Document:

Credit Agreement

 EXHIBIT 10.1 
  
 EXECUTION COPY 
  
 $222,000,000 
  
 CREDIT AGREEMENT 
  
 Dated as of October 12, 2005 
  
 among 
  
 PREGIS CORPORATION, 
  
 as Borrower 
  
 and 
  
 PREGIS HOLDING II CORPORATION, 
  
 as Parent 
  
 and 
  
 THE SUBSIDIARY GUARANTORS NAMED HEREIN, 
  
 as Subsidiary Guarantors 
  
 and 
  
 THE INITIAL LENDERS,
INITIAL ISSUING BANK AND 
 SWING LINE BANK NAMED HEREIN, 
  
 as Initial Lenders, Initial Issuing Bank and Swing Line
Bank 
  
 and 
  
 CREDIT SUISSE, 
  
 as Collateral Agent and as Administrative Agent 
  
 and 
  
 LEHMAN COMMERCIAL PAPER INC., 
  
 as Syndication Agent 
  
 and 
  
 CIT LENDING SERVICES CORPORATION 
  
 and 
  
 JPMORGAN CHASE BANK, N.A.

  
 as Co-Documentation Agents 
  
 and 
  
 CREDIT SUISSE and LEHMAN BROTHERS INC., 
  
 as Joint Bookrunners and Joint Lead Arrangers 

 TABLE OF CONTENTS 
  

					
	 Section

	 	 	  	Page

	 ARTICLE I
  
	  	 
	 DEFINITIONS AND ACCOUNTING TERMS
  
	  	 
	 SECTION 1.01.
	 	Certain Defined Terms	  	2
	 SECTION 1.02.
	 	Computation of Time Periods; Other Definitional Provisions	  	39
	 SECTION 1.03.
	 	Accounting Terms	  	39
	 SECTION 1.04.
	 	Currency Equivalents Generally; Judgment Currency	  	39
	  
 ARTICLE II
  
	  	 
	 AMOUNTS AND TERMS OF THE ADVANCES
 AND THE LETTERS OF CREDIT
  
	  	 
	 SECTION 2.01.
	 	The Advances and the Letters of Credit	  	40
	 SECTION 2.02.
	 	Making the Advances	  	43
	 SECTION 2.03.
	 	Issuance of and Drawings and Reimbursement Under Letters of Credit	  	46
	 SECTION 2.04.
	 	Repayment of Advances	  	48
	 SECTION 2.05.
	 	Termination, Reduction or Extension of the Commitments	  	51
	 SECTION 2.06.
	 	Prepayments	  	53
	 SECTION 2.07.
	 	Interest	  	55
	 SECTION 2.08.
	 	Fees	  	56
	 SECTION 2.09.
	 	Conversion of Advances	  	57
	 SECTION 2.10.
	 	Increased Costs, Etc.	  	58
	 SECTION 2.11.
	 	Payments and Computations	  	60
	 SECTION 2.12.
	 	Taxes	  	61
	 SECTION 2.13.
	 	Sharing of Payments, Etc.	  	64
	 SECTION 2.14.
	 	Use of Proceeds	  	65
	 SECTION 2.15.
	 	Defaulting Lenders	  	65
	 SECTION 2.16.
	 	Evidence of Debt	  	67
	 SECTION 2.17.
	 	Incremental Facility	  	68
		
	ARTICLE III	  	 
		
	 CONDITIONS TO EFFECTIVENESS AND OF LENDING AND
 ISSUANCES OF LETTERS OF CREDIT
  
	  	 
	 SECTION 3.01.
	 	Conditions Precedent	  	71
	 SECTION 3.02.
	 	Conditions Precedent to Each Borrowing and Issuance and Renewal	  	78
	 SECTION 3.03.
	 	Determinations Under Section 3.01	  	79

  

 Pregis Credit Agreement 
  
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	 ARTICLE IV
  
	  	 
	 REPRESENTATIONS AND WARRANTIES
  
	  	 
	 SECTION 4.01.
	 	Representations and Warranties of the Parent and Borrower	  	79
		
	 ARTICLE V
  
	  	 
	 COVENANTS OF THE PARENT AND THE BORROWER
  
	  	 
	 SECTION 5.01.
	 	Affirmative Covenants	  	87
	 SECTION 5.02.
	 	Negative Covenants	  	95
	 SECTION 5.03.
	 	Reporting Requirements	  	109
	 SECTION 5.04.
	 	Financial Covenants	  	112
	  
 ARTICLE VI
  
	  	 
	 EVENTS OF DEFAULT
  
	  	 
	 SECTION 6.01.
	 	Events of Default	  	114
	 SECTION 6.02.
	 	Actions in Respect of the Letters of Credit upon Default	  	117
		
	 ARTICLE VII
  
	  	 
	 THE AGENTS
  
	  	 
	 SECTION 7.01.
	 	Authorization and Action	  	118
	 SECTION 7.02.
	 	Agents’ Reliance, Etc.	  	119
	 SECTION 7.03.
	 	CS and Affiliates	  	120
	 SECTION 7.04.
	 	Lender Party Credit Decision	  	120
	 SECTION 7.05.
	 	Indemnification	  	120
	 SECTION 7.06.
	 	Successor Agents	  	121
		
	 ARTICLE VIII
  
	  	 
	 GUARANTY
  
	  	 
	 SECTION 8.01.
	 	Guaranty; Limitation of Liability	  	122
	 SECTION 8.02.
	 	Guaranty Absolute	  	123
	 SECTION 8.03.
	 	Waivers and Acknowledgments	  	124
	 SECTION 8.04.
	 	Subrogation	  	125
	 SECTION 8.05.
	 	Guaranty Supplements	  	126
	 SECTION 8.06.
	 	Subordination	  	126
	 SECTION 8.07.
	 	Continuing Guaranty; Assignments	  	127
	 SECTION 8.08.
	 	Applicant Subsidiaries	  	127

  

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 ii 

					
	 ARTICLE IX
  
	  	 
	 MISCELLANEOUS
  
	  	 
	 SECTION 9.01.
	 	Amendments, Etc.	  	128
	 SECTION 9.02.
	 	Notices, Etc.	  	129
	 SECTION 9.03.
	 	No Waiver; Remedies	  	131
	 SECTION 9.04.
	 	Costs and Expenses	  	131
	 SECTION 9.05.
	 	Right of Set-off	  	133
	 SECTION 9.06.
	 	Binding Effect	  	133
	 SECTION 9.07.
	 	Assignments and Participations	  	134
	 SECTION 9.08.
	 	Execution in Counterparts	  	137
	 SECTION 9.09.
	 	No Liability of the Issuing Bank	  	138
	 SECTION 9.10.
	 	Confidentiality	  	138
	 SECTION 9.11.
	 	Release of Collateral	  	138
	 SECTION 9.12.
	 	Patriot Act Notice	  	138
	 SECTION 9.13.
	 	Jurisdiction, Etc.	  	139
	 SECTION 9.14.
	 	Governing Law	  	139
	 SECTION 9.15.
	 	Waiver of Jury Trial	  	1

  

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 iii 

 SCHEDULES 
  

					
	 Schedule I
	  	-	  	Commitments and Applicable Lending Offices
	 Schedule II
	  	-	  	Subsidiary Guarantors
	 Schedule III
	  	-	  	Agreed Adjustments
	 Schedule IV
	  	-	  	Certain Capital Expenditures in Connection with the Acquisition
	 Schedule 4.01(a)
	  	-	  	Equity Investors
	 Schedule 4.01(b)
	  	-	  	Loan Parties
	 Schedule 4.01(c)
	  	-	  	Subsidiaries
	 Schedule 4.01(e)
	  	-	  	Authorizations, Approvals, Actions, Notices and Filings
	 Schedule 4.01(q)
	  	-	  	Plans, Multiemployer Plans and Welfare Plans
	 Schedule 4.01(r)
	  	-	  	Environmental Matters
	 Schedule 4.01(s)
	  	-	  	Open Years
	 Schedule 4.01(u)
	  	-	  	Existing Debt
	 Schedule 4.01(v)
	  	-	  	Surviving Debt
	 Schedule 4.01(w)
	  	-	  	Liens
	 Schedule 4.01(x)
	  	-	  	Owned Real Property
	 Schedule 4.01(y)(i)
	  	-	  	Leased Real Property (Lessee)
	 Schedule 4.01(y)(ii)
	  	-	  	Leased Real Property (Lessor)
	 Schedule 4.01(z)
	  	-	  	Investments
	 Schedule 4.01(aa)
	  	-	  	Material Contracts
	 Schedule 5.01(r)(i)
	  	-	  	Leasehold Properties
	 Schedule 5.01(r)(ii)
	  	-	  	Lessors of Leasehold Properties

  
 EXHIBITS 
  

					
	 Exhibit A-1
	  	-	  	Form of Revolving Credit Note
	 Exhibit A-2
	  	-	  	Form of Term B-1 Note
	 Exhibit A-3
	  	-	  	Form of Term B-2 Note
	 Exhibit B
	  	-	  	Form of Notice of Borrowing
	 Exhibit C
	  	-	  	Form of Assignment and Acceptance
	 Exhibit D
	  	-	  	Form of Security Agreement
	 Exhibit E
	  	-	  	Form of Mortgage
	 Exhibit F
	  	-	  	Form of Solvency Certificate
	 Exhibit G
	  	-	  	Form of Opinion of Counsel to the Loan Parties
	 Exhibit H
	  	-	  	Form of Opinion of Local Counsel to the Loan Parties
	 Exhibit H-2
	  	-	  	Form of Opinion of Local Counsel to the Loan Parties
	 Exhibit I
	  	-	  	Form of Guaranty Supplement
	 Exhibit J
	  	-	  	Form of Intercreditor Agreement

  

 Pregis Credit Agreement 
  
 iv 

 CREDIT AGREEMENT 
  
 CREDIT AGREEMENT dated as of October 12, 2005 among PREGIS CORPORATION, a Delaware corporation (the
“Borrower”), PREGIS HOLDING II CORPORATION, a Delaware corporation (the “Parent”), the Subsidiary Guarantors (as hereinafter defined), the Lenders (as hereinafter defined), the Issuing Bank (as
hereinafter defined), the Swing Line Bank (as hereinafter defined), CREDIT SUISSE (“CS”), as collateral agent (together with any successor collateral agent appointed pursuant to Article VII, the “Collateral
Agent”) for the Secured Parties (as hereinafter defined), CS, as administrative agent (together with any successor administrative agent appointed pursuant to Article VII, the “Administrative Agent” and,
together with the Collateral Agent, the “Agents”) for the Lender Parties (as hereinafter defined), LEHMAN BROTHERS INC. (“LBI”), as syndication agent (in such capacity, the
“Syndication Agent”) and CIT LENDING SERVICES CORPORATION and JPMORGAN CHASE BANK, N.A., as co-documentation agents (the “Co-Documentation Agents” and, together with the
Collateral Agent, the Administrative Agent and the Syndication Agent, the “Agents”). 
  
 PRELIMINARY STATEMENTS: 
  
 (1) AEA Investors LLC and certain Affiliates (collectively with its Affiliates who may subsequently hold Equity Interests of the Parent, the
“Sponsor”) have formed the Parent, which has in turn formed the Borrower, to acquire (the “Acquisition”) from Pactiv Corporation, a Delaware corporation, and certain of its affiliates (collectively,
the “Seller”), all of the capital stock of the Seller’s subsidiaries engaged in the global protective packaging and European flexible packaging businesses (the “Companies” or the
“Business”) pursuant to the Stock Purchase Agreement dated as of June 23, 2005 among the Seller and the Parent (as amended by the letter agreement dated September 8, 2005 between the Borrower and the Seller, the
“Purchase Agreement”). 
  
 (2)
Simultaneously herewith, (a) the Borrower will issue the Equivalent in Euros of at least $123,500,000 in Floating Rate Notes (as hereinafter defined), (b) the Borrower will issue at least $150,000,000 in Senior Subordinated Notes (as
hereinafter defined) and (c) the Parent shall receive cash proceeds from a capital contribution to its equity from the Equity Investors (as hereinafter defined) in an amount equal to at least 25% of the total funds necessary to effect the
Transaction (as hereinafter defined), and the Parent shall contribute all such cash proceeds to the Borrower (the “Equity Contribution”). 
  
 (3) The Borrower has requested that (a) immediately upon the consummation of the Acquisition, the Lender Parties lend
to the Borrower up to $169,000,000, which will be applied, together with the proceeds of the Floating Rate Notes, the Senior Subordinated Notes and the Equity Contribution, to finance the Acquisition, to pay transaction fees and expenses, and to
refinance certain Existing Debt (as hereinafter defined) of the Companies and (b) from time to time, the Lender Parties lend to the Borrower and issue Letters of Credit for the account of the Borrower to provide working capital for the Borrower
and its Subsidiaries. The Lender Parties have indicated their willingness to agree to lend such amounts on the terms and conditions of this Agreement. 
  

 Pregis Credit Agreement 

 NOW, THEREFORE, in consideration of the premises and of the mutual covenants and agreements contained
herein, the parties hereto hereby agree as follows: 
  
 ARTICLE
I 
  
 DEFINITIONS AND ACCOUNTING TERMS 
  
 SECTION 1.01. Certain Defined Terms. As used in this Agreement, the
following terms shall have the following meanings (such meanings to be equally applicable to both the singular and plural forms of the terms defined): 
  
 “Accounting Change” means any change in GAAP or any other change in accounting principles required by the
promulgation of any rule, regulation, pronouncement, interpretation or opinion by the Financial Accounting Standards Board of the American Institute of Certified Public Accountants or, if applicable, the Securities and Exchange Commission of the
United States or any other regulatory body having jurisdiction. 
  
 “Acquisition” has the meaning specified in the Preliminary Statements. 
  
 “Administrative Agent” has the meaning specified in the recital of parties to this Agreement. 
  
 “Administrative Agent’s
Account” means the account of the Administrative Agent specified by the Administrative Agent in writing to the Lender Parties from time to time. 
  

“Advance” means a Term B-1 Advance, a Term B-2 Advance, a Revolving Credit Advance, a Swing Line Advance or a
Letter of Credit Advance, or an advance under an Incremental Facility. 
  
 “Affiliate” means, as to any Person, any other Person that, directly or indirectly, controls, is controlled by or is under common control with such Person or is a director or officer of such
Person. For purposes of this definition, the term “control” (including the terms “controlling,” “controlled by” and “under common control with”) of a Person means the possession, direct or indirect, of the
power to vote 10% or more of the Voting Interests of such Person or to direct or cause the direction of the management and policies of such Person, whether through the ownership of Voting Interests, by contract or otherwise. Notwithstanding the
foregoing, neither the Administrative Agent nor any Lender Party shall be deemed an Affiliate of the Borrower solely by reason of the transactions contemplated by the Loan Documents. 
  
 “Agents” has the meaning specified in the recital of parties to this Agreement.

  
 “Agreed Adjustments”
means (a) for the Measurement Period ended March 31, 2005, the adjustments reflected in Schedule III attached hereto, and (b) for any Measurement Period ending subsequent to March 31, 2005 but prior to the
Effective Date, adjustments for the items reflected in Schedule III determined and calculated in a 
  

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 manner consistent in all material respects with the methodology, assumptions and manner of calculation
utilized in determining the adjustments reflected in Schedule III, provided that the Agreed Adjustments for the items listed as “Transaction/Separation Adjustments” on Schedule III (as the same may be adjusted for periods
subsequent to March 31, 2005) shall not exceed $6.5 million (excluding the effect of any liabilities incurred after March 31, 2005 that are retained by the Seller and, from and after the Effective Date, will not be liabilities of the
Companies or the Borrower). 
  
 “Agreement Value” means, for each Hedge Agreement, on any date of determination, an amount determined by the Administrative Agent equal to the amount, if any, that would be payable by any Loan Party or any of its
Subsidiaries to its counterparty to such Hedge Agreement in accordance with its terms as if (i) such Hedge Agreement was being terminated early on such date of determination, (ii) such Loan Party or Subsidiary was the sole “Affected
Party” and (iii) the Administrative Agent was the sole party determining such payment amount. 
  
 “Applicable Facility Fee Rate” means (i) for the first six months following the Effective Date,  1/2 of 1% per annum and (ii) thereafter, a percentage per annum determined by reference to the
Leverage Ratio as set forth below: 
  

				
	 Leverage Ratio

	  	 Applicable
 Facility Fee Rate

	 
	 Level I
 less than 3.75:1.0
	  	0.375	%
	 Level II
 3.75:1.0 or greater but less than 4.25:1.0
	  	0.375	%
	 Level III
 4.25:1.0 or greater, but less than 4.75:1.0
	  	0.50	%
	 Level IV
 4.75:1.0 or greater
	  	0.50	%

  
 The
Applicable Facility Fee Rate shall be determined by reference to the Leverage Ratio in effect from time to time; provided, however, that (A) any reduction or increase in the Applicable Facility Fee Rate shall be effective one
Business Day after the date on which the Administrative Agent receives the financial statements required to be delivered pursuant to Section 5.03(b) or (c), as the case may be, and a certificate of the Chief Financial Officer of the Borrower
demonstrating such Leverage Ratio and (B) the Applicable Facility Fee Rate shall be at Level IV for so long as the Borrower has not submitted to the Administrative Agent the information described in clause (A) of this proviso as and
when required under Section 5.03(b) or (c), as the case may be. 
  
 “Applicable Lending Office” means, with respect to each Lender Party, such Lender Party’s Domestic Lending Office in the case of a Base Rate Advance and such Lender Party’s
Eurocurrency Lending Office in the case of a Eurocurrency Rate Advance. 
  

 Pregis Credit Agreement 
  
 3 

 “Applicable Margin” means 
  
 (a) in respect of the Term B-1 Facility, 1.25% per
annum for Base Rate Advances and 2.25% per annum for Eurocurrency Rate Advances, 
  
 (b) in respect of the Term B-2 Facility, 2.50% per annum, and 
  
 (c) in respect of the Revolving Credit Facility (including the Swing Line Facility), (i) for the first
six months following the Effective Date, 1.00% per annum for Base Rate Advances and 2.00% per annum for Eurocurrency Rate Advances and (ii) thereafter, a percentage per annum determined by reference to the
Leverage Ratio as set forth below: 
  

							
	 Leverage Ratio

	  	 Base Rate
 Advances

	 	 	 Eurocurrency
 Rate Advances

	 
	 Level I
 less than 3.75:1.0
	  	0.375	%	 	1.375	%
	 Level II
 3.75:1.0 or greater, but less than 4.25:1.0
	  	0.625	%	 	1.625	%
	 Level III
 4.25:1.0 or greater but less than 4.75:1.0
	  	0.75	%	 	1.75	%
	 Level IV
 4.75 or greater
	  	1.00	%	 	2.00	%

  
 The Applicable Margin
for each Base Rate Advance shall be determined by reference to the Leverage Ratio in effect from time to time and the Applicable Margin for each Eurocurrency Rate Advance shall be determined by reference to the Leverage Ratio in effect on the first
day of each Interest Period for such Advance; provided, however, that (A) any reduction or increase in the Applicable Margin shall be effective one Business Day after the date on which the Administrative Agent receives the
financial statements required to be delivered pursuant to Section 5.03(b) or (c), as the case may be, and a certificate of the Chief Financial Officer of the Borrower demonstrating such Leverage Ratio and (B) the Applicable Margin shall be
at Level IV (in the case of the Revolving Credit Facility) for so long as the Borrower has not submitted to the Administrative Agent the information described in clause (A) of this proviso as and when required under Section 5.03(b) or
(c), as the case may be. 
  
 “Applicable Prepayment Percentage” means, (i) with respect to any cash receipts from a transaction described in clause (a), (b) or (d) of the definition of “Net Cash Proceeds,” 100% of
the amount of such Net Cash Proceeds and (ii) with respect to any cash receipts from a transaction described in clause (c) of the definition of “Net Cash Proceeds,” 50% of the amount of such Net Cash Proceeds (or, if the
Leverage Ratio as of the end of the fiscal quarter most recently ended prior to the receipt of such Net Cash Proceeds is 4.00:1.00 or lower, 0%). 
  

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 “Applicable Subsidiary” means any Subsidiary of the Borrower as
to which the Administrative Agent and the Issuing Bank shall have received, at least five Business Days prior to any requested issuance of a Letter of Credit for the account of such Subsidiary, all documentation and other information required by
regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including without limitation the Patriot Act. 
  
 “Appropriate Lender” means, at any time, with respect to (a) any of the Term
B-1 Facility, the Term B-2 Facility or the Revolving Credit Facility, a Lender that has a Commitment with respect to such Facility at such time, (b) the Letter of Credit Facility, (i) the Issuing Bank and (ii) if the other Revolving
Credit Lenders have made Letter of Credit Advances pursuant to Section 2.03(c) that are outstanding at such time, each such other Revolving Credit Lender and (c) the Swing Line Facility, (i) the Swing Line Bank and (ii) if the
other Revolving Credit Lenders have made Swing Line Advances pursuant to Section 2.02(b) that are outstanding at such time, each such other Revolving Credit Lender. 
  
 “Approved Fund” means any Fund that is administered or managed by (i) a Lender
Party, (ii) an Affiliate of a Lender Party or (iii) an entity or an Affiliate of an entity that administers or manages a Lender Party. 
  
 “Arrangers” means CS and LBI in their capacities as joint lead arrangers in respect of the Facilities. 

 
 “Assignment and Acceptance” means
an assignment and acceptance entered into by a Lender Party and an Eligible Assignee (with the consent of any party whose consent is required by Section 9.07 or by the definition of “Eligible Assignee”), and accepted by
the Administrative Agent, in accordance with Section 9.07 and in substantially the form of Exhibit C hereto or any other form approved by the Administrative Agent. 
  
 “Assuming Lender” has the meaning specified in Section 2.17(d). 
  
 “Assumption Agreement” has the
meaning specified in Section 2.17(e). 
  
 “Available Amount” of any Letter of Credit means, at any time, the maximum amount (expressed in Dollars and including the Equivalent in Dollars at such time of any such amount denominated in any Foreign Currency)
available to be drawn under such Letter of Credit at such time (assuming compliance at such time with all conditions to drawing). 
  
 “Bankruptcy Law” means Title 11, U.S. Code, or any similar foreign, federal or state law for the relief of
debtors. 
  

 Pregis Credit Agreement 
  
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 “Base Rate” means a fluctuating interest rate per annum in
effect from time to time, which rate per annum shall at all times be equal to the higher of: 
  
 (a) the rate of interest announced publicly by CS in New York, New York, from time to time, as CS’s prime rate for Dollars
loaned in the United States; and 
  
 (b)  1/2 of 1% per annum above the Federal Funds Rate. 
  
 “Base Rate Advance” means a Term B-1
Advance, a Dollar Revolving Credit Advance, a Swing Line Advance or a Letter of Credit Advance (in each case, denominated in Dollars) that bears interest as provided in Section 2.07(a)(i). 
  
 “Borrower” has the meaning specified
in the recital of parties to this Agreement. 
  
 “Borrower’s Account” means the account of the Borrower specified by the Borrower in writing to the Administrative Agent from time to time. 
  
 “Borrowing” means a Term B-1 Borrowing, a Term B-2 Borrowing, a Revolving Credit
Borrowing or a Swing Line Borrowing. 
  
 “Business” has the meaning specified in the Preliminary Statements. 
  
 “Business Day” means a day of the year (a) on which banks are not required or authorized by law to close in
New York City and (b) (i) if the applicable Business Day relates to any Eurocurrency Rate Advances denominated in Dollars, on which dealings are carried on in the London interbank market or (ii) if the applicable Business Day
relates to any Eurocurrency Rate Advances denominated in Euros, any day that is a TARGET Day. 
  
 “Capex Carryover” has the meaning specified in Section 5.02(o). 
  
 “Capital Expenditures” means, for
any Person for any period, the sum of, without duplication, (a) all expenditures made, directly or indirectly, by such Person or any of its Subsidiaries during such period for equipment, fixed assets, real property or improvements, or for
replacements or substitutions therefor or additions thereto, that have been or should be, in accordance with GAAP, reflected as additions to property, plant or equipment on a Consolidated balance sheet of such Person or have a useful life of more
than one year plus (b) the aggregate principal amount of all Debt (including Obligations under Capitalized Leases) assumed or incurred in connection with any such expenditures; provided that, solely for purposes of Section 5.02(o),
the term “Capital Expenditures” shall not include (i) expenditures made in connection with the replacement, substitution or restoration of assets (A) to the extent financed from insurance proceeds paid on account of
the loss of or damage to the assets being replaced or restored or (B) with awards of compensation arising from the taking by eminent domain or condemnation of the assets being replaced, (ii) the trade-in value of existing equipment to the
extent that the gross amount of the purchase price of equipment that is purchased simultaneously with the trade-in of such existing equipment is reduced by the credit granted by the seller 

  

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 6 

 
of such equipment, (iii) Investments permitted by Section 5.02(f)(vii) or (iv) the expenditures listed on Schedule IV hereto and made in
connection with the Acquisition, not to exceed $15,000,000 in the aggregate. 
  
 “Capitalized Leases” means all leases that have been or should be, in accordance with GAAP, recorded as capitalized leases. 
  
 “Cash Equivalents” means any of the following, to the extent owned by the Borrower
or any of its Subsidiaries free and clear of all Liens other than Liens created under the Collateral Documents and Liens securing the Floating Rate Notes that are subject to the terms of the Intercreditor Agreement: (a) United States dollars
and any other currency that is convertible into U.S. dollars without legal restrictions and which is used by the Borrower or any of its Restricted Subsidiaries in the ordinary course of business; (b) securities issued or directly and fully
guaranteed or insured by the United States government or any agency or instrumentality thereof (provided that the full faith and credit of the United States is pledged in support thereof), maturing not more than one year from the date of
acquisition; (c) certificates of deposit and eurodollar time deposits with maturities of one year or less from the date of acquisition, bankers’ acceptances with maturities not exceeding one year and overnight bank deposits, in each case,
with any United States federal or state commercial bank (i) having capital and surplus in excess of $500,000,000 (or the foreign currency equivalent thereof) and (ii) that issues commercial paper with a rating at the time of acquisition of
such certificates of deposit or time deposits of P-1 or better from Moody’s Investors Service, Inc. or A-1 or better from Standard & Poor’s Rating Services; (d) repurchase obligations with a term of not more than 30 days for
underlying securities of the types described in clauses (b) and (c) above and (f) below entered into with any financial institution meeting the qualifications specified in clause (c) above; (e) commercial paper having the
highest rating obtainable from Moody’s Investors Service, Inc. or Standard & Poor’s Rating Services and in each case maturing within one year after the date of acquisition; (f) securities issued and fully guaranteed by any
state, commonwealth or territory of the United States of America, or by any political subdivision or taxing authority thereof, rated at least “A” by Moody’s Investors Service, Inc. or Standard & Poor’s Rating Services
and having maturities of not more than two years from the date of acquisition; (g) money market funds substantially all of the assets of which constitute Cash Equivalents of the kinds described in clauses (a) through (f) of this
definition; and (h) in the case of any Foreign Subsidiary, investments denominated in the currency of the jurisdiction in which such Foreign Subsidiary is organized or has its principal place of business which otherwise meet the requirements
specified in clauses (c), (d) and (e) above. 
  
 “CERCLA” means the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended from time to time. 
  

“CERCLIS” means the Comprehensive Environmental Response, Compensation and Liability Information System
maintained by the U.S. Environmental Protection Agency. 
  

 Pregis Credit Agreement 
  
 7 

 “CFC” means an entity that is a controlled foreign corporation of
the Parent under Section 957 of the Internal Revenue Code. 
  
 “Change of Control” means the occurrence of any of the following: (a) the Sponsor shall cease to own 51% the Voting Interests in the Parent; or (b) any Person or two or more Persons
acting in concert other than the Sponsor shall have acquired beneficial ownership (within the meaning of Rule 13d-3 of the Securities and Exchange Commission under the Securities Exchange Act of 1934), directly or indirectly, of Voting
Interests of the Parent (or other securities convertible into such Voting Interests) representing 45% or more of the combined voting power of all Voting Interests of the Parent; or (c) during any period of up to 24 consecutive months,
commencing after the date of this Agreement, Continuing Directors shall cease for any reason to constitute a majority of the board of directors of the Parent; or (d) any Person or two or more Persons acting in concert other than the Sponsor
shall have acquired, by contract or otherwise, the power to exercise, directly or indirectly, a controlling influence over the management or policies of the Parent; or (e) the Parent shall cease to own 100% of the Equity Interests in the
Borrower. 
  
 “Co-Documentation
Agents” has the meaning specified in the Preliminary Statements. 
  
 “Collateral” means all “Collateral” and “Mortgaged Property” referred to in the Collateral Documents and all other property that is or is intended to be subject to any Lien
in favor of the Collateral Agent for the benefit of the Secured Parties. 
  
 “Collateral Agent” has the meaning specified in the recital of parties to this Agreement. 
  
 “Collateral Agent’s Office” means, with respect to the Collateral Agent or any successor Collateral Agent,
the office of such Agent as such Agent may from time to time specify to the Borrower and the Administrative Agent. 
  
 “Collateral Documents” means the Security Agreement, the Mortgages, the Intellectual Property Security Agreement,
the Foreign Collateral Documents, each of the collateral documents, instruments and agreements delivered pursuant to Section 5.01(j), and each other agreement that creates or purports to create a Lien in favor of the Collateral Agent for the
benefit of the Secured Parties. 
  
 “Commitment” means a Term B-1 Commitment, a Term B-2 Commitment, a Revolving Credit Commitment or a Letter of Credit Commitment. 
  
 “Commitment Date” has the meaning specified in Section 2.17(b). 
  
 “Companies” has the meaning
specified in the Preliminary Statements. 
  
 “Company Material Adverse Effect” means a material adverse effect on the business, assets, liabilities, financial condition or results of operations of the Companies (taken as a whole) other than an effect resulting
from (i) any change generally applicable 

  

 Pregis Credit Agreement 
  
 8 

 
to participants in any market in which the Companies conduct business, or the national or international economy, except to the extent such changes have a
materially disproportionate impact on the Companies (taken as a whole), (ii) earthquakes, acts of war (whether or not declared), sabotage or terrorism, military actions or escalation thereof, or (iii) any changes in the applicable laws,
regulations or accounting rules or interpretation thereof. 
  
 “Confidential Information” means information that any Loan Party furnishes to any Agent or any Lender Party in a writing designated as confidential, but does not include any such information
that is or becomes generally available to the public other than as a result of a breach by such Agent or any Lender Party of its obligations hereunder or that is or becomes available to such Agent or such Lender Party from a source other than the
Loan Parties that is not, to the best of such Agent’s or such Lender Party’s knowledge, acting in violation of a confidentiality agreement with a Loan Party. 
  
 “Consolidated” refers to the consolidation of accounts in accordance with GAAP.

  
 “Consolidated Net
Income” means, with respect to any specified Person for any period, the aggregate of the net income (or net loss) of such Person and its Subsidiaries for such period, on a consolidated basis, determined in accordance with GAAP;
provided that: (a) the net income or loss of any Person that is not a Subsidiary or that is accounted for by the equity method of accounting will be included only to the extent of the amount of dividends or distributions paid in cash to
the specified Person or a Subsidiary thereof; (b) solely for purposes of Section 5.02(g), the net income of any Subsidiary (other than a Guarantor) will be excluded to the extent that the declaration or payment of dividends or similar
distributions by that Subsidiary of that net income is not at the date of determination permitted without any prior governmental approval (that has not been obtained) or, directly or indirectly, by operation of the terms of its charter or any
agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to that Subsidiary or its equityholders, except to the extent that such net income is actually paid in cash to the Borrower or its Subsidiaries;
(c) the Net Income of any Person acquired during the specified period for any period prior to the date of such acquisition will be excluded; (d) any non-cash impact attributable to the application of the purchase method of accounting in
accordance with GAAP in connection with the Acquisition (including, without limitation, the total amount of depreciation and amortization, cost of sales and other non-cash expense resulting from the write-up of assets for such period on a
consolidated basis in accordance with GAAP to the extent such non-cash expense results from such purchase accounting adjustments) will be disregarded; (e) costs and expenses incurred by the Borrower or any of its Subsidiaries during any period
in connection with the consummation of any Exchange Offer will be disregarded; (f) any non-cash compensation charge, including any such charge arising from the grant of or issuance of stock, stock options or other equity based awards, will be
disregarded; (g) any net after-tax extraordinary gains or losses (including, without limitation, severance, relocation, transition and other restructuring costs) will be disregarded; (h) any non-cash, unrealized foreign currency conversion
gains and losses will be disregarded; (i) any non-cash, unrealized gains and losses resulting from hedging transactions will be disregarded; and (j) any impairment charge or asset write-off 

  

 Pregis Credit Agreement 
  
 9 

 
pursuant to Financial Accounting Standards Board Statements Nos. 142 and No. 144 and the amortization of intangibles arising pursuant to Financial
Accounting Standards Board No. 141 will be excluded. 
  
 “Continuing Directors” means the directors of the Parent on the Effective Date and each other director if, in each case, such other director’s nomination for election to the board of
directors of the Parent is recommended by at least a majority of then Continuing Directors. 
  
 “Conversion”, “Convert” and “Converted” each refer to a conversion
of Advances of one Type into Advances of the other Type pursuant to Section 2.09 or 2.10. 
  
 “CS” has the meaning specified in the recital of parties to this Agreement. 
  
 “Cure Amount” has the meaning
specified in Section 5.04(c). 
  
 “Cure Right” has the meaning specified in Section 5.04(c). 
  
 “Current Assets” of any Person means all assets of such Person that would, in accordance with GAAP, be classified
as current assets of such Person, after deducting adequate reserves in each case in which a reserve is proper in accordance with GAAP, excluding the current portion of deferred income taxes. 
  
 “Current Liabilities” of any Person
means all items (including taxes accrued as estimated) that in accordance with GAAP would be classified as current liabilities of such Person, excluding the current portion of long-term debt, excluding the current portion of deferred income
taxes. 
  
 “Debt” of any
Person means, without duplication, (a) all indebtedness of such Person for borrowed money, (b) all Obligations of such Person for the deferred purchase price of property or services (other than trade payables not overdue by more than 60
days incurred in the ordinary course of such Person’s business), (c) all Obligations of such Person evidenced by notes, bonds, debentures or other similar instruments, (d) all Obligations of such Person created or arising under any
conditional sale or other title retention agreement with respect to property acquired by such Person (even though the rights and remedies of the seller or lender under such agreement in the event of default are limited to repossession or sale of
such property), (e) all Obligations of such Person as lessee under Capitalized Leases, (f) all Obligations of such Person under acceptance, letter of credit or similar facilities, (g) all Obligations of such Person to purchase,
redeem, retire, defease or otherwise make any payment in respect of any Equity Interests in such Person or any other Person or any warrants, rights or options to acquire such Equity Interests, in each case to the extent such payment is or may be
required to be made prior to the date that is one year after the Termination Date in respect of the Term B Facilities, valued, in the case of Redeemable Preferred Interests, at the greater of its voluntary or involuntary liquidation preference
plus accrued and unpaid dividends, (h) all Obligations of such Person in respect of Hedge Agreements, valued at the Agreement Value thereof, (i) all Guaranteed Debt and Synthetic Debt of such Person and (j) all indebtedness and
other payment Obligations referred to in clauses (a) through (i) above of another Person 

  

 Pregis Credit Agreement 
  
 10 

 
secured by (or for which the holder of such Debt has an existing right, contingent or otherwise, to be secured by) any Lien on property (including, without
limitation, accounts and contract rights) owned by such Person, even though such Person has not assumed or become liable for the payment of such indebtedness or other payment Obligations. The term “Debt” shall not include any
obligation to make the working capital adjustment pursuant to Section 2.4(b) of the Acquisition Agreement. 
  
 “Debt for Borrowed Money” of any Person means, at any date of determination, the sum of (i) all items that,
in accordance with GAAP, would be classified as indebtedness on a Consolidated balance sheet of such Person at such date and (ii) all Synthetic Debt of such Person at such date. 
  
 “Declining Revolving Credit Lender” has the meaning specified in
Section 2.05(c). 
  
 “Default” means any Event of Default or any event that would constitute an Event of Default but for the passage of time or the requirement that notice be given or both. 
  
 “Default Interest” has the meaning
set forth in Section 2.07(b). 
  
 “Defaulted Advance” means, with respect to any Lender Party at any time, the portion of any Advance required to be made by such Lender Party to the Borrower pursuant to Section 2.01 or 2.02 at or prior to such
time that has not been made by such Lender Party or by the Administrative Agent for the account of such Lender Party pursuant to Section 2.02(e) as of such time. In the event that a portion of a Defaulted Advance shall be deemed made pursuant
to Section 2.15(a), the remaining portion of such Defaulted Advance shall be considered a Defaulted Advance originally required to be made pursuant to Section 2.01 on the same date as the Defaulted Advance so deemed made in part.

  
 “Defaulted Amount”
means, with respect to any Lender Party at any time, any amount required to be paid by such Lender Party to any Agent or any other Lender Party hereunder or under any other Loan Document at or prior to such time that has not been so paid as of such
time, including, without limitation, any amount required to be paid by such Lender Party to (a) the Swing Line Bank pursuant to Section 2.02(b) to purchase a portion of a Swing Line Advance made by the Swing Line Bank, (b) the Issuing
Bank pursuant to Section 2.03(c) to purchase a portion of a Letter of Credit Advance made by the Issuing Bank, (c) the Administrative Agent pursuant to Section 2.02(e) to reimburse the Administrative Agent for the amount of any
Advance made by the Administrative Agent for the account of such Lender Party, (d) any other Lender Party pursuant to Section 2.13 to purchase any participation in Advances owing to such other Lender Party and (e) any Agent or the
Issuing Bank pursuant to Section 7.05 to reimburse such Agent or the Issuing Bank for such Lender Party’s ratable share of any amount required to be paid by the Lender Parties to such Agent or the Issuing Bank as provided therein. In the
event that a portion of a Defaulted Amount shall be deemed paid pursuant to Section 2.15(b), the remaining portion of such Defaulted Amount shall be considered a Defaulted Amount originally required to be paid hereunder or under any other Loan
Document on the same date as the Defaulted Amount so deemed paid in part. 
  

 Pregis Credit Agreement 
  
 11 

 “Defaulting Lender” means, at any time, any Lender Party that, at
such time, (a) owes a Defaulted Advance or a Defaulted Amount or (b) shall take any action or be the subject of any action or proceeding of a type described in Section 6.01(f). 
  
 “Distribution Agreement” means the
distribution agreement dated as of the date hereof between the Seller and Pactiv (UK) Limited. 
  
 “Dollar” and “$” each means lawful currency of the United States of America. 

 
 “Dollar Revolving Credit Advance”
has the meaning specified in Section 2.01(c). 
  
 “Dollar Revolving Credit Borrowing” means a borrowing consisting of simultaneous Dollar Revolving Credit Advances of the same Type made by the Revolving Credit Lenders. 
  
 “Domestic Lending Office” means,
with respect to any Lender Party, the office of such Lender Party specified as its “Domestic Lending Office” opposite its name on Schedule I hereto or in the Assignment and Acceptance or Assumption Agreement pursuant to which it
became a Lender Party, as the case may be, or such other office of such Lender Party as such Lender Party may from time to time specify to the Borrower and the Administrative Agent. 
  
 “EBITDA” means, for any period, the sum (without duplication), determined on a
Consolidated basis, of (a) Consolidated Net Income, (b) interest expense, (c) income tax expense, (d) depreciation expense, (e) amortization expense, (f) costs and expenses incurred in connection with (i) the
Transaction, (ii) acquisitions consummated during such Period in compliance with Section 5.02(f) and (iii) issuances of Equity Interests permitted by the terms of the Loan Documents, (g) other non-cash items reducing Consolidated
Net Income that do not represent a reserve against a future cash charge, (h) the amount of management, consulting, monitoring, transaction and advisory fees and related expenses paid to the Sponsor (or any accruals related to such fees and
related expenses) during such period in accordance with the Management Agreement and (i) unusual and non-recurring charges (including, without limitation, expenses in connection with actual and proposed acquisitions, equity offerings, issuances
and retirements of Debt and divestitures of assets, whether or not any such acquisition, equity offering, issuance or retirement or divestiture is actually consummated during such period) that do not exceed, in the aggregate, 5% of EBITDA for such
period (as determined prior to giving effect to any amount added to Consolidated Net Income in calculating EBITDA for such period pursuant to this clause (i)), provided that with respect to each unusual or non-recurring charge, the Borrower
shall have delivered to the Administrative Agent an officer’s certificate specifying and quantifying such charge and stating that such charge is an unusual and non-recurring charge of the type referred to in this clause (i), in each case under
clauses (a) through (i) only to the extent such item was deducted in arriving at Consolidated Net Income for such period minus (i) non-cash items increasing net income 

  

 Pregis Credit Agreement 
  
 12 

 
for such period, in each case with respect to clauses (a) through (i), of the Borrower and its Subsidiaries, determined in accordance with GAAP;
provided that (1) the EBITDA (and adjustments thereto as set forth above) of any Person, or attributable to any assets, acquired by the Parent or the Borrower or any of their respective Subsidiaries during such Measurement Period shall
be included on a pro forma basis (as though such acquisition and the assumption of any Indebtedness in connection therewith occurred on the first day of such Measurement Period) and (2) the EBITDA (and adjustments thereto as set forth
above) of any Person, or attributable to any division or similar business unit, disposed of by the Parent, the Borrower or any of their respective Subsidiaries during such Measurement Period will be excluded on a pro forma basis (as though
the consummation of such disposition has occurred on the first day of such Measurement Period), in each case, as determined in good faith by the Chief Financial Officer of the Borrower and, for any fiscal period ending on or prior to the first
anniversary of an asset acquisition, asset disposition, discontinued operation or operational change may include adjustments to reflect operating expense reductions and other operating improvements or synergies reasonably expected to result from
such asset acquisition, asset disposition or other similar transaction that would be (A) includable in pro forma financial statements prepared in accordance with Regulation S-X under the Securities Act or (B) not be
includable in pro forma financial statements prepared in accordance with Regulation S-X but for which substantially all of the steps necessary for the realization thereof have been taken or are reasonably anticipated by the Borrower to
be taken in the next 12 month period following the consummation thereof and are estimated on a good faith basis by the Borrower as set forth in a certificate of an officer of the Borrower; provided further that for each Measurement Period
ended on or after March 31, 2005 but prior to the Effective Date, EBITDA shall be calculated reflecting the Agreed Adjustments, in four equal parts over the course of such Measurement Period, one-fourth of such Agreed Adjustments in each fiscal
quarter comprising such Measurement Period. For purposes of determining EBITDA under this Agreement for any period that includes any of the fiscal quarters ending September 30, 2004, December 31, 2004, March 31, 2005 and
June 30, 2005, EBITDA for such fiscal quarter shall be deemed to be $24,009,000, $23,007,000, $17,366,000 and $20,022,000, respectively. 
  
 “Effective Date” has the meaning specified in Section 3.01. 
  
 “Eligible Assignee” means
(a) in the case of an assignment under a Term Facility (or in connection with an offer to participate in any Incremental Term Facility pursuant to Section 2.17), (i) a Lender Party; (ii) an Affiliate of a Lender Party;
(iii) an Approved Fund; and (iv) any other Person (other than an individual) approved by the Administrative Agent, (b) in the case of an assignment under the Revolving Credit Facility, (i) a Revolving Credit Lender; and
(ii) any other Person (other than an individual) approved by the Administrative Agent, the Swing Line Bank, the Issuing Bank and, unless an Event of Default has occurred and is continuing, the Borrower (each such approval not to be unreasonably
withheld or delayed) and (c) in the case of an assignment under the Letter of Credit Facility, a Person that is an Eligible Assignee under clause (b) of this definition and is approved by the Administrative Agent and, unless an Event of
Default has occurred and is continuing, the Borrower; provided, however, that neither any Loan Party nor any Affiliate of a Loan Party shall qualify as an Eligible Assignee under this definition. 
  

 Pregis Credit Agreement 
  
 13 

 “Environmental Action” means any action, suit, demand, demand
letter, claim, notice of non-compliance or violation, notice of liability or potential liability, investigation, proceeding, consent order or consent agreement relating in any way to any Environmental Law, any Environmental Permit or Hazardous
Material or arising from alleged injury or threat to health, safety or the environment, including, without limitation, (a) by any governmental or regulatory authority for enforcement, cleanup, removal, response, remedial or other actions or
damages and (b) by any governmental or regulatory authority or third party for damages, contribution, indemnification, cost recovery, compensation or injunctive relief. 
  
 “Environmental Law” means any Federal, state, local or foreign statute, law,
ordinance, rule, regulation, code, order, writ, judgment, injunction, decree or judicial or administrative law judge opinion relating to pollution or protection of the environment, worker health or safety or natural resources, including, without
limitation, those relating to the use, handling, transportation, treatment, storage, disposal, release or discharge of Hazardous Materials. 
  
 “Environmental Permit” means any permit, approval, identification number, license or other authorization required
under any Environmental Law. 
  
 “Equity Contribution” has the meaning specified in the Preliminary Statements. 
  
 “Equity Interests” means, with respect to any Person, shares of capital stock of (or other ownership or profit
interests in) such Person, warrants, options or other rights for the purchase or other acquisition from such Person of shares of capital stock of (or other ownership or profit interests in) such Person, 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 other acquisition from such Person of such shares (or such other interests), and other ownership or profit
interests in such Person (including, without limitation, partnership, member or trust interests therein), whether voting or nonvoting, and whether or not such shares, warrants, options, rights or other interests are authorized or otherwise existing
on any date of determination. 
  
 “Equity Investors” means the Sponsor and the other Persons listed on Schedule 4.01(a) hereto. 
  
 “Equivalent” in Dollars of any Foreign Currency on any date, means the amount of Dollars which could be exchanged
with the amount of the Foreign Currency involved in such computation at (a) the spot exchange rate as set forth at approximately 11:00 A.M. (London time) on the Bloomberg Key Cross Currency Rates Page on the date one Business Day prior to any
such determination or (b) if the provisions of the foregoing clause (a) are not applicable, the “official” exchange rate (if applicable) or the spot exchange rate for such Foreign Currency in question calculated by the
Administrative Agent (each such exchange rate described in the preceding clauses (a) and (b), the “Spot Exchange Rate”). 
  

 Pregis Credit Agreement 
  
 14 

 “ERISA” means the Employee Retirement Income Security Act of
1974, as amended from time to time, and the regulations promulgated and rulings issued thereunder. 
  
 “ERISA Affiliate” means any Person that for purposes of Title IV of ERISA is a member of the controlled group
of any Loan Party, or under common control with any Loan Party, within the meaning of Section 414 (b) or (c) of the Internal Revenue Code and Sections 414(m) and (o) of the Internal Revenue Code for purposes of provisions
relating to Section 412 of the Internal Revenue Code. 
  
 “ERISA Event” means (a)(i) the occurrence of a reportable event, within the meaning of Section 4043 of ERISA, with respect to any Plan unless the 30-day notice requirement with
respect to such event has been waived by the PBGC or (ii) the requirements of Section 4043(b) of ERISA apply with respect to a contributing sponsor, as defined in Section 4001(a)(13) of ERISA, of a Plan, and an event described in
paragraph (9), (10), (11), (12) or (13) of Section 4043(c) of ERISA is reasonably expected to occur with respect to such Plan within the following 30 days; (b) the application for a minimum funding waiver with respect to a
Plan; (c) the provision by the administrator of any Plan of a notice of intent to terminate such Plan, pursuant to Section 4041(a)(2) of ERISA (including any such notice with respect to a plan amendment referred to in Section 4041(e)
of ERISA); (d) the cessation of operations at a facility of any Loan Party or any ERISA Affiliate in the circumstances described in Section 4062(e) of ERISA; (e) the withdrawal by any Loan Party or any ERISA Affiliate from a Multiple
Employer Plan during a plan year for which it was a substantial employer, as defined in Section 4001(a)(2) of ERISA; (f) the conditions for imposition of a lien under Section 302(f) of ERISA shall have been met with respect to any
Plan; (g) the adoption of an amendment to a Plan requiring the provision of security to such Plan pursuant to Section 307 of ERISA; or (h) the institution by the PBGC of proceedings to terminate a Plan pursuant to Section 4042 of
ERISA, or the occurrence of any event or condition described in Section 4042 of ERISA that constitutes grounds for the termination of, or the appointment of a trustee to administer, such Plan. 
  
 “Escrow Bank” has the meaning
specified in Section 2.15(c). 
  
 “Euro” and “€” each means the lawful currency of the European Union as constituted by the Treaty of Rome which established the European Community, as such treaty may be amended from time
to time and as referred to in the EMU legislation. 
  
 “Euro Revolving Credit Advance” has the meaning specified in Section 2.01(d). 
  
 “Euro Revolving Credit Borrowing” means a borrowing consisting of simultaneous Euro Revolving Credit Advances of
the same Type made by the Revolving Credit Lenders. 
  

 Pregis Credit Agreement 
  
 15 

 “Eurocurrency Lending Office” means, with respect to any Lender
Party, the office of such Lender Party specified as its “Eurocurrency Lending Office” opposite its name on Schedule I hereto or in the Assignment and Acceptance or Assumption Agreement pursuant to which it became a Lender Party (or,
if no such office is specified, its Domestic Lending Office), or such other office of such Lender Party as such Lender Party may from time to time specify to the Borrower and the Administrative Agent. 
  
 “Eurocurrency Liabilities” has the
meaning specified in Regulation D of the Board of Governors of the Federal Reserve System, as in effect from time to time. 
  
 “Eurocurrency Rate” means, for any Interest Period for all Eurocurrency Rate Advances comprising part of the same
Borrowing, an interest rate per annum equal to the rate per annum obtained by dividing 
  
 (a) the rate per annum (i) with respect to Advances denominated in Dollars or Pounds Sterling, determined by the
Administrative Agent at approximately 11:00 A.M. London time, on the date that is two Business Days prior to the commencement of such Interest Period by reference to the British Bankers’ Association Interest Settlement Rates for deposits in
Dollars or Pounds Sterling (as set forth by the Bloomberg Information Service or any successor thereto or any other service selected by the Administrative Agent which has been nominated by the British Bankers’ Association as an authorized
information vendor for the purpose of displaying such rates) and (ii) with respect to Advances denominated in Euros, determined by the Administrative Agent at approximately 11:00 A.M. London time, on the date that is two Business Days prior to
the commencement of such Interest Period by reference to the British Bankers’ Association Interest Settlement Rates for deposits in Euros, in each case, at 11:00 A.M. (London time) two Business Days before the first day of such Interest
Period for a period equal to such Interest Period (provided that, if for any reason such rate is not available, the term “Eurocurrency Rate” shall mean, for any Interest Period for all Eurocurrency Rate Advances comprising part of
the same Borrowing, the rate per annum determined by the Administrative Agent to be the average of the rates per annum at which deposits in the applicable currency are offered for such relevant Interest Period to major banks in the London
interbank market in London, England by the Administrative Agent at approximately 11:00 a.m. (London time) on the date that is two Business Days prior to the beginning of such Interest Period) by 
  
 (b) a percentage equal to 100% minus the Eurocurrency Rate
Reserve Percentage for such Interest Period. 
  
 “Eurocurrency Rate Advance” means an Advance that bears interest as provided in Section 2.07(a)(ii). 
  
 “Eurocurrency Rate Reserve Percentage” for any Interest Period for all Eurocurrency Rate Advances comprising part
of the same Borrowing means the reserve percentage applicable two Business Days before the first day of such Interest Period 

  

 Pregis Credit Agreement 
  
 16 

 
under regulations issued from time to time by the Board of Governors of the Federal Reserve System (or any successor) for determining the maximum reserve
requirement (including, without limitation, any emergency, supplemental or other marginal reserve requirement) for a member bank of the Federal Reserve System in New York City with respect to liabilities or assets consisting of or including
Eurocurrency Liabilities (or with respect to any other category of liabilities that includes deposits by reference to which the interest rate on Eurocurrency Rate Advances is determined) having a term equal to such Interest Period. 
  
 “Events of Default” has the meaning
specified in Section 6.01. 
  
 “Excess Cash Flow” means, for any period, 
  
 (a) the sum, without duplication, of: 
  
 (i) Consolidated Net Income of the Borrower and its Subsidiaries for such period plus 
  
 (ii) the aggregate amount of all non-cash charges deducted in arriving at such Consolidated Net Income plus 
  
 (iii) if there was a net increase in Consolidated Current
Liabilities of the Borrower and its Subsidiaries during such period, the amount of such net increase plus 
  
 (iv) if there was a net decrease in Consolidated Current Assets (excluding cash and Cash Equivalents) of the Borrower and its
Subsidiaries during such period, the amount of such net decrease plus 
  
 (v) the aggregate amount of loans and advances to employees repaid in cash during such period plus 
  
 (vi) any extraordinary gain realized in cash during such period (whether or not accrued in such period) and excluded from Consolidated
Net Income; minus 
  
 (b) the sum, without
duplication, of: 
  
 (i) the aggregate amount of
all non-cash credits included in arriving at such Consolidated net income (or loss) plus 
  
 (ii) if there was a net decrease in Consolidated Current Liabilities of the Borrower and its Subsidiaries during such period, the amount
of such net decrease plus 
  
 (iii) if
there was a net increase in Consolidated Current Assets (excluding cash and Cash Equivalents) of the Borrower and its Subsidiaries during such period, the amount of such net increase plus 
  

 Pregis Credit Agreement 
  
 17 

 (iv) any extraordinary loss or charge realized in cash during such period (whether or
not accrued in such period) and excluded from Consolidated Net Income plus 
  
 (v) the aggregate amount of Capital Expenditures of the Borrower paid in cash during such period solely to the extent permitted by this
Agreement plus 
  
 (vi) the aggregate
amount of all regularly scheduled principal payments of Funded Debt made during such period (other than as a result of the receipt of Net Cash Proceeds pursuant to Section 2.06(b)) plus 
  
 (vii) the aggregate amount of Investments permitted by
Section 5.02(f)(vii), (viii) or (ix) made by the Borrower in cash during such period plus 
  
 (viii) the aggregate amount of loans and advances to employees permitted by Section 5.02(f)(ii) made by the Borrower in cash during
such period plus 
  
 (ix) the aggregate
amount of dividends paid by the Borrower in cash during such period in connection with repurchases of stock of the Parent from employees permitted by Section 5.02(g)(ii)(C) plus 
  
 (x) the aggregate amount of dividends paid by the Borrower
in cash during such period permitted by Section 5.02(g)(ii)(A), (B) and (D) plus 
  
 (xi) the aggregate principal amount of all commitment reductions in the Revolving Credit Facility made during such period or, if less,
the amount of mandatory prepayments of the Revolving Credit Facility pursuant to Section 2.06(b)(iv) resulting from such commitment reductions plus 
  

(xii) the aggregate principal amount of all mandatory prepayments of the Term Facilities made during such period pursuant to
Section 2.06(b)(ii) in respect of Net Cash Proceeds of the type described in clause (a) of the definition thereof to the extent that the applicable Net Cash Proceeds were taken into account in calculating such Consolidated net income (or
loss) for such period. 
  
 “Exchange
Offer” means the exchange offer in respect of the Floating Rate Notes contemplated by the Floating Rate Indenture and the exchange offer in respect of the Senior Subordinated Notes contemplated by the Senior Subordinated Notes
Indenture. 
  
 “Existing
Debt” means Debt of each Loan Party and its Subsidiaries outstanding immediately before the occurrence of the Effective Date. 
  

 Pregis Credit Agreement 
  
 18 

 “Existing Termination Date” has the meaning specified in
Section 2.05(c). 
  
 “Extended
Revolving Credit Commitment” has the meaning specified in Section 2.05(c). 
  
 “Extending Revolving Credit Lender” has the meaning specified in Section 2.05(c). 
  
 “Extraordinary Receipt” means any
cash received by or paid to or for the account of any Person that constitutes proceeds of insurance or condemnation awards (and payments in lieu thereof). 
  
 “Facility” means the Term B-1 Facility, the Term B-2 Facility, any Incremental Term Facility, the Revolving Credit
Facility, the Swing Line Facility or the Letter of Credit Facility. 
  
 “Federal Funds Rate” means, for any period, a fluctuating interest rate per annum equal for each day during such period to the weighted average of the rates on overnight Federal funds
transactions with members of the Federal Reserve System arranged by Federal funds brokers, as published for such day (or, if such day is not a Business Day, for the next preceding Business Day) by the Federal Reserve Bank of New York, or, if
such rate is not so published for any day that is a Business Day, the average of the quotations for such day for such transactions received by the Administrative Agent from three Federal funds brokers of recognized standing selected by it.

  
 “Fee Letter” means
the fee letter dated June 22, 2005 among the Borrower, CS, LBI and LCPI, as amended. 
  
 “Fee Mortgages” has the meaning specified in Section 3.01(a)(iii). 
  
 “Financial Performance Covenants”
means the covenants set forth in Section 5.04. 
  
 “Fiscal Year” means a fiscal year of the Borrower and its Consolidated Subsidiaries ending on December 31 in any calendar year. 
  
 “Floating Rate Indenture” means the Indenture dated October 12, 2005 between
the Borrower, the Parent, certain of the Subsidiary Guarantors parties thereto, The Bank of New York, as Trustee, registrar and paying agent and RSM Robson Rhodes LLP, as Irish paying agent, as amended to the extent permitted under the Loan
Documents. 
  
 “Floating Rate
Notes” means the €100,000,000 Senior Second Secured Floating Rate Notes issued by the Borrower pursuant to the Floating Rate Indenture, as amended to the extent permitted under the Loan Documents. 
  
 “Foreign Benefit Arrangement” has
the meaning specified in Section 4.01(q)(vi). 
  

 Pregis Credit Agreement 
  
 19 

 “Foreign Collateral Documents” means the pledge agreement or
similar document effecting the pledge of the stock of Pregis (Luxembourg) Holding Sarl to the Collateral Agent and all related documents necessary or, in the reasonable judgment of the Administrative Agent, desirable under Luxembourg law to effect
such pledge. 
  
 “Foreign
Currency” means a currency other than Dollars. 
  
 “Foreign Currency Revolving Credit Advance” means a Euro Revolving Credit Advance or a Pounds Sterling Revolving Credit Advance. 
  
 “Foreign Currency Revolving Credit Borrowing” means a Euro Revolving Credit
Borrowing or a Pounds Sterling Revolving Credit Borrowing. 
  
 “Foreign Plan” has the meaning specified in Section 4.01(p)(vi). 
  
 “Foreign Subsidiary” means a Subsidiary of the Borrower organized under the laws of a jurisdiction other than any
state of the United States of America or the District of Columbia. 
  
 “Fund” means any Person (other than an individual) 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. 
  
 “Funded
Debt” of any Person means Debt in respect of the Advances, in the case of the Borrower, and all other Debt of such Person that by its terms matures more than one year after the date of creation or matures within one year from such date
but is renewable or extendible, at the option of such Person, to a date more than one year after such date or arises under a revolving credit or similar agreement that obligates the lender or lenders to extend credit during a period of more than one
year after such date. 
  
 “GAAP” has the meaning specified in Section 1.03. 
  
 “Governmental Authority” means any nation or government, any state, province, city, municipal entity or
other political subdivision thereof, and any governmental, executive, legislative, judicial, administrative or regulatory agency, department, authority, instrumentality, commission, board, bureau or similar body, whether federal, state, provincial,
territorial, local or foreign. 
  
 “Governmental Authorization” means any authorization, approval, consent, franchise, license, covenant, order, ruling, permit, certification, exemption, notice, declaration or similar right, undertaking or
other action of, to or by, or any filing, qualification or registration with, any Governmental Authority. 
  
 “Guaranteed Debt” means, with respect to any Person, any Obligation or arrangement of such Person to guarantee or
intended to guarantee any Debt (“primary obligations”) of any other Person (the “primary obligor”) in any manner, whether directly or indirectly, including, without limitation, (a) the direct or
indirect guarantee, endorsement (other than for collection or deposit in the ordinary course of business), 

  

 Pregis Credit Agreement 
  
 20 

 
co-making, discounting with recourse or sale with recourse by such Person of the Obligation of a primary obligor, (b) the Obligation to make take-or-pay
or similar payments, if required, regardless of nonperformance by any other party or parties to an agreement or (c) any Obligation of such Person, whether or not contingent, (i) to purchase any such primary obligation or any property
constituting direct or indirect security therefor, (ii) to advance or supply funds (A) for the purchase or payment of any such primary obligation or (B) to maintain working capital or equity capital of the primary obligor or otherwise
to maintain the net worth or solvency of the primary obligor, (iii) to purchase property, assets, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to
make payment of such primary obligation or (iv) otherwise to assure or hold harmless the holder of such primary obligation against loss in respect thereof. The amount of any Guaranteed Debt shall be deemed to be an amount equal to the stated or
determinable amount of the primary obligation in respect of which such Guaranteed Debt is made (or, if less, the maximum amount of such primary obligation for which such Person may be liable pursuant to the terms of the instrument evidencing such
Guaranteed Debt) or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof (assuming such Person is required to perform thereunder), as determined by such Person in good faith. 
  
 “Guaranteed Obligations” has the
meaning specified in Section 8.01. 
  
 “Guaranties” means the Parent Guaranty and the Subsidiary Guaranty. 
  
 “Guarantors” means the Parent and the Subsidiary Guarantors. 
  
 “Guaranty Supplement” has the
meaning specified in Section 8.05. 
  
 “Hazardous Materials” means (a) petroleum or petroleum products, by-products or breakdown products, radioactive materials, asbestos-containing materials, toxic mold, polychlorinated biphenyls and radon gas and
(b) any other chemicals, materials or substances designated, classified or regulated as hazardous or toxic or as a pollutant or contaminant under any Environmental Law. 
  
 “Hedge Agreements” means interest rate swap, cap or collar agreements, interest rate
future or option contracts, currency swap agreements, currency future or option contracts and other hedging agreements. 
  
 “Hedge Bank” means any Person that at the time it enters into any Hedge Agreement with a Loan Party is an
Arranger, a Lender Party or an Affiliate of the foregoing, in its capacity as a party to a Secured Hedge Agreement. 
  
 “Increase Date” has the meaning specified in Section 2.17(a). 
  
 “Increasing Lender” has the meaning
specified in Section 2.17(b). 
  
 “Increasing Revolving Credit Lender” has the meaning specified in Section 2.05(c). 
  

 Pregis Credit Agreement 
  
 21 

 “Incremental Lender” means an Increasing Lender or an Assuming
Lender pursuant to Section 2.17. 
  
 “Incremental Term Commitment” has the meaning specified in Section 2.17(a). 
  
 “Incremental Term Facility” has the meaning specified in Section 2.17(a). 
  
 “Indemnified Party” has the meaning
specified in Section 9.04(b). 
  
 “Information Memorandum” means the information memorandum dated September 2005 used by the Lead Arrangers in connection with the syndication of the Commitments. 
  
 “Initial Extension of Credit” means
the initial Borrowing of Term Advances on the Effective Date. 
  
 “Initial Issuing Bank” means the bank listed on the signature pages hereof as the Initial Issuing Bank. 
  

“Initial Lender Parties” means the Initial Issuing Bank, the Initial Lenders and the Initial Swing Line Bank.

  
 “Initial Lenders”
means the banks, financial institutions and other institutional lenders listed on the signature pages hereof as the Initial Lenders. 
  
 “Initial Pledged Equity” has the meaning specified in the Security Agreement. 
  
 “Initial Swing Line Bank” means the
bank listed on the signature pages hereof as the Initial Swing Line Bank. 
  
 “Insignificant Foreign Subsidiary” means a Foreign Subsidiary (a) the total assets, revenues and Consolidated Net Income of which (as of the end and for the 12-month period most recently
ended), together with the total assets, revenues and Consolidated Net Income, respectively, of all other Foreign Subsidiaries that have been subject to a proceeding or otherwise taken action of the type described in Section 6.01(f) (determined
for this purpose as of the end and for the 12-month period most recently ended prior to the commencement of such proceeding or other action), do not exceed 2.5% of the total assets, revenues and Consolidated Net Income of the Borrower and its
Subsidiaries as of the end and for the fiscal year most recently ended, (b) the termination of the business and existence of which (i) will not have a material adverse effect on any other business of the Borrower and its other Subsidiaries
and (ii) is determined by the board of directors of the Borrower to be in the best interests of the Borrower, and (c) none of the material liabilities of which will, by reason of such proceeding or other action, become liabilities of the
Borrower or any of its other Subsidiaries. 
  
 “Insufficiency” means, with respect to any Plan, the amount, if any, of its unfunded benefit liabilities, as defined in Section 4001(a)(18) of ERISA. 
  

 Pregis Credit Agreement 
  
 22 

 “Intellectual Property Security Agreement” has the meaning
specified in the Security Agreement. 
  
 “Intercreditor Agreement” means the intercreditor agreement among the Administrative Agent, the Collateral Agent and the Trustee for the holders of the Floating Rate Notes, acknowledged and agreed to by Holdings, the
Borrower and each Subsidiary Guarantor, in substantially the form of Exhibit J hereto. 
  
 “Interest Coverage Ratio” means, for any Measurement Period, the ratio of (a) Consolidated EBITDA to
(b) cash interest paid or payable on all Debt for Borrowed Money, in each case, of or by the Borrower and its Subsidiaries for or during such Measurement Period. 
  
 “Interest Period” means, for each Eurocurrency Rate Advance comprising part of the
same Borrowing, the period commencing on the date of such Eurocurrency Rate Advance or the date of the Conversion of any Base Rate Advance into such Eurocurrency Rate Advance and ending on the last day of the period selected by the Borrower pursuant
to the provisions below and, thereafter, each subsequent period commencing on the last day of the immediately preceding Interest Period and ending on the last day of the period selected by the Borrower pursuant to the provisions below. The duration
of each such Interest Period shall be one, two, three or six months, or, if available to all Appropriate Lenders, nine or twelve months, as the Borrower may, upon notice received by the Administrative Agent not later than 12:00 P.M. (Local
time) on the third Business Day prior to the first day of such Interest Period, select; provided, however, that: 
  
 (a) the Borrower may not select any Interest Period with respect to any Eurocurrency Rate Advance under a Facility that ends after any
principal repayment installment date for such Facility unless, after giving effect to such selection, the aggregate principal amount of Base Rate Advances and of Eurocurrency Rate Advances having Interest Periods that end on or prior to such
principal repayment installment date for such Facility shall be at least equal to the aggregate principal amount of Advances under such Facility due and payable on or prior to such date; 
  
 (b) Interest Periods commencing on the same date for Eurocurrency Rate Advances comprising part of the same
Borrowing shall be of the same duration; 
  
 (c)
whenever the last day of any Interest Period would otherwise occur on a day other than a Business Day, the last day of such Interest Period shall be extended to occur on the next succeeding Business Day, provided, however, that, if
such extension would cause the last day of such Interest Period to occur in the next following calendar month, the last day of such Interest Period shall occur on the next preceding Business Day; and 
  
 (d) whenever the first day of any Interest Period occurs on
a day of an initial calendar month for which there is no numerically corresponding day in the 

  

 Pregis Credit Agreement 
  
 23 

 
calendar month that succeeds such initial calendar month by the number of months equal to the number of months in such Interest Period, such Interest Period
shall end on the last Business Day of such succeeding calendar month; 
  
 provided further that in the case of a proposed Interest Period having a duration of nine or twelve months, the Borrower must provide notice of such proposed Interest Period to the Administrative Agent not later than 12:00 P.M.
(Local time) on the fourth Business Day prior to the first day of such proposed Interest Period, and the Administrative Agent shall determine and shall notify the Borrower as to whether such proposed Interest Period has been agreed to by all the
Appropriate Lenders by 12:00 P.M. on the third Business Day prior to the first day of such proposed Interest Period. 
  
 “Internal Revenue Code” means the Internal Revenue Code of 1986, as amended from time to time, and the regulations
promulgated and rulings issued thereunder. 
  
 “Inventory” means all Inventory referred to in Section 1 of the Security Agreement. 
  
 “Investment” in any Person means any loan or advance to such Person, any purchase or other acquisition of any
Equity Interests or Debt or the assets comprising a division or business unit or a substantial part or all of the business of such Person, any capital contribution to such Person or any other direct or indirect investment in such Person, including,
without limitation, any acquisition by way of a merger or consolidation (or similar transaction) and any arrangement pursuant to which the investor incurs Debt of the types referred to in clause (i) or (j) of the definition of
“Debt” in respect of such Person. The amount of any Investment shall be the original cost of such Investment plus the cost of all additions thereto, net of any returns of principal actually received in cash in respect of any
such Investment, without any adjustment for increases or decreases in value, or write-ups, write-downs or write-offs with respect to such Investment. To the extent that any Investment is made with assets other than cash, the amount of the Investment
shall be based on the fair market value of such assets at the time of the Investment. 
  
 “Issuing Bank” means the Initial Issuing Bank and any one or more Eligible Assignees to which all or any portion
of the Letter of Credit Commitment hereunder has been assigned pursuant to Section 9.07 so long as such Eligible Assignee expressly agrees to perform in accordance with their terms all of the obligations that by the terms of this Agreement are
required to be performed by it as an Issuing Bank and notifies the Administrative Agent of its Applicable Lending Office and the amount of its Letter of Credit Commitment (which information shall be recorded by the Administrative Agent in the
Register), for so long as such Initial Issuing Bank or Eligible Assignee, as the case may be, shall have a Letter of Credit Commitment. 
  
 “Lake Forest Lease Agreement” means the lease agreement dated as of the date hereof between the Seller and the
Borrower as successor to GPP Holding II Corporation. 
  
 “LBI” has the meaning specified in the recital of parties to this Agreement. 
  

 Pregis Credit Agreement 
  
 24 

 “L/C Cash Collateral Account” has the meaning specified in the
Security Agreement. 
  
 “L/C
Disbursement” means a payment or disbursement made by the Issuing Bank pursuant to a Letter of Credit. 
  
 “L/C Related Documents” has the meaning specified in Section 2.04(e)(ii). 
  
 “LCPI” means Lehman Commercial Paper
Inc. 
  
 “Lead Arrangers”
means each of CS and LBI. 
  
 “Leasehold Mortgages” has the meaning specified in Section 5.01(r). 
  
 “Lender Party” means any Lender, the Issuing Bank or the Swing Line Bank. 
  
 “Lenders” means the Initial Lenders
and each Person that shall become a Lender hereunder pursuant to Section 9.07 for so long as such Initial Lender or Person, as the case may be, shall be a party to this Agreement. 
  
 “Letter of Credit Advance” means an advance made by the Issuing Bank or any
Revolving Credit Lender pursuant to Section 2.03(c). 
  
 “Letter of Credit Agreement” has the meaning specified in Section 2.03(a). 
  
 “Letter of Credit Commitment” means, with respect to the Issuing Bank at any time, the amount set forth opposite
the Issuing Bank’s name on Schedule I hereto under the caption “Letter of Credit Commitment” or, if the Issuing Bank has entered into one or more Assignment and Acceptances, set forth for the Issuing Bank in the Register
maintained by the Administrative Agent pursuant to Section 9.07(d) as the Issuing Bank’s “Letter of Credit Commitment,” as such amount may be reduced at or prior to such time pursuant to Section 2.05. 
  
 “Letter of Credit Facility” means,
at any time, an amount equal to the amount of the Issuing Bank’s Letter of Credit Commitment at such time, as such amount may be reduced at or prior to such time pursuant to Section 2.05. 
  
 “Letters of Credit” has the meaning
specified in Section 2.01(g). 
  
 “Leverage Ratio” means, at any date of determination, the ratio of Total Net Debt of the Borrower and its Subsidiaries at such date to Consolidated EBITDA of the Borrower and its Subsidiaries for the most recently
completed Measurement Period. 
  
 “License Agreement” means the license agreement in respect of patents and know-how dated as of the date hereof between the Seller and Holdings. 
  
 “Lien” means any lien, security interest or other charge or encumbrance of any kind,
or any other type of preferential arrangement, including, without limitation, the lien or retained security title of a conditional vendor and any easement, right of way or other encumbrance on title to real property. 
  

 Pregis Credit Agreement 
  
 25 

 “Loan Documents” means (a) for all purposes, (i) this
Agreement, (ii) the Notes, (iii) the Guaranties, (iv) the Collateral Documents, (v) the Fee Letter, (vi) each Letter of Credit Agreement and (vii) the Intercreditor Agreement, in each case as amended and (b) solely
for purposes of the Collateral Documents and the Guaranties, the Secured Hedge Agreements, as amended. 
  
 “Loan Parties” means the Borrower and the Guarantors. 
  
 “Local time” means (a) in the
case of Advances and Letters of Credit denominated in Dollars, New York City time, (b) in the case of Advances and Letters of Credit denominated in Euros and Pounds Sterling, London time and (c) in the case of Advances and Letters of
Credit (if any) denominated in any other currency, the local time of the domicile of such currency. 
  
 “Management Agreement” means the Management Agreement dated as of October 12, 2005, between the Parent and
the Sponsor, as amended to the extent permitted under the Loan Documents. 
  
 “Margin Stock” has the meaning specified in Regulation U. 
  
 “Material Adverse Change” means any material adverse change in the business, assets, financial condition, results
of operations or prospects of the Borrower and its Subsidiaries, taken as a whole. 
  
 “Material Adverse Effect” means a material adverse effect on (a) the business, assets, financial condition or
results of operations of the Borrower and its Subsidiaries, taken as a whole, (b) the rights and remedies of any Agent or any Lender Party under any Transaction Document or (c) the ability of the Loan Parties, taken as a whole, to perform
their respective Obligations under any Transaction Document to which any Loan Party is or is to be a party. 
  
 “Material Contract” means, with respect to any Person, each contract to which such Person is a party for which
breach, nonperformance, termination, cancellation or failure to renew could reasonably be expected to have a Material Adverse Effect. 
  
 “Measurement Period” means each period of four consecutive fiscal quarters of the Parent. 
  
 “Mortgage Policies” has the meaning
specified in Section 3.01(a)(iii)(B). 
  
 “Mortgages” means, collectively, the Fee Mortgages and the Leasehold Mortgages. 
  
 “Multiemployer Plan” means a multiemployer plan, as defined in Section 4001(a)(3) of ERISA, to which any Loan
Party or any ERISA Affiliate is making or accruing an obligation to make contributions, or has within any of the preceding five plan years made or accrued an obligation to make contributions. 
  

 Pregis Credit Agreement 
  
 26 

 “Multiple Employer Plan” means a single employer plan, as defined
in Section 4001(a)(15) of ERISA, covered by Title IV of ERISA or subject to the minimum funding standards of Section 412 of the Internal Revenue Code or Section 302 of ERISA that (a) is maintained for employees of any Loan Party
or any ERISA Affiliate and employees of at least one Person other than the Loan Parties and the ERISA Affiliates or (b) was so maintained and in respect of which any Loan Party or any ERISA Affiliate could have liability under Section 4064
or 4069 of ERISA in the event such plan has been or were to be terminated. 
  
 “Net Cash Proceeds” means (a) with respect to any sale, lease, transfer or other disposition of any asset of the Parent or any of its Subsidiaries (other than any sale, lease, transfer or
other disposition of assets pursuant to any of clauses (i) through (xi) of Section 5.02(e)), the excess, if any, of (i) the sum of cash and Cash Equivalents received in connection with such sale, lease, transfer or other
disposition (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 Debt (other than Debt under the Loan Documents) that is secured by such asset and that is required to be repaid in connection with such sale, lease, transfer or other disposition thereof, (B) the reasonable and customary out-of-pocket
costs, fees, commissions, premiums and expenses incurred by the Parent or its Subsidiaries (including, without limitation, attorneys’ fees, accountants’ fees, investment banking fees, survey costs, title insurance premiums, and related
search and recording charges and transfer taxes), and (C) federal, state, provincial, foreign and local taxes reasonably estimated (on a Consolidated basis) to be actually payable within the current or the immediately succeeding tax year as a
result of any gain recognized in connection therewith; provided, however, that (1) Net Cash Proceeds shall not include any such amounts to the extent that such amounts are reinvested in capital assets used or useful in the
business of the Borrower and its Subsidiaries or in acquisitions permitted to be made pursuant to Section 5.02(f)(vii) within 360 days after the date of receipt thereof (or, if within such 360-day period the Borrower or such Subsidiary has
entered into a binding agreement to make such reinvestment, within 180 days after the date of such agreement), provided, further that such amounts received by or in respect of assets of a Loan Party shall be reinvested in capital assets of a
Loan Party or in the acquisition of an entity that becomes a Loan Party and (2) if any such amounts are not reinvested within the period of time required by clause (1), such amounts shall be deemed to constitute Net Cash Proceeds received at
such time and shall be subject to the provisions of Section 2.06(b)(ii); 
  
 (b) with respect the incurrence of issuance of any Debt by the Parent or any of its Subsidiaries (other than Debt incurred or issued pursuant to any of clauses (i) through (x) or (xii) through
(xv) of Section 5.02(b)), the excess of (i) the sum of the cash and Cash Equivalents received in connection with such incurrence or issuance over (ii) the underwriting discounts and commissions or other similar payments, and
other out-of-pocket costs, fees, commissions, premiums and expenses (including, without 

  

 Pregis Credit Agreement 
  
 27 

 
limitation, attorneys’ fees, accountants’ fees and investment banking fees) incurred by the Parent or any of its Subsidiaries in connection with
such incurrence or issuance to the extent such amounts were not deducted in determining the amount referred to in clause (i); 
  
 (c) with respect to the sale or issuance of any Equity Interests (including, without limitation, the receipt of any capital contribution
from any Person other than the Equity Investors) by any Person, the excess of (i) the sum of the cash and Cash Equivalents received in connection with such sale or issuance over (ii) the underwriting discounts and commissions or similar
payments, and other out-of-pocket costs, fees, commissions, premiums and expenses (including, without limitation, attorneys’ fees, accountants’ fees and investment banking fees) incurred by the Parent or any of its Subsidiaries in
connection with such sale or issuance to the extent such amounts were not deducted in determining the amount referred to in clause (i); provided, however, that Net Cash Proceeds shall not include (A) any funds received in
connection with the exercise of stock options granted to employees or directors of the Parent or any of its Subsidiaries, (B) any funds received in connection with the issuance of Equity Interests by the Parent to the Equity Investors or
(C) any funds received in connection with the issuance of Permitted Cure Securities; and 
  
 (d) with respect to any Extraordinary Receipt that is not otherwise included in clauses (a), (b) or (c) above, the excess of
(i) the sum of the cash and Cash Equivalents received in connection therewith over (ii) the sum of (A) the principal amount of any Debt (other than Debt under the Loan Documents) that is secured by the asset with respect to which the
Extraordinary Receipt is received and required to be prepaid with the proceeds of such Extraordinary Receipt, (B) the out-of-pocket costs, fees, commissions, premiums and expenses incurred by the Parent or its Subsidiaries (including, without
limitation, attorneys’ fees, accountants’ fees, investment banking fees, survey costs, title insurance premiums, and related search and recording charges and transfer taxes) and (C) federal, state, provincial, foreign and local taxes
reasonably estimated (on a Consolidated basis) to be actually payable within the current or the immediately succeeding tax year as a result of any gain recognized in connection therewith; provided, however, that (1) Net Cash
Proceeds shall not include any such amounts to the extent such amounts are reinvested in capital assets used or useful in the business of the Borrower and its Subsidiaries or in acquisitions permitted to be made pursuant to Section 5.02(f)(vii)
within 360 days after the date of receipt thereof (or, if within such 360-day period the Borrower or such Subsidiary has entered into a binding agreement to make such reinvestment, within 180 days after the date of such agreement); provided,
further that any Extraordinary Receipts received in respect of assets of a Loan Party shall be reinvested in capital assets of a Loan Party or in the acquisition of an entity that becomes a Loan Party and (2) such amounts shall be deemed to
constitute Net Cash Proceeds received at such time and shall be subject to the provisions of Section 2.06(b)(ii). 
  
 “New York Courts” has the meaning specified in Section 9.13(a). 
  
 “Non-Competition Agreement” means
the non-competition agreement dated as of the date hereof between Holdings and the Seller. 
  

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 “Non-Consenting Lender” has the meaning specified in
Section 9.01. 
  
 “Note” means a Term B-1 Note, a Term B-2 Note or a Revolving Credit Note. 
  
 “Notice of Borrowing” has the meaning specified in Section 2.02(a). 
  
 “Notice of Issuance” has the meaning
specified in Section 2.03(a). 
  
 “Notice of Renewal” has the meaning specified in Section 2.01(g). 
  
 “Notice of Swing Line Borrowing” has the meaning specified in Section 2.02(b). 
  
 “Notice of Termination” has the
meaning specified in Section 2.01(g). 
  
 “NPL” means the National Priorities List under CERCLA. 
  
 “Obligation” means, with respect to any Person, any payment, performance or other obligation of such Person of any
kind, including, without limitation, any liability of such Person on any claim, whether or not the right of any creditor to payment in respect of such claim is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, disputed,
undisputed, legal, equitable, secured or unsecured, and whether or not such claim is discharged, stayed or otherwise affected by any proceeding referred to in Section 6.01(f). Without limiting the generality of the foregoing, the Obligations of
any Loan Party under the Loan Documents include (a) the obligation to pay principal, interest, Letter of Credit commissions, charges, expenses, fees, attorneys’ fees and disbursements, indemnities and other amounts payable by such Loan
Party under any Loan Document and (b) the obligation of such Loan Party to reimburse any amount in respect of any of the foregoing that any Lender Party, in its sole discretion, may elect to pay or advance on behalf of such Loan Party.

  
 “OECD” means the
Organization for Economic Cooperation and Development. 
  
 “Open Year” has the meaning specified in Section 4.01(s)(iii). 
  
 “Other Taxes” has the meaning specified in Section 2.12(b). 
  
 “Parent” has the meaning specified
in the recital of parties to this Agreement. 
  
 “Parent Guaranty” means the guaranty of the Parent set forth in Article VIII. 
  
 “Patriot Act” means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and
Obstruct Terrorism Act of 2001, Pub. L. 107-56, signed into law October 26, 2001. 
  
 “PBGC” means the Pension Benefit Guaranty Corporation (or any successor). 
  
 “Permitted Cure Security” means
(a) a common equity security of the Borrower, (b) any other equity security of Borrower having no mandatory redemption, repurchase or similar requirements prior to the date that is 180 days after the Termination Date in 

  

 Pregis Credit Agreement 
  
 29 

 
respect of the Term B Facilities, and upon which all dividends or distributions (if any) shall be payable solely in additional shares of such equity security
or (c) a common equity security of the Parent or any other equity security of the Parent that satisfies the requirements of clause (b) of this definition, in each case to the extent that the proceeds thereof are contributed to the Borrower
in exchange for Permitted Cure Securities of the Borrower. 
  
 “Permitted Encumbrances” has the meaning specified in the Mortgages. 
  
 “Permitted Liens” means such of the following as to which no enforcement, collection, execution, levy or
foreclosure proceeding shall have been commenced: (a) Liens for taxes, assessments and governmental charges or levies to the extent not required to be paid under Section 5.01(b); (b) Liens imposed by law, such as materialmen’s,
mechanics’, carriers’, workmen’s and repairmen’s Liens and other similar Liens arising in the ordinary course of business securing obligations that (i) are not overdue for a period of more than 30 days unless being contested
in good faith by appropriate actions and (ii) individually or together with all other Permitted Liens outstanding on any date of determination do not materially adversely affect the use of the property to which they relate; (c) pledges or
deposits in the ordinary course of business to secure obligations under workers’ compensation laws or similar legislation or to secure public or statutory obligations; (d) deposits to secure the performance of bids, trade contracts and
leases (other than Debt), statutory obligations, surety bonds (other than bonds related to judgments or litigation), performance bonds and other obligations of a like nature incurred in the ordinary course of business; (e) easements,
rights-of-way, restrictions, encroachments, and other minor defects or irregularities in title, in each case that were not incurred in connection with and do not secure Debt and which do not and will not interfere in any material respect with the
ordinary conduct of the business of the Borrower or any of its Subsidiaries or the use of the property encumbered thereby for its intended purpose; (f) Liens solely on any cash earnest money deposits made by the Borrower or any of its
Subsidiaries in connection with any letter of intent or purchase agreement in respect of a transaction permitted hereunder; (g) purported Liens evidenced by the filing of precautionary UCC financing statements relating solely to operating
leases of personal property entered into in the ordinary course of business and otherwise permitted hereunder; (h) Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of customs duties in connection
with the importation of goods; (i) any zoning or similar law or right reserved to or vested in any Governmental Authority to control or regulate the use of any real property in each case which do not and will not interfere in any material
respect with the ordinary conduct of the business of the Borrower or any of its Subsidiaries or the use of the property encumbered thereby for its intended purpose; (j) non-exclusive licenses of patents, trademarks and other intellectual
property rights granted by the Borrower or any of its Subsidiaries in the ordinary course of business and not interfering in any respect with the ordinary conduct of the business of the Borrower or such Subsidiary; (k) Liens securing judgments
(or the payment of money not constituting a Default under Section 6.01(g) or securing appeal or other surety bonds related to such judgments; and (l) Permitted Encumbrances. 
  

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 30 

 “Person” means an individual, partnership, corporation (including
a business trust), limited liability company, joint stock company, trust, unincorporated association, joint venture or other entity, or a government or any political subdivision or agency thereof. 
  
 “Plan” means a Single Employer Plan
or a Multiple Employer Plan. 
  
 “Pledged Debt” has the meaning specified in the Security Agreement. 
  
 “Post-Petition Interest” has the meaning specified in Section 8.06. 
  
 “Pounds Sterling” and
“£” each means the lawful currency of the United Kingdom of Great Britain and Northern Ireland. 
  
 “Pounds Sterling Revolving Credit Advance” has the meaning specified in Section 2.01(e). 
  
 “Pounds Sterling Revolving Credit
Borrowing” means a borrowing consisting of simultaneous Pounds Sterling Revolving Credit Advances of the same type made by the Revolving Credit Lenders. 
  
 “Pounds Sterling Sublimit” has the meaning specified in Section 2.01(e).

  
 “Preferred Interests”
means, with respect to any Person, Equity Interests issued by such Person that are entitled to a preference or priority over any other Equity Interests issued by such Person upon any distribution of such Person’s property and assets, whether by
dividend or upon liquidation. 
  
 “Prepayment Date” means with respect to any cash receipts from a transaction described in clause (a), (b), (c) or (d) of the definition of “Net Cash Proceeds,” the third Business Day
following the date of the receipt of such Net Cash Proceeds by the Parent or any of its Subsidiaries or, if any cash receipts from a transaction described in clause (a) or (d) of the definition of “Net Cash Proceeds” are not
deemed to be Net Cash Proceeds pursuant to the last proviso of such clause and are not reinvested in the business of the Borrower and its Subsidiaries within 360 days after the date of receipt thereof, the date that is 360 days following the date of
receipt of such cash receipts (or, if within such 360-day period the Borrower or such Subsidiary has entered into a binding agreement to make such reinvestment, the date that is 180 days after the date of such agreement). 
  
 “Pro Rata Share” of any amount
means, with respect to any Revolving Credit Lender at any time, the product of such amount times a fraction the numerator of which is the amount of such Lender’s Revolving Credit Commitment at such time (or, if the Commitments shall have
been terminated pursuant to Section 2.05 or 6.01, such Lender’s Revolving Credit Commitment as in effect immediately prior to such termination) and the denominator of which is the Revolving Credit Facility at such time (or, if the
Commitments shall have been terminated pursuant to Section 2.05 or 6.01, the Revolving Credit Facility as in effect immediately prior to such termination). 
  

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 “Purchase Agreement” has the meaning specified in the Preliminary
Statements. 
  
 “Redeemable” means, with respect to any Equity Interest, any such Equity Interest that (a) the issuer has undertaken to redeem at a fixed or determinable date or dates, whether by operation of a sinking fund or
otherwise, or upon the occurrence of a condition not solely within the control of the issuer or (b) is redeemable at the option of the holder. 
  
 “Register” has the meaning specified in Section 9.07(d). 
  
 “Regulation U” means
Regulation U of the Board of Governors of the Federal Reserve System, as in effect from time to time. 
  
 “Related Documents” means the Purchase Agreement, the Side Letters, the Management Agreement, the Floating Rate
Indenture, the Subordinated Debt Documents, any intercompany notes issued pursuant to Section 5.02(b)(v), the Trademark License Agreement, the Transition Services Agreement, the Lake Forest Lease Agreement, the Supply Agreement, the
Distribution Agreement, the License Agreement and the Non-Competition Agreement, in each case, as amended from time to time in accordance with Section 5.02(k). 
  
 “Required Lenders” means, at any time, Lenders owed or holding at least a majority
in interest of the sum of (a) the aggregate principal amount (based, in the case of the Term B-2 Advances, on the Equivalent in Dollars as of the date of this Agreement (which is €1.00 = $1.213)) of the Advances outstanding at such time,
(b) the aggregate Available Amount of all Letters of Credit outstanding at such time and (c) the aggregate Unused Revolving Credit Commitments at such time; provided, however, that if any Lender shall be a Defaulting Lender
at such time, there shall be excluded from the determination of Required Lenders at such time (A) the aggregate principal amount of the Advances owing to such Lender (in its capacity as a Lender) and outstanding at such time, (B) such
Lender’s Pro Rata Share of the aggregate Available Amount of all Letters of Credit outstanding at such time and (C) the Unused Revolving Credit Commitment of such Lender at such time. For purposes of this definition, the aggregate
principal amount of Swing Line Advances owing to the Swing Line Bank and of Letter of Credit Advances owing to the Issuing Bank and the Available Amount of each Letter of Credit shall be considered to be owed to the Revolving Credit Lenders ratably
in accordance with their respective Revolving Credit Commitments. 
  
 “Revolving Credit Advance” means a Dollar Revolving Credit Advance or a Foreign Currency Revolving Credit Advance. 
  
 “Revolving Credit Borrowing” means a Dollar Revolving Credit Borrowing or a Foreign
Currency Revolving Credit Borrowing. 
  
 “Revolving Credit Commitment” means, with respect to any Revolving Credit Lender at any time, the amount set forth opposite such Lender’s name on Schedule I hereto under the caption “Revolving Credit
Commitment” or, if such Lender has entered into one or more Assignment and Acceptances, set forth for such Lender in the Register 

  

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 32 

 
maintained by the Administrative Agent pursuant to Section 9.07(d) as such Lender’s “Revolving Credit Commitment,” as such amount may be
reduced at or prior to such time pursuant to Section 2.05, and any Extended Revolving Credit Commitment. 
  
 “Revolving Credit Facility” means, at any time, the aggregate amount of the Revolving Credit Lenders’
Revolving Credit Commitments at such time. 
  
 “Revolving Credit Lender” means any Lender that has a Revolving Credit Commitment. 
  
 “Revolving Credit Note” means a promissory note of the Borrower payable to the order of any Revolving Credit
Lender, in substantially the form of Exhibit A-1 hereto, evidencing the aggregate indebtedness of the Borrower to such Lender resulting from the Revolving Credit Advances, Letter of Credit Advances and Swing Line Advances made by such Lender,
as amended. 
  
 “SEC”
means the Securities and Exchange Commission, or any governmental authority succeeding to any of its principal functions. 
  
 “Secured Hedge Agreement” means any Hedge Agreement required or permitted under Article V that is entered
into by and between any Loan Party and any Hedge Bank. 
  
 “Secured Obligations” has the meaning specified in Section 2 of the Security Agreement. 
  
 “Secured Parties” means the Agents, the Lender Parties and the Hedge Banks. 
  
 “Securities Act” means the
Securities Act of 1933, as amended. 
  
 “Security Agreement” has the meaning specified in Section 3.01(a)(ii). 
  
 “Seller” has the meaning specified in the Preliminary Statements. 
  
 “Senior Subordinated Indenture”
means the Indenture dated October 12, 2005 between the Borrower, the Parent, certain of the Subsidiary Guarantors parties thereto and The Bank of New York, as Trustee, as amended to the extent permitted under the Loan Documents. 
  
 “Senior Subordinated Notes” means
the $150,000,000 Senior Subordinated Notes to be issued by the Borrower pursuant to the Senior Subordinated Indenture, as amended to the extent permitted under the Loan Documents. 
  
 “Side Letters” means each of the letter agreements dated as of June 23, 2005
between Holdings and the Seller concerning (a) United Kingdom pension schemes, (b) Free Flow Packaging International, (c) The Dow Chemical Company and (d) the Agreed Adjustments. 
  

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 33 

 “Single Employer Plan” means a single employer plan, as defined
in Section 4001(a)(15) of ERISA, covered by Title IV of ERISA or subject to the minimum funding standards under Section 412 of the Internal Revenue Code or Section 302 of ERISA that (a) is maintained for employees of any Loan
Party or any ERISA Affiliate and no Person other than the Loan Parties and the ERISA Affiliates or (b) was so maintained and in respect of which any Loan Party or any ERISA Affiliate could have liability under Section 4069 of ERISA in the
event such plan has been or were to be terminated. 
  
 “Solvent” and “Solvency” mean, with respect to any Person on a particular date, that on such date (a) the fair value of the property of such Person is greater than the total amount of
liabilities, including, without limitation, contingent liabilities, of such Person, (b) the present fair saleable 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 and
(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. 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. 
  
 “Specified Obligations” means
Obligations consisting of (a) the principal and interest on the Advances and (b) reimbursement obligations (including contingent reimbursement obligations) in respect of Letters of Credit. 
  
 “Sponsor” has the meaning specified
in the Preliminary Statements. 
  
 “Standby Letter of Credit” means any Letter of Credit issued under the Letter of Credit Facility, other than a Trade Letter of Credit. 
  
 “Subordinated Debt” means the Senior Subordinated Notes and any other Debt of any
Loan Party that is subordinated to the Obligations of such Loan Party under the Loan Documents on, and that otherwise contains, terms and conditions no less favorable to the Loan Parties and their Subsidiaries and the Lender Parties than the terms
of the Senior Subordinated Notes and that has no amortization and does not mature prior to the date that is six months after the Termination Date in respect of the Term B Facilities. 
  
 “Subordinated Debt Documents” means the Senior Subordinated Indenture and all other
agreements, indentures and instruments pursuant to which any Subordinated Debt is issued, in each case as amended to the extent permitted under the Loan Documents. 
  
 “Subordinated Obligations” has the meaning specified in Section 8.06.

  
 “Subsidiary” of any
Person means any corporation, partnership, joint venture, limited liability company, trust or estate of which (or in which) more than 50% of (a) the 

  

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 34 

 
issued and outstanding capital stock having ordinary voting power to elect a majority of the Board of Directors of such corporation (irrespective of whether
at the time capital stock of any other class or classes of such corporation shall or might have voting power upon the occurrence of any contingency), (b) the interest in the capital or profits of such partnership, joint venture or limited
liability company or (c) the beneficial interest in such trust or estate is at the time directly or indirectly owned or controlled by such Person, by such Person and one or more of its other Subsidiaries or by one or more of such Person’s
other Subsidiaries. 
  
 “Subsidiary
Guarantors” means the Subsidiaries of the Borrower listed on Schedule II hereto and each other Subsidiary of the Borrower that shall be required to execute and deliver a guaranty pursuant to Section 5.01(j). 
  
 “Subsidiary Guaranty” means the
guaranty of the Subsidiary Guarantors set forth in Article VIII, together with each other guaranty and guaranty supplement delivered pursuant to Section 5.01(j), in each case as amended, amended and restated, modified or otherwise
supplemented. 
  
 “Supplemental
Collateral Agent” has the meaning specified in Section 7.01(c). 
  
 “Surviving Debt” means Debt of each Loan Party and its Subsidiaries outstanding immediately before and immediately
after giving effect to the Initial Extension of Credit. 
  
 “Swing Line Advance” means an advance made by (a) the Swing Line Bank pursuant to Section 2.01(f) or (b) any Revolving Credit Lender pursuant to Section 2.02(b). 

 
 “Swing Line Bank” means the
Initial Swing Line Bank and any Eligible Assignee to which the Swing Line Commitment hereunder has been assigned pursuant to Section 9.07 so long as such Eligible Assignee expressly agrees to perform in accordance with their terms all
obligations that by the terms of this Agreement are required to be performed by it as a Swing Line Bank and notifies the Administrative Agent of its Applicable Lending Office and the amount of its Swing Line Commitment (which information shall be
recorded by the Administrative Agent in the Register), for so long as such Initial Swing Line Bank or Eligible Assignee, as the case may be, shall have a Swing Line Commitment. 
  
 “Swing Line Borrowing” means a borrowing consisting of a Swing Line Advance made by
the Swing Line Bank pursuant to Section 2.01(f) or the Revolving Credit Lenders pursuant to Section 2.02(b). 
  
 “Swing Line Commitment” means, with respect to the Swing Line Bank at any time, the amount set forth opposite the
Swing Line Bank’s name on Schedule I hereto under the caption “Swing Line Commitment” or, if the Swing Line Bank has entered into an Assignment and Acceptance, set forth for such Swing Line Bank in the Register maintained by the
Administrative Agent pursuant to Section 9.07(d) as such Swing Line Bank’s “Swing Line Commitment,” as such amount may be reduced at or prior to such time pursuant to Section 2.05. 
  

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 “Swing Line Facility” means, at any time, an amount equal to the
amount of the Swing Line Bank’s Swing Line Commitment at such time, as such amount may be reduced at or prior to such time pursuant to Section 2.05. 
  

“Syndication Agent” has the meaning specified in the recital of parties to this Agreement. 
  
 “Synthetic Debt” means, with respect
to any Person, without duplication of any clause within the definition of “Debt,” all Obligations of such Person under any lease that is treated as an operating lease for financial accounting purposes and a financing lease for tax purposes
(i.e., a “synthetic lease”). 
  
 “TARGET Day” means any day on which the Trans-European Automated Real-time Gross settlement Express Transfer payment system is open for the settlement of payments in Euros. 
  
 “Taxes” has the meaning specified in
Section 2.12(a). 
  
 “Term
Advance” means a Term B-1 Advance or a Term B-2 Advance. 
  
 “Term B Advance” means a Term B-1 Advance or a Term B-2 Advance. 
  
 “Term B Facilities” means the Term B-1 Facility and the Term B-2 Facility. 
  
 “Term B Percentage” means, with
respect to any Term Lender at any time, a fraction (expressed as a percentage, carried out to the ninth decimal place), the numerator of which is the principal amount of the Term B Loan (calculated in the case of any Term B-2 Lender based on the
Equivalent in Dollars of Euros determined as of the date of this Agreement (which is €1.00 = $1.213)) owed to such Lender at such time and the denominator of which is the aggregate principal amount of the Term B Advances (calculated in the case
of any Term B-2 Lender based on the Equivalent in Dollars determined as of the date of this Agreement) owed to all Term Lenders at such time. 
  
 “Term B-1 Advance” has the meaning specified in Section 2.01(a). 
  
 “Term B-1 Borrowing” means a
borrowing consisting of simultaneous Term B-1 Advances of the same Type made by the Term B-1 Lenders. 
  
 “Term B-1 Commitment” means, with respect to any Term B-1 Lender at any time, the amount set forth opposite such
Lender’s name on Schedule I hereto under the caption “Term B-1 Commitment” or, if such Lender has entered into one or more Assignment and Acceptances, set forth for such Lender in the Register maintained by the Administrative
Agent pursuant to Section 9.07(d) as such Lender’s “Term B-1 Commitment,” as such amount may be reduced at or prior to such time pursuant to Section 2.05. 
  
 “Term B-1 Facility” means, at any time, the aggregate amount of the Term B-1
Lenders’ Term B-1 Commitments at such time. 
  

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 “Term B-1 Lender” means any Lender that has a Term B-1
Commitment. 
  
 “Term B-1
Note” means a promissory note of the Borrower payable to the order of any Term B-1 Lender, in substantially the form of Exhibit A-2 hereto, evidencing the indebtedness of the Borrower to such Lender resulting from the Term B-1
Advance made by such Lender, as amended. 
  
 “Term B-2 Advance” has the meaning specified in Section 2.01(b). 
  
 “Term B-2 Borrowing” means a borrowing consisting of simultaneous Term B-2 Advances of the same Type made by the
Term B-2 Lenders. 
  
 “Term B-2
Commitment” means, with respect to any Term B-2 Lender at any time, the amount set forth opposite such Lender’s name on Schedule I hereto under the caption “Term B-2 Commitment” or, if such Lender has entered into
one or more Assignment and Acceptances, set forth for such Lender in the Register maintained by the Administrative Agent pursuant to Section 9.07(d) as such Lender’s “Term B-2 Commitment,” as such amount may be reduced at or
prior to such time pursuant to Section 2.05. 
  
 “Term B-2 Facility” means, at any time, the aggregate amount of the Term B-2 Lenders’ Term B-2 Commitments at such time. 
  

“Term B-2 Lender” means any Lender that has a Term B-2 Commitment. 
  
 “Term B-2 Note” means a promissory
note of the Borrower payable to the order of any Term B-2 Lender, in substantially the form of Exhibit A-3 hereto, evidencing the indebtedness of the Borrower to such Lender resulting from the Term B-2 Advance made by such Lender, as amended.

  
 “Term Commitment”
means a Term B-1 Commitment, a Term B-2 Commitment or a Commitment in respect of any Incremental Term Facility. 
  
 “Term Facilities” means the Term B-1 Facility and the Term B-2 Facility and any Incremental Term Facility.

  
 “Term Lender” means a
Term B-1 Lender, a Term B-2 Lender or an Incremental Lender. 
  
 “Termination Date” means (a) in respect of the Term B Facilities, the earlier of the seventh anniversary of the Effective Date and the date the Term B Advances are declared due
and payable pursuant to Section 6.01 and (b) in respect of the Revolving Credit Facility, the earlier of the sixth anniversary of the Effective Date (as such date may be extended pursuant to Section 2.05(c)) and the date of
termination in whole of the Revolving Credit Commitments, the Letter of Credit Commitment and the Swing Line Commitment pursuant to Section 2.05 or 6.01. 
  

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 “Total Net Debt” means, as of any date of determination, an
amount equal to the difference between (a) Consolidated Debt for Borrowed Money of the Borrower and its Subsidiaries as of such date and (b) the unrestricted cash and Cash Equivalents (determined in accordance with GAAP) of the Borrower
and its Subsidiaries on such date to the extent (i) such cash and Cash Equivalents are held in a deposit or securities account subject to a deposit or securities account control agreement effective to create a legal, valid and enforceable
first-priority security interest in favor of the Collateral Agent for the benefit of the Secured Parties and (ii) the aggregate amount of such unrestricted cash and Cash Equivalents (determined in accordance with GAAP) of the Borrower and its
Subsidiaries on such date exceeds $5,000,000. 
  
 “Trade Letter of Credit” means any Letter of Credit that is issued under the Letter of Credit Facility for the benefit of a supplier of Inventory to the Borrower or any of its Subsidiaries to effect payment for such
Inventory, the conditions to drawing under which include the presentation to the Issuing Bank of negotiable bills of lading, invoices and related documents sufficient, in the judgment of the Issuing Bank, to create a valid and perfected lien on or
security interest in such Inventory, bills of lading, invoices and related documents in favor of the Issuing Bank. 
  
 “Trademark License Agreement” means the intellectual property license agreement dated as of the date hereof
between the Seller and Pregis Innovative Packaging Inc., a Delaware corporation (formerly known as Pactive Protective Packaging Inc.). 
  
 “Transaction” means the Acquisition and the other transactions contemplated by the Transaction Documents.

  
 “Transaction
Documents” means, collectively, the Loan Documents and the Related Documents. 
  
 “Transition Services Agreement” means the transition services agreement dated as of the date hereof between
Holdings and the Seller. 
  
 “Type” refers to the distinction between Advances bearing interest at the Base Rate and Advances bearing interest at the Eurocurrency Rate. 
  
 “Unaudited Statements” has the meaning specified in Section 3.01(a)(xi).

  
 “Unused Revolving Credit
Commitment” means, with respect to any Revolving Credit Lender at any time, the following: (a) such Lender’s Revolving Credit Commitment at such time minus (b) the sum of (i) the aggregate principal amount
(based on the Equivalent in Dollars at such time in the case of amounts denominated in any Foreign Currency) of all Revolving Credit Advances, Swing Line Advances and Letter of Credit Advances made by such Lender (in its capacity as a Lender) and
outstanding at such time plus (ii) such Lender’s Pro Rata Share of (A) the aggregate Available Amount (based on the Equivalent in Dollars at such time in the case of amounts denominated in any Foreign Currency) of all Letters
of Credit outstanding at such time, (B) the aggregate principal amount of all Letter of Credit Advances (based on the Equivalent in Dollars at such time in the case of amounts denominated in any Foreign Currency) made by the 

  

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Issuing Bank pursuant to Section 2.03(c) and outstanding at such time and (C) the aggregate principal amount of all Swing Line Advances made by the
Swing Line Bank pursuant to Section 2.01(f) and outstanding at such time. 
  
 “Voting Interests” means shares of capital stock issued by a corporation, or equivalent Equity Interests in any
other Person, the holders of which are ordinarily, in the absence of contingencies, entitled to vote for the election of directors (or persons performing similar functions) of such Person, even if the right so to vote has been suspended by the
happening of such a contingency. 
  
 “Wholly Owned Subsidiary” of any Person shall mean a subsidiary of such Person, all of the Equity Interests of which (other than directors’ qualifying shares or nominee or other similar shares required pursuant
to applicable law) are owned by such Person or another Wholly Owned Subsidiary of such Person. 
  
 “Withdrawal Liability” has the meaning specified in Part I of Subtitle E of Title IV of ERISA.

  
 SECTION 1.02. Computation of Time Periods; Other
Definitional Provisions. In this Agreement and the other Loan Documents in the computation of periods of time from a specified date to a later specified date, the word “from” means “from and including” and the
words “to” and “until” each mean “to but excluding.” References in the Loan Documents to any agreement or contract “as amended” shall mean and be a reference to such
agreement or contract as amended, amended and restated, supplemented or otherwise modified from time to time in accordance with its terms. 
  
 SECTION 1.03. Accounting Terms. All accounting terms not specifically defined herein shall be construed in accordance with generally accepted
accounting principles consistent with those applied in the preparation of the financial statements referred to in Section 4.01(h) (“GAAP”); provided that if at any time any Accounting Change would affect the
computation of the financial covenants set forth in Section 5.04, and any of the Borrower, the Administrative Agent or the Required Lenders shall so request, the Administrative Agent, the Lender Parties and the Borrower shall negotiate
in good faith to amend such financial covenants to preserve the original intent thereof in light of such Accounting Change (subject to the approval of the Required Lenders); provided that, until so amended, (i) such financial covenants
shall continue to be computed in the manner computed prior to such Accounting Change and (ii) the Borrower shall provide to the Administrative Agent and the Lender Parties financial statements and other documents required under this Agreement
or as reasonably requested hereunder setting forth a reconciliation between calculations of such financial covenants made before and after giving effect to such Accounting Change. 
  
 SECTION 1.04. Currency Equivalents Generally; Judgment Currency. Any amount specified in this Agreement (other than
in Articles II, VII and IX) or any of the other Loan Documents to be in Dollars shall also include the Equivalent of such amount in any currency other than Dollars. Furthermore: 
  

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 (a) If for the purposes of obtaining judgment in any court it is necessary to convert a sum due hereunder
in Dollars into another currency, the parties hereto agree, to the fullest extent that they may effectively do so, that the rate of exchange used shall be equal to Equivalent on the Business Day preceding that on which final judgment is given.

  
 (b) If for the purposes of obtaining judgment in any court it
is necessary to convert a sum due hereunder in a Foreign Currency into Dollars, the parties agree to the fullest extent that they may effectively do so, that the rate of exchange used shall be equal to the Equivalent on the Business Day preceding
that on which final judgment is given. 
  
 (c) The obligation of
the Borrower in respect of any sum due from it in any currency (the “Primary Currency”) to any Lender Party or Agent hereunder shall, notwithstanding any judgment in any other currency, be discharged only to the extent that
on the Business Day following receipt by such Lender Party or Agent (as the case may be), of any sum adjudged to be so due in such other currency, such Lender Party or Agent (as the case may be) may in accordance with normal banking procedures
purchase the applicable Primary Currency with such other currency; if the amount of the applicable Primary Currency so purchased is less than such sum due to such Lender Party or Agent (as the case may be) in the applicable Primary Currency, the
Borrower agrees, as a separate obligation and notwithstanding any such judgment, to indemnify such Lender Party or Agent (as the case may be) against such loss, and if the amount of the applicable Primary Currency so purchased exceeds such sum due
to any Lender Party or Agent (as the case may be) in the applicable Primary Currency, such Lender Party or Agent (as the case may be) agrees to remit to the Borrower such excess. 
  
 ARTICLE II 
  
 AMOUNTS AND TERMS OF THE ADVANCES 
 AND THE LETTERS OF CREDIT 
  
 SECTION 2.01. The
Advances and the Letters of Credit. (a) The Term B-1 Advances. Each Term B-1 Lender severally agrees, on the terms and conditions hereinafter set forth, to make a single advance (a “Term B-1 Advance”) in
Dollars to the Borrower on the Effective Date in an amount not to exceed such Lender’s Term B-1 Commitment at such time. The Term B-1 Borrowing shall consist of Term B-1 Advances made simultaneously by the Term B-1 Lenders ratably according to
their Term B-1 Commitments. Amounts borrowed under this Section 2.01(a) and repaid or prepaid may not be reborrowed. Term B-1 Borrowings may be made as Base Rate Advances or Eurocurrency Rate Advances. 
  
 (b) The Term B-2 Advances. Each Term B-2 Lender severally agrees, on
the terms and conditions hereinafter set forth, to make a single advance (a “Term B-2 Advance”) in Euros to the Borrower on the Effective Date in an amount not to exceed such Lender’s Term B-2 Commitment at such time.
The Term B-2 Borrowing shall consist of Term B-2 Advances made simultaneously by the Term B-2 Lenders ratably according to their Term B-2 Commitments. Amounts borrowed under this Section 2.01(b) and repaid or prepaid may not be reborrowed. Term
B-2 Borrowings shall be made as Eurocurrency Rate Advances. 
  

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 (c) The Dollar Revolving Credit Advances. Each Revolving Credit Lender severally agrees, on the
terms and conditions hereinafter set forth, to make advances (each a “Dollar Revolving Credit Advance”) in Dollars to the Borrower from time to time on any Business Day during the period from the Business Day immediately
following the Effective Date until the Termination Date in respect of the Revolving Credit Facility in an amount for each such Advance not to exceed such Lender’s Unused Revolving Credit Commitment at such time (based in respect of any amounts
not denominated in Dollars on the Equivalent thereof in Dollars determined on the date of delivery of the applicable Notice of Borrowing). Each Dollar Revolving Credit Borrowing shall be in an aggregate amount of $1,000,000 or an integral multiple
of $500,000 in excess thereof and shall consist of Dollar Revolving Credit Advances made simultaneously by the Revolving Credit Lenders ratably according to their Revolving Credit Commitments. Within the limits of each Revolving Credit Lender’s
Unused Revolving Credit Commitment in effect from time to time, the Borrower may borrow under this Section 2.01(c), prepay pursuant to Section 2.06(a) and reborrow under this Section 2.01(c). Dollar Revolving Credit Borrowings may be
made as Base Rate Advances or Eurocurrency Rate Advances. 
  
 (d)
The Euro Revolving Credit Advances. Each Revolving Credit Lender severally agrees, on the terms and conditions hereinafter set forth, to make advances (each a “Euro Revolving Credit Advance”) in Euros to the Borrower
from time to time on any Business Day during the period from the Business Day immediately following the Effective Date until the Termination Date in respect of the Revolving Credit Facility in an amount for each such Advance not to exceed the
Equivalent in Euros of such Lender’s Unused Revolving Credit Commitment at such time (based in respect of any amounts not denominated in Dollars on the Equivalent thereof in Dollars determined on the date of delivery of the applicable Notice of
Borrowing). Each Euro Revolving Credit Borrowing shall be in an aggregate amount of €300,000 or an integral multiple of €150,000 in excess thereof and shall consist of Euro Revolving Credit Advances made simultaneously by the Revolving
Credit Lenders ratably according to their Revolving Credit Commitments. Within the limits of each Revolving Credit Lender’s Unused Revolving Credit Commitment in effect from time to time, the Borrower may borrow under this Section 2.01(d),
prepay pursuant to Section 2.06(a) and reborrow under this Section 2.01(d). Euro Revolving Credit Borrowings shall be made as Eurocurrency Rate Advances. 
  
 (e) The Pounds Sterling Revolving Credit Advances. Each Revolving Credit Lender severally agrees, on the terms and
conditions hereinafter set forth, to make advances (each a “Pounds Sterling Revolving Credit Advance”) in Pounds Sterling to the Borrower from time to time on any Business Day during the period from the Business Day
immediately following the Effective Date until the Termination Date in respect of the Revolving Credit Facility in an amount for each such Advance not to exceed (when taken together with all Letters of Credit, if any, denominated in Pounds Sterling)
the Equivalent in Pounds Sterling of the lesser of (i) such Lender’s Unused Revolving Credit Commitment at such time (based in respect of any amounts not denominated in Dollars on the Equivalent thereof in Dollars determined on the date of
delivery of the applicable Notice of Borrowing) and (ii) $15,000,000 (the “Pounds Sterling Sublimit”). Each Pounds Sterling Revolving Credit Borrowing shall be in an aggregate amount of £500,000 or an integral
multiple of £500,000 in excess thereof, and shall consist of Pounds Sterling Revolving Credit Advances made simultaneously by the Revolving Credit Lenders 

  

 Pregis Credit Agreement 
  
 41 

 
ratably according to their Revolving Credit Commitments. Within the limits of each Revolving Credit Lender’s Unused Revolving Credit Commitment in
effect from time to time and the Pounds Sterling Sublimit, the Borrower may borrow under this Section 2.01(e), prepay pursuant to Section 2.06(a) and reborrow under this Section 2.01(e). Pounds Sterling Revolving Credit Borrowings
shall be made as Eurocurrency Rate Advances. 
  
 (f) The Swing
Line Advances. The Swing Line Bank agrees on the terms and conditions hereinafter set forth, to make Swing Line Advances in Dollars to the Borrower from time to time on any Business Day during the period from the Business Day immediately
following the Effective Date until the Termination Date in respect of the Revolving Credit Facility (i) in an aggregate amount not to exceed at any time outstanding the Swing Line Bank’s Swing Line Commitment at such time and (ii) in
an amount for each such Swing Line Borrowing not to exceed the aggregate of the Unused Revolving Credit Commitments of the Revolving Credit Lenders at such time. No Swing Line Advance shall be used for the purpose of funding the payment of principal
of any other Swing Line Advance. Each Swing Line Borrowing shall be in an amount of $500,000 or an integral multiple of $250,000 in excess thereof and shall be made as a Base Rate Advance. Within the limits of the Swing Line Facility and within the
limits referred to in clause (ii) above, the Borrower may borrow under this Section 2.01(f), repay pursuant to Section 2.04(d) or prepay pursuant to Section 2.06(a) and reborrow under this Section 2.01(f). Immediately upon
the making of a Swing Line Advance, each Revolving Credit Lender shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the Swing Line Bank a risk participation in such Swing Line Advance in an amount equal to the
product of such Lender’s Pro Rata Share times the amount of such Swing Line Advance. 
  
 (g) The Letters of Credit. Each Issuing Bank agrees, on the terms and conditions hereinafter set forth, to issue (or cause its Affiliate that is a
commercial bank to issue on its behalf) letters of credit (the “Letters of Credit”) in Dollars, Euros, Pounds Sterling or, if requested by the Borrower and consented to by the Issuing Bank in its sole discretion (which
consent in any case shall be subject to the consent of the Revolving Credit Lenders), another Foreign Currency for the account of the Borrower or for the account of an Applicant Subsidiary with the Borrower as a co-applicant from time to time on any
Business Day during the period from the Business Day immediately following the Effective Date until the date that is 30 days before the Termination Date in respect of the Revolving Credit Facility in an aggregate Available Amount (i) for all
Letters of Credit (A) issued by any Issuing Bank not to exceed as of the date of any issuance of a Letter of Credit such Issuing Bank’s Letter of Credit Commitment at such time (based in respect of any amounts not denominated in Dollars on
the Equivalent thereof in Dollars determined on the date of delivery of the applicable Notice of Issuance) and (B) not to exceed in the aggregate as of the date of any issuance of a Letter of Credit the aggregate Letter of Credit Commitments at
such time, (ii) for each such Letter of Credit not to exceed the Unused Revolving Credit Commitments of the Revolving Credit Lenders at such time (based in respect of any amounts not denominated in Dollars on the Equivalent thereof in Dollars
determined on the date of delivery of the applicable Notice of Issuance) and (iii) for each such Letter of Credit denominated in Pounds Sterling, when taken together with all Revolving Credit Advances denominated in Pounds Sterling outstanding
at such time, not to exceed the Pounds Sterling Sublimit; provided, however, that in no event shall (A) the aggregate Available Amount for all Standby Letters of Credit as of the date of any issuance of a Standby Letter of Credit
exceed $10,000,000 or (B) the aggregate Available Amount for all Trade Letters of Credit as of the date 

  

 Pregis Credit Agreement 
  
 42 

 
of any issuance of a Trade Letter of Credit exceed $10,000,000; provided further that no Issuing Bank shall be obligated to issue a Trade Letter of
Credit in any instance unless such Issuing Bank agrees to do so in such instance in its sole discretion. No Letter of Credit shall have an expiration date (including all rights of the Borrower or the beneficiary to require renewal) later than the
earlier of 5 Business Days before the Termination Date in respect of the Revolving Credit Facility and (A) in the case of a Standby Letter of Credit, one year after the date of issuance thereof, but may by its terms be renewable annually upon
notice (a “Notice of Renewal”) given to the Issuing Bank and the Administrative Agent on or prior to any date for notice of renewal set forth in such Letter of Credit but in any event at least three Business Days prior to the
date of the proposed renewal of such Standby Letter of Credit and upon fulfillment of the applicable conditions set forth in Article III unless the Issuing Bank has notified the Borrower (with a copy to the Administrative Agent) on or prior to
the date for notice of termination set forth in such Letter of Credit but in any event at least 30 Business Days prior to the date of automatic renewal of its election not to renew such Standby Letter of Credit (a “Notice of
Termination”) and (B) in the case of a Trade Letter of Credit, 60 days after the date of issuance thereof; provided that the terms of each Standby Letter of Credit that is automatically renewable annually shall
(x) require the Issuing Bank to give the beneficiary named in such Standby Letter of Credit notice of any Notice of Termination, (y) permit such beneficiary, upon receipt of such notice, to draw under such Standby Letter of Credit prior to
the date such Standby Letter of Credit otherwise would have been automatically renewed and (z) not permit the expiration date (after giving effect to any renewal) of such Standby Letter of Credit in any event to be extended to a date later than
5 Business Days before the Termination Date in respect of the Revolving Credit Facility. If either a Notice of Renewal is not given by the Borrower or a Notice of Termination is given by the Issuing Bank pursuant to the immediately preceding
sentence, such Standby Letter of Credit shall expire on the date on which it otherwise would have been automatically renewed; provided, however, that even in the absence of receipt of a Notice of Renewal the Issuing Bank may in its
discretion, unless instructed to the contrary by the Administrative Agent or the Borrower, deem that a Notice of Renewal had been timely delivered and in such case, a Notice of Renewal shall be deemed to have been so delivered for all purposes under
this Agreement. Within the limits of the Letter of Credit Facility, and subject to the limits referred to above, the Borrower may request the issuance of Letters of Credit under this Section 2.01(g), repay any Letter of Credit Advances
resulting from drawings thereunder pursuant to Section 2.03(c) and request the issuance of additional Letters of Credit under this Section 2.01(g). 
  
  
 SECTION 2.02. Making the Advances. (a) Except as otherwise
provided in Section 2.02(b) or 2.03, each Borrowing shall be made on notice, given not later than 12:00 P.M. Local time on (i) the third Business Day prior to the date of the proposed Borrowing in the case of a Borrowing consisting of
Eurocurrency Rate Advances (other than Eurocurrency Rate Advances for which the Borrower is requesting an interest period of nine or twelve months), (ii) the fourth Business Day prior to the date of the proposed Borrowing in the case of a
Borrowing consisting of Eurocurrency Rate Advances for which the Borrower requests an Interest Period of nine or twelve months’ duration, as provided in the definition of “Interest Period” or (iii) the first Business Day prior to
the date of the proposed Borrowing in the case of a Borrowing consisting of Base Rate Advances, by the Borrower to the Administrative Agent, which shall give to each Appropriate Lender prompt notice thereof (and, in the case of a request under
clause (ii) above, the Administrative Agent shall inquire whether the requested Interest 

  

 Pregis Credit Agreement 
  
 43 

 
Period is acceptable to each Appropriate Lender and shall notify the Borrower (which notice may be by telephone) not later than 12:00 P.M. three Business
Days before the requested date of such Borrowing whether or not the requested Interest Period has been consented to by all the Appropriate Lenders). Each such notice of a Borrowing (a “Notice of Borrowing”) may be by
telephone or in writing or by telecopier, and, if by telephone, shall be confirmed immediately in writing or by telecopier in substantially the form of Exhibit B hereto, specifying therein the requested (A) date of such Borrowing,
(B) Facility under which such Borrowing is to be made, (C) Type of Advances comprising such Borrowing, (D) aggregate amount of such Borrowing, (E) in the case of a Borrowing consisting of Eurocurrency Rate Advances, initial
Interest Period for each such Advance and (F) in the case of a Borrowing consisting of Revolving Credit Advances, whether such Borrowing consists of Dollar Revolving Credit Advances or Euro Revolving Credit Advances or Pounds Sterling Revolving
Credit Advances. Each Appropriate Lender shall, before 12:00 P.M. (Local time) on the date of such Borrowing, make available for the account of its Applicable Lending Office to the Administrative Agent at the Administrative Agent’s
Account, in same day funds, such Lender’s ratable portion of such Borrowing in accordance with the respective Commitments under the applicable Facility of such Lender and the other Appropriate Lenders. After the Administrative Agent’s
receipt of such funds and upon fulfillment of the applicable conditions set forth in Article III, the Administrative Agent will make such funds available to the Borrower by crediting the Borrower’s Account. 
  
 (b) (i) Each Swing Line Borrowing shall be made on notice, given not later
than 1:00 P.M. (New York City time) on the date of the proposed Swing Line Borrowing, by the Borrower to the Swing Line Bank and the Administrative Agent. Each such notice of a Swing Line Borrowing (a “Notice of Swing Line
Borrowing”) may be by telephone or in writing or by telecopier, and, if by telephone, shall be confirmed immediately in writing or by telecopier, specifying therein the requested (i) date of such Borrowing and (ii) amount of
such Borrowing . The Swing Line Bank will make the amount of the requested Swing Line Advances available to the Borrower at the Borrower’s Account, in same day funds. 
  
 (ii) The Swing Line Bank may, at any time in its sole and absolute discretion, request on behalf of the Borrower (and the
Borrower hereby irrevocably authorizes the Swing Line Bank to so request on its behalf) that each Revolving Credit Lender make a Base Rate Advance in an amount equal to such Lender’s Pro Rata Share of the amount of Swing Line Advances then
outstanding. Such request shall be deemed to be a Notice of Borrowing for purposes hereof and shall be made in accordance with the provisions of Section 2.02(a) without regard solely to the minimum amounts specified therein but subject to the
satisfaction of the conditions set forth in Section 3.02. The Swing Line Bank shall furnish the Borrower with a copy of the applicable Notice of Borrowing promptly after delivering such notice to the Administrative Agent. Each Revolving Credit
Lender shall make an amount equal to its Pro Rata Share of the amount specified in such Notice of Borrowing available for the account of its Applicable Lending Office to the Administrative Agent for the account of the Swing Line Bank, by deposit to
the Administrative Agent’s Account, in same date funds, not later than 11:00 A.M. on the day specified in such Notice of Borrowing. 
  
 (iii) If for any reason any Swing Line Advance cannot be refinanced by a Revolving Credit Borrowing as contemplated by Section 2.02(b)(ii), the
request for Base Rate Advances submitted by the Swing Line Bank as set forth in Section 2.02(b)(ii) shall be deemed 

  

 Pregis Credit Agreement 
  
 44 

 
to be a request by the Swing Line Bank that each of the Revolving Credit Lenders fund its risk participation in the relevant Swing Line Advance and each
Revolving Credit Lender’s payment to the Administrative Agent for the account of the Swing Line Bank pursuant to Section 2.02(b)(ii) shall be deemed payment in respect of such participation. 
  
 (iv) If and to the extent that any Revolving Credit Lender shall not have
made the amount of its Pro Rata Share of such Swing Line Advance available to the Administrative Agent in accordance with the provisions of Section 2.02(b)(ii), such Revolving Credit Lender agrees to pay to the Administrative Agent forthwith on
demand such amount together with interest thereon, for each day from the date of the applicable Notice of Borrowing delivered by the Swing Line Bank until the date such amount is paid to the Administrative Agent, at the Federal Funds Rate.

  
 (v) Each Revolving Credit Lender’s obligation to make
Revolving Credit Advances or to purchase and fund risk participations in Swing Line Advance pursuant to this Section 2.02(b) shall be absolute and unconditional and shall not be affected by any circumstance, including (A) any set-off,
counterclaim, recoupment, defense or other right which such Lender may have against the Swing Line Bank, the Borrower or any other Person for any reason whatsoever, (B) the occurrence of continuance of a Default, or (C) any other
occurrence, event or condition, whether or not similar to any of the foregoing; provided, however, that each Revolving Credit Lender’s obligation to make Revolving Credit Advances pursuant to this Section 2.02(b) is subject
to satisfaction of the conditions set forth in Section 3.02. No funding of risk participations shall relieve or otherwise impair the obligation of the Borrower to repay Swing Line Advances, together with interest as provided herein. 

 
 (c) Anything in subsection (a) above to the contrary notwithstanding,
(i) the Borrower may not select Eurocurrency Rate Advances for any Borrowing in Dollars if the aggregate amount of such Borrowing is less than $1,000,000 or if the obligation of the Appropriate Lenders to make Eurocurrency Rate Advances shall
then be suspended pursuant to Section 2.09 or 2.10, (ii) the Borrower may not request a Euro Revolving Credit Advance in an amount less than €300,000, (iii) the Borrower may not request a Pounds Sterling Revolving Credit Advance
in an amount less than £500,000 and (iv) Term B-1 Advances may not be outstanding as part of more than three separate Borrowings, the Term B-2 Advances may not be outstanding as part of more than three separate Borrowings and the
Revolving Credit Advances may not be outstanding as part of more than five separate Borrowings. 
  
 (d) Each Notice of Borrowing and each Notice of Swing Line Borrowing shall be irrevocable and binding on the Borrower. In the case of any Borrowing that
the related Notice of Borrowing specifies is to be comprised of Eurocurrency Rate Advances, the Borrower shall indemnify each Appropriate Lender against any loss, cost or expense incurred by such Lender as a result of any failure to fulfill on or
before the date specified in such Notice of Borrowing for such Borrowing the applicable conditions set forth in Article III, including, without limitation, any loss (including loss of anticipated profits), cost or expense incurred by reason of
the liquidation or reemployment of deposits or other funds acquired by such Lender to fund the Advance to be made by such Lender as part of such Borrowing when such Advance, as a result of such failure, is not made on such date. 
  

 Pregis Credit Agreement 
  
 45 

 (e) Unless the Administrative Agent shall have received notice from an Appropriate Lender prior to the
date of any Borrowing that such Lender will not make available to the Administrative Agent such Lender’s ratable portion of such Borrowing, the Administrative Agent may assume that such Lender has made such portion available to the
Administrative Agent on the date of such Borrowing in accordance with subsection (a) of this Section 2.02 and the Administrative Agent may, in reliance upon such assumption, make available to the Borrower on such date a corresponding
amount. If and to the extent that such Lender shall not have so made such ratable portion available to the Administrative Agent, such Lender and the Borrower severally agree to repay or pay to the Administrative Agent forthwith on demand such
corresponding amount and to pay interest thereon, for each day from the date such amount is made available to the Borrower until the date such amount is repaid or paid to the Administrative Agent, at (i) in the case of the Borrower, the higher
of (A) interest rate applicable at such time under Section 2.07 to Advances comprising such Borrowing and (B) the cost of funds incurred by the Administrative Agent in respect of such amount and (ii) in the case of such Lender,
(A) the Federal Funds Rate in the case of Advances denominated in Dollars and (B) the cost of funds incurred by the Agent in the case of Advances denominated in Euros. If such Lender shall pay to the Administrative Agent such corresponding
amount, such amount so paid shall constitute such Lender’s Advance as part of such Borrowing for all purposes. 
  
 (f) The failure of any Lender to make the Advance to be made by it as part of any Borrowing shall not relieve any other Lender of its obligation, if any,
hereunder to make its Advance on the date of such Borrowing, but no Lender shall be responsible for the failure of any other Lender to make the Advance to be made by such other Lender on the date of any Borrowing. 
  
 SECTION 2.03. Issuance of and Drawings and Reimbursement Under Letters of
Credit. (a) Request for Issuance. Each Letter of Credit shall be issued upon notice, given not later than 12:00 P.M. (New York City time) on (i) the fifth Business Day (or such later day as the Issuing Bank may agree
in its sole discretion) prior to the date of the proposed issuance of such Letter of Credit (other than Letters of Credit denominated in a currency other than Dollars, Euros or Pounds Sterling) and (ii) the sixth Business Day prior to the date
of the proposed issuance in the case of a Letter of Credit for which the Borrower requests a currency other than Dollars, Euros or Pounds Sterling (in which case the Administrative Agent shall inquire and shall notify the Borrower as to whether such
currency has been consented to by all the Revolving Credit Lenders), by the Borrower to the applicable Issuing Bank and the Administrative Agent. Each such notice of issuance of a Letter of Credit (a “Notice of Issuance”) may
be by telephone or in writing or by telecopier and, if by telephone, shall be confirmed immediately in writing or by telecopier, specifying therein the requested (A) date of such issuance (which shall be a Business Day), (B) face amount
and currency (which shall be either Dollar or Euros or Pounds Sterling (or another currency consented to by all Revolving Credit Lenders as set forth in clause (ii) above) of such Letter of Credit, (C) expiration date of such Letter of
Credit (which shall be a date not later than the fifth Business Day prior to the Termination Date in respect of the Revolving Credit Facility), (D) name and address of the beneficiary of such Letter of Credit and (E) form of such Letter of
Credit, and shall be accompanied by such application and agreement for letter of credit as the Issuing Bank may specify to the Borrower for use in connection with such requested Letter of Credit (a “Letter of Credit
Agreement”). If (x) the requested form of such Letter of Credit is acceptable to the Issuing Bank in its sole discretion and (y) it has not received notice of objection 
  

 Pregis Credit Agreement 
  
 46 

 
to such issuance from the Administrative Agent or from Lenders holding at least a majority of the Revolving Credit Commitments, the Issuing Bank will, upon
fulfillment of the applicable conditions set forth in Article III, make such Letter of Credit available to the Borrower at its office referred to in Section 9.02 or as otherwise agreed with the Borrower in connection with such issuance. In
the event and to the extent that the provisions of any Letter of Credit Agreement shall conflict with this Agreement, the provisions of this Agreement shall govern. 
  
 (b) Letter of Credit Reports. The Issuing Bank shall furnish (A) to the Administrative Agent on the last
Business Day of each month a written report summarizing issuance and expiration dates of Letters of Credit issued during such month and drawings during such month under all Letters of Credit; provided, that in the case of each month that is the last
month of any fiscal quarter, the Issuing Bank shall provide such a written report on the date which is two weeks after the commencement of such month and again on the last Business Day of such month and (C) to the Administrative Agent and each
Revolving Credit Lender on the last Business Day of each calendar quarter a written report setting forth the average daily aggregate Available Amount during such calendar quarter of all Letters of Credit. 
  
 (c) Participations in Letters of Credit. Upon the issuance of a Letter
of Credit by the Issuing Bank under Section 2.03(a), the Issuing Bank shall be deemed, without further action by any party hereto, to have sold to each Revolving Credit Lender, and each Revolving Credit Lender shall be deemed, without further
action by any party hereto, to have purchased from the Issuing Bank, a participation in such Letter of Credit in an amount for each Revolving Credit Lender equal to such Lender’s Pro Rata Share of the Available Amount of such Letter of Credit,
effective upon the issuance of such Letter of Credit. In consideration and in furtherance of the foregoing, each Revolving Credit Lender hereby absolutely and unconditionally agrees to pay such Lender’s Pro Rata Share of each L/C Disbursement
made by the Issuing Bank and not reimbursed by the Borrower forthwith on the date due as provided in Section 2.04(e) by making available for the account of its Applicable Lending Office to the Administrative Agent for the account of the Issuing
Bank by deposit to the Administrative Agent’s Account, in same day funds, an amount equal to such Lender’s Pro Rata Share of such L/C Disbursement. Each Revolving Credit Lender acknowledges and agrees that its obligation to acquire
participations pursuant to this Section 2.03(c) in respect of Letters of Credit is absolute and unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and continuance of a Default or an Event of Default
or the termination of the Commitments, and that each such payment shall be made without any off-set, abatement, withholding or reduction whatsoever. If and to the extent that any Revolving Credit Lender shall not have so made the amount of such L/C
Disbursement available to the Administrative Agent, such Revolving Credit Lender agrees to pay to the Administrative Agent forthwith on demand such amount together with interest thereon, for each day from the date such L/C Disbursement is due
pursuant to Section 2.04(e) until the date such amount is paid to the Administrative Agent, at the Federal Funds Rate for its account or the account of the Issuing Bank, as applicable. If such Lender shall pay to the Administrative Agent such
amount for the account of the Issuing Bank on any Business Day, such amount so paid in respect of principal shall constitute a Letter of Credit Advance made by such Lender on such Business Day for purposes of this Agreement, and the outstanding
principal amount of the Letter of Credit Advance made by the Issuing Bank shall be reduced by such amount on such Business Day. Payments by Revolving Credit Lenders under this Section 2.03(c) shall be made in the same currency as that of the
applicable Letter of Credit, unless the Issuing Bank or the Administrative Agent shall have requested reimbursement thereof in the Equivalent in Dollars of such amount. 
  

 Pregis Credit Agreement 
  
 47 

 (d) Drawing and Reimbursement. The payment by the Issuing Bank of a draft drawn under any Letter
of Credit shall constitute for all purposes of this Agreement the making by the Issuing Bank of a Letter of Credit Advance, which shall be (i) a Base Rate Advance in the amount of such draft in the case of a Letter of Credit denominated in
Dollars and (ii) a Eurocurrency Advance with an Interest Period of one month in the amount of such draft in the case of a Letter of Credit denominated in Euros, Pounds Sterling or, if applicable, any other currency. 
  
 (e) Failure to Make Letter of Credit Advances. The failure of any
Lender to make the Letter of Credit Advance to be made by it on the date specified in Section 2.03(c) shall not relieve any other Lender of its obligation hereunder to make its Letter of Credit Advance on such date, but no Lender shall be
responsible for the failure of any other Lender to make the Letter of Credit Advance to be made by such other Lender on such date. 
  
 SECTION 2.04. Repayment of Advances. (a) Term B-1 Advances. The Borrower shall repay to the Administrative Agent for the ratable
account of the Term B-1 Lenders the aggregate outstanding principal amount of the Term B-1 Advances on the following dates (or, if any such date is not a Business Day, the immediately preceding Business Day) in the amounts indicated (which amounts
shall be reduced as a result of the application of prepayments in accordance with the order of priority set forth in Section 2.06): 
  

				
	 Date

	  	Amount

	 December 31, 2005
	  	$	220,000
	 March 31, 2006
	  	$	220,000
	 June 30, 2006
	  	$	220,000
	 September 30, 2006
	  	$	220,000
	 December 31, 2006
	  	$	220,000
	 March 31, 2007
	  	$	220,000
	 June 30, 2007
	  	$	220,000
	 September 30, 2007
	  	$	220,000
	 December 31, 2007
	  	$	220,000
	 March 31, 2008
	  	$	220,000
	 June 30, 2008
	  	$	220,000
	 September 30, 2008
	  	$	220,000
	 December 31, 2008
	  	$	220,000
	 March 31, 2009
	  	$	220,000
	 June 30, 2009
	  	$	220,000
	 September 30, 2009
	  	$	220,000
	 December 31, 2009
	  	$	220,000
	 March 31, 2010
	  	$	220,000
	 June 30, 2010
	  	$	220,000
	 September 30, 2010
	  	$	220,000
	 December 31, 2010
	  	$	220,000
	 March 31, 2011
	  	$	220,000
	 June 30, 2011
	  	$	220,000
	 September 30, 2011
	  	$	220,000
	 December 31, 2011
	  	$	20,680,000
	 March 31, 2012
	  	$	20,680,000
	 June 30, 2012
	  	$	20,680,000
	 Termination Date in respect of Term B Facilities
	  	$	20,680,000

  

 Pregis Credit Agreement 
  
 48 

 provided, however, that the final principal installment shall be repaid on the Termination Date (or, if
such date is not a Business Day, the immediately preceding Business Day) in respect of the Term B Facilities and in any event shall be in an amount equal to the aggregate principal amount of the Term B-1 Advances outstanding on such date.

  
 (b) Term B-2 Advances. The Borrower shall repay to the
Administrative Agent for the ratable account of the Term B-2 Lenders the aggregate outstanding principal amount of the Term B-2 Advances on the following dates (or, if such date is not a Business Day, the immediately preceding Business Day) in the
amounts indicated (which amounts shall be reduced as a result of the application of prepayments in accordance with the order of priority set forth in Section 2.06): 
  

				
	 Date

	  	Amount

	 December 31, 2005
	  	€	170,000
	 March 31, 2006
	  	€	170,000
	 June 30, 2006
	  	€	170,000
	 September 30, 2006
	  	€	170,000
	 December 31, 2006
	  	€	170,000
	 March 31, 2007
	  	€	170,000
	 June 30, 2007
	  	€	170,000
	 September 30, 2007
	  	€	170,000
	 December 31, 2007
	  	€	170,000
	 March 31, 2008
	  	€	170,000
	 June 30, 2008
	  	€	170,000
	 September 30, 2008
	  	€	170,000
	 December 31, 2008
	  	€	170,000
	 March 31, 2009
	  	€	170,000
	 June 30, 2009
	  	€	170,000
	 September 30, 2009
	  	€	170,000
	 December 31, 2009
	  	€	170,000
	 March 31, 2010
	  	€	170,000
	 June 30, 2010
	  	€	170,000
	 September 30, 2010
	  	€	170,000
	 December 31, 2010
	  	€	170,000
	 March 31, 2011
	  	€	170,000
	 June 30, 2011
	  	€	170,000
	 September 30, 2011
	  	€	170,000
	 December 31, 2011
	  	€	15,980,000
	 March 31, 2012
	  	€	15,980,000
	 June 30, 2012
	  	€	15,980,000
	 Termination Date in respect of Term B Facilities
	  	€	15,980,000

  

 Pregis Credit Agreement 
  
 49 

 provided, however, that the final principal installment shall be repaid on the Termination Date in respect
of the Term B Facilities and in any event shall be in an amount equal to the aggregate principal amount of the Term B-2 Advances outstanding on such date. 
  

(c) Revolving Credit Advances. The Borrower shall repay to the Administrative Agent for the ratable account of the Revolving Credit Lenders on
the Termination Date in respect of the Revolving Credit Facility the aggregate principal amount of the Revolving Credit Advances then outstanding. 
  
 (d) Swing Line Advances. The Borrower shall repay to the Administrative Agent for the account of the Swing Line Bank and each other Revolving
Credit Lender that has made a Swing Line Advance the outstanding principal amount of each Swing Line Advance made by each of them on the Termination Date in respect of the Revolving Credit Facility. 
  
 (e) Letter of Credit Advances. (i) The Borrower shall repay to
the Administrative Agent for the account of the Issuing Bank and each other Revolving Credit Lender that has made a Letter of Credit Advance on the earlier of (A) (1) in the case of a Letter of Credit Advance denominated in Dollars,
(x) the date of such Letter of Credit Advance, if the Borrower receives notice of such drawing by 11:00 A.M. (New York City time) on the date of such Letter of Credit Advance or (y) the next Business day, if the Borrower receives notice of
such drawing after 11:00 A.M. (New York City time) on the date of such Letter of Credit Advance and (2) in the case of a Letter of Credit Advance denominated in a currency other than Dollars, promptly but in no event later than the second
Business Day after such Letter of Credit Advance is made and (B) the Termination Date in respect of the Revolving Credit Facility the outstanding principal amount of each Letter of Credit Advance made by each of them. 
  
 (ii) The Obligations of the Borrower under this Agreement, any Letter of
Credit Agreement and any other agreement or instrument relating to any Letter of Credit shall be unconditional and irrevocable, and shall be paid strictly in accordance with the terms of this Agreement, such Letter of Credit Agreement and such other
agreement or instrument under all circumstances, including, without limitation, the following circumstances (it being understood that any such payment by the Borrower is without prejudice to, and does not constitute a waiver of, any rights the
Borrower might have or might acquire as a result of the payment by the Issuing Bank of any draft or the reimbursement by the Borrower thereof): 
  
 (A) any lack of validity or enforceability of any Loan Document, any Letter of Credit Agreement, any Letter of Credit or any other
agreement or instrument relating thereto (all of the foregoing being, collectively, the “L/C Related Documents”); 
  
 (B) any change in the time, manner or place of payment of, or in any other term of, all or any of the Obligations of the Borrower in
respect of any L/C Related Document or any other amendment or waiver of or any consent to departure from all or any of the L/C Related Documents; 
  

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 (C) the existence of any claim, set-off, defense or other right that the Borrower may
have at any time against any beneficiary or any transferee of a Letter of Credit (or any Persons for which any such beneficiary or any such transferee may be acting), the Issuing Bank or any other Person, whether in connection with the transactions
contemplated by the L/C Related Documents or any unrelated transaction; 
  
 (D) any statement or any other document presented under a Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any statement therein being untrue or inaccurate in any respect;

  
 (E) payment by the Issuing Bank under a
Letter of Credit against presentation of a draft, certificate or other document that does not strictly comply with the terms of such Letter of Credit; 
  
 (F) any exchange, release or non-perfection of any Collateral or other collateral, or any release or amendment or waiver of or consent to
departure from the Guaranties or any other guarantee, for all or any of the Obligations of the Borrower in respect of the L/C Related Documents; or 
  
 (G) any other circumstance or happening whatsoever, whether or not similar to any of the foregoing, including, without limitation, any
other circumstance that might otherwise constitute a defense available to, or a discharge of, the Borrower or a guarantor. 
  
 SECTION 2.05. Termination, Reduction or Extension of the Commitments. (a) Optional. The Borrower may, upon at least five Business
Days’ notice to the Administrative Agent, terminate in whole or reduce in part the unused portions of the Swing Line Facility and the Letter of Credit Facility and the Unused Revolving Credit Commitments; provided, however, that
each partial reduction of a Facility (i) shall be in an aggregate amount of $500,000 or an integral multiple of $250,000 in excess thereof and (ii) shall be made ratably among the Appropriate Lenders in accordance with their Commitments
with respect to such Facility. 
  
 (b) Mandatory.
(i) The Letter of Credit Facility shall be permanently reduced from time to time on the date of each reduction in the Revolving Credit Facility by the amount, if any, by which the amount of the Letter of Credit Facility exceeds the Revolving
Credit Facility after giving effect to such reduction of the Revolving Credit Facility. 
  
 (ii) The Swing Line Facility shall be permanently reduced from time to time on the date of each reduction in the Revolving Credit Facility by the amount, if any, by which the amount of the Swing Line Facility exceeds
the Revolving Credit Facility after giving effect to such reduction of the Revolving Credit Facility. 
  
 (c) Extension of Revolving Credit Commitment Termination Date. Notwithstanding anything herein to the contrary, the Borrower may by written notice
to Administrative Agent and the Syndication Agent (a “Request for Extension”), at least ten Business Days prior to the Termination Date in respect of the Revolving Credit Facility, request an extension to the existing
Termination Date in respect of the Revolving Credit Facility; provided such extension shall in any event not be later than the Termination Date in respect of 

  

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the Term B Facilities. Such notice shall specify the identity of each Lender or other Person that is an Eligible Assignee to whom the Borrower proposes any
portion of such extended Revolving Credit Commitments to be allocated and the amounts of such allocations; provided that any Lender approached to provide all or a portion of the extended revolving credit commitments (the “Extended
Revolving Credit Commitments”) may elect or decline, in its sole discretion, to provide such Extended Revolving Credit Commitment. The terms and provisions of the extended Revolving Credit Facility shall be identical to the Revolving
Credit Facility. On the original Termination Date in respect of the Revolving Credit Facility, subject to the satisfaction of the foregoing terms and conditions and to compliance with this Section 2.05(c), (a) the Termination Date in
respect of the Revolving Credit Facility shall, with respect to each Lender that has agreed in writing to extend its Revolving Credit Commitment (each, an “Extending Revolving Credit Lender”), be extended to the earliest of
(i) the date set forth in the Request for Extension as being the requested extended Termination Date, (ii) the seventh anniversary of the Effective Date and (iii) the date of termination in whole of the Revolving Credit Commitments
pursuant to Section 2.05 or 6.01, (b) each of the Revolving Credit Lenders that has not elected to extend its Revolving Credit Commitment (each, a “Declining Revolving Credit Lender”) shall either (i) assign to
the Eligible Assignees that have agreed to provide an Extended Revolving Credit Commitment (each, a “New Revolving Credit Lender”) or to Extending Revolving Credit Lenders that have agreed to increase their Revolving Credit
Commitments (each, an “Increasing Revolving Credit Lender”), and each of such New Revolving Credit Lenders and Increasing Revolving Credit Lenders shall purchase from each of the Declining Revolving Credit Lenders, in
accordance with the terms of Section 9.07, at the principal amount thereof (together with accrued interest, fees and expenses), on a pro rata basis across all such Declining Revolving Credit Lenders and all such New Revolving Credit Lenders and
Increasing Revolving Credit Lenders, such interests in the Revolving Credit Commitments and Revolving Credit Advances outstanding on such date as shall be necessary in order that, after giving effect to all such assignments and purchases, such
Revolving Credit Advances and Revolving Credit Commitments will be held by Extending Revolving Credit Lenders, New Revolving Credit Lenders and Increasing Revolving Credit Lenders ratably in accordance with their Extended Revolving Credit
Commitments or (ii) to the extent that the aggregate Revolving Credit Commitments exceed the aggregate amount of the Extended Revolving Credit Commitments, be repaid on the Termination Date in respect of the Revolving Credit Facility prior to
giving effect to any extension under this Section 2.05(c) (the “Existing Termination Date”) all principal, interest, fees and expenses owing to such Lender in respect of Revolving Credit Advances, and the Revolving
Credit Commitment of such Declining Revolving Credit Lender shall automatically terminate on the Existing Termination Date, (c) each Extended Revolving Credit Commitment shall be deemed for all purposes a Revolving Credit Commitment and each
Advance made thereunder shall be deemed, for all purposes, a Revolving Credit Advance and (d) each New Revolving Credit Lender shall, by its execution of an Assignment and Acceptance or an assumption agreement in form and substance satisfactory
to the Administrative Agent, become a Lender with respect to the Extended Revolving Credit Commitment. It is understood and agreed that (a) any extension of the Revolving Credit Commitments pursuant to this Section (i) shall not constitute
an extension of the Letter of Credit Commitment of any Issuing Bank unless such Issuing Bank shall so agree in its sole discretion and (ii) shall not constitute an extension of the Swing Line Commitment unless the Swing Line Bank shall so agree
in its sole discretion and (b) no Issuing Bank or Swing Line Bank shall be under any obligation to extend its Letter of Credit Commitment or Swing Line Commitment, as applicable. 
  

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 SECTION 2.06. Prepayments. (a) Optional. The Borrower may, upon at least one Business
Day’s notice in the case of Base Rate Advances and three Business Days’ notice in the case of Eurocurrency Rate Advances, in each case given before 12:00 P.M. (Local time) to the Administrative Agent stating the proposed date and aggregate
principal amount of the prepayment, and if such notice is given the Borrower shall, prepay the outstanding aggregate principal amount of the Advances comprising part of the same Borrowing in whole or ratably in part, together with accrued interest
to the date of such prepayment on the aggregate principal amount prepaid; provided, however, that (x) each partial prepayment shall be in an aggregate principal amount of $1,000,000 or an integral multiple of $500,000 in excess
thereof and (y) no such prepayment of a Eurocurrency Rate Advance shall be made other than on the last day of an Interest Period therefor. Each such prepayment of any Term Advances shall be applied ratably to the Term B-1 Facility and the Term
B-2 Facility (and, if required by the terms of any Incremental Facility, such Incremental Facility) in accordance with each Lender’s Term B Percentage (as amended pursuant to Section 2.17(a) to give effect to any Incremental Facility), to
the installments thereof first in order of maturity with respect to scheduled amortization payments scheduled to occur within 12 months of such prepayment of each Term Facility and second pro rata to the remaining
amortization payments under each of the Term Facilities. 
  
 (b)
Mandatory. (i) The Borrower shall, on the 120th day following the end of each Fiscal Year (commencing
with the Fiscal Year ended December 31, 2006), prepay an aggregate principal amount of the Advances comprising part of the same Borrowings in an amount equal to 50% (or, if the Leverage Ratio as of the end of such Fiscal Year is 4.00:1.00 or
lower, 25%) of the amount of Excess Cash Flow for such Fiscal Year minus the aggregate principal amount of all optional prepayments of the Advances (other than Revolving Credit Advances unless there is a corresponding permanent reduction in
the Revolving Credit Commitments) made during such Fiscal Year. Each such prepayment shall be applied ratably first in order of maturity with respect to scheduled amortization payments under each of the Term Facilities (including, for
the avoidance of doubt, if required by the terms of any Incremental Facility, such Incremental Facility) scheduled to occur within 12 months of such prepayment, in accordance with each Term Lender’s Term B Percentage (as amended pursuant to
Section 2.17(a) to give effect to any Incremental Facility), second pro rata to the remaining amortization payments under each of the Term Facilities, in accordance with each Term Lender’s Term B Percentage and
third to the Revolving Credit Facility as set forth in clause (v) below. 
  
 (ii) The Borrower shall, on the date of receipt of any Net Cash Proceeds by any Loan Party or any of its Subsidiaries prepay an aggregate principal amount of the Advances comprising part of the same Borrowings in an
amount equal to the Applicable Prepayment Percentage for such Net Cash Proceeds. Each such prepayment shall be applied ratably first in order of maturity with respect to scheduled amortization payments under each of the Term Facilities
scheduled to occur within 12 months of such prepayment, in accordance with each Term Lender’s Term B Percentage, second pro rata to the remaining amortization payments under each of the Term Facilities, in accordance with each
Term Lender’s Term B Percentage and third to the Revolving Credit Facility as set forth in clause (v) below. 
  

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 (iii) If, on any date, the Administrative Agent notifies the Borrower that the sum of (A) the
aggregate Available Amount of all Letters of Credit denominated in Dollars plus (B) the Equivalent in Dollars of the Available Amount of all Letters of Credit denominated in Foreign Currencies exceeds the Letter of Credit Facility on
such date, the Borrower shall, as soon as practicable and in any event within two Business Days after receipt of such notice, pay to the Administrative Agent for deposit in the L/C Cash Collateral Account an amount sufficient to cause the aggregate
amount on deposit in the L/C Cash Collateral Account to equal the amount by which the aggregate Available Amount of all Letters of Credit then outstanding exceeds the Letter of Credit Facility on such Business Day. 
  
 (iv) If, on any date, the Administrative Agent notifies the Borrower that the
sum of (A) the aggregate principal amount of all Revolving Credit Advances, Letter of Credit Advances and Swingline Advances denominated in Dollars then outstanding plus (B) the Equivalent in Dollars of the aggregate principal amount of
all Revolving Credit Advances and Letter of Credit Advances denominated in Foreign Currencies then outstanding plus (C) the aggregate Available Amount of all Letters of Credit denominated in Dollars plus (D) the Equivalent in Dollars of
the Available Amount of all Letters of Credit denominated in Foreign Currencies exceeds 105% of the Revolving Credit Facility on such date, the Borrower shall, as soon as practicable and in any event within two Business Days after receipt of such
notice, prepay the outstanding principal amount of any Revolving Credit Advances owing by the Borrower in an aggregate amount sufficient to reduce such sum to an amount not to exceed 100% of the Revolving Credit Facility on such date together with
any interest accrued to the date of such prepayment on the aggregate principal amount of Revolving Credit Advances prepaid. The Agent shall give prompt notice of any prepayment required under this Section 2.06(b) to the Borrower and the
Lenders, and shall provide prompt notice to the Borrower of any such notice of required prepayment received by it from any Lender. 
  
 (v) Prepayments of the Revolving Credit Facility made pursuant to clause (i) or (ii) above shall be first applied to prepay Letter
of Credit Advances then outstanding until such Advances are paid in full, second applied to prepay Swing Line Advances then outstanding until such Advances are paid in full and third applied to prepay Revolving Credit
Advances then outstanding comprising part of the same Borrowings until such Advances are paid in full, in each case, with no corresponding reduction in the Revolving Credit Commitments; and, in the case of prepayments of the Revolving Credit
Facility required pursuant to clause (i) or (ii) above, the amount remaining (if any) after the prepayment in full of the Advances then outstanding may be retained by the Borrower. Upon the drawing of any Letter of Credit for which funds
are on deposit in the L/C Cash Collateral Account, such funds shall be applied to reimburse the Issuing Bank or Revolving Credit Lenders, as applicable. 
  
 (vi) Anything contained in this Section 2.06(b) to the contrary notwithstanding, (A) if, following the occurrence of any “Asset Sale”
(as such term is defined in either of the Floating Rate Indenture or the Senior Subordinated Indenture) by any Loan Party or any of its Subsidiaries, the Borrower is required to commit by a particular date (a “Commitment
Date”) to apply or cause its Subsidiaries to apply an amount equal to any of the “Net Proceeds” (as defined in either of the Floating Rate Indenture or the Senior Subordinated Indenture) thereof in a particular manner, or to
apply by a particular date (an “Application Date”) an amount equal to any such “Net Proceeds” in a particular manner, in either case in order to excuse the Borrower 

  

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from being required to make an “Asset Sale Offer” (as defined in either of the Floating Rate Indenture or the Senior Subordinated Indenture) in
connection with such “Asset Sale,” and the Borrower shall have failed to so commit or to so apply an amount equal to such “Net Proceeds” at least 60 days before the applicable Commitment Date or Application Date, as the case may
be, or (B) if the Borrower at any other time shall have failed to apply or commit or cause to be applied an amount equal to any such “Net Proceeds,” and, within 60 days thereafter assuming no further application or commitment of an
amount equal to such “Net Proceeds” the Borrower would otherwise be required to make an “Asset Sale Offer” in respect thereof, then in either such case the Borrower shall immediately pay or cause to be paid to the Administrative
Agent an amount equal to such “Net Proceeds” to be applied to the payment of the Advances in such amounts as shall excuse the Borrower from making any such “Asset Sale Offer.” 
  
 (vii) All prepayments under this subsection (b) shall be made together
with accrued interest to the date of such prepayment on the principal amount prepaid, together with any amounts owing pursuant to Section 9.04(c). 
  
 SECTION 2.07. Interest. (a) Scheduled Interest. The Borrower shall pay interest on the unpaid principal amount of each Advance owing to
each Lender from the date of such Advance until such principal amount shall be paid in full, at the following rates per annum: 
  
 (i) Base Rate Advances. During such periods as such Advance is a Base Rate Advance, a rate per annum equal at all times to
the sum of (A) the Base Rate in effect from time to time plus (B) the Applicable Margin in effect from time to time, payable in arrears quarterly on the last Business Day of each of March, June, September and December during such
periods, commencing December 31, 2005, if any Base Rate Advance is outstanding on such date, and on the date such Base Rate Advance shall be Converted or paid in full. 
  
 (ii) Eurocurrency Rate Advances. During such periods as such Advance is a Eurocurrency Rate Advance,
a rate per annum equal at all times during each Interest Period for such Advance to the sum of (A) the Eurocurrency Rate for such Interest Period for such Advance plus (B) the Applicable Margin in effect from time to time,
payable in arrears on the last day of such Interest Period and, if such Interest Period has a duration of more than three months, on each day that occurs during such Interest Period every three months from the first day of such Interest Period and
on the date such Eurocurrency Rate Advance shall be Converted or paid in full. 
  
 Unless otherwise specifically provided in this Agreement, interest on each Advance shall be payable in the same currency in which the underlying Advance is denominated. 
  
 (b) Default Interest. Upon the occurrence and during the continuance of a Default under Section 6.01(a), the
Administrative Agent may, and upon the request of the Required Lenders shall, require that the Borrower pay interest (“Default Interest”) on (i) all overdue principal amounts, payable in arrears on the dates referred to
in clause (i) or (ii) of Section 2.07(a), as applicable, and on demand, at a rate per annum equal at all times to 2% per annum above the rate per annum required to be paid on such Advance pursuant to
clause (i) or (ii) of Section 2.07(a), as applicable, and (ii) to the fullest extent permitted by applicable law, the 

  

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amount of any interest, fee or other amount payable under this Agreement or any other Loan Document to any Agent or any Lender Party that is not paid when
due, from the date such amount shall be due until such amount shall be paid in full, payable in arrears on the date such amount shall be paid in full and on demand, at a rate per annum equal at all times to 2% per annum above the
rate per annum required to be paid on Base Rate Advances pursuant to clause (i) of Section 2.07(a); provided, however, that following the making of the request or the granting of the consent specified by Section 6.01 to
authorize the Administrative Agent to declare the Advances due and payable pursuant to the provisions of Section 6.01, Default Interest shall accrue and be payable hereunder whether or not previously required by the Administrative Agent.

  
 (c) Notice of Interest Period and Interest Rate.
Promptly after receipt of a Notice of Borrowing pursuant to Section 2.02(a), a notice of Conversion pursuant to Section 2.09 or a notice of selection of an Interest Period pursuant to the terms of the definition of “Interest
Period,” the Administrative Agent shall give notice to the Borrower and each Appropriate Lender of the applicable Interest Period and the applicable interest rate determined by the Administrative Agent for purposes of clause (a)(i) or
(a)(ii) above. 
  
 SECTION 2.08. Fees. (a) Facility
Fee. The Borrower shall pay to the Administrative Agent for the account of the Revolving Credit Lenders a facility fee, payable in Dollars, from the date hereof in the case of each Initial Lender that is a Revolving Credit Lender and from the
effective date specified in the Assignment and Acceptance or Assumption Agreement pursuant to which it became a Revolving Credit Lender in the case of each other Revolving Credit Lender until the Termination Date in respect of the Revolving Credit
Facility, payable in arrears quarterly on the last Business Day of each of March, June, September and December, commencing December 31, 2005, and on the Termination Date in respect of the Revolving Credit Facility, at the Applicable Facility
Fee Rate, on the total Revolving Credit Commitment of such Lender; provided, however, that no facility fee shall accrue on any of the Commitments of a Defaulting Lender so long as such Lender shall be a Defaulting Lender. 

 
 (b) Letter of Credit Fees, Etc. (i) The Borrower shall pay to
the Administrative Agent for the account of each Revolving Credit Lender a commission, payable in Dollars, in arrears quarterly on the last Business Day of each of March, June, September and December, commencing December 31, 2005, and on the
Termination Date in respect of the Revolving Credit Facility, on such Lender’s Pro Rata Share of the average daily aggregate Available Amount during such quarter of all Letters of Credit outstanding from time to time at the rate of the
Applicable Margin for Eurocurrency Rate Advances under the Revolving Credit Facility determined in the case of Foreign Currency Letters of Credit based on the Equivalent in Dollars of the applicable currency as of the day prior to the date of such
payment. 
  
 (ii) The Borrower shall pay to the Issuing Bank, for
its own account, (A) a fronting fee, payable in arrears quarterly on the last Business Day of March, June, September and December, commencing December 31, 2005, and on the Termination Date in respect of the Revolving Credit Facility, on
the average daily amount of its Letter of Credit Commitment during such quarter, from the Effective Date until the Termination Date in respect of the Revolving Credit Facility, at the rate of 0.25% per annum and (B) such other
commissions, fronting fees, transfer fees and other fees and charges in connection with the issuance or 

  

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administration of each Letter of Credit as the Borrower and the Issuing Bank shall agree and the reasonable out-of-pocket expenses of the Issuing Bank in
connection with the issuance or administration of each Letter of Credit. 
  
 (c) Agents’ Fees. The Borrower shall pay to each Agent for its own account such fees as may from time to time be agreed between the Borrower and such Agent. 
  
 SECTION 2.09. Conversion of Advances. (a) Optional. The
Borrower may on any Business Day, upon notice given to the Administrative Agent not later than 12:00 P.M. (New York City time) on the third Business Day prior to the date of the proposed Conversion and subject to the provisions of
Section 2.10, Convert all or any portion of the Advances of one Type comprising the same Borrowing into Advances of the other Type; provided, however, that if the Borrower wishes to request a Conversion to Eurocurrency Rate
Advances having an Interest Period of nine or twelve months’ duration, as provided in the definition of “Interest Period”, the applicable notice must be received by the Administrative Agent not later than 12:00 P.M. (New York
City time) on the fourth Business Day prior to the requested date of such Conversion, whereupon the Administrative Agent shall give prompt notice of such request to the Appropriate Lenders and determine whether or not the requested Interest Period
has been consented to by all the Appropriate Lenders; and provided further that Eurocurrency Rate Advances in Foreign Currencies may not be Converted into Base Rate Advances, any Conversion of Eurocurrency Rate Advances into Base Rate
Advances shall be made only on the last day of an Interest Period for such Eurocurrency Rate Advances, any Conversion of Base Rate Advances into Eurocurrency Rate Advances shall be in an amount not less than the minimum amount specified in
Section 2.02(c), no Conversion of any Advances shall result in more separate Borrowings than permitted under Section 2.02(c) and each Conversion of Advances comprising part of the same Borrowing under any Facility shall be made ratably
among the Appropriate Lenders in accordance with their Commitments under such Facility. Each such notice of Conversion shall, within the restrictions specified above, specify (i) the date of such Conversion, (ii) the Advances to be
Converted and (iii) if such Conversion is into Eurocurrency Rate Advances, the duration of the initial Interest Period for such Advances. Each notice of Conversion shall be irrevocable and binding on the Borrower. 
  
 (b) Mandatory. (i) On the date on which the aggregate unpaid
principal amount of Eurocurrency Rate Advances comprising any Borrowing shall be reduced, by payment or prepayment or otherwise, to less than $500,000, €300,000 or £ 300,000, as applicable, such Advances shall automatically (A) if
denominated in Dollars, Convert into Base Rate Advances and (B) if denominated in Euros, be deemed to have an Interest Period of one month. 
  
 (ii) If the Borrower shall fail to select the duration of any Interest Period for any Eurocurrency Rate Advances in accordance with the provisions
contained in the definition of “Interest Period” in Section 1.01, the Administrative Agent will forthwith so notify the Borrower and the Appropriate Lenders, whereupon each such Eurocurrency Rate Advance will automatically, on the
last day of then existing Interest Period therefor, (A) if denominated in Dollars, Convert into Base Rate Advances and (B) if denominated in Euros, be deemed to have an Interest Period of one month. 
  

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 (iii) Upon the occurrence and during the continuance of any Default, (A) each Eurocurrency Rate
Advance will automatically, on the last day of then existing Interest Period therefor, (1) if denominated in Dollars, Convert into a Base Rate Advance and (2) if denominated in a Foreign Currency, convert into a Eurocurrency Rate Advance
with an Interest Period of one month and (B) the obligation of the Lenders to make, or to Convert Advances into, Eurocurrency Rate Advances other than, in the case of Advances denominated in a Foreign Currency, Eurocurrency Rate Advances having
interest periods of only one month shall be suspended. 
  
 SECTION
2.10. Increased Costs, Etc. (a) If, due to either (i) the introduction of or any change in or in the interpretation of any law or regulation or (ii) the compliance with any guideline or request from any central bank or other
governmental authority including without limitation any agency of the European Union or other monetary authority (whether or not having the force of law), there shall be any increase in the cost to any Lender Party of agreeing to make or of making,
funding or maintaining Eurocurrency Rate Advances or of agreeing to issue or of issuing or maintaining or participating in Letters of Credit or of agreeing to make or of making or maintaining Letter of Credit Advances (excluding, for purposes of
this Section 2.10, any such increased costs resulting from taxes, as to which Section 2.12 shall govern), then the Borrower shall from time to time, upon demand by such Lender Party (with a copy of such demand to the Administrative Agent),
pay to the Administrative Agent for the account of such Lender Party additional amounts sufficient to compensate such Lender Party for such increased cost; provided that a Lender Party claiming additional amounts under this
Section 2.10(a) agrees to use reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to designate a different Applicable Lending Office if the making of such designation would avoid the need for, or
reduce the amount of, such increased cost that may thereafter accrue and would not, in the reasonable judgment of such Lender Party, be otherwise disadvantageous to such Lender Party. A certificate as to the amount of such increased cost, submitted
to the Borrower by such Lender Party, shall be conclusive and binding for all purposes, absent manifest error. 
  
 (b) If any Lender Party determines that compliance with any law or regulation or any guideline or request from any central bank or other governmental
authority (whether or not having the force of law) affects or would affect the amount of capital required or expected to be maintained by such Lender Party or any corporation controlling such Lender Party and that the amount of such capital is
increased by or based upon the existence of such Lender Party’s commitment to lend or to issue or participate in Letters of Credit hereunder and other commitments of such type or the issuance or maintenance of or participation in the Letters of
Credit (or similar Guaranteed Debts), then, upon demand by such Lender Party or such corporation (with a copy of such demand to the Administrative Agent), the Borrower shall pay to the Administrative Agent for the account of such Lender Party, from
time to time as specified by such Lender Party, additional amounts sufficient to compensate such Lender Party in the light of such circumstances, to the extent that such Lender Party reasonably determines such increase in capital to be allocable to
the existence of such Lender Party’s commitment to lend or to issue or participate in Letters of Credit hereunder or to the issuance or maintenance of or participation in any Letters of Credit. A certificate as to such amounts submitted to the
Borrower by such Lender Party shall be conclusive and binding for all purposes, absent manifest error. 
  

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 (c) If, with respect to any Eurocurrency Rate Advances under any Facility, Lenders owed a majority of
then aggregate unpaid principal amount thereof notify the Administrative Agent that the Eurocurrency Rate for any Interest Period for such Advances will not adequately reflect the cost to such Lenders of making, funding or maintaining their
Eurocurrency Rate Advances for such Interest Period, the Administrative Agent shall forthwith so notify the Borrower and the Appropriate Lenders, whereupon (i) each such Eurocurrency Rate Advance under such Facility will automatically, on the
last day of then existing Interest Period therefor, (A) if denominated in Dollars, be Converted into a Base Rate Advance and (B) if denominated in Euros or Pounds Sterling, bear interest at a rate per annum mutually agreed by the Borrower
and the Administrative Agent in good faith as soon as practicable and in any event before the end of the then-current Interest Period or, if no such rate is agreed, a rate equal to the sum of (x) the Applicable Margin and (y) the rate per
annum that compensates each Lender for the cost of funding its Loans, as notified to the Administrative Agent and the Borrower, and (ii) the obligation of the Appropriate Lenders to make, or to Convert Advances into, Eurocurrency Rate Advances
shall be suspended until the Administrative Agent shall notify the Borrower that such Lenders have determined that the circumstances causing such suspension no longer exist. 
  
 (d) Notwithstanding any other provision of this Agreement, if the introduction of or any change in or in the interpretation
of any law or regulation shall make it unlawful, or any central bank or other governmental authority shall assert that it is unlawful, for any Lender or its Eurocurrency Lending Office to perform its obligations hereunder to make Eurocurrency Rate
Advances or to continue to fund or maintain Eurocurrency Rate Advances hereunder, then, on notice thereof and demand therefor by such Lender to the Borrower through the Administrative Agent, (i) each Eurocurrency Rate Advance under each
Facility under which such Lender has a Commitment will automatically, upon such demand, (A) if denominated in Dollars, be Converted into a Base Rate Advance and (B) if denominated in Euros or Pounds Sterling, bear interest at a rate per
annum mutually agreed by the Borrower and the Administrative Agent in good faith as soon as practicable and in any event before the end of the then-current Interest Period or, if no such rate is agreed, a rate equal to the sum of (x) the
Applicable Margin and (y) the rate per annum that compensates each Lender for the cost of funding its Loans, as notified to the Administrative Agent and the Borrower, and (ii) the obligation of the Appropriate Lenders to make, or to
Convert Advances into, Eurocurrency Rate Advances shall be suspended until the Administrative Agent shall notify the Borrower that such Lender has determined that the circumstances causing such suspension no longer exist; provided,
however, that, before making any such demand, such Lender agrees to use reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to designate a different Eurocurrency Lending Office if the making of such
a designation would allow such Lender or its Eurocurrency Lending Office to continue to perform its obligations to make Eurocurrency Rate Advances or to continue to fund or maintain Eurocurrency Rate Advances, and would not, in the judgment of such
Lender, be otherwise disadvantageous to such Lender. 
  
 (e) In
the event that any Lender Party demands payment of costs or additional amounts pursuant to this Section 2.10 or Section 2.12 or asserts, pursuant to Section 2.10(d), that it is unlawful for such Lender Party to make Eurocurrency Rate
Advances or becomes a Defaulting Lender then (subject to such Lender Party’s right to rescind such demand or assertion within 10 days after the notice from the Borrower referred to below) the Borrower may, upon 20 

  

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days’ prior written notice to such Lender Party and the Administrative Agent, elect to cause such Lender Party to assign its Advances and Commitments in
full to one or more Persons selected by the Borrower so long as (i) each such Person satisfies the criteria of an Eligible Assignee, (ii) such Lender Party receives payment in full in cash of the outstanding principal amount of all
Advances made by it and all accrued and unpaid interest thereon and all other amounts due and payable to such Lender Party as of the date of such assignment (including, without limitation, amounts owing pursuant to Sections 2.10, 2.12 and 9.04) and
(iii) each such assignee agrees to accept such assignment and to assume all obligations of such Lender Party hereunder in accordance with Section 9.07. 
  
 SECTION 2.11. Payments and Computations. (a) The Borrower shall make each payment hereunder and under the other
Loan Documents, irrespective of any right of counterclaim or set-off (except as otherwise provided in Section 2.15), not later than 12:00 P.M. (Local time) on the day when due in Dollars or the applicable Foreign Currency to the
Administrative Agent at the Administrative Agent’s Account in same day funds, with payments being received by the Administrative Agent after such time being deemed to have been received on the next succeeding Business Day. The Administrative
Agent will promptly thereafter cause like funds to be distributed (i) if such payment by the Borrower is in respect of principal, interest, facility fees or any other Obligation then payable hereunder and under the other Loan Documents to more
than one Lender Party, to such Lender Parties for the account of their respective Applicable Lending Offices ratably in accordance with the amounts of such respective Obligations then payable to such Lender Parties and (ii) if such payment by
the Borrower is in respect of any Obligation then payable hereunder to one Lender Party, to such Lender Party for the account of its Applicable Lending Office, in each case to be applied in accordance with the terms of this Agreement. 
  
 (b) The Borrower hereby authorizes each Lender Party and each of its
Affiliates, if and to the extent payment owed to such Lender Party is not made when due hereunder or under the other Loan Documents to charge from time to time, to the fullest extent permitted by law, against any or all of the Borrower’s
accounts with such Lender Party or such Affiliate any amount so due. 
  
 (c) All computations of interest based on the Base Rate shall be made by the Administrative Agent on the basis of a year of 365 or 366 days, as the case may be, and all computations of interest based on the Eurocurrency Rate or the Federal
Funds Rate and of fees and Letter of Credit commissions shall be made by the Administrative Agent on the basis of a year of 360 days, in each case for the actual number of days (including the first day but excluding the last day) occurring in the
period for which such interest, fees or commissions are payable. Each determination by the Administrative Agent of an interest rate, fee or commission hereunder shall be conclusive and binding for all purposes, absent manifest error. 
  
 (d) Whenever any payment hereunder or under the other Loan Documents shall be
stated to be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day, and such extension of time shall in such case be included in the computation of payment of interest or commitment or letter of
credit fee or commission, as the case may be; provided, however, that, if such extension would cause payment of interest on or principal of Eurocurrency Rate Advances to be made in the next following calendar month, such payment shall
be made on the next preceding Business Day. 

  

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 (e) Unless the Administrative Agent shall have received notice from the Borrower prior to the date on
which any payment is due to any Lender Party hereunder that the Borrower will not make such payment in full, the Administrative Agent may assume that the Borrower has made such payment in full to the Administrative Agent on such date and the
Administrative Agent may, in reliance upon such assumption, cause to be distributed to each such Lender Party on such due date an amount equal to the amount then due such Lender Party. If and to the extent the Borrower shall not have so made such
payment in full to the Administrative Agent, each such Lender Party shall repay to the Administrative Agent forthwith on demand such amount distributed to such Lender Party together with interest thereon, for each day from the date such amount is
distributed to such Lender Party until the date such Lender Party repays such amount to the Administrative Agent, at the Federal Funds Rate. 
  
 (f) If the Administrative Agent receives funds for application to the Obligations of the Loan Parties under or in respect of the Loan Documents under
circumstances for which the Loan Documents do not specify the Advances or the Facility to which, or the manner in which, such funds are to be applied, the Administrative Agent may, but shall not be obligated to, elect to distribute such funds to
each of the Lender Parties in accordance with such Lender Party’s pro rata share of the sum of (A) the aggregate principal amount of all Advances outstanding at such time and (b) the aggregate Available Amount of all Letters of
Credit outstanding at such time, in repayment or prepayment of such of the outstanding Advances or other Obligations then owing to such Lender Party, and, in the case of the Term Facilities, for application to such principal repayment installments
thereof, as the Administrative Agent shall direct. 
  
 SECTION
2.12. Taxes. (a) Except as set forth below, any and all payments by any Loan Party to or for the account of any Lender Party or any Agent hereunder or under any other Loan Document shall be made, in accordance with Section 2.11 or
the applicable provisions of such other Loan Document, if any, free and clear of and without deduction for any and all present or future taxes, levies, imposts, deductions, charges or withholdings, and all liabilities with respect thereto,
excluding, in the case of each Lender Party and each Agent, taxes that are imposed on its overall net income by the United States and taxes that are imposed on its overall net income (and franchise taxes imposed in lieu thereof) by the state
or foreign jurisdiction under the laws of which such Lender Party or such Agent, as the case may be, is organized or any political subdivision thereof and, in the case of each Lender Party, taxes that are imposed on its overall net income (and
franchise taxes imposed in lieu thereof) by the state or foreign jurisdiction of such Lender Party’s Applicable Lending Office or any political subdivision thereof (all such non-excluded taxes, levies, imposts, deductions, charges, withholdings
and liabilities in respect of payments hereunder or under any other Loan Document being hereinafter referred to as “Taxes”). If any Loan Party shall be required by law to deduct any Taxes from or in respect of any sum payable
hereunder or under any other Loan Document to any Lender Party or any Agent, (i) the sum payable by such Loan Party shall be increased as may be necessary so that after such Loan Party and the Administrative Agent have made all required
deductions (including deductions applicable to additional sums payable under this Section 2.12) such Lender Party or such Agent, as the case may be, receives an amount equal to 
  

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the sum it would have received had no such deductions been made, (ii) such Loan Party shall make all such deductions and (iii) such Loan Party
shall pay the full amount deducted to the relevant taxation authority or other authority in accordance with applicable law. 
  
 (b) In addition, each Loan Party shall pay any present or future stamp, documentary, excise, property, intangible, mortgage recording or similar taxes,
charges or levies that arise under any Loan Documents or from the execution, delivery or registration of, performance under, or otherwise with respect to, this Agreement or the other Loan Documents (hereinafter referred to as “Other
Taxes”). 
  
 (c) The Loan Parties shall indemnify
each Lender Party and each Agent for and hold them harmless against the full amount of Taxes and Other Taxes, and for the full amount of Taxes or Other Taxes imposed or asserted by any jurisdiction on amounts payable under this Section 2.12,
imposed on or paid by such Lender Party or such Agent (as the case may be) and any liability (including penalties, additions to tax, interest and expenses) arising therefrom or with respect thereto. This indemnification shall be made within 30 days
from the date such Lender Party or such Agent (as the case may be) makes written demand therefor. 
  
 (d) Within 30 days after the date of any payment of Taxes, the appropriate Loan Party shall furnish to the Administrative Agent, at its address referred
to in Section 9.02, the original or a certified copy of a receipt evidencing such payment, to the extent such a receipt is issued therefor, or other written proof of payment thereof that is reasonably satisfactory to the Administrative Agent.
For purposes of subsections (d) and (e) of this Section 2.12, the terms “United States” and “United States person” shall have the meanings specified in Section 7701 of the Internal
Revenue Code. 
  
 (e) Each Lender Party that is not a United
States person (a “Foreign Lender”) shall, on or prior to the date of its execution and delivery of this Agreement in the case of each Initial Lender Party and on the date of the Assignment and Acceptance or Assumption
Agreement pursuant to which it becomes a Lender Party in the case of each other Lender Party, and from time to time thereafter as reasonably requested in writing by the Borrower (but only so long thereafter as such Foreign Lender remains lawfully
able to do so), provide each of the Administrative Agent and the Borrower with two original Internal Revenue Service Forms W-8BEN or W-8ECI, as appropriate, or any successor or other form prescribed by the Internal Revenue Service, certifying
that such Foreign Lender is exempt from or entitled to a reduced rate of United States withholding tax on payments pursuant to this Agreement or any other Loan Document. In addition, a Foreign Lender shall deliver such forms promptly upon the
invalidity of any form previously delivered by such Lender Party resulting from a change in facts regarding such Lender Party. If the forms provided by a Lender Party at the time such Lender Party first becomes a party to this Agreement indicate a
United States interest withholding tax rate in excess of zero, withholding tax at such rate shall be considered excluded from Taxes unless and until such Lender Party provides the appropriate forms certifying that a lesser rate applies, whereupon
withholding tax at such lesser rate only shall be considered excluded from Taxes for periods governed by such forms; provided, however, that if, at the effective date of the Assignment and Acceptance or Assumption Agreement pursuant to
which a Lender Party becomes a party to this Agreement, the Lender Party assignor was entitled to payments under subsection (a) of this Section 2.12 in respect of United States withholding tax with respect to 

  

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interest paid at such date, then, to such extent, the term Taxes shall include (in addition to withholding taxes that may be imposed at an increased rate in
the future or other amounts otherwise includable in Taxes) United States withholding tax, if any, applicable with respect to the Lender Party assignee on such date. If any form or document referred to in this subsection (e) requires the
disclosure of information, other than information necessary to compute the tax payable and information required on the date hereof by Internal Revenue Service Form W-8BEN or W-8ECI, that the applicable Lender Party reasonably considers to be
confidential, such Lender Party shall give notice thereof to the Borrower and shall not be obligated to include in such form or document such confidential information. 
  
 (f) Each Lender Party that is a United States person that is not a person whose name indicates that it is an “exempt
recipient” (as such term is defined in Section 1.6049-4(c)(ii) of the United States Treasury Regulations) shall deliver to the Borrower and the Administrative Agent, on or prior to the date of its execution and delivery of this Agreement
in the case of each Initial Lender Party and on the date of the Assignment and Acceptance or Assumption Agreement pursuant to which it becomes a Lender Party in the case of each other Lender Party, two original copies of Internal Revenue Service
Form W-9 (or any successor forms), properly completed and duly executed by such Lender Party, and such other documentation reasonably requested by the Borrower, establishing that the Lender Party is not subject to U.S. backup withholding tax.

  
 (g) For any period with respect to which a Lender Party has
failed to provide the Borrower with the appropriate form, certificate or other document described in subsection (e) or (f) above (other than if such failure is due to a change in law, or in the interpretation or application thereof,
occurring after the date on which a form, certificate or other document originally was required to be provided or if such form, certificate or other document otherwise is not required under subsection (e) above), such Lender Party shall not be
entitled to indemnification or increase in amounts payable under subsections (a) or (c) of this Section 2.12 with respect to Taxes imposed by the United States by reason of such failure; provided, however, that should a
Lender Party become subject to Taxes because of its failure to deliver a form, certificate or other document required hereunder, the Loan Parties shall use reasonable efforts to take such steps as such Lender Party shall reasonably request to assist
such Lender Party to recover such Taxes. 
  
 (h) Any Lender Party
claiming any additional amounts payable pursuant to this Section 2.12 agrees to use reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to change the jurisdiction of its Applicable Lending Office or
take other steps reasonably requested by Borrower if the making of such a change or the taking of such steps would avoid the need for, or reduce the amount of, any such additional amounts that may thereafter accrue and would not, in the reasonable
judgment of such Lender Party, be otherwise disadvantageous to such Lender Party. 
  
 (i) If the Agent or a Lender Party determines, in its sole discretion, that it has received a refund or credit (in lieu of such refund other than a foreign tax credit) of any Taxes or Other Taxes as to which it has
been indemnified by a Loan Party, or with respect to which a Loan Party has paid additional amounts pursuant to this section 2.12, it shall pay to the Borrower an amount equal to such refund (but only to the extent of indemnity payments made, or

  

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additional amounts paid, by the Loan Party under this Section with respect to the Taxes or Other Taxes giving rise to such refund), net of all reasonable
out-of-pocket expenses of the Agent or Lender Party, 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 Agent or a Lender Party, agrees to repay the amount paid over to the Borrower (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) to the Agent or Lender Party in the event the Agent or Lender Party is
required to repay such refund to such Governmental Authority. This subsection shall not be construed to require the Agent or Lender Party 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 2.13. Sharing
of Payments, Etc. If any Lender Party shall obtain at any time any payment (whether voluntary, involuntary, through the exercise of any right of set-off, or otherwise, other than as a result of an assignment pursuant to Section 9.07)
(a) on account of Obligations due and payable to such Lender Party hereunder and under the other Loan Documents at such time in excess of its ratable share (according to the proportion of (i) the amount of such Obligations due and payable
to such Lender Party at such time to (ii) the aggregate amount of the Obligations due and payable to all Lender Parties hereunder and under the other Loan Documents at such time) of payments on account of the Obligations due and payable to all
Lender Parties hereunder and under the other Loan Documents at such time obtained by all the Lender Parties at such time or (b) on account of Obligations owing (but not due and payable) to such Lender Party hereunder and under the other Loan
Documents at such time in excess of its ratable share (according to the proportion of (i) the amount of such Obligations owing to such Lender Party at such time to (ii) the aggregate amount of the Obligations owing (but not due and
payable) to all Lender Parties hereunder and under the other Loan Documents at such time) of payments on account of the Obligations owing (but not due and payable) to all Lender Parties hereunder and under the other Loan Documents at such time
obtained by all of the Lender Parties at such time, such Lender Party shall forthwith purchase from the other Lender Parties such interests or participating interests in the Obligations due and payable or owing to them, as the case may be, as shall
be necessary to cause such purchasing Lender Party to share the excess payment ratably with each of them; provided, however, that if all or any portion of such excess payment is thereafter recovered from such purchasing Lender Party,
such purchase from each other Lender Party shall be rescinded and such other Lender Party shall repay to the purchasing Lender Party the purchase price to the extent of such Lender Party’s ratable share (according to the proportion of
(i) the purchase price paid to such Lender Party to (ii) the aggregate purchase price paid to all Lender Parties) of such recovery together with an amount equal to such Lender Party’s ratable share (according to the proportion of
(i) the amount of such other Lender Party’s required repayment to (ii) the total amount so recovered from the purchasing Lender Party) of any interest or other amount paid or payable by the purchasing Lender Party in respect of the
total amount so recovered. The Loan Parties agree that any Lender Party so purchasing an interest or participating interest from another Lender Party pursuant to this Section 2.13 may, to the fullest extent permitted by law, exercise all its
rights of payment (including the right of set-off) with respect to such interest or participating interest, as the case may be, as fully as if such Lender Party were the direct creditor of the Loan Parties in the amount of such interest or
participating interest, as the case may be. 
  

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 SECTION 2.14. Use of Proceeds. (a) The proceeds of the Term Advances will be used by the
Borrower on the Effective Date, together with the proceeds of the Floating Rate Notes, the Senior Subordinated Notes and the Equity Contribution, solely (i) to finance the Acquisition, (ii) to pay transaction fees and expenses, and
(iii) to refinance certain Existing Debt of the Companies. 
  
 (b) The proceeds of the Revolving Credit Advances will be used by the Borrower solely for working capital and general corporate purposes (including for Investments permitted under Section 5.02(f) and Capital Expenditures to the extent
permitted under the Loan Documents); provided the Borrower may use proceeds of the Revolving Credit Advances to pay purchase price adjustments, if any, pursuant to the Purchase Agreement. 
  
 (c) Letters of Credit shall be available (and the Borrower agrees that it
shall use such proceeds and Letters of Credit) solely to support payment obligations incurred in the ordinary course of business by the Borrower and its Subsidiaries. 
  
 SECTION 2.15. Defaulting Lenders. (a) In the event that, at any one time, (i) any Lender Party shall be a
Defaulting Lender, (ii) such Defaulting Lender shall owe a Defaulted Advance to the Borrower and (iii) the Borrower shall be required to make any payment hereunder or under any other Loan Document to or for the account of such Defaulting
Lender, then the Borrower may, so long as no Event of Default shall occur or be continuing at such time and to the fullest extent permitted by applicable law, set off and otherwise apply the Obligation of the Borrower to make such payment to or for
the account of such Defaulting Lender against the obligation of such Defaulting Lender to make such Defaulted Advance. In the event that, on any date, the Borrower shall so set off and otherwise apply its obligation to make any such payment against
the obligation of such Defaulting Lender to make any such Defaulted Advance on or prior to such date, the amount so set off and otherwise applied by the Borrower shall constitute for all purposes of this Agreement and the other Loan Documents an
Advance by such Defaulting Lender made on the date of such setoff under the Facility pursuant to which such Defaulted Advance was originally required to have been made pursuant to Section 2.01. Such Advance shall be considered, for all purposes
of this Agreement, to comprise part of the Borrowing in connection with which such Defaulted Advance was originally required to have been made pursuant to Section 2.01, even if the other Advances comprising such Borrowing shall be Eurocurrency
Rate Advances on the date such Advance is deemed to be made pursuant to this subsection (a). The Borrower shall notify the Administrative Agent at any time the Borrower exercises its right of set-off pursuant to this subsection (a) and
shall set forth in such notice (A) the name of the Defaulting Lender and the Defaulted Advance required to be made by such Defaulting Lender and (B) the amount set off and otherwise applied in respect of such Defaulted Advance pursuant to
this subsection (a). Any portion of such payment otherwise required to be made by the Borrower to or for the account of such Defaulting Lender which is paid by the Borrower, after giving effect to the amount set off and otherwise applied by the
Borrower pursuant to this subsection (a), shall be applied by the Administrative Agent as specified in subsection (b) or (c) of this Section 2.15. 
  
 (b) In the event that, at any one time, (i) any Lender Party shall be a Defaulting Lender, (ii) such Defaulting
Lender shall owe a Defaulted Amount to any Agent or any of the other Lender Parties and (iii) the Borrower shall make any payment hereunder or 

  

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under any other Loan Document to the Administrative Agent for the account of such Defaulting Lender, then the Administrative Agent may, on its behalf or on
behalf of such other Agents or such other Lender Parties and to the fullest extent permitted by applicable law, apply at such time the amount so paid by the Borrower to or for the account of such Defaulting Lender to the payment of each such
Defaulted Amount to the extent required to pay such Defaulted Amount. In the event that the Administrative Agent shall so apply any such amount to the payment of any such Defaulted Amount on any date, the amount so applied by the Administrative
Agent shall constitute for all purposes of this Agreement and the other Loan Documents payment, to such extent, of such Defaulted Amount on such date. Any such amount so applied by the Administrative Agent shall be retained by the Administrative
Agent or distributed by the Administrative Agent to such other Agents or such other Lender Parties, ratably in accordance with the respective portions of such Defaulted Amounts payable at such time to the Administrative Agent, such other Agents and
such other Lender Parties and, if the amount of such payment made by the Borrower shall at such time be insufficient to pay all Defaulted Amounts owing at such time to the Administrative Agent, such other Agents and such other Lender Parties, in the
following order of priority: 
  
 (i)
first, to the Agents for any Defaulted Amounts then owing to them, in their capacities as such, ratably in accordance with such respective Defaulted Amounts then owing to the Agents; 
  
 (ii) second, to the Issuing Bank and the Swing
Line Bank for any Defaulted Amounts then owing to them, in their capacities as such, ratably in accordance with such respective Defaulted Amounts then owing to the Issuing Bank and the Swing Line Bank; and 
  
 (iii) third, to any other Lender Parties for
any Defaulted Amounts then owing to such other Lender Parties, ratably in accordance with such respective Defaulted Amounts then owing to such other Lender Parties. 
  
 Any portion of such amount paid by the Borrower for the account of such Defaulting Lender remaining, after giving effect to the amount
applied by the Administrative Agent pursuant to this subsection (b), shall be applied by the Administrative Agent as specified in subsection (c) of this Section 2.15. 
  
 (c) In the event that, at any one time, (i) any Lender Party shall be a Defaulting Lender, (ii) such Defaulting
Lender shall not owe a Defaulted Advance or a Defaulted Amount and (iii) the Borrower, any Agent or any other Lender Party shall be required to pay or distribute any amount hereunder or under any other Loan Document to or for the account of
such Defaulting Lender, then the Borrower or such Agent or such other Lender Party shall pay such amount to the Administrative Agent to be held by the Administrative Agent, to the fullest extent permitted by applicable law, in escrow or the
Administrative Agent shall, to the fullest extent permitted by applicable law, hold in escrow such amount otherwise held by it. Any funds held by the Administrative Agent in escrow under this subsection (c) shall be deposited by the
Administrative Agent in an account with CS or another commercial bank selected by the Administrative Agent (the “Escrow Bank”), in the name and under the control of the Administrative Agent, but subject to the provisions of
this subsection (c). The terms applicable 

  

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to such account, including the rate of interest payable with respect to the credit balance of such account from time to time, shall be the Escrow Bank’s
standard terms applicable to escrow accounts maintained with it. Any interest credited to such account from time to time shall be held by the Administrative Agent in escrow under, and applied by the Administrative Agent from time to time in
accordance with the provisions of, this subsection (c). The Administrative Agent shall, to the fullest extent permitted by applicable law, apply all funds so held in escrow from time to time to the extent necessary to make any Advances required
to be made by such Defaulting Lender and to pay any amount payable by such Defaulting Lender hereunder and under the other Loan Documents to the Administrative Agent or any other Lender Party, as and when such Advances or amounts are required to be
made or paid and, if the amount so held in escrow shall at any time be insufficient to make and pay all such Advances and amounts required to be made or paid at such time, in the following order of priority: 
  
 (i) first, to the Agents for any amounts then
due and payable by such Defaulting Lender to them hereunder, in their capacities as such, ratably in accordance with such respective amounts then due and payable to the Agents; 
  
 (ii) second, to the Issuing Bank and the Swing Line Bank for any amounts then due and payable
to them hereunder, in their capacities as such, by such Defaulting Lender, ratably in accordance with such respective amounts then due and payable to the Issuing Bank and the Swing Line Bank; 
  
 (iii) third, to any other Lender Parties for
any amount then due and payable by such Defaulting Lender to such other Lender Parties hereunder, ratably in accordance with such respective amounts then due and payable to such other Lender Parties; and 
  
 (iv) fourth, to the Borrower for any Advance
then required to be made by such Defaulting Lender pursuant to a Commitment of such Defaulting Lender. 
  
 In the event that any Lender Party that is a Defaulting Lender shall, at any time, cease to be a Defaulting Lender, any funds held by the Administrative Agent in escrow at such time with respect to such Lender Party
shall be distributed by the Administrative Agent to such Lender Party and applied by such Lender Party to the Obligations owing to such Lender Party at such time under this Agreement and the other Loan Documents ratably in accordance with the
respective amounts of such Obligations outstanding at such time. 
  
 (d) The rights and remedies against a Defaulting Lender under this Section 2.15 are in addition to other rights and remedies that the Borrower may have against such Defaulting Lender with respect to any Defaulted Advance and that any
Agent or any Lender Party may have against such Defaulting Lender with respect to any Defaulted Amount. 
  
 SECTION 2.16. Evidence of Debt. (a) Each Lender Party shall maintain in accordance with its usual practice an account or accounts evidencing
the indebtedness of the Borrower to such Lender resulting from each Advance owing to such Lender Party from time to time, including the amounts of principal and interest payable and paid to such Lender from time to time hereunder. The Borrower
agrees that upon notice by any Lender Party to the Borrower (with a copy of such notice to the Administrative Agent) to the effect that a promissory note or 
  

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other evidence of indebtedness is required or appropriate in order for such Lender Party to evidence (whether for purposes of pledge, enforcement or
otherwise) the Advances owing to, or to be made by, such Lender Party, the Borrower shall promptly execute and deliver to such Lender Party, with a copy to the Administrative Agent, a Revolving Credit Note, Term B-1 Note and a Term B-2 Note, as
applicable, in substantially the form of Exhibits A-1, A-2 and A-3 hereto, respectively, payable to the order of such Lender Party in a principal amount equal to the Revolving Credit Commitment, the Term B-1 Advances and the Term B-2 Advances,
respectively, of such Lender Party. All references to Notes in the Loan Documents shall mean Notes, if any, to the extent issued hereunder. 
  
 (b) The Register maintained by the Administrative Agent pursuant to Section 9.07(d) shall include a control account, and a subsidiary account for
each Lender Party, in which accounts (taken together) shall be recorded (i) the date, amount and currency of each Borrowing made hereunder, the Type of Advances comprising such Borrowing and, if appropriate, the Interest Period applicable
thereto, (ii) the terms of each Assignment and Acceptance delivered to and accepted by it, (iii) the amount of any principal or interest due and payable or to become due and payable from the Borrower to each Lender Party hereunder and
(iv) the amount of any sum received by the Administrative Agent from the Borrower hereunder and each Lender Party’s share thereof. 
  
 (c) Entries made in good faith by the Administrative Agent in the Register pursuant to subsection (b) above, and by each Lender Party in its account
or accounts pursuant to subsection (a) above, shall be prima facie evidence of the amount of principal and interest due and payable or to become due and payable from the Borrower to, in the case of the Register, each Lender Party and, in
the case of such account or accounts, such Lender Party, under this Agreement, absent manifest error; provided, however, that the failure of the Administrative Agent or such Lender Party to make an entry, or any finding that an entry
is incorrect, in the Register or such account or accounts shall not limit or otherwise affect the obligations of the Borrower under this Agreement. 
  
 SECTION 2.17. Incremental Facility. (a) The Borrower may, at any time and from time to time prior to the Termination Date, by notice to the
Administrative Agent, request the addition of one or more new term loan facilities (each an “Incremental Term Facility”) denominated in Dollars or Euros, pursuant to additional commitments (the “Incremental Term
Commitments”) in an amount up to the sum of $100,000,000 (or the Equivalent thereof in Euros) in the aggregate to be effective as of a date (the “Increase Date”) specified in the related notice to the
Administrative Agent; provided, however, that (i) in no event shall the aggregate amount of all of the Incremental Term Commitments exceed $100,000,000 (or the Equivalent thereof in Euros), (ii) the Borrower may make a
maximum of four such requests, (iii) on the date of any request by the Borrower for an Incremental Term Facility and on the related Increase Date, the applicable conditions set forth in Section 3.02 and in subsection (e) of this
Section 2.17 shall be satisfied, (iv) after giving effect to any such Incremental Term Facility, the Borrower shall be in pro forma compliance with the Financial Performance Covenants (such compliance to be determined after giving
effect to the incurrence of such Incremental Term Facility and the application of the proceeds of thereof, calculated on a pro forma basis as of the last day of the most recently ended fiscal quarter in respect of which financial statements
have been delivered pursuant to Section 5.03), (v) the proceeds of such Incremental Term Facilities shall be used for 
  

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general corporate purposes in accordance with the terms of the Loan Documents, (vi) the final maturity of such Incremental Term Facilities shall be no
earlier than the final maturity of the existing Term Facilities and (vii) any such Incremental Term Facility shall be either (A) an increase in a Term Facility existing prior to the Increase Date, in which case the requirements of
subsection (f) of this Section 2.17 shall be satisfied or (B) a new Term Facility (i.e., not on the same terms as any existing Term Facility). In connection with any Incremental Term Facility, this Agreement may be amended in a
writing executed and delivered by the Borrower and the Administrative Agent to reflect any technical changes necessary to give effect to such increase in accordance with its terms as set forth herein, which may include the addition of such increase
as a new Term Facility and the inclusion of any such new Term Facility in the provisions relating to mandatory prepayments set forth in Section 2.06, to sharing set forth in Section 2.13 and to amendments and waivers set forth in
Section 9.01 in a manner consistent with the treatment hereunder of the Term B Facilities. 
  
 (b) If the Administrative Agent approves the terms of an Incremental Term Facility (which approval shall not be unreasonably withheld or delayed if such
terms are otherwise in accordance with the provisions of this Agreement), the Administrative Agent shall promptly notify the Lenders of a request by the Borrower for Incremental Term Commitments, which notice shall include (i) the proposed
amount and other material terms of the Incremental Term Facility, (ii) the proposed Increase Date and (iii) the date by which Lenders wishing to participate in the Incremental Term Facility must commit to an Incremental Term Commitment
(the “Commitment Date”). Each Lender that is willing to participate in the requested Incremental Term Facility (each an “Increasing Lender”) shall, in its sole discretion, give written notice to the
Administrative Agent on or prior to the Commitment Date of the amount it is willing to commit to such Incremental Term Facility. 
  
 (c) Promptly following the applicable Commitment Date, the Administrative Agent shall notify the Borrower as to the amount, if any, by which the Lenders
are willing to participate in the requested Incremental Term Facility. The Borrower may, on or prior to the applicable Commitment Date and regardless of whether the aggregate amount by which the Lenders are willing to participate in the requested
Incremental Term Facility on any such Commitment Date is less than the requested Incremental Term Commitments, extend offers to one or more Eligible Assignees to participate in such Incremental Term Facility; provided, however, that
the Commitment of each such Eligible Assignee shall be in an amount equal to at least $1,000,000 in the case of an Incremental Term Facility denominated in Dollars and at least €800,000 in the case of Incremental Term Facility denominated in
Euros. 
  
 (d) If the Lenders and/or any Eligible Assignees that
accept an offer to participate in a requested Incremental Term Facility in accordance with Section 2.17(c) (each, an “Assuming Lender”) notify the Administrative Agent that they are willing to participate in an
Incremental Term Facility by an aggregate amount that exceeds the amount of the requested Incremental Term Commitments, the requested Incremental Term Commitments shall be allocated among the Lenders willing to participate therein and the Assuming
Lenders in such amounts as are agreed between the Borrower and the Administrative Agent (it being understood that no existing Lender shall be entitled to participate in any Incremental Term Facility). 
  

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 (e) On the applicable Increase Date, (x) each Assuming Lender shall become a Lender party to this
Agreement as of the applicable Increase Date and shall have the Commitment set forth in the Assumption Agreement to which it is a party and (y) the Commitment of each Increasing Lender for such Incremental Term Facility shall be so increased by
the amount determined as set forth in Section 2.17(d) (or by the amount allocated to such Lender pursuant to the last sentence of Section 2.17(d)) as of such Increase Date; provided, however, that the Administrative Agent
shall have received on or before the Increase Date the following, each dated such date: 
  
 (i) (A) certified copies of resolutions of the Board of Directors of the Borrower approving the Incremental Term Facility and the
corresponding modifications to this Agreement and (B) an opinion of counsel for the Borrower, in form and substance reasonably satisfactory to the Administrative Agent; 
  
 (ii) an assumption agreement from each Assuming Lender, if any, in form and substance satisfactory to the
Borrower and the Administrative Agent (each an “Assumption Agreement”), duly executed by such Assuming Lender, the Administrative Agent and the Borrower; and 
  
 (iii) confirmation from each Increasing Lender of the increase in the amount of its Commitment in a writing
satisfactory to the Borrower and the Administrative Agent. 
  
 On
the applicable Increase Date, upon fulfillment of the conditions set forth in the immediately preceding sentence of this Section 2.17(e), the Administrative Agent shall notify the Lenders (including each Assuming Lender) and the Borrower, on or
before 11:00 A.M. (New York City time) of the incurrence of the Incremental Term Facility to be effected on the related Increase Date and shall record in the Register the relevant information with respect to each Increasing Lender and each
Assuming Lender on such date. 
  
 (f) Notwithstanding anything to
the contrary contained above, each Incremental Term Facility shall constitute a new Facility, which shall be separate and distinct from the existing Facilities pursuant to this Agreement, provided that an Incremental Term Facility may
constitute part of, and be added to, an existing Term Facility, so long as: 
  
 (i) the advances made under such Incremental Term Facility shall be denominated in the same currency as, and have the same final maturity date and weighted average life to maturity as the existing Term Facility to
which the new Incremental Term Facility is being added, and shall bear interest at the same rates (i.e., have the same “Applicable Margin”) applicable to such Term Facility (and, if the total yield on such Incremental Term Facility
would otherwise be higher than the total yield on any Facility, then the Applicable Margin in respect of such Facility shall be increased so that the total yield in respect of such Facility is equal to the total yield on such Incremental Term
Facility); 
  
 (ii) such new Incremental Term
Facility shall have the same scheduled repayment dates as then remain with respect to the existing Term Facility to which such new Incremental Facility is being added, with the amount of each scheduled repayment 
  

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 installment of the new Incremental Term Facility to be the same (on a proportionate basis) as is
theretofore applicable to the existing Term Facility to which such new Incremental Term Facility is being added; and 
  
 (iii) on the date of the making of advances under such new Incremental Term Facility, and notwithstanding anything to the contrary in
Section 2.06(b), the aggregate principal amount of such new advances shall be added to (and form part of) each Borrowing of outstanding Advances of the respective Term Facility on a pro rata basis (based on the relative sizes of the
various outstanding Borrowings), so that each Lender will participate proportionately in each then outstanding Borrowing under the respective Term Facility, and so that the existing Lenders with respect to such Term Facility continue to have the
same participation (by amount) in each Borrowing as they had before the making of the new advances under such Term Facility. 
  
 To the extent the provisions of the preceding clause (iii) require that Lenders making new advances under an Incremental Term Facility add the
aggregate principal amount of such new advances to then outstanding amount of Eurocurrency Rate Advances, it is acknowledged that the effect thereof may result in such new advances having short Interest Periods (i.e. an Interest Period that
will begin during an Interest Period then applicable to the outstanding Eurocurrency Rate Advances and which will end on the last day of such Interest Period). In connection therewith, the Borrower will compensate the Lenders making the advances
under the new Incremental Term Facility for funding Eurocurrency Rate Advances during an existing Interest Period on such basis as may be agreed by the Borrower and the respective Lender or Lenders. 
  
 (g) Conflicting Provisions. This Section shall supersede any
provisions in Sections 2.13 or 9.01 to the contrary. 
  
 ARTICLE III 
  
 CONDITIONS TO EFFECTIVENESS AND
OF LENDING AND 
 ISSUANCES OF LETTERS OF CREDIT 
  
 SECTION 3.01. Conditions Precedent. Sections 2.01 and 2.03 of this Agreement shall become effective on and as of
the first date (the “Effective Date”) on which the following conditions precedent have been satisfied (and the obligation of each Lender to make an Advance on the occasion of the Initial Extension of Credit hereunder is
subject to the satisfaction of such conditions precedent before or concurrently with the Effective Date): 
  
 (a) The Administrative Agent shall have received on or before the Effective Date the following, each dated such day (unless otherwise
specified), in form and substance satisfactory to the Lender Parties (unless otherwise specified) and (except for the Notes) in sufficient copies for each Lender Party: 
  
 (i) The Notes payable to the order of the Lenders to the extent requested by the Lenders pursuant to the
terms of Section 2.16. 
  

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 (ii) A security agreement in substantially the form of Exhibit D hereto (the
“Security Agreement”), duly executed by each Loan Party, together with (except to the extent expressly not required by the terms of the Security Agreement): 
  
 (A) certificates representing the Initial Pledged Equity referred to therein accompanied by undated stock
powers executed in blank and instruments evidencing the Initial Pledged Debt referred to therein, indorsed in blank, 
  
 (B) proper financing statements in form appropriate for filing under the Uniform Commercial Code of all jurisdictions that the
Administrative Agent may deem necessary or desirable in order to perfect and protect the first priority liens and security interests created under the Security Agreement, covering the Collateral described in the Security Agreement, 
  
 (C) completed requests for information, dated on or before
the Effective Date, listing all effective financing statements filed in the jurisdictions referred to in clause (B) above that name any Loan Party as debtor, together with copies of such other financing statements, 
  
 (D) the Intellectual Property Security Agreement duly
executed by each Loan Party, 
  
 (E) evidence of
the completion of all other recordings and filings of or with respect to the Security Agreement that the Administrative Agent may deem necessary or desirable in order to perfect and protect the security interest created thereunder, 
  
 (F) evidence of the insurance required by the terms of the
Security Agreement, 
  
 (G) copies of the
Assigned Agreements referred to in the Security Agreement, together with a consent to such assignment, in form and substance reasonably satisfactory to the Administrative Agent, duly executed by each party to such Assigned Agreements other than the
Loan Parties, 
  
 (H) the Deposit Account
Control Agreements referred to in the Security Agreement, duly executed by the applicable Loan Parties and each Pledged Account Bank referred to in the Security Agreement, 
  
 (I) the Securities Account Control Agreements referred to in the Security Agreement, duly executed by the
applicable Loan Party and the applicable securities intermediary, and 
  

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 (J) evidence that all other action that the Administrative Agent may deem necessary or
desirable in order to perfect and protect the first priority liens and security interests created under the Security Agreement has been taken (including, without limitation, receipt of duly executed payoff letters, UCC-3 termination statements and
landlords’ and bailees’ waiver and consent agreements). 
  
 (iii) Deeds of trust, trust deeds and mortgages in substantially the form of Exhibit E hereto (with such changes as may be satisfactory to the Administrative Agent and its counsel to account for local law
matters) and covering the properties listed on Schedule 4.01(x) hereto (together with the Assignments of Leases and Rents referred to therein and each other mortgage delivered pursuant to Section 5.01(j), in each case as amended, the
“Fee Mortgages”), duly executed by the appropriate Loan Party, together with: 
  
 (A) evidence that counterparts of the Fee Mortgages have been duly executed, acknowledged and delivered in form suitable for filing or
recording, in all filing or recording offices that the Administrative Agent may deem necessary or, in the Administrative Agent’s reasonable judgment, desirable in order to create a valid first and subsisting Lien (subject only to Permitted
Encumbrances) on the property described therein in favor of the Collateral Agent for the benefit of the Secured Parties and that all filing and recording taxes and fees have been paid (or duly provided for in a manner reasonably acceptable to the
Administrative Agent), 
  
 (B) fully paid
American Land Title Association Lender’s Extended Coverage title insurance policies or other insurance policies customarily available in relevant jurisdictions for each of the Fee Mortgages acceptable to the Administrative Agent (in each case,
together with the Leasehold Mortgage Policies, the “Mortgage Policies”) in form and substance, with endorsements and in amount acceptable to the Administrative Agent, issued, coinsured and reinsured by title insurers
acceptable to the Administrative Agent, insuring the Fee Mortgages to be valid first and subsisting Liens on the property described therein, free and clear of all defects (including, but not limited to, mechanics’ and materialmen’s Liens)
and encumbrances, excepting only Permitted Encumbrances, which include no standard survey exception and providing for such other affirmative insurance (including endorsements for future advances under the Loan Documents and for mechanics’ and
materialmen’s Liens) and such coinsurance and direct access reinsurance as the Administrative Agent may deem necessary or desirable, 
  
 (C) if required by the Administrative Agent in its discretion, American Land Title Association/American Congress on Surveying and Mapping
form surveys for each property listed on Schedule 4.01(x), for which all necessary fees (where applicable) have been paid, and dated no 
  

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 more than 30 days before the Effective Date, certified to the Administrative Agent and the issuer of the
Mortgage Policies in a manner satisfactory to the Administrative Agent by a land surveyor duly registered and licensed in the States in which the property described in such surveys is located and acceptable to the Administrative Agent, showing all
buildings and other improvements, any off-site improvements, the location of any easements, parking spaces, rights of way, building set-back lines and other dimensional regulations and the absence of encroachments, either by such improvements or on
to such property, and other defects, other than encroachments and other defects acceptable to the Administrative Agent, 
  
 (D) evidence of the insurance required by the terms of the Fee Mortgages, and 
  
 (E) to the extent obtainable by the Loan Parties after the
use of commercially reasonable efforts, such other consents, agreements and confirmations of lessors and third parties as the Administrative Agent may deem necessary or desirable in the Administrative Agent’s reasonable discretion and evidence
that all other actions that the Administrative Agent may deem necessary or desirable in the Administrative Agent’s reasonable discretion in order to create valid first and subsisting Liens on the property described in the Fee Mortgages has been
taken; provided that as used in this paragraph, “commercially reasonable efforts” shall require the Loan Parties to commence the matter referred to with diligence and in a manner consistent with customary business practices, but
shall not require that the Loan Parties commence litigation or expend any sums of money except such sums as may be required to compensate a lessor for reasonable expenses in reviewing the applicable documentation (including reasonable legal fees in
connection with such review) and the Loan Parties shall promptly, upon request, provide the Administrative Agent with a report in reasonable detail summarizing the commercially reasonable efforts undertaken to obtain the items referenced in this
paragraph. 
  
 (iv) Each of the Foreign
Collateral Documents, duly executed by the relevant Loan Party, in each case together with evidence that all other actions, deliveries, registrations and filings that the Administrative Agent may deem necessary or desirable in order to create and
perfect security interests in the assets pledged thereunder have been taken, delivered or made. 
  
 (v) Certified copies of the resolutions of the Board of Directors of each Loan Party approving the Transaction and each Transaction
Document to which it is or is to be a party, and of all documents evidencing other necessary corporate action and governmental, shareholder and other third party approvals and consents, if any, with respect to the Transaction and each Transaction
Document to which it is or is to be a party. 
  

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 (vi) A copy of a certificate of the Secretary of State of the jurisdiction of
incorporation of each Loan Party, dated reasonably near the Effective Date certifying (A) as to a true and correct copy of the charter of such Loan Party and each amendment thereto on file in such Secretary’s office and (B) that
(1) such amendments are the only amendments to such Loan Party’s charter on file in such Secretary’s office, (2) such Loan Party has paid all franchise taxes to the date of such certificate and (3) such Loan Party is duly
formed and in good standing or presently subsisting under the laws of the State of the jurisdiction of its formation. 
  
 (vii) A certificate of each Loan Party signed on behalf of such Loan Party by its Chief Executive Officer, Chief Financial Officer,
President or a Vice President and its Secretary or any Assistant Secretary, dated the Effective Date (the statements made in which certificate shall be true on and as of the Effective Date), certifying as to (A) the absence of any amendments to
the charter of such Loan Party since the date of the Secretary of State’s certificate referred to in Section 3.01(a)(vi), (B) a true and correct copy of the bylaws of such Loan Party as in effect on the date on which the resolutions
referred to in Section 3.01(a)(v) were adopted and on the Effective Date, (C) the due formation and good standing or valid existence of such Loan Party as a corporation organized under the laws of the jurisdiction of its incorporation, and
the absence of any proceeding for the dissolution or liquidation of such Loan Party, (D) the accuracy in all material respects of the representations and warranties contained in the Loan Documents as though made on and as of the Effective Date
and (E) the absence of any event occurring and continuing, or resulting from the Initial Extension of Credit, that constitutes a Default. 
  
 (viii) A certificate of the Secretary or an Assistant Secretary of each Loan Party certifying the names and true signatures of the
officers of such Loan Party authorized to sign each Transaction Document to which it is or is to be a party and the other documents to be delivered hereunder and thereunder. 
  
 (ix) Certified copies of each of the Related Documents, duly executed by the parties thereto and in form and
substance satisfactory to the Lender Parties, together with all agreements, instruments and other documents delivered in connection therewith as the Administrative Agent shall request. 
  
 (x) A Solvency Certificate, in substantially the form of Exhibit F, attesting to the Solvency of the
Parent and its subsidiaries on a consolidated basis before and after giving effect to the Transaction, from the Chief Financial Officer of the Parent. 
  
 (xi) (A) Audited combined consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of
the Business for the December 31, 2002, December 31, 2003 and December 31, 2004 fiscal years and (B) unaudited combined consolidated balance sheets and related statements of income, stockholders’ equity and cash flows of the
Business for (i) each subsequent fiscal quarter ended at least 45 days before the Effective Date and 
  

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 (ii) each fiscal month after the most recent fiscal quarter for which financial statements were
delivered pursuant to clause (B)(i) above and ended at least 30 days before the Effective Date, which financial statements, in the case of (A) above, shall be in form and substance satisfactory to the Lead Arrangers with respect
to any matters that are not reflected in the most recent unaudited financial information (the “Unaudited Statements”) provided to the Lead Arrangers prior to July 22, 2005. In the case of each of the foregoing annual and
quarterly statements, such statements will be prepared in accordance with Regulation S-X under the Securities Act and all other accounting rules and regulations of the SEC promulgated thereunder applicable to a registration statement under such
Act on Form S-1. 
  
 (xii) A pro
forma consolidated balance sheet and related pro forma consolidated statements of income and cash flows of the Borrower as of and for the four-fiscal quarter period most recently ended prior to the Effective Date, prepared after giving
effect to the Transaction as if the Transaction had occurred as of such date (in the case of such balance sheet) or at the beginning of such period (in the case of such other financial statements), which financial statements shall be prepared in
accordance with Regulation S-X of the Securities Act and shall not be materially inconsistent with the forecasts previously provided to the Lead Arrangers. 
  
 (xiii) Such other financial, business and other information regarding each Loan Party and its Subsidiaries
as the Lender Parties shall have requested, including, without limitation, information as to possible contingent liabilities, tax matters, environmental matters, obligations under Plans, Multiemployer Plans and Welfare Plans, collective bargaining
agreements and other arrangements with employees, and forecasts prepared by management of the Borrower, in form and substance satisfactory to the Lender Parties, of balance sheets, income statements and cash flow statements on a monthly basis for
the first year following the Effective Date and on an annual basis for each year thereafter until the final maturity of the Facilities. 
  
 (xiv) The Intercreditor Agreement, duly executed by the parties thereto. 
  
 (xv) Evidence of insurance naming the Collateral Agent as additional insured and loss payee with such
responsible and reputable insurance companies or associations, and in such amounts and covering such risks, as is satisfactory to the Lender Parties, including, without limitation, business interruption insurance. 
  
 (xvi) Certified copies of each employment agreement and
other compensation arrangement with each executive officer of any Loan Party or any of its Subsidiaries as the Administrative Agent shall request. 
  
 (xvii) Certified copies of all Material Contracts of each Loan Party and its Subsidiaries as the Administrative Agent shall request.

  

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 (xviii) All documentation and other information required by regulatory authorities under
applicable “know your customer” and anti-money laundering rules and regulations, including without limitation the Patriot Act. 
  
 (xix) A favorable opinion of Fried Frank Harris Shriver & Jacobson LLP, counsel for the Loan Parties, in substantially the form
of Exhibit G hereto. 
  
 (xx) A favorable
opinion of Oostvogels Pfister Roemers, local counsel to the Lender Parties in Luxembourg, in substantially the form of Exhibit H-1 hereto and as to such other matters as any Lender Party through the Administrative Agent may reasonably request.

  
 (xxi) Opinions of local counsel for the Loan
Parties in states in which the properties encumbered by a Mortgage are located, with respect to the enforceability and perfection of the Mortgages and any related fixture filings substantially in the form of Exhibit H-2 hereto, and otherwise in form
and substance reasonably satisfactory to the Administrative Agent. 
  
 (b) The Lead Arrangers shall be reasonably satisfied with the corporate and legal structure, capitalization and equity ownership of the Parent and the Borrower after giving effect to the Transaction. 
  
 (c) The Lead Arrangers shall be satisfied that the
Borrower’s ratio of Total Debt on the Effective Date to consolidated adjusted pro forma EBITDA for the four-fiscal quarter period most recently ended prior to the Effective Date for which quarterly financial statements are available
(provided, that if the Effective Date occurs after June 30, 2005, the determination for purposes of this subsection (c) shall be made based upon the financial information for last twelve months most recently ended, which
information shall be delivered to the Lead Arrangers no later than 30 days after the end of each month for the twelve months ended with the end of such month), prepared in accordance with Regulation S-X of the Securities Act and reflecting the
Agreed Adjustments and such other adjustments as are reasonably acceptable to the Lead Arrangers, in each case, to give pro forma effect to the Transactions as if they had occurred at the beginning of such four-fiscal quarter (or
twelve-month) period, shall be no more than 5.35 to 1.00. 
  
 (d) The Lender Parties shall be satisfied that all Existing Debt (other than Surviving Debt) has been prepaid, redeemed or defeased in full or otherwise satisfied and extinguished and all commitments relating thereto
terminated. 
  
 (e) Before giving effect to the
Transaction, there shall not have occurred since December 31, 2004 any event, change, circumstance or condition that, individually or in the aggregate, has had, or could reasonably be expected to have, a Company Material Adverse Effect.

  
 (f) There shall exist no action, suit,
investigation, litigation or proceeding affecting any Loan Party or any of its Subsidiaries pending or threatened before any Governmental Authority that (i) has had, or could reasonably expected to have a Material Adverse Effect or
(ii) purports to affect the legality, validity or enforceability of any Transaction Document or the consummation of the Transaction. 
  

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 (g) All material Governmental Authorizations and all other Governmental Authorizations
and third party consents and approvals required by the Acquisition Agreement shall have been obtained (without the imposition of any conditions that are not acceptable to the Lender Parties) and shall remain in effect; all applicable waiting periods
in connection with the Transaction shall have expired without any action being taken by any competent authority, and no law or regulation shall be applicable in the judgment of the Lender Parties, in each case that restrains, prevents or imposes
materially adverse conditions upon the Transaction or the rights of the Loan Parties or their Subsidiaries freely to transfer or otherwise dispose of, or to create any Lien on, any properties now owned or hereafter acquired by any of them.

  
 (h) The Borrower shall have paid all accrued
fees of the Agents and the Lender Parties and all accrued expenses of the Agents (including the accrued fees and expenses of one special counsel to the Administrative Agent and local counsel to the Lender Parties in the relevant jurisdictions).

  
 (i) The Acquisition shall have been
consummated strictly in accordance with the terms of the Purchase Agreement, without any waiver or amendment not consented to by the Arrangers of any term, provision or condition set forth therein, and in compliance with all applicable laws.

  
 (j) The Purchase Agreement shall be in full
force and effect. 
  
 (k) The Borrower shall have
received (i) the Equivalent in Euros of $123,480,000 in gross cash proceeds from the issuance and sale of the Floating Rate Notes, (ii) $147,223,500 in gross cash proceeds from the issuance and sale of the Senior Subordinated Notes
and (iii) at least $149,003,500 in cash proceeds from a cash equity contribution by the Equity Investors, on terms acceptable to the Lead Arrangers. 
  
 SECTION 3.02. Conditions Precedent to Each Borrowing and Issuance and Renewal. The obligation of each Appropriate Lender to make an Advance (other
than a Letter of Credit Advance made by the Issuing Bank or a Revolving Credit Lender pursuant to Section 2.03(c) and a Swing Line Advance made by a Revolving Credit Lender pursuant to Section 2.02(b)) on the occasion of each Borrowing
(including the initial Borrowing), and the obligation of the Issuing Bank to issue a Letter of Credit (including the initial issuance) or renew a Letter of Credit and the right of the Borrower to request a Swing Line Borrowing, shall be subject to
the further conditions precedent that on the date of such Borrowing or issuance or renewal (a) the following statements shall be true (and each of the giving of the applicable Notice of Borrowing, Notice of Swing Line Borrowing, Notice of
Issuance or Notice of Renewal and the acceptance by the Borrower of the proceeds of such Borrowing or of such Letter of Credit or the renewal of such Letter of Credit shall constitute a representation and warranty by the Borrower that both on the
date of such notice and on the date of such Borrowing or issuance or renewal such statements are true): 
  

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 (i) the representations and warranties contained in each Loan Document are correct in all
material respects on and as of such date, before and after giving effect to such Borrowing or issuance or renewal and to the application of the proceeds therefrom, as though made on and as of such date, other than any such representations or
warranties that, by their terms, refer to a specific date other than the date of such Borrowing or issuance or renewal, in which case as of such specific date; and 
  
 (ii) no Default has occurred and is continuing, or would result from such Borrowing or issuance or renewal
or from the application of the proceeds therefrom; 
  
 and (b) the
Administrative Agent shall have received such other approvals, opinions or documents as any Appropriate Lender through the Administrative Agent may reasonably request. 
  
 SECTION 3.03. Determinations Under Section 3.01. For purposes of determining compliance with the conditions
specified in Section 3.01, each Lender Party shall be deemed to have consented to, approved or accepted or to be satisfied with each document or other matter required thereunder to be consented to or approved by or acceptable or satisfactory to
the Lender Parties unless an officer of the Administrative Agent responsible for the transactions contemplated by the Loan Documents shall have received notice from such Lender Party prior to the Effective Date specifying its objection thereto and,
if the Initial Extension of Credit consists of a Borrowing, such Lender Party shall not have made available to the Administrative Agent such Lender Party’s ratable portion of such Borrowing. 
  
 ARTICLE IV 
  
 REPRESENTATIONS AND WARRANTIES 
  
 SECTION 4.01. Representations and Warranties of the Parent and
Borrower. Each of the Parent and the Borrower represents and warrants as follows: 
  
 (a) Each Loan Party and each of its Subsidiaries (i) is a corporation, limited liability company or limited partnership duly
organized, validly existing and in good standing under the laws of the jurisdiction of its formation, (ii) is duly qualified and in good standing as a foreign corporation or company in each other jurisdiction in which it owns or leases property
or in which the conduct of its business requires it to so qualify or be licensed except where the failure to so qualify or be licensed could not be reasonably likely to have a Material Adverse Effect and (iii) has all requisite corporate,
limited liability company or partnership (as applicable) power and authority (including, without limitation, all Governmental Authorizations to own or lease and operate its properties and to carry on its business as now conducted and as proposed to
be conducted. All of the outstanding Equity Interests in the Parent have been validly issued, are fully paid and non-assessable and are owned by the Equity Investors in the amounts specified on Schedule 4.01(a) hereto free and clear of all
Liens other than Liens securing the Floating Rate Notes that are subject to the terms of the Intercreditor Agreement. 
  
 (b) Set forth on Schedule 4.01(b) hereto is a complete and accurate list of all Loan Parties, showing as of the date hereof (as to
each Loan Party) the jurisdiction of its 

  

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formation, 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 3.01(a)(vi) is a true and correct copy of each such document, each of which is valid and in full force and effect. 
  
 (c) Set forth on Schedule 4.01(c) hereto is a complete and accurate list of all Subsidiaries of each Loan Party, showing as of the
date hereof (as to each such Subsidiary) the jurisdiction of its formation, the number of shares, membership interests or partnership interests (as applicable) of each class of its Equity Interests authorized, and the number outstanding, on the date
hereof and the percentage of each such class of its Equity Interests owned (directly or indirectly) by such Loan Party and the number of shares covered by all outstanding options, warrants, rights of conversion or purchase and similar rights at the
date hereof. All of the outstanding Equity Interests in each Loan Party’s Subsidiaries have been validly issued, are fully paid and non-assessable and are owned by such Loan Party or one or more of its Subsidiaries free and clear of all Liens,
except those created under the Collateral Documents and Liens securing the Floating Rate Notes that are subject to the terms of the Intercreditor Agreement. 
  
 (d) The execution, delivery and performance by each Loan Party of each Transaction Document to which it is or is to be a party, and the
consummation of the Transaction, are within such Loan Party’s corporate, limited liability company or limited partnership (as applicable) powers, have been duly authorized by all necessary corporate, limited liability company or limited
partnership (as applicable) action, and do not (i) contravene such Loan Party’s charter, bylaws, limited liability company agreement, partnership agreement or other constituent documents, (ii) violate any law, rule, regulation
(including, without limitation, Regulation X of the Board of Governors of the Federal Reserve System), order, writ, judgment, injunction, decree, determination or award, (iii) conflict with or result in the breach of, or constitute a
default or require any payment to be made under, any contract, loan agreement, indenture, mortgage, deed of trust, lease or other instrument binding on or affecting any Loan Party, any of its Subsidiaries or any of their properties or
(iv) except for the Liens created under the Loan Documents, result in or require the creation or imposition of any Lien upon or with respect to any of the properties of any Loan Party or any of its Subsidiaries. No Loan Party or any of its
Subsidiaries is in violation of any such law, rule, regulation, order, writ, judgment, injunction, decree, determination or award or in breach of any such contract, loan agreement, indenture, mortgage, deed of trust, lease or other instrument, the
violation or breach of which could be reasonably likely to have a Material Adverse Effect. 
  
 (e) No Governmental Authorization, and no notice to or filing with, any Governmental Authority or any other third party is required for
(i) the due execution, delivery, recordation, filing or performance by any Loan Party of any Transaction Document to which it is or is to be a party, or for the consummation of the Transaction, (ii) the grant by any Loan Party of the Liens
granted by it pursuant to the Collateral Documents, (iii) the perfection or maintenance of the Liens created under the Collateral 

  

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Documents (including the first priority nature thereof) or (iv) the exercise by any Agent or any Lender Party of its rights under the Loan Documents or
the remedies in respect of the Collateral pursuant to the Collateral Documents, except for the authorizations, approvals, actions, notices and filings listed on Schedule 4.01(e) hereto, all of which have been duly obtained, taken, given or made
and are in full force and effect, and except for authorizations, approvals, actions, notices and filings the failure of which to have been obtained, taken, given or made could not reasonably be expected, individually or in the aggregate, to have a
Material Adverse Effect. All applicable waiting periods in connection with the Transaction have expired without any action having been taken by any competent authority restraining, preventing or imposing materially adverse conditions upon the
Transaction or the rights of the Loan Parties or their Subsidiaries freely to transfer or otherwise dispose of, or to create any Lien on, any properties now owned or hereafter acquired by any of them. The Acquisition has been consummated in
accordance with the Purchase Agreement and applicable law. 
  
 (f) This Agreement has been, and each other Transaction Document when delivered hereunder will have been, duly executed and delivered by each Loan Party party thereto. This Agreement is, and each other Transaction
Document when delivered hereunder will be, the legal, valid and binding obligation of each Loan Party party thereto, enforceable against such Loan Party in accordance with its terms, except as enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ rights generally or by equitable principles relating to enforceability. 
  
 (g) There is no action, suit, investigation, litigation or proceeding affecting any Loan Party or any of its Subsidiaries, including any
Environmental Action, pending or threatened before any Governmental Authority or arbitrator that (i) has had, or could reasonably be expected to have a Material Adverse Effect or (ii) purports to affect the legality, validity or
enforceability of any Transaction Document or the consummation of the Transaction. 
  
 (h) The Consolidated balance sheets of the Business as at December 31, 2002, December 31, 2003 and December 31, 2004,
and the related Consolidated statements of income and Consolidated statement of cash flows of the Business for the fiscal years then ended, accompanied by an unqualified opinion of Ernst & Young, independent public accountants, and the
Consolidated balance sheets of the Business as at June 30, 2005, and the related Consolidated statements of income and Consolidated statement of cash flows of the Business for the six months then ended, duly certified by the Chief Financial
Officer of the Parent, copies of which have been furnished to each Lender Party, fairly present, subject, in the case of said balance sheet as at June 30, 2005, and said statements of income and cash flows for the six months then ended, to
year-end audit adjustments, the Consolidated financial condition of the Business as at such dates and the Consolidated results of operations of the Business for the periods ended on such dates, all in accordance with generally accepted accounting
principles applied on a consistent basis, and (i) since December 31, 2004 through the date of this Agreement there has occurred no event, change, circumstance or condition that, individually or in the aggregate, has had, or could
reasonably be expected to have, a Company Material Adverse Effect (ii) since the date of this Agreement, there has been no Material Adverse Change. 
  

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 (i) The Consolidated pro forma balance sheets of the Borrower and its
Subsidiaries as at June 30, 2005, and the related Consolidated pro forma statements of income and cash flows of the Borrower and its Subsidiaries for the four-fiscal quarter period ended June 30, 2005, certified by the Chief
Financial Officer of the Borrower, copies of which have been furnished to each Lender Party, fairly present the Consolidated pro forma financial condition of the Borrower and its Subsidiaries as at such date and the Consolidated
pro forma results of operations of the Borrower and its Subsidiaries for the period ended on such date, in each case giving effect to the Transaction, all in accordance with GAAP and Regulation S-X. 
  
 (j) The Consolidated forecasted balance sheets, statements
of income and statements of cash flows of the Borrower and its Subsidiaries delivered to the Lender Parties pursuant to Section 3.01(a)(xii) or 5.03 were 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 Borrower’s best estimate of its future financial performance. 
  
 (k) Neither the Information Memorandum nor any other written
information, exhibit or report furnished by or on behalf of any Loan Party to any Agent or any Lender Party in connection with the negotiation and syndication of the Loan Documents or pursuant to the terms of the Loan Documents contained when
furnished any untrue statement of a material fact or omitted to state a material fact necessary to make the statements made therein not misleading in light of the circumstances under which such statements were made. 
  
 (l) The Borrower is not engaged in the business of extending
credit for the purpose of purchasing or carrying Margin Stock, and no proceeds of any Advance or drawings under any Letter of Credit will be used to purchase or carry any Margin Stock or to extend credit to others for the purpose of purchasing or
carrying any Margin Stock. 
  
 (m) Neither any
Loan Party nor any of its Subsidiaries is an “investment company,” or an “affiliated person” of, or “promoter” or “principal underwriter” for, an “investment company,” as such terms are defined in
the Investment Company Act of 1940, as amended. Neither any Loan Party nor any of its Subsidiaries is a “holding company,” or a “subsidiary company” of a “holding company,” or an “affiliate” of a “holding
company” or of a “subsidiary company” of a “holding company,” as such terms are defined in the Public Utility Holding Company Act of 1935, as amended. Neither the making of any Advances, nor the issuance of any Letters of
Credit, nor the application of the proceeds or repayment thereof by the Borrower, nor the consummation of the other transactions contemplated by the Transaction Documents, will violate any provision of any such Act or any rule, regulation or order
of the Securities and Exchange Commission thereunder. 
  

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 (n) Neither any Loan Party nor any of its Subsidiaries is a party to any indenture, loan
or credit agreement or any lease or other agreement or instrument or subject to any charter or corporate restriction that could be reasonably likely to have a Material Adverse Effect. 
  
 (o) All filings and other actions necessary or desirable to perfect and protect the security interest in the
Collateral created under the Collateral Documents have been duly made or taken and are in full force and effect, and the Collateral Documents create in favor of the Collateral Agent for the benefit of the Secured Parties a valid and, together with
such filings and other actions, perfected first priority security interest in the Collateral, subject only to Permitted Liens and Liens permitted under clauses (iii) and (vi) of Section 5.02(a), securing the payment of the Secured
Obligations, and all filings and other actions necessary or desirable to perfect and protect such security interest have been duly taken. The Loan Parties are the legal and beneficial owners of the Collateral free and clear of any Lien, except for
the liens and security interests created or permitted under the Loan Documents. 
  
 (p) The Parent and its Subsidiaries, on a consolidated basis, are Solvent. 
  
 (q) (i) Set forth on Schedule 4.01(q) hereto is a complete and accurate list of all Plans,
Multiemployer Plans and Welfare Plans. 
  
 (ii)
No ERISA Event has occurred or is reasonably expected to occur with respect to any Plan, except as could not reasonably be expected to have a Material Adverse Effect. 
  
 (iii) Schedule B (Actuarial Information) to the most recent annual report (Form 5500 Series) for
each Plan, copies of which have been filed with the Internal Revenue Service and furnished to the Lender Parties, is complete and accurate and fairly presents the funding status of such Plan, and since the date of such Schedule B there has been
no material adverse change in such funding status, except as could not reasonably be expected to have a Material Adverse Effect. 
  
 (iv) Neither any Loan Party nor any ERISA Affiliate has incurred or is reasonably expected to incur any Withdrawal Liability to any
Multiemployer Plan, except as could not reasonably be expected to have a Material Adverse Effect. 
  
 (v) Neither any Loan Party nor any ERISA Affiliate has been notified by the sponsor of a Multiemployer Plan that such Multiemployer Plan
is in reorganization or has been terminated, within the meaning of Title IV of ERISA, and no such Multiemployer Plan is reasonably expected to be in reorganization or to be terminated, within the meaning of Title IV of ERISA, except as
could not reasonably be expected to have a Material Adverse Effect. 
  
 (vi) With respect to each employee benefit arrangement mandated by non-U.S. law (a “Foreign Benefit Arrangement”) and with respect to each employee benefit plan maintained or contributed to by
any Loan Party or any Subsidiary of any Loan Party that 

  

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is not subject to United States law (a “Foreign Plan”), except as could not reasonably be expected to have a Material Adverse Effect:

  
 (i) Any employer and employee contributions
required by law or by the terms of any Foreign Benefit Arrangement or any Foreign Plan have been made, or, if applicable, accrued, in accordance with normal accounting practices. 
  
 (ii) The fair market value of the assets of each funded Foreign Plan, the liability of each insurer for any
Foreign Plan funded through insurance or the book reserve established for any Foreign Plan, together with any accrued contributions, is sufficient to procure or provide for the accrued benefit obligations, as of the date hereof, with respect to all
current and former participants in such Foreign Plan according to the actuarial assumptions and valuations most recently used to account for such obligations in accordance with applicable generally accepted accounting principles. 
  
 (iii) Each Foreign Plan that is required to be registered
has been registered and has been maintained in good standing with applicable regulatory authorities. 
  
 (r) Except as set forth in Schedule 4.01(r), (i) the operations and properties of each Loan Party and each of its Subsidiaries comply
in all respects with all applicable Environmental Laws and Environmental Permits and all past non-compliance with such Environmental Laws and Environmental Permits has been resolved without ongoing obligations or costs, except in each case as would
not reasonably be expected to have a Material Adverse Effect, and no circumstances exist that could be reasonably likely to (A) form the basis of an Environmental Action against any Loan Party or any of its Subsidiaries or any of their
properties that could have a Material Adverse Effect or (B) cause any such property to be subject to any material restrictions on ownership, occupancy, use or transferability under any Environmental Law. 
  
 (ii) None of the properties currently or, to the knowledge
of the Borrower, formerly owned or operated by any Loan Party or any of its Subsidiaries is listed or proposed for listing on the NPL or any analogous foreign, state or local list or, to the knowledge of the Borrower, is adjacent to any such
property; to the knowledge of the Borrower, there are no and never have been any underground or aboveground storage tanks or any surface impoundments, septic tanks, pits, sumps or lagoons in which Hazardous Materials are being or have been treated,
stored or disposed on any property currently owned or operated by any Loan Party or any of its Subsidiaries or, to the best of its knowledge, on any property formerly owned or operated by any Loan Party or any of its Subsidiaries that has resulted
in a release of Hazardous Materials; there is no friable asbestos or friable asbestos-containing material on any property currently owned or operated by any Loan Party or any of its Subsidiaries; and material quantities or concentrations of
Hazardous Materials have not been released, stored, discharged or disposed of on any property currently or, to the knowledge of the Borrower, formerly owned or operated by any Loan Party or any of its Subsidiaries, in each case, except as would not
reasonably be expected to have a Material Adverse Effect. 
  

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 (iii) Neither any Loan Party nor any of its Subsidiaries is undertaking, and has not
completed, either individually or together with other potentially responsible parties, any investigation or assessment or remedial or response action relating to any actual or threatened release, discharge or disposal of Hazardous Materials at any
currently owned or operated site, location or operation, or, to the knowledge of the Borrower, at any other side, location or operation, either voluntarily or pursuant to the order of any governmental or regulatory authority or the requirements of
any Environmental Law, except as would not reasonably be expected to have a Material Adverse Effect. 
  
 (iv) None of the Loan Parties, nor any of their Subsidiaries, have used any third-party disposal site, or otherwise disposed of,
transported or arranged for the transportation of any Hazardous Materials, nor have any Hazardous Materials generated, used, treated or stored at any currently or, to the knowledge of the Borrower, formerly owned or operated properties been disposed
of, in a manner giving rise to liability under any Environmental Laws, except as would not reasonably be expected to have a Material Adverse Effect. 
  
 (s) (i) Neither any Loan Party nor any of its Subsidiaries is party to any tax sharing agreement with any Person other than a Loan Party
or a Subsidiary of a Loan Party.. 
  
 (ii) Each
Loan Party and each of its Subsidiaries and Affiliates has filed, has caused to be filed or has been included in all material tax returns (Federal, state, local and foreign) required to be filed and has paid all taxes shown thereon to be due,
together with applicable interest and penalties. 
  
 (iii) Set forth on Schedule 4.01(s) hereto is a complete and accurate list, as of the date hereof, of each taxable year of each Loan Party and each of its Subsidiaries and Affiliates for which Federal income tax returns have been filed
and for which the expiration of the applicable statute of limitations for assessment or collection has not occurred by reason of extension or otherwise (an “Open Year”). 
  
 (iv) There are no audits, investigations or administrative
or judicial proceedings with respect to Taxes of any Loan Party or any Subsidiary by any taxing authority in progress and no claims are being asserted with respect to the Taxes of any Loan Party or any Subsidiary. 
  
 (t) Neither the business 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 could be reasonably likely to have a Material Adverse Effect. 
  
 (u) Set forth on Schedule 4.01(u) hereto is a complete and accurate list of all Existing Debt (other than Surviving Debt), showing as of the date hereof the obligor and the principal amount outstanding
thereunder. 
  

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 (v) Set forth on Schedule 4.01(v) hereto is a complete and accurate list of all Surviving
Debt, showing as of the date hereof the obligor and the principal amount outstanding thereunder, the maturity date thereof and the amortization schedule therefor. 
  
 (w) Set forth on Schedule 4.01(w) hereto is a complete and accurate list of all Liens on the property
or assets of any Loan Party or any 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.

  
 (x) Set forth on Schedule 4.01(x) hereto
is a complete and accurate list of all real property owned by any Loan Party or any of its Subsidiaries, showing as of the date hereof the street address, county or other relevant jurisdiction, state and record owner thereof. Each Loan Party or such
Subsidiary has good, marketable and insurable fee simple title to such real property, free and clear of all Liens, other than Liens created or permitted by the Loan Documents. 
  
 (y) (i) Set forth on Schedule 4.01(y)(i) hereto is a complete and accurate list of all leases of real
property under which any Loan Party or any of its Subsidiaries is the lessee, showing as of the date hereof the street address, county or other relevant jurisdiction, state, lessor, lessee, expiration date and annual rental cost and approximate
rentable square footage thereof. To the knowledge of the Borrower, each such lease is the legal, valid and binding obligation of the lessor thereof, enforceable in accordance with its terms. The representations of the Parent and the Borrower as to
the lessor is made to the Parent’s and the Borrower’s knowledge. 
  
 (ii) Set forth on Schedule 4.01(y)(ii) hereto is a complete and accurate list of all leases of real property under which any Loan Party is the lessor, showing as of the date hereof the street address, county or
other relevant jurisdiction, state, lessor, lessee, expiration date and annual rental cost and approximate rentable square footage thereof. To the knowledge of the Borrower, each such lease is the legal, valid and binding obligation of the lessee
thereof, enforceable in accordance with its terms. 
  
 (z) Set forth on Schedule 4.01(z) hereto is a complete and accurate list of all Investments held by any Loan Party or any of its Subsidiaries on the date hereof, showing as of the date hereof the amount, obligor or issuer and maturity,
if any, thereof. 
  
 (aa) Set forth on Schedule
4.01(aa) hereto is a complete and accurate list of all Material Contracts of each Loan Party and its Subsidiaries, showing as of the date hereof the parties, subject matter and terms thereof. Each such Material Contract has been duly authorized,
executed and delivered by each Loan Party which is a party thereto and, to the knowledge of the Borrower, all other parties thereto, has not been amended or otherwise modified, is in full force and effect and, to the knowledge of the Borrower, is
binding upon and enforceable against all parties thereto in accordance with its terms, and there exists no default under any Material Contract by any party thereto. 
  

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 ARTICLE V 
  

COVENANTS OF THE PARENT AND THE BORROWER 
  
 SECTION 5.01. Affirmative Covenants. So long as any Advance or any other Obligation of any Loan Party under any Loan Document shall remain unpaid,
any Letter of Credit shall be outstanding or any Lender Party shall have any Commitment hereunder, each of the Parent and the Borrower will: 
  
 (a) Compliance with Laws, Etc. Comply, and cause each of its Subsidiaries to comply, with all applicable laws, rules, regulations
and orders, such compliance to include, without limitation, compliance with ERISA and the Racketeer Influenced and Corrupt Organizations Chapter of the Organized Crime Control Act of 1970, except where the failure to so comply could not,
individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
  
 (b) Payment of Taxes, Etc. Pay and discharge, and cause each of its Subsidiaries to pay and discharge, before the same shall become
delinquent, (i) all material taxes, assessments and governmental charges or levies imposed upon it or upon its property and (ii) all lawful claims that, if unpaid, might by law become a Lien upon its property; provided,
however, that neither the Borrower nor any of its Subsidiaries shall be required to pay or discharge any such tax, assessment, charge or claim that is being contested in good faith and by proper proceedings and as to which appropriate
reserves are being maintained, unless and until any Lien resulting therefrom attaches to its property and becomes enforceable against its other creditors. 
  
 (c) Compliance with Environmental Laws. Comply, and cause each of its Subsidiaries and all lessees and other Persons operating or
occupying its properties to comply, in all material respects, with all applicable Environmental Laws and Environmental Permits; obtain and renew, and cause each of its Subsidiaries to obtain and renew, all material Environmental Permits necessary
for its operations and properties; and conduct, and cause each of its Subsidiaries to conduct, any investigation, study, sampling and testing, and undertake any cleanup, removal, remedial or other action necessary to remove and clean up all
Hazardous Materials from any of its properties, in accordance with the requirements of all Environmental Laws; provided, however, that neither the Borrower nor any of its Subsidiaries shall be required to undertake any such cleanup,
removal, remedial or other action to the extent that (i) failure to do so would not reasonably be expected to have a Material Adverse Effect, (ii) its obligation to do so is being contested in good faith and by proper proceedings and
(iii) appropriate reserves are being maintained with respect to such circumstances. 
  
 (d) Maintenance of Insurance. Maintain, and cause each of its Subsidiaries to maintain, insurance (including, without limitation,
business interruption insurance) with responsible and reputable insurance companies or associations in such amounts and covering such risks as is usually carried by companies engaged in similar businesses and owning similar properties in the same
general areas in which the Borrower or such Subsidiary operates. 
  

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 (e) Preservation of Corporate Existence, Etc. Preserve and maintain, and cause
each of its Subsidiaries to preserve and maintain, its existence, legal structure, legal name, rights (charter and statutory), permits, licenses, approvals, privileges and franchises; provided, however, that the Borrower and its
Subsidiaries may consummate any merger or consolidation permitted under Section 5.02(d); and provided further that neither the Borrower nor any of its Subsidiaries shall be required to preserve any right, permit, license, approval,
privilege or franchise if the Board of Directors of the Borrower or such Subsidiary shall determine that the preservation thereof is no longer desirable in the conduct of the business of the Borrower or such Subsidiary, as the case may be, and that
the loss thereof is not disadvantageous in any material respect to the Borrower and its Subsidiaries, taken as a whole, or the Lender Parties. 
  
 (f) Visitation Rights. At any reasonable time during normal business hours and from time to time, upon reasonable advance notice,
permit any of the Agents or any of the Lender Parties, or any agents or representatives thereof, to examine and make copies of and abstracts from the records and books of account of, and visit the properties of, the Borrower and any of its
Subsidiaries, and to discuss the affairs, finances and accounts of the Borrower and any of its Subsidiaries with any of their officers or directors and with their independent certified public accountants; provided, that so long as no Default
has occurred and is continuing, the Lenders shall be limited to one visit per year which shall be coordinated through the Administrative Agent. 
  
 (g) Keeping of Books. Keep, and cause each of its Subsidiaries to keep, proper books of record and account, in which full and
correct entries shall be made of all financial transactions and the assets and business of the Borrower and each such Subsidiary in accordance with generally accepted accounting principles in effect from time to time. 
  
 (h) Maintenance of Properties, Etc. Maintain and
preserve, and cause each of its Subsidiaries to maintain and preserve, all of its material properties that are used or useful in the conduct of its business in good working order and condition, ordinary wear and tear excepted and will from time to
time make or cause to be made all appropriate repairs, renewals and replacements thereof except where failure to do so could not reasonably be expected to have a Material Adverse Effect. 
  
 (i) Transactions with Affiliates. Conduct, and cause each of its Subsidiaries to conduct, all
transactions otherwise permitted under the Loan Documents with any of their Affiliates (other than transactions solely between and among Loan Parties) on terms that are fair and reasonable and no less favorable to the Borrower or such Subsidiary
than it would obtain in a comparable arm’s-length transaction with a Person not an Affiliate; provided that the Borrower or the Parent may pay to the Sponsor (i) management fees pursuant to the Management Agreement in an aggregate
amount not to exceed $1,500,000 in any Fiscal Year, (ii) out-of-pocket expenses incurred by the Sponsor in the ordinary course in respect of its management of the Borrower, so long as at the time of any such payment pursuant to clause
(i) or (ii) no Event of Default shall have occurred and be continuing and (iii) transaction fees in connection with acquisitions permitted under Section 5.02(f)(vii) that do not exceed the lesser of (A) 2% of the transaction
value 

  

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for any individual transaction or series of related transactions and (B) $3,000,000 in the aggregate in any Fiscal Year; provided further that
the following transactions shall not be deemed to violate this Section 5.01(i): (A) Investments in Subsidiaries that are not Guarantors permitted by Section 5.02(f)(i) and Restricted Payments permitted under Section 5.02(g),
(B) the sale of Equity Interests in the Parent to the Equity Investors, (C) shareholders and registration rights agreements among the Parent and its shareholders and (D) the payment of fees and expenses in relation to the Transaction
in an aggregate amount not to exceed $7,500,000. 
  
 (j) Covenant to Guarantee Obligations and Give Security. Upon (x) the request of the Collateral Agent following the occurrence and during the continuance of a Default, (y) the formation or acquisition of any new direct or
indirect Subsidiaries by any Loan Party or (z) the acquisition of any property by any Loan Party, unless such property, in the judgment of the Collateral Agent, shall already be subject to a perfected first priority security interest in favor
of the Collateral Agent for the benefit of the Applicable Secured Parties, then in each case at the Borrower’s expense: 
  
 (i) in connection with the formation or acquisition of a Subsidiary, within 10 days after such formation or acquisition, cause each such
Subsidiary (other than a CFC (unless no material adverse tax effect would result)), and cause each direct and indirect parent of such Subsidiary unless such parent is a CFC (unless no material adverse tax effect would result) (if it has not already
done so), to duly execute and deliver to the Collateral Agent a guaranty or guaranty supplement, in form and substance satisfactory to the Collateral Agent, guaranteeing the other Loan Parties’ Obligations under the Loan Documents, and a
joinder agreement in form and substance satisfactory to the Collateral Agent pursuant to which such Subsidiary shall become a party to the Intercreditor Agreement, 
  
 (ii) within 15 days after (A) such request, furnish to the Collateral Agent a description of the real
and personal properties of the Loan Parties and their respective Subsidiaries in detail reasonably satisfactory to the Collateral Agent and (B) such formation or acquisition, furnish to the Collateral Agent a description of the real and
personal properties of such Subsidiary or the real and personal properties so acquired, in each case in detail satisfactory to the Collateral Agent, 
  
 (iii) within 30 days after (A) such request or acquisition of property by any Loan Party, duly execute and deliver, and cause each
Loan Party to duly execute and deliver, to the Collateral Agent such additional mortgages, pledges, assignments, security agreement supplements, intellectual property security agreement supplements and other security agreements as specified by, and
in form and substance reasonably satisfactory to, the Collateral Agent, securing payment of all the Obligations of such Loan Party under the Loan Documents and constituting Liens on all such properties (excluding leasehold properties having a
remaining term (including all extension, renewal and like options) of less than five years or covering premises of less than 50,000 square feet) and (B) such 

  

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formation or acquisition of any new Subsidiary, duly execute and deliver and cause such Subsidiary (other than any CFC (unless no material adverse tax effect
would result)) and each Loan Party acquiring Equity Interests in such Subsidiary to duly execute and deliver to the Collateral Agent mortgages (excluding leasehold interests in real property unless the term thereof is five years or more or the lease
covers premises of 20,000 or more square feet), pledges, assignments, security agreement supplements, intellectual property security agreement supplements and other security agreements as specified by, and in form and substance reasonably
satisfactory to, the Collateral Agent, securing payment of all of the Obligations of such Subsidiary or Loan Party, respectively, under the Loan Documents; provided that (A) the stock of any Subsidiary held by a CFC shall not be required
to be pledged (unless no material adverse tax effect would result) and (B) if such new property is Equity Interests in a CFC, no more than 66% of the Equity Interests in such CFC shall be pledged (unless no material adverse tax effect would
result), 
  
 (iv) within 30 days after such
request, formation or acquisition, take, and cause each Loan Party and each newly acquired or newly formed Subsidiary (other than any CFC (unless no material adverse tax effect would result)) to take, whatever action (including, without limitation,
the recording of mortgages, the filing of Uniform Commercial Code financing statements, the giving of notices and the endorsement of notices on title documents and the preparation, execution, notarization and filing of and other actions with respect
to Foreign Collateral Documents) may be necessary or advisable in the opinion of the Collateral Agent to vest in the Collateral Agent (or in any representative of the Collateral Agent designated by it) valid and subsisting Liens on the properties
purported to be subject to the mortgages, pledges, assignments, security agreement supplements, intellectual property security agreement supplements and security agreements delivered pursuant to this Section 5.01(j), enforceable against all
third parties in accordance with their terms, 
  
 (v) within 60 days after such request, formation or acquisition, deliver to the Collateral Agent, upon the request of the Collateral Agent in its sole discretion, a signed copy of a favorable opinion, addressed to the Collateral Agent and
the other Applicable Secured Parties, of counsel for the Loan Parties reasonably acceptable to the Collateral Agent as to (1) the matters contained in clauses (i), (iii) and (iv) above, (2) such guaranties, guaranty
supplements, mortgages, pledges, assignments, security agreement supplements, intellectual property security agreement supplements and security agreements being legal, valid and binding obligations of each Loan Party party thereto enforceable in
accordance with their terms, as to the matters contained in clause (iv) above, (3) such recordings, filings, notices, endorsements and other actions being sufficient to create valid perfected Liens on such properties, (4) matters of
corporate formalities as the Collateral Agent may request, and (5) such other matters as the Collateral Agent may reasonably request, 
  

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 (vi) as promptly as practicable after such request, formation or acquisition, deliver,
upon the request of the Collateral Agent in its reasonable discretion, to the Collateral Agent with respect to each parcel of real property owned or held by each Loan Party and each newly acquired or newly formed Subsidiary (other than any
Subsidiary that is a CFC (unless no material adverse tax effect would result)) title insurance, surveys and engineering, soils and other reports, third party consents and estoppels and environmental assessment reports, each in scope, form and
substance satisfactory to the Collateral Agent, provided, however, that to the extent that any Loan Party or any of its Subsidiaries shall have otherwise received any of the foregoing items with respect to such real property, such
items shall, promptly after the receipt thereof, be delivered to the Collateral Agent, and 
  
 (vii) at any time and from time to time, promptly execute and deliver, and cause each Loan Party and each newly acquired or newly formed
Subsidiary (other than any Subsidiary that is a CFC (unless no material adverse tax effect would result)) to execute and deliver, any and all further instruments and documents and take, and cause each Loan Party and each newly acquired or newly
formed Subsidiary (other than any Subsidiary that is a CFC) to take, all such other action as the Collateral Agent may deem necessary or desirable in obtaining the full benefits of, or in perfecting and preserving the Liens of, such guaranties,
mortgages, pledges, assignments, security agreement supplements, intellectual property security agreement supplements and security agreements. 
  
 Notwithstanding the foregoing, the provisions of this Section 5.01(j) shall not apply to (A) property or assets as to which the Administrative Agent shall
determine in its reasonable discretion and in consultation with the Borrower that the costs of obtaining such a security interest are excessive in relation to the value of the security to be afforded thereby or (B) leasehold mortgages in respect of
which the applicable Loan Party is not able to obtain, despite its use of commercially reasonable efforts, required landlords’ consents required pursuant to the terms of the applicable lease and either a memorandum of lease in recordable form
with respect to such leasehold interest, executed and acknowledged by the applicable lessor, or evidence that the applicable lease or a memorandum thereof has been recorded in all places necessary, in the Administrative Agent’s reasonable
judgment, to give constructive notice to third party purchasers of such leasehold interest. 
  
 (k) Further Assurances. (i) Promptly upon request by any Agent, or any Lender Party through the Administrative Agent, correct, and
cause each of its Subsidiaries promptly to correct, any material defect or error that may be discovered in any Loan Document or in the execution, acknowledgment, filing or recordation thereof, and 
  
 (ii) Promptly upon request by any Agent, or any Lender Party
through the Administrative Agent, do, execute, acknowledge, deliver, record, re-record, file, re-file, register and re-register any and all such further acts, deeds, conveyances, pledge agreements, mortgages, deeds of trust, trust deeds,
assignments, financing statements and continuations thereof, termination statements, notices of assignment, transfers, 

  

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certificates, assurances and other instruments as any Agent, or any Lender Party through the Administrative Agent, may reasonably require from time to time
in order to (A) carry out more effectively the purposes of the Loan Documents, (B) to the fullest extent permitted by applicable law, subject any Loan Party’s or any of its Subsidiaries’ properties, assets, rights or interests to the Liens
now or hereafter intended to be covered by any of the Collateral Documents, (C) perfect and maintain the validity, effectiveness and priority of any of the Collateral Documents and any of the Liens intended to be created thereunder and (D) assure,
convey, grant, assign, transfer, preserve, protect and confirm more effectively unto the Secured Parties the rights granted or now or hereafter intended to be granted to the Secured Parties under any Loan Document or under any other instrument
executed in connection with any Loan Document to which any Loan Party or any of its Subsidiaries is or is to be a party, and cause each of its Subsidiaries to do so. 
  
 (l) Performance of Related Documents. Perform and observe, and cause each of its Subsidiaries to
perform and observe, all of the terms and provisions of each Related Document to be performed or observed by it, maintain each such Related Document in full force and effect, enforce such Related Document in accordance with its terms, take all such
action to such end as may be from time to time reasonably requested by the Administrative Agent and, upon reasonable request of the Administrative Agent, make to each other party to each such Related Document such demands and requests for
information and reports or for action as any Loan Party or any of its Subsidiaries is entitled to make under such Related Document; provided that the foregoing shall not preclude any amendment, modification or waiver under a Related Document
that is permitted by Section 5.02(k). 
  
 (m)
Preparation of Environmental Reports. Upon the provision of a notice under Section 5.03(j), at the request of the Administrative Agent, provide to the Lender Parties within 60 days after such request, at the expense of the Borrower, an
environmental site assessment report for any of its or its Subsidiaries’ properties described in such request, prepared by an environmental consulting firm acceptable to the Administrative Agent, indicating the presence or absence of Hazardous
Materials and the estimated cost of any compliance, removal or remedial action in connection with any Hazardous Materials on such properties; without limiting the generality of the foregoing, if such report is not provided within the time referred
to above, the Administrative Agent may retain an environmental consulting firm to prepare such report at the expense of the Borrower, and the Borrower hereby grants and agrees to cause any Subsidiary that owns any property described in such request
to grant at the time of such request to the Agents, the Lender Parties, such firm and any agents or representatives thereof an irrevocable non-exclusive license, subject to the rights of tenants, to enter onto their respective properties to
undertake such an assessment. 
  
 (n)
Compliance with Terms of Leaseholds. Make all payments and otherwise perform all obligations in respect of all leases of real property to which the Borrower or any of its Subsidiaries is a party, keep such leases in full force and effect and
not allow such leases to lapse or be terminated or any rights to renew such leases to be forfeited or cancelled, notify the Administrative Agent of any material default by any party with 

  

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respect to such leases and cooperate with the Administrative Agent in all respects to cure any such default, and cause each of its Subsidiaries to do so,
except, in any case, where the failure to do so, either individually or in the aggregate, could not be reasonably likely to have a Material Adverse Effect. 
  
 (o) L/C Cash Collateral Account. Maintain the L/C Cash Collateral Account with CS or a bank reasonably acceptable to the
Administrative Agent that has entered into an account control agreement with the Collateral Agent for the benefit of the Secured Parties pursuant to the Security Agreement. 
  
 (p) Interest Rate Hedging. Enter into prior to the date which is thirty days after the Effective
Date, and maintain at all times thereafter, interest rate Hedge Agreements with Persons reasonably acceptable to the Administrative Agent, covering a notional amount sufficient to cause the interest rate on 50% of the Consolidated Debt of Holdings
and its Subsidiaries as of the Effective Date to be capped at a fixed rate (taking into account any such Indebtedness that by its terms bears interest at a fixed rate). 
  
 (q) Performance of Material Contracts. Perform and observe all the terms and provisions of each
Material Contract to be performed or observed by it, maintain each such Material Contract in full force and effect, enforce each such Material Contract in accordance with its terms, take all such action to such end as may be from time to time
reasonably requested by the Administrative Agent and, upon reasonable request of the Administrative Agent, make to each other party to each such Material Contract such demands and requests for information and reports or for action as any Loan Party
or any of its Subsidiaries is entitled to make under such Material Contract, and cause each of its Subsidiaries to do so. 
  
 (r) Leasehold Mortgages. (i) Within 90 days after the Effective Date, the Borrower shall deliver to the Administrative Agent, in
form and substance satisfactory to the Administrative Agent, leasehold mortgages and leasehold deeds of trust in substantially the form of Exhibit E hereto (with such changes as may be satisfactory to the Administrative Agent and its counsel to
account for local law matters) and covering the properties listed on Schedule 5.01(r)(i) hereto, duly executed by the appropriate Loan Party (collectively, the “Leasehold Mortgages”), together with (A) evidence that
counterparts of the Leasehold Mortgages have been duly executed, acknowledged and delivered in form suitable for filing or recording, in all filing or recording offices that are necessary, in the Administrative Agent’s reasonable judgment, in
order to create a valid first and subsisting Lien (subject only to the Permitted Encumbrances) on the property described therein in favor of the Collateral Agent for the benefit of the Secured Parties and that all filing and recording taxes and fees
have been paid (or duly provided for in a manner acceptable to the Administrative Agent), (B) fully paid American Land Title Association Lender’s Extended Coverage title insurance policies or other insurance policies customarily available in
relevant jurisdictions for each of the Mortgages (in each case, the “Leasehold Mortgage Policies”) in form and substance, with endorsements and in an amount reasonably acceptable to the Administrative Agent, issued, coinsured
and reinsured by title insurers reasonably acceptable to the Administrative Agent, insuring the Leasehold Mortgages to be valid first and subsisting Liens on the property described 

  

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therein, free and clear of all defects and encumbrances, excepting only Permitted Encumbrances, which include no standard survey exception, and providing for
such other affirmative insurance (including endorsements for future advances under the Loan Documents and for mechanics’ and materialmen’s Liens) and such coinsurance and direct access reinsurance as the Administrative Agent may deem
necessary or desirable, (C) estoppel and consent agreements, in form and substance reasonably satisfactory to the Administrative Agent, executed by each of the lessors of the leased real properties listed on Schedule 5.01(r)(ii) hereto, along with
(x) a memorandum of lease in recordable form with respect to such leasehold interest, executed and acknowledged by the owner of the affected real property, as lessor, or (y) evidence that the applicable lease with respect to such leasehold interest
or a memorandum thereof has been recorded in all places necessary, in the Administrative Agent’s reasonable judgment, to give constructive notice to third-party purchasers of such leasehold interest, or (z) if such leasehold interest was
acquired or subleased from the holder of a recorded leasehold interest, the applicable assignment or sublease document, executed and acknowledged by such holder, in each case in form sufficient to give such constructive notice upon recordation, and
otherwise in form reasonably satisfactory to the Administrative Agent, (D) evidence of the insurance required by the terms of the Leasehold Mortgages, (E) a corporate formalities opinion relating to the valid existence and good standing of the
applicable Loan Parties and the due authorization, execution and delivery of the Leasehold Mortgages in a form and from a law firm acceptable to the Administrative Agent in its reasonable discretion, such opinion being substantially in the form of
Exhibit H-2 hereto, and otherwise in form and substance reasonably satisfactory to the Administrative Agent, (F) opinions of local counsel for the Loan Parties in states in which the properties encumbered by a Leasehold Mortgage are located, with
respect to the enforceability and perfection of the leasehold Mortgages and any related fixture filings in form and substance reasonably satisfactory to the Administrative Agent and (vii) such other consents, agreements and confirmations of lessors
and third parties as the Administrative Agent may deem reasonably necessary or desirable and evidence that all other actions that the Administrative Agent may deem reasonably necessary or desirable in order to create valid first and subsisting Liens
on the property described in the Mortgages has been taken. 
  
 (ii) Notwithstanding anything to the contrary in clause (i) of this Section 5.01(r), with respect to any leasehold interest required to be encumbered with a first priority Leasehold Mortgage pursuant to clause (i),
(A) the Borrower shall use commercially reasonable efforts to obtain (y) (1) a memorandum of lease in recordable form with respect to such leasehold interest, executed and acknowledged by the lessor of such leasehold interest, or (2) evidence that
the applicable lease with respect to such leasehold interest or a memorandum thereof has been recorded in all places necessary, in the Administrative Agent’s reasonable judgment, to give constructive notice to third-party purchasers of such
leasehold interest, and (z) any lessor consent or approval of such Leasehold Mortgage as may be required pursuant to the terms of the applicable lease with respect to such leasehold interest, and (B) if the Borrower shall fail to obtain the
documents referred to in clauses (y) or (z) above with respect to any such leasehold interest, after using commercially reasonable efforts to do so, the Borrower shall have no further obligation to comply with this Section with respect to the
applicable leasehold interest. As used in this Section, “commercially reasonable efforts” shall require the 

  

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Borrower to commence the matter referred to with diligence and in a manner consistent with customary business practices, but shall not require that the
Borrower commence litigation or expend any sums of money except such sums as may be required to compensate a lessor for reasonable expenses in reviewing the applicable documentation (including reasonable legal fees in connection with such review).
The Borrower shall promptly, upon request, provide the Administrative Agent with a report in reasonable detail summarizing the commercially reasonable efforts undertaken to obtain the items referenced in this clause (ii). 
  
 (s) Maintenance of Ratings. The Borrower shall at all
times use commercially reasonable efforts to cause a credit rating by S&P and Moody’s to be maintained with respect to the Facilities. 
  
 SECTION 5.02. Negative Covenants. So long as any Advance or any other Obligation of any Loan Party under any Loan Document shall remain unpaid, any
Letter of Credit shall be outstanding or any Lender Party shall have any Commitment hereunder, neither the Parent nor the Borrower will, at any time: 
  
 (a) Liens, Etc. Create, incur, assume or suffer to exist, or permit any of its Subsidiaries to create, incur, assume or suffer to
exist, any Lien on or with respect to any of its properties of any character (including, without limitation, accounts) whether now owned or hereafter acquired, or sign or file or suffer to exist, or permit any of its Subsidiaries to sign or file or
suffer to exist, under the Uniform Commercial Code of any jurisdiction, a financing statement that names the Borrower or any of its Subsidiaries as debtor, or sign or suffer to exist, or permit any of its Subsidiaries to sign or suffer to exist, any
security agreement authorizing any secured party thereunder to file such financing statement, or assign, or permit any of its Subsidiaries to assign, any accounts or other right to receive income, except: 
  
 (i) Liens created under the Loan Documents (including Liens
under the Loan Documents securing Secured Hedge Agreements); 
  
 (ii) Permitted Liens; 
  
 (iii) Liens existing on the date hereof and described on Schedule 4.01(w) hereto; 
  
 (iv) purchase money Liens upon or in real property or equipment acquired or held by the Borrower or any of its Subsidiaries in the
ordinary course of business to secure the purchase price of such property or equipment or to secure Debt incurred solely for the purpose of financing the acquisition, construction or improvement of any such property or equipment to be subject to
such Liens, or Liens existing on any such property or equipment at the time of acquisition (other than any such Liens created in contemplation of such acquisition that do not secure the purchase price), or extensions, renewals or 

  

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replacements of any of the foregoing for the same or a lesser amount; provided, however, that no such Lien shall extend to or cover any
property other than the property or equipment being acquired, constructed or improved, and no such extension, renewal or replacement shall extend to or cover any property not theretofore subject to the Lien being extended, renewed or replaced; and
provided further that the aggregate principal amount of the Debt secured by Liens permitted by this clause (iv) shall not exceed the amount permitted under Section 5.02(b)(ii) at any time outstanding; 
  
 (v) Liens arising under Capitalized Leases permitted under
Section 5.02(b)(iii); provided that no such Lien shall extend to or cover any Collateral or assets other than the assets subject to such Capitalized Leases; 
  
 (vi) Liens on property of a Person existing at the time such Person is merged into or consolidated with the
Borrower or any Subsidiary of the Borrower; provided that (x) such merger or consolidation is otherwise permitted under the Loan Documents and (y) such Liens were not created in contemplation of such merger, consolidation or investment and do
not extend to any assets other than those of the Person merged into or consolidated with the Borrower or such Subsidiary or acquired by the Borrower or such Subsidiary; 
  
 (vii) other Liens securing Debt outstanding in an aggregate principal amount not to exceed $2,500,000;
provided that no such Lien shall extend to or cover any Collateral; 
  
 (viii) second-priority Liens on the Collateral securing the Floating Rate Notes on the terms set forth in the Intercreditor Agreement; and 
  
 (ix) the replacement, extension or renewal of any Lien permitted by clauses (iii) through (viii) above upon
or in the same property theretofore subject thereto or the replacement, extension or renewal (without increase in the amount or change in any direct or contingent obligor) of the Debt secured thereby, to the extent that such replacement, extension
or renewal is otherwise permitted under this Agreement. 
  
 (b) Debt. Create, incur, assume or suffer to exist, or permit any of its Subsidiaries to create, incur, assume or suffer to exist, any Debt, except: 
  
 (i) Debt under the Loan Documents (including any extension
or increase of the Revolving Credit Facility hereunder); 
  
 (ii) Debt secured by Liens permitted by Section 5.02(a)(iv) not to exceed in the aggregate, when taken together with Debt incurred pursuant to clause (iii) of this Section 5.02(b), $15,000,000 at any time outstanding;

  
 (iii) Capitalized Leases not to exceed in the
aggregate, when taken together with Debt incurred pursuant to clause (ii) of this Section 5.02(b), $15,000,000 at any time outstanding; 
  

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 (iv) Debt in respect of Hedge Agreements designed to hedge against fluctuations in
interest rates, foreign exchange rates and commodity prices incurred in the ordinary course of business and consistent with prudent business practice. 
  
 (v) Debt owed (A) to the Borrower or a Subsidiary Guarantor, which Debt shall (1) constitute Pledged Debt, (2) be subordinated in right of
payment to the payment of the Obligations under the Loan Documents as provided in Section 8.06 or otherwise on terms acceptable to the Administrative Agent, (3) not mature or have any amortization payments prior to the date that is 6 months after
the Termination Date in respect of the Term B Facilities and (4) be otherwise permitted under the provisions of Section 5.02(f), (B) to the Parent, which Debt shall (1) constitute Pledged Debt, (2) be subordinated in right of payment to the payment
of the Obligations under the Loan Documents on the terms set forth in Section 8.06 or other terms reasonably acceptable to the Administrative Agent, (3) not mature or have any amortization payments prior to the date that is six months after the
Termination Date in respect of the Term B Facilities and (4) be otherwise permitted under the provisions of Section 5.02(f) and (C) to a Subsidiary that is not a Loan Party, which Debt shall (1) be subordinated in right of payment to the payment of
the Obligations under the Loan Documents on terms reasonably acceptable to the Administrative Agent, (2) not mature or have any amortization payments prior to the date that is six months after the Termination Date in respect of the Term B Facilities
and (3) be otherwise permitted under the provisions of Section 5.02(f); 
  
 (vi) Debt of Foreign Subsidiaries not to exceed $15,000,000 in the aggregate at any time outstanding; 
  
 (vii) Debt in respect of (A) the Floating Rate Notes, not to exceed €100,000,000 at any time outstanding, to the extent such Debt
does not constitute “Designated Senior Debt” for purposes of any Subordinated Debt, including the Senior Subordinated Notes and (B) the Senior Subordinated Notes, not to exceed $150,000,000 at any time outstanding; 
  
 (viii) Debt arising from obligations to pay indemnification,
adjustment of purchase price or similar obligations incurred in connection with the disposition of any business, assets or Subsidiary in accordance with the terms of this Agreement (excluding for the avoidance of doubt Guaranteed Debt in respect of
any Indebtedness incurred to finance all or any part of such acquisition), so long as the amount of such Debt does not exceed the gross proceeds actually received by the Borrower or any Subsidiary thereof in connection with any such disposition;

  
 (ix) Debt arising from the honoring by a bank
or other financial institution of a check, draft or similar instrument drawn against insufficient funds in the ordinary course of business, provided that such Debt is extinguished within five Business Days of its incurrence and does not
exceed $100,000 in the aggregate at any time outstanding; 
  

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 (x) Debt constituting reimbursement obligations with respect to trade letters of credit
issued in favor of suppliers, customers, franchisees and licensees of the Borrower and its Subsidiaries for the purchase of goods and services in the ordinary course of business; provided that, upon the drawing of such letters of credit, such
obligations are reimbursed within 30 days following such drawing; 
  
 (xi) so long as no Default has occurred and is continuing or would result from the incurrence thereof, additional Subordinated Debt the Net Cash Proceeds of which are (A) immediately applied to prepay the Obligations
pursuant to Section 2.06(b)(ii) or (B) immediately applied to make Investments permitted under Section 5.02(f)(vi); provided that (1) immediately before and immediately after giving effect to the incurrence of any such Subordinated Debt, no
Default shall have occurred and be continuing, (2) immediately after giving effect to such incurrence, the Leverage Ratio shall be no higher than 25 bps below the then-applicable covenant level set forth in Section 5.04 and (3) immediately before
giving effect to such incurrence, the Borrower and its Subsidiaries shall have an aggregate amount of $20,000,000 in any combination of available cash, Cash Equivalents held by Loan Parties free and clear of all Liens (other than Liens created under
the Loan Documents and Liens securing the Floating Rate Notes that are subject to the terms of the Intercreditor Agreement) and Unused Revolving Credit Commitments; 
  
 (xii) Guaranties of the Borrower in respect of Indebtedness of any Subsidiary Guarantor otherwise permitted
hereunder; 
  
 (xiii) any Debt of the Loan
Parties or any of their respective Subsidiaries issued in exchange for, or the net proceeds of which are used to extend, refinance, renew, replace, defease or refund other Debt of the Loan Parties or any of their respective Subsidiaries incurred
pursuant to Section 5.02(b)(vii); provided that: (A) the amount of such refinancing Debt does not exceed the amount of the Debt so extended, refinanced, renewed, replaced, defeased or refunded (plus all accrued and unpaid interest thereon and
the amount of any reasonably determined premium necessary to accomplish such refinancing and the reasonable fees and expenses incurred by the Loan Parties in connection therewith), (B) such refinancing Debt has a final maturity date later than the
final maturity date of, and has a weighted average life to maturity equal to or greater than the weighted average life to maturity of, the Debt being extended, refinanced, renewed, replaced, defeased or refunded, (C) if the Debt being extended,
refinanced, renewed, replaced, defeased or refunded constitutes Subordinated Debt, such refinancing Debt has a final maturity date at least 180 days later than the Termination Date and also constitutes Subordinated Debt on terms at least as
favorable, taken as a whole, to the Lender Parties as those contained in the documentation governing the Debt being extended, refinanced, renewed, replaced, defeased or refunded, (D) such Debt is incurred by either (1) the Subsidiary that is 

  

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the obligor on the Debt being extended, refinanced, renewed, replaced, defeased or refunded or (2) the Borrower and (E) no such Debt constitutes
“Designated Senior Debt” for purposes of any Subordinated Debt; 
  
 (xiv) Debt of any Person that becomes a Subsidiary of the Borrower after the date hereof in accordance with the terms of Section 5.02(f), which Debt is existing at the time such Person becomes a Subsidiary of the
Borrower (other than Debt incurred solely in contemplation of such Person becoming a Subsidiary of the Borrower); and 
  
 (xv) unsecured Debt not otherwise permitted under this Section 5.02(b) not to exceed $25,000,000 in the aggregate at any time outstanding.

  
 (c) Change in Nature of Business.
Make, or permit any of its Subsidiaries to make, any material change in the nature of its business as carried on at the date hereof; or engage in, or permit any of its Subsidiaries to engage in, any business other than the manufacture and
distribution of protective packaging materials and flexible packaging materials and other activities ancillary or incidental thereto. 
  
 (d) Mergers, Etc. Merge into or consolidate with any Person or permit any Person to merge into it, or permit any of its
Subsidiaries to do so, except that: 
  
 (i) any
Subsidiary of the Borrower may merge into or consolidate with any other Subsidiary of the Borrower; provided that, in the case of any such merger or consolidation, the Person formed by such merger or consolidation shall be a wholly owned
Subsidiary of the Borrower; and provided further that, in the case of any such merger or consolidation to which a Subsidiary Guarantor is a party, the Person formed by such merger or consolidation shall be a Subsidiary Guarantor; and

  
 (ii) as part of any acquisition permitted
under Section 5.02(f), any Subsidiary of the Borrower may merge into or consolidate with any other Person or permit any other Person to merge into or consolidate with it; provided that the Person surviving such merger shall be a wholly owned
Subsidiary of the Borrower; and provided further that, in the case of any merger or consolidation to which a Subsidiary Guarantor is a party, the Person formed by such merger or consolidation shall be a Subsidiary Guarantor;

  
 provided, however, that in each case,
immediately before and after giving effect thereto, no Default shall have occurred and be continuing. 
  
 (e) Sales, Etc., of Assets. Sell, lease, transfer or otherwise dispose of, or permit any of its Subsidiaries to sell, lease,
transfer or otherwise dispose of, any assets, or grant any option or other right to purchase, lease or otherwise acquire, or permit any of its Subsidiaries to grant any option or other right to purchase, lease or otherwise acquire, any assets,
except: 
  

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 (i) sales of Inventory in the ordinary course of its business and the granting of any
option or other right to purchase, lease or otherwise acquire Inventory in the ordinary course of its business; 
  
 (ii) the sale or other disposition of Cash Equivalents for fair market value in the ordinary course of business; 
  
 (iii) dispositions of accounts receivable in connection with
the compromise, settlement or collection thereof in the ordinary course of business or in connection with bankruptcy or similar proceedings; 
  
 (iv) Restricted Payments permitted by Section 5.02(g); 
  
 (v) any sale, lease, conveyance, disposition or other transfer in the ordinary course of business (and
consistent with past practices) of any property, equipment or assets (other than real property) that has become damaged, worn out or obsolete or is no longer useful or usable in the Borrower’s business as conducted prior to such sale, lease,
conveyance, disposition or other transfer; 
  
 (vi) the non-exclusive licensing or sublicensing of intellectual property in the ordinary course of business, to the extent that such license does not prohibit the licensor from using the intellectual property; 
  
 (vii) the creation of (but not the enforcement or
foreclosure in respect of) a Lien not prohibited by this Agreement; 
  
 (viii) any issuance of, or disposition on account of, directors’ qualifying shares or investments by foreign nationals mandated by foreign law; 
  
 (ix) transactions permitted by Section 5.02(d); 
  
 (x) the settlement, release or surrender of contract, tort
or other claims of any kind; 
  
 (xi) sales,
transfers or other dispositions of assets (A) among Loan Parties and (B) to Subsidiaries of the Borrower that are not Loan Parties to the extent permitted by Section 5.02(f)(i)(D); and 
  
 (xii) sales, transfers or other dispositions of assets (excluding Equity Interests in a Subsidiary that
constitute less than 100% of the Equity Interests of such Subsidiary) for at least 80% cash (which shall be deemed to include, for purposes of this clause (xii), up to $5,000,000 of liabilities of the Borrower or any of its Subsidiaries (as shown on
the Borrower’s or such Subsidiary’s most recent balance sheet) (other than contingent liabilities and Subordinated Debt) that are assumed by the transferee of any such assets or Equity Interests whereby the Borrower or such Subsidiary is
released from further liability therefor) and for fair value in an aggregate amount not to exceed $10,000,000 in any Fiscal Year or $30,000,000 in the aggregate for all such sales, transfers and other dispositions pursuant to this Section
5.02(e)(xii); 
  

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 provided that in the case of sales of assets pursuant to clause (xii) above, the Borrower shall,
on the date of receipt by any Loan Party or any of its Subsidiaries of the Net Cash Proceeds from such sale, prepay the Advances pursuant to, and in the amount and order of priority set forth in, Section 2.06(b)(ii). 
  
 (f) Investments in Other Persons. Make or hold, or
permit any of its Subsidiaries to make or hold, any Investment in any Person, except: 
  
 (i) (A) Investments by the Parent and its Subsidiaries in their respective Subsidiaries outstanding on the date hereof, (B) additional
Investments by the Parent and its Subsidiaries in Loan Parties, (C) additional Investments by Subsidiaries of the Borrower that are not Loan Parties in other Subsidiaries that are not Loan Parties and (D) additional Investments by the Loan Parties
in wholly-owned Subsidiaries that are not Loan Parties in an aggregate amount not to exceed $10,000,000 outstanding at any time; 
  
 (ii) (A) loans and advances to employees in the ordinary course of the business of the Borrower and its Subsidiaries consistent with
practices of the Borrower and its Subsidiaries prior to the Effective Date, (B) commission, payroll, relocation, travel and similar advances to directors, officers, employees and consultants of the Borrower or any of its Subsidiaries in the ordinary
course of business consistent with past practice that are expected at the time of such advance ultimately to be recorded as an expense in conformity with GAAP and (C) loans and advances to directors, employees and officers of the Borrower and its
Subsidiaries in connection with the purchase of Equity Interests in the Parent by such directors, employees and officers in an aggregate amount not to exceed $5,000,000 outstanding at any time and as to which no cash is actually advanced;

  
 (iii) Investments by the Borrower and its
Subsidiaries in Cash Equivalents; 
  
 (iv)
Investments existing on the date hereof and described on Schedule 4.01(z) hereto; 
  
 (v) (A) any Investment received as non-cash consideration from an asset sale that was made pursuant to and in accordance with Section
5.02(e)(xii); (B) stock, obligations or securities received in satisfaction of judgments; (C) Investments in securities of trade creditors received pursuant to any plan of reorganization or similar arrangement upon the bankruptcy or insolvency of
such trade creditors or in good faith settlement of delinquent obligations of, or other disputes with, such trade creditors; and (D) advances to customers or suppliers in the ordinary course of business that are, in conformity with GAAP, recorded as
accounts receivable, prepaid expenses or deposits on the balance sheet of the Borrower or its Subsidiaries and endorsements for collection or deposit arising in the ordinary course of business; 
  

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 (vi) Investments in Hedge Agreements permitted under Section 5.02(b)(iv); 
  
 (vii) the purchase or other acquisition of all of the Equity
Interests in any Person that, upon the consummation thereof, will be wholly-owned (except, in the case of any Foreign Subsidiary, to the extent of equity interests required to be held by Persons resident in the jurisdiction of such Foreign
Subsidiary pursuant to the law of such jurisdiction) directly by the Borrower or one or more of its wholly-owned Subsidiaries (including, without limitation, as a result of a merger or consolidation) and the purchase or other acquisition by the
Borrower or one or more of its wholly-owned Subsidiaries of all or substantially all of the property and assets of, or a business line or unit or a division of, any Person; provided that, with respect to each purchase or other acquisition
made pursuant to this clause (vii): 
  
 (A) the
Loan Parties and any such newly created or acquired Subsidiary shall comply with the requirements of Section 5.01(j), except to the extent that such purchase or acquisition (1) is made as a reinvestment pursuant to the definition of “Net Cash
Proceeds” of proceeds from the sale of Equity Interests in or assets of a Subsidiary that was a CFC immediately prior to such sale and (2) results in the acquisition of a Subsidiary that is a CFC or the acquisition of assets by a Subsidiary
that is a CFC; 
  
 (B) the lines of business of
the Person to be (or the property and assets of which are to be) so purchased or otherwise acquired shall comply with Section 5.02(c); 
  
 (C) such purchase or other acquisition shall not include or result in any contingent liabilities that could reasonably be expected to be
material to the business, financial condition, operations or prospects of the Borrower and its Subsidiaries, taken as a whole (as determined in good faith by the board of directors (or the persons performing similar functions) of the Borrower, if
the board of directors is otherwise approving such transaction, or, in each other case, by the chief executive or financial officer of the Borrower); 
  
 (D) the total cash and noncash consideration (including, without limitation, the fair market value of all Equity Interests issued or
transferred to the sellers of such Person or assets, all indemnities, earnouts and other contingent payment obligations to, and the aggregate amounts paid or to be paid under noncompete, consulting and other affiliated agreements with, the sellers
of such Person or assets, all write-downs of property and assets and reserves for liabilities with respect thereto and all 
  

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 assumptions of debt, liabilities and other obligations in connection therewith) paid by or on behalf of
the Borrower and its Subsidiaries for any such purchase or other acquisition, when aggregated with the total cash and noncash consideration paid by or on behalf of the Borrower and its Subsidiaries for all other purchases and other acquisitions made
by the Borrower and its Subsidiaries pursuant to this clause (vii), shall not exceed (1) $100,000,000 during the period from the Effective Date through December 31, 2006, (2) $75,000,000 in any Fiscal Year ended after December 31, 2006 or (3)
$200,000,000 in the aggregate for all Investments pursuant to this Section 5.02(f)(vii)(D); provided that if in any Fiscal Year, the amount of all Investments pursuant to this Section 5.02(f)(vii) during such fiscal year is less than
$75,000,000, then the Borrower and its Subsidiaries shall be entitled to make additional Investments in the next succeeding Fiscal Year in an amount equal to the lesser of (x) the difference between $75,000,000 and the amount of such Investments
actually made during such prior Fiscal Year and (y) $37,500,000; provided further that no Loan Party shall make an Investment pursuant to this clause (vii) in any entity that will not, upon the consummation of such Investment, become a
Loan Party or in any assets that will not be owned by such Loan Party; 
  
 (E) (1) immediately before and immediately after giving effect to any such purchase or other acquisition, no Default shall have occurred and be continuing and (2) immediately after giving effect to such purchase or
other acquisition, the Borrower and its Subsidiaries shall be in pro forma compliance with all of the Financial Performance Covenants (provided that immediately before and immediately after giving effect to such purchase or other
acquisition, the Leverage Ratio shall be no higher than 25 bps below the then-applicable covenant level set forth in Section 5.04), in each case determined on the basis of the most recent financial statements delivered pursuant to Section 5.03 and
audited financial statements of such Person or assets (or other available financial information) as though such purchase or other acquisition had been consummated as of the first day of the fiscal period covered thereby and (3) immediately before
and immediately after giving effect to such purchase or other acquisition, the Borrower and its Subsidiaries shall have an aggregate amount of $20,000,000 in any combination of available cash, Cash Equivalents held by Loan Parties free and clear of
all Liens (other than Liens created under the Loan Documents and Liens securing the Floating Rate Notes that are subject to the terms of the Intercreditor Agreement) and Unused Revolving Credit Commitments; and 
  
 (F) the Borrower shall have delivered to the Administrative
Agent, on behalf of the Lender Parties, at least five Business Days (or such shorter period as may be approved by the Administrative Agent) prior to the date on which any such purchase or other acquisition is to be consummated, a certificate of a
Responsible Officer, in form and 
  

 Pregis Credit Agreement 
  
 103 

 substance reasonably satisfactory to the Administrative Agent, certifying that all of the requirements
set forth in this clause (vii) have been satisfied or will be satisfied on or prior to the consummation of such purchase or other acquisition; 
  
 (viii) Investments by the Borrower or any Subsidiary of the Borrower in joint ventures or non-wholly-owned Subsidiaries (which shall not
be deemed to refer to Foreign Subsidiaries that are non-wholly-owned solely as described in Section 5.02(f)(vii) above) in an aggregate amount, when taken together with all other Investments made pursuant to this clause (viii) since the Effective
Date, not to exceed $5,000,000; 
  
 (ix)
Investments by the Borrower and its Subsidiaries not otherwise permitted under this Section 5.02(f) in an aggregate amount not to exceed $15,000,000 outstanding at any time; provided that, with respect to each Investment made pursuant to this
clause (ix): 
  
 (A) except in the case of
Investments in Foreign Subsidiaries, such Investment shall not include or result in any contingent liabilities that could reasonably be expected to be material to the business, financial condition, operations or prospects of the Borrower and its
Subsidiaries, taken as a whole (as determined in good faith by the board of directors (or persons performing similar functions) of the Borrower, if the board of directors is otherwise approving such transaction, or, in each other case, by the chief
executive or financial officer of the Borrower); 
  
 (B) except in the case of Investments in Foreign Subsidiaries, such Investment shall be in property and assets which are part of, or in lines of business that are, substantially the same lines of business as one or more of the principal
businesses of the Borrower and its Subsidiaries in the ordinary course; 
  
 (C) except in the case of Investments in Foreign Subsidiaries, any determination of the amount of such Investment shall include all cash and noncash consideration (including, without limitation, the fair market value
of all Equity Interests issued or transferred to the sellers of such investment, all indemnities, earnouts and other contingent payment obligations to, and the aggregate amounts paid or to be paid under noncompete, consulting and other affiliated
agreements with, the sellers of such investment, all write-downs of property and assets and reserves for liabilities with respect thereto and all assumptions of debt, liabilities and other obligations in connection therewith) paid by or on behalf of
the Borrower and its Subsidiaries in connection with such Investment; and 
  
 (D) (1) immediately before and immediately after giving effect to any such purchase or other acquisition, no Default shall have occurred and be continuing and (2) except in the case of Investments in Foreign

  

 Pregis Credit Agreement 
  
 104 

 Subsidiaries, immediately after giving effect to such purchase or other acquisition, the Parent and its
Subsidiaries shall be in pro forma compliance with all of the Financial Performance Covenants, such compliance to be determined on the basis of audited financial statements for such Investment as though such Investment had been consummated as
of the first day of the fiscal period covered thereby; 
  
 (x) Investments consisting of guaranties permitted under Section 5.02(b); and 
  
 (xi) Investments acquired in connection with (and not created in anticipation of) any Investment permitted by Section 5.02(f)(vii).

  
 (g) Restricted Payments. Declare or
pay any dividends, purchase, redeem, retire, defease or otherwise acquire for value any of its Equity Interests now or hereafter outstanding, return any capital to its stockholders, partners or members (or the equivalent Persons thereof) as such,
make any distribution of assets, Equity Interests, obligations or securities to its stockholders, partners or members (or the equivalent Persons thereof) as such, or permit any of its Subsidiaries to do any of the foregoing, or permit any of its
Subsidiaries to purchase, redeem, retire, defease or otherwise acquire for value any Equity Interests in the Borrower, except that, so long as no Default shall have occurred and be continuing at the time of any action described below or would result
therefrom: 
  
 (i) the Parent may (A) declare and
pay dividends and distributions payable only in common stock of the Parent and (B) except to the extent the Net Cash Proceeds thereof are required to be applied to the prepayment of the Advances pursuant to Section 2.06(b), purchase, redeem, retire,
defease or otherwise acquire shares of its capital stock with the proceeds received contemporaneously from the issue of new shares of its capital stock with equal or inferior voting powers, designations, preferences and rights; 
  
 (ii) the Borrower may declare and pay cash dividends and
distributions to the Parent (and the Parent may make the following cash distributions) (A) to the extent necessary to permit the Parent to pay legal, accounting and reporting expenses, (B) in an aggregate amount not to exceed $1,000,000 in any
Fiscal Year, to the extent necessary to permit the Parent to pay general administrative costs and expenses and to pay reasonable directors fees and expenses, (C) so long as no Default shall have occurred or be continuing, to repurchase stock owned
by employees (to the extent the purchase price exceeds the amount of outstanding advances made to such employees in connection with the purchase of stock) pursuant to the terms of agreements with such employees in an aggregate amount not to exceed
$5,000,000 plus the proceeds of any key man life insurance and (D) to the extent necessary to permit the Parent to pay management fees and reasonable out-of-pocket expenses to the Sponsor permitted under the first proviso to Section 5.01(i);

  

 Pregis Credit Agreement 
  
 105 

 (iii) the Borrower may, so long as immediately before and immediately after giving effect
to any such dividend or distribution the Leverage Ratio shall be less than 4.00 to 1.00, declare and pay dividends and distributions to the Parent in an amount for all such dividends and distributions not to exceed the sum of (A) $5,000,000 plus (B)
50% of the sum of (1) the cumulative Consolidated Net Income of the Borrower and its Subsidiaries arising after the date hereof (net of any amounts paid as a dividend or distribution pursuant to subclause (A)) plus (2) 100% of extraordinary
cash gains realized in such period minus (3) 100% of extraordinary cash losses realized in such period minus (C) the sum of (1) the aggregate amount used to prepay, redeem, purchase, defease or otherwise satisfy Debt pursuant to
Section 5.02(j) and (2) amounts paid to minority equityholders pursuant to Section 5.02(g)(v); 
  
 (iv) the Parent may declare and pay dividends and distributions to its stockholders and purchase, redeem, retire or otherwise acquire
shares of its own outstanding Capital Stock for cash solely with amounts received by it from the Borrower pursuant to clause (iii) above; 
  
 (v) any Subsidiary of the Borrower may declare and pay cash dividends to the Borrower or to any Subsidiary of the Borrower of which it is
a Subsidiary and, to the extent the Subsidiary declaring and paying cash dividends is not a Wholly-Owned Subsidiary, to its minority equity holders on a pro rata basis (provided that such portion paid to minority equity holders shall be taken
into account for purposes of Section 5.02(g)(iii)); and 
  
 (vi) the Borrower may declare and pay dividends and distributions to the Parent in the event that the Borrower is a member of a consolidated, combined or similar U.S. federal, state or local income tax group of which
the Parent is the common parent, in order to allow the Parent to pay the portion of any such consolidated, combined or similar income taxes that are attributable to the income of the Borrower and its Subsidiaries (to the extent such taxes are not
payable directly by the Borrower and its Subsidiaries); provided that (A) the amount of such payments, dividends or distributions, plus the amount of any such taxes payable directly by the Borrower and its Subsidiaries, do not exceed a
reasonable estimate of the amount of tax that the Borrower and its Subsidiaries would have paid as a stand alone consolidated, combined or similar U.S. federal, state or local income tax group of which the Borrower was the common parent plus any
taxes attributable to the income or operations of the Borrower as a result of the Parent’s ownership of Borrower and (B) in the event that such reasonable estimate exceeds the actual amount that the Borrower would have been required to pay, the
Parent shall repay the excess to the Borrower within a reasonable period after the later of the date on which such excess is determined and the date on which the Parent receives any refund related to such excess. 
  
 (h) Amendments of Constitutive Documents. Amend, or
permit any of its Subsidiaries to amend, its certificate of incorporation or bylaws or other constitutive documents other than amendments that could not be reasonably expected to have a Material Adverse Effect. 
  

 Pregis Credit Agreement 
  
 106 

 (i) Accounting Changes. Make or permit, or permit any of its Subsidiaries to make
or permit, any change in (i) accounting policies or reporting practices, except as required by generally accepted accounting principles, or (ii) Fiscal Year. 
  

(j) Prepayments, Etc., of Debt. Prepay, redeem, purchase, defease or otherwise satisfy prior to the scheduled maturity thereof
in any manner, or make any payment in violation of any subordination terms of, any Debt, except the prepayment of the Advances in accordance with the terms of this Agreement, or amend, modify or change in any manner that is adverse to the interests
of the Lender Parties any term or condition of any Surviving Debt or Subordinated Debt, or permit any of its Subsidiaries to do any of the foregoing other than to prepay any Debt payable to a Loan Party; provided that (A) the Borrower may
prepay, redeem, purchase, defease or otherwise satisfy prior to the scheduled maturity thereof in any manner any Debt in lieu of paying a dividend or making a distribution in a like amount that would be permitted under Section 5.02(g)(iii) and (B)
the Parent may prepay, redeem, purchase, defease or otherwise satisfy prior to the scheduled maturity thereof in any manner any Debt in lieu of paying a dividend or making a distribution in a like amount that would be permitted under Section
5.02(g)(iv); and provided further that any Debt may be prepaid, redeemed, purchased, defeased or otherwise satisfied prior to the scheduled maturity thereof out of the proceeds of refinancing Debt permitted by Section 5.02(b)(xiii).

  
 (k) Amendment, Etc., of Related
Documents. Cancel or terminate any Related Document or consent to or accept any cancellation or termination thereof, amend, modify or change in any manner any term or condition of any Related Document or give any consent, waiver or approval
thereunder, waive any default under or any breach of any term or condition of any Related Document, agree in any manner to any other amendment, modification or change of any term or condition of any Related Document or take any other action in
connection with any Related Document that would impair the value of the interest or rights of any Loan Party thereunder or that would impair the rights or interests of any Agent or any Lender Party, or permit any of its Subsidiaries to do any of the
foregoing. 
  
 (l) Negative Pledge. Enter
into or suffer to exist, or permit any of its Subsidiaries to enter into or suffer to exist, any agreement prohibiting or conditioning the creation or assumption of any Lien upon any of its property or assets except (i) agreements in favor of the
Secured Parties or (ii) prohibitions or conditions under (A) any Surviving Debt, (B) any purchase money Debt permitted by Section 5.02(b)(ii) solely to the extent that the agreement or instrument governing such Debt prohibits a Lien on the property
acquired with the proceeds of such Debt, (C) any Capitalized Lease permitted by Section 5.02(b)(iii) solely to the extent that such Capitalized Lease prohibits a Lien on the property subject thereto, (D) any Debt outstanding on the date any Person
first becomes a Subsidiary of the Borrower (so long as such agreement was not entered into solely in contemplation of such Person becoming a Subsidiary of the Borrower), (E) the Floating Rate Notes and the Senior Subordinated Notes, in each case as
in effect as of the 
  

 Pregis Credit Agreement 
  
 107 

 Effective Date and (F) customary provisions restricting assignments, subletting or other transfers
contained in leases, licenses and similar agreements entered into in the ordinary course of business (provided that such restrictions are limited to the property or assets secured by such Liens or the property or assets subject to such leases,
licenses or similar agreements, as the case may be). 
  
 (m) Partnerships, Etc. Become a general partner in any general or limited partnership or joint venture, or permit any of its Subsidiaries to do so, other than any Subsidiary the sole assets of which consist of its interest in such
partnership or joint venture. 
  
 (n)
Speculative Transactions. Engage, or permit any of its Subsidiaries to engage, in any transaction involving commodity options or futures contracts or any similar speculative transactions. 
  
 (o) Capital Expenditures. Make, or permit any of its
Subsidiaries to make, any Capital Expenditures that would cause the aggregate of all such Capital Expenditures made by the Borrower and its Subsidiaries in any Fiscal Year to exceed $35,000,000; provided, however, that if, for any
Fiscal Year, $35,000,000 exceeds the aggregate amount of Capital Expenditures made by the Borrower and its Subsidiaries during such Fiscal Year, the Borrower and its Subsidiaries shall be entitled to make additional Capital Expenditures in the
immediately succeeding Fiscal Year in an amount (such amount being referred to herein as the “Capex Carryover”) equal to the lesser of (i) such excess and (ii) $17,500,000. 
  
 (p) Payment Restrictions Affecting Subsidiaries.
Directly or indirectly, enter into or suffer to exist, or permit any of its Subsidiaries to enter into or suffer to exist, any agreement or arrangement (excluding requirements of applicable law) limiting the ability of any of its Subsidiaries to (i)
declare or pay dividends or other distributions in respect of its Equity Interests or (ii) repay or prepay any Debt owed to, (iii) make loans or advances to, or (iv) otherwise transfer assets to or make Investments in, the Borrower or any Subsidiary
of the Borrower (whether through a covenant restricting dividends, loans, asset transfers or investments, a financial covenant or otherwise), except (A) the Loan Documents, (B) any agreement or instrument evidencing any Surviving Debt, the Floating
Rate Notes and the Senior Subordinated Notes, in each case as in effect on the Effective Date, (C) any agreement in effect at the time a Person first became a Subsidiary of the Borrower, so long as such agreement has not entered into solely in
contemplation of such Person becoming a Subsidiary of the Borrower, (D) in the case of clause (iv), agreements and instruments that restrict in a customary manner the subletting, assignment or transfer of any property or asset (including any
intellectual property) that is a lease, license or similar arrangement permitted hereunder, (E) existing under, by reason of or with respect to any agreement for the sale or other disposition of all of the capital stock of or all or substantially
all of the assets of a Subsidiary, otherwise permitted under this Agreement, which agreement restricts distributions by that Subsidiary pending such sale or other disposition. 
  

 Pregis Credit Agreement 
  
 108 

 (q) Amendment, Etc., of Material Contracts. Except as could not, individually or
in the aggregate, reasonably be expected to have a Material Adverse Effect, cancel or terminate any Material Contract or consent to or accept any cancellation or termination thereof, amend or otherwise modify any Material Contract or give any
consent, waiver or approval thereunder, waive any default under or breach of any Material Contract, agree in any manner to any other amendment, modification or change of any term or condition of any Material Contract or take any other action in
connection with any Material Contract that would impair the value of the interest or rights of any Loan Party thereunder or that would impair the interest or rights of any Agent or any Lender Party, or permit any of its Subsidiaries to do any of the
foregoing. 
  
 (r) Holding Company Status.
In the case of the Parent, acquire any assets, incur any debt, suffer to exist any Liens or engage in any business or activity other than (i) the ownership of all outstanding Equity Interests in the Borrower, (ii) maintaining its corporate
existence, (iii) participating in tax, accounting and other administrative activities as the Parent of the consolidated group of companies including the Loan Parties, (iv) the performance of obligations under the Loan Documents to which it is a
party, the Floating Rate Indenture and the Senior Subordinated Indenture, (v) making any restricted payment permitted by Section 5.02(e) and (vi) activities incidental to the businesses or activities described in clauses (i)-(v). 
  
 SECTION 5.03. Reporting Requirements. So long as any Advance or any
other Obligation of any Loan Party under any Loan Document shall remain unpaid, any Letter of Credit shall be outstanding or any Lender Party shall have any Commitment hereunder, the Borrower will furnish to the Agent for distribution to each of the
Lender Parties: 
  
 (a) Default Notice. As
soon as possible and in any event within two Business Days after the occurrence of each Default or any event, development or occurrence reasonably likely to have a Material Adverse Effect continuing on the date of such statement, a statement of the
chief financial officer of the Borrower setting forth details of such Default or such event, development or occurrence and the action that the Borrower has taken and proposes to take with respect thereto. 
  
 (b) Annual Financials. As soon as available and in
any event within 95 days after the end of each Fiscal Year, a copy of the annual audit report for such year for the Borrower and its Subsidiaries, including therein a Consolidated balance sheet of the Borrower and its Subsidiaries as of the end of
such Fiscal Year and a Consolidated statement of income and a Consolidated statement of cash flows of the Borrower and its Subsidiaries for such Fiscal Year, in each case accompanied by (i) an opinion as to such audit report of Ernst & Young LLP
or other independent public accountants of recognized standing acceptable to the Required Lenders and (ii) if at such time the Borrower is subject to the requirements of Section 404 of the Sarbanes-Oxley Act of 2002, a report of such independent
public accountants as to the Borrower’s internal controls required under Section 404 of the Sarbanes-Oxley Act of 2002, in each case certified in a manner to which the Required Lenders have not objected, together with (x) a certificate of such
accounting firm to the Lender Parties stating that in the course of the regular audit of the business of the Borrower and its Subsidiaries, which audit was 
  

 Pregis Credit Agreement 
  
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 conducted by such accounting firm in accordance with generally accepted auditing standards, such
accounting firm has obtained no knowledge that a Default has occurred and is continuing, or if, in the opinion of such accounting firm, a Default has occurred and is continuing, a statement as to the nature thereof, (y) a schedule in form reasonably
satisfactory to the Administrative Agent of the computations used by such accountants in determining, as of the end of such Fiscal Year, compliance with the Financial Performance Covenants; provided that, in the event of any Accounting
Change, the Borrower shall also provide a reconciliation of such financial statements to GAAP and (z) a certificate of the Chief Financial Officer of the Borrower stating that no Default has occurred and is continuing or, if a Default has occurred
and is continuing, a statement as to the nature thereof and the action that the Borrower has taken and proposes to take with respect thereto (it being understood that the delivery by the Borrower of annual reports on Form 10-K of the Borrower and
its consolidated Subsidiaries shall satisfy the requirements of this Section 5.03(b) to the extent that such annual reports include the information specified herein). 
  
 (c) Quarterly Financials. As soon as available and in any event within 50 days after the end of each
of the first three quarters of each Fiscal Year, a Consolidated balance sheet of the Borrower and its Subsidiaries as of the end of such quarter and a Consolidated statement of income and a Consolidated statement of cash flows of the Borrower and
its Subsidiaries for the period commencing at the end of the previous fiscal quarter and ending with the end of such fiscal quarter and a Consolidated statement of income and a Consolidated statement of cash flows of the Borrower and its
Subsidiaries for the period commencing at the end of the previous Fiscal Year and ending with the end of such quarter, setting forth in each case in comparative form the corresponding figures for the corresponding date or period of the preceding
Fiscal Year, all in reasonable detail and duly certified (subject to normal year-end audit adjustments) by the Chief Financial Officer of the Borrower as having been prepared in accordance with GAAP, together with (i) a certificate of said officer
stating that no Default has occurred and is continuing or, if a Default has occurred and is continuing, a statement as to the nature thereof and the action that the Borrower has taken and proposes to take with respect thereto and (ii) a schedule in
form satisfactory to the Administrative Agent of the computations used by the Borrower in determining compliance with the Financial Performance Covenants; provided that, in the event of any change in generally accepted accounting principles
used in the preparation of such financial statements, the Borrower shall also provide a reconciliation of such financial statements to GAAP (it being understood that the delivery by the Borrower of quarterly reports on Form 10-Q of the Borrower and
its consolidated Subsidiaries shall satisfy the requirements of this Section 5.03(c) to the extent such quarterly reports include the information specified herein). 
  
 (d) Annual Forecasts. As soon as available and in any event no later than 95 days after the end of
each Fiscal Year, forecasts prepared by management of the Borrower, in form satisfactory to the Administrative Agent, of balance sheets, income statements and cash flow statements on a monthly basis for the Fiscal Year following such Fiscal Year and
on an annual basis for each Fiscal Year thereafter until the Termination Date. 
  

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 (e) Litigation. Promptly after the commencement thereof, notice of all actions,
suits, investigations, litigation and proceedings before any Governmental Authority affecting any Loan Party or any of its Subsidiaries of the type described in Section 4.01(g). 
  
 (f) Securities Reports. Promptly after the sending or filing thereof, copies of all proxy statements,
financial statements and reports that any Loan Party or any of its Subsidiaries sends to its stockholders, and copies of all regular, periodic and special reports, and all registration statements, that any Loan Party or any of its Subsidiaries files
with the Securities and Exchange Commission or any governmental authority that may be substituted therefor, or with any national securities exchange. 
  
 (g) Creditor Reports. Promptly after the furnishing thereof, copies of any statement or report furnished to any holder of Debt
securities of any Loan Party or of any of its Subsidiaries pursuant to the terms of any indenture, loan or credit or similar agreement and not otherwise required to be furnished to the Lender Parties pursuant to any other clause of this Section
5.03. 
  
 (h) Agreement Notices. Promptly
upon receipt thereof, copies of all notices, requests and other documents received by any Loan Party or any of its Subsidiaries under or pursuant to any Related Document and, from time to time upon request by the Administrative Agent, such
information and reports regarding the Related Documents, the Material Contracts and any other instruments, indentures and loan and credit and similar agreements as the Administrative Agent may reasonably request. 
  
 (i) ERISA. (i) ERISA Events and ERISA Reports.
(A) Promptly and in any event within 10 days after any Loan Party or any ERISA Affiliate knows or has reason to know that any ERISA Event has occurred, a statement of the Chief Financial Officer of the Borrower describing such ERISA Event and the
action, if any, that such Loan Party or such ERISA Affiliate has taken and proposes to take with respect thereto and (B) on the date any records, documents or other information must be furnished to the PBGC with respect to any Plan pursuant to
Section 4010 of ERISA, a copy of such records, documents and information. 
  
 (ii) Plan Terminations. Promptly and in any event within two Business Days after receipt thereof by any Loan Party or any ERISA Affiliate, copies of each notice from the PBGC stating its intention to terminate
any Plan or to have a trustee appointed to administer any Plan. 
  
 (iii) Plan Annual Reports. Promptly and in any event within 30 days after the filing thereof with the Internal Revenue Service, copies of each Schedule B (Actuarial Information) to the annual report (Form 5500
Series) with respect to each Plan as the Administrative Agent may reasonably request. 
  
 (iv) Multiemployer Plan Notices. Promptly and in any event within five Business Days after receipt thereof by any Loan Party or any
ERISA Affiliate from the sponsor of a Multiemployer Plan, copies of each notice concerning (A) the imposition of 
  

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 Withdrawal Liability by any such Multiemployer Plan, (B) the reorganization or termination, within the
meaning of Title IV of ERISA, of any such Multiemployer Plan or (C) the amount of liability incurred, or that may be incurred, by such Loan Party or any ERISA Affiliate in connection with any event described in clause (A) or (B). 
  
 (j) Environmental Conditions. Promptly after the
assertion or occurrence thereof, notice of any Environmental Action against or of any noncompliance by any Loan Party or any of its Subsidiaries with any Environmental Law or Environmental Permit that could (i) reasonably be expected to have a
Material Adverse Effect or (ii) cause any property described in the Mortgages to be subject to any restrictions on ownership, occupancy, use or transferability under any Environmental Law excluding, for the avoidance of doubt, compliance obligations
and restrictions imposed in the ordinary course under Environmental Laws. 
  
 (k) Real Property. Upon request of the Collateral Agent (which, provided no Event of Default exists, may be made no more frequently than four times during each Fiscal Year), a report supplementing Schedules
4.01(x) and 4.01(y) hereto, including an identification of all owned and leased real property disposed of by the Borrower or any of its Subsidiaries during such Fiscal Year, a list and description (including the street address, county or other
relevant jurisdiction, state, record owner, book value thereof and, in the case of leases of property, lessor, lessee, expiration date and annual rental cost and approximate rentable square footage thereof) of all real property acquired or leased
during such Fiscal Year and a description of such other changes in the information included in such Schedules as may be necessary for such Schedules to be accurate and complete. 
  
 (l) Insurance. As soon as available and in any event within 30 days after the end of each Fiscal
Year, a report summarizing the insurance coverage (specifying type, amount and carrier) in effect for the Borrower and its Subsidiaries and containing such additional information as any Agent, or any Lender Party through the Administrative Agent,
may reasonably specify. 
  
 (m) Other
Information. Such other information respecting the business, condition (financial or otherwise), operations, performance, properties or prospects of any Loan Party or any of its Subsidiaries as any Agent, or any Lender Party through the
Administrative Agent, may from time to time reasonably request. 
  
 SECTION 5.04. Financial Covenants. So long as any Advance or any other Obligation of any Loan Party under any Loan Document shall remain unpaid, any Letter of Credit shall be outstanding or any Lender Party shall have any Commitment
hereunder, the Borrower will: 
  
 (a) Leverage
Ratio. Maintain at all times a Leverage Ratio of not more than the amount set forth below for each Measurement Period set forth below: 
  

			
	 Measurement Period Ending

	  	Ratio

	 December 31, 2005
	  	6.50:1.00
	 March 31, 2006
	  	6.50:1.00
	 June 30, 2006
	  	6.50:1.00
	 September 30, 2006
	  	6.50:1.00
	 December 31, 2006
	  	6.50:1.00
	 March 31, 2007
	  	6.25:1.00
	 June 30, 2007
	  	6.00:1.00
	 September 30, 2007
	  	6.00:1.00
	 December 31, 2007
	  	5.75:1.00
	 March 31, 2008
	  	5.75:1.00
	 June 30, 2008
	  	5.75:1.00
	 September 30, 2008
	  	5.50:1.00
	 December 31, 2008
	  	5.50:1.00
	 March 31, 2009
	  	5.50:1.00
	 June 30, 2009
	  	5.00:1.00
	 September 30, 2009
	  	5.00:1.00
	 December 31, 2009 and thereafter
	  	5.00:1.00

  

 Pregis Credit Agreement 
  
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 (b) Interest Coverage Ratio. Maintain for each Measurement Period set forth below
an Interest Coverage Ratio of not less than the amount set forth below for such Measurement Period: 
  

			
	 Measurement Period Ending

	  	Ratio

	 December 31, 2005
	  	1.75:1.00
	 March 31, 2006
	  	1.75:1.00
	 June 30, 2006
	  	1.75:1.00
	 September 30, 2006
	  	1.75:1.00
	 December 31, 2006
	  	1.75:1.00
	 March 31, 2007
	  	1.80:1.00
	 June 30, 2007
	  	1.80:1.00
	 September 30, 2007
	  	1.80:1.00
	 December 31, 2007
	  	1.80:1.00
	 March 31, 2008
	  	1.80:1.00
	 June 30, 2008
	  	1.90:1.00
	 September 30, 2008
	  	1.90:1.00
	 December 31, 2008
	  	1.90:1.00
	 March 31, 2009
	  	1.90:1.00
	 June 30, 2009
	  	1.90:1.00
	 September 30, 2009
	  	2.00:1.00
	 December 31, 2009 and thereafter
	  	2.00:1.00

  
 (c)
Right to Cure. Notwithstanding anything to the contrary set forth in Section 6.01, in the event that the Borrower shall fail to comply with the Financial Performance Covenants, the Parent and the Borrower shall have the right, until the
expiration of the tenth day subsequent to the date the certificate demonstrating compliance with the Financial Performance Covenants is required to be delivered pursuant to Section 5.03(b) 
  

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 or (c), as the case may be, to issue Permitted Cure Securities for cash (collectively, the
“Cure Right”), and upon the receipt by the Borrower of such cash (the “Cure Amount”) pursuant to the exercise by the Parent or the Borrower of such Cure Right such Financial Performance Covenant shall
be recalculated giving effect to the following pro forma adjustments: 
  
 (i) EBITDA shall be increased, solely for the purpose of measuring the Financial Performance Covenants and not for any other purpose under this Agreement, by an amount equal to the Cure Amount; and 
  
 (ii) If, after giving effect to the foregoing
recalculations, the Borrower shall then be in compliance with the requirements of all Financial Performance Covenants, the Borrower shall be deemed to have satisfied the requirements of the Financial Performance Covenants as of the relevant date of
determination with the same effect as though there had been no failure to comply therewith at such date, and the applicable breach or default of the Financial Performance Covenants that had occurred shall be deemed cured for this purposes of the
Agreement. 
  
 (d) Limitation on Exercise of
Cure Right. Notwithstanding anything herein to the contrary, (i) in each four-fiscal-quarter period there shall be at least two consecutive fiscal quarters in which the Cure Right is not exercised, (ii) in each eight-fiscal-quarter period, there
shall be a period of at least three consecutive fiscal quarters during which the Cure Right is not exercised and (c) the Cure Amount shall be no greater than the amount required for purposes of complying with the Financial Performance Covenants.

  
 ARTICLE VI 
  
 EVENTS OF DEFAULT 
  
 SECTION 6.01. Events of Default. If any of the following events
(“Events of Default”) shall occur and be continuing: 
  
 (a) (i) the Borrower shall fail to pay any principal of any Advance when the same shall become due and payable or (ii) the Borrower shall fail to pay any interest on any Advance, or any Loan Party shall fail to make
any other payment under any Loan Document, in each case under this clause (ii) within three Business Days after the same shall become due and payable; or 
  
 (b) any representation or warranty made by any Loan Party (or any of its officers) under or in connection with any Loan Document shall
prove to have been incorrect in any material respect when made; or 
  
 (c) the Borrower shall fail to perform or observe any term, covenant or agreement contained in Section 2.14, 5.01(e), (f), (i), (j), or (p), 5.02, 5.03 or 5.04; or 
  
 (d) any Loan Party shall fail to perform or observe any
other term, covenant or agreement contained in any Loan Document on its part to be performed or observed if 
  

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 such failure shall remain unremedied for 10 days after the earlier of the date on which (i) any officer
of a Loan Party becomes aware of such failure or (ii) written notice thereof shall have been given to the Borrower by any Agent or any Lender Party; or 
  
 (e) any Loan Party or any of its Subsidiaries shall fail to pay any principal of, premium or interest on or any other amount payable in
respect of any Debt of such Loan Party or such Subsidiary (as the case may be) that is outstanding in a principal amount (or, in the case of any Hedge Agreement, an Agreement Value) of at least $5,000,000 either individually or in the aggregate for
all such Loan Parties and Subsidiaries (but excluding Debt outstanding hereunder), when the same becomes due and payable (whether by scheduled maturity, required prepayment, acceleration, demand or otherwise), and such failure shall continue after
the applicable grace period, if any, specified in the agreement or instrument relating to such Debt; or any other event shall occur or condition shall exist under any agreement or instrument relating to any such Debt and shall continue after the
applicable grace period, if any, specified in such agreement or instrument, if the effect of such event or condition is to accelerate, or to permit the acceleration of, the maturity of such Debt or otherwise to cause, or to permit the holder thereof
to cause, such Debt to mature; or any such Debt shall be declared to be due and payable or required to be prepaid or redeemed (other than by a regularly scheduled required prepayment or redemption), purchased or defeased, or an offer to prepay,
redeem, purchase or defease such Debt shall be required to be made, in each case prior to the stated maturity thereof; or 
  
 (f) any Loan Party or any of its Subsidiaries (other than any Insignificant Foreign Subsidiary) shall generally not pay its debts as such
debts become due, or shall admit in writing its inability to pay its debts generally, or shall make a general assignment for the benefit of creditors; or any proceeding shall be instituted by or against any Loan Party or any of its Subsidiaries
(other than any Insignificant Foreign Subsidiary) seeking to adjudicate it a bankrupt or insolvent, or seeking liquidation, winding up, reorganization, arrangement, adjustment, protection, relief, or composition of it or its debts under any law
relating to bankruptcy, insolvency or reorganization or relief of debtors, or seeking the entry of an order for relief or the appointment of a receiver, trustee or other similar official for it or for any substantial part of its property and, in the
case of any such proceeding instituted against it (but not instituted by it) that is being diligently contested by it in good faith, either such proceeding shall remain undismissed or unstayed for a period of 30 days or any of the actions sought in
such proceeding (including, without limitation, the entry of an order for relief against, or the appointment of a receiver, trustee, custodian or other similar official for, it or any substantial part of its property) shall occur; or any Loan Party
or any of its Subsidiaries (other than any Insignificant Foreign Subsidiary) shall take any corporate action to authorize any of the actions set forth above in this subsection (f); or 
  
 (g) any judgments or orders, either individually or in the aggregate, for the payment of money in excess of
$5,000,000 shall be rendered against any Loan Party or any of its Subsidiaries and either (i) enforcement proceedings shall have been commenced by any creditor upon such judgment or order or (ii) there shall be any period of 10 consecutive days
during which a stay of enforcement of such judgment or order, by 
  

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 reason of a pending appeal or otherwise, shall not be in effect; provided, however, that
any such judgment or order shall not give rise to an Event of Default under this Section 6.01(g)(ii) if and for so long as (A) the amount of such judgment or order is covered by a valid and binding policy of insurance in favor of such Loan Party or
Subsidiary from an insurer that is rated at least “A-” by A.M. Best Company, which policy covers full payment thereof and (B) such insurer has been notified, and has not disputed the claim made for payment, of the amount of such judgment
or order; or 
  
 (h) any non-monetary judgment or
order shall be rendered against any Loan Party or any of its Subsidiaries that could be reasonably likely to have a Material Adverse Effect, and there shall be any period of 10 consecutive days during which a stay of enforcement of such judgment or
order, by reason of a pending appeal or otherwise, shall not be in effect; or 
  
 (i) any provision of any Loan Document after delivery thereof pursuant to Section 3.01 or 5.01(j) shall for any reason cease to be valid and binding on or enforceable against any Loan Party party to it, or any such
Loan Party shall so state in writing; or 
  
 (j)
any Collateral Document or financing statement after delivery thereof pursuant to Section 3.01 or 5.01(j) shall for any reason (other than pursuant to the terms thereof) cease to create a valid and perfected first priority (subject to Permitted
Liens and Liens permitted under clauses (iii) and (vi) of Section 5.02(a)) lien on and security interest in the Collateral purported to be covered thereby; or 
  

(k) a Change of Control shall occur; or 
  
 (l) (i) any ERISA Event shall have occurred with respect to a Plan, (ii) any Loan Party or any ERISA Affiliate shall have been notified by
the sponsor of a Multiemployer Plan that it has incurred Withdrawal Liability to such Multiemployer Plan, (iii) any Loan Party or any ERISA Affiliate shall have been notified by the sponsor of a Multiemployer Plan that such Multiemployer Plan is in
reorganization or is being terminated, within the meaning of Title IV of ERISA, and as a result of such reorganization or termination the aggregate annual contributions of the Loan Parties and the ERISA Affiliates to all Multiemployer Plans that are
then in reorganization or being terminated have been or will be increased over the amounts contributed to such Multiemployer Plans for the plan years of such Multiemployer Plans immediately preceding the plan year in which such reorganization or
termination occurs, (iv) any employer or employee contributions required by law or by the terms of any Foreign Benefit Arrangement or any Foreign Plan are not made or, if applicable, accrued, in accordance with normal accounting practices, (v) the
fair market value of the assets of any funded Foreign Plan, the liability of any insurer for any Foreign Plan funded through insurance or the book reserve established for any Foreign Plan, together with any accrued contributions, is not sufficient
to procure or provide for the accrued benefit obligations with respect to all current and former participants in such Foreign Plan according to the actuarial assumptions and valuations most recently used to account for such obligations in accordance
with applicable generally accepted accounting principals or (iv) any 
  

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 Foreign Plan that is required to be registered is not registered or is not maintained in good standing
with applicable regulatory authorities and, in each case with respect to clauses (i) through (vi) above, such event or condition, individually or together with all other such events or conditions, if any, could reasonably be expected to have a
Material Adverse Effect; or 
  
 (m) the
Obligations of the Loan Parties under the Loan Documents shall fail to constitute “Senior Debt” or shall fail to constitute the sole “Designated Senior Debt” under the terms of any Subordinated Debt; 
  
 then, and in any such event, the Administrative Agent (i) shall at the request, or may with
the consent, of the Required Lenders, by notice to the Borrower, declare the Commitments of each Lender Party and the obligation of each Lender Party to make Advances (other than Letter of Credit Advances by the Issuing Bank or a Revolving Credit
Lender pursuant to Section 2.03(c) and Swing Line Advances by a Revolving Credit Lender pursuant to Section 2.02(b)) and of the Issuing Bank to issue Letters of Credit to be terminated, whereupon the same shall forthwith terminate, and (ii) shall at
the request, or may with the consent, of the Required Lenders, (A) by notice to the Borrower, declare the Advances, all interest thereon and all other amounts payable under this Agreement and the other Loan Documents to be forthwith due and payable,
whereupon the Advances, all such interest and all such amounts shall become and be forthwith due and payable, without presentment, demand, protest or further notice of any kind, all of which are hereby expressly waived by the Borrower, (B) by notice
to each party required under the terms of any agreement in support of which a Standby Letter of Credit is issued, request that all Obligations under such agreement be declared to be due and payable; provided, however, that, in the
event of an actual or deemed entry of an order for relief with respect to the Borrower under the Federal Bankruptcy Code, (x) the Commitments of each Lender Party and the obligation of each Lender Party to make Advances (other than Letter of Credit
Advances by the Issuing Bank or a Revolving Credit Lender pursuant to Section 2.03(c) and Swing Line Advances by a Revolving Credit Lender pursuant to Section 2.02(b)) and of the Issuing Bank to issue Letters of Credit shall automatically be
terminated and (y) the Advances, all such interest and all such amounts shall automatically become and be due and payable, without presentment, demand, protest or any notice of any kind, all of which are hereby expressly waived by the Borrower.
Anything contained herein or in any of the other Loan Documents to the contrary notwithstanding, unless otherwise expressly authorized in writing by the Required Lenders or the Administrative Agent, none of the Secured Parties shall take any action
in respect of any Obligations secured by the Collateral Documents, including, without limitation, exercise of any right of setoff, if such action would cause or result in the release, waiver or forfeiture of any Collateral or would require the
foreclosure of any Lien on any Collateral. 
  
 SECTION 6.02.
Actions in Respect of the Letters of Credit upon Default. If any Event of Default shall have occurred and be continuing, the Administrative Agent may, or shall at the request of the Required Lenders, irrespective of whether it is taking any
of the actions described in Section 6.01 or otherwise, make demand upon the Borrower to, and forthwith upon such demand the Borrower will, pay to the Collateral Agent on behalf of the Lender Parties in same day funds at the Collateral Agent’s
Office, for deposit in the L/C Cash Collateral Account, an amount equal to the aggregate Available Amount of all Letters of Credit then outstanding; provided, however, that in the event of an actual or deemed entry of an order for
relief with 
  

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 respect to the Borrower under the Federal Bankruptcy Code, the Borrower shall be obligated to pay to the Collateral Agent
on behalf of the Lender Parties in same day funds at the Collateral Agent’s Office, for deposit in the L/C Cash Collateral Account, an amount equal to the aggregate Available Amount of all Letters of Credit then outstanding, without
presentment, demand, protest or any notice of any kind, all of which are hereby expressly waived by the Borrower. If at any time the Administrative Agent or the Collateral Agent determines that any funds held in the L/C Cash Collateral Account are
subject to any right or claim of any Person other than the Agents and the Lender Parties or that the total amount of such funds is less than the aggregate Available Amount of all Letters of Credit, the Borrower will, forthwith upon demand by the
Administrative Agent or the Collateral Agent, pay to the Collateral Agent, as additional funds to be deposited and held in the L/C Cash Collateral Account, an amount equal to the excess of (a) such aggregate Available Amount over (b) the total
amount of funds, if any, then held in the L/C Cash Collateral Account that the Administrative Agent or the Collateral Agent, as the case may be, determines to be free and clear of any such right and claim. Upon the drawing of any Letter of Credit
for which funds are on deposit in the L/C Cash Collateral Account, such funds shall be applied to reimburse the Issuing Bank or Revolving Credit Lenders, as applicable, to the extent permitted by applicable law. 
  
 ARTICLE VII 
  
 THE AGENTS 
  
 SECTION 7.01. Authorization and Action. (a) Each Lender Party (in its
capacities as a Lender, the Swing Line Bank (if applicable), the Issuing Bank (if applicable) and on behalf of itself and its Affiliates as potential Hedge Banks) hereby appoints and authorizes each Agent to take such action as agent on its behalf
and to exercise such powers and discretion under this Agreement and the other Loan Documents as are delegated to such Agent by the terms hereof and thereof, together with such powers and discretion as are reasonably incidental thereto. As to any
matters not expressly provided for by the Loan Documents (including, without limitation, enforcement or collection of the Obligations of the Loan Parties), no Agent shall be required to exercise any discretion or take any action, but shall be
required to act or to refrain from acting (and shall be fully protected in so acting or refraining from acting) upon the instructions of the Required Lenders, and such instructions shall be binding upon all Lender Parties, all Hedge Banks and all
holders of Notes; provided, however, that no Agent shall be required to take any action that exposes such Agent to personal liability or that is contrary to this Agreement or applicable law. 
  
 (b) In furtherance of the foregoing, each Lender Party (in its capacities as
a Lender, the Swing Line Bank (if applicable), the Issuing Bank (if applicable) and on behalf of itself and its Affiliates as potential Hedge Banks) hereby appoints and authorizes the Collateral Agent to act as the agent of such Lender Party for
purposes of acquiring, holding and enforcing any and all Liens on Collateral granted by any of the Loan Parties to secure any of the Secured Obligations, together with such powers and discretion as are reasonably incidental thereto. In this
connection, the Collateral Agent (and any Supplemental Collateral Agents appointed by the Collateral Agent pursuant to Section 7.01(c) for purposes of holding or enforcing any Lien on the Collateral (or any portion thereof) granted under the
Collateral Documents, or for exercising any rights or remedies thereunder at the direction of the Collateral Agent) shall be entitled to the 
  

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 benefits of this Article VII (including, without limitation, Section 7.05) as though the Collateral Agent (and any such
Supplemental Collateral Agents) were an “Agent” under the Loan Documents, as if set forth in full herein with respect thereto. 
  
 (c) Any Agent may execute any of its duties under this Agreement or any other Loan Document (including for purposes of holding or enforcing any Lien on
the Collateral (or any portion thereof) granted under the Collateral Documents or of exercising any rights and remedies thereunder at the direction of the Collateral Agent) by or through agents, employees or attorneys-in-fact and shall be entitled
to advice of counsel and other consultants or experts concerning all matters pertaining to such duties. The Collateral Agent may also from time to time, when the Collateral Agent deems it to be necessary or desirable, appoint one or more trustees,
co-trustees, collateral co-agents, collateral subagents or attorneys-in-fact (each, a “Supplemental Collateral Agent”) with respect to all or any part of the Collateral; provided, however, that no such
Supplemental Collateral Agent shall be authorized to take any action with respect to any Collateral unless and except to the extent expressly authorized in writing by the Collateral Agent. Should any instrument in writing from the Borrower or any
other Loan Party be required by any Supplemental Collateral Agent so appointed by the Collateral Agent to more fully or certainly vest in and confirm to such Supplemental Collateral Agent such rights, powers, privileges and duties, the Borrower
shall, or shall cause such Loan Party to, execute, acknowledge and deliver any and all such instruments promptly upon request by the Collateral Agent. If any Supplemental Collateral Agent, or successor thereto, shall die, become incapable of acting,
resign or be removed, all rights, powers, privileges and duties of such Supplemental Collateral Agent, to the extent permitted by law, shall automatically vest in and be exercised by the Collateral Agent until the appointment of a new Supplemental
Collateral Agent. No Agent shall be responsible for the negligence or misconduct of any agent, attorney-in-fact or Supplemental Collateral Agent that it selects in accordance with the foregoing provisions of this Section 7.01(c) in the absence of
such Agent’s gross negligence or willful misconduct. 
  
 SECTION 7.02. Agents’ Reliance, Etc. Neither any Agent nor any of their respective directors, officers, agents or employees shall be liable for any action taken or omitted to be taken by it or them under or in connection with
the Loan Documents, except for its or their own gross negligence or willful misconduct. Without limitation of the generality of the foregoing, each Agent: (a) may consult with legal counsel (including counsel for any Loan Party), independent public
accountants and other experts selected by it and shall not be liable for any action taken or omitted to be taken in good faith by it in accordance with the advice of such counsel, accountants or experts; (b) makes no warranty or representation to
any Lender Party and shall not be responsible to any Lender Party for any statements, warranties or representations (whether written or oral) made in or in connection with the Loan Documents; (c) shall not have any duty to ascertain or to inquire as
to the performance, observance or satisfaction of any of the terms, covenants or conditions of any Loan Document on the part of any Loan Party or the existence at any time of any Default under the Loan Documents or to inspect the property (including
the books and records) of any Loan Party; (d) shall not be responsible to any Lender Party for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of, or the perfection or priority of any lien or security
interest created or purported to be created under or in connection with, any Loan Document or any other instrument or document furnished pursuant thereto; and (e) shall incur no liability under or in respect of any Loan Document by acting upon any
notice, consent, certificate or other instrument or writing (which may be by telegram, telecopy or electronic communication) believed by it to be genuine and signed or sent by the proper party or parties. 
  

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 SECTION 7.03. CS and Affiliates. With respect to its Commitments, the Advances made by it and any
Notes issued to it, CS shall have the same rights and powers under the Loan Documents as any other Lender Party and may exercise the same as though it were not an Agent; and the term “Lender Party” or “Lender Parties” shall,
unless otherwise expressly indicated, include CS in its individual capacity. CS and its affiliates may accept deposits from, lend money to, act as trustee under indentures of, accept investment banking engagements from and generally engage in any
kind of business with, any Loan Party, any of its Subsidiaries and any Person that may do business with or own securities of any Loan Party or any such Subsidiary, all as if CS was not an Agent and without any duty to account therefor to the Lender
Parties. No Agent shall have any duty to disclose any information obtained or received by it or any of its Affiliates relating to any Loan Party or any of its Subsidiaries to the extent such information was obtained or received in any capacity other
than as such Agent. 
  
 SECTION 7.04. Lender Party Credit
Decision. Each Lender Party acknowledges that it has, independently and without reliance upon any Agent or any other Lender Party and based on the financial statements referred to in Section 4.01 and such other documents and information as it
has deemed appropriate, made its own credit analysis and decision to enter into this Agreement. Each Lender Party also acknowledges that it will, independently and without reliance upon any Agent or any other Lender Party and based on such documents
and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement. 
  
 SECTION 7.05. Indemnification. (a) Each Lender Party severally agrees to indemnify each Agent (to the extent not promptly reimbursed by the
Borrower) from and against such Lender Party’s ratable share (determined as provided below) of any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature
whatsoever that may be imposed on, incurred by, or asserted against such Agent in any way relating to or arising out of the Loan Documents or any action taken or omitted by such Agent under the Loan Documents (collectively, the
“Indemnified Costs”); provided, however, that no Lender Party shall be liable for any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements resulting from such Agent’s gross negligence or willful misconduct as found in a final, non-appealable judgment by a court of competent jurisdiction. Without limitation of the foregoing, each Lender Party agrees to reimburse each
Agent promptly upon demand for its ratable share of any costs and expenses (including, without limitation, fees and expenses of counsel) payable by the Borrower under Section 9.04, to the extent that such Agent is not promptly reimbursed for such
costs and expenses by the Borrower. In the case of any investigation, litigation or proceeding giving rise to any Indemnified Costs, this Section 7.05 applies whether any such investigation, litigation or proceeding is brought by any Lender Party or
any other Person. 
  
 (b) Each Lender Party severally agrees to
indemnify the Issuing Bank (to the extent not promptly reimbursed by the Borrower) from and against such Lender Party’s ratable share (determined as provided below) of any and all liabilities, obligations, losses, damages, 
  

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 penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever that may be
imposed on, incurred by, or asserted against the Issuing Bank in any way relating to or arising out of the Loan Documents or any action taken or omitted by the Issuing Bank under the Loan Documents; provided, however, that no Lender
Party shall be liable for any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements resulting from the Issuing Bank’s gross negligence or willful misconduct as found in
a final, non-appealable judgment by a court of competent jurisdiction. Without limitation of the foregoing, each Lender Party agrees to reimburse the Issuing Bank promptly upon demand for its ratable share of any costs and expenses (including,
without limitation, fees and expenses of counsel) payable by the Borrower under Section 9.04, to the extent that the Issuing Bank is not promptly reimbursed for such costs and expenses by the Borrower. 
  
 (c) For purposes of this Section 7.05, each Lender Party’s ratable share
of any amount shall be determined, at any time, according to the sum of (i) the aggregate principal amount of the Advances outstanding at such time and owing to such Lender Party’s, (ii) such Lender Party’s Pro Rata Shares of the aggregate
Available Amount of all Letters of Credit outstanding at such time, (iii) the aggregate unused portions of such Lender Party’s Term Commitments at such time and (iv) such Lender Party’s Unused Revolving Credit Commitments at such time;
provided that the aggregate principal amount of Swing Line Advances owing to the Swing Line Bank and of Letter of Credit Advances owing to the Issuing Bank shall be considered to be owed to the Revolving Credit Lenders ratably in accordance
with their respective Revolving Credit Commitments. The failure of any Lender Party to reimburse any Agent or the Issuing Bank, as the case may be, promptly upon demand for its ratable share of any amount required to be paid by the Lender Parties to
such Agent or the Issuing Bank, as the case may be, as provided herein shall not relieve any other Lender Party of its obligation hereunder to reimburse such Agent or the Issuing Bank, as the case may be, for its ratable share of such amount, but no
Lender Party shall be responsible for the failure of any other Lender Party to reimburse such Agent or the Issuing Bank, as the case may be, for such other Lender Party’s ratable share of such amount. Without prejudice to the survival of any
other agreement of any Lender Party hereunder, the agreement and obligations of each Lender Party contained in this Section 7.05 shall survive the payment in full of principal, interest and all other amounts payable hereunder and under the other
Loan Documents. 
  
 SECTION 7.06. Successor Agents. Any
Agent may resign as to any or all of the Facilities at any time by giving written notice thereof to the Lender Parties and the Borrower and may be removed as to all of the Facilities at any time with or without cause by the Required Lenders;
provided, however, that any removal of the Administrative Agent will not be effective until it has also been replaced as Collateral Agent, Swing Line Bank and Issuing Bank and released from all of its obligations in respect thereof.
Upon any such resignation or removal, the Required Lenders shall have the right to appoint a successor Agent (which, so long as no Event of Default shall have occurred and be continuing, shall be an institution reasonably acceptable to the Borrower)
as to such of the Facilities as to which such Agent has resigned or been removed. If no successor Agent shall have been so appointed by the Required Lenders, and shall have accepted such appointment, within 30 days after the retiring Agent’s
giving of notice of resignation or the Required Lenders’ removal of the retiring Agent, then the retiring Agent may, on behalf of the Lender Parties, appoint a successor Agent, which shall be a commercial bank 
  

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 organized under the laws of the United States or of any State thereof and having a combined capital and surplus of at
least $250,000,000 and, so long as no Event of Default shall have occurred and be continuing, reasonably acceptable to the Borrower. Upon the acceptance of any appointment as Agent hereunder by a successor Agent as to all of the Facilities and, in
the case of a successor Collateral Agent, upon the execution and filing or recording of such financing statements, or amendments thereto, and such amendments or supplements to the Mortgages, and such other instruments or notices, as may be necessary
or desirable, or as the Required Lenders may request, in order to continue the perfection of the Liens granted or purported to be granted by the Collateral Documents, such successor Agent shall succeed to and become vested with all the rights,
powers, discretion, privileges and duties of the retiring Agent, and the retiring Agent shall be discharged from its duties and obligations under the Loan Documents. Upon the acceptance of any appointment as Agent hereunder by a successor Agent as
to less than all of the Facilities and, in the case of a successor Collateral Agent, upon the execution and filing or recording of such financing statements, or amendments thereto, and such amendments or supplements to the Mortgages, and such other
instruments or notices, as may be necessary or desirable, or as the Required Lenders may request, in order to continue the perfection of the Liens granted or purported to be granted by the Collateral Documents, such successor Agent shall succeed to
and become vested with all the rights, powers, discretion, privileges and duties of the retiring Agent as to such Facilities, other than with respect to funds transfers and other similar aspects of the administration of Borrowings under such
Facilities, issuances of Letters of Credit (notwithstanding any resignation as Agent with respect to the Letter of Credit Facility) and payments by the Borrower in respect of such Facilities, and the retiring Administrative Agent shall be discharged
from its duties and obligations under this Agreement as to such Facilities, other than as aforesaid. If within 45 days after written notice is given of the retiring Agent’s resignation or removal under this Section 7.06 no successor Agent shall
have been appointed and shall have accepted such appointment, then on such 45th day (a) the retiring Agent’s
resignation or removal shall become effective, (b) the retiring Agent shall thereupon be discharged from its duties and obligations under the Loan Documents and (c) the Required Lenders shall thereafter perform all duties of the retiring Agent under
the Loan Documents until such time, if any, as the Required Lenders appoint a successor Agent as provided above. After any retiring Agent’s resignation or removal hereunder as Agent as to any of the Facilities shall have become effective, the
provisions of this Article VII shall inure to its benefit as to any actions taken or omitted to be taken by it while it was Agent as to such Facilities under this Agreement. 
  
 ARTICLE VIII 
  
 GUARANTY 
  
 SECTION 8.01. Guaranty; Limitation of Liability. (a) Each Guarantor, jointly and severally, hereby absolutely, unconditionally and irrevocably
guarantees the punctual payment when due, whether at scheduled maturity or on any date of a required prepayment or by acceleration, demand or otherwise, of all Obligations of each other Loan Party now or hereafter existing under or in respect of the
Loan Documents (including, without limitation, any extensions, modifications, substitutions, amendments or renewals of any or all of the foregoing Obligations), whether direct or indirect, absolute or contingent, and whether for principal, interest,
premiums, fees, indemnities, contract causes of action, costs, expenses or otherwise 
  

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 (such Obligations being the “Guaranteed Obligations”), and agrees to pay any and all expenses
(including, without limitation, fees and expenses of counsel) incurred by the Administrative Agent or any other Secured Party in enforcing any rights under this Guaranty or any other Loan Document. Without limiting the generality of the foregoing,
each Guarantor’s liability shall extend to all amounts that constitute part of the Guaranteed Obligations and would be owed by any other Loan Party to any Secured Party under or in respect of the Loan Documents but for the fact that they are
unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving such other Loan Party. 
  
 (b) Each Guarantor, and by its acceptance of this Guaranty, the Administrative Agent and each other Secured Party, hereby confirms that it is the
intention of all such Persons that this Guaranty and the Obligations of each Subsidiary Guarantor hereunder not constitute a fraudulent transfer or conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the Uniform
Fraudulent Transfer Act or any similar foreign, federal or state law to the extent applicable to this Guaranty and the Obligations of each Subsidiary Guarantor hereunder. To effectuate the foregoing intention, the Administrative Agent, the other
Secured Parties and the Guarantors hereby irrevocably agree that the Obligations of each Subsidiary Guarantor under this Guaranty at any time shall be limited to the maximum amount as will result in the Obligations of such Guarantor under this
Guaranty not constituting a fraudulent transfer or conveyance. 
  
 (c) Each Guarantor hereby unconditionally and irrevocably agrees that in the event any payment shall be required to be made to any Secured Party under this Guaranty or any other guaranty, such Guarantor will contribute, to the maximum
extent permitted by law, such amounts to each other Guarantor and each other guarantor so as to maximize the aggregate amount paid to the Secured Parties under or in respect of the Loan Documents. 
  
 SECTION 8.02. Guaranty Absolute. Each Guarantor guarantees that the
Guaranteed Obligations will be paid strictly in accordance with the terms of the Loan Documents, and the subordination referred to in Section 8.06 of this agreement will be given effect by such Guarantor, in each case, regardless of any law,
regulation or order now or hereafter in effect in any jurisdiction affecting any of such terms or the rights of any Secured Party with respect thereto. The Obligations of each Guarantor under or in respect of this Guaranty are independent of the
Guaranteed Obligations or any other Obligations of any other Loan Party under or in respect of the Loan Documents, and a separate action or actions may be brought and prosecuted against each Guarantor to enforce this Guaranty, irrespective of
whether any action is brought against the Borrower or any other Loan Party or whether the Borrower or any other Loan Party is joined in any such action or actions. The liability of each Guarantor under this Guaranty, including without limitation the
obligation to subordinate intercompany Debt pursuant to Section 8.06, shall be irrevocable, absolute and unconditional irrespective of, and each Guarantor hereby irrevocably waives any defenses (other than indefeasible payment in full of all
Guaranteed Obligations) it may now have or hereafter acquire in any way relating to, any or all of the following: 
  
 (a) any lack of validity or enforceability of any Loan Document or any agreement or instrument relating thereto; 
  

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 (b) any change in the time, manner or place of payment of, or in any other term of, all
or any of the Guaranteed Obligations or any other Obligations of any other Loan Party under or in respect of the Loan Documents, or any other amendment or waiver of or any consent to departure from any Loan Document, including, without limitation,
any increase in the Guaranteed Obligations resulting from the extension of additional credit to any Loan Party or any of its Subsidiaries or otherwise; 
  
 (c) any taking, exchange, release or non-perfection of any Collateral or any other collateral, or any taking, release or amendment or
waiver of, or consent to departure from, any other guaranty, for all or any of the Guaranteed Obligations; 
  
 (d) any manner of application of Collateral or any other collateral, or proceeds thereof, to all or any of the Guaranteed Obligations, or
any manner of sale or other disposition of any Collateral or any other collateral for all or any of the Guaranteed Obligations or any other Obligations of any Loan Party under the Loan Documents or any other assets of any Loan Party or any of its
Subsidiaries; 
  
 (e) any change, restructuring
or termination of the corporate structure or existence of any Loan Party or any of its Subsidiaries; 
  
 (f) any failure of any Secured Party to disclose to any Loan Party any information relating to the business, condition (financial or
otherwise), operations, performance, properties or prospects of any other Loan Party now or hereafter known to such Secured Party (each Guarantor waiving any duty on the part of the Secured Parties to disclose such information); 
  
 (g) the failure of any other Person to execute or deliver
this Agreement, any Guaranty Supplement or any other guaranty or agreement or the release or reduction of liability of any Guarantor or other guarantor or surety with respect to the Guaranteed Obligations; or 
  
 (h) any other circumstance (including, without limitation,
any statute of limitations) or any existence of or reliance on any representation by any Secured Party that might otherwise constitute a defense available to, or a discharge of, any Loan Party or any other guarantor or surety. 
  
 This Guaranty shall continue to be effective or be reinstated, as the case may be, if at any
time any payment of any of the Guaranteed Obligations is rescinded or must otherwise be returned by any Secured Party or any other Person upon the insolvency, bankruptcy or reorganization of the Borrower or any other Loan Party or otherwise, all as
though such payment had not been made. 
  
 SECTION 8.03.
Waivers and Acknowledgments. (a) Each Guarantor hereby unconditionally and irrevocably waives promptness, diligence, notice of acceptance, presentment, demand for performance, notice of nonperformance, default, acceleration, protest or
dishonor and any other notice with respect to any of the Guaranteed Obligations and this Guaranty and any requirement that any Secured Party protect, secure, perfect or insure any Lien or any property subject thereto or exhaust any right or take any
action against any Loan Party or any other Person or any Collateral. 
  

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 (b) Each Guarantor hereby unconditionally and irrevocably waives any right to revoke this Guaranty and
acknowledges that this Guaranty is continuing in nature and applies to all Guaranteed Obligations, whether existing now or in the future. 
  
 (c) Each Guarantor hereby unconditionally and irrevocably waives (i) any defense arising by reason of any claim or defense based upon an election of
remedies by any Secured Party that in any manner impairs, reduces, releases or otherwise adversely affects the subrogation, reimbursement, exoneration, contribution or indemnification rights of such Guarantor or other rights of such Guarantor to
proceed against any of the other Loan Parties, any other guarantor or any other Person or any Collateral and (ii) any defense based on any right of set-off or counterclaim against or in respect of the Obligations of such Guarantor hereunder.

  
 (d) Each Guarantor acknowledges that the Collateral Agent may,
without notice to or demand upon such Guarantor and without affecting the liability of such Guarantor under this Guaranty, foreclose under any mortgage by nonjudicial sale, and each Guarantor hereby waives any defense to the recovery by the
Collateral Agent and the other Secured Parties against such Guarantor of any deficiency after such nonjudicial sale and any defense or benefits that may be afforded by applicable law. 
  
 (e) Each Guarantor hereby unconditionally and irrevocably waives any duty on the part of any Secured Party to disclose to
such Guarantor any matter, fact or thing relating to the business, condition (financial or otherwise), operations, performance, properties or prospects of any other Loan Party or any of its Subsidiaries now or hereafter known by such Secured Party.

  
 (f) Each Guarantor acknowledges that it will receive
substantial direct and indirect benefits from the financing arrangements contemplated by the Loan Documents and that the waivers set forth in Section 8.02 and this Section 8.03 are knowingly made in contemplation of such benefits. 
  
 SECTION 8.04. Subrogation. Each Guarantor hereby unconditionally and
irrevocably agrees not to exercise any rights that it may now have or hereafter acquire against the Borrower, any other Loan Party or any other insider guarantor that arise from the existence, payment, performance or enforcement of such
Guarantor’s Obligations under or in respect of this Guaranty or any other Loan Document, including, without limitation, any right of subrogation, reimbursement, exoneration, contribution or indemnification and any right to participate in any
claim or remedy of any Secured Party against the Borrower, any other Loan Party or any other insider guarantor or any Collateral, whether or not such claim, remedy or right arises in equity or under contract, statute or common law, including,
without limitation, the right to take or receive from the Borrower, any other Loan Party or any other insider guarantor, directly or indirectly, in cash or other property or by set-off or in any other manner, payment or security on account of such
claim, remedy or right, unless and until all of the Guaranteed Obligations and all other amounts payable under this Guaranty shall have been paid in full in cash, all Letters of Credit and all Secured Hedge Agreements shall have expired or been
terminated and the Commitments shall have expired or been terminated. If any amount shall be paid to any Guarantor in violation of the immediately preceding sentence at any time prior to the latest of (a) the payment in full in cash of the
Guaranteed Obligations and all other amounts payable under this Guaranty, (b) the 
  

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 Termination Date and (c) the latest date of expiration or termination of all Letters of Credit and all Secured Hedge
Agreements, such amount shall be received and held in trust for the benefit of the Secured Parties, shall be segregated from other property and funds of such Guarantor and shall forthwith be paid or delivered to the Administrative Agent in the same
form as so received (with any necessary endorsement or assignment) to be credited and applied to the Guaranteed Obligations and all other amounts payable under this Guaranty, whether matured or unmatured, in accordance with the terms of the Loan
Documents, or to be held as Collateral for any Guaranteed Obligations or other amounts payable under this Guaranty thereafter arising. If (i) any Guarantor shall make payment to any Secured Party of all or any part of the Guaranteed Obligations,
(ii) all of the Guaranteed Obligations and all other amounts payable under this Guaranty shall have been paid in full in cash, (iii) the Termination Date shall have occurred and (iv) all Letters of Credit and all Secured Hedge Agreements shall have
expired or been terminated, the Secured Parties will, at such Guarantor’s request and expense, execute and deliver to such Guarantor appropriate documents, without recourse and without representation or warranty, necessary to evidence the
transfer by subrogation to such Guarantor of an interest in the Guaranteed Obligations resulting from such payment made by such Guarantor pursuant to this Guaranty. 
  
 SECTION 8.05. Guaranty Supplements. Upon the execution and delivery by any Person of a guaranty supplement in
substantially the form of Exhibit I hereto (each, a “Guaranty Supplement”), (a) such Person shall be referred to as an “Additional Guarantor” and shall become and be a Guarantor hereunder, and each
reference in this Guaranty to a “Guarantor” shall also mean and be a reference to such Additional Guarantor, and each reference in any other Loan Document to a “Subsidiary Guarantor” shall also mean and be a reference to such
Additional Guarantor, and (b) each reference herein to “this Guaranty,” “hereunder,” “hereof” or words of like import referring to this Guaranty, and each reference in any other Loan Document to the
“Guaranty,” “thereunder,” “thereof” or words of like import referring to this Guaranty, shall mean and be a reference to this Guaranty as supplemented by such Guaranty Supplement. 
  
 SECTION 8.06. Subordination. Each Guarantor hereby subordinates any
and all debts, liabilities and other Obligations owed to such Guarantor by each other Loan Party (the “Subordinated Obligations”) to the Guaranteed Obligations to the extent and in the manner hereinafter set forth in this
Section 8.06: 
  
 (a) Prohibited Payments,
Etc. Except during the continuance of a Default, each Guarantor may receive regularly scheduled payments from any other Loan Party on account of the Subordinated Obligations. After the occurrence and during the continuance of any Default,
however, unless the Required Lenders otherwise agree, no Guarantor shall demand, accept or take any action to collect any payment on account of the Subordinated Obligations. 
  
 (b) Prior Payment of Guaranteed Obligations. In any proceeding under any Bankruptcy Law relating to
any other Loan Party, each Guarantor agrees that the Secured Parties shall be entitled to receive payment in full in cash of all Guaranteed Obligations (including all interest and expenses accruing after the commencement of a proceeding under any
Bankruptcy Law, whether or not constituting an allowed claim in such proceeding (“Post-Petition Interest”)) before such Guarantor receives payment of any Subordinated Obligations. 
  

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 (c) Turn-Over. After the occurrence and during the continuance of any Default,
each Guarantor shall, if the Administrative Agent so requests, collect, enforce and receive payments on account of the Subordinated Obligations as trustee for the Secured Parties and deliver such payments to the Administrative Agent on account of
the Guaranteed Obligations (including all Post-Petition Interest), together with any necessary endorsements or other instruments of transfer, but without reducing or affecting in any manner the liability of such Guarantor under the other provisions
of this Guaranty. 
  
 (d) Administrative Agent
Authorization. After the occurrence and during the continuance of any Default, the Administrative Agent is authorized and empowered (but without any obligation to so do), in its discretion, (i) in the name of each Guarantor, to collect and
enforce, and to submit claims in respect of, the Subordinated Obligations and to apply any amounts received thereon to the Guaranteed Obligations (including any and all Post-Petition Interest), and (ii) to require each Guarantor (A) to collect and
enforce, and to submit claims in respect of, the Subordinated Obligations and (B) to pay any amounts received on such obligations to the Administrative Agent for application to the Guaranteed Obligations (including any and all Post-Petition
Interest). 
  
 SECTION 8.07. Continuing Guaranty;
Assignments. This Guaranty is a continuing guaranty and shall (a) remain in full force and effect until the latest of (i) the payment in full in cash of the Guaranteed Obligations and all other amounts payable under this Guaranty, (ii) the
Termination Date and (iii) the latest date of expiration or termination of all Letters of Credit, (b) be binding upon each Guarantor, its successors and assigns and (c) inure to the benefit of and be enforceable by the Secured Parties and their
successors, transferees and assigns. Without limiting the generality of clause (c) of the immediately preceding sentence, any Secured Party may assign or otherwise transfer all or any portion of its rights and obligations under this Agreement
(including, without limitation, all or any portion of its Commitments, the Advances owing to it and any Note or Notes held by it) to any other Person, and such other Person shall thereupon become vested with all the benefits in respect thereof
granted to such Secured Party herein or otherwise, in each case as and to the extent provided in Section 9.07. No Guarantor shall have the right to assign its rights hereunder or any interest herein without the prior written consent of the Secured
Parties. 
  
 SECTION 8.08. Applicant Subsidiaries. The
Borrower hereby unconditionally guaranties on a joint and several basis, to the same extent as the Guarantors have guaranteed the Obligations of the Borrower pursuant to this Article VIII, the payment in full of any Obligations owed by any Applicant
Subsidiary in respect of any Letter of Credit, and the Borrower acknowledges that it is a primary obligor in respect of all such Obligations. 
  

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 ARTICLE IX 
  
 MISCELLANEOUS 
  
 SECTION 9.01. Amendments, Etc. No amendment or waiver of any provision of this Agreement or the Notes, nor consent to any departure by any Loan
Party therefrom, shall in any event be effective unless the same shall be in writing and signed by the Required Lenders, and then such waiver or consent shall be effective only in the specific instance and for the specific purpose for which given;
provided, however, that (a) no amendment, waiver or consent shall, unless in writing and signed by all of the Lender Parties (other than any Lender Party that is, at such time, a Defaulting Lender), do any of the following at any time:

  
 (i) waive any of the conditions specified in
Section 3.01 or, in the case of the Initial Extension of Credit, Section 3.02, 
  
 (ii) change the number of Lenders or the percentage of (x) the Commitments, (y) the aggregate unpaid principal amount of the Advances or
(z) the aggregate Available Amount of outstanding Letters of Credit that, in each case, shall be required for the Lenders or any of them to take any action hereunder, 
  
 (iii) release one or more Guarantors (or otherwise limit such Guarantors’ liability with respect to the
Obligations owing to the Agents and the Lender Parties under the Guaranties) if such release or limitation is in respect of all or substantially all of the value of the Guaranties to the Lender Parties, 
  
 (iv) release all or substantially all of the Collateral in
any transaction or series of related transactions, or 
  
 (v) amend this Section 9.01, 
  
 and (b) no amendment, waiver or consent
shall, unless in writing and signed by the Required Lenders and each Lender Party specified below for such amendment, waiver or consent: 
  
 (i) increase the Commitments of a Lender Party without the consent of such Lender Party; 
  
 (ii) reduce or forgive the principal of, or stated rate of
interest on, the Advances owed to a Lender Party or any fees or other amounts stated to be payable hereunder or under the other Loan Documents to such Lender Party without the consent of such Lender Party; provided, that only the consent of
the Required Lenders shall be required to reduce the rate of or waive the payment of Default Interest; 
  
 (iii) postpone any date scheduled for any payment of principal, including the Termination Date, of, or interest on, the Advances pursuant
to Section 2.04 or 2.07 or any date fixed for any payment of fees hereunder in each case payable to a Lender Party without the consent of such Lender Party; 
  

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 (iv) change the order of application of any reduction in the Commitments or any
prepayment of Advances among the Facilities from the application thereof set forth in the applicable provisions of Section 2.05(b) or 2.06(b), respectively, in any manner that materially adversely affects the Lenders under a Facility without the
consent of holders of a majority of the Commitments or Advances outstanding under such Facility; or 
  
 (v) amend Section 2.11(a) or Section 2.13 in a manner that alters the pro rata sharing of payments thereunder without the consent of each
Lender adversely affected thereby; 
  
 provided further that (A) no
amendment, waiver or consent shall, unless in writing and signed by the Swing Line Bank or the Issuing Bank, as the case may be, in addition to the Lenders required above to take such action, affect the rights or obligations of the Swing Line Bank
or of the Issuing Bank, as the case may be, under this Agreement, (B) no amendment, waiver or consent shall, unless in writing and signed by an Agent in addition to the Lenders required above to take such action, affect the rights or duties of such
Agent under this Agreement or the other Loan Documents, and (C) nothing in this Section 9.01 shall require the consent of any Person other than the Borrower and the Administrative Agent for an amendment pursuant to Section 2.17(a) 
  
 If, in connection with any proposed amendment, waiver, or consent, the
consent of all of the Lenders, or all of the Lenders directly affected thereby, is required pursuant to this Section 9.01, and any such Lender refuses to consent to such amendment, waiver or consent as to which the Required Lenders have consented
(any such Lender whose consent is not obtained as described in this Section 9.01 being referred to as a “Non-Consenting Lender”), then, so long as the Administrative Agent is not a Non-Consenting Lender, at the
Borrower’s request and at the sole cost and expense of the Borrower, the Administrative Agent or an Eligible Assignee shall be entitled (but shall have no obligation) to purchase from such Non-Consenting Lender, and such Non-Consenting Lender
(by its acceptance of the benefits of the applicable Loan Documents) agrees that it shall, upon the Administrative Agent’s request, sell and assign to the Administrative Agent or such Eligible Assignee, all of the Advances and Commitments of
such Non-Consenting Lender or Non-Consenting Lenders for an amount equal to the principal balance of all Advances held by the Non-Consenting Lender and all accrued interest and fees with respect thereto through the date of sale; provided that such
Eligible Assignee consents to the proposed amendment, waiver or consent (it being understood and agreed that the Commitments of such Non-Consenting Lender shall include, if such Non-Consenting Lender is an Issuing Bank, the Letter of Credit
Commitment of such Non-Consenting Lender). Each Lender (by its acceptance of the benefits of the Loan Documents) agrees that, if it becomes a Non-Consenting Lender, it shall execute and deliver to the Administrative Agent an Assignment and
Acceptance to evidence such sale and purchase and shall deliver to the Administrative Agent any Note (if the assigning Lender’s Advances are evidenced by Notes) subject to such Assignment and Acceptance; provided, however, that
the failure of any Non-Consenting Lender to execute an Assignment and Acceptance shall not render such sale and purchase (and the corresponding assignment) ineffective. 
  
 SECTION 9.02. Notices, Etc. (a) All notices and other communications provided for hereunder shall be either (x) in
writing (including telegraphic, telecopy or electronic 
  

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 communication) and mailed, telegraphed, telecopied or delivered or (y) as and to the extent set forth in Section 9.02(b)
and in the proviso to this Section 9.02(a), in an electronic medium and delivered as set forth in Section 9.02(b), if to any Loan Party, to the Borrower at its address at 1900 West Field Court, Lake Forest, Illinois 60045, Attention: Kevin Corcoran,
Fax: (847) 482-2858, E-mail Address: kcorcoran@pactiv.com, with a copy to AEA Investors LLC, Park Avenue Tower, 65 East 55th Street, New York, NY 10022, Attention: General Counsel, Fax: (212) 702-0518, E-mail Address; if to any Initial Lender Party, at its Domestic Lending Office specified opposite its name on Schedule I hereto; if to any other Lender
Party, at its Domestic Lending Office specified in the Assignment and Acceptance or Assumption Agreement pursuant to which it became a Lender Party; if to the Collateral Agent, at its address at One Madison Avenue, New York, NY 10010, Attention:
Agency Group/John Burke, Fax: (212) 325-8304, E-mail Address: john.burke2@csfb.com; and if to the Administrative Agent, at its address at One Madison Avenue, New York, NY 10010, Attention: Agency Group/John Burke, Fax: (212) 325-8304, E-mail
Address: john.burke2@csfb.com; or, as to the Borrower or the Administrative Agent, at such other address as shall be designated by such party in a written notice to the other parties and, as to each other party, at such other address as shall be
designated by such party in a written notice to the Borrower and the Administrative Agent; provided, however, that materials and information described in Section 9.02(b) shall be delivered to the Administrative Agent in accordance with
the provisions thereof or as otherwise specified to the Borrower by the Administrative Agent. All such notices and other communications shall, when mailed, telegraphed, telecopied, or e-mailed, be effective when deposited in the mails, delivered to
the telegraph company, transmitted by telecopier or sent by electronic communication, respectively, except that notices and communications to any Agent pursuant to Article II, III or VII shall not be effective until received by such Agent. Delivery
by telecopier of an executed counterpart of a signature page to any amendment or waiver of any provision of this Agreement or the Notes shall be effective as delivery of an original executed counterpart thereof. 
  
 (b) The Borrower hereby agrees that it will provide to the Administrative
Agent all information, documents and other materials that it is obligated to furnish to the Administrative Agent pursuant to the Loan Documents, including, without limitation, all notices, requests, financial statements, financial and other reports,
certificates and other information materials, but excluding any such communication that (i) relates to a request for a new, or a Conversion of an existing, Borrowing or other Extension of Credit (including any election of an interest rate or
interest period relating thereto), (ii) relates to the payment of any principal or other amount due under this Agreement prior to the scheduled date therefor, (iii) provides notice of any Default or Event of Default under this Agreement or (iv) is
required to be delivered to satisfy any condition precedent to the effectiveness of this Agreement and/or any Borrowing or other Extension of Credit thereunder (all such non-excluded communications being referred to herein collectively as
“Communications”), by transmitting the Communications in an electronic/soft medium in a format acceptable to the Administrative Agent to an electronic mail address specified by the Administrative Agent to the Borrower. In
addition, the Borrower agrees to continue to provide the Communications to the Administrative Agent in the manner specified in the Loan Documents but only to the extent requested by the Administrative Agent. The Borrower further agrees that the
Administrative Agent may make the Communications available to the Lenders by posting the Communications on IntraLinks or a substantially similar electronic transmission system (the “Platform”). 
  

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 (c) THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE”. THE AGENT PARTIES (AS
DEFINED BELOW) DO NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS, OR THE ADEQUACY OF THE PLATFORM AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS OR OMISSIONS IN THE COMMUNICATIONS. NO WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY,
INCLUDING, WITHOUT LIMITATION, ANY WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS, IS MADE BY THE AGENT PARTIES IN CONNECTION WITH THE
COMMUNICATIONS OR THE PLATFORM. IN NO EVENT SHALL THE ADMINISTRATIVE AGENT OR ANY OF ITS AFFILIATES OR ANY OF THEIR RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, ADVISORS OR REPRESENTATIVES (COLLECTIVELY, “AGENT PARTIES”) HAVE ANY
LIABILITY TO THE BORROWER, ANY LENDER PARTY OR ANY OTHER PERSON OR ENTITY FOR DAMAGES OF ANY KIND, INCLUDING, WITHOUT LIMITATION, DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN TORT, CONTRACT OR
OTHERWISE) ARISING OUT OF THE BORROWER’S OR THE ADMINISTRATIVE AGENT’S TRANSMISSION OF COMMUNICATIONS THROUGH THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF ANY AGENT PARTY IS FOUND IN A FINAL NON-APPEALABLE JUDGMENT BY A COURT OF
COMPETENT JURISDICTION TO HAVE RESULTED PRIMARILY FROM SUCH AGENT PARTY’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. 
  
 (d) The Administrative Agent agrees that the receipt of the Communications by the Administrative Agent at its e-mail address set forth above shall
constitute effective delivery of the Communications to the Administrative Agent for purposes of the Loan Documents. Each Lender Party agrees that notice to it (as provided in the next sentence) specifying that the Communications have been posted to
the Platform shall constitute effective delivery of the Communications to such Lender Party for purposes of the Loan Documents. Each Lender Party agrees to notify the Administrative Agent in writing (including by electronic communication) from time
to time of such Lender Party’s e-mail address to which the foregoing notice may be sent by electronic transmission and (ii) that the foregoing notice may be sent to such e-mail address. Nothing herein shall prejudice the right of the
Administrative Agent or any Lender Party to give any notice or other communication pursuant to any Loan Document in any other manner specified in such Loan Document. 
  
 SECTION 9.03. No Waiver; Remedies. No failure on the part of any Lender Party or any Agent to exercise, and no delay
in exercising, any right hereunder or under any Note or any other Loan Document shall operate as a waiver thereof; nor shall any single or partial exercise of any such right preclude any other or further exercise thereof or the exercise of any other
right. The remedies herein provided are cumulative and not exclusive of any remedies provided by law. 
  
 SECTION 9.04. Costs and Expenses. (a) The Borrower agrees to pay on demand (i) all costs and expenses of the each Agent in connection with the
preparation, execution, delivery, administration, modification and amendment of, or any consent or waiver 
  

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 under, the Loan Documents (including, without limitation, (A) all due diligence, collateral review, syndication,
transportation, computer, duplication, appraisal, audit, insurance, consultant, search, filing and recording fees and expenses and (B) the reasonable fees and expenses of counsel for the each Agent with respect thereto (it being understood that the
Borrower shall not be obligated to pay for more than one special counsel and one local counsel per jurisdiction in each appropriate jurisdiction unless such fees are incurred in connection with the enforcement of the Loan Documents), with respect to
advising the such Agent as to its rights and responsibilities, or the perfection, protection or preservation of rights or interests, under the Loan Documents, with respect to negotiations with any Loan Party or with other creditors of any Loan Party
or any of its Subsidiaries arising out of any Default or any events or circumstances that may give rise to a Default and with respect to presenting claims in or otherwise participating in or monitoring any bankruptcy, insolvency or other similar
proceeding involving creditors’ rights generally and any proceeding ancillary thereto) and (ii) all costs and expenses of each Agent and each Lender Party in connection with the enforcement of the Loan Documents, whether in any action, suit or
litigation, or any bankruptcy, insolvency or other similar proceeding affecting creditors’ rights generally (including, without limitation, the reasonable fees and expenses of counsel for the Administrative Agent and each Lender Party with
respect thereto). 
  
 (b) The Borrower agrees to indemnify, defend
and save and hold harmless each Agent, each Lender Party and each of their Affiliates and their respective officers, directors, employees, trustees, agents and advisors (each, an “Indemnified Party”) from and against, and
shall pay on demand, any and all claims, damages, losses, liabilities and expenses (including, without limitation, reasonable fees and expenses of counsel) that may be incurred by or asserted or awarded against any Indemnified Party, in each case
arising out of or in connection with or by reason of (including, without limitation, in connection with any investigation, litigation or proceeding or preparation of a defense in connection therewith) (i) the Facilities, the actual or proposed use
of the proceeds of the Advances or the Letters of Credit, the Transaction Documents or any of the transactions contemplated thereby, including, without limitation, any acquisition or proposed acquisition (including, without limitation, the
Transaction) by the Sponsor, the Equity Investors or any of its or their Subsidiaries or Affiliates of all or any portion of the Equity Interests in or Debt securities or substantially all of the assets of the Business, Companies or any of their
Subsidiaries or (ii) the actual or alleged presence of Hazardous Materials on any property of any Loan Party or any of its Subsidiaries or any Environmental Action relating in any way to any Loan Party or any of its Subsidiaries, except to the
extent such claim, damage, loss, liability or expense is found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted from such Indemnified Party’s gross negligence or willful misconduct. In the case of an
investigation, litigation or other proceeding to which the indemnity in this Section 9.04(b) applies, such indemnity shall be effective whether or not such investigation, litigation or proceeding is brought by any Loan Party, its directors,
shareholders or creditors, any Indemnified Party or any other Person, whether or not any Indemnified Party is otherwise a party thereto and whether or not the Transaction is consummated. The Borrower also agrees not to assert any claim against any
Agent, any Lender Party or any of their Affiliates, or any of their respective officers, directors, employees, agents and advisors, on any theory of liability, for special, indirect, consequential or punitive damages arising out of or otherwise
relating to the Facilities, the actual or proposed use of the proceeds of the Advances or the Letters of Credit, the Transaction Documents or any of the transactions contemplated by the Transaction Documents. 
  

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 (c) If any payment of principal of, or Conversion of, any Eurocurrency Rate Advance is made by the
Borrower to or for the account of a Lender Party other than on the last day of the Interest Period for such Advance, as a result of a payment or Conversion pursuant to Section 2.06, 2.09(b)(i) or 2.10(d), acceleration of the maturity of the Advances
pursuant to Section 6.01 or for any other reason, or if the Borrower fails to make any payment or prepayment of an Advance for which a notice of prepayment has been given or that is otherwise required to be made, whether pursuant to Section 2.04,
2.06 or 6.01 or otherwise, the Borrower shall, upon demand by such Lender Party (with a copy of such demand to the Administrative Agent), pay to the Administrative Agent for the account of such Lender Party any amounts required to compensate such
Lender Party for any additional losses, costs or expenses that it may reasonably incur as a result of such payment or Conversion or such failure to pay or prepay, as the case may be, including, without limitation, any loss (including loss of
anticipated profits), cost or expense incurred by reason of the liquidation or reemployment of deposits or other funds acquired by any Lender Party to fund or maintain such Advance. 
  
 (d) If any Loan Party fails to pay when due any costs, expenses or other amounts payable by it under any Loan Document,
including, without limitation, fees and expenses of counsel and indemnities, such amount may be paid on behalf of such Loan Party by the Administrative Agent or any Lender Party, in its sole discretion. 
  
 (e) Without prejudice to the survival of any other agreement of any Loan
Party hereunder or under any other Loan Document, the agreements and obligations of the Borrower contained in Sections 2.10 and 2.12 and this Section 9.04 shall survive the payment in full of principal, interest and all other amounts payable
hereunder and under any of the other Loan Documents. 
  
 SECTION
9.05. Right of Set-off. Upon (a) the occurrence and during the continuance of any Event of Default and (b) the making of the request or the granting of the consent specified by Section 6.01 to authorize the Administrative Agent to declare the
Advances due and payable pursuant to the provisions of Section 6.01, each Agent and each Lender Party and each of their respective Affiliates is hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off
and otherwise apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other indebtedness at any time owing by such Agent, such Lender Party or such Affiliate to or for the credit or the account of
the Borrower against any and all of the Obligations of the Borrower now or hereafter existing under the Loan Documents, irrespective of whether such Agent or such Lender Party shall have made any demand under this Agreement and although such
Obligations may be unmatured. Each Agent and each Lender Party agrees promptly to notify the Borrower after any such set-off and application; provided, however, that the failure to give such notice shall not affect the validity of such
set-off and application. The rights of each Agent and each Lender Party and their respective Affiliates under this Section are in addition to other rights and remedies (including, without limitation, other rights of set-off) that such Agent, such
Lender Party and their respective Affiliates may have. 
  
 SECTION
9.06. Binding Effect. This Agreement shall become effective when it shall have been executed by the Borrower and each Agent and the Administrative Agent shall have been notified by each Initial Lender Party that such Initial Lender Party has
executed it and 
  

 Pregis Credit Agreement 
  
 133 

 thereafter shall be binding upon and inure to the benefit of the Borrower, each Agent and each Lender Party and their
respective successors and assigns, except that the Borrower shall not have the right to assign its rights hereunder or any interest herein without the prior written consent of each Lender Party. 
  
 SECTION 9.07. Assignments and Participations. (a) Each Lender may
assign to one or more Eligible Assignees all or a portion of its rights and obligations under this Agreement (including, without limitation, all or a portion of its Commitment or Commitments, the Advances owing to it and the Note or Notes held by
it); provided, however, that (i) each such assignment shall be of a uniform, and not a varying, percentage of all rights and obligations under and in respect of any or all Facilities, (ii) except in the case of an assignment of all of
a Lender’s rights and obligations under this Agreement or an assignment of Term Advances to an Affiliate or an Approved Fund of the assigning Lender, the aggregate amount of the Commitments being assigned to such Eligible Assignee pursuant to
such assignment (determined as of the date of the Assignment and Acceptance with respect to such assignment) shall in no event be less than $1,000,000 (or such lesser amount as shall be approved by the Administrative Agent) other than among
affiliate funds under each Facility for which a Commitment is being assigned, (iii) each such assignment shall be to an Eligible Assignee, (iv) the parties to each assignment shall execute and deliver to the Administrative Agent an Assignment
Agreement via an electronic settlement system acceptable to the Administrative Agent (or, if previously agreed with the Administrative Agent, manually), and shall pay to the Administrative Agent a processing and recordation fee of $3,500 (which fee
may be waived or reduced in the sole discretion of the Administrative Agent), (iv) each such assignment made as a result of a demand by the Borrower pursuant to Section 2.10(e) shall be arranged by the Borrower after consultation with the
Administrative Agent and shall be either an assignment of all of the rights and obligations of the assigning Lender under this Agreement or an assignment of a portion of such rights and obligations made concurrently with another such assignment or
other such assignments that together cover all of the rights and obligations of the assigning Lender under this Agreement (including, in the case of an Issuing Bank, such Issuing Bank’s Letter of Credit Commitment), (v) no Lender shall be
obligated to make any such assignment as a result of a demand by the Borrower pursuant to Section 2.10(e) unless and until such Lender shall have received one or more payments from either the Borrower or one or more Eligible Assignees in an
aggregate amount at least equal to the aggregate outstanding principal amount of the Advances owing to such Lender, together with accrued interest thereon to the date of payment of such principal amount and all other amounts payable to such Lender
under this Agreement and (vi) in the case of assignments in respect of the Term Facilities, the Administrative Agent shall give notice to the Borrower of the identity of the assignee thereunder. 
  
 (b) Upon such execution, delivery, acceptance and recording, from and after
the effective date specified in such Assignment and Acceptance, (i) the assignee thereunder shall be a party hereto and, to the extent that rights and obligations hereunder have been assigned to it pursuant to such Assignment and Acceptance, have
the rights and obligations of a Lender or Issuing Bank, as the case may be, hereunder and (ii) the Lender or Issuing Bank assignor thereunder shall, to the extent that rights and obligations hereunder have been assigned by it pursuant to such
Assignment and Acceptance, relinquish its rights (other than its rights under Sections 2.10, 2.12 and 9.04 to the extent any claim thereunder relates to an event arising prior to such assignment) and be released from its obligations under this
Agreement (and, in the case of 
  

 Pregis Credit Agreement 
  
 134 

 an Assignment and Acceptance covering all of the remaining portion of an assigning Lender’s or Issuing Bank’s
rights and obligations under this Agreement, such Lender or Issuing Bank shall cease to be a party hereto). 
  
 (c) By executing and delivering an Assignment and Acceptance, each Lender Party assignor thereunder and each assignee thereunder confirm to and agree with
each other and the other parties thereto and hereto as follows: (i) other than as provided in such Assignment and Acceptance, such assigning Lender Party makes no representation or warranty and assumes no responsibility with respect to any
statements, warranties or representations made in or in connection with any Loan Document or the execution, legality, validity, enforceability, genuineness, sufficiency or value of, or the perfection or priority of any lien or security interest
created or purported to be created under or in connection with, any Loan Document or any other instrument or document furnished pursuant thereto; (ii) such assigning Lender Party makes no representation or warranty and assumes no responsibility with
respect to the financial condition of any Loan Party or the performance or observance by any Loan Party of any of its obligations under any Loan Document or any other instrument or document furnished pursuant thereto; (iii) such assignee confirms
that it has received a copy of this Agreement, together with copies of the financial statements referred to in Section 4.01 and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter
into such Assignment and Acceptance; (iv) such assignee will, independently and without reliance upon any Agent, such assigning Lender Party or any other Lender Party and based on such documents and information as it shall deem appropriate at the
time, continue to make its own credit decisions in taking or not taking action under this Agreement; (v) such assignee confirms that it is an Eligible Assignee; (vi) such assignee appoints and authorizes each Agent to take such action as agent on
its behalf and to exercise such powers and discretion under the Loan Documents as are delegated to such Agent by the terms hereof and thereof, together with such powers and discretion as are reasonably incidental thereto; and (vii) such assignee
agrees that it will perform in accordance with their terms all of the obligations that by the terms of this Agreement are required to be performed by it as a Lender or Issuing Bank, as the case may be. 
  
 (d) The Administrative Agent shall maintain at its address referred to in
Section 9.02 a copy of each Assignment and Acceptance delivered to and accepted by it and a register for the recordation of the names and addresses of the Lender Parties and the Commitment under each Facility of, and principal amount of the Advances
owing under each Facility to, each Lender Party from time to time (the “Register”). The entries in the Register shall be conclusive and binding for all purposes, absent manifest error, and the Borrower, the Agents and the
Lender Parties may treat each Person whose name is recorded in the Register as a Lender Party hereunder for all purposes of this Agreement. The Register shall be available for inspection by the Borrower or any Agent or any Lender Party at any
reasonable time and from time to time upon reasonable prior notice. 
  
 (e) Upon its receipt of an Assignment and Acceptance executed by an assigning Lender Party and an assignee, together with any Note or Notes (if any) subject to such assignment, the Administrative Agent shall, if such Assignment and
Acceptance has been completed and is in substantially the form of Exhibit C hereto, (i) accept such Assignment and Acceptance, (ii) record the information contained therein in the Register and (iii) give prompt notice thereof to the Borrower and
each other Agent. In the case of any assignment by a Lender, 
  

 Pregis Credit Agreement 
  
 135 

 within five Business Days after its receipt of such notice, the Borrower, at its own expense, shall execute and deliver
to the Administrative Agent in exchange for the surrendered Note or Notes (if any) a new Note to the order of such Eligible Assignee in an amount equal to the Commitment assumed by it under each Facility pursuant to such Assignment and Acceptance
and, if any assigning Lender that had a Note or Notes prior to such assignment has retained a Commitment hereunder under such Facility, a new Note to the order of such assigning Lender in an amount equal to the Commitment retained by it hereunder.
Such new Note or Notes shall be dated the effective date of such Assignment and Acceptance and shall otherwise be in substantially the form of Exhibit A-1, A-2 or A-3 hereto, as the case may be. 
  
 (f) The Issuing Bank may assign to an Eligible Assignee all of its rights and
obligations under the undrawn portion of its Letter of Credit Commitment at any time; provided, however, that (i) each such assignment shall be to an Eligible Assignee and (ii) the parties to each such assignment shall execute and
deliver to the Administrative Agent, for its acceptance and recording in the Register, an Assignment and Acceptance. 
  
 (g) Each Lender Party may sell participations to one or more Persons (other than any Loan Party or any of its Affiliates) in or to all or a portion of its
rights and obligations under this Agreement (including, without limitation, all or a portion of its Commitments, the Advances owing to it and the Note or Notes (if any) held by it); provided, however, that (i) such Lender Party’s
obligations under this Agreement (including, without limitation, its Commitments) shall remain unchanged, (ii) such Lender Party shall remain solely responsible to the other parties hereto for the performance of such obligations, (iii) such Lender
Party shall remain the holder of any such Note for all purposes of this Agreement, (iv) the Borrower, the Agents and the other Lender Parties shall continue to deal solely and directly with such Lender Party in connection with such Lender
Party’s rights and obligations under this Agreement and (v) no participant under any such participation shall have any right to approve any amendment or waiver of any provision of any Loan Document, or any consent to any departure by any Loan
Party therefrom, except to the extent that such amendment, waiver or consent would reduce the principal of, or interest on, the Advances or any fees or other amounts payable hereunder, in each case to the extent subject to such participation,
postpone any date fixed for any payment of principal of, or interest on, the Advances or any fees or other amounts payable hereunder, in each case to the extent subject to such participation, or release all or substantially all of the Collateral or
the value of the Guaranties. 
  
 (h) Any Lender Party may, in
connection with any assignment or participation or proposed assignment or participation pursuant to this Section 9.07, disclose to the assignee or participant or proposed assignee or participant any information relating to the Borrower furnished to
such Lender Party by or on behalf of the Borrower; provided, however, that, prior to any such disclosure, the assignee or participant or proposed assignee or participant shall agree to preserve the confidentiality of any Confidential
Information received by it from such Lender Party. 
  
 (i)
Notwithstanding any other provision set forth in this Agreement, any Lender Party may at any time create a security interest in all or any portion of its rights under this Agreement (including, without limitation, the Advances owing to it and the
Note or Notes (if any) held by it) in favor of any Federal Reserve Bank in accordance with Regulation A of the Board of Governors of the Federal Reserve System. 
  

 Pregis Credit Agreement 
  
 136 

 (j) Notwithstanding anything to the contrary contained herein, any Lender that is a Fund may, without the
consent of the Borrower or the Administrative Agent, create a security interest in all or any portion of the Advances owing to it and any Note or Notes held by it to the trustee for holders of obligations owed, or securities issued, by such Fund as
security for such obligations or securities; provided that, unless and until such trustee actually becomes a Lender in compliance with the other provisions of this Section 9.07, (i) no such pledge shall release the pledging Lender from any of
its obligations under the Loan Documents and (ii) such trustee shall not be entitled to exercise any of the rights of a Lender under the Loan Documents even though such trustee may have acquired ownership rights with respect to the pledged interest
through foreclosure or otherwise. 
  
 (k) Notwithstanding anything
to the contrary contained herein, any Lender Party (a “Granting Lender”) may grant to a special purpose funding vehicle identified as such in writing from time to time by the Granting Lender to the Administrative Agent and
the Borrower (an “SPC”) the option to provide all or any part of any Advance that such Granting Lender would otherwise be obligated to make pursuant to this Agreement; provided that (i) nothing herein shall constitute
a commitment by any SPC to fund any Advance and (ii) if an SPC elects not to exercise such option or otherwise fails to make all or any part of such Advance, the Granting Lender shall be obligated to make such Advance pursuant to the terms hereof.
The making of an Advance by an SPC hereunder shall utilize the Commitment of the Granting Lender to the same extent, and as if, such Advance were made by such Granting Lender. Each party hereto hereby agrees that (i) no SPC shall be liable for any
indemnity or similar payment obligation under this Agreement for which a Lender Party would be liable, (ii) no SPC shall be entitled to the benefits of Sections 2.10 and 2.12 (or any other increased costs protection provision) and (iii) the Granting
Lender shall for all purposes, including, without limitation, the approval of any amendment or waiver of any provision of any Loan Document, remain the Lender Party of record hereunder. Notwithstanding anything to the contrary contained in this
Agreement, any SPC may (i) with notice to, but without prior consent of, the Borrower and the Administrative Agent and with the payment of a processing fee of $3,500, assign all or any portion of its interest in any Advance to the Granting Lender
and (ii) disclose on a confidential basis any non-public information relating to its funding of Advances to any rating agency, commercial paper dealer or provider of any surety or guarantee or credit or liquidity enhancement to such SPC. This
subsection (k) may not be amended without the prior written consent of each Granting Lender, all or any part of whose Advances are being funded by the SPC at the time of such amendment. 
  
 SECTION 9.08. Execution in Counterparts. This Agreement may be executed in any number of counterparts and by
different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. Delivery by telecopier of an executed counterpart of a
signature page to this Agreement shall be effective as delivery of an original executed counterpart of this Agreement. 
  

 Pregis Credit Agreement 
  
 137 

 SECTION 9.09. No Liability of the Issuing Bank. The Borrower assumes all risks of the acts or
omissions of any beneficiary or transferee of any Letter of Credit with respect to its use of such Letter of Credit. Neither the Issuing Bank nor any of its officers or directors shall be liable or responsible for: (a) the use that may be made of
any Letter of Credit or any acts or omissions of any beneficiary or transferee in connection therewith; (b) the validity, sufficiency or genuineness of documents, or of any endorsement thereon, even if such documents should prove to be in any or all
respects invalid, insufficient, fraudulent or forged; (c) payment by the Issuing Bank against presentation of documents that do not comply with the terms of a Letter of Credit, including failure of any documents to bear any reference or adequate
reference to the Letter of Credit; or (d) any other circumstances whatsoever in making or failing to make payment under any Letter of Credit, except that the Borrower shall have a claim against the Issuing Bank, and the Issuing Bank shall be liable
to the Borrower, to the extent of any direct, but not consequential, damages suffered by the Borrower that the Borrower proves were caused by (i) the Issuing Bank’s willful misconduct or gross negligence as determined in a final, non-appealable
judgment by a court of competent jurisdiction in determining whether documents presented under any Letter of Credit comply with the terms of the Letter of Credit or (ii) the Issuing Bank’s willful failure to make lawful payment under a Letter
of Credit after the presentation to it of a draft and certificates strictly complying with the terms and conditions of the Letter of Credit. In furtherance and not in limitation of the foregoing, the Issuing Bank may accept documents that appear on
their face to be in order, without responsibility for further investigation, regardless of any notice or information to the contrary. 
  
 SECTION 9.10. Confidentiality. Neither any Agent nor any Lender Party shall disclose any Confidential Information to any Person without the consent
of the Borrower, other than (a) to such Agent’s or such Lender Party’s Affiliates and their officers, directors, employees, agents and advisors and to actual or prospective Eligible Assignees and participants, and then only on a
confidential basis, (b) as required by any law, rule or regulation or judicial process, (c) as requested or required by any state, Federal or foreign authority or examiner (including the National Association of Insurance Commissioners or any similar
organization or quasi-regulatory authority) regulating such Lender Party, (d) to any rating agency when required by it, provided that, prior to any such disclosure, such rating agency shall undertake to preserve the confidentiality of any
Confidential Information relating to the Loan Parties received by it from such Lender Party, (e) in connection with any litigation or proceeding to which such Agent or such Lender Party or any of its Affiliates may be a party or (f) in connection
with the exercise of any right or remedy under this Agreement or any other Loan Document. 
  
 SECTION 9.11. Release of Collateral. Upon the sale, lease, transfer or other disposition of any item of Collateral of any Loan Party in accordance with the terms of the Loan Documents, the Collateral Agent
will, at the Borrower’s expense, execute and deliver to such Loan Party such documents as such Loan Party may reasonably request to evidence the release of such item of Collateral from the assignment and security interest granted under the
Collateral Documents in accordance with the terms of the Loan Documents. 
  
 SECTION 9.12. Patriot Act Notice. Each Lender Party and each Agent (for itself and not on behalf of any Lender Party) hereby notifies the Loan Parties that pursuant to the requirements of 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 such Loan Party 
  

 Pregis Credit Agreement 
  
 138 

 and other information that will allow such Lender Party or such Agent, as applicable, to identify such Loan Party in
accordance with the Patriot Act. The Borrower shall, and shall cause each of its Subsidiaries to, provide to the extent commercially reasonable, such information and take such actions as are reasonably requested by any Agents or any Lender Party in
order to assist the Agents and the Lender Parties in maintaining compliance with the Patriot Act. 
  
 SECTION 9.13. Jurisdiction, Etc. (a) Each of the parties hereto hereby irrevocably and unconditionally submits, for itself and its property, to the
nonexclusive jurisdiction of any New York State court or Federal court of the United States of America sitting in New York City, and any appellate court from any thereof (collectively, “New York Courts”), in any action or
proceeding arising out of or relating to this Agreement or any of the other Loan Documents to which it is a party, 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 any such New York State court or, to the fullest extent permitted by law, in such Federal court. Each of the parties hereto agrees that a final judgment in any
such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Nothing in this Agreement shall affect any right that any party may otherwise have to bring any
action or proceeding relating to this Agreement or any of the other Loan Documents in the courts of any jurisdiction, except that each of the Loan Parties agrees that (a) it will not bring any such action or proceeding in any court other than New
York Courts (it being acknowledged and agreed by the parties hereto that any other forum would be inconvenient and inappropriate in view of the fact that more of the Lenders who would be affected by any such action or proceeding have contacts with
the State of New York than any other jurisdiction), and (b) in any such action or proceeding brought against any Loan Party in any other court, it will not assert any cross-claim, counterclaim or setoff, or seek any other affirmative relief, except
to the extent that the failure to assert the same will preclude such Loan Party from asserting or seeking the same in the New York Courts. 
  
 (b) Each of the parties hereto irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection that 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 of the other Loan Documents to which it is a party in any New York State or Federal court. 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. 
  
 SECTION 9.14. Governing Law. This Agreement and the Notes shall be governed by, and construed in accordance with, the
laws of the State of New York. 
  

 Pregis Credit Agreement 
  
 139 

 SECTION 9.15. Waiver of Jury Trial. Each of the Borrower, the Agents and the Lender Parties
irrevocably waives all right to trial by jury in any action, proceeding or counterclaim (whether based on contract, tort or otherwise) arising out of or relating to any of the Loan Documents, the Advances, the Letters of Credit or the actions of any
Agent or any Lender Party in the negotiation, administration, performance or enforcement thereof. 
  
 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their respective officers thereunto duly authorized, as of the date
first above written. 
  

			
	 PREGIS CORPORATION,
     as Borrower

		
	 By
	 	 /s/ Kevin J. Corcoran

	 Name:
	 	Kevin J. Corcoran
	 Title:
	 	Chief Financial Officer
	
	 PREGIS HOLDING II CORPORATION,
     as Parent

		
	 By
	 	 /s/ Kevin J. Corcoran

	 Name:
	 	Kevin J. Corcoran
	 Title:
	 	Chief Financial Officer
	
	 PREGIS INNOVATIVE PACKAGING INC.,
     as Subsidiary Guarantor

		
	 By
	 	 /s/ Kevin J. Corcoran

	 Name:
	 	Kevin J. Corcoran
	 Title:
	 	Chief Financial Officer
	
	 HEXACOMB CORPORATION,
     as Subsidiary Guarantor

		
	 By
	 	 /s/ Kevin J. Corcoran

	 Name:
	 	Kevin J. Corcoran
	 Title:
	 	Chief Financial Officer

			
	 PREGIS MANAGEMENT CORPORATION,
     as Subsidiary Guarantor

		
	 By
	 	 /s/ Kevin J. Corcoran

	 Name:
	 	Kevin J. Corcoran
	 Title:
	 	Chief Financial Officer

  

 Pregis Credit Agreement 
  
 2 

			
	 CREDIT SUISSE, Cayman Islands Branch as Administrative Agent and as Collateral Agent, as Swing Line Bank, as an Initial Issuing
Bank, and as an Initial Lender

		
	By	 	 /s/ Judith E. Smith

	Name:	 	Judith E. Smith
	Title:	 	Director
		
	By	 	 /s/ David Dodd

	Name:	 	David Dodd
	Title:	 	Vice President

 Initial Issuing Banks 
  

			
	 CREDIT SUISSE, Cayman Islands Branch

		
	 By
	 	 /s/ Judith E. Smith

	 Name:
	 	Judith E. Smith
	 Title:
	 	Director
		
	 By
	 	 /s/ David Dodd

	 Name:
	 	David Dodd
	 Title:
	 	Vice President
	
	 JPMORGAN CHASE BANK, N.A.,
     as Initial Issuing Bank

		
	 By.
	 	 /s/ Christopher C. Cavaiani

	 Name:
	 	Christopher C. Cavaiani
	 Title:
	 	Vice President

  

 Pregis Credit Agreement 
  
 2 

 Initial Swing Line Bank 
  

			
	 CREDIT SUISSE, Cayman Islands Branch,
     As Initial Swing Line Bank

		
	 By
	 	 /s/ Judith E. Smith

	 Name:
	 	Judith E. Smith
	 Title:
	 	Director
		
	 By
	 	 /s/ David Dodd

	 Name:
	 	David Dodd
	 Title:
	 	Vice President

  

 Pregis Credit Agreement 
  
 3 

 Other Initial Lenders 
  

			
	 LEHMAN BROTHERS COMMERCIAL
     PAPER INC., as an Initial Lender

		
	 By
	 	 /s/ Jeffry Alt

	 Name:
	 	Jeffry Alt
	 Title:
	 	Authorized Signatory
	
	 JPMORGAN CHASE BANK, N.A., as an
     Initial Lender

		
	 By
	 	 /s/ Christopher C. Cavaiani

		
	 Name:
	 	Christopher C. Cavaiani
	 Title:
	 	Vice President
	
	 ALLIED IRISH BANKS PLC

		
	 By
	 	 /s/ Roisin O’Connell

	 Name:
	 	Roisin O’Connell
	 Title:
	 	Vice President
		
	 By
	 	 /s/ Joseph S. Augustini

	 Name:
	 	Joseph S. Augustini
	 Title:
	 	Vice President
	
	 Commerzbank AG, New York and Grand
     Cayman Branches

		
	By	 	 /s/ Isabel S. Zeissig

	Name:	 	Isabel S. Zeissig
	Title:	 	Vice President
		
	By	 	 /s/ Charles W. Polet

	Name:	 	Charles W. Polet
	Title:	 	Assistant Treasurer
	
	 CIT LENDING SERVICES
     CORPORATION

		
	By	 	 /s/ David M. Harnisch

	Name:	 	David M. Harnisch
	Title:	 	Authorized Signatory

			
	 CIT LENDING SERVICES INC., as
     Document Agent

		
	By	 	 /s/ David M. Harnisch

	Name:	 	David M. Harnisch
	Title:	 	Authorized Signatory

  

 Pregis Credit Agreement 
  
 2First Lien Security Agreement

 EXHIBIT 10.2 
  
 FIRST LIEN SECURITY AGREEMENT 
  

Dated October 12, 2005 
  
 From 
  
 The Grantors referred to herein  
  
 as Grantors  
  
 to

  
 CREDIT SUISSE 
  
 as Collateral Agent 

 T A B L E O F C O N T
E N T S 
  

			
	 Section

	  	Page

	 Section 1. Grant of Security
	  	2
		
	 Section 2. Security for Obligations
	  	7
		
	 Section 3. Grantors Remain Liable
	  	7
		
	 Section 4. Delivery and Control of Security Collateral
	  	8
		
	 Section 5. Maintaining the Account Collateral
	  	9
		
	 Section 6. Investing of Amounts in the Collateral Account
	  	9
		
	 Section 7. Release of Amounts
	  	9
		
	 Section 8. Representations and Warranties
	  	10
		
	 Section 9. Further Assurances
	  	14
		
	 Section 10. As to Equipment and Inventory
	  	15
		
	 Section 11. Insurance
	  	15
		
	 Section 12. Post-Closing Changes; Collections on Assigned Agreements, Receivables and Related Contracts
	  	17
		
	 Section 13. As to Intellectual Property Collateral
	  	18
		
	 Section 14. Voting Rights; Dividends; Etc.
	  	19
		
	 Section 15. As to the Assigned Agreements
	  	20
		
	 Section 16. As to Letter-of-Credit Rights
	  	21
		
	 Section 17. Commercial Tort Claims
	  	21
		
	 Section 18. Transfers and Other Liens; Additional Shares
	  	21
		
	 Section 19. Collateral Agent Appointed Attorney in Fact
	  	21
		
	 Section 20. Collateral Agent May Perform
	  	22
		
	 Section 21. The Collateral Agent’s Duties
	  	22
		
	 Section 22. Remedies
	  	23
		
	 Section 23. Indemnity and Expenses
	  	25
		
	 Section 24. Amendments; Waivers; Additional Grantors; Etc.
	  	26

  
 Pregis Security
Agreement 

			
	 Section 25. Notices, Etc.
	  	26
		
	 Section 26. Continuing Security Interest; Assignments under the Credit Agreement
	  	26
		
	 Section 27. Release; Termination
	  	27
		
	 Section 28. Execution in Counterparts
	  	27
		
	 Section 29. Governing Law
	  	27

  
 Schedules 
  

					
	 Schedule I
	 	    -    	 	Investment Property
	 Schedule II
	 	-	 	Pledged Deposit Accounts
	 Schedule III
	 	-	 	Assigned Agreements
	 Schedule IV
	 	-	 	Intellectual Property
	 Schedule V
	 	-	 	Commercial Tort Claims
	 Schedule VI
	 	-	 	Location, Chief Executive Office, Type of Organization, Jurisdiction of Organization and Organizational Identification Number
	 Schedule VII
	 	-	 	Changes in Name, Location, Etc.
	 Schedule VIII
	 	-	 	Locations of Equipment and Inventory
	 Schedule IX
	 	-	 	Letters of Credit
			
	 Exhibits
	 	 	 	 
			
	Exhibit A	 	-	 	Form of Intellectual Property Security Agreement
	Exhibit B	 	-	 	Form of Intellectual Property Security Agreement Supplement
	Exhibit C	 	-	 	Form of Security Agreement Supplement

  
 Pregis Security
Agreement 
  

 ii 

 FIRST LIEN SECURITY AGREEMENT 
  
 FIRST LIEN SECURITY AGREEMENT dated October 12, 2005 (this “Agreement”) made by PREGIS
CORPORATION, a Delaware corporation (the “Borrower”) and the other Persons listed on the signature pages hereof (the Borrower and the Persons so listed being, collectively, the “Grantors”), to CREDIT
SUISSE, as collateral agent (in such capacity, together with any successor collateral agent appointed pursuant to Article VII of the Credit Agreement (as hereinafter defined), the “Collateral Agent”) for the Secured Parties
(as defined in the Credit Agreement). 
  
 PRELIMINARY
STATEMENTS. 
  
 (1) The Borrower has entered into a Credit
Agreement dated as of October 12, 2005 (said Agreement, as it may hereafter be amended, amended and restated, supplemented or otherwise modified from time to time, being the “Credit Agreement”) with Pregis Holding
Corporation, as parent guarantor, the subsidiary guarantors referred to therein, the Lender Parties and the Agents (each as defined therein). 
  
 (2) The Grantors have also granted to the Trustee for the holders of the Floating Rate Notes (as defined in the Credit Agreement) a second-priority
security interest in the Collateral (as hereinafter defined), subject to certain exceptions, which is second in priority to the security interest granted hereunder, pursuant to the terms of the Intercreditor Agreement referred to in the Credit
Agreement. 
  
 (3) Each Grantor is the owner of the shares of
stock or other Equity Interests (the “Initial Pledged Equity”) set forth opposite such Grantor’s name on and as otherwise described in Part I of Schedule I hereto and issued by the Persons named therein and of the
indebtedness (the “Initial Pledged Debt”) set forth opposite such Grantor’s name on and as otherwise described in Part II of Schedule I hereto and issued by the obligors named therein. 
  
 (4) Each Grantor is the owner of the deposit accounts (the
“Pledged Deposit Accounts”) set forth opposite such Grantor’s name on Schedule II hereto. 
  
 (5) The Borrower is the owner of a letter of credit cash collateral account with the Administrative Agent or another bank (the “L/C Cash
Collateral Account”) as set forth on Schedule IX hereto. 
  
 (6) The Borrower and the Grantors may from time to time own securities accounts which will be subject to the terms of this Agreement (the “Securities Accounts”). 
  
 (7) It is a condition precedent to the making of Advances and the issuance of
Letters of Credit by the Lender Parties under the Credit Agreement and the entry into Secured Hedge Agreements by the Hedge Banks from time to time that the Grantors shall have granted the security interest contemplated by this Agreement. Each
Grantor will derive substantial direct and indirect benefit from the transactions contemplated by the Loan Documents. 
  
 (8) Terms defined in the Credit Agreement and not otherwise defined in this Agreement are used in this Agreement as defined in the Credit Agreement.
Further, unless 
  

 Pregis Security Agreement 

 otherwise defined in this Agreement or in the Credit Agreement, terms defined in Article 8 or 9 of the UCC (as defined
below) are used in this Agreement as such terms are defined in such Article 8 or 9. “UCC” means the Uniform Commercial Code as in effect from time to time in the State of New York; provided that, if perfection or the
effect of perfection or non perfection or the priority of the security interest in any Collateral is governed by the Uniform Commercial Code as in effect in a jurisdiction other than the State of New York, “UCC” means the
Uniform Commercial Code as in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating to such perfection, effect of perfection or non perfection or priority. 
  
 NOW, THEREFORE, in consideration of the premises and in order to induce the
Lender Parties to make Advances and issue Letters of Credit under the Credit Agreement and to induce the Hedge Banks to enter into Secured Hedge Agreements from time to time, each Grantor hereby agrees with the Collateral Agent for the ratable
benefit of the Secured Parties as follows: 
  
 Section 1.
Grant of Security. Each Grantor hereby grants to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in such Grantor’s right, title and interest in and to the following, in each case, as to each type
of property described below, whether now owned or hereafter acquired by such Grantor, wherever located, and whether now or hereafter existing or arising (collectively, the “Collateral”): 
  
 (a) all equipment in all of its forms, including, without
limitation, all machinery, tools, motor vehicles, vessels, aircraft, furniture and fixtures, and all parts thereof and all accessions thereto, including, without limitation, computer programs and supporting information that constitute equipment
within the meaning of the UCC (any and all such property being the “Equipment”); 
  
 (b) all inventory in all of its forms, including, without limitation, (i) all raw materials, work in process, finished goods and
materials used or consumed in the manufacture, production, preparation or shipping thereof, (ii) goods in which such Grantor has an interest in mass or a joint or other interest or right of any kind (including, without limitation, goods in
which such Grantor has an interest or right as consignee) and (iii) goods that are returned to or repossessed or stopped in transit by such Grantor), and all accessions thereto and products thereof and documents therefor, including, without
limitation, computer programs and supporting information that constitute inventory within the meaning of the UCC (any and all such property being the “Inventory”); 
  
 (c) all accounts (including, without limitation,
health-care-insurance receivables), chattel paper (including, without limitation, tangible chattel paper and electronic chattel paper), instruments (including, without limitation, promissory notes), deposit accounts, letter-of-credit rights, general
intangibles (including, without limitation, payment intangibles) and other obligations of any kind, whether or not arising out of or in connection with the sale or lease of goods or the rendering of services and whether or not earned by performance,
and all rights now or hereafter existing in and to all supporting obligations and in and to all security agreements, mortgages, Liens, leases, letters of credit and other contracts securing or otherwise relating to the foregoing property (any and
all of such accounts, chattel paper, instruments, deposit accounts, letter-of-credit 
  

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 rights, general intangibles and other obligations, to the extent not referred to in clause (d), (e) or
(f) below, being the “Receivables,” and any and all such supporting obligations, security agreements, mortgages, Liens, leases, letters of credit and other contracts being the “Related
Contracts”); 
  
 (d) the following (the
“Security Collateral”): 
  
 (i) the Initial Pledged Equity and the certificates, if any, representing the Initial Pledged Equity, and all dividends, distributions, return of capital, cash, instruments and other property from time to time received, receivable or
otherwise distributed in respect of or in exchange for any or all of the Initial Pledged Equity and all warrants, rights or options issued thereon or with respect thereto; 
  
 (ii) the Initial Pledged Debt and the instruments, if any, evidencing the Initial Pledged Debt, and all
interest, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of the Initial Pledged Debt; 
  
 (iii) all additional shares of stock and other Equity Interests from time to time acquired by such Grantor
in any manner (such shares and other Equity Interests, together with the Initial Pledged Equity, being the “Pledged Equity”), and the certificates, if any, representing such additional shares or other Equity Interests, and
all dividends, distributions, return of capital, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of such shares or other Equity Interests and all
warrants, rights or options issued thereon or with respect thereto; 
  
 (iv) all additional indebtedness from time to time owed to such Grantor (such indebtedness, together with the Initial Pledged Debt, being the “Pledged Debt”) and the instruments, if any,
evidencing such indebtedness, and all interest, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of such indebtedness; 
  
 (v) the Securities Accounts, all security entitlements with
respect to all financial assets from time to time credited to any Securities Account, and all financial assets, and all dividends, distributions, return of capital, interest, cash, instruments and other property from time to time received,
receivable or otherwise distributed in respect of or in exchange for any or all of such security entitlements or financial assets and all warrants, rights or options issued thereon or with respect thereto; and 
  
 (vi) except for property excluded by the proviso to clause
(iii) above, all other investment property (including, without limitation, all (A) securities, whether certificated or uncertificated, (B) security entitlements, (C) securities accounts, (D) commodity contracts and
(E) commodity accounts) in which such 
  

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 Grantor has now, or acquires from time to time hereafter, any right, title or interest in any manner, and
the certificates or instruments, if any, representing or evidencing such investment property, and all dividends, distributions, return of capital, interest, cash, instruments and other property from time to time received, receivable or otherwise
distributed in respect of or in exchange for any or all of such investment property and all warrants, rights or options issued thereon or with respect thereto; 
  

(e) each of the agreements listed on Schedule III hereto and each Hedge Agreement to which such Grantor is now or may hereafter become
a party, in each case as such agreements may be amended, amended and restated, supplemented or otherwise modified from time to time (collectively, the “Assigned Agreements”), including, without limitation, (i) all rights
of such Grantor to receive moneys due and to become due under or pursuant to the Assigned Agreements, (ii) all rights of such Grantor to receive proceeds of any insurance, indemnity, warranty or guaranty with respect to the Assigned Agreements,
(iii) claims of such Grantor for damages arising out of or for breach of or default under the Assigned Agreements and (iv) the right of such Grantor to terminate the Assigned Agreements, to perform thereunder and to compel performance and
otherwise exercise all remedies thereunder (all such Collateral being the “Agreement Collateral”); 
  
 (f) the following (collectively, the “Account Collateral”): 
  
 (i) the Pledged Deposit Accounts, the L/C Cash Collateral
Account and all funds and financial assets from time to time credited thereto (including, without limitation, all Cash Equivalents), and all certificates and instruments, if any, from time to time representing or evidencing the Pledged Deposit
Accounts or the L/C Cash Collateral Account; 
  
 (ii) all promissory notes, certificates of deposit, checks and other instruments from time to time delivered to or otherwise possessed by the Collateral Agent for or on behalf of such Grantor in substitution for or in addition to any or all
of the then existing Account Collateral; and 
  
 (iii) all interest, dividends, distributions, cash, instruments and other property from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of the then existing Account Collateral;

  
 (g) the following (collectively, the
“Intellectual Property Collateral”): 
  
 (i) all patents, patent applications, utility models and statutory invention registrations, all inventions claimed or disclosed therein and all improvements thereto (“Patents”); 
  
 (ii) all trademarks, service marks, domain names, trade
dress, logos, designs, slogans, trade names, business names, corporate names and other source identifiers, whether registered or unregistered (provided that no security interest shall be granted in United States intent-to-use trademark applications
to the extent that, and solely during the period in which, the grant of a security interest therein 
  

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 would impair the validity or enforceability of such intent-to-use trademark applications under applicable
federal law), together, in each case, with the goodwill symbolized thereby (“Trademarks”); 
  
 (iii) all copyrights, including, without limitation, copyrights in Computer Software (as hereinafter defined), internet web sites and the
content thereof, whether registered or unregistered (“Copyrights”); 
  
 (iv) all computer software, programs and databases (including, without limitation, source code, object code and all related applications
and data files), firmware and documentation and materials relating thereto, together with any and all maintenance rights, service rights, programming rights, hosting rights, test rights, improvement rights, renewal rights and indemnification rights
and any substitutions, replacements, improvements, error corrections, updates and new versions of any of the foregoing (“Computer Software”); 
  
 (v) all confidential and proprietary information, including, without limitation, know-how, trade secrets,
manufacturing and production processes and techniques, inventions, research and development information, databases and data, including, without limitation, technical data, financial, marketing and business data, pricing and cost information,
business and marketing plans and customer and supplier lists and information (collectively, “Trade Secrets”), and all other intellectual, industrial and intangible property of any type, including, without limitation,
industrial designs and mask works; 
  
 (vi) all
registrations and applications for registration for any of the foregoing, including, without limitation, those registrations and applications for registration of Intellectual Property owned by any Grantor set forth in Schedule IV hereto, together
with all reissues, divisions, continuations, continuations-in-part, extensions, renewals and reexaminations thereof; 
  
 (vii) all tangible embodiments of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights
corresponding thereto throughout the world and all other rights of any kind whatsoever of such Grantor accruing thereunder or pertaining thereto; 
  
 (viii) all agreements, permits, consents, orders and franchises relating to the license, development, use or disclosure of any of the
foregoing to which such Grantor, now or hereafter, is a party or a beneficiary, including, without limitation, the agreements set forth in Schedule IV hereto (“IP Agreements”); and 
  
 (ix) any and all claims for damages and injunctive relief
for past, present and future infringement, dilution, misappropriation, violation, misuse or breach with respect to any of the foregoing, with the right, but not the obligation, to sue for and collect, or otherwise recover, such damages; 

 
 provided that, notwithstanding anything in this clause (g) to the contrary, in
no event shall the security interest granted pursuant to this clause (g) attach to any license, contract or agreement 
  

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 relating to any intellectual property (including, without limitation, United States intent-to-use trademark applications)
to which any Grantor is a party, or any of its rights or interests thereunder, to the extent that the grant of such security interest shall constitute or result in the abandonment, invalidation, unenforceability, or impairment or any right, title or
interest of any Grantor in and to such intellectual property; 
  
 (h) the commercial tort claims described in Schedule V hereto (together with any commercial tort claims as to which the Grantors have complied with the requirements of Section 17, the “Commercial Tort
Claims Collateral”); 
  
 (i) all
books and records (including, without limitation, customer lists, credit files, printouts and other computer output materials and records) of such Grantor pertaining to any of the Collateral; and 
  
 (j) all proceeds of, collateral for, income, royalties and
other payments now or hereafter due and payable with respect to, and supporting obligations relating to, any and all of the Collateral (including, without limitation, proceeds, collateral and supporting obligations that constitute property of the
types described in clauses (a) through (i) of this Section 1) and, to the extent not otherwise included, all (A) payments under insurance (whether or not the Collateral Agent is the loss payee thereof), or any indemnity, warranty
or guaranty, payable by reason of loss or damage to or otherwise with respect to any of the foregoing Collateral, and (B) cash. 
  
 Notwithstanding the foregoing, “Collateral” shall not include: 
  
 (1) Excluded Contracts (as defined below); 
  
 (2) Excluded Equipment (as defined below); or 
  
 (3) any Equity Interests in any Subsidiary that is a CFC (a “CFC Subsidiary”) acquired, owned, or
otherwise held by any Grantor, in each case, that, when aggregated with all of the other shares of stock in such Subsidiary, as applicable, pledged by such Grantor, would result in more than 66% of the shares of stock in such CFC Subsidiary entitled
to vote (within the meaning of Treasury Regulation Section 1.956-2(c)(2) promulgated under the Code) (the “Voting Foreign Stock”) being pledged to the Collateral Agent for the benefit of the Secured Parties under this
Agreement, unless no material adverse tax consequence would result from such pledge; provided, further that all of the shares of stock or units or other Equity Interests in such CFC Subsidiary not entitled to vote (within the
meaning of Treasury Regulation Section 1.956-2(c)(2) promulgated under the Code (the “Non-Voting Foreign Stock”) shall in any event be pledged by such Grantor; provided however, that only an aggregate of 66% of
any of the convertible preferred equity certificates in Pregis (Luxembourg) Holding S.a.r.l. held by all Grantors shall be pledged so long as such certificates cannot be transferred separate from the corresponding shares of Voting Foreign Stock
issued by Pregis (Luxembourg) Holdings S.a.r.l. 
  
 “Excluded Contract” means any right or interest of any Grantor in, to or under any agreement, contract, license, instrument, document or other general intangible (referred to solely for purposes of this definition as
a “Contract”) to the extent that (a) (i) such Contract (by the express terms of a valid and enforceable restriction in favor of a Person who is not a Grantor 
  

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 or an Affiliate of a Grantor) or (ii) any requirement of law, in each case, prohibits, or requires any consent or
establishes any other condition (that cannot be satisfied through the use of commercially reasonable efforts) for a grant of a security interest therein by the applicable Grantor and (b) (i) a contravention or other violation of such
Contract caused by the inclusion of such Contract as Collateral could reasonably be expected to have a Material Adverse Effect, and the Borrower has so indicated on Schedule X to this Agreement or (ii) such Contract, individually and when taken
together with all other Excluded Contracts, is not material to the conduct of the business of the Borrower and its Subsidiaries, taken as a whole; provided that no such Contract shall constitute an Excluded Contract to the extent that any of
Sections 9-406, 9-407, 9-408 or 9-409 of the UCC (or any similar statute or successor provision or provisions) renders the provisions of such Contract described in clause (a)(i) above unenforceable. 
  
 “Excluded Equipment” means at any time any equipment
of any Grantor that at such time is subject to a Capitalized Lease permitted under Section 5.02(b)(iii) of the Credit Agreement or a lien securing purchase money indebtedness permitted under Section 5.02(b)(ii) of the Credit Agreement, if
and to the extent that (a) the express terms of a valid and enforceable restriction in favor of a Person who is not a Grantor or an Affiliate of a Grantor contained in the agreements or documents granting or governing such Capitalized Lease or
such purchase money indebtedness prohibits, or requires any consent or establishes any other condition (that cannot be satisfied through the use of commercially reasonable efforts) for the grant of a security interest therein by the applicable
Grantor and (b) such restriction relates only to the asset or assets acquired by the Grantor with the proceeds of such Capitalized Lease or purchase money indebtedness and attachments thereto or substitutions therefor; provided that all
proceeds paid or payable to any Grantor from any sale, transfer or assignment or other voluntary or involuntary disposition of such equipment and all right to receive such proceeds shall be included in the Collateral to the extent not otherwise
required to be paid to the lessor in respect of such Capitalized Lease or the holder of such purchase money indebtedness secured by such equipment. 
  
 Section 2. Security for Obligations. This Agreement secures, in the case of each Grantor, the payment of all Obligations of such Grantor now
or hereafter existing under the Loan Documents, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest, fees, premiums, penalties, indemnifications, contract causes of action, costs,
expenses or otherwise (all such Obligations being the “Secured Obligations”). Without limiting the generality of the foregoing, this Agreement secures, as to each Grantor, the payment of all amounts that constitute part of
the Secured Obligations and would be owed by such Grantor to any Secured Party under the Loan Documents but for the fact that they are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding
involving a Loan Party. 
  
 Section 3. Grantors Remain
Liable. Anything herein to the contrary notwithstanding, (a) each Grantor shall remain liable under the contracts and agreements included in such Grantor’s Collateral to the extent set forth therein to perform all of its duties and
obligations thereunder to the same extent as if this Agreement had not been executed, (b) the exercise by the Collateral Agent of any of the rights hereunder shall not release any Grantor from any of its duties or obligations under the
contracts and agreements included in the Collateral and (c) no Secured Party shall have any obligation or liability under the contracts and agreements 
  

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 included in the Collateral by reason of this Agreement or any other Loan Document, nor shall any Secured Party be
obligated to perform any of the obligations or duties of any Grantor thereunder or to take any action to collect or enforce any claim for payment assigned hereunder. 
  
 Section 4. Delivery and Control of Security Collateral. (a) All certificates or instruments representing or
evidencing Security Collateral (other than certificates and instruments referred to in Section 1(d)(vi) that do not represent Equity Interests of Subsidiaries and do not represent Security Collateral with a value in excess of $1,000,000 for any
individual item of Security Collateral or $5,000,000 in the aggregate for all Security Collateral) shall be delivered to and held by or on behalf of the Collateral Agent pursuant hereto and shall be in suitable form for transfer by delivery, or
shall be accompanied by duly executed instruments of transfer or assignment in blank, all in form and substance satisfactory to the Collateral Agent. The Collateral Agent shall have the right at any time to exchange certificates or instruments
representing or evidencing Security Collateral for certificates or instruments of smaller or larger denominations. 
  
 (b) With respect to any Security Collateral that constitutes an uncertificated security, the relevant Grantor will cause the issuer thereof either
(i) to register the Collateral Agent as the registered owner of such security or (ii) to agree with such Grantor and the Collateral Agent that such issuer will comply with instructions with respect to such security originated by the
Collateral Agent without further consent of such Grantor, such agreement to be in form and substance satisfactory to the Collateral Agent (such agreement being an “Uncertificated Security Control Agreement”). 
  
 (c) With respect to any Securities Account and any Security Collateral that
constitutes a security entitlement as to which the financial institution acting as Collateral Agent hereunder is not the securities intermediary, the relevant Grantor will cause the securities intermediary with respect to such Account or security
entitlement either (i) to identify in its records the Collateral Agent as the entitlement holder thereof or (ii) to agree with such Grantor and the Collateral Agent that such securities intermediary will comply with entitlement orders
originated by the Collateral Agent without further consent of such Grantor, such agreement to be in form and substance satisfactory to the Collateral Agent (a “Securities Account Control Agreement”). 
  
 (d) Upon the occurrence and during the continuance of an Event of Default,
the Collateral Agent shall have the right, at any time in its discretion and without notice to any Grantor, to transfer to or to register in the name of the Collateral Agent or any of its nominees any or all of the Security Collateral, subject only
to the revocable rights specified in Section 14(a). In addition, upon the occurrence and during the continuance of an Event of Default, the Collateral Agent shall have the right at any time to convert Security Collateral consisting of financial
assets credited to any Securities Account to Security Collateral consisting of financial assets held directly by the Collateral Agent, and to convert Security Collateral consisting of financial assets held directly by the Collateral Agent to
Security Collateral consisting of financial assets credited to any Securities Account. 
  
 (e) Upon the request of the Collateral Agent following the occurrence and during the continuance of an Event of Default, each Grantor will notify each issuer of Security Collateral granted by it hereunder that such
Security Collateral is subject to the security interest granted hereunder. 
  

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 Section 5. Maintaining the Account Collateral. So long as any Advance or any other Obligation
of any Loan Party under any Loan Document shall remain unpaid, any Letter of Credit shall be outstanding, any Secured Hedge Agreement shall be in effect or any Lender Party shall have any Commitment: 
  
 (a) The Collateral Agent shall have sole right to direct the
disposition of funds with respect to the L/C Cash Collateral Account; and it shall be a term and condition of the L/C Cash Collateral Account, notwithstanding any term or condition to the contrary in any other agreement relating to the L/C Cash
Collateral Account, that no amount (including, without limitation, interest on Cash Equivalents credited thereto) will be paid or released to or for the account of, or withdrawn by or for the account of, the Borrower or any other Person from the L/C
Cash Collateral Account. 
  
 (b) Each Grantor
will maintain deposit accounts (other than deposit accounts (“Excluded Deposit Accounts”) that do not at any time contain balances in excess of $1,000,000 for any individual Excluded Deposit Account or $5,000,000 in the
aggregate for all Excluded Deposit Accounts) only with the financial institution acting as Collateral Agent hereunder or with a bank (a “Pledged Account Bank”) that has agreed with such Grantor and the Collateral Agent to
comply with instructions originated by the Collateral Agent directing the disposition of funds in such deposit account without the further consent of such Grantor, such agreement to be substantially in form and substance satisfactory to the
Collateral Agent (a “Deposit Account Control Agreement”). 
  
 (c) The Collateral Agent may, at any time and without notice to, or consent from, the applicable Grantor, transfer, or direct the transfer
of, funds from the Pledged Deposit Accounts or the L/C Cash Collateral Account to satisfy such Grantor’s obligations under the Loan Documents if an Event of Default shall have occurred and be continuing. 
  
 Section 6. Investing of Amounts in the Collateral Account. The
Collateral Agent will, subject to the provisions of Sections 5, 7 and 22, from time to time (a) invest, or direct the applicable Pledged Account Bank to invest, amounts received with respect to the L/C Cash Collateral Account in such Cash
Equivalents credited to the L/C Cash Collateral Account as the Borrower may select and the Collateral Agent may approve, and (b) invest interest paid on the Cash Equivalents referred to in clause (a) above, and reinvest other proceeds of
any such Cash Equivalents that may mature or be sold, in each case in such Cash Equivalents credited in the same manner. Interest and proceeds that are not invested or reinvested in Cash Equivalents as provided above shall be deposited and held in
the L/C Cash Collateral Account. In addition, the Collateral Agent shall have the right at any time to exchange, or direct the applicable Pledged Account Bank to exchange, such Cash Equivalents for similar Cash Equivalents of smaller or larger
determinations, or for other Cash Equivalents, credited to the L/C Cash Collateral Account. 
  
 Section 7. Release of Amounts. So long as no Default under Section 6.01(a) or (f) of the Credit Agreement or Event of Default shall have occurred and be continuing, the 
  

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 Collateral Agent will pay and release, or direct the applicable Pledged Account Bank to pay and release, to the
applicable Grantor or at its order or, at the request of such Grantor, to the Administrative Agent to be applied to the Obligations of the Grantors under the Loan Documents, such amount, if any, as is then on deposit in the L/C Cash Collateral
Account to the extent it exceeds 100% of the aggregate Available Amount of all outstanding Letters of Credit. 
  
 Section 8. Representations and Warranties. Each Grantor represents and warrants as follows: 
  
 (a) Such Grantor’s exact legal name, location, chief
executive office, type of organization, jurisdiction of organization and organizational identification number is set forth in Schedule VI hereto. Except as noted on Schedule VI hereto, within the five years preceding the date hereof, such Grantor
has not changed its name, location, chief executive office, type of organization, jurisdiction of organization or organizational identification number from those set forth in Schedule VI hereto except as set forth in Schedule VII hereto. 

 
 (b) Such Grantor is the legal and beneficial owner of the
Collateral granted or purported to be granted by it free and clear of any Lien, claim, option or right of others, except for the security interest created under this Agreement or Liens permitted under the Credit Agreement. No effective financing
statement or other instrument similar in effect covering all or any part of such Collateral or listing such Grantor or any trade name of such Grantor as debtor is on file in any recording office, except such as may have been filed in favor of the
Collateral Agent relating to the Loan Documents or as otherwise permitted under the Credit Agreement. 
  
 (c) All of the Equipment and Inventory of such Grantor (other than Equipment and Inventory the aggregate value of which does not exceed
$5,000,000) are located at the places specified therefor in Schedule VIII hereto or at another location as to which such Grantor has complied with the requirements of Section 10(a). Within the five years preceding the date hereof, such Grantor
has not changed the location of its Equipment or Inventory except as set forth in Schedule VII hereto. Such Grantor has exclusive possession and control of its Equipment and Inventory, other than Inventory stored at any leased premises or warehouse
for which a landlord’s or warehouseman’s agreement, in form and substance satisfactory to the Collateral Agent, is in effect. 
  
 (d) None of the Receivables or Agreement Collateral is evidenced by a promissory note or other instrument that has not been delivered to
the Collateral Agent. 
  
 (e) If such Grantor is
an issuer of Security Collateral, such Grantor confirms that it has received notice of the security interest granted hereunder. 
  
 (f) The Pledged Equity pledged by such Grantor hereunder has been duly authorized and validly issued and is fully paid and non assessable.
The Pledged Debt pledged by such Grantor hereunder has been duly authorized, authenticated or issued and delivered, is the legal, valid and binding obligation of the issuers thereof (except as enforceability may be limited by bankruptcy, insolvency,
reorganization, moratorium or 
  

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 similar laws affecting creditors’ rights generally or by equitable principles relating to
enforceability), is evidenced by one or more promissory notes (which promissory notes have been delivered to the Collateral Agent to the extent required by this Agreement) and is not in default. 
  
 (g) The Initial Pledged Equity pledged by such Grantor
constitutes the percentage of the issued and outstanding Equity Interests of the issuers thereof indicated on Schedule I hereto. The Initial Pledged Debt constitutes all of the outstanding indebtedness owed to such Grantor by the issuers thereof and
is outstanding in the principal amount indicated on Schedule I hereto. 
  
 (h) Such Grantor has no investment property, other than the investment property listed on Schedule I hereto and additional investment property as to which such Grantor has complied with the requirements of
Section 4. 
  
 (i) The Assigned Agreements
to which such Grantor is a party, true and complete copies of which (other than the Hedge Agreements) have been furnished to the Collateral Agent, have been duly authorized, executed and delivered by all parties thereto, have not been amended,
amended and restated, supplemented or otherwise modified, are in full force and effect and are binding upon and enforceable against all parties thereto in accordance with their terms, except as enforceability may be limited by bankruptcy,
insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally or by equitable principles relating to enforceability. To the best of such Grantor’s knowledge, there exists no default under any Assigned
Agreement to which such Grantor is a party by any party thereto. Each party to the Assigned Agreements listed on Schedule III hereto to which such Grantor is a party other than the Grantors has executed and delivered to such Grantor a consent, in
form and substance satisfactory to the Collateral Agent, to the grant of a security interest in such Assigned Agreement to the Collateral Agent pursuant to this Agreement. 
  
 (j) Such Grantor has no deposit accounts, other than the Pledged Deposit Accounts listed on Schedule II
hereto and additional Pledged Deposit Accounts as to which such Grantor has complied with the applicable requirements of Section 5. 
  
 (k) Such Grantor is not a beneficiary or assignee under any letter of credit, other than the letters of credit described in Schedule IX
hereto and additional letters of credit as to which such Grantor has complied with the requirements of Section 16. 
  
 (l) This Agreement creates in favor of the Collateral Agent for the benefit of the Secured Parties a valid security interest in the
Collateral granted by such Grantor, securing the payment of the Secured Obligations; unless not required pursuant to Section 21(c), all filings and other actions (including, without limitation, (A) actions necessary to obtain control of
Collateral as provided in Sections 9-104, 9-105, 9-106 and 9-107 of the UCC and (B) actions necessary to perfect the Collateral Agent’s security interest with respect to Collateral evidenced by a certificate of title) necessary to perfect
the security interest in the Collateral granted by such Grantor have been duly made or taken (subject to the filing of UCC financing statements delivered to the Agent) and are in full force and 
  

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 effect; and such perfected security interest is first priority, subject only to Permitted Liens and Liens
permitted under clauses (iii) and (vi) of Section 5.02(a) of the Credit Agreement. 
  
 (m) No authorization or approval or other action by, and no notice to or filing with, any governmental authority or regulatory body or any
other third party is required for (i) the grant by such Grantor of the security interest granted hereunder or for the execution, delivery or performance of this Agreement by such Grantor, (ii) the perfection or maintenance of the security
interest created hereunder (including the first priority nature of such security interest), except for the filing of financing and continuation statements under the UCC, which financing statements have been duly filed and are in full force and
effect, the recordation of the Intellectual Property Security Agreements referred to in Section 13(f) with the U.S. Patent and Trademark Office and the U.S. Copyright Office, which Agreements have on the date hereof been delivered to the
Collateral Agent in proper form for filing, and the actions described in Section 4 with respect to the Security Collateral, which actions have been taken and are in full force and effect, or (iii) the exercise by the Collateral Agent of
its voting or other rights provided for in this Agreement or the remedies in respect of the Collateral pursuant to this Agreement, except as may be required in connection with the disposition of any portion of the Security Collateral by laws
affecting the offering and sale of securities generally. 
  
 (n) The Inventory that has been produced or distributed by such Grantor has been produced in compliance in all material respects with all requirements of applicable law, including, without limitation, the Fair Labor
Standards Act. 
  
 (o) As to itself and its
Intellectual Property Collateral: 
  
 (i) Subject
to the matters set forth in Schedule IV, to such Grantor’s knowledge, the operation of such Grantor’s business as currently conducted or as contemplated to be conducted and the use of the Intellectual Property Collateral in connection
therewith do not conflict with, infringe, misappropriate, dilute, misuse or otherwise violate the intellectual property rights of any third party. 
  
 (ii) Such Grantor is the exclusive owner of all right, title and interest in and to the Intellectual Property Collateral, and is entitled
to use all Intellectual Property Collateral subject only to the terms of the IP Agreements. 
  
 (iii) The Intellectual Property Collateral set forth on Schedule IV hereto includes all of the patents, patent applications, domain names,
trademark registrations and applications, copyright registrations and applications and IP Agreements (other than licenses of software commercially available for an annual license fee of no more than $25,000) owned by such Grantor as of the date
hereof. 
  
 (iv) To such Grantor’s
knowledge, the registered Intellectual Property Collateral is subsisting and has not been adjudged invalid or unenforceable in whole or part, and to the best of such Grantor’s knowledge, is valid and enforceable, except that such Grantor makes
no representation regarding those 
  

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 items marked as “inactive” on Schedule IV. Such Grantor is not aware of any uses of any item of
Intellectual Property Collateral that could be expected to lead to such item becoming invalid or unenforceable. 
  
 (v) Such Grantor has made or performed all filings, recordings and other acts and has paid all required fees and taxes to maintain and
protect its interest in each and every item of registered Intellectual Property Collateral in full force and effect throughout the world, and to protect and maintain its interest therein including, without limitation, recordations of any of its
interests in the Patents and Trademarks with the U.S. Patent and Trademark Office and in corresponding national and international patent offices, and recordation of any of its interests in the Copyrights with the U.S. Copyright Office and in
corresponding national and international copyright offices, except that such Grantor makes no representation regarding those items marked as “inactive” on Schedule IV. 
  
 (vi) No claim, action, suit, investigation, litigation or proceeding has been asserted or is pending or, to
the knowledge of such Grantor, threatened against such Grantor (i) based upon or challenging or seeking to deny or restrict the Grantor’s rights in or use of any of the Intellectual Property Collateral, (ii) alleging that the
Grantor’s rights in or use of the Intellectual Property Collateral or that any services provided by, processes used by, or products manufactured or sold by, such Grantor infringe, misappropriate, dilute, misuse or otherwise violate any patent,
trademark, copyright or any other proprietary right of any third party, or (iii) alleging that the Intellectual Property Collateral is being licensed or sublicensed in violation or contravention of the terms of any license or other agreement.
To the knowledge of such Grantor, no Person is engaging in any activity that infringes, misappropriates, dilutes, misuses or otherwise violates the Intellectual Property Collateral or the Grantor’s rights in or use thereof. Subject to the
Transition Services Agreement, the consummation of the transactions contemplated by the Transaction Documents will not result in the termination or impairment of any of the Intellectual Property Collateral. 
  
 (vii) With respect to each IP Agreement: (A) such IP
Agreement is the legal, valid and binding obligation of such Grantor and is in full force and effect; (B) subject to the Transition Services Agreement, such IP Agreement will not cease to be valid and binding and in full force and effect on
terms identical to those currently in effect as a result of the rights and interest granted herein, nor will the grant of such rights and interest constitute a breach or default under such IP Agreement or otherwise give any party thereto a right to
terminate such IP Agreement; (C) such Grantor has not received any notice of a breach, violation or default under such IP Agreement, which breach, violation or default has not been cured; (D) such Grantor has not, other than in the
exercise of its reasonable business judgment, granted to any other third party any rights, adverse or otherwise, under such IP Agreement; and (E) neither such Grantor nor, to the knowledge of such Grantor, any other party to such IP Agreement
is in breach or default thereof in any material respect, and no event has occurred that, with notice or lapse of time or both, would constitute such a breach, violation or default under such IP Agreement. 
  

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 (viii) To the best of such Grantor’s knowledge, (A) none of the material Trade
Secrets of such Grantor has been used, divulged, disclosed or appropriated to the detriment of such Grantor for the benefit of any other Person other than such Grantor; (B) no employee, independent contractor or agent of such Grantor has
misappropriated any trade secrets of any other Person in the course of the performance of his or her duties as an employee, independent contractor or agent of such Grantor; and (C) no employee, independent contractor or agent of such Grantor is
in default or breach of any material term of any employment agreement, non-disclosure agreement, assignment of inventions agreement or similar agreement or contract relating in any way to the protection, ownership, development, use or transfer of
such Grantor’s material Intellectual Property Collateral. 
  
 Such Grantor has taken commercially reasonable measures to protect its rights in material trade secrets of unregistered proprietary information included in the Intellectual Property Collateral. 
  
 (p) Such Grantor has no commercial tort claims other than
those listed in Schedule V hereto and additional commercial tort claims as to which such Grantor has complied with the requirements of Section 17. 
  
 Section 9. Further Assurances. (a) Subject to Section 21(c) and Section 5, each Grantor agrees that from time to time, at the
expense of such Grantor, such Grantor will promptly execute and deliver, or otherwise authenticate, all further instruments and documents, and take all further action that may be necessary or desirable, or that the Collateral Agent may reasonably
request, in order to perfect and protect any pledge or security interest granted or purported to be granted by such Grantor hereunder or to enable the Collateral Agent to exercise and enforce its rights and remedies hereunder with respect to any
Collateral of such Grantor. Without limiting the generality of the foregoing, each Grantor will promptly with respect to Collateral of such Grantor: (i) mark conspicuously each chattel paper included in Receivables with a value in excess of
$1,000,000 and, at the reasonable request of the Collateral Agent, each of its records pertaining to such Collateral with a legend, in form and substance satisfactory to the Collateral Agent, indicating that such document, chattel paper, Related
Contract, Assigned Agreement or Collateral is subject to the security interest granted hereby; (ii) if any such Collateral shall be evidenced by a promissory note or other instrument or chattel paper, deliver and pledge to the Collateral Agent
hereunder such note or instrument or chattel paper (other than, unless an Event of Default has occurred and is continuing and the Collateral Agent has requested delivery thereof, notes, instruments and chattel paper the value of which does not in
the aggregate exceed $1,000,000 for any individual note, instrument or chattel paper and $5,000,000 in the aggregate for all such notes, instruments and chattel paper) duly indorsed and accompanied by duly executed instruments of transfer or
assignment, all in form and substance satisfactory to the Collateral Agent; (iii) file such financing or continuation statements, or amendments thereto, and such other instruments or notices, as may be necessary or desirable, or as the
Collateral Agent may request, in order to perfect and preserve the security interest granted 
  

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 or purported to be granted by such Grantor hereunder; (iv) at the request of the Collateral Agent during the
continuance of an Event of Default, take all action to ensure that the Collateral Agent’s security interest is noted on any certificate of title related to any Collateral evidenced by a certificate of title; and (v) deliver to the
Collateral Agent evidence that all other actions that the Collateral Agent may deem reasonably necessary or desirable in order to perfect and protect the security interest granted or purported to be granted by such Grantor under this Agreement has
been taken. 
  
 (b) Each Grantor hereby authorizes the Collateral
Agent to file one or more financing or continuation statements, and amendments thereto, including, without limitation, one or more financing statements indicating that such financing statements cover all assets or all personal property (or words of
similar effect) of such Grantor, regardless of whether any particular asset described in such financing statements falls within the scope of the UCC or the granting clause of this Agreement. A photocopy or other reproduction of this Agreement shall
be sufficient as a financing statement where permitted by law. Each Grantor ratifies its authorization for the Collateral Agent to have filed such financing statements, continuation statements or amendments filed prior to the date hereof.

  
 (c) Each Grantor will furnish to the Collateral Agent from
time to time statements and schedules further identifying and describing the Collateral of such Grantor and such other reports in connection with such Collateral as the Collateral Agent may reasonably request, all in reasonable detail. 

 
 Section 10. As to Equipment and Inventory. (a) Each
Grantor will keep its Equipment and Inventory (other than Inventory sold in the ordinary course of business and Equipment and Inventory the value of which does not exceed $5,000,000 in the aggregate) at the places therefor specified in
Section 8(c) or, upon prompt subsequent notice (which shall in any event be given within 30 days) to the Collateral Agent, at such other places designated by such Grantor in such notice. 
  
 (b) Each Grantor will cause its Equipment to be maintained and preserved in
the same condition, repair and working order as when new, ordinary wear and tear excepted, and will forthwith, or in the case of any loss or damage to any of such Equipment as soon as practicable after the occurrence thereof, make or cause to be
made all repairs, replacements and other improvements in connection therewith that are necessary or desirable to such end, except to the extent that failure to do so could not reasonably be expected to have a Material Adverse Effect. Each Grantor
will promptly furnish to the Collateral Agent a statement respecting any loss or damage exceeding $5,000,000 per occurrence to any of its Equipment or Inventory. 
  
 (c) In producing its Inventory, each Grantor will comply in all material respects with all requirements of applicable law,
including, without limitation, the Fair Labor Standards Act. 
  
 Section 11. Insurance. (a) Each Grantor will, at its own expense, maintain insurance with respect to its Equipment and Inventory in such amounts, against such risks, in such form and with such insurers, as shall be required
by the Credit Agreement. Each policy of each Grantor for liability insurance shall provide for all losses to be paid on behalf of the 
  

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 Collateral Agent and such Grantor as their interests may appear, and each policy for property damage insurance shall
provide for all losses (except for losses of less than $1,000,000 per occurrence) to be paid directly to the Collateral Agent. Each such policy shall in addition (i) name such Grantor and the Collateral Agent as insured parties thereunder
(without any representation or warranty by or obligation upon the Collateral Agent) as their interests may appear, (ii) contain the agreement by the insurer that any loss thereunder shall be payable to the Collateral Agent (to the extent
required to be payable hereunder) notwithstanding any action, inaction or breach of representation or warranty by such Grantor, (iii) provide that there shall be no recourse against the Collateral Agent for payment of premiums or other amounts
with respect thereto and (iv) provide that at least 10 days’ prior written notice of cancellation or of lapse shall be given to the Collateral Agent by the insurer. Each Grantor will, if so requested by the Collateral Agent, deliver to the
Collateral Agent original or duplicate policies of such insurance and, as often as the Collateral Agent may reasonably request, a report of a reputable insurance broker with respect to such insurance. Further, each Grantor will, at the request of
the Collateral Agent, duly execute and deliver instruments of assignment of such insurance policies to comply with the requirements of Section 10 and cause the insurers to acknowledge notice of such assignment. 
  
 (b) Reimbursement under any liability insurance maintained by any Grantor
pursuant to this Section 11 may be paid directly to the Person who shall have incurred liability covered by such insurance. In case of any loss involving damage to Equipment or Inventory when subsection (c) of this Section 11 is not
applicable, the applicable Grantor will make or cause to be made the necessary repairs to or replacements of such Equipment or Inventory, and any proceeds of insurance properly received by or released to such Grantor shall be used by such Grantor,
except as otherwise required hereunder or by the Credit Agreement, to pay or as reimbursement for the costs of such repairs or replacements. 
  
 (c) So long as no Event of Default shall have occurred and be continuing, all insurance payments received by the Collateral Agent in connection with any
loss, damage or destruction of any Inventory or Equipment will be released by the Collateral Agent to the applicable Grantor for the repair, replacement or restoration thereof, subject to such terms and conditions with respect to the release thereof
as the Collateral Agent may reasonably require. To the extent that (i) the amount of any such insurance payments exceeds the cost of any such repair, replacement or restoration, or (ii) such insurance payments are not otherwise required by
the applicable Grantor to complete any such repair, replacement or restoration required hereunder, the Collateral Agent will not be required to release the amount thereof to such Grantor and may hold or continue to hold such amount in a cash
collateral account as additional security for the Secured Obligations of such Grantor (except that the Collateral Agent will direct the applicable Pledged Account Bank to release to such Grantor any such amount if and to the extent that any
prepayment of Obligations is required under the Credit Agreement in connection with the receipt of such amount and such prepayment has been made). Upon the occurrence and during the continuance of any Event of Default or the actual or constructive
total loss (in excess of $100,000 per occurrence) of any Equipment or Inventory, all insurance payments in respect of such Equipment or Inventory shall be paid to the Collateral Agent and shall, in the Collateral Agent’s sole discretion,
(i) be released to the applicable Grantor to be applied as set forth in the first sentence of this subsection (c) or (ii) be held as additional Collateral hereunder or applied as specified in Section 22(b). 
  

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 Section 12. Post-Closing Changes; Collections on Assigned Agreements, Receivables and Related
Contracts. (a) No Grantor will change its name, type of organization, jurisdiction of organization, organizational identification number or location (within the meaning of Section 9-307 of the UCC) from those set forth in
Section 8(a) of this Agreement without giving prompt subsequent written notice (in any event within 30 days) to the Collateral Agent and taking all action required by the Collateral Agent for the purpose of perfecting or protecting the security
interest granted by this Agreement. Each Grantor will hold and preserve its records relating to the Collateral, including, without limitation, the Assigned Agreements and Related Contracts, except to the extent that failure to do so could not
reasonably be expected to have a Material Adverse Effect, and will permit representatives of the Collateral Agent at any time during normal business hours (and, if no Event of Default has occurred and is continuing, upon reasonable advance notice)
to inspect and make abstracts from such records and other documents. If any Grantor does not have an organizational identification number and later obtains one, it will forthwith notify the Collateral Agent of such organizational identification
number. 
  
 (b) Except as otherwise provided in this subsection
(b), each Grantor will continue to collect, at its own expense, all amounts due or to become due such Grantor under the Assigned Agreements, Receivables and Related Contracts. In connection with such collections, such Grantor may take (and, if an
Event of Default shall have occurred and be continuing, at the Collateral Agent’s direction, will take) such action as such Grantor or the Collateral Agent may deem necessary or advisable to enforce collection of the Assigned Agreements,
Receivables and Related Contracts; provided, however, that the Collateral Agent shall have the right at any time, upon the occurrence and during the continuance of a Default and upon written notice to such Grantor of its intention to
do so, to notify the Obligors under any Assigned Agreements, Receivables and Related Contracts of the assignment of such Assigned Agreements, Receivables and Related Contracts to the Collateral Agent and to direct such Obligors to make payment of
all amounts due or to become due to such Grantor thereunder directly to the Collateral Agent and, upon such notification and at the expense of such Grantor, to enforce collection of any such Assigned Agreements, Receivables and Related Contracts, to
adjust, settle or compromise the amount or payment thereof, in the same manner and to the same extent as such Grantor might have done, and to otherwise exercise all rights with respect to such Assigned Agreements, Receivables and Related Contracts,
including, without limitation, those set forth set forth in Section 9-607 of the UCC. After receipt by any Grantor of the notice from the Collateral Agent referred to in the proviso to the preceding sentence, (i) all amounts and proceeds
(including, without limitation, instruments) received by such Grantor in respect of the Assigned Agreements, Receivables and Related Contracts of such Grantor shall be received in trust for the benefit of the Collateral Agent hereunder, shall be
segregated from other funds of such Grantor and shall be forthwith paid over to the Collateral Agent in the same form as so received (with any necessary indorsement) to be deposited in a deposit account subject to the sole dominion and control of
the Collateral Agent and applied as provided in Section 22(b) and (ii) such Grantor will not adjust, settle or compromise the amount or payment of any Receivable or amount due on any Assigned Agreement or Related Contract, release wholly
or partly any Obligor thereof or allow any credit or discount thereon. No Grantor will permit or consent to the subordination of its right to payment under any of the Assigned Agreements, Receivables and Related Contracts to any other indebtedness
or obligations of the Obligor thereof. 
  

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 Section 13. As to Intellectual Property Collateral. (a) Except as provided below, with
respect to each item of its Intellectual Property Collateral, each Grantor agrees to take, at its expense, all necessary steps, including, without limitation, in the U.S. Patent and Trademark Office, the U.S. Copyright Office and any other
governmental authority, to (i) maintain the validity and enforceability of such Intellectual Property Collateral and maintain such Intellectual Property Collateral in full force and effect, and (ii) pursue the registration and maintenance
of each patent, trademark, or copyright registration or application, now or hereafter included in such Intellectual Property Collateral of such Grantor, including, without limitation, the payment of required fees and taxes, the filing of responses
to office actions issued by the U.S. Patent and Trademark Office, the U.S. Copyright Office or other governmental authorities, the filing of applications for renewal or extension, the filing of affidavits under Sections 8 and 15 of the U.S.
Trademark Act, the filing of divisional, continuation, continuation-in-part, reissue and renewal applications or extensions, the payment of maintenance fees and the participation in interference, reexamination, opposition, cancellation, infringement
and misappropriation proceedings. Notwithstanding the foregoing, a Grantor may discontinue use of or otherwise abandon any Intellectual Property Collateral, or abandon any right to file an application for patent, trademark, or copyright, provided
such Grantor shall have reasonably determined that such use or the pursuit or maintenance of such Intellectual Property Collateral is no longer desirable in the conduct of such Grantor’s business and that the loss thereof would not be
reasonably likely to have a Material Adverse Effect, in which case, such Grantor shall give reasonably prompt notice of any such abandonment to the Collateral Agent. 
  
 (b) Each Grantor agrees to give reasonably prompt notice to the Collateral Agent if such Grantor becomes aware (i) that
any material item of the Intellectual Property Collateral has become abandoned, placed in the public domain, invalid or unenforceable, or of any adverse determination regarding such Grantor’s ownership of any of the Intellectual Property
Collateral or its right to register the same or to keep and maintain and enforce the same, or (ii) of any material adverse determination or the institution of any material proceeding (including, without limitation, the institution of any
proceeding in the U.S. Patent and Trademark Office or any court) regarding any item of the Intellectual Property Collateral. 
  
 (c) In the event that any Grantor becomes aware that any item of the Intellectual Property Collateral is being infringed or misappropriated by a third
party, such Grantor shall give reasonably prompt notice to the Collateral Agent and shall take such actions, at its expense, as such Grantor reasonably deems appropriate under the circumstances to protect or enforce such Intellectual Property
Collateral, including, without limitation, suing for infringement or misappropriation and for an injunction against such infringement or misappropriation. 
  
 (d) Each Grantor shall take all steps which it reasonably deems appropriate under the circumstances to preserve and protect each item of its Intellectual
Property Collateral, including, without limitation, maintaining the quality of any and all products or services used or provided in connection with any of the Trademarks, consistent with the quality of the products and services as of the date
hereof, and taking all steps necessary to ensure that all licensed users of any of the Trademarks use such consistent standards of quality. 
  
 (e) With respect to its Intellectual Property Collateral, each Grantor agrees to execute or otherwise authenticate an agreement, in substantially the form
set forth in Exhibit A 
  

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 hereto or otherwise in form and substance satisfactory to the Collateral Agent (an “Intellectual Property
Security Agreement”), for recording the security interest granted hereunder to the Collateral Agent in such Intellectual Property Collateral with the U.S. Patent and Trademark Office, the U.S. Copyright Office and any other governmental
authorities necessary to perfect the security interest hereunder in such Intellectual Property Collateral. 
  
 (f) Each Grantor agrees that should it obtain an ownership interest in any item of the type set forth in Section 1(g) that is not on the date hereof
a part of the Intellectual Property Collateral (“After-Acquired Intellectual Property”) (i) the provisions of this Agreement shall automatically apply thereto, and (ii) any such After-Acquired Intellectual Property
and, in the case of trademarks, the goodwill symbolized thereby, shall automatically become part of the Intellectual Property Collateral subject to the terms and conditions of this Agreement with respect thereto. Bi-annually, each Grantor shall give
written notice to the Collateral Agent identifying the After-Acquired Intellectual Property acquired during the preceding six-months, and such Grantor shall execute and deliver to the Collateral Agent with such written notice, or otherwise
authenticate, an agreement substantially in the form of Exhibit B hereto or otherwise in form and substance satisfactory to the Collateral Agent (an “IP Security Agreement Supplement”) covering such After-Acquired
Intellectual Property, which IP Security Agreement Supplement shall be recorded with the U.S. Patent and Trademark Office, the U.S. Copyright Office and any other governmental authorities necessary to perfect the security interest hereunder in such
After-Acquired Intellectual Property. 
  
 Section 14.
Voting Rights; Dividends; Etc. (a) So long as no Default under Section 6.01(a) or (f) of the Credit Agreement or Event of Default shall have occurred and be continuing: 
  
 (i) Each Grantor shall be entitled to exercise any and all voting and other consensual rights pertaining to
the Security Collateral of such Grantor or any part thereof for any purpose; provided however, that such Grantor will not exercise or refrain from exercising any such right if such action could reasonably be expected to have a Material
Adverse Effect. 
  
 (ii) Each Grantor shall be
entitled to receive and retain any and all dividends, interest and other distributions paid in respect of the Security Collateral of such Grantor if and to the extent that the payment thereof is not otherwise prohibited by the terms of the Loan
Documents. 
  
 (iii) The Collateral Agent will
execute and deliver (or cause to be executed and delivered) to each Grantor all such proxies and other instruments as such Grantor may reasonably request for the purpose of enabling such Grantor to exercise the voting and other rights that it is
entitled to exercise pursuant to paragraph (i) above and to receive the dividends or interest payments that it is authorized to receive and retain pursuant to paragraph (ii) above. 
  

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 (b) Upon the occurrence and during the continuance of a Default under Section 6.01(a) or (f) of
the Credit Agreement or an Event of Default: 
  
 (i) All rights of each Grantor (x) to exercise or refrain from exercising the voting and other consensual rights that it would otherwise be entitled to exercise pursuant to Section 14(a)(i) shall, upon notice to such Grantor by
the Collateral Agent, cease and (y) to receive the dividends, interest and other distributions that it would otherwise be authorized to receive and retain pursuant to Section 14(a)(ii) shall automatically cease, and all such rights shall
thereupon become vested in the Collateral Agent, which shall thereupon have the sole right to exercise or refrain from exercising such voting and other consensual rights and to receive and hold as Security Collateral such dividends, interest and
other distributions. 
  
 (ii) All dividends,
interest and other distributions that are received by any Grantor contrary to the provisions of paragraph (i) of this Section 14(b) shall be received in trust for the benefit of the Collateral Agent, shall be segregated from other funds of
such Grantor and shall be forthwith paid over to the Collateral Agent as Security Collateral in the same form as so received (with any necessary indorsement). 
  

Section 15. As to the Assigned Agreements. (a) Each Grantor will at its expense: 
  
 (i) perform and observe all terms and provisions of the
Assigned Agreements to be performed or observed by it, maintain the Assigned Agreements to which it is a party in full force and effect, enforce the Assigned Agreements to which it is a party in accordance with the terms thereof and take all such
action to such end as may be requested from time to time by the Collateral Agent, except in each case where the failure to do so could not reasonably be expected to have a Material Adverse Effect; and 
  
 (ii) furnish to the Collateral Agent promptly upon receipt
thereof copies of all material notices, requests and other documents related to any breach thereof received by such Grantor under or pursuant to the Assigned Agreements to which it is a party, and from time to time furnish to the Collateral Agent
such information and reports regarding the Assigned Agreements and such other Collateral of such Grantor as the Collateral Agent may reasonably request. 
  
 (b) Each Grantor agrees that it will not, except to the extent otherwise permitted under the Credit Agreement: 
  
 (i) cancel or terminate any Assigned Agreement to which it
is a party or consent to or accept any cancellation or termination thereof; 
  
 (ii) amend, amend and restate, supplement or otherwise modify any such Assigned Agreement or give any consent, waiver or approval thereunder; 
  
 (iii) waive any default under or breach of any such Assigned Agreement; or 
  
 (iv) take any other action in connection with any such
Assigned Agreement that would impair the value of the interests or rights of such Grantor thereunder or that would impair the interests or rights of any Secured Party. 
  

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 (c) Each Grantor hereby consents on its behalf and on behalf of its Subsidiaries to the assignment and
pledge to the Collateral Agent for benefit of the Secured Parties of each Assigned Agreement to which it is a party by any other Grantor hereunder. 
  
 Section 16. As to Letter-of-Credit Rights. (a) Each Grantor, by granting a security interest in its Receivables consisting of
letter-of-credit rights to the Collateral Agent, intends to (and hereby does) assign to the Collateral Agent its rights (including its contingent rights) to the proceeds of all Related Contracts consisting of letters of credit of which it is or
hereafter becomes a beneficiary or assignee. Each Grantor will promptly use commercially reasonable efforts to cause the issuer of each letter of credit (other than letters of credit the face amount of which does not exceed $1,000,000 or $5,000,000
in the aggregate for all such letters of credit) and each nominated person (if any) with respect thereto to consent to such assignment of the proceeds thereof pursuant to a consent in substantially the form of the Consent to Assignment of Letter of
Credit Rights in form and substance satisfactory to the Collateral Agent and deliver written evidence of such consent to the Collateral Agent. 
  
 (b) Upon the occurrence of a Default under Section 6.01(a) or (f) of the Credit Agreement or Event of Default, each Grantor will, promptly upon
request by the Collateral Agent, (i) notify (and such Grantor hereby authorizes the Collateral Agent to notify) the issuer and each nominated person with respect to each of the Related Contracts consisting of letters of credit that the proceeds
thereof have been assigned to the Collateral Agent hereunder and any payments due or to become due in respect thereof are to be made directly to the Collateral Agent or its designee and (ii) arrange for the Collateral Agent to become the
transferee beneficiary of letter of credit. 
  
 Section 17.
Commercial Tort Claims. Each Grantor will promptly give notice to the Collateral Agent of any commercial tort claim in excess of $1,000,000 that may arise after the date hereof and will immediately execute or otherwise authenticate a
supplement to this Agreement, and otherwise take all necessary action, to subject such commercial tort claim to the first priority security interest created under this Agreement. 
  
 Section 18. Transfers and Other Liens; Additional Shares. (a) Each Grantor agrees that it will not
(i) sell, assign or otherwise dispose of, or grant any option with respect to, any of the Collateral, other than sales, assignments and other dispositions of Collateral, and options relating to Collateral, permitted under the terms of the
Credit Agreement, or (ii) create or suffer to exist any Lien upon or with respect to any of the Collateral of such Grantor except for the pledge, assignment and security interest created under this Agreement and Liens permitted under the Credit
Agreement. 
  
 (b) Each Grantor agrees that it will (i) cause
each issuer of the Pledged Equity pledged by such Grantor not to issue any Equity Interests or other securities in addition to or in substitution for the Pledged Equity issued by such issuer, except to such Grantor, and (ii) pledge hereunder,
immediately upon its acquisition (directly or indirectly) thereof, any and all additional Equity Interests or other securities. 
  
 Section 19. Collateral Agent Appointed Attorney in Fact. Each Grantor hereby irrevocably appoints the Collateral Agent such Grantor’s
attorney in fact, with full authority in 
  

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 the place and stead of such Grantor and in the name of such Grantor or otherwise, from time to time, upon the occurrence
and during the continuance of a Default, in the Collateral Agent’s discretion, to take any action and to execute any instrument that the Collateral Agent may deem necessary or advisable to accomplish the purposes of this Agreement, including,
without limitation: 
  
 (a) to obtain and adjust
insurance required to be paid to the Collateral Agent pursuant to Section 11, 
  
 (b) upon the occurrence and during the continuance of an Event of Default, to ask for, demand, collect, sue for, recover, compromise,
receive and give acquittance and receipts for moneys due and to become due under or in respect of any of the Collateral, 
  
 (c) upon the occurrence and during the continuance of an Event of Default, to receive, indorse and collect any drafts or other
instruments, documents and chattel paper, in connection with clause (a) or (b) above, and 
  
 (d) upon the occurrence and during the continuance of an Event of Default, to file any claims or take any action or institute any
proceedings that the Collateral Agent may deem necessary or desirable for the collection of any of the Collateral or otherwise to enforce compliance with the terms and conditions of any Assigned Agreement or the rights of the Collateral Agent with
respect to any of the Collateral. 
  
 Section 20.
Collateral Agent May Perform. If any Grantor fails to perform any agreement contained herein, upon the occurrence and during the continuance of an Event of Default, the Collateral Agent may, but without any obligation to do so and without
notice, itself perform, or cause performance of, such agreement, and the expenses of the Collateral Agent incurred in connection therewith shall be payable by such Grantor under Section 23. 
  
 Section 21. The Collateral Agent’s Duties. (a) The
powers conferred on the Collateral Agent hereunder are solely to protect the Secured Parties’ interest in the Collateral and shall not impose any duty upon it to exercise any such powers. Except for the safe custody of any Collateral in its
possession and the accounting for moneys actually received by it hereunder, the Collateral Agent shall have no duty as to any Collateral, as to ascertaining or taking action with respect to calls, conversions, exchanges, maturities, tenders or other
matters relative to any Collateral, whether or not any Secured Party has or is deemed to have knowledge of such matters, or as to the taking of any necessary steps to preserve rights against any parties or any other rights pertaining to any
Collateral. The Collateral Agent shall be deemed to have exercised reasonable care in the custody and preservation of any Collateral in its possession if such Collateral is accorded treatment substantially equal to that which it accords its own
property. 
  
 (b) Anything contained herein to the contrary
notwithstanding, the Collateral Agent may from time to time, when the Collateral Agent deems it to be necessary, appoint one or more subagents (each a “Subagent”) for the Collateral Agent hereunder with respect to all or any
part of the Collateral. In the event that the Collateral Agent so appoints any Subagent with respect to any Collateral, (i) the assignment and pledge of such Collateral and the security interest granted in such Collateral by each Grantor
hereunder shall be deemed for purposes of 
  

 Pregis Security Agreement 
  
 22 

 this Agreement to have been made to such Subagent, in addition to the Collateral Agent, for the ratable benefit of the
Secured Parties, as security for the Secured Obligations of such Grantor, (ii) such Subagent shall automatically be vested, in addition to the Collateral Agent, with all rights, powers, privileges, interests and remedies of the Collateral Agent
hereunder with respect to such Collateral, and (iii) the term “Collateral Agent,” when used herein in relation to any rights, powers, privileges, interests and remedies of the Collateral Agent with respect to such Collateral, shall
include such Subagent; provided, however, that no such Subagent shall be authorized to take any action with respect to any such Collateral unless and except to the extent expressly authorized in writing by the Collateral Agent.

  
 (c) Anything herein to the contrary notwithstanding, the
Collateral Agent shall not be obligated to require any Grantor, and so long as no Event of Default shall have occurred and be continuing, no Grantor shall be required, to take actions to perfect the security interest granted herein in any Collateral
as to which the Collateral Agent determines, in its reasonable discretion, that the cost of perfecting such security interest is excessive in light of the value of the security to be afforded by such Collateral. 
  
 Section 22. Remedies. If any Event of Default shall have occurred
and be continuing: 
  
 (a) The Collateral Agent
may exercise in respect of the Collateral, in addition to other rights and remedies provided for herein or otherwise available to it, all the rights and remedies of a secured party upon default under the UCC (whether or not the UCC applies to the
affected Collateral) and also may: (i) require each Grantor to, and each Grantor hereby agrees that it will at its expense and upon request of the Collateral Agent forthwith, assemble all or part of the Collateral as directed by the Collateral
Agent and make it available to the Collateral Agent at a place and time to be designated by the Collateral Agent that is reasonably convenient to both parties; (ii) without notice except as specified below, sell the Collateral or any part
thereof in one or more parcels at public or private sale, at any of the Collateral Agent’s offices or elsewhere, for cash, on credit or for future delivery, and upon such other terms as the Collateral Agent may deem commercially reasonable;
(iii) occupy any premises owned or leased by any of the Grantors where the Collateral or any part thereof is assembled or located for a reasonable period in order to effectuate its rights and remedies hereunder or under law, without obligation
to such Grantor in respect of such occupation; and (iv) exercise any and all rights and remedies of any of the Grantors under or in connection with the Collateral, or otherwise in respect of the Collateral, including, without limitation,
(A) any and all rights of such Grantor to demand or otherwise require payment of any amount, or performance of any provision of, the Assigned Agreements, the Receivables, the Related Contracts and the other Collateral, (B) withdraw, or
cause or direct the withdrawal, of all funds with respect to the Account Collateral and (C) exercise all other rights and remedies with respect to the Assigned Agreements, the Receivables, the Related Contracts and the other Collateral,
including, without limitation, those set forth in Section 9-607 of the UCC. Each Grantor agrees that, to the extent notice of sale shall be required by law, at least ten days’ notice to such Grantor of the time and place of any public sale
or the time after which any private sale is to be made shall constitute reasonable notification. The Collateral Agent shall not be obligated to make any sale of Collateral regardless of notice 
  

 Pregis Security Agreement 
  
 23 

 of sale having been given. The Collateral Agent may adjourn any public or private sale from time to time
by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and place to which it was so adjourned. 
  
 (b) Any cash held by or on behalf of the Collateral Agent and all cash proceeds received by or on behalf of the Collateral Agent in
respect of any sale of, collection from, or other realization upon all or any part of the Collateral may, in the discretion of the Collateral Agent, be held by the Collateral Agent as collateral for, and/or then or at any time thereafter applied
(after payment of any amounts payable to the Collateral Agent pursuant to Section 23) in whole or in part by the Collateral Agent for the ratable benefit of the Secured Parties against, all or any part of the Secured Obligations, in the
following manner: 
  
 (i) first, paid to
the Agents for any amounts then owing to the Agents pursuant to Section 9.04 of the Credit Agreement or otherwise under the Loan Documents, ratably in accordance with the amounts then owing to the Agents; and 
  
 (ii) second, ratably (A) paid to the Lender
Parties and the Hedge Banks for any amounts then owing to them, in their capacities as such, under the Loan Documents and the Secured Hedge Agreements ratably in accordance with the amounts then owing to the Lender Parties and the Hedge Banks,
provided that, for purposes of this Section 22, the amount owing to any Hedge Bank pursuant to any Secured Hedge Agreement to which it is a party (other than any amount theretofore accrued and unpaid) shall be deemed to be equal to the
Agreement Value thereof and (B) deposited as Collateral in the L/C Cash Collateral Account up to an amount equal to 105% of the aggregate Available Amount of all outstanding Letters of Credit, provided that in the event that any such
Letter of Credit is drawn, the Collateral Agent shall pay to the Issuing Bank that issued such Letter of Credit the amount held in the L/C Cash Collateral Account in respect of such Letter of Credit, and provided further that, to the extent
that any such Letter of Credit shall expire or terminate undrawn and as a result thereof the amount of the Collateral in the L/C Cash Collateral Account shall exceed 105% of the aggregate Available Amount of all then outstanding Letters of Credit,
such excess amount of such Collateral shall be applied in accordance with the remaining order of priority set out in this Section 22(b). 
  
 Any surplus of such cash or cash proceeds held by or on the behalf of the Collateral Agent and remaining after payment in full of all the Secured
Obligations shall be paid over to the applicable Grantor or to whomsoever may be lawfully entitled to receive such surplus. 
  
 (c) All payments received by any Grantor under or in connection with any Assigned Agreement or otherwise in respect of the Collateral
shall be received in trust for the benefit of the Collateral Agent, shall be segregated from other funds of such Grantor and shall be forthwith paid over to the Collateral Agent in the same form as so received (with any necessary endorsement).

  

 Pregis Security Agreement 
  
 24 

 (d) The Collateral Agent may, without notice to any Grantor except as required by law and
at any time or from time to time, charge, set off and otherwise apply all or any part of the Secured Obligations against any funds held with respect to the Account Collateral or in any other deposit account. 
  
 (e) The Collateral Agent may send to each bank, securities
intermediary or issuer party to any Deposit Account Control Agreement, Securities Account Control Agreement or Uncertificated Security Control Agreement a “Notice of Exclusive Control” as defined in and under such Agreement. 
  
 (f) In the event of any sale or other disposition of any of
the Intellectual Property Collateral of any Grantor, the goodwill symbolized by any Trademarks subject to such sale or other disposition shall be included therein, and such Grantor shall supply to the Collateral Agent or its designee such
Grantor’s know-how and expertise, and documents and things relating to any Intellectual Property Collateral subject to such sale or other disposition, and such Grantor’s customer lists and other records and documents relating to such
Intellectual Property Collateral and to the manufacture, distribution, advertising and sale of products and services of such Grantor. 
  
 (g) The Collateral Agent is authorized, in connection with any sale of the Security Collateral pursuant to this Section 22, to
deliver or otherwise disclose to any prospective purchaser of the Security Collateral: (i) any registration statement or prospectus, and all supplements and amendments thereto, prepared pursuant to subsection (f)(i) above; (ii) any
information and projections provided to it pursuant to subsection (f)(iv) above; and (iii) any other information in its possession relating to such Security Collateral. 
  
 (h) Each Grantor acknowledges the impossibility of ascertaining the amount of damages that would be suffered
by the Secured Parties by reason of the failure by such Grantor to perform any of the covenants contained in subsection (f) above and, consequently, agrees that, if such Grantor shall fail to perform any of such covenants, it will pay, as
liquidated damages and not as a penalty, an amount equal to the value of the Security Collateral on the date the Collateral Agent shall demand compliance with subsection (f) above. 
  
 Section 23. Indemnity and Expenses. (a) Each Grantor agrees to indemnify, defend and save and hold harmless
each Secured Party and each of their Affiliates and their respective officers, directors, employees, agents and advisors (each, an “Indemnified Party”) from and against, and shall pay on demand, any and all claims, damages,
losses, liabilities and expenses (including, without limitation, reasonable fees and expenses of counsel) that may be incurred by or asserted or awarded against any Indemnified Party, in each case arising out of or in connection with or resulting
from this Agreement (including, without limitation, enforcement of this Agreement), except to the extent such claim, damage, loss, liability or expense is found in a final, non-appealable judgment by a court of competent jurisdiction to have
resulted from such Indemnified Party’s gross negligence or willful misconduct. 
  
 (b) Each Grantor will upon demand pay to the Collateral Agent the amount of any and all reasonable expenses, including, without limitation, the reasonable fees and expenses of its 
  

 Pregis Security Agreement 
  
 25 

 counsel and of any experts and agents, that the Collateral Agent may incur in connection with (i) the administration
of this Agreement, (ii) the custody, preservation, use or operation of, or the sale of, collection from or other realization upon, any of the Collateral of such Grantor, (iii) the exercise or enforcement of any of the rights of the
Collateral Agent or the other Secured Parties hereunder or (iv) the failure by such Grantor to perform or observe any of the provisions hereof. 
  
 Section 24. Amendments; Waivers; Additional Grantors; Etc. (a) No amendment or waiver of any provision of this Agreement, and no consent to
any departure by any Grantor herefrom, shall in any event be effective unless the same shall be in writing and signed by the Collateral Agent, and then such waiver or consent shall be effective only in the specific instance and for the specific
purpose for which given. No failure on the part of the Collateral Agent or any other Secured Party to exercise, and no delay in exercising any right hereunder, shall operate as a waiver thereof; nor shall any single or partial exercise of any such
right preclude any other or further exercise thereof or the exercise of any other right. 
  
 (b) Upon the execution and delivery by any Person of a security agreement supplement in substantially the form of Exhibit C hereto (each a “Security Agreement Supplement”), such Person shall be
referred to as an “Additional Grantor” and shall be and become a Grantor hereunder, and each reference in this Agreement and the other Loan Documents to “Grantor” shall also mean and be a reference to such
Additional Grantor, each reference in this Agreement and the other Loan Documents to the “Collateral” shall also mean and be a reference to the Collateral granted by such Additional Grantor and each reference in this Agreement to a
Schedule shall also mean and be a reference to the schedules attached to such Security Agreement Supplement. 
  
 Section 25. Notices, Etc. All notices and other communications provided for hereunder shall be either (i) in writing (including
telegraphic, telecopier or telex communication) and mailed, telegraphed, telecopied, telexed or otherwise delivered or (ii) by electronic mail (if electronic mail addresses are designated as provided below) confirmed immediately in writing, in
the case of the Borrower or the Collateral Agent, addressed to it at its address specified in the Credit Agreement and, in the case of each Grantor other than the Borrower, addressed to it at its address set forth opposite such Grantor’s name
on the signature pages hereto or on the signature page to the Security Agreement Supplement pursuant to which it became a party hereto; or, as to any party, at such other address as shall be designated by such party in a written notice to the other
parties. All such notices and other communications shall, when mailed, telegraphed, telecopied, telexed, sent by electronic mail or otherwise, be effective when deposited in the mails, delivered to the telegraph company, telecopied, confirmed by
telex answerback, sent by electronic mail and confirmed in writing, or otherwise delivered (or confirmed by a signed receipt), respectively, addressed as aforesaid; except that notices and other communications to the Collateral Agent shall not be
effective until received by the Collateral Agent. Delivery by telecopier of an executed counterpart of any amendment or waiver of any provision of this Agreement or of any Security Agreement Supplement or Schedule hereto shall be effective as
delivery of an original executed counterpart thereof. 
  
 Section 26. Continuing Security Interest; Assignments under the Credit Agreement. This Agreement shall create a continuing security interest in the Collateral and shall (a) remain in full force and effect until the latest
of (i) the payment in full in cash of the Secured 
  

 Pregis Security Agreement 
  
 26 

 Obligations, (ii) the Termination Date and (iii) the termination or expiration of all Letters of Credit and all
Secured Hedge Agreements, (b) be binding upon each Grantor, its successors and assigns and (c) inure, together with the rights and remedies of the Collateral Agent hereunder, to the benefit of the Secured Parties and their respective
successors, transferees and assigns. Without limiting the generality of the foregoing clause (c), any Lender Party may assign or otherwise transfer all or any portion of its rights and obligations under the Credit Agreement (including, without
limitation, all or any portion of its Commitments, the Advances owing to it and the Note or Notes, if any, held by it) to any other Person, and such other Person shall thereupon become vested with all the benefits in respect thereof granted to such
Lender Party herein or otherwise, in each case as provided in Section 9.07 of the Credit Agreement. 
  
 Section 27. Release; Termination. (a) Upon any sale, lease, transfer or other disposition of any item of Collateral of any Grantor in
accordance with the terms of the Loan Documents (other than sales of Inventory in the ordinary course of business), the Collateral Agent will, at such Grantor’s expense, execute and deliver to such Grantor such documents as such Grantor shall
reasonably request to evidence the release of such item of Collateral from the assignment and security interest granted hereby; provided, however, that (i) at the time of such request and such release no Default shall have
occurred and be continuing, (ii) such Grantor shall have delivered to the Collateral Agent, at least ten Business Days prior to the date of the proposed release, a written request for release describing the item of Collateral and the terms of
the sale, lease, transfer or other disposition in reasonable detail, including, without limitation, the price thereof and any expenses in connection therewith, together with a form of release for execution by the Collateral Agent and a certificate
of such Grantor to the effect that the transaction is in compliance with the Loan Documents and as to such other matters as the Collateral Agent may request and (iii) the proceeds of any such sale, lease, transfer or other disposition required
to be applied, or any payment to be made in connection therewith, in accordance with Section 2.06 of the Credit Agreement shall, to the extent so required, be paid or made to, or in accordance with the instructions of, the Collateral Agent when
and as required under Section 2.06 of the Credit Agreement. 
  
 (b) Upon the latest of (i) the payment in full in cash of the Secured Obligations, (ii) the Termination Date and (iii) the termination or expiration of all Letters of Credit and all Secured Hedge Agreements, the pledge and
security interest granted hereby shall terminate and all rights to the Collateral shall revert to the applicable Grantor. Upon any such termination, the Collateral Agent will, at the applicable Grantor’s expense, execute and deliver to such
Grantor such documents as such Grantor shall reasonably request to evidence such termination. 
  
 Section 28. Execution in Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall
constitute one and the same agreement. Delivery of an executed counterpart of a signature page to this Agreement by telecopier shall be effective as delivery of an original executed counterpart of this Agreement. 
  
 Section 29. Governing Law. This Agreement shall be governed by,
and construed in accordance with, the laws of the State of New York. 
  

 Pregis Security Agreement 
  
 27 

 IN WITNESS WHEREOF, each Grantor has caused this Agreement to be duly executed and delivered by its
officer thereunto duly authorized as of the date first above written. 
  

					
	 	 	PREGIS CORPORATION
			
	 	 	By	 	 /s/ Kevin J. Corcoran

	 	 	Name:	 	Kevin J. Corcoran
	 	 	Title:	 	Chief Financial Officer
		
	Address for Notices:	 	PREGIS HOLDING II CORPORATION
	 1900 W. Field Court
 Lake Forest, IL
60045
	 	 	 	 
			
	 	 	By	 	 /s/ Kevin J. Corcoran

	 	 	Name:	 	Kevin J. Corcoran
	 	 	Title:	 	Chief Financial Officer
		
	 Address for Notices:
 1900 W. Field
Court
 Lake Forest, IL 60045
	 	PREGIS INNO
			
	 	 	By	 	 /s/ Kevin J. Corcoran

	 	 	Name:	 	Kevin J. Corcoran
	 	 	Title:	 	Chief Financial Officer
		
	 Address for Notices:
 1900 W. Field
Court
 Lake Forest, IL 60045
	 	HEXACOMB CORPORATION
			
	 	 	By	 	 /s/ Kevin J. Corcoran

	 	 	Name:	 	Kevin J. Corcoran
	 	 	Title:	 	Chief Financial Officer
		
	 Address for Notices:
 1900 W. Field
Court
 Lake Forest, IL 60045
	 	PREGIS MANAGEMENT CORPORATION
			
	 	 	By	 	 /s/ Kevin J. Corcoran

	 	 	Name:	 	Kevin J. Corcoran
	 	 	Title:	 	Chief Financial Officer

  

 Pregis Security Agreement 

 Exhibit A to the 
 First Lien Security Agreement 
  
 FORM OF INTELLECTUAL PROPERTY SECURITY AGREEMENT 
  
 This INTELLECTUAL PROPERTY SECURITY AGREEMENT (as amended, amended and restated, supplemented or otherwise modified from time to time, the “IP Security Agreement”) dated
                    , 2005, is made by the Persons listed on the signature pages hereof (collectively, the “Grantors”)
in favor of CREDIT SUISSE (“CS”), as collateral agent (the “Collateral Agent”) for the Secured Parties (as defined in the Credit Agreement referred to below). 
  
 WHEREAS, Pregis Corporation, a Delaware corporation, has entered into a
Credit Agreement dated as of                     , 2005 (as amended, amended and restated, supplemented or otherwise modified from time to
time, the “Credit Agreement”), with CS, as Administrative Agent and as Collateral Agent, Pregis Holding II Corporation, as parent guarantor, the subsidiary guarantors referred to therein and the Lender Parties party thereto.
Terms defined in the Credit Agreement and not otherwise defined herein are used herein as defined in the Credit Agreement. 
  
 WHEREAS, as a condition precedent to the making of Advances and the issuance of Letters of Credit by the Lender Parties under the Credit Agreement and the
entry into Secured Hedge Agreements by the Hedge Banks from time to time, each Grantor has executed and delivered that certain First Lien Security Agreement dated
                    , 2005 made by the Grantors to the Collateral Agent (as amended, amended and restated, supplemented or otherwise modified
from time to time, the “Security Agreement”). 
  
 WHEREAS, under the terms of the Security Agreement, the Grantors have granted to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in, among other property, certain intellectual property of the
Grantors, and have agreed as a condition thereof to execute this IP Security Agreement for recording with the U.S. Patent and Trademark Office, the United States Copyright Office and other governmental authorities. 
  
 NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, each Grantor agrees as follows: 
  
 SECTION 1. Grant of Security. Each Grantor hereby grants to the Collateral Agent for the ratable benefit of the Secured Parties a security interest in all of such Grantor’s right, title and interest in and
to the following (the “Collateral”): 
  
 (i) the patents and patent applications set forth in Schedule A hereto (the “Patents”); 
  
 (ii) the trademark and service mark registrations and applications set forth in Schedule B hereto (provided that no security interest
shall be granted in United States intent-to-use trademark applications to the extent that, and solely during the period in which, the grant of a security interest therein would impair the validity or enforceability of such intent-to-use trademark
applications under applicable federal law), together with the goodwill symbolized thereby (the “Trademarks”); 
  

 Pregis Security Agreement 

 (iii) all copyrights, whether registered or unregistered, now owned or hereafter acquired
by such Grantor, including, without limitation, the copyright registrations and applications and exclusive copyright licenses set forth in Schedule C hereto (the “Copyrights”); 
  
 (iv) all reissues, divisions, continuations,
continuations-in-part, extensions, renewals and reexaminations of any of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights corresponding thereto throughout the world and all other rights of any
kind whatsoever of such Grantor accruing thereunder or pertaining thereto; 
  
 (v) any and all claims for damages and injunctive relief for past, present and future infringement, dilution, misappropriation, violation, misuse or breach with respect to any of the foregoing, with the right, but not
the obligation, to sue for and collect, or otherwise recover, such damages; and 
  
 (vi) any and all proceeds of, collateral for, income, royalties and other payments now or hereafter due and payable with respect to, and
supporting obligations relating to, any and all of the Collateral of or arising from any of the foregoing. 
  
 SECTION 2. Security for Obligations. The grant of a security interest in, the Collateral by each Grantor under this IP Security Agreement secures
the payment of all Obligations of such Grantor now or hereafter existing under or in respect of the Loan Documents, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest, premiums,
penalties, fees, indemnifications, contract causes of action, costs, expenses or otherwise. Without limiting the generality of the foregoing, this IP Security Agreement secures, as to each Grantor, the payment of all amounts that constitute part of
the Secured Obligations and that would be owed by such Grantor to any Secured Party under the Loan Documents but for the fact that such Secured Obligations are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or
similar proceeding involving a Loan Party. 
  
 SECTION 3.
Recordation. Each Grantor authorizes and requests that the Register of Copyrights, the Commissioner for Patents and the Commissioner for Trademarks and any other applicable government officer record this IP Security Agreement. 
  
 SECTION 4. Execution in Counterparts. This IP Security Agreement may
be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 
  
 SECTION 5. Grants, Rights and Remedies. This IP Security Agreement has been entered into in conjunction with the
provisions of the Security Agreement. Each Grantor does hereby acknowledge and confirm that the grant of the security interest hereunder to, and the rights and remedies of, the Collateral Agent with respect to the Collateral are more fully set forth
in the Security Agreement, the terms and provisions of which are incorporated herein by reference as if fully set forth herein. 
  

 Pregis Security Agreement 
  
 2 

 SECTION 6. Governing Law. This IP Security Agreement shall be governed by, and construed in
accordance with, the laws of the State of New York. 
  
 IN WITNESS
WHEREOF, each Grantor has caused this IP Security Agreement to be duly executed and delivered by its officer thereunto duly authorized as of the date first above written. 
  

			
	PREGIS CORPORATION
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

	
	PREGIS HOLDING II CORPORATION
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

	
	PSC LLC
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

  

 Pregis Security Agreement 
  
 3 

			
	PACTIV PROTECTIVE PACKAGING INC.
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

	
	HEXACOMB INC.
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

  

 Pregis Security Agreement 
  
 4 

 Exhibit B to the 
 First Lien Security Agreement 
  
 FORM OF INTELLECTUAL PROPERTY SECURITY AGREEMENT SUPPLEMENT 
  
 This INTELLECTUAL PROPERTY SECURITY AGREEMENT SUPPLEMENT (this “IP Security Agreement Supplement”) dated
                    , 200  , is made by the Person listed on the signature page hereof (the
“Grantor”) in favor of CREDIT SUISSE (“CS”), as collateral agent (the “Collateral Agent”) for the Secured Parties (as defined in the Credit Agreement referred to below).

  
 WHEREAS, PREGIS CORPORATION, a Delaware corporation, has
entered into a Credit Agreement dated as of                     , 2005 (as amended, amended and restated, supplemented or otherwise modified
from time to time, the “Credit Agreement”), with CS, as Administrative Agent and as Collateral Agent, Pregis Holding II Corporation, as parent guarantor, the subsidiary guarantors referred to therein and the Lender Parties
party thereto. Terms defined in the Credit Agreement and not otherwise defined herein are used herein as defined in the Credit Agreement. 
  
 WHEREAS, pursuant to the Credit Agreement, the Grantor and certain other Persons have executed and delivered that certain First Lien Security Agreement
dated                     , 2005 made by the Grantor and such other Persons to the Collateral Agent (as amended, amended and restated,
supplemented or otherwise modified from time to time, the “Security Agreement”) and that certain Intellectual Property Security Agreement dated
                    , 2005 (as amended, amended and restated, supplemented or otherwise modified from time to time, the “IP
Security Agreement”). 
  
 WHEREAS, under the terms of
the Security Agreement, the Grantor has granted to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in the Additional Collateral (as defined in Section 1 below) of the Grantor and has agreed as a
condition thereof to execute this IP Security Agreement Supplement for recording with the U.S. Patent and Trademark Office, the United States Copyright Office and other governmental authorities. 
  
 NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the Grantor agrees as follows: 
  
 SECTION 1. Grant of Security. Each Grantor hereby grants to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in all of such Grantor’s right, title and interest in
and to the following (the “Collateral”): 
  
 (i) the patents and patent applications set forth in Schedule A hereto (the “Patents”); 
  
 (ii) the trademark and service mark registrations and applications set forth in Schedule B hereto (provided that no security interest
shall be granted in United States intent-to-use trademark applications to the extent that, and solely during the period in 
  

 Pregis Security Agreement 

 which, the grant of a security interest therein would impair the validity or enforceability of such
intent-to-use trademark applications under applicable federal law), together with the goodwill symbolized thereby (the “Trademarks”); 
  

(iii) the copyright registrations and applications and exclusive copyright licenses set forth in Schedule C hereto (the
“Copyrights”); 
  
 (iv)
all reissues, divisions, continuations, continuations-in-part, extensions, renewals and reexaminations of any of the foregoing, all rights in the foregoing provided by international treaties or conventions, all rights corresponding thereto
throughout the world and all other rights of any kind whatsoever of such Grantor accruing thereunder or pertaining thereto; 
  
 (v) all any and all claims for damages and injunctive relief for past, present and future infringement, dilution, misappropriation,
violation, misuse or breach with respect to any of the foregoing, with the right, but not the obligation, to sue for and collect, or otherwise recover, such damages; and 
  
 (vi) any and all proceeds of, collateral for, income, royalties and other payments now or hereafter due and
payable with respect to, and supporting obligations relating to, any and all of the foregoing or arising from any of the foregoing. 
  
 SECTION 2. Security for Obligations. The grant of a security interest in the Additional Collateral by the Grantor under this IP Security Agreement
Supplement secures the payment of all Obligations of the Grantor now or hereafter existing under or in respect of the Loan Documents, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest,
premiums, penalties, fees, indemnifications, contract causes of action, costs, expenses or otherwise. 
  
 SECTION 3. Recordation. The Grantor authorizes and requests that the Register of Copyrights, the Commissioner for Patents and the Commissioner for
Trademarks and any other applicable government officer to record this IP Security Agreement Supplement. 
  
 SECTION 4. Grants, Rights and Remedies. This IP Security Agreement Supplement has been entered into in conjunction with the provisions of the
Security Agreement. The Grantor does hereby acknowledge and confirm that the grant of the security interest hereunder to, and the rights and remedies of, the Collateral Agent with respect to the Additional Collateral are more fully set forth in the
Security Agreement, the terms and provisions of which are incorporated herein by reference as if fully set forth herein. 
  
 SECTION 5. Governing Law. This IP Security Agreement Supplement shall be governed by, and construed in accordance with, the laws of the State of
New York. 
  

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 IN WITNESS WHEREOF, the Grantor has caused this IP Security Agreement Supplement to be duly executed and
delivered by its officer thereunto duly authorized as of the date first above written. 
  

			
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for Notices:
	
	

	
	

	
	

  

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 Exhibit C to the 
 First Lien Security Agreement 
  
 FORM OF SECURITY AGREEMENT SUPPLEMENT 
  
 [Date of
Security Agreement Supplement] 
  
 Credit Suisse, as the Collateral Agent for

 the Secured Parties referred to in the 
 Credit Agreement
referred to below 
  
 _________ 
 _________ 
 Attn:
                     
  
 Pregis Corporation 
  
 Ladies and Gentlemen: 
  
 Reference is made to (i) the Credit Agreement dated as of
                    , 2005 (as amended, amended and restated, supplemented or otherwise modified from time to time, the “Credit
Agreement”), among Pregis Corporation, a Delaware corporation, as the Borrower, Pregis Holding Corporation, as parent guarantor, the subsidiary guarantors referred to therein, the Lender Parties party thereto, Credit Suisse, as
collateral agent (together with any successor collateral agent appointed pursuant to Article VII of the Credit Agreement, the “Collateral Agent”) and as administrative agent for the Lender Parties, and (ii) the First
Lien Security Agreement dated                     , 2005 (as amended, amended and restated, supplemented or otherwise modified from time to
time, the “Security Agreement”) made by the Grantors from time to time party thereto in favor of the Collateral Agent for the Secured Parties. Terms defined in the Credit Agreement or the Security Agreement and not otherwise
defined herein are used herein as defined in the Credit Agreement or the Security Agreement. 
  
 SECTION 1. Grant of Security. The undersigned hereby grants to the Collateral Agent, for the ratable benefit of the Secured Parties, a security interest in all of its right, title and interest in and to the
following, in each case whether now owned or hereafter acquired by the undersigned, wherever located and whether now or hereafter existing or arising (collectively, the undersigned’s “Collateral”): all Equipment,
Inventory, Receivables, Related Contracts, Security Collateral (including, without limitation, the shares of stock and other Equity Interests set forth on Part I of Schedule I hereto, the indebtedness set forth on Part II of Schedule I hereto and
the securities and securities/deposit accounts set forth on Schedule II hereto), Agreement Collateral (including, without limitation, each of the agreements listed on Schedule III hereto), Account Collateral (including, without limitation, the
deposit accounts set forth on Schedule IV hereto), Intellectual Property Collateral, Commercial Tort Claims Collateral (including, without limitation, the commercial tort claims described in Schedule V hereto), all books and records (including,
without limitation, customer lists, credit files, printouts and other computer output materials and records) of the undersigned pertaining to any of the undersigned’s Collateral, and 
  

 Pregis Security Agreement 

 all proceeds of, collateral for, income, royalties and other payments now or hereafter due and payable with respect to,
and supporting obligations relating to, any and all of the undersigned’s Collateral (including, without limitation, proceeds, collateral and supporting obligations that constitute property of the types described in this Section 1) and, to
the extent not otherwise included, all (A) payments under insurance (whether or not the Collateral Agent is the loss payee thereof), or any indemnity, warranty or guaranty, payable by reason of loss or damage to or otherwise with respect to any
of the foregoing Collateral, and (B) cash. 
  
 SECTION 2.
Security for Obligations. The grant of a security interest in, the Collateral by the undersigned under this Security Agreement Supplement and the Security Agreement secures the payment of all Obligations of the undersigned now or hereafter
existing under or in respect of the Loan Documents, whether direct or indirect, absolute or contingent, and whether for principal, reimbursement obligations, interest, premiums, penalties, fees, indemnifications, contract causes of action, costs,
expenses or otherwise. Without limiting the generality of the foregoing, this Security Agreement Supplement and the Security Agreement secures the payment of all amounts that constitute part of the Secured Obligations and that would be owed by the
undersigned to any Secured Party under the Loan Documents but for the fact that such Secured Obligations are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving a Loan Party.

  
 SECTION 3. Representations and Warranties. (a) The
undersigned’s exact legal name, location, chief executive office, type of organization, jurisdiction of organization and organizational identification number is set forth in Schedule VI hereto. The undersigned has no trade names other than as
listed on Schedule IV hereto. Within the five years preceding the date hereof, the undersigned has not changed its name, location, chief executive office, type of organization, jurisdiction of organization or organizational identification number
from those set forth in Schedule VI hereto except as set forth in Schedule VII hereto. 
  
 (b) All of the Equipment and Inventory of the undersigned are located at the places specified therefor in Schedule VIII hereto. Within the five years preceding the date hereof, the undersigned has not changed the
location of its Equipment or Inventory except as set forth in Schedule VII hereto. 
  
 (c) The undersigned is not a beneficiary or assignee under any letter of credit, other than the letters of credit described in Schedule IX hereto. 
  
 (d) The undersigned hereby makes each other representation and warranty set forth in Section 8 of the Security
Agreement with respect to itself and the Collateral granted by it. 
  
 SECTION 4. Obligations Under the Security Agreement. The undersigned hereby agrees, as of the date first above written, to be bound as a Grantor by all of the terms and provisions of the Security Agreement to the same extent as each
of the other Grantors. The undersigned further agrees, as of the date first above written, that each reference in the Security Agreement to an “Additional Grantor” or a “Grantor” shall also mean and be a reference to the
undersigned, that each reference to the “Collateral” or any part thereof shall also mean and be a reference to the undersigned’s Collateral or part thereof, as the case may be, and that each reference in the Security Agreement to a
Schedule shall also mean and be a reference to the schedules attached hereto. 
  

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 SECTION 5. Governing Law. This Security Agreement Supplement shall be governed by, and construed
in accordance with, the laws of the State of New York. 
  

			
	Very truly yours,
	
	[NAME OF ADDITIONAL GRANTOR]
		
	By	 	  

	Name:	 	 
	Title:	 	 
	
	Address for notices:
	
	

	
	

	
	

  

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