Document:

Senior Credit Facility

 Exhibit 10.8 
  
 EXECUTION VERSION 
  
 CREDIT AGREEMENT, dated as of February 18, 2004 (herein, as amended, supplemented or otherwise modified from time to time,
“this Agreement”), among the following: 
  
 (i) CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the
“Borrower”); 
  
 (ii) the lending institutions listed in Annex I hereto (herein, together with its or their successors and assigns, each a “Lender” and collectively, the
“Lenders”); and 
  
 (iii) NATIONAL CITY BANK OF PENNSYLVANIA, a national banking association, as one of the Lenders, as the Lender under the Swing Line Revolving Facility referred to herein (together with its successors and
assigns, in such capacity, the “Swing Line Lender”), as the lead arranger and book manager and as administrative agent (in such capacity, the “Administrative
Agent”). 
  
 PRELIMINARY STATEMENTS:

  
 (1) Unless otherwise defined herein, all capitalized terms
used herein and defined in section 1 are used herein as so defined. 
  
 (2) The Borrower has applied to the Lenders for credit facilities in order to (i) refinance certain indebtedness of the Borrower; (ii) finance the acquisition of substantially all of the assets of Barnebey Sutcliffe Corporation, an Ohio
corporation, and all of the issued and outstanding capital stock of Waterlink (UK) Holdings Limited (together, the “Purchased Entities”) to be purchased pursuant to the Purchase Agreement (defined
herein) and (iii) provide working capital and funds for capital expenditures and other lawful purposes. 
  
 (3) Subject to and upon the terms and conditions set forth herein, the Lenders are willing to make available to the Borrower the credit facilities
provided for herein. 
  
 NOW, THEREFORE, it is agreed and
the parties intending to be legally bound hereby: 
  
 SECTION
1. DEFINITIONS AND TERMS. 
  
 1.1. Certain Defined
Terms. As used herein, the following terms shall have the meanings herein specified unless the context otherwise requires: 
  
 “Account” shall mean any present or future right to payment for goods sold or leased or for services
rendered, whether now existing or hereafter arising and whether or not earned by performance. 
  
 “Acquisition” shall mean and include (i) any acquisition on a going concern basis (whether by purchase, lease or otherwise) of any facility and/or business operated
by any person who is not a Subsidiary of the Borrower, and (ii) any acquisition of a majority of the outstanding equity or other similar interests in any such person (whether by merger, stock purchase or otherwise). 
  
 “Administrative Agent” shall have the meaning provided in
the first paragraph of this Agreement and shall include any successor to the Administrative Agent appointed pursuant to section 12.9. 
  
 “Affiliate” shall mean, with respect to any person, any other person directly or indirectly controlling, controlled by, or under
direct or indirect common control with such person. A person shall be deemed to control a second person if such first person possesses, directly or indirectly, the power (i) to 

  

 
vote 10% or more of the securities having ordinary voting power for the election of directors or managers of such second person or (ii) to direct or cause
the direction of the management and policies of such second person, whether through the ownership of voting securities, by contract or otherwise. Notwithstanding the foregoing, (x) a director, officer or employee of a person shall not, solely by
reason of such status, be considered an Affiliate of such person; and (y) neither the Administrative Agent nor any Lender shall in any event be considered an Affiliate of the Borrower or any of its Subsidiaries. 
  
 “Agreement” shall have the meaning provided in the
introductory paragraph of this Agreement. 
  
 “Alternative
Currency” shall mean and include: (i) the currencies listed on Annex VIII, if at the time the applicable currency is readily and freely transferable and convertible into Dollars; and (ii) any other lawful currency other than Dollars that is
readily and freely transferable and convertible into Dollars and is acceptable to the Lenders as provided in section 2.3(b), as applicable, and any applicable Letter of Credit Issuer. 
  
 “Alternative Currency Sublimit” shall have the meaning provided in section 2.1(a). 
  
 “Applicable Eurodollar Margin” shall have the meaning
provided in section 2.8(h). 
  
 “Applicable Facility Fee
Rate” shall have the meaning provided in section 4.1(b). 
  
 “Applicable Lending Office” shall mean, with respect to each Lender, (i) such Lender’s Domestic Lending Office in the case of Borrowings consisting of Prime Rate Loans and (ii) such Lender’s Eurodollar
Lending Office in the case of Borrowings consisting of Eurodollar Loans. 
  
 “Applicable Prime Rate Margin” shall have the meaning provided in section 2.8(h). 
  
 “Approved Bank” shall have the meaning provided in the definition of Cash Equivalents. 
  
 “Asset Sale” shall mean the sale, transfer or other
disposition (including by means of Sale and Lease-Back Transactions, and by means of mergers, consolidations, and liquidations of a corporation, partnership or limited liability company of the interests therein of the Borrower or any Subsidiary) by
the Borrower or any Subsidiary to any person other than the Borrower or any Subsidiary of any of their respective assets, provided that the term Asset Sale specifically excludes any sales, transfers or other dispositions of inventory,
or obsolete or excess furniture, fixtures, equipment or other property, tangible or intangible, in each case in the ordinary course of business. 
  
 “Assignment Agreement” shall mean an Assignment Agreement substantially in the form of Exhibit E hereto. 
  
 “AST” shall mean Advanced Separation Technologies,
Inc., a Florida corporation. 
  
 “Authorized
Officer” shall mean any officer or employee of the Borrower designated as such in writing to the Administrative Agent by the Borrower. 
  
 “Bankruptcy Code” shall have the meaning provided in section 11.1(g). 
  
 “Basket Investments” shall have the meaning provided
in section 10.5(m). 
  
 “Borrower” shall
have the meaning provided in the first paragraph of this Agreement. 
  

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 “Borrowing” shall mean (i) the incurrence of General Revolving Loans consisting
of one Type of Loan, by the Borrower from all of the Lenders having Commitments in respect thereof on a pro rata basis on a given date (or resulting from Conversions, Continuations or Redenominations on a given date), having in the
case of Eurodollar Loans the same Interest Period, or (ii) the incurrence of a Swing Line Revolving Loan of a single Type from the Swing Line Lender on a given date. 
  
 “Business Day” shall mean: (i) for all purposes other than as covered by clause (ii) below, any day
excluding Saturday, Sunday and any day that shall be in the city in which the applicable Payment Office is located a legal holiday or a day on which banking institutions are authorized by law or other governmental actions to close; and (ii) with
respect to all notices and determination in connection with, and payments of principal and interest on, Eurodollar Loans, any day that is a Business Day described in clause (i) and that is also a day on which dealings are carried on in the London
interbank market and banks are open for business in London and in the country of issue of any Alternative Currency in which any applicable Eurodollar Loans are denominated. 
  
 “Capital Lease” as applied to any person shall mean any lease of any property (whether real,
personal or mixed) by that person as lessee that, in conformity with GAAP, is accounted for as a capital lease on the balance sheet of that person. 
  
 “Capitalized Lease Obligations” shall mean all obligations under Capital Leases of the Borrower or any of its Subsidiaries in each
case taken at the amount thereof accounted for as liabilities identified as “capital lease obligations” (or any similar words) on a consolidated balance sheet of the Borrower and its Subsidiaries prepared in accordance with GAAP.

  
 “Cash Equivalents” shall
mean any of the following (including foreign equivalents thereof): 
  
 (i) securities issued or directly and fully guaranteed or insured by the United States of America or any agency or instrumentality thereof (provided that the full faith and credit of the United States of
America is pledged in support thereof) having maturities of not more than one year from the date of acquisition; 
  
 (ii) U.S. dollar denominated time deposits, certificates of deposit and bankers’ acceptances of (x) any Lender or (y) any bank whose
short-term commercial paper rating from S&P is at least A-1 or the equivalent thereof or from Moody’s is at least P-1 or the equivalent thereof (any such bank, an “Approved Bank”), in each case with maturities of not
more than 180 days from the date of acquisition; 
  
 (iii) commercial paper issued by any Lender or Approved Bank or by the parent company of any Lender or Approved Bank and commercial paper issued by, or guaranteed by, any industrial or financial company with a short-term commercial paper
rating of at least A-1 or the equivalent thereof by S&P or at least P-1 or the equivalent thereof by Moody’s, or guaranteed by any industrial company with a long term unsecured debt rating of at least A or A2, or the equivalent of each
thereof, from S&P or Moody’s, as the case may be, and in each case maturing within 270 days after the date of acquisition; 
  
 (iv) investments in money market funds substantially all the assets of which are comprised of securities of the types described in clauses
(i) through (iii) above; and 
  
 (v) investments
in money market funds access to which is provided as part of “sweep” accounts maintained with a Lender or an Approved Bank. 
  

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 “Cash Proceeds” shall mean, with respect to any: (i) Asset Sale, the aggregate
cash payments (including any cash received by way of deferred payment pursuant to a note receivable issued in connection with such Asset Sale, other than the portion of such deferred payment constituting interest, but only as and when so received)
received by the Borrower and/or any Subsidiary from such Asset Sale; (ii) Event of Loss, the aggregate cash payments received by the Borrower and/or any Subsidiary as the result of such Event of Loss; and (iii) Material Recovery Event, the aggregate
cash payments received by the Borrower and/or any Subsidiary as the result of such Material Recovery Event. 
  
 “CERCLA” shall mean the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as the same may be amended
from time to time, 42 U.S.C. § 9601 et seq. 
  
 “Change of Control” shall mean and include any of the following: 
  
 (i) during any period of two consecutive calendar years, individuals who at the beginning of such period constituted the Borrower’s
Board of Directors (together with any new directors (x) whose election by the Borrower’s Board of Directors was, or (y) whose nomination for election by the Borrower’s shareholders was (prior to the date of the proxy or consent
solicitation relating to such nomination), approved by a vote of at least two-thirds of the directors then still in office who either were directors at the beginning of such period or whose election or nomination for election was previously so
approved), shall cease for any reason to constitute a majority of the directors then in office; 
  
 (ii) any person or group (as such term is defined in section 13(d)(3) of the 1934 Act) shall acquire, directly or indirectly, beneficial
ownership (within the meaning of Rule 13d-3 and 13d-5 of the 1934 Act) of more than 35%, on a fully diluted basis, of the economic or voting interest in the Borrower’s capital stock; 
  
 (iii) the shareholders of the Borrower approve a merger or
consolidation of the Borrower with any other person, other than a merger or consolidation that would result in the voting securities of the Borrower outstanding immediately prior thereto continuing to represent (either by remaining
outstanding or by being converted or exchanged for voting securities of the surviving or resulting entity) more than 75% of the combined voting power of the voting securities of the Borrower or such surviving or resulting entity outstanding after
such merger or consolidation; 
  
 (iv) the
shareholders of the Borrower approve a plan of complete liquidation of the Borrower or an agreement or agreements for the sale or disposition by the Borrower of all or substantially all of the Borrower’s assets; and/or 
  
 (v) any “change in control” or any similar term as
defined in any of the indentures, credit agreements, note or securities purchase agreements, or other agreements or instruments governing any Indebtedness of the Borrower or any of its Subsidiaries with an outstanding principal amount, or providing
for commitments to lend or otherwise invest or purchase in an outstanding principal amount, of at least $10,000,000 (or the equivalent amount in any other currency). 
  
 “Claims” shall have the meaning provided in the definition of Environmental Claims. 
  
 “Closing Date” shall mean the date, on or after the
Effective Date, upon which the conditions specified in section 7.1 are satisfied. 
  

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 “Code” shall mean the Internal Revenue Code of 1986, as amended from time to
time, and the regulations promulgated thereunder. Section references to the Code are to the Code, as in effect at the Effective Date and any subsequent provisions of the Code, amendatory thereof, supplemental thereto substituted therefor.

  
 “Commitment” shall mean, with respect
to each Lender, its General Revolving Commitment or its Swing Line Revolving Commitment, or both, as the case may be. 
  
 “Confidential Information” shall have the meaning provided in section 13.15. 
  
 “Consolidated Amortization Expense” shall mean, for
any period, all amortization expenses, including without limitation, amortization of goodwill, of the Borrower and its Subsidiaries, all as determined for the Borrower and its Subsidiaries on a consolidated basis in accordance with GAAP. 

 
 “Consolidated Capital Expenditures” shall mean,
for any period, the aggregate of all expenditures for property, plant or equipment (whether paid in cash or accrued as liabilities and including in all events amounts expended or capitalized under Capital Leases and Synthetic Leases but excluding
any amount representing capitalized interest) by the Borrower and its Subsidiaries during that period. 
  
 “Consolidated Cash” shall mean, as of any date, the aggregate cash and Cash Equivalents held by the Borrower and its Subsidiaries.

  
 “Consolidated Depreciation Expense”
shall mean, for any period, all depreciation expenses of the Borrower and its Subsidiaries, all as determined for the Borrower and its Subsidiaries on a consolidated basis in accordance with GAAP. 
  
 “Consolidated EBIT” shall mean, for any period,
Consolidated Net Income for such period; plus the sum (without duplication) of the amounts for such period included in determining such Consolidated Net Income of (i) Consolidated Interest Expense, (ii) Consolidated Income Tax Expense,
(iii) extraordinary and other non-recurring non-cash losses and charges, (iv) expenses attributable to stock options, (v) one time expenses incurred or accrued on or prior to March 31, 2003 associated with the resignation and separation of Jim
Cederna in an amount not to exceed $2,000,000; (vi) one time non-cash restructuring, reorganization and implementation charges associated with Permitted Dispositions, and (vii) the cumulative effect of changes in accounting principles adopted after
the date hereof less (B) extraordinary or other non-recurring gains, all as determined for the Borrower and its Subsidiaries on a consolidated basis in accordance with GAAP, except that in computing Consolidated Net
Income for purposes of this definition, there shall be excluded therefrom (x) the income (or loss) of any entity (other than Subsidiaries of the Borrower) in which the Borrower or any of its Subsidiaries has a joint or minority interest, except to
the extent of the amount of dividends or other distributions actually paid to the Borrower or any of its Subsidiaries during such period, and (y) the income of any Subsidiary of the Borrower to the extent that the declaration or payment of dividends
or similar distributions by that Subsidiary of that income is not at the time permitted by operation of the terms of its charter or any agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to that
Subsidiary; and provided that, notwithstanding anything to the contrary contained herein, the Borrower’s Consolidated EBIT for any Testing Period shall (x) include the appropriate financial items for any or business unit that has
been acquired by the Borrower for any portion of such Testing Period prior to date of acquisition, and (y) exclude the appropriate financial items for any person or business unit that has been disposed of by the Borrower, for the portion of such
Testing Period prior to the date of disposition, and provided further that the Consolidated EBIT for the Purchased Entities will be deemed to be (i) $1,500,000 for each of the fiscal quarters ended June 30, 2003, September 30, 2003 and
December 31, 2003, and (ii) $750,000 for the period from January 1, 2004 through and including the Closing Date. 
  

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 “Consolidated EBITDA” shall mean, for any period, Consolidated EBIT for such
period; plus (A) the sum (without duplication) of the amounts for such period included in determining such Consolidated Net Income of (i) Consolidated Depreciation Expense, and (ii) Consolidated Amortization Expense, all as determined
for the Borrower and its Subsidiaries on a consolidated basis in accordance with GAAP, provided that, notwithstanding anything to the contrary contained herein, the Borrower’s Consolidated EBITDA for any Testing Period shall (x)
include the appropriate financial items for any person or business unit that has been acquired by the Borrower for any portion of such Testing Period prior to the date of acquisition, and (y) exclude the appropriate financial items for any person or
business unit that has been disposed of by the Borrower, for the portion of such Testing Period prior to the date of disposition, and provided further that the Consolidated EBITDA for the Purchased Entities will be deemed to be (i)
$1,875,000 for each of the fiscal quarters ended June 30, 2003, September 30, 2003 and December 31, 2003, and (ii) $937,000 for the period from January 1, 2004 through and including the Closing Date. 
  
 “Consolidated Income Tax Expense” shall mean, for any
period, all provisions for taxes based on the net income of the Borrower or any of its Subsidiaries, all as determined for the Borrower and its Subsidiaries on a consolidated basis in accordance with GAAP. 
  
 “Consolidated Interest Expense” shall mean, for any
period, interest expense net of interest income of the Borrower and its Subsidiaries on a consolidated basis with respect to all outstanding Indebtedness of the Borrower and its Subsidiaries, all as determined for the Borrower and its Subsidiaries
on a consolidated basis in accordance with GAAP. 
  
 “Consolidated Net Income” shall mean for any period, the net income (or loss) of the Borrower and its Subsidiaries on a consolidated basis for such period taken as a single accounting period determined in conformity
with GAAP. 
  
 “Consolidated Net Worth”
shall mean at any time for the determination thereof (i) all amounts that, in conformity with GAAP (without giving effect to any non-cash losses as a result of impairment of goodwill as required by Statement of Financial Accounting Standards No.
142), would be included under the caption “total stockholders’ equity” (or any like caption) on a consolidated balance sheet of the Borrower as at such date, provided that in no event shall Consolidated Net Worth include
any amounts in respect of Redeemable Stock. 
  
 “Consolidated Total Assets” shall mean with respect to any person at any date of determination the net book value of all assets that would appear on a consolidated balance sheet of such person and its consolidated
Subsidiaries at such date that is prepared in accordance with GAAP. 
  
 “Consolidated Total Debt” shall mean the sum (without duplication) of the principal amount (or Capitalized Lease Obligation, in the case of a Capital Lease, or present value, based on the implicit interest rate, in
the case of any Synthetic Lease, or the higher of liquidation value or stated value, in the case of Redeemable Stock) of all Indebtedness of the Borrower and each of its Subsidiaries, all as determined on a consolidated basis, minus
Consolidated Cash. 
  
 “Continue,”
“Continuation” and “Continued” each refers to a continuation of a General Revolving Loan that is a Eurodollar Loans for an additional Interest Period as provided in section 2.9. 
  
 “Convert,” “Conversion” and
“Converted” each refers to a conversion of General Revolving Loans of one Type into General Revolving Loans of another Type, pursuant to section 2.7, 2.9(b), 2.10 or 6.2. 
  

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 “Credit Documents” shall mean this Agreement, the Notes and each other document
or agreement executed in connection herewith. 
  
 “Credit Party” shall mean the Borrower and each Subsidiary Guarantor. 
  
 “Default” shall mean any event, act or condition that with notice or lapse of time, or both, would constitute an Event of Default.

  
 “Defaulting Lender” shall mean any
Lender with respect to which a Lender Default is in effect. 
  
 “Designated Hedge Agreement” shall mean any Hedge Agreement to which the Company or any of its Subsidiaries is a party which, pursuant to (x) a written instrument signed by the Administrative Agent and (y) the
following provisions, has been designated as a Designated Hedge Agreement so that the Company’s or Subsidiary’s counterparty’s credit exposure thereunder will be entitled to share in the benefits of the Subsidiary Guaranty and any
other Credit Documents to the extent the Subsidiary Guaranty and such Credit Documents provide guarantees or security for creditors of the Company or any Subsidiary under Designated Hedge Agreements: 
  
 (i) The Administrative Agent will, without the approval or
consent of the Lenders, designate a Hedge Agreement entered into with a Lender or an Affiliate of a Lender as a Designated Hedge Agreement. 
  
 (ii) If so requested by the Company, the Administrative Agent may, without the approval or consent of the Lenders, designate a Hedge
Agreement as a Designated Hedge Agreement. 
  
 (iii) Notwithstanding clause (ii) above, the Administrative Agent will not designate any Hedge Agreement as a Designated Hedge Agreement without the approval, consent or instructions of the Required Lenders, unless the
Administrative Agent reasonably determines, at the time of such designation and after giving effect thereto, in accordance with its own customary valuation practices, that the maximum aggregate credit exposure to the Company and its Subsidiaries of
all counterparties under all Designated Hedge Agreements is not more than $10,000,000. 
  
 (iv) It shall be a condition to the rights of any counterparty creditor of the Company or any Subsidiary under any Designated Hedge
Agreement to share in any recoveries of enforcement of the Subsidiary Guaranty and of the Credit Documents, that such counterparty creditor shall have entered into an intercreditor or similar agreement with the Administrative Agent under which
recoveries from the Company and its Subsidiaries with respect to such Designated Hedge Agreement will be shared in a manner consistent with the provisions of section 11.3 hereof. 
  
 “Dollars,” “U.S. dollars,” “dollars” and the
sign “$” each means lawful money of the United States. 
  
 “Domestic Lending Office” shall mean, with respect to any Lender, the office of such Lender specified as its Domestic Lending Office in Annex I or in the Assignment Agreement pursuant to which
it became a Lender, or such other office of such Lender as such Lender may from time to time specify to the Borrower and the Administrative Agent. 
  
 “Domestic Subsidiary” shall mean any Subsidiary other than a Foreign Subsidiary. 
  

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 “Effective Date” shall have the meaning provided in section 13.10. 
  
 “Eligible Accounts Receivable” shall mean, as of any
date, the gross outstanding balance on such date, determined in accordance with GAAP and stated on a basis consistent with the historical practices of the Borrower as of the Closing Date, of Accounts of the Borrower and its Subsidiaries, less the
sum of (x) reserves established in respect of Accounts and (y) any amount that the Administrative Agent determines in its good faith business judgment to be ineligible for purposes of calculating the covenant set forth in section 10.7. 

 
 “Eligible Inventory” shall mean, as of any date,
the aggregate value of the Inventory of the Borrower and its Subsidiaries valued at the lower of cost or market and on a first-in, first-out basis, excluding such Inventory as the Administrative Agent determines in its good faith business judgment
to be ineligible for purposes of calculating the covenant set forth in section 10.7. 
  
 “Eligible PP&E” shall mean, as of any date, the net book value of the property, plant and equipment of the Borrower and its Subsidiaries as reflected on the Borrower’s most recent
financial statements. 
  
 “Eligible
Transferee” shall mean and include a commercial bank, financial institution or other “accredited investor” (as defined in SEC Regulation D), in each case that: 
  
 (i) is not disapproved in writing by the Borrower in a notice given to a requesting Lender and the
Administrative Agent, specifying the reasons for such disapproval, within five Business Days following the giving of notice to the Borrower of the identity of any proposed transferee (any such disapproval by the Borrower must be reasonable),
provided that (a) this subclause (i) shall not apply in the case of any participation permitted pursuant to section 13.4(b) and (b) Borrower shall not be entitled to exercise the foregoing right of disapproval if and so long as any
Event of Default shall have occurred and be continuing; and 
  
 (ii) is not a direct competitor of the Borrower or engaged in the same or similar principal lines of business as the Borrower and its Subsidiaries considered as a whole, or a Subsidiary of any such competitor of the
Borrower and its Subsidiaries. 
  
 “Environmental
Claims” shall mean any and all administrative, regulatory or judicial actions, suits, demands, demand letters, claims, liens, notices of non-compliance or violation, investigations or proceedings relating in any way to any Environmental
Law or any permit issued under any such law (hereafter “Claims”), including, without limitation, (i) any and all Claims by governmental or regulatory authorities for enforcement, cleanup, removal, response, remedial or other
actions or damages pursuant to any applicable Environmental Law, and (ii) any and all Claims by any third party seeking damages, contribution, indemnification, cost recovery, compensation or injunctive relief resulting from the storage, treatment or
Release (as defined in CERCLA) of any Hazardous Materials or arising from alleged injury or threat of injury to health, safety or the environment. 
  
 “Environmental Law” shall mean any applicable Federal, state, foreign or local statute, law, rule, regulation, ordinance, code,
binding and enforceable guideline, binding and enforceable written policy and rule of common law now or hereafter in effect and in each case as amended, and any binding and enforceable judicial or administrative interpretation thereof, including any
judicial or administrative order, consent, decree or judgment issued to or rendered against the Borrower or any of its Subsidiaries relating to the environment, employee health and safety or Hazardous Materials, including, without limitation,
CERCLA; RCRA; the Federal Water Pollution Control Act, 33 U.S.C. § 2601 et seq.; the Clean Air Act, 42 U.S.C. § 7401 et seq.; the Safe Drinking Water Act, 42 U.S.C. § 3803 et seq.; the Oil
Pollution Act of 1990, 33 U.S.C. § 2701 et seq.; the Emergency Planning and the Community Right-to-Know 

  

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Act of 1986, 42 U.S.C. § 11001 et seq., the Hazardous Material Transportation Act, 49 U.S.C. § 1801 et seq.; and the
Occupational Safety and Health Act, 29 U.S.C. § 651 et seq. (to the extent it regulates occupational exposure to Hazardous Materials); and any state and local or foreign counterparts or equivalents, in each case as amended from
time to time. 
  
 “ERISA” shall mean the
Employee Retirement Income Security Act of 1974, as amended from time to time, and the regulations promulgated and rulings issued thereunder. Section references to ERISA are to ERISA, as in effect at the Effective Date and any subsequent provisions
of ERISA, amendatory thereof, supplemental thereto or substituted therefor. 
  
 “ERISA Affiliate” shall mean each person (as defined in section 3(9) of ERISA) that together with the Borrower or a Subsidiary of the Borrower would be deemed to be a “single
employer”: (i) within the meaning of section 414(b),(c), (m) or (o) of the Code; or (ii) as a result of the Borrower or a Subsidiary of the Borrower being or having been a general partner of such person. 
  
 “Eurodollar Lending Office” shall mean, with respect
to any Lender, the office of such Lender specified as its Eurodollar Lending Office in Annex I or in the Assignment Agreement pursuant to which it became a Lender, or such other office or offices (for Eurodollar Loans denominated in Dollars or
Alternative Currencies) of such Lender as such Lender may from time to time specify to the Borrower and the Administrative Agent. 
  
 “Eurodollar Loans” shall mean each Loan, denominated in Dollars or in an Alternative Currency, bearing interest at the rates
provided in section 2.8(b). 
  
 “Eurodollar Market
Index Rate” shall mean, as of any date, the Eurodollar Rate applicable to Eurodollar Loans with one month Interest Periods. 
  
 “Eurodollar Market Index Rate Loans” shall mean each Swing Line Revolving Loan bearing interest at the rate provided in section
2.8(c). 
  
 “Eurodollar Rate” shall mean,
with respect to each Interest Period for a Eurodollar Loan, (A) either (i) the rate per annum for deposits in Dollars or in the relevant Alternative Currency for a maturity most nearly comparable to such Interest Period that appears on page 3740 or
3750, as applicable, of the Dow Jones Telerate Screen as of 11:00 A.M. (local time at the Notice Office) on the date that is two Business Days prior to the commencement of such Interest Period, or (ii) if such a rate does not appear on such a page,
an interest rate per annum equal to the average (rounded upward to the nearest whole multiple of 1/16 of 1% per annum, if such average is not such a multiple) of the rate per annum at which deposits in Dollars or in the relevant Alternative Currency
are offered to each of the Reference Banks by prime banks in the London interbank Eurocurrency market for deposits of amounts in same day funds comparable to the outstanding principal amount of the Eurodollar Loan for which an interest rate is then
being determined with maturities comparable to the Interest Period to be applicable to such Eurodollar Loan, determined as of 11:00 A.M. (London time) on the date that is two Business Days prior to the commencement of such Interest Period, in each
case divided (and rounded upward to the nearest whole multiple of 1/16th of 1%) by (B) a percentage equal to 100% minus the then stated maximum rate of all reserve requirements (including, without limitation, any marginal, emergency, supplemental,
special or other reserves) applicable to any member bank of the Federal Reserve System in respect of Eurocurrency liabilities as defined in Regulation D (or any successor category of liabilities under Regulation D);
provided, however, that in the event that the rate referred to in clause (i) above is not available at any such time for any reason, then the rate referred to in clause (i) shall instead be the average
(rounded to the nearest ten thousandth of 1%) of the rates at which U.S. dollar deposits of $5,000,000 are offered to the Reference Banks in the London interbank market at approximately 11:00 a.m. (London 

  

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time), two Business Days prior to the commencement of such Interest Period, for contracts that would be entered into at the commencement of such Interest
Period. 
  
 “Euros” shall mean the single
currency of the European Union. 
  
 “Event of
Default” shall have the meaning provided in section 11.1. 
  
 “Event of Loss” shall mean, with respect to any property: (i) the actual or constructive total loss of such property or the use thereof, resulting from destruction, damage beyond repair, or the rendition of such
property permanently unfit for normal use from any casualty or similar occurrence whatsoever; (ii) the destruction or damage of a portion of such property from any casualty or similar occurrence whatsoever under circumstances in which such damage
cannot reasonably be expected to be repaired, or such property cannot reasonably be expected to be restored to its condition immediately prior to such destruction or damage, within 180 days after the occurrence of such destruction or damage; (iii)
the condemnation, confiscation or seizure of, or requisition of title to or use of, any property; or (iv) in the case of any property located upon a Leasehold, the termination or expiration of such Leasehold. 
  
 “Existing Credit Agreement” shall mean that certain
Credit Agreement, dated March 21, 2003, among the Borrower, NCB, as the administrative agent and the lending institutions listed on Annex I thereto. 
  
 “Existing Indebtedness” shall have the meaning provided in section 8.18. 
  
 “Existing Indebtedness Agreements” shall have the
meaning provided in section 8.18. 
  
 “Existing Letter
of Credit” shall have the meaning provided in section 3.1(d). 
  
 “Facility” shall mean the General Revolving Facility or the Swing Line Revolving Facility, as applicable. 
  
 “Facility Fee” shall have the meaning provided in section 4.1(a). 
  
 “Federal Funds Effective Rate” shall mean, for any
period, a fluctuating interest rate equal for each day during such period to the weighted average of the rates on overnight Federal Funds transactions with members of the Federal Reserve System arranged by Federal Funds brokers, as published for
such day (or, if such day is not a Business Day, for the next preceding Business Day) by the Federal Reserve Bank of New York, or, if such rate is not so published for any day that is a Business Day, the average of the quotations for such day on
such transactions received by the Administrative Agent from three Federal Funds brokers of recognized standing selected by the Administrative Agent. 
  
 “Fees” shall mean all amounts payable pursuant to, or referred to in, section 4. 
  
 “Facing Fee” shall have the meaning provided in
section 4.3. 
  
 “Financial Projections”
shall have the meaning provided in section 8.8(b). 
  
 “Foreign Lender” shall mean a person that is not a United States person (as such term is defined in section 7701(a)(30) of the Code) for Federal Income Tax purposes. 
  
 “Foreign Subsidiary” shall mean any Subsidiary: (i)
that is not incorporated in the United States and substantially all of whose assets and properties are located, or substantially all of whose business is 

  

 - 10 - 

 
carried on, outside the United States; or (ii) substantially all of whose assets consist of Subsidiaries that are Foreign Subsidiaries as defined in clause
(i) of this definition. 
  
 “GAAP” shall
mean generally accepted accounting principles in the United States of America as in effect from time to time; it being understood and agreed that determinations in accordance with GAAP for purposes of section 10, including defined terms as used
therein, are subject (to the extent provided therein) to sections 1.3 and 13.7(a). 
  
 “General Revolving Commitment” shall mean, with respect to each Lender, the amount, if any, set forth opposite such Lender’s name in Annex I as its “General Revolving Commitment”
as the same may be reduced from time to time pursuant to section 5.1, 5.2 and/or 11.2 or adjusted from time to time as a result of assignments to or from such Lender pursuant to section 13.4. 
  
 “General Revolving Facility” shall mean the credit
facility evidenced by the Total General Revolving Commitment. 
  
 “General Revolving Facility Percentage” shall mean at any time for any Lender with a General Revolving Commitment, the percentage obtained by dividing such Lender’s General Revolving Commitment by the Total
General Revolving Commitment, provided, that if the Total General Revolving Commitment has been terminated, the General Revolving Facility Percentage for each Lender with a General Revolving Commitment shall be determined by dividing
such Lender’s General Revolving Commitment immediately prior to such termination by the Total General Revolving Commitment immediately prior to such termination. 
  
 “General Revolving Loan” shall have the meaning provided in section 2.1(a). 
  
 “General Revolving Note” shall have the meaning
provided in section 2.6(a). 
  
 “Granting
Lender” shall have the meaning provided in section 13.4(f). 
  
 “Guaranty Obligations” shall mean as to any person (without duplication) any obligation of such person guaranteeing any Indebtedness (“primary Indebtedness”) of any
other person (the “primary obligor”) in any manner, whether directly or indirectly, including, without limitation, any obligation of such person, whether or not contingent, (a) to purchase any such primary Indebtedness or any
property constituting direct or indirect security therefor, (b) to advance or supply funds (i) for the purchase or payment of any such primary Indebtedness or (ii) to maintain working capital or equity capital of the primary obligor or otherwise to
maintain the net worth or solvency of the primary obligor, (c) to purchase property, securities or services primarily for the purpose of assuring the owner of any such primary Indebtedness of the ability of the primary obligor to make payment of
such primary Indebtedness, or (d) otherwise to assure or hold harmless the owner of such primary Indebtedness against loss in respect thereof, provided, however, that the term Guaranty Obligation shall not include endorsements of
instruments for deposit or collection in the ordinary course of business. The amount of any Guaranty Obligation shall be deemed to be an amount equal to the stated or determinable amount of the primary Indebtedness in respect of that such Guaranty
Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof (assuming such person is required to perform thereunder) as determined by such person in good faith. 
  
 “Hazardous Materials” shall mean: (i) any
petrochemical or petroleum products, radioactive materials, asbestos in any form that is or could become friable, urea formaldehyde foam insulation, transformers or other equipment that contain dielectric fluid containing levels of polychlorinated
biphenyls, and radon gas; and (ii) any chemicals, materials or substances defined as or included in the definition of “hazardous substances,” “hazardous wastes,” “hazardous materials,” “restricted hazardous 

  

 - 11 - 

 
materials,” “extremely hazardous wastes,” “restrictive hazardous wastes,” “toxic substances,” “toxic
pollutants,” “contaminants” or “pollutants,” or words of similar meaning and regulatory effect, under any applicable Environmental Law. 
  

“Hedge Agreement” shall mean any interest rate swap agreement, any interest rate cap agreement, any interest rate collar
agreement or other similar agreement or arrangement designed to protect against fluctuations in interest rates; provided, however, that in each case, the documentation with respect to such arrangements shall
conform to any form of master agreement published by the International Swaps and Derivatives Association, Inc. 
  
 “Indebtedness” of any person shall mean without duplication: 
  
 (i) all indebtedness of such person for borrowed money; 
  
 (ii) all bonds, notes, debentures and similar debt
securities of such person; 
  
 (iii) the deferred
purchase price of capital assets or services that in accordance with GAAP would be shown on the liability side of the balance sheet of such person; 
  
 (iv) the face amount of all letters of credit issued for the account of such person and, without duplication, all drafts drawn thereunder;

  
 (v) all obligations, contingent or otherwise,
of such person in respect of bankers’ acceptances; 
  
 (vi) all Indebtedness of a second person secured by any Lien on any property owned by such first person, whether or not such Indebtedness has been assumed; 
  
 (vii) all Capitalized Lease Obligations of such person;

  
 (viii) the present value, determined on the
basis of the implicit interest rate, of all basic rental obligations under all Synthetic Leases of such person; 
  
 (ix) all net obligations of such person under Hedge Agreements; 
  
 (x) the full outstanding balance of trade receivables, notes or other instruments sold with full recourse
(and the portion thereof subject to potential recourse, if sold with limited recourse), other than in any such case any thereof sold solely for purposes of collection of delinquent accounts; 
  
 (xi) the stated value, or liquidation value if higher, of
all Redeemable Stock of such person; and 
  
 (xii) all Guaranty Obligations of such person; 
  
 provided
that: (x) neither trade payables nor other similar accrued expenses, in each case arising in the ordinary course of business, nor obligations in respect of insurance policies or performance or surety bonds that themselves are not guarantees of
Indebtedness (nor drafts, acceptances or similar instruments evidencing the same nor obligations in respect of letters of credit supporting the payment of the same), shall constitute Indebtedness; and (y) the Indebtedness of any person shall in any
event include (without duplication) the Indebtedness of any other entity (including any general partnership in which such person is a general partner) to the extent such person is liable thereon as a result of such person’s ownership 

  

 - 12 - 

 
interest in or other relationship with such entity, except to the extent the terms of such Indebtedness provide expressly that such person is not liable
thereon. 
  
 “Indemnitees” shall have the
meaning provided in section 13.1(f). 
  
 “Interest
Coverage Ratio” shall mean, for any Testing Period, the ratio of (i) Consolidated EBIT for such Testing Period, to (ii) the Consolidated Interest Expense for such Testing Period, in each case on a consolidated basis for
the Borrower and its Subsidiaries for such Testing Period. 
  
 “Interest Period” with respect to any Eurodollar Loan shall mean the interest period applicable thereto, as determined pursuant to section 2.9. 
  
 “Inventory” shall mean, as of any date, the net book value of the inventory of the Borrower and its
Subsidiaries as reflected on the Borrower’s most recent financial statements. 
  
 “Leaseholds” of any person means all the right, title and interest of such person as lessee or licensee in, to and under leases or licenses of land, improvements and/or fixtures. 
  
 “Lender” shall have the meaning provided in the first
paragraph of this Agreement. 
  
 “Lender
Default” shall mean: (i) the refusal (that has not been retracted) of a Lender in violation of its obligations under this Agreement to make available its portion of any incurrence of Loans or to fund its portion of any Swing Line
Participation Amount under section 2.5(b); or (ii) a Lender having notified the Administrative Agent and/or the Borrower that it does not intend to comply with such obligations, in the case of either (i) or (ii) as a result of the appointment of a
receiver or conservator with respect to such Lender at the direction or request of any regulatory agency or authority. 
  
 “Lender Register” shall have the meaning provided in section 13.16. 
  
 “Letter of Credit” shall have the meaning provided in section 3.1(a). 
  
 “Letter of Credit Documents” shall have the meaning
specified in section 3.2(a). 
  
 “Letter of Credit
Fee” shall have the meaning provided in section 4.2. 
  
 “Letter of Credit Issuer” shall mean: (i) in respect of each Existing Letter of Credit, the Lender that has issued same as of the Effective Date; and (ii) in respect of any other Letter of Credit, NCB or any other
Lender so long as such Lender is a Non-Defaulting Lender and otherwise has satisfied and/or continues to satisfy its obligations as a Letter of Credit Issuer hereunder. 
  
 “Letter of Credit Outstandings” shall mean, at any time, the sum, without duplication, of (i) the
aggregate Stated Amount of all outstanding Letters of Credit and (ii) the aggregate amount of all Unpaid Drawings. 
  
 “Letter of Credit Request” shall have the meaning provided in section 3.2(a). 
  
 “Letter of Credit Sublimit” shall have the meaning
provided in section 3.1(b). 
  
 “Lien”
shall mean any mortgage, pledge, security interest, encumbrance, lien or charge of any kind (including any agreement to give any of the foregoing, any conditional sale or other title retention agreement or any lease in the nature thereof).

  

 - 13 - 

 “Loan” shall have the meaning provided in section 2.1 and shall include any
General Revolving Loan or Swing Line Revolving Loan, as the case may be. 
  
 “Margin Stock” shall have the meaning provided in Regulation U. 
  
 “Material Adverse Effect” shall mean any or all of the following: (i) any material adverse effect on the business, operations,
property, assets, liabilities or condition (financial or otherwise) of, when used with reference to the Borrower and/or any of its Subsidiaries, the Borrower and its Subsidiaries, taken as a whole, or when used with reference to any other person,
such person and its Subsidiaries, taken as a whole, as the case may be; (ii) any material adverse effect on the ability of the Borrower to perform its obligations under the Credit Documents to which it is a party; (iii) any material adverse effect
on the ability of the Borrower and its Subsidiaries, taken as a whole, to pay their liabilities and obligations as they mature or become due; or (iv) any material adverse effect on the validity, effectiveness or enforceability, as against the
Borrower, of any of the Credit Documents to which it is a party. 
  
 “Material Recovery Event” shall mean the receipt by the Borrower or any Subsidiary of any proceeds resulting from or awarded in connection with the settlement or favorable decision of any litigation, arbitration, or
other legal proceeding (other than amounts, if any, specifically designated to cover fees and expenses of counsel), in excess of $2,000,000 in any fiscal year other than as a result of any of the items disclosed on Annex VII. 
  
 “Material Subsidiary” shall mean, at any time, with
reference to any person, any Subsidiary of such person (i) that has assets at such time comprising 10% or more of the consolidated assets of such person and its Subsidiaries, or (ii) whose operations in the current fiscal year are expected to, or
whose operations in the most recent fiscal year did (or would have if such person had been a Subsidiary for such entire fiscal year), represent 10% or more of the consolidated earnings before interest, taxes, depreciation and amortization of such
person and its Subsidiaries for such fiscal year; provided, however, that to the extent all Subsidiaries of such person constituting Non-Material Subsidiaries and Foreign Subsidiaries (a) account in the
aggregate for more than 15% or more of the consolidated assets of such person and its Subsidiaries, or (b) whose operations in the current fiscal year are expected to, or whose operations in the most recent fiscal year did (or would have if such
person had been a Subsidiary for such entire fiscal year), represent 15% or more of the consolidated earnings before interest, taxes, depreciation and amortization of such person and its Subsidiaries for such fiscal year, then each such domestic
Subsidiary shall be deemed a Material Subsidiary; and provided further that neither Solarchem nor AST will be deemed a Material Subsidiary unless and until either such Subsidiary would be deemed a Material Subsidiary without giving
effect to the immediately preceding proviso. 
  
 “Maturity Date” shall mean February 18, 2007 or such earlier date on which the Total Commitment is terminated. 
  
 “Minimum Borrowing Amount” shall mean: (i) for General Revolving Loans that are (A) Prime Rate Loans, $2,500,000, with minimum
increments thereafter of $500,000, or (B) Eurodollar Loans, $5,000,000 (or the substantial equivalent thereof in any Alternative Currency), with minimum increments thereafter of $1,000,000 (or the substantial equivalent thereof in any Alternative
Currency); and (ii) for Swing Line Revolving Loans, $500,000, with minimum increments thereafter of $100,000. 
  
 “Moody’s” shall mean Moody’s Investors Service, Inc. and its successors. 
  
 “Multiemployer Plan” shall mean a multiemployer plan,
as defined in section 4001(a)(3) of ERISA to which the Borrower or any ERISA Affiliate is making or accruing an obligation to make contributions or has within any of the preceding three plan years made or accrued an obligation to make contributions.

  

 - 14 - 

 “Multiple Employer Plan” shall mean a Plan, other than a Multiemployer Plan, to
which the Borrower or any ERISA Affiliate, and one or more employers other than the Borrower or an ERISA Affiliate, is making or accruing an obligation to make contributions or, in the event that any such plan has been terminated, to which the
Borrower or an ERISA Affiliate made or accrued an obligation to make contributions during any of the five plan years preceding the date of termination of such plan. 
  
 “NCB” shall mean National City Bank of Pennsylvania, a national banking association, together with
its affiliates, successors and assigns. 
  
 “Net Cash
Proceeds” shall mean, with respect to any: (i) Asset Sale, the Cash Proceeds resulting therefrom net of (a) reasonable and customary expenses of sale incurred in connection with such Asset Sale, and other reasonable and customary fees
and expenses incurred, and all state, and local taxes paid or reasonably estimated to be payable by such person, as a consequence of such Asset Sale and the payment of principal, premium and interest of Indebtedness secured by the asset that is the
subject of the Asset Sale and required to be, and that is, repaid under the terms thereof as a result of such Asset Sale, (b) amounts of any distributions payable to holders of minority interests in the relevant person or in the relevant property or
assets and (c) incremental income taxes paid or payable as a result thereof; (ii) Event of Loss, the Cash Proceeds resulting therefrom net of (a) reasonable and customary expenses incurred in connection with such Event of Loss, and other reasonable
and customary fees and expenses incurred, and all state, and local taxes paid or reasonably estimated to be payable by such person, as a consequence of such Event of Loss and the payment of principal, premium and interest of Indebtedness secured by
the asset that is the subject of the Event of Loss and required to be, and that is, repaid under the terms thereof as a result of such Event of Loss, (b) amounts of any distributions payable to holders of minority interests in the relevant person or
in the relevant property or assets and (c) incremental income taxes paid or payable as a result thereof; and (iii) Material Recovery Event, the Cash Proceeds resulting therefrom net of (a) reasonable and customary expenses incurred in connection
with such Material Recovery Event, and other reasonable and customary fees and expenses incurred, and all state, and local taxes paid or reasonably estimated to be payable by such person, as a consequence of such Material Recovery Event and the
payment of principal, premium and interest of Indebtedness secured by the asset that is the subject of the Material Recovery Event and required to be, and that is, repaid under the terms thereof as a result of such Material Recovery Event, (b)
amounts of any distributions payable to holders of minority interests in the relevant person or in the relevant property or assets and (c) incremental income taxes paid or payable as a result thereof 
  
 “Net Debt Proceeds” shall mean, with respect to the
incurrence, sale or issuance by the Borrower or any of its Subsidiaries of any Indebtedness after the date hereof (other than any Indebtedness permitted by section 10.4), the excess of (i) the gross cash proceeds received by such person from such
incurrence, sale or issuance, over (ii) all reasonable and customary underwriting commissions and legal, investment banking, brokerage and accounting and other professional fees, sales commissions and disbursements actually incurred in connection
with such incurrence, sale or issuance that have not been paid to an Affiliate of the Borrower in connection therewith. 
  
 “1934 Act” shall mean the Securities Exchange Act of 1934, as amended. 
  
 “Non-Defaulting Lender” shall mean each Lender other
than a Defaulting Lender. 
  
 “Non-Material
Subsidiary” shall mean a Subsidiary that is not a Material Subsidiary. 
  
 “Note” shall mean a General Revolving Note or a Swing Line Revolving Note, as the case may be. 
  
 “Notice of Borrowing” shall have the meaning provided in section 2.3(a). 
  

 - 15 - 

 “Notice of Continuation” shall have the meaning provided in section 2.9(a).

  
 “Notice of Conversion” shall have the
meaning provided in section 2.7(a). 
  
 “Notice
Office” shall mean the office of the Administrative Agent at 629 Euclid Avenue, Locator 01-3028, Cleveland, Ohio 44114, Attention: Agent Services (facsimile: (216) 222-0012), or such other office, located in a city in the United States
Eastern Time Zone, as the Administrative Agent may designate to the Borrower from time to time. 
  
 “Notice of Redenomination” shall have the meaning provided in section 2.7(b). 
  
 “Notice of Swing Line Refunding” shall have the
meaning provided in section 2.5(a). 
  
 “Obligations” shall mean all amounts, direct or indirect, contingent or absolute, of every type or description, and at any time existing, owing by the Borrower to the Administrative Agent or any Lender pursuant to
the terms of this Agreement or any other Credit Document. 
  
 “Operating Lease” as applied to any person shall mean any lease of any property (whether real, personal or mixed) by that person as lessee that, in conformity with GAAP, is not accounted for as a Capital Lease on the
balance sheet of that person. 
  
 “Participant” shall have the meaning provided in section 3.4(a). 
  
 “Payment Office” shall mean the office of the Administrative Agent at 629 Euclid Avenue, Locator 01-3028, Cleveland, Ohio 44114,
Attention: Agent Services (facsimile: (216) 222-0012), or such other office, located in a city in the United States Eastern Time Zone, as the Administrative Agent may designate to the Borrower from time to time. 
  
 “PBGC” shall mean the Pension Benefit Guaranty
Corporation established pursuant to section 4002 of ERISA, or any successor thereto. 
  
 “Percentage” shall mean the General Revolving Facility Percentage or the Swing Line Revolving Facility Percentage, as applicable. 
  
 “Permitted Acquisition” shall mean and include any Acquisition as to which all of the following
conditions are satisfied: 
  
 (i) such
Acquisition involves a line or lines of business that is complementary to the lines of business in which the Borrower and its Subsidiaries, considered as an entirety, are engaged on the Effective Date, unless the Required Lenders
specifically approve or consent to such Acquisition in writing; 
  
 (ii) such Acquisition is not actively opposed by the Board of Directors (or similar governing body) of the selling person or the person whose equity interests are to be acquired, unless all of the Lenders
specifically approve or consent to such Acquisition in writing; 
  
 (iii) if as a result of an Acquisition a person becomes a Subsidiary of the Borrower, such Subsidiary shall be a Wholly-Owned Subsidiary; 
  
 (iv) the aggregate consideration for such Acquisition, including the principal amount of any assumed
Indebtedness and (without duplication) any Indebtedness of any acquired person 

  

 - 16 - 

 
or persons, does not exceed $10,000,000, unless the Required Lenders specifically approve or consent to such Acquisition; 
  
 (v) the aggregate consideration for such Acquisition and all
other Permitted Acquisitions completed within the preceding 12 month period, including the principal amount of any assumed Indebtedness and (without duplication) any Indebtedness of any acquired person or persons, does not exceed $20,000,000,
unless the Required Lenders specifically approve or consent to such Acquisition; and 
  
 (vi) the Borrower delivers to the Administrative Agent, at least five Business Days prior to the proposed date of such Acquisition, an
Officer’s Certificate executed on behalf of the Borrower by an Authorized Officer of the Borrower demonstrating compliance with the requirements above and which certifies that the Borrower would, after giving effect to such Acquisition, be in
compliance, on a pro forma basis, with the financial covenants contained in sections 10.7, 10.8, 10.9 and 10.10 such pro forma ratios being determined: 
  
 (A) as if (x) such Acquisition had been completed at the beginning of the most recent period of four
consecutive fiscal quarters of the Borrower for which financial information for the Borrower and the business or person to be acquired, is available, and (y) any such Indebtedness, or other Indebtedness incurred to finance such Acquisition, had been
outstanding for such period; and 
  
 (B) without
giving effect to any credit for unobtained or unrealized gains in connection with such Acquisition, but taking into account such adjustments to the overhead of such properties and assets as may reasonably determined and specified by the Borrower to
reflect the overhead generally applicable to similar properties and assets owned by the Borrower and its Subsidiaries, as and to the extent the Administrative Agent determines (acting on instructions from the Required Lenders) such adjustments to be
reasonable and appropriate under the particular circumstances); 
  
 provided, that the term Permitted Acquisition specifically excludes any loans, advances or minority investments otherwise permitted pursuant to section 10.5. 
  
 “Permitted Dispositions” shall mean the sale, transfer or other disposition or other cessation of
all or a portion of the operations of (i) the Borrower’s assets located in Catlettsburg, Kentucky, (ii) the Bodenfelde plant in Lower Saxony, Germany, or (iii) the Borrower’s assets located in Neville Island, Pennsylvania. 
  
 “Permitted Liens” shall mean Liens described in
section 10.3. 
  
 “person” shall mean any
individual, partnership, joint venture, firm, corporation, limited liability company, association, trust or other enterprise or any government or political subdivision or any agency, department or instrumentality thereof. 
  
 “Plan” shall mean any multiemployer or
single-employer plan as defined in section 4001 of ERISA, that is maintained or contributed to by (or to which there is an obligation to contribute by) the Borrower or a Subsidiary of the Borrower or an ERISA Affiliate, and each such plan for the
five year period immediately following the latest date on which the Borrower, or a Subsidiary of the Borrower or an ERISA Affiliate maintained, contributed to or had an obligation to contribute to such plan. 
  
 “primary Indebtedness” shall have the meaning
provided in the definition of Guaranty Obligations. 
  

 - 17 - 

 “primary obligor” shall have the meaning provided in the definition of Guaranty
Obligations. 
  
 “Prime Rate” shall mean,
for any period, a fluctuating interest rate per annum as shall be in effect from time to time, which rate per annum shall at all times be equal to the greater of: (i) the rate of interest established by the Administrative Agent at its principal
office, from time to time, as its prime rate, whether or not publicly announced, which interest rate may or may not be the lowest rate charged by it for commercial loans or other extensions of credit; and (ii) the Federal Funds Effective Rate in
effect from time to time plus 1/2 of 1% per annum. 
  
 “Prime Rate Loan” shall mean each Loan, denominated in U.S. dollars, bearing interest at the rate provided in section 2.8(a). 
  

“Prohibited Transaction” shall mean a transaction with respect to a Plan that is prohibited under section 4975 of the Code or
section 406 of ERISA and not exempt under section 4975 of the Code or section 408 of ERISA. 
  
 “Purchase Agreement” shall mean the Purchase Agreement dated as of February 3, 2004 between the Company, Waterlink, Inc. and Barnebey Sutcliffe Corporation. 
  
 “Purchase Date “ shall have the meaning provided in
section 2.5(b). 
  
 “Purchased Entities”
shall have the meaning provided in the preliminary statements. 
  
 “RCRA” shall mean the Resource Conservation and Recovery Act, as the same may be amended from time to time, 42 U.S.C. § 6901 et seq. 
  
 “Real Property” of any person shall mean all of the right, title and interest of such person in and
to land, improvements and fixtures, including Leaseholds. 
  
 “Redeemable Stock” shall mean with respect to any person any capital stock or similar equity interests of such person that: (i) is by its terms subject to mandatory redemption, in whole or in part, pursuant to a
sinking fund, scheduled redemption or similar provisions, at any time prior to the Maturity Date; or (ii) otherwise is required to be repurchased or retired on a scheduled date or dates, upon the occurrence of any event or circumstance, or at the
option of the holder or holders thereof, or otherwise, at any time prior to the Maturity Date, other than any such repurchase or retirement occasioned by a “change of control” or similar event. 
  
 “Redenominate ,”
“Redenomination” and “ Redenominated” each refers to redenomination of each Eurodollar Loan comprising the same Borrowing from Dollars into an Alternative Currency or from an Alternative Currency into
Dollars or another Alternative Currency pursuant to section 2.7. 
  
 “Reference Banks” shall mean (i) NCB, and (ii) any other Lender or Lenders selected as a Reference Bank by the Administrative Agent and the Required Lenders, provided, that if any such Reference Bank is
no longer a Lender, such other Lender or Lenders as may be selected by the Administrative Agent acting on instructions from the Required Lenders. 
  
 “Regulation D” shall mean Regulation D of the Board of Governors of the Federal Reserve System as from time to time in effect and
any successor to all or a portion thereof establishing reserve requirements. 
  

 - 18 - 

 “Regulation U” shall mean Regulation U of the Board of Governors of the Federal
Reserve System as from time to time in effect and any successor to all or a portion thereof establishing margin requirements. 
  
 “Related Transaction Documents” shall mean the Purchase Agreement and all agreements, documents and instruments executed or
delivered in connection therewith. 
  
 “Related
Transactions” shall mean the transactions contemplated by the Purchase Agreement. 
  
 “Reportable Event” shall mean an event described in section 4043 of ERISA or the regulations thereunder with respect to a Plan, other than those events as to which the notice requirement is
waived under subsections .22, .23, .24, .25, .26, .27, .28, .29, .30, .31, .32, .34, .35, .62, .63, .64, .65 or .67 of PBGC Regulation section 4043. 
  
 “Required Lenders” shall mean Non-Defaulting Lenders whose outstanding General Revolving Loans and Unutilized General Revolving
Commitments constitute more than 51% of the sum of the total outstanding General Revolving Loans and Unutilized General Revolving Commitments of Non-Defaulting Lenders (provided that, for purposes hereof, neither the Borrower, nor any
of its Affiliates, shall be included in (i) the Lenders holding such amount of the General Revolving Loans or having such amount of the Unutilized General Revolving Commitments, or (ii) determining the aggregate unpaid principal amount of the
General Revolving Loans or Unutilized General Revolving Commitments). 
  
 “Revolving Facility Percentage” shall mean, with respect to any Lender and at any time, its percentage of the Total General Revolving Commitment. 
  
 “Sale and Lease-Back Transaction” shall mean any arrangement with any person providing for the
leasing by the Borrower or any Subsidiary of the Borrower of any property (except for temporary leases for a term, including any renewal thereof, of not more than one year and except for leases between the Borrower and a Subsidiary or between
Subsidiaries), which property has been or is to be sold or transferred by the Borrower or such Subsidiary to such person. 
  
 “S&P” shall mean Standard & Poor’s Ratings Group, a division of McGraw Hill, Inc., and its successors. 
  
 “SEC” shall mean the United States Securities and
Exchange Commission. 
  
 “SEC Regulation
D” shall mean Regulation D as promulgated under the Securities Act of 1933, as amended, as the same may be in effect from time to time. 
  
 “Section 6.4(b)(ii) Certificate” shall have the meaning provided in section 6.4(b)(ii). 
  
 “Solarchem” shall mean Solarchem Environmental
Systems, Inc., a Nevada corporation. 
  
 “SPC” shall have the meaning provided in section 13.4(f). 
  
 “Standard Permitted Liens” shall mean the following: 
  
 (i) Liens for taxes not yet delinquent or Liens for taxes being contested in good faith and by appropriate proceedings for which adequate
reserves (in the good faith judgment of the management of the Borrower) have been established; 
  

 - 19 - 

 (ii) Liens in respect of property or assets imposed by law that were incurred in the
ordinary course of business, such as carriers’, warehousemen’s, materialmen’s and mechanics’ Liens and other similar Liens arising in the ordinary course of business, that do not in the aggregate materially detract from the value
of such property or assets or materially impair the use thereof in the operation of the business of the Borrower or any Subsidiary; 
  
 (iii) Liens arising from judgments, decrees or attachments in circumstances not constituting an Event of Default under section 11.1(f);

  
 (iv) Liens (other than any Lien imposed by
ERISA) incurred or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment insurance and other types of social security; and mechanic’s Liens, carrier’s Liens, and other Liens to secure
the performance of tenders, statutory obligations, contract bids, government contracts, performance and return-of-money bonds and other similar obligations, incurred in the ordinary course of business (exclusive of obligations in respect of the
payment for borrowed money), whether pursuant to statutory requirements, common law or consensual arrangements; 
  
 (v) Leases or subleases granted to others not interfering in any material respect with the business of the Borrower or any of its
Subsidiaries and any interest or title of a lessor under any lease not in violation of this Agreement; 
  
 (vi) easements, rights-of-way, zoning or deed restrictions, minor defects or irregularities in title and other similar charges or
encumbrances not interfering in any material respect with the ordinary conduct of the business of the Borrower or any of its Subsidiaries considered as an entirety; and 
  
 (vii) Liens arising from financing statements regarding property subject to leases not in violation of the
requirements of this Agreement, provided that such Liens are only in respect of the property subject to, and secure only, the respective lease (and any other lease with the same or an affiliated lessor). 
  
 “Stated Amount” of each Letter of Credit shall mean
the maximum available to be drawn thereunder (regardless of whether any conditions or other requirements for drawing could then be met). 
  
 “Subordinated Indebtedness” shall mean any Indebtedness that has been subordinated to the Obligations in such manner and to such
extent as the Administrative Agent (acting on instructions from the Required Lenders) may require. 
  
 “Subsidiary” of any person shall mean and include: (i) any corporation more than 50% of whose stock of any class or classes having
by the terms thereof ordinary voting power to elect a majority of the directors of such corporation (irrespective of whether or not at the time stock of any class or classes of such corporation shall have or might have voting power by reason of the
happening of any contingency) is at the time owned by such person directly or indirectly through Subsidiaries; and (ii) any partnership, association, joint venture or other entity in which such person directly or indirectly through Subsidiaries, has
more than a 50% equity interest at the time. Unless otherwise expressly provided, all references herein to “Subsidiary” shall mean a Subsidiary of the Borrower. 
  
 “Subsidiary Guarantor” shall mean any Subsidiary that is party to the Subsidiary Guaranty and shall
in any event include each Subsidiary required to join the Subsidiary Guaranty pursuant to Section 9.13 hereof. 
  

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 “Subsidiary Guaranty” means any subsidiary guaranty substantially in the form of
Exhibit G, heretofore or hereafter executed and delivered in connection herewith, as the same may be amended, restated, amended and restated, supplemented or otherwise modified from time to time. 
  
 “Swing Line Lender” shall have the meaning provided
in the introductory paragraph hereof and shall include any other single Lender to whom the Swing Line Lender has transferred its entire Swing Line Revolving Commitment and any Swing Line Revolving Loans. 
  
 “Swing Line Participation Amount” shall have the
meaning provided in section 2.5(b). 
  
 “Swing Line
Revolving Commitment” shall mean, with respect to the Swing Line Lender, the amount set forth opposite such Lender’s name in Annex I as its “Swing Line Revolving Commitment” as the same may be reduced from time to time
pursuant to section 5.1, 5.2 and/or 11.2 or adjusted from time to time as a result of assignments to or from the Swing Line Lender pursuant to section 13.4. 
  
 “Swing Line Revolving Facility” shall mean the credit facility evidenced by the Swing Line Revolving Commitment. 
  
 “Swing Line Revolving Loan” shall have the meaning
provided in section 2.1(b). 
  
 “Swing Line Revolving
Note” shall have the meaning provided in section 2.6(a). 
  
 “Synthetic Lease” shall mean any lease (i) that is accounted for by the lessee as an Operating Lease, and (ii) under which the lessee is intended to be the “owner” of the leased property for Federal income
tax purposes. 
  
 “Taxes” shall have the
meaning provided in section 6.4(a). 
  
 “Testing Period
“ shall mean for any determination, a single period consisting of the four consecutive fiscal quarters of the Borrower then last ended (whether or not such quarters are all within the same fiscal year), except that if a
particular provision of this Agreement indicates that a Testing Period shall be of a different specified duration, such Testing Period shall consist of the particular fiscal quarter or quarters of the Borrower then last ended that are so indicated
in such provision. 
  
 “Total Commitment”
shall mean the sum of the Commitments of the Lenders. 
  
 “Total General Revolving Commitment” shall mean the sum of the General Revolving Commitments of the Lenders as may be increased or decreased pursuant to section 2.1(c) or 5. 
  
 “Type” shall mean any type of Loan determined with
respect to the interest option applicable thereto, i.e., a Prime Rate Loan, a Eurodollar Loan or a Eurodollar Market Index Rate Loan. 
  
 “UCC” shall mean the Uniform Commercial Code. 
  
 “Unfunded Current Liability” of any Plan shall mean the amount, if any, by which the actuarial
present value of the accumulated plan benefits under the Plan as of the close of its most recent plan year exceeds the fair market value of the assets allocable thereto, each determined in accordance with Statement of Financial Accounting Standards
No. 87, based upon the actuarial assumptions used by the Plan’s actuary in the most recent annual valuation of the Plan. 
  
 “United States” and “U.S.” each means United States of America. 
  

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 “Unpaid Drawing” shall have the meaning specified in section 3.3(a). 

 
 “Unutilized General Revolving Commitment” for any
Lender at any time shall mean the excess of (i) such Lender’s General Revolving Commitment at such time over (ii) the principal amount of General Revolving Loans made by such Lender and outstanding at such time. 
  
 “Unutilized Swing Line Revolving Commitment” for the
Swing Line Lender at any time shall mean the excess of (i) the Swing Line Lender’s Swing Line Revolving Commitment at such time over (ii) the aggregate principal amount of Swing Line Revolving Loans made by the Swing Line Lender and outstanding
at such time. 
  
 “Unutilized Total General Revolving
Commitment” shall mean, at any time, the excess of (i) the Total General Revolving Commitment at such time over (ii) the sum of (x) the aggregate principal amount of all General Revolving Loans then outstanding plus (y) the aggregate
Letter of Credit Outstandings at such time. 
  
 “Wholly-Owned Subsidiary” shall mean each Subsidiary of the Borrower at least 95% of whose capital stock, equity interests and partnership interests, other than director’s qualifying shares or similar interests,
are owned directly or indirectly by the Borrower. 
  
 “Written,” “written” or “in writing” shall mean any form of written communication or a communication by means of telex, facsimile transmission, e-mail electronic
transmission, telegraph or cable. 
  
 1.2. Computation
of Time Periods. In this Agreement in the computation of periods of time from a specified date to a later specified date, the word “from” means “from and including” and the words “to” and “until” each
means “to but excluding.” 
  
 1.3. Accounting
Terms. Except as otherwise specifically provided herein, all terms of an accounting or financial nature shall be construed in accordance with GAAP, as in effect from time to time; provided that, if the Borrower notifies the
Administrative Agent that the Borrower requests an amendment to any provision of section 9 or 10 hereof to eliminate the effect of any change occurring after the Effective Date in GAAP or in the application thereof to such provision (or if the
Administrative Agent notifies the Borrower that the Required Lenders request an amendment to any such provision hereof for such purposes), regardless of whether any such notice is given before or after such change in GAAP or in the application
thereof, then such provision shall be interpreted on the basis of GAAP as in effect and applied immediately before such change shall have become effective until such notice shall have been withdrawn or such provision amended in accordance with the
requirements of this Agreement. 
  
 1.4. Terms
Generally. The definitions of terms herein shall apply equally to the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The words
“include,” “includes” and “including” shall be deemed to be followed by the phrase “without limitation.” The word “will” shall be construed to have the same meaning and effect as the word
“shall.” Unless the context requires otherwise: (a) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring to such agreement, instrument or other document as from time to time
amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications set forth herein); (b) any reference herein to any person shall be construed to include such person’s successors and
assigns; (c) the words “herein,” “hereof” and “hereunder,” and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof; (d) all references herein
to sections, Annexes and Exhibits shall be construed to refer to sections of, and Annexes and Exhibits to, this Agreement; and (e) the words “asset” and “property” shall be construed to have the 

  

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same meaning and effect and to refer to any and all real property, tangible and intangible assets and properties, including cash, securities, accounts and
contract rights, and interests in any of the foregoing. 
  
 1.5. Currency Equivalents. For purposes of this Agreement, except as otherwise specified herein: (i) the equivalent in Dollars of any Alternative Currency shall be determined by using the quoted spot rate at which the
Administrative Agent offers to exchange Dollars for such Alternative Currency at its Payment Office at 9:00 A.M. (local time at the Payment Office) two Business Days prior to the date on which such equivalent is to be determined; (ii) the equivalent
in any Alternative Currency of any other Alternative Currency shall be determined by using the quoted spot rate at which the Administrative Agent’s Payment Office offers to exchange such Alternative Currency for the equivalent in Dollars of
such other Alternative Currency at such Payment Office at 9:00 A.M. (local time at the Payment Office) two Business Days prior to the date on which such equivalent is to be determined; and (iii) the equivalent in any Alternative Currency of Dollars
shall be determined by using the quoted spot rate at which the Administrative Agent’s Payment Office offers to exchange such Alternative Currency for Dollars at the Payment Office at 9:00 A.M. (local time at the Payment Office) two Business
Days prior to the date on which such equivalent is to be determined; provided, that (A) the equivalent in Dollars of each Eurodollar Loan made in an Alternative Currency shall be recalculated hereunder on each date that it shall be
necessary (or the Administrative Agent shall elect) to determine the unused portion of each Lender’s Commitment, or any or all Loan or Loans outstanding on such date; (B) the equivalent in Dollars of any Unpaid Drawing in respect of any Letter
of Credit denominated in an Alternative Currency shall be determined at the time the drawing under such Letter of Credit was paid or disbursed by the applicable Letter of Credit Issuer; (C) for purposes of determining the Letter of Credit
Outstandings or the Unutilized Total Revolving Commitment as contemplated by sections 2.1(a), 3.1(b) and 6.2, the equivalent in Dollars of the Stated Amount of any Letter of Credit denominated in an Alternative Currency shall be calculated (x) on
the date of the issuance of the respective Letter of Credit, (y) on the first Business Day of each calendar month thereafter and (z) in any other case where the same is required or permitted to be calculated, on such other day as the Administrative
Agent may, in its sole discretion, consider appropriate; and (D) for purposes of sections 4.2 and 4.3 the equivalent in Dollars of the Stated Amount of any Letter of Credit denominated in an Alternative Currency shall be calculated on the first day
of each calendar month in the quarterly period in which the respective payment is due pursuant to said sections. 
  
 SECTION 2. AMOUNT AND TERMS OF LOANS. 
  
 2.1. Commitments for Loans. Subject to and upon the terms and conditions herein set forth, each Lender severally agrees to make a loan or
loans (each a “Loan” and, collectively, the “Loans”) to the Borrower, which Loans shall be drawn, to the extent such Lender has a Commitment under a Facility for the Borrower, under the applicable
Facility, as set forth below: 
  
 (a) General Revolving
Facility. Loans to the Borrower under the General Revolving Facility (each a “General Revolving Loan” and, collectively, the “General Revolving Loans”): (i) may be made at any time and from time to
time on and after the Closing Date and prior to the Maturity Date; (ii) shall be made only in U.S. dollars or an Alternative Currency; (iii) except as otherwise provided, may, at the option of the Borrower, be incurred and maintained as, or
Converted or Redenominated into, General Revolving Loans that are either Prime Rate Loans or Eurodollar Loans, in each case denominated in Dollars or an Alternative Currency, provided that all General Revolving Loans made as part of
the same Borrowing shall, unless otherwise specifically provided herein, consist of General Revolving Loans of the same Type and currency, and provided, further, that the aggregate principal amount of Loans denominated in
Alternative Currency shall not exceed $20,000,000 at any time outstanding (the “Alternative Currency Sublimit”); (iv) may be repaid or prepaid and reborrowed in accordance with the provisions hereof; (v) may only be made if
after giving effect thereto the Unutilized Total General 

  

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Revolving Commitment exceeds the outstanding Swing Line Revolving Loans; and (vi) shall not exceed for any Lender at any time outstanding the General
Revolving Commitment of such Lender at such time. 
  
 (b) Swing Line Revolving Facility. Loans to the Borrower under the Swing Line Revolving Facility (each a “Swing Line Revolving Loan” and, collectively, the “Swing Line Revolving
Loans”): (i) shall be made only by the Swing Line Lender; (ii) may be made at any time and from time to time on and after the Closing Date and prior to the Maturity Date; (iii) shall be made only in U.S. dollars; (iv) may be incurred as
a Prime Rate or a Eurodollar Market Index Rate Loan; (v) may be repaid or prepaid and reborrowed in accordance with the provisions hereof; (vi) may only be made if after giving effect thereto the Unutilized Total General Revolving Commitment exceeds
the outstanding Swing Line Revolving Loans; and (vii) shall not exceed for the Swing Line Lender at any time outstanding its Swing Line Revolving Commitment at such time. 
  
 2.2. Minimum Borrowing Amounts, etc.; Pro Rata Borrowings. (a) The aggregate principal amount of each
Borrowing by the Borrower shall not be less than the Minimum Borrowing Amount. More than one Borrowing may be incurred by the Borrower on any day, provided that: (i) if there are two or more Borrowings on a single day under the General
Revolving Facility that consist of Eurodollar Loans, each such Borrowing shall have a different initial Interest Period; (ii) only one Borrowing under the Swing Line Revolving Facility may be made on any single day; and (iii) at no time shall there
be more than an aggregate of 8 Borrowings under the General Revolving Facility and the Swing Line Revolving Facility. 
  
 (b) All Borrowings under a Facility shall be made by the Lenders having Commitments under such Facility pro rata on the basis
of their respective Commitments under such Facility. It is understood that no Lender shall be responsible for any default by any other Lender in its obligation to make Loans hereunder and that each Lender shall be obligated to make the Loans
provided to be made by it hereunder, regardless of the failure of any other Lender to fulfill its Commitment hereunder. 
  
 2.3. Procedures for Borrowing. (a) Notice of Borrowing. Whenever the Borrower desires to incur Loans, it shall give the Administrative Agent
at its Notice Office: 
  
 (A)
Borrowings of Prime Rate Loans under the General Revolving Facility: in the case of any Borrowing under the General Revolving Facility of Prime Rate Loans to be made hereunder, prior to 12:00 noon (local time at its Notice Office), at least one
Business Day’s prior written or telephonic notice thereof (in the case of telephonic notice, promptly confirmed in writing); or 
  
 (B) Borrowings of Eurodollar Loans under the General Revolving Facility Denominated in Dollars: in the case of any Borrowing
under the General Revolving Facility of Eurodollar Loans denominated in Dollars to be made hereunder, prior to 12:00 noon (local time at its Notice Office), at least three Business Days’ prior written or telephonic notice thereof (in the case
of telephonic notice, promptly confirmed in writing); or 
  
 (C) Borrowings of Eurodollar Loans under the General Revolving Facility Denominated in an Alternative Currency: in the case of any Borrowing under the General Revolving Facility of Eurodollar Loans
denominated in an Alternative Currency to be made hereunder, prior to 12:00 noon (local time at its Notice Office), at least five Business Days’ prior written or telephonic notice thereof (in the case of telephonic notice, promptly confirmed in
writing); or 
  
 (D) Borrowings under
the Swing Line Revolving Facility: in the case of any Borrowing under the Swing Line Revolving Facility of a Prime Rate Loan or a Eurodollar Market 

  

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Index Rate Loan, prior to 1:00 P.M. (local time at its Notice Office), on the proposed date of Borrowing, written or telephonic notice thereof (in the case
of telephonic notice, promptly confirmed in writing if so requested by the Administrative Agent). 
  
 Each such notice (each such notice, a “Notice of Borrowing”) shall (in the case of Swing Line Revolving Loans, if requested by the Administrative Agent to be confirmed in writing), be
substantially in the form of Exhibit B-1, and in any event shall be irrevocable and shall specify: (i) the Facility under which the Borrowing is to be incurred; (ii) the aggregate principal amount of the Loans to be made pursuant to such Borrowing;
(iii) the date of the Borrowing (which shall be a Business Day); (iv) whether the Borrowing shall consist of Prime Rate Loans, Eurodollar Loans or Eurodollar Market Index Rate Loans; and (v) if the requested Borrowing consists of Eurodollar Loans,
(A) the currency, if other than Dollars, in which such Loans are requested and (B) the Interest Period to be initially applicable thereto. If the Borrower fails to specify in a Notice of Borrowing the Interest Period and currency for any Eurodollar
Loans, such Interest Period shall be deemed to be one month and such currency Dollars. The Administrative Agent shall promptly give each Lender that has a Commitment under any applicable Facility written notice (or telephonic notice promptly
confirmed in writing) of each proposed Borrowing under the applicable Facility, of such Lender’s proportionate share thereof and of the other matters covered by the Notice of Borrowing relating thereto. 
  
 (b) Borrowings of Eurodollar Loans Denominated in an Alternative
Currency. In the case of a proposed Borrowing comprised of Loans that are Eurodollar Loans denominated in an Alternative Currency, the obligation of each affected Lender to make its Eurodollar Loan in the requested Alternative Currency as part
of such Borrowing is subject to: 
  
 (A) if such requested Alternative Currency is an Alternative Currency described in clause (i) of the definition of the term Alternative Currency, the confirmation by the Administrative Agent to the Borrower not later than the
fourth Business Day before the requested date of such Borrowing that such Alternative Currency is readily and freely transferable and convertible into Dollars, or 
  
 (B) if such requested Alternative Currency is not an Alternative Currency described in clause
(i) of the definition of the term Alternative Currency, the confirmation by such Lender to the Administrative Agent not later than the fourth Business Day before the requested date of such Borrowing that such Alternative Currency is acceptable to
such Lender, which confirmation shall be notified immediately by the Administrative Agent to the Borrower. 
  
 If the Administrative Agent shall not have provided the confirmation referred to in clause (A) above, or any affected Lender shall not have so provided to the Administrative Agent the confirmation referred to in
clause (B) above, the Administrative Agent shall promptly notify the Borrower and each affected Lender that a Lender has not provided any such confirmation referred to in such clause (B), whereupon the Borrower may, by notice to the Administrative
Agent not later than the third Business Day before the requested date of such Borrowing, withdraw the Notice of Borrowing relating to such requested Borrowing. If the Borrower does so withdraw such Notice of Borrowing, the Borrowing requested in
such Notice of Borrowing shall not occur and the Administrative Agent shall promptly so notify each affected Lender. If the Borrower does not so withdraw such Notice of Borrowing, the Administrative Agent shall promptly so notify each affected
Lender and such Notice of Borrowing shall be deemed to be a Notice of Borrowing that requests a Borrowing of Loans comprised of Eurodollar Loans in an aggregate amount in Dollars equivalent, on the date the Administrative Agent so notifies each
affected Lender, to the amount of the originally requested Borrowing in an Alternative Currency; and in such notice by the Administrative Agent to each affected Lender the Administrative Agent shall state such aggregate equivalent amount of such
Borrowing in Dollars and such Lender’s ratable portion of such Borrowing. 
  

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 (c) Actions by Administrative Agent on Telephonic Notice. Without in any way limiting the
obligation of the Borrower to confirm in writing any telephonic notice permitted to be given hereunder, the Administrative Agent may act prior to receipt of written confirmation without liability upon the basis of such telephonic notice believed by
the Administrative Agent in good faith to be from an Authorized Officer of the Borrower entitled to give telephonic notices under this Agreement on behalf of the Borrower. In each such case, the Administrative Agent’s record of the terms of
such telephonic notice shall be conclusive absent manifest error. 
  
 2.4. Disbursement of Funds. (a) No later than 2:00 P.M. (local time at the Payment Office) on the date specified in each Notice of Borrowing, each Lender with a Commitment under the Facility under which any Borrowing pursuant
to such Notice of Borrowing is to be made will make available its pro rata share, if any, of each Borrowing under such Facility requested to be made on such date in the manner provided below. All amounts shall be made available to the
Administrative Agent in U.S. dollars or the applicable Alternative Currency and immediately available funds at the Payment Office and the Administrative Agent promptly will make available to the Borrower by depositing to its account at the Payment
Office the aggregate of the amounts so made available in the type of funds received. Unless the Administrative Agent shall have been notified by any Lender prior to the date of Borrowing that such Lender does not intend to make available to the
Administrative Agent its portion of the Borrowing or Borrowings to be made on such date, the Administrative Agent may assume that such Lender has made such amount available to the Administrative Agent on such date of Borrowing, and the
Administrative Agent, in reliance upon such assumption, may (in its sole discretion and without any obligation to do so) make available to the Borrower a corresponding amount. If such corresponding amount is not in fact made available to the
Administrative Agent by such Lender and the Administrative Agent has made available same to the Borrower, the Administrative Agent shall be entitled to recover such corresponding amount from such Lender. If such Lender does not pay such
corresponding amount forthwith upon the Administrative Agent’s demand therefor, the Administrative Agent shall promptly notify the Borrower, and the Borrower shall immediately pay such corresponding amount to the Administrative Agent. The
Administrative Agent shall also be entitled to recover from such Lender or the Borrower, as the case may be, interest on such corresponding amount in respect of each day from the date such corresponding amount was made available by the
Administrative Agent to the Borrower to the date such corresponding amount is recovered by the Administrative Agent, at a rate per annum equal to (x) if paid by such Lender, the overnight Federal Funds Effective Rate, in the case of any Loan
denominated in Dollars, or at the weighted average overnight or weekend borrowing rate for immediately available and freely transferable funds in the applicable Alternative Currency that is offered to the Administrative Agent in the international
markets, in the case of any Loan denominated in an Alternative Currency, or (y) if paid by the Borrower, the then applicable rate of interest, calculated in accordance with section 2.8, for the respective Loans (but without any requirement to pay
any amounts in respect thereof pursuant to section 2.11). 
  
 (b) Nothing herein and no subsequent termination of the Commitments pursuant to section 5.1 or 5.2 shall be deemed to relieve any Lender from its obligation to fulfill its commitments hereunder and in existence from time to
time or to prejudice any rights that the Borrower may have against any Lender as a result of any default by such Lender hereunder. 
  
 2.5. Refunding of, or Participation in, Swing Line Revolving Loans. (a) If any Event of Default exists, the Swing Line Lender
may, in its sole and absolute discretion, direct that the Swing Line Revolving Loans owing to it be refunded by delivering a notice to such effect to the Administrative Agent, specifying the aggregate principal amount thereof (a “Notice
of Swing Line Refunding”). Promptly upon receipt of a Notice of Swing Line Refunding, the Administrative Agent shall give notice of the contents thereof to the Lenders with General Revolving Commitments and, unless an Event of Default
specified in section 11.1(g) in respect of the Borrower has occurred, also to the Borrower. Each 

  

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such Notice of Swing Line Refunding shall be deemed to constitute delivery by the Borrower of a Notice of Borrowing requesting General Revolving Loans
consisting of Prime Rate Loans in the amount of the Swing Line Revolving Loans to which it relates. Each Lender with a General Revolving Commitment (including the Swing Line Lender, in its capacity as a Lender) hereby unconditionally agrees
(notwithstanding that any of the conditions specified in section 7.2 hereof or elsewhere in this Agreement shall not have been satisfied, but subject to the provisions of paragraph (b) below) to make a General Revolving Loan to the Borrower in an
amount equal to such Lender’s General Revolving Facility Percentage of the aggregate amount of the Swing Line Revolving Loans to which such Notice of Swing Line Refunding relates. Each such Lender shall make the amount of such General Revolving
Loan available to the Administrative Agent in immediately available funds at the Payment Office not later than 2:00 P.M. (local time at the Payment Office), if such notice is received by such Lender prior to 11:00 A.M. (local time at its Domestic
Lending Office), or not later than 2:00 P.M. (local time at the Payment Office) on the next Business Day, if such notice is received by such Lender after such time. The proceeds of such General Revolving Loans shall be made immediately available to
the Swing Line Lender and applied by it to repay the principal amount of the Swing Line Revolving Loans to which such Notice of Swing Line Refunding related. The Borrower irrevocably and unconditionally agrees that, notwithstanding anything to the
contrary contained in this Agreement, General Revolving Loans made as herein provided in response to a Notice of Swing Line Refunding shall constitute General Revolving Loans hereunder consisting of Prime Rate Loans. 
  
 (b) If prior to the time a General Revolving Loan would
otherwise have been made as provided above as a consequence of a Notice of Swing Line Refunding, any of the events specified in section 11.1(g) shall have occurred in respect of the Borrower or one or more of the Lenders with General Revolving
Commitments shall determine that it is legally prohibited from making a General Revolving Loan under such circumstances, each Lender (other than the Swing Line Lender), or each Lender (other than the Swing Line Lender) so prohibited, as the case may
be, shall, on the date such General Revolving Loan would have been made by it (the “Purchase Date”), purchase an undivided participating interest in the outstanding Swing Line Revolving Loans to which such Notice of Swing
Line Refunding related, in an amount (the “Swing Line Participation Amount”) equal to such Lender’s General Revolving Facility Percentage of such Swing Line Revolving Loans. On the Purchase Date, each such Lender or each
such Lender so prohibited, as the case may be, shall pay to the Swing Line Lender, in immediately available funds, such Lender’s Swing Line Participation Amount, and promptly upon receipt thereof the Swing Line Lender shall, if requested by
such other Lender, deliver to such Lender a participation certificate, dated the date of the Swing Line Lender’s receipt of the funds from, and evidencing such Lender’s participating interest in such Swing Line Revolving Loans and its
Swing Line Participation Amount in respect thereof. If any amount required to be paid by a Lender to the Swing Line Lender pursuant to the above provisions in respect of any Swing Line Participation Amount is not paid on the date such payment is
due, such Lender shall pay to the Swing Line Lender on demand interest on the amount not so paid at the overnight Federal Funds Effective Rate from the due date until such amount is paid in full. 
  
 (c) Whenever, at any time after the Swing Line Lender has
received from any other Lender such Lender’s Swing Line Participation Amount, the Swing Line Lender receives any payment from or on behalf of the Borrower on account of the related Swing Line Revolving Loans, the Swing Line Lender will promptly
distribute to such Lender its General Revolving Facility Percentage of such payment on account of its Swing Line Participation Amount (appropriately adjusted, in the case of interest payments, to reflect the period of time during which such
Lender’s participating interest was outstanding and funded); provided, however, that in the event such payment received by the Swing Line Lender is required to be returned, such Lender will return to the Swing Line Lender any
portion thereof previously distributed to it by the Swing Line Lender. 
  

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 (d) Each Lender’s obligation to make General Revolving Loans and/or to purchase
participations in connection with a Notice of Swing Line Refunding (that shall in all events be within such Lender’s Unutilized General Revolving Commitment, taking into account all outstanding participations in connection with Swing Line
Refundings) shall be subject to the conditions that: 
  
 (i) such Lender shall have received a Notice of Swing Line Refunding complying with the provisions hereof, and 
  
 (ii) at the time the Swing Line Revolving Loans that are the subject of such Notice of Swing Line Refunding were made, the Swing Line
Lender had no actual written notice from another Lender that an Event of Default had occurred and was continuing, 
  
 but otherwise shall be absolute and unconditional, shall be solely for the benefit of the Swing Line Lender, and shall not be affected by any circumstance, including,
without limitation: (A) any set-off, counterclaim, recoupment, defense or other right that such Lender may have against any other Lender, the Borrower, or any other person, may have against any Lender or other person, as the case may be, for any
reason whatsoever; (B) the occurrence or continuance of a Default or Event of Default; (C) any event or circumstance involving a Material Adverse Effect upon the Borrower; (D) any breach of any Credit Document by any party thereto; or (E) any other
circumstance, happening or event, whether or not similar to any of the foregoing. 
  
 2.6. Notes and Loan Accounts. (a) Forms of Notes. The Borrower’s obligation to pay the principal of, and interest on, the Loans made to it by each Lender shall be evidenced: (i) if General Revolving
Loans, by a promissory note substantially in the form of Exhibit A-1 with blanks appropriately completed in conformity herewith (each a “General Revolving Note” and, collectively, the “General Revolving
Notes”); and (ii) if Swing Line Revolving Loans, by a promissory note substantially in the form of Exhibit A-2 with blanks appropriately completed in conformity herewith (the “Swing Line Revolving Note”).

  
 (b) General Revolving Notes. The General
Revolving Note issued to a Lender with a General Revolving Commitment shall: (i) be executed by the Borrower; (ii) be payable to the order of such Lender and be dated on or prior to the date the first Loan evidenced thereby is made; (iii) be in a
stated principal amount equal to the General Revolving Commitment of such Lender and be payable in the principal amount of General Revolving Loans evidenced thereby; (iv) mature on the Maturity Date; (v) bear interest as provided in section 2.8 in
respect of the Prime Rate Loans and Eurodollar Loans, as the case may be, evidenced thereby; (vi) be subject to mandatory prepayment as provided in section 6.2; and (vii) be entitled to the benefits of this Agreement and the other Credit Documents.

  
 (c) Swing Line Revolving Note. The Swing Line
Revolving Note issued to the Swing Line Lender shall: (i) be executed by the Borrower; (ii) be payable to the order of such Lender and be dated on or prior to the date the first Loan evidenced thereby is made; (iii) be in a stated principal amount
equal to the Swing Line Revolving Commitment of such Lender and be payable in the principal amount of Swing Line Revolving Loans evidenced thereby; (iv) mature as to any Swing Line Revolving Loan no later than the Maturity Date; (v) bear interest as
provided in section 2.8 in respect of Prime Rate Loans or Eurodollar Market Index Rate Loans, as the case may be; (vi) be subject to mandatory prepayment as provided in section 6.2; and (vii) be entitled to the benefits of this Agreement and the
other Credit Documents. 
  
 (d) Loan Accounts of
Lenders. Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing the indebtedness of the Borrower to such Lender resulting from each Loan made by such Lender, including the amounts of principal and
interest payable and paid to such Lender from time to time hereunder. 
  

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 (e) Loan Accounts of Administrative Agent. The Administrative Agent shall maintain accounts
in which it shall record: (i) the amount of each Loan made hereunder, the Type thereof, the particular Facility under which such Loan was made, and the Interest Period or maturity date and applicable interest rate if such Loan is a Eurodollar Loan;
(ii) the amount of any principal due and payable or to become due and payable from the Borrower to each Lender hereunder; and (iii) the amount of any sum received by the Administrative Agent hereunder for the account of the Lenders and each
Lender’s share thereof. 
  
 (f) Effect of Loan
Accounts, etc. The entries made in the accounts maintained pursuant to section 2.6(d) and (e) shall be prima facie evidence of the existence and amounts and amounts of the obligations recorded therein; provided, that
the failure of any Lender or the Administrative Agent to maintain such accounts or any error therein shall not in any manner affect the obligation of the Borrower to repay or prepay the Loans in accordance with the terms of this Agreement.

  
 (g) Endorsements of Amounts on Notes Prior to
Transfer. Each Lender will, prior to any transfer of any of the Notes issued to it by the Borrower, endorse on the reverse side thereof or the grid attached thereto the outstanding principal amount of Loans evidenced thereby. Failure to make any
such notation or any error in any such notation shall not affect the Borrower’s obligations in respect of such Loans. 
  
 2.7. Voluntary Conversions of Dollar Denominated Loans; Redenomination of Loans. (a) The Borrower shall have the option to Convert on any
Business Day all or a portion at least equal to the applicable Minimum Borrowing Amount of the outstanding principal amount of its General Revolving Loans denominated in Dollars of one Type owing by it into a Borrowing or Borrowings pursuant to the
General Revolving Facility of another Type of Loans denominated in Dollars that can be made pursuant to such Facility, provided that: 
  
 (i) no Conversion may be made with respect to any Swing Line Revolving Loans; 
  
 (ii) no partial Conversion of a Borrowing of Eurodollar
Loans shall reduce the outstanding principal amount of the Eurodollar Loans made pursuant to such Borrowing to less than the Minimum Borrowing Amount applicable thereto; 
  
 (iii) any Conversion of Eurodollar Loans into Prime Rate Loans shall be made on, and only on, the last day
of an Interest Period for such Eurodollar Loans; 
  
 (iv) Prime Rate Loans may only be Converted into Eurodollar Loans if no Default under section 11.1(a) or Event of Default is in existence on the date of the Conversion unless the Required Lenders otherwise agree; 
  
 (v) Prime Rate Loans may not be Converted into Eurodollar
Loans during any period when such Conversion is not permitted under section 2.10; and 
  
 (vi) Borrowings of Eurodollar Loans resulting from this section 2.7 shall conform to the requirements of section 2.2(a). 
  
 Each such Conversion shall be effected by the Borrower giving the Administrative Agent at its
Notice Office, prior to 12:00 noon (local time at such Notice Office), at least three Business Days’, in the case of Conversion into a Eurodollar Loans (or prior to 12:00 noon (local time at such Notice Office) same Business Day’s, in the
case of a Conversion into Prime Rate Loans), prior written notice (or telephonic notice promptly confirmed in writing if so requested by the Administrative Agent) (each a “Notice of Conversion”), substantially in the form of
Exhibit B-2, specifying the Loans to be so Converted, the Type 

  

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of Loans to be Converted into and, if to be Converted into a Borrowing of Eurodollar Loans, the Interest Period to be initially applicable thereto. The
Administrative Agent shall give each Lender prompt notice of any such proposed Conversion affecting any of its Loans. For the avoidance of doubt, the prepayment or repayment of any General Revolving Loans out of the proceeds of other General
Revolving Loans by the Borrower is not considered a Conversion of General Revolving Loans into other General Revolving Loans. 
  
 (b) The Borrower may, upon notice given to the Administrative Agent at least five Business Days prior to the date of the proposed
Redenomination, request that all Loans comprising the same Borrowing, or a portion of such Loans at least equal to the applicable Minimum Borrowing Amount, by the Borrower be Redenominated from Dollars into an Alternative Currency or from an
Alternative Currency into Dollars or another Alternative Currency; provided, however, that after giving effect to such Redenomination, there shall be no more than an aggregate of 8 Borrowings under the
General Revolving Facility and the Swingline Facility; and provided, further, that any Redenomination of Eurodollar Loans shall be made on, and only on, the last day of an Interest Period for such Loans; and
provided, still further, that no Redenomination shall be made that would cause any Prime Rate Loans to be denominated in any currency other than Dollars. Each such notice of request of a Redenomination (a
“Notice of Redenomination”) shall be by telecopier, telex or cable (confirmed immediately in writing if so requested by the Administrative Agent), in substantially the form of Exhibit B-3 hereto, specifying: (i) the Loans
comprising the Borrowing to be Redenominated; (ii) the date of the proposed Redenomination (which shall be a Business Day); (iii) the currency into which such Loans are to be Redenominated; and (iv) if such Loans as so Redenominated are to be
Eurodollar Loans, the duration of the Interest Period for such Loans upon being so Redenominated. The Administrative Agent shall promptly notify each affected Lender of any such requested Redenomination. In the case of a Notice of Redenomination
that requests a Redenomination of Loans into an Alternative Currency not described in clause (i) of the definition of the term Alternative Currency, such Redenomination is subject to the confirmation by each Lender to the Administrative Agent, not
later than the third Business Day before the requested date of such Redenomination that such Lender agrees to such Redenomination, and the Administrative Agent shall promptly notify the Borrower of such confirmation. If any affected Lender shall not
have so provided to the Administrative Agent such confirmation, the requested Redenomination will not occur, and the Administrative Agent shall promptly notify the Borrower and each affected Lender that a Lender has not provided such confirmation
and that the requested Redenomination will not occur. If each affected Lender shall have so provided to the Administrative Agent such confirmation or if such Notice of Redenomination requests a Redenomination of Loans into Dollars, each Loan so
requested to be Redenominated will be Redenominated, on the date specified therefor in such Notice of Redenomination, into an equivalent amount thereof in the currency requested in such Notice of Redenomination, such equivalent amount to be
determined on such date by the Administrative Agent in accordance with section 1.5, and in the case of any such Loan being so Redenominated that will be a Eurodollar Loan, such Eurodollar Loan will have an initial Interest Period as requested in
such Notice of Redenomination. 
  
 2.8. Interest. (a)
Interest Rate for Prime Rate Loans. During such periods as a General Revolving Loan or a Swing Line Revolving Loan is a Prime Rate Loan, the unpaid principal amount thereof shall bear interest at a fluctuating rate per annum that shall at all
times be equal to the Prime Rate in effect from time to time plus the Applicable Prime Rate Margin (as defined below) in effect from time to time. 
  

(b) Interest Rate for Eurodollar Loans. During such periods as a General Revolving Loan is a Eurodollar Loan, the unpaid principal amount
thereof shall bear interest at a rate per annum that shall at all times during any Interest Period applicable thereto be the Applicable Eurodollar Margin (as defined below) for such Eurodollar Loan plus the relevant Eurodollar Rate for
such Interest Period. 
  

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 (c) Interest Rate for Eurodollar Market Index Rate Loans. During such periods as a Swing
Line Revolving Loan is a Eurodollar Market Index Rate Loan, the unpaid principal amount thereof shall bear interest at a fluctuating rate that shall at all times be equal to the Applicable Eurodollar Rate Margin (as defined below) plus
the Eurodollar Market Index Rate plus 50 basis points. 
  
 (d) Default Interest. Notwithstanding the above provisions, if an Event of Default is in existence, all outstanding amounts of principal and, to the extent permitted by law, all overdue interest, in
respect of each Loan shall bear interest, payable on demand, at a fluctuating rate per annum equal to 2% per annum above the interest rate that would be applicable under section 2.8(a) to Prime Rate Loans in effect from time to time. If any amount
(other than the principal of and interest on the Loans) payable by the Borrower under the Credit Documents is not paid when due, all amounts outstanding shall bear interest, payable on demand, at a fluctuating rate per annum equal 2% per annum above
the interest rate that would be applicable under section 2.8(a) to Prime Rate Loans in effect from time to time. 
  
 (e) Accrual and Payment of Interest. Interest shall accrue from and including the date of any Borrowing to but excluding the date of any
prepayment or repayment thereof and shall be payable: 
  
 (i) in the case of any Swing Line Revolving Loan, (A) at the maturity date thereof, (B) on the last Business Day of each month, (C) on any prepayment (on the amount prepaid), and (D) after maturity (whether by acceleration or otherwise), on
demand; and 
  
 (ii) in the case of any General
Revolving Loan, (A) that is a Prime Rate Loan, monthly in arrears on the last Business Day of each calendar month, (B) that is a Eurodollar Loan, on the last day of each Interest Period applicable thereto and, in the case of an Interest Period in
excess of three months, on the dates that are successively three months after the commencement of such Interest Period, and (C) on any repayment, prepayment or Conversion (on the amount repaid, prepaid or Converted), at maturity (whether by
acceleration or otherwise) and, after such maturity, on demand. 
  
 (f) Computations of Interest. All computations of interest hereunder shall be made in accordance with section 13.7(b). 
  
 (g) Information as to Interest Rates. The Administrative Agent upon determining the interest rate for any Borrowing shall promptly notify
the Borrower and the affected Lenders thereof. If the Administrative Agent is unable to determine the Eurodollar Rate for any Borrowing of Eurodollar Loans or the Eurodollar Market Index Rate for any Borrowing of Eurodollar Market Index Rate Loans
by reference to the Telerate screen or other information provided by a service organization referred to in clause (i) of the definition of the term Eurodollar Rate, then each Reference Bank agrees to furnish the Administrative Agent timely
information for the purpose of determining the Eurodollar Rate for any such Borrowing. If any one or more of the Reference Banks shall not timely furnish such information, the Administrative Agent shall determine the Eurodollar Rate on the basis of
timely information furnished by the remaining Reference Banks. 
  

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 (h) Interest Margins. As used herein, the term “Applicable Prime Rate
Margin,” as applied to any Loan that is a Prime Rate Loan, and the term “Applicable Eurodollar Margin,” as applied to any Loan that is a Eurodollar Loan, means the particular rate per annum determined by the
Administrative Agent in accordance with the Pricing Grid Table that appears below, based on the Borrower’s ratio of Consolidated Total Debt to Consolidated EBITDA and such Pricing Grid Table, and the following provisions: 
  
 (i) Initially, until changed hereunder in accordance with
the following provisions, the Applicable Prime Rate Margin will be zero basis points per annum and the Applicable Eurodollar Margin for General Revolving Loans will be 152.50 basis points per annum. 
  
 (ii) Upon receipt of the covenant compliance report for the
fiscal quarter of the Borrower ended on or nearest to March 31, 2004, and continuing with each fiscal quarter thereafter, the Administrative Agent will determine the Applicable Prime Rate Margin for any Prime Rate Loan and the Applicable Eurodollar
Margin for any Eurodollar Loan or Eurodollar Market Index Rate Loan in accordance with the Pricing Grid Table, based on the Borrower’s ratio of (x) Consolidated Total Debt as of the end of the fiscal quarter, to (y) Consolidated EBITDA for the
Testing Period ended on the last day of the fiscal quarter, and identified in such Pricing Grid Table. Changes in the Applicable Prime Rate Margin and the Applicable Eurodollar Margin based upon changes in such ratio shall become effective on the
first day of the month following the receipt by the Administrative Agent pursuant to section 9.1(a) or (b) of the financial statements of the Borrower, accompanied by the certificate and calculations referred to in section 9.1(c), demonstrating the
computation of such ratio, based upon the ratio in effect at the end of the applicable period covered (in whole or in part) by such financial statements. 
  
 (iii) Notwithstanding the above provisions, during any period when (A) the Borrower has failed to timely deliver its consolidated
financial statements referred to in section 9.1(a) or (b), accompanied by the certificate and calculations referred to in section 9.1(c), or (B) an Event of Default has occurred and is continuing, the Applicable Prime Rate Margin and the Applicable
Eurodollar Margin shall each be the highest rate per annum indicated therefor in the Pricing Grid Table, regardless of the Borrower’s ratio of Consolidated Total Debt to Consolidated EBITDA at such time. 
  
 (iv) Any changes in the Applicable Prime Rate Margin or the
Applicable Eurodollar Margin shall be determined by the Administrative Agent in accordance with the above provisions and the Administrative Agent will promptly provide notice of such determinations to the Borrower and the Lenders. Any such
determination by the Administrative Agent pursuant to this section 2.8(h) shall be conclusive and binding absent manifest error. 
  
 PRICING GRID TABLE 
  
 (expressed in basis points) 
  

							
	 Ratio of Consolidated Total Debt To Consolidated EBITDA

	  	Applicable Eurodollar
Margin

	  	Applicable Prime Rate
Margin

	  	Applicable
Facility Fee Rate

	 > 3.00 to 1.00
	  	185.00	  	0	  	40.00
	 3 2.50 to 1.00 and < 3.00 to
1.00
	  	152.50	  	0	  	35.00
	 32.00 to 1.00 and < 2.50 to
1.00
	  	120.00	  	0	  	30.00
	 31.50 to 1.00 and < 2.00 to
1.00
	  	100.00	  	0	  	25.00
	 < 1.50 to 1.00
	  	80.00	  	0	  	20.00

  
 2.9. Selection and
Continuation of Interest Periods. (a) The Borrower shall have the right 
  
 (x) at the time it gives a Notice of Borrowing or Notice of Conversion in respect of the making of, or a Conversion into, General Revolving Loans consisting of 

  

 - 32 - 

 
Eurodollar Loans, to select in such Notice the Interest Period to be applicable to such Borrowing; and 
  
 (y) prior to 11:00 A.M. (local time at the Notice Office) on
the third Business Day prior to the expiration of an Interest Period applicable to a Borrowing of General Revolving Loans consisting of Eurodollar Loans, to elect by giving the Administrative Agent written or telephonic notice (in the case of
telephonic notice, promptly confirmed in writing if so requested by the Administrative Agent) to Continue all or the Minimum Borrowing Amount of the principal amount of such Loans as one or more Borrowings of Eurodollar Loans and to select the
Interest Period to be applicable to any such Borrowing (any such notice, a “Notice of Continuation”), 
  
 which Interest Period shall, at the option of the Borrower, be a one, two, three or six month period; provided, that notwithstanding anything to the
contrary contained above, the Borrower’s right to select an Interest Period or to effect any Continuation shall be subject to the applicable provisions of section 2.10 and to the following: 
  
 (i) the initial Interest Period for any Borrowing of
Eurodollar Loans shall commence on the date of such Borrowing (the date of a Borrowing resulting from a Conversion or Continuation shall be the date of such Conversion or Continuation) and each Interest Period occurring thereafter in respect of such
Borrowing shall commence on the day on which the next preceding Interest Period expires; 
  
 (ii) if any Interest Period begins on a day for which there is no numerically corresponding day in the calendar month at the end of such
Interest Period, such Interest Period shall end on the last Business Day of such calendar month; 
  
 (iii) if any Interest Period would otherwise expire on a day that is not a Business Day, such Interest Period shall expire on the next
succeeding Business Day, provided that if any Interest Period would otherwise expire on a day that is not a Business Day but is a day of the month after which no further Business Day occurs in such month, such Interest Period shall
expire on the next preceding Business Day; 
  
 (iv) no Interest Period for any Eurodollar Loan may be selected that would end after the Maturity Date; 
  
 (v) each Borrowing of Eurodollar Loans resulting from any Continuation shall be in at least the Minimum Borrowing Amount applicable
thereto; and 
  
 (vi) no Interest Period may be
elected at any time when a Default under section 11.1(a) or an Event of Default is then in existence unless the Required Lenders otherwise agree. 
  
 (b) If upon the expiration of any Interest Period the Borrower has failed to (or may not) elect a new Interest Period to be applicable to
the respective Borrowing of Eurodollar Loans as provided above, in the case of any such Eurodollar Loans that are denominated in Dollars, the Borrower shall be deemed to have elected to Convert such Borrowing to Prime Rate Loans effective as of the
expiration date of such current Interest Period, and in the case of any such Eurodollar Loans that are denominated in an Alternative Currency, the Borrower shall be deemed to have elected effective as of the expiration date of such current Interest
Period to Redenominate such Loans from the applicable Alternative Currency into an equivalent amount thereof in Dollars, such equivalent amount to be determined on such date by the Administrative Agent in accordance with section 1.5, and to treat
such Loans as so Redenominated as Prime Rate Loans. 
  

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 2.10. Increased Costs, Illegality, etc. (a) In the event that (x) in the case of clause (i)
below, the Administrative Agent or (y) in the case of clauses (ii) and (iii) below, any Lender, shall have determined on a reasonable basis (which determination shall, absent manifest error, be final and conclusive and binding upon all parties
hereto): 
  
 (i) on any date for determining the
Eurodollar Rate for Eurodollar Loans denominated in Dollars or in an Alternative Currency for any Interest Period, or for Eurodollar Market Index Rate Loans, as applicable, that, by reason of any changes arising after the Effective Date affecting
the interbank Eurodollar market, adequate and fair means do not exist for ascertaining the applicable interest rate on the basis provided for in the definition of Eurodollar Rate; or 
  
 (ii) at any time, that such Lender shall incur increased costs or reductions in the amounts received or
receivable hereunder in an amount that such Lender reasonably deems material with respect to any Eurodollar Loans (other than any increased cost or reduction in the amount received or receivable resulting from the imposition of or a change in the
rate of taxes or similar charges) because of (x) any change since the Effective Date in any applicable law, governmental rule, regulation, guideline, order or request (whether or not having the force of law), or in the interpretation or
administration thereof and including the introduction of any new law or governmental rule, regulation, guideline, order or request (such as, for example, but not limited to, a change in official reserve requirements, but, in all events, excluding
reserves includable in the Eurodollar Rate pursuant to the definition thereof) and/or (y) other circumstances adversely affecting the interbank Eurodollar market or the position of such Lender in such market; or 
  
 (iii) at any time, that the making or continuance of any
Eurodollar Loan denominated in Dollars or in an Alternative Currency has become unlawful by compliance by such Lender in good faith with any change since the Effective Date in any law, governmental rule, regulation, guideline or order, or the
interpretation or application thereof, or would conflict with any thereof not having the force of law but with which such Lender customarily complies or has become impracticable as a result of a contingency occurring after the Effective Date that
materially adversely affects the interbank Eurodollar market; 
  
 then, and in any such event, such Lender (or the Administrative Agent in the case of clause (i) above) shall (x) on or promptly following such date or time and (y) within 10 Business Days of the date on which such event no
longer exists give notice (by telephone confirmed in writing) to the Borrower and to the Administrative Agent of such determination (which notice the Administrative Agent shall promptly transmit to each of the other applicable Lenders). Thereafter
(x) in the case of clause (i) above, Eurodollar Loans, or for Eurodollar Market Index Rate Loans, as applicable, shall no longer be available in the applicable currency until such time as the Administrative Agent notifies the Borrower and the
applicable Lenders that the circumstances giving rise to such notice by the Administrative Agent no longer exist, and any Notice of Borrowing, Notice of Conversion or Notice of Redenomination given by the Borrower with respect to Eurodollar Loans
denominated in Dollars or such Alternative Currency, or for Eurodollar Market Index Rate Loans, as applicable, that have not yet been incurred, Converted or Redenominated shall be deemed rescinded by the Borrower or, in the case of a Notice of
Borrowing, shall, at the option of the Borrower, be deemed Converted into a Notice of Borrowing for Prime Rate Loans to be made on the date of Borrowing contained in such Notice of Borrowing, (y) in the case of clause (ii) above, the Borrower shall
pay to such Lender, upon written demand therefor, such additional amounts (in the form of an increased rate of, or a different method of calculating, interest or otherwise as such Lender shall determine) as shall be required to compensate such
Lender, for such increased costs or reductions in amounts receivable hereunder (a written notice as to the additional amounts owed to such Lender, showing the basis for the calculation thereof, which basis must be reasonable, submitted to the

  

 - 34 - 

 
Borrower by such Lender shall, absent manifest error, be final and conclusive and binding upon all parties hereto) and (z) in the case of clause (iii) above,
the Borrower shall take one of the actions specified in section 2.10(b) as promptly as possible and, in any event, within the time period required by law. 
  
 (b) At any time that any Eurodollar Loan denominated in Dollars or in an Alternative Currency is affected by the circumstances described in
section 2.10(a)(ii) or (iii), the Borrower may (and in the case of a Eurodollar Loan affected pursuant to section 2.10(a)(iii) the Borrower shall) either (i) if the affected Eurodollar Loan is then being made pursuant to a Borrowing, by giving the
Administrative Agent telephonic notice (confirmed promptly in writing) thereof on the same date that the Borrower was notified by a Lender pursuant to section 2.10(a)(ii) or (iii), cancel said Borrowing, convert the related Notice of Borrowing into
one requesting a Borrowing of Prime Rate Loans or require the affected Lender to make its requested Loan as a Prime Rate Loan, or (ii) if the affected Eurodollar Loan is then outstanding, upon at least one Business Day’s notice to the
Administrative Agent, require the affected Lender to Convert each such Eurodollar Loan denominated in Dollars into a Prime Rate Loan or require the affected Lender to Redenominate each such Eurodollar Loan denominated in an Alternative Currency into
a Prime Rate Loan, provided that if more than one Lender is affected at any time, then all affected Lenders must be treated the same pursuant to this section 2.10(b). 
  
 (c) If any Lender shall have determined that after the Effective Date, the adoption of any applicable law,
rule or regulation regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any governmental authority, central bank or comparable agency charged by law with the interpretation or
administration thereof, or compliance by such Lender or its parent corporation with any request or directive regarding capital adequacy (whether or not having the force of law) of any such authority, central bank, or comparable agency, in each case
made subsequent to the Effective Date, has or would have the effect of reducing by an amount reasonably deemed by such Lender to be material the rate of return on such Lender’s or its parent corporation’s capital or assets as a consequence
of such Lender’s commitments or obligations hereunder to a level below that which such Lender or its parent corporation could have achieved but for such adoption, effectiveness, change or compliance (taking into consideration such Lender’s
or its parent corporation’s policies with respect to capital adequacy), then from time to time, within 15 days after demand by such Lender (with a copy to the Administrative Agent), the Borrower shall pay to such Lender such additional amount
or amounts as will compensate such Lender or its parent corporation for such reduction. Each Lender, upon determining in good faith that any additional amounts will be payable pursuant to this section 2.10(c), will give prompt written notice thereof
to the Borrower, which notice shall set forth, in reasonable detail, the basis of the calculation of such additional amounts, which basis must be reasonable, although the failure to give any such notice shall not release or diminish any of the
Borrower’s obligations to pay additional amounts pursuant to this section 2.10(c) upon the subsequent receipt of such notice. 
  
 (d) Notwithstanding anything in this Agreement to the contrary, (i) no Lender shall be entitled to compensation or payment or reimbursement
of other amounts under section 2.10 for any amounts incurred or accruing more than 270 days prior to the giving of notice to the Borrower of additional costs or other amounts of the nature described in such section, and (ii) no Lender shall demand
compensation for any reduction referred to in section 2.10(c) if it shall not at the time be the general policy or practice of such Lender to demand such compensation, payment or reimbursement in similar circumstances under comparable provisions of
other credit agreements. 
  
 2.11. Breakage
Compensation. The Borrower shall compensate each applicable Lender, upon its written request (which request shall set forth the detailed basis for requesting and the method of calculating such compensation), for all reasonable losses, expenses
and liabilities (including, without limitation, any loss, expense or liability incurred by reason of the liquidation or reemployment of deposits or other funds required by such Lender to fund its Eurodollar Loans) that such Lender may sustain: (i)
if for any reason (other than a default by such Lender or the Administrative Agent), a Borrowing of 

  

 - 35 - 

 
Eurodollar Loans does not occur on a date specified therefor in a Notice of Borrowing, Notice of Conversion or Notice of Redenomination (whether or not
rescinded or withdrawn by the Borrower or deemed rescinded or withdrawn pursuant to section 2.10(a)); (ii) if any repayment, prepayment, Conversion, Redenomination or Continuation of any of its Eurodollar Loans occurs on a date that is not the last
day of an Interest Period applicable thereto; (iii) if any prepayment of any of its Eurodollar Loans is not made on any date specified in a notice of prepayment given by the Borrower; (iv) if such Lender transfers its Eurodollar Loans pursuant to a
request by the Borrower under section 2.12(b) hereof; or (v) as a consequence of (x) any other default by the Borrower to repay its Eurodollar Loans when required by the terms of this Agreement or (y) an election made pursuant to section 2.10(b).
Such loss, cost, expense and liability to any Lender shall be deemed to include an amount determined by such Lender to be the excess, if any, of (i) the amount of interest that would have accrued on the principal amount of such Loan had such event
not occurred, at the interest rate that would have been applicable to such Loan, for the period from the date of such event to the last day of the then current Interest Period therefor (or, in the case of a failure to effect a Borrowing, Conversion,
Redenomination or Continuation, for the period that would have been the Interest Period for such Loan, over (ii) the amount of interest that would accrue on such principal amount for such period at the interest rate that such Lender would bid were
it to bid, at the commencement of such period, for dollar deposits of a comparable amount and period from other banks in the eurodollar market. A certificate of any Lender setting forth any amount or amounts that such Lender is entitled to receive
pursuant to this section shall be delivered to the Borrower and shall be conclusive absent manifest error. The Borrower shall pay such Lender the amount shown as due on any such request within 10 days after receipt thereof. 
  
 2.12. Change of Lending Office; Replacement of Lenders.
(a) Each Lender agrees that, upon the occurrence of any event giving rise to the operation of section 2.10(a)(ii) or (iii) or 2.10(c), with respect to such Lender, it will, if requested by the Borrower, use reasonable efforts (subject to
overall policy considerations of such Lender) to designate another Applicable Lending Office for any Loans or Commitment affected by such event, provided that such designation is made on such terms that such Lender and its Applicable
Lending Office suffer no economic, legal or regulatory disadvantage, with the object of avoiding the consequence of the event giving rise to the operation of any such section. 
  
 (b) If any Lender requests any compensation, reimbursement or other payment under section 2.10(a)(ii) or (iii)
or 2.10(c) with respect to such Lender, or if any Lender is a Defaulting Lender, then the Borrower may, at its sole expense and effort, upon notice to such Lender and the Administrative Agent, require such Lender to assign and delegate, without
recourse (in accordance with the restrictions contained in section 13.4(c)), all its interests, rights and obligations under this Agreement to an assignee that shall assume such obligations (which assignee may be another Lender, if a Lender accepts
such assignment); provided that (i) the Borrower shall have received the prior written consent of the Administrative Agent, which consent shall not be unreasonably withheld, (ii) such Lender shall have received payment of an amount
equal to the outstanding principal of its Loans, accrued interest thereon, accrued fees and all other amounts payable to it hereunder, from the assignee (to the extent of such outstanding principal and accrued interest and fees) or the Borrower (in
the case of all other amounts, including any breakage compensation under section 2.11 hereof), and (iii) in the case of any such assignment resulting from a claim for compensation, reimbursement or other payments required to be made under section
2.10(a)(ii) or (iii) or 2.10(c) with respect to such Lender, such assignment will result in a reduction in such compensation, reimbursement or payments. A Lender shall not be required to make any such assignment and delegation if, prior thereto, as
a result of a waiver by such Lender or otherwise, the circumstances entitling the Borrower to require such assignment and delegation cease to apply. 
  
 (c) Nothing in this section 2.12 shall affect or postpone any of the obligations of the Borrower or the right of any Lender provided in
section 2.10. 
  

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 SECTION 3. LETTERS OF CREDIT. 
  
 3.1. Letters of Credit. (a) Subject to and upon the terms and conditions herein set forth, the
Borrower may request a Letter of Credit Issuer at any time and from time to time on or after the Closing Date and prior to the date that is 15 Business Days prior to the Maturity Date to issue, for the account of the Borrower or any of its
Subsidiaries and in support of workers’ compensation, liability insurance, releases of contract retention obligations, contract performance guarantee requirements and other bonding and other obligations of the Borrower or any such Subsidiary
incurred in the ordinary course of its business, and such other standby obligations of the Borrower and its Subsidiaries that are acceptable to the Letter of Credit Issuer, and subject to and upon the terms and conditions herein set forth, such
Letter of Credit Issuer agrees to issue from time to time, irrevocable standby letters of credit denominated and payable in Dollars or in an Alternative Currency in such form as may be approved by such Letter of Credit Issuer and the Administrative
Agent (each such letter of credit (and each Existing Letter of Credit described in section 3.1(d)), a “Letter of Credit” and collectively, the “Letters of Credit”). 
  
 (b) Notwithstanding the foregoing: (i) no Letter of Credit
shall be issued the Stated Amount of which, when added to the Letter of Credit Outstandings at such time, would exceed either (x) $30,000,000 (“Letter of Credit Sublimit”), or (y) when added to the aggregate principal amount
of all Loans then outstanding, an amount equal to the Total Commitment at such time; (ii) no individual Letter of Credit (other than any Existing Letter of Credit) shall be issued that has an initial Stated Amount less than $10,000 unless such
lesser Stated Amount is acceptable to the Letter of Credit Issuer; and (iii) each Letter of Credit shall have an expiry date (including any renewal periods) occurring not later than the earlier of (A) one year from the date of issuance thereof,
unless a longer period is approved by the relevant Letter of Credit Issuer and Lenders (other than any Defaulting Lender) holding a majority of the Total Commitment, and (B) 15 Business Days prior to the Maturity Date, in each case on terms
acceptable to the Administrative Agent and the relevant Letter of Credit Issuer, provided, however, that in the case of this subclause (B), the expiry date (including any renewal periods) may be permitted to
occur beyond the Maturity Date so long as the Borrower shall pay to the applicable Letter of Credit Issuer an amount in cash and/or Cash Equivalents equal to 100% of the Letter of Credit Outstandings and such Letter of Credit Issuer shall hold such
payment as security for the reimbursement obligations of the Borrower in respect of the applicable Letter of Credit pursuant to a cash collateral agreement to be entered into in form and substance reasonably satisfactory to such Letter of Credit
Issuer and the Borrower (which shall permit certain investments in Cash Equivalents satisfactory to such Letter of Credit Issuer and the Borrower until the proceeds are applied to the secured obligations). 
  
 (c) Notwithstanding the foregoing, in the event a Lender
Default exists, no Letter of Credit Issuer shall be required to issue any Letter of Credit unless either: (i) such Letter of Credit Issuer has entered into arrangements satisfactory to it and the Borrower to eliminate such Letter of Credit
Issuer’s risk with respect to the participation in Letters of Credit of the Defaulting Lender or Lenders, including by cash collateralizing such Defaulting Lender’s or Lenders’ Percentage of the Letter of Credit Outstandings; or (ii)
the issuance of such Letter of Credit, taking into account the potential failure of the Defaulting Lender or Lenders to risk participate therein, will not cause the Letter of Credit Issuer to incur aggregate credit exposure hereunder with respect to
Loans and Letter of Credit Outstandings in excess of its Commitment, and the Borrower has undertaken, for the benefit of such Letter of Credit Issuer, pursuant to an instrument satisfactory in form and substance to such Letter of Credit Issuer, not
to thereafter incur Loans or Letter of Credit Outstandings hereunder that would cause the Letter of Credit Issuer to incur aggregate credit exposure hereunder with respect to Loans and Letter of Credit Outstandings in excess of its Commitment.

  
 (d) Annex VI hereto contains a description of
all letters of credit outstanding on, and to continue in effect after, the Closing Date. Each such letter of credit issued by a bank that is or becomes a Lender under this Agreement (each, an “Existing Letter of Credit”)
shall constitute a “Letter of Credit” 

  

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for all purposes of this Agreement, issued, for purposes of section 3.4(a), on the Closing Date, and the Borrower, the Administrative Agent and the
applicable Lenders hereby agree that, from and after such date, the terms of this Agreement shall apply to such Letters of Credit, superseding any other agreement theretofore applicable to them to the extent inconsistent with the terms hereof.

  
 3.2. Letter of Credit Requests; Notices of
Issuance. (a) Whenever it desires that a Letter of Credit be issued, the Borrower shall give the Administrative Agent and the Letter of Credit Issuer written or telephonic notice (in the case of telephonic notice, promptly
confirmed in writing if so requested by the Administrative Agent) that, if in the form of written notice shall be substantially in the form of Exhibit B-4, or transmit by electronic communication (if arrangements for doing so have been approved by
the Letter of Credit Issuer), prior to 11:00 A.M. (local time at its Notice Office) at least three Business Days (or such shorter period as may be acceptable to the relevant Letter of Credit Issuer) prior to the proposed date of issuance (which
shall be a Business Day) (each a “Letter of Credit Request”), which Letter of Credit Request shall include such supporting documents that such Letter of Credit Issuer customarily requires in connection therewith (including,
in the case of a Letter of Credit for an account party other than the Borrower, an application for, and if applicable a reimbursement agreement with respect to, such Letter of Credit). Any such documents executed in connection with the issuance of a
Letter of Credit, including the Letter of Credit itself, are herein referred to as “Letter of Credit Documents.” In the event of any inconsistency between any of the terms or provisions of any Letter of Credit Document and
the terms and provisions of this Agreement respecting Letters of Credit, the terms and provisions of this Agreement shall control. The Administrative Agent shall promptly notify each Lender of each Letter of Credit Request. 
  
 (b) Each Letter of Credit Issuer shall provide to the
Administrative Agent and each other Lender (i) a monthly summary describing each Letter of Credit issued by such Letter of Credit Issuer and then outstanding and an identification for the relevant period of the daily aggregate Letter of Credit
Outstandings represented by Letters of Credit issued by such Letter of Credit Issuer and (ii) notice immediately upon any increase or decrease in the face amount of any Letter of Credit or any termination or cancellation of any Letter of Credit.
Each Letter of Credit Issuer shall, if requested by the Administrative Agent or any other Lender, provide a copy of each Letter of Credit issued by it. 
  
 3.3. Agreement to Repay Letter of Credit Drawings. (a) The Borrower hereby agrees to reimburse (or cause any Subsidiary for
whose account a Letter of Credit was issued to reimburse) each Letter of Credit Issuer, by making payment directly to such Letter of Credit Issuer in immediately available funds at the payment office of such Letter of Credit Issuer, for any payment
or disbursement made by such Letter of Credit Issuer under any Letter of Credit (each such amount so paid or disbursed until reimbursed, an “Unpaid Drawing”) not later than the Business Day immediately following the Business
Day on which such Letter of Credit Issuer notifies the Borrower (or any such Subsidiary for whose account such Letter of Credit was issued) of such payment or disbursement (which notice to the Borrower (or such Subsidiary) shall be delivered
reasonably promptly after any such payment or disbursement), such payment to be made in Dollars, with interest on the amount so paid or disbursed by such Letter of Credit Issuer, to the extent not reimbursed prior to 1:00 P.M. (local time at the
payment office of the Letter of Credit Issuer) on the date of such payment or disbursement, from and including the date paid or disbursed to but not including the date such Letter of Credit Issuer is reimbursed therefor at a rate per annum that
shall be the rate then applicable to Loans that are Prime Rate Loans (plus an additional 2% per annum if not reimbursed by the third Business Day after the date of such payment or disbursement), any such interest also to be payable on demand. If by
11:00 A.M. on the Business Day immediately following notice to it of its obligation to make reimbursement in respect of an Unpaid Drawing, the Borrower has not made such reimbursement out of its available cash on hand or a contemporaneous Borrowing
hereunder, (x) the Borrower will be deemed to have given a Notice of Borrowing for Prime Rate Loans in an aggregate principal amount sufficient to reimburse such Unpaid 

  

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Drawing (and the Administrative Agent shall promptly give notice to the Lenders of such deemed Notice of Borrowing), (y) the Lenders shall, unless they are
legally prohibited from doing so, make the Loans contemplated by such deemed Notice of Borrowing (which Loans shall be considered made under section 2.1 hereof), and (z) the proceeds of such Prime Rate Loans shall be disbursed directly to the
applicable Letter of Credit Issuer to the extent necessary to effect such reimbursement, with any excess proceeds to be made available to the Borrower in accordance with the applicable provisions of this Agreement. 
  
 (b) The Borrower’s obligation under this section 3.3 to
reimburse, or cause a Subsidiary to reimburse, each Letter of Credit Issuer with respect to Unpaid Drawings (including, in each case, interest thereon) shall be absolute and unconditional under any and all circumstances and irrespective of any
setoff, counterclaim or defense to payment that the Borrower may have or have had against such Letter of Credit Issuer, the Administrative Agent, any other Letter of Credit Issuer or any Lender, including, without limitation, any defense based upon
the failure of any drawing under a Letter of Credit to conform to the terms of the Letter of Credit or any non-application or misapplication by the beneficiary of the proceeds of such drawing, provided, however that the Borrower shall
not be obligated to reimburse, or cause a Subsidiary to reimburse, a Letter of Credit Issuer for any wrongful payment made by such Letter of Credit Issuer under a Letter of Credit as a result of acts or omissions constituting willful misconduct or
gross negligence on the part of such Letter of Credit Issuer. 
  
 3.4. Letter of Credit Participations. (a) Immediately upon the issuance by a Letter of Credit Issuer of any Letter of Credit (and on the Closing Date with respect to any Existing Letter of Credit), such Letter of Credit
Issuer shall be deemed to have sold and transferred to each Lender with a Commitment, and each such Lender (each a “Participant”) shall be deemed irrevocably and unconditionally to have purchased and received from such Letter
of Credit Issuer, without recourse or warranty, an undivided interest and participation, to the extent of such Lender’s Percentage, in such Letter of Credit, each substitute letter of credit, each drawing made thereunder, the obligations of the
Borrower under this Agreement with respect thereto (although Letter of Credit Fees shall be payable directly to the Administrative Agent for the account of the Lenders as provided in section 4.2 and the Participants shall have no right to receive
any portion of any fees of the nature contemplated by section 4.3), the obligations of any Subsidiary of the Borrower under any Letter of Credit Documents pertaining thereto, and any security for, or guaranty pertaining to, any of the foregoing.
Upon any change in the Commitments of the Lenders pursuant to section 13.4(b), it is hereby agreed that, with respect to all outstanding Letters of Credit and Unpaid Drawings, there shall be an automatic adjustment to the participations pursuant to
this section 3.4 to reflect the new Percentages of the assigning and assignee Lender. 
  
 (b) In determining whether to pay under any Letter of Credit, a Letter of Credit Issuer shall not have any obligation relative to the Participants other than to determine that any documents required to
be delivered under such Letter of Credit have been delivered and that they appear to comply on their face with the requirements of such Letter of Credit. Any action taken or omitted to be taken by a Letter of Credit Issuer under or in connection
with any Letter of Credit if taken or omitted in the absence of gross negligence or willful misconduct, shall not create for such Letter of Credit Issuer any resulting liability. 
  
 (c) In the event that a Letter of Credit Issuer makes any payment under any Letter of Credit and the Borrower
shall not have reimbursed (or caused any applicable Subsidiary to reimburse) such amount in full to such Letter of Credit Issuer pursuant to section 3.3(a), such Letter of Credit Issuer shall promptly notify the Administrative Agent, and the
Administrative Agent shall promptly notify each Participant of such failure, and each Participant shall promptly and unconditionally pay to the Administrative Agent for the account of such Letter of Credit Issuer, the amount of such
Participant’s Percentage of such payment in U.S. dollars and in same day funds, provided, however, that no Participant shall be obligated to pay to the Administrative Agent its Percentage of such unreimbursed amount for any
wrongful payment made by such Letter of Credit Issuer under a Letter of Credit as a result of acts or 

  

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omissions constituting willful misconduct or gross negligence on the part of such Letter of Credit Issuer. If the Administrative Agent so notifies any
Participant required to fund a payment under a Letter of Credit prior to 11:00 A.M. (local time at its Notice Office) on any Business Day, such Participant shall make available to the Administrative Agent for the account of the relevant Letter of
Credit Issuer such Participant’s Percentage of the amount of such payment on such Business Day in same day funds. If and to the extent such Participant shall not have so made its Percentage of the amount of such payment available to the
Administrative Agent for the account of the relevant Letter of Credit Issuer, such Participant agrees to pay to the Administrative Agent for the account of such Letter of Credit Issuer, forthwith on demand such amount, together with interest
thereon, for each day from such date until the date such amount is paid to the Administrative Agent for the account of such Letter of Credit Issuer at the Federal Funds Effective Rate. The failure of any Participant to make available to the
Administrative Agent for the account of the relevant Letter of Credit Issuer its Percentage of any payment under any Letter of Credit shall not relieve any other Participant of its obligation hereunder to make available to the Administrative Agent
for the account of such Letter of Credit Issuer its Percentage of any payment under any Letter of Credit on the date required, as specified above, but no Participant shall be responsible for the failure of any other Participant to make available to
the Administrative Agent for the account of such Letter of Credit Issuer such other Participant’s Percentage of any such payment. 
  
 (d) Whenever a Letter of Credit Issuer receives a payment of a reimbursement obligation as to which the Administrative Agent has received
for the account of such Letter of Credit Issuer any payments from the Participants pursuant to section 3.4(c) above, such Letter of Credit Issuer shall pay to the Administrative Agent and the Administrative Agent shall promptly pay to each
Participant that has paid its Percentage thereof, in U.S. dollars and in same day funds, an amount equal to such Participant’s Percentage of the principal amount thereof and interest thereon accruing after the purchase of the respective
participations, as and to the extent so received. 
  
 (e) The obligations of the Participants to make payments to the Administrative Agent for the account of each Letter of Credit Issuer with respect to Letters of Credit shall be irrevocable and not subject to counterclaim,
set-off or other defense or any other qualification or exception whatsoever and shall be made in accordance with the terms and conditions of this Agreement under all circumstances, including, without limitation, any of the following circumstances:

  
 (i) any lack of validity or enforceability of
this Agreement or any of the other Credit Documents; 
  
 (ii) the existence of any claim, set-off defense or other right that the Borrower (or any Subsidiary) may have at any time against a beneficiary named in a Letter of Credit, any transferee of any Letter of Credit (or any person for whom any
such transferee may be acting), the Administrative Agent, any Letter of Credit Issuer, any Lender, or other person, whether in connection with this Agreement, any Letter of Credit, the transactions contemplated herein or any unrelated transactions
(including any underlying transaction between the Borrower (or any Subsidiary) and the beneficiary named in any such Letter of Credit), other than any claim that the Borrower (or any Subsidiary that is the account party with respect to a Letter of
Credit) may have against any applicable Letter of Credit Issuer for gross negligence or willful misconduct of such Letter of Credit Issuer in making payment under any applicable Letter of Credit; 
  
 (iii) any draft, certificate or other document presented
under the Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any statement therein being untrue or inaccurate in any respect; 
  
 (iv) the surrender or impairment of any security for the performance or observance of any of the terms of
any of the Credit Documents: or 
  

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 (v) the occurrence of any Default or Event of Default. 
  
 (f) To the extent the Letter of Credit Issuer is not
indemnified by the Borrower, the Participants will reimburse and indemnify the Letter of Credit Issuer, in proportion to their respective Percentages, for and against any and all liabilities, obligations, losses, damages, penalties, claims, actions,
judgments, costs, expenses or disbursements of whatsoever kind or nature that may be imposed on, asserted against or incurred by the Letter of Credit Issuer in performing its respective duties in any way related to or arising out of its issuance of
Letters of Credit, provided that no Participants shall be liable for any portion of such liabilities, obligations, losses, damages, penalties, claims, actions, judgments, costs, expenses or disbursements resulting from the Letter of
Credit Issuer’s gross negligence or willful misconduct. 
  
 3.5. Increased Costs. If after the Effective Date, the adoption of any applicable law, rule or regulation, or any change therein, or any change in the interpretation or administration thereof by any governmental
authority, central bank or comparable agency charged with the interpretation or administration thereof, or compliance by any Letter of Credit Issuer or any Lender with any request or directive (whether or not having the force of law) by any such
authority, central bank or comparable agency (in each case made subsequent to the Effective Date) shall either: (i) impose, modify or make applicable any reserve, deposit, capital adequacy or similar requirement against Letters of Credit issued by
such Letter of Credit Issuer or such Lender’s participation therein; or (ii) shall impose on such Letter of Credit Issuer or any Lender any other conditions affecting this Agreement, any Letter of Credit or such Lender’s participation
therein; and the result of any of the foregoing is to increase the cost to such Letter of Credit Issuer or such Lender of issuing, maintaining or participating in any Letter of Credit, or to reduce the amount of any sum received or receivable by
such Letter of Credit Issuer or such Lender hereunder (other than any increased cost or reduction in the amount received or receivable resulting from the imposition of or a change in the rate of taxes or similar charges), then, upon demand to the
Borrower by such Letter of Credit Issuer or such Lender (a copy of which notice shall be sent by such Letter of Credit Issuer or such Lender to the Administrative Agent), the Borrower shall pay to such Letter of Credit Issuer or such Lender such
additional amount or amounts as will compensate any such Letter of Credit Issuer or such Lender for such increased cost or reduction. A certificate submitted to the Borrower by any Letter of Credit Issuer or any Lender, as the case may be (a copy of
which certificate shall be sent by such Letter of Credit Issuer or such Lender to the Administrative Agent), setting forth, in reasonable detail, the basis for the determination of such additional amount or amounts necessary to compensate any Letter
of Credit Issuer or such Lender as aforesaid shall be conclusive and binding on the Borrower absent manifest error, although the failure to deliver any such certificate shall not release or diminish any of the Borrower’s obligations to pay
additional amounts pursuant to this section 3.5. Reference is hereby made to the provisions of sections 2.10(d) and 2.12 for certain limitations upon the rights of a Letter of Credit Issuer or Lender under this section. 
  
 3.6. Guaranty of Subsidiary Letter of Credit
Obligations. (a) The Borrower hereby unconditionally guarantees, for the benefit of the Administrative Agent and the Lenders, the full and punctual payment of the Obligations of each Subsidiary under each Letter of Credit Document
to which such Subsidiary is now or hereafter becomes a party. Upon failure by any such Subsidiary to pay punctually any such amount, the Borrower shall forthwith on demand by the Administrative Agent pay the amount not so paid at the place and in
the currency and otherwise in the manner specified in this Agreement or any applicable Letter of Credit Document. 
  
 (b) As a separate, additional and continuing obligation, the Borrower unconditionally and irrevocably undertakes and agrees, for the benefit
of the Administrative Agent and the Lenders, that, should any amounts not be recoverable from the Borrower under section 3.6(a) for any reason whatsoever (including, without limitation, by reason of any provision of any Credit Document or any other
agreement or instrument executed in connection therewith being or becoming void, unenforceable, or otherwise 

  

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invalid under any applicable law) then, notwithstanding any notice or knowledge thereof by any Lender, the Administrative Agent, any of their respective
Affiliates, or any other person, at any time, the Borrower as sole, original and independent obligor, upon demand by the Administrative Agent, will make payment to the Administrative Agent, for the account of the Lenders and the Administrative
Agent, of all such obligations not so recoverable by way of full indemnity, in such currency and otherwise in such manner as is provided in the Credit Documents. 
  
 (c) The obligations of the Borrower under this section shall be unconditional and absolute and, without
limiting the generality of the foregoing shall not be released, discharged or otherwise affected by the occurrence, one or more times, of any of the following: 
  

(i) any extension, renewal, settlement, compromise, waiver or release in respect to any obligation of any Subsidiary under any Letter
of Credit Document, by operation of law or otherwise; 
  
 (ii) any modification or amendment of or supplement to this Agreement, any Note or any other Credit Document; 
  
 (iii) any release, non-perfection or invalidity of any direct or indirect security for any obligation of the Borrower under this
Agreement, any Note or any other Credit Document or of any Subsidiary under any Letter of Credit Document; 
  
 (iv) any change in the corporate existence, structure or ownership of any Subsidiary or any insolvency, bankruptcy, reorganization or
other similar proceeding affecting any Subsidiary or its assets or any resulting release or discharge of any obligation of any Subsidiary contained in any Letter of Credit Document; 
  
 (v) the existence of any claim, set-off or other rights that the Borrower may have at any time against any
Subsidiary, the Administrative Agent, any Lender or any other person, whether in connection herewith or any unrelated transactions; 
  
 (vi) any invalidity or unenforceability relating to or against any Subsidiary for any reason of any Letter of Credit Document, or any
provision of applicable law or regulation purporting to prohibit the payment by any Subsidiary of any Obligations in respect of any Letter of Credit; or 
  
 (vii) any other act or omission to act or delay of any kind by any Subsidiary, the Administrative Agent, any Lender or any other person or
any other circumstance whatsoever that might, but for the provisions of this section, constitute a legal or equitable discharge of the Borrower’s obligations under this section. 
  
 (d) The Borrower’s obligations under this section shall remain in full force and effect until the
Commitments shall have terminated and the principal of and interest on the Notes and all other amounts payable by the Borrower under the Credit Documents and by any Subsidiary under the Letter of Credit Documents shall have been paid in full. If at
any time any payment of any of the Obligations of any Subsidiary in respect of any Letter of Credit Document is rescinded or must be otherwise restored or returned upon the insolvency, bankruptcy or reorganization of such Subsidiary, the
Borrower’s obligations under this section with respect to such payment shall be reinstated at such time as though such payment had been due but not made at such time. 
  
 (e) The Borrower irrevocably waives acceptance hereof, presentment, demand, protest and any notice not
provided for herein, as well as any requirement that at any time any action be taken by any 

  

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person against any Subsidiary or any other person, or against any collateral or guaranty of any other person. 
  
 (f) The Borrower hereby subordinates all rights, whether
arising by operation of law or otherwise, that it may have upon making any payment under this section to be subrogated to the rights of the payee against any Subsidiary with respect to such payment or otherwise to be reimbursed, indemnified or
exonerated by any Subsidiary in respect thereof, to the indefeasible payment in full of all of the Obligations. 
  
 (g) In the event that acceleration of the time for payment of any amount payable by any Subsidiary under any Letter of Credit Document is
stayed upon insolvency, bankruptcy or reorganization of such Subsidiary, all such amounts otherwise subject to acceleration under the terms of any applicable Letter of Credit Document shall nonetheless be payable by the Borrower under this section
forthwith on demand by the Administrative Agent. 
  
 SECTION 4.
FEES. 
  
 4.1. Facility Fee. (a) The Borrower
agrees to pay to the Administrative Agent a Facility Fee (“Facility Fee”), for the account of each Non-Defaulting Lender that has a General Revolving Commitment, for the period from and including the Effective Date to but not
including the date the Total General Revolving Commitment has been terminated and no General Revolving Loans are outstanding, which Facility Fee, in the case of any such Non-Defaulting Lender, shall be computed on the amount of the Total General
Revolving Commitment of such Non-Defaulting Lender, whether used or unused, at the Applicable Facility Fee Rate. The Facility Fee shall be due and payable in arrears on a nonrefundable basis, on the last Business Day of each March, June, September
and December and on the Maturity Date, for the preceding quarter (or shorter period, if applicable), based on a year of 360 days and the actual number of days elapsed in such period. 
  
 (b) As used herein, the term “Applicable Facility Fee Rate” means the particular rate
per annum determined by the Administrative Agent in accordance with the Pricing Grid Table that appears in section 2.8(h) hereof, based on the Borrower’s ratio of Consolidated Total Debt to Consolidated EBITDA, and the following provisions:

  
 (i) Initially, until changed hereunder in
accordance with the following provisions, the Applicable Facility Fee Rate will be 35 basis points per annum. 
  
 (ii) Commencing with the fiscal quarter of the Borrower ended on or nearest to March 31, 2004, and continuing for each fiscal quarter
thereafter, the Administrative Agent will determine the Applicable Facility Fee Rate in accordance with the Pricing Grid Table, based on the Borrower’s ratio of (x) Consolidated Total Debt as of the end of the fiscal quarter, to (y)
Consolidated EBITDA for the Testing Period ended on the last day of the fiscal quarter, and identified in such Pricing Grid Table. Changes in the Applicable Facility Fee Rate shall be made and effective as of the same date as is provided in section
2.8(h) in the case of the determination or re-determination of the Applicable Prime Rate Margin or Applicable Eurodollar Margin. 
  
 (iii) Notwithstanding the above provisions, during any period when (A) the Borrower has failed to timely deliver its consolidated
financial statements referred to in section 9.1(a) or (b), accompanied by the certificate and calculations referred to in section 9.1(c), or (B) an Event of Default has occurred and is continuing, the Applicable Facility Fee Rate shall be the
highest rate per annum indicated therefor in the Pricing Grid Table, regardless of the Borrower’s ratio of Consolidated Total Debt to Consolidated EBITDA at such time. 
  

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 (iv) Any changes in the Applicable Facility Fee Rate shall be determined by the
Administrative Agent in accordance with the above provisions and the Administrative Agent will promptly provide notice of such determinations to the Borrower and the Lenders. Any such determination by the Administrative Agent pursuant to this
section 4.1(b) shall be conclusive and binding absent manifest error. 
  
 4.2. Letter of Credit Fees. The Borrower agrees to pay to the Administrative Agent, for the account of each Non-Defaulting Lender, pro rata on the basis of its Percentage, a fee in respect of each Letter of
Credit (the “Letter of Credit Fee”), payable quarterly in arrears on the last Business Day of each March, June, September and December and on the Maturity Date, computed at the rate per annum equal to the Applicable
Eurodollar Margin then in effect on the Stated Amount thereof for the period from the date of issuance (or any increase in the amount, or renewal or extension) to the expiration date thereof (including any extensions of such expiration date that may
be made at the election of the beneficiary thereof). Notwithstanding the above provisions, if an Event of Default is in existence, the Borrower will pay to the Administrative Agent, on demand, for the account of each Non-Defaulting Lender, pro
rata on the basis of its Percentage, an additional Letter of Credit Fee, computed at 2% per annum on the Stated Amount of each Letter of Credit for the period such Default or Event of Default is in existence. 
  
 4.3. Facing Fees. The Borrower agrees to pay directly to each
Letter of Credit Issuer, for its own account, a fee in respect of each Letter of Credit issued by it (a “Facing Fee”), payable quarterly in arrears on the last Business Day of each March, June, September and December and on
the Maturity Date, computed at a rate of 1/8 of 1% per annum on the Stated Amount thereof for the period from the date of issuance (or increase, renewal or extension) to the expiration date thereof (including any extensions of such expiration date
that may be made at the election of the beneficiary thereof. 
  
 4.4. Letter of Credit Administrative Fees. The Borrower agrees to pay directly to each Letter of Credit Issuer upon each issuance of, drawing under, and/or amendment, extension, renewal or transfer of, a Letter of Credit
issued by it such amount as shall at the time of such issuance, drawing, amendment, extension, renewal or transfer be the administrative or processing charge that such Letter of Credit Issuer customarily charges for issuances, drawings under or
amendments, extensions, renewals or transfers of, letters of credit issued by it. 
  
 4.5. Other Fees. The Borrower shall pay to the Administrative Agent on the Effective Date and thereafter for its own account and/or for distribution to the Lenders such fees as heretofore agreed by the
Borrower and the Administrative Agent in the Commitment Letter dated February 19, 2003. 
  
 4.6. Computations of Fees. All computations of Fees under this Agreement shall be made in accordance with section 13.7(b). 
  
 SECTION 5. REDUCTIONS AND TERMINATION OF COMMITMENTS. 
  
 5.1. Voluntary Termination/Reduction of Commitments. Upon at least three Business Days’ prior written
notice (or telephonic notice confirmed in writing) to the Administrative Agent at its Notice Office (which notice the Administrative Agent shall promptly transmit to each of the Lenders), the Borrower shall have the right, without premium or
penalty, to: 
  
 (a) terminate the Total Commitment,
provided that all outstanding Loans are contemporaneously prepaid in accordance with section 6.1; 
  
 (b) terminate the Swing Line Revolving Commitment, provided that all outstanding Swing Line Revolving Loans are
contemporaneously prepaid in accordance with section 6.1; 
  

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 (c) partially and permanently reduce the Unutilized Total General Revolving Commitment,
provided that: (i) any such reduction shall apply to proportionately and permanently reduce the General Revolving Commitment of each of the Lenders; (ii) any partial reduction of the Unutilized Total General Revolving Commitment
pursuant to this section 5.1(c) shall be in the amount of at least $5,000,000 (or, if greater, in integral multiples of $1,000,000); and (iii) after giving effect to any such partial reduction of the Unutilized Total General Revolving Commitment,
the Total General Revolving Commitment then in effect shall exceed the Swing Line Revolving Commitment then in effect by at least $20,000,000; and/or 
  
 (d) partially and permanently reduce the Unutilized Swing Line Revolving Commitment, provided that any partial reduction of
the Unutilized Swing Line Revolving Commitment pursuant to this section 5.1(d) shall be in the amount of at least $1,000,000 (or, if greater, in integral multiples of $1,000,000). 
  
 5.2. Mandatory Termination/Adjustments of Commitments, etc. (a) The Total Commitment (and the
Commitment of each Lender) shall terminate on February 27, 2004 unless the Closing Date has occurred on or prior to such date. 
  
 (b) The Total Commitment shall terminate (and the Commitment of each Lender shall terminate) on the earlier of (x) the Maturity Date and (y)
the date on which a Change of Control occurs. 
  
 (c)
The Total General Revolving Commitment shall be permanently reduced, without premium or penalty, at the time that any mandatory prepayment of General Revolving Loans would be made pursuant to section 6.2(e), (f), (g) or (h) if General Revolving
Loans were then outstanding in the full amount of the Total General Revolving Commitment then in effect, in an amount equal to the required prepayment of principal of General Revolving Loans that would be required to be made in such circumstance.
Any such reduction shall apply to proportionately and permanently reduce the General Revolving Commitment of each of the Lenders. The Borrower will provide at least three Business Days’ prior written notice (or telephonic notice confirmed in
writing) to the Administrative Agent at its Notice Office (which notice the Administrative Agent shall promptly transmit to each of the Lenders), of any reduction of the Total General Revolving Commitment pursuant to this section 5.2(c), specifying
the date and amount of the reduction. 
  
 SECTION 6. PAYMENTS.

  
 6.1. Voluntary Prepayments. The Borrower
shall have the right to prepay any of its Loans, in whole or in part, without premium or penalty, from time to time on the following terms and conditions: 
  
 (a) the Borrower shall give the Administrative Agent at the Notice Office written or telephonic notice (in the case of telephonic notice,
promptly confirmed in writing if so requested by the Administrative Agent) of its intent to prepay the Loans, the amount of such prepayment and (in the case of Eurodollar Loans) the specific Borrowing(s) pursuant to which made, which notice shall be
received by the Administrative Agent by: 
  
 (x)
11:00 A.M. (local time at the Notice Office) three Business Days prior to the date of such prepayment, in the case of any prepayment of Eurodollar Loans; or 
  
 (y) 11:00 A.M. (local time at the Notice Office) one Business day prior to the date of such prepayment, in the case of any prepayment of
Prime Rate Loans; 
  
 and which notice shall promptly be
transmitted by the Administrative Agent to each of the affected Lenders; 
  

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 (b) in the case of prepayment of any Borrowings under the General Revolving Facility, each
partial prepayment of any such Borrowing shall be in an aggregate principal of at least $1,000,000 or an integral multiple of $500,000 in excess thereof, in the case of Prime Rate Loans, and at least $2,000,000 (or the substantial equivalent thereof
in any Alternative Currency) or an integral multiple of $1,000,000 (or the substantial equivalent thereof in any Alternative Currency) in excess thereof, in the case of Eurodollar Loans; 
  
 (c) in the case of prepayment of any Borrowings under the Swing Line Revolving Facility, each partial
prepayment of any such Borrowing shall be in an aggregate principal of at least $500,000 or an integral multiple of $250,000 (or the substantial equivalent thereof in any Alternative Currency) in excess thereof; 
  
 (d) no partial prepayment of any Loans made pursuant to a
Borrowing shall reduce the aggregate principal amount of such Loans outstanding pursuant to such Borrowing to an amount less than the Minimum Borrowing Amount applicable thereto; 
  
 (e) each prepayment in respect of any Loans made pursuant to a Borrowing shall be applied pro
rata among such Loans; and 
  
 (f) each
prepayment of Eurodollar Loans pursuant to this section 6.1 on any date other than the last day of the Interest Period applicable thereto shall be accompanied by any amounts payable in respect thereof under section 2.11. 
  
 6.2. Mandatory Prepayments. The Loans shall be subject to
mandatory prepayment in accordance with the following provisions: 
  
 (a) If Outstanding General Revolving Loans, Letter of Credit Outstandings and Swing Line Revolving Loans Exceed Total General Revolving Commitment. If on any date (after giving effect to any other payments on such date) the
sum of (i) the aggregate outstanding principal amount of General Revolving Loans, plus (ii) the aggregate amount of Letter of Credit Outstandings, plus (iii) the aggregate outstanding principal amount of Swing Line Revolving Loans,
exceeds the Total General Revolving Commitment as then in effect, the Borrower shall prepay on such date that principal amount of Swing Line Revolving Loans and, after Swing Line Revolving Loans have been paid in full, Unpaid Drawings and,
after Unpaid Drawings have been paid in full, General Revolving Loans, in an aggregate amount at least equal to such excess and conforming in the case of partial prepayments of any Loans to the applicable requirements as to the amounts of partial
prepayments that are contained in section 6.1. 
  
 (b)
If Outstanding Swing Line Revolving Loans Exceed Unutilized Total General Revolving Commitment. If on any date (after giving effect to any other payments on such date) the aggregate outstanding principal amount of Swing Line Revolving Loans
exceeds the Unutilized Total General Revolving Commitment at such time, the Borrower shall prepay on such date Swing Line Revolving Loans in an aggregate amount at least equal to such excess and conforming in the case of partial prepayments of Swing
Line Revolving Loans to the requirements as to the amounts of partial prepayments of Swing Line Revolving Loans that are contained in section 6.1. 
  
 (c) If Outstanding Swing Line Revolving Loans Exceed Swing Line Revolving Commitment. If on any date (after giving effect to any other
payments on such date) the aggregate outstanding principal amount of Swing Line Revolving Loans exceeds the Swing Line Revolving Commitment at such time, the Borrower shall prepay on such date Swing Line Revolving Loans in an aggregate amount at
least equal to such excess and conforming in the case of partial prepayments of Swing Line Revolving Loans to the requirements as to the amounts of partial prepayments of Swing Line Revolving Loans that are contained in section 6.1. 
  

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 (d) If Alternative Currency Loans Exceed Alternative Currency Sublimit. If on any date
(after giving effect to any other payments on such date) the aggregate outstanding principal amount of General Revolving Loans denominated in an Alternative Currency exceeds the Alternative Currency Sublimit, the Borrower shall prepay on such date
General Revolving Loans denominated in Alternative Currencies in an aggregate principal amount at least equal to such excess and conforming in the case of partial prepayments of General Revolving Loans to the requirements as to the amounts of
partial prepayments that are contained in section 6.1. 
  
 (e) Certain Proceeds of Asset Sales. If during any fiscal year of the Borrower, the Borrower and its Subsidiaries have received cumulative Net Cash Proceeds during such fiscal year from one or more Asset Sales in an aggregate
amount at least equal to $10,000,000, then not later than the third Business Day following the date of receipt of any Net Cash Proceeds in excess of such amount, an amount, conforming to the requirements as to the amount of partial prepayments
contained in section 6.1, at least equal to 100% of the Net Cash Proceeds then received in excess of such amount from any Asset Sale, shall be applied as a mandatory prepayment of principal of first, Swing Line Revolving Loans and,
second, after Swing Line Revolving Loans have been paid in full, Unpaid Drawings and, third, after Unpaid Drawings have been paid in full, General Revolving Loans provided, that (i) if no Default under
section 11.1(a) or Event of Default shall have occurred and be continuing, (ii) the Borrower and its Subsidiaries have scheduled Consolidated Capital Expenditures during the following 12 months, and (iii) the Borrower notifies the Administrative
Agent of the amount and nature thereof and of its intention to reinvest all or a portion of such Net Cash Proceeds in such Consolidated Capital Expenditures during such 12 month period, then no such prepayment shall be required to the extent the
Borrower so indicates that such reinvestment will take place. If at the end of any such 12 month period any portion of such Net Cash Proceeds has not been so reinvested, the Borrower will immediately make a prepayment of the outstanding Swing Line
Revolving Loans and General Revolving Loans as provided above in an amount, conforming to the requirements as to amount of prepayments contained in section 6.1, at least equal to such remaining amount. 
  
 (f) Proceeds of Debt Incurrence. Concurrently with the receipt
by the Borrower or any Subsidiary of any Net Debt Proceeds, the Borrower shall deliver to the Administrative Agent a calculation of the amount of such Net Debt Proceeds and make a mandatory prepayment at least equal to 100% of the Net Debt Proceeds
to be applied as a mandatory prepayment of principal of first, Swing Line Revolving Loans and, second, after Swing Line Revolving Loans have been paid in full, Unpaid Drawings and, third, after Unpaid
Drawings have been paid in full, General Revolving Loans. 
  
 (g) Event of Loss. If during any fiscal year of the Company, the Company and its Subsidiaries have received cumulative Net Cash Proceeds during such fiscal year from one or more Events of Loss of at least $5,000,000, not later
than the fifth Business Day following the date of receipt of any Net Cash Proceeds in excess of such amount, an amount, conforming to the requirements as to the amount of partial prepayments contained in section 6.1, at least equal to 100% of the
Net Cash Proceeds then received in excess of such amount from any Event of Loss, shall be applied as a mandatory prepayment of principal. 
  
 (h) Material Recovery Event. Concurrently with the receipt by the Borrower or any Subsidiary of Net Cash Proceeds in respect of any Material
Recovery Event, the Borrower shall deliver to the Administrative Agent a calculation of the amount of any such Net Cash Proceeds and make a mandatory prepayment at least equal to 100% of such Net Cash Proceeds to be applied as a mandatory prepayment
of principal of first, Swing Line Revolving Loans and, second, after Swing Line Revolving Loans have been paid in full, Unpaid Drawings and, third, after Unpaid Drawings have been paid in full, General
Revolving Loans. 
  

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 (i) Change of Control. On the date of which a Change of Control occurs, notwithstanding
anything to the contrary contained in this Agreement, no further Borrowings shall be made and the then outstanding principal amount of all Loans, if any, and other Obligations, shall become due and payable and shall be prepaid in full, together with
accrued interest and Fees and the Borrower shall contemporaneously either (i) cause all outstanding Letters of Credit to be surrendered for cancellation (any such Letters of Credit to be replaced by letters of credit issued by other financial
institutions acceptable to the Required General Revolving Lenders), or (ii) the Borrower shall pay to the Administrative Agent an amount in cash and/or Cash Equivalents equal to 100% of the Letter of Credit Outstandings and the Administrative Agent
shall hold such payment as security for the reimbursement obligations of the Borrower in respect of Letters of Credit pursuant to a cash collateral agreement to be entered into in form and substance reasonably satisfactory to the Administrative
Agent, each Letter of Credit Issuer and the Company (which shall permit certain investments in Cash Equivalents satisfactory to the Administrative Agent, each Letter of Credit Issuer and the Borrower until the proceeds are applied to the secured
obligations). 
  
 (j) Particular Loans to be
Prepaid. With respect to each repayment or prepayment of Loans required by this section 6.2, the Borrower shall designate the Types of Loans that are to be prepaid and the specific Borrowing(s) pursuant to which such repayment or prepayment is
to be made, provided that: (i) the Borrower shall first so designate all Loans that are Prime Rate Loans and Eurodollar Loans with Interest Periods ending on the date of repayment or prepayment prior to designating any other Eurodollar
Loans for repayment or prepayment; (ii) if the outstanding principal amount of Eurodollar Loans made pursuant to a Borrowing is reduced below the applicable Minimum Borrowing Amount as a result of any such repayment or prepayment, then all the Loans
outstanding pursuant to such Borrowing shall be Converted into Prime Rate Loans; and (iii) each repayment and prepayment of any Loans made pursuant to a Borrowing shall be applied pro rata among such Loans. In the absence of a
designation by the Borrower as described in the preceding sentence, the Administrative Agent shall, subject to the above, make such designation in its sole discretion with a view, but no obligation, to minimize breakage costs owing under section
2.11. Any repayment or prepayment of Eurodollar Loans pursuant to this section 6.2 shall in all events be accompanied by such compensation as is required by section 2.11. 
  
 6.3. Method and Place of Payment. (a) Except as otherwise specifically provided herein, all payments under
this Agreement shall be made to the Administrative Agent for the ratable (based on its pro rata share) account of the Lenders entitled thereto, not later than 11:00 A.M. (local time at the Payment Office) on the date when due and shall
be made in immediately available funds and in lawful money of the United States of America (in the case of Loans denominated in Dollars), or in the applicable Alternative Currency (in the case of Loans denominated in an Alternative Currency), at the
Payment Office, it being understood that written notice by the Borrower to the Administrative Agent to make a payment from the funds in the Borrower’s account at the Payment Office shall constitute the making of such payment to the extent of
such funds held in such account. Any payments under this Agreement that are made later than 11:00 A.M. (local time at the Payment Office) shall be deemed to have been made on the next succeeding Business Day. Whenever any payment to be made
hereunder shall be stated to be due on a day that is not a Business Day, the due date thereof shall be extended to the next succeeding Business Day and, with respect to payments of principal, interest shall be payable during such extension at the
applicable rate in effect immediately prior to such extension. 
  
 (b) If at any time insufficient funds are received by and available to the Administrative Agent to pay fully all amounts of principal, interest and Fees then due hereunder and an Event of Default is not then in existence, such
funds shall be applied: (i) first, towards payment of interest and Fees then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of interest and Fees then due to such parties; and (ii)
second, towards payment of principal then due hereunder, ratably among the parties entitled thereto in accordance with the amounts of principal then due to such parties. 
  

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 6.4. Net Payments. (a) All payments made by the Borrower hereunder or under any Note will
be made without setoff, counterclaim or other defense. Except as provided for in section 6.4(b), all such payments will be made free and clear of, and without deduction or withholding for, any present or future taxes, levies, imposts, duties, fees,
assessments or other charges of whatever nature now or hereafter imposed by any jurisdiction or by any political subdivision or taxing authority thereof or therein with respect to such payments (but excluding, except as provided in the second
succeeding sentence, any tax, imposed on or measured by the net income or net profits of a Lender pursuant to the laws of the jurisdiction under which such Lender is organized or the jurisdiction in which the principal office or Applicable Lending
Office of such Lender is located or any subdivision thereof or therein) and all interest, penalties or similar liabilities with respect to such nonexcluded taxes, levies imposts, duties, fees, assessments or other charges (all such nonexcluded taxes
levies, imposts, duties, fees assessments or other charges being referred to collectively as “Taxes”). If any Taxes are so levied or imposed, the Borrower agrees to pay the full amount of such Taxes and such additional
amounts as may be necessary so that every payment by them of all amounts due hereunder or under any Note, after withholding or deduction for or on account of any Taxes will not be less than the amount provided for herein or in such Note. If any
amounts are payable in respect of Taxes pursuant to the preceding sentence, the Borrower agrees to reimburse each Lender, upon the written request of such Lender for taxes imposed on or measured by the net income or profits of such Lender pursuant
to the laws of the jurisdiction in which such Lender is organized or in which the principal office or Applicable Lending Office of such Lender is located or under the laws of any political subdivision or taxing authority of any such jurisdiction in
which the principal office or Applicable Lending Office of such Lender is located and for any withholding of income or similar taxes imposed by the United States of America as such Lender shall determine are payable by, or withheld from, such Lender
in respect of such amounts so paid to or on behalf of such Lender pursuant to the preceding sentence and in respect of any amounts paid to or on behalf of such Lender pursuant to this sentence, which request shall be accompanied by a statement from
such Lender setting forth, in reasonable detail, the computations used in determining such amounts. The Borrower will furnish to the Administrative Agent within 45 days after the date the payment of any Taxes, or any withholding or deduction on
account thereof, is due pursuant to applicable law certified copies of tax receipts, or other evidence satisfactory to the relevant Lender, evidencing such payment by the Borrower. The Borrower will indemnify and hold harmless the Administrative
Agent and each Lender, and reimburse the Administrative Agent or such Lender upon its written request, for the amount of any Taxes so levied or imposed and paid or withheld by such Lender. 
  
 (b) Each Lender that is a Foreign Lender agrees to provide to
the Company and the Administrative Agent on or prior to the Effective Date, or in the cases of a Lender that is an assignee or transferee of an interest under this Agreement pursuant to section 13.4 (unless the respective Lender was already a Lender
hereunder immediately prior to such assignment or transfer and such Lender is in compliance with the provisions of this section 6.4(b)), on the date of such assignment or transfer to such Lender, (i) two accurate and complete original signed copies
of Internal Revenue Service Form W-8BEN or W-8ECI (or successor forms) certifying to such Lender’s entitlement to a complete exemption from United States withholding tax with respect to payments to be made under this Agreement or any Note, or
(ii) if the Lender is not a “bank” within the meaning of section 881(c)(3)(A) of the Code and cannot deliver either Internal Revenue Service Form W-8BEN or W-8ECI pursuant to clause (i) above, (x) a certificate substantially in the form of
Exhibit D (any such certificate, a “Section 6.4(b)(ii) Certificate”) and (y) two accurate and complete original signed copies of Internal Revenue Service Form W 8 (or successor form) certifying to such Lender’s
entitlement to a complete exemption from United States withholding tax with respect to payments of interest to be made under this Agreement or any Note. In addition, each Lender agrees that from time to time after the Effective Date, when a lapse in
time or change in circumstances renders the previous certification obsolete or inaccurate in any material respect, it will deliver to the Borrower and the Administrative Agent two new accurate and complete original signed copies of Internal Revenue
Service Form W-8BEN or W-8ECI, and a section 6.4(b)(ii) 

  

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Certificate, as the case may be, and such other forms as may be required in order to confirm or establish the entitlement of such Lender to a continued
exemption from or reduction in United States withholding tax with respect to payments under this Agreement or any Note, or it shall immediately notify the Borrower and the Administrative Agent of its inability to deliver any such Form or
Certificate, in which case such Lender shall not be required to deliver any such Form or Certificate pursuant to this section 6.4(b). Notwithstanding anything to the contrary contained in section 6.4(a), but subject to section 13.4(g) and the
immediately succeeding sentence, (x) the Borrower shall be entitled, to the extent it is required to do so by law, to deduct or withhold income or other similar taxes imposed by the United States (or any political subdivision or taxing authority
thereof or therein) from interest, fees or other amounts payable hereunder for the account of any Lender that is a Foreign Lender and that has not provided to the Borrower such forms that establish a complete exemption from such deduction or
withholding and (y) the Borrower shall not be obligated pursuant to section 6.4(a) hereof to gross-up payments to be made to a Lender in respect of income or similar taxes imposed by the United States or any additional amounts with respect thereto
(I) if such Lender has not provided to the Borrower the Internal Revenue Service forms required to be provided to the Borrower pursuant to this section 6.4(b) or (II) in the case of a payment other than interest, to a Lender described in clause (ii)
above, to the extent that such forms do not establish a complete exemption from withholding of such taxes. Notwithstanding anything to the contrary contained in the preceding sentence or elsewhere in this section 6.4 and except as specifically
provided for in section 13.4(g), the Borrower agrees to pay additional amounts and indemnify each Lender in the manner set forth in section 6.4(a) (without regard to the identity of the jurisdiction requiring the deduction or withholding) in respect
of any Taxes deducted or withheld by it as described in the previous sentence as a result of any changes after the Effective Date in any applicable law, treaty, governmental rule, regulation, guideline or order, or in the interpretation thereof,
relating to the deducting or withholding of income or similar Taxes. 
  
 (c) If any Lender, in its sole opinion, determines that it has finally and irrevocably received or been granted a refund in respect of any Taxes paid as to which indemnification has been paid by the Borrower pursuant to this
section, it shall promptly remit such refund (including any interest received in respect thereof), net of all out-of-pocket costs and expenses; provided, that the Borrower agrees to promptly return any such refund (plus interest) to
such Lender in the event such Lender is required to repay such refund to the relevant taxing authority. Any such Lender shall provide the Borrower with a copy of any notice of assessment from the relevant taxing authority (redacting any unrelated
confidential information contained therein) requiring repayment of such refund. Nothing contained herein shall impose an obligation on any Lender to apply for any such refund. 
  
 6.5. Late Charges. If any principal of any Loan is not paid within 10 days after the Administrative Agent
shall have given the Borrower notice of demand for the payment of the same or within 10 days after any Event of Default described in section 11.1(g) in respect of the Borrower shall have occurred, or if any interest on any Loan is not paid within 10
days after the same becomes due, then and in any such case the Administrative Agent shall have the right to assess a late charge, payable by the Borrower upon demand, in an amount equal to the greater of $20.00 or 3% of the amount not
timely paid. Any such late charge shall be for the account of the Lenders for the benefit of whom such amount was not timely paid and shall be in addition to any other amounts payable by the Borrower under the Credit Documents. 
  
 SECTION 7. CONDITIONS PRECEDENT. 
  
 7.1. Conditions Precedent at Closing Date. The obligation of
the Lenders to make Loans is subject to the satisfaction of each of the following conditions on the Closing Date: 
  
 (a) Effectiveness; Notes; Other Credit Documents. On or prior to the Closing Date, (i) the Effective Date shall have occurred and (ii) there
shall have been delivered to the Administrative Agent for 

  

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the account of each Lender the appropriate Note or Notes executed by the Borrower, in each case, in the amount, maturity and as otherwise provided herein.
The Credit Parties named therein shall have duly executed and delivered and there shall be in full force and effect, and original counterparts shall have been delivered to the Administrative Agent, in sufficient quantities for the Lenders, of the
Subsidiary Guaranty and any other Credit Document, instrument or other item requested by the Administrative Agent. 
  
 (b) Fees, etc. The Borrower shall have paid or caused to be paid all fees required to be paid by it on or prior to such date pursuant to
section 4 hereof and all reasonable fees and expenses of the Administrative Agent and of special counsel to the Administrative Agent that have been invoiced on or prior to such date in connection with the preparation, execution and delivery of this
Agreement and the other Credit Documents and the consummation of the transactions contemplated hereby and thereby. 
  
 (c) Corporate Charter, Bylaws and Good Standing Certificates. The Administrative Agent shall have received, in sufficient quantity for the
Administrative Agent and the Lenders: (i) a copy of the Certificate of Incorporation of the Borrower and each other Credit Party and any and all amendments and restatements thereof, certified as of a recent date by the Secretary of State or other
governmental official of the jurisdiction of its incorporation, and certified by the Secretary or Assistant Secretary of such Credit Party as being true, correct and in full and force and effect; (ii) a copy of the By-Laws or equivalent governing
documents of the Borrower and each other Credit Party, certified as true, correct and in full force and effect by the Secretary or an Assistant Secretary of such Credit Party; (iii) a good standing certificate from the Secretary of State or other
governmental official of the jurisdiction of its incorporation, dated as of a recent date, listing all charter documents affecting the Borrower and each other Credit Party and certifying as to the good standing of the Borrower and each other Credit
Party, as applicable; and (iv) certificates of good standing from each other jurisdiction in which the failure of the Borrower and each other Credit Party to be authorized or qualified to do business could reasonably be expected to have a Material
Adverse Effect. 
  
 (d) Corporate Certificate. The
Administrative Agent shall have received, in sufficient quantity for the Administrative Agent and the Lenders, a certificate of the Secretary or an Assistant Secretary of the Borrower and each other Credit Party, dated the Closing Date,
substantially in the form attached hereto as Exhibit C, and such certificate shall be satisfactory in form and substance to the Administrative Agent. 
  
 (e) Borrower’s Closing Certificate. The Administrative Agent shall have received a certificate, dated the Closing Date, of a
responsible financial or accounting officer of the Borrower to the effect that, at and as of the Closing Date and both before and after giving effect to the initial Borrowings hereunder and the application of the proceeds thereof: (x) the Borrower
is in compliance with all of the covenants contained in sections 9 and 10 of this Agreement; (y) no Default or Event of Default has occurred or is continuing; and (z) all representations and warranties of the Borrower contained herein or in the
other Credit Documents are true and correct in all material respects with the same effect as though such representations and warranties had been made on and as of the Closing Date, except that as to any such representations and warranties that
expressly relate to an earlier specified date, such representations and warranties are only represented as having been true and correct in all material respects as of the date when made. 
  
 (f) Opinion of Counsel. The Administrative Agent shall have received an opinion, addressed to the
Administrative Agent and each of the Lenders and dated the Closing Date, from Michael J. Mocniak, Vice President, Secretary and General Counsel of the Borrower, covering such matters incident to the transactions contemplated hereby as the
Administrative Agent may reasonably request, such opinion to be in form and substance satisfactory to the Administrative Agent. 
  

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 (g) Solvency Certificate. The Administrative Agent shall have received, in sufficient
quantities for the Lenders, a duly executed solvency certificate substantially in the form attached hereto as Exhibit D and such certificate shall be satisfactory in form and substance to each of the Lenders. 
  
 (h) Existing Credit Facilities. Contemporaneously with the
Closing Date, the Borrower shall have terminated the Existing Credit Facility and repaid all outstanding obligations thereunder. 
  
 (i) Proceedings and Documents. All corporate and other proceedings and all documents incidental to the transactions contemplated hereby
shall be satisfactory in substance and form to the Administrative Agent and the Lenders and the Administrative Agent and its special counsel and the Lenders shall have received all such counterpart originals or certified or other copies of such
documents as the Administrative Agent or its special counsel or any Lender may reasonably request. 
  
 (j) No Disruption of Financial and Capital Markets. There shall not have occurred and be continuing a material disruption of or
material adverse change in the financial, banking, or capital markets that would have an adverse effect on the syndication of credit facilities similar in nature to this Agreement, as determined by the Administrative Agent in its reasonable
discretion. 
  
 (k) Evidence of Insurance.
The Administrative Agent shall have received copies of certificates of insurance and other evidence, satisfactory to it, of compliance with the insurance requirements of this Agreement and the other Credit Documents. 
  
 (l) Search Reports. The Administrative Agent shall have
received completed search reports from one or more commercial search firms acceptable to the Administrative Agent, listing all of the effective financing statements filed against the Borrower and any of its Domestic Subsidiaries in any jurisdiction
in which the Borrower or any of its Domestic Subsidiaries is organized, maintains a chief executive office or in which any property is owned or leased by the Borrower or any of its Domestic Subsidiaries, together with copies of such financing
statements. 
  
 (m) Absence of Litigation. There
shall not be any action, suits or proceedings pending or threatened with respect to the Borrower or its Subsidiaries; (i) that have, or could reasonably be expected to have, a Material Adverse Effect; or (ii) that question the validity or
enforceability of any of the Credit Documents, or of any action to be taken by the Borrower pursuant to any of the Credit Documents. 
  
 (n) Due Diligence. The Administrative Agent shall be reasonably satisfied in all respects with the results of its due diligence
investigation of the Borrower and its Subsidiaries. 
  
 (o) Approvals, etc. The Administrative Agent shall have received evidence that all necessary consents, permits and approvals (governmental or otherwise) required for the execution, delivery and performance by each Credit Party
of the Credit Documents and the Related Transaction Documents have been duly obtained and are in full force and effect. 
  
 (p) Acquisition Documents. The transactions contemplated by the Purchase Agreement shall be consummated simultaneously with the
closing hereof, and the Administrative Agent shall have received certified copies of the Related Transaction Documents. 
  
 (q) Material Adverse Effect. As of the Closing Date, no condition or event shall have occurred since December 31, 2002 that has resulted in,
or could reasonably be expected to result in, a Material Adverse Effect. 
  
 (r) Minimum Availability. As of the Closing Date, the sum of the (i) aggregate outstanding principal amount of General Revolving Loans, plus (ii) the aggregate amount of Letter of
Credit 

  

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Outstandings, plus (iii) the aggregate outstanding principal amount of Swing Line Revolving Loans shall not exceed $111,000,000. 
  
 7.2. Conditions Precedent to All Loans. The obligation of the
Lenders to make each Loan is subject, at the time thereof, to the satisfaction of the following conditions: 
  
 (a) Notice of Borrowing, etc. The Administrative Agent shall have received a Notice of Borrowing meeting the requirements of section 2.3
with respect to the incurrence of Loans. 
  
 (b) No
Default; Representations and Warranties. At the time of such Loan and also after giving effect thereto: (i) there shall exist no Default or Event of Default; and (ii) all representations and warranties of the Borrower contained herein or in the
other Credit Documents shall be true and correct in all material respects with the same effect as though such representations and warranties had been made on and as of the date of such Loan, except to the extent that such representations and
warranties expressly relate to an earlier specified date, in which case such representations and warranties shall have been true and correct in all material respects as of the date when made. 
  
 The acceptance of the benefits of each Loan shall constitute a representation and warranty by
the Borrower to each of the Lenders that all of the applicable conditions specified in section 7.1 and/or 7.2, as the case may be, exist as of that time. All of the certificates, legal opinions and other documents and papers referred to in this
section 7, unless otherwise specified, shall be delivered to the Administrative Agent for the account of each of the Lenders and, except for the Notes, in sufficient counterparts for each of the Lenders, and the Administrative Agent will promptly
distribute to the Lenders their respective Notes and copies of such other certificates, legal opinions and documents. 
  
 SECTION 8. REPRESENTATIONS AND WARRANTIES. 
  
 In order to induce the Lenders to enter into this Agreement and to make the Loans provided for herein, the Borrower makes the following representations
and warranties to, and agreements with, the Lenders, all of which shall survive the execution and delivery of this Agreement and the making of each Loan: 
  
 8.1. Corporate Status, etc. Each of the Borrower and its Subsidiaries: (i) is a duly organized or formed and validly existing corporation,
partnership or limited liability company, as the case may be, in good standing under the laws of the jurisdiction of its formation and has the corporate, partnership or limited liability company power and authority, as applicable, to own its
property and assets and to transact the business in which it is engaged and presently proposes to engage; and (ii) has duly qualified and is authorized to do business in all jurisdictions where it is required to be so qualified except where the
failure to be so qualified would not have a Material Adverse Effect. 
  
 8.2. Subsidiaries. Annex II hereto lists, as of the date hereof, each Subsidiary of the Borrower and each other Credit Party (and the direct and indirect ownership interest of the Borrower or such other Credit Party, as
applicable, therein). 
  
 8.3. Corporate Power and
Authority, etc. Each Credit Party has the corporate power and authority to execute, deliver and carry out the terms and provisions of the Credit Documents to which it is party and has taken all necessary corporate action to authorize the
execution, delivery and performance of the Credit Documents to which it is party. Each Credit Party has duly executed and delivered each Credit Document to which it is party, and each Credit Document to which it is party constitutes the legal, valid
and binding agreement or obligation of each Credit Party enforceable in accordance with its terms, except to the extent that the enforceability thereof may be limited by applicable bankruptcy, insolvency, 

  

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reorganization, moratorium or other similar laws generally affecting creditors’ rights and by equitable principles (regardless of whether enforcement is
sought in equity or at law). 
  
 8.4. No Violation.
Neither the execution, delivery and performance by the Credit Parties of the Credit Documents to which each is party nor compliance with the terms and provisions thereof: (i) will contravene any provision of any law, statute, rule, regulation,
order, writ, injunction or decree of any court or governmental instrumentality applicable to such Credit Party or its properties and assets; (ii) will conflict with or result in any breach of, any of the terms, covenants, conditions or provisions
of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any Lien upon any of the property or assets of each Credit Party pursuant to the terms of any promissory note, bond, debenture,
indenture, mortgage, deed of trust, credit or loan agreement, or any other material agreement or other instrument, to which each Credit Party is a party or by which it or any of its property or assets are bound or to which it may be subject; or
(iii) will violate any provision of the articles of incorporation or bylaws of each Credit Party. 
  
 8.5. Governmental Approvals. No order, consent, approval, license, authorization, or validation of, or filing, recording or registration
with, or exemption by, any foreign or domestic governmental or public body or authority, or any subdivision thereof, is required to authorize or is required as a condition to: (i) the execution, delivery and performance by each Credit Party of any
Credit Document to which it is a party; or (ii) the legality, validity, binding effect or enforceability of any Credit Document to which each Credit Party is a party. 
  
 8.6. Litigation. There are no actions, suits or proceedings pending or, to, the knowledge of the Borrower,
threatened with respect to the Borrower or any of its Subsidiaries: (i) that have, or could reasonably be expected to have, a Material Adverse Effect; or (ii) that question the validity or enforceability of any of the Credit Documents, or of any
action to be taken by the Credit Parties pursuant to any of the Credit Documents to which each Credit Party is a party. 
  
 8.7. Use of Proceeds; Margin Regulations. (a) The proceeds of all Loans shall be utilized in order to refinance indebtedness of the
Borrower, consummate the Related Transactions, provide working capital and funds for capital expenditures and other general corporate purposes, consummate Permitted Acquisitions or obtain Letters of Credit as permitted hereunder. 
  
 (b) No part of the proceeds of any Loan will be used directly
or indirectly to purchase or carry Margin Stock, or to extend credit to others for the purpose of purchasing or carrying any Margin Stock, in violation of any of the provisions of Regulation T, U or X of the Board of Governors of the Federal Reserve
System. The Borrower is not engaged in the business of extending credit for the purpose of purchasing or carrying any Margin Stock. At no time would more than 25% of the value of the assets of the Borrower or of the Borrower and its consolidated
Subsidiaries that are subject to any “arrangement” (as such term is used in section 221.2(g) of such Regulation U) hereunder be represented by Margin Stock. 
  
 8.8. Financial Statements, etc. (a) The Borrower has furnished to the Lenders and the Administrative
Agent complete and correct copies of (i) the audited consolidated balance sheets of the Borrower and its consolidated subsidiaries as of the end of its fiscal year ended on or nearest to December 31, 2002, and the related audited consolidated
statements of income, stockholders’ equity, and cash flows for the fiscal year then ended, accompanied by the unqualified report thereon of the Borrower’s independent accountants; (ii) the unaudited condensed consolidated balance sheets of
the Borrower and its consolidated subsidiaries as of September 30, 2003 and the related unaudited condensed consolidated statements of income and of cash flows of the Borrower and its consolidated subsidiaries for the fiscal quarter or quarters then
ended, as contained in the Form 10-Q Quarterly Report of the Borrower filed with the SEC for such fiscal quarter; and (iii) the unaudited condensed consolidated balance sheets of the 

  

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Borrower and its consolidated subsidiaries as of December 31, 2003 and the related unaudited condensed consolidated statements of income and of cash flows of
the Borrower and its consolidated subsidiaries for the fiscal year then ended. All such financial statements have been prepared in accordance with GAAP, consistently applied (except as stated therein), and fairly present the financial position of
the Borrower and its consolidated subsidiaries as of the respective dates indicated and the consolidated results of their operations and cash flows for the respective periods indicated, subject in the case of any such financial statements that are
unaudited, to normal audit adjustments, none of which will involve a Material Adverse Effect. 
  
 (b) The Borrower has delivered or caused to be delivered to the Lenders prior to the execution and delivery of this Agreement: (i) a copy of the Borrower’s Report on Form 10-K as filed (without
Exhibits) with the SEC for its fiscal year ended on or nearest to December 31, 2002, that contains a general description of the business and affairs of the Borrower and its Subsidiaries; and (ii) financial projections prepared by management of the
Borrower for the Borrower and its Subsidiaries for the fiscal years 2004-2006 (the “Financial Projections”). The Financial Projections were prepared on behalf of the Borrower in good faith after taking into account the
existing and historical levels of business activity of the Borrower and its Subsidiaries, known trends, including general economic trends, and all other information, assumptions and estimates considered by management of the Borrower and its
Subsidiaries to be pertinent thereto. The Financial Projections were considered by management of the Borrower, as of such date of preparation, to be realistically achievable; provided, that no representation or warranty is made as to
the impact of future general economic conditions or as to whether the Borrower’s projected consolidated results as set forth in the Financial Projections will actually be realized. No facts are known to the Borrower at the date hereof that, if
reflected in the Financial Projections, would result in a material adverse change in the assets, liabilities, results of operations or cash flows reflected therein. 
  
 8.9. No Material Adverse Change. Except as reflected in the financial statements delivered pursuant to section
8.8(a) hereof, since December 31, 2002, there has been no change in the condition, business or affairs of the Borrower and its Subsidiaries taken as a whole, or their properties and assets considered as an entirety, except for changes, none of
which, individually or in the aggregate, has had or could reasonably be expected to have, a Material Adverse Effect. 
  
 8.10. Tax Returns and Payments. Each of the Borrower and each of its Subsidiaries has filed all federal income tax returns and all other
material tax returns, domestic and foreign, required to be filed by it and has paid all material taxes and assessments payable by it that have become due, other than those not yet delinquent and except for those contested in good faith. The Borrower
and each of its Subsidiaries has established on its books such charges, accruals and reserves in respect of taxes, assessments, fees and other governmental charges for all fiscal periods as are required by GAAP. The Borrower knows of no proposed
assessment for additional federal, foreign or state taxes for any period, or of any basis therefor, that, individually or in the aggregate, taking into account such charges, accruals and reserves in respect thereof as the Borrower and its
Subsidiaries have made, could reasonably be expected to have a Material Adverse Effect. 
  
 8.11. Title to Properties, etc. The Borrower and each of its Subsidiaries has good and marketable title, in the case of real property, and good title (or valid Leaseholds, in the case of any leased
property), in the case of all other property, to all of its properties and assets free and clear of Liens other than Liens permitted by section 10.3. The interests of the Borrower and each of its Subsidiaries in the properties reflected in the most
recent balance sheet referred to in section 8.8, taken as a whole, were sufficient, in the judgment of the Borrower, as of the date of such balance sheet for purposes of the ownership and operation of the businesses conducted by the Borrower and
such Subsidiaries. 
  
 8.12. Lawful Operations, etc.
The Borrower and each of its Subsidiaries: (i) holds all necessary federal, state and local governmental licenses, registrations, certifications, permits and 

  

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authorizations necessary to conduct its business; and (ii) is in full compliance with all material requirements imposed by law, regulation or rule, whether
federal, state or local, that are applicable to it, its operations, or its properties and assets, including without limitation, applicable requirements of Environmental Laws, except for any failure to obtain and maintain in effect, or
noncompliance, that, individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect. 
  
 8.13. Environmental Matters. Except as set forth on Annex XI hereto: 
  
 (a) The Borrower and each of its Subsidiaries is in compliance with all Environmental Laws governing its
business, except to the extent that any such failure to comply (together with any resulting penalties, fines or forfeitures) would not reasonably be expected to have a Material Adverse Effect. All licenses, permits, registrations or
approvals required for the conduct of the business of the Borrower and each of its Subsidiaries under any Environmental Law have been secured and the Borrower and each of its Subsidiaries is in substantial compliance therewith, except
for such licenses, permits, registrations or approvals the failure to secure or to comply therewith is not reasonably likely to have a Material Adverse Effect. Neither the Borrower nor any of its Subsidiaries has received written notice, or
otherwise knows, that it is in any respect in noncompliance with, breach of or default under any applicable writ, order, judgment, injunction, or decree to which the Borrower or such Subsidiary is a party or that would affect the ability of the
Borrower or such Subsidiary to operate any Real Property and no event has occurred and is continuing that, with the passage of time or the giving of notice or both, would constitute noncompliance, breach of or default thereunder,
except in each such case, such noncompliance, breaches or defaults as would not reasonably be expected to, in the aggregate, have a Material Adverse Effect. There are no Environmental Claims pending or, to the best knowledge of the
Borrower, threatened wherein an unfavorable decision, ruling or finding would reasonably be expected to have a Material Adverse Effect. There are no facts, circumstances, conditions or occurrences on any Real Property now or at any time owned,
leased or operated by the Borrower or any of its Subsidiaries or on any property adjacent to any such Real Property, that are known by the Borrower or as to which the Borrower or any such Subsidiary has received written notice, that could reasonably
be expected: (i) to form the basis of an Environmental Claim against the Borrower or any of its Subsidiaries or any Real Property of the Borrower or any of its Subsidiaries; or (ii) to cause such Real Property to be subject to any restrictions on
the ownership, occupancy, use or transferability of such Real Property under any Environmental Law, except in each such case, such Environmental Claims or restrictions that individually or in the aggregate would not reasonably be expected to have a
Material Adverse Effect. 
  
 (b) Hazardous Materials
have not at any time been: (i) generated, used, treated or stored on, or transported to or from, any Real Property of the Borrower or any of its Subsidiaries; or (ii) released on any such Real Property, in each case where such occurrence or event is
not in compliance with Environmental Laws and is reasonably likely to have a Material Adverse Effect. 
  
 8.14. Compliance with ERISA. Compliance by the Borrower with the provisions hereof and Loans contemplated hereby will not involve any
prohibited transaction within the meaning of ERISA or section 4975 of the Code. The Borrower and each of its Subsidiaries: (i) has fulfilled all obligations under minimum funding standards of ERISA and the Code with respect to each Plan that is not
a Multiemployer Plan or a Multiple Employer Plan; (ii) has satisfied all respective contribution obligations in respect of each Multiemployer Plan and each Multiple Employer Plan; (iii) is in compliance in all material respects with all other
applicable provisions of ERISA and the Code with respect to each Plan, each Multiemployer Plan and each Multiple Employer Plan; and (iv) has not incurred any liability under the Title IV of ERISA to the PBGC with respect to any Plan, any
Multiemployer Plan, any Multiple Employer Plan, or any trust established thereunder, except for PBGC premiums in the ordinary course. No Plan or trust created thereunder has been terminated, and there have been no Reportable Events, with respect to
any Plan or trust created thereunder or with respect to any Multiple Employer Plan, which termination or Reportable Event will or could result in the termination of such Plan or Multiple Employer 

  

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Plan and give rise to a material liability of the Borrower or any ERISA Affiliate in respect thereof. Neither the Borrower nor any ERISA Affiliate is at the
date hereof, or has been at any time within the two years preceding the date hereof, an employer required to contribute to any Multiemployer Plan or Multiple Employer Plan, or a “contributing sponsor” (as such term is defined in section
4001 of ERISA) in any Multiemployer Plan or Multiple Employer Plan. Neither the Borrower nor any ERISA Affiliate has any contingent liability with respect to any post-retirement “welfare benefit plan” (as such term is defined in ERISA)
except as disclosed on Annex IX hereto. 
  
 8.15.
Intellectual Property, etc. The Borrower and each of its Subsidiaries has obtained or has the right to use all material patents, trademarks, servicemarks, trade names, copyrights, licenses and other rights with respect to the foregoing necessary
for the present and planned future conduct of its business, without any known conflict with the rights of others, except for such patents, trademarks, servicemarks, trade names, copyrights, licenses and rights, the loss of which, and
such conflicts, that in any such case individually or in the aggregate would not reasonably be expected to have a Material Adverse Effect. 
  
 8.16. Investment Company Act, etc. Neither the Borrower nor any of its Subsidiaries is subject to regulation with respect to the creation or
incurrence of Indebtedness under the Investment Company Act of 1940, as amended, the Interstate Commerce Act, as amended, the Federal Power Act, as amended, the Public Utility Holding Company Act of 1935, as amended, or any applicable state public
utility law. 
  
 8.17. Burdensome Contracts; Labor
Relations. Neither the Borrower nor any of its Subsidiaries: (i) is subject to any burdensome contract, agreement, corporate restriction, judgment, decree or order; (ii) is a party to any labor dispute affecting any bargaining unit or other
group of employees generally; (iii) is subject to any material strike, slow down, workout or other concerted interruptions of operations by employees of the Borrower or any Subsidiary, whether or not relating to any labor contracts; (iv) is subject
to any significant pending or, to the knowledge of the Borrower, threatened, unfair labor practice complaint, before the National Labor Relations Board; and (v) is subject to any significant pending or, to the knowledge of the Borrower, threatened,
grievance or significant arbitration proceeding arising out of or under any collective bargaining agreement; (vi) is subject to any significant pending or, to the knowledge of the Borrower, threatened, significant strike, labor dispute, slowdown or
stoppage; or (vii) is, to the knowledge of the Borrower, involved or subject to any union representation organizing or certification matter with respect to the employees of the Borrower or any of its Subsidiaries, except (with respect
to any matter specified in any of the above clauses), for such matters as, individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect. 
  
 8.18. Existing Indebtedness. Annex III sets forth a true and complete list, as of the date or dates set forth
therein, of all Indebtedness of the Borrower and each of its Subsidiaries, on a consolidated basis, that: (i) has an outstanding principal amount of at least $1,000,000, or may be incurred pursuant to existing commitments or lines of credit; or (ii)
is secured by any Lien on any property of the Borrower or any Subsidiary, and that will be outstanding on the Closing Date after giving effect to the initial Borrowing hereunder, other than the Indebtedness created under the Credit Documents (all
such Indebtedness, whether or not in a principal amount meeting such threshold and required to be so listed on Annex III, herein the “Existing Indebtedness”). As and to the extent the Administrative Agent has so requested,
the Borrower has provided to the Administrative Agent prior to the date of execution hereof true and complete copies (or summary descriptions) of all agreements and instruments governing the Indebtedness listed on Annex III (the “Existing
Indebtedness Agreements”). 
  
 8.19. True
and Complete Disclosure. All factual information (taken as a whole) heretofore or contemporaneously furnished by or on behalf of the Borrower or any of its Subsidiaries in writing to the Administrative Agent or any Lender for purposes of or in
connection with this Agreement or any 

  

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transaction contemplated herein, other than the Financial Projections (as to which representations are made only as provided in section 8.8), is, and all
other such factual information (taken as a whole) hereafter furnished by or on behalf of such person in writing to any Lender will be, true and accurate in all material respects on the date as of which such information is dated or certified and not
incomplete by omitting to state any material fact necessary to make such information (taken as a whole) not misleading at such time in light of the circumstances under which such information was provided, except that any such future information
consisting of financial projections prepared by management of the Borrower is only represented herein as being based on good faith estimates and assumptions believed by such persons to be reasonable at the time made, it being recognized by the
Lenders that such projections as to future events are not to be viewed as facts and that actual results during the period or periods covered by any such projections may differ materially from the projected results. As of the Effective Date, there is
no fact known to the Borrower or any of its Subsidiaries that has, or could reasonably be expected to have, a Material Adverse Effect that has not theretofore been disclosed in writing to the Lenders. 
  
 8.20. Insurance. The Borrower and each of its Subsidiaries
maintains insurance coverage by such insurers and in such forms and amounts and against such risks as are generally consistent with industry standards. 
  
 SECTION 9. AFFIRMATIVE COVENANTS. 
  
 The Borrower hereby covenants and agrees that so long as this Agreement is in effect and until such time as the Total Commitment has been terminated, no
Notes are outstanding and the Loans, together with interest, Fees and all other Obligations hereunder, have been paid in full: 
  
 9.1. Reporting Requirements. The Borrower will furnish to each Lender and the Administrative Agent: 
  
 (a) Annual Financial Statements. As soon as available and in
any event within 90 days after the close of each fiscal year of the Borrower, a Form 10-K, including the consolidated and consolidating balance sheets of the Borrower and its consolidated Subsidiaries as at the end of such fiscal year and the
related consolidated statements of income, of stockholder’s equity and of cash flows for such fiscal year, in each case setting forth comparative figures for the preceding fiscal year, all in reasonable detail and accompanied by the opinion
with respect to such consolidated financial statements of independent public accountants of recognized national standing selected by the Borrower, which opinion shall be unqualified and shall: (i) state that such accountants audited such
consolidated financial statements in accordance with generally accepted auditing standards, that such accountants believe that such audit provides a reasonable basis for their opinion, and that in their opinion such consolidated financial statements
present fairly, in all material respects, the consolidated financial position of the Borrower and its consolidated subsidiaries as at the end of such fiscal year and the consolidated results of their operations and cash flows for such fiscal year in
conformity with generally accepted accounting principles; or (ii) contain such statements as are customarily included in unqualified reports of independent accountants in conformity with the recommendations and requirements of the American Institute
of Certified Public Accountants (or any successor organization); provided, that the delivery to the SEC within the time period specified above of the Borrower’s Annual Report on Form 10-K for such fiscal year (together with the
Borrower’s annual report to shareholders, if any, prepared pursuant to Rule 14a-3 under the 1934 Act) prepared in accordance with the requirements therefor and filed with the SEC shall be deemed to satisfy the requirements of this section
9.1(a) so long as a copy thereof is forwarded to the Administrative Agent by the Borrower promptly upon completion. 
  
 (b) Quarterly Financial Statements. For the first three quarters of each fiscal year, as soon as available and in any event within 45 days
after the close of each of the applicable quarterly accounting periods in each fiscal year of the Borrower, a Form 10-Q, together with the unaudited consolidated and 

  

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consolidating balance sheets of the Borrower and its consolidated Subsidiaries as at the end of such quarterly period and the related unaudited condensed
consolidated statements of income and of cash flows for such quarterly period, and setting forth, in the case of such unaudited consolidated statements of income and of cash flows, comparative figures for the related periods in the prior fiscal
year; provided, that the delivery to the SEC within the time period specified above of the Borrower’s 10-Q for such fiscal quarter prepared in accordance with the requirements therefor and filed with the SEC shall be deemed to
satisfy the requirements of this section 9.1(b) so long as a copy thereof is forwarded to the Administrative Agent by the Borrower promptly upon completion. 
  
 (c) Officer’s Compliance Certificates. At the time of the delivery of the financial statements provided for in sections 9.1(a) and (b),
a certificate on behalf of the Borrower of the Chief Financial Officer, Chief Executive Officer or President of the Borrower to the effect that, to the best knowledge of the Borrower, no Default or Event of Default exists or, if any Default or Event
of Default does exist, specifying the nature and extent thereof, which certificate shall set forth the calculations required to establish compliance with the provisions of sections 10.4(c), 10.5 and 10.6 through 10.10, inclusive of this Agreement,
including an identification of the amounts of any financial items of persons or business units acquired by the Borrower for any periods prior to the date of acquisition that are used in making such calculations. 
  
 (d) Budgets and Forecasts. Not later than 45 days after the
commencement of each fiscal year of the Borrower, a consolidated budget in reasonable detail for such entire fiscal year and for each of the fiscal quarters in such fiscal year, and (if and to the extent prepared by management of the Borrower) for
any subsequent fiscal years, as customarily prepared by management for its internal use, setting forth, with appropriate discussion, the forecasted balance sheet, income statement, operating cash flows and capital expenditures of the Borrower and
its Subsidiaries for the period or periods covered thereby, and the principal assumptions upon which forecasts and budget are based. 
  
 (e) Auditors’ Internal Control Comment Letters, etc. Promptly upon receipt thereof, notice to the Administrative Agent thereof, and
upon request by the Administrative Agent, a copy of each letter or memorandum commenting on internal accounting controls and/or accounting or financial reporting policies followed by the Borrower and/or any of its Subsidiaries, that is submitted to
the Borrower by its independent accountants in connection with any annual or interim audit made by them of the books of the Borrower or any of its Subsidiaries. 
  

(f) Notice of Default or Litigation. Promptly, and in any event within three Business Days, in the case of clause (i) below, or five
Business Days, in the case of clause (ii) below, after the Borrower or any of its Subsidiaries obtains knowledge thereof, notice of: 
  
 (i) the occurrence of any event that constitutes a Default or Event of Default, which notice shall specify the nature thereof, the period
of existence thereof and what action the Borrower proposes to take with respect thereto; and 
  
 (ii) any litigation or governmental or regulatory investigation or proceeding pending against or involving the Borrower or any of its
Subsidiaries that could reasonably be expected to have a Material Adverse Effect. 
  
 (g) ERISA. Promptly, and in any event within 10 days after the Borrower, any Subsidiary of the Borrower or any ERISA Affiliate knows of the occurrence of any of the following, the Borrower will deliver
to each of the Lenders a certificate on behalf of the Borrower of an Authorized Officer of the Borrower setting forth the full details as to such occurrence and the action, if any, that the Borrower, such Subsidiary or such ERISA Affiliate is
required or proposes to take, together with any notices required or 

  

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proposed to be given to or filed with or by the Borrower, the Subsidiary, the ERISA Affiliate, the PBGC, a Plan participant or the Plan administrator with
respect thereto: 
  
 (i) that a Reportable Event
has occurred with respect to any Plan; 
  
 (ii)
the institution of any steps by the Borrower, any ERISA Affiliate, the PBGC or any other person to terminate any Plan; 
  
 (iii) the institution of any steps by the Borrower or any ERISA Affiliate to withdraw from any Plan; 
  
 (iv) the institution of any steps by the Borrower or any
Subsidiary to withdraw from any Multiemployer Plan or Multiple Employer Plan, if such withdrawal could result in withdrawal liability (as described in Part 1 of Subtitle E of Title IV of ERISA) in excess of $5,000,000; 
  
 (v) a non-exempt “prohibited transaction” within
the meaning of section 406 of ERISA in connection with any Plan; 
  
 (vi) that a Plan has an Unfunded Current Liability exceeding $40,000,000; 
  
 (vii) any material increase in the contingent liability of the Borrower or any Subsidiary with respect to any post-retirement welfare
liability; or 
  
 (viii) the taking of any action
by, or the threatening of the taking of any action by, the Internal Revenue Service, the Department of Labor or the PBGC with respect to any of the foregoing. 
  

(h) Environmental Matters. Promptly upon, and in any event within 10 Business Days after, an officer of the Borrower obtains actual
knowledge thereof, notice of any of the following environmental matters that involves any reasonable likelihood (in the Borrower’s reasonable judgment) of resulting in a Material Adverse Effect: (i) any pending or threatened (in writing)
Environmental Claim against the Borrower or any of its Subsidiaries or any Real Property owned or operated by the Borrower or any of its Subsidiaries; (ii) any condition or occurrence on or arising from any Real Property owned or operated by the
Borrower or any of its Subsidiaries that (A) results in noncompliance by the Borrower or any of its Subsidiaries with any applicable Environmental Law or (B) would reasonably be expected to form the basis of an Environmental Claim against the
Borrower or any of its Subsidiaries or any such Real Property; (iii) any condition or occurrence on any Real Property owned, leased or operated by the Borrower or any of its Subsidiaries that could reasonably be expected to cause such Real Property
to be subject to any restrictions on the ownership, occupancy, use or transferability by the Borrower or any of its Subsidiaries of such Real Property under any Environmental Law; and (iv) the taking of any removal or remedial action in response to
the actual or alleged presence of any Hazardous Material on any Real Property owned, leased or operated by the Borrower or any of its Subsidiaries as required by any Environmental Law or any governmental or other administrative agency. All such
notices shall describe in reasonable detail the nature of the Environmental Claim and the Borrower’s or such Subsidiary’s response thereto. 
  
 (i) SEC Reports and Registration Statements. Promptly upon transmission thereof or other filing with the SEC, copies of all registration
statements (other than the exhibits thereto and any registration statement on Form S-8 or its equivalent) and annual, quarterly or current reports that the Borrower or any of its Subsidiaries files with the SEC. 
  

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 (j) Other Information. With reasonable promptness, such other information or documents
(financial or otherwise) relating to the Borrower or any of its Subsidiaries as any Lender may reasonably request from time to time. 
  
 9.2. Books, Records and Inspections. The Borrower will, and will cause each of its Subsidiaries to: (i) keep proper books of record and
account, in which full and correct entries shall be made of all financial transactions and the assets and business of the Borrower or such Subsidiaries, as the case may be, in accordance with GAAP, in the case of the Borrower, or that are
reconcilable to a GAAP presentation, in the case of any Subsidiary; and (ii) permit, upon at least five Business Days’ notice to the Chief Financial Officer or any other Authorized Officer of the Borrower, officers and designated
representatives of the Administrative Agent or any of the Lenders to visit and inspect any of the properties or assets of the Borrower and any of its Subsidiaries in whomsoever’s possession (but only to the extent the Borrower or such
Subsidiary has the right to do so to the extent in the possession of another person), and to examine (and make copies of or take extracts from) the books of account of the Borrower and any of its Subsidiaries and discuss the affairs, finances and
accounts of the Borrower and of any of its Subsidiaries with, and be advised as to the same by, its and their officers and independent accountants and independent actuaries, if any, all at such reasonable times and intervals and to such reasonable
extent as the Administrative Agent or any of the Lenders may request. 
  
 9.3. Insurance. The Borrower will, and will cause each of its Subsidiaries to: (i) maintain insurance coverage by such insurers and in such forms and amounts and against such risks as are generally consistent with the
insurance coverage maintained by the Borrower and its Subsidiaries at the date hereof and as may be required pursuant to the terms of any other Credit Document; and (ii) forthwith upon any Lender’s written request, furnish to such Lender such
information about such insurance as such Lender may from time to time reasonably request, which information shall be prepared in form and detail satisfactory to such Lender and certified by an Authorized Officer of the Borrower. 
  
 9.4. Payment of Taxes and Claims. The Borrower will pay and
discharge, and will cause each of its Subsidiaries to pay and discharge, all taxes, assessments and governmental charges or levies imposed upon it or upon its income or profits, or upon any properties belonging to it, prior to the date on which
penalties attach thereto, and all lawful claims that, if unpaid, might become a Lien or charge upon any properties of the Borrower or any of its Subsidiaries; provided that neither the Borrower nor any of its Subsidiaries shall be
required to pay any such tax, assessment, charge, levy or claim that is being contested in good faith and by proper proceedings if it has maintained adequate reserves with respect thereto in accordance with GAAP; and provided, further,
that the Borrower will not be considered to be in default of any of the provisions of this sentence if the Borrower or any Subsidiary fails to pay any such amount that, individually or in the aggregate, is immaterial to the Borrower and its
Subsidiaries considered as an entirety. 
  
 9.5.
Corporate Franchises. The Borrower will do, and will cause each of its Subsidiaries to do, or cause to be done, all things necessary to preserve and keep in full force and effect its corporate or other organizational existence, rights, authority
and franchises, provided that nothing in this section 9.5 shall be deemed to prohibit: (i) any transaction permitted by section 10.2; (ii) the termination of existence of any Subsidiary if (A) the Borrower determines that such
termination is in its best interest and (B) such termination is not adverse in any material respect to the Lenders; or (iii) the loss of any rights, authorities or franchises if the loss thereof, in the aggregate, could not reasonably be expected to
have a Material Adverse Effect. 
  
 9.6. Good Repair.
The Borrower will, and will cause each of its Subsidiaries to, ensure that its material properties and equipment used or useful in its business in whomsoever’s possession they may be, are kept in good repair, working order and condition,
normal wear and tear excepted, and that from time to time there are made in such properties and equipment all needful and proper repairs, renewals, 

  

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replacements, extensions, additions, betterments and improvements, thereto, to the extent and in the manner customary for companies in similar businesses.

  
 9.7. Compliance with Statutes, etc. The Borrower
will, and will cause each of its Subsidiaries to, comply, in all material respects, with all applicable statutes, regulations and orders of, and all applicable restrictions imposed by, all governmental bodies, domestic or foreign, in respect of the
conduct of its business and the ownership of its property, other than those: (i) being contested in good faith by appropriate proceedings, as to which adequate reserves are established to the extent required under GAAP; and (ii) the noncompliance
with which would not have, and that would not be reasonably expected to have, a Material Adverse Effect. 
  
 9.8. Compliance with Environmental Laws. Without limitation of the covenants contained in section 9.7 hereof: 
  
 (a) The Borrower will, and will cause each of its Subsidiaries
to: (i) comply, in all material respects, with all Environmental Laws applicable to the ownership, lease or use of all Real Property now or hereafter owned, leased or operated by the Borrower or any of its Subsidiaries, and promptly pay or cause to
be paid all costs and expenses incurred in connection with such compliance, except for such noncompliance as would not have, and that would not be reasonably expected to have, a Material Adverse Effect; and (ii) keep or cause to be kept all such
Real Property free and clear of any Liens imposed pursuant to such Environmental Laws that are not permitted under section 10.3. 
  
 (b) Without limitation of the foregoing, if the Borrower or any of its Subsidiaries shall generate, use, treat, store, release or dispose
of, or permit the generation, use, treatment, storage, release or disposal of, Hazardous Materials on any Real Property now or hereafter owned, leased or operated by the Borrower or any of its Subsidiaries, or transport or permit the transportation
of Hazardous Materials to or from any such Real Property, any such action shall be effected only in the ordinary course of business and in any event in compliance, in all material respects, with all Environmental Laws applicable thereto, except for
such noncompliance as would not have, and that would not be reasonably expected to have, a Material Adverse Effect. 
  
 (c) If required to do so under any applicable order of any governmental agency, the Borrower will undertake, and cause each of its
Subsidiaries to undertake, any clean up, removal, remedial or other action necessary to remove and clean up any Hazardous Materials from any Real Property owned, leased or operated by the Borrower or any of its Subsidiaries in accordance with, in
all material respects, the requirements of all applicable Environmental Laws and in accordance with, in all material respects, such orders of all governmental authorities, except. (i) to the extent that the Borrower or such Subsidiary
is contesting such order in good faith and by appropriate proceedings and for which adequate reserves have been established to the extent required by GAAP; or (ii) for such noncompliance as would not have, and that would not be reasonably expected
to have, a Material Adverse Effect. 
  
 9.9. Fiscal
Years, Fiscal Quarters. If the Borrower shall change any of its or any of its Subsidiaries’ fiscal years or fiscal quarters (other than the fiscal year or fiscal quarters of a person that becomes a Subsidiary, made at the time such person
becomes a Subsidiary to conform to the Borrower’s fiscal year and fiscal quarters), the Borrower will promptly, and in any event within 30 days following any such change, deliver a notice to the Administrative Agent and the Lenders describing
such change and any material accounting entries made in connection therewith and stating whether such change will have any impact upon any financial computations to be made hereunder, and if any such impact is foreseen, describing in reasonable
detail the nature and extent of such impact. If the Required Lenders determine that any such change will have any impact upon any financial computations to be made hereunder that is adverse to the Lenders, the Borrower will, if so requested by the
Administrative Agent, enter into an amendment to this Agreement, in form and substance reasonably satisfactory to the 

  

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Administrative Agent and the Required Lenders, modifying any of the financial covenants or related provisions hereof in such manner as the Required Lenders
determine is necessary to eliminate such adverse effect. 
  
 9.10. Hedge Agreements, etc. In the event the Borrower or any of its Subsidiaries determines to enter into a Hedge Agreement it may do so with any Non-Defaulting Lender or any other institution reasonably acceptable to the
Administrative Agent, provided that the purpose of such Hedge Agreement is to provide protection to the Borrower or any such Subsidiary from fluctuations and other changes in interest rates and currency exchange rates, as and to the
extent considered reasonably necessary by the Borrower, but without exposing the Borrower or its Subsidiaries to predominantly speculative risks unrelated to the amount of assets, Indebtedness or other liabilities intended to be subject to coverage
on a notional basis under all such Hedge Agreements. 
  
 9.11. Most Favored Covenant Status. Should the Borrower at any time after the Effective Date, issue or guarantee any unsecured Indebtedness denominated in U.S. dollars for money borrowed or represented by bonds, notes,
debentures or similar securities in an aggregate amount exceeding $2,500,000, to any lender or group of lenders acting in concert with one another, or one or more institutional investors, pursuant to a loan agreement, credit agreement, note purchase
agreement, indenture, guaranty or other similar instrument, which agreement, indenture, guaranty or instrument, includes affirmative or negative business or financial covenants (or any events of default or other type of restriction that would have
the practical effect of any affirmative or negative business or financial covenant, including, without limitation, any “put” or mandatory prepayment of such Indebtedness upon the occurrence of a “change of control”) that are
applicable to the Borrower, other than those set forth herein or in any of the other Credit Documents, the Borrower shall promptly so notify the Administrative Agent and the Lenders and, if the Administrative Agent shall so request by written notice
to the Borrower (after a determination has been made by the Required Lenders that any of the above-referenced documents or instruments contain any such provisions, that either individually or in the aggregate, are more favorable to the holders of
such unsecured Indebtedness than any of the provisions set forth herein), the Borrower, the Administrative Agent and the Lenders shall promptly amend this Agreement to incorporate some or all of such provisions, in the discretion of the
Administrative Agent and the Required Lenders, into this Agreement and, to the extent necessary and reasonably desirable to the Administrative Agent and the Required Lenders, into any of the other Credit Documents, all at the election of the
Administrative Agent and the Required Lenders. Except with respect to those documents set forth on Annex X hereto, the Borrower covenants and agrees that no later than 30 days after the date hereof, the Borrower shall have caused any document
relating to any Indebtedness that would violate the provisions of this section 9.11 to be: (a) amended so that such document no longer violates the provisions of this section 9.11, provided that any such amendment shall be reasonably
satisfactory to the Administrative Agent; or (b) terminated. 
  
 9.12. Senior Debt. The Borrower will at all times ensure that: (a) the claims of the Lenders in respect of the Obligations of the Credit Parties will not be subordinate to, and will in all respects at least rank pari
passu with, the claims of every other senior unsecured creditor of the Credit Parties; and (b) any Indebtedness subordinated in any manner to the claims of any other senior unsecured creditor of the Credit Parties will be subordinated in
like manner to such claims of the Lenders. 
  
 9.13. Certain
Subsidiaries to Join in Subsidiary Guaranty. (a) In the event that at any time after the Closing Date 
  
 (x) the Borrower has any Subsidiary (other than a Subsidiary that is a Non-Material Subsidiary and other than a Foreign Subsidiary as to
which section 9.13(b) applies) that is not a party to the Subsidiary Guaranty, or 
  

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 (y) an Event of Default shall have occurred and be continuing and the Borrower has any
Subsidiary that is not a party to the Subsidiary Guaranty, 
  
 the Borrower will
notify the Administrative Agent in writing of such event, identifying the Subsidiary in question and referring specifically to the rights of the Administrative Agent and the Lenders under this section. The Borrower will, within 30 days following
request therefor from the Administrative Agent (who may give such request on its own initiative or upon request by the Required Lenders), cause such Subsidiary to deliver to the Administrative Agent, in sufficient quantities for the Lenders, (i) a
joinder supplement, reasonably satisfactory in form and substance to the Administrative Agent and the Required Lenders, duly executed by such Subsidiary, pursuant to which such Subsidiary joins in the Subsidiary Guaranty as a guarantor thereunder,
and (ii) resolutions of the Board of Directors (or similar governing body) of such Subsidiary, certified by the Secretary or an Assistant Secretary of such Subsidiary as duly adopted and in full force and effect, authorizing the execution and
delivery of such joinder supplement, or if such Subsidiary is not a corporation, such other evidence of the authority of such Subsidiary to execute such joinder supplement as the Administrative Agent may reasonably request. 
  
 (b) Notwithstanding the foregoing provisions of this section
9.13 or the provisions of any other Credit Document, the Borrower shall not, unless an Event of Default shall have occurred and be continuing, be required to cause a Foreign Subsidiary to join in the Subsidiary Guaranty or to become a party to any
other Credit Document. 
  
 SECTION 10. NEGATIVE COVENANTS.

  
 The Borrower hereby covenants and agrees that on the Effective
Date and thereafter for so long as this Agreement is in effect and until such time as the Total Commitment has been terminated, no Notes remain outstanding and the Loans, together with interest, Fees and all other Obligations incurred hereunder,
have been paid in full: 
  
 10.1. Changes in
Business. Neither the Borrower nor any of its Subsidiaries will engage in any business if, as a result, the general nature of the business, taken on a consolidated basis, that would then be engaged in by the Borrower and its Subsidiaries, would
be substantially changed from the business engaged in by the Borrower and its Subsidiaries on the date hereof. 
  
 10.2. Consolidation, Merger, Acquisitions, Asset Sales, etc. Each of the Borrower and each other Credit Party will not, and will not permit
any Subsidiary to, (1) wind up, liquidate or dissolve its affairs, (2) enter into any transaction of merger or consolidation, (3) make or otherwise effect any Acquisition (other than the Related Transactions), (4) sell or otherwise dispose of any of
its property or assets outside the ordinary course of business, or otherwise make or otherwise effect any Asset Sale, or (5) agree to do any of the foregoing at any future time, except that the following shall be permitted: 

 
 (a) Certain Intercompany Mergers, etc. If no Default or
Event of Default shall have occurred and be continuing or would result therefrom: 
  
 (i) the merger, consolidation or amalgamation of any Subsidiary of the Borrower with or into the Borrower, provided the
Borrower is the surviving or continuing or resulting corporation; 
  
 (ii) the merger, consolidation or amalgamation of any Subsidiary of the Borrower with or into another Subsidiary of the Borrower, provided that the surviving or continuing or resulting corporation is a
Wholly-Owned Subsidiary of the Borrower and provided, further, that a party to such merger, consolidation or amalgamation is a Subsidiary Guarantor, the surviving or continuing or resulting corporation is a Subsidiary
Guarantor; 
  

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 (iii) the liquidation, winding up or dissolution of any Subsidiary of the Borrower; and

  
 (iv) the transfer or other disposition of any
property by the Borrower to any Wholly-Owned Subsidiary or by any Subsidiary to the Borrower or any other Wholly-Owned Subsidiary of the Borrower; 
  
 shall each be permitted, if after giving effect thereto at least 60% of the Consolidated Total Assets (exclusive of intercompany items) of the Borrower
are owned directly by the Borrower and the other Credit Parties and not indirectly through Subsidiaries that are not Credit Parties. 
  
 (b) Other Mergers, etc. Involving the Credit Parties. Any Credit Party may consolidate or merge with any other corporation, or sell,
transfer or otherwise dispose of all or substantially all of the property and assets of such Credit Party to any person, if : (i) the surviving, continuing or resulting corporation of such merger or consolidation (if other than such Credit Party) or
the acquiring person unconditionally assumes the obligations of such Credit Party under the Credit Documents pursuant to an assumption agreement in form and substance reasonably satisfactory to the Required Lenders; (ii) no Event of Default has
occurred and is continuing or would result therefrom; (iii) no Change of Control would be occasioned thereby; and (iv) if any such merger or consolidation is entered into for the purpose of effecting an Acquisition, such Acquisition is permitted by
section 10.2(c). 
  
 (c) Acquisitions. If no Default
or Event of Default shall have occurred and be continuing or would result therefrom, the Borrower or any Subsidiary may make any Acquisition that is a Permitted Acquisition, provided that all of the conditions contained in the
definition of the term Permitted Acquisition are satisfied. 
  
 (d) Permitted Dispositions. If no Default or Event of Default shall have occurred and be continuing or would result therefrom, the Borrower or any of its Subsidiaries may: (i) consummate any Permitted Disposition; (ii) sell
any property, land or building (including any related receivables or other intangible assets) to any person that is not a Subsidiary of the Borrower; (iii) sell the entire capital stock (or other equity interests) and Indebtedness of any Subsidiary
owned by the Borrower or any other Subsidiary to any person that is not a Subsidiary of the Borrower; (iv) permit any Subsidiary to be merged or consolidated with a person that is not an Affiliate of the Borrower; or (v) consummate any other Asset
Sale with a person who is not a Subsidiary of the Borrower; provided that: 
  
 (A) the consideration for such transaction (excluding the Permitted Dispositions) represents fair value (as determined by
management of the Borrower), and at least 90% of such consideration consists of cash; 
  
 (B) the cumulative aggregate consideration for all such transactions (excluding the Permitted Dispositions) completed during
any fiscal year does not exceed $7,500,000; 
  
 (C) in the case of any such transaction involving consideration in excess of $1,500,000, at least five Business Days prior to the date of completion of such transaction the Borrower shall have delivered to the Administrative
Agent an officer’s certificate executed on behalf of the Borrower by an Authorized Officer of the Borrower, which certificate shall contain: (1) a description of the proposed transaction, the date such transaction is scheduled to be
consummated, the estimated purchase price or other consideration for such transaction; (2) a certification that the Borrower would, after giving effect to such transaction, be in compliance, on a pro forma basis, with the financial
covenants contained in sections 10.7, 10.8, 10.9 and 10.10, such pro forma ratios being determined as if such transaction had been completed at the beginning of the most recent period of four consecutive fiscal quarters of the
Borrower; (3) a certification that no Default or Event of Default has occurred and is continuing, or would result 

  

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from consummation of such transaction; and (4) if requested by the Administrative Agent, a certified copy of the draft or definitive documentation pertaining
thereto; 
  
 (D) contemporaneously
with the completion of such transaction the Borrower prepays its Loans as and to the extent required by section 6.2 hereof; and 
  
 provided, further, that sales or other dispositions of obsolete, worn out or surplus equipment or fixtures may be effected at any time in
the ordinary course of business without compliance with the above provisions and the amount of any such sales or other dispositions shall be excluded from any computations under this section 10.2(d). 
  
 (e) Leases. The Borrower or any of its Subsidiaries may enter
into leases of property or assets not constituting Acquisitions, provided that such leases are not otherwise in violation of this Agreement. 
  
 (f) Capital Expenditures. The Borrower and it Subsidiaries shall be permitted to make Consolidated Capital Expenditures associated with the
reactivation of the Gulf Coast facility located in DeQuincy, Louisiana in an cumulative aggregate amount not to exceed $22,500,000, plus Consolidated Capital Expenditures in any fiscal year in amount not to exceed $20,000,000 (excluding any
Consolidated Capital Expenditures made with the Net Cash Proceeds from any Event of Loss to the extent used to repair, rebuild or replace such assets with assets similar to those assets that were the subject of such Event of Loss); provided
that in no event shall the sum of all Consolidated Capital Expenditures made by the Borrower and its Subsidiaries exceed $30,000,000 in any fiscal year. 
  
 (g) Permitted Investments. The Borrower and it Subsidiaries shall be permitted to make the investments permitted pursuant to section 10.5.

  
 10.3. Liens. The Borrower will not, and will not
permit any of its Subsidiaries to, create, incur, assume or suffer to exist any Lien upon or with respect to any property or assets of any kind (real or personal, tangible or intangible) of the Borrower or any such Subsidiary whether now owned or
hereafter acquired, or sell any such property or assets subject to an understanding or agreement, contingent or otherwise, to repurchase such property or assets (including sales of accounts receivable or notes with or without recourse to the
Borrower or any of its Subsidiaries, other than for purposes of collection of delinquent accounts in the ordinary course of business) or assign any right to receive income, or file or permit the filing of any financing statement under the UCC or any
other similar notice of Lien under any similar recording or notice statute, except that the foregoing restrictions shall not apply to: 
  
 (a) Standard Permitted Liens: the Standard Permitted Liens; 
  
 (b) Existing Liens, etc.: Liens: (i) in existence on the Effective Date that are listed, and the Indebtedness
secured thereby and the property subject thereto on the Effective Date described, in Annex IV; or (ii) arising out of the refinancing, extension, renewal or refunding of any Indebtedness secured by any such Liens, provided that the
principal amount of such Indebtedness is not increased and such Indebtedness is not secured by any additional assets; 
  
 (c) Purchase Money Liens: Liens: (i) that are placed upon fixed or capital assets, acquired, constructed or improved by the Borrower or any
Subsidiary, provided that (A) such Liens secure Indebtedness permitted by section 10.4(c), (B) such Liens and the Indebtedness secured thereby are incurred prior to or within 90 days after such acquisition or the completion of such
construction or improvement, (C) the Indebtedness secured thereby does not exceed 100% of the cost of acquiring, constructing or improving such fixed or capital assets and (D) such Liens shall not apply to any other property or assets of the
Borrower or any Subsidiary; or (ii) arising out of the refinancing, extension, 

  

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renewal or refunding of any Indebtedness secured by any such Liens, provided that the principal amount of such Indebtedness is not increased
and such Indebtedness is not secured by any additional assets; and 
  
 (d) Liens on Acquired Properties: any Lien: (i) existing on any property or asset prior to the acquisition thereof by the Borrower or any Subsidiary, or existing on any property or asset of any person that becomes a Subsidiary
after the date hereof prior to the time such person becomes a Subsidiary; provided that (A) such Lien secures Indebtedness permitted by section 10.4(c), (B) such Lien is not created in contemplation of or in connection with such
acquisition or such person becoming a Subsidiary, as the case may be, (C) such Lien shall not attach or apply to any other property or assets of the Borrower or any Subsidiary, and (D) such Lien shall secure only those obligations that it secures on
the date of such acquisition or the date such person becomes a Subsidiary, as the case may be; or (ii) arising out of the refinancing, extension, renewal or refunding of any Indebtedness secured by any such Liens, provided that the
principal amount of such Indebtedness is not increased and such Indebtedness is not secured by any additional assets. 
  
 10.4. Indebtedness. The Borrower will not, and will not permit any of its Subsidiaries to, contract, create, incur, assume or suffer to
exist any Indebtedness of the Borrower or any of its Subsidiaries, except: 
  
 (a) Credit Documents: Indebtedness incurred under this Agreement and the other Credit Documents; 
  
 (b) Existing Indebtedness: Existing Indebtedness and any refinancing, extension, renewal or refunding of any such Existing Indebtedness not
involving an increase in the principal amount thereof or a reduction in the remaining weighted average life to maturity thereof (computed in accordance with standard financial practice); 
  
 (c) Certain Priority Debt: to the extent not permitted by the foregoing clauses: 
  
 (i) Indebtedness consisting of Capital Lease Obligations of
the Borrower and its Subsidiaries; 
  
 (ii)
Indebtedness consisting of obligations under Synthetic Leases of the Borrower and its Subsidiaries; 
  
 (iii) Indebtedness secured by a Lien referred to in section 10.3(c) or 10.3(d); and 
  
 (iv) any refinancing, extension, renewal or refunding of any
such Indebtedness not involving an increase in the principal amount thereof or a reduction in the remaining weighted average life to maturity thereof (computed in accordance with standard financial practice); 
  
 provided that: (A) at the time of any incurrence thereof after
the date hereof, and after giving effect thereto, the Borrower would be in compliance with sections 10.7 and 10.8, and no Event of Default shall have occurred and be continuing or would result therefrom; and (B) the aggregate outstanding principal
amount (using Capitalized Lease Obligations in lieu of principal amount, in the case of any Capital Lease, and using the present value, based on the implicit interest rate, in lieu of principal amount, in the case of any Synthetic Lease) of
Indebtedness permitted by this clause (c), when taken together with any outstanding Indebtedness permitted by clause (b) above that is represented by a Capital Lease or a Synthetic Lease or that is secured by any Lien referred to in section 10.3(c)
or (d), shall not exceed $5,000,000 at any time; 
  

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 (d) Intercompany Debt: the following: (i) unsecured Indebtedness of the Borrower owed to
any of its Subsidiaries, provided such Indebtedness constitutes Subordinated Indebtedness; and (ii) unsecured Indebtedness of any of the Borrower’s Subsidiaries to the Borrower or to another Subsidiary of the Borrower,
provided that in the case of this subclause (ii), after giving effect thereto, at least 60% of the Consolidated Total Assets (exclusive of intercompany items) of the Borrower and the other Credit Parties are owned directly by the
Borrower and the other Credit Parties and not indirectly through Subsidiaries that are not Credit Parties; 
  
 (e) Hedge Agreements: Indebtedness of the Borrower and its Subsidiaries under Hedge Agreements; 
  
 (f) Guaranty Obligations: any Guaranty Obligations permitted by
section 10.5; 
  
 (g) Additional Unsecured Debt of the
Borrower: additional unsecured Indebtedness of the Borrower, whether pursuant to any sale or issuance of debt securities by the Borrower in a Rule 144A offering, a private placement, or a term loan facility, not in excess of $25,000,000
aggregate principal amount outstanding at any time, and subject to section 9.12, provided that at the time of incurrence thereof, and after giving effect thereto, (i) the Borrower would be in compliance with section 10.7, and (ii) no
Event of Default shall have occurred and be continuing or would result therefrom. 
  
 10.5. Advances, Investments, Loans and Guaranty Obligations. The Borrower will not, and will not permit any of its Subsidiaries to: (i) lend money or credit or make advances to any person; (ii) purchase
or acquire any stock, obligations or securities of, or any other interest in, or make any capital contribution to, or other investment in, any person; (iii) create, acquire or hold any Subsidiary; (iv) be or become a party to any joint venture,
member of a limited liability company or partner of a partnership; or (v) be or become obligated under any Guaranty Obligations (other than those created in favor of the Lenders pursuant to the Credit Documents), except: 
  
 (a) the Borrower or any of its Subsidiaries may invest in cash
and Cash Equivalents; 
  
 (b) any endorsement of a
check or other medium of payment for deposit or collection, or any similar transaction in the normal course of business; 
  
 (c) the Borrower and its Subsidiaries may acquire and hold receivables owing to them in the ordinary course of business and payable or
dischargeable in accordance with customary trade terms; 
  
 (d) investments acquired by the Borrower or any of its Subsidiaries: (i) in exchange for any other investment held by the Borrower or any such Subsidiary in connection with or as a result of a bankruptcy, workout,
reorganization or recapitalization of the issuer of such other investment; or (ii) as a result of a foreclosure by the Borrower or any of its Subsidiaries with respect to any secured investment or other transfer of title with respect to any secured
investment in default; 
  
 (e) loans and advances to
employees for business-related travel expenses, moving expenses, costs of replacement homes, business machines or supplies, automobiles and other similar expenses, in each case incurred in the ordinary course of business, shall be permitted;

  
 (f) to the extent not permitted by the foregoing
clauses, the existing loans, advances, investments and guarantees described on Annex V hereto; 
  
 (g) investments of the Borrower and its Subsidiaries in Hedge Agreements; 
  

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 (h) existing investments in any Subsidiaries and any additional investments in any
Wholly-Owned Subsidiary permitted by section 10.2(a); 
  
 (i) intercompany loans and advances permitted by section 10.4(d); 
  
 (j) the Acquisitions permitted by section 10.2 and loans, advances and investments of any person that are outstanding at the time such person becomes a Subsidiary of the Borrower as a result of an
Acquisition permitted by section 10.2, but not any increase in the amount thereof; 
  
 (k) any unsecured Guaranty Obligation incurred by the Borrower or any Subsidiary with respect to (i) Indebtedness of a Wholly-Owned Subsidiary of the Borrower that is permitted under section 10.4 without
restriction upon the ability of the Borrower or any Subsidiary to guarantee the same, or (ii) other obligations of a Wholly-Owned Subsidiary of the Borrower that are not prohibited by this Agreement; 
  
 (l) any other loans, advances, investments (whether in the form
of cash or contribution of property, and if in the form of a contribution of property, such property shall be valued for purposes of this clause at the fair value thereof as reasonably determined by the Borrower), in or to any corporation,
partnership, limited liability company, joint venture or other business entity, not otherwise permitted by the foregoing clauses (such loans, advances and investments, collectively, “Basket Investments”),
provided that (i) at the time of making any such Basket Investment no Event of Default shall have occurred and be continuing, or would result therefrom, and (ii) the maximum cumulative amount of Basket Investments that are so made and
outstanding at any time, taking into account the repayment of any loans or advances comprising such Basket Investments, shall not exceed an aggregate of $5,000,000 (exclusive of any accreted value). 
  
 10.6. Dividends, etc. The Borrower will not: (i) directly or
indirectly declare, order, pay or make any dividend (other than dividends payable solely in capital stock of the Borrower) or other distribution on or in respect of any capital stock of any class of the Borrower, whether by reduction of capital or
otherwise; or (ii) directly or indirectly make, or permit any of its Subsidiaries to directly or indirectly make, any purchase, redemption, retirement or other acquisition of (x) any capital stock of any class of the Borrower (other than for a
consideration consisting solely of capital stock of the same class of the Borrower), or (y) any warrants, rights or options to acquire or any securities convertible into or exchangeable for any capital stock of the Borrower, except
that the Borrower may make any purchase, redemption, retirement or other acquisition of its capital stock or make cash payments in respect of dividends on its common stock if: 
  
 (a) no Default under section 11.1(a) or Event of Default shall have occurred and be continuing at the time of
declaration or payment thereof; 
  
 (b) after giving
effect thereto the Borrower will be in compliance, on a pro forma basis, with sections 10.8, 10.9 and 10.10; 
  
 (c) with respect to any purchase, redemption, retirement or other acquisition of its capital stock, at the time of making any such purchase,
redemption, retirement or other acquisition and after giving effect thereto, the cumulative aggregate amount does not exceed $10,000,000 over the life of this Agreement; and 
  
 (d) with respect to dividends, at the time of making any such dividend and after giving effect thereto, the
cumulative aggregate amount of dividends paid and declared in any period of 12 consecutive months does not exceed $8,000,000. 
  

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 10.7. Asset Coverage Percentage. The Borrower will not at any time permit the sum of (a)
85% of Eligible Accounts Receivable plus (b) 50% of Eligible Inventory plus (c) 50% of Eligible PP&E to be less than 125% of Consolidated Total Debt. 
  
 10.8. Ratio of Consolidated Total Debt to Consolidated EBITDA. The Borrower will not at any time permit the
ratio of (x) the amount of its Consolidated Total Debt at such time to (y) its Consolidated EBITDA for its Testing Period most recently ended, ( i) as of the Closing Date until December 31, 2004, to exceed 3.25 and (ii) thereafter, to exceed 3.00 to
1.00. 
  
 10.9. Interest Coverage Ratio. The
Borrower will not permit its Interest Coverage Ratio to be less than 2.50 to 1.00 for any Testing Period. 
  
 10.10. Minimum Consolidated Net Worth. The Borrower’s Consolidated Net Worth any time shall not be less than the sum of (i)
$145,685,000 plus (ii) 50% of Consolidated Net Income (to the extent a positive number) for each fiscal quarter thereafter. 
  
 10.11. Prepayments and Refinancings of Other Debt, etc. The Borrower will not, and will not permit any of its Subsidiaries to, make (or give
any notice in respect thereof) any voluntary or optional payment or prepayment or redemption or acquisition for value of (including, without limitation, by way of depositing with the trustee with respect thereto money or securities before due for
the purpose of paying when due) or exchange of, or refinance or refund, any Indebtedness of the Borrower or its Subsidiaries having an outstanding principal balance (or Capitalized Lease Obligation, in the case of a Capital Lease, or present value,
based on the implicit interest rate, in the case of any Synthetic Lease) in excess of $5,000,000 (other than the Obligations and intercompany loans and advances among the Borrower and its Subsidiaries); provided that the Borrower or
any Subsidiary may refinance or refund any such Indebtedness if the aggregate principal amount thereof (or Capitalized Lease Obligation, in the case of a Capital Lease, or present value, based on the implicit interest rate, in the case of any
Synthetic Lease) is not increased and the weighted average life to maturity thereof (computed in accordance with standard financial practice) is not reduced. 
  
 10.12. Limitation on Certain Restrictive Agreements. The Borrower will not, and will not permit any of its Subsidiaries to, directly or
indirectly, enter into, incur or permit to exist or become effective, any agreement or other arrangement that prohibits, restricts or imposes any condition upon: (a) the ability of the Borrower or any Subsidiary to create, incur or suffer to exist
any Lien upon any of its property or assets as security for Indebtedness; or (b) the ability of any such Subsidiary to pay dividends or make any other distributions on its capital stock or any other interest or participation in its profits owned by
the Borrower or any Subsidiary of the Borrower, or pay any Indebtedness owed to the Borrower or a Subsidiary of the Borrower, or to make loans or advances to the Borrower or any of the Borrower’s other Subsidiaries, or transfer any of its
property or assets to the Borrower or any of the Borrower’s other Subsidiaries, except for such restrictions existing under or by reason of (i) applicable law, (ii) this Agreement and the other Credit Documents, (iii) customary
provisions restricting subletting or assignment of any lease governing a leasehold interest, (iv) customary provisions restricting assignment of any licensing agreement entered into in the ordinary course of business, (v) customary provisions
restricting the transfer or further encumbering of assets subject to Liens permitted under section 10.3 (b), (c) or (d), (vi) restrictions contained in the Existing Indebtedness Agreements as in effect on the Closing Date (and similar restrictions
governing any Indebtedness incurred in connection with the refinancing of the Existing Indebtedness in compliance with section 10.3(b)(ii)), (vii) customary restrictions affecting only a Subsidiary of the Borrower under any agreement or instrument
governing any of the Indebtedness of a Subsidiary permitted pursuant to 10.4, (viii) any document relating to Indebtedness secured by a Lien permitted by section 10.3, insofar as the provisions thereof limit grants of junior liens on the assets
securing such Indebtedness, and (ix) any Operating Lease or Capital Lease, 

  

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insofar as the provisions thereof limit grants of a security interest in, or other assignments of, the related leasehold interest to any other person.

  
 10.13. Transactions with Affiliates. The
Borrower will not, and will not permit any Subsidiary to, enter into any transaction or series of transactions with any Affiliate (other than, in the case of the Borrower, any Subsidiary, and in the case of a Subsidiary, the Borrower or another
Subsidiary) other than in the ordinary course of business of and pursuant to the reasonable requirements of the Borrower’s or such Subsidiary’s business and upon fair and reasonable terms no less favorable to the Borrower or such
Subsidiary than would be obtained in a comparable arm’s-length transaction with a person other than an Affiliate, except (i) sales of goods to an Affiliate for use or distribution outside the United States that in the good faith
judgment of the Borrower complies with any applicable legal requirements of the Code, or (ii) agreements and transactions with and payments to officers, directors and shareholders that are either (A) entered into in the ordinary course of business
and not prohibited by any of the provisions of this Agreement, or (B) entered into outside the ordinary course of business, approved by the directors or shareholders of the Borrower and not prohibited by any of the provisions of this Agreement.

  
 10.14. Plan Terminations, Minimum Funding, etc.
The Borrower will not, and will not permit any ERISA Affiliate to: (i) terminate any Plan or plans so as to result in liability of the Borrower or any ERISA Affiliate to the PBGC in excess of, in the aggregate, the amount that is equal to 5% of the
Borrower’s Consolidated Net Worth as of the date of the then most recent financial statements furnished to the Lenders pursuant to the provisions of this Agreement; (ii) permit to exist one or more events or conditions that reasonably present a
material risk of the termination by the PBGC of any Plan or Plans with respect to which the Borrower or any ERISA Affiliate would, in the event of such termination, incur liability to the PBGC in excess of such amount in the aggregate; or (iii) fail
to comply with the minimum funding standards of ERISA and the Code with respect to any Plan. 
  
 SECTION 11. EVENTS OF DEFAULT. 
  
 11.1. Events of Default. Any of the following specified events (each an “Event of Default”) shall constitute an Event of Default hereunder: 
  
 (a) Payments: the Borrower shall: (i) default in the payment when due of any principal of the Loans; or (ii)
default, and such default shall continue for five or more days, in the payment when due of any interest on the Loans or any Fees or any other amounts owing hereunder or under any other Credit Document; or 
  
 (b) Representations, etc.: any representation, warranty or
statement made by the Borrower herein or in any other Credit Document or in any statement or certificate delivered or required to be delivered pursuant hereto or thereto shall prove to be untrue in any material respect on the date as of that made or
deemed made; or 
  
 (c) Certain Covenants : the
Borrower shall default in the due performance or observance by it of any term, covenant or agreement contained in section 9.1(f)(i), or sections 10.2 through 10.12, inclusive, of this Agreement; or 
  
 (d) Other Covenants : the Borrower shall default in the due
performance or observance by it of any term, covenant or agreement contained in this Agreement or any other Credit Document, other than those referred to in section 11.1(a) or (b) or (c) above, and such default is not remedied within 30 days after
the earlier of (i) an officer of the Borrower obtaining actual knowledge of such default and (ii) the Borrower receiving written notice of such default from the Administrative Agent or the Required Lenders (any such notice to be identified as a
“notice of default” and to refer specifically to this paragraph); or 
  

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 (e) Cross Default Under Other Agreements: the Borrower or any of its Subsidiaries shall (i)
default in any payment with respect to any Indebtedness (other than the Obligations) owed to any Lender or any of its Affiliates, or having an unpaid principal amount of $2,500,000 or greater, and such default shall continue after the applicable
grace period, if any, specified in the agreement or instrument relating to such Indebtedness, or (ii) default in the observance or performance of any agreement or condition relating to any such Indebtedness or contained in any instrument or
agreement evidencing, securing or relating thereto (and all grace periods applicable to such observance, performance or condition shall have expired), or any other event shall occur or condition exist, the effect of which default or other event or
condition is to cause, or to permit the holder or holders of such Indebtedness (or a trustee or agent on behalf of such holder or holders) to cause any such Indebtedness to become due prior to its stated maturity; or any such Indebtedness of the
Borrower or any of its Subsidiaries shall be declared to be due and payable, or shall be required to be prepaid (other than by a regularly scheduled required prepayment or redemption, prior to the stated maturity thereof); or 
  
 (f) Other Credit Documents: the Subsidiary Guaranty or any
other Credit Document shall cease for any reason (other than termination in accordance with its terms) to be in full force and effect; or any Credit Party shall default in any payment obligation thereunder; or any Credit Party shall default in any
respect in the due performance and observance of any other obligation thereunder and such default shall continue unremedied for a period of at least 30 days; or any Credit Party shall (or seek to) disaffirm or otherwise limit its obligations
thereunder otherwise than in strict compliance with the terms thereof; or 
  
 (g) Judgments: one or more judgments or decrees shall be entered against the Borrower and/or any of its Subsidiaries involving a liability (other than a liability covered by insurance, as to which the
carrier has adequate claims paying ability and has not denied coverage or reserved its rights) equal to or more than $2,500,000 (in the aggregate for all such judgments and decrees for the Borrower and its Subsidiaries) and any such judgments or
decrees shall not have been vacated, discharged or stayed or bonded pending appeal within 30 days (or such longer period, not in excess of 60 days, during which enforcement thereof, and the filing of any judgment lien, is effectively stayed or
prohibited) from the entry thereof; or 
  
 (h)
Bankruptcy, etc.: the Borrower or any of its Material Subsidiaries shall commence a voluntary case concerning itself under Title 11 of the United States Code entitled “Bankruptcy,” as now or hereafter in effect, or any successor
thereto (the “Bankruptcy Code”); or an involuntary case is commenced against the Borrower or any of its Material Subsidiaries and the petition is not controverted within 10 days, or is not dismissed within 60 days, after
commencement of the case; or a custodian (as defined in the Bankruptcy Code) is appointed for, or takes charge of, all or substantially all of the property of the Borrower or any of its Material Subsidiaries; or the Borrower or any of its Material
Subsidiaries commences (including by way of applying for or consenting to the appointment of, or the taking of possession by, a rehabilitator, receiver, custodian, trustee, conservator or liquidator (collectively, a
“conservator”) of itself or all or any substantial portion of its property) any other proceeding under any reorganization, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency, liquidation,
rehabilitation, conservatorship or similar law of any jurisdiction whether now or hereafter in effect relating to the Borrower or any of its Material Subsidiaries; or any such proceeding is commenced against the Borrower or any of its Material
Subsidiaries to the extent such proceeding is consented to by such person or remains undismissed for a period of 60 days; or the Borrower or any of its Material Subsidiaries is adjudicated insolvent or bankrupt; or any order of relief or other order
approving any such case or proceeding is entered; or the Borrower or any of its Material Subsidiaries suffers any appointment of any conservator or the like for it or any substantial part of its property that continues undischarged or unstayed for a
period of 60 days; or the Borrower or any of its Material Subsidiaries makes a general assignment for the benefit of creditors; or any corporate (or similar organizational) action is taken by the Borrower or any of its Material Subsidiaries for the
purpose of effecting any of the foregoing; or 
  

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 (i) ERISA: (i) any of the events described in clauses (i) through (viii) of section 9.1(g)
shall have occurred; or (ii) there shall result from any such event or events the imposition of a lien, the granting of a security interest, or a liability or a material risk of incurring a liability; and (iii) any such event or events or any such
lien, security interest or liability, individually, and/or in the aggregate, in the opinion of the Required Lenders, has had, or could reasonably be expected to have, a Material Adverse Effect; or 
  
 (j) Material Adverse Change : there occurs an event or series
of events that could reasonably be expected to have a Material Adverse Effect; or 
  
 (k) Change of Control: there occurs a Change of Control. 
  
 11.2. Acceleration, etc. Upon the occurrence of any Event of Default, and at any time thereafter, if any Event of Default shall then be
continuing, the Administrative Agent shall, upon the written request of the Required Lenders, by written notice to the Borrower, take any or all of the following actions, without prejudice to the rights of the Administrative Agent or any Lender to
enforce its claims against the Borrower (provided that, if an Event of Default specified in section 11.1(h) shall occur, the result that would occur upon the giving of written notice by the Administrative Agent as specified in clauses
(i) and (ii) below shall occur automatically without the giving of any such notice): (i) declare the Total Commitment terminated, whereupon the Commitment of each Lender shall forthwith terminate immediately without any other notice of any kind;
(ii) declare the principal of and any accrued interest in respect of all Loans, and all other Obligations owing hereunder and under the other Credit Documents to be, whereupon the same shall become, forthwith due and payable without presentment,
demand, protest or other notice of any kind, all of which are hereby waived by the Borrower; and/or (iii) request that the Borrower shall pay, and the Borrower agrees that it shall pay if requested to do so by the Administrative Agent, to the
Administrative Agent an amount in cash and/or Cash Equivalents equal to 100% of the Letter of Credit Outstandings and the Administrative Agent shall hold such payment as security for the reimbursement obligations of the Borrower in respect of
Letters of Credit pursuant to a cash collateral agreement to be entered into in form and substance reasonably satisfactory to the Administrative Agent, each Letter of Credit Issuer and the Borrower (which shall permit certain investments in Cash
Equivalents satisfactory to the Administrative Agent, each Letter of Credit Issuer and the Borrower until the proceeds are applied to the secured obligations). 
  

11.3. Application of Liquidation Proceeds. All monies received by the Administrative Agent or any Lender from the exercise of remedies
hereunder or under the other Credit Documents or under any other documents relating to this Agreement shall, unless otherwise required by the terms of the other Credit Documents or by applicable law, be applied as follows: 
  
 (1) first, to the payment of all
expenses (to the extent not paid by the Borrower) incurred by the Administrative Agent and the Lenders in connection with the exercise of such remedies, including, without limitation, all reasonable costs and expenses of collection, attorneys’
fees, court costs and any foreclosure expenses; 
  
 (2) second, to the payment pro rata of interest then accrued on the outstanding Loans; 
  
 (3) third, to the payment pro rata of any fees then accrued and payable to the Administrative Agent or
any Lender under this Agreement; 
  
 (4) fourth, to the payment pro rata of the principal balance then owing on the outstanding Loans; 
  

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 (5) fifth, to the payment pro rata of all other
amounts owed by the Borrower to the Administrative Agent or any Lender under this Agreement or any other Credit Document; and 
  
 (6) finally, any remaining surplus after all of the Obligations have been paid in full, to the Borrower or to
whomsoever shall be lawfully entitled thereto. 
  
 SECTION 12.
THE ADMINISTRATIVE AGENT. 
  
 12.1. Appointment.
Each Lender hereby irrevocably designates and appoints NCB as Administrative Agent to act as specified herein and in the other Credit Documents, and each such Lender hereby irrevocably authorizes NCB as the Administrative Agent for such Lender, to
take such action on its behalf under the provisions of this Agreement and the other Credit Documents and to exercise such powers and perform such duties as are expressly delegated to the Administrative Agent by the terms of this Agreement and the
other Credit Documents, together with such other powers as are reasonably incidental thereto. The Administrative Agent agrees to act as such upon the express conditions contained in this section 12. Notwithstanding any provision to the contrary
elsewhere in this Agreement, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth herein or in the other Credit Documents, nor any fiduciary relationship with any Lender, and no implied covenants,
functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or otherwise exist against the Administrative Agent. The provisions of this section 12 are solely for the benefit of the Administrative Agent, and the
Lenders, and the Borrower and its Subsidiaries shall not have any rights as a third party beneficiary of any of the provisions hereof. In performing its functions and duties under this Agreement, the Administrative Agent shall act solely as agent of
the Lenders and does not assume and shall not be deemed to have assumed any obligation or relationship of agency or trust with or for the Borrower or any of its Subsidiaries. 
  
 12.2. Delegation of Duties. The Administrative Agent may execute any of its duties under this Agreement or any
other Credit Document by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The Administrative Agent shall not be responsible for the negligence or misconduct of any
agents or attorneys-in-fact selected by it with reasonable care except to the extent otherwise required by section 12.3. 
  
 12.3. Exculpatory Provisions. Neither the Administrative Agent nor any of its respective officers, directors, employees, agents,
attorneys-in-fact or affiliates shall be: (i) liable for any action lawfully taken or omitted to be taken by it or such person under or in connection with this Agreement (except for its or such person’s own gross negligence or willful
misconduct); or (ii) responsible in any manner to any of the Lenders for any recitals, statements, representations or warranties made by the Borrower or of its Subsidiaries or any of their respective officers contained in this Agreement, any other
Credit Document or in any certificate, report, statement or other document referred to or provided for in, or received by the Administrative Agent under or in connection with, this Agreement or any other Credit Document or for any failure of the
Borrower or any Subsidiary of the Borrower or any of their respective officers to perform its obligations hereunder or thereunder. The Administrative Agent shall not be under any obligation to any Lender to ascertain or to inquire as to the
observance or performance of any of the agreements contained in, or conditions of, this Agreement, or to inspect the properties, books or records of the Borrower or any of its Subsidiaries. The Administrative Agent shall not be responsible to any
Lender for the effectiveness, genuineness, validity, enforceability, collectibility or sufficiency of this Agreement or any Credit Document or for any representations, warranties, recitals or statements made herein or therein or made in any written
or oral statement or in any financial or other statements, instruments, reports, certificates or any other documents in connection herewith or therewith furnished or made by the Administrative Agent to the Lenders or by or on behalf of the Borrower
or any of its Subsidiaries to the Administrative Agent or any Lender or be required to ascertain or inquire as to the performance or observance of any of the terms, conditions, provisions, covenants or agreements contained 

  

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herein or therein or as to the use of the proceeds of the Loans or of the existence or possible existence of any Default or Event of Default. 
  
 12.4. Reliance by Administrative Agent. The Administrative
Agent shall be entitled to rely, and shall be fully protected in relying, upon any note, writing, resolution, notice, consent, certificate, affidavit, letter, cablegram, telegram, facsimile transmission, telex or teletype message, statement, order
or other document or conversation believed by it, in good faith, to be genuine and correct and to have been signed, sent or made by the proper person or persons and upon advice and statements of legal counsel (including, without limitation, counsel
to the Borrower or any of its Subsidiaries), independent accountants and other experts selected by the Administrative Agent. The Administrative Agent shall be fully justified in failing or refusing to take any action under this Agreement or any
other Credit Document unless it shall first receive such advice or concurrence of the Required Lenders as it deems appropriate or it shall first be indemnified to its satisfaction by the Lenders against any and all liability and expense that may be
incurred by it by reason of taking or continuing to take any such action. The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement and the other Credit Documents in accordance with
a request of the Required Lenders (or all of the Lenders, as to any matter that, pursuant to section 13.12, can only be effectuated with the consent of all Lenders), and such request and any action taken or failure to act pursuant thereto shall be
binding upon all the Lenders. 
  
 12.5. Notice of
Default. The Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default hereunder unless the Administrative Agent has received notice from a Lender or the Borrower referring to this
Agreement, describing such Default or Event of Default and stating that such notice is a “notice of default.” In the event that the Administrative Agent receives such a notice, the Administrative Agent shall give prompt notice thereof to
the Lenders. The Administrative Agent shall take such action with respect to such Default or Event of Default as shall be reasonably directed by the Required Lenders, provided that unless and until the Administrative Agent shall have
received such directions, the Administrative Agent may (but shall not be obligated to) take such action, or refrain from taking such action, with respect to such Default or Event of Default as it shall deem advisable in the best interests of the
Lenders. 
  
 12.6. Non-Reliance. Each Lender
expressly acknowledges that neither the Administrative Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates have made any representations or warranties to it and that no act by the Administrative Agent
hereinafter taken, including any review of the affairs of the Borrower or any of its Subsidiaries, shall be deemed to constitute any representation or warranty by the Administrative Agent to any Lender. Each Lender represents to the Administrative
Agent that it has, independently and without reliance upon the Administrative Agent, or any other Lender, and based on such documents and information as it has deemed appropriate, made its own appraisal of and investigation into the business,
assets, operations, property, financial and other conditions, prospects and creditworthiness of the Borrower and its Subsidiaries and made its own decision to make its Loans hereunder and enter into this Agreement. Each Lender also represents that
it will, independently and without reliance upon the Administrative Agent, or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit analysis, appraisals and decisions
in taking or not taking action under this Agreement, and to make such investigation as it deems necessary to inform itself as to the business, assets, operations, property, financial and other conditions, prospects and creditworthiness of the
Borrower and its Subsidiaries. The Administrative Agent shall not have any duty or responsibility to provide any Lender with any credit or other information concerning the business, operations, assets, property, financial and other conditions,
prospects or creditworthiness of the Borrower or any of its Subsidiaries that may come into the possession of the Administrative Agent or any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates. 
  

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 12.7. Indemnification. The Lenders agree to indemnify the Administrative Agent in its
capacity as such ratably according to their respective General Revolving Loans and Unutilized General Revolving Commitments, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs,
reasonable expenses or disbursements of any kind whatsoever that may at any time (including, without limitation, at any time following the payment of the Obligations) be imposed on, incurred by or asserted against the Administrative Agent in its
capacity as such in any way relating to or arising out of this Agreement or any other Credit Document, or any documents contemplated by or referred to herein or the transactions contemplated hereby or any action taken or omitted to be taken by the
Administrative Agent under or in connection with any of the foregoing, but only to the extent that any of the foregoing is not paid by the Borrower, provided that no Lender shall be liable to the Administrative Agent for the payment of
any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements to the extent resulting solely from the Administrative Agent’s gross negligence or willful misconduct. If any
indemnity furnished to the Administrative Agent for any purpose shall, in the opinion of the Administrative Agent, be insufficient or become impaired, the Administrative Agent may call for additional indemnity and cease, or not commence, to do the
acts indemnified against until such additional indemnity is furnished. The agreements in this section 12.7 shall survive the payment of all Obligations. 
  
 12.8. The Administrative Agent in Individual Capacity. The Administrative Agent and its Affiliates may make loans to, accept deposits from
and generally engage in any kind of business with the Borrower, its Subsidiaries and their Affiliates as though not acting as Administrative Agent hereunder. With respect to the Loans made by it and all Obligations owing to it, the Administrative
Agent shall have the same rights and powers under this Agreement as any Lender and may exercise the same as though it were not the Administrative Agent, and the terms “Lender” and “Lenders” shall include the Administrative Agent
in its individual capacity. 
  
 12.9. Successor
Administrative Agent. The Administrative Agent may resign as the Administrative Agent upon not less than 30 Business Days’ notice to the Lenders and the Borrower. The Administrative Agent may be removed as the Administrative Agent for cause
upon not less than 30 Business Days’ notice to the Administrative Agent and the Borrower from the Required Lenders. The Required Lenders shall appoint from among the Lenders a successor Administrative Agent for the Lenders, subject to prior
approval by the Borrower if no Event of Default has occurred and is continuing (such approval not to be unreasonably withheld or delayed), whereupon such successor agent shall succeed to the rights, powers and duties of the Administrative Agent, and
the term “Administrative Agent” shall include such successor agent effective upon its appointment, and the resigning or removed Administrative Agent’s rights, powers and duties as the Administrative Agent shall be terminated, without
any other or further act or deed on the part of such former Administrative Agent or any of the parties to this Agreement. After the retiring or removed Administrative Agent’s resignation or removal hereunder as the Administrative Agent, the
provisions of this section 12 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement. 
  
 12.10. Other Agents. Any Lender identified herein as a Co-Agent, Syndication Agent, Documentation Agent,
Managing Agent, Manager or any other corresponding title, other than “Administrative Agent,” shall have no right, power, obligation, liability, responsibility or duty under this Agreement or any other Credit Document except those
applicable to all Lenders as such. Each Lender acknowledges that it has not relied, and will not rely, on any Lender so identified in deciding to enter into this Agreement or in taking or not taking any action hereunder. 
  
 SECTION 13. MISCELLANEOUS. 
  
 13.1. Payment of Expenses etc. (a) Whether or not the
transactions contemplated hereby are consummated, the Borrower agrees to pay (or reimburse the Administrative Agent for) all reasonable 

  

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out-of-pocket costs and expenses of the Administrative Agent in connection with the negotiation, preparation, execution and delivery of the Credit Documents
and the documents and instruments referred to therein, including, without limitation, the reasonable fees and disbursements of Jones Day, special counsel to the Administrative Agent. 
  
 (b) The Borrower agrees to pay (or reimburse the Administrative Agent and its Affiliates for) all reasonable
out-of-pocket costs and expenses of any Agent or any of its Affiliates in connection with any amendment, waiver or consent relating to any of the Credit Documents that is requested by the Borrower, including, without limitation, the reasonable fees
and disbursements of Jones Day, special counsel to the Administrative Agent. 
  
 (c) The Borrower agrees to pay (or reimburse the Administrative Agent, the Lenders and their Affiliates for) all reasonable out-of-pocket costs and expenses of the Administrative Agent, the Lenders and
their Affiliates in connection with the enforcement against the Borrower of any of the Credit Documents or the other documents and instruments referred to therein, including, without limitation, (i) the reasonable fees and disbursements of Jones
Day, special counsel to the Administrative Agent, and (ii) the reasonable fees and disbursements of any individual counsel to any Lender (including allocated costs of internal counsel). 
  
 (d) Without limitation of the preceding section 13.1(c), in the event of the bankruptcy, insolvency,
rehabilitation or other similar proceeding in respect of the Borrower, the Borrower agrees to pay all costs of collection and defense, including reasonable attorneys’ fees in connection therewith and in connection with any appellate proceeding
or post-judgment action involved therein, that shall be due and payable together with all required service or use taxes. 
  
 (e) The Borrower agrees to pay and hold the Administrative Agent and each of the Lenders harmless from and against any and all present and
future stamp and other similar taxes with respect to the foregoing matters and save the Administrative Agent and each of the Lenders harmless from and against any and all liabilities with respect to or resulting from any delay or omission (other
than to the extent attributable to any such indemnified person) to pay such taxes. 
  
 (f) The Borrower agrees to indemnify the Administrative Agent, each Lender, and their respective officers, directors, trustees, employees, representatives, agents and Affiliates, and the successors and
assigns of any of the foregoing (collectively, the “Indemnities”) from and hold each of them harmless against any and all losses, liabilities, claims, damages or expenses reasonably incurred by any of them as a result of, or
arising out of, or in any way related to, or by reason of: 
  
 (i) any investigation, litigation or other proceeding (whether or not any Lender is a party thereto) related to the entering into and/or performance of any Credit Document or the use of the proceeds of any Loans
hereunder or the consummation of any transactions contemplated in any Credit Document, other than any such investigation, litigation or proceeding arising out of transactions solely between any of the Lenders or the Administrative Agent,
transactions solely involving the assignment by a Lender of all or a portion of its Loans and Commitments, or the granting of participations therein, as provided in this Agreement, or arising solely out of any examination of a Lender by any
regulatory or other governmental authority having jurisdiction over it; or 
  
 (ii) the actual or alleged presence of Hazardous Materials in the air, surface water or groundwater or on the surface or subsurface of any Real Property owned, leased or at any time operated by the Borrower or any of
its past or then current Subsidiaries or Affiliates or any of their predecessors in interest, the release, generation, storage, transportation, handling or disposal of Hazardous Materials at any location, whether or not owned or operated by the
Borrower or any 

  

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of its past or current Subsidiaries or any of their respective Affiliates or any of their predecessors in interest, if the Borrower or any such Subsidiary or
Affiliate could have or is alleged to have any responsibility in respect thereof, the non-compliance of any such Real Property with foreign, federal, state and local laws, regulations and ordinances (including applicable permits thereunder)
applicable thereto, or any Environmental Claim asserted against the Borrower or any of its Subsidiaries or any of their respective Affiliates, in respect of any such Real Property, 
  
 including, in each case, without limitation, the reasonable documented fees and disbursements of counsel incurred in connection with any
such investigation, litigation or other proceeding (but excluding any such losses, liabilities, claims, damages or expenses to the extent incurred by reason of the gross negligence or willful misconduct of the person to be indemnified or of any
other Indemnitee who is such person or an Affiliate of such person). To the extent that the undertaking to indemnify, pay or hold harmless any person set forth in the preceding sentence may be unenforceable because it is violative of any law or
public policy, the Borrower shall make the maximum contribution to the payment and satisfaction of each of the indemnified liabilities that is permissible under applicable law. 
  
 13.2. Right of Setoff. In addition to any rights now or hereafter granted under applicable law or otherwise,
and not by way of limitation of any such rights, upon the maturity or the acceleration of the Loans, each Lender is hereby authorized at any time or from time to time, without presentment, demand, protest or other notice of any kind to the Borrower
or to any other person, any such notice being hereby expressly waived, to set off and to appropriate and apply any and all deposits (general or special) and any other Indebtedness at any time held or owing by such Lender (including, without
limitation, by branches and agencies of such Lender wherever located) to or for the credit or the account of the Borrower against and on account of the Obligations and liabilities of the Borrower to such Lender under this Agreement or under any of
the other Credit Documents, including, without limitation, all interests in Obligations of the Borrower purchased by such Lender pursuant to section 13.4(b), and all other claims of any nature or description arising out of or connected with this
Agreement or any other Credit Document, irrespective of whether or not such Lender shall have made any demand hereunder and although said Obligations, liabilities or claims, or any of them, shall be contingent or unmatured. 
  
 13.3. Notices. Except as otherwise expressly provided herein,
all notices and other communications provided for hereunder shall be in writing (including telegraphic, telex, facsimile transmission, e-mail transmission or cable communication) and mailed, telegraphed, telexed, transmitted, cabled or delivered, if
to the Borrower, at 500 Calgon Carbon Drive, Pittsburgh, Pennsylvania 15205, attention: Daniel W. Sullivan, Treasurer (facsimile: (412) 787-6313 and (412) 787-4751); if to any Lender at its address specified for such Lender on Annex I hereto; if to
the Administrative Agent, at 20 Stanwix Avenue, Pittsburgh, Pennsylvania 15219, attention: Lori B. Shure, Vice President (facsimile: (412) 471-4883); or at such other address as shall be designated by any party in a written notice to the other
parties hereto. All such notices and communications shall be mailed, telegraphed, telexed, telecopied, transmitted or cabled or sent by overnight courier, and shall be effective when received. 
  
 13.4. Benefit of Agreement. (a) Successors and Assigns Generally.
This Agreement shall be binding upon and inure to the benefit of and be enforceable by the parties hereto and their respective successors and assigns, provided that the Borrower may not assign or transfer any of its rights or
obligations hereunder without the prior written consent of all the Lenders (other than any Defaulting Lender), and, provided, further, that any assignment by a Lender of its rights and obligations hereunder shall be effected in
accordance with section 13.4(c). 
  
 (b)
Participations. Notwithstanding the foregoing, each Lender may at any time grant participations in any of its rights hereunder or under any of the Notes to (x) an Affiliate of such Lender that is a commercial bank, financial institution or other
“accredited investor” (as defined in SEC 

  

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Regulation D), (y) another Lender that is not a Defaulting Lender, or (z) one or more Eligible Transferees, provided that in the case of any
such participation: 
  
 (i) the participant shall
not have any rights under this Agreement or any of the other Credit Documents, including rights of consent, approval or waiver (the participant’s rights against such Lender in respect of such participation to be those set forth in the agreement
executed by such Lender in favor of the participant relating thereto); 
  
 (ii) such Lender’s obligations under this Agreement (including, without limitation, its Commitment hereunder) shall remain unchanged; 
  
 (iii) such Lender shall remain solely responsible to the other parties hereto for the performance of such
obligations; 
  
 (iv) such Lender shall remain
the holder of any Note for all purposes of this Agreement; and 
  
 (v) the Borrower, the Administrative Agent, and the other Lenders shall continue to deal solely and directly with the selling Lender in connection with such Lender’s rights and obligations under this Agreement,
and all amounts payable by the Borrower hereunder shall be determined as if such Lender had not sold such participation, except that the participant shall be entitled to the benefits of sections 2.10 and 2.11 of this Agreement to the extent that
such Lender would be entitled to such benefits if the participation had not been entered into or sold; 
  
 and, provided further, that no Lender shall transfer, grant or sell any participation under which the participant shall have rights to approve any amendment to or waiver of this Agreement or any other
Credit Document except to the extent such amendment or waiver would (x) extend any final date on or by which any Loan in which such participant is participating may be incurred, or on which any such Loan is scheduled to be repaid or mature, or
extend any final date on which any Commitment in which such participant is participating is scheduled to expire or terminate, or reduce the rate of interest or Fees thereon (except in connection with a waiver of the applicability of any post-default
increase in interest rates), or reduce the principal amount thereof, or increase such participant’s participating interest in any Commitment over the amount thereof then in effect (it being understood that a waiver of any Default or Event of
Default shall not constitute a change in the terms of any such Commitment), or (y) consent to the assignment or transfer by the Borrower of any of its rights and obligations under this Agreement. 
  
 (c) Assignments by Lenders. Notwithstanding the foregoing, (x)
any Lender may assign all or a fixed portion of its Loans and/or Commitment, and its rights and obligations hereunder, to another Lender that is not a Defaulting Lender, or to an Affiliate of any Lender (including itself) that is not a Defaulting
Lender and that is a commercial bank, financial institution or other “accredited investor” (as defined in SEC Regulation D), and (y) any Lender may assign all, or if less than all, a fixed portion, equal to at least $1,000,000 (or, in the
case of the first sixty days following the Closing Date, equal to at least $500,000 and in $100,000 increments thereto) in the aggregate for the assigning Lender or assigning Lenders, of its Loans and/or Commitment and its rights and obligations
hereunder, to one or more Eligible Transferees, each of which assignees shall become a party to this Agreement as a Lender by execution of an Assignment Agreement, provided that: 
  
 (i) in the case of any assignment of a portion of any Loans
and/or Commitment of a Lender, such Lender shall retain a minimum fixed portion of all Loans and Commitments equal to at least $5,000,000; 
  

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 (ii) the Swing Line Lender may only assign its Swing Line Revolving Commitment and its
Swing Line Revolving Loans as an entirety and only if the assignee thereof is or becomes a Lender with a General Revolving Commitment; 
  
 (iii) at the time of any such assignment the Lender Register shall be deemed modified to reflect the Commitments of such new Lender and of
the existing Lenders; 
  
 (iv) upon surrender of
the old Notes, new Notes will be issued to such new Lender and to the assigning Lender, such new Notes to be in conformity with the requirements of section 2.6 (with appropriate modifications) to the extent needed to reflect the revised Commitments;

  
 (v) in the case of clause (y) only, the
consent of the Administrative Agent shall be required in connection with any such assignment (which consent shall not be unreasonably withheld or delayed); 
  
 (vi) the Administrative Agent shall receive at the time of each such assignment, from the assigning or assignee Lender, the payment of a
non-refundable assignment fee of $3,500; and 
  
 (vii) the Administrative Agent and, so long as no Event of Default shall have occurred and be continuing, the Borrower consent to such assignment, which consent shall not be unreasonably withheld; 
  
 and, provided further, that such transfer or assignment will not be effective
until the Assignment Agreement in respect thereof is recorded by the Administrative Agent on the Lender Register maintained by it as provided herein. 
  
 To the extent of any assignment pursuant to this section 13.4(c), the assigning Lender shall be relieved of its obligations hereunder with respect to its
assigned Commitments. 
  
 At the time of each assignment pursuant
to this section 13.4(c) to a person that is not already a Lender hereunder and that is not a United States person (as such term is defined in section 7701(a)(30) of the Code) for Federal income tax purposes, the respective assignee Lender shall
provide to the Borrower and the Administrative Agent the appropriate Internal Revenue Service Forms (and, if applicable a section 6.4(b)(ii) Certificate) described in section 6.4(b). To the extent that an assignment of all or any portion of a
Lender’s Commitment and related outstanding Obligations pursuant to this section 13.4(c) would, at the time of such assignment, result in increased costs under section 2.10 from those being charged by the respective assigning Lender prior to
such assignment, then the Borrower shall not be obligated to pay such increased costs (although the Borrower shall be obligated to pay any other increased costs of the type referred to above in this sentence resulting from changes after the date of
the respective assignment). 
  
 Nothing in this section 13.4(c)
shall prevent or prohibit: (i) any Lender that is a bank, trust company or other financial institution from pledging its Notes or Loans to a Federal Reserve Bank in support of borrowings made by such Lender from such Federal Reserve Bank; or (ii)
any Lender that is a trust, limited liability company, partnership or other investment company from pledging its Notes or Loans to a trustee or agent for the benefit of holders of certificates or debt securities issued by it. No such pledge, or any
assignment pursuant to or in lieu of an enforcement of such a pledge, shall relieve the transferor Lender from its obligations hereunder. 
  
 (d) No SEC Registration or Blue Sky Compliance. Notwithstanding any other provisions of this section 13.4, no transfer or assignment of the
interests or obligations of any Lender hereunder or any grant of participation therein shall be permitted if such transfer, assignment or grant would require the 

  

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Borrower to file a registration statement with the SEC or to qualify the Loans under the “Blue Sky” laws of any State. 
  
 (e) Representations of Lenders. Each Lender initially party to
this Agreement hereby represents, and each person that became a Lender pursuant to an assignment permitted by this section 13.4 will, upon its becoming party to this Agreement, represent that it is a commercial lender, other financial institution or
other “accredited” investor (as defined in SEC Regulation D) that makes or acquires loans in the ordinary course of its business and that it will make or acquire Loans for its own account in the ordinary course of such business,
provided that subject to the preceding sections 13.4(b) and (c), the disposition of any promissory notes or other evidences of or interests in Indebtedness held by such Lender shall at all times be within its exclusive control.

  
 (f) Grants by Lenders to SPCs. Notwithstanding
anything to the contrary contained herein, any Lender, (a “Granting Lender”) may grant to a special purpose funding vehicle (an “SPC”), identified as such in writing from time to time by the Granting
Lender to the Administrative Agent, the Borrower and the other Lenders, the option to provide to the Borrower all or any part of any Loan that such Granting Lender would otherwise be obligated to make to the Borrower pursuant to this Agreement;
provided that (i) nothing herein shall constitute a commitment by any SPC to make any Loan, and (ii) if an SPC elects not to exercise such option or otherwise fails to provide all or any part of such Loan, the Granting Lender shall be
obligated to make such Loan pursuant to the terms hereof. The making of a Loan by an SPC hereunder shall utilize the Commitment of the Granting Lender to the same extent, and as if, such Loan were made by such Granting Lender. Each party hereto
hereby agrees that no SPC shall be liable for any indemnity or payment under this Agreement for which a Lender would otherwise be liable for so long as, and to the extent, the Granting Lender provides such indemnity or makes such payment. In
furtherance of the foregoing, each party hereto hereby agrees (which agreement shall survive the termination of this Agreement) that, prior to the date that is one year and one day after the payment in full of all outstanding commercial paper or
other senior indebtedness of any SPC, it will not institute against, or join any other person in instituting against, such SPC any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings under the laws of the United States or
any State thereof. In addition, notwithstanding anything to the contrary contained in this section 13.4, any SPC may (i) with notice to, but without the prior written consent of, the Borrower and the Administrative Agent and without paying any
processing fee therefor, assign all or a portion of its interests in any Loans to the Granting Lender or to any financial institutions providing liquidity and/or credit support to or for the account of such SPC to support the funding or maintenance
of Loans and (ii) disclose on a confidential basis any non-public information relating to its Loans to any rating agency, commercial paper dealer or provider of any surety, guarantee or credit or liquidity enhancements to such SPC. In no event shall
the Borrower be obligated to pay to an SPC that has made a Loan any greater amount than the Borrower would have been obligated to pay under this Agreement had the applicable Granting Lender made such Loan. This section 13.4(f) may not be amended
without the written consent of any Granting Lender affected thereby. 
  
 13.5. No Waiver: Remedies Cumulative. No failure or delay on the part of the Administrative Agent or any Lender in exercising any right, power or privilege hereunder or under any other Credit Document and no course of dealing
between the Borrower and the Administrative Agent or any Lender shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power or privilege hereunder or under any other Credit Document preclude any other or further
exercise thereof or the exercise of any other right, power or privilege hereunder or thereunder. The rights and remedies herein expressly provided are cumulative and not exclusive of any rights or remedies that the Administrative Agent or any Lender
would otherwise have. No notice to or demand on the Borrower in any case shall entitle the Borrower to any other or further notice or demand in similar or other 

  

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circumstances or constitute a waiver of the rights of the Administrative Agent or any Lender to any other or further action in any circumstances without
notice or demand. 
  
 13.6. Payments Pro Rata. (a)
The Administrative Agent agrees that promptly after its receipt of each payment from or on behalf of the Borrower in respect of any Obligations, it shall distribute such payment to the Lenders (other than any Lender that has expressly waived in
writing its right to receive its pro rata share thereof) pro rata based upon their respective shares, if any, of the Obligations with respect to which such payment was received. As to any such payment received by the
Administrative Agent prior to 1:00 P.M. (local time at its Payment Office) in funds that are immediately available on such day, the Administrative Agent will use all reasonable efforts to distribute such payment in immediately available funds on the
same day to the Lenders as aforesaid. 
  
 (b) Each
of the Lenders agrees that, if it should receive any amount hereunder (whether by voluntary payment, by realization upon security, by the exercise of the right of setoff or banker’s lien, by counterclaim or cross action, by the enforcement of
any right under the Credit Documents, or otherwise) that is applicable to the payment of the principal of, or interest on, the Loans or Fees, of a sum that with respect to the related sum or sums received by other Lenders is in a greater proportion
than the total of such Obligation then owed and due to such Lender bears to the total of such Obligation then owed and due to all of the Lenders immediately prior to such receipt, then such Lender receiving such excess payment shall purchase for
cash without recourse or warranty from the other Lenders an interest in the Obligations to such Lenders in such amount as shall result in a proportional participation by all of the Lenders in such amount, provided that if all or any
portion of such excess amount is thereafter recovered from such Lender, such purchase shall be rescinded and the purchase price restored to the extent of such recovery, but without interest. 
  
 (c) Notwithstanding anything to the contrary contained herein,
the provisions of the preceding sections 13.6(a) and (b) shall be subject to the express provisions of this Agreement that require, or permit, differing payments to be made to Lenders that are not Defaulting Lenders, as opposed to Defaulting
Lenders. 
  
 13.7. Calculations: Computations.
(a) The financial statements to be furnished to the Lenders pursuant hereto shall be made and prepared in accordance with GAAP consistently applied throughout the periods involved (except as set forth in the notes thereto or as otherwise
disclosed in writing by the Borrower to the Lenders); provided, that if at any time the computations determining compliance with section 10 utilize accounting principles different from those utilized in the financial statements
furnished to the Lenders, such computations shall set forth in reasonable detail a description of the differences and the effect upon such computations. 
  
 (b) All computations of interest on Prime Rate Loans and Eurodollar Loans hereunder and all computations of Facility Fees and other Fees
hereunder shall be made on the actual number of days elapsed over a year of 360 days. 
  
 13.8. Governing Law; Submission to Jurisdiction; Venue; Waiver of Jury Trial. (a) THIS AGREEMENT AND THE OTHER CREDIT DOCUMENTS AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER AND
THEREUNDER SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF PENNSYLVANIA. TO THE FULLEST EXTENT PERMITTED BY LAW, THE BORROWER HEREBY UNCONDITIONALLY AND IRREVOCABLY WAIVES ANY CLAIM TO ASSERT THAT THE LAW OF
ANY JURISDICTION OTHER THAN THE COMMONWEALTH OF PENNSYLVANIA GOVERNS THIS AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS. Any legal action or proceeding with respect to this Agreement or any other Credit Document may be brought in the Courts of the
Commonwealth of Pennsylvania, or of the United States 

  

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for the Western District of Pennsylvania, and, by execution and delivery of this Agreement, the Borrower hereby irrevocably accepts for itself and in respect
of its property, generally and unconditionally, the jurisdiction of the aforesaid courts. The Borrower hereby further irrevocably consents to the service of process out of any of the aforementioned courts in any such action or proceeding by the
mailing of copies thereof by registered or certified mail, postage prepaid, to the Borrower at its address for notices pursuant to section 13.3, such service to become effective 30 days after such mailing or at such earlier time as may be provided
under applicable law. Nothing herein shall affect the right of the Administrative Agent or any Lender to serve process in any other manner permitted by law or to commence legal proceedings or otherwise proceed against the Borrower in any other
jurisdiction. 
  
 (b) The Borrower hereby
irrevocably waives any objection that it may now or hereafter have to the laying of venue of any of the aforesaid actions or proceedings arising out of or in connection with this Agreement or any other Credit Document brought in the courts referred
to in section 13.8(a) above and hereby further irrevocably waives and agrees not to plead or claim in any such court that any such action or proceeding brought in any such court has been brought in an inconvenient forum. 
  
 (c) EACH OF THE PARTIES TO THIS AGREEMENT HEREBY IRREVOCABLY
WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS (INCLUDING, WITHOUT LIMITATION, ANY AMENDMENTS, WAIVERS OR OTHER MODIFICATIONS RELATING
TO ANY OF THE FOREGOING), OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. EACH PARTY HERETO HEREBY (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD
NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS
PARAGRAPH. 
  
 13.9. Counterparts. This Agreement
may be executed in any number of counterparts and by the different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original, but all of which shall together constitute one and the same agreement. A
set of counterparts executed by all the parties hereto shall be lodged with the Borrower and the Administrative Agent. 
  
 13.10. Effectiveness; Integration. This Agreement shall become effective on the date (the “Effective Date”) on which
the Borrower and each of the Lenders shall have signed a copy hereof (whether the same or different copies) and shall have delivered the same to the Administrative Agent at the Notice Office of the Administrative Agent or, in the case of the
Lenders, shall have given to the Administrative Agent telephonic (confirmed in writing), written telex or facsimile transmission notice (actually received) at such office that the same has been signed and mailed or sent by overnight courier to it.
This Agreement, the other Credit Documents and any separate letter agreements with respect to fees payable to the Administrative Agent, for its own account and benefit and/or for the account, benefit of, and distribution to, the Lenders, constitute
the entire contract among the parties relating to the subject matter hereof and thereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof or thereof. 
  
 13.11. Headings Descriptive. The headings of the several
sections and other portions of this Agreement are inserted for convenience only and shall not in any way affect the meaning or construction of any provision of this Agreement. 
  

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 13.12. Amendment or Waiver. Neither this Agreement nor any terms hereof or thereof may be
amended, waived or otherwise modified unless such amendment, waiver or other modification is in writing and signed by the Borrower and the Required Lenders, provided that no such amendment, waiver or other modification
shall, without the consent of each Lender (other than a Defaulting Lender) affected thereby: 
  
 (a) extend any final date on or by which any Loan to be made by such Lender may be incurred, or on which any such Loan is scheduled to be repaid (but not prepaid) or mature, or extend any date on or by
which any interest or fees payable hereunder are scheduled to be paid, or extend any final date on which any Commitment of such Lender is scheduled to expire or terminate or increase any such Lender’s General Revolving Commitment or extend the
expiration date of any Letter of Credit as to which such Lender is a Participant pursuant to section 3.4 beyond the latest expiration date for a Letter of Credit provided for herein, or reduce the rate of interest or Fees thereon (except in
connection with a waiver of the applicability of any post-default increase in interest rates), or reduce the principal amount thereof. 
  
 (b) amend, modify or waive any provision of this section 13.12, or section 12.7, 13.4, 13.6 or 13.7(b), or any other provision of any of the
Credit Documents pursuant to which the consent or approval of all Lenders is by the terms of such provision explicitly required; 
  
 (c) reduce the percentage specified in, or otherwise modify, the definition of Required Lenders; 
  
 (d) release any Material Subsidiary from the Subsidiary
Guaranty; or 
  
 (e) consent to the assignment or
transfer by the Borrower of any of its rights and obligations under this Agreement. 
  
 No provision of section 12 may be amended without the consent of the Administrative Agent. 
  
 13.13. Survival. All indemnities set forth herein including, without limitation, in section 2.10, 2.11, 12.7 and 13.1, shall survive the
execution and delivery of this Agreement and the making, prepayment and repayment of Loans. 
  
 13.14. Domicile of Loans. Each Lender may transfer and carry its Loans at, to or for the account of any branch office, subsidiary or affiliate of such Lender, provided that no Borrower
shall be responsible for costs arising under section 2.10 resulting from any such transfer (other than a transfer pursuant to section 2.12) to the extent not otherwise applicable to such Lender prior to such transfer. 
  
 13.15. Confidentiality. (a) The Administrative Agent and the
Lenders agrees to maintain the confidentiality of the Confidential Information (as defined below), except that Confidential Information may be disclosed: (i) to its and its Affiliates’ directors, officers, employees and agents,
including accountants, legal counsel and other advisors (it being understood that the persons to whom such disclosure is made will be informed of the confidential nature of such Confidential Information and instructed to keep such Confidential
Information confidential); (ii) to any direct or indirect contractual counterparty in any swap, hedge or similar agreement (or to any such contractual counterparty’s professional advisor, so long as such contractual counterparty (or such
professional advisor) agrees to be bound by the provisions of this section 13.15; (iii) to the extent requested by any regulatory authority; (iv) to the extent required by applicable laws or regulations or by any subpoena or similar legal process;
(v) to any other party to this Agreement; (vi) in connection with the exercise of any remedies hereunder or under any of the other Credit Documents, or any suit, action or proceeding relating to this Agreement or any of the other Credit Documents or
the enforcement of rights hereunder or thereunder; (vii) subject to an agreement containing provisions substantially the same as those of this section 13.15, to any assignee 

  

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of or participant in, or any prospective assignee of or participant in, any of its rights or obligations under this Agreement; (viii) with the consent of the
Borrower; or (ix) to the extent such Confidential Information (x) becomes publicly available other than as a result of a breach of this section 13.15, or (y) becomes available to the Administrative Agent or any Lender on a nonconfidential basis from
a source other than the Borrower. 
  
 (b) For the
purposes of this section 13.15, “Confidential Information” means all information received from the Borrower relating to the Borrower and/or its Subsidiaries or their business, other than any such information that is (i)
identified at the time of delivery as non-confidential, or (ii) available to the Administrative Agent or any Lender on a nonconfidential basis prior to disclosure by the Borrower. 
  
 (c) Any person required to maintain the confidentiality of Confidential Information as provided in this
section 13.15 shall be considered to have complied with its obligation to do so if such person has exercised the same degree of care to maintain the confidentiality of such Confidential Information as such person would accord to its own confidential
information. The Borrower hereby agrees that the failure of the Administrative Agent or any Lender to comply with the provisions of this section 13.15 shall not relieve the Borrower of any of its obligations under this Agreement or any of the other
Credit Documents. 
  
 13.16. Lender Register. The
Borrower hereby designates the Administrative Agent to serve as its agent, solely for purposes of this section 13.16, to retain a copy of each Assignment Agreement delivered to and accepted by it and to maintain a register (the “Lender
Register”) on or in which it will record the names and addresses of the Lenders, and the Commitments from time to time of each of such Lenders to the Borrower, the Loans made to the Borrower by each of such Lenders and each repayment
and prepayment in respect of the principal amount of such Loans of each such Lender. Failure to make any such recordation, or (absent manifest error) any error in such recordation, shall not affect the Borrower’s obligations in respect of such
Loans. With respect to any Lender, the transfer of any Commitment of such Lender and the rights to the principal of, and interest on, any Loan made pursuant to such Commitment shall not be effective until such transfer is recorded on the Lender
Register maintained by the Administrative Agent with respect to ownership of such Commitment and Loans and prior to such recordation all amounts owing to the transferor with respect to such Commitment and Loans shall remain owing to the transferor.
The registration of assignment or transfer of all or part of any Commitment and Loans shall be recorded by the Administrative Agent on the Lender Register only upon the acceptance by the Administrative Agent of a properly executed and delivered
Assignment Agreement pursuant to section 13.4(c). The Borrower agrees to indemnify the Administrative Agent from and against any and all losses, claims, damages and liabilities of whatsoever nature that may be imposed on, asserted against or
incurred by the Administrative Agent in performing its duties under this section 13.16. The Lender Register shall be available for inspection by the Borrower or any Lender at any reasonable time and from time to time upon reasonable prior notice.

  
 13.17. General Limitation of Liability. No claim
may be made by the Borrower, any Lender or the Administrative Agent or any other person against the Administrative Agent or any other Lender or the Affiliates, directors, officers, employees, attorneys or agents of any of them, for any damages other
than actual compensatory damages in respect of any claim for breach of contract or any other theory of liability arising out of or related to the transactions contemplated by this Agreement or any of the other Credit Documents, or any act, omission
or event occurring in connection therewith, and the Borrower, each Lender and the Administrative Agent hereby, to the fullest extent permitted under applicable law, waives, releases and agrees not to sue or counterclaim upon any such claim for any
special, consequential or punitive damages, whether or not accrued and whether or not known or suspected to exist in its favor. 
  
 13.18. No Duty. All attorneys, accountants, appraisers, consultants and other professional persons (including the firms or other entities on
behalf of which any such person may act) retained by the 

  

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Administrative Agent or any Lender with respect to the transactions contemplated by the Credit Documents shall have the right to act exclusively in the
interest of the Administrative Agent or such Lender, as the case may be, and shall have no duty of disclosure, duty of loyalty, duty of care, or other duty or obligation of any type or nature whatsoever to the Borrower, to any of its Subsidiaries or
Affiliates, or to any other person, with respect to any matters within the scope of such representation or related to their activities in connection with such representation. The Borrower agrees, on behalf of itself and its Subsidiaries, not to
assert any claim or counterclaim against any such persons with regard to such matters, all such claims and counterclaims, now existing or hereafter arising, whether known or unknown, foreseen or unforeseeable, being hereby waived, released and
forever discharged. 
  
 13.19. Lenders and Agents Not
Fiduciary to Borrower, etc. The relationship among the Borrower and its Subsidiaries and Affiliates, on the one hand, and the Administrative Agent and the Lenders, on the other hand, is solely that of debtor and creditor, and the Administrative
Agent and the Lenders have no fiduciary or other special relationship with the Borrower and/or any of its Subsidiaries and Affiliates, and no term or provision of any Credit Document, no course of dealing, no written or oral communication, or other
action, shall be construed so as to deem such relationship to be other than that of debtor and creditor. 
  
 13.20. Survival of Representations and Warranties. All representations and warranties herein shall survive the making of Loans hereunder,
the execution and delivery of this Agreement, the Notes and any other documents the forms of which are attached as Exhibits hereto, the issue and delivery of the Notes, any disposition thereof by any holder thereof, and any investigation made by the
Administrative Agent or any Lender or any other holder of any of the Notes or on its behalf. All statements contained in any certificate or other document delivered to the Administrative Agent or any Lender or any holder of any Notes by or on behalf
of the Borrower or any of its Subsidiaries or Affiliates pursuant hereto or otherwise specifically for use in connection with the transactions contemplated hereby shall constitute representations and warranties by the Borrower hereunder, made as of
the respective dates specified therein or, if no date is specified, as of the respective dates furnished to the Administrative Agent or any Lender. 
  
 13.21. Independence of Covenants. All covenants hereunder shall be given independent effect so that if a particular action, event, condition
or circumstance is not permitted by any of such covenants, the fact that it would be permitted by an exception to, or would otherwise be within the limitations or restrictions of, another covenant, shall not avoid the occurrence of a Default or an
Event of Default if such action is taken or event, condition or circumstance exists. 
  
 [The balance of this page is intentionally blank.] 
  

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 IN WITNESS WHEREOF, each of the parties hereto has caused a counterpart of this Agreement
to be duly executed and delivered as of the date first above written. 
  

									
	CALGON CARBON CORPORATION	 	 	 	 NATIONAL CITY BANK OF PENNSYLVANIA
 Individually as a Lender, and as a Letter of Credit Issuer, the Swing Line Lender and Administrative Agent

					
	By:	 	 	 	 	 	By:	 	 
	 	 	
	 	 	 	 	 	

	 Name:
	 	Leroy M. Ball	 	 	 	 Name:
	 	Lori B. Shure
	 Title:
	 	Chief Financial Officer	 	 	 	 Title:
	 	Vice President

  

			
	PNC BANK, NATIONAL ASSOCIATION
		
	By:	 	 
	 	 	

	Name:	 	 
	 	 	

	Title:	 	 
	 	 	

  

			
	FLEET NATIONAL BANK
		
	By:	 	 
	 	 	

	Name:	 	 
	 	 	

	Title:	 	 
	 	 	

  

			
	FIFTH THIRD BANK
		
	By:	 	 
	 	 	

	Name:	 	 
	 	 	

	Title:	 	 
	 	 	

  

			
	WACHOVIA BANK, NATIONAL ASSOCIATION
		
	By:	 	 
	 	 	

	Name:	 	 
	 	 	

	Title:	 	 
	 	 	

  

 ANNEX I 
  
 INFORMATION AS TO LENDERS 
  

							
	 Name of Lender

	  	Commitment

	  	 Domestic Lending Office

	  	Eurodollar
Lending Office

	National City Bank of Pennsylvania	  	General Revolving
Commitment:  
 $32,000,000
  
 Swing Line
Revolving
Commitment:
  
 $10,000,000
	  	 National City Bank of Pennsylvania
  
 Primary Contact:
  
 Lori B. Shure
 20 Stanwix Avenue
 Pittsburgh, PA 15219
 Telephone: (412) 644-7757
 Facsimile: (412) 471-4883
  
 Contact for Borrowings, Payments,
etc.:
  
 Attn: Sonya Townsell
 629 Euclid Avenue
 Locator No. 01-3028
 Cleveland, OH 44114
 Telephone: (216) 222-2254
 Facsimile: (216) 222-0012
  
 Wiring Information:
  
 National City
Bank
 Pittsburgh, PA
 ABA: 043-000-122
 Beneficiary: Agent Services Group
 Account No. 151810
 Ref: Calgon Carbon
	  	Same

  

							
	PNC Bank, National Association	  	General Revolving
Commitment:  
 $24,500,000
	  	 PNC Bank, National Association
  
 Primary Contact:
  
 William Armitage
 249 Fifth Avenue, 5th Floor
 Pittsburgh, PA 15222
 Telephone: (412) 768-1444
 Facsimile: (412) 762-4718
  
 Contact for Borrowings, Payments, etc.:
  
 Attn: Gloria Adams-Garbart
 500 First Avenue
 Pittsburgh, PA 15219
 Telephone: (412) 762-4753
 Facsimile: (412) 768-4586
  
 Wiring Information:
  
 PNC Bank

Pittsburgh, PA
 ABA: 043-000-096
 Beneficiary: Commercial Loans
 Account No. 130760016803
 Ref: Calgon Carbon
  
	  	Same
	Wachovia Bank, National Association	  	General Revolving
Commitment:  
 $24,500,000
	  	 Wachovia Bank, National Association
  
 Primary Contact:
  
 Patrick J. Kaufmann
 Meetinghouse Business Center
 2240 Butler Pike – PA5414
 Plymouth Meeting, PA 19462
 Telephone: (610) 941-3308
 Facsimile: (510) 941-3129
  
 Contact for Borrowings, Payments, etc.:
  
 Attn: Kathy Hansen
 10 South Jefferson Street
 Roanoke, VA 24011
 Telephone: (540) 857-4515
 Facsimile: (540) 857-4635
  
 Wiring Information:
  
 Wachovia Bank,
National Association
 Roanoke, VA
 ABA: 053-000-219
 Beneficiary: Commercial Support Services
 Account No. 1459160000005

Ref: Calgon Carbon
 Attn: Bank #(20), Obligor #(1258356488),
 Obligation #(34)
	  	Same

  

							
	Fleet National Bank	  	General Revolving
Commitment:  
 $22,000,000
	  	 Fleet National Bank
  
 Primary Contact:
  
 David Molnar
 625 Liberty Avenue, #2800
 Pittsburgh, PA 15222
 Telephone: (412) 255-3712
 Facsimile: (412) 255-3760
  
 Contact for Borrowings, Payments,
etc.:
  
 Attn: Zakiya Williams
 7111 Valley Green Road
 Fort Washington, PA 19034
 Telephone: (215) 836-3842
 Facsimile: (215) 836-7120
  
 Wiring Information:
  
 Fleet Bank N.A.
 ABA: 021-300-019
 Account No. 1510351-15901
 Ref: Calgon Carbon Corp.
 Attn: Zakiya Williams
  
	  	Same
	Fifth Third Bank	  	General Revolving
Commitment:  
 $22,000,000
	  	 Fifth Third Bank
  
 Primary Contact:
  
 Jim Janovsky
 11 Parkway Center, Suite 375
 Pittsburgh, PA 15222
 Telephone: (412) 937-1855 x27
 Facsimile: (412) 937-9896
  
 Contact for
Borrowings, Payments, etc.:
  
 Attn: Vel Woods
 1404 East Ninth Street
 Cleveland, OH 44114
 Telephone: (216) 274-5578
 Facsimile: (216) 274-5420
  
 Wiring Information:
  
 Fifth Third Bank
 Cincinnati, OH
 ABA: 042-000-314
 Beneficiary: Fifth Third Bank – Northeastern
Ohio
 Account No. 99208599
 Ref: Calgon Carbon
	  	Same

  

 ANNEX II 
  

INFORMATION AS TO SUBSIDIARIES 
  

							
	 Name of Subsidiary

	  	 Type of Organization

	  	 Jurisdiction Where Organized

	  	 Percentage
of
Outstanding Stock or Other Equity
Interests Owned (Owned by the
Borrower unless otherwise noted)

	 	  	 	  	 	  	 
	

	 	  	 	  	 	  	 
	

	 	  	 	  	 	  	 
	

  

 ANNEX III 
  

DESCRIPTION OF EXISTING INDEBTEDNESS 
  

 ANNEX IV 
  

DESCRIPTION OF EXISTING LIENS 
  

 ANNEX V 
  
 DESCRIPTION OF EXISTING ADVANCES, LOANS, INVESTMENTS AND GUARANTEES 
  

 ANNEX VI 
  

DESCRIPTION OF EXISTING LETTERS OF CREDIT 
  

 ANNEX VII 
  

DESCRIPTION OF MATERIAL RECOVERY EVENTS 
  

 ANNEX VIII 
  

ALTERNATIVE CURRENCIES 
  
 Euros 
  
 Canadian Dollars 
  
 Pounds Sterling 
  
 Japanese Yen 
  
 New Zealand Dollars 
  

 ANNEX IX 
  

DESCRIPTION OF CONTINGENT LIABILITIES WITH RESPECT TO 
 POST-RETIREMENT WELFARE BENEFIT PLANS 
  

 ANNEX X 
  
 DESCRIPTION OF DOCUMENTS REQUIRED TO BE SCHEDULED 
 PURSUANT TO SECTION 9.11 
  
  

 ANNEX XI 
  

ENVIRONMENTAL MATTERS 
  

 EXHIBIT A-1 
  
 GENERAL REVOLVING NOTE 
  
 $                     

			
	Pittsburgh, Pennsylvania	  	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of
             (the “Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative
Currency shall be payable in such Alternative Currency, in immediately available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred
to below) of National City Bank of Pennsylvania (the “Administrative Agent”), on the Maturity Date, the principal sum of
                     DOLLARS AND NO CENTS ($             ) or, if
less, the then unpaid principal amount of all General Revolving Loans made by the Lender to the Borrower pursuant to the Credit Agreement. 
  
 The Borrower promises also to pay interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money
at said office from the date hereof until paid at the rates and at the times provided in section 2.8 of the Agreement. 
  
 This Note is one of the General Revolving Notes referred to in the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial
institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative Agent (as from time to time in effect, the “Credit Agreement”), and is entitled to the benefits
thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Credit Agreement, this Note is subject to mandatory prepayment prior to the Maturity Date, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of
and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind in connection with this Note. No failure to exercise, or delay in
exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  
 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	 By:
	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of Loan

	  	 Interest
 Period

	  	 Amount of
Principal
 Paid or
 Prepaid

	  	Unpaid
Principal
Balance

	  	Made By

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

  

 EXHIBIT A-2 
  
 SWING LINE REVOLVING NOTE 
  

			
	 $10,000,000
	 	 
	 Pittsburgh, Pennsylvania
	 	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of NATIONAL CITY BANK OF
PENNSYLVANIA (the “Lender”), in lawful money of the United States of America in immediately available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings
ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the “Administrative Agent”), the principal sum of TEN MILLION DOLLARS AND NO CENTS ($10,000,000) or, if less,
the then unpaid principal amount of all Swing Line Revolving Loans made by the Lender to the Borrower pursuant to the Credit Agreement. The Borrower will pay the principal amount of any Swing Line Revolving Loan no later than the Maturity Date.

  
 The Borrower promises also to pay interest on the unpaid
principal amount of each Swing Line Revolving Loan made by the Lender in like money at said office from the date hereof until paid at the rates and at the times provided in section 2.8 of the Credit Agreement. 
  
 This Note is the Swing Line Revolving Note referred to in the Credit
Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative Agent (as from time to time in effect, the
“Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Agreement, this Note is subject to mandatory prepayment prior to the
maturity date of any Swing Line Revolving Loan, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind
in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of
 Loan/or
 Interest Rate

	  	Maturity

	  	 Amount of
Principal
 Paid or
 Prepaid

	  	Unpaid
Principal
Balance

	  	Made By

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

	 	 	 	 	 	  	 	  	 	  	 	  	 
	

  

 EXHIBIT B-1 
  
 NOTICE OF BORROWING 
  

 EXHIBIT B-2 
  
 NOTICE OF CONVERSION 
  

 EXHIBIT B-3 
  
 NOTICE OF REDENOMINATION 
  
 [Date] 
  
 National City Bank of Pennsylvania, 
 as Administrative Agent for the Lenders party 
 to the Credit Agreement referred to below 
  
 National City Bank of Pennsylvania 
 Attn: Agent Services 
 Locator No. 01-3028 
 629 Euclid Avenue 
 Cleveland, Ohio 44114 
  
 Attention: Commercial Loan Operations 
  

	 	Re:	Notice of Redenomination of Loans under the Credit Agreement, dated as of February 18, 2004, with Calgon Carbon Corporation 

  
 Ladies and Gentlemen: 
  
 The undersigned, Calgon Carbon Corporation (the “Borrower”), refers to the Credit Agreement, dated as of February
18, 2004 (as amended from time to time, the “Credit Agreement,” the terms defined therein being used herein as therein defined), among the Borrower, the financial institutions from time to time party thereto (the
“Lenders”), and National City Bank of Pennsylvania, as Administrative Agent for such Lenders, and hereby gives you notice pursuant to section 2. 7(b) of the Credit Agreement, that the undersigned hereby requests one or more Redenominations
of Loans into Loans of another currency, and in that connection sets forth in the schedule attached hereto the information relating to each such Redenomination. 
  

			
	 Very truly yours,

	
	 CALGON CARBON CORPORATION

		
	 By:
	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

 REDENOMINATION SCHEDULE 
  
 Proposed Redenomination #1 
 [of the Loans described in the first table below 
 into Loans described in the second table below] 
  

							
	 Date of Loan

	  	 Type of Loans

	  	 Aggregate Amount
 of Loans

	  	 Interest Period if Loans are
Eurodollar Loans

	 	  	 	  	 	  	One Month
	__________, 200_	  	Prime Rate Loans	  	$__________________	  	 
	 	  	 	  	 	  	Two Months
	 	  	Eurodollar Loans	  	Alternative Currency and Amount: ____________	  	Three Months
	 	  	[Circle One of Above]	  	 	  	 
	 	  	 	  	[Complete one of above]	  	Six Months
				
	 	  	 	  	 	  	 [Circle one of above]

				
	 Date of Loan

	  	 Type of Loans

	  	 Aggregate Amount
 of Loans

	  	 Interest Period if Loans are
Eurodollar Loans

	 	  	 	  	 	  	One Month
	__________, 200_	  	Prime Rate Loans	  	$___________________	  	 
	 	  	 	  	 	  	Two Months
	 	  	Eurodollar Loans	  	Alternative Currency and Amount: _____________	  	Three Months
	 	  	[Circle One of Above]	  	 	  	 
	 	  	 	  	[Complete one of above]	  	Six Months
				
	 	  	 	  	 	  	 [Circle one of above]

  

 Proposed Redenomination #2 
 [of the Loans described in the first table below 
 into Loans described in the second table below]

  

							
	 Date of Loan

	  	 Type of Loans

	  	 Aggregate Amount of Loans

	  	 Interest Period if Loans are
Eurodollar Loans

	 	  	 	  	 	  	One Month
	__________, 200_	  	Prime Rate Loans	  	$__________________	  	 
	 	  	 	  	 	  	Two Months
	 	  	Eurodollar Loans	  	Alternative Currency and Amount: ____________	  	Three Months
	 	  	[Circle One of Above]	  	 	  	 
	 	  	 	  	[Complete one of above]	  	Six Months
				
	 	  	 	  	 	  	 [Circle one of above]

				
	 Date of Loan

	  	 Type of Loans

	  	 Aggregate Amount of Loans

	  	 Interest Period if Loans are
Eurodollar Loans

	 	  	 	  	 	  	One Month
	__________, 200_	  	Prime Rate Loans	  	$__________________	  	 
	 	  	 	  	 	  	Two Months
	 	  	Eurodollar Loans	  	Alternative Currency and Amount: ____________	  	Three Months
	 	  	[Circle One of Above]	  	 	  	 
	 	  	 	  	[Complete one of above]	  	Six Months
				
	 	  	 	  	 	  	 [Circle one of above]

  

 EXHIBIT B-4 
  
 LETTER OF CREDIT REQUEST 
  
 No.
                             1 
  
 Dated                  2  
  
 National City Bank of
Pennsylvania, 
 as Administrative Agent for the Lenders party 
 to the Credit Agreement referred to below 
  
 National City Bank of Pennsylvania 
 Attn: Agent Services 
 Locator No. 01-3028 
 629 Euclid Avenue 
 Cleveland,
Ohio 44114 
  

	 	Attention: 	Letter of Credit Operations 

  
 Ladies and Gentlemen: 
  
 The undersigned, Calgon Carbon Corporation (the “Borrower”), refers to the Credit Agreement, dated as of February 18, 2004 (as
amended, modified or supplemented from time to time, the “Credit Agreement,” the capitalized terms defined therein being used herein as therein defined), among the Borrower, the financial institutions from time to time party
thereto (the “ Lenders”), and National City Bank of Pennsylvania, as Administrative Agent for such Lenders. 
  
 The undersigned hereby requests that
                                        
    , as a Letter of Credit Issuer, issue a Letter of Credit on
                            , 200_ (the “Date of Issuance”) in the aggregate
amount of [U.S.$                ] [amount in specified Alternative Currency], for the account of
                                . 
  
 The beneficiary of the requested Letter of Credit will be
                                ,3 and such Letter of Credit will be in support of
                                4 and will have a stated termination date of
                                .5 
  
 The undersigned hereby certifies that after giving effect to the requested issuance of the Letter of Credit: 
  

	 	(i)	$                     principal amount of General Revolving Loans will be
outstanding; and 

  

	 	(ii)	the Letter of Credit Outstandings will be $                    .

	1	Letter of Request Number. 

  

	2	Date of Letter of Request (at least five Business Days prior to the Date of Issuance or such lesser number as may be agreed by the relevant Letter of Credit Issuer).

  

	3	Insert name and address of beneficiary. 

  

	4	Insert description of the supported obligations, name of agreement and/or the commercial transaction to which this Letter of Credit Request relates. 

  

	5	Insert last date upon which drafts may be presented (which may not be beyond the 15th Business Day next preceding the Revolving Maturity Date). 

  

 The undersigned hereby certifies that the following statements are true on the date hereof, and will be
true on the Date of Issuance: 
  
 (A) the
representations and warranties of the Borrower contained in the Credit Agreement and the other Credit Documents are and will be true and correct in all material respects, before and after giving effect to the Proposed Borrowing and to the
application of the proceeds thereof, as though made on such date, except to the extent that such representations and warranties expressly relate to an earlier specified date, in which case such representations and warranties were true and correct in
all material respects as of the date when made; and 
  
 (B) no Default or Event of Default has occurred and is continuing, or would result after giving effect to the issuance of the Letter of Credit requested hereby. 
  
 Copies of all documentation with respect to the supported transaction are attached hereto. 
  

			
	 Very truly yours,

	
	 CALGON CARBON CORPORATION

		
	 By:
	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

			
	 ACKNOWLEDGED AND AGREED TO BY:

	
	 NATIONAL CITY BANK OF PENNSYLVANIA

		
	 By:
	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

 EXHIBIT C 
  

  
 FORM OF 
  
 CORPORATE CERTIFICATE

  

  

 CALGON CARBON CORPORATION 
  
 Corporate Certificate 
  

The undersigned certifies that he is the Secretary of CALGON CARBON CORPORATION, a Delaware corporation (the “
Company”), and that as such he is authorized to execute and deliver this Certificate on behalf of the Company, and further certifies that: 
  

(1) Filing of Charter Documents. No corporate document amending or otherwise modifying the Company’s certificate of
incorporation has been filed with the Secretary of State of Delaware since                     .1 Attached hereto as Exhibit A is a copy of the Company’s Certificate of Incorporation, certified by the Delaware Secretary of State as of a recent
date. 
  
 (2) No Proceedings for Amendments,
Merger, etc. No proceeding for the amendment of the Certificate of Incorporation of the Company, or for the merger, consolidation, sale of substantially all of the assets and business, liquidation or dissolution of the Company has been taken on
or since such date or is pending. 
  
 (3)
Organization and Standing. Attached hereto as Exhibit B is a long-form good standing certificate, dated as of a recent date, from the Delaware Secretary of State evidencing that the Company is validly existing in good standing under the
laws of the State of Delaware. Attached hereto as Exhibit C are certificates, each dated as of a recent date, evidencing the Company’s good standing as a foreign corporation in the following jurisdictions:
                    . 
  
 (4) Bylaws. Attached hereto as Exhibit D is a complete and correct copy of the Bylaws of the Company, as in effect since
                    ,2 and thereafter to and including the date hereof. 
  
 (5) Resolutions. Attached hereto as Exhibit E is a complete and correct copy of resolutions duly adopted by the duly elected Directors of the Company at a meeting duly called and held on
                    , 2004, at which a quorum was present and acting throughout.3 Such resolutions have not been amended, modified or rescinded and are in full force and effect on the date hereof. Such resolutions constitute all of the
resolutions adopted by the Directors of the Company incident to the transactions contemplated by the Credit Agreement (the “Credit Agreement;” with capitalized terms used herein without definition having the respective
meanings ascribed thereto in the Credit Agreement, dated as of February 18, 2004, among the 

	1	Insert the date of filing of the last document affecting the charter of the Company as identified in a long form good standing certificate or certified copy of the
charter and all amendments of the Company. 

  

	2	Insert a date prior to the execution of any documents incident to the transaction. 

  

	3	If the resolutions have been adopted by written consent, the following alternative is
suggested: 

  
 Attached hereto as Exhibit B is a complete and
correct copy of resolutions duly adopted by the duly elected Directors of the Company by unanimous written consent dated [as of]
                    , 2004. 
  
 If the resolutions have been adopted by a committee of Directors, the following is suggested: 
  
 Attached hereto as Exhibit B is a complete and correct copy of resolutions duly adopted by the duly elected [Executive] Committee of the
Directors of the Company at a meeting duly called and held on                     , 2004, at which a quorum was present and acting throughout.
Attached hereto as Exhibit C is a complete and correct copy of resolutions duly adopted by the duly elected Directors of the Company at a meeting duly called and held on
                    , 2004, at which a quorum was present and acting throughout, which resolutions set forth the powers of the [Executive]
Committee of the Directors of the Company. 
  

 Company, the financial institutions named as Lenders therein, and National City Bank of Pennsylvania, as
Administrative Agent for the Lenders under the Credit Agreement). The execution, delivery and performance by the Company of the Credit Agreement, and all other documents to which the Company is to be a party as contemplated by the Credit Agreement,
have been duly authorized by such resolutions. 
  
 (6) Incumbency. Each of the following persons now is and at all times since prior to                     ,4 has been a duly elected or appointed officer of the Company, holding the office or offices in the Company set opposite his or
her name below, and that the signature of each such person set opposite his or her name below is his or her own true original or facsimile signature: 
  

					
	 Name

	  	 Title

	 	 Signature

			
	  

	  	 President and Chief Executive
 Officer
	 	  

			
	  

	  	 Vice President & Chief Financial Officer
	 	  

			
	  

	  	 Treasurer
	 	  

			
	 Michael J. Mocniak
	  	 Vice President, General Counsel and Secretary
	 	 
	 	 	 	 	

  
 IN WITNESS
WHEREOF, the undersigned has duly executed and delivered this Certificate on behalf of the Company on the date specified below. 
  

			
	
	 
	

	 Name:
	 	Michael J. Mocniak
	 	 	Vice President, General Counsel and Secretary

  
 Dated: February 18, 2004

  
 The undersigned, one of the officers named in the foregoing
Certificate, hereby confirms such Certificate as of the date hereof. 
  

			
	
	 
	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

	4	Insert a date prior to the execution of any documents incident to the transaction. 

  

 EXHIBIT D 
  

  
 FORM OF 
  
 SOLVENCY CERTIFICATE 

 

  

 SOLVENCY CERTIFICATE 
  
 CALGON CARBON CORPORATION, a Delaware corporation (the “Borrower”), hereby certifies that the
officer executing this Solvency Certificate is the Chief Financial Officer of the Borrower and that such officer is duly authorized to execute this Solvency Certificate, which is hereby delivered on behalf of the Borrower pursuant to section 7.1(g)
of the Credit Agreement, dated as of February 18, 2004 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”; terms defined or referenced therein and not otherwise defined or referenced
herein being used herein as therein defined or referenced), among the Borrower, the Lenders named therein, and National City Bank of Pennsylvania, as Administrative Agent. 
  
 The Borrower further certifies that such officer is generally familiar with the properties, businesses and assets of the
Borrower and has carefully reviewed the Credit Documents and the contents of this Solvency Certificate and, in connection herewith, has reviewed such other documentation and information and has made such investigations and inquiries as the Borrower
and such officer deem necessary and prudent therefor. The Borrower further certifies that the financial information and assumptions that underly and form the basis for the representations made in this Solvency Certificate were reasonable when made
and were made in good faith and continue to be reasonable as of the date hereof. 
  
 The Borrower understands that the Lenders are relying on the truth and accuracy of this Solvency Certificate in connection with the Credit Documents. 
  
 The Borrower hereby further certifies that: 
  
 1. The Borrower has reviewed the Financial Projections that were prepared on the basis of the estimates and assumptions
stated therein, a copy of that Financial Projections were furnished to the Lenders. The Financial Projections were prepared in good faith and represent reasonable estimates of future financial performance and are reasonable in light of the business
conditions existing on the date hereof. However, the Borrower can provide no assurances as to the outcome of any such projections. On the date hereof, immediately before and immediately after giving effect to the Contemplated Transactions, to the
best of the Borrower’s knowledge, the fair value of the property and assets of the Borrower is greater than the total amount of liabilities (including contingent, subordinated, absolute, fixed, matured or unmatured and liquidated or
unliquidated liabilities) of the Borrower. 
  
 2. On the date
hereof, the present fair salable value of the property and assets of the Borrower exceeds the amount that will be required to pay the probable liabilities of the Borrower on its debts as they become absolute and matured. 
  
 3. The Borrower does not currently intend or believe that it will incur debts
and liabilities that will be beyond its ability to pay as such debts and liabilities mature. 
  
 4. On the date hereof, the Borrower is not engaged in business or in a transaction, and is not about to engage in business or in a transaction, for that its property and assets would constitute unreasonably small
capital. 
  
 5. The Borrower does not intend to hinder, delay or
defraud either present or future creditors or any other person to which the Borrower is or, on or after the date hereof, will become indebted. 
  

 IN WITNESS WHEREOF, the Borrower has caused this Solvency Certificate to be executed by its Chief
Financial Officer thereunto duly authorized, on and as of this 18th day of February, 2004. 
  

			
	 CALGON CARBON CORPORATION

		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  

 EXHIBIT E 
  

  
 FORM OF 
  
 ASSIGNMENT AGREEMENT 

 

  

 ASSIGNMENT AGREEMENT 
  
 DATE:
                     
  
 Reference is made to the Credit Agreement described in Item 2 of Annex I annexed hereto (as such Credit Agreement may hereafter be amended, modified or
supplemented from time to time, the “Credit Agreement”). Unless defined in Annex I attached hereto, terms defined in the Credit Agreement are used herein as therein defined. 
  
                      (the “Assignor”) and
                 (the “Assignee”) hereby agree as follows: 
  
 1. The Assignor hereby sells and assigns to the Assignee without recourse and without representation or warranty (other than
as expressly provided herein), and the Assignee hereby purchases and assumes from the Assignor, that interest in and to all of the Assignor’s rights and obligations under the Credit Agreement as of the date hereof that represents the percentage
interest specified in Item 4 of Annex I (the “Assigned Share”) of all of Assignor’s outstanding rights and obligations under the Credit Agreement indicated in Item 4 of Annex I, including, without limitation, all rights
and obligations with respect to the Assigned Share of the Assignor’s Commitment and of the Loans and the Notes held by the Assignor. After giving effect to such sale and assignment, the Assignee’s Commitment will be as set forth in Item 4
of Annex I. 
  
 2. The Assignor (i) represents and warrants that
it is the legal and beneficial owner of the interest being assigned by it hereunder, that such interest is free and clear of any liens or security interests, and that it is duly authorized to enter into and perform the terms of this Assignment
Agreement; (ii) makes no representation or warranty and assumes no responsibility with respect to any statements, warranties or representations made in or in connection with the Credit Agreement or the other Credit Documents or the execution,
legality, validity, enforceability, genuineness, sufficiency or value of the Credit Agreement or the other Credit Documents or any other instrument or document furnished pursuant thereto; and (iii) makes no representation or warranty and assumes no
responsibility with respect to the financial condition of the Borrower or any of its Subsidiaries or the performance or observance by the Borrower of any of its obligations under the Credit Agreement or the other Credit Documents or any other
instrument or document furnished pursuant thereto. 
  
 3. The
Assignee (i) represents and warrants that it is duly authorized to enter into and perform the terms of this Assignment Agreement; (ii) confirms that it has received a copy of the Credit Agreement and the other Credit Documents, together with copies
of the financial statements referred to therein, and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment Agreement; (iii) agrees that it will, independently and
without reliance upon the Administrative Agent, the Assignor or any other Lender and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under the
Credit Agreement; (iv) appoints and authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such powers under the Credit Agreement and the other Credit Documents as are delegated to the Administrative Agent by
the terms thereof, together with such powers as are reasonably incidental thereto; [and] (v) agrees that it will perform in accordance with their terms all of the obligations that by the terms of the Credit Agreement are required to be
performed by it as a Lender[; and (vi) to the extent legally entitled to do so, attaches the forms described in section 6.4(b)(ii) of the Credit Agreement5. 

	5	If the Assignee is organized under the laws of a jurisdiction outside the United States.

  

 4. Following the execution of this Assignment Agreement by the Assignor and the Assignee, an executed
original hereof (together with all attachments) will be delivered to the Administrative Agent. The effective date of this Assignment Agreement shall be the date of execution hereof by the Assignor, the Assignee and the consent hereof by the
Administrative Agent and the receipt by the Administrative Agent of the administrative fee referred to in section 13.4(c) of the Credit Agreement, unless otherwise specified in Item 5 of Annex I hereto (the “Settlement
Date”). 
  
 5. Upon the delivery of a fully executed
original hereof to the Administrative Agent, as of the Settlement Date, (i) the Assignee shall be a party to the Credit Agreement and, to the extent provided in this Assignment Agreement, have the rights and obligations of a Lender thereunder and
under the other Credit Documents, and (ii) the Assignor shall, to the extent provided in this Assignment Agreement, relinquish its rights (except any rights to indemnity by the Borrower) and be released from its obligations under the Credit
Agreement and the other Credit Documents. 
  
 6. It is agreed that
upon the effectiveness hereof, the Assignee shall be entitled to (x) all interest on the Assigned Share of the Loans at the rates specified in Item 6 of Annex I, and (y) all Facility Fee (if applicable) on the Assigned Share of the Commitment at the
rate specified in Item 7 of Annex I, that, in each case, accrue on and after the Settlement Date, such interest and, if applicable, Facility Fees, to be paid by the Administrative Agent, upon receipt thereof from the Borrower, directly to the
Assignee. It is further agreed that all payments of principal made by the Borrower on the Assigned Share of the Loans that occur on and after the Settlement Date will be paid directly by the Administrative Agent to the Assignee. Upon the Settlement
Date, the Assignee shall pay to the Assignor an amount specified by the Assignor in writing which represents the Assigned Share of the principal amount of the respective Loans made by the Assignor pursuant to the Credit Agreement that are
outstanding on the Settlement Date, net of any closing costs, and that are being assigned hereunder. The Assignor and the Assignee shall make all appropriate adjustments in payments under the Credit Agreement for periods prior to the Settlement Date
directly between themselves on the Settlement Date. 
  
 7. THIS
ASSIGNMENT AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE COMMONWEALTH OF PENNSYLVANIA. 
  
 * * * 
  
 IN WITNESS WHEREOF, the parties hereto have caused this Assignment Agreement to be executed by their respective officers thereunto duly authorized,
as of the date first above written. 
  

									
	 [NAME OF ASSIGNOR],
 as Assignor
	 	 	 	 [NAME OF ASSIGNEE],
 as Assignee

					
	By:	 	 	 	 	 	By:	 	 
	 	 	
	 	 	 	 	 	

	 Vice President
	 	 	 	 Vice President

  
 Acknowledged and agreed. 

 

			
	 NATIONAL CITY BANK OF PENNSYLVANIA,
 as Administrative Agent

		
	By:	 	 
	 	 	

	 Vice President

  

 ANNEX I 
 FOR 
 ASSIGNMENT AND ASSUMPTION AGREEMENT 
  

																			
	 1.      The Borrower:
  
	 	 CALGON CARBON CORPORATION
  
	  
 

	 2.      Name and Date of Credit Agreement:
  
	 	 Credit Agreement, dated as of February 18, 2004, among Calgon Carbon Corporation, the Lenders from time to time party thereto, and
National City Bank of Pennsylvania, as Administrative Agent.
  
	    
 

	 3.      Date of Assignment Agreement:
  
	 	                      ,
            
  
	  
 

		
	 4.      Amounts (as of date of item #3 above):
	         
	 	 	 	 
						
	 	 	 	  	General
Revolving
Commitment

	 	 	General
Revolving
Loans

	 	 	Swing Line
Revolving
Commitment

	 	 	Swing
Line
Revolving
Loans

	 
	 Aggregate Amount for all Lenders
	  	$	          	 	 	$	          	 	 	$	          	 	 	$	          	 
	 Assigned Share
	  	 	          	%	 	 	          	%	 	 	          	%	 	 	          	%
	 Amount of Assigned Share
	  	$	          	 	 	$	          	 	 	$	          	 	 	$	          	 
	 Amount Retained by Assignor
	  	$	          	 	 	$	          	 	 	$	          	 	 	$	          	 
		
	 5.      Settlement Date:
	 	                     ,
            	 
		
	 6.      Rate of Interest to the Assignee:
	 	As set forth in section 2.8 of the Credit Agreement (unless otherwise agreed to by the Assignor and the Assignee).6	  
		
	 7.      Facility Fee:
	 	As set forth in section 4.1 of the Credit Agreement (unless otherwise agreed to by the Assignor and the Assignee).7	  

  

	6	The Borrower and the Administrative Agent shall direct the entire amount of the interest to the Assignee at the rate set forth in section 2.8 of the Credit
Agreement, with the Assignor and Assignee effecting any agreed upon sharing of interest through payments by the Assignee to the Assignor. 

  

	7	The Borrower and the Administrative Agent shall direct the entire amount of the Facility Fee to the Assignee at the rate set forth in section 3.1 of the Credit
Agreement, with the Assignor and the Assignee effecting any agreed upon sharing of Facility Fee through payment by the Assignee to the Assignor. 

  

	8.	Notices: 

  

			
	ASSIGNOR:	 	ASSIGNEE:
		
	Attention:                                     
   	 	Attention:                                     
   
	Telephone:	 	Telephone:
	Facsimile:	 	Facsimile:

  

	9.	Payment Instructions: 

  

			
	ASSIGNOR:	 	ASSIGNEE:
		
	ABA No.:	 	ABA No.:
	Account No.:	 	Account No.:
	Ref.: Calgon Carbon Corporation	 	Ref.: Calgon Carbon Corporation
	Attention:                                     
   	 	Attention:                                     
   
	Telephone:	 	Telephone:
	Facsimile:	 	Facsimile:

  

 EXHIBIT F 
  

  
 FORM OF 
  
 SECTION 6.4(B)(II) CERTIFICATE

  

  

 SECTION 6.4(B)(ii) CERTIFICATE 
  
 Reference is hereby made to the Credit Agreement, dated as of February 18, 2004, among Calgon Carbon Corporation, the
financial institutions party thereto from time to time, and National City Bank of Pennsylvania, as Administrative Agent (the “Credit Agreement”). Pursuant to the provisions of section 6.4(b)(ii) of the Credit Agreement, the
undersigned hereby certifies that it is not a “bank” as such term is used in section 881(c)(3)(A) of the Internal Revenue Code of 1986, as amended. 
  

			
	[NAME OF BANK]
		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

  
 Dated:
                     
  

 EXHIBIT G 
  

  
 FORM OF 
  
 SUBSIDIARY GUARANTY 

 

  

 CREDIT AGREEMENT 
  
 dated as of 
 February 18, 2004 
  
 Among 
  
 CALGON CARBON CORPORATION 
 as Borrower, 
  
 THE LENDING INSTITUTIONS NAMED THEREIN 
 as Lenders, 
  
 NATIONAL CITY BANK OF
PENNSYLVANIA 
 as a Lender, the Swing Line Lender and 
 as Administrative Agent, 
  

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page

			
	SECTION 1.	  	 DEFINITIONS AND TERMS
	  	1
	 1.1.
	  	 Certain Defined Terms
	  	1
	 1.2.
	  	 Computation of Time Periods
	  	22
	 1.3.
	  	 Accounting Terms
	  	22
	 1.4.
	  	 Terms Generally
	  	22
	 1.5.
	  	 Currency Equivalents
	  	23
			
	SECTION 2.	  	 AMOUNT AND TERMS OF LOANS
	  	23
	 2.1.
	  	 Commitments for Loans
	  	23
	 2.2.
	  	 Minimum Borrowing Amounts, etc.; Pro Rata Borrowings
	  	24
	 2.3.
	  	 Procedures for Borrowing
	  	24
	 2.4.
	  	 Disbursement of Funds
	  	26
	 2.5.
	  	 Refunding of, or Participation in, Swing Line Revolving Loans
	  	26
	 2.6.
	  	 Notes and Loan Accounts
	  	28
	 2.7.
	  	 Voluntary Conversions of Dollar Denominated Loans; Redenomination of Loans
	  	29
	 2.8.
	  	 Interest
	  	30
	 2.9.
	  	 Selection and Continuation of Interest Periods
	  	32
	 2.10.
	  	 Increased Costs, Illegality, etc.
	  	34
	 2.11.
	  	 Breakage Compensation
	  	35
	 2.12.
	  	 Change of Lending Office; Replacement of Lenders
	  	36
			
	SECTION 3.	  	 LETTERS OF CREDIT
	  	37
	 3.1.
	  	 Letters of Credit
	  	37
	 3.2.
	  	 Letter of Credit Requests; Notices of Issuance
	  	37
	 3.3.
	  	 Agreement to Repay Letter of Credit Drawings
	  	38
	 3.4.
	  	 Letter of Credit Participations
	  	39
	 3.5.
	  	 Increased Costs
	  	41
	 3.6.
	  	 Guaranty of Subsidiary Letter of Credit Obligations
	  	41
			
	SECTION 4.	  	 FEES
	  	43
	 4.1.
	  	 Facility Fee
	  	43
	 4.2.
	  	 Letter of Credit Fees
	  	44
	 4.3.
	  	 Facing Fees
	  	44
	 4.4.
	  	 Letter of Credit Administrative Fees
	  	44
	 4.5.
	  	 Other Fees
	  	44
	 4.6.
	  	 Computations of Fees
	  	44

  

 i 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page

			
	SECTION 5.	  	 REDUCTIONS AND TERMINATION OF COMMITMENTS
	  	44
	 5.1.
	  	 Voluntary Termination/Reduction of Commitments
	  	44
	 5.2.
	  	 Mandatory Termination/Adjustments of Commitments, etc.
	  	45
			
	SECTION 6.	  	 PAYMENTS
	  	45
	 6.1.
	  	 Voluntary Prepayments
	  	45
	 6.2.
	  	 Mandatory Prepayments
	  	46
	 6.3.
	  	 Method and Place of Payment
	  	48
	 6.4.
	  	 Net Payments
	  	49
	 6.5.
	  	 Late Charges
	  	50
			
	SECTION 7.	  	 CONDITIONS PRECEDENT
	  	50
	 7.1.
	  	 Conditions Precedent at Closing Date
	  	50
	 7.2.
	  	 Conditions Precedent to All Loans
	  	53
			
	SECTION 8.	  	 REPRESENTATIONS AND WARRANTIES
	  	53
	 8.1.
	  	 Corporate Status, etc.
	  	53
	 8.2.
	  	 Subsidiaries
	  	53
	 8.3.
	  	 Corporate Power and Authority, etc.
	  	53
	 8.4.
	  	 No Violation
	  	54
	 8.5.
	  	 Governmental Approvals
	  	54
	 8.6.
	  	 Litigation
	  	54
	 8.7.
	  	 Use of Proceeds; Margin Regulations
	  	54
	 8.8.
	  	 Financial Statements, etc.
	  	54
	 8.9.
	  	 No Material Adverse Change
	  	55
	 8.10.
	  	 Tax Returns and Payments
	  	55
	 8.11.
	  	 Title to Properties, etc.
	  	55
	 8.12.
	  	 Lawful Operations, etc.
	  	55
	 8.13.
	  	 Environmental Matters
	  	56
	 8.14.
	  	 Compliance with ERISA
	  	56
	 8.15.
	  	 Intellectual Property, etc.
	  	57
	 8.16.
	  	 Investment Company Act, etc.
	  	57
	 8.17.
	  	 Burdensome Contracts; Labor Relations
	  	57
	 8.18.
	  	 Existing Indebtedness
	  	57
	 8.19.
	  	 True and Complete Disclosure
	  	57
	 8.20.
	  	 Insurance
	  	58

  

 ii 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page

			
	SECTION 9.	  	 AFFIRMATIVE COVENANTS
	  	58
	 9.1.
	  	 Reporting Requirements
	  	58
	 9.2.
	  	 Books, Records and Inspections
	  	61
	 9.3.
	  	 Insurance
	  	61
	 9.4.
	  	 Payment of Taxes and Claims
	  	61
	 9.5.
	  	 Corporate Franchises
	  	61
	 9.6.
	  	 Good Repair
	  	61
	 9.7.
	  	 Compliance with Statutes, etc.
	  	62
	 9.8.
	  	 Compliance with Environmental Laws
	  	62
	 9.9.
	  	 Fiscal Years, Fiscal Quarters
	  	62
	 9.10.
	  	 Hedge Agreements, etc.
	  	63
	 9.11.
	  	 Most Favored Covenant Status
	  	63
	 9.12.
	  	 Senior Debt
	  	63
	 9.13.
	  	 Certain Subsidiaries to Join in Subsidiary Guaranty
	  	63
			
	SECTION 10.	  	 NEGATIVE COVENANTS
	  	64
	 10.1.
	  	 Changes in Business
	  	64
	 10.2.
	  	 Consolidation, Merger, Acquisitions, Asset Sales, etc.
	  	64
	 10.3.
	  	 Liens
	  	66
	 10.4.
	  	 Indebtedness
	  	67
	 10.5.
	  	 Advances, Investments, Loans and Guaranty Obligations
	  	68
	 10.6.
	  	 Dividends, etc.
	  	69
	 10.7.
	  	 Asset Coverage Percentage
	  	70
	 10.8.
	  	 Ratio of Consolidated Total Debt to Consolidated EBITDA
	  	70
	 10.9.
	  	 Interest Coverage Ratio
	  	70
	 10.10.
	  	 Minimum Consolidated Net Worth
	  	70
	 10.11.
	  	 Prepayments and Refinancings of Other Debt, etc.
	  	70
	 10.12.
	  	 Limitation on Certain Restrictive Agreements
	  	70
	 10.13.
	  	 Transactions with Affiliates
	  	71
	 10.14.
	  	 Plan Terminations, Minimum Funding, etc.
	  	71
			
	SECTION 11.	  	 EVENTS OF DEFAULT
	  	71
	 11.1.
	  	 Events of Default
	  	71
	 11.2.
	  	 Acceleration, etc.
	  	73
	 11.3.
	  	 Application of Liquidation Proceeds
	  	73

  

 iii 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page

			
	SECTION 12.	  	 THE ADMINISTRATIVE AGENT
	  	74
	 12.1.
	  	 Appointment
	  	74
	 12.2.
	  	 Delegation of Duties
	  	74
	 12.3.
	  	 Exculpatory Provisions
	  	74
	 12.4.
	  	 Reliance by Administrative Agent
	  	75
	 12.5.
	  	 Notice of Default
	  	75
	 12.6.
	  	 Non-Reliance
	  	75
	 12.7.
	  	 Indemnification
	  	76
	 12.8.
	  	 The Administrative Agent in Individual Capacity
	  	76
	 12.9.
	  	 Successor Administrative Agent
	  	76
	 12.10.
	  	 Other Agents
	  	76
			
	SECTION 13.	  	 MISCELLANEOUS
	  	76
	 13.1.
	  	 Payment of Expenses etc
	  	76
	 13.2.
	  	 Right of Setoff
	  	78
	 13.3.
	  	 Notices
	  	78
	 13.4.
	  	 Benefit of Agreement
	  	78
	 13.5.
	  	 No Waiver: Remedies Cumulative
	  	81
	 13.6.
	  	 Payments Pro Rata
	  	82
	 13.7.
	  	 Calculations: Computations
	  	82
	 13.8.
	  	 Governing Law; Submission to Jurisdiction; Venue; Waiver of Jury Trial
	  	82
	 13.9.
	  	 Counterparts
	  	83
	 13.10.
	  	 Effectiveness; Integration
	  	83
	 13.11.
	  	 Headings Descriptive
	  	83
	 13.12.
	  	 Amendment or Waiver
	  	84
	 13.13.
	  	 Survival
	  	84
	 13.14.
	  	 Domicile of Loans
	  	84
	 13.15.
	  	 Confidentiality
	  	84
	 13.16.
	  	 Lender Register
	  	85
	 13.17.
	  	 General Limitation of Liability
	  	85
	 13.18.
	  	 No Duty
	  	85
	 13.19.
	  	 Lenders and Agents Not Fiduciary to Borrower, etc.
	  	86
	 13.20.
	  	 Survival of Representations and Warranties
	  	86
	 13.21.
	  	 Independence of Covenants
	  	86

  

 iv 

 TABLE OF CONTENTS 
 (continued) 
  

							
	 	 	 	  	 	  	Page

				
	ANNEX I	 	—	  	INFORMATION AS TO LENDERS	  	 
	ANNEX II	 	—	  	INFORMATION AS TO SUBSIDIARIES	  	 
	ANNEX III	 	—	  	DESCRIPTION OF EXISTING INDEBTEDNESS	  	 
	ANNEX IV	 	—	  	DESCRIPTION OF EXISTING LIENS	  	 
	ANNEX V	 	—	  	DESCRIPTION OF EXISTING ADVANCES, LOANS, INVESTMENTS AND GUARANTEES	  	 
	ANNEX VI	 	—	  	DESCRIPTION OF EXISTING LETTERS OF CREDIT	  	 
	ANNEX VII	 	—	  	DESCRIPTION OF MATERIAL RECOVERY EVENTS	  	 
	ANNEX VIII	 	—	  	DESCRIPTION OF ALTERNATIVE CURRENCIES	  	 
	ANNEX IX	 	—	  	DESCRIPTION OF CONTINGENT LIABILITIES WITH RESPECT TO POST-RETIREMENT WELFARE BENEFIT PLANS	  	 
	ANNEX X	 	—	  	DESCRIPTION OF DOCUMENTS REQUIRED TO BE SCHEDULED PURSUANT TO SECTION 9.11	  	 
	ANNEX XI	 	—	  	ENVIRONMENTAL MATTERS	  	 
				
	EXHIBIT A-1	 	—	  	FORM OF GENERAL REVOLVING NOTE	  	 
	EXHIBIT A-2	 	—	  	FORM OF SWING LINE REVOLVING NOTE	  	 
	EXHIBIT B-1	 	—	  	FORM OF NOTICE OF BORROWING	  	 
	EXHIBIT B-2	 	—	  	FORM OF NOTICE OF CONVERSION	  	 
	EXHIBIT B-3	 	—	  	FORM OF NOTICE OF REDENOMINATION	  	 
	EXHIBIT B-4	 	—	  	FORM OF LETTER OF CREDIT REQUEST	  	 
	EXHIBIT C	 	—	  	FORM OF CORPORATE CERTIFICATE	  	 
	EXHIBIT D	 	—	  	FORM OF SOLVENCY CERTIFICATE	  	 
	EXHIBIT E	 	—	  	FORM OF ASSIGNMENT AGREEMENT	  	 
	EXHIBIT F	 	—	  	FORM OF SECTION 6.4(b)(ii) CERTIFICATE	  	 
	EXHIBIT G	 	—	  	FORM OF SUBSIDIARY GUARANTY	  	 

  

 v 

 IN WITNESS WHEREOF, each of the parties hereto
has caused a counterpart of this Agreement to be duly executed and delivered as of the date first above written. 
  

									
	CALGON CARBON CORPORATION	 	 	 	NATIONAL CITY BANK OF PENNSYLVANIA
	 	 	 	 	Individually as a Lender, and as a Letter of Credit Issuer, the Swing Line Lender and Administrative Agent
					
	By:	 	/s/    LEROY M. BALL        	 	 	 	By:	 	 
	 	 	
	 	 	 	 	 	

	 Name:
	 	Leroy. M. Ball	 	 	 	 Name:
	 	Lori B. Shure
	 Title:
	 	Chief Financial Officer	 	 	 	 Title:
	 	Vice President

  

 IN WITNESS WHEREOF, each of the parties hereto
has caused a counterpart of this Agreement to be duly executed and delivered as of the date first above written. 
  

									
	CALGON CARBON CORPORATION	 	 	 	NATIONAL CITY BANK OF PENNSYLVANIA
	 	 	 	 	Individually as a Lender, and as a Letter of Credit Issuer, the Swing Line Lender and Administrative Agent
					
	By:	 	 	 	 	 	By:	 	/s/    LORI B. SHURE        
	 	 	
	 	 	 	 	 	

	 Name:
	 	Leroy. M. Ball	 	 	 	 Name:
	 	Lori B. Shure
	 Title:
	 	Chief Financial Officer	 	 	 	 Title:
	 	Vice President

  

			
	FIFTH THIRD BANK
		
	By:	 	/s/    Illegible        
	 	 	

	Name:	 	Illegible
	Title:	 	Vice President

  

			
	FLEET NATIONAL BANK
		
	By:	 	/s/    Illegible        
	 	 	

	Name:	 	Illegible
	Title:	 	S.V.P.

  

 4 

			
	PNC BANK NATIONAL ASSOCIATION
		
	By:	 	/s/    ROBERT S. FOUST        
	 	 	

	Name:	 	Robert S. Foust
	Title:	 	Vice President

  

			
	WACHOVIA BANK, NATIONAL ASSOCIATION
		
	By:	 	/s/    PATRICK J. KAUFMANN        
	 	 	

	 	 	Patrick J. Kaufmann
	 	 	Vice President

  

 ANNEX II 
 INFORMATION AS TO SUBSIDIARIES 
  

							
	 Name of Subsidiary

	  	Type of Organization

	  	 Jurisdiction
 Where Organized

	  	 Percentage of Outstanding Stock or
Other Equity Interests Owned (Owned by the
Borrower unless otherwise noted)

	 Advanced Separation Technologies Inc.
	  	Corporation	  	Florida	  	100%
	 Solarchem Environmental Systems Inc.
	  	Corporation	  	Nevada	  	100%
	 Calgon Carbon Investments Inc.
	  	Corporation	  	Deleware	  	100%
	 Chemviron Carbon Ltd.
	  	Corporation	  	United Kingdom	  	100% (Calgon Carbon Investments, Inc)
	 Chemviron Carbon GmbH
	  	Partnership	  	Germany	  	99%* (Calgon Carbon Investments, Inc)
	 Charcoal Cloth Int’L Ltd.
	  	Corporation	  	United Kingdom	  	100% (Chemviron Carbon Ltd.)
	 Charcoal Cloth Ltd.
	  	Corporation	  	United Kingdom	  	100% (Charcoal Cloth Infl Ltd.)
	 Calgon Carbon Canada, Inc
	  	Corporation	  	Canada	  	100% (Calgon Carbon Investments, Inc)
	 Calgon Carbon Asia
	  	Corporation	  	Singapore	  	100%
	 Datong Carbon Corporation
	  	Corporation	  	China	  	80%
	 Calgon Carbon Tainjin, Ltd.
	  	Corporation	  	China	  	100%
				
	 Current Proposed Structure: Not Final
	  	 	  	 	  	 
	 BSC Columbus, LLC
	  	LLC	  	Deleware	  	100% (Calgon Carbon Corporation)
	 CCC Columbus, LLC
	  	LLC	  	Deleware	  	100% (Calgon Carbon Corporation)
	 CCC Distribution, LLC
	  	LLC	  	Deleware	  	100% (Calgon Carbon Corporation)
				
	 Waterlink UK Holdings, Ltd.
	  	Corporation	  	United Kingdom	  	100% (Chemviron Carbon, Ltd.)
	 Sutcliffe Croftshaw Ltd.
	  	Corporation	  	United Kingdom	  	100% (Waterlink UK Holdings Ltd))
	 Sutcliffe Speakman Ltd.
	  	Corporation	  	United Kingdom	  	100% (Waterlink UK Holdings Ltd))
	 Sutcliffe Speakman Carbons Ltd.
	  	Corporation	  	United Kingdom	  	100% (Waterlink UK Holdings Ltd))
	 Lakeland Processing Ltd.
	  	Corporation	  	United Kingdom	  	100% (Sutcliffe Speakman Ltd)
	 Sutcliffe Speakmanco 5 Ltd.
	  	Corporation	  	United Kingdom	  	100% (Sutcliffe Speakman Ltd)

  

	*	The remaining 1% is owned by the Borrower 

  

 ANNEX III 
 DESCRIPTION OF EXISTING INDEBTEDNESS 
  

														
	 LENDER

	 	 OBLIGOR

	 	 DESCRIPTION

	 	AVAILABLE
AMOUNT

	 	CURRENCY

	 	EXISTING
DEBT

	 	 
	 Mississippi Business
 Finance Corporation
	 	Calgon Carbon Corporation	 	Industrial Revenue Bonds	 	3,000,000	 	USD	 	$	3,000,000	 	 
							
	Bank Brussels Lambert	 	Chemviron Carbon	 	Line of Credit (includes Bank Guarantees)	 	4,000,000	 	EUR	 	 	1,984,848	 	Bank Guarantees only
Listed AnnexVI
							
	Barclays Bank	 	Chemviron Carbon Ltd.	 	Line of Credit (Overdraft)	 	400,000	 	POUNDS	 	 	0	 	 
							
	Royal Bank of Schotland	 	Sutcliffe Speakman Ltd.	 	Invoice discounting arrangement	 	1,250,000	 	POUNDS	 	 	—  	 	as of January 31,
2004
							
	Shanghai Pudong Development Bank	 	Datong Carbon Co. Ltd.	 	Line of Credit	 	650,000 or
5,000,000 or RMB	 	USD	 	$	604,000	 	12/15/2004 expiration
							
	Datong Carbon Company Ltd.	 	Datong Commercial Bank	 	Short-term Guarantee	 	80% 3,000,000 RMB	 	USD	 	$	290,000	 	expires 6/22/04
							
	Bank Mendes Gans nv	 	Calgon Carbon Corporation	 	Corporate Guarantee	 	no amount	 	USD	 	 	0	 	 
							
	Letters of Credit	 	Calgon Carbon Corporation	 	listed in Annex VI	 	30,000,000	 	USD	 	$	13,854,003	 	Letters of Credit Only
Listed AnnexVI
							
	Caterpillar, Inc	 	Calgon Carbon Corporation	 	Capital Lease - equipment	 	as of 12/31/03	 	USD	 	$	52,000	 	 
							
	Dell Computer	 	Calgon Carbon Corporation	 	Capital Lease - computer related	 	as of 12/31/03	 	USD	 	$	103,000	 	 
							
	Ace Leasing SA	 	Chemviron Carbon (Brussels)	 	Capital Lease - forklift	 	as of 12/31/03	 	USD	 	$	51,000	 	 
							
	Ace Leasing SA	 	Chemviron Carbon (Brussels)	 	Capital Lease - forklift	 	as of 12/31/03	 	USD	 	$	31,000	 	 

  

 Annex IV 
  

Description of Existing Liens 
  
 CALGON CARBON CORPORATION 
  
 Pennsylvania Secretary of State 
  

	A.	UCC Financing Statements 

  

					
	 1.
	  	 Secured Party: S&T Bank
 File Number:
  31350634
 File Date:         03/06/2000

	 	  	Cltrl	 	1 CCC 0997 Locomotive
		
	 	  	 ASSIGNMENT
 File Number:
31590759
 File Date:       05/05/2000

		
	 2.
	  	 Secured Party: Dell Financial Services LP
 File Number:   31370861
 File Date:         03/10/2000

	 	  	Cltrl:	 	Equipment relating to lease #000176014-001 dated 3/3/2000
		
	 3.
	  	 Secured Party: Mita Copystar America Inc
 File Number:   31511631
 File Date:         04/17/2000

	 	  	Cltrl:	 	Specific Equipment
		
	 4.
	  	 Secured Party: Dell Financial Services LP
 File Number:   31640116
 File Date:         05/18/2000

	 	  	Cltrl:	 	Equipment relating to lease #000176014-001 dated 3/3/2000
		
	 5.
	  	 Secured Party: Bank of the West
 File
Number:   31680381
 File Date:         05/30/2000

	 	  	Cltrl:	 	2 enc-l large encounter unit, 25 20’ Nimlock Graphics panels, 1 20’ Nimlock booth, 7 10’ Nimlock graphics panels, 1 10’ Nimlock booth, SF-412-01
		
	 6.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:    31940507
 File Date:          08/09/2000

	 	  	Cltrl:	 	Three new Toyota forklifts model 7FDU25 S/N 60195,60200 & 60202 equipment to be located at 200 Neville Rd., Pittsburgh, PA 15225

  

					
	 7.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:   33020605
 File Date:         09/01/2000

	 	  	Cltrl:	 	New Toyota Forklift Model 7FDU25, S/N 60204, CAB-TS31 (2625)
		
	 8.
	  	 Secured Party: Maxus Leasing Group, Inc.
 File Number:   33390977
 File Date:         12/14/2000

	 	  	Cltrl:	 	1 Toshiba TLP 671 LCD Projector, Document Camera, 1 Toshiba TLP 670 LCD Projector Only, with all replacement parts, additions, repairs, accessions & accessories incorporated therein and
or affixed thereto. Maxus Lease 1207-001
		
	 9.
	  	 Secured Party: Toyota Motor Credit Corp.
 File Number:   33521133
 File Date:         01/22/2001

	 	  	Cltrl:	 	Five (5) New Toyota Forklifts Model 7FGU25 S/N 63665, 63667, 63686, 63694
		
	 10.
	  	 Secured Party: Toyota Motor Credit Corp.
 File Number:   33640628
 File Date:         02/23/2001

	 	  	Cltrl:	 	Five new Toyota Forklifts model 7FGCU25, S/N 68435, 68472, 68444, 68614, 68498, S/N new Toyota forklift model 7FGU30, S/N 61584.
		
	 11.
	  	 Secured Party: Dell Financial Services LP
 File Number:   33731053
 File Date:         03/20/2001

	 	  	Cltrl:	 	All computer equipment and peripherals wherever located heretofore and hereafter leased to Lessee by Lessor pursuant to that certain Maser Lease Agreement # 176014 dated April 5, 2000, and
any Schedule thereto, together with all substitutions, additions, accessions and replacements thereto and thereof, now or hereafter installed (see full collateral description)
		
	 12.
	  	 Secured Party: Toyota Motor Credit Corp
 File Number:   34071443
 File Date:         06/21/2001

	 	  	Cltrl:	 	One new Toyota forklift model 7FDU35 S/N 60081, Equipment to be located at Pearl River Plant, 13121 Webre Road, Pearlington, MS 39572, County: Hancock
		
	 13.
	  	 Secured Party: Caterpillar Financial Services Corporation
 File Number:   34231285
 File Date:         08/15/2001
  

	 	  	Cltrl	 	One Caterpillar 928G Wheel Loader S/N 6XRO6153 and substitutions, replacements, additions & accessions thereto, now owned or hereafter acquired, and proceeds thereof, Contr/Cr App#
29227
		
	 14.
	  	 Secured Party: Caterpillar Financial Services Corporation
 File Number:   34271760
 File Date:         08/28/2001

	 	  	Cltrl	 	One Caterpillar IT28G integrated Tool Carrier, S/N 8CRO1993 and substitutions, replacements, additional & accessions thereto, now owned or hereafter acquired, and proceeds thereof, this
is a precautionary filing and is Not to be deemed as an admission by any party that the lease agreement is other than a true lease Contr/CrApp # A192742

  

 2 

					
		
	 15.
	  	 Secured Party: Citicorp del Lease Inc. dba Citicorp Dealer Finance
 File Number:   36521342
 File Date:         08/08/2002

	 	  	Cltrl	 	one New Spanco crane model #10F1516B Serial #02062777000-Equipped with two 5 ton Harrington electric chain hoists - equipment location :2954 Neville Road, Pittsburgh, Allegheny PA
1522

  

	Allegheny	County, PA 

  

	A.	UCC Financing Statement 

  

					
	 1.
	  	 Secured Party: S&T Bank
 File Number:
  2000-1664
 File Date:         03/06/2000

	 	  	Cltrl:	 	(1) CCC 0997 Locomotive
		
	 	  	 ASSIGNMENT
 File Number:
00-1664
 File Date:       05/04/2000

		
	 2.
	  	 Secured Party: Dell Financial Services, L.P.
 File Number:   00-1801
 File Date:         03/10/2000

	 	  	Cltrl:	 	Equipment relating to Lease #000176014-001 dated March 3, 2000
		
	 3.
	  	 Secured Party: Dell Financial Services, L.P.
 File Number:   00-3648
 File Date:         05/19/2000

	 	  	Cltrl:	 	Equipment relating to Lease #000176014-001 dated March 3, 2000
		
	 4.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:   00-5625
 File Date:         08/10/2000

	 	  	Cltrl:	 	Three (3) New Toyota Forklifts, Model 7FDU25, S/Ns 60195, 60200 & 60202
		
	 5.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:   00-6205
 File Date:         08/31/2000

	 	  	Cltrl:	 	New Toyota Forklift Model &DU25 S/N 60204 Cab- TS31 (2625)
		
	 6.
	  	 Secured Party: Maxus Leasing Group, Inc.
 File Number:   00-8939
 File Date:         12/20/2000
 NOTE: Missing From Jurisdiction

		
	 7.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:   01-424
 File Date:         01/22/2001

	 	  	Cltrl:	 	Five New Toyota Forklifts Model 7FGU25, S/N 63665, 63667, 63685, 63686, 63694

  

 3 

					
	 8.
	  	 Secured Party: Maxus Leasing Group, Inc.
 File Number:    01-536
 File Date:         12/26/2001

	 	  	Cltrl:	 	 1 Toshiba TLP 671 Projector/Document Camera, 1 Toshiba TLP 670 LCD Projector only, with all replacement, parts, additions, repairs, accessions
& accessories incorporated therein and/or affixed thereto Maxus Lease
 1207-001

		
	 9.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:    01-1084
 File Date:         02/22/2001

	 	  	Cltrl:	 	Five (5) New Toyota Forklifts Model 7FGCU25, S/N/ 68435,68472,68444,68614,68498, One (1) New Toyota Forklift Model 7FGU30, S/N 61584
		
	 10.
	  	 Secured Party:  Dell Financial Services, L.P.
 File Number:    01-1081
 File
Date:         03/26/2001

	 	  	Cltrl:	 	Equipment relating to Lease # 176014 dated April 5,2000
		
	 11.
	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:  01-3979
 File Date:        06/21/2001

	 	  	Cltrl:	 	One (1) New Toyota Forklift Model 7FDU35 s/n 60081

  
 Delaware Secretary of State

  

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:  10645312
 File Date:        07/05/2001

	 	  	Cltrl:	 	Three (3) New Toyota Forklifts Model 7FGU30, S/N’s 61988, 61995,62027 Equipment to be located at: Calgon Carbon Corporation N.I. Equipment & Assembly Plant, 4301 Grand Ave.,
Gate #4, Pgh, PA 15225
		
	2.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number:  20260434
 File Date:        12/31/2001

	 	  	Cltrl:	 	One (1) New Toyota Forklift Model 7FDKU40, S/N 60211 Equipment to be located at: 200 Neville Road, Pittsburgh, PA 15225 County: Allegheny
		
	3.	  	 Secured Party: GE Capital
 File
Number:  21108202
 File Date:        04/15/2002

	 	  	Cltrl:	 	The equipment described below and all equipment parts, accessories, substitutions, additions, accessions and replacements thereto and thereof, now or hereafter installed in, affixed to, or
used in conjunction therewith and the proceeds thereof, together with all installment payments, insurance proceeds, other proceeds and payments due arising from or relating to 6- Savin 2545 Copier Systems AND see schedule attached
#6724886013

  

 4 

					
	4.	  	 Secured Party: GE Capital
 File Number:
   21108327
 File Date:          04/15/2002

	 	  	Cltrl:	 	The equipment described below and all equipment parts, accessories, substitutions, additions, accessions and replacements thereto and thereof, now or hereafter installed in, affixed to, or
used in conjunction therewith and the proceeds thereof, together with all installment payments, insurance proceeds, other proceeds and payments due arising from or relating to 5- Savin 2545 Copier Systems AND see schedule attached
#6724886014
		
	5.	  	 Secured Party: Dollar Bank Leasing Corp.
 File Number:    21223092
 File Date:          04/29/2002

	 	  	Cltrl:	 	One (1) Toshiba TLP-B2 Ultra LCD Projector, soft carry case and 3 year warranty, s/n 11733408, complete with all present and future attachments, accessories, exchanges, and accessions
thereto, now existing or hereafter arising and all accounts and general intangibles associates therewith or resulting therefrom.
		
	6.	  	 Secured Party: Trinity Capital Corporation
 File Number:    21906837
 File Date:          07/10/2002

	 	  	Cltrl:	 	All personal property leased or financed from Trinity Capital Corporation including, but not limited to those items and proceeds thereof, set forth in the agreement listed below and in any
and all subsequent addendums and to the agreement. Agreement #813394.

  
 Texas Secretary of State

  

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: Pitney Bowes Credit Corporation
 File Number:    9700106051
 File Date:          05/21/1997

	 	  	Cltrl:	 	All equipment of whatever nature manufactured, sold or distributed by Pitney Bowes Credit Inc. Monarch Marketing Systems, Inc., Pitney Bowes Credit Corp., Dictaphone Corp. and subject to
lease dated 3/24/1997 between Debtor and Secured Party and all proceeds, additions thereto and replacements thereof LOC 5306824301.
		
	2.	  	 Secured Party: Great America Leasing Corporation
 File Number:    00649534
 File Date:          12/27/2000

	 	  	Cltrl:	 	Merlin Magix Phone System per attached schedule of equipment. This UCC-1 is filed pursuant to section 9-408 of the Uniform Commercial Code for informational purposes only. This transaction is
intended by the Lessor and Lessee to be a lease. 133919-000.

  
 California Secretary of State

  

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: ICX Corporation
 File
Number:    199727360759
 File Date:          09/26/1997

	 	  	Cltrl:	 	Specific Equipment

  

 5 

 Florida Secretary of State 
  

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: AT&T Credit Corporation
 File Number:    920000071684
 File Date:          04/10/1992

	 	  	Cltrl:	 	Legend Sold under Lease No. S402678 and all attachments, accessories, additions, substitutions, products, replacements and rentals and proceeds therefrom (including insurance
proceeds)
		
	2.	  	 Secured Party: ICX Corporation
 File
Number:    950000035460
 File Date:          02/03/1995

	 	  	Cltrl:	 	Lessor is the owner and Lessee has possession and use of property described above pursuant to a lease agreement dated 11-6-1992. Lessor and Lessee in said lease to be a “true lease”
and not a secured transaction.” Inclusion of proceeds in this financing statement does not authorize to sell or otherwise dispose of the property described above.
		
	3.	  	 Secured Party: ICX Corporation
 File
Number:    9700000216586
 File Date:          09/25/1997

	 	  	Cltrl:	 	Specific Equipment
		
	4.	  	 Secured Party: Dell Financial Services, L.P.
 File Number:    200000058875
 File Date:          03/10/2000

	 	  	Cltrl:	 	All computer equipment and peripheral (collectively “Equipment”) wherever located heretofore or hereafter lease to Lessee by Lessor pursuant to that certain Equipment Lease
#000176014-0001 dated March 3, 2000,” Equipment: includes without limitation, all equipment described above, together with all substitutions, additions, accessions and replacements thereto, and thereof, now or hereafter installed in, affixed
to, or used in, conjunction with the Equipment and proceeds thereof together with all rental or installment payments, insurance proceeds, other proceeds and payments due and to become due and arising from or relating to said real
estate.

  
 Kentucky Secretary of State

  

	A.	UCC Financing Statement 

  

					
	1.	  	 Secured Party: Apollo Oil, LLC
 File
Number:    2002-1872554-36
 File Date:          10/01/2002

	 	  	Cltrl:	 	8-275 Gallon Tanks, 2-Blackmer #BR-414 Hand Pumps, 6-1 1/5” ball valves

  
 Boyd County, KY 
  

	A.	UCC Financing Statement 

  

					
	1.	  	 Secured Party: S&T Bank
 File Number:
   2055399 File
 Date:
                03/16/2000

	 	  	Cltrl:	 	(l) CCC 0997 Locomotive
		
	 	  	 ASSIGNMENT
 File Number:
2055399
 File Date:       05/18/2000

  

 6 

					
	2.	  	 Secured Party: NEC America, Inc.
 File
Number: 2161967
 File Date: 01/19/2001

	 	  	Cltrl:	 	 One (1) New NEC NEAX2000 IVS2 Telephone System with NEAX AD-8 Voicemail together with all accessories, additions and attachments thereto,
replacements and substitutions therefore and all proceeds thereof, now owned or hereinafter acquired, Lessee has no power to sell or otherwise dispose of said property,
 22724-AM

					
	 B.     Additional liens:
	  	Lender:	  	Ashland Kentucky Pollution Control Bonds;
	 	  	Collateral:	  	Pollution Control Equipment

  
 Mississippi Secretary of State

  

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: ICX Corporation
 File
Number: 01144629
 File Date:      09/25/1997

	 	  	Cltrl:	 	Specific Equipment
		
	2.	  	 Secured Party: ICX Corporation
 File
Number: 01177733
 File Date:      01/27/1998

	 	  	Cltrl:	 	Specific Equipment
		
	3.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number: 01501325
 File Date:      02/22/2001

	 	  	Cltrl:	 	Five New Toyota Forklifts Model 7FGCU25, S/N 68435,68472,68444,68614,68498, One New Toyota Forklift Model 7FGU30 S/N 615584
		
	4.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number: 01535410
 File Date:      06/22/2001

	 	  	Cltrl:	 	One New Toyota Forklift Model 7FDU35, S/N 600081

  
 Hancock County, MS 

 

	A.	UCC Financing Statements 

  

					
	1.	  	 Secured Party: ICX Corporation
 File
Number: 2429-97
 File Date:       10/15/1997

	 	  	Cltrl:	 	Specific Equipment
		
	2.	  	 Secured Party: ICX Corporation
 File
Number: 209-98
 File Date:       01/28/1998

	 	  	Cltrl:	 	Specific Equipment

  

 7 

					
	3.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number: 415-2001
 File Date:       02/22/2001

	 	  	Cltrl:	 	Five New Toyota Forklifts Model 7FGCU25, S/N 68435,68472,68444,68614,68498, One New Toyota Forklift Model 7FGU30 S/N 615584
		
	4.	  	 Secured Party: Toyota Motor Credit Corporation
 File Number: 1351-2001
 File Date:       06/25/2001
  

	 	  	Cltrl:	 	One New Toyota Forklift Model 7FDU35, S/N 600081

  
 New Jersey Secretary of State

  

	A.	UCC Financing Statements 

  

					
	1.	  	 AT& T Capital Corporation
 File
Number: 1690388
 File Date:       03/29/1996

	 	  	Cltrl:	 	Equipment related to Equipment/Lease No. 00525395

  

 8 

 Annex V 
 Advances, Loans, Investments & Guarantee Obligations 
  

												
	 Advances:

	  	 	  	 	  	 	 	 	  	 
	Given by:	  	Receiver	  	Date/Comments	  	Local Curr.	 	Local Curr.Amt	  	USD
	 Datong Carbon Company Ltd.
	  	 Various China Suppliers
	  	as of 12/31/03	  	CNY	 	183,964	  	$	22,227
	 Calgon Carbon Tianjin Co., Ltd
	  	 Various China Suppliers
	  	as of 12/31/04	  	CNY	 	78,768	  	$	9,517
						
	 Loans:

	  	 	  	 	  	 	 	 	  	 
	Given by:	  	Receiver	  	Date/Comments	  	Local Curr.	 	Local Curr.Amt	  	USD
	 Shanghai Pudong Dev. Bank
	  	 Datong Carbon Company Ltd.
	  	as of 12/15/04	  	RMB	 	5,000,000	  	 	604,000
	 Royal Bank of Scotland
	  	 Sutcliffe Speakman Ltd.
	  	as of 01/31/04	  	POUNDS	 	—  	  	 	—  
						
	 Investments:

	  	 	  	 	  	 	 	 	  	 
	Given by:	  	Receiver	  	Date/Comments	  	Local Curr.	 	Local Curr.Amt	  	USD
	 Calgon Carbon Corporation
	  	Calgon Mitsubishi Chemical Corp.	  	as of 12/31/03	  	 	 	 	  	$	6,798,000
	 Guarantee Obligations:

	  	 	  	 	  	 	 	 	  	 	 
						
	 Calgon Carbon Corporation
	  	Bank Mendes Gans nv	  	Corporate Guarantee	  	no dollar amount	 	 	  	 	0
						
	 Calgon Carbon Corporation
	  	Caterpillar, Inc (Capital Lease)	  	as of 12/31/03	  	 	 	 	  	$	52,000
						
	 Calgon Carbon Corporation
	  	Dell Computer (Capital Lease)	  	as of 12/31/03	  	 	 	 	  	$	103,000
						
	 Chemviron Carbon (Brussels)
	  	Ace Leasing SA (Capital Lease)	  	as of 12/31/03	  	Eur	 	41,000	  	$	51,000
						
	 Chemviron Carbon (Brussels)
	  	Ace Leasing SA (Capital Lease)	  	as of 12/31/03	  	Eur	 	25,000	  	$	31,000
						
	 Datong Carbon Company Ltd.
	  	Datong Commercial Bank	  	expires 6/22/04	  	RMB 80%	 	2,400,000	  	$	209,000

  
  

 Annex VI 
 Existing Letter of Credits & Bank Guarantees 
  

															
	 (as of 2/10/04)
 L/C#
	  	Issuing Bank #

	  	Beneficiary

	 	Currency

	  	USD
Principal Amount

	  	Maturity
Date

	  	 
	 Issued by Fleet

	  	 	  	 	 	 	  	 	  	 	  	 
	 AS1373657
	  	AS1373657	  	Datong Carbon Co Ltd	 	USD	  	$	650,000.00	  	01/21/2005	  	 	 
	 AS1388223
	  	AS1388223	  	PA Dept. Environmental Agency	 	USD	  	$	1,120,658.00	  	08/17/2004	  	 	 
	 AS1382829
	  	AS1382829	  	Bank Brussels Lambert	 	EUR	  	$	4,986,000.00	  	12/31/2004	  	 	 
	 AS1439758
	  	AS1439758	  	Northeast Pharm I/E Corp.	 	USD	  	$	66,000.00	  	11/01/2004	  	 	 
	 AS1439758
	  	AS1439758	  	Anhui BBCA Biochemical Co.	 	USD	  	$	306,000.00	  	06/30/2004	  	 	 
	 AS1386353
	  	AS1386353	  	Star Lake Bioscience	 	USD	  	$	110,000.00	  	08/30/2004	  	 	 
	 AS1439781
	  	AS1439781	  	Ondeo-Degremont	 	USD	  	$	148,092.00	  	03/17/2004	  	 	 
	 	  	 	  	 	 	 	  	 	 	  	 	  	$	7,386,750.00
	 Issued by PNC Bank

	  	 	  	 	 	 	  	 	 	  	 	  	 	 
	 868929
	  	901663	  	Division Of Waste Mgmt, KY	 	USD	  	$	1,352,705.00	  	10/01/2004	  	 	 
	 868930
	  	901664	  	The Home Insurance Company	 	USD	  	$	145,393.00	  	05/12/2004	  	 	 
	 868931
	  	901665	  	Zurich Insurance Company	 	USD	  	$	257,305.00	  	04/01/2004	  	 	 
	 868932
	  	901667	  	Zurich Insurance Company	 	USD	  	$	500,000.00	  	04/01/2004	  	 	 
	 868951
	  	309126	  	JP Morgan Trust Company
(Miss. Bonds)	 	USD	  	$	3,094,521.00	  	05/01/2004	  	 	 
	 868952
	  	228511	  	Zurich American Insurance
Company	 	USD	  	$	514,832.00	  	04/01/2004	  	 	 
	 875199
	  	S245494PGH	  	Zurich American Insurance
Company	 	USD	  	$	400,000.00	  	05/01/2004	  	 	 
	 875243
	  	S248593PGH	  	Korea Exchange Bank	 	USD	  	$	32,430.00	  	07/11/2005	  	 	 
	 875933
	  	S252869PGH	  	PA Dept. Environmental	 	USD	  	$	170,067.00	  	07/11/2004	  	 	 
	 	  	 	  	 	 	 	  	 	 	  	 	  	$	6,467,253.00
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	 	  	Subtotal under Current Credit Facility	  	$	13,854,003.00	  	 	  	 	 
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
					
	 Issued By Bank Brussels Lambert (as of 1/31/04) exchange = 1.2471

	 	 	  	BEF

	  	EUR

	  	USD

	 	  	G321096	  	MUSHRIF Trading & Contractg	 	USD	  	 	857,195	  	21,249	  	$	26,500
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G315574	  	VMW Vlaams.Mij Watetvoorz.	 	BEF	  	 	400,000	  	9,916	  	$	12,366
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G322845	  	Philipp MULLER	 	DEM	  	 	47,336	  	1,173	  	$	1,463
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G322838	  	KMMC—re: Mushrif	 	USD	  	 	255,056	  	6,323	  	$	7,885
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G323858	  	GIST-BROCADES	 	NLG	  	 	11,257,821	  	279,074	  	$	346,033
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G321692	  	WARSAW Muni.Water Suppl.	 	DEM	  	 	1,029,910	  	25,531	  	$	31,839
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G321815	  	WARSAW Muni.Water Suppl.	 	DEM	  	 	1,671,111	  	41,426	  	$	51,662
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G636992	  	MINIST.REG.WALLONNE	 	BEF	  	 	7,000,000	  	173,525	  	$	216,404
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G323068	  	CIBE BRUXELLES	 	BEF	  	 	13,000,000	  	322,262	  	$	401,892
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G324350	  	BASSO PIAVE	 	EUR	  	 	3,743,543	  	92,800	  	$	115,731
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G320080	  	MINIST.REG.WALLONNE	 	BEF	  	 	2,000,000	  	49,579	  	$	61,830
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G311866	  	CUSTOMS & EXCISE Belgium	 	BEF	  	 	500,000	  	12,395	  	$	15,457
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G324103	  	SPAQUE	 	BEF	  	 	585,000	  	14,502	  	$	18,085
	 	  	
	  	
	 	
	  	
	
	  	 	  	 	 
	 	  	G324748	  	S.W.D.E.	 	EUR	  	 	145,224	  	3,600	  	$	4,490
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G324788	  	METITO	 	USD	  	 	304,514	  	7,549	  	$	9,414
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325068	  	MOTOR OIL (HELLAS)	 	EUR	  	 	2,448,108	  	60,687	  	$	75,683
							
	 	  	G325332	  	PUBLIACQUA	 	EUR	  	 	4,053,797	  	100,491	  	$	125,322
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325383	  	THE KANOO GROUP	 	USD	  	 	392,854	  	9,739	  	$	12,145
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326092	  	METITO ARABIA IND.	 	USD	  	 	90,572	  	2,245	  	$	2,800
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325776	  	FOVAROSI VIZMUVEK	 	HUF	  	 	2,041	  	51	  	$	63
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325819	  	SAGEP	 	EUR	  	 	385,085	  	9,546	  	$	11,905
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325826	  	DELMULHE HAMBURG	 	EUR	  	 	1,020,599	  	25,300	  	$	31,552
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G325823	  	UESSANCY REALISATION	 	EUR	  	 	24,215,728	  	600,292	  	$	748,624
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326362	  	RPCO ENTR.	 	USD	  	 	680,807	  	16,877	  	$	21,047
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326455	  	AMYLUM SOLVAKIA	 	EUR	  	 	2,218,695	  	55,000	  	$	68.591
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326631	  	GORNOSLASKIE PRZEDSIEB	 	PLN	  	 	162,794	  	4,036	  	$	5,033
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326641	  	FOVAROSI VIZMUVEK	 	HUF	  	 	2,041	  	51	  	$	63
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326761	  	RPCO ENTR.	 	USD	  	 	680,807	  	16,877	  	$	21,047
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326781	  	SOC. WALLONNE DES EAUX	 	EUR	  	 	123,440	  	3,060	  	$	3,816
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G326965	  	COM. URBAINE DE NANTES	 	EUR	  	 	303,953	  	7,535	  	$	9,397
	 	  	 	  	 	 	 	  	
	
	  	 	  	 	 
	 	  	G327171	  	JUNTA DE RESIDUOS	 	EUR	  	 	490,533	  	12,160	  	$	15,165
	 	  	 	  	 	 	 	  	
	
	  	
	  	
	

	 	  	 	  	Subtotal under BBL Facility	  	 	80,068,564	  	1,984,848	  	$	 2,475,304
	 	  	 	  	 	 	 	  	
	
	  	
	  	
	

  
  

 ANNEX VII 
  

DESCRIPTION OF MATERIAL RECOVERY EVENTS 
  

	1.	Calgon Carbon Corporation vs. Potomac Capital Investment Corporation, Potomac Electric Power Company, Progress Capital Holdings, Inc. and Florida Progress Corporation. Calgon
Carbon Corporation filed suit for an unspecified amount of damages in the Western District of Pennsylvania alleging among other things that the defendants materially breached various representations and warranties relating to the acquisition of
Advanced Separation Technologies, Inc. 

  

	2.	Wedeco Ideal Horizons, Inc. vs. Calgon Carbon Corporation. Wedeco sought a declaratory judgment that it does not infringe Calgon Carbon Corporation’s patents relating to
the prevention of cryptosporidium infection in drinking water. Calgon Carbon Corporation intends to recover damages for infringement of these and related patents by Wedeco or its affiliates. 

  

	3.	Calgon Carbon Corporation vs. The Corporation of the City of North Bay and Trojan Technologies, Inc. Calgon Carbon Corporation seeks damages for infringement of
cryptosporidium infection prevention patents. 

  

	4.	Calgon Carbon Corporation vs. Town of Ontario, New York and Robert Wykle, as Superintendent of Ontario Water Utilities Department. Calgon Carbon Corporation seeks damages for
infringement of cryptosporidium infection prevention patents. 

  

	5.	All current and potential infringers and contributory infringers of Calgon Carbon Corporation’s current and future patents related to cryptosporidium infection prevention
methods and continuous ion and reactive separation technology. 

  

	6.	Calgon Carbon Corporation vs. Torus Liquid Separation, B.V. and Koninklijke Pannevis B.V. Calgon Carbon Corporation alleges trade secret violations pursuant to a cancelled
distribution agreement and patent infringement. 

  

	7.	For Your Ease Only, Inc. vs. Calgon Carbon Corporation and Product Concepts Company and Mark Schneider. Calgon Carbon Corporation sued for tortuous interference with a
contractual relationship. Calgon Carbon Corporation expects to recover damages for patent infringement. 

  

 ANNEX VIII 
  
 ALTERNATIVE CURRENCIES 
  
 Euros 
 Canadian Dollars 
 Pounds Sterling 
 Japanese Yen 
 New Zealand Dollars 
  
 Same as 3/21/03 Credit Agreement 
  
  

 ANNEX IX 
  

DESCRIPTION OF CONTINGENT LIABILITIES 
 WITH RESPECT TO POST-RETIREMENT WELFARE BENEFITS 
  

	1.	James A. Cederna – Mr. Cederna, who retired on February 25,2003, will be provided with life insurance and long term disability insurance through December 31, 2005.
Additionally, the Borrower has agreed to pay the premium costs for medical, dental, vision and prescription drug coverages currently provided to Mr. Cederna and his dependents through December 31, 2005, unless Mr. Cederna accepts other employment
providing such benefits, at which time the Borrower will no longer pay for such coverage. 

  

	2.	Joseph A. Fischette – Mr. Fischette, who retired effective November 1,2002, and his dependents, will be provided with medical and dental coverage, which shall terminate
upon Mr. Fischette’s attainment of age sixty (60) on March 7, 2007. 

  

	3.	Neville Island Plant – Eligible employees at the Borrower’s Neville Island Plant who are represented by United Steelworkers of America AFL-CIO-CLC and who retire
before age 65 are entitled to medical coverage for themselves and their dependents until the employee attains age 65. 

  

 ANNEX X  
  
 DESCRIPTION OF DOCUMENTS THAT ARE REQUIRED TO BE SCHEDULED PURSUANT TO SECTION 9.11 
  

	1	Documents related to the Mississippi Business Finance Corporation Industrial Revenue Bonds. 

  
  

 ANNEX XI 
  

ENVIRONMENTAL MATTERS 
  
 Waterlink - Barnebey Sutcliffe Facility 
 835
North Cassaday Street 
 Columbus, Ohio 
  
 There are several environmental conditions identified at the Waterlink-Barnebey Sutcliffe (“WBS”) facility in Columbus, Ohio. Soils and
groundwater in several areas are contaminated with one or more volatile organic compounds, semi-volatile organic compounds and/or metals. The most significant of such areas is the former drum storage area where dense nonaqueous phase liquids
(“DNAPLs”) have been identified. There are also approximately 3,000 cubic yards of spent activated carbon stockpiled in this area that must be disposed. Adjacent to the southeast of this area is a captive landfill site that may require
additional investigation and possibly remediation. WBS’s consultant, Clayton Group Services (located in Akron, Ohio) estimates remediation costs for the soil and groundwater contamination in the former drum storage area to be between
approximately $2.2 and $2.6 million. Calgon Carbon Corporation’s consultant, KU Resources (Duquesne, Pennsylvania) estimates remediation of this and other impacted areas at the facility could cost between $5.3 and $7.3 million, although less
expensive remedial options may be available. 
  

  
 THE SUBSIDIARIES OF 
  
 Calgon Carbon Corporation 
  
 NAMED HEREIN

  
 as Guarantors 
  
 With 
  
 NATIONAL CITY BANK OF PENNSYLVANIA,  
  
 as Administrative Agent 
  

  
 SUBSIDIARY GUARANTY 
  
 dated as of

  
 February 18, 2004 
  

  

 SUBSIDIARY GUARANTY 
  
 SUBSIDIARY GUARANTY, dated as of February 18, 2004 (as amended, modified or supplemented from time to time,
“this Guaranty”), made by (i) each of the undersigned (each, together with its successors and assigns, a “Guarantor” and collectively, the “Guarantors”), with (ii) NATIONAL
CITY BANK OF PENNSYLVANIA, a national banking association, as Administrative Agent (herein, together with its successors and assigns in such capacity, the “Administrative Agent”), for the benefit of the Creditors
(as defined below): 
  
 PRELIMINARY STATEMENTS: 

 
 (1) Except as otherwise defined herein, terms used herein and defined in
the Credit Agreement (as defined below) shall be used herein as therein defined. Certain terms used herein are defined in section 1 hereof. 
  
 (2) This Guaranty is made pursuant to the Credit Agreement, dated as of the date hereof (herein, as amended or otherwise modified, restated or replaced
from time to time, the “Credit Agreement”), among Calgon Carbon Corporation, a Delaware corporation (herein, together with its successors and assigns, the “Company” or a
“Borrower”), the financial institutions named as lenders therein (herein, together with any other person that becomes a “Lender” under the Credit Agreement and the respective successors and assigns of such lenders
and “Lenders”, the “Lenders”), and the Administrative Agent. 
  
 (3) The Credit Agreement provides, among other things, for loans or advances or other extensions of credit to or for the benefit of the Borrower of up to $125,000,000, with such loans or advances being evidenced by
promissory notes (the “Notes”, such term to include all notes and other securities issued in exchange therefor or in replacement thereof). The Credit Agreement also provides that one or more Letter of Credit Issuers may issue
Letters of Credit for the benefit of the Borrower and/or any of its Subsidiaries, and that the Lenders will risk participate in such Letters of Credit. 
  
 (4) The Company or any of its Subsidiaries may from time to time be party to one or more Designated Hedge Agreements (as defined in the Credit Agreement)
and other Designated Hedge Documents (as defined herein). Any institution or other person that participates, and in each case their successors and assigns, as a counterparty to the Company or any of its Subsidiaries or Affiliates pursuant to any
Designated Hedge Document is referred to herein individually as a “Designated Hedge Creditor” and collectively as the “Designated Hedge Creditors”. 
  
 (5) This Guaranty is made for the benefit of the Administrative Agent, each
Letter of Credit Issuer, the Lenders and the Designated Hedge Creditors (any or all of the foregoing, together with their respective successors and assigns, individually a “Creditor” and collectively, the
“Creditors”). 
  
 (6) Each Guarantor is a
direct or indirect Subsidiary of the Company. This Guaranty is one of the Credit Documents referred to in the Credit Agreement. 
  
 (7) It is a condition to the making of Loans and the issuance of, and participation in, Letters of Credit, under the Credit Agreement that each Guarantor
shall have executed and delivered this Guaranty. 
  
 (8) Each
Guarantor will obtain benefits from the incurrence of the Credit Document Obligations and the Designated Hedge Document Obligations (as such terms are hereafter defined) and, accordingly, desires to execute this Guaranty in order to satisfy the
condition described in the preceding paragraph and to induce the Creditors to extend the Credit Document Obligations and the Designated Hedge Document Obligations. 
  

 NOW, THEREFORE, in consideration of the foregoing and other benefits accruing to each Guarantor,
the receipt and sufficiency of which are hereby acknowledged, each Guarantor hereby makes the following representations and warranties to the Administrative Agent and the other Creditors and hereby covenants and agrees with the Administrative Agent
and each other Creditor as follows: 
  

	1.	Certain Definitions. As used in this Guaranty, the following terms shall have the meanings herein specified unless the context otherwise requires:

  
 “Credit Document
Obligations” shall mean and include: 
  

	 	(i)	the principal of and interest on the Notes issued by, and the Loans made to, the Borrower under the Credit Agreement, 

  

	 	(ii)	all reimbursement obligations and Unpaid Drawings with respect to Letters of Credit issued under the Credit Agreement, and 

  

	 	(iii)	all other obligations and liabilities owing by the Borrower and the other Credit Parties to the Administrative Agent, any Letter of Credit Issuer or any of the Lenders under the
Credit Agreement and the other Credit Documents to which the Borrower or any other Credit Party is now or may hereafter become a party (including, without limitation, indemnities, Fees and other amounts payable thereunder), whether primary,
secondary, direct, contingent, fixed or otherwise, 

  
 in all cases
whether now existing, or hereafter incurred or arising, including any such interest or other amounts incurred or arising during the pendency of any bankruptcy, insolvency, reorganization, receivership or similar proceeding, regardless of whether
allowed or allowable in such proceeding or subject to an automatic stay under section 362(a) of the Bankruptcy Code. 
  
 “Designated Hedge Document” shall mean and include (i) each Designated Hedge Agreement to which the Company or any of its
Subsidiaries or Affiliates is now or may hereafter become a party, and (ii) each confirmation, transaction statement or other document executed and delivered in connection therewith to which the Company or any of its Subsidiaries or Affiliates is
now or may hereafter become a party. 
  
 “Designated
Hedge Document Obligations” shall mean and include all obligations and liabilities owing by the Company or any of its Subsidiaries or Affiliates under all existing and future Designated Hedge Documents, in all cases whether now
existing, or hereafter incurred or arising, including any such amounts incurred or arising during the pendency of any bankruptcy, insolvency, reorganization, receivership or similar proceeding, regardless of whether allowed or allowable in such
proceeding or subject to an automatic stay under section 362(a) of the Bankruptcy Code. 
  
 “Guaranteed Documents” shall mean and include (i) the Credit Agreement, the Notes and the other Credit Documents to which the Borrower or any of its Subsidiaries or Affiliates is
now or may hereafter become a party, and (ii) each Designated Hedge Agreement and other Designated Hedge Document to which the Company or any of its Subsidiaries or Affiliates is now or may hereafter become a party. 
  
 “Guaranteed Obligations” shall mean and
include the Credit Document Obligations and the Designated Hedge Document Obligations. 
  

	2.	Guaranty by the Guarantors, etc. (a) Each Guarantor, jointly and severally, irrevocably and unconditionally guarantees: 

  

	 	(i)	to the Administrative Agent, each Letter of Credit Issuer and the Lenders the full and prompt payment when due (whether at the stated maturity, by acceleration or otherwise) of all
of the Credit Document Obligations of (1) the Borrower, and (2) each of the other Subsidiaries and Affiliates of the Borrower which is a Credit Party; and 

  

	 	(ii)	to each Designated Hedge Creditor the full and prompt payment when due (whether at the stated maturity, by acceleration or otherwise) of all of the Designated Hedge Document
Obligations of (1) the Company, and (2) each of the other Subsidiaries and Affiliates of the Company. 

  
 Such guaranty is an absolute, unconditional, present and continuing guaranty of payment and not of collectibility and is in no way conditioned or contingent upon any
attempt to collect from the Borrower or any other Subsidiary or Affiliate 

  

 2 

 
of the Borrower, or any other action, occurrence or circumstance whatsoever. If an Event of Default shall occur and be continuing under the Credit Agreement
or any payment default shall occur and be outstanding under any Designated Hedge Document beyond any applicable notice or grace period, each Guarantor will, within two Business Days following its receipt of written notice from the Administrative
Agent demanding payment hereunder, pay to the Administrative Agent, for the benefit of the Creditors, in immediately available funds, at the Payment Office of the Administrative Agent, such amount of the Guaranteed Obligations as the Administrative
Agent shall specify in such notice, on the same terms as applicable to the Guaranteed Obligations. 
  

	 	(b)	In addition to the foregoing, each Guarantor also, jointly and severally, irrevocably and unconditionally guarantees that each of the terms, conditions, covenants and agreements of
the Borrower under the Credit Agreement, and of the Borrower and its other Subsidiaries and Affiliates under the other Guaranteed Documents, will be duly and punctually performed and observed strictly in accordance with the terms thereof and that if
for any reason whatsoever the Borrower or its other Subsidiaries or Affiliates shall fail to do so (beyond any applicable grace period), such Guarantor shall duly and punctually perform and observe, or cause the Borrower or such other Subsidiary or
Affiliate, as applicable, to duly and punctually perform and observe, the same. Such guaranty is an absolute, unconditional, present and continuing guaranty of performance and is in no way conditioned or contingent upon any attempt to enforce
performance by the Company or any other Subsidiary or Affiliate of the Company, or any other act, occurrence or circumstance whatsoever. 

  

	 	(c)	In addition to the foregoing, each Guarantor, jointly and severally, unconditionally and irrevocably, guarantees to the Creditors the payment of any and all Guaranteed Obligations
of the Borrower and each of their other Subsidiaries and Affiliates, whether or not due or payable by the obligor thereon, upon the occurrence in respect of the Borrower or other applicable obligor of any bankruptcy or insolvency proceeding or case
under the Bankruptcy Code, and unconditionally and irrevocably, jointly and severally, promises to pay such Guaranteed Obligations to the Administrative Agent, for the benefit of the Creditors, on demand, in such currency and otherwise in such
manner as is provided in the Guaranteed Documents governing such Guaranteed Obligations. 

  

	 	(d)	As a separate, additional and continuing obligation, each Guarantor unconditionally and irrevocably undertakes and agrees, for the benefit of the Creditors, that, should any amounts
constituting Guaranteed Obligations not be recoverable from the Borrower or any other applicable Subsidiary or Affiliate for any reason whatsoever (including, without limitation, by reason of any provision of any Guaranteed Document or any other
agreement or instrument executed in connection therewith being or becoming, at any time, voidable, void, unenforceable, or otherwise invalid under any applicable law), then notwithstanding any notice or knowledge thereof by the Administrative Agent,
any other Creditor, any of their respective Affiliates, or any other person, each Guarantor, jointly and severally, as sole, original and independent obligor, upon demand by the Administrative Agent, will make payment to the Administrative Agent,
for the account of the Creditors, of all such obligations not so recoverable by way of full indemnity, in such currency and otherwise in such manner as is provided in the Guaranteed Documents. 

  

	 	(e)	Each Guarantor understands, agrees and confirms that the Administrative Agent and the other Creditors may enforce this Guaranty up to the full amount of the Guaranteed Obligations
against any Guarantor without proceeding against any other Guarantor, the Borrower or any other person, or against any security or other collateral. 

  

	 	(f)	All payments by each Guarantor under this Guaranty shall be made to the Administrative Agent, for the benefit of the Creditors, in such currency and otherwise in such manner as is
provided in the Guaranteed Documents to which such payments relate. 

  

	3.	 Subordination. (a) Any Indebtedness or other obligations or liabilities of the Borrower now or hereafter held by any Guarantor (collectively,
“Subordinated Obligations”) is hereby subordinated to the Indebtedness of the Borrower to any Creditor; and such Subordinated Obligations of the Borrower to any Guarantor, if the Administrative Agent, after an Event of
Default has occurred so requests, shall be collected, enforced and received by such Guarantor as trustee for the Administrative Agent and the other Creditors and be paid over to the Administrative Agent, for the benefit of the Creditors, on account
of the Indebtedness of the 

  

 3 

	 	 
Borrower to the Administrative Agent and the other Creditors, but without affecting or impairing in any manner the liability of such Guarantor under the
other provisions of this Guaranty. Prior to the transfer by any Guarantor of any note or negotiable instrument evidencing any Subordinated Obligation of the Borrower to such Guarantor, such Guarantor shall mark such note or negotiable instrument
with a legend that the same is subject to this subordination. 

  

	 	(b)	If and to the extent that any Guarantor makes any payment to the Administrative Agent or any other Creditor or to any other person pursuant to or in respect of this Guaranty, any
reimbursement or similar claim which such Guarantor may have against the Borrower by reason thereof shall be subject and subordinate to the prior termination of the Total Commitment termination or expiration of all Letters of Credit and indefeasible
payment in full of all Guaranteed Obligations owed to the Administrative Agent and the other Creditors. 

  

	4.	Guarantors’ Obligations Absolute, etc. The obligations of each Guarantor under this Guaranty shall be absolute and unconditional, shall not be subject to any
counterclaim, setoff, deduction or defense based on any claim such Guarantor may have against the Borrower or any other person, including, without limitation, the Administrative Agent, any other Creditor, any of their respective Affiliates, or any
other Guarantor, and shall remain in full force and effect without regard to, and shall not be released, suspended, abated, deferred, reduced, limited, discharged, terminated or otherwise impaired or adversely affected by any circumstance or
occurrence whatsoever, other than indefeasible payment in full of, and complete performance of, all of the Guaranteed Obligations, the termination of the Total Commitment and the termination or expiration of all Letters of Credit, including, without
limitation: 

  

	 	(1)	any increase in the amount of the Guaranteed Obligations outstanding from time to time, including, without limitation, any increase in the aggregate outstanding amount of the Loans
and Letters of Credit above any specific maximum amount referred to herein or in the Credit Agreement as in effect on the date hereof, and any increase in any interest rate, Fee or other amount applicable to any portion of the Guaranteed Obligations
or otherwise payable under any Guaranteed Document; 

  

	 	(2)	any direction as to the application of any payment by the Borrower or by any other person; 

  

	 	(3)	any incurrence of additional Guaranteed Obligations at any time or under any circumstances, including, without limitation, (x) during the continuance of a Default or Event of
Default, (y) at any time when all conditions to such incurrence have not been satisfied, or (z) in excess of borrowing base, sublimit or other similar or dissimilar limitations contained in the Credit Agreement or any of the other Guaranteed
Documents; 

  

	 	(4)	any renewal or extension of the time for payment or maturity of any of the Guaranteed Obligations, or any amendment or modification of, or addition or supplement to, or deletion
from, the Credit Agreement, any other Guaranteed Document, or any other instrument or agreement applicable to the Borrower or any other person, or any part thereof, or any assignment, transfer or other disposition of any thereof;

  

	 	(5)	any failure of the Credit Agreement, any other Guaranteed Document, or any other instrument or agreement applicable to the Borrower or any other person, to constitute the legal,
valid and binding agreement or obligation of any party thereto, enforceable in accordance with its terms, or any irregularity in the form of any Guaranteed Document; 

  

	 	(6)	any failure on the part of the Borrower or any other person to perform or comply with any term or provision of the Credit Agreement, any other Guaranteed Document, or any such other
instrument or agreement; 

  

 4 

	 	(7)	any waiver, consent, extension, indulgence or other action or inaction (including, without limitation, any lack of diligence, any failure to mitigate damages or marshall assets, or
any election of remedies) under or in respect of (x) the Credit Agreement, any other Guaranteed Document, or any such other instrument or agreement, or (y) any obligation or liability of the Borrower or any of its other Subsidiaries or Affiliates;

  

	 	(8)	any exercise or non-exercise of any right, power or remedy under or in respect of the Credit Agreement, any other Guaranteed Document, or any such other instrument or agreement, or
any such obligation or liability, including, without limitation, (x) any failure of the Administrative Agent or any other Creditor to give notice of any Default or Event of Default under any Guaranteed Document, or to advance funds for the
protection or preservation of, or provision of insurance for, or payment of taxes on, any property which is collateral security for any of the Guaranteed Obligations, and (y) any act or failure to act on the part of the Administrative Agent or any
other Creditor, in any manner referred to in this Guaranty, or otherwise, which may deprive such Guarantor of its right to (A) subrogation against the Borrower to recover full reimbursement or indemnity for any payments made pursuant to this
Guaranty, or (B) contribution from any other Guarantor for any such payments made by it, or which otherwise may adversely affect the amount recoverable upon the exercise of any such right of subrogation or contribution; 

  

	 	(9)	any application of any amounts by whomsoever paid or howsoever realized to the Guaranteed Obligations or any other liabilities owed to the Administrative Agent or any other
Creditor, regardless of the order or priority of any such application, and regardless of what liabilities of the Borrower or any other person remain unpaid; 

  

	 	(10)	any settlement or compromise of any of the Guaranteed Obligations, any security therefor or guaranty thereof; 

  

	 	(11)	any payment made to the Administrative Agent or any other Creditor on the Guaranteed Obligations which the Administrative Agent or any other Creditor repays, returns or otherwise
restores to the Borrower or any other applicable obligor pursuant to court order in any bankruptcy, reorganization, arrangement, moratorium or other debtor relief proceeding; 

  

	 	(12)	any subordination of any of the claims of the Administrative Agent or any other Creditor to any claims of any creditors of the Borrower or any other person, or any subordination of
any liens or security interests in favor of the Administrative Agent or any other Creditor to any liens or security interests of any other person; 

  

	 	(13)	any sale, exchange, release, surrender or foreclosure of, or any realization upon, or other dealing with, in any manner and in any order, any property, rights or interests by
whomsoever at any time granted, assigned, pledged or mortgaged to secure, or howsoever securing, the Guaranteed Obligations, or any other liabilities or obligations (including any of those hereunder), or any portion of any thereof;

  

	 	(14)	the existence of any right of setoff, offset or banker’s lien, or any failure to exercise rights in respect thereof, or any release thereof; 

  

	 	(15)	any furnishing of any new or additional security or any new or additional guaranty to or for the benefit of any Creditor, or any acceptance thereof, including, without limitation,
any addition of any Guarantor to this Guaranty; 

  

	 	(16)	 any release of any security or any guaranty by or at the direction of the Administrative Agent or any other Creditor, or any release or discharge of, or 

  

 5 

	 	 
limitation of recourse against, any person furnishing any security or guaranty, including, without limitation, any release or discharge of any Guarantor from
this Guaranty; 

  

	 	(17)	any limitation on any person’s liability or obligation under the Credit Agreement, any other Guaranteed Document, or any such other instrument or agreement, or any such
obligation or liability, or any termination, cancellation, avoidance, commercial or other frustration, impracticability, invalidity, unenforceability or ineffectiveness, in whole or in part, of the Credit Agreement, any other Guaranteed Document, or
any such other instrument or agreement or any such obligation or liability or any term or provision of any thereof; 

  

	 	(18)	any insolvency, bankruptcy, receivership, liquidation, reorganization, readjustment, composition, arrangement or other similar proceeding relating to Borrower or to any of their
properties or assets, or any such proceeding by, among or on behalf of any of its creditors, as such, or any proceeding for the voluntary liquidation or dissolution or other winding up of Borrower, whether or not insolvency or bankruptcy
proceedings, or any assignment for the benefit of its creditors, or any other marshaling of its assets, or any action taken by any trustee or receiver or by any court in any such proceeding; 

  

	 	(19)	any disallowance or limitation of any claim of the Administrative Agent, any other Creditor, or any other person, in any such proceeding; 

  

	 	(20)	any change in the ownership of all or any part of the capital stock of, or other equity interests in, the Borrower, any of its Subsidiaries or Affiliates, or any other person, or
any merger or consolidation involving the Borrower, any of its Subsidiaries or Affiliates, or any other person, or any purchase, acquisition, sale, lease or disposition by the Borrower, any of its Subsidiaries or Affiliates, or any other person, of
any assets or properties; 

  

	 	(21)	any breach by any of the Borrower or any of its other Subsidiaries or Affiliates of any of its representations or warranties contained in any of the Guaranteed Documents or any
other certificate or document executed and delivered in connection therewith; 

  

	 	(22)	any inability of the Borrower to create or incur any Subordinated Indebtedness or other Indebtedness, or the existence of any contractual or other restriction upon the ability of
the Borrower to issue and sell shares of its capital stock, to purchase, sell, lease or otherwise dispose of assets, to incur Subordinated Indebtedness or other Indebtedness, or to otherwise conduct its business affairs; 

  

	 	(23)	any assignment, transfer or other disposition, in whole or in part, by the Borrower or any other person of its interest in any of the property, rights or interests constituting
security for all or any portion of the Guaranteed Obligations or any other Indebtedness, liabilities or obligations; 

  

	 	(24)	any failure of any of the Credit Documents, or any other agreement or instrument securing all or any portion of the Guaranteed Obligations, to effectively subject any property,
rights or interests to any liens or security interests purported to be granted or created thereby, or any failure of any such liens or security interests to be or become perfected or to establish or maintain the priority over other liens and
security interests contemplated thereby; 

  

	 	(25)	any condemnation or taking of, or any encumbrance on or interference with any use of, or any damage to, or any destruction of, any such property, or any part thereof or interest
therein; 

  

 6 

	 	(26)	any lack of notice to, or knowledge by, any Guarantor of any of the matters referred to above; and/or 

  

	 	(27)	any other circumstance or occurrence, whether similar or dissimilar to any of the foregoing, which could or might constitute a defense available to, or a discharge of the
obligations of, a guarantor or other surety. 

  

	5.	Waivers. Each Guarantor unconditionally waives, to the maximum extent permitted under any applicable law now or hereafter in effect, insofar as its obligations under this
Guaranty are concerned, (i) notice of any of the matters referred to in section 4, (ii) all notices required by statute, rule of law or otherwise to preserve any rights against such Guarantor hereunder, including, without limitation, any demand,
presentment, proof or notice of dishonor or non-payment of any Guaranteed Obligation, notice of acceptance of this Guaranty, notice of the incurrence of any Guaranteed Obligation, notice of any failure on the part of the Borrower, any of its
Subsidiaries or Affiliates, or any other person, to perform or comply with any term or provision of the Credit Agreement, any other Guaranteed Document or any other agreement or instrument to which the Borrower or any other person is a party, or
notice of the commencement of any proceeding against any other person or its any of its property or assets, (iii) any right to the enforcement, assertion or exercise against the Borrower or against any other person or any collateral of any right,
power or remedy under or in respect of the Credit Agreement, the other Guaranteed Documents or any other agreement or instrument, and (iv) any requirement that such Guarantor be joined as a party to any proceedings against the Borrower or any other
person for the enforcement of any term or provision of the Credit Agreement, the other Guaranteed Documents, this Guaranty or any other agreement or instrument. 

  

	6.	Subrogation Rights. Until such time as the Guaranteed Obligations have been paid in full in cash and otherwise fully performed, the Total Commitment under the Credit
Agreement has been terminated and all Letters of Credit have been terminated or have expired, each Guarantor hereby irrevocably waives all rights of subrogation which it may at any time otherwise have as a result of this Guaranty (whether
contractual, under section 509 of the Bankruptcy Code, or otherwise) to the claims of the Administrative Agent and/or the other Creditors against the Borrower, any other Guarantor or any other guarantor of or surety for the Guaranteed Obligations
and all contractual, statutory or common law rights of reimbursement, contribution or indemnity from the Borrower or any other Guarantor which it may at any time otherwise have as a result of this Guaranty. 

  

	7.	Separate Actions. A separate action or actions may be brought and prosecuted against any Guarantor whether or not action is brought against any other Guarantor, any other
guarantor or any of the Borrower, and whether or not any other Guarantor, any other guarantor of the Borrower or the Borrower be joined in any such action or actions. 

  

	8.	Guarantors Familiar with Borrower’s Affairs, etc. Each Guarantor confirms that an executed (or conformed) copy of each of the Credit Documents has been made
available to its principal executive officers, that such officers are familiar with the contents thereof and of this Guaranty, and that it has executed and delivered this Guaranty after reviewing the terms and conditions of the Credit Agreement, the
other Credit Documents and this Guaranty and such other information as it has deemed appropriate in order to make its own credit analysis and decision to execute and deliver this Guaranty. Each Guarantor confirms that it has made its own independent
investigation with respect to the creditworthiness of the Borrower and its other Subsidiaries and Affiliates and is not executing and delivering this Guaranty in reliance on any representation or warranty by the Administrative Agent or any other
Creditor or any other person acting on behalf of the Administrative Agent or any other Creditor as to such creditworthiness. Each Guarantor expressly assumes all responsibilities to remain informed of the financial condition of the Borrower and its
other Subsidiaries and Affiliates and any circumstances affecting (i) the Borrower’s or any other Subsidiary’s or Affiliate’s ability to perform its obligations under the Credit Agreement and the other Guaranteed Documents to which it
is a party, or (ii) any collateral securing, or any other guaranty for, all or any part of the Borrower’s or such other Subsidiary’s or Affiliate’s payment and performance obligations thereunder; and each Guarantor further agrees that
the Administrative Agent and the other Creditors shall have no duty to advise any Guarantor of information known to them regarding such circumstances or the risks such Guarantor undertakes in this Guaranty. 

  

	9.	 Covenant Not to Cause Events of Default under Credit Agreement, etc. Each Guarantor covenants and agrees that on and after the date hereof and until
this Guaranty is terminated in accordance with 

  

 7 

	 	 
section 28 hereof, such Guarantor shall take, or will refrain from taking, as the case may be, all actions that are necessary to be taken or not taken so
that no violation of any provision, covenant or agreement contained in section 8 or 9 of the Credit Agreement, and so that no Event of Default, is caused by the actions of such Guarantor or any of its Subsidiaries. 

  

	10.	Representations and Warranties. Each Guarantor represents and warrants to the Administrative Agent and each of the other Creditors that: 

  

	 	(a)	it is a duly organized or formed and validly existing corporation, partnership or limited liability company, as the case may be, in good standing under the laws of the jurisdiction
of its formation and has the corporate, partnership or limited liability company power and authority, as applicable, to own its property and assets and to transact the business in which it is engaged and presently proposes to engage;

  

	 	(b)	it has the corporate or other organizational power and authority to execute, deliver and carry out the terms and provisions of the Credit Documents to which it is party and has
taken all necessary corporate or other organizational action to authorize the execution, delivery and performance of the Credit Documents to which it is party; 

  

	 	(c)	it has duly executed and delivered each Credit Document to which it is party and each Credit Document to which it is party constitutes the legal, valid and binding agreement or
obligation of such Guarantor enforceable in accordance with its terms, except to the extent that the enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws generally affecting
creditors’ rights and by equitable principles (regardless of whether enforcement is sought in equity or at law); 

  

	 	(d)	neither the execution, delivery and performance by such Guarantor of the Credit Documents to which it is party nor compliance with the terms and provisions thereof (i) will
contravene any provision of any law, statute, rule, regulation, order, writ, injunction or decree of any court or governmental instrumentality applicable to such Guarantor or its properties and assets, (ii) will conflict with or result in any breach
of, any of the terms, covenants, conditions or provisions of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any Lien (other than any Lien created pursuant to the Credit Documents)
upon any of the property or assets of such Guarantor pursuant to the terms of any promissory note, bond, debenture, indenture, mortgage, deed of trust, credit or loan agreement, or any other material agreement or other instrument, to which such
Guarantor is a party or by which it or any of its property or assets are bound or to which it may be subject, or (iii) will violate any provision of the certificate or articles of incorporation, code of regulations or by-laws, or other charter or
organizational documents of such Guarantor; 

  

	 	(e)	 no order, consent, approval, license, authorization, or validation of, or filing, recording or registration with, or exemption by, any foreign or domestic
governmental or public body or authority, or any subdivision thereof, is required to authorize or is required as a condition to (i) the execution, delivery and performance by such Guarantor of any Credit Document to which it is a party, or (ii) the
legality, validity, binding effect or enforceability of any Credit Document to which such Guarantor is a party, other than filings and recordings necessary to establish or perfect 

  

 8 

	 	 
any security interests or other Liens created pursuant to the Credit Documents; 

  

	 	(f)	there are no actions, suits or proceedings pending or, to, the knowledge of such Guarantor, threatened with respect to such Guarantor which question the validity or enforceability
of any of the Credit Documents to which such Guarantor is a party, or of any action to be taken by such Guarantor pursuant to any of the Credit Documents to which it is a party; and 

  

	 	(g)	as of the date such Guarantor has become a party to this Guaranty, (i) such Guarantor has received consideration which is the reasonable equivalent value of the obligations and
liabilities that such Guarantor has incurred to the Administrative Agent and the other Creditors under this Guaranty and the other Credit Documents to which such Guarantor is a party; (ii) such Guarantor has capital sufficient to carry on its
business and transactions and all business and transactions in which it is about to engage and is solvent and able to pay its debts as they mature; (iii) such Guarantor owns property having a value, both at fair valuation and at present fair salable
value, greater than the amount required to pay its debts; and (iv) such Guarantor is not entering into the Credit Documents to which it is a party with the intent to hinder, delay or defraud its creditors. 

  

	11.	Continuing Guaranty; Remedies Cumulative, etc. This Guaranty is a continuing guaranty, all liabilities to which it applies or may apply under the terms hereof shall be
conclusively presumed to have been created in reliance hereon, and this Guaranty shall remain in full force and effect until terminated as provided in section 28 hereof. No failure or delay on the part of the Administrative Agent or any other
Creditor in exercising any right, power or privilege hereunder shall operate as a waiver thereof; nor shall any single or partial exercise of any right, power or privilege hereunder preclude any other or further exercise thereof or the exercise of
any other right, power or privilege. The rights and remedies herein expressly specified are cumulative and not exclusive of any rights or remedies which the Administrative Agent or any other Creditor would otherwise have. No notice to or demand on
any Guarantor in any case shall entitle such Guarantor to any other further notice or demand in similar or other circumstances or constitute a waiver of the rights of the Administrative Agent or any other Creditor to any other or further action in
any circumstances without notice or demand. It is not necessary for the Administrative Agent or any other Creditor to inquire into the capacity or powers of any of the Borrower or any of its Subsidiaries or the officers, directors, partners or
agents acting or purporting to act on its behalf, and any indebtedness made or created in reliance upon the professed exercise of such powers shall be guaranteed hereunder. 

  

	12.	Application of Payments and Recoveries. All amounts received by the Administrative Agent pursuant to, or in connection with the enforcement of, this Guaranty, together
with all amounts and other rights and benefits realized by any Creditor (or to which any Creditor may be entitled) by virtue of this Guaranty, shall be applied as provided in section 11.3 of the Credit Agreement. 

  

	13.	Enforcement Expenses. The Guarantors hereby jointly and severally agree to pay, to the extent not paid pursuant to section 13.1 of the Credit Agreement, all reasonable
out-of-pocket costs and expenses of the Administrative Agent and each other Creditor in connection with the enforcement of this Guaranty and any amendment, waiver or consent relating hereto (including, without limitation, the reasonable fees and
disbursements of counsel employed by the Administrative Agent or any of the other Creditors). 

  

	14.	Successors and Assigns. This Guaranty shall be binding upon each Guarantor and its successors and assigns, and shall inure to the benefit of the Administrative Agent and the
other Creditors and their successors and assigns. 

  

	15.	Entire Agreement. This Guaranty and the other Guaranteed Documents represent the final agreement among the parties and may not be contradicted by evidence of prior,
contemporaneous or subsequent oral agreements among the parties. There are no unwritten oral agreements among the parties. 

  

 9 

	16.	Amendments and Waivers. Neither this Guaranty nor any provision hereof may be changed, waived, modified or varied in any manner whatsoever unless in writing duly signed by
(i) the Administrative Agent, acting with the written consent of the Required Lenders (or to the extent required by section 13.12 of the Credit Agreement, with the written consent of all of the Lenders, or all of the Lenders (other than any
Defaulting Lender), as applicable); and (ii) each Guarantor affected thereby (it being understood that the addition or release of any Guarantor hereunder shall not constitute a change, waiver, modification or variance affecting any Guarantor other
than the Guarantor so added or released), provided, however, that 

  

	 	(a)	no such change, waiver, modification or variance shall be made to section 12, section 28 or this section 16 which adversely affects any Creditor without the written consent of such
Creditor; 

  

	 	(b)	any change, waiver, modification or variance which adversely affects the rights and benefits of a single Class of Creditors (and not all Creditors in a like or similar manner) shall
require the written consent of the Requisite Creditors of such Class of Creditors; and 

  

	 	(c)	any change, waiver, modification or variance which adversely affects the rights and benefits of less than all of the members of a single Class of Creditors (and not all Creditors,
nor all Creditors of the same Class, in a like or similar manner) shall require the written consent of each of such members which is adversely affected thereby. 

  
 For the purpose of this Guaranty, the term “Class” shall mean each class of Creditors, i.e.,
whether (x) the Administrative Agent, the Collateral Agent, the Letter of Credit Issuers and the Lenders as holders of the Credit Document Obligations or (y) the Designated Hedge Creditors as holders of the Designated Hedge Obligations. For the
purpose of this Guaranty, the term “Requisite Creditors” of any Class shall mean (x) with respect to the Credit Document Obligations, the Required Lenders and (y) with respect to the Designated Hedge
Obligations, the holders of at least 51% of all Designated Hedge Obligations outstanding from time to time under the Designated Hedge Documents. 
  

	17.	Headings Descriptive. The headings of the several sections of this Guaranty are inserted for convenience only and shall not in any way affect the meaning or
construction of any provision of this Guaranty. 

  

	18.	Severability. Any provision of this Guaranty which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such
prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

  

	19.	Right of Setoff. In addition to any rights now or hereafter granted under applicable law and not by way of limitation of any such rights, upon the occurrence and
during the continuance of an Event of Default (such term to mean any “Event of Default” as defined in the Credit Agreement or any payment default under any Designated Hedge Document after any applicable grace period), each Creditor is
hereby authorized at any time or from time to time, without notice to any Guarantor or to any other person, any such notice being expressly waived, to set off and to appropriate and apply any and all deposits (general or special) and any other
indebtedness at any time held or owing by such Creditor to or for the credit or the account of such Guarantor, against and on account of the obligations and liabilities of such Guarantor to such Creditor under this Guaranty, irrespective of whether
or not the Administrative Agent or such Creditor shall have made any demand hereunder and although said obligations, liabilities, deposits or claims, or any of them, shall be contingent or unmatured. Each Creditor agrees to promptly notify the
relevant Guarantor after any such set off and application, provided, however, that the failure to give such notice shall not affect the validity of such set off and application. 

  

	20.	 Notices. Except as otherwise expressly provided herein, all notices and other communications provided for hereunder shall be in writing (including
telegraphic, telex, facsimile transmission or cable communication) and mailed, telegraphed, telexed, transmitted, cabled or delivered, (i) if to any Guarantor, at 

  

 10 

	 	 
the address specified for it in Annex II to the Credit Agreement (or if no such address is specified, to it c/o the Company), with a courtesy copy to the
Company at its address specified in or pursuant to the Credit Agreement, (ii) if to the Administrative Agent, to it at its Notice Office, (iii) if to any Lender, at its address specified in or pursuant to the Credit Agreement, and (iv) if to any
Designated Hedge Creditor, at such address as such Designated Hedge Creditor shall have specified in writing to each Guarantor and the Administrative Agent; or in any case at such other address as any of the persons listed above may hereafter notify
the others in writing. All such notices and communications shall be mailed, telegraphed, telexed, telecopied, or cabled or sent by overnight courier, and shall be effective when received. 

  

	21.	Reinstatement. If claim is ever made upon the Administrative Agent or any other Creditor for rescission, repayment, recovery or restoration of any amount or amounts received
by the Administrative Agent or any other Creditor in payment or on account of any of the Guaranteed Obligations and any of the aforesaid payees repays all or part of said amount by reason of (x) any judgment, decree or order of any court or
administrative body having jurisdiction over such payee or any of its property, or (y) any settlement or compromise of any such claim effected by such payee with any such claimant (including the Borrower), then and in such event (i)
any such judgment, decree, order, settlement or compromise shall be binding upon each Guarantor, notwithstanding any revocation hereof or other instrument evidencing any liability of the Borrower, (ii) each Guarantor shall be and remain liable to
the aforesaid payees hereunder for the amount so repaid or otherwise recovered or restored to the same extent as if such amount had never originally been received by any such payee, and (iii) this Guaranty shall continue to be effective or be
reinstated, as the case may be, all as if such repayment or other recovery had not occurred. 

  

	22.	Governing Law; Venue. (a) THIS GUARANTY AND THE RIGHTS AND OBLIGATIONS OF THE ADMINISTRATIVE AGENT, THE OTHER CREDITORS AND OF THE UNDERSIGNED HEREUNDER SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE COMMONWEALTH OF PENNSYLVANIA, NOTWITHSTANDING ITS CONFLICTS OF LAWS RULES. Any legal action or proceeding with respect to this Guaranty may be brought in the Courts of the Commonwealth of
Pennsylvania, or of the United States of America for the Western District of Pennsylvania, and, by execution and delivery of this Guaranty, each Guarantor hereby irrevocably accepts for itself and in respect of its property, generally and
unconditionally, the jurisdiction of the aforesaid courts. Each Guarantor hereby irrevocably consents to the service of process out of any of the aforementioned courts in any such action or proceeding by the mailing of copies thereof by registered
mail, return receipt requested, to such Guarantor at its address provided herein, such service to become effective 30 days after such mailing, or such earlier time as may be provided by applicable law. Nothing herein shall affect the right of the
Administrative Agent or any of the other Creditors to serve process in any other manner permitted by law or to commence legal proceedings or otherwise proceed against each Guarantor in any other jurisdiction. 

  

	 	(b)	Each Guarantor hereby irrevocably waives any objection which it may now or hereafter have to the laying of venue of any of the aforesaid actions or proceedings arising out of or in
connection with this Guaranty or any other Credit Document or Guaranteed Document brought in the courts referred to in section 22(a) above and hereby further irrevocably waives and agrees not to plead or claim in any such court that such action or
proceeding brought in any such court has been brought in an inconvenient forum. 

  

	23.	Sale of Capital Stock of a Guarantor. In the event that all of the capital stock of one or more Guarantors is sold or otherwise disposed of or liquidated in compliance
with the requirements of section 10.2 of the Credit Agreement (or such sale or other disposition has been approved in writing by the Required Lenders (or all Lenders, or all of the Lenders (other than any Defaulting Lender), as applicable, if
required by section 13.12 of the Credit Agreement)) and the proceeds of such sale, disposition or liquidation are applied, to the extent applicable, in accordance with the provisions of the Credit Agreement, such Guarantor shall be released from
this Guaranty and this Guaranty shall, as to each such Guarantor or Guarantors, terminate, and have no further force or effect (it being understood and agreed that the sale of one or more persons that own, directly or indirectly, all of the capital
stock or other equity interests of any Guarantor shall be deemed to be a sale of such Guarantor for the purposes of this section 23). 

  

	24.	 Contribution Among Guarantors. Each Guarantor, in addition to the subrogation rights it shall have against the Borrower under applicable law as a
result of any payment it makes hereunder, shall also have 

  

 11 

	 	 
a right of contribution against all other Guarantors in respect of any such payment pro rata among same based on their respective net fair
value as enterprises, provided any such right of contribution shall be subject and subordinate to the prior payment in full of the Guaranteed Obligations (and such Guarantor’s obligations in respect thereof).

  

	25.	Full Recourse Obligations; Effect of Fraudulent Transfer Laws, etc. It is the desire and intent of each Guarantor, the Administrative Agent and the other Creditors that this
Guaranty shall be enforced as a full recourse obligation of each Guarantor to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. If and to the extent that the obligations of
any Guarantor under this Guaranty would, in the absence of this sentence, be adjudicated to be invalid or unenforceable because of any applicable state or federal law relating to fraudulent conveyances or transfers, then the amount of such
Guarantor’s liability hereunder in respect of the Guaranteed Obligations shall be deemed to be reduced ab initio to that maximum amount which would be permitted without causing such Guarantor’s obligations
hereunder to be so invalidated. 

  

	26.	Payments Free and Clear of Setoffs, Counterclaims and Taxes, etc. (a) All payments made by any Guarantor hereunder will be made without setoff, counterclaim or other defense
and, except as provided for in section 26(b), all such payments will be made free and clear of, and without deduction or withholding for, any present or future taxes, levies, imposts, duties, fees, assessments or other charges of whatever nature now
or hereafter imposed by any jurisdiction or by any political subdivision or taxing authority thereof or therein with respect to such payments (but excluding, except as provided in the second succeeding sentence, any tax, imposed on or measured by
the net income or net profits of a Creditor pursuant to the laws of the jurisdiction under which such Creditor is organized or the jurisdiction in which the principal office or Applicable Lending Office of such Creditor is located or any subdivision
thereof or therein) and all interest, penalties or similar liabilities with respect to such non excluded taxes, levies imposts, duties, fees, assessments or other charges (all such nonexcluded taxes, levies, imposts, duties, fees, assessments or
other charges being referred to collectively as “Taxes”). If any Taxes are so levied or imposed, the applicable Guarantor agrees to pay the full amount of such Taxes and such additional amounts as may be
necessary so that every payment by it of all amounts due hereunder, after withholding or deduction for or on account of any Taxes will not be less than the amount provided for herein, If any amounts are payable in respect of Taxes pursuant to the
preceding sentence, the applicable Guarantor agrees to reimburse each Creditor, upon the written request of such Creditor for taxes imposed on or measured by the net income or profits of such Creditor pursuant to the laws of the jurisdiction in
which such Creditor is organized or in which the principal office or Applicable Lending Office of such Creditor is located or under the laws of any political subdivision or taxing authority of any such jurisdiction in which the principal office or
Applicable Lending Office of such Creditor is located and for any withholding of income or similar taxes imposed by the United States of America as such Creditor shall determine are payable by, or withheld from, such Creditor in respect of such
amounts so paid to or on behalf of such Creditor pursuant to the preceding sentence, which request shall be accompanied by a statement from such Creditor setting forth, in reasonable detail, the computations used in determining such amounts. The
applicable Guarantor will furnish to the Administrative Agent within 45 days after the date the payment of any Taxes, or any withholding or deduction on account thereof, is due pursuant to applicable law certified copies of tax receipts, or other
evidence satisfactory to the applicable Creditor, evidencing such payment by the applicable Creditor. Each applicable Guarantor will indemnify and hold harmless the Administrative Agent and each Creditor, and reimburse the Administrative Agent or
such Creditor upon its written request, for the amount of any Taxes so levied or imposed and paid or withheld by such Creditor. 

  

	 	(b)	Notwithstanding anything to the contrary contained in section 26(a), (i) any applicable Guarantor shall be entitled, to the extent it is required to do so by law, to deduct or
withhold income or other similar taxes imposed by the United States (or any political subdivision or taxing authority thereof or therein) from any amounts payable hereunder for the account of any Creditor which is not a United States person (as such
term is defined in section 7701(a)(30) of the Code) for United States federal income tax purposes and which has not provided to the Borrower such forms that establish a complete exemption from such deduction or withholding; and (ii) any applicable
Guarantor shall not be obligated pursuant to section 26(a) hereof to gross-up payments to be made to a Creditor in respect of income or similar taxes imposed by the United States or any additional amounts with respect thereto if such Creditor has
not provided to the Borrower such forms. 

  

 12 

	27.	Judgment Currency. (a) If for the purposes of obtaining judgment in any court it is necessary to convert a sum due hereunder in any currency (the “Original
Currency”) into another currency (the “Other Currency”) each Guarantor, the Administrative Agent and the other Creditors, by their acceptance of the benefits hereof, agree, to the fullest extent that they may
effectively do so, that the rate of exchange used shall be that at which in accordance with normal banking procedures the Administrative Agent could purchase the Original Currency with the Other Currency at the Payment Office on the second Business
Day preceding that on which final judgment is given. 

  

	 	(b)	The obligation of a Guarantor in respect of any sum due in the Original Currency from it to the Administrative Agent or any other Creditor hereunder shall, notwithstanding any
judgment in any Other Currency, be discharged only to the extent that on the Business Day following receipt by such Creditor or the Administrative Agent (as the case may be) of any sum adjudged to be so due in such Other Currency such Creditor or
the Administrative Agent (as the case may be) may in accordance with normal banking procedures purchase U.S. Dollars with such Other Currency; if the amount of the Original Currency so purchased is less than the sum originally due to such Creditor
or the Administrative Agent (as the case may be) in the Original Currency, such Guarantor agrees, as a separate obligation and notwithstanding any such judgment, to indemnify such Creditor or the Administrative Agent (as the case may be) against
such loss, and if the amount of the Original Currency so purchased exceeds the sum originally due to the Administrative Agent or any other Creditor (as the case may be) in the Original Currency, the Administrative Agent or such other Creditor (as
the case may be) agrees to remit to such Guarantor such excess. 

  

	28.	Termination. After the termination of the Total Commitment and all Designated Hedge Documents, when no Note nor Letter of Credit is outstanding and when all Loans and
other Guaranteed Obligations (other than unasserted indemnity obligations) have been indefeasibly paid in full, this Guaranty will terminate and the Administrative Agent, at the request and expense of the Borrower and/or any of the Guarantors, will
execute and deliver to the Guarantors a proper instrument or instruments acknowledging the satisfaction and termination of this Guaranty. 

  

	29.	Enforcement Only by Administrative Agent. The Creditors agree that this Guaranty may be enforced only by the action of the Administrative Agent, acting upon the
instructions of the Required Lenders, and that no Creditor shall have any right individually to seek to enforce or to enforce this Guaranty, it being understood and agreed that such rights and remedies may be exercised by the Administrative Agent,
for the benefit of the Creditors, upon the terms of this Guaranty. The Administrative Agent and the other Creditors further agree that this Guaranty may not be enforced against any director, officer or employee of any Guarantor, as such.

  

 13 

	30.	General Limitation on Claims by Guarantors. No claim may be made by any Guarantor against the Administrative Agent or any other Creditor, or the Affiliates, directors,
officers, employees, attorneys or agents of any of them, for any damages other than actual compensatory damages in respect of any claim for breach of contract or any other theory of liability arising out of or related to the transactions
contemplated by this Guaranty or any of the other Guaranteed Documents, or any act, omission or event occurring in connection therewith; and each Guarantor hereby, to the fullest extent permitted under applicable law, waives, releases and agrees not
to sue or counterclaim upon any such claim for any special, consequential or punitive damages, whether or not accrued and whether or not known or suspected to exist in its favor. 

  

	31.	Attorneys, Accountants, etc. of Creditors Have No Duty to Guarantors. All attorneys, accountants, appraisers, consultants and other professional persons (including the firms
or other entities on behalf of which any such person may act) retained by the Administrative Agent or any other Creditor with respect to the transactions contemplated by the Guaranteed Documents shall have the right to act exclusively in the
interest of the Administrative Agent or such other Creditor, as the case may be, and shall have no duty of disclosure, duty of loyalty, duty of care, or other duty or obligation of any type or nature whatsoever to any Guarantor, to any of its
Affiliates, or to any other person, with respect to any matters within the scope of such representation or related to their activities in connection with such representation. Each Guarantor agrees, on behalf of itself and its Affiliates, not to
assert any claim or counterclaim against any such persons with regard to such matters, all such claims and counterclaims, now existing or hereafter arising, whether known or unknown, foreseen or unforeseeable, being hereby waived, released and
forever discharged. 

  

	32.	Creditors Not Fiduciary to Guarantors, etc. The relationship among any Guarantor and its Affiliates, on the one hand, and the Administrative Agent and the other
Creditors, on the other hand, is solely that of debtor and creditor, and the Administrative Agent and the other Creditors have no fiduciary or other special relationship with any Guarantor or any of its Affiliates, and no term or provision of any
Guaranteed Document, no course of dealing, no written or oral communication, or other action, shall be construed so as to deem such relationship to be other than that of debtor and creditor. 

  

	33.	Counterparts. This Guaranty may be executed in any number of counterparts and by the different parties hereto on separate counterparts, each of which when so executed
and delivered shall be an original, but all of which shall together constitute one and the same instrument. A set of counterparts executed by all the parties hereto shall be lodged with the Company and the Administrative Agent.

  

 14 

	34.	Waiver of Jury Trial. EACH GUARANTOR, THE ADMINISTRATIVE AGENT AND EACH OTHER CREDITOR (BY THEIR ACCEPTANCE OF THE BENEFITS HEREOF) HEREBY IRREVOCABLY WAIVES ALL RIGHT TO A TRIAL
BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR RELATING TO THIS GUARANTY OR ANY OF THE OTHER CREDIT DOCUMENTS (INCLUDING, WITHOUT LIMITATION, ANY AMENDMENTS, WAIVERS OR OTHER MODIFICATIONS RELATING TO ANY OF THE FOREGOING), OR
THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. EACH GUARANTOR, THE ADMINISTRATIVE AGENT AND EACH OTHER CREDITOR (BY THEIR ACCEPTANCE OF THE BENEFITS HEREOF) HEREBY (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PERSON HAS
REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PERSONS PARTY HERETO OR BENEFITTED HEREBY HAVE BEEN INDUCED TO ENTER
INTO OR ACCEPT THE BENEFITS OF THIS GUARANTY BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS PARAGRAPH. 

  
 [Remainder of page intentionally left blank.] 
  

 15 

 IN WITNESS WHEREOF, each Guarantor has caused this Guaranty to be executed and delivered as of the
date first above written. 
  

			
	 CALGON CARBON INVESTMENTS INC.,
as a Guarantor

		
	By:	 	/s/    MICHAEL J. MOCNIAK        
	 	 	

	 Name:
	 	Michael J. Mocniak
	 Title:
	 	Vice President and Secretary
	
	 BSC COLUMBUS, LLC,
as a Guarantor

		
	By:	 	/s/    MICHAEL J. MOCNIAK        
	 	 	

	 Name:
	 	Michael J. Mocniak
	 Title:
	 	Manager
	
	 CCC COLUMBUS, LLC,
as a Guarantor

		
	By:	 	/s/    MICHAEL J. MOCNIAK        
	 	 	

	 Name:
	 	Michael J. Mocniak
	 Title:
	 	Manager
	
	 CCC DISTRIBUTION, LLC,
as a Guarantor

		
	By:	 	/s/    MICHAEL J. MOCNIAK        
	 	 	

	 Name:
	 	Michael J. Mocniak
	 Title:
	 	Manager
	
	 NATIONAL CITY BANK OF PENNSYLVANIA,
as Administrative Agent

		
	By:	 	 
	 	 	

	 Name:
	 	Lori B. Shure
	 Title:
	 	Vice President

  

 IN WITNESS WHEREOF, each Guarantor has caused this Guaranty to be executed and delivered as of the
date first above written. 
  

			
	 CALGON CARBON INVESTMENTS INC.,
as a Guarantor

		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

	
	 BSC COLUMBUS, LLC,
as a Guarantor

		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

	
	 CCC COLUMBUS, LLC,
as a Guarantor

		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

	
	 CCC DISTRIBUTION, LLC,
as a Guarantor

		
	By:	 	 
	 	 	

	 Name:
	 	 
	 	 	

	 Title:
	 	 
	 	 	

	
	 NATIONAL CITY BANK OF PENNSYLVANIA,
as Administrative Agent

		
	By:	 	/s/    LORI B. SHURE        
	 	 	

	 Name:
	 	Lori B. Shure
	 Title:
	 	Vice President

  

 GENERAL REVOLVING NOTE 
  

			
	 $32,000,000.00
 Pittsburgh, Pennsylvania
	 	 February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of NATIONAL CITY BANK OF
PENNSYLVANIA (the “Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative Currency shall be payable in such Alternative Currency, in immediately
available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the
“Administrative Agent”), on the Maturity Date, the principal sum of THIRTY TWO MILLION DOLLARS AND NO CENTS ($32,000,000.00) or, if less, the then unpaid principal amount of all General Revolving Loans made by the
Lender to the Borrower pursuant to the Credit Agreement. 
  
 The
Borrower promises also to pay interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money at said office from the date hereof until paid at the rates and at the times provided in section
2.8 of the Agreement. 
  
 This Note is one of the General
Revolving Notes referred to in the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative
Agent (as from time to time in effect, the “Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Credit Agreement, this Note is
subject to mandatory prepayment prior to the Maturity Date, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement.

  
 The Borrower hereby waives presentment, demand, protest or
notice of any kind in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  
 [Remainder of page intentionally left blank.] 
  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	 CALGON CARBON CORPORATION

		
	 By:
	 	/s/    LEROY M. BALL        
	 	 	

	 Name:
	 	Leroy M. Ball
	 Title:
	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of Loan

	 	 Type of Loan

	 	 Interest Period

	 	 Amount of Principal
Paid or Prepaid

	 	 Unpaid Principal
Balance

	 	 Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

  

 GENERAL REVOLVING NOTE 
  

			
	 $22,000,000.00
	 	 
	 Pittsburgh, Pennsylvania
	 	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of FIFTH THIRD BANK (the
“Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative Currency shall be payable in such Alternative Currency, in immediately available funds, at the
Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the “Administrative
Agent”), on the Maturity Date, the principal sum of TWENTY TWO MILLION DOLLARS AND NO CENTS ($22,000,000.00) or, if less, the then unpaid principal amount of all General Revolving Loans made by the Lender to the Borrower pursuant
to the Credit Agreement. 
  
 The Borrower promises also to pay
interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money at said office from the date hereof until paid at the rates and at the times provided in section 2.8 of the Agreement.

  
 This Note is one of the General Revolving Notes referred to in
the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative Agent (as from time to time in
effect, the “Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Credit Agreement, this Note is subject to mandatory
prepayment prior to the Maturity Date, in whole or in part. 
  
 In
case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind
in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  
 [Remainder of page intentionally left blank.] 
  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	By:	 	/s/    LEROY M. BALL        
	 	 	

	Name:	 	Leroy M. Ball
	Title:	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of Loan

	 	 Interest
 Period

	 	 Amount of
 Principal
 Paid or
 Prepaid

	 	 Unpaid
 Principal
 Balance

	 	 Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

  

 GENERAL REVOLVING NOTE 
  

			
	 $24,500,000.00
 Pittsburgh, Pennsylvania
	 	 February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of PNC BANK, NATIONAL
ASSOCIATION (the “Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative Currency shall be payable in such Alternative Currency, in immediately
available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the
“Administrative Agent”), on the Maturity Date, the principal sum of TWENTY FOUR MILLION FIVE HUNDRED THOUSAND DOLLARS AND NO CENTS ($24,500,000.00) or, if less, the then unpaid principal amount of all General Revolving
Loans made by the Lender to the Borrower pursuant to the Credit Agreement. 
  
 The Borrower promises also to pay interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money at said office from the date hereof until paid at the rates and
at the times provided in section 2.8 of the Agreement. 
  
 This
Note is one of the General Revolving Notes referred to in the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of
Pennsylvania, as Administrative Agent (as from time to time in effect, the “Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in
the Credit Agreement, this Note is subject to mandatory prepayment prior to the Maturity Date, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the
manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of
any such rights. 
  
 [Remainder of page intentionally left blank.]

  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	 CALGON CARBON CORPORATION

		
	 By:
	 	/s/    Leroy M. Ball        
	 	 	

	 Name:
	 	Leroy M. Ball
	 Title:
	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of Loan

	 	 Type of Loan

	 	 Interest Period

	 	 Amount of Principal
Paid or Prepaid

	 	 Unpaid Principal
Balance

	 	 Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

  

 GENERAL REVOLVING NOTE 
  

			
	 $24,500,000.00
	 	 
	 Pittsburgh, Pennsylvania
	 	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of WACHOVIA BANK, NATIONAL
ASSOCIATION (the “Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative Currency shall be payable in such Alternative Currency, in immediately
available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the
“Administrative Agent”), on the Maturity Date, the principal sum of TWENTY FOUR MILLION FIVE HUNDRED THOUSAND DOLLARS AND NO CENTS ($24,500,000.00) or, if less, the then unpaid principal amount of all General Revolving
Loans made by the Lender to the Borrower pursuant to the Credit Agreement. 
  
 The Borrower promises also to pay interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money at said office from the date hereof until paid at the rates and
at the times provided in section 2.8 of the Agreement. 
  
 This
Note is one of the General Revolving Notes referred to in the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of
Pennsylvania, as Administrative Agent (as from time to time in effect, the “Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in
the Credit Agreement, this Note is subject to mandatory prepayment prior to the Maturity Date, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the
manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of
any such rights. 
  
 [Remainder of page intentionally left blank.]

  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	By:	 	/s/    LEROY M. BALL        
	 	 	

	Name:	 	Leroy M. Ball
	Title:	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of Loan

	 	 Interest
 Period

	 	 Amount of
 Principal
 Paid or
 Prepaid

	 	 Unpaid
 Principal Balance

	 	 Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

  

 GENERAL REVOLVING NOTE 
  

			
	 $22,000,000.00
	 	 
	 Pittsburgh, Pennsylvania
	 	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of FLEET NATIONAL BANK (the
“Lender”), in lawful money of the United States of America, provided that General Revolving Loans denominated in an Alternative Currency shall be payable in such Alternative Currency, in immediately available funds, at the
Payment Office (such term and certain other terms used herein without definition shall have the meanings ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the “Administrative
Agent”), on the Maturity Date, the principal sum of TWENTY TWO MILLION DOLLARS AND NO CENTS ($22,000,000.00) or, if less, the then unpaid principal amount of all General Revolving Loans made by the Lender to the Borrower pursuant
to the Credit Agreement. 
  
 The Borrower promises also to pay
interest on the unpaid principal amount of each General Revolving Loan made by the Lender to the Borrower in like money at said office from the date hereof until paid at the rates and at the times provided in section 2.8 of the Agreement.

  
 This Note is one of the General Revolving Notes referred to in
the Credit Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative Agent (as from time to time in
effect, the “Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Credit Agreement, this Note is subject to mandatory
prepayment prior to the Maturity Date, in whole or in part. 
  
 In
case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind
in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  
 [Remainder of page intentionally left blank.] 
  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	By:	 	/s/    LEROY M. BALL        
	 	 	

	Name:	 	Leroy M. Ball
	Title:	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of Loan

	 	 Interest
 Period

	 	 Amount of
 Principal
 Paid or
 Prepaid

	 	 Unpaid
 Principal
 Balance

	 	 Made By

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 	 	 	 	 	 
	

  

 SWING LINE REVOLVING NOTE 
  

			
	 $10,000,000
	 	 
	 Pittsburgh, Pennsylvania
	 	February 18, 2004

  
 FOR VALUE
RECEIVED, the undersigned CALGON CARBON CORPORATION, a Delaware corporation (herein, together with its successors and assigns, the “Borrower”), hereby promises to pay to the order of NATIONAL CITY BANK OF
PENNSYLVANIA (the “Lender”), in lawful money of the United States of America in immediately available funds, at the Payment Office (such term and certain other terms used herein without definition shall have the meanings
ascribed thereto in the Credit Agreement referred to below) of National City Bank of Pennsylvania (the “Administrative Agent”), the principal sum of TEN MILLION DOLLARS AND NO CENTS ($10,000,000) or, if less, the then
unpaid principal amount of all Swing Line Revolving Loans made by the Lender to the Borrower pursuant to the Credit Agreement. The Borrower will pay the principal amount of any Swing Line Revolving Loan no later than the Maturity Date. 

 
 The Borrower promises also to pay interest on the unpaid principal amount
of each Swing Line Revolving Loan made by the Lender in like money at said office from the date hereof until paid at the rates and at the times provided in section 2.8 of the Credit Agreement. 
  
 This Note is the Swing Line Revolving Note referred to in the Credit
Agreement, dated as of February 18, 2004, among the Borrower, the financial institutions from time to time party thereto (including the Lender), and National City Bank of Pennsylvania, as Administrative Agent (as from time to time in effect, the
“Credit Agreement”), and is entitled to the benefits thereof and of the other Credit Documents (as defined in the Credit Agreement). As provided in the Agreement, this Note is subject to mandatory prepayment prior to the
maturity date of any Swing Line Revolving Loan, in whole or in part. 
  
 In case an Event of Default shall occur and be continuing, the principal of and accrued interest on this Note may be declared to be due and payable in the manner and with the effect provided in the Credit Agreement. 
  
 The Borrower hereby waives presentment, demand, protest or notice of any kind
in connection with this Note. No failure to exercise, or delay in exercising, any rights hereunder on the part of the holder hereof shall operate as a waiver of any such rights. 
  
 [Remainder of page intentionally left blank.] 
  

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE COMMONWEALTH OF
PENNSYLVANIA. 
  

			
	CALGON CARBON CORPORATION
		
	By:	 	/s/    LEROY M. BALL        
	 	 	

	Name:	 	Leroy M. Ball
	Title:	 	Vice President and Chief Financial Officer

  

 LOANS AND PAYMENTS OF PRINCIPAL 
  

													
	 Date of
 Notation

	 	 Amount of
 Loan

	 	 Type of
 Loan/or
 Interest Rate

	 	 Maturity

	 	 Amount of
 Principal
 Paid or
 Prepaid

	 	 Unpaid
 Principal
 Balance

	 	 Made ByPurchase Agreement

 Exhibit 10.9 
  
 IN THE UNITED STATES BANKRUPTCY COURT 
 FOR THE DISTRICT OF DELAWARE 
  

	
	In Re:
                                        
)            Chapter 11
	                                       
             )
	WATERLINK, INC. et al.,         )             Jointly Administered
	                                       
             )
	                                       
             )            Case No. 03-11989 (PJW)
	                            Debtors.         
 )
	                                      
              )            Re: Docket No. 270

  
 ORDER (I)
AUTHORIZING THE SALE OF CERTAIN ASSETS OF THE 
 DEBTORS’ ESTATES FREE AND CLEAR OF LIENS, CLAIMS, AND 
 INTERESTS; AND (II) AUTHORIZING THE SALE, ASSUMPTION AND  
 ASSIGNMENT OF CERTAIN LEASES AND EXECUTORY CONTRACTS 
  
 This matter is before the Court upon the “Motion of Debtors Pursuant to 11 U.S.C. Sections 105, 363 and 365 for Order Authorizing (I) Sale of Certain
Assets of the Estates Free and Clear of Liens, Claims, and Interests; and (II) Sale, Assumption and Assignment of Certain Leases and Executory Contracts” (the “Sale Motion”) (Docket No. 270, filed December 16, 2003), filed by
Waterlink, Inc. and Barnebey Sutcliffe Corporation (together, the “Selling Debtors”) and certain of their affiliates. The Sale Motion seeks this Court’s authorization pursuant to Sections 105, 363 and 365 of title 11 of the United
States Code, 11 U.S.C. §§ 101, et seq. (the “Bankruptcy Code”) and Rules 2002, 6004, and 6006 of the Federal Rule of Bankruptcy Procedure (the “Bankruptcy Rules”) (a) to sell substantially all of Barnebey Sutcliffe
Corporation’s operating assets and all the issued and outstanding stock of Waterlink, Inc.’s wholly owned subsidiary, Waterlink (UK) Limited (collectively, the “Purchased Assets”), free and clear of all liens, claims,
encumbrances, and other interests (the “Sale”) to Calgon Carbon Corporation and/or its permitted assignee(s) (the “Purchaser”) pursuant to that certain Asset Purchase Agreement dated as of February 3, 2004, by and among the
Purchaser and the Selling Debtors, a copy of which is annexed hereto as Exhibit A (including all 

  

 
amendments, schedules, exhibits, and agreements ancillary thereto) (the “Asset Purchase Agreement”); and (b) to assume and sell and assign to the
Purchaser certain executory contracts and unexpired leases that are designated on Schedule 1.1(i) of the Asset Purchase Agreement, which is to be submitted by the Purchaser to the Selling Debtors prior to the Closing (as such term is defined in the
Asset Purchase Agreement) in accordance with § 1.1(i)(1) of the Asset Purchase Agreement (collectively, the “Assumed Contracts”). 
  
 The Court having entered an order on December 24, 2004 (the “Bid Procedures Order”), pursuant to which the Court, inter alia, (i)
established the date and time for the hearing on the Sale Motion (the “Sale Hearing”), (ii) approved the bidding procedures specified therein (the “Bidding Procedures”), and (iii) approved the form and manner of notice for the
sale and assumption and assignment of the Purchased Assets and the Assumed Contracts; requisite notice of the Sale Motion having been provided as set forth in the Bid Procedures Order; the Sale Hearing having been held before this Court on February
3, 2004, at which time all parties-in-interest were afforded an opportunity to be heard; the Court having considered the Sale Motion and the Asset Purchase Agreement; and, in accordance with Bankruptcy Rules 6004, 6006, and 9008, the Court having
received evidence in support of the Sale and the Sale Motion and having heard the arguments of counsel for the Selling Debtors, the Purchaser and various other parties in interest; all the objections to the relief requested in the Sale Motion having
been withdrawn, resolved, or overruled by the court; and it appearing to the Court that, upon all of the pleadings filed with the Court and the record of the Sale Hearing before the Court, the relief requested by the Sale Motion is in the best
interests of the Selling Debtors and their respective estates, 
  

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 IT IS HEREBY FOUND AND CONCLUDED, that: 
  
 A. On June 27, 2003 (the “Petition Date”), each of the Selling Debtors and certain of their affiliates
(collectively, the “Debtors”) filed a petition for relief under Chapter 11 of the Bankruptcy Code commencing their respective cases (collectively, the “Chapter 11 Cases”). Pursuant to Sections 1107(a) and 1108 of the Bankruptcy
Code, the Debtors remain in possession of their property and continue to operate and manage their businesses as debtors-in-possession. No trustee or examiner has been appointed in these cases. An Official Committee of Unsecured Creditors (the
“Committee”) was appointed on July 14, 2003. The Debtors’ chapter 11 cases are being jointly administered. 
  
 B. The Debtors are an international provider of integrated water and air purification solutions for both industrial and municipal customers. 

 
 C. This Court has jurisdiction to hear and determine the Sale Motion
pursuant to 28 U.S.C. §§ 157 and 1334. Venue is proper in this Court pursuant to 28 U.S.C. §§ 1408 and 1409. 
  
 D. Determination of the Sale Motion is a core proceeding under 28 U.S.C. §§ 157(b)(2)(A), (M), (N), and (O). The statutory and rule predicates
for the relief requested herein are Sections 105(a), 363, and 365 of the Bankruptcy Code and Bankruptcy Rules 2002, 6004, and 6006. 
  
 E. Proper, timely, adequate and sufficient notice of the Sale Motion, the Bidding Procedures, the Sale Hearing, and the proposed Sale has been provided in
accordance with the terms of the Bid Procedures Order, and such notice constitutes due and proper notice for purposes of Sections 102(1), 363, and 365 of the Bankruptcy Code and Bankruptcy Rules 2002, 6004, 6006, 9006, and 9008, and no other or
further notice of the Sale Motion, the Sale Hearing, or of the entry of this order is required. 
  

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 F. On January 30, 2004, the Debtors conducted a public auction of the Purchased Assets (the
“Auction”). At the Auction, the Debtor received the following three highest bids (the “Three Highest Bids”) excluding Cure Amounts (as defined in the Bid Procedures Order) and the assumed liabilities listed on Schedule 1.3: (i)
Thirty Five Million Two Hundred Thousand Dollars ($35,200,000), plus the assumption of the Debtors’ United States pension plan liabilities, from Purchaser, (ii) Thirty Five Million Dollars ($35,000,000) from WBS Carbon Acquisition Corp. ($12
million for the stock of Waterlink (UK) Limited and $23 million for the remaining assets of the Debtors), and (iii) Thirty Million Dollars ($30,000,000) from GSC Barnebey Recovery, Inc. The Bidding Procedures afforded a full, fair, and reasonable
opportunity for any entity to make a higher and better offer to purchase the Purchased Assets and no higher or better offer has been made. 
  
 G. The Selling Debtors have complied with the procedures set forth in the Bid Procedures Order concerning the evaluation of competing bids, the conduct of
the auction, and the communication with the proponents of competing bids to the extent required thereby. The sale and auction process conducted by the Selling Debtors was non-collusive, fair and reasonable, and conducted in good faith. 

 
 H. A reasonable opportunity to object or be heard regarding the relief
requested in the Sale Motion has been afforded to all interested persons and entities, including: (a) all parties, if any, who are known to claim a property interest in or Lien (as defined in the Bankruptcy Code) upon any Purchased Asset; (b) all
parties, if any, who are known to claim an interest in any Assumed Contracts; (c) all governmental taxing authorities who have, or as a result of the Sale of the Purchased Assets may have, Claims (as defined in the Bankruptcy Code), contingent or
otherwise, against the Selling Debtors; (d) all potential purchasers known 

  

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to the Selling Debtors, (e) the parties listed on the General Service List, including all creditors and other parties who have filed a Notice of Appearance
in these cases; (f) the United States Trustee for the District of Delaware and (g) the Committee. 
  
 I. Each of the Selling Debtors has full corporate power and authority to execute, deliver and perform the Asset Purchase Agreement and all other documents
contemplated thereby and to consummate the transactions contemplated thereby; the execution, delivery and performance by each of the Selling Debtors of the Asset Purchase Agreement and all other documents contemplated thereby and the consummation of
the transactions contemplated thereby have been duly authorized by all necessary corporate action on the part of each of the Debtors; no consents or approvals, other than those expressly provided for in the Asset Purchase Agreement, are required to
consummate the Sale; and all consents and approvals necessary for the assignment of the Assumed contracts have been obtained. 
  
 J. The Sale is in the best interests of the Debtors and their estates. The Selling Debtors have an adequate business justification to sell the Purchased
Assets pursuant to the terms of the Asset Purchase Agreement. Such business justification includes, but is not limited to, the following factors: (i) there is a significant risk of immediate and irreparable deterioration in the value of the
Purchased Assets if the sale is not consummated quickly; (ii) the consummation of the Asset Purchase Agreement presents the best opportunity to realize the value of the Purchased Assets and avoid further decline and devaluation thereof; and (iii)
the sale pursuant to the Asset Purchase Agreement is in the public interest, as it will result in the continued operation of the Selling Debtors’ assets and the Purchaser’s assumption of all obligations relating to Barnebey Sutcliffe
Corporation’s pension plan. After consideration of the circumstances described in the Sale Motion, the Court determined that the Bidding 

  

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Procedures presented the best opportunity for the Selling Debtors’ estates to realize the highest distribution possible to creditors. 
  
 K. The Purchase Price (as defined and set forth in the Asset Purchase
Agreement) constitutes fair and reasonable consideration and reasonably equivalent value for the Purchased Assets. 
  
 L. The Selling Debtors have good title to the Purchased Assets and, accordingly, the transfer of the Purchased Assets to the Purchaser pursuant to the
Asset Purchase Agreement will be a legal, valid and effective transfer of the Purchased Assets. Notwithstanding the foregoing, and except as may be specifically provided otherwise in the Asset Purchase Agreement, the Purchased Assets and the Assumed
Contracts are being sold and assigned to the Purchaser “AS IS, WHERE IS.” The Debtors have made no representations or warranties as to the condition of the Purchased Assets and the Assumed Contacts and have specifically disclaimed any
expressed or implied representation or warranty, including, without limitation, any representation or warranty related to (a) the quality, character or condition of the Purchased Assets and Assumed Contracts, including without limitation the fitness
or suitability for any particular trade or use or the merchantability of, any of the Purchased Assets and Assumed Contracts, (b) the compliance of the use of the Purchased Assets and Assumed Contracts with any and all federal, state or local
environmental or other laws or regulations, or (c) the income to be derived from, or the expense to be incurred with respect to, the Purchased Assets and the Assumed Contracts. 
  
 M. As a condition to the Sale, the Purchaser requires that the Purchased Assets be sold to it free and clear of all Liens
and Claims, other than the Assumed Liabilities (which term, as used in this order, means all liabilities listed on Schedule 1.3 of the Asset Purchase 

  

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Agreement, all Cure Amounts relating to Assumed Contracts and all pension liabilities assumed pursuant to § 8.9 of the Asset Purchase Agreement), and
that the Purchaser shall have no liability or obligation for any Excluded Liabilities. The Purchaser would not enter into the Asset Purchase Agreement or consummate the Sale, thus adversely affecting the Selling Debtors’ estates and impeding
the Debtors’ reorganization efforts, if the Sale were not free and clear of all Liens and Claims (other than the Assumed Liabilities) or if the Purchaser were or would be liable for any Excluded Liabilities. 
  
 N. An injunction against the creditors and third parties pursuing Liens and
Claims is necessary to induce the Purchaser to close under the Asset Purchase Agreement. The issuance of such injunction is necessary to avoid irreparable harm to the Selling Debtors’ estates, their creditors and employees. 
  
 O. Each entity with a Lien on the Purchased Assets has consented to the Sale
or is deemed to have consented to the Sale or the transfer is proper pursuant to Section 363(f) of the Bankruptcy Code. 
  
 P. All of the actions taken by the Purchaser, the Selling Debtors, and their respective officers, directors, employees, counsel, financial advisors and
other professionals in connection with the Asset Purchase Agreement and the Sale Motion have been taken in good faith, and the Purchaser is a good faith purchaser within the meaning of Section 363(m) of the Bankruptcy Code because: 
  

	 	(a)	The Purchaser is unrelated to the Debtors; 

  

	 	(b)	The Purchaser, the Selling Debtors, and their respective counsel and financial advisors engaged in good faith’s arm’s-length negotiations in arriving at the Asset Purchase
Agreement; 

  

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	 	(c)	None of the Purchaser or any of the Debtors has engaged in any conduct that would cause the transactions contemplated by the Asset Purchase Agreement to be avoided as contemplated
in Section 363(n) of the Bankruptcy Code; and 

  

	 	(d)	In the absence of a stay pending appeal, the Purchaser will be acting in good faith within the meaning of Section 363(m) of the Bankruptcy Code in closing the Sale as contemplated
by the Asset Purchase Agreement, including the assumption and assignment of the Assumed Contracts, at any time after the entry of this Order and, accordingly, such closing in the face of an appeal will not deprive the Purchaser of its status as a
good-faith purchaser. 

  
 Q. Except for the Assumed
Liabilities expressly assumed by Purchaser pursuant to the Asset Purchase Agreement, neither the Purchaser nor any of its successors and assigns is assuming any of the Debtors’ obligations or liabilities. 
  
 R. There is no common identity among the Purchaser’s and the
Debtors’ incorporators, officers, directors or material stockholders. 
  
 S. No bulk sales law or any similar law applies in any way to the transfer of the Purchased Assets under the Asset Purchase Agreement. 
  
 T. The applicable Cure Amounts listed on Exhibit B (which are to be paid by the Purchaser with respect to any contracts or
leases listed on Exhibit B that are designated as Assumed Contracts in accordance with Section l.1(i)(1) of the Asset Purchase Agreement) are the sole amounts necessary to cure any defaults by any of the Selling Debtors under the Assumed Contracts.

  

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 U. The Purchaser has provided adequate assurance of the Purchaser’s future performance under the
Assumed Contracts within the meaning of Sections 365(b)(1)(C) and 365(f)(2)(B) of the Bankruptcy Code. 
  
 V. The assumption by the Selling Debtors and assignment to the Purchaser of the Assumed Contracts and the assumption by the Purchaser of the Assumed
Liabilities is in the best interest of the Selling Debtors, their creditors, and their estates and represents a prudent exercise of the Selling Debtors’ business judgment. 
  
 W. The transfer of the Purchased Assets and the assignment, sale and assumption of the Assumed Contracts as contemplated by
the Asset Purchase Agreement (a) are or will be legal, valid, and effective transfers of property of the Selling Debtors’ estates to the Purchaser, and (b) vest or will vest in the Purchaser all right, title, and interest of the Selling Debtors
in and to all of the Purchased Assets and the Assumed Contracts free and clear of all Liens and Claims, other than the Assumed Liabilities, under Sections 363(f) and 105 of the Bankruptcy Code. 
  
 X. All of the provisions of this Order arc nonseverable and mutually
dependent. 
  
 NOW, THEREFORE, IT IS HEREBY ORDERED, ADJUDGED, AND
DECREED THAT: 
  
 1. The Sale Motion is granted in all respects.

  
 2. All objections to the Sale Motion or the relief requested
therein that have not been withdrawn, waived or settled, and all reservations of rights included therein, are overruled on the merits. 
  

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 3. The provisions of the Asset Purchase Agreement are hereby approved. The Debtors are authorized and
directed to enter into the Asset Purchase Agreement pursuant to Sections 363(b) and (f) of the Bankruptcy Code. The terms of the Asset Purchase Agreement shall be enforceable by and against the Debtors and their successors and assigns, including any
chapter 7 or 11 trustee appointed or elected in the Debtors’ bankruptcy cases. 
  
 4. By the issuance of this Order, each of the Selling Debtors is authorized and directed to execute and deliver, and empowered to fully perform under, consummate and implement, the Asset Purchase Agreement and all
additional amendments, instruments, and documents that may be reasonably necessary or desirable to implement the Asset Purchase Agreement and to take all further actions as may reasonably be requested by the Purchaser for the purpose of assigning,
transferring, granting, conveying, and conferring to the Purchaser, or reducing to the Purchaser’s possession, any or all of the Purchased Assets. 
  
 5. Pursuant to Sections 363(f) and 105(a) of the Bankruptcy Code, title to all of the Purchase Assets shall be transferred to the Purchaser at the Closing
in accordance with the terms and conditions of the Asset Purchase Agreement (or thereafter as provided therein), free and clear of all Liens and Claims (including, without limitation all postpetition obligations and liabilities of the Selling
Debtors), other than the Assumed Liabilities, with all such Liens, Claims, obligations and liabilities released, terminated and discharged as to the Purchaser (and its successors and assigns) and the Purchased Assets. All Claims and Liens will
attach to the proceeds from the Sale, in the order of their priority, with the same validity, force, and effect that they had against the Purchased Assets immediately prior to the Sale. 
  
 6. The proceeds from the Sale shall be distributed at Closing as follows: (a) Seven Hundred Seventy Two Thousand Five
Hundred Dollars ($772,500) to Barnebey Acquisition 

  

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Corp. (“BAC”) in full and final satisfaction of its break up fee (“Break Up Fee”); (b) Two Hundred Thousand Dollars ($200,000) shall be
held in escrow by the Debtor to satisfy the expense reimbursement of BAC pursuant to the terms of paragraph 20 of the Bid Procedures Order (the “Expense Reimbursement”), which shall not exceed $200,000; (c) Net Collateral Sale Proceeds (as
defined below) shall be provisionally paid to Bank of America, N.A., as agent (the “Agent”), for provisional distribution to the Debtors’ secured lenders (the “Lenders”) in a manner to be agreed upon by the Debtors, the
Lenders, and the Committee, as set forth in the following sentence; and (d) the balance to the Debtors’ estates. The term “Net Collateral Sale Proceeds” shall mean, as of the closing, the gross Sale proceeds minus (i) the Break Up
Fee, (ii) the Expense Reimbursement, (iii) the Purchase Price Adjustment Escrow, (iv) all actual and normal charges, costs, and expenses attendant to the Sale which are customarily paid or reserved for at Closing from the gross Sale proceeds and
which are not already included in the Budget incorporated into the cash collateral order, (v) any Sale proceeds subject to Liens having priority ahead of the Liens of the Lenders, and (vi) Sale proceeds not subject to the Lenders’ Liens;
provided that, in calculating the Sale Proceeds not subject to the Lenders’ Liens, there shall be an estimated allocation of Sale Proceeds at Closing between the stock of Waterlink (UK) Limited and the remaining Purchased Assets of the Selling
Debtors, which allocation shall be adjusted for the Break Up Fee, the Expense Reimbursement, Purchase Price Adjustment Escrow, other actual and customary closing costs (including investment banking fees) not included in the Budget incorporated into
the cash collateral order and any positive or negative Closing date working capital adjustment. Additionally, after the Final Post Closing Purchase Price Adjustment, there shall be a further provisional distribution to the Lenders of the remaining
Net Collateral Sale Proceeds adjusted 

  

 11 

 
between the stock of Waterlink (UK) Limited and the remaining Purchased Assets of the Selling Debtors in a manner consistent with the estimated allocation
made at Closing. Pending a determination as to the allowance of the Lenders’ secured Claims, the Lenders may provisionally apply the Net Collateral Sale Proceeds received pursuant to this paragraph 6(c) to the indebtedness owed by the Debtors
to the Lenders pursuant to the pre-petition credit facility, subject to all rights and remedies of the Debtors and their estates under the Bankruptcy Code and applicable law, including any right they may have to seek a Court order requiring
disgorgement of such Net Collateral Sale Proceeds. By accepting a provisional distribution, each of the Lenders shall be deemed to have submitted to the jurisdiction of this Court in respect of any action to recover such distribution, and such
Lenders shall be severally but not jointly liable in respect of any disgorgement of such Net Collateral Sale Proceeds, with such action to recover distributions to be brought against the Lenders in their individual capacities and not against the
Agent on behalf of the Lenders. The allocation of Sale Proceeds and payments to the Lenders provided in this paragraph shall be provisional and shall not constitute a determination of this Court, or otherwise be construed as an admission by any
party, as to the final allocation of such Sale Proceeds or of the extent, validity or priority of the Lenders’ Liens and Claims 
  
 7. All persons and entities holding Liens and Claims of any kind and nature with respect to the Purchased Assets or the Debtors hereby are barred from
asserting such Liens and Claims against the Purchaser, its successors and assigns, or against the Purchased Assets. 
  
 8. The Selling Debtors are hereby authorized and directed in accordance with Section 365 of the Bankruptcy Code to (a) assume, sell and assign to the
Purchaser each of the Assumed Contracts free and clear of all Liens and Claims, other than Cure Amounts included 

  

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in the Assumed Liabilities, and (b) execute and deliver to the Purchaser such documents or other instruments as may be necessary to assign and transfer the
Assumed Contracts to the Purchaser. 
  
 9. The Assumed Contracts
shall, upon assignment to the Purchaser and the payment of the applicable Cure Amounts, be valid and binding and in full force and effect and enforceable in accordance with their respective terms. 
  
 10. If any defaults under any Assumed Contracts or any objections to any
applicable Cure Amounts existing as of the date of the Sale Hearing have not been raised or asserted prior to the Sale Hearing, the non-debtor parties to each such Assumed Contract arc hereby barred and enjoined from asserting against the Selling
Debtors or the Purchaser (and their respective successors and assigns) any such defaults or objections. The Purchaser shall pay any amounts accruing under the Assumed Contracts on or after the date of the Sale Hearing. 
  
 11. If any person or entity that has filed any mortgages, deeds of trust,
financing statements, or other documents or agreements evidencing Liens on any Purchased Assets shall not have delivered to the Selling Debtors prior to the Closing, in proper form for filing and executed by the appropriate parties, termination
statements, instruments of satisfaction, or releases of all Liens which the person or entity has with respect to any Purchased Assets, then the Purchaser hereby is authorized to execute and file statements, instruments, releases, and other documents
on behalf of the person or entity with respect to such Purchased Assets, provided that, in respect of the Lenders’ Liens, the Purchaser shall consult with the Agent’s counsel in the preparation of any such documents. The foregoing
notwithstanding, the provisions of the Order authorizing the sale and assignment of the Purchased Assets free and 

  

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clear of Liens and Claims (other than the Assumed Liabilities) shall be self-executing, and notwithstanding the failure of any of the Debtors, the Purchaser,
or any other party to execute, file or obtain releases, termination statements, assignments, consents, or other instruments to effectuate, consummate, and/or implement the provisions hereof or the Asset Purchase Agreement with respect to the sale
and assignment of the Purchased Assets, all Liens on the Purchased Assets shall be deemed divested, void and unenforceable. All persons or entities who are presently, or at any time hereafter prior to the transfer to the Purchaser, in possession of
any of the Purchased Assets are hereby directed to surrender possession of any of the Purchased Assets to the Purchaser at the Closing. 
  
 12. This Order shall be binding upon the Debtors, their respective successors and assigns and any trustee that may be appointed in these cases or in any
case under Chapter 7 of the Bankruptcy Code to which any such case may be converted, and any affected third parties, including without limitation all non-Debtor parties to any Assumed Contracts, all persons and entities asserting any Claims against
or interests in the Debtors’ estates or any of the Purchased Assets and all other persons and entities, including without limitation, all filing agents, filing officers, title agents, title companies, recorders of mortgages, recorders of deeds,
registrars of deeds, administrative agencies, governmental departments, secretaries of state, federal, state and local officials, and all other persons or entities who may be required by operation of law or by the duties of their office or contract
to accept, file, register, or otherwise record or release any documents or instruments, or who may be required to report to or insure title or state of title in or to any of the Purchased Assets. 
  
 13. Upon the Closing, the Purchaser shall assume the Assumed Liabilities in
accordance with the terms of the Asset Purchase Agreement. Other than the Assumed 

  

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Liabilities, none of the Purchaser, its successors and assigns, or any affiliate of such entity shall have any liability, duty or responsibility for any
Claims, administrative expenses, or other liabilities against the Debtors or any of the Debtors’ predecessors or affiliates of any kind or character, whether known or unknown as of the Closing, now existing or hereafter arising, whether fixed
or contingent. 
  
 14. From and after entry of this Order, no
Debtor or any of its respective creditors or other parties in interest shall take or cause to be taken any action that would interfere with the transfer of the Purchased Assets to the Purchaser in accordance with the terms of this Order. 

 
 15. The Purchaser is a purchaser in good faith of the Purchased Assets and
the Assumed Contracts and is entitled to all of the protections afforded by Section 363(m) of the Bankruptcy Code. 
  
 16. In the absence of a stay pending appeal, the Purchaser will be acting in good faith within the meaning of Section 363(m) of the Bankruptcy Code in
closing the Sale as contemplated by the Asset Purchase Agreement, including the assumption, sale and assignment of the Assumed Contracts, at any time after the entry of this Order and, accordingly, such closing in the face of an appeal will not
deprive the Purchaser of its status as a good-faith purchaser. If the parties to the Sale consummate the transactions contemplated thereby while an appeal of this Order is pending, the Purchaser shall be entitled to rely upon the protections of
Section 363(m) of the Bankruptcy Code, absent any stay pending appeal granted by a court of competent jurisdiction prior to such consummation. 
  
 17. The Purchase Price for the Purchased Assets is fair and reasonable and the Sale shall not be avoided under Section 363(n) of the Bankruptcy Code.

  

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 18. All persons are hereby enjoined from asserting, prosecuting or otherwise pursuing any Claim against
the Purchaser, any of its successors, or assigns, or any of its affiliates, agents, counsel, or advisors, and from recovering any Claim such person had, has or may have (other than an Assumed Liability) against the Purchaser, or any of its
affiliates, agents, counsel, or advisors in connection with the negotiation of or any agreements contained in, the Asset Purchase Agreement. 
  
 19. From and after entry of this Order, (i) each Debtor, each party in interest in these cases, and each other party that was provided with notice of the
Sale Motion (and each of their respective successors and assigns) hereby fully and forever releases, relieves, waives, relinquishes, and discharges each of the Purchaser and its present, former and future directors, officers, employees, agents,
counsel, advisors, shareholders, members, subsidiaries, affiliates, heirs, executors, administrators, successors and assigns from, against and with respect to any and all actual or potential demands, Claims, actions, causes of action (including
derivative causes of action and claims released in Section 13.22 of the Asset Purchase Agreement), suits, assessments, liabilities, losses, costs, damages, penalties, charges, expenses, and all other forms of liability whatsoever, in law or equity,
whether asserted or unasserted, known or unknown, foreseen or unforeseen, now existing or hereafter arising that any such person ever had, now has or hereafter may have relating in any way to any of the Debtors or their respective predecessors or
estates based in whole or in part upon any act, omission, or other occurrence taking place on or prior to the date of the Closing, but expressly excluding any rights or obligations expressly set forth in the Asset Purchase Agreement; and (ii) the
Purchaser, for itself and its successors and assigns hereby releases any and all Claims it may have for contribution, indemnity or reimbursement in respect of environmental liabilities related to the 

  

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Purchased Assets; provided, however, that any such Claims shall not be released only to the extent that the Purchaser may recover such Claims solely from the
proceeds of any insurance policies assigned to the Purchaser pursuant to Section 1.1(i)(3) of the Asset Purchase Agreement subject to the Debtor’s rights under § 1.1(i)(3) of the Asset Purchase Agreement. Notwithstanding the foregoing,
this order shall not limit the liability of the Purchaser or any of its affiliates under the Employee Retirement Income Security Act of 1974. 
  
 20. As of the time and date of the Closing, all agreements of any kind whatsoever and all orders of this Court entered prior to the date hereof shall be
deemed amended and/or modified to the extent required to permit the consummation of the Sale and the other transactions contemplated by the Asset Purchase Agreement. 
  
 21. Pursuant to paragraph 9(d) of the Bid Procedures Order, the Three Highest Bids shall remain open and irrevocable through
the earlier of March 1, 2004, or the Closing. 
  
 22. This Court
retains jurisdiction to (i) enforce and implement the terms and provisions of the Asset Purchase Agreement, all amendments thereto and any waivers and consents thereunder, (ii) compel delivery of the Purchased Assets to the Purchaser, (iii) resolve
any disputes arising under or related to the Asset Purchase Agreement, except as otherwise provided therein, and (iv) interpret, implement and enforce the provisions of this Order. 
  
 23. The Asset Purchase Agreement and any related agreements, documents, or other instruments may be waived, modified,
amended or supplemented by the parties thereto in accordance with the terms thereof without further order of the Court; provided that any such waiver, modification, amendment, or supplement (a) does not adversely affect either of the Debtors or
their estates or (b) is agreed to in writing by the Debtors, the Committee and the Agent. 
  

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 24. Neither anything contained in any plan of reorganization (or liquidation) confirmed in any of the
Debtors’ cases or the Order of Confirmation confirming any plan of reorganization (or liquidation), nor any Order dismissing any of the Debtors’ cases or converting any of the Debtors’ cases to a Chapter 7 liquidation, shall conflict
with or derogate from the provisions of the Asset Purchase Agreement or the terms of this Order. Further, the provisions of this Order and any actions taken pursuant hereto shall survive the entry of any Order which may be entered confirming any
plan of reorganization (or liquidation) for the Debtors or converting any of the Debtors’ cases from Chapter 11 to a case under Chapter 7 of the Bankruptcy Code. 
  
 25. As provided by Bankruptcy Rule 6004(g), this Order shall be effective and enforceable immediately upon entry.

  

					
			
	 Dated: Wilmington, Delaware
    February 9, 2004
	 	 	 	/s/    PETER J. WALSH        
	 	 	 	 	

	 	 	 	 	 PETER J. WALSH
 UNITED STATES BANKRUPTCY JUDGE

  

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 EXHIBIT A 
  

 PURCHASE AGREEMENT 
  
 AMONG 
  
 WATERLINK, INC. AND 
  
 BARNEBEY SUTCLIFFE CORPORATION, 
  
 COLLECTIVELY, AS SELLER, 
  
 AND 
  
 CALGON CARBON CORPORATION 
  
 AS BUYER 
  
 February 3,
2004 
  

 PURCHASE AGREEMENT 
  
 This Purchase Agreement (this “Agreement”) is effective February 3, 2004 (the “Effective
Date”), among Barnebey Sutcliffe Corporation, an Ohio corporation (“Barnebey”), Waterlink, Inc., a Delaware corporation and the sole shareholder of each of Waterlink UK (as hereinafter defined) and Barnebey
(“Waterlink” and, together with Barnebey, “Seller”) and Calgon Carbon Corporation, a Delaware corporation, and/or its permitted assignee(s) (“Buyer”). 
  
 Background Information 
  
 1. Seller is an international provider of integrated water and air
purification solutions for both industrial and municipal customers (the “Business”). 
  
 2. Each of Waterlink and Barnebey are debtors-in-possession in a case (the “Chapter 11 Case”) commenced on June 27, 2003 (the
“Petition Date”) under Chapter 11 of Title 11 of the United States Code, 11 U.S.C. §§ 101 et. seq. (as amended, the “Bankruptcy Code”), pending in the United States Bankruptcy Court for the District
of Delaware (the “Bankruptcy Court”), and assigned Case Nos. 03-11989 (PJW) et seq. Seller desires to sell and assign to Buyer, and Buyer desires to purchase and assume from Seller, subject to the approval of the Bankruptcy Court,
(1) all of the assets of Seller, (2) all of the outstanding capital stock of Waterlink (UK) Holdings Limited, formerly known as Waterlink (UK) Limited (“Waterlink UK”), a company registered in England and Wales with number 3181974
and the holder, directly or, indirectly, of the entire issued share capital of (a) Sutcliffe Speakman Limited (“Speakman”), (b) Sutcliffe Croftshaw Limited and (c) Lakeland Processing Limited (collectively, the
“Subsidiaries” and, individually, a “Subsidiary”), and (3) all of the Assumed Liabilities (as defined below), in each case upon the terms and conditions set forth in this Agreement. 
  
 Statement Of Agreement 
  
 Seller and Buyer (the “Parties”) acknowledge the accuracy of
the foregoing Background Information and hereby agree as follows: 
  
 ARTICLE I 
 ASSET PURCHASE AND SALE 
  
 §1.1. Asset Purchase. On the Closing Date (defined in Article IV), subject to the terms and conditions of this
Agreement, Seller shall sell, assign, transfer, convey and deliver to Buyer, and Buyer shall purchase, acquire and accept from Seller, free and clear of all liens, debts and claims (each as defined in Section 101 of the Bankruptcy Code,
“Liens,” “Debts” and “Claims,” respectively) and other encumbrances to the fullest extent permitted by the Bankruptcy Code (the “Asset Purchase”), all of Seller’s right, title and interest in and
to all of the assets, properties, rights and claims, whether tangible or intangible, owned, held or used by Seller in the operation of the Business, other than those excluded by Buyer pursuant to Section 1.2 hereof (the “Assets”).
The Assets shall include, without limitation, the following: 
  
 (a) All accounts receivable (including, without limitation, customer retainages) and all causes of action relating or pertaining thereto, other than accounts receivable owed by Affiliates (as defined in Section 101 of
the Bankruptcy Code) or Insiders (as defined in Section 101 of the Bankruptcy Code) of Seller (except that the Assets shall include all accounts or notes receivable owed to Seller by Waterlink UK or a Subsidiary); 
  

 (b) All supplies, goods, materials, work in process, inventory and stock in trade
(collectively, the “Inventory”); 
  
 (c) Deferred income taxes; 
  
 (d) All
other current assets as reflected in the unaudited consolidating balance sheet of Seller as of September 30, 2003; 
  
 (e) All furniture, fixtures, equipment, other leasehold improvements and supplies including without limitation all such property located
on the Columbus Property (defined in Section (j) below) and located at all facilities presently leased by Seller (excluding any equipment that is the subject of executory contracts listed on Exhibit A to the Notice of Sale, Assumption and Assignment
of Unexpired Lease or Executory Contract filed December 24, 2003); 
  
 (f) All other tangible personal property (the “Tangibles”); 
  
 (g) All licenses, permits, consents, authorizations, approvals and certificates required for the operation of the Business to the extent
transferable under applicable law or consented to by any third parties whose consent is required for such transfer, (collectively, the “Permits”); 
  
 (h) All patents, trademarks, tradenames and service marks (in each case, including applications therefor), registered and unregistered copyrights, web sites, domain names, and other intellectual property, proprietary rights and intangible
assets (whether U.S. or foreign), including without limitation the names “Barnebey Sutcliffe,” “Sutcliffe Speakman,” “Suttcliffe Croftshaw” and “Waterlink” (collectively, the “Proprietary
Rights”), in each case to the extent transferable under applicable law or consented to by any third parties whose consent is required for such transfer; and 
  
 (i) (1) To the extent assignable under the Bankruptcy Code or to the extent assignment is consented to by
the third party or parties to such agreements, all rights under the executory contracts and unexpired leases to be identified on Schedule 1.1(i) (collectively, the “Assumed Contracts”), which schedule (A) shall be provided by
Buyer to Seller and attached hereto prior to the Closing Date, and (B) shall include the Englehard Supply Contract (the aggregate outstanding pre-and post-petition obligations with respect to which were approximately $504,028 as of September 30,
2003 and the Cure Amount with respect to which is $460,840.52) and the Retirement Plan and the Plan Trust (each as defined in Section 8.9); (2) all rights of Seller under all confidentiality agreements executed and delivered by all persons who
engaged in due diligence in connection with the contemplated sale of the Business or the Stock or assets of Waterlink UK or the Subsidiaries, and (3) all claims, choses in action, policies and all other rights and interests of Seller to and with
respect to insurance coverage under past and 

  

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present policies relating to the Assets or Assumed Liabilities or operation of the Business (but excluding any rights to receive a return of any premiums
paid with respect to any such policy) (the “Insurance Assets”), provided that such assignment to Buyer of Insurance Assets will not be effective until the earlier of (x) 30 days after the bar date for administrative claims set by the
Bankruptcy Court with respect to the Chapter 11 Case or (y) the date upon which the Chapter 11 Case (or any Chapter 7 case into which it is converted) is dismissed (the “Effective Time”). Prior to the Effective Time, the parties will
cooperate to ensure that no present or future rights or benefits with respect to the Insurance Assets are diminished or lost, and in particular, without limitation, after the date hereof Seller will provide to Buyer access to and the right to copy
any documents evidencing Insurance Assets and business records relating thereto, and Seller will promptly deliver such notices and take such other actions as Buyer reasonably requests to preserve rights and benefits pursuant to and in connection
with the Insurance Assets. Notwithstanding the foregoing section (i)(3), the proceeds of any claim made by Seller prior to the Effective Time under a policy that is an Insurance Asset will be applied to the liability with respect to which the claim
was made. 
  
 (j) All of Barnebey’s fee
simple ownership interest in all of its owned real property (except to the extent included in Excluded Assets), including without limitation the real property located at 835 North Cassady Avenue, Columbus, Franklin County, Ohio 43219 (the
“Columbus Property”), and all improvements thereon. 
  
 (k) All business records, correspondence and personnel records, customer lists and records and other information relating to operation of the Business prior to Closing. All of Seller’s choses in action, claims,
warranties, rights and remedies related to the Assets. 
  
 §1.2. Excluded Assets. Notwithstanding any other provision of this Agreement to the contrary, (a) the assets of Seller as of the Closing Date identified on Schedule 1.2, (b) any assets which Seller is prohibited from selling to
Buyer under applicable law, (c) any other assets specifically identified by Buyer as an Excluded Asset prior to Closing, and (d) the stock of Barnebey and any other equity interests directly or indirectly owned by Seller other than the Stock
(collectively, the “Excluded Assets”) shall be excluded from the Assets and shall be retained by Seller. 
  
 §1.3. Assumed Liabilities. 
  
 (a) At the Closing, Buyer shall assume from Seller and thereafter pay, perform or discharge in accordance with their terms no liabilities
whatsoever, other than liabilities and obligations (i) arising under the Assumed Contracts and all cure amounts owing under, and reinstatement costs and expenses relating to, the Assumed Contracts as of the Closing Date (the “Cure
Costs”), and (ii) as set forth on Schedule 1.3. The liabilities to be assumed pursuant to this Agreement shall be referred to herein as the “Assumed Liabilities.” 
  
 (b) Seller acknowledges and agrees that pursuant to the terms and provisions of this Agreement and under any
contract or other agreement, Buyer will not assume any obligation of Seller other than the Assumed Liabilities from and after the Closing Date. In furtherance and not in limitation of the foregoing, neither the Buyer nor any of its affiliates shall
assume, and shall not be deemed to have assumed, any debt, claim, obligation or other liability of Seller including, but not limited to: 
  
 (i) any liability or obligation for any fees and expenses incurred or owed in connection with the administration of the Chapter 11 Case,
the fees and expenses of attorneys, accountants, financial advisors, consultants and other professionals retained by Seller or the Official Committee of Unsecured Creditors, incurred or owed in connection with the administration of the Chapter
11 Case, and all out of pocket expenses of Seller in connection with the transactions contemplated under this
Agreement; 
  

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 (ii) Any of Seller’s liabilities in respect of taxes arising from the operation of
the Business and Assets prior to the Closing Date (other than accrued income taxes in an amount not to exceed $86,035, which amount is the accrued income taxes of Barnebey as reflected in the consolidating balance sheet included in the Consolidating
Financial Statements (defined in Section 6.6) (“Accrued Income Taxes”); 
  
 (iii) any indebtedness for borrowed money of Seller; 
  
 (iv) any liability or obligation related to any Excluded Asset; 
  
 (v) all accounts payable arising prior to the Closing Date
(other than Cure Costs and Assumed Liabilities); 
  
 (vi) any liability or obligation of Seller to any former or current shareholder of Seller and its Subsidiaries; 
  
 (vii) other than Assumed Liabilities, any liability or obligation relating to, or arising out of (i) the conduct of the Business or the
ownership of the Assets prior to the Closing Date, or (ii) any act, omission, transaction, sale of goods or services, or other condition, which occurred or existed prior to the Closing Date, other than those liabilities and obligations included in
the Assumed Liabilities; and 
  
 (viii) any and
all environmental costs and liabilities arising from Barnebey’s operation of the Business prior to the Closing Date including, without limitation, all environmental costs and liabilities of Barnebey relating in any manner to Barnebey’s
direct or indirect handling, transportation or disposal of any substance regulated under any environmental law, or any substance defined as or included in the statutory or regulatory definitions of pollutant, hazardous or toxic waste, hazardous
material or “toxic substance” under any environmental law. 
  
 §1.4. Conveyance Documents. At the Closing, Seller shall convey, assign and transfer the Assets to Buyer through the execution and delivery of the following documents, each in form and substance reasonably acceptable to Buyer:

  
 (a) Bills of sale, deeds or assignments
transferring the Assets, in form and content mutually satisfactory to Buyer and Seller; 
  

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 (b) An instrument whereby Buyer assumes the Assumed Contracts from Seller, in form and
content mutually satisfactory to Buyer and Seller; 
  
 (c) Such other assignment or conveyance documents as may be reasonably requested by Buyer. 
  
 If consents or approvals of any third parties are required for any conveyances, assignments or transfers in connection with the Asset
Purchase, Seller shall use commercially reasonable efforts to cause such consents or approvals to be obtained prior to the Closing. All costs and expenses related to any consents or approvals related to the Asset Purchase shall be paid by Seller.

  
 §1.5. Possession. Buyer shall be entitled to
exclusive possession of the Assets as of the Closing. 
  
 ARTICLE II 
 STOCK PURCHASE AND SALE 
  
 §2.1. Stock Purchase. On the Closing Date, subject to the terms and conditions of this Agreement, Waterlink
shall sell, transfer, convey, assign and deliver to Buyer, and Buyer shall purchase and acquire from Waterlink (the “Stock Purchase”), all of the issued and outstanding shares in the share capital of Waterlink UK (being 8,126,000
Ordinary Shares of £1 each) (the “Stock”) free and clear of all Liens, Debts and Claims. 
  
 §2.2. Stock Conveyance Documents. At the Closing, Seller shall sell, transfer and assign the Stock to Buyer by execution and delivery of the
following: 
  
 (a) a duly executed share transfer
form in favor of, and in form and substance reasonably satisfactory to, Buyer in relation to the Stock together with all share certificates representing the Stock (or, in the case that any such certificates are missing or lost, an indemnity in
relation to such certificates in a form reasonably acceptable to the Buyer); and 
  
 (b) the statutory books, minute books and other corporate books and records of Waterlink UK and its Subsidiaries. 
  
 If consents or approvals of any third parties are required
for any conveyances, assignments or transfers in connection with the Stock Purchase, Seller shall use commercially reasonable efforts to cause such consents or approvals to be obtained prior to the Closing. All costs and expenses related to such
consents and approvals shall be paid by Seller. In addition, at Closing, Seller shall provide all executed documents necessary to release all Liens, Claims or Encumbrances existing with respect to the assets of Waterlink UK and the Subsidiaries,
other than Liens of the Bank of Scotland in connection with its existing receivables factoring agreement with Speakman (the “Bank of Scotland Liens”). 
  

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 ARTICLE III 
 PURCHASE PRICE; DEPOSIT 
  
 §3.1. Purchase Price. 
  
 (a) In full consideration for the sale and transfer of the Assets and the Stock to Buyer, Buyer shall assume the Assumed Liabilities and pay to Seller an amount equal to (i) $35,200,000 (such cash amount, the “Preadjustment Cash
Purchase Price”) and (ii) either (A) plus the amount by which Barnebey’s and Waterlink UK and Subsidiaries’ Closing Date Working Capital (as defined below) is greater than $18,473,000 or (B) minus the amount by which
Closing Date Working Capital is less than $17,973,000 (the amount of such adjustment (A) or (B) being referred to herein as the “Adjustment Amount” and the Preadjustment Cash Purchase Price as increased or decreased by the
Adjustment Amount being referred to herein as the “Purchase Price”). 
  
 (b) At the Closing, unless otherwise agreed by the Parties, Buyer shall: 
  
 (i) Pay to Seller, in immediately available U.S. funds by confirmed wire transfer to a bank account to be
designated by Seller or by such other means as are agreed upon by Seller and Buyer, the Preadjustment Cash Purchase Price plus or minus, as the case may be, an estimate of the Adjustment Amount (the “Estimated Adjustment
Amount”), which Estimated Adjustment Amount shall be determined in the same manner as the Adjustment Amount except that, for purposes of determining the Estimated Adjustment Amount, Closing Date Working Capital shall be determined from the
Preliminary Closing Date Balance Sheet (as defined below) which shall be prepared by Seller in good faith in accordance with GAAP and consistent with past practice and delivered to Buyer on the 5th business day immediately
preceding the Closing Date and reasonably approved by Buyer as to its preparation in accordance with the foregoing criteria, minus the Deposit (as defined in Section 3.2 below), minus the Purchase Price Adjustment Escrow
Amount (as defined in Section 3.3 below), in immediately available U.S. funds by confirmed wire transfer to a bank account to be designated by Seller or by such other means as are agreed upon by Buyer and Seller; and 
  
 (ii) Pay to the Price Adjustment Escrow Agent (as defined in
Section 3.3) the Purchase Price Adjustment Escrow Amount in immediately available U.S. funds by confirmed wire transfer to a bank account to be designated by the Price Adjustment Escrow Agent; and 
  
 (iii) Instruct the Deposit Escrow Agent (defined in Section
3.2) to deliver the Deposit (and interest accrued thereon) to Seller by such means as Seller and the Deposit Escrow Agent shall agree. 
  
 (c) For purposes hereof, the following terms shall have the following definitions. 
  
 (i) “Closing Date Working Capital” of
Barnebey and Waterlink UK and the Subsidiaries shall mean, from the Final Closing Date Balance Sheet (as defined below), (a) the sum of (i) Waterlink UK and the Subsidiaries’ cash, (ii) Barnebey’s and Waterlink UK and the
Subsidiaries’ accounts receivable (other than intercompany trade receivables 

  

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and intercompany notes receivable) net of reserves, (iii) Barnebey’s and Waterlink UK and the Subsidiaries’ Inventory net of reserves, (iv)
Barnebey’s and Waterlink UK and the Subsidiaries’ costs in excess of billings relating to completed jobs and work-in-process, (v) Barnebey’s deferred income taxes and (vi) Barnebey’s and Waterlink UK and the Subsidiaries’
other current assets, less (b) the sum of (i) post-petition accounts payable of Barnebey (other than intercompany trade payables and intercompany notes payable) and accounts payable of Waterlink UK and the Subsidiaries (other than
intercompany trade payables and intercompany notes payable), (ii) accrued expenses of Barnebey and Waterlink UK and the Subsidiaries, (iii) billings in excess of costs relating to completed jobs and work-in-process of Barnebey and Waterlink UK and
the Subsidiaries, (iv) Accrued Income Taxes (as defined in Section 1.3(b)(ii)) and accrued income taxes of Waterlink UK and the Subsidiaries and (v) Waterlink UK and the Subsidiaries’ current maturities of long-term debt. Notwithstanding the
foregoing, neither any Excluded Assets (nor any excluded liabilities) shall be taken into account for purposes of computing Closing Date Working Capital. 
  
 (ii) “Preliminary Closing Date Balance Sheet” shall mean an estimated consolidated balance sheet of Barnebey, Waterlink
UK and the Subsidiaries as of the Closing Date. 
  
 (iii) “Final Closing Date Balance Sheet” shall mean the consolidated balance sheet delivered by Seller to Buyer in accordance with Section 3.4.1. 
  
 §3.2. Deposit. Prior to the execution and delivery of this Agreement by Buyer and Seller, Buyer deposited into
escrow (the “Deposit Escrow”) with Baker & Hostetler LLP, as escrow agent (the “Deposit Escrow Agent”) a deposit in the amount of $1,000,000 (the “Deposit”) in immediately available funds to be held by the Deposit
Escrow Holder in an account pursuant to this Section 3.2. Interest earned on the Deposit shall be credited to and become a part of the Deposit. If the Closing occurs, then at the Closing, the Deposit (and all interest accrued thereon) shall be
credited toward the Purchase Price. In the event that this Agreement is terminated by reason of Buyer’s material default hereunder or the failure of Buyer to fulfill the conditions specified in Sections 9.2(b), (c) or (e), the Deposit Escrow
Holder shall deliver the Deposit (together with all interest thereon) to Seller without prejudice to any rights that Seller may otherwise have hereunder. If this Agreement is terminated pursuant to Section 10.1 of this Agreement (other than a
termination pursuant to Section 10.1(c) or (e)), then the Deposit shall be returned to Buyer. 
  
 §3.3. Purchase Price Adjustment Escrow. Notwithstanding anything to the contrary in this Agreement, Buyer and Seller agree that, at the Closing, Seller shall deposit (via diversion of a portion of the
Purchase Price otherwise due at Closing) into escrow (the “Purchase Price Adjustment Escrow”) with an escrow agent or company as may be agreed upon by the Parties (the “Price Adjustment Escrow Agent”), $1,250,000 (the
“Purchase Price Adjustment Escrow Amount”) in immediately available U.S. funds pursuant to an escrow agreement reasonably agreeable to, and by and among, Buyer, Seller and the Price Adjustment Escrow Agent (the “Price Adjustment
Escrow Agreement”). Upon receipt of the Purchase Price Adjustment Escrow Amount, the Price Adjustment Escrow Agent shall immediately deposit the Purchase Price Adjustment Escrow Amount into an interest-bearing account. The Purchase Price
Adjustment Escrow Amount shall be held until such time as the Adjustment Amount is final and binding (the 

  

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“Purchase Price Adjustment Escrow Period”), and shall be used solely as a source of payment to satisfy Seller’s obligation, if any, to pay any
difference between the Estimated Adjustment Amount and the final Adjustment Amount under Section 3.4 hereof. Such Purchase Price Adjustment Escrow Amount shall otherwise be administered and released during the Purchase Price Adjustment Escrow Period
as specifically provided for herein and in the Price Adjustment Escrow Agreement. 
  
 §3.4. Post-Closing Purchase Price Adjustment. 
  
 3.4.1 Unless the Parties shall have agreed on the Adjustment Amount on or before the Closing Date, Seller shall, within forty-five (45)
days of the Closing Date, prepare and deliver to Buyer a consolidated balance sheet of Barnebey’s, Waterlink UK and the Subsidiaries as of the Closing Date (the “Final Closing Date Balance Sheet”) based on which Seller will
have determined the Closing Date Working Capital and the Adjustment Amount. Buyer may object to Seller’s determination of the Adjustment Amount by delivery of a written statement of objections (stating the basis of the objections with
reasonable specificity) to Seller within fifteen (15) days following delivery to it by Seller of such consolidated balance sheet. If Buyer makes such objection, then Buyer and Seller shall seek in good faith to resolve all disagreements set forth in
Buyer’s written statement of objections within twenty (20) days following the delivery thereof. In the event Buyer and Seller are unable to resolve all such disagreements within such twenty (20) day period, then either of them may elect, by
written notice to the other, to have all such unresolved disagreements resolved by an accounting firm of recognized national standing acceptable to Buyer and Seller and not then employed by either Seller or Buyer (the “Selected Accounting
Firm”), provided that, if Buyer and Seller cannot agree upon the accounting firm to serve as the Selected Accounting Firm, then the Bankruptcy Court shall make the determination, which shall be final and binding on the Parties. Each of Buyer
and Seller shall promptly deliver its proposed Adjustment Amount and support thereof to the Selected Accounting Firm, and shall jointly instruct the Selected Accounting Firm to select either Buyer’s or Seller’s proposed Adjustment Amount,
which selected Adjustment Amount shall be deemed accepted by Buyer and Seller for all purposes of this Agreement. No appeal from such determination shall be permitted. The Selected Accounting Firm shall be further instructed to use every reasonable
effort to perform its services within thirty (30) days after submission to it of the proposed Adjustment Amounts and, in any case, as soon as practicable after such submission. The costs and expenses for the services of the Selected Accounting Firm
shall be borne by the Party whose proposed Adjustment Amount is not selected. Notwithstanding anything to the contrary herein, any obligation of Seller to Buyer for the post-closing adjustment under this Section 3.4 shall be limited to, and shall
not exceed, the Purchase Price Escrow Amount, and Buyer shall have no claim against Seller for, or any recourse for recovery of, any amount beyond the Purchase Price Escrow Amount. 
  
 3.4.2 If the Purchase Price as either agreed by the Parties or selected by the Selected Accounting Firm or
determined by the Bankruptcy Court is less than the Preadjustment Cash Purchase Price plus or minus, as the case may be, the Estimated Adjustment Amount, then the amount of such short-fall shall be promptly paid to Buyer by the Price Adjustment
Escrow Agent from the Purchase Price Adjustment Escrow Amount in immediately available U.S. funds by confirmed wire transfer to a bank account to be designated by Buyer. If such Purchase Price is greater than the Preadjustment Cash Purchase Price
plus or minus, as the case may be, the Estimated Adjustment Amount, then the amount of such excess shall be promptly paid to Seller 

  

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by Buyer in immediately available U.S. funds by confirmed wire transfer to a bank account to be designated by Seller. 
  
 3.5. Taxes; prorations. All stamp and other taxes imposed as a result
of the transfer by Seller of the Assets and the Stock shall be paid by Buyer, except to the extent exempted by Section 1146(c) of the Bankruptcy Code. All real, personal and other similar property taxes assessed on the Assets and the Stock relating
to all periods on or prior to the Closing shall be the responsibility of Seller. All real, personal and other similar property taxes assessed on the Assets relating to all periods after the Closing shall be the responsibility of Buyer. All real,
personal and similar property taxes which have accrued but are not due as of the Closing Date shall be prorated on a per diem basis. 
  
 ARTICLE IV 
 THE CLOSING

  
 The closing of the Asset Purchase and the Stock Purchase
(the “Closing”) shall be held at the offices of Baker & Hostetler LLP in Columbus, Ohio on or before February 18, 2004. The date of the Closing shall be referred to herein as the “Closing Date.” 
  
 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES OF BUYER 
  
 Buyer represents and warrants to Seller as follows: 
  
 §5.1. Organization and Standing. Buyer is a corporation duly organized, validly existing and in good standing under the laws of the State of
Delaware. 
  
 §5.2. Power and Authority. Buyer has all
requisite power and authority to enter into this Agreement and perform its obligations under this Agreement. This Agreement, the Asset Purchase and the Stock Purchase have been duly and validly authorized by all necessary action on the part of
Buyer. This Agreement has been duly executed and delivered by Buyer and constitutes the legal, valid and binding obligation of Buyer, enforceable against Buyer in accordance with its terms. 
  
 §5.3. Brokers. Buyer is not under any obligation to any broker or
other person (a “Broker”) in connection with the transactions contemplated in this Agreement that would cause Seller to become liable for payment of any fee or expense with respect thereto (a “Commission”).

  
 §5.4. No Violations. Neither the execution,
delivery, or performance of this Agreement by Buyer, nor the consummation by Buyer of the transactions contemplated hereby, nor compliance by Buyer with any of the provisions hereof, will (a) conflict with or result in any breach of any provisions
of the certificate of incorporation or bylaws of Buyer, (b) result in a violation or beach of, or constitute (with or without due notice or lapse of time) a default (or give rise to any right of termination, cancellation, acceleration, vesting,
payment, exercise, suspension, or revocation) under any of the terms, conditions, or provisions of any note, bond, mortgage, deed of trust, security interest, indenture, license, contract, agreement, plan, or other instrument or obligation to which
Buyer is a party or by which Buyer or Buyer’s properties or 

  

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assets may be bound or affected, or (c) violate any order, writ, injunction, decree, statute, rule or regulation applicable to Buyer or Buyer’s
properties or assets. 
  
 § 5.5. Financing. On the
date of Buyer’s execution and delivery of this Agreement, at all times thereafter up until the Closing, and on the Closing Date, Buyer will have cash on hand or committed financing proceeds sufficient to deliver the Purchase Price to Seller in
accordance with the terms of this Agreement. 
  
 §5.6.
Consents and Approvals. No consent, approval, or authorization of, or declaration, filing or registration with, any United States federal or state governmental or regulatory authority is required to be made or obtained by Buyer in connection
with the execution, delivery, and performance of this Agreement and the consummation of the transactions contemplated hereby. 
  
 §5.7. Legal Proceedings and Judgments. There are no material claims, actions, proceedings or investigations pending or, to Buyer’s
knowledge, threatened against or relating to Buyer before any court or other governmental authority acting in an adjudicative capacity that could have a material adverse effect on Buyer’s ability to consummate the transactions contemplated
hereby. 
  
 ARTICLE VI 
 REPRESENTATIONS AND WARRANTIES OF SELLER 
  
 With respect to the Asset Purchase, each Seller hereby jointly and severally represents and warrants to Buyer as follows: 
  
 §6.1. Organization and Standing. Barnebey is a corporation duly
organized, validly existing, and in good standing under the laws of the State of Ohio. 
  
 §6.2. Power and Authority. Subject to the Bankruptcy Court’s entry of the Sale Order, Barnebey has all requisite corporate power and authority to enter into this Agreement and to perform its
obligations under this Agreement. This Agreement and the Asset Purchase have been duly and validly authorized by all necessary corporate action on the part of Barnebey. This Agreement has been duly executed and delivered by Barnebey and, upon entry
by the Bankruptcy Court of the Sale Order, shall constitute the legal, valid and binding obligation of Barnebey, enforceable against Barnebey in accordance with its terms. Upon execution of the documents to be executed and delivered at the Closing
or otherwise pursuant to this Agreement by Barnebey (the “Ancillary Asset Purchase Documents”), such documents shall constitute the legal, valid and binding obligations of Barnebey, enforceable in accordance with their terms, and, subject
to the Bankruptcy Court’s entry of the Sale Order, no other action or proceeding by or in respect of Barnebey is or was necessary to authorize this Agreement, the Ancillary Asset Purchase Documents or the consummation of the Asset Purchase.

  
 §6.3. Consents and Approvals. Barnebey’s
execution and delivery of this Agreement and the Ancillary Asset Purchase Documents and consummation of the Asset Purchase will not require any action or consent or approval of, or review by, or registration with, any third party, court or
governmental body or other agency, instrumentality or authority, except (a) for consents, 

  

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approvals, or authorizations of, or declarations or filings with, the Bankruptcy Court, and (b) for consents, approvals or authorizations which may be
required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”). 
  
 §6.4. Brokers. Barnebey is not under any obligation to any Broker or other third party in connection with the sale of the Assets or the other
transactions contemplated by this Agreement that would cause Buyer to become liable for payment of any fee or expense with respect thereto. 
  
 §6.5. Compliance with Laws. The Business and Assets, and the assets, properties and business of Waterlink UK and the Subsidiaries, have been
operated in material compliance with all applicable laws and all applicable governmental judgments, decrees, injunctions or similar orders, writs, ruling directives or other requirements (collectively, the “Governmental Orders”) and
each a “Governmental Order”) including, without limitation, those relating to the safe conduct of the Business and the business of Waterlink UK and the Subsidiaries, environmental protection, consumer protection, equal opportunity
discrimination, health and occupation safety. There are no claims, lawsuits, demands, suits, inquiries, hearings, investigations, notice of violations, litigations, proceedings, arbitrations, or other disputes, whether civil, criminal,
administrative or otherwise pending against any Seller or any Subsidiary, or, to the knowledge of Seller, threatened, nor has Seller or any Subsidiary received or aware of any written notice, regarding any material violations of any applicable
regulations and Governmental Orders enforced by any authority claiming jurisdiction over a Seller or any Subsidiary. 
  
 §6.6. Financial Statements Seller has provided Buyer true, complete and correct copies of (i) the audited consolidated balance sheets of
Seller (including Waterlink UK and the Subsidiaries) as of September 30, 2002 and 2001, respectively, and the related audited consolidated statements of operations, changes in stockholders’ equity, and cash flows for the fiscal years then ended
(the “Audited Financial Statements”), and (ii) the audited consolidating balance sheet of Seller (including Waterlink UK and the Subsidiaries) as of September 30, 2003 and the related audited consolidating statement of operations
for the twelve months ended September 30, 2003 (the “Consolidating Financial Statements,” and together with the Audited Financial Statements shall be collectively referred to as the “Financial Statements”). A copy
of the Consolidating Financial Statements is attached hereto as Schedule 6.6. The Audited Financial Statements have been audited by Ernst & Young LLP, and the Consolidating Financial Statements have been audited by outside independent
auditors, in accordance with U.S. generally accepted accounting principles, consistently applied (“GAAP”). The balance sheets included in the Financial Statements and the notes thereto fairly present the consolidated financial
position of Seller at the respective date thereof in accordance with GAAP and such statements of operations, changes in stockholders’ equity and cash flows and the notes thereto included in the Financial Statements fairly present the result of
operations for the periods referred to therein, in accordance with GAAP, except that the Consolidating Balance Sheet has no notes attached thereto and does not have year-end audit adjustments (none of which would be material or recurring). The
Financial Statements were prepared from the books and records of Seller. To Seller’s knowledge, there has been, since September 30, 2003, no material adverse change to the financial performance, past or as currently budgeted, except for sales
declines and other consequences directly attributable to the filing of the Chapter 11 Case. Each of the consolidated and consolidating financial statements of Seller and its Subsidiaries, including, in each case, the notes thereto, made available to
Buyer comply, in all material respects, with applicable 

  

 - 11 - 

 
accounting requirements and with the published rules and regulations of the Securities and Exchange Commission with respect thereto. The books and records of
Seller and its Subsidiaries have been, and are being, maintained in accordance with GAAP and applicable law. 
  
 §6.7 Properties. 
  
 (a) Schedule 6.7 sets forth the description of all real property which Seller owns in connection with the Business (the “Real
Property”). 
  
 (b) Barnebey owns fee simple
title to all the Real Property included in the Assets other than the Real Property in which it has a leasehold interest. Each of Barnebey, Waterlink UK and the Subsidiaries is the undisputed lessee with respect to the Real Property leased by it and
has the right to quiet enjoyment and undisturbed possession of such property, as well as the right to continue to conduct its Business or business, as the case may be, without any claims by any lessors, mortgagees or other persons, subject to the
terms and conditions of the Real Property leases thereto and any mortgage, Liens or other encumbrances affecting any of the Real Property and incurred by the landlord of any of the Real Property, and except for Liens and security interests of
Seller’s lenders (none of which Liens or security interests of Seller’s lenders shall encumber the Assets, or any assets or properties of Waterlink UK or the Subsidiaries, immediately following Closing). There has been no disturbance of,
or challenge to, the quiet possession of Barnebey, Waterlink UK or any Subsidiary under such leases. 
  
 (c) At the Closing, Seller will convey good and valid title to, or a valid leasehold interest in, all tangible personal property material
to the operation of the Business. 
  
 (d) As of
the Closing Date, Seller will have and will transfer to the Buyer title to all of the assets (except those subject to Assumed Contracts) necessary to operate the Business as currently operated, free and clear of all Liens, Debts, Claims and other
encumbrances. 
  
 (e) Except as set forth in
Schedule 6.7, neither the Assets nor the assets and properties of Waterlink UK or any Subsidiary include real property. 
  
 §6.8 Customer Warranties. There have been no pending, nor to the best knowledge of Seller, threatened, claims under or pursuant to any
warranty, whether expressed or implied, on products or services sold prior to the Closing Date by Seller or any Subsidiary that are not disclosed or referred to in the Financial Statements and, to the best of Seller’s knowledge, that are not
fully reserved against in accordance with GAAP. To the best of Seller’s knowledge, all such reserved amounts are sufficient to cover such disclosed or referenced claims. All of the services rendered by Seller and each Subsidiary (whether
directly or indirectly through independent contractors) have been performed in conformity with all expressed warranties and, in all material respects, with all applicable contractual commitments, and Seller does not have nor shall it have any
liability for replacement or repair or for other damages relating to or arising from any such services, except for amounts incurred in the ordinary course of business which are immaterial in the aggregate and not required by GAAP to be disclosed in
the Financial Statements. To the best of Seller’s knowledge, there is no reason to expect an increase in warranty claims in the future. 
  

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 §6.9. Sufficiency of Assets. The Assets constitute all the assets necessary for the continued
operation of the Business after the Closing in substantially the same manner as conducted prior to the Closing. The assets and properties of Waterlink UK and the Subsidiaries constitute all the assets and properties necessary for the continued
operation by them of their respective businesses after the Closing in substantially the same manner as conducted prior to the Closing. 
  
 ARTICLE VII 
 WARRANTIES OF
WATERLINK 
  
 With respect to the Stock Purchase,
Waterlink warrants to Buyer as follows: 
  
 §7.1.
Organization and Standing. Waterlink UK and each Subsidiary is duly incorporated and validly existing in accordance with the laws of England and Wales. Waterlink UK and each Subsidiary is duly qualified to do business and is in good standing
under the laws of (i) each jurisdiction in which it owns or leases property and (ii) each other jurisdiction in which the conduct of its business or the ownership of its assets requires such qualification. Waterlink UK and each Subsidiary has all
requisite corporate power and authority to own its properties and carry on its business as presently conducted. 
  
 §7.2. Power and Authority. Subject to the Bankruptcy Court’s entry of the Sale Order, Waterlink has all requisite corporate power and
authority to enter into this Agreement and to perform its obligations under this Agreement. This Agreement and the Stock Purchase have been duly and validly authorized by all necessary corporate action on the part of Waterlink. This Agreement has
been duly executed and delivered by Waterlink and constitutes the legal, valid and binding obligation of Waterlink, enforceable against Waterlink in accordance with its terms. Upon execution of the documents to be executed and delivered at the
Closing or otherwise pursuant to this Agreement by Waterlink, Waterlink UK and/or the Subsidiaries (the “Ancillary Stock Sale Documents”), such documents shall constitute the legal, valid and binding obligations of each of them, as
applicable, enforceable in accordance with their terms, and no other action or proceeding by or in respect of any of them is or was necessary to authorize the Stock Purchase (save in respect of any applicable requirements under the laws of England
and Wales in relation to stamp duty payable on such Stock Purchase payable by Seller at Closing). 
  
 §7.3. Consents and Approvals. Waterlink’s execution and delivery of this Agreement and consummation of the Stock Purchase, and execution
and delivery of the Ancillary Stock Purchase Documents by Waterlink, Waterlink UK and the Subsidiaries, will not require any action or consent or approval of, or review by, or registration with, any third party, court or governmental body or other
agency, instrumentality or authority other than the Bankruptcy Court’s entry of the Sale Order, and any applicable requirements under the laws of England and Wales in relation to stamp duty payable on such Stock Purchase, except for any
consents required under Seller’s credit agreement with its senior secured lenders. 
  
 §7.4. Share Capital and Ownership. Waterlink owns all of the issued and outstanding issued share capital of Waterlink UK, and Waterlink UK owns all of the issued and outstanding issued share capital of
each Subsidiary. All such issued and outstanding share capital of Waterlink UK and all of the issued and outstanding share capital of each Subsidiary is validly issued, fully 

  

 - 13 - 

 
paid and non-assessable, and all such shares of share capital are owned by Waterlink and Waterlink UK, respectively, free and clear of all Liens, pledges,
encumbrances, charges, agreements or claims of any kind whatsoever, except as set forth in Schedule 7.4 hereof. At the Closing, all of the shares of share capital of Waterlink UK and of each Subsidiary shall be sold, assigned, and transferred to the
Buyer free and clear of all such Liens, pledges, encumbrances, charges, agreements and claims. There are no outstanding subscriptions, options, warrants, rights, calls, commitments, conversion rights, rights of exchange, preemptive rights, rights of
purchase, issuance, allotment, redemption, repayment or transfer or sale of any shares of the share capital of Waterlink UK or any Subsidiary, other than as contemplated by this Agreement. 
  
 §7.5. Brokers. Neither Waterlink nor Waterlink UK nor any
Subsidiary is under any obligation to any Broker or other third party in connection with the sale of the Stock or the other transactions contemplated in this Agreement that would cause Buyer, Waterlink UK or any Subsidiary to become liable for
payment of any fee or expense with respect thereto. 
  
 §7.6.
Absence of Long-Term Obligations. Neither Waterlink nor Waterlink UK nor any Subsidiary has any outstanding long-term liabilities or liabilities not disclosed on the Financial Statements, other than with respect to obligations under the
Sutcliffe Speakman Limited Pension and Life Assurance Scheme (the “UK Pension Obligations”). 
  
 ARTICLE VIII 
 COVENANTS OF THE PARTIES 
  
 §8.1. General. Each Party shall use all reasonable efforts to
take all actions and do all things reasonably necessary, proper or advisable to consummate the Stock Purchase and the Asset Purchase and to obtain approval and entry of the Sale Order (defined in §8.2(a)(ii)), including satisfying the closing
conditions set forth in Article IX. 
  
 §8.2. Applications
to Bankruptcy Court. As soon as practicable after execution of this Agreement (and in no event later than 3 business days thereafter), Seller shall seek from the Bankruptcy Court the entry of an order, in form and substance satisfactory to Buyer
and its counsel, approving this Agreement and all the transactions contemplated hereby (the “Sale Order”), which Sale Order shall (i) approve the sale of the Assets and the Stock to Buyer on the terms and conditions set forth in this
Agreement and authorize Seller to proceed with such sale, (ii) state that the sale of the Property to Buyer shall be free and clear of all Liens, Debts and Claims, and any other encumbrances whatsoever (except as expressly provided in this
Agreement) to the fullest extent permitted by the Bankruptcy Code, (iii) fix Cure Amounts for each Assumed Contract and, to the extent permissible under Section 365 of the Bankruptcy Code, approve Seller’s assumption, and assignment to Buyer,
of the Assumed Contracts pursuant to Section 365 of the Bankruptcy Code and order Buyer to pay the Cure Amounts as a condition to such assumption and assignment; and (iv) provided that Buyer is the successful bidder at the Auction, include a
specific finding and conclusion of law that Buyer has acted in good faith in connection with its purchase of the Property and is entitled to all protections of Section 363(m) of the Bankruptcy Code, 
  
 All Parties shall use commercially reasonable efforts to have the Bankruptcy Court enter the
Bid Procedures Order as soon as practicable following the filing of the motion therefor. 
  

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 §8.3. Maintenance of Acquired Assets. Seller shall, during the period from the Effective Date
until the Closing Date (or until the termination of this Agreement pursuant to Article X), maintain the Assets, all properties and assets of Waterlink UK and the Subsidiaries, and all of Waterlink UK’s and the Subsidiaries’ net operating
losses, in each case consistent with past practice, subject to any restrictions imposed by the Bankruptcy Court. From the date hereof through Closing, none of Seller, Waterlink UK or the Subsidiaries shall (i) transfer, sell, dispose of, convey or
expend assets or properties except the sale of products of their businesses, consistent with past practices; (ii) incur any financing or indebtedness (other than ordinary course borrowing under financing described in Section 2.2); (iii) take any
action that could have the effect of increasing or accelerating the UK Pension Obligations or of terminating or winding up the associated plans; (iv) enter into any contract or incur any obligation except as necessary to sell products on terms
consistent with past practices; (v) hire any employee, increase or change the pay or benefits of any employee; (vi) take any action that will result in an Encumbrance, Claim or Lien on assets or property of Waterlink UK or the Subsidiaries; (vii)
make any distribution or redemption with respect to equity or stock; or (viii) take any other action, except as is necessary to sell products of its business, consistent with past practices. Seller shall maintain existing and customary insurance
coverage on all assets and properties of Seller, Waterlink UK and the Subsidiaries through Closing. 
  
 §8.4. Inspections. From and after the Effective Date, Buyer and its employees, agents and representatives, upon prior written notice to
Seller, shall be allowed reasonable access to the businesses of Barnebey and Speakman at reasonable times for purposes of inspection, including all business and tax records; provided, however, that such access shall not unreasonably interfere with
either Seller’s operation of its business and shall be at Buyer’s expense and provided further that Seller shall not be required to take any action which would constitute a waiver of the attorney-client privilege. 
  
 §8.5. Ability to Pay Purchase Price. As of the Effective Date,
and as necessary or desirable in Seller’s discretion until the Closing, Buyer shall demonstrate to Seller’s to Seller’s satisfaction, that Buyer has sufficient cash on hand or available financing proceeds or commitments to pay the
Purchase Price at the Closing. 
  
 §8.6. Union
Contract. Without the prior written consent of Buyer, Barnebey shall not enter into a new, or amend or otherwise modify the existing, union contract with United Steel Workers of America, dated November 1, 2000, a complete copy of which has been
provided to Buyer. 
  
 §8.7 Termination of Note.
Seller shall cause amounts payable under a certain inter company note receivable of Waterlink from Waterlink UK in the amount of $9,759,537 on September 30,2003 to be forgiven by Waterlink, and such note terminated, such that there are no remaining
rights or obligations thereunder at Closing. 
  
 §8.8
Purchase Price Allocation. Seller shall keep Buyer informed as to its intentions with respect to allocation of the Purchase Price among the Assets and Stock and will provide to Buyer a copy of IRS Form 8594 promptly following final completion
of such form. 
  
 §8.9 U.S. Pension Plan. Effective as
of the Closing Date, Buyer shall assume sponsorship of the Barnebey Sutcliffe Corporation Retirement Benefits Plan, E.I.N. #31-0934790 

  

 -15- 

 
Plan No. 001 (the “Retirement Plan”), and become grantor of the trust created pursuant to the Retirement Plan (the “Plan Trust”) and in
that connection shall become responsible for the administration of the Retirement Plan and for the investment, funding and appointment of a successor trustee of the Plan Trust. 
  
 ARTICLE IX 
 CONDITIONS TO CLOSING 
  
 §9.1.
Conditions to Obligations of Buyer. The obligations of Buyer to consummate the Asset Purchase and the Stock Purchase shall be subject to Seller’s fulfillment on or prior to the Closing Date of each of the following conditions unless
waived by Buyer in writing: 
  
 (a) the
Bankruptcy Court shall have entered and approved the Sale Order; 
  
 (b) Seller shall have performed and complied in all material respects with all of its agreements and covenants hereunder on and as of the Closing Date; 
  
 (c) there shall not be any order of any governmental entity (a “Governmental Order”) in
effect preventing consummation of the transactions contemplated by this Agreement;. 
  
 (d) the representations and warranties of Seller contained in this Agreement shall be true and correct in all material respects on and as
of the Closing Date; 
  
 (e) Buyer shall have
received the Preliminary Closing Date Balance Sheet in accordance with §3.1 hereof, which shall have been prepared by Seller in good faith in accordance with GAAP and consistent with past practice and reasonably approved by Buyer as to its
preparation in accordance with the foregoing criteria; 
  
 (f) Buyer shall have received an opinion of Seller’s counsel reasonably acceptable to Buyer attesting to, among other things, the validity of the transfer of the Stock; and 
  
 (g) Seller shall have delivered, or caused to be delivered, to Buyer a certificate (or its equivalent) dated
not greater than ten (10) business days prior to the Closing of the Secretary of State (or its equivalent) of its jurisdiction of organization as to the existence and good standing (or its equivalent) therein. 
  
 (h) Prior to the Closing, Seller shall have taken such
action as is reasonably required to apply for an extension to the exemption notice received June 21, 1999 from Inland Revenue, U.K., pertaining to the deduction of tax related to the payment of interest on the Waterlink UK intercompany note
referenced on Schedule 1.2. 
  
 §9.2.
Conditions to Obligations of Seller. The obligation of Seller to consummate the Asset Purchase and the Stock Purchase shall be subject to Buyer’s fulfillment on or prior to the Closing Date of the following conditions, unless waived by
the Seller in writing: 
  
 (a) the Bankruptcy
Court shall have approved and entered the Sale Order; 
  

 -16- 

 (b) the representations and “warranties of Buyer contained in this Agreement shall
be true and correct in all material respects on and as of the Closing Date; 
  
 (c) Buyer shall have performed and complied in all material respects with all of its agreements and covenants hereunder on and as of the Closing; 
  
 (d) there shall not be any Governmental Order in effect preventing consummation of the transactions
contemplated by this Agreement; and 
  
 (e) Buyer
shall have delivered, or caused to be delivered, to Seller a certificate dated not greater than ten (10) business days prior to the Closing of the Secretary of State of its jurisdiction of organization as to the existence and good standing of Buyer
in the that State. 
  
 Seller may waive any condition specified in this §9.2,
except for the condition that the Bankruptcy Court shall have approved and entered the Sale Order. 
  
 ARTICLE X 
 TERMINATION 
  
 §10.1. Termination of Agreement. The Parties may terminate this
Agreement prior to the Closing as provided below; 
  
 (a) The Parties may terminate this Agreement by mutual written consent at any time prior to the entry of the Sale Order; 
  
 (b) Buyer may terminate this Agreement by giving written notice to Seller in the event Seller is in material breach of any material
representation, warranty or covenant in this Agreement that is not qualified by materiality or Seller is in breach of any representation, warranty or covenant in this Agreement that, is so qualified, and such breach has not been cured within ten
(10) business days following the delivery of written notice thereof to Seller (provided that Buyer is not then in breach of this Agreement); 
  
 (c) Seller may terminate this Agreement by giving written notice to Buyer in the event (i) Buyer is in material breach of any material
representation, warranty or covenant contained in this Agreement and (ii) such breach has not been cured within ten (10) business days following the delivery of written notice thereof to Buyer (provided that Seller is not then in breach of this
Agreement); 
  
 (d) Seller may terminate this
Agreement if (i) any of the conditions set forth in §9.2(a) or (d) shall have become incapable of fulfillment, or (ii) any of the conditions set forth in §9.2(b), (c) or (e) shall have become incapable of fulfillment or cure by Buyer and
shall not have been waived by Seller, provided that Seller is not then in breach of this Agreement; 
  

 - 17 - 

 (e) Buyer may terminate this Agreement if any of the conditions set forth in §9.1
shall have become incapable of fulfillment or cure by Seller and shall not have been waived by Buyer, provided that Buyer is not then in breach of this Agreement; or 
  
 (f) Buyer or Seller may terminate this Agreement if a motion to dismiss the Chapter 11 Case or a motion to
convert the Chapter 11 Case or the appointment of a trustee, receiver, liquidator or other similar person for the purpose of liquidating any of the Assets other than pursuant to this Agreement has been granted in the Bankruptcy Case; or 

 
 (g) Buyer or Seller may terminate this Agreement if a
Closing shall not have occurred on or before February 18, 2004 for reasons unrelated to the dilatory conduct of the terminating party. 
  
 §10.2. Default. If this Agreement is terminated under §10.1, written notice thereof will forthwith be given to the other Party and this
Agreement will thereafter become void and have no further force and effect and, except for those provisions that expressly survive the termination of this Agreement, all further obligations of Seller and the Buyer to each other under this Agreement
will terminate without further obligation or liability of Seller or Buyer to the other (other than with respect to breaches, if any, of this Agreement prior to such termination), except that: 
  
 (a) Each Party will return all documents, workpapers and
other material of any other party relating to the transactions contemplated by this Agreement, whether so obtained before or after the execution of this Agreement, to the Party furnishing the same. 
  
 (b) If this Agreement is terminated pursuant to Article 10.1
of this Agreement (other than a termination pursuant to §10.1(c) or (d)(ii)), then within two (2) business days after such termination, the Deposit shall be returned to Buyer. 
  
 (c) If this Agreement is terminated by Seller pursuant to §10.1 (c) or (d)(ii), then the Deposit shall
be paid to Seller. 
  
 (d) In the event of a
default by Seller under this Agreement after entry of the Sale Order by the Bankruptcy Court, the Buyer shall be entitled to all of its remedies at law and in equity. 
  
 §10.3. Extension; Waiver. At any time prior to the Closing, Seller, on the one hand, or Buyer, on the other
hand, may (i) extend the time for the performance of any of the obligations or acts of the other Party, (ii) waive any inaccuracies in the representations and warranties of the other Party contained herein or in any document delivered pursuant
hereto, (iii) waive compliance with any of the agreements of the other Party contained herein or (iv) waive any condition to its obligations hereunder. Any agreement on the part of Seller, on the one hand, or Buyer, on the other hand, to any such
extension or waiver shall be valid only if set forth in writing. 
  

 - 18 - 

 ARTICLE XI 
 COVENANTS AFTER CLOSING 
  
 §11.1. Access. During the six-year period following the Closing Date and during normal business hours, Buyer will, and will cause its affiliates, successors and assigns to, permit upon reasonable advance, at least five (5) days,
prior written notice (a) Seller and its representatives to have access to fire books, documents and records (including tax returns, files, papers and related items) of, and relating to, Speakman, its business or its employees, in each case to the
extent relating to any period prior to the Closing or the legitimate business needs of Seller or any of its Affiliates, and permit Seller and its representatives to make copies of such books, documents and records at Seller’s expense and (b)
Seller and its representatives to have reasonable access to the employees of Buyer and its Affiliates, and direct such employees to cooperate with each of them, for Seller’s or any of its Affiliates’ resolution of Tax, audit, litigation, accounting, securities or similar matters that relate to any period prior to the Closing (whether such matters arose
before or after the Closing). Without limiting the generality of the foregoing, Buyer agrees that such legitimate business needs include (i) defending or pursuing claims, litigation or similar proceedings, (ii) preparing or making filings
contemplated by securities laws or stock exchange rules, (iii) preparing or filing tax returns or responding to audits, and (iv) administering Seller’s bankruptcy estate. 
  
 ARTICLE XII  
 SURVIVAL 
  
 §12.1. Survival. None of the representations or warranties contained herein or in any instrument or document delivered pursuant thereto will survive the Closing, and none of the Parties nor any of their respective officers,
directors, representatives, employees, advisors or agents shall have any liability to the other after the Closing for any breach thereof. 
  
 §12.2. “AS IS” TRANSACTION. BUYER HEREBY ACKNOWLEDGES AND AGREES THAT, EXCEPT AS OTHERWISE EXPRESSLY PROVIDED HEREIN, SELLER
MAKES NO (AND SELLER EXPRESSLY DISCLAIMS AND NEGATES ANY) REPRESENTATIONS OR WARRANTIES OF ANY KIND WHATSOEVER, WRITTEN OR ORAL, STATUTORY, EXPRESS OR IMPLIED, WITH RESPECT TO THE ASSETS OR ANY OTHER MATTER WHATSOEVER, INCLUDING, WITHOUT LIMITATION,
INCOME TO BE DERIVED OR EXPENSES TO BE INCURRED IN CONNECTION WITH THE ASSETS, THE PHYSICAL CONDITION OF ANY PART OF THE ASSETS, THE ENVIRONMENTAL CONDITION OR OTHER MATTER RELATING TO THE PHYSICAL CONDITION OF ANY REAL PROPERTY OWNED BY SELLER OR
WHICH ARE THE SUBJECT OF ANY ASSUMED CONTRACT AT THE CLOSING, THE ZONING OF ANY SUCH REAL PROPERTY, THE VALUE OF THE ASSETS (OR ANY PORTION THEREOF), THE TRANSFERABILITY OF THE ASSETS, THE TERMS, AMOUNT, VALIDITY OR ENFORCEABILITY OF ANY ASSUMED
LIABILITIES, THE TITLE OF THE ASSETS (OR ANY PORTION THEREOF), THE MERCHANTABILITY OR FITNESS OF THE ASSETS FOR ANY PARTICULAR PURPOSE, OR ANY OTHER MATTER OR THING RELATING TO THE ASSETS OR ANY PORTION THEREOF. WITHOUT IN ANY WAY LIMITING THE
FOREGOING, EXCEPT AS OTHERWISE EXPRESSLY PROVIDED HEREIN, SELLER HEREBY DISCLAIMS ANY WARRANTY, EXPRESS OR IMPLIED, OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE AS TO ANY 

  

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PORTION OF THE ASSETS. BUYER FURTHER ACKNOWLEDGES THAT BUYER HAS CONDUCTED AN INDEPENDENT INSPECTION AND INVESTIGATION OF THE PHYSICAL CONDITION OF THE
ASSETS AND ALL SUCH OTHER MATTERS RELATING TO OR AFFECTING THE ASSETS AS BUYER DEEMED NECESSARY OR APPROPRIATE AND THAT IN PROCEEDING WITH ITS ACQUISITION OF THE ASSETS, EXCEPT FOR ANY REPRESENTATIONS AND WARRANTIES EXPRESSLY SET FORTH HEREIN, BUYER
IS DOING SO BASED SOLELY UPON SUCH INDEPENDENT INSPECTIONS AND INVESTIGATIONS. ACCORDINGLY, SUBJECT TO BUYER’S RIGHTS UNDER THIS AGREEMENT, BUYER WILL ACCEPT THE ASSETS AT THE CLOSING “AS IS,” “WHERE IS,” AND “WITH ALL
FAULTS” AND WITHOUT RECOURSE TO SELLER. 
  
 ARTICLE XIII
 
 MISCELLANEOUS 
  
 §13.1. Notices. All notices and other communications under this Agreement to a Party shall be in writing and shall be deemed given when
delivered personally, sent by facsimile (which is confirmed electronically) to that Party at the facsimile number for that Party set forth below, mailed by certified mail (return receipt requested) to that Party at the address for that Party (or at
such other address for such Party as such Party shall have specified in notice to the other Party), or delivered to Federal Express, UPS, or any similar express delivery service for delivery to that Party at that address: 
  

	 	(a)	If to Buyer: 

  
 John S. Stanik 
 Chief Executive Officer

 Calgon Carbon Corporation 
 P.O. Box 717 
 Pittsburgh, Pennsylvania 15230 
 Fax: 412-787-4511 
  
 with a
copy to: 
  
 Kirkpatrick & Lockhart, LLP 
 Henry W. Oliver Building 
 535 Smithfield
Street 
 Pittsburgh, Pennsylvania 15222 
 Attn: George M. Cheever, Esq. 
           Susan A. Apel, Esq. 
 Fax: 412-355-6501 
  

	 	(b)	If to Seller: 

  
 Barnebey Sutcliffe Corporation 
 835 North
Cassady Avenue 
 Columbus, Ohio 43219 
  

 - 20 - 

 Attention: William Vogelhuber, CEO 
 Facsimile No.: (614) 258-3464 
  
 with a copy to: 
  
 Baker & Hostetler LLP 
 Capitol Square
Suite 2100 
 65 East State Street 
 Columbus, Ohio 43215 
 Attention: Henry P. Montgomery, Esq. 
 Facsimile No.: (614) 462-2616 
 Attention:
Richard A. Robinson, Esq. 
 Facsimile No.: (407) 841-0168 
  
 §13.2. Amendments. Any amendments to this Agreement shall be in a writing, which may be executed in one or more
counterparts and shall be effective if executed by all Parties, and, to the extent necessary, approved by the Bankruptcy Court. 
  
 §13.3. Non-Waiver. No failure by any Party to insist upon strict compliance with any term or provision of this Agreement, to exercise any
option, to enforce any right, or to seek any remedy upon any default of any other Party shall affect, or constitute a waiver of, any other Party’s right to insist upon such strict compliance, exercise that option, enforce that right, or seek
that remedy with respect to that default or any prior, contemporaneous or subsequent default. No custom or practice of the Parties at variance with any provision of this Agreement shall affect or constitute a waiver of, any Party’s right to demand strict compliance with the provisions of this Agreement. 
  
 §13.4. Headings. The headings of the various articles and
sections of this Agreement are not part of the context of this Agreement, are merely labels to assist in locating such articles and sections, and shall be ignored in construing this Agreement. 
  
 §13.5. Counterparts. This Agreement may be executed in multiple
counterparts, each of which shall be deemed to be an original, but all of which taken together shall constitute one and the same agreement. 
  
 §13.6. Entire Agreement. This Agreement (including all schedules and other documents referred to in this Agreement all of which are hereby
incorporated by reference) constitutes the entire agreement and supersedes all prior agreements and understandings, both written and oral, among the Parties with respect to its subject matter. 
  
 §13.7. No Third Party Beneficiaries. Nothing contained in this
Agreement, expressed or implied, is intended or shall be construed to confer upon or give to any person, firm, corporation or legal entity, other than the Parties, any rights, remedies or other benefits under or by reason of this Agreement.

  
 §13.8. Governing Law. This Agreement shall be
governed by and construed in accordance with the laws of the State of Ohio without regard to principles of conflicts of law. Any actions brought to enforce this Agreement, or any breach hereof, or any obligation 

  

 - 21 - 

 
hereunder, shall be brought in the Bankruptcy Court. Each of the parties hereto irrevocably and unconditionally consents to submit to the jurisdiction of the
Bankruptcy Court for any litigation arising out of or relating to this Agreement and the transactions contemplated thereby (and agrees not to commence any litigation relating thereto except the Bankruptcy Court), waives any objection to the laying
of venue of any such litigation therein, and agrees not to plead or claim that such litigation has been brought in an inconvenient form. 
  
 §13.9. Successors: Assignment. This Agreement shall be binding upon, inure to the benefit of, and be enforceable by and against the Parties
and their respective heirs, personal representatives, successors and assigns. Neither this Agreement nor any of the rights, interests or obligations under this Agreement shall be transferred or assigned by any Party without the prior written consent
of the other Parties, provided that Buyer may, subject to the provisions of Section 8.6, assign any of its rights (or obligations) hereunder to any one or more affiliate(s), prior to or at the time of Closing. 
  
 §13.10. Remedies. All rights and remedies of each Party under
this Agreement shall be cumulative and in addition to all other rights and remedies which may be available to that Party from time to time, whether under any other agreement, at law, or in equity, 
  
 §13.11. Descriptive Headings. The headings contained in this
Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 
  
 §13.12. Publicity. No Party to this Agreement shall issue “any press release or other publicity concerning the proposed transaction
without the prior approval of the other Party, except as otherwise required by law. Each Party shall provide to the other Party a reasonable opportunity to review any press release prior to its issuance. 
  
 §13.13. Severabilitv; Validity; Parties in Interest. If any of
the provision of this Agreement or the application thereof to any person or circumstance is held invalid or unenforceable, the remainder of this Agreement, and the application or such provision to other persons or circumstances, shall not be
affected thereby, and to such end, the provisions of this Agreement are agreed to be severable. Nothing in this Agreement, express or implied, is intended to confer upon any person not a party to this Agreement any rights or remedies of any nature
whatsoever under or by reason of this Agreement. 
  
 §13.14.
Bulk Sales. Buyer hereby waives compliance with any bulk sales or other similar laws in any applicable jurisdiction in respect of the transaction contemplated by this Agreement. 
  
 §13.15. Costs and Expenses. Whether or not a Closing of the Asset Sale and the Stock Sale as contemplated herein
occurs, each party to this Agreement will pay all costs and expenses incurred by it in connection with this Agreement and the transactions contemplated hereby except as otherwise provided herein. The foregoing shall not affect the legal right, if
any, that any Party may have to recover expenses from any other Party that breaches its obligations hereunder. 
  

 - 22 - 

 §13.16. Announcements. No Party hereto shall disclose any information relating hereto without
the prior written consent of the other Parties prior to the public announcement, if any, of this Agreement (which shall be in accordance with Section 13.12), except for such disclosures to such professional advisors of either Party as may be
necessary or appropriate in order to enter into this Agreement and consummate the transactions contemplated by this Agreement. The provisions of this section will be subject to the Parties’ obligations to comply with applicable requirements of
federal or state laws or any governmental order or regulation, including any order of the Bankruptcy Court, provided, however, that in such case the disclosing Party shall give the other Party reasonable advance notice of any such disclosure .

  
 §13.17. Risk of loss. 
  
 (a) Casualty. Seller will bear all risk of loss
occurring to or upon any portion of the Assets and the assets and properties of Waterlink UK and the Subsidiary prior to the Closing Date. In the event that any material portion of the Assets or of the assets and properties of Waterlink UK and the
Subsidiaries is damaged or destroyed prior to Closing Date (i) with respect to such Assets, the Buyer may, at its option, exclude such Asset from this Agreement or (ii) terminate this Agreement. If Buyer closes notwithstanding any unrepaired or
unrestored loss to such Assets or assets, Seller will deliver and/or assign to the Buyer any insurance proceeds with respect to such damage or destruction and there will be no adjustment to the Purchase Price. 
  
 (b) Condemnation. In the event that any portion of
the Assets or the assets and properties of Waterlink UK and the Subsidiaries is taken by eminent domain or condemnation prior to the Closing Date and such taking materially and adversely affects the use or utility of the Business or of the business
of Waterlink UK or the Subsidiaries, the Buyer may within ten (10) days after it receives written notice of such taking either (i) proceed to close notwithstanding the eminent domain or condemnation proceeding, in which event Seller will assign to
the Buyer its entire right, title and interest in and to any award with respect to an Asset, (ii) exclude such Asset or (iii) terminate this Agreement. If the Buyer closes notwithstanding any such condemnation, Seller will deliver and/or assign to
the Buyer any proceeds with respect to such condemnation and there will be no adjustment to the Purchase Price. 
  
 §13.18. Severability. If any provision of this Agreement is finally determined by a court of competent jurisdiction to be unenforceable, such
court shall have jurisdiction to reform such provision so that it is enforceable to the maximum extent permitted by applicable law, and the Parties shall abide by such court’s determination. If any provision of this Agreement cannot be
reformed, such provision shall be deemed severed from this Agreement, but every other provision of this Agreement shall remain in full force and effect. 
  
 §13.19. Cooperation. Each Party will take all reasonable actions necessary to comply promptly with all requirements contemplated by this
Agreement and will otherwise cooperate with, and furnish information to, the other Party. 
  
 §13.20. Construction. The language used in this Agreement will be deemed to be the language chosen by the Parties to express their mutual intent, and no rule of strict construction shall be applied against
any Party. Any reference to any federal, state, local, or foreign statute or law shall be deemed also to refer to all rules and regulations promulgated thereunder, unless the 

  

 - 23 - 

 
context requires otherwise. Use of the word “including” shall mean “including without limitation” whether or not such words are used.

  
 §13.21. Submission to Jurisdiction. Unless and to
the extent otherwise specifically provided herein, the Parties irrevocably submit to the exclusive jurisdiction of the Bankruptcy Court (or any court exercising appellate jurisdiction over the Bankruptcy Court) over any dispute arising out of or
Relating to this Agreement or any other agreement or instrument contemplated hereby or entered into in connection herewith or any of the transactions contemplated hereby or thereby. Each Party hereby irrevocably agrees that all claims in respect of
such dispute or proceedings may be heard and determined in such courts. The Parties irrevocably waive, to the fullest extent permitted by applicable law, any objection which they may now or hereafter have to the laying of venue of any such dispute
or proceeding brought in such courts or any defense of inconvenient forum in connection therewith. 
  
 13.22 Avoidance Actions. Prior to or at the time of Closing, Seller shall deliver to Buyer a complete release of any potential avoidance actions of
Seller or its bankruptcy estates against Buyer or its affiliates, including those arising under 11 U.S.C. §547’ 
  
 ******** 
 The remainder of
this page is intentionally left blank. 
 Signatures appear on the following page. 
  

 - 24 - 

									
	 Buyer:
	 	 	 	 Seller:

			
	 CALGON CARBON CORPORATION
	 	 	 	 WATERLINK, INC.

					
	 By
	 	/s/    Illegible        	 	 	 	 By
	 	/s/    Illegible        
	 	 	
	 	 	 	 	 	

	 Print Name
	 	Illegible	 	 	 	 Print Name
	 	Illegible
	 Title
	 	Illegible	 	 	 	 Title
	 	President & CEO

  

									
	 	 	 	 	 BARNEBEY SUTCLIFFE CORPORATION

					
	 	 	 	 	 	 	 By
	 	/s/    Illegible        
	 	 	 	 	 	 	 	 	

	 	 	 	 	 	 	 Print Name
	 	Illegible
	 	 	 	 	 	 	 Title
	 	Chairman

  

 - 25 - 

 Schedule 1.1(i) 
  
 Assumed Contracts 
  
 Assumed Contracts 
  
 Note: The final version of this schedule will be provided by Buyer to Seller (and attached hereto and incorporated herein) prior to the Closing Date.

  

 - 26 - 

 Schedule 1.2 
  
 Excluded Assets 
  

	 	•	Any of Seller’s cash and equivalents whatsoever, whether on hand, in banks or elsewhere (other than cash or cash equivalents of Seller, if any, held by or at Waterlink UK or
its Subsidiaries). 

  

	 	•	All retainers paid by Seller to its professional advisors in connection with the Chapter 11 Case. 

  

	 	•	Except as otherwise provided herein, all of Seller’s contract rights to payment, notes or notes receivable owing. 

  

	 	•	All avoidance actions of Seller or its bankruptcy estates, including those arising under 11 U.S.C. §§ 510, 544-550, and applicable State law. 

  

	 	•	All deposits of Seller other than customer deposits existing as of the Closing Date in respect of (i) any existing order or work-in-process or (ii) product orders contemplated to be
commenced by any Seller or Seller affiliate, which shall constitute acquired Assets. 

  

	 	•	All supplier credits, insurance refunds, tax refunds or other tax benefits arising from Seller’s operation of its business other than customer credits existing as of the
Closing Date in respect of (i) any existing order or work-in-process or (ii) product orders contemplated to be commenced by any Seller or Seller affiliate which shall constitute acquired Assets. 

  

	 	•	Any rights to amounts held in escrow except as otherwise provided herein. 

  

	 	•	Any and all incorporation documents, corporate minutes, financial records, income tax returns and any other documentation necessary for Seller to conclude the administration of the
chapter 11 bankruptcy case; provided, however, the foregoing shall not include any incorporation documents, corporate minute books financial records and other documentation relating to Waterlink UK or any Subsidiary which shall constitute acquired
Assets. 

  

	 	•	Notes receivable existing as of the Closing date, including without limitation that certain intercompany note payable by Waterlink UK to Waterlink in the amount of $9,759,537 at
September 30, 2003, which shall be forgiven and terminated prior to closing in accordance with Section 8.7 of the Agreement. 

  

	 	•	All proceeds from causes of action and litigation rights existing in favor of Seller as of the Closing Date. 

  

	 	•	All assets of Waterlink, Inc. (other than the Stock (defined in Section 2.1) transferred by Waterlink to Buyer under Article II). 

  

 - 27 - 

 Schedule 1.3 
  
 Assumed Liabilities 
  

	 	•	Post-petition accounts payable of Barnebey (other than intercompany trade payables and intercompany notes payable) as of the Closing Date (The Parties acknowledge that, as of
September 30, 2003, the amount of such accounts payable was approximately $1,300,000) if and to the extent subtracted when calculating Closing Date Working Capital under Section 3.1 (c)(i). 

  

	 	•	Accrued expenses of Barnebey as of the Closing Date (The Parties acknowledge that, as of September 30, 2003, the amount of such accrued expenses was approximately $1,472,974) if and
to the extent subtracted when calculating Closing Date Working Capital under Section 3.1(c)(i). 

  

	 	•	Billings in excess of costs of Barnebey as of the Closing Date (The Parties acknowledge that, as of September 30, 2003, the amount of such billings was approximately $744,312) if
and to the extent subtracted when calculating Closing Date Working Capital under Section 3. 1(c)(i). 

  

	 	•	Accrued Income Taxes (as defined in Section 1.3(b)(ii)) 

  

 - 28 - 

 Schedule 6.6 
  
 Consolidating Financial Statements 
  
 See attached. 
  

 - 29 - 

 Waterlink, Inc. and Subsidiaries 
 Consolidating Balance Sheet 
 September 30, 2003 
  

																	
	 	  	Speciality
Products

	  	Corporate

	  	Other
Adjustments

	  	Eliminations

	 	 	Consolidated

	 Assets
	  	 	 	  	 	 	  	 	 	  	 	 	 	 	 	 
	 Current assets:
	  	 	 	  	 	 	  	 	 	  	 	 	 	 	 	 
	 Cash and cash equivalents
	  	$	2,657,428	  	$	8,919	  	 	 	  	 	 	 	 	$	2,666,347
	 Trade accounts receivable
	  	 	13,152,785	  	 	—  	  	 	 	  	 	 	 	 	 	13,152,785
	 Intercompany accounts receivable
	  	 	0	  	 	—  	  	 	 	  	 	 	 	 	 	0
	 Customer retainage
	  	 	—  	  	 	—  	  	 	 	  	 	 	 	 	 	—  
	 Other receivables
	  	 	—  	  	 	—  	  	 	 	  	 	 	 	 	 	—  
	 Inventories
	  	 	9,606,599	  	 	—  	  	 	 	  	 	 	 	 	 	9,606,599
	 Costs in excess of billings
	  	 	1,167,217	  	 	—  	  	 	 	  	 	 	 	 	 	1,167,217
	 Deferred income taxes
	  	 	—  	  	 	—  	  	 	—  	  	 	 	 	 	 	—  
	 Other current assets
	  	 	1,301,398	  	 	1,451,429	  	 	 	  	 	 	 	 	 	2,752,827
	 	  	
	
	  	
	
	  	
	
	  	
	
	
	 	
	

	 Total current assets
	  	 	27,885,426	  	 	1,460,429	  	 	—  	  	 	—  	 	 	 	29,345,774
	 Property, plant and equipment
	  	 	10,309,189	  	 	12,532	  	 	 	  	 	 	 	 	 	10,321,721
	 Accumulated depreciation
	  	 	4,772,450	  	 	12,532	  	 	 	  	 	 	 	 	 	4,784,982
	 	  	
	
	  	
	
	  	
	
	  	
	
	
	 	
	

	 Net property, plant and equipment
	  	 	5,536,738	  	 	—  	  	 	—  	  	 	—  	 	 	 	5,536,738
	 Other assets:
	  	 	 	  	 	 	  	 	 	  	 	 	 	 	 	 
	 Goodwill, net of amortization
	  	 	3,566,562	  	 	—  	  	 	 	  	 	 	 	 	 	3,566,562
	 Patents, net of amortization
	  	 	—  	  	 	—  	  	 	 	  	 	 	 	 	 	—  
	 Intercompany notes receivable
	  	 	—  	  	 	35,226,710	  	 	 	  	 	(35,226,710	)	 	 	—  
	 Investments in subsidiaries
	  	 	—  	  	 	10,066,880	  	 	 	  	 	(10,066,880	)	 	 	—  
	 Deferred income taxes
	  	 	—  	  	 	—  	  	 	—  	  	 	 	 	 	 	—  
	 Other assets
	  	 	—  	  	 	1,019,907	  	 	 	  	 	 	 	 	 	1,019,907
	 	  	
	
	  	
	
	  	
	
	  	
	
	
	 	
	

	 Total other assets
	  	 	3,566,562	  	 	46,313,497	  	 	—  	  	 	(45,293,590	)	 	 	4,586,469
	 	  	
	
	  	
	
	  	
	
	  	
	
	
	 	
	

	 Total assets
	  	$	36,988,727	  	$	47,773,845	  	$	—  	  	$	(45,293,590	)	 	$	39,468,982
	 	  	
	
	  	
	
	  	
	
	  	
	
	
	 	
	

  

 50 

 Waterlink, Inc. and Subsidiaries 
 Consolidating Balance Sheet-continued 
 September 30, 2003 
  

																					
	 	  	 Specialty
 Products

	 	 	Corporate

	 	 	 Other
 Adjustments

	 	 	Eliminations

	 	 	Consolidated

	 
	 Liabilities and Shareholder’s Equity
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Current Liabilities:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Accounts payable
	  	$	6,450,926	 	 	$	59,927	 	 	 	 	 	 	 	 	 	 	$	6,510,853	 
	 Intercompany payables
	  	 	(0	)	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	(0	)
	 Accrued expenses
	  	 	2,352,797	 	 	 	2,097,790	 	 	 	1,462,992	 	 	 	 	 	 	 	5,913,579	 
	 Reserves for discontinued operations
	  	 	—  	 	 	 	1,462,992	 	 	 	(1,462,992	)	 	 	 	 	 	 	—  	 
	 Billings in excess of cost
	  	 	838,980	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	838,980	 
	 Accrued income taxes
	  	 	(174,333	)	 	 	559,788	 	 	 	—  	 	 	 	 	 	 	 	385,455	 
	 Current portion of long-term debt
	  	 	939,237	 	 	 	37,930,615	 	 	 	 	 	 	 	 	 	 	 	38,869,852	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	10,407,605	 	 	 	42,111,112	 	 	 	—  	 	 	 	—  	 	 	 	52,518,717	 
	 Long-term obligation:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Long-term debt
	  	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	—  	 
	 Notes payable – related parties
	  	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	—  	 
	 Subordinated notes – related parties
	  	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	—  	 
	 Subordinated debt
	  	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	—  	 
	 Long-term intercompany note
	  	 	35,226,710	 	 	 	—  	 	 	 	 	 	 	 	(35,226,710	)	 	 	—  	 
	 Deferred income taxes
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Other long-term liabilities
	  	 	3,803,000	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	3,803,000	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total long-term liabilities
	  	 	39,029,710	 	 	 	—  	 	 	 	—  	 	 	 	(35,226,710	)	 	 	3,803,000	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total liabilities
	  	 	49,437,315	 	 	 	42,111,112	 	 	 	—  	 	 	 	(35,226,710	)	 	 	56,321,717	 
	 Shareholder’s equity
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Preferred stock
	  	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	—  	 
	 Common stock
	  	 	10,066,880	 	 	 	19,665	 	 	 	 	 	 	 	(10,066,880	)	 	 	19,665	 
	 Additional paid-in capital
	  	 	—  	 	 	 	92,174,121	 	 	 	 	 	 	 	 	 	 	 	92,174,121	 
	 Foreign currency adjustment
	  	 	(5,926,862	)	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	(5,926,862	)
	 Retained earnings (deficit)
	  	 	2,431,177	 	 	 	(85,668,556	)	 	 	 	 	 	 	 	 	 	 	(83,237,379	)
	 Current year net income (loss)
	  	 	(19,019,784	)	 	 	(862,497	)	 	 	 	 	 	 	 	 	 	 	(19,882,281	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total shareholder’s equity (deficit)
	  	 	(12,448,588	)	 	 	5,662,733	 	 	 	—  	 	 	 	(10,066,880	)	 	 	(16,852,735	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total liabilities and shareholder’s equity
	  	$	36,988,727	 	 	$	47,773,845	 	 	$	—  	 	 	$	(45,293,590	)	 	$	39,468,982	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	ok	 	 	 	ok	 	 	 	ok	 	 	 	ok	 

  

 51 

 Waterlink, Inc. –Speciality Products Division 
 Consolidating Balance Sheet 
 September 30, 2003 
  

																		
	 	  	 Barnebey
 Sutcliffe

	  	 1,6615100
 Sutcliffe
 Speakman

	  	 1,66151
 Holding
Company

	 	 	Eliminations

	 	 	Consolidated

	 Assets
	  	 	 	  	 	 	  	 	 	 	 	 	 	 	 	 	 
	 Current assets:
	  	 	 	  	 	 	  	 	 	 	 	 	 	 	 	 	 
	 Cash and cash equivalents
	  	$	1,840,066	  	$	843,695	  	$	(26,333	)	 	 	 	 	 	$	2,657,428
	 Trade accounts receivable
	  	 	8,869,796	  	 	4,282,989	  	 	—  	 	 	 	 	 	 	 	13,152,785
	 Inter company accounts receivable
	  	 	32,840	  	 	12,946,951	  	 	—  	 	 	 	(12,979,791	)	 	 	0
	 Customer retainage
	  	 	—  	  	 	—  	  	 	—  	 	 	 	 	 	 	 	—  
	 Other receivables
	  	 	—  	  	 	—  	  	 	—  	 	 	 	 	 	 	 	—  
	 Inventories
	  	 	7,826,994	  	 	1,779,605	  	 	—  	 	 	 	 	 	 	 	9,606,599
	 Costs in excess of billings
	  	 	784,840	  	 	382,377	  	 	—  	 	 	 	 	 	 	 	1,167,217
	 Deferred income taxes
	  	 	650,370	  	 	—  	  	 	—  	 	 	 	(650,370	)	 	 	—  
	 Other current assets
	  	 	880,727	  	 	420,090	  	 	582	 	 	 	 	 	 	 	1,301,398
	 	  	
	
	  	
	
	  	
	
	
	 	
	
	
	 	
	

	 Total current assets
	  	 	20,885,633	  	 	20,655,706	  	 	(25,752	)	 	 	(13,630,161	)	 	 	27,885,426
	 Property, plant and equipment
	  	 	6,083,143	  	 	4,226,046	  	 	—  	 	 	 	 	 	 	 	10,309,189
	 Accumulated depreciation
	  	 	2,630,686	  	 	2,141,764	  	 	—  	 	 	 	 	 	 	 	4,772,450
	 	  	
	
	  	
	
	  	
	
	
	 	
	
	
	 	
	

	 Net property, plant and equipment
	  	 	3,452,457	  	 	2,084,281	  	 	—  	 	 	 	—  	 	 	 	5,536,738
	 Other assets:
	  	 	 	  	 	 	  	 	 	 	 	 	 	 	 	 	 
	 Goodwill, net of amortization
	  	 	811,046	  	 	2,755,516	  	 	—  	 	 	 	 	 	 	 	3,566,562
	 Patents, net of amortization
	  	 	—  	  	 	—  	  	 	—  	 	 	 	 	 	 	 	—  
	 Intercompany notes receivable
	  	 	—  	  	 	 	  	 	—  	 	 	 	 	 	 	 	—  
	 Investments in subsidiaries
	  	 	—  	  	 	99,579	  	 	20,133,760	 	 	 	(20,233,339	)	 	 	—  
	 Deferred income taxes
	  	 	—  	  	 	—  	  	 	—  	 	 	 	—  	 	 	 	—  
	 Other assets
	  	 	—  	  	 	—  	  	 	1,463,790	 	 	 	(1,463,790	)	 	 	—  
	 	  	
	
	  	
	
	  	
	
	
	 	
	
	
	 	
	

	 Total other assets
	  	 	811,046	  	 	2,855,096	  	 	21,597,550	 	 	 	(21,697,130	)	 	 	3,566,562
	 	  	
	
	  	
	
	  	
	
	
	 	
	
	
	 	
	

	 Total assets
	  	$	25,149,136	  	$	25,595,083	  	$	21,571,799	 	 	$	(35,327,291	)	 	$	36,988,727
	 	  	
	
	  	
	
	  	
	
	
	 	
	
	
	 	
	

  

 Waterlink, Inc. –Speciality Products Division 
 Consolidating Balance Sheet-continued 
 September 30, 2003 
  

																					
	 	  	Barnebey
Sutcliffe

	 	 	1,6615
Sutcliffe
Speakman

	 	 	 1,6615
 Holding
Company

	 	 	Eliminations

	 	 	Consolidated

	 
	 Liabilities and Shareholders’ Equity
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Current liabilities:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Accounts payable
	  	$	4,339,557	 	 	$	2,111,369	 	 	$	—  	 	 	 	 	 	 	$	6,450,926	 
	 Intercompany payables
	  	 	276,907	 	 	 	32,840	 	 	 	12,670,052	 	 	 	(12,979,799	)	 	 	(0	)
	 Accrued expenses
	  	 	1,472,974	 	 	 	862,493	 	 	 	17,330	 	 	 	 	 	 	 	2,352,797	 
	 Reserves for discontinued operations
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Billings in excess of cost
	  	 	744,312	 	 	 	94,668	 	 	 	—  	 	 	 	 	 	 	 	838,980	 
	 Accrued income taxes
	  	 	86,035	 	 	 	83,935	 	 	 	—  	 	 	 	(344,303	)	 	 	(174,333	)
	 Current portion of long-term debt
	  	 	—  	 	 	 	939,237	 	 	 	—  	 	 	 	 	 	 	 	939,237	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	6,919,785	 	 	 	4,124,541	 	 	 	12,687,382	 	 	 	(13,324,102	)	 	 	10,407,605	 
	 Long-term obligations:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Long-term debt
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Notes payable-related parties
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Subordinated notes – related parties
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Subordinated debt
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Long-term intercompany note
	  	 	26,651,365	 	 	 	—  	 	 	 	9,759,537	 	 	 	(1,184,192	)	 	 	35,226,710	 
	 Deferred income taxes
	  	 	306,067	 	 	 	—  	 	 	 	—  	 	 	 	(306,067	)	 	 	—  	 
	 Other long-term liabilities
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	3,803,000	 	 	 	3,803,000	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total long-term liabilities
	  	 	26,957,432	 	 	 	—  	 	 	 	9,759,537	 	 	 	2,312,741	 	 	 	39,029,710	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total liabilities
	  	 	33,877,217	 	 	 	4,124,541	 	 	 	22,446,919	 	 	 	(11,011,361	)	 	 	49,437,315	 
	 Shareholders’ equity
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Preferred stock
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Common stock
	  	 	—  	 	 	 	18,419,000	 	 	 	10,066,880	 	 	 	(18,419,000	)	 	 	10,066,880	 
	 Additional paid-in capital
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Foreign currency adjustment
	  	 	—  	 	 	 	2,229,778	 	 	 	(2,259,710	)	 	 	(5,896,930	)	 	 	(5,926,862	)
	 Retained earnings (deficit)
	  	 	3,953,558	 	 	 	5,797,569	 	 	 	(7,319,950	)	 	 	 	 	 	 	2,431,177	 
	 Current year net income (loss)
	  	 	(12,681,639	)	 	 	(4,975,804	)	 	 	(1,362,340	)	 	 	—  	 	 	 	(19,019,784	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total shareholders’ equity (deficit)
	  	 	(8,728,081	)	 	 	21,470,542	 	 	 	(875,120	)	 	 	(24,315,930	)	 	 	(12,448,588	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Total liabilities and shareholder’s equity
	  	$	25,149,136	 	 	$	25,595,083	 	 	$	21,571,799	 	 	$	(35,327,291	)	 	$	36,988,727	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	ok	 	 	 	ok	 	 	 	ok	 	 	 	ok	 

  

 Waterlink, Inc. –Corporate Office 
 Consolidating Balance Sheet 
 September 30, 2003 
  

																	
	 	  	Management

	 	 	Holdings

	  	Other
Adjustments

	 	 	Eliminations

	 	 	Consolidated

	 Assets
	  	 	 	 	 	 	 	  	 	 	 	 	 	 	 	 
	 Current assets:
	  	 	 	 	 	 	 	  	 	 	 	 	 	 	 	 
	 Cash and cash equivalents
	  	$	8,919	 	 	$	—  	  	 	 	 	 	 	 	$	8,919
	 Trade accounts receivable
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Intercompany accounts receivable
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Customer retainage
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Other receivables
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Inventories
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Costs in excess of billings
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Deferred income taxes
	  	 	513,845	 	 	 	—  	  	(513,845	)	 	 	 	 	 	—  
	 Other current assets
	  	 	2,451,429	 	 	 	—  	  	 	 	 	(1,000,000	)	 	 	1,451,429
	 	  	
	
	
	 	
	
	  	
	
	 	
	
	 	
	

	 Total current assets
	  	 	2,974,193	 	 	 	—  	  	(513,845	)	 	(1,000,000	)	 	 	1,460,348
	 Property, plant and equipment
	  	 	12,532	 	 	 	—  	  	 	 	 	 	 	 	 	12,532
	 Accumulated depreciation
	  	 	12,532	 	 	 	—  	  	 	 	 	 	 	 	 	12,532
	 	  	
	
	
	 	
	
	  	
	
	 	
	
	 	
	

	 Net property, plant and equipment
	  	 	—  	 	 	 	—  	  	—  	 	 	—  	 	 	 	—  
	 Other assets:
	  	 	 	 	 	 	—  	  	 	 	 	 	 	 	 	 
	 Goodwill, net of amortization
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Patent, net of amortization
	  	 	—  	 	 	 	—  	  	 	 	 	 	 	 	 	—  
	 Intercompany notes receivable
	  	 	35,226,710	 	 	 	49,308,946	  	 	 	 	(49,308,946	)	 	 	35,226,710
	 Investment in subsidiaries
	  	 	—  	 	 	 	10,066,880	  	 	 	 	 	 	 	 	10,066,880
	 Deferred income taxes
	  	 	(1,236,475	)	 	 	—  	  	1,236,475	 	 	 	 	 	 	—  
	 Other assets
	  	 	19,907	 	 	 	—  	  	 	 	 	1,000,000	 	 	 	1,019,907
	 	  	
	
	
	 	
	
	  	
	
	 	
	
	 	
	

	 Total other assets
	  	 	34,010,142	 	 	 	59,375,826	  	1,236,475	 	 	(48,308,946	)	 	 	46,313,497
	 	  	
	
	
	 	
	
	  	
	
	 	
	
	 	
	

	 Total assets
	  	$	36,984,335	 	 	$	59,375,826	  	722,630	 	 	(48,308,946	)	 	$	47,773,845
	 	  	
	
	
	 	
	
	  	
	
	 	
	
	 	
	

  

 Waterlink, Inc. –Corporate Office 
 Consolidating Balance Sheet-continued 
 September 30, 2003 
  

																				
	 	  	Management

	 	 	Holdings

	 	 	Other
Adjustments

	  	Eliminations

	 	 	Consolidated

	 
	 Liabilities and Shareholders’ Equity
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Current liabilities:
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Accounts payable
	  	$	59,927	 	 	$	—  	 	 	 	 	  	 	 	 	 	$	59,927	 
	 Intercompany payables
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Accrued expenses
	  	 	2,097,790	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	2,097,790	 
	 Reserves for discontinued operations
	  	 	1,462,992	 	 	 	—  	 	 	 	 	  	 	—  	 	 	 	1,462,992	 
	 Billings in excess of cost
	  	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Accrued income taxes
	  	 	—  	 	 	 	—  	 	 	 	559,788	  	 	 	 	 	 	559,788	 
	 Current portion of long-term debt
	  	 	37,930,615	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	37,930,615	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	41,551,324	 	 	 	—  	 	 	 	559,788	  	 	—  	 	 	 	42,111,112	 
	 Long-term obligations:
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Long-term debt
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Notes payable - related parties
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Subordinated notes - related parties
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Subordinated debt
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Long-term intercompany note
	  	 	49,308,946	 	 	 	—  	 	 	 	 	  	 	(49,308,946	)	 	 	—  	 
	 Deferred income taxes
	  	 	(162,842	)	 	 	—  	 	 	 	162,842	  	 	 	 	 	 	—  	 
	 Other long-term liabilities
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Total long-term liabilities
	  	 	49,146,104	 	 	 	—  	 	 	 	162,842	  	 	(49,308,946	)	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Total liabilities
	  	 	90,697,428	 	 	 	—  	 	 	 	722,630	  	 	(49,308,946	)	 	 	42,111,112	 
	 Shareholders’ equity
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Preferred stock
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Common stock
	  	 	—  	 	 	 	19,665	 	 	 	 	  	 	 	 	 	 	19,665	 
	 Additional paid-in capital
	  	 	—  	 	 	 	92,174,121	 	 	 	 	  	 	 	 	 	 	92,174,121	 
	 Foreign currency adjustment
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Retained earnings (deficit)
	  	 	(52,850,596	)	 	 	(32,817,980	)	 	 	 	  	 	 	 	 	 	(85,668,556	)
	 Current year net income (loss)
	  	 	(862,497	)	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(862,497	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Total shareholders’ equity (deficit)
	  	 	(53,713,093	)	 	 	59,375,826	 	 	 	—  	  	 	—  	 	 	 	5,662,733	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Total liabilities and shareholders’ equity
	  	$	36,984,335	 	 	$	59,375,826	 	 	$	722,630	  	$	(49,308,946	)	 	$	47,773,845	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	ok	 	 	 	ok	  	 	ok	 	 	 	ok	 

  

 WaterLink, Inc. and Subsidiaries 
 Consolidating Statement of Operations 
 Twelve Months Ended September 30, 2003 
  

																				
	 	  	Speciality
Products

	 	 	Corporate

	 	 	Other
Adjustments

	  	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	66,857,957	 	 	$	—  	 	 	 	 	  	$	—  	 	 	$	66,857,957	 
	 Cost of goods sold
	  	 	51,404,799	 	 	 	—  	 	 	 	 	  	 	—  	 	 	 	51,404,799	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Gross profit
	  	 	15,453,158	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	15,453,158	 
	 Selling, general and admin. expense
	  	 	8,882,014	 	 	 	1,153,970	 	 	 	 	  	 	 	 	 	 	10,035,984	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 Amortization
	  	 	553,607	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	553,607	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	9,435,621	 	 	 	1,153,970	 	 	 	—  	  	 	—  	 	 	 	10,589,591	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Operating income
	  	 	6,017,537	 	 	 	(1,153,970	)	 	 	—  	  	 	—  	 	 	 	4,863,567	 
	 Other Income (expense):
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Interest expense
	  	 	(44,241	)	 	 	(2,457,108	)	 	 	 	  	 	(6,398	)	 	 	(2,507,747	)
	 Intercompany interest expense
	  	 	(3,184,438	)	 	 	3,178,040	 	 	 	 	  	 	6,398	 	 	 	0	 
	 Interest income
	  	 	—  	 	 	 	178	 	 	 	 	  	 	 	 	 	 	178	 
	 Intercompany management fee
	  	 	(900,000	)	 	 	900,000	 	 	 	 	  	 	 	 	 	 	—  	 
	 Other items, net
	  	 	3,239	 	 	 	(1,316,635	)	 	 	 	  	 	 	 	 	 	(1,313,396	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	(4,125,440	)	 	 	304,475	 	 	 	—  	  	 	—  	 	 	 	(3,820,965	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income before taxes
	  	 	1,892,097	 	 	 	(849,495	)	 	 	—  	  	 	—  	 	 	 	1,042,602	 
	 Income taxes
	  	 	411,881	 	 	 	13,002	 	 	 	 	  	 	 	 	 	 	424,883	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	1,480,216	 	 	 	(862,497	)	 	 	—  	  	 	—  	 	 	 	617,719	 
	 Cumulative effect-goodwill impairment
	  	 	(20,500,000	)	 	 	—  	 	 	 	 	  	 	 	 	 	 	(20,500,000	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net Income (loss)
	  	$	(19,019,784	)	 	$	(862,497	)	 	$	—  	  	$	—  	 	 	$	(19,882,281	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 EBITDA
	  	$	7,515,275	 	 	$	(1,148,618	)	 	 	 	  	 	 	 	 	$	6,366,657	 
	 Key Ratios:
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Gross margin
	  	 	23.1	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	23.1	%
	 SG&A expense to sales
	  	 	13.3	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	15.0	%
	 Operating margin
	  	 	9.0	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	7.3	%
	 EBITDA margin
	  	 	11.2	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	9.5	%

  

 Waterlink, Inc. Specialty Products Division 
 Consolidating Statement of Operations 
 Twelve Months Ended September 30, 2003 
  

																					
	 	  	 Barnebey
 Sutcliffe

	 	 	 1,6034492
 Sutcliffe
 Speakman

	 	 	 1,6034492
 Holding
Company

	 	 	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	47,910,669	 	 	$	19,368,509	 	 	$	—  	 	 	$	(421,221	)	 	$	66,857,957	 
	 Cost of goods sold
	  	 	37,272,637	 	 	 	14,553,383	 	 	 	—  	 	 	 	(421,221	)	 	 	51,404,799	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Gross profit
	  	 	10,638,032	 	 	 	4,815,126	 	 	 	—  	 	 	 	—  	 	 	 	15,453,158	 
	 Selling, general and admin. expense
	  	 	5,921,513	 	 	 	2,940,634	 	 	 	19,867	 	 	 	 	 	 	 	8,882,014	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	 	 	 	553,607	 	 	 	 	 	 	 	553,607	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	5,921,513	 	 	 	2,940,634	 	 	 	573,474	 	 	 	—  	 	 	 	9,435,621	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Operating income
	  	 	4,716,519	 	 	 	1,874,491	 	 	 	(573,474	)	 	 	—  	 	 	 	6,017,537	 
	 Other income (expense):
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Interest expenses
	  	 	(573	)	 	 	(43,668	)	 	 	—  	 	 	 	 	 	 	 	(44,241	)
	 Intercompany Interest expenses
	  	 	(2,395,571	)	 	 	—  	 	 	 	(788,867	)	 	 	 	 	 	 	(3,184,438	)
	 Interest Income
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Intercompany management fee
	  	 	(900,000	)	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(900,000	)
	 Other Items, net
	  	 	3,239	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	3,239	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	(3,292,905	)	 	 	(43,668	)	 	 	(788,867	)	 	 	—  	 	 	 	(4,125,440	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income before taxes
	  	 	1,423,614	 	 	 	1,830,823	 	 	 	(1,362,340	)	 	 	—  	 	 	 	1,892,097	 
	 Income taxes
	  	 	105,253	 	 	 	306,628	 	 	 	—  	 	 	 	 	 	 	 	411,881	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	1,318,361	 	 	 	1,524,196	 	 	 	(1,362,340	)	 	 	—  	 	 	 	1,480,216	 
	 Cumulative effect-goodwill impairment
	  	 	(14,000,000	)	 	 	(6,500,000	)	 	 	 	 	 	 	 	 	 	 	(20,500,000	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net income (loss)
	  	$	(12,681,639	)	 	$	(4,975,804	)	 	$	(1,362,340	)	 	$	—  	 	 	$	(19,019,784	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 EBITDA
	  	$	5,317,055	 	 	$	2,218,087	 	 	$	(19,867	)	 	$	—  	 	 	$	7,515,275	 
	 Key Ratios:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Gross margin
	  	 	22.2	%	 	 	24.9	%	 	 	0.0	%	 	 	#REFI	 	 	 	23.1	%
	 SG&A expense to sales
	  	 	12.4	%	 	 	15.2	%	 	 	-4.7	%	 	 	#REFI	 	 	 	13.3	%
	 Operating margin
	  	 	9.8	%	 	 	9.7	%	 	 	136.1	%	 	 	#REFI	 	 	 	9.0	%
	 EBITDA margin
	  	 	11.1	%	 	 	11.5	%	 	 	4.7	%	 	 	#REFI	 	 	 	11.2	%

  

 Waterlink, Inc. -Corporate Office 
 Consolidating Statement of Operations 
 Twelve Months Ended September 30, 2003 
  

																		
	 	  	Management

	 	 	Holdings

	  	Other
Adjustments

	  	Eliminations

	  	Consolidated

	 
	 Net sales
	  	$	—  	 	 	$	—  	  	 	 	  	 	 	  	$	—  	 
	 Cost of goods sold
	  	 	—  	 	 	 	—  	  	 	 	  	 	 	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Gross profit
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Selling, general and admin. expense
	  	 	1,153,970	 	 	 	—  	  	 	 	  	 	 	  	 	1,153,970	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	  	 	 	  	 	 	  	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	  	 	 	  	 	 	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	1,153,970	 	 	 	—  	  	 	—  	  	 	—  	  	 	1,153,970	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Operating Income
	  	 	(1,153,970	)	 	 	—  	  	 	—  	  	 	—  	  	 	(1,153,970	)
	 Other Income (expense):
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Interest expense
	  	 	(2,457,108	)	 	 	—  	  	 	 	  	 	 	  	 	(2,457,108	)
	 Intercompany Interest expense
	  	 	3,178,040	 	 	 	—  	  	 	 	  	 	 	  	 	3,178,040	 
	 Interest Income
	  	 	178	 	 	 	—  	  	 	 	  	 	 	  	 	178	 
	 Intercompany management fee
	  	 	900,000	 	 	 	—  	  	 	 	  	 	 	  	 	900,000	 
	 Other items, net
	  	 	(1,316,635	)	 	 	—  	  	 	 	  	 	 	  	 	(1,316,635	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	304,475	 	 	 	—  	  	 	—  	  	 	—  	  	 	304,475	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income before taxes
	  	 	(849,495	)	 	 	—  	  	 	—  	  	 	—  	  	 	(849,495	)
	 Income taxes
	  	 	13,002	 	 	 	—  	  	 	 	  	 	 	  	 	13,002	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income from continuing operations
	  	 	(862,497	)	 	 	—  	  	 	—  	  	 	—  	  	 	(862,497	)
	 Cumulative affect-goodwill impairment
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Net income (loss)
	  	$	(862,497	)	 	$	—  	  	$	—  	  	$	—  	  	$	(862,497	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 EBITDA
	  	$	(1,148,618	)	 	$	—  	  	 	 	  	 	 	  	$	(1,148,618	)
	 Key Ratios:
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Gross margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 SG&A expense to sales
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 Operating margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 EBITDA margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Operations 
 Quarter to Date September 30, 2003 
  

																				
	 	  	 Specialty
 Products

	 	 	Corporate

	 	 	 Other
 Adjustments

	  	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	18,720,868	 	 	$	—  	 	 	$	—  	  	$	—  	 	 	$	18,720,868	 
	 Cost of goods sold
	  	 	14,028,618	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	14,028,618	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Gross profit
	  	 	4,692,250	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	4,692,250	 
	 Selling, general and admin. expense
	  	 	2,227,666	 	 	 	226,525	 	 	 	—  	  	 	—  	 	 	 	2,454,191	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Amortization
	  	 	395,261	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	395,261	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	2,622,927	 	 	 	226,525	 	 	 	—  	  	 	—  	 	 	 	2,849,452	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Operating Income
	  	 	2,069,324	 	 	 	(226,525	)	 	 	—  	  	 	—  	 	 	 	1,842,799	 
	 Other income (expense):
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Interest expense
	  	 	(17,338	)	 	 	(1,142	)	 	 	—  	  	 	(1,491	)	 	 	(19,971	)
	 Intercompany interest expense
	  	 	(777,617	)	 	 	776,126	 	 	 	—  	  	 	1,491	 	 	 	0	 
	 Interest income
	  	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Intercompany management fee
	  	 	(225,000	)	 	 	225,000	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Other items, net
	  	 	206	 	 	 	(1,084,620	)	 	 	—  	  	 	—  	 	 	 	(1,084,414	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	(1,019,748	)	 	 	(84,636	)	 	 	—  	  	 	—  	 	 	 	(1,104,384	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income before taxes
	  	 	1,049,575	 	 	 	(311,161	)	 	 	—  	  	 	—  	 	 	 	738,414	 
	 Income taxes
	  	 	164,926	 	 	 	13,002	 	 	 	—  	  	 	—  	 	 	 	177,928	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	884,650	 	 	 	(324,163	)	 	 	—  	  	 	—  	 	 	 	560,487	 
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net Income (loss)
	  	$	884,650	 	 	$	(324,163	)	 	$	—  	  	$	—  	 	 	$	560,487	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 EBITDA
	  	$	2,750,945	 	 	$	(222,885	)	 	$	—  	  	$	—  	 	 	$	2,528,080	 
	 Key Ratios:
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Gross margin
	  	 	25.1	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	25.1	%
	 SG&A expense to sales
	  	 	11.9	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	13.1	%
	 Operating margin
	  	 	11.1	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	9.8	%
	 EBITDA margin
	  	 	14.7	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	13.5	%

  

 Waterlink, Inc.-Specialty Products Division 
 Consolidating Statement of Operations 
 Quarter to Date September 30, 2003 
  

																					
	 	  	Barnebey
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Holding
Company

	 	 	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	13,509,149	 	 	$	5,293,636	 	 	$	—  	 	 	$	(81,917	)	 	$	18,720,888	 
	 Cost of goods sold
	  	 	10,119,918	 	 	 	3,990,616	 	 	 	—  	 	 	 	(81,917	)	 	 	14,028,618	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Gross profit
	  	 	3,389,231	 	 	 	1,303,019	 	 	 	—  	 	 	 	—  	 	 	 	4,692,250	 
	 Selling, general and admin. expense
	  	 	1,443,299	 	 	 	769,394	 	 	 	14,972	 	 	 	—  	 	 	 	2,227,666	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	 	 	 	395,261	 	 	 	—  	 	 	 	395,261	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	1,443,299	 	 	 	769,394	 	 	 	410,233	 	 	 	—  	 	 	 	2,622,927	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Operating income
	  	 	1,945,932	 	 	 	533,625	 	 	 	(410,233	)	 	 	—  	 	 	 	2,069,324	 
	 Other income (expense):
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Interest expense
	  	 	485	 	 	 	(17,823	)	 	 	—  	 	 	 	—  	 	 	 	(17,338	)
	 Intercompany interest expense
	  	 	(585,689	)	 	 	—  	 	 	 	(191,928	)	 	 	—  	 	 	 	(777,617	)
	 Interest income
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Intercompany management fee
	  	 	(225,000	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(225,000	)
	 Other items, net
	  	 	206	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	206	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	(809,998	)	 	 	(17,823	)	 	 	(191,928	)	 	 	—  	 	 	 	(1,019,748	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income before taxes
	  	 	1,135,934	 	 	 	515,802	 	 	 	(602,161	)	 	 	—  	 	 	 	1,049,575	 
	 Income taxes
	  	 	72,253	 	 	 	92,673	 	 	 	—  	 	 	 	—  	 	 	 	164,926	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	1,063,681	 	 	 	423,130	 	 	 	(602,161	)	 	 	—  	 	 	 	884,650	 
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net income (loss)
	  	$	1,063,681	 	 	$	423,130	 	 	$	(602,161	)	 	$	—  	 	 	$	884,650	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 EBITDA
	  	$	2,143,718	 	 	$	622,200	 	 	$	(14,972	)	 	$	—  	 	 	 	2,750,945	 
	 Key Ratio:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Gross margin
	  	 	25.1	%	 	 	24.6	%	 	 	0.0	%	 	 	#REF!	 	 	 	25.1	%
	 SG&A expense to sales
	  	 	10.7	%	 	 	14.5	%	 	 	-18.3	%	 	 	#REF!	 	 	 	11.9	%
	 Operating margin
	  	 	14.4	%	 	 	10.1	%	 	 	500.8	%	 	 	#REF!	 	 	 	11.1	%
	 EBITDA margin
	  	 	15.9	%	 	 	11.8	%	 	 	18.3	%	 	 	#REF!	 	 	 	14.7	%

  

 Waterlink, Inc.-Corporate Office 
 Consolidating Statement of Operations 
 Quarter to Date September 30, 2003 
  

																		
	 	  	Management

	 	 	Holdings

	  	Other
Adjustments

	  	Eliminations

	  	Consolidated

	 
	 Net sales
	  	$	—  	 	 	$	—  	  	$	—  	  	$	—  	  	$	—  	 
	 Cost of goods sold
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Gross profit
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Selling, general and admin. expense
	  	 	226,525	 	 	 	—  	  	 	—  	  	 	—  	  	 	226,525	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	226,525	 	 	 	—  	  	 	—  	  	 	—  	  	 	226,525	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Operating income
	  	 	(226,525	)	 	 	—  	  	 	—  	  	 	—  	  	 	(226,525	)
	 Other income (expense):
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Interest expense
	  	 	(1,142	)	 	 	—  	  	 	—  	  	 	—  	  	 	(1,142	)
	 Intercompany interest expense
	  	 	776,126	 	 	 	—  	  	 	—  	  	 	—  	  	 	776,126	 
	 Interest income
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Intercompany management fee
	  	 	225,000	 	 	 	—  	  	 	—  	  	 	—  	  	 	225,000	 
	 Other items, net
	  	 	(1,084,620	)	 	 	—  	  	 	—  	  	 	—  	  	 	(1,084,620	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	(84,636	)	 	 	—  	  	 	—  	  	 	—  	  	 	(84,636	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income before taxes
	  	 	(311,161	)	 	 	—  	  	 	—  	  	 	—  	  	 	(311,161	)
	 Income taxes
	  	 	13,002	 	 	 	—  	  	 	—  	  	 	—  	  	 	13,002	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income from continuing operations
	  	 	(324,163	)	 	 	—  	  	 	—  	  	 	—  	  	 	(324,163	)
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Net income (loss)
	  	$	(324,163	)	 	$	—  	  	$	—  	  	$	—  	  	$	(324,163	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 EBITDA
	  	$	(222,865	)	 	$	—  	  	$	—  	  	$	—  	  	$	(222,865	)
	 Key Ratios:
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Gross margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 SG&A expense to sales
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 Operating margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 EBITDA margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Operations 
 Month Ended September 30, 2003 
  

																				
	 	  	Speciality
Products

	 	 	Corporate

	 	 	Other
Adjustments

	  	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	7,080,712	 	 	$	—  	 	 	$	—  	  	$	—  	 	 	$	7,080,712	 
	 Cost of goods sold
	  	 	5,135,029	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	5,135,029	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Gross profit
	  	 	1,945,683	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	1,945,683	 
	 Selling, general and admin. expense
	  	 	714,589	 	 	 	91,072	 	 	 	—  	  	 	—  	 	 	 	805,661	 
	 US. pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Amortization
	  	 	360,175	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	360,175	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	1,074,786	 	 	 	91,072	 	 	 	—  	  	 	—  	 	 	 	1,165,836	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Operating income
	  	 	870,919	 	 	 	(91,072	)	 	 	—  	  	 	—  	 	 	 	779,847	 
	 Other income (expense):
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Interest expense
	  	 	(13,152	)	 	 	(414	)	 	 	—  	  	 	(1,807	)	 	 	(15,373	)
	 Intercompany interest expense
	  	 	(387,473	)	 	 	385,667	 	 	 	—  	  	 	1,807	 	 	 	1	 
	 Interest income
	  	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Intercompany management fee
	  	 	(75,000	)	 	 	75,000	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Other items, net
	  	 	—  	 	 	 	(390,827	)	 	 	—  	  	 	—  	 	 	 	(390,827	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	(475,626	)	 	 	69,426	 	 	 	—  	  	 	—  	 	 	 	(406,200	)
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income before taxes
	  	 	395,293	 	 	 	(21,646	)	 	 	—  	  	 	—  	 	 	 	373,647	 
	 Income taxes
	  	 	81,879	 	 	 	13,002	 	 	 	—  	  	 	—  	 	 	 	94,881	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	313,414	 	 	 	(34,648	)	 	 	—  	  	 	—  	 	 	 	278,766	 
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	 	 	 	 	  	 	 	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net income (loss)
	  	$	313,414	 	 	$	(34,648	)	 	$	—  	  	$	—  	 	 	$	278,766	 
	 	  	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 EBITDA
	  	$	1,368,477	 	 	$	(87,788	)	 	$	—  	  	$	—  	 	 	$	1,280,689	 
	 Key Ratios:
	  	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Gross margin
	  	 	27.5	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	27.5	%
	 SG&A expense to sales
	  	 	10.1	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	11.4	%
	 Operating margin
	  	 	12.3	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	11.0	%
	 EBITDA margin
	  	 	19.3	%	 	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	 	 	 	18.1	%

  

 Waterlink, Inc. Speciality Products Division 
 Consolidating Statement of Opoerations 
 Month Ended September 30, 2003 
  

																					
	 	  	 Barnebey
 Sutcliffe

	 	 	 Sutcliffe
 Speakman

	 	 	Holding
Company

	 	 	Eliminations

	 	 	Consolidated

	 
	 Net sales
	  	$	5,147,658	 	 	$	1,950,419	 	 	$	—  	 	 	$	(17,365	)	 	$	7,080,712	 
	 Cost of goods sold
	  	 	3,729,203	 	 	 	1,423,191	 	 	 	—  	 	 	 	(17,365	)	 	 	5,135,029	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Gross profit
	  	 	1,418,455	 	 	 	527,228	 	 	 	—  	 	 	 	—  	 	 	 	1,945,683	 
	 Selling, general and admin. expense
	  	 	431,507	 	 	 	268,267	 	 	 	14,815	 	 	 	—  	 	 	 	714,589	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	 	 	 	360,175	 	 	 	—  	 	 	 	360,175	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	431,507	 	 	 	268,267	 	 	 	374,990	 	 	 	—  	 	 	 	1,074,764	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Operating income
	  	 	986,948	 	 	 	258,961	 	 	 	(374,990	)	 	 	—  	 	 	 	870,919	 
	 Other income (expense):
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Interest expense
	  	 	—  	 	 	 	(13,152	)	 	 	—  	 	 	 	—  	 	 	 	(13,152	)
	 Intercompany interest expense
	  	 	(195,229	)	 	 	—  	 	 	 	(192,244	)	 	 	—  	 	 	 	(387,473	)
	 Interest income
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 Intercompany management fee
	  	 	(75,000	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(75,000	)
	 Other items, net
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	(270,229	)	 	 	(13,152	)	 	 	(192,244	)	 	 	—  	 	 	 	(475,626	)
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income before taxes
	  	 	716,719	 	 	 	245,808	 	 	 	(567,234	)	 	 	—  	 	 	 	395,293	 
	 Income taxes
	  	 	70,253	 	 	 	11,626	 	 	 	—  	 	 	 	—  	 	 	 	81,879	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Income from continuing operations
	  	 	646,466	 	 	 	234,182	 	 	 	(567,234	)	 	 	—  	 	 	 	313,414	 
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net income (loss)
	  	$	646,466	 	 	$	234,182	 	 	$	(567,234	)	 	$	—  	 	 	$	313,414	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 EBITDA
	  	$	1,095,234	 	 	$	288,059	 	 	$	(14,815	)	 	$	—  	 	 	$	1,368,477	 
	 Key Ratios
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Gross margin
	  	 	27.6	%	 	 	27.0	%	 	 	0.0	%	 	 	#REF!	 	 	 	27.5	%
	 SG&A expense to sales
	  	 	8.4	%	 	 	13.8	%	 	 	-85.3	%	 	 	#REF!	 	 	 	10.1	%
	 Operating margin
	  	 	19.2	%	 	 	13.3	%	 	 	2159.4	%	 	 	#REF!	 	 	 	12.3	%
	 EBITDA margin
	  	 	21.3	%	 	 	14.8	%	 	 	85.3	%	 	 	#REF!	 	 	 	19.3	%

  

 Waterlink, Inc. -Corporate Office 
 Consolidating Statement of Operations 
 Month Ended September 30, 2003 
  

																		
	 	  	Management

	 	 	Holdings

	  	Other
Adjustments

	  	Eliminations

	  	Consolidated

	 
	 Net sales
	  	$	—  	 	 	$	—  	  	$	—  	  	$	—  	  	$	—  	 
	 Cost of goods sold
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Gross profit
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Selling, general and admin. expense
	  	 	91,072	 	 	 	—  	  	 	—  	  	 	—  	  	 	91,072	 
	 US pension adjustment
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Amortization
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	91,072	 	 	 	—  	  	 	—  	  	 	—  	  	 	91,072	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Operating income
	  	 	(91,072	)	 	 	—  	  	 	—  	  	 	—  	  	 	(91,072	)
	 Other income (expense):
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Interest expense
	  	 	(414	)	 	 	—  	  	 	—  	  	 	—  	  	 	(414	)
	 Intercompany interest expense
	  	 	385,667	 	 	 	—  	  	 	—  	  	 	—  	  	 	385,667	 
	 Interest income
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 Intercompany management fee
	  	 	75,000	 	 	 	—  	  	 	—  	  	 	—  	  	 	75,000	 
	 Other items, net
	  	 	(390,827	)	 	 	—  	  	 	—  	  	 	—  	  	 	(390,827	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 	  	 	69,426	 	 	 	—  	  	 	—  	  	 	—  	  	 	69,426	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income before taxes
	  	 	(21,646	)	 	 	—  	  	 	—  	  	 	—  	  	 	(21,646	)
	 Income taxes
	  	 	13,002	 	 	 	—  	  	 	—  	  	 	—  	  	 	13,002	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Income from continuing operations
	  	 	(34,648	)	 	 	—  	  	 	—  	  	 	—  	  	 	(34,648	)
	 Cumulative effect-goodwill impairment
	  	 	—  	 	 	 	—  	  	 	—  	  	 	—  	  	 	—  	 
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 Net Income (loss)
	  	$	(34,648	)	 	$	—  	  	$	—  	  	$	—  	  	$	(34,648	)
	 	  	
	
	
	 	
	
	  	
	
	  	
	
	  	
	
	

	 EBITDA
	  	$	(87,788	)	 	$	—  	  	$	—  	  	$	—  	  	$	(87,788	)
	 Key Ratios:
	  	 	 	 	 	 	 	  	 	 	  	 	 	  	 	 	 
	 Gross margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 SG&A expense to sales
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 Operating margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 
	 EBITDA margin
	  	 	#DIV/0!	 	 	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	  	 	#DIV/0!	 

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Cash Flows 
 Twelve Months Ended September 30, 2003 
  

																													
	 YTD exchange rate

	  	Barnebey
Sutcliffe

	 	 	1,60345
Sutcliffe
Speakman

	 	 	1,60345
UK Holding
Company

	 	 	Waterlink
Management

	 	 	Waterlink
Holdings

	 	 	Eliminations
& Other

	 	 	Total

	 
	 Operating Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Income (loss) from continuing operations
	  	$	1,318,361	 	 	$	1,524,196	 	 	$	(1,362,340	)	 	$	(862,497	)	 	$	—  	 	 	$	—  	 	 	$	617,719	 
	 Adjustments to reconcile income (loss) to cash provided (used) by operating activities:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Depreciation and amortization
	  	 	600,536	 	 	 	2,309,841	 	 	 	(1,412,639	)	 	 	287,843	 	 	 	—  	 	 	 	 	 	 	 	1,785,581	 
	 Deferred income taxes
	  	 	(318,654	)	 	 	306,629	 	 	 	—  	 	 	 	331,656	 	 	 	—  	 	 	 	 	 	 	 	319,631	 
	 Other
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Changes in working capital:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Accounts receivable
	  	 	(1,268,843	)	 	 	(444,420	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(1,713,263	)
	 Intercompany receivables
	  	 	1,980	 	 	 	(4,139,689	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	4,137,709	 	 	 	—  	 
	 Inventories
	  	 	580,029	 	 	 	450,419	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	1,030,448	 
	 Costs in excess of billings
	  	 	465,142	 	 	 	176,389	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	641,531	 
	 Prepaids and other assets
	  	 	(246,814	)	 	 	(21,530	)	 	 	(561	)	 	 	(205,603	)	 	 	—  	 	 	 	 	 	 	 	(474,508	)
	 Accounts payable
	  	 	735,304	 	 	 	(1,195,493	)	 	 	—  	 	 	 	(22,471	)	 	 	—  	 	 	 	 	 	 	 	(482,660	)
	 Intercompany payables
	  	 	169,982	 	 	 	(3,901	)	 	 	3,981,759	 	 	 	—  	 	 	 	(54	)	 	 	(4,147,786	)	 	 	—  	 
	 Accrued expenses
	  	 	74,664	 	 	 	(495,920	)	 	 	(1,122	)	 	 	(7,726	)	 	 	—  	 	 	 	 	 	 	 	(430,104	)
	 Billings in excess of cost
	  	 	555,241	 	 	 	47,055	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	602,296	 
	 Accrued income taxes
	  	 	16,931	 	 	 	38,427	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	55,358	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by operating activities
	  	 	2,683,859	 	 	 	(1,447,998	)	 	 	1,205,096	 	 	 	(478,798	)	 	 	(54	)	 	 	(10,077	)	 	 	1,952,029	 
	 Investing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Purchases of equipment, net
	  	 	(744,261	)	 	 	(470,179	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(1,214,440	)
	 Sale of businesses, net
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	 	 	 	 	250,000	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by investing activities
	  	 	(744,261	)	 	 	(470,179	)	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	—  	 	 	 	(964,440	)
	 Financing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Proceeds from long-term borrowings
	  	 	—  	 	 	 	906,415	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	906,415	 
	 Payments on long-term borrowings
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1,743,210	)	 	 	—  	 	 	 	 	 	 	 	(1,743,210	)
	 Intercompany long-term borrowings
	  	 	(79,237	)	 	 	—  	 	 	 	(1,219,110	)	 	 	1,287,702	 	 	 	—  	 	 	 	10,645	 	 	 	—  	 
	 Proceeds from sale of common stock
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(81,821	)	 	 	54	 	 	 	81,821	 	 	 	54	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by financing activities
	  	 	(79,237	)	 	 	906,415	 	 	 	(1,219,110	)	 	 	(537,329	)	 	 	54	 	 	 	92,466	 	 	 	(836,741	)
	 Cash flows from discontinued operations
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	(81,821	)	 	 	(81,821	)
	 Effect of exchange rate changes on cash
	  	 	—  	 	 	 	69,169	 	 	 	(1,168	)	 	 	—  	 	 	 	—  	 	 	 	(569	)	 	 	67,432	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Increase (decrease) in cash
	  	 	1,860,361	 	 	 	(942,593	)	 	 	(15,182	)	 	 	(766,127	)	 	 	—  	 	 	 	—  	 	 	 	136,459	 
	 Cash at beginning of period
	  	 	(20,295	)	 	 	1,786,288	 	 	 	(11,151	)	 	 	775,046	 	 	 	—  	 	 	 	—  	 	 	 	2,529,888	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Cash at end of period
	  	$	1,840,066	 	 	$	843,695	 	 	$	(26,333	)	 	$	8,919	 	 	$	—  	 	 	$	—  	 	 	$	2,666,347	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	(0	)	 	 	(0	)	 	 	ok	 	 	 	ok	 	 	 	 	 	 	 	(0	)

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Cash Flows 
 Quarter to Date September 30, 2003 
  

																												
	 	  	Barnebey
Sutcliffe

	 	 	Sutcliffe
Carbons

	 	 	UK Holding
Company

	 	 	Waterlink
Management

	 	 	Waterlink
Holdings

	  	Eliminations
& Other

	 	 	Total

	 
	 Operating Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Income (loss) from continuing operations
	  	$	1,063,681	 	 	$	581,476	 	 	$	(760,507	)	 	$	(324,163	)	 	$	—  	  	$	—  	 	 	$	560,487	 
	 Adjustments to reconcile income (loss) to cash provided (used) by operating activities:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Depreciation and amortization
	  	 	197,786	 	 	 	2,054,820	 	 	 	(1,412,639	)	 	 	54,289	 	 	 	—  	  	 	—  	 	 	 	894,256	 
	 Deferred income taxes
	  	 	(318,654	)	 	 	92,673	 	 	 	—  	 	 	 	331,656	 	 	 	—  	  	 	—  	 	 	 	105,675	 
	 Other
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Changes in working capital:
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	 	 
	 Accounts receivable
	  	 	106,832	 	 	 	(533,902	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(427,070	)
	 Intercompany receivables
	  	 	15,257	 	 	 	(2,135,327	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	2,120,070	 	 	 	—  	 
	 Inventories
	  	 	(468,395	)	 	 	401,433	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(66,962	)
	 Costs in excess of billings
	  	 	(543,524	)	 	 	178,016	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(365,508	)
	 Prepaids and other assets
	  	 	(357,747	)	 	 	(185,177	)	 	 	(561	)	 	 	535,033	 	 	 	—  	  	 	—  	 	 	 	(8,452	)
	 Accounts payable
	  	 	734,106	 	 	 	56,931	 	 	 	—  	 	 	 	11,257	 	 	 	—  	  	 	—  	 	 	 	802,294	 
	 Intercompany payables
	  	 	153,900	 	 	 	(14,864	)	 	 	1,987,206	 	 	 	—  	 	 	 	—  	  	 	(2,126,242	)	 	 	—  	 
	 Accrued expenses
	  	 	175,079	 	 	 	(416,047	)	 	 	9,962	 	 	 	194,658	 	 	 	—  	  	 	—  	 	 	 	(36,349	)
	 Billings in excess of cost
	  	 	(391,682	)	 	 	4,416	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(387,266	)
	 Accrued income taxes
	  	 	62,565	 	 	 	(1,817	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	60,748	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by operating activities
	  	 	429,204	 	 	 	82,631	 	 	 	(176,539	)	 	 	802,730	 	 	 	—  	  	 	(6,172	)	 	 	1,131,854	 
	 Investing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Purchases of equipment, net
	  	 	(30,798	)	 	 	(227,538	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(258,336	)
	 Sale of businesses, net
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by investing activities
	  	 	(30,798	)	 	 	(227,538	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(258,336	)
	 Financing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Proceeds from long-term borrowings
	  	 	—  	 	 	 	68,000	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	68,000	 
	 Payments on long-term borrowings
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Intercompany long-term borrowings
	  	 	620,741	 	 	 	—  	 	 	 	170,986	 	 	 	(795,180	)	 	 	—  	  	 	3,453	 	 	 	—  	 
	 Proceeds from sale of common stock
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(972	)	 	 	—  	  	 	972	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by financing activities
	  	 	620,741	 	 	 	68,000	 	 	 	170,986	 	 	 	(796,152	)	 	 	—  	  	 	4,425	 	 	 	68,000	 
	 Cash flows from discontinued operations
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	(972	)	 	 	(972	)
	 Effect of exchange rate changes on cash
	  	 	—  	 	 	 	2,936	 	 	 	(253	)	 	 	—  	 	 	 	—  	  	 	2,719	 	 	 	5,402	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Increase (decrease) in cash
	  	 	1,019,147	 	 	 	(73,971	)	 	 	(5,806	)	 	 	6,578	 	 	 	—  	  	 	(0	)	 	 	945,948	 
	 Cash at beginning of period
	  	 	820,919	 	 	 	917,666	 	 	 	(20,527	)	 	 	2,341	 	 	 	—  	  	 	—  	 	 	 	1,720,399	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Cash at end of period
	  	$	1,840,066	 	 	$	843,695	 	 	$	(26,333	)	 	$	8,919	 	 	$	—  	  	$	(0	)	 	$	2,666,347	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	(0	)	 	 	(0	)	 	 	ok	 	 	 	ok	  	 	0	 	 	 	ok	 

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Cash Flows 
 Month Ended September 30, 2003 
  

																												
	 	  	Barnebay
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	UK Holding
Company

	 	 	Waterlink
Management

	 	 	Waterlink
Holdings

	  	Eliminations
& Other

	 	 	Total

	 
	 Operating Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Income (loss) from continuing operations
	  	$	646,466	 	 	$	427,614	 	 	$	(760,666	)	 	$	(34,648	)	 	$	—  	  	$	—  	 	 	$	278,766	 
	 Adjustments to reconcile Income (loss) to cash provided (used) by operating activities:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Depreciation and amortization
	  	 	108,286	 	 	 	1,995,343	 	 	 	(1,412,639	)	 	 	20,160	 	 	 	—  	  	 	—  	 	 	 	711,150	 
	 Deferred income taxes
	  	 	(318,654	)	 	 	11,626	 	 	 	—  	 	 	 	331,656	 	 	 	—  	  	 	—  	 	 	 	24,628	 
	 Other
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Change in working capital:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Accounts receivable
	  	 	368,569	 	 	 	(550,574	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(182,005	)
	 Intercompany receivables
	  	 	(985	)	 	 	(2,104,432	)	 	 	—  	 	 	 	363,333	 	 	 	—  	  	 	1,742,084	 	 	 	—  	 
	 Inventories
	  	 	83,837	 	 	 	266,577	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	350,414	 
	 Costs in excess of billings
	  	 	(644,874	)	 	 	319,362	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(325,512	)
	 Prepaids and other assets
	  	 	(346,871	)	 	 	(169,409	)	 	 	(2	)	 	 	(53,277	)	 	 	—  	  	 	—  	 	 	 	(569,559	)
	 Accounts payable
	  	 	825,371	 	 	 	635,883	 	 	 	—  	 	 	 	8,545	 	 	 	—  	  	 	—  	 	 	 	1,469,799	 
	 Intercompany payables
	  	 	(235,240	)	 	 	(12	)	 	 	1,988,264	 	 	 	—  	 	 	 	—  	  	 	(1,753,012	)	 	 	—  	 
	 Accrued expenses
	  	 	(444,874	)	 	 	(511,367	)	 	 	13,153	 	 	 	169,511	 	 	 	—  	  	 	—  	 	 	 	(773,577	)
	 Billings in excess of cost
	  	 	(572,591	)	 	 	717	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(571,874	)
	 Accrued income taxes
	  	 	60,625	 	 	 	(2,752	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	57,873	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by operating activities
	  	 	(470,935	)	 	 	318,577	 	 	 	(171,889	)	 	 	805,280	 	 	 	—  	  	 	(10,928	)	 	 	470,105	 
	 Investing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Purchases of equipment, net
	  	 	—  	 	 	 	(67,165	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(67,165	)
	 Sale of businesses, net
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by Investing activities
	  	 	—  	 	 	 	(67,165	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(67,165	)
	 Financing Activities
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	  	 	 	 	 	 	 	 
	 Proceeds from long-term borrowings
	  	 	—  	 	 	 	(206,859	)	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	(206,859	)
	 Payments on long-term borrowings
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	—  	 	 	 	—  	 
	 Intercompany long-term borrowings
	  	 	620,741	 	 	 	—  	 	 	 	170,249	 	 	 	(803,179	)	 	 	—  	  	 	12,189	 	 	 	—  	 
	 Proceeds from sale of common stock
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(972	)	 	 	—  	  	 	972	 	 	 	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Net cash provided (used) by financing activities
	  	 	620,741	 	 	 	(206,859	)	 	 	170,249	 	 	 	(804,151	)	 	 	—  	  	 	13,161	 	 	 	(206,859	)
	 Cash flows from discontinued operations
	  	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	  	 	(972	)	 	 	(972	)
	 Effect of exchange rate changes on cash
	  	 	—  	 	 	 	44,462	 	 	 	(1,249	)	 	 	—  	 	 	 	—  	  	 	(1,261	)	 	 	41,952	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Increase (decrease) in cash
	  	 	149,806	 	 	 	89,016	 	 	 	(2,890	)	 	 	1,129	 	 	 	—  	  	 	—  	 	 	 	237,061	 
	 Cash at beginning of period
	  	 	1,690,260	 	 	 	754,679	 	 	 	(23,443	)	 	 	7,790	 	 	 	—  	  	 	—  	 	 	 	2,429,286	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 Cash at end of period
	  	$	1,840,066	 	 	$	843,695	 	 	$	(26,333	)	 	$	8,919	 	 	$	—  	  	$	—  	 	 	$	2,666,347	 
	 	  	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	  	
	
	
	 	
	
	

	 	  	 	ok	 	 	 	(0	)	 	 	(0	)	 	 	ok	 	 	 	ok	  	 	ok	 	 	 	ok	 

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Cash Flows 
 Prior Month Year to Date 
  

																													
	 YTD exchange rate

	 	Barnebay
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	UK Holding
Company

	 	 	Waterlink
Management

	 	 	Waterlink
Holdings

	 	 	Eliminations
& Other

	 	 	Total

	 
	 Operating Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Income (loss) from continuing operations
	 	$	671,895	 	 	$	1,096,581	 	 	$	(601,674	)	 	$	(827,849	)	 	$	—  	 	 	$	—  	 	 	$	338,954	 
	 Adjustments to reconcile income (loss) to cash provided (used) by operating activities:
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Depreciation and amortization
	 	 	492,250	 	 	 	314,498	 	 	 	—  	 	 	 	267,683	 	 	 	—  	 	 	 	 	 	 	 	1,074,431	 
	 Deferred income taxes
	 	 	—  	 	 	 	295,003	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	295,003	 
	 Other
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Changes in working captial:
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	—  	 	 	 	 	 	 	 	 	 
	 Accounts receivable
	 	 	(1,637,412	)	 	 	106,154	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(1,531,258	)
	 Intercompany receivables
	 	 	2,965	 	 	 	(2,035,257	)	 	 	—  	 	 	 	(363,333	)	 	 	—  	 	 	 	2,395,625	 	 	 	—  	 
	 Inventories
	 	 	496,192	 	 	 	183,842	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	680,034	 
	 Costs in excess of billings
	 	 	1,110,016	 	 	 	(142,973	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	967,043	 
	 Prepaids and other assets
	 	 	100,057	 	 	 	147,879	 	 	 	(560	)	 	 	(152,326	)	 	 	—  	 	 	 	 	 	 	 	95,051	 
	 Accounts payable
	 	 	(90,067	)	 	 	(1,831,377	)	 	 	—  	 	 	 	(31,016	)	 	 	—  	 	 	 	 	 	 	 	(1,952,460	)
	 Intercompany payables
	 	 	405,222	 	 	 	(3,889	)	 	 	1,993,495	 	 	 	—  	 	 	 	(54	)	 	 	(2,394,773	)	 	 	—  	 
	 Accrued expenses
	 	 	519,538	 	 	 	15,447	 	 	 	(14,276	)	 	 	(177,237	)	 	 	—  	 	 	 	 	 	 	 	343,473	 
	 Billings in excess of cost
	 	 	1,127,832	 	 	 	46,337	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	1,174,169	 
	 Accrued income taxes
	 	 	(43,694	)	 	 	41,179	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(2,515	)
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by operating activities
	 	 	3,154,794	 	 	 	(1,766,575	)	 	 	1,376,986	 	 	 	(1,284,078	)	 	 	(54	)	 	 	852	 	 	 	1,481,924	 
	 Investing Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Purchases of equipment, net
	 	 	(744,261	)	 	 	(403,015	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(1,147,276	)
	 Sale of businesses, net
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	 	 	 	 	250,000	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by investing activities
	 	 	(744,261	)	 	 	(403,015	)	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	—  	 	 	 	(897,276	)
	 Financing Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Proceeds from long-term borrowings
	 	 	—  	 	 	 	1,113,274	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	1,113,274	 
	 Payments on long-term borrowings
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1,743,210	)	 	 	—  	 	 	 	 	 	 	 	(1,743,210	)
	 Intercompany long-term borrowings
	 	 	(699,978	)	 	 	—  	 	 	 	(1,389,359	)	 	 	2,090,881	 	 	 	—  	 	 	 	(1,544	)	 	 	—  	 
	 Proceeds from sale of common stock
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(80,849	)	 	 	54	 	 	 	80,849	 	 	 	54	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by financing activities
	 	 	(699,978	)	 	 	1,113,274	 	 	 	(1,389,359	)	 	 	266,822	 	 	 	54	 	 	 	79,305	 	 	 	(629,882	)
	 Cash flows from discontinued operations
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	(80,849	)	 	 	(80,849	)
	 Effect of exchange rate changes on cash
	 	 	—  	 	 	 	24,707	 	 	 	81	 	 	 	—  	 	 	 	—  	 	 	 	692	 	 	 	25,480	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Increase (decrease) in cash
	 	 	1,710,555	 	 	 	(1,031,609	)	 	 	(12,292	)	 	 	(767,256	)	 	 	—  	 	 	 	—  	 	 	 	(100,602	)
	 Cash at beginning of period
	 	 	(20,295	)	 	 	1,786,288	 	 	 	(11,151	)	 	 	775,046	 	 	 	—  	 	 	 	—  	 	 	 	2,529,888	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Cash at end of period
	 	$	1,690,260	 	 	$	754,679	 	 	$	(23,443	)	 	 	7,790	 	 	$	—  	 	 	$	—  	 	 	$	2,429,286	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

  

 Waterlink, Inc. and Subsidiaries 
 Consolidating Statement of Cash Flows 
 Prior Quarter Year to Date 
  

																													
	 YTD exchange rate

	 	Barnebey
Sutcliffe

	 	 	 Sutcliffe
 Speakman

	 	 	UK Holding
Company

	 	 	Waterlink
Management

	 	 	Waterlink
Holdings

	 	 	Eliminations
& Other

	 	 	Total

	 
	 Operating Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Income (loss) from continuing operations
	 	$	254,680	 	 	$	942,720	 	 	$	(601,833	)	 	$	(538,334	)	 	$	—  	 	 	$	—  	 	 	$	57,232	 
	 Adjustments to reconcile income (loss) to cash provided (used) by operating activities:
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Depreciation and amortization
	 	 	402,750	 	 	 	255,021	 	 	 	—  	 	 	 	233,554	 	 	 	—  	 	 	 	 	 	 	 	891,325	 
	 Deferred income taxes
	 	 	—  	 	 	 	213,956	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	213,956	 
	 Other
	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	—  	 
	 Changes in working captial:
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Accounts receivable
	 	 	(1,375,675	)	 	 	89,482	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(1,286,193	)
	 Intercompany receivables
	 	 	(13,277	)	 	 	(2,004,362	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	2,017,639	 	 	 	—  	 
	 Inventories
	 	 	1,048,424	 	 	 	48,985	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	1,097,409	 
	 Costs in excess of billings
	 	 	1,008,666	 	 	 	(1,627	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	1,007,039	 
	 Prepaids and other assets
	 	 	110,933	 	 	 	163,647	 	 	 	—  	 	 	 	(740,636	)	 	 	—  	 	 	 	 	 	 	 	(466,056	)
	 Accounts payable
	 	 	1,198	 	 	 	(1,252,424	)	 	 	—  	 	 	 	(33,728	)	 	 	—  	 	 	 	 	 	 	 	(1,284,954	)
	 Intercompany payables
	 	 	16,082	 	 	 	10,963	 	 	 	1,994,553	 	 	 	—  	 	 	 	(54	)	 	 	(2,021,543	)	 	 	—  	 
	 Accrued expenses
	 	 	(100,415	)	 	 	(79,872	)	 	 	(11,084	)	 	 	(202,384	)	 	 	—  	 	 	 	 	 	 	 	(393,755	)
	 Billings in excess of cost
	 	 	946,923	 	 	 	42,638	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	989,561	 
	 Accrued Income taxes
	 	 	(45,634	)	 	 	40,244	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(5,390	)
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by operating activities
	 	 	2,254,655	 	 	 	(1,530,629	)	 	 	1,381,635	 	 	 	(1,281,528	)	 	 	(54	)	 	 	(3,904	)	 	 	820,174	 
	 Investing Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Purchases of equipment, net
	 	 	(713,463	)	 	 	(242,641	)	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	(956,104	)
	 Sale of businesses, net
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	 	 	 	 	250,000	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by investing activities
	 	 	(713,463	)	 	 	(242,641	)	 	 	—  	 	 	 	250,000	 	 	 	—  	 	 	 	—  	 	 	 	(706,104	)
	 Financing Activities
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Proceeds from long-term borrowings
	 	 	—  	 	 	 	838,416	 	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	838,416	 
	 Payments on long-term borrowings
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(1,743,210	)	 	 	—  	 	 	 	 	 	 	 	(1,743,210	)
	 Intercompany long-term borrowings
	 	 	(699,978	)	 	 	—  	 	 	 	(1,390,096	)	 	 	2,082,882	 	 	 	—  	 	 	 	7,192	 	 	 	—  	 
	 Proceeds from sale of common stock
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	(80,849	)	 	 	54	 	 	 	80,849	 	 	 	54	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Net cash provided (used) by financing activities
	 	 	(699,978	)	 	 	838,416	 	 	 	(1,390,096	)	 	 	258,823	 	 	 	54	 	 	 	88,041	 	 	 	(904,740	)
	 Cash flows from discontinued operations
	 	 	—  	 	 	 	—  	 	 	 	—  	 	 	 	 	 	 	 	 	 	 	 	(80,849	)	 	 	(80,849	)
	 Effect of exchange rate changes on cash
	 	 	—  	 	 	 	66,233	 	 	 	(915	)	 	 	—  	 	 	 	—  	 	 	 	(3,288	)	 	 	62,030	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Increase (decrease) in cash
	 	 	841,214	 	 	 	(868,622	)	 	 	(9,376	)	 	 	(772,705	)	 	 	—  	 	 	 	—  	 	 	 	(809,489	)
	 Cash at beginning of period
	 	 	(20,295	)	 	 	1,786,288	 	 	 	(11,151	)	 	 	775,046	 	 	 	—  	 	 	 	—  	 	 	 	2,529,888	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

	 Cash at end of period
	 	$	820,919	 	 	$	917,666	 	 	$	(20,527	)	 	$	2,341	 	 	$	—  	 	 	$	—  	 	 	$	1,720,399	 
	 	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	
	 	
	
	

  

 Balance Sheet Disclosures and Details 
 Waterlink, Inc. 
 September 30, 2003 
  

												
	 	  	 A/R
 Allowance

	 	 	 A/A
 Goodwill

	 	 	 	 	 	Headcount

	 Allowances
	  	 	 	 	 	 	 	 	 	 	 
	 Barnebey Sutcliffe
	  	261,176	 	 	15,795,939	 	 	 	 	 	175
	 Sutcliffe Speakman
	  	33,230	 	 	8,069,188	 	 	 	 	 	68
	 UK Holdings
	  	—  	 	 	—  	 	 	 	 	 	—  
	 	  	
	
	 	
	
	 	 	 	 	

	 Specialty Products Total
	  	294,406	 	 	23,865,127	 	 	 	 	 	243
	 Waterlink Management
	  	—  	 	 	—  	 	 	 	 	 	1
	 	  	
	
	 	
	
	 	 	 	 	

	 Consolidated
	  	294,406	 	 	23,865,127	 	 	 	 	 	244
	 	  	
	
	 	
	
	 	 	 	 	

					
	 	  	 Raw Mat’_s
 $ Supplies

	 	 	 Work in
 Process

	 	 	 Finished
 Goods

	 	 	Total

	 Inventory Detail
	  	 	 	 	 	 	 	 	 	 	 
	 Barnebey Sutcliffe
	  	2,917,482	 	 	1,560,702	 	 	3,348,810	 	 	7,826,994
	 Sutcliffe Speakman
	  	1,078,031	 	 	172,063	 	 	529,512	 	 	1,779,605
	 UK Holdings
	  	—  	 	 	—  	 	 	—  	 	 	—  
	 	  	
	
	 	
	
	 	
	
	 	

	 Specialty Products Total
	  	3,995,513	 	 	1,732,765	 	 	3,878,322	 	 	9,606,599
	 Waterlink Management
	  	—  	 	 	—  	 	 	—  	 	 	—  
	 	  	
	
	 	
	
	 	
	
	 	

	 Consolidated
	  	3,995,513	 	 	1,732,765	 	 	3,878,322	 	 	9,606,599
	 	  	
	
	 	
	
	 	
	
	 	

	 	  	 	 	 	 	 	 	 	 	 	ok
					
	 	  	 Land, Bldgs.
 & Improve

	 	 	 Machinery
 & Equip.

	 	 	 Office
 Equipment

	 	 	Total

	 Fixed Asset Detail
	  	 	 	 	 	 	 	 	 	 	 
	 Barnebey Sutcliffe
	  	1,226,258	 	 	4,500,690	 	 	356,195	 	 	6,083,143
	 Sutcliffe Speakman
	  	884,847	 	 	2,867,730	 	 	473,469	 	 	4,226,046
	 UK Holdings
	  	—  	 	 	—  	 	 	—  	 	 	—  
	 	  	
	
	 	
	
	 	
	
	 	

	 Specialty Products Total
	  	2,111,105	 	 	7,368,420	 	 	829,664	 	 	10,309,189
	 Waterlink Management
	  	—  	 	 	—  	 	 	12,532	 	 	12,532
	 	  	
	
	 	
	
	 	
	
	 	

	 Consolidated
	  	2,111,105	 	 	7,368,420	 	 	842,196	 	 	10,321,721
	 	  	
	
	 	
	
	 	
	
	 	

	 	  	 	 	 	 	 	 	 	 	 	ok
					
	 	  	 Barnebey
 Sutcliffe

	 	 	 Sutcliffe
 Speakman

	 	 	Total

	 	 	 
	 Contract Billing Status
	  	 	 	 	 	 	 	 	 	 	 
	 Contract costs incurred
	  	8,215,539	 	 	5,432,456	 	 	13,647,995	 	 	 
	 Estimated profits
	  	3,075,267	 	 	2,544,740	 	 	5,620,007	 	 	 
	 	  	
	
	 	
	
	 	
	
	 	 
	 Contract revenue earned
	  	11,290,806	 	 	7,977,196	 	 	19,268,002	 	 	 
	 Less billings
	  	11,250,278	 	 	7,689,488	 	 	18,939,766	 	 	 
	 	  	
	
	 	
	
	 	
	
	 	 
	 Net position
	  	40,528	 	 	287,708	 	 	328,236	 	 	 
	 	  	
	
	 	
	
	 	
	
	 	 
	 Costs in excess of billings
	  	784,840	 	 	382,377	 	 	1,167,217	 	 	 
	 Billings in excess of costs
	  	(744,312	)	 	(94,668	)	 	(838,980	)	 	 
	 	  	
	
	 	
	
	 	
	
	 	 
	 Net position
	  	40,528	 	 	287,709	 	 	328,237	 	 	 
	 	  	
	
	 	
	
	 	
	
	 	 
	 	  	(0	)	 	(1	)	 	(1	)	 	 

  

 Year-to-Date Backlog Progression 
 Waterlink, Inc. 
 September 30, 2003 
  

													
	 	  	Barnebey
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Total Backlog
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	12,851,533	 	 	$	2,364,860	 	 	$	15,216,393	 
	 Current bookings/change orders
	  	 	45,920,168	 	 	 	18,602,982	 	 	 	64,523,150	 
	 Currency and other adjustments
	  	 	—  	 	 	 	131,098	 	 	 	131,098	 
	 Revenue earned on backlog
	  	 	47,847,492	 	 	 	19,010,465	 	 	 	66,857,957	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	10,924,209	 	 	$	2,088,475	 	 	$	13,012,684	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	2,216,658	 	 	$	538,301	 	 	$	2,754,959	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	20.3	%	 	 	25.8	%	 	 	21.2	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebey
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Recurring Revenue
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	10,778,533	 	 	$	2,210,071	 	 	$	12,988,604	 
	 Current bookings/change orders
	  	 	40,715,083	 	 	 	16,773,974	 	 	 	57,489,057	 
	 Currency and other adjustments
	  	 	—  	 	 	 	236,495	 	 	 	236,495	 
	 Revenue earned on backlog
	  	 	43,815,317	 	 	 	17,334,341	 	 	 	61,149,658	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	7,678,299	 	 	$	1,886,199	 	 	$	9,564,498	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	1,497,268	 	 	$	471,550	 	 	$	1,968,818	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	19.5	%	 	 	25.0	%	 	$	20.6	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebey
Sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Systems and Equipment
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	2,073,000	 	 	$	154,789	 	 	$	2,227,789	 
	 Current bookings/change orders
	  	 	5,205,085	 	 	 	1,829,008	 	 	 	7,034,093	 
	 Currency and other adjustments
	  	 	—  	 	 	 	(105,398	)	 	 	(105,398	)
	 Revenue earned on backlog
	  	 	4,032,175	 	 	 	1,676,124	 	 	 	5,708,299	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	3,245,910	 	 	$	202,276	 	 	$	3,448,186	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	719,390	 	 	$	66,751	 	 	$	786,141	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	22.2	%	 	 	33.0	%	 	 	22.8	%
	 	  	
	
	
	 	
	
	
	 	
	
	

  

 Quarter-to-Date Backlog Progression 
 Waterlink, Inc. 
 September 30, 2003 
  

													
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Total Backlog
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of quarter backlog
	  	$	13,929,975	 	 	$	2,364,712	 	 	$	16,294,687	 
	 Current bookings/change orders
	  	 	10,502,906	 	 	 	4,957,060	 	 	 	15,459,966	 
	 Currency and other adjustments
	  	 	—  	 	 	 	(21,100	)	 	 	(21,100	)
	 Revenue earned on backlog
	  	 	13,508,672	 	 	 	5,212,196	 	 	 	18,720,868	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	10,924,209	 	 	$	2,088,476	 	 	$	13,012,685	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	2,216,658	 	 	$	538,301	 	 	$	2,754,959	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	20.3	%	 	 	25.8	%	 	 	21.2	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Recurring Revenue
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of quarter backlog
	  	$	10,457,856	 	 	$	1,596,833	 	 	$	12,054,689	 
	 Current bookings/change orders
	  	 	9,433,506	 	 	 	4,720,405	 	 	 	14,153,911	 
	 Currency and other adjustments
	  	 	—  	 	 	 	231,658	 	 	 	231,658	 
	 Revenue earned on backlog
	  	 	12,213,063	 	 	 	4,662,696	 	 	 	16,875,759	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	7,678,299	 	 	$	1,886,200	 	 	$	9,564,499	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	1,497,268	 	 	$	471,550	 	 	$	1,968,818	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	19.5	%	 	 	25.0	%	 	$	20.6	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Systems and Equipment
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	3,472,119	 	 	$	767,879	 	 	$	4,239,998	 
	 Current bookings/change orders
	  	 	1,069,400	 	 	 	236,655	 	 	 	1,306,055	 
	 Currency and other adjustments
	  	 	—  	 	 	 	(252,759	)	 	 	(252,759	)
	 Revenue earned on backlog
	  	 	1,295,609	 	 	 	549,500	 	 	 	1,845,109	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	3,245,910	 	 	$	202,276	 	 	$	3,448,186	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	719,390	 	 	$	66,751	 	 	$	786,141	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	22.2	%	 	 	33.0	%	 	 	22.8	%
	 	  	
	
	
	 	
	
	
	 	
	
	

  

 Previous Quarter’s YTD Backlog Progression 
 Waterlink, Inc. 
 September 30, 2003 
  

													
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Total Backlog
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	12,851,533	 	 	$	2,364,860	 	 	$	15,216,393	 
	 Current bookings/change orders
	  	 	35,417,262	 	 	 	13,645,922	 	 	 	49,063,184	 
	 Currency and other adjustments
	  	 	—  	 	 	 	152,198	 	 	 	152,198	 
	 Revenue earned on backlog
	  	 	34,338,820	 	 	 	13,798,269	 	 	 	48,137,089	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	13,929,975	 	 	$	2,364,711	 	 	$	16,294,686	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	—  	 	 	$	—  	 	 	$	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	0.0	%	 	 	0.0	%	 	 	0.0	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Recurring Revenue
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	10,778,533	 	 	$	2,210,071	 	 	$	12,988,604	 
	 Current bookings/change orders
	  	 	31,281,577	 	 	 	12,053,569	 	 	 	43,335,146	 
	 Currency and other adjustments
	  	 	—  	 	 	 	4,837	 	 	 	4,837	 
	 Revenue earned on backlog
	  	 	31,602,254	 	 	 	12,671,645	 	 	 	44,273,899	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	10,457,856	 	 	$	1,596,832	 	 	$	12,054,688	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	$	—  	 	 	$	—  	 	 	$	—  	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Margin in backlog
	  	 	0.0	%	 	 	0.0	%	 	 	0.0	%
	 	  	
	
	
	 	
	
	
	 	
	
	

				
	 	  	Barnebay
sutcliffe

	 	 	Sutcliffe
Speakman

	 	 	Total

	 
	 Systems and Equipment
	  	 	 	 	 	 	 	 	 	 	 	 
	 Beginning of year backlog
	  	$	2,073,000	 	 	$	154,789	 	 	$	2,227,789	 
	 Current bookings/change orders
	  	 	4,135,685	 	 	 	1,592,353	 	 	 	5,728,038	 
	 Currency and other adjustments
	  	 	—  	 	 	 	147,361	 	 	 	147,361	 
	 Revenue earned on backlog
	  	 	2,736,566	 	 	 	1,126,624	 	 	 	3,863,190	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Ending backlog
	  	$	3,472,119	 	 	$	767,879	 	 	$	4,239,998	 
	 	  	
	
	
	 	
	
	
	 	
	
	

	 Gross profit in backlog
	  	 	 	 	 	 	 	 	 	$	—  	 
	 	  	 	 	 	 	 	 	 	 	
	
	

	 Margin in backlog
	  	 	0.0	%	 	 	0.0	%	 	 	0.0	%
	 	  	
	
	
	 	
	
	
	 	
	
	

  

 Geographic Sales Breakdown 
 Waterlink, Inc. 
 Twelve Months Ended September 30, 2003 
  

																						
	 	  	Industrial
Sales

	 	 	%

	 	 	Municipal
Sales

	 	 	%

	 	 	 Total
 Sales

	 	 	%

	 
	 United States
	  	$	39,794,931	 	 	61.8	%	 	$	2,449,315	 	 	100.0	%	 	$	42,244,246	 	 	63.2	%
	 Canada
	  	 	3,830,935	 	 	5.9	%	 	 	—  	 	 	0.0	%	 	 	3,830,935	 	 	5.7	%
	 Europe
	  	 	15,165,119	 	 	23.5	%	 	 	—  	 	 	0.0	%	 	 	15,165,119	 	 	22.7	%
	 Latin America
	  	 	674,140	 	 	1.0	%	 	 	—  	 	 	0.0	%	 	 	674,140	 	 	1.0	%
	 Asia Pacific
	  	 	3,810,600	 	 	5.9	%	 	 	—  	 	 	0.0	%	 	 	3,810,600	 	 	5.7	%
	 Middle East
	  	 	1,132,916	 	 	1.8	%	 	 	—  	 	 	0.0	%	 	 	1,132,916	 	 	1.7	%
	 Other Regions
	  	 	—  	 	 	0.0	%	 	 	—  	 	 	0.0	%	 	 	—  	 	 	0.0	%
	 	  	
	
	
	 	
	
	 	
	
	
	 	
	
	 	
	
	
	 	
	

	 	  	$	64,408,642	 	 	100.0	%	 	$	2,449,315	 	 	100.0	%	 	$	66,857,957	 	 	100.0	%
	 	  	
	
	
	 	
	
	 	
	
	
	 	
	
	 	
	
	
	 	
	

	 	  	 	96.3	%	 	 	 	 	 	3.7	%	 	 	 	 	 	100.0	%	 	 	 

  

 Budget Variance Summary 
 Waterlink, Inc. 
 September 30, 2003 
  

																			
	 	  	Month Ended September 30, 2003

	 	 	Twelve Months Ended September 30, 2003

	 
	 	  	Actual

	 	 	Plan

	 	 	Variance

	 	 	Actual

	 	 	Plan

	 	 	Variance

	 
	 Sales:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Barnebay Sutcliffe
	  	5,147,658	 	 	4,870,000	 	 	277,668	 	 	47,910,669	 	 	51,000,000	 	 	(3,089,331	)
	 Sutcliffe Speakman
	  	1,950,419	 	 	1,512,000	 	 	438,419	 	 	19,368,509	 	 	18,400,000	 	 	968,509	 
	 Corporate/E____
	  	(17,365	)	 	—  	 	 	(17,365	)	 	(421,221	)	 	—  	 	 	(421,221	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Total
	  	7,080,712	 	 	6,382,000	 	 	698,712	 	 	66,857,957	 	 	69,400,000	 	 	(2,542,043	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Gross profit:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Barnebay Sutcliffe
	  	1,418,455	 	 	1,196,000	 	 	222,455	 	 	10,638,032	 	 	11,460,000	 	 	(821,968	)
	 Sutcliffe Speakman
	  	527,228	 	 	330,000	 	 	197,228	 	 	4,815,126	 	 	4,208,000	 	 	607,126	 
	 Corporate/E____
	  	—  	 	 	—  	 	 	—  	 	 	—  	 	 	—  	 	 	—  	 
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Total
	  	1,945,683	 	 	1,526,000	 	 	419,683	 	 	15,453,158	 	 	15,668,000	 	 	(214,842	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 SG&A expense:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Barnebay Sutcliffe
	  	431,507	 	 	530,000	 	 	98,493	 	 	5,921,513	 	 	6,360,000	 	 	438,487	 
	 Sutcliffe Speakman
	  	643,257	 	 	245,000	 	 	(398,257	)	 	3,514,108	 	 	2,908,000	 	 	(606,108	)
	 Corporate
	  	91,072	 	 	85,000	 	 	(6,072	)	 	1,153,970	 	 	900,000	 	 	(253,970	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Total
	  	1,165,836	 	 	860,000	 	 	(306,836	)	 	10,589,591	 	 	10,168,000	 	 	(421,591	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Operating Income:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Barnebay Sutcliffe
	  	986,948	 	 	666,000	 	 	320,948	 	 	4,716,519	 	 	5,100,000	 	 	(383,481	)
	 Sutcliffe Speakman
	  	(116,029	)	 	85,000	 	 	(201,029	)	 	1,301,018	 	 	1,300,000	 	 	1,018	 
	 Corporate
	  	(91,072	)	 	(85,000	)	 	(6,072	)	 	(1,153,970	)	 	(900,000	)	 	(253,970	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Total
	  	779,847	 	 	666,000	 	 	113,847	 	 	4,863,567	 	 	5,500,000	 	 	(636,433	)
	 Interest expense
	  	(15,373	)	 	(288,000	)	 	272,627	 	 	(2,507,747	)	 	(3,512,000	)	 	1,004,253	 
	 Other items
	  	(390,827	)	 	(15,000	)	 	(375,827	)	 	(1,313,218	)	 	(180,000	)	 	(1,133,218	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Income before taxes
	  	373,647	 	 	363,000	 	 	10,647	 	 	1,042,602	 	 	1,808,000	 	 	(765,398	)
	 Income taxes
	  	94,881	 	 	62,000	 	 	(32,881	)	 	424,883	 	 	361,000	 	 	(63,883	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Net income
	  	278,766	 	 	301,000	 	 	(22,234	)	 	617,719	 	 	1,447,000	 	 	(829,281	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 	  	ok	 	 	ok	 	 	 	 	 	ok	 	 	ok	 	 	 	 
			
	 	  	Month Ended September 30, 2003

	 	 	Twelve Months Ended September 30, 2003

	 
	 	  	Actual

	 	 	Plan

	 	 	Variance

	 	 	Actual

	 	 	Plan

	 	 	Variance

	 
	 EBITDA:
	  	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 Barnebay Sutcliffe
	  	1,095,234	 	 	717,000	 	 	378,234	 	 	5,317,055	 	 	5,676,000	 	 	(358,945	)
	 Sutcliffe Speakman
	  	273,243	 	 	117,000	 	 	156,243	 	 	2,198,220	 	 	1,660,000	 	 	538,220	 
	 Corporate
	  	(87,788	)	 	(86,000	)	 	(1,788	)	 	(1,148,618	)	 	(900,000	)	 	(248,618	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 Total
	  	1,280,689	 	 	748,000	 	 	532,689	 	 	6,366,657	 	 	6,436,000	 	 	(69,343	)
	 	  	
	
	 	
	
	 	
	
	 	
	
	 	
	
	 	
	

	 	  	ok	 	 	ok	 	 	 	 	 	ok	 	 	ok	 	 	 	 

  

 Schedule 6.7 
  
 Real Property 
  
 The real property described on the attached Exhibit A to Schedule 6.7. 
  

  
 EXHIBIT “A”

 PARCEL ONE - TRACT ONE 
  
 Situated in the State of Ohio, County of Franklin, City of Columbus, being located in Quarter Township 3, Township 1, Range 17, United States Military
Lands and being those tracts of land conveyed to Barnaby & Sutcliffe Corp. (formerly Barnaby Cheney Co.) by deeds of record in Deed Book 2247, Page 380, Deed Book 1852, Page 582, Deed Book 1852, Page 586, Deed Book 1853, Page 282, Deed Book
1852, Page 579, Deed Book, 1852, Page 580, Deed Book 1852, Page 597, Deed Book 2387, Page 201 and Deed Book 2479, Page 116, all references being to records in the Recorder’s Office, Franklin County, Ohio and bounded and described as follows:

  
 Beginning at a point in the centerline of Cassady Avenue at
the intersection of said centerline with the northerly right-of-way line of Conrail Railroad, said point also being the southeasterly corner of the Barnaby & Sutcliffe Corp. 3.09 acre tract; 
  
 thence North 86° 10’ 00” West, along said right-of-way line of
Conrail Railroad, a distance of 20.11 feet to an iron pin at an angle point in said line; 
  
 thence South 9° 30’ 45” West, continuing along said right-of-way line of Conrail Railroad, a distance of 6.12 feet to an angle point in said line; 
  
 thence North 86° 10’ 00” West, continuing along said
right-of-way line, a distance of 103.02 feet to a point of curvature of a curve to the left; 
  
 thence continuing along said right-of-way line, being the arc of said curve (Delta = 11° 00’40”, Radius = 3198.23 feet), a chord bearing and distance of South 88° 19’ 40” West, 613.71 feet
to a point of tangency; 
  
 thence South 82° 40’ 40”
West, continuing along said right-of-way line, a distance of 245.72 feet to an angle point in said line; 
  
 thence South 84° 51’ 30” West, continuing along said right-of-way line, a distance of 100.00 feet to an angle point in said line;

  
 thence North 84° 49’ 55” West, continuing along
said right-of-way line, a distance of 683.84 feet to a point in Alum Creek; 
  
 thence North 5° 10’ 35” East, along a line in Alum Creek, a distance of 97.64 feet to a point; 
  
  

 Continued... 

 – Page Two – 
  
 thence South 86° 23’ 10” East, along the southerly line of those tracts of land conveyed to The Lutheran
Senior City, Inc., by deed of record in Deed Book 2433, Page 28, a distance of 681.38 feet to an iron pin at the southeasterly corner of said tracts; 
  
 thence along the easterly line of said Lutheran Senior City, Inc. tracts, the following courses and distances: 
  
 North 3° 50’ 00” East, 184.45 feet to a point; 
  
 North 4° 04’ 00” West, 87.50 feet to a point; 
  
 North 3° 50’ 00” East, 204.00 feet to a point; 
  
 North 10° 10’ 10” East, 109.00 feet to a point; and 

 
 North 3° 50’ 00” East, 295.00 feet to the southwesterly
corner of The Lutheran Senior City, Inc. 0.092 acre tract; 
  
 thence North 55° 10’’ 00” East, along the southeasterly line of said 0.092 acre tract, a distance of 128.08 feet to a point in a southerly line of The Lutheran Senior City, Inc. tracts; 
  
 thence along said southerly line of The Lutheran Senior City, Inc. tracts,
the following courses and distances: 
  
 South 86° 10’
55” East, 218.44 feet to a point; 
  
 North 3° 46’
49” East, 79.58 feet to a point; 
  
 South 76° 10’
55” East, 691.32 feet to a point of curvature of a curve to the right; 
  
 South 61° 10’ 55” East, 7.76 feet, a chord bearing and distance (Delta = 30° 00’ 00”, Radius = 15.00 feet), to a point; 
  
 South 46° 10’ 55” East, 11.50 feet to a point of curvature of a curve to the left; 
  
 South 61° 10’ 55” East, 7.76 feet, a chord bearing and distance
(Delta = 30° 00’ 00”, Radius = 15.00 feet), to a point; 
  

 Continued.... 

 South 76° 10’ 55” East, 100.00 feet to a point of curvature of a curve to the right;

  
 South 43° 19’ 58” East, 32.55 feet, a chord
bearing and distance (Delta = 65° 41’ 55”, Radius = 30.00 feet), to a point; and 
  
 South 10° 29’ 00” East, 43.03 feet to a point in the centerline of Cassady Avenue; 
  
 thence South 9° 30’ 45” West, along said centerline of Cassady Avenue, a distance of 158.06 feet to the northeasterly corner of the 1.197
acre tract conveyed to George W. Hockaden, by deed of record in Deed Book 3394, Page 542; 
  
 thence North 86° 09’ 15” West, along the northerly line of said George W. Hockaden 1.197 acre a distance of 289.96 feet to an angle point in said line; 
  
 thence North 86° 24’ 15” West, continuing along said northerly
line of the 1.197 acre tract, a . distance of 100.00 feet to the northwesterly corner of said tract; 
  
 thence South 3° 35’ 45” West, along the westerly line of said 1.197 acre tract, a distance of 136.65 feet to an iron pin at the
southwesterly corner of said tract; 
  
 thence South 86°
24’ 15” East, along the southerly line of said 1.197 acre tract, passing an iron pin at 355.82 feet, a distance of 375.93 feet to a point in the centerline of Cassady Avenue; 
  
 thence South 9° 30’ 45” West, along the centerline of Cassady Avenue, a distance of 521.02 feet to the point
of beginning, containing 26.035 acres, more or less. 
  
 Bearings
contained herein are based on the same meridian as bearings in deed of record in Deed Book 1852, Page 579. 
  

 PARCEL ONE – TRACT TWO 
  
 Situated in the State of Ohio, County of Franklin, City of Columbus, being
located in Quarter Township 3, Township 1, Range 17, United States Military Lands and being Lots 33 and 34 of “BEXLEY VIEW NO. 3”, of record in Plat Book 17, Page 58 and part of a vacated Alley as conveyed to Barneby & Sutcliffe Corp.
(formerly Barneby Cheney), by deed of record in Deed Book 1852, Page 584, all references being to records in the Recorder’s Office, Franklin County, Ohio and bounded and described as follows: 
  
 Beginning at the point of intersection of the westerly right-of-way line of
Cassady Avenue (60 feet in width) with the southerly right-of-way line of Conrail Railroad, said point also being the northeasterly corner of Lot 33; 
  
 thence South 9° 13’ 50” West, along the westerly right-of-way line of Cassady Avenue, a distance of 84.51 feet to an iron pin at the
northeasterly corner of Lot 35; 
  
 thence North 86° 16’
40” West, along the northerly line of Lot 35 and said line produced westerly, a distance of 143.96 feet to an iron pin in the centerline of an Alley (vacated); 
  
 thence North 9° 15’ 00” East, along said centerline of the Alley, a distance of 82.31 feet to an iron pin in
the southerly right-of-way line of Conrail Railroad; 
  
 thence
South 87° 09’ 00” East, along said right-of-way line of Conrail Railroad, a distance of 144.16 feet to the point of beginning, containing 0.274 acre, more or less. 
  
 Bearings contained herein are based on the same meridian as bearings in deed of record in Deed Book 1852, Page 584.

  

 PARCEL ONE – TRACT THREE 
  
 Situated in the State of Ohio, County of Franklin, City of Columbus, being
located in Quarter Township 3, Township 1, Range 17, United States Military Lands and being Lots 25 and 26 of “BEXLEY VIEW NO. 3”, of record in Plat Book 17, Page 58 and part of Seventh Avenue (vacated) and Dawson Avenue (vacated), as
conveyed to Barneby & Sutcliffe Corp. (formerly Barneby Cheney), by deed of record in Deed Book 1852, Page 584, all references being to records in the Recorder’s Office, Franklin County, Ohio and bounded and described as follows:

  
 Beginning at an iron pin in the easterly right-of-way line of
an Alley at the southwesterly corner of Lot 25, the northwesterly corner of Lot 24; 
  
 thence North 4° 52’ 10” East, along said easterly right-of-way line of the Alley, a distance of 117.51 feet to a point in the southerly right-of-way line of the Conrail Railroad; 
  
 thence North 84° 02’ 30” East, along said right-of-way line of
Conrail Railroad, a distance of 121.06 feet to an angle point in said line; 
  
 thence South 87° 09’ 00” East, continuing along said right-of-way line of Conrail Railroad, a distance of 25.00 feet to a point in the centerline of Dawson Avenue (50 feet in width); 
  
 thence South 4° 52’ 10” West, along said centerline of Dawson
Avenue (vacated), a distance of 141.00 feet to an iron pin; 
  
 thence North 85° 11’ 00” West, crossing Dawson Avenue (vacated) and along the northerly line of Lot 24, a distance of 143.89 feet to the point of beginning, containing 0.432 acre, more or less. 
  
 Bearings contained herein are based on the same meridian as bearings in deed
of record in Deed Book 1852, Page 584. 
  

 PARCEL ONE – TRACT FOUR 
  
 Situated in the State of Ohio, County of Franklin and City of Columbus: 
  
 Being Lot Number Twenty (20) of NORTH BEXLEY VIEW ADDITION as the same is numbered and
delineated on the recorded plat thereof, of record in Plat Book 17, pages 4 and 5, Recorder’s Office, Franklin County, Ohio’s said Lot having been now re-subdivided and forms a part of Lot 4, in High Bank. Addition, as shown on Plat Book
No. 17, page 280 , Recorder’s Office, Franklin County, Ohio. 
  

 PARCEL TWO - TRACT ONE 
  
 DESCRIPTION OF A 1.485 ACRE TRACT 
 NORTH OF FIFTH AVENUE 
 WEST OF CASSADY AVENUE 
 TRACT 1 
  
 Situated in the State of Ohio, County of Franklin, City of Columbus, being a part of Quarter Township No. 3, Township No. 1, Range 17, United States Military Lands and being 1.485 acres out of Wye Transportation Company in Official Record
Volume 4108 E12 (all references to deeds and plats being to records in the Recorder’s Office, Franklin County, Ohio) and being more fully described as follows: 
  
 Beginning at an iron pin set at the northwest corner of North Bexley View Addition (P.B. 17, Pg. 4) a southerly line of said
Wye Transportation Company; 
  
 Thence North 1° 05’
06” West a distance of 25.36 feet along, the easterly line of Renite Company (D.B. 3702, Pg. 865), the southerly line of said Wye Transportation Company to an iron pin set; 
  
 Thence along a curve to the right (delta = 9° 36’ 36”, radius = 1457.68 feet) a chord bearing South 86°
29’ 19” West a distance of 244.21 feet, along the northerly line of said Renite, to an iron pin set; 
  
 Thence North 88° 42’ 23” West a distance of 205.00 feet along the northerly line of said Renite to an iron pin set; 
  
 Thence South 1° 17’ 37” West a distance of 25.00 feet along the
westerly line of said Renite to an iron pin set; 
  
 Thence North
88° 42’ 23” West a distance of 200.53 feet along the northerly line of Renite Company (D.B. 2920, Pg. 587), the southerly line of said Wye Transportation Company to a point in the centerline of Alum Creek; 
  
 Thence North 1° 17’ 37” East a distance of 93.63 feet along the
centerline of said Alum Creek to a point; 
  
 Thence South 88°
43’ 45” East a distance of 670.79 feet, along the northerly line of said. Wye Transportation Company the southerly line of Barnebey Cheney Co. (D.B. 2247, Pg. 380), to an iron pin set; 
  
 Thence North 81° 01’ 30” East a distance of 100.00 feet, along
the northerly line of said Wye Transportation Co., the southerly line of Barnebey Cheney Co. (.D.B. 2479, Pg. 116) to an iron pin set; 
  
 Thence North 78° 50’ 40” East a distance of 186.91 feet, along the northerly line of said Wye Transportation Co., the southerly line of said
Barnebey Cheney Co., to an iron pin set; 
  

 Thence South 1° 05’ 06” East a distance of 45.55 feet along the easterly line of said Wye
Transportation Co., to an iron pin set on the southerly line of said Wye Transportation Co.; 
  
 Thence South 76° 57’ 59” West a distance of 117.37 feet along the southerly line of said Wye Transportation Co., the northerly line of said North Bexley View Addition to an iron pin set; 
  
 Thence South 74° 29’ 35” West a distance of 198.41 feet to the
Point of Beginning containing 1.485 acres more or less according to an actual field survey made by Hockaden and Associates, Inc. in June of 1997. 
  

									
	 	 	 	 	 HOCKADEN AND ASSOCIATES, INC.
 Consulting
Engineers

				
	 	 	[STAMP]	 	 	 	 /s/    Frank C. Long         10 Sept
97

	 	 	 	 	 	 	 Frank C. Long
 Professional Surveyor No.
6615

  
 40803091097F1 
  

 PARCEL TWO – TRACT TWO 
  
 DESCRIPTION OF A 0.923 ACRE TRACT 
 NORTH OF FIFTH AVENUE 
 WEST OF CASSADY AVENUE

 TRACT 2 
  
 Situated in the State of Ohio, County of Franklin , City of Columbus, being a part of Quarter Township No. 3 , Township No. 1, Range 17, United States
Military Lands, and being 0.923 acres out of. that 9.697 acre tract as described in a deed to Cassady Transportation Co. in Official Record Volume 3465 H09, (all references to deeds and plats being to records in the Recorder’s Office, Franklin
County, Ohio) and being more fully described as follows: 
  
 Beginning at a point on the easterly right of way line of said Cassady Avenue with the centerline of a railroad; 
  
 Thence South 04° 50’ 02” West a distance of 38.48 feet along the easterly right of way line of said Cassady Avenue to a point; 

 
 Thence North 90° 00’ 00” West a distance of 204.01 feet
along the northerly line of North Bexley View Addition No. 3 (P.B. 17, Pg. 58), the southerly line of said Cassady Transportation Co. to an existing iron pin; 
  

Thence South 89° 01’ 00” West a distance of 307.55 feet along the northerly line of said North Bexley View Addition No. 3, the southerly
line of said Cassady Transportation to an existing iron pin; 
  
 Thence South 80° 12’ 30” West a distance of 259.04 feet along the northerly line of North Bexley View Addition (P.B 17, Page 4), the southerly line of said Cassady Transportation to an iron pin set; 
  
 Thence South 76° 57’ 59” West a distance of 51.11 feet along
the southerly line of said Cassady Transportation Co., the northerly line of said North Bexley View Addition to an iron pin set; 
  
 Thence North 01° 05’ 06” West a distance of 45.55 feet along the westerly line of said Cassady Transportation Co., the easterly line of
Caprail Railroad (O.R.V. 19183 E09) to an iron pin set; 
  
 Thence
North 78° 50’ 40” East a distance of 50.85 feet along the northerly line of said Cassady Transportation Co. the southerly line of said Barnebey Cheney Co. to an iron pin set; 
  
 Thence along a curve to the right (radius=3197.77 feet, delta=11°
09’ 20”) a chord bearing North 84° 25’ 20” East a distance of 621.63 feet along the northerly line of said Cassady Transportation Co. the southerly line of said Barnebey Cheney to an iron pin set; 
  

 Thence North 90° 00’ 00” East a distance of 103.02 feet along the northerly line of said
Cassady Transportation Co., the southerly line of said Barnebey Cheney Co. (D.B. 1852. Pg. 582, and D.B. 1852. Pg. 586) to an existing iron pin; 
  
 Thence North 09° 23’ 28” East a distance of 5.50 feet to an existing iron pin; 
  
 Thence South 90° 00’ 00” East a distance of 50.05 feet to a point on the easterly right of way line of said
Cassady Avenue; 1 
  
 Thence South 04° 50’ 02” West
a distance of 22.08 feet along the easterly right of way line of said Cassady Avenue to the Point of Beginning containing 0.923 acres more or less according to an actual field survey of the premises made by Hockaden and Associates, Inc. in June of
1997. 
  

									
	 	 	 	 	 HOCKADEN AND ASSOCIATES, INC.
 Consulting
Engineers

				
	 	 	[STAMP]	 	 	 	 /s/    Frank C. Long         7 July
97

	 	 	 	 	 	 	 Frank C. Long
 Professional Surveyor No.
6615

  
 40803de.ng1 
  

			
	 	 	 NO PLAT REQUIRED
 DEPT. OF TRADE & DEVELOPMENT
 CITY OF COLUMBUS, OHIO
  
 DATE 8-4-1997

		
	  	 	 [ILLEGIBLE]

	 	 	DIRECTOR
		
	 BY:
	 	 D. B. R

	
	 CONDITIONS: 0.923 A split must be combined with

	 parcel 136771 and 126708 to form one(1) parcel

	 consisting of split, 136771 and 126708.

  

 EXHIBIT B 
  

Permitted Exceptions to Title 
  
 Those title exceptions listed on title commitment # 00031147, dated February __, 2002, issued by Chicago Title Insurance Company for the property
described on Exhibit A hereto. 
  

 Schedule 7.4 
  
 Share Capital and Ownership (of Waterlink UK and Subsidiary) 
  
 That certain Pledge Agreement between Waterlink, Inc. and Bank of America Illinois (now know
as Bank of America, N.A.) as Collateral Agent, dated as of June 27,1997, as amended 
  

 -31- 

 EXHIBIT B 
  

 Executory Contracts and Unexpired Leases 
  

						
	 Barnebey Sutcliffe
 Entity

	  	 Nature of contract or lease

	  	Cure Amount

			
	SLJ Properties
1945 Tediny Road, #6
Northbrook. IL 60062	  	Barnebey Sutcliffe is the lessee of nonresidential property.	  	$	0.00
			
	Cedars
11 Long Drive
Downington, PA 19335	  	Barnebey Sutcliffe is the lessee Of nonresidential property.	  	$	0.00
			
	CC Realty Corporation
2 West Boylston Street
Worcester, MA 01605	  	Barnebey Sutcliffe is the lessee of nonresidential property.	  	$	0.00
			
	Bell Moore Group
5200 Park Road, Suite 120
Charlotte, NC 28209	  	Barnebey Sutcliffe is the lessee of nonresidential property.	  	$	0.00
			
	Cardall Properties
1371_ Carmenita
Santa Fe Springs. CA 90670	  	Barnebey Sutcliffe is the lessee of nonresidential property.	  	$	0.00
			
	DP Industrial, LLC
P.O. Box 709_
Rono, NV _9510	  	Barnebey Sutcliffe is the lessee of nonresidential property.	  	$	0.00
			
	 Citicapital

 PO Box 7247-7_78

 Philadelphia, PA 19170-7878
	  	Three forklift cases,*	  	 	see below*
			
	 Citicapital Corporation
Attn: Bankruptcy Unit
PO BOX 140729
 Irving, TX 75014
	  	Four forklift leases.*	  	 	see below*
			
	Towlift, Inc.
PO Box 92439
Cleveland, OH 44193-0614	  	Ten forklift leases.	  	$	0.00
			
	American Carbon Service
PO Box 22
New Brighton, PA 15066	  	Carbon reactivation service dated May 9,1997. Barnebey Sutcliffe is the customer.	  	$	0.00
			
	Clorox
PO Box 24305
Oakland, CA 94623	  	Supply agreement dated Barnebey Sutcliffe is the supplier.	  	 	N/A
			
	Engelhard Corporation
101 Wood Avenue
Iselin, NJ 08830-0770	  	Distribution agreement dated January 1, 2003, Barnebey Sutcliffe is the distributor, Evergreen supply agreement dated February 22,2001, Barnebey Sutcliffe is the supplier,	  	$	460,840.52
			
	Envirotrol, Inc.
432 Green Street
PO Box 61
Sewickley, PA 15143	  	Reactivation of carbon service agreement dated May 1, 2002, Barnebey Sutcliffe is the customer.	  	$	119,616.76
			
	Haycarb Limited
400 Deans Road
Colombo 10
Sri Lanka	  	Purchase/supply agreement, dated April 3,1995 Barnebey Sutcliffe is the customer.	  	$	0.00

  

 EXHIBIT “B” 

 Executory Contracts and Unexpired Leases 
  

						
	 Barnebey Sutcliffe
 Entity

	  	 Nature of contract or lease

	  	Cure Amount

			
	LA Chemical
2334 W. Directors Row
Salt Lake City, UT 84104	  	Distribution agreement dated November 1, 2002,
LA Chemical is the distributor of Barnebey Sutcliffe product.	  	$	0.00
			
	Proctor & Gamble
PUR Water Purification Products
9300 75th Avenue North
Brooklyn Park, MN 55428	  	Supply agreement dated May 1, 2001.
Barnebey Sutcliffe is the supplier.	  	 	N/A
			
	Sta-Rite Industries, Inc.
293 Wright Street
Delavan, Wl 53115	  	Supply agreement dated May 19, 2003.
Barnebey Sutcliffe is the supplier.	  	 	N/A
			
	 Waterlink, Inc.
 Entity

	  	 Nature of contract or lease

	  	Cure Amount

	 William W, Vogelhuber
835 North Ca___dy Avenue

 Columbus, OH 43219
	  	Employment Agreement dated November 1, 2001	  	$	0.00
			
	Donald V. Weidig
835 North Cassady Avenue
Columbus, OH 43219	  	Employment Agreement dated November 1, 2001	  	$	0.00

  
 The Debtors own the equipment that was
leased or sold to Debtors pursuant to the following leases with Citicapital; 005-0055335-003 and 005-0032334-001, which equipment constitutes part of the Purchased Assets. The Debtors’, Citicapital’s, and the Purchaser’s rights to the equipment under the following leases or sale agreements are preserved; 111-003-7151,
111-0107747; 111-005_933, 111-0103728, and 005-0032334-002. 
  

 EXHIBIT “B”

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