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EXHIBIT 10.18  

 
 

THIRD AMENDMENT TO NOTE PURCHASE AGREEMENT    
    

        This THIRD AMENDMENT TO NOTE PURCHASE AGREEMENT dated as of November 12, 2004 (this "Amendment"), among
AFFINITY GROUP, INC. (the "Borrower"), THE GUARANTORS PARTY HERETO (the "Guarantors"), THE
NOTEHOLDERS PARTY HERETO (the "Noteholders"), CANADIAN IMPERIAL BANK OF COMMERCE, as Syndication Agent (the "Syndication
Agent"), CANADIAN IMPERIAL BANK OF COMMERCE ("CIBC"), as Administrative Agent (the "Administrative
Agent"), and GENERAL ELECTRIC CAPITAL CORPORATION, as Documentation Agent (the "Documentation Agent" and together with the
Administrative Agent and the Syndication Agent, the "Agents"). 

        WHEREAS,
the Note Purchase Agreement (as defined below) provides that the Noteholders may make Term Loans to the Borrower; and 

        WHEREAS,
the Credit Parties wish to amend the Note Purchase Agreement to reduce the Applicable Margin for the Term B2 Loans; 

        NOW,
THEREFORE, in consideration of the foregoing and the agreements contained herein, the parties hereby agree as follows: 

        1.    Reference to Note Purchase Agreement.    Reference is made to the Amended and Restated Note Purchase Agreement
dated as of June 24, 2003, as amended by the First Amendment to the Note Purchase Agreement dated as of February 18, 2004, as amended by the Second Amendment to the Note Purchase
Agreement dated as of June 30, 2004, among the Borrower, the Guarantors, the Noteholders, the Syndication Agent, the Administrative Agent and the Documentation Agent (as amended on or prior to
the date hereof and as it may be further amended or amended and restated from time to time, the "Note Purchase Agreement"). Capitalized terms used
herein which are defined in the Note Purchase Agreement have the same meanings herein as therein, except to the extent that such meanings are amended hereby. 

        2.    Amendments to Note Purchase Agreement.    The Credit Parties, the Noteholders, and the Agents agree that the
Note Purchase Agreement is hereby amended, effective as of the date hereof, as follows: 

        (a)   The
definition of "Applicable Margin" is hereby amended by deleting the number "3.00%" in clause (i) and replacing
it with the number "2.00%" and further amended by deleting the number "4.00%" in clause (ii) and replacing it with the number "3.00%." 

        (b)   The
following definitions are hereby added to the Note Purchase Agreement in their appropriate alphabetical order: 

        "Second Amendment" means the Second Amendment to the Note Purchase Agreement dated as of June 30, 2004. 

        "Third Amendment" means the Third Amendment to the Note Purchase Agreement dated as of November 12, 2004. 

        3.    No Default; Representations and Warranties, etc.    The Credit Parties hereby confirm that: (a) the
representations and warranties of the Credit Parties contained in Article 4 of the Note Purchase Agreement are true on and as of the date hereof as if made on such date; (b) the Credit
Parties are in compliance in all material respects with all of the terms and provisions set forth in the Note Purchase Agreement on their part to be observed or performed thereunder; and
(c) after giving effect to this Amendment, no Event of Default, nor any event which with the giving of notice or expiration of any applicable grace period or both would constitute such an Event
of Default, shall have occurred and be continuing. 

 

        4.    Conditions to this Amendment.    This Amendment shall not become effective until the date on which each of the
following conditions is satisfied or waived in writing by the Term B1 Loan Lenders and Noteholders: 

        (a)    Counterparts of Amendment.    The Administrative Agent shall have received from the Credit Parties and each
Term B1 Loan Lender and Noteholder either (i) a counterpart of this Amendment signed on behalf of the Noteholders which are parties to the Note Purchase Agreement and an amendment to the Credit
Agreement signed on behalf of the Lenders which are parties to the Credit Agreement or (ii) written evidence satisfactory to the Administrative Agent (which may include telecopy transmission of
a signed signature page of this Amendment) that such parties have signed counterparts of such Agreements. 

        (b)    Other Documents.    The Administrative Agent shall have received such other documents as any Agent or Special
Counsel shall have reasonably requested. 

        (c)    Expenses.    The Administrative Agent shall have received all fees and other amounts due and payable on or
prior to the date hereof, including, to the extent invoiced, all reasonable expenses, including legal fees and disbursements incurred by the Administrative Agent in connection with this Amendment and
the transactions contemplated hereby and the reimbursement or payment of all other out-of-pocket expenses required to be reimbursed or paid by the Borrower under the Note
Purchase Agreement. 

        5.    Subsequent Term B2 Loan Repricing.    The Borrower and the Noteholders hereby agree that: 

        (a)   If,
during the period beginning on the day after the effective date of this Amendment and ending on the first anniversary thereof, the Borrower requests and obtains a
decrease in the Applicable Margin with respect to any Term B2 Loan (other than pursuant to a refinancing or an amendment and restatement of the Credit Agreement), with respect only to the first such
decrease in the Applicable Margin, the Borrower shall pay to the Administrative Agent, in immediately available funds, for the account of each Noteholder, a fee equal to 1% of the aggregate principal
amount of such Lender's Term B2 Loans then outstanding; provided that such fee shall be paid only to Noteholders which consent to such decrease; and 

        (b)   If
any Noteholder shall refuse to consent to any such request by the Borrower for a decrease in the Applicable Margin with respect to any Term B2 Loan and such request
has been approved by the Required Term Loan Lenders, then the Borrower shall have the right, if no Default then is continuing, to replace such Noteholder (the "Replaced
Noteholder") with one or more assignees as permitted by the Credit Agreement, which assignee(s) shall not be a Lender(s) who has defaulted in its obligations to fund Loans
hereunder (collectively, the "Replacement Noteholder"); provided, that each such Replacement Noteholder
satisfies all of the assignment requirements set forth in Section 10.4(b) of the Credit Agreement and the following additional requirements: 

        (i)    Each
such Replacement Noteholder shall consent to the request for a decrease in the Applicable Margin (and such Replacement Noteholder shall therefore be entitled to the
fee provided for in subsection (a) above); 

        (ii)   The
purchase price payable by the Replacement Noteholder to the Replaced Noteholder for the Replaced Noteholder's Term B2 Loans shall be 101% of the outstanding
principal amount of the assigned Term B2 Loans, plus all accrued, but unpaid, interest and fees and other amounts owing to the Replaced Noteholder on or prior to the date of replacement;  provided that
such purchase price shall apply only if such replacement occurs during the period beginning on the day after the effective date of this
Amendment and ending on the first anniversary thereof. 

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        6.    Miscellaneous.    

        (a)   Except
to the extent specifically amended or waived hereby, the Note Purchase Agreement, the Loan Documents and all related documents shall remain in full force and
effect. Whenever the terms or sections amended hereby shall be referred to in the Note Purchase Agreement, Loan Documents or such other documents (whether directly or by incorporation into other
defined terms), such defined terms shall be deemed to refer to those terms or sections as amended by this Amendment. The foregoing waivers shall apply solely to the provisions of the Note Purchase
Agreement specified herein for the periods and purposes specified herein. Nothing herein shall be deemed to constitute a modification, amendment or waiver of any other term or condition of the Note
Purchase Agreement. 

        (b)   This
Amendment may be executed in any number of counterparts, each of which, when executed and delivered, shall be an original, but all counterparts shall together
constitute one instrument. 

        (c)   This
Amendment shall be governed by the laws of the Commonwealth of Massachusetts and shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns. 

[The remainder of this page is intentionally left blank.]

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        IN
WITNESS WHEREOF, the parties hereto have executed this Amendment which shall be deemed to be a sealed instrument as of the date first above written. 

	 	 	BORROWER
	

 	
 	

AFFINITY GROUP, INC.
	

 	
 	

By:	
 	

/s/ THOMAS F. WOLFE
 Name: Thomas F. Wolfe

Title: Senior Vice President and Chief Financial Officer
	

 	
 	
SUBSIDIARIES/GUARANTORS
	

 	
 	

AFFINITY ADVERTISING, LP
	

 	
 	

By: VBI, INC., its General Partner
	

 	
 	

By:	
 	

/s/ THOMAS F. WOLFE
 Name: Thomas F. Wolfe

Title: Senior Vice President and Chief Financial Officer

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	 	 	AFFINITY BROKERAGE, INC.

AFFINITY ROAD AND TRAVEL CLUB, INC.

CAMP COAST TO COAST, INC.

CAMPING REALTY, INC.

CAMPING WORLD, INC.

CAMPING WORLD INSURANCE SERVICES OF NEVADA, INC.

COAST MARKETING GROUP, INC.

CWI, INC.

CW MICHIGAN, INC.

EHLERT PUBLISHING GROUP, INC.

GOLF CARD INTERNATIONAL CORP.

GOLF CARD RESORT SERVICES, INC.

GSS ENTERPRISES, INC.

POWER SPORTS MEDIA, INC.

TL ENTERPRISES, INC.

VBI, INC.
	

 	
 	

By:	
 	

/s/ THOMAS F. WOLFE
 Name: Thomas F. Wolfe

Title: Senior Vice President and Chief Financial Officer

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AGREEMENT OF HOLDING COMPANY AND    
    
    RATIFICATION OF NONRECOURSE GUARANTY    
    

        The undersigned hereby agrees to the provisions of Section 2 and 3 and as guarantor hereby acknowledges and consents to the foregoing Amendment as of the
date hereof, and agrees that the Amended and Restated Nonrecourse Guaranty and Pledge Agreement dated as of April 27, 2004 remains in full force and effect, and the undersigned confirms and
ratifies all of its obligations thereunder. 

	 	 	AGI HOLDING CORP.
	

 	
 	

By:	
 	

/s/ PAUL E. SCHEDLER
 Name: Paul E. Schedler

Title: Vice President

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	 	 	ADMINISTRATIVE AGENT and SYNDICATION AGENT
	

 	
 	

CANADIAN IMPERIAL BANK OF COMMERCE, as Administrative Agent and Syndication Agent
	

 	
 	

By:	
 	

/s/ JONATHAN RABINOWITZ
 Name: Jonathan Rabinowitz

Title: Executive Director CIBC World Markets Corp. As Agent

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THIRD AMENDMENT TO NOTE PURCHASE AGREEMENT

AGREEMENT OF HOLDING COMPANY AND RATIFICATION OF NONRECOURSE GUARANTYQuickLinks
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EXHIBIT 10.19  

 
 

AGREEMENT    
    

        This Agreement is made as of the 7th day of September, 2004 by and between CROSS COUNTRY MOTOR
CLUB, INC., a corporation duly organized and existing under the laws of the Commonwealth of Massachusetts ("Cross Country") and AFFINITY
GROUP, INC., a corporation duly organized and existing under the laws of the State of Delaware ("Affinity Group"). 

        WHEREAS,
Affinity Group and Cross Country desire that this Agreement apply to Affinity Group's "Good Sam Club," "Coast to Coast," "CVP," "Camping World," "RoadCare Classic" and any other
recreational vehicle club owned and/or operated by Affinity Group or any division or subsidiary of Affinity Group where the Club offers an emergency road service program or programs to its members
(collectively, "AGI Clubs"); and 

        WHEREAS,
Cross Country and Affinity Group are currently parties to an Agreement dated October 10, 1997, as amended on December 18, 2000 and again on December 29,
2003, which expires on December 31, 2004 (the "Prior Agreement), and wish to revise and restate their relationship as of the effective date of this Agreement. 

        NOW, FOR GOOD AND VALUABLE CONSIDERATION, receipt whereof is hereby severally acknowledged, the parties hereto agree as follows: 

        1.     During
the term hereof Cross Country agrees to perform the services described in Article 5 below on behalf of Affinity Group for the AGI Members, in accordance
with the terms hereof. As used herein, the term "AGI Members" shall mean all those members of AGI Clubs covered by this Agreement at any time during the term hereof who are entitled to the benefits of
an emergency road service program for non-commercial vehicles offered by any such AGI Clubs (the "Emergency Road Service Program," such expression to include such emergency road service
program for non-commercial vehicles however and wherever offered by Affinity Group). The services to be provided by Cross Country hereunder shall be provided in the fifty
(50) states and the District of Columbia of the United States, and all the provinces of Canada. Except for any acquisition by Affinity Group of an entity with contractual requirements for
provision of an emergency roadside service program by a third party (which requirements may be extended after their respective initial expiration or earlier termination), Cross Country shall be the
sole supplier of services for the Emergency Road Service Program during the term hereof, and, except with respect to any such excluded AGI Club, neither Affinity Group nor any division or subsidiary
of Affinity Group may provide any such services "in house" during the term hereof. Cross Country agrees that it will not directly or indirectly market or sell or disclose to any third party any of
Affinity Group's database information without the approval of Affinity Group. Cross Country will not knowingly provide motor club services and/or emergency roadside assistance services for any of the
entities included within the "Prohibited Group" (hereinafter defined). The parties hereto recognize that a breach of the covenants contained in this Article 1 would cause irreparable injury,
and damages at law would be difficult to ascertain. The parties hereto therefore consent to the granting of equitable relief by way of a restraining order or temporary or permanent injunction by any
court of competent jurisdiction to prohibit the breach or enforce the performance of the covenants contained in this Article 1, in addition to all other remedies which a court of competent
jurisdiction may eventual1y determine. As used herein, the term "Prohibited Group" shall mean and include those entities that are primarily and principally involved in the motor home and/or travel
trailer ("recreational vehicles") business and the provision to owners of recreational vehicles motor club emergency roadside assistance services. 

        2.     (a)
As a result of the Prior Agreement, Cross Country has already established a database of AGI Members in effect at the outset of this Agreement. Daily during the term
hereof, Affinity Group shall deliver to Cross Country a report setting forth: (i) the name and address of each person and/or entity who becomes an AGI Member, (ii) the membership number
and the duration of such membership, (iii) the name and address of each person and/or entity that ceased to be an AGI 

 

Member,
and (iv) such other information as Cross Country may from time to time reasonably request in order to allow Cross Country to provide services contemplated under this Agreement. 

        (b)   Affinity
Group shall pay to Cross Country an administrative fee for each AGI Member who was an AGI Member as of the last day of the month based upon a step function
whereby once a new tier is reached the rate for additional Members is reduced in accordance with the table below: 

	Tier 1	 	First 325,000 Members	 	$0.10 per Member per month
	Tier 2	 	Next 25,000 Members	 	$0.09 per Member per month
	Tier 3	 	Next 25,000 Members	 	$0.08 per Member per month
	Tier 4	 	Next 25,000 Members	 	$0.07 per Member per month
	Tier 5	 	Next 50,000 Members	 	$0.06 per Member per month
	Tier 6	 	All additional Members	 	No additional charge

        (c)   Affinity
Group agrees to maintain and preserve its books and records with respect to AGI Members in accordance with procedures that will reasonably allow Cross Country
to verify the information provided by Affinity Group pursuant to section 2(b) above, and Cross Country shall have the right from time to time to inspect such portion(s) of said books and
records as will allow Cross Country to verify amounts payable to Cross Country hereunder. Such books, records and information shall be subject to the confidentiality and non-disclosure
provisions of this agreement. 

        (d)   Affinity
Group shall pay to Cross Country a roadside assistance dispatch fee determined by the annual (i.e., a calendar year) volume of dispatches performed by Cross
Country on behalf of AGI Members based upon a step function whereby once a new tier is reached the rate for additional dispatches is reduced in accordance with the table below: 

	Tier 1	 	First 80,000 dispatches	 	$18.50 per dispatch
	Tier 2	 	Next 30,000 dispatches	 	$18.00 per dispatch
	Tier 3	 	Next 30,000 dispatches	 	$17.50 per dispatch
	Tier 4	 	Next 30,000 dispatches	 	$17.25 per dispatch
	Tier 5	 	Next 30,000 dispatches	 	$17.00 per dispatch
	Tier 6	 	All additional dispatches	 	$16.75 per dispatch

        (e)   In
addition to the aforesaid administrative and dispatch fees, Affinity Group shall reimburse Cross Country for the actual costs charged to Cross Country by its service
providers (net of all discounts, allowances or other available deductions). The actual costs charged and invoiced to Cross Country by its service providers (net of all discounts, allowances or other
available deductions) and paid by Cross Country with respect to any Claim (as hereinafter defined) is referred to herein as the "Claims Costs." 

        (f)    There
will be certain occasions when a Member will call seeking emergency roadside assistance as the result of a mechanical disablement which would typically require an
immediate dispatch for a tow or on site service but the problem is capable of being solved by means of advice given telephonically. Affinity Group recognizes that there will be a significant savings
resulting to it when this occurs, and wishes to compensate Cross Country fairly for performing such task, for which as much or more time may be spent than in arranging for a dispatch. Consequently,
whenever Cross Country can avoid the necessity of dispatching a service provider for a tow or on site service by rendering advice, such incident shall nevertheless be deemed a dispatch for which Cross
Country earns a Dispatch Fee at the applicable level under Section 2(d), and the associated Claims Cost shall be deemed to be zero (a "Zero-Cost Claim"). In connection with
rendering such advice, Cross Country will employ at its expense an ASE Certified mechanic who is experienced with servicing RVs and who will be able to answer technical questions related to mechanical 

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malfunctions,
e.g., installation of serpentine belt, locked wheel bearing, etc. While it is expected that a meaningful portion of such calls will be directed to such individual, a call need not be
answered by such individual in order to come within this provision. 

        (g)   Affinity
Group shall pay to Cross Country a fee of $2.50 per call for all inbound, non-dispatch related calls (i.e., information, membership and
miscellaneous, etc.) of whatever nature, not resulting in roadside assistance or constituting a Zero-Cost Claim. 

        (h)   Cross
Country shall perform and provide normal, routine maintenance of the information system at no cost to Affinity. In the event Affinity makes any information systems
requests which would not be considered normal and routine maintenance, such requests shall be handled pursuant to a separate written agreement between Affinity and Cross Country. 

        (i)    Cross
Country shall bill Affinity Group as follows: Administrative fees shall be billed monthly. All other charges shall be billed twice per month on the fifth
(5th) and the twentieth (20th) of each month. Affinity Group shall pay each invoice to Cross Country within twenty (20) days after submission thereof to Affinity
Group. The dispatch fee shall be billed to Affinity Group only after the accompanying service provider invoice has been received by Cross Country, but if an invoice has not been received within
90 days of the date of service, then Cross Country is thereafter permitted to bill Affinity Group for any such dispatch fee and can pass along the service provider cost whenever and if ever
received. 

        3.     (a)
The parties wish to provide an incentive to Cross Country to reduce Claims Costs. Therefore, in addition to the fees set forth above, Cross Country will share in the
cost savings that it can accomplish for Affinity Group. The mechanism for determining cost savings and the manner by which such savings will be shared is set forth below. 

        (b)   The
initial step in determining whether savings has occurred is to establish an "Initial Cost Target". This Initial Cost Target shall be adjusted for each Service Period
commencing with the 2006 Service Period to the extent there is a change in the mix as contemplated below. The Initial Cost Target shall be established as follows: Cross Country will gather data for
all Claims Costs for Claims that occurred during the period from September 1, 2003 through August 31, 2004, for which an invoice was received prior to December 1, 2004 (hereafter,
this period of measurement for Claims from September 1 of a given year to August 31 of the following year for which an invoice was received prior to December 1 of that following
year, without reference to the actual year in question, shall be referred to as the "Service Period" and each Service Period will be identified using the year in which such Service Period ends. For
example, the 2006 Service Period is the Service Period ending on August 31, 2006). The aggregate total in dollars of these Claims Costs will then be divided by the number of Claims submitted
for the Service Period and for which an invoice was received prior to December 1 of the year in which the Service Period ends. The term "Claims" shall mean (i) Zero Cost Claims, plus
(ii) claims (other than Zero Cost Claims) for which (A) a dispatch fee has been earned and (B) an invoice has been received by Cross Country for the service provider's charges.
However, Cross Country acknowledges that it has not yet implemented a process to capture and document Zero Cost Claims. Therefore, Zero Cost Claims shall be not included in the Invoice Average (as
defined below) calculation and the associated Dispatch Fees set forth at Section 2(f) shall not be charged to Affinity Group until the process is developed and implemented to the satisfaction
of both parties. 

        (c)   The
next step is to develop Benchmark Average Claims Costs that reflect a Claims Cost per vehicle category based upon the Initial Cost Target. In order to do this, data
must first be gathered to establish a mix. It is understood that Cross Country is currently working on developing a system that will allow it to separate the Claims Cost data into two vehicle
categories, namely automobiles and recreational vehicles. By September 24, 2004, Cross Country will have completed the requisite business requirements document in order to implement this
enhancement, which 

3

 

includes
an implementation schedule; this schedule will be promptly communicated to Affinity Group. Thus, the Initial Cost Target will not have a mix associated with it at first. 

        (d)   Starting
with the first full month following the completed implementation and continuing for the eleven succeeding months (the "Test Period"), Cross Country shall gather
data to determine both the mix between automobiles and recreational vehicles based upon the service events occurring during such period, and the Claims Cost associated with each component. The initial
mix that is determined in this manner will be treated as if it were the mix associated with the Initial Cost Target unless the parties have reason to
believe that there is a sizable discrepancy from the 2004 Service Period, in which case the parties shall confer in good faith to determine the mix to be associated with the Initial Cost Target. The
mix will be calculated to the nearest one—one hundredth of one percent (x.xx%). The aggregate cost per Claim for the Test Period will be determined as well as for each of the components. A
fraction is then created, the numerator of which is the Initial Cost Target and the denominator of which is the actual aggregate cost per Claim. This fraction is then multiplied against each of the
two price components for the Test Period to create the "Benchmark Average Claims Costs". 

        (e)   To
determine whether there is any cost savings for the 2005 Service Period, a per Claim cost will be computed solely in the aggregate. This per Claim cost will be
compared to the Initial Cost Target to determine if there is any Cost Savings. If the per Claim cost is less than the Initial Cost Target, then Cost Savings exist. The per unit difference is then
multiplied by the number of Claims to produce the cost savings, which shall be shared on a 50-50 basis. 

        (f)    For
the 2006 Service Period and beyond, Cost Savings are determined as follows: First, the aggregate total Claims Cost is determined, which is divided by the aggregate
Claims to create the "Invoice Average". Next, the average price per vehicle category is determined as well as the mix. Then, an Adjusted Target Average is computed. The Adjusted Target Average is
determined by multiplying the percentage of automobiles times the automobile Benchmark Average Claims Costs. The same process is used for the recreational vehicles, and these two numbers are then
added together. The result is the Adjusted Target Average. The Invoice Average is then subtracted from the Adjusted Target Average, and if a positive number results (no effect is given if a negative
number results), it is then multiplied by the number of events (i.e., Claims during the applicable Service Period for which an invoice was received prior to December 1 of the year in which such
Service Period ends) and the result is the Cost Savings, which shall be shared on a 50-50 basis. 

        (g)   Upon
a determination that there exists Cost Savings, Cross Country will issue an invoice to Affinity Group for an amount equal to one-half
(1/2) thereof, which invoice shall detail how the amount has been determined. Affinity Group shall have a period of two weeks to review the invoice and the determination of the amount
of the Cost Savings. If there is a dispute in the determination of the amount of the Cost Savings that cannot be resolved within two weeks following such review, at the end of such two week period
Affinity Group shall pay Cross Country's share of the undisputed portion of the Cost Savings and the disputed portion shall be submitted to arbitration as provided in Section 18 hereof.
Affinity Group shall pay Cross Country's share of the finally determined disputed portion of Cost Savings to Cross Country within two weeks of final determination. 

        (h)   Exhibit A
attached hereto and made a part hereof contains certain Examples designed to clarify the operation of these provisions. 

        4.     The
term of this agreement shall commence at 12:00 A.M. Eastern Time on January 1, 2005 and shall expire at 11:59 P. M. on December 31, 2007, unless
sooner terminated as hereafter provided. The term hereof shall be automatically extended for two successive periods of one (1) year each unless either party shall give written notice to the
other of its intent to end this Agreement as of the expiration date at least ninety (90) days prior to the then expiration date of the term of this 

4

 

Agreement,
as the same may have heretofore been extended. In the event of expiration, Cross Country shall continue to provide support for up to ninety (90) days hereafter under all of the terms
and conditions hereof, except that the fee set forth at Section 2(d) shall be $18.50 per each Event Handled. 

        5.     In
consideration of the payments to be made to Cross Country as provided in Article 2 above, Cross Country shall provide to AGI Members during the term hereof the
services described in Exhibit B attached hereto and made a part hereof. In connection therewith Cross Country shall maintain on behalf of Affinity Group, at Cross Country's expense, a
sufficient number of national telephone assistance lines to provide the services contemplated hereunder, such telephone assistance lines to be used exclusively for the services provided to AGI
Members. Affinity Group shall own the telephone numbers for such exclusive lines. Upon expiration of this Agreement in due course, Cross Country shall release control of said lines to Affinity Group.
Cross Country shall staff such lines twenty-four (24) hours a day, seven (7) days a week, including holidays. Cross Country shall maintain the capability to provide
location-based dispatching if the AGI Member does not know where the vehicle is located but can provide Global Positioning System (GPS) coordinates. Cross Country shall provide all of the above
described services in a manner that is sufficient to provide the services to the AGI Members at a general level of customer satisfaction reasonably acceptable to Affinity Group and in substantial
accordance with the guidelines set forth on Exhibit C attached hereto and made a part hereof. The pricing reflects that calls can be answered at any of Cross Country's contact centers. It is
understood that the specialty team of representatives currently handling the majority of recreational vehicle calls are located in the Medford facility. In the event that Cross Country desires to
expand or move this volume to an alternative location, Affinity Group will be consulted to ensure the program quality, customer service level and Claims Costs are not negatively affected. 

        6.     (a)
Cross Country agrees that all information assembled by Affinity Group and provided by Affinity Group to Cross Country hereunder (or under the Prior Agreement)
regarding AGI Members, including, but not limited to, lists of names, addresses and telephone numbers of AGI Members, is proprietary information and shall remain the exclusive property of Affinity
Group, and Cross Country shall not use any of such information except as contemplated under this Agreement. All such information which is capable of being re-delivered to Affinity Group
without unreasonable burden or effort, including all copies of materials containing such information, shall, at Affinity Group's request, be returned to Affinity Group at the expiration of the term
hereof, Affinity Group agreeing to pay to Cross Country its reasonable costs incurred in connection with the assembling and returning thereof. Further, (i) all information regarding AGI
Members, (ii) the terms and provisions of this Agreement, (iii) information relating to Affinity Group's data processing systems and/or reports, whether or not contained in reports
generated by Affinity Group hereunder, (iv) costs and/or expenses of Affinity Group in providing the Emergency Road Service Program, and (v) Affinity Group's data communication systems
shall be treated by Cross Country as confidential, and Cross Country shall not disclose any of such information to any other person or entity except as necessary to perform its obligations under this
Agreement or as required to be disclosed to governmental authorities or in connection with legal proceedings and except for information that is or becomes in the public domain (it being acknowledged
that the inclusion in telephone directories of names, addresses and telephone numbers shall not by itself be deemed to have placed such information in the public domain). Notwithstanding the
foregoing, provided that Cross Country has taken reasonable precautions (where practical to do so) to protect the confidential nature of such information, Cross Country may disclose this Agreement and
its terms, and information regarding historical and projected results of performance hereunder, (i) to accountants and lawyers whom Cross Country retains to provide particular services in the
ordinary course of business, (ii) to lending institutions and others in connection with financing arrangements, (iii) to federal, state and/or local governmental authorities, and
(iv) in connection with public offerings, in each case subject to the recipient's holding such information in confidence (other than in connection with public offerings), to Cross Country's
releasing only so much of such information as shall be required in the circumstances. Further, Cross Country may disclose this 

5

 

Agreement
and the financial results to Cross Country of performance hereunder to prospective acquirers of all or any part of Cross Country's business, assets or stock, subject to the recipient's
holding such information in confidence, but only to prospective acquirers with respect to which Affinity Group has not elected to terminate this Agreement pursuant to Section 17(a) hereof. 

        (b)   It
is understood that Cross Country does not itself provide any of the towing and/or emergency road services described in Exhibit B, but arranges for such
services to be provided through independent providers. Affinity Group agrees that all lists assembled by Cross Country of the names, addresses and telephone numbers of such independent providers are
proprietary information and are the exclusive property of Cross Country, and Affinity Group shall not use or disclose any such information except as contemplated in this Agreement. Affinity Group
further agrees that the following information is confidential information belonging to Cross Country and shall not be used or disclosed by Affinity Group other than in connection with the transactions
contemplated in this Agreement, except as Affinity Group may be required to disclose any such information to governmental authorities or in connection with legal proceedings and except to the extent
that such information is in the public domain (it being acknowledged that the inclusion in telephone directories of names, addresses, telephone numbers and description of services does not place such
information in the public domain): (i) the terms and provisions of this Agreement, (ii) information relating to Cross Country's data processing systems and/or reports, whether or not
contained in reports generated by Cross Country
hereunder, (iii) costs and or expenses of Cross Country in providing services hereunder, (iv) Cross Country's data communication systems, and (v) the names and addresses of said
independent providers. Notwithstanding the foregoing, provided that Affinity Group has taken reasonable precautions (where practical to do so) to protect the confidential nature of such information,
Affinity Group may disclose this Agreement and its terms and information regarding historical and projected results of performance hereunder (i) to accountants and lawyers whom Affinity Group
retains to provide particular services in the ordinary course of business, (ii) to lending institutions and others in connection with financing arrangements, (iii) to federal, state
and/or local governmental authorities as required by law, and (iv) in connection with public offerings, in each case subject to the recipient's holding such information in confidence, and to
Affinity Group's releasing only so much of such information as shall be required in the circumstances. 

        (c)   The
provisions of this Article 6 shall survive the expiration or other termination of this Agreement, and shall continue in force and effect for a period of five
(5) years thereafter. The parties hereto recognize that a breach of the covenants contained in this Article 6 would cause irreparable injury and that damages at law would be difficult to
ascertain. The parties hereto therefore consent to the granting of equitable relief by way of a restraining order or temporary or permanent injunction by any court of competent jurisdiction to
prohibit the breach or enforce the performance of the covenants contained in this Article 6. 

        7.     (a)
Cross Country agrees to indemnify, defend and hold Affinity Group harmless from any and all claims, demands, suits, liabilities and any costs and expenses, including
reasonable attorneys' fees, arising from or in any way connected with (i) the conduct of Cross Country, including, without limitation, its conduct in performing the services contemplated
hereunder, (ii) the failure of Cross Country to perform its duties pursuant to this Agreement and/or observance of all the terms, covenants and conditions contained herein, (iii) any
breach of any warranty or representation on its part made herein, or (iv) a "Cross Country Breach" (as defined in Article 14 below). Cross Country shall also indemnify Affinity Group for
and hold Affinity Group harmless from and against any liability for any acts or omissions of the actual providers of the services hereunder as described in Section 6(b) above, when such claim
is made by an AGI Member or a third party (but not by Affinity Group itself) ("Service Provider Claims"); provided however, that Cross Country's obligation to indemnify Affinity Group and hold
Affinity Group harmless for Service Provider Claims shall be limited to the insurance 

6

 

coverage
maintained from time to time by Cross Country and actually payable by the insurance company with respect to each such Service Provider Claim or which would have been paid had Cross Country
maintained the insurance required hereunder. During the term of this Agreement, Cross Country shall maintain a minimum of $20,000,000 of insurance coverage for this purpose and Cross Country shall
cause Affinity Group to be named as an additional insured on such insurance policy(ies) as may be maintained from time to time by Cross Country providing coverage to Cross Country for claims by AGI
Members alleging liability for the acts or omissions of any service provider, and Cross Country shall deliver to Affinity Group from time to time, upon written request therefore by Affinity Group, a
certificate evidencing such naming. 

        (b)   Affinity
Group agrees to indemnify, defend and hold Cross Country harmless from and against any claims, demands, suits, liabilities and any costs and expenses, including
reasonable attorneys' fees, arising from or in connection with (i) the conduct of Affinity Group or its subsidiaries or affiliates, including, without limitation, sales of and promotion of
sales memberships in Good Sam Club or any other AGI Club, (ii) any breach of any warranty or representation or agreement on its part made herein, and (iii) an "Affinity Group Breach" (as
defined in Article 14 below). 

        (c)   The
provisions of this Article 7 shall survive expiration or termination of this Agreement. 

        8.     The
relationship between Cross Country and Affinity Group shall be one of independent contractors, and not one of joint venture, partnership or employment, and nothing in
this Agreement shall be construed to create any relationship other than independent contactors between the parties hereto. 

        9.     (a)
The failure of either party to enforce at any time, or for any period, the provisions of this Agreement shall not be construed as a waiver of such provisions or of
the right of such party thereafter to enforce each and every such provision. No claim or right arising out of the breach or default of this Agreement may be discharged in whole or in part by a waiver
or renunciation of such claim or right unless such waiver or renunciation is in writing and signed by the aggrieved party. 

        (b)   If
any action at law or in equity shall be instituted to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable
attorneys' fees, costs and necessary disbursements in addition to any other relief to which it may be entitled. 

        (c)   This
Agreement shall be governed by and construed in accordance with the substantive laws of the State of Colorado. 

        10.   (a)
In the event that: 

	(i)
	either
Cross Country or Affinity Group shall neglect or fail to perform any of its respective duties or observe any of the conditions, provisions, terms and covenants contained in
this Agreement, and such neglect or failure shall continue uncured for a period of thirty (30) days (ten (10) days in the case of the neglect or failure to pay money to the other) after
receipt of written notice from the other party of such neglect or failure;

	(ii)
	any
interest of either Cross Country or Affinity Group under this Agreement shall be taken on execution or by other process of law;

	(iii)
	either
Cross Country or Affinity Group shall commit an act of bankruptcy or become insolvent according to law;

	(iv)
	either
Cross Country or Affinity Group makes an assignment for the benefit of creditors; 

7

 

	(v)
	a
receiver, guardian, conservator, trustee or assignee or any similar officer or person is appointed for either Cross Country or Affinity Group by any court and not discharged within
thirty (30) days of such appointment; or

	(vi)
	any
court shall enter an order with respect to either Cross Country or Affinity Group providing for a general modification or alteration of the rights of its creditors; 

then
the other party may elect, then or at any time thereafter but prior to the curing of the event of default, to give written notice of its intention to terminate this Agreement immediately or on
any subsequent date specified in such notice, and this Agreement shall thereafter be terminated, without prejudice to any remedies for any and all claims held by the terminating party against the
other, all of which shall immediately become due and payable. 

        (b)   If
either Affinity Group or Cross Country shall breach or be in default under this Agreement, then whether or not this Agreement shall be terminated for any default as
set forth in subparagraphs (i) through (vi) above for any breach hereof, the party found to be in default or breach shall pay to the prevailing party all reasonable costs incurred by the
prevailing party in enforcing any of its rights hereunder, or in collecting any sums due and payable to it hereunder, including reasonable attorneys' fees. 

        11.   (a)
It is agreed that if any provisions of this Agreement shall be determined to be void by any court of competent jurisdiction, then such determination shall not affect
any other provisions of this Agreement, all of which other provisions shall remain in full force and effect (unless such determination shall render either party's performance hereunder substantially
more difficult to perform, in which case upon the giving of proper notice this Agreement may be terminated by either party). Further, it is the intention of the parties hereto that if any provision of
this Agreement is capable of two constructions, only one of which would render the provision valid, then the provision shall have the meaning which renders it valid. 

        (b)   As
of its commencement, this Agreement replaces the Prior Agreement in its entirety, but any amounts owed thereunder as of such date remain due and owing in accordance
with the terms of the Prior Agreement. This instrument contains the entire and only agreement between the parties with respect to the subject matter hereof, and no oral statements or representations
or prior written matter not contained in this instrument shall have any force or effect. This Agreement shall not be modified in any way except by a writing subscribed by the parties by their duly
authorized representatives. 

        (c)   All
notices and other communications authorized or required hereunder shall be in writing and shall be deemed duly given if sent by certified or registered mail, return
receipt requested, or by recognized overnight delivery service (e.g., Federal Express, Airborne, etc.), in each case fees and postage prepaid. If given to Cross Country, the same shall be sent to it
at: 

Cross
Country Motor Club, Inc.

4040 Mystic Valley Parkway

Medford, Massachusetts 02155

Attn: President

with a copy sent to the same address to the attention of Legal Counsel: 

or
to such other person or at such other address as Cross Country may hereafter designate by notice to Affinity Group. If given to Affinity Group, the same shall be sent to it at: 

Affinity
Group, Inc.

2575 Vista Del Mar Drive

Ventura, CA 93001

Attention: President 

8

 

with
a copy to: 

Affinity
Road and Travel Club, Inc.

64 Inverness Drive East

Englewood, CO 80112

Attention: President 

and

Kaplan,
Strangis and Kaplan, P.A.

Suite 5500

90 South 7th Street

Minneapolis, MN 55402

Attention: Robert T. York, Esq., 

or
to such person or at such other address as Affinity Group may hereafter designate by notice to Cross Country. It is understood and agreed by the parties hereto that copies of the notices to be
delivered as specified above are intended for informational purposes only, and that failure to deliver such copies shall not invalidate any notice otherwise properly given as provided above as long as
the party giving notice has made a good faith effort to properly deliver such copies. 

        12.   For
those states in which Cross Country Motor Club of California, Inc., rather than Cross Country Motor Club, Inc., shall be permitted to conduct business,
the obligations of Cross Country under this Agreement may be performed by Cross Country Motor Club of California, Inc. Accordingly, Cross Country Motor Club of California, Inc. joins in
this Agreement for such purposes. In such case, any reference to Cross Country shall where applicable mean and refer to Cross Country Motor Club of California, Inc., it being understood that
Cross Country shall remain jointly and severally liable with respect to all such obligations. Until further notice, all sums shall be made payable to Cross Country Motor Club, Inc., and shall
be delivered to it at the place above provided for the rendering of notices. Any notice given by or to Cross Country Motor Club, Inc., shall be deemed notice also given by or to Cross Country
Motor Club of California, Inc. 

        13.   Cross
Country shall supply to Affinity Group such information in the possession of Cross Country as Affinity Group may from time to time reasonably request with respect
to the items for which Affinity Group is required to reimburse or pay Cross Country in connection with the services to be provided by Cross Country hereunder, including copies of supporting
information relating to the costs of such services or any other costs incurred by Cross Country that are required to be reimbursed by Affinity Group in accordance with the terms hereof. Affinity Group
shall have the right from time to time, upon reasonable prior notice, to inspect such portion of Cross Country's books and records relating directly to the Emergency Road Service Program as will allow
Affinity Group to verify the correctness of the amounts that Affinity Group is required to pay Cross Country hereunder. 

        14.   (a)
In the event that it shall be or become unlawful for Affinity Group to offer the Emergency Road Service Program or for Cross Country to provide the services
contemplated hereunder in any state, Affinity Group and Cross Country shall each have the right to terminate this Agreement with respect to the state(s) in which it is or has become unlawful to offer
the Emergency Road Service Program or to provide such services. If and to the extent so terminated, AGI Members in that state(s) shall thereafter not be deemed to be AGI Members for purposes of this
Agreement. The parties hereto acknowledge that (i) Affinity Group is responsible to obtain and maintain all licenses, authorizations and approvals that, assuming compliance by Cross Country
with its obligations set forth herein, are required by any state to be obtained and/or maintained in connection with the offering and implementation of the Emergency Road Service Program in that state
as contemplated hereunder, and (ii) Cross Country is responsible to obtain and maintain all licenses, authorizations and approvals that are required by any state to provide services of the type
contemplated to be provided to members 

9

 

hereunder
in general but unrelated to this specific Agreement. Any breach by Affinity Group of its obligations under the proceeding sentence is referred to as a "Affinity Group Breach" and any breach
by Cross Country of its obligations under the preceding sentence is referred to as a "Cross Country Breach." 

        (b)   In
the event that (i) this Agreement is terminated by Cross Country as to any state as set forth in such paragraph (a) immediately above because of an
Affinity Group Breach or a Cross Country Breach, as the case may be, and (ii) termination of this Agreement with respect to such state shall have a material impact upon the aggregate of the
transactions contemplated under this Agreement, either party shall have the right to terminate this Agreement in its entirety, provided that any such termination shall be made by written notice to the
other party, given within sixty (60) days after termination hereof with respect to one stated as aforesaid, and that any such termination of this Agreement it its entirety shall be upon no less
than ninety (90) days prior notice. 

        15.   Affinity
Group agrees that it will not distribute or use any promotional materials referring to Cross Country and/or any of the services to be provided by Cross Country
hereunder without on each occasion first obtaining the written consent of Cross Country. 

        16.   Each
party represents and warrants to the other as follows: 

	(i)
	The
execution and delivery of this Agreement has been duly authorized and adopted by resolution or ratification by all necessary parties or bodies;

	(ii)
	its
obligations under this Agreement are legal, valid and binding obligations enforceable against it in accordance with its terms; and

	(iii)
	it
is not a party to, or is bound by, any contractual agreement or instrument which would prevent or impede or restrict its performance under this Agreement and that it is not a
party to any litigation which would prevent or impede the performance of its obligations under this Agreement. 

        17.   (a)
Cross Country may assign or otherwise transfer this Agreement and/or its rights or obligations hereunder to any parent, subsidiary or affiliate of Cross Country or
to any successor to Cross Country who shall be acquiring all or a substantial part of Cross Country's motor club or roadside assistance business as a going concern. If Cross Country shall so intend to
assign this Agreement as part of such a transaction, and if the assignee directly competes with Affinity Group or if such assignee shall not have the financial capability or experience to meet its
responsibilities hereunder, in Affinity Group's good faith assessment, then Affinity Group shall have the right to terminate this Agreement, by notice given to Cross Country within thirty
(30) business days after receipt by Affinity Group of notice of such assignment, such termination to be effective as of the day one hundred twenty (120) days after the giving of such
notice (provided that such assignment shall have actually occurred). In all other instances Cross Country may assign its interest in this Agreement only with the prior written consent of Affinity
Group, which consent may not be unreasonably delayed or withheld. 

        (b)   Except
for an assignment by Affinity Group to an entity that is controlled by Affinity Group or under common control with Affinity Group, Affinity Group may not assign
all or any portion of its interest in this Agreement without obtaining the prior written consent of Cross Country, which consent may not be unreasonably delayed or withheld. 

        18.   The
parties hereto agree that all disputes arising under or relating to this Agreement or the transactions contemplated hereunder shall be subject solely to binding
arbitration held in accordance with the rules of the American Arbitration Association. In addition to, and not by way of limitation of, the rules of the American Arbitration Association, in any
arbitration proceeding hereunder the parties shall each have the right to perform full discovery and to call witnesses to the extent allowed by the 

10

 

rules
of civil procedure of the applicable jurisdiction as long as such procedures do not unduly delay completion of the arbitration process. Judgment upon the award rendered may be entered and
enforced in any court having jurisdiction thereof. 

        19.   Cross
Country covenants and agrees during the term of this Agreement to provide an account representative whose portfolio of accounts will include only Affinity Group
programs. 

        IN WITNESS WHEREOF, the parties hereto have executed this Agreement under seal as of the date first written in this Agreement. 

	 	 	CROSS COUNTRY MOTOR CLUB, INC.
	

 	
 	

By:	
 	

/s/ Stephen J. Huson
 Stephen J. Huson, Vice President, General Manager—Diversified Markets
	

 	
 	
CROSS COUNTRY MOTOR CLUB OF CALIFORNIA, INC.
	

 	
 	

By:	
 	

/s/ Stephen J. Huson
 Stephen J Huson, Vice President, General Manager—Diversified Markets
	

 	
 	
AFFINITY GROUP, INC.
	

 	
 	

By:	
 	

/s/ Prabhuling Patel
 Prabhuling Patel, Senior Vice President Affinity Group, Inc.

11

  

 
 

EXHIBIT A    
    

EXAMPLES 

	Assumptions:	 	 	 	 
	 	 	*	 	Initial "Cost Target" is $90.00
	 	 	*	 	Mix is presumed to be at 60% Automobile and 40% Recreational Vehicle. The "Actual" Cost Target will be determined based upon actual 2005 "Service Year" data, these examples below represent potential for 2006 and
beyond

	 
	 	Benchmark
	 	Computed

Cost/Claim

based on

Benchmark
	 	Scenario 1
	 	Scenario 2
	 	Scenario 3
	 	Scenario 4
	 	Scenario 5
	 
	Cost/Claim	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Auto	 	 	Unknown	 	$	50.89	 	$	50.89	 	$	51.00	 	$	50.95	 	$	51.00	 	$	50.50	 
	RV	 	 	Unknown	 	$	148.67	 	$	148.67	 	$	145.00	 	$	142.95	 	$	151.00	 	$	150.50	 
	
Mix	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 
	Auto	 	 	Unknown	 	 	60	%	 	55	%	 	58	%	 	53	%	 	62	%	 	65	%
	RV	 	 	Unknown	 	 	40	%	 	45	%	 	42	%	 	47	%	 	38	%	 	35	%
	
Number of Events	
 	
 	

1,000	
 	
 	

 	
 	
 	

1,200	
 	
 	

1,300	
 	
 	

1,200	
 	
 	

1,200	
 	
 	

1,400	
 
	Invoiced Average	 	$	90.00	 	$	90.00	 	$	94.89	 	$	90.48	 	$	94.19	 	$	89.00	 	$	85.50	 
	
Adjusted Target Average	
 	
 	

 	
 	
 	

 	
 	
$	

94.89	
 	
$	

91.96	
 	
$	

96.84	
 	
$	

88.04	
 	
$	

85.11	
 
	Savings Compared to Invoiced	 	 	 	 	 	 	 	$	—	 	$	1.48	 	$	2.65	 	$	—	 	$	—	 
	50% Share	 	 	 	 	 	 	 	$	—	 	$	0.74	 	$	1.33	 	$	—	 	$	—	 
	CCAS Incentive Amount	 	 	 	 	 	 	 	$	—	 	$	959.18	 	$	1,592.87	 	$	—	 	$	—	 

	 
	 	Benchmark
	 	  

Actual

Cost

During

Test Period
	 	Computed

Cost/Claim

based on

Benchmark
	 	Actual

Cost

During

Test Period
	 	Computed

Cost/Claim

based on

Benchmark
	 
	Claim Cost Adjustment Precentage(1)	 	 	 	 	 	 	 	 	-0.221729	%	 	 	 	 	1.809955	%
	

Cost/Claim	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 
	Auto	 	 	Unknown	 	$	51.00	 	$	50.89	 	$	48.00	 	$	48.87	 
	RV	 	 	Unknown	 	$	149.00	 	$	148.67	 	$	149.00	 	$	151.70	 
	
Mix	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 	
 	

 	
 
	Auto	 	 	Unknown	 	 	60	%	 	60	%	 	60	%	 	60	%
	RV	 	 	Unknown	 	 	40	%	 	40	%	 	40	%	 	40	%
	

Invoiced Average	
 	
$	

90.00	
 	
$	

90.20	
 	
$	

90.00	
 	
$	

88.40	
 	
$	

90.00	
 

	(1)
	The
Claim Cost Adjustment Percentage assumes the difference between the invoiced average and the benchmark average is based solely on claim cost not claim mix. Further, the change in
cost is assumed to be the same percentage for both Auto and RV claims. The factor is computed by dividing the Actual Invoiced Average into the Benchmark Average. 

1

 
 
 

EXHIBIT B    
    

SERVICES
TO BE PROVIDED TO

THE AGI MEMBERS 

The
following services shall be provided on a "sign and drive" basis (no cash outlay by the AGI Member). 

	1.
	Towing:

	a)
	Mechanical Disablement:

Cross
Country shall provide for the towing of the AGI Member's disabled vehicle to the nearest, as determined by Cross Country, repair facility that can remedy the vehicle's mechanical problem. Should
the AGI Member request to be towed to an alternative service center or location that will require additional towing mileage; any and all additional costs shall be the responsibility of the AGI Member.
All costs associated with repair parts, repair labor, and services shall be the responsibility of the AGI Member. 

	b)
	Collision:

Cross
Country shall provide for the towing of AGI Member's damaged vehicle to the nearest, as determined by Cross Country, repair facility that can repair the damaged vehicle. Should the AGI Member
request to be towed to an alternative service center or location that will require additional towing mileage; any and all additional costs shall be the responsibility of the AGI Member. All costs
associated with repair parts, repair labor, and services shall be the responsibility of the AGI Member. 

	2.
	On-Site Emergency Roadside Assistance Services:

	a)
	Out of Fuel:

Cross
Country shall provide for the delivery of up to 5 gallons of fuel to stranded AGI Members (except where prohibited by law). 

	b)
	Flat Tire:

Cross
Country shall provide for replacement of AGI Member's flat tire with inflated spare tire, or shall provide for delivery of a replacement tire if necessary. The actual cost of the replacement
tire, mounting, and balancing will be at the AGI Member's expense. 

	c)
	Jump Start/Battery Boost:

Cross
Country shall provide for a jump-start of the AGI Member's drained battery, or delivery of a replacement battery to the AGI Member if necessary. The actual cost of the replacement
battery and labor to install the battery will be at the AGI Member's expense. 

	d)
	Lockout—locksmith:

Cross
Country shall provide for the delivery of locksmith services to the stranded AGI Member and assist in the opening of the AGI Member's locked vehicle, and/or obtaining a replacement key. Actual
cost of the key replacement will be at the AGI Member's expense. 

	e)
	Emergency Fluids:

Cross
Country shall provide for the delivery of emergency fluids to the stranded AGI Member. Fluids include oil, water, transmission fluid, power steering fluid, and brake fluid, as necessary to
remedy the disablement. 

2

 

	3.
	Other Services

Cross
Country shall provide for basic concierge services, such as assisting with finding alternate transportation, lodging (including campgrounds) and/or food. 

	4.
	Information Calls:

In
addition, Cross Country shall respond to all AGI Member inquiries regarding non-dispatch related information of whatever nature, e.g., membership inquiries. 

	5.
	Mobile Mechanic

Cross
Country shall provide for Mobile Mechanic assistance in those disablement situations where this service is deemed appropriate from a customer satisfaction and cost perspective. 

	6.
	Technical Assistance

Cross
Country shall provide Technical Assistance help in those disablement situations where this service is deemed appropriate from a customer satisfaction and cost perspective, or in process of
servicing members associated with a recreational vehicle Original Equipment Manufacture program. These services include but are not limited to technical diagnostic services, assistance in locating
manufacture repair locations (including representative dealers), general RV repair locations, assistance with assimilating efficient/economical complicated or difficult towing/recovery situations. 

The
program does not offer reimbursement for the cost of parts, fuel, or labor for repairs or installations, unless authorized by Affinity Group. 

3

 
 
 

EXHIBIT C    
    

OPERATING
PARAMETERS 

AGI
Member calls are to be answered as follows: 

	1.
	All
calls are to be answered by a live operator or electronic message not to exceed three rings plus the length of the electronic message.

	2.
	A
minimum of 80% of all calls must be answered by a live operator within 30 seconds of caller having heard the initial announcement.

	3.
	The
average waiting time for calls placed in queue shall be 40 seconds or less

	4.
	80%
of estimated time of arrivals are to average 60 minutes and are not to exceed 90 minutes from the time of the dispatch unless due to circumstances beyond the control of Cross
Country.

	5.
	A
combination of processes will be used to assure that dispatches are properly handled and closed within the guidelines specified in item 4 above. These will include, but are not
limited to, the following (which may be modified from time to time upon the mutual agreement of the parties). 

Routine
selective silent monitoring will be performed with each call center representative assigned to the emergency road service program. 

	a.
	Routine
selective outbound "QC" calls will be made to vendors and AGI Members.

	b.
	Vendors
average overall monthly score of at least 95% excellent/good rating on quality assurance survey items directly relating to the performance of Cross Country and the tow
operators used for dispatch must be maintained. Cross Country will be responsible for the preparation, dissemination and collection of all surveys, at its sole expense. 

4

QuickLinks

AGREEMENT

EXHIBIT A

EXHIBIT B

EXHIBIT C

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