Document:

Revolving Credit Agreement

 Exhibit 10.1 
 Execution Version 
 REVOLVING CREDIT AGREEMENT 
 Dated as of 
 August 15, 2006

 Among 
 GLOBALSANTAFE CORPORATION, 
 as Borrower 
 THE LENDERS PARTIES HERETO 
 CITIBANK, N.A., 
 As Swingline Lender 
 CITIBANK, N.A.,

 and 
 WELLS FARGO
BANK, N.A., 
 As Issuing Banks 
 CITIBANK, N.A. , 
 as Administrative Agent 
 WELLS FARGO BANK, N.A. 
 as Syndication Agent 
 and 
 BANK OF AMERICA, N.A

 HSBC BANK USA, NATIONAL ASSOCIATION 
 and 
 THE ROYAL BANK OF SCOTLAND PLC 
 as Co-Documentation Agents 
 CITIGROUP GLOBAL MARKETS INC. 
 and 
 WELLS FARGO BANK, N.A.

 Co-Lead Arrangers and Co-Book Running Managers 

 TABLE OF CONTENTS 
  

					
	 ARTICLE 1.
	  	DEFINITIONS; INTERPRETATION	  	1
			
	 Section 1.1.
	  	Definitions	  	1
	 Section 1.2.
	  	Time of Day	  	17
	 Section 1.3.
	  	Accounting Terms; GAAP	  	17
	 Section 1.4.
	  	Miscellaneous	  	17
			
	 ARTICLE 2.
	  	THE CREDIT FACILITIES	  	17
			
	 Section 2.1.
	  	Commitments for Revolving Loans	  	17
	 Section 2.2.
	  	Types of Revolving Loans and Minimum Borrowing Amounts	  	17
	 Section 2.3.
	  	Manner of Borrowings; Continuations and Conversions of Borrowings	  	18
	 Section 2.4.
	  	Interest Periods	  	20
	 Section 2.5.
	  	Funding of Loans	  	20
	 Section 2.6.
	  	Applicable Interest Rates	  	21
	 Section 2.7.
	  	Default Rate	  	22
	 Section 2.8.
	  	Repayment of Loans; Evidence of Debt	  	23
	 Section 2.9.
	  	Optional Prepayments	  	24
	 Section 2.10.
	  	Mandatory Prepayments of Loans	  	25
	 Section 2.11.
	  	Breakage Fees	  	25
	 Section 2.12.
	  	Letters of Credit	  	26
	 Section 2.13.
	  	Commitment Terminations	  	29
	 Section 2.14.
	  	Increase of Commitments; Additional Lenders	  	30
	 Section 2.15.
	  	Swingline Advances	  	31
			
	 ARTICLE 3.
	  	FEES AND PAYMENTS	  	32
			
	 Section 3.1.
	  	Fees	  	32
	 Section 3.2.
	  	Place and Application of Payments	  	33
	 Section 3.3.
	  	Withholding Taxes	  	34
			
	 ARTICLE 4.
	  	CONDITIONS PRECEDENT	  	37
			
	 Section 4.1.
	  	Initial Borrowing	  	37
	 Section 4.2.
	  	All Borrowings	  	38
			
	 ARTICLE 5.
	  	REPRESENTATIONS AND WARRANTIES	  	40
			
	 Section 5.1.
	  	Corporate Organization	  	40
	 Section 5.2.
	  	Power and Authority; Validity	  	40
	 Section 5.3.
	  	No Violation	  	40
	 Section 5.4.
	  	Litigation	  	41
	 Section 5.5.
	  	Use of Proceeds; Margin Regulations	  	41
	 Section 5.6.
	  	Investment Company Act	  	41
	 Section 5.7.
	  	Public Utility Holding Company Act	  	41
	 Section 5.8.
	  	True and Complete Disclosure	  	42
	 Section 5.9.
	  	Financial Statements	  	42
	 Section 5.10.
	  	No Material Adverse Change	  	42
	 Section 5.11.
	  	Taxes	  	42
	 Section 5.12.
	  	Consents	  	43
	 Section 5.13.
	  	Insurance	  	43
	 Section 5.14.
	  	Intellectual Property	  	43
	 Section 5.15.
	  	Ownership of Property	  	43
	 Section 5.16.
	  	Existing Indebtedness	  	43
	 Section 5.17.
	  	Existing Liens	  	44

					
	 ARTICLE 6.
	  	COVENANTS	  	44
			
	 Section 6.1.
	  	Corporate Existence	  	44
	 Section 6.2.
	  	Maintenance	  	44
	 Section 6.3.
	  	Taxes	  	44
	 Section 6.4.
	  	ERISA.	  	45
	 Section 6.5.
	  	Insurance	  	45
	 Section 6.6.
	  	Financial Reports and Other Information	  	45
	 Section 6.7.
	  	Lender Inspection Rights.	  	48
	 Section 6.8.
	  	Conduct of Business	  	49
	 Section 6.9.
	  	Restrictions on Fundamental Changes	  	49
	 Section 6.10.
	  	Liens	  	49
	 Section 6.11.
	  	Subsidiary Indebtedness	  	52
	 Section 6.12.
	  	Use of Property and Facilities; Environmental Laws	  	54
	 Section 6.13.
	  	Transactions with Affiliates	  	54
	 Section 6.14.
	  	Sale and Leaseback Transactions	  	54
	 Section 6.15.
	  	Compliance with Laws	  	55
	 Section 6.16.
	  	Indebtedness to Total Tangible Capitalization Ratio	  	55
	 Section 6.17.
	  	Use of Proceeds	  	55
			
	 ARTICLE 7.
	  	EVENTS OF DEFAULT AND REMEDIES	  	55
			
	 Section 7.1.
	  	Events of Default.	  	55
	 Section 7.2.
	  	Non-Bankruptcy Defaults	  	57
	 Section 7.3.
	  	Bankruptcy Defaults	  	58
	 Section 7.4.
	  	Collateral for Undrawn Letters of Credit	  	58
	 Section 7.5.
	  	Notice of Default	  	59
	 Section 7.6.
	  	Expenses	  	59
	 Section 7.7.
	  	Distribution and Application of Proceeds	  	59
			
	 ARTICLE 8.
	  	CHANGE IN CIRCUMSTANCES	  	60
			
	 Section 8.1.
	  	Change of Law	  	60
	 Section 8.2.
	  	Unavailability of Deposits or Inability to Ascertain LIBOR Rate	  	61
	 Section 8.3.
	  	Increased Cost and Reduced Return	  	61
	 Section 8.4.
	  	Lending Offices	  	64
	 Section 8.5.
	  	Discretion of Lender as to Manner of Funding	  	64
	 Section 8.6.
	  	Substitution of Lender	  	64
			
	 ARTICLE 9.
	  	THE AGENTS AND ISSUING BANKS	  	65
			
	 Section 9.1.
	  	Appointment and Authorization of Administrative Agent and Other Agents	  	65
	 Section 9.2.
	  	Rights and Powers	  	65
	 Section 9.3.
	  	Action by Administrative Agent and the Other Agents	  	65
	 Section 9.4.
	  	Consultation with Experts	  	66
	 Section 9.5.
	  	Indemnification Provisions; Credit Decision	  	66
	 Section 9.6.
	  	Indemnity	  	67
	 Section 9.7.
	  	Resignation	  	67
			
	 ARTICLE 10.
	  	MISCELLANEOUS	  	68
			
	 Section 10.1.
	  	No Waiver	  	68
	 Section 10.2.
	  	Non-Business Day	  	68
	 Section 10.3.
	  	Documentary Taxes	  	69
	 Section 10.4.
	  	Survival of Representations	  	69
	 Section 10.5.
	  	Survival of Indemnities	  	69
	 Section 10.6.
	  	Setoff; Sharing	  	69
	 Section 10.7.
	  	Notices	  	70

  

 ii 

					
	 Section 10.8.
	  	Counterparts	  	73
	 Section 10.9.
	  	Successors and Assigns	  	73
	 Section 10.10.
	  	Sales and Transfers of Borrowing and Notes; Participations in Borrowings and Notes	  	74
	 Section 10.11.
	  	Amendments, Waivers and Consents	  	77
	 Section 10.12.
	  	Headings	  	78
	 Section 10.13.
	  	Legal Fees, Other Costs and Indemnification	  	78
	 Section 10.14.
	  	Governing Law; Submission to Jurisdiction; Waiver of Jury Trial; Waiver of Certain Damages	  	79
	 Section 10.15.
	  	Confidentiality	  	80
	 Section 10.16.
	  	Effectiveness	  	81
	 Section 10.17.
	  	Severability	  	81
	 Section 10.18.
	  	Currency Provisions	  	81
	 Section 10.19.
	  	Margin Stock	  	82
	 Section 10.20.
	  	Change in Accounting Principles, Fiscal Year or Tax Laws	  	82
	 Section 10.21.
	  	Final Agreement.	  	82
	 Section 10.22.
	  	Officer's Certificates	  	83
	 Section 10.23.
	  	Effect of Inclusion of Exceptions	  	83

 Exhibits: 
  

					
	 Exhibit 1.1
	  	-  	  	Form of BVI Guaranty
	 Exhibit 2.3
	  	-  	  	Form of Borrowing Request
	 Exhibit 2.8A
	  	-  	  	Form of Note
	 Exhibit 2.8B
	  	-  	  	Form of Swingline Note
	 Exhibit 2.12A
	  	-  	  	Form of Issuance Request
	 Exhibit 2.14C
	  	-  	  	Form of Joinder Agreement
	 Exhibit 2.15
	  	-  	  	Form of Swingline Loan Request
	 Exhibit 4.1A
	  	-  	  	Form of Opinion of Baker Botts LLP
	 Exhibit 4.1B
	  	-  	  	Form of Opinion of Walter A. Baker, Vice President and Assistant General Counsel
	 Exhibit 4.1C
	  	-  	  	Form of Opinion of Maples and Calder
	 Exhibit 4.1D
	  	-  	  	Form of Opinion of Harney Westwood & Riegels
	 Exhibit 6.6
	  	-  	  	Form of Compliance Certificate
	 Exhibit 10.10
	  	-  	  	Form of Assignment Agreement

 Schedules: 
  

					
	 Schedule 5.16
	  	-  	  	Existing Indebtedness
	 Schedule 5.17
	  	-  	  	Existing Liens

  

 iii 

 REVOLVING CREDIT AGREEMENT 
 THIS REVOLVING CREDIT AGREEMENT, dated as of August 15, 2006, among GLOBALSANTAFE CORPORATION (the “Borrower”), a Cayman
Islands company, the lenders from time to time parties hereto (each a “Lender” and collectively, the “Lenders”, but those terms shall not include the Swingline Lender in its capacity as the Swingline Lender),
CITIBANK, N.A., as swingline lender (in such capacity, the “Swingline Lender”), CITIBANK, N.A., as Administrative Agent, WELLS FARGO BANK, N.A., as Syndication Agent, BANK OF AMERICA, N.A., HSBC BANK USA, NATIONAL ASSOCIATION and
THE ROYAL BANK OF SCOTLAND PLC, as Co-Documentation Agents, and CITIBANK, N.A. and WELLS FARGO BANK, N.A., as issuing banks of Letters of Credit hereunder. 
 WITNESSETH: 
 WHEREAS, the Borrower has requested that the Lenders establish in its favor a revolving credit
facility in the aggregate principal amount of U.S. $500,000,000 (as such amount may increase or decrease in accordance with the terms hereof), pursuant to which facility revolving loans would be made to, and letters of credit would be issued for the
account of, the Borrower; and 
 WHEREAS, the Lenders are willing to make such revolving credit facility available to the Borrower on the
terms and subject to the conditions and requirements hereinafter set forth; 
 NOW, THEREFORE, in consideration of the premises and of the
mutual covenants herein contained, the parties hereto agree as follows: 
 ARTICLE 1. DEFINITIONS; INTERPRETATION 
 Section 1.1. Definitions. Unless otherwise defined herein, the following terms shall have the following meanings, which meanings shall be
equally applicable to both the singular and plural forms of such terms: 
 “Additional Commitment Amount” shall have the
meaning set forth in Section 2.14. 
 “Additional Lender” shall have the meaning set forth in Section 2.14.

 “Adjusted LIBOR” means, for any Borrowing of Eurocurrency Loans for any Interest Period, a rate per annum determined in
accordance with the following formula: 
  

					
	 Adjusted LIBOR    =
	 	LIBOR Rate for such Interest Period	 	
		 	    1.00 - Statutory Reserve Rate	 	

 “Adjusted LIBOR Loan” means a Eurocurrency Loan bearing interest at a rate based
on Adjusted LIBOR as provided in Section 2.6(b). 

 “Administrative Agent” means Citibank, N.A., acting in its capacity as administrative
agent for the Lenders, and any successor Administrative Agent appointed hereunder pursuant to Section 9.7. 
 “Administrative
Agent’s Account” means the account of the Administrative Agent maintained by the Administrative Agent at its office at Two Penns Way, New Castle, Delaware 19720, Account No. 36852248, Attention: Bank Loan Syndications, and such
other account of the Administrative Agent as is designated in writing from time to time by the Administrative Agent to the Borrower and the Lenders for such purpose. 
 “Administrative Questionnaire” means, with respect to each Lender, an administrative questionnaire in the form prepared by the Administrative Agent and submitted to the Administrative Agent duly
completed by such Lender. 
 “Agreement” means this Revolving Credit Agreement, as the same may be amended, restated and
supplemented from time to time. 
 “Applicable Facility Fee Rate” means, for any day, at such times as a rating (either
express or implied) by S&P or Moody’s is in effect on the Borrower’s non-credit enhanced senior unsecured long-term debt, the percentage per annum set forth opposite such debt rating: 
  

				
	 Debt Rating(S&P and Moody’s)
	  	Percentage	 
	 A+/A1 or above
	  	0.050	%
	 A/A2
	  	0.055	%
	 A-/A3
	  	0.065	%
	 BBB+/Baa1
	  	0.080	%
	 BBB/Baa2
	  	0.100	%
	 BBB-/Baa3 or below
	  	0.125	%

 The Applicable Facility Fee Rate will be determined based upon the ratings issued by S&P and Moody’s. If
such ratings differ (i) by one rating, the higher of such two ratings will apply to determine the Applicable Facility Fee Rate, or (ii) by more than one rating, the rating that is one level above the lower of such two ratings will apply to
determine the Applicable Facility Fee Rate. If only one such rating is issued by S&P or Moody’s, the Applicable Facility Fee Rate will be determined by such rating. The Borrower shall give written notice to the Administrative Agent of any
changes to such ratings, within three (3) Business Days thereof, and any change to the Applicable Facility Fee Rate shall be effective on the date of the relevant change. Notwithstanding the foregoing, if the Borrower shall at any time fail to
have in effect at least one such rating on the Borrower’s non-credit enhanced senior unsecured long-term debt, the Borrower shall seek and obtain (if not already in effect), within thirty (30) days after such rating 

  

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first ceases to be in effect, a corporate credit rating or a bank loan rating from Moody’s and/or S&P (or if neither of Moody’s and S&P
issue such types of ratings or ratings comparable thereto, from another nationally recognized rating agency approved by each of the Borrower and the Administrative Agent), and the Applicable Facility Fee Rate shall thereafter be based on such
ratings in the same manner as provided herein with respect to the Borrower’s non-credit enhanced senior unsecured long-term debt rating (with the Applicable Facility Fee Rate in effect prior to the issuance of such corporate credit rating or
bank loan rating being the same as the Applicable Facility Fee Rate in effect at the time the non-credit enhanced senior unsecured long-term debt rating ceases to be in effect). 
 “Applicable Margin” means, for any day, at such times as a rating (either express or implied) by S&P or Moody’s is in effect on
the Borrower’s non-credit enhanced senior unsecured long-term debt, the percentage per annum set forth opposite such debt rating: 
  

				
	 Debt Rating(S&P and Moody’s)
	  	Percentage	 
	 A+/A1 or above
	  	0.100	%
	 A/A2
	  	0.145	%
	 A-/A3
	  	0.235	%
	 BBB+/Baa1
	  	0.320	%
	 BBB/Baa2
	  	0.400	%
	 BBB-/Baa3 or below
	  	0.575	%

 The Applicable Margin will be determined based upon the ratings issued by S&P and Moody’s. If such
ratings differ (i) by one rating, the higher of such two ratings will apply to determine the Applicable Margin, or (ii) by more than one rating, the rating that is one level above the lower of such two ratings will apply to determine the
Applicable Margin. If only one such rating is issued by S&P or Moody’s, the Applicable Margin will be determined by such rating. The Borrower shall give written notice to the Administrative Agent of any changes to such ratings, within three
(3) Business Days thereof, and any change to the Applicable Margin shall be effective on the date of the relevant change. Notwithstanding the foregoing, if the Borrower shall at any time fail to have in effect any such rating on the
Borrower’s non-credit enhanced senior unsecured long-term debt, the Borrower shall seek and obtain (if not already in effect), within thirty (30) days after such rating first ceases to be in effect, a corporate credit rating or a bank loan
rating from Moody’s and/or S&P (or if neither of Moody’s and S&P issue such types of ratings or ratings comparable thereto, from another nationally recognized rating agency approved by each of the Borrower and the Administrative
Agent), and the Applicable Margin shall thereafter be based on such ratings in the same manner as provided herein with respect to the Borrower’s non-credit enhanced senior unsecured long-term debt rating (with the Applicable Margin in effect
prior to the issuance of such corporate credit rating or bank loan rating being the same as the Applicable Margin in effect at the time the non-credit enhanced senior unsecured long-term debt rating ceases to be in effect). 
  

 3 

 “Applicable Utilization Fee Rate” means, for any day, 0.050% per annum. 

“Application” means an application for a Letter of Credit as defined in Section 2.12(b). 
 “Assignment Agreement” means an agreement in substantially the form of Exhibit 10.10 whereby a Lender conveys part or all of its
Commitment, Loans and participations in Letters of Credit to another Person that is, or thereupon becomes, a Lender, or increases its Commitments, outstanding Loans and outstanding participations in Letters of Credit, pursuant to Section 10.10.

 “Attributable Obligations” means, with respect to any Sale-Leaseback Transaction as of any particular time, the present
value at such time discounted at the rate of interest implicit in the terms of the lease of the obligations of the lessee under such lease for net rental payments during the remaining term of the lease (including any period for which such lease has
been extended or may, at the option of the lessee, be extended). As used in the preceding sentence, the “net rental payments” under any lease for any period shall mean the sum of rental and other payments required to be paid with respect
to such period by the lessee thereunder, excluding any amounts required to be paid by such lessee on account of maintenance and repairs, insurance, taxes, assessments, water rates or similar charges. In the case of any lease that is terminable by
the lessee upon payment of penalty, such net rental payment shall also include the amount of such penalty, but no rent shall be considered as required to be paid under such lease subsequent to the first date upon which it may be so terminated.

 “Base Rate” means for any day the greater of: 
 (i) the fluctuating commercial loan rate announced by the Administrative Agent from time to time at its New York, New York office (or other corresponding
office, in the case of any successor Administrative Agent) as its prime rate or base rate for U.S. Dollar loans in the United States of America in effect on such day (which base rate may not be the lowest rate charged by such Lender on loans to
any of its customers), with any change in the Base Rate resulting from a change in such announced rate to be effective on the date of the relevant change; and 
 (ii) the sum of (x) the rate per annum (rounded upwards, if necessary, to the nearest 1/100th of 1%) equal to the weighted average of the rates on overnight federal funds transactions with members of the Federal
Reserve System arranged by federal funds brokers on such day, as published by the Federal Reserve Bank of New York on the next Business Day, provided that (A) if such day is not a Business Day, the rate on such transactions on the
immediately preceding Business Day as so published on the next Business Day shall apply, and (B) if no such rate is published on such next Business Day, the rate for such day shall be the average of the offered rates quoted to the
Administrative Agent by two (2) federal funds brokers of recognized standing on such day for such transactions as selected by the Administrative Agent, plus (y) a percentage per annum equal to one-half of one percent ( 1/2%) per annum. 
  

 4 

 “Base Rate Loan” means a Revolving Loan bearing interest prior to maturity at the rate
specified in Section 2.6(a). 
 “Borrower” has the meaning specified in the first paragraph hereof. 
 “Borrowing” means any extension of credit of the same Type made by the Lenders on the same date by way of Revolving Loans having a
single Interest Period or a Letter of Credit, including any Borrowing advanced, continued or converted. A Borrowing is “advanced” on the day the Lenders advance funds comprising such Borrowing to the Borrower or a Letter of Credit
is issued, increased or extended, is “continued” (in the case of Eurocurrency Loans) on the date a new Interest Period commences for such Borrowing, and is “converted” when such Borrowing is changed from one Type of
Loan to the other, all as requested by the Borrower pursuant to Section 2.3. 
 “Borrowing Multiple” means, for any
Loan, $100,000. 
 “Borrowing Request” has the meaning set forth in Section 2.3(a). 
 “Business Day” means any day other than a Saturday or Sunday on which banks are not authorized or required to close in New York, New
York and, if the applicable Business Day relates to the advance or continuation of, conversion into, or payment on a Eurocurrency Borrowing on which banks are dealing in Dollar deposits in the interbank eurocurrency market in London, England, and in
the United States. 
 “BVI” means GlobalSantaFe International Drilling Inc., a British Virgin Islands corporation.

 “BVI Guaranty” means a guaranty of BVI in substantially the form of Exhibit 1.1. 
 “Capitalized Lease Obligations” means, for any Person, the aggregate amount of such Person’s liabilities under all leases of real
or personal property (or any interest therein) which are required to be capitalized on the balance sheet of such Person as determined in accordance with GAAP. 
 “Cash Equivalents” means (i) securities issued or directly and fully guaranteed or insured by the United States of America or any agency or instrumentality thereof having maturities of not more
than twelve (12) months from the date of acquisition, (ii) time deposits and certificates of deposits maturing within one year from the date of acquisition thereof or repurchase agreements with financial institutions whose short-term
unsecured debt rating is A or above as obtained from either S&P or Moody’s, (iii) commercial paper or Eurocommercial paper with a rating of at least A-1 by S&P or at least P-1 by Moody’s, with maturities of not more than
twelve (12) months from the date of acquisition, (iv) repurchase obligations entered into with any Lender, or any other Person whose short-term senior unsecured debt rating from S&P is at least A-1 or from Moody’s is at least P-1,
which are secured by a fully perfected security interest in any obligation of the type described in (i) above and has a market value of the time such repurchase is entered into of not less than 100% of the repurchase obligation of such Lender
or 

  

 5 

 
such other Person thereunder, (v) marketable direct obligations issued by any state of the United States of America or any political subdivision of any
such state or any public instrumentality thereof maturing within twelve (12) months from the date of acquisition thereof or providing for the resetting of the interest rate applicable thereto not less often than annually and, at the time of
acquisition, having one of the two highest ratings obtainable from either S&P or Moody’s, and (vi) money market funds which have at least $1,000,000,000 in assets and which invest primarily in securities of the types described in
clauses (i) through (v) above. 
 “Citibank” means Citibank, N.A., a national banking association. 
 “Code” means the Internal Revenue Code of 1986, as amended. 
 “Co-Documentation Agents” means, collectively, Bank of America, National Association, HSBC Bank USA, National Association and The Royal
Bank of Scotland plc, in their capacities as co-documentation agents, and any successor Co-Documentation Agents appointed pursuant to Section 9.7; provided, however, that no such Co-Documentation Agent shall have any duties,
responsibilities, or obligations hereunder in such capacity. 
 “Co-Lead Arrangers” means, collectively, Citigroup Global
Markets Inc. and Wells Fargo Bank, N.A., acting in their capacities as co-lead arrangers and co-book running managers for the credit facility described in this Agreement; provided, however, that no such Co-Lead Arrangers shall have any
duties, responsibilities, or obligations hereunder in such capacity. 
 “Collateral” means all property and assets of the
Borrower in which the Administrative Agent or the Collateral Agent is granted a Lien, for the benefit of the Lenders, the Issuing Banks, the Swingline Lender and the Administrative Agent, under the terms of Section 7.4. 
 “Collateral Account” has the meaning set forth in Section 7.4(b). 
 “Collateralized Obligations” has the meaning set forth in Section 7.4(b). 
 “Collateral Agent” means Citibank acting in its capacity as collateral agent for the Lenders, and any successor collateral agent
appointed hereunder pursuant to Section 9.7. 
 “Commitment” means, relative to any Lender, such Lender’s
obligations to make Revolving Loans and participate in Letters of Credit pursuant to Sections 2.1 and 2.12, initially in the amount and percentage set forth opposite its signature hereto or pursuant to Section 10.10, as such obligations may be
reduced or increased from time to time as expressly provided pursuant to this Agreement. For avoidance of doubt, “Commitment” does not include the Swingline Commitment. 
 “Commitment Termination Date” means the earliest of (i) August 15, 2011, (ii) the date on which the Commitments are
terminated in full or reduced to zero pursuant to Section 2.13, (iii) the occurrence of any Event of Default described in Section 7.1(f) or (g) with respect to the Borrower or BVI, and (iv) the occurrence and continuance of
any other Event of Default and either (x) the declaration of the Loans to be due and payable pursuant to Section 7.2, or (y) in the 

  

 6 

 
absence of such declaration, the giving of written notice by the Administrative Agent, acting at the direction of the Required Lenders, to the Borrower
pursuant to Section 7.2 that the Commitments have been terminated. 
 “Compliance Certificate” means a certificate in
the form of Exhibit 6.6. 
 “Confidential Information Memorandum” shall mean the Confidential Information Memorandum
of the Borrower dated July, 2006, as the same may be amended, restated and supplemented from time to time and distributed to the Lenders prior to the Effective Date. 
 “Consolidated Indebtedness” means all Indebtedness of the Borrower and its Subsidiaries that would be reflected on a consolidated balance sheet of such Persons prepared in accordance with GAAP.

 “Consolidated Net Assets” means, as of any date of determination, an amount equal to the aggregate book value of the
assets of the Borrower, its Subsidiaries and, to the extent of the equity interest of the Borrower and its Subsidiaries therein, SPVs at such time, minus the current liabilities of the Borrower and its Subsidiaries, all as determined on a
consolidated basis in accordance with GAAP based on the most recent quarterly or annual consolidated financial statements of the Borrower referred to in Section 5.9 or delivered (or publicly filed) as provided in Section 6.6(a), as the
case may be. 
 “Consolidated Tangible Net Worth (Borrower)” means, as of any date of determination, consolidated
shareholders equity of the Borrower and its Subsidiaries determined in accordance with GAAP but excluding the effect on shareholders equity of cumulative foreign exchange translation adjustments, and less the net book amount of all
assets of the Borrower and its Subsidiaries that would be classified as intangible assets on the consolidated balance sheet of the Borrower as of such date prepared in accordance with GAAP. For purposes of this definition, SPVs shall be accounted
for pursuant to the equity method of accounting. 
 “Consolidated Tangible Net Worth (BVI)” means, as of any date of
determination, consolidated shareholders equity of BVI and its Subsidiaries determined in accordance with GAAP but excluding the effect on shareholders equity of cumulative foreign exchange translation adjustments, and less the net
book amount of all assets of BVI and its Subsidiaries that would be classified as intangible assets on the consolidated balance sheet of BVI as of such date prepared in accordance with GAAP. For purposes of this definition, SPVs that are
Subsidiaries of BVI shall be accounted for pursuant to the equity method of accounting. 
 “Controlling Affiliate” means,
(i) any Person that directly or indirectly through one or more intermediaries controls, or is under common control with, the Borrower (other than Persons controlled by the Borrower), and (ii) any Person owning beneficially or controlling
ten percent (10%) or more of the equity interests in the Borrower. As used in this definition, “control” means the power, directly or indirectly, to direct or cause the direction of management or policies of a Person (through
ownership of voting securities or other equity interests, by contract or otherwise). 
  

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 “Credit Documents” means this Agreement, the Notes, the Applications, the Letters of
Credit, Issuance Requests, Borrowing Requests, Swingline Requests and the BVI Guaranty. 
 “Credit Party” means each of the
Borrower and BVI. 
 “Currency Rate Protection Agreement” shall mean any foreign currency exchange and future agreements,
arrangements and options designed to protect against fluctuations in currency exchange rates. 
 “Default” means any event
or condition the occurrence of which would, with the passage of time or the giving of notice, or both, constitute an Event of Default. 
 “Dollar” and “U.S. Dollar” and the sign “$” mean lawful money of the United States of America. 
 “Dollar Equivalent” means, on any date of determination (i) with respect to any amount in Dollars, such amount, and (ii) with respect to any amount in any currency other than U.S. Dollars,
the equivalent in Dollars of such amount using the applicable Exchange Rate with respect to such currency at the time in effect. 
 “Effective Date” has the meaning set forth in Section 10.16. 
 “Environmental Claims” means
any and all administrative, regulatory or judicial actions, suits, demands, demand letters, claims, liens, notices of non-compliance or violation, investigations or proceedings relating to any Environmental Law (“Claims”) or any
permit issued under any Environmental Law, including, without limitation, (i) any and all Claims by governmental or regulatory authorities for enforcement, cleanup, removal, response, remedial or other actions or damages pursuant to any
applicable Environmental Law, and (ii) any and all Claims by any third party seeking damages, contribution, indemnification, cost recovery, compensation or injunctive relief resulting from Hazardous Materials or arising from alleged injury or
threat of injury to the environment. 
 “Environmental Law” means any federal, state or local statute, law, rule,
regulation, ordinance, code, policy or rule of common law now or hereafter in effect, including any judicial or administrative order, consent, decree or judgment, relating to the environment. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 
 “Eurocurrency”, when used in reference to any Revolving Loan or Borrowing, means such Loan, or the Loans comprising such Borrowing,
shall bear interest at a rate determined by reference to Adjusted LIBOR and the Applicable Margin. 
 “Eurocurrency Loan”
means a Revolving Loan bearing interest before maturity at the rate specified in Section 2.6(b). 
 “Event of Default”
means any of the events or circumstances specified in Section 7.1. 
  

 8 

 “Exchange Rate” means at any time, with respect to any currency, the rate at which such
currency may be exchanged into Dollars, as set forth at approximately 11:00 A.M. on such day on the applicable page of the Bloomberg Service reporting the exchange rates for such currency. In the event such exchange rate does not appear on the
applicable page of such service, (i) the Exchange Rate shall be determined by reference to such other publicly available services for displaying currency exchange rates as may be agreed upon by the Administrative Agent and the Borrower, or, in
the absence of such agreement, the Exchange Rate shall instead be determined based on current market spot rates, and (ii) in the absence of such agreement and if at the time of any such determination no such spot rate is being quoted, the
Exchange Rate shall be determined by any reasonable method specified by the Required Lenders. 
 “Foreign Plan” means any
pension, profit sharing, deferred compensation, or other employee benefit plan, program or arrangement maintained by any foreign Subsidiary of the Borrower which, under applicable local law, is required to be funded through a trust or other funding
vehicle, but shall not include any benefit provided by a foreign government or its agencies. 
 “GAAP” means generally
accepted accounting principles from time to time in effect as set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and the statements and pronouncements of the
Financial Accounting Standards Board or in such other statements, opinions and pronouncements by such other entity as may be approved by a significant segment of the U.S. accounting profession. 
 “Governmental Authority” means the government of the United States of America, any other nation or any political subdivision thereof,
whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to
government. 
 “Guaranty” by any Person means all contractual obligations (other than endorsements in the ordinary course of
business of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business) of such Person guaranteeing any Indebtedness of any other Person (the “primary obligor”) in any manner, whether
directly or indirectly, including, without limitation, all obligations incurred through an agreement, contingent or otherwise, by such Person: (i) to purchase such Indebtedness or to purchase any property or assets constituting security
therefor, primarily for the purpose of assuring the owner of such Indebtedness of the ability of the primary obligor to make payment of such Indebtedness; or (ii) to advance or supply funds (x) for the purchase or payment of such
Indebtedness, or (y) to maintain working capital or other balance sheet condition, or otherwise to advance or make available funds for the purchase or payment of such Indebtedness, in each case primarily for the purpose of assuring the owner of
such Indebtedness of the ability of the primary obligor to make payment of such Indebtedness; or (iii) to lease property, or to purchase securities or other property or services, of the primary obligor, primarily for the purpose of assuring the
owner of such Indebtedness of the ability of the primary obligor to make payment of such Indebtedness; or (iv) otherwise to assure the owner of such Indebtedness of the primary obligor against loss in 

  

 9 

 
respect thereof. For the purpose of all computations made under this Agreement, the amount of a Guaranty in respect of any Indebtedness shall be deemed to be
equal to the amount that would apply if such Indebtedness was the direct obligation of such Person rather than the primary obligor or, if less, the maximum aggregate potential liability of such Person under the terms of the Guaranty. 
 “Hazardous Material” shall have the meaning assigned to that term in the Comprehensive Environmental Response Compensation and Liability
Act of 1980, as amended by the Superfund Amendments and Reauthorization Acts of 1986, and shall also include petroleum, including crude oil or any fraction thereof, or any other substance defined as “hazardous” or
“toxic” or words with similar meaning and effect under any Environmental Law applicable to the Borrower or any of its Subsidiaries. 
 “Highest Lawful Rate” means the maximum nonusurious interest rate, if any, that any time or from time to time may be contracted for, taken, reserved, charged or received on any Loans, under laws
applicable to any of the Lenders which are presently in effect or, to the extent allowed by applicable law, under such laws which may hereafter be in effect and which allow a higher maximum nonusurious interest rate than applicable laws now allow.
Determination of the rate of interest for the purpose of determining whether any Loans are usurious under all applicable laws shall be made by amortizing, prorating, allocating, and spreading, in equal parts during the period of the full stated term
of the Loans, all interest at any time contracted for, taken, reserved, charged or received from the Borrower in connection with the Loans. 
 “Indebtedness” means, for any Person, the following obligations of such Person, without duplication: (i) obligations of such Person for borrowed money; (ii) obligations of such Person representing the deferred
purchase price of property or services other than accounts payable and accrued liabilities arising in the ordinary course of business and other than amounts which are being contested in good faith and for which reserves in conformity with GAAP have
been provided; (iii) obligations of such Person evidenced by bonds, notes, bankers acceptances, debentures or other similar instruments of such Person or arising, whether absolute or contingent, out of letters of credit securing Indebtedness
issued for such Person’s account or pursuant to such Person’s application; (iv) obligations of other Persons, whether or not assumed, secured by Liens (other than Permitted Liens) upon property or payable out of the proceeds or
production from property now or hereafter owned or acquired by such Person, but only to the extent of such property’s fair market value; (v) Capitalized Lease Obligations of such Person; (vi) obligations under Interest Rate Protection
Agreements and Currency Rate Protection Agreements, (vii) in the case of the Borrower or any Subsidiary, all Attributable Obligations of the Borrower or any Subsidiary and (viii) obligations of such Person pursuant to a Guaranty of any of
the foregoing obligations of another Person; provided, however, Indebtedness shall exclude (a) Non-recourse Debt, (b) any Indebtedness attributable to the mark-to-market treatment of obligations of the type described in clause
(vi) in this definition of Indebtedness, and any actual fair value adjustment arising from any Interest Rate Protection Agreements and (c) Currency Rate Protection Agreements, in each case under this clause (c) that (1) have been
cancelled or otherwise terminated before their scheduled expiration and (2) were entered into in the ordinary course of business and not for investment or speculative purposes. For purposes of this Agreement, the Indebtedness of any Person
shall include the Indebtedness of any partnership or joint venture to the extent such Indebtedness is recourse to such Person. 
  

 10 

 “Initial Availability Date” means the date on which the conditions specified in
Section 4.1 are satisfied (or waived in accordance with Section 10.11). 
 “Interest Payment Date” means
(a) with respect to any Base Rate Loan or any Swingline Loan, the last day of each March, June, September and December and (b) with respect to any Eurocurrency Loan, the last day of the Interest Period applicable to the Borrowing of which
such Loan is a part and, in the case of a Eurocurrency Borrowing with an Interest Period of more than three months’ duration, each day prior to the last day of such Interest Period that occurs at intervals of three months’ duration after
the first day of such Interest Period. 
 “Interest Period” means with respect to any Eurocurrency Borrowing, the period
commencing on the date of such Borrowing and ending on the numerically corresponding day in the calendar month that is one, two, three or six months thereafter (or with the consent of each Lender making a Loan as part of such Borrowing, any other
period), in each case as the Borrower may elect. For purposes hereof, the date of a Borrowing initially shall be the date on which such Borrowing is made and thereafter shall be the effective date of the most recent conversion or continuation of
such Borrowing. 
 “Interest Rate Protection Agreement” shall mean any interest rate swap, interest rate cap, interest rate
collar, or other interest rate hedging agreement or arrangement designed to protect against fluctuations in interest rates. 
 “ISP” means, with respect to any Letter of Credit, the “International Standby Practices 1998” published by the Institute of International Banking Law & Practice (or such later version thereof as may be in
effect at the time of issuance). 
 “Issuing Bank” means each of (in each case, in its capacity as an issuer of Letters of
Credit hereunder) (i) Citibank, N.A., (ii) Wells Fargo Bank, N.A. and (iii) any other Lender that consents to being an “Issuing Bank” under this Agreement, if such other Lender is approved in writing as an Issuing Bank by
the Administrative Agent and the Borrower, such approval not to be unreasonably withheld or delayed. 
 “Issuance Request”
has the meaning set forth in Section 2.12(b). 
 “Joinder Agreement” means an agreement in substantially the form
of Exhibit 2.14C signed by the Borrower, by each Additional Lender and by each other Lender whose Commitment is to be increased, setting forth the new Commitments of such Lenders and setting forth the agreement of each Additional Lender to
become a party to this Agreement and to be bound by all the terms and provisions hereof. 
 “L/C Documents” means the
Letters of Credit, any Issuance Requests and Applications with respect thereto, any draft or other document presented in connection with a drawing thereunder, and this Agreement. 
  

 11 

 “L/C Obligations” means as at any date of determination, the aggregate amount available
to be drawn under all outstanding Letters of Credit plus the aggregate of all unpaid Reimbursement Obligations. For purposes of computing the amount available to be drawn under any Letter of Credit, the amount of such Letter of Credit shall be
determined in accordance with Section 2.12(e). For all purposes of this Agreement, if on any date of determination a Letter of Credit has expired by its terms but any amount may still be drawn thereunder by reason of the operation of Rule 3.14
of the ISP, such Letter of Credit shall be deemed to be “outstanding” in the amount so remaining available to be drawn. 
 “Lender” has the meaning specified in the first paragraph hereof. 
 “Lending Office” means the
“Lending Office” of such Lender (or an Affiliate of such Lender) designated for each Type of Loan or Letter of Credit in the Administrative Questionnaire submitted by such Lender or such other office of such Lender (or an Affiliate of such
Lender) as such Lender may from time to time specify to the Administrative Agent and the Borrower as the office by which its Loans of such Type and Letters of Credit are to be made and maintained. 
 “Letter of Credit” means any letter of credit issued by an Issuing Bank for the account of the Borrower pursuant to
Section 2.12(a). 
 “LIBOR Rate” means, for any Interest Period for each Eurocurrency Loan, an interest rate per annum
equal to the rate per annum appearing on Moneyline Telerate Markets Page 3750 (or any successor page) as the London interbank offered rate for deposits in Dollars at approximately 11:00 A.M. (London time) two Business Days prior to the first day of
such Interest Period for a term comparable to such Interest Period or, if for any reason such rate is not available, the average (rounded to the nearest 1/100 of 1% per annum) of the rate per annum at which deposits in Dollars are offered by
the principal office of each of the Reference Banks in London, England to prime banks in the London interbank market at 11:00 A.M. (London time) two Business Days before the first day of such Interest Period in an amount substantially equal to such
Reference Bank’s Eurocurrency Loan comprising part of such Borrowing to be outstanding during such Interest Period and for a period equal to such Interest Period. If for any reason the LIBOR Rate cannot be computed by either method referred to
above, the LIBOR Rate for any Interest Period for each Eurocurrency Loan comprising part of the same Borrowing shall be determined by the Administrative Agent on the basis of applicable rates furnished to and received by the Administrative Agent
from the Reference Banks, such rates being the rates at which such Reference Banks are offered deposits in Dollars of approximately $5,000,000 for a period approximately equal to such Interest Period in the London interbank market at 11:00 A.M.
(London time) two Business Days before the first day of such Interest Period. 
 “Lien” means any interest in any property
or asset in favor of a Person other than the owner of such property or asset and securing an obligation owed to, or a claim by, such Person, whether such interest is based on the common law, statute or contract, including, but not limited to, the
security interest lien arising from a mortgage, encumbrance, pledge, conditional sale, security agreement or trust receipt, or a lease, consignment or bailment for security purposes. 
  

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 “Loan” means (i) a Base Rate Loan, (ii) a Eurocurrency Loan or (iii) a
Swingline Loan, as the case may be, and “Loans” means two or more of any such Loans. 
 “Material Adverse
Effect” means a material adverse effect on (i) the business, assets, operations or condition of the Borrower and its Subsidiaries taken as a whole, or (ii) the Borrower’s ability to perform any of its payment obligations
under this Agreement. 
 “Maturity Date” means the earlier of (i) the Commitment Termination Date, and (ii) the
date on which the Loans have become due and payable pursuant to Section 7.2 or 7.3. 
 “Moody’s” means
Moody’s Investors Service, Inc. or any successor thereto. 
 “Non-recourse Debt” means with respect to any Person
(i) obligations of such Person against which the obligee has no recourse to such Person except as to certain named or described present or future assets or interests of such Person, and (ii) the obligations of SPVs to the extent the
obligee thereof has no recourse to the Borrower or any of its Subsidiaries, except as to certain specified present or future assets or interests of SPVs. 
 “Note” means a Revolving Note or a Swingline Note. 
 “Obligations” means
all obligations of the Borrower to pay fees, costs and expenses hereunder, to pay principal or interest on Loans and Reimbursement Obligations and to pay any other obligations to the Administrative Agent, the Swingline Lender, any Lender or any
Issuing Bank arising under any Credit Document. 
 “Other Agents” means, collectively, the Co-Documentation Agents and the
Syndication Agent. 
 “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, as amended from time to time. 
 “PBGC” means the Pension Benefit Guaranty Corporation or any successor thereto. 
 “Percentage”
means, for each Lender, the percentage of the Commitments represented by such Lender’s Commitment; provided, that, if the Commitments are terminated, each Lender’s Percentage shall be calculated based on such Lender’s pro rata
share of the total Revolving Loans and L/C Obligations then outstanding or, if no Revolving Loans or L/C Obligations are then outstanding, its Commitment in effect immediately before such termination, subject to any assignments by such Lender of
Obligations pursuant to Section 10.10. 
 “Performance Guaranties” means all Guaranties of performance (and not
financial Guaranties) of the Borrower or any of its Subsidiaries delivered in connection with the construction, operation, ownership or financing of drill ships, offshore mobile drilling units or offshore drilling rigs. 
  

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 “Performance Letters of Credit” means all letters of credit for the account of the
Borrower, any Subsidiary or a SPV issued as support for Non-recourse Debt or a Performance Guaranty. 
 “Permitted Business”
has the meaning ascribed to such term in Section 6.8. 
 “Permitted Liens” means the Liens permitted as described in
Section 6.10. 
 “Person” means an individual, partnership, corporation, limited liability company, association, trust,
unincorporated organization or any other entity or organization, including a government or any agency or political subdivision thereof. 
 “Plan” means an employee pension benefit plan covered by Title IV of ERISA or subject to the minimum funding standards under Section 412 of the Code that is either (i) maintained by the Borrower or any of its
Subsidiaries, or (ii) maintained pursuant to a collective bargaining agreement or any other arrangement under which more than one employer makes contributions and to which the Borrower or any of its Subsidiaries is then making or accruing an
obligation to make contributions or has within the preceding five (5) plan years made or had an obligation to make contributions. 
 “Reference Banks” means Citibank and Wells Fargo Bank, N.A. or, if either such Lender assigns all of its Commitment and the Loans owing to it in accordance with Section 10.10, such other Lender as may be designated by
the Administrative Agent and approved by the Borrower (such approval not to be unreasonably withheld). 
 “Reimbursement
Obligations” has the meaning ascribed to such term in Section 2.12(c). 
 “Required Lenders” means, Lenders
having Revolving Credit Exposures and unused Commitments representing more than 50% of the sum of the total Revolving Credit Exposures and unused Commitments at such time or, if the Commitments have been terminated or expired, Lenders having more
than 50% of the sum of the total Revolving Credit Exposures of all Lenders. 
 “Revolving Credit” means the credit facility
for making Revolving Loans and issuing Letters of Credit described in Sections 2.1 and 2.12. 
 “Revolving Credit Commitment
Amount” means an amount equal to $500,000,000, as such amount may be increased or reduced from time to time pursuant to the terms of this Agreement. 
 “Revolving Credit Exposure” means, with respect to any Lender at any time, the sum at such time, without duplication, of (i) such Lender’s applicable Percentage of the principal amounts of
the outstanding Revolving Loans, (ii) such Lender’s applicable Percentage of the aggregate outstanding L/C Obligations and (iii) such Lender’s applicable Percentage of the Swingline Exposure. 
  

 14 

 “Revolving Loan” means each of the revolving loans defined in Section 2.1.

 “Revolving Note” has the meaning ascribed to such term in Section 2.8. 
 “Sale-Leaseback Transaction” means any arrangement whereby the Borrower or a Subsidiary shall sell or transfer any property, real or
personal, used or useful in its business, whether now owned or hereafter acquired, and thereafter rent or lease property that it intends to use for substantially the same purpose or purposes as the property sold or transferred. 
 “S&P” means Standard & Poor’s Ratings Group or any successor thereto. 
 “SPV” means any Person that is designated by the Borrower as a SPV, provided that the Borrower shall not designate as a SPV any
Subsidiary that owns, directly or indirectly, any other Subsidiary that has total assets (including assets of any Subsidiaries of such other Subsidiary, but excluding any assets that would be eliminated in consolidation with the Borrower and its
Subsidiaries) which equates to at least five percent (5%) of the Borrower’s Total Assets, or that had net income (including net income of any Subsidiaries of such other Subsidiary, all before discontinued operations and income or loss
resulting from extraordinary items, but excluding revenues and expenses that would be eliminated in consolidation with the Borrower and its Subsidiaries and excluding any loss or gain resulting from the early extinguishment of Indebtedness) during
the most recently completed fiscal year of the Borrower in excess of the greater of (i) $1,000,000, and (ii) fifteen percent (15%) of the net income (before discontinued operations and income or loss resulting from extraordinary items
and excluding any loss or gain resulting from the early extinguishment of Indebtedness) for the Borrower and its Subsidiaries, all as determined on a consolidated basis in accordance with GAAP during such fiscal year of the Borrower. The Borrower
may elect to treat any Subsidiary as a SPV (provided such Subsidiary would otherwise qualify as such), and may rescind any such prior election, by giving written notice thereof to the Administrative Agent specifying the name of such Subsidiary or
SPV, as the case may be, and the effective date of such election, which shall be a date within sixty (60) days after the date such notice is given. The election to treat a particular Person as a SPV may only be made once. 
 “Significant Subsidiary” has the meaning ascribed to it under Regulation S-X promulgated under the Securities Exchange Act of 1934, as
amended. 
 “Statutory Reserve Rate” means the aggregate of the maximum reserve, liquid asset or similar percentages
(including any marginal, special, emergency or supplemental reserves) expressed as a decimal established by any Governmental Authority of the United States or of any jurisdiction in which Loans in Dollars are made to which banks in such jurisdiction
are subject for any category of deposits or liabilities customarily used to fund loans in Dollars or by reference to which interest rates applicable to loans in Dollars are determined. Such reserve, liquid asset or similar percentages shall include
those imposed pursuant to Regulation D of the Board of Governors of the Federal Reserve System. Eurocurrency Loans shall be deemed to be subject to such reserve requirements without benefit of or credit for proration, exemptions or offsets that may
be available from time to time to any Lender under Regulation D or any other applicable law, rule or regulation. The Statutory Reserve Rate shall be adjusted automatically on and as of the effective date of any change in any reserve percentage.

  

 15 

 “Subsidiary” means, for any Person, any other Person (other than, except in the context
of Sections 5.9 and 6.6(a), a SPV) of which more than fifty percent (50%) of the outstanding stock or comparable equity interests having ordinary voting power for the election of the board of directors, managers or similar governing body of
such other Person (irrespective of whether or not at the time stock or other equity interests of any other class or classes of such other Person shall have or might have voting power by reason of the happening of any contingency), is at the time
directly or indirectly owned by such former Person or by one or more of its Subsidiaries. Notwithstanding the foregoing, references to Subsidiaries and material Subsidiaries herein includes, without limitation, BVI. 
 “Swingline Commitment” means the commitment of the Swingline Lender to make loans pursuant to Section 2.15, as the same may be
reduced from time to time as expressly provided pursuant to this Agreement. The amount of the Swingline Commitment shall initially be $50,000,000. 
 “Swingline Exposure” means at any time the aggregate principal amount at such time of all outstanding Swingline Loans. The Swingline Exposure of any Lender at any time shall equal its applicable Percentage of the aggregate
Swingline Exposure at such time. 
 “Swingline Lender” has the meaning specified in the first paragraph hereof. 

“Swingline Loan” means any loan made by the Swingline Lender pursuant to Section 2.15. 
 “Swingline Note” has the meaning set forth in Section 2.8. 
 “Swingline Request” has the meaning set forth in Section 2.15. 
 “Syndication Agent” means, Wells Fargo Bank, N.A., acting in its capacity as syndication agent for the Lenders, and any successor
Syndication Agent appointed hereunder pursuant to Section 9.7; provided, however, that the Syndication Agent shall not have any duties, responsibilities, or obligations hereunder in such capacity. 
 “Taxes” has the meaning set forth in Section 5.11. 
 “Total Assets” means, as of any date of determination, the aggregate book value of the assets of the Borrower and its Subsidiaries determined on a consolidated basis in accordance with GAAP as of such
date. 
 “Total Tangible Capitalization” means, as of any date of determination, the sum of Consolidated Indebtedness
plus Consolidated Tangible Net Worth (Borrower) as of such date. 
  

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 “Type”, when used in reference to any Revolving Loan or Borrowing, refers to whether the
rate of interest on such Loan, or on the Loans comprising such Borrowing, is determined by reference to Adjusted LIBOR or the Base Rate. 
 “Unfunded Vested Liabilities” means, for any Plan at any time, the amount (if any) by which the present value of all vested nonforfeitable accrued benefits under such Plan exceeds the fair market value of all Plan assets
allocable to such benefits, determined as of the then most recent valuation date for such Plan, but only to the extent that such excess represents a potential liability of the Borrower or any of its Subsidiaries to the PBGC or such Plan. 

Section 1.2. Time of Day. Unless otherwise expressly provided, all references to time of day in this Agreement and the other Credit
Documents shall be references to New York, New York time. 
 Section 1.3. Accounting Terms; GAAP. Except as otherwise expressly
provided herein, and subject to the provisions of Section 10.20, all terms of an accounting or financial nature shall be construed in accordance with GAAP, as in effect from time to time. 
 Section 1.4. Miscellaneous. Terms used in this Agreement that are in all capitals (such as in Section 10.14) and that are defined herein
are used with the meanings as defined herein. 
 ARTICLE 2. THE CREDIT FACILITIES. 
 Section 2.1. Commitments for Revolving Loans. Subject to the terms and conditions hereof, each Lender severally and not jointly agrees to make
one or more loans (each a “Revolving Loan”) in Dollars to the Borrower from time to time prior to the Commitment Termination Date on a revolving basis in an aggregate amount not to exceed at any time outstanding an amount equal to
its Commitment; provided, however, that no Lender shall be required to make any Revolving Loan if, after giving effect thereto, (i) the sum of the Swingline Exposure plus the aggregate principal amount of the Revolving Loans and
the L/C Obligations of all Lenders would thereby exceed the Revolving Credit Commitment Amount then in effect; or (ii) the Revolving Credit Exposure of such Lender would thereby exceed its Commitment then in effect. Each Borrowing of Revolving
Loans shall be made ratably from the Lenders in proportion to their respective Percentages. Revolving Loans of each Lender may be repaid, in whole or in part, and all or any portion of the principal amounts thereof reborrowed, before the Commitment
Termination Date applicable to such Lender, subject to the terms and conditions hereof. 
 Section 2.2. Types of Revolving Loans and
Minimum Borrowing Amounts. Borrowings of Revolving Loans may be outstanding as either Base Rate Loans or Adjusted LIBOR Loans, as selected by the Borrower pursuant to Section 2.3. Each Borrowing of Base Rate Loans shall be in an amount of
not less than $1,000,000 and each Borrowing of Adjusted LIBOR Loans shall be in an amount of not less than $5,000,000 and in an integral multiple of the Borrowing Multiple. 
  

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 Section 2.3. Manner of Borrowings; Continuations and Conversions of Borrowings. 

(a) Notice of Revolving Loan Borrowings. The Borrower shall give notice to the Administrative Agent by no later than (i) 12:00 noon at
least three (3) Business Days before the date on which the Borrower requests the Lenders to advance a Borrowing of Eurocurrency Loans and (ii) 12:00 noon on the date the Borrower requests the Lenders to advance a Borrowing of Base Rate
Loans, in each case pursuant to a duly completed Borrowing Request substantially in the form of Exhibit 2.3 (each a “Borrowing Request”) executed by the Borrower. 
 (b) Notice of Continuation or Conversion of Outstanding Borrowings. The Borrower may from time to time elect to change or continue the type of
interest rate borne by each Revolving Loan Borrowing or, subject to the minimum amount requirements in Section 2.2 for each outstanding Revolving Loan Borrowing, a portion thereof, as follows: (i) if such Borrowing is of Eurocurrency
Loans, the Borrower may continue part or all of such Borrowing as Eurocurrency Loans for an Interest Period specified by the Borrower or convert part or all of such Borrowing into Base Rate Loans on the last day of the Interest Period applicable
thereto, or the Borrower may earlier convert part or all of such Borrowing into Base Rate Loans so long as it pays the breakage fees and funding losses provided in Section 2.11; and (ii) if such Borrowing is of Base Rate Loans, the
Borrower may convert all or part of such Borrowing into Eurocurrency Loans for an Interest Period specified by the Borrower on any Business Day, in each case pursuant to notices of continuation or conversion as set forth below. The Borrower may
select multiple Interest Periods for the Eurocurrency Loans constituting any such particular Borrowing, provided that at no time shall the number of different Interest Periods for outstanding Eurocurrency Loans exceed twenty (20) (it
being understood for such purposes that (x) Interest Periods of the same duration, but commencing on different dates, shall be counted as different Interest Periods, and (y) all Interest Periods commencing on the same date and of the same
duration shall be counted as one Interest Period regardless of the number of Borrowings or Loans involved. Notices of the continuation of such Eurocurrency Loans for an additional Interest Period or of the conversion of part or all of such
Eurocurrency Loans into Base Rate Loans or of such Base Rate Loans into Eurocurrency Loans must be given by no later than 12:00 noon at least three (3) Business Days before the date of the requested continuation or conversion. 
 (c) Manner of Notice. The Borrower shall give such notices concerning the advance, continuation, or conversion of a Borrowing pursuant to this
Section 2.3 by telephone or facsimile (which notice shall be irrevocable once given and, if by telephone, shall be promptly confirmed in writing) pursuant to a Borrowing Request which shall specify the date of the requested advance,
continuation or conversion (which shall be a Business Day), the amount of the requested Borrowing, whether such Borrowing is to be advanced, continued, or converted, the Type of Loans to comprise such new, continued or converted Borrowing and, if
such Borrowing is to be comprised of Eurocurrency Loans, the Interest Period applicable thereto. The Borrower agrees that the Administrative Agent may rely on any such telephonic or facsimile notice given by any Person it in good faith believes is
an authorized representative of the Borrower without the necessity of independent investigation and that, if any such notice by telephone conflicts with any written confirmation, such telephonic notice shall govern if the Administrative Agent has
acted in reliance thereon. 
  

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 (d) Notice to the Lenders. The Administrative Agent shall give prompt telephonic, telex or
facsimile notice to each Lender of any notice received pursuant to this Section 2.3 relating to a Revolving Loan Borrowing. The Administrative Agent shall give notice to the Borrower and each Lender by like means of the interest rate applicable
to each Borrowing of Eurocurrency Loans (but, if such notice is given by telephone, the Administrative Agent shall confirm such rate in writing) promptly after the Administrative Agent has made such determination. 
 (e) Borrower’s Failure to Notify. If the Borrower fails to give notice pursuant to Section 2.3(a) or (b) of (i) the
continuation or conversion of any outstanding principal amount of a Borrowing of Eurocurrency Loans, or (ii) a Borrowing of Revolving Loans to pay outstanding Reimbursement Obligations, and has not notified the Administrative Agent by
(A) 12:00 noon at least three (3) Business Days before the last day of the Interest Period for any Borrowing of Eurocurrency Loans or (B) the day such Reimbursement Obligation becomes due, as the case may be, that it intends to repay
such Borrowing or Reimbursement Obligation, the Borrower shall be deemed to have requested, as applicable, (x) the continuation of such Borrowing as a Eurocurrency Loan with an Interest Period of one (1) month or (y) the advance of a
new Borrowing of Base Rate Loans on such day in the amount of the Reimbursement Obligation then due, which Borrowing pursuant to this clause (y) shall be deemed to have been funded on such date by the Lenders in accordance with
Section 2.3(a) and to have been applied on such day to pay the Reimbursement Obligation then due, in each case so long as no Event of Default shall have occurred and be continuing or would occur as a result of such Borrowing but otherwise
disregarding the conditions to Borrowings set forth in Section 4.2. Upon the occurrence and during the continuance of any Event of Default, and upon notice thereof from the Administrative Agent to the Borrower (i) each Eurocurrency Loan
will automatically, on the last day of the then existing Interest Period therefor, convert into a Base Rate Loan, and (ii) the obligation of the Lenders to make, continue or convert Loans into Eurocurrency Loans shall be suspended. 

(f) Conversion. If the Borrower shall elect to convert any particular Borrowing pursuant to this Section 2.3 from one Type of Loan to the
other only in part, then, from and after the date on which such conversion shall be effective, such particular Borrowing shall, for all purposes of this Agreement (including, without limitation, for purposes of subsequent application of this
sentence) be deemed to instead constitute two Borrowings (each originally advanced on the same date as such particular Borrowing), one comprised of (subject to subsequent conversion in accordance with this Agreement) Eurocurrency Loans in an
aggregate principal amount equal to the portion of such Borrowing so elected by the Borrower to be comprised of Eurocurrency Loans and the second comprised of (subject to subsequent conversion in accordance with this Agreement) Base Rate Loans in an
aggregate principal amount equal to the portion of such particular Borrowing so elected by the Borrower to be comprised of Base Rate Loans. If the Borrower shall elect to have multiple Interest Periods apply to any such particular Borrowing
comprised of Eurocurrency Loans, then, from and after the date such multiple Interest Periods commence, such particular Borrowing shall, for all purposes of this Agreement (including, without limitation, for purposes of subsequent application of
this sentence), be deemed to constitute a number of separate Borrowings (each originally commencing on the same date as such particular Borrowing) equal to the number of, and corresponding to, the different Interest Periods so selected, each such
deemed separate 

  

 19 

 
Borrowing corresponding to a particular selected Interest Period comprised of (subject to subsequent conversion in accordance with this Agreement)
Eurocurrency Loans in an aggregate principal amount equal to the portion of such particular Borrowing so elected by the Borrower to have such Interest Period. This Section 2.3(f) shall be applied appropriately in the event that the Borrower
shall make the elections described in the two preceding sentences at the same time with respect to the same particular Borrowing. 
 Section 2.4. Interest Periods. As provided in Section 2.3, at the time of each request for a Borrowing of Eurocurrency Loans, or for the continuation or conversion of any Borrowing of Eurocurrency Loans, the Borrower shall
select the Interest Period(s) to be applicable to such Loans from among the available options, subject to the limitations in Section 2.3; provided, however, that: 
 (i) the Borrower may not select an Interest Period that extends beyond the Commitment Termination Date; 
 (ii) whenever the last day of any Interest Period would otherwise be a day that is not a Business Day, the last day of such Interest
Period shall either be (i) extended to the next succeeding Business Day, or (ii) in the case of Eurocurrency Loans only, reduced to the immediately preceding Business Day if the next succeeding Business Day is in the next calendar month;
and 
 (iii) for purposes of determining an Interest Period, a month means a period starting on one day in a calendar month
and ending on the numerically corresponding day in the next calendar month; provided, however, that if there is no such numerically corresponding day in the month in which an Interest Period is to end or if an Interest Period begins on the
last Business Day of a calendar month, then in the case of Eurocurrency Loans only, such Interest Period shall end on the last Business Day of the calendar month in which such Interest Period is to end. 
 Section 2.5. Funding of Loans. 
 (a) Disbursement of Loans. Not later than 12:00 noon with respect to Borrowings of Eurocurrency Loans, and 2:00 P.M. with respect to Base Rate Revolving Loans, on the date of any requested advance of a new Borrowing of Loans, each
Lender, subject to all other provisions hereof, shall make available for the account of its applicable Lending Office its Loan comprising its portion of such Borrowing in funds immediately available for the benefit of the Administrative Agent in the
applicable Administrative Agent’s Account and according to the payment instructions of the Administrative Agent. The Administrative Agent shall make the proceeds of each such Borrowing available in immediately available funds to the Borrower
(or as directed in writing by the Borrower) on such date. In the event that any Lender does not make such amounts available to the Administrative Agent by the time prescribed above, but such amount is received later that day, such amount may be
credited to the Borrower in the manner described in the preceding sentence on the next Business Day (with interest on such amount to begin accruing hereunder on such next Business Day) provided that acceptance by the Borrower of any such late amount
shall not be deemed a waiver by the Borrower of any rights it may have 

  

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against such Lender. No Lender shall be responsible to the Borrower for any failure by another Lender to fund its portion of a Borrowing, and no such failure
by a Lender shall relieve any other Lender from its obligation, if any, to fund its portion of a Borrowing. 
 (b) Administrative Agent
Reliance on Lender Funding. Unless the Administrative Agent shall have been notified by a Lender prior to the time at which such Lender is scheduled to make payment to the Administrative Agent of the proceeds of a Loan (which notice shall be
effective upon receipt) that such Lender does not intend to make such payment, the Administrative Agent may assume that such Lender has made such payment when due and in reliance upon such assumption may (but shall not be required to) make available
to the Borrower the proceeds of the Loan to be made by such Lender and, if any Lender has not in fact made such payment to the Administrative Agent, such Lender shall, on demand, pay to the Administrative Agent the amount made available to the
Borrower attributable to such Lender together with interest thereon for each day during the period commencing on the date such amount was made available to the Borrower and ending on (but excluding) the date such Lender pays such amount to the
Administrative Agent at a rate per annum equal to the Administrative Agent’s cost of funds for such amount. If such amount is not received from such Lender by the Administrative Agent immediately upon demand, the Borrower will, on demand, repay
to the Administrative Agent the proceeds of the Loan attributable to such Lender with interest thereon at a rate per annum equal to the interest rate applicable to the relevant Loan, but the Borrower will in no event be liable to pay any amounts
otherwise due pursuant to Section 2.11 in respect of such repayment. Nothing in this subsection shall be deemed to relieve any Lender from any obligation to fund any Loans hereunder or to prejudice any rights which the Borrower may have against
any Lender as a result of any default by such Lender hereunder. 
 Section 2.6. Applicable Interest Rates. 
 (a) Base Rate Loans. Each Base Rate Loan shall bear interest (computed on the basis of a 365-day year or 366-day year, as the case may be, and
actual days elapsed including the first day but excluding the date of repayment) on the unpaid principal amount thereof from the date such Loan is made until maturity (whether by acceleration or otherwise) or conversion to a Eurocurrency Loan, at a
rate per annum equal to the lesser of (i) the Highest Lawful Rate, or (ii) the Base Rate from time to time in effect. The Borrower agrees to pay such interest on each Interest Payment Date for such Loan and at maturity (whether by
acceleration or otherwise). 
 (b) Eurocurrency Loans. Each Eurocurrency Loan shall bear interest (computed on the basis of a 360-day
year and actual days elapsed, in each case including the first day but excluding the date of repayment) on the unpaid principal amount thereof from the date such Loan is made until maturity (whether by acceleration or otherwise) or, in the case of
Eurocurrency Loans, conversion to a Base Rate Loan at a rate per annum equal to the lesser of (i) the Highest Lawful Rate, or (ii) the sum of Adjusted LIBOR plus the Applicable Margin. The Borrower agrees to pay such interest on
each Interest Payment Date for such Loan and at maturity (whether by acceleration or otherwise) or, in the case of Eurocurrency Loans, conversion to a Base Rate Loan. 
  

 21 

 (c) Swingline Loans. Each Swingline Loan shall bear interest (computed on the basis of a 365-day
year or 366-day year, as the case may be, and actual days elapsed excluding the date of repayment) on the unpaid principal amount thereof from the date such Loan is made until maturity (whether by acceleration or otherwise) at a rate per annum equal
to the lesser of (i) the Highest Lawful Rate, or (ii) the Base Rate from time to time in effect. The Borrower agrees to pay such interest on each Interest Payment Date for such Loan and at maturity (whether by acceleration or otherwise).

 (d) Rate Determinations. The Administrative Agent shall determine each interest rate applicable to the Loans and Reimbursement
Obligations hereunder insofar as such interest rate involves a determination of Base Rate, Adjusted LIBOR or LIBOR Rate, or any applicable default rate pursuant to Section 2.7, and such determination shall be conclusive and binding except in
the case of the Administrative Agent’s manifest error or willful misconduct. The Administrative Agent shall promptly give notice to the Borrower and each Lender of each determination of Adjusted LIBOR, with respect to each Eurocurrency Loan.

 Section 2.7. Default Rate. If any payment of principal on any Loan is not made when due after the expiration of the grace
period therefor provided in Section 7.1(a) (whether by acceleration or otherwise), or any Reimbursement Obligation is not paid when due as provided in Section 2.12(c), such Loan or Reimbursement Obligation shall bear interest (computed on
the basis of a year of 360, 365 or 366 days, as applicable, and actual days elapsed) after any such grace period expires until such principal then due is paid in full, which the Borrower agrees to pay on demand, at a rate per annum equal to:

 (a) for any Base Rate Loan or any Swingline Loan, the lesser of (i) the Highest Lawful Rate, or (ii) the sum of two percent
(2%) per annum plus the Base Rate from time to time in effect (but not less than the Base Rate in effect at the time such payment was due); 
 (b) for any Eurocurrency Loan, the lesser of (i) the Highest Lawful Rate, or (ii) the sum of two percent (2%) per annum plus the rate of interest in effect thereon at the time of such default until the end of the Interest
Period for such Loan and, thereafter, at a rate per annum equal to the sum of two percent (2%) per annum plus the Base Rate from time to time in effect (but not less than the Base Rate in effect at the time such payment was due); and

 (c) for any unpaid Reimbursement Obligations, the lesser of (i) the Highest Lawful Rate, or (ii) the sum of two percent
(2%) per annum plus the Base Rate from time to time in effect (but not less than the Base Rate in effect at the time such payment was due). 
 It is the intention of the Administrative Agent and the Lenders to conform strictly to usury laws applicable to them. Accordingly, if the transactions contemplated hereby or any Loan or other Obligation would be
usurious as to any of the Lenders under laws applicable to it (including the laws of the United States of America and the State of New York or any other jurisdiction whose laws may be mandatorily applicable to such Lender notwithstanding the other
provisions of this Agreement, the Notes or any other Credit Document), then, in that event, notwithstanding anything to the contrary in this Agreement, the Notes or any other Credit Document, it is agreed as follows: (i) the aggregate of all
consideration which constitutes 

  

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interest under laws applicable to such Lender that is contracted for, taken, reserved, charged or received by such Lender under this Agreement, the Notes or
any other Credit Document or otherwise shall under no circumstances exceed the Highest Lawful Rate, and any excess shall be credited by such Lender on the principal amount of the Loans or to the Reimbursement Obligations (or, if the principal amount
of the Loans and all Reimbursement Obligations shall have been paid in full, refunded by such Lender to the Borrower); and (ii) in the event that the maturity of the Loans is accelerated by reason of an election of the holder or holders thereof
resulting from any Event of Default hereunder or otherwise, or in the event of any required or permitted prepayment, then such consideration that constitutes interest under laws applicable to such Lender may never include more than the Highest
Lawful Rate, and excess interest, if any, provided for in this Agreement, the Notes, any other Credit Document or otherwise shall be automatically canceled by such Lender as of the date of such acceleration or prepayment and, if theretofore paid,
shall be credited by such Lender on the principal amount of the Loans or to the Reimbursement Obligations (or if the principal amount of the Loans and all Reimbursement Obligations shall have been paid in full, refunded by such Lender to the
Borrower). To the extent that the Texas Finance Code, Chapters 302 and 303, are relevant to the Administrative Agent and the Lenders for the purpose of determining the Highest Lawful Rate, the Administrative Agent and the Lenders hereby elect to
determine the applicable rate ceiling under such Chapter by the indicated (weekly) rate ceiling from time to time in effect, subject to their right subsequently to change such method in accordance with applicable law. In the event the Loans and all
Reimbursement Obligations are paid in full by the Borrower prior to the full stated term of the Loans and the interest received from the actual period of the existence of the Loans exceeds the Highest Lawful Rate, the Lenders shall refund to the
Borrower the amount of the excess or shall credit the amount of the excess against amounts owing under the Loans and none of the Administrative Agent or the Lenders shall be subject to any of the penalties provided by law for contracting for,
taking, reserving, charging or receiving interest in excess of the Highest Lawful Rate. The Texas Finance Code, Chapter 346, which regulates certain revolving credit loan accounts and revolving tri-party accounts, shall not apply to this Agreement
or the Loans. 
 Section 2.8. Repayment of Loans; Evidence of Debt. 
 (a) Repayment of Loans. The Borrower hereby promises to pay to the Administrative Agent for the account of each Lender, on the Commitment
Termination Date, the unpaid amount of each Revolving Loan then outstanding. The Borrower hereby promises to pay to the Swingline Lender the unpaid principal amount of each Swingline Loan no later than the Commitment Termination Date. 
 (b) Record of Loans by Lenders. Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing the
indebtedness of the Borrower to such Lender resulting from each Loan made by such Lender, including the amounts of principal and accrued interest payable and paid to such Lender from time to time hereunder. 
 (c) Record of Loans by Administrative Agent. The Administrative Agent shall maintain accounts in which it shall record (i) the amount of each
Loan made hereunder, the Type thereof and the Interest Period applicable thereto, (ii) the amount of any principal or accrued interest due and payable or to become due and payable from the Borrower to each Lender hereunder and (iii) the
amount of any sum received by the Administrative Agent hereunder for the account of the Lenders and each Lender’s share thereof. 
  

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 (d) Evidence of Obligations. The entries made in the accounts maintained pursuant to paragraph
(b) or (c) of this Section shall be prima facie evidence of the existence and amounts of the obligations recorded therein; provided that the failure of any Lender or the Administrative Agent to maintain such accounts or any
error therein shall not in any manner affect the obligation of the Borrower to repay the Loans in accordance with the terms of this Agreement. 
 (e) Notes. The Revolving Loans outstanding to the Borrower from each Lender shall, at the written request of such Lender, be evidenced by a promissory note of the Borrower payable to such Lender in the form of Exhibit 2.8A
(each a “Revolving Note”). The Borrower agrees to execute and deliver to the Administrative Agent, for the benefit of each Lender requesting a promissory note as aforesaid, an original of each such promissory note, appropriately
completed, to evidence the respective Loans made by such Lender hereunder, within ten (10) Business Days after the Borrower receives a written request therefor. The Swingline Loans outstanding to the Borrower shall be evidenced by a promissory
note of the Borrower payable to the Swingline Lender in the form of Exhibit 2.8B (a “Swingline Note”). 
 (f)
Recording of Loans and Payments on Notes. Each holder of a Note shall record on its books and records or on a schedule to its appropriate Note (and prior to any transfer of its Notes shall endorse thereon or on schedules forming a part
thereof appropriate notations to evidence) the amount of each Loan outstanding from it to the Borrower, all payments of principal and interest and the principal balance from time to time outstanding thereon, the Type of such Loan and, if a
Eurocurrency Loan the Interest Period and interest rate applicable thereto. Such record, whether shown on the books and records of a holder of a Note or on a schedule to its Note, shall be prima facie evidence as to all such matters;
provided, however, that the failure of any holder to record any of the foregoing or any error in any such record shall not limit or otherwise affect the obligation of the Borrower to repay all Loans outstanding to it hereunder together with
accrued interest thereon. At the request of any holder of a Note and upon such holder tendering to the Borrower the Note to be replaced, the Borrower shall furnish a new Note to such holder to replace any outstanding Note and at such time the first
notation appearing on the schedule on the reverse side of, or attached to, such new Note shall set forth the aggregate unpaid principal amount of all Loans, if any, then outstanding thereon. 
 Section 2.9. Optional Prepayments. The Borrower shall have the privilege of prepaying any Base Rate Loans or Swingline Loans without premium
or penalty at any time in whole or at any time and from time to time in part (but, if in part, then in an amount which is equal to or greater than $1,000,000); provided, however, that the Borrower shall have given notice of such prepayment to
the Administrative Agent no later than 12:00 noon on the date of such prepayment. The Borrower shall have the privilege of prepaying any Adjusted LIBOR Loans (a) without premium or penalty in whole or in part (but, if in part, then in an amount
which is equal to or greater than $5,000,000 and in an integral multiple of the Borrowing Multiple or such smaller amount as needed to prepay a particular Borrowing in full) only on the last Business Day of an Interest Period for such Loan, and
(b) at any other time without premium or penalty except for the breakage fees and funding losses that are required to be paid pursuant to 

  

 24 

 
Section 2.11; provided, however, that the Borrower shall have given notice of such prepayment to the Administrative Agent no later than 12:00
noon at least three (3) Business Days before the last Business Day of such Interest Period or the proposed prepayment date. Any such prepayments shall be made by the payment of the principal amount to be prepaid and accrued and unpaid interest
thereon to the date of such prepayment. Unless otherwise specified in writing by the Borrower, optional prepayments shall be applied first, to the Loans, second, to the Reimbursement Obligations with respect to Letters of Credit, and
third to any other Obligations then outstanding. 
 Section 2.10. Mandatory Prepayments of Loans. In the event and on each
occasion that the aggregate principal amount of outstanding Loans and L/C Obligations exceeds the Revolving Credit Commitment Amount then in effect, then the Borrower shall promptly prepay Loans in an aggregate amount sufficient to eliminate such
excess. Immediately upon determining the need to make any such prepayment, the Borrower shall notify the Administrative Agent of such required prepayment and of the identity of the particular Loans being prepaid. If the Administrative Agent shall
notify the Borrower that the Administrative Agent has determined that any prepayment is required under this Section 2.10, the Borrower shall make such prepayment no later than the second Business Day following such notice. Any mandatory
prepayment of Loans pursuant hereto shall not be limited by the notice provision for prepayments set forth in Section 2.9. Each such prepayment shall be accompanied by a payment of all accrued and unpaid interest on the Loans prepaid and any
applicable breakage fees and funding losses pursuant to Section 2.11. 
 Section 2.11. Breakage Fees. If any Lender incurs
any loss, cost or expense (excluding loss of anticipated profits and other indirect or consequential damages) by reason of the liquidation or re-employment of deposits or other funds acquired by such Lender to fund or maintain any Eurocurrency Loan
as a result of any of the following events other than any such occurrence as a result of a change of circumstance described in Sections 8.1 or 8.2: 
 (a) any payment, prepayment or conversion of any such Loan on a date other than the last day of its Interest Period (whether by acceleration, mandatory prepayment or otherwise); 
 (b) any failure to make a principal payment of any such Loan on the due date therefor; or 
 (c) any failure by the Borrower to borrow, continue or prepay, or convert to, any such Loan on the date specified in a notice given pursuant to
Section 2.3 (other than by reason of a default of such Lender), 
 then the Borrower shall pay to such Lender such amount as will reimburse such Lender
for such loss, cost or expense. If any Lender makes such a claim for compensation, it shall provide to the Borrower a certificate executed by an officer of such Lender setting forth the amount of such loss, cost or expense in reasonable detail
(including an explanation of the basis for and the computation of such loss, cost or expense) no later than ninety (90) days after the event giving rise to the claim for compensation, and the amounts shown on such certificate shall be prima
facie evidence of such Lender’s entitlement thereto. Within ten (10) days of receipt of such 

  

 25 

 
certificate, the Borrower shall pay directly to such Lender such amount as will compensate such Lender for such loss, cost or expense as provided herein,
unless such Lender has failed to timely give notice to the Borrower of such claim for compensation as provided herein, in which event the Borrower shall not have any obligation to pay such claim. 
 Section 2.12. Letters of Credit. 
 (a) Letters of Credit. Subject to the terms and conditions hereof, each Issuing Bank agrees to issue, from time to time prior to the earlier of (1) five (5) Business Days prior to the date that is set forth in clause
(i) of the definition herein of Commitment Termination Date and (2) the Commitment Termination Date, at the request of the Borrower and on behalf of the Lenders and in reliance on their obligations under this Section 2.12, one or more
letters of credit payable only in Dollars for the Borrower’s account in a face amount in each case of at least $500,000, and in an aggregate undrawn face amount for all Letters of Credit at any time outstanding not to exceed the Revolving
Credit Commitment Amount; provided, that an Issuing Bank shall not issue or amend a Letter of Credit pursuant to this Section 2.12 if, after the issuance thereof, or at the time of amendment thereof, (i) the sum of the
Swingline Exposure plus the outstanding Revolving Loans and L/C Obligations would thereby exceed the Revolving Credit Commitment Amount then in effect, (ii) the issuance of such Letter of Credit would violate any legal or regulatory restriction
then applicable to such Issuing Bank or any Lender as notified by such Issuing Bank or such Lender to the Administrative Agent before the date of issuance of such Letter of Credit or (iii) the L/C Obligations would exceed $150,000,000.

 (b) Issuance Procedure. To request that an Issuing Bank issue a Letter of Credit, the Borrower shall deliver to such Issuing Bank
and the Administrative Agent (with a duplicate copy to an operations employee of such Issuing Bank as designated by such Issuing Bank from time to time) a duly executed Issuance Request substantially in the form of Exhibit 2.12A (each an
“Issuance Request”), together with a duly executed application for the relevant Letter of Credit in such Issuing Bank’s customary form or in such other form as may be approved by the Borrower and such Issuing Bank (each an
“Application”), or such other computerized issuance or application procedure, instituted from time to time by such Issuing Bank and the Administrative Agent and agreed to by the Borrower, completed to the reasonable satisfaction of
such Issuing Bank and the Administrative Agent, and such other information as such Issuing Bank and the Administrative Agent may reasonably request. In the event of any irreconcilable difference or inconsistency between this Agreement and an
Application, the provisions of this Agreement shall govern. Upon receipt by an Issuing Bank and the Administrative Agent of a properly completed and executed Application and any other reasonably requested information at least three (3) Business
Days prior to any requested issuance date, such Issuing Bank will process such Application in accordance with its customary procedures and issue the requested Letter of Credit on the requested issuance date. The Borrower may cancel any requested
issuance of a Letter of Credit prior to the issuance thereof. An Issuing Bank that issues a Letter of Credit will notify the Administrative Agent and each Lender of the amount and expiration date of such Letter of Credit promptly upon issuance
thereof. Each Letter of Credit shall have an expiration date no later than four (4) Business Days before the Commitment Termination Date. If an Issuing Bank issues any Letters of Credit with expiration dates that automatically extend unless
such Issuing Bank gives notice that the expiration date will not so extend, such Issuing Bank will 

  

 26 

 
give such notice of non-renewal before the time necessary to prevent such automatic extension if (and will not give such notice of non-renewal before such
time unless) before such required notice date (i) the expiration date of such Letter of Credit if so extended would be later than four (4) Business Days before the Commitment Termination Date, (ii) the Commitment Termination Date
shall have occurred, (iii) a Default or an Event of Default exists and the Required Lenders have given such Issuing Bank instructions not to so permit the expiration date of such Letter of Credit to be extended, or (iv) such Issuing Bank
is so directed by the Borrower; provided, however, if any Letter of Credit shall have an expiration date later than four (4) Business Days before the Commitment Termination Date, the Borrower shall provide, no later than the Commitment
Termination Date, cash collateral to the Administrative Agent or a back-to-back letter of credit from a bank or financial institution whose short-term unsecured debt rating is rated A or above from either S&P or Moody’s or such other bank
or financial institution satisfactory to the Required Lenders in either case in an amount equal to the undrawn face amount of such Letter of Credit and which provides that the Administrative Agent may make a drawing thereunder in the event that the
Issuing Bank pays a drawing under such Letter of Credit. The Issuing Bank that issues a Letter of Credit agrees to issue amendments to such Letter of Credit increasing its amount, or extending its expiration date, at the request of the Borrower,
subject to the conditions precedent for all Borrowings of Section 4.2 and the other terms and conditions of this Section 2.12. 
 (c) The Borrower’s Reimbursement Obligations. 
 (i) The Borrower hereby irrevocably and unconditionally
agrees to reimburse each Issuing Bank for each payment or disbursement made by such Issuing Bank to settle its obligations under any draft drawn or other payment made under a Letter of Credit (a “Reimbursement Obligation”) within
two (2) Business Days from when such draft is paid or other payment is made with either funds not borrowed hereunder or with a Borrowing of Revolving Loans subject to Section 2.3 and the other terms and conditions contained in this
Agreement. The Reimbursement Obligation shall bear interest (which the Borrower hereby promises to pay) from and after the date such draft is paid or other payment is made until (but excluding the date) the Reimbursement Obligation is paid at the
lesser of (x) the Highest Lawful Rate, or (y) the Base Rate, in each case so long as the Reimbursement Obligation shall not be past due, and thereafter at the default rate per annum as set forth in Section 2.7(c), whether or not the
Commitment Termination Date shall have occurred. If any such payment or disbursement is reimbursed to an Issuing Bank on the date such payment or disbursement is made by such Issuing Bank, interest shall be paid on the reimbursable amount for one
(1) day. An Issuing Bank that issues a Letter of Credit shall give the Borrower notice of any drawing on such Letter of Credit within one (1) Business Day after such drawing is paid. 
 (ii) The Borrower agrees for the benefit of each Issuing Bank and each Lender that, notwithstanding any provision of any Application, the
obligations of the Borrower under this Section 2.12(c) and each applicable Application shall be absolute, unconditional and irrevocable and shall be performed strictly in accordance with the terms of this Agreement and each applicable
Application under all circumstances whatsoever (other than the defense of payment in accordance with this Agreement), including, without limitation, the following circumstances (subject in all cases to the defense of payment in accordance with this
Agreement): 
 (1) any lack of validity or enforceability of any of the L/C Documents; 
  

 27 

 (2) any amendment or waiver of or any consent to depart from all or any of the provisions
of any of the L/C Documents; 
 (3) the existence of any claim, set-off, defense or other right the Borrower may have at any
time against a beneficiary of a Letter of Credit (or any person for whom a beneficiary may be acting), any Issuing Bank, any Lender or any other Person, whether in connection with this Agreement, another L/C Document or any unrelated transaction;

 (4) 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; 
 (5) payment by any Issuing
Bank under a Letter of Credit against presentation to such Issuing Bank of a draft or certificate that does not comply with the terms of the Letter of Credit; or 
 (6) any other act or omission to act or delay of any kind by any Issuing Bank, any Lender or any other Person or any other event or
circumstance whatsoever that might, but for the provisions of this Section 2.12(c), constitute a legal or equitable discharge of the Borrower’s obligations hereunder, under an Issuance Request or under an Application; 
 provided, however, the foregoing shall not be construed to excuse an Issuing Bank from liability to the Borrower to the extent of any direct damages (but
excluding consequential damages, which are hereby waived to the extent not prohibited by applicable law) suffered by the Borrower that are caused by such Issuing Bank’s gross negligence or willful misconduct. 
 (d) The Participating Interests. Each Lender severally and not jointly agrees to purchase from each Issuing Bank, and such Issuing Bank hereby
agrees to sell to each Lender, an undivided percentage participating interest, to the extent of its Percentage, in each Letter of Credit issued by, and Reimbursement Obligation owed to, such Issuing Bank in connection with a Letter of Credit. Upon
any failure by the Borrower to pay any Reimbursement Obligation in connection with a Letter of Credit issued by an Issuing Bank at the time required in Sections 2.12(c) and 2.3(e), or if such Issuing Bank is required at any time to return to
the Borrower or to a trustee, receiver, liquidator, custodian or other Person any portion of any payment by the Borrower of any Reimbursement Obligation in connection with a Letter of Credit, such Issuing Bank shall promptly give notice of same to
each Lender, and such Issuing Bank shall have the right to require each Lender to fund its participation in such Reimbursement Obligation. Each Lender (except the Issuing Bank that issued such Letter of Credit, if it is also a Lender) shall pay to
such Issuing Bank an amount equal to such Lender’s Percentage of such 

  

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unpaid or recaptured Reimbursement Obligation not later than the Business Day it receives notice from such Issuing Bank to such effect, if such notice is
received before 2:00 P.M., or not later than the following Business Day if such notice is received after such time. If a Lender fails to pay timely such amount to an Issuing Bank, it shall also pay to such Issuing Bank interest on such amount
accrued from the date payment of such amount was made by such Issuing Bank to the date of such payment by the Lender at a rate per annum equal to the Base Rate in effect for each such day and only after such payment shall such Lender be entitled to
receive its Percentage of each payment received on the relevant Reimbursement Obligation and of interest paid thereon. The several obligations of the Lenders to the Issuing Banks under this Section 2.12(d) shall be absolute, irrevocable and
unconditional under any and all circumstances whatsoever and shall not be subject to any set-off, counterclaim or defense to payment any Lender may have or have had against the Borrower, any Issuing Bank, any other Lender or any other Person
whatsoever including, but not limited to, any defense based on the failure of the demand for payment under the Letter of Credit to conform to the terms of such Letter of Credit or the legality, validity, regularity or enforceability of such Letter
of Credit and INCLUDING, BUT NOT LIMITED TO, THOSE RESULTING FROM AN ISSUING BANK’S OWN SIMPLE OR CONTRIBUTORY NEGLIGENCE. Without limiting the generality of the foregoing, such obligations shall not be affected by any Default or Event
of Default or by any subsequent reduction or termination of any Commitment of a Lender, and each payment by a Lender under this Section 2.12 shall be made without any offset, abatement, withholding or reduction whatsoever. 
 (e) Letter of Credit Amounts. Unless otherwise specified herein, the amount of a Letter of Credit at any time shall be deemed to be the stated
amount of such Letter of Credit in effect at such time; provided, however, that with respect to any Letter of Credit that, by its terms or the terms of any Application related thereto, provides for one or more automatic increases in
the stated amount thereof, the amount of such Letter of Credit shall be deemed to be the maximum stated amount of such Letter of Credit after giving effect to all such increases, whether or not such maximum stated amount is in effect at such time.

 Section 2.13. Commitment Terminations. The Borrower shall have the right at any time and from time to time, upon three
(3) Business Days’ prior and irrevocable written notice to the Administrative Agent, to terminate or reduce the Commitments or the Swingline Commitment without premium or penalty, in whole or in part, with any partial reduction (i) to
be in an amount not less than $1,000,000 as determined by the Borrower and in integral multiples of $500,000 and (ii) as to the Commitments, to be allocated ratably among the Lenders in proportion to their respective Commitments; provided,
that the Revolving Credit Commitment Amount may not be reduced to an amount less than the sum of the Swingline Exposure plus the aggregate principal amount of outstanding Revolving Loans and L/C Obligations, after giving effect to payments on
such proposed termination or reduction date; provided, however, that for purposes of determining the amount of L/C Obligations in the immediately preceding proviso, such L/C Obligations may be reduced on a dollar-for-dollar
basis by the amount of (a) cash collateral deposited with the Administrative Agent for the purpose of securing such L/C Obligations, and (b) the face amount of back-to-back letters of credit issued in connection with one or more
Letters of Credit included in such L/C Obligations by a bank(s) or financial institution(s) whose short-term unsecured debt rating is rated A or above from either S&P or Moody’s or such other bank(s) or 

  

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financial institution(s) satisfactory to the Required Lenders with an expiration date of at least five (5) days after the expiration date of
the applicable backstopped Letter of Credit and which provides that the Administrative Agent may make a drawing thereunder in the event that a drawing is made under the applicable backstopped Letter of Credit; provided further
that the Revolving Credit Commitment Amount may not be reduced to an amount less than the Swingline Commitment. The Administrative Agent shall give prompt notice to each Lender of any such termination or reduction of the Commitments or the
Swingline Commitment. Any termination of Commitments or the Swingline Commitment pursuant to this Section 2.13 is permanent and may not be reinstated. 
 Section 2.14. Increase of Commitments; Additional Lenders. 
 (a) So long as no Event of Default
has occurred and is continuing, from time to time after the Initial Availability Date, the Borrower may, upon at least 30 days’ written notice to the Administrative Agent, elect to increase the Revolving Credit Commitment Amount up to a total
amount not to exceed $750,000,000 at any time in effect (the amount of any such increase, the “Additional Commitment Amount”). 
 (b) The Borrower may designate one or more banks or other financial institutions (which may be, but need not be, one or more of the existing Lenders) which at the time agree to, in the case of any such Person that is an existing Lender,
increase its Commitment and in the case of any other such Person (an “Additional Lender”), become a party to this Agreement; provided, however, that any bank or financial institution that is not an existing Lender must
be acceptable to the Administrative Agent, the Swingline Lender and the Issuing Banks, which acceptance will not be unreasonably withheld or delayed. The sum of the increases in the Commitments of the existing Lenders pursuant to this subsection
(b) plus the Commitments of the Additional Lenders shall not in the aggregate exceed the Additional Commitment Amount. No Lender shall have any obligation whatsoever to agree to increase its Commitment. 
 (c) An increase in the aggregate amount of the Commitments pursuant to this Section 2.14 shall become effective upon the receipt by the
Administrative Agent of a Joinder Agreement signed by the Borrower, by each Additional Lender and by each other Lender whose Commitment is to be increased, together with such evidence of appropriate corporate authorization on the part of the
Borrower with respect to the increase in the Commitments and such opinions of counsel for the Borrower with respect to the increase in the Commitments as the Administrative Agent may reasonably request. 
 (d) Upon the acceptance of any such agreement by the Administrative Agent, the Revolving Credit Commitment Amount shall automatically be increased by the
amount of the Commitments added through such agreement and the Commitment amounts of each Lender set forth on the signature pages hereto shall automatically be deemed to be updated. 
 (e) Upon any increase in the aggregate amount of the Commitments pursuant to this Section 2.14 that is not pro rata among all Lenders,
(x) the Borrower shall prepay all outstanding Loans in their entirety, together with any breakage fees and funding losses that are required to be paid pursuant to Section 2.11, and, to the extent the Borrower elects to do so and subject to
the 

  

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conditions specified in Article IV, the Borrower shall reborrow Loans from the Lenders in proportion to their respective Commitments after giving effect to
such increase, and (y) effective upon such increase, the amount of the unfunded participations held by each Lender in each Letter of Credit then outstanding shall be adjusted such that, after giving effect to such adjustments, the Lenders shall
hold unfunded participations in each such Letter of Credit in the proportion its respective Commitment bears to the aggregate Commitments after giving effect to such increase. 
 Section 2.15. Swingline Advances. (a) Subject to the terms and conditions set forth herein, the Swingline Lender agrees to make
Swingline Loans to the Borrower from time to time prior to the Commitment Termination Date, in an aggregate principal amount at any time outstanding that will not result in (i) the aggregate principal amount of outstanding Swingline Loans
exceeding the Swingline Commitment or (ii) the sum of the aggregate Swingline Exposure plus the aggregate principal amount of the Revolving Loans of all Lenders plus the L/C Obligations exceeding the Revolving Credit Commitment Amount then in
effect; provided that the Swingline Lender shall not be required to make a Swingline Loan to refinance an outstanding Swingline Loan. Within the foregoing limits and subject to the terms and conditions set forth herein, Borrower may borrow,
repay and reborrow Swingline Loans. 
 (b) To request a Swingline Loan, Borrower shall deliver, by hand delivery or telecopier, a duly
completed and executed Swingline Loan request substantially in the form of Exhibit 2.15 (each a “Swingline Request”) to the Administrative Agent and the Swingline Lender, not later than 2:00 p.m., on the day of a proposed
Swingline Loan. Each such Swingline Request shall be irrevocable and shall specify the requested date (which shall be a Business Day) and the amount of the requested Swingline Loan. The Swingline Lender shall make each Swingline Loan available to
Borrower to an account as directed in writing by Borrower in the applicable Swingline Request maintained with the Administrative Agent by 3:00 p.m. on the requested date of such Swingline Loan. Borrower shall not request a Swingline Loan if at the
time of or immediately after giving effect to such Swingline Loan a Default or Event of Default has occurred and is continuing or would result therefrom. Swingline Loans shall be made in minimum amounts of $2,500,000 and integral multiples of
$100,000 above such amount. 
 (c) Borrower shall have the right at any time and from time to time to repay any Swingline Loan, in whole or
in part, upon giving written notice to the Swingline Lender and the Administrative Agent before 12:00 noon on the proposed date of repayment. 
 (d) The Swingline Lender may at any time in its discretion by written notice given to the Administrative Agent (provided such notice requirement shall not apply if the Swingline Lender and the Administrative Agent are the same
entity) not later than 11:00 a.m. on the next succeeding Business Day following such notice require the Revolving Lenders to acquire participations on such Business Day in all or a portion of the Swingline Loans then outstanding. Such notice shall
specify the aggregate amount of Swingline Loans in which Lenders will participate. Promptly upon receipt of such notice, the Administrative Agent, or if the Swingline Lender and the Administrative Agent are the same entity, the Swingline Lender,
will give notice thereof to each Lender, specifying in such notice such Lender’s applicable Percentage of such Swingline Loan or Loans. Each Lender hereby absolutely and unconditionally agrees, upon receipt of notice as provided above, to pay
to the Administrative Agent, for the account of the 

  

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Swingline Lender, such Lender’s Percentage of such Swingline Loan or Loans. Each Lender acknowledges and agrees that its obligation to acquire
participations in Swingline Loans pursuant to this paragraph is absolute and unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and continuance of a Default or Event of Default or reduction or
termination of the Revolving Credit Commitment Amount and that each such payment shall be made without any offset, abatement, withholding or reduction whatsoever. Each Lender shall comply with its obligation under this paragraph by wire transfer of
immediately available funds, in the same manner as provided in Section 2.5(a) with respect to Loans made by such Lender, and the Administrative Agent shall promptly pay to the Swingline Lender the amounts so received by it from the Lenders. The
Administrative Agent shall notify the Borrower of any participations in any Swingline Loan acquired by the Revolving Lenders pursuant to this paragraph, and thereafter payments in respect of such Swingline Loan shall be made to the Administrative
Agent and not to the Swingline Lender. Any amounts received by the Swingline Lender from the Borrower (or other party on behalf of the Borrower) in respect of a Swingline Loan after receipt by the Swingline Lender of the proceeds of a sale of
participations therein shall be promptly remitted to the Administrative Agent. Any such amounts received by the Administrative Agent shall be promptly remitted by the Administrative Agent to the Lenders that shall have made their payments pursuant
to this paragraph, as their interests may appear. The purchase of participations in a Swingline Loan pursuant to this paragraph shall not relieve the Borrower of any default in the payment thereof. 
 ARTICLE 3. FEES AND PAYMENTS. 
 Section 3.1.
Fees. 
 (a) Facility Fees. The Borrower agrees to pay to the Administrative Agent for the account of each Lender a facility
fee, which shall accrue at the Applicable Facility Fee Rate on the daily amount of the Commitment of such Lender (whether used or unused) during the period from and including the Initial Availability Date to but excluding the date on which such
Commitment terminates; provided that, if such Lender continues to have any Revolving Credit Exposure or Swingline Exposure after its Commitment terminates, then such facility fee shall continue to accrue on the daily amount of the sum of such
Lender’s Revolving Credit Exposure plus such Lender’s Swingline Exposure from and including the date on which its Commitment terminates to but excluding the date on which such Lender ceases to have any Revolving Credit Exposure and
Swingline Exposure. Accrued facility fees shall be payable in arrears on the last Business Day of March, June, September and December of each year, commencing on September 30, 2006, on the date(s) on which the Commitments shall have terminated
and the Lenders shall have no further Revolving Credit Exposures, and on the Maturity Date. All facility fees shall be computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including the first day
but excluding the last day). 
 (b) Utilization Fees. For any day prior to the Commitment Termination Date on which the outstanding
principal amount of the Loans and L/C Obligations shall be greater than or equal to an amount equal to 50% of the total Commitments (and for any day after the termination of all the Commitments on which any Loans or L/C Obligations shall be
outstanding if the outstanding principal amount thereof on the date the Commitments terminated shall have been 

  

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greater than or equal to 50% of the total Commitments in effect on such date) the Borrower shall pay to the Administrative Agent for the account of each
Lender a utilization fee equal to the Applicable Utilization Fee Rate multiplied by the aggregate amount of such Lender’s outstanding Loans and applicable Percentage of L/C Obligations on such day. Accrued and unpaid utilization fees, if
any, shall be payable in arrears on the last Business Day of each March, June, September and December, on the date(s) on which the Commitments shall have terminated and there are no Loans or L/C Obligations outstanding, and on the Maturity Date. All
utilization fees shall be computed on the basis of a year of 360 days and shall be payable for the actual number of days elapsed (including the first day but excluding the last day). 
 (c) Letter of Credit Fees. Commencing upon the date of issuance, increase or extension of any Letter of Credit and thereafter on the last Business
Day of each March, June, September and December, the Borrower shall pay to the Administrative Agent quarterly in advance, for the period until the next Letter of Credit fee payment date, for the ratable account of the Lenders, a non-refundable fee
payable in Dollars equal to the Applicable Margin multiplied by the outstanding face amount or increase of such Letter of Credit during such upcoming period calculated on the basis of a 360 day year and actual days elapsed and based on the then
scheduled expiration date of the Letter of Credit. In addition, the Borrower shall pay to each Issuing Bank solely for such Issuing Bank’s account, in connection with each Letter of Credit issued by such Issuing Bank, issuance and
administrative fees, fronting fees of 1/8% per annum on the face amount of such Letter of Credit and expenses for such Letter of Credit as agreed from time to time between such Issuing Bank and the Borrower. 
 (d) Administrative Agent Fees. The Borrower shall pay to the Administrative Agent and Co-Lead Arrangers the fees from time to time agreed to by
the Borrower, the Administrative Agent, and Co-Lead Arrangers. 
 (e) Payment of Fees. All fees payable hereunder shall be paid on the
dates due, in immediately available funds, to the Administrative Agent for distribution, in the case of facility fees, utilization fees, and Letter of Credit fees (other than issuance and administrative fees payable to the Issuing Banks), to the
Lenders. 
 Section 3.2. Place and Application of Payments. 
 (a) All payments of principal of and interest on the Loans, Reimbursement Obligations and all fees and other amounts payable by the Borrower under the
Credit Documents shall be made free and clear of any set-off, counterclaim or defense by the Borrower to the Administrative Agent (or, in the case of Swingline Loans, to the Swingline Lender, except as provided in Section 2.15), for the benefit
of the Lenders and the Issuing Banks entitled to such payments, in immediately available funds on the due date thereof no later than 12:00 noon in the applicable Administrative Agent’s Account or such other location as the Administrative Agent
may designate in writing to the Borrower. Any payments received by the Administrative Agent from the Borrower after the time specified in the preceding sentence shall be deemed to have been received on the next Business Day. The Administrative Agent
will, on the same day each payment is received or deemed to have been received in accordance with this Section 3.2, cause to be distributed like funds to each Lender owed an Obligation for which such payment was received, pro rata based
on the respective amounts of such type of Obligation then owing to each Lender. 
  

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 (b) If any payment received by the Administrative Agent under any Credit Document is insufficient to pay
in full all amounts then due and payable to the Administrative Agent and the Lenders under the Credit Documents, such payment shall be distributed by the Administrative Agent and applied by the Administrative Agent and the Lenders in the order set
forth in Section 7.7. In calculating the amount of Obligations owing each Lender other than for principal and interest on Loans and Reimbursement Obligations and fees under Section 3.1, the Administrative Agent shall only be required to
include such other Obligations that Lenders have certified to the Administrative Agent in writing are due to such Lenders. 
 Section 3.3. Withholding Taxes. 
 (a) Payments Free of Withholding. Except as otherwise required by law, each
payment by the Borrower to any Lender, any Issuing Bank, the Swingline Lender or the Administrative Agent under this Agreement or any other Credit Document shall be made without withholding for or on account of any present or future taxes. If any
such withholding is so required, the Borrower shall make the withholding and pay the amount withheld to the appropriate governmental authority before penalties attach thereto or interest accrues thereon. Moreover, in the case of any such present or
future taxes imposed by or within the jurisdiction in which the Borrower is incorporated, any jurisdiction from which the Borrower makes any payment under this Agreement or any other Credit Document, or (in each case) any political subdivision or
taxing authority thereof or therein, excluding, in the case of each Lender, each Issuing Bank, the Swingline Lender and the Administrative Agent, the following taxes: 
 (i) taxes imposed on, based upon, or measured by such Lender’s, such Issuing Bank’s, the Swingline Lender’s or the
Administrative Agent’s net income, profits, gains, overall revenues, or receipts, branch profits, franchise and similar taxes imposed on it; 
 (ii) taxes imposed on such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent as a result of a present or former connection between the taxing jurisdiction and such Lender, such Issuing Bank,
the Swingline Lender or Administrative Agent, or any owner or affiliate thereof, as the case may be, other than a connection resulting solely from the transactions contemplated by this Agreement; 
 (iii) taxes imposed as a result of the transfer by such Lender, such Issuing Bank, Swingline Lender or Administrative Agent of its
interest in this Agreement or any other Credit Document or a designation by such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent of a new Lending Office (other than taxes imposed as a result of any change in treaty, law
or regulation after such transfer of such Lender’s, such Issuing Bank’s, the Swingline Lender’s or the Administrative Agent’s interest in this Agreement or any other Credit Document or designation of a new Lending Office);

  

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 (iv) taxes imposed by the United States of America (or any political subdivision thereof
or tax authority therein) upon a Lender, Issuing Bank, Swingline Lender or Administrative Agent organized under the laws of a jurisdiction outside of the United States, except to the extent that such tax is imposed as a result of any change in
applicable law, regulation or treaty (other than any addition of or change in any “anti-treaty shopping,” “limitation of benefits,” or similar provision applicable to a treaty) after the date hereof, in the case of each Lender,
Issuing Bank, Swingline Lender or Administrative Agent originally a party hereto or, in the case of any Purchasing Lender (as defined in Section 10.10) or other Issuing Bank or Administrative Agent, after the date on which it becomes a Lender,
Issuing Bank, or Administrative Agent, as the case may be; or 
 (v) taxes which would not have been imposed but for
(a) the failure of such Lender, such Issuing Bank, or the Administrative Agent, as the case may be, to provide on a timely basis (I) the applicable forms prescribed by the Internal Revenue Service, as required pursuant to
Section 3.3(b) (unless excused pursuant to Section 3.3(c)), or (II) any other form, certification, documentation or proof which is reasonably requested by the Borrower, or (b) a determination by a taxing authority or a court of
competent jurisdiction that a form, certification, documentation or other proof provided by such Lender, such Issuing Bank or the Administrative Agent to establish an exemption from such tax, assessment or other governmental charge is false or not
properly completed; 
 (all such present or future taxes, excluding only the taxes described in the preceding clauses (i) through (v), being hereinafter
referred to as “Indemnified Taxes”), Borrower shall forthwith pay such additional amount as may be necessary to ensure that the net amount actually received by each Lender, each Issuing Bank, the Swingline Lender and the Administrative
Agent is free and clear of such Indemnified Taxes (including Indemnified Taxes on such additional amount) and is equal to the amount that such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent (as the case may be) would
have received had withholding of any Indemnified Taxes not been made. If the Borrower pays any Indemnified Taxes, or any penalties or interest in connection therewith, it shall deliver official tax receipts evidencing the payment or certified copies
thereof, or other evidence of payment if such tax receipts have not yet been received by the Borrower (with such tax receipts to be delivered within fifteen (15) days after being actually received), to the Lender, Issuing Bank or the
Administrative Agent on whose account such withholding was made (with a copy to the Administrative Agent if not the recipient of the original) within fifteen (15) days of such payment. If the Administrative Agent, the Swingline Lender, any
Issuing Bank or any Lender pays any Indemnified Taxes which the Borrower has failed to withhold and/or pay to the appropriate governmental authority, or any penalties or interest in connection therewith, the Borrower shall reimburse the
Administrative Agent, the Swingline Lender, that Issuing Bank or that Lender for the payment in the currency in which such payment was made within thirty (30) days after the Borrower has received demand therefor. Such Lender, such Issuing Bank,
the Swingline Lender or the Administrative Agent shall make written demand on the Borrower for reimbursement hereunder no later than ninety (90) days after the earlier of (i) the date on which such Lender, such Issuing Bank, the Swingline
Lender or the Administrative Agent makes payment of the Indemnified Taxes, penalties and interest, and (ii) the date on which the relevant taxing authority or other governmental authority 

  

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makes written demand upon such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent for payment of the Indemnified Taxes, penalties
and interest (for purposes of this clause (ii), “written demand” means a written notice that includes the amount of such Indemnified Taxes). Any such demand shall be in writing and shall describe in reasonable detail such Indemnified
Taxes, penalties or interest. In the event that such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent fails to give the Borrower timely notice as provided herein, the Borrower shall not have any obligation to pay such
claim for reimbursement. In the event that any taxing authority notifies the Borrower that it has improperly failed to withhold any taxes (other than Indemnified Taxes) from a payment to any Lender, any Issuing Bank, the Swingline Lender or the
Administrative Agent under this Agreement or any other Credit Document, the Borrower shall timely and fully pay such taxes to such taxing authority and such Lender, Issuing Bank, Swingline Lender or Administrative Agent, as the case may be, shall
pay the amount of such taxes to the Borrower within thirty (30) days after the receipt of written demand therefor. If the Borrower is or will be required to pay an additional amount to a Lender, an Issuing Bank, the Swingline Lender or the
Administrative Agent pursuant to this Section 3.3(a), then such payee shall use reasonable efforts to take requested measures (including, without limitation, changing the jurisdiction of its Lending Office) so as to reduce or eliminate any such
amounts which may thereafter accrue, if such change would not otherwise be materially disadvantageous to such payee. 
 (b) U.S.
Withholding Tax Exemptions. Upon the written request of the Borrower or the Administrative Agent, each Lender or Issuing Bank that is not a United States person (as such term is defined in Section 7701(a)(30) of the Code) shall submit to
the Borrower and the Administrative Agent, promptly after such request, two properly completed and signed copies of either Form W-8BEN or any successor form (entitling such Lender or Issuing Bank to a complete exemption from withholding under the
Code on all amounts to be received by such Lender or Issuing Bank, including fees, pursuant to the Credit Documents) or Form W-8ECI or any successor form (relating to all amounts to be received by such Lender or Issuing Bank, including fees,
pursuant to the Credit Documents) of the United States Internal Revenue Service, and any other form of the United States Internal Revenue Service reasonably necessary to accomplish exemption from withholding obligations or to facilitate the
Administrative Agent’s performance under this Agreement. Thereafter and from time to time, each such Lender or Issuing Bank shall submit to the Borrower and the Administrative Agent such additional properly completed and signed copies of such
forms (or such successor forms as shall be adopted from time to time by the relevant United States taxing authorities) as may be required under then-current United States law or regulations to avoid United States withholding taxes on payments in
respect of all amounts to be received by such Lender or Issuing Bank, including fees, pursuant to the Credit Documents. Upon the request of the Borrower, each Lender or Issuing Bank that is a United States person shall submit to the Borrower a
certificate to the effect that it is such a United States person and is exempt from information reporting under Section 6049 of the Code and backup withholding under Section 3406 of the Code. 
 (c) Inability of Lender to Submit Forms. If any Lender or Issuing Bank determines in good faith, as a result of any change in applicable law,
regulation or treaty, or in any judicial interpretation thereof, that (i) it is unable to submit to the Borrower or Administrative Agent any form or certificate that such Lender or Issuing Bank is obligated to submit pursuant to subsection

  

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(b) of this Section 3.3, (ii) it is required to withdraw or cancel any such form or certificate previously submitted, or (iii) any such form
or certificate otherwise becomes ineffective or inaccurate, such Lender or Issuing Bank shall promptly notify the Borrower and Administrative Agent of such fact, and such Lender or Issuing Bank shall to that extent not be obligated to provide any
such form or certificate and will be entitled to withdraw or cancel any affected form or certificate, as applicable. 
 (d) Refund of
Taxes. If any Lender, Issuing Bank, the Swingline Lender or the Administrative Agent receives a refund or credit of any Indemnified Tax or any tax referred to in Section 10.3 with respect to which the Borrower has paid any amount pursuant
to this Section 3.3 or Section 10.3, such Lender, such Issuing Bank, the Swingline Lender or the Administrative Agent, as the case may be, shall pay the amount of such refund (including any interest received with respect thereto) to the
Borrower within fifteen (15) days after receipt thereof. Such Lender, Issuing Bank, the Swingline Lender or the Administrative Agent, as the case may be, shall provide, at the sole cost and expense of the Borrower, such assistance as the
Borrower may reasonably request in order to obtain such a refund; provided, however, that neither the Administrative Agent nor the Swingline Lender nor any Lender nor any Issuing Bank shall in any event be required to disclose any information
to the Borrower with respect to the overall tax position (or any other information relating to taxes that such Person reasonably determined to be confidential) of the Administrative Agent, the Swingline Lender such Issuing Bank, or such Lender.

 ARTICLE 4. CONDITIONS PRECEDENT. 
 Section 4.1. Initial Borrowing. The obligation of each Lender to advance the initial Loans hereunder, of the Swingline Lender to advance the initial Swingline Loan and of each Issuing Bank to issue the initial Letter of Credit
hereunder, on or after the Initial Availability Date is subject to satisfaction of the following conditions precedent: 
 (a) The
Administrative Agent shall have received duly executed counterparts of, or duly executed signature pages to, this Agreement (including by facsimile or other electronic means), the duly executed BVI Guaranty, the duly executed Swingline Note, any
Revolving Notes requested pursuant to Section 2.8(e) prior to the Initial Availability Date, duly executed, and the following all in form and substance reasonably satisfactory to the Administrative Agent and Wells Fargo Bank, N.A., as
Syndication Agent, and in sufficient number of signed counterparts, where applicable, to provide one for each Lender: 
 (i)
Certificates of Officers of Borrower. Certificates of the Secretary or an Assistant Secretary of the Borrower containing specimen signatures of the persons authorized to execute Credit Documents (other than the BVI Guaranty) on the
Borrower’s behalf or any other documents provided for herein or therein, together with (x) copies of resolutions of the Board of Directors or other appropriate body of the Borrower authorizing the execution and delivery of the Credit
Documents (other than the BVI Guaranty), (y) copies of the Borrower’s memorandum of association and articles of association and other publicly filed organizational documents in its jurisdiction of incorporation and bylaws and other
governing documents, if any, and (z) a certificate of incorporation and a certificate of good standing from the appropriate governing agency of the Borrower’s jurisdiction of incorporation; 
  

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 (ii) Certificates of Officers of BVI. Certificates of the Secretary or an
Assistant Secretary of BVI containing specimen signatures of the persons authorized to execute the BVI Guaranty on BVI’s behalf or any other documents provided for herein or therein, together with (x) copies of resolutions of the Board of
Directors or other appropriate body of BVI authorizing the execution and delivery of the BVI Guaranty, (y) copies of BVI’s memorandum of association and articles of association and other publicly filed organizational documents in its
jurisdiction of incorporation and bylaws and other governing documents, if any, and (z) a certificate of incorporation and a certificate of good standing from the appropriate governing agency of the BVI’s jurisdiction of incorporation;

 (iii) Regulatory Filings and Approvals. Copies of all necessary governmental and third party approvals,
registrations, and filings in respect of the transactions contemplated by this Agreement; 
 (iv) Opinions of Counsel.
The opinions of (w) Baker Botts LLP, counsel for the Borrower, in the form of Exhibit 4.1A, (x) Walter A. Baker, Vice President and Assistant General Counsel of the Borrower, in the form of Exhibit 4.1B, (y) Maples and
Calder, Cayman Islands counsel for the Borrower, in the form of Exhibit 4.1C, and (z) Harney Westwood & Riegels, British Virgin Islands counsel for BVI, in the form of Exhibit 4.1D; 
 (v) Closing Certificate. Certificate of the President or a Vice President of the Borrower as to the satisfaction of all conditions
set forth in this Section 4.1 and certifying the ratings by S&P and Moody’s, as of the Effective Date, of the Borrower’s non-credit enhanced senior unsecured long-term debt. 
 (b) Each of the representations and warranties of the Borrower and its Subsidiaries set forth herein and in the other Credit Documents shall be true and
correct in all material respects as of the time of such Borrowing, except to the extent that any such representation or warranty relates solely to an earlier date, in which case it shall have been true and correct in all material respects as of such
earlier date; 
 (c) No Default or Event of Default shall have occurred and be continuing; and 
 (d) Payment of all fees and all expenses incurred through the Effective Date then due and owing to the Administrative Agent, the Lenders, and the Co-Lead
Arrangers pursuant to this Agreement and as otherwise agreed in writing by the Borrower. 
 Section 4.2. All Borrowings. The
obligation of each Lender to make any advance of any Loan, of the Swingline Lender to make any Swingline Loan and of each Issuing Bank to issue any Letter of Credit hereunder (including any increase in the amount of, or extension of the 

  

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expiration date of, any Letter of Credit) is subject to satisfaction of the following conditions precedent (but subject to Sections 2.3(c) and 2.12(b)):

 (a) Notices. The Administrative Agent shall have received (i) in the case of any Loan, the Borrowing Request required by the
first sentence of Section 2.3(a), (ii) in the case of any Swingline Loan, the Swingline Request required by Section 2.15(b) and (iii) in the case of the issuance, extension or increase of a Letter of Credit, the relevant Issuing
Bank and the Administrative Agent shall have received a duly completed Issuance Request and Application for such Letter of Credit, as the case may be, meeting the requirements of Section 2.12(b); 
 (b) Warranties True and Correct. In the case of any advance, Borrowing, Loan or issuance or increase of any Letter of Credit that increases the
aggregate amount of Loans or L/C Obligations outstanding after giving effect to such advance, Borrowing or issuance or increase, or extension of the expiration date of a Letter of Credit, each of the representations and warranties of the Borrower
and its Subsidiaries set forth herein (other than the representations and warranties set forth in Sections 5.4, 5.10, 5.16 and 5.17) and in the other Credit Documents (other than those that relate to the representations and warranties set forth in
Sections 5.4, 5.10, 5.16 and 5.17) shall be true and correct in all material respects as of the time of such advance, Borrowing, Loan or issuance or increase of any Letter of Credit, except as a result of the transactions expressly permitted
hereunder or thereunder and except to the extent that any such representation or warranty relates solely to an earlier date, in which case it shall have been true and correct in all material respects as of such earlier date; 
 (c) No Default. No Default or Event of Default shall have occurred and be continuing or would occur as a result of any such Borrowing; and

 (d) Regulations U and X. The Borrowing, Loan or issuance, extension or increase of a Letter of Credit to be made by or issued to
the Borrower shall not result in the Borrower, any Lender or any Issuing Bank being in non-compliance with or in violation of Regulation U or X of the Board of Governors of the Federal Reserve System. 
 Each acceptance by the Borrower of an advance of any Loan or of the issuance of, increase in the amount of, or extension of the expiration date of, a Letter of Credit
shall be deemed to be a representation and warranty by the Borrower on the date of such acceptance, that all conditions precedent to such Borrowing, Loan or issuance, increase or extension set forth in this Section 4.2 and in Section 4.1
with respect to the initial Borrowings, Loans or Letters of Credit hereunder have (except to the extent waived in accordance with the terms hereof) been satisfied or fulfilled unless the Borrower gives to the Administrative Agent and the Lenders
written notice to the contrary, in which case none of the Lenders nor the Swingline Lender shall be required to fund or convert such Loans, and none of the Issuing Banks shall be required to issue, increase the amount of or extend the expiration
date of such Letter of Credit, unless the Required Lenders shall have previously waived in writing such non-compliance. 
  

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 ARTICLE 5. REPRESENTATIONS AND WARRANTIES. 
 The Borrower represents and warrants to each Lender, each Issuing Bank, the Swingline Lender and Administrative Agent as follows: 
 Section 5.1. Corporate Organization. The Borrower and each of its material Subsidiaries: (i) is duly organized and existing in good
standing under the laws of the jurisdiction of its organization; (ii) has all necessary organizational power and authority to own the property and assets it uses in its business and otherwise to carry on its present business; and (iii) is
duly licensed or qualified and in good standing in each jurisdiction in which the nature of the business transacted by it or the nature of the property owned or leased by it makes such licensing or qualification necessary, except where the failure
to be so licensed or qualified or to be in good standing, as the case may be, would not have a Material Adverse Effect. 
 Section 5.2.
Power and Authority; Validity. The Borrower has the organizational power and authority to execute, deliver and carry out the terms and provisions of the Credit Documents to which it is a party and has taken all necessary company action to
authorize the execution, delivery and performance of such Credit Documents. The Borrower has duly executed and delivered each Credit Document (other than the BVI Guaranty) and each such Credit Document constitutes the legal, valid and binding
obligation of the Borrower enforceable against it in accordance with its terms, subject as to enforcement only to bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally
and equitable principles. BVI has the organizational power and authority to execute, deliver and carry out the terms and provisions of the BVI Guaranty and has taken all necessary company action to authorize the execution, delivery and performance
of the BVI Guaranty. BVI has duly executed and delivered the BVI Guaranty and the BVI Guaranty constitutes the legal, valid and binding obligation of BVI enforceable against it in accordance with its terms, subject as to enforcement only to
bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors’ rights generally and equitable principles. 
 Section 5.3. No Violation. Neither the execution, delivery or performance by the Borrower of the Credit Documents to which it is a party nor compliance by it with the terms and provisions thereof, nor the
consummation by it of the transactions contemplated herein or therein, will (i) contravene in any material respect any applicable provision of any law, statute, rule or regulation, or any applicable order, writ, injunction or decree of any
court or governmental instrumentality, (ii) conflict with or result in any breach of any term, covenant, condition or other provision of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or
impose) any Lien other than any Permitted Lien upon any of the property or assets of the Borrower or any of its Subsidiaries under, the terms of any material contractual obligation to which the Borrower or any of its Subsidiaries is a party or by
which they or any of their properties or assets are bound or to which they may be subject, or (iii) violate or conflict with any provision of the memorandum of association and articles of association, charter, articles or certificate of
incorporation, partnership or limited liability company agreement, by-laws, or other applicable governance documents of the Borrower or any of its Subsidiaries. Neither the execution, delivery or performance by BVI of the BVI Guaranty nor compliance
by it with the terms and provisions thereof, nor the consummation by it of the transactions contemplated herein or therein, will (i) contravene in any material respect any applicable provision of any law, statute, rule or regulation, or any
applicable order, writ, 

  

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injunction or decree of any court or governmental instrumentality, (ii) conflict with or result in any breach of any term, covenant, condition or other
provision of, or constitute a default under, or result in the creation or imposition of (or the obligation to create or impose) any Lien other than any Permitted Lien upon any of the property or assets of the Borrower or any of its Subsidiaries
under, the terms of any material contractual obligation to which the Borrower or any of its Subsidiaries is a party or by which they or any of their properties or assets are bound or to which they may be subject, or (iii) violate or conflict
with any provision of the memorandum of association and articles of association, charter, articles or certificate of incorporation, partnership or limited liability company agreement, by-laws, or other applicable governance documents of the Borrower
or any of its Subsidiaries. 
 Section 5.4. Litigation. There are no actions, suits, proceedings or counterclaims (including,
without limitation, derivative or injunctive actions) pending or, to the knowledge of the Borrower, threatened against the Borrower or any of its Subsidiaries that are reasonably likely to have a Material Adverse Effect. 
 Section 5.5. Use of Proceeds; Margin Regulations. 
 (a) Use of Proceeds. The proceeds of the Loans and the Letters of Credit shall only be used for permitted investments and acquisitions, capital expenditures, working capital needs and other general corporate
purposes of the Borrower and its Subsidiaries (including, without limitation, commercial paper back-up and repurchases of the Borrower’s capital stock); provided that no such proceeds will be used (i) in any manner that results in a
violation of law or (ii) in connection with an acquisition not approved by the entity to be acquired. 
 (b) Margin Stock.
Neither the Borrower nor any of its Subsidiaries is engaged in the business of extending credit for the purpose of purchasing or carrying margin stock (which term is used herein as defined in Regulation U of the Board of Governors of the Federal
Reserve System). No proceeds of the Loans or the Letters of Credit will be used for a purpose which violates Regulations T, U or X of the Board of Governors of the Federal Reserve System. After application of the proceeds of the Loans, the issuance
of the Letters of Credit, and any acquisitions permitted hereunder, margin stock will constitute less than 25% of the value of the assets of the Borrower and less then 25% of the assets of the Borrower and its Subsidiaries on a consolidated basis,
in each case that are subject to any arrangement with the Administrative Agent, any Issuing Bank or any Lender (herein or otherwise) whereby the Borrower’s or any Subsidiary’s right or ability to sell, pledge or otherwise dispose of assets
is in any way restricted (or pursuant to which the exercise of any such right is or may be cause for accelerating the maturity of all or any portion of the Loans or any amount payable hereunder or under any such other arrangement). 
 Section 5.6. Investment Company Act. Neither the Borrower nor any of its Subsidiaries is an “investment company” or a
company “controlled” by an “investment company,” within the meaning of the Investment Company Act of 1940, as amended. 
 Section 5.7. Public Utility Holding Company Act. Neither the Borrower nor any of its Subsidiaries is a “holding company,” or a “subsidiary company” of a “holding
company,” or an 

  

 41 

 
“affiliate” of a “holding company” or of a “subsidiary company” of a “holding company,”
within the meaning of the Public Utility Holding Company Act of 2005, as amended. 
 Section 5.8. True and Complete Disclosure.
All factual information (taken as a whole) furnished by the Borrower or any of its Subsidiaries in writing to the Administrative Agent or any Lender in connection with any Credit Document or the Confidential Information Memorandum or any transaction
contemplated therein did not, as of the date such information was furnished (or, if such information expressly related to a specific date, as of such specific date), contain any untrue statement of a material fact or omit to state a material fact
necessary to make the statements therein (taken as a whole), in light of the circumstances under which such information was furnished, not misleading, except for such statements, if any, as have been updated, corrected, supplemented, superseded or
modified pursuant to a written correction or supplement furnished to the Lenders prior to the date of this Agreement. 
 Section 5.9.
Financial Statements. The financial statements heretofore delivered to the Lenders for the Borrower’s fiscal year ending December 31, 2005, and for the Borrower’s fiscal quarter and the six months ending June 30, 2006,
have been prepared in accordance with GAAP applied on a basis consistent, except as otherwise noted therein, in accordance with GAAP, with the Borrower’s financial statements for the previous fiscal year. Such annual financial statements have
been audited by PricewaterhouseCoopers LLP, and such annual and quarterly financial statements fairly present in all material respects on a consolidated basis the financial position of the Borrower as of the dates thereof, and the results of
operations for the periods indicated, subject in the case of interim financial statements, to normal year-end audit adjustments and omission of certain footnotes (as permitted by the SEC). As of the Effective Date, the Borrower and its Subsidiaries,
considered as a whole, had no material contingent liabilities or material Indebtedness required under GAAP to be disclosed in a consolidated balance sheet of the Borrower that were not included in the financial statements referred to above in this
Section 5.9 or disclosed in the notes thereto. The financial statements heretofore delivered to the Lenders for BVI’s fiscal year ending December 31, 2005, have been prepared in accordance with GAAP applied on a basis consistent,
except as otherwise noted therein, in accordance with GAAP, with BVI’s financial statements for the previous fiscal year. Such annual and quarterly financial statements fairly present in all material respects on a consolidated basis the
financial position of BVI as of the dates thereof, and the results of operations for the periods indicated, subject in the case of interim financial statements, to normal year-end audit adjustments and omission of certain footnotes (as permitted by
the SEC). As of the Effective Date, BVI and its Subsidiaries, considered as a whole, had no material contingent liabilities or material Indebtedness required under GAAP to be disclosed in a consolidated balance sheet of BVI that were not included in
the financial statements of BVI referred to in this Section 5.9 or disclosed in the notes thereto. 
 Section 5.10. No Material
Adverse Change. There has occurred no event or effect that has had or could reasonably be expected to have a Material Adverse Effect. 
 Section 5.11. Taxes. The Borrower and its Subsidiaries have filed all required United States federal income tax returns, and all other material tax returns required to be filed, whether in the United States or in any foreign
jurisdiction, and have paid all governmental taxes, rates, assessments, fees, charges and levies (collectively, “Taxes”) shown to be due and payable on 

  

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such returns or on any assessments made against Borrower and its Subsidiaries or any of their properties (other than any such assessments, fees, charges or
levies that are not more than ninety (90) days past due, or which can thereafter be paid without penalty, or which are being contested in good faith by appropriate proceedings and for which reserves have been provided in conformity with GAAP,
or which the failure to pay could not reasonably be expected to have a Material Adverse Effect). 
 Section 5.12. Consents. On
the Initial Availability Date, all consents and approvals of, and filings and registrations with, and all other actions of, all governmental agencies, authorities or instrumentalities required to have been obtained or made by the Borrower in order
to obtain the Loans and Letters of Credit hereunder have been or will have been obtained or made and are or will be in full force and effect. On the Initial Availability Date, all consents and approvals of, and filings and registrations with, and
all other actions of, all governmental agencies, authorities or instrumentalities required to have been obtained or made by the Borrower or BVI in order to execute, deliver and perform the Credit Documents have been or will have been obtained or
made and are or will be in full force and effect. 
 Section 5.13. Insurance. The Borrower and its material Subsidiaries
currently maintain in effect, with responsible insurance companies, insurance against any loss or damage to all insurable property and assets owned by it, which insurance is of a character and in or in excess of such amounts as are customarily
maintained by companies similarly situated and operating like property or assets (subject to self-insured retentions and deductibles), and insurance with respect to employers’ and public and product liability risks (subject to self-insured
retentions and deductibles); provided that the Borrower or any such material Subsidiary may self-insure to the extent and in the manner normal for companies of like size, type and financial condition. 
 Section 5.14. Intellectual Property. The Borrower and its Subsidiaries own or hold valid licenses to use all the patents, trademarks,
permits, service marks, and trade names that are necessary to the operation of the business of the Borrower and its Subsidiaries as presently conducted, except where the failure to own, or hold valid licenses to use, such patents, trademarks,
permits, service marks, and trade names could not reasonably be expected to have a Material Adverse Effect. 
 Section 5.15.
Ownership of Property. The Borrower and its Subsidiaries have good title to or a valid leasehold interest in all of their real property and good title to, or a valid leasehold interest in, all of their other property, subject to no Liens
except Permitted Liens, except where the failure to have such title or leasehold interest in such property could not reasonably be expected to have a Material Adverse Effect. 
 Section 5.16. Existing Indebtedness. Schedule 5.16 contains a complete and accurate list of all Indebtedness outstanding as of the
Effective Date, with respect to the Borrower and its Subsidiaries, in each case in a principal amount of $10,000,000 (or, if denominated in a currency other than U.S. Dollars, the Dollar Equivalent of $10,000,000) or more (other than the Obligations
hereunder and Indebtedness permitted by Section 6.11(b) through (j)) and permitted by Section 6.11(a), in each case showing the aggregate principal amount thereof, the name of the respective borrower and any other entity which directly or
indirectly guaranteed such Indebtedness, and the scheduled payments of such Indebtedness. 
  

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 Section 5.17. Existing Liens. Schedule 5.17 contains a complete and accurate list of
all Liens outstanding as of the Effective Date, with respect to the Borrower and its Subsidiaries where the Indebtedness or other obligations secured by such Lien is in a principal amount of $10,000,000 (or, if denominated in a currency other than
U.S. Dollars, the Dollar Equivalent of $10,000,000) or more (other than the Liens permitted by Section 6.10(b) through (r)), and permitted by Section 6.10(a), in each case showing the name of the Person whose assets are subject to such
Lien, the aggregate principal amount of the Indebtedness secured thereby, and a description of the Agreements or other instruments creating, granting, or otherwise giving rise to such Lien. 
 ARTICLE 6. COVENANTS. 
 The Borrower covenants and
agrees that, so long as any Loan, Note, Commitment, or L/C Obligation is outstanding hereunder, or any other Obligation is due and payable hereunder: 
 Section 6.1. Corporate Existence. Each of the Borrower and its material Subsidiaries will preserve and maintain its organizational existence, except (i) for the dissolution of any material
Subsidiaries (other than BVI) whose assets are transferred to the Borrower or any of its Subsidiaries, (ii) where the failure to preserve, renew or keep in full force and effect the existence of any Subsidiary (other than BVI) could not
reasonably be expected to have a Material Adverse Effect, or (iii) as otherwise expressly permitted in this Agreement. 
 Section 6.2. Maintenance. Each of the Borrower and its material Subsidiaries will maintain, preserve and keep its properties and equipment necessary to the proper conduct of its business in reasonably good repair, working order
and condition (normal wear and tear excepted) and will from time to time make all reasonably necessary repairs, renewals, replacements, additions and betterments thereto so that at all times such properties and equipment are reasonably preserved and
maintained, in each case with such exceptions as could not, individually or in the aggregate, be reasonably expected to have a Material Adverse Effect; provided, however, that nothing in this Section 6.2 shall prevent the Borrower or any
material Subsidiary from discontinuing the operation or maintenance of any such properties or equipment if such discontinuance is, in the judgment of the Borrower or any material Subsidiary, as applicable, desirable in the conduct of its business.

 Section 6.3. Taxes. Each of the Borrower and its Subsidiaries will duly pay and discharge all Taxes upon or against it or its
properties and all other obligations (including, without limitation, ERISA obligations) within ninety (90) days after becoming due or (in the case of Taxes), if later, prior to the date on which penalties are imposed for such unpaid Taxes,
unless and to the extent that (i) the same is being contested in good faith and by appropriate proceedings and reserves have been established in conformity with GAAP, or (ii) the failure to effect such payment or discharge could not
reasonably be expected to have a Material Adverse Effect. 
  

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 Section 6.4. ERISA. Each of the Borrower and its Subsidiaries will timely pay and discharge
all obligations and liabilities arising under ERISA or otherwise with respect to each Plan of a character which if unpaid or unperformed might result in the imposition of a material Lien against any properties or assets of the Borrower or any
material Subsidiary and will promptly notify the Administrative Agent upon an officer of the Borrower becoming aware thereof, of (i) the occurrence of any reportable event (as defined in ERISA) relating to a Plan (other than a multi-employer
plan, as defined in ERISA), so long as the event thereunder could reasonably be expected to have a Material Adverse Effect, other than any such event with respect to which the PBGC has waived notice by regulation; (ii) receipt of any notice
from PBGC of its intention to seek termination of any Plan or appointment of a trustee therefor; (iii) Borrower’s or any of its Subsidiaries’ intention to terminate or withdraw from any Plan if such termination or withdrawal would
result in liability under Title IV of ERISA, unless such termination or withdrawal could not reasonably be expected to have a Material Adverse Effect; and (iv) the receipt by the Borrower or its Subsidiaries of notice of the occurrence of any
event that could reasonably be expected to result in the incurrence of any liability (other than for benefits), fine or penalty to the Borrower and/or to the Borrower’s Subsidiaries, or any plan amendment that could reasonably be expected to
increase the contingent liability of the Borrower and its Subsidiaries, taken as a whole, in either case in connection with any post-retirement benefit under a welfare plan (subject to ERISA), unless such event or amendment could not reasonably be
expected to have a Material Adverse Effect. The Borrower will also promptly notify the Administrative Agent of (i) any material contributions to any Foreign Plan that have not been made by the required due date for such contribution if such
default could reasonably be expected to have a Material Adverse Effect; (ii) any Foreign Plan that is not funded to the extent required by the law of the jurisdiction whose law governs such Foreign Plan based on the actuarial assumptions
reasonably used at any time if such underfunding (together with any penalties likely to result) could reasonably be expected to have a Material Adverse Effect, and (iii) any material change anticipated to any Foreign Plan that could reasonably
be expected to have a Material Adverse Effect. 
 Section 6.5. Insurance. Each of the Borrower and its material Subsidiaries will
maintain or cause to be maintained, with responsible insurance companies, insurance against any loss or damage to all insurable property and assets owned by it, such insurance to be of a character and in or in excess of such amounts as are
customarily maintained by companies similarly situated and operating like property or assets (subject to self-insured retentions and deductibles) and will (subject to self-insured retentions and deductibles) maintain or cause to be maintained
insurance with respect to employers’ and public and product liability risks; provided that the Borrower or any such material Subsidiary may self-insure to the extent and in the manner normal for companies of like size, type and financial
condition. 
 Section 6.6. Financial Reports and Other Information. 
 (a) Periodic Financial Statements and Other Documents. The Borrower, its Subsidiaries and any SPVs will maintain a system of accounting in such
manner as will enable preparation of financial statements in accordance with GAAP and will furnish to the Lenders and their respective authorized representatives such information about the business and financial 

  

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condition of the Borrower, its Subsidiaries and any SPVs as any Lender may reasonably request; and, without any request, will furnish to the Administrative
Agent: 
 (i) within sixty (60) days after the end of each of the first three (3) fiscal quarters of each fiscal
year of the Borrower, the consolidated balance sheet of the Borrower and its Subsidiaries as at the end of such fiscal quarter and the related consolidated statements of income and retained earnings and of cash flows for such fiscal quarter and for
the portion of the fiscal year ended with the last day of such fiscal quarter, all of which shall be in reasonable detail or in the form filed with the SEC, and certified by the chief financial officer of the Borrower that they fairly present in all
material respects the financial condition of the Borrower and its Subsidiaries as of the dates indicated and the results of their operations and changes in their cash flows for the periods indicated and that they have been prepared in accordance
with GAAP, in each case, subject to normal year-end audit adjustments and the omission of any footnotes as permitted by the SEC (publicly filing the Borrower’s Form 10-Q with the SEC in any event will satisfy the requirements of this subsection
subject to Section 6.6(b) and shall be deemed furnished and delivered on the date such information has been posted on the SEC website accessible through http://www.sec.gov/edgar/searchedgar/webusers.htm or such successor webpage of the SEC
thereto)); 
 (ii) within one hundred twenty (120) days after the end of each fiscal year of the Borrower, the
consolidated balance sheet of the Borrower and its Subsidiaries as at the end of such fiscal year and the related consolidated statements of income and retained earnings and of cash flows for such fiscal year and setting forth consolidated
comparative figures as of the end of and for the preceding fiscal year, audited by an independent nationally-recognized accounting firm and in the form filed with the SEC (publicly filing the Borrower’s Form 10-K with the SEC in any event will
satisfy the requirements of this subsection subject to Section 6.6(b) and shall be deemed furnished and delivered on the date such information has been posted on the SEC website accessible through
http://www.sec.gov/edgar/searchedgar/webusers.htm or such successor webpage of the SEC thereto); 
 (iii) after the BVI
Guaranty becomes effective, within sixty (60) days after the end of June 30th of each year, (1) the
consolidated balance sheet of BVI and its Subsidiaries as at the end of such fiscal quarter and the related consolidated statements of income and retained earnings and of cash flows for such fiscal quarter and for the portion of the fiscal year
ended with the last day of such fiscal quarter, all of which shall be in reasonable detail and certified by a director or officer of BVI that they fairly present in all material respects the financial condition of BVI and its Subsidiaries as of the
dates indicated and the results of their operations and changes in their cash flows for the periods indicated and that they have been prepared in accordance with GAAP, in each case, subject to normal year-end audit adjustments and the omission of
any footnotes as permitted by the SEC, and (2) a listing of all Indebtedness owed, as at the end of such fiscal quarter, by BVI or any of its Subsidiaries to the Borrower or any of its Subsidiaries, certified by a director or officer of BVI;

  

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 (iv) after the BVI Guaranty becomes effective, within one hundred twenty (120) days
after the end of each fiscal year of BVI, (1) the consolidated balance sheet of BVI and its Subsidiaries as at the end of such fiscal year and the related consolidated statements of income and retained earnings and of cash flows for such fiscal
year, all of which shall be in reasonable detail and certified by a director or officer of BVI that they fairly present in all material respects the financial condition of BVI and its Subsidiaries as of end of such fiscal year and the results of
their operations and changes in their cash flows for such fiscal year and that they have been prepared in accordance with GAAP, and (2) a listing of all Indebtedness owed, as at the end of such fiscal year, by BVI or any of its Subsidiaries to
the Borrower or any of its Subsidiaries, certified by a director or officer of BVI; 
 (v) [reserved]; 
 (vi) within ten (10) days after the sending or filing thereof, copies of all financial statements, projections, documents and other
communications that the Borrower sends to its stockholders generally or publicly files with the SEC or any similar governmental authority (and is publicly available); provided that publicly filing such documents with the SEC in any event will
satisfy the requirements of this subsection subject to Section 6.6(b) and shall be deemed furnished and delivered on the date such information has been posted on the SEC website accessible through
http://www.sec.gov/edgar/searchedgar/webusers.htm or such successor webpage of the SEC thereto; and 
 (vii) such other
information as the Administrative Agent or any Lender may reasonably request. 
 The Administrative Agent will forward promptly to the Lenders the
information provided by the Borrower pursuant to (i) through (vi) above. 
 (b) Compliance Certificates. Within the sixty
(60) day or one hundred twenty (120) day time periods set forth in subsections (i) and (ii) of Section 6.6(a) for furnishing financial statements, the Borrower shall deliver to the Administrative Agent (i) additional
information setting forth calculations excluding the effects of any SPVs and containing such calculations for any SPVs as reasonably requested by the Administrative Agent, and (ii) (x) a written certificate signed by the Borrower’s
chief financial officer (or other financial officer of the Borrower), in his or her capacity as such, to the effect that no Default or Event of Default then exists or, if any such Default or Event of Default exists as of the date of such
certificate, setting forth a description of such Default or Event of Default and specifying the action, if any, taken by the Borrower to remedy the same, and (y) a Compliance Certificate in the form of Exhibit 6.6 showing the
Borrower’s compliance with certain of the covenants set forth herein. 
 (c) Reserved. 
 (d) Notice of Events Relating to Environmental Laws and Claims. Promptly after any officer of the Borrower obtains knowledge of any of the
following, the Borrower will 

  

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provide the Administrative Agent with written notice in reasonable detail of any of the following that, individually or in the aggregate, could reasonably be
expected to have a Material Adverse Effect: 
 (i) any pending or threatened Environmental Claim against the Borrower, any of
its Subsidiaries or any SPV or any property owned or operated by the Borrower, any of its Subsidiaries or any SPV; 
 (ii) any
condition or occurrence on any property owned or operated by the Borrower, any of its Subsidiaries or any SPV that results in noncompliance by the Borrower, any of its Subsidiaries or any SPV with any Environmental Law; and 
 (iii) the taking of any material remedial action in response to the actual or alleged presence of any Hazardous Material on any property
owned or operated by the Borrower, any of its Subsidiaries or any SPV other than in the ordinary course of business. 
 (e) Notices of
Default, Litigation, Etc. The Borrower will promptly, and in any event within five (5) Business Days, after an officer of the Borrower has knowledge thereof, give written notice to the Administrative Agent of (who will in turn provide
notice to the Lenders of): (i) the occurrence of any Default or Event of Default; (ii) any litigation or governmental proceeding of the type described in Section 5.4; (iii) any circumstance that has had or could reasonably be
expected to have a Material Adverse Effect; (iv) the occurrence of any event which has resulted in a breach of, or is reasonably expected to result in a breach of, Section 6.16; and (v) any notice received by it, any Subsidiary or any
SPV from the holder(s) of Indebtedness of the Borrower, any Subsidiary or any SPV in an amount which, in the aggregate, exceeds $50,000,000 (or, if denominated in a currency other than U.S. Dollars, the Dollar Equivalent of $50,000,000), where such
notice states or claims the existence or occurrence of any default or event of default with respect to such Indebtedness under the terms of any indenture, loan or credit agreement, debenture, note, or other document evidencing or governing such
Indebtedness. 
 Section 6.7. Lender Inspection Rights. Upon reasonable notice from the Administrative Agent or any Lender, the
Borrower will permit the Administrative Agent or any Lender (and such Persons as the Administrative Agent or such Lender may reasonably designate) during normal business hours at such entity’s sole expense unless a Default or Event of Default
shall have occurred and be continuing, in which event at the Borrower’s expense, to visit and inspect any of the properties of the Borrower or any of its Subsidiaries, to examine all of their books and records, to make copies and extracts
therefrom, and to discuss their respective affairs, finances and accounts with their respective officers and independent public accountants (and by this provision the Borrower authorizes such accountants to discuss with the Administrative Agent and
any Lender (and such Persons as the Administrative Agent or such Lender may reasonably designate) the affairs, finances and accounts of the Borrower and its Subsidiaries), all as often, and to such extent, as may be reasonably requested. The chief
financial officer of the Borrower and/or his or her designee shall be afforded the opportunity to be present at any meeting of the Administrative Agent or the Lenders and such accountants. The Administrative 

  

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Agent agrees to use reasonable efforts to minimize, to the extent practicable, the number of separate requests from the Lenders to exercise their rights
under this Section 6.7 and/or Section 6.6 and to coordinate the exercise by the Lenders of such rights. 
 Section 6.8.
Conduct of Business. The Borrower and its Subsidiaries will at all times, in all material respects, remain primarily engaged in (i) the contract drilling business, (ii) other existing businesses described in the Borrower’s
current SEC reports, or (iii) any related businesses (each a “Permitted Business”). 
 Section 6.9.
Restrictions on Fundamental Changes. The Borrower shall not merge or consolidate with any other Person, or cause or permit any dissolution of the Borrower or liquidation of its assets, or sell, transfer or otherwise dispose of all or
substantially all of the Borrower’s assets, or permit BVI to merge or consolidate with any other Person, or cause or permit any dissolution of BVI or liquidation of its assets, except that: 
 (a) The Borrower may merge into, or consolidate with, any other Person (other than BVI) if upon the consummation of any such merger or consolidation the
Borrower is the surviving Person to any such merger or consolidation; 
 (b) The Borrower may sell or transfer all or substantially all of
its assets (including stock in its Subsidiaries) to any Person if such Person is a Subsidiary (other than BVI) of the Borrower (or a Person who will contemporaneously therewith become a Subsidiary of the Borrower); and 
 (c) BVI may merge into, or consolidate with, any other Person (other than the Borrower) if upon the consummation of any such merger or consolidation BVI
is the surviving Person to any such merger or consolidation; 
 provided in the case of any transaction described in the preceding clauses
(a) and (b), no Default or Event of Default shall exist immediately prior to, or after giving effect to, such transaction. 
 Section 6.10. Liens. The Borrower and its Subsidiaries shall not create, incur, assume or suffer to exist any Lien of any kind on any property or asset of any kind of the Borrower or any Subsidiary, except the following (collectively,
the “Permitted Liens”): 
 (a) Liens existing on the date hereof (each such Lien, to the extent it secures Indebtedness or
other obligations in an aggregate amount of $10,000,000 (or, if denominated in a currency other than U.S. Dollars, the Dollar Equivalent of $10,000,000) or more, being described on Schedule 5.17 attached hereto); 
 (b) Liens arising in the ordinary course of business by operation of law, deposits, pledges or other Liens in connection with workers’ compensation,
unemployment insurance, old age benefits, social security obligations, taxes, assessments, public or statutory obligations or other similar charges, good faith deposits, pledges or other Liens in connection with (or to obtain letters of credit in
connection with) bids, performance, return-of-money or payment bonds, contracts or leases to which the Borrower or its Subsidiaries are parties or other deposits required 

  

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to be made in the ordinary course of business; provided that in each case the obligation secured is not for Indebtedness for borrowed money and is not
overdue or, if overdue, is being contested in good faith by appropriate proceedings and reserves in conformity with GAAP have been provided therefor; 
 (c) mechanics’, workmen’s, materialmen’s, landlords’, carriers’, maritime or other similar Liens arising in the ordinary course of business (or deposits to obtain the release of such Liens)
related to obligations not overdue for more than thirty (30) days if such Liens arise with respect to domestic assets and for more than ninety (90) days if such Liens arise with respect to foreign assets, or, if so overdue, that are being
contested in good faith by appropriate proceedings and reserves in conformity with GAAP have been provided therefor, or if such Liens otherwise could not reasonably be expected to have a Material Adverse Effect; 
 (d) Liens for Taxes not more than ninety (90) days past due or which can thereafter be paid without penalty or which are being contested in good
faith by appropriate proceedings and reserves in conformity with GAAP have been provided therefor, or if such Liens otherwise could not reasonably be expected to have a Material Adverse Effect; 
 (e) Liens imposed by ERISA (or comparable foreign laws) which are being contested in good faith by appropriate proceedings and reserves in conformity
with GAAP have been provided therefor, or if such Liens otherwise could not reasonably be expected to have a Material Adverse Effect; 
 (f)
Liens arising out of judgments or awards against the Borrower or any of its Subsidiaries, or in connection with surety or appeal bonds or the like in connection with bonding such judgments or awards, the time for appeal from which or petition for
rehearing of which shall not have expired or for which the Borrower or such Subsidiary shall be prosecuting on appeal or proceeding for review, and for which it shall have obtained (within thirty (30) days with respect to a judgment or award
rendered in the United States or within sixty (60) days with respect to a judgment or award rendered in a foreign jurisdiction after entry of such judgment or award or expiration of any previous such stay, as applicable) a stay of execution or
the like pending such appeal or proceeding for review; provided, that the aggregate amount of uninsured or underinsured liabilities (net of customary deductibles, and including interest, costs, fees and penalties, if any) of the Borrower and
its Subsidiaries secured by such Liens shall not exceed the Dollar Equivalent of $50,000,000 at any one time outstanding; 
 (g) Liens on
fixed or capital assets acquired, constructed, improved, altered or repaired by the Borrower or any Subsidiary and related contracts, intangibles and other assets that are incidental thereto (including accessions thereto and replacements thereof) or
otherwise arise therefrom; provided that (i) such Liens secure Indebtedness otherwise permitted by this Agreement, (ii) such Liens and the Indebtedness secured thereby are incurred prior to or within 365 days after such acquisition
or the later of the completion of such construction, improvement, alteration or repair or the date of commercial operation of the assets constructed, improved, altered or repaired, (iii) the Indebtedness secured thereby does not exceed the cost
of acquiring, constructing, improving, altering or repairing such fixed or capital assets, as the case may be, and (iv) such Lien shall not apply to any other property or assets of the Borrower or any Subsidiary; 
  

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 (h) Liens securing Interest Rate Protection Agreements or foreign exchange hedging obligations incurred
in the ordinary course of business and not for speculative purposes; 
 (i) Liens on property existing at the time such property is acquired
by the Borrower or any Subsidiary of the Borrower and not created in contemplation of such acquisition (or on repairs, renewals, replacements, additions, accessions and betterments thereto), and Liens on the assets of any Person at the time such
Person becomes a Subsidiary of the Borrower and not created in contemplation of such Person becoming a Subsidiary of the Borrower (or on repairs, renewals, replacements, additions, accessions and betterments thereto); 
 (j) any extension, renewal or replacement (or successive extensions, renewals or replacements) in whole or in part of any Lien referred to in the
foregoing subsections (a) through (i), provided, however, that the principal amount of Indebtedness secured thereby does not exceed the principal amount secured at the time of such extension, renewal or replacement (other than amounts
incurred to pay costs of such extension, renewal or replacement), and that such extension, renewal or replacement is limited to the property already subject to the Lien so extended, renewed or replaced (together with accessions and improvements
thereto and replacements thereof); 
 (k) rights reserved to or vested in any municipality or governmental, statutory or public authority by
the terms of any right, power, franchise, grant, license or permit, or by any provision of law, to terminate such right, power, franchise, grant, license or permit or to purchase, condemn, expropriate or recapture or to designate a purchaser of any
of the property of a Person; 
 (l) rights reserved to or vested in any municipality or governmental, statutory or public authority to
control, regulate or use any property of a Person; 
 (m) rights of a common owner of any interest in property held by a Person and such
common owner as tenants in common or through other common ownership; 
 (n) encumbrances (other than to secure the payment of Indebtedness),
easements, restrictions, servitudes, permits, conditions, covenants, exceptions or reservations in any property or rights-of-way of a Person for the purpose of roads, pipelines, transmission lines, transportation lines, distribution lines, removal
of gas, oil, coal, metals, steam, minerals, timber or other natural resources, and other like purposes, or for the joint or common use of real property, rights-of-way, facilities or equipment, or defects, irregularity and deficiencies in title of
any property or rights-of-way; 
 (o) Liens created by or resulting from zoning, planning and environmental laws and ordinances and municipal
regulations; 
 (p) Liens created or evidenced by or resulting from financing statements filed by lessors of property (but only with respect
to the property so leased); 
  

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 (q) Liens on property securing Non-recourse Debt; 
 (r) Liens on the stock or assets of SPVs; 
 (s) [reserved] 
 (t) Liens (not otherwise permitted by this Section 6.10) securing Indebtedness (or other obligations) not
exceeding at the time of incurrence thereof (together with all such other Liens securing Indebtedness (or other obligations) outstanding pursuant to this clause (t) at such time) ten percent (10%) of Consolidated Tangible Net Worth
(Borrower); and 
 (u) Liens on assets of BVI or its Subsidiaries to secure Indebtedness referred to in Section 6.11(k). 
 Notwithstanding the foregoing exceptions, no Liens on assets of BVI or any of its Subsidiaries shall be permitted by the foregoing clauses (a), (g), (h), (i), (p), (q),
(r) or (t). 
 Section 6.11. Subsidiary Indebtedness. The Borrower shall not permit its Subsidiaries to incur, assume or
suffer to exist any Indebtedness, except: 
 (a) existing Indebtedness outstanding on the Effective Date (such Indebtedness, to the extent the
principal amount thereof is $10,000,000 (or, if denominated in a currency other than U.S. Dollars, the Dollar Equivalent of $10,000,000) or more, being described on Schedule 5.16 attached hereto), and any subsequent extensions, renewals or
refinancings thereof (i) so long as such Indebtedness is not increased in amount (other than amounts incurred to pay costs of such extension, renewal or refinancing), the scheduled maturity date thereof (if prior to the Maturity Date) is not
accelerated, the interest rate per annum applicable thereto is not increased, any scheduled amortization of principal thereunder prior to the Maturity Date is not shortened and the payments thereunder are not increased, or (ii) such extensions,
renewals or refinancings are otherwise expressly permitted by, and are effected pursuant to, another clause in this Section 6.11 (other than clause (l) hereof); 
 (b) Indebtedness under the Credit Documents; 
 (c) intercompany loans and advances to the Borrower or its
Subsidiaries, and intercompany loans and advances from any of such Subsidiaries or SPVs to the Borrower or any other Subsidiaries of the Borrower; provided that each intercompany loan advanced to BVI or any of its Subsidiaries after the
Effective Date shall include subordination provisions (reasonably acceptable to the Required Lenders) whereby the repayment obligations under such loan are subordinated to the obligations under the BVI Guaranty; 
 (d) Indebtedness under any Interest Rate Protection Agreements and Currency Rate Protection Agreements, in each case entered into in the ordinary course
of business and not for speculative purposes; 
  

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 (e) Indebtedness (i) under unsecured lines of credit for overdrafts or for working capital purposes
in foreign countries with financial institutions, or (ii) arising from the honoring by a bank or other Person of a check, draft or similar instrument inadvertently drawing against insufficient funds, all such Indebtedness not to exceed the
Dollar Equivalent of $100,000,000 in the aggregate at any time outstanding, provided that amounts outstanding as a result of inadvertent drawings against insufficient funds shall be outstanding for one (1) Business Day before being
included in such aggregate amount; 
 (f) Indebtedness of a Person existing at the time such Person becomes a Subsidiary of the Borrower or
is merged with or into the Borrower or any Subsidiary of the Borrower and not incurred in contemplation of such transaction, and extensions, renewals or refinancings thereof that do not increase the amount of such Indebtedness (other than amounts
included to pay costs of such extension, renewal or refinancing; 
 (g) Indebtedness (i) under Performance Guaranties and Performance
Letters of Credit, or (ii) with respect to letters of credit issued in the ordinary course of business; 
 (h) [reserved] 
 (i) Non-recourse Debt; 
 (j) Indebtedness
(not otherwise permitted under any other clause of this Section 6.11) of Borrower’s Subsidiaries (other than BVI and its Subsidiaries) in an aggregate principal amount outstanding for all such Subsidiaries not exceeding at any time
(together with all other Indebtedness outstanding pursuant to this clause (j) at such time) $1,500,000,000, except that (A) neither BVI nor any of its Subsidiaries shall at any time be liable (indirectly or directly, including, without
limitation, by providing any security or Guaranty) for any such Indebtedness, and (B) the total aggregate principal amount of Indebtedness under this paragraph (j) may not exceed 10% of Consolidated Net Assets at any time unless
(x) the BVI Guaranty shall become effective at such time (and remain effective at all times thereafter), and (y) the Consolidated Tangible Net Worth (BVI) shall at such time, and shall at all times thereafter, exceed $1,000,000,000;

 (k) Indebtedness of BVI and its Subsidiaries in a total aggregate principal amount outstanding at any time not to exceed $100,000,000;
provided that such Indebtedness is incurred (X) under clauses (d) through (g) above, or (Y) for the purpose of financing all or a part of the purchase price or construction cost of property (including the cost of
upgrading, refurbishing or renovating drilling rigs, drillships and other vessels and platforms) if (A) the principal amount of the Indebtedness does not exceed the cost of the property so acquired, constructed, upgraded, refurbished or
renovated plus transaction costs related thereto and (B) such Indebtedness is incurred no later than 12 months after the latest of (x) commencement of commercial operation of the property so acquired, constructed, upgraded, refurbished or
renovated, (y) completion of the construction, acquisition, upgrade, refurbishment or renovation of such property and (z) acquisition of such property; and 
  

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 (l) extensions, renewals or replacements of Indebtedness permitted by this Section 6.11
(other than paragraphs (e), (j) and (k)) that do not increase the amount of such Indebtedness (other than amounts incurred to pay costs of such extension, renewal or refinancing). 
 Notwithstanding the foregoing, the exceptions in paragraph (i) and (j) above shall not be available to BVI or its Subsidiaries, and the exceptions in paragraphs (d) through (g) above shall be
available to BVI and its Subsidiaries only in an amount, which when added to all Indebtedness outstanding under paragraph (k) above, does not exceed an aggregate principal amount of $100,000,000. 
 If the Indebtedness under the foregoing clause (j) shall at any time exceed 10% of Consolidated Net Assets, the Borrower will deliver to the Administrative Agent a
certificate of a responsible officer of the Borrower to the effect that the Consolidated Tangible Net Worth (BVI) exceeds $1,000,000,000, that BVI is not liable (directly or indirectly, including, without limitation, by providing any security or
Guaranty) for any Indebtedness under such clause (j) and that such Indebtedness exceeds 10% of Consolidated Net Assets. If the Indebtedness under such clause (j) exceeds 10% of Consolidated Net Assets, the Borrower will cause the tangible
net worth of BVI to exceed $1,000,000,000 at all times. At all times during which any Indebtedness is outstanding under such clause (j), the Borrower will cause BVI and its Subsidiaries to not be liable (directly or indirectly, including, without
limitation, by providing any security or Guaranty) for any such Indebtedness. 
 Section 6.12. Use of Property and Facilities;
Environmental Laws. The Borrower and its Subsidiaries shall comply in all material respects with all Environmental Laws applicable to or affecting the properties or business operations of the Borrower or any Subsidiary of the Borrower, where the
failure to comply could reasonably be expected to have a Material Adverse Effect. 
 Section 6.13. Transactions with Affiliates.
Except as otherwise specifically permitted herein, the Borrower and its Subsidiaries shall not (except pursuant to contracts outstanding as of (i) with respect to the Borrower, the Effective Date or (ii) with respect to any Subsidiary of
the Borrower, the Effective Date or, if later, the date such Subsidiary first became a Subsidiary of the Borrower) enter into or engage in any material transaction or arrangement or series of related transactions or arrangements which in the
aggregate would be material with any Controlling Affiliate, including without limitation, the purchase from, sale to or exchange of property with, any merger or consolidation with or into, or the rendering of any service by or for, any Controlling
Affiliate, unless such transaction or arrangement or series of related transactions or arrangements, taken as a whole, are no less favorable to the Borrower or such Subsidiary (other than a wholly owned Subsidiary) than would be obtained in an
arms’ length transaction with a Person not a Controlling Affiliate. 
 Section 6.14. Sale and Leaseback Transactions. The
Borrower will not, and will not permit any of its Subsidiaries to, enter into, assume, guaranty or suffer to exist any Sale-Leaseback Transaction, except any Sale-Leaseback Transaction that may be entered into, assumed or suffered to exist without
violating any other provision of this Agreement, including 

  

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without limitation, Section 6.16, and in determining whether any such violation would occur (i) the Attributable Obligations in respect of such
Sale-Leaseback Transaction shall be treated as Indebtedness and (ii) and such Sale-Leaseback Transaction shall be treated as creating a Lien on the assets that are subject to such Sale-Leaseback Transaction securing such Attributable
Obligations. 
 Section 6.15. Compliance with Laws. Without limiting any of the other covenants of the Borrower in this Article
6, the Borrower and its Subsidiaries shall conduct their business, and otherwise be, in compliance with all applicable laws, regulations, ordinances and orders of any governmental or judicial authorities (including, without limitation, environmental
laws and ERISA); provided, however, that this Section 6.15 shall not require the Borrower or any Subsidiary of the Borrower to comply with any such law, regulation, ordinance or order if (x) it shall be contesting such law,
regulation, ordinance or order in good faith by appropriate proceedings and reserves in conformity with GAAP have been provided therefor, or (y) the failure to comply therewith could not reasonably be expected to have a Material Adverse Effect.

 Section 6.16. Indebtedness to Total Tangible Capitalization Ratio. The Borrower will maintain, as of the end of each fiscal
quarter of the Borrower, a ratio (expressed as a percentage) of Consolidated Indebtedness to Total Tangible Capitalization of no greater than 60% and no less than zero. 
 Section 6.17. Use of Proceeds. The Borrower will not use the proceeds of the Loans or the Letters of Credit for any purpose or in any manner not permitted by Section 5.5. 
 ARTICLE 7. EVENTS OF DEFAULT AND REMEDIES. 
 Section 7.1. Events of Default. Any one or more of the following shall constitute an Event of Default: 
 (a) default by
the Borrower in the payment of any principal amount of any Loan or Reimbursement Obligation when due, or default by the Borrower or BVI in the payment of any interest thereon or any fees payable hereunder within three (3) Business Days
following the date when due; 
 (b) default by the Borrower or any Subsidiary in the observance or performance of any covenant set forth in
Sections 6.9, 6.10, 6.11, 6.13, 6.14, 6.16 or 6.17; 
 (c) default by the Borrower or any Subsidiary in the observance or performance of any
provision hereof or of any other Credit Document not mentioned in clauses (a) or (b) above, which is not remedied within thirty (30) days after notice thereof to the Borrower by the Administrative Agent; 
 (d) any representation or warranty made or deemed made herein or in any other Credit Document by the Borrower or any Subsidiary proves untrue in any
material respect as of the date of the making, or deemed making, thereof; 
  

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 (e) (x) Indebtedness in the aggregate principal amount of the Dollar Equivalent of $50,000,000 of
the Borrower and its Subsidiaries (“Material Indebtedness”) shall (i) not be paid at maturity (beyond any applicable grace periods), or (ii) be declared to be due and payable or required to be prepaid, redeemed or
repurchased prior to its stated maturity, or (y) any default in respect of Material Indebtedness shall occur which permits the holders thereof, or any trustees or agents on their behalf, to accelerate the maturity of such Indebtedness or
requires such Indebtedness to be prepaid, redeemed, or repurchased prior to its stated maturity; 
 (f) the Borrower, BVI or any of the
Borrower’s Subsidiaries that is a Significant Subsidiary (i) has entered involuntarily against it an order for relief under the United States Bankruptcy Code or a comparable action is taken under any bankruptcy or insolvency law of another
country or political subdivision of such country, (ii) generally does not pay, or admits its inability generally to pay, its debts as they become due, (iii) makes a general assignment for the benefit of creditors, (iv) applies for,
seeks, consents to, or acquiesces in, the appointment of a receiver, custodian, trustee, liquidator or similar official for it or any substantial part of its property under the United States Bankruptcy Code or under the bankruptcy or insolvency laws
of another country or a political subdivision of such country, (v) institutes any proceeding seeking to have entered against it an order for relief under the United States Bankruptcy Code or any comparable law, to adjudicate it insolvent, or
seeking dissolution, winding up, liquidation, reorganization, arrangement, adjustment or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors or fails to file an answer or other
pleading denying the material allegations of or consents to or acquiesces in any such proceeding filed against it, (vi) makes any board of directors resolution in direct furtherance of any matter described in clauses (i)-(v) above, or
(vii) fails to contest in good faith any appointment or proceeding described in this Section 7.1(f); 
 (g) a custodian, receiver,
trustee, liquidator or similar official is appointed for the Borrower, BVI or any of the Borrower’s Subsidiaries that is a Significant Subsidiary or any substantial part of the property of the Borrower, BVI or any of the Borrower’s
Subsidiaries that is a Significant Subsidiary under the United States Bankruptcy Code or under the bankruptcy or insolvency laws of another country or a political subdivision of such country, or a proceeding described in Section 7.1(f)(v) is
instituted against the Borrower, BVI or any of the Borrower’s Subsidiaries that is a Significant Subsidiary, and such appointment continues undischarged or such proceeding continues undismissed and unstayed for a period of sixty (60) days
(or one hundred twenty (120) days in the case of any such event occurring outside the United States of America); 
 (h) the Borrower or
any Subsidiaries of the Borrower fail within thirty (30) days with respect to any judgments or orders that are rendered in the United States or sixty (60) days with respect to any judgments or orders that are rendered in foreign
jurisdictions (or such earlier date as any execution on such judgments or orders shall take place) to vacate, pay, bond or otherwise discharge any judgments or orders for the payment of money the uninsured portion of which is in excess of the Dollar
Equivalent of $50,000,000 in the aggregate and which are not stayed on appeal or otherwise being appropriately contested in good faith in a manner that stays execution; 
  

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 (i) (x) the Borrower or any Subsidiary of the Borrower fails to pay when due an amount that it is
liable to pay to the PBGC or to a Plan under Title IV of ERISA; or a notice of intent to terminate a Plan having Unfunded Vested Liabilities of the Borrower or any of its Subsidiaries in excess of the Dollar Equivalent of $50,000,000 (a
“Material Plan”) is filed under Title IV of ERISA; or the PBGC institutes proceedings under Title IV of ERISA to terminate or to cause a trustee to be appointed to administer any Material Plan or a proceeding is instituted by a
fiduciary of any Material Plan against any Borrower or any Subsidiary to collect any liability under Section 515 or 4219(c)(5) of ERISA, and in each case such proceeding is not dismissed within thirty (30) days thereafter; or a condition
exists by reason of which the PBGC would be entitled to obtain a decree adjudicating that any Material Plan must be terminated, and (y) the occurrence of one or more of the matters in the preceding clause (x) could reasonably be expected
to result in liabilities in excess of the Dollar Equivalent of $50,000,000; 
 (j) any Person or group of Persons acting in concert (as such
terms are used in Rule 13d-5 under the Securities Exchange Act of 1934, as amended) shall own, directly or indirectly, beneficially or of record, securities of the Borrower (or other securities convertible into such securities) representing fifty
percent (50%) or more of the combined voting power of all outstanding securities of the Borrower entitled to vote in the election of directors, other than securities having such power only by reason of the happening of a contingency; or

 (k) the BVI Guaranty for any reason is not a legal, valid, binding and enforceable obligation of BVI or BVI or the Borrower shall so state
in writing. 
 Section 7.2. Non-Bankruptcy Defaults. When any Event of Default (other than those described in subsections
(f) or (g) of Section 7.1 with respect to the Borrower or BVI) has occurred and is continuing, the Administrative Agent shall, by notice to the Borrower: (a) if so directed by the Required Lenders, terminate the remaining
Commitments to the Borrower hereunder on the date stated in such notice (which may be the date thereof) and such termination shall automatically also terminate the Swingline Commitment on such date; (b) if so directed by the Required Lenders,
declare the principal of and the accrued interest on all outstanding Loans to be forthwith due and payable and thereupon all outstanding Loans, including both principal and interest thereon, shall be and become immediately due and payable together
with all other accrued amounts payable under the Credit Documents without further demand, presentment, protest or notice of any kind, including, but not limited to, notice of intent to accelerate and notice of acceleration, each of which is
expressly waived by the Borrower; and (c) if so directed by the Required Lenders, demand that the Borrower immediately pay to the Administrative Agent (to be held by the Administrative Agent pursuant to Section 7.4) the full amount then
available for drawing under each outstanding Letter of Credit, and the Borrower agrees to immediately make such payment and acknowledges and agrees that the Lenders, the Swingline Lender, the Issuing Banks and the Administrative Agent would not have
an adequate remedy at law for failure by the Borrower to honor any such demand and that the Administrative Agent, for the benefit of the Lenders, the Swingline Lender and the Issuing Banks, shall have the right to require the Borrower to
specifically perform such undertaking whether or not any drawings or other demands for payment have been made under any Letter of Credit. The Administrative Agent, after giving notice to the Borrower pursuant to this Section 7.2, shall also
promptly send a copy of such notice to the other Lenders, the Swingline Lender and the Issuing Banks, but the failure to do so shall not impair or annul the effect of such notice. 
  

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 Section 7.3. Bankruptcy Defaults. When any Event of Default described in subsections
(f) or (g) of Section 7.1 has occurred and is continuing with respect to the Borrower or BVI, then all outstanding Loans shall immediately become due and payable together with all other accrued amounts payable under the Credit
Documents without presentment, demand, protest or notice of any kind, each of which is expressly waived by the Borrower; and all obligations of the Lenders, the Swingline Lender and the Issuing Banks to extend further credit pursuant to any of the
terms hereof shall immediately terminate and the Borrower shall immediately pay to the Administrative Agent (to be held by the Administrative Agent pursuant to Section 7.4) the full amount then available for drawing under all outstanding
Letters of Credit, the Borrower acknowledging that the Lenders, the Issuing Banks, and the Administrative Agent would not have an adequate remedy at law for failure by the Borrower to honor any such demand and that the Lenders, the Issuing Banks,
and the Administrative Agent shall have the right to require the Borrower to specifically perform such undertaking whether or not any drawings or other demands for payment have been made under any of the Letters of Credit. 
 Section 7.4. Collateral for Undrawn Letters of Credit. 
 (a) If the prepayment of the amount available for drawing under any or all outstanding Letters of Credit is required under Section 7.2 or 7.3, the Borrower shall forthwith pay the amount required to be so
prepaid, to be held by the Administrative Agent as provided in subsection (b) below. 
 (b) All amounts prepaid pursuant to subsection
(a) above shall be held by the Administrative Agent in a separate collateral account (such account, and the credit balances, properties and any investments from time to time held therein, and any substitutions for such account, any certificate
of deposit or other instrument evidencing any of the foregoing and all proceeds of and earnings on any of the foregoing being collectively called the “Collateral Account”) as security for, and for application to, the reimbursement
of any drawing under any Letter of Credit then or thereafter paid by any Issuing Bank, and to the payment of the unpaid balance of any Loans, any Swingline Loans and all other due and unpaid Obligations (collectively, the “Collateralized
Obligations”). The Collateral Account shall be held in the name of and subject to the exclusive dominion and control of the Administrative Agent, for the benefit of the Issuing Banks, the Administrative Agent, the Swingline Lender and the
Lenders, as pledgee hereunder. If and when required by the Borrower, the Administrative Agent shall invest and reinvest funds held in the Collateral Account from time to time in Cash Equivalents specified from time to time by the Borrower,
provided that the Administrative Agent is irrevocably authorized to sell on market terms any investments held in the Collateral Account when and as required to make payments out of the Collateral Account for application to Collateralized
Obligations due and owing from the Borrower to the Issuing Banks, the Administrative Agent, the Swingline Lender or the Lenders. When and if (A) (i) the Borrower shall have made payment of all Collateralized Obligations then due and
payable, and (ii) all relevant preference or other disgorgement periods relating to the receipt of such payments have passed, or (B) no Default or Event of Default shall be continuing, the Administrative Agent shall 

  

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repay to the Borrower any remaining amounts and assets held in the Collateral Account, provided that if the Collateral Account is being released
pursuant to clause (A) and any Letter of Credit then remains outstanding, the Borrower, prior to or contemporaneously with such release, shall provide the Administrative Agent a back-to-back letter of credit from a bank or financial institution
whose short-term unsecured debt rating is rated A or above from either S&P or Moody’s or such other bank or financial institution satisfactory to the Required Lenders in either case in an amount equal to the undrawn face amount of each such
Letter of Credit and which provides that the Administrative Agent may make a drawing thereunder in the event that the Issuing Bank pays a drawing under such Letter of Credit. In addition, if the aggregate amount on deposit with the Collateral Agent
exceeds the Collateralized Obligations then existing, then the Administrative Agent shall release and deliver such excess amount upon the written request of the Borrower. 
 Section 7.5. Notice of Default. The Administrative Agent shall give notice to the Borrower under Section 7.2 promptly upon being requested to do so by the Required Lenders and shall thereupon notify
all the Lenders thereof. 
 Section 7.6. Expenses. The Borrower agrees to pay to the Administrative Agent, the Issuing Bank, the
Swingline Lender and each Lender all reasonable out-of-pocket expenses incurred or paid by the Administrative Agent, the Issuing Bank, or such Lender, including reasonable attorneys’ fees and court costs, in connection with any Default or Event
of Default hereunder or in connection with the enforcement of any of the Credit Documents. 
 Section 7.7. Distribution and
Application of Proceeds. After the occurrence of and during the continuance of an Event of Default, any payment to the Administrative Agent, any Issuing Bank, the Swingline Lender or any Lender hereunder or from the proceeds of the Collateral
Account or otherwise shall be paid to the Administrative Agent to be distributed and applied as follows (unless otherwise agreed by the Borrower, the Administrative Agent, all Issuing Banks, the Swingline Lender and all Lenders): 
 (a) First, to the payment of any and all reasonable out-of-pocket costs and expenses of the Administrative Agent, including without limitation, reasonable
attorneys’ fees and out-of-pocket costs and expenses, as provided by this Agreement or by any other Credit Document, incurred in connection with the collection of such payment or in respect of the enforcement of any rights of the Administrative
Agent, the Issuing Banks, the Swingline Lender or the Lenders under this Agreement or any other Credit Document; 
 (b) Second, to the
payment of any and all reasonable out-of-pocket costs and expenses of the Swingline Lender, the Issuing Banks and the Lenders, including, without limitation, reasonable attorneys’ fees and out-of-pocket costs and expenses, as provided by this
Agreement or by any other Credit Document, incurred in connection with the collection of such payment or in respect of the enforcement of any rights of the Swingline Lender, the Lenders or the Issuing Banks under this Agreement or any other Credit
Document, pro rata in the proportion in which the amount of such costs and expenses unpaid to the Swingline Lender, each Lender or each Issuing Bank bears to the aggregate amount of the costs and expenses unpaid to the Swingline Lender, all
Lenders and all Issuing Banks collectively, until all such fees, costs and expenses have been paid in full; 
  

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 (c) Third, to the payment of any due and unpaid fees to the Administrative Agent, the Swingline Lender or
any Lender or any Issuing Bank as provided by this Agreement or any other Credit Document, pro rata in the proportion in which the amount of such fees due and unpaid to the Administrative Agent, the Swingline Lender and each Lender and each
Issuing Bank bears to the aggregate amount of the fees due and unpaid to the Administrative Agent, the Swingline Lender and all Lenders and all Issuing Banks collectively, until all such fees have been paid in full; 
 (d) Fourth, to the payment of accrued and unpaid interest on the Loans or the Reimbursement Obligations to the date of such application, pro rata
in the proportion in which the amount of such interest, accrued and unpaid to the Swingline Lender, each Lender or each Issuing Bank bears to the aggregate amount of such interest accrued and unpaid to the Swingline Lender, all Lenders and all
Issuing Banks collectively, until all such accrued and unpaid interest has been paid in full; 
 (e) Fifth, to the payment of the outstanding
due and payable principal amount of each of the Loans and the amount of the outstanding Reimbursement Obligations (reserving cash collateral for all undrawn face amounts of any outstanding Letters of Credit (if Section 7.4(a) has not been
complied with)), pro rata in the proportion in which the outstanding principal amount of such Loans and the amount of such outstanding Reimbursement Obligations owing to each Lender and each Issuing Bank, together (if Section 7.4(a) has
not been complied with) with the undrawn face amounts of such outstanding Letters of Credit, bears to the aggregate amount of all outstanding Loans, outstanding Reimbursement Obligations and (if Section 7.4(a) has not been complied with) the
undrawn face amounts of all outstanding Letters of Credit. In the event that any such Letters of Credit, or any portions thereof, expire without being drawn, any cash collateral therefor shall be distributed by the Administrative Agent until the
principal amount of all Loans and Reimbursement Obligations shall have been paid in full; 
 (f) Sixth, to the payment of any other
outstanding Obligations then due and payable, pro rata in the proportion in which the outstanding Obligations owing to the Swingline Lender, each Lender, each Issuing Bank and Administrative Agent bears to the aggregate amount of all such
Obligations until all such Obligations have been paid in full; and 
 (g) Seventh, to the Borrower or as the Borrower may direct. 

ARTICLE 8. CHANGE IN CIRCUMSTANCES. 
 Section 8.1. Change of Law. 
 (a) Notwithstanding any other provisions of this Agreement or any Note, if at any time any
change, after the date hereof (or, if later, after the date the Administrative Agent or any Issuing Bank or Lender becomes the Administrative Agent or an Issuing Bank or Lender), in applicable law or regulation or in the interpretation thereof makes
it unlawful for any Lender to 

  

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make or maintain Eurocurrency Loans, or any Issuing Bank to issue any Letter of Credit, such Lender or Issuing Bank, as the case may be, shall promptly give
written notice thereof and of the basis therefor in reasonable detail to the Borrower, and such Lender’s or Issuing Bank’s obligations to fund affected Eurocurrency Loans or make, continue or convert such Loans under this Agreement, or to
issue any such Letters of Credit, as the case may be, shall thereupon be suspended until it is no longer unlawful for such Lender to make or maintain such Loans or such Issuing Bank to issue such Letters of Credit. 
 (b) Upon the giving of the notice to Borrower referred to in subsection (a) above in respect of any such Loan, and provided the Borrower shall not
have prepaid such Loan pursuant to Section 2.9, (i) any outstanding such Loan of such Lender shall be automatically converted to a Base Rate Loan on the last day of the Interest Period then applicable thereto or on such earlier date as
required by law, and (ii) such Lender shall make or continue its portion of any requested Borrowing of such Loan as a Base Rate Loan, which Base Rate Loan shall, for all other purposes, be considered part of such Borrowing. 
 (c) Any Lender or Issuing Bank that has given any notice pursuant to Section 8.1(a) shall, upon determining that it would no longer be unlawful for
it to make such Loans or issue such Letters of Credit, give prompt written notice thereof to the Borrower and the Administrative Agent, and upon giving such notice, its obligation to make, allow conversions into and maintain such Loans or issue such
Letters of Credit shall be reinstated. 
 Section 8.2. Unavailability of Deposits or Inability to Ascertain LIBOR Rate. If on or
before the first day of any Interest Period for any Borrowing of Eurocurrency Loans the Administrative Agent determines in good faith (after consultation with the other Lenders) that, due to changes in circumstances since the date hereof, adequate
and fair means do not exist for determining the LIBOR Rate (including without limitation, the unavailability of matching deposits in Dollars) or such rate will not accurately reflect the cost to the Required Lenders of funding Eurocurrency Loans for
such Interest Period, the Administrative Agent shall give written notice (in reasonable detail) of such determination and of the basis therefor to the Borrower and the Lenders, whereupon until the Administrative Agent notifies the Borrower and
Lenders that the circumstances giving rise to such suspension no longer exist (which the Administrative Agent shall do promptly after they do not exist), (i) the obligations of the Lenders to make, continue or convert Loans as or into
Eurocurrency Loans, or to convert Base Rate Loans into Eurocurrency Loans, shall be suspended and (ii) each Eurocurrency Loan will automatically on the last day of the then existing Interest Period therefor, convert into a Base Rate Loan.

 Section 8.3. Increased Cost and Reduced Return. 
 (a) If, on or after the date hereof, the adoption of or any change in any applicable law, rule or regulation, or any change in the interpretation or administration thereof by any governmental authority, central bank
or comparable agency charged with the interpretation or administration thereof, or compliance by any Lender or Issuing Bank (or its applicable Lending Office), with any request or directive (whether or not having the force of law) of any such
authority, central bank or comparable agency exercising control over banks or financial 

  

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institutions generally issued after the date hereof (or, if later, after the date the Administrative Agent, Issuing Bank or Lender becomes the Administrative
Agent, Issuing Bank or Lender): 
 (i) subjects any Lender or Issuing Bank (or its applicable Lending Office) to any tax, duty
or other charge related to any Eurocurrency Loan, Reimbursement Obligation, or its obligation to advance or maintain Eurocurrency Loans or issue any Letter of Credit, or shall change the basis of taxation of payments to any Lender or Issuing Bank
(or its applicable Lending Office) of the principal of or interest on its Eurocurrency Loans, Letters of Credit or Reimbursement Obligation or any participations in any thereof, or any other amounts due under this Agreement related to its
Eurocurrency Loans, Letters of Credit, Reimbursement Obligations or participations therein, or its obligation to make Eurocurrency Loans, issue Letters of Credit, or acquire participations therein (except for changes with respect to taxes that are
not Indemnified Taxes pursuant to Section 3.3); or 
 (ii) imposes, modifies or deems applicable any reserve, special
deposit or similar requirement (including, without limitation, any such requirement imposed by the Board of Governors of the Federal Reserve System, but excluding for any Eurocurrency Loan any such requirement included in an applicable Statutory
Reserve Rate) against assets of, deposits with or for the account of, or credit extended by, any Lender or Issuing Bank (or its applicable Lending Office) or imposes on any Lender or Issuing Bank (or its Lending Office) or on the interbank market
any other condition affecting its Eurocurrency Loans, Letters of Credit, any Reimbursement Obligations owed to it, or its participation in any thereof, or its obligation to advance or maintain Eurocurrency Loans, issue Letters of Credit or
participate in any thereof; 
 and the result of any of the foregoing is to increase the cost to such Lender or Issuing Bank (or its applicable Lending
Office) of advancing or maintaining any Eurocurrency Loan, issuing or maintaining a Letter of Credit or participating therein, or to reduce the amount of any sum received or receivable by such Lender or Issuing Bank (or its applicable Lending
Office) in connection therewith under this Agreement or its Note, by an amount deemed by such Lender or Issuing Bank to be material, then, subject to Section 8.3(c), from time to time, within thirty (30) days after receipt of a certificate
from such Lender or Issuing Bank (with a copy to the Administrative Agent) pursuant to subsection (c) below setting forth in reasonable detail such determination and the basis thereof, the Borrower shall be obligated to pay to such Lender or
Issuing Bank such additional amount or amounts as will compensate such Lender or Issuing Bank for such increased cost or reduction. 
 (b)
If, after the date hereof, the Administrative Agent, the Swingline Lender or any Lender or Issuing Bank shall have reasonably determined that the adoption after the date hereof of any applicable law, rule or regulation regarding capital adequacy, or
any change therein (including, without limitation, any revision in the Final Risk-Based Capital Guidelines of the Board of Governors of the Federal Reserve System (12 CFR Part 208, Appendix A; 12 CFR Part 225, Appendix A) or of the Office of the
Comptroller of the Currency (12 CFR Part 3, Appendix A), or in any other applicable capital adequacy rules heretofore adopted and issued by any governmental authority), or any change after the date hereof in the interpretation or 

  

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administration thereof by any governmental authority, central bank or comparable agency charged with the interpretation or administration thereof, or
compliance by the Administrative Agent, the Swingline Lender or any Lender or Issuing Bank (or its applicable Lending Office) with any request or directive regarding capital adequacy (whether or not having the force of law) of any such authority,
central bank or comparable agency, has or would have the effect of reducing the rate of return on the Swingline Lender’s, such Lender’s or Issuing Bank’s capital, or on the capital of any corporation controlling the Swingline Lender,
such Lender or Issuing Bank, as a consequence of its obligations hereunder to a level below that which the Swingline Lender, such Lender or Issuing Bank could have achieved but for such adoption, change or compliance (taking into consideration the
Swingline Lender’s, such Lender’s or Issuing Bank’s or its controlling corporation’s policies with respect to capital adequacy in effect immediately before such adoption, change or compliance) by an amount reasonably deemed by
the Administrative Agent, the Swingline Lender, such Lender or Issuing Bank to be material, then, subject to Section 8.3(c), from time to time, within thirty (30) days after its receipt of a certificate from such Lender or Issuing Bank
(with a copy to the Administrative Agent) pursuant to subsection (c) below setting forth in reasonable detail such determination and the basis thereof, the Borrower shall pay to the Swingline Lender, such Lender or Issuing Bank such additional
amount or amounts as will compensate the Swingline Lender, such Lender or Issuing Bank or related controlling corporation for such reduction or the Borrower may prepay, subject to Section 2.11, all Swingline Loans and all Eurocurrency Loans of
such Lender or obtain the cancellation of all such Letters of Credit. 
 (c) Each of the Administrative Agent, the Swingline Lender and the
Lenders and the Issuing Banks that determines to seek compensation or additional interest under this Section 8.3 shall give written notice to the Borrower and, in the case of the Swingline Lender, a Lender or Issuing Bank other than the
Administrative Agent, the Administrative Agent of the circumstances that entitle the Administrative Agent, the Swingline Lender or such Lender or Issuing Bank to such compensation no later than ninety (90) days after the Administrative Agent,
the Swingline Lender or such Lender or Issuing Bank receives actual notice or obtains actual knowledge of the law, rule, order or interpretation or occurrence of another event giving rise to a claim hereunder. In any event the Borrower shall not
have any obligation to pay any amount with respect to claims accruing prior to the ninetieth day preceding such written demand. The Administrative Agent, the Swingline Lender and each Lender and Issuing Bank shall use reasonable efforts to avoid the
need for, or reduce the amount of, such compensation, additional interest, and any payment under Section 3.3, including, without limitation, the designation of a different Lending Office, if such action or designation will not, in the sole
judgment of the Administrative Agent, the Swingline Lender or such Lender or Issuing Bank made in good faith, be otherwise disadvantageous to it; provided that the foregoing shall not in any way affect the rights of the Administrative Agent,
the Swingline Lender or any Lender or Issuing Bank or the obligations of the Borrower under this Section 8.3 A certificate of the Administrative Agent, the Swingline Lender or any Lender or Issuing Bank, as applicable, claiming compensation or
additional interest under this Section 8.3, and setting forth the additional amount or amounts to be paid to it hereunder and accompanied by a statement prepared by the Administrative Agent, the Swingline Lender or such Lender or Issuing Bank,
as applicable, describing in reasonable detail the calculations thereof shall be prima facie evidence of the correctness thereof. In determining such amount, the Administrative Agent, the Swingline Lender or such Lender or Issuing Bank may
use any reasonable averaging and attribution methods. 
  

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 Section 8.4. Lending Offices. The Administrative Agent, the Swingline Lender and each Lender
and Issuing Bank may, at its option, elect to make or maintain its Loans and issue its Letters of Credit hereunder at the Lending Office for each Type of Loan or Letter of Credit available hereunder or at such other of its branches, offices or
affiliates as it may from time to time elect and designate in a written notice to the Borrower and the Administrative Agent, provided that, except in the case of any such transfer to another of its branches, offices or affiliates made at the
request of the Borrower, the Borrower shall not be responsible for the costs arising under Section 3.3 or 8.3 resulting from any such transfer to the extent not otherwise applicable to the Swingline Lender, such Lender or Issuing Bank prior to
such transfer. 
 Section 8.5. Discretion of Lender as to Manner of Funding. Subject to the other provisions of this Agreement,
the Swingline Lender, each Lender and each Issuing Bank shall be entitled to fund and maintain its funding of all or any part of its Loans and Letters of Credit in any manner it sees fit. 
 Section 8.6. Substitution of Lender. If (a) any Lender has demanded compensation or additional interest or given notice of its intention
to demand compensation or additional interest under Section 8.3, (b) the Borrower is required to pay any additional amount to any Lender under Section 2.11, (c) any Lender is unable to submit any form or certificate required
under Section 3.3(b) or withdraws or cancels any previously submitted form with no substitution therefor, (d) any Lender gives notice of any change in law or regulations, or in the interpretation thereof, pursuant to Section 8.1,
(e) any Lender has been declared insolvent or a receiver or conservator has been appointed for a material portion of its assets, business or properties, (f) any Lender shall seek to avoid its obligation to make or maintain Loans hereunder
for any reason, including, without limitation, reliance upon 12 U.S.C. § 1821(e) or (n) (1) (B), (g) any taxes referred to in Section 3.3 have been levied or imposed (or the Borrower determines in good faith that there
is a substantial likelihood that such taxes will be levied or imposed) so as to require withholding or deductions by the Borrower or payment by the Borrower of additional amounts to any Lender, or other reimbursement or indemnification of any
Lender, as a result thereof, or (h) any Lender shall decline to consent to a modification or waiver of the terms of this Agreement or any other Credit Documents requested by the Borrower, then and in such event, upon request from the Borrower
delivered to such Lender and the Administrative Agent, such Lender shall assign, in accordance with the provisions of Section 10.10 and an appropriately completed Assignment Agreement, all of its rights and obligations under the Credit
Documents to another Lender or a commercial banking institution selected by the Borrower and (in the case of a commercial banking institution) reasonably satisfactory to the Administrative Agent, in consideration for the payments set forth in such
Assignment Agreement and payment by the Borrower to such Lender of all other amounts which such Lender may be owed pursuant to this Agreement, including, without limitation, Sections 2.11, 3.3, 8.3 and 10.13. 
  

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 ARTICLE 9. THE AGENTS AND ISSUING BANKS. 
 Section 9.1. Appointment and Authorization of Administrative Agent and Other Agents. Each of the Swingline Lender and the Lenders hereby
appoints Citibank, N.A. as the Administrative Agent, Wells Fargo Bank, N.A., as the Syndication Agent, and Bank of America, N.A., HSBC Bank USA, National Association and The Royal Bank of Scotland plc, as the Co-Documentation Agents under the Credit
Documents and hereby authorizes the Administrative Agent and such Other Agents to take such action as the Administrative Agent and such Other Agents on each of its behalf and to exercise such powers under the Credit Documents as are delegated to the
Administrative Agent and the Other Agents, respectively, by the terms thereof, together with such powers as are reasonably incidental thereto. 
 Section 9.2. Rights and Powers. The Administrative Agent and the Other Agents shall have the same rights and powers under the Credit Documents as any other Lender and may exercise or refrain from exercising such rights and power
as though it were not an Administrative Agent, or an Other Agent, and the Administrative Agent and the Other Agents and their respective Controlling Affiliates may accept deposits from, lend money to, and generally engage in any kind of business
with the Borrower or any of its Subsidiaries or Controlling Affiliates as if it were not an Administrative Agent or an Other Agent under the Credit Documents. The term Lender as used in all Credit Documents, unless the context otherwise clearly
requires, includes the Administrative Agent and the Other Agents in their respective individual capacities as a Lender. In the event that Citibank or any of its affiliates shall be or become an indenture trustee under the Trust Indenture Act of 1939
(as amended, the “Trust Indenture Act”) in respect of any securities issued or guaranteed by any Credit Party, the parties hereto acknowledge and agree that any payment or property received in satisfaction of or in respect of any
Obligation of such Credit Party hereunder or under any other Credit Document by or on behalf of Citibank in its capacity as the Administrative Agent for the benefit of the Swingline Lender, any Lender or Issuing Bank under any Credit Document (other
than Citibank or an affiliate of Citibank) and which is applied in accordance with the Credit Documents shall be deemed to be exempt from the requirements of Section 311 of the Trust Indenture Act pursuant to Section 311(b)(3) of the Trust
Indenture Act. 
 Section 9.3. Action by Administrative Agent and the Other Agents. The obligations of the Administrative Agent
and the Other Agents under the Credit Documents are only those expressly set forth therein. Without limiting the generality of the foregoing, the Administrative Agent shall not be required to take any action concerning any Default or Event of
Default, except as expressly provided in Sections 7.2 and 7.4. Unless and until the Required Lenders (or, if required by Section 10.11, all of the Lenders) give such direction (including, without limitation, the giving of a notice of default as
described in Section 7.1(c)), the Administrative Agent may, except as otherwise expressly provided herein or therein, take or refrain from taking such actions as it deems appropriate and in the best interest of the Swingline Lender and all the
Lenders. In no event, however, shall the Administrative Agent or the Other Agents be required to take any action in violation of applicable law or of any provision of any Credit Document, and each of the Administrative Agent and the Other Agents
shall in all cases be fully justified in failing or refusing to act hereunder or under any other Credit Document unless it first receives any further assurances of its indemnification from the Lenders that it may require, including prepayment of

  

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any related expenses and any other protection it requires against any and all costs, expenses, and liabilities it may incur in taking or continuing to take
any such action. The Administrative Agent shall be entitled to assume that no Default or Event of Default, other than non-payment of any scheduled principal or interest payment due hereunder, exists unless notified in writing to the contrary by a
Lender or the Borrower. In all cases in which the Credit Documents do not require the Administrative Agent or the Other Agents to take specific action, the Administrative Agent and each of the Other Agents shall be fully justified in using its
discretion in failing to take or in taking any action thereunder. Any instructions of the Required Lenders, or of any other group of Lenders called for under specific provisions of the Credit Documents, shall be binding on all the Lenders and
holders of Revolving Notes. 
 Section 9.4. Consultation with Experts. Each of the Administrative Agent and the Other Agents may
consult with legal counsel, independent public accountants and other experts selected by it and shall not be liable for any action taken or omitted to be taken by it in good faith in accordance with the advice of such counsel, accountants or
experts. 
 Section 9.5. Indemnification Provisions; Credit Decision. Neither the Administrative Agent, the Other Agents nor any
of their directors, officers, agents, or employees shall be liable for any action taken or not taken by them in connection with the Credit Documents (i) with the consent or at the request of the Required Lenders (or, if required by
Section 10.11, all of the Lenders), or (ii) in the absence of their own gross negligence or willful misconduct. Neither the Administrative Agent, the Other Agents nor any of their directors, officers, agents or employees shall be
responsible for or have any duty to ascertain, inquire into or verify (i) any statement, warranty or representation made in connection with this Agreement, any other Credit Document or any Borrowing; (ii) the performance or observance of
any of the covenants or agreements of the Borrower or any Subsidiary contained herein or in any other Credit Document; (iii) the satisfaction of any condition specified in Article 4, except receipt of items required to be delivered to the
Administrative Agent; or (iv) the validity, effectiveness, genuineness, enforceability, value, worth or collectability hereof or of any other Credit Document or of any other documents or writings furnished in connection with any Credit
Document; and the Administrative Agent and the Other Agents make no representation of any kind or character with respect to any such matters mentioned in this sentence. The Administrative Agent and the Other Agents may execute any of their duties
under any of the Credit Documents by or through employees, agents, and attorneys-in-fact and shall not be answerable to the Lenders or any other Person for the default or misconduct of any such agents or attorneys-in-fact selected with reasonable
care. The Administrative Agent and the Other Agents shall not incur any liability by acting in reliance upon any notice, consent, certificate, other document or statement (whether written or oral) believed by it to be genuine or to be sent by the
proper party or parties. In particular and without limiting any of the foregoing, the Administrative Agent and the Other Agents shall have no responsibility for confirming the accuracy of any Compliance Certificate or other document or instrument
received by any of them under the Credit Documents. The Administrative Agent and the Other Agents may treat the payee of any Note as the holder thereof until written notice of transfer shall have been filed with such Administrative Agent signed by
such owner in form satisfactory to such Administrative Agent. Each of the Swingline Lender and the Lenders acknowledges that it has independently, and without reliance on the Administrative Agent, the Other Agents, the Swingline Lender or any other
Lender, obtained 

  

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such information and made such investigations and inquiries regarding the Borrower and its Subsidiaries as it deems appropriate, and based upon such
information, investigations and inquiries, made its own credit analysis and decision to extend credit to the Borrower in the manner set forth in the Credit Documents. It shall be the responsibility of the Swingline Lender and each Lender to keep
itself informed about the creditworthiness and business, properties, assets, liabilities, condition (financial or otherwise) and prospects of the Borrower and its Subsidiaries, and the Administrative Agent and the Other Agents shall have no
liability whatsoever to any Lender or the Swingline Lender for such matters. The Administrative Agent and the Other Agents shall have no duty to disclose to the Lenders or the Swingline Lender information that is not required by any Credit Document
to be furnished by the Borrower or any Subsidiaries to such Agent at such time, but is voluntarily furnished to such Agent (either in their respective capacity as Administrative Agent or the Other Agents or in their individual capacity). 

Section 9.6. Indemnity. The Lenders shall ratably, in accordance with their Percentages, indemnify and hold the Administrative Agent, the
Other Agents, and their directors, officers, employees, agents and representatives harmless from and against any liabilities, losses, costs or expenses suffered or incurred by it under any Credit Document or in connection with the transactions
contemplated thereby, regardless of when asserted or arising, except to the extent they are promptly reimbursed for the same by the Borrower and except to the extent that any event giving rise to a claim was caused by the gross negligence or willful
misconduct of the party seeking to be indemnified. The obligations of the Lenders under this Section 9.6 shall survive termination of this Agreement. 
 Section 9.7. Resignation. 
 (a) Resignation of Agents. The Administrative Agent and the
Other Agents may resign at any time and shall resign upon any removal thereof as a Lender pursuant to the terms of this Agreement upon at least thirty (30) days’ prior written notice to the Lenders and the Borrower. Any resignation of the
Administrative Agent shall not be effective until a replacement therefor is appointed pursuant to the terms hereof. Upon any such resignation of the Administrative Agent or any Other Agent, the Required Lenders and, so long as no Event of Default
shall then exist, with the consent of the Borrower (which consent shall not be unreasonably withheld or delayed) shall have the right to appoint a successor Administrative Agent or Other Agent, as the case may be. If no successor Administrative
Agent or Other Agent, as the case may be, shall have been so appointed by the Required Lenders and shall have accepted such appointment within thirty (30) days after the retiring Administrative Agent’s or Other Agent’s giving of
notice of resignation, then the retiring Administrative Agent or Other Agent, as the case may be, may, on behalf of the Lenders and, so long as no Event of Default shall then exist, with the consent of the Borrower (which consent shall not be
unreasonably withheld or delayed) appoint a successor Administrative Agent or Other Agent, as the case may be, which shall be any Lender hereunder or any commercial bank organized under the laws of the United States of America or of any State
thereof and having a combined capital and surplus of at least $1,000,000,000. Upon the acceptance of its appointment as the Administrative Agent or the Other Agent hereunder, such successor Administrative Agent or Other Agent, as the case may be,
shall thereupon succeed to and become vested with all the rights and duties of the retiring Administrative Agent or Other Agent, as the case may be, under the Credit Documents, 

  

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and the retiring Administrative Agent or Other Agent shall be discharged from its duties and obligations thereunder. After any retiring Administrative
Agent’s or Other Agent’s resignation hereunder as Administrative Agent or Other Agent, as the case may be, the provisions of this Article 9 and all protective provisions of the other Credit Documents shall inure to its benefit as to any
actions taken or omitted to be taken by it while it was Administrative Agent or Other Agent, as the case may be. 
 (b) Resignation of
Issuing Banks. If at any time an Issuing Bank assigns all of its Commitment and Loans pursuant to Section 10.10(b), such Issuing Bank may, upon 30 days’ prior written notice to the Borrower, the Administrative Agent, and the Lenders,
resign as an Issuing Bank. In such event, the Borrower may, with the approval of the Administrative Agent and the acceptance of the duties of an Issuing Bank by the Lender so requested, request that another Lender serve as Issuing Bank under this
Agreement; provided, however, that the absence of any successor Issuing Bank shall not affect the resignation of the resigning Issuing Bank. Any resigning Issuing Bank shall retain all the rights, powers, privileges and duties of an Issuing
Bank under this Agreement with respect to all Letters of Credit outstanding as of the effective date of its resignation and all Reimbursement Obligations with respect thereto (including the right to require the Lenders to make Loans or fund risk
participations in Reimbursement Obligations pursuant to Section 2.12). Upon the appointment of any successor Issuing Bank and acceptance of such appointment by such successor Issuing Bank (i) such successor Issuing Bank shall succeed to
and become vested with all of the rights, powers, privileges and duties of an Issuing Bank under this Agreement, and (ii) such successor Issuing Bank shall issue Letters of Credit in substitution for the Letters of Credit, if any, previously
issued by the resigning Issuing Bank that are outstanding at the time of such succession or make other arrangements satisfactory to the resigning Issuing Bank to effectively assume the obligations of the resigning Issuing Bank with respect to such
Letters of Credit. 
 ARTICLE 10. MISCELLANEOUS. 
 Section 10.1. No Waiver. No delay or failure on the part of the Administrative Agent or any Lender or Issuing Bank or the Swingline Lender, or on the part of the holder or holders of any Notes, in the exercise of any power,
right or remedy under any Credit Document shall operate as a waiver thereof or as an acquiescence in any default, nor shall any single or partial exercise thereof preclude any other or further exercise of any other power, right or remedy. To the
fullest extent permitted by applicable law, the powers, rights and remedies under the Credit Documents of the Administrative Agent, the Lenders, the Issuing Banks, the Swingline Lender and the holder or holders of any Notes are cumulative to, and
not exclusive of, any powers, rights or remedies any of them would otherwise have. 
 Section 10.2. Non-Business Day. Subject to
Section 2.4, if any payment of principal or interest on any portion of any Loan, any Reimbursement Obligation, or any other Obligation shall fall due on a day which is not a Business Day, interest or fees (as applicable) at the rate, if any,
such portion of any Loan, any Reimbursement Obligation, or other Obligation bears for the period prior to maturity shall continue to accrue in the manner set forth herein on such Obligation from the stated due date thereof to the next succeeding
Business Day, on which the same shall instead be payable. 
  

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 Section 10.3. Documentary Taxes. The Borrower agrees that it will pay any documentary, stamp
or similar taxes payable with respect to any Credit Document, which are imposed by or within the jurisdiction in which the Borrower is incorporated, any jurisdiction from which the Borrower makes any payment under this Agreement or any other Credit
Document, or (in each case) any political subdivision or taxing authority thereof or therein, in the event any such taxes are assessed irrespective of when such assessment is made, other than any such taxes imposed as a result of any transfer of an
interest in a Credit Document. Each Lender, Swingline Lender and Issuing Bank that determines to seek compensation under this Section 10.3 shall give written notice to the Borrower and, in the case of a Lender, Swingline Lender or Issuing Bank
other than the Administrative Agent, the Administrative Agent of the circumstances that entitle such Lender, Swingline Lender or Issuing Bank to such compensation no later than ninety (90) days after such Lender, Swingline Lender or Issuing
Bank receives actual notice or obtains actual knowledge of the law, rule, order or interpretation or occurrence of another event giving rise to a claim hereunder. In any event, the Borrower shall not have any obligation to pay any amount with
respect to claims accruing prior to the 90th day preceding such written demand. 
 Section 10.4. Survival of Representations. All
representations and warranties made herein or in certificates given pursuant hereto shall survive the execution and delivery of this Agreement and the other Credit Documents, and shall continue in full force and effect with respect to the date as of
which they were made as long as the Borrower has any Obligation hereunder or any Commitment hereunder is in effect. 
 Section 10.5.
Survival of Indemnities. All indemnities and all provisions relative to reimbursement to the Lenders, the Swingline Lender and Issuing Banks of amounts sufficient to protect the yield of the Lenders, the Swingline Lender and Issuing Banks
with respect to the Loans and the L/C Obligations, including, but not limited to, Section 2.11, Section 3.3, Section 7.6, Section 8.3, Section 10.3, and Section 10.13 hereof, shall, subject to Section 8.3(c),
survive the termination of this Agreement and the other Credit Documents and the payment of the Loans and all other Obligations and, with respect to any Lender or Issuing Bank, any replacement by the Borrower of such Lender or such Issuing Bank
pursuant to the terms hereof, in each case for a period of one (1) year. 
 Section 10.6. Setoff; Sharing. In addition to
any rights now or hereafter granted under applicable law and not by way of limitation of any such rights, upon the occurrence of, and throughout the continuance of, any Event of Default, the Swingline Lender, each Lender and Issuing Bank and each
subsequent holder of any Note is hereby authorized by the Borrower at any time or from time to time, without notice to the Borrower or any other Person, any such notice being hereby expressly waived, to set off and to appropriate and to apply any
and all deposits (general or special, including, but not limited to, Indebtedness evidenced by certificates of deposit, whether matured or unmatured, but not including trust accounts, and in whatever currency denominated) and any other Indebtedness
at any time owing by the Swingline Lender, that Lender or Issuing Bank or that subsequent holder to or for the credit or the account of the Borrower, whether or not matured, against and on account of the due and unpaid obligations and liabilities of
the Borrower to the Swingline Lender, that Lender or Issuing Bank or that 

  

 69 

 
subsequent holder under the Credit Documents, irrespective of whether or not the Swingline Lender, that Lender or Issuing Bank or that subsequent holder
shall have made any demand hereunder. The Swingline Lender or each Lender or Issuing Bank shall promptly give notice to the Borrower of any action taken by it under this Section 10.6, provided that any failure of the Swingline Lender,
such Lender or Issuing Bank to give such notice to the Borrower shall not affect the validity of such setoff. Each Lender and Issuing Bank agrees with each other Lender and Issuing Bank a party hereto that if such Lender or Issuing Bank receives and
retains any payment, whether by setoff or application of deposit balances or otherwise, in respect of the Loans or L/C Obligations in excess of its ratable share of payments on all such Obligations then owed to the Lenders and Issuing Banks
hereunder, then such Lender or Issuing Bank shall purchase for cash at face value, but without recourse, ratably from each of the other Lenders such amount of the Loans and L/C Obligations and participations therein held by each such other Lender as
shall be necessary to cause such Lender or Issuing Bank to share such excess payment ratably with all the other Lenders; provided, however, that if any such purchase is made by any Lender or Issuing Bank, and if such excess payment or part
thereof is thereafter recovered from such purchasing Lender or Issuing Banks, the related purchases from the other Lenders or Issuing Banks shall be rescinded ratably and the purchase price restored as to the portion of such excess payment so
recovered, but without interest. 
 Section 10.7. Notices. (a) Except as otherwise specified herein and except as otherwise
provided in Section 10.7(b), all notices under the Credit Documents shall be in writing (including cable, telecopy or telex) and shall be given to a party hereunder at its address, telecopier number or telex number set forth below or such other
address, telecopier number or telex number as such party may hereafter specify by notice to the Administrative Agent and the Borrower, given by courier, by United States certified or registered mail, by telegram or by other telecommunication device
capable of creating a written record of such notice and its receipt. Notices under the Credit Documents to the Lenders shall be addressed to their respective domestic Lending Offices in the United States at the respective addresses, telecopier or
telex number, or telephone numbers set forth on their applicable Administrative Questionnaire or, in the case of Persons becoming Lenders pursuant to Assignment Agreements, on their applicable Assignment Agreements, and to the Borrower, the
Administrative Agent, the Swingline Lender and the Issuing Banks: 
  

					
	To the Borrower:	  	GlobalSantaFe Corporation	  	
		  	15375 Memorial Drive	  	
		  	Houston, Texas 77079	  	
		  	Attention: Anil B. Shah	  	
		  	Telephone No.: (281) 925-6000	  	
		  	Fax No.: (281) 925-6828	  	

  

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	With a copy to:	  		  	
		  	GlobalSantaFe Corporation	  	
		  	15375 Memorial Drive	  	
		  	Houston, Texas 77079	  	
		  	Attention: General Counsel	  	
		  	Telephone No.: (281) 925-6000	  	
		  	Fax No.: (281) 925-6675	  	
			
		  	and	  	
			
		  	Baker Botts LLP	  	
		  	One Shell Plaza	  	
		  	Houston, Texas 77002-4995	  	
		  	Attention: Stephen Krebs	  	
		  	Telephone No. (713) 229-1467	  	
		  	Fax No.: (713) 229-1522	  	
			
	To the Administrative Agent:	  	Citibank, N.A.	  	
		  	Two Penns Way, Suite 200	  	
		  	New Castle, Delaware 19720	  	
		  	Attention: Bank Loan Syndications	  	
		  	Telecopy Number: (212) 994-0961	  	
			
	To Citibank as the Swingline Lender:	  	Citibank, N.A.	  	
		  	Two Penns Way, Suite 200	  	
		  	New Castle, Delaware 19720	  	
		  	Attention: Bank Loan Syndications	  	
		  	Telecopy Number: (212) 994-0961	  	
			
	To Citibank as an Issuing Bank:	  	Citibank, N.A.	  	
		  	Two Penns Way, Suite 200	  	
		  	New Castle, Delaware 19720	  	
		  	Attention: Bank Loan Syndications	  	
		  	Telecopy Number: (212) 994-0961	  	
			
	To Wells Fargo Bank, N.A.	  	  
	  	
	as an Issuing Bank	  	  
	  	
		  	  
	  	
		  	Telecopy Number:
(            )                	  	

 Each such notice, request or other communication shall be effective (i) if given by telecopier, when such
telecopy is transmitted to the telecopier number specified in this Section 10.7 or pursuant to Section 10.10 and a confirmation of receipt of such telecopy has been received by the sender, (ii) if given by courier, when delivered,
(iii) if given by mail, five (5) days after such communication is deposited in the mail, certified or registered with return receipt requested, or 

  

 71 

 
(iv) if given by any other means, when delivered at the addresses specified in this Section 10.7, or pursuant to Section 10.10; provided
that any notice given pursuant to Article 2 shall be effective only upon receipt and, provided further, that any notice that but for this proviso would be effective after the close of business on a Business Day or on a day that is not a
Business Day shall be effective at the opening of business on the next Business Day. 
 Notwithstanding the foregoing, materials required to be delivered
pursuant to Section 6.6 shall be delivered to the Administrative Agent as specified in Section 10.7(b) or as otherwise specified to the Borrower by the Administrative Agent; provided that any communication that (A) relates to a
request for a new, or a conversion of an existing, Loan or other extension of credit (including any election of an interest rate or Interest Period relating thereto), (B) relates to the payment of any principal or other amount due under this
Agreement prior to the scheduled date therefor, (C) provides notice of any Default or Event of Default or (D) is required to be delivered to satisfy any condition precedent to the effectiveness of any provision of this Agreement and/or any
Loan, Letter of Credit, increase of any Letter of Credit or other extension of credit hereunder, shall be in writing (including telecopy communication) and mailed, telecopied or delivered pursuant to this Section 10.7(a). 
 (b) The Borrower 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 Credit Documents, including 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, Loan, a new Letter of Credit, any increase of any Letter of Credit, 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 or (iv) is required to be delivered to satisfy any condition precedent
to the effectiveness of any provision of this Agreement and/or any Loan, Letter of Credit, increase of any Letter of Credit or other extension of credit hereunder (all such non-excluded communications being referred to herein collectively as
“Communications”), by transmitting the Communications in an electronic/soft medium to oploanswebadmin@citigroup.com. 
 The Borrower further
agrees that the Administrative Agent may make the Communications available to the Swingline Lender, the Lenders and the Issuing Banks by posting the Communications on Intralinks or a substantially similar electronic transmission system (the
“Platform”). The Borrower acknowledges that the distribution of material through an electronic medium is not necessarily secure and that there are confidentiality and other risks associated with such distribution. 
 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 

  

 72 

 
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 THE RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, ADVISORS OR REPRESENTATIVES OF THE
ADMINISTRATIVE AGENT OR ANY OF ITS AFFILIATES (COLLECTIVELY, “AGENT PARTIES”) HAVE ANY LIABILITY TO THE BORROWER, ANY LENDER, ANY ISSUING BANK 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 TRANSMISSION BY THE BORROWER, ANY OF THE AGENT PARTIES OR ANY OTHER PERSON 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.

 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 Credit Documents. Each of the Lenders, the Swingline Lender and the Issuing Banks 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, Swingline Lender or Issuing Bank, as the case may be, for purposes of the Credit Documents. Each of the
Lenders, the Swingline Lender and the Issuing Banks agrees (i) to notify the Administrative Agent in writing (including by electronic communication) from time to time of such Lender’s, Swingline Lender’s or such Issuing Bank’s,
as the case may be, 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, any Issuing Bank or any Lender to give any notice or other communication pursuant to any Credit Document in any other manner specified in such
Credit Document. 
 Section 10.8. Counterparts. This Agreement may be executed in any number of counterparts, and by the
different parties on different counterpart signature pages, each of which when executed shall be deemed an original, but all such counterparts taken together shall constitute one and the same Agreement. 
 Section 10.9. Successors and Assigns. This Agreement shall be binding upon the Borrower, each of the Lenders, the Swingline Lender, the
Issuing Banks, the Administrative Agent, the Other Agents, and their respective successors and assigns, and shall inure to the benefit of the Borrower, each of the Lenders, the Swingline Lender, the Issuing Banks, the 

  

 73 

 
Administrative Agent, the Other Agents, and their respective successors and assigns, including any subsequent holder of any Note; provided, however,
the Borrower may not assign any of its rights or obligations under this Agreement or any other Credit Document without the written consent of all Lenders, the Swingline Lender, all Issuing Banks, the Administrative Agent and the Other Agents, and
the Administrative Agent and the Other Agents may not assign any of their respective rights or obligations under this Agreement or any Credit Document except in accordance with Article 9 and no Lender or Issuing Bank may assign any of its rights or
obligations under this Agreement or any other Credit Document except in accordance with Section 10.10. Any Lender, the Swingline Lender or Issuing Bank may at any time pledge or assign all or any portion of its rights under this Agreement and
the Notes issued to it (i) to a Federal Reserve Bank to secure extensions of credit by such Federal Reserve Bank to such Lender or such Issuing Bank, or (ii) in the case of any Lender that is a fund comprised in whole or in part of
commercial loans, to a trustee for such fund in support of such Lender’s obligations to such trustee; provided that no such pledge or assignment shall release a Lender, the Swingline Lender or Issuing Bank from any of its obligations
hereunder or substitute any such Federal Reserve Bank or such trustee for such Lender, the Swingline Lender or such Issuing Bank as a party hereto and the Borrower, the Administrative Agent, the Swingline Lender, the Issuing Banks and the other
Lenders shall continue to deal solely with such Lender, the Swingline Lender or Issuing Bank in connection with the rights and obligations of such Lender, the Swingline Lender or Issuing Bank under this Agreement. 
 Section 10.10. Sales and Transfers of Borrowing and Notes; Participations in Borrowings and Notes. 
 (a) Any Lender may, upon written notice to the Borrower and the Administrative Agent, at any time sell to one or more commercial banking or other
financial or lending institutions (“Participants”) participating interests in any Commitment of such Lender hereunder, provided that no Lender may sell any participating interests (other than in the case of affiliates of such
Lender) in any such Commitment hereunder without also selling to such Participant the appropriate pro rata share of all such Lender’s Commitment, and provided further that no Lender shall transfer, grant or assign any participation under
which the Participant shall have rights to vote upon or to consent to any matter to be decided by the Lenders or the Required Lenders hereunder or under any other Credit Document or to approve any amendment to or waiver of this Agreement or any
other Credit Document except to the extent such amendment or waiver would (i) increase the amount of such Lender’s Commitment and such increase would affect such Participant, (ii) reduce the principal of, or interest on, any of such
Lender’s Borrowings, or any fees or other amounts payable to such Lender hereunder and such reduction would affect such Participant, (iii) postpone any date fixed for any scheduled payment of principal of, or interest on, any of such
Lender’s Borrowings, or any fees or other amounts payable to such Lender hereunder and such postponement would affect such Participant, or (iv) release any collateral security for any Obligation, except as otherwise specifically provided
in any Credit Document. In the event of any such sale by a Lender of participating interests to a Participant, such Lender’s obligations under this Agreement to the other parties to this Agreement shall remain unchanged, such Lender shall
remain solely responsible for the performance thereof, such Lender shall remain the holder of any such Note for all purposes under this Agreement, the Borrower and the Administrative Agent shall continue to deal solely 

  

 74 

 
and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement and such Lender shall retain the sole right
to enforce the obligations of the Borrower under any Credit Document. The Borrower agrees that if amounts outstanding under this Agreement and the Notes shall have been declared or shall have become due and payable in accordance with
Section 7.2 or 7.3 upon the occurrence of an Event of Default, each Participant shall be deemed to have the right of setoff in respect of its participating interest in amounts owing under this Agreement and any Note to the same extent as if the
amount of its participating interest were owing directly to it as a Lender under this Agreement or any Note, provided that such right of setoff shall be subject to the obligation of such Participant to share with the Lenders, and the Lenders
agree to share with such Participant, as provided in Section 10.6. The Borrower also agrees that each Participant shall be entitled to the benefits of and have the obligations under Sections 2.11, 3.3 and 8.3 with respect to its participation
in the Commitments and the Borrowings outstanding from time to time, provided that no Participant shall be entitled to receive any greater amount pursuant to such Sections than the transferor Lender would have been entitled to receive in
respect of the amount of the participation transferred if no participation had been transferred and provided, further, that Sections 8.3(c) and 8.6 shall apply to the transferor Lender with respect to any claim by any Participant pursuant to
Section 2.11, 3.3 or 8.3 as fully as if such claim was made by such Lender. Anything herein to the contrary notwithstanding, the Borrower shall not, at any time, be obligated to pay to any Lender any sum in excess of the sum the Borrower would
have been obligated to pay to such Lender hereunder if such Lender had not sold any participation in its rights and obligations under this Agreement or any other Credit Document. 
 (b) Any Lender may at any time sell to (i) any of such Lender’s affiliates or to any other Lender or any affiliate thereof that, in each case,
is a commercial banking or other financial or lending institution not subject to Regulation T of the Board of Governors of the Federal Reserve System and, (ii) with the prior written consent (which shall not be unreasonably withheld or delayed)
of the Administrative Agent, the Swingline Lender, the Issuing Banks and, if no Event of Default has occurred and is continuing, the Borrower, to one or more commercial banking or other financial or lending institutions not subject to Regulation T
of the Board of Governors of the Federal Reserve System (any of (i) or (ii), a “Purchasing Lender”), all or any part of its rights and obligations under this Agreement and the other Credit Documents, pursuant to an Assignment
Agreement in the form attached as Exhibit 10.10, executed by such Purchasing Lender and such transferor Lender (and, in the case of a Purchasing Lender which is not then a Lender or an affiliate thereof, by the Borrower and the Administrative
Agent) and delivered to the Administrative Agent; provided that each such sale to a Purchasing Lender (other than an existing Lender) shall be in the amount of $5,000,000 or more, or if in a lesser amount or if as a result of such sale the
sum of the unfunded Commitment of such Lender plus the aggregate principal amount of such Lender’s Loans and participations in Letters of Credits would be less than $5,000,000 (calculated as hereinafter set forth), such sale shall be of
all of such Lender’s rights and obligations under this Agreement and all of the other Credit Documents payable to it to one Purchasing Lender. Notwithstanding the requirement of the Borrower’s consent set forth above, but subject to all of
the other terms and conditions of this Section 10.10(b), any Lender may sell to one or more commercial banking or other financial or lending institutions not subject to Regulation T of the Board of Governors of the Federal Reserve System, all
or any part of their rights and obligations under this Agreement and the other Credit Documents with only the 

  

 75 

 
consent of the Administrative Agent (which shall not be unreasonably withheld or delayed) if an Event of Default shall have occurred and be continuing. Upon
such execution, delivery and acceptance, from and after the effective date of the transfer determined pursuant to such Assignment Agreement, (x) the Purchasing Lender thereunder shall be a party hereto and, to the extent provided in such
Assignment Agreement, have the rights and obligations of a Lender hereunder with a Commitment as set forth herein and (y) the transferor Lender thereunder shall, to the extent provided in such Assignment Agreement, be released from its
obligations under this Agreement (and, in the case of an Assignment Agreement covering all or the remaining portion of a transferor Lender’s rights and obligations under this Agreement, such transferor Lender shall cease to be a party hereto).
Such Assignment Agreement shall be deemed to amend this Agreement to the extent, and only to the extent, necessary to reflect the addition of such Purchasing Lender and the resulting adjustment of Commitments and Percentages arising from the
purchase by such Purchasing Lender of all or a portion of the rights and obligations of such transferor Lender under this Agreement, the Notes and the other Credit Documents. On or prior to the effective date of the transfer determined pursuant to
such Assignment Agreement, the Borrower, at its own expense, shall upon reasonable notice from the Administrative Agent execute and deliver to the Administrative Agent in exchange for any surrendered Note, a new Note as appropriate to the order of
such Purchasing Lender in an amount equal to the Commitments assumed by it pursuant to such Assignment Agreement, and, if the transferor Lender has retained a Commitment or Borrowing hereunder, a new Note to the order of the transferor Lender in an
amount equal to the Commitments or Borrowings retained by it hereunder. Such new Notes shall be dated the Initial Availability Date and shall otherwise be in the form of the Notes replaced thereby. The Notes surrendered by the transferor Lender
shall be returned by the Administrative Agent to the Borrower marked “cancelled.” 
 (c) Upon its receipt of an Assignment
Agreement executed by a transferor Lender and a Purchasing Lender (and, in the case of a Purchasing Lender that is not then a Lender or an affiliate thereof, by the Administrative Agent and, to the extent required by Section 10.10(b), by the
Borrower), together with payment by the transferor Lender to the Administrative Agent hereunder of a registration and processing fee of $3,500 (unless the Borrower is replacing such Lender pursuant to the terms hereof, in which event such fee shall
be paid by the Borrower), the Administrative Agent shall (i) promptly accept such Assignment Agreement, and (ii) on the effective date of the transfer determined pursuant thereto give notice of such acceptance and recordation to the
Lenders and the Borrower. The Borrower shall not be responsible for such registration and processing fee or any costs or expenses incurred by any Lender, any Purchasing Lender or the Administrative Agent in connection with such assignment except as
provided above. 
 (d) If, pursuant to this Section 10.10 any interest in this Agreement or any Loan or Note is transferred to any
transferee which is organized under the laws of any jurisdiction other than the United States of America or any State thereof, the transferor Lender shall cause such transferee, concurrently with the effectiveness of such transfer, (i) to
represent to the transferor Lender (for the benefit of the transferor Lender, the Administrative Agent and the Borrower) that under applicable law and treaties no taxes will be required to be withheld by the Administrative Agent, the Borrower or the
transferor Lender with respect to any payments to be made to such transferee in respect of the Loans or the L/C Obligations, (ii) to furnish to the transferor Lender 

  

 76 

 
(and, in the case of any Purchasing Lender, the Administrative Agent and the Borrower) two duly completed and signed copies of either U.S. Internal Revenue
Service Form W-8BEN or U.S. Internal Revenue Service Form W-8ECI or such successor forms as shall be adopted from time to time by the relevant United States taxing authorities (wherein such transferee claims entitlement to complete exemption from
U.S. federal withholding tax on all interest payments hereunder), and (iii) to agree (for the benefit of the transferor Lender, the Administrative Agent and the Borrower) to provide the transferor Lender (and, in the case of any Purchasing
Lender, the Administrative Agent and the Borrower) new forms as contemplated by Section 3.3(b) upon the expiration or obsolescence of any previously delivered form and comparable statements in accordance with applicable U.S. laws and
regulations and amendments duly executed and completed by such transferee, and to comply from time to time with all applicable U.S. laws and regulations with regard to such withholding tax exemption. 
 (e) Notwithstanding any other provisions of this Section 10.10, no transfer or assignment of the interests of any Lender hereunder or any grant of
participations therein shall be permitted if such transfer, assignment or grant would require the Borrower to file a registration statement with the SEC or to qualify the Loans, the Notes or any other Obligations under the securities laws of any
jurisdiction. 
 Section 10.11. Amendments, Waivers and Consents. Any provision of the Credit Documents may be amended or waived
if, but only if, such amendment or waiver is in writing and is signed by (a) the Borrower, (b) the Required Lenders, and (c) if the rights or duties of the Swingline Lender, any Issuing Bank, the Administrative Agent or the Other
Agents are affected thereby, the Swingline Lender, such Issuing Bank, the Administrative Agent or the Other Agents, as the case may be, provided that: 
 (i) no amendment or waiver shall (A) (other than in accordance with Section 2.14) increase the Revolving Credit Commitment
Amount without the consent of all Lenders or increase any Commitment of any Lender without the consent of such Lender, or (B) postpone the Commitment Termination Date or Maturity Date without the consent of all Lenders, or reduce the amount of
or postpone the date for any scheduled payment of any principal of or interest (including, without limitation, any reduction in the rate of interest unless such reduction is otherwise provided herein) on any Loan or Reimbursement Obligation or of
any fee payable hereunder, without the consent of each Lender owed any such Obligation, (C) release any Collateral for any Collateralized Obligations (other than as provided in accordance with Section 7.4) without the consent of all
Lenders, (D) release the BVI Guaranty without the consent of all Lenders, (E) change any provision requiring ratable funding or sharing of payments without the consent of all Lenders or (F) amend or waive this Section 10.11, the
definition herein of “Required Lenders” or the number of Lenders required to take any action under any other provision of the Credit Documents without the consent of all Lenders; and 
 (ii) no amendment or waiver shall, unless signed by each Lender, change the provisions of this Section 10.11 or the definition of
Required Lenders or the number of Lenders required to take any action under any other provision of the Credit Documents. 
  

 77 

 Section 10.12. Headings. Section headings used in this Agreement are for reference only and
shall not affect the construction of this Agreement. 
 Section 10.13. Legal Fees, Other Costs and Indemnification. The Borrower,
upon demand by the Administrative Agent, agrees to pay all reasonable out-of-pocket costs and expenses of the Administrative Agent (including, without limitation, the reasonable fees and disbursements of legal counsel to the Administrative Agent) in
connection with the preparation and execution of the Credit Documents, and any amendment, waiver or consent related thereto, whether or not the transactions contemplated therein are consummated. The Borrower further agrees to indemnify and hold
harmless the Swingline Lender, each Lender, each Issuing Bank, the Administrative Agent, the Other Agents, and their respective directors, officers, employees and attorneys (collectively, the “Indemnified Parties”), against all losses,
claims, damages, penalties, judgments, liabilities and expenses (including, without limitation, all reasonable attorneys’ fees and other reasonable expenses of litigation or preparation therefor, whether or not such Indemnified Party is a party
thereto) which any of them may pay or incur as a result of (a) any action, suit or proceeding by any third party or Governmental Authority against such Indemnified Party and relating to any Credit Document, the Loans, any Letter of Credit, or
the application or proposed application by any of the Borrower of the proceeds of any Loan or use of any Letter of Credit, REGARDLESS OF WHETHER SUCH CLAIMS OR ACTIONS ARE FOUNDED IN WHOLE OR IN PART UPON THE ALLEGED SIMPLE OR CONTRIBUTORY
NEGLIGENCE OF ANY OF THE INDEMNIFIED PARTIES AND/OR ANY OF THEIR RESPECTIVE DIRECTORS, OFFICERS, EMPLOYEES OR ATTORNEYS, (b) any investigation of any third party or any Governmental Authority involving any Lender (as a lender hereunder),
any Issuing Bank, or the Administrative Agent or the Other Agents (in such capacity hereunder) and related to any use made or proposed to be made by the Borrower of the proceeds of any Loan, or use of any Letter of Credit or any transaction financed
or to be financed in whole or in part, directly or indirectly with the proceeds of any Loan or Letter of Credit, and (c) any investigation of any third party or any Governmental Authority, litigation or proceeding involving the Swingline Lender
(as a swingline lender hereunder), any Lender (as a lender hereunder) or the Administrative Agent or the Other Agents (in such capacity hereunder) and related to any environmental cleanup, audit, compliance or other matter relating to any
Environmental Law or the presence of any Hazardous Material (including, without limitation, any losses, liabilities, damages, injuries, costs, expenses or claims asserted or arising under any Environmental Law) with respect to the Borrower,
regardless of whether caused by, or within the control of, the Borrower; provided, however, that the Borrower shall not be obligated to indemnify any Indemnified Party for any of the foregoing arising out of such Indemnified Party’s
gross negligence or willful misconduct, as determined pursuant to a judgment of a court of competent jurisdiction or as expressly agreed in writing by such Indemnified Party. The Borrower, upon demand by the Administrative Agent, the Other Agents,
the Swingline Lender or a Lender or Issuing Bank at any time, shall reimburse such Agent, the Swingline Lender or such Lender or Issuing Bank for any reasonable legal or other expenses incurred in connection with investigating or defending against
any of the foregoing, except if the same is excluded from indemnification pursuant to the provisions of the preceding sentence. Each Indemnified Party agrees that such Indemnified Party will contest any indemnified claim if requested by the
Borrower, in a manner reasonably directed by the Borrower, with counsel selected by the Indemnified Party and approved by the Borrower, which approval shall not be 

  

 78 

 
unreasonably withheld or delayed. Any Indemnified Party that proposes or intends to settle or compromise any such indemnified claim shall give the Borrower
written notice of the terms of such settlement or compromise reasonably in advance of settling or compromising such claim and shall obtain the Borrower’s prior written consent thereto, which consent shall not be unreasonably withheld or
delayed; provided that the Indemnified Party shall not be restricted from settling or compromising any such claim if (i) the Indemnified Party waives its right to indemnity from the Borrower in respect of such claim and such settlement
or compromise does not materially increase the Borrower’s liability pursuant to this Section 10.13 to any related party of such Indemnified Party, (ii) an Event of Default has occurred and is continuing or (iii) the Indemnified
Party reasonably believes the Borrower will not be able to satisfy the full amount of such claim and the Borrower has failed to provide sufficient collateral to the Indemnified Party to secure the value of such claim. 
 Section 10.14. Governing Law; Submission to Jurisdiction; Waiver of Jury Trial; Waiver of Certain Damages. 
 (A) THIS AGREEMENT AND THE OTHER CREDIT DOCUMENTS, AND THE RIGHTS AND DUTIES OF THE PARTIES THERETO, SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED
BY THE INTERNAL LAWS OF THE STATE OF NEW YORK. 
 (B) TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE PARTIES HERETO AGREE THAT
ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS AGREEMENT OR ANY OTHER CREDIT DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENT (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF THE ADMINISTRATIVE AGENT, THE
OTHER AGENTS, THE LENDERS, THE ISSUING BANKS, OR THE BORROWER MAY BE BROUGHT AND MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK SITTING IN THE BOROUGH OF MANHATTAN OR THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK. TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE BORROWER HEREBY EXPRESSLY AND IRREVOCABLY SUBMITS TO THE JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK AND THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK FOR THE PURPOSE
OF ANY SUCH LITIGATION AS SET FORTH ABOVE AND IRREVOCABLY AGREES TO BE BOUND BY ANY JUDGMENT RENDERED THEREBY IN CONNECTION WITH SUCH LITIGATION. THE BORROWER HEREBY IRREVOCABLY DESIGNATES CT CORPORATION SYSTEM, 111 8TH AVENUE, NEW YORK, NEW YORK
10011, AS THE DESIGNEE, APPOINTEE AND AGENT OF THE BORROWER TO RECEIVE, FOR AND ON BEHALF OF THE BORROWER, SERVICE OF PROCESS IN SUCH JURISDICTION IN ANY LEGAL ACTION OR PROCEEDING WITH RESPECT HERETO. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE
LAW, THE BORROWER FURTHER IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS, BY REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK. TO THE FULLEST EXTENT 

  

 79 

 
PERMITTED BY APPLICABLE LAW, THE BORROWER HEREBY EXPRESSLY AND IRREVOCABLY WAIVES ANY OBJECTION WHICH IT MAY HAVE OR HEREAFTER MAY HAVE TO THE LAYING OF
VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT THE BORROWER HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM JURISDICTION OF
ANY COURT OR FROM ANY LEGAL PROCESS (WHETHER THROUGH SERVICE OF NOTICE, ATTACHMENT PRIOR TO JUDGMENT, ATTACHMENT IN AID OF EXECUTION OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, THE BORROWER HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THIS AGREEMENT AND THE OTHER CREDIT DOCUMENTS. 
 (C)
TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, EACH PARTY HERETO WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHTS UNDER THIS AGREEMENT OR UNDER ANY AMENDMENT, INSTRUMENT, DOCUMENT OR AGREEMENT
DELIVERED OR WHICH MAY IN THE FUTURE BE DELIVERED IN CONNECTION HEREWITH OR ARISING FROM ANY BANKING RELATIONSHIP EXISTING IN CONNECTION WITH THIS AGREEMENT, AND AGREES THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A COURT AND NOT BEFORE
A JURY. 
 (D) EACH PARTY TO THIS AGREEMENT IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN
SECTION 10.7. NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW. 
 (E) EACH OF THE BORROWER, THE ADMINISTRATIVE AGENT, THE ISSUING BANKS, THE SWINGLINE LENDER AND THE LENDERS HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO UNDER
APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY LITIGATION REFERRED TO IN THIS SECTION 10.14 OR OTHERWISE RELATING TO THE CREDIT DOCUMENTS ANY PUNITIVE DAMAGES. 
 Section 10.15. Confidentiality. Each of the Agents, Issuing Banks, the Swingline Lender and Lenders agree to maintain the confidentiality of
the Information (as defined below), except that Information may be disclosed (i) to their respective affiliates and to prospective Purchasing Lenders, prospective Participants and Participants and their respective directors, officers, employees
and agents, including accountants, legal counsel and other advisors who have reason to use such Information in connection with the evaluation of the transactions contemplated by this Agreement (subject to similar confidentiality provisions as
provided herein) solely for 

  

 80 

 
purposes of evaluating such Information, (ii) to the extent requested by any regulatory authority, (iii) to the extent required by applicable law
or regulation or by any subpoena or similar legal process, (iv) in connection with the exercise of any remedies hereunder or any proceedings relating to this Agreement or the other Credit Documents, (v) with the consent of the Borrower, or
(vi) to the extent such Information (x) becomes publicly available other than as a result of a breach of this Section 10.15, or (y) becomes available on a non-confidential basis from a source other than the Borrower or its
affiliates, or the Lenders or their respective affiliates, excluding any Information from such source which, to the actual knowledge of the Agent, Issuing Bank, the Swingline Lender or Lender receiving such Information, has been disclosed by such
source in violation of a duty of confidentiality to the Borrower. For purposes hereof, “Information” means all information received by the Swingline Lender or the Lenders from the Borrower relating to the Borrower or its business,
other than any such information that is available to the Swingline Lender or the Lenders on a non-confidential basis prior to disclosure by the Borrower, excluding any Information from a source which, to the actual knowledge of the Agent, Issuing
Bank, the Swingline Lender or Lender receiving such Information, has been disclosed by such source in violation of a duty of confidentiality to the Borrower. The Lenders, the Agent, the Issuing Banks and the Swingline Lender shall be considered to
have complied with their respective obligations if they have exercised the same degree of care to maintain the confidentiality of such Information as they would accord their own confidential information. Notwithstanding anything herein to the
contrary, any party to this Agreement (and any employee, representative, or other agent of any party to this Agreement) may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of the transactions
contemplated by this Agreement and all materials of any kind (including opinions or other tax analyses) that are provided to it relating to such tax treatment and tax structure. However, any such information relating to the tax treatment or
tax structure is required to be kept confidential to the extent necessary to comply with any applicable federal or state securities laws. 
 Section 10.16. Effectiveness. This Agreement shall become effective on the date (the “Effective Date”) on which the Borrower, the Administrative Agent, the Swingline Lender and each Lender have signed and
delivered to the Administrative Agent a signature page hereto (including by facsimile or other electronic means) or the Administrative Agent has received a facsimile notice that such a counterpart has been signed and mailed to the Administrative
Agent. 
 Section 10.17. Severability. Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction
shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or
render unenforceable such provision in any other jurisdiction. 
 Section 10.18. Currency Provisions. All payments of Obligations
under this Agreement, the Notes or any other Credit Document shall be made in U.S. Dollars. If any payment of any Obligation, whether through payment by the Borrower or BVI or the proceeds of any collateral, shall be made in a currency other than
the currency required hereunder, such amount shall be converted into the currency required hereunder at the rate determined by the Administrative Agent as the rate quoted by it in accordance with methods customarily used by the Administrative Agent
for such or similar purposes as the spot rate for the purchase by the 

  

 81 

 
Administrative Agent of the required currency with the currency of actual payment through its principal foreign exchange trading office at approximately
11:00 A.M. (local time at such office) two Business Days prior to the effective date of such conversion, provided that the Administrative Agent may obtain such spot rate from another financial institution actively engaged in foreign currency
exchange if the Administrative Agent does not then have a spot rate for the required currency. The parties hereto hereby agree, to the fullest extent that they may effectively do so under applicable law, that (i) if for the purposes of
obtaining any judgment or award it becomes necessary to convert from any currency other than the currency required hereunder into the currency required hereunder any amount in connection with the Obligations, then the conversion shall be made as
provided above on the Business Day before the day on which the judgment or award is given, (ii) in the event that there is a change in the applicable conversion rate prevailing between the Business Day before the day on which the judgment or
award is given and the date of payment, the Borrower will pay to the Administrative Agent, for the benefit of the Lenders and the Swingline Lender, such additional amounts (if any) as may be necessary, and the Administrative Agent, on behalf of the
Lenders and the Swingline Lender, will pay to the Borrower such excess amounts (if any) as result from such change in the rate of exchange, to assure that the amount paid on such date is the amount in such other currency, which when converted at the
conversion rate described herein on the date of payment, is the amount then due in the currency required hereunder, and (iii) any amount due from the Borrower under this Section 10.18 shall be due as a separate debt and shall not be
affected by judgment or award being obtained for any other sum due. 
 Section 10.19. Margin Stock. Each of the Lenders, the
Swingline Lender and Issuing Banks hereby represents to the other Lenders, Swingline Lender and Issuing Banks that it is not relying on margin stock as collateral in extending or maintaining any Loan or Letter of Credit. 
 Section 10.20. Change in Accounting Principles, Fiscal Year or Tax Laws. If (i) any change in accounting principles from those used in
the preparation of the financial statements of the Borrower referred to in Section 5.9 is hereafter occasioned by the promulgation of rules, regulations, pronouncements and opinions by or required by the Financial Accounting Standards
Board or the American Institute of Certified Public Accounts (or successors thereto or agencies with similar functions), and such change materially affects the calculation of any component of any financial covenant, standard or term found in this
Agreement, or (ii) there is a material change in federal, state or foreign tax laws which materially affects any of the Borrower and its Subsidiaries’ ability to comply with the financial covenants, standards or terms found in this
Agreement, the Borrower and the Lenders agree to enter into negotiations in order to amend such provisions (with the agreement of the Required Lenders or, if required by Section 10.11, all of the Lenders) so as to equitably reflect such changes
with the desired result that the criteria for evaluating any of the Borrower’s and its Subsidiaries’ financial condition shall be the same after such changes as if such changes had not been made. Unless and until such provisions have been
so amended, the provisions of this Agreement shall govern. 
 Section 10.21. Final Agreement. The Credit Documents constitute the
entire understanding among the Credit Parties, the Lenders, the Issuing Banks, the Swingline Lender and the Administrative Agent and supersede all earlier or contemporaneous agreements, whether written or oral, concerning the subject matter of the
Credit Documents. THIS WRITTEN 

  

 82 

 
AGREEMENT TOGETHER WITH THE OTHER CREDIT DOCUMENTS REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR,
CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. 
 Section 10.22. Officer’s Certificates. It is not intended that any certificate of any officer or director of the Borrower delivered to the Administrative Agent, the Swingline Lender or any Lender pursuant to this Agreement
shall give rise to any personal liability on the part of such officer or director. 
 Section 10.23. Effect of Inclusion of
Exceptions. It is not intended that the specification of any exception to any covenant herein shall imply that the excepted matter would, but for such exception, be prohibited or required. 
 Section 10.24. Patriot Act Notice. Each Lender, the Swingline Lender and the Administrative Agent (for itself and not on behalf of any
Lender) hereby notifies the Borrower that pursuant to the requirements of the Patriot Act, it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and
other information that will allow such Lender, the Swingline Lender or the Administrative Agent, as applicable, to identify the Borrower in accordance with the Patriot Act. The Borrower shall provide, to the extent commercially reasonable, such
information and take such actions as are reasonably requested by the Administrative Agent, the Swingline Lender or any Lenders in order to assist the Administrative Agent, the Swingline Lender and the Lenders in maintaining compliance with the
Patriot Act. 
  

 83 

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

			
	BORROWER:
	
	 GLOBALSANTAFE CORPORATION,
 As
Borrower

		
	By:	 	 /s/ Alexander A. Krezel

	Name:	 	Alexander A. Krezel
	Title:	 	Vice President, Secretary and Associate General Counsel

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	CITIBANK, N.A.,
	As Administrative Agent, an Issuing Bank, the Swingline Lender and a Lender
		
	By:	 	 /s/ Robert H. Malleck

	Name:	 	Robert H. Malleck
	Title:	 	Vice President

  

			
	 COMMITMENT AMOUNT:
	  	$50,000,000.00
	 PERCENTAGE:
	  	10.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	WELLS FARGO BANK, N.A.,
	As Syndication Agent, an Issuing Bank and a Lender
		
	By:	 	 /s/ T. Alan Smith

	Name:	 	T. Alan Smith
	Title:	 	Vice President

  

			
	 COMMITMENT AMOUNT:
	  	$50,000,000.00
	 PERCENTAGE:
	  	10.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	BANK OF AMERICA, N.A.,
	As a Co-Documentation Agent and a Lender
		
	By:	 	 /s/ Claire M. Liu

	Name:	 	Claire M. Liu
	Title:	 	Senior Vice President

  

			
	 COMMITMENT AMOUNT
	  	$42,500,000
	 PERCENTAGE
	  	8.5%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	HSBC BANK USA, NATIONAL ASSOCIATION,
	As a Co-Documentation Agent and a Lender
		
	By:	 	 /s/ Mercedes Ahumada

	Name:	 	Mercedes Ahumada
	Title:	 	Assistant Vice President

  

			
	 COMMITMENT AMOUNT
	  	$42,500,000
	 PERCENTAGE
	  	8.5%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	THE ROYAL BANK OF SCOTLAND PLC,
	As a Co-Documentation Agent and a Lender
		
	By:	 	 /s/ Paul McDonagh

	Name:	 	Paul McDonagh
	Title:	 	Managing Director

  

			
	 COMMITMENT AMOUNT
	  	$42,500,000
	 PERCENTAGE
	  	8.5%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	THE BANK OF TOKYO-MITSUBISHI UFJ,
LTD., as a Lender
		
	By:	 	 /s/ Kelten Glasscock

	Name:	 	Kelten Glasscock
	Title:	 	Vice President and Manager

  

			
	 COMMITMENT AMOUNT
	  	$42,500,000
	 PERCENTAGE
	  	8.5%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	FORTIS CAPITAL CORP., as a Lender
		
	By:	 	 /s/ Svein Engh

	Name:	 	Svein Engh
	Title:	 	Managing Director
		
	By:	 	 /s/ Carl Rasmussen

	Name:	 	Carl Rasmussen
	Title:	 	Senior Vice President

  

			
	 COMMITMENT AMOUNT
	  	$35,000,000
	 PERCENTAGE
	  	7.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	JPMORGAN CHASE BANK, NA., as a Lender
		
	By:	 	 /s/ Dianne L. Russell

	Name:	 	Dianne L. Russell
	Title:	 	Vice President

  

			
	 COMMITMENT AMOUNT
	  	$35,000,000
	 PERCENTAGE
	  	7.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	ABN AMRO BANK N.V., as a Lender
		
	By:	 	 /s/ James L. Moyes

	Name:	 	James L. Moyes
	Title:	 	Managing Director
		
	By:	 	 /s/ Todd D. Vaubel

	Name:	 	Todd D. Vaubel
	Title:	 	Assistant Vice President

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	CREDIT SUISSE, CAYMAN ISLANDS BRANCH, as a Lender
		
	By:	 	 /s/ Vanessa Gomez

	Name:	 	Vanessa Gomez
	Title:	 	Vice President
		
	By:	 	 /s/ Nupur Kumar

	Name:	 	Nupur Kumar
	Title:	 	Associate

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	DEUTSCHE BANK AG NEW YORK BRANCH, As a Lender
		
	By:	 	 /s/ Marcus Tarkington

	Name:	 	Marcus Tarkington
	Title:	 	Director
		
	By:	 	 /s/ Rainer Meier

	Name:	 	Rainer Meier
	Title:	 	Vice President

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	DNB NOR BANK ASA, as a Lender
		
	By:	 	 /s/ Barbara Gronquist

	Name:	 	BarbaraGronquist
	Title:	 	Senior Vice President
		
	By:	 	 /s/ Kevin O’Hara

	Name:	 	Kevin O’Hara
	Title:	 	Vice President

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	LEHMAN BROTHERS BANK, as a Lender
		
	By:	 	 /s/ Janine M. Shugan

	Name:	 	Janine M. Shugan
	Title:	 	Authorized Signatory

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	MIZUHO CORPORATE BANK, LTD., as a Lender
		
	By:	 	 /s/ Raymond Ventura

	Name:	 	Raymond Ventura
	Title:	 	Deputy General Manager

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	MORGAN STANLEY BANK, as a Lender
		
	By:	 	 /s/ Daniel Twenge

	Name:	 	Daniel Twenge
	Title:	 	Authorized Signatury

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT] 

			
	WILLIAM STREET COMMITMENT CORPORATION, as a Lender
		
	By:	 	 /s/ Mark Walton

	Name:	 	Mark Walton
	Title:	 	Assistant Vice President

  

			
	 COMMITMENT AMOUNT
	  	$20,000,000
	 PERCENTAGE
	  	4.0%

 [SIGNATURE PAGE TO REVOLVING CREDIT AGREEMENT]Amended and Restated Credit Agreement

 Exhibit 10.1 
 AMENDED AND RESTATED CREDIT AGREEMENT 
 dated as of 
 August 14, 2006 
 among 
 BANK OF AMERICA, N.A. 
 as Administrative Agent and Collateral Agent 
 BANK OF AMERICA, N.A. 
 as Issuing Bank

 The REVOLVING CREDIT LENDERS Party Hereto, 
 THE WET SEAL, INC., 
 as Lead Borrower for: 
 THE WET SEAL, INC. 
 THE WET SEAL RETAIL, INC. 
 WET SEAL CATALOG, INC., 
 as the Borrowers

 WET SEAL GC, INC. 
 As Facility
Guarantor 
  

 TABLE OF CONTENTS 
  

					
	ARTICLE I Definitions	  	2
			
	1.01.	  	Defined Terms	  	2
	1.02.	  	Terms Generally	  	29
	1.03.	  	Accounting Terms; GAAP	  	30
		
	ARTICLE II Amount and Terms of Credit	  	30
			
	2.01.	  	Commitment of the Revolving Credit Lenders	  	30
	2.02.	  	Increase in Total Commitments	  	31
	2.03.	  	Reserves; Changes to Reserves	  	32
	2.04.	  	Making of Loans	  	32
	2.05.	  	Overadvances	  	34
	2.06.	  	Swingline Loans	  	34
	2.07.	  	Letters of Credit	  	35
	2.08.	  	Settlements Amongst Revolving Credit Lenders	  	38
	2.09.	  	Notes; Repayment of Loans	  	40
	2.10.	  	Interest on Loans	  	40
	2.11.	  	Default Interest	  	41
	2.12.	  	Intentionally Omitted	  	41
	2.13.	  	Unused Commitment Fee	  	41
	2.14.	  	Letter of Credit Fees	  	41
	2.15.	  	Nature of Fees	  	42
	2.16.	  	Termination or Reduction of Commitments	  	42
	2.17.	  	Alternate Rate of Interest	  	42
	2.18.	  	Conversion and Continuation of Loans	  	43
	2.19.	  	Mandatory Prepayment; Commitment Termination; Cash Collateral	  	44
	2.20.	  	Optional Prepayment of Loans; Reimbursement of Revolving Credit Lenders	  	44
	2.21.	  	Maintenance of Loan Account; Statements of Account	  	46
	2.22.	  	Cash Receipts	  	47
	2.23.	  	Application of Payments	  	48
	2.24.	  	Increased Costs	  	49
	2.25.	  	Change in Legality	  	51
	2.26.	  	Payments; Sharing of Setoff	  	51
	2.27.	  	Taxes	  	52
	2.28.	  	Security Interests in Collateral	  	54
	2.29.	  	Mitigation Obligations; Replacement of Lenders	  	55
		
	ARTICLE III Representations and Warranties	  	56
			
	3.01.	  	Organization; Powers	  	56
	3.02.	  	Authorization; Enforceability	  	56
	3.03.	  	Governmental Approvals; No Conflicts	  	56
	3.04.	  	Financial Condition	  	56

  

 (i) 

					
	3.05.	  	Properties	  	56
	3.06.	  	Litigation and Environmental Matters	  	57
	3.07.	  	Compliance with Laws and Agreements	  	57
	3.08.	  	Investment and Holding Company Status	  	57
	3.09.	  	Taxes	  	58
	3.10.	  	ERISA	  	58
	3.11.	  	Disclosure	  	58
	3.12.	  	Subsidiaries	  	58
	3.13.	  	Insurance	  	58
	3.14.	  	Labor Matters	  	59
	3.15.	  	Security Documents	  	59
	3.16.	  	Federal Reserve Regulations	  	59
	3.17.	  	Solvency	  	59
		
	ARTICLE IV Conditions	  	59
			
	4.01.	  	Effective Date	  	59
	4.02.	  	Conditions Precedent to Each Loan and Each Letter of Credit	  	62
		
	ARTICLE V Affirmative Covenants	  	62
			
	5.01.	  	Financial Statements and Other Information	  	62
	5.02.	  	Notices of Material Events	  	65
	5.03.	  	Information Regarding Collateral	  	66
	5.04.	  	Existence; Conduct of Business	  	66
	5.05.	  	Payment of Obligations	  	66
	5.06.	  	Maintenance of Properties	  	66
	5.07.	  	Insurance	  	67
	5.08.	  	Casualty and Condemnation	  	67
	5.09.	  	Books and Records; Inspection and Audit Rights; Appraisals; Accountants	  	68
	5.10.	  	Physical Inventories	  	69
	5.11.	  	Compliance with Laws	  	69
	5.12.	  	Use of Proceeds and Letters of Credit	  	69
	5.13.	  	Additional Subsidiaries	  	69
	5.14.	  	Depository Account	  	70
	5.15.	  	Further Assurances	  	70
		
	ARTICLE VI Negative Covenants	  	70
			
	6.01.	  	Indebtedness and Other Obligations	  	71
	6.02.	  	Liens	  	72
	6.03.	  	Fundamental Changes	  	72
	6.04.	  	Investments, Loans, Advances, Guarantees and Acquisitions	  	73
	6.05.	  	Asset Sales	  	73
	6.06.	  	Restricted Payments; Certain Payments of Indebtedness	  	74
	6.07.	  	Transactions with Affiliates	  	75
	6.08.	  	Restrictive Agreements	  	75

  

 (ii) 

					
	6.09.	  	Amendment of Material Documents	  	76
	6.10.	  	Additional Subsidiaries	  	76
	6.11.	  	Excess Availability	  	76
	6.12.	  	Fiscal Year	  	76
	6.13.	  	Environmental Laws	  	76
	6.14.	  	Store Closings	  	76
	ARTICLE VII Events of Default	  	76
	7.01.	  	Events of Default	  	76
	7.02.	  	Remedies on Default	  	80
	7.03.	  	Application of Proceeds	  	80
		
	ARTICLE VIII The Agents	  	81
			
	8.01.	  	Administration by Administrative Agent	  	81
	8.02.	  	The Collateral Agent	  	81
	8.03.	  	Sharing of Excess Payments	  	81
	8.04.	  	Agreement of Required Lenders	  	82
	8.05.	  	Liability of Agents	  	82
	8.06.	  	Notice of Default	  	84
	8.07.	  	Lenders’ Credit Decisions	  	84
	8.08.	  	Reimbursement and Indemnification	  	84
	8.09.	  	Rights of Agents	  	85
	8.10.	  	Independent Lenders and Issuing Bank	  	85
	8.11.	  	Notice of Transfer	  	85
	8.12.	  	Successor Agent	  	85
	8.13.	  	Reports and Financial Statements	  	86
	8.14.	  	Delinquent Lender	  	86
		
	ARTICLE IX Miscellaneous	  	87
			
	9.01.	  	Notices	  	87
	9.02.	  	Waivers; Amendments	  	87
	9.03.	  	Expenses; Indemnity; Damage Waiver	  	89
	9.04.	  	Designation of Lead Borrower as Borrowers’ Agent	  	91
	9.05.	  	Successors and Assigns	  	92
	9.06.	  	Survival	  	95
	9.07.	  	Counterparts; Integration; Effectiveness	  	95
	9.08.	  	Severability	  	95
	9.09.	  	Right of Setoff	  	95
	9.10.	  	Governing Law; Jurisdiction; Consent to Service of Process	  	96
	9.11.	  	WAIVER OF JURY TRIAL	  	96
	9.12.	  	Headings	  	97
	9.13.	  	Interest Rate Limitation	  	97
	9.14.	  	Additional Waivers	  	97
	9.15.	  	Confidentiality	  	98
	9.16.	  	Publicity	  	99

  

 (iii) 

 EXHIBITS 
  

			
	A.	  	Assignment and Acceptance
	B-1.	  	Revolving Credit Notes
	B-2.	  	Swingline Note
	C.	  	Opinion of Counsel to Loan Parties
	D.	  	Form of Compliance Certificate
	E.	  	Borrowing Base Certificate

  

 (iv) 

 SCHEDULES 
  

			
	1.1	  	Revolving Credit Lenders and Commitments
	2.22(a)	  	DDAs
	2.22(b)	  	Credit Card Arrangements
	2.22(c)	  	Blocked Accounts
	2.22(f)	  	Disbursement Accounts
	3.05(c)(i)	  	Title to Properties; Real Estate Owned
	3.05(c)(ii)	  	Leased Properties
	3.06(a)	  	Disclosed Litigation Matters
	3.06(b)	  	Disclosed Environmental Matters
	3.09	  	Taxes
	3.12	  	Subsidiaries
	3.13	  	Insurance
	5.01(i)	  	Financial Reporting Requirements
	6.01	  	Indebtedness
	6.02	  	Liens
	6.04	  	Investments

  

 (v) 

 AMENDED AND RESTATED CREDIT AGREEMENT dated as of August 14, 2006 among 
 THE WET SEAL, INC., a Delaware corporation, having its principal place of business at 26972 Burbank, Foothill Ranch, California 92610, as Lead Borrower
for the Borrowers, being: 
 said THE WET SEAL, INC., 
 WET SEAL CATALOG, INC., a Delaware corporation, having its principal place of business at 26972 Burbank, Foothill Ranch, California 92610; and 
 THE WET SEAL RETAIL, INC., a Delaware corporation, having its principal place of business at 26972 Burbank, Foothill Ranch, California 92610; and

 WET SEAL GC, INC., a Virginia corporation, having its principal place of business at 26972 Burbank, Foothill Ranch, California 92610, as
Facility Guarantor; and 
 the REVOLVING CREDIT LENDERS party hereto; and 
 BANK OF AMERICA, N.A., as Administrative Agent and Collateral Agent for the Lenders, a Delaware corporation, having its principal place of business at 40
Broad Street, Boston, Massachusetts 02109; and 
 BANK OF AMERICA, N.A., as Issuing Bank, a national banking association having a place of
business at 100 Federal Street, Boston, Massachusetts 02110; 
 in consideration of the mutual covenants herein contained and benefits to be derived
herefrom. 
 RECITALS 
 WHEREAS,
the Revolving Credit Lenders, the Agents, the Borrowers and Facility Guarantor, have previously entered into a Credit Agreement dated as of September 22, 2004, as amended to date (the “Existing Loan Agreement”); and 
 WHEREAS, Fleet Retail Group, LLC (in such capacity, the “Existing Agent”) has contemporaneously herewith assigned all of its right, title, and
interest as a Revolving Credit Lender under the Existing Loan Agreement and each of the other Loan Documents to Bank of America, N.A., and the Existing Agent desires to resign as Agent hereunder and the Revolving Credit Lenders desire to appoint
Bank of America, N.A. as successor Agent; and 
 WHEREAS, by this Agreement, the parties desire to amend and restate the Existing Loan
Agreement in its entirety as set forth herein. 
  

 1 

 ARTICLE I 
 Definitions 
 1.01. Defined Terms. As used in this Agreement, the following terms have the
meanings specified below: 
 “ACH” shall mean automated clearing house transfers. 
 “Account” shall include, without limitation, “accounts” as defined in the UCC, and also all: accounts, accounts receivable,
receivables, and rights to payment (whether or not earned by performance) (i) for property that has been or is to be sold, leased, licensed, assigned, or otherwise disposed of, (ii) for services rendered or to be rendered, (iii) for a
policy of insurance issued or to be issued, (iv) for a secondary obligation incurred or to be incurred, (v) for energy provided or to be provided, (vi) for the use or hire of a vessel, (vii) arising out of the use of a credit or
charge card or information contained on or used with that card, or (viii) for winnings in a lottery or other game of chance. 
 “Acquisition” means, with respect to a specified Person, (a) an Investment in or a purchase of a 50% or greater interest in the capital stock of any other Person, (b) a purchase or acquisition of all or
substantially all of the assets of any other Person, or (c) any merger or consolidation of such Person with any other Person, in each case in any transaction or group of transactions which are part of a common plan. 
 “Additional Commitment Lender” shall have the meaning set forth in Section 2.02(a). 
 “Adjusted LIBO Rate” means, with respect to any LIBO Borrowing for any Interest Period, an interest rate per annum (rounded upwards, if
necessary, to the next 1/16 of 1%) equal to (a) the LIBO Rate for such Interest Period multiplied by (b) the Statutory Reserve Rate. The Adjusted LIBO Rate will be adjusted automatically as to all LIBO Rate Loans then outstanding as of the
effective date of any change in the Statutory Reserve Rate. 
 “Administrative Agent” means Bank of America, or any
successor by merger to Bank of America, in its capacity as administrative agent for the Lenders hereunder. 
 “Affiliate”
means, with respect to a specified Person, another Person that directly, or indirectly through one or more intermediaries, Controls or is Controlled by or is under common Control with the Person specified. 
 “Agents” shall mean collectively, the Administrative Agent and the Collateral Agent. 
 “Agreement” means this Amended and Restated Credit Agreement, as modified, amended, supplemented or restated, and in effect from time to
time. 
 “Applicable Law” means as to any Person: (i) all statutes, rules, regulations, orders, or other requirements
having the force of law and (ii) all court orders and injunctions, and/or similar rulings, in each instance ((i) and (ii)) of or by any Governmental Authority, or court, or tribunal 

  

 2 

 
which has jurisdiction over such Person, or any property of such Person, or of any other Person for whose conduct such Person would be responsible.

 “Applicable Margin” means initially, the rates for Prime Rate Loans and LIBO Loans, set forth in Level 1, below:

  

									
	Level	  	 Performance Criteria
	  	Prime Rate Loans	 	 	LIBO Loans	 
	1	  	Average Excess Availability greater than 75% of the Borrowing Base	  	0	%	 	1.00	%
	2	  	Average Excess Availability greater than 25% of the Borrowing Base but less than or equal to 75% of the Borrowing Base	  	0	%	 	1.25	%
	3	  	Average Excess Availability less than or equal to 25% of the Borrowing Base	  	0	%	 	1.50	%

 The Applicable Margin shall be adjusted quarterly as of the first day of each Fiscal Quarter, based upon the
average Excess Availability for the immediately preceding Fiscal Quarter. Upon the occurrence and during the continuance of an Event of Default, at the option of the Administrative Agent or at the direction of the Required Revolving Credit Lenders,
interest shall be determined in the manner set forth in Section 2.11. 
 “Appraisal Percentage” shall mean 90%.

 “Appraised Value” means the net appraised liquidation value of the Borrowers’ Eligible Inventory as set forth in the
Borrowers’ stock ledger as determined from time to time in accordance with an independent appraisal satisfactory to the Administrative Agent. 
 “Assignment and Acceptance” means an assignment and acceptance entered into by a Lender and an assignee (with the consent of any party whose consent is required by Section 9.04), and accepted by the Administrative
Agent, in the form of Exhibit A or any other form approved by the Administrative Agent. 
 “Availability Reserves” means
such reserves as the Administrative Agent from time to time determines in the Administrative Agent’s reasonable discretion as being appropriate to reflect the impediments to the Agents’ ability to realize upon the Collateral. Without
limiting the generality of the foregoing, Availability Reserves may include (but are not limited to) reserves based on (i) Rent (but only if a landlord’s waiver, acceptable to the Administrative Agent, has not been received by the
Administrative Agent); (ii) Gift Certificates and Merchandise Credit Liability; (iii) customs, duties, and other costs to release Inventory which is being imported into the United States; (iv) outstanding customer deposits, and
(v) outstanding Taxes and other 

  

 3 

 
governmental charges, including, ad valorem, real estate, personal property, sales, and other Taxes which might have priority over the interests of the
Collateral Agent in the Collateral. 
 “Bank of America” means Bank of America, N.A., a national banking association.

 “Bank of America Concentration Account” shall have the meaning set forth in Section 2.22(c). 
 “Bank of America Disbursement Accounts” has the meaning provided therefor in Section 2.22(f). 
 “Blocked Account Agreements” has the meaning set forth in Section 2.22(c). 
 “Blocked Account Banks” shall mean the banks with whom the Borrowers have entered into Blocked Account Agreements. 
 “Blocked Accounts” shall have the meaning set forth in Section 2.22(c). 
 “Board” means the Board of Governors of the Federal Reserve System of the United States of America. 
 “Borrowers” means collectively, The Wet Seal, Inc., Wet Seal Catalog, Inc. and The Wet Seal Retail, Inc. 
 “Borrowing” shall mean (a) the incurrence of Revolving Credit Loans of a single Type on a single date and having, in the case of
LIBO Loans, a single Interest Period, or (b) a Swingline Loan. 
 “Borrowing Base” means, at any time of calculation,
an amount equal to 
 (a) the Credit Card Advance Rate multiplied by the face amount of Eligible Credit Card Receivables; plus

 (b) the Appraisal Percentage of the Appraised Value of Eligible Inventory, net of Inventory Reserves; plus 
 (c) 95% of all Eligible Cash and Cash Equivalents, provided that Eligible Cash and Cash Equivalents included in the Borrowing Base may not
be withdrawn from the respective account, thereby reducing the Borrowing Base, unless and until the Lead Borrower furnishes the Administrative Agent with (i) notice of such intended withdrawal and (ii) a Borrowing Base Certificate as of
the date of such proposed withdrawal reflecting that, after giving effect to such withdrawal, no Overadvance will result; plus 
 (d) 85% of all Short Term Securities, provided that Eligible Short Term Securities included in the Borrowing Base may not be withdrawn from the respective account, thereby reducing the Borrowing Base, unless and until the Lead Borrower
furnishes the Administrative Agent with (i) notice of such intended withdrawal and (ii) a 

  

 4 

 
Borrowing Base Certificate as of the date of such proposed withdrawal reflecting that, after giving effect to such withdrawal, no Overadvance will result;
minus 
 (e) the then amount of all Availability Reserves. 
 “Borrowing Base Certificate” has the meaning assigned to such term in Section 5.01(f). 
 “Borrowing Request” means a request by the Lead Borrower for a Borrowing in accordance with Section 2.04. 
 “Breakage Costs” shall have the meaning set forth in Section 2.20(b). 
 “Business Day” means any day that is not a Saturday, Sunday or other day on which commercial banks in Boston, Massachusetts are
authorized or required by law to remain closed, provided that, when used in connection with a LIBO Loan, the term “Business Day” shall also exclude any day on which banks are not open for dealings in dollar deposits in the London
interbank market. Except as otherwise provided herein, if any day on which a payment is due is not a Business Day, then the payment shall be due on the next day following which is a Business Day and such extension of time shall be included in
computing interest and fees in connection with such payment. 
 “Capital Expenditures” means, with respect to any Person for
any period, (a) the additions to property, plant and equipment and other capital expenditures of the Loan Parties that are (or would be) set forth in a Consolidated statement of cash flows of the Loan Parties for such period prepared in
accordance with GAAP and (b) any assets acquired by a Capital Lease Obligation during such period. 
 “Capital Lease
Obligations” of any Person means the obligations of such Person to pay rent or other amounts under any lease of (or other arrangement conveying the right to use) real or personal property, or a combination thereof, which obligations are
required to be classified and accounted for as capital leases on a balance sheet of such Person under GAAP, and the amount of such obligations shall be the capitalized amount thereof determined in accordance with GAAP. 
 “Cash and Cash Equivalents” means (i) unrestricted cash, and (ii) Cash Equivalents. 
 “Cash Collateral Account” shall mean an interest-bearing account established by the Borrowers with the Collateral Agent at Bank of
America under the sole and exclusive dominion and control of the Collateral Agent designated as the “Wet Seal Cash Collateral Account”. 
 “Cash Dominion Event” means (i) the occurrence and continuance of any Event of Default, or (ii) the failure of the Borrowers to maintain Excess Availability in an amount not less than $10,000,000 at any time.

 “Cash Equivalents” means each of the following: (i) all investment products offered by Bank of America for overnight
investment of cash as of the Effective Date, and such additional overnight investments as may hereafter be offered by Bank of America or any successor to Bank of America, subject to the prior approval of the Administrative Agent, not to be
unreasonably 

  

 5 

 
withheld; (ii) Investments in money market funds maintained by Bank of America substantially all of whose assets are invested in the following types of
assets: (a) marketable direct obligations issued or unconditionally guaranteed by the United States or issued by any agency thereof and backed by the full faith and credit of the United States, in each case maturing within 1 year from the date
of acquisition thereof, (b) marketable direct obligations issued by any state of the United States or any political subdivision of any such state or any public instrumentality thereof maturing within 1 year from the date of acquisition thereof
and, at the time of acquisition, having one of the highest ratings obtainable from either S&P or Moody’s, (c) commercial paper maturing no more than 1 year from the date of acquisition thereof and, at the time of acquisition, having a
rating of A-1 or P-1, or better, from S&P or Moody’s, respectively, and (d) certificates of deposit or bankers’ acceptances maturing within 1 year from the date of acquisition thereof issued by any bank organized under the laws of
the United States having at the date of acquisition thereof combined capital and surplus of not less than $250,000,000, and; (iii) Investments in certificates of deposit or banker’s acceptances maturing within one year from the date of
acquisition, and overnight bank deposits, in each case issued by Bank of America; and (iv) Investments in deposit accounts in the ordinary course of business with Bank of America. 
 “Cash Receipts” has the meaning provided therefor in Section 2.22(c). 
 “CERCLA” means the Comprehensive Environmental Response, Compensation, and Liability Act, 42 U.S.C. § 9601 et seq. 
 “Change in Control” means, at any time, (a) during any period of twelve months, individuals who at the beginning of such period
constituted the board of directors of the Lead Borrower (together with any new directors whose election or appointment by such board of directors, or whose nomination for election by shareholders of the Lead Borrower, as the case may be, was
approved by a vote of a majority of the directors still in office who were either directors at the beginning of such period or whose election or nomination for election was previously so approved) cease for any reason to constitute a majority of the
board of directors then in office; or (b) any person or group (within the meaning of the Securities and Exchange Act of 1934, as amended) is or becomes the beneficial owner (within the meaning of Rule 13d-3 and 13d-5 of the Securities and
Exchange Act of 1934, as amended, except that such person shall be deemed to have “beneficial ownership” of all shares that such person has the right to acquire, whether such right is exercisable immediately or only after the passage of
time) directly or indirectly of more than fifty percent (50%) of the total then outstanding voting power of the Voting Stock of the Lead Borrower on a fully diluted basis, whether as a result of the issuance of securities of the Lead Borrower,
any merger, consolidation, liquidation or dissolution of the Lead Borrower, any direct or indirect transfers of securities or otherwise, or has the right or ability to Control the Lead Borrower; or (c) the Lead Borrower fails to own one hundred
percent (100%) of the capital stock of the other Loan Parties. Approval of less than one-half of the members of the board of directors by parties not approved in accordance with the terms provided for in subsection (a), above, shall not
constitute a Change in Control hereunder. 
 “Change in Law” means (a) the adoption of any law, rule or regulation
after the date of this Agreement, (b) any change in any law, rule or regulation or in the interpretation or application thereof by any Governmental Authority after the date of this Agreement or (c) compliance by any Lender or the Issuing
Bank (or, for purposes of Section 2.24(b), by any 

  

 6 

 
lending office of such Lender or by such Lender’s or the Issuing Bank’s holding company, if any) with any request, guideline or directive (whether
or not having the force of law) of any Governmental Authority made or issued after the date of this Agreement. 
 “Charges”
has the meaning provided therefor in Section 9.13. 
 “Code” means the Internal Revenue Code of 1986 and the Treasury
regulations promulgated thereunder, as amended from time to time. 
 “Collateral” means any and all “Collateral”
as defined in any applicable Security Document. 
 “Collateral Agent” means Bank of America, in its capacity as collateral
agent under the Security Documents. 
 “Commercial Letter of Credit” means any Letter of Credit issued for the purpose of
providing the primary payment mechanism in connection with the purchase of any materials, goods or services by the Borrowers in the ordinary course of business of the Borrowers. 
 “Commitment” shall mean, with respect to each Lender, the aggregate commitment of such Lender hereunder in the amount set forth opposite
its name on Schedule 1.1 hereto or as may subsequently be set forth in the Register from time to time, as the same may be reduced from time to time pursuant to Section 2.16. 
 “Commitment Increase” shall have the meaning set forth in Section 2.02(a). 
 “Commitment Increase Date” shall have the meaning set forth in Section 2.02(c). 
 “Commitment Percentage” shall mean, with respect to each Lender, that percentage of the Commitments of all Lenders hereunder in the
amount set forth opposite its name on Schedule 1.1 hereto or as may subsequently be set forth in the Register from time to time, as the same may be reduced from time to time pursuant to Section 2.16. 
 “Consent” means actual consent given by a Lender from whom such consent is sought; or the passage of seven (7) Business Days from
receipt of written notice to a Lender from the Administrative Agent of a proposed course of action to be followed by the Administrative Agent without such Lender’s giving the Administrative Agent written notice of that Lender’s objection
to such course of action. 
 “Consolidated” means, when used to modify a financial term, test, statement, or report of a
Person, the application or preparation of such term, test, statement or report (as applicable) based upon the consolidation, in accordance with GAAP, of the financial condition or operating results of such Person and its Subsidiaries. 
 “Consolidated EBITDA” means, with respect to any Person for a twelve (12) fiscal month period, the sum (without duplication) of
(a) Consolidated Net Income for such period, plus (b) depreciation and amortization for such period, plus (c) provisions for Taxes based on income that were deducted in determining Consolidated Net Income for such
period, plus (d)

  

 7 

 
Consolidated Interest Expense that was deducted in determining Consolidated Net Income for such period, plus (e) non-cash stock compensation
minus (f) extraordinary gains for such period. 
 “Consolidated Fixed Charge Coverage Ratio” means, with respect
to any Person for a twelve (12) fiscal month period, the ratio of (a) (i) Consolidated EBITDA for such period, plus (ii) Consolidated Rent Expense during such period, minus (ii) Capital Expenditures made during such
period, minus (iv) cash income taxes paid during such period, to (b) (i) Debt Service Charges during such period, plus (ii) Restricted Payments made during such period, all as determined on a Consolidated basis in
accordance with GAAP. 
 “Consolidated Interest Expense” means, with respect to any Person for a twelve (12) fiscal
month period, total interest expense (including that attributable to Capital Lease Obligations in accordance with GAAP, but exclusive of non-cash interest expense) of such Person on a Consolidated basis with respect to all outstanding Indebtedness
of such Person, including, without limitation, the Obligations and all commissions, discounts and other fees and charges owed with respect thereto, all as determined on a Consolidated basis in accordance with GAAP. 
 “Consolidated Net Income” means, with respect to any Person for a twelve (12) fiscal month period, the net income (or loss) of such
Person on a Consolidated basis for such period taken as a single accounting period determined in accordance with GAAP; provided, however, that there shall be excluded (i) the income (or loss) of such Person in which any other
Person has a joint interest, except to the extent of the amount of dividends or other distributions actually paid to such Person during such period, (ii) the income (or loss) of such Person accrued prior to the date it becomes a Subsidiary of a
Person or any of such Person’s Subsidiaries or is merged into or consolidated with a Person or any of its Subsidiaries or that Person’s assets are acquired by such Person or any of its Subsidiaries, and (iii) the income of any direct
or indirect Subsidiary of a Person to the extent that the declaration or payment of dividends or similar distributions by that Subsidiary of that income is not at the time permitted by operation of the terms of its Organizational Documents or any
agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to that Subsidiary. 
 “Consolidated Rent Expense” means, with respect to any Person for a twelve (12) fiscal month period, all obligations of such Person in respect of base, percentage and other rent expensed during such period under any
rental agreements that cannot be cancelled upon thirty (30) days or less notice or leases of real property with third parties (other than Capital Lease Obligations), all as determined on a Consolidated basis in accordance with GAAP. 

“Control” means the possession, directly or indirectly, of the power (a) to vote more than 50% of the securities having ordinary
voting power for the election of directors of a Person, or (b) to direct or cause the direction of the management or policies of a Person, whether through the ability to exercise voting power, by contract or otherwise. The terms
“Controlling” and “Controlled” have meanings correlative thereto. 
 “Convertible Note
Indebtedness” has the meaning set forth in Section 6.01(i). 
 “Convertible Notes” means the notes issued
pursuant to the Indenture. 
  

 8 

 “Credit Card Advance Rate” means 85%. 
 “Credit Card Agreements” has the meaning provided therefor in Section 2.22(c). 
 “Credit Extensions” as of any day, shall be equal to the sum of (a) the principal balance of all Loans then outstanding, and
(b) the then amount of the Letter of Credit Outstandings. 
 “DDAs” means any checking or other demand deposit account
maintained by any Borrower. 
 “DDA Notification” has the meaning provided therefor in Section 2.22(c). 
 “Debt Service Charges” means for any period, the sum of (i) Consolidated Interest Expense, plus (ii) Consolidated Rent
Expense for such period, plus (iii) principal payments made or required to be made on account of Indebtedness (excluding inter-company Indebtedness)(including, without limitation, on account of Capital Lease Obligations) for such period,
in each case determined in accordance with GAAP. 
 “Default” means any event or condition that constitutes an Event of
Default or that upon notice, lapse of time or both would, unless cured or waived, become an Event of Default. 
 “Delinquent
Lender” has the meaning therefor provided in Section 8.14. 
 “dollars” or “$” refers to
lawful money of the United States of America. 
 “Effective Date” means the date upon which the conditions precedent set
forth in Article IV of this Agreement have been satisfied or waived and the first Revolving Credit Loans may be made and L/Cs may be issued hereunder. 
 “Eligible Assignee” means a bank, insurance company, or company engaged in the business of making commercial loans having a combined capital and surplus in excess of $300,000,000, or any Affiliate of
any Lender, or a Related Fund of any Lender, or any Person to whom a Lender assigns its rights and obligations under this Agreement as part of an assignment and transfer of such Lender’s rights in and to a material portion of such Lender’s
portfolio of asset based credit facilities. For the purposes of this Agreement, “Related Fund” shall mean, with respect to any Lender which is a fund that invests in loans, any other such fund managed by the same investment advisor as such
Lender or by an Affiliate of such Lender or such advisor. 
 “Eligible Cash and Cash Equivalents” means Cash and Cash
Equivalents of the Borrowers, acceptable to the Administrative Agent, in its reasonable discretion, subject to a first perfected security interest in favor of the Collateral Agent for the benefit of itself and the Secured Parties, maintained in such
accounts under the control of the Collateral Agent, on terms and conditions reasonably satisfactory to the Collateral Agent. 
 “Eligible Credit Card Receivables” means Accounts due to a Borrower on a non-recourse basis from Visa, MasterCard, American Express Co., Discover, and other major credit card processors reasonably acceptable to the
Administrative Agent as arise in the ordinary course of business, which have been earned by performance and are deemed by the Administrative Agent 

  

 9 

 
in its reasonable discretion to be eligible for inclusion in the calculation of the Borrowing Base. Without limiting the foregoing, unless otherwise approved
in writing by the Administrative Agent, none of the following shall be deemed to be Eligible Credit Card Receivables: 
 (a)
Accounts that have been outstanding for more than five (5) Business Days from the date of sale; 
 (b) Accounts with
respect to which a Borrower does not have good, valid and marketable title thereto, free and clear of any Lien (other than Liens granted to the Collateral Agent, for its benefit and the ratable benefit of the Secured Parties, pursuant to the
Security Documents); 
 (c) Accounts that are not subject to a first priority security interest in favor of the Collateral
Agent, for the benefit of itself and the Secured Parties (it being the intent that chargebacks in the ordinary course by the credit card processors shall not be deemed violative of this clause); 
 (d) Accounts which are disputed, are with recourse (other than standard chargeback rights), or with respect to which a claim,
counterclaim, offset or chargeback has been asserted (to the extent of such claim, counterclaim, offset or chargeback); 
 (e)
Accounts which the Administrative Agent determines in its reasonable discretion to be uncertain of collection. 
 “Eligible
In-Transit Inventory” shall mean, as of the date of determination thereof, without duplication of other Eligible Inventory, Inventory (a) which has been shipped from a foreign location for receipt by a Borrower within sixty
(60) days of the date of determination, but which has not yet been delivered to a Borrower, (b) for which payment has been made by a Borrower and title has passed to a Borrower, (c) for which the document of title reflects a Borrower
or Bank of America as consignee (along with delivery to such Borrower of the documents of title with respect thereto), (d) as to which the Collateral Agent has control over the documents of title which evidence ownership of the subject
Inventory (such as, if requested by the Collateral Agent, by the delivery of a customs broker agency agreement, satisfactory to the Collateral Agent), and (e) which otherwise would constitute Eligible Inventory. 
 “Eligible Inventory” shall mean, as of the date of determination thereof, (a) Eligible In- Transit Inventory, (b) Eligible L/C
Inventory, and (c) items of Inventory of the Borrowers that are finished goods, merchantable and readily saleable to the public in the ordinary course deemed by the Administrative Agent in its reasonable discretion to be eligible for inclusion
in the calculation of the Borrowing Base. Without limiting the foregoing, unless otherwise approved in writing by the Administrative Agent, none of the following shall be deemed to be Eligible Inventory: 
 (a) Inventory that is not owned solely by a Borrower, or is leased or on consignment or a Borrower does not have good and valid title
thereto; 
  

 10 

 (b) Inventory (other than Eligible In-Transit Inventory and Eligible L/C Inventory) that
is not located at a distribution center used by a Borrower in the ordinary course or at a property that is owned or leased by a Borrower; 
 (c) Inventory that represents (i) goods damaged, defective or otherwise unmerchantable, (ii) goods that do not conform in all material respects to the representations and warranties contained in this
Agreement or any of the Security Documents, or (iii) goods to be returned to the vendor; 
 (d) Inventory that is not
located in the United States of America (excluding territories and possessions thereof) other than Eligible In-Transit Inventory and Eligible L/C Inventory; 
 (e) Inventory that is not subject to a perfected first-priority security interest in favor of the Collateral Agent for the benefit of the
Secured Parties; 
 (f) Inventory which consists of supplies, samples, labels, bags, packaging, and other similar
non-merchandise categories; 
 (g) Inventory as to which insurance in compliance with the provisions of Section 5.07
hereof is not in effect; or 
 (h) Inventory which has been sold but not yet delivered or as to which the Borrower has
accepted a deposit. 
 “Eligible L/C Inventory” shall mean, as of the date of determination thereof, without duplication of
other Eligible Inventory, Inventory (a) not yet delivered to a Borrower, (b) the purchase of which is supported by a Commercial Letter of Credit having an expiry within sixty (60) days of such date of determination, (c) for which
the document of title reflects a Borrower or Bank of America as consignee (along with delivery to such Borrower of the documents of title with respect thereto), (d) as to which the Collateral Agent has control over the documents of title which
evidence ownership of the subject Inventory (such as, if requested by the Collateral Agent, by the delivery of a customs broker agency agreement, satisfactory to the Collateral Agent), and (e) which otherwise would constitute Eligible
Inventory. 
 “Eligible Short Term Securities” means Short Term Securities of the Borrowers, acceptable to the
Administrative Agent, in its reasonable discretion, subject to a first perfected security interest in favor of the Collateral Agent for the benefit of itself and the Secured Parties, maintained in such accounts under the control of the Collateral
Agent, on terms and conditions reasonably satisfactory to the Collateral Agent. 
 “Environmental Laws” means all laws,
rules, regulations, codes, ordinances, orders, decrees, judgments, injunctions, notices or binding agreements issued, promulgated or entered into by or with any Governmental Authority, relating in any way to the environment, preservation or
reclamation of natural resources, handling, treatment, storage, disposal, Release or threatened Release of any Hazardous Material or to health and safety matters. 
  

 11 

 “Environmental Liability” means any liability, contingent or otherwise (including any
liability for damages, natural resource damage, costs of environmental remediation, administrative oversight costs, fines, penalties or indemnities), of any Person directly or indirectly resulting from or based upon (a) violation of any
Environmental Law, (b) the generation, use, handling, transportation, storage, treatment or disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the Release or threatened Release of any Hazardous Materials
into the environment or (e) any contract, agreement or other consensual arrangement pursuant to which liability is assumed or imposed with respect to any of the foregoing. 
 “Equity Fees” means, collectively, (a) any Registration Delay Payments (as such term is defined in the 2005 Registration Rights
Agreement) required to be paid pursuant to Section 2(f) of the 2005 Registration Rights Agreement, plus (b) any amounts required to be paid as a result of any failure by the Lead Borrower to timely issue and deliver or register the shares
of Common Stock on the Lead Borrower’s share register or to credit a holder’s balance account with The Depository Trust Company, to which any holder is entitled upon such holder’s exercise of any 2005 Warrant pursuant to
Section 1(c) of each 2005 Warrant, plus (c) any amounts required to be paid as a result of any failure by the Lead Borrower to credit a holder’s balance account with The Depository Trust Company or to issue and deliver a certificate
to a holder for the number of Common Shares to which such holder is entitled upon the conversion of Preferred Shares, or to issue and deliver a new Preferred Stock Certificate representing the number of Preferred Shares to which a holder is
entitled, pursuant to Section 2(d)(v) of the 2005 Certificate of Designations, all such fees set forth in clauses (a), (b) and (c) herein in an amount not to exceed $250,000 in the aggregate in any calendar year. 
 “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 trade or business (whether or not incorporated) that, together
with the Lead Borrower, is treated as a single employer under Section 414(b) or (c) of the Code or, solely for purposes of Section 302 of ERISA and Section 412 of the Code, is treated as a single employer under Section 414
of the Code. 
 “ERISA Event” means (a) any “reportable event”, as defined in Section 4043 of ERISA or
the regulations issued thereunder with respect to a Plan (other than an event for which the 30-day notice period is waived); (b) the existence with respect to any Plan of an “accumulated funding deficiency” (as defined in
Section 412 of the Code or Section 302 of ERISA), whether or not waived; (c) the filing pursuant to Section 412(d) of the Code or Section 303(d) of ERISA of an application for a waiver of the minimum funding standard with
respect to any Plan; (d) the incurrence by the Lead Borrower or any of its ERISA Affiliates of any liability under Title IV of ERISA with respect to the termination of any Plan; (e) the receipt by the Lead Borrower or any ERISA Affiliate
from the PBGC or a plan administrator of any notice relating to an intention to terminate any Plan or Plans or to appoint a trustee to administer any Plan; (f) the incurrence by the Lead Borrower or any of its ERISA Affiliates of any liability
with respect to the withdrawal or partial withdrawal from any Plan or Multiemployer Plan; or (g) the receipt by the Lead Borrower or any ERISA Affiliate of any notice, or the receipt by any Multiemployer Plan from the Lead Borrower or any ERISA
Affiliate of any notice, concerning the imposition of 

  

 12 

 
Withdrawal Liability or a determination that a Multiemployer Plan is, or is expected to be, insolvent or in reorganization, within the meaning of Title IV of
ERISA. 
 “Event of Default” has the meaning assigned to such term in Section 7.01. An “Event of Default”
shall be deemed to have occurred and to be continuing unless and until that Event of Default has been duly waived or cured as provided herein. 
 “Excess Availability” means, as of any date of determination, the excess, if any, of (a) the Borrowing Base, less (b) the outstanding Revolving Loan Credit Extensions. 
 “Excluded Taxes” means, with respect to the Agents, any Lender, the Issuing Bank or any other recipient of any payment to be made by or
on account of any obligation of the Borrowers hereunder, (a) income or franchise Taxes imposed on (or measured by) its gross or net income by the United States of America, or by the jurisdiction under the laws of which such recipient is
organized or in which its principal office is located or, in the case of any Lender, in which its applicable lending office is located, (b) any branch profits Taxes imposed by the United States of America or any similar Tax imposed by any other
jurisdiction in which a Borrower is located and (c) in the case of a Foreign Lender (other than an assignee pursuant to a request by a Borrower under Section 2.28(b)), any withholding Tax that (i) is imposed on amounts payable to such
Foreign Lender at the time such Foreign Lender becomes a party to this Agreement (or designates a new lending office), except to the extent that such Foreign Lender (or its assignor, if any) was entitled, at the time of designation of a new lending
office (or assignment), to receive additional amounts from a Borrower with respect to such withholding Tax pursuant to Section 2.27(a), or (ii) is attributable to such Foreign Lender’s failure to comply with Sections 2.27(e) or (f).

 “Existing Agent” has the meaning set forth in the Recitals. 
 “Existing Loan Agreement” has the meaning set forth in the Recitals. 
 “Facility Guarantee” means the Guarantee executed by the Facility Guarantors in favor of the Agents, the Issuing Bank and the Lenders.

 “Facility Guarantors” means each of the Subsidiaries of the Lead Borrower (other than any Borrower), now existing or
hereafter created, other than Foreign Subsidiaries and the Borrowers. 
 “Facility Guarantors Collateral Documents” means
all security agreements, mortgages, pledge agreements, deeds of trust, and other instruments, documents or agreements executed and delivered by any Facility Guarantor to secure the Facility Guarantee. 
 “Federal Funds Effective Rate” means, for any day, the weighted average (rounded upwards, if necessary, to the next 1/100 of 1%) of the
rates on overnight Federal funds transactions with members of the Federal Reserve System arranged by Federal funds brokers, as published on the next succeeding 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 (rounded upwards, if necessary, to the next 1/100 of 1%) of the quotations for such day for such transactions received 

  

 13 

 
by the Administrative Agent from three Federal funds brokers of recognized standing selected by it. 
 “Financial Officer” means, with respect to the Borrowers, the chief financial officer, treasurer, controller or assistant controller of
the Lead Borrower. 
 “Fiscal Quarter” means any fiscal quarter of any Fiscal Year, which quarters shall generally end on
the Saturday nearest to the last day of each January, April, July or October of such Fiscal Year in accordance with the fiscal accounting calendar of the Borrowers. 
 “Fiscal Year” means any period of twelve consecutive months ending on the Saturday nearest to the last day of January of any calendar year. 
 “Foreign Lender” means any Lender that is organized under the laws of a jurisdiction other than the United States of America or any
State thereof or the District of Columbia. 
 “Foreign Subsidiary” means any Subsidiary (a) that is organized under the
laws of a jurisdiction other than the United States of America or any State thereof or the District of Columbia, (b) that conducts the major portion of its business outside of the United States, and (c) all or substantially all of the
property and assets of which are located outside of the United States. 
 “GAAP” means principles which are
(a) consistent with those promulgated or adopted by the Financial Accounting Standards Board and its predecessors (or successors) in effect and applicable to that accounting period in respect of which reference to GAAP is being made, and
(b) consistently applied with past financial statements of the Lead Borrower and its Subsidiaries adopting the same principles. 
 “Gift Certificates and Merchandise Credit Liability” means, at any time, the aggregate face value at such time of (a) outstanding gift certificates and gift cards of the Borrowers entitling the holder thereof to use
all or a portion of the certificate to pay all or a portion of the purchase price for any Inventory, and (b) outstanding merchandise credits of the Borrowers; each as recorded in the financial statements of the Borrowers, as filed with the SEC.

 “Governmental Authority” means the government of the United States of America, any other nation or any political
subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or
pertaining to government. 
 “Guarantee” of or by any Person (the “guarantor”) means any obligation,
contingent or otherwise, of the guarantor guaranteeing or having the economic effect of guaranteeing any Indebtedness or other obligation of any other Person (the “primary obligor”) in any manner, whether directly or indirectly, and
including any obligation of the guarantor, direct or indirect, (a) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other obligation or to purchase (or to advance or supply funds for the
purchase of) any security for the payment thereof, (b) to purchase or lease property, securities or services for the purpose of assuring the owner of such Indebtedness or other obligation of the payment 

  

 14 

 
thereof, (c) to maintain working capital, equity capital or any other financial statement condition or liquidity of the primary obligor so as to enable
the primary obligor to pay such Indebtedness or other obligation or (d) as an account party in respect of any letter of credit or letter of guaranty issued to support such Indebtedness or obligation, provided that the term
“Guarantee” shall not include endorsements for collection or deposit in the ordinary course of business. 
 “Hazardous
Materials” means all explosive or radioactive substances or wastes and all hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum distillates, asbestos or asbestos containing materials, polychlorinated
biphenyls, radon gas, infectious or medical wastes, mold, fungi or similar bacteria, and all other substances or wastes of any nature regulated pursuant to any Environmental Law, including any material listed as a hazardous substance under
Section 101(14) of CERCLA. 
 “Hedging Agreement” means any interest rate protection agreement, interest rate swap
agreement, interest rate cap agreement, interest rate collar agreement, foreign currency exchange agreement, commodity price protection agreement, or other interest or currency exchange rate or commodity price hedging arrangement designed to hedge
against fluctuations in interest rates or foreign exchange rates. 
 “Indebtedness” of any Person means, without
duplication, (a) all obligations of such Person for borrowed money (including any obligations which are without recourse to the credit of such Person) or with respect to deposits or advances of any kind, (b) all obligations of such Person
evidenced by bonds, debentures, notes or similar instruments, (c) all obligations of such Person upon which interest charges are customarily paid (excluding current accounts payable incurred in the ordinary course of business), (d) all
obligations of such Person under conditional sale or other title retention agreements relating to property acquired by such Person, (e) all obligations of such Person in respect of the deferred purchase price of property or services (excluding
current accounts payable incurred in the ordinary course of business), (f) all Indebtedness of others secured by (or for which the holder of such Indebtedness has an existing right, contingent or otherwise, to be secured by) any Lien on
property owned or acquired by such Person, whether or not the Indebtedness secured thereby has been assumed, (g) all Guarantees by such Person of Indebtedness of others, (h) all Capital Lease Obligations of such Person, (i) all
obligations, contingent or otherwise, of such Person as an account party in respect of letters of credit and letters of guaranty (j) all obligations, contingent or otherwise, of such Person in respect of bankers’ acceptances, (k) all
Hedging Agreements (provided that for purposes hereof the amount of Indebtedness in respect of any Hedging Agreement at any time shall equal the maximum aggregate net amount that a Borrower would be required to pay if such Hedging Agreement were
terminated at that time), and (l) the principal and interest portions of all rental obligations of such Person under any Synthetic Lease, Tax retention operating lease, off-balance sheet loan or similar off-balance sheet financing where such
transaction is considered borrowed money indebtedness for Tax purposes but is classified as an operating lease in accordance with GAAP. The Indebtedness of any Person shall include the Indebtedness of any other entity (including any partnership in
which such Person is a general partner) to the extent such Person is liable therefor as a result of such Person’s ownership interest in or other relationship with such entity, except to the extent the terms of such Indebtedness provide that
such Person is not liable therefor. 
  

 15 

 “Indemnified Taxes” means Taxes other than Excluded Taxes. 
 “Indenture” means that certain Indenture, dated as of January 14, 2005, between the Lead Borrower and The Bank of New York.

 “Indemnitee” has the meaning provided therefor in Section 9.03(b). 
 “Interest Payment Date” means (a) with respect to any Prime Rate Loan (including a Swingline Loan), the first day of each calendar
month, and (b) with respect to any LIBO Loan, the last day of the Interest Period applicable to the Borrowing of which such Loan is a part, and, in addition, if such LIBO Loan has an Interest Period of greater than three (3) months, the
last day of the third month of such Interest Period. 
 “Interest Period” means, with respect to any LIBO Borrowing, the
period commencing on the date of such Borrowing and ending on the numerically corresponding day in the calendar month that is one, two, three or six months thereafter, as the Lead Borrower may elect by notice to the Administrative Agent in
accordance with the provisions of this Agreement, provided that (a) if any Interest Period would end on a day other than a Business Day, such Interest Period shall be extended to the next succeeding Business Day unless such next
succeeding Business Day would fall in the next calendar month, in which case such Interest Period shall end on the next preceding Business Day, and (b) any Interest Period that commences on the last Business Day of a calendar month (or on a day
for which there is no numerically corresponding day in the last calendar month during which such Interest Period ends) shall end on the last Business Day of the last calendar month of such Interest Period, (c) any Interest Period which would
otherwise end after the Termination Date shall end on the Termination Date, and (d) notwithstanding the provisions of clause (c), no Interest Period shall, unless approved by the Administrative Agent and all of the Revolving Credit Lenders,
have a duration of less than one month, and if any Interest Period applicable to a LIBO Borrowing would be for a shorter period, such Interest Period shall not be available hereunder. For purposes hereof, the date of a Borrowing initially shall be
the date on which such Borrowing is made and thereafter shall be the effective date of the most recent conversion or continuation of such Borrowing. 
 “Inventory” has the meaning assigned to such term in the Security Agreement. 
 “Inventory Reserves” means such reserves as may be established from time to time by the Administrative Agent in the Administrative Agent’s reasonable discretion with respect to the determination of the saleability, at
retail, of the Eligible Inventory or which reflect such other factors as affect the market value of the Eligible Inventory. Without limiting the generality of the foregoing, Inventory Reserves may include (but are not limited to) reserves based on
obsolescence or Shrink, or reasonably required by the Administrative Agent to protect Collateral value based upon changes to the ordinary course business of the Borrowers. 
 “Investment” means (a) any stock, evidence of Indebtedness or other security, including any option, warrant or other right to
acquire any of the foregoing, of another Person, (b) any loan, advance, contribution to capital, extension of credit (except for current trade and customer accounts receivable for inventory sold or services rendered in the ordinary course of
business and payable in accordance with customary trade terms) to another Person, (c) any purchase of (i)

  

 16 

 
stock or other securities of another Person, or (ii) any business or undertaking of any Person (whether by purchase of assets or securities in one
transaction or a series of transactions), (d) any commitment or option to make any such purchase, or (e) any other investment, in all cases whether now existing or hereafter made. 
 “Issuing Bank” means Bank of America, in its capacity as the issuer of Letters of Credit hereunder, and any successor to Bank of America
in such capacity (which may only be a Revolving Credit Lender selected by the Administrative Agent in its discretion, including, without limitation, Bank of America). The Issuing Bank may, in its discretion, arrange for one or more Letters of Credit
to be issued by Affiliates of the Issuing Bank, in which case the term “Issuing Bank” shall include any such Affiliate with respect to Letters of Credit issued by such Affiliate. 
 “L/C Disbursement” means a payment made by the Issuing Bank pursuant to a Letter of Credit. 
 “Lead Borrower” means The Wet Seal, Inc. 
 “Lease” means any agreement, whether written or oral, no matter how styled or structured, pursuant to which any Borrower is entitled to the use or occupancy of any space in a structure, land,
improvements or premises for any period of time. 
 “Lenders” shall mean, collectively, the Revolving Credit Lenders.

 “Letter of Credit” shall mean a letter of credit that is (i) issued pursuant to this Agreement for the account of a
Borrower, (ii) a Standby Letter of Credit or Commercial Letter of Credit, (iii) issued in connection with the purchase of Inventory by a Borrower and for other purposes for which a Borrower has historically obtained letters of credit, or
for any other purpose that is reasonably acceptable to the Administrative Agent, and (iv) in form and substance reasonably satisfactory to the Issuing Bank. 
 “Letter of Credit Fees” shall mean the fees payable in respect of Letters of Credit pursuant to Section 2.14. 
 “Letter of Credit Outstandings” shall mean, at any time, the sum of (a) with respect to Letters of Credit outstanding at such time, the aggregate maximum amount that then is or at any time
thereafter may become available for drawing or payment thereunder plus (b) all amounts theretofore drawn or paid under Letters of Credit for which the Issuing Bank has not then been reimbursed. 
 “LIBO Borrowing” shall mean a Borrowing comprised of LIBO Loans. 
 “LIBO Loan” shall mean any Loan bearing interest at a rate determined by reference to the Adjusted LIBO Rate in accordance with the
provisions of Article II. 
 “LIBO Rate” means, with respect to any LIBO Borrowing for any Interest Period, the rate of
interest (rounded upwards, if necessary, to the next 1/16 of 1%) per annum at which deposits in dollars are offered by banks in the London interbank market, appearing on Reuters 

  

 17 

 
Screen FRBD as of 11:00 a.m. (London time) two (2) Business Days before the first day of the Interest Period for the subject LIBO Borrowing, for a
deposit approximately in the amount of the subject Borrowing and for a period of time approximately equal to such Interest Period; provided, however, if the rate described above does not appear on the Reuters System on any applicable interest
determination date, the LIBO Rate shall be the rate (rounded upward, if necessary, to the nearest 1/16 of one percent (1%)), determined on the basis of the offered rates for deposits in dollars for a period of time comparable to such Interest Period
which are offered to the Administrative Agent by two (2) major banks in the London interbank market as selected by Administrative Agent at approximately 11:00 a.m. London time, on the day that is two (2) Business Days preceding the first
day of such Interest Period. In the event that the Administrative Agent is unable to obtain any such quotation as provided above, it will be deemed that a LIBO Rate pursuant to a LIBO Borrowing cannot be obtained. 
 “Lien” means, with respect to any asset, (a) any mortgage, deed of trust, lien, pledge, hypothecation, encumbrance, charge or
security interest in, on or of such asset, (b) the interest of a vendor or a lessor under any conditional sale agreement, capital lease or title retention agreement (or any financing lease having substantially the same economic effect as any of
the foregoing) relating to such asset and (c) in the case of securities, any purchase option, call or similar right of a third party with respect to such securities. 
 “Liquidation” shall mean the exercise, by the Administrative Agent, of those rights and remedies accorded to the Administrative Agent under the Loan Documents and Applicable Law as a creditor of the
Loan Parties following and on account of the occurrence of an Event of Default looking towards the realization on the Collateral. 
 “Loan Ceiling” means $35,000,000, as such amount may be modified in accordance with the terms of this Agreement. 
 “Loan Documents” means this Agreement, the Notes, the Letters of Credit, all Borrowing Base Certificates, the Blocked Account Agreements, the DDA Notifications, the Credit Card Agreements, the Security Documents, the
Facility Guarantee, the Facility Guarantors Collateral Documents, and any other instrument or agreement now or hereafter executed and delivered in connection herewith, each as amended and in effect from time to time. 
 “Loan Party” or “Loan Parties” means the Borrowers and the Facility Guarantors. 
 “Loans” shall mean all loans at any time made to the Borrowers or for account of the Borrowers pursuant to this Agreement. 

“Margin Stock” has the meaning assigned to such term in Regulation U. 
 “Material Adverse Effect” means a material adverse effect on (a) the business, operations, property, assets, or condition,
financial or otherwise, of the Lead Borrower and its Subsidiaries taken as a whole, (b) the ability of the Loan Parties to perform any material obligation or to pay any Obligations under this Agreement or any of the other Loan Documents, or
(c) the validity or enforceability of this Agreement or any of the other Loan Documents or any of the material rights or remedies of the Administrative Agent, the Collateral Agent or the Lenders hereunder or thereunder. In determining whether
any individual event would result in a 

  

 18 

 
Material Adverse Effect, notwithstanding that such event in and of itself does not have such effect, a Material Adverse Effect shall be deemed to have
occurred if the cumulative effect of such event and all other then existing events would result in a Material Adverse Effect. 
 “Material Indebtedness” means Indebtedness (other than the Loans and Letters of Credit) of any one or more of the Borrowers in an aggregate principal amount exceeding $20,000,000. For purposes of determining the amount of
Material Indebtedness at any time, the “principal amount” of the obligations in respect of any Hedging Agreement at such time shall be the maximum aggregate amount that a Borrower would be required to pay if such Hedging Agreement were
terminated at that time. 
 “Maturity Date” means May 31, 2011. 
 “Maximum Rate” has the meaning provided therefor in Section 9.13. 
 “Minimum Required Excess Availability” means Excess Availability at all times of not less than $5,000,000. 
 “Minority Revolving Credit Lenders” has the meaning provided therefor in Section 9.02(d). 
 “Moody’s” means Moody’s Investors Service, Inc. 
 “Multiemployer Plan” means a multiemployer plan as defined in Section 4001(a)(3) of ERISA to which the Lead Borrower or any ERISA Affiliate is making or accruing an obligation to make
contributions, or has within the preceding five plan years made or accrued an obligation to make contributions. 
 “Multiple Employer
Plan” means a single employer plan, as defined in Section 4001(a)(15) of ERISA, that (a) is maintained for employees of the Lead Borrower or any of its Subsidiaries or any ERISA Affiliate and at least one Person other than the
Lead Borrower, any Subsidiary or the ERISA Affiliate or (b) was so maintained and in respect of which the Lead Borrower, any Subsidiary 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. 
 “Notes” shall mean (i) the promissory notes of the Borrowers substantially in the
form of Exhibit B-1, each payable to the order of a Revolving Credit Lender, evidencing the Revolving Credit Loans, and (ii) the promissory note of the Borrowers substantially in the form of Exhibit B-2, payable to the Swingline Lender,
evidencing the Swingline Loans. 
 “Obligations” means (a) the due and punctual payment by the Loan Parties of
(i) the principal of, and interest (including all interest that accrues after the commencement of any case or proceeding by or against any Loan Party under any federal or state bankruptcy, insolvency, receivership or similar law, whether or not
allowed in such case or proceeding) on the Loans, as and when due, whether at maturity, by acceleration, upon one or more dates set for prepayment or otherwise, (ii) each payment required to be made by the Loan Parties under the Credit
Agreement in respect of any Letter of Credit, when and as due, including payments in respect of reimbursement of disbursements, interest thereon and obligations to provide cash collateral and 

  

 19 

 
(iii) all other monetary obligations, including fees, costs, expenses and indemnities, whether primary, secondary, direct, contingent, fixed or otherwise, of
the Loan Parties to the Secured Parties under the Credit Agreement and the other Loan Documents, (b) the due and punctual performance of all covenants, agreements, obligations and liabilities of the Loan Parties under or pursuant to the Credit
Agreement and the other Loan Documents, (c) any Hedging Agreements which are permitted pursuant to Section 6.01 (f) hereof, and (d) any transaction with Bank of America, or any of its Affiliates, which arises out of any cash
management, depository, investment, letter of credit, or other banking or financial services provided by any such Person. 
 “Organizational Document” means, relative to any Loan Party, its partnership agreement, its certificate of incorporation, its by-laws and all shareholder or equity holder agreements, voting trusts and similar arrangements
to which such Loan Party is a party or which is applicable to its capital stock, its partnership agreement and all other arrangements relating to the control or management of such entity. 
 “Other Taxes” means any and all current or future stamp or documentary Taxes or any other excise or property Taxes, charges or similar
levies arising from any payment made under any Loan Document or from the execution, delivery or enforcement of, or otherwise with respect to, any Loan Document. 
 “Overadvance” means, at any time of calculation, a circumstance in which the Revolving Loan Credit Extensions exceed the least of (a) the Revolving Loan Credit Commitments or (b) the
Borrowing Base. 
 “PBGC” means the Pension Benefit Guaranty Corporation referred to and defined in ERISA and any successor
entity performing similar functions. 
 “Permitted Acquisition” means an Acquisition in which each of the following
conditions are satisfied: 
  

	 	(a)	No Default or Event of Default then exists or would arise from the consummation of such Acquisition; 

  

	 	(b)	Such Acquisition shall have been approved by the Board of Directors of the Person (or similar governing body if such Person is not a corporation) which is the subject of such
Acquisition and such Person shall not have announced that it will oppose such Acquisition or shall not have commenced any action which alleges that such Acquisition will violate Applicable Law; 

  

	 	(c)	If the purchase price relating to the Acquisition is less than $25,000,000 and (i) there are no Revolving Credit Loans then outstanding; and (ii) Cash and Cash Equivalents
pledged to the Collateral Agent as Collateral and invested in a control account at Bank of America or its Affiliate, are in excess of $15,000,000; 

  

	 	(d)	 If the purchase price relating to the Acquisition is equal to or in excess of $25,000,000 or Revolving Credit Loans will be made to finance such Acquisition,
(i) the Lead Borrower shall have furnished the Administrative Agent with fifteen [15] days’ notice prior to the closing date of such intended Acquisition and shall 

  

 20 

	 	 
have furnished the Administrative Agent with a current draft of the acquisition agreement and other acquisition documents relating to the Acquisition, a
summary of any due diligence undertaken by the Borrowers in connection with such Acquisition, appropriate financial statements of the Person which is the subject of such Acquisition, pro forma projected financial statements for the twelve
(12) month period following such Acquisition after giving effect to such Acquisition (including balance sheets, cash flows and income statements by month for the acquired Person, individually, and on a Consolidated basis with all Loan Parties)
and such other information as the Administrative Agent shall reasonably request, and (ii) the Lead Borrower shall demonstrate to the satisfaction of the Administrative Agent that (A) after giving effect to the payment of the purchase price
of such Acquisition and on a pro forma basis for the next 12 month period, based upon delivery by the Lead Borrower of a business plan reasonably satisfactory to the Administrative Agent, in its reasonable discretion, the Borrower shall have minimum
Excess Availability of not less than $10,000,000, and (B) the Borrowers’ Consolidated Fixed Charge Coverage Ratio, on a trailing twelve (12) month basis based upon the most recent financial statements furnished, and as projected on a
pro-forma basis for the four (4) quarters following payment of the purchase price of such Acquisition, will be equal to or greater than 1.0:1.0; and 

  

	 	(e)	If the Person which is the subject of such Acquisition will be maintained as a Subsidiary of a Borrower, or if the assets acquired in an acquisition will be transferred to a
Subsidiary which is not a then Borrower, such Subsidiary shall have been joined as a “Loan Party” hereunder, as required by Section 5.13. 

 “Permitted Encumbrances” means: 
 (a) Liens imposed by law for Taxes that
are not yet due or are being contested in compliance with Section 5.05; 
 (b) carriers’, warehousemen’s,
mechanics’, materialmen’s, repairmen’s and other like Liens imposed by law, arising in the ordinary course of business and securing obligations that are not overdue by more than 30 days or are being contested in compliance with
Section 5.05; 
 (c) pledges and deposits made in the ordinary course of business in compliance with workers’
compensation, unemployment insurance and other social security laws or regulations; 
 (d) deposits to secure the performance
of bids, trade contracts, leases, statutory obligations, surety and appeal bonds, performance bonds and other obligations of a like nature, in each case in the ordinary course of business; 
 (e) judgment liens in respect of judgments that do not constitute an Event of Default under Section 7.01(k); and 
  

 21 

 (f) easements, zoning restrictions, rights-of-way and similar encumbrances on real
property imposed by law or arising in the ordinary course of business that do not secure any monetary obligations and do not materially detract from the value of the affected property or interfere with the ordinary conduct of business of a Borrower
or any Subsidiary; 
 provided that, except as provided in any one or more of clauses (a) through (f) above, the term “Permitted
Encumbrances” shall not include any Lien securing Indebtedness. 
 “Permitted Investments” means each of the following:

 (a) direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the
United States of America (or by any agency thereof to the extent such obligations are backed by the full faith and credit of the United States of America), and municipal securities with an “AA” long-term credit rating obtainable from
S&P and/or from Moody’s, including pre-funded municipal bonds escrowed to maturity and guaranteed by the securities issued by the United States of America (or by any agency thereof); 
 (b) Investments in commercial paper (taxable and tax-exempt); 
 (c) Investments in (i) securities issued by a corporation (other than a Loan Party or an Affiliate of a Loan Party) and denominated
in U.S. Dollars maturing within three (3) years from the date of acquisition thereof and having, at such date of acquisition, the long-term credit rating of “A/A” or the short-term credit rating of “A1/P1 SP1/MIG-1” or
better obtainable from S&P and/or from Moody’s, (ii) securities issued by a Lender or another banking institution with total assets in excess of $2,000,000,000 maturing within three (3) years from the date of acquisition thereof;
and (iii) auction rate preferred stock or bonds having, at such date of acquisition, the long-term credit rating of “AA” with a reset and maturing within 180 days from the date of acquisition thereof; 
 (d) Investments in certificates of deposit, banker’s acceptances and time deposits (including Eurodollar denominated and Yankee
issues) maturing within three (3) years from the date of acquisition thereof issued or guaranteed by or placed with, and demand deposit and money market deposit accounts issued or offered by, any Lender or another banking institution with total
assets in excess of $2,000,000,000; 
 (e) fully collateralized repurchase agreements for securities described in clause
(a) above (without regard to the limitation on maturity contained in such clause) and entered into with any primary dealer and having a market value at the time that such repurchase agreement is entered into of not less than 100% of the
repurchase obligation of such counterparty entity with whom such repurchase agreement has been entered into; 
 (f) short-term
Tax exempt securities (including municipal notes, auction rate floaters and floating rate notes); and 
  

 22 

 (g) Shares of investment companies that are registered under the Investment Company Act
of 1940, as amended, and invest solely in one or more of the types of securities described in clauses (a) through (f) above. 
 provided
that, notwithstanding the foregoing, no such Investments shall be permitted (i) after the occurrence of a Cash Dominion Event, unless no Loans are then outstanding, and (ii) unless such Investments are pledged to the Collateral Agent
as additional collateral for the Obligations pursuant to such agreements as may be reasonably required by the Collateral Agent. 
 “Permitted Overadvance” means an Overadvance determined by the Administrative Agent, in its reasonable discretion, (a) which is made to maintain, protect or preserve the Collateral and/or the Lenders’ rights under
the Loan Documents, or (b) which is otherwise in the Lenders’ interests; provided that Permitted Overadvances shall not (i) exceed ten percent (10%) of the Borrowing Base, in the aggregate outstanding at any time or
(ii) remain outstanding for more than forty-five (45) consecutive Business Days, unless in case of clause (ii), the Required Supermajority Revolving Credit Lenders otherwise agree, provided that in any twelve (12) month period no
Permitted Overadvances shall be made if during such period there have been two (2) prior periods which satisfied the terms of subsections (i) and (ii) above; and provided further that the foregoing shall not (1) modify or
abrogate any of the provisions of Section 2.07(f) hereof regarding the Revolving Credit Lender’s obligations with respect to L/C Disbursements, or (2) result in any claim or liability against the Administrative Agent (regardless of
the amount of any Overadvance) for “inadvertent Overadvances” (i.e. where an Overadvance results from changed circumstances beyond the control of the Administrative Agent (such as a reduction in the collateral value)), and further
provided that in no event shall the Administrative Agent make an Overadvance, if after giving effect thereto, the principal amount of the Revolving Loan Credit Extensions (including any Overadvance or proposed Overadvance) would exceed the
Revolving Loan Credit Commitments. 
 “Person” means any natural person, corporation, limited liability company, trust,
joint venture, association, company, partnership, Governmental Authority or other entity. 
 “Plan” means a Single Employer
Plan or a Multiple Employer Plan. 
 “Pledge Agreement” means the Pledge Agreement dated as of May 26, 2004 among the
Loan Parties and the Collateral Agent for the benefit of the Secured Parties, as amended and in effect from time to time. 
 “Prime
Rate” shall mean, for any day, the higher of (a) the variable annual rate of interest then most recently announced by Bank of America at its head office in Boston, Massachusetts as its “Prime Rate” and (b) the Federal
Funds Effective Rate in effect on such day plus  1/2 of 1% (0.50%) per annum. The Prime Rate is a reference rate
and does not necessarily represent the lowest or best rate being charged to any customer. If for any reason the Administrative Agent shall have determined (which determination shall be conclusive absent manifest error) that it is unable to ascertain
the Federal Funds Effective Rate for any reason, including the inability or failure of the Administrative Agent to obtain sufficient quotations thereof in accordance with the terms hereof, the Prime Rate shall be determined without regard to clause
(b) of the first sentence of this definition, until the circumstances giving rise to such inability no longer exist. Any 

  

 23 

 
change in the Prime Rate due to a change in Bank of America’s Prime Rate or the Federal Funds Effective Rate shall be effective on the effective date of
such change in Bank of America’s Prime Rate or the Federal Funds Effective Rate, respectively. 
 “Prime Rate Loan”
shall mean any Loan bearing interest at a rate determined by reference to the Prime Rate in accordance with the provisions of Article II. 
 “Real Estate” means all land, together with the buildings, structures, parking areas, and other improvements thereon, now or hereafter owned by any Loan Party, including all easements, rights-of-way, and similar rights
relating thereto and all leases, tenancies, and occupancies thereof. 
 “Register” has the meaning set forth in
Section 9.05(c). 
 “Regulation U” means Regulation U of the Board as from time to time in effect and all official
rulings and interpretations thereunder or thereof. 
 “Regulation X” means Regulation X of the Board as from time to time in
effect and all official rulings and interpretations thereunder or thereof. 
 “Related Parties” means, with respect to any
specified Person, such Person’s Affiliates and the respective directors, officers, employees, agents and advisors of such Person and such Person’s Affiliates. 
 “Release” has the meaning set forth in Section 101(22) of CERCLA. 
 “Required
Lenders” shall mean, subject to the provisions of Section 8.14, at any time, Lenders, the sum of whose Commitments exceeds 50% of the sum of the Total Commitments, or if the Revolving Credit Commitments have been terminated, Lenders
whose percentage of the outstanding Obligations (after settlement and repayment of all Swingline Loans by the Revolving Credit Lenders) aggregate greater than 50% of all such Obligations, it being understood, for avoidance of doubt, that any
provision hereof that requires the vote of the Required Lenders shall not require the consent of the holders of the Obligations described in clause (c) or (d) of such definition (as such definition is in effect on the Effective Date).

 “Required Revolving Credit Lenders” shall mean, subject to the provisions of Section 8.14, at any time, Revolving
Credit Lenders having Revolving Credit Commitments greater than 50% of the Total Revolving Credit Commitments, or if the Revolving Credit Commitments have been terminated, Revolving Credit Lenders whose percentage of the outstanding Obligations
(after settlement and repayment of all Swingline Loans by the Revolving Credit Lenders) aggregate greater than 50% of all such Obligations, it being understood, for avoidance of doubt, that any provision hereof that requires the vote of the Required
Revolving Credit Lenders shall not require the consent of the holders of the Obligations described in clause (c) or (d) of such definition (as such definition is in effect on the Effective Date). 
 “Required Supermajority Revolving Credit Lenders” shall mean, subject to the provisions of Section 8.14, at any time, Revolving
Credit Lenders having Revolving Credit Commitments outstanding representing at least 66 2/3% of the Total Revolving Credit Commitments 

  

 24 

 
outstanding or if the Revolving Credit Commitments have been terminated, Revolving Credit Lenders whose percentage of the outstanding Obligations (after
settlement and repayment of all Swingline Loans by the Revolving Credit Lenders) aggregate not less than 66 2/3% of all such Obligations, it being understood, for the avoidance of doubt, that any provision hereof that requires the vote of the
Required Supermajority Revolving Credit Lenders shall not require the consent of the holders of the Obligations described in clause (c) or (d) of such definition (as such definition is in effect on the Effective Date). 
 “Reserves” means all (if any) Inventory Reserves and Availability Reserves. 
 “Restricted Payment” means any dividend or other distribution (whether in cash, securities or other property) with respect to any shares
of any class of capital stock of any Loan Party or any Subsidiary of any Loan Party, or any payment (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement,
acquisition, cancellation or termination of any such shares of capital stock of any Loan Party or any such Subsidiary or any option, warrant or other right to acquire any such shares of capital stock of any Loan Party or any such Subsidiary. Without
limiting the foregoing, “Restricted Payments” with respect to any Person shall also include all payments made by such Person with respect to any stock appreciation rights, plans, equity incentive or achievement plans or any similar plans
and all proceeds of a dissolution or liquidation of such Person payable to the shareholders of such Person; provided, however, that “Restricted Payments” with respect to any Person shall not include any Equity Fees. 
 “Revolving Credit Lender(s)” shall mean the Person(s) identified on Schedule 1.1 hereto and each assignee that becomes a party to
this Agreement as set forth in Section 9.05(b). 
 “Revolving Credit Loans” shall mean all loans at any time made by
any Revolving Credit Lender pursuant to Section 2.04 or Section 2.08 and, to the extent applicable, shall include Swingline Loans made by the Swingline Lender pursuant to Section 2.06. 
 “Revolving Credit Notes” shall mean (i) the promissory notes of the Borrowers substantially in the form of Exhibit B-1, each
payable to the order of a Revolving Credit Lender, evidencing the Revolving Credit Loans, and (ii) the promissory note of the Borrowers substantially in the form of Exhibit B-2, payable to the Swingline Lender, evidencing the Swingline Loans.

 “Revolving Credit Obligations” shall mean the aggregate of the Borrowers’ liabilities, obligations, and indebtedness
of any character on account of or in respect to the Revolving Loan Credit Extensions. 
 “Revolving Loan Credit Commitment”
shall mean, with respect to each Revolving Credit Lender, the commitment of such Revolving Credit Lender hereunder set forth as its Revolving Loan Credit Commitment opposite its name on Schedule 1.1 hereto or as may subsequently be set forth
in the Register from time to time, as the same may be reduced from time to time pursuant to Section 2.16. 
  

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 “Revolving Loan Credit Commitment Percentage” shall mean at any time, with respect to
each Revolving Credit Lender, the percentage obtained by dividing its Revolving Loan Credit Commitment at such time by all Revolving Loan Credit Commitments at such time. 
 “Revolving Loan Credit Extensions” as of any day, shall be equal to the sum of (a) the principal balance of all Revolving Credit Loans then outstanding and (b) the then amount of the Letter
of Credit Outstandings. 
 “S&P” means Standard & Poor’s. 
 “SAC” means S.A.C. Capital Associates, LLC, a limited liability company organized under the laws of Anguilla. 
 “SEC” means the Securities and Exchange Commission. 
 “Secured Parties” has the meaning assigned to such term in the Security Agreement. 
 “Securities Purchase Agreement” means, collectively, (a) that certain Securities Purchase Agreement dated as of November 9, 2004 entered into by and among the Lead Borrower and the Buyers listed therein as amended
and/or restated from time to time and (b) that certain Securities Purchase Agreement dated as of April 29, 2005 entered into by and among the Lead Borrower and the Buyers listed therein. 
 “Securities Purchase Documents” shall mean, collectively, the Securities Purchase Agreement, Convertible Notes, Series A Warrants,
Series B Warrants, Series C Warrants, Series D Warrants, Series E Warrants, Preferred Shares, Registration Rights Agreement, any Issuance Document, any Transaction Document (each as defined in the Securities Purchase Agreement as in effect on the
date hereof) and any other certificate, instrument or documented contemplated in the Securities Purchase Agreement, as amended, restated or otherwise modified and in effect from time to time. 
 “Security Agreement” means the Security Agreement dated as of May 26, 2004 among the Loan Parties and the Collateral Agent for the
benefit of the Secured Parties, as amended and in effect from time to time. 
 “Security Documents” means the Security
Agreement, the Pledge Agreement, the Facility Guarantors Collateral Documents, and each other security agreement or other instrument or document executed and delivered pursuant to Sections 5.13 or 5.14 to secure any of the Obligations. 

“Settlement Date” has the meaning provided in Section 2.08(b) hereof. 
 “Short Term Securities” means (a) marketable direct obligations issued or unconditionally guaranteed by the United States or issued
by any agency thereof and backed by the full faith and credit of the United States, in each case maturing within 183 days or less from the date of acquisition thereof, (b) marketable direct obligations issued by any state of the United States
or any political subdivision of any such state or any public instrumentality thereof maturing within 183 days or less from the date of acquisition thereof and, at the time of 

  

 26 

 
acquisition, having the highest or next highest credit rating obtainable from either S&P or Moody’s. 
 “Shrink” means Inventory which has been lost, misplaced, stolen, or is otherwise unaccounted for. 
 “Single Employer Plan” means a single employer plan, as defined in Section 4001(a)(15) of ERISA, that (a) is maintained for
employees of the Lead Borrower or any of its Subsidiaries or any ERISA Affiliate and no Person other than the Lead Borrower, its Subsidiaries or the ERISA Affiliate or (b) was so maintained and in respect of which the Lead Borrower, any
Subsidiary 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” means, with respect to any Person on a particular date, that on such date (a) at fair valuations, all of the properties and assets of such Person are greater than the sum of the debts, including contingent
liabilities, of such Person, (b) the present fair saleable value of the properties and assets of such Person is not less than the amount that would be required to pay the probable liability of such Person on its debts as they become absolute
and matured, (c) such Person is able to realize upon its properties and assets and pay its debts and other liabilities, contingent obligations and other commitments as they mature in the normal course of business, (d) such Person does not
intend to, and does not believe that it will, incur debts beyond such Person’s ability to pay as such debts mature, and (e) such Person is not engaged in a business or a transaction, and is not about to engage in a business or transaction,
for which such Person’s properties and assets would constitute unreasonably small capital after giving due consideration to the prevailing practices in the industry in which such Person is engaged. The amount of all Guarantees at any time shall
be computed as the amount that, in light of all the facts and circumstances existing at the time, can reasonably be expected to become an actual or matured liability. 
 “Standby Letter of Credit” means any Letter of Credit other than a Commercial Letter of Credit. 
 “Statutory Reserve Rate” means a fraction (expressed as a decimal), the numerator of which is the number one and the denominator of which is the number one minus the aggregate of the maximum reserve percentages (including
any marginal, special, emergency or supplemental reserves) expressed as a decimal established by the Board to which the Administrative Agent is subject with respect to the Adjusted LIBO Rate, for eurocurrency funding (currently referred to as
“Eurocurrency Liabilities” in Regulation D of the Board). Such reserve percentages shall include those imposed pursuant to such Regulation D. LIBO Loans shall be deemed to constitute eurocurrency funding and to be subject to such reserve
requirements without benefit of or credit for proration, exemptions or offsets that may be available from time to time to any Revolving Credit Lender under such Regulation D or any comparable regulation. The Statutory Reserve Rate shall be adjusted
automatically on and as of the effective date of any change in any reserve percentage. 
  

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 “Subordinated Indebtedness” means Indebtedness which is expressly subordinated in right
of payment, in form and on terms approved by the Administrative Agent in writing, to the prior payment in full of the Obligations. 
 “Subordination Agreement” means, collectively, (a) the Subordination Agreement dated as of November 9, 2004 entered into among SAC, as collateral agent for the other investors from time to time designated as
“Buyers” under the Securities Purchase Agreement, the Lead Borrower, and the Agents, on behalf of themselves and the Lenders, with respect to the Convertible Notes, as amended, restated or otherwise modified and in effect from time to time
and (b) the Subordination Agreement dated as of April 29, 2005 entered into among the Lead Borrower, the Agent for the Lenders (as defined therein) and the Subordinating Creditors (as defined therein). 
 “Subsidiary” means, with respect to any Person (the “parent”) at any date, any corporation, limited liability company,
partnership, association or other entity the accounts of which would be consolidated with those of the parent in the parent’s Consolidated financial statements if such financial statements were prepared in accordance with GAAP as of such date,
as well as any other corporation, limited liability company, partnership, association or other entity of which securities or other ownership interests representing more than 50% of the equity or more than 50% of the ordinary voting power or, in the
case of a partnership, more than 50% of the general partnership interests are, as of such date, owned, controlled or held. 
 “Swingline Lender” means Bank of America, in its capacity as Revolving Credit Lender of Swingline Loans hereunder. 
 “Swingline Loan” shall mean a Loan made by the Swingline Lender to the Borrowers pursuant to Section 2.06 hereof. 
 “Synthetic Lease” means any lease or other agreement for the use or possession of property creating obligations which do not appear as indebtedness on the balance sheet of the lessee thereunder but which, upon the
insolvency or bankruptcy of such Person, may be characterized as Indebtedness of such lessee without regard to the accounting treatment. 
 “Taxes” means any and all current or future taxes, levies, imposts, duties, deductions, charges or withholdings imposed by any Governmental Authority. 
 “Termination Date” shall mean the earliest to occur of (i) the Maturity Date, or (ii) the date on which the maturity of the
Loans are accelerated and the Commitments are terminated in accordance with Section 7.01, or (iii) the date of the occurrence of any Event of Default pursuant to Section 7.01(h) or 7.01(i) hereof. 
 “Total Commitment” shall mean, at any time, the sum of the Commitments at such time. As of the Effective Date, the Total Commitments
aggregate $35,000,000. 
 “Total Revolving Loan Credit Commitments” shall mean, at any time, the sum of the Revolving Loan
Credit Commitments at such time. As of the Effective Date, the Total Revolving Loan Credit Commitments aggregate $35,000,000. 
  

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 “2005 Certificate of Designations” means that certain Certificate of Designations,
Preferences and Rights of Series C Convertible Preferred Stock dated as of April 29, 2005. 
 “2005 Registration Rights
Agreement” means that certain Registration Rights Agreement dated as of April 29, 2005 by and between the Lead Borrower and the Buyers listed therein. 
 “2005 Securities Purchase Agreement” means that certain Securities Purchase Agreement dated as of April 29, 2005 entered into by and among the Lead Borrower and the Buyers (as defined in the 2005
Securities Purchase Agreement). 
 “2005 Transaction Documents” means the 2005 Securities Purchase Agreement, the 2005
Registration Rights Agreement, the 2005 Certificate of Designations and the 2005 Warrants. 
 “2005 Warrants” means the Form
of Series E Warrants substantially in the form attached as Exhibit B to the 2005 Securities Purchase Agreement. 
 “Type”,
when used in reference to any Revolving Credit Loan or Borrowing, refers to whether the rate of interest on such Revolving Credit Loan, or on the Revolving Credit Loans comprising such Borrowing, is determined by reference to the Adjusted LIBO Rate
or the Prime Rate. 
 “UCC” shall mean the Uniform Commercial Code as in effect from time to time in the Commonwealth of
Massachusetts. 
 “Unused Commitment” shall mean, on any day, (a) the then aggregate amount of the Revolving Loan
Credit Commitments minus (b) the sum of (i) the principal amount of Revolving Credit Loans then outstanding (including the principal amount of Swingline Loans then outstanding) and (ii) the then Letter of Credit Outstandings.

 “Unused Commitment Fee” has the meaning set forth in Section 2.13. 
 “Voting Stock” means, with respect to any corporation, the outstanding stock of all classes (or equivalent interests) which ordinarily,
in the absence of contingencies, entitles holders thereof to vote for the election of directors (or Persons performing similar functions) of such corporation, even though the right so to vote has been suspended by the happening of such contingency.

 “Withdrawal Liability” means liability to a Multiemployer Plan as a result of a complete or partial withdrawal from such
Multiemployer Plan, as such terms are defined in Part I of Subtitle E of Title IV of ERISA. 
 1.02. Terms Generally. The definitions
of terms herein shall apply equally to the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The words “include”,
“includes” and “including” shall be deemed to be followed by the phrase “without limitation”. The word “will” shall be construed to have the same meaning and effect as the word “shall”. Unless the
context requires otherwise (a) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring to such agreement, 

  

 29 

 
instrument or other document as from time to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or
modifications set forth herein), (b) any reference herein to any Person shall be construed to include such Person’s successors and assigns, (c) the words “herein”, “hereof” and “hereunder”, and words of
similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof, (d) all references herein to Articles, Sections, Exhibits and Schedules shall be construed to refer to Articles and
Sections of, and Exhibits and Schedules to, this Agreement and (e) the words “asset” and “property” shall be construed to have the same meaning and effect and to refer to any and all tangible and intangible assets and
properties, including cash, securities, accounts and contract rights. 
 1.03. Accounting Terms; GAAP. Except as otherwise expressly
provided herein, all terms of an accounting or financial nature shall be construed in accordance with GAAP, as in effect on the Effective Date. 
 ARTICLE II 
 Amount and Terms of Credit 
 2.01. Commitment of the Revolving Credit Lenders. 
 (a) Each Revolving Credit Lender
severally and not jointly with any other Revolving Credit Lender, agrees, upon the terms and subject to the conditions herein set forth, to extend credit to the Borrowers on a revolving basis, in the form of Revolving Credit Loans and Letters of
Credit and in an amount not to exceed the lesser of such Revolving Credit Lender’s Revolving Loan Credit Commitment or such Revolving Credit Lender’s Revolving Loan Credit Commitment Percentage of the Borrowing Base, subject to the
following limitations: 
 (i) The aggregate outstanding amount of the Revolving Loan Credit Extensions shall not at any time
exceed the lower of (i) $35,000,000, or any other amount to which the Revolving Loan Credit Commitments have then been reduced by the Borrower pursuant to Section 2.16, and (ii) the then amount of the Borrowing Base. 
 (ii) No Revolving Credit Lender shall be obligated to issue any Letter of Credit, and Letters of Credit shall be available from the
Issuing Bank, subject to the ratable participation of all Revolving Credit Lenders, as set forth in Section 2.07. The Borrowers will not at any time permit the aggregate Letter of Credit Outstandings to exceed $35,000,000. 
 (iii) Subject to all of the other provisions of this Agreement, Revolving Credit Loans that are repaid may be reborrowed prior to the
Termination Date. No new Revolving Loan Credit Extension, however, shall be made to the Borrowers after the Termination Date. 
 (b) Each Borrowing of Revolving Credit Loans (other than Swingline Loans) shall be made by the Revolving Credit Lenders pro rata in accordance with their respective Revolving Loan Credit Commitment Percentages. The failure of
any 

  

 30 

 
Revolving Credit Lender to make any Revolving Credit Loan shall neither relieve any other Revolving Credit Lender of its obligation to fund its Revolving
Credit Loan in accordance with the provisions of this Agreement nor increase the obligation of any such other Revolving Credit Lender. 
 2.02. Increase in Total Commitments. 
 (a) So long as no Default or Event of Default exists or would arise
therefrom, the Lead Borrower shall have the right at any time, and from time to time, to request an increase of the aggregate of the Commitments to an amount not to exceed $50,000,000. Any such requested increase shall be first made to all existing
Lenders on a pro rata basis. To the extent that the existing Lenders decline to increase their Commitments, or decline to increase their Commitments to the amount requested by the Lead Borrower, the Administrative Agent, in consultation with the
Lead Borrower, will use its reasonable efforts to arrange for other Persons to become a Lender hereunder and to issue commitments in an amount equal to the amount of the increase in the Total Commitments requested by the Lead Borrower and not
accepted by the existing Lenders (each such increase by either means, a “Commitment Increase,” and each Person issuing, or Lender increasing, its Commitment, an “Additional Commitment Lender”), provided,
however, that (i) no Lender shall be obligated to provide a Commitment Increase as a result of any such request by the Lead Borrower, and (ii) any Additional Commitment Lender which is not an existing Lender shall be subject to the
approval of the Administrative Agent, the Issuing Banks and the Lead Borrower (which approval shall not be unreasonably withheld). Each Commitment Increase shall be an amount of at least [$5,000,000.00]. 
 (b) Any Commitment Increase shall not become effective unless and until each of the following conditions has been satisfied: 

(i) The Borrowers, the Administrative Agent, and any Additional Commitment Lender shall have executed and delivered a joinder to the
Loan Documents in such form as the Administrative Agent shall reasonably require; 
 (ii) At the request of the Administrative
Agent, the Borrowers shall deliver to the Administrative Agent and the Lenders an opinion or opinions, in form and substance reasonably satisfactory to the Administrative Agent, from counsel to the Borrowers reasonably satisfactory to the
Administrative Agent and dated such date; 
 (iii) A Revolving Credit Note will be issued at the Borrowers’ expense, to
each such Additional Commitment Lender, to be in conformity with requirements of Section 2.09 hereof (with appropriate modification) to the extent necessary to reflect the new Commitment of each Additional Commitment Lender; and 
 (iv) The Borrowers and the Additional Commitment Lender shall have delivered such other instruments, documents and agreements as the
Administrative Agent may reasonably have requested. 
 (c) The Administrative Agent shall promptly notify each Lender as to
the effectiveness of each Commitment Increase (with each date of such effectiveness being 

  

 31 

 
referred to herein as a “Commitment Increase Date”), and at such time (i) the Commitments under, and for all purposes of, this
Agreement shall be increased by the aggregate amount of such Commitment Increases, (ii) Schedule 1.1 shall be deemed modified, without further action, to reflect the revised Commitments and Commitment Percentages of the Lenders, and
(iii) this Agreement shall be deemed amended, without further action, to the extent necessary to reflect such increased Commitments. 
 2.03. Reserves; Changes to Reserves. 
 (a) The initial Inventory Reserves and Availability Reserves as of the
date of this Agreement are the following: 
 (i) Shrink (an Inventory Reserve). 
 (ii) Rent (an Availability reserve): Two months’ rent (but only if a landlord’s waiver, acceptable to the Collateral Agent, has
not been received by the Collateral Agent) as to any of any Borrower’s locations in Pennsylvania, Virginia or Washington 
 (iii) Gift Certificates and Merchandise Credit Liabilities (an Availability reserve): 50% of the amount thereof reflected on the Borrowers’ books and records. 
 (b) The Administrative Agent may hereafter establish additional Reserves or change any of the foregoing Reserves, in the exercise of the
reasonable judgment of the Administrative Agent. 
 2.04. Making of Loans. 
 (a) Except as set forth in Sections 2.17 and 2.25, Loans (other than Swingline Loans) by the Revolving Credit Lenders shall be either
Prime Rate Loans or LIBO Loans as the Lead Borrower may request subject to and in accordance with this Section 2.04, provided that all Swingline Loans shall be only Prime Rate Loans. All Revolving Credit Loans made pursuant to the same
Borrowing shall, unless otherwise specifically provided herein, be Loans of the same Type. Each Revolving Credit Lender may fulfill its Commitment with respect to any Loan by causing any lending office of such Revolving Credit Lender to make such
Loan; but any such use of a lending office shall not affect the obligation of the Borrowers to repay such Loan in accordance with the terms of the applicable Note. Each Revolving Credit Lender shall, subject to its overall policy considerations, use
reasonable efforts (but shall not be obligated) to select a lending office which will not result in the payment of increased costs by the Borrowers pursuant to Section 2.25. Subject to the other provisions of this Section 2.04 and the
provisions of Section 2.25, Borrowings of Loans of more than one Type may be incurred at the same time, but no more than four (4) Borrowings of LIBO Loans may be outstanding at any time. 
 (b) The Lead Borrower shall give the Administrative Agent three Business Days’ prior telephonic notice (thereafter confirmed in
writing) of each Borrowing of 

  

 32 

 
LIBO Loans and one Business Days’ notice of each Borrowing of Prime Rate Loans. Any such notice, to be effective, must be received by the Administrative
Agent not later than 12:00 p.m., Boston time, on the third Business Day in the case of LIBO Loans prior to the date on which, and 1:00 p.m. Boston time one Business Day prior to the date of Borrowing in the case of Prime Rate Loans that, such
Borrowing is to be made. Notwithstanding the foregoing, in the case of Prime Rate Loans, provided that there is only one Revolving Credit Lender under this Agreement, the Lead Borrower shall give the Administrative Agent notice each Borrowing of
Prime Rate Loan prior to 1:00 p.m. Boston time on the Business Day of the requested Borrowing. Such notice shall be irrevocable and shall specify the amount of the proposed Borrowing (which shall be not less than $1,000,000 in the case of LIBO
Loans, and in an integral multiple of $500,000, and not less than $100,000 in the case of Prime Rate Loans) and the date thereof (which shall be a Business Day) and shall contain disbursement instructions. Such notice shall specify whether the
Borrowing then being requested is to be a Borrowing of Prime Rate Loans or LIBO Loans and, if LIBO Loans, the Interest Period with respect thereto. If no election of Interest Period is specified in any such notice for a Borrowing of LIBO Loans, such
notice shall be deemed a request for an Interest Period of one month. If no election is made as to the Type of Loan, such notice shall be deemed a request for Borrowing of Prime Rate Loans. The Administrative Agent shall promptly notify each
Revolving Credit Lender of its proportionate share of such Borrowing, the date of such Borrowing, the Type of Borrowing being requested and the Interest Period or Interest Periods applicable thereto, as appropriate. On the borrowing date specified
in such notice, each Revolving Credit Lender shall make its share of the Borrowing available at the office of Bank of America at 100 Federal Street, Boston, Massachusetts 02110, no later than 1:00 p.m., Boston time, in immediately available funds.
Unless the Administrative Agent shall have received notice from a Revolving Credit Lender prior to the proposed date of any Borrowing that such Revolving Credit Lender will not make available to the Administrative Agent such Revolving Credit
Lender’s share of such Borrowing, the Administrative Agent may assume that such Revolving Credit Lender has made such share available on such date in accordance with this Section and may, in reliance upon such assumption, make available to the
Borrowers a corresponding amount. In such event, if a Revolving Credit Lender has not in fact made its share of the applicable Borrowing available to the Administrative Agent, then the applicable Revolving Credit Lender and the Borrowers severally
agree to pay to the Administrative Agent forthwith on demand such corresponding amount with interest thereon, for each day from and including the date such amount is made available to the Borrowers to but excluding the date of payment to the
Administrative Agent, at (i) in the case of such Revolving Credit Lender, the greater of the Federal Funds Effective Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation or
(ii) in the case of the Borrowers, the interest rate applicable to Prime Rate Loans. If such Revolving Credit Lender pays such amount to the Administrative Agent, then such amount shall constitute such Revolving Credit Lender’s Loan
included in such Borrowing. Upon receipt of the funds made available by the Revolving Credit Lenders to fund any Borrowing hereunder, the Administrative Agent shall disburse such funds into a Bank of America Disbursement Account or otherwise in the
manner specified in the notice of borrowing delivered by the Lead Borrower and shall use 

  

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reasonable efforts to make the funds so received from the Revolving Credit Lenders available to the Borrowers no later than 4:00 p.m., Boston time.

 (c) The Administrative Agent, without the request of any Borrower, may advance any interest, fee, service charge, or other
payment to which any Agent or their Affiliates or any Lender is entitled from the Borrowers pursuant hereto or any other Loan Document and may charge the same to the Loan Account notwithstanding that an Overadvance may result thereby. The
Administrative Agent shall advise the Lead Borrower of any such advance or charge promptly after the making thereof. Such action on the part of the Administrative Agent shall not constitute a waiver of the Administrative Agent’s rights and the
Borrowers’ obligations under Section 2.18(a). Any amount which is added to the principal balance of the Loan Account as provided in this Section 2.04(c) shall bear interest at the interest rate then and thereafter applicable to Prime
Rate Loans. 
 2.05. Overadvances. The Agents and the Revolving Credit Lenders have no obligation to make any Loan or to provide any
Letter of Credit if an Overadvance would result. The Administrative Agent may, in its discretion, make Permitted Overadvances without the Consent of the Revolving Credit Lenders and each Revolving Credit Lender shall be bound thereby. Any Permitted
Overadvances may constitute Swingline Loans. The making of any Permitted Overadvance is for the benefit of the Borrowers; such Permitted Overadvances constitute Revolving Credit Loans and Obligations. The making of any such Permitted Overadvances on
any one occasion shall not obligate the Administrative Agent or any Revolving Credit Lender to make or permit any Permitted Overadvances on any other occasion or to permit such Permitted Overadvances to remain outstanding. 
 2.06. Swingline Loans 
 (a) The Swingline Lender is authorized by the Revolving Credit Lenders, but is not obligated, to make Swingline Loans up to (i) $5,000,000 plus (ii) the maximum Permitted Overadvance, in the aggregate outstanding at any time,
consisting only of Prime Rate Loans, upon a notice of Borrowing received by the Administrative Agent and the Swingline Lender (which notice may be submitted prior to 1:00 p.m., Boston time, on the Business Day on which such Swingline Loan is
requested). Swingline Loans shall be subject to periodic settlement with the Revolving Credit Lenders under Section 2.08 below. 
 (b) Swingline Loans shall only be made in the event that there is more than one Revolving Credit Lender under this Agreement, and may be made only in the following circumstances: (A) for administrative convenience, the Swingline Lender
may, but is not obligated to, make Swingline Loans in reliance upon the Borrowers’ actual or deemed representations under Section 4.02, that the applicable conditions for borrowing are satisfied or (B) for Permitted Overadvances. If
the conditions for borrowing under Section 4.02 cannot be fulfilled, the Required Revolving Credit Lenders may direct the Swingline Lender to, and the Swingline Lender thereupon shall, cease making Swingline Loans (other than Permitted
Overadvances) until such conditions can be satisfied or are waived in accordance with Section 9.02 hereof. Unless the Required Revolving Credit 

  

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Lenders so direct the Swingline Lender, the Swingline Lender may, but is not obligated to, continue to make Swingline Loans notwithstanding that the
conditions for borrowing under Section 4.02 cannot be fulfilled. No Swingline Loans shall be made pursuant to this subsection (b) if the aggregate outstanding amount of the Credit Extensions and Swingline Loans would exceed the lower of
(i) $35,000,000 or any other amount to which the Revolving Loan Credit Commitments have then been reduced by the Borrowers pursuant to Sections 2.16, and (ii) (other than with respect to Permitted Overadvances) the then amount of the
Borrowing Base. 
 2.07. Letters of Credit. 
 (a) Upon the terms and subject to the conditions herein set forth, the Lead Borrower may request the Issuing Bank, at any time and from
time to time after the date hereof and prior to the Termination Date, to issue, and subject to the terms and conditions contained herein, the Issuing Bank shall issue, for the account of the Borrowers one or more Letters of Credit; provided
that no Letter of Credit shall be issued if after giving effect to such issuance (i) the aggregate Letter of Credit Outstandings shall exceed $25,000,000, or (ii) the aggregate Revolving Loan Credit Extensions would exceed the limitation
set forth in Section 2.01(a)(i); and provided, further, that no Letter of Credit shall be issued if the Issuing Bank shall have received notice from the Administrative Agent or the Required Revolving Credit Lenders that the
conditions to such issuance have not been met. 
 (b) Each Standby Letter of Credit shall expire at or prior to the close of
business on the earlier of (i) the date one year after the date of the issuance of such Letter of Credit (or, in the case of any renewal or extension thereof, one year after such renewal or extension) and (ii) the date that is five
Business Days prior to the Maturity Date, provided that each Standby Letter of Credit may, upon the request of the Lead Borrower, include a provision whereby such Letter of Credit shall be renewed automatically for additional consecutive
periods of 12 months or less (but not beyond the date that is five Business Days prior to the Maturity Date) unless the Issuing Bank notifies the beneficiary thereof at least 30 days prior to the then-applicable expiration date that such Letter of
Credit will not be renewed. 
 (c) Each Commercial Letter of Credit shall expire at or prior to the close of business on the
earlier of (i) the date 120 days after the date of the issuance of such Commercial Letter of Credit and (ii) the date that is five Business Days prior to the Maturity Date. 
 (d) Drafts drawn under each Letter of Credit shall be reimbursed by the Borrowers in dollars on the same Business Day of any such drawing
by paying to the Administrative Agent an amount equal to such drawing not later than 12:00 noon, Boston time, on (i) the date that the Lead Borrower shall have received notice of such drawing, if such notice is received prior to 10:00 a.m.,
Boston time, on such date, or (ii) the Business Day immediately following the day that the Lead Borrower receives such notice, if such notice is received after 10:00 a.m., Boston time on the day of drawing, provided that the Lead
Borrower may, subject to the conditions to borrowing set forth herein, request in 

  

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accordance with Section 2.04 that such payment be financed with a Revolving Credit Loan consisting of a Prime Rate Loan or Swingline Loan in an
equivalent amount and, to the extent so financed, the Borrowers’ obligation to make such payment shall be discharged and replaced by the resulting Prime Rate Loan or Swingline Loan. The Issuing Bank shall, promptly following its receipt
thereof, examine all documents purporting to represent a demand for payment under a Letter of Credit. The Issuing Bank shall promptly notify the Administrative Agent and the Lead Borrower by telephone (confirmed by telecopy) of such demand for
payment and whether the Issuing Bank has made or will make payment thereunder, provided that any failure to give or delay in giving such notice shall not relieve the Borrowers of their obligation to reimburse the Issuing Bank and the
Revolving Credit Lenders with respect to any such payment. 
 (e) If the Issuing Bank shall make any L/C Disbursement, then,
unless the Borrowers shall reimburse the Issuing Bank in full on the date such payment is made, the unpaid amount thereof shall bear interest, for each day from and including the date such payment is made to but excluding the date that the Borrowers
reimburse the Issuing Bank therefor, at the rate per annum then applicable to Prime Rate Loans, provided that, if the Borrowers fail to reimburse such Issuing Bank when due pursuant to paragraph (d) of this Section, then
Section 2.11 shall apply. Interest accrued pursuant to this paragraph shall be for the account of the Issuing Bank, except that interest accrued on and after the date of payment by any Revolving Credit Lender pursuant to paragraph (g) of
this Section to reimburse the Issuing Bank shall be for the account of such Revolving Credit Lender to the extent of such payment. 
 (f) Immediately upon the issuance of any Letter of Credit by the Issuing Bank (or the amendment of a Letter of Credit increasing the amount thereof), and without any further action on the part of the Issuing Bank, the Issuing Bank shall be
deemed to have sold to each Revolving Credit Lender, and each such Revolving Credit Lender shall be deemed unconditionally and irrevocably to have purchased from the Issuing Bank, without recourse or warranty, an undivided interest and
participation, to the extent of such Revolving Credit Lender’s Revolving Loan Credit Commitment Percentage, in such Letter of Credit, each drawing thereunder and the obligations of the Borrowers under this Agreement and the other Loan Documents
with respect thereto. Upon any change in the Commitments pursuant to Section 9.05, it is hereby agreed that with respect to all Letter of Credit Outstandings, there shall be an automatic adjustment to the participations hereby created to
reflect the new Revolving Loan Credit Commitment Percentages of the assigning and assignee Revolving Credit Lenders. Any action taken or omitted by the Issuing Bank under or in connection with a Letter of Credit, if taken or omitted in the absence
of gross negligence or willful misconduct, shall not create for the Issuing Bank any resulting liability to any Revolving Credit Lender. 
 (g) In the event that the Issuing Bank makes any L/C Disbursement and the Borrowers shall not have reimbursed such amount in full to the Issuing Bank pursuant to this Section 2.07, the Issuing Bank shall promptly
notify the Administrative Agent, which shall promptly notify each Revolving Credit Lender of such failure, and each Revolving Credit Lender shall promptly and unconditionally pay to the Administrative Agent for the account of the Issuing Bank the
amount of such Revolving Credit Lender’s Revolving 

  

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Loan Credit Commitment Percentage of such unreimbursed payment in dollars and in same day funds. If the Issuing Bank so notifies the Administrative Agent,
and the Administrative Agent so notifies the Revolving Credit Lenders prior to 11:00 a.m., Boston time, on any Business Day, each such Revolving Credit Lender shall make available to the Issuing Bank such Revolving Credit Lender’s Revolving
Loan Credit Commitment Percentage of the amount of such payment on such Business Day in same day funds (or if such notice is received by the Revolving Credit Lenders after 11:00 a.m., Boston time on the day of receipt, payment shall be made on the
immediately following Business Day). If and to the extent such Revolving Credit Lender shall not have so made its Revolving Loan Credit Commitment Percentage of the amount of such payment available to the Issuing Bank, such Revolving Credit Lender
agrees to pay to the Issuing Bank, forthwith on demand such amount, together with interest thereon, for each day from such date until the date such amount is paid to the Administrative Agent for the account of the Issuing Bank at the greater of the
Federal Funds Effective Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation. Each Revolving Credit Lender agrees to fund its Revolving Loan Credit Commitment Percentage of such
unreimbursed payment notwithstanding a failure to satisfy any applicable lending conditions or the provisions of Sections 2.01 or 2.07, or the occurrence of the Termination Date. The failure of any Revolving Credit Lender to make available to the
Issuing Bank its Revolving Loan Credit Commitment Percentage of any payment under any Letter of Credit shall neither relieve any Revolving Credit Lender of its obligation hereunder to make available to the Issuing Bank its Revolving Loan Credit
Commitment Percentage of any payment under any Letter of Credit on the date required, as specified above, nor increase the obligation of such other Revolving Credit Lender. Whenever any Revolving Credit Lender has made payments to the Issuing Bank
in respect of any reimbursement obligation for any Letter of Credit, such Revolving Credit Lender shall be entitled to share ratably, based on its Revolving Loan Credit Commitment Percentage, in all payments and collections thereafter received on
account of such reimbursement obligation. 
 (h) Whenever the Borrowers desire that the Issuing Bank issue a Letter of Credit
(or the amendment, renewal or extension of an outstanding Letter of Credit), the Lead Borrower shall give to the Issuing Bank and the Administrative Agent at least two Business Days’ prior written (including telegraphic, telex, facsimile or
cable communication) notice (or such shorter period as may be agreed upon in writing by the Issuing Bank and the Lead Borrower) specifying the date on which the proposed Letter of Credit is to be issued, amended, renewed or extended (which shall be
a Business Day), the stated amount of the Letter of Credit so requested, the expiration date of such Letter of Credit, the name and address of the beneficiary thereof, and the provisions thereof. If requested by the Issuing Bank, the Lead Borrower
shall also submit a letter of credit application on the Issuing Bank’s standard form in connection with any request for the issuance, amendment, renewal or extension of a Letter of Credit. 
 (i) The obligations of the Borrowers to reimburse the Issuing Bank for any L/C Disbursement shall be unconditional and irrevocable and
shall be paid strictly in accordance with the terms of this Agreement under all circumstances, including, without limitation: (i) any lack of validity or enforceability of any Letter of Credit; (ii) the 

  

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existence of any claim, setoff, defense or other right which the Borrowers may have at any time against a beneficiary of any Letter of Credit or against the
Issuing Bank or any of the Revolving Credit Lenders, whether in connection with this Agreement, the transactions contemplated herein or any unrelated transaction; (iii) any draft, demand, certificate or other document presented under any Letter
of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any statement therein being untrue or inaccurate in any respect; (iv) payment by the Issuing Bank of any Letter of Credit against presentation of a demand,
draft or certificate or other document which does not comply with the terms of such Letter of Credit in any immaterial respect; (v) any other circumstance or happening whatsoever, whether or not similar to any of the foregoing, that might, but
for the provisions of this Section, constitute a legal or equitable discharge of, or provide a right of setoff against, the Borrowers’ obligations hereunder; or (vi) the fact that any Event of Default shall have occurred and be continuing.
None of the Administrative Agent, the Revolving Credit Lenders, the Issuing Bank or any of their Affiliates shall have any liability or responsibility by reason of or in connection with the issuance or transfer of any Letter of Credit or any payment
or failure to make any payment thereunder (irrespective of any of the circumstances referred to in the preceding sentence), or any error, omission, interruption, loss or delay in transmission or delivery of any draft, notice or other communication
under or relating to any Letter of Credit (including any document required to make a drawing thereunder), any error in interpretation of technical terms or any consequence arising from causes beyond the control of the Issuing Bank, provided
that the foregoing provisions of this subparagraph (i) shall not be construed to excuse the Issuing Bank from liability to the Borrowers to the extent of any direct damages (as opposed to consequential damages, claims in respect of which are
hereby waived by the Borrowers to the extent permitted by Applicable Law) suffered by the Borrowers that are caused by the Issuing Bank’s failure to exercise care when determining whether drafts and other documents presented under a Letter of
Credit comply with the terms thereof. The parties hereto expressly agree that, in the absence of gross negligence or willful misconduct on the part of the Issuing Bank (as finally determined by a court of competent jurisdiction), the Issuing Bank
shall be deemed to have exercised care in each such determination. In furtherance of the foregoing and without limiting the generality thereof, the parties agree that, with respect to documents presented that appear on their face to be in compliance
with the terms of a Letter of Credit, the Issuing Bank may, in its sole discretion, either accept and make payment upon such documents without responsibility for further investigation, regardless of any notice or information to the contrary, or
refuse to accept and make payment upon such documents if such documents are not in strict compliance with the terms of such Letter of Credit. 
 2.08. Settlements Amongst Revolving Credit Lenders 
 (a) The Swingline Lender may (but shall not be obligated
to), at any time, on behalf of the Borrowers (which hereby authorizes the Swingline Lender to act on its behalf in that regard) request the Administrative Agent to cause the Revolving Credit Lenders to make a Revolving Credit Loan (which shall be a
Prime Rate Loan) in an amount equal to such Revolving Credit Lender’s Revolving Loan Credit Commitment Percentage of the outstanding amount of Swingline Loans made in accordance with 

  

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Section 2.06, which request may be made regardless of whether the conditions set forth in Article IV have been satisfied. Upon such request, each
Revolving Credit Lender shall make available to the Administrative Agent the proceeds of such Revolving Credit Loan for the account of the Swingline Lender. If the Swingline Lender requires a Revolving Credit Loan to be made by the Revolving Credit
Lenders and the request therefor is received prior to 12:00 Noon, Boston time, on a Business Day, such transfers shall be made in immediately available funds no later than 3:00 p.m., Boston time, that day; and, if the request therefor is received
after 12:00 Noon, Boston time, then no later than 3:00 p.m., Boston time, on the next Business Day. The obligation of each Revolving Credit Lender to transfer such funds is irrevocable, unconditional and without recourse to or warranty by the
Administrative Agent or the Swingline Lender. If and to the extent any Revolving Credit Lender shall not have so made its transfer 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 such date until the date such amount is paid to the Administrative Agent at the greater of the Federal Funds Effective Rate and a rate determined by the Administrative Agent in
accordance with banking industry rules on interbank compensation. 
 (b) The amount of each Revolving Credit Lender’s
Revolving Loan Credit Commitment Percentage of outstanding Revolving Credit Loans (excluding Swingline Loans) shall be computed weekly (or more frequently in the Administrative Agent’s discretion) and shall be adjusted upward or downward based
on all Revolving Credit Loans (excluding Swingline Loans) and repayments of Revolving Credit Loans (excluding Swingline Loans) received by the Administrative Agent as of 3:00 p.m., Boston time, on the first Business Day following the end of the
period specified by the Administrative Agent (such date, the “Settlement Date”). 
 (c) The Administrative
Agent shall deliver to each of the Revolving Credit Lenders promptly after the Settlement Date a summary statement of the amount of outstanding Revolving Credit Loans (excluding Swingline Loans) for the period and the amount of repayments received
for the period. As reflected on the summary statement, each Revolving Credit Lender shall transfer to the Administrative Agent (as provided below), or the Administrative Agent shall transfer to each Revolving Credit Lender, such amounts as are
necessary to insure that, after giving effect to all such transfers, the amount of Revolving Credit Loans made by each Revolving Credit Lender with respect to Revolving Credit Loans (excluding Swingline Loans) shall be equal to such Revolving Credit
Lender’s applicable Revolving Loan Credit Commitment Percentage of Revolving Credit Loans (excluding Swingline Loans) outstanding as of such Settlement Date. If the summary statement requires transfers to be made to the Administrative Agent by
the Revolving Credit Lenders and is received prior to 12:00 Noon, Boston time, on a Business Day, such transfers shall be made in immediately available funds no later than 3:00 p.m., Boston time, that day; and, if received after 12:00 Noon, Boston
time, then no later than 3:00 p.m., Boston time, on the next Business Day. The obligation of each Revolving Credit Lender to transfer such funds is irrevocable, unconditional and without recourse to or warranty by the Administrative Agent. If and to
the extent any Revolving Credit Lender shall not have so made its transfer to the Administrative Agent, such Revolving Credit Lender agrees to pay to the Administrative Agent, forthwith on demand 

  

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such amount, together with interest thereon, for each day from such date until the date such amount is paid to the Administrative Agent at the greater of the
Federal Funds Effective Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation. 
 2.09. Notes; Repayment of Loans. 
 (a) The Revolving Credit Loans made by each Revolving Credit Lender (and
by the Swingline Lender, with respect to Swingline Loans) shall be evidenced by a Note duly executed on behalf of the Borrowers, dated the Effective Date, in substantially the form attached hereto as Exhibit B-1 or B-2, as applicable, payable to the
order of each such Revolving Credit Lender (or the Swingline Lender, as applicable) in an aggregate principal amount equal to such Revolving Credit Lender’s Commitment (or, in the case of the Note evidencing the Swingline Loans, $5,000,000).
The outstanding principal balance of all Swingline Loans shall be repaid on the earlier of the Termination Date or on the date otherwise requested by the Swingline Lender in accordance with the provisions of Section 2.08(a). The outstanding
principal balance of all other Obligations shall be payable on the Termination Date (subject to earlier repayment as provided below). Each Note shall bear interest from the date thereof on the outstanding principal balance thereof as set forth in
this Article II. Each Lender is hereby authorized by the Borrowers to endorse on a schedule attached to each Note delivered to such Lender (or on a continuation of such schedule attached to such Note and made a part thereof), or otherwise to record
in such Lender’s internal records, an appropriate notation evidencing the date and amount of each Loan from such Lender, each payment and prepayment of principal of any such Loan, each payment of interest on any such Loan and the other
information provided for on such schedule; provided, however, that the failure of any Lender to make such a notation or any error therein shall not affect the obligation of the Borrowers to repay the Loans made by such Lender in
accordance with the terms of this Agreement and the applicable Notes. 
 (b) Upon receipt of and indemnification reasonably
satisfactory to the Borrowers, and an affidavit of a Lender as to the loss, theft, destruction or mutilation of such Lender’s Note and upon cancellation of such Note, the Borrowers will issue, in lieu thereof, a replacement Note in favor of
such Lender, in the same principal amount thereof and otherwise of like tenor. 
 2.10. Interest on Loans. 
 (a) Subject to Section 2.11, each Prime Rate Loan that is a Revolving Credit Loan shall bear interest (computed on the basis of the
actual number of days elapsed over a year of 365 days, as applicable) at a rate per annum that shall be equal to the then Prime Rate, plus the Applicable Margin for Prime Rate Loans. 
 (b) Subject to Section 2.11, each LIBO Loan shall bear interest (computed on the basis of the actual number of days elapsed over a
year of 360 days) at a rate per annum equal, during each Interest Period applicable thereto, to the Adjusted LIBO Rate for such Interest Period, plus the Applicable Margin for LIBO Loans. 
  

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 (c) Accrued interest on all Revolving Credit Loans shall be payable in arrears on each
Interest Payment Date applicable thereto, at maturity (whether by acceleration or otherwise), after such maturity on demand and (with respect to LIBO Loans) upon any repayment or prepayment thereof (on the amount prepaid). 
 2.11. Default Interest. 
 Effective
upon the occurrence of any Event of Default and at all times thereafter while such Event of Default is continuing, at the option of the Administrative Agent or upon the direction of the Required Revolving Credit Lenders, interest shall accrue on all
outstanding Revolving Credit Loans (including Swingline Loans) (after as well as before judgment, as and to the extent permitted by law) at a rate per annum equal to the rate (including the Applicable Margin for Loans) in effect from time to time
plus 2.00% per annum, and such interest shall be payable on demand. 
 2.12. Intentionally Omitted. 
 2.13. Unused Commitment Fee. 
 The
Borrowers shall pay to the Administrative Agent for the account of the Revolving Credit Lenders, a commitment fee (the “Unused Commitment Fee”) equal to 0.25% per annum (on the basis of actual days elapsed in a year of 360
days) of the average daily balance of the Unused Commitment for each day commencing on and including the Effective Date and ending on but excluding the Termination Date. The Unused Commitment Fee so accrued in any calendar quarter shall be payable
on the first Business Day of the immediately succeeding calendar quarter, except that all Unused Commitment Fees so accrued as of the Termination Date shall be payable on the Termination Date. 
 2.14. Letter of Credit Fees. 
 (a) The Borrowers shall pay the Administrative Agent, for the account of the Revolving Credit Lenders, on the first day of each calendar quarter, in arrears, a fee (each, a “Letter of Credit Fee”) equal to the following per
annum percentages of the average face amount of the following categories of Letters of Credit outstanding during the subject quarter: 
 (i) Standby Letters of Credit: At a per annum rate equal to the then Applicable Margin for LIBO Loans. 
 (ii) Commercial Letters of Credit: At a per annum rate equal to 33.3% of the then Applicable Margin for LIBO Loans. 
 (iii) After the occurrence and during the continuance of an Event of Default, at the option of the Administrative Agent or upon the direction of the Required Revolving Credit Lenders, the Letter of Credit Fee shall be
increased by an amount equal to one percent (1%) per annum. 
  

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 (b) All Letter of Credit Fees shall be calculated on the basis of a 360-day year and
actual days elapsed. 
 2.15. Nature of Fees. 
 All fees shall be paid on the dates due, in immediately available funds, to the Administrative Agent, for the respective accounts of the Administrative Agent, the Issuing Bank, and the Revolving Credit Lenders, as and
to the extent provided herein. All fees shall be fully earned on the date when due and shall not be refundable under any circumstances. 
 2.16. Termination or Reduction of Commitments. 
 (a) Upon at least three (3) Business Days’ prior
written notice to the Administrative Agent, the Borrowers may, at any time, in whole permanently terminate, or from time to time in part permanently reduce, the Revolving Loan Credit Commitments. Each such reduction shall be in the principal amount
of $5,000,000 or any integral multiple of $1,000,000 in excess thereof. Each such reduction or termination shall (i) be applied ratably to the Revolving Loan Credit Commitments of each Revolving Credit Lender and (ii) be irrevocable when
given. At the effective time of each such reduction or termination, the Borrowers shall pay to the Administrative Agent for application as provided herein (i) all Unused Commitment Fees accrued on the amount of the Revolving Loan Credit
Commitments so terminated or reduced through the date thereof, or (ii) any amount by which the Revolving Loan Credit Extensions outstanding on such date exceed the amount to which the Commitments are to be reduced effective on such date, in
each case pro rata based on the amount prepaid. 
 2.17. Alternate Rate of Interest. 
 If prior to the commencement of any Interest Period for a LIBO Borrowing: 
 (a) the Administrative Agent determines (which determination shall be conclusive absent manifest error) that adequate and reasonable means
do not exist for ascertaining the Adjusted LIBO Rate for such Interest Period; or 
 (b) the Administrative Agent is advised
by the Required Revolving Credit Lenders that the Adjusted LIBO Rate for such Interest Period will not adequately and fairly reflect the cost to such Revolving Credit Lenders of making or maintaining their Loans included in such Borrowing for such
Interest Period; 
 then the Administrative Agent shall give notice thereof to the Lead Borrower and the Revolving Credit Lenders by telephone or telecopy as
promptly as practicable thereafter and, until the Administrative Agent notifies the Lead Borrower and the Revolving Credit Lenders that the circumstances giving rise to such notice no longer exist, (i) any Borrowing Request that requests the
conversion of any Borrowing to, or continuation of any Borrowing as, a LIBO Borrowing shall be ineffective and (ii) if any Borrowing Request requests a LIBO Borrowing, such Borrowing shall be made as a Borrowing of Prime Rate Loans. 

 

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 2.18. Conversion and Continuation of Loans. 
 The Borrowers shall have the right at any time, on three Business Days’ prior irrevocable notice to the Administrative Agent (which notice, to be
effective, must be received by the Administrative Agent not later than 11:00 a.m., Boston time, on the third Business Day preceding the date of any conversion), (x) to convert any outstanding Borrowings of Loans (but in no event Swingline
Loans) of one Type (or a portion thereof) to a Borrowing of Loans of the other Type or (y) to continue an outstanding Borrowing of LIBO Loans for an additional Interest Period, subject to the following: 
 (a) no Borrowing of Loans may be converted into, or continued as, LIBO Loans at any time when an Event of Default has occurred and is
continuing; 
 (b) if less than a full Borrowing of Loans is converted, such conversion shall be made pro rata
among the Revolving Credit Lenders based upon their Revolving Loan Credit Commitment Percentages in accordance with the respective principal amounts of the Loans comprising such Borrowing held by such Revolving Credit Lenders immediately prior to
such conversion; 
 (c) the aggregate principal amount of Loans being converted into or continued as LIBO Loans shall be in an
integral of $500,000 and at least $1,000,000; 
 (d) each Revolving Credit Lender shall effect each conversion by applying the
proceeds of its LIBO Loan or Prime Rate Loan, as the case may be, to its Loan being so converted; 
 (e) the Interest Period
with respect to a Borrowing of LIBO Loans effected by a conversion or in respect to the Borrowing of LIBO Loans being continued as LIBO Loans shall commence on the date of conversion or the expiration of the current Interest Period applicable to
such continuing Borrowing, as the case may be; 
 (f) a Borrowing of LIBO Loans may be converted only on the last day of an
Interest Period applicable thereto; 
 (g) each request for a conversion or continuation of a Borrowing of LIBO Loans which
fails to state an applicable Interest Period shall be deemed to be a request for an Interest Period of one month; and 
 (h)
no more than four (4) Borrowings of LIBO Loans may be outstanding at any time. 
 If the Lead Borrower does not give notice to convert any Borrowing of
LIBO Loans, or does not give notice to continue, or does not have the right to continue, any Borrowing as LIBO Loans, in each case as provided above, such Borrowing shall automatically be converted to a Borrowing of Prime Rate Loans at the
expiration of the then-current Interest Period. The Administrative Agent shall, after it receives notice from the Lead Borrower, promptly give each Revolving Credit Lender notice of any conversion, in whole or part, of any Loan made by such
Revolving Credit Lender. 
  

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 2.19. Mandatory Prepayment; Commitment Termination; Cash Collateral. 
 The outstanding Obligations shall be subject to mandatory prepayment as follows: 
 (a) If at any time the amount of the Credit Extensions exceeds the lower of (i) the then amount of the Revolving Loan Credit
Commitments and (ii) the then amount of the Borrowing Base, the Borrowers will immediately upon notice from the Administrative Agent (A) prepay the Revolving Credit Loans in an amount necessary to eliminate such excess, and (B) if,
after giving effect to the prepayment in full of all outstanding Revolving Credit Loans such excess has not been eliminated, deposit cash into the Cash Collateral Account in an amount equal to the lesser of (a) such excess, and (b) 103% of
the Letter of Credit Outstandings at such time. 
 (b) The Revolving Credit Loans shall be repaid daily in accordance with the
provisions of Section 2.23 hereof. 
 (c) Subject to the provisions of Sections 2.19(a) and (b), outstanding Prime Rate
Loans shall be prepaid before outstanding LIBO Loans are prepaid. Each partial prepayment of LIBO Loans shall be in an integral multiple of $500,000. No prepayment of LIBO Loans shall be permitted pursuant to this Section 2.19 other than on the
last day of an Interest Period applicable thereto, unless the Borrowers simultaneously reimburse the Revolving Credit Lenders for all “Breakage Costs” (as defined in Section 2.20(b) below) associated therewith. In order to avoid such
Breakage Costs, as long as no Event of Default has occurred and is continuing, at the request of the Lead Borrower, the Administrative Agent shall hold all amounts required to be applied to LIBO Loans in the Cash Collateral Account and will apply
such funds to the applicable LIBO Loans at the end of the then pending Interest Period therefor and such LIBO Loans shall continue to bear interest at the rate set forth in Section 2.10 until the amounts in the Cash Collateral Account have been
so applied (provided that the foregoing shall in no way limit or restrict the Agents’ rights upon the subsequent occurrence of an Event of Default). No partial prepayment of a Borrowing of LIBO Loans shall result in the aggregate principal
amount of the LIBO Loans remaining outstanding pursuant to such Borrowing being less than $1,000,000. Except as provided in Section 2.16, any prepayment of the Revolving Credit Loans shall not permanently reduce the Commitments. 
 (d) All amounts required to be applied to all Revolving Credit Loans hereunder (other than Swingline Loans) shall be applied ratably in
accordance with each Revolving Credit Lender’s Commitment Percentage. 
 (e) Upon the Termination Date, the Commitments
and the credit facility provided hereunder shall be terminated in full and the Borrowers shall pay, in full and in cash, all outstanding Loans and all other outstanding Obligations. 
 2.20. Optional Prepayment of Loans; Reimbursement of Revolving Credit Lenders. 
 (a) The Borrowers shall have the right at any time and from time to time to prepay outstanding Revolving Credit Loans in whole or in part,
(x) with respect to LIBO Loans, upon at least two (2) Business Days’ prior written, telex or facsimile notice to the 

  

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Administrative Agent prior to 11:00 a.m., Boston time, and (y) with respect to Prime Rate Loans, on the same Business Day if written, telex or facsimile
notice is received by the Administrative Agent prior to 1:00 p.m., Boston time, subject to the following limitations: 
 (i)
Subject to Section 2.19, all prepayments shall be paid to the Administrative Agent for application, first, to the prepayment of outstanding Swingline Loans, second, to the prepayment of other outstanding Revolving Credit Loans
ratably in accordance with each Revolving Credit Lender’s Revolving Loan Credit Commitment Percentage, and third, to the funding of a cash collateral deposit in the Cash Collateral Account in an amount equal to 103% of all Letter of
Credit Outstandings. 
 (ii) Subject to the foregoing, outstanding Prime Rate Loans shall be prepaid before outstanding LIBO
Loans are prepaid. Each partial prepayment of LIBO Loans shall be in an integral multiple of $500,000. No prepayment of LIBO Loans shall be permitted pursuant to this Section 2.19 other than on the last day of an Interest Period applicable
thereto, unless the Borrowers simultaneously reimburse the Revolving Credit Lenders for all “Breakage Costs” (as defined in Section 2.20(b) below) associated therewith. No partial prepayment of a Borrowing of LIBO Loans shall result
in the aggregate principal amount of the LIBO Loans remaining outstanding pursuant to such Borrowing being less than $1,000,000. 
 (iii) Each notice of prepayment shall specify the prepayment date, the principal amount and Type of the Loans to be prepaid and, in the case of LIBO Loans, the Borrowing or Borrowings pursuant to which such Loans were made. Each notice of
prepayment shall be irrevocable and shall commit the Borrowers to prepay such Loan by the amount and on the date stated therein. The Administrative Agent shall, promptly after receiving notice from the Lead Borrower hereunder, notify each Revolving
Credit Lender of the principal amount and Type of the Loans held by such Revolving Credit Lender which are to be prepaid, the prepayment date and the manner of application of the prepayment. 
 (b) The Borrowers shall reimburse each Revolving Credit Lender on demand for any loss incurred or to be incurred by it in the reemployment
of the funds released (i) resulting from any prepayment (for any reason whatsoever, including, without limitation, conversion to Prime Rate Loans or acceleration by virtue of, and after, the occurrence of an Event of Default) of any LIBO Loan
required or permitted under this Agreement, if such Loan is prepaid other than on the last day of the Interest Period for such Loan or (ii) in the event that after the Lead Borrower delivers a notice of borrowing under Section 2.04 in
respect of LIBO Loans, such Loans are not made on the first day of the Interest Period specified in such notice of borrowing for any reason other than a breach by such Revolving Credit Lender of its obligations hereunder. Such loss shall be the
amount as reasonably determined by such Revolving Credit Lender as the excess, if any, of (A) the amount of interest which would have accrued to such Revolving Credit Lender on the amount so paid or not borrowed at a rate of interest equal to
the Adjusted LIBO Rate for such Loan, for the period from the date of such payment or failure to borrow to the last day (x) in the case of a payment or refinancing with Prime Rate Loans other than on the 

  

 45 

 
last day of the Interest Period for such Loan, of the then current Interest Period for such Loan or (y) in the case of such failure to borrow, of the
Interest Period for such Loan which would have commenced on the date of such failure to borrow, over (B) the amount of interest which would have accrued to such Revolving Credit Lender on such amount by investing such amount in United States
Treasury securities (bills on a discounted basis shall be converted to a bond equivalent) with a maturity date closest to the last day of the applicable Interest Period (collectively, “Breakage Costs”). Any Revolving Credit Lender
demanding reimbursement for such loss shall deliver to the Lead Borrower from time to time one or more certificates setting forth the amount of such loss as determined by such Revolving Credit Lender and setting forth in reasonable detail the manner
in which such amount was determined. 
 (c) In the event the Borrowers fail to prepay any Loan on the date specified in any
prepayment notice delivered pursuant to Section 2.20(a), the Borrowers on demand by any Revolving Credit Lender shall pay to the Administrative Agent for the account of such Revolving Credit Lender any amounts required to compensate such
Revolving Credit Lender for any loss incurred by such Revolving Credit Lender as a result of such failure to prepay, including, without limitation, any loss, cost or expenses incurred by reason of the acquisition of deposits or other funds by such
Revolving Credit Lender to fulfill deposit obligations incurred in anticipation of such prepayment. Any Revolving Credit Lender demanding such payment shall deliver to the Lead Borrower from time to time one or more certificates setting forth the
amount of such loss as determined by such Revolving Credit Lender and setting forth in reasonable detail the manner in which such amount was determined. 
 (d) Whenever any partial prepayment of Loans are to be applied to LIBO Loans, such LIBO Loans shall be prepaid in the chronological order of their Interest Payment Dates. 
 2.21. Maintenance of Loan Account; Statements of Account. 
 (a) The Administrative Agent shall maintain an account on its books in the name of the Borrowers (the “Loan Account”)
which will reflect (i) all Swingline Loans, all Revolving Credit Loans and other advances made by the Lenders to the Borrowers or for the Borrowers’ account, (ii) all L/C Disbursements, fees and interest that have become payable as
herein set forth, and (iii) any and all other Obligations that have become payable. 
 (b) The Loan Account will be
credited with all amounts received by the Administrative Agent from the Borrowers or otherwise for the Borrowers’ account, including all amounts received in the Bank of America Concentration Account from the Blocked Account Banks, and the
amounts so credited shall be applied as set forth in Section 2.23(a). After the end of each month, the Administrative Agent shall send to the Lead Borrower a statement accounting for the charges, loans, advances and other transactions occurring
among and between the Administrative Agent, the Lenders and the Borrowers during that month. The monthly statements shall, absent manifest error, be final, conclusive and binding on the Borrowers. 
  

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 2.22. Cash Receipts. 
 (a) Annexed hereto as Schedule 2.22(a) is a list of all present DDAs, which Schedule includes, with respect to each depository
(i) the name and address of that depository; (ii) the account number(s) maintained with such depository; and (iii) to the extent known, a contact person at such depository. 
 (b) Annexed hereto as Schedule 2.22(b) is a list describing all arrangements to which any Borrower is a party with respect to the
payment to a Borrower of the proceeds of all credit card charges for sales by a Borrower. 
 (c) On or prior to the Effective
Date, the Lead Borrower shall (i) deliver to the Administrative Agent notifications executed on behalf of the Borrowers to each depository institution with which any DDA is maintained in form satisfactory to the Administrative Agent, of the
Administrative Agent’s interest in such DDA (each, a “DDA Notification”), such DDA Notifications to be held in escrow by the Administrative Agent until the occurrence of a Cash Dominion Event, at which time the Administrative
Agent may, in its discretion, forward such DDA Notifications to the applicable institutions, and (ii) deliver to the Administrative Agent agreements executed with each of each Borrower’s credit card clearinghouses and processors in form
satisfactory to the Administrative Agent, (each, a “Credit Card Agreement”), and (iii) enter into agency agreements with the banks maintaining the deposit accounts identified on Schedule 2.22(c) (collectively, the
“Blocked Accounts”), which agreements (the “Blocked Account Agreements”) shall be in form and substance satisfactory to the Administrative Agent. The DDA Notifications, Credit Card Agreements and Blocked Account
Agreements shall require, after the occurrence and during the continuance of a Cash Dominion Event, the sweep on each Business Day of all available cash receipts from the sale of Inventory and other assets, all collections of Accounts, and all other
cash payments received by any Borrower from any Person or from any source or on account of any sale or other transaction or event (all such cash receipts and collections, “Cash Receipts”), to a concentration account maintained by
the Collateral Agent at Bank of America (the “Bank of America Concentration Account”). In that regard, after the occurrence and during the continuance of a Cash Dominion Event, the Borrowers shall cause the ACH or wire transfer to a
Blocked Account or to the Bank of America Concentration Account, no less frequently than daily (and whether or not there is then an outstanding balance in the Loan Account) of (A) the then contents of each DDA, each such transfer to be net of
any minimum balance, not to exceed $2,500, as may be required to be maintained in the subject DDA by the bank at which such DDA is maintained; and (B) the proceeds of all credit card charges not otherwise provided for pursuant hereto. Further,
after the occurrence and during the continuance of a Cash Dominion Event, whether or not any Obligations are then outstanding, the Borrowers shall cause the ACH or wire transfer to the Bank of America Concentration Account, no less frequently than
daily, of the then entire ledger balance of each Blocked Account, net of such minimum balance, not to exceed $2,500, as may be required to be maintained in the subject Blocked Account by the bank at which such Blocked Account is maintained. In the
event that, notwithstanding the provisions of this Section 2.22, any Borrower receives or otherwise has dominion and control of any such proceeds or collections, such proceeds and collections shall be held in 

  

 47 

 
trust by such Borrower for the Administrative Agent and shall not be commingled with any of any Borrower’s other funds or deposited in any account of
any Borrower and shall either be promptly deposited into a Blocked Account or the Bank of America Concentration Account, or dealt with in such other fashion as the Lead Borrower may be instructed by the Administrative Agent. 
 (d) The Lead Borrower shall accurately report to the Administrative Agent all amounts deposited in the Blocked Accounts (other than any
such amounts deposited with Bank of America) to ensure the proper transfer of funds as set forth above. If at any time other than the times set forth above any cash or cash equivalents owned by any Borrower are deposited to any account, or held or
invested in any manner, otherwise than in a Blocked Account that is subject to a Blocked Account Agreement, the Administrative Agent shall require such Borrower to close such account and have all funds therein transferred to an account maintained by
the Administrative Agent at Bank of America and all future deposits made to a Blocked Account which is subject to a Blocked Account Agreement. 
 (e) The Borrowers may close DDAs or Blocked Accounts and/or open new DDAs or Blocked Accounts, subject to the execution and delivery to the Administrative Agent of appropriate DDA Notifications or Blocked Account
Agreements (unless expressly waived by the Administrative Agent) consistent with the provisions of this Section 2.22 and otherwise satisfactory to the Administrative Agent. Unless consented to in writing by the Administrative Agent, the
Borrowers may not maintain any bank accounts (other than accounts that in the aggregate have balances of $2,500 or less) or enter into any agreements with credit card processors other than the ones expressly contemplated herein. 
 (f) The Borrowers shall also maintain with the Administrative Agent at Bank of America one or more disbursement accounts (the
“Bank of America Disbursement Accounts”) to be used by the Borrowers for disbursements and payments (including payroll) in the ordinary course of business or as otherwise permitted hereunder. The only Disbursement Accounts as of the
Effective Date are those described in Schedule 2.22(f). 
 (g) The Bank of America Concentration Account is, and shall
remain, under the sole dominion and control of the Collateral Agent. The Borrowers acknowledge and agree that, subject to the provisions of the next to last sentence of Section 2.23(a), (i) the Borrowers have no right of withdrawal from
the Bank of America Concentration Account, (ii) the funds on deposit in the Bank of America Concentration Account shall continue to be collateral security for all of the Obligations, and (iii) the funds on deposit in the Bank of America
Concentration Account shall be applied as provided in Section 2.23(a). 
 2.23. Application of Payments. 
 (a) As long as no Cash Dominion Event has occurred and is continuing, and no Event of Default has occurred and is continuing, and the
Obligations have not been accelerated, subject to the provisions of Section 2.20, all amounts received by the Agents 

  

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from any source shall be applied to the Obligations as the Administrative Agent and the Lead Borrower may agree. Subject to the provisions of
Section 2.20, if a Cash Dominion Event has occurred and is continuing, as long as the Obligations have not been accelerated (in which event the provisions of Section 6.02 of the Security Agreement shall apply), all amounts received in the
Bank of America Concentration Account from any source, including the Blocked Account Banks, shall be applied in the following order: first, to pay interest due and payable on Credit Extensions and to pay fees and expense reimbursements and
indemnification then due and payable to the Administrative Agent, the Issuing Bank, the Collateral Agent and the Revolving Credit Lenders (other than fees, expenses and indemnifications relating to Obligations described in clause Fifth of this
Section 2.23(a)); second, to repay outstanding Swingline Loans; third, to repay other outstanding Revolving Credit Loans that are Prime Rate Loans and all outstanding reimbursement obligations under Letters of Credit;
fourth, to repay outstanding Revolving Credit Loans that are LIBO Loans and all Breakage Costs due in respect of such repayment pursuant to Section 2.19(b) or, at the Borrowers’ option (if no Event of Default has occurred and is
then continuing), to fund a cash collateral deposit to the Cash Collateral Account sufficient to pay, and with direction to pay, all such outstanding LIBO Loans on the last day of the then-pending Interest Period therefor; and fifth, to pay
all other Obligations that are then outstanding and then due and payable, including without limitation, all Obligations arising out of any cash management, depository, investment, letter of credit, Hedging Agreement, or other banking or financial
services provided by Bank of America. If all Obligations are paid, any excess amounts shall be deposited in a separate cash collateral account, and as long as no Event of Default then exists, shall be released to the Borrowers upon the request of
the Lead Borrower and utilized by the Borrowers prior to any further Revolving Credit Loans being made. Any other amounts received by the Administrative Agent, the Issuing Bank, the Collateral Agent, or any Lender as contemplated by
Section 2.22 shall also be applied in the order set forth above in this Section 2.23. 
 (b) All credits against the
Obligations shall be conditioned upon final payment to the Administrative Agent of the items giving rise to such credits. If any item deposited to the Bank of America Concentration Account and credited to the Loan Account is dishonored or returned
unpaid for any reason, whether or not such return is rightful or timely, the Administrative Agent shall have the right to reverse such credit and charge the amount of such item to the Loan Account and the Borrowers shall indemnify the Administrative
Agent, the Collateral Agent, the Issuing Bank and the Lenders against all claims and losses resulting from such dishonor or return. Interest on the unpaid principal balance of the Loan Account shall be calculated as if payments had been made one
Business Day after such application. 
 2.24. Increased Costs. 
 (a) If any Change in Law shall: 
 (i) impose, modify or deem applicable any reserve, special deposit or similar requirement against assets of, deposits with or for the account of, or credit extended by, any Revolving 

  

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Credit Lender or any holding company of any Revolving Credit Lender (except any such reserve requirement reflected in the Adjusted LIBO Rate) or the Issuing
Bank; or 
 (ii) impose on any Revolving Credit Lender or the Issuing Bank or the London interbank market any other condition
affecting this Agreement or LIBO Loans made by such Revolving Credit Lender or any Letter of Credit or participation therein; 
 and the result of any of the
foregoing shall be to increase the cost to such Revolving Credit Lender of making or maintaining any LIBO Loan (or of maintaining its obligation to make any such Loan) or to increase the cost to such Revolving Credit Lender or the Issuing Bank of
participating in, issuing or maintaining any Letter of Credit or to reduce the amount of any sum received or receivable by such Revolving Credit Lender or the Issuing Bank hereunder (whether of principal, interest or otherwise), then the Borrowers
will pay to such Revolving Credit Lender or the Issuing Bank, as the case may be, such additional amount or amounts as will compensate such Revolving Credit Lender or the Issuing Bank, as the case may be, for such additional costs incurred or
reduction suffered. 
 (b) If any Lender or the Issuing Bank reasonably determines that any Change in Law regarding capital
requirements has or would have the effect of reducing the rate of return on such Lender’s or the Issuing Bank’s capital or on the capital of such Lender’s or the Issuing Bank’s holding company, if any, as a consequence of this
Agreement or the Loans made by, or participations in Letters of Credit held by, such Lender, or the Letters of Credit issued by the Issuing Bank, to a level below that which such Lender or the Issuing Bank or such Lender’s or the Issuing
Bank’s holding company could have achieved but for such Change in Law (taking into consideration such Lender’s or the Issuing Bank’s policies and the policies of such Lender’s or the Issuing Bank’s holding company with
respect to capital adequacy), then from time to time the Borrowers will pay to such Lender or the Issuing Bank, as the case may be, such additional amount or amounts as will compensate such Lender or the Issuing Bank or such Lender’s or the
Issuing Bank’s holding company for any such reduction suffered. 
 (c) A certificate of a Lender or the Issuing Bank
setting forth the amount or amounts necessary to compensate such Lender or the Issuing Bank or its holding company, as the case may be, as specified in paragraph (a) or (b) of this Section and setting forth in reasonable detail the manner
in which such amount or amounts were determined shall be delivered to the Lead Borrower and shall be conclusive absent manifest error. The Borrowers shall pay such Lender or the Issuing Bank, as the case may be, the amount shown as due on any such
certificate within ten (10) Business Days after receipt thereof. 
 (d) Failure or delay on the part of any Lender or the
Issuing Bank to demand compensation pursuant to this Section shall not constitute a waiver of such Lender’s or the Issuing Bank’s right to demand such compensation, provided that no compensation shall be required to be paid for any amounts
incurred more than 120 days prior to the date of such demand. 
  

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 2.25. Change in Legality. 
 (a) Notwithstanding anything to the contrary contained elsewhere in this Agreement, if (x) any Change in Law shall make it unlawful
for a Revolving Credit Lender to make or maintain a LIBO Loan or to give effect to its obligations as contemplated hereby with respect to a LIBO Loan or (y) at any time any Revolving Credit Lender determines that the making or continuance of
any of its LIBO Loans has become impracticable as a result of a contingency occurring after the date hereof which adversely affects the London interbank market or the position of such Revolving Credit Lender in the London interbank market, then, by
written notice to the Lead Borrower, such Revolving Credit Lender may (i) declare that LIBO Loans will not thereafter be made by such Revolving Credit Lender hereunder, whereupon any request by the Lead Borrower for a LIBO Borrowing shall, as
to such Revolving Credit Lender only, be deemed a request for a Prime Rate Loan unless such declaration shall be subsequently withdrawn; and (ii) require that all outstanding LIBO Loans made by it be converted to Prime Rate Loans, in which
event all such LIBO Loans shall be automatically converted to Prime Rate Loans as of the effective date of such notice as provided in paragraph (b) below. In the event any Revolving Credit Lender shall exercise its rights under clause
(i) or (ii) of this paragraph (a), all payments and prepayments of principal which would otherwise have been applied to repay the LIBO Loans that would have been made by such Revolving Credit Lender or the converted LIBO Loans of such
Revolving Credit Lender shall instead be applied to repay the Prime Rate Loans made by such Revolving Credit Lender in lieu of, or resulting from the conversion of, such LIBO Loans. 
 (b) For purposes of this Section 2.25, a notice to the Lead Borrower by any Revolving Credit Lender pursuant to paragraph
(a) above shall be effective, if any LIBO Loans shall then be outstanding, on the last day of the then-current Interest Period; and otherwise such notice shall be effective on the date of receipt by the Lead Borrower. 
 2.26. Payments; Sharing of Setoff. 
 (a) The Borrowers shall make each payment required to be made by it hereunder or under any other Loan Document (whether of principal, interest, fees or reimbursement of drawings under Letters of Credit, or of amounts
payable under Sections 2.20(b), 2.24 or 2.27, or otherwise) prior to 12:00 noon, Boston time, on the date when due, in immediately available funds, without setoff or counterclaim. Any amounts received after such time on any date may, in the
discretion of the Administrative Agent, be deemed to have been received on the next succeeding Business Day for purposes of calculating interest thereon. All such payments shall be made to the Administrative Agent at Bank of America’s offices
at 100 Federal Street, Boston, Massachusetts, except payments to be made directly to the Issuing Bank or Swingline Lender as expressly provided herein and except that payments pursuant to Sections 2.20(b), 2.24 and 2.27 shall be made directly to the
Persons entitled thereto and payments pursuant to other Loan Documents shall be made to the Persons specified therein. The Administrative Agent shall distribute any such payments received by it for the account of any other Person to the appropriate
recipient promptly following receipt thereof. If any payment under any Loan Document shall be due on a day that is not a Business Day, except with 

  

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respect to LIBO Borrowings, the date for payment shall be extended to the next succeeding Business Day, and, in the case of any payment accruing interest,
interest thereon shall be payable for the period of such extension. All payments under each Loan Document shall be made in U.S. dollars. 
 (b) All funds received by and available to the Administrative Agent to pay principal, unreimbursed drawings under Letters of Credit, interest and fees then due hereunder, shall be applied in accordance with the
provisions of Section 2.23(a) hereof or Section 6.02 of the Security Agreement, as applicable, ratably among the parties entitled thereto. 
 (c) Unless the Administrative Agent shall have received notice from the Lead Borrower prior to the date on which any payment is due to the Administrative Agent for the account of the Lenders or the Issuing Bank
hereunder that the Borrowers will not make such payment, the Administrative Agent may assume that the Borrowers have made such payment on such date in accordance herewith and may, in reliance upon such assumption, distribute to the Lenders or the
Issuing Bank, as the case may be, the amount due. In such event, if the Borrowers have not in fact made such payment, then each of the Lenders or the Issuing Bank, as the case may be, severally agrees to repay to the Administrative Agent forthwith
on demand the amount so distributed to such Lender or Issuing Bank with interest thereon, for each day from and including the date such amount is distributed to it to but excluding the date of payment to the Administrative Agent, at the greater of
the Federal Funds Effective Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation. 
 (d) If any Lender shall fail to make any payment required to be made by it pursuant to this Agreement, then the Administrative Agent may, in its discretion (notwithstanding any contrary provision hereof), apply any
amounts thereafter received by the Administrative Agent for the account of such Lender to satisfy such Lender’s obligations under such Sections until all such unsatisfied obligations are fully paid. 
 2.27. Taxes. 
 (a) Any
and all payments by or on account of any obligation of the Borrowers hereunder or under any other Loan Document shall be made free and clear of and without deduction for any Indemnified Taxes, provided that if the Borrowers shall be required
to deduct any Indemnified Taxes from such payments, then (i) the sum payable shall be increased as necessary so that after making all required deductions for Indemnified Taxes (including deductions for Indemnified Taxes applicable to additional
sums payable under this Section) the Agents, such Lender or the Issuing Bank (as the case may be) receives an amount equal to the sum it would have received had no such deductions been made, (ii) the Borrowers shall make such deductions, and
(iii) the Borrowers shall pay the full amount deducted to the relevant Governmental Authority in accordance with Applicable Law. 
  

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 (b) In addition, the Borrowers shall pay any Other Taxes to the relevant Governmental
Authority in accordance with Applicable Law. 
 (c) The Borrowers shall indemnify the Agents, each Lender and the Issuing
Bank, within ten (10) Business Days after written demand therefor, for the full amount of any Indemnified Taxes or Other Taxes paid by the Agents, such Lender or the Issuing Bank, as the case may be, on or with respect to any payment by or on
account of any obligation of the Borrowers hereunder or under any other Loan Document (including Indemnified Taxes or Other Taxes imposed or asserted on or attributable to amounts payable under this Section) and any penalties, interest and
reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment
or liability delivered to the Lead Borrower by a Lender or the Issuing Bank, or by the Administrative Agent on its own behalf or on behalf of an Agent, a Lender or the Issuing Bank setting forth in reasonable detail the manner in which such amount
was determined, shall be conclusive absent manifest error. 
 (d) As soon as practicable after any payment of Indemnified
Taxes or Other Taxes by the Borrowers to a Governmental Authority, the Borrowers shall deliver to the Administrative Agent the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the
return reporting such payment or other evidence of such payment reasonably satisfactory to the Administrative Agent. 
 (e)
Any Foreign Lender that is entitled to an exemption from or reduction in U.S. Federal withholding tax shall deliver to the Lead Borrower and the Administrative Agent two copies of either United States Internal Revenue Service Form W-8BEN or Form
W-8ECI, or any subsequent versions thereof or successors thereto, or, in the case of a Foreign Lender claiming exemption from in U.S. Federal withholding tax under Section 871(h) or 881(c) of the Code with respect to payments of “portfolio
interest”, a (i) Form W-8BEN, or any subsequent versions thereof or successors thereto and (ii) a certificate representing that such Foreign Lender is not (A) a bank for purposes of Section 881(c) of the Code, (B) is
not a 10-percent shareholder (within the meaning of Section 871(h)(3)(B) of the Code) of any Borrower and (C) is not a controlled foreign corporation related to any Borrower (within the meaning of Section 864(d)(4) of the Code)), properly
completed and duly executed by such Foreign Lender claiming, as applicable, complete exemption from or reduced rate of, U.S. Federal withholding Tax on payments by the Borrowers under this Agreement and the other Loan Documents, or in the case of a
Foreign Lender claiming exemption for “portfolio interest” certifying that it is not a foreign corporation, partnership, estate or trust. Such forms shall be delivered by each Foreign Lender on or before the date it becomes a party to this
Agreement (or, in the case of a transferee that is a participation holder, on or before the date such participation holder becomes a transferee hereunder) and on or before the date, if any, such Foreign Lender changes its applicable lending office
by designating a different lending office (a “New Lending Office”). In addition, each Foreign Lender shall deliver such forms promptly upon the obsolescence or invalidity of any form previously delivered by such Foreign Lender.
Notwithstanding any other provision of this Section 2.27(e), a Foreign 

  

 53 

 
Lender shall not be required to deliver any form pursuant to this Section 2.27(e) that such Foreign Lender is not legally able to deliver. 

(f) Upon the request of the Lead Borrower, any Lender that is not a Foreign Lender shall deliver to the Lead Borrower two copies of
United States Internal Revenue Service Form W-9 or any subsequent versions thereof or successors thereto, properly completed and duly executed. If any Lender fails to deliver Form W-9 or any subsequent versions thereof or successors thereto as
required herein, then the Borrowers may withhold from any payment to such party an amount equivalent to the applicable backup withholding Tax imposed by the Code, without reduction. 
 (g) The Borrowers shall not be required to indemnify any Lender or to pay any additional amounts to any Lender in respect of U.S. Federal
withholding tax pursuant to paragraph (a) or (c) above to the extent that the obligation to pay such additional amounts would not have arisen but for a failure by such Lender to comply with the provisions of paragraphs (e) or
(f) above. Should a Lender become subject to Taxes because of its failure to deliver a form required hereunder, the Borrowers shall, at such Lender’s expense, take such steps as such Lender shall reasonably request to assist such Lender to
recover such Taxes. 
 (h) Each of the Lenders agrees that upon the occurrence of any circumstances entitling such party to
indemnification or additional amounts pursuant to Section 2.27(a) or (c), such party shall use reasonable efforts to take any action (including designating a new lending office and signing any prescribed forms or other documentation appropriate
in the circumstances) if such action would reduce or eliminate any Tax (including penalties or interest, as applicable) with respect to which such indemnification or additional amounts may thereafter accrue. 
 (i) If any Lender reasonably determines that it has actually and finally realized, by reason of a refund, deduction or credit of any Taxes
paid or reimbursed by the Borrowers pursuant to subsection (a) or (c) above in respect of payments under the Loan Documents, a current monetary benefit that it would otherwise not have obtained and that would result in the total payments
under this Section 2.27 exceeding the amount needed to make such Lender whole, such Lender shall pay to the Lead Borrower, with reasonable promptness following the date upon which it actually realizes such benefit, an amount equal to the lesser
of the amount of such benefit or the amount of such excess, in each case net of all out-of-pocket expenses incurred in securing such refund, deduction or credit. 
 2.28. Security Interests in Collateral. 
 To secure their Obligations under this Agreement and the
other Loan Documents, the Loan Parties shall grant to the Collateral Agent, for its benefit and the ratable benefit of the other Secured Parties, a first-priority security interest in all of the Collateral pursuant to the Security Documents.

  

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 2.29. Mitigation Obligations; Replacement of Lenders. 
 (a) If any Lender requests compensation under Section 2.24, or if the Borrowers are required to pay any additional amount to any
Lender or any Governmental Authority for the account of any Lender pursuant to Section 2.27, then such Lender shall use reasonable efforts to designate a different lending office for funding or booking its Loans hereunder or to assign its
rights and obligations hereunder to another of its offices, branches or affiliates, if, in the judgment of such Lender, such designation or assignment (i) would eliminate or reduce amounts payable pursuant to Section 2.24 or 2.27, as the
case may be, in the future and (ii) would not subject such Lender to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender. The Borrowers hereby agree to pay all reasonable costs and expenses incurred by any
Lender in connection with any such designation or assignment; provided, however, that the Borrowers shall not be liable for such costs and expenses of a Lender requesting compensation if (i) such Lender becomes a party to this
Agreement on a date after the Effective Date and (ii) the relevant Change in Law occurs on a date prior to the date such Lender becomes a party hereto. 
 (b) If any Lender requests compensation under Section 2.24, or if the Borrowers are required to pay any additional amount to any
Lender or any Governmental Authority for the account of any Lender pursuant to Section 2.27, or if any Lender defaults in its obligation to fund Loans hereunder, then the Borrowers may, at their sole expense and effort, upon notice to such
Lender and the Administrative Agent by the Lead Borrower, require such Lender to assign and delegate, without recourse (in accordance with and subject to the restrictions contained in Section 9.05), all its interests, rights and obligations
under this Agreement to an assignee that shall assume such obligations (which assignee may be another Lender, if a Lender accepts such assignment), provided that (i) the Lead Borrower shall have received the prior written consent of the
Administrative Agent, the Issuing Bank and Swingline Lender, which consent shall not unreasonably be withheld, (ii) such Lender shall have received payment of an amount equal to the outstanding principal of its Loans and participations in
unreimbursed drawings under Letters of Credit and Swingline Loans, accrued interest thereon, accrued fees and all other amounts payable to it hereunder from the assignee (to the extent of such outstanding principal and accrued interest and fees) or
the Borrowers (in the case of all other amounts) and (iii) in the case of any such assignment resulting from a claim for compensation under Section 2.24 or payments required to be made pursuant to Section 2.27, such assignment will
result in a reduction in such compensation or payments. A Lender shall not be required to make any such assignment and delegation if, prior thereto, as a result of a waiver by such Lender or otherwise, the circumstances entitling the Borrowers to
require such assignment and delegation cease to apply. 
  

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 ARTICLE III 
 Representations and Warranties 
 Each Loan Party represents and warrants to the Agents and the
Lenders that: 
 3.01. Organization; Powers. Each Loan Party is duly organized, validly existing and in good standing under the laws of
the jurisdiction of its organization, has all requisite power and authority to carry on its business as now conducted and, except where the failure to do so, individually or in the aggregate, could not reasonably be expected to result in a Material
Adverse Effect, is qualified to do business in, and is in good standing in, every jurisdiction where such qualification is required. 
 3.02.
Authorization; Enforceability. The transactions contemplated hereby and by the other Loan Documents to be entered into by each Loan Party are within such Loan Party’s corporate or partnership and other powers, as applicable, and have
been duly authorized by all necessary corporate and, if required, stockholder action. This Agreement has been duly executed and delivered by each Loan Party that is a party hereto and constitutes, and each other Loan Document to which any Loan Party
is a party, when executed and delivered by such Loan Party will constitute, a legal, valid and binding obligation of such Loan Party (as the case may be), enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium or other laws affecting creditors’ rights generally and subject to general principles of equity, regardless of whether considered in a proceeding in equity or at law. 
 3.03. Governmental Approvals; No Conflicts. The transactions to be entered into contemplated by the Loan Documents (a) do not require any
consent or approval of, registration or filing with, or any other action by, any Governmental Authority, except for such as have been obtained or made and are in full force and effect and except filings and recordings necessary to perfect Liens
created under the Loan Documents, (b) will not violate any Applicable Law or the Organizational Documents of any Loan Party or any order of any Governmental Authority, (c) will not violate or result in a default under any indenture,
agreement or other instrument binding upon any Loan Party or its assets, or give rise to a right thereunder to require any payment to be made by any Loan Party, and (d) will not result in the creation or imposition of any Lien on any asset of
any Loan Party, except Liens created under the Loan Documents. 
 3.04. Financial Condition. The Lead Borrower has heretofore
furnished to the Lenders the Consolidated balance sheet, and statements of income, stockholders’ equity, and cash flows for the Lead Borrower and its Subsidiaries as of and for the Fiscal Year ending January 28, 2006, certified by a
Financial Officer of the Lead Borrower. Such financial statements present fairly, in all material respects, the financial position, results of operations and cash flows of the Lead Borrower and its Subsidiaries as of such dates and for such periods
in accordance with GAAP. Since January 28, 2006, there have been no changes in the assets, liabilities, financial condition, or business of the Lead Borrower and its Subsidiaries, other than changes in the ordinary course of business, the
effect of which has had a Material Adverse Effect. 
 3.05. Properties. 
 (a) Except as disclosed in Schedules 3.05(c)(i) and 3.05(c)(ii), each Loan Party has good title to, or valid leasehold interests in, all
its real and personal property material to its business, except for defects which could not reasonably be expected to have a Material Adverse Effect. 
  

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 (b) Each Loan Party owns, or is licensed to use, all trademarks, trade names, copyrights,
patents and other intellectual property material to its business, and the use thereof by the Loan Parties does not infringe upon the rights of any other Person, except for any such infringements that, individually or in the aggregate, could not
reasonably be expected to result in a Material Adverse Effect. 
 (c) Schedule 3.05(c)(i) sets forth the address
(including county) of all Real Estate that is owned by the Loan Parties, together with a list of the holders of any mortgage or other Lien thereon as of the Effective Date. Schedule 3.05(c)(ii) sets forth the address (including county) of all
Leases of the Loan Parties, together with a list of the holders of any mortgage or other Lien on any Borrower’s interest in such Lease as of the Effective Date. Each of such Leases is in full force and effect and the Loan Parties are not in
default of the terms thereof, except for any such defaults that, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect. 
 3.06. Litigation and Environmental Matters. 
 (a) Except for the matters set forth on Schedule 3.06(a), there are no actions, suits or proceedings by or before any arbitrator or Governmental Authority pending against or, to the knowledge of the Borrowers,
threatened against or affecting any Loan Party (i) as to which there is a reasonable possibility of an adverse determination and that, if adversely determined, could reasonably be expected, individually or in the aggregate, to result in a
Material Adverse Effect or (ii) that involve any of the Loan Documents. 
 (b) Except for the matters set forth on
Schedule 3.06(b), no Loan Party (i) has failed to comply with any Environmental Law or to obtain, maintain or comply with any permit, license or other approval required under any Environmental Law, (ii) has become subject to any
Environmental Liability, (iii) has received notice of any claim with respect to any Environmental Liability or (iv) knows of any basis for any Environmental Liability. 
 (c) Since the date of this Agreement, there has been no change in the status of the matters set forth on Schedule 3.06 that,
individually or in the aggregate, has resulted in, or could reasonably be expected to result in, a Material Adverse Effect. 
 3.07.
Compliance with Laws and Agreements. Each Loan Party is in compliance with all Applicable Law and all indentures, material agreements and other instruments binding upon it or its property, except where the failure to do so, individually or in
the aggregate, could not reasonably be expected to result in a Material Adverse Effect. No Default has occurred and is continuing. 
 3.08.
Investment and Holding Company Status. No Loan Party is (a) an “investment company” as defined in, or subject to regulation under, the Investment Company Act of 1940 or (b) a “holding company” as defined in, or
subject to regulation under, the Public Utility Holding Company Act of 1935. 
  

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 3.09. Taxes. Except as set forth on Schedule 3.09 hereto, each Loan Party has timely filed or
caused to be filed all federal and state Tax returns and reports required to have been filed and has paid or caused to be paid all Taxes required to have been paid by it, except (a) Taxes that are being contested in good faith by appropriate
proceedings, for which such Loan Party has set aside on its books adequate reserves, and as to which no Lien has been filed, or (b) to the extent that the failure to do so could not reasonably be expected to result in a Material Adverse Effect.

 3.10. ERISA. No ERISA Event has occurred or is reasonably expected to occur that, when taken together with all other such ERISA
Events for which liability is reasonably expected to occur, could reasonably be expected to result in a Material Adverse Effect. The present value of all accumulated benefit obligations under each Plan (based on the assumptions used for purposes of
Statement of Financial Accounting Standards No. 87) did not, as of the date of the most recent financial statements reflecting such amounts, exceed the fair market value of the assets of such Plan, and the present value of all accumulated
benefit obligations of all underfunded Plans (based on the assumptions used for purposes of Statement of Financial Accounting Standards No. 87) did not, as of the date of the most recent financial statements reflecting such amounts, exceed the
fair market value of the assets of all such underfunded Plans. 
 3.11. Disclosure. The Borrowers have disclosed to the Lenders all
agreements, instruments and corporate or other restrictions to which any Loan Party is subject, and all other matters known to any of them, that, individually or in the aggregate, could reasonably be expected to result in a Material Adverse Effect.
None of any of the reports, financial statements, certificates or other written information furnished by or on behalf of any Loan Party to the Administrative Agent or any Lender in connection with the negotiation of this Agreement or any other Loan
Document or delivered hereunder or thereunder (as modified or supplemented by other information so furnished) contains any material misstatement of fact or omits to state any material fact necessary to make the statements therein, in the light of
the circumstances under which they were made, not misleading. 
 3.12. Subsidiaries. 
 (a) Schedule 3.12 sets forth the name of, and the ownership interest of each Loan Party in each Subsidiary as of the Effective
Date. There is no other capital stock or ownership interest of any class outstanding as of the Effective Date. The Loan Parties are not party to any joint venture, general or limited partnership, or limited liability company, agreements or any other
business ventures or entities as of the Effective Date. 
 (b) The Lead Borrower and its Subsidiaries have received the
consideration for which the capital stock and other ownership interests were authorized to be issued and have otherwise complied with all legal requirements relating to the authorization and issuance of shares of stock and other ownership interests,
and all such shares and ownership interests are validly issued, fully paid, and non-assessable. 
 3.13. Insurance. Schedule 3.13 sets
forth a description of all insurance maintained by or on behalf of the Loan Parties and their Subsidiaries. Each of such policies is in full force and effect. All premiums in respect of such insurance that are due and payable have been paid.

  

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 3.14. Labor Matters. There are no strikes, lockouts or slowdowns against any Loan Party pending
or, to the knowledge of the Borrowers, threatened. The hours worked by and payments made to employees of the Loan Parties have not been in violation of the Fair Labor Standards Act or any other applicable federal, state, local or foreign law dealing
with such matters to the extent that any such violation could reasonably be expected to have a Material Adverse Effect. All payments due from any Loan Party, or for which any claim may be made against any Loan Party, on account of wages and employee
health and welfare insurance and other benefits, have been paid or accrued as a liability on the books of such member. The consummation of the transactions contemplated by the Loan Documents will not give rise to any right of termination or right of
renegotiation on the part of any union under any collective bargaining agreement to which any Loan Party is bound. 
 3.15. Security
Documents. The Security Documents create in favor of the Collateral Agent, for the ratable benefit of the Secured Parties, a legal, valid and enforceable security interest in the Collateral, and the Security Documents constitute the creation of
a fully perfected first priority Lien on, and security interest in, all right, title and interest of the Loan Parties thereunder in such Collateral, in each case prior and superior in right to any other Person (other than Permitted Encumbrances
having priority under Applicable Law). 
 3.16. Federal Reserve Regulations. 
 (a) No Loan Party is engaged principally, or as one of its important activities, in the business of extending credit for the purpose of
buying or carrying Margin Stock. 
 (b) No part of the proceeds of any Loan or any Letter of Credit will be used, whether
directly or indirectly, and whether immediately, incidentally or ultimately, (i) to buy or carry Margin Stock or to extend credit to others for the purpose of buying or carrying Margin Stock or to refund indebtedness originally incurred for
such purpose or (ii) for any purpose that entails a violation of, or that is inconsistent with, the provisions of the Regulations of the Board, including Regulation U or X. 
 3.17. Solvency 
 (a)
The Loan Parties, on a Consolidated basis, are Solvent. No transfer of property is being made by any Loan Party and no obligation is being incurred by any Loan Party in connection with the transactions contemplated by this Agreement or the other
Loan Documents with the intent to hinder, delay, or defraud either present or future creditors of any Loan Party. 
 ARTICLE IV 
 Conditions 
 4.01. Effective
Date. The obligation of the Revolving Credit Lenders to make each Revolving Credit Loan and of the Issuing Bank to issue each Letter of Credit, including the initial Loan and the initial Letters of Credit, if any, on the Effective Date, is
subject to the following conditions precedent: 
 (a) The Agents (or their counsel) shall have received from each party hereto
either (i) a counterpart of this Agreement and all other Loan Documents (including, without limitation, the Security Documents) signed on behalf of such party or (ii) written evidence satisfactory to the Agents (which may include telecopy
transmission of a signed signature page of this Agreement) that such party has signed a counterpart of this Agreement and all other Loan Documents. 
  

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 (b) The Agents shall have received such documents and certificates as the Agents or their
counsel may reasonably request relating to the organization, existence and good standing of each Loan Party, the authorization of the transactions contemplated by the Loan Documents and any other legal matters relating to the Loan Parties, the Loan
Documents or the transactions contemplated thereby, all in form and substance reasonably satisfactory to the Agents and their counsel. 
 (c) All of the Loan Parties’ accounts payable and Taxes then due and owing shall be paid currently, other than those amounts subject to the good faith dispute of the Loan Parties, if failure to pay could
reasonably be expected to have a Material Adverse Effect. 
 (d) The corporate structure and organization of the Loan Parties
shall be reasonably satisfactory to the Administrative Agent, and the Administrative Agent shall be reasonably satisfied that all Loan Parties are Solvent as of the Effective Date, and are left with capital sufficient to operate, and that all
transactions and conditions required to consummate the closing and post closing will not be subject to a successful claim of fraudulent conveyance. 
 (e) All necessary consents and approvals to the transactions contemplated hereby shall have been obtained and shall be reasonably satisfactory to the Agents. 
 (f) On or before thirty (30) days after the Effective Date the Collateral Agent shall have received (a) appraisals of the
Collateral consisting of Inventory by a third party appraiser acceptable to the Collateral Agent, the results of which are reasonably satisfactory to the Collateral Agent; and (b) a written report regarding the results of a commercial finance
examination of the Loan Parties, which shall be reasonably satisfactory to the Collateral Agent. 
 (g) The Agents shall be
reasonably satisfied that any financial statements delivered to them fairly present the business and financial condition of the Lead Borrower and its Subsidiaries, and that there has been no material adverse change in the assets, business, financial
condition, income or prospects of the Lead Borrower and its Subsidiaries since the date of the most recent financial information delivered to the Agents. 
 (h) The Administrative Agent shall have received and be reasonably satisfied with (a) monthly detailed one-year financial projections and business assumptions for the Lead Borrower and its Subsidiaries, and
(b) such other information (financial or otherwise) reasonably requested by the Administrative Agent. 
  

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 (i) Except for the matters set forth on Schedule 3.06(a), there shall not be
pending any litigation or other proceeding, the result of which could reasonably be expected to have a Material Adverse Effect. 
 (j) There shall not have occurred any default of any material contract or agreement of any Loan Party which could reasonably be expected to have a Material Adverse Effect. 
 (k) The Collateral Agent shall have received results of searches or other evidence reasonably satisfactory to the Collateral Agent (in
each case dated as of a date reasonably satisfactory to the Collateral Agent) indicating the absence of Liens on the assets of the Loan Parties, except for (i) Permitted Encumbrances and (ii) Liens for which termination statements and
releases or subordination agreements reasonably satisfactory to the Collateral Agent are being tendered concurrently with such extension of credit. 
 (l) The Collateral Agent shall have received (i) all documents and instruments, including Uniform Commercial Code financing statements, required by law or reasonably requested by the Collateral Agent to be filed,
registered or recorded to create or perfect the first priority Liens intended to be created under the Loan Documents and all such documents and instruments shall have been so filed, registered or recorded to the satisfaction of the Collateral Agent,
and (ii) the DDA Notifications, Credit Card Agreements, and Blocked Account Agreements required pursuant to Section 2.22(c) hereof. 
 (m) The Collateral Agent shall have received, and be reasonably satisfied with, evidence of the Loan Parties’ insurance, together with such endorsements as are required by the Loan Documents. 
 (n) The Collateral Agent shall be reasonably satisfied that those Investments held by the Borrowers, to be transferred to an account with
Bank of America have been fully transferred, and that the Collateral Agent shall have received a first perfected security interest in all such account, subject to a control agreement satisfactory to the Collateral Agent. 
 (o) All fees due at or immediately prior to the Effective Date and all costs and expenses incurred by the Agents in connection with the
establishment of the credit facility contemplated hereby (including the fees and expenses of counsel to the Agents) shall have been paid in full. 
 (p) The consummation of the transactions contemplated hereby shall not (a) violate any Applicable Law or (b) conflict with, or result in a default or event of default under, any material agreement of any
Loan Party. No event shall exist which is, or solely with the passage of time, the giving of notice or both, would be a default under any material agreement of any Loan Party. 
 (q) There shall have been delivered to the Administrative Agent such additional instruments and documents as the Agents or counsel to the
Agents reasonably may require or request. 
  

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 The Administrative Agent shall notify the Lead Borrower and the Lenders of the Effective Date, and such notice shall be
conclusive and binding. 
 4.02. Conditions Precedent to Each Loan and Each Letter of Credit. 
 In addition to those conditions described in Section 4.01, the obligation of the Revolving Credit Lenders to make each Revolving Credit Loan and of
the Issuing Bank to issue each Letter of Credit, is subject to the following conditions precedent: 
 (a) Notice. The
Administrative Agent shall have received a notice with respect to such Borrowing or issuance, as the case may be, as required by Article II. 
 (b) Representations and Warranties. All representations and warranties contained in this Agreement and the other Loan Documents or otherwise made in writing in connection herewith or therewith shall be true and
correct in all material respects on and as of the date of each Borrowing or the issuance of each Letter of Credit hereunder with the same effect as if made on and as of such date, other than representations and warranties that relate solely to an
earlier date. 
 (c) No Default. On the date of each Borrowing hereunder and the issuance of each Letter of Credit and
after giving effect thereto, no Default or Event of Default shall have occurred and be continuing. 
 (d) Borrowing Base
Certificate. The Administrative Agent shall have received the timely delivery of the most recently required Borrowing Base Certificate, with each such Borrowing Base Certificate including schedules as required by the Administrative Agent.

 The request by the Lead Borrower for, and the acceptance by the Borrowers of, each extension of credit hereunder shall be deemed to be a representation
and warranty by the Borrowers that the conditions specified in this Section 4.02 have been satisfied at that time and that after giving effect to such extension of credit the Borrowers shall continue to be in compliance with the Borrowing Base.
The conditions set forth in this Section 4.02 are for the sole benefit of the Administrative Agent and each Lender and, may be waived by the Administrative Agent, in whole or in part, without prejudice to the Administrative Agent or any Lender.

 ARTICLE V 
 Affirmative
Covenants 
 Until (i) the Commitments have expired or been terminated, and (ii) the principal of and interest on each Loan and
all fees payable hereunder shall have been paid in full, and (iii) all Letters of Credit shall have expired or terminated or been collateralized, to the extent of 103% of the then Letter of Credit Outstandings, and (iv) all L/C
Disbursements shall have been reimbursed, each Loan Party covenants and agrees with the Agents and the Lenders that: 
 5.01. Financial
Statements and Other Information. The Lead Borrower will furnish to the Agents: 
 (a) within ninety (90) days after
the end of each Fiscal Year of the Lead Borrower, its Consolidated balance sheet and related statements of operations (and unaudited consolidated statements of operations breaking out operating divisions), stockholders’ equity and cash flows as
of the end of and for such year, setting forth in each case in comparative form the figures for the previous Fiscal Year, all audited and reported on by independent public accountants of recognized national standing (without a “going
concern” or like qualification or exception and without a qualification or exception as to the scope of such audit) to the effect that such Consolidated financial statements present fairly in all material respects the financial condition and
results of operations of the Lead Borrower and its Subsidiaries on a Consolidated basis in accordance with GAAP consistently applied; 
  

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 (b) within forty-five (45) days after the end of each Fiscal Quarter of the Lead
Borrower, its Consolidated balance sheet and related statements of operations (and consolidated statements of operations breaking out operating divisions), stockholders’ equity and cash flows, as of the end of and for such Fiscal Quarter and
the elapsed portion of the Fiscal Year, setting forth in each case in comparative form the figures for the previous Fiscal Year, all certified by one of its Financial Officers as presenting in all material respects the financial condition and
results of operations of the Lead Borrower and its Subsidiaries on a Consolidated basis in accordance with GAAP consistently applied, subject to normal year end audit adjustments and the absence of footnotes; 
 (c) within thirty (30) days after the end of each fiscal month of the Lead Borrower, its Consolidated balance sheet and related
statements of operations (and consolidated statements of operations breaking out operating divisions), stockholders’ equity and cash flows, as of the end of and for such fiscal month and the elapsed portion of the Fiscal Year, setting forth in
each case in comparative form the figures for the previous Fiscal Year and the figures as set forth in the business plan delivered pursuant to Section 5.01(e) hereof, all certified by one of its Financial Officers as presenting in all material
respects the financial condition and results of operations of the Lead Borrower and its Subsidiaries on a Consolidated basis in accordance with GAAP consistently applied, subject to normal year end audit adjustments and the absence of footnotes;

 (d) concurrently with any delivery of financial statements under clause (a), (b), or (c) above, a certificate of a
Financial Officer of the Lead Borrower in the form of Exhibit D (i) certifying as to whether a Default has occurred and, if a Default has occurred, specifying the details thereof and any action taken or proposed to be taken with respect
thereto, and (ii) setting forth reasonably detailed calculations (A) with respect to the average Excess Availability for such period, and (B) demonstrating compliance with Section 6.11, and (iii) stating whether any change
in GAAP or in the application thereof has occurred since the date of the Lead Borrower’s audited financial statements referred to in Section 3.04 and, if any such change has occurred, specifying the effect of such change on the financial
statements accompanying such certificate; 
 (e) within thirty (30) days after the commencement of each Fiscal Year of
the Lead Borrower, a preliminary business plan, and within ninety (90) days after the commencement of each Fiscal Year of the Lead Borrower, a final business plan, 

  

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including a detailed Consolidated budget by month for such Fiscal Year (including a projected Consolidated balance sheet and related statements of projected
operations and cash flow as of the end of and for such Fiscal Year); 
 (f) on the 6th day of each fiscal month, a certificate
in the form of Exhibit E (a “Borrowing Base Certificate”) showing the Borrowing Base as of the close of business on the immediately preceding fiscal month, which Borrowing Base Certificate shall reflect, among other things, the roll
forward of the Inventory from the prior fiscal month and the prior fiscal month’s Eligible Cash and Cash Equivalents as of the close of business on the last day of the immediately preceding fiscal month, each Borrowing Base Certificate to be
certified as complete and correct on behalf of the Borrowers by a Financial Officer of the Lead Borrower. The Agents will update the Borrowers’ Eligible Cash and Cash Equivalents on a daily basis for purposes of determining, in the Agents’
reasonable discretion, the amount of Loans and Letters of Credit available to be borrowed each day by the Borrowers; provided that (i) if Excess Availability is at any time less than $7,500,000, or (ii) any Event of Default has occurred
and is continuing, such Borrowing Base Certificate, at the Administrative Agent’s sole discretion, shall be furnished on Wednesday of each week (or, if Wednesday is not a Business Day, on the next succeeding Business Day), showing the Borrowing
Base as of the close of business on the immediately preceding Saturday, which Borrowing Base Certificate shall reflect, among other things, the roll forward of the Inventory from the prior week as of the close of business on the immediately
preceding Saturday and the prior week’s Eligible Cash and Cash Equivalents as of the close of business on the immediately preceding Saturday, each Borrowing Base Certificate to be certified as complete and correct on behalf of the Borrowers by
a Financial Officer of the Lead Borrower. The Agents will update the Borrowers’ Eligible Cash and Cash Equivalents on a daily basis for purposes of determining, in the Agents’ reasonable discretion, the amount of Loans and Letters of
Credit available to be borrowed each day by the Borrowers; 
 (g) promptly upon receipt thereof, copies of all reports
submitted to any Loan Party by independent certified public accountants in connection with each annual, interim or special audit of the books of the Loan Parties or any of their Subsidiaries made by such accountants, including any management letter
commenting on the Loan Parties’ internal controls submitted by such accountants to management in connection with their annual audit; 
 (h) the financial and collateral reports described on Schedule 5.01(h) hereto, at the times set forth in such Schedule; 
 (i) notice of any intended sale or other disposition of any material portion of the assets of any Loan Party permitted hereunder or
incurrence of any material amount of Indebtedness permitted hereunder at least thirty (30) Business Days prior to the date of consummation of such sale or disposition or the incurrence of such Indebtedness; 
 (j) promptly following any request therefor, such other information regarding the operations, business affairs and financial condition of
any Loan Party, or compliance 

  

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with the terms of any Loan Document, as the Agents or any Lender (acting through an Agent) may reasonably request; 
 (k) Reasonable advance notice of any anticipated change in the chief executive officer, chief financial officer, or chief general
merchandising officer of any of the Borrowers; and 
 (l) promptly upon receipt thereof, copies of any material notices
received by any of the Loan Parties under the Securities Purchase Documents. 
 5.02. Notices of Material Events. The Lead Borrower
will furnish to the Agents prompt written notice of the following: 
 (a) the occurrence of any Default or Event of Default;

 (b) the filing or commencement of any action, suit or proceeding by or before any arbitrator or Governmental Authority
against or affecting any Loan Party or any Affiliate thereof that, if adversely determined, could reasonably be expected to result in a Material Adverse Effect; 
 (c) the occurrence of any ERISA Event that, alone or together with any other ERISA Events that have occurred, could reasonably be expected
to result in a Material Adverse Effect; 
 (d) any other development that results in, or could reasonably be expected to
result in, a Material Adverse Effect; 
 (e) any change in any Loan Party’s chief executive officer, chief financial
officer or chairman; 
 (f) the discharge by any Loan Party of its present independent accountants or any withdrawal or
resignation by such independent accountants; 
 (g) any failure by any Loan Party to pay rent at any of such Loan Party’s
locations, which failure continues for more than ten (10) days following the day on which such rent first came due if the result of such failure would be reasonably likely to result in a Material Adverse Effect; 
 (h) any collective bargaining agreement or other labor contract to which a Loan Party becomes a party, or the application for the
certification of a collective bargaining agent; and 
 (i) the filing of any Lien for unpaid Taxes against any Loan Party.

 (j) the occurrence of any Conversion Failure (as defined in the Notes (as defined in the Securities Purchase Agreement)) or
any failure to deliver Class A Common Stock upon conversion or exercise, as applicable, within the time periods provided for in the respective Securities (as defined in the 2005 Securities Purchase Agreement). 
  

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 (k) the filing of the Registration Statement with the Securities Exchange Commission
pursuant to Section 2(d) and 2(e) of the 2005 Registration Rights Agreement. 
 Each notice delivered under this Section shall be accompanied by a
statement of a Financial Officer or other executive officer of the Lead Borrower setting forth the details of the event or development requiring such notice and, if applicable, any action taken or proposed to be taken with respect thereto.

 5.03. Information Regarding Collateral 
 The Lead Borrower will furnish to the Agents at least ten (10) days’ prior written notice of any change (i) in any Loan Party’s corporate name or in any trade name used to identify it in the
conduct of its business or in the ownership of its properties, (ii) in the location of any Loan Party’s chief executive office, its principal place of business, any office in which it maintains books or records relating to Collateral owned
by it or any office or facility at which Collateral owned by it is located (including the establishment of any such new office or facility), (iii) in any Loan Party’s corporate structure or jurisdiction of incorporation or formation, or
(iv) in any Loan Party’s Federal Taxpayer Identification Number or organizational identification number assigned to it by its state of organization. The Borrowers also agree promptly to notify the Agents if any material portion of the
Collateral is damaged or destroyed. 
 5.04. Existence; Conduct of Business. Each Loan Party will, and will cause each of its
Subsidiaries to, do or cause to be done all things necessary to comply with its respective Organizational Documents, as applicable, and to preserve, renew and keep in full force and effect its legal existence and the rights, licenses, permits,
privileges, franchises, patents, copyrights, trademarks and trade names material to the conduct of its business, provided that the foregoing shall not prohibit any merger, consolidation, liquidation or dissolution permitted under Section 6.03.

 5.05. Payment of Obligations. Each Loan Party will, and will cause each of the Subsidiaries to, pay its Indebtedness and other
obligations, including Tax liabilities, and claims for labor, materials, or supplies, before the same shall become delinquent or in default, except where (a) the validity or amount thereof is being contested in good faith by appropriate
proceedings, (b) such Loan Party or such Subsidiary has set aside on its books adequate reserves with respect thereto in accordance with GAAP, (c) such contest effectively suspends collection of the contested obligation and enforcement of
any Lien securing such obligation, (d) no Lien has been filed with respect thereto, and (e) the failure to make payment pending such contest could not reasonably be expected to result in a Material Adverse Effect. Nothing contained herein
shall be deemed to limit the rights of the Administrative Agent under Section 2.04(b) hereof. 
 5.06. Maintenance of Properties.
Each Loan Party will, and will cause each of the Subsidiaries to, keep and maintain all property material to the conduct of its business in good working order and condition, ordinary wear and tear excepted and with the exception of storing closings
and asset dispositions permitted hereunder. 
  

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 5.07. Insurance. 
 (a) Each Loan Party shall (i) maintain insurance with financially sound and reputable insurers reasonably acceptable to the
Administrative Agent (or, to the extent consistent with prudent business practice, a program of self-insurance) on such of its property and in at least such amounts and against at least such risks as is customary with companies in the same or
similar businesses operating in the same or similar locations, including public liability insurance against claims for personal injury or death occurring upon, in or about or in connection with the use of any properties owned, occupied or controlled
by it (including the insurance required pursuant to the Security Documents); (ii) maintain such other insurance as may be required by law; and (iii) furnish to the Administrative Agent, upon written request, full information as to the
insurance carried. 
 (b) Fire and extended coverage policies maintained with respect to any Collateral shall be endorsed or
otherwise amended to include (i) a non-contributing mortgage clause (regarding improvements to real property) and lenders loss payable clause (regarding personal property), in form and substance reasonably satisfactory to the Collateral Agent,
which endorsements or amendments shall provide that the insurer shall pay all proceeds otherwise payable to the Loan Parties under the policies directly to the Collateral Agent, (ii) a provision to the effect that none of the Loan Parties, the
Administrative Agent, the Collateral Agent, or any other party shall be a coinsurer and (iii) such other provisions as the Collateral Agent may reasonably require from time to time to protect the interests of the Lenders. Commercial general
liability policies shall be endorsed to name the Collateral Agent as an additional insured. Business interruption policies shall name the Collateral Agent as a loss payee and shall be endorsed or amended to include (i) a provision that, from
and after the Effective Date, the insurer shall pay all proceeds otherwise payable to the Loan Parties under the policies directly to the Administrative Agent or the Collateral Agent, which amounts shall be released to the Borrowers provided that no
Event of Default or Cash Dominion Event has occurred and is then continuing, (ii) a provision to the effect that none of the Loan Parties, the Administrative Agent, the Collateral Agent or any other party shall be a co-insurer and
(iii) such other provisions as the Collateral Agent may reasonably require from time to time to protect the interests of the Lenders. Each such policy referred to in this paragraph also shall provide that it shall not be canceled, modified or
not renewed (i) by reason of nonpayment of premium except upon not less than 10 days’ prior written notice thereof by the insurer to the Collateral Agent (giving the Collateral Agent the right to cure defaults in the payment of premiums)
or (ii) for any other reason except upon not less than 30 days’ prior written notice thereof by the insurer to the Collateral Agent. The Lead Borrower shall deliver to the Collateral Agent, prior to the cancellation, modification or
nonrenewal of any such policy of insurance, a copy of a renewal or replacement policy (or other evidence of renewal of a policy previously delivered to the Collateral Agent, including an insurance binder) together with evidence reasonably
satisfactory to the Collateral Agent of payment of the premium therefor. 
 5.08. Casualty and Condemnation. The Borrowers will
furnish to the Agents and the Lenders prompt written notice of any casualty or other insured damage to any material portion of the Collateral or the commencement of any action or proceeding for the taking of any interest in a material portion of the
Collateral under power of eminent domain or by condemnation or similar proceeding. 
  

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 5.09. Books and Records; Inspection and Audit Rights; Appraisals; Accountants. 
 (a) Each Loan Party will, and will cause each of the Subsidiaries to, keep proper books of record and account in accordance with GAAP and
in which full, true and correct entries are made of all dealings and transactions in relation to its business and activities. Each Loan Party will, and will cause each of the Subsidiaries to, permit any representatives designated by any Agent, upon
reasonable prior notice, to visit and inspect its properties, to examine and make extracts from its books and records, and to discuss its affairs, finances and condition with its officers and independent accountants, all at such reasonable times and
as often as reasonably requested, provided that Lead Borrower shall be furnished the opportunity to participate in any such discussions. 
 (b) Each Loan Party will, and will cause each of the Subsidiaries to, from time to time upon the request of the Collateral Agent or the Required Lenders through the Administrative Agent and after reasonable prior
notice, permit any Agent or professionals (including investment bankers, consultants, accountants, lawyers and appraisers) retained by the Agents to conduct appraisals, commercial finance examinations and other evaluations, including, without
limitation, of (i) the Borrowers’ practices in the computation of the Borrowing Base and (ii) the assets included in the Borrowing Base and related financial information such as, but not limited to, sales, gross margins, payables,
accruals and reserves, and pay the reasonable fees and expenses of the Agents or such professionals with respect to such evaluations and appraisals. Without limiting the foregoing, the Loan Parties acknowledge that the Agents intend to undertake up
to one (1) inventory appraisal and one (1) commercial finance examination each Fiscal Year after the Effective Date, at the Loan Parties’ expense, unless Excess Availability is at any time less than $15,000,000, in which case the
Agents may undertake up to three (3) inventory appraisals and up to three (3) commercial finance examination each Fiscal Year after the Effective Date, at the Loan Parties’ expense. Notwithstanding the foregoing, the Agents may cause
additional appraisals and commercial finance examinations to be undertaken as they in their reasonable discretion deem necessary or appropriate, or as may be required by Applicable Law, provided that the Loan Parties shall not be obligated to
pay for any such additional appraisals and commercial finance examinations unless an Event of Default has occurred and is continuing. 
 (c) The Loan Parties shall, at all times, retain independent certified public accountants who are reasonably satisfactory to the Administrative Agent and instruct such accountants to cooperate with, and be reasonably
available to, the Administrative Agent or its representatives to discuss the Loan Parties’ financial performance, financial condition, operating results, controls, and such other matters, within the scope of the retention of such accountants,
as may be raised by the Administrative Agent, provided that Lead Borrower shall be furnished the opportunity to participate in any such discussions. 
  

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 5.10. Physical Inventories. 
 (a) The Collateral Agent, at the expense of the Loan Parties, may participate in and/or observe each physical count and/or inventory of so
much of the Collateral as consists of Inventory which is undertaken on behalf of the Borrowers so long as such participation does not disrupt the normal inventory schedule or process. 
 (b) The Borrowers, at their own expense, shall cause not less than one physical inventory per location of the Borrowers’ Inventory in
each twelve (12) month period during which this Agreement is in effect, conducted by nationally recognized inventory takers and using practices consistent with practices in effect on the date hereof, provided, however, if no Cash Dominion Event
has occurred, the Borrowers shall not be required to engage nationally recognized inventory takers to conduct such physical inventories. 
 (c) If requested by the Collateral Agent, or if Loans are then outstanding, the Lead Borrower shall provide the Collateral Agent with the preliminary Inventory levels at each of each Borrower’s stores within ten
(10) days following the completion of such inventory. 
 (d) If requested by the Collateral Agent, or if Loans are then
outstanding, the Lead Borrower, within forty-five (45) days following the completion of such inventory, shall provide the Collateral Agent with a reconciliation of the results of each such inventory (as well as of any other physical inventory
undertaken by the Borrowers) and shall post such results to the Borrowers’ stock ledger and general ledger, as applicable. 
 (e) The Collateral Agent, in its discretion, if any Event of Default exists, may cause such additional inventories to be taken as the Collateral Agent determines (each, at the expense of the Borrowers). 
 5.11. Compliance with Laws. Each Loan Party will, and will cause each of the Subsidiaries to, comply with all Applicable Laws, except where the
failure to do so, individually or in the aggregate, could not reasonably be expected to result in a Material Adverse Effect. 
 5.12. Use
of Proceeds and Letters of Credit. The proceeds of Loans made hereunder and Letters of Credit issued hereunder will be used only (a) to refinance existing Indebtedness, (b) to finance the acquisition of working capital assets of the
Borrowers, including the purchase of inventory, in the ordinary course of business, and (c) for general corporate purposes. No part of the proceeds of any Loan will be used, whether directly or indirectly, for any purpose that entails a
violation of any of the Regulations of the Board, including Regulations U and X. 
 5.13. Additional Subsidiaries. If any additional
Subsidiary of any Loan Party is formed or acquired after the Effective Date, the Lead Borrower will notify the Agents and the Lenders thereof and (a) if such Subsidiary is not a Foreign Subsidiary, the Borrowers will cause such Subsidiary to
become a Loan Party hereunder and under each applicable Security Document in the manner provided therein within ten (10) Business Days after such Subsidiary is formed or acquired and promptly take such actions to create and perfect Liens on
such Subsidiary’s assets to secure the Obligations as any Agent or the Required Lenders shall reasonably request and (b) 

  

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if any shares of capital stock or Indebtedness of such Subsidiary are owned by or on behalf of any Loan Party, the Borrowers will cause such shares and
promissory notes evidencing such Indebtedness to be pledged within ten (10) Business Days after such Subsidiary is formed or acquired (except that, if such Subsidiary is a Foreign Subsidiary shares of stock of such Subsidiary to be pledged may
be limited to 65% of the outstanding shares of Voting Stock of such Subsidiary). 
 5.14. Depository Account. In order to facilitate
the administration of the Revolving Credit Loans and Collateral Agent’s security interest in the Loan Parties’ assets, the Borrowers shall maintain Bank of America or its Affiliates as each Borrower’s principal depository bank,
including for the maintenance of operating, administrative, cash management, collection activity and other local store deposit accounts, where practical, for the conduct of such Borrower’s business. 
 5.15. Further Assurances. 
 (a) Each Loan Party will execute any and all further documents, financing statements, agreements and instruments, and take all such further actions (including the filing and recording of financing statements and other documents), that may
be required under any Applicable Law, or which any Agent or the Required Lenders may reasonably request, or to grant, preserve, protect or perfect the Liens created or intended to be created by the Security Documents or the validity or priority of
any such Lien, all at the expense of the Loan Parties. The Loan Parties also agree to provide to the Agents, from time to time upon request, evidence reasonably satisfactory to the Agents as to the perfection and priority of the Liens created or
intended to be created by the Security Documents. 
 (b) If any material assets are acquired by any Loan Party after the
Effective Date (other than assets constituting Collateral under the Security Agreement that become subject to the Lien of the Security Agreement upon acquisition thereof), except for real property leaseholds to the extent that the consent of the
landlord is required but is not obtained, the Lead Borrower will notify the Agents and the Lenders thereof, and the Loan Parties will cause such assets to be subjected to a Lien securing the Obligations and will take such actions as shall be
necessary or reasonably requested by any Agent or the Required Lenders to grant and perfect such Liens, including actions described in paragraph (a) of this Section, all at the expense of the Loan Parties. 
 (c) Upon the request of the Administrative Agent, each Borrower shall cause each of its customs brokers to deliver an agreement to the
Administrative Agent covering such matters and in such form as the Administrative Agent may reasonably require. 
 ARTICLE VI 
 Negative Covenants 
 Until
(i) the Commitments have expired or been terminated, and (ii) the principal of and interest on each Loan and all fees payable hereunder shall have been paid in full, and (iii) all 

  

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Letters of Credit shall have expired or terminated or been collateralized, to the extent of 103% of the then Letter of Credit Outstandings, and (iv) all
L/C Disbursements shall have been reimbursed, each Loan Party covenants and agrees with the Agents and the Lenders that: 
 6.01.
Indebtedness and Other Obligations. The Loan Parties will not, and will not permit any Subsidiary to, create, incur, assume or permit to exist any Indebtedness, except: 
 (a) Indebtedness created under the Loan Documents; 
 (b) Indebtedness set forth in Schedule 6.01 and extensions, renewals and replacements of any such Indebtedness provided that
after giving effect to the refinancing (i) the principal amount of the outstanding Indebtedness is not increased, (ii) neither the tenor nor the weighted average life to maturity is reduced, and (iii) the holders of such refinancing
Indebtedness are not afforded covenants, defaults, rights or remedies more burdensome in any material respect to the obligor or obligors than those contained in the Indebtedness being refinanced; 
 (c) Indebtedness of any Loan Party to any other Loan Party, all of which Indebtedness shall be reflected in the Loan Parties’ books
and records in accordance with GAAP; 
 (d) Indebtedness of any Loan Party to finance the acquisition of any fixed or capital
assets, including Capital Lease Obligations and any Indebtedness assumed in connection with the acquisition of any such assets or secured by a Lien on any such assets prior to the acquisition thereof, and extensions, renewals and replacements of any
such Indebtedness that do not increase the outstanding principal amount thereof or result in an earlier maturity date or decreased weighted average life to maturity thereof, provided that the aggregate principal amount of Indebtedness
permitted by this clause (d) shall not exceed $20,000,000 at any time outstanding; 
 (e) Indebtedness incurred to
finance any Real Estate owned by any Loan Party or incurred in connection with sale-leaseback transactions; 
 (f)
Indebtedness under Hedging Agreements with Bank of America or an Affiliate of Bank of America; 
 (g) other unsecured
Indebtedness, in an aggregate principal amount not exceeding $5,000,000 at any time outstanding; and 
 (h) Subordinated
Indebtedness, in amounts, and on terms and conditions reasonably satisfactory to the Administrative Agent. 
 (i) Indebtedness
owing to the holders of the Convertible Notes in an aggregate principal amount not to exceed $56,000,000 (plus capitalized expenses and interest and plus all Subordinated Debt Fees (as defined in the Subordination Agreement) and other amounts due
thereon) in the aggregate under the Securities Purchase Documents. Except for the conversion of the Convertible Notes into shares of Class A Common Stock of the Lead Borrower in accordance with the terms of the Convertible 

  

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Notes, the Borrowers shall not make any payments on the Convertible Notes or under the Securities Purchase Documents (other than the payment of Subordinated
Debt Fees, and the accrual of (A) payment in kind or capitalized interest, (B) capitalized expenses, and (C) all other amounts due thereon, which amounts are all to be capitalized) unless and until (i) all Obligations have been
repaid in full in cash, except for those Letter of Credit Outstandings described in (ii), below, (ii) the Borrowers have deposited cash into the Cash Collateral Account in an amount equal to 103% of the Letter of Credit Outstandings at such
time, and (iii) any obligations of the Swingline Lender, the Issuing Bank, or any Revolving Credit Lender to make any loans or to provide any financial accommodations pursuant to this Agreement have been terminated. Except for the amendments
and modifications permitted in accordance with the terms of the Subordination Agreement, the Borrowers shall not hereafter effect or permit any amendments or modifications to any of the Securities Purchase Documents without the prior written consent
of the Administrative Agent, which shall not be unreasonably withheld or delayed. 
 6.02. Liens. The Loan Parties will not, and will
not permit any Subsidiary to, create, incur, assume or permit to exist any Lien on any property or asset now owned or hereafter acquired by it, or assign or sell any income or revenues (including Accounts) or rights in respect of any thereof,
except: 
 (a) Liens created under the Loan Documents; 
 (b) Permitted Encumbrances; 
 (c) any Lien on any property or asset of any Loan Party set forth in Schedule 6.02, provided that (i) such Lien shall not apply to any other property or asset of any Loan Party and (ii) such
Lien shall secure only those obligations that it secures as of the Effective Date, and extensions, renewals and replacements thereof that do not increase the outstanding principal amount thereof; 
 (d) Liens on fixed or capital assets acquired by any Loan Party, provided that (i) such Liens secure Indebtedness permitted by
Section 6.01(d), (ii) the Indebtedness secured thereby does not exceed 100% of the cost of acquiring such fixed or capital assets and (iii) such Liens shall not extend to any other property or assets of the Loan Parties; and

 (e) Liens to secure Indebtedness permitted by Section 6.01(e) provided that such Liens shall not extend to any
property or assets of the Loan Parties other than the Real Estate so financed or which is the subject of a sale-leaseback transaction. 
 (f) Liens granted in favor of The Bank of New York, as the trustee under the Indenture, to secure the Convertible Notes, provided that such Liens are subject to the Subordination Agreement. 
 6.03. Fundamental Changes. The Loan Parties will not merge into or consolidate with any other Person, or permit any other Person to merge into or
consolidate with it, or liquidate or dissolve, except that, if at the time thereof and immediately after giving effect thereto no Default or Event of Default shall have occurred and be continuing, (i) any 

  

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Facility Guarantor may merge into any other Facility Guarantor, provided that in any such transaction involving the Lead Borrower, the Lead Borrower shall be
the surviving entity, (ii) any Facility Guarantor (other than the Lead Borrower) may liquidate or dissolve voluntarily into the Lead Borrower or into any other Facility Guarantor, and (ii) any Borrower (other than the Lead Borrower) may
liquidate or dissolve voluntarily into the Lead Borrower or into any other Borrower. 
 (b) The Loan Parties will not engage
in any business other than businesses of the type conducted by the Loan Parties on the date of execution of this Agreement and businesses reasonably related thereto. 
 6.04. Investments, Loans, Advances, Guarantees and Acquisitions. The Loan Parties will not make any Investment or Acquisition, except: 
 (a) Permitted Investments; 
 (b) Investments existing on the Effective Date, and set forth on Schedule 6.04; 
 (c)
loans or advances made by any Loan Party to any other Loan Party; 
 (d) Guarantees constituting Indebtedness permitted by
Section 6.01; 
 (e) Investments received in connection with the bankruptcy or reorganization of, or settlement of
delinquent accounts and disputes with, customers and suppliers, in each case in the ordinary course of business; 
 (f) loans
or advances to employees for the purpose of travel, entertainment or relocation in the ordinary course of business in an amount not to exceed $50,000 in the aggregate at any time outstanding; 
 (g) other Investments not to exceed $1,000,000 in the aggregate at any time outstanding; and 
 (h) Permitted Acquisitions. 
 6.05. Asset Sales. The Loan Parties will not, and will not permit any of the Subsidiaries to, sell, transfer, lease or otherwise dispose of any asset, including any capital stock, nor will the Loan Parties permit any of the
Subsidiaries to issue any additional shares of its capital stock or other ownership interest in such Subsidiary, except: 
 (a) (i) sales of Inventory in the ordinary course of business, or (ii) sales of used or surplus equipment, or (iii) sales of Permitted Investments, in each case in the ordinary course of business; 
 (b) sales, transfers and dispositions among the Loan Parties and their Subsidiaries, provided that any such sales, transfers or
dispositions involving a Subsidiary that is not a Loan Party shall be made in compliance with Section 6.07; and 
  

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 (c) sale-leaseback transactions involving any Loan Party’s Real Estate as long as,
if the Administrative Agent so requests, the Administrative Agent shall have received an intercreditor agreement executed by the purchaser of such Real Estate on terms and conditions reasonably satisfactory to the Administrative Agent; 

provided that all sales, transfers, leases and other dispositions permitted hereby (other than sales, transfers and other disposition permitted under clause
(b)) shall be made at arm’s length and for fair value and solely for cash consideration. 
 6.06. Restricted Payments; Certain
Payments of Indebtedness. 
 (a) The Loan Parties will not, and will not permit any Subsidiary to, declare or make, or
agree to pay or make, directly or indirectly, any Restricted Payment, except that: 
 (i) any Loan Party may pay dividends to
the Lead Borrower, and 
 (ii) Restricted Payments may be made provided that (A) there are no Revolving Credit Loans then
outstanding; and (B) Cash and Cash Equivalents and/or Eligible Short Term Securities pledged to the Collateral Agent as Collateral and invested in a control account at Bank of America or its Affiliate, are in excess of $15,000,000; after giving
effect to the Restricted Payment. If either (A) or (B) are not satisfied, the Borrowers will be required to demonstrate to the reasonable satisfaction of the Administrative Agent that after giving effect to the Restricted Payment and on a
pro forma basis for the next 12 month period, based upon delivery by the Lead Borrower of a business plan reasonably satisfactory to the Administrative Agent, in its reasonable discretion, the Borrower shall have minimum Excess Availability of not
less than $10,000,000. 
 (b) None of the Loan Parties will, nor will they permit any Subsidiary to, issue any preferred stock
(except for preferred stock that is not subject to redemption other than redemption at the option of the Loan Party issuing such preferred stock) or be or become liable in respect of any obligation (contingent or otherwise) to purchase, redeem,
retire, acquire or make any other payment in respect of (i) any shares of capital stock of any Loan Party or (ii) any option, warrant or other right to acquire any such shares of capital stock, except: 
 (i) in connection with the transactions contemplated under the Securities Purchase Agreement and the Convertible Notes; and 
 (ii) such purchase, redemption, retirement, acquisition or payments may be made provided that (A) there are no Revolving Credit Loans
then outstanding; and (B) Cash and Cash Equivalents and/or Eligible Short Term Securities pledged to the Collateral Agent as Collateral and invested in a control account at Bank of America or its Affiliate, are in excess of $15,000,000; after
giving effect to such purchase, redemption, retirement, acquisition or payments. If either (A) or (B) are not satisfied, the Borrowers will be required to demonstrate to the reasonable satisfaction of the Administrative Agent that after
giving effect to such payment and on a pro forma basis for the next 12 month 

  

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period, based upon delivery by the Lead Borrower of a business plan reasonably satisfactory to the Administrative Agent, in its reasonable discretion, the
Borrower shall have minimum Excess Availability of not less than $10,000,000. 
 (c) The Loan Parties will not, and will not
permit any Subsidiary to, make or agree to pay or make, directly or indirectly, any payment or other distribution (whether in cash securities or other property) of or in respect of principal of or interest on any Indebtedness, or any payment or
other distribution (whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase, redemption, retirement, acquisition, cancellation or termination of any Indebtedness, except: 

(i) mandatory payments as and when due in respect of any other Indebtedness permitted hereunder; 
 (ii) refinancings of Indebtedness described in clause (i), above, to the extent permitted by Section 6.01; and 
 (iii) such payments may be made provided that (A) there are no Revolving Credit Loans then outstanding; and (B) Cash and Cash
Equivalents and/or Eligible Short Term Securities pledged to the Collateral Agent as Collateral and invested in a control account at Bank of America or its Affiliate, are in excess of $15,000,000; after giving effect to such payment or other
distribution. If either (A) or (B) are not satisfied, the Borrowers will be required to demonstrate to the reasonable satisfaction of the Administrative Agent that after giving effect to such payment and on a pro forma basis for the next
12 month period, based upon delivery by the Lead Borrower of a business plan reasonably satisfactory to the Administrative Agent, in its reasonable discretion, the Borrower shall have minimum Excess Availability of not less than $10,000,000.

 6.07. Transactions with Affiliates. The Loan Parties will not, and will not permit any Subsidiary to, sell, lease or otherwise
transfer any property or assets to, or purchase, lease or otherwise acquire any property or assets from, or otherwise engage in any other transactions with, any of its Affiliates, except transactions in the ordinary course of business that are at
prices and on terms and conditions not less favorable to the Loan Parties or such Subsidiary than could be obtained on an arm’s-length basis from unrelated third parties. 
 6.08. Restrictive Agreements. The Loan Parties will not, and will not permit any Subsidiary to, directly or indirectly, enter into, incur or
permit to exist any agreement or other arrangement that prohibits, restricts or imposes any condition upon (a) the ability of the Loan Parties or any Subsidiary to create, incur or permit to exist any Lien upon any of its property or assets or
(b) the ability of any Subsidiary to pay dividends or other distributions with respect to any shares of its capital stock or to make or repay loans or advances to the Loan Parties or any other Subsidiary or to guarantee Indebtedness of the Loan
Parties or any other Subsidiary, provided that (i) the foregoing shall not apply to restrictions and conditions imposed by law or by any Loan Document, (ii) clause (a) of the foregoing shall not apply to restrictions or conditions
imposed by any agreement relating to secured Indebtedness permitted by this 

  

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Agreement if such restrictions or conditions apply only to the property or assets securing such Indebtedness and (iii) clause (a) of the foregoing
shall not apply to customary provisions in leases restricting the assignment or subleasing thereof. 
 6.09. Amendment of Material
Documents. The Loan Parties will not, and will not permit any Subsidiary to, amend, modify or waive any of its rights under (a) its Organizational Documents and (b) any other instruments, documents or agreements, in each case to the
extent that such amendment, modification or waiver would be materially adverse to the interests of the Lenders. 
 6.10. Additional
Subsidiaries. The Loan Parties will not, and will not permit any Subsidiary to, create any additional Subsidiary unless no Default or Event of Default would arise therefrom and the requirements of Section 5.13 are satisfied. 
 6.11. Excess Availability. The Borrowers shall maintain Excess Availability at all times of not less the Minimum Required Excess Availability.

 6.12. Fiscal Year. The Lead Borrower and its Subsidiaries shall not change their Fiscal Year without the prior written consent of
the Administrative Agent, which consent shall not be unreasonably withheld. 
 6.13. Environmental Laws. The Loan Parties shall not
(a) fail to comply with any Environmental Law or to obtain, maintain or comply with any permit, license or other approval required under any Environmental Law, or (b) become subject to any Environmental Liability, in each case which is
reasonably likely to have a Material Adverse Effect. 
 6.14. Store Closings. The Borrowers will not commit to close, or close, any
location at which any Borrower maintains, offers for sale or stores any of its Inventory or other Collateral, except that the Borrowers may downsize by closing up to 20% of the number of stores existing as of the Effective Date in any twelve
(12) month period, provided that if the Borrowers close more than 10% of the number of stores existing as of the Effective Date in any twelve (12) month period, all such closings in excess of 10% of the number of stores existing as of the
Effective Date in any twelve (12) month period shall be conducted by professional liquidators, subject to the approval of, and on terms and conditions reasonably acceptable to the Administrative Agent. The Borrowers will be permitted to close
additional stores upon the consent of the Administrative Agent, in its reasonable discretion, upon satisfactory receipt of such documents as the Administrative Agent may reasonably request. The Administrative Agent may require that such closures be
conducted by professional liquidators, subject to the approval of, and on terms and conditions reasonably acceptable to the Administrative Agent. 
 ARTICLE VII 
 Events of Default 
 7.01. Events of Default. If any of the following events (“Events of Default”) shall occur: 
 (a) the Loan Parties shall fail to pay any principal of any Loan or any reimbursement obligation in respect of any L/C Disbursement when and as the same shall become due and payable, whether at the due date thereof or
at a date fixed for prepayment thereof or otherwise; 
  

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 (b) (i) the Loan Parties shall fail to pay any interest on any Loan payable under this
Agreement, when and as the same shall become due and payable, or (ii) the Loan Parties shall fail to pay any fee or any other amount (other than an amount referred to in clause (a) or (b) of this Article) payable under this Agreement
or any other Loan Document, when and as the same shall become due and payable and such failure continues for five (5) days; 
 (c) any representation or warranty made or deemed made by or on behalf of any Loan Party in or in connection with any Loan Document or any amendment or modification thereof or waiver thereunder, or in any report, certificate, financial
statement or other document furnished pursuant to or in connection with any Loan Document or any amendment or modification thereof or waiver thereunder, shall prove to have been incorrect in any material respect when made or deemed made; 

(d) the Loan Parties shall fail to observe or perform any covenant, condition or agreement contained in Sections 2.22, 5.01(f),
5.02(j), 5.07 (with respect to insurance covering the Collateral), 5.09, or 5.12, or in Article VI; 
 (e) any Loan Party
shall fail to observe or perform any covenant, condition or agreement contained in any Loan Document (other than those specified in clause (a), (b), (c), or (d) of this Article), and such failure shall continue unremedied for a period of 15
days after notice thereof from the Administrative Agent to the Lead Borrower; 
 (f) any Loan Party shall fail to make any
payment (whether of principal or interest and regardless of amount) in respect of any Material Indebtedness when and as the same shall become due and payable (after giving effect to the expiration of any grace or cure period set forth therein);

 (g) any event or condition occurs that results in any Material Indebtedness becoming due prior to its scheduled maturity or
that enables or permits (after giving effect to the expiration of any grace or cure period set forth therein) the holder or holders of any such Material Indebtedness or any trustee or agent on its or their behalf to cause any such Material
Indebtedness to become due, or to require the prepayment, repurchase, redemption or defeasance thereof, prior to its scheduled maturity; 
 (h) an involuntary proceeding shall be commenced or an involuntary petition shall be filed seeking (i) liquidation, reorganization or other relief in respect of any Loan Party or its debts, or of a substantial
part of its assets, under any federal or state bankruptcy, insolvency, receivership or similar law now or hereafter in effect or (ii) the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for any Loan
Party or for a substantial part of its assets, and, in any such case, such 

  

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proceeding or petition shall continue undismissed for 60 days or an order or decree approving or ordering any of the foregoing shall be entered; 

(i) any Loan Party shall (i) voluntarily commence any proceeding or file any petition seeking liquidation, reorganization or other
relief under any federal or state bankruptcy, insolvency, receivership or similar law now or hereafter in effect, (ii) consent to the institution of, or fail to contest in a timely and appropriate manner, any proceeding or petition described in
clause (h) of this Section 7.01, (iii) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for any Loan Party or for a substantial part of its assets, (iv) file
an answer admitting the material allegations of a petition filed against it in any such proceeding, (v) make a general assignment for the benefit of creditors or (vi) take any action for the purpose of effecting any of the foregoing;

 (j) any Loan Party shall become unable, admit in writing its inability or fail generally to pay its debts as they become
due; 
 (k) one or more judgments for the payment of money in an aggregate amount in excess of $1,000,000 shall be rendered
against any Loan Party or any combination thereof and the same shall remain undischarged for a period of 30 consecutive days during which execution shall not be effectively stayed, or any action shall be legally taken by a judgment creditor to
attach or levy upon any material assets of any Loan Party to enforce any such judgment; 
 (l) an ERISA Event shall have
occurred that when taken together with all other ERISA Events that have occurred, could reasonably be expected to result in liability of the Loan Parties in an aggregate amount exceeding $500,000; 
 (m) (i) any challenge in writing by or on behalf of any Loan Party to the validity of any Loan Document or the applicability or
enforceability of any Loan Document strictly in accordance with the subject Loan Document’s terms or which seeks to void, avoid, limit, or otherwise adversely affect any security interest created by or in any Loan Document or any payment made
pursuant thereto; 
 (ii) any judicial proceeding by or on behalf of any other Person seeking to challenge the validity of any
Loan Document or the applicability or enforceability of any Loan Document strictly in accordance with the subject Loan Document’s terms or which seeks to void, avoid, limit, or otherwise adversely affect any security interest created by or in
any Loan Document or any payment made pursuant thereto; 
 (iii) any Lien purported to be created under any Security Document
shall cease to be, or shall be asserted by any Loan Party not to be, a valid and perfected Lien on any Collateral, with the priority required by the applicable Security Document, except as a result of the sale or other disposition of the applicable
Collateral in a transaction permitted under the Loan Documents; 
  

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 (n) the occurrence of any uninsured loss to any material portion of the Collateral;

 (o) the indictment of, or institution of any legal process or proceeding against, any Loan Party, under any federal, state,
municipal, and other civil or criminal statute, rule, regulation, order, or other requirement having the force of law where the relief, penalties, or remedies sought or available include the forfeiture of any material property of any Loan Party
and/or the imposition of any stay or other order, the effect of which could reasonably be to restrain in any material way the conduct by the Loan Parties, taken as a whole, of their business in the ordinary course; 
 (p) the determination by the Borrowers, whether by vote of the Borrowers’ board of directors or otherwise to: suspend the operation
of any Borrower’s business in the ordinary course, liquidate all or a material portion of the Borrowers’ assets or store locations, or employ an agent or other third party to conduct any so-called store closing, store liquidation or
“Going-Out-Of-Business” sales, except as permitted pursuant to Section 6.14; 
 (q) the occurrence of any
Change in Control; 
 (r) the occurrence of any Event giving rise to a Change in Control, as defined under the Convertible
Notes, or the occurrence of any Event of Default, as defined under the Convertible Notes, whether or not any holders of the Convertible Notes have exercised, or are permitted to exercise, any of their respective rights and remedies on account
thereof; or 
 (s) the breach by the Lead Borrower of any covenant or other term or condition of any of the 2005 Transaction
Documents, subject to any applicable grace periods set forth therein. 
 then, and in every such event (other than an event with respect to
any Loan Party described in clause (h) or (i) of this Section 7.01), and at any time thereafter during the continuance of such event, the Administrative Agent may, and at the request of the Required Lenders shall, by notice to the
Lead Borrower, take either or both of the following actions, at the same or different times: (i) terminate the Commitments, and thereupon the Commitments shall terminate immediately, and (ii) declare the Loans then outstanding to be due
and payable in whole (or in part, in which case any principal not so declared to be due and payable may thereafter be declared to be due and payable), and thereupon the principal of the Loans so declared to be due and payable, together with accrued
interest thereon and all fees and other obligations of the Borrowers accrued hereunder, shall become due and payable immediately, without presentment, demand, protest or other notice of any kind, all of which are hereby waived by the Loan Parties;
and in case of any event with respect to any Loan Party described in clause (h) or (i) of this Article, the Commitments shall automatically terminate and the principal of the Loans then outstanding, together with accrued interest thereon
and all fees and other obligations of the Borrowers accrued hereunder, shall automatically become due and payable, without presentment, demand, protest or other notice of any kind, all of which are hereby waived by the Loan Parties. 
  

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 7.02. Remedies on Default 
 (a) In case any one or more of the Events of Default shall have occurred and be continuing, and whether or not the maturity of the Loans
shall have been accelerated pursuant hereto, the Administrative Agent may proceed to protect and enforce its rights and remedies under this Agreement, the Notes or any of the other Loan Documents by suit in equity, action at law or other appropriate
proceeding, whether for the specific performance of any covenant or agreement contained in this Agreement and the other Loan Documents or any instrument pursuant to which the Obligations are evidenced, and, if such amount shall have become due, by
declaration or otherwise, proceed to enforce the payment thereof or any other legal or equitable right of the Agents or the Lenders. No remedy herein is intended to be exclusive of any other remedy and each and every remedy shall be cumulative and
shall be in addition to every other remedy given hereunder or now or hereafter existing at law or in equity or by statute or any other provision of law. 
 If any Event of Default shall occur and be continuing, on the Business Day that the Lead Borrower receives notice from the Administrative Agent or the Required Revolving Credit Lenders demanding the deposit of cash
collateral pursuant to this paragraph, the Borrowers shall deposit in the Cash Collateral Account an amount in cash equal to 103% of the Letter of Credit Outstandings as of such date plus any accrued and unpaid interest thereon. Each such deposit
shall be held by the Collateral Agent as collateral for the payment and performance of the Obligations of the Borrowers under this Agreement. The Collateral Agent shall have exclusive dominion and control, including the exclusive right of
withdrawal, over such Cash Collateral Account. Other than any interest earned on the investment of such deposits, which investments shall be made at the option and sole discretion of the Collateral Agent at the request of the Lead Borrower and at
the Borrowers’ risk and expense, such deposits shall not bear interest. Interest or profits, if any, on such investments shall accumulate in such account. Moneys in such Cash Collateral Account shall be applied by the Collateral Agent to
reimburse the Issuing Bank for payments on account of drawings under Letters of Credit for which it has not been reimbursed and, to the extent not so applied, shall be held first for the satisfaction of the reimbursement obligations of the Borrowers
for the Letter of Credit Outstandings at such time and thereafter be applied to satisfy other Obligations of the Borrowers under this Agreement. 
 7.03. Application of Proceeds 
 After the occurrence of an Event of Default and acceleration of the Obligations, all proceeds
realized from any Loan Party or on account of any Collateral shall be applied in the manner set forth in Section 6.02 of the Security Agreement. All amounts required to be applied to Revolving Credit Loans hereunder (other than Swingline Loans)
shall be applied ratably in accordance with each Revolving Credit Lender’s Revolving Loan Credit Commitment Percentage. 
  

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 ARTICLE VIII 
 The Agents 
 8.01. Administration by Administrative Agent. 
 Each Lender, the Collateral Agent and the Issuing Bank hereby irrevocably designate Bank of America as Administrative Agent under this Agreement and the
other Loan Documents. The general administration of the Loan Documents shall be by the Administrative Agent. The Lenders, the Collateral Agent and the Issuing Bank each hereby irrevocably authorizes the Administrative Agent (i) to enter into
the Loan Documents to which it is a party and (ii) at its discretion, to take or refrain from taking such actions as agent on its behalf and to exercise or refrain from exercising such powers under the Loan Documents and the Notes as are
delegated by the terms hereof or thereof, as appropriate, together with all powers reasonably incidental thereto. The Administrative Agent shall have no duties or responsibilities except as set forth in this Agreement and the remaining Loan
Documents, nor shall it have any fiduciary relationship with any Lender, and no implied covenants, responsibilities, duties, obligations, or liabilities shall be read into the Loan Documents or otherwise exist against the Administrative Agent.

 8.02. The Collateral Agent. 
 Each Lender, the Administrative Agent and the Issuing Bank hereby irrevocably (i) designate Bank of America as Collateral Agent under this Agreement and the other Loan Documents, (ii) authorize the Collateral Agent to enter into
the Collateral Documents and the other Loan Documents to which it is a party and to perform its duties and obligations thereunder, together with all powers reasonably incidental thereto, and (iii) agree and consent to all of the provisions of
the Security Documents. All Collateral shall be held or administered by the Collateral Agent (or its duly-appointed agent) for its benefit and for the ratable benefit of the other Secured Parties. Any proceeds received by the Collateral Agent from
the foreclosure, sale, lease or other disposition of any of the Collateral and any other proceeds received pursuant to the terms of the Security Documents or the other Loan Documents shall be paid over to the Administrative Agent for application as
provided in Sections 2.19, 2.23, or 7.03, as applicable. The Collateral Agent shall have no duties or responsibilities except as set forth in this Agreement and the remaining Loan Documents, nor shall it have any fiduciary relationship with any
Lender, and no implied covenants, responsibilities, duties, obligations, or liabilities shall be read into the Loan Documents or otherwise exist against the Collateral Agent. 
 8.03. Sharing of Excess Payments. 
 Each of the Lenders, the Agents and the Issuing Bank agrees that if it shall, through the exercise of a right of banker’s lien, setoff or counterclaim against the Loan Parties, including, but not limited to, a secured claim under
Section 506 of the Bankruptcy Code or other security or interest arising from, or in lieu of, such secured claim and received by such Lender, any Agent or the Issuing Bank under any applicable bankruptcy, insolvency or other similar law, or
otherwise, obtain payment in respect of the Obligations owed it (an “excess payment”) as a result of which such Lender, such Agent or the Issuing Bank has received payment of any Loans or other Obligations outstanding to it in excess of
the amount that it would have received if all payments 

  

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at any time applied to the Loans and other Obligations had been applied in the order of priority set forth in Section 7.03, then such Lender, Agent or
the Issuing Bank shall promptly purchase at par (and shall be deemed to have thereupon purchased) from the other Lenders, such Agent and the Issuing Bank, as applicable, a participation in the Loans and Obligations outstanding to such other Persons,
in an amount determined by the Administrative Agent in good faith as the amount necessary to ensure that the economic benefit of such excess payment is reallocated in such manner as to cause such excess payment and all other payments at any time
applied to the Loans and other Obligations to be effectively applied in the order of priority set forth in Section 7.03 in proportion to its Commitment Percentages and, within the Revolving Credit Loans, to each Lender pro rata in proportion to
its Revolving Loan Credit Commitment; provided, that if any such excess payment is thereafter recovered or otherwise set aside such purchase of participations shall be correspondingly rescinded (without interest). The Loan Parties expressly consent
to the foregoing arrangements and agree that any Lender, any Agent or the Issuing Bank holding (or deemed to be holding) a participation in any Loan or other Obligation may exercise any and all rights of banker’s lien, setoff or counterclaim
with respect to any and all moneys owing by such Loan Party to such Lender, such Agent or the Issuing Bank as fully as if such Lender, Agent or the Issuing Bank held a Note and was the original obligee thereon, in the amount of such participation.

 8.04. Agreement of Required Lenders. 
 Upon any occasion requiring or permitting an approval, consent, waiver, election or other action on the part of only the Required Revolving Credit Lenders or Required Supermajority Revolving Credit Lenders, action
shall be taken by the Agents for and on behalf or for the benefit of all Lenders upon the direction of the Required Revolving Credit Lenders or Required Supermajority Revolving Credit Lenders, as applicable, and any such action shall be binding on
all Lenders, and (ii) upon any occasion requiring or permitting an approval, consent, waiver, election or other action on the part of only the Required Lenders, action shall be taken by the Agents for and on behalf or for the benefit of all
Lenders upon the direction of the Required Lenders, and any such action shall be binding on all Lenders. No amendment, modification, consent, or waiver shall be effective except in accordance with the provisions of Section 9.02(b). Upon the
occurrence of an Event of Default, the Agents shall (subject to the provisions of Section 9.02) take such action with respect thereto as may be reasonably directed by the Required Revolving Credit Lenders; provided that unless and until
the Agents shall have received such directions, the Agents may (but shall not be obligated to) take such action as it shall deem advisable in the best interests of the Lenders. In no event shall the Agents be required to comply with any such
directions to the extent that the Agents believe that the Agents’ compliance with such directions would be unlawful. 
 8.05.
Liability of Agents. 
 (a) Each of the Agents, when acting on behalf of the Lenders and the Issuing Bank, may execute
any of its respective duties under this Agreement by or through any of its respective officers, agents and employees, and none of the Agents nor their respective directors, officers, agents or employees shall be liable to the Lenders or the Issuing
Bank or any of them for any action taken or omitted to be taken in good faith, or be responsible to the Lenders or the Issuing Bank or to any of them for the consequences of any 

  

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oversight or error of judgment, or for any loss, except to the extent of any liability imposed by law by reason of such Agent’s own gross negligence or
willful misconduct. The Agents and their respective directors, officers, agents and employees shall in no event be liable to the Lenders or the Issuing Bank or to any of them for any action taken or omitted to be taken by them pursuant instructions
received by them from the Required Lenders, Required Revolving Credit Lenders, or Required Supermajority Revolving Credit Lenders, as applicable, or in reliance upon the advice of counsel selected by it. Without limiting the foregoing, none of the
Agents, nor any of their respective directors, officers, employees, or agents (A) shall be responsible to any Lender or the Issuing Bank for the due execution, validity, genuineness, effectiveness, sufficiency, or enforceability of, or for any
recital, statement, warranty or representation in, this Agreement, any Loan Document or any related agreement, document or order, or (B) shall be required to ascertain or to make any inquiry concerning the performance or observance by any Loan
Party of any of the terms, conditions, covenants, or agreements of this Agreement or any of the Loan Documents, or (C) shall be responsible to any Lender or the Issuing Bank for the state or condition of any properties of any Borrower or any
other obligor hereunder constituting Collateral for the Obligations of the Borrower hereunder, or any information contained in the books or records of the Borrowers; or (D) shall be responsible to any Lender or the Issuing Bank for the
validity, enforceability, collectibility, effectiveness or genuineness of this Agreement or any other Loan Document or any other certificate, document or instrument furnished in connection therewith; or (E) shall be responsible to any Lender or
the Issuing Bank for the validity, priority or perfection of any lien securing or purporting to secure the Obligations or the value or sufficiency of any of the Collateral. The Agents may execute any of their duties under this Agreement or any other
Loan Document by or through their agents or attorneys-in-fact, and shall be entitled to the advice of counsel concerning all matters pertaining to their rights and duties hereunder or under the Loan Documents. The Agents shall not be responsible for
the negligence or misconduct of any agents or attorneys-in-fact selected by them with reasonable care. 
 (c) None of the
Agents nor any of their respective directors, officers, employees, or agents shall have any responsibility to the Loan Parties on account of the failure or delay in performance or breach by any Lender (other than by the Agent in its capacity as a
Lender) or the Issuing Bank of any of their respective obligations under this Agreement or the Notes or any of the Loan Documents or in connection herewith or therewith. 
 (d) The Agents shall be entitled to rely, and shall be fully protected in relying, upon any notice, consent, certificate, affidavit, or
other document or writing believed by it to be genuine and correct and to have been signed, sent or made by the proper person or persons, and upon the advice and statements of legal counsel (including, without, limitation, counsel to the Loan
Parties), independent accountants and other experts selected by the Agents. The Agents shall be fully justified in failing or refusing to take any action under this Agreement or any other Loan Document unless they shall first receive such advice or
concurrence of the Required Lenders as they deem appropriate or they shall first be indemnified to their satisfaction by the Lenders against any and all 

  

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liability and expense which may be incurred by them by reason of the taking or failing to take any such action. 
 8.06. Notice of Default. 
 The Agents
shall not be deemed to have knowledge or notice of the occurrence of any Default or Event of Default unless the Agents have actual knowledge of the same or has received notice from a Lender or the Loan Parties referring to this Agreement, describing
such Default or Event of Default and stating that such notice is a “notice of default”. In the event that the Agents obtain such actual knowledge or receive such a notice, the Agents shall give prompt notice thereof to each of the Lenders.
The Agents shall take such action with respect to such Default or Event of Default as shall be reasonably directed by the Required Lenders. Unless and until the Agents shall have received such direction, the Agents may (but shall not be obligated
to) take such action, or refrain from taking such action, with respect to any such Default or Event of Default as they shall deem advisable in the best interest of the Lenders. 
 8.07. Lenders’ Credit Decisions. 
 Each Lender acknowledges that it has, independently and without reliance upon the Agents or any other Lender, and based on the financial statements prepared by the Loan Parties and such other documents and information as it has deemed
appropriate, made its own credit analysis and investigation into the business, assets, operations, property, and financial and other condition of the Loan Parties and has made its own decision to enter into this Agreement and the other Loan
Documents. Each Lender also acknowledges that it will, independently and without reliance upon the Agents or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit
decisions in determining whether or not conditions precedent to closing any Loan hereunder have been satisfied and in taking or not taking any action under this Agreement and the other Loan Documents. 
 8.08. Reimbursement and Indemnification. 
 Each Lender agrees (i) to reimburse (x) each Agent for such Lender’s Commitment Percentage of any expenses and fees incurred by such Agent for the benefit of the Lenders or the Issuing Bank under this Agreement, the Notes and
any of the Loan Documents, including, without limitation, counsel fees and compensation of agents and employees paid for services rendered on behalf of the Lenders or the Issuing Bank, and any other expense incurred in connection with the operations
or enforcement thereof not reimbursed by the Loan Parties and (y) each Agent for such Lender’s Commitment Percentage of any expenses of such Agent incurred for the benefit of the Lenders or the Issuing Bank that the Loan Parties have
agreed to reimburse pursuant to Section 9.03 and has failed to so reimburse and (ii) to indemnify and hold harmless the Agents and any of their directors, officers, employees, or agents, on demand, in the amount of such Lender’s
Commitment Percentage, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses, or disbursements of any kind or nature whatsoever which may be imposed on, incurred by, or asserted
against it or any of them in any way relating to or arising out of this Agreement, the Notes or any of the Loan Documents or any action taken or omitted by it or any of them under this Agreement, the Notes or any of the Loan Documents to the extent
not reimbursed by the 

  

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Loan Parties (except such as shall result from their respective gross negligence or willful misconduct). The provisions of this Section 8.08 shall
survive the repayment of the Obligations and the termination of the Commitments. 
 8.09. Rights of Agents. 
 It is understood and agreed that Bank of America shall have the same rights and powers hereunder (including the right to give such instructions) as the
other Lenders and may exercise such rights and powers, as well as its rights and powers under other agreements and instruments to which it is or may be party, and engage in other transactions with any Borrower, as though they were not the
Administrative Agent or the Collateral Agent, respectively, of the Lenders under this Agreement. The Agents and their affiliates may accept deposits from, lend money to, and generally engage in any kind of commercial or investment banking, trust,
advisory or other business with the Loan Parties and their Subsidiaries and Affiliates as if it were not the Agent hereunder. 
 8.10.
Independent Lenders and Issuing Bank. 
 The Lenders and the Issuing Bank each acknowledge that they have decided to enter into this
Agreement and to make the Loans or issue the Letters of Credit hereunder based on their own analysis of the transactions contemplated hereby and of the creditworthiness of the Loan Parties and agrees that the Agents shall bear no responsibility
therefor. 
 8.11. Notice of Transfer. 
 The Agents may deem and treat a Lender party to this Agreement as the owner of such Lender’s portion of the Loans for all purposes, unless and until, and except to the extent, an Assignment and Acceptance shall
have become effective as set forth in Section 9.05(b). 
 8.12. Successor Agent. 
 Any Agent may resign at any time by giving five (5) Business Days’ written notice thereof to the Lenders, the Issuing Bank, the other Agents
and the Lead Borrower. Upon any such resignation of any Agent, the Required Lenders shall have the right to appoint a successor Agent, which so long as there is no Default or Event of Default, shall be reasonably satisfactory to the Lead Borrower
(whose consent shall not be unreasonably withheld or delayed). 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, the retiring Agent may, on behalf of the Lenders, the other Agents and the Issuing Bank, appoint a successor Agent which shall be a Person capable of complying with all of the duties of such Agent (and the Issuing Bank), hereunder (in
the opinion of the retiring Agent and as certified to the Lenders in writing by such successor Agent) which, so long as there is no Default or Event of Default, shall be reasonably satisfactory to the Lead Borrower (whose consent shall not be
unreasonably withheld or delayed). Upon the acceptance of any appointment as Agent by a successor Agent, such successor Agent shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring Agent and
the retiring Agent shall be discharged from its duties and obligations under this Agreement. After any retiring Agent’s resignation hereunder as such Agent, the provisions of this Article VIII shall inure to its benefit 

  

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as to any actions taken or omitted to be taken by it while it was such Agent under this Agreement. The Existing Agent hereby confirms its resignation as
Administrative Agent and Collateral Agent under the Existing Loan Agreement and each of the other Loan Documents, and each Lender hereby appoints and designates Bank of America, N.A., as successor “Administrative Agent” and
“Collateral Agent” hereunder and under each of the other Loan Documents, and Bank of America, N.A. hereby accepts the appointment as successor Administrative Agent and Collateral Agent. The Lead Borrower hereby consents to such
appointment. The Lenders, the Issuing Bank, the other Agents and the Lead Borrower waive the requirement under this Section that the Agent give five (5) Business Days’ written notice of resignation. 
 8.13. Reports and Financial Statements. 
 Promptly after receipt thereof from the Lead Borrower, the Administrative Agent shall remit to each Lender and the Collateral Agent copies of all financial statements required to be delivered by the Borrowers hereunder and all commercial
finance examinations and appraisals of the Collateral received by the Administrative Agent. 
 8.14. Delinquent Lender. 
 If for any reason any Lender shall fail or refuse to abide by its obligations under this Agreement, including without limitation its obligation to make
available to Administrative Agent its Revolving Loan Credit Commitment Percentage of any Revolving Credit Loans, expenses or setoff or purchase its Revolving Loan Credit Commitment Percentage of a participation interest in the Swingline Loans (a
“Delinquent Lender”) and such failure is not cured within ten (10) days of receipt from the Administrative Agent of written notice thereof, then, in addition to the rights and remedies that may be available to Agents, other
Lenders, the Loan Parties or any other party at law or in equity, and not at limitation thereof, (i) such Delinquent Lender’s right to participate in the administration of, or decision-making rights related to, the Loans, this Agreement or
the other Loan Documents shall be suspended during the pendency of such failure or refusal, and (ii) a Delinquent Lender shall be deemed to have assigned any and all payments due to it from the Loan Parties, whether on account of outstanding
Loans, interest, fees or otherwise, to the remaining non-Delinquent Lenders for application to, and reduction of, their proportionate shares of all outstanding Loans until, as a result of application of such assigned payments the Lenders’
respective Commitment Percentage of all outstanding Loans shall have returned to those in effect immediately prior to such delinquency and without giving effect to the nonpayment causing such delinquency. The Delinquent Lender’s decision-making
and participation rights and rights to payments as set forth in clauses (i) and (ii) hereinabove shall be restored only upon the payment by the Delinquent Lender of its Commitment Percentage of any Loans, any participation obligation, or
expenses as to which it is delinquent, together with interest thereon at the rate set forth in Section 2.11 hereof from the date when originally due until the date upon which any such amounts are actually paid. 
 The non-Delinquent Lenders shall also have the right, but not the obligation, in their respective, sole and absolute discretion, to acquire for no cash
consideration, (pro rata, based on the respective Commitments of those Lenders electing to exercise such right) the Delinquent Lender’s Commitment to fund future Loans. Upon any such purchase of the Commitment 

  

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Percentage of any Delinquent Lender’s future commitment, the Delinquent Lender’s share in future Loans and its rights under the Loan Documents with
respect thereto shall terminate on the date of purchase, and the Delinquent Lender shall promptly execute all documents reasonably requested to surrender and transfer such interest, including, if so requested, an Assignment and Acceptance. Each
Delinquent Lender shall indemnify the Agents and each non-Delinquent Lender from and against any and all loss, damage or expenses, including but not limited to reasonable attorneys’ fees and funds advanced by any Agent or by any non-Delinquent
Lender, on account of a Delinquent Lender’s failure to timely fund its Commitment Percentage of a Loan or to otherwise perform its obligations under the Loan Documents. 
 ARTICLE IX 
 Miscellaneous 
 9.01. Notices. Except in the case of notices and other communications expressly permitted to be given by telephone, all notices and other
communications provided for herein shall be in writing and shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by telecopy, as follows: 
 (a) if to any Loan Party, to it at The Wet Seal, Inc., 26972 Burbank, Foothill Ranch, California 92610, Attention: Chief Financial Officer
(Telecopy No. (949) 206-4977), with a copy to Akin Gump Strauss Hauer & Feld LLP, 590 Madison Avenue, New York, New York 10022, Attention: Trey Muldrow, Esquire (Telecopy No. (212) 872-1002); 
 (b) if to the Administrative Agent or the Collateral Agent, or the Swingline Lender to Bank of America, N.A., 40 Broad Street, Boston,
Massachusetts 02109, Attention Stephen J. Garvin (Telecopy No. (617) 434-6685), with a copy to Riemer & Braunstein, LLP, Three Center Plaza, Boston, Massachusetts 02108, Attention: Robert E. Paul, Esquire (Telecopy No.
(617) 880-3456); 
 (c) if to any other Lender, to it at its address (or telecopy number) set forth on the signature
pages hereto or on any Assignment and Acceptance for such Revolving Credit Lender. 
 (d) Any party hereto may change its
address or telecopy number for notices and other communications hereunder by notice to the other parties hereto. All notices and other communications given to any party hereto in accordance with the provisions of this Agreement shall be deemed to
have been given on the date of receipt. 
 9.02. Waivers; Amendments. 
 (a) No failure or delay by the Agents, the Issuing Bank or any Lender in exercising any right or power hereunder or under any other Loan
Document shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the
exercise of any other right or power. The rights and remedies of the Agents, the Issuing Bank and the Lenders hereunder and under 

  

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the other Loan Documents are cumulative and are not exclusive of any rights or remedies that they would otherwise have. No waiver of any provision of any
Loan Document or consent to any departure by any Loan Party therefrom shall in any event be effective unless the same shall be permitted by paragraph (b) of this Section, and then such waiver or consent shall be effective only in the specific
instance and for the purpose for which given. Without limiting the generality of the foregoing, the making of a Loan or issuance of a Letter of Credit shall not be construed as a waiver of any Default, regardless of whether the Agents, any Lender or
the Issuing Bank may have had notice or knowledge of such Default at the time. 
 (b) Neither this Agreement nor any other
Loan Document nor any provision hereof or thereof may be waived, amended or modified except, in the case of this Agreement, pursuant to an agreement or agreements in writing entered into by the Lead Borrower and the Required Lenders or, in the case
of any other Loan Document, pursuant to an agreement or agreements in writing entered into by the Agents and the Loan Parties that are parties thereto, in each case with the Consent of the Required Lenders, provided that no such agreement shall
(i) increase the Commitment of any Lender without the Consent of such Lender, (ii) reduce the principal amount of any Loan or L/C Disbursement or reduce the rate of interest thereon, or reduce any fees payable hereunder, without the
Consent of each Lender affected thereby, (iii) postpone the scheduled date of payment of the principal amount of any Loan or L/C Disbursement, or any interest thereon, or any fees payable hereunder, or reduce the amount of, waive or excuse any
such payment, or postpone the scheduled date of expiration of the Commitments or the Maturity Date, without the Consent of each Lender affected thereby, (iv) change Sections 2.19, 2.22, or 2.23 or Section 6.02 of the Security Agreement,
without the Consent of each Lender, (v) change any of the provisions of this Section 9.02 or the definition of the term “Required Lenders”, “Required Revolving Credit Lenders or “Required Supermajority Revolving Credit
Lenders” or any other provision of any Loan Document specifying the number or percentage of Lenders required to waive, amend or modify any rights thereunder or make any determination or grant any consent thereunder, without the Consent of each
Lender, (vi) release any Loan Party from its obligations under any Loan Document, or limit its liability in respect of such Loan Document, without the Consent of each Lender, (vii) except for sales described in Section 6.05 or as
permitted in the Security Documents, release any material portion of the Collateral from the Liens of the Security Documents, without the Consent of each Lender, (viii) change the definition of the term “Borrowing Base” or any
component definition thereof if as a result thereof the amounts available to be borrowed by the Borrowers would be increased, without the Consent of each Lender, provided that the foregoing shall not limit the discretion of the Administrative Agent
to change, establish or eliminate any Reserves, (ix) increase the Permitted Overadvance, without the Consent of each Lender, (x) subordinate the Obligations hereunder, or the Liens granted hereunder or under the other Loan Documents, to
any other Indebtedness or Lien, as the case may be without the prior Consent of each Lender, and provided further that no such agreement shall amend, modify or otherwise affect the rights or duties of the Agents or the Issuing Bank without the prior
written consent of the Agents or the Issuing Bank, as the case may be. 
  

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 (c) Notwithstanding anything to the contrary contained herein, no modification, amendment
or waiver which increases the maximum amount of the Swingline Loans to an amount in excess of $10,000,000 (or such greater amount to which such limit has been previously increased in accordance with the provisions of this Section 9.02(c)) shall
be made without the Consent of the Required Supermajority Revolving Credit Lenders. 
 (d) Notwithstanding anything to the
contrary contained in this Section 9.02, in the event that the Borrowers request that this Agreement or any other Loan Document be modified, amended or waived in a manner which would require the Consent of the Lenders pursuant to Sections
9.02(b) or 9.02(c) and such amendment is approved by the Required Lenders, but not by the percentage of the Lenders set forth in said Sections 9.02(b) or 9.02(c), as applicable, the Borrowers, and the Required Lenders shall be permitted to amend
this Agreement without the Consent of the Lender or Lenders which did not agree to the modification or amendment requested by the Borrowers (such Lender or Lenders, collectively the “Minority Revolving Credit Lenders”) subject to providing
for (w) the termination of the Commitment of each of the Minority Lenders, (x) the addition to this Agreement of one or more other financial institutions (reasonably acceptable to the Administrative Agent), or an increase in the Commitment
of one or more of the Required Lenders, so that the aggregate Commitments after giving effect to such amendment shall be in the same amount as the aggregate Commitments immediately before giving effect to such amendment, (y) if any Loans are
outstanding at the time of such amendment, the making of such additional Loans by such new or increasing Lender or Lenders, as the case may be, as may be necessary to repay in full the outstanding Loans (including principal, interest, and fees) of
the Minority Lenders immediately before giving effect to such amendment and (z) such other modifications to this Agreement or the Loan Documents as may be appropriate and incidental to the foregoing. 
 (e) No notice to or demand on any Loan Party shall entitle any Loan Party to any other or further notice or demand in the same, similar or
other circumstances. Each holder of a Note shall be bound by any amendment, modification, waiver or consent authorized as provided herein, whether or not a Note shall have been marked to indicate such amendment, modification, waiver or consent and
any consent by a Lender, or any holder of a Note, shall bind any Person subsequently acquiring a Note, whether or not a Note is so marked. No amendment to this Agreement or any other Loan Document shall be effective against the Borrowers unless
signed by the Borrowers or other applicable Loan Party. 
 9.03. Expenses; Indemnity; Damage Waiver. 
 (a) The Loan Parties shall jointly and severally pay (i) all reasonable out-of-pocket expenses incurred by the Agents, the Lenders
and their Affiliates, including the reasonable fees, charges and disbursements of counsel for the Agents and the Lenders, outside consultants for the Agents, appraisers, for commercial finance examinations and environmental site assessments, in
connection with the syndication of the credit facilities provided for herein, the preparation and administration of the Loan Documents or any amendments, modifications or waivers of the provisions thereof (whether or not the 

  

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transactions contemplated hereby or thereby shall be consummated), (ii) all reasonable out-of-pocket expenses incurred by the Issuing Bank in connection
with the issuance, amendment, renewal or extension of any Letter of Credit or any demand for payment thereunder, and (iii) all reasonable out-of-pocket expenses incurred by the Agents, the Issuing Bank or any Lender, including the reasonable
fees, charges and disbursements of any counsel and any outside consultants for the Agents, the Issuing Bank or any Lender, for appraisers, commercial finance examinations, and environmental site assessments, in connection with the enforcement or
protection of its rights in connection with the Loan Documents, including its rights under this Section, or in connection with the Loans made or Letters of Credit issued hereunder, including all such out-of-pocket expenses incurred during any
workout, restructuring or negotiations in respect of such Loans or Letters of Credit; provided that the Lenders who are not the Agents or the Issuing Bank shall be entitled to reimbursement for no more than one counsel representing all such
Lenders (absent a conflict of interest in which case the Lenders may engage and be reimbursed for additional counsel). 
 (b)
The Loan Parties shall, jointly and severally, indemnify the Agents, the Issuing Bank and each Lender, and each Related Party of any of the foregoing Persons (each such Person being called an “Indemnitee”) against, and hold each
Indemnitee harmless from, any and all losses, claims, damages, liabilities and related expenses, including the reasonable and documented fees, charges and disbursements of any counsel for any Indemnitee, incurred by or asserted against any
Indemnitee arising out of, in connection with, or as a result of (i) the execution or delivery of any Loan Document or any other agreement or instrument contemplated hereby, the performance by the parties to the Loan Documents of their
respective obligations thereunder or the consummation of the transactions contemplated by the Loan Documents or any other transactions contemplated hereby, (ii) any Loan or Letter of Credit or the use of the proceeds therefrom (including any
refusal by the Issuing Bank to honor a demand for payment under a Letter of Credit if the documents presented in connection with such demand do not strictly comply with the terms of such Letter of Credit), (iii) any actual or alleged presence
or release of Hazardous Materials on or from any property currently or formerly owned or operated by any Loan Party or any of the Subsidiaries, or any Environmental Liability related in any way to any Loan Party or any of the Subsidiaries, or
(iv) any actual or prospective claim, litigation, investigation or proceeding relating to any of the foregoing, whether based on contract, tort or any other theory and regardless of whether any Indemnitee is a party thereto, provided
that such indemnity shall not, as to any Indemnitee, be available to the extent that such losses, claims, damages, liabilities or related expenses resulted from the gross negligence or wilful misconduct of such Indemnitee. In connection with any
indemnified claim hereunder, the Indemnitee shall be entitled to select its own counsel and the Loan Parties shall promptly pay the reasonable fees and expenses of such counsel. 
 (c) To the extent that any Loan Party fails to pay any amount required to be paid by it to the Agents or the Issuing Bank under paragraph
(a) or (b) of this Section, each Lender severally agrees to pay to the Agents or the Issuing Bank, as the case may be, such Lender’s Commitment Percentage (determined as of the time that the applicable unreimbursed expense or
indemnity payment is sought) of such unpaid amount, provided 

  

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that the unreimbursed expense or indemnified loss, claim, damage, liability or related expense, as the case may be, was incurred by or asserted against the
Agents or the Issuing Bank. 
 (d) To the extent permitted by Applicable Law, no Loan Party shall assert, and each hereby
waives, any claim against any Indemnitee, on any theory of liability, for special, indirect, consequential or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement or any
agreement or instrument contemplated hereby, the transactions contemplated by the Loan Documents, any Loan or Letter of Credit or the use of the proceeds thereof. The Loan Parties further agree that no Indemnitee shall have any liability to the Loan
Parties, any Person asserting claims by or on behalf of any Loan Party or any other Person in connection with this Agreement or the other Loan Documents except (i) for breach of the Indemnitee’s obligations under this Agreement and the
other Loan Documents, or (ii) the Indemnitee’s gross negligence, willful misconduct or bad faith. 
 (e) All amounts
due under this Section shall be payable promptly after written demand therefor. 
 9.04. Designation of Lead Borrower as Borrowers’
Agent. 
 (a) Each Borrower hereby irrevocably designates and appoints the Lead Borrower as that Borrower’s agent to
obtain Loans and Letters of Credit hereunder, the proceeds of which shall be available to each Borrower for those uses as those set forth herein. As the disclosed principal for its agent, each Borrower shall be obligated to the Agents and each
Lender on account of Loans so made and Letters of Credit so issued hereunder as if made directly by the Lenders to that Borrower, notwithstanding the manner by which such Loans and Letters of Credit are recorded on the books and records of the Lead
Borrower and of any Borrower. 
 (b) Each Borrower recognizes that credit available to it hereunder is in excess of and on
better terms than it otherwise could obtain on and for its own account and that one of the reasons therefor is its joining in the credit facility contemplated herein with all other Borrowers. Consequently, each Borrower hereby assumes, guarantees,
and agrees to discharge all Obligations of all other Borrowers as if the Borrower so assuming and guarantying were each other Borrower. 
 (c) The Lead Borrower shall act as a conduit for each Borrower (including itself, as a “Borrower”) on whose behalf the Lead Borrower has requested a Loan. 
 (d) The Lead Borrower shall cause the transfer of the proceeds of each Loan to the (those) Borrower(s) on whose behalf such Loan was
obtained. Neither the Agents nor any Lender shall have any obligation to see to the application of such proceeds. 
 (e) If,
for any reason, and at any time during the term of this Agreement, any Borrower, including the Lead Borrower, as agent for the Borrowers, shall be unable to, or prohibited from carrying out the terms and conditions of this Agreement (as determined
by the Administrative Agent in the Administrative Agent’s sole and absolute discretion); 

  

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or the Administrative Agent deems it inexpedient (in the Administrative Agent’s sole and absolute discretion) to continue making Loans and cause Letters
of Credit to be issued to or for the account of any particular Borrower, or to channel such Loans and Letters of Credit through the Lead Borrower, then the Lenders may make Loans directly to, and cause the issuance of Letters of Credit directly for
the account of such of the Borrowers as the Administrative Agent determines to be expedient, which Loans may be made without regard to the procedures otherwise included herein. 
 (f) In the event that the Administrative Agent determines to forgo the procedures included herein pursuant to which Loans and Letters of
Credit are to be channeled through the Lead Borrower, then the Administrative Agent may designate one or more of the Borrowers to fulfill the financial and other reporting requirements otherwise imposed herein upon the Lead Borrower. 
 (g) Each of the Borrowers shall remain liable to the Agents and the Lenders for the payment and performance of all Obligations (which
payment and performance shall continue to be secured by all Collateral granted by each of the Borrowers) notwithstanding any determination by the Administrative Agent to cease making Loans or causing Letters of Credit to be issued to or for the
benefit of any Borrower. 
 (h) The authority of the Lead Borrower to request Loans on behalf of, and to bind, the Borrowers,
shall continue unless and until the Administrative Agent acts as provided in subparagraph (e), above, or the Administrative Agent actually receives written notice of: (i) the termination of such authority, and (ii) the subsequent
appointment of a successor Lead Borrower, which notice is signed by the respective chief executive officers of each Borrower (other than the chief executive officer of the Lead Borrower being replaced) then eligible for borrowing under this
Agreement; and written notice from such successive Lead Borrower (i) accepting such appointment; (ii) acknowledging that such removal and appointment has been effected by the respective chief executive officers of such Borrowers eligible
for borrowing under this Agreement; and (iii) acknowledging that from and after the date of such appointment, the newly appointed Lead Borrower shall be bound by the terms hereof, and that as used herein, the term “Lead Borrower”
shall mean and include the newly appointed Lead Borrower. 
 9.05. Successors and Assigns. 
 (a) The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors
and assigns permitted hereby (including any Affiliate of the Issuing Bank that issues any Letter of Credit), except that no Loan Party may assign or otherwise transfer any of its rights or obligations hereunder without the prior written consent of
each Lender (and any such attempted assignment or transfer without such consent shall be null and void). Nothing in this Agreement, expressed or implied, shall be construed to confer upon any Person (other than the parties hereto, their respective
successors and assigns permitted hereby (including any Affiliate of the Issuing Bank that issues any Letter of Credit) and, to the extent expressly contemplated hereby, the Related Parties of each of the Agents, the Issuing Bank and the Lenders) any
legal or equitable right, remedy or claim under or by reason of this Agreement. 
  

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 (b) Any Lender may assign to no more than one Eligible Assignee all or a portion of its
rights and obligations under this Agreement (including all or a portion of its Commitment and the Loans at the time owing to it), provided that (i) except in the case of an assignment to a Lender or an Affiliate of a Lender, the Lead
Borrower (but only if no Default then exists), the Agents and the Issuing Bank must give their prior written consent to such assignment (which consent shall not be unreasonably withheld or delayed), (ii) except in the case of an assignment to a
Lender or an Affiliate of a Lender or an assignment of the entire remaining amount of the assigning Lender’s Commitment or Loans, the amount of the Commitment or Loans of the assigning Lender subject to each such assignment (determined as of
the date the Assignment and Acceptance with respect to such assignment is delivered to the Administrative Agent) shall not be less than $5,000,000 unless the Administrative Agent otherwise consents, (iii) each partial assignment shall be made
as an assignment of a proportionate part of all the assigning Lender’s rights and obligations, (iv) the parties to each assignment shall execute and deliver to the Administrative Agent an Assignment and Acceptance, and, after completion of
the syndication of the Loans, together with a processing and recordation fee of $3,500. Subject to acceptance and recording thereof pursuant to paragraph (d) of this Section, from and after the effective date specified in each Assignment and
Acceptance the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment and Acceptance, have the rights and obligations of a Lender under this Agreement, and the assigning Lender thereunder shall, to
the extent of the interest assigned by such Assignment and Acceptance, be released from its obligations under this Agreement (and, in the case of an Assignment and Acceptance covering all of the assigning Lender’s rights and obligations under
this Agreement, such Lender shall cease to be a party hereto (but shall continue to be entitled to the benefits of Section 9.03). Any assignment or transfer by a Lender of rights or obligations under this Agreement that does not comply with
this paragraph shall be treated for purposes of this Agreement as a sale by such Lender of a participation in such rights and obligations in accordance with paragraph (e) of this Section. 
 (c) The Administrative Agent, acting for this purpose as an agent of the Loan Parties, shall maintain at one of its offices in Boston,
Massachusetts a copy of each Assignment and Acceptance delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitment of, and principal amount of the Loans and L/C Disbursements owing to, each Lender
pursuant to the terms hereof from time to time (the “Register”). The entries in the Register shall be conclusive and the Loan Parties, the Administrative Agent, the Issuing Bank and the Lenders may treat each Person whose name is
recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. The Register shall be available for inspection by the Lead Borrower, the Issuing Bank and any
Lender, at any reasonable time and from time to time upon reasonable prior notice. 
 (d) Upon its receipt of a duly completed
Assignment and Acceptance executed by an assigning Lender and an assignee, the processing and recordation fee 

  

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referred to in paragraph (b) of this Section and any written consent to such assignment required by paragraph (b) of this Section, the
Administrative Agent shall accept such Assignment and Acceptance and record the information contained therein in the Register. No assignment shall be effective for purposes of this Agreement unless it has been recorded in the Register as provided in
this paragraph. 
 (e) Any Lender may, without the consent of the Loan Parties, the Agents, and the Issuing Bank, sell
participations to one or more banks or other entities (a “Participant”) in all or a portion of such Lender’s rights and obligations under this Agreement (including all or a portion of its Commitment and the Loans owing to it),
provided that (i) such Lender’s obligations under this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) the
Loan Parties, the Agents, the Issuing Bank and the other Lenders shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement. Any agreement or instrument pursuant to
which a Lender sells such a participation in the Commitments, the Loans and the Letters of Credit Outstandings shall provide that such Lender shall retain the sole right to enforce the Loan Documents and to approve any amendment, modification or
waiver of any provision of the Loan Documents, provided that such agreement or instrument may provide that such Lender will not, without the consent of the Participant, agree to any amendment, modification or waiver described in
Section 9.02(b)(ii) or (iii) that affects such Participant. Subject to paragraph (f) of this Section, the Loan Parties agree that each Participant shall be entitled to the benefits of Sections 2.24, 2.26 and 2.27 to the same extent as
if it were a Lender and had acquired its interest by assignment pursuant to paragraph (b) of this Section. To the extent permitted by law, each Participant also shall be entitled to the benefits of Section 9.07 as though it were a Lender,
provided such Participant agrees to be subject to Section 2.26(c) as though it were a Lender. 
 (f) A Participant
shall not be entitled to receive any greater payment under Section 2.24 or 2.27 than the applicable Lender would have been entitled to receive with respect to the participation sold to such Participant, unless the sale of the participation to
such Participant is made with the Lead Borrower’s prior written consent. A Participant that would be a Foreign Lender if it were a Lender shall not be entitled to the benefits of Section 2.27 unless (i) the Lead Borrower is notified
of the participation sold to such Participant and such Participant agrees, for the benefit of the Borrowers, to comply with Section 2.27(e) as though it were a Lender and (ii) such Participant is eligible for exemption from the withholding
Tax referred to therein, following compliance with Section 2.27(e). 
 (g) Any Lender may at any time pledge or assign a
security interest in all or any portion of its rights under this Agreement to secure obligations of such Lender, including any pledge or assignment to secure obligations to any of the twelve Federal Reserve Banks organized under Section 4 of
the Federal Reserve Act, 12 U.S.C. Section 341, and this Section shall not apply to any such pledge or assignment of a security interest, provided that no such pledge or assignment of a security interest shall release a 

  

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Lender from any of its obligations hereunder or substitute any such pledgee or assignee for such Lender as a party hereto. 
 9.06. Survival. All covenants, agreements, representations and warranties made by the Loan Parties in the Loan Documents and in the certificates
or other instruments delivered in connection with or pursuant to this Agreement or any other Loan Document shall be considered to have been relied upon by the other parties hereto and shall survive the execution and delivery of the Loan Documents
and the making of any Loans and issuance of any Letters of Credit, regardless of any investigation made by any such other party or on its behalf and notwithstanding that the Agents, the Issuing Bank or any Lender may have had notice or knowledge of
any Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall continue in full force and effect as long as the principal of or any accrued interest on any Loan or any fee or any other amount payable
under this Agreement is outstanding and unpaid or any Letter of Credit is outstanding and so long as the Commitments have not expired or terminated. The provisions of Sections 2.24, 2.27 and 9.03 and Article VIII shall survive and remain in full
force and effect regardless of the consummation of the transactions contemplated hereby, the repayment of the Loans, the expiration or termination of the Letters of Credit and the Commitments or the termination of this Agreement or any provision
hereof. 
 9.07. Counterparts; Integration; Effectiveness. This Agreement may be executed in counterparts (and by different parties
hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Agreement and the other Loan Documents constitute the entire contract among the parties
relating to the subject matter hereof and supersede any and all contemporaneous or previous agreements and understandings, oral or written, relating to the subject matter hereof. Except as provided in Section 4.01, this Agreement shall become
effective when it shall have been executed by the Agents and the Lenders and when the Administrative Agent shall have received counterparts hereof that, when taken together, bear the signatures of each of the other parties hereto, and thereafter
shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. Delivery of an executed counterpart of a signature page of this Agreement by telecopy shall be effective as delivery of a manually
executed counterpart of this Agreement. 
 9.08. Severability. Any provision of this Agreement held to be invalid, illegal or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof; and the
invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction. 
 9.09.
Right of Setoff. If an Event of Default shall have occurred and be continuing, each Lender, each Participant and each of its Affiliates is hereby authorized with the consent of the Administrative Agent or required Lenders at any time and from
time to time, to the fullest extent permitted by law, to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other obligations at any time owing by such Lender or Affiliate to or for
the credit or the account of the Loan Parties against any of and all the obligations of the Loan Parties now or hereafter existing under this Agreement held by such Lender, irrespective of whether or not such Lender shall have made any demand under
this 

  

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Agreement and although such obligations may be unmatured and regardless of the adequacy of the Collateral. The rights of each Lender under this Section are
in addition to other rights and remedies (including other rights of setoff) that such Lender may have. 
 9.10. Governing Law;
Jurisdiction; Consent to Service of Process. 
 (a) THIS AGREEMENT AND THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE COMMONWEALTH OF MASSACHUSETTS. 
 (b) The Loan Parties agree that any suit for the
enforcement of this Agreement or any other Loan Document may be brought in any Massachusetts state or federal court sitting in Suffolk County in Boston, Massachusetts as the Administrative Agent may elect in its sole discretion and consent to the
non-exclusive jurisdiction of such courts. The Loan Parties hereby waive any objection which they may now or hereafter have to the venue of any such suit or any such court or that such suit is brought in an inconvenient forum. The Loan Parties agree
that any action commenced by any Loan Party asserting any claim or counterclaim arising under or in connection with this Agreement or any other Loan Document shall be brought solely in any Massachusetts or federal court sitting in Suffolk County in
Boston, Massachusetts as the Administrative Agent may elect in its sole discretion and consent to the exclusive jurisdiction of such courts with respect to any such action. 
 (c) Each party to this Agreement irrevocably consents to service of process in the manner provided for notices in Section 9.01.
Nothing in this Agreement or any other Loan Document will affect the right of any party to this Agreement to serve process in any other manner permitted by law. 
 9.11. WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT TO A JURY IN ANY TRIAL OF ANY CASE OR CONTROVERSY IN WHICH ANY BORROWER, ANY AGENT, BANK
OF AMERICA, ANY LENDER OR ANY PARTICIPANT IS OR BECOMES A PARTY (WHETHER SUCH CASE OR CONTROVERSY IS INITIATED BY OR AGAINST ANY BORROWER, THE AGENT, BANK OF AMERICA, AND/OR SUCH LENDER OR PARTICIPANT OR IN WHICH ANY BORROWER, THE AGENT, BANK OF
AMERICA, OR SUCH LENDER OR PARTICIPANT, IS JOINED AS A PARTY LITIGANT), WHICH CASE OR CONTROVERSY ARISES OUT OF OR IS IN RESPECT OF, ANY RELATIONSHIP AMONGST OR BETWEEN ANY BORROWER OR ANY OTHER PERSON AND THE AGENT, BANK OF AMERICA, OR SUCH LENDER
OR PARTICIPANT. EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING
WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION. 
  

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 9.12. Headings. Article and Section headings and the Table of Contents used herein are for
convenience of reference only, are not part of this Agreement and shall not affect the construction of, or be taken into consideration in interpreting, this Agreement. 
 9.13. Interest Rate Limitation. Notwithstanding anything herein to the contrary, if at any time the interest rate applicable to any Loan, together with all fees, charges and other amounts that are treated as
interest on such Loan under Applicable Law (collectively the “Charges”), shall exceed the maximum lawful rate (the “Maximum Rate”) that may be contracted for, charged, taken, received or reserved by the Lender holding such Loan
in accordance with Applicable Law, the rate of interest payable in respect of such Loan hereunder, together with all Charges payable in respect thereof, shall be limited to the Maximum Rate and, to the extent lawful, the interest and Charges that
would have been payable in respect of such Loan but were not payable as a result of the operation of this Section shall be cumulated and the interest and Charges payable to such Lender in respect of other Loans or periods shall be increased (but not
above the Maximum Rate therefor) until such cumulated amount, together with interest thereon at the Federal Funds Effective Rate to the date of repayment, shall have been received by such Lender. 
 9.14. Additional Waivers. 
 (a) The Obligations are the joint and several obligations of each Loan Party. To the fullest extent permitted by Applicable Law, the obligations of each Loan Party hereunder shall not be affected by (i) the failure of any Agent or any
other Secured Party to assert any claim or demand or to enforce or exercise any right or remedy against any other Loan Party under the provisions of this Agreement, any other Loan Document or otherwise, (ii) any rescission, waiver, amendment or
modification of, or any release from any of the terms or provisions of, this Agreement or any other Loan Document, or (iii) the failure to perfect any security interest in, or the release of, any of the security held by or on behalf of the
Collateral Agent or any other Secured Party. 
 (b) To the fullest extent permitted by Applicable Law, the obligations of each
Loan Party hereunder shall not be subject to any reduction, limitation, impairment or termination for any reason (other than the indefeasible payment in full in cash of the Obligations), including any claim of waiver, release, surrender, alteration
or compromise of any of the Obligations, and shall not be subject to any defense or set-off, counterclaim, recoupment or termination whatsoever by reason of the invalidity, illegality or unenforceability of the Obligations or otherwise. Without
limiting the generality of the foregoing, the obligations of each Loan Party hereunder shall not be discharged or impaired or otherwise affected by the failure of any Agent or any other Secured Party to assert any claim or demand or to enforce any
remedy under this Agreement, any other Loan Document or any other agreement, by any waiver or modification of any provision of any thereof, by any default, failure or delay, willful or otherwise, in the performance of the Obligations, or by any
other act or omission that may or might in any manner or to any extent vary the risk of any Loan Party or that would otherwise operate as a discharge of any Loan Party as a matter of law or equity (other than the indefeasible payment in full in cash
of all the Obligations). 
  

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 (c) To the fullest extent permitted by Applicable Law, each Loan Party waives any defense
based on or arising out of any defense of any other Loan Party or the unenforceability of the Obligations or any part thereof from any cause, or the cessation from any cause of the liability of any other Loan Party, other than the indefeasible
payment in full in cash of all the Obligations. The Collateral Agent and the other Secured Parties may, at their election, foreclose on any security held by one or more of them by one or more judicial or nonjudicial sales, accept an assignment of
any such security in lieu of foreclosure, compromise or adjust any part of the Obligations, make any other accommodation with any other Loan Party, or exercise any other right or remedy available to them against any other Loan Party, without
affecting or impairing in any way the liability of any Loan Party hereunder except to the extent that all the Obligations have been paid in full in cash and the Commitments have been terminated. Pursuant to Applicable Law, each Loan Party waives any
defense arising out of any such election even though such election operates, pursuant to Applicable Law, to impair or to extinguish any right of reimbursement or subrogation or other right or remedy of such Loan Party against any other Loan Party,
as the case may be, or any security. 
 (d) Upon payment by any Loan Party of any Obligations, all rights of such Loan Party
against any other Loan Party arising as a result thereof by way of right of subrogation, contribution, reimbursement, indemnity or otherwise shall in all respects be subordinate and junior in right of payment to the prior payment in full in cash of
all the Obligations. In addition, any indebtedness of any Loan Party now or hereafter held by any other Loan Party is hereby subordinated in right of payment to the prior payment in full of the Obligations. Notwithstanding the foregoing, prior to
the occurrence of an Event of Default, Loan Party may make payments to any other Loan Party on account of any such indebtedness. After the occurrence and during the continuance of an Event of Default, none of the Loan Parties will demand, sue for,
or otherwise attempt to collect any such indebtedness. If any amount shall erroneously be paid to any Loan Party on account of (a) such subrogation, contribution, reimbursement, indemnity or similar right or (b) any such indebtedness of
any Loan Party, such amount shall be held in trust for the benefit of the Secured Parties and shall forthwith be paid to the Collateral Agent to be credited against the payment of the Obligations, whether matured or unmatured, in accordance with the
terms of the Loan Documents. 
 9.15. Confidentiality. 
 (a) Each of the Lenders agrees that it will use its best efforts not to disclose without the prior consent of the Lead Borrower (other
than to its employees, auditors, counsel or other professional advisors, to Affiliates, to another Lender or to such Lender’s holding or parent company) any information with respect to the Borrowers or any other Loan Party which is furnished
pursuant to this Agreement and which is designated by the Lead Borrower to the Lenders in writing as confidential provided that any Lender may disclose any such information (a) as has become generally available to the public, (b) as may be
required or appropriate in any report, statement or testimony submitted to any municipal, state or federal regulatory body having or claiming to have jurisdiction over such Lender or to the Federal Reserve Board or the Federal Deposit Insurance
Corporation or similar organizations (whether in the United States or 

  

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elsewhere) or their successors, (c) as may be required or appropriate in response to any summons or subpoena or in connection with any litigation,
(d) in order to comply with any law, order, regulation or ruling applicable to such Lender, (e) in connection with the enforcement of remedies under this Agreement and the other Loan Documents, and (f) to any prospective transferee in
connection with any contemplated transfer of any of the Loans or Notes or any interest therein by such Lender provided that such prospective transferee agrees to be bound by the provisions of this Section. The Loan Parties hereby agree that the
failure of a Lender to comply with the provisions of this Section 9.15 shall not relieve the Loan Parties of any of its obligations to such Lender under this Agreement and the other Loan Documents. 
 9.16. Publicity. 
 Each Borrower by
executing this Agreement agrees that neither it nor its Affiliates will in the future issue any press releases or other written public disclosure not otherwise required by law using the name of the Agent or the Lenders or their Affiliates or
referring to this Agreement or the other Loan Documents without at least one (1) Business Days’ prior notice to the Agent and without the prior written consent (which may include electronic mail communication) of the Agent unless (and only
to the extent that) such Borrower or Affiliate is required to do so under law and then, in any event, such Borrower or Affiliate will consult with the Agent before issuing such press release or other public disclosure. Each Borrower consents to the
publication by the Agent or any Lender of a tombstone or similar advertising material irrespective of how such advertising material shall be disseminated relating to the financing transactions contemplated by this Agreement. Agent reserves the right
to provide to industry trade organizations information necessary and customary for inclusion in league table measurements. 
 [SIGNATURE
PAGES FOLLOW] 
  

 99 

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

			
	THE WET SEAL, INC.
		
	By:	 	/s/ John J. Luttrell
	Name:	 	John J. Luttrell
	Title:	 	Chief Financial Officer and Executive Vice President
	
	THE WET SEAL RETAIL, INC.
		
	By:	 	/s/ John J. Luttrell
	Name:	 	John J. Luttrell
	Title:	 	Chief Financial Officer and Executive Vice President
	
	WET SEAL CATALOG, INC.
		
	By:	 	/s/ John J. Luttrell
	Name:	 	John J. Luttrell
	Title:	 	Chief Financial Officer and Executive Vice President
	
	WET SEAL GC, INC.
		
	By:	 	/s/ John J. Luttrell
	Name:	 	John J. Luttrell
	Title:	 	Chief Financial Officer and Executive Vice President

			
	BANK OF AMERICA, N.A.,
	 As Administrative Agent, Collateral Agent,
 as Swingline Lender and as Revolving Credit Lender

		
	By:	 	/s/ Stephen J. Garvin
	Name:	 	Stephen J. Garvin
	Title:	 	Managing Director
	Address:	 	
	 40 Broad Street, 10th Floor
 Boston,
Massachusetts 02109
 Attn: Stephen J. Garvin
 Telephone:
(617) 434-9399
 Telecopy: (617) 434-4312

	
	BANK OF AMERICA, N.A.,
	as Issuing Bank
		
	By:	 	/s/ Stephen J. Garvin
	Name:	 	Stephen J. Garvin
	Title:	 	Managing Director
	Address:	 	
	 40 Broad Street
 Boston, Massachusetts
02109
 Attn: Stephen J. Garvin
 Telephone:
(617) 434-9399
 Telecopy: (617) 434-4312

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