Document:

Exhibit
10.14

 

	
   

  

EXECUTION
COPY

 

$1,500,000,000

 

AMENDED AND RESTATED CREDIT AGREEMENT

 

among

 

FLUOR CORPORATION,

as Borrower,

 

BNP PARIBAS,

as Administrative Agent and an Issuing Lender,

 

CITICORP USA, INC.,

as Syndication Agent,

 

BANK OF AMERICA, N.A. and

THE
BANK OF TOKYO-MITSUBISHI UFJ, LTD.

as Co-Documentation Agents,

 

and

 

THE LENDERS PARTY HERETO

 

September 7, 2006

 

BANC OF AMERICA SECURITIES LLC and

BNP PARIBAS SECURITIES CORP.,

as Joint Lead Arrangers

 

BANC OF AMERICA SECURITIES LLC,

as Sole Book Manager

 

	
   

  

 

TABLE OF CONTENTS

	
  ARTICLE I DEFINITIONS

  	
  1

  
	
   

  	
   

  
	
  SECTION 1.01.

  	
  Definitions

  	
  1

  
	
  SECTION 1.02.

  	
  Other Definitional Provisions

  	
  13

  
	
   

  	
   

  	
   

  
	
  ARTICLE II REVOLVING ADVANCES AND LETTERS OF CREDIT

  	
  14

  
	
   

  	
   

  
	
  SECTION 2.01.

  	
  Revolving Advances

  	
  14

  
	
  SECTION 2.02.

  	
  Making the Revolving Advances

  	
  14

  
	
  SECTION 2.03.

  	
  Repayment of Revolving Advances

  	
  15

  
	
  SECTION 2.04.

  	
  Optional Prepayments of Revolving Advances; Voluntary Termination or Reduction of
  Commitments

  	
  15

  
	
  SECTION 2.05.

  	
  Interest on Revolving Advances

  	
  16

  
	
  SECTION 2.06.

  	
  Conversion and Continuation of Revolving Advances

  	
  19

  
	
  SECTION 2.07.

  	
  Issuance of Letters of Credit and Creation of Bankers
  Acceptances

  	
  19

  
	
  SECTION 2.08.

  	
  Participations in Letters of Credit and Bankers Acceptances

  	
  21

  
	
  SECTION 2.09.

  	
  Reimbursement in Respect of Letters of Credit and Bankers
  Acceptances

  	
  22

  
	
  SECTION 2.10.

  	
  Disbursement Procedures for Letters of Credit and Bankers
  Acceptances; Reporting

  	
  24

  
	
  SECTION 2.11.

  	
  Interest on LC Disbursements and Reimbursement of Other
  Amounts

  	
  24

  
	
  SECTION 2.12.

  	
  Cash Collateralization

  	
  24

  
	
  SECTION 2.13.

  	
  Obligations

  	
  26

  
	
  SECTION 2.14.

  	
  General Provisions as to Payments

  	
  26

  
	
  SECTION 2.15.

  	
  Computation of Interest and Fees

  	
  27

  
	
  SECTION 2.16.

  	
  Taxes; Net Payments

  	
  27

  
	
  SECTION 2.17.

  	
  Increased Costs

  	
  29

  
	
  SECTION 2.18.

  	
  Illegality

  	
  30

  
	
  SECTION 2.19.

  	
  Fees

  	
  30

  
	
  SECTION 2.20.

  	
  Evidence of Debt

  	
  32

  
	
  SECTION 2.21.

  	
  Use of Proceeds

  	
  32

  
	
   

  	
   

  	
   

  
	
  ARTICLE III CONDITIONS PRECEDENT

  	
  33

  
	
   

  	
   

  
	
  SECTION 3.01.

  	
  Closing Date

  	
  33

  
	
  SECTION 3.02.

  	
  Conditions to All Revolving Advances and Letters of Credit

  	
  34

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV REPRESENTATIONS AND WARRANTIES

  	
  35

  
	
   

  	
   

  
	
  SECTION 4.01.

  	
  Corporate Existence and Power

  	
  35

  
	
  SECTION 4.02.

  	
  Corporate and Governmental Authorization; Contravention

  	
  35

  
	
  SECTION 4.03.

  	
  Binding Effect

  	
  35

  
	
  SECTION 4.04.

  	
  Financial Information

  	
  35

  
	
  SECTION 4.05.

  	
  Litigation

  	
  35

  
	
  SECTION 4.06.

  	
  Compliance with ERISA

  	
  36

  
	
  SECTION 4.07.

  	
  Taxes

  	
  36

  
	
  SECTION 4.08.

  	
  Material Subsidiaries

  	
  36

  
	
  SECTION 4.09.

  	
  Not an Investment Company

  	
  36

  
	
  SECTION 4.10.

  	
  Business of the Borrower; Use of Proceeds

  	
  36

  

 

i

 

	
  SECTION 4.11.

  	
  No Misleading Statements

  	
  37

  
	
  SECTION 4.12.

  	
  Environmental Matters

  	
  37

  
	
  SECTION 4.13.

  	
  No Default

  	
  37

  
	
   

  	
   

  	
   

  
	
  ARTICLE V COVENANTS

  	
  37

  
	
   

  	
   

  
	
  SECTION 5.01.

  	
  Information

  	
  37

  
	
  SECTION 5.02.

  	
  Payment of Obligations

  	
  40

  
	
  SECTION 5.03.

  	
  Maintenance of Property; Insurance

  	
  40

  
	
  SECTION 5.04.

  	
  Conduct of Business and Maintenance of Existence

  	
  40

  
	
  SECTION 5.05.

  	
  Compliance with Laws

  	
  41

  
	
  SECTION 5.06.

  	
  Keeping of Records; Inspection of Property, Books and
  Records

  	
  41

  
	
  SECTION 5.07.

  	
  Debt

  	
  41

  
	
  SECTION 5.08.

  	
  Negative Pledge

  	
  41

  
	
  SECTION 5.09.

  	
  Consolidations, Mergers and Sales of Assets

  	
  42

  
	
  SECTION 5.10.

  	
  Payment of Taxes, Etc.

  	
  42

  
	
  SECTION 5.11.

  	
  Pari-passu Obligations

  	
  43

  
	
  SECTION 5.12.

  	
  Further Assurances

  	
  43

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI DEFAULTS

  	
  43

  
	
   

  	
   

  
	
  SECTION 6.01.

  	
  Events of Default

  	
  43

  
	
  SECTION 6.02.

  	
  Remedies

  	
  46

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII THE ADMINISTRATIVE AGENT

  	
  46

  
	
   

  	
   

  
	
  SECTION 7.01.

  	
  Appointment and Authorization

  	
  46

  
	
  SECTION 7.02.

  	
  Rights as a Lender

  	
  46

  
	
  SECTION 7.03.

  	
  Reliance by Administrative Agent

  	
  47

  
	
  SECTION 7.04.

  	
  Delegation of Duties

  	
  47

  
	
  SECTION 7.05.

  	
  Liability of Administrative Agent

  	
  47

  
	
  SECTION 7.06.

  	
  Indemnification

  	
  48

  
	
  SECTION 7.07.

  	
  Non-Reliance on Administrative Agent and Other Lenders

  	
  48

  
	
  SECTION 7.08.

  	
  Resignation of Administrative Agent

  	
  49

  
	
  SECTION 7.09.

  	
  Agent With Respect to Cash Collateral Accounts

  	
  49

  
	
  SECTION 7.10.

  	
  No Other Duties, etc.

  	
  50

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII MISCELLANEOUS

  	
  50

  
	
   

  	
   

  
	
  SECTION 8.01.

  	
  Notices

  	
  50

  
	
  SECTION 8.02.

  	
  No Waivers

  	
  51

  
	
  SECTION 8.03.

  	
  Expenses; Taxes; Indemnification

  	
  51

  
	
  SECTION 8.04.

  	
  Sharing of Set-Offs

  	
  53

  
	
  SECTION 8.05.

  	
  Amendments and Waivers

  	
  53

  
	
  SECTION 8.06.

  	
  Successors and Assigns

  	
  54

  
	
  SECTION 8.07.

  	
  Collateral

  	
  56

  
	
  SECTION 8.08.

  	
  Governing Law

  	
  56

  
	
  SECTION 8.09.

  	
  Counterparts; Effectiveness

  	
  56

  
	
  SECTION 8.10.

  	
  Confidentiality

  	
  56

  
	
  SECTION 8.11.

  	
  Captions

  	
  57

  
	
  SECTION 8.12.

  	
  Severability

  	
  57

  
	
  SECTION 8.13.

  	
  Integration

  	
  57

  

 

ii

 

	
  SECTION 8.14.

  	
  CONSENT TO JURISDICTION; WAIVER OF VENUE

  	
  57

  
	
  SECTION 8.15.

  	
  Service of Process

  	
  58

  
	
  SECTION 8.16.

  	
  No Advisory or Fiduciary Responsibility

  	
  58

  
	
  SECTION 8.17.

  	
  WAIVER OF TRIAL BY JURY

  	
  59

  
	
  SECTION 8.18.

  	
  Interest Rate Limitation

  	
  59

  
	
  SECTION 8.19.

  	
  Judgment Currency

  	
  60

  
	
  SECTION 8.20.

  	
  USA PATRIOT Act

  	
  60

  

 

LIST OF
EXHIBITS AND SCHEDULES

 

	
  EXHIBIT A

  	
   

  	
  FORM OF
  OPINION OF COUNSEL FOR THE BORROWER

  
	
  EXHIBIT B

  	
   

  	
  FORM OF
  ASSIGNMENT AND ASSUMPTION AGREEMENT

  
	
  EXHIBIT C

  	
   

  	
  FORM OF
  CERTIFICATE OF ASSISTANT SECRETARY TO THE BORROWER

  
	
  EXHIBIT D

  	
   

  	
  FORM OF
  NOTICE OF REVOLVING BORROWING

  
	
  EXHIBIT E

  	
   

  	
  FORM OF
  NOTICE OF CONVERSION/CONTINUATION

  
	
  EXHIBIT F

  	
   

  	
  FORM OF
  REVOLVING NOTE

  
	
  EXHIBIT G

  	
   

  	
  FORM OF
  LENDER ADDENDUM

  
	
   

  	
   

  	
   

  
	
  SCHEDULE
  1.01(a)

  	
   

  	
  COMMITMENTS
  AND APPLICABLE PERCENTAGES

  
	
  SCHEDULE
  1.01(b)

  	
   

  	
  EXISTING
  LETTERS OF CREDIT

  
	
  SCHEDULE
  5.08

  	
   

  	
  EXISTING
  LIENS

  

 

iii

 

AMENDED AND RESTATED CREDIT
AGREEMENT

 

AMENDED AND RESTATED CREDIT AGREEMENT (as amended,
restated, amended and restated, supplemented or otherwise modified from time to
time, this “Agreement”) dated as of September 7, 2006 among FLUOR CORPORATION, a Delaware corporation
(the “Borrower”), the LENDERS
party hereto from time to time, BNP PARIBAS,
as Administrative Agent and an Issuing Lender, CITICORP USA, INC.,  as
Syndication Agent, and BANK OF AMERICA, N.A. and
THE
BANK OF TOKYO-MITSUBISHI UFJ, LTD.,  as Co-Documentation Agents.

 

WHEREAS,
the Borrower is a party to the Credit Agreement, dated as of July 28, 2004 (as amended, supplemented or
otherwise modified from time to time prior to the amendment and restatement
provided for herein, the “Existing Credit Agreement”), among the
Borrower, the banks and other financial institutions or entities parties
thereto (the “Existing Lenders”), BNP
Paribas, as Administrative Agent and an Issuing Lender, and certain other agents parties thereto,
pursuant to which the Existing Lenders were
committed to making extensions of credit to the Borrower on the terms and
conditions set forth therein and issued (or participated in the issuance of)
the Existing Letters of Credit (as defined below);

 

WHEREAS, the Borrower has requested that the Existing
Credit Agreement be amended and restated in its entirety to become effective
and binding on the Borrower pursuant to the terms hereof, and the Lenders
(including the Existing Lenders that are parties hereto) have agreed (subject
to the terms of this Agreement) to amend and restate the Existing Credit
Agreement in its entirety to read as set forth herein; and

 

WHEREAS,
the Existing Credit Agreement is being amended and restated on and subject to
the terms and conditions set forth herein, and this Agreement is made in
renewal, amendment, restatement and modification of, but not in extinguishment
or novation of, the obligations under the Existing Credit Agreement;

 

NOW,
THEREFORE, in consideration of the premises and the agreements hereinafter set
forth, the parties hereto hereby agree that on the Closing Date (as defined
below) the Existing Credit Agreement shall be, and hereby is, amended and
restated in its entirety as follows:

 

ARTICLE I

 

DEFINITIONS

 

SECTION 1.01.    Definitions.

 

The
following terms, as used herein, have the following meanings:

 

“Administrative
Agent” means BNPP, in its capacity as administrative agent under any of the
Loan Documents, or any successor administrative agent.

 

“Administrative
Agent’s Account” means the account of the Administrative Agent as the
Administrative Agent shall specify in writing to the Credit Parties.

 

1

 

“Affiliate”
means, as to any Person, any other Person that, directly or indirectly,
controls, is controlled by or is under common control with such Person. The
term “control” (including the terms “controlled by” or “under common control
with”) means the possession, direct or indirect, of the power to vote 50% or
more of the securities having ordinary voting power for the election of
directors of such Person or to direct or cause the direction of the management
and policies of such Person, whether through ownership of voting securities or
by contract or otherwise.

 

“Aggregate
Commitments” means the Commitments of all the Lenders, which as of the
Closing Date is $1,500,000,000, as such amount may be adjusted or reduced from
time to time pursuant to the terms and conditions hereof.

 

“Applicable
Percentage” means, with respect to any Lender at any time, the percentage
(carried out to the ninth decimal place) of the Aggregate Commitments
represented by such Lender’s Commitment at such time.  If the Commitment of each Lender to make
Revolving Advances and the obligation of the Issuing Lenders to issue Letters
of Credit and Bankers Acceptances have been terminated pursuant to Section 6.02
or if the Commitments have expired, then the Applicable Percentage of each
Lender shall be determined based on the Applicable Percentage of such Lender
most recently in effect, giving effect to any subsequent assignments.  The initial Applicable Percentage of each
Lender is set forth opposite the name of such Lender on Schedule 1.01(a) or
in the Assignment and Assumption Agreement pursuant to which such Lender
becomes a party hereto, as applicable.

 

“Applicable
Rate” means, from time to time, the following rates per annum, based upon
the Rating as set forth below:

 

	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Applicable Rate

  for Performance

  	
   

  	
  Applicable Rate for Eurodollar

  Rate Revolving Advances, Bankers

  Acceptances and Letters of Credit

  (other than Performance Letters of

  Credit and Documentary Letters of

  Credit)

  
	
  Pricing

  Level

  	
   

  	
  Ratings

  S&P/Moody’s

  	
   

  	
  Applicable Rate

  for Commitment

  Fees

  	
   

  	
  Letters of Credit

  and

  Documentary

  Letters of Credit

  	
   

  	
  Utilization

  Percentage less

  than 50.0%

  	
   

  	
  Utilization

  Percentage

  greater than or

  equal to 50.0%

  
	
  1

  	
   

  	
  A/A2 or better

  	
   

  	
  6.0 basis points

  	
   

  	
  22.5 basis points

  	
   

  	
  25.0 basis points

  	
   

  	
  30.0 basis points

  
	
  2

  	
   

  	
  A-/A3

  	
   

  	
  7.0 basis points

  	
   

  	
  27.5 basis points

  	
   

  	
  30.0 basis points

  	
   

  	
  35.0 basis points

  
	
  3

  	
   

  	
  BBB+/Baa1

  	
   

  	
  8.0 basis points

  	
   

  	
  35.75 basis points

  	
   

  	
  37.5 basis points

  	
   

  	
  47.5 basis points

  
	
  4

  	
   

  	
  BBB/Baa2 or worse

  	
   

  	
  12.0 basis points

  	
   

  	
  47.5 basis points

  	
   

  	
  52.5 basis points

  	
   

  	
  62.5 basis points

  

 

“Rating” means, as of any date of determination, the rating as  determined by either S&P or Moody’s (collectively, the “Ratings”)
of the Borrower’s non-credit-enhanced, senior unsecured long-term debt; provided
that (a) if the respective Ratings issued by the foregoing rating agencies
differ by one level, then the Pricing Level for the higher of such 

 

2

 

Ratings shall apply (with the Rating for Pricing Level 1 being the
highest and the Rating for Pricing Level 4 being the lowest); (b) if there
is a split in Ratings of more than one level, then the Pricing Level that is
one level higher than the Pricing Level of the lower Rating shall apply; (c) if
the Borrower has only one Rating, the Pricing Level for that Rating shall
apply; and (d) if the Borrower does not have any Rating, Pricing Level 4
shall apply.

 

Initially,
the Applicable Rate shall be determined based upon the Rating specified in the
certificate delivered pursuant to Section 3.01(a)(iv).  Thereafter, each change in the Applicable
Rate resulting from a publicly announced change in the Rating shall be
effective, in the case of an upgrade or downgrade, during the period commencing
on the date of the public announcement thereof and ending on the date
immediately preceding the effective date of the next such change.

 

“Application”
means a letter of credit application in the standard form thereof required by
the applicable Issuing Lender for the issuance of letters of credit generally.

 

“Approved
Fund” means any Fund that is administered or managed by (a) a Lender, (b) an
Affiliate of a Lender or (c) an entity or an Affiliate of an entity that
administers or manages a Lender.

 

“Assignment
and Assumption Agreement” means an assignment and assumption agreement
entered into by a Lender and an assignee (with the consent of any party whose consent
is required by Section 8.06(b)), and accepted by the Administrative
Agent, substantially in the form of Exhibit B attached hereto or
any other form approved by the Administrative Agent.

 

“Availability
Period” means the period from and including the Closing Date to the
earliest of (a) the Maturity Date, (b) the date of termination of the
Aggregate Commitments pursuant to Section 2.04(c), and (c) the
date of termination of the commitment of each Lender to make Revolving Advances
and of the obligation of the Issuing Lenders to issue Letters of Credit and
Bankers Acceptances pursuant to Section 6.02.

 

“Backing
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Bank
of America” means Bank of America, N.A. and its successors.

 

“Bankers
Acceptance” means a time draft in respect of a Documentary Letter of Credit
drawn on an Issuing Lender and accepted by an Issuing Lender.

 

“Base
Rate” means, for any day, a rate per annum equal to the higher of:

 

(a)           the prime commercial
lending rate of interest established by BNPP in New York, New York from time to
time as its prime rate; or

 

(b)           the sum of one-half
of one-percent (1/2%) plus the Federal Funds Rate for such day.

 

“Base
Rate Revolving Advance” means a Revolving Advance that bears interest as
provided in Section 2.05(a).

 

3

 

“BNPP”
means BNP Paribas and its successors.

 

“Borrower”
has the meaning specified in the preamble to this Agreement.

 

“BTMU”
means The Bank of
Tokyo-Mitsubishi UFJ, Ltd. and its successors.

 

“Business
Day” means any day except a Saturday, Sunday or other day on which
commercial banks in the States of California, Texas or New York are authorized
or required by law, regulation or executive order to close; provided, however,
that when used in connection with a Eurodollar Rate Revolving Advance, the term
“Business Day” does not include any day on which banks are not open for
dealings in Dollar deposits in the London interbank market.

 

“Citicorp”
means  Citicorp USA, Inc. and its successors.

 

“Closing
Date” means September 7, 2006.

 

“Code”
means the Internal Revenue Code of 1986, as amended, or any successor statute.

 

“Co-Documentation
Agents” means each of Bank of America and BTMU,  in their capacities as co-documentation agents, and their
respective successors in such capacities.

 

“Commitment”
means, at any time, for any Lender, the amount set forth opposite such Lender’s
name on Schedule 1.01(a) hereto under the heading “Commitment” or
in the Assignment and Assumption Agreement pursuant to which such Lender
becomes a party hereto, as such amount may be adjusted from time to time
pursuant to the terms and conditions hereof.

 

“Computation
Date” has the meaning specified in Section 2.12(b).

 

“Consolidated
Debt” means, at any date, the total Debt of the Borrower and its
Consolidated Subsidiaries, determined on a consolidated basis as of such date; provided,
that Consolidated Debt of the Borrower and its Consolidated Subsidiaries shall
exclude Debt of variable interest entities which is identified (as required by  and
referenced in FASB Interpretation No. 46, Consolidation of Variable
Interest Entities (January 2003), as may be modified or supplemented)
by separate line item in the balance sheet of the Borrower and its Consolidated
Subsidiaries as non-recourse to the Borrower and its Subsidiaries.

 

“Consolidated
Subsidiary” means any Subsidiary or other entity the accounts of which, at
any date, would be, in accordance with GAAP, consolidated with those of the
Borrower in its consolidated financial statements as of such date.

 

“Consolidated
Tangible Net Worth” means, at any date, the consolidated stockholders’
equity of the Borrower and its Consolidated Subsidiaries less their
consolidated Intangible Assets, all determined as of such date in accordance
with GAAP.  For purposes of this
definition “Intangible Assets” means the amount (to the extent reflected
in determining such consolidated stockholders’ equity) of (i) all
write-ups (other than write-ups resulting from foreign currency translations and
write-ups of assets of a going concern business made within twelve months after
the acquisition of such business) in the book value of any asset owned by the
Borrower or a Consolidated Subsidiary, and (ii) all unamortized debt
discount and expense, unamortized 

 

4

 

deferred
charges, goodwill, patents, trademarks, service marks, trade names, copyrights,
organization or developmental expenses and other intangible items.

 

“Controlled
Group” means all members of a controlled group of corporations and all
trades or businesses (whether or not incorporated) under common control which,
together with the Borrower, are treated as a single employer under Section 414(b) or
414(c) of the Code.

 

“Credit
Party” means each of the Administrative Agent, each Issuing Lender, each
Lender and their respective successors and assigns, and “Credit Parties”
means all such Persons, collectively.

 

“Debt”
of any Person means, at any date, without duplication, (i) all
indebtedness of such Person for borrowed money which would be classified as a
liability of such Person in accordance with GAAP on such Person’s balance
sheets, (ii) all obligations of such Person evidenced by bonds,
debentures, notes or other similar instruments (except for notes relating to
self insurance programs of such Person and/or its Subsidiaries which are not
classified as current liabilities of such Person or any of its Subsidiaries)
which would be classified as a liability of such Person in accordance with GAAP
on such Person’s balance sheets, (iii) all obligations of such Person to
pay the deferred purchase price of property or services, except trade accounts
payable arising in the ordinary course of business and foreign exchange
transactions, (iv) all obligations of such Person as lessee under capital
leases, (v) all obligations of such Person to purchase securities (or
other property) which arise out of or in connection with the sale of the same
or substantially similar securities or property, which obligations or any
portion thereof may, in accordance with their terms, become due on or before
the Maturity Date, (vi) all non-contingent obligations of such Person to
reimburse any bank or other Person in respect of amounts actually paid under a
letter of credit, a bankers acceptance or similar instrument, (vii) all
Debt of others secured by a Lien on any asset of such Person, whether or not
such Debt is assumed by such Person, (viii) all Debt of others Debt
Guaranteed by such Person, and (ix) all payment obligations of such Person
under any interest rate protection agreement (including, without limitation,
any interest rate swaps, caps, floors, collars and similar agreements).
Notwithstanding anything to the contrary contained herein, “Debt” of the
Borrower and its Consolidated Subsidiaries shall exclude Debt of variable
interest entities which is identified (as required by  and referenced in
FASB Interpretation No. 46, Consolidation of Variable Interest Entities
(January 2003), as may be modified or supplemented) by separate
line item in the balance sheet of the Borrower and its Consolidated
Subsidiaries as non-recourse to the Borrower and its Subsidiaries.

 

“Debt
Guarantee” by any Person means any obligation, contingent or otherwise, of
such Person directly or indirectly guaranteeing any Debt of any other Person
and, without limiting the generality of the foregoing, any obligation, direct
or indirect, contingent or otherwise, of such Person (i) to purchase or
pay (or advance or supply funds for the purchase or payment of) such Debt
(whether arising by virtue of partnership arrangements, by agreement to
keep-well, to purchase assets, goods, securities or services, to take-or-pay,
or to maintain financial statement conditions or otherwise) or (ii) entered
into for the purpose of assuring in any other manner the obligee of such Debt
of the payment thereof or to protect such obligee against loss in respect
thereof (in whole or in part); provided that the term “Debt Guarantee”
shall not include endorsements for collection or deposit in the ordinary course
of business. The term “Debt Guarantee” used as a verb has a corresponding
meaning.

 

5

 

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

 

“Documentary
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Dollar
Equivalent” means, at any time for the determination thereof, the amount of
Dollars which could be purchased with the amount of the relevant Foreign
Currency by the Administrative Agent (in accordance with normal banking
procedures) at the spot exchange rate therefor at about 12:00 noon (San
Francisco time) on such date of determination.

 

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

 

“Environmental
Laws” means any and all federal, state, local and foreign statutes, laws,
regulations, ordinances, rules, judgments, orders, decrees, permits, concessions,
grants, franchises, licenses, agreements or other governmental restrictions
relating to the environment, or to emissions, discharges or releases of
pollutants, contaminants, petroleum or petroleum products, chemicals or
industrial, toxic or hazardous substances or wastes into the environment,
including, without limitation, ambient air, surface water, ground water, or
land, or otherwise relating to the manufacture, processing, distribution, use,
treatment, storage, disposal, transport or handling of pollutants,
contaminants, petroleum or petroleum products, chemicals or industrial, toxic
or hazardous substances or wastes or the clean-up or other remediation thereof.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended, and the
regulations promulgated thereunder.

 

“Escalating
LC” means each Letter of Credit that, by its terms or the terms of the Application related thereto, provides
for one or more increases in the stated amount thereof.

 

“euro”
means the single currency of participating member states of the European Union.

 

“Eurocurrency
Liabilities” has the meaning specified in Regulation D of the FRB, as in
effect from time to time.

 

“Eurodollar
Rate” means, for any Interest Rate Determination Date with respect to any
Eurodollar Rate Revolving Advances for any Interest Period therefor, an
interest rate per annum (rounded upwards, if necessary, to the nearest 1/100 of
1%) equal to the rate per annum obtained by dividing (i) (a) the rate
per annum determined by the Administrative Agent by reference to the British
Bankers’ Association Interest Settlement Rates for deposits (for delivery on
the first day of such period) with a term equivalent to such period in Dollars,
determined as of approximately 11:00 a.m. (London, England time) on such
Interest Rate Determination Date (as set forth by Bloomberg Information Service
or any successor thereto or any other service selected by Administrative Agent
which has been nominated by the British Bankers’ Association as an authorized
information vendor for the purpose of displaying such rates), or (b) in
the event the rate referenced in the preceding clause (a) is not
available, the rate per annum equal to the offered quotation rate to first
class banks in the London interbank market by BNPP for deposits (for delivery
on the first day of the relevant period) in Dollars of amounts in same day
funds comparable to the principal amount of the applicable Revolving Advance of
the Administrative 

 

6

 

Agent,
in its capacity as a Lender, for which the Eurodollar Rate is then being
determined with maturities comparable to such period as of approximately 11:00 a.m.
(London, England time) on such Interest Rate Determination Date, by (ii) a
percentage equal to 100% minus the Eurodollar Rate Reserve Percentage for such
Interest Period.

 

“Eurodollar
Rate Revolving Advance” has the meaning specified in Section 2.05(b).

 

“Eurodollar
Rate Reserve Percentage” means, with respect to any Interest Period for any
Eurodollar Rate Revolving Advance, the reserve percentage applicable on the
Interest Rate Determination Date under regulations issued from time to time by
the FRB (or any successor) for determining the maximum reserve requirement
(including, without limitation, any emergency, supplemental or other marginal
reserve requirement) for a member bank of the Federal Reserve System in New
York City with respect to liabilities or assets consisting of or including
Eurocurrency Liabilities (or with respect to any other category of liabilities
that includes deposits by reference to which the interest rate on Eurodollar
Rate Revolving Advances is determined) having a term equal to such Interest
Period.

 

“Event
of Default” has the meaning specified in Section 6.01.

 

“Excess”
has the meaning specified in Section 2.12(b).

 

“Exchange
Equivalent” means, at any time for the determination thereof, with respect
to any amount (the “Original Amount”) of Dollars, the amount of any
relevant Foreign Currency which would be required to buy the Original Amount of
Dollars by the Administrative Agent (in accordance with normal banking
procedures) at the spot exchange rate therefor at about 12:00 noon (San
Francisco time) on such date of determination.

 

“Existing Credit Agreement” has the
meaning specified in the recitals hereto.

 

“Existing Lenders” has the meaning specified
in the recitals hereto.

 

“Existing Letter of Credit” means each of the
letters of credit described by date of issuance, amount, beneficiary and the
date of expiry on Schedule 1.01(b) hereto.

 

“Expiration
Date” has the meaning specified in Section 2.07(b).

 

“Federal
Funds Rate” means, for any day (the “accrual date”), the rate per annum
(rounded upward, if necessary, to the nearest 1/100th of 1%) equal to the
weighted average of the rates on overnight Federal funds transactions with
members of the Federal Reserve System arranged by Federal funds brokers on the
accrual date, as published by the Federal Reserve Bank of New York on the
Business Day next succeeding such day, provided that (i) if the
accrual date is not a Business Day, the Federal Funds Rate for the accrual date
shall be such rate on such transactions on the next preceding Business Day as
so published on the next succeeding Business Day, and (ii) if no such rate
is so published on such next succeeding Business Day, the Federal Funds Rate
for the accrual date shall be the average rate quoted to BNPP on the accrual
date (or next preceding Business Day) on such transactions as determined by the
Administrative Agent.

 

7

 

“Fee
Letter” means that certain letter agreement among BNPP, BNP Paribas
Securities Corp. and the Borrower dated as of July 26, 2006, as the same
may be amended, amended  and restated,
supplemented or otherwise modified from time to time.

 

“Financial
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Foreign
Currency” means Pounds Sterling, euro, Japanese Yen, Australian Dollar, New
Zealand Dollar, Mexican Peso, Canadian Dollar, Chilean Peso, Singapore Dollar,
Chinese Yuan and/or any other currency acceptable to the applicable Issuing
Lender, as the context requires.

 

“Foreign
Lender” has the meaning specified in Section 2.16(b).

 

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

 

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

 

“GAAP”
means generally accepted accounting principles consistent with those applied in
the preparation of the financial statements referred to in Section 4.04(a) as
of and for the fiscal year ended December 31, 2005.

 

“Governmental
Authority” means any nation or government, any state or other political subdivision
thereof, any entity exercising executive, legislative, judicial, regulatory or
administrative functions of or pertaining to government and any court or
arbitrator.

 

“Industry
Standards” has the meaning specified in Section 5.03(b).

 

“Information”
has the meaning specified in Section 8.10.

 

“Interest
Period” has the meaning specified in Section 2.05(b).

 

“Interest
Rate Determination Date” means, with respect to any Interest Period, the
date that is two Business Days prior to the first day of such Interest Period.

 

“Interest
Type” refers to the distinction between Revolving Advances bearing interest
at the Base Rate and Revolving Advances bearing interest at the Eurodollar
Rate.

 

“ISP”
means, with respect to any Letter of Credit, the “International Standby
Practices 1998” published by the Institute of International Banking Law &
Practice (or such later version thereof as may be in effect at the time of
issuance).

 

“Issuing
Lender” means each of BNPP, Bank of America, Citicorp and BTMU, each in its
capacity as an issuer of Letters of Credit and Bankers Acceptances hereunder,
and their respective successors and, with the consent of the Administrative
Agent (which consent shall not be unreasonably withheld) and at the request of
the Borrower, any other Lender (and its successors) that agrees to be an
Issuing Lender hereunder, in its capacity as issuer of one or more 

 

8

 

Letters
of Credit and Bankers Acceptances hereunder, and the term “Issuing Lenders”
means all such Persons, collectively.

 

“Joint
Lead Arranger” means each of Banc of America Securities LLC and BNP Paribas
Securities Corp., in their capacities as joint lead arrangers, and their
respective successors in such capacities.

 

“Joint
Venture” means any joint venture, partnership or other minority-owned
entity (other than a Subsidiary) in which the Borrower or any of its
Subsidiaries or other Affiliates owns an interest.

 

“LC
Disbursement” means a payment made by any Issuing Lender pursuant to a Letter
of Credit or a Bankers Acceptance.

 

“LC
Exposure” means at any time, the sum of (i) the aggregate undrawn
amount of all Letters of Credit at such time (provided that, with
respect to any Escalating LC, other than for purposes of calculating the
Utilization Percentage, such available amount shall equal the maximum amount
(after giving effect to all possible increases) available to be drawn under
such Escalating LC) plus (ii) the aggregate amount of all LC
Disbursements that have not yet been reimbursed by or on behalf of the Borrower
at such time plus (iii) the aggregate amount of all Bankers
Acceptances at such time.  The LC
Exposure of any Lender at any time shall be its Applicable Percentage of the
total LC Exposure at such time.  For all
purposes of this Agreement, if on any date of determination a Letter of Credit
has expired by its terms but any amount may still be drawn thereunder by reason
of the operation of Rule 3.14 of the ISP, such Letter of Credit shall be
deemed to be “outstanding” in the amount so remaining available to be drawn.

 

“Lender”
means each Person listed on Schedule 1.01(a) and any other Person
that shall have become a party hereto pursuant to an Assignment and Assumption
Agreement (other than any such Person that ceases to be a party hereto pursuant
to an Assignment and Assumption Agreement) and their successors and assigns.

 

“Lender
Addendum” means an instrument, substantially in the form of Exhibit G
attached hereto, by which a Lender that is not an Existing Lender becomes a
party to this Agreement as of the Closing Date.

 

“Lending
Office” means, as to each Lender, its office located at its address set
forth on the signature pages hereof (or identified on the signature pages hereof
or of the applicable Lender Addendum as its Lending Office), or such office as
may be set forth as a Lending Office of a Lender in any Assignment and
Assumption Agreement accepted by the Administrative Agent pursuant to Section 8.06(b),
or such other office as such Lender may hereafter designate as its Lending
Office by notice to the Borrower and the Administrative Agent.

 

“Letter
of Credit” means (a) a letter of credit denominated in Dollars or in a
Foreign Currency issued pursuant to this Agreement, which letter of credit is
in a form reasonably acceptable to the applicable Issuing Lender, and (b) any
Existing Letter of Credit, in each case as such letter of credit may be
amended, modified, extended, renewed or replaced from time to time, in each
case in accordance with this Agreement. 
A Letter of Credit may be a commercial letter of credit or a standby
letter of credit (including those referred to in Section 2.07(b)).

 

9

 

“Lien”
means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind in respect of such asset. For the purposes of this
Agreement, the Borrower or any Subsidiary shall be deemed to own subject to a
Lien any asset which it has acquired or holds subject to the interest of a
vendor or lessor under any conditional sale agreement, capital lease or other
title retention agreement relating to such asset.

 

“Loan
Documents” means this Agreement, each Application, each Letter of Credit,
each Bankers Acceptance, each Revolving Note, the Fee Letter, any security or
collateral documents to be delivered thereunder and any other documents or
certificates to be delivered thereunder or in connection therewith and all
amendments thereto and substitutions and replacements therefor and
modifications thereof.

 

“Material
Adverse Change” means any material and adverse change in the business,
assets, liabilities (actual or contingent), operations, condition (financial or
otherwise) or prospects of the Borrower and its Consolidated Subsidiaries
(taken as a whole) since December 31, 2005 which could reasonably be
expected to materially and adversely affect the ability of the Borrower to
perform its obligations under the Loan Documents at any time up to and
including the Maturity Date.

 

“Material
Plan” has the meaning specified in Section 6.01(i).

 

“Material
Subsidiary” means at any time a Subsidiary which as of such time meets the
definition of a “significant subsidiary” contained as of the date hereof in
Regulation S-X of the SEC.

 

“Maturity
Date” means that date which is five years after the Closing Date; provided, however, that if
such date is not a Business Day, the Maturity Date shall be the next preceding
Business Day.

 

“Maximum
Rate” has the meaning specified in Section 8.18.

 

“Moody’s”
means Moody’s Investors Service, Inc. and any successor thereto.

 

“Notice
of Conversion/Continuation” means a notice substantially in the form of Exhibit E
attached hereto.

 

“Notice
of Revolving Borrowing” means a notice substantially in the form of Exhibit D
attached hereto.

 

“Obligations”
means the collective reference to all obligations and liabilities of the
Borrower to the Credit Parties (including, without limitation, the
reimbursement obligations payable hereunder and all other obligations and
liabilities of the Borrower in respect of any Letter of Credit, any Bankers
Acceptance and any Revolving Advance and interest thereon as provided for
herein, and interest accruing at the then applicable rate provided in this
Agreement after the maturity of such obligations and liabilities and interest
accruing at the then applicable rate provided in this Agreement after the
filing of any petition in bankruptcy, or the commencement of any insolvency,
reorganization or like proceeding, relating to the Borrower whether or not a
claim for post-filing or post-petition interest is allowed in such proceeding),
whether direct or indirect, 

 

10

 

absolute
or contingent, due or to become due, or now existing or hereafter incurred,
which may arise under, out of, or in connection with, this Agreement, any other
Loan Document or any other document made, delivered or given in connection
herewith or therewith, in each case whether on account of principal, interest,
reimbursement obligations, fees, indemnities, costs, expenses or otherwise
(including, without limitation, all fees and disbursements of counsel to the
Administrative Agent, the Joint Lead Arrangers, the Sole Book Manager, the
Issuing Lenders or the Lenders that are required to be paid by the Borrower
pursuant to the terms of this Agreement or any other Loan Document).

 

“Patriot
Act” has the meaning specified in Section 8.20.

 

“PBGC”
means the Pension Benefit Guaranty Corporation or any entity succeeding to any
or all of its functions under ERISA.

 

“Performance
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Permitted
Investments” means, as at any date of determination, (i) marketable
securities (a) issued or directly and unconditionally guaranteed as to
interest and principal by the United States Government or (b) issued by
any agency of the United States the obligations of which are backed by the full
faith and credit of the United States, in each case maturing no more than one
year after such date; (ii) marketable direct obligations issued by any
state of the United States of America or any political subdivision of any such
state or any public instrumentality thereof, in each case maturing no more than
one year after such date and having, at the time of the acquisition thereof, a rating
of at least A-1 from S&P or at least P-1 from Moody’s; (iii) commercial
paper maturing no more than one year from the date of creation thereof and
having, at the time of the acquisition thereof, a rating of at least A-1 from
S&P or at least P-1 from Moody’s; (iv) certificates of deposit or
bankers’ acceptances maturing no more than one year after such date or
overnight bank deposits, in each case issued, accepted by or of any Lender, or
any commercial bank organized under the laws of the United States of America or
any state thereof or the District of Columbia that (a) is at least “adequately
capitalized” (as defined in the regulations of its primary Federal banking
regulator) and (b) has Tier 1 capital (as defined in such regulations) of
not less than $100,000,000; and (v) shares of any money market mutual fund
that (a) has its assets invested primarily and continuously in the types
of investments referred to in clauses (i) and (iv) above,
and (b) has net assets of not less than $500,000,000.

 

“Person”
means an individual, a corporation, a partnership, a limited liability company,
an association, a trust or any other entity or organization, including a
government or political subdivision or an agency or instrumentality thereof.

 

“Plan”
means at any time an employee pension benefit plan which is covered by Title IV
of ERISA or subject to the minimum funding standards under Section 412 of
the Code and is either (i) maintained by the Borrower or any Subsidiary
for employees of the Borrower or any Subsidiary or (ii) maintained
pursuant to a collective bargaining agreement or any other arrangement under
which more than one employer makes contributions and to which the Borrower or
any Subsidiary is then making or accruing an obligation to make contributions
or has within the preceding five plan years made contributions.

 

“Rating”
has the meaning specified in the definition of “Applicable Rate.”

 

11

 

“Regulation
U” means Regulation U of the FRB, as in effect from time to time.

 

“Related
Entity” has the meaning specified in Section 2.07(b).

 

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

 

“Required
Lenders” means, at any time, Lenders having more than 50% of the Aggregate
Commitments or, if the commitment of each Lender to make Revolving Advances and
the obligation of the Issuing Lenders to issue Letters of Credit and Bankers
Acceptances hereunder have been terminated pursuant to Section 6.02,
Lenders holding in the aggregate more than 50% of the aggregate outstanding
amount of all Revolving Advances and all LC Exposure (with the aggregate amount
of each Lender’s risk participation in LC Exposure being deemed “held” by such
Lender for purposes of this definition).

 

“Revolving
Advance” has the meaning specified in Section 2.01(a).

 

“Revolving
Borrowing” means a borrowing consisting of simultaneous Revolving Advances
of the same Interest Type and, in the case of Eurodollar Rate Revolving
Advances, having the same Interest Period, made by the Lenders pursuant to Section 2.01.

 

“Revolving
Note” means a promissory note made by the Borrower in favor of a Lender
evidencing Revolving Advances made by such Lender, substantially in the form of
Exhibit F attached hereto.

 

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

 

“SEC”
means the Securities and Exchange Commission, or any Governmental Authority
succeeding to any of its principal functions.

 

“Sole
Book Manager” means Banc of America Securities LLC, in its capacity as sole
book manager, and its successors in such capacity.

 

“Subsidiary”
of a Person means a corporation, partnership, joint venture, limited liability
company or other business entity of which a majority of the shares of
securities or other interests having ordinary voting power for the election of
directors or other governing body (other than securities or interests having
such power only by reason of the happening of a contingency) are at the time
beneficially owned, or the management of which is otherwise controlled,
directly, or indirectly through one or more intermediaries, or both, by such
Person.  Unless otherwise specified, all
references herein to a “Subsidiary” or to “Subsidiaries” shall refer to a
Subsidiary or Subsidiaries of the Borrower.

 

“Syndication
Agent” means Citicorp USA, Inc.,  in
its capacity as syndication agent, and its successors in such capacity.

 

“Taxes”
has the meaning specified in Section 2.16(a).

 

12

 

“UCC”
means the Uniform Commercial Code as in effect from time to time under the laws
of the State of New York.

 

“Unfunded
Vested Liabilities” means, with respect to any Plan at any time, the amount
(if any) by which (i) the present value of all vested nonforfeitable
benefits under such Plan exceeds (ii) the fair market value of all Plan
assets allocable to such benefits, all determined as of the then most recent
valuation date for such plan, but only to the extent that such excess
represents a potential liability of a member of the Controlled Group to the
PBGC or the Plan under Title IV of ERISA.

 

“Unused
Commitment” means, with respect to any Lender at any time, (a) such
Lender’s Commitment at such time, minus (b) the sum of (i) the
aggregate principal amount of all Revolving Advances of such Lender outstanding
at such time, plus (ii) such Lender’s LC Exposure outstanding at
such time.

 

“Utilization”
means, on any date, the sum of (i) the aggregate principal amount of all
Revolving Advances outstanding at such time, plus (ii) the total LC
Exposure outstanding at such time.

 

“Utilization
Percentage” means, on any date, the quotient of (i) the Utilization on
such date, divided  by (ii) the Aggregate Commitments on such
date.

 

SECTION 1.02.    Other Definitional
Provisions.

 

(a)   All terms defined in this Agreement shall have the meanings given
such terms herein when used in the Loan Documents or any certificate, opinion
or other document made or delivered pursuant hereto or thereto, unless
otherwise defined therein.

 

(b)   As used in the Loan Documents and in any certificate, opinion or
other document made or delivered pursuant hereto or thereto, accounting terms
not defined in Section 1.01, and accounting terms partly defined in
Section 1.01, to the extent not defined, shall have the respective
meanings given to them under GAAP.

 

(c)   The words “hereof”, “herein”, “hereto” and “hereunder” and similar
words when used in this Agreement shall refer to this Agreement as a whole and
not to any particular provision of this Agreement, and Section, schedule and
exhibit references contained herein shall refer to Sections hereof or schedules
or exhibits hereto unless otherwise expressly provided herein.

 

(d)   The word “or” shall not be exclusive; “may not” is prohibitive and
not permissive.

 

(e)   Unless the context otherwise requires, words in the singular
number include the plural, and words in the plural include the singular.

 

(f)    Unless specifically provided in a Loan Document to the contrary,
references to time shall refer to San Francisco time.

 

13

 

ARTICLE II

 

REVOLVING ADVANCES AND
LETTERS OF CREDIT

 

SECTION 2.01.    Revolving Advances.

 

(a)   Subject to the terms and conditions set forth herein, each Lender
severally agrees to make advances in Dollars (each a “Revolving Advance”)
to the Borrower from time to time on any Business Day during the Availability
Period, in an amount for each such Revolving Advance not to exceed such Lender’s
Unused Commitment on such Business Day; provided that at no time shall
the aggregate outstanding principal amount of the Revolving Advances of all of
the Lenders plus the aggregate LC Exposure (or the Dollar Equivalent
thereof (calculated as of the date of the requested Revolving Advance and any
other applicable date of determination)) of all of the Lenders exceed the
Aggregate Commitments.

 

(b)   Each Revolving Borrowing shall be in an aggregate amount of
$3,000,000 or an integral multiple of $1,000,000 in excess thereof and shall
consist of Revolving Advances made by the Lenders ratably according to their
respective Commitments.  Within the foregoing
limits, the Borrower may borrow under this Section 2.01, prepay
pursuant to Section 2.04 and reborrow under this Section 2.01.

 

SECTION 2.02.    Making the Revolving
Advances.

 

(a)   Each Revolving Advance. 
Each Revolving Borrowing shall be made in Dollars on notice received by
the Administrative Agent from the Borrower (pursuant to a Notice of Revolving
Borrowing) not later than 10:00 a.m. (San Francisco time): (i) on the
Business Day prior to the date of such Revolving Borrowing if such Revolving
Borrowing consists of Base Rate Revolving Advances, and (ii) on the third
Business Day prior to the date of such Revolving Borrowing if such Revolving
Borrowing consists of Eurodollar Rate Revolving Advances.  Each such Notice of Revolving Borrowing shall
be irrevocable upon receipt by the Administrative Agent.

 

(b)   Revolving Advances by Lenders.  If the Administrative Agent receives a Notice
of Revolving Borrowing, the Administrative Agent shall promptly (and in any
event not later than 1:00 p.m. (San Francisco time) on the Business Day
prior to the date of such Revolving Borrowing or, if such Revolving Borrowing
consists of Eurodollar Rate Revolving Advances, the third Business Day prior to
the date of such Revolving Borrowing) give each Lender notice of such Notice of
Revolving Borrowing.  Each Lender shall,
before 11:30 a.m. (San Francisco time) on the date of such Revolving
Borrowing in the case of any Revolving Borrowing to be made on such date, make
available for the account of its Lending Office to the Administrative Agent
such Lender’s ratable portion of such Revolving Borrowing by depositing
immediately available funds in Dollars in the Administrative Agent’s
Account.  Unless the Administrative Agent
shall have received written notice from a Lender prior to the date of any
Revolving Borrowing hereunder that such Lender will not make available to the
Administrative Agent such Lender’s ratable portion of such Revolving Borrowing,
the Administrative Agent may assume that such Lender has made such ratable
portion available to the Administrative Agent on the date of such Revolving
Borrowing in accordance with the terms hereof and the Administrative Agent may,
in reliance upon such assumption, but shall not be required to, make available
to or for the account 

 

14

 

of the Borrower on such date a corresponding
amount.  If and to the extent that such
Lender shall not have so made such ratable portion available to the
Administrative Agent and the Administrative Agent makes such ratable portion
available to the Borrower, such Lender and the Borrower, without prejudice to
any rights or remedies that the Borrower may have against such Lender,
severally agree to repay to the Administrative Agent forthwith on demand such
corresponding amount together with interest thereon, for each day from the date
such amount is made available to or for the account of the Borrower until the
date such amount is repaid to the Administrative Agent, at (A) in the case
of the Borrower, the interest rate applicable at the time to the Revolving
Advances comprising such Revolving Borrowing, and (B) in the case of such
Lender, the greater of the Federal Funds Rate and a rate determined by the
Administrative Agent in accordance with banking industry rules on
interbank compensation.  If such Lender
shall pay to the Administrative Agent such amount, such amount so paid shall
constitute such Lender’s Revolving Advance as part of the relevant Revolving
Borrowing for purposes of this Agreement and, to the extent that the Borrower
previously paid such amount to the Administrative Agent, the Administrative
Agent will refund to the Borrower such amount so paid, but without interest.

 

(c)   Disbursement of Revolving
Advances.  Upon
fulfillment of the applicable conditions set forth in Article III,
the Administrative Agent will make funds for any Revolving Borrowing available
to the Borrower by crediting such amount to the account designated by the
Borrower in the applicable Notice of Revolving Borrowing, subject to the
Administrative Agent’s receipt of funds from the Lenders, and provided that the
Administrative Agent shall first make a portion of such funds equal to any
outstanding LC Disbursement under any Letter of Credit or any Bankers
Acceptance, and any interest accrued and unpaid thereon to and as of such date,
available to the applicable Issuing Lender for reimbursement of such LC
Disbursement and payment of such interest.

 

SECTION 2.03.    Repayment of Revolving
Advances.  The
Borrower shall repay to each Lender (in accordance with the provisions of Section 2.14(a))
on the Maturity Date the aggregate principal amount of all Revolving Advances
owing to such Lender outstanding on the Maturity Date.

 

SECTION 2.04.    Optional Prepayments of
Revolving Advances; Voluntary Termination
or Reduction of Commitments.

 

(a)   Optional Prepayments. 
The Borrower may, upon prior notice to the Administrative Agent (which
shall be given not later than 10:00 a.m. (San Francisco time) on the day
of prepayment in the case of prepayment of Base Rate Revolving Advances and
three Business Days in advance in the case of prepayment of Eurodollar Rate
Revolving Advances) stating the proposed date and aggregate principal amount of
the prepayment and the Interest Type of Revolving Advances to be prepaid (and
if such notice is given the Borrower shall), prepay in whole or in part,
without premium or penalty, the outstanding principal of Revolving Advances of
such Interest Type, together with, in the case of any prepayment of Eurodollar
Rate Revolving Advances, interest thereon to the date of such prepayment on the
principal amounts prepaid (plus, in the case of prepayment of Eurodollar
Rate Revolving Advances prior to the end of the applicable Interest Period, any
additional amount for which the Borrower shall be obligated pursuant to Section 8.03(d));
provided, however, that each partial prepayment of Revolving
Advances shall be in an aggregate principal amount of not less than $3,000,000
or an integral multiple of $1,000,000 in excess thereof.

 

15

 

(b)   Application of Prepayments. 
Prepayments of the Revolving Advances made pursuant to this Section 2.04
shall be first applied to prepay LC Disbursements then outstanding until
such LC Disbursements are paid in full, and second applied to prepay
Revolving Advances then outstanding comprising part of the same Revolving
Borrowings until such Revolving Advances are paid in full.  The amount remaining (if any) after the
prepayment in full of the Revolving Advances then outstanding shall be applied
as set forth in Section 2.14(d).

 

(c)   Voluntary Termination
or Reduction of Commitments.  The
Borrower may, upon notice to the Administrative Agent, irrevocably terminate
the Aggregate Commitments, or from time to time permanently reduce the
Aggregate Commitments; provided that (i) any such notice shall be
received by the Administrative Agent not later than 11:00 a.m. (San
Francisco time) five Business Days prior to the date of termination or
reduction, (ii) any such partial reduction shall be in an aggregate amount
of $10,000,000 or any whole multiple of $1,000,000 in excess thereof, and (iii) the
Borrower shall not terminate or reduce the Aggregate Commitments if, after
giving effect thereto and to any concurrent prepayments hereunder, the sum of
the aggregate LC Exposure (or the Dollar Equivalent thereof) plus the
aggregate outstanding principal amount of the Revolving Advances of all of the
Lenders would exceed the Aggregate Commitments. 
The Administrative Agent will promptly notify the Lenders of any such
notice of termination or reduction of the Aggregate Commitments.  Any reduction of the Aggregate Commitments
shall be applied to the Commitment of each Lender according to its Applicable
Percentage.  All fees accrued in respect of the Aggregate Commitments until the
effective date of any termination or reduction of the Aggregate Commitments
shall be paid on the effective date of such termination or reduction, as
applicable.

 

SECTION 2.05.    Interest on Revolving
Advances.  The
Borrower shall pay interest on the unpaid principal amount of each Revolving
Advance from the date of such Revolving Advance until such principal is paid in
full at the applicable rate set forth below.

 

(a)   Interest on Base Rate Revolving Advances.  Except
as otherwise provided in this Agreement, the Borrower shall pay interest on the
unpaid principal amount of each Base Rate Revolving Advance, from the date of
such Base Rate Revolving Advance until such principal amount is paid in full,
payable quarterly in arrears on the last Business Day of each March, June, September and
December, commencing on the first such date to occur after the Closing Date,
and on the Maturity Date, at a fluctuating interest rate per annum equal,
subject to Section 2.05(d), to the Base Rate in effect from time to
time.

 

(b)   Interest Periods for Eurodollar Rate Revolving Advances.  The
Borrower may, pursuant to Section 2.05(c), elect to have the
interest on the principal amount of all or any portion of any Revolving
Advances made or to be made to the Borrower under Section 2.01, in
each case ratably according to the respective outstanding principal amounts of
Revolving Advances owing to each Lender (each such principal amount owing to a
Lender as to which such election has been made being a “Eurodollar Rate
Revolving Advance” owing to such Lender), determined and payable for a
specified period (an “Interest Period” for such Eurodollar Rate
Revolving Advance) in accordance with Section 2.05(c), provided,
however, that the Borrower may not (i) make any such election with
respect to any LC Disbursements, or (ii) have more than ten Eurodollar
Rate Revolving Advances owing to any Lender outstanding at any one time.  Each
Interest Period shall be one, two, three, six or (if available to all Lenders)
nine or twelve months, at the Borrower’s election pursuant to Section 2.05(c);
provided, however, that:

 

16

 

(i)            the first day of an Interest Period for any Eurodollar
Rate Revolving Advance shall be either the last day of any then current
Interest Period for such Revolving Advance or, if there shall be no then
current Interest Period for such Revolving Advance, any Business Day;

 

(ii)           whenever the last day of any Interest Period would
otherwise occur on a day other than a Business Day, the last day of such
Interest Period shall be extended to occur on the next succeeding Business Day;
provided, however, that if such extension would cause the last
day of such Interest Period to occur in the next following month, the last day
of such Interest Period shall occur on the next preceding Business Day;

 

(iii)          whenever the first day of any Interest Period occurs on a
day of the month for which there is no numerically corresponding day in the
calendar month that succeeds such initial calendar month by the number of
months equal to the number of months of such Interest Period, such Interest
Period shall end on the last Business Day of such succeeding calendar month;
and

 

(iv)          no Interest Period shall extend beyond the Maturity Date.

 

(c)   Interest on Eurodollar Rate Revolving Advances.  The
Borrower may from time to time, on the condition that no Default or Event of
Default has occurred and is continuing, and subject to the provisions of Sections
2.05(b) and 2.05(e), elect to pay interest on all or any
portion of any Revolving Advances during any Interest Period therefor at a rate
per annum equal to the sum of the Eurodollar Rate for such Interest Period for
such Revolving Advances plus the Applicable Rate in effect from time to
time, by notice, specifying the amount of the Revolving Advances as to which
such election is made (which amount shall aggregate at least $3,000,000 or any
multiple of $1,000,000 in excess thereof) and the first day and duration of
such Interest Period, received by the Administrative Agent before 10:00 a.m.
(San Francisco time) three Business Days prior to the first day of such
Interest Period.  If the Borrower has made such
election for Eurodollar Rate Revolving Advances for any Interest Period, the
Borrower shall pay interest on the unpaid principal amount of such Eurodollar
Rate Revolving Advances during such Interest Period, payable in arrears on the
last day of such Interest Period and, in the case of any Interest Period which
is longer than three months, on each three-month anniversary of the first day
of such Interest Period, in each case at a rate equal, subject to Section 2.05(d),
to the sum of the Eurodollar Rate for such Interest Period for such Eurodollar
Rate Revolving Advances plus the Applicable Rate in effect from time to
time during such Interest Period.  On the last day of each Interest
Period for any Eurodollar Rate Revolving Advance, the unpaid principal balance
thereof shall automatically become and bear interest as a Base Rate Revolving
Advance, except to the extent that the Borrower has elected to pay interest on
all or any portion of such amount for a new Interest Period commencing on such
day in accordance with this Section 2.05(c).  Each
notice by the Borrower under this Section 2.05(c) shall be
irrevocable upon receipt by the Administrative Agent.

 

(d)   Default Interest.  Upon the occurrence and during the
continuance of an Event of Default, (i) interest shall accrue, after as
well as before judgment, on any Revolving Advance then outstanding at a rate
that is 2% per annum in excess of the interest rate otherwise payable under
this Agreement with respect to such Revolving Advance (which, for the avoidance
of doubt, shall include the Applicable Rate); provided that, in the case
of any Eurodollar Rate

 

17

 

Revolving Advance, upon the expiration of the
Interest Period in effect at the time any such increase in interest rate is
effective such Eurodollar Rate Revolving Advance shall thereupon become a Base
Rate Revolving Advance and shall thereafter bear interest, after as well as
before judgment, at a rate which is 2% per annum in excess of the interest rate
otherwise payable under this Agreement for Base Rate Revolving Advances, (ii) letter
of credit fees payable under Section 2.19(b) shall accrue,
after as well as before judgment, at a rate which is 2% per annum in excess of
the rate otherwise payable under this Agreement, and (iii) interest shall
accrue, to the fullest extent permitted by law, after as well as before
judgment, and except as otherwise provided in Section 2.11 or
clause (i) above, on any overdue principal, interest or other amounts
payable hereunder at a rate that is 2% per annum in excess of the interest rate
otherwise payable under this Agreement with respect to Base Rate Revolving
Advances. 
Such interest and other amounts shall be payable upon demand.  Payment
or acceptance of the increased rates of interest provided for in this Section 2.05(d) is
not a permitted alternative to timely payment and shall not constitute a waiver
of any Event of Default or otherwise prejudice or limit any rights or remedies
of the Administrative Agent, any Lender or any other Credit Party.

 

(e)   Suspension of Eurodollar Rate Revolving Advances.

 

(i)            Illegality.  Notwithstanding any other
provision of this Agreement, if the introduction of or any change in or in the
interpretation of any law or regulation shall make it unlawful, or any central
bank or other governmental authority shall assert that it is unlawful, for any
Lender to perform its obligations hereunder to make Eurodollar Rate Revolving
Advances or to continue to fund or maintain Eurodollar Rate Revolving Advances
hereunder, then, on notice thereof and demand therefor by such Lender to the
Borrower through the Administrative Agent, (i) each Eurodollar Rate
Revolving Advance will automatically, upon such demand, convert into a Base
Rate Revolving Advance, and (ii) the obligation of the Lenders to make, or
to convert Revolving Advances into, Eurodollar Rate Revolving Advances shall be
suspended until the Administrative Agent shall notify the Borrower that such
Lender has determined that the circumstances causing such suspension no longer
exist.

 

(ii)           Other Circumstances.  If, with respect to
any Eurodollar Rate Revolving Advances, (A) the Administrative Agent shall
determine in good faith (which determination shall be conclusive) that the Eurodollar
Rate cannot be determined in accordance with the definition thereof, or (B) the
Required Lenders notify the Administrative Agent that the Eurodollar Rate for
any Interest Period for such Revolving Advances will not adequately reflect the
cost to such Lenders of making, funding or maintaining their Eurodollar Rate
Revolving Advances for such Interest Period, the Administrative Agent shall
forthwith so notify the Borrower and the Lenders, whereupon (i) each such
Eurodollar Rate Revolving Advance will automatically, on the last day of the
then existing Interest Period therefor, convert into a Base Rate Revolving
Advance and (ii) the obligation of the Lenders to make, or to convert
Revolving Advances into, Eurodollar Rate Revolving Advances shall be suspended
until the Administrative Agent shall notify the Borrower that such Lenders have
determined that the circumstances causing such suspension no longer exist.

 

(f)    Suspension on Event of Default.  Upon the occurrence
and during the continuance of any Event of Default, (i) each Eurodollar
Rate Revolving Advance will automatically, on the last day of the then existing
Interest Period therefor, convert into a Base

 

18

 

Rate Revolving Advance and (ii) the obligation
of the Lenders to make, or to convert Revolving Advances into, Eurodollar Rate
Revolving Advances shall be suspended.

 

SECTION 2.06.    Conversion and Continuation
of Revolving Advances.

 

(a)   Optional.  So long as no Default or Event of
Default shall have occurred and then be continuing, the Borrower shall have the
option: (i) to convert at any time all or any part of any Revolving
Advance equal to $3,000,000 and integral multiples of $1,000,000 in excess of
that amount from one Interest Type comprising the same Revolving Borrowing into
Revolving Advances of the other Interest Type; provided, a Eurodollar
Rate Revolving Advance may only be converted on the expiration of the Interest
Period applicable to such Eurodollar Rate Revolving Advance unless the Borrower
shall pay all amounts due under Section 8.03(d) in connection
with any such conversion; or (ii) upon the expiration of any Interest
Period applicable to any Eurodollar Rate Revolving Advance, to continue all or
any portion of such Revolving Advance equal to $3,000,000 and integral
multiples of $1,000,000 in excess of that amount as a Eurodollar Rate Revolving
Advance.  The Borrower shall deliver a
Notice of Conversion/Continuation to the Administrative Agent no later than
10:00 a.m. (San Francisco time) at least one Business Day in advance of
the proposed conversion date (in the case of a conversion to a Base Rate
Revolving Advance) and at least three Business Days in advance of the proposed
conversion/continuation date (in the case of a conversion to, or a continuation
of, a Eurodollar Rate Revolving Advance). 
Except as otherwise provided herein, a Notice of Conversion/Continuation
for conversion to, or continuation of, any Eurodollar Rate Revolving Advances
shall be irrevocable and binding on the Borrower and shall be subject to Section 8.03(d).  Each conversion of Revolving Advances
comprising part of the same Revolving Borrowing shall be made ratably among the
Lenders in accordance with their applicable Commitments.

 

(b)   Mandatory.  On the date on which the aggregate
unpaid principal amount of Eurodollar Rate Revolving Advances comprising any
Revolving Borrowing shall be reduced, by payment or prepayment or otherwise, to
less than $3,000,000, such Revolving Advances shall automatically convert into Base
Rate Revolving Advances.

 

SECTION 2.07.    Issuance of Letters of
Credit and Creation of Bankers Acceptances

 

(a)   Letter of Credit Request. 
Subject to the terms and conditions set forth herein, the Borrower may
request the issuance of, and the Issuing Lender, in reliance on the agreements
of the Lenders set forth in Section 2.08 hereof, agrees to issue
Letters of Credit for the account of the Borrower or for the account of the
Borrower on behalf of, or in support of obligations of,  any
of the Borrower’s Subsidiaries or, in the case of Letters of Credit other than
Financial Letters of Credit, for the account of the Borrower on behalf of, or
in support of obligations of,  any Joint
Venture or any other Affiliate of the Borrower, at any time and from time to time
during the period from the Closing Date through the date that is seven Business
Days prior to the Maturity Date.  To
request the issuance of a Letter of Credit, the Borrower shall deliver to the
applicable Issuing Lender and the Administrative Agent (reasonably in advance
of the requested date of issuance, and, in any event, not less than five
Business Days prior to such requested date of issuance) a notice requesting the
issuance of such Letter of Credit and specifying the date of issuance (which shall
be a Business Day), the address of the beneficiary thereof, the amount and

 

19

 

currency of such Letter of Credit, the type of such Letter of Credit
(Performance Letter of Credit, Backing Letter of Credit, Financial Letter of
Credit or Documentary Letter of Credit) and such other information as shall be
necessary to prepare such Letter of Credit (and the Administrative Agent shall
promptly provide notice to each Lender of each issuance of a Letter of Credit hereunder).  To request the amendment of a Letter of
Credit, the Borrower shall deliver to the applicable Issuing Lender and the
Administrative Agent (reasonably in advance of the requested date of amendment,
and, in any event, not less than three Business Days prior to such requested
date of amendment) a notice requesting the amendment of such Letter of Credit
and specifying such other information as shall be necessary to prepare such
amendment (and the Administrative Agent shall promptly provide notice to each
Lender of each amendment of a Letter of Credit hereunder).  Notwithstanding anything to the contrary
contained herein, no Issuing Lender shall issue or amend any Letter of Credit
or create any Bankers Acceptance if, after giving effect to such issuance,
amendment or creation, the aggregate LC Exposure (or the Dollar Equivalent
thereof) plus the aggregate outstanding principal amount of the
Revolving Advances of all of the Lenders shall exceed the Aggregate
Commitments.  The applicable Issuing
Lender shall obtain confirmation of the immediately preceding sentence in
writing  from the Administrative
Agent prior to issuing or amending any Letter of Credit or creating any Bankers
Acceptance hereunder.  All Existing
Letters of Credit shall be deemed to have been issued pursuant hereto, and from
and after the Closing Date shall be subject to and governed by the terms and
conditions hereof.  The Borrower’s reimbursement obligations in
respect of each Existing Letter of Credit, and each Lender’s participation obligations
in connection therewith, shall be governed by the terms of this Agreement.

 

(b)   Terms of Letters of Credit
and Bankers Acceptance.  Each
Letter of Credit and each Bankers Acceptance shall expire on an expiry date
(such date being the “Expiration Date”) not later than the seventh
Business Day prior to the Maturity Date. 
In the event that the applicable Issuing Lender’s office is closed on
the applicable Expiration Date, such date shall be extended to the next
Business Day on which such office is open. Letters of Credit shall be issued
hereunder as follows: (a) to support the Borrower’s, its Subsidiaries’,
its Affiliates’ and Joint Ventures’ (such Subsidiaries, Affiliates and Joint
Ventures, collectively, the “Related Entities” and each, a “Related Entity”)
performance under specific project engineering, procurement, construction and
maintenance contracts (each, a “Performance Letter of Credit”), (b) to
back bank guarantees issued by other banks to support such performance (each, a
“Backing Letter of Credit”) so long as the applicable Issuing Lender, in
its sole discretion, determines: (i) that such issuance is lawful and such
Backing Letters of Credit qualify as independent undertakings for regulatory
purposes, and (ii) that such issuance does not violate any terms or
provisions of this Agreement, (c) financial standby Letters of Credit
(each, a “Financial Letter of Credit”), and (d) as commercial
Letters of Credit (each, a “Documentary Letter of Credit”); provided
that all standby Letters of Credit must
qualify as performance-based or financial guarantee-type letters of credits
under applicable rules and regulations.  Each Letter of Credit and each Bankers
Acceptance shall be denominated in Dollars or in a Foreign Currency.  The face amount of any Letter of Credit or
Bankers Acceptance shall not be less than $100,000 (or the Exchange Equivalent
thereof determined as of the date of issuance) or such lesser amount as is
acceptable to the applicable Issuing Lender. 
At no time shall the aggregate outstanding principal amount of the
Revolving Advances of all of the Lenders plus the aggregate LC Exposure
(or the Dollar Equivalent thereof) of all of the Lenders exceed the Aggregate
Commitments.  The applicable Issuing
Lender shall not be under any obligation to issue or amend any Letter of Credit
or create any Bankers Acceptance if (i) the issuance or amendment of such
Letter of Credit or creation of

 

20

 

any Bankers Acceptance would violate one or more
policies of the applicable Issuing Lender or (ii) any order, judgment or
decree of any Governmental Authority or arbitrator shall by its terms purport
to enjoin or restrain the applicable Issuing Lender from issuing or amending
such Letter of Credit or creating such Bankers Acceptance, or any law
applicable to such Issuing Lender or any request or directive from any
Governmental Authority with jurisdiction over such Issuing Lender shall
prohibit, or request that such Issuing Lender refrain from, the issuance of letters
of credit generally or the creation of bankers acceptances generally or such
Letter of Credit or Bankers Acceptance in particular.  In the event of any inconsistency between the
terms and conditions of any Application delivered by the Borrower pursuant to Section 3.02
and the terms and conditions of this Agreement, the terms and conditions of
this Agreement shall control.  The
applicable Issuing Lender will promptly deliver to the Administrative Agent a
true and complete copy of each Letter of Credit issued by it hereunder and each
Bankers Acceptance created by it hereunder and each amendment thereto.

 

(c)   Letters of Credit Issued on behalf of Related Entities.  Notwithstanding that a Letter of Credit
issued or outstanding hereunder is in support of any obligations of, or is for
the account of the Borrower on behalf of a Related Entity, the Borrower shall
be unconditionally obligated to reimburse the applicable Issuing Lender
hereunder for any and all drawings under such Letter of Credit or any Bankers Acceptance
relating thereto.  The Borrower will, at
its expense, promptly execute, acknowledge and deliver such further documents
and do such other acts and things as the Administrative Agent or the applicable
Issuing Lender may reasonably request in order to effect fully the purposes of
this Section 2.07(c).

 

(d)   Applicability of ISP and UCP.  Unless otherwise expressly agreed
by the Issuing Lender and the Borrower when a Letter of Credit is issued
(including any such agreement applicable to an Existing Letter of Credit), (i) the
rules of the ISP shall apply to each standby Letter of Credit, and (ii) the
rules of the Uniform Customs and Practice for Documentary Credits, as most
recently published by the International Chamber of Commerce at the time of
issuance shall apply to each commercial Letter of Credit.

 

SECTION 2.08.    Participations in Letters of
Credit and Bankers Acceptances.

 

On the Closing Date with respect to each Existing
Letter of Credit and upon the issuance of any other Letter of Credit or
the creation of any Bankers Acceptance (or upon a Person becoming a Lender
hereunder), in each case without any further action on the part of the Issuing
Lenders or the Lenders, the applicable Issuing Lender hereby grants to each
Lender, and each Lender hereby acquires from the applicable Issuing Lender, a
participation in such Letter of Credit or Bankers Acceptance equal to such
Lender’s Applicable Percentage of the aggregate amount available to be drawn
under such Letter of Credit or Bankers Acceptance, as applicable.  In consideration and in furtherance of the
foregoing, each such Lender hereby absolutely and unconditionally agrees to pay
to the Administrative Agent, for the account of the applicable Issuing Lender,
such Lender’s Applicable Percentage of each LC Disbursement made by the
applicable Issuing Lender and not reimbursed for any reason by the Borrower on
the date due as provided in Section 2.09 hereof, or of any
reimbursement payment required to be refunded to the Borrower for any
reason.  Each Lender acknowledges and
agrees that its obligation to acquire participations and make payments pursuant
to this paragraph in respect of each Letter of Credit and each Bankers
Acceptance is absolute and unconditional and shall not be affected by any
circumstance whatsoever (other than the issuance of any Letter of Credit or
Bankers Acceptance

 

21

 

in
excess of the amounts described in Section 2.07(a) as of the
date of issuance and other than amendments to any Letter of Credit in violation
of Section 8.05 to provide for an Expiration Date subsequent to the
Maturity Date), including the occurrence and continuance of a Default or such
participation or payment exceeding such Lender’s Commitments or the Aggregate
Commitments by reason of currency fluctuations, and that each such payment
shall be made without any offset, abatement, withholding or reduction
whatsoever.

 

SECTION 2.09.    Reimbursement in Respect of
Letters of Credit and Bankers Acceptances.

 

(a)   Reimbursement Obligations. 
If any Issuing Lender shall make any LC Disbursement, such Issuing
Lender shall notify the Borrower of such LC Disbursement, and the Borrower
shall reimburse such Issuing Lender in an amount equal to such LC Disbursement
by paying such Issuing Lender in Dollars an amount equal to such LC
Disbursement (or the Dollar Equivalent thereof, as applicable): (i) not
later than 12:00 noon (San Francisco time) on the date that such LC
Disbursement is made by such Issuing Lender or (ii), if the Borrower shall have
received notice of such LC Disbursement later than 12:00 noon (San Francisco
time) on any Business Day or on a day that is not a Business Day, not later
than 12:00 noon (San Francisco time) on the immediately following Business Day.  If the Borrower fails to make such payment
under this paragraph at the time specified in the preceding sentence, the
applicable Issuing Lender shall notify each Lender and the Administrative Agent
of the applicable LC Disbursement, the payment in Dollars then due from the
Borrower in respect thereof and such Lender’s Applicable Percentage
thereof.  The amounts set forth in such
notice shall be conclusive absent manifest error.  Upon the receipt of
such notice, (x) the Borrower shall be deemed to have submitted, as of the
date that such LC Disbursement is made, a Notice of Revolving Borrowing (and
shall be deemed to have made certifications, representations and warranties set
forth therein) for a Revolving Advance consisting of a Base Rate Revolving
Advance in the amount of such LC Disbursement (or the Dollar Equivalent
thereof, as applicable), (y) if all terms and conditions set forth herein
for making a Revolving Advance (other than the receipt of a Notice of Revolving
Borrowing) shall have been satisfied, such Revolving Advance shall be made as
provided in Sections 2.01 and 2.02 except that the amount of such
Revolving Advance shall be disbursed to the applicable Issuing Lender and (z) such
Revolving Advance shall be subject to and governed by the terms and conditions
hereof.  In the event a Revolving Advance
is not made as provided in the immediately preceding sentence for any reason
(including as a result of any failure to fulfill the applicable conditions set
forth in Section 2.02 or Article III) or any Revolving
Advance made pursuant to the immediately preceding sentence is insufficient to
reimburse the applicable Issuing Lender for such LC Disbursement in full, each
Lender shall forthwith pay to the applicable Issuing Lender in Dollars its
Applicable Percentage of the unreimbursed LC Disbursement.  If any amount required to be paid by any
Lender in respect of an unreimbursed LC Disbursement pursuant to this Section 2.09
is not made available to the applicable Issuing Lender by such Lender on the
date such payment is due (the “due date”), the applicable Issuing Lender shall
be entitled to recover from such Lender, on demand, such amount with interest
thereon calculated from the due date at the greater of the Federal Funds Rate
and a rate determined by the Administrative Agent in accordance with banking
industry rules on interbank compensation. 
Promptly following receipt by the applicable Issuing Lender of any
payment from the Borrower pursuant to this Section 2.09, to the
extent that Lenders have made payments pursuant to this Section 2.09
to reimburse such Issuing Lender, then such Issuing Lender shall distribute
such payment received from the Borrower to such Lenders as their interests may
appear. Any payment

 

22

 

made by a Lender pursuant to this paragraph to
reimburse any Issuing Lender for any LC Disbursement shall not relieve the
Borrower of its obligation to reimburse such LC Disbursement.  Each Lender acknowledges and agrees that its
obligations under this Section 2.09 shall survive the payment by
the Borrower of all LC Disbursements and any termination of this
Agreement.  Without limiting the
foregoing, in the event that any reimbursement of an LC Disbursement by the
Borrower to any Issuing Lender is required to be repaid to the Borrower
(pursuant to a proceeding in bankruptcy or otherwise), then the applicable
Issuing Lender shall continue to be entitled to recover from each Lender, on
demand, the portion of such repaid amount as shall be determined in accordance
with this Section 2.09.

 

(b)   Obligations Absolute. 
Subject to the provisions of this Agreement, the Borrower’s obligation
to reimburse LC Disbursements as provided in Section 2.09(a) shall
be absolute, unconditional and irrevocable and shall be performed strictly in
accordance with the terms of this Agreement under any and all circumstances
whatsoever and irrespective of (i) any lack of validity or enforceability
of any Letter of Credit, any Bankers Acceptance or this Agreement, or any term
or provision therein or herein, (ii) any draft or other document presented
under any Letter of Credit or in respect of any Bankers Acceptance proving to
be forged, fraudulent or invalid in any respect or any statement therein being
untrue or inaccurate in any respect, (iii) payment by any Issuing Lender
under any Letter of Credit or Bankers Acceptance against presentation of a
draft or other document that does not comply with the terms of such Letter of
Credit or Bankers Acceptance, (iv) the existence of any claim, setoff,
defense or other right that the Borrower or any Subsidiary or Affiliate thereof
may at any time have against any beneficiary of any Letter of Credit, any
Bankers Acceptance, any Credit Party or any other Person, whether under this
Agreement or any other related or unrelated agreement or transaction, or (v) any
other event or circumstance whatsoever, whether or not similar to any of the
foregoing, that might, but for the provisions of this Section 2.09,
constitute a legal or equitable discharge of, or provide a right of setoff
against, the Borrower’s obligations hereunder. The Lenders, the Issuing Lenders
and the Administrative Agent shall not have any liability or responsibility by
reason of or in connection with the issuance or transfer of any Letter of
Credit or the creation of any Bankers Acceptance or any payment or failure to
make any payment thereunder (irrespective of any of the circumstances referred
to in the preceding sentence), or any error, omission, interruption, loss or
delay in transmission or delivery of any draft, notice or other communication
under or relating to any Letter of Credit or any Bankers Acceptance (including
any document required to make a drawing thereunder), any error in
interpretation of technical terms or any consequence arising from causes beyond
the control of any Issuing Lender. The parties hereto expressly agree that, in
the absence of gross negligence or willful misconduct on the part of the
applicable Issuing Lender (as finally determined by a court of competent
jurisdiction), the Issuing Lender shall be deemed to have exercised care in
each determination relating to the foregoing. In furtherance of the foregoing
and without limiting the generality thereof, the parties agree that, with
respect to documents presented which appear on their face to be in substantial
compliance with the terms of any Letter of Credit or any Bankers Acceptance,
the applicable Issuing Lender may, in its sole discretion, either accept and
make payment upon such documents without responsibility for further
investigation, regardless of any notice or information to the contrary, or
refuse to accept and make payment upon such documents if such documents are not
in strict compliance with the terms of such Letter of Credit or Bankers
Acceptance.

 

23

 

SECTION 2.10.    Disbursement Procedures for
Letters of Credit and Bankers Acceptances; Reporting.

 

(a)   Disbursement Procedures for Letters of Credit and Bankers
Acceptances. The applicable Issuing Lender shall, promptly following its
receipt thereof, examine all documents purporting to represent a demand for
payment under a Letter of Credit or Bankers Acceptance. The applicable Issuing
Lender shall promptly notify the Administrative Agent and the Borrower by
telephone (confirmed by telecopy) of such demand for payment and whether such
Issuing Lender has made or will make an LC Disbursement thereunder; provided
that any failure to give or delay in giving such notice shall not relieve the
Borrower of its obligation to reimburse such Issuing Lender or the obligations
of the Lenders with respect to any such LC Disbursement.

 

(b)   Reporting.  Each Issuing Lender
shall, no later than the tenth Business Day following the last day of each
month, provide to the Administrative Agent (and the Administrative Agent shall
forward to the Lenders) schedules, in form and substance reasonably
satisfactory to the Administrative Agent, showing the date of issue, account
party, applicable currency, amount in such currency and Expiration Date for
each Letter of Credit issued and each Bankers Acceptance created by such
Issuing Lender hereunder and outstanding at any time during such month.

 

SECTION 2.11.    Interest on LC Disbursements
and Reimbursement of Other Amounts.

 

In
the event the Borrower fails to reimburse any applicable Issuing Lender in full
for any LC Disbursement by the time prescribed in Section 2.09(a) and
a Revolving Advance is not made as provided in Section 2.09(a) or
any Revolving Advance made pursuant to Section 2.09(a) is
insufficient to reimburse the applicable Issuing Lender for such LC
Disbursement in full, (i) the unpaid or unreimbursed amount thereof shall
bear interest, for each day from and including the date such LC Disbursement is
made to but excluding the date that the Borrower reimburses such LC
Disbursement, after as well as before judgment, at a rate per annum equal to
the Base Rate plus 2.0%, and (ii) the Borrower shall also reimburse
the applicable Issuing Lender upon demand for any losses incurred by such
Issuing Lender in connection with changes in the foreign exchange rates as a
result of the Borrower’s failure to reimburse such LC Disbursement by the time
prescribed in Section 2.09(a). Interest accrued pursuant to this Section 2.11
shall be for the account of the applicable Issuing Lender, except that interest
accrued on and after the date of payment by any Lender pursuant to Section 2.09(a) to
reimburse the applicable Issuing Lender shall be for the account of such Lender
to the extent of such payment.

 

SECTION 2.12.    Cash Collateralization.

 

(a)   Deposit of Collateral Upon an Event of Default.  If any Event of Default shall occur and be
continuing, then on the Business Day that the Borrower receives notice from the
Administrative Agent or the Required Lenders demanding the deposit of cash
collateral pursuant to this paragraph, the Borrower shall deposit in an account
with the Administrative Agent, in the name of the Administrative Agent and for
the benefit of the Lenders, an amount in cash in Dollars equal to the Dollar
Equivalent of the aggregate LC Exposure as of such date plus any accrued
and unpaid fees thereon; provided that (i) the obligation to
deposit such cash 

 

24

 

collateral shall become effective immediately, and
such deposit shall become immediately due and payable, without demand or other
notice of any kind, upon the occurrence of any Event of Default described in paragraph
(g) or (h) of Section 6.01 and (ii) the
Borrower shall be obligated, from time to time and upon demand by the
Administrative Agent, to deposit additional amounts into said account in cash
in Dollars as necessary to maintain an amount on deposit equal to the Dollar
Equivalent of the total aggregate LC Exposure plus any accrued and
unpaid fees thereon (as determined at any time).

 

(b)   Deposit of Collateral for Foreign Exchange Differential.  In addition to the foregoing, if on any
Computation Date (as defined below): the outstanding principal amount of
Revolving Advances plus the Dollar Equivalent of aggregate LC Exposure
exceeds the Aggregate Commitments (any such excess amount, the “Excess”)
by, in any case, $10,000,000 or more, the Administrative Agent shall provide
notice thereof to the Borrower and demand the deposit of cash collateral
pursuant to this paragraph.  On the Business
Day on which the Borrower receives such notice, the Borrower shall deposit in
an account with the Administrative Agent, in the name of the Administrative
Agent and for the benefit of the Lenders and the Issuing Lenders, an amount in
cash in Dollars equal to the full amount of such Excess; provided that
the Borrower shall be obligated, from time to time and upon demand by the
Administrative Agent, to deposit additional amounts into said account in cash
in Dollars as necessary to maintain an amount on deposit equal to the Excess
(as determined at any time). The Administrative Agent shall produce copies of
any calculations or reports relating to the foregoing upon written request from
the Borrower or any Lender.  The
Administrative Agent may, and at the instruction of the Required Lenders shall,
undertake such calculations at any time; provided that in any event the
Administrative Agent shall undertake such calculations at least once per
calendar quarter, and the Administrative Agent shall not be required to
undertake such calculations more frequently than once per calendar month
without its consent.  Each day upon or as
of which the Administrative Agent undertakes the calculations described above
in this Section 2.12(b) is referred to herein as a “Computation
Date”.

 

(c)   Cash Collateral Accounts. 
Each deposit under Section 2.12(a) and 2.12(b) shall
be held by the Administrative Agent (subject to Section 7.09) as
collateral for the payment and performance of the obligations of the Borrower
under this Agreement. The Administrative Agent shall have exclusive dominion
and control, including the exclusive right of withdrawal, over such account. If
required by the Administrative Agent, the Borrower shall enter into any pledge
or security agreement and UCC financing statement with respect to such cash
collateral in favor of the Administrative Agent as the Administrative Agent
shall require.  Such deposits shall be
invested in Permitted Investments selected by the Administrative Agent in its
sole discretion.  All losses and expenses
incurred as a result of such activities shall be for the account of the
Borrower.  Interest or profits, if any,
on such investments shall accumulate in such accounts.  Moneys in such accounts may be applied by the
Administrative Agent (at its sole discretion) (i) to reimburse each
Issuing Lender for LC Disbursements for which it has not been reimbursed; and (ii) to
the extent not so applied, may be held for the satisfaction of the
reimbursement obligations of the Borrower for the LC Exposure at such time or
any other Obligations or to cover any losses in respect of any Excess.  If the Borrower is required to provide an
amount of cash collateral hereunder as a result of the occurrence of an Event
of Default, and all Defaults are subsequently cured or waived and no Excess is
then in existence, such amount (to the extent not applied as aforesaid) shall
be returned to the Borrower within three Business Days after request therefor
by the Borrower.  If the Borrower is
required to provide an amount of cash collateral hereunder as a 

 

25

 

result of any Excess, and the Administrative Agent
shall subsequently determine that the amount of such Excess is equal to or less
than the amount on deposit in respect of the existence of such Excess, provided
there is no Default then in existence, such excess amount of cash, if greater
than $1,000,000 (to the extent not applied as aforesaid), shall be returned to
the Borrower within three Business Days after request therefor by the Borrower.

 

(d)   Custody of Cash Collateral. 
Beyond the exercise of reasonable care in the custody thereof and
investment of cash collateral deposits pursuant to the terms hereof, the
Administrative Agent shall have no duty as to any cash collateral in its
possession or control or in the possession or control of any agent or bailee or
any income thereon or as to the preservation of rights against prior parties or
any other rights pertaining thereto.  The
Administrative Agent shall be deemed to have exercised reasonable care in the
custody and preservation of the cash collateral in its possession if the cash
collateral is accorded treatment substantially equal to that which it accords
its own property and shall not be liable or responsible for any loss or damage
to any of the cash collateral or for any diminution in the value thereof by
reason of the act or omission of any agent or bailee selected by the
Administrative Agent in good faith.  All
expenses and liabilities incurred by the Administrative Agent in connection
with taking, holding and disposing of any cash collateral (including customary
custody and similar fees with respect to any cash collateral held directly by
the Administrative Agent), shall be paid by the Borrower from time to time upon
demand.

 

SECTION 2.13.    Obligations.

 

Anything in this Agreement to the contrary
notwithstanding, each of the Borrower and each Lender shall continue to be
bound by all of its obligations hereunder, including without limitation, its
obligations under Sections 2.03, 2.08 and 2.09, until such
time as all outstanding Revolving Advances have been paid in full, each Letter
of Credit has expired, each Bankers Acceptance has expired and no further
Obligation, LC Exposure or Commitment exists.

 

SECTION 2.14.    General Provisions as to
Payments.

 

(a)   Manner and Time of Payment. 
The Borrower shall make each payment hereunder (including, without
limitation, in respect of the LC Disbursements), and interest thereon, and all
fees due in respect of the transactions contemplated by this Agreement in
Dollars in Federal or other funds immediately available in San Francisco, to
the Administrative Agent at its address referred to in Section 8.01(a).
Except as otherwise provided in Section 2.05(b)(ii), whenever any
such payment shall be due on a day which is not a Business Day, the date for
payment thereof shall be extended to the next succeeding Business Day, and such
extension of time shall in such case be included in the computation of payment
of interest or additional compensation. If the date for any payment of
principal is extended by operation of law or otherwise, interest thereon shall
be payable for such extended time.  Any
payment made by the Borrower after 12:00 noon (San Francisco time) on any day
shall be deemed to have been made on the next Business Day for the purpose of
calculating interest on amounts outstanding in respect of any Obligations.  All payments required to be made by the
Borrower hereunder shall be made in Dollars and shall be made without setoff or
counterclaim.

 

(b)   Application of Payments to Principal and Interest.  All payments in respect of the principal
amount of any Obligations hereunder shall include payment of accrued interest
on 

 

26

 

the principal amount being repaid or prepaid, and
all such payments (and, in any event, any payments in respect of any
Obligations on a date when interest is due and payable with respect to such
Obligations) shall be applied to the payment of interest before application to
principal.

 

(c)   Apportionment of Payments. 
The Administrative Agent will promptly distribute to each Lender its
ratable share of each payment received by the Administrative Agent which is for
the account of the Lenders.

 

(d)   Application of Funds.  
(i) All payments received from the Borrower by the Administrative
Agent which are not reasonably identifiable by the Administrative Agent shall
be applied by the Administrative Agent against the Obligations, and (ii) any
amounts received on account of the Obligations after the exercise of remedies
provided for in Section 6.02 (or after the Revolving Advances have
automatically become immediately due and payable and the LC Exposure has
automatically been required to be cash collateralized as set forth in the
proviso to Section 6.02), in each case in the following order of
priority: (A) to the payment of all amounts for which the Administrative
Agent is entitled to compensation, reimbursement and indemnification under any
Loan Document and all advances made by the Administrative Agent thereunder for
the account of the Borrower, and to the payment of all reasonable costs and
expenses paid or incurred by the Administrative Agent in connection with the
Loan Documents, all in accordance with Sections 7.06 and 8.03 and
the other terms of this Agreement and the Loan Documents; (B) thereafter,
to the extent of any excess such proceeds, to the payment of all other
Obligations for the ratable benefit of the holders thereof (subject to the
provisions of Section 2.14(b) hereof); and (C) thereafter,
to the extent of any excess such proceeds, to the Borrower or as otherwise
required by applicable law.

 

(e)   Obligations of Lenders Several.  The obligations of the Lenders hereunder to
make Revolving Advances, to fund participations in Letters of Credit and
Bankers Acceptances and to make payments pursuant to Section 7.06
are several and not joint.  The failure
of any Lender to make the Revolving Advance to be made by it as part of any
Revolving Borrowing, to fund any such participation or to make any payment
under Section 7.06 on any date required hereunder shall not relieve
any other Lender of its corresponding obligation to do so on such date, and no
Lender shall be responsible for the failure of any other Lender to so make its
Revolving Advance, to purchase its participation or to make its payment under Section 7.06.

 

SECTION 2.15.    Computation of Interest and
Fees.

 

Interest
on all amounts owed hereunder shall be computed on the basis of a year of 360
days, except that interest computed by reference to the Base Rate (calculated
at other than the Federal Funds Rate) shall be computed on the basis of a year
of 365 days or, if appropriate, 366 days, and in each case all interest
hereunder shall be payable for the actual number of days elapsed (including the
first day but excluding the last day). All fees due and payable hereunder
shall, unless expressly otherwise provided for, be computed on the basis of a
year of 360 days for the actual number of days elapsed.

 

SECTION 2.16.    Taxes; Net Payments.

 

(a)   Net Payments.  Any
and all payments by the Borrower under this Agreement shall be made free and
clear of and without deduction for any and all current or future taxes, 

 

27

 

levies, imposts, deductions, charges or withholdings
and all liabilities with respect thereto excluding (i) income taxes
imposed on the net income of any Lender; and (ii) franchise taxes imposed
on the net income of any Lender, in each case by the jurisdiction under the
laws of which such Lender is organized, domiciled, resident or doing business
or any political subdivision thereof (all such non-excluded taxes, levies,
imposts, deductions, charges, withholdings and liabilities, collectively or
individually, “Taxes”).  If the
Borrower shall be required to deduct any Taxes from or in respect of any sum
payable hereunder to a Lender (i) the sum payable shall be increased by
the amount (an “additional amount”) necessary so that after making all required
deductions such Lender shall receive an amount equal to the sum it would have
received had no such deductions been made, (ii) the Borrower shall make
such deductions and (iii) the Borrower shall pay the full amount deducted
to the relevant governmental authority in accordance with applicable law.  Within 30 days after the date of any payment
of Taxes pursuant to this paragraph (a), the Borrower shall furnish to
the Administrative Agent a receipt issued by the relevant Governmental
Authority or other evidence satisfactory to the Administrative Agent of payment
thereof.  The Borrower will indemnify
each Lender (subject to such Lender having complied with paragraph (b) below)
and hold each Lender harmless for the full amount of all Taxes paid or payable
by such Lender with respect to this Agreement and any and all amounts received
by such Lender hereunder, and any liability (including penalties, interest and
expenses (including reasonable attorneys fees and expenses)) arising therefrom
or with respect thereto whether or not such Taxes were correctly or legally
asserted by the relevant Governmental Authority.  A certificate as to the amount of such
payment or liability prepared by such Lender, absent manifest error, shall be
final, conclusive and binding for all purposes. The obligations of the Borrower
under this Section 2.16 shall survive the termination of this
Agreement and the Commitments and the payment of all amounts payable under the
Loan Documents.

 

(b)   Evidence of Exemption from Withholding.  Each Lender which is a foreign corporation
within the meaning of Section 1442 of the Code, including the
Administrative Agent acting as an intermediary or agent for such a Lender
(each, a “Foreign Lender”), shall deliver to the Borrower such
certificates, documents or other evidence as the Borrower may reasonably
require from time to time as are necessary to establish that such Foreign
Lender is not subject to withholding under Section 1441 or 1442 of the
Code or as may be necessary to establish, under any law hereafter imposing upon
the Borrower, an obligation to withhold any portion of the payments made by the
Borrower under the Loan Documents, that payments to the Administrative Agent
for the account of such Foreign Lender are not subject to withholding, in any
event to include: (i) two original copies of Internal Revenue Service Form W-8BEN,
W-8ECI or W-8IMY, as appropriate (or any successor forms), properly completed
and duly executed by such Foreign Lender, and such other documentation required
under the Code and reasonably requested by the Borrower, to establish that such
Foreign Lender is not subject to deduction or withholding of United States
federal income tax with respect to any payments to such Foreign Lender of
principal, interest, fees or other amounts payable under any of the Loan
Documents, or (ii) if such Foreign Lender is not a “bank” or other Person
described in Section 881(c)(3) of the Code and cannot deliver either
Internal Revenue Service Form W-8BEN (to the extent such form would
document a claim or exemption from withholding pursuant to an applicable income
tax treaty) or W-8ECI or W-8IMY pursuant to clause (i) above, a
Certificate re Non-Bank Status together with two original copies of Internal
Revenue Service Form W-8BEN (or any successor form) (to the extent such
forms document the status of the Foreign Lender as other than a United States
Person), properly completed and duly executed by such Foreign Lender, and such
other 

 

28

 

documentation required under the Code and reasonably
requested by the Borrower to establish that such Foreign Lender is not subject
to deduction or withholding of United States federal income tax with respect to
any payments to such Foreign Lender of principal, interest, fees or other
amounts payable under any of the Loan Documents.   If the form provided by a Lender at the time
such Lender first becomes a party to this Agreement indicates a United States
interest withholding tax rate in excess of zero, interest withholding tax at
such rate shall be considered excluded from “Taxes” as defined in Section 2.16(a).

 

SECTION 2.17.    Increased Costs.

 

(a)   Change in Law, Etc. 
In the event that any law, regulation, treaty or directive hereafter
enacted, promulgated, approved or issued or any change in any currently
existing law, regulation, treaty or directive therein or in the interpretation
or application thereof by any Governmental Authority charged with the
administration thereof or compliance by any Credit Party (or any Person
directly or indirectly owning or controlling such Credit Party) with any
request or directive, whether or not having the force of law, from any central
bank or other Governmental Authority, agency or instrumentality:

 

(i)            does or shall subject any Credit Party to any Taxes of any
kind whatsoever with respect to any Revolving Advances or its obligations under
this Agreement to make, fund or maintain any Revolving Advances or any Letter
of Credit or Bankers Acceptance or participation therein, or its obligations
under this Agreement to issue a Letter of Credit or create a Bankers Acceptance
or participate therein, or change the basis of taxation of payments to any
Credit Party of principal, interest or any other amount payable hereunder in
respect of any Letter of Credit or Bankers Acceptance or participations
therein, including any Taxes required to be withheld from any amounts payable
under the Loan Documents (except for imposition of, or change in the rate of,
tax on the overall net income of such Credit Party or its Lending Office by the
jurisdiction in which such Credit Party is incorporated or has its principal
office or such Lending Office, including, in the case of Credit Parties
incorporated in any State of the United States such tax imposed by the United
States); or

 

(ii)           does or shall impose, modify or make applicable any
reserve, special deposit, compulsory loan, assessment, increased cost or
similar requirement against assets held by, or deposits of, or advances or
loans by, or other credit extended by, or any other acquisition of funds by,
any office of such Credit Party in respect of any Eurodollar Rate Revolving
Advance or any Letter of Credit or Bankers Acceptance or participations therein
(except any such reserve requirement reflected in the definition of Eurodollar
Rate);

 

and
the result of any of the foregoing is to increase the cost to such Credit Party
of agreeing to make or of making, funding or maintaining Revolving Advances or
of making, issuing, renewing, creating or maintaining any Letter of Credit or
Bankers Acceptance or participation therein, or its commitment to lend or to
issue or create any such Letter of Credit or Bankers Acceptance or participate
therein, or to reduce any amount receivable hereunder in respect of any
Revolving Advance or any Letter of Credit or any Bankers Acceptance or
participation therein, then, in any such case, the Borrower shall pay such
Credit Party, upon its demand, any additional amounts necessary to compensate
such Credit Party for such additional cost or reduction in such amount
receivable which such Credit Party deems to be material as determined by such
Credit Party.  A statement setting forth
the calculations of any additional amounts payable pursuant to the 

 

29

 

foregoing
sentence submitted by a Credit Party to the Borrower shall be conclusive absent
manifest error.  The obligations of the
Borrower under this Section 2.17 shall survive the termination of
this Agreement and the Commitments and payment of the Obligations and all other
amounts payable under the Loan Documents. 
Failure to demand compensation pursuant to this Section 2.17
shall not constitute a waiver of such Credit Party’s right to demand such
compensation.  To the extent that any
increased costs of the type referred to in this Section 2.17 are
being incurred by a Credit Party and such costs can be eliminated or reduced by
the transfer of such Credit Party’s participation or Commitment to another of
its branches, and to the extent that such transfer is not inconsistent with
such Credit Party’s internal policies of general application and only if, as
determined by such Credit Party in its sole discretion, the transfer of such
participation or Commitment, as the case may be, would not otherwise materially
adversely affect such participation or such Credit Party, the Borrower may
request, and such Lender shall use reasonable efforts to effect, such transfer.

 

(b)   Capital Adequacy.  If
after the date hereof, any Lender shall have determined that 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 with
the interpretation or administration thereof, or compliance by any Lender (or
its Lending Office) with any request or directive regarding capital adequacy
(whether or not having the force of law) of any such Governmental Authority,
central bank or comparable agency, has or would have the effect of reducing the
rate of return on such Lender’s capital as a consequence of its obligations
hereunder to a level below that which such Lender could have achieved but for
such adoption, change or compliance (taking into consideration such Lender’s
policies with respect to capital adequacy) by an amount deemed by such Lender
to be material, then from time to time, within 10 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
for such reduction.

 

(c)   Notification.  Each
Lender will promptly notify the Borrower and the Administrative Agent of any
event of which it has knowledge, occurring after the date hereof, which will
entitle such Lender to compensation pursuant to this Section 2.17.
A certificate of any Lender claiming compensation under this Section 2.17
and setting forth the additional amount or amounts to be paid to it hereunder
shall be conclusive in the absence of manifest error.

 

SECTION 2.18.    Illegality.

 

Notwithstanding
anything herein to the contrary, no Issuing Lender shall at any time be
obligated to issue a Letter of Credit or create a Bankers Acceptance or agree
to any extension or amendment thereof if such issuance, creation, extension or
amendment would conflict with, or cause any Issuing Lender to exceed any limits
imposed by, any law or requirements of any applicable Governmental Authority.

 

SECTION 2.19.    Fees.

 

(a)   The Borrower agrees to pay to the Administrative Agent, for the
account of each Lender in accordance with its Applicable Percentage, a
commitment fee equal to the product of the Applicable Rate then in effect times
the average daily amount by which (i) the Aggregate Commitments in effect
from time to time exceed (ii) the Utilization from time to time.  The 

 

30

 

commitment fee shall accrue at all times during the
Availability Period, including at any time during which one or more of the
conditions in Article III is not met, and shall be payable in
arrears on the last Business Day of March, June, September and December of
each year, commencing on the first such date to occur after the Closing Date,
and on the last day of the Availability Period. 
Notwithstanding the foregoing or anything else contained in this
Agreement to the contrary, for purposes of calculating the LC Exposure in
connection with determining the applicable commitment fee, the parties hereto
acknowledge and agree that to the extent any Escalating LC is then issued and
outstanding, the applicable commitment fee shall accrue at 150% of the
commitment fee which would be applicable solely by reference to the Applicable
Rate multiplied by the difference between (x) the maximum amount (after
giving effect to all possible increases) available to be drawn thereunder and (y) the
amount then available to be drawn under such Escalating LC.

 

(b)   The Borrower agrees to pay to the Administrative Agent, for the
account of each Lender in accordance with its Applicable Percentage, a letter
of credit fee, calculated daily with respect to such Lender’s participations in
Letters of Credit and or Bankers Acceptance issued hereunder, equal to the
product of (i) the Applicable Rate then in effect times (ii) the
actual daily maximum face or stated amount of each Letter of Credit or Bankers
Acceptance outstanding (in the case of any Escalating LC, such amount shall
equal the amount then available to be drawn under such Escalating LC).  Letter of credit fees payable pursuant to
this paragraph (b) shall be payable in arrears on the last Business
Day of March, June, September and December of each year, commencing
on the first such date to occur after the Closing Date; provided that
all such fees shall be payable on the date on which all Commitments terminate
and any such fees accruing after the date on which all Commitments terminate
shall be payable on demand.   The sum of
each daily calculation, if in a currency other than Dollars, shall be converted
to the Dollar Equivalent thereof on the date the applicable payment is due.

 

(c)   The Borrower agrees to pay directly to each Issuing Lender, for
its own account, a fronting fee (i) with
respect to each Documentary Letter of Credit, at the rate separately
agreed upon between the Borrower and such Issuing Lender, computed on the amount of such Documentary Letter of Credit, and
payable upon the issuance thereof, (ii) with respect to any amendment of a
Documentary Letter of Credit increasing the amount of such Documentary Letter
of Credit, at a rate separately agreed between the Borrower and such
Issuing Lender, computed on the amount
of such increase, and payable upon the effectiveness of such amendment, and (iii) with
respect to each standby Letter of Credit, at the rate per annum separately
agreed upon between the Borrower and such Issuing Lender computed on the
maximum face or stated amount of such Letter of Credit (in the case of any
Escalating LC, such amount shall equal the amount then available to be drawn
under such Escalating LC) on a quarterly basis in arrears.  Such fronting fee payable to any Issuing
Lender pursuant to clause (iii) of the preceding sentence shall be payable
in arrears on the last Business Day of March, June, September and December of
each year, commencing on the first such date to occur after the Closing Date; provided
that all such fees shall be payable on the date on which all Commitments
terminate and any such fees accruing after the date on which all Commitments
terminate shall be payable on demand.  In
addition, the Borrower shall pay directly to each Issuing Lender, for its own
account, such Issuing Lender’s standard fees with respect to the issuance,
amendment, renewal or extension of any Letter of Credit or processing of
drawings thereunder in the amounts and at the times separately agreed upon.

 

31

 

(d)   In addition to any of the foregoing fees, the Borrower agrees to
pay to the Administrative Agent such other fees in the amounts and at the times
separately agreed upon.

 

(e)   All fees payable hereunder shall be paid on the dates due, in
Dollars and in immediately available funds, to the Administrative Agent (or to
the applicable Issuing Lender, in the case of fees payable to it) for
distribution, in the case of commitment fees and letter of credit fees, to the
Lenders.  Fees paid shall not be
refundable under any circumstances.  Any
fee not due on a specific date shall be due on demand.

 

SECTION 2.20.    Evidence of Debt.

 

(a)   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 Revolving Advance made by such Lender, including the
amounts of principal and interest payable and paid to such Lender from time to
time hereunder.

 

(b)   The Administrative Agent shall maintain accounts in which it shall
record (i) the amount of each Revolving Advance made hereunder, the
Interest Type thereof and the Interest Period applicable thereto, (ii) the
amount of any principal or interest due and payable or to become due and
payable from the 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.

 

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

 

(d)   Upon the request of any Lender made through the Administrative
Agent, the Borrower shall execute and deliver to such Lender (through the
Administrative Agent) a Revolving Note, which shall evidence such Lender’s
Revolving Advances in addition to such accounts maintained pursuant to paragraph (a) or (b) of
this Section.  Each Lender may attach
schedules to its Revolving Note and endorse thereon the date, Interest
Type (if applicable), amount and maturity of its Revolving Advances and
payments with respect thereto.

 

SECTION 2.21.    Use of Proceeds.

 

The proceeds of the Revolving Advances (other than any Revolving
Advances made pursuant to Section 2.09(a)) shall be available (and
the Borrower agrees that it shall use such proceeds) to provide working capital
for the Borrower and its Subsidiaries and, subject to the provisions of this
Agreement and the other Loan Documents, for other general corporate purposes of
the Borrower and its Subsidiaries.  No portion of the proceeds of any
borrowing under this Agreement shall be used by the Borrower or any of its
Subsidiaries in any manner that might cause the borrowing or the application of
such proceeds to violate Regulation U or any other regulation of the FRB or to
violate the Securities Exchange Act of 1934, as amended from time to time, and
any successor statute, in each case as in effect on the date or dates of such
borrowing and such use of proceeds.

 

32

 

ARTICLE III

 

CONDITIONS PRECEDENT

 

SECTION 3.01.    Closing Date.

 

The
effectiveness of this Agreement is subject to the satisfaction of the following
conditions precedent:

 

(a)   Receipt of Documentation. 
The Administrative Agent shall have received:

 

(i)            (A) counterparts of this Agreement signed by the
Borrower, the Administrative Agent and each Existing Lender; and (B) a
Lender Addendum, signed by each Lender with a Commitment as of the Closing Date
that is not an Existing Lender;

 

(ii)           a certificate, dated the Closing Date, of the Secretary or
Assistant Secretary of the Borrower, substantially in the form of Exhibit C:
(A) attaching a true and complete copy of the resolutions of its Board of
Directors authorizing the execution and delivery of this Agreement and the
other Loan Documents by the Borrower and the performance of the Borrower’s
obligations thereunder, and of all other documents evidencing other necessary
action (in form and substance reasonably satisfactory to the Administrative
Agent) taken by it to authorize the Loan Documents and the transactions
contemplated thereby, (B) attaching a true and complete copy of its
certificate of incorporation and bylaws, (C) certifying that said
certificate of incorporation and bylaws are true and complete copies thereof,
are in full force and effect and have not been amended or modified, and (D) setting
forth the incumbency of its officer or officers who may sign the Loan
Documents, including therein a signature specimen of such officer or officers;

 

(iii)          a certificate of good standing for the Borrower from the
Secretary of State for the State of Delaware, dated a recent date prior to the
Closing Date; and

 

(iv)          a certificate, dated the Closing Date, signed by a senior
vice president, the chief financial officer or the treasurer of the Borrower to
the effect set forth in paragraphs (b) and (c) of Section 3.02
and certifying (A) that, as of the Closing Date, there exists no Material
Adverse Change and (B) the current Ratings.

 

(b)   Opinions.  The
Administrative Agent shall have received an opinion of counsel for the
Borrower, substantially in the form of Exhibit A, covering such
matters relating to the transactions contemplated hereby as the Administrative
Agent may reasonably request, dated the Closing Date.

 

(c)   Fees and Expenses Due to the Credit Parties.  The Administrative Agent shall have received
all fees and expenses due and payable to the Administrative Agent, the Sole
Book Manager, the Joint Lead Arrangers and any other Credit Party.

 

(d)   Fees and Expenses of Special Counsel.  The fees and expenses of Skadden, Arps,
Slate, Meagher & Flom LLP, special counsel to the Administrative
Agent, the Sole Book 

 

33

 

Manager and the Joint Lead Arrangers, in connection with
the preparation, negotiation and closing of the Loan Documents shall have been
paid.

 

(e)   Payment of Amounts Under Existing Credit Agreement.  The Administrative Agent shall have received
from the Borrower all accrued and unpaid fees and other amounts payable
(immediately prior to the effectiveness of this Agreement on the Closing Date)
under the Existing Credit Agreement.

 

SECTION 3.02.    Conditions to All Revolving
Advances and Letters of Credit.

 

The
following conditions must be satisfied prior to the making of each Revolving
Advance and the issuance of each Letter of Credit:

 

(a)   Notice; Application. 
In the case of the making of a Revolving Advance, the Administrative
Agent shall have received a Notice of Revolving Borrowing and such other
approvals or documents as any Lender through the Administrative Agent may
reasonably request.  In the case of the
issuance of a Letter of Credit, the Administrative Agent and the applicable
Issuing Lender shall have received: (i) the notice required by Section 2.07(a) hereof;
and (ii) an Application in the form required by the applicable Issuing
Lender duly completed by the Borrower.

 

(b)   Absence of Litigation. 
There shall be no injunction, writ, preliminary restraining order or
other order of any nature issued by any Governmental Authority in any respect
directly affecting the transactions provided for herein and no action or
proceeding by or before any Governmental Authority shall have been commenced
and be pending or, to the knowledge of the Borrower, threatened, seeking to
prevent or delay the transactions contemplated by the Loan Documents or
challenging any other terms and provisions hereof or thereof or seeking any
damages in connection therewith.

 

(c)   Representations and Warranties; No Default. After giving effect
to the applicable Revolving Borrowing or the issuance of the applicable Letter
of Credit: (i) no Default shall have occurred and be continuing, (ii) all
representations and warranties of the Borrower contained in Article IV
of this Agreement (other than the representation and warranty of the Borrower
contained in Section 4.04(b) hereof) shall be true (except
that for purposes of this Section 3.02, the representations and
warranties contained in Section 4.04(a) shall be deemed to
refer to the most recent statements furnished pursuant to Section 5.01(a)),
and (iii) no default or event of default under any engineering,
procurement, construction or maintenance contract of the Borrower or any of its
Subsidiaries shall have occurred and be continuing which could reasonably be
expected to materially and adversely affect the ability of the Borrower to
perform its obligations under the Loan Documents.

 

(d)   Commitments and LC Exposure. Both before and immediately
after giving effect to the applicable Revolving Borrowing or the issuance of
the applicable Letter of Credit (or creation of any related Bankers
Acceptance), the Dollar Equivalent of the total LC Exposure plus the
outstanding principal amount of all Revolving Advances shall not exceed the
Aggregate Commitments.

 

34

 

ARTICLE IV

 

REPRESENTATIONS AND
WARRANTIES

 

The
Borrower represents and warrants that:

 

SECTION 4.01.    Corporate Existence and
Power.

 

The
Borrower is a corporation duly incorporated, validly existing and in good
standing under the laws of the State of Delaware and has all corporate powers
and all material governmental licenses, authorizations, consents and approvals
required to carry on its business as now conducted.

 

SECTION 4.02.    Corporate and Governmental
Authorization; Contravention.

 

The
execution, delivery and performance by the Borrower of this Agreement and the
other Loan Documents (i) are within the Borrower’s corporate power, (ii) have
been duly authorized by all necessary corporate action, (iii) require no
action by or in respect of, or filing with, any governmental body, agency or
official, (iv) do not contravene or constitute a default under any
provision of applicable law or regulation, or of the certificate of
incorporation or by-laws of the Borrower, and (v) do not contravene or
constitute a default under, or result in the creation of any Lien under, any
material agreement, judgment, injunction, order, decree or other instrument
binding upon the Borrower.

 

SECTION 4.03.    Binding Effect.

 

This
Agreement has been duly executed and delivered by the Borrower and constitutes
a valid and binding agreement of the Borrower, enforceable in accordance with
its terms.

 

SECTION 4.04.    Financial Information.

 

(a)   Balance Sheet. The consolidated balance sheet of the
Borrower and its Consolidated Subsidiaries as of December 31, 2005 and the
related consolidated statements of earnings and of cash flow for the fiscal
year then ended, reported on by Ernst & Young LLP and set forth in the
Borrower’s 2005 Form 10-K, a copy of which has been made available to each
of the Lenders, fairly present, in conformity with GAAP, the consolidated
financial position of the Borrower and its Consolidated Subsidiaries as of such
date and their consolidated results of operations and changes in financial
position for such fiscal year.

 

(b)   Material Adverse Change. 
There exists no Material Adverse Change.

 

SECTION 4.05.    Litigation.

 

There
is no action, suit or proceeding pending or to the knowledge of the Borrower
threatened against or affecting the Borrower or any of its Subsidiaries before
any court or arbitrator or any governmental body, agency or official (i) which
could reasonably be expected to have a material adverse effect on the business,
consolidated financial position or consolidated results of operations of the
Borrower and its Consolidated Subsidiaries, taken as a whole, and the 

 

35

 

Borrower’s
ability to perform its obligations under the Loan Documents at any time up to
and including the Maturity Date, or (ii) which purports to affect the legality,
validity or enforceability of this Agreement or any other Loan Document.

 

SECTION 4.06.    Compliance with ERISA.

 

The
Borrower and its Subsidiaries have fulfilled their obligations under the
minimum funding standards of ERISA with respect to each Plan and are in
compliance in all material respects with the currently applicable provisions of
ERISA, noncompliance with which could reasonably be expected to have a material
adverse effect on the business, consolidated financial position or consolidated
results of operations of the Borrower and its Consolidated Subsidiaries, taken
as a whole, and the Borrower’s ability to perform its obligations under the
Loan Documents at any time up to and including the Maturity Date.

 

SECTION 4.07.    Taxes.

 

The
Borrower and its Subsidiaries have filed all United States Federal income tax
returns and all other material tax returns which are required to be filed by
them and have paid all taxes due pursuant to such returns or pursuant to any
assessment received by the Borrower or any Subsidiary other than any such taxes
or assessments being currently contested in good faith and other than where the
failure to so file or pay would not have a material adverse effect on the
business, financial position, results of operations or properties of the
Borrower and its Consolidated Subsidiaries taken as a whole or, alternatively,
on the ability of the Borrower to perform its obligations under the Loan
Documents at any time up to and including the Maturity Date. The charges,
accruals and reserves on the books of the Borrower and its Subsidiaries in
respect of taxes or other governmental charges are adequate.

 

SECTION 4.08.    Material Subsidiaries.

 

Each
of the Borrower’s Material Subsidiaries is duly organized or formed, validly
existing and in good standing under the laws of the jurisdiction of its
incorporation or organization, and has all requisite power and authority and
all material governmental licenses, authorizations, consents and approvals
required to carry on its business as now conducted.

 

SECTION 4.09.    Not an Investment Company.

 

The
Borrower is not an “investment company” within the meaning of the Investment
Company Act of 1940, as amended.

 

SECTION 4.10.    Business of the Borrower;
Use of Proceeds.

 

The
Borrower is not engaged in the business of extending credit for the purpose of
purchasing or carrying margin stock (within the meaning of Regulation U), and
no Revolving Advance or LC Disbursement will be used to purchase or carry any
margin stock or to extend credit to others for the purpose of purchasing or
carrying any margin stock.  The purpose
of each standby Letter of Credit shall be to support the Borrower’s or its
Subsidiaries’, Affiliates’ or Joint Ventures’ performance of their obligations
to each beneficiary under their engineering, procurement, construction and
maintenance contracts, and the purpose of each Backing Letter of 

 

36

 

Credit
shall be, to the extent permitted under Section 2.07(b) hereof,
to back bank guarantees issued by other banks supporting such performance.  Neither the issuance of any Letter of Credit
or creation of any Bankers Acceptance or the making of any Revolving Advance
nor the payment of any Obligation will violate any applicable law or
regulation.

 

SECTION 4.11.    No Misleading Statements.

 

No
written information, exhibit or report furnished by or at the direction of the
Borrower or any Subsidiary to the Administrative Agent or any Lender in
connection with this Agreement contains any material misstatement of fact or
omits to state a material fact or any fact necessary to make the statements
contained therein not misleading.

 

SECTION 4.12.    Environmental Matters.

 

In
the ordinary course of its business, the Borrower conducts an ongoing review of
the effect of Environmental Laws on the business, operations and properties of
the Borrower and its Subsidiaries, in the course of which it identifies and
evaluates associated liabilities and costs (including, without limitation, any
capital or operating expenditures required for clean-up or closure of
properties now or previously owned, any capital or operating expenditures
required to achieve or maintain compliance with environmental protection
standards imposed by law or as a condition of any license, permit or contract,
any related constraints on operating activities, including any periodic or
permanent shutdown of any facility or reduction in the level of or change in
the nature of operations conducted thereat and any actual or potential
liabilities to third parties, including employees, and any related costs and
expenses). On the basis of this review, the Borrower has reasonably concluded
that Environmental Laws are not likely to have a material adverse effect on the
business, financial condition, results of operations or properties of the
Borrower and its Consolidated Subsidiaries, considered as a whole, or,
alternatively, on the Borrower’s ability to perform its obligations under the
Loan Documents at any time up to and including the Maturity Date.

 

SECTION 4.13.    No Default.

 

No
Default or Event of Default has occurred and is continuing or would result from
the consummation of the transactions contemplated by this Agreement or any
other Loan Document.

 

ARTICLE V

 

COVENANTS

 

The
Borrower agrees that, so long as any Lender has any Commitment or any LC
Exposure or any other Obligation hereunder remains outstanding:

 

SECTION 5.01.    Information.

 

The
Borrower will deliver to each of the Lenders:

 

(a)   Annual Financial Statements.  As soon as available and in any event within
100 days after the end of each fiscal year of the Borrower, a consolidated
balance sheet of the 

 

37

 

Borrower and its Consolidated Subsidiaries as of the
end of such fiscal year and the related consolidated statements of earnings and
cash flow for such fiscal year, setting forth in each case in comparative form
the figures for the previous fiscal year, audited and accompanied by a report
and opinion of Ernst & Young LLP or other independent public
accountants of nationally recognized standing, which report and opinion shall
be prepared in a manner acceptable to the SEC and shall not be subject to any “going
concern” or like qualification or exception or any qualification or exception
as to the scope of such audit;

 

(b)   Quarterly Financial Statements.  As soon as available and in any event within
55 days after the end of each of the first three quarters of each fiscal year
of the Borrower, an unaudited consolidated balance sheet of the Borrower and
its Consolidated Subsidiaries as of the end of such quarter and the related
consolidated statements of earnings and cash flow for such quarter and for the
portion of the Borrower’s fiscal year ended at the end of such quarter, as set
forth in the Borrower’s quarterly report for the fiscal quarter then ended as
filed with the SEC on Form 10-Q, all certified by the chief financial
officer or the chief accounting officer of the Borrower that they are (i) complete
and fairly present the financial condition of the Borrower and its Consolidated
Subsidiaries as at the dates indicated and the results of their operations and
changes in their cash flow for the periods indicated; (ii) disclose all
liabilities of the Borrower and its Consolidated Subsidiaries that are required
to be reflected or reserved against under GAAP, whether liquidated or
unliquidated, fixed or contingent; and (iii) have been prepared in
accordance with GAAP (subject to normal year-end adjustments);

 

(c)   Certificate of Chief Financial Officer.  Simultaneously with the delivery of each set
of financial statements referred to in paragraphs (a) and (b) above,
a certificate of the chief financial officer, the treasurer or the chief accounting
officer of the Borrower (i) setting forth in reasonable detail the
calculations required to establish whether the Borrower was in compliance with
the requirements of Section 5.07 on the date of such financial
statements, (ii) certifying that all representations and warranties of the
Borrower contained in this Agreement are true and correct as of the date of
such certificate as though made on such date, (iii) stating whether any
Default exists on the date of such certificate and, if any Default then exists,
setting forth the details thereof and the action which the Borrower is taking
or proposes to take with respect thereto, and (iv) describing the parties,
subject matter, and nature and amount of relief granted to the prevailing party
in any litigation or proceeding in which a final judgment or order which is
either for the payment of money in an amount equal to or exceeding $25,000,000
(or the Exchange Equivalent thereof) or which grants any material non-monetary
relief to the prevailing party therein was rendered against the Borrower or any
Subsidiary (whether or not satisfied or stayed) during the most recently ended
fiscal quarter;

 

(d)   Notice of Default. 
Forthwith upon knowledge of the occurrence of any Default, a certificate
of the chief financial officer, the treasurer or the chief accounting officer
of the Borrower setting forth the details thereof and the action which the
Borrower is taking or proposes to take with respect thereto;

 

(e)   Other Financial Statements. 
Promptly upon the mailing thereof to the shareholders of the Borrower
generally, copies of all financial statements, reports and proxy statements so
mailed;

 

38

 

(f)    SEC Filings. 
Promptly upon the filing thereof, copies of (i) all registration
statements (other than the exhibits thereto and any registration statements on Form S-8
or its equivalent) and reports on Forms 10-K, 10-Q and 8-K (or their
equivalents) which the Borrower or any Subsidiary shall have filed with the
SEC, and (ii) all other reports which the Borrower or any Subsidiary shall
have filed with the SEC or any national securities exchange, unless the
Borrower or such Subsidiary is not permitted to provide copies thereof to the
Lenders pursuant to applicable laws or regulations;

 

(g)   ERISA Reportable Events. 
If and when any member of the Controlled Group (i) gives or is
required to give notice to the PBGC of any “reportable event” (as defined in Section 4043
of ERISA) with respect to any Plan which might constitute grounds for a
termination of such Plan under Title IV of ERISA, or knows that the plan
administrator of any Plan has given or is required to give notice of any such
reportable event, a copy of the notice of such reportable event given or
required to be given to the PBGC; (ii) receives notice of complete or
partial withdrawal liability in excess of $20,000,000 (or the Exchange
Equivalent thereof) under Title IV of ERISA, a copy of such notice; or (iii) receives
notice from the PBGC under Title IV of ERISA of an intent to terminate or
appoint a trustee to administer any Plan, a copy of such notice;

 

(h)   Notice of Rating Change. 
Promptly upon the Borrower’s obtaining knowledge thereof, notice of any
withdrawal or change or proposed withdrawal or change in any Rating;

 

(i)    Notices from Beneficiaries. 
Immediately upon the Borrower’s receipt thereof, a copy of any writing
delivered by any beneficiary under any Letter of Credit or Bankers
Acceptance to the Borrower or any of its
Subsidiaries indicating such beneficiary’s intention to draw under the
applicable Letter of Credit or Bankers Acceptance;

 

(j)    Notice of Changes in Accounting Policies.  Promptly following any such change, notice of
any material change in accounting policies or financial reporting practices by
the Borrower or any Subsidiary; and

 

(k)   Other Financial Information.  From time to time such additional information
regarding the financial position or business of the Borrower or any Subsidiary
as the Administrative Agent, at the reasonable request of any Lender, may
request.

 

Documents
required to be delivered pursuant to Section 5.01(a), (b), (e),
(f) or (k) (to the extent any such documents are
included in materials otherwise filed with the SEC) may be delivered
electronically (including, without limitation, via IntraLinks) and if so
delivered, shall be deemed to have been delivered on the date on which the
Borrower posts such documents, or provides a link thereto on the Borrower’s
website on the Internet at the website address listed on the Borrower’s signature
page hereto; provided that: (i) the Borrower shall deliver
paper copies of such documents to the Administrative Agent or any Lender that
requests the Borrower to deliver such paper copies until a written request to
cease delivering paper copies is given by the Administrative Agent or such
Lender, and (ii) the Borrower shall notify the Administrative Agent and
each Lender (by telecopier or electronic mail) of the posting of any such
documents and provide to the Administrative Agent by electronic mail electronic
versions (i.e., soft copies) of such documents.  The Administrative Agent shall have no
obligation to request the delivery or to 

 

39

 

maintain
copies of the documents referred to above, and in any event shall have no
responsibility to monitor compliance by the Borrower with any such request for
delivery, and each Lender shall be solely responsible for requesting delivery
to it or maintaining its copies of such documents.

 

SECTION 5.02.    Payment of Obligations.

 

The
Borrower will pay and discharge, and will cause each Subsidiary to pay and
discharge, at or before maturity, all their respective material obligations and
liabilities, except where the same may be contested in good faith by
appropriate proceedings or where the failure to so pay and discharge would not
have a material adverse effect on the consolidated financial position of the
Borrower and its Consolidated Subsidiaries, and will maintain, and will cause
each Subsidiary to maintain, in accordance with GAAP, appropriate reserves for
the accrual of any of the same.

 

SECTION 5.03.    Maintenance of Property;
Insurance.

 

(a)   Maintenance of Property. 
The Borrower will keep, and will cause each Material Subsidiary to keep,
all material items of property useful and necessary in its business in good
working order and condition, ordinary wear and tear and damage from casualty
excepted.

 

(b)   Insurance.  The
Borrower will maintain, and will cause each Subsidiary to maintain, with
financially sound and reputable insurance companies, insurance on all their
real and personal property in at least such amounts and against at least such
risks as are usually insured against by companies of established repute engaged
in the same or similar business as the Borrower or such Subsidiary and owning
similar assets (“Industry Standards”), except where such risks are
covered by self insurance so long as the amount of such self insurance and the
risks covered thereby are consistent with Industry Standards. The Borrower will
promptly furnish to the Lenders such information as to insurance carried or
self insurance maintained as may be reasonably requested in writing by the
Administrative Agent on behalf of any Lender.

 

SECTION 5.04.    Conduct of Business and
Maintenance of Existence.

 

The
Borrower will preserve, renew and keep in full force and effect, and will cause
each Material Subsidiary to preserve, renew and keep in full force and effect,
its respective legal existence and good standing under the laws of the
jurisdiction of its organization and its respective rights, privileges and
franchises necessary or desirable in the normal conduct of business; provided
that nothing in this Section 5.04 shall prevent the Borrower or any
Subsidiary from (i) merging into, consolidating with, or selling, leasing
or otherwise transferring all of its assets to the Borrower or a Subsidiary (so
long as, in the case of the Borrower taking any such action, the applicable
Subsidiary assumes all Obligations pursuant to a written agreement acceptable to
the Administrative Agent), or (ii) abandoning or disposing of any of its
assets or abandoning or terminating any right or franchise if (A) disposition
or termination does not violate any other provision of this Agreement and (B) all
such abandonments, dispositions and terminations do not in the aggregate
materially and adversely affect the business, assets, financial condition or
results of operations of the Borrower and its Consolidated Subsidiaries, taken
as a whole, or, alternatively, the ability of the Borrower to perform its
obligations under the Loan Documents at any time up to and including the
Maturity Date.

 

40

 

SECTION 5.05.    Compliance with Laws.

 

The
Borrower will comply, and cause each Subsidiary to comply, in all material
respects with all applicable laws, ordinances, rules, regulations, orders, and
requirements of governmental authorities (including, without limitation, ERISA,
Environmental Laws and the rules and regulations thereunder), except where
failure to so comply would not have a material adverse effect on the business,
financial position, results of operations or properties of the Borrower and its
Consolidated Subsidiaries taken as a whole or, alternatively, on the ability of
the Borrower to perform its obligations under the Loan Documents at any time up
to and including the Maturity Date.

 

SECTION 5.06.    Keeping of Records;
Inspection of Property, Books and Records.

 

The
Borrower will keep, and will cause each Subsidiary to keep, proper books of
record and account in accordance with GAAP consistently applied; and will
permit, and will cause each Subsidiary to permit, the Administrative Agent, any
of the Lenders or any agents or representatives of the Administrative Agent or
any Lender, at the Administrative Agent’s or such Lender’s expense, to visit
and inspect any of its respective properties, to examine any of its respective
books and records and (subject to Section 8.10) to discuss its
respective affairs, finances and accounts with any of its respective officers,
directors, employees and independent public accountants, all at such times and
as often as may reasonably be desired, in each case upon reasonable notice and
during normal business hours.  Notwithstanding
anything to the contrary in this Section 5.06, none of the Borrower
or any of its Subsidiaries will be required to disclose, permit the inspection,
examination or discussion of, any document, information or other matter in
respect of which such disclosure is then prohibited by law or any agreement
binding on the Borrower or any of its Subsidiaries.

 

SECTION 5.07.    Debt.

 

(a)   Debt to Tangible Net Worth Ratio.  The ratio of Consolidated Debt to
Consolidated Tangible Net Worth will at no time exceed 1.00 to 1.00.

 

(b)   Total Debt.  The total
Debt of all Consolidated Subsidiaries of the Borrower, excluding the Debt, if
any, owed by such Consolidated Subsidiaries to the Borrower or another
Consolidated Subsidiary of the Borrower, will at no time exceed an amount equal
to $500,000,000 (or the Exchange Equivalent thereof).

 

SECTION 5.08.    Negative Pledge.

 

Neither
the Borrower nor any Subsidiary will create, assume or suffer to exist any Lien
securing Debt on any asset now owned or hereafter acquired by it, or assign any
right to receive income, except:

 

(i)            Liens existing on the date of this Agreement and
disclosed on Schedule 5.08 attached hereto and any renewals or
extensions thereof, provided that the property covered thereby is not
changed;

 

41

 

(ii)           any Lien existing on any asset of any corporation at the
time such corporation becomes a Subsidiary or is merged into or consolidated
with an Borrower or a Subsidiary; provided  that (i) such
Lien is not created in contemplation of such event, (ii) such Lien shall
not apply to any other property or asset of the Borrower or any of its
Subsidiaries, and (iii) such Lien shall secure only those obligations
which it secures on the date of such acquisition or the date such Person
becomes a Subsidiary, as the case may be;

 

(iii)          any Lien on any asset securing Debt incurred or assumed for
the purpose of financing all or any part of the cost of acquiring or
constructing such asset; provided that (i) such Lien attaches to
such asset concurrently with or within 180 days after the acquisition or
construction thereof and (ii) such Lien shall not apply to any other
property or asset of the Borrower or any of its Subsidiaries;

 

(iv)          any Lien existing on any asset prior to the acquisition
thereof by the Borrower or a Subsidiary and not created primarily in
contemplation of such acquisition;

 

(v)           any Lien arising out of the refinancing, extension,
renewal or refunding of any Debt secured by any Lien permitted by any of the
foregoing clauses of this Section 5.08, provided that such
Debt is not increased and is not secured by any additional assets;

 

(vi)          Liens securing judgments for the payment of money not
constituting an Event of Default under Section 6.01(j);

 

(vii)         any Lien on or with respect to the property or assets of any
Subsidiary securing obligations owing to the Borrower or another Subsidiary;

 

(viii)        rights of offset and bankers’ liens in
connection with Debt permitted hereby; and

 

(ix)           Liens not otherwise permitted by the foregoing clauses of
this Section 5.08 securing Debt in an aggregate principal amount at
any time outstanding not to exceed ten percent (10%) of Consolidated Tangible
Net Worth.

 

SECTION 5.09.    Consolidations, Mergers and
Sales of Assets.

 

The
Borrower will not (i) except to the extent expressly permitted in Section 5.04
hereof, consolidate or merge with or into any other Person; provided
that the Borrower may merge with a Person if (A) the Borrower is the
surviving corporation to such merger and (B) after giving effect to any
such merger no Default shall have occurred hereunder and all representations
and warranties shall be true and correct or (ii) except as permitted
pursuant to the foregoing clause (i), sell, lease or otherwise transfer,
directly or indirectly, all or any substantial part of the assets of the
Borrower and its Consolidated Subsidiaries, taken as a whole.

 

SECTION 5.10.    Payment of Taxes, Etc.

 

The
Borrower will pay, and will cause each Subsidiary to pay, before the same
become delinquent, all taxes, assessments and governmental charges imposed upon
it or any of its properties, except where the same may be contested in good
faith by appropriate proceedings, or 

 

42

 

where
any failure to so pay would not have a material adverse effect on the business,
financial position, results of operations or properties of the Borrower and its
Consolidated Subsidiaries taken as a whole or, alternatively, on the ability of
the Borrower to perform its obligations under the Loan Documents at any time up
to and including the Maturity Date, and the Borrower will maintain, and will
cause each Subsidiary to maintain, in accordance with GAAP, appropriate
reserves for the accrual of the same.

 

SECTION 5.11.    Pari-passu Obligations.

 

The
obligations under this Agreement shall constitute direct, unconditional,
senior, unsubordinated, general obligations of the Borrower and will rank at
least pari-passu (in priority of payment) with all other existing and future
senior, unsecured, unsubordinated obligations of the Borrower resulting from
any indebtedness for borrowed money or Debt Guarantee.

 

SECTION 5.12.    Further Assurances.

 

At
any time or from time to time upon the request of the Administrative Agent, the
Borrower will, at its expense, promptly execute, acknowledge and deliver such
further documents (including collateral agreements, UCC financing statements
and the like pursuant to Section 2.12) and do such other acts and
things as the Administrative Agent may reasonably request in order to effect
fully the purposes of the Loan Documents.

 

ARTICLE VI

 

DEFAULTS

 

SECTION 6.01.    Events of Default.

 

Each
of the following events (each an “Event of Default”) shall constitute an
Event of Default hereunder:

 

(a)   the Borrower shall fail to pay (i) when due, any amount of principal
of any Revolving Advance or any LC Disbursement, or (ii) within three days
after the same becomes due, any interest on any Revolving Advance or any LC
Disbursement, any fees or any other amount payable hereunder; or

 

(b)   the Borrower shall fail to observe or perform any covenant
contained in Section 2.12 or Sections 5.07 to 5.11,
inclusive; or

 

(c)   the Borrower shall fail to observe or perform any covenant or
agreement contained in this Agreement (other than those covered by paragraph
(a) or (b) above) for 30 days after the earlier to occur
of (i) written notice thereof having been given to the Borrower by the
Administrative Agent at the request of any Lender or (ii) actual knowledge
thereof by the Borrower or any of its Subsidiaries of such failure; or

 

(d)   any representation, warranty, certification or statement made by
the Borrower in this Agreement or in any certificate, financial statement or
other document delivered 

 

43

 

pursuant to this Agreement shall prove to have been
incorrect in any material respect when made (or deemed made); or

 

(e)   the Borrower or any Subsidiary shall fail to make any payment in
respect of any Debt (other than the Obligations) having an aggregate principal
amount of at least $50,000,000 (or the Exchange Equivalent thereof) when due or
within any applicable grace period; or

 

(f)    any event shall occur or condition shall exist which results in
the acceleration of the maturity of any Debt of the Borrower or any Subsidiary
having an aggregate principal amount of at least $50,000,000 (or the Exchange
Equivalent thereof); or such Debt shall be declared due and payable, or
required to be prepaid (other than by a regularly scheduled required
prepayment), prior to the stated maturity thereof, excluding, however,
prepayments of Debt required upon disposition in the ordinary course of
business of collateral securing such Debt so long as such Liens and
dispositions are permitted hereby; or

 

(g)   the Borrower or any Subsidiary shall commence a voluntary case or
other proceeding seeking to adjudicate the Borrower or any Subsidiary having
total assets of $50,000,000 (or the Exchange Equivalent thereof) or more as
bankrupt or insolvent, seeking liquidation, reorganization or other relief with
respect to itself or its debts under any bankruptcy, insolvency or other
similar law now or hereafter in effect or seeking the entry of an order for
relief or the appointment of a trustee, receiver, liquidator, custodian or
other similar official for it or for any substantial part of its property, or
shall consent to any such relief or to the appointment of or taking possession
by any such official in an involuntary case or other proceeding commenced
against it, or shall make a general assignment for the benefit of creditors, or
shall fail generally to pay its debts as they become due, or shall admit in
writing its inability to pay its debts generally, or shall take any corporate
action to authorize any of the foregoing; or

 

(h)   an involuntary case or other proceeding shall be commenced against
the Borrower or any Subsidiary having total assets of $50,000,000 (or the
Exchange Equivalent thereof) or more seeking to adjudicate it as bankrupt or
insolvent, seeking liquidation, reorganization or other relief with respect to
it or its debts under any bankruptcy, insolvency or other similar law now or
hereafter in effect, or seeking the entry of an order for relief or the
appointment of a trustee, receiver, liquidator, custodian or other similar
official for it or for any substantial part of its property, and such
involuntary case or other proceeding shall remain undismissed and unstayed for
a period of 30 days; or an order for relief shall be entered against the
Borrower or any Subsidiary having total assets of $50,000,000 (or the Exchange
Equivalent thereof) or more under the federal bankruptcy laws as now or
hereafter in effect; or

 

(i)    any member of the Controlled Group shall fail to pay when due an
amount or amounts aggregating in excess of $35,000,000 (or the Exchange
Equivalent thereof) which it shall have become liable to pay to the PBGC or to
a Plan under Title IV of ERISA except where the failure to so pay would not (in
the opinion of the Required Lenders) have a material adverse effect on the
business, financial position, results of operations or properties of the
Borrower and its Consolidated Subsidiaries taken as a whole or alternatively,
on the Borrower’s ability to perform its obligations under the Loan Documents
at any time up to and including the Maturity Date; or notice of intent to
terminate a Plan or Plans having aggregate Unfunded Vested Liabilities in an
amount that would have a material adverse effect on the Borrower and its 

 

44

 

Consolidated Subsidiaries taken as a whole and the
Borrower’s ability to perform its obligations under the Loan Documents at any
time up to and including the Maturity Date (collectively, a “Material Plan”)
shall be filed under Title IV of ERISA by any member of the Controlled Group,
any plan administrator or any combination of the foregoing; or the PBGC shall
institute proceedings under Title IV of ERISA to terminate or to cause a
trustee to be appointed to administer any Material Plan or a proceeding shall
be instituted by a fiduciary of any Material Plan against any member of the
Controlled Group to enforce Section 515 of ERISA and such proceeding shall
not have been dismissed within 30 days thereafter; or a condition shall exist
by reason of which the PBGC would be entitled to obtain a decree adjudicating
that any Material Plan must be terminated; or

 

(j)    to the extent not insured against, one or more final judgments or
orders for the payment of money aggregating in excess of $50,000,000 (or the
Exchange Equivalent thereof) shall be rendered against the Borrower or any
Subsidiary and either (i) enforcement proceedings shall have been
commenced by any creditor upon any such judgments or orders or (ii) any of
such judgments or orders shall continue unsatisfied and unstayed by reason of a
pending appeal or otherwise for a period of 30 days; or

 

(k)   (i) any Person or group of Persons (within the meaning of Section 13
or 14 of the Securities Exchange Act of 1934, as amended) shall have acquired
beneficial ownership (within the meaning of Rule 13d-3 promulgated by the
SEC under said Act) of 35% or more of the outstanding shares of common stock of
the Borrower; or (ii) at any time during any period of twelve consecutive
calendar months a majority of the Board of Directors of the Borrower shall not
consist of individuals who were either directors of the Borrower on the first
day of such period (“original directors”) or appointed as or nominated
to be directors either (A) by individuals including a majority of those of
the original directors who have not, prior to such appointment or nomination,
resigned or died, or (B) by a duly constituted committee of the Board of
Directors of the Borrower, a majority of which consists of the original
directors; or

 

(l)    all or any substantial part of the property of the Borrower and
its Subsidiaries (taken as a whole) shall be condemned, seized or otherwise
appropriated, or custody or control of such property shall be assumed, by any
court or governmental agency of competent jurisdiction, and such property shall
be retained for a period of 30 days, which condemnation, seizure or other
appropriation could reasonably be expected to have a material adverse effect on
the business, consolidated financial position or consolidated results of
operations of the Borrower and its Consolidated Subsidiaries, taken as a whole,
and the Borrower’s ability to perform its obligations under the Loan Documents
at any time up to and including the Maturity Date; or

 

(m)  any provision of any Loan Document, at any time after its execution
and delivery and for any reason other than as expressly permitted hereunder or
thereunder or satisfaction in full of all the Obligations, ceases to be in full
force and effect; or the Borrower contests in any manner the validity or
enforceability of any provision of any Loan Document; or the Borrower denies
that it has any or further liability or obligation under any Loan Document, or
purports to revoke, terminate or rescind any provision of any Loan Document.

 

45

 

SECTION 6.02.    Remedies.

 

Upon the occurrence and during the continuance of
any Event of Default (other than any event specified in paragraph (g) or
(h) of Section 6.01): (a) the Administrative Agent
shall, at the request of, or may, with the consent of, the Required Lenders,
require, without notice or demand, either or both of the following, at the same
or different times: (i) that any or all of the LC Exposure, the Revolving
Advances and all other Obligations, although not yet due, be immediately due
and payable, and thereupon such LC Exposure, Revolving Advances and all other
such Obligations shall be immediately due and payable, without presentment,
demand, protest or any notice of any kind, all of which are hereby expressly
waived by the Borrower, and (ii) that all Commitments be terminated, and
thereupon all Commitments shall terminate immediately; and in any event, the
Administrative Agent shall have in any jurisdiction where enforcement is
sought, in addition to all other rights and remedies, the rights and remedies
of a secured party under the UCC; and (b) the Administrative Agent shall,
at the request of, or may, with the consent of, the Required Lenders, require
the Borrower to deposit cash collateral in Dollars with the Administrative
Agent and otherwise perform all of its obligations under Section 2.12;
provided  that upon the occurrence of any event specified in paragraph
(g) or (h) of Section 6.01, (x) such cash
collateral referred to in clause (b) above shall be immediately
deposited with the Administrative Agent in accordance with the provisions of Section 2.12
and (y) all Commitments shall automatically terminate and such amounts
shall automatically become and be due and payable, without presentment, demand,
protest or any notice of any kind, all of which are hereby expressly waived by
the Borrower.

 

ARTICLE VII

 

THE ADMINISTRATIVE AGENT

 

SECTION 7.01.    Appointment and
Authorization.

 

Each
Lender and each Issuing Lender hereby irrevocably appoints BNPP to act on its
behalf as the Administrative Agent under this Agreement and the other Loan
Documents and authorizes the Administrative Agent to take such actions on its
behalf and to exercise such powers as are delegated to the Administrative Agent
by the terms hereof or thereof, together with such actions and powers as are
reasonably incidental thereto.  The
provisions of this Article are solely for the benefit of the
Administrative Agent, the Lenders and the Issuing Lenders, and the Borrower
shall not have rights as a third party beneficiary of any of such provisions.

 

SECTION 7.02.    Rights as a Lender.

 

The
Person serving as the Administrative Agent hereunder shall have the same rights
and powers in its capacity as a Lender as any other Lender and may exercise the
same as though it were not the Administrative Agent and the term “Lender” or “Lenders”
shall, unless otherwise expressly indicated or unless the context otherwise
requires or the Administrative Agent is not a Lender hereunder, include the
Person serving as the Administrative Agent hereunder in its individual
capacity.  Such Person and its Affiliates
may accept deposits from, lend money to, act as the financial advisor or in any
other advisory capacity for and generally engage in any kind of business with
the Borrower or any Subsidiary or other Affiliate thereof as if such Person
were not the Administrative Agent hereunder and without any duty to account
therefor to the Lenders.

 

46

 

SECTION 7.03.    Reliance by Administrative
Agent.

 

The
Administrative Agent shall be entitled to rely upon, and shall not incur any
liability for relying upon, any notice, request, certificate, consent,
statement, instrument, document or other writing (including any electronic
message, Internet or intranet website posting or other distribution)
believed by it to be genuine and to have been signed, sent or otherwise
authenticated by the proper Person.  The
Administrative Agent also may rely upon any statement made to it orally or by
telephone and believed by it to have been made by the proper Person, and shall
not incur any liability for relying thereon. 
In determining compliance with any condition hereunder to the making of
a Revolving Advance, or the issuance of a Letter of Credit or creation of a
Bankers Acceptance, that by its terms must be fulfilled to the satisfaction of
a Lender or any Issuing Lender, the Administrative Agent may presume that such
condition is satisfactory to such Lender or the applicable Issuing Lender
unless the Administrative Agent shall have received notice to the contrary from
such Lender or such Issuing Lender prior to the making of such Revolving
Advance or the issuance of such Letter of Credit or creation of such Bankers
Acceptance.  The Administrative Agent may
consult with legal counsel (who may be counsel for the Borrower), independent
accountants and other experts selected by it, and shall not be liable for any
action taken or not taken by it in accordance with the advice of any such
counsel, accountants or experts.

 

SECTION 7.04.    Delegation of Duties.

 

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

 

SECTION 7.05.    Liability of Administrative
Agent.

 

The
Administrative Agent shall not have any duties or obligations except those
expressly set forth herein and in the other Loan Documents.  Without limiting the generality of the
foregoing, the Administrative Agent:

 

(a)   shall not be subject to any fiduciary or other implied duties,
regardless of whether a Default has occurred and is continuing;

 

(b)   shall not have any duty to take any discretionary action or
exercise any discretionary powers, except discretionary rights and powers
expressly contemplated hereby or by the other Loan Documents that the
Administrative Agent is required to exercise as directed in writing by the
Required Lenders (or such other number or percentage of the Lenders as shall be
expressly provided for herein or in the other Loan Documents), provided
that the Administrative Agent shall not be required to take any action that, in
its opinion or the opinion of its counsel, may expose the Administrative Agent
to liability or that is contrary to any Loan Document or applicable law; and

 

47

 

(c)   shall not, except as expressly set forth herein and in the other
Loan Documents, have any duty to disclose, and shall not be liable for the
failure to disclose, any information relating to the Borrower or any of its
Affiliates that is communicated to or obtained by the Person serving as the
Administrative Agent or any of its Affiliates in any capacity.

 

The Administrative
Agent shall not be liable for any action taken or not taken by it (i) with
the consent or at the request of the Required Lenders (or such other number or
percentage of the Lenders as shall be necessary, or as the Administrative Agent
shall believe in good faith shall be necessary, under the circumstances as
provided in Sections 6.02 and 8.05) or (ii) in the absence
of its own gross negligence or willful misconduct.  The Administrative Agent shall be deemed not
to have knowledge of any Default unless and until notice describing such
Default is given to the Administrative Agent by the Borrower, a Lender or an
Issuing Lender.

 

The
Administrative Agent shall not be responsible for or have any duty to ascertain
or inquire into (i) any statement, warranty or representation made in or
in connection with this Agreement or any other Loan Document, (ii) the
contents of any certificate, report or other document delivered hereunder or
thereunder or in connection herewith or therewith, (iii) the performance
or observance of any of the covenants, agreements or other terms or conditions
set forth herein or therein or the occurrence of any Default, (iv) the
validity, enforceability, effectiveness or genuineness of this Agreement, any
other Loan Document or any other agreement, instrument or document or (v) the
satisfaction of any condition set forth in Article III or elsewhere
herein, other than to confirm receipt of items expressly required to be
delivered to the Administrative Agent.

 

SECTION 7.06.    Indemnification.

 

To
the extent that the Borrower for any reason fails to indefeasibly pay any
amount required pursuant to Section 8.03(a) or Section 8.03(c) to
be paid by it to the Administrative Agent (or any sub-agent thereof), any
Issuing Lender or any Related Party of any of the foregoing, each Lender
severally agrees to pay to the Administrative Agent (or any such sub-agent),
such Issuing Lender or such Related Party, as the case may be, such Lender’s
Applicable Percentage (determined as of the time that the applicable
unreimbursed expense or indemnity payment is sought) of such unpaid amount, provided
that the unreimbursed expense or indemnified loss, claim, damage, liability or
related expense, as the case may be, was incurred by or asserted against the
Administrative Agent (or any such sub-agent) or such Issuing Lender in its
capacity as such, or against any Related Party of any of the foregoing acting
for the Administrative Agent (or any such sub-agent) or such Issuing Lender in
connection with such capacity.  The
obligations of the Lenders under this Section 7.06 are subject to
the provisions of Section 2.14(e).

 

SECTION 7.07.    Non-Reliance on
Administrative Agent and Other Lenders.

 

Each
Lender and each Issuing Lender acknowledges that it has, independently and
without reliance upon the Administrative Agent or any other Lender or any of
their Related Parties and based on such documents and information as it has
deemed appropriate, made its own credit analysis and decision to enter into
this Agreement.  Each Lender and each
Issuing Lender also acknowledges that it will, independently and without
reliance upon the Administrative Agent or any other Lender or any of their
Related Parties and based on such documents and information 

 

48

 

as
it shall from time to time deem appropriate, continue to make its own decisions
in taking or not taking action under or based upon this Agreement, any other
Loan Document or any related agreement or any document furnished hereunder or
thereunder.

 

SECTION 7.08.    Resignation of
Administrative Agent.

 

The
Administrative Agent may at any time give notice of its resignation to the
Lenders, the Issuing Lenders and the Borrower. 
Upon receipt of any such notice of resignation, the Required Lenders
shall have the right, in consultation with the Borrower, to appoint a
successor, which shall be a bank with an office in the United States, or an
Affiliate of any such bank with an office in the United States having a
combined capital and surplus of at least $500,000,000.  If no such successor shall have been so appointed
by the Required Lenders and shall have accepted such appointment within
30 days after the retiring Administrative Agent gives notice of its
resignation, then the retiring Administrative Agent may on behalf of the
Lenders and the Issuing Lenders, appoint a successor Administrative Agent
meeting the qualifications set forth above; provided that if the
Administrative Agent shall notify the Borrower, the Lenders and the Issuing
Lenders that no qualifying Person has accepted such appointment, then such resignation
shall nonetheless become effective in accordance with such notice and
(1) the retiring Administrative Agent shall be discharged from its duties
and obligations hereunder and under the other Loan Documents (except that in the case of any collateral
security held by the Administrative Agent on behalf of the Lenders or the
Issuing Lenders under any of the Loan
Documents, the retiring Administrative Agent shall continue to hold such
collateral security until such time as a successor Administrative Agent is
appointed) and (2) all payments, communications and determinations
provided to be made by, to or through the Administrative Agent shall instead be
made by or to each Lender and the Issuing Lenders directly, until such time as
the Required Lenders appoint a successor Administrative Agent as provided for
above in this Section.  Upon the
acceptance of a successor’s appointment as Administrative Agent hereunder, such
successor shall succeed to and become vested with all of the rights, powers,
privileges and duties of the retiring (or retired) Administrative Agent, and
the retiring Administrative Agent shall be discharged from all of its duties
and obligations hereunder or under the other Loan Documents (if not already
discharged therefrom as provided above in this Section).  The fees payable by the Borrower to a
successor Administrative Agent shall be the same as those payable to its
predecessor unless otherwise agreed between the Borrower and such successor.  After the retiring Administrative Agent’s
resignation hereunder and under the other Loan Documents, the provisions of
this Article and Section 8.03 shall continue in effect for the
benefit of such retiring Administrative Agent, its sub-agents and their
respective Related Parties in respect of any actions taken or omitted to be
taken by any of them while the retiring Administrative Agent was acting as
Administrative Agent.

 

SECTION 7.09.    Agent With Respect to Cash
Collateral Accounts.

 

Each
Lender hereby authorizes the Administrative Agent, on behalf of and for the
benefit of Lenders, to be the agent for and representative of the Lenders and
the Issuing Lenders with respect to any cash collateral accounts. Anything
contained in any of the Loan Documents to the contrary notwithstanding, the
Borrower, the Administrative Agent, each Lender and each Issuing Lender hereby
agree that no Lender or Issuing Lender shall have any right individually to
realize upon any cash collateral accounts, it being understood and agreed that
all powers, rights and remedies hereunder may be exercised solely by the
Administrative Agent, on behalf of the 

 

49

 

Lenders
and the Issuing Lenders, in accordance with the terms hereof.  In furtherance, and not by limitation, of the
foregoing, without written consent or authorization from the Lenders or the
Issuing Lenders, the Administrative Agent may, in accordance with the terms of
this Agreement, release any Lien encumbering any of the cash collateral and
execute any documents or instruments necessary to accomplish any of the
foregoing.

 

SECTION 7.10.    No Other Duties, etc.

 

Anything
herein to the contrary notwithstanding, none of the Joint Lead Arrangers, the
Sole Book Manager, the Syndication Agent or Co-Documentation Agents listed on
the cover page hereof shall have any powers, duties or responsibilities
under this Agreement or any of the other Loan Documents, except in its
capacity, as applicable, as the Administrative Agent, a Lender or an Issuing
Lender hereunder.

 

ARTICLE VIII

 

MISCELLANEOUS

 

SECTION 8.01.    Notices.

 

(a)   Except in the case of notices and other communications expressly
permitted to be given by telephone, all notices, requests and other
communications to any party hereunder shall be in writing (including telecopy
and including electronic mail and Internet or intranet websites such as
IntraLinks to the extent provided in Section 8.01(b)) and shall be
given to such party at its address, telecopy number or electronic mail address
set forth on the signature pages hereof or such other address, telecopy
number or electronic mail address as such party may hereafter specify for the
purpose by notice to the Administrative Agent, the Issuing Lenders and the
Borrower. Each such notice, request or other communication shall be effective (i) if
given by mail, 72 hours after such communication is deposited in the mails with
first class postage prepaid, addressed as aforesaid, (ii) if given by
telecopy, when such telecopy has been received by the addressee thereof, (iii) if
delivered through electronic communications (including electronic mail and
Internet or intranet websites such as IntraLinks) to the extent provided in Section 8.01(b) below,
as provided in such Section 8.01(b) or (iv) if given by
any other means, when delivered at the address specified in this Section 8.01(a);
provided that notices to the Administrative Agent or any Issuing Lender
under Article II shall not be effective until received.  The Administrative Agent and the Issuing
Lenders shall not be liable for any errors in transmission or the illegibility
of any telecopied documents.  In the
event the Borrower sends the Administrative Agent or any Issuing Lender a
manually signed confirmation of previously sent facsimile instructions, the
Administrative Agent and the Issuing Lenders shall have no duty to compare it
against the previous instructions received by the Administrative Agent or the
Issuing Lenders nor shall the Administrative Agent or any Issuing Lender have
any responsibility should the contents or the written confirmation differ from
the facsimile instructions acted upon by the Administrative Agent or any
Issuing Lender.

 

(b)   Notices and other communications to the Lenders and the Issuing
Lenders hereunder may be delivered or furnished by electronic communication (including
e-mail and Internet or intranet websites such as IntraLinks) pursuant to
procedures approved by the Administrative Agent; provided that (i) the
foregoing shall not apply to notices to any Lender or 

 

50

 

the Issuing Lenders pursuant to Article II
if such Lender or such Issuing Lender, as applicable, has notified the
Administrative Agent that it is incapable of receiving notices under such Article by
electronic communication and (ii) in the case of notices and other
communications posted to an Internet or intranet website (such as IntraLinks),
notice thereof shall be sent to each intended recipient at its e-mail address
that such notice or communication is available and identifying the website
address therefor.  The Administrative
Agent or the Borrower may, in its discretion, agree to accept notices and other
communications to it hereunder by electronic communications pursuant to
procedures approved by it, provided that approval of such procedures may
be limited to particular notices or communications.

 

SECTION 8.02.    No Waivers.

 

No
failure or delay by the Administrative Agent, any Issuing Lender or any Lender
in exercising any right, power or privilege hereunder or under any other Loan
Document shall operate as a waiver thereof nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise
of any other right, power or privilege. The rights and remedies herein provided
shall be cumulative and not exclusive of any rights or remedies provided by
law.

 

SECTION 8.03.    Expenses; Taxes;
Indemnification.

 

(a)   Expenses. The Borrower agrees to pay on demand:
(i) all reasonable out-of-pocket expenses incurred by the Administrative
Agent, the Joint Lead Arrangers and the Sole Book Manager (including the
reasonable fees, charges and disbursements of counsel), in connection with the
syndication of the credit facilities provided for herein, the preparation,
negotiation, execution, delivery and administration of this Agreement and the
other Loan Documents or any amendments, modifications or waivers of the
provisions hereof or thereof (whether or not the transactions contemplated
hereby or thereby shall be consummated), (ii) all reasonable out-of-pocket
expenses incurred by any Issuing Lender in connection with the issuance,
creation, amendment, renewal or extension of any Letter of Credit or Bankers
Acceptance or any demand for payment thereunder and (iii) all
out-of-pocket expenses incurred by the Administrative Agent, any Lender or any
Issuing Lender (including the fees, charges and disbursements of any counsel),
in connection with the enforcement or protection of its rights (A) in
connection with this Agreement and the other Loan Documents, including its
rights under this Section, or (B) in connection with the Revolving
Advances made or Letters of Credit issued or Bankers Acceptances created
hereunder, including all such out-of-pocket expenses incurred during any
workout, restructuring or negotiations in respect of such Revolving Advances,
Letters of Credit or Bankers Acceptances.

 

(b)   Taxes. The Borrower shall pay any and all transfer taxes,
documentary taxes, recording taxes, stamp taxes, excise taxes or similar taxes
or assessments or other charges payable or determined to be payable in
connection with the execution, delivery, filing and recording of the Loan
Documents and any other documents to be delivered under the Loan Documents (but
excluding taxes imposed on the net income of any Lender), and agrees to save
the Administrative Agent, each Issuing Lender and each Lender harmless from and
against any and all liabilities with respect to or resulting from the Borrower’s
delay in paying or omission to pay such taxes.

 

51

 

(c)   Indemnification; Waiver of Consequential Damages.  The Borrower agrees to defend, indemnify, pay
and hold harmless the Administrative Agent (in its capacity as such), each
Issuing Lender (in its capacity as such), each Lender, each Joint Lead Arranger
and the Sole Book Manager and their Affiliates and their respective officers,
directors, employees and agents (collectively, the “Indemnitees”) from
and against any and all losses, obligations, penalties, actions, judgments,
claims, damages, liabilities, disbursements and expenses (including reasonable
attorneys fees and expenses, which may include the allocated cost of internal
counsel, and settlement costs) of any kind or nature whatsoever, whether
direct, indirect or consequential, and whether based on any federal, state or
foreign laws, statutes, rules or regulations, on common law or equitable
cause or on contract or otherwise, which may be imposed on, incurred by or
asserted against the Indemnitees in any way related to or arising out of this
Agreement or the other Loan Documents, or the transactions contemplated hereby
or thereby (collectively, “Losses”), except any such Losses (i) resulting
from the gross negligence or willful misconduct of the Indemnitees or (ii) resulting
from a claim brought by the Borrower against an Indemnitee for breach in bad
faith of such Indemnitee’s obligations hereunder or under any other Loan
Document, if the Borrower has obtained a final and nonappealable judgment in
its favor on such claim as determined by a court of competent jurisdiction, provided
that nothing in this Section 8.03(c) shall obligate the
Borrower to pay the normal expenses of the Administrative Agent in the
administration of this Agreement in the absence of pending or threatened
litigation or other proceedings or the claims or threatened claims of others
and then only to the extent arising therefrom.

 

To
the fullest extent permitted by applicable law, the Borrower shall not assert,
and hereby waives, any claim against any Indemnitee, on any theory of liability,
for special, indirect, consequential or punitive damages (as opposed to direct
or actual damages) arising out of, in connection with, or as a result of, this
Agreement, any other Loan Document or any agreement or instrument contemplated
hereby, the transactions contemplated hereby or thereby, any Revolving Advance
or Letter of Credit or Bankers Acceptance or the use of the proceeds
thereof.  No Indemnitee referred to in
this Section 8.03(c) above shall be liable for any damages
arising from the use by unintended recipients of any information or other
materials distributed to such unintended recipients by such Indemnitee through
telecommunications, electronic or other information transmission systems in
connection with this Agreement or the other Loan Documents or the transactions
contemplated hereby or thereby other than for direct or actual damages
resulting from the gross negligence or willful misconduct of such Indemnitee.

 

(d)   Breakage.  Upon
demand of any Lender (with a copy to the Administrative Agent) from time to
time, the Borrower shall promptly compensate such Lender for and hold such
Lender harmless from any loss, cost or expense reasonably incurred by it as a
result of: (a) any continuation, conversion, payment or prepayment of any
Eurodollar Rate Revolving Advance on a day other than the last day of the
Interest Period for such Eurodollar Rate Revolving Advance (whether voluntary,
mandatory, automatic, by reason of acceleration, or otherwise); or (b) any
failure by the Borrower (for a reason other than the failure of such Lender to
make a Loan) to prepay, borrow, continue or convert any Eurodollar Rate
Revolving Advance on the date or in the amount notified by the Borrower; in each case, including any loss or
expense arising from the liquidation or reemployment of funds obtained by it to
maintain such Eurodollar Rate Revolving Advance or from fees payable to
terminate the deposits from which such funds were obtained but excluding any
loss of anticipated profits.  The
Borrower shall also pay any customary administrative fees charged by such
Lender in connection with the foregoing.

 

52

 

(e)   Survival.  The obligations of the Borrower under this Section 8.03
shall survive the termination of this Agreement, the termination of the
Aggregate Commitments hereunder and payment of the Obligations.

 

SECTION 8.04.    Sharing of Set-Offs. Each Lender
agrees that if it shall, by exercising any right of set-off or counterclaim or
otherwise, receive payment of a proportion of the aggregate amount of principal
and interest due with respect to any Obligations owing to such Lender which is
greater than the proportion received by any other Lender in respect of the
aggregate amount of principal and interest due with respect to Obligations
owing to such other Lender, the Lender receiving such proportionately greater
payment shall purchase such participations in the LC Exposure of the other
Lenders or Revolving Advances of the other Lenders, and such other adjustments shall
be made, as may be required so that all such payments of principal and interest
with respect to the LC Exposure of the Lenders or Revolving Advances of the
Lenders shall be shared by the Lenders pro rata; provided that nothing
in this Section 8.04 shall impair the right of any Lender to
exercise any right of set-off or counterclaim it may have and to apply the
amount subject to such exercise to the payment of indebtedness of the Borrower
other than its LC Exposure or other Obligations owing to such Lender. The
Borrower agrees, to the fullest extent it may effectively do so under
applicable law, that any holder of any participation in any Revolving Advances
or a participation in any LC Exposure, whether or not acquired pursuant to the
foregoing arrangements, may exercise rights of set-off or counterclaim and
other rights with respect to such participation as fully as if such holder of a
participation were a direct creditor of the Borrower in the amount of such
participation. If under any applicable bankruptcy, insolvency or other similar
law, any Lender receives a secured claim in lieu of a set-off to which this Section 8.04
would apply, such Lender shall, to the extent practicable, exercise its rights
in respect of such secured claim in a manner consistent with the rights of the
Lenders entitled under this Section 8.04 to share in the benefits
of any recovery on such secured claim. The Borrower hereby authorizes BNPP and
each other Lender, in accordance with the provisions of this Section 8.04,
to so set-off and apply any and all such deposits held and other indebtedness
owing by BNPP or such other Lender to or for the credit or the account of the
Borrower and hereby authorizes BNPP and each such other Lender to permit such
set-off and application by BNPP or such other Lender; provided that any
such set-off rights shall not apply to the accounts or deposits of any of
Borrower’s foreign Subsidiaries.

 

SECTION 8.05.    Amendments and Waivers. Any provision
of this Agreement or any other Loan Document may be amended or waived if, but
only if, such amendment or waiver is in writing and is signed by the Borrower
and the Required Lenders (and, if the rights or duties of the Administrative
Agent or any Issuing Lender are affected thereby, by the Administrative Agent or
each affected Issuing Lender, as the case may be); provided that no such
amendment, waiver or modification shall: (i) extend or increase any
Commitment of any Lender or subject any Lender to any additional obligation
without the written consent of such Lender, (ii) reduce the principal of
or rate or amount of interest on any Revolving Advance or any LC Disbursement
or any fees without the written consent of each Lender directly affected
thereby, (iii) postpone any date fixed by this Agreement or any other Loan
Document for any payment of principal, interest, fees or other amounts due to
the Lenders (or any of them) hereunder or under any other Loan Document without
the written consent of each Lender directly affected thereby, (iv) extend
the terms of any Letter of Credit or Bankers Acceptance (other than as set
forth below) without the written consent of each Lender directly affected
thereby, (v) amend this Section 8.05 without the written
consent of each Lender, (vi) change Section 2.14(c),

 

53

 

Section 2.14(d) or Section 8.04
or any other provision of this Agreement in a manner that would alter the pro
rata sharing or disbursement of payments required thereby without the written
consent of each Lender, or (vii) change the percentage of the Commitments
or the number of Lenders which shall be required for the Lenders or any of them
to take any action under this Section 8.05 or any other provision
of this Agreement without the written consent of each Lender; provided  further,
that the Fee Letter may be amended, or rights or privileges thereunder waived,
in a writing executed only by the parties thereto.  Notwithstanding the foregoing, so long as no
Default or Event of Default has occurred and is continuing, (a) the Expiration
Date of any Letter of Credit or Bankers Acceptance may be extended with the
consent of the applicable Issuing Lender and the Borrower to a date not later
than the seventh Business Day prior to the Maturity Date, and (b) any
Letter of Credit or Bankers Acceptance may be amended in any other manner with
the consent of the applicable Issuing Lender and the Borrower so long as such
Letter of Credit or Bankers Acceptance, as so amended, complies with Section 2.07
of this Agreement.

 

SECTION 8.06.    Successors and Assigns.

 

(a)   Binding Agreement. 
The provisions of this Agreement shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns,
except that the Borrower may not assign or otherwise transfer any of its rights
under this Agreement without the consent of each Lender.

 

(b)   Successors and Assigns. 
(i)  Each Lender may assign to one
or more banks or other entities all or a portion of its rights and obligations
under this Agreement (including, without limitation, all or a portion of its
Commitments and the Revolving Advances and LC Exposure held by it); provided,
however, that (A) each such assignment shall be of a constant, and
not a varying, percentage of all rights and obligations under this Agreement, (B) the
aggregate amount of the Commitments, Revolving Advances and LC Exposure of the
assigning Lender being assigned pursuant to each such assignment shall (1) not
be less than $5,000,000 and shall be an integral multiple of $1,000,000 or (2) be
the remaining amount of such Lender’s Commitments, Revolving Advances and LC
Exposure, (C) each such assignment and proposed assignee is subject to the
prior written consent of the Administrative Agent, the Issuing Lenders and, so
long as no Default has occurred and is continuing, the Borrower (which consents
shall not be unreasonably withheld); provided, however, that the
consent of the Administrative Agent and the Borrower shall not be required with
respect to any such assignment by any Lender to (x) an Affiliate of such
Lender, (y) an Approved Fund or (z) another Lender, (D) no such
assignment shall be made to the Borrower or any of the Borrower’s Affiliates or
Subsidiaries, (E) no such assignment shall be made to a natural person, (F) no
such assignment may be made to a competitor of the Borrower and (G) the
assigning Lender shall pay or cause to be paid to the Administrative Agent a
processing and recordation fee of $3,500 (except in the case of an assignment
to an Affiliate of the assigning Lender). For each assignment, the parties to
such assignment shall execute and deliver to the Administrative Agent for its
acceptance and recording an Assignment and Assumption Agreement, together with
such forms, certificates or other evidence, if any, with respect to United
States federal income tax withholding matters as the assignee under such
Assignment and Assumption Agreement may be required to deliver pursuant to Section 2.16.  Upon such execution, delivery, acceptance and
recording by the Administrative Agent, from and after the effective date
specified in such Assignment and Assumption Agreement, the assignee thereunder
shall be a party hereto and, to the extent provided in such Assignment and
Assumption Agreement, the assignor Lender thereunder shall be released from

 

54

 

its obligations under the Loan Documents. From and
after the effective date of any such assignment (1) the assignee
thereunder shall be a party hereto and, to the extent that rights and
obligations hereunder have been assigned to it pursuant to such assignment,
have (in addition to any such rights and obligations theretofore held by it)
the rights and obligations of a Lender hereunder, shall have Commitments equal
to the Commitments assigned to it (in addition to any Commitments theretofore
held by it), and shall have LC Exposure and Revolving Advances equal to the LC
Exposure and Revolving Advances assigned to it (in addition to any LC Exposure
and Revolving Advances theretofore held by it) and (2) the assignor
thereunder shall, to the extent that rights and obligations hereunder have been
assigned by it pursuant to such assignment, relinquish its rights (other than
any rights which survive the termination of this Agreement under Section 8.03)
and be released from its obligations under this Agreement (and, in the case of
an assignment covering all or the remaining portion of an assigning Lender’s
rights and obligations under this Agreement, such Lender shall cease to be a
party hereto).  From time to time, at the
request of any Lender, the Administrative Agent shall notify the Lenders of the
current Commitments of all Lenders.

 

(c)   Sub-Participations. 
Subject to Section 8.06(d), a Lender may at any time grant
sub-participations to one or more banks or other entities in or to all or any
part of its rights and obligations under this Agreement, and to the extent of
any such sub-participation (unless otherwise stated therein and except as
provided below) the purchaser of such sub-participation shall, to the fullest
extent permitted by law, have the same rights and benefits hereunder as it
would have if it were such Lender hereunder; provided, however, that (i) such
Lender’s obligations under this Agreement shall remain unchanged,
(ii) such Lender shall remain solely responsible to the other parties
hereto for the performance of such obligations and (iii) the Borrower, the
Administrative Agent, the Lenders and the Issuing Lenders shall continue to
deal solely and directly with such Lender in connection with such Lender’s
rights and obligations under this Agreement. Any agreement pursuant to which
any Lender may grant such a participating interest shall provide that such
Lender shall retain the sole right and responsibility to enforce the
obligations of the Borrower hereunder, including, without limitation, the right
to approve any amendment, modification or waiver of any provision of this
Agreement; provided that such sub-participation agreement may provide
that such Lender will not agree to any modification, amendment or waiver of
this Agreement described in clause (i), (ii), (iii) or
(iv) of Section 8.05 without the consent of the
participant. Each Lender agrees to notify the Borrower and the Administrative
Agent of the amount of each such sub-participation and the identity of each
such sub-participant.

 

(d)   Lender Treated as Owner. 
The Administrative Agent, the Issuing Lenders and the Borrower may, for
all purposes of this Agreement, treat any Lender as the owner and holder of LC
Exposure and Revolving Advances until written notice of assignment shall have
been received by them.

 

(e)   No Right to Greater Payment.  No assignee, participant or other transferee
of any Lender’s rights shall be entitled to receive any greater payment under Section 2.17
than such Lender would have been entitled to receive with respect to the rights
transferred, unless such transfer is made (i) with the Borrower’s prior
written consent (which consent shall not be unreasonably withheld) or by reason
of the provisions of this Agreement requiring such Lender to designate a
different Lending Office under certain circumstances, or (ii) at a time
when the circumstances giving rise to such greater payment did not exist.

 

55

 

(f)    Electronic Execution of Assignments.  The words “execution,” “signed,” “signature,”
and words of like import in any Assignment and Assumption Agreement shall be
deemed to include electronic signatures or the keeping of records in electronic
form, each of which shall be of the same legal effect, validity or
enforceability as a manually executed signature or the use of a paper-based
recordkeeping system, as the case may be, to the extent and as provided for in
any applicable law, including the Federal Electronic Signatures in Global and
National Commerce Act, the New York State Electronic Signatures and Records
Act, or any other similar state laws based on the Uniform Electronic
Transactions Act.

 

(g)   Certain Pledges.  Any
Lender may at any time pledge or assign a security interest in all or any
portion of its rights under this Agreement (including under its Note, if any)
to secure obligations of such Lender, including any pledge or assignment to
secure obligations to a Federal Reserve Bank; provided that no such
pledge or assignment shall release such Lender from any of its obligations
hereunder or substitute any such pledgee or assignee for such Lender as a party
hereto.

 

SECTION 8.07.    Collateral.

 

Each
of the Lenders represents to the Administrative Agent and each of the other
Lenders that it in good faith is not relying upon any “margin stock” (as
defined in Regulation U) as collateral in the extension or maintenance of the
credit provided for in this Agreement.

 

SECTION 8.08.    Governing Law.

 

THIS
AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF
THE STATE OF NEW YORK.

 

SECTION 8.09.    Counterparts; Effectiveness.

 

This
Agreement may be signed in any number of counterparts, each of which shall be
an original, with the same effect as if the signatures thereto and hereto were
upon the same instrument. Delivery of an executed counterpart of a signature page of
this Agreement by telecopy shall be effective as delivery of a manually
executed counterpart of this Agreement.

 

SECTION 8.10.    Confidentiality.

 

In
accordance with normal procedures regarding proprietary information supplied by
customers, each of the Lenders agrees to keep confidential information relating
to the Borrower or any Subsidiary received pursuant to or in connection with
this Agreement and the transactions contemplated hereby (the “Information”),
provided that nothing herein shall be construed to prevent the
Administrative Agent, any Issuing Lender or any Lender from disclosing such
Information (i) upon the order of any court or administrative agency, (ii) upon
the request or demand of any regulatory agency or authority having jurisdiction
over the Administrative Agent, such Issuing Lender or such Lender or any of
their respective Affiliates, (iii) which has been publicly disclosed
(other than as a result of a breach of this Section), (iv) which has been
lawfully obtained on a nonconfidential basis by the Administrative Agent, any
Issuing Lender or any of the Lenders from a Person other than the Borrower, any
Subsidiary, the Administrative Agent, any Issuing Lender or any other Lender, (v) to
any participant in or assignee of, or prospective participant in or assignee
of, all or any part of the rights and obligations of the Administrative

 

56

 

Agent,
such Issuing Lender or such Lender under this Agreement or to any actual or prospective counterparty (or
its advisors) to any securitization, swap or derivative transaction relating to
the Borrower, any Subsidiary, and the Obligations (provided that such
participant, assignee or counterparty, or prospective participant, assignee or counterparty agrees to comply with the
confidentiality requirements set forth in this Section 8.10), (vi) to
the Administrative Agent’s, such Issuing Lender’s or such Lender’s independent
auditors or outside legal counsel, (vii) to its Affiliates (it being understood that the Persons to whom
such disclosure is made will be informed of the confidential nature of such
Information and instructed to keep such Information confidential), (viii) to
any other party to this Agreement or (ix) to the extent required in
connection with any litigation relating to this Agreement to which the
Administrative Agent, such Issuing Lender or such Lender is a party (and the
Administrative Agent, such Issuing Lender or such Lender shall use its
commercially reasonable efforts to give prior notice of any such disclosure
under this clause (ix) to the extent permitted by applicable law).

 

Each
of the Administrative Agent, the Lenders and the Issuing Lenders acknowledges
that (a) the Information may include material non-public information
concerning the Borrower or a Subsidiary, as the case may be, (b) it has
developed compliance procedures regarding the use of material non-public
information and (c) it will handle such material non-public information in
accordance with applicable law, including Federal and state securities laws.

 

SECTION 8.11.    Captions.

 

All
Section headings are inserted for convenience of reference only and shall
not be used in any way to modify, limit, construe or otherwise affect this
Agreement.

 

SECTION 8.12.    Severability.

 

If
any provision of this Agreement or the other Loan Documents is held to be
illegal, invalid or unenforceable, (a) the legality, validity and
enforceability of the remaining provisions of this Agreement and the other Loan
Documents shall not be affected or impaired thereby and (b) the parties
shall endeavor in good faith negotiations to replace the illegal, invalid or
unenforceable provisions with valid provisions the economic effect of which
comes as close as possible to that of the illegal, invalid or unenforceable
provisions.  The invalidity of a
provision in a particular jurisdiction shall not invalidate or render unenforceable
such provision in any other jurisdiction.

 

SECTION 8.13.    Integration.

 

All
exhibits to a Loan Document shall be deemed to be a part thereof.  The Loan Documents embody the entire
agreement and understanding among the Borrower, the Administrative Agent, the
Issuing Lenders and the Lenders with respect to the subject matter thereof and
supersede all prior agreements and understandings among the Borrower, the
Administrative Agent and the Lenders with respect to the subject matter
thereof.

 

SECTION 8.14.    CONSENT TO JURISDICTION;
WAIVER OF VENUE.

 

(a)           THE BORROWER IRREVOCABLY AND
UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE
JURISDICTION OF THE

 

57

 

COURTS
OF THE STATE OF  NEW YORK SITTING IN NEW YORK COUNTY OR OF THE UNITED STATES FOR THE
SOUTHERN DISTRICT OF NEW YORK
AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION OR PROCEEDING
ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT, OR FOR
RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO
IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL CLAIMS IN RESPECT OF ANY SUCH
ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN SUCH NEW YORK STATE COURT OR, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, IN SUCH FEDERAL COURT.  EACH OF THE PARTIES HERETO AGREES THAT A
FINAL JUDGMENT IN ANY SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE
ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER
PROVIDED BY LAW.  NOTHING IN THIS
AGREEMENT OR IN ANY OTHER LOAN DOCUMENT SHALL AFFECT ANY RIGHT THAT THE
ADMINISTRATIVE AGENT, ANY LENDER OR ANY ISSUING LENDER MAY OTHERWISE HAVE
TO BRING ANY ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT AGAINST THE BORROWER OR ITS PROPERTIES IN THE COURTS OF ANY
JURISDICTION.

 

(b)           THE BORROWER IRREVOCABLY AND
UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY
OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY
ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER
LOAN DOCUMENT IN ANY COURT REFERRED TO IN PARAGRAPH (a) OF THIS
SECTION.  EACH OF THE PARTIES HERETO
HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW,
THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION OR
PROCEEDING IN ANY SUCH COURT.

 

SECTION 8.15.    Service of Process.

 

EACH
PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED
FOR NOTICES IN SECTION 8.01. 
NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY HERETO TO
SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.

 

SECTION 8.16.    No Advisory or Fiduciary
Responsibility.

 

In
connection with all aspects of each transaction contemplated hereby, the
Borrower acknowledges and agrees, and
acknowledges its Affiliates’ understanding, that: (i) the credit facility provided for hereunder and
any related arranging or other services in connection therewith (including in
connection with any amendment, waiver or other modification hereof or of any
other Loan Document) are an arm’s-length commercial transaction between the
Borrower and its Affiliates, on
the one hand, and the Administrative Agent, the Sole Book Manager and the Joint Lead Arrangers, on the
other hand, and the Borrower is
capable of evaluating and understanding and understands and accepts the terms,
risks and conditions of the transactions contemplated hereby and by the other
Loan Documents (including any amendment, waiver or other modification hereof or
thereof); (ii) in connection with the process leading to such

 

58

 

transaction,
the Administrative Agent, the Sole Book Manager and each Joint Lead Arranger each is and has been acting solely as
a principal and is not the financial advisor, agent or fiduciary, for the
Borrower or any of its
Affiliates, stockholders, creditors or employees or any other Person; (iii) none
of the Administrative Agent, the Sole Book Manager nor any Joint Lead Arranger has assumed or will assume an
advisory, agency or fiduciary responsibility in favor of the Borrower with
respect to any of the transactions contemplated hereby or the process leading
thereto, including with respect to any amendment, waiver or other modification
hereof or of any other Loan Document (irrespective of whether the
Administrative Agent, the Sole Book Manager or any Joint Lead Arranger has advised or is currently advising
the Borrower or any of its
Affiliates on other matters) and none of the Administrative Agent, the Sole
Book Manager nor any Joint Lead
Arranger has any obligation to the Borrower or any of its Affiliates with respect to the
transactions contemplated hereby except those obligations expressly set forth
herein and in the other Loan Documents; (iv) the Administrative Agent, the
Sole Book Manager and the Joint Lead
Arrangers and their respective Affiliates may be engaged in a broad
range of transactions that involve interests that differ from those of the
Borrower and its Affiliates, and
none of the Administrative Agent, the Sole Book Manager nor any Joint Lead Arranger has any obligation to disclose any of
such interests by virtue of any advisory, agency or fiduciary relationship; and
(v) the Administrative Agent, the Sole Book Manager and the Joint Lead Arrangers have not
provided and will not provide any legal, accounting, regulatory or tax advice
with respect to any of the transactions contemplated hereby (including any
amendment, waiver or other modification hereof or of any other Loan Document)
and the Borrower has consulted its own legal, accounting, regulatory and tax
advisors to the extent it has deemed appropriate.  The
Borrower hereby waives and releases, to the fullest extent permitted by law,
any claims that it may have against the Administrative Agent, the Sole Book
Manager and the Joint Lead Arrangers
with respect to any breach or alleged breach of agency or fiduciary duty.

 

SECTION 8.17.    WAIVER OF TRIAL BY JURY.

 

EACH
PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL
PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT
OR ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY
(WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO
REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER 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 PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT
AND THE OTHER LOAN DOCUMENTS BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND
CERTIFICATIONS IN THIS SECTION.

 

SECTION 8.18.    Interest Rate Limitation.

 

Notwithstanding
anything to the contrary contained in any Loan Document, the interest paid or
agreed to be paid under the Loan Documents shall not exceed the maximum rate of
non-usurious interest permitted by applicable law (the “Maximum Rate”).  If the Administrative Agent or any Lender
shall receive interest in an amount that exceeds the Maximum Rate, the

 

59

 

excess
interest shall be applied to the principal of the Revolving Advances or, if it
exceeds such unpaid principal, refunded to the Borrower.  In determining whether the interest
contracted for, charged, or received by the Administrative Agent or a Lender
exceeds the Maximum Rate, such Person may, to the extent permitted by applicable
law, (a) characterize any payment that is not principal as an expense,
fee, or premium rather than interest, (b) exclude voluntary prepayments
and the effects thereof, and (c) amortize, prorate, allocate, and spread
in equal or unequal parts the total amount of interest throughout the contemplated
term of the Obligations hereunder.

 

SECTION 8.19.    Judgment Currency.

 

(a)   If for the purposes of obtaining judgment in any court it is
necessary to convert a sum due hereunder in Dollars into another currency under
this Agreement or any other Loan Document, the parties hereto agree, to the
fullest extent that they may effectively do so, that the rate of exchange used
will be that at which in accordance with normal banking procedures the
Administrative Agent could purchase Dollars with such other currency in the
City of San Francisco at 10:00 a.m. (San Francisco time) on the Business
Day preceding that on which final judgment is given.

 

(b)   The Borrower’s obligations hereunder shall be required to be
satisfied in Dollars.  The obligation of
the Borrower in respect of any sum due from it to any Credit Party hereunder
will, notwithstanding any judgment in a currency other than Dollars, be
discharged only to the extent the recipient thereof may in accordance with
normal banking procedures purchase Dollars (after subtracting all expenses
incurred in converting such currency to Dollars) with such other currency on
the Business Day immediately following such receipt; if the Dollars so
purchased are less than the sum originally due to the recipient in Dollars, the
Borrower agrees, as a separate obligation and notwithstanding any judgment, to
indemnify the recipient against such loss, and, if the Dollars so purchased
exceed the sum originally due to the recipient in Dollars, the recipient agrees
to remit to the Borrower such excess (after subtracting all expenses incurred
in converting such currency to Dollars).

 

(c)   The agreements in this Section 8.19 shall survive
payment of any such judgment.

 

SECTION 8.20.    USA PATRIOT Act.  Each Lender that is subject to the Patriot
Act (as hereinafter defined) and the Administrative Agent (for itself and not
on behalf of any Lender) hereby notifies the Borrower that pursuant to the
requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into
law October 26, 2001)) (the “Patriot Act”), it is required to
obtain, verify and record information that identifies the Borrower and each
Related Entity, which information includes the name and address of the Borrower
and each Related Entity and other information that will allow such Lender or
the Administrative Agent, as applicable, to identify the Borrower and each
Related Entity in accordance with the Patriot Act.  The
Borrower will, and will cause each of its Subsidiaries to, provide, to
the extent commercially reasonable or required by requirements of law, such
information and take such actions as are reasonably requested by the
Administrative Agent or any Lender to assist the Administrative Agent and the
Lenders in maintaining compliance with the Patriot Act.

 

[signature pages follow]

 

60

 

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

 

	
   

  	
  FLUOR CORPORATION,

  
	
   

  	
  as
  the Borrower

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Joanna M. Oliva

  
	
   

  	
   

  	
  J.M.
  Oliva

  
	
   

  	
   

  	
  Vice
  President and Treasurer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address:

  
	
   

  	
   

  
	
   

  	
  6700
  Las Colinas Boulevard

  
	
   

  	
  Irving, Texas 75039

  
	
   

  	
  Attention:
  Vice President and Treasurer

  
	
   

  	
  Telecopier:  (469) 398-7285

  
	
   

  	
  Electronic
  Mail:  Joanna.Oliva@fluor.com

  
	
   

  	
  Website
  Address:  www.fluor.com

  

 

 

	
   

  	
  BNP PARIBAS, as Administrative Agent,
  an Issuing Lender, and as a Lender

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Pierre-Nicholas Rogers

  
	
   

  	
   

  	
  Name:
  Pierre-Nicholas Rogers

  
	
   

  	
   

  	
  Title:
  Managing Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Jamie Dillon

  
	
   

  	
   

  	
  Name:
  Jamie Dillon

  
	
   

  	
   

  	
  Title:Managing
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  919 Third Avenue

  
	
   

  	
  3rd
  Floor

  
	
   

  	
  New
  York, New York 10022

  
	
   

  	
   

  
	
   

  	
  Addresses
  for Notices to BNPP as Administrative Agent:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  One
  Front Street, 23rd Floor

  
	
   

  	
  San
  Francisco, California 94111

  
	
   

  	
   

  
	
   

  	
  Attention:
  Nicholas Rogers

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  nicholas.rogers@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Jamie Dillon

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  jamie.dillon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Joseph Mack

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  joseph.mack@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  With
  copies to:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  787
  Seventh Avenue

  
	
   

  	
  New
  York, New York 10019

  
	
   

  	
  Attention:
  Terri Knuth

  
	
   

  	
  Telecopier:
  (212) 841-2275

  

 

 

	
   

  	
  Electronic Mail:

  
	
   

  	
  terri.knuth@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  919 Third Avenue

  
	
   

  	
  New York, New York 10022

  
	
   

  	
   

  
	
   

  	
  Attention:  Bindu Menon

  
	
   

  	
  Telecopier: (212) 471-2682

  
	
   

  	
  Electronic Mail:

  
	
   

  	
  bindu.menon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:  Thomas Kunz

  
	
   

  	
  Telecopier: (212) 471-6695

  
	
   

  	
  Electronic Mail:

  
	
   

  	
  thomas.kunz@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Addresses
  for Notices to BNPP as an Issuing Lender and for Other Notices relating to
  Letters of Credit and Bankers Acceptances:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  One
  Front Street, 23rd Floor

  
	
   

  	
  San
  Francisco, California 94111

  
	
   

  	
   

  
	
   

  	
  Attention:
  Nicholas Rogers

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  nicholas.rogers@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Jamie Dillon

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  jamie.dillon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Joseph Mack

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  joseph.mack@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Deborah Scholl

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail:

  deborah.scholl@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  With
  copies to:

  

 

 

	
   

  	
   

  	
  BNP
  Paribas

  
	
   

  	
   

  	
  919 Third Avenue

  
	
   

  	
   

  	
  New
  York, New York 10022

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Attention: Johnnie
  Etheridge

  
	
   

  	
   

  	
  Telecopier: (212) 471-6996

  
	
   

  	
   

  	
  Electronic Mail:

  
	
   

  	
   

  	
  johnnie.etheridge@americas.bnpparibas.com

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Attention: Maritza Leung

  
	
   

  	
   

  	
  Telecopier: (212) 471-6996

  
	
   

  	
   

  	
  Electronic Mail:

  
	
   

  	
   

  	
  maritza.leung@americas.bnpparibas.com

  

 

 

	
   

  	
  BANK OF AMERICA, N.A.,

  
	
   

  	
  as
  a Co-Documentation Agent, an Issuing Lender and as a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert W. Troutman

  
	
   

  	
  Name:

  	
  Robert
  W. Troutman

  
	
   

  	
  Title:

  	
  Managing
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:  Bank of America, N.A.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Bank
  of America, N.A.

  
	
   

  	
  2001
  Clayton Road

  
	
   

  	
  Concord,
  California 94520-2405

  
	
   

  	
  Attention:
  Cristina F. Obcena

  
	
   

  	
  Telecopier:
  (888) 969-9246

  
	
   

  	
  Electronic
  Mail:

  tina.obcena@bankofamerica.com

  

 

 

	
   

  	
  CITICORP USA, INC.,

  
	
   

  	
  as
  Syndication Agent, an Issuing Lender and as a Lender

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Stephanie Bontemps

  
	
   

  	
  Name:  Stephanie Bontemps

  
	
   

  	
  Title:  Managing Director and Vice President

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  399
  Park Avenue, 16th Floor

  
	
   

  	
  New
  York, NY 10043

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Two
  Penns Way, Suite 110

  
	
   

  	
  New
  Castle, DE  19720

  
	
   

  	
  Attention:  Askia Abdul-Quadir

  
	
   

  	
  Telecopier:
  (212) 894-6084

  
	
   

  	
  Electronic
  Mail:

  askia.ml.abdulquadir@citigroup.com

  

 

 

	
   

  	
  THE BANK OF
  TOKYO-MITSUBISHI UFJ, LTD., as a Co-Documentation
  Agent, an Issuing Lender and as a Lender

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Tsuneto Kodama

  
	
   

  	
  Name:  Tsuneto Kodama

  
	
   

  	
  Title:  General Manager

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:  Seattle Branch

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  900
  Fourth Avenue, Suite 4000

  
	
   

  	
  Seattle,
  WA  98164-1068

  
	
   

  	
  Attention:
  Kosuke Takahashi

  
	
   

  	
  Telecopier:
  (206) 382-6067

  
	
   

  	
  Electronic
  Mail:  ktakahashi@us.mufg.jp

  

 

67

 

	
   

  	
  UBS
  Loan Finance LLC,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Richard L. Tavrow

  
	
   

  	
  Name:  Richard L. Tavrow

  
	
   

  	
  Title:  Director, Banking Products Services, US

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Irja R. Otsa

  
	
   

  	
  Name:  Irja R. Otsa

  
	
   

  	
  Title:  Associate Director, Banking Products
  Services, US

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  	
  UBS
  Loan Finance LLC

  
	
   

  	
   

  	
  677
  Washington Boulevard

  
	
   

  	
   

  	
  Stamford,
  CT 06901

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  UBS
  LOAN FINANCE LLC

  
	
   

  	
  677
  Washington Boulevard

  
	
   

  	
  Stamford,
  CT 06901

  
	
   

  	
  Attention:  Mr. Safraz Hassan

  
	
   

  	
  Telecopier:  (203) 719-3888

  
	
   

  	
  Electronic
  Mail:  safraz.hassan@ubs.com

  
				

 

68

 

	
   

  	
  WELLS
  FARGO BANK, N.A.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Paul Stimpfl

  
	
   

  	
  Name:

  	
  Paul
  Stimpfl

  
	
   

  	
  Title:

  	
  Senior
  Vice President

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Wells
  Fargo Bank, N.A.

  
	
   

  	
  333
  S. Grand Avenue, 12th Floor

  
	
   

  	
  Los
  Angeles, CA  90071

  
	
   

  	
  Attention:
  Paul Stimpfl

  
	
   

  	
  Telecopier:
  (213) 253-7305

  
	
   

  	
  Electronic
  Mail: stimpfpk@wellsfargo.com

  

 

69

 

	
   

  	
  Calyon
  New York Branch,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  David P. Cagle

  
	
   

  	
  Name:

  	
  David
  P. Cagle

  
	
   

  	
  Title:

  	
  Managing
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Brian B. Myers

  
	
   

  	
  Name:

  	
  Brian
  B. Myers

  
	
   

  	
  Title:

  	
  Managing
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office: Calyon New York Branch

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  1301
  Avenue of the Americas

  
	
   

  	
  New
  York, New York 10019

  
	
   

  	
  Attention:
  George Lewis

  
	
   

  	
  Telecopier:
  (917) 849-5439

  
	
   

  	
  Electronic
  Mail:  George.Lewis@us.calyon.com

  

 

70

 

	
   

  	
  ING
  CAPITAL LLC,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Gil R. Kirkpatrick

  
	
   

  	
  Name:

  	
  Gil
  R. Kirkpatrick

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  1325
  Avenue of the Americas

  
	
   

  	
  New
  York, NY 10019

  
	
   

  	
  Attention:
  Loan Administration

  
	
   

  	
  Telecopier:
  (646) 424-8253

  
	
   

  	
  Electronic
  Mail:

  

 

71

 

	
   

  	
  US
  BANK NATIONAL ASSOCIATION,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Jacob Payne

  
	
   

  	
  Name:

  	
  Jacob
  Payne

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  918
  17th Street, 5th Floor

  
	
   

  	
  Denver,
  CO 80202

  
	
   

  	
  Attention:
  Jacob Payne

  
	
   

  	
  Telecopier:
  (303) 585-4279

  
	
   

  	
  Electronic
  Mail:  Jacob.Payne@usbank.com

  

 

72

 

	
   

  	
  BARCLAYS
  BANK PLC,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Nicholas Bell

  
	
   

  	
  Name:

  	
  Nicholas
  Bell

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  200
  Park Avenue

  
	
   

  	
  New
  York, NY 10166

  
	
   

  	
  Attention:
  Nicholas Bell

  
	
   

  	
  Telecopier:
  (212) 412-7600

  
	
   

  	
  Electronic
  Mail: Nicholas.Bell@barcap.com

  

 

73

 

	
   

  	
  THE
  NORTHERN TRUST COMPANY,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Michael Kingsley

  
	
   

  	
  Name:

  	
  Michael
  Kingsley

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  50
  S. LaSalle Street, L-8

  
	
   

  	
  Chicago,
  IL 60603

  
	
   

  	
  Attention:
  Cliff Hoppe

  
	
   

  	
  Telecopier:
  (312) 444-4906

  
	
   

  	
  Electronic
  Mail: CH86@NTRS.com

  

 

74

 

	
   

  	
  SUNTRUST
  BANK,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Daniel S. Komitor

  
	
   

  	
  Name:

  	
  Daniel
  S. Komitor

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  303
  Peachtree Street, MC 1941

  
	
   

  	
  10th Floor

  
	
   

  	
  Atlanta,
  GA 30308

  
	
   

  	
  Attention:
  Lawanda Griffeth

  
	
   

  	
  Telecopier:
  (404) 588-4401

  
	
   

  	
  ElectronicMail:
  Lawanda.Griffeth@suntrust.com

  

 

75

 

	
   

  	
  Westpac
  Banking Corporation,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Isaac Rankin

  
	
   

  	
  Name:

  	
  Isaac
  Rankin

  
	
   

  	
  Title:

  	
  Head
  of Relationship Management,

  
	
   

  	
  Americas

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  575
  Fifth Ave., 39th Floor

  
	
   

  	
  New
  York, NY 10017

  
	
   

  	
  Attention:  Isaac Rankin

  
	
   

  	
  Telecopier:
  (212) 551-2779

  
	
   

  	
  Electronic
  Mail: irankin@westpac.com.au

  

 

76

 

	
   

  	
  Standard
  Chartered Bank,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Robert Reddington

  
	
   

  	
  Name:
  Robert Reddington

  
	
   

  	
  Title:
  Associate Credit Documentation

  
	
   

  	
  Manager

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: Standard Chartered Bank —

  
	
   

  	
  NY
  Branch

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  One
  Madison Avenue

  
	
   

  	
  New
  York, NY 10010-3603

  
	
   

  	
  Attention:
  Vicky Faltine

  
	
   

  	
  Telecopier:
  (212) 667-0568

  
	
   

  	
  Electronic
  Mail:

  
	
   

  	
  victoria.faltine@us.standardchartered.com

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Standard
  Chartered Bank,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Richard L. Van de Berghe, Jr.

  
	
   

  	
  Name:
  Richard L. Van de Berghe, Jr.

  
	
   

  	
  Title:
  Director

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: Standard Chartered Bank —

  
	
   

  	
  NY
  Branch

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  One
  Madison Avenue

  
	
   

  	
  New
  York, NY 10010-3603

  
	
   

  	
  Attention:
  Vicky Faltine

  
	
   

  	
  Telecopier:
  (212) 667-0568

  
	
   

  	
  Electronic
  Mail:

  
	
   

  	
  victoria.faltine@us.standardchartered.com

  

 

77

 

	
   

  	
  Riyad
  Bank, Houston Agency,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  William B. Shepard

  
	
   

  	
  Name:

  	
  William
  B. Shepard

  
	
   

  	
  Title:

  	
  General
  Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Paul N. Travis

  
	
   

  	
  Name:

  	
  Paul
  N. Travis

  
	
   

  	
  Title:

  	
  Vice
  President & Head of

  
	
   

  	
   

  	
  Corporate
  Finance

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  700
  Louisiana Street, Suite 4770

  
	
   

  	
  Houston,
  TX 77002

  
	
   

  	
  Attention:
  Harlene Sridharan

  
	
   

  	
  Telecopier:
  (713) 331-2043

  
	
   

  	
  Electronic
  Mail:

  
	
   

  	
  harlene.sridharan@riyadbank-americas.com

  

 

78

 

	
   

  	
  Lloyds
  TSB Bank, plc,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Mario Del Duca

  
	
   

  	
  Name:

  	
  Mario
  Del Duca

  
	
   

  	
  Title:

  	
  Assistant
  Vide President

  
	
   

  	
   

  	
  Global
  Corporate Banking

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Deborah Carlson

  
	
   

  	
  Name:

  	
  Deborah
  Carlson

  
	
   

  	
  Title:

  	
  VP
  & Manager —

  
	
   

  	
  Business
  Development C.B.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: Lloyds TSB Bank, plc

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  1251
  Avenue of the Americas,

  
	
   

  	
  39th Floor

  
	
   

  	
  New
  York, NY 10020 USA

  
	
   

  	
  Attention:
  Patricia Kilian

  
	
   

  	
  Telecopier:
  (212) 930-5098

  
	
   

  	
  Electronic
  Mail: N/A

  

 

79

 

	
   

  	
  Banco
  Bilbao Vizcaya Argentaria, S.A.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Jay Levit

  
	
   

  	
  Name:

  	
  Jay
  Levit

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
  Global
  Corporate Banking

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Anne-Maureen Sarfati

  
	
   

  	
  Name:

  	
  Anne-Maureen
  Sarfati

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
  Global
  Corporate Banking

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office: New York Branch

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  1345
  Avenue of the Americas, 45th Floor

  
	
   

  	
  New
  York, NY 10014

  
	
   

  	
  Attention:
  Lending Administration

  
	
   

  	
  Telecopier:
  (212) 728-1500

  
	
   

  	
  Electronic
  Mail:

  
	
   

  	
  lending.administration@bbvany.com

  

 

80

 

	
   

  	
  CIBC, Inc.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Dominic J. Sorresso

  
	
   

  	
  Name:

  	
  Dominic
  J. Sorresso

  
	
   

  	
  Title:

  	
  Executive
  Director

  
	
   

  	
   

  
	
   

  	
  CIBC
  World Markets Corp.

  
	
   

  	
  Authorized
  Signatory

  
	
   

  	
   

  
	
   

  	
  Address
  for Information notices:

  
	
   

  	
  300
  Madison Avenue

  
	
   

  	
  New
  York, NY 10017

  
	
   

  	
  Attention:
  Charmaine McPherson

  
	
   

  	
  Telecopier
  number: (212) 856-3761

  
	
   

  	
   

  
	
   

  	
  Address
  for Administrative notices:

  
	
   

  	
  595
  Bay Street

  
	
   

  	
  Toronto,
  Ontario – Canada

  
	
   

  	
  Attention:
  Humayun Butt

  
	
   

  	
  Telecopier
  number: (416) 542-4558

  

 

81

 

	
   

  	
  The
  Bank of New York,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Lisa Y. Brown

  
	
   

  	
  Name:

  	
  Lisa
  Y. Brown

  
	
   

  	
  Title:

  	
  Managing
  Director

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: 

  	
  U.S.
  Client Management

  
	
   

  	
   

  	
  Western
  Division

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  One
  Wall Street, 22nd Floor

  
	
   

  	
  New
  York, NY 10005

  
	
   

  	
  Attention:
  Dawn Hertling

  
	
   

  	
  Telecopier:
  (212) 635-6399

  
	
   

  	
  Electronic
  Mail: dhertling@bankofny.com

  
				

 

82

 

	
   

  	
  SANPAOLO
  IMI S.p.A.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Renato Carducci

  
	
   

  	
  Name:

  	
  Renato
  Carducci

  
	
   

  	
  Title:

  	
  General
  Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Glen Binder

  
	
   

  	
  Name:

  	
  Glen
  Binder

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  245
  Park Avenue, 35th Floor

  
	
   

  	
  New
  York, NY 10167

  
	
   

  	
  Attention:
  Glen Binder

  
	
   

  	
  Telecopier:
  (212) 692-3178

  

 

83

 

	
   

  	
  BANCA
  DI ROMA – NEW YORK BRANCH,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Guido Filippi

  
	
   

  	
  Name:

  	
  Guido
  Filippi

  
	
   

  	
  Title:

  	
  Assistant
  Treasurer

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Luca Balestra

  
	
   

  	
  Name:

  	
  Luca
  Balestra

  
	
   

  	
  Title:

  	
  Executive
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  BANCA
  DI ROMA – NEW YORK BRANCH

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  BANCA
  DI ROMA

  
	
   

  	
  34
  East 51st Street

  
	
   

  	
  New
  York, NY 10022

  
	
   

  	
  Attention:
  Luca Balestra

  
	
   

  	
  Telecopier:
  (212) 407-1740

  
	
   

  	
  Electronic
  Mail: luca.balestra@us.bdroma.com

  

 

84

 

	
   

  	
  Allied
  Irish Banks P.L.C.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Ian Campion

  
	
   

  	
  Name:

  	
  Ian
  Campion

  
	
   

  	
  Title:

  	
  Relationship
  Manager

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
  International
  Corporate Banking

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  AIB
  BankCentre

  
	
   

  	
  Ballsbridge

  
	
   

  	
  Dublin
  4

  
	
   

  	
  Ireland

  
	
   

  	
  Attention:
  Ian Campion

  
	
   

  	
  Telecopier:
  (353) 6682508

  
	
   

  	
  Electronic
  Mail: ian.j.campion@aib.ie

  

 

85

 

LENDER ADDENDUM

 

The undersigned Lender (i) agrees to all of the provisions of the
Amended and Restated Credit Agreement, dated as of September 7, 2006 (the “Credit
Agreement”), among Fluor Corporation (the “Borrower”), certain Lenders party thereto, BNP Paribas, as
Administrative Agent, Citicorp USA, Inc., as Syndication Agent, and Bank
of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd, as Co-Documentation
Agents, and (ii) becomes a party thereto, as a Lender, with obligations
applicable to such Lender thereunder, including, without limitation, the
obligation to make extensions of credit to the Borrower in an aggregate
principal amount not to exceed the amount of its Commitment as set forth
opposite the undersigned Lender’s name in Schedule 1.01(a) to the
Credit Agreement, as such amount may be adjusted from time to time as provided
in the Credit Agreement.  Unless
otherwise defined herein, terms defined in the Credit Agreement and used herein
shall have the meanings given to them in the Credit Agreement.

 

 

	
   

  	
  Fortis Bank S.A./N.V., Cayman Island Branch

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Catherine Gilbert

  
	
   

  	
  Name:
  Catherine Gilbert

  
	
   

  	
  Title:
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Gary O’Brien

  
	
   

  	
  Name:
  Gary O’Brien

  
	
   

  	
  Title:
  Asst. Mgr. Trade Services

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: Fortis Bank S.A./N.V., Cayman Island Branch

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Two
  Embarcadero Center, Suite 1330

  
	
   

  	
  San
  Francisco, CA 94111

  
	
   

  	
  Attention:
  Justin March

  
	
   

  	
  Telecopier:
  (415) 283-3013

  
	
   

  	
  Electronic
  Mail: Justin.march@us.fortis.com

  

 

86

 

LENDER ADDENDUM

 

The undersigned Lender (i) agrees to all of the provisions of the
Amended and Restated Credit Agreement, dated as of September 7, 2006 (the “Credit
Agreement”), among Fluor Corporation (the “Borrower”), certain Lenders party thereto, BNP Paribas, as
Administrative Agent, Citicorp USA, Inc., as Syndication Agent, and Bank
of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd, as Co-Documentation
Agents, and (ii) becomes a party thereto, as a Lender, with obligations
applicable to such Lender thereunder, including, without limitation, the
obligation to make extensions of credit to the Borrower in an aggregate
principal amount not to exceed the amount of its Commitment as set forth
opposite the undersigned Lender’s name in Schedule 1.01(a) to the
Credit Agreement, as such amount may be adjusted from time to time as provided
in the Credit Agreement.  Unless
otherwise defined herein, terms defined in the Credit Agreement and used herein
shall have the meanings given to them in the Credit Agreement.

 

 

	
   

  	
  CREDIT SUISSE, Cayman Island Branch

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Sarah Wu

  
	
   

  	
  Name:
  Sarah Wu

  
	
   

  	
  Title:
  Director

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Laurence Lapeyre

  
	
   

  	
  Name:
  Laurence Lapeyre

  
	
   

  	
  Title:
  Associate

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: Credit Suisse, Cayman Island Branch

  
	
   

  	
  Eleven
  Madison Avenue

  
	
   

  	
  New
  York, NY 10010-3629

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Credit
  Suisse, Cayman Islands Branch

  
	
   

  	
  One
  Madison Avenue

  
	
   

  	
  New
  York, NY 10010-3629

  
	
   

  	
  Attention:
  Ed Markowski

  
	
   

  	
  Telecopier:
  (212) 538-6851

  
	
   

  	
  Electronic
  Mail: Edward.markowski@credit-suisse.com

  

 

87

 

LENDER ADDENDUM

 

The undersigned Lender (i) agrees to all of the provisions of the
Amended and Restated Credit Agreement, dated as of September 7, 2006 (the “Credit
Agreement”), among Fluor Corporation (the “Borrower”), certain Lenders party thereto, BNP Paribas, as
Administrative Agent, Citicorp USA, Inc., as Syndication Agent, and Bank
of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd, as Co-Documentation
Agents, and (ii) becomes a party thereto, as a Lender, with obligations
applicable to such Lender thereunder, including, without limitation, the
obligation to make extensions of credit to the Borrower in an aggregate
principal amount not to exceed the amount of its Commitment as set forth
opposite the undersigned Lender’s name in Schedule 1.01(a) to the
Credit Agreement, as such amount may be adjusted from time to time as provided
in the Credit Agreement.  Unless
otherwise defined herein, terms defined in the Credit Agreement and used herein
shall have the meanings given to them in the Credit Agreement.

 

 

	
   

  	
  The Bank of Nova Scotia

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Chris Osborn

  
	
   

  	
  Name:
  Chris Osborn

  
	
   

  	
  Title:
  Managing Director

  
	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  580
  California St., Suite 2100

  
	
   

  	
  San
  Francisco, CA 94104

  
	
   

  	
  Attention:
  Maarten Van Otterloo

  
	
   

  	
  Telecopier:
  (415) 986-1100

  
	
   

  	
  Electronic
  Mail: maarty_van_otterloo@scotiacapital.com

  

 

88

 

LENDER ADDENDUM

 

The undersigned Lender (i) agrees to all of the provisions of the
Amended and Restated Credit Agreement, dated as of September 7, 2006 (the “Credit
Agreement”), among Fluor Corporation (the “Borrower”), certain Lenders party thereto, BNP Paribas, as
Administrative Agent, Citicorp USA, Inc., as Syndication Agent, and Bank
of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd, as Co-Documentation
Agents, and (ii) becomes a party thereto, as a Lender, with obligations
applicable to such Lender thereunder, including, without limitation, the
obligation to make extensions of credit to the Borrower in an aggregate
principal amount not to exceed the amount of its Commitment as set forth
opposite the undersigned Lender’s name in Schedule 1.01(a) to the
Credit Agreement, as such amount may be adjusted from time to time as provided
in the Credit Agreement.  Unless
otherwise defined herein, terms defined in the Credit Agreement and used herein
shall have the meanings given to them in the Credit Agreement.

 

 

	
   

  	
  HSBC Bank USA, National Association

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Eduardo Abello

  
	
   

  	
  Name:
  Eduardo Abello, Officer #14811

  
	
   

  	
  Title:
  Vice President

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: HSBC Bank USA, National Association

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  One
  HSBC Center, 26th Floor

  
	
   

  	
  Buffalo,
  New York 14203

  
	
   

  	
  Attention:
  Donna Riley

  
	
   

  	
  Telecopier:
  (716) 841-0269

  
	
   

  	
  Electronic
  Mail: donna.l.riley@us.hsbc.com

  

 

89

 

LENDER ADDENDUM

 

The undersigned Lender (i) agrees to all of the provisions of the
Amended and Restated Credit Agreement, dated as of September 7, 2006 (the “Credit
Agreement”), among Fluor Corporation (the “Borrower”), certain Lenders party thereto, BNP Paribas, as
Administrative Agent, Citicorp USA, Inc., as Syndication Agent, and Bank
of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd, as Co-Documentation
Agents, and (ii) becomes a party thereto, as a Lender, with obligations
applicable to such Lender thereunder, including, without limitation, the
obligation to make extensions of credit to the Borrower in an aggregate
principal amount not to exceed the amount of its Commitment as set forth
opposite the undersigned Lender’s name in Schedule 1.01(a) to the
Credit Agreement, as such amount may be adjusted from time to time as provided
in the Credit Agreement.  Unless
otherwise defined herein, terms defined in the Credit Agreement and used herein
shall have the meanings given to them in the Credit Agreement.

 

 

	
   

  	
  ARAB BANKING CORPORATION (B.S.C.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Robert J. Ivosevich

  
	
   

  	
  Name:
  Robert J. Ivosevich

  
	
   

  	
  Title:
  General Manager

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Rami El-Rifai

  
	
   

  	
  Name:
  Rami El-Rifai

  
	
   

  	
  Title:
  Vice President

  
	
   

  	
   

  
	
   

  	
  Lending
  Office: New York

  
	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  277
  Park Avenue, 32nd Floor

  
	
   

  	
  New
  York, NY 10172-3299

  
	
   

  	
  Attention:
  Rami El-Rifai

  
	
   

  	
  Telecopier:
  (212) 583-0921

  
	
   

  	
  Electronic
  Mail: rami.el-rifai@arabbanking.com

  

 

90

 

Schedule 1.01(a)

 

COMMITMENTS AND APPLICABLE
PERCENTAGES

 

	
  Lender

  	
   

  	
  Commitment

  	
   

  	
  Applicable Percentage

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Bank of America,
  N.A.

  	
   

  	
  $

  	
  132,000,000.00

  	
   

  	
  8.800000000

  	
  %

  
	
  BNP Paribas

  	
   

  	
  $

  	
  132,000,000.00

  	
   

  	
  8.800000000

  	
  %

  
	
  Citicorp
  USA, Inc.

  	
   

  	
  $

  	
  132,000,000.00

  	
   

  	
  8.800000000

  	
  %

  
	
  The Bank of Tokyo
  Mitsubishi UFJ, Ltd

  	
   

  	
  $

  	
  132,000,000.00

  	
   

  	
  8.800000000

  	
  %

  
	
  UBS Loan Finance
  LLC

  	
   

  	
  $

  	
  74,250,000.00

  	
   

  	
  4.950000000

  	
  %

  
	
  Wells Fargo Bank,
  N.A.

  	
   

  	
  $

  	
  74,250,000.00

  	
   

  	
  4.950000000

  	
  %

  
	
  Calyon New York
  Branch

  	
   

  	
  $

  	
  74,250,000.00

  	
   

  	
  4.950000000

  	
  %

  
	
  ING Capital LLC

  	
   

  	
  $

  	
  74,250,000.00

  	
   

  	
  4.950000000

  	
  %

  
	
  Fortis Bank
  S.A./N.V., Cayman Islands Branch

  	
   

  	
  $

  	
  50,000,000.00

  	
   

  	
  3.333333333

  	
  %

  
	
  Credit Suisse,
  Cayman Islands Branch

  	
   

  	
  $

  	
  50,000,000.00

  	
   

  	
  3.333333333

  	
  %

  
	
  U.S. Bank National
  Association

  	
   

  	
  $

  	
  45,000,000.00

  	
   

  	
  3.000000000

  	
  %

  
	
  The Bank of Nova
  Scotia

  	
   

  	
  $

  	
  45,000,000.00

  	
   

  	
  3.000000000

  	
  %

  
	
  Barclays Bank plc

  	
   

  	
  $

  	
  45,000,000.00

  	
   

  	
  3.000000000

  	
  %

  
	
  The Northern Trust
  Company

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  SunTrust Bank

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Westpac Banking
  Corporation

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Standard Chartered
  Bank

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Riyad Bank,
  Houston Agency

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Lloyds TSB Bank
  plc

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Banco Bilbao
  Vizcaya Argentaria, S.A.

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  HSBC Bank USA,
  National Association

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  Arab Banking
  Corporation (B.S.C.)

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  CIBC Inc.

  	
   

  	
  $

  	
  35,000,000.00

  	
   

  	
  2.333333333

  	
  %

  
	
  The Bank of New
  York

  	
   

  	
  $

  	
  25,000,000.00

  	
   

  	
  1.666666667

  	
  %

  
	
  SanPaolo IMI,
  S.p.A.

  	
   

  	
  $

  	
  25,000,000.00

  	
   

  	
  1.666666667

  	
  %

  
	
  Banca di Roma –
  New York Branch

  	
   

  	
  $

  	
  25,000,000.00

  	
   

  	
  1.666666667

  	
  %

  
	
  Allied Irish Banks
  plc

  	
   

  	
  $

  	
  15,000,000.00

  	
   

  	
  1.000000000

  	
  %

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Totals

  	
   

  	
  $

  	
  1,500,000,000.00

  	
   

  	
  100.000000000

  	
  %

  

 

91

 

Schedule 1.01(b)

 

EXISTING LETTERS OF CREDIT

 

See attached

 

 

Schedule 5.08

 

EXISTING LIENS

 

None

 

 

EXHIBIT A

 

FORM OF OPINION OF

COUNSEL FOR THE BORROWER

 

September 7, 2006

 

To
the Lenders, the Syndication Agent,

the
Co-Documentation Agents,

the
Administrative Agent and the Issuing Lenders

Referred
to Below

 

I have acted as counsel for Fluor Corporation, a publicly traded
Delaware corporation (the “Borrower”), in connection with the Amended
and Restated Credit Agreement (the “Credit Agreement”) dated as of September 7,
2006 among the Borrower, the lenders party thereto from time to time, BNP
Paribas, as Administrative Agent and an Issuing Lender, Citicorp USA, Inc.,  as Syndication Agent and an Issuing
Lender, and Bank of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents and Issuing
Lenders. Terms defined in the Credit Agreement are used herein as therein
defined. This opinion is delivered pursuant to Section 3.01(b) of
the Credit Agreement.

 

I have examined originals or copies, certified or otherwise identified
to my satisfaction, of such documents, corporate records, certificates of
public officials and other instruments and have conducted such other
investigations of fact and law as I have deemed necessary or advisable for
purposes of this opinion.  In such
examination, except as applied to the Borrower with respect to the Credit
Agreement, I have assumed the genuineness of all signatures, the legal
capacity of natural persons, the authenticity of all documents submitted to me
as originals, the conformity to original documents of all documents submitted
to me as certified, conformed or photostatic copies and the authenticity of
such latter documents.  As used herein, “to
my knowledge” and “of which I am aware” means the conscious awareness of facts
or other information by me without independent investigation.

 

Upon the basis of the foregoing, I am of the opinion that:

 

1.             The Borrower is
a corporation duly incorporated, validly existing and in good standing under
the laws of the State of Delaware and has all corporate powers and all material
governmental licenses, authorizations, consents and approvals required to carry
on its business as now conducted.

 

2.             The execution,
delivery and performance by the Borrower of the Credit Agreement are within the
Borrower’s corporate powers, have been duly authorized by all necessary
corporate action, require no action by or in respect of, or filing with, any
governmental body, agency or official, and do not contravene or constitute a default
under any provision of applicable law or regulation, or of the restated
certificate of incorporation or by-laws of the Borrower, or, to my knowledge
after due inquiry, of any material agreement, judgment, injunction, order,
decree or other instrument binding upon the Borrower, or result in the creation
or imposition of any Lien on any asset of the Borrower or any of its
Subsidiaries.

 

A-1

 

3.             The Credit
Agreement has been duly executed and delivered on behalf of the Borrower and,
assuming the due execution and delivery by the other parties thereto,
constitutes the legal, valid and binding obligations of the Borrower,
enforceable against the Borrower in accordance with its terms, except that
enforcement may be limited by bankruptcy, insolvency, reorganization,
moratorium, or similar laws, or by equitable principles relating to or limiting
the rights of creditors generally.

 

4.             There is no
action, suit or proceeding pending against, or to my knowledge threatened
against or affecting, the Borrower or any of its Subsidiaries before any court
or arbitrator, or any governmental body, agency or official, which could
reasonably be expected to have a material adverse effect on the business,
consolidated financial position or consolidated results of operations of the
Borrower and its Consolidated Subsidiaries, taken as in whole, and the Borrower’s
ability to perform its obligations under the Loan Documents at any time up to
and including the Maturity Date, or which in any manner draws into question the
legality, validity or enforceability of the Credit Agreement.

 

5.             Each of the
Borrower’s Material Subsidiaries is a corporation duly incorporated, validly
existing and in good standing under the laws of its jurisdiction of
incorporation and has all corporate powers and all material governmental
licenses, authorizations, consents and approvals required to carry on its
business as now conducted.

 

6.             The Borrower is
not an “investment company” within the meaning of the Investment Company Act of
1940, as amended.

 

My opinion in paragraph 3 above as to the enforceability of the Credit
Agreement is subject to:

 

(a)           public policy
considerations, statutes or court decisions that may limit the rights of a
party to obtain indemnification against its own negligence, willful misconduct
or unlawful conduct; and

 

(b)           the
unenforceability under some circumstances of broadly and vaguely stated waivers
or waivers of rights granted by law where the waivers are against public policy
or prohibited by law.

 

I express no opinion with respect to your ability to collect attorneys’
fees and costs in an action involving the Credit Agreement if you are not the
prevailing party in that action.  I
express no opinion as to any provision in the Credit Agreement requiring
written amendments and waivers insofar as it suggests that oral or other
modifications, amendments or waivers could not be effectively agreed upon by
the parties or that the doctrine of promissory estoppel might not apply.  Finally, I express no opinion as to the
effect of non-compliance by you with any state or federal laws or regulation
applicable to the transactions contemplated by the Credit Agreement because of
the nature of your business.

 

The opinions expressed above are limited to the matters governed by the
laws of the United States of America, the State of California and the General
Corporation Law of the State of Delaware, in each case as they exist as of the
date hereof, and I express no opinion as to the laws of any other jurisdiction.
For the
purposes of paragraph 3 hereof, I have assumed that the laws of 

 

A-2

 

the State of
New York, which is the governing law of the Credit Agreement, are the same as
the laws of the State of California.

 

This opinion may not be relied upon by any other party nor may copies
be delivered or furnished to any other party nor may all or portions of this
opinion be quoted, circulated or referred to in any other document without the
Borrower’s written consent, except that this opinion may be (i) disclosed
to (x) regulatory agencies or authorities having jurisdiction over you
that request or require such disclosure, and (y) any participant in or
assignee of, or prospective participant in or assignee of, all or any part of
your rights or obligations under the Credit Agreement, and (ii) relied
upon by assignees and participants in the Revolving Advances, LC Exposure or
Commitments and by any successor Administrative Agent, in each case as though
such assignees or participants or successor Administrative Agent had been an
addressee of this opinion on the date hereof. I do not undertake to advise you
of any changes in the opinion expressed herein resulting from matters that
might come or be brought to my attention after the Closing Date.

 

	
   

  	
  Very
  truly yours,

  

 

A-3

 

EXHIBIT B

 

FORM OF ASSIGNMENT AND
ASSUMPTION AGREEMENT

 

This
Assignment and Assumption (this “Assignment and Assumption”) is dated as
of the Effective Date set forth below and is entered into by and between
[the][each](1) Assignor identified in item 1 below ([the][each, an] “Assignor”)
and [the][each](2) Assignee identified in item 2 below ([the][each, an] “Assignee”).  [It is understood and agreed that the rights
and obligations of [the Assignors][the Assignees](3) hereunder are several
and not joint.](4)  Capitalized terms used but not defined herein shall
have the meanings given to them in the Credit Agreement identified below (the “Credit
Agreement”), receipt of a copy of which is hereby acknowledged by the
Assignee.  The Standard Terms and
Conditions set forth in Annex 1 attached hereto are hereby agreed to and
incorporated herein by reference and made a part of this Assignment and
Assumption as if set forth herein in full.

 

For
an agreed consideration, [the][each] Assignor hereby irrevocably sells and
assigns to [the Assignee][the respective Assignees], and [the][each] Assignee
hereby irrevocably purchases and assumes from [the Assignor][the respective
Assignors], subject to and in accordance with the Standard Terms and Conditions
and the Credit Agreement, as of the Effective Date inserted by the
Administrative Agent as contemplated below (i) all of [the Assignor’s][the
respective Assignors’] rights and obligations in [its capacity as a
Lender][their respective capacities as Lenders] under the Credit Agreement and
any other documents or instruments delivered pursuant thereto to the extent
related to the amount and percentage interest identified below of all of such
outstanding rights and obligations of [the Assignor][the respective Assignors]
identified below (including, without limitation, the Letters of Credit and
Bankers Acceptances included in such facility) and (ii) to the extent
permitted to be assigned under applicable law, all claims, suits, causes of
action and any other right of [the Assignor (in its capacity as a Lender)][the
respective Assignors (in their respective capacities as Lenders)] against any
Person, whether known or unknown, arising under or in connection with the
Credit Agreement, any other documents or instruments delivered pursuant thereto
or the loan transactions governed thereby or in any way based on or related to
any of the foregoing, including, but not limited to, contract claims, tort
claims, malpractice claims, statutory claims and all other claims at law or in
equity related to the rights and obligations sold and assigned pursuant to
clause (i) above (the rights and obligations sold and assigned by
[the][any] Assignor to [the][any] Assignee pursuant to clauses (i) and (ii) above
being referred to herein collectively as [the][an] “Assigned Interest”).  Each such sale and assignment is without
recourse to [the][any] Assignor and, except as expressly provided in this
Assignment and Assumption, without representation or warranty by [the][any]
Assignor.

 

1.             Assignor[s]:

 

(1) 
For bracketed language here and elsewhere in this form relating to the
Assignor(s), if the assignment is from a single Assignor, choose the first
bracketed language.  If the assignment is
from multiple Assignors, choose the second bracketed language.

 

(2) 
For bracketed language here and elsewhere in this form relating to the
Assignee(s), if the assignment is to a single Assignee, choose the first
bracketed language.  If the assignment is
to multiple Assignees, choose the second bracketed language.

 

(3) 
Select as appropriate.

 

(4) 
Include bracketed language if there are either multiple Assignors or multiple
Assignees.

 

B-1

 

2.             Assignee[s]:

 

 

[for each Assignee, indicate
[Affiliate][Approved Fund] of [identify Lender]]

 

3.             Borrower:               Fluor Corporation

 

4.             Administrative Agent: BNP Paribas,
as the administrative agent under the Credit Agreement

 

5.             Credit Agreement:  Amended and
Restated Credit Agreement, dated as of September 7, 2006, among Fluor
Corporation, the Lenders from time to time party thereto, BNP Paribas, as
Administrative Agent, and the other agents party thereto

 

6.             Assigned Interest:

 

	
  Assignor[s](5)

  	
   

  	
  Assignee[s](6)

  	
   

  	
  Aggregate

  Amount of

  Commitments

  for all Lenders(7)

  	
   

  	
  Amount of

  Commitments

  Assigned

  	
   

  	
  Percentage

  Assigned of

  Commitments(8)

  	
   

  	
  CUSIP 

  Number

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
   

  	
  %

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
   

  	
  %

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
  $

  	
   

  	
   

  	
   

  	
  %

  	
   

  	
   

  

 

[7.            Trade Date:                                       ](9)

 

Effective
Date:                                ,
20      [TO BE INSERTED BY ADMINISTRATIVE AGENT AND
WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER
THEREFOR.]

 

The
terms set forth in this Assignment and Assumption are hereby agreed to:

 

	
   

  	
  ASSIGNOR

  
	
   

  	
  [NAME
  OF ASSIGNOR]

  
	
   

  	
   

  
	
   

  	
  By:
  

  	
   

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
  ASSIGNEE

  
	
   

  	
  [NAME
  OF ASSIGNEE]

  

 

(5) 
List each Assignor, as appropriate.

(6) 
List each Assignee, as appropriate.

(7) 
Amounts in this column and in the column immediately to the right to be
adjusted by the counterparties to take into account any payments or prepayments
made between the Trade Date and the Effective Date.

(8) 
Set forth, to at least 9 decimals, as a percentage of the Commitments of all
Lenders thereunder.

(9) 
To be completed if the Assignor and the Assignee intend that the minimum
assignment amount is to be determined as of the Trade Date.

 

B-2

 

	
   

  	
  By:
  

  	
   

  
	
   

  	
   

  	
  Title:

  

 

[Consented
to and](10) Accepted:

 

BNP
PARIBAS, as

Administrative
Agent

 

	
  By:
  

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  

 

[Consented
to:](11)

 

	
  By:
  

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  

 

(10) 
To be added only if the consent of the Administrative Agent is required by the
terms of the Credit Agreement.

(11)  To be added only if the consent of the Borrower
and/or other parties (e.g. Issuing Lenders) is required by the terms of the
Credit Agreement.

 

B-3

 

ANNEX 1 TO ASSIGNMENT AND ASSUMPTION

 

FLUOR CORPORATION

 

STANDARD TERMS AND CONDITIONS FOR

 

ASSIGNMENT AND ASSUMPTION

 

1.         Representations and
Warranties.

 

1.1.      Assignor.  [The][Each] Assignor (a) represents and
warrants that (i) it is the legal and beneficial owner of [the][[the
relevant] Assigned Interest, (ii) [the][such] Assigned Interest is free
and clear of any lien, encumbrance or other adverse claim and (iii) it has
full power and authority, and has taken all action necessary, to execute and
deliver this Assignment and Assumption and to consummate the transactions
contemplated hereby; and (b) assumes no responsibility with respect to (i) any
statements, warranties or representations made in or in connection with the
Credit Agreement or any other Loan Document, (ii) the execution, legality,
validity, enforceability, genuineness, sufficiency or value of the Loan
Documents or any collateral thereunder, (iii) the financial condition of
the Borrower, any of its Subsidiaries or Affiliates or any other Person
obligated in respect of any Loan Document or (iv) the performance or
observance by the Borrower, any of its Subsidiaries or Affiliates or any other
Person of any of their respective obligations under any Loan Document.

 

1.2.      Assignee.  [The][Each] Assignee (a) represents and
warrants that (i) it has full power and authority, and has taken all
action necessary, to execute and deliver this Assignment and Assumption and to
consummate the transactions contemplated hereby and to become a Lender under
the Credit Agreement, (ii) it meets all the requirements to be an assignee
under Section 8.06(b) of the Credit Agreement (subject to such
consents, if any, as may be required under Section 8.06(b) of
the Credit Agreement), (iii) from and after the Effective Date, it shall
be bound by the provisions of the Credit Agreement as a Lender thereunder and,
to the extent of [the][the relevant] Assigned Interest, shall have the
obligations of a Lender thereunder, (iv) it is sophisticated with respect
to decisions to acquire assets of the type represented by [the][such] Assigned
Interest and either it, or the Person exercising discretion in making its
decision to acquire [the][such] Assigned Interest, is experienced in acquiring
assets of such type, (v) it has received a copy of the Credit Agreement,
and has received or has been accorded the opportunity to receive copies of the
most recent financial statements delivered pursuant to Section 5.01
thereof, as applicable, and such other documents and information as it deems
appropriate to make its own credit analysis and decision to enter into this
Assignment and Assumption and to purchase [the][such] Assigned Interest, (vi) it
has, independently and without reliance upon the Administrative Agent or any
other Lender and based on such documents and information as it has deemed
appropriate, made its own credit analysis and decision to enter into this
Assignment and Assumption and to purchase [the][such] Assigned Interest, and (vii) if
it is a Foreign Lender, attached hereto is any documentation required to be
delivered by it pursuant to the terms of the Credit Agreement, duly completed
and executed by [the][such] Assignee; and (b) agrees that (i) it
will, independently and without reliance upon the Administrative Agent,
[the][any] 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 Loan Documents, and (ii) it
will perform in accordance with their terms all of the obligations which by the
terms of the Loan Documents are required to be performed by it as a Lender.

 

2.         Payments.  From and after the Effective Date, the
Administrative Agent shall make all payments in respect of [the][each] Assigned
Interest (including payments of principal, interest, fees and other amounts) to
[the][the relevant] Assignor for amounts which have accrued 

 

B-4

 

to
but excluding the Effective Date and to [the][the relevant] Assignee for
amounts which have accrued from and after the Effective Date.

 

3.         General Provisions.  This Assignment and Assumption shall be
binding upon, and inure to the benefit of, the parties hereto and their
respective successors and assigns.  This
Assignment and Assumption may be executed in any number of counterparts, which
together shall constitute one instrument. 
Delivery of an executed counterpart of a signature page of this
Assignment and Assumption by telecopy shall be effective as delivery of a
manually executed counterpart of this Assignment and Assumption.  This Assignment and Assumption shall be
governed by, and construed in accordance with, the law of the State of New
York.  In the event of any inconsistency
between this Assignment and Assumption and the Credit Agreement, the provisions
of the Credit Agreement shall govern.

 

B-5

 

EXHIBIT C

 

FORM OF ASSISTANT
SECRETARY’S CERTIFICATE

 

The undersigned, the Assistant Secretary of Fluor Corporation, a
Delaware corporation (the “Borrower”), hereby certifies pursuant to Section 3.01(a)(ii) of
the Amended and Restated Credit Agreement (the “Agreement”; capitalized
terms used herein but not otherwise defined herein shall have the meanings
assigned to such terms as set forth in the Agreement), dated as of September 7,
2006, among the Borrower, the Lenders thereunder, Citicorp USA, Inc.,  as Syndication Agent, Bank of America,
N.A. and The Bank of
Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents, and BNP Paribas, in its capacity
as Administrative Agent and an Issuing Lender, that I am the duly appointed
Secretary of the Borrower, and further certify as follows:

 

1.             Annexed hereto as Annex
A is a true, complete and correct copy of all resolutions of the Board of
Directors of the Borrower, relating to the Agreement and the transactions
contemplated thereby, all of which resolutions are in full force and effect on
the date hereof.

 

2.             Annexed hereto as Annexes
B and C, respectively, are true, complete and correct copies of the
certificate of incorporation and the by-laws of the Borrower, including,
without limitation, all amendments thereof to the date hereof, which
certificate of incorporation and by-laws are presently in effect on and as of
the date hereof.

 

3.             The following persons are duly
elected or appointed, as the case may be, and qualified officers of the
Borrower holding the offices indicated opposite their respective names, and the
signatures appearing opposite their respective names and offices are the
genuine signatures of such persons:

 

	
  Name

  	
   

  	
  Title

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  J.M. Oliva

  	
   

  	
  Vice President and Treasurer

  	
   

  	
   

  

 

C-1

 

IN WITNESS WHEREOF, I have hereunto set my hand this      
day of September 2006.

 

	
   

  	
   

  
	
   

  	
  Eric
  P. Helm

  
	
   

  	
  Assistant
  Secretary

  

 

I, J.M. Oliva, hereby certify that I am the duly elected or appointed,
as the case may be, and qualified Vice President and Treasurer of the Borrower,
as of the date hereof.

 

	
   

  	
   

  
	
   

  	
  J.M.
  Oliva

  
	
   

  	
  Vice
  President and Treasurer

  

 

C-2

 

ANNEX A

 

TO

 

ASSISTANT SECRETARY’S CERTIFICATE

 

RESOLUTIONS

 

 

ANNEX B

 

TO

 

ASSISTANT SECRETARY’S CERTIFICATE

 

CERTIFICATE OF INCORPORATION

 

 

ANNEX C

 

TO

 

ASSISTANT SECRETARY’S CERTIFICATE

 

BYLAWS

 

 

EXHIBIT D

 

FORM OF NOTICE OF REVOLVING BORROWING

 

	
   

  	
   

  	
  [Date]

  

 

BNP
PARIBAS, as Administrative Agent

for
the Lenders party

to
the Credit Agreement

referred
to below

One
Front Street, 23rd Floor

San
Francisco, California 94111

Attention:
[                          ]

 

FLUOR CORPORATION

 

Ladies
and Gentlemen:

 

The
undersigned, Fluor Corporation, refers to the Amended and Restated Credit
Agreement, dated as of September 7, 2006 (as amended, supplemented,
amended and restated or otherwise modified from time to time, the “Credit
Agreement”, the terms defined therein being used herein as therein
defined), among the undersigned, certain Lenders party thereto, BNP Paribas, as
Administrative Agent for said Lenders, Citicorp USA, Inc.,  as Syndication Agent, and Bank of America,
N.A. and The Bank of
Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents, and hereby gives you notice,
irrevocably, pursuant to Section 2.02 of the Credit Agreement that
the undersigned hereby requests a Revolving Borrowing under the Credit
Agreement, and in that connection sets forth below the information relating to
such Revolving Borrowing (the “Proposed
Revolving Borrowing”):

 

(a)           The Business Day of the Proposed
Revolving Borrowing is                    ,
20        .

 

(b)           The Revolving Advances comprising the
Proposed Revolving Borrowing are [Base Rate Revolving Advances] [Eurodollar
Rate Revolving Advances].

 

(c)           The aggregate amount of the Proposed
Revolving Borrowing is $                  .

 

[(d)          The initial Interest Period for each
Eurodollar Rate Revolving Advance made as part of the Proposed Revolving
Borrowing is           
month[s].]

 

(e)           Funds are requested to be disbursed
to the Borrower’s following account:

 

 

Account No.

 

D-1

 

The
undersigned hereby certifies that the following statements are true on the date
hereof, and will be true on the date of the Proposed Revolving Borrowing:

 

(i)            there
is no injunction, writ, preliminary restraining order or other order of any
nature issued by any Governmental Authority in any respect directly affecting
the transactions provided for herein and no action or proceeding by or before
any Governmental Authority shall have been commenced and be pending or, to the
knowledge of the Borrower, threatened, seeking to prevent or delay the
transactions contemplated by the Loan Documents or challenging any other terms
and provisions hereof or thereof or seeking any damages in connection
therewith;

 

(ii)           all
representations and warranties of the Borrower contained in Article IV
of the Credit Agreement (other than the representation and warranty of the
Borrower contained in Section 4.04(b) hereof) are true (except
that for purposes hereof, the representations and warranties contained in Section 4.04(a) shall
be deemed to refer to the most recent statements furnished pursuant to Section 5.01(a));

 

(iii)          no
event has occurred and is continuing, or would result from such Proposed
Revolving Borrowing or from the application of the proceeds therefrom, that
constitutes a Default;

 

(iv)          no
default or event of default under any engineering, procurement, construction or
maintenance contract of the Borrower or any of its Subsidiaries shall have
occurred and be continuing which could reasonably be expected to materially and
adversely affect the ability of the Borrower to perform its obligations under
the Loan Documents; and

 

(v)           both before and immediately after
giving effect to the Proposed Revolving Borrowing, the outstanding aggregate
principal amount of all Revolving Advances plus the Dollar Equivalent of
the total LC Exposure shall not exceed the Aggregate Commitments.

 

 

	
   

  	
  FLUOR
  CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  
				

 

D-2

 

 

EXHIBIT E

 

FORM OF NOTICE OF
CONVERSION/CONTINUATION

 

	
   

  	
  [Date]

  

 

BNP
PARIBAS, as Administrative Agent

for
the Lenders party

to
the Credit Agreement

referred
to below

One
Front Street, 23rd Floor

San
Francisco, California 94111

Attention:
Thomas Kunz

 

FLUOR CORPORATION

 

Ladies
and Gentlemen:

 

The
undersigned, Fluor Corporation, refers to the Amended and Restated Credit
Agreement, dated as of September 7, 2006 (as amended, supplemented,
amended and restated or otherwise modified from time to time, the “Credit
Agreement”, the terms defined therein being used herein as therein
defined), among the undersigned, certain Lenders party thereto, BNP Paribas, as
Administrative Agent for said Lenders, Citicorp USA, Inc.,  as Syndication Agent, and Bank of America,
N.A. and The Bank of
Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents, and hereby gives you notice,
irrevocably, pursuant to Section 2.06 of the Credit Agreement that
the undersigned hereby requests a conversion or continuation of Revolving
Advances under the Credit Agreement, and in that connection sets forth below
the information relating to such conversion or continuation:

 

(a)   The Business Day of the
conversion/continuation is                    ,
      20   .

 

(b)   The aggregate amount of
Revolving Advances being converted/continued is $              .

 

(c)   Nature of conversion/continuation:

o Conversion of
Base Rate Revolving Advances to Eurodollar Rate Revolving Advances

o Conversion of
Eurodollar Rate Revolving Advances to Base Rate Revolving Advances

o Continuation
of Eurodollar Rate Revolving Advances as such

 

(d)   If Revolving Advances are being continued as
or converted to Eurodollar Rate Revolving Advances, the duration of the new
Interest Period that commences on the conversion/continuation date is         
month[s].

 

E-1

 

The
undersigned hereby certifies that no event has occurred and is continuing, or
would result from such conversion or continuation, that constitutes a Default.

 

 

	
   

  	
  FLUOR
  CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  
				

 

E-2

 

EXHIBIT F

 

FORM OF REVOLVING NOTE

 

                   ,
20   

 

FOR
VALUE RECEIVED, the undersigned, FLUOR CORPORATION (the “Borrower”),
hereby promises to pay to the order of                                                    (the
“Lender”), on the Maturity Date (as defined in the Credit Agreement
referred to below) the principal amount of Revolving Advances (as defined in
such Credit Agreement) due and payable by the Borrower to the Lender on the
Maturity Date under that certain Amended and Restated Credit Agreement, dated
as of September 7, 2006 (as amended, restated, extended, supplemented or
otherwise modified in writing from time to time, the “Credit Agreement”;
the terms defined therein being used herein as therein defined), among the
Borrower, certain Lenders party thereto, BNP Paribas, as Administrative Agent
for said Lenders, Citicorp USA, Inc.,  as
Syndication Agent, and Bank of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents.

 

The
Borrower promises to pay interest on the unpaid principal amount of each
Revolving Advance from the date of such Revolving Advance until such principal
amount is paid in full, at such interest rates, and at such times as are
specified in the Credit Agreement.  All
payments of principal and interest shall be made to the Administrative Agent
for the account of the Lender in Dollars in Federal or other immediately
available funds at the Administrative Agent’s office specified in the Credit
Agreement.  If any amount is not paid in
full when due hereunder, such unpaid amount shall bear interest, to be paid
upon demand, from the due date thereof until the date of actual payment (and
before as well as after judgment) computed at the per annum rate set forth in
the Credit Agreement.

 

This
Revolving Note (this “Note”) is one of the Revolving Notes referred to
in the Credit Agreement, is entitled to the benefits thereof and is subject to
optional and mandatory prepayment
in whole or in part and other benefits as provided therein.  Upon the occurrence and during the
continuance of one or more of the Events of Default specified in the Credit
Agreement, all amounts then remaining unpaid on this Note shall become, or may
be declared to be, immediately due and payable, all as provided in the Credit
Agreement.  Revolving Advances made by
the Lender shall be evidenced by one or more loan accounts or records
maintained by the Lender and the Administrative Agent in the ordinary course of
business.  In the event of any conflict
between the accounts and records maintained by the Lender and the accounts and
records maintained by the Administrative Agent in respect of such matters, the
accounts and records of the Administrative Agent shall control in the absence
of manifest error.  The Lender may also
attach schedules to this Note and endorse thereon the date, amount and maturity
of its Revolving Advances and payments with respect thereto.

 

The
Borrower, for itself, its successors and assigns, hereby waives diligence,
presentment, protest and demand and notice of protest, demand, dishonor and
non-payment of this Note.                    

 

F-1

 

THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAW OF THE STATE OF NEW YORK.

 

 

	
   

  	
  FLUOR CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  
				

 

F-2

 

REVOLVING ADVANCES AND PAYMENTS
WITH RESPECT THERETO

 

	
  Date

  	
   

  	
  Interest

  Type

  	
   

  	
  Amount of

  Advance

  Made

  	
   

  	
  End of

  Interest

  Period

  	
   

  	
  Amount of

  Principal

  or Interest

  Paid This

  Date

  	
   

  	
  Outstanding

  Principal

  Balance This

  Date

  	
   

  	
  Notation

  Made By

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

F-3

 

EXHIBIT G

 

FORM OF LENDER ADDENDUM

 

The
undersigned Lender (i) agrees to all of the provisions of the Amended and
Restated Credit Agreement, dated as of September    , 2006
(the “Credit Agreement”), among Fluor Corporation (the “Borrower”),
certain Lenders party thereto, BNP Paribas, as Administrative Agent, Citicorp
USA, Inc.,  as Syndication
Agent, and Bank of America, N.A. and The Bank of Tokyo-Mitsubishi UFJ, Ltd.,  as Co-Documentation Agents, and (ii) becomes
a party thereto, as a Lender, with obligations applicable to such Lender
thereunder, including, without limitation, the obligation to make extensions of
credit to the Borrower in an aggregate principal amount not to exceed the
amount of its Commitment as set forth opposite the undersigned Lender’s name in
Schedule 1.01(a) to the Credit Agreement, as such amount may be
adjusted from time to time as provided in the Credit Agreement.   Unless otherwise defined herein, terms
defined in the Credit Agreement and used herein shall have the meanings given
to them in the Credit Agreement.

 

	
   

  	
   

  
	
   

  	
  (Name of Lender)

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Attention:

  
	
   

  	
  Telecopier:
  (      )

  
	
   

  	
  Electronic
  Mail:

  
				

 

F-3Exhibit 10.32

 

EXECUTION COPY

 

 

 

LETTER OF CREDIT FACILITY AGREEMENT

 

among

 

FLUOR CORPORATION,

as Applicant Party,

 

BNP PARIBAS,

as Administrative Agent and an Issuing Lender,

 

and

 

THE LENDERS PARTY HERETO

 

September 16, 2009

 

BNP PARIBAS SECURITIES CORP.,

as Sole Lead Arranger

 

BNP PARIBAS SECURITIES CORP.,

STANDARD CHARTERED BANK and THE BANK OF
TOKYO-MITSUBISHI UFJ, LTD.,

as Joint Book Managers

 

 

 

TABLE OF CONTENTS

 

	
  ARTICLE I DEFINITIONS

  	
  1

  
	
   

  	
   

  	
   

  
	
  SECTION 1.01.

  	
  Definitions

  	
  1

  
	
  SECTION 1.02.

  	
  Other Definitional Provisions

  	
  11

  
	
   

  	
   

  	
   

  
	
  ARTICLE II LETTERS OF CREDIT

  	
  12

  
	
   

  	
   

  	
   

  
	
  SECTION 2.01.

  	
  Intentionally Omitted

  	
  12

  
	
  SECTION 2.02.

  	
  Intentionally Omitted

  	
  12

  
	
  SECTION 2.03.

  	
  Intentionally Omitted

  	
  12

  
	
  SECTION 2.04.

  	
  Termination or Reduction of Commitments

  	
  12

  
	
  SECTION 2.05.

  	
  Default Interest

  	
  13

  
	
  SECTION 2.06.

  	
  Intentionally Omitted

  	
  13

  
	
  SECTION 2.07.

  	
  Issuance of Letters of Credit

  	
  13

  
	
  SECTION 2.08.

  	
  Participations in Letters of Credit

  	
  15

  
	
  SECTION 2.09.

  	
  Reimbursement in Respect of Letters of Credit

  	
  15

  
	
  SECTION 2.10.

  	
  Disbursement Procedures for Letters of Credit; Reporting

  	
  17

  
	
  SECTION 2.11.

  	
  Interest on LC Disbursements and Reimbursement of Other
  Amounts

  	
  17

  
	
  SECTION 2.12.

  	
  Cash Collateralization

  	
  18

  
	
  SECTION 2.13.

  	
  Obligations

  	
  20

  
	
  SECTION 2.14.

  	
  General Provisions as to Payments

  	
  20

  
	
  SECTION 2.15.

  	
  Computation of Interest and Fees

  	
  21

  
	
  SECTION 2.16.

  	
  Taxes; Net Payments

  	
  21

  
	
  SECTION 2.17.

  	
  Increased Costs

  	
  23

  
	
  SECTION 2.18.

  	
  Illegality

  	
  24

  
	
  SECTION 2.19.

  	
  Fees

  	
  24

  
	
  SECTION 2.20.

  	
  Evidence of Debt

  	
  25

  
	
  SECTION 2.21.

  	
  Use of Proceeds

  	
  26

  
	
  SECTION 2.22.

  	
  Defaulting Lenders

  	
  26

  
	
  SECTION 2.23.

  	
  Replacement of Lenders

  	
  27

  
	
   

  	
   

  	
   

  
	
  ARTICLE III CONDITIONS PRECEDENT

  	
  27

  
	
   

  	
   

  	
   

  
	
  SECTION 3.01.

  	
  Closing Date

  	
  27

  
	
  SECTION 3.02.

  	
  Conditions to Letters of Credit

  	
  28

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV REPRESENTATIONS AND WARRANTIES

  	
  29

  
	
   

  	
   

  	
   

  
	
  SECTION 4.01.

  	
  Corporate Existence and Power

  	
  29

  
	
  SECTION 4.02.

  	
  Corporate and Governmental Authorization; Contravention

  	
  29

  
	
  SECTION 4.03.

  	
  Binding Effect

  	
  30

  
	
  SECTION 4.04.

  	
  Financial Information

  	
  30

  
	
  SECTION 4.05.

  	
  Litigation

  	
  30

  
	
  SECTION 4.06.

  	
  Compliance with ERISA

  	
  30

  
	
  SECTION 4.07.

  	
  Taxes

  	
  30

  
	
  SECTION 4.08.

  	
  Material Subsidiaries

  	
  31

  
	
  SECTION 4.09.

  	
  Not an Investment Company

  	
  31

  
	
  SECTION 4.10.

  	
  Business of the Applicant Party; Use of Letters of Credit

  	
  31

  
	
  SECTION 4.11.

  	
  No Misleading Statements

  	
  31

  

 

i

 

	
  SECTION 4.12.

  	
  Environmental Matters

  	
  31

  
	
  SECTION 4.13.

  	
  No Default

  	
  32

  
	
   

  	
   

  	
   

  
	
  ARTICLE V COVENANTS

  	
  32

  
	
   

  	
   

  	
   

  
	
  SECTION 5.01.

  	
  Information

  	
  32

  
	
  SECTION 5.02.

  	
  Payment of Obligations

  	
  34

  
	
  SECTION 5.03.

  	
  Maintenance of Property; Insurance

  	
  34

  
	
  SECTION 5.04.

  	
  Conduct of Business and Maintenance of Existence

  	
  35

  
	
  SECTION 5.05.

  	
  Compliance with Laws

  	
  35

  
	
  SECTION 5.06.

  	
  Keeping of Records; Inspection of Property, Books and
  Records

  	
  35

  
	
  SECTION 5.07.

  	
  Debt

  	
  36

  
	
  SECTION 5.08.

  	
  Negative Pledge

  	
  36

  
	
  SECTION 5.09.

  	
  Consolidations, Mergers and Sales of Assets

  	
  37

  
	
  SECTION 5.10.

  	
  Payment of Taxes, Etc.

  	
  37

  
	
  SECTION 5.11.

  	
  Pari-passu Obligations

  	
  37

  
	
  SECTION 5.12.

  	
  Further Assurances

  	
  37

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI DEFAULTS

  	
  38

  
	
   

  	
   

  	
   

  
	
  SECTION 6.01.

  	
  Events of Default

  	
  38

  
	
  SECTION 6.02.

  	
  Remedies

  	
  40

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII THE ADMINISTRATIVE AGENT

  	
  41

  
	
   

  	
   

  	
   

  
	
  SECTION 7.01.

  	
  Appointment and Authorization

  	
  41

  
	
  SECTION 7.02.

  	
  Rights as a Lender

  	
  41

  
	
  SECTION 7.03.

  	
  Reliance by Administrative Agent

  	
  41

  
	
  SECTION 7.04.

  	
  Delegation of Duties

  	
  42

  
	
  SECTION 7.05.

  	
  Liability of Administrative Agent

  	
  42

  
	
  SECTION 7.06.

  	
  Indemnification

  	
  43

  
	
  SECTION 7.07.

  	
  Non-Reliance on Administrative Agent and Other Lenders

  	
  43

  
	
  SECTION 7.08.

  	
  Resignation of Administrative Agent

  	
  43

  
	
  SECTION 7.09.

  	
  Agent With Respect to Cash Collateral Accounts

  	
  44

  
	
  SECTION 7.10.

  	
  No Other Duties, etc.

  	
  44

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII MISCELLANEOUS

  	
  45

  
	
   

  	
   

  	
   

  
	
  SECTION 8.01.

  	
  Notices

  	
  45

  
	
  SECTION 8.02.

  	
  No Waivers

  	
  45

  
	
  SECTION 8.03.

  	
  Expenses; Taxes; Indemnification

  	
  46

  
	
  SECTION 8.04.

  	
  Sharing of Set-Offs

  	
  47

  
	
  SECTION 8.05.

  	
  Amendments and Waivers

  	
  48

  
	
  SECTION 8.06.

  	
  Successors and Assigns

  	
  48

  
	
  SECTION 8.07.

  	
  Collateral

  	
  50

  
	
  SECTION 8.08.

  	
  Governing Law

  	
  50

  
	
  SECTION 8.09.

  	
  Counterparts; Effectiveness

  	
  51

  
	
  SECTION 8.10.

  	
  Confidentiality

  	
  51

  
	
  SECTION 8.11.

  	
  Captions

  	
  51

  
	
  SECTION 8.12.

  	
  Severability

  	
  52

  
	
  SECTION 8.13.

  	
  Integration

  	
  52

  
	
  SECTION 8.14.

  	
  CONSENT TO JURISDICTION; WAIVER OF VENUE

  	
  52

  

 

ii

 

	
  SECTION 8.15.

  	
  Service of Process

  	
  53

  
	
  SECTION 8.16.

  	
  No Advisory or Fiduciary Responsibility

  	
  53

  
	
  SECTION 8.17.

  	
  WAIVER OF TRIAL BY JURY

  	
  54

  
	
  SECTION 8.18.

  	
  Interest Rate Limitation

  	
  54

  
	
  SECTION 8.19.

  	
  Judgment Currency

  	
  54

  
	
  SECTION 8.20.

  	
  USA PATRIOT Act

  	
  55

  
	
   

  	
   

  	
   

  
	
  LIST OF EXHIBITS AND SCHEDULES

  	
   

  
	
   

  	
   

  	
   

  
	
  EXHIBIT A

  	
  FORM OF
  OPINION OF COUNSEL FOR THE APPLICANT PARTY

  	
   

  
	
  EXHIBIT B

  	
  FORM OF
  ASSIGNMENT AND ASSUMPTION AGREEMENT

  	
   

  
	
  EXHIBIT C

  	
  FORM OF
  CERTIFICATE OF ASSISTANT SECRETARY TO THE APPLICANT PARTY

  	
   

  
	
   

  	
   

  	
   

  
	
  SCHEDULE
  1.01(a)

  	
  COMMITMENTS
  AND APPLICABLE PERCENTAGES

  	
   

  
	
  SCHEDULE
  5.08

  	
  EXISTING
  LIENS

  	
   

  

 

iii

 

LETTER OF CREDIT FACILITY
AGREEMENT

 

LETTER OF CREDIT FACILITY AGREEMENT (as amended,
restated, amended and restated, supplemented or otherwise modified from time to
time, this “Agreement”) dated as of September 16, 2009 among FLUOR CORPORATION, a Delaware corporation
(the “Applicant Party”), the LENDERS
party hereto from time to time and BNP
PARIBAS, as Administrative Agent and Issuing Lender.

 

The
parties hereto agree as follows:

 

ARTICLE I

 

DEFINITIONS

 

SECTION 1.01.    Definitions.

 

The
following terms, as used herein, have the following meanings:

 

“Administrative
Agent” means BNPP, in its capacity as administrative agent under any of the
Credit Documents, or any successor administrative agent.

 

“Administrative
Agent’s Account” means the account of the Administrative Agent as the
Administrative Agent shall specify in writing to the Credit Parties.

 

“Affiliate”
means, as to any Person, any other Person that, directly or indirectly,
controls, is controlled by or is under common control with such Person. The term
“control” (including the terms “controlled by” or “under common control with”)
means the possession, direct or indirect, of the power to vote 50% or more of
the securities having ordinary voting power for the election of directors of
such Person or to direct or cause the direction of the management and policies
of such Person, whether through ownership of voting securities or by contract
or otherwise.

 

“Aggregate
Commitments” means the Commitments of all the Lenders, which as of the
Closing Date is $500,000,000, as such amount may be adjusted or reduced from
time to time pursuant to the terms and conditions hereof.

 

“Applicable
Percentage” means, with respect to any Lender at any time, the percentage
(carried out to the ninth decimal place) of the Aggregate Commitments
represented by such Lender’s Commitment at such time.  If the Commitment of each Lender to purchase
participations in Letters of Credit and the obligation of the Issuing Lenders
to issue Letters of Credit have been terminated pursuant to Section 6.02
or if the Commitments have expired, then the Applicable Percentage of each
Lender shall be determined based on the Applicable Percentage of such Lender
most recently in effect, giving effect to any subsequent assignments.  The initial Applicable Percentage of each
Lender is set forth opposite the name of such Lender on Schedule 1.01(a) or
in the Assignment and Assumption Agreement pursuant to which such Lender
becomes a party hereto, as applicable.

 

“Applicable
Rate” means, from time to time, the following rates per annum, based upon
the Rating as set forth below:

 

1

 

	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Applicable Rate for

  Commitment Fee

  
	
  Pricing

  Level

  	
   

  	
  Rating

  	
   

  	
  Applicable Rate for

  Letter of Credit Fee

  	
   

  	
  Utilization

  Percentage less

  than 50.0%

  	
   

  	
  Utilization

  Percentage

  greater than or

  equal to 50.0%

  
	
  1

  	
   

  	
  Investment Grade Status

  	
   

  	
  150.0 bps

  	
   

  	
  50.0 bps

  	
   

  	
  30.0 bps

  
	
  2

  	
   

  	
  Not Investment Grade Status

  	
   

  	
  250.0 bps

  	
   

  	
  75.0 bps

  	
   

  	
  50.0 bps

  

 

“Investment Grade Status” means, as of any date of
determination, (i) the Rating (as defined below) from S&P is no lower
than BBB- and (ii) the Rating from Moody’s is no lower than Baa3; provided
that if the Applicant Party has only one Rating, or if the Applicant Party does
not have any Rating, Pricing Level 2 set forth in the grid above shall apply.

 

“Rating” means, as of any date of determination, the publicly
announced rating as  determined by
either S&P or Moody’s (collectively, the “Ratings”) of the Applicant
Party’s non-credit-enhanced, senior unsecured long-term debt.

 

Initially,
the Applicable Rate shall be determined based upon the Rating specified in the
certificate delivered pursuant to Section 3.01(a)(iv).  Thereafter, each change in the Applicable
Rate resulting from a publicly announced change in the Rating shall be
effective, in the case of an upgrade or downgrade, during the period commencing
on the date of the public announcement thereof and ending on the date
immediately preceding the effective date of the next such change.

 

“Applicant
Party” has the meaning specified in the preamble to this Agreement.

 

“Application”
means a letter of credit application in the standard form thereof required by
the applicable Issuing Lender and acceptable to the Applicant Party for the
issuance of letters of credit generally.

 

“Approved
Fund” means any Fund that is administered or managed by (a) a Lender, (b) an
Affiliate of a Lender or (c) an entity or an Affiliate of an entity that
administers or manages a Lender.

 

“Assignment
and Assumption Agreement” means an assignment and assumption agreement
entered into by a Lender and an assignee (with the consent of any party whose
consent is required by Section 8.06(b)), and accepted by the
Administrative Agent, substantially in the form of Exhibit B
attached hereto or any other form approved by the Administrative Agent.

 

“Availability
Period” means the period from and including the Closing Date to the
earliest of (a) the Maturity Date, (b) the date of termination of the
Aggregate Commitments pursuant to Section 2.04(c), and (c) the
date of termination of the obligation of the Issuing Lenders to issue Letters
of Credit pursuant to Section 6.02.

 

2

 

“Backing
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Base
Rate” means, for any day, a rate per annum equal to the highest of:

 

(a)           the prime commercial
lending rate of interest established by BNPP in New York, New York from time to
time as its prime rate;

 

(b)           the sum of one-half
of one-percent (1/2%) plus the Federal Funds Rate for such day; and

 

(c)           the Eurodollar Rate
for a one month interest period plus one percent (1%).

 

“BNPP”
means BNP Paribas and its successors.

 

“Business
Day” means any day except a Saturday, Sunday or other day on which
commercial banks in the States of California, Texas or New York are authorized
or required by law, regulation or executive order to close.

 

“Closing
Date” means September 16, 2009.

 

“Code”
means the Internal Revenue Code of 1986, as amended, or any successor statute.

 

“Commitment”
means, at any time, for any Lender, the amount set forth opposite such Lender’s
name on Schedule 1.01(a) hereto under the heading “Commitment” or
in the Assignment and Assumption Agreement pursuant to which such Lender
becomes a party hereto, as such amount may be adjusted from time to time
pursuant to the terms and conditions hereof.

 

“Commitment
Fee” has the meaning specified in Section 2.19(a).

 

“Computation
Date” has the meaning specified in Section 2.12(b).

 

“Consolidated
Debt” means, at any date, the total Debt of the Applicant Party and its
Consolidated Subsidiaries, determined on a consolidated basis as of such date; provided,
that Consolidated Debt of the Applicant Party and its Consolidated Subsidiaries
shall exclude Debt of variable interest entities which is identified (as
required by  and referenced in FASB Interpretation No. 46,
Consolidation of Variable Interest Entities (January 2003), as may
be modified or supplemented) by separate line item in the balance sheet
of the Applicant Party and its Consolidated Subsidiaries as non-recourse to the
Applicant Party and its Subsidiaries.

 

“Consolidated
Subsidiary” means any Subsidiary or other entity the accounts of which, at
any date, would be, in accordance with GAAP, consolidated with those of the Applicant
Party in its consolidated financial statements as of such date.

 

“Consolidated
Tangible Net Worth” means, at any date, the consolidated stockholders’
equity of the Applicant Party and its Consolidated Subsidiaries less their
consolidated Intangible Assets, all determined as of such date in accordance
with GAAP.  For purposes of this
definition “Intangible Assets” means the amount (to the extent reflected
in determining such consolidated stockholders’ equity) of (i) all
write-ups (other than write-ups resulting from foreign currency 

 

3

 

translations
and write-ups of assets of a going concern business made within twelve months
after the acquisition of such business) in the book value of any asset owned by
the Applicant Party or a Consolidated Subsidiary, and (ii) all unamortized
debt discount and expense, unamortized deferred charges, goodwill, patents,
trademarks, service marks, trade names, copyrights, organization or
developmental expenses and other intangible items.

 

“Controlled
Group” means all members of a controlled group of corporations and all
trades or businesses (whether or not incorporated) under common control which,
together with the Applicant Party, are treated as a single employer under Section 414(b) or
414(c) of the Code.

 

“Credit
Documents” means this Agreement, each Application, each Letter of Credit,
the Fee Letter, any security or collateral documents to be delivered thereunder
and any other documents or certificates to be delivered thereunder or in
connection therewith and all amendments thereto and substitutions and
replacements therefor and modifications thereof.

 

“Credit
Party” means each of the Administrative Agent, each Issuing Lender, each
Lender and their respective successors and assigns, and “Credit Parties”
means all such Persons, collectively.

 

“Debt”
of any Person means, at any date, without duplication, (i) all
indebtedness of such Person for borrowed money which would be classified as a
liability of such Person in accordance with GAAP on such Person’s balance
sheets, (ii) all obligations of such Person evidenced by bonds,
debentures, notes or other similar instruments (except for notes relating to
self insurance programs of such Person and/or its Subsidiaries which are not classified
as current liabilities of such Person or any of its Subsidiaries) which would
be classified as a liability of such Person in accordance with GAAP on such
Person’s balance sheets, (iii) all obligations of such Person to pay the
deferred purchase price of property or services, except trade accounts payable
arising in the ordinary course of business and foreign exchange transactions, (iv) all
obligations of such Person as lessee under capital leases, (v) all
obligations of such Person to purchase securities (or other property) which
arise out of or in connection with the sale of the same or substantially
similar securities or property, which obligations or any portion thereof may,
in accordance with their terms, become due on or before the Maturity Date, (vi) all
non-contingent obligations of such Person to reimburse any bank or other Person
in respect of amounts actually paid under a letter of credit, a bankers
acceptance or similar instrument, (vii) all Debt of others secured by a
Lien on any asset of such Person, whether or not such Debt is assumed by such
Person, (viii) all Debt of others Debt Guaranteed by such Person, and (ix) all
payment obligations of such Person under any interest rate protection agreement
(including, without limitation, any interest rate swaps, caps, floors, collars
and similar agreements). Notwithstanding anything to the contrary contained
herein, “Debt” of the Applicant Party and its Consolidated Subsidiaries shall
exclude Debt of variable interest entities which is identified (as required by  and
referenced in FASB Interpretation No. 46, Consolidation of Variable
Interest Entities (January 2003), as may be modified or supplemented)
by separate line item in the balance sheet of the Applicant Party and its
Consolidated Subsidiaries as non-recourse to the Applicant Party and its
Subsidiaries.

 

“Debt
Guarantee” by any Person means any obligation, contingent or otherwise, of
such Person directly or indirectly guaranteeing any Debt of any other Person
and, without limiting the generality of the foregoing, any obligation, direct
or indirect, contingent or otherwise, of such Person (i) to purchase or
pay (or advance or supply funds for the purchase or payment of) such 

 

4

 

Debt
(whether arising by virtue of partnership arrangements, by agreement to
keep-well, to purchase assets, goods, securities or services, to take-or-pay,
or to maintain financial statement conditions or otherwise) or (ii) entered
into for the purpose of assuring in any other manner the obligee of such Debt
of the payment thereof or to protect such obligee against loss in respect
thereof (in whole or in part); provided that the term “Debt Guarantee”
shall not include endorsements for collection or deposit in the ordinary course
of business. The term “Debt Guarantee” used as a verb has a corresponding
meaning.

 

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

 

“Defaulting
Lender” means any Lender, as reasonably determined by the Administrative
Agent, that has (a) failed to fund any portion of its participations in
any Letter of Credit within three Business Days of the date required to be
funded by it hereunder, (b) notified the Applicant Party, the
Administrative Agent, the applicable Issuing Lender or any Lender in writing
that it does not intend to comply with any of its funding obligations under
this Agreement or has made a public statement to the effect that it does not
intend to comply with its funding obligations under this Agreement or under
other agreements in which it commits to extend credit, (c) failed, within
three (3) Business Days after request by the Administrative Agent, to
confirm that it will comply with the terms of this Agreement relating to its
obligations to fund participations in the then outstanding Letters of Credit, (d) otherwise
failed to pay over to the Administrative Agent or any other Lender any other
amount required to be paid by it hereunder within three (3) Business Days
of the date when due, unless the subject of a good faith dispute, or (e) (i) become
or is insolvent or has a parent company that has become or is insolvent or (ii) become
the subject of a bankruptcy or insolvency proceeding, or has had a receiver,
conservator, trustee, administrator, assignee for the benefit of creditors or
similar Person charged with reorganization or liquidation of its business or
custodian, appointed for it, or has taken any action in furtherance of, or
indicating its consent to, approval of or acquiescence in any such proceeding
or appointment or has a parent company that has become the subject of a
bankruptcy or insolvency proceeding, or has had a receiver, conservator,
trustee, administrator, assignee for the benefit of creditors or similar Person
charged with reorganization or liquidation of its business or custodian
appointed for it, or has taken any action in furtherance of, or indicating its
consent to, approval of or acquiescence in any such proceeding or appointment.

 

“Dollar
Equivalent” means, at any time for the determination thereof, the amount of
Dollars which could be purchased with the amount of the relevant Foreign
Currency by the Administrative Agent (in accordance with normal banking
procedures) at the spot exchange rate therefor at about 12:00 noon (San
Francisco time) on such date of determination.

 

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

 

“Environmental
Laws” means any and all federal, state, local and foreign statutes, laws,
regulations, ordinances, rules, judgments, orders, decrees, permits,
concessions, grants, franchises, licenses, agreements or other governmental
restrictions relating to the environment, or to emissions, discharges or
releases of pollutants, contaminants, petroleum or petroleum products,
chemicals or industrial, toxic or hazardous substances or wastes into the
environment, including, without limitation, ambient air, surface water, ground
water, or land, or otherwise relating to the 

 

5

 

manufacture,
processing, distribution, use, treatment, storage, disposal, transport or
handling of pollutants, contaminants, petroleum or petroleum products,
chemicals or industrial, toxic or hazardous substances or wastes or the
clean-up or other remediation thereof.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended, and the
regulations promulgated thereunder.

 

“Escalating
LC” means each Letter of Credit that, by its terms or the terms of the
Application related thereto, provides for one or more increases in the stated
amount thereof.

 

“euro”
means the single currency of participating member states of the European Union.

 

“Eurocurrency
Liabilities” has the meaning specified in Regulation D of the FRB, as in
effect from time to time.

 

“Eurodollar
Rate” means, with respect to a one month interest period, an interest rate
per annum (rounded upwards, if necessary, to the nearest 1/100 of 1%) equal to
the rate per annum obtained by dividing (i) (a) the rate per annum
determined by the Administrative Agent by reference to the British Bankers’
Association Interest Settlement Rates for deposits (for delivery on the first
day of such period) for a one-month term in Dollars, determined as of
approximately 11:00 a.m. (London, England time) on such Interest Rate
Determination Date (as set forth by Bloomberg Information Service or any
successor thereto or any other service selected by Administrative Agent which
has been nominated by the British Bankers’ Association as an authorized
information vendor for the purpose of displaying such rates), or (b) in
the event the rate referenced in the preceding clause (a) is not
available, the rate per annum equal to the offered quotation rate to first
class banks in the London interbank market by BNPP for deposits (for delivery
on the first day of the relevant period) in Dollars with maturities comparable
to such period as of approximately 11:00 a.m. (London, England time) on
such Interest Rate Determination Date, by (ii) a percentage equal to 100%
minus the Eurodollar Rate Reserve Percentage for such interest period.

 

“Eurodollar
Rate Reserve Percentage” means, with respect to a one month interest
period, the reserve percentage applicable on the Interest Rate Determination
Date under regulations issued from time to time by the FRB (or any successor)
for determining the maximum reserve requirement (including, without limitation,
any emergency, supplemental or other marginal reserve requirement) for a member
bank of the Federal Reserve System in New York City with respect to liabilities
or assets consisting of or including Eurocurrency Liabilities having a term
equal to such interest period.

 

“Event
of Default” has the meaning specified in Section 6.01.

 

“Excess”
has the meaning specified in Section 2.12(b).

 

“Exchange
Equivalent” means, at any time for the determination thereof, with respect
to any amount (the “Original Amount”) of Dollars, the amount of any
relevant Foreign Currency which would be required to buy the Original Amount of
Dollars by the Administrative Agent (in accordance with normal banking
procedures) at the spot exchange rate therefor at about 12:00 noon (San
Francisco time) on such date of determination.

 

6

 

“Expiration
Date” has the meaning specified in Section 2.07(b).

 

“Federal
Funds Rate” means, for any day (the “accrual date”), the rate per annum
(rounded upward, if necessary, to the nearest 1/100th of 1%) equal to the
weighted average of the rates on overnight Federal funds transactions with
members of the Federal Reserve System arranged by Federal funds brokers on the
accrual date, as published by the Federal Reserve Bank of New York on the
Business Day next succeeding such day, provided that (i) if the
accrual date is not a Business Day, the Federal Funds Rate for the accrual date
shall be such rate on such transactions on the next preceding Business Day as
so published on the next succeeding Business Day, and (ii) if no such rate
is so published on such next succeeding Business Day, the Federal Funds Rate
for the accrual date shall be the average rate quoted to BNPP on the accrual
date (or next preceding Business Day) on such transactions as determined by the
Administrative Agent.

 

“Fee
Letter” means that certain letter agreement among BNPP, BNP Paribas
Securities Corp. and the Applicant Party dated as of August 3, 2009, as
the same may be amended, amended  and
restated, supplemented or otherwise modified from time to time.

 

“Foreign
Currency” means Pounds Sterling, euro, Japanese Yen, Australian Dollar, New
Zealand Dollar, Mexican Peso, Canadian Dollar, Chilean Peso, Singapore Dollar,
Chinese Yuan and/or any other currency acceptable to the applicable Issuing
Lender, as the context requires.

 

“Foreign
Lender” has the meaning specified in Section 2.16(b).

 

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

 

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

 

“GAAP”
means generally accepted accounting principles consistent with those applied in
the preparation of the financial statements referred to in Section 4.04(a) as
of and for the fiscal year ended December 31, 2008.

 

“Governmental
Authority” means any nation or government, any state or other political
subdivision thereof, any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government and any
court or arbitrator.

 

“Industry
Standards” has the meaning specified in Section 5.03(b).

 

“Information”
has the meaning specified in Section 8.10.

 

“Interest
Rate Determination Date” means, with respect to a one month interest
period, the date that is two Business Days prior to the first day of such
interest period.

 

“ISP”
means, with respect to any Letter of Credit, the “International Standby Practices
1998” published by the Institute of International Banking Law &
Practice (or such later version thereof as may be in effect at the time of
issuance).

 

7

 

“Issuing
Lender” means BNPP in its capacity as an issuer of Letters of Credit
hereunder, and its respective successors and, with the consent of the
Administrative Agent (which consent shall not be unreasonably withheld) and at
the request of the Applicant Party, any other Lender (and its successors) that
agrees to be an Issuing Lender hereunder, in its capacity as issuer of one or
more Letters of Credit hereunder, and the term “Issuing Lenders” means
all such Persons, collectively.

 

“Joint
Book Managers” means BNP Paribas Securities Corp., Standard Chartered Bank
and The Bank of Tokyo-Mitsubishi UFJ, Ltd., each in its capacity as joint
book manager, and its successors in such capacity.

 

“Joint
Venture” means any joint venture, partnership or other minority-owned
entity (other than a Subsidiary) in which the Applicant Party or any of its
Subsidiaries or other Affiliates owns an interest.

 

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

 

“LC
Exposure” means at any time, the sum of (i) the aggregate undrawn
amount of all Letters of Credit at such time (provided that, with
respect to any Escalating LC, such aggregate undrawn amount shall equal the
maximum amount (after giving effect to all possible increases) available to be
drawn under such Escalating LC) plus (ii) the aggregate amount of
all LC Disbursements that have not yet been reimbursed by or on behalf of the
Applicant Party at such time.  The LC
Exposure of any Lender at any time shall be its Applicable Percentage of the total
LC Exposure at such time.  For all
purposes of this Agreement, if on any date of determination a Letter of Credit
has expired by its terms but any amount may still be drawn thereunder by reason
of the operation of Rule 3.14 of the ISP, such Letter of Credit shall be
deemed to be “outstanding” in the amount so remaining available to be drawn.

 

“Lender”
means each Person listed on Schedule 1.01(a) and any other Person
that shall have become a party hereto pursuant to an Assignment and Assumption
Agreement (other than any such Person that ceases to be a party hereto pursuant
to an Assignment and Assumption Agreement) and their successors and assigns.

 

“Lending
Office” means, as to each Lender, its office located at its address set
forth on the signature pages hereof, or such office as may be set forth as
a Lending Office of a Lender in any Assignment and Assumption Agreement
accepted by the Administrative Agent pursuant to Section 8.06(b),
or such other office as such Lender may hereafter designate as its Lending
Office by notice to the Applicant Party and the Administrative Agent.

 

“Letter
of Credit” means a standby letter of credit (which is either a Performance
Letter of Credit or a Backing Letter of Credit) denominated in Dollars or in a
Foreign Currency issued pursuant to this Agreement, which letter of credit is
in a form reasonably acceptable to the applicable Issuing Lender, in each case
as such letter of credit may be amended, modified, extended, renewed or
replaced from time to time, in each case in accordance with this Agreement.

 

“Letter
of Credit Fee” has the meaning specified in Section 2.19(b).

 

8

 

“Lien”
means, with respect to any asset, any mortgage, lien, pledge, charge, security
interest or encumbrance of any kind in respect of such asset. For the purposes
of this Agreement, the Applicant Party or any Subsidiary shall be deemed to own
subject to a Lien any asset which it has acquired or holds subject to the
interest of a vendor or lessor under any conditional sale agreement, capital
lease or other title retention agreement relating to such asset.

 

“Material
Adverse Change” means any material and adverse change in the business,
assets, liabilities (actual or contingent), operations, condition (financial or
otherwise) or prospects of the Applicant Party and its Consolidated
Subsidiaries (taken as a whole) since December 31, 2008 which could
reasonably be expected to materially and adversely affect the ability of the
Applicant Party to perform its obligations under the Credit Documents at any
time up to and including the Maturity Date.

 

“Material
Plan” has the meaning specified in Section 6.01(i).

 

“Material
Subsidiary” means at any time a Subsidiary which as of such time meets the
definition of a “significant subsidiary” contained as of the date hereof in
Regulation S-X of the SEC.

 

“Maturity
Date” means September 16, 2014;
provided, however, that if such date is not a Business Day, the
Maturity Date shall be the next preceding Business Day.

 

“Maximum
Rate” has the meaning specified in Section 8.18.

 

“Moody’s”
means Moody’s Investors Service, Inc. and any successor thereto.

 

“Obligations”
means the collective reference to all obligations and liabilities of the
Applicant Party to the Credit Parties (including, without limitation, the
reimbursement obligations payable hereunder and all other obligations and
liabilities of the Applicant Party in respect of any Letter of Credit and
interest thereon as provided for herein, and interest accruing at the then
applicable rate provided in this Agreement after the maturity of such
obligations and liabilities and interest accruing at the then applicable rate
provided in this Agreement after the filing of any petition in bankruptcy, or
the commencement of any insolvency, reorganization or like proceeding, relating
to the Applicant Party whether or not a claim for post-filing or post-petition
interest is allowed in such proceeding), whether direct or indirect, absolute
or contingent, due or to become due, or now existing or hereafter incurred,
which may arise under, out of, or in connection with, this Agreement, any other
Credit Document or any other document made, delivered or given in connection
herewith or therewith, in each case whether on account of principal, interest,
reimbursement obligations, fees, indemnities, costs, expenses or otherwise
(including, without limitation, all fees and disbursements of counsel to the
Administrative Agent, the Sole Lead Arranger, the Joint Book Managers, the
Issuing Lenders or the Lenders that are required to be paid by the Applicant
Party pursuant to the terms of this Agreement or any other Credit Document).

 

“Patriot
Act” has the meaning specified in Section 8.20.

 

“PBGC”
means the Pension Benefit Guaranty Corporation or any entity succeeding to any
or all of its functions under ERISA.

 

9

 

“Performance
Letter of Credit” has the meaning specified in Section 2.07(b).

 

“Permitted
Cover” means the provision of cover by arranging for the issuance of one or
more standby letters of credit issued by a bank (excluding the Lenders) located
in New York, and otherwise on terms and conditions, in each case satisfactory
to the Administrative Agent and the Issuing Lenders.

 

“Permitted
Investments” means, as at any date of determination, (i) marketable
securities (a) issued or directly and unconditionally guaranteed as to
interest and principal by the United States Government or (b) issued by
any agency of the United States the obligations of which are backed by the full
faith and credit of the United States, in each case maturing no more than one
year after such date; (ii) marketable direct obligations issued by any
state of the United States of America or any political subdivision of any such
state or any public instrumentality thereof, in each case maturing no more than
one year after such date and having, at the time of the acquisition thereof, a rating
of at least A-1 from S&P or at least P-1 from Moody’s; (iii) commercial
paper maturing no more than one year from the date of creation thereof and
having, at the time of the acquisition thereof, a rating of at least A-1 from
S&P or at least P-1 from Moody’s; (iv) certificates of deposit or
bankers’ acceptances maturing no more than one year after such date or
overnight bank deposits, in each case issued, accepted by or of any Lender, or
any commercial bank organized under the laws of the United States of America or
any state thereof or the District of Columbia that (a) is at least “adequately
capitalized” (as defined in the regulations of its primary Federal banking
regulator) and (b) has Tier 1 capital (as defined in such regulations) of
not less than $100,000,000; and (v) shares of any money market mutual fund
that (a) has its assets invested primarily and continuously in the types
of investments referred to in clauses (i) and (iv) above,
and (b) has net assets of not less than $500,000,000.

 

“Person”
means an individual, a corporation, a partnership, a limited liability company,
an association, a trust or any other entity or organization, including a
government or political subdivision or an agency or instrumentality thereof.

 

“Plan”
means at any time an employee pension benefit plan which is covered by Title IV
of ERISA or subject to the minimum funding standards under Section 412 of
the Code and is either (i) maintained by the Applicant Party or any
Subsidiary for employees of the Applicant Party or any Subsidiary or (ii) maintained
pursuant to a collective bargaining agreement or any other arrangement under
which more than one employer makes contributions and to which the Applicant
Party or any Subsidiary is then making or accruing an obligation to make
contributions or has within the preceding five plan years made contributions.

 

“Rating”
has the meaning specified in the definition of “Applicable Rate.”

 

“Regulation
U” means Regulation U of the FRB, as in effect from time to time.

 

“Related
Entity” has the meaning specified in Section 2.07(b).

 

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

 

10

 

“Required
Lenders” means, at any time, Lenders having more than 50% of the Aggregate
Commitments or, if the Commitment of each Lender to purchase participations in
Letters of Credit and the obligation of the Issuing Lenders to issue Letters of
Credit hereunder have been terminated pursuant to Section 6.02,
Lenders holding in the aggregate more than 50% of all LC Exposure (with the
aggregate amount of each Lender’s risk participation in LC Exposure being
deemed “held” by such Lender for purposes of this definition).

 

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

 

“SEC”
means the Securities and Exchange Commission, or any Governmental Authority succeeding
to any of its principal functions.

 

“Sole
Lead Arranger” means BNP Paribas Securities Corp. in its capacity as sole
lead arranger, and its successors in such capacity.

 

“Subsidiary”
of a Person means a corporation, partnership, joint venture, limited liability
company or other business entity of which a majority of the shares of
securities or other interests having ordinary voting power for the election of
directors or other governing body (other than securities or interests having
such power only by reason of the happening of a contingency) are at the time
beneficially owned, or the management of which is otherwise controlled,
directly, or indirectly through one or more intermediaries, or both, by such
Person.  Unless otherwise specified, all
references herein to a “Subsidiary” or to “Subsidiaries” shall refer to a
Subsidiary or Subsidiaries of the Applicant Party.

 

“Taxes”
has the meaning specified in Section 2.16(a).

 

“UCC”
means the Uniform Commercial Code as in effect from time to time under the laws
of the State of New York.

 

“Unfunded
Vested Liabilities” means, with respect to any Plan at any time, the amount
(if any) by which (i) the present value of all vested nonforfeitable
benefits under such Plan exceeds (ii) the fair market value of all Plan
assets allocable to such benefits, all determined as of the then most recent
valuation date for such plan, but only to the extent that such excess
represents a potential liability of a member of the Controlled Group to the
PBGC or the Plan under Title IV of ERISA.

 

“Utilization”
means, on any date, the total LC Exposure outstanding at such time.

 

“Utilization
Percentage” means, on any date, the quotient of (i) the Utilization on
such date, divided  by (ii) the Aggregate Commitments on such
date.

 

SECTION 1.02.     Other Definitional
Provisions.

 

(a)   All terms defined in this Agreement shall have the meanings given
such terms herein when used in the Credit Documents or any certificate, opinion
or other document made or delivered pursuant hereto or thereto, unless
otherwise defined therein.

 

11

 

(b)   As used in the Credit Documents and in any certificate, opinion or
other document made or delivered pursuant hereto or thereto, accounting terms
not defined in Section 1.01, and accounting terms partly defined in
Section 1.01, to the extent not defined, shall have the respective
meanings given to them under GAAP.

 

(c)   The words “hereof”, “herein”, “hereto” and “hereunder” and similar
words when used in this Agreement shall refer to this Agreement as a whole and
not to any particular provision of this Agreement, and Section, schedule and
exhibit references contained herein shall refer to Sections hereof or schedules
or exhibits hereto unless otherwise expressly provided herein.

 

(d)   The word “or” shall not be exclusive; “may not” is prohibitive and
not permissive.

 

(e)   Unless the context otherwise requires, words in the singular
number include the plural, and words in the plural include the singular.

 

(f)    Unless specifically provided in a Credit Document to the
contrary, references to time shall refer to San Francisco time.

 

ARTICLE II

 

LETTERS OF CREDIT

 

SECTION 2.01.      Intentionally Omitted.

 

SECTION 2.02.      Intentionally Omitted.

 

SECTION 2.03.      Intentionally Omitted.

 

SECTION 2.04.      Termination or Reduction of
Commitments.

 

(a)   Intentionally Omitted.

 

(b)   Intentionally Omitted.

 

(c)   Termination or Reduction of Commitments.  The Applicant Party may, upon notice to the
Administrative Agent, irrevocably terminate the Aggregate Commitments, or from
time to time permanently reduce the Aggregate Commitments; provided that
(i) any such notice shall be received by the Administrative Agent not
later than 11:00 a.m. (San Francisco time) five (5) Business Days
prior to the date of termination and one (1) Business Day prior to the
date of reduction, (ii) any such partial reduction shall be in an
aggregate amount of $10,000,000 or any whole multiple of $1,000,000 in excess
thereof, and (iii) the Applicant Party shall not terminate or reduce the
Aggregate Commitments if, after giving effect thereto and to any concurrent
prepayments hereunder, the aggregate LC Exposure (or the Dollar Equivalent
thereof) of all of the Lenders would exceed the Aggregate Commitments.  The Administrative Agent will promptly notify
the Lenders of any such notice of termination or reduction of the Aggregate
Commitments.  Any reduction of the
Aggregate Commitments shall be applied to the Commitment of each 

 

12

 

Lender according to its Applicable Percentage.  All fees
accrued in respect of the Aggregate Commitments until the effective date of any
termination or reduction of the Aggregate Commitments shall be paid on the
effective date of such termination or reduction, as applicable.

 

SECTION 2.05.     Default Interest.

 

(a)   Intentionally Omitted.

 

(b)   Intentionally Omitted.

 

(c)   Intentionally Omitted.

 

(d)   Default Interest.  Upon the occurrence and during the
continuance of an Event of Default, (i) fees payable under Sections 2.19(a) and
(b) shall accrue, after as well as before judgment, at a rate which
is 2% per annum in excess of the rate otherwise payable under this Agreement
and (ii) interest shall accrue, to the fullest extent permitted by law,
after as well as before judgment, and except as otherwise provided in Section 2.11,
on any overdue principal, interest or other amounts payable hereunder at a rate
that is 2% per annum in excess of the Base Rate.  Such interest and
other amounts shall be payable upon demand.  Payment or acceptance of the
increased rates of interest provided for in this Section 2.05(d) is
not a permitted alternative to timely payment and shall not constitute a waiver
of any Event of Default or otherwise prejudice or limit any rights or remedies
of the Administrative Agent, any Lender or any other Credit Party.

 

(e)   Intentionally Omitted.

 

(f)    Intentionally Omitted.

 

SECTION 2.06.     Intentionally Omitted.

 

SECTION 2.07.     Issuance of Letters of
Credit.

 

(a)   Letter of Credit Request. 
Subject to the terms and conditions set forth herein, the Applicant
Party may request the issuance of, and the applicable Issuing Lender, in
reliance on the agreements of the Lenders set forth in Section 2.08
hereof, agrees to issue at any time and from time to time during the period
commencing on the Closing Date and ending on the date that is seven (7) Business
Days prior to the Maturity Date, Letters of Credit for the account of the
Applicant Party or for the account of the Applicant Party on behalf of, or in
support of obligations of,  any of the
Related Entities as described under Section 2.07(b).  To request the issuance of a Letter of
Credit, the Applicant Party shall deliver to the applicable Issuing Lender and
the Administrative Agent (reasonably in advance of the requested date of
issuance, and, in any event, not less than five (5) Business Days prior to
such requested date of issuance) a notice requesting the issuance of such
Letter of Credit and specifying the date of issuance (which shall be a Business
Day), the address of the beneficiary thereof, the amount and currency of such
Letter of Credit, the type of such Letter of Credit (Performance Letter of
Credit or Backing Letter of Credit) and such other information as shall be
necessary to prepare such Letter of Credit (and the Administrative Agent shall
promptly provide notice to each Lender of each issuance of a Letter of Credit
hereunder).  To request the amendment of
a Letter of Credit, the Applicant Party shall deliver to the applicable Issuing
Lender and the Administrative Agent (reasonably in advance of the requested
date of amendment, and, in any event, not less than three (3) Business
Days prior to such requested date of amendment) a notice requesting the
amendment of such Letter of Credit 

 

13

 

and specifying such other information as shall be
necessary to prepare such amendment (and the Administrative Agent shall
promptly provide notice to each Lender of each amendment of a Letter of Credit
hereunder).  Notwithstanding anything to
the contrary contained herein, no Issuing Lender shall issue or amend any
Letter of Credit if, after giving effect to such issuance or amendment, the
aggregate LC Exposure (or the Dollar Equivalent thereof) shall exceed the
Aggregate Commitments at such time.  The
applicable Issuing Lender shall obtain confirmation of the immediately
preceding sentence in writing  from
the Administrative Agent prior to issuing or amending any Letter of Credit
hereunder.

 

(b)   Terms of Letters of Credit.  Each Letter of Credit shall expire on an
expiry date (such date being the “Expiration Date”) not later than the
seventh (7th) Business Day
prior to the Maturity Date.  In the event
that the applicable Issuing Lender’s office is closed on the applicable
Expiration Date, such date shall be extended to the next Business Day on which
such office is open.  Letters of Credit
shall be issued hereunder as follows: (a) to support the Applicant Party’s,
its Subsidiaries’, its Affiliates’ and Joint Ventures’ (such Subsidiaries,
Affiliates and Joint Ventures, collectively, the “Related Entities” and
each, a “Related Entity”) performance under specific project
engineering, procurement, construction and maintenance contracts (each, a “Performance
Letter of Credit”) and (b) to back bank guarantees issued by other
banks to support such performance (each, a “Backing Letter of Credit”)
so long as the applicable Issuing Lender, in its sole discretion, determines: (i) that
such issuance is lawful and such Backing Letters of Credit qualify as
independent undertakings for regulatory purposes and (ii) that such
issuance does not violate any terms or provisions of this Agreement; provided
that all standby Letters of Credit must qualify as performance based letters of
credit under applicable rules and regulations.  Each Letter of Credit
shall be denominated in Dollars or in a Foreign Currency.  The face or stated amount of each Letter of
Credit shall not be less than $100,000 (or the Exchange Equivalent thereof
determined as of the date of issuance) or such lesser amount as is acceptable
to the applicable Issuing Lender.  At no
time shall the aggregate outstanding principal amount of the aggregate LC
Exposure (or the Dollar Equivalent thereof) of all of the Lenders exceed the
Aggregate Commitments.  The applicable
Issuing Lender shall not be under any obligation to issue or amend any Letter
of Credit if (i) the issuance or amendment of such Letter of Credit would
violate one or more policies of the applicable Issuing Lender or (ii) any
order, judgment or decree of any Governmental Authority or arbitrator shall by
its terms purport to enjoin or restrain the applicable Issuing Lender from
issuing or amending such Letter of Credit, or any law applicable to such
Issuing Lender or any request or directive from any Governmental Authority with
jurisdiction over such Issuing Lender shall prohibit, or request that such
Issuing Lender refrain from, the issuance of letters of credit generally or
such Letter of Credit in particular.  In
the event of any inconsistency between the terms and conditions of any
Application delivered by the Applicant Party pursuant to Section 3.02
and the terms and conditions of this Agreement, the terms and conditions of
this Agreement shall control.  The
applicable Issuing Lender will promptly deliver to the Administrative Agent a
true and complete copy of each Letter of Credit issued by it hereunder and each
amendment thereto.

 

(c)   Letters of Credit Issued on behalf of Related Entities.  Notwithstanding that a Letter of Credit issued
or outstanding hereunder is in support of any obligations of, or is for the
account of the Applicant Party on behalf of a Related Entity, the Applicant
Party shall be unconditionally obligated to reimburse the applicable Issuing
Lender hereunder for any and all drawings under such Letter of Credit relating
thereto.  The Applicant Party will, at
its expense, promptly execute, acknowledge and deliver such further documents
and do such other acts and 

 

14

 

things as the Administrative Agent or the applicable
Issuing Lender may reasonably request in order to effect fully the purposes of
this Section 2.07(c).

 

(d)   Applicability of ISP.  Unless otherwise expressly agreed
by the applicable Issuing Lender and the Applicant Party when a Letter of
Credit is issued, the rules of the ISP shall apply to each Letter of
Credit.

 

SECTION 2.08.     Participations in Letters of
Credit.

 

Upon the issuance of any Letter of Credit (or
upon a Person becoming a Lender hereunder), in each case without any further
action on the part of the Issuing Lenders or the Lenders, the applicable
Issuing Lender hereby grants to each Lender, and each Lender hereby acquires
from the applicable Issuing Lender, a participation in such Letter of Credit
equal to such Lender’s Applicable Percentage of the aggregate amount available
to be drawn under such Letter of Credit. 
In consideration and in furtherance of the foregoing, each such Lender
hereby absolutely and unconditionally agrees to pay to the Administrative
Agent, for the account of the applicable Issuing Lender, such Lender’s
Applicable Percentage of each LC Disbursement made by the applicable Issuing
Lender and not reimbursed for any reason by the Applicant Party on the date due
as provided in Section 2.09 hereof, or of any reimbursement payment
required to be refunded to the Applicant Party for any reason.  Each Lender acknowledges and agrees that its
obligation to acquire participations and make payments pursuant to this
paragraph in respect of each Letter of Credit is absolute and unconditional and
shall not be affected by any circumstance whatsoever (other than the issuance
of any Letter of Credit in excess of the amounts described in Section 2.07(a) as
of the date of issuance and other than amendments to any Letter of Credit in
violation of Section 8.05 to provide for an Expiration Date
subsequent to the Maturity Date), including the occurrence and continuance of a
Default or such participation or payment exceeding such Lender’s Commitments or
the Aggregate Commitments by reason of currency fluctuations, and that each
such payment shall be made without any offset, abatement, withholding or
reduction whatsoever.

 

SECTION 2.09.     Reimbursement in Respect of
Letters of Credit.

 

(a)   Reimbursement Obligations. 
If any Issuing Lender shall make any LC Disbursement, such Issuing
Lender shall promptly notify the Applicant Party of such LC Disbursement, and
the Applicant Party shall reimburse such Issuing Lender in an amount equal to
such LC Disbursement by paying such Issuing Lender in Dollars an amount equal
to such LC Disbursement (or the Dollar Equivalent thereof, as applicable): (i) not
later than 12:00 noon (San Francisco time) on the Business Day immediately
following the date that such Issuing Lender notifies the Applicant Party that
such LC Disbursement is made by such Issuing Lender or (ii), if the Applicant
Party shall have received notice of such LC Disbursement later than 12:00 noon
(San Francisco time) on any Business Day or on a day that is not a Business
Day, not later than 12:00 noon (San Francisco time) on the second immediately
following Business Day.  If the Applicant
Party fails to make such payment under this paragraph at the time specified in
the preceding sentence, (i) an Event of Default shall have occurred upon
such failure to make payment, (ii) the applicable Issuing Lender shall
notify each Lender and the Administrative Agent of the applicable LC
Disbursement, the payment in Dollars then due from the Applicant Party in
respect thereof and such Lender’s Applicable Percentage thereof and (iii) each
Lender shall forthwith pay to the applicable Issuing Lender in Dollars its
Applicable Percentage of the 

 

15

 

unreimbursed LC Disbursement (x) not later than
12:00 noon (San Francisco time) on the Business Day that such Issuing Lender
provides such notice of such LC Disbursement to each Lender and the
Administrative Agent (if such notice is provided by 8:00 a.m. (San
Francisco time)) and (y) not later than 12:00 noon (San Francisco time) on
the Business Day immediately following the date that such Issuing Lender
provides such notice (if such notice is provided after 8:00 a.m. (San
Francisco time)).  The amounts set forth
in such notice shall be conclusive absent manifest error.  If any amount required to be paid by any
Lender in respect of an unreimbursed LC Disbursement pursuant to this Section 2.09
is not made available to the applicable Issuing Lender by such Lender on the
date such payment is due (the “due date”), the applicable Issuing Lender
shall be entitled to recover from such Lender, on demand, such amount with
interest thereon calculated from the due date at the greater of the Federal
Funds Rate and a rate determined by the Administrative Agent in accordance with
banking industry rules on interbank compensation.  Promptly following receipt by the applicable
Issuing Lender of any payment from the Applicant Party pursuant to this Section 2.09,
to the extent that Lenders have made payments pursuant to this Section 2.09
to reimburse such Issuing Lender, then such Issuing Lender shall distribute
such payment received from the Applicant Party to such Lenders as their
interests may appear.  Any payment made
by a Lender pursuant to this paragraph to reimburse any Issuing Lender for any
LC Disbursement shall not relieve the Applicant Party of its obligation to
reimburse such LC Disbursement.  Each
Lender acknowledges and agrees that its obligations under this Section 2.09
shall survive the payment by the Applicant Party of all LC Disbursements and
any termination of this Agreement. 
Without limiting the foregoing, in the event that any reimbursement of
an LC Disbursement by the Applicant Party to any Issuing Lender is required to
be repaid to the Applicant Party (pursuant to a proceeding in bankruptcy or
otherwise), then the applicable Issuing Lender shall continue to be entitled to
recover from each Lender, on demand, the portion of such repaid amount as shall
be determined in accordance with this Section 2.09.

 

(b)   Obligations Absolute. 
Subject to the provisions of this Agreement, the Applicant Party’s
obligation to reimburse LC Disbursements as provided in Section 2.09(a) shall
be absolute, unconditional and irrevocable and shall be performed strictly in
accordance with the terms of this Agreement under any and all circumstances
whatsoever and irrespective of (i) any lack of validity or enforceability
of any Letter of Credit or this Agreement, or any term or provision therein or
herein, (ii) any draft or other document presented under any Letter of
Credit proving to be forged, fraudulent or invalid in any respect or any
statement therein being untrue or inaccurate in any respect, (iii) payment
by any Issuing Lender under any Letter of Credit against presentation of a
draft or other document that does not comply with the terms of such Letter of
Credit, (iv) the existence of any claim, setoff, defense or other right
that the Applicant Party or any Subsidiary or Affiliate thereof may at any time
have against any beneficiary of any Letter of Credit, any Credit Party or any
other Person, whether under this Agreement or any other related or unrelated
agreement or transaction, or (v) any other event or circumstance
whatsoever, whether or not similar to any of the foregoing, that might, but for
the provisions of this Section 2.09, constitute a legal or
equitable discharge of, or provide a right of setoff against, the Applicant
Party’s obligations hereunder. The Lenders, the Issuing Lenders and the
Administrative Agent shall not have any liability or responsibility by reason
of or in connection with the issuance or transfer of any Letter of Credit or
any payment or failure to make any payment thereunder (irrespective of any of
the circumstances referred to in the preceding sentence), or any error,
omission, interruption, loss or delay in transmission or delivery of any draft,
notice or other communication under or relating to any Letter of Credit
(including any document required to make a drawing thereunder), any error in
interpretation of technical terms or any consequence 

 

16

 

arising from causes beyond the control of any
Issuing Lender. The parties hereto expressly agree that, in the absence of
gross negligence or willful misconduct on the part of the applicable Issuing
Lender (as finally determined by a court of competent jurisdiction), such
Issuing Lender shall be deemed to have exercised care in each determination
relating to the foregoing. In furtherance of the foregoing and without limiting
the generality thereof, the parties agree that, with respect to documents
presented which appear on their face to be in substantial compliance with the
terms of any Letter of Credit, the applicable Issuing Lender may, in its sole
discretion, either accept and make payment upon such documents without
responsibility for further investigation, regardless of any notice or
information to the contrary, or refuse to accept and make payment upon such
documents if such documents are not in strict compliance with the terms of such
Letter of Credit.

 

SECTION 2.10.     Disbursement Procedures for
Letters of Credit; Reporting.

 

(a)   Disbursement Procedures for Letters of Credit.  The applicable Issuing Lender shall, promptly
following its receipt thereof, examine all documents purporting to represent a
demand for payment under a Letter of Credit. 
The applicable Issuing Lender shall promptly notify the Administrative
Agent and the Applicant Party by telephone (confirmed by telecopy) of such
demand for payment and whether such Issuing Lender has made or will make an LC
Disbursement thereunder; provided that any failure to give or delay in
giving such notice shall not relieve the Applicant Party of its obligation to
reimburse such Issuing Lender or the obligations of the Lenders with respect to
any such LC Disbursement.

 

(b)   Reporting.  Each
Issuing Lender shall, no later than the tenth (10th) Business Day following the last day of each month,
provide to the Administrative Agent (and the Administrative Agent shall forward
to the Lenders) schedules, in form and substance reasonably satisfactory to the
Administrative Agent, showing the date of issue, account party, applicable
currency, amount in such currency and Expiration Date for each Letter of Credit
issued by such Issuing Lender hereunder and outstanding at any time during such
month.

 

SECTION 2.11.     Interest on LC Disbursements
and Reimbursement of Other Amounts.

 

In
the event the Applicant Party fails to reimburse any applicable Issuing Lender
in full for any LC Disbursement by the time prescribed in Section 2.09(a),
an Event of Default shall have occurred and be continuing until such
reimbursement is made, (i) the unpaid or unreimbursed amount thereof shall
bear interest, for each day from and including the date such LC Disbursement is
made to but excluding the date that the Applicant Party reimburses such LC
Disbursement, after as well as before judgment, at a rate per annum equal to
the sum of (x) the Letter of Credit Fee and (y) the Base Rate plus
2.0%, and (ii) the Applicant Party shall also reimburse the applicable
Issuing Lender upon demand for any losses incurred by such Issuing Lender in
connection with changes in the foreign exchange rates as a result of the
Applicant Party’s failure to reimburse such LC Disbursement by the time
prescribed in Section 2.09(a). 
Interest accrued pursuant to this Section 2.11 shall be for
the account of the applicable Issuing Lender, except that interest accrued on
and after the date of payment by any Lender pursuant to Section 2.09(a) to
reimburse the applicable Issuing Lender shall be for the account of such Lender
to the extent of such payment.

 

17

 

SECTION 2.12.     Cash Collateralization.

 

(a)   Deposit of Collateral Upon an Event of Default.  If any Event of Default shall occur and be
continuing, then on the Business Day that the Applicant Party receives notice
from the Administrative Agent or the Required Lenders, as applicable, demanding
the deposit of cash collateral pursuant to this paragraph, the Applicant Party
shall deposit in an account with the Administrative Agent, in the name of the
Administrative Agent and for the benefit of the Lenders, an amount in cash in
Dollars equal to the Dollar Equivalent of the aggregate LC Exposure as of such
date plus any accrued and unpaid fees thereon; provided that (i) the
obligation to deposit such cash collateral shall become effective immediately,
and such deposit shall become immediately due and payable, without demand or other
notice of any kind, upon the occurrence of any Event of Default described in paragraph
(g) or (h) of Section 6.01 and (ii) the
Applicant Party shall be obligated, from time to time and upon demand by the
Administrative Agent, to deposit additional amounts into said account in cash
in Dollars as necessary to maintain an amount on deposit equal to the amount
(including, with respect to LC Exposure denominated in Foreign Currencies, the
Dollar Equivalent thereof) of the total aggregate LC Exposure plus any
accrued and unpaid fees thereon (as determined at any time).

 

(b)   Deposit of Collateral for Foreign Exchange Differential.  In addition to the foregoing, if on any
Computation Date (as defined below): the Dollar Equivalent of aggregate LC
Exposure exceeds the Aggregate Commitments (any such excess amount, the “Excess”)
by, in any case, $10,000,000 or more, the Administrative Agent shall provide
notice thereof to the Applicant Party and demand the deposit of cash collateral
pursuant to this paragraph.  On the
Business Day on which the Applicant Party receives such notice, the Applicant
Party shall deposit in an account with the Administrative Agent, in the name of
the Administrative Agent and for the benefit of the Lenders and the Issuing
Lenders, an amount in cash in Dollars equal to the full amount of such Excess; provided
that the Applicant Party shall be obligated, from time to time and upon demand
by the Administrative Agent, to deposit additional amounts into said account in
cash in Dollars as necessary to maintain an amount on deposit equal to the
Excess (as determined at any time).  The
Administrative Agent shall produce copies of any calculations or reports
relating to the foregoing upon written request from the Applicant Party or any
Lender.  The Administrative Agent may,
and at the instruction of the Required Lenders shall, undertake such
calculations at any time; provided that in any event the Administrative
Agent shall undertake such calculations at least once per calendar quarter, and
the Administrative Agent shall not be required to undertake such calculations
more frequently than once per calendar month without its consent.  Each day upon or as of which the
Administrative Agent undertakes the calculations described above in this Section 2.12(b) is
referred to herein as a “Computation Date”.

 

(c)   Deposit of Collateral for Defaulting Lenders.  In addition to the foregoing, if any Lender
becomes a Defaulting Lender and while any LC Exposure exists, for so long as
such Lender is a Defaulting Lender and such LC Exposure exists, then within two
(2) Business Days following notice by the Administrative Agent demanding
the deposit of cash collateral pursuant to this paragraph, the Applicant Party
shall (i) deposit in an account with the Administrative Agent, in the name
of the Administrative Agent and for the benefit of the Lenders, and/or (ii) subject
to the following proviso (2), provide Permitted Cover, in each case an amount
in cash in Dollars equal to the Dollar Equivalent of such Defaulting Lender’s Applicable
Percentage of the aggregate LC Exposure as of such date; provided that (1) the
Applicant Party shall be obligated, from time to time and within two (2) Business
Days following notice by the Administrative Agent demanding the deposit of
additional cash collateral and/or Permitted Cover pursuant to this paragraph,
to deposit additional amounts into said account in cash in Dollars, and/or to
provide 

 

18

 

additional Permitted Cover, in each case as necessary
to maintain an amount on deposit and/or Permitted Cover equal to the Dollar
Equivalent of such Defaulting Lenders’ Applicable Percentage of the then
aggregate LC Exposure and (2) the foregoing option to provide Permitted
Cover in lieu of cash collateral shall only be available to the Applicant Party
for a period not to exceed one (1) month after such notice by the
Administrative Agent demanding deposit of cash collateral and upon the
expiration of such period, the Applicant Party shall deposit cash collateral in
the amount of such Defaulting Lender’s LC Exposure as contemplated by this
clause (c) and the failure to provide such deposit shall constitute an
Event of Default.  Payment by the
Applicant Party of such cash collateral or provision of Permitted Cover shall
not relieve the Defaulting Lender of its obligations hereunder, and the
Applicant Party shall retain all of its rights and remedies hereunder and under
applicable law against any such Defaulting Lender.

 

(d)   Cash Collateral Accounts. 
Each deposit and Permitted Cover under Sections 2.12(a), (b) and
(c) shall be held by the Administrative Agent (subject to Section 7.09)
as collateral for the payment and performance of the obligations of the
Applicant Party under this Agreement. The Administrative Agent shall have
exclusive dominion and control, including the exclusive right of withdrawal,
over such account. If required by the Administrative Agent, the Applicant Party
shall enter into any pledge or security agreement and UCC financing statement with
respect to such cash collateral in favor of the Administrative Agent as the
Administrative Agent shall reasonably require. 
Such deposits shall be invested in Permitted Investments selected by the
Administrative Agent in its sole discretion. 
All losses and expenses incurred as a result of such activities shall be
for the account of the Applicant Party. 
Interest or profits, if any, on such investments shall accumulate in
such accounts.  Moneys in such accounts
may be applied by the Administrative Agent (at its sole discretion) (i) to
reimburse each Issuing Lender for LC Disbursements for which it has not been
reimbursed; and (ii) to the extent not so applied, may be held for the
satisfaction of the reimbursement obligations of the Applicant Party for the LC
Exposure at such time or any other Obligations or to cover any losses in
respect of any Excess, provided that moneys in such accounts relating to
the Applicant Party’s obligations under Section 2.12(c) shall
be applied by the Administrative Agent to reimburse the Issuing Lenders on a
ratable basis for the applicable Defaulting Lender’s Applicable Percentage of
LC Disbursements for which the Issuing Lenders have not been reimbursed.  If the Applicant Party is required to provide
an amount of cash collateral hereunder as a result of the occurrence of an
Event of Default, and all Defaults are subsequently cured or waived and no
Excess is then in existence, such amount (to the extent not applied as
aforesaid) shall be returned to the Applicant Party within three Business Days
after request therefor by the Applicant Party. 
If the Applicant Party is required to provide an amount of cash
collateral hereunder as a result of any Excess, and the Administrative Agent
shall subsequently determine that the amount of such Excess is equal to or less
than the amount on deposit in respect of the existence of such Excess, provided
there is no Default then in existence, such excess amount of cash, if greater
than $1,000,000 (to the extent not applied as aforesaid), shall be returned to
the Applicant Party within three (3) Business Days after request therefor
by the Applicant Party.  If the Applicant
Party is required to provide an amount of cash collateral hereunder as a result
of any Lender becoming a Defaulting Lender, and such Lender ceases to be a
Defaulting Lender or the LC Exposure is subsequently reduced such that the
amount of cash collateral provided therefor exceeds such Defaulting Lender’s
Applicable Percentage of the LC Exposure, such cash collateral (or excess amount
of cash collateral, if applicable), to the extent not previously applied to the
Defaulting Lender’s obligations hereunder, shall be returned to the Applicant
Party within three (3) Business Days after request therefor by the
Applicant Party.

 

19

 

(e)   Custody of Cash Collateral.  Beyond the exercise of reasonable care in the
custody thereof and investment of cash collateral deposits pursuant to the
terms hereof, the Administrative Agent shall have no duty as to any cash
collateral in its possession or control or in the possession or control of any
agent or bailee or any income thereon or as to the preservation of rights
against prior parties or any other rights pertaining thereto.  The Administrative Agent shall be deemed to
have exercised reasonable care in the custody and preservation of the cash
collateral in its possession if the cash collateral is accorded treatment
substantially equal to that which it accords its own property and shall not be
liable or responsible for any loss or damage to any of the cash collateral or
for any diminution in the value thereof by reason of the act or omission of any
agent or bailee selected by the Administrative Agent in good faith.  All expenses and liabilities incurred by the
Administrative Agent in connection with taking, holding and disposing of any
cash collateral (including customary custody and similar fees with respect to
any cash collateral held directly by the Administrative Agent), shall be paid
by the Applicant Party from time to time upon demand.

 

SECTION 2.13.      Obligations.

 

Anything in this Agreement to the contrary
notwithstanding, each of the Applicant Party and each Lender shall continue to
be bound by all of its obligations hereunder, including without limitation, its
obligations under Sections 2.08 and 2.09, until such time as each
Letter of Credit has expired and no further Obligation, LC Exposure or
Commitment exists.

 

SECTION 2.14.      General Provisions as to
Payments.

 

(a)   Manner and Time of Payment.  The Applicant Party shall make each payment
hereunder (including, without limitation, in respect of the LC Disbursements),
and interest thereon, and all fees due in respect of the transactions
contemplated by this Agreement in Dollars in Federal or other funds immediately
available in San Francisco, to the Administrative Agent at its address referred
to in Section 8.01(a). 
Whenever any such payment shall be due on a day which is not a Business
Day, the date for payment thereof shall be extended to the next succeeding
Business Day, and such extension of time shall in such case be included in the
computation of payment of interest or additional compensation. If the date for
any payment of principal is extended by operation of law or otherwise, interest
thereon shall be payable for such extended time.  Any payment made by the Applicant Party after
12:00 noon (San Francisco time) on any day shall be deemed to have been made on
the next Business Day for the purpose of calculating interest on amounts
outstanding in respect of any Obligations. 
All payments required to be made by the Applicant Party hereunder shall
be made in Dollars and shall be made without setoff or counterclaim.

 

(b)   Application of Payments to
Principal and Interest.  All
payments in respect of the principal amount of any Obligations hereunder shall
include payment of accrued interest on the principal amount being repaid or
prepaid, and all such payments (and, in any event, any payments in respect of
any Obligations on a date when interest is due and payable with respect to such
Obligations) shall be applied to the payment of interest before application to
principal.

 

(c)   Apportionment of Payments.  The Administrative Agent will promptly
distribute to each Lender its ratable share of each payment received by the
Administrative Agent which is for the account of the Lenders.

 

20

 

(d)   Application of Funds.   (i) All payments received from the
Applicant Party by the Administrative Agent which are not reasonably
identifiable by the Administrative Agent shall be applied by the Administrative
Agent against the Obligations, and (ii) any amounts received on account of
the Obligations after the exercise of remedies provided for in Section 6.02
(or after the LC Exposure has automatically been required to be cash
collateralized as set forth in the proviso to Section 6.02), in
each case in the following order of priority: (A) to the payment of all
amounts for which the Administrative Agent is entitled to compensation,
reimbursement and indemnification under any Credit Document and all advances
made by the Administrative Agent thereunder for the account of the Applicant
Party, and to the payment of all reasonable costs and expenses paid or incurred
by the Administrative Agent in connection with the Credit Documents, all in
accordance with Sections 7.06 and 8.03 and the other terms of
this Agreement and the Credit Documents; (B) thereafter, to the extent of
any excess such proceeds, to the payment of all other Obligations for the
ratable benefit of the holders thereof (subject to the provisions of Section 2.14(b) hereof);
and (C) thereafter, to the extent of any excess such proceeds, to the
Applicant Party or as otherwise required by applicable law.

 

(e)   Obligations of Lenders
Several.  The obligations of the Lenders
hereunder to fund participations in Letters of Credit and to make payments
pursuant to Section 7.06 are several and not joint.  The failure of any Lender to fund any such
participation or to make any payment under Section 7.06 on any date
required hereunder shall not relieve any other Lender of its corresponding
obligation to do so on such date, and no Lender shall be responsible for the
failure of any other Lender to purchase its participation or to make its
payment under Section 7.06.

 

SECTION 2.15.      Computation of Interest and
Fees.

 

Interest
on all amounts owed hereunder shall be computed on the basis of a year of 360
days, except that interest computed by reference to the Base Rate (calculated
at other than the Federal Funds Rate or the Eurodollar Rate) shall be computed
on the basis of a year of 365 days or, if appropriate, 366 days, and in each
case all interest hereunder shall be payable for the actual number of days
elapsed (including the first day but excluding the last day). All fees due and
payable hereunder shall, unless expressly otherwise provided for, be computed
on the basis of a year of 360 days for the actual number of days elapsed.

 

SECTION 2.16.      Taxes; Net Payments.

 

(a)   Net Payments.  Any and all payments by the Applicant Party
under this Agreement shall be made free and clear of and without deduction for
any and all current or future taxes, levies, imposts, deductions, charges or
withholdings and all liabilities with respect thereto excluding (i) income
taxes imposed on the net income of any Credit Party; and (ii) franchise
taxes imposed on the net income of any Credit Party, in each case by the
jurisdiction under the laws of which such Credit Party is organized, domiciled,
resident or doing business or any political subdivision thereof (all such
non-excluded taxes, levies, imposts, deductions, charges, withholdings and
liabilities, collectively or individually, “Taxes”).  If the Applicant Party shall be required to
deduct any Taxes from or in respect of any sum payable hereunder to a Lender (i) the
sum payable shall be increased by the amount (an “additional amount”)
necessary so that after making all required deductions such Lender shall
receive an amount equal to the sum it would have received had no such
deductions been made, (ii) the Applicant Party shall make such deductions
and (iii) the Applicant Party shall pay the full amount deducted to the
relevant 

 

21

 

governmental authority in accordance with applicable
law.  Within thirty (30) days after the
date of any payment of Taxes pursuant to this paragraph (a), the
Applicant Party shall furnish to the Administrative Agent a receipt issued by
the relevant Governmental Authority or other evidence satisfactory to the
Administrative Agent of payment thereof. 
The Applicant Party will indemnify each Lender (subject to such Lender
having complied with paragraph (b) below) and hold each Lender
harmless for the full amount of all Taxes paid or payable by such Lender with
respect to this Agreement and any and all amounts received by such Lender
hereunder, and any liability (including penalties, interest and expenses
(including reasonable attorneys fees and expenses)) arising therefrom or with
respect thereto whether or not such Taxes were correctly or legally asserted by
the relevant Governmental Authority.  A
certificate as to the amount of such payment or liability prepared by such
Lender, absent manifest error, shall be final, conclusive and binding for all
purposes. The obligations of the Applicant Party under this Section 2.16
shall survive the termination of this Agreement and the Commitments and the
payment of all amounts payable under the Credit Documents.

 

(b)   Evidence of Exemption from
Withholding.  Each Lender
which is a foreign corporation within the meaning of Section 1442 of the
Code, including the Administrative Agent acting as an intermediary or agent for
such a Lender (each, a “Foreign Lender”), shall deliver to the Applicant
Party such certificates, documents or other evidence as the Applicant Party may
reasonably require from time to time as are necessary to establish that such
Foreign Lender is not subject to withholding under Section 1441 or 1442 of
the Code or as may be necessary to establish, under any law hereafter imposing
upon the Applicant Party, an obligation to withhold any portion of the payments
made by the Applicant Party under the Credit Documents, that payments to the
Administrative Agent for the account of such Foreign Lender are not subject to
withholding, in any event to include: (i) two original copies of Internal
Revenue Service Form W-8BEN, W-8ECI or W-8IMY, as appropriate (or any
successor forms), properly completed and duly executed by such Foreign Lender,
and such other documentation required under the Code and reasonably requested
by the Applicant Party, to establish that such Foreign Lender is not subject to
deduction or withholding of United States federal income tax with respect to
any payments to such Foreign Lender of principal, interest, fees or other amounts
payable under any of the Credit Documents, or (ii) if such Foreign Lender
is not a “bank” or other Person described in Section 881(c)(3) of the
Code and cannot deliver either Internal Revenue Service Form W-8BEN (to
the extent such form would document a claim or exemption from withholding
pursuant to an applicable income tax treaty) or W-8ECI or W-8IMY pursuant to
clause (i) above, a Certificate re Non-Bank Status together with two
original copies of Internal Revenue Service Form W-8BEN (or any successor
form) (to the extent such forms document the status of the Foreign Lender as
other than a United States Person), properly completed and duly executed by
such Foreign Lender, and such other documentation required under the Code and
reasonably requested by the Applicant Party to establish that such Foreign
Lender is not subject to deduction or withholding of United States federal
income tax with respect to any payments to such Foreign Lender of principal,
interest, fees or other amounts payable under any of the Credit Documents.   If the form provided by a Lender at the time
such Lender first becomes a party to this Agreement indicates a United States
interest withholding tax rate in excess of zero, interest withholding tax at
such rate shall be considered excluded from “Taxes” as defined in Section 2.16(a).

 

22

 

SECTION 2.17.      Increased Costs.

 

(a)   Change in Law, Etc.  In the event that any law, regulation, treaty
or directive hereafter enacted, promulgated, approved or issued or any change
in any currently existing law, regulation, treaty or directive therein or in
the interpretation or application thereof by any Governmental Authority charged
with the administration thereof or compliance by any Credit Party (or any
Person directly or indirectly owning or controlling such Credit Party) with any
request or directive, whether or not having the force of law, from any central
bank or other Governmental Authority, agency or instrumentality:

 

(i)            does or shall subject any
Credit Party to any Taxes of any kind whatsoever with respect to its
obligations under this Agreement to make, fund or maintain any Letter of Credit
or participation therein, or its obligations under this Agreement to issue a
Letter of Credit or participate therein, or change the basis of taxation of
payments to any Credit Party of principal, interest or any other amount payable
hereunder in respect of any Letter of Credit or participations therein,
including any Taxes required to be withheld from any amounts payable under the
Credit Documents (except for imposition of, or change in the rate of, tax on
the overall net income of such Credit Party or its Lending Office by the
jurisdiction in which such Credit Party is incorporated or has its principal office
or such Lending Office, including, in the case of Credit Parties incorporated
in any State of the United States such tax imposed by the United States); or

 

(ii)           does or shall impose, modify
or make applicable any reserve, special deposit, compulsory loan, assessment,
increased cost or similar requirement against assets held by, or deposits of,
or advances or loans by, or other credit extended by, or any other acquisition
of funds by, any office of such Credit Party in respect of any Letter of Credit
or participations therein (except any such reserve requirement reflected in the
definition of Eurodollar Rate);

 

and
the result of any of the foregoing is to increase the cost to such Credit Party
of agreeing to make or of making, issuing, renewing, creating or maintaining
any Letter of Credit or participation therein, or its commitment to lend or to
issue or create any such Letter of Credit or participate therein, or to reduce
any amount receivable hereunder in respect of any Letter of Credit or
participation therein, then, in any such case, the Applicant Party shall pay
such Credit Party, upon its demand, any additional amounts necessary to
compensate such Credit Party for such additional cost or reduction in such
amount receivable which such Credit Party deems to be material as determined by
such Credit Party.  A statement setting
forth the calculations of any additional amounts payable pursuant to the
foregoing sentence submitted by a Credit Party to the Applicant Party shall be
conclusive absent manifest error.  The
obligations of the Applicant Party under this Section 2.17 shall
survive the termination of this Agreement and the Commitments and payment of
the Obligations and all other amounts payable under the Credit Documents.  Failure to demand compensation pursuant to
this Section 2.17 shall not constitute a waiver of such Credit
Party’s right to demand such compensation. 
To the extent that any increased costs of the type referred to in this Section 2.17
are being incurred by a Credit Party and such costs can be eliminated or
reduced by the transfer of such Credit Party’s participation or Commitment to
another of its branches, and to the extent that such transfer is not
inconsistent with such Credit Party’s internal policies of general application
and only if, as determined by such Credit Party in its sole discretion, the
transfer of such participation or Commitment, as the case may be, would 

 

23

 

not
otherwise materially adversely affect such participation or such Credit Party,
the Applicant Party may request, and such Lender shall use reasonable efforts
to effect, such transfer.

 

(b)   Capital Adequacy.  If after the date hereof, any Lender shall
have determined that 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 with the interpretation or
administration thereof, or compliance by any Lender (or its Lending Office)
with any request or directive regarding capital adequacy (whether or not having
the force of law) of any such Governmental Authority, central bank or
comparable agency, has or would have the effect of reducing the rate of return
on such Lender’s capital as a consequence of its obligations hereunder to a
level below that which such Lender could have achieved but for such adoption,
change or compliance (taking into consideration such Lender’s policies with
respect to capital adequacy) by an amount deemed by such Lender to be material,
then from time to time, within 10 days after demand by such Lender (with a copy
to the Administrative Agent), the Applicant Party shall pay to such Lender such
additional amount or amounts as will compensate such Lender for such reduction.

 

(c)   Notification.  Each Lender will promptly notify the
Applicant Party and the Administrative Agent of any event of which it has
knowledge, occurring after the date hereof, which will entitle such Lender to
compensation pursuant to this Section 2.17. A certificate of any
Lender claiming compensation under this Section 2.17 and setting
forth the additional amount or amounts to be paid to it hereunder shall be
conclusive in the absence of manifest error.

 

SECTION 2.18.      Illegality.

 

Notwithstanding
anything herein to the contrary, no Issuing Lender shall at any time be
obligated to issue a Letter of Credit or agree to any extension or amendment
thereof if such issuance, creation, extension or amendment would conflict with,
or cause any Issuing Lender to exceed any limits imposed by, any law or
requirements of any applicable Governmental Authority.

 

SECTION 2.19.      Fees.

 

(a)   The Applicant Party agrees
to pay to the Administrative Agent, for the account of each Lender in
accordance with its Applicable Percentage, a commitment fee (the “Commitment
Fee”) equal to the sum of (i) the product of the Applicable Rate then
in effect (as set forth in the column titled “Applicable Rate for Commitment
Fee” in the grid set forth in the Applicable Rate definition) times the
average daily amount by which (x) the Aggregate Commitments in effect from
time to time exceed (y) the Utilization from time to time, plus, if
any Escalating LC is then outstanding, (ii) the product of (x) the
Applicable Rate then in effect (as set forth in the column titled “Applicable
Rate for Commitment Fee” in the grid set forth in the Applicable Rate
definition) multiplied by 150% times (y) the difference between (I) the
maximum amount (after giving effect to all possible increases) available to be
drawn under all Escalating LCs and (II) the amount then available to be
drawn under all Escalating LCs.  The
Commitment Fee shall accrue at all times during the Availability Period,
including at any time during which one or more of the conditions in Article III
is not met, and shall be payable in arrears on the last Business Day of March,
June, September and December of each year, 

 

24

 

commencing on the first such date to occur after the
Closing Date, and on the last day of the Availability Period.

 

(b)   The Applicant Party agrees
to pay to the Administrative Agent, for the account of each Lender in
accordance with its Applicable Percentage, a letter of credit fee (the “Letter
of Credit Fee”), calculated daily with respect to such Lender’s
participations in Letters of Credit issued hereunder, equal to the product of (i) the
Applicable Rate then in effect (as set forth in the column titled “Applicable
Rate for Letter of Credit Fee” in the grid set forth in the definition of
Applicable Rate) times (ii) the actual daily maximum face or stated
amount of each Letter of Credit outstanding (in the case of any Escalating LC,
such amount shall equal the amount then available to be drawn under such
Escalating LC).  Letter of Credit Fees
payable pursuant to this paragraph (b) shall be payable in arrears
on the last Business Day of March, June, September and December of
each year, commencing on the first such date to occur after the Closing Date; provided
that all such fees shall be payable on the date on which all Commitments
terminate and any such fees accruing after the date on which all Commitments
terminate shall be payable on demand. 
The sum of each daily calculation, if in a currency other than Dollars,
shall be converted to the Dollar Equivalent thereof on the date the applicable
payment is due.

 

(c)   The Applicant Party agrees
to pay directly to each Issuing Lender, for its own account, a fronting fee with respect to each Letter of Credit issued
by such Issuing Lender, at the rate per annum separately agreed upon
between the Applicant Party and such Issuing Lender, computed on the maximum face or stated amount of such Letter of
Credit (in the case of any Escalating LC, such amount shall equal the amount
then available to be drawn under such Escalating LC) on a quarterly basis in
arrears.  Such fronting fee payable to
any Issuing Lender shall be payable in arrears on the last Business Day of
March, June, September and December of each year, commencing on the
first such date to occur after the Closing Date; provided that all such
fees shall be payable on the date on which all Commitments terminate and any
such fees accruing after the date on which all Commitments terminate shall be
payable on demand.  In addition, the
Applicant Party shall pay directly to each Issuing Lender, for its own account,
such Issuing Lender’s standard fees with respect to the issuance, amendment,
renewal or extension of any Letter of Credit or processing of drawings
thereunder in the amounts and at the times separately agreed upon.

 

(d)   In addition to any of the
foregoing fees, the Applicant Party agrees to pay to the Administrative Agent,
the Lead Arranger and their Affiliates such other fees in the amounts and at
the times separately agreed upon.

 

(e)   All fees payable hereunder
shall be paid on the dates due, in Dollars and in immediately available funds,
to the Administrative Agent (or to the applicable Issuing Lender, in the case
of fees payable to it) for distribution, in the case of Commitment Fees and
Letter of Credit Fees, to the Lenders. 
Fees paid shall not be refundable under any circumstances.  Any fee not due on a specific date shall be
due on demand.

 

SECTION 2.20.      Evidence of Debt.

 

(a)   Intentionally Omitted.

 

25

 

(b)   The Administrative Agent
shall maintain accounts in which it shall record (i)  the amount of any
principal or interest due and payable or to become due and payable from the Applicant
Party to each Lender hereunder and (ii) the amount of any sum received by
the Administrative Agent hereunder for the account of the Lenders and each
Lender’s share thereof.

 

(c)   The entries made in the
accounts maintained pursuant to paragraph  (b) of this Section shall
be prima  facie evidence of the existence and amounts of the
obligations recorded therein; provided that the failure of any Lender or
the Administrative Agent to maintain such accounts or any error therein shall
not in any manner affect the obligation of the Applicant Party to repay the LC
Disbursements in accordance with the terms of this Agreement.

 

SECTION 2.21.      Use of Proceeds.

 

No portion of the proceeds of any borrowing under this Agreement shall
be used by the Applicant Party or any of its Subsidiaries in any manner that
might cause the borrowing or the application of such proceeds to violate
Regulation U or any other regulation of the FRB or to violate the Securities
Exchange Act of 1934, as amended from time to time, and any successor statute,
in each case as in effect on the date or dates of such borrowing and such use
of proceeds.

 

SECTION 2.22.      Defaulting Lenders.  Notwithstanding any provision of this
Agreement to the contrary, if any Lender becomes a Defaulting Lender, then the
following provisions shall apply for so long as such Lender is a Defaulting
Lender:

 

(a)   if any LC Exposure exists at
the time a Lender is a Defaulting Lender, the Applicant Party shall within two (2) Business
Days following notice by the Administrative Agent cash collateralize or (to the
extent permitted by Section 2.12(c)) provide Permitted Cover for
such Defaulting Lender’s LC Exposure in accordance with the procedures set
forth in Section 2.12 for so long as such LC Exposure is
outstanding;

 

(b)   the Commitment and LC
Exposure of such Defaulting Lender shall not be included in determining whether
all Lenders or the Required Lenders have taken or may take any action hereunder
(including any consent to any amendment or waiver pursuant to Section 8.05),
provided that any waiver, amendment or modification extending or increasing the
Commitment of such Defaulting Lender or reducing the principal of any LC
Disbursement made by such Defaulting Lender shall require the consent of such
Defaulting Lender;

 

(c)   if the Applicant Party cash
collateralizes or provides (to the extent permitted by Section 2.12(c))
Permitted Cover for any portion of such Defaulting Lender’s LC Exposure
pursuant to the foregoing clause (a), the Applicant Party shall not be
required to pay the Letter of Credit Fees to such Defaulting Lender pursuant to
Section 2.19(b) with respect to such Defaulting Lender’s LC
Exposure during the period such Defaulting Lender’s LC Exposure is cash
collateralized or covered by Permitted Cover; and

 

(d)   no Issuing Lender shall be
required to issue, amend or increase any Letter of Credit unless it is
satisfied that cash collateral or (to the extent permitted by Section 2.12(c))
Permitted Cover will be provided by the Applicant Party in accordance with the
foregoing clause (a).

 

26

 

SECTION 2.23.      Replacement of Lenders.  If any Lender requests compensation under Section 2.17,
or if the Applicant Party is required to pay any additional amount to any
Lender or any Governmental Authority for the account of any Lender pursuant to Section 2.16,
or if any Lender is a Defaulting Lender, or if any Lender does not consent to a
proposed amendment, waiver, consent or modification with respect to any Credit
Document that requires the consent of each Lender and that has been approved by
the Required Lenders, then the Applicant Party may, at its sole expense and
effort, upon notice to such Lender and the Administrative Agent, require such
Lender to assign and delegate (in accordance with and subject to the
restrictions contained in, and consents required by, Section 8.06),
without recourse, all of their interests, rights and obligations under this
Agreement and the related Credit Documents to an assignee that shall assume
such obligations (which assignee may be another Lender, if a Lender accepts
such assignment), provided that:

 

(a)           the Applicant Party shall have paid to the
Administrative Agent the assignment fee specified in Section 8.06(b);

 

(b)           such Lender shall have received payment of an amount
equal to the outstanding amount of its LC Disbursements, accrued interest
thereon, accrued fees and all other amounts payable to it hereunder and under
the other Credit Documents from the assignee (to the extent of such outstanding
LC Disbursements and accrued interest and fees) or the Applicant Party (in the
case of all other amounts);

 

(c)           in the case of any such assignment resulting from a
claim for compensation under Section 2.17 or payments required to
be made pursuant to Section 2.16, such assignment will result in a
reduction in such compensation or payments thereafter; and

 

(d)           such assignment does not conflict with applicable
laws.

 

A Lender shall not be required to make any such
assignment or delegation if, prior thereto, as a result of a waiver by such
Lender or otherwise, the circumstances entitling the Applicant Party to require
such assignment and delegation cease to apply.

 

ARTICLE III

 

CONDITIONS PRECEDENT

 

SECTION 3.01.      Closing Date.

 

The
effectiveness of this Agreement is subject to the satisfaction of the following
conditions precedent:

 

(a)   Receipt of Documentation.  The Administrative Agent shall have received:

 

(i)            counterparts of this
Agreement signed by the Applicant Party, the Administrative Agent, each Issuing
Lender and each Lender;

 

27

 

(ii)           a certificate, dated the
Closing Date, of the Secretary or Assistant Secretary of the Applicant Party,
substantially in the form of Exhibit C: (A) attaching a true
and complete copy of the resolutions of its Board of Directors authorizing the
execution and delivery of this Agreement and the other Credit Documents by the
Applicant Party and the performance of the Applicant Party’s obligations
thereunder, and of all other documents evidencing other necessary action (in
form and substance reasonably satisfactory to the Administrative Agent) taken
by it to authorize the Credit Documents and the transactions contemplated
thereby, (B) attaching a true and complete copy of its certificate of
incorporation and bylaws, (C) certifying that said certificate of
incorporation and bylaws are true and complete copies thereof, are in full
force and effect and have not been amended or modified, and (D) setting
forth the incumbency of its officer or officers who may sign the Credit
Documents, including therein a signature specimen of such officer or officers;

 

(iii)          a certificate of good
standing for the Applicant Party from the Secretary of State for the State of
Delaware, dated a recent date prior to the Closing Date; and

 

(iv)          a certificate, dated the
Closing Date, signed by a senior vice president, the chief financial officer or
the treasurer of the Applicant Party to the effect set forth in paragraphs (b) and
(c) of Section 3.02 and certifying (A) that, as of
the Closing Date, there exists no Material Adverse Change and (B) the
current Ratings.

 

(b)   Opinions.  The Administrative Agent shall have received
an opinion of counsel for the Applicant Party, substantially in the form of Exhibit A,
covering such matters relating to the transactions contemplated hereby as the
Administrative Agent may reasonably request, dated the Closing Date.

 

(c)   Fees and Expenses Due to the
Credit Parties.  The
Administrative Agent shall have received all fees and expenses due and payable
to the Administrative Agent, the Joint Book Managers, the Sole Lead Arranger
and any other Credit Party.

 

(d)   Fees and Expenses of Special
Counsel.  The fees and expenses of
Sidley Austin LLP, special counsel to the Administrative Agent, BNPP as an
Issuing Lender and the Sole Lead Arranger, in connection with the preparation,
negotiation and closing of the Credit Documents shall have been paid.

 

SECTION 3.02.      Conditions to Letters of
Credit.

 

The
following conditions must be satisfied prior to the issuance of each Letter of
Credit:

 

(a)   Notice; Application.  The Administrative Agent and the applicable
Issuing Lender shall have received: (i) the notice required by Section 2.07(a) hereof;
and (ii) an Application in the form required by the applicable Issuing
Lender duly completed by the Applicant Party.

 

(b)   Absence of Litigation.  There shall be no injunction, writ,
preliminary restraining order or other order of any nature issued by any
Governmental Authority in any respect directly affecting the transactions
provided for herein and no action or proceeding by or before any Governmental
Authority shall have been commenced and be pending or, to the 

 

28

 

knowledge of the Applicant Party, threatened,
seeking to prevent or delay the transactions contemplated by the Credit
Documents or challenging any other terms and provisions hereof or thereof or
seeking any damages in connection therewith.

 

(c)   Representations and
Warranties; No Default. After giving effect to the issuance of the
applicable Letter of Credit: (i) no Default shall have occurred and be
continuing, (ii) all representations and warranties of the Applicant Party
contained in Article IV of this Agreement (other than the
representation and warranty of the Applicant Party contained in Section 4.04(b) hereof)
shall be true (except that for purposes of this Section 3.02, the
representations and warranties contained in Section 4.04(a) shall
be deemed to refer to the most recent statements furnished pursuant to Section 5.01(a)),
and (iii) no default or event of default under any engineering,
procurement, construction or maintenance contract of the Applicant Party or any
of its Subsidiaries shall have occurred and be continuing which could reasonably
be expected to materially and adversely affect the ability of the Applicant
Party to perform its obligations under the Credit Documents.

 

(d)   Commitments and LC Exposure. Both before
and immediately after giving effect to the issuance of the applicable Letter of
Credit, the Dollar Equivalent of the total LC Exposure shall not exceed the
Aggregate Commitments.

 

ARTICLE IV

 

REPRESENTATIONS AND
WARRANTIES

 

The
Applicant Party represents and warrants that:

 

SECTION 4.01.      Corporate Existence and
Power.

 

The
Applicant Party is a corporation duly incorporated, validly existing and in
good standing under the laws of the State of Delaware and has all corporate
powers and all material governmental licenses, authorizations, consents and
approvals required to carry on its business as now conducted.

 

SECTION 4.02.      Corporate and Governmental
Authorization; Contravention.

 

The
execution, delivery and performance by the Applicant Party of this Agreement
and the other Credit Documents (i) are within the Applicant Party’s corporate
power, (ii) have been duly authorized by all necessary corporate action, (iii) require
no action by or in respect of, or filing with, any governmental body, agency or
official, (iv) do not contravene or constitute a default under any
provision of applicable law or regulation, or of the certificate of
incorporation or by-laws of the Applicant Party, and (v) do not contravene
or constitute a default under, or result in the creation of any Lien under, any
material agreement, judgment, injunction, order, decree or other instrument
binding upon the Applicant Party.

 

29

 

SECTION 4.03.    Binding Effect.

 

This
Agreement has been duly executed and delivered by the Applicant Party and
constitutes a valid and binding agreement of the Applicant Party, enforceable
in accordance with its terms.

 

SECTION 4.04.    Financial Information.

 

(a)   Balance Sheet. The
consolidated balance sheet of the Applicant Party and its Consolidated
Subsidiaries as of December 31, 2008 and the related consolidated
statements of earnings and of cash flow for the fiscal year then ended,
reported on by Ernst & Young LLP and set forth in the Applicant Party’s
2008 Form 10-K, a copy of which has been made available to each of the
Lenders, fairly present in all material respects, in conformity with GAAP, the
consolidated financial position of the Applicant Party and its Consolidated
Subsidiaries as of such date and their consolidated results of operations and
changes in financial position for such fiscal year.

 

(b)   Material Adverse Change.  There exists no Material Adverse Change.

 

SECTION 4.05.    Litigation.

 

There
is no action, suit or proceeding pending or to the knowledge of the Applicant
Party threatened against or affecting the Applicant Party or any of its
Subsidiaries before any court or arbitrator or any governmental body, agency or
official (i) which could reasonably be expected to have a material adverse
effect on the business, consolidated financial position or consolidated results
of operations of the Applicant Party and its Consolidated Subsidiaries, taken
as a whole, and the Applicant Party’s ability to perform its obligations under
the Credit Documents at any time up to and including the Maturity Date, or (ii) which
purports to affect the legality, validity or enforceability of this Agreement
or any other Credit Document.

 

SECTION 4.06.    Compliance with ERISA.

 

The
Applicant Party and its Subsidiaries have fulfilled their obligations under the
minimum funding standards of ERISA with respect to each Plan and are in
compliance in all material respects with the currently applicable provisions of
ERISA, noncompliance with which could reasonably be expected to have a material
adverse effect on the business, consolidated financial position or consolidated
results of operations of the Applicant Party and its Consolidated Subsidiaries,
taken as a whole, and the Applicant Party’s ability to perform its obligations
under the Credit Documents at any time up to and including the Maturity Date.

 

SECTION 4.07.    Taxes.

 

The
Applicant Party and its Subsidiaries have filed all United States Federal
income tax returns and all other material tax returns which are required to be
filed by them and have paid all taxes due pursuant to such returns or pursuant
to any assessment received by the Applicant Party or any Subsidiary other than
any such taxes or assessments being currently contested in good faith and other
than where the failure to so file or pay would not have a material adverse
effect on the business, financial position, results of operations or properties
of the Applicant Party and its 

 

30

 

Consolidated
Subsidiaries taken as a whole or, alternatively, on the ability of the
Applicant Party to perform its obligations under the Credit Documents at any
time up to and including the Maturity Date. The charges, accruals and reserves
on the books of the Applicant Party and its Subsidiaries in respect of taxes or
other governmental charges are adequate.

 

SECTION 4.08.    Material Subsidiaries.

 

Each
of the Applicant Party’s Material Subsidiaries is duly organized or formed,
validly existing and in good standing under the laws of the jurisdiction of its
incorporation or organization, and has all requisite power and authority and
all material governmental licenses, authorizations, consents and approvals
required to carry on its business as now conducted.

 

SECTION 4.09.    Not an Investment Company.

 

The
Applicant Party is not an “investment company” within the meaning of the
Investment Company Act of 1940, as amended.

 

SECTION 4.10.    Business of the Applicant
Party; Use of Letters of Credit.

 

The
Applicant Party is not engaged in the business of extending credit for the
purpose of purchasing or carrying margin stock (within the meaning of
Regulation U), and no LC Disbursement will be used to purchase or carry any
margin stock or to extend credit to others for the purpose of purchasing or
carrying any margin stock.  The purpose
of each Letter of Credit shall be to support the Applicant Party’s or its
Subsidiaries’, Affiliates’ or Joint Ventures’ performance of their obligations
to each beneficiary under their engineering, procurement, construction and
maintenance contracts, and the purpose of each Backing Letter of Credit shall
be, to the extent permitted under Section 2.07(b) hereof, to
back bank guarantees issued by other banks supporting such performance.  Neither the issuance of any Letter of Credit
nor the payment of any Obligation will violate any applicable law or
regulation.

 

SECTION 4.11.    No Misleading Statements.

 

No
written information, exhibit or report furnished by or at the direction of the
Applicant Party or any Subsidiary to the Administrative Agent or any Lender in
connection with this Agreement contains any material misstatement of fact or
omits to state a material fact or any fact necessary to make the statements
contained therein not misleading.

 

SECTION 4.12.    Environmental Matters.

 

In
the ordinary course of its business, the Applicant Party conducts an ongoing
review of the effect of Environmental Laws on the business, operations and
properties of the Applicant Party and its Subsidiaries, in the course of which
it identifies and evaluates associated liabilities and costs (including,
without limitation, any capital or operating expenditures required for clean-up
or closure of properties now or previously owned, any capital or operating
expenditures required to achieve or maintain compliance with environmental
protection standards imposed by law or as a condition of any license, permit or
contract, any related constraints on operating activities, including any
periodic or permanent shutdown of any facility or reduction in the level of or
change in the nature of operations conducted thereat and any actual or
potential liabilities to 

 

31

 

third
parties, including employees, and any related costs and expenses). On the basis
of this review, the Applicant Party has reasonably concluded that Environmental
Laws are not likely to have a material adverse effect on the business,
financial condition, results of operations or properties of the Applicant Party
and its Consolidated Subsidiaries, considered as a whole, or, alternatively, on
the Applicant Party’s ability to perform its obligations under the Credit
Documents at any time up to and including the Maturity Date.

 

SECTION 4.13.    No Default.

 

No
Default or Event of Default has occurred and is continuing or would result from
the consummation of the transactions contemplated by this Agreement or any
other Credit Document.

 

ARTICLE V

 

COVENANTS

 

The
Applicant Party agrees that, so long as any Lender has any Commitment or any LC
Exposure or any other Obligation hereunder remains outstanding:

 

SECTION 5.01.    Information.

 

The
Applicant Party will deliver to each of the Lenders:

 

(a)   Annual Financial Statements.  As soon as available and in any event within
one hundred (100) days after the end of each fiscal year of the Applicant
Party, a consolidated balance sheet of the Applicant Party and its Consolidated
Subsidiaries as of the end of such fiscal year and the related consolidated
statements of earnings and cash flow for such fiscal year, setting forth in
each case in comparative form the figures for the previous fiscal year, audited
and accompanied by a report and opinion of Ernst & Young LLP or other
independent public accountants of nationally recognized standing, which report
and opinion shall be prepared in a manner acceptable to the SEC and shall not
be subject to any “going concern” or like qualification or exception or any
qualification or exception as to the scope of such audit;

 

(b)   Quarterly Financial
Statements.  As soon as
available and in any event within fifty-five (55) days after the end of each of
the first three (3) quarters of each fiscal year of the Applicant Party,
an unaudited consolidated balance sheet of the Applicant Party and its
Consolidated Subsidiaries as of the end of such quarter and the related
consolidated statements of earnings and cash flow for such quarter and for the
portion of the Applicant Party’s fiscal year ended at the end of such quarter,
as set forth in the Applicant Party’s quarterly report for the fiscal quarter
then ended as filed with the SEC on Form 10-Q, all certified by the chief
financial officer or the chief accounting officer of the Applicant Party that
they are (i) complete and fairly present in all material respects the
financial condition of the Applicant Party and its Consolidated Subsidiaries as
at the dates indicated and the results of their operations and changes in their
cash flow for the periods indicated; (ii) disclose all liabilities of the
Applicant Party and its Consolidated Subsidiaries that are required to be
reflected or reserved against under GAAP, whether liquidated or unliquidated,
fixed or contingent; and (iii) have been prepared in accordance with GAAP
(subject to normal year-end adjustments);

 

32

 

(c)   Certificate of Chief
Financial Officer. 
Simultaneously with the delivery of each set of financial statements
referred to in paragraphs (a) and (b) above, a
certificate of the chief financial officer, the treasurer or the chief
accounting officer of the Applicant Party (i) setting forth in reasonable
detail the calculations required to establish whether the Applicant Party was
in compliance with the requirements of Section 5.07 on the date of
such financial statements, (ii) stating whether any Default exists on the
date of such certificate and, if any Default then exists, setting forth the
details thereof and the action which the Applicant Party is taking or proposes
to take with respect thereto, and (iii) describing the parties, subject
matter, and nature and amount of relief granted to the prevailing party in any
litigation or proceeding in which a final judgment or order which is either for
the payment of money in an amount equal to or exceeding $25,000,000 (or the
Exchange Equivalent thereof) or which grants any material non-monetary relief
to the prevailing party therein was rendered against the Applicant Party or any
Subsidiary (whether or not satisfied or stayed) during the most recently ended
fiscal quarter;

 

(d)   Notice of Default.  Forthwith upon knowledge of the occurrence of
any Default, a certificate of the chief financial officer, the treasurer or the
chief accounting officer of the Applicant Party setting forth the details
thereof and the action which the Applicant Party is taking or proposes to take
with respect thereto;

 

(e)   Other Financial Statements.  Promptly upon the mailing thereof to the
shareholders of the Applicant Party generally, copies of all financial
statements, reports and proxy statements so mailed;

 

(f)    SEC Filings.  Promptly upon the filing thereof, copies of (i) all
registration statements (other than the exhibits thereto and any registration
statements on Form S-8 or its equivalent) and reports on Forms 10-K, 10-Q
and 8-K (or their equivalents) which the Applicant Party or any Subsidiary
shall have filed with the SEC, and (ii) all other reports which the
Applicant Party or any Subsidiary shall have filed with the SEC or any national
securities exchange, unless the Applicant Party or such Subsidiary is not
permitted to provide copies thereof to the Lenders pursuant to applicable laws
or regulations;

 

(g)   ERISA Reportable Events.  If and when any member of the Controlled
Group (i) gives or is required to give notice to the PBGC of any “reportable
event” (as defined in Section 4043 of ERISA) with respect to any Plan
which might constitute grounds for a termination of such Plan under Title IV of
ERISA, or knows that the plan administrator of any Plan has given or is required
to give notice of any such reportable event, a copy of the notice of such
reportable event given or required to be given to the PBGC; (ii) receives
notice of complete or partial withdrawal liability in excess of $20,000,000 (or
the Exchange Equivalent thereof) under Title IV of ERISA, a copy of such
notice; or (iii) receives notice from the PBGC under Title IV of ERISA of
an intent to terminate or appoint a trustee to administer any Plan, a copy of
such notice;

 

(h)   Notice of Rating Change.  Promptly upon the Applicant Party’s obtaining
knowledge thereof, notice of any withdrawal or change or proposed withdrawal or
change in any Rating;

 

(i)    Notices
from Beneficiaries.  Immediately upon the Applicant Party’s receipt thereof, a copy of any writing delivered
by any beneficiary under any Letter
of Credit to the 

 

33

 

Applicant Party
or any of its Subsidiaries indicating such beneficiary’s intention to draw
under the applicable Letter of
Credit;

 

(j)    Notice of Changes in
Accounting Policies.  Promptly
following any such change, notice of any material change in accounting policies
or financial reporting practices by the Applicant Party or any Subsidiary; and

 

(k)   Other Financial Information.  From time to time such additional information
regarding the financial position or business of the Applicant Party or any
Subsidiary as the Administrative Agent, at the reasonable request of any
Lender, may request.

 

Documents
required to be delivered pursuant to Section 5.01(a), (b), (e),
(f) or (k) (to the extent any such documents are
included in materials otherwise filed with the SEC) may be delivered
electronically (including, without limitation, via IntraLinks) and if so
delivered, shall be deemed to have been delivered on the date on which the
Applicant Party posts such documents, or provides a link thereto on the
Applicant Party’s website on the Internet at the website address listed on the
Applicant Party’s signature page hereto; provided that: (i) the
Applicant Party shall deliver paper copies of such documents to the
Administrative Agent or any Lender that requests the Applicant Party to deliver
such paper copies until a written request to cease delivering paper copies is
given by the Administrative Agent or such Lender, and (ii) the Applicant
Party shall notify the Administrative Agent and each Lender (by telecopier or
electronic mail) of the posting of any such documents and provide to the
Administrative Agent by electronic mail electronic versions (i.e., soft
copies) of such documents.  The
Administrative Agent shall have no obligation to request the delivery or to
maintain copies of the documents referred to above, and in any event shall have
no responsibility to monitor compliance by the Applicant Party with any such
request for delivery, and each Lender shall be solely responsible for
requesting delivery to it or maintaining its copies of such documents.

 

SECTION 5.02.    Payment of Obligations.

 

The
Applicant Party will pay and discharge, and will cause each Subsidiary to pay
and discharge, at or before maturity, all their respective material obligations
and liabilities, except where the same may be contested in good faith by
appropriate proceedings or where the failure to so pay and discharge would not
have a material adverse effect on the consolidated financial position of the
Applicant Party and its Consolidated Subsidiaries, and will maintain, and will
cause each Subsidiary to maintain, in accordance with GAAP, appropriate
reserves for the accrual of any of the same.

 

SECTION 5.03.    Maintenance of Property;
Insurance.

 

(a)   Maintenance of Property.  The Applicant Party will keep, and will cause
each Material Subsidiary to keep, all material items of property useful and
necessary in its business in good working order and condition, ordinary wear
and tear and damage from casualty excepted.

 

(b)   Insurance.  The Applicant Party will maintain, and will
cause each Subsidiary to maintain, with financially sound and reputable
insurance companies, insurance on all their real and personal property in at
least such amounts and against at least such risks as are usually insured
against by companies of established repute engaged in the same or similar 

 

34

 

business as the Applicant Party or such Subsidiary
and owning similar assets (“Industry Standards”), except where such
risks are covered by self insurance so long as the amount of such self
insurance and the risks covered thereby are consistent with Industry Standards.
The Applicant Party will promptly furnish to the Lenders such information as to
insurance carried or self insurance maintained as may be reasonably requested
in writing by the Administrative Agent on behalf of any Lender.

 

SECTION 5.04.    Conduct of Business and
Maintenance of Existence.

 

The
Applicant Party will preserve, renew and keep in full force and effect, and
will cause each Material Subsidiary to preserve, renew and keep in full force
and effect, its respective legal existence and good standing under the laws of the
jurisdiction of its organization and its respective rights, privileges and
franchises necessary or desirable in the normal conduct of business; provided
that nothing in this Section 5.04 shall prevent the Applicant Party
or any Subsidiary from (i) merging into, consolidating with, or selling,
leasing or otherwise transferring all of its assets to the Applicant Party or a
Subsidiary (so long as, in the case of the Applicant Party taking any such
action, the applicable Subsidiary assumes all Obligations pursuant to a written
agreement acceptable to the Administrative Agent), or (ii) abandoning or
disposing of any of its assets or abandoning or terminating any right or
franchise if (A) disposition or termination does not violate any other
provision of this Agreement and (B) all such abandonments, dispositions
and terminations do not in the aggregate materially and adversely affect the
business, assets, financial condition or results of operations of the Applicant
Party and its Consolidated Subsidiaries, taken as a whole, or, alternatively,
the ability of the Applicant Party to perform its obligations under the Credit
Documents at any time up to and including the Maturity Date.

 

SECTION 5.05.    Compliance with Laws.

 

The
Applicant Party will comply, and cause each Subsidiary to comply, in all
material respects with all applicable laws, ordinances, rules, regulations,
orders, and requirements of governmental authorities (including, without
limitation, ERISA, Environmental Laws and the rules and regulations
thereunder), except where failure to so comply would not have a material
adverse effect on the business, financial position, results of operations or
properties of the Applicant Party and its Consolidated Subsidiaries taken as a
whole or, alternatively, on the ability of the Applicant Party to perform its
obligations under the Credit Documents at any time up to and including the
Maturity Date.

 

SECTION 5.06.    Keeping of Records;
Inspection of Property, Books and Records.

 

The
Applicant Party will keep, and will cause each Subsidiary to keep, proper books
of record and account in accordance with GAAP consistently applied; and will
permit, and will cause each Subsidiary to permit, the Administrative Agent, any
of the Lenders or any agents or representatives of the Administrative Agent or
any Lender, at the Administrative Agent’s or such Lender’s expense, to visit
and inspect any of its respective properties, to examine any of its respective
books and records and (subject to Section 8.10) to discuss its
respective affairs, finances and accounts with any of its respective officers,
directors, employees and independent public accountants, all at such times and
as often as may reasonably be desired, in each case upon reasonable notice and
during normal business hours.  Notwithstanding
anything to the contrary in this Section 5.06, none of the
Applicant Party or any of its Subsidiaries will be required to 

 

35

 

disclose,
permit the inspection, examination or discussion of, any document, information
or other matter in respect of which such disclosure is then prohibited by law
or any agreement binding on the Applicant Party or any of its Subsidiaries.

 

SECTION 5.07.    Debt.

 

(a)   Debt to Tangible Net Worth
Ratio.  The ratio of Consolidated Debt
to Consolidated Tangible Net Worth will at no time exceed 1.00 to 1.00.

 

(b)   Total Debt.  The total Debt of all Consolidated
Subsidiaries of the Applicant Party, excluding the Debt, if any, owed by such
Consolidated Subsidiaries to the Applicant Party or another Consolidated
Subsidiary of the Applicant Party, will at no time exceed an amount equal to
$500,000,000 (or the Exchange Equivalent thereof).

 

SECTION 5.08.    Negative Pledge.

 

Neither
the Applicant Party nor any Subsidiary will create, assume or suffer to exist
any Lien securing Debt on any asset now owned or hereafter acquired by it, or
assign any right to receive income, except:

 

(i)            Liens existing on the date
of this Agreement and disclosed on Schedule 5.08 attached hereto and any
renewals or extensions thereof, provided that the property covered
thereby is not changed;

 

(ii)           any Lien existing on any
asset of any Person at the time such Person becomes a Subsidiary or is merged
into or consolidated with an Applicant Party or a Subsidiary; provided  that
(i) such Lien is not created in contemplation of such event, (ii) such
Lien shall not apply to any other property or asset of the Applicant Party or
any of its Subsidiaries, and (iii) such Lien shall secure only those
obligations which it secures on the date of such acquisition or the date such
Person becomes a Subsidiary, as the case may be;

 

(iii)          any Lien on any asset
securing Debt incurred or assumed for the purpose of financing all or any part
of the cost of acquiring or constructing such asset; provided that (i) such
Lien attaches to such asset concurrently with or within 180 days after the
acquisition or construction thereof and (ii) such Lien shall not apply to
any other property or asset of the Applicant Party or any of its Subsidiaries;

 

(iv)          any Lien existing on any
asset prior to the acquisition thereof by the Applicant Party or a Subsidiary
and not created primarily in contemplation of such acquisition;

 

(v)           any Lien arising out of the
refinancing, extension, renewal or refunding of any Debt secured by any Lien
permitted by any of the foregoing clauses of this Section 5.08, provided
that such Debt is not increased and is not secured by any additional assets;

 

(vi)          Liens securing judgments for
the payment of money not constituting an Event of Default under Section 6.01(j);

 

36

 

(vii)         any Lien on or with respect
to the property or assets of any Subsidiary securing obligations owing to the
Applicant Party or another Subsidiary;

 

(viii)        rights of offset and bankers’
liens in connection with Debt permitted hereby; and

 

(ix)           Liens not otherwise
permitted by the foregoing clauses of this Section 5.08 securing
Debt in an aggregate principal amount at any time outstanding not to exceed ten
percent (10%) of Consolidated Tangible Net Worth.

 

SECTION 5.09.    Consolidations, Mergers and
Sales of Assets.

 

The
Applicant Party will not (i) except to the extent expressly permitted in Section 5.04
hereof, consolidate or merge with or into any other Person; provided
that the Applicant Party may merge with a Person if (A) the Applicant
Party is the surviving corporation to such merger and (B) after giving
effect to any such merger no Default shall have occurred hereunder and all
representations and warranties shall be true and correct or (ii) except as
permitted pursuant to the foregoing clause (i), sell, lease or otherwise
transfer, directly or indirectly, all or any substantial part of the assets of
the Applicant Party and its Consolidated Subsidiaries, taken as a whole.

 

SECTION 5.10.    Payment of Taxes, Etc.

 

The
Applicant Party will pay, and will cause each Subsidiary to pay, before the
same become delinquent, all taxes, assessments and governmental charges imposed
upon it or any of its properties, except where the same may be contested in
good faith by appropriate proceedings, or where any failure to so pay would not
have a material adverse effect on the business, financial position, results of
operations or properties of the Applicant Party and its Consolidated
Subsidiaries taken as a whole or, alternatively, on the ability of the
Applicant Party to perform its obligations under the Credit Documents at any
time up to and including the Maturity Date, and the Applicant Party will
maintain, and will cause each Subsidiary to maintain, in accordance with GAAP,
appropriate reserves for the accrual of the same.

 

SECTION 5.11.    Pari-passu Obligations.

 

The
obligations under this Agreement shall constitute direct, unconditional,
senior, unsubordinated, general obligations of the Applicant Party and will
rank at least pari-passu (in priority of payment) with all other existing and
future senior, unsecured, unsubordinated obligations of the Applicant Party
resulting from any indebtedness for borrowed money or Debt Guarantee.

 

SECTION 5.12.    Further Assurances.

 

At
any time or from time to time upon the request of the Administrative Agent, the
Applicant Party will, at its expense, promptly execute, acknowledge and deliver
such further documents (including collateral agreements, UCC financing
statements and the like pursuant to Section 2.12) and do such other
acts and things as the Administrative Agent may reasonably request in order to
effect fully the purposes of the Credit Documents.

 

37

 

ARTICLE VI

 

DEFAULTS

 

SECTION 6.01.    Events of Default.

 

Each
of the following events (each an “Event of Default”) shall constitute an
Event of Default hereunder:

 

(a)   the Applicant Party shall
fail to pay (i) when due, any amount of principal of any LC Disbursement,
or (ii) within three (3) days after the same becomes due, any
interest on any LC Disbursement, any fees or any other amount payable
hereunder; or

 

(b)   the Applicant Party shall
fail to observe or perform any covenant contained in Section 2.12 or
Sections 5.07 to 5.11, inclusive; or

 

(c)   the Applicant Party shall
fail to observe or perform any covenant or agreement contained in this
Agreement (other than those covered by paragraph (a) or (b) above)
for forty-five (45) days after the earlier to occur of (i) written notice
thereof having been given to the Applicant Party by the Administrative Agent at
the request of any Lender or (ii) actual knowledge thereof by the
Applicant Party or any of its Subsidiaries of such failure; or

 

(d)   any representation,
warranty, certification or statement made by the Applicant Party in this
Agreement or in any certificate, financial statement or other document
delivered pursuant to this Agreement shall prove to have been incorrect in any
material respect when made (or deemed made); or

 

(e)   the Applicant Party or any
Subsidiary shall fail to make any payment in respect of any Debt (other than
the Obligations) having an aggregate principal amount of at least $50,000,000
(or the Exchange Equivalent thereof) when due or within any applicable grace
period; or

 

(f)    any event shall occur or
condition shall exist which results in the acceleration of the maturity of any
Debt of the Applicant Party or any Subsidiary having an aggregate principal
amount of at least $50,000,000 (or the Exchange Equivalent thereof); or such
Debt shall be declared due and payable, or required to be prepaid (other than
by a regularly scheduled required prepayment), prior to the stated maturity
thereof, excluding, however, prepayments of Debt required upon disposition in
the ordinary course of business of collateral securing such Debt so long as
such Liens and dispositions are permitted hereby; or, for the avoidance of
doubt, such Debt shall be required to be cash collateralized prior to the
stated maturity thereof as a result of any event of default with respect to
such Debt (excluding cash collateralization solely as a result of currency
exchange fluctuations or defaulting lenders); or

 

(g)   the Applicant Party or any
Subsidiary shall commence a voluntary case or other proceeding seeking to
adjudicate the Applicant Party or any Subsidiary having total assets of
$50,000,000 (or the Exchange Equivalent thereof) or more as bankrupt or
insolvent, seeking liquidation, reorganization or other relief with respect to
itself or its debts under any bankruptcy, insolvency or other similar law now
or hereafter in effect or seeking the entry of an order for 

 

38

 

relief or the appointment of a trustee, receiver,
liquidator, custodian or other similar official for it or for any substantial
part of its property, or shall consent to any such relief or to the appointment
of or taking possession by any such official in an involuntary case or other
proceeding commenced against it, or shall make a general assignment for the
benefit of creditors, or shall fail generally to pay its debts as they become
due, or shall admit in writing its inability to pay its debts generally, or
shall take any corporate action to authorize any of the foregoing; or

 

(h)   an involuntary case or other
proceeding shall be commenced against the Applicant Party or any Subsidiary
having total assets of $50,000,000 (or the Exchange Equivalent thereof) or more
seeking to adjudicate it as bankrupt or insolvent, seeking liquidation,
reorganization or other relief with respect to it or its debts under any
bankruptcy, insolvency or other similar law now or hereafter in effect, or
seeking the entry of an order for relief or the appointment of a trustee,
receiver, liquidator, custodian or other similar official for it or for any
substantial part of its property, and such involuntary case or other proceeding
shall remain undismissed and unstayed for a period of thirty (30) days; or an
order for relief shall be entered against the Applicant Party or any Subsidiary
having total assets of $50,000,000 (or the Exchange Equivalent thereof) or more
under the federal bankruptcy laws as now or hereafter in effect; or

 

(i)    any member of the Controlled
Group shall fail to pay when due an amount or amounts aggregating in excess of
$35,000,000 (or the Exchange Equivalent thereof) which it shall have become
liable to pay to the PBGC or to a Plan under Title IV of ERISA except where the
failure to so pay would not (in the opinion of the Required Lenders) have a
material adverse effect on the business, financial position, results of
operations or properties of the Applicant Party and its Consolidated
Subsidiaries taken as a whole or alternatively, on the Applicant Party’s
ability to perform its obligations under the Credit Documents at any time up to
and including the Maturity Date; or notice of intent to terminate a Plan or
Plans having aggregate Unfunded Vested Liabilities in an amount that would have
a material adverse effect on the Applicant Party and its Consolidated
Subsidiaries taken as a whole and the Applicant Party’s ability to perform its
obligations under the Credit Documents at any time up to and including the
Maturity Date (collectively, a “Material Plan”) shall be filed under
Title IV of ERISA by any member of the Controlled Group, any plan administrator
or any combination of the foregoing; or the PBGC shall institute proceedings
under Title IV of ERISA to terminate or to cause a trustee to be appointed to
administer any Material Plan or a proceeding shall be instituted by a fiduciary
of any Material Plan against any member of the Controlled Group to enforce Section 515
of ERISA and such proceeding shall not have been dismissed within thirty (30)
days thereafter; or a condition shall exist by reason of which the PBGC would
be entitled to obtain a decree adjudicating that any Material Plan must be
terminated; or

 

(j)    to the extent not insured
against, one or more final judgments or orders for the payment of money
aggregating in excess of $50,000,000 (or the Exchange Equivalent thereof) shall
be rendered against the Applicant Party or any Subsidiary and either (i) enforcement
proceedings shall have been commenced by any creditor upon any such judgments
or orders or (ii) any of such judgments or orders shall continue
unsatisfied and unstayed by reason of a pending appeal or otherwise for a
period of thirty (30) days; or

 

(k)   (i) any Person or group
of Persons (within the meaning of Section 13 or 14 of the Securities
Exchange Act of 1934, as amended) shall have acquired beneficial ownership
(within the meaning of Rule 13d-3 promulgated by the SEC under said Act)
of 35% or more of

 

39

 

the outstanding shares of common stock of the Applicant
Party; or (ii) at any time during any period of twelve consecutive
calendar months a majority of the Board of Directors of the Applicant Party
shall not consist of individuals who were either directors of the Applicant
Party on the first day of such period (“original directors”) or
appointed as or nominated to be directors either (A) by individuals
including a majority of those of the original directors who have not, prior to
such appointment or nomination, resigned or died, or (B) by a duly
constituted committee of the Board of Directors of the Applicant Party, a
majority of which consists of the original directors; or

 

(l)    all or any substantial part
of the property of the Applicant Party and its Subsidiaries (taken as a whole)
shall be condemned, seized or otherwise appropriated, or custody or control of
such property shall be assumed, by any court or governmental agency of
competent jurisdiction, and such property shall be retained for a period of
thirty (30) days, which condemnation, seizure or other appropriation could
reasonably be expected to have a material adverse effect on the business,
consolidated financial position or consolidated results of operations of the
Applicant Party and its Consolidated Subsidiaries, taken as a whole, and the
Applicant Party’s ability to perform its obligations under the Credit Documents
at any time up to and including the Maturity Date; or

 

(m)  any provision of any Credit
Document, at any time after its execution and delivery and for any reason other
than as expressly permitted hereunder or thereunder or satisfaction in full of
all the Obligations, ceases to be in full force and effect; or the Applicant
Party contests in any manner the validity or enforceability of any provision of
any Credit Document; or the Applicant Party denies that it has any or further
liability or obligation under any Credit Document, or purports to revoke,
terminate or rescind any provision of any Credit Document.

 

SECTION 6.02.    Remedies.

 

Upon the occurrence and during the continuance of
any Event of Default (other than any event specified in paragraph (g) or
(h) of Section 6.01): (a) the Administrative Agent
shall, at the request of, or may, with the consent of, the Required Lenders,
require, without notice or demand, either or both of the following, at the same
or different times: (i) that any or all of the LC Exposure and all other
Obligations, although not yet due, be immediately due and payable, and
thereupon such LC Exposure and all other such Obligations shall be immediately
due and payable, without presentment, demand, protest or any notice of any
kind, all of which are hereby expressly waived by the Applicant Party, and (ii) that
all Commitments be terminated, and thereupon all Commitments shall terminate
immediately; and in any event, the Administrative Agent shall have in any
jurisdiction where enforcement is sought, in addition to all other rights and
remedies, the rights and remedies of a secured party under the UCC; and (b) the
Administrative Agent shall, at the request of, or may, with the consent of, the
Required Lenders, require the Applicant Party to deposit cash collateral in
Dollars with the Administrative Agent and otherwise perform all of its
obligations under Section 2.12; provided  that upon
the occurrence of any event specified in paragraph (g) or (h) of
Section 6.01, (x) such cash collateral referred to in clause
(b) above shall be immediately deposited with the Administrative Agent
in accordance with the provisions of Section 2.12 and (y) all
Commitments shall automatically terminate and such amounts shall automatically
become and be due and payable, without presentment, demand, 

 

40

 

protest
or any notice of any kind, all of which are hereby expressly waived by the
Applicant Party.

 

ARTICLE VII

 

THE ADMINISTRATIVE AGENT

 

SECTION 7.01.    Appointment and
Authorization.

 

Each
Lender and each Issuing Lender hereby irrevocably appoints BNPP to act on its
behalf as the Administrative Agent under this Agreement and the other Credit Documents
and authorizes the Administrative Agent to take such actions on its behalf and
to exercise such powers as are delegated to the Administrative Agent by the
terms hereof or thereof, together with such actions and powers as are
reasonably incidental thereto.  The
provisions of this Article are solely for the benefit of the
Administrative Agent, the Lenders and the Issuing Lenders, and the Applicant
Party shall not have rights as a third party beneficiary of any of such
provisions.

 

SECTION 7.02.    Rights as a Lender.

 

The
Person serving as the Administrative Agent hereunder shall have the same rights
and powers in its capacity as a Lender as any other Lender and may exercise the
same as though it were not the Administrative Agent and the term “Lender” or “Lenders”
shall, unless otherwise expressly indicated or unless the context otherwise
requires or the Administrative Agent is not a Lender hereunder, include the
Person serving as the Administrative Agent hereunder in its individual
capacity.  Such Person and its Affiliates
may accept deposits from, lend money to, act as the financial advisor or in any
other advisory capacity for and generally engage in any kind of business with
the Applicant Party or any Subsidiary or other Affiliate thereof as if such Person
were not the Administrative Agent hereunder and without any duty to account
therefor to the Lenders.

 

SECTION 7.03.    Reliance by Administrative
Agent.

 

The
Administrative Agent shall be entitled to rely upon, and shall not incur any
liability for relying upon, any notice, request, certificate, consent,
statement, instrument, document or other writing (including any electronic
message, Internet or intranet website posting or other distribution)
believed by it to be genuine and to have been signed, sent or otherwise
authenticated by the proper Person.  The
Administrative Agent also may rely upon any statement made to it orally or by
telephone and believed by it to have been made by the proper Person, and shall
not incur any liability for relying thereon. 
In determining compliance with any condition hereunder to the issuance
of a Letter of Credit, that by its terms must be fulfilled to the satisfaction
of a Lender or any Issuing Lender, the Administrative Agent may presume that
such condition is satisfactory to such Lender or the applicable Issuing Lender
unless the Administrative Agent shall have received notice to the contrary from
such Lender or such Issuing Lender prior to the issuance of such Letter of
Credit.  The Administrative Agent may
consult with legal counsel (who may be counsel for the Applicant Party),
independent accountants and other experts selected by it, and shall not be
liable for any action taken or not taken by it in accordance with the advice of
any such counsel, accountants or experts.

 

41

 

SECTION 7.04.    Delegation of Duties.

 

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

 

SECTION 7.05.    Liability of Administrative
Agent.

 

The
Administrative Agent shall not have any duties or obligations except those
expressly set forth herein and in the other Credit Documents.  Without limiting the generality of the
foregoing, the Administrative Agent:

 

(a)   shall not be subject to any
fiduciary or other implied duties, regardless of whether a Default has occurred
and is continuing;

 

(b)   shall not have any duty to
take any discretionary action or exercise any discretionary powers, except
discretionary rights and powers expressly contemplated hereby or by the other
Credit Documents that the Administrative Agent is required to exercise as
directed in writing by the Required Lenders (or such other number or percentage
of the Lenders as shall be expressly provided for herein or in the other Credit
Documents), provided that the Administrative Agent shall not be required
to take any action that, in its opinion or the opinion of its counsel, may
expose the Administrative Agent to liability or that is contrary to any Credit
Document or applicable law; and

 

(c)   shall not, except as
expressly set forth herein and in the other Credit Documents, have any duty to
disclose, and shall not be liable for the failure to disclose, any information
relating to the Applicant Party or any of its Affiliates that is communicated
to or obtained by the Person serving as the Administrative Agent or any of its
Affiliates in any capacity.

 

The Administrative
Agent shall not be liable for any action taken or not taken by it (i) with
the consent or at the request of the Required Lenders (or such other number or
percentage of the Lenders as shall be necessary, or as the Administrative Agent
shall believe in good faith shall be necessary, under the circumstances as
provided in Sections 6.02 and 8.05) or (ii) in the absence
of its own gross negligence or willful misconduct.  The Administrative Agent shall be deemed not
to have knowledge of any Default unless and until notice describing such
Default is given to the Administrative Agent by the Applicant Party, a Lender
or an Issuing Lender.

 

The
Administrative Agent shall not be responsible for or have any duty to ascertain
or inquire into (i) any statement, warranty or representation made in or
in connection with this Agreement or any other Credit Document, (ii) the
contents of any certificate, report or other document delivered hereunder or
thereunder or in connection herewith or therewith, (iii) the performance
or observance of any of the covenants, agreements or other terms or conditions
set 

 

42

 

forth
herein or therein or the occurrence of any Default, (iv) the validity,
enforceability, effectiveness or genuineness of this Agreement, any other
Credit Document or any other agreement, instrument or document or (v) the
satisfaction of any condition set forth in Article III or elsewhere
herein, other than to confirm receipt of items expressly required to be
delivered to the Administrative Agent.

 

SECTION 7.06.    Indemnification.

 

To
the extent that the Applicant Party for any reason fails to indefeasibly pay
any amount required pursuant to Section 8.03(a) or Section 8.03(c) to
be paid by it to the Administrative Agent (or any sub-agent thereof), any
Issuing Lender or any Related Party of any of the foregoing, each Lender
severally agrees to pay to the Administrative Agent (or any such sub-agent),
such Issuing Lender or such Related Party, as the case may be, such Lender’s
Applicable Percentage (determined as of the time that the applicable
unreimbursed expense or indemnity payment is sought) of such unpaid amount, provided
that the unreimbursed expense or indemnified loss, claim, damage, liability or
related expense, as the case may be, was incurred by or asserted against the
Administrative Agent (or any such sub-agent) or such Issuing Lender in its
capacity as such, or against any Related Party of any of the foregoing acting
for the Administrative Agent (or any such sub-agent) or such Issuing Lender in
connection with such capacity.  The
obligations of the Lenders under this Section 7.06 are subject to
the provisions of Section 2.14(e).

 

SECTION 7.07.    Non-Reliance on
Administrative Agent and Other Lenders.

 

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

 

SECTION 7.08.    Resignation of
Administrative Agent.

 

The
Administrative Agent may at any time give notice of its resignation to the
Lenders, the Issuing Lenders and the Applicant Party.  Upon receipt of any such notice of
resignation, the Required Lenders shall have the right, in consultation with
the Applicant Party, to appoint a successor, which shall be a bank with an
office in the United States, or an Affiliate of any such bank with an office in
the United States having a combined capital and surplus of at least
$500,000,000.  If no such successor shall
have been so appointed by the Required Lenders and shall have accepted such
appointment within 30 days after the retiring Administrative Agent gives
notice of its resignation, then the retiring Administrative Agent may on behalf
of the Lenders and the Issuing Lenders, appoint a successor Administrative
Agent meeting the qualifications set forth above; provided that if the
Administrative Agent shall notify the Applicant Party, the Lenders and the
Issuing Lenders that no qualifying Person has accepted such appointment, then
such resignation shall nonetheless become effective in accordance with such 

 

43

 

notice
and (1) the retiring Administrative Agent shall be discharged from its
duties and obligations hereunder and under the other Credit Documents (except that in the case of any collateral
security held by the Administrative Agent on behalf of the Lenders or the
Issuing Lenders under any of the Credit
Documents, the retiring Administrative Agent shall continue to hold such
collateral security until such time as a successor Administrative Agent is
appointed) and (2) all payments, communications and determinations
provided to be made by, to or through the Administrative Agent shall instead be
made by or to each Lender and the Issuing Lenders directly, until such time as
the Required Lenders appoint a successor Administrative Agent as provided for
above in this Section.  Upon the acceptance
of a successor’s appointment as Administrative Agent hereunder, such successor
shall succeed to and become vested with all of the rights, powers, privileges
and duties of the retiring (or retired) Administrative Agent, and the retiring
Administrative Agent shall be discharged from all of its duties and obligations
hereunder or under the other Credit Documents (if not already discharged
therefrom as provided above in this Section). 
The fees payable by the Applicant Party to a successor Administrative
Agent shall be the same as those payable to its predecessor unless otherwise
agreed between the Applicant Party and such successor.  After the retiring Administrative Agent’s
resignation hereunder and under the other Credit Documents, the provisions of
this Article and Section 8.03 shall continue in effect for the
benefit of such retiring Administrative Agent, its sub-agents and their
respective Related Parties in respect of any actions taken or omitted to be
taken by any of them while the retiring Administrative Agent was acting as
Administrative Agent.

 

SECTION 7.09.    Agent With Respect to Cash
Collateral Accounts.

 

Each
Lender hereby authorizes the Administrative Agent, on behalf of and for the
benefit of Lenders, to be the agent for and representative of the Lenders and
the Issuing Lenders with respect to any cash collateral accounts. Anything
contained in any of the Credit Documents to the contrary notwithstanding, the
Applicant Party, the Administrative Agent, each Lender and each Issuing Lender
hereby agree that no Lender or Issuing Lender shall have any right individually
to realize upon any cash collateral accounts, it being understood and agreed
that all powers, rights and remedies hereunder may be exercised solely by the
Administrative Agent, on behalf of the Lenders and the Issuing Lenders, in
accordance with the terms hereof.  In
furtherance, and not by limitation, of the foregoing, without written consent
or authorization from the Lenders or the Issuing Lenders, the Administrative
Agent may, in accordance with the terms of this Agreement, release any Lien
encumbering any of the cash collateral and execute any documents or instruments
necessary to accomplish any of the foregoing.

 

SECTION 7.10.    No Other Duties, etc.

 

Anything
herein to the contrary notwithstanding, none of the Sole Lead Arranger or the
Joint Book Managers listed on the cover page hereof shall have any powers,
duties or responsibilities under this Agreement or any of the other Credit
Documents, except in its capacity, as applicable, as a Lender hereunder.

 

44

 

ARTICLE VIII

 

MISCELLANEOUS

 

SECTION 8.01.    Notices.

 

(a)   Except in the case of
notices and other communications expressly permitted to be given by telephone,
all notices, requests and other communications to any party hereunder shall be
in writing (including telecopy and including electronic mail and Internet or
intranet websites such as IntraLinks to the extent provided in Section 8.01(b))
and shall be given to such party at its address, telecopy number or electronic mail
address set forth on the signature pages hereof or such other address,
telecopy number or electronic mail address as such party may hereafter specify
for the purpose by notice to the Administrative Agent, the Issuing Lenders and
the Applicant Party. Each such notice, request or other communication shall be
effective (i) if given by mail, 72 hours after such communication is
deposited in the mails with first class postage prepaid, addressed as
aforesaid, (ii) if given by telecopy, when such telecopy has been received
by the addressee thereof, (iii) if delivered through electronic
communications (including electronic mail and Internet or intranet websites
such as IntraLinks) to the extent provided in Section 8.01(b) below,
as provided in such Section 8.01(b) or (iv) if given by
any other means, when delivered at the address specified in this Section 8.01(a);
provided that notices to the Administrative Agent or any Issuing Lender
under Article II shall not be effective until received.  The Administrative Agent and the Issuing
Lenders shall not be liable for any errors in transmission or the illegibility
of any telecopied documents.  In the
event the Applicant Party sends the Administrative Agent or any Issuing Lender
a manually signed confirmation of previously sent facsimile instructions, the
Administrative Agent and the Issuing Lenders shall have no duty to compare it
against the previous instructions received by the Administrative Agent or the
Issuing Lenders nor shall the Administrative Agent or any Issuing Lender have
any responsibility should the contents or the written confirmation differ from
the facsimile instructions acted upon by the Administrative Agent or any
Issuing Lender.

 

(b)   Notices and other
communications to the Lenders and the Issuing Lenders hereunder may be
delivered or furnished by electronic communication (including e-mail and
Internet or intranet websites such as IntraLinks) pursuant to procedures
approved by the Administrative Agent; provided that (i) the
foregoing shall not apply to notices to any Lender or the Issuing Lenders
pursuant to Article II if such Lender or such Issuing Lender, as
applicable, has notified the Administrative Agent that it is incapable of
receiving notices under such Article by electronic communication and (ii) in
the case of notices and other communications posted to an Internet or intranet
website (such as IntraLinks), notice thereof shall be sent to each intended
recipient at its e-mail address that such notice or communication is available
and identifying the website address therefor. 
The Administrative Agent or the Applicant Party may, in its discretion,
agree to accept notices and other communications to it hereunder by electronic
communications pursuant to procedures approved by it, provided that
approval of such procedures may be limited to particular notices or
communications.

 

SECTION 8.02.    No Waivers.

 

No
failure or delay by the Administrative Agent, any Issuing Lender or any Lender
in exercising any right, power or privilege hereunder or under any other Credit
Document shall 

 

45

 

operate
as a waiver thereof nor shall any single or partial exercise thereof preclude
any other or further exercise thereof or the exercise of any other right, power
or privilege. The rights and remedies herein provided shall be cumulative and
not exclusive of any rights or remedies provided by law.

 

SECTION 8.03.    Expenses; Taxes;
Indemnification.

 

(a)   Expenses. The Applicant
Party agrees to pay on demand: (i) all reasonable out-of-pocket expenses
incurred by the Administrative Agent and the Sole Lead Arranger (including the
reasonable fees, charges and disbursements of counsel), in connection with the
syndication of the credit facilities provided for herein, the preparation, negotiation,
execution, delivery and administration of this Agreement and the other Credit
Documents or any amendments, modifications or waivers of the provisions hereof
or thereof (whether or not the transactions contemplated hereby or thereby
shall be consummated), (ii) all reasonable out-of-pocket expenses incurred
by any Issuing Lender in connection with the issuance, creation, amendment,
renewal or extension of any Letter of Credit or any demand for payment
thereunder and (iii) all out-of-pocket expenses incurred by the
Administrative Agent, any Lender or any Issuing Lender (including the fees,
charges and disbursements of any counsel), in connection with the enforcement
or protection of its rights (A) in connection with this Agreement and the
other Credit Documents, including its rights under this Section, or (B) in
connection with Letters of Credit issued hereunder, including all such
out-of-pocket expenses incurred during any workout, restructuring or
negotiations in respect of such Letters of Credit.

 

(b)   Taxes. The Applicant
Party shall pay any and all transfer taxes, documentary taxes, recording taxes,
stamp taxes, excise taxes or similar taxes or assessments or other charges
payable or determined to be payable in connection with the execution, delivery,
filing and recording of the Credit Documents and any other documents to be
delivered under the Credit Documents (but excluding taxes imposed on the net
income of any Lender), and agrees to save the Administrative Agent, each
Issuing Lender and each Lender harmless from and against any and all
liabilities with respect to or resulting from the Applicant Party’s delay in
paying or omission to pay such taxes.

 

(c)   Indemnification; Waiver of
Consequential Damages.  The
Applicant Party agrees to defend, indemnify, pay and hold harmless the
Administrative Agent (in its capacity as such), each Issuing Lender (in its
capacity as such), each Lender, the Sole Lead Arranger and the Joint Book
Managers and their Affiliates and their respective officers, directors, employees
and agents (collectively, the “Indemnitees”) from and against any and
all losses, obligations, penalties, actions, judgments, claims, damages,
liabilities, disbursements and expenses (including reasonable attorneys fees
and expenses, which may include the allocated cost of internal counsel, and
settlement costs) of any kind or nature whatsoever, whether direct, indirect or
consequential, and whether based on any federal, state or foreign laws,
statutes, rules or regulations, on common law or equitable cause or on
contract or otherwise, which may be imposed on, incurred by or asserted against
the Indemnitees in any way related to or arising out of this Agreement or the
other Credit Documents, or the transactions contemplated hereby or thereby
(collectively, “Losses”), except any such Losses (i) resulting from
the gross negligence or willful misconduct of the Indemnitees or (ii) resulting
from a claim brought by the Applicant Party against an Indemnitee for breach in
bad faith of such Indemnitee’s obligations hereunder or under any other Credit
Document, if the Applicant Party has obtained a final and nonappealable
judgment in its 

 

46

 

favor on such claim as determined by a court of
competent jurisdiction, provided that nothing in this Section 8.03(c) shall
obligate the Applicant Party to pay the normal expenses of the Administrative
Agent in the administration of this Agreement in the absence of pending or
threatened litigation or other proceedings or the claims or threatened claims
of others and then only to the extent arising therefrom.

 

To
the fullest extent permitted by applicable law, the Applicant Party shall not
assert, and hereby waives, any claim against any Indemnitee, on any theory of
liability, for special, indirect, consequential or punitive damages (as opposed
to direct or actual damages) arising out of, in connection with, or as a result
of, this Agreement, any other Credit Document or any agreement or instrument
contemplated hereby, the transactions contemplated hereby or thereby, any
Letter of Credit or the use of the proceeds thereof.  No Indemnitee referred to in this Section 8.03(c) above
shall be liable for any damages arising from the use by unintended recipients
of any information or other materials distributed to such unintended recipients
by such Indemnitee through telecommunications, electronic or other information
transmission systems in connection with this Agreement or the other Credit
Documents or the transactions contemplated hereby or thereby other than for
direct or actual damages resulting from the gross negligence or willful
misconduct of such Indemnitee.

 

(d)   Intentionally Omitted.

 

(e)   Survival.        The obligations of the
Applicant Party under this Section 8.03 shall survive the termination
of this Agreement, the termination of the Aggregate Commitments hereunder and
payment of the Obligations.

 

SECTION 8.04.    Sharing of Set-Offs.

 

Each
Lender agrees that if it shall, by exercising any right of set-off or
counterclaim or otherwise, receive payment of a proportion of the aggregate
amount of principal and interest due with respect to any Obligations owing to
such Lender which is greater than the proportion received by any other Lender
in respect of the aggregate amount of principal and interest due with respect
to Obligations owing to such other Lender, the Lender receiving such
proportionately greater payment shall purchase such participations in the LC
Exposure of the other Lenders, and such other adjustments shall be made, as may
be required so that all such payments of principal and interest with respect to
the LC Exposure of the Lenders shall be shared by the Lenders pro rata; provided
that nothing in this Section 8.04 shall impair the right of any
Lender to exercise any right of set-off or counterclaim it may have and to
apply the amount subject to such exercise to the payment of indebtedness of the
Applicant Party other than its LC Exposure or other Obligations owing to such
Lender. The Applicant Party agrees, to the fullest extent it may effectively do
so under applicable law, that any holder of a participation in any LC Exposure,
whether or not acquired pursuant to the foregoing arrangements, may exercise
rights of set-off or counterclaim and other rights with respect to such participation
as fully as if such holder of a participation were a direct creditor of the
Applicant Party in the amount of such participation. If under any applicable
bankruptcy, insolvency or other similar law, any Lender receives a secured
claim in lieu of a set-off to which this Section 8.04 would apply,
such Lender shall, to the extent practicable, exercise its rights in respect of
such secured claim in a manner consistent with the rights of the Lenders
entitled under this Section 8.04 to share in the benefits of any
recovery on such secured claim. The Applicant Party hereby authorizes BNPP and
each other Lender, in accordance with the provisions of this Section 8.04,
to so set-off and apply any and all such deposits held and other indebtedness
owing by BNPP or

 

47

 

such
other Lender to or for the credit or the account of the Applicant Party and
hereby authorizes BNPP and each such other Lender to permit such set-off and
application by BNPP or such other Lender; provided that any such set-off
rights shall not apply to the accounts or deposits of any of Applicant Party’s
foreign Subsidiaries.

 

SECTION 8.05.    Amendments and Waivers.      Any
provision of this Agreement or any other Credit Document may be amended or
waived if, but only if, such amendment or waiver is in writing and is signed by
the Applicant Party and the Required Lenders (and, if the rights or duties of
the Administrative Agent or any Issuing Lender are affected thereby, by the
Administrative Agent or each affected Issuing Lender, as the case may be); provided
that no such amendment, waiver or modification shall: (i) extend or
increase any Commitment of any Lender or subject any Lender to any additional
obligation without the written consent of such Lender, (ii) reduce the
principal of or rate or amount of interest on any LC Disbursement or any fees
without the written consent of each Lender directly affected thereby, (iii) postpone
any date fixed by this Agreement or any other Credit Document for any payment
of principal, interest, fees or other amounts due to the Lenders (or any of
them) hereunder or under any other Credit Document without the written consent
of each Lender directly affected thereby, (iv) extend the terms of any
Letter of Credit (other than as set forth below) without the written consent of
each Lender directly affected thereby, (v) amend this Section 8.05
without the written consent of each Lender, (vi) change Section 2.14(c),
Section 2.14(d) or Section 8.04 or any other
provision of this Agreement in a manner that would alter the pro rata sharing
or disbursement of payments required thereby without the written consent of
each Lender, or (vii) change the percentage of the Commitments or the
number of Lenders which shall be required for the Lenders or any of them to
take any action under this Section 8.05 or any other provision of
this Agreement without the written consent of each Lender; provided  further,
that the Fee Letter may be amended, or rights or privileges thereunder waived,
in a writing executed only by the parties thereto.  Notwithstanding the foregoing, so long as no
Default or Event of Default has occurred and is continuing, (a) the
Expiration Date of any Letter of Credit may be extended with the consent of the
applicable Issuing Lender and the Applicant Party to a date not later than the
seventh Business Day prior to the Maturity Date, and (b) any Letter of
Credit may be amended in any other manner with the consent of the applicable
Issuing Lender and the Applicant Party so long as such Letter of Credit, as so
amended, complies with Section 2.07 of this Agreement.

 

SECTION 8.06.    Successors and Assigns.

 

(a)   Binding Agreement. 
The provisions of this Agreement shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns,
except that the Applicant Party may not assign or otherwise transfer any of its
rights under this Agreement without the consent of each Lender.

 

(b)   Successors and Assigns. 
(i)     Each Lender may assign to
one or more banks or other entities all or a portion of its rights and
obligations under this Agreement (including, without limitation, all or a
portion of its Commitments and LC Exposure held by it); provided, however,
that (A) each such assignment shall be of a constant, and not a varying,
percentage of all rights and obligations under this Agreement, (B) the
aggregate amount of the Commitments and LC Exposure of the assigning Lender
being assigned pursuant to each such assignment shall (1) not be less than
$5,000,000 and shall be an integral multiple of $1,000,000 or (2) be the
remaining amount of such Lender’s Commitments and LC Exposure, (C) each
such assignment 

 

48

 

and proposed assignee is subject to the prior
written consent of the Administrative Agent, the Issuing Lenders and, so long
as no Default has occurred and is continuing, the Applicant Party (which
consents shall not be unreasonably withheld); provided, however,
that the consent of the Administrative Agent and the Applicant Party shall not
be required with respect to any such assignment by any Lender to (x) an
Affiliate of such Lender, (y) an Approved Fund or (z) another Lender,
(D) no such assignment shall be made to the Applicant Party or any of the
Applicant Party’s Affiliates or Subsidiaries, (E) no such assignment shall
be made to a natural person, (F) no such assignment may be made to a
competitor of the Applicant Party and (G) the assigning Lender shall pay
or cause to be paid to the Administrative Agent a processing and recordation
fee of $3,500 (except in the case of an assignment to an Affiliate of the
assigning Lender). For each assignment, the parties to such assignment shall
execute and deliver to the Administrative Agent for its acceptance and
recording an Assignment and Assumption Agreement, together with such forms,
certificates or other evidence, if any, with respect to United States federal
income tax withholding matters as the assignee under such Assignment and
Assumption Agreement may be required to deliver pursuant to Section 2.16.  Upon such execution, delivery, acceptance and
recording by the Administrative Agent, from and after the effective date
specified in such Assignment and Assumption Agreement, the assignee thereunder
shall be a party hereto and, to the extent provided in such Assignment and
Assumption Agreement, the assignor Lender thereunder shall be released from its
obligations under the Credit Documents. From and after the effective date of
any such assignment (1) the assignee thereunder shall be a party hereto
and, to the extent that rights and obligations hereunder have been assigned to
it pursuant to such assignment, have (in addition to any such rights and
obligations theretofore held by it) the rights and obligations of a Lender
hereunder, shall have Commitments equal to the Commitments assigned to it (in
addition to any Commitments theretofore held by it), and shall have LC Exposure
equal to the LC Exposure assigned to it (in addition to any LC Exposure
theretofore held by it) and (2) the assignor thereunder shall, to the
extent that rights and obligations hereunder have been assigned by it pursuant
to such assignment, relinquish its rights (other than any rights which survive
the termination of this Agreement under Section 8.03) and be
released from its obligations under this Agreement (and, in the case of an
assignment covering all or the remaining portion of an assigning Lender’s
rights and obligations under this Agreement, such Lender shall cease to be a
party hereto).  From time to time, at the
request of any Lender, the Administrative Agent shall notify the Lenders of the
current Commitments of all Lenders.

 

(c)   Sub-Participations. 
Subject to Section 8.06(d), a Lender may at any time grant
sub-participations to one or more banks or other entities in or to all or any part
of its rights and obligations under this Agreement, and to the extent of any
such sub-participation (unless otherwise stated therein and except as provided
below) the purchaser of such sub-participation shall, to the fullest extent
permitted by law, have the same rights and benefits hereunder as it would have
if it were such Lender hereunder; provided, however, that (i) such
Lender’s obligations under this Agreement shall remain unchanged,
(ii) such Lender shall remain solely responsible to the other parties
hereto for the performance of such obligations and (iii) the Applicant
Party, the Administrative Agent, the Lenders and the Issuing Lenders shall
continue to deal solely and directly with such Lender in connection with such
Lender’s rights and obligations under this Agreement. Any agreement pursuant to
which any Lender may grant such a participating interest shall provide that
such Lender shall retain the sole right and responsibility to enforce the
obligations of the Applicant Party hereunder, including, without limitation,
the right to approve any amendment, modification or waiver of any provision of
this Agreement; provided that such sub-participation agreement may
provide that such Lender will not agree to any 

 

49

 

modification, amendment or waiver of this Agreement
described in clause (i), (ii), (iii) or (iv) of
Section 8.05 without the consent of the participant. Each Lender
agrees to notify the Applicant Party and the Administrative Agent of the amount
of each such sub-participation and the identity of each such sub-participant.

 

(d)   Lender Treated as Owner. 
The Administrative Agent, the Issuing Lenders and the Applicant Party
may, for all purposes of this Agreement, treat any Lender as the owner and
holder of LC Exposure until written notice of assignment shall have been
received by them.

 

(e)   No Right to Greater Payment.  No assignee, participant or other transferee
of any Lender’s rights shall be entitled to receive any greater payment under Section 2.17
than such Lender would have been entitled to receive with respect to the rights
transferred, unless such transfer is made (i) with the Applicant Party’s
prior written consent (which consent shall not be unreasonably withheld) or by
reason of the provisions of this Agreement requiring such Lender to designate a
different Lending Office under certain circumstances, or (ii) at a time
when the circumstances giving rise to such greater payment did not exist.

 

(f)    Electronic Execution of Assignments.  The words “execution,” “signed,” “signature,”
and words of like import in any Assignment and Assumption Agreement shall be
deemed to include electronic signatures or the keeping of records in electronic
form, each of which shall be of the same legal effect, validity or
enforceability as a manually executed signature or the use of a paper-based
recordkeeping system, as the case may be, to the extent and as provided for in
any applicable law, including the Federal Electronic Signatures in Global and
National Commerce Act, the New York State Electronic Signatures and Records
Act, or any other similar state laws based on the Uniform Electronic
Transactions Act.

 

(g)   Certain Pledges.  Any
Lender may at any time pledge or assign a security interest in all or any portion
of its rights under this Agreement to secure obligations of such Lender,
including any pledge or assignment to secure obligations to a Federal Reserve
Bank; provided that no such pledge or assignment shall release such
Lender from any of its obligations hereunder or substitute any such pledgee or
assignee for such Lender as a party hereto.

 

SECTION 8.07.    Collateral.

 

Each
of the Lenders represents to the Administrative Agent and each of the other
Lenders that it in good faith is not relying upon any “margin stock” (as
defined in Regulation U) as collateral in the extension or maintenance of the
credit provided for in this Agreement.

 

SECTION 8.08.    Governing Law.

 

THIS
AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF
THE STATE OF NEW YORK.

 

50

 

SECTION 8.09.    Counterparts; Effectiveness.   This
Agreement may be signed in any number of counterparts, each of which shall be
an original, with the same effect as if the signatures thereto and hereto were
upon the same instrument. Delivery of an executed counterpart of a signature page of
this Agreement by telecopy shall be effective as delivery of a manually
executed counterpart of this Agreement.

 

SECTION 8.10.    Confidentiality.

 

In
accordance with normal procedures regarding proprietary information supplied by
customers, each of the Lenders agrees to keep confidential information relating
to the Applicant Party or any Related Entity received pursuant to or in
connection with this Agreement and the transactions contemplated hereby (the “Information”),
provided that nothing herein shall be construed to prevent the
Administrative Agent, any Issuing Lender or any Lender from disclosing such
Information (i) upon the order of any court or administrative agency, (ii) upon
the request or demand of any regulatory agency or authority having jurisdiction
over the Administrative Agent, such Issuing Lender or such Lender or any of
their respective Affiliates, (iii) which has been publicly disclosed (other
than as a result of a breach of this Section), (iv) which has been
lawfully obtained on a nonconfidential basis by the Administrative Agent, any
Issuing Lender or any of the Lenders from a Person other than the Applicant
Party, any Related Entity, the Administrative Agent, any Issuing Lender or any
other Lender, (v) to any participant in or assignee of, or prospective
participant in or assignee of, all or any part of the rights and obligations of
the Administrative Agent, such Issuing Lender or such Lender under this
Agreement or to any actual or prospective counterparty (or its advisors) to any
securitization, swap or derivative transaction relating to the Applicant Party,
any Related Entity, and the Obligations (provided that such participant, assignee or
counterparty, or
prospective participant, assignee or counterparty agrees to comply with the
confidentiality requirements set forth in this Section 8.10), (vi) to
the Administrative Agent’s, such Issuing Lender’s or such Lender’s independent
auditors or outside legal counsel, (vii) to its Affiliates (it being understood that the Persons to whom
such disclosure is made will be informed of the confidential nature of such
Information and instructed to keep such Information confidential), (viii) to
any other party to this Agreement or (ix) to the extent required in
connection with any litigation relating to this Agreement to which the
Administrative Agent, such Issuing Lender or such Lender is a party (and the
Administrative Agent, such Issuing Lender or such Lender shall use its
commercially reasonable efforts to give prior notice of any such disclosure
under this clause (ix) to the extent permitted by applicable law).

 

Each
of the Administrative Agent, the Lenders and the Issuing Lenders acknowledges
that (a) the Information may include material non-public information
concerning the Applicant Party or a Related Entity, as the case may be, (b) it
has developed compliance procedures regarding the use of material non-public
information and (c) it will handle such material non-public information in
accordance with applicable law, including Federal and state securities laws.

 

SECTION 8.11.    Captions.

 

All
Section headings are inserted for convenience of reference only and shall
not be used in any way to modify, limit, construe or otherwise affect this
Agreement.

 

51

 

SECTION 8.12.    Severability.

 

If
any provision of this Agreement or the other Credit Documents is held to be
illegal, invalid or unenforceable, (a) the legality, validity and
enforceability of the remaining provisions of this Agreement and the other
Credit Documents shall not be affected or impaired thereby and (b) the
parties shall endeavor in good faith negotiations to replace the illegal,
invalid or unenforceable provisions with valid provisions the economic effect
of which comes as close as possible to that of the illegal, invalid or
unenforceable provisions.  The invalidity
of a provision in a particular jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction.

 

SECTION 8.13.    Integration.

 

All
exhibits to a Credit Document shall be deemed to be a part thereof.  The Credit Documents embody the entire
agreement and understanding among the Applicant Party, the Administrative
Agent, the Issuing Lenders and the Lenders with respect to the subject matter
thereof and supersede all prior agreements and understandings among the
Applicant Party, the Administrative Agent and the Lenders with respect to the
subject matter thereof.

 

SECTION 8.14.    CONSENT TO JURISDICTION;
WAIVER OF VENUE.

 

(a)           THE APPLICANT PARTY IRREVOCABLY AND
UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE
JURISDICTION OF THE COURTS OF THE STATE OF  NEW YORK SITTING IN NEW YORK COUNTY OR OF THE UNITED STATES FOR THE
SOUTHERN DISTRICT OF NEW YORK
AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION OR PROCEEDING
ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER CREDIT DOCUMENT, OR
FOR RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO
IRREVOCABLY AND UNCONDITIONALLY AGREES THAT ALL CLAIMS IN RESPECT OF ANY SUCH
ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN SUCH NEW YORK STATE COURT OR, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, IN SUCH FEDERAL COURT.  EACH OF THE PARTIES HERETO AGREES THAT A
FINAL JUDGMENT IN ANY SUCH ACTION OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE
ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT OR IN ANY OTHER MANNER
PROVIDED BY LAW.  NOTHING IN THIS
AGREEMENT OR IN ANY OTHER CREDIT DOCUMENT SHALL AFFECT ANY RIGHT THAT THE
ADMINISTRATIVE AGENT, ANY LENDER OR ANY ISSUING LENDER MAY OTHERWISE HAVE
TO BRING ANY ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER
CREDIT DOCUMENT AGAINST THE APPLICANT PARTY OR ITS PROPERTIES IN THE COURTS OF
ANY JURISDICTION.

 

(b)           THE APPLICANT PARTY IRREVOCABLY AND
UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY
OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY
ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER
CREDIT DOCUMENT IN ANY COURT REFERRED TO IN PARAGRAPH (a) OF THIS
SECTION.  EACH OF THE PARTIES HERETO
HEREBY 

 

52

 

IRREVOCABLY
WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE DEFENSE OF AN
INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH ACTION OR PROCEEDING IN ANY SUCH
COURT.

 

SECTION 8.15.    Service of Process.

 

EACH
PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED
FOR NOTICES IN SECTION 8.01. 
NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY HERETO TO
SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.

 

SECTION 8.16.    No Advisory or Fiduciary
Responsibility.

 

In
connection with all aspects of each transaction contemplated hereby, the
Applicant Party acknowledges and agrees,
and acknowledges its Affiliates’ understanding, that: (i) the
credit facility provided for
hereunder and any related arranging or other services in connection therewith
(including in connection with any amendment, waiver or other modification
hereof or of any other Credit Document) are an arm’s-length commercial
transaction between the Applicant Party and its Affiliates, on the one hand, and the Administrative Agent, the
Joint Book Managers and the Sole Lead
Arranger, on the other hand, and the Applicant Party is capable of evaluating and
understanding and understands and accepts the terms, risks and conditions of
the transactions contemplated hereby and by the other Credit Documents
(including any amendment, waiver or other modification hereof or thereof); (ii) in
connection with the process leading to such transaction, the Administrative
Agent, each Joint Book Manager and the
Sole Lead Arranger each is and has been acting solely as a principal and
is not the financial advisor, agent or fiduciary, for the Applicant Party or
any of its Affiliates,
stockholders, creditors or employees or any other Person; (iii) none of
the Administrative Agent, any Joint Book Manager nor the Sole Lead Arranger has assumed or will assume an
advisory, agency or fiduciary responsibility in favor of the Applicant Party
with respect to any of the transactions contemplated hereby or the process
leading thereto, including with respect to any amendment, waiver or other
modification hereof or of any other Credit Document (irrespective of whether
the Administrative Agent, any Joint Book Manager or the Sole Lead Arranger has advised or is currently advising the
Applicant Party or any of its Affiliates
on other matters) and none of the Administrative Agent, any Joint Book Manager nor the Sole Lead Arranger has any
obligation to the Applicant Party or any of its Affiliates with respect to the transactions contemplated
hereby except those obligations expressly set forth herein and in the other
Credit Documents; (iv) the Administrative Agent, any Joint Book Manager and the Sole Lead Arranger and their
respective Affiliates may be engaged in a broad range of transactions that
involve interests that differ from those of the Applicant Party and its Affiliates, and none of the
Administrative Agent, any Joint Book Manager nor the Sole Lead Arranger has any obligation to disclose any of
such interests by virtue of any advisory, agency or fiduciary relationship; and
(v) the Administrative Agent, the Joint Book Managers and the Sole Lead Arranger have not
provided and will not provide any legal, accounting, regulatory or tax advice
with respect to any of the transactions contemplated hereby (including any amendment,
waiver or other modification hereof or of any other Credit Document) and the
Applicant Party has consulted its own legal, accounting, regulatory and tax
advisors to the extent it has deemed appropriate.  The
Applicant Party hereby waives and releases, to the fullest extent permitted by
law, any claims that it may have against the Administrative Agent, the Joint
Book Managers and the Sole Lead
Arranger with respect to any breach or alleged breach of agency or
fiduciary duty.

 

53

 

SECTION 8.17.    WAIVER OF TRIAL BY JURY.

 

EACH
PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL
PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT
OR ANY OTHER CREDIT DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY
(WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO
REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER 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 PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT
AND THE OTHER CREDIT DOCUMENTS BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND
CERTIFICATIONS IN THIS SECTION.

 

SECTION 8.18.    Interest Rate Limitation.

 

Notwithstanding
anything to the contrary contained in any Credit Document, the interest paid or
agreed to be paid under the Credit Documents shall not exceed the maximum rate
of non-usurious interest permitted by applicable law (the “Maximum Rate”).  If the Administrative Agent or any Lender
shall receive interest in an amount that exceeds the Maximum Rate, the excess
interest shall be applied to the principal of the outstanding LC Disbursements
or, if it exceeds such unpaid principal, refunded to the Applicant Party.  In determining whether the interest
contracted for, charged, or received by the Administrative Agent or a Lender
exceeds the Maximum Rate, such Person may, to the extent permitted by
applicable law, (a) characterize any payment that is not principal as an
expense, fee, or premium rather than interest, (b) exclude voluntary
prepayments and the effects thereof, and (c) amortize, prorate, allocate,
and spread in equal or unequal parts the total amount of interest throughout
the contemplated term of the Obligations hereunder.

 

SECTION 8.19.    Judgment Currency.

 

(a)   If for the purposes of obtaining judgment in any court it is
necessary to convert a sum due hereunder in Dollars into another currency under
this Agreement or any other Credit Document, the parties hereto agree, to the
fullest extent that they may effectively do so, that the rate of exchange used
will be that at which in accordance with normal banking procedures the
Administrative Agent could purchase Dollars with such other currency in the
City of San Francisco at 10:00 a.m. (San Francisco time) on the Business
Day preceding that on which final judgment is given.

 

(b)   The Applicant Party’s obligations hereunder shall be required to
be satisfied in Dollars.  The obligation
of the Applicant Party in respect of any sum due from it to any Credit Party
hereunder will, notwithstanding any judgment in a currency other than Dollars,
be discharged only to the extent the recipient thereof may in accordance with
normal banking procedures purchase Dollars (after subtracting all expenses
incurred in converting such currency to Dollars) with such other currency on
the Business Day immediately following such receipt; if the Dollars so
purchased are less than the sum originally due to the recipient in Dollars, the

 

54

 

Applicant Party agrees, as a separate obligation and
notwithstanding any judgment, to indemnify the recipient against such loss,
and, if the Dollars so purchased exceed the sum originally due to the recipient
in Dollars, the recipient agrees to remit to the Applicant Party such excess
(after subtracting all expenses incurred in converting such currency to
Dollars).

 

(c)   The agreements in this Section 8.19 shall survive
payment of any such judgment.

 

SECTION 8.20.    USA PATRIOT Act.   Each
Lender that is subject to the Patriot Act (as hereinafter defined) and the
Administrative Agent (for itself and not on behalf of any Lender) hereby
notifies the Applicant Party that pursuant to the requirements of the USA
PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26,
2001)) (the “Patriot Act”), it is required to obtain, verify and record
information that identifies the Applicant Party and each Related Entity, which
information includes the name and address of the Applicant Party and each
Related Entity and other information that will allow such Lender or the
Administrative Agent, as applicable, to identify the Applicant Party and each
Related Entity in accordance with the Patriot Act.  The
Applicant Party will, and will cause each of its Subsidiaries to,
provide, to the extent commercially reasonable or required by requirements of
law, such information and take such actions as are reasonably requested by the
Administrative Agent or any Lender to assist the Administrative Agent and the
Lenders in maintaining compliance with the Patriot Act.

 

[signature pages follow]

 

55

 

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

 

	
   

  	
  FLUOR CORPORATION,

  
	
   

  	
  as
  the Applicant Party

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Joanna M. Oliva

  
	
   

  	
   

  	
  J.M.
  Oliva

  
	
   

  	
   

  	
  Vice
  President and Treasurer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address:

  
	
   

  	
   

  
	
   

  	
  6700
  Las Colinas Boulevard

  
	
   

  	
  Irving, Texas 75039

  
	
   

  	
  Attention:
  Vice President and Treasurer

  
	
   

  	
  Telecopier:
  (469) 398-7285

  
	
   

  	
  Electronic
  Mail: Joanna.Oliva@fluor.com

  
	
   

  	
  Website
  Address: www.fluor.com

  

 

Signature Page to

Letter of Credit Facility
Agreement

 

 

	
   

  	
  BNP PARIBAS, as Administrative Agent,
  an Issuing Lender and as a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Jamie Dillon

  
	
   

  	
   

  	
  Name:
  Jamie Dillon

  
	
   

  	
   

  	
  Title:
  Managing Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Deborah Scholl

  
	
   

  	
   

  	
  Name:
  Deborah Scholl

  
	
   

  	
   

  	
  Title:
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Lending
  Office:

  
	
   

  	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  One
  Front Street, 23rd Floor

  
	
   

  	
  San
  Francisco, California 94111

  
	
   

  	
   

  
	
   

  	
  Addresses
  for Notices to BNPP as Administrative Agent:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  One
  Front Street, 23rd Floor

  
	
   

  	
  San
  Francisco, California 94111

  
	
   

  	
   

  
	
   

  	
  Attention:
  Jamie Dillon

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail: jamie.dillon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Joseph Mack

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail: joseph.mack@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  With
  copies to:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  787
  Seventh Avenue

  
	
   

  	
  New
  York, New York 10019

  
	
   

  	
  Attention:
  Terri Knuth

  
	
   

  	
  Telecopier: (212) 841-2275

  
	
   

  	
  Electronic
  Mail: terri.knuth@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  525 Washington Boulevard

  
	
   

  	
  Jersey
  City, New Jersey 07310

  

 

Signature Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  Attention:
  Bindu Menon

  
	
   

  	
  Telecopier:
  (201) 850-4021

  
	
   

  	
  Electronic
  Mail: bindu.menon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention: Thomas Kunz

  
	
   

  	
  Telecopier: (201) 850-4021

  
	
   

  	
  Electronic Mail: thomas.kunz@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Addresses
  for Notices to BNPP as an Issuing Lender and for Other Notices relating to
  Letters of Credit:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  One
  Front Street, 23rd Floor

  
	
   

  	
  San
  Francisco, California 94111

  
	
   

  	
   

  
	
   

  	
  Attention:
  Nicholas Rogers

  
	
   

  	
  Telecopier:
  (212) 841-3830

  
	
   

  	
  Electronic
  Mail: nicholas.rogers@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Jamie Dillon

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail: jamie.dillon@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Joseph Mack

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail: joseph.mack@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention:
  Deborah Scholl

  
	
   

  	
  Telecopier:
  (415) 291-0563

  
	
   

  	
  Electronic
  Mail: deborah.scholl@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  With
  copies to:

  
	
   

  	
   

  
	
   

  	
  BNP
  Paribas

  
	
   

  	
  525 Washington Boulevard

  
	
   

  	
  Jersey
  City, New Jersey 07310

  
	
   

  	
   

  
	
   

  	
  Attention:
  Maria Albuquerque

  
	
   

  	
  Telecopier:
  (201) 850-4021

  

 

Signature
Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  Electronic Mail:

  
	
   

  	
  maria.albuquerque@americas.bnpparibas.com

  
	
   

  	
   

  
	
   

  	
  Attention: Maritza Leung

  
	
   

  	
  Telecopier: (201) 850-4021

  
	
   

  	
  Electronic Mail: maritza.leung@americas.bnpparibas.com

  

 

Signature Page to

Letter of Credit Facility
Agreement

 

 

	
   

  	
  STANDARD CHARTERED BANK,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Richard VandeBerghe

  
	
   

  	
  Name:

  	
  Richard
  VandeBerghe

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Robert K. Reddington

  
	
   

  	
  Name:
  

  	
  Robert
  K. Reddington

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  Standard
  Chartered Bank

  
	
   

  	
  One
  Madison Avenue, 3rd Floor

  
	
   

  	
  New
  York, NY 10010

  
	
   

  	
  Attention:
  Richard VandeBerghe

  
	
   

  	
  Tel:
  212 667 0645

  
	
   

  	
  Fax:
  212 667 0273

  
	
   

  	
  Email:
  Richard.vandeberghe@sc.com

  
	
   

  	
   

  
	
   

  	
  Cc:

  
	
   

  	
   

  
	
   

  	
  Standard
  Chartered Bank

  
	
   

  	
  Two
  Gateway Center, 13th Floor

  
	
   

  	
  Newark,
  NY 07102

  
	
   

  	
  Attention:
  Robert Reddington/Victoria Faltine

  
	
   

  	
  Tel:
  201 706 5611 / 201 706 5311

  
	
   

  	
  Fax:
  201 706 6722 / 201 706 6722

  
	
   

  	
  Email:
  Robert.reddington@sc.com / Victoria.faltine@sc.com

  

 

Signature Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  D. Barnell

  
	
   

  	
  Name:

  	
  D.
  Barnell

  
	
   

  	
  Title:

  	
  Authorized
  Signatory

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  2001
  Ross Avenue, Suite 3150

  
	
   

  	
  Dallas,
  TX 75201

  

 

Signature Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  BANCO SANTANDER S.A., NEW YORK BRANCH,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Sen Louie

  
	
   

  	
  Name:

  	
  Sen
  Louie

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Harry Moreno

  
	
   

  	
  Name:

  	
  Harry
  Moreno

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  	
   

  
	
   

  	
  45
  East 53rd Street

  
	
   

  	
  New
  York, NY 10022

  
	
   

  	
  USA

  
	
   

  	
   

  	
   

  

 

Signature
Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  CALYON NEW YORK BRANCH,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Andre Gazal

  
	
   

  	
  Name:

  	
  Andre
  Gazal

  
	
   

  	
  Title:

  	
  Managing
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:
  

  	
  /s/
  Thibault Berger

  
	
   

  	
  Name:

  	
  Thibault
  Berger

  
	
   

  	
  Title:

  	
  Senior
  Associate

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  	
   

  
	
   

  	
  Calyon
  New York Branch

  
	
   

  	
  L/C
  Department

  
	
   

  	
  1301
  Avenue of the Americas

  
	
   

  	
  New
  York, NY 10019

  
	
   

  	
   

  	
   

  
	
   

  	
  Attn:

  	
  Tommaso
  Puglisi

  
	
   

  	
   

  	
  Phone:
  732-590-7506

  
	
   

  	
   

  	
  Fax:
  732-590-7697

  
	
   

  	
  Email:

  	
  tommaso.puglisi@us.calyon.com

  
	
   

  	
   

  	
   

  
	
   

  	
  Or

  	
  Vincent
  Montalto

  
	
   

  	
   

  	
  Phone:
  732-590-7626

  
	
   

  	
   

  	
  Fax:
  732-590-7697

  
	
   

  	
  Email:

  	
  Vincent.montalto@us.calyon.com

  

 

Signature
Page to

Letter
of Credit Facility Agreement

 

 

	
   

  	
  THE BANK OF NOVA SCOTIA,

  
	
   

  	
  as
  a Lender

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Ning Cai

  
	
   

  	
  Name:

  	
  Ning
  Cai

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address
  for Notices:

  
	
   

  	
   

  
	
   

  	
  580
  California Street

  
	
   

  	
  Suite 2100

  
	
   

  	
  San
  Francisco, CA 94104

  

 

Signature Page to

Letter of Credit Facility Agreement

 

 

Schedule 1.01(a)

 

COMMITMENTS AND APPLICABLE
PERCENTAGES

 

	
  Lender

  	
   

  	
  Commitment

  	
   

  	
  Applicable Percentage

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  BNP Paribas

  	
   

  	
  $

  	
  120,000,000

  	
   

  	
  24

  	
  %

  
	
  Standard
  Chartered Bank

  	
   

  	
  $

  	
  100,000,000

  	
   

  	
  20

  	
  %

  
	
  The Bank of
  Tokyo-Mitsubishi UFJ, Ltd.

  	
   

  	
  $

  	
  100,000,000

  	
   

  	
  20

  	
  %

  
	
  Banco
  Santander S.A., New York Branch

  	
   

  	
  $

  	
  60,000,000

  	
   

  	
  12

  	
  %

  
	
  Calyon New
  York Branch

  	
   

  	
  $

  	
  60,000,000

  	
   

  	
  12

  	
  %

  
	
  The Bank of
  Nova Scotia

  	
   

  	
  $

  	
  60,000,000

  	
   

  	
  12

  	
  %

  
	
  Totals

  	
   

  	
  $

  	
  500,000,000

  	
   

  	
  100

  	
  %

  

 

 

Schedule 5.08

 

EXISTING LIENS

 

None.

 

 

EXHIBIT A

 

FORM OF OPINION OF

COUNSEL FOR THE APPLICANT
PARTY

 

September 16, 2009

 

To the Lenders,

the Administrative Agent and the Issuing Lenders

Referred to Below

 

I have acted as counsel for
Fluor Corporation, a publicly traded Delaware corporation (the “Applicant
Party”), in connection with the Letter of Credit Facility Agreement (the “Letter
of Credit Facility Agreement”) dated as of September 16, 2009 among
the Applicant Party, the lenders party thereto from time to time, and BNP
Paribas, as Administrative Agent and an Issuing Lender.  Terms defined in the Letter of Credit
Facility Agreement are used herein as therein defined. This opinion is
delivered pursuant to Section 3.01(b) of the Letter of Credit
Facility Agreement.

 

I have examined originals or
copies, certified or otherwise identified to my satisfaction, of such
documents, corporate records, certificates of public officials and other
instruments and have conducted such other investigations of fact and law as I
have deemed necessary or advisable for purposes of this opinion.  In such examination, except as applied to the
Applicant Party with respect to the Letter of Credit Facility Agreement, I
have assumed the genuineness of all signatures, the legal capacity of natural
persons, the authenticity of all documents submitted to me as originals, the
conformity to original documents of all documents submitted to me as certified,
conformed or photostatic copies and the authenticity of such latter
documents.  As used herein, “to my
knowledge” and “of which I am aware” means the conscious awareness of facts or
other information by me without independent investigation.

 

Upon the basis of the
foregoing, I am of the opinion that:

 

1.                                       The Applicant
Party is a corporation duly incorporated, validly existing and in good standing
under the laws of the State of Delaware and has all corporate powers and all
material governmental licenses, authorizations, consents and approvals required
to carry on its business as now conducted.

 

2.                                       The execution,
delivery and performance by the Applicant Party of the Letter of Credit
Facility Agreement are within the Applicant Party’s corporate powers, have been
duly authorized by all necessary corporate action, require no action by or in
respect of, or filing with, any governmental body, agency or official, and do
not contravene or constitute a default under any provision of applicable law or
regulation, or of the restated certificate of incorporation or by-laws of the
Applicant Party, or, to my knowledge after due inquiry, of any material
agreement, judgment, injunction, order, decree or other instrument binding upon
the Applicant Party, or result in the creation or imposition of any Lien on any
asset of the Applicant Party or any of its Subsidiaries.

 

A-1

 

3.                                       The Letter of
Credit Facility Agreement has been duly executed and delivered on behalf of the
Applicant Party and, assuming the due execution and delivery by the other
parties thereto, constitutes the legal, valid and binding obligations of the
Applicant Party, enforceable against the Applicant Party in accordance with its
terms, except that enforcement may be limited by bankruptcy, insolvency,
reorganization, moratorium, or similar laws, or by equitable principles
relating to or limiting the rights of creditors generally.

 

4.                                       There is no
action, suit or proceeding pending against, or to my knowledge threatened
against or affecting, the Applicant Party or any of its Subsidiaries before any
court or arbitrator, or any governmental body, agency or official, which could
reasonably be expected to have a material adverse effect on the business,
consolidated financial position or consolidated results of operations of the
Applicant Party and its Consolidated Subsidiaries, taken as in whole, and the
Applicant Party’s ability to perform its obligations under the Credit Documents
at any time up to and including the Maturity Date, or which in any manner draws
into question the legality, validity or enforceability of the Letter of Credit
Facility Agreement.

 

5.                                       Each of the
Applicant Party’s Material Subsidiaries is a corporation duly incorporated,
validly existing and in good standing under the laws of its jurisdiction of
incorporation and has all corporate powers and all material governmental
licenses, authorizations, consents and approvals required to carry on its
business as now conducted.

 

6.                                       The Applicant
Party is not an “investment company” within the meaning of the Investment
Company Act of 1940, as amended.

 

My opinion in paragraph 3
above as to the enforceability of the Letter of Credit Facility Agreement is
subject to:

 

(a)                                  public policy
considerations, statutes or court decisions that may limit the rights of a
party to obtain indemnification against its own negligence, willful misconduct
or unlawful conduct; and

 

(b)                                 the unenforceability
under some circumstances of broadly and vaguely stated waivers or waivers of
rights granted by law where the waivers are against public policy or prohibited
by law.

 

I express no opinion with
respect to your ability to collect attorneys’ fees and costs in an action
involving the Letter of Credit Facility Agreement if you are not the prevailing
party in that action.  I express no
opinion as to any provision in the Letter of Credit Facility Agreement requiring
written amendments and waivers insofar as it suggests that oral or other
modifications, amendments or waivers could not be effectively agreed upon by
the parties or that the doctrine of promissory estoppel might not apply.  Finally, I express no opinion as to the
effect of non-compliance by you with any state or federal laws or regulation
applicable to the transactions contemplated by the Letter of Credit Facility
Agreement because of the nature of your business.

 

The opinions expressed above
are limited to the matters governed by the laws of the United States of
America, the State of California and the General Corporation Law of the State
of Delaware, in each case as they exist as of the date hereof, and I express no
opinion as to the laws of any other jurisdiction. For the purposes of paragraph 3 hereof, I have
assumed that the laws of

 

A-2

 

the State of New York, which is the governing law of the Letter of
Credit Facility Agreement, are the same as the laws of the State of California.

 

This opinion may not be
relied upon by any other party nor may copies be delivered or furnished to any
other party nor may all or portions of this opinion be quoted, circulated or
referred to in any other document without the Applicant Party’s written
consent, except that this opinion may be (i) disclosed to (x) regulatory
agencies or authorities having jurisdiction over you that request or require
such disclosure, and (y) any participant in or assignee of, or prospective
participant in or assignee of, all or any part of your rights or obligations
under the Letter of Credit Facility Agreement, and (ii) relied upon by
assignees and participants in the LC Exposure or Commitments and by any
successor Administrative Agent, in each case as though such assignees or participants
or successor Administrative Agent had been an addressee of this opinion on the
date hereof. I do not undertake to advise you of any changes in the opinion
expressed herein resulting from matters that might come or be brought to my
attention after the Closing Date.

 

	
   

  	
  Very truly yours,

  

 

A-3

 

 

EXHIBIT B

 

FORM OF
ASSIGNMENT AND ASSUMPTION AGREEMENT

 

This
Assignment and Assumption (this “Assignment and Assumption”) is dated as
of the Effective Date set forth below and is entered into by and between
[the][each](1) Assignor identified in item 1 below ([the][each, an] “Assignor”)
and [the][each](2) Assignee identified in item 2 below ([the][each, an] “Assignee”).  [It is understood and agreed that the rights
and obligations of [the Assignors][the Assignees](3) hereunder are several
and not joint.](4)  Capitalized terms used but not defined herein shall
have the meanings given to them in the Letter of Credit Facility Agreement
identified below (the “Letter of Credit Facility Agreement”), receipt of
a copy of which is hereby acknowledged by the Assignee.  The Standard Terms and Conditions set forth
in Annex 1 attached hereto are hereby agreed to and incorporated herein by
reference and made a part of this Assignment and Assumption as if set forth
herein in full.

 

For
an agreed consideration, [the][each] Assignor hereby irrevocably sells and
assigns to [the Assignee][the respective Assignees], and [the][each] Assignee
hereby irrevocably purchases and assumes from [the Assignor][the respective
Assignors], subject to and in accordance with the Standard Terms and Conditions
and the Letter of Credit Facility Agreement, as of the Effective Date inserted
by the Administrative Agent as contemplated below (i) all of [the Assignor’s][the
respective Assignors’] rights and obligations in [its capacity as a
Lender][their respective capacities as Lenders] under the Letter of Credit
Facility Agreement and any other documents or instruments delivered pursuant
thereto to the extent related to the amount and percentage interest identified
below of all of such outstanding rights and obligations of [the Assignor][the
respective Assignors] identified below (including, without limitation, Letters
of Credit included in such facility) and (ii) to the extent permitted to
be assigned under applicable law, all claims, suits, causes of action and any
other right of [the Assignor (in its capacity as a Lender)][the respective
Assignors (in their respective capacities as Lenders)] against any Person,
whether known or unknown, arising under or in connection with the Letter of
Credit Facility Agreement, any other documents or instruments delivered
pursuant thereto or the loan transactions governed thereby or in any way based
on or related to any of the foregoing, including, but not limited to, contract
claims, tort claims, malpractice claims, statutory claims and all other claims
at law or in equity related to the rights and obligations sold and assigned
pursuant to clause (i) above (the rights and obligations sold and assigned
by [the][any] Assignor to [the][any] Assignee pursuant to clauses (i) and (ii) above
being referred to herein collectively as [the][an] “Assigned Interest”).  Each such sale and assignment is without
recourse to [the][any] Assignor and, except as expressly provided in this
Assignment and Assumption, without representation or warranty by [the][any]
Assignor.

 

1.                                       Assignor[s]:

 

(1) 
For bracketed language here and elsewhere in this form relating to the
Assignor(s), if the assignment is from a single Assignor, choose the first
bracketed language.  If the assignment is
from multiple Assignors, choose the second bracketed language.

 

(2) 
For bracketed language here and elsewhere in this form relating to the
Assignee(s), if the assignment is to a single Assignee, choose the first
bracketed language.  If the assignment is
to multiple Assignees, choose the second bracketed language.

 

(3) 
Select as appropriate.

 

(4) 
Include bracketed language if there are either multiple Assignors or multiple
Assignees.

 

B-1

 

 

2.                                       Assignee[s]:

 

 

[for each Assignee, indicate
[Affiliate][Approved Fund] of [identify Lender]]

 

3.                                       Applicant Party:            Fluor
Corporation

 

4.                                       Administrative
Agent: BNP Paribas, as the administrative agent under the Letter of Credit
Facility Agreement

 

5.                                       Letter of
Credit Facility Agreement:     Letter of Credit Facility Agreement, dated as of September [    ],
2009, among Fluor Corporation, the Lenders from time to time party thereto, and
BNP Paribas, as Administrative Agent

 

6.                                       Assigned
Interest:

 

	
  Assignor[s](5)

  	
   

  	
  Assignee[s](6)

  	
   

  	
  Aggregate

  Amount of

  Commitments

  for all Lenders(7)

  	
   

  	
  Amount of

  Commitments

  Assigned

  	
   

  	
  Percentage

  Assigned of

  Commitments

  (8)

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
  $

  	
   

  	
   

  	
  %

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
  $

  	
   

  	
   

  	
  %

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
   

  	
  $

  	
   

  	
   

  	
  %

  

 

[7.                                   Trade Date:                                                                             ](9)

 

Effective
Date:                                ,
20    [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL BE
THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.]

 

The
terms set forth in this Assignment and Assumption are hereby agreed to:

 

	
   

  	
  ASSIGNOR

  
	
   

  	
  [NAME OF ASSIGNOR]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
  ASSIGNEE

  
	
   

  	
  [NAME OF ASSIGNEE]

  

 

(5) 
List each Assignor, as appropriate.

(6) 
List each Assignee, as appropriate.

(7) 
Amounts in this column and in the column immediately to the right to be
adjusted by the counterparties to take into account any payments or prepayments
made between the Trade Date and the Effective Date.

(8) 
Set forth, to at least 9 decimals, as a percentage of the Commitments of all
Lenders thereunder.

(9) 
To be completed if the Assignor and the Assignee intend that the minimum
assignment amount is to be determined as of the Trade Date.

 

B-2

 

 

	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  
	
  [Consented to and](10) Accepted:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  BNP PARIBAS, as

  	
   

  	
   

  
	
  an Issuing Lender and
  Administrative Agent

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  [Consented to:](11)

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  

 

(10) 
To be added only if the consent of the Issuing Lender and the Administrative
Agent is required by the terms of the Credit Agreement.

(11)  To be added only if the consent of the
Applicant Party and/or other parties (e.g. Issuing Lenders) is required by the
terms of the Credit Agreement.

 

B-3

 

ANNEX 1 TO ASSIGNMENT AND
ASSUMPTION

 

FLUOR CORPORATION

 

STANDARD TERMS AND CONDITIONS FOR

 

ASSIGNMENT AND ASSUMPTION

 

1.                           Representations
and Warranties.

 

1.1.                  Assignor.  [The][Each] Assignor (a) represents and
warrants that (i) it is the legal and beneficial owner of [the][[the
relevant] Assigned Interest, (ii) [the][such] Assigned Interest is free
and clear of any lien, encumbrance or other adverse claim and (iii) it has
full power and authority, and has taken all action necessary, to execute and
deliver this Assignment and Assumption and to consummate the transactions
contemplated hereby; and (b) assumes no responsibility with respect to (i) any
statements, warranties or representations made in or in connection with the
Letter of Credit Facility Agreement or any other Credit Document, (ii) the
execution, legality, validity, enforceability, genuineness, sufficiency or
value of the Credit Documents or any collateral thereunder, (iii) the
financial condition of the Applicant Party, any of its Subsidiaries or
Affiliates or any other Person obligated in respect of any Credit Document or (iv) the
performance or observance by the Applicant Party, any of its Subsidiaries or
Affiliates or any other Person of any of their respective obligations under any
Credit Document.

 

1.2.                  Assignee.  [The][Each] Assignee (a) represents and
warrants that (i) it has full power and authority, and has taken all
action necessary, to execute and deliver this Assignment and Assumption and to
consummate the transactions contemplated hereby and to become a Lender under
the Letter of Credit Facility Agreement, (ii) it meets all the
requirements to be an assignee under Section 8.06(b) of the
Letter of Credit Facility Agreement (subject to such consents, if any, as may
be required under Section 8.06(b) of the Letter of Credit
Facility Agreement), (iii) from and after the Effective Date, it shall be
bound by the provisions of the Letter of Credit Facility Agreement as a Lender
thereunder and, to the extent of [the][the relevant] Assigned Interest, shall
have the obligations of a Lender thereunder, (iv) it is sophisticated with
respect to decisions to acquire assets of the type represented by [the][such]
Assigned Interest and either it, or the Person exercising discretion in making
its decision to acquire [the][such] Assigned Interest, is experienced in
acquiring assets of such type, (v) it has received a copy of the Letter of
Credit Facility Agreement, and has received or has been accorded the
opportunity to receive copies of the most recent financial statements delivered
pursuant to Section 5.01 thereof, as applicable, and such other documents
and information as it deems appropriate to make its own credit analysis and
decision to enter into this Assignment and Assumption and to purchase [the][such]
Assigned Interest, (vi) it has, independently and without reliance upon
the Administrative Agent or any other Lender and based on such documents and
information as it has deemed appropriate, made its own credit analysis and
decision to enter into this Assignment and Assumption and to purchase
[the][such] Assigned Interest, and (vii) if it is a Foreign Lender,
attached hereto is any documentation required to be delivered by it pursuant to
the terms of the Letter of Credit Facility Agreement, duly completed and
executed by [the][such] Assignee; and (b) agrees that (i) it will,
independently and without reliance upon the Administrative Agent, [the][any]
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 Documents, and (ii) it
will perform in accordance with their terms all of the obligations which by the
terms of the Credit Documents are required to be performed by it as a Lender.

 

2.                           Payments.  From and after the Effective Date, the
Administrative Agent shall make all payments in respect of [the][each] Assigned
Interest (including payments of principal,

 

B-4

 

interest, fees and other amounts) to [the][the
relevant] Assignor for amounts which have accrued to but excluding the
Effective Date and to [the][the relevant] Assignee for amounts which have
accrued from and after the Effective Date.

 

3.                           General Provisions.  This Assignment and Assumption shall be
binding upon, and inure to the benefit of, the parties hereto and their
respective successors and assigns.  This
Assignment and Assumption may be executed in any number of counterparts, which
together shall constitute one instrument. 
Delivery of an executed counterpart of a signature page of this
Assignment and Assumption by telecopy shall be effective as delivery of a
manually executed counterpart of this Assignment and Assumption.  This Assignment and Assumption shall be
governed by, and construed in accordance with, the law of the State of New
York.  In the event of any inconsistency
between this Assignment and Assumption and the Letter of Credit Facility
Agreement, the provisions of the Letter of Credit Facility Agreement shall
govern.

 

B-5

 

EXHIBIT C

 

FORM OF
ASSISTANT SECRETARY’S CERTIFICATE

 

The undersigned, the Assistant Secretary of Fluor Corporation, a
Delaware corporation (the “Applicant Party”), hereby certifies pursuant
to Section 3.01(a)(ii) of the Letter of Credit Facility
Agreement (the “Agreement”; capitalized terms used herein but not
otherwise defined herein shall have the meanings assigned to such terms as set
forth in the Agreement), dated as of September 16, 2009, among the
Applicant Party, the Lenders thereunder, and BNP Paribas, in its capacity as
Administrative Agent and an Issuing Lender, that I am the duly appointed
Secretary of the Applicant Party, and further certify as follows:

 

1.                                       Annexed hereto
as Annex A is a true, complete and correct copy of all resolutions of
the Board of Directors of the Applicant Party, relating to the Agreement and
the transactions contemplated thereby, all of which resolutions are in full
force and effect on the date hereof.

 

2.                                       Annexed hereto
as Annexes B and C, respectively, are true, complete and correct
copies of the certificate of incorporation and the by-laws of the Applicant
Party, including, without limitation, all amendments thereof to the date
hereof, which certificate of incorporation and by-laws are presently in effect
on and as of the date hereof.

 

3.                                       The following
persons are duly elected or appointed, as the case may be, and qualified
officers of the Applicant Party holding the offices indicated opposite their
respective names, and the signatures appearing opposite their respective names
and offices are the genuine signatures of such persons:

 

	
  Name

  	
   

  	
  Title

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  J.M. Oliva

  	
   

  	
  Vice President and

  	
   

  	
   

  
	
   

  	
   

  	
  Treasurer

  	
   

  	
   

  

 

C-1

 

IN WITNESS WHEREOF, I have hereunto set my hand
this        day of September 2009.

 

 

	
   

  	
   

  
	
   

  	
  Eric P. Helm

  
	
   

  	
  Assistant Secretary

  

 

I, J.M. Oliva, hereby certify that I am the duly
elected or appointed, as the case may be, and qualified Vice President and
Treasurer of the Applicant Party, as of the date hereof.

 

 

	
   

  	
   

  
	
   

  	
  J.M. Oliva

  
	
   

  	
  Vice President and
  Treasurer

  

 

C-2

 

ANNEX A

 

TO

 

ASSISTANT SECRETARY’S
CERTIFICATE

 

RESOLUTIONS

 

 

ANNEX B

 

TO

 

ASSISTANT SECRETARY’S
CERTIFICATE

 

CERTIFICATE OF INCORPORATION

 

 

ANNEX C

 

TO

 

ASSISTANT SECRETARY’S
CERTIFICATE

 

BYLAWS

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