the SEC or the staff of the
SEC, and each item of correspondence from the SEC or the staff of the SEC, in
each case relating to such Registration Statement (other than any portion of any
thereof which contains information for which the Company has sought confidential
treatment), and (ii) promptly (but in no event more than two (2) business days)
after the Registration Statement is declared effective by the SEC, such number
of copies of a prospectus, including a preliminary prospectus, and all
amendments and supplements thereto and such other documents as such Investor may
reasonably request in order to facilitate the disposition of the Registrable
Securities owned by such Investor. The Company will immediately notify each
Investor by facsimile of the effectiveness of each Registration Statement or any
post-effective amendment. The Company will promptly respond to any and all
comments received from the SEC (which comments shall promptly be made available
to the Investors upon request), with a view towards causing each Registration
Statement or any amendment thereto to be declared effective by the SEC as soon
as practicable, shall promptly file an acceleration request as soon as
practicable (but in no event more than two (2) business days) following the
resolution or clearance of all SEC comments or, if applicable, following
notification by the SEC that any such Registration Statement or any amendment
thereto will not be subject to review and shall promptly file with the SEC a
final prospectus as soon as practicable (but in no event more than two (2)
business days) following receipt by the Company from the SEC of an order
declaring the Registration Statement effective. In the event of a breach by the
Company of the provisions of this Section 3(c), the Company will be required to
make payments pursuant to Section 2(c) hereof.

               D. The Company shall use reasonable efforts to (i) register and
qualify the Registrable Securities covered by the Registration Statements under
such other securities or "blue sky" laws of such jurisdictions in the United
States as the Investors who hold a majority in interest of the Registrable
Securities being offered reasonably request, (ii) prepare and file in those
jurisdictions such amendments (including post-effective amendments) and
supplements to such registrations and qualifications as may be necessary to
maintain the effectiveness thereof during the Registration Period, (iii) take
such other actions as may be necessary to maintain such registrations and
qualifications in effect at all times during the Registration Period, and (iv)
take all other actions reasonably necessary or advisable to qualify the
Registrable Securities for sale in such jurisdictions; PROVIDED, HOWEVER, that
the Company shall not be required in connection therewith or as a condition
thereto to (a) qualify to do

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business in any jurisdiction where it would not otherwise be required to qualify
but for this Section 3(d), (b) subject itself to general taxation in any such
jurisdiction, (c) file a general consent to service of process in any such
jurisdiction, (d) provide any undertakings that cause the Company undue expense
or burden, or (e) make any change in its charter or bylaws, which in each case
the Board of Directors of the Company determines to be contrary to the best
interests of the Company and its shareholders.

               E. In the event Investors who hold a majority-in-interest of the
Registrable Securities being offered in the offering (with the approval of a
majority-in-interest of the Initial Investors) select underwriters for the
offering, the Company shall enter into and perform its obligations under an
underwriting agreement, in usual and customary form, including, without
limitation, customary indemnification and contribution obligations, with the
underwriters of such offering.

               F. As promptly as practicable after becoming aware of such event,
the Company shall notify each Investor of the happening of any event, of which
the Company has knowledge, as a result of which the prospectus included in any
Registration Statement, as then in effect, includes an untrue statement of a
material fact or omission to state a material fact required to be stated therein
or necessary to make the statements therein not misleading, and use its best
efforts promptly to prepare a supplement or amendment to any Registration
Statement to correct such untrue statement or omission, and deliver such number
of copies of such supplement or amendment to each Investor as such Investor may
reasonably request; provided that, for not more than ten (10) consecutive
trading days (or a total of not more than twenty (20) trading days in any twelve
(12) month period), the Company may delay the disclosure of material non-public
information concerning the Company (as well as prospectus or Registration
Statement updating) the disclosure of which at the time is not, in the good
faith opinion of the Company, in the best interests of the Company (an "ALLOWED
DELAY"); provided, further, that the Company shall promptly (i) notify the
Investors in writing of the existence of (but in no event, without the prior
written consent of an Investor, shall the Company disclose to such investor any
of the facts or circumstances regarding) material non-public information giving
rise to an Allowed Delay and (ii) advise the Investors in writing to cease all
sales under such Registration Statement until the end of the Allowed Delay. Upon
expiration of the Allowed Delay, the Company shall again be bound by the first
sentence of this Section 3(f) with respect to the information giving rise
thereto.

               G. The Company shall use its best efforts to prevent the issuance
of any stop order or other suspension of effectiveness of any Registration
Statement, and, if such an order is issued, to obtain the withdrawal of such
order at the earliest possible moment and to notify each Investor who holds
Registrable Securities being sold (or, in the event of an underwritten offering,
the managing underwriters) of the issuance of such order and the resolution
thereof.

               H. The Company shall permit a single firm of counsel designated
by the Initial Investors to review such Registration Statement and all
amendments and supplements thereto (as well as all requests for acceleration or
effectiveness thereof) a reasonable period of time prior to their filing with
the SEC, and not file any document in a form to which such counsel reasonably
objects and will not request acceleration of such Registration Statement without
prior notice to such counsel. The sections of such Registration Statement
covering

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information with respect to the Investors, the Investor's beneficial ownership
of securities of the Company or the Investors intended method of disposition of
Registrable Securities shall conform to the information provided to the Company
by each of the Investors.

               I. The Company shall make generally available to its security
holders as soon as practicable, but not later than one hundred (100) days after
the close of the period covered thereby, an earnings statement (in form
complying with the provisions of Rule 158 under the 1933 Act) covering a
twelve-month period beginning not later than the first day of the Company's
fiscal quarter next following the effective date of the Registration Statement.

               J. At the request of any Investor, the Company shall furnish, on
the date that Registrable Securities are delivered to an underwriter, if any,
for sale in connection with any Registration Statement or, if such securities
are not being sold by an underwriter, on the date of effectiveness thereof (i)
an opinion, dated as of such date, from counsel representing the Company for
purposes of such Registration Statement, in form, scope and substance as is
customarily given in an underwritten public offering, addressed to the
underwriters, if any, and the Investors and (ii) a letter, dated such date, from
the Company's independent certified public accountants in form and substance as
is customarily given by independent certified public accountants to underwriters
in an underwritten public offering, addressed to the underwriters, if any, and
the Investors.

               K. The Company shall make available for inspection by (i) any
Investor, (ii) any underwriter participating in any disposition pursuant to a
Registration Statement, (iii) one firm of attorneys and one firm of accountants
or other agents retained by the Initial Investors, (iv) one firm of attorneys
and one firm of accountants or other agents retained by all other Investors, and
(v) one firm of attorneys retained by all such underwriters (collectively, the
"INSPECTORS") all pertinent financial and other records, and pertinent corporate
documents and properties of the Company, including without limitation, records
of conversions by other holders of convertible securities issued by the Company
and the issuance of stock to such holders pursuant to the conversions
(collectively, the "RECORDS"), as shall be reasonably deemed necessary by each
Inspector to enable each Inspector to exercise its due diligence responsibility,
and cause the Company's officers, directors and employees to supply all
information which any Inspector may reasonably request for purposes of such due
diligence; provided, however, that each Inspector shall hold in confidence and
shall not make any disclosure (except to an Investor) of any Record or other
information which the Company determines in good faith to be confidential, and
of which determination the Inspectors are so notified, unless (a) the disclosure
of such Records is necessary to avoid or correct a misstatement or omission in
any Registration Statement, (b) the release of such Records is ordered pursuant
to a subpoena or other order from a court or government body of competent
jurisdiction, or (c) the information in such Records has been made generally
available to the public other than by disclosure in violation of this or any
other agreement. The Company shall not be required to disclose any confidential
information in such Records to any Inspector until and unless such Inspector
shall have entered into confidentiality agreements (in form and substance
satisfactory to the Company) with the Company with respect thereto,
substantially in the form of this Section 3(k). Each Investor agrees that it
shall, upon learning that disclosure of such Records is sought in or by a court
or governmental body of competent jurisdiction or through other means, give
prompt notice to the Company and allow the Company, at its expense, to undertake
appropriate

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action to prevent disclosure of, or to obtain a protective order for, the
Records deemed confidential. Nothing herein (or in any other confidentiality
agreement between the Company and any Investor) shall be deemed to limit the
Investor's ability to sell Registrable Securities in a manner which is otherwise
consistent with applicable laws and regulations.

               L. The Company shall hold in confidence and not make any
disclosure of information concerning an Investor provided to the Company unless
(i) disclosure of such information is necessary to comply with federal or state
securities laws, (ii) the disclosure of such information is necessary to avoid
or correct a misstatement or omission in any Registration Statement, (iii) the
release of such information is ordered pursuant to a subpoena or other order
from a court or governmental body of competent jurisdiction, or (iv) such
information has been made generally available to the public other than by
disclosure in violation of this or any other agreement. The Company agrees that
it shall, upon learning that disclosure of such information concerning an
Investor is sought in or by a court or governmental body of competent
jurisdiction or through other means, give prompt notice to such Investor prior
to making such disclosure, and allow the Investor, at its expense, to undertake
appropriate action to prevent disclosure of, or to obtain a protective order
for, such information.

               M. The Company shall (i) cause all the Registrable Securities
covered by the Registration Statement to be listed on each national securities
exchange on which securities of the same class or series issued by the Company
are then listed, if any, if the listing of such Registrable Securities is then
permitted under the rules of such exchange, or (ii) to the extent the securities
of the same class or series are not then listed on a national securities
exchange, secure the designation and quotation, of all the Registrable
Securities covered by the Registration Statement on Nasdaq or, if not eligible
for Nasdaq, on Nasdaq SmallCap or, if not eligible for Nasdaq or Nasdaq
SmallCap, on the OTCBB and, without limiting the generality of the foregoing, to
arrange for at least two market makers to register with the National Association
of Securities Dealers, Inc. ("NASD") as such with respect to such Registrable
Securities.

               N. The Company shall provide a transfer agent and registrar,
which may be a single entity, for the Registrable Securities not later than the
effective date of the Registration Statement.

               O. The Company shall cooperate with the Investors who hold
Registrable Securities being offered and the managing underwriter or
underwriters, if any, to facilitate the timely preparation and delivery of
certificates (not bearing any restrictive legends) representing Registrable
Securities to be offered pursuant to a Registration Statement and enable such
certificates to be in such denominations or amounts, as the case may be, as the
managing underwriter or underwriters, if any, or the Investors may reasonably
request and registered in such names as the managing underwriter or
underwriters, if any, or the Investors may request, and, within three (3)
business days after a Registration Statement which includes Registrable
Securities is ordered effective by the SEC, the Company shall deliver, and shall
cause legal counsel selected by the Company to deliver, to the transfer agent
for the Registrable Securities (with copies to the Investors whose Registrable
Securities are included in such Registration Statement) an instruction in the
form attached hereto as EXHIBIT 1 and an opinion of such counsel in the form
attached hereto as EXHIBIT 2.

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               P. At the request of the holders of a majority-in-interest of the
Registrable Securities, the Company shall prepare and file with the SEC such
amendments (including post-effective amendments) and supplements to a
Registration Statement and any prospectus used in connection with the
Registration Statement as may be necessary in order to change the plan of
distribution set forth in such Registration Statement.

               Q. From and after the date of this Agreement, the Company shall
not, and shall not agree to, allow the holders of any securities of the Company
to include any of their securities in any Registration Statement under Section
2(a) hereof or any amendment or supplement thereto under Section 3(b) hereof
without the consent of the holders of a majority-in-interest of the Registrable
Securities.

               R. The Company shall take all other reasonable actions necessary
to expedite and facilitate disposition by the Investors of Registrable
Securities pursuant to a Registration Statement.

          4. OBLIGATIONS OF THE INVESTORS.

     In connection with the registration of the Registrable Securities, the
Investors shall have the following obligations:

               A. It shall be a condition precedent to the obligations of the
Company to complete the registration pursuant to this Agreement with respect to
the Registrable Securities of a particular Investor that such Investor shall
furnish to the Company such information regarding itself, the Registrable
Securities held by it and the intended method of disposition of the Registrable
Securities held by it as shall be reasonably required to effect the registration
of such Registrable Securities and shall execute such documents in connection
with such registration as the Company may reasonably request. At least three (3)
business days prior to the first anticipated filing date of the Registration
Statement, the Company shall notify each Investor of the information the Company
requires from each such Investor.

               B. Each Investor, by such Investor's acceptance of the
Registrable Securities, agrees to cooperate with the Company as reasonably
requested by the Company in connection with the preparation and filing of the
Registration Statements hereunder, unless such Investor has notified the Company
in writing of such Investor's election to exclude all of such Investor's
Registrable Securities from the Registration Statements.

               C. In the event Investors holding a majority-in-interest of the
Registrable Securities being registered (with the approval of the Initial
Investors) determine to engage the services of an underwriter, each Investor
agrees to enter into and perform such Investor's obligations under an
underwriting agreement, in usual and customary form, including, without
limitation, customary indemnification and contribution obligations, with the
managing underwriter of such offering and take such other actions as are
reasonably required in order to expedite or facilitate the disposition of the
Registrable Securities, unless such Investor has notified the Company in writing
of such Investor's election to exclude all of such Investor's Registrable
Securities from such Registration Statement.

                                       10
<PAGE>

               D. Each Investor agrees that, upon receipt of any notice from the
Company of the happening of any event of the kind described in Section 3(f) or
3(g), such Investor will immediately discontinue disposition of Registrable
Securities pursuant to the Registration Statement covering such Registrable
Securities until such Investor's receipt of the copies of the supplemented or
amended prospectus contemplated by Section 3(f) or 3(g) and, if so directed by
the Company, such Investor shall deliver to the Company (at the expense of the
Company) or destroy (and deliver to the Company a certificate of destruction)
all copies in such Investor's possession, of the prospectus covering such
Registrable Securities current at the time of receipt of such notice.

               E. No Investor may participate in any underwritten registration
hereunder unless such Investor (i) agrees to sell such Investor's Registrable
Securities on the basis provided in any underwriting arrangements in usual and
customary form entered into by the Company, (ii) completes and executes all
questionnaires, powers of attorney, indemnities, underwriting agreements and
other documents reasonably required under the terms of such underwriting
arrangements, and (iii) agrees to pay its pro rata share of all underwriting
discounts and commissions and any expenses in excess of those payable by the
Company pursuant to Section 5 below.

          5.  EXPENSES OF REGISTRATION.

               All reasonable expenses, other than underwriting discounts and
commissions, incurred in connection with registrations, filings or
qualifications pursuant to Sections 2 and 3, including, without limitation, all
registration, listing and qualification fees, printers and accounting fees, the
fees and disbursements of counsel for the Company, and the reasonable fees and
disbursements of one counsel selected by the Initial Investors pursuant to
Sections 2(b) and 3(h) hereof shall be borne by the Company.

          6.  INDEMNIFICATION.

     In the event any Registrable Securities are included in a Registration
Statement under this Agreement:

               A. To the extent permitted by law, the Company will indemnify,
hold harmless and defend (i) each Investor who holds such Registrable
Securities, (ii) the directors, officers, partners, employees, agents and each
person who controls any Investor within the meaning of the 1933 Act or the
Securities Exchange Act of 1934, as amended (the "1934 ACT"), if any, (iii) any
underwriter (as defined in the 1933 Act) for the Investors, and (iv) the
directors, officers, partners, employees and each person who controls any such
underwriter within the meaning of the 1933 Act or the 1934 Act, if any (each, an
"INDEMNIFIED PERSON"), against any joint or several losses, claims, damages,
liabilities or expenses (collectively, together with actions, proceedings or
inquiries by any regulatory or self-regulatory organization, whether commenced
or threatened, in respect thereof, "CLAIMS") to which any of them may become
subject insofar as such Claims arise out of or are based upon: (i) any untrue
statement or alleged untrue statement of a material fact in a Registration
Statement or the omission or alleged omission to state therein a material fact
required to be stated or necessary to make the statements therein not
misleading; (ii) any untrue statement or alleged untrue statement of a material
fact

                                       11
<PAGE>

contained in any preliminary prospectus if used prior to the effective date of
such Registration Statement, or contained in the final prospectus (as amended or
supplemented, if the Company files any amendment thereof or supplement thereto
with the SEC) or the omission or alleged omission to state therein any material
fact necessary to make the statements made therein, in light of the
circumstances under which the statements therein were made, not misleading; or
(iii) any violation or alleged violation by the Company of the 1933 Act, the
1934 Act, any other law, including, without limitation, any state securities
law, or any rule or regulation thereunder relating to the offer or sale of the
Registrable Securities (the matters in the foregoing clauses (i) through (iii)
being, collectively, "VIOLATIONS"). Subject to the restrictions set forth in
Section 6(c) with respect to the number of legal counsel, the Company shall
reimburse the Indemnified Person, promptly as such expenses are incurred and are
due and payable, for any reasonable legal fees or other reasonable expenses
incurred by them in connection with investigating or defending any such Claim.
Notwithstanding anything to the contrary contained herein, the indemnification
agreement contained in this Section 6(a): (i) shall not apply to a Claim arising
out of or based upon a Violation which occurs in reliance upon and in conformity
with information furnished in writing to the Company by any Indemnified Person
or underwriter for such Indemnified Person expressly for use in connection with
the preparation of such Registration Statement or any such amendment thereof or
supplement thereto, if such prospectus was timely made available by the Company
pursuant to Section 3(c) hereof; (ii) shall not apply to amounts paid in
settlement of any Claim if such settlement is effected without the prior written
consent of the Company, which consent shall not be unreasonably withheld; and
(iii) with respect to any preliminary prospectus, shall not inure to the benefit
of any Indemnified Person if the untrue statement or omission of material fact
contained in the preliminary prospectus was corrected on a timely basis in the
prospectus, as then amended or supplemented, such corrected prospectus was
timely made available by the Company pursuant to Section 3(c) hereof, and the
Indemnified Person was promptly advised in writing not to use the incorrect
prospectus prior to the use giving rise to a Violation and such Indemnified
Person, notwithstanding such advice, used it. Such indemnity shall remain in
full force and effect regardless of any investigation made by or on behalf of
the Indemnified Person and shall survive the transfer of the Registrable
Securities by the Investors pursuant to Section 9.

               B. In connection with any Registration Statement in which an
Investor is participating, each such Investor agrees severally and not jointly
to indemnify, hold harmless and defend, to the same extent and in the same
manner set forth in Section 6(a), the Company, each of its directors, each of
its officers who signs the Registration Statement, each person, if any, who
controls the Company within the meaning of the 1933 Act or the 1934 Act, any
underwriter and any other shareholder selling securities pursuant to the
Registration Statement or any of its directors or officers or any person who
controls such shareholder or underwriter within the meaning of the 1933 Act or
the 1934 Act (collectively and together with an Indemnified Person, an
"INDEMNIFIED PARTY"), against any Claim to which any of them may become subject,
under the 1933 Act, the 1934 Act or otherwise, insofar as such Claim arises out
of or is based upon any Violation by such Investor, in each case to the extent
(and only to the extent) that such Violation occurs in reliance upon and in
conformity with written information furnished to the Company by such Investor
expressly for use in connection with such Registration Statement; and subject to
Section 6(c) such Investor will reimburse any legal or other expenses (promptly
as such expenses are incurred and are due and payable) reasonably incurred by
them in connection with investigating or defending any such Claim; PROVIDED,

                                       12
<PAGE>

HOWEVER, that the indemnity agreement contained in this Section 6(b) shall not
apply to amounts paid in settlement of any Claim if such settlement is effected
without the prior written consent of such Investor, which consent shall not be
unreasonably withheld; provided, further, however, that the Investor shall be
liable under this Agreement (including this Section 6(b) and Section 7) for only
that amount as does not exceed the net proceeds to such Investor as a result of
the sale of Registrable Securities pursuant to such Registration Statement. Such
indemnity shall remain in full force and effect regardless of any investigation
made by or on behalf of such Indemnified Party and shall survive the transfer of
the Registrable Securities by the Investors pursuant to Section 9.
Notwithstanding anything to the contrary contained herein, the indemnification
agreement contained in this Section 6(b) with respect to any preliminary
prospectus shall not inure to the benefit of any Indemnified Party if the untrue
statement or omission of material fact contained in the preliminary prospectus
was corrected on a timely basis in the prospectus, as then amended or
supplemented.

               C. Promptly after receipt by an Indemnified Person or Indemnified
Party under this Section 6 of notice of the commencement of any action
(including any governmental action), such Indemnified Person or Indemnified
Party shall, if a Claim in respect thereof is to be made against any
indemnifying party under this Section 6, deliver to the indemnifying party a
written notice of the commencement thereof, and the indemnifying party shall
have the right to participate in, and, to the extent the indemnifying party so
desires, jointly with any other indemnifying party similarly noticed, to assume
control of the defense thereof with counsel mutually satisfactory to the
indemnifying party and the Indemnified Person or the Indemnified Party, as the
case may be; provided, however, that an Indemnified Person or Indemnified Party
shall have the right to retain its own counsel with the fees and expenses to be
paid by the indemnifying party, if, in the reasonable opinion of counsel
retained by the indemnifying party, the representation by such counsel of the
Indemnified Person or Indemnified Party and the indemnifying party would be
inappropriate due to actual or potential differing interests between such
Indemnified Person or Indemnified Party and any other party represented by such
counsel in such proceeding. The indemnifying party shall pay for only one
separate legal counsel for the Indemnified Persons or the Indemnified Parties,
as applicable, and such legal counsel shall be selected by Investors holding a
majority-in-interest of the Registrable Securities included in the Registration
Statement to which the Claim relates (with the approval of a
majority-in-interest of the Initial Investors), if the Investors are entitled to
indemnification hereunder, or the Company, if the Company is entitled to
indemnification hereunder, as applicable. The failure to deliver written notice
to the indemnifying party within a reasonable time of the commencement of any
such action shall not relieve such indemnifying party of any liability to the
Indemnified Person or Indemnified Party under this Section 6, except to the
extent that the indemnifying party is actually prejudiced in its ability to
defend such action. The indemnification required by this Section 6 shall be made
by periodic payments of the amount thereof during the course of the
investigation or defense, as such expense, loss, damage or liability is incurred
and is due and payable.

                                       13
<PAGE>

          7. CONTRIBUTION.

     To the extent any indemnification by an indemnifying party is prohibited
or limited by law, the indemnifying party agrees to make the maximum
contribution with respect to any amounts for which it would otherwise be liable
under Section 6 to the fullest extent permitted by law; provided, however, that
(i) no contribution shall be made under circumstances where the maker would not
have been liable for indemnification under the fault standards set forth in
Section 6, (ii) no seller of Registrable Securities guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be
entitled to contribution from any seller of Registrable Securities who was not
guilty of such fraudulent misrepresentation, and (iii)contribution (together
with any indemnification or other obligations under this Agreement) by any
seller of Registrable Securities shall be limited in amount to the net amount of
proceeds received by such seller from the sale of such Registrable Securities.

          8.  REPORTS UNDER THE 1934 ACT.

     With a view to making available to the Investors the benefits of Rule 144
promulgated under the 1933 Act or any other similar rule or regulation of the
SEC that may at any time permit the investors to sell securities of the Company
to the public without registration ("RULE 144"), the Company agrees to:

               A. make and keep public information available, as those terms are
understood and defined in Rule 144;

               B. file with the SEC in a timely manner all reports and other
documents required of the Company under the 1933 Act and the 1934 Act so long as
the Company remains subject to such requirements (it being understood that
nothing herein shall limit the Company's obligations under Section 4(c) of the
Securities Purchase Agreement) and the filing of such reports and other
documents is required for the applicable provisions of Rule 144; and

               C. furnish to each Investor so long as such Investor owns
Registrable Securities, promptly upon request, (i) a written statement by the
Company that it has complied with the reporting requirements of Rule 144, the
1933 Act and the 1934 Act, (ii) a copy of the most recent annual or quarterly
report of the Company and such other reports and documents so filed by the
Company, and (iii) such other information as may be reasonably requested to
permit the Investors to sell such securities pursuant to Rule 144 without
registration.

          9. ASSIGNMENT OF REGISTRATION RIGHTS.

     The rights under this Agreement shall be automatically assignable by the
Investors to any transferee of all or any portion of Registrable Securities if:
(i) the Investor agrees in writing with the transferee or assignee to assign
such rights, and a copy of such agreement is furnished to the Company within a
reasonable time after such assignment, (ii) the Company is, within a reasonable
time after such transfer or assignment, furnished with written notice of (a) the
name and address of such transferee or assignee, and (b) the securities with
respect to which such registration rights are being transferred or assigned,
(iii) following such transfer or assignment, the further disposition of such
securities by the transferee or assignee is restricted under the 1933

                                       14
<PAGE>

Act and applicable state securities laws, (iv) at or before the time the Company
receives the written notice contemplated by clause (ii) of this sentence, the
transferee or assignee agrees in writing with the Company to be bound by all of
the provisions contained herein, (v) such transfer shall have been made in
accordance with the applicable requirements of the Securities Purchase
Agreement, and (vi) such transferee shall be an "ACCREDITED INVESTOR" as that
term defined in Rule 501 of Regulation D promulgated under the 1933 Act.

          10.  AMENDMENT OF REGISTRATION RIGHTS.

     Provisions of this Agreement may be amended and the observance thereof may
be waived (either generally or in a particular instance and either retroactively
or prospectively), only with written consent of the Company, each of the Initial
Investors (to the extent such Initial Investor still owns Registrable
Securities) and Investors who hold a majority interest of the Registrable
Securities. Any amendment or waiver effected in accordance with this Section 10
shall be binding upon each Investor and the Company.

          11.  MISCELLANEOUS.

               A. A person or entity is deemed to be a holder of Registrable
Securities whenever such person or entity owns of record such Registrable
Securities. If the Company receives conflicting instructions, notices or
elections from two or more persons or entities with respect to the same
Registrable Securities, the Company shall act upon the basis of instructions,
notice or election received from the registered owner of such Registrable
Securities.

               B. Any notices required or permitted to be given under the terms
hereof shall be sent by certified or registered mail (return receipt requested)
or delivered personally or by courier (including a recognized overnight delivery
service) or by facsimile and shall be effective five days after being placed in
the mail, if mailed by regular United States mail, or upon receipt, if delivered
personally or by courier (including a recognized overnight delivery service) or
by facsimile, in each case addressed to a party. The addresses for such
communications shall be:

                      If to the Company:

                      Ruby Mining Company
                      3490 Piedmont Road, Suite 304
                      Atlanta, GA 30305
                      Attention: Chief Executive Officer
                      Telephone:  (404) 231-8500
                      Facsimile:  (404) 231-9400

                                       15
<PAGE>

                      With a copy to:

                      Steven A. Cunningham, P.C.
                      11660 Alpharetta Hwy., Suite 155
                      Roswell, GA 30076
                      Attention:   Steve Cunningham, Esq.
                      Telephone:  (770) 442-2364
                      Facsimile:   (770) 442-2365

If to an Investor: to the address set forth immediately below such Investor's
name on the signature pages to the Securities Purchase Agreement.

                      With a copy to:

                      Ballard Spahr Andrews & Ingersoll, LLP
                      1735 Market Street
                      51st Floor
                      Philadelphia, Pennsylvania  19103
                      Attention:  Gerald J. Guarcini, Esq.
                      Telephone:  215-865-8625
                      Facsimile:  215-864-8999

               C. Failure of any party to exercise any right or remedy under
this Agreement or otherwise, or delay by a party in exercising such right or
remedy, shall not operate as a waiver thereof.

               D. THIS AGREEMENT SHALL BE ENFORCED, GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE
AND TO BE PERFORMED ENTIRELY WITHIN SUCH STATE, WITHOUT REGARD TO THE PRINCIPLES
OF CONFLICT OF LAWS. THE PARTIES HERETO HEREBY SUBMIT TO THE EXCLUSIVE
JURISDICTION OF THE UNITED STATES FEDERAL COURTS LOCATED NEW YORK, NEW YORK WITH
RESPECT TO ANY DISPUTE ARISING UNDER THIS AGREEMENT, THE AGREEMENTS ENTERED INTO
IN CONNECTION HEREWITH OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. BOTH
PARTIES IRREVOCABLY WAIVE THE DEFENSE OF AN INCONVENIENT FORUM TO THE
MAINTENANCE OF SUCH SUIT OR PROCEEDING. BOTH PARTIES FURTHER AGREE THAT SERVICE
OF PROCESS UPON A PARTY MAILED BY FIRST CLASS MAIL SHALL BE DEEMED IN EVERY
RESPECT EFFECTIVE SERVICE OF PROCESS UPON THE PARTY IN ANY SUCH SUIT OR
PROCEEDING. NOTHING HEREIN SHALL AFFECT EITHER PARTY'S RIGHT TO SERVE PROCESS IN
ANY OTHER MANNER PERMITTED BY LAW. BOTH PARTIES AGREE THAT A FINAL
NON-APPEALABLE JUDGMENT IN ANY SUCH SUIT OR PROCEEDING SHALL BE CONCLUSIVE AND
MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON SUCH JUDGMENT OR IN ANY OTHER
LAWFUL MANNER. THE PARTY WHICH DOES NOT PREVAIL IN ANY DISPUTE ARISING UNDER
THIS AGREEMENT SHALL BE RESPONSIBLE FOR

                                       16
<PAGE>

ALL FEES AND EXPENSES, INCLUDING ATTORNEYS' FEES, INCURRED BY THE PREVAILING
PARTY IN CONNECTION WITH SUCH DISPUTE.

               E. In the event that any provision of this Agreement is invalid
or unenforceable under any applicable statute or rule of law, then such
provision shall be deemed inoperative to the extent that it may conflict
therewith and shall be deemed modified to conform with such statute or rule of
law. Any provision hereof which may prove invalid or unenforceable under any law
shall not affect the validity or enforceability of any other provision hereof.

               F. This Agreement, the Notes, the Warrants and the Securities
Purchase Agreement (including all schedules and exhibits thereto) constitute the
entire agreement among the parties hereto with respect to the subject matter
hereof and thereof. There are no restrictions, promises, warranties or
undertakings, other than those set forth or referred to herein and therein. This
Agreement and the Securities Purchase Agreement supersede all prior agreements
and understandings among the parties hereto with respect to the subject matter
hereof and thereof.

               G. Subject to the requirements of Section 9 hereof, this
Agreement shall be binding upon and inure to the benefit of the parties and
their successors and assigns.

               H. The headings in this Agreement are for convenience of
reference only and shall not form part of, or affect the interpretation of, this
Agreement.

               I. This Agreement may be executed in two or more counterparts,
each of which shall be deemed an original but all of which shall constitute one
and the same agreement and shall become effective when counterparts have been
signed by each party and delivered to the other party. This Agreement, once
executed by a party, may be delivered to the other party hereto by facsimile
transmission of a copy of this Agreement bearing the signature of the party so
delivering this Agreement.

               J. Each party shall do and perform, or cause to be done and
performed, all such further acts and things, and shall execute and deliver all
such other agreements, certificates, instruments and documents, as the other
party may reasonably request in order to carry out the intent and accomplish the
purposes of this Agreement and the consummation of the transactions contemplated
hereby.

               K. Except as otherwise provided herein, all consents and other
determinations to be made by the Investors pursuant to this Agreement shall be
made by Investors holding a majority of the Registrable Securities, determined
as if the all of the Notes then outstanding have been converted into for
Registrable Securities.

               L. The Company acknowledges that a breach by it of its
obligations hereunder will cause irreparable harm to each Investor by vitiating
the intent and purpose of the transactions contemplated hereby. Accordingly, the
Company acknowledges that the remedy at law for breach of its obligations under
this Agreement will be inadequate and agrees, in the event of a breach or
threatened breach by the Company of any of the provisions under this Agreement,
that each Investor shall be entitled, in addition to all other available
remedies in law or in equity, and in addition to the penalties assessable
herein, to an injunction or injunctions restraining,

                                       17
<PAGE>

preventing or curing any breach of this Agreement and to enforce specifically
the terms and provisions hereof, without the necessity of showing economic loss
and without any bond or other security being required.

               M. The language used in this Agreement will be deemed to be the
language chosen by the parties to express their mutual intent, and no rules of
strict construction will be applied against any party.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                       18
<PAGE>

     IN WITNESS WHEREOF, the Company and the undersigned Initial Investors have
caused this Agreement to be duly executed as of the date first above written.

RUBY MINING COMPANY

______________________________________
G. Howard Collingwood
Chief Executive Officer

AJW PARTNERS, LLC
By:  SMS Group, LLC

______________________________________
Corey S. Ribotsky
Manager

AJW OFFSHORE, LTD.
By:  First Street Manager II, LLC

______________________________________
Corey S. Ribotsky
Manager

AJW QUALIFIED PARTNERS, LLC
By:  AJW Manager, LLC

____________________________________
Corey S. Ribotsky
Manager

NEW MILLENNIUM CAPITAL PARTNERS, II, LLC
By:  First Street Manager II, LLC

______________________________________
Corey S. Ribotsky
Manager

                                       19
<PAGE>exv10w5

 

EXHIBIT
10.5

FOURTH AMENDMENT TO CREDIT AGREEMENT

     THIS FOURTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of September 8,
2005, is by and among MediaNews Group, Inc. (the “Borrower”), the guarantors identified on
the signature pages hereto (the “Guarantors”), the Lenders parties hereto and Bank of
America, N.A., as administrative agent for the Lenders (in such capacity, the “Administrative
Agent”).

RECITALS

     A. The Borrower, the Guarantors, the Lenders, the Administrative Agent, the Syndication Agent
and the Documentation Agent entered into that certain Credit Agreement dated as of December 30,
2003, as amended pursuant a First Amendment to Credit Agreement dated as of January 20, 2004, as
further amended pursuant a Second Amendment to Credit Agreement dated as of April 16, 2004, and as
further amended pursuant a Third Amendment to Credit Agreement dated as of August 30, 2004 (as
previously amended, the “Existing Credit Agreement”). Capitalized terms used herein which
are not defined herein and which are defined in the Existing Credit Agreement shall have the same
meanings as therein defined.

     B. The Borrower desires to refinance all outstanding Tranche C Term Loans under the Existing
Credit Agreement with proceeds from (i) Tranche B Term Loans and (ii) Revolving Loans;

     C. Each Lender holding Tranche C Term Loans who executes and delivers this Amendment shall be
deemed, upon the effectiveness of this Amendment, to have converted its Tranche C Term Loan
Commitment and Tranche C Term Loans into a Tranche B Term Loan Commitment and Tranche B Term Loans
in the same aggregate principal amount as such Lender’s outstanding Tranche C Term Loan Commitment
and Tranche C Term Loans, respectively, as in effect as of the date hereof;

     D. Each Person who executes and delivers this Amendment as a lender other than pursuant to an
exchange of Tranche C Term Loans described in Section 2.01(b) of the Existing Credit
Agreement (as amended hereby), will make Tranche B Term Loans to the Borrower on the date hereof in
an aggregate principal amount equal to the amount set forth opposite its name on Schedule
2.01 to the Existing Credit Agreement (as amended hereby) under the caption “Tranche B Term
Loan Commitment”, the proceeds of which will be used by the Borrower, together with the Converted
Tranche C Term Loans (as defined herein), to refinance in full the outstanding principal amount of
Tranche C Term Loans;

     E. The Borrower has requested that the Lenders amend the Existing Credit Agreement (i) to
effect the changes described above and (ii) to make other amendments as described herein; and

     F. The parties hereto have agreed to amend the Existing Credit Agreement as set forth herein.

     NOW, THEREFORE, in consideration of the agreements hereinafter set forth, and for other good
and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties
hereto agree as follows:

AGREEMENT

     1. Amendments to Existing Credit Agreement. Effective upon satisfaction of the
conditions precedent set forth in Section 2 below, the Existing Credit Agreement is hereby
amended as follows:

     (A) The following definitions appearing in Section 1.01 of the Existing Credit
Agreement are hereby amended and restated to read as follows:

 

 

     “Acquisition”, by any Person, means the acquisition by such Person (to the
extent not constituting a capital expenditure), in a single transaction or in a series of
related transactions, of (i) Capital Stock of another Person if, as a result of such
acquisition, such Person becomes a Restricted Subsidiary, (ii) at least a majority of the
Property of another Person, or (iii) at least a majority of a business unit of another
Person, in each case, whether or not involving a merger or consolidation with such other
Person and whether for cash, property, services, assumption of Indebtedness, securities or
otherwise.

     “Applicable Rate” means the following percentages per annum, based upon the
Consolidated Total Leverage Ratio as set forth in the most recent Compliance Certificate
received by the Administrative Agent pursuant to Section 7.01(c):

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Eurodollar Loans	 	Base Rate Loans
	 	 	 	 	 	 	 	 	Revolving	 	 	 	 	 	Revolving	 	 	 	 
	 	 	 	 	 	 	 	 	Loans and	 	 	 	 	 	Loans and	 	 	 	 
	 	 	Consolidated	 	 	 	 	 	Tranche A	 	Tranche	 	Tranche	 	Tranche A	 	Tranche	 	Tranche C
	Pricing	 	Total Leverage	 	Commitment	 	Letters of	 	Term	 	B Term	 	C Term	 	Term	 	B Term	 	Term
	Tier	 	Ratio	 	Fee	 	Credit	 	Loan	 	Loan	 	Loan	 	Loan	 	Loan	 	Loan
	1	 	Less than 3.5x
	 	0.25%	 	0.75%	 	0.75%	 	1.25%	 	n/a	 	0.00%	 	0.25%	 	n/a
	2	 	Less than 4.5 to
1.0 but equal to or
greater than 3.5 to
1.0
	 	0.25%	 	0.875%	 	0.875%	 	1.25%	 	n/a	 	0.00%	 	0.25%	 	n/a
	3	 	Equal to or greater
than 4.5 to 1.0
	 	0.375%	 	1.00%	 	1.00%	 	1.25%	 	n/a	 	0.00%	 	0.25%	 	n/a

     Any increase or decrease in the Applicable Rate resulting from a change in
the Consolidated Total Leverage Ratio shall become effective as of the first
Business Day immediately following the date a Compliance Certificate is delivered
pursuant to Section 7.01(c); provided, however, that if a
Compliance Certificate is not delivered when due in accordance with such Section,
then Pricing Tier 3 shall apply as of the first Business Day after the date on which
such Compliance Certificate was required to have been delivered and shall continue
to apply until the first Business Day immediately following the date such Compliance
Certificate is delivered, whereupon the Applicable Rate shall be adjusted based upon
the calculation of the Consolidated Total Leverage Ratio contained in such
Compliance Certificate.

     “Consolidated Debt” means, at any time with respect to the Borrower and
its Restricted Subsidiaries on a consolidated basis, Indebtedness as of such time
minus cash and Cash Equivalents held at such time in excess of $2,000,000
(but, at any time after July 31, 2004, not more than $25,000,000 in the aggregate);
provided, however, that (a) the Indebtedness in respect of the
Airplane Debt, the Denver Synthetic Lease, the Salt Lake Printer Lease and the
California Guaranty shall be excluded from Consolidated Debt so long as no event of
default is continuing with respect to such Indebtedness (or, in the case
of the California Guaranty, with respect to the Indebtedness Guaranteed
thereby) and (b) the Denver Printer Debt shall be excluded from Consolidated Debt
prior to the completion of the Denver Printer Consolidation.

     “Consolidated Operating Cash Flow” means, as of any date of
determination with respect to the Borrower and its Restricted Subsidiaries on a
consolidated basis, the following, with respect to the immediately preceding four
fiscal quarters of the Borrower

2

 

for which the Required Financial Information has
been delivered: (A) revenues minus (B) the sum of (i) cost of sales, (ii)
management fees, (iii) regularly scheduled payments in respect of the Denver
Synthetic Lease and (iv) selling, general and administrative expenses (other than
non-cash expenses accrued under employee compensation and stock ownership plans and
post-retirement executive medical plans) for such period plus (C) dividends
or other distributions received in cash from any Person (other than a JOA or the
Salt Lake Printer Entity) not constituting a Restricted Subsidiary hereunder for
such period.

     “Lenders” means each of the Persons identified as a “Lender” on the
signature pages hereto, any Person that becomes a Lender pursuant to Section
2.01(e) and their successors and assigns and, as the context requires, includes
the L/C Issuers and the Swingline Lender.

     “Mandatorily Redeemable Stock” means, with respect to any Person, any
share of such Person’s Capital Stock to the extent that it is (a) redeemable,
payable or required to be purchased or otherwise retired or extinguished, or
convertible into any Indebtedness or other liability of such Person (i) at a fixed
or determinable date, whether by operation of a sinking fund or otherwise, (ii) at
the option of any Person other than such Person or (iii) upon the occurrence of a
condition not solely within the control of such Person, such as a redemption
required to be made out of future earnings or (b) convertible into Mandatorily
Redeemable Stock, but excluding (i) Qualified Capital Stock and (ii) any such
Capital Stock of such Person so long as the terms thereof and of any security,
instrument or other item of Indebtedness into which such Capital Stock may be
converted do not require the payment, redemption, purchase or other retirement of
any portion thereof, or do not provide for, or could not otherwise result in, the
acceleration of any payment required to be made in respect thereof prior to a date
that is 91 days after the Maturity Date (or such earlier date as all amounts under
this Agreement have been paid in full and the Commitments have terminated);
provided, however, that any class of Capital Stock of such Person
that, by its terms, authorizes such Person to satisfy in full its obligations upon
maturity, redemption (pursuant to a sinking fund or otherwise) or repurchase thereof
or otherwise by the delivery of Capital Stock (other than Mandatorily Redeemable
Stock), and that is not convertible, puttable or exchangeable for Mandatorily
Redeemable Stock or Indebtedness, will not be deemed to be Mandatorily Redeemable
Stock so long as such Person satisfies its obligations with respect thereto solely
by the delivery of Capital Stock (other than Mandatorily Redeemable Stock);
provided further, however, that any Capital Stock that would
not constitute Mandatorily Redeemable Stock but for provisions thereof giving
holders thereof (or the holders of any security into or for which such Capital Stock
is convertible, exchangeable or exercisable) the right to require the Borrower or
any Restricted Subsidiary to redeem such Capital Stock upon the occurrence of a
change of control occurring prior to the 91st day following the Maturity Date shall
not constitute Mandatorily Redeemable Stock so long as the redemption of such
Capital Stock is contractually subordinated to the prior payment in full of the
Obligations in a manner reasonably satisfactory to the Administrative Agent.

     “Permitted Investments” means:

     (i) Investments in cash or Cash Equivalents;

     (ii) Money Market Investments;

3

 

     (iii) Investments in any Person that is a Loan Party (other than a
Limited Guarantor) prior to giving effect to such Investment;

     (iv) to the extent not constituting an Acquisition, Investments in any
Person that results in such Person becoming a Loan Party (other than a
Limited Guarantor), provided that, prior to the making of
any such Investment exceeding $10,000,000, the Borrower shall have provided
to the Administrative Agent (a) a certificate of a Responsible Officer of
the Borrower stating that (1) the representations and warranties in
Article VI are true and correct in all material respects (except to
the extent that such representations and warranties specifically refer to an
earlier date, in which case they were true and correct in all material
respects as of such earlier date) both immediately before and after giving
effect to such Investment and (2) no Default shall have occurred and be
continuing both immediately before and after giving effect to such
Investment, and (b) a Pro Forma Compliance Certificate demonstrating that
the Borrower would be in compliance with Section 8.19 after giving
effect to such Investment on a Pro Forma Basis as of the most recent fiscal
quarter end with respect to which the Administrative Agent has received the
Required Financial Information;

     (v) [Intentionally Omitted];

     (vi) Investments consisting of (a) non-cash consideration received in
connection with any Voluntary Disposition pursuant to Section
8.06(d)(i) otherwise complying with the terms of this Agreement, (b)
Capital Stock, obligations or securities received in connection with any
Voluntary Disposition pursuant to Section 8.06(d)(ii) otherwise
complying with the terms of this Agreement or (c) non-cash consideration
received in connection with any exercise of a Permitted Option in respect of
the Salt Lake Printer Entity or the K-T Printer Assets pursuant to
Section 8.06(e) otherwise complying with the terms of this
Agreement;

     (vii) Existing Investments;

     (viii) Capital Stock, obligations or securities received in settlement
of debts created in the ordinary course of business and owing to the
Borrower or any Restricted Subsidiary or in satisfaction of judgments
including under a plan of reorganization or other bankruptcy proceeding;

     (ix) loans and advances to directors, employees and officers of the
Borrower and its Restricted Subsidiaries for bona fide business purposes not
in excess of $10,000,000 in the aggregate at any one time outstanding;

     (x) Permitted Acquisitions;

     (xi) subject to compliance with Section 8.06(b), the Voluntary
Disposition of assets of K-T or the Borrower or a Restricted Subsidiary to
the Salt Lake JOA or the New Salt Lake JOA (or a Subsidiary thereof) and the
Voluntary Disposition of the SLC Printing Press Assets by the Borrower or a
Restricted Subsidiary to the Salt Lake Printer Entity;

     (xii) subject to compliance with Section 8.06(c), any Voluntary
Disposition of all or substantially all of the Capital Stock or assets of
Los

4

 

Angeles Daily News or Long Beach Publishing Company to the California
Partnership (or a Subsidiary thereof);

     (xiii) Investments in Limited Guarantors, Restricted Subsidiaries that
are not Guarantors, JOAs and the Salt Lake Printer Entity to the extent that
such Investments are either (a) used to make capital expenditures that are
included in calculations of Consolidated Capital Expenditures for all
applicable periods, (b) financed with the proceeds of Indebtedness as
described in clause (b) of the definition of “Consolidated Capital
Expenditures” set forth in this Section 1.01 or (c) made with the
Net Cash Proceeds of any JOA Asset Disposition in the JOA (or a Subsidiary
thereof) making the JOA Asset Disposition;

     (xiv) other Investments (other than Investments specified in clauses
(i) through (xiii) above and clause (xv) below) in an aggregate amount not
exceeding $50,000,000 during any fiscal year, provided that,
prior to the making of any such Investment exceeding $10,000,000, the
Borrower shall have provided to the Administrative Agent (a) a certificate
of a Responsible Officer of the Borrower stating that (1) the
representations and warranties in Article VI are true and correct in
all material respects (except to the extent that such representations and
warranties specifically refer to an earlier date, in which case they were
true and correct in all material respects as of such earlier date) both
immediately before and after giving effect to such Investment and (2) no
Default shall have occurred and be continuing both immediately before and
after giving effect to such Investment (including a Default under
Section 8.22), and (b) a Pro Forma Compliance Certificate
demonstrating that the Borrower would be in compliance with Section
8.19 after giving effect to such Investment on a Pro Forma Basis as of
the most recent fiscal quarter end with respect to which the Administrative
Agent has received the Required Financial Information; and

     (xv) Investments by the Borrower and its Restricted Subsidiaries during
the Borrower’s fiscal year ended June 30, 2006 of (A) up to $24,000,000 in
cash in a partnership or joint venture to be formed through the contribution
of publications held by Eastern Colorado Publishing Company, and (B) up to
$26,000,000 in a 5% limited partnership interest in Detroit Newspaper
Partnership, L.P., a Delaware limited partnership, provided
that, prior to the making of the Investment described in clause (A),
the Borrower shall have provided to the Administrative Agent (a) a
certificate of a Responsible Officer of the Borrower stating that (1) the
representations and warranties in Article VI are true and correct in
all material respects (except to the extent that such representations and
warranties specifically refer to an earlier date, in which case they were
true and correct in all material respects as of such earlier date) both
immediately before and after giving effect to such Investment and (2) no
Default
shall have occurred and be continuing both immediately before and after
giving effect to such Investment (including a Default under Section
8.22), and (b) a Pro Forma Compliance Certificate demonstrating that the
Borrower would be in compliance with Section 8.19 after giving
effect to such Investment on a Pro Forma Basis as of the most recent fiscal
quarter end with respect to which the Administrative Agent has received the
Required Financial Information.

     “Permitted Restrictive Covenant” means (a) any covenant or restriction
contained in any Loan Document; (b) any covenant or restriction contained in the
1999 Indenture, the 2003 Indenture, the Partnership Agreement or the Denver
Acquisition Documents;

5

 

(c) any covenant or restriction binding upon any Person at
the time such Person becomes a Restricted Subsidiary of the Borrower if the same is
not created in contemplation thereof; (d) any covenant or restriction of the type
contained in Section 8.03 that is contained in any Contract evidencing or
providing for the creation of or concerning Purchase Money Indebtedness so long as
such covenant or restriction is limited to the property or asset purchased therewith
and to fixed improvements thereafter erected on such property or asset; (e) any
covenant or restriction described in Schedule 8.11, but only to the extent
such covenant or restriction is there identified by specific reference to the
provision of the Contract in which such covenant or restriction is contained; (f)
any covenant, encumbrance or restriction existing under or by reason of (i)
applicable Law, (ii) customary non-assignment provisions of any lease or other
Contract governing a leasehold interest of the Borrower or a Restricted Subsidiary,
(iii) except in respect of any Guarantor other than a Limited Guarantor, customary
restrictions on the payment or making of dividends, distributions, transactions,
loans, advances, investments and transfers to, in or with partners and other equity
holders and their affiliates contained in agreements governing JOAs, shareholder
agreements with minority shareholders and/or the Organizational Documents of such
Person, provided that, in the case of restrictions on dividends and
distributions of income, such restrictions are limited to requiring that certain
minimum levels of capital be maintained for working capital purposes and to meet
expenses, (iv) customary limitations on (A) the transferability of Investments in,
and (B) the granting of Liens upon Investments in and properties of, JOAs, Limited
Guarantors and Persons (including Subsidiaries) that are not Guarantors contained in
agreements governing such Investments, shareholder agreements relating to such
Investments and/or the Organizational Documents of such Persons, (v) customary
restrictions on transfer of property or assets subject to a sale or option agreement
entered into in compliance with this Agreement and (vi) restrictions on assignment
of assets arising from Liens on such assets that are permitted under this Agreement;
(g) in respect of any JOA, any covenant or restriction applicable to such JOA that
is described on Schedule 8.22; or (h) any covenant or restriction that (i)
is not more burdensome in any material respect than an existing Permitted
Restrictive Covenant that is such by virtue of clause (b), (c), (d), (e), (f) or (g)
of this definition, (ii) is contained in a Contract constituting a renewal,
extension or replacement of the Contract in which such existing Permitted
Restrictive Covenant is contained and (iii) is binding only on the Person or Persons
bound by such existing Permitted Restrictive Covenant.

     “Pro Forma Basis” means, for purposes of calculating (utilizing the
principles set forth in Section 1.03(c)) compliance with each of the
financial covenants set forth in Section 8.19 in respect of a proposed
transaction, that such transaction shall be deemed to have occurred as of the first
day of the four fiscal-quarter period ending as of the most recent fiscal quarter
end preceding the date of such transaction with respect to which the
Administrative Agent has received the Required Financial Information. As used
herein, “transaction” shall mean (a) any incurrence or assumption of Indebtedness as
referred to in Section 8.01(h), (b) any Restricted Payment referred to in
Section 8.04(g), (c) any Acquisition or any Investment of the type referred
to in clause (iii), (iv), (xiv) or (xv) of the definition of “Permitted Investment”
set forth in this Section 1.01, (d) any redesignation of an Unrestricted
Subsidiary as a Restricted Subsidiary or any redesignation of a Restricted
Subsidiary as an Unrestricted Subsidiary (in each case, as referred to in the
definition of “Restricted Subsidiary”), (e) any Voluntary Disposition as referred to
in Section 8.06(b), 8.06(c) or 8.06(d) or (f) any exercise
of a Permitted Option in respect of the Salt Lake Printer Entity. In connection
with any calculation of the financial covenants set forth in Section 8.19
upon giving effect to a transaction on a Pro Forma Basis:

6

 

     (i) for purposes of any such calculation in respect of any incurrence
or assumption of Indebtedness as referred to in Section 8.01(h), any
Indebtedness which is retired in connection with such incurrence or
assumption shall be excluded and deemed to have been retired as of the first
day of the applicable period;

     (ii) for purposes of any such calculation in respect of any Acquisition
or any Investment of the type referred to in clause (iii), (iv), (xiv) or
(xv) of the definition of “Permitted Investment” set forth in this
Section 1.01 or any redesignation of an Unrestricted Subsidiary as a
Restricted Subsidiary (as referred to in the definition of “Restricted
Subsidiary”), (A) any Indebtedness incurred or assumed by the Borrower or
any Restricted Subsidiary (including the Person or assets acquired or the
redesignated Subsidiary) in connection with such transaction and any
Indebtedness of the Person or assets acquired (or of the redesignated
Subsidiary) which is not retired in connection with such transaction (1)
shall be deemed to have been incurred as of the first day of the applicable
period and (2) if such Indebtedness has a floating or formula rate, shall
have an implied rate of interest for the applicable period for purposes of
this definition determined by utilizing the rate which is or would be in
effect with respect to such Indebtedness as at the relevant date of
determination, (B) income statement items (whether positive or negative)
attributable to the Person or Property acquired (or to the redesignated
Subsidiary) shall be included beginning as of the first day of the
applicable period and (C) pro forma adjustments reflecting costs savings may
be included to the extent that (1) such adjustments would give effect to
events that are (x) directly attributable to such transaction and (y)
expected to have a continuing impact on the Borrower and its Restricted
Subsidiaries, (2) such adjustments are approved by the Administrative Agent
and (3) the aggregate amount of such pro forma adjustments do not exceed 10%
of Consolidated Operating Cash Flow (as calculated on a Pro Forma Basis,
without taking into account this clause (C), after giving effect to such
transaction) at such time; and

     (iii) for purposes of any such calculation in respect of any
Voluntary Disposition as referred to in Section 8.06(b),
8.06(c) or 8.06(d) or any redesignation of a Restricted
Subsidiary as an Unrestricted Subsidiary (as referred to in the definition
of “Restricted Subsidiary”) or any exercise of a Permitted Option in respect
of the Salt Lake Printer Entity, (A) income statement items (whether
positive or negative) attributable to the Person or assets disposed
of (or to the redesignated Subsidiary) shall be excluded and (B) any
Indebtedness which is retired in connection with such transaction shall be
excluded and deemed to have been retired as of the first day of the
applicable period.

     “Pro Forma Compliance Certificate” means a certificate of a Responsible
Officer of the Borrower delivered to the Administrative Agent in connection with (a)
any incurrence, assumption or retirement of Indebtedness as referred to in
Section 8.01(h), (b) any Restricted Payment as referred to in Section
8.04(g), (c) any Acquisition or any Investment of the type referred to in clause
(iii), (iv), (xiv) or (xv) of the definition of “Permitted Investment” set forth in
this Section 1.01, (d) any redesignation of an Unrestricted Subsidiary as a
Restricted Subsidiary or any redesignation of a Restricted Subsidiary as an
Unrestricted Subsidiary (in each case, as referred to in the definition of
“Restricted Subsidiary”), (e) any Voluntary Disposition as referred to in
Section 8.06(b),

7

 

8.06(c) or 8.06(d) or (f) any exercise of a
Permitted Option in respect of the Salt Lake Printer Entity, as applicable, and
containing reasonably detailed calculations, upon giving effect to the applicable
transaction on a Pro Forma Basis, of each of the financial covenants in Section
8.19 as of the most recent fiscal quarter end preceding the date of the
applicable transaction with respect to which the Administrative Agent shall have
received the Required Financial Information.

     “Restricted Payment” means (a) any payment by the Borrower or any
Restricted Subsidiary with respect to or on account of any of such Person’s Capital
Stock, including any dividend or other distribution on, or any payment of interest
on or principal of, any such Capital Stock, (b) any payment by the Borrower or any
Restricted Subsidiary on account of the principal of or interest or premium, if any,
on any Subordinated Debt (other than any regularly scheduled payment of interest
thereon and any repayment of principal thereof upon the stated maturity thereof
(subject to the subordination provisions applicable thereto)), (c) any payment by
the Borrower or any Restricted Subsidiary on account of any purchase, redemption,
retirement, exchange, defeasance or conversion of, or on account of any claim
relating to or arising out of the offer, sale or purchase of, the Borrower’s Capital
Stock or any Subordinated Debt or (d) any payment by the Borrower or any Restricted
Subsidiary of premiums of life insurance policies on Permitted Holders as to which
the Borrower or a Subsidiary is the beneficiary; provided, however,
that the term “Restricted Payment” shall not include (i) the Refinancing of any
Subordinated Debt with the proceeds of additional Subordinated Debt to the extent
that (A) such Refinancing Subordinated Debt is subordinated on terms and conditions
no less favorable in any material respect to the Lenders than the terms contained in
the Subordinated Debt being Refinanced, (B) such Refinancing Subordinated Debt is
binding only on the obligor or obligors under the Subordinated Debt so Refinanced,
(C) the principal amount of the Refinancing Subordinated Debt does not exceed the
principal amount of the Subordinated Debt so Refinanced plus any premium,
“make-whole” amounts and penalties actually paid on the Subordinated Debt being
Refinanced and all reasonable fees and expenses payable in connection with such
Refinancing, (D) such Refinancing Subordinated Debt bears interest at a rate per
annum not exceeding the rate borne by the Subordinated Debt so Refinanced except for
any increase that is commercially reasonable at the time of such increase and (E)
such Refinancing Subordinated Debt either (1) does not mature earlier, or amortize
(whether by scheduled or mandatory prepayment or commitment reduction, or otherwise)
more rapidly, than the Subordinated Debt so Refinanced or (2) does not mature, or
require any amortization payments to be made, prior to the date that occurs 91 days
after the Maturity Date and (ii) the repayment of the 1999 Subordinated Notes on or
before
August 1, 2004 in an amount up to the amount of the net cash proceeds received
by the Borrower from the issuance of additional Subordinated Debt pursuant to
Section 8.01(i). For the purposes of this definition, a “payment” shall
include the transfer of any asset or the incurrence of any Indebtedness or other
liability (the amount of any such payment to be the fair market value of such asset
or the amount of such obligation, respectively) but shall not include the issuance
of any Capital Stock of the Borrower or any Restricted Subsidiary other than
Mandatorily Redeemable Stock that would constitute Indebtedness in accordance with
the definition thereof.

     “Revolving Commitment” means, as to each Lender, its obligation to (a)
make Revolving Loans to the Borrower pursuant to Section 2.01, (b) purchase
participations in L/C Obligations, and (c) purchase participations in Swingline
Loans, in an aggregate principal amount at any one time outstanding not to exceed
the amount set forth opposite such Lender’s name on Schedule 2.01 or in the
Assignment and Assumption pursuant to which such Lender becomes a party hereto or in
any documentation executed by such

8

 

Lender pursuant to Section 2.01(e), as
applicable, as such amount may be adjusted from time to time in accordance with this
Agreement.

     “Tranche A Term Loan Commitment” means, as to each Lender, its
obligation to make its portion of the Tranche A Term Loan to the Borrower pursuant
to Section 2.01(c), in the principal amount set forth opposite such Lender’s
name on Schedule 2.01A or in the Assignment and Assumption pursuant to which
such Lender becomes a party hereto or in any documentation executed by such Lender
pursuant to Section 2.01(e), as applicable. The aggregate principal amount
of the Tranche A Term Loan Commitments of all of the Lenders as in effect on the
Amendment No. 4 Effective Date is One Hundred Million Dollars ($100,000,000).

     “Tranche B Term Loan Commitment” means, as to each Lender (a) its
obligation to make its portion of the Tranche B Term Loan to the Borrower pursuant
to Section 2.01(b), in the principal amount set forth opposite such Lender’s
name on Schedule 2.01 or in the Assignment and Assumption pursuant to which
such Lender becomes a party hereto or in any documentation executed by such Lender
pursuant to Section 2.01(e), as applicable and/or (b) its election pursuant
to Section 2.01(b) to exchange all or any portion of its outstanding Tranche
C Term Loans for a like principal amount of Tranche B Term Loans. The aggregate
principal amount of the Tranche B Term Loan Commitments of all of the Lenders as in
effect on the Amendment No. 4 Effective Date (after giving effect to Amendment No.
4) is One Hundred Forty-Seven Million Two Hundred Sixty-Two Thousand Five Hundred
Dollars ($147,262,500).

     “Tranche C Term Loan Commitment” means, as to each Lender, its
obligation to make its portion of the Tranche C Term Loan to the Borrower pursuant
to Section 2.01(d), in the principal amount set forth opposite such Lender’s
name on Schedule 2.01A or in the Assignment and Assumption pursuant to which
such Lender becomes a party hereto or in any documentation executed by such Lender
pursuant to Section 2.01(e), as applicable. The aggregate principal amount
of the Tranche C Term Loan Commitments of all of the Lenders as in effect on the
Amendment No. 4 Effective Date (after giving effect to Amendment No. 4) is Zero
Dollars ($0).

     (B) The definition of “Master Intercompany Note” appearing in Section 1.01 of
the Existing Credit Agreement is hereby deleted in its entirety.

     (C) The following new definitions are hereby added to Section 1.01 of the
Existing Credit Agreement to read as follows:

     “Amendment No. 4” means the Fourth Amendment to Credit Agreement dated
as of September 8, 2005 by and among the Borrower, the Guarantors, the Lenders
parties thereto and the Administrative Agent.

     “Amendment No. 4 Effective Date” means September 8, 2005.

     “Converted Tranche C Term Loan” has the meaning specified in
Section 2.01(b).

     “Denver Printer Debt” means Indebtedness of DNA incurred in connection
with the Denver Printer Consolidation to the extent that (a) such Indebtedness is
non-recourse to the Loan Parties and (b) the principal amount of such Indebtedness
that is attributable to the Borrower pursuant to Section 1.03(d) does not
exceed $75,000,000.

9

 

     “Qualified Capital Stock” means (i) Capital Stock of the Borrower that
otherwise constitutes Mandatorily Redeemable Stock (other than any such Capital
Stock that constitutes Mandatorily Redeemable Stock because it is convertible into
Indebtedness of the issuer) to the extent that the redemption, purchase or other
retirement thereof is, at the time that the Borrower may be required to effect such
redemption, purchase or other retirement, permitted under Section 8.04
(without regard to the occurrence of a Default) and (ii) Capital Stock of a
Restricted Subsidiary that otherwise constitutes Mandatorily Redeemable Stock (other
than any such Capital Stock that constitutes Mandatorily Redeemable Stock because it
is convertible into Indebtedness of the issuer) to the extent that the redemption,
purchase or other retirement thereof is, at the time that the Borrower or a
Restricted Subsidiary may be required to effect such redemption, purchase or other
retirement, a Permitted Investment (without regard to the occurrence of a Default or
the ability of the Borrower to certify that the representations and warranties in
Article VI are true and correct in all material respects).

     “TNMP” means Texas–New Mexico Newspapers Partnership, a Delaware
general partnership, at such time as it becomes a Restricted Subsidiary.

     (D) Section 1.03(c) of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     (c) Calculations with Respect to Certain Transactions. Notwithstanding
the above but subject to subsection (d) below, the parties hereto acknowledge and
agree that, for purposes of all calculations made under the financial covenants set
forth in Section 8.19 (including without limitation for purposes of the
definitions of “Applicable Rate” and “Pro Forma Basis” set forth in Section
1.01), (i) after consummation of any Voluntary Disposition, any redesignation of
a Restricted Subsidiary as an Unrestricted Subsidiary (as referred to in the
definition of “Restricted Subsidiary”) or any exercise of a Permitted Option in
respect of the Salt Lake Printer Entity, (A) income statement items (whether
positive or negative) and capital expenditures attributable to the assets disposed
of (or the redesignated Subsidiary) shall be excluded and (B) Indebtedness which is
retired shall be excluded and deemed to have been retired as of the first day of the
applicable period, (ii) after consummation of any Permitted Investment described in
clauses (iii), (iv), (vi), (x), (xi), (xii), (xiv) and (xv) of the definition
thereof or any redesignation of an Unrestricted Subsidiary as a Restricted
Subsidiary (as referred to in
the definition of “Restricted Subsidiary”), (A) income statement items (whether
positive or negative) and capital expenditures (other than capital expenditures that
are non-recurring and not in the ordinary course of business) attributable to the
Permitted Investment or the redesignated Subsidiary shall, to the extent not
otherwise included in such income statement items for the Borrower and its
Restricted Subsidiaries in accordance with GAAP or in accordance with any defined
terms set forth in Section 1.01, be included to the extent relating to any
period applicable in such calculations, (B) to the extent not retired in connection
with such transaction, Indebtedness attributable hereunder to any Permitted
Investment or the redesignated Subsidiary shall be deemed to have been incurred as
of the first day of the applicable period and (C) pro forma adjustments reflecting
costs savings may be included to the extent that (1) such adjustments would give
effect to events that are (x) directly attributable to such transaction or (y)
expected to have a continuing impact on the Borrower and its Restricted
Subsidiaries, (2) such adjustments have been approved by the Administrative Agent
and (3) the aggregate amount of such pro forma adjustments do not exceed 10% of
Consolidated Operating Cash Flow (as calculated on a Pro Forma Basis, without taking
into account this clause (C), after giving effect to such transaction) at such time
and

10

 

(iii) upon completion of the Denver Printer Consolidation and/or the Salt Lake
Printer Build-Out, pro forma adjustments reflecting costs savings may be included to
the extent that (A) such adjustments would give effect to events that are (1)
directly attributable to either such consolidation or facility or (2) expected to
have a continuing impact on the Borrower and its Restricted Subsidiaries and (B)
such adjustments have been approved by the Administrative Agent.

     (E) Section 2.01 of the Existing Credit Agreement is hereby amended and
restated in its entirety to read as follows:

     (a) Revolving Loans. Subject to the terms and conditions set forth
herein, each Lender severally agrees to make loans (each such loan, a “Revolving
Loan”) to the Borrower in Dollars from time to time on any Business Day during
the Availability Period in an aggregate amount not to exceed at any time outstanding
the amount of such Lender’s Revolving Commitment; provided, however,
that after giving effect to any Borrowing of Revolving Loans, (i) the Total
Revolving Outstandings shall not exceed the Aggregate Revolving Commitments, and
(ii) the aggregate Outstanding Amount of the Revolving Loans of any Lender,
plus such Lender’s Pro Rata Share of the Outstanding Amount of all L/C
Obligations, plus such Lender’s Pro Rata Share of the Outstanding Amount of
all Swingline Loans shall not exceed such Lender’s Revolving Commitment. Within the
limits of each Lender’s Revolving Commitment, and subject to the other terms and
conditions hereof, the Borrower may borrow under this Section 2.01, prepay
under Section 2.05, and reborrow under this Section 2.01. Revolving
Loans may be Base Rate Loans or Eurodollar Rate Loans, as further provided herein.

     (b) Tranche B Term Loan. Subject to the terms and conditions set forth
herein, each Lender severally agrees to make its portion of a term loan (or pursuant
to the immediately succeeding sentence, elects to convert all of such Lender’s
Tranche C Term Loans into a like portion of a new term loan) (such loans and
conversions, collectively, the “Tranche B Term Loan”) to the Borrower on the
Amendment No. 4 Effective Date (or on the effective date of any increase in the
aggregate Tranche B Term Loan Commitments pursuant to Section 2.01(e), as
applicable) in an amount not to exceed such Lender’s Tranche B Term Loan Commitment.
In connection with the making of the Tranche B Term Loan pursuant to the
immediately preceding sentence, any Lender
holding Tranche C Term Loans may elect to fund its Pro Rata Share of the
Tranche B Term Loan equal to the outstanding principal amount of its Tranche C Term
Loans by converting all of the outstanding principal amount of the Tranche C Term
Loans of such Lender into a Tranche B Term Loan (each such Tranche C Term Loan that
is to be converted, a “Converted Tranche C Term Loan”). Delivery of a
counterpart signature to Amendment No. 4 by a Lender holding Tranche C Term Loans,
with no other notice to the Administrative Agent to the contrary, shall be deemed to
be an election by such Lender to fund its Pro Rata Share of the Tranche B Term Loan
equal to the outstanding principal amount of its Tranche C Term Loans in the form of
a Converted Tranche C Term Loan. On the Amendment No. 4 Effective Date, the
Converted Tranche C Term Loans of all Lenders shall be converted for all purposes of
this Agreement into Tranche B Term Loans, and the Administrative Agent shall record
in the Register the aggregate amounts of Converted Tranche C Term Loans that have
been converted into Tranche B Term Loans. Without limitation of Section
2.01(e), amounts repaid on the Tranche B Term Loan after the Amendment No. 4
Effective Date may not be reborrowed. The Tranche B Term Loan may consist of Base
Rate Loans or Eurodollar Rate Loans, as further provided herein; provided,
however, unless otherwise agreed by the Administrative Agent and the
Borrower, all Borrowings made on the Amendment No. 4

11

 

Effective Date shall be made as
Base Rate Loans, and such Borrowings may not be converted into Eurodollar Rate Loans
until the tenth Business Day following the Amendment No. 4 Effective Date. The
Borrower irrevocably authorizes and directs the Administrative Agent to apply the
proceeds of the Tranche B Term Loan to refinance and replace the Tranche C Term
Loan.

     (c) Tranche A Term Loan. Subject to the terms and conditions set forth
herein, each Lender severally agrees to make its portion of a term loan (the
“Tranche A Term Loan”) to the Borrower in Dollars on the Amendment No. 3
Effective Date (or on the effective date of any increase in the aggregate Tranche A
Term Loan Commitments pursuant to Section 2.01(e), as applicable) in an
amount not to exceed such Lender’s Tranche A Term Loan Commitment. Without
limitation of Section 2.01(e), amounts repaid on the Tranche A Term Loan may
not be reborrowed. The Tranche A Term Loan may consist of Base Rate Loans or
Eurodollar Rate Loans, as further provided herein.

     (d) Tranche C Term Loan. Subject to the terms and conditions set forth
herein, each Lender severally agrees to make its portion of a term loan (the
“Tranche C Term Loan”) to the Borrower in Dollars on on the effective date
of any increase in the aggregate Tranche C Term Loan Commitments pursuant to
Section 2.01(e) in an amount not to exceed such Lender’s Tranche C Term Loan
Commitment. Without limitation of Section 2.01(e), amounts repaid on the
Tranche C Term Loan after the Amendment No. 4 Effective Date may not be reborrowed.
The Tranche C Term Loan may consist of Base Rate Loans or Eurodollar Rate Loans, as
further provided herein.

     (e) Increase in Commitments. The Borrower shall have the right, upon
at least fifteen (15) Business Days’ prior written notice to the Administrative
Agent, to increase the Aggregate Revolving Commitments, the aggregate Tranche A Term
Loan Commitments, the aggregate Tranche B Term Loan Commitments and/or the aggregate
Tranche C Term Loan Commitments by up to $200,000,000 in the aggregate for all such
increases, in one or more increases, at any time and from time to time,
subject, however, in any such case, to satisfaction of the following
conditions precedent:

     (i) no Default has occurred and is continuing on the date on which such
increase is to become effective;

     (ii) the representations and warranties set forth in Article VI
of this Agreement shall be true and correct in all material respects on and
as of the date on which such increase is to become effective (except to the
extent that such representations and warranties specifically refer to an
earlier date, in which case they shall be true and correct in all material
respects as of such earlier date);

     (iii) such increase shall be an integral multiple of $1,000,000 and
shall in no event be less than $10,000,000;

     (iv) such requested increase shall only be effective upon receipt by
the Administrative Agent of (A) additional commitments in a corresponding
amount of such requested increase from either existing Lenders and/or one or
more other institutions that qualify as an Eligible Assignee (it being
understood and agreed that no existing Lender shall be required to provide
an additional commitment), (B) documentation from each institution providing
an additional commitment evidencing their commitment and their obligations
under this Agreement in form and substance acceptable to the Administrative
Agent and (C)

12

 

in the case of an increase in the Tranche C Term Loan
Commitments at such time when there are no Tranche C Term Loans outstanding,
an agreement among the Borrower and the Lenders and other institutions
providing the additional Tranche C Term Loan Commitments, in form and
substance acceptable to the Administrative Agent, as to the principal
amortization payments and Applicable Rates applicable to the Tranche C Term
Loans, which agreement shall be deemed to amend Section 2.07(e) and
the definition of Applicable Rate;

     (v) the Administrative Agent shall have received all documents
(including resolutions of the board of directors of the Borrower and
opinions of counsel to the Borrower) it may reasonably request relating to
the corporate or other necessary authority for such increase in the
Aggregate Revolving Commitments, the aggregate Tranche A Term Loan
Commitments, the aggregate Tranche B Term Loan Commitments and/or the
aggregate Tranche C Term Loan Commitments, and any other matters relevant
thereto, all in form and substance reasonably satisfactory to the
Administrative Agent; and

     (vi) if the reallocation, if any, of outstanding Loans among the
Lenders in connection with such increase results in the prepayment of
Eurodollar Rate Loans on a day which is not the last day of an Interest
Period with respect thereto, the Borrower shall have paid to each affected
Lender such amounts, if any, as may be required pursuant to Section
3.05.

     (f) (i) Upon the effectiveness of any increase in the Aggregate Revolving
Commitments, the aggregate Tranche A Term Loan Commitments, the aggregate Tranche B
Term Loan Commitments and/or the aggregate Tranche C Term Loan Commitments, as
applicable, pursuant to subsection (e) above, (A) the applicable Pro Rata Shares of
the Lenders shall be automatically adjusted to give effect to such increase,
provided that the amount of each Lender’s Commitments (other than a Lender
whose Commitments shall have been increased in connection with such increase) shall
remain unchanged and (B) the Borrower, the Administrative Agent and the Lenders will
use all
commercially reasonable efforts to assign and assume outstanding Loans of the
affected category to conform the respective amounts thereof held by each Lender to
the Pro Rata Shares as so adjusted, it being understood that the parties hereto
shall use commercially reasonable efforts to avoid prepayment or assignment of any
affected Loan that is a Eurodollar Rate Loan on a day other than the last day of the
Interest Period applicable thereto and (ii) in the case of an increase in the
aggregate Tranche A Term Loan Commitments, the aggregate Tranche B Term Loan
Commitments or the aggregate Tranche C Term Loan Commitments, as applicable,
beginning with the date of the next principal amortization payment, occurring after
the date of such increase, the amount of each principal amortization payment on the
Tranche A Term Loans, Tranche B Term Loans or Tranche C Term Loans, as applicable,
shall be increased by the minimum amount that, when allocated ratably (based on
outstandings) among all of the Lenders holding the Tranche A Term Loans, Tranche B
Term Loans or Tranche C Term Loans, as applicable, immediately after giving effect
to such increase in the Tranche A Term Loans, Tranche B Term Loans or Tranche C Term
Loans, as applicable, would provide (assuming all other things to be equal) for each
of the Lenders holding the Tranche A Term Loans, Tranche B Term Loans or Tranche C
Term Loans, as applicable, immediately prior to giving effect to such increase in
the Tranche A Term Loans, Tranche B Term Loans or Tranche C Term Loans, as
applicable, to receive in connection with such principal amortization payment an
amount at least equal to the amount that such Lender would have received had such
increase in the aggregate Tranche A Term Loan Commitments, the aggregate Tranche B
Term Loan Commitments or the aggregate

13

 

Tranche C Term Loan Commitments, as
applicable (and the corresponding adjustment to such principal amortization payment
pursuant to this Section 2.01(f)) not taken place; provided
that in the case of an increase in the Tranche C Term Loan Commitments
occurring at a time when no Tranche C Term Loans are outstanding, the principal
amortization payments of the Tranche C Term Loans shall be as provided in the
agreement delivered pursuant to Section 2.01(e)(iv)(C).

     (F) Section 2.06(b)(ii)(B) of the Existing Credit Agreement is hereby amended
and restated in its entirety to read as follows:

     (B) Concurrently with the prepayment in full of the Tranche C Term Loan on the
Amendment No. 4 Effective Date, all Tranche C Term Loan Commitments automatically
shall be terminated, subject to Section 2.01(e).

     (G) Sections 2.07(c), 2.07(d) and 2.07(e) of the Existing
Credit Agreement are hereby amended and restated in their entireties to read as follows:

     (c) Tranche B Term Loan. The Borrower shall repay the outstanding
principal amount of the Tranche B Term Loan in installments on the last Business Day
of each month and in the amounts set forth in the table below (as such installments
may hereafter be adjusted as a result of prepayments made pursuant to Section
2.05 or as the result of an increase in the amount of the aggregate Tranche B
Term Loan Commitments pursuant to Section 2.01(e)), unless accelerated
sooner pursuant to Section 9.02:

	 	 	 	 	 
	 	 	Principal Amortization	 
	Payment Dates	 	Payment	 
	September, 2005
	 	 	$368,160	 
	December, 2005
	 	 	$368,160	 
	March, 2006
	 	 	$368,160	 
	June, 2006
	 	 	$368,160	 
	September, 2006
	 	 	$368,160	 
	December, 2006
	 	 	$368,160	 
	March, 2007
	 	 	$368,160	 
	June, 2007
	 	 	$368,160	 
	September, 2007
	 	 	$368,160	 
	December, 2007
	 	 	$368,160	 
	March, 2008
	 	 	$368,160	 
	June, 2008
	 	 	$368,160	 
	September, 2008
	 	 	$368,160	 
	December, 2008
	 	 	$368,160	 
	March, 2009
	 	 	$368,160	 
	June, 2009
	 	 	$368,160	 
	September, 2009
	 	 	$368,160	 
	December, 2009
	 	 	$368,160	 
	March, 2010
	 	 	$35,159,000	 
	June, 2010
	 	 	$35,159,000	 
	September, 2010
	 	 	$35,159,000	 
	Maturity Date
	 	Remaining Balance
	 
	 	 	 

14

 

     (d) Tranche A Term Loan. The Borrower shall repay the outstanding
principal amount of the Tranche A Term Loan in installments on the last Business Day
of each month and in the amounts set forth in the table below (as such installments
may hereafter be adjusted as a result of prepayments made pursuant to Section
2.05 or as the result of an increase in the amount of the aggregate Tranche A
Term Loan Commitments pursuant to Section 2.01(e)), unless accelerated
sooner pursuant to Section 9.02:

	 	 	 	 	 
	 	 	Principal Amortization	 
	Payment Dates	 	Payment	 
	March, 2008
	 	 	$5,000,000	 
	June, 2008
	 	 	$5,000,000	 
	September, 2008
	 	 	$5,000,000	 
	December, 2008
	 	 	$5,000,000	 
	March, 2009
	 	 	$7,500,000	 
	June, 2009
	 	 	$7,500,000	 
	September, 2009
	 	 	$7,500,000	 
	December, 2009
	 	 	$7,500,000	 
	March, 2010
	 	 	$12,500,000	 
	June, 2010
	 	 	$12,500,000	 
	September, 2010
	 	 	$12,500,000	 
	Maturity Date
	 	Remaining Balance
	 
	 	 	 

15

 

     (e) Tranche C Term Loan. The Borrower shall repay the outstanding
principal amount of the Tranche C Term Loan in installments on the last Business Day
of each month and in the amounts set forth in the table below (as such installments
may hereafter be adjusted as a result of prepayments made pursuant to Section
2.05 or as the result of an increase in the amount of the aggregate Tranche C
Term Loan Commitments pursuant to Section 2.01(e)), unless accelerated
sooner pursuant to Section 9.02:

	 	 	 
	 	 	Principal Amortization
	Payment Dates	 	Payment
	September, 2005
	 	n/a
	December, 2005
	 	n/a
	March, 2006
	 	n/a
	June, 2006
	 	n/a
	September, 2006
	 	n/a
	December, 2006
	 	n/a
	March, 2007
	 	n/a
	June, 2007
	 	n/a
	September, 2007
	 	n/a
	December, 2007
	 	n/a
	March, 2008
	 	n/a
	June, 2008
	 	n/a
	September, 2008
	 	n/a
	December, 2008
	 	n/a
	March, 2009
	 	n/a
	June, 2009
	 	n/a
	September, 2009
	 	n/a
	December, 2009
	 	n/a
	March, 2010
	 	n/a
	June, 2010
	 	n/a
	September, 2010
	 	n/a
	Maturity Date
	 	n/a
	 
	 

     (H) Section 4.01 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     Each of the Guarantors hereby jointly and severally guarantees to each Lender,
each Affiliate of a Lender that enters into a Swap Contract with the Borrower, and
the Administrative Agent as hereinafter provided, as primary obligor and not as
surety, the prompt payment of the Obligations in full when due (whether at stated
maturity, as a mandatory prepayment, by acceleration, as a mandatory cash
collateralization or otherwise) strictly in accordance with the terms thereof. The
Guarantors hereby further agree that if any of the Obligations are not paid in full
when due (whether at stated maturity, as a mandatory prepayment, by acceleration, as
a mandatory cash collateralization or otherwise), the Guarantors will, jointly and
severally, promptly pay the same, without any demand or notice whatsoever, and that
in the case of any extension of time of payment or renewal of any of the
Obligations, the same will be promptly paid in full when due (whether at extended
maturity, as a mandatory prepayment, by acceleration, as a mandatory cash
collateralization or otherwise) in accordance with the terms of such extension or
renewal.

16

 

     Notwithstanding any provision to the contrary contained herein or in any other
of the Loan Documents or Swap Contracts, (a) the obligations of each Guarantor under
this Agreement and the other Loan Documents shall be limited to an aggregate amount
equal to the largest amount that would not render such obligations subject to
avoidance under the Debtor Relief Laws or any comparable provisions of any
applicable state law, (b) the liability of Los Angeles Daily News pursuant to this
Article IV shall be limited to the maximum amount permitted under the
Greenco Option Agreement as in effect on the Closing Date and (c) prior to the time,
if any, that the California Partnership, TNMP, MNG/Power One Media Holding Company,
Inc., the Salt Lake JOA or any of their respective Subsidiaries (including Persons
which become Subsidiaries after the Closing Date pursuant to a Permitted Investment)
becomes a Wholly Owned Subsidiary, such Person shall not be required to Guarantee
all or any portion of the Obligations (or enter into a Pledge Agreement).

     Upon the contribution of assets by K-T to the New Salt Lake JOA (or a
Subsidiary thereof) in accordance with the terms of Section 8.06(b) or the
contribution of all or substantially all of the Capital Stock or assets of Los
Angeles Daily News or Long Beach Publishing Company to the California Partnership
(or a Subsidiary thereof) in accordance with the terms of Section 8.06(c),
the Administrative Agent shall deliver to the Borrower, upon the Borrower’s request
and at the Borrower’s expense, such documentation as is reasonably necessary to
evidence the release of the Administrative Agent’s security interest, if any, in
such assets or Capital Stock (including, without limitation, amendments or
terminations of UCC financing statements, if any, the return of stock certificates,
if any) and the release of K-T, Los Angeles Daily News or Long Beach Publishing
Company, as applicable, from all of its obligations under this Article IV
and the Pledge Agreement.

     (I) Section 7.05 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     Use the proceeds of the Credit Extensions for general corporate purposes not in
contravention of any Law or of any Loan Document.

     (J) Section 7.08 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     Except to the extent set forth in Schedule 7.08, cause all of the
issued and outstanding Capital Stock owned by each Loan Party in (i) each Restricted
Subsidiary and (ii) to the extent required to be pledged pursuant to Section
8.21, each JOA, to be subject at all times to a first priority, perfected Lien
in favor of the Administrative Agent pursuant to the terms and conditions of the
Collateral Documents, together with opinions of counsel and any filings and
deliveries reasonably necessary in connection therewith to perfect the security
interests therein, all in form and substance reasonably satisfactory to the
Administrative Agent; provided, however, that the Capital Stock in
K-T (and any of its Subsidiaries), the Capital Stock of the California Partnership
and the Capital Stock in JOAs in existence as of the Closing Date (other than the
Charleston JOA and the York JOA) shall not be required to be subject at all times to
a first priority, perfected Lien in favor of the Administrative Agent as provided
above (i) until the date forty-five (45) days after the Closing Date (or such later
date as the Administrative Agent shall determine in its reasonable discretion) or
(ii) to the extent that the applicable Loan Parties are unable, following the
exercise of commercially reasonable efforts, to obtain
all necessary consents of their JOA partners (and, in the case of the Denver
JOA, Media General) in respect of the granting by such Loan Parties of Liens in
respect of such Capital Stock.

17

 

     (K) Section 8.06(d) of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     (d) any other Voluntary Disposition (including pursuant to exercises of
Permitted Options not covered by Section 8.06(e)), so long as no Default
shall have occurred and be continuing immediately prior or after giving effect to
such Voluntary Disposition and

     (i) such Voluntary Disposition is a sale to any Person for a purchase
price (at least 75% of which shall be in cash or Cash Equivalents;
provided, that the amount of any liabilities (as shown on the
Borrower’s or such Restricted Subsidiary’s most recent balance sheet or in
the notes thereto) of the Borrower or any Restricted Subsidiary (other than
liabilities that are by their terms subordinated to the Obligations) that
are assumed by the transferee of any such assets shall be excluded from such
calculation) in an amount not less than the fair market value of the assets
sold net of the liabilities assumed, as determined in the good faith
judgment of the board of directors of the Borrower or the applicable
Restricted Subsidiary, and (A) the Cash Flow Percentage attributable to such
assets, together with the Cash Flow Percentage of all other assets sold by
the Borrower and its Restricted Subsidiaries pursuant to this clause (i)
within the prior four fiscal quarters of the Borrower, does not exceed 15%
and (B) the Cash Flow Percentage attributable to such assets, together with
the Cash Flow Percentage (determined, with respect to prior sales at the
time of each such sale) of all assets sold by the Borrower and its
Restricted Subsidiaries pursuant to this clause (i) since the Closing Date
does not exceed 30%, and (C) prior to consummating any such Voluntary
Disposition wherein the sale price or the fair market value of the assets of
the applicable Restricted Subsidiary is greater than $10,000,000, the
Borrower shall have furnished to the Administrative Agent (1) a certificate
of a Responsible Officer of the Borrower stating that (x) each
representation in Article VI is true and correct in all material
respects both immediately before and after giving effect to such Voluntary
Disposition (except to the extent that any such representation and warranty
specifically refers to an earlier date, in which case it was true and
correct in all material respects as of such earlier date), and (y) no
Default shall have occurred and be continuing both immediately before and
after giving effect to such Voluntary Disposition, and (2) a Pro Forma
Compliance Certificate demonstrating that the Borrower would be in
compliance with Section 8.19 after giving effect to such Voluntary
Disposition on a Pro Forma Basis as of the most recent fiscal quarter end
with respect to which the Administrative Agent has received the Required
Financial Information, or

     (ii) such Voluntary Disposition is an exchange, with any Person, of
assets exchanged by the Borrower or applicable Restricted Subsidiary
comprising one or more newspapers or assets or properties utilized in a
Permitted Business, or Capital Stock of a Person owning any of the
foregoing, for one or more newspapers or assets or properties utilized in a
Permitted Business, or Capital Stock of a Person owning any of the
foregoing, and of equal
or greater value, as determined in the good faith judgment of the board
of directors of the Borrower or the applicable Restricted Subsidiary
(provided that, up to 25% of the consideration received by the
Borrower or such Restricted Subsidiary in connection with such exchange may
consist of cash or Cash Equivalents,

18

 

obligations or securities), and prior
to consummating any such exchange wherein the fair market value of the
assets received in exchange is greater than $10,000,000, the Borrower shall
have furnished to the Administrative Agent (1) a certificate of a
Responsible Officer of the Borrower stating that (x) each representation and
warranty in Article VI is true and correct in all material respects
both immediately before and after giving effect to such Voluntary
Disposition (except to the extent that any such representation and warranty
specifically refers to an earlier date, in which case it was true and
correct in all material respects as of such earlier date), (y) no Default
shall have occurred and be continuing both immediately before and after
giving effect to such Voluntary Disposition and (z) the value of the assets
received by the Borrower or applicable Restricted Subsidiary in such
exchange is not less than the fair market value of the assets disposed by
the Borrower or such Restricted Subsidiary in such exchange, and (2) a Pro
Forma Compliance Certificate demonstrating that the Borrower would be in
compliance with Section 8.19 after giving effect to such Voluntary
Disposition on a Pro Forma Basis as of the most recent fiscal quarter end
with respect to which the Administrative Agent has received the Required
Financial Information; and

     (L) Section 8.08 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     File a consolidated, combined, unitary or similar group tax return with any
other Person other than, in the case of the Borrower, a Consolidated Tax Subsidiary
and, in the case of any such Subsidiary, the Borrower or a Consolidated Tax
Subsidiary.

     (M) Section 8.10 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     Effect any transaction (or series of related transactions) (each a
“Transaction”) with any Affiliate of the Borrower, including, without
limitation, any sale, purchase, lease or loan or any other direct or indirect
payment, transfer or other disposition of assets, property or services, unless such
Transaction is on terms no less favorable to the Borrower or the applicable
Restricted Subsidiary, as the case may be, than those that could be obtained in a
comparable arm’s-length transaction with an independent third party except for (A)
any Transaction (i) between Loan Parties (other than a transaction involving a
Limited Guarantor) or (ii) between Restricted Subsidiaries of the Borrower that are
not Loan Parties, (B) Permitted Investments, (C) Restricted Payments not prohibited
by Section 8.04, (D) payments to MediaNews Services, Inc. for payroll and
benefits and for up to $3,500,000 per year in reimbursement of other actual cash
expenses paid by MediaNews Services, Inc. relating to the operation of the Borrower
and its Restricted Subsidiaries (or incurred on behalf of the Borrower and its
Restricted Subsidiaries), (E) employment agreements, employee benefits, insurance
(including directors and officers insurance) and compensation, including, without
limitation, bonuses, retirement plans, equity plans, directors fees and stock
options, paid to or established for directors and officers of the Borrower or any
Restricted Subsidiary in the ordinary course of business and approved by the board
of directors (or any committee
thereof) of the Borrower, (F) any Transaction to the extent that the
consideration paid by the Borrower or any Restricted Subsidiary in such Transaction
is shares of the Borrower’s Capital Stock and (G) Transactions pursuant to any
contract or agreement in effect on the Closing Date and identified on Schedule
8.10, as the same may be amended, modified or replaced from time to time, so
long as any such contract or agreement as so amended,

19

 

modified or replaced is, taken
as a whole, no less favorable in any material respect to the Borrower and its
Restricted Subsidiaries or to the Lenders than the contract or agreement as in
effect on the Closing Date.

     (N) Section 8.16 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     8.16 [Intentionally Omitted].

     (O) Section 8.18 of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     8.18 [Intentionally Omitted].

     (P) Section 8.22(a) of the Existing Credit Agreement is hereby amended and
restated to read as follows:

     (a) In respect of Limited Guarantors, Restricted Subsidiaries that are not
Guarantors and JOAs, (i) permit (A) the aggregate outstanding amount of all
Indebtedness of such Persons required to be consolidated with the Borrower and its
Restricted Subsidiaries in accordance with Section 1.03(d) (excluding the
Denver Printer Debt, Indebtedness in respect of the Denver Synthetic Lease or the
Salt Lake Printer Lease and any Intercompany Debt) to exceed $75,000,000 or (B) the
aggregate outstanding amount of all Indebtedness attributable to any one of such
Person and which is required to be consolidated with the Borrower and its Restricted
Subsidiaries in accordance with Section 1.03(d) (excluding the Denver
Printer Debt, Indebtedness in respect of the Denver Synthetic Lease, the Salt Lake
Printer Lease and any Intercompany Debt) to exceed $50,000,000, or (ii) permit to
exist, at any time, any consensual restriction limiting the ability (whether by
covenant, event of default, subordination or otherwise) of any such Person to (A)
pay dividends or make any other distributions on shares of its Capital Stock or (B)
pay any obligation owed to the Borrower or any Restricted Subsidiary or (C) create
any Lien in favor of the Administrative Agent upon its property or assets whether
now owned or hereafter acquired or upon any income or profits therefrom, except that
this clause (ii) shall not apply to (1) any covenant or restriction contained in any
Contract evidencing or providing for the creation of or concerning Indebtedness of
any such Person permitted to be outstanding hereunder and limiting the ability of
such Person (x) to pay dividends or make any other distributions on shares of its
Capital Stock during the existence of any default or event of default with respect
to such Indebtedness, (y) to pay any obligation owed to the Borrower or any
Restricted Subsidiary during the existence of any default or event of default with
respect to such Indebtedness or (z) to create any Lien upon its property or assets
whether now owned or hereafter acquired or upon any income or profits therefrom or
(2) to restrictions of the kinds described in the definitions of “Permitted Liens”
or “Permitted Restrictive Covenants” set forth in Section 1.01 or described
in Schedule 8.22.

     (Q) Schedule 2.01 of the Existing Credit Agreement is hereby amended and
replaced with Schedule 2.01 attached hereto.

     (R) Schedule 2.01A of the Existing Credit Agreement is hereby amended and
replaced with Schedule 2.01A attached hereto.

20

 

     2. Conditions Precedent. This Amendment shall become effective as of the date hereof
upon satisfaction of the following conditions precedent.

     (A) Counterparts of Amendment. The Administrative Agent shall have received
counterparts of this Amendment, which collectively shall have been duly executed on behalf
of each of the Borrower, the Guarantors, the Required Lenders, each Revolving Lender, each
Lender holding outstanding Tranche A Term Loans and each Lender having a Tranche B Term Loan
Commitment (as shown on Schedule 2.01 as amended hereby).

     (B) Authority Documents and Opinions. The Administrative Agent shall have
received (i) copies of resolutions of the board of directors (or comparable governing
authority) of each of the Loan Parties approving and adopting the Amendment and authorizing
execution and delivery thereof, certified by a secretary or assistant secretary of such
Loan Party to be true and correct and in force and effect as of the date hereof and (ii) a
written opinion of legal counsel for the Loan Parties, dated as of the date hereof, in form
and substance reasonably satisfactory to the Administrative Agent.

     (C) Repayment of Tranche C Term Loans. Simultaneously with the effectiveness
of this Amendment, the Borrower shall repay the outstanding Tranche C Term Loans plus
accrued and unpaid interest thereon.

     (D) Amendment Fees. The Borrower shall have paid to the Administrative Agent,
for the account of each Lender executing this Amendment, a fee equal to 0.05% of such
Lender’s Commitments (calculated after giving effect to this Amendment).

     (E) Payment of Other Fees and Expenses. The Borrower shall have paid all other
fees required to be paid to BAS in connection with this Amendment and all Attorney Costs of
the Administrative Agent to the extent invoiced prior to or on the date hereof.

     3. Representations and Warranties. The Borrower hereby represents and warrants to the
Administrative Agent and the Lenders that, after giving effect to this Amendment, (a) the
representations and warranties set forth in Article VI of the Credit Agreement are, subject
to the limitations set forth therein, true and correct in all material respects as of the date
hereof (except for those which expressly relate to an earlier date) and (b) no Default or Event of
Default exists under the Credit Agreement or any of the other Loan Documents.

     4. Reaffirmation of Obligations. Each Loan Party hereby ratifies the Credit Agreement
and acknowledges and reaffirms (a) that it is bound by all terms of the Credit Agreement applicable
to it and (b) that it is responsible for the observance and full performance of its respective
Obligations. Without limiting the generality of the foregoing sentence, each of the Guarantors
hereby (a) jointly and severally reaffirms and ratifies its guaranty of the Obligations pursuant to
Article IV of the Credit Agreement, and (b) jointly and severally reaffirms and ratifies
all agreements set forth in such Collateral Documents securing such guaranty, all of which shall in
all respects remain in full force and effect and shall continue to guarantee and secure any and all
of the Obligations, whether now existing or hereafter arising, on the same terms and conditions as
are now set forth in such Collateral Documents.

     5. References in Other Loan Documents. At such time as this Amendment shall become
effective pursuant to the terms of Section 2 above, all references in the Credit Documents to the
“Credit Agreement” shall be deemed to refer to the Credit Agreement as amended by this Amendment.

     6. Counterparts/Telecopy. This Amendment may be executed by the parties hereto in
several counterparts, each of which shall be deemed to be an original and all of which shall
constitute

21

 

together but one and the same agreement. This Amendment may be transmitted and/or
signed by facsimile. The effectiveness of any such documents and signatures shall, subject to
applicable Law, have the same force and effect as manually signed originals and shall be binding on
all Loan Parties, the Administrative Agent and the Lenders. The Administrative Agent may also
require that any such documents and signatures be confirmed by a manually signed original thereof;
provided, however, that the failure to request or deliver the same shall not limit
the effectiveness of any facsimile document or signature.

     7. Governing Law. THIS AMENDMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND
GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK.

     8. Successors and Assigns. This Amendment shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns.

     9. Lender Acknowledgement. Each Person who executes this Amendment as a “Lender” but
was not a Lender prior to the date hereof, by execution of this Amendment and upon the satisfaction
of the conditions precedent set forth in Section 2 of this Amendment, (i) shall become a Lender as
of the date hereof, (ii) acknowledges and confirms its respective Commitment(s) as set forth on
Schedule 2.01 and/or Schedule 2.01A to the Credit Agreement, each as amended hereby, and (iii)
agrees and that it shall be bound by the provisions of the Credit Agreement as a Lender thereunder
and, to the extent of its Commitment, shall have all of the rights and obligations of a Lender
thereunder. Each Person that executes this Amendment as a Lender that was a Lender prior to the
date hereof, by execution of this Amendment and upon the satisfaction of the conditions precedent
set forth in Section 2 of this Amendment, hereby (i) acknowledges and confirms its respective
Commitment(s) as set forth on Schedule 2.01 and/or Schedule 2.01A to the Credit
Agreement, each as amended hereby, and (ii) acknowledges and agrees that such Commitment(s) replace
its existing Commitment(s) under the Existing Credit Agreement. In addition, each Lender further
agrees to assign and assume outstanding Commitments and Loans as is necessary to give effect to
such amended Schedules (such transactions shall be deemed to be done in accordance with and
pursuant to Section 11.07(b) of the Credit Agreement).

22

 

     IN WITNESS WHEREOF the Borrower, the Guarantors and the Required Lenders have caused
this Amendment to be duly executed on the date first above written.

	 	 	 	 	 
	BORROWER:	 	MEDIANEWS GROUP, INC.,
	 	 	a Delaware corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name: Ronald A. Mayo
	 	 	Title: Vice President and Chief Financial Officer

	 	 	 
	GUARANTORS:

	 	ALASKA BROADCASTING COMPANY, INC.,
	 

	 	an Alaska corporation
	 

	 	CHARLESTON PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	CONNECTICUT NEWSPAPERS PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	THE DENVER POST CORPORATION,
	 

	 	a Delaware corporation
	 

	 	THE DETROIT NEWS, INC.,
	 

	 	a Michigan corporation
	 

	 	EASTERN COLORADO PRODUCTION FACILITIES, INC.,
	 

	 	a Delaware corporation
	 

	 	EASTERN COLORADO PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	FITCHBURG INTERNET MEDIA PUBLISHING COMPANY, INC.,
	 

	 	a Delaware corporation
	 

	 	GRAHAM NEWSPAPERS, INC.,
	 

	 	a Delaware corporation
	 

	 	KEARNS-TRIBUNE, LLC,
	 

	 	a Delaware limited liability company
	 

	 	LONG BEACH PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	LOS ANGELES DAILY NEWS PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	LOWELL INTERNET MEDIA PUBLISHING COMPANY, INC.,
	 

	 	a Delaware corporation
	 

	 	LOWELL PUBLISHING COMPANY,
	 

	 	a Delaware corporation

	 	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name: Ronald A. Mayo
	 	 	Title: Vice President and Chief Financial Officer

1

 

	 	 	 
	 

	 	MEDIANEWS GROUP INTERACTIVE, INC.,
	 

	 	a Delaware corporation
	 

	 	MEDIANEWS SERVICES, INC.,
	 

	 	a Delaware corporation
	 

	 	NEW ENGLAND INTERNET MEDIA PUBLISHING, INC.,
	 

	 	a Delaware corporation
	 

	 	NEW ENGLAND NEWSPAPERS, INC.,
	 

	 	a Delaware corporation
	 

	 	NEW MEXICO-TEXAS MEDIANEWS GROUP
	 

	 	INTERACTIVE, INC.,
	 

	 	a Delaware corporation
	 

	 	NEW MEXICO-TEXAS MEDIANEWS LLC,
	 

	 	a Delaware limited liability company
	 

	 	NIMITZ PAPER COMPANY,
	 

	 	a Delaware corporation
	 

	 	NORTHWEST NEW MEXICO PUBLISHING COMPANY,
	 

	 	a Delaware corporation
	 

	 	PENNSYLVANIA NEWSPAPERS PUBLISHING, INC.,
	 

	 	a Delaware corporation
	 

	 	RATE WATCH, INC.,
	 

	 	a Delaware corporation
	 

	 	UTAH MEDIA, INC.,
	 

	 	a Delaware corporation
	 

	 	WEST COAST MEDIANEWS LLC,
	 

	 	a Delaware limited liability company
	 

	 	YORK NEWSPAPERS HOLDINGS, L.P.,
	 

	 	a Delaware limited partnership,

	 	 	 	 	 
	 

	 	By:
	 	Pennsylvania Newspapers Publishing, Inc.
	 

	 	 	 	Managing General Partner

	 	 	 
	 

	 	YORK NEWSPAPERS HOLDINGS, LLC,
	 

	 	a Delaware limited liability company
	 

	 	YORK DISPATCH LLC,
	 

	 	a Delaware limited liability company
	 

	 	YORK DAILY RECORD-YORK SUNDAY NEWS LLC,
	 

	 	a Delaware limited liability company

	 	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name: Ronald A. Mayo
	 	 	Title: Vice President and Chief Financial Officer

2

 

	 	 	 
	 

	 	THE YORK NEWSPAPER COMPANY,
	 

	 	a Pennsylvania general partnership,

	 	 	 	 	 	 	 
	 	 	By:	 	York Newspapers Holdings, L.P.
	 	 	 	 	Managing General Partner
	 
	 	 	 	 	 	 
	 

	 	 	 	By:
	 	Pennsylvania Newspapers Publishing, Inc.,
	 

	 	 	 	 	 	Managing General Partner
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	 	 	 	 	Name: Ronald A. Mayo
	 	 	 	 	Title: Vice President and Chief Financial Officer

3

 

	 	 	 	 	 
	ADMINISTRATIVE
	 	 	 	 
	AGENT:	 	BANK OF AMERICA, N.A.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 	 	Name:
	 	 	Title:

4

 

	 	 	 	 	 
	LENDERS:
	 	 	 	 
	 	 	 
	 	 	[Please insert name of Lender]
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

5

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