Document:

ex10-1.htm

    EIGHTH
      AMENDMENT TO CREDIT AGREEMENT

    

    

    THIS EIGHTH
      AMENDMENT TO CREDIT AGREEMENT (this "Amendment"), dated
      June 29, 2007, is made and entered into on the terms and conditions
      hereinafter set forth, by and among I-TRAX, INC., a Delaware corporation (the
      "Borrower"), the Subsidiaries of the Borrower who are parties to the
      Credit Agreement (as hereinafter defined) as guarantors (the
      "Guarantors"), the several lenders who are parties to the Credit
      Agreement as lenders (the "Lenders"), and BANK OF AMERICA, N.A., a
      national banking association ("Bank of America"), as administrative agent
      for the Lenders and the Issuing Bank (in such capacity, the "Administrative
      Agent") and as Issuing Bank.

    

    

    RECITALS:

    

    1.           Pursuant
      to a Credit Agreement dated as of March 19, 2004, among the Borrower, the
      Guarantors, the Lenders and Bank of America, as Administrative Agent and as
      Issuing Bank, as heretofore amended by a First Amendment to Credit Agreement
      dated June 1, 2004, a Second Amendment to Credit Agreement dated
      July 1, 2004, a Third Amendment to Credit Agreement dated August 12,
      2004, a Fourth Amendment to Credit Agreement dated October 27, 2004, a
      Fifth Amendment to Credit Agreement dated March 31, 2005, a Sixth Amendment
      to Credit Agreement dated June 29, 2005, and a Seventh Amendment to Credit
      Agreement dated May 4, 2006, among the Borrower, the Guarantors, the
      Lenders and Bank of America, as Administrative Agent and as Issuing Bank (as
      the
      same heretofore has been or hereafter may be further amended, restated,
      supplemented, extended, renewed, replaced or otherwise modified from time to
      time, the "Credit Agreement"), the Lenders agreed to make Loans to the
      Borrower and to purchase participations in Letters of Credit issued for the
      account of the Borrower, and the Issuing Bank agreed to issue such Letters
      of
      Credit, all as more specifically described in the Credit Agreement.

    

    2.           The
      parties hereto desire to amend the Credit Agreement in certain respects as
      more
      particularly hereinafter set forth.

    

    

    AGREEMENTS:

    

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

     

     

    
 

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    1.  Amendment
      of Section 1.1.  Section 1.1 of the
      Credit Agreement is hereby amended by inserting the following new definitions
      in
      the appropriate locations according to alphabetical order, or by amending and
      restating existing definitions to read as indicated, as applicable:

    

    "Annual
      Permitted Acquisition Limit" shall mean $10,000,000; provided,
      however, that not more than $5,000,000 of such amount shall consist of
      consideration that is not common Capital Stock of the Borrower.

    

    "Applicable
      Base Rate Margin" shall mean the margin to be added to the Base Rate for
      purposes of determining the interest rate(s) applicable to Base Rate Loans
      from
      time to time, which shall be determined as provided in
Section 2.15.

    

    "Base
      Rate Loans" shall mean Loans bearing interest at rates determined by
      reference to the Base Rate.

    

    "Credit
      Facility Base" shall mean, as of any date of determination, an amount equal
      to eighty percent (80%) of Eligible Accounts.

    

    "Credit
      Facility Base Certificate" shall mean a certificate of a Responsible Officer
      of the Borrower, substantially in the form of Exhibit 1.1B to the
      Eighth Amendment, duly completed, regarding the calculation of the Credit
      Facility Base.

    

    "Defaulting
      Lender" shall mean any Lender that (a) has failed to fund any portion
      of the Loans or participations in Letter of Credit Liabilities required to
      be
      funded by it hereunder, within one Business Day of the date required to be
      funded by it hereunder, (b) has otherwise failed to pay over to the
      Administrative Agent or any other Lender any other amount required to be paid
      by
      it hereunder within one Business Day of the date when due, unless the subject
      of
      a good faith dispute, or (c) has been deemed insolvent or become the
      subject of a bankruptcy or insolvency case or proceeding.

    

    "Eighth
      Amendment" shall mean the Eighth Amendment to Credit Agreement dated
      June 29, 2007, among the Borrower, the Guarantors, the Lenders and Bank of
      America, as Administrative Agent and as Issuing Bank.

    

    "Eligible
      Accounts" shall mean, as of any date of determination, accounts of the
      Borrower and the Guarantors, excluding:

    

    (a)           any
      account that does not represent a complete bona fide transaction fully earned
      by
      performance and requiring no further action to make such account payable by
      the
      account debtor;

    

    (b)           any
      account for which the invoice therefor has not been delivered;

    

    (c)           any
      account not payable in Dollars;

     

     

     

    
 

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

     

    (d)           [reserved];

    

    (e)           any
      account due from (i) any Subsidiary or Affiliate of the Borrower or
      (ii) any employee, agent or representative of the Borrower or any of its
      Subsidiaries or Affiliates;

    

    (f)           any
      account with respect to all or part of which a check, promissory note, draft,
      trade acceptance or other instrument for the payment of money has been presented
      for payment and returned uncollected for any reason;

    

    (g)           any
      account as to which any one or more of the following events has occurred with
      respect to the applicable account debtor:  the filing by or against
      such account debtor of a request or petition for liquidation, reorganization,
      arrangement, adjustment of debts, adjudication as a bankrupt, or other relief
      under the bankruptcy, insolvency, or similar laws of the United States of
      America, any state or territory thereof, or any foreign jurisdiction; the making
      of any general assignment by such account debtor for the benefit of creditors,
      or the appointment of a receiver or trustee for such account debtor or for
      any
      of the assets of such account debtor; the inability to pay or the nonpayment
      by
      such account debtor of its debts generally as they become due; or the cessation
      of the business of such account debtor as a going concern; provided that this
      clause (g) shall not apply to any billed account of a
      debtor-in-possession in a case under Chapter 11 of Title 11 of the
      United States Code that has received court-approved debtor-in-possession
      financing, if such account arises from the sale of goods or the provision of
      services to such debtor subsequent to the filing of the petition for relief
      in
      the case;

    

    (h)           any
      account due from an account debtor incorporated under the laws of any
      jurisdiction other than the United States of America or any state thereof or
      whose principal place of business or a substantial portion of whose assets
      is
      located outside of the United States of America;

    

    (i)           any
      account that remains unpaid for more than 150 days after the date of the
      original invoice or is past due by more than 120 days;

    

    (j)           [reserved];

    

    (k)           any
      account with respect to which there is any unresolved dispute, defense, offset
      or counterclaim with or by the respective account debtor, but only to the extent
      of the amount shown to be due on the invoice(s) with respect to which there
      is
      any dispute;

    

    (l)           any
      account as to which either (i) the perfection, enforceability or validity
      of the Administrative Agent's security interest in such account, or
      (ii) the Administrative Agent's right or ability to obtain direct payment
      of the proceeds of such account, is governed by any federal or state statutory
      requirements other than those of the UCC (including the Federal Assignment
      of
      Claims Act, 31 U.S.C. § 3727);

     

     

     

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

    
 

    (m)           any
      account as to which (i) the Administrative Agent does not have a valid and
      enforceable first priority security interest, subject to no other Liens other
      than Permitted Liens or (ii) there exists any material regulatory,
      administrative or judicial obstacles to the Administrative Agent's direct
      enforcement of the account against the account debtor or (iii) the
      Administrative Agent does not have a right of direct payment upon an Event
      of
      Default;

    

    (n)           any
      account that has not been created in the ordinary course of business;
      and

    

    (o)           [reserved].

    

    "Eligible
      FF&E" – Not applicable.

    

    "Eurodollar
      Loans" shall mean Loans bearing interest at rates determined by reference to
      the Eurodollar Rate.

    

    "Excluded
      Prepayment Transaction" shall mean (1) the incurrence of any
      Indebtedness in accordance with subsections 9.1 (a), (b),
(c), (d), (g), (h) or (i), (2) the
      incurrence of Subordinated Indebtedness permitted by this Agreement, the
      proceeds of which are used in compliance with subsection 9.5(c),
      (3) the issuance of any Capital Stock pursuant to
subsection 9.6(a), provided that the proceeds thereof are
      used in compliance with subsections 9.5(b) or (c) or as a
      part of the consideration for a Permitted Acquisition, and (4) the issuance
      of any Capital Stock pursuant to any stock option, stock incentive or similar
      plan of the Borrower.

    

    "Funded
      Indebtedness to EBITDA Ratio" shall mean, for the Borrower and its
      Subsidiaries on a consolidated basis, calculated as of any date of determination
      for the Last Four Fiscal Quarters after giving Pro Forma Effect to any relevant
      transaction occurring during such period, the ratio of Consolidated Funded
      Indebtedness to EBITDA.

    

    "Individual
      Permitted Acquisition Limit" shall mean $5,000,000; provided,
      however, that not more than $2,500,000 of such amount shall consist of
      consideration that is not common Capital Stock of the Borrower.

    

    "Interest
      Payment Date" shall mean, (a) with respect to any Base Rate Loan,
      January 1, April 1, July 1 and October 1 of each year, commencing on the first
      such date after the applicable Funding Date, and (b) with respect to any
      Eurodollar Loan, the last day of the Interest Period applicable to such Loan;
      provided, however, that with respect to any Interest Period of six (6)
      months "Interest Payment Date" also shall include the day that is three (3)
      months after the day on which that Interest Period commenced.

     

     

     

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

    
 

    "Maintenance
      Capital Expenditure Adjustment" shall mean, for the Borrower and its
      Subsidiaries on a consolidated basis, as of any date of determination, an amount
      equal to $1,500,000.

    

    "Notice
      of Borrowing" shall mean (a) a notice substantially in the form of
Exhibit 2.2.4 with respect to a proposed Borrowing of Term Loans,
      and (b) a notice substantially in the form of Exhibit 2.3.4
      with respect to a proposed Borrowing of Revolving Loans or Swingline Loans
      (conformed appropriately, in the case of Swingline Loans).

    

    "Permitted
      Acquisition" shall mean any Asset Acquisition by the Borrower or any
      Guarantor with respect to which (a) the Borrower and the Guarantors shall
      have complied with the provisions of Section 8.2.7, (b) the
      Borrower or a Guarantor is the surviving entity in the transaction, (c) all
      assets acquired in the transaction are held or acquired by the Borrower or
      a
      Guarantor, (d) at the time of such Asset Acquisition and after giving Pro
      Forma Effect thereto and to any other relevant transaction occurring during
      the
      then most recent twelve (12) month period, no Default shall have occurred or
      be
      continuing or would result therefrom, and (e) the aggregate consideration paid
      or to be paid in connection with such Asset Acquisition, inclusive of all
      Indebtedness incurred or assumed, (i) will not exceed the Individual
      Permitted Acquisition Limit and (ii) when combined with the aggregate
      consideration paid or to be paid (inclusive of all Indebtedness incurred or
      assumed) in connection with all other Asset Acquisitions by the Borrower and
      the
      Guarantors occurring during the twelve (12) month period immediately preceding
      such Asset Acquisition, will not exceed the Annual Permitted Acquisition
      Limit.

    

    "Pro
      Forma Effect" shall mean, in making any calculation of the Funded
      Indebtedness to EBITDA Ratio for purposes of Section 2.15 or any
      calculation hereunder necessary to determine whether the Borrower is in
      compliance with Section 10.1.4 or whether a Default would result
      from any Asset Acquisition, (1) any Disposition of any asset(s) of the
      Borrower or any of the other Credit Parties made during the twelve (12) month
      period ending on and including the date of determination, other than a
      Disposition permitted by subsections 9.3(a), (b) or
(d), and any corresponding repayment or incurrence of
      Indebtedness, shall
      be assumed to have occurred on the first day of such period, and (2) any
      Asset Acquisition made during the twelve (12) month period ending on and
      including the date of determination, and any corresponding repayment or
      incurrence of Indebtedness, shall be assumed to have occurred on the first
      day
      of such period; provided that the Administrative Agent has been
      furnished with annual audited financial statements or interim financial
      statements regarding such Asset Acquisition that are in sufficient detail to
      provide a basis for determining the Pro Forma Effect thereof and that otherwise
      are in form and substance and prepared by Persons satisfactory to the
      Administrative Agent.

    

    "Requisite
      Lenders" shall mean, as of any date of determination, Lenders holding in the
      aggregate more than fifty percent (50%) of (a) the Revolving Credit
      Commitments, the Swingline Commitment and the outstanding Term Loans or
      (b) if the Revolving Credit Commitments and the Swingline Commitment have
      been terminated, the outstanding Loans, Letter of Credit Liabilities and
      participations therein.  The Revolving Credit Commitments of,
      Swingline Commitment of and the outstanding Term Loans held or deemed held
      by,
      any Defaulting Lender shall be excluded for purposes of making a determination
      of Requisite Lenders.

     

     

     

    
      
         

      

      
        -5-

        
          

        

      

      
         

      

    

    
 

    "Revolving
      Credit Maturity Date" shall mean July 1, 2009.

    

    "Swingline
      Commitment" shall mean the commitment of the Swingline Lender to make
      Swingline Loans pursuant to Section 2.4.

    

    "Swingline
      Commitment Period" shall mean that period commencing on the date on which
      the Eighth Amendment becomes effective and continuing to, but not including,
      the
      Revolving Credit Maturity Date.

    

    "Swingline
      Facility" shall mean the credit facility provided by the Swingline Lender
      pursuant to the Swingline Commitment as more particularly set forth in
Section 2.4.

    

    "Swingline
      Lender" shall mean Bank of America and any other financial institution that,
      subject to approval by the Administrative Agent and the Borrower, agrees to
      become a party to this Agreement and to make Swingline Loans pursuant to
Section 2.4.  As used herein and in the other Loan
      Documents, "Lender" shall include the Swingline Lender except to the extent
      that
      the context requires otherwise.

    

    "Swingline
      Loans" shall mean the loans made to the Borrower by the Swingline Lender
      pursuant to Section 2.4.

    

    "Swingline
      Note" shall mean the promissory note, in substantially the form of
Exhibit 2.10C to the Eighth Amendment, executed by the Borrower in
      favor of the Swingline Lender, evidencing the indebtedness of the Borrower
      to
      the Swingline Lender in connection with the Swingline Loans.

    

    2.  Amendment
      of Section 2.1.1.  Subsection (c)
      of Section 2.1.1 of the Credit Agreement is hereby amended by deleting the
      words "and Swingline Loans".

    

    3.  Amendment
      of Section 2.1.2.  Section 2.1.2 of
      the Credit Agreement is hereby amended by deleting the words and punctuation
      "Swingline Loans,".

    

    4.  Amendment
      of Section 2.1.3.  Section 2.1.3 of
      the Credit Agreement is hereby amended to read as follows:

    

    2.1.3.                      Mandatory
      Reductions of Commitments.  Any Net Cash Proceeds or Reinvestment
      Prepayment Amount, as the case may be, not applied to the repayment of Term
      Loans pursuant to paragraph (3) or paragraph (4) of
subsection 3.1.2(c) shall be applied to the permanent reduction of
      the Swingline Commitment so long as any portion of the Swingline Commitment
      remains in effect and thereafter to the permanent reduction of the Revolving
      Credit Commitments so long as any portion of the Revolving Credit Commitments
      remains in effect.  Any reduction of the Swingline Commitment pursuant
      to this Section 2.1.3 shall be applied to scheduled reductions of
      the Swingline Commitment pursuant to subsection 2.4.1(a), in direct
      order of the scheduled reductions, to the extent not previously so
      applied.  In connection with any reduction of the Swingline Commitment
      or the Revolving Credit Commitment as aforesaid, the Borrower shall prepay
      Swingline Loans and Revolving Loans as and to the extent required by
paragraph (2) of subsection 3.1.2(c).  If
      after any such prepayment of Revolving Loans the aggregate principal amount
      of
      Letter of Credit Liabilities then outstanding exceeds the amount of the
      Revolving Credit Commitments as so reduced, the Borrower shall, to the extent
      of
      the balance of such excess, replace outstanding Letters of Credit or deposit
      an
      amount in immediately available funds in a Collateral Account established with
      the Administrative Agent in accordance with the procedures specified in
Section 11.3 in the same manner as if an Event of Default had
      occurred and was continuing.  After the Revolving Credit Commitments
      have been reduced to zero and all Obligations have been satisfied, any remaining
      amounts shall be paid to or retained by the Borrower or such other Person as
      shall be lawfully entitled thereto.

     

     

     

    
      
         

      

      
        -6-

        
          

        

      

      
         

      

    

    
 

    5.  Amendment
      of Section 2.3.1.  Section 2.3.1 of
      the Credit Agreement is hereby amended to read as follows:

    

    2.3.1.                      Commitment
      to Make Revolving Loans.  Subject to all of the terms and
      conditions of this Agreement (including the conditions set forth in
Sections 6.1 and 6.2) and in reliance upon the
      representations and warranties of the Borrower set forth herein, each Lender
      holding a Revolving Credit Commitment hereby severally agrees to make Revolving
      Loans to the Borrower from time to time during the Revolving Credit Commitment
      Period, in amounts up to its Percentage of the aggregate Revolving Credit
      Commitments, for the purposes identified in Section 2.12;
provided, however, that:

    

    (a)           the
      aggregate principal amount of the Revolving Loans made by any Lender that are
      outstanding at any time shall not exceed such Lender's Revolving Credit
      Commitment,

    

    (b)           the
      aggregate principal amount of the Revolving Loans made by all Lenders that
      are
      outstanding at any time shall not exceed the Revolving Credit Commitments then
      in effect, and

    

    (c)           the
      aggregate principal amount of the Revolving Loans and Letter of Credit
      Liabilities that are outstanding at any time shall not exceed the Credit
      Facility Base.

    

    Each
      Lender's Revolving Credit Commitment shall expire upon the expiration of the
      Revolving Credit Commitment Period, and all Revolving Loans shall be paid in
      full no later than the Revolving Credit Maturity Date.

     

     

     

    
      
         

      

      
        -7-

        
          

        

      

      
         

      

    

    
 

    6.  Amendment
      of Section 2.4.  Section 2.4 of the
      Credit Agreement is hereby amended to read as follows:

    

    2.4           Swingline
      Loans.

    

    2.4.1.                      Amount
      of Swingline Commitment.  The initial amount of the Swingline
      Commitment is $5,000,000, subject to reduction as follows:

    

    (a)           
      On April 1, 2008 and on the first day of each succeeding July, October,
      January and April thereafter, the amount of the Swingline Commitment as then
      in
      effect shall be reduced by $312,500.

    

    (b)           The
      Borrower shall have the right, at any time and from time to time, to terminate
      in whole or permanently reduce in part, without premium or penalty, the
      Swingline Commitment in an amount up to the amount by which the Swingline
      Commitment exceeds the aggregate amount of the then outstanding Swingline
      Loans.  The Borrower shall give not less than ten (10) Business
      Days' prior written notice to the Administrative Agent and the Swingline Lender
      designating the date (which shall be a Business Day) of such termination or
      reduction and the amount of any reduction.  Such termination or
      reduction of the Swingline Commitment shall be effective on the date specified
      in the Borrower's notice.  Any such reduction of the Swingline
      Commitments shall be in a minimum amount of $500,000 and in integral multiples
      of $100,000.  Any reduction of the Swingline Commitment pursuant to
      this subsection (b) shall be applied to the scheduled reductions of
      the Swingline Commitment pursuant to the preceding subsection (a),
      in direct order of the scheduled reductions, to the extent not previously so
      applied.

    

    2.4.2                      Commitment
      to Make Swingline Loans.  Subject to all of the terms and
      conditions of this Agreement (including the conditions set forth in
Sections 6.1 and 6.2 and the limitations set forth in
Section 2.3.1), and in reliance upon the representations and
      warranties of the Borrower set forth herein, the Swingline Lender hereby agrees
      to make Swingline Loans to the Borrower from time to time during the Swingline
      Commitment Period, for the purposes identified in Section 2.12, in
      an aggregate principal amount at any time outstanding not to exceed the amount
      of the Swingline Commitment at such time.  Swingline Loans may be
      Eurodollar Loans or Base Rate Loans.  The Swingline Lender's
      commitment to make Swingline Loans as provided in this Section 2.4
      shall expire upon the expiration of the Swingline Commitment Period, and all
      Swingline Loans shall be paid in full no later than the Revolving Credit
      Maturity Date.

    

    2.4.3                      Revolving
      Credit; Minimum Borrowings.  Amounts borrowed by the Borrower
      under the Swingline Commitment may be prepaid and reborrowed from time to time
      during the Swingline Commitment Period.  The amount of the Swingline
      Loan made on any Funding Date shall be in a minimum amount of $500,000 and
      in
      integral multiples of $100,000 in excess of that amount.

     

     

     

    
      
         

      

      
        -8-

        
          

        

      

      
         

      

    

    
 

    2.4.4                      Notice
      of Borrowing.

    

    (a)           Delivery
      of Notice.  Whenever the Borrower desires to borrow under
Section 2.4, it shall deliver to the Swingline Lender a Notice of
      Borrowing no later than 11:00 a.m. (Central time) on the proposed Funding Date
      (in the case of Base Rate Loans) or three (3) Business Days in advance of
      the proposed Funding Date (in the case of Eurodollar Loans).  The
      Notice of Borrowing shall specify (i) the proposed Funding Date (which
      shall be a Business Day), (ii) the amount of the proposed Borrowing,
      (iii) whether the proposed Borrowing shall be in the form of Base Rate
      Loans or Eurodollar Loans, and (iv) in the case of Eurodollar Loans, the
      requested Interest Period.  In lieu of delivering a Notice of
      Borrowing, the Borrower may give the Swingline Lender telephonic notice by
      the
      required time of notice of any proposed Borrowing under this
Section 2.4.4; provided, however, that such notice shall be
      promptly confirmed in writing by delivery of a Notice of Borrowing to the
      Swingline Lender on or prior to the Funding Date of the requested Swingline
      Loan.  The execution and delivery of each Notice of Borrowing shall be
      deemed a representation and warranty by the Borrower that the requested
      Swingline Loan may be made in accordance with, and will not violate the
      requirements of, this Agreement, including those set forth in
Sections 2.4.1 and 2.4.2.

    

    (b)           No
      Liability for Telephonic Notices.  The Swingline Lender shall not
      incur any liability to the Borrower in acting upon any telephonic notice given
      pursuant to this Section 2.4.4 that the Swingline Lender believes in
      good faith to have been given by a duly authorized officer or other person
      authorized to borrow on behalf of the Borrower or for otherwise acting in good
      faith under this Section 2.4.4 and, upon the funding of a Swingline
      Loan by the Swingline Lender in accordance with this Agreement pursuant to
      any
      telephonic notice, the Borrower shall have effected a Borrowing of a Swingline
      Loan hereunder.

    

    (c)           Notice
      Irrevocable.  A Notice of Borrowing for Eurodollar Loans (or a
      telephonic notice in lieu thereof) shall be irrevocable on and after the related
      Interest Rate Determination Date, and the Borrower shall be bound to make a
      Borrowing in accordance therewith.

    

    2.4.5                      Disbursement
      of Funds.  Not later than 2:00 p.m., Central time, on the Business
      Day of the proposed Borrowing of a Swingline Loan, the Swingline Lender shall
      make the proceeds of the requested Swingline Loan available to the Borrower
      at
      the office of the Swingline Lender by crediting an account of the Borrower
      maintained at such office that has been designated for such purpose in writing
      by the Borrower to the Swingline Lender.

     

     

     

    
      
         

      

      
        -9-

        
          

        

      

      
         

      

    

    
 

    7.  Amendment
      of Section 2.8.1.  Section 2.8.1 of
      the Credit Agreement is hereby amended to read as follows:

    

    

    2.8.1.                      Interest
      Rate on Loans.  Subject to Section 2.8.3, the unpaid
      principal balances of the Loans shall bear interest from their respective
      Funding Dates through maturity (whether by acceleration or otherwise) (including
      post-petition interest in any case or proceeding under applicable bankruptcy
      laws) at a rate determined by reference to the Base Rate or the Eurodollar
      Rate.  The applicable basis for determining the rate of interest for
      Loans shall be selected by the Borrower at the time a Notice of Borrowing is
      given pursuant to Section 2.2.4 or Section 2.3.4 or at
      the time a Notice of Conversion/Continuation is given pursuant to
Section 2.9.2.  If on any day any Loan is outstanding with
      respect to which notice has not been delivered to the Administrative Agent
      in
      accordance with the terms of this Agreement specifying the basis for determining
      the rate of interest, then for that day such Loan shall bear interest determined
      by reference to the Base Rate.  The Loans shall bear interest as
      follows:

    

    (a)           if
      a Base Rate Loan, then at a fluctuating rate per annum equal to the sum of
      the
      Base Rate, as it varies from time to time, plus the Applicable Base Rate Margin;
      or

    

    (b)           if
      a Eurodollar Loan, then at a rate per annum equal to the sum of the Eurodollar
      Rate plus the Applicable Eurodollar Rate Margin.

    

    8.  Amendment
      of Section 2.12(b).  Clause (3) of
      Section 2.12(b) is hereby amended by adding the words "Permitted
      Acquisitions and" immediately prior to the words "the making of Capital
      Expenditures".

    

    9.  Amendment
      of Section 2.13.3.  The first sentence
      of Section 2.13.3 is hereby amended to read as follows:

    

    The
      Borrower agrees to pay (a) to the Administrative Agent, for distribution to
      the Lenders holding Revolving Credit Commitments in proportion to their
      respective Percentages, during the Revolving Credit Commitment Period, annual
      commitment fees equal to the average of the daily unused portion of the
      Revolving Credit Commitments (i.e., the aggregate amount of the
      Revolving Credit Commitments less the aggregate amount of Revolving Loans
      and Letter of Credit Liabilities outstanding) multiplied by the Applicable
      Commitment Fee Percentage, and (b) to the Swingline Lender, during the
      Swingline Commitment Period, an annual commitment fee equal to the average
      of
      the daily unused portion of the Swingline Commitment (i.e., the amount
      of the Swingline Commitment less the aggregate amount of Swingline Loans
      outstanding) multiplied by the Applicable Commitment Fee Percentage (such fees
      payable in respect of the Revolving Credit Commitments and the Swingline
      Commitment being referred to herein as "Commitment Fees").

     

     

     

    
      
         

      

      
        -10-

        
          

        

      

      
         

      

    

    
 

    10.  Amendment
      of Section 2.15.  Section 2.15 of
      the Credit Agreement is hereby amended to read as follows:

    

    2.15           Interest
      and Fees Margins.  For purposes of interest and fee computations
      hereunder involving the Applicable Base Rate Margin, the Applicable Eurodollar
      Rate Margin, the Applicable Letter of Credit Fee Percentage and the Applicable
      Commitment Fee Percentage, such margins and percentages shall be determined
      as
      follows:

    

    
      	
              Tier

            	 	
              Applicable

              Eurodollar
                Rate

              Margin

            	 	
              Applicable

              Base
                Rate

              Margin

            	 	
              Applicable

              Letter
                of

              Credit
                Fee

              Percentage

            	 	
              Applicable

              Commitment

              Fee

              Percentage

            
	 	 	 	 	 	 	 	 	 
	
              1

            	 	
              1.250%

            	 	
              0.000%

            	 	
              1.250%

            	 	
              0.300%

            
	
              2

            	 	
              1.625%

            	 	
              0.000%

            	 	
              1.625%

            	 	
              0.300%

            
	
              3

            	 	
              2.000%

            	 	
              0.250%

            	 	
              2.000%

            	 	
              0.375%

            

    

    

    Except
      as
      expressly hereinafter provided, the applicable tier at any time shall be
      determined with reference to the Borrower's Funded Indebtedness to EBITDA Ratio,
      as follows:

    

    Tier      
                 Funded
      Indebtedness to EBITDA Ratio

    

      1                      Less
      than 1.50 to 1.00

    

      2                      Greater
      than or equal to 1.50 to 1.00 but less than 2.25 to 1.00

    

      3                      Equal
      to or greater than 2.25

    

    From
      the date hereof to but not
      including the first Pricing Tier Determination Date occurring after
      June 30, 2007, Tier 2 shall be applicable.  Any adjustment
      in the margins set forth above shall take effect on the first Pricing Tier
      Determination Date following the Fiscal Quarter as of the end of which such
      ratio was calculated; provided, however, that following any failure of
      the Borrower to deliver to the Administrative Agent any of the financial
      statements, financial reports, certificates or other financial information
      required by Section 8.1.1 or Section 8.1.2 in a timely
      manner and until such failure is cured or corrected, and without limitation
      of
      or prejudice to any other right or remedy of the Administrative Agent, the
      Lenders or the Issuing Bank in respect of such failure, Tier 3 shall be
      applicable.

     

     

    
      
         

      

      
        -11-

        
          

        

      

      
         

      

    

    
 

    11.  Amendment
      of Subsection 3.1.2.

    

    (a)  Subsection (b)(1)
      of Section 3.1.2 of the Credit Agreement is hereby amended to read as
      follows:

    

    (1)           The
      Borrower may prepay Swingline Loans, in whole or in part, at any time and from
      time to time.  Except to the extent that repayment of Swingline Loans
      is being administered through an automated cash management system mutually
      approved in writing by the Borrower and the Administrative Agent, (A) the
      Borrower shall give the Administrative Agent written notice (or telephonic
      notice confirmed in writing) not later than 11:00 a.m. (Central time) on the
      Business Day of any proposed prepayment of Base Rate Loans and not less than
      three (3) Business Days' prior written notice (or telephonic notice confirmed
      in
      writing) with respect to any proposed prepayment of Eurodollar Loans (each
      of
      which notices the Administrative Agent will promptly transmit to each Lender
      in
      writing, or by telephone confirmed in writing), and (B) Swingline Loans
      shall be prepaid in whole, or in part in integral multiples of
      $100,000.  Notwithstanding the foregoing, (A) Eurodollar Loans
      may only be prepaid in part if, after such prepayment, the unpaid portion of
      such Loans shall have aggregate minimum balances of $500,000, and (B) in
      connection with any prepayment of Eurodollar Loans, the Borrower shall pay
      to
      the Administrative Agent, for distribution to the Lenders, the accrued interest
      on such Eurodollar Loans required to be paid pursuant to
Section 3.1.1 and any amounts required to be paid pursuant to
Section 3.4.5.

    

    (b)  Subsections (c)(1)
      through (c)(5) of Section 3.1.2 of the Credit Agreement are hereby amended
      to read as follows:

    

    (1)           [Reserved.].

    

    (2)           The
      Borrower shall prepay Loans as and to the extent necessary so that at no time
      will (A) the aggregate principal amount of Swingline Loans outstanding
      exceed the Swingline Commitment in effect at such time, (B) the aggregate
      principal amount of Term Loans, Revolving Loans and Letter of Credit Liabilities
      outstanding exceed the Commitments in effect at such time, and (C) any
      applicable limits specified in Section 2.3.1,
Section 2.4.1, Section 2.4.2 or
Section 2.5.1 be exceeded.  Any prepayments made by the
      Borrower in respect of Term Loans pursuant to this paragraph (2)
      shall be applied first to outstanding Term Loans that are Base Rate
      Loans, to the full extent thereof, in inverse order of maturity, and next
      to Term Loans that are Eurodollar Loans, to the full extent thereof, in inverse
      order of maturity.  Any prepayments made by the Borrower in respect of
      Swingline Loans pursuant to this paragraph (2) shall be applied
first to outstanding Swingline Loans that are Base Rate Loans, to
      the
      full extent thereof, and next to outstanding Swingline Loans that are
      Eurodollar Loans, to the full extent thereof.  Any prepayments made by
      the Borrower in respect of Revolving Loans pursuant to this
paragraph (2) shall be applied first to outstanding Revolving
      Loans that are Base Rate Loans, to the full extent thereof, and next to
      outstanding Revolving Loans that are Eurodollar Loans, to the full extent
      thereof.

     

     

     

    
      
         

      

      
        -12-

        
          

        

      

      
         

      

    

    
 

    (3)           If
      on any date any Capital Stock shall be issued or Indebtedness shall be incurred
      by the Borrower or any of the other Credit Parties other than pursuant to an
      Excluded Prepayment Transaction, then an amount equal to 100% of the Net Cash
      Proceeds thereof shall be applied on such date to the prepayment of outstanding
      Term Loans to the full extent thereof and thereafter to the reduction of the
      Swingline Commitment and the Revolving Credit Commitments and the repayment
      of
      outstanding Swingline Loans and Revolving Loans as set forth in
subsection 2.1.3.

    

    (4)           If
      on any date the Borrower or any Guarantor shall receive Net Cash Proceeds from
      any Asset Sale or Recovery Event then, unless a Reinvestment Notice shall have
      been delivered previously to the Administrative Agent in respect thereof, such
      Net Cash Proceeds shall be applied on such date to the prepayment of outstanding
      Term Loans to the full extent thereof and thereafter to the reduction of the
      Swingline Commitment and the Revolving Credit Commitments and the repayment
      of
      Swingline Loans and Revolving Loans as set forth in
subsection 2.1.3; provided that on each Reinvestment
      Prepayment Date, an amount equal to the Reinvestment Prepayment Amount with
      respect to the relevant Reinvestment Event shall be applied to the prepayment
      of
      outstanding Term Loans to the full extent thereof and thereafter to the
      reduction of the Swingline Commitment and the Revolving Credit Commitments
      and
      the repayment of Swingline Loans and Revolving Loans as set forth in
subsection 2.1.3.

    

    (5)           Prepayments
      of Loans pursuant to the preceding paragraphs (3) and (4)
      shall be applied first to outstanding Term Loans that are Base Rate
      Loans, to the full extent thereof, in inverse order of maturity, next to
      outstanding Term Loans that are Eurodollar Loans, to the full extent thereof,
      in
      inverse order of maturity, next to outstanding Swingline Loans that are
      Base Rate Loans, to the full extent thereof, next to outstanding
      Swingline Loans that are Eurodollar Loans, to the full extent thereof,
next to outstanding Revolving Loans that are Base Rate Loans, to the full
      extent thereof, and finally to outstanding Revolving Loans that are
      Eurodollar Loans, to the full extent thereof.

     

     

     

    
      
         

      

      
        -13-

        
          

        

      

      
         

      

    

    
 

    12.  Amendment
      of Section 8.2.  Section 8.2.7 of
      the Credit Agreement is hereby renumbered as Section 8.2.9, and the
      following new Sections 8.2.7  and 8.2.8 are hereby
      inserted immediately prior thereto:

    

    8.2.7.                      Asset
      Acquisitions.  Not later than thirty (30) days prior to the
      consummation of any Asset Acquisition, notice of the pendency of such Asset
      Acquisition, and not later than ten (10) Business Days prior to the consummation
      of such Asset Acquisition, the following:

    

    (a)           a
      reasonably detailed description of the operating profile for the assets to
      be
      acquired in such Asset Acquisition, and

    

    (b)           a
      reasonably detailed description of the terms and conditions of such Asset
      Acquisition, including the proposed purchase price and the manner and structure
      of payment(s), accompanied by copies of the then-current drafts of the proposed
      acquisition agreement(s), and

    

    (c)           copies
      of financial statements for the Person owning the assets to be acquired or
      in
      which Capital Stock is being purchased in the transaction for the two (2) most
      recent fiscal years, if available, and for any subsequent interim accounting
      periods, if available, and

    

    (d)           a
      certificate duly executed by a Responsible Officer of the Borrower, in form
      satisfactory to the Administrative Agent, certifying that no Default has
      occurred and is continuing or will result from such Asset Acquisition,
      certifying that after giving Pro Forma Effect to such Asset Acquisition and
      to
      any other relevant transaction occurring during the then most recent
      twelve (12) month period such Responsible Officer reasonably believes that
      such Asset Acquisition will not result in a violation of any of the financial
      covenants contained herein during the twelve (12) month period following
      such Asset Acquisition, and setting forth computations demonstrating compliance
      with all financial covenants contained herein as of the end of the Fiscal
      Quarter then most recently completed, after giving Pro Forma Effect to such
      Asset Acquisition and to any other relevant transaction occurring during the
      then most recent twelve (12) month period.

    

    8.2.8.                      Acquisition
      Documents.  Not later than fifteen (15) days after the
      consummation of any Asset Acquisition, copies of the material executed documents
      evidencing the transaction.

    

    13.  Amendment
      of Section 8.21.  Section 8.21 of the
      Credit Agreement is hereby amended by deleting "Haywood D. Cochrane, Jr. – Vice
      Chairman", and substituting in lieu thereof "R. Dixon Thayer – Chief Executive
      Officer".

    

    14.  Amendment
      of Section 9.4.  Section 9.4 of the
      Credit Agreement is hereby amended by (a) deleting the word "and" at the
      end of clause (i), (b) relettering clause (j) as clause (l),
      and (c) inserting the following new clauses (j) and (k) immediately
      prior to relettered clause (l):

     

     

     

    
      
         

      

      
        -14-

        
          

        

      

      
         

      

    

    
 

    (j)           Investments
      consisting of Permitted Acquisitions;

    

    (k)           Investments
      consisting of amounts potentially due from a seller of assets in a Permitted
      Acquisition that (i) relate to customary post-closing adjustments with
      respect to accounts receivable, accounts payable and similar items typically
      subject to post-closing adjustments in similar transactions, and (ii) at
      the time made or incurred are reasonably expected to be outstanding for a period
      of one hundred eighty (180) days or less following the closing of such Permitted
      Acquisition;

    

    15.  Amendment
      of Section 9.7.  Section 9.7
      of the Credit Agreement is hereby amended by (a) inserting the words "other
      than a Permitted Acquisition" after the words "Asset Acquisition" in
      clause (c), and (b) inserting the following new clause (1) as the
      first clause of the proviso and relettering subsequent clauses
      accordingly:

    

    (1)           notwithstanding
      clause (a) of this Section 9.7, the merger,
      consolidation or amalgamation of any Subsidiary of the Borrower with any other
      Person as the method by which a Permitted Acquisition is accomplished shall
      be
      permitted, provided that either (A) the Borrower or such
      Subsidiary is the surviving entity in the transaction, or (B) such Person
      is the surviving entity in the transaction and has complied with the provisions
      of Section 8.18 prior to or contemporaneously with the consummation
      of the transaction;

    

    16.  Amendment
      of Section 9.8.  Section 9.8 of the
      Credit Agreement is hereby amended to read as follows:

    

    9.8           Capital
      Expenditures.  Make or commit to make Capital Expenditures in an
      aggregate amount exceeding $5,000,000 in any Fiscal Year, excluding Capital
      Expenditures fully reimbursed in cash by its customer (without any corresponding
      obligation by the Borrower or any of its Subsidiaries) within sixty (60) days
      of
      the making of such Capital Expenditures.

    

    17.  Amendment
      of
      Section 10.1.1.  Section 10.1.1
      of the Credit Agreement is hereby amended to read as follows:

    

    10.1.1.                      [Reserved.]

    

    18.  Amendment
      of
      Section 10.1.2.  Section 10.1.2
      of the Credit Agreement is hereby amended to read as follows:

    

    10.1.2.                      [Reserved.]

     

     

     

    
      
         

      

      
        -15-

        
          

        

      

      
         

      

    

    
 

    19.  Amendment
      of
      Section 10.1.3.  Section 10.1.3
      of the Credit Agreement is hereby amended to read as follows:

    

    10.1.3.  Fixed
      Charge Coverage Ratio.  Permit the Fixed Charge Coverage Ratio as
      of the end of any Fiscal Quarter to be less than 1.25 to 1.00.

    

    20.  Amendment
      of
      Section 10.1.4.  Section 10.1.4
      of the Credit Agreement is hereby amended to read as follows:

    

    10.1.4.                      Minimum
      EBITDA.  Permit EBITDA for each period indicated below, calculated
      after giving Pro Forma Effect to any relevant transaction occurring during
      such
      period, to be less than the amount specified for such period:

    

    
      	
              Period

            	
              Minimum
                EBITDA

            
	 	 
	
              January
                1, 2007 – June 30, 2007

            	
              $
                3,365,000

            
	
              April
                1, 2007 – September 30, 2007

            	
                3,400,000

            
	
              April
                1, 2007 – December 31, 2007

            	
                4,665,000

            
	
              Last
                Four Fiscal Quarters ending March 31, 2008

            	
                6,040,000

            
	
              Last
                Four Fiscal Quarters ending June 30, 2008

            	
                5,830,000

            
	
              Last
                Four Fiscal Quarters ending September 30, 2008

            	
                6,505,000

            
	
              Last
                Four Fiscal Quarters ending December 31, 2008

            	
                7,185,000

            
	
              Last
                Four Fiscal Quarters ending March 31, 2009

            	
                7,185,000

            

    

    

    21.  Amendment
      of
      Section 10.1.5.  Section 10.1.5
      of the Credit Agreement is hereby amended to read as follows:

    

    10.1.5.  Minimum
      Net Worth.  Permit Consolidated Net Worth as of the end of any
      Fiscal Quarter ending on or after June 30, 2007 to be less than the sum of
      (a) $61,296,000, plus (b) seventy-five percent (75%) of cumulative
      Consolidated Net Income for each Fiscal Quarter beginning with the Fiscal
      Quarter ending June 30, 2007, without reduction for any losses during any
      Fiscal Quarter, plus (c) 100% of the Net Cash Proceeds of any Capital Stock
      issued by the Borrower or any of the other Credit Parties (excluding Capital
      Stock issued by a Credit Party other than the Borrower to any other Credit
      Party) subsequent to June 30, 2007; provided, however, that the
      calculations made pursuant to this Section 10.1.5 shall be adjusted
      annually following receipt by the Administrative Agent of the financial
      statements furnished pursuant to Section 8.1.1 in order to take into
      account customary year-end adjustments to Consolidated Net Income consistent
      with the foregoing.

    

    22.  Conditions
      to Effectiveness.  This Amendment shall
      be effective only upon the satisfaction of the following
      conditions:

    

    (a)  the
      Borrower, each of the Guarantors, the Administrative Agent, the Issuing Bank
      and
      Requisite Lenders shall have executed and delivered a counterpart of this
      Amendment;

     

     

    
      
         

      

      
        -16-

        
          

        

      

      
         

      

    

    
 

    (b)  the
      Borrower shall have executed and delivered to the Swingline Lender the Swingline
      Note;

    

    (c)  each
      of
      the representations and warranties of the Borrower contained in
Section 23 shall be true and correct in all material respects as of
      the date as of which all of the other conditions contained in this
Section 22 shall have been satisfied; and

    

    (d)  the
      Administrative Agent shall have received such documents, instruments,
      certificates, opinions and approvals as it reasonably may have
      requested.

    

    23.  Representations
      and Warranties of the Borrower and the
      Guarantors.  As an inducement to the
      Lenders, the Issuing Bank and the Administrative Agent to enter into this
      Amendment, the Borrower and the Guarantors hereby represent and warrant that,
      on
      and as of the date hereof, and taking into account the provisions hereof, the
      representations and warranties contained in the Credit Agreement and the other
      Loan Documents are true and correct in all material respects, except for
      (a) representations and warranties that expressly relate to an earlier
      date, which remain true and correct as of said earlier date,
      (b) representations and warranties that have become untrue or incorrect
      solely because of changes permitted by the terms of the Credit Agreement and
      the
      other Loan Documents, and (c) the representations and warranties set forth
      in paragraphs (a), (d) and (e) of Section 7.5 of the Credit Agreement, as
      to which no further representation or warranty is made herein.

    

    24.  Effect
      of Amendment; Continuing Effectiveness of Credit Agreement and Loan
      Documents.

    

    (a)  Neither
      this Amendment nor any other indulgences that may have been granted to the
      Borrower or any Guarantor by the Administrative Agent, the Issuing Bank or
      any
      Lender shall constitute a course of dealing or otherwise obligate the
      Administrative Agent, the Issuing Bank or any Lender to modify, expand or extend
      the agreements contained herein, to agree to any other amendments to the Credit
      Agreement or to grant any consent to, waiver of or indulgence with respect
      to
      any other noncompliance with any provision of the Loan Documents.

    

    (b)  Upon
      and
      after the effectiveness of this Amendment, each reference in the Credit
      Agreement to "this Agreement", "hereunder", "hereof" or words of like import
      referring to the Credit Agreement, and each reference in the other Loan
      Documents to "the Credit Agreement", "thereunder", "thereof" or words of like
      import referring to the Credit Agreement, shall mean and be a reference to
      the
      Credit Agreement as modified hereby.  This Amendment shall constitute
      a Loan Document for all purposes of the Credit Agreement and the other Loan
      Documents.

    

    (c)  Any
      noncompliance by the Borrower or any Guarantor with any of the covenants, terms,
      conditions or provisions of this Amendment shall constitute an Event of
      Default.

     

     

    
      
         

      

      
        -17-

        
          

        

      

      
         

      

    

    
 

    (d)  Except
      to
      the extent amended or modified hereby, the Credit Agreement, the other Loan
      Documents and all terms, conditions and provisions thereof shall continue in
      full force and effect in all respects and shall be construed in accordance
      with
      the modifications of the Credit Agreement effected hereby.  Without
      limiting the generality of the foregoing, the Security Documents and all of
      the
      Collateral described therein secure and shall continue to secure the payment
      of
      all Obligations, in each case taking into account the modifications of the
      Credit Agreement effected hereby.

    

    25.  Release
      and Waiver.  The Borrower and the
      Guarantors hereby stipulate, acknowledge and agree that they have no claims
      or
      causes of action of any kind whatsoever against any of the Lenders, the Issuing
      Bank or the Administrative Agent arising out of or relating in any way to any
      event, circumstance, action or failure to act with respect to this Amendment,
      the Credit Agreement, the other Loan Documents or any matters described or
      referred to herein or therein or otherwise related hereto or
      thereto.  The Borrower and the Guarantors hereby release all of the
      Lenders, the Issuing Bank and the Administrative Agent from any and all claims,
      causes of action, demands and liabilities of any kind whatsoever, whether direct
      or indirect, fixed or contingent, liquidated or unliquidated, disputed or
      undisputed, known or unknown, that the Borrower or any Guarantor may now or
      hereafter have and that arise out of or relate in any way to any event,
      circumstance, action or failure to act on or before the date of this Amendment
      with respect to this Amendment, the Credit Agreement, the other Loan Documents
      or any matters described or referred to herein or therein or otherwise related
      hereto or thereto.  The release by the Borrower and the Guarantors
      herein, together with the other terms and provisions of this Amendment, are
      entered into by the Borrower and the Guarantors advisedly and without
      compulsion, coercion or duress, the Borrower and the Guarantors having
      determined that this Amendment and all of its terms, conditions and provisions
      are in the economic best interests of the Borrower and the
      Guarantors.  The Borrower and the Guarantors represent that they are
      entering into this Amendment freely and with the advice of counsel as to their
      legal alternatives.

    

    26.  Further
      Actions.  Each of the parties to this
      Amendment agrees that at any time and from time to time upon written request
      of
      any other party, it will execute and deliver such further documents and do
      such
      further acts and things as such other party reasonably may request in order
      to
      effect the intents and purposes of this Amendment.

    

    27.  Counterparts.  This
      Amendment may be executed in multiple counterparts or copies, each of which
      shall be deemed an original hereof for all purposes.  One or more
      counterparts or copies of this Amendment may be executed by one or more of
      the
      parties hereto, and some different counterparts or copies executed by one or
      more of the other parties.  Each counterpart or copy hereof executed
      by any party hereto shall be binding upon the party executing same even though
      other parties may execute one or more different counterparts or copies, and
      all
      counterparts or copies hereof so executed shall constitute but one and the
      same
      agreement.  Each party hereto, by execution of one or more
      counterparts or copies hereof, expressly authorizes and directs any other party
      hereto to detach the signature pages and any corresponding acknowledgment,
      attestation, witness or similar pages relating thereto from any such counterpart
      or copy hereof executed by the authorizing party and affix same to one or more
      other identical counterparts or copies hereof so that upon execution of multiple
      counterparts or copies hereof by all parties hereto, there shall be one or
      more
      counterparts or copies hereof to which is(are) attached signature pages
      containing signatures of all parties hereto and any corresponding
      acknowledgment, attestation, witness or similar pages relating
      thereto.

     

     

    
      
         

      

      
        -18-

        
          

        

      

      
         

      

    

    
 

    28.  Miscellaneous.

    

    (a)  This
      Amendment shall be governed by, construed and enforced in accordance with the
      laws of the State of Tennessee, without reference to the conflicts or choice
      of
      law principles thereof.

    

    (b)  The
      headings in this Amendment and the usage herein of defined terms are for
      convenience of reference only, and shall not be construed as amplifying,
      limiting or otherwise affecting the substantive provisions hereof.

    

    (c)  All
      references herein to the preamble, the recitals or sections, paragraphs,
      subparagraphs, annexes or exhibits are to the preamble, recitals, sections,
      paragraphs, subparagraphs, annexes and exhibits of or to this Amendment unless
      otherwise specified.  The words "hereof", "herein" and "hereunder" and
      words of similar import, when used in this Amendment, refer to this Amendment
      as
      a whole and not to any particular provision of this Amendment.

    

    (d)  Any
      reference herein to any instrument, document or agreement, by whatever
      terminology used, shall be deemed to include any and all amendments,
      modifications, supplements, extensions, renewals, substitutions and/or
      replacements thereof as the context may require.

    

    (e)  When
      used
      herein, (1) the singular shall include the plural, and vice versa, and the
      use
      of the masculine, feminine or neuter gender shall include all other genders,
      as
      appropriate, (2) "include", "includes" and "including" shall be deemed to be
      followed by "without limitation" regardless of whether such words or words
      of
      like import in fact follow same, and (3) unless the context clearly indicates
      otherwise, the disjunctive "or" shall include the conjunctive
      "and".

    

     IN
      WITNESS
      WHEREOF, the parties hereto have caused this Amendment to be duly
      executed and delivered as of the date first written above.

    

    

    

    [Remainder
      of Page Intentionally Left Blank;

    Signature
      Pages Follow]

    
      
        
             
      
    

         

      

      
        -19-

        
          

        

      

      
         

      

    

    [Signature
      Page to Eighth Amendment to Credit Agreement

    (I-trax,
      Inc.) dated June 29, 2007]

    

    

    

    BORROWER:

    

    

    I-TRAX,
      INC.

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    

    GUARANTORS:

    

    

    I-TRAX
      HEALTH MANAGEMENT SOLUTIONS, INC.,

    a
      Delaware corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    CONTINUUM
      MANAGEMENT SOLUTIONS, LLC

    (formerly
      I-trax Health Management Solutions, LLC),

    a
      Delaware limited liability company

    

    BY:           I-TRAX,
      INC., its sole member

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      ________________________________

    Title:                          Chairman                                           

    

     

     

     

    
      
         

      

      
        -20-

        
          

        

      

      
         

      

    

    
 

    CHD
      MERIDIAN HEALTHCARE, LLC,

    a
      Delaware limited liability company

    

    BY:           I-TRAX,
      INC., its sole member

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      ________________________________

    Title:                          Chairman                                           

    

    

    AMERICAN
      OCCUPATIONAL HEALTH MANAGEMENT, INC.,

    a
      Delaware corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    MEDICENTER,
      INC.,

    an
      Oklahoma corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    MERIDIAN
      COMP OF NEW YORK, INC.,

    a
      Delaware corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    CORPORATE
      HEALTH DIMENSIONS, INC.

    a
      New
      York corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

     

     

     

    
      
         

      

      
        -21-

        
          

        

      

      
         

      

    

    
 

    

    CHDM,
      INC.

    a
      Delaware corporation

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    

    

    CHDM,
      LLC

    an
      Indiana limited liability company

    

    

    By:                      /s/
      Frank A. Martin

    Name:
      _____________________________________

    Title:                          Chairman                                                      

    
      
         

      

      
        -22-

        
          

        

      

      
         

      

    

    [Signature
      Page to Eighth Amendment to Credit Agreement

    (I-trax,
      Inc.) dated June 29, 2007]

    

    

    ADMINISTRATIVE
      AGENT, LENDER, SWINGLINE LENDER AND ISSUING BANK:

    

    

    BANK
      OF
      AMERICA, N.A.

    

    

    By:                      /s/
      H. Hope Walker

           Name:
      ______________________________________

           Title:                                Vice
      President

     

     

     

     

    
      
             

         

      

      
        -23-ex10_1.htm

     
      
        

      

    

    Exhibit
      10.1

     

     

    
      
        
          
          

        

        
          
          

          
          

        

        
          
          

                

                              [Execution
              Copy]
              
    

        

      

      

       

      CREDIT
        AGREEMENT

       

      dated
        as of

       

      JUNE
        29, 2007

       

      between

       

      MEXICAN
        RESTAURANTS, INC., as Borrower,

       

      and

       

      WELLS
        FARGO BANK, N.A., as Lender

       

      

      
        
                

                    
      
      

                    {B0619138;
              10}      
    

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      CREDIT
        AGREEMENT

       

      THIS
        CREDIT AGREEMENT is made as of June 29, 2007, by and between MEXICAN
        RESTAURANTS, INC., a Texas corporation (the “Borrower”), and WELLS FARGO
        BANK, N.A., a national banking association (“Wells Fargo” or the
“Lender”).

       

      WHEREAS,
        the Borrower has requested that the Lender provide a revolving credit facility,
        and the Lender has indicated its willingness to lend and the LC Issuer has
        indicated its willingness to issue Letters of Credit, in each case, on the
        terms
        and subject to the conditions set forth herein;

       

      WHEREAS,
        each Guarantor is a direct or indirect wholly-owned Subsidiary of the
        Borrower;

       

      WHEREAS,
        the Borrower conducts the majority of its operations through such Guarantors,
        and the relationship between the Guarantors, as Subsidiaries of the Borrower,
        provides numerous benefits to the Guarantors, including shared purchasing
        strength, centralized management and other economies of scale;

       

      WHEREAS,
        the Guarantors will receive the benefit of extensions of credit from the
        Borrower and access to its cash flow for Capital Expenditures and Permitted
        Acquisitions on the terms and subject to the conditions set forth
        herein;

       

      WHEREAS,
        each Guarantor has agreed to guaranty the Obligations of the Lender and other
        Guarantors under the Loan Documents; and

       

      WHEREAS,
        by virtue of the foregoing and after giving effect to the probable liability
        of
        each Guarantor under the Guaranty and other Loan Documents, the Borrower
        and
        each Guarantor consider that it is receiving at least fair consideration
        and
        reasonably equivalent value from the Lender for the Obligations;

       

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

       

      SECTION
        I

       

      

       

      DEFINITIONS

       

      1.1  Definitions.

       

      All
        capitalized terms used in this Agreement or in the Notes or in any certificate,
        report or other document made or delivered pursuant to this Agreement (unless
        otherwise defined therein) shall have the meanings assigned to them
        below:

       

      Acquired
        Person.  Any Person that is the subject of a Permitted
        Acquisition.

       

      Affected
        Loans.  See Section ‎2.11(a).

       

      Affiliate.  With
        reference to any Person (i) any director or officer of that Person, (ii)
        any
        other Person controlling, controlled by or under direct or indirect common
        control of that Person, (iii) any other Person directly or indirectly holding
        5%
        or more of any class of the capital stock or other equity interests (including
        options, warrants, convertible securities and similar rights) of that Person
        and
        (iv) any other Person 5% or more of any class of whose capital stock or other
        equity interests (including options, warrants, convertible securities and
        similar rights) is held directly or indirectly by that Person.

       

      Agreement.  This
        Credit Agreement, including the Exhibits and Schedules hereto, as the same
        may
        be supplemented or amended or restated from time to time.

       

      Alternate
        Base Rate.  The greater of (i) the rate of interest announced from
        time to time by Wells Fargo at its head office as its “Base Rate”, and (ii) the
        Federal Funds Effective Rate plus 1/2 of 1% per annum (rounded upwards, if
        necessary, to the next 1/8 of 1%).  The Base Rate is a reference rate
        and does not necessarily represent the lowest or best rate being charged
        to any
        customer.  Any change in the Base Rate or the Federal Funds Effective
        Rate shall be effective from and including the effective date of such
        change.

       

      Anti-Terrorism
        Order.  The Executive Order 13224 issued on September 24,
        2001.

       

      Applicable
        Margin.   (i) From the Closing Date to the date on which
        the Lender receives the financial statements satisfying the requirements
        of
        Section ‎6.1(b)
        and a certificate pursuant to Section ‎6.1(d)
        for the first full Fiscal Quarter after the Closing Date, the applicable
        percentage set forth below for Pricing Level II below; (ii) thereafter, the
        applicable percentage per annum set forth below determined by reference to
        the
        Total Leverage Ratio as set forth in the most recent certificate received
        by the
        Lender pursuant to Section ‎6.1(d)
        with respect to any Fiscal Quarter:

       

      
        	
                Applicable
                  Margin

              
	
                Pricing
                  Level

              	
                Total

                Leverage
                  Ratio

              	
                Commitment
                  Fee

              	
                LIBOR
                  Loans

              	
                Base
                  Rate Loans

              	
                Letter
                  of Credit Fee

              
	
                I

              	
                >
                  1.5:1.0

              	
                0.50%

              	
                2.50%

              	
                1.00%

              	
                2.50%

              
	
                II

              	
                <
                  1.5:1.0

              	
                0.50%

              	
                2.25%

              	
                0.75%

              	
                2.25%

              

      

      

       

      Any
        increase or decrease in the Applicable Margin resulting from a change in
        the
        Total Leverage Ratio shall become effective as of the first Business Day
        immediately following the date a certificate is delivered pursuant to Section
        ‎6.1(d)
        with respect to any Fiscal Quarter; provided, however, that if a
        certificate is not delivered when due in accordance with such Section, then
        Pricing Level I shall apply, in each case as of the first Business Day after
        the
        date on which such certificate was required to have been delivered.

       

      Approved
        Fund.  Any Fund that is administered or managed by (a) the Lender
        or (b) an Affiliate of the Lender.

       

      Assignee.  See
        Section ‎10.1.

       

      Assignment
        and Assumption.  An assignment and assumption entered into by the
        Lender and an Eligible Assignee (with the consent of any party whose consent is
        required by Section ‎10.1(b)(ii)),
        in substantially the form of Exhibit D or any other form approved by the
        Lender.

       

      Attributable
        Indebtedness.  On any date, (a) in respect of any Capitalized
        Lease of any Person, the capitalized amount thereof that would appear on
        a
        balance sheet of such Person prepared as of such date in accordance with
        GAAP,
        (b) in respect of any Synthetic Lease Obligation, the capitalized amount
        of the
        remaining lease or similar payments under the relevant lease or other applicable
        agreement or instrument that would appear on a balance sheet of such Person
        prepared as of such date in accordance with GAAP if such lease or other
        agreement or instrument were accounted for as a Capitalized Lease and (c)
        all
        Synthetic Debt of such Person.

       

      Base
        Rate Loan.  Any Loan bearing interest determined with reference to
        the Alternate Base Rate.

       

      Borrower.  See
        the Preamble.

       

      Borrower’s
        Accountants.  UHY LLP, or such other independent certified public
        accountants as are selected by the Borrower and reasonably acceptable to
        the
        Lender.

       

      Business
        Day. (i) For all purposes other than as covered by clause (ii) below, any
        day other than a Saturday, Sunday or legal holiday on which banks in Boston,
        Massachusetts and  Los Angeles, California are open for the conduct of
        a substantial part of their commercial banking business; and (ii) with respect
        to all notices and determinations in connection with, and payments of principal
        and interest on, LIBOR Loans, any day that is a Business Day described in
        clause
        (i) and that is also a day on which dealings in U.S. dollar deposits are
        also
        carried on in the London interbank market and banks are open for business
        in
        London.

       

      Capital
        Expenditures.  With respect to any Person for any period, any
        expenditure in respect of the purchase or other acquisition of any fixed
        or
        capital asset (excluding normal replacements and maintenance which are properly
        charged to current operations); provided that, in calculating the amount
        of Capital Expenditures made by the Borrower or its Subsidiaries during any
        fiscal period, amounts received or receivable by the Borrower or its
        Subsidiaries from any landlord during such period in respect of landlord
        contributions, as specified in the applicable lease(s) with such landlord,
        shall
        be deducted from the amount of such Capital Expenditures.

       

      Capitalized
        Leases.  All leases that have been or should be, in accordance
        with GAAP, recorded as capitalized leases.

       

      Cash
        Collateralize.  To pledge and deposit with or deliver to the
        Lender, for the benefit of the LC Issuer and the Lender, as collateral for
        the
        Maximum Drawing Amount, cash or deposit account balances pursuant to
        documentation in form and substance satisfactory to the Lender and the LC
        Issuer.

       

      Cash
        Management Agreement.  Any agreement to provide cash management
        services, including treasury, depository, overdraft, credit or debit card,
        electronic funds transfer and other cash management arrangements.

       

      Cash
        Management Bank.  Any Person that, at the time it enters into a
        Cash Management Agreement, is the Lender or an Affiliate of the Lender, in
        its
        capacity as a party to such Cash Management Agreement.

       

      CFC.  A
        Person that is a controlled foreign corporation under Section 957 of the
        Code.

       

      Change
        of Control.   An event or series of events by
        which:  (i)  any Person or “group” (within the meaning of
        Section 13(d) of the Securities Exchange Act of 1934, as amended) of Persons
        (excluding David Neirenberg and D3 Family Fund) acting in concert as a
        partnership or other group shall, as a result of a tender or exchange offer,
        open market purchases, privately negotiated purchases or otherwise, have
        become,
        after the date hereof, the “beneficial owner” (within the meaning of such term
        under Rule 13d-3 under the Exchange Act) of securities of the Borrower
        representing 35% or more of the combined voting power of the then outstanding
        securities of the Borrower ordinarily (and apart from rights accruing under
        special circumstances) have the right to vote in the election of directors;
        (ii)
        the Board of Directors of the Borrower shall cease to consist of a majority
        of
        the individuals who constituted the Board of Directors as of the date hereof
        or
        who shall have become a member thereof subsequent to the date hereof after
        having been nominated, or otherwise approved in writing, by at least a majority
        of individuals who constituted the Board of Directors of the Borrower as
        of the
        date hereof; (iii) the Borrower is merged or consolidated with another
        corporation and as a result of such merger or consolidation less than 50.1%
        of
        the outstanding voting securities of the surviving or resulting corporation
        shall then be owned in the aggregate by the former stockholders of the Borrower,
        other than affiliates within the meaning of the Exchange Act; (iv) the Borrower
        transfers substantially all of its assets to another corporation which is
        not a
        wholly owned subsidiary of the Borrower; (v) Larry N. Forehand, David
        Nierenberg, Michael D. Domec, Louis P. Neeb and their affiliates cease to
        hold
        at least 20% in the aggregate of the outstanding shares of common stock of
        the
        Borrower any time prior to the Maturity Date; or (vi) Curt Glowacki, President
        and Chief Executive Officer, and Andrew J. Dennard, Chief Financial Officer
        and
        Treasurer, shall have ceased to hold the offices, and engage in the duties
        and
        have the responsibilities thereof, in the Borrower that they hold as of the
        Closing Date and a successor approved by the Lender shall not have been
        appointed within 30 days thereafter (such approval not to be unreasonably
        withheld or delayed).

       

      Closing
        Date.  The first date on which the conditions set forth in Section
‎4.1
        have been satisfied.

       

      Code.  The
        Internal Revenue Code of 1986 and the rules and regulations thereunder,
        collectively, as the same may from time to time be supplemented or amended
        and
        remain in effect.

       

      Collateral.  All
        of the property, rights and interests of the Borrower, its Subsidiaries and
        any
        other Person that are or are intended to be subject to the security interests
        and liens created by the Security Documents.

       

      Commitment.  The
        maximum dollar amount of credit which the Lender has agreed to loan to the
        Borrower as Loans or make available to the Borrower pursuant to Letters of
        Credit upon the terms and subject to the conditions of this Agreement, initially
        $10,000,000, as the Lender’s Commitment may be modified pursuant hereto and in
        effect from time to time.

       

      Commitment
        Fee.  See Section ‎2.5(a).

       

      Commitment
        Increase Supplement.  See Section ‎2.1(a)(ii).

       

      Consolidated
        EBITDA.  At any date of determination, an amount equal to
        Consolidated Net Income of the Borrower and its Subsidiaries for the most
        recently completed Measurement Period plus (a) the following to the
        extent excluded or deducted in calculating such Consolidated Net
        Income:  (i) Consolidated Interest Charges, (ii) the provision for
        Federal, state, local and foreign income taxes payable, (iii) depreciation
        (including, without limitation, depreciation of leasehold improvements) and
        amortization expense, (iv) other non-recurring expenses reducing such
        Consolidated Net Income which do not represent a cash item in such period
        or any
        future period (in each case of or by the Borrower and its Subsidiaries for
        such
        Measurement Period), (v) Consolidated Restaurant Pre-Opening Expenses and
        (vi)
        the items identified on, and only to the extent permitted by, Schedule
        1.1 hereof minus (b) the following to the extent included in
        calculating such Consolidated Net Income:  (i) Federal, state, local
        and foreign income tax credits and (ii) all non-recurring items increasing
        Consolidated Net Income (in each case of or by the Borrower and its Subsidiaries
        for such Measurement Period).

       

      Consolidated
        Fixed Charge Coverage Ratio.   At any date of determination,
        the ratio of (a) the total of (i) Consolidated EBITDA for the most recently
        completed Measurement Period, plus (ii) Consolidated Rent Expense for the
        most recently completed Measurement Period, less (iii) the aggregate
        amount of Federal, state, local and foreign income taxes paid in cash, in
        each
        case, of or by the Borrower and its Subsidiaries for such Measurement Period,
        and less (iv) the aggregate amount of all Maintenance Capital
        Expenditures made during such Measurement Period, to (b) the sum of
        (i) Consolidated Interest Charges for such Measurement Period, plus
        (ii) the aggregate principal amount of all regularly scheduled principal
        payments or redemptions or similar acquisitions for value of outstanding
        debt
        for borrowed money during such Measurement Period (excluding, however, (y)
        the
        repayment of the Indebtedness under the Existing Credit Agreement and the
        Harken
        note on the Closing Date and (z) any payments of principal from time to time
        with respect to the Loans made pursuant to this Agreement), and (iii) the
        Consolidated Rent Expense for such Measurement Period.

       

      Consolidated
        Funded Indebtedness.  As of any date of determination, for the
        Borrower and its Subsidiaries on a Consolidated basis, the sum of (a) the
        outstanding principal amount of all obligations, whether current or long-term,
        for borrowed money (including Obligations hereunder) and all obligations
        evidenced by bonds, debentures, notes, loan agreements or other similar
        instruments, (b) all purchase money Indebtedness, (c) all direct obligations
        arising under letters of credit, bankers’ acceptances, bank guaranties, surety
        bonds and similar instruments, (d) all obligations secured by any mortgage,
        pledge, security interest or other Encumbrance on property owned or acquired
        by
        the Borrower or any Subsidiary, whether or not the obligations secured thereby
        shall have been assumed, (e) all obligations in respect of the deferred purchase
        price of property or services (other than trade accounts payable in the ordinary
        course of business), (f) all Attributable Indebtedness, (g) without duplication,
        all Guarantees with respect to outstanding Indebtedness of the types specified
        in clauses (a) through (f) above of Persons other than the Borrower or any
        Subsidiary, and (h) all Indebtedness of the types referred to in clauses
        (a)
        through (g) above of any partnership or joint venture (other than a joint
        venture that is itself a corporation or limited liability company) in which
        the
        Borrower or a Subsidiary is a general partner or joint venturer, unless such
        Indebtedness is expressly made non-recourse to the Borrower or such
        Subsidiary.

       

      Consolidated
        Interest Charges.  For any Measurement Period, the sum of (a) all
        interest, premium payments, debt discount, fees, charges and related expenses
        in
        connection with borrowed money (including capitalized interest) or in connection
        with the deferred purchase price of assets, in each case to the extent treated
        as interest in accordance with GAAP, (b) all interest paid or payable with
        respect to discontinued operations and (c) the portion of rent expense under
        Capitalized Leases that is treated as interest in accordance with GAAP, in
        each
        case, of or by the Borrower and its Subsidiaries on a Consolidated basis
        for the
        most recently completed Measurement Period.

       

      Consolidated
        Net Income.  At any date of determination, the net income (or
        loss) of the Borrower and its Subsidiaries on a Consolidated basis for the
        most
        recently completed Measurement Period; provided that Consolidated Net
        Income shall exclude: (a) extraordinary gains and extraordinary losses for
        such
        Measurement Period; (b) the net income of any Subsidiary during such Measurement
        Period to the extent that the declaration or payment of dividends or similar
        distributions by such Subsidiary of such income is not permitted by operation
        of
        the terms of its organization documents or any agreement, instrument or law
        applicable to such Subsidiary during such Measurement Period, except that
        the
        Borrower’s equity in any net loss of any such Subsidiary for such Measurement
        Period shall be included in determining Consolidated Net Income; (c) any
        income
        (or loss) for such Period of any Person if such Person is not a Subsidiary,
        except that the Borrower’s equity in the net income of any such Person for such
        Measurement Period shall be included in Consolidated Net Income up to the
        aggregate amount of cash actually distributed by such Person during such
        Period
        to the Borrower or a Subsidiary as a dividend or other distribution (and
        in the
        case of a dividend or other distribution to a Subsidiary, such Subsidiary
        is not
        precluded from further distributing such amount to the Borrower as described
        in
        clause (b) of this proviso); (d) any gain or loss arising from any write-up
        of
        assets, except to the extent inclusion thereof shall be approved in writing
        by
        the Lender; (e) earnings of any Subsidiary accrued prior to the date it became
        a
        Subsidiary; (f) any non-cash stock based compensation income or expense related
        to restricted stock or stock options; (g) any deferred or other credit
        representing any excess of the equity of any Subsidiary at the date of
        acquisition thereof over the amount invested in such Subsidiary; and (h)
        the
        proceeds of any life insurance policy.

       

      Consolidated
        Rent Expense.  For any Measurement Period, the sum of all rental
        obligations (payable in cash) incurred by the Borrower or any Subsidiary
        during
        such Measurement Period with respect to all real and personal property,
        calculated in accordance with GAAP on a Consolidated basis.

       

      Consolidated
        Restaurant Pre-Opening  Expenses.  “Start-up Costs” (as
        defined in SOP 98-5 published by the American Institute of Certified Public
        Accountants) of the Borrower related to the acquisition, opening and organizing
        of New Operating Units, such costs including, without limitation, the cost
        of
        feasibility studies, initial marketing costs, construction period rents,
        staff
        training, and recruiting and travel costs for employees engaged in such start-up
        activities.

       

      Default.  An
        Event of Default or event or condition that, but for the requirement that
        time
        elapse or notice be given, or both, would constitute an Event of
        Default.

       

      Disposition
        or Dispose.  The sale, transfer, license, lease or other
        disposition (including any sale and leaseback transaction) of any property
        by
        any Person (or the granting of any option or other right to do any of the
        foregoing), including any sale, assignment, transfer or other disposal, with
        or
        without recourse, of any notes or accounts receivable or any rights and claims
        associated therewith.

       

      Drawdown
        Date.  The Business Day on which any Loan is made or is to be
        made.

       

      Exchange
        Act.  Securities Exchange Act of 1934, as amended.

       

      Eligible
        Assignee.   Any Person that meets the requirements to be an
        assignee under Section ‎10.1(b)(i),
        ‎(iii)
        and ‎(iv)
        (subject to such consents, if any, as may be required under Section ‎10.1(b)(i)).

       

      Eligible
        Swap Agreements.  Swap Agreements purchased by the Borrower from a
        Swap Bank and approved by the Lender (such approval not to be unreasonably
        withheld or delayed).

       

      Encumbrances.  See
        Section ‎8.3.

       

      Environmental
        Laws.  Any and all applicable federal, state and local
        environmental, health or safety statutes, laws, regulations, rules and
        ordinances (whether now existing or hereafter enacted or promulgated), and
        all
        applicable judicial, administrative and regulatory decrees, judgments and
        orders, including common law rulings and determinations, relating to injury
        to,
        or the protection of, human health or the environment, including, without
        limitation, all requirements pertaining to reporting, licensing, permitting,
        investigation, remediation and removal of emissions, discharges, releases
        or
        threatened releases of Hazardous Materials into the environment or relating
        to
        the manufacture, processing, distribution, use, treatment, storage, disposal,
        transport or handling of such Hazardous Materials.

       

      Equity
        Interests.  With respect to any Person, all of the shares of
        capital stock of (or other ownership or profit interests in) such Person,
        all of
        the warrants, options or other rights for the purchase or acquisition from
        such
        Person of shares of capital stock of (or other ownership or profit interests
        in)
        such Person, all of the securities convertible into or exchangeable for shares
        of capital stock of (or other ownership or profit interests in) such Person
        or
        warrants, rights or options for the purchase or acquisition from such Person
        of
        such shares (or such other interests), and all of the other ownership or
        profit
        interests in such Person (including partnership, member or trust interests
        therein), whether voting or nonvoting, and whether or not such shares, warrants,
        options, rights or other interests are outstanding on any date of
        determination.

       

      ERISA.  The
        Employee Retirement Income Security Act of 1974 and the rules and regulations
        thereunder, collectively, as the same may from time to time be supplemented
        or
        amended and remain in effect.

       

      ERISA
        Affiliate.  Any trade or business, whether or not incorporated,
        that is treated as a single employer with the Borrower under Section 414(b),
        (c), (m) or (o) of the Code and Section 4001(a)(14) of ERISA.

       

      ERISA
        Event.  (a) Any “reportable event,” as defined in Section 4043 of
        ERISA or the regulations issued thereunder, with respect to a Plan unless
        the
        30-day notice requirement with respect to such event has been waived by the
        PBGC; (b) the adoption of any amendment to a Plan that would require the
        provision of security pursuant to Section 401(a)(29) of the Code or Section
        307
        of ERISA; (c) the existence with respect to any Plan of an “accumulated funding
        deficiency” (as defined in Section 412 of the Code or Section 302 of ERISA),
        whether or not waived; (d) the filing pursuant to Section 412(d) of the Code
        or
        Section 303(d) of ERISA of an application for a waiver of the minimum funding
        standard with respect to any Plan; (e) the incurrence of any liability under
        Title IV of ERISA with respect to the termination of any Plan or the withdrawal
        or partial withdrawal of the Borrower or any ERISA Affiliate from any Plan
        or
        Multiemployer Plan; (f) the receipt by the Borrower or any ERISA Affiliate
        from
        the PBGC or a plan administrator of any notice relating to the intention
        to
        terminate any Plan or Plans or to appoint a trustee to administer any Plan;
        (g)
        the receipt by the Borrower or any ERISA Affiliate of any notice concerning
        the
        imposition of Withdrawal Liability (as defined in Part I of Subtitle E of
        Title
        IV of ERISA) with respect to any Multiemployer Plan or a determination that
        a
        Multiemployer Plan is, or is expected to be, insolvent or in reorganization,
        within the meaning of Title IV of ERISA; (h) the occurrence of a Prohibited
        Acquisition with respect to which the Borrower or any of its Subsidiaries
        is a
“disqualified person” (within the meaning of Section 4975 of the Code) or with
        respect to which the Borrower or any such Subsidiary could otherwise be liable;
        and (i) any other event or condition with respect to a Plan or Multiemployer
        Plan that could reasonably be expected to result in material liability of
        the
        Borrower.

       

      Event
        of Default.  Any event described in Section ‎9.1.

       

      Excess
        Cash Flow.  For any Fiscal Year of the Borrower, the excess (if
        any) of (a) Consolidated EBITDA for such Fiscal Year over (b) the sum
        (for such Fiscal Year) of (i) Consolidated Interest Charges actually paid
        in
        cash by the Borrower and its Subsidiaries, (ii) the aggregate principal amount
        of all principal payments, redemptions and acquisitions for value of
        Consolidated Funded Indebtedness actually made during such Fiscal Year to
        the
        extent permitted by this Agreement (excluding principal payments of Revolving
        Loans), (iii) all income taxes actually paid in cash by the Borrower and
        its
        Subsidiaries and (iv) Capital Expenditures (including Growth Capital
        Expenditures) actually made by the Borrower and its Subsidiaries in such
        Fiscal
        Year to the extent permitted by this Agreement.

       

      Excluded
        Taxes  With respect to the Lender, the LC Issuer or any other
        recipient of any payment to be made by or on account of any obligation of
        the
        Borrower hereunder, (a) taxes imposed on or measured by its overall net income
        (however denominated), and franchise taxes imposed on it (in lieu of net
        income
        taxes), by the jurisdiction (or any political subdivision thereof) under
        the
        laws of which such recipient is organized or in which its principal office
        is
        located or, in the case of the Lender, in which its applicable lending office
        is
        located, and (b) any branch profits taxes imposed by the United States or
        any
        similar tax imposed by any other jurisdiction in which the Borrower is
        located.

       

      Existing
        Credit Agreement.  The Amended and Restated Revolving Credit and
        Term Loan Agreement, dated as of January 7, 2004, as amended, between the
        Borrower and Bank of America, N.A.

       

      Extraordinary
        Receipt.   Any cash received by or paid to or for the account
        of any Person not in the ordinary course of business, including tax refunds,
        pension plan reversions, proceeds of insurance (other than proceeds of business
        interruption insurance to the extent such proceeds constitute compensation
        for
        lost earnings), condemnation and eminent domain awards (and payments in lieu
        thereof), indemnity payments and any purchase price adjustments.

       

      Federal
        Funds Effective Rate.  For any day, a fluctuating interest rate
        per annum 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, as published for such day (or, if such day is not a Business
        Day,
        for the next preceding Business Day) by the Federal Reserve Bank of New York,
        or, if such rate is not so published for any day that is a Business Day,
        the
        average of the quotations for such day on such transactions received by the
        Lender from three Federal funds brokers of recognized standing selected by
        the
        Lender.

       

      Financial
        Statements.  See Section ‎5.5(a)

       

      Fiscal
        Month.  Any of the twelve periods of time, eight of which having
        approximately 28 days and four of which having approximately 35 days, which
        comprise the Fiscal Year of the Borrower.

       

      Fiscal
        Quarter.  Any of the four periods of time, each of which consist
        of three Fiscal Months, which comprise the Fiscal Year of the
        Borrower.

       

      Fiscal
        Year.  The 52-53 week fiscal period of the Borrower ending on the
        Sunday in each calendar year closest to December 31 of such calendar
        year.

       

      Fixed
        Rate Election.  The Interest Period selected for a particular
        LIBOR Loan pursuant to Section ‎2.9.

       

      Fronting
        Fee.  See Section ‎2.5(b).

       

      Fund.  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.  Generally
        accepted accounting principles, consistently applied.

       

      Governmental
        Authority.  The government of the United States of America or any
        other nation, or of any political subdivision thereof, whether state or local,
        and any agency, authority, instrumentality, regulatory body, court, central
        bank
        or other entity exercising executive, legislative, judicial, taxing, regulatory
        or administrative powers or functions of or pertaining to government (including
        any supra-national bodies such as the European Union or the European Central
        Bank).

       

      Growth
        Capital Expenditures.  Capital Expenditures for growth including,
        but not limited to, New Construction relating to Operating Units and the
        acquisitions of restaurants, including remodeling expenditures for any
        restaurant.

       

      Guarantees.  As
        applied to the Borrower and its Subsidiaries, all guarantees, endorsements
        or
        other contingent or surety obligations with respect to obligations of others
        whether or not reflected on the consolidated balance sheet of the Borrower
        and
        its Subsidiaries, including any obligation to furnish funds, directly or
        indirectly (whether by virtue of partnership arrangements, by agreement to
        keep-well or otherwise), through the purchase of goods, supplies or services,
        or
        by way of stock purchase, capital contribution, advance or loan, or to enter
        into a contract for any of the foregoing, for the purpose of payment of
        obligations of any other Person.

       

      Guarantors.  Each
        Subsidiary of the Borrower required to execute and deliver a Guaranty pursuant
        to either Section ‎4.1(a)(v)
        or ‎6.12.

       

      Guaranty.  See
        Section ‎4.1(a)(v).

       

      Hazardous
        Material.  Any substance (i) the presence of which requires or may
        hereafter require notification, investigation, a removal or remediation under
        any Environmental Law; (ii) which is or becomes defined as a “hazardous waste”,
“hazardous material” or “hazardous substance” or “pollutant” or “contaminant”
under any present or future Environmental Law or amendments thereto including,
        without limitation, the Comprehensive Environmental Response, Compensation
        and
        Liability Act (42 U.S.C. Section 9601 et seq.) and any applicable local
        statutes and the regulations promulgated thereunder; (iii) which is toxic,
        explosive, corrosive, flammable, infectious, radioactive, carcinogenic,
        mutagenic or otherwise hazardous and which is or becomes regulated pursuant
        to
        any Environmental Law by any Governmental Authority, agency, department,
        commission, board, agency or instrumentality of the United States, any state
        of
        the United States, or any political subdivision thereof; or (iv) without
        limitation, which contains gasoline, diesel fuel or other petroleum products,
        asbestos or polychlorinated biphenyls (“PCB’s”).

       

      Hazardous
        Materials Indemnity Agreement.  The Hazardous Materials Indemnity
        Agreement, dated as of the date hereof, made by the Borrower and the Guarantors
        in favor of the Lender, as amended and in effect from time to time.

       

      Indebtedness.  As
        to any Person at a particular time, without duplication, all of the following,
        whether or not included as indebtedness or liabilities in accordance with
        GAAP:
        (a) all obligations of such Person for borrowed money and all obligations
        of
        such Person evidenced by bonds, debentures, notes, loan agreements or other
        similar instruments; (b) the maximum amount of all direct or contingent
        obligations of such Person arising under letters of credit (including standby
        and commercial), bankers’ acceptances, bank guaranties, surety bonds and similar
        instruments; (c) net obligations of such Person under any Swap Agreement;
        (d)
        all obligations of such Person to pay the deferred purchase price of property
        or
        services (other than trade accounts payable in the ordinary course of business
        and not past due for more than 60 days after the date on which such trade
        account was created); (e) indebtedness (excluding prepaid interest thereon)
        secured by an Encumbrance on property owned or being purchased by such Person
        (including indebtedness arising under conditional sales or other title retention
        agreements), whether or not such indebtedness shall have been assumed by
        such
        Person or is limited in recourse; (f) all Attributable Indebtedness in respect
        of Capitalized Leases and Synthetic Lease Obligations of such Person and
        all
        Synthetic Debt of such Person; (g) all obligations of such Person to purchase,
        redeem, retire, defease or otherwise make any payment in respect of any Equity
        Interest in such Person or any other Person or any warrant, right or option
        to
        acquire such Equity Interest, valued, in the case of a redeemable preferred
        interest, at the greater of its voluntary or involuntary liquidation preference
        plus accrued and unpaid dividends; and (h) all Guarantees of such Person
        in respect of any of the foregoing. For all purposes hereof, the Indebtedness
        of
        any Person shall include the Indebtedness of any partnership or joint venture
        (other than a joint venture that is itself a corporation or limited liability
        company) in which such Person is a general partner or a joint venturer, unless
        such Indebtedness is expressly made non-recourse to such Person.  The
        amount of any net obligation under any Swap Agreement on any date shall be
        deemed to be the Swap Termination Value thereof as of such date.

       

      Indemnified
        Taxes.  All Taxes other than Excluded Taxes.

       

      Intellectual
        Property Security Agreement.  See Section ‎4.1(a)(iv).

       

      Interest
        Period.  With respect to each LIBOR Loan, the period commencing on
        the date of the making or continuation of or conversion to such LIBOR Loan
        and
        ending one (1), two (2), three (3) or six (6) months thereafter, as the Borrower
        may elect in the applicable Notice of Borrowing or Conversion; provided
        that:

       

      (i)  any
        Interest Period (other than an Interest Period determined pursuant to clause
        (iii) below) that would otherwise end on a day that is not a Business Day
        shall
        be extended to the next succeeding Business Day unless such Business Day
        falls
        in the next calendar month, in which case such Interest Period shall end
        on the
        immediately preceding Business Day;

       

      (ii)  any
        Interest Period that begins on the last Business Day of a calendar month
        (or on
        a day for which there is no numerically corresponding day in the calendar
        month
        at the end of such Interest Period) shall, subject to clause (iii) below,
        end on
        the last Business Day of a calendar month;

       

      (iii)  any
        Interest Period that would otherwise end after the Maturity Date, shall end
        on
        the Maturity Date; and

       

      (iv)  notwithstanding
        clause (iii) above, no Interest Period shall have a duration of less than
        one
        month, and if any Interest Period applicable to a Loan would be for a shorter
        period, such Interest Period shall not be available hereunder.

       

      Investment.  As
        applied to the Borrower and its Subsidiaries, the purchase or acquisition
        of any
        share of capital stock, partnership interest, evidence of indebtedness or
        other
        equity security of any other Person (including any Subsidiary), any loan,
        advance or extension of credit (excluding accounts receivable arising in
        the
        ordinary course of business) to, or contribution to the capital of, any other
        Person (including any Subsidiary), any real estate held for sale or investment,
        any securities or commodities futures contracts held, any other investment
        in
        any other Person (including any other Subsidiary of the Borrower), and the
        making of any commitment or acquisition of any option to make an
        Investment.

       

      IP
        Rights.  See Section ‎5.17.

       

      LC
        Disbursement.  A payment made by the LC Issuer pursuant to a
        Letter of Credit.

       

      LC
        Exposure.  At any time, the sum of (a) the Maximum Drawing Amount
        at such time, and (b) the aggregate LC Disbursements that at such time have
        not
        been reimbursed by or on behalf of the Borrower to the LC Issuer.

       

      LC
        Issuer.  Wells Fargo.

       

      Lender.  Wells
        Fargo, and each other Person that may after the date hereof become an Assignee
        and, thereby a party to this Agreement as a “Lender” hereunder, but from and
        after the effective date that any Person shall have assigned its entire
        Commitment pursuant to Section ‎10.1,
        “Lender” shall no longer include such Person.

       

      Letter
        of Credit Applications.  Applications for Letters of Credit in
        such form as may be required by the LC Issuer from time to time which are
        executed and delivered by the Borrower to the LC Issuer pursuant to Section
        ‎3.1,
        as the same may be amended or supplemented from time to time.

       

      Letter
        of Credit Fee.  See Section ‎2.5(b).

       

      Letter
        of Credit Sublimit.  $1,500,000.

       

      Letters
        of Credit.  See Section ‎3.1.

       

      LIBOR
        Loan.  Any Loan bearing interest at a rate determined with
        reference to the LIBOR Rate.

       

      LIBOR
        Rate.  With respect to any LIBOR Loan for any Interest Period, the
        rate per annum as determined by Wells Fargo on the basis of the offered rates
        for deposits in U.S. dollars, for a period of time comparable to such Interest
        Period, which appears on the Reuters page LIBOR01 (formerly Telerate page
        3750)
        as of 11:00 a.m. London time on the day that is two Business Days preceding
        the
        Drawdown Date of such LIBOR Loan; provided, however, that if the rate described
        above does not appear on the Reuters System on any applicable interest
        determination date, the LIBOR Rate shall be the rate (rounded upward, if
        necessary, to the nearest one hundred-thousandth of a percentage point)
        determined on the basis of the offered rates for deposits in U.S. dollars
        for a
        period of time comparable to such Interest Period which are offered by four
        major banks in the London interbank market at approximately 11:00 a.m. London
        time, on the day that is two (2) Business Days preceding the first day of
        such
        Interest Period as selected by Wells Fargo.  The principal London
        office of each of the four major London banks will be requested to provide
        a
        quotation of its U.S. dollar deposit offered rate.  If at least two
        such quotations are provided, the LIBOR Rate for that date will be the
        arithmetic mean of the quotations.  If fewer than two quotations are
        provided as requested, the rate for that date will be determined on the basis
        of
        the rates quoted for loans in U.S. dollars to leading European banks for
        a
        period of time comparable to such Interest Period offered by major banks
        in New
        York City at approximately 11:00 a.m. New York City time, on the day that
        is two
        Business Days preceding the first day of such Interest Period.

       

      Loan
        Documents.  This Agreement, the Note, the Letter of Credit
        Applications, any Guaranties, the Eligible Swap Agreements, Secured Cash
        Management Agreements, and the Security Documents, together with any agreements,
        instruments or documents executed and delivered pursuant to or in connection
        with any of the foregoing; provided that for purposes of the definition
        of “Material Adverse Effect” and Sections V through IX, “Loan Documents” shall
        not include Eligible Swap Agreements or Secured Cash Management
        Agreements.

       

      Loan
        Parties.  Collectively, the Borrower and each
        Guarantor.

       

      Maintenance
        Capital Expenditures.  Any Capital Expenditure that is not a
        Growth Capital Expenditure.

       

      Material
        Adverse Effect.  Any of (a) a material adverse change in, or a
        material adverse effect upon, the operations, business, properties, liabilities
        (actual or contingent), condition (financial or otherwise) or prospects of
        the
        Borrower and its Subsidiaries taken as a whole; (b) a material impairment
        of the
        rights and remedies of the Lender under any Loan Document, or of the ability
        of
        any Loan Party to perform its obligations under any Loan Document to which
        it is
        a party; or (c) a material adverse effect upon the legality, validity, binding
        effect or enforceability against any Loan Party of any Loan Document to which
        it
        is a party.

       

      Maturity
        Date.  The third anniversary of the Closing Date.

       

      Maximum
        Drawing Amount.  At any time, the aggregate undrawn amount of all
        then outstanding Letters of Credit.

       

      Measurement
        Period.  At any date of determination, the most recently completed
        four Fiscal Quarters of the Borrower.

       

      Multiemployer
        Plan.  Any Plan which is a Multiemployer Plan as defined in
        Section 4001(a)(3) of ERISA.

       

      Net
        Cash Proceeds.  With respect to:

       

      (a)           any
        Disposition by the Borrower or any of its Subsidiaries, or any Extraordinary
        Receipt received or paid to the account of the Borrower or any of its
        Subsidiaries, the excess, if any, of (i) the sum of cash and Cash Equivalents
        received in connection with such transaction (including any cash or Cash
        Equivalents received by way of deferred payment pursuant to, or by monetization
        of, a note receivable or otherwise, but only as and when so received) over
        (ii)
        the sum of (A) the principal amount of any Indebtedness that is secured by
        the
        applicable asset and that is required to be repaid in connection with such
        transaction (other than Indebtedness under the Loan Documents), (B) the
        reasonable and customary out-of-pocket expenses incurred by the Borrower
        or a
        Subsidiary in connection with such transaction and (C) income taxes reasonably
        estimated to be actually payable within two years of the date of the relevant
        transaction as a result of any gain recognized in connection therewith;
provided that, if the amount of any estimated taxes pursuant to subclause
        (C) exceeds the amount of taxes actually required to be paid in cash in respect
        of such Disposition, the aggregate amount of such excess shall constitute
        Net
        Cash Proceeds;  and

       

      (b)           the
        sale or issuance of any Equity Interest by the Borrower or any of its
        Subsidiaries, or the incurrence or issuance of any Indebtedness by the Borrower
        or any of its Subsidiaries, the excess of (i) the sum of the cash and Cash
        Equivalents received in connection with such transaction over (ii) the
        underwriting discounts and commissions, and other reasonable and customary
        out-of-pocket expenses, incurred by the Borrower or such Subsidiary in
        connection therewith.

       

      New
        Construction.  Construction by the Borrower or any of its
        Subsidiaries related to the opening of a new restaurant to be owned and operated
        by the Borrower or any of its Subsidiaries or the meaningful expansion of
        capacity at existing facilities of a restaurant owned and operated by the
        Borrower or any of its Subsidiaries.

       

      New
        Operating Unit.  A restaurant owned or operated by the Borrower or
        any of its Subsidiaries whose ownership or operation by the Borrower or any
        of
        its Subsidiaries started on a date after the Closing Date.

       

      Note
        Record.  Any internal record, including a computer record,
        maintained by the Lender with respect to any Revolving Credit Loan.

       

      Note.  See
        Section ‎2.2.

       

      Notice
        of Borrowing or Conversion.  The notice, substantially in the form
        of Exhibit B hereto, to be given by the Borrower to the Lender to request
        a Revolving Credit Loan or to convert an outstanding Revolving Credit Loan
        of
        one Type into a Revolving Credit Loan of another Type, in accordance with
        Section ‎2.3.

       

      Obligations.  The
        following:

       

      (a)           the
        due and punctual payment by the Borrower of (i) the principal of and
        interest (including interest accruing during the pendency of any bankruptcy,
        insolvency, receivership or other similar proceeding, regardless of whether
        allowed or allowable in such proceeding) on the Revolving Credit Loans, when
        and
        as due, whether at maturity, by acceleration, upon one or more dates set
        for
        prepayment or otherwise, (ii) each payment required to be made by the
        Borrower in respect of any Letter of Credit, when and as due, including the
        unreimbursed amount of any LC Disbursement, interest thereon (including interest
        accruing during the pendency of any bankruptcy, insolvency, receivership
        or
        other similar proceeding, regardless of whether allowed or allowable in such
        proceeding) and obligations to provide cash collateral, and (iii) all other
        monetary obligations of the Borrower under this Agreement and under the other
        Loan Documents (including, without limitation, under each Eligible Swap
        Agreement and Secured Cash Management Agreement), including obligations to
        pay
        fees, expense reimbursement obligations and indemnification obligations,
        whether
        primary, secondary, direct, contingent, fixed or otherwise, arising under
        the
        Loan Documents (including monetary obligations incurred during the pendency
        of
        any bankruptcy, insolvency, receivership or other similar proceeding, regardless
        of whether allowed or allowable in such proceeding), and

       

      (b)           the
        due and punctual payment of all the monetary obligations of each other Loan
        Party under or pursuant to this Agreement and each of the other Loan
        Documents.

       

      OFAC.  The
        U.S. Department of the Treasury’s Office of Foreign Assets Control.

       

      Operating
        Units.  All restaurants operated by the Borrower or any of its
        Subsidiaries, which for avoidance of doubt, shall include all New Operating
        Units.

       

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

       

      Participant.  See
        Section ‎10.2.

       

      Patriot
        Act.  See Section ‎11.16.

       

      PBGC.  The
        Pension Benefit Guaranty Corporation or any entity succeeding to any or all
        of
        its functions under ERISA.

       

      Pension
        Plan.  Any Plan which is an “employee pension benefit plan” (as
        defined in ERISA).

       

      Permitted
        Acquisition.  An acquisition of all of the capital stock or all or
        substantially all of the business and assets of an Acquired Person, whether
        or
        not involving a merger or consolidation with such Acquired Person, by the
        Borrower or any Subsidiary of the Borrower that is a Guarantor on the date
        of
        such acquisition, provided that

       

      (i)
        the
        Acquired Person is in substantially the same business as the Borrower or
        the
        acquiring Subsidiary of the Borrower (or any reasonable extensions or expansions
        thereof) and any property acquired (or the property of the Acquired Person)
        in
        such acquisition is used or useful in the same business as the Borrower or
        its
        Subsidiaries were engaged in on the Closing Date (or any reasonable extensions
        or expansions thereof);

       

      (ii)
        no
        Indebtedness is assumed or incurred in connection with the acquisition other
        than Indebtedness permitted under Section ‎8.1;

       

      (iii)
        the
        total purchase price for any single acquisition shall not exceed
        $1,500,000;

       

      (iv)
        the
        aggregate purchase price for all acquisitions in any Fiscal Year shall not
        exceed $3,000,000;

       

      (v)
        the
        aggregate purchase price for all Permitted Acquisitions shall not exceed
        $5,000,000;

       

      (vi)
        if a
        merger, the Borrower or such Subsidiary is the surviving entity of such
        transaction; and

       

      (vii)
        (A)
        if the Acquired Person is to become a domestic Subsidiary, (I) the Borrower
        shall cause such Acquired Person to become party to and bound by the Guaranty
        and the Security Agreement, (II) the Lender shall have a valid, perfected,
        first-priority security interest in the Collateral described in the Security
        Agreement or other applicable Loan Document, to the extent a security interest
        in the Collateral can be perfected by such filings or recordings or delivery,
        in
        each case subject only to Permitted Encumbrances, (III) the Borrower shall
        cause
        100% of the issued and outstanding capital stock or other equity interests
        of
        such Acquired Person to be delivered (if certificated) to the Lender (together
        with undated stock or other equity interest powers signed in blank) and pledged
        to the Lender pursuant to the Security Agreement and an appropriate pledge
        agreement(s) in substantially the form of Exhibit G, and otherwise in
        form and substance reasonably acceptable to the Lender, and the Lender, shall
        have a perfected, first-priority security interest in 100% of such stock
        or
        other equity interest, (B) if the Acquired Person is to become a direct foreign
        Subsidiary, cause 65% of the issued and outstanding capital stock or other
        equity interests entitled to vote (within the meaning of Treas. Reg. Section
        1.956-2(c)(2)) of such Acquired Person to be delivered (if certificated)
        to the
        Lender (together with undated stock or other equity interest powers signed
        in
        blank (unless, with respect to a foreign Subsidiary, such stock or other
        equity
        interest powers are deemed unnecessary by the Lender in its reasonable
        discretion under the law of the jurisdiction of organization of such Acquired
        Person)) and pledged to the Lender pursuant to the Security Agreement and
        an
        appropriate pledge agreement(s) in substantially the form of Exhibit G,
        and otherwise in form and substance acceptable to the Lender and the Lender
        shall have a perfected, first-priority security interest in 65% of such stock
        or
        other equity interests and (C) the Borrower shall cause any Acquired Person
        to
        deliver such other documentation as the Lender may reasonably request in
        connection with the foregoing, including, without limitation, appropriate
        UCC-1
        financing statements.

       

      Permitted
        Encumbrances.  See Section ‎8.3.

       

      Person.  Any
        individual, corporation, partnership, trust, unincorporated association,
        business or other legal entity, and any government or governmental agency
        or
        political subdivision thereof.

       

      Plan.  Any
        “employee pension benefit plan” or “employee welfare benefit plan” (each as
        defined in ERISA) maintained by the Borrower or any Subsidiary of the
        Borrower.

       

      Pro
        Forma Financial Statements.  See Section ‎4.1(e).

       

      Prohibited
        Acquisition.  Any “prohibited transaction” within the meaning of
        Section 406 of ERISA or Section 4975 of the Code.

       

      Qualified
        Investments.  As applied to the Borrower and its Subsidiaries,
        investments in (i) notes, bonds or other obligations of the United States
        of
        America or any agency thereof that as to principal and interest constitute
        direct obligations of or are guaranteed by the United States of America and
        that
        have maturity dates not more than one year from the date of acquisition,
        (ii)
        certificates of deposit, demand deposit accounts or other deposit instruments
        or
        accounts maintained in the ordinary course of business with banks or trust
        companies organized under the laws of the United States or any state thereof
        that have capital and surplus of at least $500,000,000 which certificates
        of
        deposit and other deposit instruments, if not payable on demand, have maturities
        of not more than one year from the date of acquisition, (iii) commercial
        paper
        that is rated not less than prime-one or A-1 or their equivalents by Moody’s
        Investors Service, Inc. or Standard & Poor’s Corporation, respectively, or
        their successors, and in each case maturing not more than one year from the
        date
        of acquisition, (iv) any repurchase agreement secured by any one or more
        of the
        foregoing.

       

      Regulations
        T, U and X.  See Section ‎6.7(b).

       

      Related
        Parties.  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.

       

      Reserve
        Percentage.  For any Interest Period, the aggregate of the maximum
        reserve percentages (including all basic, marginal, special, emergency and
        supplemental reserves), expressed as a decimal, established by the Board
        of
        Governors of the Federal Reserve System and any other banking authority,
        domestic or foreign, to which the Lender is subject with respect to
“Eurocurrency Liabilities” (as defined in regulations issued from time to time
        by such Board of Governors).  The Reserve Percentage shall be adjusted
        automatically on and as of the effective date of any change in any such reserve
        percentage.

       

      Responsible
        Officer.  The chief executive officer, president, chief financial
        officer, treasurer, controller or general partner of a Loan
        Party.  Any document delivered hereunder that is signed by a
        Responsible Officer of a Loan Party shall be conclusively presumed to have
        been
        authorized by all necessary corporate, partnership and/or other action on
        the
        part of such Loan Party and such Responsible Officer shall be conclusively
        presumed to have acted on behalf of such Loan Party.

       

      Restricted
        Payment.  Any of the following: (a) any dividend, distribution,
        loan, advance, guaranty, extension of credit or other payment, whether in
        cash
        or property to or for the benefit of any Person who holds an equity interest
        in
        the Borrower or any of its Subsidiaries, whether or not such interest is
        evidenced by a security, and any purchase, redemption, retirement or other
        acquisition for value of any capital stock of the Borrower or any of its
        Subsidiaries, whether now or hereafter outstanding, or of any options, warrants
        or similar rights to purchase such capital stock or any security convertible
        into or exchangeable for such capital stock and (b) any payment or prepayment
        of
        any kind, whether in cash or property, to or for the benefit of any Person
        (other than the Borrower) that is an Affiliate of the Borrower or any of
        its
        Subsidiaries.

       

      Revolving
        Credit Loans.  See Section 2.1(a)(i).

       

      Revolving
        Credit Outstandings.  At any time, the sum of (i) the aggregate
        outstanding principal balance of the Revolving Credit Loans at the time and
        (ii)
        the LC Exposure at the time.

       

      Sanctioned
        Country.  A country subject to a sanctions program identified on
        the list maintained by OFAC and available at
http://www.treas.gov/offices/eotffc/ofac/sanctions/ index.html, or as
        otherwise published from time to time.

       

      Sanctioned
        Person.  Any of the following:  (i) a Person named on
        the list of “Specially Designated Nationals and Blocked Persons” maintained by
        OFAC available at http://www.treas.gov/offices/
        eotffc/ofac/sdn/index.html, or as otherwise published from time to time, or
        (ii) (A) an agency of the government of a Sanctioned Country, (B) an
        organization controlled by a Sanctioned Country, or (C) a person resident
        in a
        Sanctioned Country, to the extent subject to a sanctions program administered
        by
        OFAC.

       

      Secured
        Cash Management Agreement.  Any Cash Management Agreement entered
        into between the Borrower and any Cash Management Bank.

       

      Secured
        Parties.  Collectively, the Lender, the LC Issuer, the Swap Banks,
        the Cash Management Banks, and the other Persons the Obligations owing to
        which
        are or are purported to be secured by the Collateral under the terms of the
        Security Documents.

       

      Security
        Agreement.  See Section ‎4.1(a)(iii).

       

      Security
        Documents.  The Security Agreement, the Intellectual Property
        Security Agreement, the Hazardous Materials Indemnity Agreement, and the
        deposit
        account control agreements referenced in Section Error! Reference source
        not found., each in favor of the Lender to secure Obligations, in each
        case as amended and/or restated and in effect from time to time, and any
        additional documents evidencing or perfecting the Lender’s lien on the
        Collateral.

       

      Solvent
        and Solvency.  With respect to any Person on any date of
        determination, that on such date (a) the fair value of the property of such
        Person is greater than the total amount of liabilities, including contingent
        liabilities, of such Person, (b) the present fair salable value of the
        assets of such Person is not less than the amount that will be required to
        pay
        the probable liability of such Person on its debts as they become absolute
        and
        matured, (c) such Person does not intend to, and does not believe that it
        will, incur debts or liabilities beyond such Person’s ability to pay such debts
        and liabilities as they mature, (d) such Person is not engaged in business
        or a transaction, and is not about to engage in business or a transaction,
        for
        which such Person’s property would constitute an unreasonably small capital, and
        (e) such Person is able to pay its debts and liabilities, contingent obligations
        and other commitments as they mature in the ordinary course of
        business.  The amount of contingent liabilities at any time shall be
        computed as the amount that, in the light of all the facts and circumstances
        existing at such time, represents the amount that can reasonably be expected
        to
        become an actual or matured liability.

       

      Subordinated
        Debt.  Indebtedness of the Borrower or any other Subsidiaries
        which is expressly subordinated and made junior to the payment and performance
        in full of the Obligations on terms and conditions satisfactory to the
        Lender.

       

      Subsidiary.  With
        respect to any 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.

       

      Swap
        Agreement.  Any and all (a) rate swap transactions, basis swaps,
        credit derivative transactions, forward rate transactions, commodity swaps,
        commodity options, forward commodity contracts, equity or equity index swaps
        or
        options, bond or bond price or bond index swaps or options or forward bond
        or
        forward bond price or forward bond index transactions, interest rate options,
        forward foreign exchange transactions, cap transactions, floor transactions,
        collar transactions, currency swap transactions, cross-currency rate swap
        transactions, currency options, spot contracts, or any other similar
        transactions or any combination of any of the foregoing (including any options
        to enter into any of the foregoing), whether or not any such transaction
        is
        governed by or subject to any master agreement, and (b) transactions of any
        kind, and the related confirmations, which are subject to the terms and
        conditions of, or governed by, any form of master agreement published by
        the
        International Swaps and Derivatives Association, Inc., any International
        Foreign
        Exchange Master Agreement, or any other master agreement (any such master
        agreement, together with any related schedules, a “Master Agreement”),
        including any such obligations or liabilities under any Master
        Agreement.

       

      Swap
        Bank.  Any Person that at the time it entered into an Eligible
        Swap Agreement was the Lender or an Affiliate of the Lender, in its capacity
        as
        a party to that Eligible Swap Agreement.

       

      Swap
        Termination Value.  In respect of any one or more Swap Agreements,
        after taking into account the effect of any legally enforceable netting
        agreement relating to such Swap Agreements, (a) for any date on or after
        the
        date such Swap Agreements have been closed out and termination value(s)
        determined in accordance therewith, such termination value(s), and (b) for
        any
        date prior to the date referenced in clause (a), the amount(s) determined
        as the
        mark-to-market value(s) for such Swap Agreements, as determined based upon
        one
        or more mid-market or other readily available quotations provided by any
        recognized dealer in such Swap Agreements (which may include the Lender or
        any
        Affiliate of the Lender).

       

      Synthetic
        Debt.  With respect to any Person as of any date of determination
        thereof, all obligations of such Person in respect of transactions entered
        into
        by such Person that are intended to function primarily as a borrowing of
        funds
        (including any minority interest transactions that function primarily as
        a
        borrowing) but are not otherwise included in the definition of
“Indebtedness” or as a liability on the consolidated balance sheet of
        such Person and its Subsidiaries in accordance with GAAP.

       

      Synthetic
        Lease Obligation.  The monetary obligation of a Person under (a) a
        so-called synthetic, off-balance sheet or tax retention lease, or (b) an
        agreement for the use or possession of property (including sale and leaseback
        transactions), in each case, creating obligations that do not appear on the
        balance sheet of such Person but which, upon the application of any bankruptcy
        or similar law to such Person, would be characterized as the indebtedness
        of
        such Person (without regard to accounting treatment).

       

      Taxes  All
        present or future taxes, levies, imposts, duties, deductions, withholdings,
        assessments, fees or other charges imposed by any Governmental Authority,
        including any interest, additions to tax or penalties applicable
        thereto.

       

      Total
        Leverage Ratio.  As of the end of any Measurement Period, the
        ratio of Consolidated Funded Indebtedness as of the end of such Measurement
        Period to Consolidated EBITDA for such Measurement Period.

       

      Type.  A
        LIBOR Loan or a Base Rate Loan.

       

      Wells
        Fargo.  See Preamble.

       

      1.2  Rules
        of Interpretation.

       

      (a)  All
        terms
        of an accounting character used herein but not defined herein shall have
        the
        meanings assigned thereto by GAAP applied on a consistent basis.  All
        calculations for the purposes of Section VII hereof shall be made in accordance
        with GAAP.

       

      (b)  A
        reference to any document or agreement shall include such document or agreement
        as amended, modified or supplemented and in effect from time to time in
        accordance with its terms and the terms of this Agreement.

       

      (c)  The
        singular includes the plural and the plural includes the
        singular.  Whenever the context may require, any pronoun shall include
        the corresponding masculine, feminine and neuter forms.

       

      (d)  A
        reference to any Person includes its permitted successors and permitted
        assigns.

       

      (e)  The
        words
“include”, “includes” and “including” are not limiting.

       

      (f)  The
        words
“herein”, “hereof”, “hereunder” and words of like import shall refer to this
        Agreement as a whole and not to any particular section or subdivision of
        this
        Agreement.

       

      (g)  All
        terms
        not specifically defined herein or by GAAP, which terms are defined in the
        Uniform Commercial Code as in effect in The State of New York, shall have
        the
        meanings assigned to them in such Uniform Commercial Code.

       

      SECTION
        II

       

      

       

      DESCRIPTION
        OF CREDIT

       

      2.1  Revolving
        Credit Loans.

       

      (a)  Loans.

       

      (i)  Upon
        the
        terms and subject to the conditions of this Agreement, and in reliance upon
        the
        representations, warranties and covenants of the Borrower herein, the Lender
        agrees to make revolving credit loans (the “Revolving Credit Loans”) to
        the Borrower at the Borrower’s request from time to time from and after the
        Closing Date and prior to the Maturity Date, provided that the Total
        Revolving Credit Outstandings (after giving effect to all requested Revolving
        Credit Loans and Letters of Credit) shall not at any time exceed the
        Commitment.  Subject to the terms and conditions of this Agreement,
        the Borrower may borrow, repay, prepay and reborrow amounts, up to the limits
        imposed by this Section ‎2.1,
        from time to time between the Closing Date and the Maturity Date upon request
        given to the Lender pursuant to Section ‎2.3.  Each
        request for a Revolving Credit Loan or a Letter of Credit hereunder shall
        constitute a representation and warranty by the Borrower that the conditions
        set
        forth in Sections ‎4.1
        or ‎4.2
        (as the case may be) have been satisfied as of the date of such
        request.

       

      (ii)  The
        Borrower may (A) request the Lender to increase the amount of its Commitment
        (which request shall be in writing and sent to the Lender) by an amount not
        to
        exceed $5,000,000 in the aggregate.  In no event may the Lender’s
        Commitment be increased without the prior written consent of the Lender,
        and the
        failure of the Lender to respond to the Borrower’s request for an increase shall
        be deemed a rejection by the Lender of the Borrower’s request.  The
        Commitment may not be increased if, at the time of any proposed increase
        hereunder, a Default has occurred and is continuing.  Upon any request
        by the Borrower to increase the Commitment, the Borrower shall be deemed
        to have
        represented and warranted on and as of the date of such request that no Default
        has occurred and is continuing, giving effect to such
        increase.  Notwithstanding anything contained in this Agreement to the
        contrary, the Lender shall have no obligation whatsoever to increase the
        amount
        of its Commitment, and the Lender may at its option, unconditionally and
        without
        cause, decline to increase its Commitment.  If the Lender is willing,
        in its sole and absolute discretion, to increase the amount of its Commitment
        hereunder, it shall enter into a written agreement to that effect with the
        Borrower, substantially in the form of Exhibit C (a “Commitment
        Increase Supplement”), which agreement shall specify, among other things,
        the amount of the increased Commitment of the Lender.  

       

      (iii)  In
        no
        event shall an increase in the Lender’s Commitment which would result in the
        Commitment exceeding the amount which is authorized at such time in resolutions
        previously delivered to the Lender become effective until the Lender shall
        have
        received a copy of the resolutions, in form and substance reasonably
        satisfactory to the Lender, of the board of directors of the Borrower
        authorizing the borrowings contemplated pursuant to such increase, certified
        by
        the secretary or an assistant secretary of the
        Borrower.  Notwithstanding anything herein to the contrary, in no
        event may the Commitment be increased hereunder unless (A) giving effect
        to such
        increase (and assuming the Commitment, as so increased, is fully utilized
        by the
        Borrower), no Default will have occurred and be continuing and the Borrower
        will
        be in compliance on a pro forma basis with all financial covenants under
        Section
        VII and (B) the Lender shall have received a certificate of a Responsible
        Officer certifying that the condition in clause (A) has been satisfied (with
        calculations demonstrating compliance with such financial covenants on a
        pro
        forma basis, in reasonable detail).  

       

      (b)  Limitations.  Each
        LIBOR Loan shall be in a minimum principal amount of $500,000 or in integral
        multiples of $100,000 in excess of such minimum amount, and each Base Rate
        Loan
        shall be in a minimum principal amount of $100,000 or in integral multiples
        of
        $100,000 in excess of such minimum amount.  No more than five (5)
        LIBOR Loans may be outstanding at any time.

       

      (c)  Conversions
        of Loans.  Upon the terms and subject to the conditions and
        limitations of this Agreement, the Borrower may convert all or any part of
        any
        outstanding Revolving Credit Loan into a Revolving Credit Loan of another
        Type
        on any Business Day (which, in the case of a conversion of an outstanding
        LIBOR
        Loan shall be the last day of the Interest Period applicable to such LIBOR
        Loan).  The Borrower shall give the Lender prior notice of each such
        conversion (which notice shall be effective upon receipt) in accordance with
        Section ‎2.3.  Notwithstanding
        the foregoing, the Borrower may not convert any Revolving Credit Loan into
        a
        LIBOR Loan or continue a LIBOR Loan if there is a continuing
        Default.

       

      (d)  Termination
        or Reduction of Commitments.

       

      (i)  The
        Commitment shall terminate on the Maturity Date.

       

      (ii)  The
        Borrower shall have the right at any time and from time to time upon five
        (5)
        Business Days’ prior written notice to the Lender to reduce by $500,000, and in
        integral multiples of $100,000 if in excess thereof, the Commitment or to
        terminate entirely the Lender’s Commitment to make Revolving Credit Loans
        hereunder, whereupon the Commitment of the Lender shall be reduced by the
        aggregate amount specified in such notice or shall, as the case may be, be
        terminated entirely.

       

      (iii)  If,
        as a
        result of any such reduction of the Commitment, the LC Exposure at the time
        would exceed the Commitment or the amount of Letters of Credit permitted
        to be
        outstanding under Sections ‎2.1(a)
        and ‎3.1,
        the Borrower shall, in connection with any such reduction, deposit with and
        pledge to the Lender and the LC Issuer cash in an amount equal to 105% of
        such
        excess.  If any Letters of Credit would remain outstanding after the
        effective date of any such termination of the Commitment, in addition to
        satisfaction of all other applicable terms and conditions of this Agreement,
        the
        Borrower shall deposit with and pledge to the Lender and the LC Issuer cash
        in
        an amount equal to 105% of the Maximum Drawing Amount of under all Letters
        of
        Credit at the effective date of such termination.

       

      (iv)  No
        such
        reduction or termination of any Commitment may be reinstated.

       

      2.2  The
        Note.

       

      (a)  The
        Revolving Credit Loans shall be evidenced by a promissory note to be in
        substantially the form of Exhibit A hereto, dated as of the Closing Date
        and completed with appropriate insertions (such note being referred to herein
        as
        the “Note”).  The Note shall be payable to the order of the
        Lender in a principal amount equal to the Lender’s Commitment.

       

      (b)  The
        Borrower irrevocably authorizes the Lender to make or cause to be made, at
        or
        about the time of the Drawdown Date of any Revolving Credit Loan or at the
        time
        of receipt of any payment of principal on the Note, an appropriate notation
        on
        its Note Record reflecting (as the case may be) the making of such Revolving
        Credit Loan or the receipt of such payment.  The outstanding amount of
        the Revolving Credit Loans set forth on the Note Record shall be prima
        facie evidence of the principal amount thereof owing and unpaid to the
        Lender, absent manifest error, but the failure to record, or any error in
        so
        recording, any such amount on the Lender’s Note Record shall not limit or
        otherwise affect the obligations of the Borrower hereunder or under any Note
        to
        make payments of principal of or interest on the Note when due.

       

      2.3  Notice
        and Manner of Borrowing or Conversion of Revolving Credit
        Loans.

       

      (a)  Whenever
        the Borrower desires to obtain or continue a Revolving Credit Loan hereunder
        or
        convert an outstanding Revolving Credit Loan into a Revolving Credit Loan
        of
        another Type, the Borrower shall give the Lender a telephonic notice promptly
        confirmed by a written Notice of Borrowing or Conversion, which telephonic
        notice shall be irrevocable and which must be received no later than 11:00
        a.m.
        Pacific time on the date (i) one Business Day before the day on which the
        requested Revolving Credit Loan is to be made as or converted to a Base Rate
        Loan, and (ii) three Business Days before the day on which the requested
        Revolving Credit Loan is to be made or continued as or converted to a LIBOR
        Loan.  Such Notice of Borrowing or Conversion shall specify (i) the
        effective date and amount of each Revolving Credit Loan or portion thereof
        requested to be made, continued or converted, subject to the limitations
        set
        forth in Section ‎2.1,
        (ii) the interest rate option requested to be applicable thereto, and (iii)
        the
        duration of the applicable Interest Period, if any (subject to the provisions
        of
        the definition of the term “Interest Period”).  If such Notice fails
        to specify the interest rate option to be applicable to the requested Revolving
        Credit Loan, then the Borrower shall be deemed to have requested a Base Rate
        Loan.  If the written confirmation of any telephonic notification
        differs in any material respect from the action taken by the Lender, the
        records
        of the Lender shall be prima facie evidence of terms of the Revolving
        Credit Loan requested absent manifest error.

       

      (b)  Subject
        to the provisions of the definition of the term “Interest Period” herein, the
        duration of each Interest Period for a LIBOR Loan shall be as specified in
        the
        applicable Notice of Borrowing or Conversion.  If no Interest Period
        is specified in a Notice of Borrowing or Conversion with respect to a requested
        LIBOR Loan, then the Borrower shall be deemed to have selected an Interest
        Period of one month’s duration.  If the Lender receives a Notice of
        Borrowing or Conversion after the time specified in subsection (a) above,
        such
        Notice shall not be effective.  If the Lender does not receive an
        effective Notice of Borrowing or Conversion with respect to an outstanding
        LIBOR
        Loan, or if, when such Notice must be given prior to the end of the Interest
        Period applicable to such outstanding Revolving Credit Loan, the Borrower
        shall
        have failed to satisfy any of the conditions hereof, the Borrower shall be
        deemed to have elected to convert such outstanding Revolving Credit Loan
        in
        whole into a Base Rate Loan on the last day of the then current Interest
        Period
        with respect thereto.

       

      2.4  Interest
        Rates and Payments of Interest.

       

      (a)  Each
        Revolving Credit Loan which is a Base Rate Loan shall bear interest on the
        outstanding principal amount thereof at a rate per annum equal to the Alternate
        Base Rate plus the Applicable Margin, which rate shall change contemporaneously
        with any change in the Alternate Base Rate or the Applicable Margin, as provided
        below.  Such interest shall be payable quarterly in arrears on the
        first Business Day of each quarter.

       

      (b)  Each
        Revolving Credit Loan which is a LIBOR Loan shall bear interest on the
        outstanding principal amount thereof, for each Interest Period applicable
        thereto, at a rate per annum equal to the LIBOR Rate plus the Applicable
        Margin,
        which rate shall change with any change in the Applicable Margin, as provided
        below.  Such interest shall be payable for such Interest Period on the
        last day thereof and, if such Interest Period is longer than three months,
        at
        intervals of three months after the first day thereof.

       

      (c)  If
        an
        Event of Default shall occur, then (i) the unpaid balance of Revolving Credit
        Loans shall bear interest, to the extent permitted by law, compounded daily
        at
        an interest rate equal to 2% per annum above the interest rate applicable
        to
        Base Rate Loans in effect on the day such Event of Default occurs, until
        such
        Event of Default is cured or waived, and (ii) the Maximum Drawing Amount
        under
        all outstanding Letters of Credit shall bear interest, to the extent permitted
        by law, compounded daily at an interest rate of 2% per annum (in addition
        to the
        Letter of Credit Fee) until such Event of Default is cured or
        waived.

       

      (d)  So
        long
        as the Lender shall be required under regulations of the Board of Governors
        of
        the Federal Reserve System (or any other banking authority, domestic or foreign,
        to which the Lender is subject) to maintain reserves with respect to liabilities
        or assets consisting of or including “Eurocurrency Liabilities” (as defined in
        regulations issued from time to time by such Board of Governors), the Borrower
        shall pay to the Lender additional interest on the unpaid principal amount
        of
        each LIBOR Loan made by the Lender from the date of such Revolving Credit
        Loan
        until such principal amount is paid in full, at an interest rate per annum
        equal
        at all times to the remainder (rounded upwards, if necessary, to the next
        higher
        1/100 of 1%) obtained by subtracting (i) the LIBOR Rate for the Interest
        Period
        for such LIBOR Loan from (ii) the rate obtained by dividing such LIBOR Rate
        by a
        percentage equal to 100% minus the Reserve Percentage of the Lender for such
        Interest Period.  Such additional interest shall be determined by the
        Lender and notified to the Borrower, and shall be payable on each date on
        which
        interest is payable on such LIBOR Loan.

       

      (e)  All
        agreements between or among the Borrower and the Lender are hereby expressly
        limited so that in no contingency or event whatsoever, whether by reason
        of
        acceleration of maturity of the Obligations or otherwise, shall the amount
        paid
        or agreed to be paid to the Lender for the use or the forbearance of the
        Obligations exceed the maximum permissible under applicable law.  As
        used herein, the term “applicable law” shall mean the law in effect as of the
        date hereof provided, however, that in the event there is a change in the
        law
        which results in a higher permissible rate of interest, then the Loan Documents
        shall be governed by such new law as of its effective date.  In this
        regard, it is expressly agreed that it is the intent of the Borrower and
        the
        Lender in the execution, delivery and acceptance of the Loan Documents to
        contract in strict compliance with the laws of The State of New York from
        time
        to time in effect.  If, under or from any circumstances whatsoever,
        fulfillment of any provision of any of the Loan Documents at the time of
        performance of such provision shall be due, shall involve transcending the
        limit
        of such validity prescribed by applicable law, then the Obligations to be
        fulfilled shall automatically be reduced to the limits of such validity,
        and if
        under or from circumstances whatsoever the Lender should ever receive as
        interest an amount which would exceed the highest lawful rate, such amount
        which
        would be excessive interest shall be applied to the reduction of the principal
        balance of the Obligations and not to the payment of interest.  This
        provision shall control every other provision of all Loan
        Documents.

       

      2.5  Fees.

       

      (a)  The
        Borrower shall pay to the Lender a commitment fee (the “Commitment Fee”),
        computed on the basis of a 360-day year and payable quarterly in arrears
        on the
        first Business Day of each quarter, at a rate per annum equal to the Applicable
        Margin for Commitment Fees multiplied by the excess of (i) the Commitment
        at the
        time over (ii) the Total Revolving Credit Outstandings from time to
        time.

       

      (b)  The
        Borrower shall pay to the Lender a fee (the “Letter of Credit Fee”) at a
        rate per annum equal to (i) the Maximum Drawing Amount under each Letter
        of
        Credit multiplied by (ii) the Applicable Margin for Letter of Credit
        Fees.  The Borrower shall also pay to the LC Issuer for its own
        account a fronting fee (the “Fronting Fee”) at a rate per annum equal to
        one-quarter of one percent (1/4%) of the Maximum Drawing Amount under all
        Letter
        of Credit.  The Letter of Credit Fee and the Fronting Fee shall be
        paid quarterly in arrears on the last Business Day of each calendar
        quarter.

       

      (c)  Without
        limiting any of the Lender’s other rights hereunder or by law, if any Revolving
        Credit Loan or any portion thereof or any interest thereon or any other amount
        payable hereunder or under any other Loan Document is not paid within ten
        (10)
        days after its due date, the Borrower shall pay to the Lender on demand a
        late
        payment charge equal to 5% of the amount of the payment due.

       

      (d)  The
        Borrower authorizes the Lender to charge to its Note Records or to any deposit
        account which the Borrower may maintain with the Lender the interest, fees,
        charges, taxes and expenses provided for in this Agreement, the other Loan
        Documents or any other document executed or delivered in connection herewith
        or
        therewith.  The Lender (with respect to any deposit account held by
        the Lender) shall provide to the Borrower written notice of any such charge
        promptly following such charge.

       

      2.6  Repayment
        of Revolving Credit Loans.  The Borrower shall repay to the Lender
        on the Maturity Date the aggregate principal amount of all Revolving Credit
        Loans outstanding on such date, together with all accrued and unpaid interest,
        fees and other charges hereunder.

       

      2.7  Prepayments.  (a)  Optional.  The
        Borrower may, upon notice to the Lender in substantially the form of Exhibit
        K at any time or from time to time voluntarily prepay the Revolving Credit
        Loans in whole or in part without premium or penalty (except as provided
        in
        Section ‎2.9);
        provided that (A) such notice must be received by the Lender not later
        than 11:00 a.m. Pacific time (1) three Business Days prior to any date of
        prepayment of LIBOR Loans and (2) on the date of prepayment of Base Rate
        Loans;
        (B) any prepayment of LIBOR Loans shall be in a principal amount of $100,000
        or
        a whole multiple of $100,000 in excess thereof; and (C) any prepayment of
        Base
        Rate Loans shall be in a principal amount of $100,000 or a whole multiple
        of
        $100,000 in excess thereof or, in each case, if less, the entire principal
        amount thereof then outstanding.  Each such notice shall specify the
        date and amount of such prepayment and the Type(s) of Revolving Credit Loans
        to
        be prepaid and, if LIBOR Loans are to be prepaid, the Interest Period(s)
        of such
        Revolving Credit Loans.  If such notice is given by the Borrower, the
        Borrower shall make such prepayment and the payment amount specified in such
        notice shall be due and payable on the date specified therein.  Any
        prepayment of a Revolving Credit Loan shall be accompanied by all accrued
        interest on the amount prepaid, and if such Revolving Credit Loan is a LIBOR
        Loan, any additional amounts required pursuant to Section ‎2.9.  

       

      (b)  Mandatory.

       

      (i)  Within
        the earlier of (x) 95 days after the end of each Fiscal Year (commencing
        with
        the Fiscal Year ending on January 1, 2007), or (y) five Business Days after
        financial statements have been delivered pursuant to Section ‎6.1(a)
        and the related certificate has been delivered pursuant to Section ‎6.1(d)
        for such Fiscal Year, the Borrower shall prepay an aggregate principal amount
        of
        Revolving Credit Loans equal to fifty (50%) of Excess Cash Flow for the Fiscal
        Year covered by such financial statements (such prepayments to be applied
        as set
        forth in clause ‎(v)
        and below), provided that no such prepayment will be required with respect
        to
        any Fiscal Year if the Borrower’s Total Leverage Ratio at the end of such Fiscal
        Year is less than 1.50:1.00.

       

      (ii)  If
        the
        Borrower or any of its Subsidiaries Disposes of any property (other than
        any
        Disposition of any property permitted by clause ‎(i)
        of Section ‎8.4(b))
        which results in the realization by such Person of Net Cash Proceeds, the
        Borrower shall prepay an aggregate principal amount of Revolving Credit Loans
        equal to 100% of such Net Cash Proceeds immediately upon receipt thereof
        by such
        Person (such prepayments to be applied as set forth in clause ‎(v)below).

       

      (iii)  Upon
        the
        incurrence or issuance by the Borrower or any of its Subsidiaries of any
        Indebtedness (other than Indebtedness expressly permitted to be incurred
        or
        issued pursuant to clauses (a) - (g), inclusive, of Section ‎8.1),
        the Borrower shall prepay an aggregate principal amount of Revolving Credit
        Loans equal to 100% of all Net Cash Proceeds received therefrom promptly
        upon
        receipt thereof by the Borrower or such Subsidiary (such prepayments to be
        applied as set forth in clause ‎(v)
        below).

       

      (iv)  Upon
        any
        Extraordinary Receipt received by or paid to or for the account of the Borrower
        or any of its Subsidiaries, and not otherwise included in clause (ii), (iii)
        or
        (iv) of this Section ‎2.7(b),
        the Borrower shall prepay an aggregate principal amount of Revolving Credit
        Loans equal to 100% of all Net Cash Proceeds received therefrom immediately
        upon
        receipt thereof by the Borrower or such Subsidiary (such prepayments to be
        applied as set forth in clause ‎(v)
        and below); provided, however, that with respect to any proceeds
        of insurance or condemnation or eminent domain awards (or payments in lieu
        thereof), at the election of the Borrower (as notified by the Borrower to
        the
        Lender on or prior to the date of receipt of such insurance proceeds,
        condemnation awards or indemnity payments), and so long as no Default shall
        have
        occurred and be continuing, the Borrower or such Subsidiary may apply such
        cash
        proceeds within one year after the receipt thereof to replace or repair the
        equipment, fixed assets or real property in respect of which such cash proceeds
        were received; and provided, further, however, that any
        cash proceeds not so applied shall be immediately applied to the prepayment
        of
        the Revolving Credit Loans as set forth in this Section ‎2.7(b)(iv).

       

      (v)  Each
        prepayment of Revolving Credit Loans pursuant to the foregoing provisions
        of
        this Section ‎2.7(b)
        shall be applied as follows: first, ratably to any unpaid LC
        Disbursements, and second, to the outstanding Revolving Credit Loans; and
        the amount remaining, if any, after the prepayment in full of all LC
        Disbursements and Revolving Credit Loans outstanding at such time may be
        retained by the Borrower for use in the ordinary course of its
        business.  

       

      (vi)  If
        for
        any reason the Total Revolving Credit Outstandings at any time exceed the
        Commitment at such time, the Borrower shall immediately prepay Revolving
        Credit
        Loans and LC Disbursements and/or Cash Collateralize the Maximum Drawing
        Amount,
        in an aggregate amount equal to such excess.

       

      2.8  Method
        and Application of Payments.

       

      (a)  All
        payments by the Borrower hereunder and under any of the other Loan Documents
        shall be made in lawful money of the United States in immediately available
        funds, and shall be deemed to have been made only when made in compliance
        with
        this Section 2.8.  All such payments shall be made without set-off or
        counterclaim and free and clear of and without deduction for any taxes, levies,
        imposts, duties, charges, fees, deductions, withholdings, compulsory loans,
        restrictions or conditions of any nature (other than Excluded Taxes) now
        or
        hereafter imposed or levied by any jurisdiction or any political subdivision
        thereof or taxing or other authority therein unless the Borrower is compelled
        by
        law to make such deduction or withholding.  If any such obligation is
        imposed upon the Borrower with respect to any amount payable by it hereunder
        or
        under any of the other Loan Documents, the Borrower will pay to the Lender
        such
        additional amount in U.S. Dollars as shall be necessary to enable the Lender
        to
        receive the same net amount which the Lender would have received on such
        due
        date had no such obligation been imposed upon the Borrower.  The
        Borrower will deliver promptly to the Lender certificates or other valid
        vouchers or other evidence of payment reasonably satisfactory to the Lender
        for
        all taxes or other charges deducted from or paid with respect to payments
        made
        by the Borrower hereunder or under such other Loan Document.  The
        Lender may, and the Borrower hereby authorizes the Lender to, debit the amount
        of any payment not made by such time to the demand deposit accounts of the
        Borrower with the Lender or to its Note Records.

       

      (b)  All
        such
        payments shall be made at the Lender’s head office or at such other location
        that the Lender may from time to time designate, in each case in immediately
        available funds.

       

      (c)  If
        the
        Commitments shall have been terminated or the Obligations shall have been
        declared immediately due and payable pursuant to Section ‎9.2,
        proceeds of Collateral and all other funds received from or on behalf of
        the
        Borrower by the Lender or the LC Issuer in respect of Obligations shall be
        remitted to the Lender, and all such funds, together with all other funds
        received by the Lender from or on behalf of the Borrower (including proceeds
        of
        Collateral) in respect of Obligations, shall be applied by the Lender in
        the
        following manner and order:  (i) first, to reimburse the Lender and
        the LC Issuer, in that order, for any amounts payable pursuant to Sections
‎11.2
        and ‎11.3
        hereof; (ii) second, to the payment of Commitment Fees, Letter of Credit
        Fees,
        and any other fees payable to the Lender hereunder; (iii) third, to the payment
        of interest due on the Revolving Credit Loans and the LC Disbursements; (iv)
        fourth, to the payment of the outstanding principal balance of the Revolving
        Credit Loans; (v) fifth, to the payment of any other Obligations payable
        by the
        Borrower, pro rata to the outstanding principal balance of each; and (vi)
        any remaining funds shall be paid to whoever shall be entitled thereto or
        as a
        court of competent jurisdiction shall direct.

       

      2.9  LIBOR
        Indemnity.  If the Borrower for any reason makes any payment of
        principal with respect to any LIBOR Loan on any day other than the last day
        of
        an Interest Period applicable to such LIBOR Loan, or fails to borrow or continue
        or convert to a LIBOR Loan after giving a Notice of Borrowing or Conversion
        thereof pursuant to Section ‎2.3,
        or fails to prepay a LIBOR Loan after having given notice thereof, the Borrower
        shall pay to the Lender any amount required to compensate the Lender for
        any
        additional losses, costs or expenses which they may reasonably incur as a
        result
        of such payment or failure, including, without limitation, any loss (including
        loss of anticipated profits), costs or expense incurred by reason of the
        liquidation or re-employment of deposits or other funds required by the Lender
        to fund or maintain such LIBOR Loan.  Without limiting the foregoing,
        the Borrower shall pay to the Lender a “yield maintenance fee” in an amount
        computed as follows:  the current rate for United States Treasury
        securities (bills on a discounted basis shall be converted to a bond equivalent)
        with a maturity date closest to the term chosen pursuant to the Fixed Rate
        Election as to which the prepayment is made, shall be subtracted from the
        interest rate applicable (pursuant to Section ‎2.4(b))
        to each LIBOR Loan in effect at the time of prepayment.  If the result
        is zero or a negative number, there shall be no yield maintenance
        fee.  If the result is a positive number, then the resulting
        percentage shall be multiplied by the amount of the principal balance being
        prepaid.  The resulting amount shall be divided by 360 and multiplied
        by the number of days remaining in the term chosen pursuant to the Fixed
        Rate
        Election as to which the prepayment is made.  Said amount shall be
        reduced to present value calculated by using the above referenced United
        States
        Treasury securities rate and the number of days remaining in the term chosen
        pursuant to the Fixed Rate Election as to which prepayment is
        made.  The resulting amount shall be the yield maintenance fee due to
        the Lender upon the payment of a LIBOR Loan under the circumstances described
        in
        the first sentence of this Section.  The Borrower shall pay such
        amount upon presentation by the Lender of a statement setting forth the amount
        and the Lender’s calculation thereof pursuant hereto, which statement shall be
prima facie evidence of the amounts owed hereunder absent manifest
        error.  If the Obligations are declared immediately due and payable
        pursuant to Section 8.2, then any amount provided for in this Section shall
        be
        due and payable in the same manner as though the Borrower had made a prepayment
        of the LIBOR Loans.

       

      2.10  Computation
        of Interest and Fees.  All computations of interest for Base Rate
        Loans when the Alternate Base Rate is determined by Wells Fargo’s “Base Rate”
shall be made on the basis of a year of 365 or 366 days, as the case may
        be, and
        actual days elapsed.  All other computations of fees and interest
        shall be made on the basis of a 360-day year and actual days elapsed (which
        results in more fees or interest, as applicable, being paid than if computed
        on
        the basis of a 365-day year).  If the due date for any payment of
        principal is extended by operation of law, interest shall be payable for
        such
        extended time.  If any payment required by this Agreement becomes due
        on a day that is not a Business Day such payment may be made on the next
        succeeding Business Day (subject to the definition of the term “Interest
        Period”), and such extension shall be included in computing interest in
        connection with such payment.

       

      2.11  Changed
        Circumstances; Illegality.

       

      (a)  Notwithstanding
        any other provision of this Agreement, in the event that:

       

      (i)  on
        any
        date on which the LIBOR Rate would otherwise be set the Lender shall have
        determined in good faith (which determination shall be final and conclusive)
        that adequate and fair means do not exist for ascertaining the LIBOR Rate,
        or

       

      (ii)  at
        any
        time the Lender shall have determined in good faith (which determination
        shall
        be final and conclusive) that:

       

      (A)  the
        making or continuation of or conversion of any Revolving Credit Loan to a
        LIBOR
        Loan has been made impracticable or unlawful by (1) the occurrence of a
        contingency that materially and adversely affects the interbank LIBOR market
        or
        (2) compliance by the Lender in good faith with any applicable law or
        governmental regulation, guideline or order or interpretation or change thereof
        by any Governmental Authority charged with the interpretation or administration
        thereof or with any request or directive of any such Governmental Authority
        (whether or not having the force of law); or

       

      (B)  the
        LIBOR
        Rate shall no longer represent the effective cost to the Lender for U.S.
        dollar
        deposits in the interbank market for deposits in which it regularly
        participates;

       

      then,
        and
        in any such event, the Lender shall forthwith so notify the Borrower
        thereof.  Until the Lender notifies the Borrower that the
        circumstances giving rise to such notice no longer apply, the obligation
        of the
        Lender to allow selection by the Borrower of the Type of Revolving Credit
        Loan
        affected by the contingencies described in this Section (herein called
“Affected Loans”) shall be suspended.  If at the time the
        Lender so notifies the Borrower, the Borrower has previously given the Lender
        a
        Notice of Borrowing or Conversion with respect to one or more Affected Loans
        but
        such Revolving Credit Loans have not yet gone into effect, such notification
        shall be deemed to be a request for Base Rate Loans.

       

      (b)  In
        the
        event of a determination of illegality pursuant to Section ‎2.11(a)(ii)(A)
        above, the Borrower shall, with respect to the outstanding Affected Loans,
        prepay the same, together with interest thereon and any amounts required
        to be
        paid pursuant to Section ‎2.88,
        on such date as shall be specified in such notice (which shall not be earlier
        than the date such notice is given) and may, subject to the conditions of
        this
        Agreement, borrow a Revolving Credit Loan of another Type in accordance with
        Section ‎2.1
        by giving a Notice of Borrowing or Conversion pursuant to Section ‎2.3.

       

      2.12  Increased
        Costs.  In case any change made after the Closing Date in any law,
        regulation, treaty or official directive or the interpretation or application
        thereof by any court or by any Governmental Authority charged with the
        administration thereof or the compliance with any guideline or request of
        any
        central bank or other Governmental Authority (whether or not having the force
        of
        law):

       

      (i)  subjects
        the Lender or the LC Issuer to any tax with respect to payments of principal
        or
        interest or any other amounts payable hereunder by the Borrower or otherwise
        with respect to the transactions contemplated hereby (except for Indemnified
        Taxes or Other Taxes covered by Section ‎2.144
        and the imposition of, or any change in the rate of, and Excluded Tax payable
        by
        the Lender or the LC Issuer), or

       

      (ii)  imposes,
        modifies or deems applicable any deposit insurance, reserve, special deposit
        or
        similar requirement against assets held by, or deposits in or for the account
        of, or credit extended or participated in by, the Lender (other than such
        requirements as are already included in the determination of the LIBOR Rate)
        or
        the LC Bank, or

       

      (iii)  imposes
        upon the Lender or the Issuing Bank any other condition with respect to its
        obligations or performance under this Agreement or in respect of any Letter
        of
        Credit,

       

      and
        the
        result of any of the foregoing is to increase the cost to the Lender or the
        LC
        Issuer, reduce the income receivable by the Lender or the LC Issuer or impose
        any expense upon the Lender or the LC Issuer with respect to any Revolving
        Credit Loans or its obligations under this Agreement or in respect of any
        Letter
        of Credit, the Lender or the LC Issuer shall notify the Borrower and the
        Lender
        thereof.  The Borrower agrees to pay to the Lender or the LC Issuer
        the amount of such increase in cost, reduction in income or additional expense
        as and when such cost, reduction or expense is incurred or determined, upon
        presentation by the Lender or the LC issuer of a statement in the amount
        and
        setting forth in reasonable detail the Lender’s or the LC Issuer’s calculation
        thereof and the assumptions upon which such calculation was based, which
        statement shall be prima facie evidence of the amounts owing hereunder
        absent manifest error.

       

      2.13  Capital
        Requirements.  If after the date hereof the Lender determines that
        (i) the adoption of or change in any law, rule, regulation or guideline
        regarding capital requirements for banks or bank holding companies, or any
        change in the interpretation or application thereof by any Governmental
        Authority charged with the administration thereof, or (ii) compliance by
        the
        Lender or its parent bank holding company with any guideline, request or
        directive of any such entity regarding capital adequacy (whether or not having
        the force of law), has the effect of reducing the return on the Lender’s or such
        holding company’s capital as a consequence of the Lender’s Commitment to make
        Revolving Credit Loans hereunder or its obligations in respect of any Letter
        of
        Credit to a level below that which the Lender or such holding company could
        have
        achieved but for such adoption, change or compliance (taking into consideration
        the Lender’s or such holding company’s then existing policies with respect to
        capital adequacy and assuming the full utilization of such entity’s capital) by
        any amount deemed by the Lender to be material, then the Lender shall notify
        the
        Borrower and the Lender thereof.  The Borrower agrees to pay to the
        Lender the amount of such reduction of return on capital as and when such
        reduction is determined, payable within 90 days after presentation by the
        Lender
        of a statement in the amount and setting forth in reasonable detail the Lender’s
        calculation thereof and the assumptions upon which such calculation was based
        (which statement shall be prima facie evidence of amounts payable
        hereunder absent manifest error) unless within such 90 day period the Borrower
        shall have prepaid in full all Obligations to the Lender, in which event
        no
        amount shall be payable to the Lender under this Section.  In
        determining such amount, the Lender may use any reasonable averaging and
        attribution methods.

       

      2.14  Taxes.  (a)  Payments
        Free of Taxes.  Any and all payments by or on account of any
        obligation of the Borrower hereunder or under any other Loan Document shall
        be
        made free and clear of and without reduction or withholding for any Indemnified
        Taxes or Other Taxes, provided that if the Borrower shall be required by
        applicable law to deduct any Indemnified Taxes (including any Other Taxes)
        from
        such payments, then (i) the sum payable shall be increased as necessary so
        that
        after making all required deductions (including deductions applicable to
        additional sums payable under this Section) the Lender or the LC Issuer,
        as the
        case may be, receives 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 timely pay the full amount deducted to the relevant
        Governmental Authority in accordance with applicable law.

       

      (b)  Payment
        of Other Taxes by the Borrower.  Without limiting the provisions
        of subsection (a) above, the Borrower shall timely pay any Other Taxes to
        the
        relevant Governmental Authority in accordance with applicable law.

       

      (c)  Indemnification
        by the Borrower.  The Borrower shall indemnify the Lender and the
        LC Issuer, within 10 days after demand therefor, for the full amount of any
        Indemnified Taxes or Other Taxes (including Indemnified Taxes or Other Taxes
        imposed or asserted on or attributable to amounts payable under this Section)
        paid by the Lender or the LC Issuer, as the case may be, and any penalties,
        interest and reasonable expenses arising therefrom or with respect thereto,
        whether or not such Indemnified Taxes or Other Taxes were correctly or legally
        imposed or asserted by the relevant Governmental Authority.  A
        certificate as to the amount of such payment or liability delivered to the
        Borrower by the Lender or the LC Issuer (with a copy to the Lender), or by
        the
        Lender on its own behalf or on behalf of the Lender or the LC Issuer, shall
        be
        conclusive absent manifest error.

       

      (d)  Evidence
        of Payments.  Upon request of the Lender, as soon as practicable
        after any payment of Indemnified Taxes or Other Taxes by the Borrower to
        a
        Governmental Authority, the Borrower shall deliver to the Lender the original
        or
        a certified copy of a receipt issued by such Governmental Authority evidencing
        such payment, a copy of the return reporting such payment or other evidence
        of
        such payment reasonably satisfactory to the Lender.

       

      (e)  Treatment
        of Certain Refunds.  If the Lender or the LC Issuer determines, in
        its sole discretion, that it has received a refund of any Taxes or Other
        Taxes
        as to which it has been indemnified by the Borrower or with respect to which
        the
        Borrower has paid additional amounts pursuant to this Section, it shall pay
        to
        the Borrower an amount equal to such refund (but only to the extent of indemnity
        payments made, or additional amounts paid, by the Borrower under this Section
        with respect to the Taxes or Other Taxes giving rise to such refund), net
        of all
        out-of-pocket expenses of the Lender or the LC Issuer, as the case may be,
        and
        without interest (other than any interest paid by the relevant Governmental
        Authority with respect to such refund), provided that the Borrower upon
        the request of the Lender or the LC Issuer, agree to repay the amount paid
        over
        to the Borrower (plus any penalties, interest or other charges imposed by
        the relevant Governmental Authority) to the Lender or the LC Issuer if the
        Lender or the LC Issuer is required to repay such refund to such Governmental
        Authority.  This subsection shall not be construed to require the
        Lender or the LC Issuer to make available its tax returns (or any other
        information relating to its taxes that it deems confidential) to the Borrower
        or
        any other Person.

       

      SECTION
        III

       

      

       

      LETTERS
        OF CREDIT

       

      3.1  Issuance.  Upon
        the terms and subject to the conditions hereof, the LC Issuer in reliance
        upon
        the representations and warranties of the Borrower contained herein, agrees
        to
        issue letters of credit (the “Letters of Credit”) for the account of the
        Borrower in such form as may be requested from time to time by the Borrower
        and
        agreed to by the LC Issuer, provided that the Maximum Drawing Amount
        (after giving effect to all requested Letters of Credit) shall not at any
        time
        exceed the Letter of Credit Sublimit, provided, further that the
        Total Revolving Credit Outstandings (after giving effect to all requested
        Revolving Credit Loans and Letters of Credit) shall not at any time exceed
        the
        Commitment, and provided further that no Letter of Credit shall have an
        expiration date later than five (5) Business Days prior to the Maturity
        Date.  At least three (3) Business Days prior to the proposed issuance
        date of any Letter of Credit, the Borrower shall deliver to the LC Issuer
        a
        Letter of Credit Application setting forth the Maximum Drawing Amount of
        all
        Letters of Credit (including the requested Letter of Credit), the requested
        language of the requested Letter of Credit and such other information as
        the LC
        Issuer shall require.  Each request for the issuance of a Letter of
        Credit hereunder shall constitute a representation and warranty by the Borrower
        that the conditions set forth in Sections ‎4.1
        or ‎4.2
        (as the case may be) have been satisfied as of the date of such
        request.

       

      3.2  Reimbursement
        Obligation of the Borrower.  In order to induce the LC Issuer to
        issue, extend and renew each Letter of Credit, the Borrower hereby agrees
        to
        reimburse or pay to the Lender, for the account of the LC Issuer or (as the
        case
        may be) the Lender, with respect to each Letter of Credit issued, extended
        or
        renewed by the LC Issuer hereunder as follows:

       

      (a)  on
        each
        date that any draft presented under any Letter of Credit is honored by the
        LC
        Issuer or the LC Issuer otherwise makes payment with respect thereto, (i)
        the
        amount paid by the LC Issuer under or with respect to such Letter of Credit,
        and
        (ii) the amount of any taxes, fees, charges or other costs and expenses
        whatsoever incurred by the LC Issuer or the Lender in connection with any
        payment made by the LC Issuer under, or with respect to, such Letter of Credit;
        and

       

      (b)  upon
        the
        Maturity Date or the acceleration of the Maximum Drawing Amount pursuant
        to
        Section ‎9.2,
        an amount equal to 105% of the then Maximum Drawing Amount of all Letters
        of
        Credit, which amount shall be held by the LC Issuer as cash collateral for
        all
        LC Disbursements.

       

      Each
        such
        payment shall be made to the Lender at its head office in immediately available
        funds.  Interest on any and all amounts remaining unpaid by the
        Borrower under this Section ‎3.2
        at any time from the date such amounts become due and payable (whether as
        stated
        in this Section ‎3.2,
        by acceleration or otherwise) until payment in full (whether before or after
        judgment) shall be payable to the Lender, for the account of LC Issuer or
        (as
        the case may be) the Lender, on demand at a rate per annum equal to 2% above
        the
        Alternate Base Rate.

       

      3.3  Letter
        of Credit Payments.  If any draft shall be presented or other
        demand for payment shall be made under any Letter of Credit, the LC Issuer
        shall
        notify the Borrower of the date and amount of the draft presented or demand
        for
        payment and of the date and time when it expects to pay such draft or honor
        such
        demand for payment.  The responsibility of the LC Issuer to the
        Borrower shall be only to determine that the documents (including each draft)
        delivered under each Letter of Credit in connection with such presentment
        shall
        be in conformity in all material respects with such Letter of
        Credit.  On the date that such draft is paid or other payment is made
        by the LC Issuer, the LC Issuer shall promptly notify the Lender of the amount
        of any unpaid LC Disbursement.  All such unpaid LC Disbursements with
        respect to Letters of Credit shall be deemed to be Revolving Credit
        Loans.  No later than 1:00 p.m. Pacific time on the Business Day next
        following the receipt of such notice, the Lender shall make available to
        the
        Lender, at the Lender’s head office, in immediately available funds, the
        Lender’s prorata share of such unpaid LC Disbursements, together
        with an amount equal to the product of (i) the average, computed for the
        period
        referred to in clause (iii) below, of the weighted average interest rate
        paid by
        the Lender for federal funds acquired by the Lender during each day included
        in
        such period, times (ii) the amount equal to the Lender’s
prorata share of such unpaid LC Disbursement, times (iii) a
        fraction, the numerator of which is the number of days that have elapsed
        from
        and including the date the LC Issuer paid the draft presented for honor or
        otherwise made payment until the date on which the Lender’s
prorata share of such unpaid LC Disbursement shall become
        immediately available to the Lender, and the denominator of which is
        365.

       

      3.4  Obligations
        Absolute.

       

      (a)  The
        Borrower’s obligations to reimburse the LC Issuer for all LC Disbursements shall
        be absolute and unconditional under any and all circumstances and irrespective
        of the occurrence of any Default or Event of Default or any condition precedent
        whatsoever or any set off, counterclaim or defense to payment which the Borrower
        may have or have had against the LC Issuer, the Lender or any beneficiary
        of a
        Letter of Credit.  The Borrower further agrees that the LC Issuer and
        the Lender shall not be responsible for, and the Borrower’s obligations in
        respect of the LC Disbursements shall not be affected by, among other things,
        the validity or genuineness of documents or of any endorsements thereon,
        even if
        such documents should in fact prove to be in any or all respects invalid,
        fraudulent or forged, or any dispute between or among the Borrower, the
        beneficiary of any Letter of Credit or any financing institution or other
        party
        to which any Letter of Credit may be transferred or any claims or defenses
        whatsoever of the Borrower, against the beneficiary of any Letter of Credit
        or
        any such transferee.

       

      (b)  The
        LC
        Issuer and the Lender shall not be liable for any error, omission, interruption
        or delay in transmission, dispatch or delivery of any message or advice,
        however
        transmitted, in connection with any Letter of Credit.  The Borrower
        agrees that any action taken or omitted by the LC Issuer or the Lender under
        or
        in connection with each Letter of Credit and the related drafts and documents,
        if done in good faith, shall be binding upon the Borrower and shall not result
        in any liability on the part of the LC Issuer or the Lender to the
        Borrower.

       

      (c)  Notwithstanding
        the foregoing, this Section ‎3.4
        shall not be construed to excuse the LC Issuer from liability to the Borrower
        to
        the extent of any direct damages (as opposed to consequential damages, claims
        in
        respect of which are hereby waived by the Borrower to the extent permitted
        by
        applicable law) suffered by the Borrower that are caused by the LC Issuer’s
        gross negligence or willful misconduct.

       

      3.5  Reliance
        by the LC Issuer and the Lender.  To the extent not inconsistent
        with Section ‎3.4,
        the LC Issuer and the Lender shall be entitled to rely, and shall be fully
        protected in relying upon, any Letter of Credit, draft writing, resolution,
        notice, consent, certificate, affidavit, letter, cablegram, telegram, telecopy,
        telex or teletype message, statement, order or other document believed by
        it to
        be genuine and correct and to have been signed, sent or made by the proper
        Person or Persons and upon advice and statements of legal counsel, independent
        accountants and other experts selected by the LC Issuer or the
        Lender.

       

      SECTION
        IV

       

      

       

      CONDITIONS
        OF REVOLVING CREDIT LOANS AND LETTERS OF CREDIT

       

      4.1  Conditions
        Precedent to Initial Revolving Credit Loans and Letters of
        Credit.  The obligation of the Lender to make the initial
        Revolving Credit Loans and of the LC Issuer to issue the initial Letter of
        Credit is subject to the satisfaction of the following conditions precedent
        on
        or prior to the Closing Date:

       

      (a)  The
        Lender’s receipt of the following, each of which shall be originals or
        telecopies (followed promptly by originals) unless otherwise specified, each
        properly executed by a Responsible Officer of the signing Loan Party, each
        dated
        the Closing Date (or, in the case of certificates of governmental officials,
        a
        recent date before the Closing Date) and each in form and substance satisfactory
        to the Lender:

       

      (i)  executed
        counterparts of this Agreement, sufficient in number for distribution to
        the
        Lender and the Borrower;

       

      (ii)  the
        Note
        executed by the Borrower in favor of the Lender;

       

      (iii)  a
        security agreement in substantially the form of Exhibit F-1, a collateral
        assignment of contracts in the form of Exhibit F-2 and a pledge agreement
        in substantially the forms of Exhibit G (together with each other
        security agreement and security agreement supplement delivered pursuant to
        Section ‎6.12,
        in each case as amended, collectively, the “Security Agreement”), duly
        executed by each Loan Party, together with (subject to the provisions of
        Section
‎4.1(h)):

       

      (A)  certificates
        representing the pledged equity interests referred to therein accompanied
        by
        undated stock powers executed in blank,

       

      (B)  stamped
        receipt copies of proper financing statements, duly filed on or before the
        Closing Date under the Uniform Commercial Code of all jurisdictions that
        the
        Lender may deem necessary or desirable in order to perfect the Encumbrances
        created under the Security Agreement, covering the Collateral described in
        the
        Security Agreement,

       

      (C)  completed
        requests for information, dated on or before the date of the initial Credit
        Extension, listing the financing statements referred to in
        clause (B) above and all other effective financing statements filed in the
        jurisdictions referred to in clause (ii) above that name any Loan Party as
        debtor, together with copies of such other financing statements,

       

      (D)  evidence
        of the completion of all other actions, recordings and filings of or with
        respect to the Security Agreement that the Lender may deem necessary or
        desirable in order to perfect the Encumbrances created thereby,

       

      (E)  copies
        of
        the assigned agreements subject to the collateral assignment of contracts
        referred to above, together with any necessary consent to such assignment,
        duly
        executed by each party to such assigned agreements other than the Loan Parties,
        and

       

      (F)  evidence
        that all other action that the Lender may deem necessary or desirable in
        order
        to perfect the Encumbrances created under the Security Agreement has been
        taken
        (including receipt of duly executed payoff letters and UCC-3 termination
        statements);

       

      (iv)  an
        intellectual property security agreement, in substantially the form of
Exhibit H (together with each other intellectual property security
        agreement and intellectual property security agreement supplement delivered
        pursuant to Section ‎6.12,
        in each case as amended, the “Intellectual Property Security Agreement”),
        duly executed by each Loan Party, together with evidence that all action
        that
        the Lender may deem necessary or desirable in order to perfect the Encumbrances
        created under the Intellectual Property Security Agreement has been
        taken;

       

      (v)  a
        guaranty, executed by each Subsidiary of the Borrower (other than any CFC
        or a
        Subsidiary that is held directly or indirectly by a CFC) substantially in
        the
        form attached hereto as Exhibit I, guaranteeing the other Loan Parties’
obligations under the Loan Documents (each such guaranty or any guaranty
        supplement, a “Guaranty”);

       

      (vi)  such
        certificates of resolutions or other action, incumbency certificates and/or
        other certificates of Responsible Officers of each Loan Party as the Lender
        may
        require evidencing the authority of each Loan Party to consummate the
        transactions contemplated hereby and the identity, authority and capacity
        of
        each Responsible Officer thereof authorized to act as a Responsible Officer
        in
        connection with this Agreement and the other Loan Documents to which such
        Loan
        Party is a party or is to be a party;

       

      (vii)  such
        documents and certifications as the Lender may reasonably require to evidence
        that each Loan Party is duly organized or formed, is validly existing, in
        good
        standing and qualified to engage in business in each jurisdiction where its
        ownership, lease or operation of properties or the conduct of its business
        requires such qualification, except to the extent that failure to do so could
        not reasonably be expected to have a Material Adverse Effect;

       

      (viii)  a
        favorable opinion of Gordon Rees LLP, counsel to the Loan Parties, addressed
        to
        the Lender, as to the matters set forth in Exhibit J and such other
        matters concerning the Loan Parties and the Loan Documents as the Lender
        may
        reasonably request;

       

      (ix)  a
        certificate of a Responsible Officer of each Loan Party either (A) attaching
        copies of all consents, licenses and approvals required in connection with
        the
        execution, delivery and performance by such Loan Party and the validity against
        such Loan Party of the Loan Documents to which it is a party, and such consents,
        licenses and approvals shall be in full force and effect, or (B) stating
        that no
        such consents, licenses or approvals are so required;

       

      (x)  certificates
        attesting to the Solvency of each Loan Party, from its chief financial
        officer;

       

      (xi)  evidence
        that all insurance required to be maintained pursuant to the Loan Documents
        has
        been obtained and is in effect, together with the certificates of insurance,
        naming the Lender, as an additional insured or loss payee, as the case may
        be,
        under all insurance policies maintained with respect to the assets and
        properties of the Loan Parties that constitute Collateral;

       

      (xii)  evidence
        that the Existing Credit Agreement has been, or concurrently with the
        transactions contemplated hereby is being, terminated and all Encumbrances
        securing obligations under the Existing Credit Agreement have been, or
        concurrently with the transactions contemplated hereby are being, released
        or
        assigned to the Lender;

       

      (xiii)  such
        other assurances, certificates, documents, consents or opinions as the Lender
        or
        the LC Issuer reasonably may require; and

       

      (xiv)  a
        certificate reasonably satisfactory to the Lender, provided by the Borrower
        that
        sets forth information required by the Patriot Act including the identity
        of the
        Borrower, the name and address of the Borrower and other information that
        will
        allow the Lender, as applicable, to identify the Borrower in accordance with
        the
        Patriot Act.

       

      (b)  All
        fees
        required to be paid to the Lender on or before the Closing Date shall have
        been
        paid.

       

      (c)  The
        Borrower shall have paid all fees, charges and disbursements of counsel to
        the
        Lender (directly to such counsel if requested by the Lender) to the extent
        invoiced prior to or on the Closing Date, plus such additional amounts of
        such
        fees, charges and disbursements as shall constitute its reasonable estimate
        of
        such fees, charges and disbursements incurred or to be incurred by it through
        the closing proceedings (provided that such estimate shall not thereafter
        preclude a final settling of accounts among the Borrower and the
        Lender).

       

      (d)  The
        Borrower and its Subsidiaries will have outstanding no Indebtedness other
        than
        the Revolving Credit Loans.

       

      (e)  The
        Lender shall have received the following:

       

      (i)  A
        pro
        forma consolidated balance sheet and a related pro forma consolidated statement
        of income of the Borrower and its Subsidiaries as of and for the 12 Fiscal
        Month
        period most recently ended prior to the Closing Date, prepared as of such
        date
        (in the case of such balance sheet) or at the beginning of such period (in
        the
        case of such statement of income), in form and substance satisfactory to
        the
        Lender and certified by the chief financial officer of the Borrower (the
“Pro
        Forma Financial Statements”).  The Pro Forma Financial Statements
        and such certificate shall confirm that (i) the Borrower had not less than
        $5,100,000 of Consolidated EBITDA for the 12 Fiscal Month period most recently
        ended prior to the Closing Date.

       

      (ii)  The
        Borrower’s projections for each of the five Fiscal Years following the Closing
        Date, including consolidated balance sheets and statements of income, retained
        earnings and cash flows.

       

      (f)  The
        Lender shall not have become aware, after April 1, 2007 of any new or
        inconsistent information or other matter not previously disclosed to it relating
        to the Borrower or the transactions contemplated by the Commitment Letter
        dated
        as of such date addressed to the Borrower that the Lender, in its reasonable
        business judgment, deems material and adverse relative to the information
        or
        other matters disclosed to it prior to such date, including matters covered
        by
        any third-party diligence reports, background checks or other financial,
        accounting, insurance or legal review.

       

      (g)  The
        representations and warranties contained in Section IV and all other
        representations and warranties made by the Borrower and each other Loan Party
        under any other Loan Document shall be true and accurate on and as of the
        Closing Date as though made at and as of the Closing Date.

       

      (h)  All
        documents and instruments required to perfect the Lender’s security interest in
        the Collateral shall have been executed and delivered and, if applicable,
        be in
        proper form for filing, in each case as contemplated by the foregoing provisions
        of this Section ‎4.1,
        and none of the Collateral will be subject to any other pledges, security
        interests or mortgages except for Permitted Encumbrances.

       

      (i)  No
        litigation, arbitration, proceeding or investigation shall be pending or
        threatened which questions the validity or legality of the transactions
        contemplated by any Loan Document or seeks a restraining order, injunction
        or
        damages in connection therewith, or which, in the judgment of the Lender,
        might
        adversely affect the transactions contemplated hereby or thereby or might
        have a
        materially adverse affect on the assets, business, financial condition or
        prospects of the Borrower.

       

      4.2  Conditions
        Precedent to all Revolving Credit Loans and Letters of Credit after the Closing
        Date.  The obligation of the Lender to make any Revolving Credit
        Loan, to continue LIBOR Loans or to convert Revolving Credit Loans of one
        Type
        to Revolving Credit Loans of another Type, and of the LC Issuer to issue
        any
        Letter of Credit, in each case after the Closing Date, is further subject
        to the
        following conditions:

       

      (a)  timely
        receipt by the Lender of the Notice of Borrowing or Conversion with respect
        to
        any Revolving Credit Loan, or by the LC Issuer of the Letter of Credit
        Application with respect to any Letter of Credit;

       

      (b)  the
        outstanding Revolving Credit Loans and Letters of Credit do not and, after
        giving effect to any requested Revolving Credit Loan, will not exceed the
        limitations set forth in Sections ‎2.1(a)
        and (b) and ‎3.1
        hereof;

       

      (c)  the
        representations and warranties contained in Section V hereof and all
        representations and warranties made by the Borrower and each other Loan Party
        under any other Loan Document shall be true and accurate in all material
        respects on and as of the date of such Notice of Borrowing or Conversion
        or
        Letter of Credit Application and on the effective date of the making,
        continuation or conversion of each Revolving Credit Loan or issuance of each
        Letter of Credit as though made at and as of each such date (except to the
        extent that such representations and warranties expressly relate to an earlier
        date in which case such representations and warranties shall be true and
        correct
        as of such earlier date);

       

      (d)  no
        Default or Event of Default shall have occurred and be continuing at the
        time
        of, and immediately after, the making of such requested Revolving Credit
        Loan or
        the issuance of such requested Letter of Credit;

       

      (e)  no
        litigation, arbitration, proceeding or investigation shall be pending or
        threatened which questions the validity or legality of the transactions
        contemplated by any Loan Document or seeks a restraining order, injunction
        or
        damages in connection therewith, or which, in the judgment of the Lender,
        might
        adversely affect the transactions contemplated hereby or thereby or might
        have a
        materially adverse affect on the assets, business, financial condition or
        prospects of the Borrower; and

       

      (f)  no
        change
        shall have occurred in any law or regulation or interpretation thereof that,
        in
        the opinion of counsel for the Lender, would make it illegal or against the
        policy of any governmental agency or authority for the Lender to make Revolving
        Credit Loans hereunder or, in the opinion of counsel for the LC Issuer, for
        the
        LC Issuer to issue Letters of Credit hereunder (as the case may
        be).

       

      The
        making, continuation or conversion of each Revolving Credit Loan and the
        issuance of each Letter of Credit shall be deemed to be a representation
        and
        warranty by the Borrower on the date of the making, continuation or conversion
        of such Revolving Credit Loan as to the accuracy of the facts referred to
        in
        subsection ‎(c)
        of this Section ‎4.2
        and of the satisfaction of all of the conditions set forth in this Section
‎4.2.

       

      SECTION
        V                                

       

      

       

      REPRESENTATIONS
        AND WARRANTIES

       

      The
        Borrower represents and warrants to the Lender that:

       

      5.1  Existence,
        Qualification and Power.  Each Loan Party and each of its
        Subsidiaries (a) is duly organized or formed, validly existing and, as
        applicable, in good standing under the Laws of the jurisdiction of its
        incorporation, organization or formation, (b) has all requisite power and
        authority and all requisite governmental licenses, authorizations, consents
        and
        approvals to (i) own or lease its assets and carry on its business and (ii)
        execute, deliver and perform its obligations under the Loan Documents to
        which
        it is a and (c) is duly qualified and is licensed and, as applicable, in
        good
        standing under the laws of each jurisdiction where its ownership, lease or
        operation of properties or the conduct of its business requires such
        qualification or license; except in each case referred to in clause (b)(i)
        or
        (c), to the extent that failure to do so could not reasonably be expected
        to
        have a Material Adverse Effect.

       

      5.2  Authorization;
        No Contravention.  The execution, delivery and performance by each
        Loan Party of each Loan Document to which such Person is or is to be a party
        have been duly authorized by all necessary corporate or other organizational
        action, and do not and will not (a) contravene the terms of any of such Person’s
        organization documents; (b) conflict with or result in any breach or
        contravention of, or the creation of any Encumbrance under, or require any
        payment to be made under (i) any contractual obligation to which such Person
        is
        a party or affecting such Person or the properties of such Person or any
        of its
        Subsidiaries or (ii) any order, injunction, writ or decree of any Governmental
        Authority or any arbitral award to which such Person or its property is subject;
        or (c) violate any law, rule or regulation.

       

      5.3  Governmental
        Authorization; Other Consents.  No approval, consent, exemption,
        authorization, or other action by, or notice to, or filing with, any
        Governmental Authority or any other Person is necessary or required in
        connection with (a) the execution, delivery or performance by, or enforcement
        against, any Loan Party of this Agreement or any other Loan Document,
        (b) the grant by any Loan Party of the Encumbrances granted by it pursuant
        to the Security Documents, (c) the perfection or maintenance of the
        Encumbrances created under the Security Documents (including the first priority
        nature thereof) or (d) the exercise by the Lender of its rights under the
        Loan Documents or the remedies in respect of the Collateral pursuant to the
        Security Documents.

       

      5.4  Binding
        Effect.  This Agreement has been, and each other Loan Document,
        when delivered hereunder, will have been, duly executed and delivered by
        each
        Loan Party that is party thereto.  This Agreement constitutes, and
        each other Loan Document when so delivered will constitute, a legal, valid
        and
        binding obligation of such Loan Party, enforceable against each Loan Party
        that
        is party thereto in accordance with its terms except as limited by bankruptcy,
        insolvency, reorganization, moratorium or other laws affecting the enforcement
        of creditors’ rights generally, and except as the remedy of specific performance
        or of injunctive relief is subject to the discretion of the court before
        which
        any proceeding therefor may be brought.

       

      5.5  Financial
        Statements; No Material Adverse Effect.  (a)  The
        audited consolidated balance sheet of the Borrower as of the end of, and
        the
        related consolidated statements of operations, retained earnings and cash
        flows
        for, the Fiscal Year ended December 31, 2006 (i) were prepared in accordance
        with GAAP consistently applied throughout the period covered thereby; (ii)
        fairly present the financial condition of the Borrower and its Subsidiaries
        as
        of the date thereof and their results of operations for the period covered
        thereby in accordance with GAAP consistently applied throughout the period
        covered thereby, in each case except as otherwise expressly noted therein
        Holdings, subject to the absence of footnotes; (iii) show all material
        indebtedness and other liabilities, direct or contingent, of the Borrower
        and
        its Subsidiaries as of the date thereof, including liabilities for taxes,
        material commitments and Indebtedness; and (iv) have been delivered to the
        Lender.

       

      (b)  The
        unaudited consolidated and consolidating balance sheets of the Borrower and
        its
        Subsidiaries as of the end of, and the related consolidated and consolidating
        statements of operations, retained earnings and cash flows for, the Fiscal
        Month
        ended April 1, 2007 and for the three Fiscal Months then ended (the
“Financial Statements”) (i) were prepared in accordance with GAAP
        consistently applied throughout the period covered thereby; (ii) fairly present
        the financial condition of the Borrower and its Subsidiaries as of the date
        thereof and their results of operations for the period covered thereby in
        accordance with GAAP consistently applied throughout the period covered thereby,
        in each case except as otherwise expressly noted therein and subject to normal,
        recurring year-end adjustments that shall not in the aggregate be material
        in
        amount and the absence of notes thereto; and (iii) have been delivered to
        the
        Lender.  Schedule 5.5 sets forth all material indebtedness and
        other liabilities, direct or contingent, of the Borrower and its consolidated
        Subsidiaries as of the date of such financial statements, including liabilities
        for taxes, material commitments and Indebtedness.

       

      (c)  Since
        the
        date of the Financial Statements, there has been no event or circumstance,
        either individually or in the aggregate, that has had or could reasonably
        be
        expected to have a Material Adverse Effect.

       

      (d)  The
        Pro
        Forma Financial Statements, copies of which have been furnished to the Lender,
        fairly present the consolidated and consolidating pro forma financial
        condition of the Borrower and its Subsidiaries as at such date and the
        consolidated and consolidating pro forma results of operations of the Borrower
        and its Subsidiaries for the period ended on such date, all in accordance
        with
        GAAP.

       

      (e)  The
        projected financial information of the Borrower and its Subsidiaries that
        has
        been provided by the Borrower prior to the date hereof was prepared in good
        faith on the basis of the assumptions stated therein, which assumptions were
        fair in light of the conditions existing at the time of delivery of such
        forecasts, and represented, at the time of delivery, the best estimate of
        the
        Borrower of the Borrower’s future financial condition and
        performance.

       

      5.6  Litigation.  There
        are no actions, suits, proceedings, claims or disputes pending or, to the
        knowledge of the Borrower after due and diligent investigation, overtly
        threatened or contemplated, at law, in equity, in arbitration or before any
        Governmental Authority, by or against the Borrower or any of its Subsidiaries
        or
        against any of their properties or revenues that (a) purport to affect or
        pertain to this Agreement, any other Loan Document, or (b) either individually
        or in the aggregate, if determined adversely, could reasonably be expected
        to
        have a Material Adverse Effect.

       

      5.7  No
        Default.  No Loan Party or any Subsidiary thereof is in default
        under or with respect to, or a party to, any contractual obligation that
        could,
        either individually or in the aggregate, reasonably be expected to have a
        Material Adverse Effect.  No Default has occurred and is continuing or
        would result from the consummation of the transactions contemplated by this
        Agreement or any other Loan Document.

       

      5.8  Ownership
        of Property; Encumbrances; Investments.  (a) Each Loan Party and
        each of its Subsidiaries has good record and marketable title in fee simple
        to,
        or valid leasehold interests in, all real property necessary or used in the
        ordinary conduct of its business, except for such defects in title as could
        not,
        individually or in the aggregate, reasonably be expected to have a Material
        Adverse Effect.

       

      (b)  Schedule
        ‎5.8(b)
        sets forth a complete and accurate list of all Encumbrances on the property
        or
        assets of each Loan Party and each of its Subsidiaries, showing as of the
        date
        hereof the lienholder thereof, the principal amount of the obligations secured
        thereby and the property or assets of such Loan Party or such Subsidiary
        subject
        thereto.  The property of each Loan Party and each of its Subsidiaries
        is subject to no Encumbrances, other than Encumbrances set forth on Schedule
‎5.8(b),
        and as otherwise permitted by Section ‎8.1.

       

      (c)  Schedule
        ‎5.8(c)
        sets forth a complete and accurate list of all real property owned by each
        Loan
        Party and each of its Subsidiaries, showing as of the date hereof the street
        address, county or other relevant jurisdiction, state, record owner and book
        and
        estimated fair value thereof.  Each Loan Party and each of its
        Subsidiaries has good, marketable and insurable fee simple title to the real
        property owned by such Loan Party or such Subsidiary, free and clear of all
        Encumbrances, other than Encumbrances created or permitted by the Loan
        Documents.

       

      (d)  (i)  Schedule
        ‎5.8(d)(i)
        sets forth a complete and accurate list of all leases of real property under
        which any Loan Party or any Subsidiary of a Loan Party is the lessee, showing
        as
        of the date hereof the street address, county or other relevant jurisdiction,
        state, lessor, lessee and expiration date thereof.  Each such lease is
        the legal, valid and binding obligation of the lessor thereof, enforceable
        in
        accordance with its terms, except as limited by bankruptcy, insolvency,
        reorganization, moratorium or other laws affecting the enforcement of creditors’
rights generally, and except as the remedy of specific performance or of
        injunctive relief is subject to the discretion of the court before which
        any
        proceeding therefor may be brought.

       

      (ii)  Schedule
        ‎5.8(d)(ii)
        sets forth a complete and accurate list of all leases of real property under
        which any Loan Party or any Subsidiary of a Loan Party is the lessor, showing
        as
        of the date hereof the street address, county or other relevant jurisdiction,
        state, lessor, lessee and expiration date thereof.  Each such lease is
        the legal, valid and binding obligation of the lessee thereof, enforceable
        in
        accordance with its terms, except as limited by bankruptcy, insolvency,
        reorganization, moratorium or other laws affecting the enforcement of creditors’
rights generally, and except as the remedy of specific performance or of
        injunctive relief is subject to the discretion of the court before which
        any
        proceeding therefor may be brought.

       

      (e)  Schedule
        ‎5.8(e)
        sets forth a complete and accurate list of all Investments held by any Loan
        Party or any Subsidiary of a Loan Party on the date hereof, showing as of
        the
        date hereof the amount, obligor or issuer and maturity, if any,
        thereof.

       

      5.9  Environmental
        Compliance.

       

      (a)  The
        Loan
        Parties and each of their respective Subsidiaries will comply in all material
        respects with all applicable Environmental Laws in all jurisdictions in which
        any of them operates now or in the future, and the Loan Parties and each
        of
        their respective its Subsidiaries will comply in all material respects with
        all
        such Environmental Laws that may in the future be applicable to such Loan
        Party’s or any of its Subsidiaries’ business, properties and
        assets.

       

      (b)  If
        a Loan
        Party or any of its Subsidiaries shall (i) receive notice that any material
        violation of any Environmental Law may have been committed or is about to
        be
        committed by such Loan Party or any of its Subsidiaries, (ii) receive notice
        that any administrative or judicial complaint or order has been filed or
        is
        about to be filed against such Loan Party or any of its Subsidiaries alleging
        a
        material violation of any Environmental Law requiring such Loan Party or
        any of
        its Subsidiaries to take any action in connection with the release of Hazardous
        Materials into the environment, (iii) receive any notice from a federal,
        state
        or local government agency or private party alleging that such Loan Party
        or any
        of its Subsidiaries may be liable or responsible for any material amount
        of
        costs associated with a response to or cleanup of a release of Hazardous
        Materials into the environment or any damages caused thereby, (iv) become
        aware
        of any investigative action or proceedings by a governmental agency or authority
        commenced or threatened against such Loan Party or any of its Subsidiaries
        regarding any potential violation of Environmental Laws or any spill, release,
        discharge or disposal of any Hazardous Material or (v) notify any governmental
        agency or authority regarding any potential violation of Environmental Laws
        or
        any spill, release, discharge or disposal of any Hazardous Material by such
        Loan
        Party or any of its Subsidiaries, such Loan Party or such Subsidiary shall
        promptly notify the Lender thereof (together with a copy of any such notice)
        and
        of any action being or proposed to be taken with respect thereto and thereafter
        shall continue to furnish to the Lender all further notices, demands, reports
        and other information regarding the foregoing.

       

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

       

      5.11  Taxes.  The
        Borrower and its Subsidiaries have filed all Federal, state and other material
        tax returns and reports required to be filed, and have paid all Federal,
        state
        and other material taxes, assessments, fees and other governmental charges
        levied or imposed upon them or their properties, income or assets otherwise
        due
        and payable, except those which are being contested in good faith by appropriate
        proceedings diligently conducted and for which adequate reserves have been
        provided in accordance with GAAP.  There is no proposed tax assessment
        against the Borrower or any Subsidiary that would, if made, have a Material
        Adverse Effect.  No Loan Party or any Subsidiary thereof is party to
        any tax sharing agreement.

       

      5.12  ERISA
        Compliance.  (a)  Each Plan is in compliance in all
        material respects with the applicable provisions of ERISA, the Code and other
        Federal or state laws.  Each Plan that is intended to qualify under
        Section 401(a) of the Code has received a favorable determination letter
        from
        the IRS or an application for such a letter is currently being processed
        by the
        IRS with respect thereto and, to the best knowledge of the Borrower, nothing
        has
        occurred which would prevent, or cause the loss of, such
        qualification.  The Borrower and each ERISA Affiliate have made all
        required contributions to each Plan subject to Section 412 of the Code, and
        no
        application for a funding waiver or an extension of any amortization period
        pursuant to Section 412 of the Code has been made with respect to any
        Plan.

       

      (b)  There
        are
        no pending or, to the best knowledge of the Borrower, overtly threatened
        claims,
        actions or lawsuits, or action by any Governmental Authority, with respect
        to
        any Plan that could reasonably be expected to have a Material Adverse
        Effect.  There has been no prohibited transaction or violation of the
        fiduciary responsibility rules with respect to any Plan that has resulted
        or
        could reasonably be expected to result in a Material Adverse
        Effect.

       

      (c)  (i)
        No
        ERISA Event has occurred or is reasonably expected to occur; (ii) no
        Pension Plan has any Unfunded Pension Liability; (iii) neither of the Borrower
        nor any ERISA Affiliate has incurred, or reasonably expects to incur, any
        liability under Title IV of ERISA with respect to any Pension Plan (other
        than
        premiums due and not delinquent under Section 4007 of ERISA); (iv) neither
        of
        the Borrower nor any ERISA Affiliate has incurred, or reasonably expects
        to
        incur, any liability (and no event has occurred which, with the giving of
        notice
        under Section 4219 of ERISA, would result in such liability) under Section
        4201
        or 4243 of ERISA with respect to a Multiemployer Plan; and (v) neither of
        the
        Borrower nor any ERISA Affiliate has engaged in a transaction that could
        be
        subject to Section 4069 or 4212(c) of ERISA.

       

      5.13  Subsidiaries;
        Equity Interests; Loan Parties.  The Borrower has no Subsidiaries
        other than those specifically disclosed in Part (a) of Schedule ‎5.13,
        and all of the outstanding Equity Interests in such Subsidiaries have been
        validly issued, are fully paid and non-assessable and are owned by a Loan
        Party
        in the amounts specified on Part (a) of Schedule ‎5.13
        free and clear of all Encumbrances except those created under the Security
        Documents.  The Borrower has no equity investments in any other
        corporation or entity other than those specifically disclosed in Part (b)
        of
Schedule ‎5.13.  All
        of the outstanding Equity Interests in the Borrower have been validly issued,
        are fully paid and non-assessable.  Set forth on Part (d) of
Schedule ‎5.13
        is a complete and accurate list of all Loan Parties, showing as of the Closing
        Date (as to each Loan Party) the jurisdiction of its incorporation, the address
        of its principal place of business and its U.S. taxpayer identification number
        or, in the case of any non-U.S. Loan Party that does not have a U.S. taxpayer
        identification number, its unique identification number issued to it by the
        jurisdiction of its incorporation.  The copy of the charter of each
        Loan Party and each amendment thereto provided pursuant to Section ‎4.1(a)(v)
        is a true and correct copy of each such document, each of which is valid
        and in
        full force and effect.

       

      5.14  Margin
        Regulations; Investment Company Act.  (a)  The Borrower
        has not engaged and, except as permitted by Section ‎6.7(b),
        will not engage, principally or as one of its important activities, in the
        business of purchasing or carrying margin stock (within the meaning of
        Regulation U issued by the Federal Reserve Board), or extending credit for
        the
        purpose of purchasing or carrying margin stock.

       

      (b)  None
        of
        the Borrower, any Person Controlling the Borrower, or any Subsidiary is or
        is
        required to be registered as an “investment company” under the Investment
        Company Act of 1940.

       

      5.15  Disclosure.  The
        Borrower has disclosed to the Lender all agreements, instruments and corporate
        or other restrictions to which it or any of its Subsidiaries is subject,
        and all
        other matters known to it, that, individually or in the aggregate, could
        reasonably be expected to result in a Material Adverse Effect.  No
        report, financial statement, certificate or other information furnished (whether
        in writing or orally) by or on behalf of any Loan Party to the Lender in
        connection with the transactions contemplated hereby and the negotiation
        of this
        Agreement or delivered hereunder or under any other Loan Document (in each
        case
        as modified or supplemented by other information so furnished) contains any
        material misstatement of fact or omits to state any material fact necessary
        to
        make the statements therein, in the light of the circumstances under which
        they
        were made, not misleading; provided that, with respect to projected
        financial information, the Borrower represents only that such information
        was
        prepared in good faith based upon assumptions believed to be reasonable at
        the
        time.

       

      5.16  Compliance
        with Laws.  Each Loan Party and each Subsidiary thereof is in
        compliance in all material respects with the requirements of all laws, rules
        and
        regulations and all orders, writs, injunctions and decrees applicable to
        it or
        to its properties, except in such instances in which (a) such requirement
        of law
        or order, writ, injunction or decree is being contested in good faith by
        appropriate proceedings diligently conducted or (b) the failure to comply
        therewith, either individually or in the aggregate, could not reasonably
        be
        expected to have a Material Adverse Effect.

       

      5.17  Intellectual
        Property; Licenses, Etc.  Each Loan Party and each of its
        Subsidiaries own, or possess the right to use, all of the trademarks, service
        marks, trade names, copyrights, patents, patent rights, franchises, licenses
        and
        other intellectual property rights (collectively, “IP Rights”) that are
        reasonably necessary for the operation of their respective businesses, without
        conflict with the rights of any other Person, and Schedule ‎5.17
        sets forth a complete and accurate list of all such IP Rights owned or used
        by
        each Loan Party and each of its Subsidiaries (other than “off the shelf”
software products used in the ordinary course of business).  To the
        best knowledge of the Borrower, no slogan or other advertising device, product,
        process, method, substance, part or other material now employed, or now
        contemplated to be employed, by any Loan Party or any of its Subsidiaries
        infringes upon any rights held by any other Person.  No claim or
        litigation regarding any of the foregoing is pending or, to the best knowledge
        of the Borrower, threatened, which, either individually or in the aggregate,
        could reasonably be expected to have a Material Adverse Effect.

       

      5.18  Solvency.  Each
        Loan Party is, individually and together with its Subsidiaries on a consolidated
        basis, Solvent.

       

      5.19  Casualty,
        Etc.  Neither the businesses nor the properties of any Loan Party
        or any of its Subsidiaries are affected by any fire, explosion, accident,
        strike, lockout or other labor dispute, drought, storm, hail, earthquake,
        embargo, act of God or of the public enemy or other casualty (whether or
        not
        covered by insurance) that, either individually or in the aggregate, could
        reasonably be expected to have a Material Adverse Effect.

       

      5.20  Labor
        Matters.  There are no collective bargaining agreements or
        Multiemployer Plans covering the employees of the Borrower or any of its
        Subsidiaries as of the Closing Date and neither of the Borrower nor any
        Subsidiary has suffered any strikes, walkouts, work stoppages or other material
        labor difficulty within the last five years.

       

      5.21  Security
        Documents.  The provisions of the Security Documents are effective
        to create in favor of the Lender for the benefit of the Secured Parties a
        legal,
        valid and enforceable first priority Encumbrance (subject to Permitted
        Encumbrances) on all right, title and interest of the respective Loan Parties
        in
        the Collateral described therein.  Except for filings completed prior
        to the Closing Date as contemplated hereby and by the Security Documents
        or
        addressed in Section ‎4.1(h),
        no filing will be necessary to perfect or protect such
        Encumbrances.

       

      5.22  Compliance
        with OFAC Rules and Regulations.  Neither the Borrower, nor any
        Subsidiary nor any Affiliate of the Borrower (i) is a Sanctioned Person,
        (ii)
        has any assets in Sanctioned Countries, or (iii) derives any of its operating
        income from investments in, or transactions with Sanctioned Persons or
        Sanctioned Countries.  No part of the proceeds of any Loan hereunder
        will be used directly or indirectly to fund any operations in, finance any
        investments or activities in or make any payments to, a Sanctioned Person
        or a
        Sanctioned Country.

       

      5.23  Foreign
        Assets Control Regulations, Etc.  Neither the Borrower nor any
        Subsidiary is an “enemy” or an “ally of the enemy” within the meaning of Section
        2 of the Trading with the Enemy Act of the United States of America (50 U.S.C.
        App. §§ 1 et seq.), as amended.  Neither the Borrower nor any
        Subsidiary is in violation of (a) the Trading with the Enemy Act, as amended,
        (b) any of the foreign assets control regulations of the United States Treasury
        Department (31 CFR, Subtitle B, Chapter V, as amended) or any enabling
        legislation or executive order relating thereto or (c) the Patriot
        Act.  Neither the Borrower nor any Subsidiary (i) is a blocked person
        described in Section 1 of the Anti-Terrorism Order or (ii) to the best of
        the
        Borrower’s knowledge, engages in any dealings or transactions, or is otherwise
        associated, with any such blocked person.

       

      SECTION
        VI

       

      

       

      AFFIRMATIVE
        COVENANTS

       

      The
        Borrower covenants that so long as any Revolving Credit Loan, Letter of Credit
        or other Obligation, remains outstanding or the Lender or the LC Issuer have
        any
        obligation to lend or to issue any Letter of Credit hereunder:

       

      6.1  Financial
        Statements.  The Borrower shall furnish to the Lender and the
        Lender:

       

      (a)  as
        soon
        as available to the Borrower, but in any event within 90 days after the end
        of
        each Fiscal Year, the consolidated and consolidating balance sheet of the
        Borrower and all of its Subsidiaries as of the end of such year and related
        consolidated and consolidating statements of income, retained earnings and
        cash
        flow of the Borrower and all of its Subsidiaries for such year, prepared
        in
        accordance with GAAP and audited and certified without qualification by the
        Borrower’s Accountants in the case of such consolidated statements, and
        certified by the chief financial officer of the Borrower, as the case may
        be, in
        the case of such consolidating statements; and, concurrently with such financial
        statements, a copy of the Borrower’s Accountants management report and a written
        statement by the Borrower’s Accountants that, in the making of the audit
        necessary for their report and opinion upon such financial statements they
        have
        obtained no knowledge of any Default or, if in the opinion of such accountants
        any such Default exists, they shall disclose in such written statement the
        nature and status thereof;

       

      (b)  as
        soon
        as available to the Borrower, but in any event within 45 days after the end
        of
        each Fiscal Quarter of each Fiscal Year, a consolidated and consolidating
        balance sheet of the Borrower and all its Subsidiaries as of the end of,
        and
        related consolidated and consolidating statements of income, retained earnings
        and cash flow of the Borrower and all of its Subsidiaries for, the Fiscal
        Quarter then ended and portion of the Fiscal Year then ended, prepared in
        accordance with GAAP and certified by the chief financial officer of the
        Borrower, subject to normal, recurring year-end adjustments that shall not
        in
        the aggregate be material in amount;

       

      (c)  as
        soon
        as available to the Borrower, but in any event within 30 days following the
        end
        of each Fiscal Month, a restaurant by restaurant statement of revenue
        and  EBITDA, for such Fiscal Month, for all restaurants owned or
        operated by the Borrower or its Subsidiaries (including a statement of revenue
        and EBITDA comparing year over year performance for all restaurants operated
        for
        more than one year), prepared in accordance with GAAP and certified by the
        chief
        financial officer of the Borrower;

       

      (d)  concurrently
        with the delivery of each financial statement pursuant to subsections (a)
        and
        (b) of this Section ‎6.1,
        a report in substantially the form of Exhibit E hereto signed on behalf
        of the Borrower by its chief financial officer;

       

      (e)  at
        least
        fifteen (15) days prior to the first day of each Fiscal Year, the Borrower’s
        projections for such Fiscal Year, prepared on a Fiscal Monthly basis and
        including consolidated balance sheets and statements of income, retained
        earnings and cash flows;

       

      (f)  commencing
        with Fiscal Year 2007, and concurrently with its filing, true and correct
        copies
        of the Borrower’s federal and state tax returns and each amendment
        thereto;

       

      (g)  promptly
        after the receipt thereof by the Borrower, copies of any reports (including
        any
        so-called management letters) submitted to the Borrower by independent public
        accountants in connection with any annual or interim review of the accounts
        of
        the Borrower and/or its Subsidiaries made by such accountants;

       

      (h)  promptly
        after the same are delivered to its stockholders or the Securities and Exchange
        Commission, copies of all proxy statements, financial statements and reports
        as
        the Borrower shall send to its stockholders or as the Borrower may file with
        the
        Securities and Exchange Commission or any Governmental Authority at any time
        having jurisdiction over the Borrower or its Subsidiaries; and

       

      (i)  from
        time
        to time, such other financial data and information about the Borrower or
        its
        Subsidiaries as the Lender may reasonably request, including, without
        limitation, periodic sales reports relating to restaurants and any accounts
        receivables information (including aging).

       

      6.2  Conduct
        of Business.  (a)  The Borrower and each of its
        Subsidiaries shall duly observe and comply in all material respects with
        all
        material contracts and with all applicable laws, regulations, decrees, orders,
        judgments and valid requirements of any Governmental Authorities applicable
        to
        their corporate existence, rights and franchises, to the conduct of their
        business and to their property and assets (including without limitation all
        Environmental Laws and ERISA), except in any case where the failure to observe
        and comply would not have a material adverse effect on the business, financial
        condition, assets or properties of the Borrower and its Subsidiaries taken
        as a
        whole, and shall maintain and keep in full force and effect and comply in
        all
        material respects with all licenses and permits necessary to the proper conduct
        of their business.

       

      (b)  The
        Borrower and each of its Subsidiaries shall, except as otherwise permitted
        by
        this Agreement, maintain their corporate or other entity type existence,
        comply
        with their respective charters, by-laws limited partnership agreements and
        other
        organizational documents, observe all corporate and other entity type
        formalities in their governance (including holding regular board of directors
        and shareholders meetings, maintaining accurate corporate records, maintaining
        separate accounts) and remain or engage substantially in the same business
        as
        that in which they are now engaged and in no unrelated business.

       

      6.3  Maintenance
        and Insurance.

       

      (a)  The
        Borrower and each of its Subsidiaries shall maintain their properties in
        good
        repair, working order and condition as required for the normal conduct of
        their
        business.

       

      (b)  The
        Borrower and each of its Subsidiaries shall at all times maintain liability,
        casualty and business interruption insurance on their properties (including
        all
        Collateral) with financially sound and reputable insurers in such amounts
        and
        with such coverages, endorsements, deductibles and expiration dates as the
        officers of the Borrower may determine in the exercise of their reasonable
        judgment deem to be adequate, as are customary in the industry for companies
        of
        established reputation engaged in the same or similar business and owning
        or
        operating similar properties and as shall be reasonably satisfactory to the
        Lender.  The Lender shall be named as loss payee, additional insured
        and/or mortgagee under such insurance as the Lender shall reasonably require
        from time to time, and the Borrower shall provide to the Lender lender’s loss
        payable endorsements in form and substance reasonably satisfactory to the
        Lender.  In addition, the Lender shall be given thirty (30) days
        advance notice of any cancellation of insurance.  In the event of
        failure to provide and maintain insurance as herein provided, the Lender
        may, at
        its option, obtain such insurance and charge the amount thereof to the Borrower
        as a Revolving Credit Loan.  The Borrower shall furnish to the Lender
        certificates or other evidence satisfactory to the Lender of compliance with
        the
        foregoing insurance provisions.  The Lender shall not, by the fact of
        approving, disapproving or accepting any such insurance, incur any liability
        for
        the form or legal sufficiency of insurance contracts, solvency of insurance
        companies or payment of law suits, and the Borrower hereby expressly assumes
        full responsibility therefor and liability, if any, thereunder.

       

      6.4  Taxes.  The
        Borrower shall pay or cause to be paid all taxes, assessments or governmental
        charges on or against it or any of its Subsidiaries or their properties on
        or
        prior to the time when they become delinquent; except for any tax, assessment
        or
        charge that is being contested in good faith by appropriate proceedings and
        with
        respect to which adequate reserves have been established and are being
        maintained in accordance with GAAP if no Encumbrance shall have been filed
        (the
        enforcement of which shall not have been stayed) to secure such tax, assessment
        or charge.

       

      6.5  Inspection
        Rights.  The Borrower shall, and shall cause each of its
        Subsidiaries to, permit any authorized representatives designated by the
        Lender
        to visit and inspect any of the properties of the Borrower or of any of its
        Subsidiaries, to inspect, copy and take extracts from their financial and
        accounting records, and to discuss their affairs, finances and accounts with
        their officers, and independent public accountants (provided that the Borrower
        may, if it so chooses, be present at or participate in any such discussion),
        all
        upon reasonable notice and at such reasonable times during normal business
        hours
        and as often as may reasonably be requested or at any time or from time to
        time
        following the occurrence and during the continuation of an Event of
        Default.

       

      6.6  Maintenance
        of Books and Records.  The Borrower and each of its Subsidiaries
        shall keep adequate books and records of account, in which true and complete
        entries will be made reflecting all of their business and financial
        transactions, and such entries will be made in accordance with GAAP consistently
        applied and applicable law.

       

      6.7  Use
        of
        Proceeds.

       

      (a)  The
        Borrower will use the proceeds of the Revolving Credit Loans to repay the
        outstanding extensions of credit under the Existing Credit Agreement and
        other
        outstanding Indebtedness of the Borrower for borrowed money.  The
        remainder of the Revolving Credit Loans shall be available, subject to the
        terms
        of the Loan Documents, for working capital, to finance Capital Expenditures
        and
        for other general corporate purposes and to pay fees and expenses associated
        with the transactions contemplated hereby.

       

      (b)  Except
        as
        set forth in the following sentence, no portion of any Revolving Credit Loan
        shall be used for the “purpose of purchasing or carrying” any “margin stock” or
“margin security” as such terms are used in Regulations T, U and X of the Board
        of Governors of the Federal Reserve System (“Regulations T, U and X”), or
        otherwise in violation of such regulations. The Borrower may use proceeds
        from
        the Revolving  Credit Loans to purchase "margin stock" or "margin
        security" as such term is used in Regulations T, U or X in connection solely
        with the repurchase by the Borrower of its common stock to the extent permitted
        by Section ‎8.6(c),
        provided that (i) immediately upon giving effect to any purchase of such
        "margin
        stock" or "margin security", there are no violations of Regulations T, U
        or X,
        and (ii) the Borrower shall complete in all respects any required forms
        (including, without limitation, Form FR U-1 and amendments thereto), with
        all
        attachments thereto (including a then current list of collateral which
        adequately supports all credit extended hereunder) pursuant to Regulations
        T, U
        or X and deliver such forms in a timely manner to the Lender.

       

      6.8  Further
        Assurances.  At any time and from time to time the Borrower shall,
        and shall cause each of its Subsidiaries to, execute and deliver such further
        documents and take such further action as may reasonably be requested by
        the
        Lender to effect the purposes of the Loan Documents.

       

      6.9  Notification
        Requirements.  The Borrower shall furnish to the
        Lender:

       

      (a)  promptly
        upon becoming aware of the existence of any condition or event that constitutes
        a Default, written notice thereof specifying the nature and duration thereof
        and
        the action being or proposed to be taken with respect thereto;

       

      (b)  promptly
        upon becoming aware of any litigation or of any investigative proceedings
        by a
        Governmental Authority commenced or threatened against the Borrower or any
        of
        its Subsidiaries of which either has notice, the outcome of which could
        reasonably be expected to have a materially adverse effect on the assets,
        business or prospects of the Borrower alone or the Borrower and its Subsidiaries
        on a consolidated basis, written notice thereof and the action being or proposed
        to be taken with respect thereto; and

       

      (c)  promptly
        after becoming aware of any occurrence or any condition affecting the Borrower
        or any Subsidiary of the Borrower which could reasonably be expected to
        constitute a material adverse change in or which could reasonably be expected
        to
        have a material adverse effect on the business, properties or condition
        (financial or otherwise) of the Borrower alone or the Borrower and its
        Subsidiaries, taken as a whole, written notice thereof.

       

      6.10  ERISA
        Reports.

       

      (a)  Each
        Plan
        shall comply in all material respects with ERISA and the Code, except to
        the
        extent failure to comply in any instance would not have a material adverse
        effect on the business, financial condition or operations of the Borrower
        and
        its Subsidiaries taken as a whole.

       

      (b)  With
        respect to any Plan, the Borrower shall, or shall cause its Affiliates to,
        furnish to the Lender promptly (i) as soon as possible and in any event within
        10 days after the Borrower or any of its ERISA Affiliates know that any ERISA
        Event has occurred or is expected to occur, a statement of the chief financial
        officer of the Borrower, describing such ERISA Event, including copies of
        any
        notice concerning an ERISA Event received from PBGC, a plan administrator,
        or
        from a Multiemployer Plan sponsor, and the action, if any, the Borrower or
        such
        ERISA Affiliate proposes to take with respect thereto; and (ii) promptly
        after
        filing thereof, a copy of the annual report of each Pension Plan (Form 5500
        or
        comparable form) required to be filed with the IRS and/or the Department
        of
        Labor.  Promptly after the adoption of any Pension Plan, the Borrower
        shall notify the Lender of such adoption.

       

      6.11  Environmental
        Compliance.

       

      (a)  The
        Borrower and its Subsidiaries will comply in all material respects with all
        applicable Environmental Laws in all jurisdictions in which any of them operates
        now or in the future, and the Borrower and its Subsidiaries will comply in
        all
        material respects with all such Environmental Laws that may in the future
        be
        applicable to the Borrower’s or any of its Subsidiaries’ business, properties
        and assets.

       

      (b)  If
        the
        Borrower or any Subsidiary of the Borrower shall (i) receive notice that
        any
        material violation of any Environmental Law may have been committed or is
        about
        to be committed by the Borrower or any Subsidiary of the Borrower, (ii) receive
        notice that any administrative or judicial complaint or order has been filed
        or
        is about to be filed against the Borrower or any Subsidiary of the Borrower
        alleging a material violation of any Environmental Law requiring the Borrower
        or
        any Subsidiary of the Borrower to take any action in connection with the
        release
        of Hazardous Materials into the environment, (iii) receive any notice from
        a
        federal, state or local government agency or private party alleging that
        the
        Borrower or any Subsidiary of the Borrower may be liable or responsible for
        any
        material amount of costs associated with a response to or cleanup of a release
        of Hazardous Materials into the environment or any damages caused thereby,
        (iv)
        become aware of any investigative proceedings by a governmental agency or
        authority commenced or threatened against the Borrower or any of its
        Subsidiaries regarding any potential material violation of Environmental
        Laws or
        any spill, release, discharge or disposal of any Hazardous Material or (v)
        notify any Governmental Authority regarding any potential material violation
        of
        Environmental Laws or any spill, release, discharge or disposal of any Hazardous
        Material by the Borrower or a Subsidiary of the Borrower, the Borrower shall
        promptly notify the Lender thereof (together with a copy of any such notice)
        and
        of any action being or proposed to be taken with respect thereto and thereafter
        shall continue to furnish to the Lender all further notices, demands, reports
        and other information regarding the foregoing.

       

      6.12  Covenant
        to Guarantee Obligations and Give Security.  (a) Upon the
        formation or acquisition of any new direct or indirect Subsidiary by any
        Loan
        Party, then the Borrower shall, at the Borrower’s expense:

       

      (i)  within
        10 days after such formation or acquisition, cause such Subsidiary (other
        than any CFC or a Subsidiary that is held directly or indirectly by a CFC),
        and
        cause each direct and indirect parent of such Subsidiary (if it has not already
        done so), to duly execute and deliver to the Lender a Guaranty;

       

      (ii)  within
        10
        days after such formation or acquisition, furnish to the Lender a description
        of
        the real and personal properties of such Subsidiary, in detail reasonably
        satisfactory to the Lender;

       

      (iii)  within
        15
        days after such formation or acquisition, cause such Subsidiary (other than
        any
        CFC or a Subsidiary that is held directly or indirectly by a CFC) and each
        direct and indirect parent of such Subsidiary (if it has not already done
        so) to
        duly execute and deliver to the Lender, Intellectual Property Security Agreement
        Supplements and other security agreements and pledge agreements, as specified
        by
        and in form and substance reasonably satisfactory to the Lender (including
        delivery of all Pledged Equity in and of such Subsidiary (except that the
        Pledged Equity shall be limited to 65% of the equity of such Subsidiary in
        the
        case of a CFC or a Subsidiary that is held directly or indirectly by a CFC),
        and
        other instruments of the type specified in Section ‎4.1(a)(iii)),
        securing payment of all the Obligations of such Subsidiary or such parent,
        as
        the case may be, under the Loan Documents and constituting Encumbrances on
        all
        such personal properties;

       

      (iv)  deliver
        to the Lender, within 15 days after such formation or acquisition, landlord
        waivers, estoppel and consent agreements, each in form and substance
        satisfactory to the Lender, executed by each of the lessors of any of the
        leased
        real properties of such Subsidiary (other than any CFC or a Subsidiary that
        is
        held directly or indirectly by a CFC);

       

      (v)  within
        30
        days after such formation or acquisition, cause such Subsidiary (other than
        any
        CFC or a Subsidiary that is held directly or indirectly by a CFC) and each
        direct and indirect parent of such Subsidiary (if it has not already done
        so) to
        take whatever action (including the filing of Uniform Commercial Code financing
        statements and the giving of notices) as may be reasonably necessary or
        advisable in the reasonable opinion of the Lender to vest in the Lender (or
        in
        any representative of the Lender designated by it) valid and subsisting
        Encumbrances on the properties purported to be subject to the Intellectual
        Property Security Agreement Supplements and security agreements and pledge
        agreements delivered pursuant to this Section ‎6.12,
        enforceable against all third parties in accordance with their terms;
        and

       

      (vi)  within
        60
        days after such formation or acquisition, deliver to the Lender, upon the
        request of the Lender in its sole discretion, a signed copy of a favorable
        opinion, addressed to the Lender, of counsel for the Loan Parties acceptable
        to
        the Lender as to the matters contained in clauses ‎(i),
        ‎(iii)
        and ‎(v)
        above, and as to such other matters as the Lender may reasonably
        request.

       

      (b)  Upon
        the
        acquisition of any property by the Borrower or any Subsidiary, if such property,
        in the reasonable judgment of the Lender, shall not already be subject to
        a
        perfected first priority security interest in favor of the Lender, then the
        Borrower shall, at the Borrower’s expense:

       

      (i)  within
        10
        days after such acquisition, furnish to the Lender a description of the property
        so acquired in detail satisfactory to the Lender,

       

      (ii)  within
        15
        days after such acquisition, deliver to the Lender landlord waivers, estoppel
        and consent agreements, each in form and substance satisfactory to the Lender,
        executed by each of the lessors of any newly acquired leased real
        properties,

       

      (iii)  within
        15
        days after such acquisition, cause the applicable Loan Party to duly execute
        and
        deliver to the Lender, Intellectual Property Security Agreement Supplements
        as
        requested by the Lender and other security agreements and pledge agreements,
        as
        specified by and in form and substance satisfactory to the Lender, securing
        payment of all the Obligations of the applicable Loan Party under the Loan
        Documents and constituting Encumbrances on all such properties,

       

      (iv)  within
        30
        days after such acquisition, cause the applicable Loan Party to take whatever
        action (including the filing of Uniform Commercial Code financing statements
        and
        the giving of notices) may be reasonably necessary or advisable in the
        reasonable opinion of the Lender to vest in the Lender (or in any representative
        of the Lender designated by it) valid and subsisting Encumbrances on such
        property, enforceable against all third parties, and

       

      (v)  within
        60
        days after such acquisition, deliver to the Lender, upon the request of the
        Lender in its sole discretion, a signed copy of a favorable opinion, addressed
        to the Lender, of counsel for the Loan Parties reasonably acceptable to the
        Lender as to the matters contained in clauses ‎(iii)
        and ‎(iv)
        above and as to such other matters as the Lender may reasonably
        request.

       

      (c)  Upon
        the
        request of the Lender following the occurrence and during the continuance
        of a
        Default, the Borrower shall, at the Borrower’s expense:

       

      (i)  within
        10
        days after such request, furnish to the Lender a description of the real
        and
        personal properties of the Loan Parties and their respective Subsidiaries
        in
        detail satisfactory to the Lender,

       

      (ii)  within
        15
        days after such request, duly execute and deliver, and cause each Loan Party
        (if
        it has not already done so) to duly execute and deliver, to the Lender,
        Intellectual Property Security Agreement Supplements and other security
        agreements and pledge agreements, as specified by and in form and substance
        satisfactory to the Lender (including delivery of all Pledged Equity in and
        of
        such Subsidiary, and other instruments of the type specified in Section ‎4.1(a)(iii)),
        securing payment of all the Obligations of the applicable Loan Party under
        the
        Loan Documents and constituting Encumbrances on all such
        properties,

       

      (iii)  within
        30
        days after such request, take, and cause each Loan Party to take, whatever
        action (including the filing of Uniform Commercial Code financing statements
        and
        the giving of notices) as may be necessary or advisable in the opinion of
        the
        Lender to vest in the Lender (or in any representative of the Lender designated
        by it) valid and subsisting Encumbrances on the properties purported to be
        subject to the Intellectual Property Security Agreement Supplements and security
        agreements and pledge agreements delivered pursuant to this Section ‎6.12,
        enforceable against all third parties in accordance with their terms,
        and

       

      (iv)  within
        60
        days after such request, deliver to the Lender, upon the request of the Lender
        in its sole discretion, a signed copy of a favorable opinion, addressed to
        the
        Lender, of counsel for the Loan Parties acceptable to the Lender as to the
        matters contained in clauses ‎(ii)
        and ‎(iii)
        above, and as to such other matters as the Lender may reasonably
        request.

       

      (d)  At
        any
        time upon request of the Lender, the Borrower shall promptly execute and
        deliver
        any and all further instruments and documents and take all such other action
        as
        the Lender may reasonably deem necessary or desirable in obtaining the full
        benefits of, or (as applicable) in perfecting and preserving the Encumbrances
        of, such guaranties, deeds of trust, trust deeds, deeds to secure debt,
        mortgages, leasehold mortgages, leasehold deeds of trust, Intellectual Property
        Security Agreement Supplements and other security agreements and pledge
        agreements.

       

      (e)  Any
        Subsidiary (other than a CFC or a Subsidiary that is held directly or indirectly
        by a CFC) that is not a Loan Party on the date hereof shall become a Loan
        Party
        within 90 days after the Closing Date, unless it is thereafter merged with
        a
        Loan Party in accordance with Section ‎8.4‎(a).

       

      6.13  Cash
        Collateral Accounts.  Within one hundred twenty (120) days after
        the Closing Date the Borrower will establish and maintain, and cause each
        of the
        other Loan Parties to maintain, its depository and disbursement accounts
        and
        treasury management relationships with Wells Fargo pursuant to a Secured
        Cash
        Management Agreement.

       

      6.14  Release
        of Real Estate Liens.   Within sixty (60) days after the
        Closing Date the Borrower shall have obtained and filed, in the appropriate
        jurisdictions, executed terminations of all liens with respect to any real
        estate, whether fee or leasehold, under the Existing Credit
        Agreement.

       

      6.15  Casa
        Ole of Louisiana, Inc..  Within sixty (60) days after the Closing
        Date the Borrower shall deliver evidence reasonably satisfactory to the Lender
        that Casa Ole of Louisiana, Inc., a Subsidiary of the Borrower, is in good
        standing in its jurisdiction of formation and any foreign jurisdictions in
        which
        it conducts business.

       

      SECTION
        VII

       

      

       

      FINANCIAL
        COVENANTS

       

      The
        Borrower covenants that so long as any Revolving Credit Loan, Letter of Credit
        or other Obligation (other than contingent indemnification obligations),
        remains
        outstanding or the Lender or the LC Issuer have any obligation to make any
        Revolving Credit Loan or issue any Letter of Credit hereunder:

       

      7.1  Financial
        Covenants.

       

      (a)  Total
        Leverage Ratio.  The Borrower will not permit the Total Leverage
        Ratio as of the end of any Fiscal Quarter ending during the periods set forth
        below to be greater than the ratio set forth below opposite such
        period:

       

      
        	
                Period

              	
                Maximum
                  Total

                Leverage
                  Ratio

              
	
                Closing
                  Date through the end of the 2nd Fiscal Quarter of Fiscal Year 2009
                  (provided that the Measurement Period shall be the Closing Date
                  through
                  the end of such Fiscal Quarter)

              	
                2.00:1.00

              
	
                3rd
                  Fiscal Quarter of Fiscal Year 2009 and thereafter

              	
                1.50:1.00

              

      

      

      (b)  Consolidated
        Fixed Charge Coverage Ratio.  The Borrower will not permit the
        Consolidated Fixed Charge Coverage Ratio as of the end of any Fiscal Quarter
        of
        the Borrower during the periods set forth below to be less than the ratio
        set
        forth below opposite such period:

       

      
        	
                Period

              	
                Minimum
                  Consolidated Fixed Charge Coverage Ratio

              
	
                Closing
                  Date through the end of the 2nd Fiscal Quarter of Fiscal Year
                  2009

              	
                1.15:1.00

              
	
                3rd
                  Fiscal Quarter of Fiscal Year 2009 and thereafter

              	
                1.20:1.00

              

      

      

      (c)  Minimum
        Consolidated EBITDA.

       

      (i)  The
        Borrower will not permit the Consolidated EBITDA of the Borrower as of the
        end
        of any period set forth below to be less than the amount set forth below
        opposite such period:

       

      

      
        	
                Period

              	
                Minimum
                  Consolidated EBITDA

              
	
                Closing
                  Date through the end of the 2nd Fiscal Quarter of Fiscal Year 2007
                  (provided that the Measurement Period shall be the Closing Date
                  through
                  the end of such Fiscal Quarter)

              	
                $1,200,000

              
	
                Closing
                  Date through the end of the 3rd Fiscal Quarter of Fiscal Year 2007
                  (provided that the Measurement Period shall be the Closing Date
                  through
                  the end of such Fiscal Quarter)

              	
                $2,400,000

              
	
                Closing
                  Date through the end of the 4th Fiscal Quarter of Fiscal Year 2007
                  (provided that the Measurement Period shall be the Closing Date
                  through
                  the end of such Fiscal Quarter)

              	
                $3,450,000

              
	
                Closing
                  Date through the end of the 1st Fiscal Quarter of Fiscal Year 2008
                  (provided that the Measurement Period shall be the Closing Date
                  through
                  the end of such Fiscal Quarter)

              	
                $4,750,000

              

      

      

       

      (ii)  The
        Borrower will not permit the Consolidated EBITDA of the Borrower as of the
        end
        of any 12 Fiscal Month period during the periods set forth below to be less
        than
        the amount set forth below opposite such period:

       

      
        	
                Period

              	
                Minimum
                  Consolidated EBITDA

              
	
                2nd
                  Fiscal Quarter of Fiscal Year 2008 through 4th  Fiscal Quarter
                  of Fiscal Year 2008

              	
                $5,150,000

              
	
                1st
                  Fiscal Quarter of Fiscal Year 2009 through 4th  Fiscal Quarter
                  of Fiscal Year 2009

              	
                $5,800,000

              
	
                1st
                  Fiscal Quarter of Fiscal Year 2010 through 4th  Fiscal Quarter
                  of Fiscal Year 2010

              	
                $6,250,000

              
	
                Thereafter

              	
                $6,750,000

              

      

      

       

      

      SECTION
        VIII

       

      

       

      NEGATIVE
        COVENANTS

       

      The
        Borrower covenants that so long as any Revolving Credit Loan, Letter of Credit
        or other Obligation, remains outstanding or the Lender or the LC Issuer have
        any
        obligation to make any Revolving Credit Loan or to issue any Letter of Credit
        hereunder:

       

      8.1  Indebtedness.  Neither
        the Borrower nor any of its Subsidiaries shall create, incur, assume, guarantee
        or be or remain liable with respect to any Indebtedness other than the
        following:

       

      (a)  Obligations;

       

      (b)  Indebtedness
        for taxes, assessments or governmental charges to the extent that payment
        therefor shall at the time not be required to be made in accordance with
        Section
‎6.4;

       

      (c)  current
        liabilities on open account for the purchase price of services, materials
        and
        supplies incurred by the Borrower in the ordinary course of business (not
        as a
        result of borrowing), so long as all of such open account current liabilities
        shall be promptly paid and discharged when due or in conformity with customary
        trade terms and practices, except for any such open account Indebtedness
        which
        is being contested in good faith by the Borrower, as to which adequate reserves
        required by GAAP have been established and are being maintained and as to
        which
        no Encumbrance has been placed on any property of the Borrower or any of
        its
        Subsidiaries (other than Permitted Encumbrances);

       

      (d)  Guarantees
        permitted under Section ‎8.2
        hereof;

       

      (e)  Indebtedness
        of any Subsidiary of the Borrower to the Borrower or to any other Subsidiary
        of
        the Borrower;

       

      (f)  Indebtedness
        existing as of the date of this Agreement and disclosed on Schedule
        8.1(f) and renewals and refinancings thereof, but not any increase in the
        principal amounts thereof;

       

      (g)  Subordinated
        Debt; and

       

      (h)  Indebtedness
        (of a type of described in subclauses (a), (e), (f) or (h) of the term
        Indebtedness) of the Borrower incurred in the ordinary course of business
        for
        Capital Expenditures, provided that such Indebtedness does not exceed
        $100,000 in the aggregate at any time outstanding.

       

      8.2  Contingent
        Liabilities.  Neither the Borrower nor any of its Subsidiaries
        shall create, incur, assume, guarantee or be or remain liable with respect
        to
        any Guarantees other than (i) any Guaranty, and (ii) Guarantees resulting
        from
        the endorsement of negotiable instruments for deposit or collection in the
        ordinary course of business.

       

      8.3  Encumbrances.  Neither
        the Borrower nor any of its Subsidiaries shall create, incur, assume or suffer
        to exist any mortgage, pledge, security interest, lien or other charge or
        encumbrance of any kind, including the lien or retained security title of
        a
        conditional vendor upon or with respect to any of its property or assets
        (“Encumbrances”), or assign or otherwise convey any right to receive
        income, including the sale or discount of accounts receivable with or without
        recourse, except the following (“Permitted Encumbrances”):

       

      (a)  Encumbrances
        created under the Security Documents;

       

      (b)  liens
        for
        taxes, fees, assessments and other governmental charges to the extent that
        payment of the same may be postponed or is not required in accordance with
        the
        provisions of Section ‎6.4;

       

      (c)  landlords’
        and lessors’ liens in respect of rent not in default or liens in respect of
        pledges or deposits under workmen’s compensation, unemployment insurance, social
        security laws, or similar legislation (other than ERISA) or in connection
        with
        appeal and similar bonds incidental to litigation; mechanics’, warehouseman’s,
        laborers’ and materialmen’s and similar liens, if the obligations secured by
        such liens are not then delinquent for more than 30 days or are being contested
        in good faith by appropriate proceedings and with respect to which adequate
        reserves have been established and are being maintained in accordance with
        GAAP;
        liens securing the performance of bids, tenders, contracts (other than for
        the
        payment of money); and liens securing statutory obligations or surety,
        indemnity, performance, or other similar bonds incidental to the conduct
        of the
        Borrower’s or any of its Subsidiaries’ business in the ordinary course and that
        do not in the aggregate materially detract from the value of their property
        or
        materially impair the use thereof in the operation of their
        business;

       

      (d)  judgment
        liens securing judgments that (i) are fully covered by insurance, and (ii)
        shall
        not have been in existence for a period longer than 30 days after the creation
        thereof or, if a stay of execution shall have been obtained, for a period
        longer
        than 10 days after the expiration of such stay;

       

      (e)  rights
        of
        lessors under Capitalized Leases, to the extent such Capitalized Leases are
        permitted hereunder;

       

      (f)  easements,
        rights of way, restrictions and other similar charges or Encumbrances relating
        to real property and not interfering in a material way with the ordinary
        conduct
        of the Borrower’s business;

       

      (g)  Encumbrances
        constituting a renewal, extension or replacement of any Permitted Encumbrance;
        and

       

      (h)  Encumbrances
        securing Indebtedness for Capital Expenditures to the extent such Indebtedness
        is permitted by Section ‎8.1(h),
        provided that (i) each Encumbrance is given solely to secure the purchase
        price of the property which is the subject of such Capital Expenditure, does
        not
        extend to any other property and is given at the time of acquisition of the
        property, and (ii) the Indebtedness secured thereby does not exceed the lesser
        of the cost of such property or its fair market value at the time of
        acquisition.

       

      8.4  Merger;
        Sale or Lease of Assets; Liquidation.

       

      (a)  The
        Borrower shall not, and shall not permit any Subsidiary to, merge or consolidate
        into or with any other Person or entity or liquidate or dissolve, other than
        a
        merger of a Subsidiary into another Subsidiary or into the Borrower (or a
        liquidation of a Subsidiary into another Subsidiary or into the Borrower
        under
        Section 332 of the Code) or in connection with a Permitted Acquisition,
provided that both immediately before and immediately after any such
        merger, no Default shall have occurred and be continuing.

       

      (b)  The
        Borrower shall not, and shall not permit any Subsidiary to, Dispose of any
        assets or properties, other than

       

      (i)  sales
        of
        Qualified Investments, inventory and obsolete or worn out furniture, fixtures
        and equipment, in each case in the ordinary course of business and consistent
        with past practices,

       

      (ii)  Dispositions
        for fair value by the Borrower or its Subsidiaries not otherwise permitted
        under
        this Section ‎8.4(b);
        provided that (A) at the time of such Disposition, no Default shall exist
        or would result from such Disposition, (B) the aggregate book value of all
        property Disposed of in reliance on this clause ‎(ii)
        shall not exceed $250,000 in the aggregate between the Closing Date and the
        Maturity Date, and (C) the purchase price for such asset shall be paid to
        the Borrower or such Subsidiary solely in cash.

       

      8.5  Subsidiaries.  The
        Borrower shall not permit any of its Subsidiaries to issue any additional
        shares
        of their capital stock or other equity securities, any options therefor or
        any
        securities convertible thereto other than to the Borrower.  Neither
        the Borrower nor any of its Subsidiaries shall sell, transfer or otherwise
        dispose of any of the capital stock or other equity securities of a Subsidiary,
        except to the Borrower or any of its Subsidiaries.  The Borrower shall
        not, and shall not permit any of its Subsidiaries to, create or suffer to
        exist
        any consensual Encumbrances or restrictions on the ability of any Subsidiary
        of
        the Borrower to pay dividends or make any other distributions on its equity
        interests held by the Borrower or pay any Indebtedness owed to the Borrower
        or
        any Subsidiary of the Borrower or to make loans or advances or transfer any
        of
        its assets to the Borrower or any other Subsidiary of the Borrower.

       

      8.6  Restricted
        Payments.  The Borrower will not, and will not permit any of its
        Subsidiaries to, declare or make, or agree to pay or make, directly or
        indirectly, any Restricted Payment, except

       

      (a)  Subsidiaries
        of the Borrower may declare and pay dividends to the Borrower; 

       

      (b)  compensation
        paid to employees, officers and directors in the ordinary course of business
        and
        consistent with prudent business practices; and

       

      (c)  the
        Borrower may from time to time make repurchases of its common stock in an
        aggregate amount not to exceed $2,000,000 in any Fiscal Year, provided that
        at
        the time any such repurchase is proposed to be made, and after giving effect
        thereto, (i) no Default shall have occurred and be continuing or shall occur
        by
        reason of the making of such repurchase, (ii) the Borrower shall be in
        compliance with all financial covenants under Section VII, and (iii) the
        Borrower shall be Solvent and the Lender shall have received a certificate
        of
        the Borrower, certified by its chief financial officer, certifying that the
        Borrower will be Solvent after giving effect to the share repurchase (and
        providing such evidence thereof as the Lender may require).

       

      8.7  Investments;
        Purchases of Assets.  Neither the Borrower nor any of its
        Subsidiaries shall make or maintain any Investments or purchase or otherwise
        acquire any material amount of assets other than:

       

      (a)  Investments
        existing on the date hereof in Subsidiaries as described on Schedule
‎5.8(e);

       

      (b)  Qualified
        Investments;

       

      (c)  purchases
        of inventory in the ordinary course of business;

       

      (d)  normal
        trade credit extended in the ordinary course of business and consistent with
        prudent business practice;

       

      (e)  Indebtedness
        permitted by Section ‎8.1(e);

       

      (f)  advances
        to employees for business related expenses to be incurred in the ordinary
        course
        of business and consistent with past practices in an amount not to exceed
        $250,000 in the aggregate outstanding at any one time, provided that
        advances to any single employee shall not exceed $50,000 in the
        aggregate;

       

      (g)  advances
        to Guarantors for the purposes of (i) Capital Expenditures, or (ii) Permitted
        Acquisitions; provided that in either case immediately prior to and after
        giving
        effect to such advances no Default shall have occurred and be continuing;
        and

       

      (h)  Permitted
        Acquisitions; provided that

       

      (A)  immediately
        prior to and after giving effect to any such acquisition, no Default shall
        have
        occurred and be continuing, and the Borrower shall have delivered to the
        Lender
        a pro forma compliance certificate demonstrating compliance with Section
‎7.1
        (after giving effect to such acquisition) and certifying that no Default
        or
        Event of Default would exist after giving effect to such
        acquisition;

       

      (B)  the
        representations and warranties made by the Loan Parties in the Loan Documents
        shall be true and correct in all material respects at and as if made as of
        the
        date of such acquisition (after giving effect thereto) except to the extent
        such
        representations and warranties expressly relate to an earlier date;

       

      (C)  the
        Lender shall have notified the Borrower that the Lender’s due diligence review
        of such acquisition has been completed and that the results thereof are
        satisfactory and

       

      (D)  the
        consummation of such acquisition of the Acquired Person has occurred within
        180
        days after the notification from the Lender, as provided in the immediately
        preceding clause (C) above.

       

      8.8  ERISA
        Compliance.  Neither the Borrower nor any of its ERISA Affiliates
        nor any Plan shall (i) engage in any Prohibited Acquisition which would have
        a
        material adverse effect on the business, financial condition or operations
        of
        the Borrower and its Subsidiaries taken as a whole, (ii) incur any “accumulated
        funding deficiency” (within the meaning of Section 412(a) of the Code and
        Section 302 of ERISA) whether or not waived, (iii) permit to exist any material
        amount of “unfunded benefit liabilities” (within the meaning of Section
        4001(a)(18) of ERISA, (iv) terminate any Pension Plan in a manner which could
        result in the imposition of a lien on any property of the Borrower or any
        of its
        Subsidiaries, (v) fail to make any required contribution to any Multiemployer
        Plan or (vi) completely or partially withdraw from a Multiemployer Plan if
        such
        complete or partial withdrawal will result in any material withdrawal liability
        under Title IV of ERISA.

       

      8.9  Transactions
        with Affiliates.  The Borrower will not, and will not permit any
        of its Subsidiaries to, directly or indirectly, enter into any purchase,
        sale,
        lease or other transaction with any Affiliate except (i) transactions in
        the
        ordinary course of business on terms that are no less favorable to the Borrower
        than those which might be obtained at the time in a comparable arm’s-length
        transaction with any Person who is not an Affiliate and (ii) employment
        contracts with senior management of the Borrower entered into in the ordinary
        course of business and consistent with prudent business
        practices.  Notwithstanding the foregoing, the Borrower will not, and
        will not permit any Subsidiary to, directly or indirectly, pay any management,
        consulting, overhead, indemnity, guarantee or other similar fee or charge
        to any
        Affiliate.

       

      8.10  Fiscal
        Year.  The Borrower and its Subsidiaries shall not change their
        Fiscal Year without the prior written consent of the Lender.

       

      SECTION
        IX

       

      

       

      DEFAULTS

       

      9.1  Events
        of Default.  Any of the following shall constitute an Event of
        Default:

       

      (a)  Non-Payment.  The
        Borrower or any other Loan Party fails to (i) pay when and as required to
        be
        paid herein, any amount of principal of any Revolving Credit Loan or any
        LC
        Disbursement or deposit any funds as cash collateral in respect of the Maximum
        Drawing Amount, or (ii) pay within three (3) days after the same becomes
        due,
        any interest on any Revolving Credit Loan or on any LC Disbursement, or any
        fee
        due hereunder, or (iii) pay within five (5) days after the same becomes due,
        any
        other amount payable hereunder or under any other Loan Document; or

       

      (b)  Specific
        Covenants.  (i) The Borrower fails to perform or observe any term,
        covenant or agreement contained in any of Sections ‎6.1(a),
        ‎(b),
        ‎(c),
        ‎(d),
        ‎(h)
        or ‎(i),
        Sections ‎6.2(b),
        ‎6.3,
        ‎6.5,
        ‎6.6,
        ‎6.7,
        ‎6.8,
        ‎6.9,
        ‎6.12,
        ‎6.13
        or Section VII or VIII, (ii) any of the Guarantors fails to perform or observe
        any term, covenant or agreement contained in any Guaranty or (iii) any of
        the
        Loan Parties fails to perform or observe any term, covenant or agreement
        contained in Sections 3 or 4 of the Security Agreement to
        which it is a party; or

       

      (c)  Other
        Defaults.  Any Loan Party fails to perform or observe any other
        covenant or agreement (not specified in Section ‎9.1(a)
        or ‎9.1(b)
        above) contained in any Loan Document on its part to be performed or observed
        and such failure continues for 30 days; or

       

      (d)  Representations
        and Warranties.  Any representation, warranty, certification or
        statement of fact made or deemed made by or on behalf of the Borrower or
        any
        other Loan Party herein, in any other Loan Document, or in any document
        delivered in connection herewith or therewith shall be materially incorrect
        or
        misleading when made or deemed made; or

       

      (e)  Cross-Default.  (i)
        Any Loan Party or any Subsidiary thereof (A) fails to make any payment when
        due
        (whether by scheduled maturity, required prepayment, acceleration, demand,
        or
        otherwise) in respect of any Indebtedness or Guarantee (other than Indebtedness
        hereunder and Indebtedness under Swap Agreements) having an aggregate principal
        amount (including undrawn committed or available amounts and including amounts
        owing to all creditors under any combined or syndicated credit arrangement)
        of
        more than $100,000, or (B) fails to observe or perform any other agreement
        or
        condition relating to any such Indebtedness or Guarantee or contained in
        any
        instrument or agreement evidencing, securing or relating thereto, or any
        other
        event occurs, the effect of which default or other event is to cause, or
        to
        permit the holder or holders of such Indebtedness or the beneficiary or
        beneficiaries of such Guarantee (or a trustee or agent on behalf of such
        holder
        or holders or beneficiary or beneficiaries) to cause, with the giving of
        notice
        if required, such Indebtedness to be demanded or to become due or to be
        repurchased, prepaid, defeased or redeemed (automatically or otherwise),
        or an
        offer to repurchase, prepay, defease or redeem such Indebtedness to be made,
        prior to its stated maturity, or such Guarantee to become payable or cash
        collateral in respect thereof to be demanded; (ii) there occurs under any
        Swap
        Agreement an Early Termination Date (as defined in such Swap Agreement)
        resulting from (A) any event of default under such Swap Agreement as to which
        a
        Loan Party or any Subsidiary thereof is the Defaulting Party (as defined
        in such
        Swap Agreement) or (B) any Termination Event (as so defined) under such Swap
        Agreement as to which a Loan Party or any Subsidiary thereof is an Affected
        Party (as so defined) and, in either event, the Swap Termination Value owed
        by
        such Loan Party or such Subsidiary as a result thereof is greater than $100,000;
        or (iii) the Borrower or any Loan Party shall fail to pay when due (after
        any
        applicable period of grace) any amount payable under one or more agreements
        for
        the use of real or personal property requiring aggregate payments in excess
        of
        $100,000 in any twelve month period, or fail to observe or perform any term,
        covenant or agreement or relating to such agreement(s) for the use of real
        or
        personal property, and the result of any such failure is to permit any other
        party to such agreement(s) to exercise remedies under or terminate such
        agreement(s) prior to the expiration date thereof; or

       

      (f)  Insolvency
        Proceedings, Etc.  Any Loan Party or any Subsidiary thereof
        institutes or consents to the institution of any proceeding under any
        bankruptcy, insolvency, reorganization, receivership or other debtor relief
        law,
        or makes an assignment for the benefit of creditors; or applies for or consents
        to the appointment of any receiver, trustee, custodian, conservator, liquidator,
        rehabilitator or similar officer for it or for all or any material part of
        its
        property; or any receiver, trustee, custodian, conservator, liquidator,
        rehabilitator or similar officer is appointed without the application or
        consent
        of such Person and the appointment continues undischarged or unstayed for
        60
        calendar days; or any proceeding under any bankruptcy, insolvency,
        reorganization, receivership or other debtor relief law relating to any such
        Person or to all or any material part of its property is instituted without
        the
        consent of such Person and continues undismissed or unstayed for 60 calendar
        days, or an order for relief is entered in any such proceeding; or

       

      (g)  Inability
        to Pay Debts; Attachment.  (i) Any Loan Party or any Subsidiary
        thereof becomes unable or admits in writing its inability or fails generally
        to
        pay its debts as they become due, or (ii) any writ or warrant of attachment
        or
        execution or similar process is issued or levied against all or any material
        part of the property of any such Person and is not released, vacated or fully
        bonded within 30 days after its issue or levy; or

       

      (h)  Judgments.  There
        is entered against any Loan Party or any Subsidiary thereof (i) one or more
        final judgments or orders for the payment of money in an aggregate amount
        (as to
        all such judgments and orders) exceeding $100,000 (to the extent not covered
        by
        independent third-party insurance as to which the insurer is rated at least
“A”
by A.M. Best Company, has been notified of the potential claim and does not
        dispute coverage), or (ii) any one or more non-monetary final judgments that
        have, or could reasonably be expected to have, individually or in the aggregate,
        a Material Adverse Effect and, in either case, (A) enforcement proceedings
        are
        commenced by any creditor upon such judgment or order, or (B) there is a
        period
        of 30 consecutive days while such judgment shall not have been discharged
        during
        which a stay of enforcement of such judgment, by reason of a pending appeal
        or
        otherwise, is not in effect; or

       

      (i)  ERISA.  (i)
        An ERISA Event occurs with respect to a Pension Plan or Multiemployer Plan
        which
        has resulted or could reasonably be expected to result in liability of the
        Borrower under Title IV of ERISA to the Pension Plan, Multiemployer Plan or
        the PBGC in an aggregate amount in excess of $100,000, or (ii) the Borrower
or
        any ERISA Affiliate fails to pay when due, after the expiration of any
        applicable grace period, any installment payment with respect to its withdrawal
        liability under Section 4201 of ERISA under a Multiemployer Plan in an aggregate
        amount in excess of $100,000; or

       

      (j)  Invalidity
        of Loan Documents.  Any material 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 any Loan Party contests
        in any manner the validity or enforceability of any provision of any Loan
        Document; or any Loan Party denies that it has any or further liability or
        obligation under any provision of any Loan Document, or purports to revoke,
        terminate or rescind any provision of any Loan Document; or

       

      (k)  Change
        of Control.  There occurs any Change of Control; or

       

      (l)  Security
        Documents.  Any Security Document after delivery thereof pursuant
        to Section ‎4.1
        or ‎6.12
        shall for any reason (other than pursuant to the terms thereof or solely
        as a
        result of action or inaction of the secured party thereunder) cease to create
        a
        valid and perfected first priority Encumbrance (subject to Permitted
        Encumbrances) on the Collateral purported to be covered thereby.

       

      9.2  Remedies
        upon Event of Default.  If any Event of Default occurs and is
        continuing, the Lender may take any or all of the following
        actions:

       

      (a)  declare
        the Commitment of the Lender to make Revolving Credit Loans and any obligation
        of the LC Issuer to issue or extend any Letter of Credit to be terminated,
        whereupon such commitments and obligation shall be terminated;

       

      (b)  declare
        the unpaid principal amount of all outstanding Revolving Credit Loans, all
        interest accrued and unpaid thereon, and all other amounts owing or payable
        hereunder or under any other Loan Document to be immediately due and payable,
        without presentment, demand, protest or other notice of any kind, all of
        which
        are hereby expressly waived by the Borrower;

       

      (c)  require
        that the Borrower Cash Collateralize the Maximum Drawing Amount;
        and

       

      (d)  exercise
        on behalf of itself, the Lender and the LC Issuer all rights and remedies
        available to it, the Lender and the LC Issuer under the Loan
        Documents;

       

      provided,
        however, that upon the occurrence of an Event of Default described in
        Section ‎9.1(f),
        immediately and automatically, the obligation of the Lender to make Revolving
        Credit Loans and any obligation of the LC Issuer to issue or extend any Letter
        of Credit shall automatically terminate, the unpaid principal amount of all
        outstanding Revolving Credit Loans and all interest and other amounts as
        aforesaid shall automatically become due and payable, and the obligation
        of the
        Borrower to Cash Collateralize the Maximum Drawing Amount as aforesaid shall
        automatically become effective, in each case without further act of the
        Lender.

       

      9.3  Application
        of Funds.  After the exercise of remedies provided for in Section
‎9.2
        (or after the Revolving Credit Loans have automatically become immediately
        due
        and payable and the Maximum Drawing Amount has automatically been required
        to be
        Cash Collateralized as set forth in the proviso to Section ‎9.2),
        any amounts received on account of the Obligations shall be applied by the
        Lender in the following order:

       

      First,
        to payment of that portion of the Obligations constituting fees, indemnities,
        expenses and other amounts (including fees, charges and disbursements of
        counsel
        to the Lender ) payable to the Lender in its capacity as such;

       

      Second,
        to payment of that portion of the Obligations constituting fees, indemnities
        and
        other amounts (other than principal, interest and Letter of Credit Fees)
        payable
        to the Lender and the LC Issuer (including fees, charges and disbursements
        of
        counsel to the Lender and the LC Issuer, including fees and time charges
        for
        attorneys who may be employees of the Lender or the LC Issuer) and amounts
        payable under Sections ‎2.9,
        ‎2.11,
        ‎2.12,
        ‎2.13
        and ‎2.14,
        ratably among them in proportion to the respective amounts described in this
        clause Second payable to them;

       

      Third,
        to payment of that portion of the Obligations constituting accrued and unpaid
        Letter of Credit Fees and interest on the Revolving Credit Loans, LC
        Disbursements and other Obligations, ratably among the Lender and the LC
        Issuer
        in proportion to the respective amounts described in this clause Third
        payable to them;

       

      Fourth,
        to payment of that portion of the Obligations constituting unpaid principal
        of
        the Revolving Credit Loans, LC Disbursements and amounts owing under Eligible
        Swap Agreements, ratably among the Lender, the LC Issuer and the Swap Banks
        in
        proportion to the respective amounts described in this clause Fourth held
        by them;

       

      Fifth,
        to the Lender for the account of the LC Issuer, to Cash Collateralize the
        Maximum Drawing Amount;

       

      Sixth
        , to payment of that portion of the Obligations constituting unpaid amounts
        owing under Secured Cash Management Agreements, ratably among the Cash
        Management Banks in proportion to the respective amounts described in this
        clause Sixth held by them; and

       

      Last,
        the balance, if any, after all of the Obligations have been indefeasibly
        paid in
        full, to the Borrower or as otherwise required by Law.

       

      Subject
        to Section ‎3.2,
        amounts used to Cash Collateralize the Maximum Drawing Amount pursuant to
        clause
Fifth above shall be applied to satisfy drawings under the then
        outstanding Letters of Credit as they occur.  If any amount remains on
        deposit as cash collateral after all Letters of Credit have either been fully
        drawn or expired, such remaining amount shall be applied to the other
        Obligations, if any, in the order set forth above.

       

      SECTION
        X

       

      

       

      ASSIGNMENT
        AND PARTICIPATION

       

      10.1  Successors
        and Assigns.  (a)  Successors and Assigns
        Generally.  The provisions of this Agreement shall be binding upon
        and inure to the benefit of the parties hereto and their respective successors
        and assigns permitted hereby, except that neither of the Borrower nor any
        other
        Loan Party may assign or otherwise transfer any of its rights or obligations
        hereunder without the prior written consent of the Lender.  Nothing in
        this Agreement, expressed or implied, shall be construed to confer upon any
        Person (other than the parties hereto, their respective successors and assigns
        permitted hereby, Participants to the extent provided in subsection (d) of
        this
        Section and, to the extent expressly contemplated hereby, the Related Parties
        of
        each of the Lender and the LC Issuer) any legal or equitable right, remedy
        or
        claim under or by reason of this Agreement.

       

      (b)  Assignments
        by Lender.  The Lender may at any time assign to one or more
        assignees all or a portion of its rights and obligations under this Agreement
        (including all or a portion of its Commitment and the Revolving Credit Loans
        (including for purposes of this Section ‎10.1(b),
        participations in the Maximum Drawing Amount) at the time owing to it);
provided that any such assignment shall be subject to the following
        conditions:

       

      (i)  Required
        Consents.  No consent shall be required for any assignment
        except:

       

      (A)  the
        consent of the Borrower (such consent not to be unreasonably withheld or
        delayed) shall be required unless (1) an Event of Default has occurred and
        is
        continuing at the time of such assignment or (2) such assignment is to the
        Lender, an Affiliate of the Lender or an Approved Fund; and

       

      (B)  the
        consent of the LC Issuer (such consent not to be unreasonably withheld or
        delayed) shall be required for any assignment that increases the obligation
        of
        the assignee to participate in exposure under one or more Letters of Credit
        (whether or not then outstanding).

       

      (ii)  Assignment
        and Assumption.  The parties to each assignment shall execute and
        deliver to the Lender an Assignment and Assumption.

       

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

       

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

       

      Subject
        to acceptance and recording thereof by the Lender pursuant to Section ‎10.1(c),
        from and after the effective date specified in each Assignment and Assumption,
        the assignee thereunder shall be a party to this Agreement and, to the extent
        of
        the interest assigned by such Assignment and Assumption, have the rights
        and
        obligations of the Lender under this Agreement, and the assigning Lender
        thereunder shall, to the extent of the interest assigned by such Assignment
        and
        Assumption, be released from its obligations under this Agreement (and, in
        the
        case of an Assignment and Assumption covering all of the assigning Lender’s
        rights and obligations under this Agreement, the Lender shall cease to be
        a
        party hereto but shall continue to be entitled to the benefits of Sections
‎2.9,
        ‎2.11,
        ‎2.12,
        ‎2.14
        and ‎11.2
        with respect to facts and circumstances occurring prior to the effective
        date of
        such assignment).  Upon request, the Borrower (at its expense) shall
        execute and deliver a Note to the assignee Lender.  Any assignment or
        transfer by the Lender of rights or obligations under this Agreement that
        does
        not comply with this subsection shall be treated for purposes of this Agreement
        as a sale by the Lender of a participation in such rights and obligations
        in
        accordance with Section ‎10.2.

       

      Notwithstanding
        anything to the contrary in this Section ‎10.1(b),
        the Lender will also have the right, without consent of the Borrower or the
        Lender, to assign as security all or part of its rights under the Loan Documents
        to any Federal Reserve Bank.

       

      (c)  Register.  The
        Lender, acting solely for this purpose as an agent of the Borrower, shall
        maintain at the Lender’s Office a copy of each Assignment and Assumption
        delivered to it and a register for the recordation of the names and addresses
        of
        the Lender, and the Commitment of, and principal amounts of the Revolving
        Credit
        Loans owing to, the Lender pursuant to the terms hereof from time to time
        (the
“Register”).  The entries in the Register shall be conclusive,
        and the Borrower and the Lender may treat each Person whose name is recorded
        in
        the Register pursuant to the terms hereof as the Lender hereunder for all
        purposes of this Agreement, notwithstanding notice to the
        contrary.  The Register shall be available for inspection by the
        Borrower and the Lender, at any reasonable time and from time to time upon
        reasonable prior notice.

       

      (d)  Certain
        Pledges.  The 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 Notes, if any) to secure obligations of the Lender, including any
        pledge or assignment to secure obligations to a Federal Reserve Bank;
provided that no such pledge or assignment shall release the Lender from
        any of its obligations hereunder or substitute any such pledgee or assignee
        for
        the Lender as a party hereto.

       

      (e)  Electronic
        Execution of Assignments.  The words “execution,” “signed,”
“signature,” and words of like import in any Assignment and Assumption 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.

       

      10.2  Participations.  The
        Lender shall have the right at any time and from time to time, without the
        consent of or notice to the Borrower, to grant participations to one or more
        banks or other financial institutions (each a “Participant”) in all or
        any part of any Revolving Credit Loans owing to the Lender and the Note held
        by
        the Lender, and shall have the right to furnish from time to time to prospective
        Participants copies of the Loan Documents and any information concerning
        the
        Borrowers in its possession.  The Lender shall retain the sole right
        to approve, without the consent of any Participant, any amendment, modification
        or waiver of any provision of the Loan Documents, provided that the
        documents evidencing any such participation may provide that, except with
        the
        consent of such Participant, the Lender will not consent to (a) the reduction
        in
        or forgiveness of the stated principal of or rate of interest on or commitment
        fee with respect to the portion of any Revolving Credit Loan subject to such
        participation, (b) the extension or postponement of any stated date fixed
        for
        payment of principal or interest or commitment fee with respect to the portion
        of any Revolving Credit Loan subject to such participation, (c) the waiver
        or
        reduction of any right to indemnification of the Lender hereunder, or (d)
        except
        as otherwise permitted hereunder, the release of any
        Collateral.  Notwithstanding the foregoing, no participation shall
        operate to increase the total Commitments hereunder or otherwise alter the
        substantive terms of this Agreement.  In the event of any such sale by
        the Lender of participating interests to a Participant, the Lender’s obligations
        under this Agreement shall remain unchanged, the Lender shall remain solely
        responsible for the performance thereof, the Lender shall remain the holder
        of
        such Note for all purposes under this Agreement and the Borrower shall continue
        to deal solely and directly with the Lender in connection with the Lender’s
        rights and obligations under this Agreement.

       

      SECTION
        XI                                

       

      

       

      GENERAL

       

      11.1  Notices;
        Effectiveness of Signatures.

       

      (a)  Unless
        otherwise specifically provided herein, any notice or other communication
        herein
        required or permitted to be given shall be in writing and may be personally
        served, or sent by telefacsimile or United States mail or courier service
        and
        shall be deemed to have been given when delivered in person or by courier
        service, upon receipt of telefacsimile in complete and legible form, or three
        Business Days after depositing it in the United States mail with postage
        prepaid
        and properly addressed; provided that notices to the Lender and the LC
        Issuer shall not be effective until received.  For the purposes
        hereof, the address of each party hereto shall be as set forth on Schedule
‎11.1
        hereof or (subject to said Schedule) in its Administrative Questionnaire
        or
        (i) as to the Borrower and the Lender, such other address as shall be
        designated by such Person in a written notice delivered to the other parties
        hereto and (ii) as to each other party, such other address as shall be
        designated by such party in a written notice delivered to the
        Lender.  The Lender or the Borrower may, in its discretion, agree to
        accept notices and other communications to such parties hereunder by electronic
        communications pursuant to procedures approved by such parties, provided
        that approval of such procedures may be limited to particular notices or
        communications.

       

      (b)  Loan
        Documents and notices under the Loan Documents may be transmitted and/or
        signed
        by telefacsimile and by signatures delivered in ‘PDF’ format by electronic
        mail.  The effectiveness of any such documents and signatures shall,
        subject to applicable law, have the same force and effect as an original
        copy
        with manual signatures and shall be binding on all Loan Parties, and the
        Lender.  The Lender may also require that any such documents and
        signature be confirmed by a manually-signed copy thereof; provided,
however, that the failure to request or deliver any such manually-signed
        copy shall not affect the effectiveness of any facsimile document or
        signature.

       

      11.2  Expenses.  Whether
        or not the transactions contemplated herein shall be consummated, the Borrower
        promises to reimburse the Lender and the LC Issuer for all reasonable
        out-of-pocket fees and disbursements (including all reasonable attorneys’ fees
        and collateral evaluation costs) incurred or expended in connection with
        the
        preparation, filing or recording, or interpretation of this Agreement and
        the
        other Loan Documents, or any amendment, modification, approval, consent or
        waiver hereof or thereof, or in connection with the enforcement of any
        Obligations or the satisfaction of any indebtedness of the Borrower hereunder
        or
        thereunder, or in connection with any litigation, proceeding or dispute in
        any
        way related to the credit hereunder.  The Borrower will pay any taxes
        (including any interest and penalties in respect thereof), other than the
        Lender’s federal and state income taxes, payable on or with respect to the
        transactions contemplated by the Loan Documents (the Borrower hereby agrees
        to
        indemnify the Lender and the LC Issuer with respect thereto).

       

      11.3  Indemnification.  The
        Borrower agrees to indemnify and hold harmless the Lender and the LC Issuer,
        as
        well as their respective shareholders, directors, offices, agents, attorneys,
        subsidiaries and Affiliates, from and against all damages, losses, settlement
        payments, obligations, liabilities, claims, suits, penalties, assessments,
        citations, directives, demands, judgments, actions or causes of action, whether
        statutorily created or under the common law, all reasonable costs and expenses
        (including, without limitation, reasonable fees and disbursements of attorneys,
        engineers and consultants) and all other liabilities whatsoever (including,
        without limitation, liabilities under Environmental Laws) which shall at
        any
        time or times be incurred, suffered, sustained or required to be paid by
        any
        such indemnified Person (except any of the foregoing which result from the
        gross
        negligence or willful misconduct of the indemnified Person) on account of
        or in
        relation to or any way in connection with any of the arrangements or
        transactions contemplated by, associated with or ancillary to this Agreement,
        the other Loan Documents or any other documents executed or delivered in
        connection herewith or therewith, all as the same may be amended from time
        to
        time, or with respect to any Letters of Credit, whether or not all or part
        of
        the transactions contemplated by, associated with or ancillary to this
        Agreement, any of the Loan Documents or any such other documents are ultimately
        consummated.  In any investigation, proceeding or litigation, or the
        preparation therefor, the Lender shall select its own counsel and, in addition
        to the foregoing indemnity, the Borrower agrees to pay promptly the reasonable
        fees and expenses of such counsel.  In the event of the commencement
        of any such proceeding or litigation, the Borrower shall be entitled to
        participate in such proceeding or litigation with counsel of its choice at
        its
        own expense, provided that such counsel shall be reasonably satisfactory
        to the
        Lender.  The Borrower authorizes the Lender and the LC Issuer to
        charge any deposit account or Note Record which it may maintain with any
        of them
        for any of the foregoing.  The covenants of this Section ‎11.3
        shall survive payment or satisfaction of payment of all amounts owing with
        respect to the Notes, any other Loan Document or any other
        Obligation.

       

      11.4  Survival
        of Covenants, Etc.  All covenants, agreements, representations and
        warranties made herein, in the other Loan Documents or in any documents or
        other
        papers delivered by or on behalf of the Borrower pursuant hereto shall be
        deemed
        to have been relied upon by the Lender and the LC Issuer, notwithstanding
        any
        investigation heretofore or hereafter made by any of them, and shall survive
        the
        making by the Lender of the Revolving Credit Loans as herein contemplated,
        and
        shall continue in full force and effect so long as any Obligation remains
        outstanding and unpaid or the Lender has any obligation to make any Revolving
        Credit Loans hereunder or the LC Issuer has any obligation to issue any Letter
        of Credit.  All statements contained in any certificate or other
        writing delivered by or on behalf of the Borrower pursuant hereto or in
        connection with the transactions contemplated hereby shall constitute
        representations and warranties by the Borrower hereunder.

       

      11.5  Set-Off.  If
        an Event of Default shall have occurred and be continuing, the Lender, the
        LC
        Issuer and each of their respective Affiliates is hereby authorized at any
        time
        and from time to time, after obtaining the prior written consent of the Lender,
        to the fullest extent permitted by applicable law, to set off and apply any
        and
        all deposits (general or special, time or demand, provisional or final, in
        whatever currency) at any time held and other obligations (in whatever currency)
        at any time owing by the Lender, the LC Issuer or any such Affiliate to or
        for
        the credit or the account of the Borrower or any other Loan Party against
        any
        and all of the obligations of the Borrower or such Loan Party now or hereafter
        existing under this Agreement or any other Loan Document to the Lender or
        the LC
        Issuer, irrespective of whether or not the Lender or the LC Issuer shall
        have
        made any demand under this Agreement or any other Loan Document and although
        such obligations of the Borrower or such Loan Party may be contingent or
        unmatured or are owed to a branch or office of the Lender or the LC Issuer
        different from the branch or office holding such deposit or obligated on
        such
        indebtedness.  The rights of the Lender, the LC Issuer and their
        respective Affiliates under this Section are in addition to other rights
        and
        remedies (including other rights of setoff) that the Lender, the LC Issuer
        or
        their respective Affiliates may have.  The Lender and the LC Issuer
        agrees to notify the Borrower and the Lender promptly after any such setoff
        and
        application, provided that the failure to give such notice shall not
        affect the validity of such setoff and application.

       

      11.6  No
        Waivers.  No failure or delay by the Lender or the LC Issuer in
        exercising any right, power or privilege hereunder, under the Notes 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.  No waiver shall
        extend to or affect any Obligation not expressly waived or impair any right
        consequent thereon.  No course of dealing or omission on the part of
        the Lender or the LC Issuer in exercising any right shall operate as a waiver
        thereof or otherwise be prejudicial thereto.  No notice to or demand
        upon the Borrower shall entitle the Borrower to other or further notice or
        demand in similar or other circumstances, except as otherwise specifically
        provided in the Loan Documents.  The rights and remedies herein and in
        the Notes and the other Loan Documents are cumulative and not exclusive of
        any
        rights or remedies otherwise provided by agreement or law.

       

      11.7  Amendments,
        Waivers, etc.  Neither this Agreement nor the Notes nor any other
        Loan Document nor any provision hereof or thereof may be amended, waived,
        discharged or terminated except by a written instrument signed by the Lender
        and, with respect to Letters of Credit, the LC Issuer, and also, in the case
        of
        amendments, by the Borrower.

       

      11.8  Treatment
        of Certain Information; Confidentiality.  Each of the Lender and
        the LC Issuer agrees to maintain the confidentiality of the Information (as
        defined below), except that Information may be disclosed (a) to its
        Affiliates and to its and its Affiliates’ respective partners, directors,
        officers, employees, agents, advisors and representatives (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), (b) to the extent requested by any regulatory authority
        purporting to have jurisdiction over it (including any self-regulatory
        authority, such as the National Association of Insurance Commissioners),
        (c) to the extent required by applicable laws or regulations or by any
        subpoena or similar legal process, (d) to any other party hereto, (e) in
        connection with the exercise of any remedies hereunder or under any other
        Loan
        Document or any action or proceeding relating to this Agreement or any other
        Loan Document or the enforcement of rights hereunder or thereunder, (f) subject
        to an agreement containing provisions substantially the same as those of
        this
        Section, to (i) any assignee of or Participant in, or any prospective assignee
        of or Participant in, any of its rights or obligations under this Agreement
        or
        (ii) any actual or prospective counterparty (or its advisors) to any swap
        or
        derivative transaction relating to the Borrower and its obligations, (g)
        with
        the consent of the Borrower or (h) to the extent such Information
        (i) becomes publicly available other than as a result of a breach of this
        Section or (ii) becomes available to the Lender, the LC Issuer or any of
        their respective Affiliates on a nonconfidential basis from a source other
        than
        the Borrower

       

      For
        purposes of this Section, “Information” means all information received
        from any Loan Party or any Subsidiary thereof relating to any Loan Party
        or any
        Subsidiary thereof or their respective businesses, other than any such
        information that is available to the Lender or the LC Issuer on a
        nonconfidential basis prior to disclosure by any Loan Party or any Subsidiary
        thereof, provided that, in the case of information received from a Loan
        Party or any such Subsidiary after the date hereof, such information is clearly
        identified at the time of delivery as confidential.  Any Person
        required to maintain the confidentiality of Information as provided in this
        Section shall be considered to have complied with its obligation to do so
        if
        such Person has exercised the same degree of care to maintain the
        confidentiality of such Information as such Person would accord to its own
        confidential information.

       

      Each
        of
        the Lender and the LC Issuer 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.

       

      11.9  Binding
        Effect of Agreement.  This Agreement shall be binding upon and
        inure to the benefit of the Borrower, the Lender, and the LC Issuer, and
        their
        respective successors and assigns; provided that the Borrower may not
        assign or transfer its rights or obligations hereunder.

       

      11.10  Lost
        Note, Etc.  Upon receipt of an affidavit of an officer of the
        Lender as to the loss, theft, destruction or mutilation of any Note or any
        Security Document which is not a public record and, in the case of any such
        loss, theft, destruction or mutilation, upon cancellation of such Note or
        Security Document, if available, the Borrower will issue, in lieu thereof,
        a
        replacement Note or other Security Document in the same principal amount
        thereof
        and otherwise of like tenor.

       

      11.11  Captions;
        Counterparts.  The captions in this Agreement are for convenience
        of reference only and shall not define or limit the provisions
        hereof.  This Agreement and any amendment hereof may be executed in
        several counterparts and by each party on a separate counterpart, each of
        which
        when so executed and delivered shall be an original, but all of which together
        shall constitute one instrument.  In proving this Agreement it shall
        not be necessary to produce or account for more than one such counterpart
        signed
        by the party against whom enforcement is sought.  Except as provided
        in Section ‎4.1,
        this Agreement shall become effective when it shall have been executed by
        the
        Lender and when the Lender shall have received counterparts hereof that,
        when
        taken together, bear the signatures of each of the other parties
        hereto.

       

      11.12  Entire
        Agreement, Etc.  The Loan Documents and any other documents
        executed in connection herewith or therewith express the entire understanding
        of
        the parties with respect to the transactions contemplated hereby and supersede
        all prior agreements with respect to the subject matter hereof.

       

      11.13  Waiver
        of Jury Trial.  THE BORROWER AND THE LENDER HEREBY KNOWINGLY,
        VOLUNTARILY AND INTENTIONALLY WAIVE THEIR RIGHT TO A JURY TRIAL WITH RESPECT
        TO
        ANY ACTION OR CLAIM ARISING OUT OF ANY DISPUTE IN CONNECTION WITH THIS
        AGREEMENT, THE NOTES OR ANY OF THE OTHER LOAN DOCUMENTS, ANY RIGHTS OR
        OBLIGATIONS HEREUNDER OR THEREUNDER, THE PERFORMANCE OF SUCH RIGHTS AND
        OBLIGATIONS OR ANY COURSE OF CONDUCT, COURSE OF DEALINGS, STATEMENTS (WHETHER
        VERBAL OR WRITTEN) OR ACTIONS OF ANY PARTY INCLUDING, WITHOUT LIMITATION,
        ANY
        COURSE OF CONDUCT, COURSE OF DEALINGS, STATEMENTS OR ACTIONS OF THE LENDER
        RELATING TO THE ADMINISTRATION OR ENFORCEMENT OF THE REVOLVING CREDIT LOANS
        AND
        THE LOAN DOCUMENTS, AND AGREE THAT THEY WILL NOT SEEK TO CONSOLIDATE ANY
        SUCH
        ACTION WITH ANY OTHER ACTION IN WHICH A JURY TRIAL CANNOT BE OR HAS NOT BEEN
        WAIVED.

       

      EXCEPT
        AS
        PROHIBITED BY LAW, THE BORROWER AND THE LENDER HEREBY WAIVE ANY RIGHT THEY
        MAY
        HAVE TO CLAIM OR RECOVER IN ANY LITIGATION REFERRED TO IN THE PRECEDING SENTENCE
        ANY SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES OR ANY DAMAGES
        OTHER
        THAN, OR IN ADDITION TO, ACTUAL DAMAGES.

       

      THE
        BORROWER (a) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF THE LENDER
        HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE LENDER WOULD NOT, IN THE
        EVENT
        OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS AND (b) ACKNOWLEDGES
        THAT
        THE LENDER HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER LOAN
        DOCUMENTS TO WHICH EACH IS A PARTY BECAUSE OF, AMONG OTHER THINGS, THE
        BORROWER’S WAIVERS AND CERTIFICATIONS CONTAINED HEREIN.

       

      11.14  Governing
        Law.  This Agreement and each of the other Loan Documents are
        contracts under the laws of the State of New York and shall for all purposes
        be
        construed in accordance with and governed by the laws of said State (excluding
        the laws applicable to conflicts or choice of law).

       

      11.15  Jurisdiction;
        Consent to Service of Process.  (a) The Borrower hereby
        irrevocably and unconditionally submit, for itself and its property, to the
        nonexclusive jurisdiction of the Supreme Court of the State of New York sitting
        in New York County and of the United States District Court of the Southern
        District of New York, and any appellate court from any thereof, in any action
        or
        proceeding arising out of or relating to any Loan Document, or for recognition
        or enforcement of any judgment, and each of the parties hereto hereby
        irrevocably and unconditionally agrees that all claims in respect of any
        such
        action or proceeding may be heard and determined in such New York State or,
        to the extent permitted by law, in such Federal court.  Each of the
        parties hereto agrees that a final, non-appealed judgment in any such action
        or
        proceeding shall be conclusive and may be enforced in other jurisdictions
        by
        suit on the judgment or in any other manner provided by law.  Nothing
        in this Agreement or any other Loan Document shall affect any right that
        the
        Borrower, the Lender or the LC Issuer may otherwise have to bring any action
        or
        proceeding relating to this Agreement or any other Loan Document against
        any
        other party hereto or their properties in the courts of any
        jurisdiction.

       

      (b)  The
        Borrower hereby irrevocably and unconditionally waives, to the fullest extent
        it
        may legally and effectively do so, any objection which it may now or hereafter
        have to the laying of venue of any suit, 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 law, the defense of
        an
        inconvenient forum to the maintenance of such action or proceeding in any
        such
        court.

       

      (c)  Each
        party to this Agreement irrevocably consents to service of process in the
        manner
        provided for notices in Section ‎11.1.  Nothing
        in this Agreement or any other Loan Document will affect the right of any
        party
        to this Agreement to serve process in any other manner permitted by
        law.

       

      11.16  USA
        PATRIOT Act Notice.  The Borrower acknowledges that it is subject
        to the Patriot Act (as defined below) and the 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 each
        Loan Party, which information includes the name and address of each Loan
        Party
        and other information that will allow the Lender to identify each Loan Party
        in
        accordance with the Patriot Act.

       

      11.17  Contribution
        Among Guarantors.  In the Guaranty, executed on the date hereof,
        the Guarantors have agreed that, as among themselves in their capacity as
        guarantors of the Obligations, the ultimate responsibility for repayment
        of the
        Obligations, in the event that the Borrower fails to pay its Obligations
        when
        due, shall be equitably apportioned, to the extent consistent with the Loan
        Documents, among the respective Guarantors (a) in the proportion that each,
        in
        its capacity as a guarantor, has benefited from the extensions of credit
        to the
        Borrower by the Lender under this Agreement, or (b) if such equitable
        apportionment cannot reasonably be determined or agreed upon among the affected
        Guarantors, in proportion to their respective net worths determined on or
        about
        the date hereof (or such later date as such Guarantor becomes party
        thereto).  In the event that any Guarantor, in its capacity as a
        guarantor, pays an amount with respect to the Obligations in excess of its
        proportionate share as set forth in Section 17 of the Guaranty, such Section
        17
        of the Guaranty requires each other Guarantor, to the extent consistent with
        the
        Loan Documents, to make a contribution payment to such over-paying Guarantor
        in
        an amount such that the aggregate amount paid by each Guarantor reflects
        its
        proportionate share of the Obligations.  In the event of any default
        by any Guarantor under Section 17 of the Guaranty, each other Guarantor will
        bear, to the extent consistent with the Loan Documents, its proportionate
        share
        of the defaulting Guarantor’s obligation under such section.  This
        Section is intended to describe only the rights and obligations of the
        Guarantors among themselves and shall not in any way affect the obligations
        of
        any Guarantor to the Lender under the Loan Documents (which obligations shall
        at
        all times constitute the joint and several obligations of all the
        Guarantors).

       

      11.18  Severability.  The
        provisions of this Agreement are severable and if any one clause or provision
        hereof shall be held invalid or unenforceable in whole or in part in any
        jurisdiction, then such invalidity or unenforceability shall affect only
        such
        clause or provision, or part thereof, in such jurisdiction, and shall not
        in any
        manner affect such clause or provision in any other jurisdiction, or any
        other
        clause or provision of this Agreement in any jurisdiction.

       

      [Remainder
        of page intentionally left blank]

      
        
                

                    
      
      

                    {B0619138;
              10}      
    

          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      IN
        WITNESS WHEREOF, the undersigned have duly executed this Credit Agreement
        under
        seal as of the date first above written.

       

      MEXICAN
        RESTAURANTS, INC.

      

       

      By:___________________________

         Name:

         Title:

       

      WELLS
        FARGO BANK, N.A., individually and as LC Issuer

       

      By:___________________________

      Name:

      Title:

      

      

      

      
        
                

                    
      
      

                    [SIGNATURE
              PAGE TO CREDIT
              AGREEMENT]      
      

                    
      
    

          
          

        

        
          
          

          
            

          

        

        
          
          

                

                    
      
      

                    
      
      

                              Table
              of
              Contents              
      

                    
      
      

                              Page              
      

                    
      
    

        

      

      SECTION
        I  DEFINITIONS 1

      1.1  Definitions. 1

      1.2  Rules
        of Interpretation. 20

      SECTION
        II  DESCRIPTION OF CREDIT 20

      2.1  Revolving
        Credit Loans. 20

      2.2  The
        Note. 22

      2.3  Notice
        and Manner of Borrowing or Conversion of Revolving Credit
        Loans. 23

      2.4  Interest
        Rates and Payments of Interest. 23

      2.5  Fees. 25

      2.6  Repayment
        of Revolving Credit Loans 25

      2.7  Prepayments 25

      2.8  Method
        and Application of Payments. 27

      2.9  LIBOR
        Indemnity 28

      2.10  Computation
        of Interest and Fees 28

      2.11  Changed
        Circumstances; Illegality. 28

      2.12  Increased
        Costs 29

      2.13  Capital
        Requirements 30

      2.14  Taxes 30

      SECTION
        III  LETTERS OF CREDIT 32

      3.1  Issuance 32

      3.2  Reimbursement
        Obligation of the Borrower 32

      3.3  Letter
        of Credit Payments 32

      3.4  Obligations
        Absolute. 33

      3.5  Reliance
        by the LC Issuer and the Lender 34

      SECTION
        IV  CONDITIONS OF REVOLVING CREDIT LOANS AND LETTERS OF
        CREDIT 34

      4.1  Conditions
        Precedent to Initial Revolving Credit Loans and Letters of
        Credit 34

      4.2  Conditions
        Precedent to all Revolving Credit Loans and Letters of Credit after the Closing
        Date 37

      SECTION
        V  REPRESENTATIONS AND WARRANTIES 38

      5.1  Existence,
        Qualification and Power 38

      5.2  Authorization;
        No Contravention 39

      5.3  Governmental
        Authorization; Other Consents 39

      5.4  Binding
        Effect 39

      5.5  Financial
        Statements; No Material Adverse Effect 39

      5.6  Litigation 40

      5.7  No
        Default 40

      5.8  Ownership
        of Property; Encumbrances; Investments 41

      5.9  Environmental
        Compliance. 41

      5.10  Insurance 42

      5.11  Taxes 42

      5.12  ERISA
        Compliance 42

      5.13  Subsidiaries;
        Equity Interests; Loan Parties 43

      5.14  Margin
        Regulations; Investment Company Act 43

      5.15  Disclosure 44

      5.16  Compliance
        with Laws 44

      5.17  Intellectual
        Property; Licenses, Etc 44

      5.18  Solvency 44

      5.19  Casualty,
        Etc 44

      5.20  Labor
        Matters 44

      5.21  Security
        Documents 45

      5.22  Compliance
        with OFAC Rules and Regulations 45

      5.23  Foreign
        Assets Control Regulations, Etc 45

      SECTION
        VI  AFFIRMATIVE COVENANTS 45

      6.1  Financial
        Statements 45

      6.2  Conduct
        of Business 47

      6.3  Maintenance
        and Insurance. 47

      6.4  Taxes 47

      6.5  Inspection
        Rights 48

      6.6  Maintenance
        of Books and Records 48

      6.7  Use
        of Proceeds. 48

      6.8  Further
        Assurances 48

      6.9  Notification
        Requirements 49

      6.10  ERISA
        Reports. 49

      6.11  Environmental
        Compliance. 49

      6.12  Covenant
        to Guarantee Obligations and Give Security 50

      6.13  Cash
        Collateral Accounts 53

      6.14  Release
        of Real Estate Liens 53

      6.15  Casa
        Ole of Louisiana, Inc. 53

      SECTION
        VII  FINANCIAL COVENANTS 53

      7.1  Financial
        Covenants. 53

      SECTION
        VIII  NEGATIVE COVENANTS 55

      8.1  Indebtedness 55

      8.2  Contingent
        Liabilities 56

      8.3  Encumbrances 56

      8.4  Merger;
        Sale or Lease of Assets; Liquidation. 57

      8.5  Subsidiaries 57

      8.6  Restricted
        Payments 57

      8.7  Investments;
        Purchases of Assets 58

      8.8  ERISA
        Compliance 59

      8.9  Transactions
        with Affiliates 59

      8.10  Fiscal
        Year 59

      SECTION
        IX  DEFAULTS 59

      9.1  Events
        of Default 59

      9.2  Remedies
        upon Event of Default 62

      9.3  Application
        of Funds 62

      SECTION
        X  ASSIGNMENT AND PARTICIPATION 64

      10.1  Successors
        and Assigns 64

      10.2  Participations 65

      SECTION
        XI  GENERAL 66

      11.1  Notices;
        Effectiveness of Signatures. 66

      11.2  Expenses 67

      11.3  Indemnification 67

      11.4  Survival
        of Covenants, Etc 67

      11.5  Set-Off 68

      11.6  No
        Waivers 68

      11.7  Amendments,
        Waivers, etc 68

      11.8  Treatment
        of Certain Information; Confidentiality 68

      11.9  Binding
        Effect of Agreement 69

      11.10  Lost
        Note, Etc 69

      11.11  Captions;
        Counterparts 69

      11.12  Entire
        Agreement, Etc 70

      11.13  Waiver
        of Jury Trial 70

      11.14  Governing
        Law 70

      11.15  Jurisdiction;
        Consent to Service of Process 70

      11.16  USA
        PATRIOT Act Notice 71

      11.17  Contribution
        Among Guarantors 71

      11.18  Severability 72

      

      EXHIBITS

       

      Form
        of

       

      A           Revolving
        Credit Note

      B           Notice
        of Borrowing or Conversion

      C           Commitment
        Increase Supplement

      D           Assignment
        and Assumption

      E           Compliance
        Certificate

      F-1           Security
        Agreement

      F-2           Collateral
        Assignment of Contracts

      G-1           Pledge
        Agreement by Borrower of Subsidiary Equity Interests

      G-2           Pledge
        Agreement by Guarantors of Subsidiary Equity Interests

      H           Intellectual
        Property Security Agreement

      I           Form
        of Guaranty

      J           Opinion
        Matters – Counsel to Loan Parties

      K           Revolving
        Loan Prepayment Request

      

      SCHEDULES

       

      1.1                   Adjustments
        to EBITDA

      5.5                   Material
        Liabilities and Indebtedness

      5.8(b)                   Existing
        Encumbrances

      5.8(c)                   Owned
        Real Property

      5.8(d)(i)                   Leased
        Real Property (Lessee)

      5.8(d)(ii)                      Leased
        Real Property (Lessor)

      5.8(e)                   Existing
        Investments

      5.13                   Subsidiaries
        and Other Equity Investments; Loan Parties

      5.17                   Intellectual
        Property Matters

      8.1(g)                   Existing
        Indebtedness

      11.1                   Lender’s
        Office, Certain Addresses for Notices

      
        
                

                    
      
      

                              
                            
      

                    {B0619138;
              10}

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}]]