Document:

Exhibit 10.19

 

Second Lien Debenture

 

 

Dated 1 March 2010

 

 

Seagate HDD Cayman

 

(as the Chargor)

 

and

 

Wells Fargo Bank, National Association

 

(as Chargee)

 

 

WARNING

 

Stamp Duty will be payable if this
debenture is brought to or executed in the Cayman Islands, i.e. for enforcement
purposes.

 

 

	
  1.

  	
  DEFINITIONS
  AND INTERPRETATION

  	
  3

  
	
   

  	
   

  	
   

  
	
  2.

  	
  CHARGOR
  REPRESENTATION AND WARRANTIES

  	
  8

  
	
   

  	
   

  	
   

  
	
  3.

  	
  COVENANT
  TO PAY

  	
  9

  
	
   

  	
   

  	
   

  
	
  4.

  	
  SECURITY

  	
  9

  
	
   

  	
   

  	
   

  
	
  5.

  	
  FLOATING
  CHARGE

  	
  11

  
	
   

  	
   

  	
   

  
	
  6.

  	
  DEPOSIT
  OF DOCUMENTS

  	
  13

  
	
   

  	
   

  	
   

  
	
  7.

  	
  RIGHTS
  IN RESPECT OF MORTGAGED SHARES

  	
  13

  
	
   

  	
   

  	
   

  
	
  8.

  	
  PRESERVATION
  OF SECURITY

  	
  13

  
	
   

  	
   

  	
   

  
	
  9.

  	
  ENFORCEMENT
  OF SECURITY

  	
  16

  
	
   

  	
   

  	
   

  
	
  10.

  	
  APPOINTMENT
  OF A RECEIVER

  	
  18

  
	
   

  	
   

  	
   

  
	
  11.

  	
  POWERS
  OF A RECEIVER

  	
  19

  
	
   

  	
   

  	
   

  
	
  12.

  	
  FURTHER
  ASSURANCES

  	
  19

  
	
   

  	
   

  	
   

  
	
  13.

  	
  INDEMNITIES

  	
  19

  
	
   

  	
   

  	
   

  
	
  14.

  	
  POWER
  OF ATTORNEY

  	
  20

  
	
   

  	
   

  	
   

  
	
  15.

  	
  EXPENSES

  	
  21

  
	
   

  	
   

  	
   

  
	
  16.

  	
  RELEASE

  	
  22

  
	
   

  	
   

  	
   

  
	
  17.

  	
  NOTICES

  	
  22

  
	
   

  	
   

  	
   

  
	
  18.

  	
  ASSIGNMENTS

  	
  22

  
	
   

  	
   

  	
   

  
	
  19.

  	
  COLLATERAL
  AGENT

  	
  22

  
	
   

  	
   

  	
   

  
	
  20.

  	
  SET-OFF

  	
  22

  
	
   

  	
   

  	
   

  
	
  21.

  	
  SUBSEQUENT
  SECURITY INTERESTS

  	
  23

  
	
   

  	
   

  	
   

  
	
  22.

  	
  COVENANTS

  	
  23

  
	
   

  	
   

  	
   

  
	
  23.

  	
  MISCELLANEOUS

  	
  23

  
	
   

  	
   

  	
   

  
	
  24.

  	
  ACKNOWLEDGMENT

  	
  24

  
	
   

  	
   

  	
   

  
	
  25.

  	
  LAW AND
  JURISDICTION

  	
  24

  
	
   

  	
   

  	
   

  
	
  26.

  	
  INTERCREDITOR
  AGREEMENT

  	
  24

  
	
   

  	
   

  	
   

  
	
  SCHEDULE 1

  	
  27

  
	
   

  	
   

  
	
  SCHEDULE 2

  	
  28

  

 

1

 

	
  SCHEDULE 3

  	
  29

  
	
   

  	
   

  
	
  SCHEDULE 4

  	
  30

  
	
   

  	
   

  
	
  SCHEDULE 5

  	
  31

  

 

2

 

THIS SECOND PRIORITY FIXED AND
FLOATING CHARGE  is
made on 1 March 2010

 

BETWEEN

 

(1)                                  SEAGATE HDD CAYMAN, an exempted company incorporated with
limited liability under the laws of the Cayman Islands with company number
237305 and having its registered office at P.O. Box 309, Ugland House,
George Town, Grand Cayman KY1-1104, Cayman Islands (the “Chargor”);
and

 

(2)                                  WELLS FARGO BANK, NATIONAL ASSOCIATION, a company established under
the laws of the United States of America as Collateral Agent for and on behalf
of the Secured Parties pursuant to the Indenture (the “Collateral
Agent” or “Chargee”).

 

WHEREAS

 

(A)                              Pursuant to the Indenture,
Seagate Technology International as Issuer (the “Issuer”) has issued USD $430,000,000 in aggregate principal
amount of 10.00% Senior Secured Second-Priority Notes due 2014 (the “Notes”) secured by way of security, subject
only to the prior ranking security created under the First Priority Security
Debenture, granted by the Chargor on the terms and conditions contained in the
Indenture.

 

(B)                                As security for the Secured
Obligations, the Chargor has agreed to assign and charge by way of security,
subject only to the prior ranking security created under the First Priority
Security Debenture, in favour of the Collateral Agent for the benefit of the
Secured Parties, inter alia, all of its legal and
beneficial interest in the Charged Property.

 

(C)                                It is a covenant under the
Indenture that
the Chargor shall execute this Deed in favour of the Collateral Agent for the
benefit of the Secured Parties.

 

(D)                               It is intended that this
document take effect as a deed notwithstanding the fact that a party may only
execute this document under hand.

 

(E)                                 The Security Interests granted
hereunder in respect of the Charged Property is subject to the terms, conditions
and provisions of the Intercreditor Agreement in all respects.

 

NOW
THIS DEED WITNESSETH

 

1.                                      DEFINITIONS AND INTERPRETATION

 

1.1                                 In
this Deed, unless the context otherwise requires, words and expressions which
are capitalised but not defined herein (including in the recitals hereto) shall
have the same meanings as are given to them in the Indenture.  In addition, the following definitions shall
apply:

 

“Assigned Property” means:

 

(a)                                  all
of the rights, benefits, discretions, claims, warranties, remedies, security,
indemnities or covenants of which the Chargor is the beneficiary or holder
arising under or in connection with any contract entered into between the
Chargor and any person including, for the avoidance of doubt, the Intercompany
Loans;

 

(b)                                 all
of the proceeds and returns of all or any part of the Chargor’s rights in
relation to or under any contract entered into between the Chargor and any
person including, for the avoidance of doubt, the Intercompany Loans; and

 

3

 

(c)                                  all
rights, title and benefit of the Chargor to any allocations/distributions made
pursuant to any contract entered into between the Chargor and any person
including, for the avoidance of doubt, the Intercompany Loans, and any income
deriving from such rights;

 

“Bank Account” means all current, deposit and other accounts
of the Chargor including, without limitation, the accounts set out in Schedule
2 to this Deed and shall include any renewal or redesignation of such account;

 

“Book Debts” means:

 

(a)                                  all
of the Chargor’s book and other debts, all its account receivables, all other
rights it has to receive money and all other amounts, now, or from time to
time, due, owing or payable to it; and

 

(b)                                 the
benefit of all related guarantees, indemnities, negotiable instruments, rights
and security interests of any kind;

 

“Cayman Share Mortgage”
means the second priority equitable share mortgage entered into on 1 March 2010
by Seagate HDD Cayman with the Collateral Agent respectively pursuant to which
the mortgagor thereunder mortgaged and granted other second priority security
interests over the shares it holds in its subsidiaries incorporated in the
Cayman Islands;

 

“Charged Property” means all the property, assets and income
of the Chargor which from time to time are the subject of the several security
interests created or expressed to be created (whether by way of assignment,
legal or equitable mortgage, fixed or floating charge) by or pursuant to this
Deed and each and every part of such property, assets and income and includes,
without limitation, the property and assets listed in Schedule 2, Schedule 3,
Schedule 4 and Schedule 5 to this Deed, but excludes for the avoidance of
doubt, any shares mortgaged pursuant to the Cayman Share Mortgage;

 

“Collateral Rights” means all rights, powers and remedies of
the Chargee provided by or pursuant to this Deed or by law;

 

“Companies Law” means the Companies Law (as amended) of the
Cayman Islands;

 

“Deed” means this deed of fixed and floating charge;

 

“Event of Default” means the occurrence of an Event of
Default as defined in the Indenture and/or the failure by the Chargor to
observe or perform any covenant or agreement contained in the Indenture
Documents or any default in the payment of any of the Secured Obligations;

 

“First Priority Secured Party” means JPMorgan Chase Bank,
N.A. as administrative agent under the Senior Credit
Facility or any other administrative agent under a Senior Credit Facility that
is a First Priority Obligation (as defined in the Intercreditor Agreement);

 

“First Priority Security Debenture” means the Debenture dated
1 March 2010 between the Chargor and the First Priority Secured Party as
varied from time to time;

 

“Fixtures” means any fixtures, fittings
(including trade fixtures and fittings), fixed plant and machinery and
apparatus;

 

“Floating Charge Property” has the meaning
given to such term in Clause 5.1;

 

“Global Intercompany Note” means the global intercompany note
dated April 29, 2009 entered among Seagate Technology, the Issuer and the
other parties thereto as varied from to time;

 

4

 

“gross negligence” shall be interpreted according to the laws
of the State of New York, United States of America;

 

“Guarantor” means each party to the Indenture;

 

“Indenture” means the Indenture dated as of 1 May 2009
and made among the Issuer, Seagate Technology, Wells Fargo Bank, National
Association as Trustee and the other guarantors thereto as varied from time to
time;

 

“Indenture Documents” has the meaning given to it in the U.S.
Security Agreement;

 

“Insurance Policies” means all contracts and
policies of insurance of any kind now and from time to time taken out by or on
behalf of the Chargor or (to the extent of its interest) with the Insurer and
any other insurer in which it now, or from time to time, has an interest and
all relating proceeds, claims of any kind, returns of premium and other
benefits;

 

“Insurer” means any
insurer with which the Chargor now, or from time to time, has an
Insurance Policy and all insurers now and from time to time providing
insurance to the relevant Chargor;

 

“Intellectual Property” means:

 

(a)                                  any
patents, trade marks, service marks, designs, trade names, copyrights, design
rights, moral rights, inventions, confidential information, know-how and other
intellectual property, rights and interests, whether registered or
unregistered, including, without limitation, the patents, trade marks and
copyrights set out in Schedule 4 to this Deed; and

 

(b)                                 the
benefit of all applications and rights to use such assets;

 

“Intercompany Loans” means the intercompany loans documented
under the Global Intercompany Note;

 

“Intercreditor Agreement” means the agreement dated on or
about the date hereof among JPMorgan Chase Bank, N.A., the Collateral Agent,
Seagate HDD, the Issuer and the other parties thereto as varied from time to
time;

 

“Memorandum and Articles of Association” means the memorandum
and articles of association of Chargor as amended from time to time;

 

“Mortgaged Shares” means all shares owned by the Chargor and
all rights, benefits and advantages now or at any time in the future deriving
from or incidental to any such shares (excluding any shares and related rights
mortgaged and/or charged pursuant to the Cayman Share Mortgage) including all:

 

(a)                                  dividends
or other distributions (whether in cash, securities or other property),
interest and other income paid or payable in relation to any shares;

 

(b)                                 securities,
rights, monies or other property whether certificated or uncertificated
accruing, offered or issued at any time by way of redemption, conversion,
exchange, substitution, preference, option, bonus issue or otherwise in respect
of any shares (including but not limited to proceeds of sale); and

 

(c)                                  certificates
or other evidence of title to any shares now and from time to time hereafter
deposited with the Chargee;

 

5

 

““Original Chargors” means Seagate Technology, Seagate HDD
Holdings, Seagate Technology International, Seagate Technology (Ireland) and
Seagate Technology Media (Ireland);

 

“Parties” means the parties to this Deed;

 

“Plant and Machinery” means all plant,
machinery and equipment now, or from time to time owned by the Chargor or (to
the extent of its interest) in which it now, or from time to time, has an
interest;

 

“Real Property” means freehold and leasehold property (anywhere in the world in each
case including any estate or interest therein, all proceeds of sale thereof, all rights from time to
time attached or relating thereto and all Fixtures from time to time in or on
such property including, without limitation, the real property set out in
Schedule 5 to this Deed);

 

“Register of Charges” means the register of charges of the
Chargor maintained by it in accordance with Section 54 of the Companies
Law;

 

“Seagate HDD”
means Seagate Technology HDD Holdings, an exempted company with limited
liability incorporated under the laws of the Cayman Islands with company
number 103069 and having its registered office at P.O Box 309, Ugland House,
Grand Cayman KY1-1104, Cayman Islands;

 

“Secured Obligations” has the meaning given to it in the U.S.
Security Agreement;

 

“Secured Party” or “Secured Parties”
has the meaning given to it in the U.S. Security Agreement;

 

“Security Interest” means:

 

(a)                                  a
mortgage, charge, pledge, lien, assignment by way of security or other
encumbrance or security arrangement (including any hold back or “flawed asset” arrangement) securing any obligation of any
person;

 

(b)                                 any
arrangement under which money or claims to, or the benefit of, a bank or other
account may be applied, set off or made subject to a combination of accounts so
as to effect discharge of any sum owed or payable to any person;

 

(c)                                  any
other type of arrangement having a similar effect; or

 

(d)                                 agreements
to create the foregoing;

 

“Security Period” means the period commencing on the date of
execution of this Deed and terminating on the date when all the Secured
Obligations have been discharged in full;

 

“Successor” in the context of a party to an agreement shall
be construed so as to include an assignee, transferee or successor in title of
such party and any person who under the laws of its jurisdiction or domicile
has assumed the rights and obligations of such party under such agreement or to
which, under such laws, such rights or obligations have been transferred; and

 

“U.S. Security Agreement” means the Second Lien U.S. Security
Agreement among Seagate Technology, the Issuer, the Collateral Agent and each
of the Subsidiaries listed in Schedule I thereto as supplemented by Seagate
Technology plc and the Mortgagor on or about the date hereof and as varied from
time to time.

 

6

 

1.2                                 In
construing this Deed (including the recitals), unless otherwise specified:

 

(a)                                  references
to any Party shall be construed so as to include that Party’s respective
successors in title, permitted assigns and permitted transferees;

 

(b)                                 “including” and “in particular”
shall not be construed restrictively but shall mean respectively “including,
without prejudice to the generality of the foregoing” and “including, without
limitation”, and “in particular, but without prejudice to the generality of the
foregoing”;

 

(c)                                  references
to a “person” shall be construed
so as to include any individual, firm, company or other body corporate,
government, state or agency of a state, local or municipal authority or
government body or any joint venture, association or partnership (whether or
not having separate legal personality) and in each case, its successors and
assigns and persons deriving title under or through it, in whole or in part,
and any person which replaces any party to any document in its respective role
thereunder, whether by assuming the rights and obligations of the party being
replaced or whether by executing a document in or substantially in the form of
the document it replaces;

 

(d)                                 “variation” includes any variation, amendment, accession,
novation, restatement, modification, assignment, transfer, supplement,
extension, deletion or replacement however effected and “vary”
and “varied” shall be construed accordingly;

 

(e)                                  “writing” includes facsimile transmission legibly received
except in relation to any certificate, notice or other document which is
expressly required by this Deed to be signed and “written”
has a corresponding meaning;

 

(f)                                    references
to the “consent” of the Chargee shall be
construed as the consent of the Chargee acting in its absolute discretion;

 

(g)                                 subject
to Clause 23.3, references to this Deed or to any other document include
references to this Deed or such other document as varied in any manner from
time to time, even if changes are made to:

 

(i)                                     the
composition of the parties to this Deed or such other document or to the nature
or amount (including any increase) of any facilities made available under such
other document; or

 

(ii)                                  the
nature or extent of any obligations under such other document;

 

(h)                                 references
to uncertificated shares are to shares the title to which can be transferred by
means of an electronic or other entry and references to certificated shares are
to shares which are not uncertificated shares;

 

(i)                                     references to the singular shall include the plural
and vice versa and references to the masculine shall include the feminine or
neuter and vice versa;

 

(j)                                     references
to clauses and schedules are to clauses of, and schedules to, this Deed;

 

(k)                                  references
to any statute or statutory provision shall be construed as a reference to the
same as it may have been, or may from time to time be amended, modified or
re-enacted;

 

(l)                                     headings
and titles are for convenience only and do not affect the interpretation of
this Deed;

 

7

 

(m)                               an
Event of Default is “continuing” if
it has not been remedied or waived;

 

(n)                                 this
Deed is a “Security Agreement” under the
terms of the Indenture.

 

2.                                      CHARGOR REPRESENTATION AND WARRANTIES

 

2.1                                 The
Chargor hereby represents and warrants (only to the extent that it has not made
representations and warranties that are materially similar in the Indenture) to
the Chargee on the date of this Deed that:

 

(a)                                  the
Chargor has been duly incorporated and registered as an exempted company with
limited liability under the Companies Law;

 

(b)                                 other
than as permitted by the Indenture, the Chargor is the legal and beneficial
owner of its Charged Property free from any Security Interest (other than that
created by the First Priority Security Debenture and this Deed) or other
interest and any options or rights of pre-emption and no person has or is
entitled to any conditional or unconditional option, warrant or other right to
acquire any interest in its Charged Property;

 

(c)                                  its
Charged Property is, or will be when assigned and charged, freely transferable;

 

(d)                                 the
Chargor has full power and authority to:

 

(i)                                     execute
and deliver this Deed and the other Indenture Documents to which it is a party;

 

(ii)                                  be
the legal and beneficial owner of its Charged Property; and

 

(iii)                              comply
with the provisions of, and perform all its obligations, under this Deed and
the other Indenture Documents to which it is a party;

 

(e)                                  the
Chargor has duly executed and delivered this Deed and the Indenture Documents
to which it is a party;

 

(f)                                    this
Deed and each other Indenture Document to which the Chargor is a party creates
legal, valid and binding obligations enforceable against the Chargor in
accordance with their terms;

 

(g)                                 the
execution and performance of its obligations and liabilities under this Deed
and each other Indenture Document to which the Chargor is a party will not:

 

(i)                                     contravene
any law or regulation or any order of any governmental or other official
authority, body or agency or any judgment, order or decree of any court having
jurisdiction over it; or

 

(ii)                                  conflict
with, or result in any breach of any of the terms of, or constitute a default
under, any agreement or other instrument to which it is a party or any licence
or other authorisation to which it is subject or by which it or any of its
property is bound; or

 

(iii)                               contravene
or conflict with any provision of its memorandum and articles of association;

 

8

 

(h)                                 it
is able to pay its debts as they fall due and it has not taken any action nor
have any steps been taken or legal proceedings been started or threatened in
writing against it for:

 

(i)                                     winding
up, dissolution or reorganisation;

 

(ii)                                  the
enforcement of any encumbrance over its assets; or

 

(iii)                             the
appointment of a liquidator, receiver, administrative receiver, administrator,
trustee or similar officer of it or of any or all of its assets;

 

(i)                                     it
is not in breach (nor would be in breach with the giving of notice, passing of
time, or satisfaction of any other condition) or in default under any
deed, instrument or any agreement to which it is a party or which is binding on
it or any of its assets;

 

(j)                                     no
action, litigation, arbitration or administrative proceeding has been commenced
or is pending or threatened in writing against it, nor is there subsisting any
unsatisfied judgment or award given against it by any court, board of
arbitration or other body;

 

(k)                                  all
licences, consents, exemptions, clearance filings, registration, payments of
taxes, notarisation and authorisations as are or may be necessary or desirable
for the proper conduct of its business, trade, and ordinary activities and for
the performance and discharge of its obligations and liabilities under this
Deed and each other Indenture Document to which the Chargor is a party and
which are required in connection with the execution, delivery, validity,
enforceability or admissibility in evidence of this Deed and each other
Indenture Document to which the Chargor is a party and the creation of security
over the Charged Property have been obtained and are in full force and
effect;

 

(l)                                     it
has not taken any action whereby the rights attaching to the Charged Property
are altered or diluted save to the extent such alteration or dilution is
expressly permitted under this Deed or any other Indenture Document;

 

(m)                               the
Chargor has taken all corporate and other action required to approve its
execution, delivery, performance and enforceability of this Deed and each other
Indenture Document to which the Chargor is a party; and

 

(n)                                 this
Deed is effective to create a valid and enforceable second priority Security
Interest over or in respect of the Charged Property in favour of the Chargee
ranking in priority to the interests of any liquidator (or similar officer) or
creditor of the Chargor other than the First Priority Secured Party.

 

2.2                                 The
Chargor also represents and warrants to and undertakes with the Chargee that
the foregoing representations and warranties will be true and accurate
throughout the continuance of this Deed with reference to the facts and circumstances
subsisting from time to time.

 

3.                                      COVENANT TO PAY

 

3.1                                 The
Chargor hereby covenants with the Chargee as primary obligor and not merely as
surety to pay and discharge the Secured Obligations in the manner provided in
the relevant Indenture Documents.

 

4.                                      SECURITY

 

4.1                                 The
Chargor, with full title guarantee, as a continuing security for the full and
punctual payment and discharge of the Secured Obligations, hereby charges, in
favour of the Chargee the whole of its undertaking and all its property, assets
and rights whatsoever and wheresoever present and 

 

9

 

future including, without limitation
and in each case subject to the prior ranking security created under the First
Priority Security Debenture:

 

(a)                                  by
way of fixed equitable charge, all Real Property now belonging to it and all
Real Property acquired by it from time to time;

 

(b)                                 by
way of fixed charge and by way of equitable mortgage, all its shares (including
the Mortgaged Shares but excluding, for the avoidance of doubt, any shares
mortgaged pursuant to the Cayman Share Mortgage);

 

(c)                                  by
way of fixed charge and absolute assignment by way of fixed security, all its
Insurance Policies;

 

(d)                                 by
way of fixed charge and absolute assignment by way of fixed security, all of
the Chargor’s rights, title and interest from time to time in the Assigned
Property;

 

(e)                                  by
way of fixed charge and absolute assignment by way of fixed security, all of
the Chargor’s rights, title and interest from time to time in the property and
assets listed in each of Schedule 2, Schedule 3, Schedule 4 and Schedule 5 to
this Deed;

 

(f)                                    by
way of fixed charge:

 

(i)            all
Plant and Machinery;

 

(ii)           all
its goodwill and uncalled capital for the time being;

 

(iii)          all
Intellectual Property including any Intellectual Property to which it is not
absolutely entitled or to which it is entitled together with others;

 

(iv)          all
Intellectual Property that may be acquired by or belong to it in the future,
including any such Intellectual Property to which it is not absolutely entitled
or to which it is entitled together with others;

 

(v)           the
benefit of all agreements and licences now or in the future entered into or
enjoyed by it relating to the use or exploitation of any Intellectual Property
in any part of the world;

 

(vi)          all
its rights now or in the future in relation to trade secrets,
confidential information and knowhow in any part of the world;

 

(vii)         all
its rights and causes of action in respect of infringement(s) (past,
present or future) of the rights referred to in sub-paragraphs (f)(iii) to
(f)(vi) inclusive of this Clause 4.1;

 

(viii)        all
Book Debts now or in the future owing to it;

 

(ix)          all
its interests and rights (if any) in or to any Bank Account and all balances
now or in the future standing to the credit of any Bank Account, and all other
current, deposit or other accounts with any bank or financial institution in
which it has an interest and (to the extent of such interest) all balances now
or in the future standing to the credit of those accounts;

 

(x)            any
beneficial interest, claim or entitlement it has to any pension fund now or in
the future; and

 

10

 

(xi)                              the
benefit of all licences, consents and authorisations held in connection with
its business or the use of any asset and the right to recover and receive all
compensation which may be payable in respect of them,

 

provided that such Security Interests
shall not extend to any property, assets and rights of the Chargor which are
being effectively charged by any fixed Security Interest created under the
Cayman Share Mortgage.

 

4.2                                 The
Chargor agrees with the Chargee and for the benefit of the Chargee that, until
the security created pursuant to Clause 4.1(d) above is enforced:

 

(a)                                  the
Chargor shall at all times remain liable to perform all the duties and
obligations expressed to be assumed by it now and in relation to any contract
entered into between the Chargor and any person to the same extent as if this
Deed had not been executed; and

 

(b)                                 the
exercise by the Chargee of any of the rights assigned hereunder shall not
release the Chargor from any of its duties or obligations in relation to the
Assigned Property.

 

5.                                      FLOATING CHARGE

 

5.1                                 The
Chargor as a continuing security for the full and punctual payment and
discharge of the Secured Obligations hereby charges in favour of the Chargee by
way of second floating charge the whole of its undertaking and all its
property, assets and rights whatsoever and wheresoever present and future
except to the extent that such undertaking, property, assets and rights are
being effectively encumbered by any fixed Security Interest effected by
Clause 4 or any fixed Security Interest created under the Cayman Share
Mortgage and including any undertaking, property, assets and rights comprised
within a charge which is reconverted under Clause 5.5 below (collectively
the “Floating Charge Property”), but in each
case so that the Chargor shall not (i) in any manner prohibited by the
Indenture Documents, create any Security Interest over any such undertaking,
property, assets and rights (whether having priority over or ranking pari passu with or subject to this Deed), (ii) take
any other step referred to in Clause 8  with
respect to any such undertaking, property, assets and rights or (iii) without
the consent of the Chargee, sell, transfer, part or dispose of any such
undertaking, property, assets and rights except by way of sale in the ordinary
course of business.

 

5.2                                 The
floating charge created by Clause 5.1 above may be crystallised into a
fixed charge by notice in writing given at any time by the Chargee to the
Chargor (the “Notice”). Such
crystallisation shall take effect over the assets or class of assets specified
in the Notice.  If no assets or class of
assets are specified in the Notice, the Notice shall take effect over all the
Floating Charge Property.

 

5.3                                 Notwithstanding
the terms of Clause 5.2 above, the floating charge created by
Clause 5.1 above shall automatically be converted and instantly
crystallised (without the necessity of notice) into a fixed charge over all
Floating Charge Property:

 

(a)                                  in
respect of the Chargor, upon the occurrence of any of the following events:

 

(i)                                     the
presentation of a petition for the winding-up of the Chargor;

 

(ii)                                  the
calling of a meeting or the passing of a resolution for the voluntary
winding-up of the Chargor;

 

(iii)                               the
issuing of a summons or motion for the appointment of a receiver in relation to
the Chargor;

 

11

 

(iv)                              any
person taking possession, or a trustee, or receiver or similar officer being
appointed, over any of the Floating Charge Property, or distress or any form of
execution is levied or enforce upon or sued out against any such Floating
Charge Property;

 

(v)                                 the
presentation or making of an application for a warrant of execution, writ of fieri facias, garnishee order, charging order or other
enforcement proceeding in respect of any of the Floating Charge Property;

 

(vi)                              the
Chargor becomes or is declared insolvent or otherwise unable to pay its debts
as they fall due in the ordinary course of business; or

 

(vii)                           the
convening by the Chargor of a meeting of its creditors or the making of a
proposal or arrangement or composition with, or any assignment for the benefit
of, its creditors, or the presentation of a petition or calling of a meeting
for the purpose of considering a resolution regarding such matters or other
steps are taken for its winding up, or dissolution;

 

(b)                                 if
(other than as permitted by the Indenture Documents) the Chargor resolves or
takes steps to:

 

(i)                                     charge
or otherwise encumber any of its Floating Charge Property;

 

(ii)                                  create
a trust over any of its Floating Charge Property; or

 

(iii)                               dispose
of any Floating Charge Property;

 

(c)                                  if
any event analogous to any of the events specified in paragraphs (a) and (b) of
this Clause 5.3 occurs under the laws of any applicable jurisdiction,

 

and the Chargee
shall be entitled without notice to the Chargor to take possession of and hold
the same or to appoint a receiver thereof. The provisions of Clause 10 and
Clause 11 shall govern the appointment, removal and powers of a receiver
appointed under this Clause as if he were a Receiver appointed under
Clause 10.

 

5.4                                 Except
as otherwise stated in any notice given under Clause 5.2 above or unless
such notice relates to all its Floating Charge Property, any prospective
Floating Charge Property acquired by the Chargor after crystallisation has
occurred under Clause 5.2 or Clause 5.3 above shall become subject to
the floating charge created by Clause 5.1 above, so that the crystallisation
shall be effective only as to the relevant Floating Charge Property in
existence at the date of crystallisation.

 

5.5                                 Any
charge which has crystallised under Clause 5.2 or 5.3 above may, by notice
in writing given at any time by the Chargee to the Chargor, be reconverted into
a floating charge in relation to the assets specified in such notice.

 

5.6                                 Other
than as permitted or contemplated by the Indenture Documents, the Chargor
covenants not to create any Security Interest over any Floating Charge Property
(whether having priority over, or ranking pari passu
with or subject to the floating charge created by Clause 5.1 above) or
take any other step referred to in Clause 8 save as permitted by this
Deed, the Indenture Documents or with the prior written approval of the Chargee.

 

12

 

6.                                      DEPOSIT OF DOCUMENTS

 

6.1                                 Subject
to the terms, conditions and provisions of the Intercreditor Agreement, the
Chargor shall, upon request:

 

(a)                                  promptly
execute and/or deliver to the Chargee such documents relating to the Charged
Property as the Chargee reasonably requires, including any notice in respect of
the Security Interests granted hereunder to be served on any relevant bank or
financial institution, obligor or counterparty under any contract forming part
of the Charged Property, Insurer or other relevant person; and

 

(b)                                 serve
such documents or notices on such relevant person as the Chargee may reasonably
require and/or hereby authorises the Chargee to do the same.

 

6.2                                 The
Chargor shall use all reasonable endeavours (including expending reasonable
costs and expenses) to promptly procure the execution and delivery to the
Chargee of acknowledgments by the addressees of the notices delivered to them
pursuant to Clause 6.1 above as applicable.

 

6.3                                 The
Chargor shall, promptly upon execution of this Deed, and in any event within
two Business Days from the date of execution of this Deed, provide evidence in
form and substance satisfactory to the Chargee, that the particulars of this
Deed have been recorded in its Register of Charges to reflect the security
being granted hereunder.

 

7.                                      RIGHTS IN RESPECT OF MORTGAGED SHARES

 

7.1                                 The
Chargor shall pay all calls, instalments or other payments and shall discharge
all other obligations, which may become due in respect of any of its Mortgaged
Shares, provided that the Chargee may at any time after an Event of Default, if
it thinks fit or is required to do so by a requisite majority of Noteholders in
accordance with the Indenture, make such payments or discharge such obligations
on behalf of the Chargor.  Any sums so
paid by the Chargee in respect thereof shall be repayable on demand and pending
such repayment shall constitute part of the Secured Obligations.

 

7.2                                 The
Chargor hereby authorises the Chargee to arrange at any time and from time to
time prior to or after the occurrence of an Event of Default for its Mortgaged
Shares or any part thereof to be registered in the name of the Chargee (or its
nominee) to the extent applicable under relevant laws thereupon to be held, as
so registered, subject to the terms of this Deed and, at the request of the
Chargee, the Chargor in each case shall without delay procure that the
foregoing shall be done.

 

8.                                      PRESERVATION OF SECURITY

 

8.1                                 It
is hereby agreed and declared that:

 

(a)                                  the
security created by this Deed shall be held by the Chargee as a continuing
security for the payment and discharge of the Secured Obligations and the
security so created shall not be satisfied by any intermediate payment or
satisfaction of any part of the Secured Obligations;

 

(b)                                 the
Chargee shall not be bound to enforce any other security before enforcing the
Security Interests created by this Deed;

 

(c)                                  no
delay or omission on the part of the Chargee in exercising any right, power or
remedy under this Deed shall impair such right, power or remedy or be construed
as a waiver thereof nor shall any single or partial exercise of any such right,
power or remedy 

 

13

 

preclude any
further exercise thereof or the exercise of any other right, power or
remedy.  The rights, powers and remedies
herein provided are cumulative and not exclusive of any rights, powers and
remedies provided by law and may be exercised from time to time and as often as
the Chargee may deem expedient; and

 

(d)                                 any
waiver by the Chargee of any terms of this Deed shall only be effective if
given in writing and then only for the purpose and upon the terms for which it
is given.

 

8.2                                 Unless
and until an Event of Default:

 

(a)                                  the
Chargor shall be entitled to exercise all voting and consensual powers
pertaining to its Charged Property or any part thereof for all purposes not
inconsistent with the terms of this Deed or the other Indenture Documents;

 

(b)                                 the
Chargor shall be entitled to receive and retain any distributions, interest or
other moneys or assets accruing on or in respect of its Charged Property or any
part thereof.

 

8.3                                 The
Chargee shall not have any duty to ensure that any moneys or assets receivable
in respect of the Charged Property are duly and punctually paid, received or
collected as and when the same become due and payable or to ensure that the
correct accounts (if any) are paid or received on or in respect of the Charged
Property or to ensure the taking up of any (or any offer of any) rights, moneys
or other property paid, distributed, accruing or offered at any time on or in
respect of, any of the Charged Property.

 

8.4                                 Any
settlement or discharge under this Deed between the Chargee and the Chargor
shall be conditional upon no security or payment to the Chargee by the Chargor
or any other person being avoided or set aside or ordered to be refunded or
reduced by virtue of any provision or enactment relating to bankruptcy,
insolvency, administration or liquidation for the time being in force and,
if such condition is not satisfied, the Chargee shall be entitled to
recover from the Chargor on demand the value of such security or the amount of
any such payment as if such settlement or discharge had not occurred.

 

8.5                                 The
rights of the Chargee under this Deed and the security hereby constituted shall
not be affected by any act, omission, matter or thing which, but for this
provision, might operate to impair, affect or discharge such rights and security, in whole or in part, including
without limitation, and whether or not known to or discoverable by the
Chargor, the Chargee or any other person:

 

(a)                                  any
time or waiver granted to or composition with the Chargor or any other person;

 

(b)                                 the
taking, variation, compromise, renewal or release of or refusal or neglect to
perfect or enforce any rights, remedies or securities against the Chargor or
any other person;

 

(c)                                  any
legal limitation, disability, incapacity or other circumstances relating to the
Chargor or any other person;

 

(d)                                 any
amendment or supplement to any Indenture Document or any other document or
security (including any amendment the effect of which is to change the nature
or amount of any facilities made available thereunder or to change the nature
or extent of any obligations thereunder);

 

(e)                                  the
dissolution, liquidation, amalgamation, reconstruction or reorganisation of the
Chargor or any other person; or

 

(f)                                    the
unenforceability, invalidity or frustration of any obligations of the Chargor
or any other person under any Indenture Document or any other document or
security.

 

14

 

8.6                                 Subject
to the terms of the Intercreditor Agreement, during the Security Period, no
Chargor shall by virtue of any payment made hereunder on account of the Secured
Obligations or by virtue of any enforcement by the Chargee of its rights under,
or the security constituted by, this Deed or any Indenture Document or by
virtue of any relationship between or transaction involving the Chargor (whether
such relationship or transaction shall constitute the Chargor (other than the
Issuer) a creditor of the Issuer, a guarantor of the obligations of the Issuer
or in part subrogated to the rights of others against the Issuer or otherwise
howsoever and whether or not such relationship or transaction shall be related
to, or in connection with, the subject matter of this Deed):

 

(a)                                  exercise
any rights of subrogation against any of the Original Chargors or any other
person in relation to any rights, security or moneys held or received or
receivable by the Chargee or any person;

 

(b)                                 exercise
any right of contribution from any co-surety liable in respect of such moneys
and liabilities under any other guarantee, security or agreement;

 

(c)                                  exercise
any right of set-off or counterclaim against any Original Chargors or any such
co-surety;

 

(d)                                 receive,
claim or have the benefit of any payment, distribution, security or indemnity
from any Original Chargors; or

 

(e)                                  unless
so directed by the Chargee (when the Chargor will prove in accordance with such
directions), claim as a creditor of any Original Chargors in competition with
the Chargee.

 

The Chargor shall hold in
trust for the Chargee and forthwith pay or transfer (as appropriate) to the
Chargee any such payment (including an amount to any such set-off),
distribution or benefit of such security, indemnity or claim in fact received
by it.

 

8.7                                 During
the Security Period, the Chargee may at any time keep in a separate account or
accounts (without liability to pay interest thereon) in the name of the Chargee
for as long as it may think fit, any moneys received, recovered or realised
under this Deed or under any other guarantee, security or agreement relating in
whole or in part to the Secured Obligations without being under any
intermediate obligation to apply the same or any part thereof in or towards the
discharge of the Secured Obligations or any other amount owing or payable under
the Indenture Documents; provided that the Chargee shall be obliged to apply
amounts standing to the credit of such account or accounts once the aggregate
amount held by the Chargee in any such account or accounts opened pursuant
hereto is sufficient to satisfy the outstanding amount of the Secured
Obligations in full.

 

8.8                                 The
Chargor hereby covenants that during the Security Period it will remain the
legal and beneficial owner of its Charged Property (subject to the Security
Interests hereby created and subject to the security created under the prior
ranking security created under the First Priority Security Debenture) and that
it will not (other than as permitted or contemplated by the Indenture
Documents):

 

(a)                                 create
or suffer the creation of any Security Interests (other than those created by
this Deed) or any other interest on or in respect of the whole or any part of
the Charged Property or any of its interest therein; or

 

(b)                                sell,
assign, transfer or otherwise dispose of any of its interest in the Charged
Property without the prior consent in writing of the Chargee.

 

8.9                                 The
Chargor shall during the subsistence of this Deed:

 

15

 

(a)                                  observe
and perform all the obligations assumed by it and exercise all its rights and
discretions in relation to its Charged Property upon the instructions of the
Chargee or its nominee and shall diligently pursue any remedies available to it
in respect of any material breach or claim arising in relation to the Charged
Property upon the instructions of the Chargee or its nominee and will not,
without the prior written consent of the Chargee cause or permit any rights
attaching to the Charged Property to be varied or abrogated and the Chargee
shall be under no obligation of any kind whatsoever in respect thereof or be
under any liability whatsoever in the event of any failure by the Chargor to
perform its obligations in respect thereof;

 

(b)                                 promptly
pay all capital contributions and other payments due in respect of its  Charged Property and if the Chargor
fails to make any such payments, the Chargee may, but shall not be obliged to,
make such payments on behalf the Chargor in which event any sums so paid shall
be reimbursed on demand by the Chargor to the Chargee;

 

(c)                                  indemnify
the Chargee on a full indemnity basis against all calls or other payments
relating to the Charged Property and against any defects in the Chargor’s title
to the Charged Property and against all actions, proceedings, losses, costs,
claims or demands suffered or incurred in respect of anything done or omitted
in any way relating to the Charged Property or in the exercise or purported
exercise of any of the powers contained in this Deed by the Chargee other than
as a result of the gross negligence or wilful default of the Chargee; and

 

(d)                                 give
the Chargee immediate notice, in the event that any action, suit or other
proceeding at law, in equity, in arbitration or before any other authority
involving or affecting the Charged Property becomes known to it or is
contemplated by the Chargor, and if the Chargor is contemplating such action,
suit or other proceeding, the Chargor shall obtain the prior written consent of
the Chargee before commencing such action, suit or other proceeding.

 

9.                                      ENFORCEMENT OF SECURITY

 

9.1                                 Subject
to the terms of the Intercreditor Agreement, at any time after the occurrence
of an Event of Default or if a demand is made for the payment of the Secured
Obligations, the security hereby constituted shall become immediately
enforceable and the rights of enforcement of the Chargee under this Deed shall
be immediately exercisable upon and at any time thereafter and, without
prejudice to the generality of the foregoing, the Chargee without further
notice to the Chargor may, whether acting on its own behalf or through a
receiver or agent:

 

(a)                                  solely
and exclusively exercise all voting rights attaching to the Charged Property
and shall exercise such rights in such manner as the Chargee may in its
absolute discretion determine;

 

(b)                                 receive
and retain all distributions, profits, income, returns of contributions,
interest or other moneys or assets accruing on or in respect of the Charged
Property or any part thereof, such distributions, profits, income, returns of
contributions, interest or other moneys or assets to be held by the Chargee, as
additional security assigned and charged under and subject to the terms of this
Deed and any such distributions, profits, income, returns of contributions,
interest and other moneys or assets received by the Chargor after such time
shall be held in trust by the Chargor for the Chargee and paid or transferred
to the Chargee on demand;

 

(c)                                  take
possession of, get in, assign, exchange, sell, transfer, grant options over or
otherwise dispose of the Charged Property or any part thereof at such place and
in such manner and at such price or prices as the Chargee may deem fit, and
thereupon the 

 

16

 

Chargee shall
have the right to deliver, assign and transfer in accordance therewith the
Charged Property so sold, transferred, granted options over or otherwise
disposed of;

 

(d)                                 borrow
or raise money either unsecured or on the security of the Charged Property
(either in priority to this Deed  or
otherwise);

 

(e)                                  settle,
adjust, refer to arbitration, compromise and arrange any claims, accounts,
disputes, questions and demands with or by any person who is or claims to be a
creditor of the Chargor or relating to the Charged Property;

 

(f)                                    bring,
prosecute, enforce, defend and abandon actions, suits and proceedings in
relation to the Charged Property or any business of the Chargor;

 

(g)                                 make
any arrangement or compromise on behalf of the Chargor in respect of the
Secured Obligations;

 

(h)                                 rank
and claim in the insolvency of the Chargor and receive dividends and accede to
agreements for the creditors of the Chargor;

 

(i)                                     with
a view to, or in connection with, the management or disposal of the
Charged Property carry out any transaction, scheme or arrangement which
the Chargee may, in its absolute discretion, consider appropriate;

 

(j)                                     appoint
and engage employees, managers, agents and advisers upon such terms as to
remuneration and otherwise and for such periods as it may determine, and
dismiss them;

 

(k)                                  redeem
any security (whether or not having priority to this Deed) over the
Charged Property and to settle the accounts of any person with an interest
in the Charged Property;

 

(l)                                     exercise
and do (or permit the Chargor or any nominee of the Chargor to exercise and do)
all such rights and things as the Chargee would be capable of exercising or
doing if it were the absolute beneficial owner of the Charged Property;

 

(m)                               do
anything else it may think fit for the realisation of the Charged Property or
incidental to the exercise of any of the rights conferred on the Chargee under
or by virtue of any document to which the Chargor is party; and

 

(n)                                 exercise
all rights and remedies afforded to it under applicable law.

 

9.2                                 The
Chargee shall not be obliged to make any enquiry as to the nature or
sufficiency of any payment received by it under this Deed or to make any claim
or to take any action to collect any moneys assigned by this Deed or to enforce
any rights or benefits assigned to the Chargee by this Deed or to which the
Chargee may at any time be entitled hereunder.

 

9.3                                 Upon
any sale of the Charged Property or any part thereof by the Chargee, the
purchaser shall not be bound to see or enquire whether the Chargee’s power of
sale has become exercisable in the manner provided in this Deed and the sale
shall be deemed to be within the power of the Chargee, and the receipt of the Chargee
for the purchase money shall effectively discharge the purchaser who shall not
be concerned with the manner of application of the proceeds of sale or be in
any way answerable therefor.

 

9.4                                 Subject
to the terms of the Intercreditor Agreement, any money received or realised by
the Collateral Agent under the powers conferred by this Deed shall be paid or
applied in a manner consistent with Section 6.02 of the U.S. Security
Agreement.

 

17

 

9.5                                 During
the Security Period, the Collateral Agent may refrain from applying or
enforcing any other moneys, security or rights held by it in respect of the
Secured Obligations or may apply and enforce such moneys, security or
rights in such manner and in such order as it shall decide in its unfettered
discretion.

 

9.6                                 Neither
the Chargee nor its agents, managers, officers, employees, delegates and
advisers shall be liable for any claim, demand, liability, loss, damage, cost
or expense incurred or arising in connection with the exercise or purported
exercise of any rights, powers and discretions hereunder in the absence of
dishonesty or wilful default.

 

9.7                                 The
Chargee shall not by reason of the taking of possession of the whole or any
part of the Charged Property or any part thereof be liable to account as
mortgagee-in-possession or for anything except actual receipts or be liable for
any loss upon realisation or for any default or omission for which a
mortgagee-in-possession might be liable.

 

10.                               APPOINTMENT OF A RECEIVER

 

10.1                           At any time after occurrence of:

 

(a)                                  an
Event of Default; or

 

(b)                                 a
request has been made by the Chargor to the Chargee for the appointment of a
receiver over its assets or in respect of the Chargor,

 

then
notwithstanding the terms of any other agreement between that Chargor and any
person but subject to the Intercreditor Agreement, the Chargee may (unless
precluded by law) appoint in writing any person or persons to be a receiver or
receiver and manager of all or any part of the Charged Property as the Chargee
may choose in its entire discretion.

 

10.2                           Where
more than one receiver is appointed, the appointees shall have power to act
jointly or separately unless the Chargee shall specify to the contrary.

 

10.3                           The
Chargee may from time to time determine the remuneration of a receiver.

 

10.4                           The
Chargee may remove a receiver from all or any of the Charged Property of which
he is the receiver and after the receiver has vacated office or ceased to act
in respect of any of the Charged Property, appoint a further receiver over all
or any of the Charged Property in respect of which he shall have ceased to act.

 

10.5                           Such
an appointment of a receiver shall not preclude the:

 

(a)                                  Chargee
from making any subsequent appointment of a receiver over all or any Charged Property
over which a receiver has not previously been appointed or has ceased to act;
or

 

(b)                                 appointment
of an additional receiver to act while the first receiver continues to act.

 

10.6                           The
receiver shall be the agent of the Chargor (which shall be solely liable for
his acts, defaults and remuneration) unless and until the Chargor is
placed into liquidation, after which time he shall act as principal.  The receiver shall not at any time become the
agent of the Chargee.

 

18

 

11.                               POWERS OF A RECEIVER

 

11.1                           Subject
to the terms of the Intercreditor Agreement, in addition to those powers
conferred by law, a receiver shall have and be entitled to exercise in relation
to the Chargor all the powers set forth below:

 

(a)                                  to
exercise all rights of the Chargee under or pursuant to this Deed, including
all voting and other rights attaching to the Charged Property;

 

(b)                                 to
make any arrangement or compromise with others as he shall think fit;

 

(c)                                  to
appoint managers, officers and agents for the above purposes at such
remuneration as the receiver may determine;

 

(d)                                 to
redeem any prior encumbrance and settle and pass the accounts of the
encumbrancer and any accounts so settled and passed shall (subject to any
manifest error) be conclusive and binding on the Chargor and the money so paid
shall be deemed an expense properly incurred by the receiver;

 

(e)                                  to
pay the proper administrative charges in respect of time spent by its agents
and employees in dealing with matters raised by the receiver or relating to the
receivership of the Chargor; and

 

(f)                                    to
do all such other acts and things as may be considered by the receiver to be
incidental or conducive to any of the above matters or powers or otherwise
incidental or conducive to the preservation, improvement or realisation of the
Charged Property or the value thereof.

 

12.                               FURTHER ASSURANCES

 

12.1                           The
Chargor shall, at its own expense, promptly do all such acts or execute all
such documents (including assignments, transfers, assigns, charges, notices and
instructions) as the Chargee may reasonably specify and in such form as the
Chargee may reasonably require in order to:

 

(a)                                  perfect
or protect the security created or intended to be created under or evidenced by
this Deed (which, subject to the terms of the First Priority Security
Debenture, may include the execution of a legal mortgage, charge, assignment or
other security over all or any of the assets which are, or are intended to be,
the subject of this Deed) or for the exercise of any rights, powers and
remedies of the Chargee provided by or pursuant to this Deed, the Indenture
Documents or by law;

 

(b)                                 confer
on the Chargee security over any property and assets of the Chargor located in
any jurisdiction which is (to the extent permitted by local law) equivalent or
similar to the security intended to be conferred by or pursuant to this Deed;

 

(c)                                  following
an Event of Default, subject to the Intercreditor Agreement, facilitate the
realisation of the assets which are, or are intended to be, the subject of this
Deed.

 

12.2                           Without
limiting the other provisions of this Deed, the Chargor shall, at its own
expense, take all such action as is available to it (including making all
filings and registrations) as may be necessary for the purpose of the creation,
perfection, protection or maintenance of any security conferred or intended to
be conferred on the Chargee by or pursuant to this Deed.

 

13.                               INDEMNITIES

 

13.1                          The
Chargor will indemnify and save harmless the Chargee, any receiver and each
agent or attorney appointed under or pursuant to this Deed from and against any
and all reasonable 

 

19

 

expenses, claims, liabilities, losses,
taxes, costs, duties, fees and charges suffered, incurred or made by the
Chargee or such agent or attorney other than as a result of the gross
negligence or wilful default of the Chargee:

 

(a)                                  in
the exercise or purported exercise of any rights, powers or discretions vested
in them pursuant to this Deed;

 

(b)                                 in
the preservation or enforcement of the Chargee’s rights under this Deed or the
priority thereof;

 

(c)                                  on
the release of any part of the Charged Property from the security created by;
or

 

(d)                                 arising
out of any breach by the Chargor of any term of this Deed,

 

and the Chargee
or such receiver, agent or attorney may retain and pay all sums in respect of
the same out of money received under the powers conferred by this Deed.  All amounts suffered, incurred or paid by the
Chargee or such receiver, agent or attorney or any of them shall be recoverable
on a full indemnity basis provided that nothing in this Clause 13.1 shall
require the Chargor to indemnify and save harmless the Chargee from and against
any expenses, claims, liabilities, losses, taxes, costs, duties, fees and
charges suffered, incurred or made by the Chargee as a result of the Chargee’s
gross negligence, fraud or wilful default.

 

13.2                           If,
under any applicable law or regulation, and whether pursuant to a judgment
being made or registered against the Chargor or the bankruptcy or liquidation
of the Chargor or for any other reason any payment under or in connection with
this Deed is made or fails to be satisfied in a currency (the “Payment Currency”) other than the currency in which such
payment is due under or in connection with this Deed (the “Contractual
Currency”), then to the extent that the amount of such payment
actually received by the Chargee when converted into the
Contractual Currency at the rate of exchange, falls short of the amount
due under or in connection with this Deed, the Chargor, as a separate and
independent obligation, shall indemnify and hold harmless the Chargee
against the amount of such shortfall. 
For the purposes of this Clause 13.2, “rate of
exchange” means the rate at which the Chargee is able on or about
the date of such payment to purchase the Contractual Currency with the
Payment Currency and shall take into account any premium and other costs
of exchange with respect thereto.

 

14.                               POWER OF ATTORNEY

 

14.1                          The
Chargor, by way of security and in order more fully to secure the performance
of its obligations hereunder, hereby irrevocably appoints the Chargee and the
persons deriving title under it (including, but without any limitation, any
receiver) jointly and also severally (with full power of substitution and
delegation) to be its attorney-in-fact:

 

(a)                                  to
execute and complete in favour of the Chargee or its nominees or of any purchaser
any documents which the Chargee may from time to time require for perfecting
the Chargee’s title to, for vesting any of the assets and property hereby
charged, or assigned in the Chargee or its nominees or in any
purchaser or for any of the purposes contemplated by this Deed;

 

(b)                                 after
the occurrence of an Event of Default, to give effectual discharges for
payments, to take and institute on non-payment (if the Chargee in its sole
discretion so decides) all steps and proceedings in the name of the Chargor or
of the Chargee for the recovery of such moneys, property and assets hereby
charged or assigned;

 

(c)                                  after
the occurrence of an Event of Default, to agree accounts and make allowances
and give time or other indulgence to any surety or other person liable;

 

20

 

(d)                                 so
as to enable the Chargee to carry out in the name of the Chargor any obligation
imposed on the Chargor by this Deed (including the execution and delivery of
any deeds, charges, assignments or other security and any transfers of the
Charged Property and the exercise of all the Chargor’s rights and discretions
in relation to the Charged Property);

 

(e)                                  so
as to enable the Chargee and any receiver or other person to exercise, or
delegate the exercise of, any of the rights, powers and authorities conferred
on them by or pursuant to this Deed or by law (including, after the occurrence
of an Event of Default, the exercise of any right of a legal and beneficial
owner of the Charged Property), and

 

(f)                                    generally
for it and in its name and on its behalf and as its act and deed or otherwise
execute, seal and deliver and otherwise perfect and do any such legal
assignments and other assurances, charges, authorities and documents over the
moneys, property and assets hereby charged, and all such deeds, instruments,
acts and things which may be required for the full exercise of all or any of
the powers conferred or which may be deemed proper on or in connection with any
of the purposes aforesaid

 

in each case, subject to the terms,
conditions and provisions of the Intercreditor Agreement.

 

14.2                           Notwithstanding
any other provision of clause 14.1, such power shall not be exercisable by or
on behalf of the Chargee as the case may be until an Event of Default has
occurred.

 

14.3                           The
power hereby conferred shall be a general power of attorney and the Chargor
hereby ratifies and confirms and agrees to ratify and confirm any instrument,
act or thing which any attorney appointed pursuant hereto may execute or do.  In relation to the power referred to herein,
the exercise by the Chargee of such power shall be conclusive evidence of
its right to exercise the same.

 

15.                               EXPENSES

 

15.1                          The
Chargor shall pay to the Chargee on demand all reasonable costs, fees and expenses
(including, but not limited to, properly incurred legal fees and expenses) and
taxes thereon incurred by the Chargee or for which the Chargee may become
liable in connection with:

 

(a)                                  the
negotiation, preparation and execution of this Deed;

 

(b)                                 the
preserving or enforcing of, or attempting to preserve or enforce, any of its
rights under this Deed or the priority hereof;

 

(c)                                  any
variation of, or amendment or supplement to, any of the terms of this Deed; or

 

(d)                                 any
consent or waiver required from the Chargee in relation to this Deed,

 

and in the case
referred to in Clauses 15.1(c) and 15.1(d) regardless of whether
the same is actually implemented, completed or granted, as the case may be.

 

15.2                          The
Chargor shall pay promptly all registration, stamp, documentary and other like
duties and taxes to which this Deed may be subject or give rise and shall
indemnify the Chargee on demand against any and all liabilities with respect to
or resulting from any delay or omission on the part of the Chargor to pay any
such duties or taxes.

 

21

 

16.                               RELEASE

 

16.1                           Subject
to Clause 16.2, when all the Secured Obligations have been paid in full in
cash or the Security Interest created by this Deed is automatically released pursuant
to section 11.04 or the Indenture, the Collateral Agent shall (at the
request and cost of the Chargor) execute such documents and do all such
reasonable acts as may be necessary to release the Charged Property from the
security constituted by this Deed. Such release shall not prejudice the rights
of the Collateral Agent under Clause 13.

 

16.2                           If
the Chargee considers in good faith that any amount received in payment or
purported payment of the Secured Obligations (whether received from or paid by
a Chargor or any other relevant person) is capable of being avoided or reduced
by virtue of any insolvency or other similar laws:

 

(a)                                  the
liability of the Chargor under this Deed and the security constituted by this
Deed shall continue and such amount shall not be considered to have been
irrevocably paid; and

 

(b)                                 the
Chargee may keep any security held by it in respect of the Chargor’s liability
under the Indenture Documents in order to protect the Secured Parties against
any possible claim under insolvency law for up to six years after all
Secured Obligations have been satisfied. 
If a claim is made against a Secured Party within that period,
the Chargee may keep the security until that claim has finally been dealt
with.

 

17.                               NOTICES

 

17.1                           Any
notice or other communication given or made under or in connection with the
matters contemplated by this Deed shall be provided in accordance with Section 12.03
of the Indenture.

 

18.                               ASSIGNMENTS

 

18.1                           This
Deed shall be binding upon and shall enure to the benefit of the Chargor,
the Collateral Agent and each of their respective successors and (subject
to clauses 18.2 and 18.3) assigns and references in this Deed to any of them
shall be construed accordingly.

 

18.2                           The
Chargor may not assign or transfer all or any part of its rights and/or
obligations under this Deed.

 

18.3                           The
Collateral Agent may assign and transfer its rights pursuant to this Deed in
accordance with the terms of Clause 7.05 of the U.S.
Security Agreement.

 

19.                               COLLATERAL AGENT

 

19.1                          The
Collateral Agent holds the benefit of this Deed (and any other security
created in its favour pursuant to this Deed) as agent for and on behalf of the
Secured Parties pursuant to the terms of the Indenture and U.S. Security
Agreement.  The retirement of the
person for the time being acting as Collateral Agent and the appointment of a
successor shall be effected in the manner provided for in the Indenture.

 

19.2                           Nothing
in this Deed shall constitute or be deemed to constitute a partnership between
any of the Secured Parties and the Collateral Agent.

 

20.                               SET-OFF

 

20.1                           The
Chargor authorises the Collateral Agent (but the Collateral Agent shall not be
obliged to exercise such right), after the occurrence of an Event of Default to
set off against the Secured Obligations any amount or other obligation
(contingent or otherwise) owing by the Collateral Agent to the Chargor.

 

22

 

21.                               SUBSEQUENT SECURITY INTERESTS

 

21.1                          If
the Chargee at any time receives or is deemed to have received notice of any
subsequent Security Interest affecting all or any part of the Charged Property
or any assignment or transfer of the Charged Property which is prohibited by
the terms of this Deed, all payments thereafter by or on behalf of the Chargor
to the Collateral Agent shall be treated as having been credited to a new
account of the Chargor and not as having been applied in reduction of the
Secured Obligations as at the time when the Collateral Agent received such
notice.

 

22.                               COVENANTS

 

22.1                          The
Chargor hereby makes the covenants set out in Sections 4.04, 4.05, 4.06, 4.07,
4.09, 4.12(a), 4.12(b), 4.13(a), 4.13(b), 4.13(c), 4.13(d), 4.13(e), 4.13(f),
4.13(g), 4.13(h) and 4.13(i), inclusive, of the U.S. Security Agreement
and such covenants are hereby incorporated by reference into this Deed.  For the purposes of this Clause 22.1, all
references to Grantor or Grantors in the aforementioned Sections of the U.S.
Security Agreement shall be construed as references to the Chargor and, where
not otherwise defined in this Deed, the defined terms used in such Sections
shall bear the meanings ascribed thereto in the U.S. Security Agreement.

 

22.2                          If
at any time the Chargor shall take a security interest in any property of a
debtor in respect of an Intercompany Loan or any other person to secure payment
and performance of an Intercompany Loan, such Chargor shall promptly assign
such security interest to the Collateral Agent to the extent permitted by any
contracts or arrangements to which such property is subject.  Such assignment need not be filed on public
record unless necessary to continue the perfected status of the security
interest against creditors of and transferees from the debtor in respect of the
relevant Intercompany Loan or other person granting the security interest.

 

22.3                          The
Chargor will not, without the Collateral Agent’s prior written consent, grant
any extension of the time of payment of any of the Intercompany Loans,
compromise, compound or settle the same for less than the full amount thereof,
release, wholly or partly, any person liable for the payment thereof or allow
any material credit or discount whatsoever thereon, other than extensions,
credits, discounts, compromises or settlements granted or made in the ordinary
course of business and consistent with its current practices.

 

23.                               MISCELLANEOUS

 

23.1                          The
Chargee, at any time and from time to time, may delegate by power of attorney
or in any other manner to any person or persons all or any of the powers,
authorities and discretions which are for the time being exercisable by the
Chargee under this Deed in relation to the Charged Property or any part
thereof.  Any such delegation may be made
upon such terms and be subject to such regulations as the Chargee may think
fit.  The Chargee shall not be in any way
liable or responsible to the Chargor for any loss or damage arising from any
act, default, omission or misconduct on the part of any such delegate
provided the Chargee has acted reasonably in selecting such delegate.

 

23.2                          If
any of the clauses, conditions, covenants or restrictions (the “Provision”) of this Deed or any deed or document emanating
from it shall be found to be void but would be valid if some part thereof were
deleted or modified, then the Provision shall apply with such deletion or
modification as may be necessary to make it valid and effective.

 

23.3                          This
Deed (together with any documents referred to herein) constitutes the whole
agreement between the Parties relating to its subject matter and no variations
hereof shall be effective unless made in writing and signed by each of the
Parties.

 

23

 

23.4                           Each
document, instrument, statement, report, notice or other communication
delivered in connection with this Deed shall be in English or where not in
English shall be accompanied by a certified English translation which
translation shall with respect to all documents of a contractual nature and all
certificates and notices to be delivered hereunder be the governing version and
upon which in all cases the Chargee and the Secured Parties shall be entitled
to rely.

 

23.5                          This
Deed may be executed in counterparts each of which when executed and delivered
shall constitute an original but all such counterparts together shall
constitute one and the same instrument.

 

23.6                           The
parties intend that this Deed takes effect as a deed notwithstanding the fact
that the Chargee may only execute it under hand.

 

24.                               ACKNOWLEDGMENT

 

24.1                           By
execution hereof, the Chargor acknowledges that the Intercompany Loan in
respect of which the Chargor is the debtor has been assigned by way of
security and agrees that this Deed and the U.S. Security Agreement shall
constitute notice of such assignment.

 

25.                               LAW AND JURISDICTION

 

25.1                          This
Deed shall be governed by and construed in accordance with the laws of the
Cayman Islands and the Parties hereby irrevocably submit to the
non-exclusive jurisdiction of the courts of the Cayman Islands, provided
that nothing in this clause shall affect the right of the Chargee to serve
process in any manner permitted by law or limit the right of the Chargee to
take proceedings with respect to this Deed against the Chargor in any
jurisdiction nor shall the taking of proceedings with respect to this Deed in
any jurisdiction preclude the Chargee from taking proceedings with respect to
this Deed in any other jurisdiction, whether concurrently or not.

 

26.                               INTERCREDITOR AGREEMENT.

 

26.1                          The
Security Interests created by this Deed on the property described herein are
subordinate to the Security Interests on such property created by any similar
instrument already granted to any First Priority Secured Party, in such
property, in accordance with the provisions of the Intercreditor
Agreement.  Notwithstanding anything to
the contrary, the exercise of any right or remedy by the Collateral Agent
hereunder is subject to the provisions of the Intercreditor Agreement.  In the event of any conflict between the
terms of the Intercreditor Agreement and this Deed, the terms of the
Intercreditor Agreement shall govern.

 

24

 

IN
WITNESS whereof this Debenture has been entered into by the
parties and executed as a deed on the day and the year first before written.

 

	
  EXECUTED AS A DEED by SEAGATE HDD

  	
  )

  	
  /s/
  Kenneth M. Massaroni

  
	
  CAYMAN:

  	
  )

  	
  Duly
  Authorised Signatory

  
	
   

  	
  )

  	
   

  	
   

  
	
   

  	
  )

  	
  Name:

  	
  Kenneth
  M. Massaroni

  
	
   

  	
  )

  	
   

  	
   

  
	
   

  	
  )

  	
  Title:

  	
  Director

  
	
   

  	
  )

  	
   

  	
   

  

 

 

	
  in
  the presence of:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/
  Demetrios N. Mavrikis

  	
   

  
	
  Signature
  of Witness

  	
   

  
	
   

  	
   

  
	
  Name:

  	
  Demetrios
  N. Mavrikis

  	
   

  
	
   

  	
   

  	
   

  
	
  Address:

  	
  920
  Disc Dr, Scotts Valley, CA 95066

  	
   

  
	
   

  	
   

  	
   

  
	
  Occupation:

  	
  Executive
  Assistant

  	
   

  

 

[Signature
Page to Second Lien Debenture – Seagate HDD Cayman]

 

25

 

	
  EXECUTED AS A DEED by JPMORGAN 

  	
  )

  	
  /s/
  Maddy Hall

  
	
  CHASE BANK, N.A.:

  	
  )

  	
  Duly
  Authorised Signatory

  
	
   

  	
  )

  	
   

  
	
   

  	
  )

  	
   

  
	
   

  	
  )

  	
   

  

 

 

	
  in
  the presence of:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/
  Brian A. Buchanan, Vice President

  	
   

  
	
  Signature
  of Witness

  	
   

  
	
   

  	
   

  
	
  Name:

  	
  Brian
  A. Buchanan, Vice President

  	
   

  
	
   

  	
   

  	
   

  
	
  Address:

  	
  Wells
  Fargo Bank, N.A.

  Corporate Trust Services

  707 Wilshire Blvd, 17th Floor

  Los Angeles, CA 90017

  	
   

  
	
   

  	
   

  	
   

  
	
  Occupation:

  	
  Corporate
  Trust Officer

  	
   

  

 

[Signature
Page to Second Lien Debenture – Seagate HDD Cayman]

 

26

 

SCHEDULE 1

 

[Reserved]

 

27

 

SCHEDULE 2

 

BANK ACCOUNTS

 

	
  NAME OF CHARGOR

  	
   

  	
  BANK NAME & ADDRESS

  	
   

  	
  CURRENCY

  	
   

  	
  ACCOUNT NO.

  	
   

  
	
  Deposit Accounts

  	
   

  
	
  Seagate HDD CAYMAN

  	
   

  	
  n/a

  	
   

  	
  n/a

  	
   

  	
  n/a

  	
   

  

 

28

 

SCHEDULE 3

 

INTERCOMPANY LOANS

 

	
  NAME OF BORROWER

  	
   

  	
  NAME OF CHARGOR

  LENDER

  	
   

  	
  AMOUNT

  OUTSTANDING AS AT

  FEB 09

  	
   

  	
  MAXIMUM LOAN

  AMOUNT

  	
   

  
	
  n/a

  	
   

  	
  n/a

  	
   

  	
  n/a

  	
   

  	
  n/a

  	
   

  

 

29

 

SCHEDULE 4

 

PATENTS

 

PATENTS
- GRANTED

 

	
  NAME OF CHARGOR OWNER

  	
   

  	
  PATENT NUMBER

  
	
  Seagate
  HDD Cayman

  	
   

  	
  n/a

  

 

PATENTS
- PUBLISHED

 

	
  NAME OF CHARGOR OWNER

  	
   

  	
  APP NUMBER

  
	
  Seagate
  HDD Cayman

  	
   

  	
  n/a

  

 

30

 

SCHEDULE 5

 

REAL PROPERTY

 

	
  NAME OF CHARGOR

  LESSEE/OWNER

  	
   

  	
  PROPERTY ADDRESS

  	
   

  	
  COUNTRY

  	
   

  	
  LEASED OR

  OWNED

  
	
  Seagate
  HDD Cayman

  	
   

  	
  n/a

  	
   

  	
  n/a

  	
   

  	
  n/a

  

 

31Exhibit 10.20

 

DATED 1 MARCH 2010

 

 

SEAGATE TECHNOLOGY PLC

AS CHARGOR

 

 

AND

 

 

JPMORGAN CHASE BANK, N.A.

AS ADMINISTRATIVE AGENT

 

 

 

DEBENTURE

 

 

 

ARTHUR COX

DUBLIN

 

 

CONTENTS

 

	
  Clause

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1

  	
   

  	
  INTERPRETATION

  	
   

  	
  4

  
	
  2

  	
   

  	
  COVENANT
  TO PAY

  	
   

  	
  10

  
	
  3

  	
   

  	
  INTEREST

  	
   

  	
  10

  
	
  4

  	
   

  	
  PAYMENTS

  	
   

  	
  10

  
	
  5

  	
   

  	
  LIMITATIONS

  	
   

  	
  11

  
	
  6

  	
   

  	
  CURRENCY CONVERSIONS

  	
   

  	
  11

  
	
  7

  	
   

  	
  CREATION
  OF SECURITY

  	
   

  	
  11

  
	
  8

  	
   

  	
  REPRESENTATIONS

  	
   

  	
  15

  
	
  9

  	
   

  	
  RESTRICTIONS
  ON DEALINGS

  	
   

  	
  18

  
	
  10

  	
   

  	
  REAL
  PROPERTY

  	
   

  	
  19

  
	
  11

  	
   

  	
  INVESTMENTS

  	
   

  	
  21

  
	
  12

  	
   

  	
  INTELLECTUAL
  PROPERTY

  	
   

  	
  24

  
	
  13

  	
   

  	
  SECURITY
  ACCOUNTS

  	
   

  	
  24

  
	
  14

  	
   

  	
  RELEVANT
  CONTRACTS

  	
   

  	
  25

  
	
  15

  	
   

  	
  INSURANCES

  	
   

  	
  26

  
	
  16

  	
   

  	
  GENERAL
  COVENANTS

  	
   

  	
  27

  
	
  17

  	
   

  	
  WHEN
  SECURITY BECOMES ENFORCEABLE

  	
   

  	
  27

  
	
  18

  	
   

  	
  ENFORCEMENT
  OF SECURITY

  	
   

  	
  28

  
	
  19

  	
   

  	
  RECEIVER

  	
   

  	
  30

  
	
  20

  	
   

  	
  POWERS
  OF RECEIVER

  	
   

  	
  31

  
	
  21

  	
   

  	
  APPLICATION
  OF PROCEEDS

  	
   

  	
  33

  
	
  22

  	
   

  	
  EXPENSES
  AND INDEMNITY

  	
   

  	
  34

  
	
  23

  	
   

  	
  DELEGATION

  	
   

  	
  34

  
	
  24

  	
   

  	
  POWER
  OF ATTORNEY

  	
   

  	
  35

  
	
  25

  	
   

  	
  FURTHER
  ASSURANCES

  	
   

  	
  35

  
	
  26

  	
   

  	
  PRESERVATION
  OF SECURITY

  	
   

  	
  36

  
	
  27

  	
   

  	
  SET-OFF

  	
   

  	
  38

  
	
  28

  	
   

  	
  MISCELLANEOUS

  	
   

  	
  39

  
	
  29

  	
   

  	
  LITIGATION

  	
   

  	
  40

  
	
  30

  	
   

  	
  ENTRIES IN ACCOUNTS

  	
   

  	
  40

  
	
  31

  	
   

  	
  CERTIFICATES AND DETERMINATIONS

  	
   

  	
  40

  
	
  32

  	
   

  	
  REMEDIES AND WAIVERS

  	
   

  	
  40

  
	
  33

  	
   

  	
  ASSIGNMENT

  	
   

  	
  41

  
	
  34

  	
   

  	
  VARIATION

  	
   

  	
  41

  
	
  35

  	
   

  	
  RELEASE

  	
   

  	
  41

  
	
  36

  	
   

  	
  NOTICES AND DEMANDS

  	
   

  	
  41

  
	
  37

  	
   

  	
  COUNTERPARTS

  	
   

  	
  42

  
	
  38

  	
   

  	
  LAW
  AND JURISDICTION

  	
   

  	
  42

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULE 1

  	
   

  	
   

  
	
  Forms
  of Letter for Security Accounts

  	
   

  	
  43

  
	
   

  	
   

  	
  Part 1
  — Notice to Account Bank

  	
   

  	
  43

  
	
   

  	
   

  	
  Part 2 — Acknowledgement of
  Account Bank

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULE 2

  	
   

  	
   

  
	
  Forms
  of Letter for Insurances

  	
   

  	
  46

  
	
   

  	
   

  	
  Part 1
  — Form of Notice of Assignment

  	
   

  	
  46

  
	
   

  	
   

  	
  Part 2 — Form of Letter
  of Undertaking

  	
   

  	
  48

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULE 3

  	
   

  	
   

  
	
  Forms
  of Letter for Relevant Contracts

  	
   

  	
  50

  
	
   

  	
   

  	
  Part 1
  — Notice to Counterparty

  	
   

  	
  50

  

 

2

 

	
  SCHEDULE 4

  	
   

  	
   

  
	
  Shares

  	
   

  	
  52

  
	
   

  	
   

  	
  Part 1 — Dividend Mandate

  	
   

  	
  52

  
	
   

  	
   

  	
  Part 2 — Letter of Authority

  	
   

  	
  53

  
	
   

  	
   

  	
  Part 3 — Letter of
  Resignation

  	
   

  	
  54

  
	
   

  	
   

  	
  Part 4 — Letter of Authority to Date

  	
   

  	
  55

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULE 5

  	
   

  	
   

  
	
  Excluded
  Collateral

  	
   

  	
  56

  

 

3

 

THIS
DEED is dated 1
March 2010 and made between:

 

(1)                                  SEAGATE TECHNOLOGY PLC with company registration number 480010 and
having its registered office at Arthur Cox Building, Earlsfort Terrace, Dublin
2, Ireland (the “Chargor”); and

 

(2)                                  JPMORGAN CHASE BANK, N.A. having its registered office at 270 Park
Avenue, New York, NY 10017, U.S.A., in its capacity as administrative agent for
the Secured Parties (the “Administrative
Agent”).

 

RECITALS:

 

A.                                   Pursuant
to the Credit Agreement, the Lenders agreed to make loans to the Borrower and
the Issuing Banks agreed to issue Letters of Credit on the terms and subject to
the conditions contained in the Credit Agreement.  In addition, by a guarantee agreement (as
supplemented or amended from time to time, the “Guarantee Agreement”) dated 29 April 2009 granted by the
Guarantors in favour of the Administrative Agent for the benefit of the Secured
Parties, each of the Guarantors agreed, inter alia, to guarantee all the
Obligations of the Borrower and the other Loan Parties under the Credit
Agreement.

 

B.                                     The
Chargor has agreed to become a guarantor under the U.S. Guarantee Agreement
pursuant to a supplement thereto, dated as of 1 March, 2010.  In accordance with the Collateral and
Guarantee Requirement (as defined in the Credit Agreement) the Chargor has
(after giving due consideration to the terms and conditions of the Credit
Agreement and the other Loan Documents and satisfying itself that it will
derive direct and indirect economic and corporate benefit from the arrangements
contemplated in the Credit Agreement and the other Loan Documents and that
there are reasonable grounds for believing that the entry into by it of this
Deed will benefit it) decided in good faith and for the purposes of its
business to enter into this Deed and to create the security expressed to be
created by this Deed as a continuing security for the payment and discharge of
the Secured Obligations.

 

C.                                     The Administrative Agent has agreed to enter
this Deed as administrative agent for the Secured Parties.

 

IT IS AGREED  AS FOLLOWS:

 

1.                                       INTERPRETATION

 

1.1                                 In this Deed (including its Recitals):

 

“Account Bank”  means a bank with which the Chargor holds
a Security Account.

 

“Act” means the Land and
Conveyancing Law Reform Act 2009.

 

“Authorisation”  means an authorisation, consent, approval,
resolution, licence, exemption, filing, notarisation or registration.

 

“Borrower” means Seagate Technology HDD
Holdings, an exempted company with limited liability incorporated under the
laws of the Cayman Islands with company number 103069 and having its registered
office at P.O Box 309, Ugland House, Grand Cayman KY1-1104, Cayman Islands.

 

“Business Day”
means a day (other than a Saturday or a Sunday) on which banks are open for
business in Dublin.

 

“Certificate of Title”
means any certificate of title on the Mortgaged Property provided to the
Administrative Agent as trustee for the Secured Parties.

 

 

“Credit
Agreement” means the Second Amended and Restated Credit
Agreement dated 3 April 2009 made between (1) Seagate Technology (“Intermediate Holdings”) (2) Seagate Technology HDD
Holdings (3) the lenders named therein (4) and JPMorgan Chase Bank,
N.A. as Administrative Agent (5) and the other agents named therein, as
supplemented or amended from time to time.

 

“Default Rate”  means the rate
per annum specified in Section 2.12(c)(ii) of the Credit Agreement.

 

“Delegate”  means any
delegate, agent, manager, attorney or co-trustee appointed by the Administrative Agent or
any Receiver.

 

“Enforcement Date”  means the date on which an Event of
Default has occurred so long as it is continuing.

 

“Environmental Claim”  means any claim, suit
or proceeding by any person in respect of any Environmental Law.

 

“Environmental Law” means any applicable
law, regulation or other requirement having legal effect which relates to:

 

(a)                                  the
pollution of, protection of or prevention of harm to the environment; or

 

(b)                                 hazardous
or toxic substances, wastes or pollutants.

 

“Environmental Permits” means any permit and
other Authorisation and the filing of any notification, report or assessment
required under any Environmental Law for the operation of the business of the
Chargor conducted on or from the properties owned or used by the Chargor.

 

“Event of
Default”  means the occurrence of an Event of Default as
defined in the Credit Agreement and/or the failure by the Chargor to observe or
perform any covenant or agreement contained in any Loan Document to which it is
a party or any default in the payment of any of the Secured Obligations.

 

“Fixtures” means all
fixtures and fittings (including trade fixtures and fittings) and fixed plant
and machinery of the Chargor.

 

“Floating Charge Assets”
means any of the Chargor’s assets charged by way of a floating charge under
this Deed.

 

“Guarantee”
has the meaning given to it in Recital B above.

 

“Guarantors” means Intermediate Holdings,
the Borrower, and each of the Subsidiary Loan Parties party to the Guarantee
Agreement.

 

“Insurances”  means any contract of insurance or
re-insurance taken out by or on behalf of the Chargor or under which it has a
claim.

 

“Intellectual Property”
means any and all its discoveries, inventions, concepts, ideas, patents, trade
marks, service marks, registered designs, drawings, utility models, design
rights, copyright (including the copyright in software in any code), database
rights, trade secrets and other confidential information, technical
information, technology, know-how, business ideas, methods, techniques,
concepts, business or trade names, goodwill and all its other intellectual
property and rights of a similar or corresponding nature in any part of the
world, whether registered or not, or capable of registration or not, and
including all applications and the right to apply for any of the foregoing
rights.

 

5

 

“Intercreditor
Agreement”  means the intercreditor agreement dated 1
May 2009 between, amongst others, the Administrative Agent, the Borrower
and Wells Fargo Bank, National Association (as Collateral Agent) as
supplemented or amended or otherwise modified from time to time.

 

“Investments” means, for
the Chargor:

 

(a)                                  the Shares of the Chargor;

 

(b)                                 all other shares, stocks, debentures, bonds,
warrants, coupons and other securities and investments of the Chargor; and

 

(c)                                  any declarations of trust and/or nominee
agreements in relation to the Shares of the Chargor and in relation to all
other shares, stocks, debentures, bonds, warrants, coupons and other securities
and investments of the Chargor,

 

and in the case of paragraphs (a) and (b) whether
certificated or uncertificated, physical or dematerialised, registered or
unregistered, held directly by or to the order of the Chargor or by any
trustee, nominee, fiduciary or clearing system on its behalf and all rights
against such trustee, nominee, fiduciary or clearing system, held by the
Chargor.

 

“Legal Reservations”
means:

 

(a)                               the
principle that equitable remedies may be granted or refused at the discretion
of a court and the limitation of enforcement by laws relating to insolvency,
reorganisation and other laws generally affecting the rights of creditors;

 

(b)                                 the
time barring of claims and defences of set-off or counterclaim; and

 

(c)                               similar
principles, rights and defences under the laws of any Relevant Jurisdiction.

 

“Loan Documents” has the meaning given to that term in the Credit Agreement.

 

“Mortgaged Property” means
all freehold, leasehold and other immovable property in which the Chargor holds
or acquires a legal or beneficial interest, both now and in future.

 

“Party” means a party to
this Deed.

 

“Permitted Encumbrances”
means those encumbrances expressly permitted under Section 6.02 of the
Credit Agreement.

 

“Planning Acts” means all laws (whether
criminal, civil or administrative) including common law, statute, statutory
instruments, directives, regulations, bye-laws, orders, codes, judgments and
other legal measures having the force of law concerning planning matters
including the Planning and Development Acts 2000 to 2006, the Building Control
Acts 1990 and 2007, the Local Government (Planning and Development) Acts 1963
to 1999 and any regulations issued pursuant thereto and any extant order or
regulation made or confirmed under any of them.

 

“Plant and Machinery”
means all plant, machinery, computers, office equipment or vehicles of the
Chargor.

 

“Premises” means all
buildings and erections included in the Chargor’s Mortgaged Property.

 

“Receiver” means a
receiver or a receiver and manager, in either case, appointed under this Deed.

 

6

 

“Related Company” means a
company which is related within the meaning of Section 4(5) of the
Companies (Amendment) Act 1990.

 

“Relevant Contract” means
any agreement to which the Chargor is a party and which the Chargor and the
Administrative Agent may from time to time designate a Relevant Contract.

 

“Relevant
Jurisdiction”  means, in relation to the Chargor:

 

(a)                                  its jurisdiction of incorporation; and

 

(b)                                 any jurisdiction where it conducts its
business.

 

“Secured Obligations” has
the meaning ascribed to “Obligations”
in the Credit Agreement.

 

“Secured Parties” has the meaning given to
it in the Credit Agreement.

 

“Security”  means any Security Interest created,
evidenced or conferred by or under this Deed.

 

“Security Account” means:

 

(a)                                  any account specified in Part 5 of
Schedule 1 (Security Assets);
and

 

(b)                                 any other account which the Chargor and the
Administrative Agent may from time to time designate a Security Account.

 

“Security Assets” means
all assets of the Chargor the subject of this Security.

 

“Security Interest” means
a mortgage, charge, pledge, lien or other security interest securing any
obligation of any person or any other agreement or arrangement having a similar
effect.

 

“Security Period” means
the period commencing on the date of execution of this Deed and terminating on
the date when all the Loan Document Obligations have been paid in full in cash,
the Commitments have expired or been terminated and all Letters of Credit shall
have expired or been terminated (or otherwise provided for in a manner
satisfactory to the applicable Issuing Bank).

 

“Shares” means all shares
the subject of this Security.

 

“Subsidiary” shall be
construed as a subsidiary undertaking within the meaning of Regulation 4 of the
European Communities (Companies: Group Accounts) Regulations 1992.

 

“Tax” means any tax, levy,
impost, duty or other charge or withholding of a similar nature (including any
penalty or interest payable in connection with any failure to pay or any delay
in paying any of the same).

 

“VAT” means value added tax as provided for
in the Value Added Tax Act 1972 (“VATA”)
and any Tax which may be levied in accordance with Directive 2006/112/EC
whether in Ireland or elsewhere and any other tax of a similar nature.

 

1.2                               Unless
a contrary indication appears, any reference in this Deed to:

 

(a)                                  the
“Chargor”, any “Secured Party”, any “Lender”, any “Issuing Bank”, the “Administrative Agent”, any “Party” or any other person shall be
construed so as to include its successors in title, permitted assigns and
permitted transferees and in 

 

7

 

the case of the Administrative Agent, any person for
the time being appointed as Administrative
Agent in accordance with the Loan Documents;

 

(b)                                 an “agreement” includes any agreement,
arrangement, instrument, contract or deed (in each case whether oral or
written);

 

(c)                                  an “amendment” includes a supplement, novation
or re-enactment and “amended”
shall be construed accordingly;

 

(d)                                 “assets” includes present and future assets,
properties, revenues and rights of every description;

 

(e)                                  “this Deed” means this Debenture;

 

(f)                                  “dispose” includes part with possession of,
grant any interest in, sell, lease, licence, discount, factor, loan, assign,
convey, agree to convey, transfer, release, exchange and set-off and “disposal” shall be construed accordingly;

 

(g)                                 the
“Credit Agreement”, a “Loan Document”, a “Letter of Credit” or any other agreement is
a reference to the Credit Agreement, that Loan Document or other agreement as
amended, extended or restated;

 

(h)                                 a “filing” includes any filing, registration,
recording or notice and “filed”
shall be construed accordingly;

 

(i)                                   “including” means including without
limitation and “includes” and “included” shall be construed accordingly;

 

(j)                                   “indebtedness” includes any obligation
(whether incurred as principal or as surety) for the payment or repayment of
money, whether present or future, actual or contingent;

 

(k)                                “insolvency” includes insolvency,
winding-up, dissolution, examinership, the granting of court protection,
administration, liquidation, bankruptcy, composition or arrangement and other
similar events under the laws of any jurisdiction;

 

(l)                                   “losses” includes losses, actions, damages,  claims, proceedings, costs, demands,
expenses (including fees) and liabilities and “loss” shall be construed accordingly;

 

(m)                               a “person” includes any individual, firm,
company, corporation, government, state or agency of a state or any
association, trust, joint venture, consortium or partnership (whether or not
having separate legal personality);

 

(n)                                 a “regulation” includes any regulation, rule,
official directive, request or guideline (whether or not having the force of
law) of any governmental, intergovernmental or supranational body, agency,
department or regulatory, self-regulatory or other authority or organisation;

 

(o)                                 a
provision of law or regulation is a reference to that provision as amended; and

 

(p)                                 a
time of day is a reference to Dublin time.

 

1.3                                 Words
in the singular shall include the plural and vice versa.

 

1.4                                 Clause
and Schedule headings are for ease of reference only.

 

8

 

1.5                                 Unless
a contrary indication appears, a term used and defined in the Credit Agreement
that is not defined in this Deed has the same meaning in this Deed as in the
Credit Agreement.

 

1.6                                 Any
covenant, undertaking or agreement of the Chargor under this Deed remains in
force during the Security Period.

 

1.7                                 It is intended that this document takes effect
as a deed notwithstanding the fact that the Administrative Agent may only
execute this document under hand.

 

1.8                                 If an amount paid to a Secured Party under this
Deed is capable of being avoided or otherwise set aside on the insolvency of
the payer or otherwise, then that amount will not be considered to have been
irrevocably paid for the purposes of this Deed.

 

1.9                               Unless the context otherwise requires, a
reference to a Security Asset includes:

 

(a)                                  any part of that Security Asset;

 

(b)                                 the proceeds of sale of all or any part of that
Security Asset;

 

(c)                                  any monies and proceeds paid or payable in
respect of that Security Asset including all rights to be paid or receive
compensation under any statute or enactment by reason of any compulsory
acquisition or other exercise of compulsory or similar powers in relation to
that Security Asset by any local or other authority or government agency or
body or any refusal, withdrawal or modification of any planning permission or
approval relative thereto or any control or limitation imposed upon or
affecting the use of that Security Asset;

 

(d)                                 all rights under any licence, agreement for
sale or agreement for lease in respect of that Security Asset;

 

(e)                                  all rights, powers, benefits, claims,
contracts, warranties, remedies, Security Interests, guarantees, indemnities,
covenants, agreements or undertakings in respect of that Security Asset; and

 

(f)                                    any present and future assets of that type.

 

1.10                         Unless the context otherwise requires, a
reference in this Deed to any Mortgaged Property includes:

 

(a)                                  all buildings, erections and Fixtures from time
to time on that Mortgaged Property owned by the Chargor;

 

(b)                                 the benefit of any covenant for title given or
entered into by any predecessor in title of the Chargor in respect of that
Mortgaged Property and any monies paid or payable in respect of that covenant.

 

1.11                           (a)                                 All this Security:

 

(i)                                     is created in favour of the Administrative
Agent subject to, and for the beneficiaries specified in, clause 1.11(b);
and

 

(ii)                                  is a continuing security for the payment,
discharge and performance of all the Secured Obligations.

 

(b)                                 The Administrative Agent holds the benefit of
this Deed on trust for the Secured Parties.

 

9

 

1.12                         The fact that no, or incomplete, details of any
Security Asset are inserted in the Schedules hereto does not affect the
agreement of the Parties to create a mortgage, an assignment or a first fixed
charge as applicable over that Security Asset.

 

1.13                           An Event of Default is “continuing” if it has not been remedied or
waived.

 

2.                                       COVENANT TO PAY

 

2.1                                 The Chargor (as primary obligor and not merely as surety)
unconditionally and irrevocably covenants with the Administrative Agent that it
will on the Administrative Agent’s written demand:

 

(a)                                  pay or discharge the Secured Obligations in
accordance with the terms governing the Secured Obligations; and

 

(b)                                 pay or discharge on demand to the
Administrative Agent all costs, charges, expenses and other sums (banking,
legal or otherwise) on a full indemnity basis howsoever incurred or to be
incurred by the Administrative Agent or by or through any Receiver or Delegate
(including, without limitation, the remuneration of any of them) for any of the
purposes referred to in this Deed or in relation to the enforcement of this
Security.

 

2.2                               The Secured Obligations shall immediately
become due and payable on demand by the Administrative Agent (as and when the
Administrative Agent becomes entitled to make such a demand under the Credit
Agreement).

 

2.3                                 The making of one demand shall not preclude the
Administrative Agent from making any further demands.

 

3.                                       INTEREST

 

The Chargor shall pay interest at the Default Rate (as well after as
before judgment) on any amount for the time being due from the Chargor to the
Administrative Agent under this Deed from the date of a demand for payment
under this Deed until payment in full. 
Interest payable under this clause shall be compounded with rests on
such days as the Administrative Agent shall from time to time decide but
without prejudice to the right of the Administrative Agent to require payment
of such interest when due.

 

4.                                       PAYMENTS

 

4.1                                 All
payments by the Chargor under this Deed shall be made to the Administrative Agent on behalf of the
Secured Parties to its account at such office or such bank as it may notify to
the Chargor for this purpose.

 

4.2                                 Payments
under this Deed to the Administrative
Agent shall be made for value on the due date at such
times and in such funds specified by the Administrative Agent as being customary at the
time for the settlement of transactions in the relevant currency in the place
for payment.

 

4.3                                 If a
payment under this Deed is due on a day which is not a Business Day, the due
date for that payment shall instead be the next Business Day in the same
calendar month (if there is one) or the preceding Business Day (if there is
not).

 

4.4                               The Chargor shall pay all monies due under this
Deed free and clear and without deduction for or on account of either any
set-off or counterclaim or any and all present or future taxes, levies,
imposts, charges, fees, deductions or withholdings.  If any sums payable under this 

 

10

 

Deed
shall be or become subject to any such deduction or withholding, the amount of
such payments shall be increased so that the net amount received by the
Administrative Agent shall equal the amount which, but for such deduction or
withholding, would have been received by the Administrative Agent under this
Deed.

 

5.                                       LIMITATIONS

 

This Deed does
not render any liability a Secured Obligation to the extent that doing so would
result in this Deed constituting unlawful financial assistance within the
meaning of Section 60 of the Companies Act 1963 or any equivalent and
applicable provisions under the laws of any Relevant Jurisdiction.

 

6.                                       CURRENCY CONVERSIONS

 

6.1                                 The
liability of the Chargor under this Deed shall be to pay the Administrative Agent the full amount
of the Secured Obligations in each currency in which they are for the time
being denominated provided that if and to the extent that the Chargor shall not
pay such amount in such currency the Administrative Agent may accept payment of all
or part of such amount in any other currency and/or require the Chargor, in
substitution for its liability to pay such amount in such currency, to pay an
amount in euro which is equivalent to the amount of such currency remaining
unpaid (and in either case the provisions of clause 6.3 shall apply).

 

6.2                                 For
the purpose of, or pending the discharge of, any of the Secured Obligations,
the Administrative Agent may
convert any monies received, recovered or realised by the Administrative Agent or any Receiver
under this Deed (including the proceeds of any previous conversion under this
clause 6)
from their existing currencies of denomination into such other currencies of
denomination as the Administrative
Agent may think fit (and the provisions of clause 6.3 shall
apply).  Each reference in this clause 6.2 to a currency
extends to funds of that currency.

 

6.3                                 The
equivalent on any day in one currency of any amount denominated in another
currency shall be an amount in the first currency equal to the amount which the
Administrative Agent
would have received if the Administrative
Agent had on such day (or, if such day shall not be a
Business Day, on the next succeeding Business Day) made a purchase of the first
currency with such amount of such other currency at the then prevailing spot
rate of exchange of the Administrative
Agent less all costs, charges and expenses incurred by
the Administrative Agent or
on its behalf in connection with such a purchase.

 

7.                                       CREATION OF SECURITY

 

7.1                                 The Chargor as legal and beneficial owner and registered
owner or as the person entitled to be registered as owner as the case may be,
hereby CHARGES by way of first
fixed charge unto the Administrative Agent, free from all liens, charges and
other encumbrances (other than Permitted Encumbrances), the Mortgaged Property
with the payment, performance and discharge of the Secured Obligations.

 

7.2                                 The Chargor, as beneficial owner, mortgages,
free from all liens, charges and other encumbrances (other than Permitted
Encumbrances):

 

(a)                                  the Shares that are registered in the name of
the Chargor and all other shares, stocks, debentures, bonds, warrants, coupons
and other securities and investments owned by it; and

 

(b)                                 all the Shares and all other shares, stocks,
debentures, bonds, warrants, coupons and other securities and investments that
are subject to declarations of trust and nominee agreements in favour of the
Chargor and any rights attaching and any dividend or 

 

11

 

interest
paid or payable in relation to them and any rights, monies or property accruing
or offered at any time in relation to them (whether by way of redemption,
substitution, exchange, bonus, under option rights or otherwise) and all its
interest in all declarations of trust and nominee agreements in relation to
those Shares and those other shares, stocks, debentures, bonds, warrants,
coupons or other securities and investments.

 

7.3                                 The Chargor, as beneficial owner, assigns
absolutely, free from all liens, charges and other encumbrances (other than
Permitted Encumbrances):

 

(a)                                  all its Plant and Machinery; and

 

(b)                                 all its interest in any plant, machinery,
computers, office equipment and vehicles in its possession to the extent of
that interest,

 

subject to a proviso for reassignment on redemption.

 

7.4                                 The Chargor, as beneficial owner, charges by
way of a first fixed charge all of its rights in respect of any amount standing
to the credit of any Security Account (if any) and the debt represented by that
account.

 

7.5                                 The Chargor, as beneficial owner, charges by
way of a first fixed charge:

 

(a)                                  all of its book and other debts; and

 

(b)                                 all other monies due and owing to it.

 

7.6                                 (a)                                  The Chargor, as beneficial owner, assigns
absolutely to the Administrative Agent, for the benefit of the Secured Parties,
free from all liens, charges and other encumbrances (other than Permitted
Encumbrances), subject to a proviso for reassignment on redemption, all its
Insurances.

 

(b)                                 The assignment in paragraph (a) of this
clause 7.6 excludes all amounts received or receivable under or in
connection with any third party liability Insurance and which is required to
settle a liability of the Chargor to a third party.

 

7.7                                 (a)                                  The Chargor, as beneficial owner, assigns
absolutely, subject to a proviso for re-assignment on redemption, all of its
rights in respect of its Relevant Contracts.

 

(b)                                 To the extent that they do not fall within
paragraph (a) of this clause 7.7 or are not effectively assigned
under paragraph (a) of this clause 7.7, the Chargor charges by way of
a first fixed charge all of its rights under each agreement and document to
which it is a party including, for the avoidance of doubt:

 

(i)                                     any letter of credit issued in its favour; and

 

(ii)                                  any bill of exchange or other negotiable
instrument held by it.

 

7.8                                 (a)                                  The Chargor, as beneficial owner, assigns
absolutely, subject to a proviso for reassignment on redemption, all of its
Intellectual Property.

 

(b)                                 To the extent that any right described in
paragraph (a) of this clause 7.8 cannot be assigned, the Chargor licences
the same to the Administrative Agent absolutely for the full period and extent
of such rights and it hereby undertakes to hold such rights and the entire
benefit of such rights upon trust for the Administrative Agent absolutely.

 

12

 

(c)                                  The Chargor covenants that at the request of
the Administrative Agent it will at all times hereafter do all such acts and
execute all such documents as may be necessary or desirable to secure the
vesting in the Administrative Agent of all rights assigned or licensed to it
under this clause 7.8.

 

7.9                                 The Chargor, as beneficial owner, charges by
way of a first fixed charge, free from all liens, charges and other
encumbrances (other than Permitted Encumbrances):

 

(a)                                  its goodwill;

 

(b)                                 the benefit of any Authorisation (statutory or
otherwise) held in connection with its business or the use of any Security
Asset; and

 

(c)                                  its uncalled capital and its called but unpaid
capital.

 

7.10                           The
Chargor as beneficial owner, charges
by way of first fixed charge, free from all liens, charges and other
encumbrances (other than Permitted Encumbrances) the following covenants,
agreements and rights:-

 

(a)                                  any
covenant agreement or undertaking in relation to the construction and maintenance
of roads, pavements and utilities for services abutting and serving the
Mortgaged Property or charges, levies or such like in respect of the same or
the taking in charge thereof by the local authority and any indemnity in
respect of the matters aforesaid;

 

(b)                                 any
right, benefit or agreement made between it and the local authority pursuant to
which it has been or may be granted rights of access or rights of way in
relation to Mortgaged Property;

 

(c)                                  any
covenant, agreement, guarantee or indemnity in respect of the construction and
maintenance of the buildings now erected or in the course of erection or
hereafter to be erected on the Mortgaged Property the benefit of which is
vested in it; and

 

(d)                                 all
of its rights to be paid or receive compensation under any statute by reason of
any compulsory acquisition or other exercise of compulsory powers in relation
to the Mortgaged Property or any refusal, grant subject to conditions,
withdrawal or modification of planning permission or approval relative thereto
or any control or limitation imposed upon or affecting the use of the Mortgaged
Property and so that the production of these presents to the person liable to
pay such compensation shall be sufficient authority to it or him to pay such
moneys to the Administrative Agent.

 

7.11                           To the extent that any Security Asset is not
effectively mortgaged or assigned under this Deed, the Chargor charges as
beneficial owner by way of first fixed charge that Security Asset.

 

7.12                           (a)                                  The Chargor, as beneficial owner, charges by
way of a first floating charge, free from all liens, charges and other
encumbrances (other than Permitted Encumbrances), its undertaking and all of
its assets both present and future whatsoever and wheresoever which are at any
time and from time to time not otherwise effectively mortgaged, assigned or
charged by way of fixed charge under this Deed.

 

(b)                                 The Administrative Agent may by notice in
writing to the Chargor convert the floating charge created by the Chargor under
this Deed into a fixed charge as regards any of the Chargor’s assets specified
in that notice, if:

 

13

 

(i)                                     an Event of Default has occurred and is
continuing;

 

(ii)                                  the Administrative Agent considers those assets
to be in danger of being seized or sold under any form of distress, attachment,
execution or other legal process or to be otherwise in jeopardy;

 

(iii)                               the Chargor fails to comply, or takes or
threatens to take any action which, in the opinion of the Administrative Agent,
will result in it failing to comply, with its obligations under clause 9 (Restrictions on Dealing) in respect of
those assets;

 

(iv)                              an event occurs which the Administrative Agent
considers could affect the priority of this Security;

 

(except
that, unless and until the Administrative Agent has notified the Chargor that
an Event of Default has occurred and is continuing (during the continuance of
which the Chargor shall not sell, convey, lease, lend or otherwise dispose of
any Collateral), the Chargor shall be permitted to sell, convey, transfer,
lease, lend, or otherwise dispose of its assets in accordance with the Credit
Agreement.)

 

(c)                                  The floating charge created under this Deed
will (in addition to the circumstances in which the same will occur under general
law) automatically convert into a fixed charge over all of the Chargor’s
assets, if:

 

(i)                                     an examiner is appointed or a petition is
presented to appoint an examiner to the Chargor or a Related Company of the
Chargor or where the protection of the court is sought by the Chargor or a
Related Company of the Chargor;

 

(ii)                                  a resolution is passed or an order is made for
the insolvency or re-organisation of the Chargor (other than a solvent
re-organisation permitted by the terms of the Credit Agreement);

 

(iii)                               a petition is presented for the compulsory
winding up of the Chargor;

 

(iv)                              a meeting is convened for the passing of a
resolution for the voluntary winding up of the Chargor;

 

(v)                                 the Chargor ceases to carry on its business or
be a going concern without the prior written consent of the Administrative
Agent;

 

(vi)                              any person levies or attempts to levy any
distress, execution or other process against any Security Asset;

 

(vii)                           any other event occurs resulting in the
conversion into a fixed charge of any other floating charge given by the
Chargor to any person including any Secured Party; or

 

(viii)                      the Chargor resolves to take or takes any step
to:

 

(A)                              create a Security Interest over any of its
Floating Charge Assets;

 

(B)                                create a trust over any of its Floating Charge
Assets; or

 

(C)                                dispose of any of its Floating Charge Assets,

 

except by way of a
sale in the ordinary course of the Chargor’s business or as otherwise permitted
by the Credit Agreement.

 

14

 

(d)                                 The giving by the Administrative Agent of a
notice under paragraph (b) above in relation to any asset of the Chargor
will not be construed as a waiver or abandonment of the Administrative Agent’s
rights to give any other notice in respect of any other asset or of any other
right of any Secured Party under this Deed or any other Loan Document.

 

(e)                                  Any asset acquired by the Chargor after the
crystallisation of the floating charge created under this Deed which, but for
such crystallisation, would be subject to a floating charge shall (unless the
Administrative Agent confirms in writing to the contrary) be charged by way of
first fixed charge.

 

(f)                                    Notwithstanding anything to the contrary contained herein, the Security
Assets shall not include any asset or property if (i) the Administrative
Agent determines, after consultation with the Borrower, that the granting of a
security interest therein would (x) violate the law of the jurisdiction in
which such Security Asset is located or the law of the jurisdiction where the
Person owning such asset or property is organised, (y) violate the terms
of any material contract binding on the Chargor, Intermediate Holdings, the
Borrower or any Subsidiary (but only to the extent that the restrictions in all
such contracts, taken as a whole, do not materially limit the Collateral that
would otherwise be pledged pursuant to the Collateral and Guarantee Requirement
and Section 5.13(c) of the Credit Agreement to secure the
Obligations) or (z) result in a material tax consequence to the Chargor or
(ii) if the Administrative Agent shall determine that the cost to the
Chargor, Intermediate Holdings, the Borrower or any Subsidiary of granting and
perfecting such security interest would be excessive in view of the related
benefits to be received by the Lenders therefrom provided that any Collateral
excluded hereunder shall be specified in Schedule 6, as modified by the
Administrative Agent from time to time.

 

8.                                      REPRESENTATIONS

 

The Chargor
makes the representations and warranties set out in this clause 8 to the
Administrative Agent for the benefit of the Secured Parties.

 

8.1                                 It
is duly incorporated and validly existing under the laws of the jurisdiction of
its incorporation.

 

8.2                                 It
has the power to enter into, exercise its rights and perform and comply with
its obligations under this Deed.

 

8.3                                 All
Authorisations required or desirable:

 

(a)                                  to
enable it to enter into, exercise its rights and perform and comply with its
obligations under this Deed; and

 

(b)                                 to
ensure that those obligations are valid and legally binding and enforceable
subject to the Legal Reservations,

 

have been
obtained or effected and are in full force and effect except any Authorisation
referred to in clause 8.7,
which Authorisation will be promptly obtained or effected after the date of
this Deed and in any event prior to the time by which such Authorisation is
required to be obtained or effected.

 

8.4                                 Its
obligations under this Deed rank and will rank at least pari passu with the
claims of all of its other unsecured and unsubordinated creditors, except for
obligations mandatorily preferred by law applying to companies generally.

 

15

 

8.5                                 Its
entry into, exercise of its rights and/or performance of or compliance with its
obligations under this Deed do not conflict with, or exceed any charging or
other power or restriction granted or imposed by:

 

(a)                                  any
law or regulation applicable to it (including Section 60 of the Companies
Act 1963 and Section 31 of the Companies Act 1990); or

 

(b)                                 its
constitutional documents.

 

8.6                                 Its
obligations under this Deed are valid and legally binding and enforceable
subject to the Legal Reservations.

 

8.7                                 It
is not necessary that this Deed be filed, recorded or enrolled with any court
or other authority in Ireland or any of its Relevant Jurisdictions or that any
stamp, registration or similar Tax be paid on or in relation to this Deed
except registration of particulars of this Deed at the Companies Registration
Office in Ireland under Section 99 of the Companies Act 1963 and payment
of associated fees, which registration, will be made and paid promptly after
the date of this Deed and in any event prior to the time required to be made
and paid if this Deed is to remain valid or if interest or penalties are to be
avoided with respect to the registration, filing, Taxes or fees.

 

8.8                                 Its
entry into, exercise of its rights and/or performance of or compliance with its
obligations under this Deed do not and will not:

 

(a)                                  conflict
with any agreement to which it is a party or which is binding on it or any of
its assets; or

 

(b)                                 result
in the existence of, or oblige it to create any Security Interest over those
assets (other than the Security Interests created hereunder).

 

8.9                                 None
of its assets are affected by any Security Interest except as permitted by the
Credit Agreement and it is not a party to, nor are any of its assets bound by,
any order or agreement under which it is, or in certain events may be, required
to create, assume or permit to arise any Security Interest except as permitted
by the Credit Agreement, nor is any guarantee, indemnity or other contingent
liability held by or owing to a third party from or by it.

 

8.10                           It
has good title to all Security Assets material to its business which it has
charged pursuant to this Deed except for minor defects in title that do not
interfere with its ability to conduct its business as currently conducted or to
utilise such Security Assets for their intended purposes and subject to
Permitted Encumbrances.

 

8.11                           All
amounts payable by it under this Deed may be made free and clear of and without
deduction for or on account of any tax.

 

8.12                           It
will not be entitled to claim immunity from suit, execution, attachment or
other legal process in any proceedings taken in relation to this Deed.

 

8.13                           It
is not unable or deemed to be unable to pay its debts within the meaning of Section 214
of the Companies Act 1963 or Section 2(3) of the Companies
(Amendment) Act 1990 or any analogous legislation at the time of entering into
this Deed and remains able to pay its debts and did not become unable to pay
its debts as a consequence of entering into this Deed.

 

8.14                           No
meeting of the directors or members of the Company has been convened for the
purposes of considering any resolution for its winding-up or liquidation or for
putting the Company into examination or insolvency or with a view to a
composition, assignment or arrangement with its creditors generally (or any
class of its creditors) nor so far as the Company is aware 

 

16

 

has any meeting been
convened for the purposes of considering any event similar or analogous to the
foregoing.

 

8.15                          Its
centre of main interest (as that term is used in Article 3(1) of The
Council of the European Union Regulation No. 1346/2000 on Insolvency
Proceedings (the “Regulation”)) is
situated in its jurisdiction of incorporation and it has no “establishment” (as
that term is used in Article 2(h) of the Regulation) in any other
jurisdiction.

 

8.16                          This Deed creates the Security Interests it
purports to create (subject to the Legal Reservations) and is not liable to be
avoided or otherwise set aside on its insolvency or otherwise.

 

8.17                          Subject to clause 8.19 it is the sole
legal and beneficial owner of its Security Assets.

 

8.18                          (a)                                  The information supplied to the solicitors who
prepared any Certificate of Title relating to any of its Mortgaged Property for
the purpose of that Certificate of Title was true in all material respects at
the date it was expressed to be given.

 

(b)                                 The information referred to in paragraph (a) above
was at the date it was expressed to be given complete and did not omit any
information which, if disclosed, would make that information untrue or
misleading in any material respect or would cause any Certificate of Title
relating to any of its Mortgaged Property to be qualified in any way.

 

(c)                                  As at the date of this Deed, nothing has
occurred since the date any information referred to in paragraph (a) above
was given which, if disclosed, would make that information untrue or misleading
in any material respect.

 

8.19                          Except as disclosed in any Certificate of Title
relating to any of its Mortgaged Property:

 

(a)                                  it is the sole legal and beneficial owner of
its Mortgaged Property;

 

(b)                                 no breach of any law, regulation or covenant is
outstanding which affects or would be reasonably likely to affect the value,
saleability or use of its Mortgaged Property;

 

(c)                                  there are no covenants, agreements,
stipulations, exceptions, reservations, conditions, interest, rights or other
matters whatsoever affecting its Mortgaged Property which conflict with its
present use or adversely affect the value, saleability or use of any of such
Mortgaged Property;

 

(d)                                 nothing has arisen or has been created or is
subsisting which is a burden affecting any of its Mortgaged Property;

 

(e)                                  all facilities (including access) necessary for
the enjoyment and use of its Mortgaged Property (including those necessary for
the carrying on of its business) are enjoyed by its Mortgaged Property and none
of those facilities are on terms entitling any person to terminate or curtail
its use or on terms which conflict with or restrict its use;

 

(f)                                    it has received no notice of any adverse claims
by any person in respect of its Mortgaged Property or any interest in it; and

 

(g)                                 its Mortgaged Property is held by it free from
any Security Interest (except for those created by or under this Deed) or any
lease or licence which would be reasonably likely to  affect its value, saleability or use.

 

17

 

8.20                          The Chargor is:

 

(a)                                  performing all the terms on its part contained
in any lease, agreement for lease, licence or other agreement which gives the
Chargor a right to occupy or use property comprised in its Mortgaged Property;

 

(b)                                 not doing or allowing to be done any act as a
result of which any lease under which it holds any Mortgaged Property may
become liable to forfeiture or otherwise be terminated; and

 

(c)                                  duly and punctually complying with all
covenants and stipulations affecting its Mortgaged Property or the facilities
(including access) necessary for the enjoyment and use of its Mortgaged
Property.

 

8.21                          (a)                                  The Chargor makes the representations and
warranties set out in this clause 8 on the date of this Deed.

 

(b)                                 The representations and warranties in this
clause 8 shall continue and are deemed to be made by the Chargor on the
occurrence of each credit event referred to in Section 4.02 of the Credit
Agreement except to the extent such representations and warranties expressly
relate to an earlier date (in which case, such representations and warranties
shall be correct and complied with in all material respects as of such earlier
date).

 

(c)                                  Each representation and warranty deemed to be
made after the date of this Deed shall be deemed to be made by reference to the
facts and circumstances existing at the date the representation and warranty is
deemed to be made.

 

8.22                          The Intellectual Property which is material to
its business is free of any Security Interests (except for those created by or
under this Deed and Permitted Encumbrances) and any other right or interests
(including any licenses) in favour of third parties.

 

9.                                      RESTRICTIONS ON
DEALINGS

 

9.1                                The Chargor shall not, during the Security
Period, without the prior written consent or agreement of the Administrative
Agent (such consent or agreement not to be unreasonably withheld):

 

(a)                                  create or permit to subsist any Security
Interest (other than Permitted Encumbrances) over any of its assets;

 

(b)                                 enter into any arrangement under which money or
the benefit of a bank account or other account may be applied, set-off or made
subject to a combination of accounts; or

 

(c)                                  either in a single transaction or in a series
of transactions (whether related or not) and whether voluntarily or
involuntarily dispose of any asset other than any disposal of its Floating
Charge Assets in the ordinary course of its business,

 

except (in each case) as permitted pursuant to the provisions of the
Credit Agreement.

 

9.2                                The Chargor shall at all times conduct and
carry on its business in a proper and efficient manner and not make any
substantial alteration in the nature of or mode of conduct of that business and
keep, or cause to be kept, proper books of account relating to such business.

 

9.3                                The Chargor shall not do or cause or permit to
be done anything which may in any way jeopardise or otherwise prejudice this
Security.

 

18

 

9.4                                 All
rights of the Chargor in relation to all credit balances to which the Chargor
is entitled on any account at any office of any bank or other financial
institution, including the Administrative Agent, shall not be capable of
assignment by the Chargor, except as permitted under the Credit Agreement or
with the prior consent required by Credit Agreement.

 

9.5                                 Except
as otherwise permitted under any Loan Documents or with the prior consent
required by the Credit Agreement, the Chargor shall not transfer, factor,
discount, sell, release, compound, subordinate, defer, or vary the terms of any
book or other debts or monetary claims for the time being due, owing or payable
to the Chargor, nor otherwise deal with the same except by getting in the same
in the usual course of trading or the Chargor’s ordinary course of business.

 

10.                                REAL PROPERTY

 

10.1                          Except where failure to do so, individually or
in the aggregate, would not reasonably be expected to result in a Material
Adverse Effect, the Chargor shall:

 

(a)                                  obtain all Environmental Permits required by
law;

 

(b)                                 comply in all respects with any Environmental
Permit or Environmental Law applicable to it;

 

(c)                                  use reasonably commercial efforts to procure
that any occupier of any Mortgaged Property complies with any Environmental
Permit or Environmental Law applicable to it;

 

(d)                                 ensure that no Secured Party incurs any
liability by reason of any breach by it of any Environmental Law or
Environmental Permit; and

 

(e)                                  promptly upon becoming aware, notify the
Administrative Agent of any pending or, to its knowledge, threatened
Environmental Claim.

 

10.2                          The Chargor shall, within 14 days after the
receipt by it of any application, requirement, order or notice served or given
by any public or other authority with respect to its Mortgaged Property (or any
part of it) which would or would be reasonably likely to have a Material
Adverse Effect on the business, operations, assets generally or condition
(financial or otherwise) of the Chargor:

 

(a)                                  deliver a copy to the Administrative Agent; and

 

(b)                                 inform the Administrative Agent of the steps
taken or proposed to be taken to comply with the relevant application,
requirement, order or notice.

 

10.3                          Except where failure to do so, individually or
in the aggregate, would not reasonably be expected to result in a Material
Adverse Effect, the Chargor:

 

(a)                                  shall perform all the terms on its part
contained in any lease, agreement for lease, license or other agreement which
gives it a right to occupy or use property comprised in its Mortgaged Property;

 

(b)                                 shall not do or allow to be done any act as a
result of which any lease under which it holds any Mortgaged Property may
become liable to forfeiture or otherwise terminated; and

 

(c)                                  shall duly and punctually comply with all
covenants and stipulations affecting Mortgaged Property or the facilities
(including access) necessary for the enjoyment 

 

19

 

and
use of its Mortgaged Property and indemnifies each Secured Party in respect of
any breach of those covenants and stipulations.

 

10.4                         The Chargor assents to the registration as
burdens on the folio of any Mortgaged Property now owned by it or acquired by
it after the date of this Deed that is registered land of which it is the
registered owner or the person entitled to be registered owner:

 

(a)                                  of the fixed or specific charge hereby created
on the said registered land;

 

(b)                                 on crystallisation of the floating charge, of
such crystallised charge; and

 

(c)                                  of the power of any Receiver appointed
hereunder to charge the said registered land.

 

The address of the Administrative Agent in the State for service of
notices and its description is JP Morgan House, International Financial
Services Centre, Floor 01, Dublin 1, Financial Institution.

 

10.5                          The Chargor shall upon the execution of this
Deed, and promptly upon the acquisition by it of any interest in any other
freehold, leasehold or other immovable property deliver (or procure delivery)
to the Administrative Agent and the Administrative Agent shall be entitled to
hold and retain, all deeds, certificates and other documents of title relating
to its Mortgaged Property.

 

10.6                         Except as may be permitted by the Credit
Agreement, the Chargor shall not:

 

(a)                                  either (i) demolish or (ii) materially
alter or injure, the Mortgaged Property in any manner that lessens the value of
the Mortgaged Property, unless it replaces them with others of substantially
equal or greater value;

 

(b)                                 make any alteration to, or change in the use
of, the Mortgaged Property that will materially diminish the utility thereof
for the operation of the business;

 

(c)                                  sever or remove any Fixture or Plant and
Machinery (other than stock in trade or work in progress) on or in the
Mortgaged Property (except for the purpose of any necessary repairs or
replacement of it); or

 

(d)                                 carry out any development (within the meaning
of the Planning Acts) on the Mortgaged Property,

 

without the prior written consent of the Administrative Agent.

 

10.7                         The Chargor shall comply with:

 

(a)                                  all applicable requirements of all law, legislation,
regulations and bye-laws relating to the Mortgaged Property;

 

(b)                                 any conditions attaching to any planning
permissions relating to or affecting the Mortgaged Property; and

 

(c)                                  any notices or other orders made by any
planning, environmental or other public body in respect of all or any part of
the Mortgaged Property,

 

except, in each case, where failure to comply could not reasonably be
expected to cause a Material Adverse Effect on the Mortgaged Property.

 

10.8                         The Chargor shall grant the Administrative
Agent or its legal advisors at reasonable times and intervals during normal
business hours upon reasonable advance notice all facilities 

 

20

 

within
the power of the Chargor to enable the Administrative Agent or its legal
advisors (at the expense of the Chargor) to:

 

(a)                                  carry out investigations of title to the
Mortgaged Property; and

 

(b)                                 make such enquiries in relation to any part of
the Mortgaged Property as a prudent mortgagee might carry out.

 

10.9                           The Chargor shall, as soon as practicable after
a request by the Administrative Agent, supply the Administrative Agent with a
Certificate of Title from its solicitors in respect of its Mortgaged Property
concerning those items which may properly be sought to be covered by a prudent
mortgagee in a solicitor’s certificate of this nature.

 

10.10                     If the Chargor fails to perform any covenant or stipulation or any term
of this Deed affecting its Mortgaged Property, the Chargor shall allow the
Administrative Agent or its agents and/or contractors:

 

(a)                                  to enter any part of its Mortgaged Property to
carry out an inspection of it;

 

(b)                                 to comply with or object to any notice served
on it in respect of its Mortgaged Property; and

 

(c)                                  to take any action as the Administrative Agent
may consider necessary or desirable to prevent or remedy any breach of any such
covenant, stipulation or term or to comply with or object to any such notice.

 

The Chargor shall within three Business Days of demand by the
Administrative Agent pay the costs and expenses of the Administrative Agent or
its agents and contractors incurred in connection with any action taken by it
under this clause, and pending payment, that payment will constitute part of
the Secured Obligations.

 

10.11                     The Chargor
shall, at its own cost and expense, take any and all action necessary to defend
title to the Mortgaged Property against all Persons and to defend the security
of the Administrative Agent in the Mortgaged Property and the priority thereof
against any lien, charge or other encumbrance (other than any Permitted Encumbrance) and that is prior to the security
interest of the Administrative Agent).

 

10.12                     The obligations imposed and/or undertaken by the Chargor pursuant to Clause
10 shall not apply to the extent that the Credit Agreement provides otherwise.

 

11.                                 INVESTMENTS

 

11.1                         Subject to clause 7.12(f), upon the execution
of this Deed and upon the acquisition of any Investment, the Chargor:

 

(a)                                  shall promptly deposit with the Administrative
Agent, or as the Administrative Agent may direct, any bearer instrument, share
certificate or other document of title or evidence of ownership in relation to
that Investment; and

 

(b)                                 shall promptly take any action and execute and
deliver to the Administrative Agent any share transfer or other document which
may be requested by the Administrative Agent in order to enable any transferee
elected by the Secured Parties to be registered as the owner or otherwise obtain
a legal title to that Investment; including:

 

(i)                                     delivering executed share transfers in favour
of the Administrative Agent or any of its nominees as transferee or, if the
Administrative Agent so directs, 

 

21

 

with
the transferee and consideration left blank, executed dividend mandates in the
form set out in Part 1 of Schedule 5 (Shares), executed letters of authority in the form set out
in Part 2 of Schedule 5 (Shares)
and executed letters of resignation together with letters of authority (to date
the letters of resignation) from all directors of the relevant issuer of shares
in the form set out in Parts 3 and 4 of Schedule 5 (Shares); and

 

(ii)                                  on the written request of the Administrative
Agent procuring that those share transfers are registered by the company in
which the Investments are held and that share certificates in the name of the
transferee are delivered to the Administrative Agent.

 

11.2                           Save as otherwise permitted under the Credit
Agreement, the Chargor may not exercise any right or power, or allow the
exercise of any right or power on its behalf, with respect to the Shares if the result thereof could, in the
reasonable judgment of the Administrative Agent, materially impair the
Collateral, or could materially and adversely affect the rights inuring to a
holder of the Shares or the rights and remedies of any of the Secured Parties
under this Deed or the Credit Agreement or any other Loan Document or the
ability of the Secured Parties to exercise the same.

 

11.3                           The Chargor may not amend any declaration of
trust and/or nominee agreement entered into in relation to any Investments in a
manner which would be adverse to the interest of any Secured Party.

 

11.4                         With effect from the Enforcement Date, the
Chargor, in relation to any declaration and/or any nominee agreement, agrees:

 

(a)                                  to act on the instructions of the
Administrative Agent; and

 

(b)                                 if directed to do so by the Administrative
Agent, to direct each trustee and/or nominee to act on the instructions of the
Administrative Agent.

 

11.5                          (a)                                   The Chargor shall pay all calls and other
payments due and payable in respect of any of its Investments.

 

(b)                                 If the Chargor fails to do so, the
Administrative Agent may pay those calls or other payments on behalf of the
Chargor.  The Chargor shall on demand by
the Administrative Agent reimburse the Administrative Agent for any payment
made by the Administrative Agent under this clause 11.5(b) and, pending
reimbursement, that payment will constitute part of the Secured Obligations.

 

11.6                           (a)                                If the Chargor fails to comply with all
requests for information which is within its knowledge and which it is required
to comply with by law or under the constitutional documents relating to any of
its Investments, the Administrative Agent may elect to provide any information
which it may have on behalf of the Chargor (at the Chargor’s expense).

 

(b)                                 The Chargor shall promptly supply a copy to the
Administrative Agent of any information referred to in paragraph (i) above.

 

11.7                           Subject to clause 7.12(f), immediately on
conversion of any Investments from a certificated to an uncertificated form,
and on the acquisition of any Investments in an uncertificated form, it shall
give such instructions or directions and take such other steps and enter into
such documentation as the Administrative Agent may require in order to protect
or preserve the Security Interest intended to be created by this Deed.

 

22

 

11.8                         No Secured Party will be required to:

 

(a)                                  perform or fulfil any obligation of the
Chargor;

 

(b)                                 make any payment;

 

(c)                                  make any enquiry as to the nature or
sufficiency of any payment received by it or the Chargor; or

 

(d)                                 present or file any claim or take any other
action to collect or enforce the payment of any amount,

 

in respect of any Investment.

 

11.9                           (a)                                  Until the Enforcement Date has occurred or the
Administrative Agent has notified the Chargor that it does not intend (for the
time being) to exercise its rights under clause 11.9(d):

 

(i)                                     the Chargor may continue to exercise the voting
rights, powers and other rights in respect of its Investments;

 

(ii)                                  if the relevant Investments have been
registered in the name of the Administrative Agent or its nominee, the
Administrative Agent (or that nominee) shall exercise the voting rights, powers
and other rights in respect of the Investments in any manner which the Chargor
may direct in writing,

 

if doing so does not materially impair the Investments or materially
and adversely affect the rights and remedies of any of the Secured Parties
under this Agreement or any other Loan Document or the ability of the Secured
Parties to exercise the same.

 

(b)                                 Until the Enforcement Date has occurred, all
dividends or other income or distributions paid or payable in relation to any
Investments shall be paid to the Chargor.

 

(c)                                  With effect from the Enforcement Date, the
Chargor shall hold any dividend or other income or distribution paid or payable
in relation to any Investments on trust for the Administrative Agent.

 

(d)                                 On or after the Enforcement Date, the
Administrative Agent or its nominee may exercise or refrain from exercising:

 

(i)                                     any voting rights; and

 

(ii)                                  any other powers or rights which may be
exercised by the legal or beneficial owner of any Investment, any person who is
the holder of any Investment or otherwise,

 

in each case, in the name of the Chargor, the registered holder or
otherwise and without any further consent or authority on the part of the
Chargor and irrespective of any direction given by the Chargor.

 

(e)                                  To the extent that the Investments remain
registered in the name of the Chargor, the Chargor irrevocably appoints the
Administrative Agent or its nominee as the corporate representative of the
Chargor to exercise all voting rights in respect of those Investments at any
time after this Security has become enforceable.

 

23

 

11.10                     The Chargor shall ensure that the articles of association or other
constitutional documents of each Irish incorporated issuer of Investments over
which the Chargor is creating a Security Interest under this Deed where the
Chargor holds no less than 75 per cent. of the issued share capital of that
issuer which contain any restriction on transfers of those Investments or any
pre-emptive rights in respect of those Investments shall disapply such
restriction or rights (in a manner acceptable to the Administrative Agent) in
relation to any transfer of those Investments to any person upon the
enforcement of the Security.

 

11.11                     The Chargor shall, if requested by the Administrative Agent, procure
that the directors of the issuer of Investments shall not refuse to register a
duly stamped transfer of any share presented to its board of directors for
registration pursuant to the power of sale under this Deed.

 

12.                               INTELLECTUAL PROPERTY

 

12.1                         Save as otherwise permitted under the Credit
Agreement, the Chargor shall:

 

(a)                                  maintain in full force and effect all
registered Intellectual Property currently registered by it that is material to
the conduct of the Chargor’s business;

 

(b)                                 in accordance with the requirements of Section 4.13(e) of
the U.S. Security Agreement, notify the Administrative Agent of the acquisition
of any Intellectual Property and, if requested to do so by the Administrative
Agent for the purpose of perfecting this Security, make entries in any public
register of its Intellectual Property which is material to its business which
either record the existence of this Deed or the restrictions on disposal
imposed by this Deed; and

 

(c)                                  take such steps as are appropriate under the
circumstances (including, if consistent with the Chargor’s reasonable good
business judgment, the institution of legal proceedings) to prevent third
parties infringing Intellectual Property material to the conduct of its
business.

 

13.                                 SECURITY ACCOUNTS

 

13.1                         (a)                                  Save as otherwise permitted under the Credit
Agreement, the Chargor shall get in and realise its:

 

(i)                                     securities to the extent held by way of
temporary investment;

 

(ii)                                  dividends and other income and distributions
payable to it in relation to any Investment;

 

(iii)                               book and other debts and other monies owed to
it; and

 

(iv)                              royalties, fees and income of any nature owed
to it,

 

in the ordinary course of its business and, after the Enforcement Date,
hold the proceeds of the getting in and realisation (until payment into a
Security Account but subject always to clause 7 (Creation of Security)) on trust for the
Administrative Agent.

 

(b)                                 Save as otherwise permitted under the Credit
Agreement, the Chargor shall pay promptly all the proceeds of the getting in
and realisation referred to in clause 13.1(a) into a Security Account.

 

(c)                                  The Administrative Agent agrees that until (i) the
Enforcement Date has occurred or (ii) it notifies the Chargor that this
agreement no longer applies (which notification 

 

24

 

may
be given only if an Event of Default has occurred), all trading receipts can be
paid into an account of the Chargor which is not a Security Account.

 

13.2                          (a)                                  Prior to the Enforcement Date, the Chargor
shall be entitled to withdraw or otherwise transfer any credit balance from
time to time on any Security Account.

 

(b)                                 The Administrative Agent (or a Receiver) may
(subject to the payment of any claims having priority to this Security and
subject to the Credit Agreement and the Intercreditor Agreement) in the case of
any Security Account on or following the Enforcement Date, withdraw amounts
outstanding to the credit of such account, and apply those amounts in or
towards the payment or other satisfaction of all or part of the Secured
Obligations of the Chargor.

 

13.3                           (a)                                The Chargor shall, if required by the
Administrative Agent, with respect to each of its bank accounts:

 

(i)                                     Upon the execution of this Deed or (if later)
the date on which the Chargor opens a bank account with a bank which has not
previously been served with a notice applicable to such new account by the
Chargor under this clause 13.3, give notice to such bank substantially in
the form of Part 1 of Schedule 1 (Forms
of Letter for Security Accounts); and

 

(ii)                                  Use commercially reasonable efforts to procure
that each such bank acknowledges that notice substantially in the form of Part 2
of Schedule 1 (Forms of Letter for
Security Accounts).

 

13.4                           The execution of this Deed by the Chargor and
the Administrative Agent shall constitute notice to the Administrative Agent of
the charge created over any bank account opened or maintained with the
Administrative Agent.

 

14.                               RELEVANT CONTRACTS

 

14.1                           (a)                                The Chargor shall:

 

(i)                                     duly and promptly perform its obligations and
diligently pursue its rights under each Relevant Contract to which it is a
party, except for (i) any violations that, individually or in the
aggregate, could not reasonably be expected to have a Material Adverse Effect
and (ii) any failures to diligently pursue its rights that, individually
or in the aggregate, could not reasonably be expected to have a Material
Adverse Effect; and

 

(ii)                                  promptly upon request of the Administrative
Agent supply the Administrative Agent and any Receiver with copies of each of
its Relevant Contracts and any information and documentation relating to any of
its Relevant Contracts requested by the Administrative Agent or any Receiver.

 

(b)                                 Unless the Enforcement Date has occurred, the
Chargor may exercise its discretion and shall be entitled to receive all
proceeds arising under each Relevant Contract, in each case subject always to
the other terms of this Deed and the terms of the Credit Agreement.

 

14.2                           With effect from the Enforcement Date, the
Administrative Agent may exercise (without any further consent or authority on
the part of the Chargor and irrespective of any direction given by the Chargor)
any of the Chargor’s rights under its Relevant Contracts.

 

25

 

14.3                           The Chargor shall:

 

(a)                                  (i)                                     in the case of each Relevant Contract
subsisting at the date of this Deed immediately upon execution of this Deed;
and

 

(ii)                                  in the case of each Relevant Contract coming
into existence or being designated as such after the date of this Deed, on the
later of that agreement coming into existence or being designated a Relevant
Contract,

 

serve a notice of assignment, substantially in the form of Part 1 of
Schedule 4 (Forms of Letter for
Relevant Contracts), on each of the other parties to each of its
Relevant Contracts; and

 

(b)                                 use its reasonable endeavours to procure that
each of those other parties acknowledges that notice, substantially in the form
of Part 2 of Schedule 4 (Forms of
Letter for Relevant Contracts).

 

15.                               INSURANCES

 

15.1                           (a)                                The Chargor shall maintain insurances on and in relation to its business
and assets against those risks and to the extent as is usual for companies
carrying on the same or substantially similar business, in accordance with Section 5.07
of the Credit Agreement.

 

(b)                                 The Chargor shall procure that there will be given to the Administrative
Agent such information in connection with its Insurances and copies of the
insurance policies as the Administrative Agent may reasonably require.

 

(c)                                  If the Chargor fails to comply with any of the provisions of clauses (a) or
(b), the Administrative Agent shall immediately be entitled (but not obliged)
to effect or renew the insurances concerned on such terms, in such name(s) and
in such amount(s) as it considers appropriate, and all monies expended by
the Administrative Agent in so doing shall be reimbursed by the Chargor to the
Administrative Agent within three Business Days of demand.

 

(d)                                 After this Security has become enforceable:

 

(i)                                     the Administrative Agent may exercise (without
any further consent or authority on the part of the Chargor and irrespective of
any direction given by the Chargor) any of the rights of the Chargor in connection
with any amounts payable to it under any of its Insurances;

 

(ii)                                  the Chargor shall take such steps (at its own
cost) as the Administrative Agent may require to enforce those rights; this
includes initiating and pursuing legal or arbitration proceedings in the name
of the Chargor; and

 

(iii)                               the Chargor shall hold any payment received by
it under any of its Insurances on trust for the Administrative Agent.

 

(e)                                  Before this Security has become enforceable the
Chargor may exercise all of its rights under each Insurance as contemplated in
the form of notice of assignment set out in Part 1 of Schedule 3 (Forms of Letter for Insurances).

 

15.2                           The Chargor shall, if required by the
Administrative Agent:

 

(a)                                  (i)                                     in the case of each of its Insurances subsisting
at the date of this Deed, upon execution of this Deed; and

 

26

 

(ii)                                  in the case of each of its Insurances coming
into existence after the date of this Deed, on those Insurances being put on
risk,

 

give notice of this Deed to each of the other parties to the relevant
Insurances by sending a notice substantially in the form of Part 1 of
Schedule 3 (Forms of Letter for
Insurances); and

 

(b)                                 use its commercially reasonable endeavours to
procure that each such other party delivers a letter of undertaking to the
Administrative Agent in the form of Part 2 of Schedule 3 (Forms of Letter for Insurances).

 

15.3                           All
monies expended by the Administrative Agent when exercising its rights under Section 110
of the Act shall be reimbursed by the Chargor to the Administrative Agent on
demand and shall form part of the Secured Obligations for the purpose of this
Deed.

 

16.                               GENERAL COVENANTS

 

16.1                           The Chargor shall from time to time on request
of the Administrative Agent, furnish the Administrative Agent with such
information as the Administrative Agent may reasonably require about its
business and affairs, the Security Assets and its compliance with the terms of
this Deed and the Chargor shall permit the Administrative Agent, its
representatives, professional advisers and contractors, free access at all
reasonable times and on reasonable notice to:

 

(a)                                  inspect and take copies and extracts from its
books, accounts and records; and

 

(b)                                 to view the Security Assets (without becoming
liable as mortgagee in possession).

 

16.2                           The Chargor shall ensure that all Tax
liabilities which if unpaid would or might with the service of any notice or
otherwise have priority over this Security or require payment by the
Administrative Agent be paid and discharged when the same must be paid.

 

16.3                           The Chargor shall promptly inform the
Administrative Agent of the issue of any notice to any person under Section 1002
of the Taxes Consolidation Act 1997 in respect of amounts owing to the Chargor.

 

16.4                           The Chargor shall give five Business Days’
prior written notice to the Administrative Agent of its intention and promptly
notify the Administrative Agent of any intention on the part of any person of
which it becomes aware, to present a petition or analogous proceeding or
actions for the appointment of an examiner, liquidator or similar officer to,
or over the whole or any part of its assets or those of a Related Company of
the Chargor.

 

16.5                           Without prejudice to clauses 10.10 and
15.1(c) in the case of breach of any covenant, undertaking or agreement on
the part of the Chargor contained in this Deed, the Secured Parties may (but
shall not be obliged to) do whatever may be necessary to make good such breach
and all monies expended by the Secured Parties in so doing shall be paid by the
Chargor within three Business Days of demand and pending payment, that payment
will constitute part of the Secured Obligations.

 

17.                               WHEN SECURITY BECOMES
ENFORCEABLE

 

17.1                           At
any time on or after the Enforcement Date, this Security will become
immediately enforceable and the Secured Obligations will be deemed to have
become due and payable and the statutory power of sale will become exercisable.

 

27

 

17.2                           At
any time on or after the Enforcement Date, the Administrative Agent may in its
absolute discretion enforce all or any part of this Security in any manner it
sees fit and the power of sale and other powers conferred on mortgagees by the
Act shall apply to this Deed in each case as varied or amended by this
Deed.  Section 99 of the Act shall
not apply to this Deed and neither the Administrative Agent nor any Receiver
shall be obliged to take any steps to sell or lease the Security Assets or any
part thereof after going into possession of same and the Administrative Agent
and any Receiver shall have absolute discretion as to the time of exercise of
the power of sale and the power of leasing and all other powers conferred on
them by the Act or otherwise.

 

18.                               ENFORCEMENT OF SECURITY

 

18.1                           (a)                                The
power of sale and any other power conferred on a mortgagee by law as varied or
extended by this Deed will be immediately exercisable on or after the
Enforcement Date.  Any restriction
imposed by law (including under the Act) on the power of sale does not apply to
this Deed.

 

(b)                                 For the purposes of all powers implied by law,
the Secured Obligations are deemed to have become due and payable on the date
of this Deed but such power shall not be exercised by the Administrative Agent
until the Enforcement Date.

 

(c)                                  At any time on or after the Enforcement Date
the power of sale and all other powers conferred on mortgagees by law
(including by the Act) shall be exercisable immediately without any
requirement:

 

(i)                                     for the occurrence of any of the events
specified in Section 100(1) of the Act; or

 

(ii)                                  to give any notice to the Chargor specified in Section 100(1) of
the Act; or

 

(iii)                               to obtain the consent of the Chargor or a court
order authorising the exercise of the power of sale under Sections 100(2) or
100(3) of the Act; or

 

(iv)                              to give any notice to the Chargor under Section 103(2) of
the Act.

 

Section 94, 100 and 101 of the Act shall not apply to this Deed.

 

(d)                                 Any restriction imposed by law on the right of
a mortgagee to consolidate mortgages does not apply to this Security.

 

18.2                           At
any time on or after the Enforcement Date and without any requirement to obtain
the consent of the Chargor or an order for possession under Sections 97 or 98
of the Act, the Administrative Agent may without further notice or demand enter
into possession of the Security Assets or any part thereof.  The Administrative Agent shall not be obliged
to obtain the consent of the Chargor or an order for possession under Sections
97 or 98 of the Act in order to enter into possession of the Security Assets or
any part thereof.  The rights of the
Administrative Agent under this clause are without prejudice to and in addition
to any right of possession (express or implied) to which it is at any time
otherwise entitled (whether by virtue of this Deed, operation of law, contract
or otherwise).  For the avoidance of
doubt, Sections 97 and 98 of the Act shall not apply to this Deed.

 

18.3                           The
statutory powers of leasing conferred on the Administrative Agent and any
Receiver are extended so as to authorise the Administrative Agent and any
Receiver to lease, make arrangements for leases, accept surrenders of leases
and make agreements to accept surrenders of leases as it or he may think fit
and without any requirement to comply with any restrictions imposed by law
(including any provision of Section 112 to 114 of the Act).  

 

28

 

Without prejudice to the
generality of the foregoing the Administrative Agent and any Receiver may
exercise the statutory power to accept surrenders of leases conferred by the
Act for any purpose that it or he thinks fit and not merely for the purpose of
granting new leases under Section 112 of the Act and any new lease granted
by the Administrative Agent or any Receiver following the acceptance of  a surrender need not comply with the
requirements of Section 114(3) of the Act.

 

18.4                           Neither the Administrative Agent nor any
Receiver will be liable, by reason of entering into possession of a Security
Asset:

 

(a)                                  to account as mortgagee in possession or for
any loss on realisation or in connection with the Security Assets; or

 

(b)                                 for any default or omission for which a
mortgagee in possession might be liable.

 

18.5                           Each Receiver and the Administrative Agent is
entitled to all the rights, powers, privileges and immunities conferred by law
(including the Act) on mortgagees and receivers duly appointed under any law
(including the Act), but so that the power of sale and other powers by any law
(including the Act) shall be as varied and modified by this Deed.

 

18.6                           No person (including a purchaser) dealing with
the Administrative Agent or a Receiver or its or his agents will be concerned
to enquire:

 

(a)                                  whether any Secured Obligations have become
payable;

 

(b)                                 whether any power which the Administrative
Agent or a Receiver is purporting to exercise has become exercisable or is
being properly exercised;

 

(c)                                  whether any Secured Obligations or other money
remains due under the Loan Documents;

 

(d)                                 how any money paid to the Administrative Agent
or to that Receiver is to be applied; or

 

(e)                                  as to the status, propriety or validity of the
acts of the Administrative Agent or Receiver.

 

18.7                           Subject
to Clause 18.8, all the protections for purchasers contained in Sections 105,
106 and 108(5) of the Act shall apply to any person purchasing from, or
dealing with the Administrative Agent or any Receiver, delegate or sub-delegate
in like manner as if the statutory powers of sale and of appointing a Receiver
in relation to the Security Assets had not been varied or extended by this
Deed.

 

18.8                           No
purchaser from the Administrative Agent, any Receiver, delegate or sub-delegate
shall be entitled to rely on Section 105(2) which is disapplied by
this Deed.

 

18.9                           The receipt by the Administrative Agent or any
Receiver shall be an absolute and a conclusive discharge to a purchaser and
shall relieve him of any obligation to see to the application of any monies
paid to or by the direction of the Administrative Agent or any Receiver.

 

18.10                     (a)                                At any time on or after the Enforcement Date,
the Administrative Agent may:

 

(i)                                     redeem any prior Security Interest against any
Security Asset; and/or

 

(ii)                                  procure the transfer of that Security Interest
to itself; and/or

 

29

 

(iii)                               settle and pass the accounts of the prior
mortgagee, chargee or encumbrancer and any accounts so settled and passed will
be, in the absence of manifest error, conclusive and binding on the Chargor.

 

(b)                                 The Chargor shall pay to the Administrative
Agent, immediately on demand, the costs and expenses incurred by the
Administrative Agent in connection with any such redemption and/or transfer,
including the payment of any principal or interest.

 

19.                               RECEIVER

 

19.1                           (a)                                The Administrative Agent may appoint any one or
more persons to be a Receiver of all or any part of the Security Assets if:

 

(i)                                     this Security has become enforceable; or

 

(ii)                                  the Chargor so requests the Administrative
Agent in writing at any time.

 

(b)                                 Any appointment under Clause 19.1(a) above
may be made regardless of whether any of the events specified in paragraph (a) to
(c) of Section 108(1) of the Act have occurred, and whether or
not the Administrative Agent has entered into or takes possession of any of the
Security Assets or any part thereof.

 

(c)                                  Any appointment under paragraph (a) above
may be by deed, under seal or in writing under hand of any employee or agent of
the Administrative Agent.

 

19.2                           The Administrative Agent may by writing under
hand of any employee or agent of the Administrative Agent remove any Receiver
appointed by it and may, whenever it thinks fit, appoint a new Receiver in the
place of any Receiver whose appointment may for any reason have terminated.

 

19.3                           The Administrative Agent may fix the remuneration
of any Receiver appointed by it and any maximum rate imposed by any law
(including under Section 108(7) of the Act) will not apply.

 

19.4                           (a)                                  A Receiver will be deemed to be the agent of
the Chargor for all purposes.  The
Chargor is solely responsible for the remuneration, contracts, engagements,
acts, omissions, defaults and losses of a Receiver and for liabilities incurred
by a Receiver (but without prejudice to the Chargor’s remedies against the
Receiver in respect of the Receiver’s gross negligence or wilful default).

 

(b)                                 Neither the Administrative Agent nor any other
Secured Party will incur any liability (either to the Chargor or to any other
person) by reason of the appointment of a Receiver or for the actions or
inactions of any Receiver appointed in accordance with this Deed.

 

19.5                           The foregoing powers of appointment shall be in
addition to and not be to the prejudice of all statutory and other powers of
the Administrative Agent (or any Receiver appointed by it) under the Act and to
the fullest extent allowed by law, any right, power or discretion conferred by
this Deed (either expressly or impliedly) or by law on a Receiver may be
exercised by the Administrative Agent in relation to any Security Asset without
first appointing a Receiver or notwithstanding the appointment of a Receiver.

 

30

 

20.                               POWERS OF RECEIVER

 

20.1                           (a)                                  Any Receiver appointed hereunder shall have all
the rights, powers and discretions set out in this Deed in addition to those
conferred on him by any law including, without limitation, the Act.

 

(b)                                 If there is more than one Receiver holding
office at the same time, each Receiver may (unless the document appointing him
states otherwise) exercise all the powers conferred on a Receiver under this
Deed individually.

 

20.2                           A Receiver shall have the power to:

 

(a)                                  take immediate possession of, get in and
collect any Security Asset or any part of it in respect of which he is
appointed and to make such demands and take such proceedings as may seem
expedient for that purpose, and to take possession of the Security Assets over
which he is appointed with like rights;

 

(b)                                 carry on, manage, develop, reconstruct,
amalgamate or diversify or concur in carrying on, managing, developing,
reconstructing, amalgamating or diversifying any business of the Chargor in any
manner he thinks fit;

 

(c)                                  (i)                                     appoint and discharge managers, officers,
agents, professional advisers, consultants, servants, workmen employees and
others for the purposes of this Deed upon such terms as to remuneration or
otherwise as he thinks fit; and

 

(ii)                                  remove any person appointed by the Chargor;

 

(d)                                 raise and borrow money or incur any other
liability, either unsecured or on the security of any Security Asset either in
priority to this Security or otherwise and generally on any terms and for
whatever purpose he thinks fit;

 

(e)                                  grant rights, options or easements over,
dispose of, convert into money and realise any Security Asset by public auction
or private contract and generally in any manner and on any terms he thinks
fit.  The consideration for any such
transaction may consist of cash, debentures or other obligations, shares, stock
or other valuable consideration and any such consideration may be payable in a
lump sum or by instalments spread over any period he thinks fit.  Fixtures and/or Plant and Machinery may be
severed and sold separately from the property containing them without the
consent of the Chargor;

 

(f)                                    let, hire, lease, licence or grant any interest
in any Security Asset for any term and at any rent (with or without a premium)
he thinks fit and shall have the power to vary the terms, surrender or accept a
surrender of any lease or tenancy of any Security Asset on any terms which he
thinks fit (including the payment of money to a lessee or tenant on a
surrender);

 

(g)                                 (or require the directors of the Chargor to)
make calls conditionally or unconditionally upon the shareholders of the
Chargor in respect of any uncalled capital of the Chargor and enforce payment
of any call so made by action (in the name of the Chargor or the Receiver as he
may think fit) or otherwise;

 

(h)                                 sell and/or assign all or any of the book debts
in respect of which he is appointed in such manner, and generally on such terms
and conditions, as he thinks fit;

 

31

 

(i)                                     exercise in respect of any Security Asset all
voting or other powers or rights in such manner as he thinks fit;

 

(j)                                     purchase or acquire any land or any interest in
or right over land;

 

(k)                                  exercise on behalf of the Chargor, and without
the consent of or notice to the Chargor, all the powers conferred on a landlord
or a tenant by any legislation from time to time in force in any relevant
jurisdiction relating to rents or agriculture in respect of any part of the
Mortgaged Property;

 

(l)                                     exercise on behalf of the Chargor and in the
name of the Chargor all powers and rights of the Chargor relevant to and
necessary to effect the registration in the Land Registry of the fixed or
specific charge created on the registered land, of the crystallisation of the
floating charge and/or the appointment of a Receiver under this Deed;

 

(m)                               settle, adjust, refer to arbitration, allow
time for payment, compromise and arrange any claim, contract, account, dispute,
question or demand with or by any person who is or claims to be a creditor of
the Chargor or relating in any way to any Security Asset;

 

(n)                                 bring, prosecute, enforce, defend and abandon
any action, suit or proceedings both in his own name and in the name of the
Chargor in relation to any Security Asset which he thinks fit;

 

(o)                                 give a valid receipt for any monies and execute
any assurance or thing which may be proper or desirable for realising any
Security Asset;

 

(p)                                 form a Subsidiary of the Chargor, arrange for
such Subsidiary to trade or cease to trade as he sees fit, in his capacity as
shareholder and transfer to that Subsidiary any Security Asset and sell or
otherwise dispose of any such Subsidiary;

 

(q)                                 delegate his powers;

 

(r)                                    appoint managers, officers, servants, workmen
and agents for the purpose of exercising his powers as set out herein at such
salaries, for such periods and on such terms as he may determine;

 

(s)                                  enter into, abandon, perform, repudiate,
rescind, vary or cancel any contracts as he may think expedient;

 

(t)                                    lend money or advance credit to any customer of
the Chargor;

 

(u)                                 make substitutions of, or improvements to, the
Plant and Machinery as he may think expedient;

 

(v)                                 if he thinks fit, but without prejudice to the
indemnity in clause 22 (Expenses and
Indemnities), effect with any insurer any policy of insurance either
in lieu or satisfaction of, or in addition to, the insurances required to be
maintained under this Deed or the Credit Agreement and Section 110 of the
Act shall be modified accordingly;

 

(w)                               make such election for VAT purposes as he
thinks fit;

 

(x)                                   run the tax affairs of the Chargor in any
manner he thinks fit;

 

32

 

(y)                                 conduct and complete all investigations,
studies, sampling and testing and all remedial, removal and other actions,
whether required under Environmental Law or by the Administrative Agent or
otherwise and comply with all lawful orders and directives of all authorities
regarding Environmental Laws;

 

(z)                                   take all steps necessary to effect all
registrations, renewals, applications and notifications as he thinks fit to
maintain in force or protect any Intellectual Property;

 

(aa)                            redeem any prior Security Interest and to
settle and pass the accounts to which that Security Interest relates.  Any accounts so settled and passed shall be
conclusive and binding on the Chargor, and the moneys so paid shall be deemed
to be an expense properly incurred by him;

 

(bb)                          (i)                                     effect any repair or insurance and do any other
act which the Chargor might do in the ordinary conduct of its business to
protect or improve any Security Asset;

 

(ii)                                  commence and/or complete any building
operation;

 

(iii)                              arrange for or provide all services which may
be deemed proper for the efficient use or management of the Security Assets;
and

 

(iv)                              apply for and maintain any planning permission,
building regulation approval or any other authorisation,

 

in each case as he thinks fit; and

 

(cc)                            (i)                                     do all other acts and things which he may
consider desirable or necessary for realising any Security Asset or incidental
or conducive to any of the rights, powers or discretions conferred on a
Receiver under or by virtue of this Deed or by law;

 

(ii)                                  exercise in relation to any Security Asset all
the powers, authorities and things which he would be capable of exercising if
he were the absolute beneficial owner of that Security Asset; and

 

(iii)                               use the name of the Chargor when exercising any
of the rights, powers or discretions conferred on the Receiver under or by
virtue of this Deed or by law.

 

20.3                           Any exercise of any of the rights, powers and
discretions by the Receiver in this clause 20 may be on behalf of the
Chargor, the directors of the Chargor (in the case of clause 20.2(g)) or
himself.

 

20.4                           The Administrative Agent and each Receiver is
entitled to all the rights, powers, privileges and immunities conferred by the
Act on mortgagees and Receivers save as varied and modified by this Deed.

 

21.                                 APPLICATION OF
PROCEEDS

 

21.1                           Unless otherwise determined by the
Administrative Agent, any monies received by the Administrative Agent or a
Receiver after this Security has become enforceable shall be applied by the
Administrative Agent in the following order of priority:

 

(a)                                  in
or towards the payment for all costs and expenses incurred by the
Administrative Agent or any Secured Party or any Receiver under or in
connection with this Deed and of all remuneration due to a Receiver under or in
connection with this Deed;

 

33

 

(b)                                 in payment to the
Administrative Agent for application toward the balance of the Secured
Obligations;

 

(c)                                  in
payment of any surplus to the Chargor or other person entitled to it.

 

21.2                         This clause is subject to the payment of any
claims having priority over this Security and to the terms of the Intercreditor
Agreement.

 

21.3                         Section 106(3), Section 107 and Section 109
of the Act shall not apply to the application of any monies received or
realised under the powers conferred by this Deed.

 

22.                                 EXPENSES AND
INDEMNITY

 

22.1                           The Chargor shall promptly on demand pay the
Administrative Agent the amount of all reasonable costs and expenses (including
legal fees) incurred by any of the Secured Parties in connection with the
negotiation, preparation, printing and execution of this Deed.

 

22.2                           If the Chargor requests an amendment, waiver or
consent the Chargor shall, within three Business Days of demand, reimburse the
Administrative Agent for the amount of all reasonable costs and expenses
(including legal fees) incurred by the Administrative Agent and by any Receiver
or Delegate in responding to, evaluating, negotiating or complying with that
request.

 

22.3                           The Chargor shall, within three Business Days
of demand, pay to the Administrative Agent the amount of all costs and expenses
(including legal fees) incurred by it or any Receiver or Delegate in connection
with the enforcement of, or the preservation of any rights under, this Deed and
any proceedings instituted by or against the Administrative Agent as a
consequence of taking or holding this Security or enforcing these rights
including, in each case, arising from any actual or alleged breach by any
person of any law or regulation, whether relating to the environment or
otherwise.

 

22.4                           The Chargor shall:

 

(a)                                  keep each of the Administrative Agent, the
other Secured Parties, any Receiver or any Delegate indemnified against any
failure or delay in paying the costs and expenses specified in
clauses 22.1 to 22.3; and

 

(b)                                 keep indemnified each and every Secured Party,
any Receiver or any Delegate for all losses or charges incurred (including,
without limitation, under any indemnity given by such Secured Party (or on its
behalf) to any Receiver or Delegate or to any other person) in connection with
the actual or alleged failure by the Chargor to comply with this Deed, the
preservation of any rights under this Deed or the enforcement of any Security.

 

22.5                           Each Party acknowledges that the Administrative
Agent takes the benefit of the indemnity in clause 22.4 for itself and as
trustee for each other Secured Party, each Receiver and each Delegate.

 

23.                                 DELEGATION

 

23.1                           The Administrative Agent or any Receiver may
delegate by power of attorney or in any other manner to any person any right,
power or discretion exercisable by it under this Deed.

 

23.2                           Any such delegation may be made upon any terms
(including power to sub-delegate) which the Administrative Agent or any
Receiver may think fit.

 

34

 

23.3                           Neither the Administrative Agent nor any
Receiver will be in any way liable or responsible to the Chargor for any loss
or liability arising from any act, default, omission or misconduct on the part
of any Delegate or sub-delegate.

 

24.                                 POWER OF ATTORNEY

 

24.1                           The Chargor, by way of security, irrevocably
appoints the Administrative Agent, each Receiver and each of their respective
Delegates and sub-delegates and each of them jointly and also severally to be
the attorney of the Chargor (with full powers of substitution and delegation),
in its name or otherwise and on its behalf and as its act and deed to:

 

(a)                                  sign, seal, execute, deliver and perfect and do
all deeds, instruments, acts and things which the Chargor may or ought to do
under the covenants and provisions in this Deed (or which the
Administrative Agent or any Receiver appointed under this Deed shall consider
requisite) at any time for carrying out any obligation imposed on the Chargor
by or pursuant to Clause 25 or at any time that an Event of Default under the
Credit Agreement has occurred and is continuing for carrying out any obligation
imposed on the Chargor by or pursuant to this Deed (including but not limited
to the obligations of the Chargor under Clause 25);

 

(b)                                 generally in its name and on its behalf to
exercise all or any of the powers, authorities and discretions conferred by or
pursuant to this Deed or by any statute, or common law on the Administrative
Agent or any Receiver or which may be required or which the Administrative
Agent or any Receiver shall deem fit for carrying any sale, lease, charge,
mortgage or dealing by the Administrative Agent or any Receiver into effect or
for giving to the Administrative Agent or any Receiver the full benefit of
these presents; and

 

(c)                                  generally to use its name in the exercise of
all or any of the powers, authorities or discretions conferred on the Administrative
Agent or any Receiver

 

(provided that the
acts set out in (a), (b) and (c) above shall not be performed unless
an Event of Default under the Credit Agreement has occurred and is
continuing.).

 

24.2                         The Chargor ratifies and confirms and agrees to
ratify and confirm whatsoever any such attorney referred to in clause 24.1
shall do or purport to do by virtue of this clause 24 and all monies expended
by any such attorney shall be deemed to be expenses incurred by the
Administrative Agent under this Deed.

 

25.                                 FURTHER ASSURANCES

 

The Chargor shall, at its own expense, take whatever action the
Administrative Agent or a Receiver may require for:

 

(a)                                  creating, perfecting, maintaining or protecting
security intended to be created by or pursuant to this Deed or over any asset
of the Chargor referred to in this Deed;

 

(b)                                 after this Security has become enforceable,
facilitating the realisation of any Security Asset;

 

(c)                                  facilitating the exercise of any right, power
or discretion exercisable by the Administrative Agent or any Receiver or any of
their respective Delegates or sub-delegates in respect of any Security Asset;
or

 

35

 

(d)                                 creating and perfecting security in favour of
the Administrative Agent (equivalent to the security intended to be created by
this Deed) over any assets of the Chargor located in any jurisdiction outside
Ireland.

 

This includes:

 

(e)                                  the re-execution of this Deed;

 

(f)                                    the execution of any legal mortgage, charge,
transfer, conveyance, assignment or assurance of any property, whether to the
Administrative Agent or to its nominee; and

 

(g)                                 the giving of any notice, order or direction
and the making of any filing or registration,

 

provided that in no event shall the Chargor be required to enter into
any document that is prepared under and governed by the laws of any
jurisdiction other than the Collateral Jurisdictions or to take any action to
perfect the Security except as necessary under the laws of Ireland in order to
perfect this Security.

 

26.                                 PRESERVATION OF
SECURITY

 

26.1                           This Security is a continuing security and will
extend to the ultimate balance of the Secured Obligations, regardless of any
intermediate payment or discharge in whole or in part.

 

26.2                           If any payment by the Chargor or any discharge,
release or settlement given by a Secured Party (whether in respect of the
obligations of the Chargor or any security for those obligations or otherwise)
is avoided, adjusted or reduced as a result of insolvency:

 

(a)                                  the liability of the Chargor will continue as
if the payment, discharge, release, settlement, avoidance, adjustment or
reduction had not occurred;

 

(b)                                 the Administrative Agent for the benefit of
each Secured Party shall be entitled to recover the value or amount of that
security or payment from the Chargor, as if the payment, discharge, release,
settlement, avoidance, adjustment or reduction had not occurred; and

 

(c)                                  the Administrative Agent shall be entitled to
enforce this Deed subsequently as if such payment, discharge, release,
settlement, avoidance, adjustment or reduction had not occurred and any such
payment had not been made.

 

26.3                           The obligations of the Chargor under this Deed
will not be affected by any act, omission, matter or thing which, but for this
clause 26.3, would reduce, release or prejudice any of its obligations
under this Deed or prejudice or diminish those obligations in whole or in part,
(whether or not known to it or any Secured Party) including:

 

(a)                                  any time, waiver, consent, indulgence or
concession granted to, or composition with, the Chargor, any of the other Loan
Parties or any other person; or

 

(b)                                 the release of the Chargor, any of the other
Loan Parties or any other person under the terms of any composition or
arrangement with any creditor of the Chargor or other person; or

 

(c)                                  the taking, variation, compromise, exchange,
renewal or release of, or refusal or neglect to perfect, take up or enforce,
any rights against, or security over assets of, the Chargor or other person or
any non-presentation or non-observance of any 

 

36

 

formality
or other requirement in respect of any instrument or any failure to realise the
full value of any security; or

 

(d)                                 the issuing, confirming, renewing, determining,
varying or increasing of any negotiable instrument in any manner whatsoever; or

 

(e)                                  any incapacity or lack of power, authority or
legal personality of or dissolution or change in the members or status or
constitution of the Chargor or any other person; or

 

(f)                                    any amendment, extension (whether of maturity
or otherwise), restatement (in each case, however fundamental and of whatsoever
nature) or replacement of any Loan Document or any other document or security
or change in the terms of the Secured Obligations including any change in the
purpose of, any extension of or any increase in any facility or the addition of
any new facility under any Loan Document or other document or security; or

 

(g)                                 any unenforceability, illegality, invalidity or
non-provability of the Secured Obligations or any indebtedness or obligation of
the Chargor or other person under any Loan Document or any other document or
security; or

 

(h)                                 any insolvency or similar proceedings; or

 

(i)                                     any merger or amalgamation (howsoever effected)
relating to the Chargor or any other person; or

 

(j)                                     any judgment obtained against the Chargor; or

 

(k)                                  any act, event or omission which but for this
provision would or might operate to impair, discharge or otherwise affect the
obligations of the Chargor under this Deed.

 

26.4                         Without prejudice to the generality of clause
26.3, the Chargor expressly confirms that it intends that this Deed shall
extend from time to time to any variation, increase, extension or addition
(howsoever fundamental and of whatsoever nature and whether or not more
onerous) of or to any of the Loan Documents and/or any facility or amount made
available under any of the Loan Documents including for the purposes of or in
connection with any of the following: acquisitions of any nature; increasing
working capital; enabling investor distributions to be made; carrying out
restructurings; refinancing existing facilities; refinancing any other
indebtedness; making facilities available to new borrowers; any other variation
or extension of the purposes for which any such facility or amount might be
made available from time to time; and any fees, costs and/or expenses
associated with any of the foregoing.

 

26.5                         The Chargor waives any right it may have of
first requiring the Administrative Agent or any other Secured Party (or any
trustee or agent on its behalf) to make demand upon, proceed against or enforce
any other right or security or claim payment from any person or make or file
any proof or claim in any insolvency proceedings relative to any other person
before claiming from the Chargor under this Deed.  This waiver applies irrespective of any law
or any provision of a Loan Document to the contrary.

 

26.6                         During the Security Period the Administrative
Agent may:

 

(a)                                  refrain from applying or enforcing any other
monies, security or rights held or received by the Administrative Agent (or any
trustee or agent on its behalf) in respect of the Secured Obligations, or apply
and enforce the same in such manner 

 

37

 

and
order as it sees fit (whether against the Secured Obligations or otherwise) and
the Chargor shall not be entitled to the benefit of the same; and

 

(b)                                 hold in an interest-bearing suspense account
any monies received from the Chargor or on account of the Chargor’s liability
under this Deed.

 

26.7                         If this Security is enforced at a time when no
amount is due under the  Loan
Documents but at a time when amounts may or will become due, the Administrative
Agent (or the Receiver) may pay the proceeds of any recoveries effected by it
into such number of interest-bearing suspense accounts as it considers
appropriate.

 

26.8                         The Administrative Agent shall be entitled to
retain this Deed after as well as before payment or discharge of the Secured
Obligations for such period as the Administrative Agent may determine.

 

26.9                         During the Security Period, unless the
Administrative Agent otherwise directs, the Chargor shall not, after a claim
has been made or by virtue of any payment or performance by it under this Deed:

 

(a)                                  be subrogated to any rights, security or monies
held, received or receivable by any Secured Party (or any trustee or agent on
its behalf);

 

(b)                                 be entitled to any right of contribution or
indemnity in respect of any payment made or monies received on account of the
Chargor’s liability under this clause.

 

The Chargor shall hold in trust for and shall immediately pay or
transfer to the Administrative Agent for the Secured Parties or in accordance
with any directions given by the Administrative Agent under this clause any
payment or distribution or benefit of security received by it contrary to this
clause.

 

26.10                   This Deed is in addition to and shall not merge with or otherwise
prejudice or affect any contractual or other right or remedy or any other guarantee
or security for the Secured Obligations or any of them which are now or may
hereafter be held by any Secured Party whether from the Chargor or otherwise.

 

26.11                   The Chargor shall not, without the prior consent of the Administrative
Agent, hold any security from any other party in respect of the Chargor’s
liability under this Deed.  The Chargor
will hold any security held by it in breach of this provision on trust for the
Administrative Agent and shall immediately transfer the same to the
Administrative Agent or as the Administrative Agent may direct.

 

26.12                   The Chargor waives any present or future right of set-off it may have
in respect of its Secured Obligations (including sums payable by the Chargor
under this Deed).

 

26.13                   None of the Administrative Agent, its nominee(s) or any Receiver
or Delegate shall be liable by reason of:

 

(a)                                  taking any action permitted by this Deed; or

 

(b)                                 any neglect or default in connection with the
Security Assets; or

 

(c)                                  taking possession of or realising all or any
part of the Security Assets.

 

27.                                 SET-OFF

 

The Chargor
hereby agrees that each Secured Party may at any time without notice and
notwithstanding any settlement of account or other matter whatsoever:

 

38

 

(a)                                  combine
or consolidate all or any of the Chargor’s then existing accounts wheresoever
located (including accounts in the name of the Secured Parties or of the
Chargor jointly with others) whether such accounts are current, deposit, loan
or of any other nature whatsoever, whether they are subject to notice or not
and whether they are denominated in euro or in any other currency; and/or

 

(b)                                 after
the occurrence of an Event of Default set-off or transfer any sum standing to
the credit of any one or more such accounts in or towards the satisfaction of
any Secured Obligations of the Chargor, whether such liabilities be present,
future, actual or contingent, primary or collateral, several or joint or
matured or not.

 

Where such
combination, set-off or transfer requires the conversion of one currency into
another, such conversion shall be calculated at the then prevailing spot rate
of exchange of the relevant Secured Party (as conclusively determined by that
Secured Party) for purchasing the currency required with the other currency.

 

28.                               MISCELLANEOUS

 

28.1                           (a)                                  If any subsequent charge or other Security
Interest (other than a Permitted Encumbrance) or any expropriation, attachment,
sequestration, distress or execution (or analogous process) affects any
Security Asset, any Secured Party may open a new account with the Chargor.

 

(b)                                 If a Secured Party does not open a new account,
it will nevertheless be deemed to have done so at the time when it received or
was deemed to have received notice of that charge or other interest.

 

(c)                                  As from that time all payments made to that
Secured Party will be credited or will be deemed to be credited to the new
account and will not operate to reduce any Secured Obligation.

 

28.2                         Without prejudice to any right of set-off any
Secured Party may have under this Deed, any Loan Document or otherwise, if any
time deposit matures on any account the Chargor has with any Secured Party
within the Security Period when:

 

(a)                                  this Security has become enforceable; and

 

(b)                                 no Secured Obligation is due and payable,

 

that time deposit will automatically be renewed for any further
maturity which that Secured Party in its absolute discretion considers
appropriate unless that Secured Party otherwise agrees in writing.

 

28.3                           (a)                                  To the extent that the assets mortgaged or
charged under this Deed constitute “financial collateral” and this Deed and the
obligations of the Chargor under this Deed constitute a “security financial
collateral arrangement” (in each case for the purpose of and as defined in the
European Communities (Financial Collateral) Regulations 2004 (S.I. No. 1
of 2004) (the “Regulations”)) the
Administrative Agent shall have the right after this Security has become
enforceable to appropriate all or any part of that financial collateral in or
towards the satisfaction of the Secured Obligations.

 

(b)                                 For the purpose of paragraph (a) above,
the parties agree that the value of the financial collateral so appropriated
shall be the market value of that financial collateral determined reasonably by
the Administrative Agent by reference to a public index or by such other
process as the Administrative Agent may select, 

 

39

 

including
independent valuation.  The parties
further agree that the method of valuation provided for in this Deed shall
constitute a commercially reasonable method of valuation for the purposes of
the Regulations.

 

28.4                           If, at any time, any provision of this Deed is
or becomes illegal, invalid or unenforceable in any respect under the law of any
jurisdiction, neither the legality, validity or enforceability of the remaining
provisions nor the legality, validity or enforceability of such provision under
the law of any other jurisdiction will in any way be affected or impaired and,
if any part of the security intended to be created by or pursuant to this Deed
is invalid, unenforceable or ineffective for any reason, that shall not affect
or impair any other part of the security.

 

28.5                         The
obligations of the Chargor under this Deed shall be enforceable
notwithstanding:

 

(a)                                  any
reconstruction, reorganisation or change in the constitution of any Secured
Party;

 

(b)                                 the
acquisition of all or any part of the undertaking of any Secured Party by any
other person; or

 

(c)                                  any
merger or amalgamation (however effected) relating to any Secured Party,

 

and references to
any Secured Party shall be deemed to include any person who, under the laws of
its jurisdiction of incorporation, domicile or other relevant applicable law
has assumed the rights and obligations of such Secured Party under this Deed or
to which under such laws the same have been transferred.

 

29.                               LITIGATION

 

In any litigation
relating to this Deed or any security given by the Chargor, the Chargor
irrevocably waives the right to interpose any defence based upon any statute of
limitations or any claim of laches or set-off or counter-claim of any nature or
description.

 

30.                               ENTRIES IN ACCOUNTS

 

In any
proceedings arising out of or in connection with this Deed, the entries made in
the accounts maintained by the Administrative Agent are prima facie evidence of the matters to
which they relate.

 

31.                               CERTIFICATES AND DETERMINATIONS

 

Any certification
or determination by the Administrative Agent of a rate or amount under this
Deed is, in the absence of manifest error, conclusive evidence of the matters
to which it relates.

 

32.                               REMEDIES AND WAIVERS

 

32.1                           No
failure to exercise, nor any delay in exercising, on the part of any Secured
Party, any right or remedy under this Deed shall operate as a waiver, nor shall
any single or partial exercise of any right or remedy prevent any further or
other exercise or the exercise of any other right or remedy.  The rights and remedies provided in this Deed
are cumulative and not exclusive of any rights or remedies provided by law.

 

32.2                           Any
waiver or consent by the Administrative Agent under this Deed must be in
writing and may be given subject to any conditions thought fit by the
Administrative Agent. Any waiver or consent shall only be effective in the
specific instance and for the purpose for which it is given. Neither this Deed
nor any provision hereof may be waived, amended or modified except pursuant to
an agreement in writing between the Administrative Agent and the 

 

40

 

Chargor and subject to any
consent required in accordance with Section 9.02 of the Credit Agreement.

 

33.                                 ASSIGNMENT

 

33.1                         This
Deed shall be binding upon and ensure to the benefit of each party hereto and
its successors and permitted assigns.

 

33.2                         The
Chargor may not assign or transfer or enter into any trust arrangement with any
third party in respect of any of its rights, benefits and/or obligations under
this Deed.

 

33.3                         The
Administrative Agent may assign or transfer all or any of its rights and/or obligations
under this Deed to any person in accordance with the terms of Section 9.04
of the Credit Agreement without the consent of the Chargor.  The Administrative Agent will be entitled to
disclose any information concerning the Chargor to any proposed assignee,
transferee or successor in title to the extent permitted by the Credit
Agreement.

 

34.                                 VARIATION

 

34.1                         This
Deed may not be amended or waived except by an instrument in writing signed by
a duly authorised officer or representative of the Administrative Agent and the
Chargor.

 

34.2                         Each
of the parties to this Deed agrees that there are no oral understandings
between any Secured Party and the Chargor in any way varying, contradicting or
amplifying the terms of this Deed.

 

34.3                         This
Deed supersedes all prior representations, arrangements, understandings and
agreements and sets forth the entire, complete and exclusive agreement and
understanding between the parties as to the matters provided for in this Deed.

 

35.                                 RELEASE

 

35.1                         This
Deed and the security interest created in the Security Assets shall terminate
when all the Secured Obligations have been paid or discharged in full in cash
and the Lenders have no further commitment to provide the Loans under the
Credit Agreement, the LC Exposure has been reduced to zero and the Issuing
Banks have no further obligation to issue Letters of Credit.

 

35.2                         Without prejudice to the generality of the
foregoing, upon any sale or other transfer by the Chargor of any Security Asset
that is permitted under the Credit Agreement to any Person that is not a
Guarantor, or upon the effectiveness of any written consent to the release of
the security interest granted hereby in any Security Asset pursuant to Section 9.02
of the Credit Agreement, the security interest in such Security Asset shall be
automatically released.

 

35.3                         Subject to clause 26 (Preservation of Security), at the end of
the Security Period, the Administrative Agent shall, at the request and cost of
the Chargor, take whatever action is reasonably necessary to release, reconvey
or re-assign the Security Assets to the Chargor.

 

36.                                 NOTICES AND DEMANDS

 

36.1                         Any
communication to be made under or in connection with this Deed shall be made in
writing and, unless otherwise stated, may be made by fax or letter.

 

36.2                         The
address and fax number (and the department or officer, if any, for whose
attention the communication is to be made) of each Party for any communication
or document to be made or delivered under or in connection with this Deed is:

 

41

 

(a)                                  in
the case of the Chargor, that identified with its name below;

 

(b)                                 in
the case of the Administrative Agent, that identified with its name below,

 

or any substitute
address, fax number or department or officer as the Chargor may notify to the
Administrative Agent (or the Administrative Agent may notify to the Chargor, if
a change is made by the Administrative Agent) by not less than five Business
Days’ notice.

 

36.3                         Any
communication or document made or delivered by one person to another under or
in connection with this Deed will be effective only:

 

(a)                                  if
by way of fax, when received in legible form during normal business hours; or

 

(b)                                 if
by way of letter, when it has been left at the relevant address or five Business
Days after being deposited in the post postage prepaid in an envelope addressed
to it at that address.

 

36.4                         Any
communication or document to be made or delivered to the Administrative Agent
will be effective only when actually received by the Administrative Agent and
then only if it is expressly marked for the attention of the department or
officer identified with the Administrative Agent’s signature below (or any
substitute department or officer as the Administrative Agent shall specify for
this purpose).

 

37.                                 COUNTERPARTS

 

This Deed may be executed in any number of counterparts and all of
those counterparts taken together shall be deemed to constitute one and the
same instrument.

 

38.                                 LAW AND JURISDICTION

 

38.1                         This Deed shall be governed by and construed in
accordance with the laws of Ireland.

 

38.2                         The courts of Ireland have exclusive
jurisdiction to settle any dispute arising out of or in connection with this
Deed (including a dispute regarding the existence, validity or termination of
this Deed or any non-contractual obligation arising out of or in connection
with this Deed) (a “Dispute”).

 

38.3                         The Parties agree that the Courts of Ireland
are the most appropriate and convenient courts to settle Disputes and
accordingly no Party will argue to the contrary.

 

38.4                         This clause 38 is for the benefit of the
Secured Parties only.  As a result, no
Secured Party shall be prevented from taking proceedings relating to a Dispute
in any other courts with jurisdiction. 
To the extent allowed by law, the Secured Parties may take concurrent
proceedings in any number of jurisdictions.

 

THIS
DEED has been executed and
delivered as a deed on the date stated at the beginning of this Deed.

 

42

 

SCHEDULE 1

 

Forms
of Letter for Security Accounts

 

Part 1
— Notice to Account Bank

 

To:          [Insert name of
Account Bank]

 

Copy:     [Insert name of
Administrative Agent]

 

Date:

 

Dear Sirs,

 

Debenture dated [ · ] between [insert name of Chargor] and [insert name of Administrative Agent]  (the “Debenture”)

 

This letter constitutes notice to you that under the Debenture [insert name of
Chargor] (the “Chargor”)
has [assigned/charged (by way of a first
fixed charge)] in favour of [insert name of Administrative Agent]
as trustee for the Secured Parties referred to in the Debenture (the “Administrative Agent”) as first priority [assignee/chargee] all of its rights in
respect of any amount standing to the credit of any account maintained by the
Chargor with you and detailed below (the “Security
Accounts”) and the debts represented by the Security Accounts.

 

“Security Accounts” means [detail accounts].

 

Upon the occurrence of an Event of Default under the Debenture which is
continuing and the issuance of a notice to this effect by the Administrative
Agent to you (a “Default Notice”)
the Chargor irrevocably instructs and authorises you to:

 

(a)                                  disclose to the Administrative Agent any
information relating to any Security Account requested from you by the
Administrative Agent;

 

(b)                                 comply with the terms of any written notice or
instruction relating to any Security Account received by you from the
Administrative Agent;

 

(c)                                  hold all sums standing to the credit of any
Security Account to the order of the Administrative Agent;

 

(d)                                 pay or release any sum standing to the credit
of any Security Account in accordance with the written instructions of the
Administrative Agent; and

 

(e)                                  pay all sums received by you for the account of
the Chargor to the credit of a Security Account.

 

The Chargor is not permitted to withdraw any amount from any Security
Account other than in accordance with clause 13.2(a) of the Debenture
which permits the Chargor to withdraw amounts prior to the Enforcement Date.

 

The Chargor acknowledges that you may comply with the instructions in
this letter without any further permission from it and without any enquiry by
you as to the justification for or validity of any request, notice or
instruction.

 

The instructions in this letter may not be revoked or amended without
the prior written consent of the Administrative Agent.

 

43

 

This letter or any non-contractual obligation arising out of or in
connection with this letter is governed by the laws of Ireland.

 

Please send to the Administrative Agent at [ · ] with a copy to the Chargor the attached
acknowledgement confirming your agreement to the above and giving the further
undertakings set out in the acknowledgement.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Authorised signatory)

  	
   

  
	
   

  	
   

  
	
  For [Insert name of
  Chargor]

  	
   

  

 

44

 

Part 2
— Acknowledgement of Account Bank

 

To:          [Insert name of
Administrative Agent]

 

Date:

 

Dear Sirs,

 

Debenture dated [ · ] between [insert name of Chargor] and [insert name of Administrative Agent] (the “Debenture”)

 

We confirm receipt from [insert name of Chargor] (the “Chargor”) of a notice dated [ · ] of [an
assignment / a charge] upon the terms of the Debenture over all the
rights of the Chargor to any amount standing to the credit of any of its accounts
with us specified in the notice (the “Security
Accounts”).

 

We confirm that we:

 

(a)           accept the
instructions contained in the notice and agree to comply with the notice;

 

(b)           have not received
notice of the interest of any third party in any Security Account;

 

(c)                                  have neither claimed nor exercised, nor will
claim or exercise, any security interest, set-off, counter-claim, lien or other
right in respect of any Security Account;

 

(d)                                 will not permit any amount to be withdrawn from
any Security Account; and

 

(e)                                  will pay all sums received by us for the
account of the Chargor to a Security Account.

 

Nothing contained in any of our arrangements with you shall commit us
to providing any facilities or making advances available to the Chargor.

 

This letter or any non-contractual obligation arising out of or in
connection with this letter is governed by the laws of Ireland.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Authorised signatory)

  	
   

  
	
   

  	
   

  
	
  For [Insert name of
  Account Bank]

  	
   

  

 

45

 

SCHEDULE
2

 

Forms
of Letter for Insurances

 

Part 1
— Form of Notice of Assignment

 

(for
attachment by way of endorsement to the insurance policies)

 

To:          [Insert name of Insurer]

 

Copy:     [Insert name of Administrative Agent]

 

Date:

 

Dear Sirs,

 

Debenture
dated [ · ] between [insert name of Chargor] and [insert name of Administrative Agent] (the “Debenture”)

 

This letter
constitutes notice to you that under the Debenture, [insert name of Chargor]
(the “Chargor”) has assigned in
favour of [insert
name of Administrative Agent] as trustee for the Secured
Parties referred to in the Debenture (the “Administrative
Agent”) as first priority assignee all amounts payable to it under
or in connection with any contract of insurance of whatever nature taken out with
you by or on behalf of it or under which it has a right to claim (each an “Insurance”) and all of its rights in
connection with those amounts.

 

A reference in this
letter to any amounts excludes all amounts received or receivable under or in
connection with any third party liability Insurance and required to settle a
liability of the Chargor to a third party.

 

The Chargor confirms
that:

 

(a)                                  it will remain liable under [the / each] Insurance to perform all the
obligations assumed by it under [the / that]
Insurance; and

 

(b)                                 none of the Administrative Agent, its agents,
any receiver or any other person will at any time be under any obligation or
liability to you under or in respect of [the
/ any] Insurance.

 

(c)                                  upon the occurrence of an Event of Default under
the Debenture which is continuing and the issuance of a notice to this effect
by the Administrative Agent to you (a “Default
Notice”) all amounts payable to the Chargor under [the / each] Insurance will be paid to the
Administrative Agent at:

 

	
  Bank:

  	
   

  	
  [ · ]

  
	
  Account Number:

  	
   

  	
  [ · ]

  
	
  Account Name:

  	
   

  	
  [ · ]

  
	
  Sort Code:

  	
   

  	
  [ · ]

  

 

or
such other account as the Administrative Agent may specify from time to time;
and

 

(d)                                 upon the issuance of a Default Notice any
rights of the Chargor in connection with those amounts will be exercisable by,
and notices must be given to, the Administrative Agent or as it directs.

 

Subject to the above, the Chargor will also remain entitled to exercise
all of its rights under [the / each]
Insurance and you should continue to give notices under [the / each] Insurance to the Chargor,
unless and 

 

46

 

until you receive such a Default Notice from the Administrative Agent
to the contrary stating that the Security has become enforceable.

 

The instructions in
this letter may not be revoked or amended without the prior written consent of
the Administrative Agent.

 

Please note on the
relevant contracts the Secured Parties’ interest as sole loss payee and the
Administrative Agent’s interest as first priority assignee of those amounts and
rights and send to the Administrative Agent at [ · ] with a copy to the Chargor the attached
acknowledgement confirming your agreement to the above and giving the further
undertakings set out in the acknowledgement.

 

The Chargor
acknowledges that you may comply with the instructions in this letter without
any further permission from it and without any enquiry by you as to the
justification for or validity of any request, notice or instruction.

 

This letter or any non-contractual
obligation arising out of or in connection with this letter is governed by the
laws of Ireland.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  [Insert name of Chargor]

  	
   

  

 

47

 

Part 2
— Form of Letter of Undertaking

 

To:          [Insert name of Administrative Agent]

 

Date:

 

Dear Sirs,

 

Debenture
dated [ · ] between [insert name of Chargor] and [insert name of Administrative Agent] (the “Debenture”)

 

We confirm receipt
from [insert
name of Chargor] (the “Chargor”)
of a notice dated [ · ] of an assignment by the Chargor upon the terms
of the Debenture of all amounts payable to it under or in connection with any
contract of insurance of whatever nature taken out with us by or on behalf of
it or under which it has a right to claim (each an “Insurance”) and all of its rights in connection with those
amounts.

 

Terms used in this
letter that are not defined in this letter have the same meaning in this letter
as in the Debenture.

 

A reference in this
letter to any amounts excludes all amounts received or receivable under or in
connection with any third party liability Insurance and required to settle a
liability of the Chargor to a third party.

 

In consideration of
your agreeing to the Chargor continuing its insurance arrangements with us we:

 

1.                                       accept the instructions contained in the notice
and agree to comply with the notice;

 

2.                                       confirm that we have not received notice of the
interest of any third party in those amounts and rights;

 

3.                                       will not agree to any amendment, waiver or release
of any provision in [the / each of those]
contract[s] without the prior
written consent of the Administrative Agent;

 

4.                                       undertake to note on [the / each of those] contract[s] the interest of the Secured Parties as sole loss payee and
the interest of the Administrative Agent as first priority assignee of those
amounts and rights;

 

5.                                       undertake to name on [the / each of those] contract[s] (other than the third party liability Insurances and the
employer’s liability Insurances) the Administrative Agent as co-insured for
their separate interests [and to note the
Administrative Agent  as
indemnified party under the Indemnity to Principals clause on [all / each of
the] third party liability Insurances and employer’s liability Insurances];

 

6.                                       upon the issuance of a Default Notice,
undertake to pay all amounts under [the /
each of those] contract[s]
to the Administrative Agent at the account specified in the notice or such
other account as the Administrative Agent may specify from time to time;

 

7.                                       undertake to disclose to you without any
reference to or further authority from the Chargor any information relating to [the / each of those] contract[s] which you may at any time request;

 

8.                                       undertake that [the / each of those] contract[s] shall contain (i) a non invalidation clause whereby [the / each of those] contract[s] shall not be vitiated or avoided as
against the Administrative Agent in the event or as a result of any fraud,
misrepresentation, or neglect or failure to make disclosure on the part of the
Chargor, any tenant or other insured party or breach of any warranty or
condition of the insurance policy, in any circumstances beyond the control of
the Administrative Agent; (ii) a 

 

48

 

waiver
of all rights of subrogation against the Administrative Agent and the Chargor; (iii) terms
providing that [the / each of those]
contract[s] shall not be
invalidated so far as the Administrative Agent is concerned for failure to pay
any premium due without the insurer first giving to the Administrative Agent
not less than 30 days’ written notice; (iv) terms providing that we shall
give the Administrative Agent not less than 30 days’ written notice of any
cancellation or non renewal of insurances and in the case of non renewal,
subject to payment being made by or on behalf of the Secured Parties of the pro
rata amount of the premium for such 30 day notice period.

 

9.                                       undertake to notify you of any breach by the
Chargor of [the / each of those]
contract[s] of which it is aware
and to allow you or any of the other Secured Parties to remedy any breach of [the / each of those] contract[s]; and

 

10.                                 confirm that we have neither claimed nor
exercised, nor will claim or exercise any set-off, counterclaim or other right
in respect of [the / each of those]
contract[s].

 

This letter or any
non-contractual obligation arising out of or in connection with this letter is
governed by the laws of Ireland.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  for [Insert name of Insurer]

  	
   

  

 

49

 

SCHEDULE
3

 

Forms
of Letter for Relevant Contracts

 

Part 1
— Notice to Counterparty

 

To:          [Insert name of Counterparty]

 

Copy:     [Insert name of Administrative Agent]

 

Date:

 

Dear Sirs,

 

Debenture
dated [ · ] between [insert name of Chargor] and [insert name of Administrative Agent] (the “Debenture”)

 

This letter
constitutes notice to you that under the Debenture, [insert name of Chargor]
(the “Chargor”) has assigned in
favour of [insert
name of Administrative Agent] as trustee for the Secured
Parties referred to in the Debenture (the “Administrative
Agent”) as first priority assignee all of its rights in respect of [insert details of
Relevant Contract(s)] (the “Relevant Contract[s]”).

 

The Chargor confirms
that:

 

(a)                                  it will remain liable under [the / each] Relevant Contract to perform
all the obligations assumed by it under [the
/ that] Relevant Contract; and

 

(b)                                 none of the Administrative Agent, its agents,
any receiver or any other person will at any time be under any obligation or
liability to you under or in respect of [the
/ any] Relevant Contract.

 

The Chargor will also
remain entitled to exercise all of its rights under [the / each] Relevant Contract and you should continue to give
notice under [the / each] Relevant
Contract to the Chargor, unless and until you receive notice from the
Administrative Agent stating that the security has become enforceable.  In this event, all of its rights will be
exercisable by, and notices must be given to, the Administrative Agent or as it
directs.

 

The instructions in
this letter may not be revoked or amended without the prior written consent of
the Administrative Agent.

 

Please send to the
Administrative Agent at [ · ] with a copy to ourselves the attached
acknowledgement confirming your agreement to the above and giving the further
undertakings set out in the acknowledgement.

 

The Chargor
acknowledges that you may comply with the instructions in this letter without
any further permission from it and without any enquiry by you as to the
justification for or validity of any request, notice or instruction.

 

This letter or any
non-contractual obligation arising out of or in connection with this letter is
governed by the laws of Ireland.

 

50

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (Authorised signatory)

  	
   

  
			

 

[Insert name of Chargor]

 

51

 

SCHEDULE
4

 

Shares

 

Part 1 — Dividend Mandate

 

To:          The
Secretary

 

Date:

 

Dear Sirs,

 

Debenture dated [ · ] between [insert name of
Chargor] and [insert name of
Administrative Agent] (the “Debenture”)

 

We refer to:

 

(A)                              the [ · ] (the “Shares”) in [ · ]
(the “Company”), of which [insert name of
Chargor] is entitled to be the registered holder pursuant
to transfers of those shares executed by the registered holders thereof; and

 

(B)                                the
Debenture creating security interests over the Shares, a copy of which is
attached, to secure the payment of certain monies, and in particular clause 7.2 (Creation of Security) of the Debenture.

 

We hereby request that following the occurrence of
an Event of Default which is continuing and the issuance of a notice to this
effect by the Administrative Agent to you:

 

1.                                       you
shall forward to the Administrative Agent, until further written notice by the
Administrative Agent, all cash dividends that may become from time to time
payable on so many of the Shares as are specified in paragraph (A); and

 

2.                                       you
act in accordance with paragraph 1 and the request therein without requiring
further evidence of the identity of the Administrative Agent, the number of the
Shares in respect of which the Administrative Agent is entitled under the
Debenture to receive dividends or any other matter relating to compliance with,
or entitlement under, the Debenture.

 

This request is irrevocable.  Compliance with this request shall be a good
discharge to the Company.

 

This letter or any non-contractual obligation arising out of or in connection with
this letter is governed by the laws of Ireland.

 

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Authorised Signatory

  	
   

  

 

For [Insert name of Chargor]

 

52

 

Part 2 — Letter of Authority

 

To:          [Insert name of
Administrative Agent] (the “Administrative Agent”)

 

Date:

 

Dear Sirs,

 

Debenture dated [ · ] between [insert name of
Chargor] and [insert name of
Administrative Agent] in respect of the shares held by [Insert name of Chargor] in [ · ] (the “Debenture”)

 

We hereby unconditionally and irrevocably authorise
the Administrative Agent to date and otherwise complete the share transfer
forms in respect of the above mentioned shares deposited by us with the
Administrative Agent and its agents pursuant to the Debenture, as and when the
Administrative Agent becomes entitled to date and complete the same pursuant to
the terms of the Debenture.

 

	
  Yours faithfully,

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Authorised Signatory

  	
   

  
			

 

For [Insert name of relevant Chargor]

 

53

 

Part 3 — Letter of Resignation

 

	
  To:

  	
  The Directors

  
	
   

  	
  [Insert
  Company name]

  
	
   

  	
  [Insert
  Company address]

  

 

Date:

 

Dear Sirs,

 

I hereby resign
as a director of the Company with immediate effect [and confirm that I have no right or claim of whatsoever nature against
the Company or any of its subsidiaries for loss of office, redundancy, unfair
dismissal or breach of contract or on any other grounds whatsoever].

 

Please make the
appropriate amendments to the Register of Directors.

 

Kindly also
confirm that the appropriate forms have been filed in the Companies
Registration Office.

 

This letter or any non-contractual obligation arising out
of or in connection with this letter shall be
governed by and construed in accordance with the laws of Ireland.

 

 

	
  SIGNED and DELIVERED as a DEED

  	
   

  
	
  by

  	
   

  	
   

  
	
  in the presence
  of:

  	
   

  
	
   

  	
   

  	
   

  
	
  Witness:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Address:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Occupation:

  	
   

  	
   

  
				

 

54

 

Part 4 — Letter of Authority
to Date

 

To:          [Insert name of
Administrative Agent] (the “Administrative Agent”)

 

Date:

 

Dear Sirs,

 

[Insert name of Company] (the “Company”)

 

I hereby
unconditionally and irrevocably authorise the Administrative Agent to date the
resignation letter in respect of the Company deposited by me with the
Administrative Agent pursuant to the debenture dated [ · ]
between [Insert
name of Chargor] and the Administrative Agent (the “Debenture”), as and when the Administrative
Agent becomes entitled to date the same pursuant to the terms of the Debenture.

 

	
  Signed:

  	
   

  	
   

  
	
   

  	
  [Insert
  name of Director]

  	
   

  

 

55

 

SCHEDULE
5

 

Excluded Collateral

 

56

 

Signatories
(to Debenture)

 

	
  The Chargor

  	
   

  
	
   

  	
   

  
	
  PRESENT
  when the Common Seal of

  	
   

  
	
  SEAGATE TECHNOLOGY PLC

  	
   

  
	
  was affixed hereto:

  	
   

  

 

	
   

  	
  /s/ Kenneth M. Massaroni

  
	
   

  	
  Kenneth M. Massaroni

  
	
   

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  /s/ Patrick J.
  O’Malley III

  
	
   

  	
  Patrick J. O’Malley III

  
	
   

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Address:

  	
  C/o Seagate Technology HDD Holdings

  
	
   

  	
   

  	
  920 Disc Drive

  
	
   

  	
   

  	
  Scotts Valley

  
	
   

  	
   

  	
  California 95066

  
	
   

  	
   

  	
  U.S.A.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Fax:

  	
  001-831-439-2353

  
	
   

  	
   

  	
   

  
	
   

  	
  Attention:

  	
  Richard Caloca

  
				

 

 

	
  In the presence of:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ Saralyn D. Brown

  	
   

  
	
  Witness Signature

  	
   

  
	
  Name: Saralyn D. Brown

  	
   

  
	
  Address: 920 Disc Drive, Scotts Valley, CA 95066

  	
   

  
	
  Occupation: Executive Assistant

  	
   

  

 

[Signature Page to Debenture – Seagate Technology plc]

 

 

	
  The Administrative Agent

  	
   

  
	
   

  	
   

  
	
  SIGNED
  by

  	
  /s/ Sharon Bazbaz

  	
   

  
	
  for and on behalf of

  	
   

  
	
  JPMORGAN
  CHASE BANK, N.A.

  	
   

  
	
  as Administrative Agent

  	
   

  
	
  in the presence of:

  	
  /s/ Anne Marie Pellegrino

  	
   

  
	
   

  	
  Anne Marie Pellegrino

  	
   

  
	
   

  
	
   

  
	
  Address:

  	
  JPMorgan Chase Bank, N.A.

  
	
   

  	
  270 Park Avenue

  
	
   

  	
  New York, NY 10017

  
	
   

  	
  U.S.A.

  
	
   

  	
   

  
	
  Fax:

  	
  001-212-270-5127

  
	
   

  	
   

  
	
  Attention:

  	
  Ms. Sharon Bazbaz

  
					

 

[Signature Page to
Debenture – Seagate Technology plc]

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