Document:

EXHIBIT
      10.8

    

    JOINT
      VENTURE OPERATING AGREEMENT 

     

    THIS
      AGREEMENT (this "Agreement") is made as of April
      8, ,2004,
      by
      and between MICHAEL BAKER, JR., INC. ("Baker"), a Pennsylvania corporation,
      STANLEY CONSULTANTS, INC. ("Stanley"), an Iowa corporation, HILL INTERNATIONAL,
      INC. ("Hill"), a Delaware corporation and Stanley Baker Hill, LLC (the
      "Company"), a Delaware limited liability company. Baker, Stanley and Hill are
      hereinafter sometimes collectively referred to "Members" and individually as
      a
      "Member". 

    

     

    WITNESSETH
      

     

    WHEREAS,
      each of the Members is in the business, inter alia, providing construction
      management and service contract performance management; and 

     

    WHEREAS,
      the US ARMY CORPS OF ENGINEERS TRANSATLANTIC PROGRAM CENTER ("U.S. Corps")
      has
      issued a Solicitation, Offer and Award ("Offer") for a third party, to be
      appointed as an independent contractor by U.S. Corps, to provide various
      architect-engineer services in Iraq, specifically IDIQ Contract for Construction
      Management and General A/E Services for Facilities in Iraq, solicitation number
      W912ER-04-R-0008 (the "Contract"); and 

     

    WHEREAS,
      the Members have formed the Company for the purpose of providing services to
      the
      U.S. Corps under the Contract; and 

     

    WHEREAS,
      the Members have entered into a Limited Liability Company Agreement, dated
      as of
April
      8,,
      2004
      (the "Limited Liability Company Agreement") with respect to the Company; and
      

     

    WHEREAS,
      the Members have caused to be filed with the Delaware Secretary of State an
      Amended and Restated Certificate of Formation, dated February 18,2004 (the
      "Certificate"). 

     

    NOW
      THEREFORE, for good and valuable consideration, the receipt and sufficiency
      of
      which are hereby acknowledged, and in consideration of the mutual covenants
      and
      agreements contained herein, and intending to be legal bound Baker, Stanley,
      Hill and the Company hereby agree as follows: 

     

    ARTICLE
      I

     

    ORGANIZATION
      

     

    1.1
       Definitions.
      For purposes of this Agreement, the following terms shall have the meanings
      set
      forth below, except as otherwise specified or as the context may otherwise
      require: 

     

    "Affiliates"
      shall mean any person which directly or indirectly through one or more
      intermediaries controls, is controlled by, or is under common control with
      a
      Member. 

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    "Board
      of
      Directors" shall mean the Board of Directors of the Company as provided in
      Article 7 of the Limited Liability Company Agreement;. 

     

    "Program
      Manager" shall have the meaning given in Article 7 of the Limited Liability
      Company Agreement. 

     

    "Project
      Staff' shall mean those individuals provided by the Members that are
      reimbursable through a compensated Task Order. These individuals are to be
      citizens of the United States and/or a current employee of a Member.

     

    1.2
       Conflicts.
      If there is any conflict between this Agreement and the terms of either the
      Limited Liability Company Agreement or the Certificate of Formation, the terms
      of the Limited Liability Company Agreement or the Certificate of Formation,
      as
      the case may be, shall govern. 

     

    ARTICLE
      II 

     

    PROVISIONS
      RELATING TO OPERATIONS 

     

    2.1
       Personnel.
      The Members and the Company agree that the personnel used by the Company to
      service the Contract shall be as follows: 

     

    
      	 	
              (a)

            	
              Project
                Staff. The Members shall provide Project Staff to the Company in
                amounts
                equal to the Member's respective Membership Interest of the Company
                (as
                defined by the Limited Liability Company Agreement). Therefore, initially,
                each of the Members shall provide approximately the same amount of
                Project
                Staff to the Company. Such Project Staff shall remain individual
                employees
                of the Members or one of their Affiliates and shall be subcontracted
                to
                the Company. The amount of Project Staff provided will be determined
                by
                the total labor based revenue (not including subcontractor or other
                direct
                costs) generated by the Project Staff (direct labor plus overhead)
                and
                invoiced by the Member to the Company. By way of example, the Members
                will
                have provided the same amount of Project Staff if one Member provides
                three Project Staff personnel with an invoiced cost of $50,000 each,
                one
                Member provides two Project Staff personnel with an invoiced cost
                of
                $75,000 each and one Member provides one Project Staff person with
                an
                invoiced cost of$150,000. 

            

    

     

    
      	
            	(b)	
              As-Needed
                Support Staff. In addition to the Project Staff, to fulfill the
                requirements of the Contract, the Members and the Company acknowledged
                that the Company will need the support of certain staff personnel
                of the
                Members (the "As-Needed Support Staff'). The As-Needed Support Staff
                shall
                remain employees of the individual Members and their services will
                be
                subcontracted to the Company by the Members if requested by the Company
                on
                terms mutually acceptable to the Company and the respective Member.
                The
                Company shall, and the Members shall cause the Company to use As-Needed
                Support Staff from each 

            

    

    

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

    of
      the
      Members in amounts equal to the Member's respective Membership Interest of
      the
      Company. The amount of As-Needed Support Staff provided will be determined
      by
      the total labor based revenue (not including subcontractors or other direct
      costs) generated by the As-Required Support Staff (direct labor plus overhead)
      and invoiced by the Member to the Company. 

     

    
      	
            	(c)	
              All
                U.S. citizens hired in connection with the performance of the Contract
                will be hired by one of the Members (rather than by the Company)
                and will
                be either Project Staff or As-Needed Support Staff provided by such
                Member. As set forth in the Limited Liability Company Agreement,
                the
                Managing Director of the Company shall have the responsibility to
                balance
                the provision of the Project Staff and the As-Needed Support Staff
                to the
                Company in accordance with this Joint Venture Operating Agreement.
                The
                Members obligations to provide overhead support to the Company are
                listed
                on Annex C. 

            

    

     

    
      	
            	(d)	
              Attached
                Annexes A &
                B
                detail the terms on which the Members will invoice the Company and
                the
                Company will invoice the U.S. Corps with respect to the provision
                of
                Project Staff and As-Needed Support Staff.

            

    

     

    
      	
            	(e)	
              Subcontractors.
                The Company shall hire and use the services of subcontractors as
                determined by the Program Manager, Managing Director or Board of
                Directors, as set forth in Section 7.7 (g) of the Limited Liability
                Company Agreement. 

            

    

     

    
      	
            	(t)	
              Non-Iraqi
                Expatriate Personnel. The Company shall use the services of non-Iraqi
                expatriate personnel not currently employed by one of the Members
                as
                determined by the Program Manager or Managing Director in accordance
                with
                the terms of the Limited Liability Company Agreement. Such non-Iraqi
                expatriate personnel shall be employed by the Company or a subsidiary
                of
                the Company as determined by the Program Manager or Managing Director.
                No
                U.S. citizen shall be hired by the Company as a non-Iraqi expatriate.
                Rather, such persons shall be hired by one of the Members as set
                forth in
                subparagraph (c) above. The attached Annex B details the terms on
                which
                the Company will invoice the U.S. Corps with respect to the services
                provided by such non-Iraqi expatriate personnel.
                

            

    

     

    
      	
            	(g)	
              Local
                Iraqi Personnel. The Company shall use the services of local Iraqi
                personnel as determined by the Program Manager. Such local Iraqi
                personnel
                shall be employed by the Company or a subsidiary of the Company as
                determined by the Program Manager. The attached Annex B details the
                terms
                on which the Company will invoice the U.S. Corps with respect to
                the
                services provided by such local Iraqi personnel.
                

            

    

     

    2.2
       Equipment.
      If the Company determines that it needs to use the equipment of a Member
      in
      connection with the performance of the Contract, the Company and such Member
      shall negotiate in good faith to determine the terms of use of such equipment.
      No Member shall be required to provide equipment to the Company except on terms
      mutually acceptable to the Company and such Member, each in their sole
      discretion. 

    

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

    2.3
       Insurance.
      Each Member agrees that such Member will procure and maintain, during
      the term of the Limited Liability Company Agreement, relevant business,
      professional liability and general liability insurance covering all actions
      of,
      by, or on behalf of, such Member related to services provided by such Member
      to
      the Company. Such insurance shall be in such amounts and on such terms as are
      customarily maintained by entities engaged in activities similar to the
      activities of the Members in connection with or related to the Contract.

     

    2.4
       Board
      Expenses. Each member shall invoice the Company for out-of-pocket expenses
      incurred by such Member in connection with attendance of such Member's
      designated director at meetings of the Board of Directors. The Members shall
      not
      invoice the Company for compensation paid to such Member's designated director
      in connection with attendance at meetings of the Board of Directors.

     

    ARTICLE
      III 

     

    INDEMNIFICATION
      

     

    3.1
       Indemnification
      of each Member by the other Members. Each Member (the "Indemnifying
      Party") shall indemnify, defend, and hold harmless each of the other Members
      (both individually or collectively, the "Indemnified Party") against all costs
      (including reasonable legal costs) expenses or other liabilities not covered
      by
      insurance which the Indemnified Party may incur as a result of the gross
      negligence or willful misconduct of the Indemnifying Party to the extent that
      such gross negligence or willful misconduct relates to the Company or the
      performance of the Contract. 

     

    3.2
       Procedure
      for Defense. Promptly after receipt by an Indemnified Party of notice of the
      commencement of any action against the Indemnified Party, such Indemnified
      Party
      shall give notice to the Indemnifying Party. The Indemnifying Party shall be
      entitled to participate in the defense of the action and, to the extent that
      it
      may elect in its discretion by written notice to the Indemnified Party, to
      assume the control and defense and/or settlement of such action; provided,
      however, that (i) both the Indemnifying Party and the Indemnified Party must
      consent and agree to any settlement of any such action, except that if the
      Indemnifying Party has reached a bona fide settlement agreement with the
      plaintiff(s) in any such action that involves only the payment of cash and
      the
      Indemnified Party does not consent to such settlement agreement, then the dollar
      amount specified in the settlement agreement shall act as an absolute maximum
      limit on the indemnification obligation of the Indemnifying Party, and (ii)
      if
      the defendants in any such action include both the Indemnifying Party and the
      Indemnified Party and if the Indemnified Party shall have reasonably concluded
      that there are legal defenses available to it which are in conflict with those
      available to the Indemnifying Party, then the Indemnified Party shall have
      the
      right to select separate counsel to assert such legal defenses and otherwise
      to
      participate in the defense of such action on its own behalf, and the fees and
      disbursements of such separate counsel shall be included in the amount which
      the
      Indemnified Party is entitled to recover under the terms and subject to the
      conditions of this Agreement. 

    

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

    ARTICLE
      IV

     

     MISCELLANEOUS
      PROVISIONS 

     

    4.1
       No
      Inadvertent Waiver of Rights. No failure or delay on the part of any of the
      parties
      in the exercise of any power, right or privilege hereunder shall operate as
      a
      waiver thereof, nor shall any single or partial exercise of any such power,
      right 0r
      privilege preclude other or further exercise thereof or of any other right,
      power or privilege. 

     

    4.2
       Term
      of
      Agreement. Unless otherwise provide hereunder, this Agreement shall continue
      in full force and effect until termination by the Member's mutual consent.
      

     

    4.3
       Assignment.
      Neither this Agreement nor any rights or obligations hereunder are assignable
      in whole or in part by any party without the prior written consent of all the
      Members; provided, however, that any Member may assign its rights hereunder
      to
      an Affiliate of such Member if it assigns its interests in the Company to such
      Affiliate. 

     

    4.4
       Severability.
      If any of the provisions of this Agreement are held invalid or unenforceable
      and unless the invalidity or unenforceability thereof does substantial violence
      to the underlying intent and sense of the remainder of this Agreement, such
      invalidity or unenforceability shall not effect in any way the validity or
      enforceability of any other provisions of this Agreement except those of which
      the invalidated or unenforceable provisions comprise an integral part of or
      are
      otherwise clearly inseparable from. That invalidity or unenforceability
shall
      not
      affect any valid and enforceable application thereof, and each such provision
      shall be deemed to be effective, operative, made, entered into or taken in
      the
      manner and to the full extent permitted by law. 

     

    4.5
       Notices.
      No notice or other communication hereunder shall be sufficient to affect
any
      rights, remedies or obligations of any party hereto unless such notice or
      communication is in writing and delivered to the person or persons whose rights,
      remedies or obligations are affected, except that any such written notice or
      communication which is hand delivered, delivered by prepaid overnight courier
      service or mailed by prepaid certified mail, return receipt requested, addressed
      to the respective and appropriate party as follows (or to such other address
      as
      the parties may indicate in writing in accordance with this Section 4.5):

    

      
        	
                If
                  to Baker Member to:

              	
                 John
                  Whiteford, Exec. Vice President

              
	 	
                 Michael
                  Baker, Jr., Inc.

              
	 	
                 Airside
                  Business Park

              
	 	
                 100
                  Airside Drive

              
	 	
                 Moon
                  Township, PA 15108

              
	 	 
	
                If
                  to Stanley Member to:

              	
                 James
                  A. Hollatz, Sr. Vice President

              
	 	
                 Stanley
                  Consultants, Inc.

              
	 	
                 Stanley
                  Building

              
	 	
                 225
                  Iowa Ave.

              
	 	
                 Muscatine,IA
                  52761

              

      

    
      
         

      

      
        -5-

        
          

        

      

      
         

      

    

     

    
      
        	
                If
                  to Hill Member to:

              	
                 Kathye
                  A. Johnson, Sr. Vice President

              
	 	
                 Hill
                  International, Inc.

              
	 	
                 303
                  Lippincott Centre

              
	 	
                 Marlton,
                  NJ 08053

              
	 	 
	
                If
                  to the Company to:

              	
                 William
                  H. Dengler, Jr.

              
	 	
                 Hill
                  International, Inc.

              
	 	
                 303
                  Lippincott Centre

              
	 	
                 Marlton,
                  NJ 08053

              

      

       

    

    shall
      be
      deemed sufficient upon hand delivery, one day after deposit with such overnight
      courier service or three days after such mailing, as the case may be.

     

    4.6
       Copies
      of
      Notices. A copy of any notice, service of process or other document in
the
      nature thereof relating to the Company, received by any Member from anyone
      other
      than the other Member shall be delivered by the receiving Member to the other
      Member as soon as practicable. 

     

    4.7
       Necessary
      Measures and Good Faith; No Agency. The parties shall in a timely manner
      take all measures which are necessary or. appropriate to cause the Company
      and
      its Board of Directors to implement the provisions of this Agreement and the
      transactions contemplated hereby, and the parties shall at all times act in
      good
      faith with respect to the obligations incurred by them hereunder. No party
      shall
      be the agent, partner or legal representative of the other or of the Company,
      either express or implied, nor shall any party have the right or power to enter
      into any contractual obligation whatsoever on behalf of the other or the
      Company. 

     

    4.8
       Governing
      Law. The validity, performance, and all matters relating to the interpretation
      and effect of this Agreement shall be governed by the internal law in effect
      in
      the State of Delaware, without regard to principles of law (such as "conflicts
      of law") that might make the law of some other jurisdiction applicable. The
      interest of each Member in the Company shall be personal property for all
      purposes. 

     

    4.9
       Captions.
      The captions used at the commencement of various articles, sections and
      subsections of this Agreement are for purposes of ease of reference only, and
      in
      no event or respect shall the substance of any provision or the intent of the
      parties be interpreted or controlled by any such captions. 

     

    4.10
       Counterpart
      Originals. This Agreement may be executed simultaneously in two or more
      counterparts, each of which shall be deemed an original but all of which
      together shall constitute one and the same instrument. 

    

    
      
         

      

      
        -6-

        
          

        

      

      
         

      

    

     

    IN
      WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
      day
      and year first above written. 

     

    

    
      	 	
              Michael
                Baker, Jr., Inc.

            
	 	
              By:  
                /s/
                John D.
                Whiteford                        
                

            
	 	
              John
                D. Whiteford

              Executive
                Vice President

            
	 	 
	 	 
	 	
              Stanley
                Consultants, Inc.

            
	 	
              By:  
                /s/
                James A.
                Hollatz                            
                

            
	 	
              James
                A. Hollatz

              Senior
                V.P.

            
	 	 
	 	 
	 	
              Hill
                International, Inc.

            
	 	
              By:  
                /s/
                Kathye A.
                Johnson                        
                

              Kathye
                A. Johnson

            
	 	
              Senior
                Vice President

            
	 	 
	 	 
	 	 
	 	
              Stanley
                Baker Hill, LLC

            
	 	
              By:  
                /s/
                William H.
                Dengler                          
                

              William
                H. Dengler

              V.P.
                and Corporate Secretary

            

    

    

    
      
         

      

      
        -7-

        
          

        

      

      
         

      

    

    Annex
      A

     

    
      	 
	 PARTNER
              FIRM SERVICES TO SBR LLC 
	 	
              Labor
                

            	
              Overhead
                Value 

            	
              Profit
                

            	
              Contract
                Type to 

            	
              Invoicing
                Method 

            
	 	 	 	 	
              SBHLLC
                

            	
              To
                SBHLLC 

            
	
              SERVICE
                TYPE 

            	 	 	 	 	 
	
              Overhead
                Support 

            	
              Direct
                Cost 

            	
              50%
                

            	
              0
                

            	
              T&M
                

            	
              T&M
                

            
	
              (As-Needed
                Support Staff) 

            	 	 	 	 	 
	
              Fixed
                Price Support 

            	 	 	 	 	 
	
              (Project
                Staff) 

            	 	 	 	 	 
	
              Short-Term
                Assignment 

            	
              Exhibit
                A Rate 

            	 	 	 	
              Monthly
                % 

            
	
              (Less
                than or equal to 6 

            	
              Schedule
                

            	
              153.93%
                

            	
              0
                

            	
              Firm
                Fixed Price 

            	
              Complete
                

            
	
              months)
                

            	 	 	 	 	 
	
              Long-Term
                Assignment 

            	
              Exhibit
                A Rate 

            	 	 	 	
              Monthly
                % 

            
	
              (Greater
                than 6 months) 

            	
              Schedule
                

            	
              133.15%
                

            	
              0
                

            	
              Firm
                Fixed Price 

            	
              Complete
                

            
	
              Cost
                Reimbursable Support 

            	 	 	 	 	 
	
              (Project
                Staff)

            	 	 	 	 	 
	
              Short-Term
                Assignment 

            	 	
              Stanley-157.01%
                

            	 	
              T&M,
                Not to 

            	
              Monthly
                Progress 

            
	
              (Less
                than or equal to 6 

            	
              Direct
                Cost 

            	
              Baker-156.93%
                

            	
              0
                

            	
              Exceed
                

            	
              Payment
                

            
	
              months)
                

            	 	
              Hill-
                147.85% 

            	 	 	 
	
              Long-Term
                Assignment 

            	 	
              Stanley
                - 133.18% 

            	 	
              T&M,
                Not to 

            	
              Monthly
                Progress 

            
	
              (Greater
                than 6 months) 

            	
              Direct
                Cost 

            	
              Baker
                - 137.09% 

            	
              0
                

            	
              Exceed
                

            	
              Payment
                

            
	 	 	
              Hill
                129.19% 

            	 	 	 

    

     

    
      
         

      

      
        -8-

        
          

        

      

      
         

      

    

    Annex
      B

    

    
      	 	 	 	 
	
               SBR
                LLC SERVICES TO GOVERNMENT 

            
	 	
              Labor
                

            	
              Overhead
                Value 

            	
              Profit
                

            	
              Contract
                Type to 

            	
              Invoicing
                Method 

            
	 	 	 	 	
              SBHLLC
                

            	
              To
                Government 

            
	
              SERVICE
                TYPE 

            	 	 	 	 	 
	
              Overhead
                Support 

            	
              SBH
                LLC OVERHEAD COST - NOT DIRECT CHARGED TO GOV/T 

            
	
              Fixed
                Price Support 

            	 	 	 	 	 
	
              Short-Term
                Assignment 

            	
              Exhibit
                A, C, &
                D
                

            	 	 	 	
              Monthly
                % 

            
	
              (Less
                than or equal to 6 

            	
              Rate
                Schedules 

            	
              153.93%
                

            	
              Negotiated
                

            	
              Firm
                Fixed Price 

            	
              Complete
                

            
	
              months)
                

            	 	 	
              %
                

            	 	 
	
              Long-Term
                Assignment 

            	
              Exhibit
                A, C, &
                D
                

            	 	 	 	
              Monthly
                % 

            
	 	
              Rate
                Schedules 

            	
              133.15%
                

            	
              Negotiated
                

            	
              Firm
                Fixed Price 

            	
              Complete
                

            
	 	 	 	
              %
                

            	 	 
	
              Iraqi
                Workforce 

            	
              Exhibit
                B Rate 

            	 	 	 	
              Monthly
                % 

            
	 	
              Schedules
                

            	
              104.51%
                

            	
              Negotiated
                

            	
              Firm
                Fixed Price 

            	
              Complete
                

            
	 	 	 	
              %
                

            	 	 
	
              Cost
                Reimbursable Support 

            	 	 	 	 	 
	
              Short-Term
                Assignment 

            	 	 	 	
              Cost
                Reimbursable, 

            	
              Monthly
                Progress 

            
	
              (Less
                than or equal to 6 

            	
              Direct
                Cost 

            	
              153.93%
                

            	
              Award
                Fee 

            	
              Award
                Fee 

            	
              Payment
                

            
	
              months)
                

            	 	 	 	 	 
	
              Long-Term
                Assignment 

            	 	 	 	
              Cost
                Reimbursable, 

            	
              Monthly
                Progress 

            
	
              (Greater
                than 6 months) 

            	
              Direct
                Cost 

            	
              133.15%
                

            	
              Award
                Fee 

            	
              Award
                Fee 

            	
              Payment
                

            
	
              Iraqi
                Workforce 

            	
              Direct
                Cost 

            	
              104.51%
                

            	
              Award
                Fee 

            	
              Cost
                Reimbursable, 

            	
              Monthly
                Progress 

            
	 	 	 	 	
              Award
                Fee 

            	
              Payment
                

            

    

    

    
      
         

      

      
        -9-

        
          

        

      

      
         

      

    

    Annex
      C

    Member
      Overhead Support Obligations 

     

    The
      following services are those that will be provided by the Members as part of
      the
      Company's overhead. These are services to be performed in the U.S. and will
      not
      be covered by an individual task order. 

     

    Baker:
      

     

    Accounting
      and Financial Services. 

     

    Hill:
      

     

    Legal
      and
      Subcontracting Services. 

    HR
      and
      Personnel Logistical Support. Hill will provide the Company with HR Services
      and
      logistical support for transit to Iraq. Hill will also provide EEO reporting
      services. 

     

    Stanley:
      

     

    Insurance
      Program . 

    SBE/DBE
      Compliance Support and Reporting 

    
 

    
      
         

      

      
        -10-Unassociated Document

    Exhibit
      10.1

    

    EXECUTION
      COPY

     

    
      

      

    

    AMENDED
      AND RESTATED

     

    CREDIT
      AGREEMENT

     

    Dated
      as
      of July 3, 2006

     

    among

     

    OTELCO
      INC.,

     

    as
      Borrower,

     

    THE
      OTHER
      CREDIT PARTIES SIGNATORY HERETO,

     

    as
      Credit
      Parties,

     

    THE
      LENDERS SIGNATORY HERETO

     

    FROM
      TIME
      TO TIME,

     

    as
      Lenders,

     

    and

     

    GENERAL
      ELECTRIC CAPITAL CORPORATION,

     

    as
      Administrative Agent, Agent and Lender

     

     

    GE
      CAPITAL
      MARKETS,
      INC.

     

    as
      Sole
      Lead Arranger and Sole Bookrunner

     

     

    COBANK,
      ACB

     

    as
      Syndication Agent and Lender

    
 

    
      

      

    

    
      
         

        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    TABLE
      OF CONTENTS

     

    
      	 	 	
              Page

            
	
              1

            	
              AMOUNT
                AND TERMS OF CREDIT

            	
              2

            
	 	 	 
	 	
              1.1

            	
              Credit
                Facilities

            	
              2

            
	 	
              1.2

            	
              [Intentionally
                Omitted]

            	
              6

            
	 	
              1.2A

            	
              Swap
                Related Reimbursement Obligations

            	
              6

            
	 	
              1.3

            	
              Prepayments

            	
              7

            
	 	
              1.4

            	
              Use
                of Proceeds

            	
              11

            
	 	
              1.5

            	
              Interest
                and Applicable Margins

            	
              12

            
	 	
              1.6

            	
              [Intentionally
                Omitted]

            	
              14

            
	 	
              1.7

            	
              [Intentionally
                Omitted]

            	
              14

            
	 	
              1.8

            	
              Cash
                Management Systems

            	
              14

            
	 	
              1.9

            	
              Fees

            	
              14

            
	 	
              1.10

            	
              Receipt
                of Payments

            	
              15

            
	 	
              1.11

            	
              Application
                and Allocation of Payments

            	
              15

            
	 	
              1.12

            	
              Loan
                Account and Accounting

            	
              16

            
	 	
              1.13

            	
              Indemnity

            	
              17

            
	 	
              1.14

            	
              Access

            	
              18

            
	 	
              1.15

            	
              Taxes

            	
              19

            
	 	
              1.16

            	
              Capital
                Adequacy; Increased Costs; Illegality

            	
              19

            
	 	
              1.17

            	
              Single
                Loan

            	
              21

            
	 	 	 	 
	
              2

            	
              CONDITIONS
                PRECEDENT

            	
              21

            
	 	 	 
	 	
              2.1

            	
              Conditions
                to the Additional Term Loans

            	
              21

            
	 	
              2.2

            	
              Further
                Conditions to Each Loan

            	
              23

            
	 	 	 	 
	
              3

            	
              REPRESENTATIONS
                AND WARRANTIES

            	
              24

            
	 	 	 
	 	
              3.1

            	
              Corporate
                Existence; Compliance with Law

            	
              24

            
	 	
              3.2

            	
              Executive
                Offices, Collateral Locations, FEIN

            	
              26

            
	 	
              3.3

            	
              Corporate
                Power, Authorization, Enforceable Obligations

            	
              26

            
	 	
              3.4

            	
              Financial
                Statements and Projections

            	
              27

            
	 	
              3.5

            	
              Material
                Adverse Effect

            	
              28

            
	 	
              3.6

            	
              Ownership
                of Property; Liens

            	
              28

            
	 	
              3.7

            	
              Labor
                Matters

            	
              29

            
	 	
              3.8

            	
              Ventures,
                Subsidiaries and Affiliates; Outstanding Stock and
                Indebtedness

            	
              30

            
	 	
              3.9

            	
              Government
                Regulation

            	
              30

            
	 	
              3.10

            	
              Margin
                Regulations

            	
              30

            
	 	
              3.11

            	
              Taxes

            	
              31

            
	 	
              3.12

            	
              ERISA

            	
              31

            
	 	
              3.13

            	
              No
                Litigation

            	
              33

            
	 	
              3.14

            	
              Brokers

            	
              33

            

    

     

    
      
         

        
        

      

      
        i

        
          

        

      

      
        
        

      

    

    

    
      	 	
              3.15

            	
              Intellectual
                Property

            	
              33

            
	 	
              3.16

            	
              Full
                Disclosure; Perfection of Liens

            	
              33

            
	 	
              3.17

            	
              Environmental
                Matters

            	
              34

            
	 	
              3.18

            	
              Insurance

            	
              35

            
	 	
              3.19

            	
              Accounts

            	
              35

            
	 	
              3.20

            	
              Government
                Contracts

            	
              35

            
	 	
              3.21

            	
              Customer
                and Trade Relations

            	
              35

            
	 	
              3.22

            	
              Agreements
                and Other Documents

            	
              36

            
	 	
              3.23

            	
              Solvency

            	
              36

            
	 	
              3.24

            	
              [Intentionally
                Omitted]

            	
              36

            
	 	
              3.25

            	
              Mid-Maine
                Acquisition Agreement

            	
              36

            
	 	
              3.26

            	
              Subordinated
                Debt

            	
              37

            
	 	
              3.27

            	
              Capitalization

            	
              38

            
	 	
              3.28

            	
              OFAC

            	
              38

            
	 	
              3.29

            	
              Patriot
                Act

            	
              38

            
	 	 	 	 
	
              4

            	
              FINANCIAL
                STATEMENTS AND INFORMATION

            	
              39

            
	 	 	 
	 	
              4.1

            	
              Reports
                and Notices

            	
              39

            
	 	
              4.2

            	
              Communication
                with Accountants

            	
              39

            
	 	 	 	 
	
              5

            	
              AFFIRMATIVE
                COVENANTS

            	
              39

            
	 	 	 
	 	
              5.1

            	
              Maintenance
                of Existence and Conduct of Business

            	
              39

            
	 	
              5.2

            	
              Payment
                of Charges

            	
              40

            
	 	
              5.3

            	
              Books
                and Records

            	
              40

            
	 	
              5.4

            	
              Insurance;
                Damage to or Destruction of Collateral

            	
              41

            
	 	
              5.5

            	
              Compliance
                with Laws

            	
              43

            
	 	
              5.6

            	
              Supplemental
                Disclosure

            	
              43

            
	 	
              5.7

            	
              Intellectual
                Property

            	
              43

            
	 	
              5.8

            	
              Environmental
                Matters

            	
              44

            
	 	
              5.9

            	
              Landlords'
                Agreements, Mortgagee Agreements, Bailee Letters and Real Estate
                Purchases

            	
              44

            
	 	
              5.10

            	
              Interest
                Rate Protection

            	
              45

            
	 	
              5.11

            	
              CoBank
                Capital

            	
              45

            
	 	
              5.12

            	
              Further
                Assurances

            	
              46

            
	 	
              5.13

            	
              Subsidiaries
                and Collateral

            	
              46

            
	 	
              5.14

            	
              Change
                of Law Applicable to Mid-Missouri Telephone

            	
              46

            
	 	
              5.15

            	
              Change
                of Law Applicable to Mid-Maine Telecom

            	
              47

            
	 	
              5.16

            	
              Mid-Maine
                Software and Systems Transition

            	
              48

            
	 	
              5.17

            	
              Post
                Closing Covenant 

            	
              46

            
	 	 	 	 
	
              6

            	
              NEGATIVE
                COVENANTS

            	
              48

            
	 	 	 
	 	
              6.1

            	
              Mergers,
                Subsidiaries, Etc.

            	
              48

            
	 	
              6.2

            	
              Investments;
                Loans and Advances

            	
              52

            
	 	
              6.3

            	
              Indebtedness

            	
              54

            
	 	
              6.4

            	
              Employee
                Loans and Affiliate Transactions

            	
              57

            
	 	
              6.5

            	
              Capital
                Structure and Business

            	
              58

            

    

     

    
      
         

        
        

      

      
        ii

        
          

        

      

      
        
        

      

    

    

    
      	 	
              6.6

            	
              Guaranteed
                Indebtedness

            	
              59

            
	 	
              6.7

            	
              Liens

            	
              60

            
	 	
              6.8

            	
              Sale
                of Stock and Assets

            	
              61

            
	 	
              6.9

            	
              ERISA

            	
              62

            
	 	
              6.10

            	
              Financial
                Covenants

            	
              62

            
	 	
              6.11

            	
              Hazardous
                Materials

            	
              62

            
	 	
              6.12

            	
              Sale/Leasebacks

            	
              62

            
	 	
              6.13

            	
              Cancellation
                of Indebtedness

            	
              62

            
	 	
              6.14

            	
              Restricted
                Payments

            	
              62

            
	 	
              6.15

            	
              Change
                of Corporate Name or Location; Change of Fiscal Year

            	
              65

            
	 	
              6.16

            	
              No
                Impairment of Intercompany Transfers

            	
              65

            
	 	
              6.17

            	
              No
                Speculative Transactions

            	
              65

            
	 	
              6.18

            	
              [Intentionally
                Omitted]

            	
              66

            
	 	
              6.19

            	
              Changes
                Relating to Subordinated Debt; Material Contracts

            	
              66

            
	 	
              6.20

            	
              Holding
                Companies

            	
              67

            
	 	
              6.21

            	
              Designated
                Senior Debt

            	
              67

            
	 	
              6.22

            	
              Limitations
                on Accumulation of Funds

            	
              67

            
	 	
              6.23

            	
              Limitations
                on Creation of Subsidiaries

            	
              68

            
	 	 	 	 
	
              7

            	
              TERM

            	 	
              69

            
	 	 	 	 
	 	
              7.1

            	
              Termination

            	
              69

            
	 	
              7.2

            	
              Survival
                of Obligations Upon Termination of Financing Arrangements

            	
              69

            
	 	 	 	 
	
              8

            	
              EVENTS
                OF DEFAULT; RIGHTS AND REMEDIES69

            	
              69

            
	 	 	 
	 	
              8.1

            	
              Events
                of Default

            	
              69

            
	 	
              8.2

            	
              Remedies.

            	
              72

            
	 	
              8.3

            	
              Waivers
                by Credit Parties

            	
              72

            
	 	 	 	 
	
              9

            	
              ASSIGNMENT
                AND PARTICIPATIONS; APPOINTMENT OF AGENT

            	
              72

            
	 	 	 
	 	
              9.1

            	
              Assignment
                and Participations

            	
              72

            
	 	
              9.2

            	
              Appointment
                of Agent

            	
              75

            
	 	
              9.3

            	
              Agent's
                Reliance, Etc.

            	
              76

            
	 	
              9.4

            	
              GE
                Capital and Affiliates

            	
              76

            
	 	
              9.5

            	
              Lender
                Credit Decision

            	
              77

            
	 	
              9.6

            	
              Indemnification

            	
              77

            
	 	
              9.7

            	
              Successor
                Agent

            	
              77

            
	 	
              9.8

            	
              Setoff
                and Sharing of Payments

            	
              78

            
	 	
              9.9

            	
              Advances;
                Payments; Non-Funding Lenders; Information; Actions in
                Concert

            	
              79

            
	 	 	 	 
	
              10

            	
              SUCCESSORS
                AND ASSIGNS

            	
              82

            
	 	 	 
	 	
              10.1

            	
              Successors
                and Assigns

            	
              82

            
	 	 	 	 
	
              11

            	
              MISCELLANEOUS

            	
              82

            
	 	 	 

    

     

    
      
         

        
        

      

      
        iii

        
          

        

      

      
        
        

      

    

    

    
      	 	
              11.1

            	
              Complete
                Agreement; Modification of Agreement

            	
              82

            
	 	
              11.2

            	
              Amendments
                and Waivers; Joinder Agreement

            	
              82

            
	 	
              11.3

            	
              Fees
                and Expenses

            	
              85

            
	 	
              11.4

            	
              No
                Waiver

            	
              86

            
	 	
              11.5

            	
              Remedies

            	
              86

            
	 	
              11.6

            	
              Severability

            	
              87

            
	 	
              11.7

            	
              Conflict
                of Terms

            	
              87

            
	 	
              11.8

            	
              Confidentiality

            	
              87

            
	 	
              11.9

            	
              GOVERNING
                LAW

            	
              87

            
	 	
              11.10

            	
              Notices

            	
              88

            
	 	
              11.11

            	
              Section
                Titles

            	
              89

            
	 	
              11.12

            	
              Counterparts

            	
              89

            
	 	
              11.13

            	
              WAIVER
                OF JURY TRIAL

            	
              89

            
	 	
              11.14

            	
              Press
                Releases and Related Matters

            	
              89

            
	 	
              11.15

            	
              Reinstatement

            	
              90

            
	 	
              11.16

            	
              Advice
                of Counsel

            	
              90

            
	 	
              11.17

            	
              No
                Strict Construction

            	
              90

            
	 	
              11.18

            	
              Effect
                of Amendment and Restatement of the Original Credit
                Agreement

            	
              90

            

    

     

    
      
         

        
        

      

      
        iv

        
          

        

      

      
        
        

      

    

    INDEX
      OF APPENDICES

     

    
      	
              Annex
                A (Recitals)

            	
              -

            	
              Definitions

            
	
              Annex
                B (Section
                1.2)

            	
              -

            	
              [Intentionally
                Omitted]

            
	
              Annex
                C (Section
                1.8)

            	
              -

            	
              Cash
                Management System

            
	
              Annex
                D (Section
                2.1(a))

            	
              -

            	
              Closing
                Checklist

            
	
              Annex
                E (Section
                4.1(a))

            	
              -

            	
              Financial
                Statements and Projections —
                Reporting

            
	
              Annex
                F (Section
                4.1(b))

            	
              -

            	
              Collateral
                Reports

            
	
              Annex
                G (Section
                6.10)

            	
              -

            	
              Financial
                Covenants

            
	
              Annex
                H (Section
                9.9(a))

            	
              -

            	
              Lenders'
                Wire Transfer Information

            
	
              Annex
                I (Section
                11.10)

            	
              -

            	
              Notice
                Addresses

            
	
              Annex
                J (from Annex A-Commitments definition)

            	
              -

            	
              Commitments
                as of Restatement Closing Date

            
	 	 	 
	
              Exhibit
                1.1(a)(i)

            	
              -

            	
              Form
                of Notice of Revolving Credit Advance

            
	
              Exhibit
                1.1(a)(ii)

            	
              -

            	
              Form
                of Revolving Note

            
	
              Exhibit
                1.1(b)

            	
              -

            	
              Form
                of Term Note

            
	
              Exhibit
                1.1(c)(i)

            	
              -

            	
              Form
                of Notice of Swing Line Advance

            
	
              Exhibit
                1.1(c)(ii)

            	
              -

            	
              Form
                of Swing Line Note

            
	
              Exhibit
                1.5(e)

            	
              -

            	
              Form
                of Notice of Conversion/Continuation

            
	
              Exhibit
                5.13

            	 	
              Form
                of Joinder Agreement

            
	
              Exhibit
                6.3(a)(viii)

            	 	
              Form
                of Subordinated Intercompany Note

            
	
              Exhibit
                9.1(a)

            	
              -

            	
              Form
                of Assignment Agreement

            
	 	 	 
	
              Schedule
                A-1

            	 	
              Consolidated
                EBITDA - Four Fiscal Quarters Ending on March 31, 2006

            
	
              Schedule
                A-2

            	 	
              Consolidated
                EBITDA –
                2005/2006

            
	
              Schedule
                1.1

            	
              -

            	
              Agent's
                Representatives

            
	
              Disclosure
                Schedule 1.4

            	
              -

            	
              Sources
                and Uses; Funds Flow Memorandum

            
	
              Disclosure
                Schedule 3.1

            	
              -

            	
              Type
                of Entity; State of Organization; Telecommunications
                Approvals

            
	
              Disclosure
                Schedule 3.2

            	
              -

            	
              Executive
                Offices, Collateral Locations, FEIN

            
	
              Disclosure
                Schedule 3.4(a)

            	
              -

            	
              Financial
                Statements

            
	
              Disclosure
                Schedule 3.4(b)

            	
              -

            	
              Pro
                Forma

            
	
              Disclosure
                Schedule 3.6

            	
              -

            	
              Real
                Property

            
	
              Disclosure
                Schedule 3.7

            	
              -

            	
              Labor
                Matters

            
	
              Disclosure
                Schedule 3.8

            	
              -

            	
              Ventures,
                Subsidiaries and Affiliates; Outstanding Stock 

            
	
              Disclosure
                Schedule 3.11

            	
              -

            	
              Tax
                Matters

            
	
              Disclosure
                Schedule 3.12

            	
              -

            	
              ERISA
                Plans

            
	
              Disclosure
                Schedule 3.13

            	
              -

            	
              Litigation

            
	
              Disclosure
                Schedule 3.14

            	
              -

            	
              Brokers

            
	
              Disclosure
                Schedule 3.15

            	
              -

            	
              Intellectual
                Property

            
	
              Disclosure
                Schedule 3.17

            	
              -

            	
              Hazardous
                Materials

            
	
              Disclosure
                Schedule 3.18

            	
              -

            	
              Insurance

            
	
              Disclosure
                Schedule 3.19

            	
              -

            	
              Accounts

            
	
              Disclosure
                Schedule 3.20

            	
              -

            	
              Government
                Contracts

            

    

     

    
      
         

        
        

      

      
        v

        
          

        

      

      
        
        

      

    

     

    
      	
              Disclosure
                Schedule 3.22

            	
              -

            	
              Material
                Agreements

            
	
              Disclosure
                Schedule 3.27

            	
              -

            	
              Capitalization

            
	
              Disclosure
                Schedule 6.2

            	
              -

            	
              Investments

            
	
              Disclosure
                Schedule 6.3

            	
              -

            	
              Indebtedness

            
	
              Disclosure
                Schedule 6.4(a)

            	
              -

            	
              Transactions
                with Affiliates

            
	
              Disclosure
                Schedule 6.6

            	 	
              Guaranteed
                Indebtedness

            
	
              Disclosure
                Schedule 6.7

            	
              -

            	
              Existing
                Liens

            

    

     

    
      
         

        
        

      

      
        vi

        
          

        

      

      
        
        

      

    

     

    This
      AMENDED AND RESTATED CREDIT AGREEMENT (this "Agreement"),
      dated
      as of July 3, 2006 among OTELCO INC., a Delaware corporation ("Borrower");
      the
      other Credit Parties signatory hereto; GENERAL ELECTRIC CAPITAL CORPORATION,
      a
      Delaware corporation (in its individual capacity, "GE
      Capital"),
      for
      itself, as Lender, and as Agent for Lenders, and the other Lenders signatory
      hereto from time to time.

     

    RECITALS

     

    WHEREAS,
      pursuant to the Credit Agreement dated as of December 21, 2004 among Borrower,
      GE Capital, as Lender and as Agent for Lenders and the other Lenders from time
      to time party thereto (as amended, supplemented or otherwise modified prior
      to
      the date hereof, the "Original
      Credit Agreement")
      the
      Lenders extended Term Loans to Borrower in the initial aggregate principal
      amount of Eighty Million Dollars ($80,000,000) and made available to Borrower
      a
      Revolving Loan Commitment in a principal amount of up to Fifteen Million Dollars
      ($15,000,000); 

     

    WHEREAS,
      Borrower
      has requested that the Lenders and Agent amend and restate (but not novate)
      the
      terms and conditions of the Original Credit Agreement on the terms and
      conditions further set forth herein in order to, among other things, provide
      for
      the extension to Borrower of Forty Million Dollars ($40,000,000) of Additional
      Term Loans (as defined below) to finance the Mid-Maine Acquisition,
      to
      provide working capital for the Borrower and its Subsidiaries and for other
      corporate purposes, to fund permitted capital expenditures and to pay
      transaction fees and expenses related to the amendment and restatement of this
      Agreement and the Mid-Maine Acquisition; and for these purposes, each Term
      Lender having an Additional Term Loan Commitment is willing to make such
      Additional Term Loans to Borrower and amend and restate the Original Credit
      Agreement upon the terms and conditions set forth herein; and

     

    WHEREAS,
      pursuant to the Original Credit Agreement Borrower agreed to secure all of
      its
      obligations under the Loan Documents by granting to Agent, for the benefit
      of
      Agent and Lenders, a security interest in and lien upon substantially all of
      its
      existing and after-acquired personal and real property; 

     

    WHEREAS,
      in connection with this amendment and restatement of the Original Credit
      Agreement on the terms and conditions further set forth herein and the extension
      of the Additional Term Loans hereunder, and as a condition to the funding by
      the
      Lenders of the same, each of the parties to the Collateral Documents
      acknowledges and reaffirms (a) the continuance of Agent's Liens, on behalf
      of
      itself and Lenders, pursuant to the Collateral Documents and (b) the continuing
      effectiveness of Collateral Documents as security for the Obligations, including
      the Additional Term Loans advanced hereunder;

     

    WHEREAS,
      pursuant to the Original Credit Agreement, each of the Guarantors guaranteed
      all
      of the obligations of Borrower to Agent and Lenders under the Loan Documents
      and
      granted to Agent, for the benefit of Agent and Lenders, a security interest
      in
      and lien upon substantially all of its existing and after-acquired personal
      and
      real property to secure such guaranty,
      other
      than property of a PUC Restricted Subsidiary;
      

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    WHEREAS,
      in connection with the amendment and restatement of the Original Credit
      Agreement on the terms and conditions further set forth herein and the extension
      of the Additional Term Loans hereunder, and as a condition to the funding by
      the
      Lenders of the same, each of the Guarantors acknowledges and reaffirms (a)
      the
      continuance of Agent's Liens, on behalf of itself and Lenders, pursuant to
      the
      Collateral Documents, (b) the continuing effectiveness of the Subsidiary
      Guaranty pursuant to which it guarantees all of the obligations of Borrower
      to
      Agent and Lenders under the Loan Documents, including the obligations of
      Borrower in connection with the Additional Term Loans and (c) the continuing
      effectiveness of the Security Agreement, pursuant to which it granted to Agent,
      for the benefit of Agent and Lenders, of a security interest in and lien upon
      substantially all of its existing and after-acquired
      personal property,
      other
      than property of a PUC Restricted Subsidiary,
      to
      secure, among other things, its obligations under the Subsidiary Guaranty;
      and

     

    WHEREAS,
      capitalized terms used in this Agreement shall have the meanings ascribed to
      them in Annex
      A
      and, for
      purposes of this Agreement and the other Loan Documents, the rules of
      construction set forth in Annex A
      shall
      govern. All Annexes, Disclosure Schedules, Exhibits and other attachments
      (collectively, "Appendices")
      hereto, or expressly identified to this Agreement, are incorporated herein
      by
      reference, and taken together with this Agreement, shall constitute but a single
      agreement. These Recitals shall be construed as part of the
      Agreement.

     

    NOW,
      THEREFORE, in consideration of the premises and the mutual covenants hereinafter
      contained, and for other good and valuable consideration, the parties hereto
      hereby amend and restate the Original Credit Agreement in its entirety and
      agree
      as follows:

     

    
      1AMOUNT
        AND TERMS OF CREDIT

    

     

    1.1  Credit
      Facilities.

     

    (a)  Revolving
      Credit Facility.

     

    (i)  Subject
      to the terms and conditions hereof, each Revolving Lender agrees to make
      available to Borrower from time to time until the Commitment Termination Date
      its Pro Rata Share of advances (each, a "Revolving
      Credit Advance").
      The
      Pro Rata Share of the Revolving Loan of any Revolving Lender shall not at any
      time exceed its separate Revolving Loan Commitment. The obligations of each
      Revolving Lender hereunder shall be several and not joint. Until the Commitment
      Termination Date and subject to the terms and conditions hereof, Borrower may
      from time to time borrow, repay and reborrow under this Section
      1.1(a);
      provided,
      that
      the amount of any Revolving Credit Advance to be made at any time shall not
      exceed Borrowing Availability at such time. Each Revolving Credit Advance shall
      be made on notice by Borrower to one of the representatives of Agent identified
      in Schedule
      1.1
      at the
      address specified therein. Any such notice must be given no later than (1)
      1:00
      p.m. (New York time) on the Business Day of the proposed Revolving Credit
      Advance, in the case of an Index Rate Loan, or (2) 11:00 a.m. (New York time)
      on
      the date which is three (3) Business Days prior to the proposed Revolving Credit
      Advance, in the case of a LIBOR Loan. Each such notice (a "Notice
      of Revolving Credit Advance")
      must
      be given in writing (by telecopy or overnight courier) substantially in the
      form
      of Exhibit
      1.1(a)(i),
      and
      shall include the information required in such Exhibit and such other
      information as may be required by Agent. If Borrower desires to have the
      Revolving Credit Advances bear interest by reference to a LIBOR Rate, it must
      comply with Section
      1.5(e).

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    (ii)  Except
      as
      provided in Section
      1.12,
      Borrower shall execute and deliver to each Revolving Lender a note to evidence
      the Revolving Loan Commitment of that Revolving Lender. Each note shall be
      in
      the principal amount of the Revolving Loan Commitment of the applicable
      Revolving Lender, dated the Original Closing Date and substantially in the
      form
      of Exhibit
      1.1(a)(ii)
      (each a
      "Revolving
      Note"
      and,
      collectively, the "Revolving
      Notes").
      Each
      Revolving Note shall represent the obligation of Borrower to pay the amount
      of
      the applicable Revolving Lender's Revolving Loan Commitment or, if less, such
      Revolving Lender's Pro Rata Share of the aggregate unpaid principal amount
      of
      all Revolving Credit Advances to Borrower together with interest thereon as
      prescribed in Section
      1.5.
      The
      entire unpaid balance of the Revolving Loan and all other non-contingent
      Obligations shall be immediately due and payable in full in immediately
      available funds on the Commitment Termination Date. 

     

    (b)  Original
      Term Loan; Additional Term Loan.

     

    (i)  On
      the
      Original Closing Date, pursuant to the Original Credit Agreement, Lenders party
      thereto advanced a term loan to Borrower in the aggregate principal amount
      of
      $80,000,000 (the "Original
      Term Loan").
      On the
      Restatement Closing Date and subject to the satisfaction or waiver by Agent
      and
      each Lender of each of the conditions set forth in Section 2,
      the
      Lenders agree that the terms and conditions of the Term Loan shall be amended
      and restated on the terms and conditions set forth herein. Subject
      to the terms and conditions hereof, each Term Lender having an Additional Term
      Loan Commitment agrees to make a term loan (collectively, the "Additional
      Term Loan")
      on the
      Restatement Closing Date to Borrower in the original principal amount of its
      Additional Term Loan Commitment. The obligations of each Term Lender hereunder
      shall be several and not joint. The obligations of each Term Lender having
      an
      Additional Term Loan Commitment hereunder shall be several and not joint. The
      Term Loan shall be evidenced by promissory notes substantially in the form
      of
Exhibit
      1.1(b)
      (each a
      "Term
      Note"
      and
      collectively the "Term
      Notes"),
      and,
      except as provided in Section
      1.12,
      Borrower shall execute and deliver each Term Note to the applicable Term Lender.
      Each Term Note shall represent the obligation of Borrower to pay the amount
      of
      the applicable Term Lender's Total Term Loan Commitment, together with interest
      thereon as prescribed in Section
      1.5.
      Borrower
      further agrees that, promptly after the receipt from a Lender of a Term Note
      executed and delivered by Borrower pursuant to the Original Credit Agreement,
      Borrower shall execute and deliver to such Lender a Term Note in replacement
      of
      such Term Note in the principal amount of the Term Loans of such Lender
      hereunder.

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    (ii)  [Intentionally
      Omitted]

     

    (iii)  The
      entire unpaid balance of the Term Loan shall be due and payable in full in
      immediately available funds on the Commitment Termination Date, if not sooner
      paid in full. No payment with respect to the Term Loan may be reborrowed.

     

    (iv)  Each
      payment of principal with respect to the Term Loan made pursuant to this
Section
      1.1(b) shall
      be
      paid to Agent for the ratable benefit of each Term Lender, ratably in proportion
      to each such Term Lender's respective Total Term Loan Commitment. 

     

    (c)  Swing
      Line Facility.

     

    (i)  Subject
      to the terms and conditions hereof, the Swing Line Lender shall make available
      from time to time until the Commitment Termination Date advances (each, a
      "Swing
      Line Advance")
      in
      accordance with this Section
      1.1(c).
      The
      aggregate amount of Swing Line Advances outstanding shall not exceed at any
      time
      the lesser of (A) the Swing Line Commitment and (B) the Maximum Amount less
      the
      sum of the outstanding balance of the Revolving Loan at such time and the
      Reserves in effect at such time ("Swing
      Line Availability").
      Until
      the Commitment Termination Date, Borrower may from time to time borrow, repay
      and reborrow under this Section
      1.1(c).
      Each
      Swing Line Advance shall be made pursuant to a notice of Swing Line Advance
      (a
      "Notice
      of Swing Line Advance")
      in
      writing substantially in the form of Exhibit
      1.1(c)(i),
      delivered by Borrower to the Swing Line Lender and Agent in accordance with
      this
Section
      1.1(c).
      Any
      such notice must be given no later than 1:00 p.m. (New York time) on the
      Business Day of the proposed Swing Line Advance. Unless the Swing Line Lender
      has received at least one Business Day's prior written notice from Requisite
      Revolving Lenders instructing it not to make a Swing Line Advance, the Swing
      Line Lender shall, notwithstanding the failure of any condition precedent set
      forth in Section
      2.2,
      be
      entitled to fund that Swing Line Advance, and to have such Revolving Lender
      make
      Revolving Credit Advances in accordance with Section
      1.1(c)(iii)
      or
      purchase participating interests in accordance with Section
      1.1(c)(iv).
      Notwithstanding any other provision of this Agreement or the other Loan
      Documents, the Swing Line Loan shall constitute an Index Rate Loan. Borrower
      shall repay the aggregate outstanding principal amount of the Swing Line Loan
      upon demand therefor by Agent. 

     

    (ii)  Borrower
      shall execute and deliver to the Swing Line Lender a promissory note to evidence
      the Swing Line Commitment. Such note shall be in the principal amount of the
      Swing Line Commitment of the Swing Line Lender, dated the Original Closing
      Date
      and substantially in the form of Exhibit
      1.1(c)(ii)
      (the
      "Swing
      Line Note").
      The
      Swing Line Note shall represent the obligation of Borrower to pay the amount
      of
      the Swing Line Commitment or, if less, the aggregate unpaid principal amount
      of
      all Swing Line Advances made to Borrower together with interest thereon as
      prescribed in Section
      1.5.
      The
      entire unpaid balance of the Swing Line Loan and all other noncontingent
      Obligations shall be immediately due and payable in full in immediately
      available funds on the Commitment Termination Date if not sooner paid in
      full.

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (iii)  The
      Swing
      Line Lender, at any time and from time to time but no less frequently than
      once
      weekly, shall on behalf of Borrower (and Borrower hereby irrevocably authorizes
      the Swing Line Lender to so act on its behalf) request each Revolving Lender
      (including the Swing Line Lender) to make a Revolving Credit Advance to Borrower
      (which shall be an Index Rate Loan) in an amount equal to that Revolving
      Lender's Pro Rata Share of the principal amount of the Swing Line Loan (the
      "Refunded
      Swing Line Loan")
      outstanding on the date such notice is given. Unless any of the events described
      in Sections
      8.1(h)
      or
8.1(i)
      has
      occurred (in which event the procedures of Section
      1.1(c)(iv)
      shall
      apply) and regardless of whether the conditions precedent set forth in this
      Agreement to the making of a Revolving Credit Advance are then satisfied, each
      Revolving Lender shall disburse directly to Agent, its Pro Rata Share of a
      Revolving Credit Advance on behalf of the Swing Line Lender, prior to 3:00
      p.m.
      (New York time), in immediately available funds on the Business Day next
      succeeding the date that notice is given. The proceeds of the Revolving Credit
      Advances referred to in the immediately preceding sentence shall be immediately
      paid to the Swing Line Lender and applied to repay the Refunded Swing Line
      Loan.

     

    (iv)  If,
      prior
      to refunding a Swing Line Loan with a Revolving Credit Advance pursuant to
      Section
      1.1(c)(iii),
      one of
      the events described in Sections
      8.1(h)
      or
8.1(i)
      has
      occurred, then, subject to the provisions of Section
      1.1(c)(v)
      below,
      each Revolving Lender shall, on the date such Revolving Credit Advance was
      to
      have been made for the benefit of Borrower, purchase from the Swing Line Lender
      an undivided participation interest in the Swing Line Loan in an amount equal
      to
      its Pro Rata Share of such Swing Line Loan. Upon request, each Revolving Lender
      shall promptly transfer to the Swing Line Lender, in immediately available
      funds, the amount of its participation interest.

     

    (v)  Each
      Revolving Lender's obligation to make Revolving Credit Advances in accordance
      with Section
      1.1(c)(iii)
      and to
      purchase participation interests in accordance with Section
      1.1(c)(iv)
      shall be
      absolute and unconditional and shall not be affected by any circumstance,
      including (A) any setoff, counterclaim, recoupment, defense or other right
      that
      such Revolving Lender may have against the Swing Line Lender, Borrower or any
      other Person for any reason whatsoever; (B) the occurrence or continuance of
      any
      Default or Event of Default; (C) any inability of Borrower to satisfy the
      conditions precedent to borrowing set forth in this Agreement at any time or
      (D)
      any other circumstance, happening or event whatsoever, whether or not similar
      to
      any of the foregoing. If any Revolving Lender does not make available to Agent
      or the Swing Line Lender, as applicable, the amount required pursuant to
Sections
      1.1(c)(iii)
      or
1.1(c)(iv),
      as the
      case may be, the Swing Line Lender shall be entitled to recover such amount
      on
      demand from such Revolving Lender, together with interest thereon for each
      day
      from the date of non-payment until such amount is paid in full at the Federal
      Funds Rate for the first two Business Days and at the Index Rate
      thereafter.

     

    (d)  Reliance
      on Notices.
      Agent
      shall be entitled to rely upon, and shall be fully protected in relying upon,
      any Notice of Revolving Credit Advance, Notice of Swing Line Advance, Notice
      of
      Conversion/Continuation or similar notice believed by Agent to be genuine.
      Agent
      may assume that each Person executing and delivering any notice in accordance
      herewith was duly authorized, unless the responsible individual acting thereon
      for Agent has actual knowledge to the contrary. 

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    1.2  [Intentionally
      Omitted] .
      

     

    1.2A Swap
      Related Reimbursement Obligations.

    

    (a) Borrower
      agrees to reimburse each Swap Related L/C Provider in immediately available
      funds in the amount of any payment made by such Swap Related L/C Provider under
      a Swap Related L/C (such reimbursement obligation, whether contingent upon
      payment by such Swap Related L/C Provider under its Swap Related L/C or
      otherwise, being herein called a "Swap
      Related Reimbursement Obligation").
      No
      Swap Related Reimbursement Obligation for any Swap Related L/C may exceed the
      amount of the payment obligations owed by Borrower under the interest rate
      protection or hedging agreement or transaction supported by the Swap Related
      L/C.

    

    (b) A
      Swap
      Related Reimbursement Obligation shall be due and payable by Borrower within
      one
      (1) Business Day after the date on which the related payment is made by the
      applicable Swap Related L/C Provider under a Swap Related L/C. 

    

    (c) Any
      Swap
      Related Reimbursement Obligation shall, during the period in which it is unpaid,
      bear interest at the rate per annum equal to the LIBOR Rate plus one percent
      (1%), as if the unpaid amount of the Swap Related Reimbursement Obligation
      were
      a LIBOR Loan, and not at any otherwise applicable Default Rate. Such interest
      shall be payable upon demand. The following additional provisions apply to
      the
      calculation and charging of interest on Swap Related Reimbursement Obligations
      by reference to the LIBOR Rate:

    

    (i) The
      LIBOR
      Rate shall be determined for each successive one-month LIBOR Period during
      which
      the Swap Related Reimbursement Obligation is unpaid, notwithstanding the
      occurrence of any Event of Default and even if the LIBOR Period were to extend
      beyond the Commitment Termination Date. 

    

    (ii) If
      a Swap
      Related Reimbursement Obligation is paid during a monthly period for which
      the
      LIBOR Rate is determined, interest shall be pro-rated and charged for the
      portion of the monthly period during which the Swap Related Reimbursement
      Obligation was unpaid. Section
      1.13(b)
      shall
      not apply to any payment of a Swap Related Reimbursement Obligation during
      the
      monthly period.

    

    (d) Except
      as
      provided in the foregoing provisions of this Section
      1.2A
      and in
Section
      11.3,
      Borrower shall not be obligated to pay to a Swap Related L/C Provider or any
      of
      its Affiliates any letter of credit fees or any other fees, charges or expenses,
      in respect of its Swap Related L/C or arranging for any interest rate protection
      or hedging agreement or transaction supported by its Swap Related L/C. Each
      Swap
      Related L/C Provider and its Affiliates shall look to the beneficiary of a
      Swap
      Related L/C for payment of any such fees, charges or expenses
      and such
      beneficiary may factor such letter of credit fees or other fees, charges, or
      expenses into the pricing of any interest rate protection or hedging arrangement
      or transaction supported by such Swap Related L/C. 

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    

    (e) If
      a Swap
      Related L/C is revocable prior to its scheduled expiry date, the Swap Related
      L/C Provider agrees not to revoke such Swap Related L/C unless the Commitment
      Termination Date or an Event of Default has occurred.

    

    (f) Each
      Swap
      Related L/C Provider or any of its Affiliates shall be permitted to (i) provide
      confidential or other information furnished to it by any of the Credit Parties
      (including, without limitation, copies of any documents and information in
      or
      referred to in the Closing Checklist, Financial Statements and Compliance
      Certificates) to a beneficiary or potential beneficiary of its Swap Related
      L/C
      and (ii) receive confidential or other information from the beneficiary or
      potential beneficiary relating to any agreement or transaction supported or
      to
      be supported by its Swap Related L/C. However, no confidential information
      shall
      be provided to any Person under this paragraph unless the Person has agreed
      to
      comply with the covenant substantially as contained in Section
      11.8
      of this
      Agreement. 

    

    (g) For
      the
      avoidance of doubt, nothing in this Agreement shall require Borrower to enter
      into any Swap Related L/C.

    

    1.3  Prepayments.

     

    (a)  Voluntary
      Prepayments.
      Borrower
      may at any time on at least three (3) days’ prior notice to Agent and Lenders
      voluntarily prepay all of the Term Loan. In addition, subject
      to the
      following sentence, Borrower may at any time on at least three (3) days' prior
      written notice to Agent and Lenders voluntarily prepay part of the Term Loan;
      provided
      that any
      such partial prepayment shall be in a minimum amount of $1,000,000 and integral
      multiples of $500,000 in excess of such amount. Notwithstanding
      the preceding sentence, if Borrower has given notice of a voluntary partial
      prepayment of the Term Loan (such notice, a "Voluntary
      Partial Prepayment Notice"),
      any
      Term Lender holding a portion of the Term Loan may elect, by notice to Agent
      prior to the prepayment date, to decline the amount of such voluntary partial
      prepayment of the Term Loan to the extent it would be applied to prepay the
      portion of the Term Loan held by such declining Term Lender assuming none of
      the
      Term Lenders declined such prepayment (the aggregate amount, if any, so declined
      by the declining Term Lenders in respect of a Voluntary Partial Prepayment
      Notice, the "Declined
      Voluntary Prepayment Amount"),
      in
      which case (i) in respect of a Voluntary Partial Prepayment Notice Borrower
      may
      only prepay the Term Loan, and shall prepay the Term Loan, in each case in
      an
      amount equal to the amount of the voluntary partial prepayment specified in
      such
      Voluntary Partial Prepayment Notice less the Declined Voluntary Prepayment
      Amount in respect thereof and (ii) the amount prepaid shall be applied to the
      Term Loan pursuant to Section
      1.11(a)
      for the
      ratable benefit of each Term Lender that did not decline such prepayment.
In
      addition, Borrower may at any time on at least 10 days' prior written notice
      to
      Agent terminate the Revolving Loan Commitment; provided
      that
      upon such termination, all Loans and other Obligations shall be immediately
      due
      and payable in full. Any such voluntary prepayment and any such termination
      of
      the Revolving Loan Commitment must be accompanied by the payment of the Fee
      required by Section
      1.9(c),
      if any,
      plus the payment of any LIBOR funding breakage costs in accordance with
Section
      1.13(b).
      Upon
      any such termination of the Revolving Loan Commitment, Borrower's right to
      request Revolving Credit Advances shall simultaneously be terminated.

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    (b)  Mandatory
      Prepayments.

     

    (i)  If
      at any
      time the sum of the outstanding balances of the Revolving Loan and the Swing
      Line Loan exceed the Maximum Amount less the Reserves as then in effect,
      Borrower shall immediately repay the aggregate outstanding Revolving Credit
      Advances to the extent required to eliminate such excess. 

     

    (ii)  No
      later
      than the Business Day following receipt by any Credit Party of Net Cash Proceeds
      of any Disposition (other than Excluded Disposition Proceeds), Borrower shall
      prepay the Obligations in amount equal to the Net Cash Proceeds of such
      Disposition; provided,
      however,
      that so
      long as (a) no Default or Event of Default has occurred and is continuing,
      (b)
      the Net Cash Proceeds of all Dispositions (other than Excluded Disposition
      Proceeds) from the first day of the then current Fiscal Year through the
      applicable date of determination do not exceed $1,000,000 in the aggregate
      for
      all Credit Parties combined and (c) the applicable Credit Party shall have
      delivered to Agent written notice on or prior to the fifth Business Day after
      such Disposition (if such Disposition is a Condemnation) or on or prior to
      the
      third Business Day prior to the consummation of such Disposition (if such
      Disposition is not a Condemnation) of its election to allocate all or a portion
      of the Net Cash Proceeds of such Disposition to reinvest in capital assets
      used
      or to be used in the businesses of the Credit Parties of the type engaged in
      by
      the Credit Parties as of the Restatement Closing Date or businesses reasonably
      related thereto (a "Reinvestment
      Transaction"),
      the
      applicable Credit Party may apply all or a portion of such Net Cash Proceeds
      to
      such Reinvestment Transaction within 180 days following such Disposition;
provided,
      further,
      that
      (1) any portion of such Net Cash Proceeds that Borrower does not so elect in
      such written notice to allocate to such Reinvestment Transaction shall be
      applied to prepay the Loans in accordance with this Section
      1.3(b)(ii)
      no later
      than the Business Day following receipt thereof by Agent; (2) until such
      Reinvestment Transaction is consummated, the amount of such Net Cash Proceeds
      allocated to such Reinvestment Transaction shall either be (x) deposited in
      a
      cash collateral account held by Agent or (y) applied to reduce the outstanding
      principal balance of the Revolving Loan (which application shall not result
      in a
      permanent reduction of the Revolving Loan Commitment) and upon such application
      to the Revolving Loan Agent shall establish a Reserve against the Borrowing
      Availability in an amount equal to the amount of such proceeds so applied;
      (3)
      Borrower may request a Revolving Credit Advance or release from such cash
      collateral account, as applicable, to fund such Reinvestment Transaction and
      so
      long as the conditions in Section
      2.2
      have
      been met, Revolving Lenders shall make such Revolving Credit Advance or Agent
      shall release funds from such cash collateral account to fund such Reinvestment
      Transaction; (4) in the event such Net Cash Proceeds have been applied against
      the Revolving Loan, the Reserve established with respect to such Net Cash
      Proceeds shall be reduced by the amount of such Revolving Credit Advance; and
      (5) if such Reinvestment Transaction is not consummated within 180 days
      following such Disposition or to the extent any portion of such Net Cash
      Proceeds allocated to such Reinvestment Transaction are not applied to such
      Reinvestment Transaction within 180 days following such Disposition, (A) such
      Net Cash Proceeds then held in such account shall immediately be applied to
      prepay the Loans in accordance with this Section
      1.3(b)(ii)
      and (B)
      any Reserve allocated to such Reinvestment Transaction shall be immediately
      utilized through the borrowing by Borrower of a Revolving Credit Advance, the
      proceeds of which shall be applied to the prepayment of the Loans in accordance
      with this Section
      1.3(b)(ii).
      

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    (iii)  No
      later
      than the Business Day following receipt by any Credit Party of Net Cash Proceeds
      of any Debt Issuance (other than Excluded Debt Issuance Proceeds) or any Stock
      Issuance (other than Excluded Stock Issuance Proceeds), Borrower shall prepay
      the Obligations in an amount equal to such Net Cash Proceeds. No later than
      the
      Business Day following the ninetieth (90th) day following receipt by any Credit
      Party of Net Cash Proceeds of any Debt Issuance referred to in clause (c) or
      (d)
      of the definition of Excluded Debt Issuance Proceeds, Borrower shall prepay
      the
      Obligations in an amount equal to the amount (if any) of the Net Cash Proceeds
      from such Debt Issuance that have not been applied as provided in subclause
      (i)
      or (ii) of such clause (c) or (d), as applicable. No later than the Business
      Day
      following the ninetieth (90th) day following receipt by any Credit Party of
      Net
      Cash Proceeds of any Stock Issuance referred to in clause (c) of the definition
      of Excluded Stock Issuance Proceeds, Borrower shall prepay the Obligations
      in an
      amount equal to the amount (if any) of the Net Cash Proceeds from such Stock
      Issuance that have not been applied as provided in subclauses (i), (ii), (iii)
      or (iv) of such clause (c).

     

    (iv)  On
      each
      IDS Payment Date occurring on or after June 30, 2005 on which the payment of
      cash interest on one
      or
      more series or issues of IDS Subordinated
      Notes is
      then prohibited pursuant to Section
      6.14
      (such
      one or more series or issues of IDS Subordinated Notes, the "Subject
      IDS Subordinated Notes"),
      Borrower shall prepay the Obligations in an aggregate amount equal to the lesser
      of: 

     

    (A)
      100%
      of the amount of (I) Distributable Cash as of such IDS Payment Date minus
      (II) the
      aggregate amount of cash dividends paid by Borrower on its common stock and
      cash
      interest payments made by Borrower on the Subordinated Debt in accordance with
      Sections
      6.14(e)
      and
(f)
      during
      the period from January 1, 2005 through the end of the Fiscal Quarter most
      recently ended prior to such IDS Payment Date, and 

     

    (B)
      60%
      of the Consolidated Interest Expense (excluding any PIK Amounts) accrued to
      and
      including such IDS Payment Date from the immediately preceding IDS Payment
      Date
      which is attributable to such Subject IDS Subordinated Notes.

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    (v)  On
      each
      IDS Payment Date occurring on or after June 30, 2005 on which the payment of
      cash dividends on Borrower’s Class A common stock is then prohibited pursuant to
Section
      6.14,
      Borrower shall prepay the Obligations in an aggregate amount equal to:

     

    (A)
      75%
      of the amount of Excess Cash as of such IDS Payment Date, minus 

     

    (B)
      the
      sum of (1) the aggregate amount of cash dividends paid by Borrower on its Class
      A common stock in accordance with Section
      6.14(e)
      during
      the period from January 1, 2005 through the end of the Fiscal Quarter most
      recently ended prior to such IDS Payment Date and (2) the amount, if any, of
      any
      mandatory prepayment of the Loans on such IDS Payment Date pursuant to
Section
      1.3(b)(iv).
      

     

    (vi)  Borrower
      shall prepay the Obligations from insurance and condemnation proceeds in
      accordance with Section
      5.4(c)
      and the
      Mortgages, respectively.

     

    (vii)  Upon
      the
      occurrence of a Change of Control, Borrower shall promptly (but in any event
      within three (3) Business Days of such Change of Control) deliver written notice
      to each Lender offering to prepay in full the aggregate principal amount of
      such
      Lender's Pro Rata Share of the Loans then outstanding, together with accrued
      and
      unpaid interest thereon, without premium, plus the payment of any LIBOR funding
      breakage costs in accordance with Section
      1.13(b).
      If a
      Lender shall, within ten (10) Business Days of its receipt of such notice,
      deliver to Borrower written notice of its acceptance of such offer, Borrower
      shall, within sixty (60) days of the occurrence of such Change of Control,
      prepay in full the aggregate principal amount of the such Lender's Pro Rata
      Share of the Loans outstanding as of the date of such prepayment, together
      with
      accrued and unpaid interest thereon, without premium, plus the payment of any
      LIBOR funding breakage costs in accordance with Section
      1.13(b)
      and the
      amount prepaid shall be applied to the Loans pursuant to Section
      1.11(a)
      for the
      ratable benefit of each Lender that accepted such offer. 

     

    The
      Agent
      shall give prompt notice to each Lender of the amount of each mandatory
      prepayment made by Borrower under this Section
      1.3(b).
      Notwithstanding the foregoing, if the amount of any mandatory prepayment made
      by
      Borrower under this Section
      1.3(b)
      (other
      than Section
      1.3(b)(i)
      and
Section
      1.3(b)(vii))
      shall
      be for less than all of the Term Loan (a "Mandatory
      Partial Term Prepayment"
      and the
      amount thereof the "Mandatory
      Partial Term Prepayment Amount"),
      any
      Term Lender holding a portion of the Term Loan may elect, by notice to Agent
      promptly following such Lender’s receipt of notice thereof pursuant to the
      preceding sentence, to decline to receive its ratable share of such Mandatory
      Partial Term Prepayment Amount, in which case the Mandatory Partial Term
      Prepayment Amount shall be applied to the Term Loan pursuant to Section
      1.11(a)
      for the
      ratable benefit of each Term Lender that did not decline such prepayment.

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    (c)  Application
      of Certain Mandatory Prepayments.
      Any
      prepayments made by Borrower pursuant to Sections
      1.3(b)(ii), (b)(iii), (b)(iv) or (b)(v)
      above,
      and any prepayments from insurance and condemnation proceeds in accordance
      with
Section
      5.4(c)
      and the
      Mortgage(s), respectively, shall be applied as follows: first,
      to Fees
      and reimbursable expenses of Agent then due and payable pursuant to any of
      the
      Loan Documents; second,
      to
      interest then due and payable on the Loans, ratably in proportion to the
      interest accrued as to each Loan; and third,
      to
      prepay the outstanding principal balance of the Loans, ratably in proportion
      to
      the outstanding principal balance of each Loan. Neither the Revolving Loan
      Commitment nor the Swing Line Commitment shall be permanently reduced by the
      amount of any such prepayments. 

     

    (d)  Termination
      of Revolving Loan Commitment Upon Change of Control Mandatory
      Prepayment.
      To the
      extent that any Lender having a Revolving Loan Commitment elects to accept
      the
      offer of prepayment set forth in the notice delivered by Borrower pursuant
      to
Section
      1.3(b)(vii),
      on the
      date that Borrower prepays such Lender's Pro Rata Share of the Loans in
      accordance with Section 1.3(b)(vii), such Lender's Pro Rata Share of the
      Revolving Loan Commitment shall terminate and be reduced to zero; provided,
      however,
      that
      any such prepayment and any such termination of the Revolving Loan Commitment
      must be accompanied by the payment of the Fee required by Section
      1.9(c),
      if any,
      plus the payment of any LIBOR funding breakage costs in accordance with
Section
      1.13(b).
      Upon
      any such termination of the Revolving Loan Commitment, Borrower's right to
      request Revolving Credit Advances from such Lender shall simultaneously be
      terminated.

     

    (e)  No
      Implied Consent.
      Nothing
      in this Section
      1.3
      shall be
      construed to constitute Agent's or any Lender's consent to any transaction
      that
      is not permitted by other provisions of this Agreement or the other Loan
      Documents.

     

    1.4  Use
      of
      Proceeds.
      Borrower shall utilize the proceeds of the Original Term Loan, the Revolving
      Loan and the Swing Line Loan solely for the Refinancing (and to pay any related
      transaction expenses), and for the financing of Borrower's ordinary working
      capital and general corporate purposes, including Permitted Acquisitions,
      Restricted Payments and Consolidated Capital Expenditures, in each case to
      the
      extent not prohibited by this Agreement. Borrower shall utilize the proceeds
      of
      the Additional Term Loan to finance the Mid-Maine Acquisition, to pay related
      fees and expenses and for the financing of Borrower's ordinary working capital
      and general corporate purposes, including Permitted Acquisitions, Restricted
      Payments and Consolidated Capital Expenditures, in each case to the extent
      not
      prohibited by this Agreement. Disclosure
      Schedule (1.4)
      contains
      a description of Borrower's sources and uses of the proceeds of the Additional
      Term Loan as of the Restatement Closing Date, including the sources and uses
      of
      any other funds to be applied to consummate the Mid-Maine Acquisition and the
      Restatement Related Transactions, and a funds flow memorandum detailing how
      funds from each source are to be transferred to particular uses.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    1.5  Interest
      and Applicable Margins.

     

    (a)  Borrower
      shall pay interest to Agent, for the ratable benefit of Lenders in accordance
      with the various Loans being made by each Lender, in arrears on each applicable
      Interest Payment Date, at the following rates: (i) with respect to the Revolving
      Credit Advances, the Index Rate plus the Applicable Revolver Index Margin per
      annum or, at the election of Borrower, the applicable LIBOR Rate plus the
      Applicable Revolver LIBOR Margin per annum, based on the aggregate Revolving
      Credit Advances outstanding from time to time; (ii) with respect to the Term
      Loan, the Index Rate plus the Applicable Term Loan Index Margin per annum or,
      at
      the election of Borrower, the applicable LIBOR Rate plus the Applicable Term
      Loan LIBOR Margin per annum; and (iii) with respect to the Swing Line Loan,
      the
      Index Rate plus the Applicable Revolver Index Margin per annum.

     

    The
      Applicable Margins are as follows:

     

    
      	 	 	
              Periods
                prior to Restatement Closing Date:

            	
               

            	
              Periods
                on or after Restatement Closing Date:

            	 
	
              Applicable
                Revolver Index Margin

            	 	 	
              3.00

            	
              %

            	 	
              2.25

            	
              %

            
	
              Applicable
                Revolver LIBOR Margin

            	 	 	
              4.00

            	
              %

            	 	
              3.25

            	
              %

            
	
              Applicable
                Term Loan Index Margin

            	 	 	
              3.00

            	
              %

            	 	
              2.25

            	
              %

            
	
              Applicable
                Term Loan LIBOR Margin

            	 	 	
              4.00

            	
              %

            	 	
              3.25

            	
              %

            

    

     

    (b)  If
      any
      payment on any Loan becomes due and payable on a day other than a Business
      Day,
      the maturity thereof will be extended to the next succeeding Business Day
      (except as set forth in the definition of LIBOR Period) and, with respect to
      payments of principal, interest thereon shall be payable at the then applicable
      rate during such extension.

     

    (c)  All
      computations of Fees calculated on a per annum basis and interest shall be
      made
      by Agent on the basis of a 360-day year (or, in the case of interest on Index
      Rate Loans, a 365 or 366 day year, as applicable), in each case for the actual
      number of days occurring in the period for which such interest and Fees are
      payable. The Index Rate is a floating rate determined for each day. Each
      determination by Agent of an interest rate and Fees hereunder shall be final,
      binding and conclusive on Borrower, absent manifest error.

     

    (d)  So
      long
      as an Event of Default has occurred and is continuing, the interest rates
      applicable to the Loans shall be increased by two percentage points (2%) per
      annum above the rates of interest otherwise applicable hereunder ("Loan
      Default Rate"),
      and
      all outstanding Loans shall bear interest at the Loan Default Rate applicable
      to
      such Loans. Interest at the Loan Default Rate shall accrue from the initial
      date
      of such Event of Default until that Event of Default is cured or waived and
      shall be payable upon demand. Any
      other
      amounts payable hereunder (other than the Loans) or the other Loan Documents
      that are not paid when due shall bear interest, from the date when due until
      paid in full, at a rate per annum equal to
      the
      Index Rate plus the Applicable Term Loan Index Margin plus two percentage points
      (2%).

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    (e)  So
      long
      as no Event of Default has occurred and is continuing, Borrower shall have
      the
      option to (i) request that any Revolving Credit Advance be made as a LIBOR
      Loan,
      (ii) convert at any time all or any part of outstanding Loans (other than the
      Swing Line Loan) from Index Rate Loans to LIBOR Loans, (iii) convert any LIBOR
      Loan to an Index Rate Loan, subject to payment of LIBOR breakage costs in
      accordance with Section
      1.13(b)
      if such
      conversion is made prior to the expiration of the LIBOR Period applicable
      thereto, or (iv) continue all or any portion of any Loan (other than the Swing
      Line Loan) as a LIBOR Loan upon the expiration of the applicable LIBOR Period
      and the succeeding LIBOR Period of that continued Loan shall commence on the
      first day after the last day of the LIBOR Period of the Loan to be continued.
      Any Loan or group of Loans having the same proposed LIBOR Period to be made
      or
      continued as, or converted into, a LIBOR Loan must be in a minimum amount of
      $1,000,000 and integral multiples of $500,000 in excess of such amount. Any
      such
      election must be made by 11:00 a.m. (New York time) on the third Business Day
      prior to (1) the date of any proposed Advance which is to bear interest at
      the LIBOR Rate, (2) the end of each LIBOR Period with respect to any LIBOR
      Loans
      to be continued as such, or (3) the date on which Borrower wishes to
      convert any Index Rate Loan to a LIBOR Loan for a LIBOR Period designated by
      Borrower in such election. If no election is received with respect to a LIBOR
      Loan by 11:00 a.m. (New York time) on the third Business Day prior to the end
      of
      the LIBOR Period with respect thereto (or an Event of Default has occurred
      and
      is continuing), that LIBOR Loan shall be converted to an Index Rate Loan at
      the
      end of its LIBOR Period. Borrower must make such election by notice to Agent
      in
      writing, by telecopy or overnight courier. In the case of any conversion or
      continuation, such election must be made pursuant to a written notice (a
      "Notice
      of Conversion/Continuation")
      in the
      form of Exhibit
      1.5(e).
      

     

    (f)  Notwithstanding
      anything to the contrary set forth in this Section 1.5,
      if a
      court of competent jurisdiction determines in a final order that the rate of
      interest payable hereunder exceeds the highest rate of interest permissible
      under law (the "Maximum
      Lawful Rate"),
      then
      so long as the Maximum Lawful Rate would be so exceeded, the rate of interest
      payable hereunder shall be equal to the Maximum Lawful Rate; provided,
      however,
      that if
      at any time thereafter the rate of interest payable hereunder is less than
      the
      Maximum Lawful Rate, Borrower shall continue to pay interest hereunder at the
      Maximum Lawful Rate until such time as the total interest received by Agent,
      on
      behalf of Lenders, is equal to the total interest that would have been received
      had the interest rate payable hereunder been (but for the operation of this
      paragraph) the interest rate payable since the Original Closing Date as
      otherwise provided in this Agreement. Thereafter, interest hereunder shall
      be
      paid at the rate(s) of interest and in the manner provided in Sections
      1.5(a)
      through
(e),
      unless
      and until the rate of interest again exceeds the Maximum Lawful Rate, and at
      that time this paragraph shall again apply. In no event shall the total interest
      received by any Lender pursuant to the terms hereof exceed the amount that
      such
      Lender could lawfully have received had the interest due hereunder been
      calculated for the full term hereof at the Maximum Lawful Rate. If the Maximum
      Lawful Rate is calculated pursuant to this paragraph, such interest shall be
      calculated at a daily rate equal to the Maximum Lawful Rate divided by the
      number of days in the year in which such calculation is made. If,
      notwithstanding the provisions of this Section
      1.5(f),
      a court
      of competent jurisdiction shall finally determine that a Lender has received
      interest hereunder in excess of the Maximum Lawful Rate, Agent shall, to the
      extent permitted by applicable law, promptly apply such excess in the order
      specified in Section
      1.11
      and
      thereafter shall refund any excess to Borrower or as a court of competent
      jurisdiction may otherwise order. 

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

     

    1.6  [Intentionally
      Omitted].

     

    1.7  [Intentionally
      Omitted].

     

    1.8  Cash
      Management Systems.
      Borrower will maintain until the Termination Date the cash management systems
      described in Annex
      C
      (the
      "Cash
      Management Systems"),
      except that with respect to the Mid-Maine Entities, Borrower shall not be
      required to establish and maintain such Cash Management Systems until April
      1,
      2007. 

     

    1.9  Fees.

     

    (a)  Borrower
      shall pay to GE Capital, individually, the Fees specified in the GE Capital
      Fee
      Letter at the times specified for payment therein. On the Restatement Closing
      Date, Borrower shall pay to GE Capital and each Lender the Fees specified in
      the
      Lender Fee Letter. 

     

    (b)  As
      additional compensation for the Revolving Lenders, Borrower shall pay to Agent,
      for the ratable benefit of such Lenders, in arrears, on each Interest Payment
      Date for Index Rate Loans prior to the Commitment Termination Date and on the
      Commitment Termination Date, a Fee for Borrower's non-use of available funds
      in
      an amount equal to: 

     

    (i)  For
      periods on and after the Restatement Closing Date, one-half of one percent
      (0.50%) per annum (calculated on the basis of a 360 day year for actual days
      elapsed) of the difference between (x) the Maximum Amount (as in effect from
      time to time) and (y) the average for the period of the daily closing balance
      of
      the Revolving Loan and Swing Line Loan outstanding during the period for which
      such Fee is due; and

     

    (ii)  for
      periods prior to the Restatement Closing Date, either (A) where the average
      daily closing principal balances of the Revolving Loan and Swing Line Loan
      outstanding during such period is less than fifty percent (50%) of the Maximum
      Amount, three fourths of one percent (0.75%) per annum (calculated on the basis
      of a 360 day year for actual days elapsed) of the difference between (x) the
      Maximum Amount (as in effect from time to time) and (y) the average for the
      period of the daily closing balance of the Revolving Loan and Swing Line Loan
      outstanding during the period for which such Fee is due; or (B) where the
      average daily closing principal balances of the Revolving Loan and Swing Line
      Loan outstanding during such period is equal to or greater than fifty percent
      (50%) of the Maximum Amount, one half of one percent (0.50%) per annum
      (calculated on the basis of a 360 day year for actual days elapsed) of the
      difference between (x) the Maximum Amount (as in effect from time to time)
      and
      (y) the average for the period of the daily closing balances of the Revolving
      Loan and Swing Line Loan outstanding during the period for which such Fee is
      due.

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

     

    (c)  If
      Borrower voluntarily prepays all or any portion of the Term Loan pursuant to
      Section
      1.3(a),
      Borrower shall pay to Agent, for the benefit of the Term Lenders being prepaid,
      as liquidated damages and compensation for the costs of being prepared to make
      funds available hereunder an amount equal to the Applicable Percentage (as
      defined below) multiplied by the principal amount of the Term Loan so prepaid.
      As used herein, the term "Applicable
      Percentage"
      shall
      mean one percent (1%), in the case of a prepayment on or prior to the first
      anniversary of the Restatement Closing Date. After the first anniversary of
      the
      Restatement Closing Date, the Applicable Percentage shall mean zero percent.
      The
      Credit Parties agree that the Applicable Percentages are a reasonable
      calculation of Lenders' lost profits in view of the difficulties and
      impracticality of determining actual damages resulting from an early termination
      of the Commitments. 

     

    (d)  [Intentionally
      Omitted]

     

    1.10  Receipt
      of Payments

     

    Borrower
      shall make each payment under this Agreement not later than 2:00 p.m. (New
      York
      time) on the day when due in immediately available funds in Dollars to the
      Collection Account. For purposes of computing interest and Fees and determining
      Borrowing Availability as of any date, all payments shall be deemed received
      on
      the Business Day on which immediately available funds therefor are received
      in
      the Collection Account prior to 2:00 p.m. New York time. Payments received
      after
      2:00 p.m. New York time on any Business Day or on a day that is not a Business
      Day shall be deemed to have been received on the following Business Day.

     

    1.11  Application
      and Allocation of Payments.

     

    (a)  So
      long
      as no Event of Default has occurred and is continuing, (i) payments matching
      specific scheduled payments then due shall be applied to those scheduled
      payments; (ii) voluntary prepayments shall be applied in accordance with the
      provisions of Section
      1.3(a);
      and
      (iii) mandatory prepayments shall be applied as set forth in Section
      1.3(c).
      All
      payments and prepayments applied to a particular Loan shall be applied ratably
      to the portion thereof held by each Lender as determined by its applicable
      Pro
      Rata Share, except as otherwise provided in Section
      1.3(a)
      and
Section
      1.3(b)
      if a
      Term Lender declines a partial prepayment of the Term Loan or if a partial
      prepayment is made pursuant to Section 1.3(b)(vii).
      As to
      any other payment, and as to all payments made when an Event of Default has
      occurred and is continuing or following the Commitment Termination Date,
      Borrower hereby irrevocably waives the right to direct the application of any
      and all payments received from or on behalf of Borrower and unless expressly
      stated otherwise in this Agreement, payments shall be applied to amounts then
      due and payable in the following order: (1) to Fees and Agent's expenses
      reimbursable hereunder; (2) to interest on the Loans, unpaid Swap Related
      Reimbursement Obligations, and unpaid Hedging Obligations of Borrower to a
      Lender pursuant to an interest rate protection agreement entered into in
      accordance and solely to comply with Section
      5.10
      with any
      Lender, ratably in proportion to the interest accrued as to each Loan, unpaid
      Swap Related Reimbursement Obligations, and unpaid Hedging Obligations of
      Borrower to a Lender pursuant to an interest rate protection agreement entered
      into in accordance and solely to comply with Section
      5.10
      with any
      Lender, as applicable; (3) to principal payments on the Loans, unpaid Swap
      Related Reimbursement Obligations, and unpaid Hedging Obligations of Borrower
      to
      a Lender pursuant to an interest rate protection agreement entered into in
      accordance and solely to comply with Section
      5.10
      with any
      Lender, ratably in proportion to the outstanding principal balance of each
      Loan,
      unpaid Swap Related Reimbursement Obligations and Hedging Obligations of
      Borrower to a Lender pursuant to an interest rate protection agreement entered
      into in accordance and solely to comply with Section
      5.10
      with any
      Lender, as applicable; and (4) to all other Obligations including expenses
      of
      Lenders to the extent reimbursable under Section
      11.3.
      

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

    (b)  Agent
      is
      authorized to, and at its sole election may, charge to the Revolving Loan
      balance on behalf of Borrower and cause to be paid all Fees, expenses, Charges,
      costs (including insurance premiums in accordance with Section
      5.4(a))
      and
      interest and principal, other than principal of the Revolving Loan, owing by
      Borrower under this Agreement or any of the other Loan Documents if and to
      the
      extent Borrower fails to pay promptly any such amounts as and when due, even
      if
      the amount of such charges would exceed Borrowing Availability at such time.
      At
      Agent's option and to the extent permitted by law, any charges so made shall
      constitute part of the Revolving Loan hereunder. 

     

    1.12  Loan
      Account and Accounting.
      Agent
      shall maintain a loan account (the "Loan
      Account")
      on its
      books to record: all Advances and the Term Loan, all payments made by Borrower,
      and all other debits and credits as provided in this Agreement with respect
      to
      the Loans or any other Obligations. All entries in the Loan Account shall be
      made in accordance with Agent's customary accounting practices as in effect
      from
      time to time. The balance in the Loan Account, as recorded on Agent's most
      recent printout or other written statement, shall, absent manifest error, be
      presumptive evidence of the amounts due and owing to Agent and Lenders by
      Borrower; provided
      that any
      failure to so record or any error in so recording shall not limit or otherwise
      affect Borrower's duty to pay the Obligations. Agent shall render to Borrower
      a
      monthly accounting of transactions with respect to the Loans setting forth
      the
      balance of the Loan Account for the immediately preceding month. Unless Borrower
      notifies Agent in writing of any objection to any such accounting (specifically
      describing the basis for such objection), within 30 days after the date thereof,
      each and every such accounting shall, absent manifest error, be deemed final,
      binding and conclusive on Borrower in all respects as to all matters reflected
      therein. Only those items expressly objected to in such notice shall be deemed
      to be disputed by Borrower. Notwithstanding any provision herein contained
      to
      the contrary, any Lender may elect (which election may be revoked) to dispense
      with the issuance of Notes to that Lender and may rely on the Loan Account
      as
      evidence of the amount of Obligations from time to time owing to
      it.

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

     

    1.13  Indemnity.

     

    (a)  Each
      Credit Party that is a signatory hereto shall jointly and severally indemnify
      and hold harmless each of Agent, Lenders and their respective Affiliates, and
      each such Person's respective officers, directors, employees, attorneys, agents
      and representatives (each, an "Indemnified
      Person"),
      from
      and against any and all suits, actions, proceedings, claims, damages, losses,
      liabilities and expenses (including reasonable attorneys' fees and disbursements
      and other costs of investigation or defense, including those incurred upon
      any
      appeal) that may be instituted or asserted by any third party or by any Credit
      Party against or incurred by any such Indemnified Person as the result of credit
      having been extended, suspended or terminated under this Agreement and the
      other
      Loan Documents and the administration of such credit, and in connection with
      or
      arising out of the transactions contemplated hereunder and thereunder and any
      actions or failures to act in connection therewith, including any and all
      Environmental Liabilities and legal costs and expenses arising out of or
      incurred in connection with disputes between or among any parties to any of
      the
      Loan Documents (collectively, "Indemnified
      Liabilities");
      provided,
      that no
      such Credit Party shall be liable for any indemnification to an Indemnified
      Person to the extent that any such suit, action, proceeding, claim, damage,
      loss, liability or expense results from (i) that
      Indemnified Person's gross negligence or willful misconduct as finally
      determined by a court of competent jurisdiction,
      (ii) any
      dispute among any of Agent and the Lenders which dispute does not involve
      any
      Credit
      Party or (iii) any settlement effected without the consent of a
      Credit
      Party. NO INDEMNIFIED PERSON SHALL BE RESPONSIBLE OR LIABLE TO ANY OTHER PARTY
      TO ANY LOAN DOCUMENT, ANY SUCCESSOR, ASSIGNEE OR THIRD PARTY BENEFICIARY OF
      SUCH
      PERSON OR ANY OTHER PERSON ASSERTING CLAIMS DERIVATIVELY THROUGH SUCH PARTY,
      FOR
      INDIRECT, PUNITIVE, EXEMPLARY OR CONSEQUENTIAL DAMAGES WHICH MAY BE ALLEGED
      AS A
      RESULT OF CREDIT HAVING BEEN EXTENDED, SUSPENDED OR TERMINATED UNDER ANY LOAN
      DOCUMENT OR AS A RESULT OF ANY OTHER TRANSACTION CONTEMPLATED HEREUNDER OR
      THEREUNDER.

     

    (b)  To
      induce
      Lenders to provide the LIBOR Rate option on the terms provided herein, if (i)
      any LIBOR Loans are repaid in whole or in part prior to the last day of any
      applicable LIBOR Period (whether that repayment is made pursuant to any
      provision of this Agreement or any other Loan Document or occurs as a result
      of
      acceleration, by operation of law or otherwise); (ii) Borrower shall default
      in
      payment when due of the principal amount of or interest on any LIBOR Loan;
      (iii)
      Borrower shall refuse to accept any borrowing of, or shall request a termination
      of, any borrowing of, conversion into or continuation of, LIBOR Loans after
      Borrower has given notice requesting the same in accordance herewith; or (iv)
      Borrower shall fail to make any prepayment of a LIBOR Loan after Borrower has
      given a notice thereof in accordance herewith, then Borrower shall indemnify
      and
      hold harmless each Lender from and against all losses, costs and expenses
      resulting from or arising from any of the foregoing. Such indemnification shall
      include any loss (excluding loss of margin) or expense arising from the
      reemployment of funds obtained by it or from fees payable to terminate deposits
      from which such funds were obtained. For the purpose of calculating amounts
      payable to a Lender under this Section
      1.13(b),
      each
      Lender shall be deemed to have actually funded its relevant LIBOR Loan through
      the purchase of a deposit bearing interest at the LIBOR Rate in an amount equal
      to the amount of that LIBOR Loan and having a maturity comparable to the
      relevant LIBOR Period; provided,
      that
      each Lender may fund each of its LIBOR Loans in any manner it sees fit, and
      the
      foregoing assumption shall be utilized only for the calculation of amounts
      payable under this subsection. As promptly as practicable under the
      circumstances, each Lender shall provide Borrower with its written calculation
      of all amounts payable pursuant to this Section
      1.13(b),
      and
      such calculation shall be binding on the parties hereto unless Borrower shall
      object in writing within ten (10) Business Days of receipt thereof, specifying
      the basis for such objection in detail.

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    1.14  Access.Each
      Credit Party that is a party hereto shall, during normal business hours, from
      time to time upon reasonable prior notice as frequently as Agent reasonably
      determines to be appropriate: (a) provide Agent and any of its officers,
      employees and agents access during normal business hours to its properties,
      facilities and senior management employees (including officers) of each Credit
      Party and to the Collateral, (b) permit Agent, and any of its officers,
      employees and agents, to inspect and make extracts from any Credit Party's
      books
      and records and to audit in scope and manner consistent with lending industry
      practices any Credit Party’s books and records, and (c) permit Agent, and its
      officers, employees and agents, to inspect, review, evaluate and make test
      verifications and counts of the Accounts, Inventory and other Collateral of
      any
      Credit Party (collectively, an "Inspection"); provided that Borrower shall
      be
      obligated to reimburse Agent for its reasonable costs and expenses incurred
      in
      connection with an Inspection only (i) for each Inspection commenced while
      an
      Event of Default has occurred and is continuing and (ii) for one Inspection
      per
      year commenced while no Event of Default has occurred and is continuing. If
      an
      Event of Default has occurred and is continuing or if access is necessary to
      preserve or protect the Collateral as reasonably determined by Agent, each
      such
      Credit Party shall provide such access to Agent and to each Lender at all times
      and without advance notice. Furthermore, so long as any Event of Default has
      occurred and is continuing, Borrower shall provide Agent and each Lender with
      access to its suppliers and customers. Each Credit Party shall make available
      to
      Agent and its counsel, as promptly as reasonably practical under the
      circumstances, originals or copies of all books and records that Agent may
      reasonably request. Each Credit Party shall deliver any document or instrument
      necessary for Agent, as it may from time to time reasonably request, to obtain
      records from any service bureau or other Person that maintains records for
      such
      Credit Party, and shall maintain duplicate records or supporting documentation
      on media, including computer tapes and discs owned by such Credit Party. Agent
      will give Lenders at least five (5) days' prior written notice of regularly
      scheduled audits. Representatives of other Lenders may accompany Agent's
      representatives on regularly scheduled audits at no charge to
      Borrower.

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

     

    1.15  Taxes.

     

    (a)  Any
      and
      all payments by Borrower hereunder or under the Notes shall be made, in
      accordance with this Section
      1.15,
      free
      and clear of and without deduction for any and all present or future Taxes.
      If
      Borrower shall be required by law to deduct any Taxes from or in respect of
      any
      sum payable hereunder or under the Notes, (i) the sum payable shall be increased
      as much as shall be necessary so that after making all required deductions
      (including deductions applicable to additional sums payable under this
Section
      1.15)
      Agent
      or Lenders, as applicable, receive an amount equal to the sum they would have
      received had no such deductions been made, (ii) Borrower shall make such
      deductions, and (iii) Borrower shall pay the full amount deducted to the
      relevant taxing or other authority in accordance with applicable law. Within
      thirty (30) days after the date of any payment of Taxes, Borrower shall furnish
      to Agent the original or a certified copy of a receipt evidencing payment
      thereof. Agent and Lenders shall not be obligated to return or refund any
      amounts received pursuant to this Section.

     

    (b)  Each
      Credit Party that is a signatory hereto shall jointly and severally indemnify
      and, within ten (10) days of demand therefor, pay Agent and each Lender for
      the
      full amount of Taxes (including any Taxes imposed by any jurisdiction on amounts
      payable under this Section
      1.15)
      paid by
      Agent or such Lender, as appropriate, and any liability (including penalties,
      interest and expenses) arising therefrom or with respect thereto, whether or
      not
      such Taxes were correctly or legally asserted.

     

    (c)  Each
      Lender, organized under the laws of a jurisdiction outside the United States
      (a
      "Foreign
      Lender")
      as to
      which payments to be made under this Agreement or under the Notes are exempt
      from United States withholding tax under an applicable statute or tax treaty,
      shall provide to Borrower and Agent a properly completed and executed IRS Form
      W-8ECI or Form W-8BEN or other applicable form, certificate or document
      prescribed by the IRS or the United States certifying as to such Foreign
      Lender's entitlement to such exemption (a "Certificate
      of Exemption").
      Any
      foreign Person that seeks to become a Lender under this Agreement shall provide
      a Certificate of Exemption to Borrower and Agent prior to becoming a Lender
      hereunder. No foreign Person may become a Lender hereunder if such Person fails
      to deliver a Certificate of Exemption in advance of becoming a
      Lender.

     

    1.16  Capital
      Adequacy; Increased Costs; Illegality.

     

    (a)  If
      any
      Lender shall have determined that any law, treaty, governmental (or
      quasi-governmental) rule, regulation, guideline or order regarding capital
      adequacy, reserve requirements or similar requirements or compliance by any
      Lender with any request or directive from any Governmental Authority charged
      with the administration or interpretation thereof or otherwise having
      jurisdiction in respect thereof regarding capital adequacy, reserve requirements
      or similar requirements (whether or not having the force of law), in each case,
      adopted after the Original Closing Date, increases or would have the effect
      of
      increasing the amount of capital, reserves or other funds required to be
      maintained by such Lender and thereby reducing the rate of return on such
      Lender's capital as a consequence of its obligations hereunder, then Borrower
      shall from time to time upon demand by such Lender (with a copy of such demand
      to Agent) pay to Agent, for the account of such Lender, additional amounts
      sufficient to compensate such Lender for such reduction. A certificate as to
      the
      amount of that reduction and showing the basis of the computation thereof
      submitted by such Lender to Borrower and to Agent shall, absent manifest error,
      be final, conclusive and binding for all purposes.

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

     

    (b)  If,
      due
      to either (i) the introduction of or any change in any law or regulation
      (or any change in the interpretation thereof by any Governmental Authority
      charged with the administration or interpretation thereof or otherwise having
      jurisdiction in respect thereof) or (ii) the compliance with any guideline
      or request from any Governmental Authority (whether or not having the force
      of
      law), in each case adopted after the Original Closing Date, there shall be
      any
      increase in the cost to any Lender of agreeing to make or making, funding or
      maintaining any LIBOR Loan, then Borrower shall from time to time, upon demand
      by such Lender (with a copy of such demand to Agent), pay to Agent for the
      account of such Lender additional amounts sufficient to compensate such Lender
      for such increased cost. A certificate as to the amount of such increased cost,
      submitted to Borrower and to Agent by such Lender, shall be conclusive and
      binding on Borrower for all purposes, absent manifest error. Each Lender agrees
      that, as promptly as practicable after it becomes aware of any circumstances
      referred to above which would result in any such increased cost, the affected
      Lender shall, to the extent not inconsistent with such Lender's internal
      policies of general application, use reasonable commercial efforts to minimize
      costs and expenses incurred by it and payable to it by Borrower pursuant to
      this
Section
      1.16(b).
      In
      no
      event shall Borrower be obligated to compensate any Lender pursuant to this
      Section
      1.16(b)
      for any
      increased cost incurred by such Lender more
      than
      180 days prior to the date that such Lender notifies Borrower of such Lender’s
      intention to claim compensation under this Section
      1.16(b)
      (except
      that, if the circumstances referred to above which would result in any such
      increased cost is retroactive, then the 180 day period referred to above shall
      be extended to include the period of retroactive effect thereof).

     

    (c)  Notwithstanding
      anything to the contrary contained herein, if the introduction of or any change
      in any law or regulation (or any change in the interpretation thereof by any
      Governmental Authority charged with the administration or interpretation thereof
      or otherwise having jurisdiction in respect thereof) shall make it unlawful,
      or
      any Governmental Authority shall assert that it is unlawful, for any Lender
      to
      agree to make or to make or to continue to fund or maintain any LIBOR Loan,
      then, unless that Lender is able to make or to continue to fund or to maintain
      such LIBOR Loan at another branch or office of that Lender without, in that
      Lender's opinion, adversely affecting it or its Loans or the income obtained
      therefrom, on notice thereof and demand therefor by such Lender to Borrower
      through Agent, (i) the obligation of such Lender to agree to make or to
      make or to continue to fund or maintain LIBOR Loans shall terminate and
      (ii) Borrower shall forthwith (but not earlier than the last day of the
      applicable LIBOR Period, except if required by law) prepay in full all
      outstanding LIBOR Loans owing to such Lender, together with interest accrued
      thereon, unless
      Borrower, within five (5) Business Days after the delivery of such notice and
      demand, converts all LIBOR Loans into Index Rate Loans.

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

     

    
      
        (d) Within
          fifteen (15) days after receipt by Borrower of written notice and demand
          from
          any Lender (an "Affected
          Lender")
          for
          payment of additional amounts or increased costs as provided in Sections
          1.15(a), 1.16(a) or 1.16(b),
          Borrower may, at its option, notify Agent and such Affected Lender of its
          intention to replace the Affected Lender. So long as no Default or Event
          of
          Default has occurred and is continuing, Borrower, with the consent of Agent,
          may
          obtain, at Borrower's expense, a replacement Lender ("Replacement
          Lender")
          for
          the Affected Lender, which Replacement Lender must be reasonably satisfactory
          to
          Agent. If Borrower obtains a Replacement Lender within 90 days following
          notice
          of its intention to do so, the Affected Lender must sell and assign its
          Loans
          and Commitments to such Replacement Lender for an amount equal to the principal
          balance of all Loans held by the Affected Lender and all accrued interest
          and
          Fees with respect thereto through the date of such sale; provided,
          that
          Borrower shall have reimbursed such Affected Lender for the additional
          amounts
          or increased costs that it is entitled to receive under this Agreement
          through
          the date of such sale and assignment. Notwithstanding the foregoing, Borrower
          shall not have the right to obtain a Replacement Lender if the Affected
          Lender
          rescinds its demand for increased costs or additional amounts within five
          (5)
          Business Days following its receipt of Borrower's notice of intention to
          replace
          such Affected Lender. Furthermore, if Borrower gives a notice of intention
          to
          replace and does not so replace such Affected Lender within ninety (90)
          days
          thereafter, Borrower's rights under this Section
          1.16(d)
          shall
          terminate and Borrower shall promptly pay all increased costs or additional
          amounts demanded by such Affected Lender pursuant to Sections
          1.15(a), 1.16(a) and 1.16(b).

         

        1.17 Single
          Loan.
          All Loans to Borrower and all of the other Obligations of Borrower arising
          under
          this Agreement and the other Loan Documents shall constitute one general
          obligation of Borrower secured, until the Termination Date, by all of the
          Collateral.

         

        
          
            2
              CONDITIONS
              PRECEDENT

          

        

         

        2.1 Conditions
          to the Additional Term Loans.
          No Lender having an Additional Term Loan Commitment shall be obligated
          to make
          any Additional Term Loan on the Restatement Closing Date, or to take, fulfill,
          or perform any other action hereunder, until the following conditions have
          been
          satisfied or provided for in a manner satisfactory to Agent and Lenders,
          or
          waived in writing by Agent and Lenders: 

         

        (a) Credit
          Agreement; Loan Documents.
          This
          Agreement or counterparts hereof shall have been duly executed by, and
          delivered
          to, Borrower, each other Credit Party, Agent and Lenders; and Agent and
          Lenders
          shall have received such documents, instruments, agreements and legal opinions
          as Agent or any Lender shall reasonably request in connection with the
          transactions contemplated by this Agreement and the other Loan Documents,
          including all those listed in the Closing Checklist attached hereto as
          Annex
          D,
          each in
          form and substance reasonably satisfactory to Agent and Lenders. 

         

        (b) Repayment
          of Prior Lender Obligations; Satisfaction of Outstanding L/Cs.
          (i)
          Agent and Lenders shall have received fully executed originals of pay-off
          letters reasonably satisfactory to Agent confirming that all of the Prior
          Lender
          Obligations will be repaid in full from the proceeds of the Additional
          Term Loan
          and all Liens upon any of the property of any of the Mid-Maine Entities
          in favor
          of any Prior Lender shall be terminated by such Prior Lender immediately
          upon
          such payment; and (ii) all letters of credit, if any, issued or guaranteed
          by
          any Prior Lender shall have been cash collateralized. 

         

        
          
            
            

          

          
            21

            
              

            

          

          
            
            

          

        

        (c) Approvals.
          Agent
          and Lenders shall have received (i) satisfactory evidence that the Credit
          Parties have obtained all required consents and approvals of all Persons
          including all requisite Governmental Authorities, including the FCC, any
          applicable PUC and any applicable Franchising Authority, to the execution,
          delivery and performance of this Agreement and the other Loan Documents
          and the
          consummation of the Restatement Related Transactions or (ii) an officer's
          certificate in form and substance reasonably satisfactory to Agent affirming
          that no such consents or approvals are required.

         

        (d) [Intentionally
          Omitted].

         

        (e) Payment
          of Fees.
          Borrower shall have paid the Fees required to be paid on the Restatement
          Closing
          Date in the respective amounts specified in Section
          1.9
          (including the Fees specified in the Fee Letters), and shall have reimbursed
          Agent for all fees, costs and expenses of closing presented as of the
          Restatement Closing Date.

         

        (f) [Intentionally
          Omitted].

         

        (g) Due
          Diligence.
          Agent
          shall have completed its business and legal due diligence, including a
          roll
          forward of its previous Collateral audit with results reasonably satisfactory
          to
          Agent.

         

        (h) Consummation
          of Restatement Related Transactions.
          Agent
          and Lenders shall have received fully executed copies of the Mid-Maine
          Acquisition Agreement and each of the Restatement Related Transactions
          Documents, each of which shall be in form and substance reasonably satisfactory
          to Agent and Lenders. The Mid-Maine Acquisition shall have been consummated
          in
          accordance with the terms of the Mid-Maine Acquisition Agreement. The
          Restatement Related Transactions (other than the Mid-Maine Acquisition)
          shall
          have been consummated on terms reasonably acceptable to Agent.

         

        (i) Consolidated
          Senior Leverage Ratio and Consolidated Total Leverage Ratio.
          As of
          the Restatement Closing Date and on a Pro Forma Basis after giving effect
          to the
          Restatement Related Transactions, the Consolidated Senior Leverage Ratio
          shall
          not exceed 3.75 to 1.00 and the Consolidated Total Leverage Ratio shall
          not
          exceed 6.25 to 1.00, and Agent and Lenders shall have received a certificate
          of
          Borrower certifying thereto as required by paragraph CC of Annex
          D.

         

        2.2 Further
          Conditions to Each Loan.

         

        
          
            
            

          

          
            22

            
              

            

          

          
            
            

          

        

         

        (a) Except
          as
          otherwise expressly provided herein, no Revolving Lender shall be obligated
          to
          fund any Advance, if, as of the date thereof:

         

        (i) any
          representation or warranty by any Credit Party contained herein or in any
          other
          Loan Document is untrue or incorrect as of such date (A) as stated if such
          representation or warranty contains an express materiality qualification
          or (B)
          in any material respect if such representation or warranty does not contain
          such
          a qualification, except to the extent that such representation or warranty
          expressly relates to an earlier date (in which case such representation
          or
          warranty shall not have been untrue or incorrect as of such earlier date
          (A) as
          stated if such representation or warranty contains an express materiality
          qualification or (B) in any material respect if such representation or
          warranty
          does not contain such a qualification) and except for changes therein expressly
          permitted or expressly contemplated by this Agreement, and Requisite Revolving
          Lenders have determined not to make such Advance (or have instructed the
          Swing
          Line Lender not to make such Advance) as a result of the fact that such
          representation or warranty is untrue or incorrect as aforesaid;

         

        (ii) any
          event
          or circumstance having a Material Adverse Effect has occurred since the
          date
          hereof and Requisite Revolving Lenders have determined not to make such
          Advance
          (or have instructed the Swing Line Lender not to make such Advance) as
          a result
          of the fact that such event or circumstance has occurred;

         

        (iii) any
          Default or Event of Default has occurred and is continuing or would result
          from
          the funding of such Advance, and Requisite Revolving Lenders shall have
          determined not to make such Advance (or have instructed the Swing Line
          Lender
          not to make such Advance) as a result of that Default or Event of Default;
          or

         

        (iv) after
          giving effect to any Revolving Advance, the outstanding principal amount
          of the
          Revolving Loan would exceed the Maximum Amount less the sum of the then
          outstanding principal amount of the Swing Line Loan and the Reserves then
          in
          effect, or after giving effect to any Swing Line Advance, the outstanding
          principal amount of the Swing Line Loan would exceed the lesser of (A)
          the Swing
          Line Commitment and (B) the Maximum Amount less the sum of the then outstanding
          principal amount of the Revolving Loan and the Reserves then in effect.
          

         

        (b) Except
          as
          otherwise expressly provided herein, no Term Lender having an Additional
          Term
          Loan Commitment shall be obligated to fund the Additional Term Loan if,
          as of
          the date thereof:

         

        (i) any
          representation or warranty by any Credit Party contained herein or in any
          other
          Loan Document is untrue or incorrect as of such date (A) as stated if such
          representation or warranty contains an express materiality qualification
          or (B)
          in any material respect if such representation or warranty does not contain
          such
          a qualification, except to the extent that such representation or warranty
          expressly relates to an earlier date (in which case such representation
          or
          warranty shall not have been untrue or incorrect as of such earlier date
          (A) as
          stated if such representation or warranty contains an express materiality
          qualification or (B) in any material respect if such representation or
          warranty
          does not contain such a qualification) and except for changes therein expressly
          permitted or expressly contemplated by this Agreement, and Requisite Term
          Lenders have determined not to fund the Additional Term Loan as a result
          of the
          fact that such representation or warranty is untrue or incorrect as
          aforesaid;

         

        
          
            
            

          

          
            23

            
              

            

          

          
            
            

          

        

         

        (ii) any
          event
          or circumstance having a Material Adverse Effect has occurred since the
          date
          hereof and Requisite Term Lenders have determined not to fund the Additional
          Term Loan as a result of the fact that such event or circumstance has occurred;
          or

         

        (iii) 
          any
          Default or Event of Default has occurred and is continuing and Requisite
          Term
          Lenders shall have determined not to fund the Additional Term Loan as a
          result
          of that Default or Event of Default. 

         

        The
          request and acceptance by Borrower of the proceeds of any Advance or the
          Term
          Loan shall be deemed to constitute, as of the date thereof, (i) a representation
          and warranty by Borrower that the conditions in this Section
          2.2
          have
          been satisfied and (ii) a reaffirmation by Borrower of the granting and
          continuance of Agent's Liens, on behalf of itself and Lenders, pursuant
          to the
          Collateral Documents.

         

        
          
            3
              REPRESENTATIONS
              AND WARRANTIES

          

        

         

        To
          induce
          Lenders to make the Loans, the Credit Parties executing this Agreement,
          jointly
          and severally, make the following representations and warranties to Agent
          and
          each Lender with respect to all Credit Parties, each and all of which shall
          survive the execution and delivery of this Agreement. 

         

        
          
            
            

          

          
            24

            
              

            

          

          
            
            

          

        

        3.1 Corporate
          Existence; Compliance with Law.
          Each
          Credit Party (a) is a corporation, limited liability company or limited
          partnership duly organized, validly existing and in good standing under
          the laws
          of its respective jurisdiction of incorporation or organization, and, in
          the
          case of the entities that are Credit Parties as of the Restatement Closing
          Date,
          their respective jurisdiction of incorporation or organization are as set
          forth
          in Disclosure
          Schedule (3.1);
          (b) is
          duly qualified to conduct business and is in good standing in each other
          jurisdiction where its ownership or lease of property or the conduct of
          its
          business requires such qualification, except where the failure to be so
          qualified could not reasonably be expected to have a Material Adverse Effect;
          (c) has the requisite power and authority and the legal right to own, pledge,
          mortgage or otherwise encumber and operate its properties, to lease the
          property
          it operates under lease and to conduct its business as now, heretofore
          and
          proposed to be conducted; (d) subject to specific representations regarding
          Environmental Laws, has all licenses, permits, consents or approvals from
          or by,
          and has made all filings with, and has given all notices to, all Governmental
          Authorities having jurisdiction, to the extent required for such ownership,
          operation and conduct, in each case except where the failure to do so,
          individually or in the aggregate, could not reasonably be expected to have
          a
          Material Adverse Effect; (e) is in compliance with its charter and bylaws
          or
          partnership or operating agreement, as applicable; and (f) subject to specific
          representations set forth herein regarding ERISA, Environmental Laws,
          Communications Laws, tax and other laws, is in compliance with all applicable
          provisions of law and regulation, except where the failure to comply,
          individually or in the aggregate, could not reasonably be expected to have
          a
          Material Adverse Effect. Except as set forth in Disclosure
          Schedule (3.1), each
          Credit Party has all Communications Licenses and Governmental Authorizations
          and
          has
          filed all required federal and state applications and notifications,
          in each
          case necessary for the operation of the Telecommunications Businesses in
          the
          United States respectively conducted by the Credit Parties
          (the
          Communications Licenses,
          Governmental Authorizations and
          federal and state applications and notifications necessary for the operation
          of
          the Telecommunications Businesses in the United States respectively conducted
          by
          the Credit Parties,
          the
          "Telecommunications Approvals"), except for those Telecommunications Approvals
          the absence of which, individually or in the aggregate, could not reasonably
          be
          expect to have a Material Adverse Effect.
          As of
          the Restatement Closing Date, Disclosure
          Schedule (3.1)
          correctly lists (i) all such Communications Licenses and Governmental
          Authorizations; (ii) the geographical area to which each of such Communications
          Licenses and Governmental Authorizations relates; (iii) the Governmental
          Authority that issued each of such Communications Licenses and Governmental
          Authorizations; (iv) the expiration date, if any, of each of such Communications
          Licenses and Governmental Authorizations; and (v) if not issued in the
          name of a
          Credit Party, the name of the Person in whose name such Communications
          Licenses
          and Governmental Authorizations are nominally issued. All Telecommunications
          Approvals granted to the Credit Parties remain in full force and effect,
          except
          to the extent the failure thereof to be in full force and effect, individually
          or in the aggregate, could not reasonably be expected to have a Material
          Adverse
          Effect, and have not been revoked, suspended, canceled or modified in any
          adverse way, that, individually or in the aggregate, could reasonably be
          expected to have a Material Adverse Effect, and are not subject to any
          conditions or requirements that are not generally imposed by the FCC, any
          PUC,
          any Franchising Authority or any other Governmental Authority upon the
          holders
          of such Telecommunications Approvals that, individually or in the aggregate,
          could reasonably be expected to have a Material Adverse Effect. Except
          as set
          forth in Disclosure
          Schedule (3.1),
          each
          Credit Party has
          filed
          all
          required reports, applications and statements of account with the FCC,
          the
          Copyright Office, any PUC and
          any
          Franchising Authority, as
          the
          case may be, and has paid
          all
          Franchise, license, regulatory,
          copyright royalty
          or other
          fees and charges which have become due pursuant to any Telecommunications
          Approvals, except for fees or charges the failure to pay, individually
          or in the
          aggregate, could not reasonably be expected to have a Material Adverse
          Effect.
          Except as set forth in Disclosure Schedule (3.1), no Credit Party is in
          violation of, or in default of, in a manner that, individually or in the
          aggregate, could reasonably be expected to have a Material Adverse Effect,
          any
          applicable Communications
          Law or the provisions, terms and conditions of
          any
          Telecommunications Approval. There are no pending or, to the knowledge
          of any
          Credit Party, threatened formal complaints, proceedings, letters of inquiry,
          notices
          of
          apparent liability, investigations, protests, petitions or other written
          objections against any Credit Party at the FCC or the PUC or Franchising
          Authority of any jurisdiction in which any Credit Party operates, except
          for
          matters which, individually or in the aggregate, could not reasonably be
          expected to have a Material Adverse Effect.

         

        
          
            
            

          

          
            25

            
              

            

          

          
            
            

          

        

         

        3.2 Executive
          Offices, Collateral Locations, FEIN.
          As of
          the Restatement Closing Date, Disclosure
          Schedule (3.2)
          sets
          forth (i) each Credit Party's name as it appears in official filings in
          the
          state of its incorporation or other organization, (ii) the type of entity
          of
          each Credit Party, (iii) the organizational identification number issued
          by each
          Credit Party's state of incorporation or organization or a statement that
          no
          such number has been issued, and (iv) each Credit Party's state of organization
          or incorporation. As of the Restatement Closing Date, the current location
          of
          each Credit Party's chief executive office and the warehouses and premises
          at
          which any Collateral is located are set forth in Disclosure
          Schedule (3.2),
          and
          none of such locations has changed within 12 months preceding the Restatement
          Closing Date. In addition, Disclosure
          Schedule (3.2)
          lists
          the federal employer identification number of each Credit Party.

         

        3.3 Corporate
          Power, Authorization, Enforceable Obligations.
          The
          execution, delivery and performance by each Credit Party of the Loan Documents
          to which it is a party and the creation of all Liens provided for therein:
          (a)
          are within such Person's power; (b) have been duly authorized by all necessary
          corporate, limited liability company or limited partnership action; (c)
          do not
          contravene any provision of such Person's charter, bylaws or partnership
          or
          operating agreement as applicable; (d) do not violate any law or regulation,
          or
          any order or decree of any court or other Governmental Authority except
          where
          such violation, individually or in the aggregate, could not reasonably
          be
          expected to have a Material Adverse Effect; (e) do not conflict with or
          result
          in the breach or termination of, constitute a default under or accelerate
          or
          permit the acceleration of any performance required by, any indenture,
          mortgage,
          deed of trust, lease, agreement or other instrument to which such Person
          is a
          party or by which such Person or any of its property is bound; (f) do not
          result
          in the creation or imposition of any Lien upon any of the property of such
          Person other than those in favor of Agent, on behalf of itself and Lenders,
          pursuant to the Loan Documents; and (g) do not require the consent or approval
          of any Governmental Authority or any other Person, except (i) those referred
          to
          in Section
          2.1(c),
          all of
          which will have been duly obtained, made or complied with prior to the
          Restatement Closing Date and (ii) any consents or approvals of any Person
          other
          than a Governmental Authority where the failure to obtain such consents
          or
          approvals of any such Person, individually or in the aggregate, could not
          reasonably be expected to have a Material Adverse Effect. Each of the Loan
          Documents shall be duly executed and delivered by each Credit Party that
          is a
          party thereto and each such Loan Document shall constitute a legal, valid
          and
          binding obligation of such Credit Party enforceable against it in accordance
          with its terms, except as may be limited by bankruptcy, insolvency,
          reorganization, moratorium or other similar laws relating to or limiting
          creditors rights generally or by general principles of equity, regardless
          of
          whether considered in a proceeding in equity or at law.

         

        3.4 Financial
          Statements and Projections.
          Except
          for the Projections, all Financial Statements concerning Borrower and its
          Subsidiaries that are referred to below have been prepared in accordance
          with
          GAAP consistently applied throughout the periods covered (except as disclosed
          therein and except, with respect to unaudited Financial Statements, for
          the
          absence of footnotes and normal year-end audit adjustments) and present
          fairly
          in all material respects the financial position of the Persons covered
          thereby
          as at the dates thereof and the results of their operations and cash flows
          for
          the periods then ended.

         

        
          
            
            

          

          
            26

            
              

            

          

          
            
            

          

        

         

        (a) Financial
          Statements.
          The
          following Financial Statements attached hereto as Disclosure
          Schedule (3.4(a))
          have
          been delivered to Agent and Lenders on the date hereof:

         

        (i) The
          audited consolidated balance sheets of Borrower and its Subsidiaries as
          of
          December 31, 2005 and the related consolidated statements of operations,
          members’ equity and cash flows for each of the three Fiscal Years in the period
          ended December 31, 2005, certified by BDO Seidman, LLP, and the audited
          consolidated balance sheet of Mid-Maine Holdco and its Subsidiaries as
          of
          December 31, 2005 and the related consolidated statements of operations,
          stockholder’s equity and cash flows for the year then ended, certified by Berry,
          Dunn, Parker & McNeil.

         

        (ii) The
          unaudited consolidated balance sheet of Borrower and its Subsidiaries as
          of
          March 31, 2006 and the related consolidated statements of operation, members'
          equity and cash flows for the Fiscal Quarter then ended.

         

        (iii) The
          unaudited consolidated balance sheet of Mid-Maine and its Subsidiaries
          as of
          March 31, 2006 and the related consolidated statements of operations and
          stockholder's equity for the Fiscal Quarter then ended. 

         

        (b) Pro
          Forma.
          The Pro
          Forma delivered on or prior to the date hereof and attached hereto as
Disclosure
          Schedule (3.4(b))
          (i) was
          prepared by Borrower giving pro forma effect to the Restatement Related
          Transactions, (ii) was based on (A) the unaudited consolidated balance
          sheet of
          Borrower and its Subsidiaries as of March 31, 2006 and (B) the unaudited
          consolidated balance sheet of Mid Maine and its Subsidiaries as of March
          31,
          2006, (iii) was prepared based upon substantially the same accounting principles
          as those used in the preparation of the financial statements described
          above and
          (iv) on a pro forma basis, presents fairly in all material respects the
          financial position of the Persons covered thereby as at the date
          thereof.

         

        (c) Projections.
          The
          Projections delivered to the Lenders have been prepared by Borrower in
          light of
          the past operations of its businesses, but including future payments of
          known
          contingent liabilities, and reflect projections giving effect to the Restatement
          Related Transactions for the five (5) year period beginning on the Restatement
          Closing Date on a year-by-year basis. The Projections are based upon
          substantially the same accounting principles as those used in the preparation
          of
          financial statements described above and the estimates and assumptions
          stated
          therein, all of which Borrower believes to be reasonable in light of
          then-current conditions and then-current facts known to Borrower at the
          time
          prepared and as of the Restatement Closing Date and, as of the Restatement
          Closing Date, reflect Borrower's good faith and reasonable estimates of
          the
          future financial performance of Borrower and of the other information projected
          therein for the period set forth therein.

         

        
          
            
            

          

          
            27

            
              

            

          

          
            
            

          

        

        3.5 Material
          Adverse Effect.
          Between
          December 31, 2005 and the Restatement Closing Date, (a) no Credit Party
          has
          incurred any obligations, contingent or noncontingent liabilities, liabilities
          for Charges, long-term leases or unusual forward or long-term commitments
          that
          are not reflected in the Pro Forma and that, alone or in the aggregate,
          could
          reasonably be expected to have a Material Adverse Effect, (b) no contract,
          lease
          or other agreement or instrument has been entered into by any Credit Party
          or
          has become binding upon any Credit Party's assets, and no law or regulation
          known by the Credit Parties to be applicable to any Credit Party has been
          adopted that, individually or in the aggregate, has had or could reasonably
          be
          expected to have a Material Adverse Effect, and (c) no Credit Party is
          in
          default and to the best of each Credit Party's knowledge no third party
          is in
          default under any material contract, lease or other agreement or instrument,
          that alone or in the aggregate could reasonably be expected to have a Material
          Adverse Effect. Between December 31, 2005 and the Restatement Closing Date
          no
          event or circumstance has occurred, that alone or together with other events
          or
          circumstances, could reasonably be expected to have a Material Adverse
          Effect.

         

        3.6 Ownership
          of Property; Liens. As
          of the
          Restatement Closing Date, (i) all Material Real Estate is listed on Disclosure
          Schedule (3.6),
          under
          the heading "Material Real Estate," and constitutes all of the Material
          Real
          Estate owned, leased or subleased by any Credit Party and (ii) the other
          real
          property listed in Disclosure
          Schedule (3.6)
          constitutes, to the best of each Credit Party’s knowledge after due inquiry, all
          of the other real property owned, leased or subleased by any Credit Party.
          Each
          Credit Party owns good and marketable fee simple title to all of its owned
          Real
          Estate, and valid and marketable leasehold interests in all of its leased
          Real
          Estate, all as described on Disclosure
          Schedule (3.6),
          and
          copies of all such leases or a summary of terms thereof reasonably satisfactory
          to Agent have been delivered or otherwise made available to Agent. Disclosure
          Schedule (3.6)
          further
          describes (i) any Material Real Estate with respect to which any Credit
          Party is
          a lessor, sublessor or assignor as of the Restatement Closing Date and
          (ii) to
          the best of each Credit Party’s knowledge after due inquiry, any other Real
          Estate with respect to which any Credit Party is a lessor, sublessor or
          assignor
          as of the Restatement Closing Date. Each Credit Party also has good and,
          as
          applicable, marketable title to, valid leasehold interests in, or other
          valid
          rights to use, all of its personal property and assets. As of the Restatement
          Closing Date, none of the properties and assets of any Credit Party are
          subject
          to any Liens other than Permitted Encumbrances, and there are no facts,
          circumstances or conditions known to any Credit Party that may result in
          any
          Liens (including Liens arising under Environmental Laws) other than Permitted
          Encumbrances. Each Credit Party has received all deeds, assignments, waivers,
          consents, nondisturbance and attornment or similar agreements, bills of
          sale and
          other documents, and has duly effected all recordings, filings and other
          actions
          necessary to establish, protect and perfect such Credit Party's right,
          title and
          interest in and to all such Real Estate and other properties and assets.
          Disclosure
          Schedule (3.6)
          also
          describes any purchase options, rights of first refusal or other similar
          contractual rights in effect on the Restatement Closing Date pertaining
          to any
          Real Estate owned by any Credit Party.  Disclosure
          Schedule (3.6)
          also
          describes any purchase options, rights of first refusal or other similar
          contractual rights in effect on the Restatement Closing Date pertaining
          to any
          Credit Party's leasehold interest (1) in any Real Estate leased by such
          Credit
          Party which was created or granted by any Credit Party or any Person claiming
          by, through or under a Credit Party and (2) to the knowledge the Credit
          Parties,
          in any Material Real Estate leased by such Credit Party which was created
          or
          granted by any other Person.
          As of
          the Restatement Closing Date, no portion of any Credit Party's Real Estate
          has
          suffered any material damage by fire or other casualty loss that has not
          heretofore been repaired and restored in all material respects to its original
          condition or otherwise remedied. As of the Restatement Closing Date, all
          permits
          required to have been issued or appropriate to enable the Real Estate to
          be
          lawfully occupied and used for all of the purposes for which it is currently
          occupied and used have been lawfully issued and are in full force and effect,
          except for those permits the absence of which, individually or in the aggregate,
          could not reasonably be expected to have a Material Adverse Effect.

         

        
          
            
            

          

          
            28

            
              

            

          

          
            
            

          

        

         

        3.7 Labor
          Matters.
          Except
          as set forth in Disclosure
          Schedule (3.7),
          as of
          the Restatement Closing Date: (a) no strikes or other material labor disputes
          against any Credit Party are pending or, to any Credit Party's knowledge,
          threatened; (b) hours worked by and payment made to employees of each Credit
          Party comply with the Fair Labor Standards Act and each other federal,
          state,
          local or foreign law applicable to such matters; (c) all payments due from
          any
          Credit Party for employee health and welfare insurance have been paid or
          accrued
          as a liability on the books of such Credit Party; (d) no Credit Party is
          a party
          to or bound by any collective bargaining agreement, management agreement,
          consulting agreement, employment agreement, bonus, restricted stock, stock
          option, or stock appreciation plan or agreement or any similar plan, agreement
          or arrangement (and true and complete copies of any agreements described
          on
Disclosure
          Schedule (3.7)
          have
          been delivered to Agent); (e) there is no organizing activity involving
          any
          Credit Party pending or, to any Credit Party's knowledge, threatened by
          any
          labor union or group of employees; (f) there are no representation proceedings
          pending or, to any Credit Party's knowledge, threatened with the National
          Labor
          Relations Board, and no labor organization or group of employees of any
          Credit
          Party has made a pending demand for recognition; and (g) there are no complaints
          or charges against any Credit Party pending or, to the knowledge of any
          Credit
          Party, threatened to be filed with any Governmental Authority or arbitrator
          based on, arising out of, in connection with, or otherwise relating to
          the
          employment or termination of employment by any Credit Party of any individual,
          except any of the foregoing that, individually or in the aggregate, could
          not
          reasonably be expected to have a Material Adverse Effect.

         

        3.8 Ventures,
          Subsidiaries and Affiliates; Outstanding Stock and Indebtedness.
          Except
          as
          set forth in Disclosure
          Schedule (3.8),
          as of
          the Restatement Closing Date, no Credit Party has any Subsidiaries, is
          engaged
          in any joint venture or partnership with any other Person, or is an Affiliate
          of
          any other Person. As of the Restatement Closing Date, all of the issued
          and
          outstanding Stock of each Credit Party (other than Borrower) is owned by
          each of
          the Stockholders and in the amounts set forth in Disclosure
          Schedule (3.8).
          Except
          as set forth in Disclosure
          Schedule (3.8),
          there
          are no outstanding rights to purchase, options, warrants or similar rights
          or
          agreements pursuant to which any Credit Party (other than Borrower) may
          be
          required to issue, sell, repurchase or redeem any of its Stock or other
          equity
          securities or any Stock or other equity securities of its Subsidiaries.
          All
          outstanding Indebtedness and Guaranteed Indebtedness of each Credit Party
          as of
          the Restatement Closing Date (except for the Obligations) is described
          in
Section
          6.3
          (including Disclosure
          Schedule (6.3)).
          None
          of the Holding Companies has engaged in any trade or business, or has any
          assets
          (other than Stock of its Subsidiaries and assets incidental to the ownership
          thereof), or has Incurred any Indebtedness or Guaranteed Indebtedness (other
          than Indebtedness permitted under Section
          6.3
          and
          Guaranteed Indebtedness permitted under Section
          6.6).

         

        
          
            
            

          

          
            29

            
              

            

          

          
            
            

          

        

         

        3.9 Government
          Regulation.
          No
          Credit Party is an "investment company" or an "affiliated person" of, or
          "promoter" or "principal underwriter" for, an "investment company," as
          such
          terms are defined in the Investment Company Act of 1940. No Credit Party
          is
          subject to regulation under the Federal Power Act, or any other federal
          or state
          statute that restricts or limits its ability to incur Indebtedness or to
          perform
          its obligations hereunder. The making of the Loans by Lenders to Borrower,
          the
          application of the proceeds thereof and repayment thereof and the consummation
          of the Restatement Related Transactions will not violate any provision
          of any
          such statute or any rule, regulation or order issued by the Securities
          and
          Exchange Commission.

         

        3.10 Margin
          Regulations.
          No
          Credit Party is engaged, nor will it engage, principally or as one of its
          important activities, in the business of extending credit for the purpose
          of
          "purchasing" or "carrying" any "margin stock" as such terms are defined
          in
          Regulation U of the Federal Reserve Board as now and from time to time
          hereafter
          in effect (such securities being referred to herein as "Margin
          Stock").
          No
          Credit Party owns any Margin Stock as of the Restatement Closing Date.
          None of
          the proceeds of the Loans or other extensions of credit under this Agreement
          will be used, directly or indirectly, for the purpose of purchasing or
          carrying
          any Margin Stock, for the purpose of reducing or retiring any Indebtedness
          that
          was originally incurred to purchase or carry any Margin Stock or for any
          other
          purpose that could reasonably be expected to cause any of the Loans or
          other
          extensions of credit under this Agreement to be considered a "purpose credit"
          within the meaning of Regulations T, U or X of the Federal Reserve Board.
          No
          Credit Party will take or permit to be taken any action that could reasonably
          be
          expected to cause any Loan Document to violate any regulation of the Federal
          Reserve Board.

         

        3.11 Taxes.
          All
          Federal, state and other material tax returns, reports and statements,
          including
          information returns, required by any Governmental Authority to be filed
          by any
          Credit Party have been filed with the appropriate Governmental Authority
          and all
          Charges have been paid prior to the date on which any fine, penalty, interest
          or
          late charge may be added thereto for nonpayment thereof, excluding Charges
          or
          other amounts being contested in accordance with Section
          5.2(b).
          Proper
          and accurate amounts have been withheld by each Credit Party from its respective
          employees for all periods in full and complete compliance with all applicable
          federal, state, local and foreign laws and such withholdings have been
          timely
          paid to the respective Governmental Authorities. Disclosure
          Schedule (3.11)
          sets
          forth as of the Restatement Closing Date those taxable years for which
          any
          Credit Party's tax returns are currently being audited by the IRS or any
          other
          applicable Governmental Authority and any assessments or threatened assessments
          in connection with such audit, or otherwise currently outstanding. Except
          as
          described in Disclosure
          Schedule (3.11),
          as of
          the Restatement Closing Date no Credit Party has executed or filed with
          the IRS
          or any other Governmental Authority any agreement or other document extending,
          or having the effect of extending, the period for assessment or collection
          of
          any Charges. None of the Credit Parties and their respective predecessors
          are
          liable for any Charges: (a) under any agreement (including any tax sharing
          agreements) or (b) to each Credit Party's actual knowledge, as a transferee.
          As
          of the Restatement Closing Date, no Credit Party has agreed or been requested
          to
          make any adjustment under IRC Section 481(a), by reason of a change in
          accounting method or otherwise, which, individually or in the aggregate,
          could
          reasonably be expected to have a Material Adverse Effect. With respect
          to all of
          the foregoing Section 3.11, statements with respect to any “Credit Party” are
          qualified as being “to the best of our knowledge” with respect to the Mid-Maine
          Entities.

         

        
          
            
            

          

          
            30

            
              

            

          

          
            
            

          

        

         

        3.12 ERISA.
          

         

        (a) Disclosure
          Schedule (3.12)
          lists
          all Plans and separately identifies all Pension Plans, including Title
          IV Plans,
          Multiemployer Plans, ESOPs and Welfare Plans, including all Retiree Welfare
          Plans in effect as of the Restatement Closing Date. Copies of all such
          listed
          Plans, together with a copy of the latest IRS/DOL 5500-series form required
          to
          be filed for each such Plan (other than any Multiple Employer Plan or any
          Multiemployer Plan) have been made available to Agent.
          Except
          with respect to Multiple Employer Plans and Multiemployer Plans, each Qualified
          Plan has been determined by the IRS to qualify under Section 401 of the
          IRC, the
          trusts created thereunder have been determined to be exempt from tax under
          the
          provisions of Section 501 of the IRC, and nothing has occurred that would
          cause
          the loss of such qualification or tax-exempt status except where the failure
          to
          so qualify or the loss of such qualification, individually or in the aggregate,
          could not reasonably be expected to have a Material Adverse Effect. Each
          Plan is
          in compliance with the applicable provisions of ERISA and the IRC, including
          the
          timely filing of all reports required under the IRC or ERISA, including
          the
          statement required by 29 CFR Section 2520.104-23 except for any noncompliance
          that, individually or in the aggregate, could not reasonably be expected
          to have
          a Material Adverse Effect. Neither any Credit Party nor ERISA Affiliate
          has
          failed to make any material contribution or pay any material amount due
          as
          required by either Section 412 of the IRC or Section 302 of ERISA or the
          terms
          of any such Plan. Neither any Credit Party nor ERISA Affiliate has engaged
          in a
          "prohibited transaction," as defined in Section 406 of ERISA and Section
          4975 of
          the IRC, in connection with any Plan, that would subject any Credit Party
          to a
          material tax on prohibited transactions imposed by Section 502(i) of ERISA
          or
          Section 4975 of the IRC. 

         

        (b) Except
          as
          set forth in Disclosure
          Schedule (3.12):
          (i) no
          Title IV Plan (other than the NTCA Retirement and Security Program (the
          "NTCA
          Plan")) has any Unfunded Pension Liability that, in the aggregate for all
          such
          Title IV Plans combined, exceeds $100,000 and the liability of the Credit
          Parties and ERISA Affiliates with respect to the Unfunded Pension Liability
          under the NTCA Plan is not material; (ii) no ERISA Event or event described
          in
          Section 4062(e) of ERISA with respect to any Title IV Plan has occurred
          or is
          reasonably expected to occur in either case that, individually or in the
          aggregate, could reasonably be expected to have a Material Adverse Effect;
          (iii)
          there are no pending, or to the knowledge of any Credit Party, threatened
          claims
          (other than claims for benefits in the normal course), sanctions, actions
          or
          lawsuits, asserted or instituted against any Plan (other than a Multiple
          Employer Plan or a Multiemployer Plan) or any Person as fiduciary or sponsor
          of
          any Plan (other than a Multiple Employer Plan or a Multiemployer Plan)
          that,
          individually or in the aggregate, could reasonably be expected to have
          a
          Material Adverse Effect; (iv) no Credit Party or ERISA Affiliate has incurred
          or
          reasonably expects to incur any material liability as a result of a complete
          or
          partial withdrawal from a Multiemployer Plan; (v) within the last five
          years no
          Title IV Plan of any Credit Party or ERISA Affiliate has been terminated,
          whether or not in a "standard termination" as that term is used in Section
          404(b)(1) of ERISA, nor has any Title IV Plan of any Credit Party or ERISA
          Affiliate (determined at any time within the past five years) with Unfunded
          Pension Liabilities been transferred outside of the "controlled group"
          (within
          the meaning of Section 4001(a)(14) of ERISA) of any Credit Party or ERISA
          Affiliate except for any Transfer or transaction that, individually or
          in the
          aggregate, could not reasonably be expected to have a Material Adverse
          Effect;
          (vi) except in the case of any ESOP, as of the Restatement Closing Date,
          Stock
          of all Credit Parties and their ERISA Affiliates makes up, in the aggregate,
          no
          more than 10% of fair market value of the assets of any Plan (other than
          a
          Multiple Employer Plan or a Multiemployer Plan) measured on the basis of
          fair
          market value as of the latest valuation date of any Plan; and (vii) as
          of the
          Restatement Closing Date, no liability under any Title IV Plan has been
          satisfied with the purchase of a contract from an insurance company that
          is not
          rated AAA by the Standard & Poor's Corporation or an equivalent rating by
          another nationally recognized rating agency.

         

        
          
            
            

          

          
            31

            
              

            

          

          
            
            

          

        

        (c) With
          respect to all of the foregoing Section 3.12, statements with respect to
          any
          Plan are qualified as being "to the best of our knowledge after due inquiry"
          with respect to any Plan of the Mid-Maine Entities.

         

        3.13 No
          Litigation.
          No
          action, claim, lawsuit, demand, investigation or proceeding is now pending
          or,
          to the knowledge of any Credit Party, threatened against any Credit Party,
          before any Governmental Authority or before any arbitrator or panel of
          arbitrators (collectively, "Litigation"),
          (a) that challenges any Credit Party's right or power to enter into or
          perform any of its obligations under the Loan Documents to which it is
          a party,
          or the validity or enforceability of any Loan Document or any action taken
          thereunder, or (b) that has a reasonable risk of being determined adversely
          to
          any Credit Party and that, if so determined, individually or in the aggregate,
          could reasonably be expected to have a Material Adverse Effect. Except
          as set
          forth on Disclosure
          Schedule (3.13),
          as of
          the Restatement Closing Date there is no Litigation pending or threatened
          that
          seeks damages in excess of $500,000 or injunctive relief against, or alleges
          criminal misconduct of, any Credit Party. 

         

        3.14 Brokers.
          Except
          as set forth on Disclosure
          Schedule (3.14),
          no
          broker or finder acting on behalf of any Credit Party or Affiliate thereof
          brought about the obtaining, making or closing of the Loans or the Restatement
          Related Transactions, and no Credit Party or Affiliate thereof has any
          obligation to any Person in respect of any finder's or brokerage fees in
          connection therewith.

         

        
          
            
            

          

          
            32

            
              

            

          

          
            
            

          

        

         

        3.15 Intellectual
          Property.
          As of
          the Restatement Closing Date, each Credit Party owns or has rights to use
          all
          Intellectual Property necessary to continue to conduct its business as
          now or
          heretofore conducted by it or proposed to be conducted by it, and each
          Patent,
          Trademark and registered Copyright and each License with respect to any
          such
          Patent, Trademark or registered Copyright, is listed, together with application
          or registration numbers, as applicable, and together with each owner thereof,
          in
Disclosure
          Schedule (3.15).
          Each
          Credit Party conducts its business and affairs without infringement of
          or
          interference with any Intellectual Property of any other Person except
          for any
          such infringement or interference that, individually or in the aggregate,
          could
          not reasonably be expected to have a Material Adverse Effect. Except as
          set
          forth in Disclosure
          Schedule (3.15),
          no
          Credit Party is aware of any infringement claim by any other Person with
          respect
          to any Intellectual Property except for any infringement or interference
          that,
          individually or in the aggregate, could not reasonably be expected to have
          a
          Material Adverse Effect. 

         

        3.16 Full
          Disclosure; Perfection of Liens. The
          information contained in this Agreement, any of the other Loan Documents,
          the
          Financial Statements, the Collateral Reports and the other written reports
          from
          time to time delivered hereunder or any written statement furnished by
          or on
          behalf of any Credit Party to Agent or any Lender pursuant to the terms
          of this
          Agreement do not contain and will not contain any untrue statement of a
          material
          fact or omit to state a material fact known to any Credit Party and necessary
          to
          make the statements contained herein or therein not misleading in light
          of the
          circumstances under which they were made. Projections from time to time
          delivered hereunder are or will be based in all material respects upon
          the
          estimates and assumptions stated therein, all of which Borrower believed
          at the
          time of delivery to be reasonable in light of then current conditions and
          then
          current facts known to Borrower as of such delivery date, and reflect Borrower's
          good faith and reasonable estimates of the future financial performance
          of
          Borrower and of the other information projected therein for the period
          set forth
          therein,
          it
          being understood that the Projections are not facts and the actual performance
          of the entities covered by the Projections may differ significantly from
          that
          projected.
          The
          Liens granted to Agent, on behalf of itself and Lenders, pursuant to the
          Collateral Documents will at all times be fully perfected first priority
          Liens
          in and to the Collateral described therein, subject, as to priority, only
          to
          Permitted Encumbrances.

         

        3.17 Environmental
          Matters.

         

        (a) Except
          as
          set forth in Disclosure
          Schedule (3.17),
          as of
          the Restatement Closing Date: (i) the Real Estate is free of contamination
          from
          any Hazardous Material except for such contamination that would not materially
          and adversely impact any Credit Party’s ability to use such Real Estate in the
          operation of its business and that would not result in Environmental Liabilities
          that, individually or in the aggregate, could reasonably be expected to
          exceed
          $500,000; (ii) no Credit Party has caused or suffered to occur any Release
          of
          Hazardous Materials on, at, in, under, above, to, from or about any of
          its Real
          Estate that would result in Environmental Liabilities that, individually
          or in
          the aggregate, could reasonably be expected to exceed $500,000, except
          that with
          respect to the Mid-Maine Entities, the representation in this clause (ii)
          is
          qualified as being “to the best of our knowledge after due inquiry” with respect
          to the Mid-Maine Entities; (iii) the Credit Parties are in compliance with
          all
          Environmental Laws, except for such noncompliance that would not result
          in
          Environmental Liabilities which, individually or in the aggregate, could
          reasonably be expected to exceed $500,000; (iv) the Credit Parties have
          obtained, and are in compliance with, all Environmental Permits required
          by
          Environmental Laws for the operations of their respective businesses as
          presently conducted or as proposed to be conducted, except where the failure
          to
          so obtain or comply with such Environmental Permits would not result in
          Environmental Liabilities that, individually or in the aggregate, could
          reasonably be expected to exceed $500,000, and to the knowledge of the
          Credit
          Parties all such Environmental Permits are valid, uncontested and in good
          standing; (v) no Credit Party has actual knowledge of any facts, circumstances
          or conditions, including any Releases of Hazardous Materials, that are
          likely to
          result in any Environmental Liabilities of any Credit Party which, individually
          or in the aggregate, could reasonably be expected to exceed $500,000, and
          no
          Credit Party has knowingly permitted any current or former tenant or occupant
          of
          the Real Estate to engage in any such operations; (vi) there is no Litigation
          arising under or related to any Environmental Laws, Environmental Permits
          or
          Hazardous Material that seeks damages, penalties, fines, costs or expenses
          in
          excess of $500,000 or injunctive relief against, or that alleges criminal
          misconduct by, any Credit Party; (vii) no written notice has been received
          by
          any Credit Party identifying it as a "potentially responsible party" or
          requesting information under CERCLA or analogous state statutes, and to
          the
          actual knowledge of the Credit Parties, there are no facts, circumstances
          or
          conditions that may result in any Credit Party being identified as a
          "potentially responsible party" under CERCLA or analogous state statutes;
          and
          (viii) the Credit Parties have provided to Agent copies of all environmental
          reports, reviews and audits and all material written information pertaining
          to
          actual or potential Environmental Liabilities, in each case if prepared
          by or at
          the instruction of, or otherwise in the possession or control of, any Credit
          Party, in each case relating to any Credit Party. 

         

        
          
            
            

          

          
            33

            
              

            

          

          
            
            

          

        

        (b) Each
          Credit Party hereby acknowledges and agrees that none of the Lenders or
          Agent
          (i) is now, or has ever been, in control of any of the Real Estate or any
          Credit
          Party's affairs, and (ii) has the capacity through the provisions of the
          Loan
          Documents or otherwise to influence any Credit Party's conduct with respect
          to
          the ownership, operation or management of any of its Real Estate or compliance
          with Environmental Laws or Environmental Permits. 

         

        3.18 Insurance.
          Disclosure
          Schedule (3.18)
          lists
          all insurance policies of any nature maintained, as of the Restatement
          Closing
          Date, for current occurrences by each Credit Party, as well as a summary
          of the
          terms of each such policy. As of the Restatement Closing Date, each Credit
          Party
          is in compliance with its obligations under Section
          5.4.
          

         

        3.19 Accounts.
          Disclosure
          Schedule (3.19)
          lists
          all banks and other financial institutions at which any Credit Party maintains
          deposit or other accounts as of the Restatement Closing Date and such Schedule
          correctly identifies the name, address and telephone number of each depository,
          the name in which the account is held, a description of the purpose of
          the
          account, the complete account number therefor and, if such account is a
          deposit
          account, whether such account is (a) a "Blocked Account", "Excluded Account"
          or
          "Disbursement Account" for the purposes of Annex C or (b) a "PUC Restricted
          Subsidiary Account".

         

        
          
            
            

          

          
            34

            
              

            

          

          
            
            

          

        

         

        3.20 Government
          Contracts.
          Except
          as set forth in Disclosure
          Schedule (3.20),
          as of
          the Restatement Closing Date, no Credit Party is a party to any contract
          or
          agreement with any Governmental Authority and no Credit Party's Accounts
          are
          subject to the Federal Assignment of Claims Act (31 U.S.C. Section 3727)
          or any
          similar state or local law.

         

        3.21 Customer
          and Trade Relations.
          As of
          the Restatement Closing Date, there exists no actual or, to the knowledge
          of any
          Credit Party, threatened termination or cancellation of, or any material
          adverse
          modification or change in the business relationship of any Credit Party
          with any
          customer or supplier that, individually or in the aggregate, could reasonably
          be
          expected to have a Material Adverse Effect.

         

        3.22 Agreements
          and Other Documents.
          As of
          the Restatement Closing Date, each Credit Party has provided to Agent or
          its
          counsel, on behalf of Lenders, accurate and complete copies (or summaries)
          of
          all of the following agreements or documents to which it is subject as
          of the
          Restatement Closing Date and each of which is listed in Disclosure
          Schedule (3.22):
          (i)
          supply agreements and purchase agreements not terminable by such Credit
          Party
          within 60 days following written notice issued by such Credit Party and
          involving transactions in excess of $1,000,000 per annum; (ii) leases of
          Equipment having a remaining term of one year or longer and requiring aggregate
          rental and other payments in excess of $500,000 per annum; (iii) licenses
          and
          permits held by the Credit Parties, the absence of which, individually
          or in the
          aggregate, could reasonably be expected to have a Material Adverse Effect;
          (iv)
          instruments and documents evidencing any Indebtedness or Guaranteed Indebtedness
          of such Credit Party and any Lien granted by such Credit Party with respect
          thereto; and (v) instruments and agreements evidencing the issuance of
          any
          equity securities, warrants, rights or options to purchase equity securities
          of
          such Credit Party. Except as set forth on Disclosure
          Schedule (3.22),
          as of
          the Restatement Closing Date, no Credit Party is a party to or bound by
          any
          surety bond agreement or bonding requirement with respect to products or
          services sold by it or any trademark or patent license agreement with respect
          to
          products sold by it.

         

        3.23 Solvency.
          Both
          before and after giving effect to (a) the Loans to be made on the Restatement
          Closing Date or such other date as Loans requested hereunder are made,
          (b) the
          disbursement of the proceeds of such Loans pursuant to the instructions
          of
          Borrower, (c) the consummation of the Restatement Related Transactions
          and (d)
          the payment and accrual of all transaction costs in connection with the
          foregoing, each Credit Party is and will be Solvent.

         

        3.24 [Intentionally
          Omitted].

         

        3.25 Mid-Maine
          Acquisition Agreement.
          As of
          the Restatement Closing Date, Borrower has delivered to Agent and Lenders
          a
          complete and correct copy of the Mid-Maine Acquisition Agreement (including
          all
          schedules, exhibits, amendments, supplements, modifications, assignments
          and all
          other documents delivered pursuant thereto or in connection therewith).
          No
          Credit Party and no other Person party thereto is in default in any material
          respect in the performance or compliance with any provisions thereof. The
          Mid-Maine Acquisition Agreement complies in all material respects with,
          and the
          Mid-Maine Acquisition has been consummated in accordance in all material
          respects with, all applicable laws. The Mid-Maine Acquisition Agreement
          is in
          full force and effect as of the Restatement Closing Date and has not been
          terminated, rescinded or withdrawn. All requisite approvals by Governmental
          Authorities having jurisdiction over the seller (or sellers) under the
          Mid-Maine
          Acquisition Agreement, any Credit Party and other Persons referenced therein,
          with respect to the transactions contemplated by the Mid-Maine Acquisition
          Agreement, have been obtained, and no such approvals imposed any conditions
          to
          the consummation of the transactions contemplated by the Mid-Maine Acquisition
          Agreement or to the conduct by any Credit Party of its business thereafter.
          To
          each Credit Party's actual knowledge, none of the representations or warranties
          in the Mid-Maine Acquisition Agreement made by Mid-Maine Holdco thereunder
          contain any untrue statement of a material fact or omit any fact necessary
          to
          make the statements therein not misleading. As of the Restatement Closing
          Date,
          each of the representations and warranties given by each applicable Credit
          Party
          or MM Merger Corp. in the Mid-Maine Acquisition Agreement is true and correct
          in
          all material respects, except that the representation in this sentence
          is
          qualified as being "to the best of our knowledge after due inquiry" with
          respect
          to the Mid-Maine Entities. 

         

        
          
            
            

          

          
            35

            
              

            

          

          
            
            

          

        

         

        3.26 Subordinated
          Debt.
          As of
          the Original Closing Date, Borrower has delivered to Agent and Lenders
          a
          complete and correct copy of the Initial IDS Subordinated Notes Documents
          (including all schedules, exhibits, amendments, supplements, modifications,
          assignments and all other documents delivered pursuant thereto or in connection
          therewith). The subordination provisions contained in the Initial IDS
          Subordinated Notes Documents and, on and after the execution, delivery
          and/or
          Incurrence thereof, any Subsequent IDS Subordinated Notes Documents and
          any
          Additional Subordinated Debt Documents, are enforceable against Borrower,
          the
          Guarantors party thereto and the holders of such Indebtedness by Agent
          and
          Lenders. All Obligations constitute "Senior Lender Indebtedness", "Designated
          Senior Indebtedness" and "Senior Indebtedness" or like term under and as
          defined
          in (i) the Initial IDS Subordinated Notes Documents, entitled to the benefits
          of
          the subordination provisions contained in the Initial IDS Subordinated
          Notes
          Documents and, (ii) on and after the execution, delivery and/or Incurrence
          thereof, any Subsequent IDS Subordinated Notes Documents and any Additional
          Subordinated Debt Documents, entitled to the benefits of the subordination
          provisions contained in any Subsequent IDS Subordinated Notes Documents
          and any
          Additional Subordinated Debt Documents. This Agreement and the other Loan
          Documents constitute "Senior Credit Documents" or like term as defined
          in the
          Initial IDS Subordinated Notes Documents and, on and after the execution,
          delivery and/or Incurrence thereof, any Subsequent IDS Subordinated Notes
          Documents and any Additional Subordinated Debt Documents. The Incurrence
          of the
          Obligations, including the Additional Term Loans, did not and does not
          violate
          the Initial IDS Subordinated Notes Documents and, on and after the execution,
          delivery and/or Incurrence thereof, any Subsequent IDS Subordinated Notes
          Documents and any Additional Subordinated Debt Documents. The Incurrence
          of the
          Revolving Credit Commitment on the Original Closing Date, the Additional
          Term
          Loans on the Restatement Closing Date and any Revolving Credit Advance
          on the
          date of borrowing hereunder did not, does not and would not violate the
          Initial
          IDS Subordinated Notes Documents and, on after the execution, delivery
          and/or
          Incurrence thereof, any Subsequent IDS Subordinated Notes Documents and
          any
          Additional Subordinated Debt Documents. Borrower acknowledges that Agent
          and
          each Lender are entering into this Agreement and are extending the Commitments
          in reliance upon this Section
          3.26
          and the
          subordination provisions of the Initial IDS Subordinated Notes Documents
          and, on
          and after the execution, delivery and/or Incurrence thereof, of any Subsequent
          IDS Subordinated Notes Documents and any Additional Subordinated Debt Documents.
          The Initial IDS Subordinated Notes Documents (a) have not been amended
          or
          otherwise modified after the Original Closing Date and (b) remain in full
          force
          and effect as of the Restatement Closing Date. Neither the Borrower nor
          any
          Subsidiary has entered into or become obligated under any Subordinated
          Debt
          Documents after the Original Closing Date.

         

        
          
            
            

          

          
            36

            
              

            

          

          
            
            

          

        

         

        3.27 Capitalization.
          On
          the
          Restatement Closing Date, after giving effect to the Loans and the Restatement
          Related Transactions, the authorized Stock of Borrower shall consist of
          (a)
          2,000,000 shares of preferred stock, par value $0.01 per share, none of
          which
          are issued or outstanding, (b) 20,000,000 shares of Class A common stock,
          par
          value $0.01 per share (such authorized shares of Class A common stock,
          together
          with any subsequently authorized shares of such common stock, the "Class
          A Common Stock")
          of
          which 9,676,733 shares are issued and outstanding and (c) 800,000 shares of
          Class B common stock, par value $0.01 per share (such authorized shares
          of Class
          B common stock, together with any subsequently authorized shares of such
          common
          stock, the "Class
          B Common Stock")
          of
          which 544,671 shares are issued and outstanding. All
          such
          outstanding shares have been duly and validly issued, are fully paid and
          nonassessable and are free of preemptive rights. Except
          as
          set forth in Disclosure
          Schedule (3.27),
          on the
          Restatement Closing Date, Borrower does not have outstanding any Stock
          convertible into or exchangeable for its Stock or outstanding any rights
          to
          subscribe for or to purchase, or any options for the purchase of, or any
          agreement providing for the issuance (contingent or otherwise) of, or any
          calls,
          commitments or claims of any character relating to, its Stock or any Stock
          appreciation or similar rights.

         

        3.28 OFAC.
          No
          Credit Party (i) is a person whose property or interest in property is
          blocked
          or subject to blocking pursuant to Executive Order 13224 of September 23,
          2001
          Blocking Property and Prohibiting Transactions With Persons Who Commit,
          Threaten
          to Commit, or Support Terrorism (66 Fed. Reg. 49079 (2001)), (ii) engages
          in any
          dealings or transactions prohibited by such executive order, or is otherwise
          associated with any such person in any manner violative of such executive
          order,
          or (iii) is a person on the list of Specially Designated Nationals and
          Blocked
          Persons or subject to the limitations or prohibitions under any other U.S.
          Department of Treasury’s Office of Foreign Assets Control regulation or
          executive order.

         

        3.29 Patriot
          Act.
          Each
          Credit Party is in compliance with (i) the Trading with the Enemy Act,
          as
          amended, and each of the foreign assets control regulations of the United
          States
          Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) and any
          other
          enabling legislation or executive order relating thereto, and (ii) the
          Uniting
          And Strengthening America By Providing Appropriate Tools Required To Intercept
          And Obstruct Terrorism (USA Patriot Act of 2001). No part of the proceeds
          of the
          Loans will be used, directly or indirectly, for any payments to any governmental
          official or employee, political party, official of a political party, candidate
          for political office, or anyone else acting in an official capacity, in
          order to
          obtain, retain or direct business or obtain any improper advantage, in
          violation
          of the United States Foreign Corrupt Practices Act of 1977, as
          amended.

         

        
          
            
            

          

          
            37

            
              

            

          

          
            
            

          

        

         

        
          
            4
              FINANCIAL
              STATEMENTS AND INFORMATION

          

        

         

        4.1 Reports
          and Notices.

         

        (a) Each
          Credit Party executing this Agreement hereby agrees that from and after
          the
          Restatement Closing Date and until the Termination Date, it shall deliver
          to
          Agent or to Agent and Lenders, as required, the Financial Statements, Compliance
          Certificates, notices, Projections and other information at the times,
          to the
          Persons and in the manner set forth in Annex
          E.

         

        (b) Each
          Credit Party executing this Agreement hereby agrees that from and after
          the
          Restatement Closing Date and until the Termination Date, it shall deliver
          to
          Agent or to Agent and Lenders, as required, the various Collateral Reports
          at
          the times, to the Persons and in the manner set forth in Annex
          F.

         

        4.2 Communication
          with Accountants.
          Each
          Credit Party executing this Agreement authorizes (a) Agent and (b) so long
          as an
          Event of Default has occurred and is continuing, each Lender, to communicate
          directly with its independent certified public accountants, including BDO
          Seidman LLP, and authorizes and shall request those accountants to disclose
          and
          make available to Agent and each Lender any and all Financial Statements
          and
          other supporting financial documents, schedules and information relating
          to any
          Credit Party (including copies of any issued management letters) with respect
          to
          the business, results of operations, financial condition and other affairs
          of
          any Credit Party, provided
          that an
          officer of Borrower will be given the reasonable opportunity to participate
          in
          any direct communication with the Credit Parties’ independent public
          accountants.

         

        
          
            5
              AFFIRMATIVE
              COVENANTS

          

        

         

        Each
          Credit Party executing this Agreement jointly and severally agrees as to
          all
          Credit Parties that from and after the date hereof and until the Termination
          Date:

         

        5.1 Maintenance
          of Existence and Conduct of Business.
          Each
          Credit Party shall: do or cause to be done all things necessary to preserve
          and
          keep in full force and effect its corporate or organizational existence
          (except
          to the extent permitted by Section
          6.1)
          and its
          material rights and franchises,
          including, without limitation, all Telecommunications Approvals;
          continue to conduct its business substantially as now conducted or as otherwise
          permitted hereunder; and at all times
          maintain, preserve and protect all of its material assets and properties
          used or
          useful in the conduct of its business, and keep the same in reasonable
          repair,
          working order and condition in all material respects (taking into consideration
          ordinary wear and tear) and from time to time make, or cause to be made,
          all
          necessary or appropriate repairs, replacements and improvements thereto
          consistent with industry practices.

         

        
          
            
            

          

          
            38

            
              

            

          

          
            
            

          

        

         

        5.2 Payment
          of Charges.

         

        (a) Subject
          to Section
          5.2(b),
          each
          Credit Party shall pay and discharge or cause to be paid and discharged
          promptly
          all Charges payable by it, including (i) Charges imposed upon it, its
          income and profits, or any of its material property (real, personal or
          mixed)
          and all Charges with respect to tax, social security and unemployment
          withholding with respect to its employees, except such unpaid Charges which
          will
          not cumulatively in the aggregate for all unpaid Charges of all Credit
          Parties
          result in more than $200,000 in liabilities for all Credit Parties combined,
          (ii) lawful claims for labor, materials, supplies and services or
          otherwise, and (iii) all storage or rental charges payable to warehousemen
          and bailees, in each case, before any thereof shall become past due, except
          in
          the case of clauses (ii) and (iii) where the failure to pay or discharge
          such
          Charges, individually or in the aggregate, could not reasonably be expected
          to
          have a Material Adverse Effect.

         

        (b) Each
          Credit Party may in good faith contest, by appropriate proceedings, the
          validity
          or amount of any Charges, Taxes or claims described in Section
          5.2(a);
          provided,
          that
          (i) adequate reserves with respect to such contest are maintained on the
          books
          of such Credit Party, in accordance with GAAP, (ii) no Lien shall be imposed
          to
          secure payment of such Charges (other than payments to warehousemen and/or
          bailees) that is superior to any of the Liens securing payment of the
          Obligations and such contest is maintained and prosecuted continuously
          and with
          diligence and operates to suspend collection or enforcement of such Charges,
          (iii) none of the Collateral becomes subject to forfeiture or loss as a
          result
          of such contest, and (iv) such Credit Party shall promptly pay or discharge
          such
          contested Charges, Taxes or claims and all additional charges, interest,
          penalties and expenses, if any, and shall deliver to Agent evidence reasonably
          acceptable to Agent of such compliance, payment or discharge, if such contest
          is
          terminated or discontinued adversely to such Credit Party or the conditions
          set
          forth in this Section
          5.2(b)
          are no
          longer met.

         

        5.3 Books
          and Records.
          Each
          Credit Party shall keep adequate books and records with respect to its
          business
          activities in which proper entries, reflecting all financial transactions,
          are
          made in order to permit the preparation of financial statements in accordance
          with GAAP.

         

        5.4 Insurance;
          Damage to or Destruction of Collateral.

         

        (a) The
          Credit Parties shall, at their sole cost and expense, maintain (i) the
          policies
          of insurance described on Disclosure
          Schedule (3.18)
          as in
          effect on the date hereof or (ii)
          casualty insurance on all real and personal property on an all risks basis
          (including the perils of flood and quake), covering the repair and replacement
          cost of all such property and coverage for business interruption and public
          liability insurance (including products/completed operations liability
          coverage)
          in each case of the kinds customarily carried or maintained by Persons
          of
          established reputation engaged in similar businesses and in each case with
          insurers and in amounts reasonably acceptable to Agent (it being agreed
          that any
          insurer having an A.M. Best policy holders rating of at least "A-
          minus"
          shall
          be acceptable to Agent).
          Such
          policies of insurance shall contain provisions pursuant to which the insurer
          agrees to provide 30 days (or, in the case of cancellation for nonpayment
          of
          premium, 10 days') prior written notice to Agent in the event of any
          non-renewal, cancellation or amendment of any such insurance policy. If
          any
          Credit Party at any time or times hereafter shall fail to obtain or maintain
          any
          of the policies of insurance required above or to pay all premiums relating
          thereto, Agent may at any time or times thereafter obtain and maintain
          such
          policies of insurance and pay such premiums and take any other action with
          respect thereto that Agent reasonably deems advisable. Agent shall have
          no
          obligation to obtain insurance for any Credit Party or pay any premiums
          therefor. By doing so, Agent shall not be deemed to have waived any Default
          or
          Event of Default arising from any Credit Party's failure to maintain such
          insurance or pay any premiums therefor. All sums so disbursed, including
          reasonable attorneys' fees, court costs and other charges related thereto,
          shall
          be payable on demand by Borrower to Agent and shall be additional Obligations
          hereunder secured by the Collateral. 

         

        
          
            
            

          

          
            39

            
              

            

          

          
            
            

          

        

         

        (b) Agent
          reserves the right at any time upon any change in any Credit Party's insurance
          risk profile (including any change in the product mix maintained by any
          Credit
          Party or any laws affecting the potential liability of such Credit Party)
          to
          require additional forms and limits of insurance to, in Agent's opinion,
          adequately protect both Agent's and Lenders' interests in all or any portion
          of
          the Collateral and to ensure that each Credit Party is protected by insurance
          in
          amounts and with coverage customary for its industry; provided
          that so
          long as no Event of Default has occurred and is continuing, the Credit
          Parties
          shall be required to obtain such additional forms and limits of insurance
          only
          on the annual renewal date of the applicable insurance policy (or on a
          date
          reasonably selected by Agent if there is no such annual renewal date).
          If
          reasonably requested by Agent, each Credit Party shall deliver to Agent
          from
          time to time a report of a reputable insurance broker, reasonably satisfactory
          to Agent, with respect to its insurance policies.

         

        
          
            
            

          

          
            40

            
              

            

          

          
            
            

          

        

        (c) Each
          Credit Party shall deliver to Agent, in form and substance reasonably
          satisfactory to Agent, Certificates of Insurance and endorsements to all
          general
          liability and other liability policies naming Agent, on behalf of itself
          and
          Lenders, as additional insured. Each Credit Party (other than a PUC Restricted
          Subsidiary) shall
          deliver to Agent, in form and substance reasonably satisfactory to Agent,
          Certificates
          of Insurance and
          endorsements to all "All Risk" and business interruption insurance naming
          Agent,
          on behalf of itself and Lenders, as lender's loss payee (via
          a
          Lenders Loss Payable endorsement. Each
          Credit Party (other than a PUC Restricted Subsidiary) irrevocably makes,
          constitutes and appoints Agent (and all officers, employees or agents designated
          by Agent), so long as any Default or Event of Default has occurred and
          is
          continuing or the anticipated insurance proceeds exceed $500,000,
          as each
          such Credit Party's true and lawful agent and attorney-in-fact for the
          purpose
          of making, settling and adjusting claims under such "All Risk" policies
          of
          insurance, endorsing the name of each such Credit Party on any check or
          other
          item of payment for the proceeds of such "All Risk" policies of insurance
          and
          for making all determinations and decisions with respect to such "All Risk"
          policies of insurance. Agent shall have no duty to exercise any rights
          or powers
          granted to it pursuant to the foregoing power-of-attorney. Borrower shall
          promptly notify Agent and Lenders of any loss, damage or destruction to
          the
          Collateral in the amount of $500,000 or more, whether or not covered by
          insurance, and if any Credit Party receives insurance proceeds in respect
          of any
          such loss, damage or destruction to the Collateral, it shall immediately
          pay
          them to Agent for application in accordance with this Section 5.4(c) (it
          being
          understood that proceeds of business interruption insurance shall be retained
          by
          the applicable Credit Party except during the occurrence and continuance
          of a
          Default or an Event of Default). After deducting from such proceeds the
          expenses, if any, incurred by Agent in the collection or handling thereof,
          Agent
          may, at its option, apply such proceeds to the reduction of the Obligations
          of
          Borrower in accordance with Section 1.3(c)
          or
          permit or require each Credit Party to use such money, or any part thereof,
          to
          promptly begin and diligently pursue the replacement, repair, restoration
          or
          rebuilding of the Collateral with materials and workmanship of substantially
          the
          same quality as existed before the loss, damage or destruction. Notwithstanding
          the foregoing, if the casualty giving rise to such insurance proceeds could
          not
          reasonably be expected to have a Material Adverse Effect and such insurance
          proceeds do not exceed $750,000 in the aggregate, Agent shall permit the
          applicable Credit Party either to replace, restore, repair or rebuild the
          property or to reinvest such proceeds in revenue producing capital assets
          used
          in the businesses of the Credit Parties of the type engaged in by the Credit
          Parties as of the Restatement Closing Date or businesses reasonably related
          thereto; provided
          that if
          such Credit Party has not completed or entered into binding agreements
          to
          complete such replacement, restoration, repair or rebuilding within 180
          days
          following such casualty or has not consummated such reinvestment within
          180 days
          following such casualty, Agent may apply such insurance proceeds to the
          Obligations of Borrower in accordance with Section
          1.3(c).
          All
          insurance proceeds that are to be made available to any Credit Party to
          replace,
          repair, restore or rebuild such Collateral or to fund such reinvestment
          shall
          either be (x) deposited in a cash collateral account held by Agent or (y)
          applied by Agent to reduce the outstanding principal balance of the Revolving
          Loan (which application shall not result in a permanent reduction of the
          Revolving Loan Commitment) and upon such application, Agent shall establish
          a
          Reserve against the Borrowing Availability in an amount equal to the amount
          of
          such proceeds so applied. Thereafter, such funds shall be made available
          to
          Borrower to provide funds to replace, repair, restore or rebuild such Collateral
          or to fund such reinvestment as follows: (i) Borrower shall request a Revolving
          Credit Advance or release from such cash collateral account be made to
          fund such
          replacement, repair, restoration or rebuilding or to fund such reinvestment
          in
          the amount requested to be released; (ii) so long as the conditions in
          Section
          2.2
          have
          been met, Revolving Lenders shall make such Revolving Credit Advance or
          Agent
          shall release funds from such cash collateral account; and (iii) in the
          case of
          insurance proceeds applied against the Revolving Loan, the Reserve established
          with respect to such insurance proceeds shall be reduced by the amount
          of such
          Revolving Credit Advance. To the extent not used to replace, repair, restore
          or
          rebuild the Collateral or to fund such reinvestment, such insurance proceeds
          shall be applied in accordance with Section
          1.3(c)
          and such
          Reserve shall be immediately utilized through the borrowing by Borrower
          of a
          Revolving Credit Advance, the proceeds of which shall be applied to prepay
          the
          Loans in accordance with Section
          1.3(c).

         

        
          
            
            

          

          
            41

            
              

            

          

          
            
            

          

        

        5.5 Compliance
          with Laws.
          Each
          Credit Party shall comply
          in
          all
          respects with
          all
          federal, state, local and foreign laws and regulations applicable to it,
          including those relating to ERISA and labor matters,
          Communications Laws
          and
          Environmental Laws and Environmental Permits, except to the extent that
          the
          failure to comply, individually or in the aggregate, could not reasonably
          be
          expected to have a Material Adverse Effect. Each Credit Party shall duly
          and
          timely comply in all respects with the
          provisions, terms and conditions of
          all
          Telecommunications Approvals, except to the extent that such failure,
          individually or in the aggregate, could not reasonably
          be
          expected to have a Material Adverse Effect.

         

        5.6 Supplemental
          Disclosure.
          From
          time to time as may be reasonably requested by Agent (which request will
          not be
          made more frequently than once each year absent the occurrence and continuance
          of a Default or an Event of Default), the Credit Parties shall supplement
          each
          Disclosure Schedule hereto, or any representation herein or in any other
          Loan
          Document, with respect to any matter hereafter arising that, if existing
          or
          occurring at the date of this Agreement, would have been required to be
          set
          forth or described in such Disclosure Schedule or as an exception to such
          representation or that is necessary to correct any information in such
          Disclosure Schedule or representation which has been rendered materially
          inaccurate thereby (and, in the case of any supplements to any Disclosure
          Schedule, such Disclosure Schedule shall be appropriately marked to show
          the
          changes made therein); provided
          that (a)
          no such supplement to any such Disclosure Schedule or representation shall
          (x)
          amend, supplement or otherwise modify any Disclosure Schedule or representation,
          or (y) be deemed a waiver of any Default or Event of Default resulting
          from the
          matters disclosed therein, except as consented to by Agent and Requisite
          Lenders
          in writing and in the case of clause (x) except for changes permitted or
          required by Annex C and changes otherwise constituting matters expressly
          permitted or expressly contemplated by this Agreement and (b) no supplement
          shall be required or permitted as to representations and warranties that
          relate
          solely to the Restatement Closing Date.

         

        5.7 Intellectual
          Property.
          Each
          Credit Party will conduct its business and affairs without infringement
          of or
          interference with any Intellectual Property of any other Person and shall
          comply
          with the terms of its Licenses, except where the failure to do so, individually
          or in the aggregate, could not reasonably be expected to have a Material
          Adverse
          Effect.

         

        5.8 Environmental
          Matters.
          Each
          Credit Party shall and shall cause each Person within its control to: (a)
          conduct its operations and keep and maintain its Real Estate in compliance
          with
          all Environmental Laws and Environmental Permits other than noncompliance
          that,
          individually or in the aggregate, could not reasonably be expected to have
          a
          Material Adverse Effect; (b) implement any and all investigation, remediation,
          removal and response actions that are appropriate or necessary to operate
          the
          Real Estate in the manner presently operated or to otherwise materially
          comply
          with Environmental Laws and Environmental Permits pertaining to the presence,
          generation, treatment, storage, use, disposal, transportation or Release
          of any
          Hazardous Material on, at, in, under, above, to, from or about any of its
          Real
          Estate; (c) notify Agent promptly after such Credit Party has actual knowledge
          of any violation of Environmental Laws or Environmental Permits or any
          Release
          on, at, in, under, above, to, from or about any Real Estate that is reasonably
          likely to result in Environmental Liabilities in excess of $500,000; and
          (d)
          promptly forward to Agent a copy of any written order, notice, request
          for
          information or any communication or report received by such Credit Party
          in
          connection with any such violation or Release or any other matter relating
          to
          any Environmental Laws or Environmental Permits that could reasonably be
          expected to result in Environmental Liabilities in excess of $500,000,
          in each
          case whether or not the Environmental Protection Agency or any other
          Governmental Authority has taken or threatened any action in connection
          with any
          such violation, Release or other matter. If Agent at any time has a reasonable
          basis to believe that there is a violation of any Environmental Laws or
          Environmental Permits by any Credit Party or any Environmental Liability
          arising
          thereunder, or a Release of Hazardous Materials on, at, in, under, above,
          to,
          from or about any of its Real Estate, that, in each case, could reasonably
          be
          expected to have a Material Adverse Effect, then each Credit Party shall,
          upon
          Agent's written request (i) cause the performance of such environmental
          audits
          relating to the suspected violation or Release, including subsurface sampling
          of
          soil and groundwater, and preparation of such environmental reports, at
          Borrower's expense, as Agent may from time to time reasonably request,
          which
          shall be conducted by reputable environmental consulting firms reasonably
          acceptable to Agent and shall be in form and substance reasonably acceptable
          to
          Agent, and (ii) permit Agent or its representatives to have access to all
          Real
          Estate for the purpose of conducting such environmental audits and testing
          as
          Agent deems reasonably appropriate relating to the suspected violation
          or
          Release, including subsurface sampling of soil and groundwater. Borrower
          shall
          reimburse Agent for the costs of such audits and tests and the same will
          constitute a part of the Obligations secured hereunder. 

         

        
          
            
            

          

          
            42

            
              

            

          

          
            
            

          

        

         

        5.9 Landlords'
          Agreements, Mortgagee Agreements, Bailee Letters and Real Estate
          Purchases.
          Each
          Credit Party shall obtain a landlord's agreement, mortgagee agreement or
          bailee
          letter, as applicable, from the lessor of each leased property, mortgagee
          of
          owned property or bailee with respect to any warehouse, processor or converter
          facility or other location where Collateral having a value, individually
          or in
          the aggregate, in excess of $250,000 is stored or located, which agreement
          or
          letter shall contain a waiver or subordination of all Liens or claims that
          the
          landlord, mortgagee or bailee may assert against the Collateral at that
          location, and shall otherwise be reasonably satisfactory in form and substance
          to Agent. After the Restatement Closing Date, no real property or warehouse
          space shall be leased having annual rental payments in excess of $50,000
          by any
          Credit Party and no Inventory (other than Inventory of a PUC Restricted
          Subsidiary) shall be shipped to a processor or converter under arrangements
          established after the Restatement Closing Date without the prior written
          consent
          of Agent, unless and until a satisfactory landlord agreement or bailee
          letter,
          as appropriate, shall first have been obtained with respect to such location.
          To
          the extent permitted hereunder, if any Credit Party (other than a PUC Restricted
          Subsidiary) proposes to acquire a fee ownership interest or leasehold interest
          in any Material Real Estate after the Restatement Closing Date, it shall
          concurrently provide to Agent a mortgage or deed of trust or leasehold
          mortgage
          or deed of trust, as applicable, granting Agent a first priority Lien on
          such
          Real Estate or leasehold interest therein, as applicable, together with
          environmental audits, mortgage title insurance commitment, real property
          survey,
          local counsel opinion(s), and, if required by Agent, supplemental casualty
          insurance and flood insurance, and such other documents, instruments or
          agreements, in each case, reasonably requested by Agent, and in each case,
          in
          form and substance reasonably satisfactory to Agent. In addition, if any
          Real
          Property owned or leased by any Credit Party (other than a PUC Restricted
          Subsidiary) shall subsequently become or be determined to be Material Real
          Estate, promptly following a request from Agent, such Credit Party shall
          provide
          to Agent a mortgage or deed of trust or leasehold mortgage or deed of trust,
          as
          applicable, granting Agent a first priority Lien on such Real Estate, or
          leasehold interest therein, as applicable, together with environmental
          audits,
          mortgage title insurance commitment, real property survey, local counsel
          opinion(s), and, if required by Agent, supplemental casualty insurance
          and flood
          insurance, and such other documents, instruments or agreements, in each
          case,
          reasonably requested by Agent, and in each case, in form and substance
          reasonably satisfactory to Agent.

         

        
          
            
            

          

          
            43

            
              

            

          

          
            
            

          

        

         

        5.10 Interest
          Rate Protection .
          On
          and
          from
          the
Restatement
          Closing
          Date and at all times thereafter prior to the Commitment Termination
          Date
          for at
          least a period of two years from the Restatement Closing Date, Borrower
          shall
          maintain
          interest rate cap, swap or collar agreements, or other agreements or
          arrangements designed to provide protection against fluctuations in interest
          rates, which shall be on terms, for periods and with counterparties reasonably
          acceptable to Agent, provided
          that the initial period of such shall be for at least two years, and
          pursuant to which Borrower is protected against increases in interest rates
          from
          and after the date of such contracts as to a notional amount of not less
          than
          fifty percent (50%) and no greater than one hundred percent (100%) of all
          Loans
          outstanding from time to time.
          

         

        5.11 CoBank
          Capital.
          So long
          as CoBank is a Lender hereunder, Borrower will acquire or maintain ownership
          of
          non-voting participation certificates in CoBank in such amounts and at
          such
          times as CoBank may require in accordance with CoBank’s Bylaws and Capital Plan
          (as each may be amended from time to time), except that the maximum amount
          of
          non-voting participation certificates that Borrower may be required to
          purchase
          in CoBank in connection with the Loans may not exceed the maximum amount
          permitted by the Bylaws at the time this Agreement is entered into. The
          rights
          and obligations of the parties with respect to such non-voting participation
          certificates and any distributions made on account thereof or on account
          of
          Borrower’s patronage with CoBank shall be governed by CoBank’s Bylaws. Borrower
          hereby consents and agrees that the amount of any distributions with respect
          to
          its patronage with CoBank that are made in qualified written notices of
          allocation (as defined in 26 U.S.C. § 1388) and that are received by Borrower
          from CoBank, will be taken into account by Borrower at the stated dollar
          amounts
          whether the distribution is evidenced by a participation certificate or
          other
          form of written notice that such distribution has been made and recorded
          in the
          name of Borrower on the records of CoBank. CoBank’s Pro Rata Share of the Loans
          and other Obligations due to CoBank shall be secured by a statutory first
          lien
          on all equity which Borrower may now own or hereafter acquire in CoBank.
          Such
          equity shall not, however, constitute security for the Obligations due
          to any
          other Lender. CoBank shall not be obligated to set off or otherwise apply
          such
          equities to Borrower’s obligations to CoBank.

         

        
          
            
            

          

          
            44

            
              

            

          

          
            
            

          

        

         

        5.12 Further
          Assurances.
          Each
          Credit Party executing this Agreement agrees that it shall and shall cause
          each
          other Credit Party to, at such Credit Party's expense and upon request
          of Agent
          or Requisite Lenders, duly execute and deliver, or cause to be duly executed
          and
          delivered, to Agent and Lenders such further instruments and do and cause
          to be
          done such further acts as may be necessary or proper in the reasonable
          opinion
          of Agent or Requisite Lenders to carry out more effectively the provisions
          and
          purposes of this Agreement and each other Loan Document.

         

        5.13 Subsidiaries
          and Collateral.
          The
          Credit Parties will take such action from time to time as shall be necessary
          to
          ensure that (i) all Subsidiaries of Borrower are Credit Parties hereunder,
          (ii)
          all Subsidiaries of Borrower (other than a PUC Restricted Subsidiary) are
          Guarantors under the Subsidiary Guaranty, (iii) Borrower and all Subsidiaries
          of
          Borrower (other than a PUC Restricted Subsidiary) are Grantors under the
          Security Agreement and Agent (for the benefit of itself and the Lenders)
          has
          first priority perfected Liens (subject to Permitted Encumbrances), in
          substantially all the assets of Borrower and such Subsidiaries, consistent
          with
          the provisions of the Security Agreement, (iv) Borrower and all Subsidiaries
          of
          Borrower (other than Mid-Missouri Holding and Mid-Maine Telecom) are Pledgors
          under the Pledge Agreement, and (v) Agent (for the benefit of itself and
          the
          Lenders) has first priority perfected Liens in one hundred percent (100%)
          of the
          outstanding Stock of each of the Subsidiaries of Borrower (other than the
          stock
          of Mid-Missouri Telephone) consistent with the provisions of the Pledge
          Agreement. 

         

        5.14 Change
          of Law Applicable to Mid-Missouri Telephone. 

         

        (a) Mid-Missouri
          Telephone shall execute and deliver to Agent (i) a guaranty substantially
          in the
          form of the Subsidiary Guaranty (or a Joinder Agreement in respect of the
          Subsidiary Guaranty) not later than 30 days after Mid-Missouri Telephone
          shall
          have obtained knowledge that Mid-Missouri Telephone shall not be required
          by
          applicable law to obtain consent from the PUC in the State of Missouri
          in order
          to execute and deliver such a guaranty and (ii) a security agreement
          substantially in the form of the Security Agreement (or a Joinder Agreement
          in
          respect of the Security Agreement) not later than 30 days after Mid-Missouri
          Telephone shall not be required by applicable law to obtain consent from
          the PUC
          in the State of Missouri in order to execute and deliver such a security
          agreement.

         

        (b) Mid-Missouri
          Holding shall execute and deliver to Agent a Joinder Agreement in respect
          of the
          Pledge Agreement and shall pledge all of the Stock of Mid-Missouri Telephone
          pursuant to the terms of the Pledge Agreement not later than 30 days after
          Mid-Missouri Telephone shall have obtained knowledge that Mid-Missouri
          Telephone
          shall not be required by applicable law to obtain consent from the PUC
          in the
          State of Missouri in order for its Stock to be pledged to Agent under the
          Pledge
          Agreement. 

         

        
          
            
            

          

          
            45

            
              

            

          

          
            
            

          

        

         

      

    

    (c) Upon
      (i)
      the execution and delivery by Mid-Missouri Telephone of (A) the guaranty (or
      Joinder Agreement) referred to in paragraph (a) of this Section
      5.14
      and (B)
      the security agreement (or Joinder Agreement) referred to in paragraph (a)
      of
      this Section
      5.14
      and (ii)
      the execution and delivery by Mid-Missouri Holding of a Joinder Agreement in
      accordance with paragraph (b) of this Section
      5.14,
      any
      provision in the Loan Documents that specifically excludes Mid-Missouri
      Telephone shall, mutatis
      mutandis,
      be
      deemed to also apply to Mid-Missouri Telephone.

     

    (d) The
      Credit Parties shall notify Agent and the Lenders promptly upon obtaining
      knowledge that Mid-Missouri Telephone and Mid-Missouri Holding will be required
      to execute and deliver documents pursuant to the foregoing clauses of this
      Section
      5.14.
      In such
      event, if and to the extent reasonably requested by Agent or Requisite Lenders,
      Mid-Missouri Telephone and Mid-Missouri Holding will cause to be delivered
      to
      Agent and Lenders all other relevant documentation of the type described in
      Section 2 and the Closing Checklist with respect thereto.

     

    5.15 Change
      of Law Applicable to Mid-Maine Telecom. 

     

    (a) Mid-Maine
      Telecom shall execute and deliver to Agent (i) a guaranty substantially in
      the
      form of the Subsidiary Guaranty (or a Joinder Agreement in respect of the
      Subsidiary Guaranty) not later than 30 days after Mid-Maine Telecom shall have
      obtained knowledge that Mid-Maine Telecom shall not be required by applicable
      law to obtain consent from the PUC in the State of Maine in order to execute
      and
      deliver such a guaranty and (ii) a security agreement substantially in the
      form
      of the Security Agreement (or a Joinder Agreement in respect of the Security
      Agreement) not later than 30 days after Mid-Maine Telecom shall not be required
      by applicable law to obtain consent from the PUC in the State of Maine in order
      to execute and deliver such a security agreement.

     

    (b) Upon
      the
      execution and delivery by Mid-Maine Telecom of (A) the guaranty (or Joinder
      Agreement) referred to in paragraph (a) of this Section
      5.15
      and (B)
      the security agreement (or Joinder Agreement) referred to in paragraph (a)
      of
      this Section
      5.15,
      any
      provision in the Loan Documents that specifically excludes Mid-Maine Telecom
      shall, mutatis
      mutandis,
      be
      deemed to also apply to Mid-Maine Telecom.

     

    (c) The
      Credit Parties shall notify Agent and the Lenders promptly upon obtaining
      knowledge that Mid-Maine Telecom will be required to execute and deliver
      documents pursuant to the foregoing clauses of this Section
      5.15.
      In such
      event, if and to the extent reasonably requested by Agent or Requisite Lenders,
      Mid-Maine Telecom will cause to be delivered to Agent and Lenders all other
      relevant documentation of the type described in Section 2 and the Closing
      Checklist with respect thereto.

     

    5.16 Mid-Maine
      Software and Systems Transition.
      No
      later than April 1, 2007, Borrower shall have provided evidence reasonably
      satisfactory to Agent and the Requisite Lenders that the Mid-Maine Entities
      shall have caused the transfer of all business information systems, billing
      and
      other software, in each case, material to the operation of the business of
      the
      Mid-Maine Entities (for purposes of this paragraph, the "Systems"),
      to
      the analogous Systems of Borrower; provided,
      however,
      that if
      Borrower shall not have provided such evidence to Agent on or by the date
      specified above, Borrower agrees that it shall promptly (and in any event within
      30 days thereafter) cause the execution by the relevant Mid-Maine Entities
      and
      the licensor, vendor or lessor of such Systems of a security assignment in
      favor
      of Agent and a consent to such security assignment, in each case reasonably
      acceptable to Agent and the Requisite Lenders.

    
      
        
        

      

      
        46

        
          

        

      

      
        
        

      

    

     

    5.17 Post
      Closing Covenant.
      To the
      extent that any landlord waivers and consents required to be delivered pursuant
      to paragraph X of Annex D with respect to 900D Hammond Street, Bangor, Maine
      04401 and 1670 Broadway Bangor, ME 04401 are not delivered to Agent and Lenders
      on the Restatement Closing Date, each Credit Party agrees that it shall
      undertake best efforts to, and best efforts to cause each other Credit Party
      to,
      deliver to Agent such landlord waivers and consents on or prior to September
      27,
      2006; provided,
      however,
      that to
      the extent that such document(s) are not delivered to Agent on or prior to
      such
      date, then Borrower shall deliver written notice to Agent and Lenders describing
      in reasonable detail efforts undertaken and reasoning that such documents were
      not able to be obtained. 

     

    
      6
        NEGATIVE
        COVENANTS

    

     

    Each
      Credit Party executing this Agreement jointly and severally agrees as to all
      Credit Parties that from and after the Restatement Closing Date until the
      Termination Date:

     

    6.1 Mergers,
      Subsidiaries, Etc.(a)
      No
      Credit Party shall directly or indirectly, by operation of law or otherwise,
      (x)
      form or acquire any Subsidiary, or (y) merge with, consolidate with, acquire
      all
      or substantially all of any division, unit or business of, acquire all or
      substantially all of the assets of, acquire all or a substantial portion of
      the
      Stock of, or otherwise combine with or acquire, any Person, whether in a single
      transaction or a series of related transactions, individually or together with
      any other Credit Parties, except (i) as permitted by Section
      6.1(b)
      below,
      (ii) so long as no Default or Event of Default has occurred and is continuing
      or
      would result therefrom, (A) any Subsidiary of Borrower may merge or consolidate
      with or convey all or substantially all of its assets to Borrower provided
      that
      Borrower is the surviving entity from any such transaction, (B) any Subsidiary
      of Borrower may merge or consolidate with or convey all or substantially all
      of
      its assets to a Subsidiary Guarantor provided that such Subsidiary Guarantor
      is
      the surviving entity from any such transaction and (C) Borrower or any
      Subsidiary of Borrower may form a Subsidiary organized under the laws of the
      United States so long as contemporaneously therewith such Subsidiary becomes
      a
      Credit Party, becomes a Subsidiary Guarantor and grants a Lien on its assets
      to
      Agent in accordance with Section
      5.13,
      and
      (iii) the Mid-Maine Acquisition consummated on the Restatement Closing
      Date.

     

    (b) Notwithstanding
      Section
      6.1(a),
      after
      the Restatement Closing Date, (x) Borrower or any Subsidiary Guarantor may
      acquire all or substantially all of any division, unit or business of or all
      or
      substantially all of the assets of, or (y) Borrower or any Subsidiary of
      Borrower that is a Credit Party may acquire all of the Stock of, any Person
      (the
      "Target")
      (in
      each case, a "Permitted
      Acquisition")
      subject to the satisfaction of each of the following
      conditions:

    
      
        
        

      

      
        47

        
          

        

      

      
        
        

      

    

     

    (i) Agent
      shall receive at least thirty (30) Business Days’ prior written notice (or such
      shorter period as Agent may agree) of such proposed Permitted Acquisition,
      which
      notice shall include a reasonably detailed description of such proposed
      Permitted Acquisition;

     

    (ii) such
      Permitted Acquisition shall only involve (A) assets located in the United States
      and comprising a business, or those assets of a business, of the type engaged
      in
      by the Credit Parties as of the Restatement Closing Date or, as applicable,
      a
      business, or those assets of a business, reasonably related thereto or (B)
      the
      Stock of a Person organized in the United States whose assets comprise such
      a
      business, and in each case which business would not subject Agent or any Lender
      to regulatory or third party approvals in connection with the exercise of its
      rights and remedies under this Agreement or any other Loan Documents other
      than
      types of approvals applicable to the exercise of such rights and remedies with
      respect to the Guarantors prior to such Permitted Acquisition;

     

    (iii) such
      Permitted Acquisition shall be consensual and shall have been approved by the
      Target’s board of directors (or other governing body);

     

    (iv) no
      additional Indebtedness, Guaranteed Indebtedness, contingent obligations or
      other contingent liabilities shall be Incurred or otherwise be reflected on
      a
      consolidated balance sheet of Borrower and Target after giving effect to such
      Permitted Acquisition, except (A) Loans made hereunder, (B) Indebtedness secured
      by purchase money Liens and Capital Leases entered into in the ordinary course
      of Target’s business, provided
      that (1)
      the principal amount of such Indebtedness and Capital Lease Obligations with
      respect to such Capital Leases, together with the aggregate amount of all other
      outstanding purchase money Indebtedness and Capital Lease Obligations of the
      Credit Parties, shall not exceed $1,500,000 at any one time, (2) such purchase
      money Liens and Capital Leases are not created in contemplation of such
      Permitted Acquisition and secure only those principal obligations and any
      charges or interest accruing thereon which such purchase money Liens or Capital
      Leases secure on the date that such Permitted Acquisition is consummated, (3)
      such Indebtedness does not exceed 100% of the purchase price of the subject
      assets, and (4) such purchase money Liens or Capital Leases do not extend to
      any
      asset other than the assets being purchased or acquired with such purchase
      money
      Indebtedness or the assets being leased in connection with such Capital Leases,
      (C)
      contingent obligations and contingent liabilities that do not exceed $500,000
      for each such Permitted Acquisition, (D) Guaranteed Indebtedness permitted
      by
      Section 6.6, and (E) Indebtedness of Borrower Incurred to finance such Permitted
      Acquisition to the extent such Indebtedness is expressly permitted under
Section
      6.3(a)(vii), (xv) or (xvi)
      and to
      the extent that no Default or Event of Default has occurred and is continuing
      or
      would result after giving effect to such Permitted Acquisition;

    
      
        
        

      

      
        48

        
          

        

      

      
        
        

      

    

     

    (v) the
      sum
      of all amounts payable in connection with all Permitted Acquisitions made after
      the Restatement Closing Date (including all deferred payments, all non-compete
      payments, all transaction costs, the fair market value of all Stock issued
      in
      connection therewith and all Indebtedness and any earn out payments or similar
      obligations Incurred in connection therewith or otherwise reflected on a
      consolidated balance sheet of Borrower and Target) shall not exceed $25,000,000
      in any Fiscal Year for all Credit Parties combined;

     

    (vi) on
      a Pro
      Forma Basis, after giving effect to such Permitted Acquisition, the Target
      shall
      not have incurred an operating loss for the trailing twelve-month period
      preceding the date of such Permitted Acquisition, as determined based upon
      the
      Target’s financial statements for its most recently completed fiscal year and
      its most recent interim financial period completed within sixty (60) days prior
      to the date of consummation of such Permitted Acquisition; 

     

    (vii) the
      business and assets acquired in such Permitted Acquisition shall be free and
      clear of all Liens (other than Permitted Encumbrances);

     

    (viii) the
      Borrower shall be the surviving entity of any merger or consolidation involving
      Borrower in connection with any Permitted Acquisition, and at or prior to the
      closing of any Permitted Acquisition, Agent will be granted a first priority
      perfected Lien (subject to Permitted Encumbrances) in substantially all the
      assets acquired pursuant thereto, consistent with the provisions of the Security
      Agreement, and in the outstanding Stock of the Target, and the applicable Credit
      Parties and the Target shall have executed such documents (including a Joinder
      Agreement, if applicable) and taken such actions as may be reasonably requested
      by Agent in connection therewith;

     

    (ix) concurrently
      with delivery of the notice referred to in clause (i) above, Borrower shall
      have
      delivered to Agent and Lenders, in form reasonably satisfactory to
      Agent:

     

    (A) a
      pro
      forma consolidated balance sheet, income statement and cash flow statement
      of
      Borrower and its Subsidiaries (the "Acquisition
      Pro Forma"),
      based
      on recent financial statements, which shall fairly present in all material
      respects the assets, liabilities, financial position and results of operations
      and cash flows of Borrower and its Subsidiaries in accordance with GAAP
      consistently applied (subject to normal year end audit adjustments and the
      absence of footnotes), but taking into account such Permitted Acquisition and
      the funding of all Loans in connection therewith, and such Acquisition Pro
      Forma
      shall reflect that on a Pro Forma Basis, no Default or Event of Default has
      occurred and is continuing or would result after giving effect to such Permitted
      Acquisition and the Credit Parties would have been in compliance with the
      Financial Covenants for the Test Period reflected in the Compliance Certificate
      most recently delivered to Agent pursuant to Section 4.1
      prior to
      consummation of such Permitted Acquisition (after giving effect to such
      Permitted Acquisition and all Advances funded in connection therewith as if
      made
      on the first day of such period);

    
      
        
        

      

      
        49

        
          

        

      

      
        
        

      

    

     

    (B) updated
      versions of the most recently delivered Projections covering the three (3)
      year
      period commencing on the date of such Permitted Acquisition and otherwise
      prepared in accordance with the Projections (the "Acquisition
      Projections")
      and
      based upon historical financial data of a recent date reasonably satisfactory
      to
      Requisite Lenders, taking into account such Permitted Acquisition;
      and

     

    (C) a
      certificate of the chief financial officer of Borrower to the effect that:
      (w)
      Borrower (after taking into consideration all rights of contribution and
      indemnity each Credit Party has against each other Credit Party) will be Solvent
      upon the consummation of such Permitted Acquisition; (x) the Acquisition Pro
      Forma fairly presents in all material respects the financial position of
      Borrower and its Subsidiaries (on a consolidated basis) as of the date thereof
      after giving effect to such Permitted Acquisition; (y) the Acquisition
      Projections are reasonable estimates of the future financial performance of
      Borrower and its Subsidiaries subsequent to the date thereof based upon the
      historical performance of the Credit Parties and the Target and show that the
      Credit Parties shall continue to be in compliance with the Financial Covenants
      for the 3-year period thereafter; and (z) the Credit Parties have completed
      their due diligence investigation with respect to the Target and such Permitted
      Acquisition, which investigation was conducted in a manner similar to that
      which
      would have been conducted by a prudent purchaser of a comparable business and
      the results of which investigation were delivered to Agent and Lenders;

     

    (x) (A)
      at
      least five (5) days prior to the date of such Permitted Acquisition, Agent
      and
      Lenders shall have received the then current draft of the acquisition agreement,
      in form and substance reasonably satisfactory to Agent (it being agreed that
      an
      acquisition agreement reflecting commercially reasonable terms otherwise
      acceptable to a prudent purchaser of such assets or Stock in such industry
      shall
      be reasonably satisfactory to Agent) and, upon request of Agent, related
      agreements and instruments, and all opinions, certificates, lien search results
      and other documents reasonably requested by Agent or any Lender (collectively,
      the "Related
      Documents"),
      including those specified in the last two sentences of Section 5.9,
      (B) at
      least two (2) Business Days prior to the date of such Permitted Acquisition,
      Agent and Lenders shall have received, a copy of the substantially final
      acquisition agreement and, upon request of Agent, Related Documents and all
      such
      documentation shall not differ in any material respect from the previous draft
      provided to Agent and Lenders, unless in each case changes to the previous
      draft
      are reasonably satisfactory to Agent (it being agreed that changes reflecting
      commercially reasonable terms otherwise acceptable to a prudent purchaser of
      such assets or Stock in such industry shall be reasonably satisfactory to Agent)
      and (C) on or prior to two (2) Business Days after the closing of such Permitted
      Acquisition, Agent and Lenders shall have received a copy of the final
      acquisition agreement and, upon request of Agent, Related
      Documents;

    
      
        
        

      

      
        50

        
          

        

      

      
        
        

      

    

     

    (xi) at
      the
      time of such Permitted Acquisition and after giving effect thereto, no Default,
      Event of Default, Interest Deferral Period or Dividend Suspension Period has
      occurred and is continuing; and

     

    (xii) Agent
      and
      Lenders shall have received reasonably satisfactory evidence of compliance
      with
      all regulatory requirements with respect to such Permitted
      Acquisition.

     

    6.2 Investments;
      Loans and Advances.
      Except
      as
      otherwise expressly permitted by this Section
      6,
      no
      Credit Party shall make or permit to exist any Investment in any Person,
      except:

     

    (a) Investments
      comprised of (i) notes payable, or stock or other securities issued by Account
      Debtors to the Credit Parties pursuant to negotiated agreements with respect
      to
      settlement of such Account Debtor's Accounts in the ordinary course of business
      and
      (ii)
      Investments received in connection with the bankruptcy or reorganization of
      suppliers or customers and in settlement of delinquent obligations of, and
      other
      disputes with, suppliers or customers arising in the ordinary course of
      business;

     

    (b) Investments
      existing on the Restatement Closing Date and listed on Disclosure
      Schedule (6.2);
      

     

    (c) so
      long
      as Agent has not delivered an Activation Notice, Borrower may
      make
      Investments, subject to Control Letters in favor of Agent for the benefit of
      Lenders or otherwise subject to a perfected security interest in favor of Agent
      for the benefit of Lenders, in (i) marketable direct obligations issued or
      unconditionally guaranteed by the United States of America or any agency thereof
      maturing within one year from the date of acquisition thereof,
      (ii) commercial paper maturing no more than one year from the date of
      creation thereof and currently having the highest rating obtainable from either
      Standard & Poor's Ratings Group or Moody's Investors Service, Inc., (iii)
      certificates of deposit maturing no more than one year from the date of creation
      thereof issued by commercial banks incorporated under the laws of the United
      States of America, each having combined capital, surplus and undivided profits
      of not less than $300,000,000 and having a senior unsecured rating of "A" or
      better by a nationally recognized rating agency (an "A
      Rated Bank"),
      (iv)
      time deposits maturing no more than 30 days from the date of creation thereof
      with A Rated Banks, (v) mutual funds that invest substantially all their assets
      in one or more of the Investments described in clauses
      (i) through (iv)
      above,
      and (vi) others approved by Agent in its reasonable discretion;

     

    (d) any
      Credit Party may make capital contributions to any other Credit Party;
provided
      that the
      aggregate amount of (i) all capital contributions to, intercompany loans to
      and
      other Investments in the PUC Restricted Subsidiaries shall not at any time
      exceed $2,000,000 for all Credit Parties combined and (ii) all intercompany
      loans by each PUC Restricted Subsidiary shall not at any time exceed such
      amounts permitted under Section
      6.3(a)(viii)(F);

    
      
        
        

      

      
        51

        
          

        

      

      
        
        

      

    

     

    (e) intercompany
      loans and advances by any Credit Party to any other Credit Party to the extent
      permitted by Section
      6.3(a)(viii);

     

    (f) Permitted
      Acquisitions and Investments of a Person existing at the time such Person
      becomes a Subsidiary of a Credit Party in connection with a Permitted
      Acquisition or at the time such Person is merged or consolidated with or into
      a
      Credit Party in connection with a Permitted Acquisition, provided
      that
      such Investments are not made in contemplation of such Permitted
      Acquisition;

     

    (g) Investments
      consisting of deferred payment obligations received as consideration
      from Asset Sales effected in accordance with the requirements of Section
      6.8,
      so long
      as such Investments do not in the aggregate exceed $250,000 at any time for
      all
      Credit Parties combined;

     

    (h) prepaid
      expenses, negotiable instruments held for collection and lease, and utility
      and
      workers' compensation, performance and other similar deposits, in each case,
      created in the ordinary course of business;

     

    (i) Guaranteed
      Indebtedness permitted by Section
      6.6;

     

    (j) Hedging
      Obligations of Borrower required or permitted by Section
      5.10;

     

    (k) Loans
      and
      advances to employees of any Credit Party in the ordinary course of business,
      in
      each case to the extent permitted by Section
      6.4(b);
      

     

    (l) the
      Mid-Missouri Acquisition consummated on the Original Closing Date;

     

    (m) the
      Mid-Maine Acquisition consummated on the Restatement Closing Date;
      and

     

    (n) other
      Investments by the Credit Parties not exceeding $2,000,000 in the aggregate
      at
      any time outstanding for all Credit Parties combined, provided
      that
      this Section
      6.2(n)
      shall
      not be applicable to Investments in a PUC Restricted Subsidiary.

     

    6.3 Indebtedness.

     

    (a) No
      Credit
      Party shall create, incur, assume or permit to exist any Indebtedness, except
      (without duplication):

     

    (i) Indebtedness
      secured by purchase money security interests and Capital Leases permitted in
      Section
      6.7(c)
      and
      refinancings thereof or amendments or modifications thereof that do not have
      the
      effect of increasing the principal amount thereof or changing the amortization
      thereof (other than to extend the same) and that are otherwise on terms and
      conditions no less favorable to any Credit Party, Agent or any Lender, as
      determined by Agent, than the terms of the Indebtedness or Capital Lease being
      refinanced, amended or modified; 

    
      
        
        

      

      
        52

        
          

        

      

      
        
        

      

    

     

    (ii) the
      Loans
      and the other Obligations; 

     

    (iii) unfunded
      pension fund and other employee benefit plan obligations and liabilities to
      the
      extent they are permitted to remain unfunded under applicable law;

     

    (iv) existing
      Indebtedness described in Disclosure
      Schedule (6.3)
      and
      refinancings thereof or amendments or modifications thereof that do not have
      the
      effect of increasing the principal amount thereof or changing the amortization
      thereof (other than to extend the same) and that are otherwise on terms and
      conditions no less favorable to any Credit Party, Agent or any Lender, as
      determined by Agent, than the terms of the Indebtedness being refinanced,
      amended or modified; provided,
      however,
      that
      this Section
      6.3(a)(iv)
      shall
      not be applicable to Subordinated Debt;

     

    (v) unsecured,
      subordinated Indebtedness of Borrower evidenced by the Initial IDS Subordinated
      Notes issued on the Original Closing Date as a part of the Original Related
      Transactions, in an aggregate principal amount that does not exceed at any
      time
      $85,000,000 (less the amount of any repayments of principal thereof after the
      Original Closing Date);

     

    (vi) unsecured,
      subordinated Indebtedness of Borrower evidenced by any Initial IDS-Linked
      Subordinated Notes issued after the Original Closing Date as part of Initial
      IDS
      Securities required to be issued pursuant to the Investor Rights Agreement
      upon
      exchange of any Class B common stock of Borrower issued on the Original Closing
      Date as a part of the Original Related Transactions so long as (A) no Default,
      Event of Default, Interest Deferral Period or Dividend Suspension Period has
      occurred and is continuing or would result as of the date of issuance thereof
      and all the Exchange Conditions (as defined in the Initial IDS Subordinated
      Notes Indenture) are satisfied at the time of such issuance and exchange, (B)
      on
      a Pro Forma Basis after giving effect to the Incurrence of such Indebtedness,
      the Credit Parties shall (I) have a Consolidated Total Leverage Ratio of not
      more than 6.0 to 1.0 and (II) be in compliance with the Financial Covenants
      and
      (C) Borrower shall have furnished to Agent and Lenders prior to the Incurrence
      thereof a certificate from a Responsible Officer of Borrower certifying as
      to
      compliance with the requirements of the preceding clauses (A) and (B) and
      containing the calculations demonstrating compliance with the preceding clause
      (B);

     

    (vii) Permitted
      Additional Subordinated Debt of Borrower, so long as (A) the aggregate
      outstanding principal amount thereof (excluding any PIK Amounts in respect
      thereof) does not exceed $25,000,000 at any time, (B) no Default, Event of
      Default, Interest Deferral Period or Dividend Suspension Period has occurred
      and
      is continuing or would result as of the date of issuance thereof, (C) on a
      Pro
      Forma Basis after giving effect to the Incurrence of such Indebtedness
      (excluding PIK Amounts in respect thereof payable after the initial Incurrence
      of such Indebtedness), the Credit Parties shall (I) have a Consolidated Total
      Leverage Ratio of not more than 6.0 to 1.0 and (II) be in compliance with the
      Financial Covenants, (D) the
      terms
      of such Indebtedness otherwise comply with the provisions of the definition
      of
      Permitted Additional Subordinated Debt, (E) all of the proceeds thereof shall
      be
      applied (I) concurrently with the issuance thereof, to refinance Permitted
      Additional Subordinated Debt of Borrower or (II) not later than 90 days after
      the date of issuance thereof, (x) to finance a Permitted Acquisition, (y) to
      finance permitted Consolidated Capital Expenditures or (z) to prepay the Loans,
      and (F) Borrower
      shall have furnished to Agent and Lenders prior to the Incurrence thereof a
      certificate from a Responsible Officer of Borrower certifying as to compliance
      with the requirements of the preceding clauses (A), (B), (C) and (D) and
      containing the calculations demonstrating compliance with the preceding clause
      (C); 

    
      
        
        

      

      
        53

        
          

        

      

      
        
        

      

    

     

    (viii) Indebtedness
      consisting of intercompany loans and advances made by a Credit Party to any
      other Credit Party; provided,
      that:
      (A) the Credit Party that is the recipient of any intercompany loan or advance
      (for purposes of this paragraph, the "Obligor")
      shall
      have executed and delivered a demand note in the form of Exhibit
      6.3(a)(viii)
      (an
      "Intercompany
      Note")
      to
      evidence any such intercompany Indebtedness owing at any time to the Credit
      Party providing such intercompany loan or advance (for purposes of this
      paragraph, the "Holder"),
      which
      Intercompany Note shall be pledged and delivered to Agent pursuant to the
      applicable Pledge Agreement or Security Agreement as additional collateral
      security for the Obligations (except for any such Intercompany Note executed
      and
      delivered to a PUC Restricted Subsidiary); (B) Borrower, the applicable Obligor
      and the applicable Holder shall record all intercompany transactions on its
      respective books and records in a manner reasonably satisfactory to Agent;
      (C)
      the obligations of the applicable Obligor and the applicable Holder under any
      such Intercompany Note shall be subordinated to the Obligations of Borrower
      and
      each other Credit Party hereunder in accordance with the terms of the
      Intercompany Note; (D) at the time any such intercompany loan or advance is
      made
      by any Credit Party and after giving effect thereto, Borrower and such Credit
      Party shall be Solvent; (E) Agent has not delivered a notice to Borrower
      prohibiting such intercompany loans and advances following the occurrence and
      during the continuance of a Default or Event of Default; and (F) the aggregate
      amount of (I) intercompany loans to, capital contributions to and other
      Investments in the PUC Restricted Subsidiaries shall not at any time exceed
      $2,000,000 for all Credit Parties combined and (II) intercompany loans by the
      PUC Restricted Subsidiaries shall not at any time exceed $2,000,000 for all
      PUC
      Restricted Subsidiaries combined;

     

    (ix) [Intentionally
      Omitted]; 

     

    (x) Indebtedness
      constituting Hedging Obligations of Borrower required or permitted by
Section
      5.10;

     

    (xi) Guaranteed
      Indebtedness permitted by Section
      6.6;
      

     

    
      
        
        

      

      
        54

        
          

        

      

      
        
        

      

    

     

    (xii) Indebtedness
      of Borrower or any of its Subsidiaries which may be deemed to exist in
      connection with agreements providing for indemnification, purchase price
      adjustments and similar obligations in connection with Permitted Acquisitions
      or
      sales of assets permitted by this Agreement (so long as any such obligations
      are
      those of the Person making the respective acquisition or sale, and are not
      guaranteed by any other Person);

     

    (xiii) Indebtedness
      constituting temporary bank overdrafts in the ordinary course of business that
      are promptly repaid; 

     

    (xiv) [Intentionally
      Omitted];

     

    (xv) unsecured,
      subordinated Indebtedness of Borrower evidenced by any Subsequent IDS
      Subordinated Notes issued after the Original Closing Date under any Subsequent
      IDS Subordinated Notes Indenture, so long as (A) no Default, Event of Default,
      Interest Deferral Period or Dividend Suspension Period has occurred and is
      continuing or would result as of the date of issuance thereof, (B) on a Pro
      Forma Basis after giving effect to the Incurrence of such Indebtedness
      (excluding PIK Amounts in respect thereof payable after the initial Incurrence
      of such Indebtedness), the Credit Parties shall (I) have a Consolidated Total
      Leverage Ratio of not more than 6.0 to 1.0 and (II) be in compliance with the
      Financial Covenants, (C)
      the
      terms of such Indebtedness otherwise comply with the provisions of the
      definitions of Subsequent
      IDS-Linked Subordinated Notes and Subsequent Non-IDS-Linked Subordinated Notes,
      (D) all of the proceeds thereof shall be applied (I) concurrently with the
      issuance thereof, to refinance IDS Subordinated Notes or Permitted Additional
      Subordinated Debt of Borrower or (II) not
      later
      than 90 days after the date of issuance thereof, (x) to finance a Permitted
      Acquisition, (y) to finance permitted Consolidated Capital Expenditures or
      (z)
      to prepay the Loans, and
      (E)
      Borrower shall have furnished to Agent and Lenders prior to the Incurrence
      thereof a certificate from a Responsible Officer of Borrower certifying as
      to
      compliance with the requirements of the preceding clauses (A), (B) and (C)
      and
      containing the calculations demonstrating compliance with the preceding clause
      (B); and

     

    (xvi) additional
      unsecured Indebtedness of Borrower, so long as (A) the aggregate outstanding
      principal amount thereof (excluding any PIK Amounts in respect thereof) does
      not
      exceed $5,000,000 at any time, (B) no Default, Event of Default, Interest
      Deferral Period or Dividend Suspension Period has occurred and is continuing
      or
      would result as of the date of issuance thereof, (C) on a Pro Forma Basis after
      giving effect to the Incurrence of such Indebtedness (excluding PIK Amounts
      in
      respect thereof payable after the initial Incurrence of such Indebtedness),
      the
      Credit Parties shall (I) have a Consolidated Total Leverage Ratio of not more
      than 6.0 to 1.0 and (II) be in compliance with the Financial Covenants, and
      (D) Borrower shall have furnished to Agent and Lenders prior to the
      Incurrence thereof a certificate from a Responsible Officer of Borrower
      certifying as to compliance with the requirements of the preceding clauses
      (A),
      (B) and (C) and containing the calculations demonstrating compliance with the
      preceding clause (C).

    
      
        
        

      

      
        55

        
          

        

      

      
        
        

      

    

     

    (b) No
      Credit
      Party shall, directly or indirectly, voluntarily purchase, redeem, defease
      or
      prepay any principal of, premium, if any, interest or other amount payable
      in
      respect of any Indebtedness, other than (i) the Obligations; (ii) Indebtedness
      secured by a Permitted Encumbrance if the asset securing such Indebtedness
      has
      been sold or otherwise disposed of in accordance with Sections
      6.8(b)
      or
(c);
      (iii)
      Indebtedness permitted by Section
      6.3(a)(iv)
      upon any
      refinancing thereof in accordance with Section
      6.3(a)(iv);
      (iv)
      Indebtedness permitted by Sections
      6.3(a)(v), (vi)
      or
(xv)
      upon any
      refinancing thereof in accordance with Section
      6.3(a)(xv);
      (v)
      Indebtedness permitted by Section
      6.3(a)(vii)
      upon any
      refinancing thereof in accordance with Section
      6.3(a)(vii);
      (vi)
      Indebtedness permitted by Sections
      6.3(a)(i)
      and
(viii)
      so long
      as no Default or Event of Default has occurred and is continuing or would result
      therefrom; (vii) Indebtedness permitted by Section
      6.3(a)(iii);
      and
      (viii) as otherwise permitted in Section
      6.14.
      

     

    6.4 Employee
      Loans and Affiliate Transactions. 

     

    (a) Except
      as
      otherwise expressly permitted in this Section
      6
      with
      respect to Affiliates and except for transactions referred to on Disclosure
      Schedule (6.4(a)),
      no
      Credit Party shall enter into or be a party to any transaction with any other
      Credit Party or any Affiliate thereof except in the ordinary course of, and
      pursuant to the reasonable requirements of, such Credit Party's business and
      upon fair and reasonable terms that are no less favorable to such Credit Party
      than would be obtained in a comparable arm's length transaction with a Person
      not an Affiliate of such Credit Party. In addition, if any such transaction
      or
      series of related transactions, except for such transactions between Borrower
      and any Subsidiary Guarantor or between Subsidiary Guarantors in the ordinary
      course of business, involves payments in excess of $1,000,000 in the aggregate,
      the terms of these transactions must be disclosed in advance to Agent and
      Lenders. All such transactions existing as of the date hereof are described
      in
Disclosure
      Schedule (6.4(a)).

     

    (b) No
      Credit
      Party shall enter into any lending or borrowing transaction with any employees
      of any Credit Party, except loans to its respective employees on an arm's-length
      basis in the ordinary course of business consistent with past practices for
      travel and entertainment expenses, relocation costs and similar purposes and
      stock purchase and option financing up to a maximum of $1,000,000 in the
      aggregate at any one time outstanding for all Credit Parties combined.

     

    6.5 Capital
      Structure and Business.
      

     

    (a) No
      Credit
      Party shall: 

     

    (i)
      permit any Person (other than Borrower or any Credit Party that is a Pledgor
      under the Pledge Agreement) to own any Stock of any Subsidiary of Borrower,
      except that the Stock of Mid-Missouri Telephone shall be owned by Mid-Missouri
      Holding and except that the Stock of Mid-Maine Telecom shall be owned by
      Mid-Maine Holdco; or 

    
      
        
        

      

      
        56

        
          

        

      

      
        
        

      

    

     

    (ii)
      issue or sell any Stock to any Person, except that: 

     

    (A)
      any
      Subsidiary of Borrower may issue Stock to Borrower or any Pledgor (other than
      Mid Missouri Telephone) under the Pledge Agreement; 

     

    (B)
      Mid-Missouri Telephone may issue Stock to Mid-Missouri Holding; 

     

    (C)
      Imagination may issue Stock to Mid-Missouri Telephone; 

     

    (D)
      Borrower may issue or sell its Class A common stock for fair market value so
      long as no Change of Control occurs after giving effect thereto, no holding
      company of Borrower exists after giving effect thereto and either such Class
      A
      common stock is issued as consideration for a Permitted Acquisition or such
      Class A common stock is issued for cash and not later than 90 days after the
      date of issuance thereof the Net Cash Proceeds from the issuance thereof are
      applied (1) to finance a Permitted Acquisition, (2) to finance a permitted
      Consolidated Capital Expenditure, (3) to prepay Subordinated Debt, (4) to prepay
      the Loans as required by Section
      1.3(b)(iii)
      or
      (5) to make any repurchase of shares of its common stock permitted by
Section 6.14(l);
      and

     

    (E)
      Borrower may issue Class A common stock as part of Initial IDS Securities
      required to be issued pursuant to the Investor Rights Agreement upon exchange
      of
      any Class B common stock of Borrower issued on the Original Closing Date as
      a
      part of the Original Related Transactions so long as the Initial IDS-Linked
      Subordinated Notes issued as part of such Initial IDS Securities are permitted
      to be issued under Section
      6.3(a)(vi).

     

    (b) No
      Credit
      Party shall amend its charter, bylaws, operating agreement or other
      organizational documents, in either case in a manner that would adversely affect
      Agent or Lenders or such Credit Party's duty or ability to repay the Obligations
      (it being understood that any amendment to authorize, or increase the authorized
      shares of, any class of common stock of Borrower that is not Disqualified Stock
      would not be prohibited). Each Credit Party that is a limited liability company
      agrees that at all times (i) the limited liability company interests, membership
      interests, units or other interests in such Credit Party shall be represented
      by
      one or more certificates and (ii) such certificates and such Credit Party's
      operating agreement or other organizational documents shall expressly provide
      that it is a security governed by Article 8-102 of the Code.

     

    (c) No
      Credit
      Party shall engage in any business other than the businesses engaged in by
      it on
      the Restatement Closing Date or businesses reasonably related thereto.

     

    6.6 Guaranteed
      Indebtedness.
      No
      Credit Party shall create, incur, assume or permit to exist any Guaranteed
      Indebtedness except: 

    
      
        
        

      

      
        57

        
          

        

      

      
        
        

      

    

     

    (a) Guaranteed
      Indebtedness by endorsement of instruments or items of payment for deposit
      to
      the general account of any Credit Party;

     

    (b) Guaranteed
      Indebtedness incurred for the benefit of any other Credit Party if the primary
      obligation of such other Credit Party is permitted by this Agreement,
      provided
      that if
      the payment of such primary obligation is subordinated to the payment of any
      of
      the Obligations, then the payment of such Guaranteed Indebtedness shall be
      subordinated to the payment of the Obligations on the same basis that such
      primary obligation is so subordinated;

     

    (c) Guaranteed
      Indebtedness existing on the Restatement Closing Date and described in
Disclosure
      Schedule 6.6;

     

    (d) the
      Guaranties; 

     

    (e) Guaranteed
      Indebtedness incurred in the ordinary course of business of a Credit Party
      with
      respect to surety and appeal bonds, performance and return-of-money bonds and
      other similar obligations of such Credit Party up to $250,000 in the aggregate
      for all Credit Parties combined;
      

     

    (f) Guaranteed
      Indebtedness arising under indemnity agreements with title insurers to cause
      such title insurers to issue in favor of Agent mortgagee title insurance
      policies; and

     

    (g) additional
      Guaranteed Indebtedness of the Credit Parties not to exceed an aggregate
      outstanding principal amount of $250,000 at any time for
      all
      Credit Parties combined.

     

    6.7 Liens.
      No
      Credit Party shall create, incur, assume or permit to exist any Lien on or
      with
      respect to its Accounts or any of its other properties or assets (whether now
      owned or hereafter acquired) except for:

     

    (a)
      Permitted Encumbrances; 

     

    (b)
      Liens
      in existence on Restatement Closing Date and summarized on Disclosure
      Schedule (6.7)
      securing
      Indebtedness described on Disclosure
      Schedule (6.3)
      and
      permitted refinancings, extensions and renewals thereof, including extensions
      or
      renewals of any such Liens; provided
      that
      the
      principal amount so secured is not increased and the Lien does not attach to
      any
      other property;

     

    (c)
      Liens
      created after the Original Closing Date by conditional sale or other title
      retention agreements (including Capital Leases) or in connection with purchase
      money Indebtedness with respect to Equipment and Fixtures acquired by any Credit
      Party in the ordinary course of business or in connection with purchase money
      Indebtedness and Capital Leases expressly permitted to be assumed under
Section
      6.1(b)(iv)
      in
      connection with Permitted Acquisitions, involving the Incurrence of an aggregate
      amount of purchase money Indebtedness (including any assumed purchase money
      Indebtedness) and Capital Lease Obligations (including any assumed Capital
      Lease
      Obligations) of not more than $1,500,000 outstanding at any one time for all
      such Liens for
      all
      Credit Parties combined
      (provided that such Liens attach only to the assets subject to such purchase
      money Indebtedness and such Indebtedness is incurred within ninety (90) days
      following such purchase and does not exceed 100% of the purchase price of the
      subject assets); 

    
      
        
        

      

      
        58

        
          

        

      

      
        
        

      

    

     

    (d)
      leases and subleases of Real Property of a Credit Party granted to others which
      do not materially interfere with the ordinary conduct of the business of
      Borrower or any of its Subsidiaries; and 

     

    (e)
      Liens
      arising from Uniform Commercial Code financing statement filings regarding
      operating leases entered into by Borrower and its Subsidiaries in the ordinary
      course of business.

     

    In
      addition, no Credit Party shall become a party to any agreement, note, indenture
      or instrument, or take any other action, that would prohibit the creation of
      a
      Lien on any of its properties or other assets in favor of Agent, on behalf
      of
      itself and Lenders, as additional collateral for the Obligations, except (i)
      operating leases, Capital Leases, Licenses and agreements evidencing purchase
      money Indebtedness, in each case which only prohibit Liens upon the assets
      that
      are subject thereto, (ii) customary non-assignment clauses in agreements entered
      into in the ordinary course of business, (iii) contracts for the sale of assets
      permitted by Section
      6.8
      and (iv)
      restrictions imposed by applicable law. 

     

    6.8 Sale
      of Stock and Assets.
      No
      Credit
      Party shall sell, lease, license, transfer, convey, assign or otherwise dispose
      of, in
      a
      single transaction or a series of related transactions, any
      of
      its Properties or other assets, including the Stock of any of its Subsidiaries
      (whether in a public or a private offering or otherwise) or any of its Accounts
      (each, an "Asset
      Sale"),
      other
      than: 

     

    (a)
      the
      sale of Inventory in the ordinary course of business; 

     

    (b)
      the
      sale, transfer, conveyance or other disposition by a Credit Party of Equipment,
      Fixtures or Real Estate that are obsolete, surplus or no longer used or useful
      in such Credit Party's business and having a book value not exceeding $500,000
      in any single transaction or $1,000,000 in the aggregate in any Fiscal Year
      for
      all Credit Parties combined; 

     

    (c)
      the
      sale of other Equipment and Fixtures having a book value not exceeding $500,000
      in any single transaction or $1,000,000 in the aggregate in any Fiscal Year
      for
      all Credit Parties combined; 

     

    (d)
      the
      sale of Investments permitted by Section
      6.2(c)
      in the
      ordinary course of business; 

     

    (e)
      the
      sale of Investments acquired in settlements or bankruptcies of customers and
      suppliers; 

    
      
        
        

      

      
        59

        
          

        

      

      
        
        

      

    

     

    (f)
      Sale/Leaseback Transactions permitted by and entered into in accordance with
      Section
      6.12;
      

     

    (g)
      dispositions of customer accounts by a Credit Party in connection with
      compromise or collections in the ordinary course of business; 

     

    (h)
      leases and subleases permitted under Section
      6.7(d);
      

     

    (i)
      transfers of assets by Borrower or any Subsidiary thereof to Borrower or any
      Subsidiary Guarantor; 

     

    (j)
      Restricted Payments permitted by Section
      6.14;
      

     

    (k)
      Condemnations and casualties; and

     

    (l)
      the
      sale of Investments of a Person existing at the time such Person became a
      Subsidiary of a Credit Party in connection with a Permitted Acquisition or
      at
      the time such Person merged or consolidated with or into a Credit Party in
      connection with a Permitted Acquisition, provided
      that
      such Investments were not made in contemplation of such Permitted Acquisition;
      

     

    provided
      that
      each Asset Sale pursuant to the foregoing clauses of this Section
      6.8
      (other
      than clauses (j) and (k)) shall be for fair market value and (other than
Section
      6.8(i))
      for
      proceeds consisting of at least 75% cash. With respect to any Asset Sale
      permitted by this Section
      6.8
      (other
      than Sections
      6.8(h), (j) and (k)),
      subject to Section 1.3(b),
      Agent
      agrees on reasonable prior written notice to release its Lien on such assets
      or
      other properties in order to permit the applicable Credit Party to effect such
      disposition and shall execute and deliver to Borrower, at Borrower's expense,
      appropriate documentation to acknowledge the release of Lien in respect thereof
      as reasonably requested by Borrower. 

    

    6.9 ERISA.
      No
      Credit Party shall, or shall cause or permit any ERISA Affiliate to, cause
      or
      permit to occur (i) an event that could result in the imposition of a Lien
      under
      Section 412 of the IRC or Section 302 or 4068 of ERISA or (ii) an ERISA Event
      to
      the extent such ERISA Event could reasonably be expected to result in taxes,
      penalties or other liability of $500,000 in the aggregate.

     

    6.10 Financial
      Covenants.
      Borrower shall not breach or fail to comply with any of the Financial
      Covenants.

     

    6.11 Hazardous
      Materials.
      No
      Credit Party shall cause or permit a Release of any Hazardous Material on,
      at,
      in, under, above, to, from or about any of the Real Estate where such Release
      would (a) violate in any respect, or form the basis for any Environmental
      Liabilities under, any Environmental Laws or Environmental Permits or (b)
      otherwise adversely impact any Credit Party’s ability to use any of the Real
      Estate or any of the Collateral, in each case in the operation of its business,
      other than such violations or Environmental Liabilities that, individually
      or in
      the aggregate, could not reasonably be expected to have a Material Adverse
      Effect.

    
      
        
        

      

      
        60

        
          

        

      

      
        
        

      

    

     

    6.12 Sale/Leasebacks.
      No
      Credit Party shall engage in any Sale/Leaseback Transaction, synthetic lease
      or
      similar transaction involving any of its assets, except that within ninety
      (90)
      days following the date on which any Equipment or Fixtures are put in service
      by
      any Credit Party, such Credit Party may enter into a Sale/Leaseback Transaction
      with respect to such Equipment or Fixtures to the extent permitted by
Section 6.7(c).

     

    6.13 Cancellation
      of Indebtedness.
      No
      Credit Party shall cancel any claim or debt owing to it, except for reasonable
      consideration negotiated on an arm's-length basis and in the ordinary course
      of
      its business.

     

    6.14 Restricted
      Payments.
      No
      Credit Party shall make any Restricted Payment, except that:

     

    (a) 
      intercompany loans and advances may be made by any Credit Party to any other
      Credit Party to the extent permitted by Section
      6.3(a)(viii);

     

    (b) Subsidiaries
      of Borrower may pay dividends and distributions to Borrower or any Subsidiary
      Guarantor and Imagination may pay dividends and distributions to Mid-Missouri
      Telephone; 

     

    (c) any
      Credit Party may make employee loans permitted under Section
      6.4(b);
      

     

    (d) any
      Credit Party may make payments of principal and interest of Intercompany Notes
      issued in accordance with Section
      6.3(a)(viii);

     

    (e) on
      each IDS Payment Date (other than March 30, 2005), so long as (i) no Default
      or
      Event of Default has occurred and is continuing or would occur as a consequence
      of the payment of such cash dividends, (ii) no Interest Deferral Period has
      occurred and is continuing, (iii) no Dividend Suspension Period has occurred
      and
      is continuing, (iv) no Deferred Interest remains unpaid under any Subordinated
      Debt and (v) the Compliance Certificate required to be delivered pursuant to
      Section
      4.1
      in
      respect of the Fiscal Quarter most recently ended prior to such IDS Payment
      Date
      has been timely delivered, Borrower may declare and pay quarterly cash dividends
      to the holders of its Class A common stock on such IDS Payment Date in an
      aggregate amount which, together with the aggregate amount of all other cash
      dividends paid by Borrower on its Class A common stock (excluding cash dividends
      paid by Borrower on its Class A common stock on March 30, 2005 pursuant to
      Section
      6.14(m))
      and
      redemptions or repurchases (excluding such redemptions or repurchases permitted
      by Section
      6.14(l))
      by
      Borrower of shares of its common stock from its officers, employees, consultants
      and directors in connection with the termination of employment or engagement
      of
      any such Person after the Original Closing Date, is less than the amount of
      Excess Cash as of such IDS Payment Date;

     

    (f) on
      each IDS Payment Date (other than March 30, 2005) (for these purposes, a
      "Subject
      IDS Payment Date"),
      subject to Section
      6.19(b)
      hereof
      and the subordination provisions of the applicable Subordinated Debt Documents
      and the other terms of Article 10 of the applicable IDS Subordinated Notes
      Indenture (and the comparable provisions of the applicable Additional
      Subordinated Debt Documents) and so long as (i) no Interest Deferral Period
      has
      occurred and is continuing and (ii) the Compliance Certificate required to
      be
      delivered pursuant to Section
      4.1
      in
      respect of the Fiscal Quarter most recently ended prior to such Subject IDS
      Payment Date has been timely delivered, Borrower may pay quarterly accrued
      and
      unpaid interest on the Subordinated Debt and prepay any Deferred Interest in
      cash on such Subject IDS Payment Date in an aggregate amount not to
      exceed:

    
      
        
        

      

      
        61

        
          

        

      

      
        
        

      

    

     

    
      	 	
              (I)

            	
              Distributable
                Cash as of such Subject IDS Payment Date minus 

            

    

     

    
      	 	
              (II)

            	
              the
                aggregate amount of (A) cash dividends paid by Borrower on its Class
                A
                common stock during the period from January 1, 2005 through the end
                of the
                Fiscal Quarter most recently ended prior to such Subject IDS Payment
                Date
                (excluding cash dividends paid by Borrower on its Class A common
                stock on
                March 30, 2005 pursuant to Section
                6.14(m)),
                (B) cash redemptions or cash repurchases (excluding such redemptions
                or
                repurchases permitted by Section
                6.14(l))
                during such period by Borrower of shares of its common stock from
                its
                officers, employees, consultants and directors in connection with
                the
                termination of employment or engagement of any such Person and (C)
                cash
                interest payments made by Borrower on the Subordinated Debt during
                such
                period (excluding cash interest payments made by Borrower on the
                Initial
                IDS Subordinated Notes on March 30, 2005 pursuant to Section
                6.14(m));

            

    

     

    provided,
      however,
      that
      notwithstanding the foregoing provisions of this Section
      6.14(f),
      if,
      prior to such Subject IDS Payment Date the payment of interest on a particular
      series or issue of Subordinated Debt has been deferred pursuant to the interest
      deferral provisions of the Subordinated Debt Documents applicable to such
      particular series or issue of Subordinated Debt on eight (8) IDS Payment Dates
      in the aggregate occurring prior to such Subject IDS Payment Date, then subject
      to Section
      6.19(b)
      hereof
      and the subordination provisions of such Subordinated Debt Documents and the
      other terms of Article 10 of the IDS Subordinated Notes Indenture (or the
      comparable provisions of the Additional Subordinated Debt Documents) applicable
      to such particular series or issue of Subordinated Debt, Borrower may pay
      quarterly accrued and unpaid interest on such particular series or issue of
      Subordinated Debt (and prepay Deferred Interest) in cash on such Subject IDS
      Payment Date;

     

    (g)
      at
      any time that no Default or Event of Default has occurred and is continuing
      or
      would result, IDS Subordinated Notes permitted by Sections
      6.3(a)(v), (vi) or
      (xv)
      may be
      refinanced with the proceeds of Subsequent IDS Subordinated Notes in accordance
      with Section
      6.3(a)(xv)
      and
      Permitted Additional Subordinated Debt permitted by Section
      6.3(a)(vii)
      may be
      refinanced with the proceeds of Subsequent IDS Subordinated Notes in accordance
      with Section
      6.3(a)(xv)
      or
      Permitted Additional Subordinated Debt in accordance with Section
      6.3(a)(vii);

    
      
        
        

      

      
        62

        
          

        

      

      
        
        

      

    

     

    (h)
      the
      Credit Parties may make the Restricted Payments on the Original Closing Date
      contemplated by the Restructuring Documents as a part of the Original Related
      Transactions; 

     

    (i)
      Borrower may redeem or repurchase shares of its common stock from its officers,
      employees, consultants and directors in connection with the termination of
      employment or engagement of any such Person, provided
      that (i)
      no Default or Event of Default has occurred and is continuing or would result
      therefrom and (ii) the aggregate amount paid in respect of all such shares
      so
      redeemed or repurchased does not exceed $2,000,000 in any Fiscal
      Year;

     

    (j)
      Borrower may issue Class A common stock as part of Initial IDS Securities
      required to be issued pursuant to the Investor Rights Agreement upon exchange
      of
      any Class B common stock of Borrower issued on the Original Closing Date as
      a
      part of the Original Related Transactions so long as the Initial IDS-Linked
      Subordinated Notes issued as part of such Initial IDS Securities are permitted
      to be issued under Section
      6.3(a)(vi);

     

    (k)
      Borrower may pay dividends on its common stock solely in shares of common stock
      of Borrower; and

     

    (l)
      so
      long as no Default or Event of Default has occurred and is continuing or would
      result, Borrower may repurchase shares of its common stock solely in exchange
      for or with cash received from an issuance of its common stock permitted by
      Section
      6.5(a).

     

    6.15 Change
      of Corporate Name or Location; Change of Fiscal Year.
      No
      Credit Party shall (a) change its name
      as
      it appears in official filings in the state of its incorporation or other
      organization, (b)
      change its chief executive office, principal place of business or corporate
      offices,
      (c)
      change the type of entity that it is, (d) change its organization identification
      number, if any, issued by its state of incorporation or other organization,
      or
      (e) change its state of incorporation or organization,
      in each
      case without at least 30 days prior written notice to Agent and after any action
      required to be taken in accordance with Section
      5.13
      and any
      other action reasonably requested by Agent in connection therewith, including
      to
      continue the perfection of any Liens in favor of Agent, on behalf of Lenders,
      in
      any Collateral, has been completed or taken, and provided
      that any
      such new location shall be in the continental United States. No Credit Party
      shall change its Fiscal Year, except that a Subsidiary that becomes a Credit
      Party in connection with a Permitted Acquisition may change its Fiscal Year
      to
      conform to that of Borrower.

     

    6.16 No
      Impairment of Intercompany Transfers.
      No
      Credit Party shall directly or indirectly enter into or become bound by any
      agreement, instrument, indenture or other obligation (other than this Agreement
      and the other Loan Documents) that could directly or indirectly restrict,
      prohibit or require the consent of any Person with respect to the payment of
      dividends or distributions or the making or repayment of intercompany loans
      by a
      Subsidiary of Borrower to Borrower except
      for (a) the
      Loan
      Documents, and (b) restrictions imposed by applicable law or any applicable
      rule, regulation or order. 

    
      
        
        

      

      
        63

        
          

        

      

      
        
        

      

    

    

    6.17 No
      Speculative Transactions.
      No
      Credit Party shall engage in any transaction involving commodity options,
      futures contracts or similar transactions, except solely to hedge against
      fluctuations in interest rates required or permitted by Section
      5.10.
      

     

    6.18 [Intentionally
      Omitted].

     

    6.19 Changes
      Relating to Subordinated Debt; Material Contracts

    

    (a) No
      Credit
      Party shall change or amend the terms of any Subordinated Debt (or any
      indenture, note, guarantee, agreement or other Subordinated Debt Document in
      connection therewith) if the effect of such amendment is to: (i) increase the
      interest rate on such Subordinated Debt (or on any Deferred Interest thereon)
      or
      change the manner of payment thereof (including changes from cash interest
      to
      payment-in-kind interest); (ii) change the dates upon which payments of
      principal, interest or other amounts are due on such Subordinated Debt other
      than to extend such dates; (iii) change any default or event of default other
      than to delete or make less restrictive any default provision therein, or add
      any covenant with respect to such Subordinated Debt; (iv) change the redemption
      or prepayment provisions of such Subordinated Debt other than to extend the
      dates therefor or to reduce the premiums payable in connection therewith; (v)
      grant any security or collateral to secure payment of such Subordinated Debt
      or
      provide any additional guaranty with respect to such Subordinated Debt (other
      than, with respect to a new Subsidiary (or a PUC Restricted Subsidiary) that
      becomes a Subsidiary Guarantor, a subordinated guaranty by such new Subsidiary
      or PUC Restricted Subsidiary issued after such new Subsidiary or PUC Restricted
      Subsidiary becomes a Subsidiary Guarantor and in the form of the subordinated
      guaranty issued in connection with the Initial IDS Subordinated Notes
      Documents); (vi) change the subordination provisions thereof; (vii) change
      the
      interest deferral provisions thereof; or (viii) change or amend any other term
      if such change or amendment would materially increase the obligations of any
      Credit Party thereunder or confer additional material rights on the holder
      of
      such Subordinated Debt in a manner adverse to any Credit Party, Agent or any
      Lender. 

     

    (b) No
      Credit
      Party shall make any payment on any Indebtedness (other than the Obligations)
      in
      contravention of the terms of the subordination provisions with respect to
      any
      series or issue of Subordinated Debt or other Indebtedness or any of the other
      terms of Articles 10 and 12 of the Initial IDS Subordinated Notes Indenture
      or
      any Subsequent IDS Subordinated Notes Indenture (or the comparable provisions
      of
      any Additional Subordinated Debt Documents), including, without limitation,
      terms which prohibit payments (other than payments of Obligations) (i) during
      the continuance of a default, or (ii) if specified Indebtedness is accelerated,
      or (iii) if a payment blockage notice is delivered.

     

    
      
        
        

      

      
        64

        
          

        

      

      
        
        

      

    

     

    (c) After
      the
      issuance thereof, no Credit Party shall change or amend the terms of any
      Indebtedness (other than the Obligations) in a manner adverse to any Credit
      Party, Agent or any Lender.

     

    (d) No
      Credit
      Party shall change or amend in
      any
      manner adverse to the interests of the Lenders
      the
      terms of its certificate of formation or organization, operating agreement,
      certificate of incorporation or other organizational documents (including
      by-laws) or any agreement entered into by any Credit Party with respect to
      its
      Stock, or enter into any new agreement in any
      manner adverse to the interests of the Lenders with
      respect to its Stock (it being understood that any amendment to the certificate
      of incorporation of Borrower to authorize, or increase the authorized shares
      of,
      any class of common stock (other than Disqualified Stock) of Borrower would
      not
      be prohibited).

     

    (e) No
      Credit
      Party shall change or amend the terms of the following material contract in
      a
      manner that would cause a Material Adverse Effect: the M&A Software
      License.

     

    6.20 Holding
      Companies.
      None of
      the Holding Companies shall engage in any trade or business, or own any assets
      (other than Stock of its Subsidiaries and assets incidental to the ownership
      thereof) or Incur any Indebtedness or Guaranteed Indebtedness (other than
      Indebtedness permitted under Section
      6.3
      and
      Guaranteed Indebtedness permitted under Section
      6.6).

     

    6.21 Designated
      Senior Debt.
      Borrower
      shall not designate any Indebtedness (other than the Obligations) as "Designated
      Senior Indebtedness" or "Senior Lender Indebtedness" or like term for
      purposes of any Subordinated Debt Document. 

     

    6.22 Limitations
      on Accumulation of Funds.
      To the
      extent permitted by the Missouri PUC without seeking Missouri PUC consent,
      (i)
      Mid-Missouri Telephone shall not accumulate cash or cash equivalents (including
      funds on deposit in bank accounts and Investments of the type permitted by
      Section
      6.2(c))
      in
      excess of cash balances as may be reasonably required to be maintained by it
      to
      pay expenses incurred by it in the ordinary course of business, and (ii)
      Mid-Missouri Telephone shall immediately pay cash dividends or otherwise make
      cash distributions to Mid-Missouri Holding or, to the extent permitted by
Section
      6.2(d)
      and
Section
      6.3(a)(viii),
      intercompany loans to Borrower in an aggregate amount equal to all such cash
      and
      cash equivalents then accumulated by Mid-Missouri Telephone in excess of such
      cash balances. To
      the
      extent permitted by the Maine PUC without seeking Maine PUC consent:

    

    (i)
      prior
      to April
      1,
      2007,
      Mid-Maine
      Holdco shall cause
      Mid-Maine Telecom to promptly,
      and in any event not less frequently than quarterly, pay cash dividends or
      otherwise make cash distributions to Mid-Maine Holdco or, to the extent
      permitted by Section
      6.2(d)
      and
Section
      6.3(a)(viii),
      advance
      intercompany
      loans to Borrower in an aggregate amount equal to all cash and cash equivalents
      (including funds on deposit in bank accounts and Investments of the type
      permitted by Section
      6.2(c))
      then
      accumulated by Mid-Maine Telecom in excess of cash balances as may be reasonably
      required to be maintained by Mid-Maine Telecom to pay expenses incurred by
      it in
      the ordinary course of
      business; and 

    
      
        
        

      

      
        65

        
          

        

      

      
        
        

      

    

    

    (ii)
      from
      and after April 1, 2007, (A)
      Mid-Maine Holdco shall not permit Mid-Maine Telecom to accumulate cash or cash
      equivalents (including funds on deposit in bank accounts and Investments of
      the
      type permitted by Section
      6.2(c))
      in
      excess of cash balances as may be reasonably required to be maintained by it
      to
      pay expenses incurred by it in the ordinary course of
      business, and (B) Mid-Maine Holdco shall cause Mid-Maine Telecom to immediately
      pay cash
      dividends or otherwise make cash distributions to Mid-Maine Holdco or, to the
      extent permitted by Section
      6.2(d)
      and
Section
      6.3(a)(viii),
      advance
      intercompany
      loans to Borrower in an aggregate amount equal to all such cash and cash
      equivalents then accumulated by Mid-Maine Telecom in excess of such cash
      balances.

     

    No
      Credit
      Party (other than Borrower and the PUC Restricted Subsidiaries) shall accumulate
      cash or cash equivalents (including funds on deposit in bank accounts and
      Investments of the type permitted by Section
      6.2(c))
      in
      excess of cash balances as may be reasonably required to be maintained by it
      to
      pay expenses incurred by it in the ordinary course of business, and each such
      Credit Party shall immediately from time to time pay cash dividends or otherwise
      make cash distributions to the Credit Party of which it is a Subsidiary or,
      to
      the extent permitted by Section
      6.2(d)
      and
Section
      6.3(a)(viii),
      intercompany loans to Borrower in an aggregate amount equal to all such cash
      and
      cash equivalents then accumulated by it in excess of such cash balances.

     

    6.23 Limitations
      on Creation of Subsidiaries.
      No
      Credit Party will establish, create or acquire on or after the Restatement
      Closing Date any Subsidiary, provided that the Credit Parties shall be permitted
      to acquire the Mid-Maine Entities pursuant to the Mid-Maine Acquisition
      Agreement and shall be permitted to establish, create and, to the extent
      permitted by Section
      6.1,
      acquire
      Subsidiaries so long as (i) each such new Subsidiary is a Wholly-Owned
      Subsidiary, (ii) all of the Stock of each such new Subsidiary is pledged
      pursuant to the Pledge Agreement and the certificates representing such Stock,
      together with stock or other powers duly executed in blank, are delivered to
      Agent for the benefit of Lenders, and (iii) each such new Subsidiary executes
      and delivers to Agent and Lenders (1) a Joinder Agreement whereby such
      Subsidiary becomes a party to this Agreement as a "Credit Party" hereunder,
      a
      party to the Subsidiary Guaranty as a "Guarantor" thereunder, a party to the
      Security Agreement as a "Grantor" thereunder and, if applicable, a party to
      the
      Pledge Agreement as a "Pledgor" thereunder (except that Mid-Maine Telecom shall
      not be required to so become a party to the Subsidiary Guaranty or the Security
      Agreement unless required by Section
      5.15)
      and (2)
      if and to the extent reasonably requested by Agent or Required Lenders, all
      other relevant documentation of the type described in Section
      2
      and the
      Closing Checklist as such new Subsidiary would have had to deliver if such
      new
      Subsidiary were a Credit Party on the Restatement Closing Date.

    
      
        
        

      

      
        66

        
          

        

      

      
        
        

      

    

     

    7
      TERM

     

    7.1 Termination.
      The
      financing arrangements contemplated hereby shall be in effect until the
      Commitment Termination Date, and the Loans and all other Obligations (other
      than
      contingent indemnity and expense reimbursement provisions for which no claim
      has
      been made) shall be automatically due and payable in full on such
      date.

     

    7.2 Survival
      of Obligations Upon Termination of Financing Arrangements.
      Except
      as otherwise expressly provided for herein or in any other Loan Document, no
      termination or cancellation (regardless of cause or procedure) of any financing
      arrangement under this Agreement shall in any way affect or impair the
      obligations, duties and liabilities of the Credit Parties or the rights of
      Agent
      and Lenders relating to any unpaid portion of the Loans or any other
      Obligations, due or not due, liquidated, contingent or unliquidated or any
      transaction or event occurring prior to such termination, or any transaction
      or
      event, the performance of which is required after the Commitment Termination
      Date. Except as otherwise expressly provided herein or in any other Loan
      Document, all undertakings, agreements, covenants, warranties and
      representations of or binding upon the Credit Parties, and all rights of Agent
      and each Lender, all as contained in the Loan Documents, shall not terminate
      or
      expire, but rather shall survive any such termination or cancellation and shall
      continue in full force and effect until the Termination Date; provided,
      that
      the provisions of Section
      11,
      the
      payment obligations under Sections
      1.15 and 1.16,
      and the
      indemnities contained in the Loan Documents shall survive the Termination
      Date.

     

    
      
        8
          EVENTS
          OF DEFAULT; RIGHTS AND REMEDIES

      

    

     

    8.1 Events
      of Default.
      The
      occurrence of any one or more of the following events (regardless of the reason
      therefor) shall constitute an "Event
      of Default"
      hereunder:

     

    (a) Borrower
      (i) fails to make any payment of principal of any of the Loans when due and
      payable, or (ii) fails to make any payment of interest on, or Fees owing in
      respect of, any of the Loans or any of the other Obligations within three (3)
      days following the due date thereof, or (iii) fails to pay or reimburse Agent
      or
      Lenders for any expense reimbursable hereunder or under any other Loan Document
      within five (5) Business Days following Agent's demand for such reimbursement
      or
      payment of expenses.

     

    (b) Any
      Credit Party fails or neglects to perform, keep or observe any of the provisions
      of Sections
      1.4, 1.8, 5.4(a), 5.15 or 6,
      or any
      of the provisions set forth in Annex
      C or G,
      respectively. 

    

      (c) Any
        Credit Party fails or neglects to perform, keep or observe any of the provisions
        of Section
        4
        or any
        provisions set forth in Annex
        E or F,
        respectively, and the same shall remain unremedied for three (3) Business
        Days
        or more. 

      
         

        
          
             

            
            

          

          
            67

            
              

            

          

          
            
            

          

        

      

       

      (d) Any
        Credit Party fails or neglects to perform, keep or observe any other provision
        of this Agreement or of any of the other Loan Documents (other than any
        provision embodied in or covered by any other clause of this Section
        8.1)
        and the
        same shall remain unremedied for thirty (30) days or more after any Credit
        Party
        first obtains knowledge or is notified of such failure or neglect.

       

      (e) A
        default
        or breach occurs under any other agreement, document or instrument to which
        any
        Credit Party is a party that is not cured within any applicable grace period
        therefor, and such default or breach (i) involves the failure to make any
        payment when due in respect of any Indebtedness or Guaranteed Indebtedness
        (other than the Obligations and other than Guaranteed Indebtedness with respect
        to which the primary obligation is not itself Indebtedness) of any Credit
        Party
        in excess of $500,000 in the aggregate (including (x) undrawn committed or
        available amounts and (y) amounts owing to all creditors under any combined
        or
        syndicated credit arrangements), or (ii) causes, or permits any holder of
        such
        Indebtedness or Guaranteed Indebtedness or a trustee to cause, such Indebtedness
        or Guaranteed Indebtedness or a portion thereof in excess of $500,000 in
        the
        aggregate to become due prior to its stated maturity or prior to its regularly
        scheduled dates of payment, or cash collateral to be demanded in respect
        thereof, in each case, regardless of whether such right is exercised by such
        holder or trustee. 

       

      (f) Any
        representation or warranty herein or in any other Loan Document or in any
        written statement, report, financial statement or certificate made or delivered
        to Agent or any Lender by any Credit Party is untrue or incorrect as of the
        date
        when made or deemed made (i) as stated if such representation or warranty
        contains an express materiality qualification or (ii) in any material respect
        if
        such representation and warranty does not contain such a
        qualification.

       

      (g) Assets
        of
        any Credit Party with a fair market value of $500,000 or more are attached,
        seized, levied upon or subjected to a writ or distress warrant, or come within
        the possession of any receiver, trustee, custodian or assignee for the benefit
        of creditors of any Credit Party and such condition continues for thirty
        (30)
        days or more.

       

      (h) A
        case or
        proceeding is commenced against any Credit Party seeking a decree or order
        in
        respect of such Credit Party (i) under the Bankruptcy Code or any other
        applicable federal, state or foreign bankruptcy or other similar law, (ii)
        appointing a custodian, receiver, liquidator, assignee, trustee or sequestrator
        (or similar official) for such Credit Party or for any substantial part of
        any
        such Credit Party's assets, or (iii) ordering the winding-up or liquidation
        of the affairs of such Credit Party, and such case or proceeding shall remain
        undismissed or unstayed for sixty (60) days or more or a decree or order
        granting the relief sought in such case or proceeding is granted by a court
        of
        competent jurisdiction.

       

      (i) Any
        Credit Party (i) files a petition seeking relief under the Bankruptcy Code
        or
        any other applicable federal, state or foreign bankruptcy or other similar
        law,
        (ii) consents to or fails to contest in a timely and appropriate manner to
        the
        institution of proceedings thereunder or to the filing of any such petition
        or
        to the appointment of or taking possession by a custodian, receiver, liquidator,
        assignee, trustee or sequestrator (or similar official) for such Credit Party
        or
        for any substantial part of any such Credit Party's assets, (iii) makes an
        assignment for the benefit of creditors, (iv) takes any action in furtherance
        of
        any of the foregoing, or (v) admits in writing its inability to, or is generally
        unable to, pay its debts as such debts become due.

       

      
        
          
          

        

        
          68

          
            

          

        

        
          
          

        

      

      (j) A
        final
        judgment or judgments for the payment of money in excess of $500,000 in the
        aggregate at any time are outstanding against one or more of the Credit Parties
        and the same are not, within thirty (30) days after the entry thereof,
        discharged or execution thereof stayed or bonded pending appeal, or such
        judgments are not discharged prior to the expiration of any such
        stay.

       

      (k) Any
        material provision of any Loan Document for any reason ceases to be valid,
        binding and enforceable in accordance with its terms (or any Credit Party
        shall
        challenge the enforceability of any Loan Document or shall assert in writing,
        or
        engage in any action or inaction based on any such assertion, that any provision
        of any of the Loan Documents has ceased to be or otherwise is not valid,
        binding
        and enforceable in accordance with its terms), or any Lien created under
        any
        Loan Document ceases to be a valid and perfected first priority Lien (except
        as
        otherwise permitted herein or therein) in any of the Collateral purported
        to be
        covered thereby.

       

      (l) Any
        Change of Control occurs and Borrower shall fail to deliver written notice
        to
        each Lender as and when required under Section 1.3(b)(vii).

       

      (m) (i)
        a
        notice of termination shall have been delivered under Section 4 of the M&A
        Software License or under any Replacement Software Agreement and the applicable
        Replacement Software Required Actions shall not have been completed when
        required as set forth in the definition of Replacement Software Required
        Actions; or (ii) the M&A Software License (or, if applicable, any
        Replacement Software Agreement), as applicable, shall terminate or expire
        prior
        to the completion of the applicable Replacement Software Required Actions;
        or
        (iii) Agent shall have exercised its rights to cure a default (as set forth
        in
        the Software Amendment and Consent or any Replacement Amendment and Consent)
        of
        Otelco Telephone LLC or other applicable Credit Party under the M&A Software
        License (or Replacement Software Agreement, if applicable) without reimbursement
        within seven (7) days thereof for the reasonable costs, fees and expenses
        associated therewith.

       

      (n) [Intentionally
        Omitted.] 

       

      (o) Any
        Telecommunications Approval, including any FCC License, PUC Authorization
        or
        Franchise, of any Credit Party shall expire or terminate or be modified,
        revoked
        or otherwise lost which in any case could reasonably be expected to have
        a
        Material Adverse Effect.

       

      (p) Any
        Event
        of Default (as such term is respectively defined in the Initial IDS Subordinated
        Notes Indenture, any Subsequent IDS Subordinated Notes Indenture or any
        Additional Subordinated Debt Document) occurs and is continuing.

       

      
        
          
          

        

        
          69

          
            

          

        

        
          
          

        

      

      8.2 Remedies.

       

      (a) If
        any
        Default or Event of Default has occurred and is continuing, Agent, at the
        written request of the Requisite Revolving Lenders, shall, without notice,
        suspend the Revolving Loan and Swing Line Loan facilities with respect to
        additional Advances, whereupon any additional Advances shall be made in the
        sole
        discretion of the Requisite Revolving Lenders so long as such Default or
        Event
        of Default is continuing. 

       

      (b) If
        any
        Event of Default has occurred and is continuing, Agent may (and at the written
        request of the Requisite Lenders, shall), without notice: (i) terminate the
        Revolving Loan Commitment and Swing Line Commitment with respect to further
        Advances; (ii) declare all or any portion of the Obligations, including all
        or any portion of any Loan to be forthwith due and payable, all without
        presentment, demand, protest or further notice of any kind, all of which
        are
        expressly waived by Borrower and each other Credit Party; or (iii) exercise
        any rights and remedies provided to Agent under the Loan Documents or at
        law or
        equity, including all remedies provided under the Code; provided,
        that
        upon the occurrence of an Event of Default specified in Sections
        8.1(h) or (i),
        the
        Revolving Loan Commitment and Swing Line Commitment shall be immediately
        terminated and all of the Obligations, including the Revolving Loan and the
        Swing Line Loan, shall become immediately due and payable without declaration,
        notice or demand by any Person.

       

      8.3 Waivers
        by Credit Parties.
        Except
        as otherwise provided for in this Agreement or by applicable law, each Credit
        Party waives: (a) presentment, demand and protest and notice of presentment,
        dishonor, notice of intent to accelerate, notice of acceleration, protest,
        default, nonpayment, maturity, release, compromise, settlement, extension
        or
        renewal of any or all commercial paper, accounts, contract rights, documents,
        instruments, chattel paper and guaranties at any time held by Agent on which
        any
        Credit Party may in any way be liable, and hereby ratifies and confirms whatever
        Agent may do in this regard, (b) all rights to notice and a hearing prior
        to
        Agent's taking possession or control of, or to Agent's replevy, attachment
        or
        levy upon, the Collateral or any bond or security that might be required
        by any
        court prior to allowing Agent to exercise any of its remedies, and (c) the
        benefit of all valuation, appraisal, marshaling and exemption laws.

       

      
        
          9
            ASSIGNMENT
            AND PARTICIPATIONS; APPOINTMENT OF AGENT

           

        

      

      9.1 Assignment
        and Participations.

       

      (a) Subject
        to the terms of this Section
        9.1,
        any
        Lender may make an assignment to a Qualified Assignee of, or sale of
        participations in, at any time or times, the Loan Documents, Loans and any
        Commitment or any portion thereof or interest therein, including any Lender's
        rights, title, interests, remedies, powers or duties thereunder. Any assignment
        by a Lender shall: (i)(A) except for an assignment to an Affiliate (as defined
        in clause (a) and/or (b) of the definition of "Affiliate" in Annex
        A)
        of the
        assigning Lender, require the consent of Agent (which consent shall not be
        unreasonably withheld or delayed with respect to a Qualified Assignee) and
        (B)
        require the execution of an assignment agreement (an "Assignment
        Agreement")
        substantially in the form attached hereto as Exhibit
        9.1(a)
        and
        otherwise in form and substance reasonably satisfactory to, and acknowledged
        by,
        Agent; (ii) be conditioned on the assignee Lender representing to the assigning
        Lender and Agent that it is purchasing the applicable Loans to be assigned
        to it
        for its own account, for investment purposes and not with a view to the
        distribution thereof; (iii) after giving effect to any such partial assignment,
        the assignee Lender shall have Commitments in an amount at least equal to
        $2,500,000 and the assigning Lender shall have retained Commitments in an
        amount
        at least equal to $2,500,000; and (iv) except for an assignment to an Affiliate
        (as defined in clause (a) and/or (b) of the definition of "Affiliate" in
        Annex
        A)
        of the
        assigning Lender, include a payment to Agent of an assignment fee of $3,500.
        In
        the case of an assignment by a Lender under this Section
        9.1,
        the
        assignee shall have, to the extent of such assignment, the same rights, benefits
        and obligations as all other Lenders hereunder. The assigning Lender shall
        be
        relieved of its obligations hereunder with respect to its Commitments or
        assigned portion thereof from and after the date of such assignment. Borrower
        hereby acknowledges and agrees that any assignment shall give rise to a direct
        obligation of Borrower to the assignee and that the assignee shall be considered
        to be a "Lender". In all instances, each Lender's liability to make Loans
        hereunder shall be several and not joint and shall be limited to such Lender's
        Pro Rata Share of the applicable Commitment. In the event Agent or any Lender
        assigns or otherwise transfers all or any part of the Obligations, Agent
        or any
        such Lender shall so notify Borrower and Borrower shall, upon the request
        of
        Agent or such Lender, execute new Notes in exchange for the Notes, if any,
        being
        assigned. Notwithstanding the foregoing provisions of this Section
        9.1(a),
        any
        Lender may at any time pledge the Obligations held by it and such Lender's
        rights under this Agreement and the other Loan Documents to a Federal Reserve
        Bank, and any lender that is an investment fund may assign the Obligations
        held
        by it and such Lender's rights under this Agreement and the other Loan Documents
        to another investment fund managed by the same investment advisor; provided,
        that no
        such pledge to a Federal Reserve Bank shall release such Lender from such
        Lender's obligations hereunder or under any other Loan Document. 

       

      
        
          
          

        

        
          70

          
            

          

        

        
          
          

        

      

       

      (b) Any
        participation by a Lender of all or any part of its Commitments shall be
        made
        with the understanding that all amounts payable by Borrower hereunder shall
        be
        determined as if that Lender had not sold such participation, and that the
        holder of any such participation shall not be entitled to require such Lender
        to
        take or omit to take any action hereunder except actions directly affecting
        (i)
        any reduction in the principal amount of, or interest rate or Fees payable
        with
        respect to, any Loan in which such holder participates, (ii) any extension
        of
        the scheduled amortization of the principal amount of any Loan in which such
        holder participates or the final maturity date thereof, and (iii) any release
        of
        all or substantially all of the Collateral (other than in accordance with
        the
        terms of this Agreement, the Collateral Documents or the other Loan Documents).
        Solely for purposes of Sections
        1.13, 1.15, 1.16
        and
9.8,
        Borrower acknowledges and agrees that a participation shall give rise to
        a
        direct obligation of Borrower to the participant and the participant shall
        be
        considered to be a "Lender". Except as set forth in the preceding sentence
        neither Borrower nor any other Credit Party shall have any obligation or
        duty to
        any participant. Neither Agent nor any Lender (other than the Lender selling
        a
        participation) shall have any duty to any participant and may continue to
        deal
        solely with the Lender selling a participation as if no such sale had occurred.
        

       

      
        
          
          

        

        
          71

          
            

          

        

        
          
          

        

      

      (c) Except
        as
        expressly provided in this Section
        9.1,
        no
        Lender shall, as between Borrower and that Lender, or Agent and that Lender,
        be
        relieved of any of its obligations hereunder as a result of any sale,
        assignment, transfer or negotiation of, or granting of participation in,
        all or
        any part of the Loans, the Notes or other Obligations owed to such
        Lender.

       

      (d) Each
        Credit Party executing this Agreement shall assist any Lender permitted to
        sell
        assignments or participations under this Section
        9.1
        as
        reasonably required to enable the assigning or selling Lender to document
        any
        such assignment or participation, including the execution and delivery of
        any
        and all agreements, notes and other documents and instruments as shall be
        reasonably requested.

       

      (e) A
        Lender
        may furnish any information concerning Credit Parties in the possession of
        such
        Lender from time to time to assignees and participants (including prospective
        assignees and participants); provided
        that
        such Lender shall obtain from assignees or participants confidentiality
        covenants substantially equivalent to those contained in Section
        11.8.

       

      (f) Any
        entity that purchases a participation in the Loans pursuant to Section
        9.2(b)
        shall
        not be entitled to receive any greater payment under Section
        1.16(a)
        with
        respect to capital adequacy or similar requirements, Section
        1.16(b)
        with
        respect to increased costs, Section
        1.16(c)
        with
        respect to the inability to make LIBOR Loans or Section
        1.15(a)
        with
        respect to withholding taxes, than the applicable Lender would have been
        entitled to receive with respect to the participation sold to such participant,
        unless the sale of the participation to such participant is made with the
        Borrower’s prior written consent or unless such sale is made while an Event of
        Default has occurred and is continuing. 

       

      (g) Notwithstanding
        anything to the contrary contained herein, any Lender (a "Granting
        Lender"),
        may
        grant to a special purpose funding vehicle (an "SPC"),
        identified as such in writing by the Granting Lender to Agent and Borrower,
        the
        option to provide to Borrower all or any part of any Loans that such Granting
        Lender would otherwise be obligated to make to Borrower pursuant to this
        Agreement; provided that
        (i)
        nothing herein shall constitute a commitment by any SPC to make any Loan;
        and
        (ii) if an SPC elects not to exercise such option or otherwise fails to provide
        all or any part of such Loan, the Granting Lender shall be obligated to make
        such Loan pursuant to the terms hereof. The making of a Loan by an SPC hereunder
        shall utilize the Commitment of the Granting Lender to the same extent, and
        as
        if such Loan were made by such Granting Lender. No SPC shall be liable for
        any
        indemnity or similar payment obligation under this Agreement (all liability
        for
        which shall remain with the Granting Lender). Any SPC may (i) with notice
        to,
        but without the prior written consent of, Borrower and Agent and assign all
        or a
        portion of its interests in any Loans to the Granting Lender or to any financial
        institutions (consented to by Borrower and Agent) providing liquidity and/or
        credit support to or for the account of such SPC to support the funding or
        maintenance of Loans and (ii) disclose on a confidential basis any non-public
        information relating to its Loans to any rating agency, commercial paper
        dealer
        or provider of any surety, guarantee or credit or liquidity enhancement to
        such
        SPC. This Section
        9.1(g)
        may not
        be amended without the prior written consent of each Granting Lender, all
        or any
        of whose Loans are being funded by an SPC at the time of such amendment.
        For the
        avoidance of doubt, the Granting Lender shall for all purposes, including
        without limitation, the approval of any amendment or waiver of any provision
        of
        any Loan Document or the obligation to pay any amount otherwise payable by
        the
        Granting Lender under the Loan Documents, continue to be the Lender of record
        hereunder.

       

      
        
          
          

        

        
          72

          
            

          

        

        
          
          

        

      

      (h) Nothing
        contained in this Section
        9
        shall
        require the consent of any party for a Swap Related L/C Provider to assign
        any
        of its rights in respect of any Swap Related Reimbursement
        Obligation.

       

      9.2 Appointment
        of Agent.
        GE
        Capital is hereby appointed to act on behalf of all Lenders as Agent under
        this
        Agreement and the other Loan Documents. The provisions of this Section
        9.2
        are
        solely for the benefit of Agent and Lenders and no Credit Party nor any other
        Person shall have any rights as a third party beneficiary of any of the
        provisions hereof. In performing its functions and duties under this Agreement
        and the other Loan Documents, Agent shall act solely as an agent of Lenders
        and
        does not assume and shall not be deemed to have assumed any obligation toward
        or
        relationship of agency or trust with or for any Credit Party or any other
        Person. Agent shall have no duties or responsibilities except for those
        expressly set forth in this Agreement and the other Loan Documents. The duties
        of Agent shall be mechanical and administrative in nature and Agent shall
        not
        have, or be deemed to have, by reason of this Agreement, any other Loan Document
        or otherwise a fiduciary relationship in respect of any Lender. Except as
        expressly set forth in this Agreement and the other Loan Documents, Agent
        shall
        not have any duty to disclose, and shall not be liable for failure to disclose,
        any information relating to any Credit Party or any of their respective
        Subsidiaries or any Account Debtor that is communicated to or obtained by
        GE
        Capital or any of its Affiliates in any capacity. Neither Agent nor any of
        its
        Affiliates nor any of their respective officers, directors, employees, agents
        or
        representatives shall be liable to any Lender for any action taken or omitted
        to
        be taken by it hereunder or under any other Loan Document, or in connection
        herewith or therewith, except for damages caused by its or their own gross
        negligence or willful misconduct.

       

      If
        Agent
        shall request instructions from Requisite Lenders, Requisite Revolving Lenders,
        Requisite Term Lenders or all affected Lenders with respect to any act or
        action
        (including failure to act) in connection with this Agreement or any other
        Loan
        Document (other than any action or failure to act that is the subject of
        a
        mandatory provision of this Agreement or any Loan Documents), then Agent
        shall
        be entitled to refrain from such act or taking such action unless and until
        Agent shall have received instructions from Requisite Lenders, Requisite
        Revolving Lenders, Requisite Term Lenders, or all affected Lenders, as the
        case
        may be, and Agent shall not incur liability to any Person by reason of so
        refraining. Agent shall be fully justified in failing or refusing to take
        any
        action hereunder or under any other Loan Document (a) if such action would,
        in
        the opinion of Agent, be contrary to law or the terms of this Agreement or
        any
        other Loan Document, (b) if such action would, in the opinion of Agent, expose
        Agent to Environmental Liabilities or (c) if Agent shall not first be
        indemnified to its satisfaction against any and all liability and expense
        which
        may be incurred by it by reason of taking or continuing to take any such
        action.
        Without limiting the foregoing, no Lender shall have any right of action
        whatsoever against Agent as a result of Agent acting or refraining from acting
        hereunder or under any other Loan Document in accordance with the instructions
        of Requisite Lenders, Requisite Revolving Lenders, Requisite Term Lenders
        or all
        affected Lenders, as applicable.

       

      
        
          
          

        

        
          73

          
            

          

        

        
          
          

        

      

      9.3 Agent's
        Reliance, Etc.Neither
        Agent nor any of its Affiliates nor any of their respective directors, officers,
        agents or employees shall be liable for any action taken or omitted to be
        taken
        by it or them under or in connection with this Agreement or the other Loan
        Documents, except for damages caused by its or their own gross negligence
        or
        willful misconduct as finally determined by a court of competent jurisdiction.
        Without limiting the generality of the foregoing, Agent: (a) may treat the
        payee
        of any Note as the holder thereof until Agent receives written notice of
        the
        assignment or transfer thereof signed by such payee and in form reasonably
        satisfactory to Agent; (b) may consult with legal counsel, independent public
        accountants and other experts selected by it and shall not be liable for
        any
        action taken or omitted to be taken by it in good faith in accordance with
        the
        advice of such counsel, accountants or experts; (c) makes no warranty or
        representation to any Lender and shall not be responsible to any Lender for
        any
        statements, warranties or representations made in or in connection with this
        Agreement or the other Loan Documents; (d) shall not have any duty to ascertain
        or to inquire as to the performance or observance of any of the terms, covenants
        or conditions of this Agreement or the other Loan Documents on the part of
        any
        Credit Party or to inspect the Collateral (including the books and records)
        of
        any Credit Party; (e) shall not be responsible to any Lender for the due
        execution, legality, validity, enforceability, genuineness, sufficiency or
        value
        of this Agreement or the other Loan Documents or any other instrument or
        document furnished pursuant hereto or thereto; and (f) shall incur no liability
        under or in respect of this Agreement or the other Loan Documents by acting
        upon
        any notice, consent, certificate or other instrument or writing (which may
        be by
        telecopy, telegram, cable or telex) believed by it to be genuine and signed
        or
        sent by the proper party or parties.

       

      9.4 GE
        Capital and Affiliates.
        With
        respect to its Commitments hereunder, GE Capital shall have the same rights
        and powers under this Agreement and the other Loan Documents as any other
        Lender
        and may exercise the same as though it were not Agent; and the term "Lender"
        or
        "Lenders" shall, unless otherwise expressly indicated, include GE Capital
        in its
        individual capacity. GE Capital and its Affiliates may lend money to, invest
        in,
        and generally engage in any kind of business with, any Credit Party, any
        of
        their Affiliates and any Person who may do business with or own securities
        of
        any Credit Party or any such Affiliate, all as if GE Capital were not Agent
        and
        without any duty to account therefor to Lenders. GE Capital and its Affiliates
        may accept fees and other consideration from any Credit Party for services
        in
        connection with this Agreement or otherwise without having to account for
        the
        same to Lenders. Each Lender acknowledges the potential conflict of interest
        between GE Capital as a Lender holding disproportionate interests in the
        Loans
        and GE Capital as Agent.

       

      
        
          
          

        

        
          74

          
            

          

        

        
          
          

        

      

       

      9.5 Lender
        Credit Decision.
        Each
        Lender acknowledges that it has, independently and without reliance upon
        Agent
        or any other Lender and based on the Financial Statements referred to in
        Section
        3.4(a)
        and such
        other documents and information as it has deemed appropriate, made its own
        credit and financial analysis of the Credit Parties and its own decision
        to
        enter into this Agreement. Each Lender also acknowledges that it will,
        independently and without reliance upon Agent or any other Lender and based
        on
        such documents and information as it shall deem appropriate at the time,
        continue to make its own credit decisions in taking or not taking action
        under
        this Agreement. Each Lender acknowledges the potential conflict of interest
        of
        each other Lender as a result of Lenders holding disproportionate interests
        in
        the Loans, and expressly consents to, and waives any claim based upon, such
        conflict of interest.

       

      9.6 Indemnification.
        Lenders
        agree to indemnify Agent (to the extent not reimbursed by Credit Parties
        and
        without limiting the obligations of Borrower hereunder), ratably according
        to
        their respective Pro Rata Shares, from and against any and all liabilities,
        obligations, losses, damages, penalties, actions, judgments, suits, costs,
        expenses or disbursements of any kind or nature whatsoever that may be imposed
        on, incurred by, or asserted against Agent in any way relating to or arising
        out
        of this Agreement or any other Loan Document or any action taken or omitted
        to
        be taken by Agent in connection therewith; provided,
        that no
        Lender shall be liable for any portion of such liabilities, obligations,
        losses,
        damages, penalties, actions, judgments, suits, costs, expenses or disbursements
        resulting from Agent's gross negligence or willful misconduct as finally
        determined by a court of competent jurisdiction. Without limiting the foregoing,
        each Lender agrees to reimburse Agent promptly upon demand for its ratable
        share
        of any out-of-pocket expenses (including reasonable counsel fees) incurred
        by
        Agent in connection with the preparation, execution, delivery, administration,
        modification, amendment or enforcement (whether through negotiations, legal
        proceedings or otherwise) of, or legal advice in respect of rights or
        responsibilities under, this Agreement and each other Loan Document, to the
        extent that Agent is not reimbursed for such expenses by Credit
        Parties.

       

      9.7 Successor
        Agent.
        Agent
        may resign at any time by giving not less than 30 days' prior written notice
        thereof to Lenders and Borrower. Upon any such resignation, the Requisite
        Lenders shall have the right to appoint a successor Agent. If no successor
        Agent
        shall have been so appointed by the Requisite Lenders and shall have accepted
        such appointment within 30 days after the resigning Agent's giving notice
        of
        resignation, then the resigning Agent may, on behalf of Lenders, appoint
        a
        successor Agent, which shall be a Lender, if a Lender is willing to accept
        such
        appointment, or otherwise shall be a commercial bank or financial institution
        or
        a subsidiary of a commercial bank or financial institution if such commercial
        bank or financial institution is organized under the laws of the United States
        of America or of any State thereof and has a combined capital and surplus
        of at
        least $300,000,000. If no successor Agent has been appointed pursuant to
        the
        foregoing, within 30 days after the date such notice of resignation was given
        by
        the resigning Agent, such resignation shall become effective and the Requisite
        Lenders shall thereafter perform all the duties of Agent hereunder until
        such
        time, if any, as the Requisite Lenders appoint a successor Agent as provided
        above. Any successor Agent appointed by Requisite Lenders hereunder shall
        be
        subject to the approval of Borrower, such approval not to be unreasonably
        withheld or delayed; provided
        that
        such approval shall not be required if a Default or an Event of Default has
        occurred and is continuing. Upon the acceptance of any appointment as Agent
        hereunder by a successor Agent, such successor Agent shall succeed to and
        become
        vested with all the rights, powers, privileges and duties of the resigning
        Agent. Upon the earlier of the acceptance of any appointment as Agent hereunder
        by a successor Agent or the effective date of the resigning Agent's resignation,
        the resigning Agent shall be discharged from its duties and obligations under
        this Agreement and the other Loan Documents, except that any indemnity rights
        or
        other rights in favor of such resigning Agent shall continue. After any
        resigning Agent's resignation hereunder, the provisions of this Section
        9
        shall
        inure to its benefit as to any actions taken or omitted to be taken by it
        while
        it was acting as Agent under this Agreement and the other Loan Documents.
        

       

      
        
          
          

        

        
          75

          
            

          

        

        
          
          

        

      

       

      9.8 Setoff
        and Sharing of Payments.
        In
        addition to any rights now or hereafter granted under applicable law and
        not by
        way of limitation of any such rights, upon the occurrence and during the
        continuance of any Event of Default and subject to Section
        9.9(f),
        each
        Lender is hereby authorized at any time or from time to time, without notice
        to
        any Credit Party or to any other Person, any such notice being hereby expressly
        waived, to offset and to appropriate and to apply any and all balances held
        by
        it at any of its offices for the account of Borrower or any Guarantor
        (regardless of whether such balances are then due to Borrower or any Guarantor)
        and any other properties or assets at any time held or owing by that Lender
        or
        that holder to or for the credit or for the account of Borrower or any Guarantor
        against and on account of any of the Obligations that are not paid when due.
        Any
        Lender exercising a right of setoff or otherwise receiving any payment on
        account of the Obligations in excess of its Pro Rata Share thereof shall
        purchase for cash (and the other Lenders or holders shall sell) such
        participations in each such other Lender's or holder's Pro Rata Share of
        the
        Obligations as would be necessary to cause such Lender to share the amount
        so
        offset or otherwise received with each other Lender or holder in accordance
        with
        their respective Pro Rata Shares (other than offset rights exercised by any
        Lender with respect to Sections
        1.13, 1.15 or 1.16).
        Each
        Lender's obligation under this Section
        9.8
        shall be
        in addition to and not in limitation of its obligations to purchase a
        participation in an amount equal to its Pro Rata Share of the Swing Line
        Loans
        under Section
        1.1.
        Borrower and each Guarantor agrees, to the fullest extent permitted by law,
        that
        (a) any Lender may exercise its right to offset with respect to amounts in
        excess of its Pro Rata Share of the Obligations and may sell participations
        in
        such amounts so offset to other Lenders and holders and (b) any Lender so
        purchasing a participation in the Loans made or other Obligations held by
        other
        Lenders or holders may exercise all rights of offset, bankers' lien,
        counterclaim or similar rights with respect to such participation as fully
        as if
        such Lender or holder were a direct holder of the Loans and the other
        Obligations in the amount of such participation. Notwithstanding the foregoing,
        if all or any portion of the offset amount or payment otherwise received
        is
        thereafter recovered from the Lender that has exercised the right of offset,
        the
        purchase of participations by that Lender shall be rescinded and the purchase
        price restored without interest. 

       

      
        
          
          

        

        
          76

          
            

          

        

        
          
          

        

      

       

      9.9 Advances;
        Payments; Non-Funding Lenders; Information; Actions in Concert. 

       

      (a) Advances;
        Payments.

       

      (i) Agent
        shall notify Revolving Lenders, promptly after receipt of a Notice of Revolving
        Credit Advance and in any event prior to 1:00 p.m. (New York time) on the
        date
        such Notice of Revolving Credit Advance is received, by telecopy, telephone
        or
        other similar form of transmission. Each Revolving Lender shall make the
        amount
        of such Lender's Pro Rata Share of such Revolving Credit Advance available
        to
        Agent in same day funds by wire transfer to Agent's account as set forth
        in
Annex
        H
        not
        later than 3:00 p.m. (New York time) on the requested funding date, in the
        case
        of an Index Rate Loan and not later than 11:00 a.m. (New York time) on the
        requested funding date in the case of a LIBOR Loan. After receipt of such
        wire
        transfers (or, in Agent's sole discretion, before receipt of such wire
        transfers), subject to the terms hereof, Agent shall make the requested
        Revolving Credit Advance to Borrower. All payments by each Revolving Lender
        shall be made without setoff, counterclaim or deduction of any kind.

       

      (ii) Not
        less
        than once during each calendar week or more frequently at Agent's election
        (each, a "Revolving
        Lender Settlement Date"),
        Agent
        shall advise each Revolving Lender by telephone, or telecopy of the amount
        of
        such Revolving Lender's Pro Rata Share of principal, interest and Fees paid
        for
        the benefit of Revolving Lenders with respect to each applicable Revolving
        Loan.
        Provided that each Revolving Lender is not a Non-Funding Lender as of such
        Revolving Lender Settlement Date, Agent shall pay to each Revolving Lender
        such
        Revolving Lender's Pro Rata Share of principal, interest and Fees paid by
        Borrower since the previous Revolving Lender Settlement Date for the benefit
        of
        such Revolving Lender on the Revolving Loans held by it. To the extent that
        any
        Revolving Lender is a Non-Funding Lender, Agent shall be entitled to set
        off the
        funding short-fall against that Non-Funding Lender's Pro Rata Share of all
        payments received from Borrower. Such payments shall be made by wire transfer
        to
        such Revolving Lender's account (as specified by such Lender in Annex
        H
        or the
        applicable Assignment Agreement or by such Lender to Agent in a separate
        notice)
        not later than 2:00 p.m. (New York time) on the next Business Day following
        each
        Revolving Lender Settlement Date. 

       

      (iii) Provided
        that each Term Lender is not a Non-Funding Lender as of the Term Lender
        Settlement Date, Agent shall pay to each Term Lender such Term Lender's Pro
        Rata
        Share of principal, interest and Fees paid by Borrower for the benefit of
        such
        Term Lender on the Term Loan held by it on the day Agent receives such payments
        from Borrower if received by Agent prior to 2:00 p.m. (New York time) and
        on the
        next Business Day after receipt by Agent if received after 2:00 p.m. (New
        York
        time) (as applicable, the "Term
        Lender Settlement Date").
        To
        the extent that any Term Lender is a Non-Funding Lender, Agent shall be entitled
        to set off the funding short-fall against that Non-Funding Lender's
        Pro Rata Share of all payments received from Borrower. Such payments shall
        be made by wire transfer to such Term Lender's account (as specified by such
        Term Lender in Annex
        H
        or the
        applicable Assignment Agreement or by such Lender to Agent in a separate
        notice).

       

      
        
          
          

        

        
          77

          
            

          

        

        
          
          

        

      

       

      (b) Availability
        of Lender's Pro Rata Share.
        Agent
        may assume that each Revolving Lender will make its Pro Rata Share of each
        Revolving Credit Advance available to Agent on each funding date. If such
        Pro
        Rata Share is not, in fact, paid to Agent by such Revolving Lender when due,
        Agent will be entitled to recover such amount on demand from such Revolving
        Lender without setoff, counterclaim or deduction of any kind. If any Revolving
        Lender fails to pay the amount of its Pro Rata Share forthwith upon Agent's
        demand, Agent shall promptly notify Borrower and Borrower shall promptly
        (and,
        in any event, within one (1) Business Day after receipt of such notice) repay
        such amount to Agent. Nothing in this Section
        9.9(b)
        or
        elsewhere in this Agreement or the other Loan Documents shall be deemed to
        require Agent to advance funds on behalf of any Revolving Lender or to relieve
        any Revolving Lender from its obligation to fulfill its Commitments hereunder
        or
        to prejudice any rights that Borrower may have against any Revolving Lender
        as a
        result of any default by such Revolving Lender hereunder. To the extent that
        Agent advances funds to Borrower on behalf of any Revolving Lender and is
        not
        reimbursed therefor on the same Business Day as such Advance is made, Agent
        shall be entitled to retain for its account all interest accrued on such
        Advance
        until reimbursed by the applicable Revolving Lender.

       

      (c) Return
        of Payments.

       

      (i) If
        Agent
        pays an amount to a Lender under this Agreement in the belief or expectation
        that a related payment has been or will be received by Agent from Borrower
        and
        such related payment is not received by Agent, then Agent will be entitled
        to
        recover such amount from such Lender on demand without setoff, counterclaim
        or
        deduction of any kind.

       

      (ii) If
        any
        amount received by Agent under this Agreement must be returned to Borrower
        or
        paid to any other Person pursuant to any insolvency law or otherwise, then,
        notwithstanding any other term or condition of this Agreement or any other
        Loan
        Document, Agent will not be required to distribute any portion thereof to
        any
        Lender. In addition, each Lender will repay to Agent on demand any portion
        of
        such amount that Agent has distributed to such Lender, together with interest
        at
        such rate, if any, as Agent is required to pay to Borrower or such other
        Person,
        without setoff, counterclaim or deduction of any kind.

       

      (d) Non-Funding
        Lenders.
        The
        failure of any Non-Funding Lender to make any Revolving Credit Advance or
        any
        payment required by it hereunder, or to purchase any participation in any
        Swing
        Line Loan to be made or purchased by it on the date specified therefor shall
        not
        relieve any other Lender (each such other Revolving Lender, an "Other
        Lender")
        of its
        obligations to make such Advance or payment on such date, but neither any
        Other
        Lender nor Agent shall be responsible for the failure of any Non-Funding
        Lender
        to make an Advance or make any other payment required hereunder. Notwithstanding
        anything set forth herein to the contrary, a Non-Funding Lender shall not
        have
        any voting or consent rights under or with respect to any Loan Document or
        constitute a "Lender" or a "Revolving Lender" (or be (or have its Commitment)
        included in the calculation of "Requisite Lenders" or "Requisite Revolving
        Lenders" hereunder) for any voting or consent rights under or with respect
        to
        any Loan Document. At Borrower's request, Agent or a Person acceptable to
        Agent
        shall have the right with Agent's consent and in Agent's sole discretion
        (but
        shall have no obligation) to purchase from any Non-Funding Lender, and each
        Non-Funding Lender agrees that it shall, at Agent's request, sell and assign
        to
        Agent or such Person, all of the Commitments of that Non-Funding Lender for
        an
        amount equal to the principal balance of all Loans held by such Non-Funding
        Lender and all accrued interest and fees with respect thereto through the
        date
        of sale, such purchase and sale to be consummated pursuant to an executed
        Assignment Agreement.

       

      
        
          
          

        

        
          78

          
            

          

        

        
          
          

        

      

      (e) Dissemination
        of Information.
        Agent
        shall use reasonable efforts to provide Lenders with any notice of Default
        or
        Event of Default received by Agent from, or delivered by Agent to, any Credit
        Party, with notice of any Event of Default of which Agent has actually become
        aware and with notice of any action taken by Agent following any Event of
        Default; provided,
        that
        Agent shall not be liable to any Lender for any failure to do so, except
        to the
        extent that such failure is attributable to Agent's gross negligence or willful
        misconduct as finally determined by a court of competent jurisdiction. Lenders
        acknowledge that Borrower is required to provide Financial Statements and
        Collateral Reports to Lenders in accordance with Annexes
        E
        and
F
        hereto
        and agree that Agent shall have no duty to provide the same to
        Lenders.

       

      (f) Actions
        in Concert.
        Anything in this Agreement to the contrary notwithstanding, each Lender hereby
        agrees with each other Lender that no Lender shall take any action to protect
        or
        enforce its rights arising out of this Agreement or the Notes (including
        exercising any rights of setoff) without first obtaining the prior written
        consent of the Requisite Lenders, it being the intent of Lenders that any
        such
        action to protect or enforce rights under this Agreement and the Notes shall
        be
        taken in concert and at the direction or with the consent of the Requisite
        Lenders. 

       

      
        
          10
            SUCCESSORS
            AND ASSIGNS

        

      

       

      10.1 Successors
        and Assigns.
        This
        Agreement and the other Loan Documents shall be binding on and shall inure
        to
        the benefit of each Credit Party, Agent, Lenders and their respective successors
        and assigns (including, in the case of any Credit Party, a debtor-in-possession
        on behalf of such Credit Party and any surviving corporation in a merger
        to
        which such Credit Party is a party which merger is permitted by this Agreement),
        except as otherwise provided herein or therein. No Credit Party may assign,
        transfer, hypothecate or otherwise convey its rights, benefits, obligations
        or
        duties hereunder or under any of the other Loan Documents without the prior
        express written consent of Agent and Lenders. Any such purported assignment,
        transfer, hypothecation or other conveyance by any Credit Party without the
        prior express written consent of Agent and Lenders shall be void. The terms
        and
        provisions of this Agreement are for the purpose of defining the relative
        rights
        and obligations of each Credit Party, Agent and Lenders with respect to the
        transactions contemplated hereby and no Person shall be a third party
        beneficiary of any of the terms and provisions of this Agreement or any of
        the
        other Loan Documents.

       

      
        
          
          

        

        
          79

          
            

          

        

        
          
          

        

      

      11
        MISCELLANEOUS

       

      11.1 Complete
        Agreement; Modification of Agreement.
        The
        Loan Documents constitute the complete agreement between the parties with
        respect to the subject matter thereof and may not be modified, altered or
        amended except as set forth in Section
        11.2.
        Any
        letter of interest, commitment letter, fee letter (other than the GE Capital
        Fee
        Letter and the Lender Fee Letter) or confidentiality agreement, if any, between
        any Credit Party and Agent or any Lender or any of their respective Affiliates,
        predating this Agreement and relating to a financing of substantially similar
        form, purpose or effect shall be superseded by this Agreement.

       

      11.2 Amendments
        and Waivers; Joinder Agreement

       

      (a) Except
        for actions expressly permitted to be taken by Agent, no amendment,
        modification, termination or waiver of any provision of this Agreement or
        any
        other Loan Document, or any consent to any departure by any Credit Party
        therefrom, shall in any event be effective unless the same shall be in writing
        and (i) in the case of this Agreement, signed by Borrower, by Requisite Lenders,
        Requisite Revolving Lenders, Requisite Term Lenders or all affected Lenders,
        as
        applicable, and by Agent (if the same affects the rights or duties of Agent)
        and
        (ii) in the case of any other Loan Document, signed by the parties thereto
        and
        consented to by Requisite Lenders, Requisite Revolving Lenders, Requisite
        Term
        Lenders or all affected Lenders, as applicable. Except as set forth in clauses
        (b) and (c) below, all such amendments, modifications, terminations or waivers
        requiring the consent of any Lenders shall require the written consent of
        Requisite Lenders. 

       

      (b) No
        amendment, modification, termination or waiver of or consent with respect
        to any
        provision of this Agreement that waives compliance with the conditions precedent
        (i) set forth in Section
        2.2(a)
        to the
        funding of any Advance shall be effective unless the same shall be in writing
        and signed by the Requisite Revolving Lenders and Borrower or (ii) set forth
        in
Section
        2.2(b)
        to the
        funding of the Additional Term Loan shall be effective unless the same shall
        be
        in writing and signed by the Requisite Term Lenders and Borrower.
        Notwithstanding anything contained in this Agreement to the contrary, no waiver
        or consent with respect to any Default or any Event of Default shall be
        effective for purposes of (A) the conditions precedent to the funding of
        any
        Advance set forth in Section
        2.2(a)
        unless
        the same shall be in writing and signed by the Requisite Revolving Lenders
        and
        Borrower, (B) Section
        1.5(e)
        relating
        to the conversion or continuation of any Advance unless the same shall be
        in
        writing and signed by the Requisite Revolving Lenders and Borrower, (C) the
        conditions precedent to the funding of the Additional Term Loan set forth
        in
Section
        2.2(b)
        unless
        the same shall be in writing and signed by the Requisite Term Lenders and
        Borrower or (D) Section
        1.5(e)
        relating
        to the conversion or continuation of the Term Loan unless the same shall
        be in
        writing and signed by the Requisite Term Lenders and Borrower. 

       

      (c) No
        amendment, modification, termination or waiver shall, unless in writing and
        signed by each Lender directly affected thereby: (i) increase the principal
        amount of any Lender's Commitment (which action shall be deemed to directly
        affect all Lenders); (ii) reduce the principal of, rate of interest on or
        prepayment premiums or other Fees payable with respect to any Loan of any
        affected Lender; (iii) extend any scheduled payment date (other than payment
        dates of mandatory prepayments under Section
        1.3(b)(ii)-(v))
        or
        final maturity date of the principal amount of any Loan of any affected Lender;
        (iv) waive, forgive, defer, extend or postpone any payment of interest or
        Fees
        as to any affected Lender; (v) release any Guaranty or, except as otherwise
        permitted herein or in the other Loan Documents, release, or permit any Credit
        Party to sell or otherwise dispose of, any Collateral with a value exceeding
        $5,000,000 in the aggregate (which action shall be deemed to directly affect
        all
        Lenders); (vi) change the percentage of the Commitments or of the aggregate
        unpaid principal amount of the Loans that shall be required for Lenders or
        any
        of them to take any action hereunder; and (vii) amend or waive this Section
        11.2
        or the
        definitions of the terms "Requisite Lenders", "Requisite Term Lenders" or
        "Requisite Revolving Lenders" insofar as such definitions affect the substance
        of this Section
        11.2.
        Furthermore, no amendment, modification, termination or waiver affecting
        the
        rights or duties of Agent, or of a Swap Related L/C Provider in respect of
        any
        Swap Related Reimbursement Obligations, under this Agreement or any other
        Loan
        Document, including any release of any Guaranty or Collateral requiring a
        writing signed by all Lenders, shall be effective unless in writing and signed
        by Agent or the affected Swap Related L/C Provider, as the case may be, in
        addition to Lenders required hereinabove to take such action. Each amendment,
        modification, termination or waiver shall be effective only in the specific
        instance and for the specific purpose for which it was given. No amendment,
        modification, termination or waiver shall be required for Agent to take
        additional Collateral pursuant to any Loan Document. No amendment, modification,
        termination or waiver of any provision of any Note shall be effective without
        the written concurrence of the holder of that Note. No notice to or demand
        on
        any Credit Party in any case shall entitle such Credit Party or any other
        Credit
        Party to any other or further notice or demand in similar or other
        circumstances. Any amendment, modification, termination, waiver or consent
        effected in accordance with this Section
        11.2
        shall be
        binding upon each Lender at the time such amendment, modification, termination,
        waiver or consent is effected and each future Lender. 

       

      
        
          
          

        

        
          80

          
            

          

        

        
          
          

        

      

      (d) If,
        in
        connection with any proposed amendment, modification, waiver or termination
        (other than with respect to any waiver relating to the payment of any premium
        payable in connection with any prepayment of the Loans) requiring the consent
        of
        all affected Lenders, the consent of Requisite Lenders is obtained, but the
        consent of other Lenders whose consent is required is not obtained (any such
        Lender whose consent is not obtained as described in this clause being referred
        to as a "Non-Consenting
        Lender")
        then,
        at Borrower's request Agent (if Agent so agrees to purchase in its sole
        discretion), or a Person reasonably acceptable to Agent (if such Person so
        agrees to purchase in its sole discretion), shall have the right with Agent's
        consent (but Agent shall have no obligation) to purchase from such
        Non-Consenting Lenders, and such Non-Consenting Lenders agree that they shall
        sell and assign to Agent or such Person, as applicable, all of the Commitments
        of such Non-Consenting Lenders for an amount equal to the principal balance
        of
        all Loans held by the Non-Consenting Lenders and all accrued interest and
        Fees
        with respect thereto through the date of sale, such purchase and sale to
        be
        consummated pursuant to an executed Assignment Agreement.

       

      
        
          
          

        

        
          81

          
            

          

        

        
          
          

        

      

       

      (e) Upon
        payment in full in cash of all of the Obligations (other than contingent
        indemnity and expense reimbursement obligations for which no claim has been
        made) and termination of the Commitments, and so long as no suits, actions
        proceedings, or claims are pending or threatened against any Indemnified
        Person
        asserting any damages, losses or liabilities that are Indemnified Liabilities,
        Agent shall deliver to Borrower termination statements, mortgage releases
        and
        other documents necessary or appropriate to evidence the termination of the
        Liens securing payment of the Obligations.

       

      (f) Upon
        the
        execution and delivery by any Person to Agent of a Joinder Agreement, as
        applicable as provided in such Joinder Agreement, (a) such Person shall become
        and be a Credit Party hereunder, and each reference in this Agreement or
        any
        other Loan Document to a "Credit Party" shall also mean and be a reference
        to
        such Person, (b) such Person shall become and be a Guarantor under the
        Subsidiary Guaranty, and each reference in this Agreement or any other Loan
        Document to a "Guarantor" shall also mean and be a reference to such Person,
        (c)
        such Person shall become and be a Grantor under the Security Agreement, and
        each
        reference in this Agreement or any other Loan Document to a "Grantor" shall
        also
        mean and be a reference to such Person, (d) such Person shall become and
        be a
        Pledgor under the Pledge Agreement, and each reference in this Agreement
        or any
        other Loan Document to a "Pledgor" shall also mean and be a reference to
        such
        Person, and (e) each reference in this Agreement, the Subsidiary Guaranty,
        the
        Security Agreement and the Pledge Agreement to "this Agreement", "hereunder",
        "hereof" or words of like import, and each reference in any Loan Document
        to the
        "Credit Agreement", "Subsidiary Guaranty", "Security Agreement", "Pledge
        Agreement" or "thereunder", "thereof" or words of like import referring to
        the
        Agreement, Subsidiary Guaranty, Security Agreement or Pledge Agreement shall
        mean and be a reference to this Agreement, Subsidiary Guaranty, the Security
        Agreement or Pledge Agreement, as applicable, as supplemented by such Joinder
        Agreement. Each Credit Party agrees that (i) no consent of such Credit Party
        is
        required for the execution and delivery by any other Person of a Joinder
        Agreement or for such Person to become a party to this Agreement or any other
        Loan Document by executing and delivering such Joinder Agreement and (ii)
        its
        obligations under this Agreement and the other Loan Documents shall not be
        affected or diminished by any other Person becoming or failing to become
        a party
        to this Agreement or any other Loan Document.

       

      11.3 Fees
        and Expenses.
        Borrower
        shall reimburse Agent for all fees, costs and expenses (including the reasonable
        fees and expenses of all of its counsel, advisors, consultants (provided
        that
        such consultants were engaged with the consent (not to be unreasonably withheld)
        of Borrower) and auditors) incurred in connection with the negotiation,
        preparation and filing and/or recordation of the Loan Documents
        (to a
        maximum of $125,000 for attorney’s fees in connection with the preparation,
        arrangement, negotiation and closing of the Amended and Restated Credit
        Agreement and related Collateral Documents).
        Borrower shall reimburse Agent (and, with respect to clauses (c), (d), (e)
        and
        (f) below, all Lenders) for all fees, costs and expenses, including
        the reasonable fees, costs and expenses of counsel or other advisors (including
        environmental and management consultants and appraisers) incurred in connection
        with:

       

      
        
          
          

        

        
          82

          
            

          

        

        
          
          

        

      

       

      (a) the
        forwarding to Borrower or any other Person on behalf of Borrower by Agent
        of the
        proceeds of any Loan;

       

      (b) any
        amendment, modification or waiver of, or consent with respect to, or termination
        of, any of the Loan Documents, Original Related Transaction Documents or
        Restatement Related Transactions Documents or advice in connection with the
        administration of the Loans made pursuant hereto or its rights hereunder
        or
        thereunder;

       

      (c) any
        litigation, contest, dispute, suit, proceeding or action (whether instituted
        by
        Agent, any Lender, any Credit Party or any other Person and whether as a
        party,
        witness or otherwise) in any way relating to the Collateral, any of the Loan
        Documents or any other agreement to be executed or delivered in connection
        herewith or therewith, including any litigation, contest, dispute, suit,
        case,
        proceeding or action, and any appeal or review thereof, in connection with
        a
        case commenced by or against any or all of the Credit Parties or any other
        Person that may be obligated to Agent by virtue of the Loan Documents, including
        any such litigation, contest, dispute, suit, proceeding or action arising
        in
        connection with any work-out or restructuring of the Loans during the pendency
        of one or more Events of Default; provided,
        that no
        Person shall be entitled to reimbursement under this clause (c) in respect
        of
        any litigation, contest, dispute, suit, proceeding or action to the extent
        any
        of the foregoing results from such Person's gross negligence or willful
        misconduct as finally determined by a court of competent jurisdiction or
        to the
        extent any of the foregoing results from any dispute among any of Agent and
        the
        Lenders which dispute does not involve any Credit Party;

       

      (d) any
        attempt to enforce any remedies of Agent or any Lender against any or all
        of the
        Credit Parties or any other Person that may be obligated to Agent or any
        Lender
        by virtue of any of the Loan Documents, including any such attempt to enforce
        any such remedies in the course of any work-out or restructuring of the Loans
        during the pendency of one or more Events of Default;

       

      (e) any
        workout or restructuring of the Loans during the pendency of one or more
        Events
        of Default; and

       

      (f) upon
        the
        occurrence and during the continuation of any Default or Event of Default,
        efforts to verify, protect, evaluate, assess, appraise, collect, sell, liquidate
        or otherwise dispose of any of the Collateral;

       

      including,
        as to each of clauses
        (a) through (f)
        above,
        all reasonable attorneys' and other professional and service providers' fees
        arising from such services and other advice, assistance or other representation,
        including those in connection with any appellate proceedings, and all expenses,
        costs, charges and other fees incurred by such counsel and others in connection
        with or relating to any of the events or actions described in this Section
        11.3,
        all of
        which shall be payable, on demand, by Borrower to Agent or Lender, as
        applicable. Without limiting the generality of the foregoing, such expenses,
        costs, charges and fees may include: fees, costs and expenses of accountants,
        environmental advisors, appraisers, investment bankers, management and other
        consultants and paralegals; court costs and expenses; photocopying and
        duplication expenses; court reporter fees, costs and expenses; long distance
        telephone charges; air express charges; telegram or telecopy charges;
        secretarial overtime charges; and expenses for travel, lodging and food paid
        or
        incurred in connection with the performance of such legal or other advisory
        services. 

       

      
        
          
          

        

        
          83

          
            

          

        

        
          
          

        

      

       

      11.4 No
        Waiver.
        Agent's
        or any Lender's failure, at any time or times, to require strict performance
        by
        the Credit Parties of any provision of this Agreement or any other Loan Document
        shall not waive, affect or diminish any right of Agent or such Lender thereafter
        to demand strict compliance and performance herewith or therewith. Any
        suspension or waiver of an Event of Default shall not suspend, waive or affect
        any other Event of Default whether the same is prior or subsequent thereto
        and
        whether the same or of a different type. Subject to the provisions of
Section
        11.2,
        none of
        the undertakings, agreements, warranties, covenants and representations of
        any
        Credit Party contained in this Agreement or any of the other Loan Documents
        and
        no Default or Event of Default by any Credit Party shall be deemed to have
        been
        suspended or waived by Agent or any Lender, unless such waiver or suspension
        is
        by an instrument in writing signed by an officer of or other authorized employee
        of Agent and the applicable required Lenders and directed to Borrower specifying
        such suspension or waiver.

       

      11.5 Remedies.
        Agent's
        and Lenders' rights and remedies under this Agreement shall be cumulative
        and
        nonexclusive of any other rights and remedies that Agent or any Lender may
        have
        under any other agreement, including the other Loan Documents, by operation
        of
        law or otherwise. Recourse to the Collateral shall not be required.

       

      11.6 Severability.
        Wherever possible, each provision of this Agreement and the other Loan Documents
        shall be interpreted in such a manner as to be effective and valid under
        applicable law, but if any provision of this Agreement or any other Loan
        Document shall be prohibited by or invalid under applicable law, such provision
        shall be ineffective only to the extent of such prohibition or invalidity,
        without invalidating the remainder of such provision or the remaining provisions
        of this Agreement or such other Loan Document.

       

      11.7 Conflict
        of Terms.
        Except
        as otherwise provided in this Agreement or any of the other Loan Documents
        by
        specific reference to the applicable provisions of this Agreement, if any
        provision contained in this Agreement conflicts with any provision in any
        of the
        other Loan Documents, the provision contained in this Agreement shall govern
        and
        control.

       

      11.8 Confidentiality.
        Agent
        and each Lender agree to use commercially reasonable efforts (equivalent
        to the
        efforts Agent or such Lender applies to maintain the confidentiality of its
        own
        confidential information) to maintain as confidential all confidential
        information provided to them by the Credit Parties and designated as
        confidential for a period of three (3) years following receipt thereof, except
        that Agent and each Lender may disclose such information (a) to Persons employed
        or engaged by Agent or such Lender; (b) to any bona fide assignee or participant
        or potential assignee or participant that has agreed to comply with the covenant
        contained in this Section
        11.8
        (and any
        such bona fide assignee or participant or potential assignee or participant
        may
        disclose such information to Persons employed or engaged by them as described
        in
clause
        (a)
        above);
        (c) as required or requested by any Governmental Authority or reasonably
        believed by Agent or such Lender (based on advice of Agent's or such Lender's
        counsel) to be compelled by any court decree, subpoena or legal or
        administrative order or process; (d) as, on the advice of Agent's or such
        Lender's counsel, is required by law; (e) in connection with the exercise
        of any
        right or remedy under the Loan Documents or in connection with any Litigation
        to
        which Agent or such Lender is a party; or (f) that ceases to be confidential
        through no fault of Agent or any Lender. 

       

      
        
          
          

        

        
          84

          
            

          

        

        
          
          

        

      

       

      11.9 GOVERNING
        LAW.
        EXCEPT AS OTHERWISE EXPRESSLY PROVIDED IN ANY OF THE LOAN DOCUMENTS, IN ALL
        RESPECTS, INCLUDING ALL MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE,
        THE
        LOAN DOCUMENTS AND THE OBLIGATIONS SHALL BE GOVERNED BY, AND CONSTRUED AND
        ENFORCED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK
        APPLICABLE TO CONTRACTS MADE AND PERFORMED IN THAT STATE AND ANY APPLICABLE
        LAWS
        OF THE UNITED STATES OF AMERICA. EACH CREDIT PARTY HEREBY CONSENTS AND AGREES
        THAT THE STATE OR FEDERAL COURTS LOCATED IN NEW YORK COUNTY, CITY OF NEW
        YORK,
        NEW YORK SHALL HAVE NON-EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY
        CLAIMS
        OR DISPUTES BETWEEN THE CREDIT PARTIES, AGENT AND LENDERS PERTAINING TO THIS
        AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS OR TO ANY MATTER ARISING OUT
        OF OR
        RELATING TO THIS AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS;
PROVIDED,
        THAT NOTHING IN THIS AGREEMENT SHALL BE DEEMED OR OPERATE TO PRECLUDE AGENT
        FROM
        BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN ANY OTHER JURISDICTION TO REALIZE
        ON THE COLLATERAL OR ANY OTHER SECURITY FOR THE OBLIGATIONS, OR TO ENFORCE
        A
        JUDGMENT OR OTHER COURT ORDER IN FAVOR OF AGENT. EACH CREDIT PARTY EXPRESSLY
        SUBMITS AND CONSENTS IN ADVANCE TO SUCH JURISDICTION IN ANY ACTION OR SUIT
        COMMENCED IN ANY SUCH COURT, AND EACH CREDIT PARTY HEREBY WAIVES ANY OBJECTION
        THAT SUCH CREDIT PARTY MAY HAVE BASED UPON LACK OF PERSONAL JURISDICTION,
        IMPROPER VENUE OR FORUM NON
        CONVENIENS
        AND HEREBY CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS
        IS
        DEEMED APPROPRIATE BY SUCH COURT. EACH CREDIT PARTY HEREBY WAIVES PERSONAL
        SERVICE OF THE SUMMONS, COMPLAINT AND OTHER PROCESS ISSUED IN ANY SUCH ACTION
        OR
        SUIT AND AGREES THAT SERVICE OF SUCH SUMMONS, COMPLAINTS AND OTHER PROCESS
        MAY
        BE MADE BY REGISTERED OR CERTIFIED MAIL ADDRESSED TO SUCH CREDIT PARTY AT
        THE
        ADDRESS SET FORTH IN ANNEX
        I
        OF THIS AGREEMENT AND THAT SERVICE SO MADE SHALL BE DEEMED COMPLETED UPON
        THE
        EARLIER OF SUCH CREDIT PARTY'S ACTUAL RECEIPT THEREOF OR FIVE (5) BUSINESS
        DAYS
        AFTER DEPOSIT IN THE UNITED STATES MAILS, PROPER POSTAGE
        PREPAID.

       

      
        
          
          

        

        
          85

          
            

          

        

        
          
          

        

      

       

      11.10 Notices.
        Except
        as otherwise provided herein, whenever it is provided herein that any notice,
        demand, request, consent, approval, declaration or other communication shall
        or
        may be given to or served upon any of the parties by any other parties, or
        whenever any of the parties desires to give or serve upon any other parties
        any
        communication with respect to this Agreement, each such notice, demand, request,
        consent, approval, declaration or other communication shall be in writing
        and
        shall be deemed to have been validly served, given or delivered (a) upon
        the
        earlier of actual receipt and five (5) Business Days after deposit in the
        United
        States Mail, registered or certified mail, return receipt requested, with
        proper
        postage prepaid, (b) upon transmission, when sent by telecopy or other similar
        facsimile transmission (with such telecopy or facsimile promptly confirmed
        by
        delivery of a copy by personal delivery or United States Mail as otherwise
        provided in this Section
        11.10);
        (c) one
        (1) Business Day after deposit with a reputable overnight courier with all
        charges prepaid or (d) when delivered, if hand-delivered by messenger, all
        of
        which shall be addressed to the party to be notified and sent to the address
        or
        facsimile number indicated in Annex
        I
        or to
        such other address (or facsimile number) as may be substituted by notice
        given
        as herein provided. The giving of any notice required hereunder may be waived
        in
        writing by the party entitled to receive such notice. Failure or delay in
        delivering copies of any notice, demand, request, consent, approval, declaration
        or other communication to any Person (other than Borrower or Agent) designated
        in Annex
        I
        to
        receive copies shall in no way adversely affect the effectiveness of such
        notice, demand, request, consent, approval, declaration or other
        communication.

       

      11.11 Section
        Titles.
        The
        Section titles and Table of Contents contained in this Agreement are and
        shall
        be without substantive meaning or content of any kind whatsoever and are
        not a
        part of the agreement between the parties hereto.

       

      11.12 Counterparts.
        This
        Agreement may be executed in any number of separate counterparts, each of
        which
        shall be an original and all of which shall collectively constitute one
        agreement.

       

      11.13 WAIVER
        OF JURY TRIAL.
        BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX FINANCIAL TRANSACTIONS
        ARE
        MOST QUICKLY AND ECONOMICALLY RESOLVED BY AN EXPERIENCED AND EXPERT PERSON
        AND
        THE PARTIES WISH APPLICABLE STATE AND FEDERAL LAWS TO APPLY, THE PARTIES
        DESIRE
        THAT THEIR DISPUTES BE RESOLVED BY A JUDGE APPLYING SUCH APPLICABLE LAWS.
        THEREFORE, THE PARTIES HERETO WAIVE ALL RIGHT TO TRIAL BY JURY IN ANY ACTION,
        SUIT, OR PROCEEDING BROUGHT TO RESOLVE ANY DISPUTE, WHETHER SOUNDING IN
        CONTRACT, TORT OR OTHERWISE, AMONG AGENT, LENDERS AND ANY CREDIT PARTY ARISING
        OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP
        ESTABLISHED AMONG THEM IN CONNECTION WITH, THIS AGREEMENT OR ANY OF THE OTHER
        LOAN DOCUMENTS OR THE TRANSACTIONS RELATED THERETO.

       

      
        
          
          

        

        
          86

          
            

          

        

        
          
          

        

      

       

      11.14 Press
        Releases and Related Matters.
        Each
        Credit Party executing this Agreement agrees that neither it nor its Affiliates
        will in the future issue any press releases or other public disclosure using
        the
        name of GE Capital or any Lender or its affiliates or referring to this
        Agreement, the other Loan Documents, the Original Related Transactions Documents
        or the Restatement Related Transactions Documents without at least 2 Business
        Days' prior notice to GE Capital (and, if such disclosure will use the name
        of
        any Lender, to such Lender) and without the prior written consent of GE Capital
        (and, if such disclosure will use the name of any Lender, such Lender) unless
        (and only to the extent that) such Credit Party or Affiliate is required
        to do
        so under law and then, in any event, such Credit Party or Affiliate will
        consult
        with GE Capital (and, if such disclosure will use the name of any Lender,
        such
        Lender) before issuing such press release or other public disclosure. Each
        Credit Party consents to the publication by Agent or any Lender of advertising
        material relating to the financing transactions contemplated by this Agreement
        using any Credit Party’s name, product photographs, logo or trademark. Agent or
        such Lender shall provide a draft of any such tombstone or similar advertising
        material to each Credit Party for review and approval (such approval not
        to be
        unreasonably withheld or delayed) prior to the publication thereof. Agent
        reserves the right to provide to industry trade organizations information
        necessary and customary for inclusion in league table measurements.

       

      11.15 Reinstatement.
        This
        Agreement shall remain in full force and effect and continue to be effective
        should any petition be filed by or against any Credit Party for liquidation
        or
        reorganization, should any Credit Party become insolvent or make an assignment
        for the benefit of any creditor or creditors or should a receiver or trustee
        be
        appointed for all or any significant part of any Credit Party's assets, and
        shall continue to be effective or to be reinstated, as the case may be, if
        at
        any time payment and performance of the Obligations, or any part thereof,
        is,
        pursuant to applicable law, rescinded or reduced in amount, or must otherwise
        be
        restored or returned by any obligee of the Obligations, whether as a "voidable
        preference," "fraudulent conveyance," or otherwise, all as though such payment
        or performance had not been made. In the event that any payment, or any part
        thereof, is rescinded, reduced, restored or returned, the Obligations shall
        be
        reinstated and deemed reduced only by such amount paid and not so rescinded,
        reduced, restored or returned.

       

      11.16 Advice
        of Counsel.
        Each of
        the parties represents to each other party hereto that it has discussed this
        Agreement and, specifically, the provisions of Sections
        11.9
        and
11.13,
        with
        its counsel.

       

      11.17 No
        Strict Construction.
        The
        parties hereto have participated jointly in the negotiation and drafting
        of this
        Agreement. In the event an ambiguity or question of intent or interpretation
        arises, this Agreement shall be construed as if drafted jointly by the parties
        hereto and no presumption or burden of proof shall arise favoring or disfavoring
        any party by virtue of the authorship of any provisions of this
        Agreement.

       

      
        
          
          

        

        
          87

          
            

          

        

        
          
          

        

      

       

      11.18 Effect
        of Amendment and Restatement of the Original Credit Agreement. Each
        of
        the parties hereto agree that, upon (i) the execution and delivery of this
        Agreement by each of the respective parties to this Agreement and (ii) the
        satisfaction (or waiver by Agent and each of the Lenders) of the conditions
        precedent set forth in Article 2 hereof, the terms and provisions of the
        Original Credit Agreement shall be amended, superseded and restated in their
        entirety by the terms and provisions of this Agreement. The parties hereto
        acknowledge and agree that (a) this Agreement and the other Loan Documents,
        whether executed and delivered in connection herewith or otherwise, do not
        constitute a novation or termination of the “Obligations” (as defined in the
        Original Credit Agreement) under the Original Credit Agreement as in effect
        prior to the Restatement Closing Date and which remain outstanding, (b) the
        “Obligations” are in all respects continuing (as amended and restated hereby and
        which are hereinafter subject to the terms herein) and (c) the Liens and
        security interests as granted under the applicable Loan Documents securing
        payment of such “Obligations” are in all respects continuing and in full force
        and effect (as assigned to Agent for the benefit of Lenders pursuant to this
        Agreement and the other Loan Documents).

       

      
        
          
          

        

        
          88

          
            

          

        

        
          
          

        

      

       

    

    IN
      WITNESS WHEREOF, this Agreement has been duly executed as of the date first
      written above. 

     

    
      	 	 	 
	 	OTELCO
              INC.
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                President and Chief Executive
                Officer

            

    

    
      	 	 	 
	 	OTELCO
              TELECOMMUNICATIONS LLC 
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	OTELCO
              TELEPHONE LLC 
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	
              HOPPER
                HOLDING COMPANY, INC. 

            
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	HOPPER
              TELECOMMUNICATIONS COMPANY, INC.
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	BRINDLEE
              HOLDINGS LLC 
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

     

    [Signature
      Page –
      Amended and Restated Credit Agreement]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      	 	 	 
	 	
              BRINDLEE
                MOUNTAIN TELEPHONE COMPANY

            
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	PAGE
&
              KISER COMMUNICATIONS, INC.
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	BLOUNTSVILLE
              TELEPHONE COMPANY, INC.
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	MID-MISSOURI
              HOLDING CORP. 
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

      	 	 	 
	 	MID-MISSOURI
              TELEPHONE COMPANY 
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            

    

    
      	 	 	 
	 	IMAGINATION,
              INC.
	 
 	 
 	 
 
	 	By:  	/s/ Michael
              D. Weaver
	 	
              

              Name:
                Michael D. Weaver

              Title:
                Chief Executive Officer

            
	 	 

    

     

    [Signature
      Page – Amended and Restated Credit Agreement]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	 	 	 
	 	MID-MAINE
              COMMUNICATIONS, INC. 
	 
 	 
 	 
 
	 	By:  	/s/ Curtis
              L. Garner, Jr.
	 	
              

              Name:
                Curtis L. Garner, Jr.

              Title:
                Vice President

            

      	 	 	 
	 	
              MID-MAINE
                TELECOM, INC.

            
	 
 	 
 	 
 
	 	By:  	/s/ Curtis
              L.
              Garner, Jr.
	 	
              

              Name:
                Curtis L. Garner, Jr.

              Title:
                Vice President

            

    

    
      	 	 	 
	 	MID-MAINE
              TELPLUS
	 
 	 
 	 
 
	 	By:  	/s/ Curtis
              L.
              Garner, Jr.
	 	
              

              Name:
                Curtis L. Garner, Jr.

              Title:
                Vice President

            

    

    
      	 	 	 
	 	GENERAL
              ELECTRIC CAPITAL CORPORATION, as Agent and a Lender
	 
 	 
 	 
 
	
            	By:  	/s/ Julia
              R.
              Meade
	 	
              

              Name:
                Julia R. Meade

              Its
                Duly Authorized Signatory

            

    

    
      	 	 	 
	 	AIG
              ANNUITY INSURANCE COMPANY, as a Lender
	 
 	 
 	 
 
	 	By:  	 AIG
              Global
              Investment Corp., investment adviser
	 	 	 
	 	By:  	/s/ Christopher F. Ochs
	 	
              

              Name:
                Christopher F. Ochs

              Title:
                Managing Director

            

    

     

    [Signature
      Page – Amended and Restated Credit Agreement]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      	 	 	 
	 	COBANK,
              ACB, as a Lender
	 
 	 
 	 
 
	 	By:  	/s/ Kevin
              A. Oliver
	 	
              

              Name:
                Kevin A. Oliver

              Title:
                Assistant Vice President 

            

    

     

    [Signature
      Page – Amended and Restated Credit Agreement]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    [Signature
      Page – Amended and Restated Credit Agreement]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    ANNEX
      A (Recitals)

     

    to

     

    CREDIT
      AGREEMENT

     

    DEFINITIONS

     

    Capitalized
      terms used in the Loan Documents shall have (unless otherwise provided elsewhere
      in the Loan Documents) the following respective meanings and all references
      to
      Sections, Exhibits, Schedules or Annexes in the following definitions shall
      refer to Sections, Exhibits, Schedules or Annexes of or to the
      Agreement:

     

    "Account
      Debtor"
      means
      any Person who may become obligated to any Credit Party under, with respect
      to,
      or on account of, an Account,
      Chattel
      Paper or General Intangibles (including a payment intangible).

     

    "Accounting
      Changes"
      has the
      meaning ascribed thereto in Annex G.

     

    "Accounts"
      means
      all "accounts," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, including (a) all accounts receivable, other
      receivables, book debts and other forms of obligations (other than forms of
      obligations evidenced by Chattel Paper or Instruments), (including any such
      obligations that may be characterized as an account or contract right under
      the
      Code), (b) all of each Credit Party's rights in, to and under all purchase
      orders or receipts for goods or services, (c) all of each Credit Party's rights
      to any goods represented by any of the foregoing (including unpaid sellers'
      rights of rescission, replevin, reclamation and stoppage in transit and rights
      to returned, reclaimed or repossessed goods), (d) all rights to payment due
      to
      any Credit Party for
      property sold, leased, licensed, assigned or otherwise disposed of, for a policy
      of insurance issued or to be issued, for a secondary obligation incurred or
      to
      be incurred, for energy provided or to be provided, for the use or hire of
      a
      vessel under a charter or other contract, arising out of the use of a credit
      card or charge card, or for
      services
rendered
      or
      to be
      rendered
      by such
      Credit Party or in connection with any other transaction (whether or not yet
      earned by performance on the part of such Credit Party), (e) all healthcare
      insurance receivables, and (f) all collateral security of any kind, now or
      hereafter in existence, given by any Account Debtor or other Person with respect
      to any of the foregoing.

     

    "Additional
      Term Loan"
      has the
      meaning assigned to it in Section 1.1(b)(i).

     

    "Additional
      Term Loan Commitment"
      means
      (a) as to any Lender with an Additional Term Loan Commitment, the commitment
      of
      such Lender to make its Pro Rata Share of the Additional Term Loan as set forth
      on Annex J
      to the
      Agreement or in the most recent Assignment Agreement executed by such Lender,
      and (b) as to all Lenders with an Additional Term Loan Commitment, the aggregate
      commitment of all Lenders to make the Additional Term Loan, which aggregate
      commitment shall be Forty Million Dollars ($40,000,000) on the Restatement
      Closing Date. After advancing the Additional Term Loan, each reference to a
      Lender's Additional Term Loan Commitment shall refer to that Lender's Pro Rata
      Share of the outstanding Additional Term Loan. 

    
      
        
        

      

      
        A-1

        
          

        

      

      
        
        

      

    

     

    "Activation
      Event"
      and
      "Activation
      Notice"
      have
      the meanings ascribed thereto in Annex
      C.
      

     

    "Additional
      Subordinated Debt Documents"
      means,
      for any Permitted Additional Subordinated Debt, the loan agreement, credit
      agreement, note purchase agreement, indenture or other definitive agreement
      for
      such Indebtedness to which any applicable Credit Party is a party, together
      with
      any related notes, guarantees and other documents contemplated to be delivered
      by any Credit Party thereunder.

     

    "Advance"
      means
      any Revolving Credit Advance or Swing Line Advance, as the context may
      require.

     

    "Affiliate"
      means,
      with respect to any Person, (a) each Person that, directly or indirectly, owns
      or controls, whether beneficially, or as a trustee, guardian or other fiduciary,
      10% or more of the Stock having ordinary voting power in the election of
      directors of such Person, (b) each Person that controls, is controlled by or
      is
      under common control with such Person, (c) each of such Person's officers,
      directors, joint venturers and partners and (d) in the case of Borrower, the
      immediate family members, including spouses and lineal descendants of
      individuals who are Affiliates of Borrower. For the purposes of this definition,
      "control"
      of a
      Person shall mean the possession, directly or indirectly, of the power to direct
      or cause the direction of its management or policies, whether through the
      ownership of voting securities, by contract or otherwise; provided,
      however,
      that
      the term "Affiliate"
      shall
      specifically exclude Agent and each Lender. 

     

    "Agent"
      means
      GE Capital in its capacity as Agent for Lenders or its successor appointed
      pursuant to Section
      9.7.

     

    "Agreement"
      means
      the Original Credit Agreement, as amended and restated by the Amended and
      Restated Credit Agreement dated as of July 3, 2006 by and among Borrower, the
      other Credit Parties party thereto, GE Capital, as Agent and Lender and the
      other Lenders from time to time party thereto, as the same may be amended,
      supplemented, restated or otherwise modified from time to time.

     

    "Amendment
      and Joinder Agreements"
      means
      the Amendment and Joinder to Pledge Agreement, the Amendment and Joinder to
      Security Agreement and the Amendment and Joinder to Subsidiary Guaranty.

     

    "Amendment
      and Joinder to Pledge Agreement"
      means
      the Amendment and Joinder to Pledge Agreement dated as of the Restatement
      Closing Date executed by Borrower and each other Credit Party that is a
      signatory thereto in favor of Agent, on behalf of itself and
      Lenders.

    
      
        
        

      

      
        A-2

        
          

        

      

      
        
        

      

    

     

    "Amendment
      and Joinder to Security Agreement"
      means
      the Amendment and Joinder to Security Agreement dated as of the Restatement
      Closing Date executed by Borrower and each other Credit Party that is a
      signatory thereto in favor of Agent, on behalf of itself and
      Lenders.

     

    "Agreement
      and Joinder to Subsidiary Guaranty"
      means
      the Amendment and Joinder to Subsidiary Guaranty dated as of the Restatement
      Closing Date executed by each Credit Party that is a signatory thereto in favor
      of Agent, on behalf of itself and Lenders.

     

    "Appendices"
      has the
      meaning ascribed to it in the recitals to the Agreement.

     

    "Applicable
      Margins"
      means
      collectively the Applicable Revolver Index Margin, the Applicable Term Loan
      Index Margin, the Applicable Revolver LIBOR Margin and the Applicable Term
      Loan
      LIBOR Margin.

     

    "Applicable
      Revolver Index Margin"
      means
      the per annum interest rate margin from time to time in effect and payable
      in
      addition to the Index Rate applicable to the Revolving Loan, as determined
      by
      reference to Section
      1.5(a).

     

    "Applicable
      Revolver LIBOR Margin"
      means
      the per annum interest rate from time to time in effect and payable in addition
      to the LIBOR Rate applicable to the Revolving Loan, as determined by reference
      to Section
      1.5(a).

     

    "Applicable
      Term Loan Index Margin"
      means
      the per annum interest rate from time to time in effect and payable in addition
      to the Index Rate applicable to the Term Loan, as determined by reference to
      Section
      1.5(a).

     

    "Applicable
      Term Loan LIBOR Margin"
      means
      the per annum interest rate from time to time in effect and payable in addition
      to the LIBOR Rate applicable to the Term Loan, as determined by reference to
      Section
      1.5(a).

     

    "Asset
      Sale"
      has the
      meaning ascribed to it in Section
      6.8.

     

    "Assignment
      Agreement"
      has the
      meaning ascribed to it in Section
      9.1(a).

     

    "Bankruptcy
      Code"
      means
      the provisions of Title 11 of the United States Code, 11 U.S.C. §§ 101 et
      seq.

     

    "Blocked
      Account"
      means
      each deposit account designated as a "Blocked Account" on Disclosure
      Schedule (3.19),
      as
      amended from time to time in accordance with paragraph (d) of Annex C.

     

    "Borrower"
      has the
      meaning ascribed thereto in the preamble to the Agreement.

    
      
        
        

      

      
        A-3

        
          

        

      

      
        
        

      

    

     

    "Borrowing
      Availability"
      means
      as of any date of determination the Maximum Amount less
      the sum
      of (i) the Revolving Loan and Swing Line Loan then outstanding and (ii) the
      Reserves as then in effect.

     

    "Brindlee
      Holdings"
      means
      Brindlee Holdings LLC, a Delaware limited liability company. 

     

    "Business
      Day"
      means
      any day that is not a Saturday, a Sunday or a day on which banks are required
      or
      permitted to be closed in the State of New York and in reference to LIBOR Loans
      shall mean any such day that is also a LIBOR Business Day. 

     

    "Capital
      Lease"
      means,
      with respect to any Person, any lease of any property (whether real, personal
      or
      mixed) by such Person as lessee that, in accordance with GAAP, would be required
      to be classified and accounted for as a capital lease on a balance sheet of
      such
      Person.

     

    "Capital
      Lease Obligation"
      means,
      with respect to any Capital Lease of any Person, the amount of the obligation
      of
      the lessee thereunder that, in accordance with GAAP, would appear on a balance
      sheet (excluding the footnotes thereto) of such lessee in respect of such
      Capital Lease.

     

    "Cash
      Management Systems"
      has the
      meaning ascribed to it in Section
      1.8.

     

    "CERCLA"
      has the
      meaning ascribed to it in the definition of Environmental Laws.

     

    "Change
      of Control"
      means
      any of the following: (a) any person or group of persons (within the meaning
      of
      the Securities Exchange Act of 1934), other than Permitted Holders, shall have
      acquired beneficial ownership (within the meaning of Rule 13d-3 promulgated
      by
      the Securities and Exchange Commission under the Securities Exchange Act of
      1934) of 50% or more of the issued and outstanding shares of capital Stock
      of
      Borrower having the right to vote for the election of directors of Borrower
      under ordinary circumstances; (b) during any period of twelve consecutive
      calendar months, individuals who at the beginning of such period constituted
      the
      board of directors of Borrower (together with any new directors whose election
      by the board of directors of Borrower or whose nomination for election by the
      Stockholders of Borrower was approved by a vote of at least a majority of the
      directors then still in office who either were directors at the beginning of
      such period or whose election or nomination for election was previously so
      approved) cease for any reason other than death or disability to constitute
      a
      majority of the directors then in office; (c) Borrower ceases to own and control
      all of the economic and voting rights associated with all of the outstanding
      capital Stock of any of its Subsidiaries; or (d) a "change of control" or
      similar event shall occur as provided in any Subordinated Debt Document and,
      on
      and after the execution, delivery and/or Incurrence thereof, or any
      other
      agreement governing or evidencing any other material Indebtedness of
      Borrower.

    
      
        
        

      

      
        A-4

        
          

        

      

      
        
        

      

    

     

    "Charges"
      means
      all federal, state, county, city, municipal, local, foreign or other
      governmental taxes (including taxes owed to the PBGC at the time due and
      payable), levies, assessments, charges or claims upon or relating to (a) the
      Collateral, (b) the Obligations, (c) the employees, payroll, income or gross
      receipts of any Credit Party, (d) any Credit Party's ownership or use of
      any properties or other assets, or (e) any other aspect of any Credit Party's
      business.

     

    "Chattel
      Paper"
      means
      any "chattel paper," as such term is defined in the Code, including electronic
      chattel paper, now owned or hereafter acquired by any Credit Party, wherever
      located.

     

    "Closing
      Checklist"
      means
      the schedule, including all appendices, exhibits or schedules thereto, listing
      certain documents and information to be delivered in connection with the
      Agreement, the other Loan Documents and the transactions contemplated
      thereunder, substantially in the form attached hereto as Annex
      D.

     

    "Code"
      means
      the Uniform Commercial Code as the same may, from time to time, be enacted
      and
      in effect in the State of New York; provided,
      that
to
      the
      extent that the Code is used to define any term herein or in any Loan Document
      and such term is defined differently in different Articles or Divisions of
      the
      Code, the definition of such term contained in Article or Division 9 shall
      govern; provided further,
      that in
      the
      event that, by reason of mandatory provisions of law, any or all of the
      attachment, perfection or priority of, or remedies with respect to, Agent's
      or
      any Lender's Lien on any Collateral is governed by the Uniform Commercial Code
      as enacted and in effect in a jurisdiction other than the State of New York,
      the
      term "Code" shall mean the Uniform Commercial Code as enacted and in effect
      in
      such other jurisdiction solely for purposes of the provisions thereof relating
      to such attachment, perfection, priority or remedies and for purposes of
      definitions related to such provisions.

     

    "Collateral"
      means
      the property covered by the Security Agreement, the Mortgages, the Pledge
      Agreements and the other Collateral Documents and any other property, real
      or
      personal, tangible or intangible, now existing or hereafter acquired, that
      may
      at any time be or become subject to a security interest or Lien in favor of
      Agent, on behalf of itself and Lenders, to secure the Obligations.

     

    "Collateral
      Documents"
      means
      the Security Agreement, the Pledge Agreements, the Guaranties, the Mortgages,
      the Patent Security Agreement, the Trademark Security Agreement, the Copyright
      Security Agreement, the Omnibus Reaffirmation Agreement and all similar
      agreements entered into guaranteeing payment of, or granting a Lien upon
      property as security for payment of, the Obligations.

     

    "Collateral
      Reports"
      means
      the reports with respect to the Collateral referred to in Annex
      F.

     

    "Collection
      Account"
      means
      that certain account of Agent, account number 502-328-54 in the name of Agent
      at
      Deutsche Bank Trust Company Americas in New York, New York ABA No. 021 001
      033,
      or such other account as may be specified in writing by Agent as the "Collection
      Account."

    
      
        
        

      

      
        A-5

        
          

        

      

      
        
        

      

    

     

    "Commitment
      Termination Date"
      means
      the earliest of (a) July 3, 2011, (b) the date of termination of Lenders'
      obligations to make Advances or permit existing Loans to remain outstanding
      pursuant to Section
      8.2(b),
      and (c)
      the date of indefeasible prepayment in full by Borrower of the Loans and the
      permanent reduction of the Commitments to zero dollars ($0).

     

    "Commitments"
      means
      (a) as to any Lender, the aggregate of such Lender's Revolving Loan Commitment
      (including without duplication the Swing Line Lender's Swing Line Commitment
      as
      a subset of its Revolving Loan Commitment) and Total Term Loan Commitment as
      set
      forth on Annex
      J
      to the
      Agreement or in the most recent Assignment Agreement executed by such Lender
      and
      (b) as to all Lenders, the aggregate of all Lenders' Revolving Loan Commitments
      (including without duplication the Swing Line Lender's Swing Line Commitment
      as
      a subset of its Revolving Loan Commitment) and Total Term Loan Commitments,
      which aggregate commitment shall be One Hundred Thirty-Five Million Dollars
      ($135,000,000) on the Restatement Closing Date, as to each of clauses
      (a) and (b),
      as such
      Commitments may be reduced, amortized or adjusted from time to time in
      accordance with the Agreement.

     

    "Communications
      Laws"
      means,
      collectively, (i)
      the
      Communications Act of 1934, as amended, and the rules, orders, regulations
      and
      other applicable requirements of the FCC promulgated thereunder, as from time
      to
      time in effect
      and
      applicable to the Telecommunications Business; (ii) the Copyright Act of 1976,
      as amended, and the rules, orders, regulations and other applicable requirements
      of the Copyright Office promulgated thereunder, as from time to time in effect
      and applicable to the Telecommunications Business; (iii) the laws of any state
      governing or regulating the provision of any telecommunications services offered
      as part of the Telecommunications Business; (iv) the rules, orders, regulations
      and other applicable requirements of any PUC as from time to time in effect
      and
      applicable to the Telecommunications Business; and (v) the ordinances, rules,
      orders, regulations agreements and other applicable requirements of any
      Franchising Authority as from time to time in effect and applicable to the
      Telecommunications Business.

     

    "Communications
      License"
      means
      any license, authorization, certification, waiver or permit required from the
      FCC, any PUC, any Franchising Authority or any other relevant Governmental
      Authority acting under applicable law or regulations pertaining to or regulating
      the Telecommunications Business of the Credit Parties, including any FCC
      License, any PUC Authorization and any Franchise.

     

    "Compliance
      Certificate"
      has the
      meaning ascribed to it in Annex
      E.

     

    "Condemnation"
      means
      any taking of Property, or any part thereof or interest therein, for public
      or
      quasi-public use under the power of eminent domain, by reason of any public
      improvement or condemnation proceeding, or in any other manner.

    
      
        
        

      

      
        A-6

        
          

        

      

      
        
        

      

    

     

    "Consolidated
      Capital Expenditures"
      means,
      with respect to the Credit Parties, all expenditures (by the expenditure of
      cash
      or the Incurrence of Indebtedness) by the Credit Parties during any measuring
      period for any fixed assets or improvements or for replacements, substitutions
      or additions thereto, that have a useful life of more than one year and that
      are
      required to be capitalized under GAAP. Notwithstanding
      anything to the contrary contained above or otherwise required by GAAP, to
      the
      extent the amount of Consolidated Capital Expenditures is to be determined
      for
      purposes of calculating Consolidated Fixed Charges for any period ending on
      or
      prior to the first anniversary of the Restatement Closing Date, Consolidated
      Capital Expenditures shall be deemed to equal the product of the aggregate
      amount of Consolidated Capital Expenditures for the period commencing on the
      Restatement Closing Date and ending on the applicable date of determination,
      in
      each case multiplied by a fraction, the numerator of which is twelve (12) and
      the denominator of which is the number of full months occurring since July
      1,
      2006.

     

    "Consolidated
      Depreciation and Amortization Expense"
      means
      with respect to the Credit Parties for any period, the total amount of
      depreciation and amortization expense of the Credit Parties for such period
      on a
      consolidated basis and otherwise determined in accordance with GAAP.

     

    "Consolidated
      EBITDA"
      means,
      with respect to the Credit Parties for any period, Consolidated Net Income
      for
      such period plus, without duplication: (i) taxes paid and provision for taxes
      based on income or profits of the Credit Parties for such period to the extent
      such taxes or provision for taxes were deducted in computing Consolidated Net
      Income, plus (ii) Consolidated Interest Expense for such period to the extent
      the same was deducted in computing Consolidated Net Income, plus (iii)
      Consolidated Depreciation and Amortization Expense for such period to the extent
      such Consolidated Depreciation and Amortization Expense was deducted in
      computing Consolidated Net Income, plus (iv) any non-recurring fees, expenses
      or
      charges related to any Securities Offering, any Investment permitted pursuant
      to
Section
      6.2,
      acquisition or Indebtedness permitted to be Incurred by the Agreement (in each
      case, whether or not successful), deducted in such period in computing
      Consolidated Net Income, plus (v) the amount of annual management and advisory
      fees and related expenses paid to Seaport Capital deducted in such period in
      computing Consolidated Net Income during any period prior to the Original
      Closing Date, plus (vi) any other non-cash charges reducing Consolidated Net
      Income for such period (excluding any such charge which requires an accrual
      of,
      or cash reserve for, anticipated cash charges for any future period).
      Notwithstanding the foregoing, the provision for taxes based on the income
      or
      profits of, and the depreciation and amortization of, a Subsidiary of Borrower
      shall be added to Consolidated Net Income to compute Consolidated EBITDA only
      to
      the extent (and in the same proportion) that the Net Income of such Subsidiary
      was included in calculating Consolidated Net Income and only if a corresponding
      amount would be permitted at the date of determination to be paid as a dividend
      to Borrower by such Subsidiary without prior approval (that has not been
      obtained), pursuant to the terms of its charter and all agreements, instruments,
      judgments, decrees, orders, statutes, rules and governmental regulations
      applicable to such Subsidiary or its stockholders. Notwithstanding
      anything to the contrary contained above or otherwise required by GAAP, to
      the
      extent Consolidated EBITDA is to be determined (i) for the four Fiscal Quarters
      ending on March 31, 2006, Consolidated
      EBITDA for such Fiscal Quarters shall be as set forth on Schedule
      A-1,
      or (ii)
      for any
      other
      period that includes any of the Fiscal Quarters ending on September 30, 2005,
      December 31, 2005, March 31, 2006 and June 30, 2006, Consolidated EBITDA for
      such Fiscal Quarters shall be as set forth on Schedule
      A-2. 

     

    
      
        
        

      

      
        A-7

        
          

        

      

      
        
        

      

    

     

    "Consolidated
      Fixed Charges"
      means,
      with respect to the Credit Parties for any fiscal period, (a) the aggregate
      of
      all Consolidated Interest Expense during such period (excluding any PIK Amounts
      Incurred during such period), plus (b) scheduled payments of principal with
      respect to Indebtedness of the Credit Parties during such period (excluding
      any
      such payments of principal made prior to the Restatement Closing Date), plus
      (c)
      Consolidated Capital Expenditures during such period (other
      than Consolidated Capital Expenditures to the extent financed with equity
      proceeds, asset sale proceeds, insurance or condemnation proceeds or
      Indebtedness),
      plus
      (d) all Taxes paid in cash during such period (excluding any such Taxes paid
      in
      cash to the extent the same constitute Taxes of the Mid-Maine Entities paid
      in
      cash during such period that are properly allocable to periods prior to the
      Restatement Closing Date); provided,
      however,
      that in
      connection with payments described:
      

     

    (I)
      in
      clause (b) of this definition, to the extent such payments constitute scheduled
      payments of principal made during the period commencing on the Restatement
      Closing Date and ending prior to the first anniversary of the Restatement
      Closing Date, such scheduled payments shall be deemed to equal the product
      of
      the aggregate amount of such principal payments made during the period
      commencing on the Restatement Closing Date and ending on the applicable date
      of
      determination, multiplied by a fraction, the numerator of which is twelve (12)
      and the denominator of which is the number of full months occurring since July
      1, 2006; and 

     

    (II)
      in
      clause (d) of this definition, to the extent such Taxes paid in cash constitute
      Taxes of the Mid-Maine Entities paid in cash during the period commencing on
      the
      Restatement Closing Date and ending prior to the first anniversary of the
      Restatement Closing Date, such Taxes of the Mid-Maine Entities paid in cash
      shall be deemed to equal the product of the Monthly Allocated Tax Amount,
      multiplied by a fraction, the numerator of which is twelve (12) and the
      denominator of which is the number of full months occurring since July 1, 2006.
      For purposes of this clause (II), "Monthly
      Allocated Tax Amount"
      means
      the product of (A) the aggregate amount of Taxes of the Mid-Maine Entities
      (x)
      properly allocable to periods on or after the Restatement Closing Date and
      (y)
      paid in cash by or for the account of the Mid-Maine Entities during the period
      commencing on the Restatement Closing Date and ending on the applicable date
      of
      determination (the "Post
      Restatement Date MM Taxes")
      divided by the number of days after the Restatement Date for which all such
      Post
      Restatement Date MM Taxes are properly allocable multiplied by (B) 30.

     

    "Consolidated
      Fixed Charge Coverage Ratio"
      means,
      as of any date of determination, the ratio of (a) Consolidated EBITDA for the
      period of four consecutive Fiscal Quarters most recently ended on or prior
      to
      such date to (b) Consolidated Fixed Charges for such period.

     

    
      
        
        

      

      
        A-8

        
          

        

      

      
        
        

      

    

    "Consolidated
      Interest Expense"
      means,
      with respect to the Credit Parties for any period, consolidated interest expense
      of the Credit Parties for such period, to the extent such expense was deducted
      in computing Consolidated Net Income, determined on a consolidated basis and
      otherwise determined in accordance with GAAP, plus, to the extent not included
      in such consolidated interest expense, and to the extent Incurred by any Credit
      Party, without duplication: (i) interest expense attributable to leases
      constituting part of a Sale/Leaseback Transaction and/or Capital Lease
      Obligations, (ii) amortization of debt discount and debt issuance cost, (iii)
      capitalized interest (including, for the avoidance of doubt, any PIK Amounts),
      (iv) non-cash interest expense, (v) commissions, discounts and other fees and
      charges owed with respect to letters of credit and bankers' acceptance
      financing, (vi) net costs associated with Hedging Obligations (including
      amortization of fees), (vii) interest Incurred in connection with Investments
      in
      discontinued operations, (viii) interest in respect of Indebtedness of any
      other
      Person to the extent such Indebtedness is guaranteed by any Credit Party, but
      only to the extent that such interest is actually paid by any Credit Party,
      (ix)
      the earned discount or yield with respect to the sale of receivables and (x)
      accrued interest on Subordinated Debt, whether or not it is deductible for
      tax
      purposes (and whether or not it is deferred). Notwithstanding
      anything to the contrary contained above or otherwise required by GAAP, to
      the
      extent Consolidated Interest Expense is to be determined for purposes of
      calculating Consolidated Fixed Charges for any period ending on or prior to
      March 31, 2007, Consolidated Interest Expense shall be deemed to equal actual
      Consolidated Interest Expense for the period commencing on July 1, 2006 and
      ending on the applicable date of determination, in each case multiplied by
      a
      fraction, the numerator
      of which is twelve (12) and the denominator of which is the number of full
      months occurring since July 1, 2006.

     

    "Consolidated
      Net Income"
      means,
      with respect to the Credit Parties for any period, the aggregate of the Net
      Income of the Credit Parties for such period, on a consolidated basis;
provided,
      however,
      that:
      (i) any net after-tax extraordinary gains or losses (less all fees and expenses
      relating thereto) shall be excluded; (ii) any increase in amortization or
      depreciation resulting from purchase accounting in relation to any acquisition
      that is consummated after the Closing Date, net of taxes, shall be excluded;
      (iii) the Net Income for such period shall not include the cumulative effect
      of
      a change in accounting principles during such period; (iv) any net after-tax
      income or loss from discontinued operations and any net after-tax gains or
      losses on disposal of discontinued operations shall be excluded; (v) any net
      after-tax gains or losses (less all fees and expenses relating thereto)
      attributable to asset dispositions other than in the ordinary course of business
      (as determined in good faith by the Board of Directors) shall be excluded;
      (vi)
      the Net Income for such period of any Person that is not a Subsidiary of
      Borrower, or that is accounted for by the equity method of accounting, shall
      be
included
      only to the extent of the amount of dividends or distributions or other payments
      paid in cash (or to the extent converted into cash) to Borrower or a Subsidiary
      thereof in respect of such period; (vii) the Net Income for such period of
      any
      Subsidiary shall be excluded to the extent that the declaration or payment
      of
      dividends or similar distributions by such Subsidiary of its Net Income is
      not
      at the date of determination permitted without any prior governmental approval
      (which has not been obtained) or, directly or indirectly, by the operation
      of
      the terms of its charter or any agreement, instrument, judgment, decree, order,
      statute, rule or governmental regulation applicable to that Subsidiary or its
      stockholders, unless such restrictions with respect to the payment of dividends
      or in similar distributions have been legally waived; provided
      that the
      net loss of any such Subsidiary shall be included; (viii) any non-cash
      compensation expenses realized for grants of performance shares, stock options
      or other stock awards to officers, directors and employees of Borrower or any
      Subsidiary shall be excluded and (ix) any non-cash impairment charges resulting
      from the application of Statement of Financial Accounting Standards No. 142
      shall be excluded. 

     

    
      
        
        

      

      
        A-9

        
          

        

      

      
        
        

      

    

    "Consolidated
      Senior Leverage Ratio"
      means,
      as of any date of determination, the ratio of (a) the outstanding amount of
      Consolidated Senior Secured Debt as of such date to (b) Consolidated EBITDA
      for
      the period of four consecutive Fiscal Quarters most recently ended on or prior
      to such date.

     

    "Consolidated
      Senior Secured Debt"
      means,
      as of any date of determination, the sum of (i) the outstanding principal amount
      of the Loans hereunder, plus (ii) the aggregate stated balance sheet amount
      of
      all Capital Lease Obligations of the Credit Parties on a consolidated basis,
      and
      (iii) any other secured Indebtedness of the Credit Parties on a consolidated
      basis.

     

    "Consolidated
      Total Debt"
      means,
      as of any date of determination, without duplication, the sum of (a) the
      aggregate stated balance sheet amount of all Indebtedness of the Credit Parties
      on a consolidated basis, including the outstanding principal amount of
      Consolidated Senior Secured Debt and the Subordinated Notes, (b) the stated
      amount of all reimbursement and other obligations of the Credit Parties with
      respect to letters of credit, bankers' acceptances, bank guaranties, surety
      bonds and similar instruments, whether or not matured, and (c) the aggregate
      stated balance sheet amount or the stated amount of all Guaranteed Indebtedness
      (except Guaranteed Indebtedness with respect to which the primary obligation
      is
      not itself Indebtedness) as to the Credit Parties on a consolidated
      basis.

     

    "Consolidated
      Total Leverage Ratio"
      means,
      as of any date of determination, the ratio of (a) the outstanding amount of
      Consolidated Total Debt as of such date to (b) Consolidated EBITDA for the
      Test
      Period most recently ended on or prior to such date.

     

    "Contracts"
      means
      all "contracts," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, in any event, including all contracts,
      undertakings, or agreements (other than rights evidenced by Chattel Paper,
      Documents or Instruments) in or under which any Credit Party may now or
      hereafter have any right, title or interest, including any agreement relating
      to
      the terms of payment or the terms of performance of any Account.

     

    "Control
      Letter"
      means a
      letter agreement between Agent and (i) the issuer of uncertificated securities
      with respect to uncertificated securities in the name of any Credit Party,
      (ii)
      a securities intermediary with respect to securities, whether certificated
      or
      uncertificated, securities entitlements and other financial assets held in
      a
      securities account in the name of any Credit Party or (iii) a futures commission
      merchant or clearing house, as applicable, with respect to commodity accounts
      and commodity contracts held by any Credit Party, whereby, among other things,
      the issuer, securities intermediary or futures commission merchant disclaims
      any
      security interest in the applicable financial assets, acknowledges the Lien
      of
      Agent, on behalf of itself and Lenders, on such financial assets, and agrees
      to
      follow the instructions or entitlement orders of Agent without further consent
      by the affected Credit Party.

     

    
      
        
        

      

      
        A-10

        
          

        

      

      
        
        

      

    

    "Copyright
      License"
      means
      any and all rights now owned or hereafter acquired by any Credit Party under
      any
      written agreement granting any right to use any Copyright or Copyright
      registration.

     

    "Copyright
      Office"
      means
      the United States Copyright Office or
      any
      similar office or agency of the United States, any state or territory thereof,
      or any other country or any political subdivision thereof.

     

    "Copyright
      Security Agreements"
      means
      the Copyright Security Agreements made in favor of Agent, on behalf of itself
      and Lenders, by each applicable Credit Party.

     

    "Copyrights"
      means
      all of the following now owned or hereafter adopted or acquired by any Credit
      Party: (a) all
      copyrights and General Intangibles of like nature (whether registered or
      unregistered), all registrations and recordings thereof, and all applications
      in
      connection therewith, including all registrations, recordings and applications
      in any Copyright
      Office
      and (b)
      all reissues, extensions or renewals thereof.

     

    "Credit
      Parties"
      means
      Borrower and each of its Subsidiaries. 

     

    "Debt
      Issuance"
      means
      the Incurrence by any Credit Party of any Indebtedness.

     

    "Default"
      means
      any event that, with the passage of time or notice or both, would, unless cured
      or waived, become an Event of Default.

     

    "Deferred
      Interest"
      means
      accrued interest (including interest on Deferred Interest) on the IDS
      Subordinated Notes or any other Subordinated Debt for any period the payment
      of
      which is deferred pursuant to the applicable IDS Subordinated Notes Indenture
      or
      other applicable Additional Subordinated Debt Document.

     

    "Deposit
      Accounts"
      means
      all "deposit accounts" as such term is defined in the Code, now or hereafter
      held in the name of any Credit Party.

     

    "Disbursement
      Account"
      means
      each deposit account designated as a "Disbursement Account" on Disclosure
      Schedule (3.19),
      as
      amended from time to time in accordance with paragraph (d) of Annex
      C.

     

    "Disclosure
      Schedules"
      means
      the Schedules prepared by Borrower and denominated as Disclosure
      Schedules (1.4) through (6.16)
      in the
      Index to the Agreement.

     

    
      
        
        

      

      
        A-11

        
          

        

      

      
        
        

      

    

    "Disposition"
      means
      (i) any sale, assignment, lease,
      transfer or other disposition (including any Sale/Leaseback Transaction or
      any
      sale of any of Stock of any Subsidiary of Borrower) of any Property by any
      Credit Party to any other Person and/or (ii) any casualty to any Property or
      any
      Condemnation. The term Disposition shall not include any Debt Issuance or Stock
      Issuance.

     

    "Disqualified
      Stock"
      means,
      with respect to any Person, any Stock of such Person which, by its terms (or
      by
      the terms of any security into which it is convertible or for which it is
      redeemable or exchangeable), or upon the happening of any event: (i) matures
      or
      is mandatorily redeemable, pursuant to a sinking fund obligation or otherwise;
      (ii) is convertible or exchangeable for Indebtedness or Disqualified Stock;
      or
      (iii) is redeemable at the option of the holder thereof, in whole or in part,
      in
      each case prior to the first anniversary of the maturity date of the Initial
      IDS
      Subordinated Notes issued on the Original Closing Date; provided,
      however,
      that
      only the portion of Stock which so matures or is mandatorily redeemable, is
      so
      convertible or exchangeable or is so redeemable at the option of the holder
      thereof prior to such first anniversary shall be deemed to be Disqualified
      Stock; provided further,
      however,
      that if
      such Stock is issued to any employee or to any plan for the benefit of employees
      of Borrower or its Subsidiaries or by any such plan to such employees, such
      Stock shall not constitute Disqualified Stock solely because it may be required
      to be repurchased by Borrower in order to satisfy applicable statutory or
      regulatory obligations or as a result of such employee's termination, death
      or
      disability. Notwithstanding any provision to the contrary herein, Borrower's
      Class B common stock that is exchangeable for Initial IDS-Linked
      Subordinated Notes shall not be Disqualified Stock. In addition, notwithstanding
      clause (iii) of this definition, any Stock that would constitute Disqualified
      Stock solely because the holders thereof have the right to require Borrower
      to
      repurchase such Stock upon the occurrence of a change of control or an asset
      sale shall not constitute Disqualified Stock if the terms of such Stock provide
      that Borrower may not repurchase or redeem any such Stock pursuant to such
      provisions unless such repurchase or redemption complies with Section
      6.14.
      

     

    "Distributable
      Cash"
      means,
      as of any specified date, an
      amount
      of cash equal to the remainder of:

     

    
      	 	
              (a)

            	
              Consolidated
                EBITDA for the
                period (taken as one accounting period) from January 1, 2005 through
                the
                end of the Fiscal Quarter most recently ended prior to such specified
                date
                (for these purposes, the subject
                period), less 

            

    

     

    
      	 	
              (b)

            	
              the
                sum of:

            

    

     

    (i)
      Consolidated Interest Expense (exclusive of original issue discount
      amortization, non-cash interest expense (including any PIK Amounts) and current
      and deferred interest payable with respect to the Subordinated Debt) for such
      subject period; 

     

    
      
        
        

      

      
        A-12

        
          

        

      

      
        
        

      

    

    (ii)
      any
      mandatory prepayment during such subject period that results in a permanent
      reduction to the principal amount (or commitments under a revolving facility)
      of
      Indebtedness payable under the Loan Documents prior to its scheduled maturity
      (to the extent not included in clause (i) above) for such subject period (other
      than any mandatory prepayment pursuant to Section
      1.3(b)(ii), (iii) or (vi));
      provided
      that if
      such Indebtedness is Incurred in any such period that replaces such Indebtedness
      previously prepaid or commitments under a revolving facility are increased
      to
      previous levels, which prepayment (or reduction in commitments under a revolving
      credit facility) resulted in a reduction to Distributable Cash pursuant to
      this
      clause, Distributable Cash shall be increased by an amount up to such previous
      reduction; 

     

    (iii)
      Consolidated Capital Expenditures made in cash during such subject period
      (except to the extent financed with (x) an Incurrence of Indebtedness, until
      such Indebtedness is repaid, (y) equity proceeds or (z) insurance proceeds)
      minus
      Net Cash
      Proceeds (except to the extent such Net Cash Proceeds is included in
      Consolidated EBITDA) of any Disposition applied during such subject period
      pursuant to the IDS Subordinated Notes Indenture and this Agreement to finance
      such Consolidated Capital Expenditures; and

     

    (iv)
      consolidated cash income Tax expense of the Credit Parties for income Taxes
      paid
      in cash during such subject period minus
      cash
      income tax refunds received by any of the Credit Parties during such subject
      period; 

     

    provided,
      however,
      that
      amounts shall be included in this clause
      (b)
      for any
      period only to the extent not duplicative of any cost or expense which is
      reflected in Consolidated Net Income for such period and which has not been
      added back to Net Income in calculating Consolidated EBITDA for such
      period. 

     

    "Dividend
      Suspension Period"
      means,
      with respect to any period (for these purposes, the "subject
      period")
      consisting of one or more consecutive, four-Fiscal Quarter periods of Borrower
      as of the end of which either (a) the Consolidated Fixed Charge Coverage Ratio
      is less than 1.14 to 1.00 or (b) the Consolidated Senior Leverage Ratio is
      greater than 3.80 to 1.00, the period commencing on the date Borrower is
      required to deliver a Compliance Certificate pursuant to Section
      4.1
      in
      respect of the first such four-Fiscal Quarter period in such subject period
      and
      ending on date on which Borrower delivers a Compliance Certificate pursuant
      to
Section
      4.1
      in
      respect of the last Fiscal Quarter of Borrower in such subject period.

     

    "Documents"
      means
      any "documents," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, wherever located.

     

    "Dollars"
      or
      "$"
      means
      lawful currency of the United States of America.

     

    "Environmental
      Laws"
      means
      all applicable federal, state, local and foreign laws, statutes, ordinances,
      codes, rules and regulations, now or hereafter in effect, and any applicable
      judicial or administrative interpretation thereof, including any applicable
      judicial or administrative order, consent decree, order or judgment, imposing
      liability or standards of conduct for or relating to the regulation and
      protection of human health, safety, the environment and natural resources
      (including ambient air, surface water, groundwater, wetlands, land surface
      or
      subsurface strata, wildlife, aquatic species and vegetation). Environmental
      Laws
      include the Comprehensive Environmental Response, Compensation, and Liability
      Act of 1980 (42 U.S.C. §§ 9601 et
      seq.)
      ("CERCLA");
      the
      Hazardous Materials Transportation Authorization Act of 1994 (49 U.S.C. §§ 5101
et
      seq.);
      the
      Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. §§ 136
et
      seq.);
      the
      Solid Waste Disposal Act (42 U.S.C. §§ 6901 et
      seq.);
      the
      Toxic Substance Control Act (15 U.S.C. §§ 2601 et
      seq.);
      the
      Clean Air Act (42 U.S.C. §§ 7401 et
      seq.);
      the
      Federal Water Pollution Control Act (33 U.S.C. §§ 1251 et
      seq.);
      the
      Occupational Safety and Health Act (29 U.S.C. §§ 651 et
      seq.);
      and
      the Safe Drinking Water Act (42 U.S.C. §§ 300(f) et
      seq.),
      and
      any and all regulations promulgated thereunder, and all analogous state, local
      and foreign counterparts or equivalents and any transfer of ownership
      notification or approval statutes.

     

    
      
        
        

      

      
        A-13

        
          

        

      

      
        
        

      

    

    "Environmental
      Liabilities"
      means,
      with respect to any Person, all liabilities, obligations, responsibilities,
      response, remedial and removal costs, investigation and feasibility study costs,
      capital costs, operation and maintenance costs, losses, damages, punitive
      damages, property damages, natural resource damages, consequential damages,
      treble damages, costs and expenses (including all reasonable fees, disbursements
      and expenses of counsel, experts and consultants), fines, penalties, sanctions
      and interest incurred as a result of or related to any claim, suit, action,
      investigation, proceeding or demand by any Person, whether based in contract,
      tort, implied or express warranty, strict liability, criminal or civil statute
      or common law, including any arising under or related to any Environmental
      Laws,
      Environmental Permits, or in connection with any Release or threatened Release
      or presence of a Hazardous Material whether on, at, in, under, from or about
      or
      in the vicinity of any real or personal property.

     

    "Environmental
      Permits"
      means
      all permits, licenses, authorizations, certificates, approvals or registrations
      required by any Governmental Authority under any Environmental
      Laws.

     

    "Equipment"
      means
      all "equipment," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, wherever located and, in any event, including
      all
      such Credit Party's machinery and equipment, including processing equipment,
      conveyors, machine tools, data processing and computer equipment, including
      embedded software and peripheral equipment and all engineering, processing
      and
      manufacturing equipment, office machinery, furniture, materials handling
      equipment, tools, attachments, accessories, automotive equipment, trailers,
      trucks, forklifts, molds, dies, stamps, motor vehicles, rolling stock and other
      equipment of every kind and nature, trade fixtures and fixtures not forming
      a
      part of real property, together with all additions and accessions thereto,
      replacements therefor, all parts therefor, all substitutes for any of the
      foregoing, fuel therefor, and all manuals, drawings, instructions, warranties
      and rights with respect thereto, and all products and proceeds thereof and
      condemnation awards and insurance proceeds with respect thereto.

     

    
      
        
        

      

      
        A-14

        
          

        

      

      
        
        

      

    

    "ERISA"
      means
      the Employee Retirement Income Security Act of 1974, as amended from time to
      time, and any regulations promulgated thereunder.

     

    "ERISA
      Affiliate"
      means,
      with respect to any Credit Party, any trade or business (whether or not
      incorporated) that, together with such Credit Party, are treated as a single
      employer within the meaning of Sections 414(b), (c), (m) or (o) of the
      IRC.

     

    "ERISA
      Event"
      means,
      with respect to any Credit Party or any ERISA Affiliate, (a) any event described
      in Section 4043(c) of ERISA with respect to a Title IV Plan; (b) the withdrawal
      of any Credit Party or ERISA Affiliate from a Title IV Plan subject to Section
      4063 of ERISA during a plan year in which it was a substantial employer, as
      defined in Section 4001(a)(2) of ERISA; (c) the complete or partial withdrawal
      (within the meaning of Section 4203 or 4205 of ERISA) of any Credit Party or
      any
      ERISA Affiliate from any Multiemployer Plan; (d) the filing of a notice of
      intent to terminate a Title IV Plan or the treatment of a plan amendment as
      a
      termination under Section 4041 of ERISA; (e) the institution of proceedings
      to
      terminate a Title IV Plan or Multiemployer Plan by the PBGC; (f) the failure
      by
      any Credit Party or ERISA Affiliate to make when due required contributions
      to a
      Multiemployer Plan or Title IV Plan unless such failure is cured within thirty
      (30) days; (g) any other event or condition that could reasonably be expected
      to
      constitute grounds under Section 4042 of ERISA for the termination of, or the
      appointment of a trustee to administer, any Title IV Plan or Multiemployer
      Plan
      or for the imposition of liability under Section 4069 or 4212(c) of ERISA;
      (h)
      the termination of a Multiemployer Plan under Section 4041A of ERISA or the
      reorganization or insolvency of a Multiemployer Plan under Section 4241 or
      4245
      of ERISA; or (i) the loss of a Qualified Plan's qualification or tax exempt
      status; or (j) the termination of a Plan described in Section 4064 of
      ERISA.

     

    "ESOP"
      means a
      Plan that is intended to satisfy the requirements of Section 4975(e)(7) of
      the
      IRC.

     

    "Event
      of Default"
      has the
      meaning ascribed to it in Section
      8.1.

     

    "Excess
      Cash"
      means,
      as of any specified date, an
      amount
      equal to the remainder of (a)
      Distributable Cash for
      the
      period (taken
      as
      one accounting period) from January 1, 2005 through the end of the Fiscal
      Quarter most recently ended prior to such specified date (for these purposes,
      the subject
      period),
      less
      (b) the
      sum of cash interest payments (except for payments made pursuant to Section
      6.14(m))
      made by
      Borrower in respect of the Subordinated Debt during such subject period and
      on
      such specified date.

     

    "Excluded
      Account"
      means
      each deposit account designated as an "Excluded Account" on Disclosure
      Schedule (3.19),
      as
      amended from time to time in accordance with paragraph (d) of Annex
      C.

     

    "Excluded
      Debt Issuance Proceeds"
      means
      (a) the Net Cash Proceeds from the Debt Issuance pursuant to the transactions
      consummated on the Original Closing Date which constitute Original Related
      Transactions and which are consummated in accordance with the Original Related
      Transactions Documents as they exist on the Original Closing Date, (b) the
      Net
      Cash Proceeds from any Debt Issuance by any Credit Party that is permitted
      pursuant to Section
      6.3(a)(i), (ii), (iv), (v), (viii), (x), (xiii)
      or
(xvi),
      (c) the
      Net Cash Proceeds from any Debt Issuance by Borrower that is permitted pursuant
      to Section
      6.3(a)(vii),
      but
      only to the extent that the Net Cash Proceeds therefrom are applied (i)
      concurrently with the issuance thereof, to refinance Permitted Additional
      Subordinated Debt of Borrower in accordance with Section
      6.3(a)(vii)
      or (ii)
      not later than 90 days after any Debt Issuance referred to in this clause (c),
      the Net Cash Proceeds therefrom are applied (x) to finance a Permitted
      Acquisition or (y) to finance permitted Consolidated Capital Expenditures,
      and
      (d) the Net Cash Proceeds from any Debt Issuance by Borrower that is permitted
      pursuant to Section
      6.3(a)(xv),
      but
      only to the extent that the Net Cash Proceeds therefrom are applied (i)
      concurrently with the issuance thereof, to refinance IDS Subordinated Notes
      of
      Borrower in accordance with Section
      6.3(a)(xv)
      or
      Permitted Additional Subordinated Debt of Borrower in accordance with
Section
      6.3(a)(xv)
      or (ii)
      not later than 90 days after any Debt Issuance referred to in this clause (d),
      the Net Cash Proceeds therefrom are applied (x) to finance a Permitted
      Acquisition or (y) to finance permitted Consolidated Capital
      Expenditures.

     

    
      
        
        

      

      
        A-15

        
          

        

      

      
        
        

      

    

    "Excluded
      Disposition Proceeds"
      means
      (I) the Net Cash Proceeds of any Disposition permitted by Section
      6.8(a),
      (d),
      (f),
      (g) (h),
      (i)
      or
(j),
      (II)
      the Net Cash Proceeds of any Condemnation to the extent the application of
      such
      proceeds is addressed under a Mortgage and (III) the proceeds of casualty
      insurance which are addressed under Section
      5.4(c).
      

     

    

    "Excluded
      Stock Issuance Proceeds"
      means
      (a) the Net Cash Proceeds from the Stock Issuance pursuant to the transactions
      consummated on the Original Closing Date which constitute Original Related
      Transactions and which are consummated in accordance with the Original Related
      Transactions Documents, (b) the Net Cash Proceeds from any Stock Issuance by
      any
      Subsidiary of Borrower that is permitted pursuant to Section
      6.5,
      or (c)
      the Net Cash Proceeds from any Stock Issuance by Borrower that is permitted
      pursuant to Section
      6.5,
      but
      only to the extent that not later than 90 days after any such Stock Issuance
      by
      Borrower, such Net Cash Proceeds are applied (i) to finance a Permitted
      Acquisition, (ii) to finance permitted Consolidated Capital Expenditures, (iii)
      to prepay Subordinated Debt or (iv) to repurchase shares of Borrower’s common
      stock permitted by Section
      6.14(l).

     

    "Fair
      Labor Standards Act"
      means
      the Fair Labor Standards Act, 29 U.S.C. §201 et seq.

     

    "Fair
      Market Value"
      means,
      with respect to any asset or property, the price which could be negotiated
      in an
      arm's-length, free market transaction, for cash, between a willing seller and
      a
      willing and able buyer, neither of whom is under undue pressure or compulsion
      to
      complete the transaction. 

     

    "FCC"
      means
      the Federal Communications Commission and any successor thereto.

     

    
      
        
        

      

      
        A-16

        
          

        

      

      
        
        

      

    

    "FCC
      License"
      means
      any Governmental Authorization granted or issued by the FCC.

     

    "Federal
      Funds Rate"
      means,
      for any day, a floating rate equal to the federal funds effective rate publicly
      quoted from time to time by The Wall Street Journal
      as the
      federal funds "effective rate" (or, if The Wall Street
      Journal
      ceases
      quoting a federal funds effective rate, the weighted average of the rates on
      overnight federal funds transactions among members of the Federal Reserve System
      as determined by Agent by reference to the federal funds rate publicly quoted
      in
      a reputable business publication selected by Agent in good faith, which
      determination shall be final, binding and conclusive (absent manifest
      error)).

     

    "Federal
      Reserve Board"
      means
      the Board of Governors of the Federal Reserve System.

     

    "Fee
      Letters"
      means
      the GE Capital Fee Letter and the Lender Fee Letter.

     

    "Fees"
      means
      any and all fees payable to Agent or any Lender pursuant to the Agreement or
      any
      of the other Loan Documents.

     

    "Final
      Maturity Date"
      means
      July 3, 2011.

     

    "Financial
      Covenants"
      means
      the financial covenants set forth in Annex G.

     

    "Financial
      Statements"
      means
      the consolidated income statements, statements of cash flows and balance sheets
      of Borrower delivered in accordance with Section
      3.4
      and
Annex
      E.

     

    "Fiscal
      Month"
      means
      any of the monthly accounting periods of Borrower.

     

    "Fiscal
      Quarter"
      means
      any of the quarterly accounting periods of Borrower, ending on March 31, June
      30, September 30 and December 31 of each year.

     

    "Fiscal
      Year"
      means
      any of the annual accounting periods of Borrower ending on December 31 of each
      year.

     

    "Fixtures"
      means
      all "fixtures" as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party.

     

    "Franchise"
      means
      an initial Governmental Authorization or renewal thereof issued by a Franchising
      Authority which authorizes the acquisition, ownership, construction or operation
      of a cable television system.

     

    "Franchising
      Authority"
      means
      any Governmental Authority authorized by any federal, state or local law to
      grant a Franchise or to exercise jurisdiction over the rates or services
      provided by a cable television system pursuant to a Franchise or over Persons
      holding a Franchise.

     

    
      
        
        

      

      
        A-17

        
          

        

      

      
        
        

      

    

    "GAAP"
      means
      generally accepted accounting principles in the United States of America,
      consistently applied, as such term is further defined in Annex
      G
      to the
      Agreement.

     

    "GE
      Capital"
      means
      General Electric Capital Corporation, a Delaware corporation.

     

    "GE
      Capital Fee Letter"
      means
      that certain letter, dated as of May 2, 2006, between GE Capital and Borrower
      with respect to certain fees to be paid from time to time by Borrower to GE
      Capital.

     

    "General
      Intangibles"
      means
      "general intangibles," as such term is defined in the Code, now owned or
      hereafter acquired by any Credit Party, including all right, title and interest
      that such Credit Party may now or hereafter have in or under any Contract,
      all
      payment intangibles, customer lists, Licenses, Copyrights, Trademarks, Patents,
      and all applications therefor and reissues, extensions or renewals thereof,
      rights in Intellectual Property, interests in partnerships, joint ventures
      and
      other business associations, licenses, permits, copyrights, trade secrets,
      proprietary or confidential information, inventions (whether or not patented
      or
      patentable), technical information, procedures, designs, knowledge, know-how,
      software, data bases, data, skill, expertise, experience, processes, models,
      drawings, materials and records, goodwill (including the goodwill associated
      with any Trademark or Trademark License), all rights and claims in or under
      insurance policies (including insurance for fire, damage, loss and casualty,
      whether covering personal property, real property, tangible rights or intangible
      rights, all liability, life, key man and business interruption insurance, and
      all unearned premiums), uncertificated securities, choses in action, deposit,
      checking and other bank accounts, rights to receive tax refunds and other
      payments, rights to receive dividends, distributions, cash, Instruments and
      other property in respect of or in exchange for pledged Stock and Investment
      Property, rights of indemnification, all books and records, correspondence,
      credit files, invoices and other papers, including without limitation all tapes,
      cards, computer runs and other papers and documents in the possession or under
      the control of such Credit Party or any computer bureau or service company
      from
      time to time acting for such Credit Party, and any and all Governmental
      Authorizations to the extent permitted by applicable law.

     

    "Goods"
      means
      any "goods" as defined in the Code, now owned or hereafter acquired by any
      Credit Party, wherever located, including embedded software to
      the
      extent included in "goods" as defined in the Code, manufactured homes, standing
      timber that is cut and removed for sale and unborn young of animals.

     

    "Governmental
      Authority"
      means
      any nation or government, any state or other political subdivision thereof,
      and
      any agency, department, court, central bank or other entity exercising
      executive, legislative, judicial, regulatory or administrative functions of
      or
      pertaining to government (including, without limitation, the FCC, any PUC and
      any Franchising Authority).

     

    
      
        
        

      

      
        A-18

        
          

        

      

      
        
        

      

    

    "Governmental
      Authorization"
      means
      any authorization, approval, consent, franchise, license, covenant, order,
      ruling, permit, certification, exemption, notice, declaration or similar right,
      undertaking or other action of, to or by, or any material filing, qualification
      or registration with, any Governmental Authority, including any Communications
      License.

     

    "Grantor"
      has the
      meaning ascribed to it in the Security Agreement.

     

    "Guaranteed
      Indebtedness"
      means,
      as to any Person, any obligation of such Person guaranteeing, providing comfort
      or otherwise supporting any Indebtedness, lease, dividend, or other obligation
      ("primary
      obligation")
      of any
      other Person (the "primary
      obligor")
      in any
      manner, including any obligation or arrangement of such Person to
      (a) purchase or repurchase any such primary obligation, (b) advance or
      supply funds (i) for the purchase or payment of any such primary obligation
      or
      (ii) to maintain working capital or equity capital of the primary obligor
      or otherwise to maintain the net worth or solvency or any balance sheet
      condition of the primary obligor, (c) purchase property, securities or
      services primarily for the purpose of assuring the owner of any such primary
      obligation of the ability of the primary obligor to make payment of such primary
      obligation, (d) protect the beneficiary of such arrangement from loss (other
      than product warranties given in the ordinary course of business) or
      (e) indemnify the owner of such primary obligation against loss in respect
      thereof. The amount of any Guaranteed Indebtedness at any time shall be deemed
      to be an amount equal to the lesser at such time of (x) the stated or
      determinable amount of the primary obligation in respect of which such
      Guaranteed Indebtedness is incurred and (y) the maximum amount for which such
      Person may be liable pursuant to the terms of the instrument embodying such
      Guaranteed Indebtedness, or, if not stated or determinable, the maximum
      reasonably anticipated liability (assuming full performance) in respect
      thereof.

     

    "Guaranties"
      means,
      collectively, the Subsidiary Guaranty and any other guaranty executed by any
      Guarantor in favor of Agent and Lenders in respect of the
      Obligations.

     

    "Guarantor"
      means
      each Credit Party (other than Borrower and the PUC Restricted Subsidiaries)
      and
      each other Person, if any, that (i) executes a guaranty or other similar
      agreement in favor of Agent, for itself and the ratable benefit of Lenders,
      in
      connection with the transactions contemplated by the Agreement, or (ii) becomes
      a "Guarantor" under the Subsidiary Guaranty by the execution of a Joinder
      Agreement.

     

    "Hazardous
      Material"
      means
      any substance, material or waste that is regulated by, or forms the basis of
      liability now or hereafter under, any Environmental Laws, including any material
      or substance that is (a) defined as a "solid waste," "hazardous waste,"
      "hazardous material," "hazardous substance," "extremely hazardous waste,"
      "restricted hazardous waste," "pollutant," "contaminant," "hazardous
      constituent," "special waste," "toxic substance" or other similar term or phrase
      under any Environmental Laws, or (b) petroleum or any fraction or by-product
      thereof, asbestos, polychlorinated biphenyls (PCB's), or any radioactive
      substance.

     

    
      
        
        

      

      
        A-19

        
          

        

      

      
        
        

      

    

    "Hedging
      Obligations"
      means,
      with respect to any Person, the obligations of such Person under: (i) currency
      exchange, interest rate or commodity swap agreements, currency exchange,
      interest rate or commodity cap agreements and currency exchange, interest rate
      or commodity collar agreements; and (ii) other agreements or arrangements
      designed to protect such Person against fluctuations in currency exchange,
      interest rates or commodity prices.

     

    "Holding
      Companies"
      means
      each of Borrower, Brindlee Holdings, Hopper Holding, Mid-Missouri Holding,
      Page
      and Kiser Communications and Mid-Maine Holdco.

     

    "Hopper
      Holding"
      means
      Hopper Holding Company, Inc., an Alabama corporation. 

     

    "IDS
      Payment Date"
      means
      the 30th day of each March, June, September and December (or, if such day is
      not
      a Business Day, the first Business Day following such day) commencing March
      30,
      2005.

     

    "IDS
      Securities"
      means
      Initial IDS Securities and Subsequent IDS Securities.

     

    "IDS
      Subordinated Notes"
      means
      (i) the Initial IDS Subordinated Notes and (ii) any Subsequent IDS Subordinated
      Notes.

     

    "IDS
      Subordinated Notes Documents"
      means
      the Initial IDS Subordinated Notes Documents and any Subsequent IDS Subordinated
      Notes Documents.

     

    "IDS
      Subordinated Notes Indenture"
      means
      (i) the Initial IDS Subordinated Notes Indenture and (ii) the Subsequent IDS
      Subordinated Notes Indenture.

     

    "Imagination"
      means
      Imagination, Inc., a Missouri corporation.

     

    "Incur"
      means
      issue, assume, guarantee, incur or otherwise become liable for; provided,
      however,
      that
      any Indebtedness or Stock of a Person existing at the time such Person becomes
      a
      Subsidiary (whether by merger, consolidation, acquisition or otherwise) shall
      be
      deemed to be Incurred by such Person at the time it becomes a
      Subsidiary.

     

    "Indebtedness"
      means,
      with respect to any Person: (i) the principal and premium (if any) of any
      indebtedness of such Person, whether or not contingent: (a) in respect of
      borrowed money, (b) evidenced by bonds, notes, debentures or similar instruments
      or letters of credit or bankers' acceptances (or, without duplication,
      reimbursement agreements in respect thereof), (c) representing the deferred
      and
      unpaid purchase price of any property, which purchase price is due more than
      six
      months after the date of placing the property in service or taking delivery
      and
      title thereto, (d) in respect of Capital Lease Obligations or (e) representing
      any Hedging Obligations, if and to the extent that any of the foregoing
      Indebtedness (other than letters of credit and Hedging Obligations) would appear
      as a liability on a balance sheet (excluding the footnotes thereto) of such
      Person prepared in accordance with GAAP; (ii) to the extent not otherwise
      included, any Guaranteed Indebtedness as to such Person (other than by
      endorsement of negotiable instruments for collection in the ordinary course
      of
      business and other than Guaranteed Indebtedness with respect to which the
      primary obligation is not itself Indebtedness); and (iii) to the extent not
      otherwise included, Indebtedness of another Person secured by a Lien on any
      asset owned by such Person (whether or not such Indebtedness is assumed by
      such
      Person); provided,
      however,
      that
      the amount of such Indebtedness will be the lesser of (a) the Fair Market Value
      of such asset at such date of determination and (b) the amount of such
      Indebtedness of such other Person; provided,
      further,
      that
      any obligation of Borrower or any Subsidiary in respect of account credits
      to
      participants under the LTIP or any successor or similar compensation plan,
      shall
      be deemed not to constitute Indebtedness.

     

    
      
        
        

      

      
        A-20

        
          

        

      

      
        
        

      

    

    "Indemnified
      Liabilities"
      has the
      meaning ascribed to it in Section
      1.13.

     

    "Indemnified
      Person"
      has the
      meaning ascribed to it in Section 1.13.

     

    "Index
      Rate"
      means,
      for any day, a floating rate equal to the higher of (i) the rate publicly quoted
      from time to time by The Wall Street Journal
      as the
      "prime rate" (or, if The Wall Street
      Journal
      ceases
      quoting a prime rate, the highest per annum rate of interest published by the
      Federal Reserve Board in Federal Reserve statistical release H.15 (519)
      entitled "Selected Interest Rates" as the Bank prime loan rate or its
      equivalent), and (ii) the Federal Funds Rate plus 50 basis points per annum.
      Each change in any interest rate provided for in the Agreement based upon the
      Index Rate shall take effect at the time of such change in the Index
      Rate.

     

    "Index
      Rate Loan"
      means a
      Loan or portion thereof bearing interest by reference to the Index
      Rate.

     

    "Initial
      IDS Common Stock"
      means
      (i) the shares of the Class A common stock of Borrower issued on the Original
      Closing Date pursuant to the Registration Statement and which comprise a portion
      of the Initial IDS Securities and (ii) the shares of the Class A common stock
      of
      Borrower issued after the Original Closing Date as part of the Initial IDS
      Securities required to be issued pursuant to the Investor Rights Agreement
      upon
      exchange of any Class B common stock of Borrower issued on the Original Closing
      Date as part of the Original Related Transactions.

     

    "Initial
      IDS Documents"
      means
      the Registration Statement, the Initial IDS Securities, the Initial IDS
      Subordinated Notes Documents and the other documents and agreements entered
      into
      in connection with the issuance of Initial IDS Securities or Initial IDS
      Subordinated Notes.

     

    
      
        
        

      

      
        A-21

        
          

        

      

      
        
        

      

    

    "Initial
      IDS Securities"
      means
      income deposit securities of Borrower comprised of one share of Initial IDS
      Common Stock and a certain principal amount of Initial IDS-Linked Subordinated
      Notes.

     

    "Initial
      IDS-Linked Subordinated Notes"
      means
      (i) the senior subordinated notes of Borrower issued on the Original Closing
      Date pursuant to the Initial IDS Subordinated Notes Indenture as part of the
      Original Related Transactions and which comprise a portion of the Initial IDS
      Securities and (ii) the senior subordinated notes of Borrower issued after
      the
      Closing Date pursuant to the Initial IDS Subordinated Notes Indenture as part
      of
      Initial IDS Securities required to be issued pursuant to the Investor Rights
      Agreement upon exchange of any Class B common stock of Borrower issued on the
      Original Closing Date as part of the Related Transactions.

     

    "Initial
      IDS Subordinated Notes"
      means
      (i) the Initial IDS-Linked Subordinated Notes and (ii) the Initial
      Non-IDS-Linked Subordinated Notes.

     

    "Initial
      IDS Subordinated Notes Documents"
      means
      the Initial IDS Subordinated Notes, the Initial IDS Subordinated Notes Indenture
      and each other document executed by any Credit Party pursuant to any such
      document. 

     

    "Initial
      IDS Subordinated Notes Indenture"
      means
      the Indenture dated as of December 21, 2004, between Borrower, as issuer, the
      Subsidiaries of Borrower party thereto, as guarantors, and the Initial IDS
      Subordinated Notes Trustee.

     

    "Initial
      IDS Subordinated Notes Trustee"
      means
      Wells Fargo Bank, National Association, as indenture trustee pursuant to the
      Initial IDS Subordinated Notes Indenture.

     

    "Initial
      Non-IDS-Linked Subordinated Notes"
      means
      the senior subordinated notes of Borrower issued on the Original Closing Date
      pursuant to the Initial IDS Subordinated Notes Indenture as part of the Original
      Related Transactions but which do not comprise a portion of Initial IDS
      Securities.

     

    "Instruments"
      means
      all "instruments," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, wherever located, and, in any event, including
      all
      certificates of deposit, and all promissory notes and other evidences of
      indebtedness, other than instruments that constitute, or are a part of a group
      of writings that constitute, Chattel Paper.

     

    "Intellectual
      Property"
      means
      any and all Licenses, Patents, Copyrights, Trademarks, and the goodwill
      associated with such Trademarks.

     

    "Intercompany
      Notes"
      has the
      meaning ascribed to it in Section
      6.3.

     

    "Interest
      Deferral Period"
      means,
      with respect to any period (for these purposes, the "subject
      period")
      consisting of one or more consecutive, four-Fiscal Quarter periods of Borrower
      as of the end of which either (a) the Consolidated Fixed Charge Coverage Ratio
      is less than 1.09 to 1.00 or (b) the Consolidated Senior Leverage Ratio is
      greater than 3.90 to 1.00, the period commencing on the date Borrower is
      required to deliver a Compliance Certificate pursuant to Section
      4.1
      in
      respect of the first such four-quarter period in such subject period and ending
      on the date on which Borrower delivers a Compliance Certificate pursuant to
      Section
      4.1
      in
      respect of the last Fiscal Quarter of Borrower in such subject period.

     

    
      
        
        

      

      
        A-22

        
          

        

      

      
        
        

      

    

    "Interest
      Payment Date"
      means
      (a) as to any Index Rate Loan, each March 21, June 21, September 21 and December
      21; and (b) as to any LIBOR Loan, the last day of the applicable LIBOR Period,
      provided,
      that in
      the case of any LIBOR Period greater than three months in duration, interest
      shall be payable at three month intervals and on the last day of such LIBOR
      Period; and provided further
      that, in
      addition to the foregoing, each of (x) the date upon which all of the
      Commitments have been terminated and the Loans have been paid in full and (y)
      the Commitment Termination Date shall be deemed to be an "Interest
      Payment Date"
      with
      respect to any interest that has then accrued under the Agreement. 

     

    "Inventory"
      means
      any "inventory," as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, wherever located, and in any event including
      inventory, merchandise, goods and other tangible personal property that are
      held
      by or on behalf of any Credit Party for sale or lease or are furnished or are
      to
      be furnished under a contract of service, or that constitute raw materials,
      work
      in process, finished goods, returned goods, supplies or materials of any kind,
      nature or description used or consumed or to be used or consumed in such Credit
      Party's business or in the processing, production, packaging, promotion,
      delivery or shipping of the same, including all supplies and embedded
      software.

     

    "Investment
      Property"
      means
      all "investment property," as such term is defined in the Code, now owned or
      hereafter acquired by any Credit Party, wherever located, including (i) all
      securities, whether certificated or uncertificated, including stocks, bonds,
      interests in limited liability companies, partnership interests, treasuries,
      certificates of deposit, and mutual fund shares; (ii) all securities
      entitlements of any Credit Party, including the rights of such Credit Party
      to
      any securities account and the financial assets held by a securities
      intermediary in such securities account and any free credit balance or other
      money owing by any securities intermediary with respect to that account; (iii)
      all securities accounts of any Credit Party; (iv) all commodity contracts of
      any
      Credit Party; and (v) all commodity accounts held by any Credit
      Party.

     

    "Investments"
      means,
      with respect to any Person, all investments by such Person in other Persons
      (including Affiliates) in the form of loans (including guarantees), advances
      or
      capital contributions (excluding accounts receivable, trade credit and advances
      to customers and commission, travel and similar advances to officers, employees
      and consultants made in the ordinary course of business), purchases or other
      acquisitions for consideration (including agreements providing for the
      adjustment of purchase price) of Indebtedness, Stock or other securities issued
      by any other Person and investments that are required by GAAP to be classified
      on the balance sheet of Borrower in the same manner as the other investments
      included in this definition to the extent such transactions involve the transfer
      of cash or other property by such Person to such other Person. The amount of
      any
      Investment shall be the original cost of such Investment plus the cost of all
      additions thereto, without any adjustment for increases or decreases in value,
      or write-ups, write-downs or write-offs with respect to such
      Investment.

     

    
      
        
        

      

      
        A-23

        
          

        

      

      
        
        

      

    

    "Investor
      Rights Agreement"
      means
      the Investor Rights Agreement dated as of December 21, 2004 among Borrower
      and
      the holders of Borrower's Class B common stock on the Original Closing
      Date.

     

    "IRC"
      means
      the Internal Revenue Code of 1986, as amended, and all regulations promulgated
      thereunder.

     

    "IRS"
      means
      the Internal Revenue Service.

     

    "Joinder
      Agreement"
      means a
      joinder agreement substantially in the form of Exhibit
      5.13
      to the
      Agreement.

     

    "Lenders"
      means
      GE Capital, the other Lenders named on the signature pages of the Agreement,
      and
      any other Person that becomes a "Lender" hereunder pursuant to Section
      1.16(d)
      or
Section
      9.1(a).

     

    "Lender
      Fee Letter"
      means
      that certain letter, dated as of May 2, 2006 between GE Capital and Borrower
      with respect to certain Fees to be paid on the Restatement Closing Date by
      Borrower to GE Capital and each Lender.

     

    "Letter-of-Credit
      Rights"
      means
      "letter-of-credit rights" as such term is defined in the Code, now owned or
      hereafter acquired by any Credit Party, including rights to payment or
      performance under a letter of credit, whether or not such Credit Party, as
      beneficiary, has demanded or is entitled to demand payment or
      performance.

     

    "LIBOR
      Business Day"
      means a
      Business Day on which banks in the City of London are generally open for
      interbank or foreign exchange transactions. 

     

    "LIBOR
      Loan"
      means a
      Loan or any portion thereof bearing interest by reference to the LIBOR
      Rate.

     

    "LIBOR
      Period"
      means,
      with respect to any LIBOR Loan, each period commencing on a LIBOR Business
      Day
      selected by Borrower pursuant to the Agreement and ending one, two, three or
      six
      months thereafter, as selected by Borrower's irrevocable notice to Agent as
      set
      forth in Section
      1.5(e); provided,
      that
      the foregoing provision relating to LIBOR Periods is subject to the
      following:

     

    (a) if
      any
      LIBOR Period would otherwise end on a day that is not a LIBOR Business Day,
      such
      LIBOR Period shall be extended to the next succeeding LIBOR Business Day unless
      the result of such extension would be to carry such LIBOR Period into another
      calendar month in which event such LIBOR Period shall end on the immediately
      preceding LIBOR Business Day;

    
      
        
        

      

      
        A-24

        
          

        

      

      
        
        

      

    

     

    (b) any
      LIBOR
      Period that would otherwise extend beyond the Commitment Termination Date shall
      end two (2) LIBOR Business Days prior to such date;

     

    (c) any
      LIBOR
      Period that begins on the last LIBOR Business Day of a calendar month (or on
      a
      day for which there is no numerically corresponding day in the calendar month
      at
      the end of such LIBOR Period) shall end on the last LIBOR Business Day of a
      calendar month;

     

    (d) Borrower
      shall select LIBOR Periods so as not to require a payment or prepayment of
      any
      LIBOR Loan during a LIBOR Period for such Loan; and

     

    (e) Borrower
      shall select LIBOR Periods so that there shall be no more than six (6) separate
      LIBOR Loans in existence at any one time.

     

    "LIBOR
      Rate"
      means
      for each LIBOR Period, a rate of interest determined by Agent equal
      to:

     

    (a) the
      offered rate for deposits in United States Dollars for the applicable LIBOR
      Period that appears on Telerate Page 3750 as of 11:00 a.m. (London time),
      on the second full LIBOR Business Day next preceding the first day of such
      LIBOR
      Period (unless such date is not a Business Day, in which event the next
      succeeding Business Day will be used); divided by

     

    (b) a
      number
      equal to 1.0 minus
      the
      aggregate (but without duplication) of the rates (expressed as a decimal
      fraction) of reserve requirements in effect on the day that is two (2) LIBOR
      Business Days prior to the beginning of such LIBOR Period (including basic,
      supplemental, marginal and emergency reserves under any regulations of the
      Federal Reserve Board or other Governmental Authority having jurisdiction with
      respect thereto, as now and from time to time in effect) for Eurocurrency
      funding (currently referred to as "Eurocurrency Liabilities" in Regulation
      D of
      the Federal Reserve Board) that are required to be maintained by a member bank
      of the Federal Reserve System. 

     

    If
      such
      interest rates shall cease to be available from Telerate News Service, the
      LIBOR
      Rate shall be determined from such financial reporting service or other
      information as shall be acceptable to Agent.

     

    "License"
      means
      any Copyright License, Patent License, Trademark License or other license of
      rights or interests now held or hereafter acquired by any Credit
      Party.

     

    "Lien"
      means
      any mortgage or deed of trust, pledge, hypothecation, assignment, deposit
      arrangement, lien, charge, security interest, easement or encumbrance, or
      priority or other security agreement or preferential arrangement of any kind
      or
      nature whatsoever (including any lease or title retention agreement, any
      financing lease having substantially the same economic effect as any of the
      foregoing, and the filing of, or agreement to give, any financing statement
      perfecting a security interest under the Code or comparable law of any
      jurisdiction).

     

    
      
        
        

      

      
        A-25

        
          

        

      

      
        
        

      

    

    "Litigation"
      has the
      meaning ascribed to it in Section
      3.13.

     

    "Loan
      Account"
      has the
      meaning ascribed to it in Section
      1.12.

     

    "Loan
      Documents"
      means
      the Agreement, the Notes, the Collateral Documents, the Fee Letters, the M&A
      Software License, the Software Amendment and Consent and all other agreements,
      instruments, documents and certificates identified in the Closing Checklist
      executed and delivered to, or in favor of, Agent or any Lenders and including
      all other pledges, powers of attorney, consents, assignments, contracts,
      notices, and all other written matter whether heretofore, now or hereafter
      executed by or on behalf of any Credit Party, or any employee of any Credit
      Party, and delivered to Agent or any Lender in connection with the Agreement
      or
      the transactions contemplated thereby. 

     

    "Loans"
      means
      the Revolving Loan, the Swing Line Loan and the Term Loan.

     

    "LTIP"
      means
      any long-term incentive or similar compensation plan maintained by Borrower
      or
      its Subsidiaries. 

     

    "M&A
      Software License"
      means
      that certain License Agreement for Software Programs, executed by Martin and
      Associates, Inc. dated June 14, 1999 and by OTELCO Telephone, LLC dated June
      18,
      1999.

     

    "Management
      Group"
      means
      the group consisting of the directors, executive officers and other personnel
      of
      Borrower on the Restatement Closing Date.

     

    "Margin
      Stock"
      has the
      meaning ascribed to it in Section
      3.10.

     

    "Material
      Adverse Effect"
      means a
      material adverse effect on (a) the business, assets, operations or financial
      or
      other condition of the Credit Parties considered as a whole, (b) Borrower’s
      ability to pay any of the Loans or any of the other Obligations in accordance
      with the terms of the Agreement or the ability of any Credit Party to perform
      any of its other obligations under the Loan Documents, (c) the Collateral or
      Agent's Liens, on behalf of itself and Lenders, on the Collateral or the
      priority of such Liens, or (d) Agent's or any Lender's rights and remedies
      under
      the Agreement and the other Loan Documents. 

     

    "Material
      Real Estate"
      means
      (i) the Real Estate subject to any Mortgage, (ii) any Real Estate having a
      value
      in excess of $250,000, (iii) any Real Estate leased, subleased or used by any
      Credit Party with respect to which the aggregate annual payments therefor exceed
      $300,000, and/or (iv) any Real Estate that the Requisite Lenders have determined
      is material to the business, operations, assets or financial condition of the
      Credit Parties.

     

    
      
        
        

      

      
        A-26

        
          

        

      

      
        
        

      

    

    "Maximum
      Amount"
      means,
      as of any date of determination, an amount equal to the Revolving Loan
      Commitment of all Lenders as of that date. 

     

    "Mid-Maine
      Acquisition"
      means
      the acquisition by Borrower of all the Stock of Mid-Maine Holdco pursuant to
      the
      terms of the Mid-Maine Acquisition Agreement.

     

    "Mid-Maine
      Acquisition Agreement"
      means
      the Agreement and Plan of Merger dated as of April 10, 2006 between MM Merger
      Corp., a Delaware corporation, and Mid-Maine Holdco.

     

    "Mid-Maine
      Entities"
      means
      Mid-Maine Holdco, Mid-Maine Telecom and Mid-Maine Telplus.

     

    "Mid-Maine
      Holdco"
      means
      Mid-Maine Communications, Inc., a Delaware corporation.

     

    "Mid-Maine
      Telecom"
      means
      Mid-Maine Telecom, Inc., a Maine corporation and a Wholly Owned Subsidiary
      of
      Mid-Maine Holdco.

     

    "Mid-Maine
      Telplus"
      means
      Mid-Maine TelPlus, a Maine corporation and a Wholly Owned Subsidiary of
      Mid-Maine Holdco.

     

    "Mid-Missouri
      Acquisition"
      means
      the acquisition by Borrower of all of the Stock of Mid-Missouri Holding pursuant
      to the terms of the Mid-Missouri Acquisition Agreement.

     

    "Mid-Missouri
      Acquisition Agreement"
      means
      the Agreement and Plan of Merger dated as of December 21, 2004 among
      Mid-Missouri Parent, LLC, Mid-Missouri Holding, Borrower and Otelco Merger
      Subsidiary, Inc.

     

    "Mid-Missouri
      Entities"
      means
      Mid-Missouri Holding, Mid-Missouri Telephone and Imagination.

     

    "Mid-Missouri
      Holding"
      means
      Mid-Missouri Holding Corp., a Delaware corporation. 

     

    "Mid-Missouri
      Telephone"
      means
      Mid-Missouri Telephone Company, a Missouri corporation.

     

    "Monthly
      Allocated Tax Amount"
      has the
      meaning specified for such term in the definition of "Consolidated Fixed
      Charges." 

     

    "Moody's"
      means
      Moody's
      Investors Service, Inc., and any successor rating agency.

     

    
      
        
        

      

      
        A-27

        
          

        

      

      
        
        

      

    

    "Mortgage
      Amendments"
      means
      amendments reasonably acceptable to Agent to all mortgages of record relating
      to
      the Material Real Estate that are in favor of Agent and Lenders.

     

    "Mortgaged
      Properties"
      has the
      meaning assigned to it in Annex
      D.

     

    "Mortgages"
      means
      each of the mortgages, deeds of trust, leasehold mortgages, leasehold deeds
      of
      trust, collateral assignments of leases or other real estate security documents
      delivered by any Credit Party to Agent on behalf of itself and Lenders with
      respect to the Mortgaged Properties, all in form and substance reasonably
      satisfactory to Agent.

     

    "Multiemployer
      Plan"
      means a
      "multiemployer plan" as defined in Section 4001(a)(3) of ERISA, and to which
      any
      Credit Party or ERISA Affiliate is making, is obligated to make or has made
      or
      been obligated to make, contributions on behalf of participants who are or
      were
      employed by any of them.

     

    "Multiple
      Employer Plan"
      means a
      "section 413(c) plan" as defined in Treasury Regulations Section 1.413-2 and
      to
      which any Credit Party or ERISA Affiliate is making, is obligated to make or
      has
      made or been obligated to make, contributions on behalf of participants who
      are
      or were employed by any of them.

     

    "Net
      Cash Proceeds"
      means:

     

    (a)
      with
      respect to any Disposition, (i) the aggregate amount of cash proceeds received
      by any Credit Party in respect of such Disposition (including any cash proceeds
      received at any time by any Credit Party as income or other proceeds of any
      noncash proceeds or other consideration in respect of any Disposition as and
      when received), less
      (ii) the
      sum without duplication of the following amounts, but only to the extent not
      already deducted in arriving at the amount referred to in clause (a)(i) above:
      (A) commissions
      and other reasonable and customary transaction costs, fees and expenses properly
      attributable to such Disposition and payable by any Credit Party in connection
      therewith (in each case, paid to non-Affiliates); (B) taxes
      payable
      by any Credit Party in connection with such Disposition; (C) amounts
      payable by any Credit Party to holders of senior Liens (to the extent such
      Liens
      constitute Permitted Encumbrances hereunder), if any, on the Property that
      is
      the subject of such Disposition and required to be, and which is, repaid by
      any
      Credit Party under the terms thereof as a result thereof (including in order
      to
      obtain the consent of such holders to make such Disposition);
      (D)
an
      appropriate reserve for indemnities, purchase price adjustments and other
      contingent liabilities in accordance with GAAP in connection with such
      Disposition; and (E) an appropriate reserve for income taxes in accordance
      with
      GAAP in connection with respect of such Disposition; provided
      that the
      reversal of any such reserve shall be deemed to be cash proceeds received by
      a
      Credit Party in respect of such Disposition; and

     

    (b)
      with
      respect to any Debt Issuance or Stock Issuance, the gross amount of cash
      proceeds paid to or received by any Credit Party in respect of such Debt
      Issuance or Stock Issuance as the case may be (including any cash proceeds
      received at any time by any Credit Party as income or other proceeds of any
      noncash proceeds or other consideration in respect of any Debt Issuance or
      Stock
      Issuance as and when received), net of underwriting discounts and commissions
      and other reasonable costs and expenses directly incurred by such Credit Party
      and paid to non-Affiliates in connection therewith.

     

    
      
        
        

      

      
        A-28

        
          

        

      

      
        
        

      

    

    "Net
      Income"
      means,
      with respect to any Person, the net income (loss) of such Person, determined
      in
      accordance with GAAP and before any reduction in respect of Preferred Stock
      dividends.

     

    "Non-Funding
      Lender"
      means
      any Lender that has failed to fund all payments and Advances required to be
      made
      by it and purchased all participations required to be purchased by it under
      the
      Agreement and the other Loan Documents.

     

    "Notes"
      means,
      collectively, the Revolving Notes, the Swing Line Note and the Term
      Notes.

     

    "Notice
      of Conversion/Continuation"
      has the
      meaning ascribed to it in Section
      1.5(e).

     

    "Notice
      of Revolving Credit Advance"
      has the
      meaning ascribed to it in Section
      1.1(a).

     

    "Notice
      of Swing Line Advance"
      has the
      meaning ascribed to it in Section
      1.1(c).

     

    "Obligations"
      means
      all loans, advances, debts, liabilities and obligations, for the performance
      of
      covenants, tasks or duties or for payment of monetary amounts (whether or not
      such performance is then required or contingent, or such amounts are liquidated
      or determinable) owing by any Credit Party to Agent or any Lender, and all
      covenants and duties regarding such amounts, of any kind or nature, present
      or
      future, whether or not evidenced by any note, agreement or other instrument,
      arising under the Agreement or any of the other Loan Documents. This term
      includes all principal, interest (including all interest that accrues after
      the
      commencement of any case or proceeding by or against any Credit Party in
      bankruptcy, whether or not allowed in such case or proceeding), Fees, Swap
      Related Reimbursement Obligations, Hedging Obligations of Borrower to a Lender
      pursuant to an interest rate protection agreement entered into in accordance
      and
      solely to comply with Section
      5.10
      with any
      Lender, Charges, expenses, attorneys' fees and any other sum chargeable to
      any
      Credit Party under the Agreement or any of the other Loan
      Documents.

     

    "Omnibus
      Reaffirmation Agreement"
      means
      the Omnibus Reaffirmation Agreement dated as of the Restatement Closing Date
      executed by each of the Credit Parties party thereto in favor of Agent, on
      behalf of itself and Lenders.

     

    "Original
      Closing Date"
      means
      December 21, 2004.

     

    
      
        
        

      

      
        A-29

        
          

        

      

      
        
        

      

    

     

    "Original
      Credit Agreement"
      has the
      meaning ascribed to it in the recitals to this Agreement.

     

    "Original
      Loan Documents"
      means
      the Loan Documents (as defined in the Original Credit Agreement).

     

    "Original
      Related Transactions Documents"
      means
      the Related Transactions Documents (as defined in the Original Credit
      Agreement).

     

    "Original
      Related Transactions"
      means
      the Related Transactions (as defined in the Original Credit
      Agreement).

     

    "Original
      Term Loan Commitment"
      means
      each Lender’s Pro Rata Share of the outstanding Original Term Loan.

     

    "Original
      Term Loan"
      has the
      meaning assigned to it in Section 1.1(b)(i).

     

    "Page
      and Kiser Communications"
      means
      Page and Kiser Communications, Inc., an Alabama corporation. 

     

    "Patent
      License"
      means
      rights under any written agreement now owned or hereafter acquired by any Credit
      Party granting any right with respect to any invention on which a Patent is
      in
      existence.

     

    "Patent
      Security Agreements"
      means
      the Patent Security Agreements made in favor of Agent, on behalf of itself
      and
      Lenders, by each applicable Credit Party.

     

    "Patents"
      means
      all of the following in which any Credit Party now holds or hereafter acquires
      any interest: (a) all letters patent of the United States or any other country,
      all registrations and recordings thereof, and all applications for letters
      patent of the United States or of any other country, including registrations,
      recordings and applications in the United States Patent and Trademark Office
      or
      in any similar office or agency of the United States, any State or any other
      country, and (b) all reissues, continuations, continuations-in-part or
      extensions thereof.

     

    "PBGC"
      means
      the Pension Benefit Guaranty Corporation.

     

    "Pension
      Plan"
      means a
      Plan described in Section 3(2) of ERISA.

     

    "Permitted
      Acquisition"
      has the
      meaning ascribed to it in Section
      6.1(b).
      

     

    "Permitted
      Additional Subordinated Debt"
      means
      Indebtedness of Borrower evidenced by a new issue of unsecured, subordinated
      debt securities of Borrower, so long as (a) such Indebtedness has a final
      maturity no earlier than two years after the Final Maturity Date and no
      amortization prior to two years after the Final Maturity Date; (b) such
      Indebtedness does not (i) have guarantors that are not Subsidiary Guarantors,
      (ii) have obligors other than Borrower or (iii) provide for security; (c)
      the subordination provisions, standstill provisions and remedies of such
      Indebtedness are identical to (or, from the perspective of the Lenders, more
      favorable than) those which applied to the Initial IDS-Linked Subordinated
      Notes
      issued on the Original Closing Date; (d) such Indebtedness has covenants,
      defaults and other terms that are not, taken as a whole, less favorable to
      Borrower and its Subsidiaries than those which applied to the Initial IDS-Linked
      Subordinated Notes issued on the Original Closing Date; (e) the documentation
      governing such Indebtedness is otherwise reasonably satisfactory to Agent (it
      being understood that documentation substantially identical to the Initial
      IDS Subordinated Notes Documents
      shall be
      reasonably satisfactory to Agent); and (f) such
      Indebtedness is issued in accordance with Section
      6.3(a)(vii).

     

    
      
        
        

      

      
        A-30

        
          

        

      

      
        
        

      

    

    "Permitted
      Encumbrances"
      means
      the following encumbrances: (a) Liens for taxes or assessments or other
      governmental Charges not yet due and payable or which are being contested in
      accordance with Section
      5.2(b);
      (b)
      pledges or deposits of money securing statutory obligations under workmen's
      compensation, unemployment insurance, social security or public liability laws
      or similar legislation (excluding Liens under ERISA); (c) pledges or deposits
      of
      money securing bids, tenders, contracts (other than contracts for the payment
      of
      money) or leases to which any Credit Party is a party as lessee made in the
      ordinary course of business; (d) inchoate and unperfected workers', mechanics'
      or similar liens arising in the ordinary course of business, so long as such
      Liens attach only to Equipment, Fixtures and/or Real Estate; (e) carriers',
      warehousemen's, suppliers' or other similar possessory liens arising in the
      ordinary course of business and securing liabilities in an outstanding aggregate
      amount not in excess of $1,000,000 at any time for all Credit Parties combined,
      so long as such Liens attach only to Inventory; (f) deposits securing, or in
      lieu of, surety, appeal or customs bonds in proceedings to which any Credit
      Party is a party; (g) any attachment or judgment lien not constituting an Event
      of Default under Section
      8.1(j);
      (h)
      zoning restrictions, easements, licenses, or other restrictions on the use
      of
      any Real Estate or other minor irregularities in title (including leasehold
      title) thereto, so long as the same do not materially impair the use, value,
      or
      marketability of such Real Estate; (i) presently existing or hereafter created
      Liens in favor of Agent, on behalf of Lenders; and (j) Liens expressly permitted
      under clauses
      (b) and (c)
      of
Section
      6.7
      of the
      Agreement.

     

    "Permitted
      Holders"
      means
      Seaport Capital and the Management Group.

     

    "Person"
      means
      any individual, sole proprietorship, partnership, joint venture, trust,
      unincorporated organization, association, corporation, limited liability
      company, institution, public benefit corporation, other entity or government
      (whether federal, state, county, city, municipal, local, foreign, or otherwise,
      including any instrumentality, division, agency, body or department
      thereof).

     

    "PIK
      Amounts"
      means,
      (a) in respect of any Subsequent IDS Subordinated Notes as to which the
Subsequent
      IDS Subordinated Notes Documents governing such Subsequent IDS Subordinated
      Notes provides that payments
      of interest due and owing in respect of such Subsequent IDS Subordinated Notes
      are not required to be paid in cash, but may instead be paid with a
      payment-in-kind by automatically adding to the outstanding principal amount
      of
      such Subsequent IDS Subordinated Notes an amount equal to the accrued, and
      unpaid, interest on such Subsequent IDS Subordinated Notes, the amount equal
      to
      the aggregate of all paid payment-in-kind interest that is added to the
      outstanding principal of such Subsequent IDS Subordinated Notes, (b) in respect
      of any Permitted Additional Subordinated Debt as to which the Additional
      Subordinated Debt Documents governing such Permitted Additional Subordinated
      Debt provides that payments
      of interest due and owing in respect of such Permitted Additional Subordinated
      Debt are not required to be paid in cash, but may instead be paid with a
      payment-in-kind by automatically adding to the outstanding principal amount
      of
      such Permitted Additional Subordinated Debt an amount equal to the accrued,
      and
      unpaid, interest on such Permitted Additional Subordinated Debt, the amount
      equal to the aggregate of all paid payment-in-kind interest that is added to
      the
      outstanding principal of such Permitted Additional Subordinated Debt, and (c)
      in
      respect of any Indebtedness Incurred pursuant to Section
      6.3(a)(xvi)
      as to
      which the documentation governing such Indebtedness provides that payments
      of
      interest due and owing in respect of such Indebtedness are not required to
      be
      paid in cash, but may instead be paid with a payment-in-kind by automatically
      adding to the outstanding principal amount of such Indebtedness an amount equal
      to the accrued, and unpaid, interest on such Indebtedness, the amount equal
      to
      the aggregate of all paid payment-in-kind interest that is added to the
      outstanding principal of such Indebtedness. 

     

    
      
        
        

      

      
        A-31

        
          

        

      

      
        
        

      

    

    "Plan"
      means,
      at any time, an "employee benefit plan," as defined in Section 3(3) of ERISA,
      that any Credit Party or ERISA Affiliate maintains, contributes to or has an
      obligation to contribute to on behalf of participants who are or were employed
      by any Credit Party.

     

    "Pledge
      Agreements"
      means
      (i) the Pledge Agreement dated as of December 21, 2004 executed by Borrower
      and
      each other Credit Party that is a signatory thereto in favor of Agent, on behalf
      of itself and Lenders, pledging all Stock of the Subsidiary of Borrower other
      than Mid-Missouri Telephone, together with and as modified by the Joinder to
      Pledge Agreement (and the related Pledge Amendment) and (ii) any other pledge
      agreement entered into after the Original Closing Date by any Credit Party
      (as
      required by the Agreement or any other Loan Document). 

     

    "Pledge
      Amendment"
      has the
      meaning ascribed to it in the Pledge Agreements.

     

    "Pledgors"
      has the
      meaning ascribed to it in the Pledge Agreements.

     

    "Preferred
      Stock"
      means
      any Stock with preferential right of payment of dividends or upon liquidation,
      dissolution, or winding up.

     

    "Prior
      Credit Agreements"
      means
      (a)
      the Amended and Restated Master Loan Agreement dated as of February 23, 2006
      by
      and between CoBank, ACB and Mid-Maine Communications, Inc.; (b) the Master
      Loan
      Agreement dated February 28, 1996 by and between CoBank, ACB and Mid-Maine
      Telecom, Inc.; and (c) Loan Agreement dated December 8, 2005 by and between
      TD
      Banknorth, N.A. and Mid-Maine Communications, Inc. 

     

    
      
        
        

      

      
        A-32

        
          

        

      

      
        
        

      

    

    "Prior
      Credit Agreement Documents"
      means
      the Prior Credit
      Agreements,
      together with each other agreement, instrument or document executed and
      delivered in connection therewith or pursuant thereto (including the "Loan
      Documents" as defined in the Prior Credit Agreements).

     

    "Prior
      Lenders"
      means
CoBank,
      ACB, TD Banknorth, N.A., and any
      other
      lender party to the Prior Credit Agreements.

     

    "Prior
      Lender Obligations"
      means
      all obligations of Borrower and the other Credit Parties arising under or in
      connection with any of the Prior Credit Agreement Documents.

     

    "Proceeds"
      means
      "proceeds," as such term is defined in the Code, including (a) any and all
      proceeds of any insurance, indemnity, warranty or guaranty payable to any Credit
      Party from time to time with respect to any of the Collateral, (b) any and
      all
      payments (in any form whatsoever) made or due and payable to any Credit Party
      from time to time in connection with any requisition, confiscation,
      condemnation, seizure or forfeiture of all or any part of the Collateral by
      any
      Governmental Authority (or any Person acting under color of governmental
      authority), (c) any claim of any Credit Party against third parties (i) for
      past, present or future infringement of any Patent or Patent License, or (ii)
      for past, present or future infringement or dilution of any Copyright, Copyright
      License, Trademark or Trademark License, or for injury to the goodwill
      associated with any Trademark or Trademark License, (d) any recoveries by any
      Credit Party against third parties with respect to any litigation or dispute
      concerning any of the Collateral, including
      claims arising out of the loss or nonconformity of, interference with the use
      of, defects in, or infringement of rights in, or damage to, Collateral, (e)
      all
      amounts collected on, or distributed on account of, other Collateral,
      including
      dividends, interest, distributions and Instruments with respect to Investment
      Property and pledged Stock, and (f) any and all other amounts,
      rights
      to payment or other property acquired upon the sale, lease, license, exchange
      or
      other disposition of Collateral and all rights arising out of
      Collateral.

     

    "Pro
      Forma"
      means
      the unaudited consolidated balance sheet of Borrower and its Subsidiaries as
      of
      March 31, 2006 after giving pro forma effect to the Restatement Related
      Transactions. 

     

    "Pro
      Forma Basis"
      means,
      for purposes of determining compliance with any financial covenant or test
      hereunder, determining whether the conditions to the Incurrence of Indebtedness
      pursuant to Section
      6.3
      have
      been met and determining whether the conditions precedent to a Permitted
      Acquisition have been met, that the subject transaction shall be deemed to
      have
      occurred as of the first day of the four consecutive fiscal quarters most
      recently ended for which annual or quarterly financial statements shall have
      been delivered in accordance with the provisions hereof (the "Reference
      Period").
      For
      purposes of making calculations on a "Pro Forma Basis" hereunder, (a) any
      Permitted Acquisition shall be calculated on a pro forma basis assuming that
      such Permitted Acquisition had occurred on the first day of the Reference
      Period, provided
      that any
      adjustments made that are not permitted pursuant to Regulation S-X under the
      Securities Act of 1933 shall be subject to the consent of Agent, (b) any
      Indebtedness to be Incurred by any Person in connection with the consummation
      of
      any Debt Issuance or Permitted Acquisition will be assumed to have been Incurred
      on the first day of the Reference Period, (c) the gross interest expenses,
      determined in accordance with GAAP, with respect to such Indebtedness assumed
      to
      have been Incurred on the first day of the Reference Period that bears interest
      at a floating rate shall be calculated at the current rate under the agreement
      governing such Indebtedness (including this Agreement if the Indebtedness is
      Incurred hereunder), and (d) any gross interest expense, determined in
      accordance with GAAP, Incurred during the Reference Period that was or is to
      be
      refinanced with proceeds of Indebtedness assumed to have been Incurred as of
      the
      first day of the Reference Period will be excluded from the calculation for
      which a Pro Forma Basis is being given.

     

    
      
        
        

      

      
        A-33

        
          

        

      

      
        
        

      

    

    "Projections"
      means
      Borrower's forecasted consolidated: (a) balance sheets; (b) profit and loss
      statements; and (c) cash flow statements, in each case delivered to the Lenders
      prior to the Restatement Closing Date.

     

    "Property"
      means
      any interest in any kind of property or asset, whether real, personal or mixed,
      or tangible or intangible.

     

    "Pro
      Rata Share"
      means
      with respect to all matters relating to any Lender (a) with respect to the
      Revolving Loan, the percentage obtained by dividing (i) the Revolving Loan
      Commitment of that Lender by (ii) the aggregate Revolving Loan Commitments
      of
      all Lenders, (b)
      with
      respect to the Additional Term Loan, the percentage obtained by dividing (i)
      the
      Additional Term Loan Commitment of that Lender by (ii) the aggregate Additional
      Term Loan Commitments of all Lenders, as any such percentages may be adjusted
      by
      assignments permitted pursuant to Section
      9.1,
      (c)
      with respect to the Original Term Loan, the percentage obtained by dividing
      (i)
      the Original Term Loan Commitment of that Lender by (ii) the aggregate Original
      Term Loan Commitments of all Lenders, as any such percentages may be adjusted
      by
      assignments permitted pursuant to Section
      9.1,
      (d) with
      respect to the Term Loan, the percentage obtained by dividing (i) the Total
      Term
      Loan Commitment of that Lender by (ii) the aggregate Total Term Loan Commitments
      of all Lenders, as any such percentages may be adjusted by assignments permitted
      pursuant to Section
      9.1,
      (e)
      with respect to all Loans, the percentage obtained by dividing (i) the aggregate
      Commitments of that Lender by (ii) the aggregate Commitments of all Lenders,
      and
      (f) with respect to all Loans on and after the Commitment Termination Date,
      the
      percentage obtained by dividing (i) the aggregate outstanding principal balance
      of the Loans held by that Lender, by (ii) the outstanding principal balance
      of
      the Loans held by all Lenders.

     

    "PUC"
      means
      any state Governmental Authority that exercises jurisdiction over the rates
      or
      services or the acquisition, ownership, construction or operation of any
      telecommunications systems or over Persons who own, construct or operate a
      telecommunications system, in each case by reason of the nature or type of
      the
      business subject to regulation and not pursuant to laws and regulations of
      general applicability to Persons conducting business in such state, including,
      without limitation, the PUC of Alabama, the PUC of Missouri, and the Public
      Utilities Commission of Maine.

     

    
      
        
        

      

      
        A-34

        
          

        

      

      
        
        

      

    

    "PUC
      Authorization"
      means
      any Governmental Authorization granted or issued by a PUC.

     

    "PUC
      Restricted Subsidiary"
      means
      Mid-Missouri Telephone and Mid-Maine Telecom.

     

    "PUC
      Restricted Subsidiary Holdco"
      means
      Mid-Missouri Holding and Mid-Maine Holdco.

     

    "Qualified
      Plan"
      means a
      Pension Plan that is intended to be tax-qualified under Section 401(a) of the
      IRC.

     

    "Qualified
      Assignee"
      means
      (a) any Lender, any Affiliate (as defined in clause (a) and/or (b) of the
      definition of "Affiliate" in this Annex
      A)
      of any
      Lender and, with respect to any Lender that is an investment fund that invests
      in commercial loans, any other investment fund that invests in commercial loans
      and that is managed or advised by the same investment advisor as such Lender
      or
      by an Affiliate (as defined in clause (a) and/or (b) of the definition of
      "Affiliate" in this Annex
      A)
      of such
      investment advisor, and (b) any commercial bank, savings and loan association
      or
      savings bank or any other entity which is an "accredited investor" (as defined
      in Regulation D under the Securities Act) which extends credit or buys loans
      as
      one of its businesses, including insurance companies, mutual funds, lease
      financing companies and commercial finance companies, in each case, which has
      a
      rating of BBB or higher from S&P and a rating of Baa2 or higher from Moody's
      at the date that it becomes a Lender and which, through its applicable lending
      office, is capable of lending to Borrower without the imposition of any
      withholding or similar taxes greater than those taxes imposed by the assigning
      Lender at the time of such assignment; provided
      that no
      Person or Affiliate (as defined in clause (a) and/or (b) of the definition
      of
      "Affiliate" in this Annex
      A)
      of such
      Person (other than a Person that is already a Lender) holding Subordinated
      Debt
      or Stock issued by any Credit Party shall be a Qualified Assignee.

     

    "Ratable
      Share"
      has the
      meaning ascribed to it in Section
      1.1(b).

     

    "Real
      Estate"
      means
      all real property owned, leased, subleased or used by any Credit
      Party.

     

    "Refinancing"
      means
      the repayment in full by Borrower of the Prior Lender Obligations on the
      Original Closing Date.

     

    "Refunded
      Swing Line Loan"
      has the
      meaning ascribed to it in Section
      1.1(c)(iii).

     

    "Registration
      Statement"
      means
      that certain Form S-1 Registration Statement, as amended, of Borrower filed
      with
      the Securities and Exchange Commission under the Securities Act of 1933,
      effective on December 15, 2004, and dated December 16, 2004 in respect of the
      Initial IDS Securities and the Initial IDS Subordinated Notes issued and sold
      by
      Borrower on the Original Closing Date.

     

    
      
        
        

      

      
        A-35

        
          

        

      

      
        
        

      

    

    "Relationship
      Bank"
      means
      each of the banks specified on Disclosure
      Schedule (3.19)
      on the
      Restatement Closing Date and such other bank or banks reasonably acceptable
      to
      Agent.

     

    "Release"
      means
      any release, spill, emission, leaking, pumping, pouring, emitting, emptying,
      escape, injection, deposit, disposal, discharge, dispersal, dumping, leaching
      or
      migration of Hazardous Material in the indoor or outdoor environment, including
      the movement of Hazardous Material through or in the air, soil, surface water,
      ground water or property.

     

    "Replacement
      Amendment and Consent"
      has the
      meaning ascribed to it in the definition of Replacement Software Required
      Actions.

     

    "Replacement
      Software Agreement"
      has the
      meaning ascribed to it in the definition of Replacement Software Required
      Actions. 

     

    "Replacement
      Software Required Actions"
      means,
      (a) in the case of delivery of a notice of termination under Section 4 of the
      M&A Software License or under any Replacement Software Agreement, (i) no
      later than 60 days after delivery of such notice of termination, the applicable
      Credit Party shall have (A) executed (1) an agreement with a reputable software
      vendor in form and substance reasonably satisfactory to Agent (the "Replacement
      Software Agreement")
      in
      respect of the purchase or license by such Credit Party of software with
      substantially similar functionality (or enhanced functionality) as the software
      subject to the M&A Software License (the "Replacement
      Software")
      and
      (2) an amendment to the Software Amendment and Consent in form and substance
      reasonably satisfactory to Agent (the "Replacement
      Amendment and Consent")
      and
      (B) provided Agent with reasonably satisfactory evidence concerning the proposed
      implementation of the Replacement Software, (ii) no later than 30 days after
      delivery of such notice of termination, Borrower shall have delivered to Agent
      a
      certificate from a Responsible Officer reporting as to the progress of the
      implementation of the Replacement Software and certifying that the
      implementation thereof shall be completed no later than thirty (30) days prior
      to the date of termination of the M&A Software License or Replacement
      Software Agreement, as applicable and (iii) the Replacement Software shall
      have
      become functionally operational in the businesses of the Credit Parties no
      later
      than thirty (30) days prior to the date of termination of the M&A Software
      License or Replacement Software Agreement, as applicable and (b) in the case
      of
      a termination or expiry of the M&A Software License or any Replacement
      Software Agreement, (i) the applicable Credit Party shall have executed a
      Replacement Software Agreement and Replacement Amendment and Consent prior
      to
      such termination or expiry and (ii) the Replacement Software shall have become
      functionally operational in the businesses of the Credit Parties on or prior
      to
      the date of such termination or expiry.

     

    "Replacement
      Software"
      has the
      meaning ascribed to it in the definition of Replacement Software Required
      Actions.

     

    
      
        
        

      

      
        A-36

        
          

        

      

      
        
        

      

    

    "Requisite
      Lenders"
      means
      Lenders having (a) more than 50% of the Commitments of all Lenders, or (b)
      if the Commitments have been terminated, more than 50% of the aggregate
      outstanding amount of the Loans. 

     

    "Requisite
      Revolving Lenders"
      means
      Lenders having (a) more than 50% of the Revolving Loan Commitments of all
      Lenders, or (b) if the Revolving Loan Commitments have been terminated, more
      than 50% of the aggregate outstanding amount of the Revolving Loan.

     

    "Requisite
      Term Lenders"
      means
      (a) solely with respect to funding of the Additional Term Loan, Lenders having
      more than 50% of the aggregate principal amount of the Additional Term Loan
      Commitment and (b) thereafter, Lenders
      holding more than 50% of the aggregate principal amount of the Term Loan then
      outstanding. 

     

    "Reserves"
      means,
      as
      of any date, any reserve against the Borrowing Availability established by
      Agent
      pursuant to Section
      1.3(b)(ii)
      or
Section
      5.4.

     

    "Responsible
      Officer"
      means
      the chief executive officer, president, chief financial officer, principal
      accounting officer or treasurer of Borrower.

     

    "Restatement
      Closing Date"
      means
      July 3, 2006.

     

    "Restatement
      Related Transactions"
      means
      the borrowing of the Additional Term Loan on the Restatement Closing Date,
      the
      borrowing (if any) under the Revolving Loan on the Restatement Closing Date,
      the
      Mid-Maine Acquisition, the payment of all fees, costs and expenses associated
      with all of the foregoing and the execution and delivery of all of the
      Restatement Related Transactions Documents.

     

    "Restatement
      Related Transaction Documents"
      means
      the Mid-Maine Acquisition Agreement, and the Loan Documents, and all other
      agreements or instruments executed in connection with the Restatement Related
      Transactions.

     

    "Restricted
      Payment"
      means
      (a) the declaration or payment of any dividend or the Incurrence of any
      liability to make any other payment or distribution of cash or other property
      or
      assets in respect of Stock; (b) any payment on account of the purchase,
      redemption, defeasance, sinking fund or other retirement of any Credit Party's
      Stock or any other payment or distribution made in respect thereof, either
      directly or indirectly; (c) any payment or prepayment of principal of, premium,
      if any, or interest, fees or other charges on or with respect to, and any
      redemption, purchase, retirement, defeasance, sinking fund or similar payment
      and any claim for rescission with respect to, any Subordinated Debt or any
      other
      Indebtedness of any Credit Party subordinated to any of the Obligations; (d)
      any
      payment made to redeem, purchase, repurchase or retire, or to obtain the
      surrender of, any outstanding warrants, options or other rights to acquire
      Stock
      of any Credit Party now or hereafter outstanding; (e) any payment of a claim
      for
      the rescission of the purchase or sale of, or for material damages arising
      from
      the purchase or sale of, any shares of any Credit Party's Stock or of a claim
      for reimbursement, indemnification or contribution arising out of or related
      to
      any such claim for damages or rescission; (f) any payment, loan, contribution,
      or other transfer of funds or other property to any Stockholder or Affiliate
      of
      any Credit Party other than payment of compensation in the ordinary course
      of
      business to Stockholders who are employees of such Credit Party; and (g) any
      payment of management fees (or other fees of a similar nature) by any Credit
      Party to any Stockholder of any Credit Party or its Affiliates.

     

    
      
        
        

      

      
        A-37

        
          

        

      

      
        
        

      

    

    "Restructuring"
      means
      (i) the conversion on the Original Closing Date of Rural LEC Acquisition LLC
      from a Delaware limited liability company into a Delaware corporation under
      the
      name "Otelco Inc." and (ii) in connection with such conversion, the conversion
      on the Original Closing Date of each membership interest in Rural LEC
      Acquisition LLC to a combination of shares of Borrower's Class B common stock
      and Initial IDS Securities as provided in Section 2 of Article IV of the
      certificate of incorporation of Borrower as filed with the Delaware Secretary
      of
      State and in effect on the Original Closing Date.

     

    "Restructuring
      Documents"
      means
      (i) the Certificate of Conversion from a limited liability company to a
      corporation of Rural LEC Acquisition LLC and (ii) the certificate of
      incorporation of Borrower as filed with the Delaware Secretary of State and
      in
      effect on the Original Closing Date.

     

    "Retiree
      Welfare Plan"
      means,
      at any time, a Welfare Plan that provides for continuing coverage or benefits
      for any participant or any beneficiary of a participant after such participant's
      termination of employment, other than continuation coverage provided pursuant
      to
      Section 4980B of the IRC and at the sole expense of the participant or the
      beneficiary of the participant.

     

    "Revolving
      Credit Advance"
      has the
      meaning ascribed to it in Section
      1.1(a)(i).

     

    "Revolving
      Lenders"
      means,
      as of any date of determination, Lenders having a Revolving Loan
      Commitment.

     

    "Revolving
      Loan"
      means,
      at any time, the aggregate amount of Revolving Credit Advances outstanding
      to
      Borrower.

     

    "Revolving
      Loan Commitment"
      means
      (a) as to any Revolving Lender, the aggregate commitment of such Revolving
      Lender to make Revolving Credit Advances as set forth on Annex
      J
      to the
      Agreement or in the most recent Assignment Agreement executed by such Revolving
      Lender and (b) as to all Revolving Lenders, the aggregate commitment of all
      Revolving Lenders to make Revolving Credit Advances, which aggregate commitment
      shall be Fifteen Million Dollars ($15,000,000) on the Restatement Closing Date,
      as such amount may be adjusted, if at all, from time to time in accordance
      with
      the Agreement.

     

    "Revolving
      Note"
      has the
      meaning ascribed to it in Section 1.1(a)(ii).

     

    "Sale/Leaseback
      Transaction"
      means
      an arrangement relating to property now owned or hereafter acquired by Borrower
      or a Subsidiary whereby Borrower or a Subsidiary transfers such property to
      a
      Person and Borrower or such Subsidiary leases it from such Person, other than
      leases between Borrower and a Wholly Owned Subsidiary or between Wholly Owned
      Subsidiaries.

     

    
      
        
        

      

      
        A-38

        
          

        

      

      
        
        

      

    

    "Seaport
      Capital"
      means
      Seaport Capital Partners II, L.P.

     

    "Securities
      Offering"
      means
      any public or private sale of IDS Securities or common stock or Preferred Stock
      of Borrower (other than Disqualified Stock), other than public offerings with
      respect to IDS Securities or Borrower's Common Stock registered on
      Form S-8. 

     

    "Security
      Agreement"
      means
      the Security Agreement dated as of December 21, 2004 entered into by and among
      Agent, on behalf of itself and Lenders, and each Credit Party that is a
      signatory thereto, together with and as modified by the Amendment and Joinder
      to
      Security Agreement.

     

    "Software"
      means
      all "software" as such term is defined in the Code, now owned or hereafter
      acquired by any Credit Party, other than software embedded in any category
      of
      Goods, including all computer programs and all supporting information provided
      in connection with a transaction related to any program.

     

    "Software
      Amendment and Consent"
      means
      the Amendment,
      Consent and Agreement, dated as of the Original Closing Date between Otelco
      Telephone LLC, Martin Group, Inc. (formerly know as Martin and Associates,
      Inc.)
      and Agent, as agent for the Lenders.

     

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

     

    "Stock"
      means
      all shares, options, warrants, general or limited partnership interests,
      membership interests, participations or other equivalents (regardless of how
      designated) of or in a corporation, partnership, limited liability company
      or
      equivalent entity whether voting or nonvoting, including (i) common stock,
      preferred stock or any other "equity security" (as such term is defined in
      Rule
      3a11-1 of the General Rules and Regulations promulgated by the Securities and
      Exchange Commission under the Securities Exchange Act of 1934) and (ii) common
      stock represented by IDS Securities and common stock outstanding upon the
      separation of IDS Securities into the securities represented
      thereby.

     

    
      
        
        

      

      
        A-39

        
          

        

      

      
        
        

      

    

    "Stock
      Issuance"
      means
      any issuance by any Credit Party of any Stock to any Person or receipt by any
      Credit Party of a capital contribution from any Person, including the issuance
      of Stock pursuant to the exercise of options or warrants and the conversion
      of
      any Indebtedness to Stock. 

     

    "Stockholder"
      means,
      with respect to any Person, each holder of Stock of such Person. 

     

    "Subordinated
      Debt"
      means
      Indebtedness evidenced by the Initial IDS Subordinated Notes, any Subsequent
      IDS
      Subordinated Notes and any Permitted Additional Subordinated Debt.

     

    "Subordinated
      Debt Documents"
      means
      the Initial IDS Subordinated Notes Documents, any Subsequent IDS Subordinated
      Notes Documents and any Additional Subordinated Debt Documents.

     

    "Subsequent
      IDS Common Stock"
      means
      Class A common stock of Borrower with terms identical to the terms of the
      Initial IDS Common Stock.

     

    "Subsequent
      IDS-Linked Subordinated Notes"
      means
      Indebtedness of Borrower evidenced by a new issue of unsecured, subordinated
      notes of Borrower, so long as (a) such Indebtedness has a final maturity no
      earlier than two years after the Final Maturity Date and no required
      amortizations prior to two years after the Final Maturity Date; (b) such
      Indebtedness does not (i) have guarantors that are not Subsidiary Guarantors,
      (ii) have obligors other than Borrower or (iii) provide for security;
      (c) all other terms of such Indebtedness (including subordination provisions,
      standstill provisions, defaults, remedies, covenants, redemption provisions,
      interest deferral mechanics and other terms but excluding the applicable
      interest rate and the principal amount thereof) are identical to (or, from
      the
      perspective of the Lenders, more favorable than) those which applied to the
      Initial IDS-Linked Subordinated Notes issued on Original
      Closing Date;
      (d)
      such Indebtedness is incurred concurrently with the issuance of Subsequent
      IDS
      Common Stock and results in the same proportional allocation between equity
      and
      debt as existed after the issuance of Initial IDS Common Stock and Initial
      IDS
      Subordinated Notes on the Original
      Closing Date;
      (e) the
      documentation governing such Indebtedness is otherwise reasonably satisfactory
      to Agent (it being understood that documentation substantially identical to
      the
      Initial IDS Subordinated Notes Documents shall be reasonably satisfactory to
      Agent); and (f) such Indebtedness is issued in accordance with Section
      6.3(a)(xv).

     

    "Subsequent
      IDS Securities"
      means
      income deposit securities of Borrower comprised of one share of Subsequent
      IDS
      Common Stock and a certain principal amount of Subsequent IDS-Linked
      Subordinated Notes.

     

    "Subsequent
      IDS Subordinated Notes"
      means
      (i) the Subsequent IDS-Linked Subordinated Notes and (ii) the Subsequent
      Non-IDS-Linked Subordinated Notes.

     

    
      
        
        

      

      
        A-40

        
          

        

      

      
        
        

      

    

    "Subsequent
      IDS Subordinated Notes Documents"
      means
      the
      Subsequent IDS Subordinated Notes, the Subsequent IDS Subordinated Notes
      Indenture and each other document executed by any Credit Party pursuant to
      any
      such document.

     

    "Subsequent
      IDS Subordinated Notes Indenture"
      means
      any
      indenture or similar agreement entered into in connection with the issuance
      of
      Subsequent IDS Subordinated Notes.

     

    "Subsequent
      Non-IDS-Linked Subordinated Notes"
      means
      Indebtedness of Borrower evidenced by a new issue of unsecured, subordinated
      notes of Borrower issued concurrently with an issuance of Subsequent IDS-Linked
      Subordinated Notes pursuant to a Subsequent IDS Subordinated Notes Indenture
      in
      an aggregate principal amount sufficient to satisfy applicable guidelines of
      tax
      advisors of Borrower, so long as such Indebtedness has terms identical to such
      Subsequent IDS-Linked Subordinated Notes other than not comprising a portion
      of
      Subsequent IDS Securities.

     

    "Subsidiary"
      means,
      with respect to any Person, (a) any corporation of which an aggregate of more
      than 50% of the outstanding Stock having ordinary voting power to elect a
      majority of the board of directors of such corporation (irrespective of whether,
      at the time, Stock of any other class or classes of such corporation shall
      have
      or might have voting power by reason of the happening of any contingency) is
      at
      the time, directly or indirectly, owned legally or beneficially by such Person
      or one or more Subsidiaries of such Person, or with respect to which any such
      Person has the right to vote or designate the vote of 50% or more of such Stock
      whether by proxy, agreement, operation of law or otherwise, and (b) any
      partnership or limited liability company in which such Person and/or one or
      more
      Subsidiaries of such Person shall have an interest (whether in the form of
      voting or participation in profits or capital contribution) of more than 50%
      or
      of which any such Person is a general partner or may exercise the powers of
      a
      general partner. Unless the context otherwise requires, each reference to a
      Subsidiary shall be a reference to a Subsidiary of the Borrower.

     

    "Subsidiary
      Guarantor"
      means
      each Credit Party that is a Guarantor under the Subsidiary
      Guaranty.

     

    "Subsidiary
      Guaranty"
      means
      the Subsidiary Guaranty dated as of December 21, 2004 executed by each
      Subsidiary of Borrower (other than Mid-Missouri Telephone) in favor of Agent,
      on
      behalf of itself and Lenders, together with and as modified by the Joinder
      to
      Subsidiary Guaranty.

     

    "Supporting
      Obligations"
      means
      all
      "supporting obligations" as such term is defined in the Code, including letters
      of credit and guaranties issued in support of Accounts, Chattel Paper,
      Documents, General Intangibles, Instruments, or Investment
      Property.

     

    "Swap
      Related L/C"
      means a
      letter of credit or other credit enhancement provided by a Swap Related L/C
      Provider to the extent supporting the payment obligations by Borrower under
      an
      interest rate protection or hedging agreement or transaction (including, but
      not
      limited to, interest rate swaps, caps, collars, floors and similar transactions)
      designed to protect or manage exposure to the fluctuations in the interest
      rates
      applicable to any of the Loans, and which agreement or transaction Borrower
      entered into as the result of a specific referral pursuant to which such Swap
      Related L/C Provider had arranged for Borrower to enter into such agreement
      or
      transaction. The term includes a Swap Related L/C as it may be increased from
      time to time fully to support Borrower's payment obligations under any and
      all
      such interest rate protection or hedging agreements or
      transactions.

    
      
        
        

      

      
        A-41

        
          

        

      

      
        
        

      

    

    "Swap
      Related L/C Provider"
      means
      GE Capital, GE Corporate Financial Services, Inc. or any of their respective
      Affiliates, any Lender or any Affiliate of a Lender that provides a Swap Related
      L/C in accordance with Section 1.2A. 

    

    "Swap
      Related Reimbursement Obligation"
      has
      the
      meaning ascribed to it in Section
      1.2A.

    

    "Swing
      Line Advance"
      has the
      meaning ascribed to it in Section
      1.1(c)(i).

     

    "Swing
      Line Availability"
      has the
      meaning ascribed to it in Section
      1.1(c)(i).

     

    "Swing
      Line Commitment"
      means,
      as to the Swing Line Lender, the commitment of the Swing Line Lender to make
      Swing Line Advances as set forth on Annex
      J
      to the
      Agreement, which commitment constitutes a subfacility of the Revolving Loan
      Commitment of the Swing Line Lender.

     

    "Swing
      Line Lender"
      means
      CoBank, ACB.

     

    "Swing
      Line Loan"
      means
      at any time, the aggregate amount of Swing Line Advances outstanding to
      Borrower. 

     

    "Swing
      Line Note"
      has the
      meaning ascribed to it in Section
      1.1(c)(ii).

     

    "Taxes"
      means
      taxes, levies, imposts, deductions, Charges or withholdings, and all liabilities
      with respect thereto, excluding taxes imposed on or measured by the net income
      of Agent or a Lender by the jurisdictions under the laws of which Agent and
      Lenders are organized or conduct business or any political subdivision
      thereof.

     

    "Telecommunications
      Approvals"
      shall
      have the meaning ascribed to it in Section
      3.1.

     

    "Telecommunications
      Assets"
      means
      all assets, rights (contractual or otherwise) and properties, real or personal,
      whether tangible or intangible, used or intended for use in connection with
      a
      Telecommunications Business.

     

    "Telecommunications
      Business"
      means
      the business of (i) transmitting or providing services relating to the
      transmission of voice, video or data through transmission facilities, (ii)
      constructing, creating, developing or producing communications networks, related
      network transmission, equipment, software, devices and content for use in a
      communications or content distribution business or (iii) evaluating,
      participating or pursuing any other activity or opportunity that is primarily
      related to (i) or (ii) above.

     

    
      
        
        

      

      
        A-42

        
          

        

      

      
        
        

      

    

    "Termination
      Date"
      means
      the date on which (a) the Loans have been indefeasibly repaid in full, (b)
      all
      other Obligations (other than contingent indemnity and expense reimbursement
      obligations for which no claim has been made) under the Agreement and the other
      Loan Documents have been completely discharged, and (c) Borrower shall not
      have
      any further right to borrow any monies under the Agreement.

     

    "Term
      Lenders"
      means
      those Lenders having Total Term Loan Commitments.

     

    "Term
      Lender Settlement Date"
      has the
      meaning assigned to it in Section
      9.9(a)(iii).

     

    "Term
      Loan"
      means
      the Original Term Loan and the Additional Term Loan.

     

    "Term
      Note"
      has the
      meaning assigned to it in Section
      1.1(b)(i).

     

    "Test
      Period"
      means
      each period of four consecutive Fiscal Quarters ended as provided in the
      relevant provision or definition in the Agreement.

     

    "Title
      IV Plan"
      means a
      Pension Plan (other than a Multiemployer Plan), that is covered by Title IV
      of
      ERISA, and that any Credit Party or ERISA Affiliate maintains, contributes
      to or
      has an obligation to contribute to on behalf of participants who are or were
      employed by any of them.

     

    "Total
      Term Loan Commitment"
      means
      the Original Term Loan Commitment and the Additional Term Loan
      Commitment.

     

    "Trademark
      Security Agreements"
      means
      the Trademark Security Agreements made in favor of Agent, on behalf of Lenders,
      by each applicable Credit Party.

     

    "Trademark
      License"
      means
      rights under any written agreement now owned or hereafter acquired by any Credit
      Party granting any right to use any Trademark.

     

    "Trademarks"
      means
      all of the following now owned or hereafter adopted or acquired by any Credit
      Party: (a) all trademarks, trade names, corporate names, business names, trade
      styles, service marks, logos, other source or business identifiers, prints
      and
      labels on which any of the foregoing have appeared or appear, designs and
      general intangibles of like nature (whether registered or unregistered), all
      registrations and recordings thereof, and all applications in connection
      therewith, including registrations, recordings and applications in the United
      States Patent and Trademark Office or in any similar office or agency of the
      United States, any state or territory thereof, or any other country or any
      political subdivision thereof; (b) all reissues, extensions or renewals thereof;
      and (c) all goodwill associated with or symbolized by any of the
      foregoing.

     

    
      
        
        

      

      
        A-43

        
          

        

      

      
        
        

      

    

    "Unfunded
      Pension Liability"
      means,
      at any time, the aggregate amount, if any, of the sum of (a) the amount by
      which
      the present value of all accrued benefits under each Title IV Plan exceeds
      the
      fair market value of all assets of such Title IV Plan allocable to such benefits
      in accordance with Title IV of ERISA, all determined as of the most recent
      valuation date for each such Title IV Plan using the actuarial assumptions
      for
      funding purposes in effect under such Title IV Plan, and (b) for a period of
      5
      years following a transaction which might reasonably be expected to be covered
      by Section 4069 of ERISA, the liabilities (whether or not accrued) that could
      be
      avoided by any Credit Party or any ERISA Affiliate as a result of such
      transaction.

     

    "Welfare
      Plan"
      means a
      Plan described in Section 3(i) of ERISA.

     

    "Wholly
      Owned Subsidiary"
      of any
      Person means a Subsidiary of such Person 100% of the outstanding Stock or other
      ownership interests of which (other than directors' qualifying shares) shall
      at
      the time be owned by such Person and/or by one or more Wholly Owned Subsidiaries
      of such Person.

     

    Rules
      of
      construction with respect to accounting terms used in the Agreement or the
      other
      Loan Documents shall be as set forth in Annex
      G.
      All
      other undefined terms contained in any of the Loan Documents shall, unless
      the
      context indicates otherwise, have the meanings
      provided for by the Code to
      the
      extent the same are used or defined therein; in
      the
      event that any term is defined differently in different Articles or Divisions
      of
      the Code, the definition contained in Article or Division 9 shall
      control.
      Unless
      otherwise specified, references in the Agreement or any of the Appendices to
      a
      Section, subsection or clause refer to such Section, subsection or clause as
      contained in the Agreement. The words "herein," "hereof" and "hereunder" and
      other words of similar import refer to the Agreement as a whole, including
      all
      Annexes, Exhibits and Schedules, as the same may from time to time be amended,
      restated, modified or supplemented, and not to any particular section,
      subsection or clause contained in the Agreement or any such Annex, Exhibit
      or
      Schedule.

     

    Any
      reference in the Agreement or any other Loan Document to a Loan Document shall
      include all appendices, exhibits or schedules thereto, and all amendments,
      restatements, supplements, joinders or other modifications thereto, and shall
      refer to the Agreement or such Loan Document as the same may be in effect at
      any
      and all times such reference becomes operative.

     

    Wherever
      from the context it appears appropriate, each term stated in either the singular
      or plural shall include the singular and the plural, and pronouns stated in
      the
      masculine, feminine or neuter gender shall include the masculine, feminine
      and
      neuter genders. The words "including", "includes" and "include" shall be deemed
      to be followed by the words "without limitation"; the word "or" is not
      exclusive; references to Persons include their respective successors and assigns
      (to the extent and only to the extent permitted by the Loan Documents) or,
      in
      the case of governmental Persons, Persons succeeding to the relevant functions
      of such Persons; and all references to statutes and related regulations shall
      include any amendments of the same and any successor statutes and regulations.
      Whenever any provision in any Loan Document refers to the "actual knowledge"
      of
      any Credit Party, such words are intended to signify that such Credit Party
      has
      actual knowledge or awareness of a particular fact or circumstance. Whenever
      any
      provision in any Loan Document refers to the "knowledge" (or an analogous
      phrase) of any Credit Party without the word "actual", such words are intended
      to signify that such Credit Party has actual knowledge or awareness of a
      particular fact or circumstance or that such Credit Party, if it had exercised
      reasonable diligence, would have known or been aware of such fact or
      circumstance.

     

    
      
        
        

      

      
        A-44

        
          

        

      

      
        
        

      

    

     

    
      ANNEX
        B

       

      to

       

      CREDIT
        AGREEMENT

       

      [INTENTIONALLY
        OMITTED]

       

      
        
          
          

        

        
          B-1

          
            

          

        

        
          
          

        

      

      ANNEX
        C (Section
        1.8)

       

      to

       

      CREDIT
        AGREEMENT

       

      CASH
        MANAGEMENT SYSTEM

       

      Each
        Credit Party (other than a PUC Restricted Subsidiary) shall establish and
        maintain the Cash Management Systems described below. It is understood that
        each
        reference to a "Credit Party" or a "Subsidiary" in this Annex
        C
        only
        shall constitute a reference to each Credit Party or Subsidiary other than
        a PUC
        Restricted Subsidiary. 

       

      (a) On
        or
        before the Restatement Closing Date, the applicable Credit Party shall cause
        each Blocked Account maintained by such Credit Party at a Relationship Bank
        to
        become subject to a tri-party blocked account agreement in accordance with
        paragraph (c) of this Annex C. Except for such closures or replacements
        expressly permitted or required by paragraph (d) of this Annex C, the Credit
        Parties shall, until the Termination Date, at all times maintain each Blocked
        Account at the Relationship Bank at which such account was established. On
        or
        before the Restatement Closing Date and until the Termination Date, each
        applicable Credit Party shall (i) request in writing and otherwise take
        reasonable steps to ensure that all Account Debtors forward payment directly
        to
        one or more Blocked Accounts or to Borrower or the applicable Subsidiary
        and
        (ii) deposit and cause its Subsidiaries to deposit or cause to be deposited
        promptly, and in any event no later than the second Business Day after the
        receipt thereof, all cash, checks, drafts or other similar items of payment
        relating to or constituting payments made in respect of any and all Collateral
        into one or more Blocked Accounts or, to the extent permitted by paragraph
        (b)
        of this Annex C, into one or more Excluded Accounts or Disbursement Accounts.
        

       

      (b) Each
        Credit Party may maintain, in its name, at a Relationship Bank, one or more
        Disbursement Accounts. No Credit Party shall accumulate or maintain cash
        in
        Disbursement Accounts as of any date of determination in excess of (x) checks
        outstanding against such accounts and paid as of such date, (y) payroll
        requirements outstanding and paid as of such date, and (z) amounts necessary
        to
        meet ordinary course minimum balance requirements of the applicable Relationship
        Bank in respect thereof as of such date. Each
        Credit Party may maintain, in its name, at a Relationship Bank, one or more
        Excluded Accounts. The Credit Parties agree that at no time shall the aggregate
        amount on deposit in all Excluded Accounts and all other accounts of the
        Credit
        Parties (other than Disbursement Accounts or Blocked Accounts) exceed $100,000
        in the aggregate at any time for all Credit Parties combined (the "Threshold
        Amount");
        provided;
        however,
        that no
        Event of Default shall occur solely by reason of the amount on deposit in
        all
        Excluded Accounts and such other accounts combined exceeding the Threshold
        Amount if (i) the amount in excess of the Threshold Amount is transferred
        to a
        Blocked Account within one Business Day of such excess having occurred and
        (ii)
        at the close of business on such Business Day the amount on deposit in all
        Excluded Accounts and such other accounts combined does not exceed the Threshold
        Amount.

       

      
        
          
          

        

        
          C-1

          
            

          

        

        
          
          

        

      

      (c) On
        or
        before the Restatement Closing Date each Relationship Bank shall have, in
        respect of each Blocked Account located at such Relationship Bank, entered
        into
        a tri-party blocked account agreement with Agent, for the benefit of itself
        and
        Lenders, and Credit Parties, as applicable, in form and substance reasonably
        acceptable to Agent, which shall become operative on or prior to the Closing
        Date. Unless Agent shall agree otherwise, each such blocked account agreement
        (and each blocked account agreement referred to in paragraph (b) and (d)
        of this
        Annex C) shall provide, among other things, that (i) all items of payment
        deposited in such account are held by such bank as agent or bailee-in-possession
        for Agent, on behalf of itself and Lenders, (ii) the bank executing such
        agreement has no rights of setoff or recoupment or any other claim against
        such
        account, as the case may be, other than for payment of its service fees and
        other charges directly related to the administration of such account and
        for
        returned checks or other items of payment, and (iii) from and after the Closing
        Date with respect to banks at which a Blocked Account is maintained, such
        bank
        agrees, from and after the receipt of a notice (an "Activation
        Notice")
        from
        Agent (which Activation Notice may be given by Agent at any time at which
        an
        Event of Default has occurred and is continuing (an "Activation
        Event")),
        to
        forward immediately all amounts in each Blocked Account to the Collection
        Account through daily sweeps from such Blocked Account into the Collection
        Account. 

       

      (d) After
        the
        Restatement Closing Date, no Credit Party shall (i) close any deposit or
        other
        account, (ii) establish any deposit or other account or (iii) upon a Target
        becoming a Credit Party in connection with a Permitted Acquisition, continue
        to
        maintain such Credit Party's deposit or other accounts; provided,
        however,
        that

       

      (A)
        a
        Credit Party may (I) close a deposit account in accordance with the final
        sentence of this paragraph (d), (II) close a Disbursement Account or Excluded
        Account so long as all amounts on deposit therein, if any, shall have been
        transferred to a Blocked Account prior to the closure thereof and (III) with
        the
        prior written consent of Agent, close a Blocked Account so long as all amounts
        on deposit therein, if any, shall have been transferred to another Blocked
        Account prior to the closure thereof;

       

      (B)
        upon
        a Target becoming a Credit Party in connection with a Permitted Acquisition,
        such Credit Party may maintain its deposit accounts at the bank or banks
        at
        which such deposit accounts were established if the requirements of clause
        (C)
        of this paragraph (d) shall have been satisfied concurrently with such Person
        becoming a Credit Party as if such Person were establishing accounts under
        such
        clause (C); 

       

      (C)
        so
        long as no Event of Default has occurred and is continuing, any Credit Party
        may
        establish a deposit account at a Relationship Bank subject to the satisfaction
        of the following conditions: 

       

      
        
          
          

        

        
          C-2

          
            

          

        

        
          
          

        

      

       

      (I)
        Borrower shall have delivered to Agent (1) written notice setting forth the
        Relationship Bank at which such account shall be established, whether the
        applicable account is either a "Blocked Account", "Disbursement Account"
        or
        "Excluded Account" for purposes of this Annex C and a description of the
        proposed use therefor and (2) an amended Disclosure
        Schedule (3.19)
        reflecting the information specified in the immediately preceding clause
        (1);
        and

       

      (II)
        in
        the case of a Blocked Account, prior to the time of the opening thereof,
        the
        applicable Credit Party, the Relationship Bank at which such Blocked Account
        is
        located and Agent shall have executed and delivered to Agent a tri-party
        blocked
        account agreement with respect to such account, in form and substance reasonably
        satisfactory to Agent.

       

      Borrower
        shall deliver to Agent (1) a list of all deposit accounts maintained by the
        Credit Parties together with the delivery of annual audited consolidated
        financial statements in accordance with paragraph (b) of Annex E and (2)
        within
        five (5) Business Days after the request of Agent, information concerning
        such
        accounts (including deposits and withdrawals therefrom) as Agent may reasonably
        request. Borrower shall, or, as applicable, shall cause its applicable
        Subsidiary to, close a deposit account or accounts (and establish replacement
        deposit accounts in accordance with clause (C) of this paragraph (d)) promptly
        and in any event within 30 days following notice from Agent that the
        creditworthiness of any bank holding the referenced account or accounts is
        no
        longer acceptable in Agent's reasonable judgment, or as promptly as practicable
        and in any event within sixty (60) days following notice from Agent that
        the
        operating performance, funds transfer or availability procedures or performance
        with respect to accounts of the bank holding such account or accounts or
        Agent's
        liability under any tri-party blocked account agreement with such bank is
        no
        longer acceptable in Agent's reasonable judgment.

       

      (e) The
        Blocked Accounts, Disbursement Accounts and Excluded Accounts shall be cash
        collateral accounts, with all cash, checks and other similar items of payment
        in
        such accounts securing payment of the Loans and all other Obligations, and
        in
        which Borrower and each Subsidiary thereof shall have granted a Lien to Agent,
        on behalf of itself and Lenders, pursuant to the Security Agreement.

       

      (f) All
        amounts deposited in the Collection Account shall be deemed received by Agent
        in
        accordance with Section
        1.10
        and
        shall be applied (and allocated) by Agent in accordance with Section
        1.11.
        In no
        event shall any amount be so applied unless and until such amount shall have
        been credited in immediately available funds to the Collection
        Account.

       

      (g) Borrower
        shall and shall cause its Subsidiaries, officers, employees, agents, directors
        or other Persons acting for or in concert with the Credit Parties, each a
        "Related
        Person")
        to (i)
        hold in trust for Agent, for the benefit of itself and Lenders, all checks,
        cash
        and other items of payment received by Borrower or any such Related Person,
        and
        (ii) within two (2) Business Days after receipt by Borrower or any such Related
        Person of any checks, cash or other items of payment, deposit the same into
        a
        Blocked Account. Borrower on behalf of itself and each Related Person thereof
        acknowledges and agrees that all cash, checks or other items of payment
        constituting proceeds of Collateral are part of the Collateral. All proceeds
        of
        the sale or other disposition of any Collateral shall be deposited directly
        into
        Blocked Accounts.

       

      
        
          
          

        

        
          C-3

          
            

          

        

        
          
          

        

      

       

      ANNEX
        D (Section
        2.1(a))

       

      to

       

      CREDIT
        AGREEMENT

       

      CLOSING
        CHECKLIST

       

      In
        addition to, and not in limitation of, the conditions described in Section
        2.1
        of the
        Agreement, pursuant to Section
        2.1(a),
        the
        following items must be received by Agent and Lenders in form and substance
        satisfactory to Agent and Lenders on or prior to the Restatement Closing
        Date
        (each capitalized term used but not otherwise defined herein shall have the
        meaning ascribed thereto in Annex A to the Agreement):

       

      A. Appendices.
        All
        Appendices to the Agreement, in form and substance satisfactory to
        Agent.

       

      B. Revolving
        Notes, Swing Line Note and Term Notes.
        To the
        extent requested by a Lender, duly executed originals of the Revolving Notes,
        Swing Line Note and Term Notes for each applicable Lender, dated the Original
        Closing Date or Restatement Closing Date, as applicable.

       

      C. Minimum
        Pro Forma Consolidated EBITDA.
        Agent
        shall have received evidence satisfactory to Agent and Lenders that the Credit
        Parties shall have, as of the Restatement Closing Date, for the prior four
        consecutive Fiscal Quarters measured as of March 31, 2006, a Pro Forma
        Consolidated EBITDA of at least $32,000,000. 

       

      D. Insurance.
        Satisfactory evidence that the insurance policies required by Section
        5.4
        are in
        full force and effect, together with appropriate evidence showing loss payable
        and/or additional insured clauses or endorsements, as requested by Agent,
        in
        favor of Agent, on behalf of Lenders.

       

      E. Security
        Interests and Code Filings.
        (a)
        Evidence satisfactory to Agent that Agent (for the benefit of itself and
        Lenders) continues to have a valid and perfected first priority security
        interest in the Collateral, including (i) such documents duly executed by
        each
        Credit Party (including financing statements under the Code and other applicable
        documents under the laws of any jurisdiction with respect to the perfection
        of
        Liens) as Agent may request in order to perfect its security interests in
        the
        Collateral, (ii) copies of Code search reports listing all effective financing
        statements that name any Credit Party as debtor, together with copies of
        such
        financing statements, none of which shall cover the Collateral, except for
        those
        relating to the Prior Lender Obligations (all of which shall be terminated
        on
        the Original Closing Date or Restatement Closing Date, as applicable) and
        others
        approved by Agent, and (iii) a perfection certificate duly executed on behalf
        of
        each Credit Party.

       

      (b) Evidence
        satisfactory to Agent, including copies, of all UCC-1 and other financing
        statements filed in favor of any Credit Party with respect to each location,
        if
        any, at which Inventory may be consigned.

       

      
        
          
          

        

        
          D-1

          
            

          

        

        
          
          

        

      

      (c) Control
        Letters from (i) all issuers of uncertificated securities and financial assets,
        if any, held by any Credit Party (other than any PUC Restricted Subsidiary),
        (ii) all securities intermediaries with respect to all securities accounts
        and
        securities entitlements, if any, of any Credit Party (other than any PUC
        Restricted Subsidiary), and (iii) all futures commission agents and clearing
        houses with respect to all commodities contracts and commodities accounts,
        if
        any, held by any Credit Party (other than any PUC Restricted
        Subsidiary).

       

      F. Payoff
        Letter; Termination Statements.
        Copies
        of duly executed payoff letters, in form and substance reasonably satisfactory
        to Agent, by and between all parties to the Prior Credit Agreement Documents
        evidencing repayment in full of all Prior Lender Obligations, together with
        (a)
        UCC-3 or other appropriate termination statements, in form and substance
        satisfactory to Agent, manually signed by the applicable Prior Lender releasing
        all liens of any Prior Lender upon any of the real or personal property of
        each
        Credit Party, and (b) termination of all blocked account agreements, bank
        agency
        agreements or other similar agreements or arrangements or arrangements in
        favor
        of any Prior Lender or relating to any Prior Lender Obligations.

       

      G. Intellectual
        Property Security Agreements.
        Duly
        executed originals of Trademark Security Agreements, Copyright Security
        Agreements and Patent Security Agreements, each dated the Restatement Closing
        Date and signed by each Mid-Maine Entity (other than Mid-Maine Telecom) which
        owns Trademarks, Copyrights and/or Patents, as applicable, all in form and
        substance reasonably satisfactory to Agent, together with all instruments,
        documents and agreements executed pursuant thereto. 

       

      H. [Intentionally
        Omitted.] 

       

      I. Omnibus
        Reaffirmation Agreement.
        Duly
        executed originals of the Omnibus Reaffirmation Agreement dated the Restatement
        Closing Date and signed by each of the Credit Parties party
        thereto.

       

      J. Amendment
        and Joinder Agreements.
        Duly
        executed originals of each Amendment and Joinder Agreement, each dated the
        Restatement Closing Date and signed by each of the Credit Parties party
        thereto.

       

      K. Initial
        Notice of Revolving Credit Advance.
        Duly
        executed originals of a Notice of Revolving Credit Advance, dated the
        Restatement Closing Date, with respect to any Revolving Credit Advance to
        be
        requested by Borrower on the Restatement Closing Date.

       

      L. Letters
        of Direction.
        Duly
        executed originals of letters of direction from Borrower addressed to Agent,
        on
        behalf of itself and Lenders, with respect to the disbursement on the
        Restatement Closing Date of the proceeds of the Additional Term Loan and
        any
        Revolving Credit Advance.

       

      M. Cash
        Management System; Blocked Account Agreements.
        Evidence satisfactory to Agent that, as of the Original Closing Date, and
        Restatement Closing Date, as applicable, Cash Management Systems complying
        with
Annex
        C
        to the
        Agreement have been established and are currently being maintained in the
        manner
        set forth in such Annex
        C,
        together with copies of duly executed tri-party blocked account agreements,
        reasonably satisfactory to Agent, with the banks as required by Annex
        C.

       

      
        
          
          

        

        
          D-2

          
            

          

        

        
          
          

        

      

       

      N. Charter
        and Good Standing.
        For
        each Credit Party, such Person's (a) charter and all amendments thereto,
        (b)
        good standing certificates (including verification of tax status) in its
        state
        of incorporation or organization and (c) good standing certificates (including
        verification of tax status) and certificates of qualification to conduct
        business in each jurisdiction where its ownership or lease of property or
        the
        conduct of its business requires such qualification, each dated a recent
        date
        prior to the Restatement Closing Date and certified by the applicable Secretary
        of State or other authorized Governmental Authority.

       

      O. Bylaws
        and Resolutions.
        For
        each Credit Party, (a) such Person's bylaws and all charter documents including
        partnership and/or operating agreements, together with all amendments thereto
        and (b) resolutions of such Person's Board of Directors and partners, members
        and stockholders, as applicable, approving and authorizing the execution,
        delivery and performance of the Loan Documents required to be executed and
        delivered on the Restatement Closing Date to which such Person is a party
        and
        the transactions to be consummated in connection therewith, each certified
        as of
        the Restatement Closing Date by such Person's corporate or organizational
        secretary or an assistant secretary as being in full force and effect without
        any modification or amendment.

       

      P. Incumbency
        Certificates.
        For
        each Credit Party, signature and incumbency certificates of the officers
        of each
        such Person executing any of the Loan Documents, certified as of the Restatement
        Closing Date by such Person's corporate secretary or an assistant secretary
        as
        being true, accurate, correct and complete.

       

      Q. Opinions
        of Counsel.
        Duly
        executed originals of opinions of Dorsey & Whitney LLP, counsel for the
        Credit Parties, and FCC and state regulatory counsel for the Credit Parties,
        together with (a) any special communications and local counsel opinions
        reasonably requested by Agent and (b) reliance letters with respect to such
        legal opinions delivered in connection with the Restatement Related Transactions
        reasonably requested by Agent, each in form and substance reasonably
        satisfactory to Agent and its counsel, dated the Restatement Closing Date
        and
        addressed to Agent and Lenders.

       

      R. Pledge
        Agreement Deliverables.
        In
        connection with the joinder of the Mid-Maine Entities to the Pledge Agreement,
        duly executed originals of Amendment and Joinder to Pledge Agreement accompanied
        by (as applicable) (a) share certificates representing all of the outstanding
        Stock being pledged in accordance with the terms thereof and stock powers
        for
        such share certificates executed in blank and (b) the original Intercompany
        Notes and other instruments evidencing Indebtedness being pledged in accordance
        with the terms thereof, duly endorsed in blank.

       

      
        
          
          

        

        
          D-3

          
            

          

        

        
          
          

        

      

      S. Accountants'
        Letters.
        A
        letter from the Credit Parties to their independent auditors authorizing
        the
        independent certified public accountants of the Credit Parties to communicate
        with Agent and Lenders in accordance with Section
        4.2.
        

       

      T. Appointment
        of Agent for Service.
        An
        appointment of CT Corporation (or other agent reasonably acceptable to Agent)
        as
        each Credit Party's agent for service of process. 

       

      U. Solvency
        Certificate.
        Agent
        shall have received a solvency certificate of Borrower satisfactory in form
        and
        substance to Agent.

       

      V. Fee
        Letters.
        Duly
        executed originals of the Fee Letters.

       

      W. Officer's
        Certificate.
        Agent
        shall have received duly executed originals of a certificate of the chief
        executive officer and chief financial officer of Borrower, dated the Restatement
        Closing Date, confirming compliance with the conditions set forth in
Section
        2.2
        at the
        Restatement Closing Date. 

       

      X. Waivers.
        Agent,
        on behalf of Lenders, shall have received landlord waivers and consents (except
        for such landlord waivers and consents set forth in Section
        5.17),
        bailee
        letters and mortgagee agreements in form and substance reasonably satisfactory
        to Agent, in each case as required pursuant to Section
        5.9.
        

       

      Y. Mortgages.
        Mortgages (or, as applicable, Mortgage Amendments) covering all of the Material
        Real Estate (except for Material Real Estate owned by any PUC Restricted
        Subsidiary) (the "Mortgaged
        Properties")
        together with: (a) a date-down endorsement of title insurance policies delivered
        on or after the Original Closing Date, affidavits as to no change concerning
        as-built surveys delivered on or after the Original Closing Date, in each
        case
        reasonably satisfactory in form and substance to Agent, in its sole discretion;
        and (b) an opinion of counsel in each state in which any Mortgaged Property
        is
        located in form and substance and from counsel reasonably satisfactory to
        Agent.

       

      Z. Intentionally
        Omitted.

       

      AA. Intentionally
        Omitted.

       

      BB. Intentionally
        Omitted.

       

      CC. Audited
        Financials; Financial Condition.
        Agent
        shall have received the Financial Statements, Projections and other materials
        set forth in Section
        3.4,
        certified by Borrower's chief financial officer, in each case in form and
        substance satisfactory to Agent, and Agent shall be satisfied, in its sole
        discretion, with all of the foregoing. Agent shall have further received
        a
        certificate of the chief executive officer and/or the chief financial officer
        of
        Borrower, (I) based on such Pro Forma and Projections, to the effect that
        (a)
        Borrower will be Solvent upon the consummation of the transactions contemplated
        herein; (b) the Pro Forma fairly presents the financial condition of Borrower
        as
        of the date thereof after giving effect to the transactions contemplated
        by the
        Loan Documents; (c) the Projections are based upon estimates and assumptions
        stated therein, all of which Borrower believes to be reasonable in light
        of
        current conditions and current facts known to Borrower and, as of the
        Restatement Closing Date, reflect Borrower's good faith and reasonable estimates
        of its future financial performance and of the other information projected
        therein for the period set forth therein; and (d) containing such other
        statements with respect to the solvency of Borrower and matters related thereto
        as Agent shall request, and (II) certifying that as of March 31, 2006 and
        on a
        Pro Forma Basis after giving effect to the Restatement Related Transactions,
        the
        Consolidated Senior Leverage Ratio does not exceed 3.75 to 1.00 and the
        Consolidated Total Leverage Ratio does not exceed 6.25 to 1.00 and that Borrower
        is otherwise in compliance with the Financial Covenants. 

       

      
        
          
          

        

        
          D-4

          
            

          

        

        
          
          

        

      

      DD. Intentionally
        Omitted.

       

      EE. Other
        Documents.
        Such
        other certificates, documents and agreements respecting any Credit Party
        as
        Agent may reasonably request.

       

      
        
          
          

        

        
          D-5

          
            

          

        

        
          
          

        

      

      ANNEX
        E (Section
        4.1(a))

       

      to

       

      CREDIT
        AGREEMENT

       

      FINANCIAL
        STATEMENTS AND PROJECTIONS —
        REPORTING

       

      Borrower
        shall deliver or cause to be delivered to Agent or to Agent and Lenders,
        as
        indicated, the following:

       

      (a) [Intentionally
        Omitted].

       

      (b) Quarterly
        Financials.
        To
        Agent and Lenders, within forty-five (45) days after the end of each Fiscal
        Quarter, the following consolidated financial statements for Borrower and
        its
        Subsidiaries, certified by the chief financial officer of Borrower: (i)
        unaudited balance sheets as of the close of such Fiscal Quarter and the related
        statements of income and cash flow for that portion of the Fiscal Year ending
        as
        of the close of such Fiscal Quarter and (ii) unaudited statements of income
        and
        cash flows for such Fiscal Quarter, in each case setting forth in comparative
        form the figures for the corresponding period in the prior year and the figures
        contained in the Projections for such Fiscal Year, all prepared in accordance
        with GAAP (subject to normal year-end adjustments and the absence of footnotes).
        Such financial statements shall be accompanied by (A) a statement in
        reasonable detail (each, a "Compliance
        Certificate")
        signed
        by a Responsible Officer of Borrower (i) showing the calculations used in
        determining compliance with each of the Financial Covenants that is tested
        on a
        quarterly basis, (ii) showing the calculations of the Consolidated Fixed
        Charge
        Coverage Ratio and Consolidated Senior Leverage Ratio for the Credit Parties
        for
        the four-fiscal quarter period ending on the last day of the period covered
        by
        such financial statements, (iii) certifying whether a Dividend Suspension
        Period
        or Interest Deferral Period shall have occurred and be continuing, (iv)
        certifying as to the number of access lines operated by the Credit Parties
        as of
        the end of the prior Fiscal Quarter and (v) showing the calculations of
        Distributable Cash and Excess Cash, in each case, for the prior Fiscal
        Quarter and
        (B) the certification of the chief financial officer of Borrower that (i)
        such financial statements present fairly in all material respects in accordance
        with GAAP (subject to normal year-end adjustments and the absence of footnotes)
        the financial position and results of operations and cash flows of Borrower
        and
        its Subsidiaries, on a consolidated basis, as at the end of such Fiscal Quarter
        and for that portion of the Fiscal Year then ended, (ii) any other information
        presented is true, correct and complete in all material respects and that
        there
        was no Default or Event of Default in existence as of such time or, if a
        Default
        or Event of Default has occurred and is continuing, describing the nature
        thereof and all efforts undertaken to cure such Default or Event of Default.
        In
        addition, Borrower shall deliver to Agent and Lenders, within forty-five
        (45)
        days after the end of each Fiscal Quarter, a management discussion and analysis
        that includes a comparison to budget for that portion of the Fiscal Year
        ending
        as of the close of such Fiscal Quarter and a comparison of performance for
        that
        portion of the Fiscal Year ending as of the close of such Fiscal Quarter
        to the
        corresponding period in the prior year.

       

      
        
          
          

        

        
          E-1

          
            

          

        

        
          
          

        

      

      (c) Operating
        Plan.
        To
        Agent and Lenders, as soon as available, but not later than thirty (30) days
        after the end of each Fiscal Year, an annual operating plan for Borrower,
        approved by the Board of Directors of Borrower, for the following Fiscal
        Year,
        which (i) includes a statement of all of the material assumptions on which
        such
        plan is based, (ii) includes a monthly budget for the following year and
        (iii) integrates sales, gross profits, operating expenses, operating profit
        and cash flow projections, all prepared on the same basis and in similar
        detail
        as that on which operating results are reported (and in the case of cash
        flow
        projections, representing management's good faith estimates of future financial
        performance based on historical performance), and including plans for personnel,
        Consolidated Capital Expenditures and facilities.

       

      (d) Annual
        Audited Financials.
        To
        Agent and Lenders, within ninety (90) days after the end of each Fiscal Year,
        audited Financial Statements for Borrower and its Subsidiaries on a consolidated
        basis, consisting of balance sheets and statements of income and retained
        earnings and cash flows, setting forth in comparative form in each case the
        figures for the previous Fiscal Year, which Financial Statements shall be
        prepared in accordance with GAAP and certified without qualification as to
        going
        concern status or like qualification or scope of the audit, by an independent
        certified public accounting firm of national standing or otherwise acceptable
        to
        Agent. Such Financial Statements shall be accompanied by (i) a statement
        prepared in reasonable detail showing the calculations used in determining
        compliance with each of the Financial Covenants, (ii) a report from such
        accounting firm to the effect that, in connection with their audit examination,
        nothing has come to their attention to cause them to believe that a Default
        or
        Event of Default has occurred (or specifying those Defaults and Events of
        Default that they became aware of), it being understood that such audit
        examination extended only to accounting matters and that no special
        investigation was made with respect to the existence of Defaults or Events
        of
        Default, (iii) a letter addressed to Agent, on behalf of itself and Lenders,
        in
        form and substance reasonably satisfactory to Agent and subject to standard
        qualifications required by nationally recognized accounting firms, signed
        by
        such accounting firm acknowledging that Agent and Lenders are entitled to
        rely
        upon such accounting firm's certification of such audited Financial Statements,
        (iv) the annual letters to such accountants in connection with their audit
        examination detailing contingent liabilities and material litigation matters,
        and (v) the certification of the chief executive officer or chief financial
        officer of Borrower that all such Financial Statements present fairly in
        all
        material respects in accordance with GAAP the financial position and results
        of
        operations and cash flows of Borrower and its Subsidiaries on a consolidated
        basis, as at the end of such Fiscal Year and for the period then ended, and
        that
        there was no Default or Event of Default in existence as of such time or,
        if a
        Default or Event of Default has occurred and is continuing, describing the
        nature thereof and all efforts undertaken to cure such Default or Event of
        Default.

       

      (e) Management
        Letters.
        To
        Agent and Lenders, within five (5) Business Days after receipt thereof by
        any
        Credit Party, copies of all management letters, exception reports or similar
        letters or reports received by such Credit Party from its independent certified
        public accountants.

       

      
        
          
          

        

        
          E-2

          
            

          

        

        
          
          

        

      

      (f) Default
        Notices.
        To
        Agent and Lenders, as soon as practicable, and in any event within five (5)
        Business Days after an executive officer of Borrower has actual knowledge
        of the
        existence of any Default, Event of Default or other event that has had a
        Material Adverse Effect, telephonic or telecopied notice specifying the nature
        of such Default or Event of Default or other event, including the anticipated
        effect thereof, which notice, if given telephonically, shall be promptly
        confirmed in writing on the next Business Day.

       

      (g) SEC
        Filings and Press Releases.
        To
        Agent and Lenders, promptly upon their becoming available, copies of (or,
        if
        made publicly available on publicly accessible electronic medium (e.g. internet,
        EDGAR or other another similar medium), notice of posting to such electronic
        media): (i) all Financial Statements, reports, notices and proxy statements
        made
        publicly available by any Credit Party to its security holders generally;
        (ii)
        all regular and periodic reports and all registration statements and
        prospectuses, if any, filed by any Credit Party with any securities exchange
        or
        with the Securities and Exchange Commission or any governmental or private
        regulatory authority; and (iii) all press releases and other statements made
        available by any Credit Party to the public concerning material changes or
        developments in the business of any such Person.

       

      (h) Subordinated
        Debt and Equity Notices.
        To
        Agent and Lenders, as soon as practicable, copies of all material written
        notices given or received by any Credit Party with respect to any Subordinated
        Debt or Stock of such Person, and, within two (2) Business Days after any
        Credit
        Party obtains knowledge of any matured or unmatured event of default with
        respect to any Subordinated Debt, notice of such event of default.

       

      (i) Supplemental
        Schedules.
        To
        Agent and Lenders, supplemental disclosures, if any, required by Section
        5.6.

       

      (j) Litigation.
        To
        Agent and Lenders in writing, promptly upon learning thereof, notice of any
        Litigation commenced or threatened against any Credit Party that (i) seeks
        damages in excess of $500,000, (ii) seeks injunctive relief, (iii) is asserted
        or instituted against any Plan, its fiduciaries or its assets or against
        any
        Credit Party or ERISA Affiliate in connection with any Plan, (iv) alleges
        criminal misconduct by any Credit Party, or (v) alleges the violation of
        any law
        regarding, or seeks remedies in connection with, any Environmental Liabilities
        reasonably likely to be in excess of $500,000.

       

      (k) Insurance
        Notices.
        To
        Agent and Lenders, disclosure of losses or casualties required by Section
        5.4.

       

      (l) Lease
        Default Notices.
        To
        Agent, within two (2) Business Days after receipt thereof, copies of (i)
        any and
        all default notices received under or with respect to any leased location
        or
        public warehouse where Collateral having a value, individually or in the
        aggregate, in excess of $250,000 is stored or located, and (ii) such other
        notices or documents with respect to such leased locations or public warehouses
        as Agent may reasonably request.

       

      
        
          
          

        

        
          E-3

          
            

          

        

        
          
          

        

      

      (m) Lease
        Amendments.
        To
        Agent, within two (2) Business Days after receipt thereof, copies of any
        amendment to a lease of Material Real Estate.

       

      (n) Regulatory
        Notices.
        To
        Agent and Lenders, promptly upon receipt of notice of (i) any actual or
        threatened forfeiture, non-renewal, cancellation, termination, revocation,
        suspension, impairment or material modification of any material
        Telecommunications Approval held by any Credit Party, or any notice of default
        or forfeiture with respect to any such material Telecommunications Approval,
        or
        (ii) any refusal by the FCC, any PUC or any Franchising Authority to renew
        or
        extend any such material Communications License, a certificate of an Responsible
        Officer specifying the nature of such event, the period of existence thereof,
        and what action such Credit Party is taking and propose to take with respect
        thereto.

       

      (o) Change
        of Location.
        To
        Agent and Lenders, within ten (10) Business Days after the change of location
        thereof, notice of change in locations at which Collateral having a value,
        individually or in the aggregate, in excess of $100,000, is held or stored,
        or
        the location of its records concerning such Collateral. 

       

      (p) Other
        Documents.
        To
        Agent and Lenders, such other financial and other information respecting
        any
        Credit Party's business or financial condition as Agent or any Lender shall,
        from time to time, reasonably request.

       

      
        
          
          

        

        
          E-4

          
            

          

        

        
          
          

        

      

       

    

    ANNEX
      F (Section
      4.1(b))

     

    to

     

    CREDIT
      AGREEMENT

     

    COLLATERAL
      REPORTS

     

    Borrower
      shall deliver or cause to be delivered the following:

     

    (a) [Intentionally
      Omitted]

     

    (b) [Intentionally
      Omitted]

     

    (c) [Intentionally
      Omitted]

     

    (d) To
      Agent,
      at the time of delivery of each of the quarterly Financial Statements delivered
      pursuant to Annex
      E,
      (i) a
      listing of government contracts of Borrower subject to the Federal Assignment
      of
      Claims Act of 1940; and (ii) a list of any applications for the registration
      of
      any Patent, Trademark or Copyright filed by any Credit Party with the United
      States Patent and Trademark Office, the United States Copyright Office or any
      similar office or agency in the prior Fiscal Quarter;

     

    (e) [Intentionally
      Omitted] 

     

    (f) To
      Agent,
      at Borrower's expense, such appraisals of its assets as Agent may reasonably
      request at any time after the occurrence and during the continuance of a Default
      or an Event of Default, such appraisals to be conducted by an appraiser, and
      in
      form and substance reasonably satisfactory to Agent; and

     

    (g) Such
      other reports, statements and reconciliations with respect to the Collateral
      or
      Obligations of any or all Credit Parties as Agent or any Lender shall from
      time
      to time request in its reasonable discretion.

    
      
        
        

      

      
        F-1

        
          

        

      

      
        
        

      

    

    ANNEX
      G (Section
      6.10)

     

    to

     

    CREDIT
      AGREEMENT

     

    FINANCIAL
      COVENANTS

     

    Borrower
      shall not breach or fail to comply with any of the following financial
      covenants, each of which shall be calculated (i) in accordance with GAAP
      consistently applied or (ii) to the extent a Permitted Acquisition shall have
      been consummated after the first day of the then applicable Test Period, on
      a
      Pro Forma Basis giving effect to such Permitted Acquisition in accordance with
      GAAP consistently applied: 

     

    (a) Minimum
      Consolidated Fixed Charge Coverage Ratio.
      Credit
      Parties shall have, at the end of each Fiscal Quarter, a Consolidated Fixed
      Charge Coverage Ratio for the Test Period ending with such Fiscal Quarter of
      not
      less than 1.04 to 1.00.

     

    (b) Maximum
      Consolidated Senior Leverage Ratio.
      Credit
      Parties shall have, at the end of each Fiscal Quarter, a Consolidated Senior
      Leverage Ratio as of the last day of such Fiscal Quarter and for the Test Period
      ending with such Fiscal Quarter of not more than 4.00 to 1.00.

     

    Unless
      otherwise specifically provided herein, any accounting term used in the
      Agreement shall have the meaning customarily given such term in accordance
      with
      GAAP, and all financial computations hereunder shall be computed in accordance
      with GAAP consistently applied. That certain items or computations are
      explicitly modified by the phrase "in accordance with GAAP" shall in no way
      be
      construed to limit the foregoing. If any "Accounting Changes" (as defined below)
      occur and such changes result in a change in the calculation of the financial
      covenants, standards or terms used in the Agreement or any other Loan Document,
      then Borrower, Agent and Lenders agree to enter into negotiations in order
      to
      amend such provisions of the Agreement so as to equitably reflect such
      Accounting Changes with the desired result that the criteria for evaluating
      Borrower's and its Subsidiaries' financial condition and results of operations
      shall be the same after such Accounting Changes as if such Accounting Changes
      had not been made; provided,
      however,
      that
      the agreement of Requisite Lenders to any required amendments of such provisions
      shall be sufficient to bind all Lenders. "Accounting
      Changes"
      means
      (i) changes in accounting principles required by the promulgation of any rule,
      regulation, pronouncement or opinion by the Financial Accounting Standards
      Board
      of the American Institute of Certified Public Accountants (or successor thereto
      or any agency with similar functions), (ii) changes in accounting principles
      concurred in by Borrower's certified public accountants; (iii) purchase
      accounting adjustments under FASB 141 or 142 and EITF 88-16, and the application
      of the accounting principles set forth in FASB 109, including the establishment
      of reserves pursuant thereto and any subsequent reversal (in whole or in part)
      of such reserves; and (iv) the reversal of any reserves established as a
      result of purchase accounting adjustments. All such purchase accounting
      adjustments resulting from expenditures made subsequent to the Original Closing
      Date (including capitalization of costs and expenses or payment of pre-Original
      Closing Date liabilities) shall be treated as expenses in the period the
      expenditures are made and deducted as part of the calculation of Consolidated
      EBITDA in such period. If Borrower and Requisite Lenders agree upon the required
      amendments, then after appropriate amendments have been executed and the
      underlying Accounting Change with respect thereto has been implemented, any
      reference to GAAP contained in the Agreement or in any other Loan Document
      shall, only to the extent of such Accounting Change, refer to GAAP, consistently
      applied after giving effect to the implementation of such Accounting Change.
      If
      Borrower and Requisite Lenders cannot agree upon the required amendments within
      thirty (30) days following the date of implementation of any Accounting Change,
      then (i) all Financial Statements shall be prepared, delivered and made after
      giving effect to the underlying Accounting Change, and (ii) all calculations
      of
      financial covenants and other standards and terms in accordance with the
      Agreement and the other Loan Documents shall be prepared, delivered and made
      without regard to the underlying Accounting Change. For purposes of Section
      8.1,
      a
      breach of a Financial Covenant contained in this Annex G
      shall be
      deemed to have occurred as of the last day of any specified measurement period,
      regardless of when the Financial Statements reflecting such breach are delivered
      to Agent or any Lender.

    
      
        
        

      

      
        G-1

        
          

        

      

      
        
        

      

    

     

    ANNEX
      H (Section
      9.9(a))

     

    to

     

    CREDIT
      AGREEMENT

     

    LENDERS'
      WIRE TRANSFER INFORMATION

     

    
      	 Name:	 	 General
              Electric Capital Corporation
	 Bank:	 	 Deutsche
              Bank Trust Company Americas
	 	 	 New York, New York
	 ABA #: 	 	 021001033
	 Account #:	 	 50232854
	 Account Name:	 	 GECC/CAF Depository
	 Reference:	 	 Otelco -
              CFN5836

    

     

    
      
        
        

      

      
        H-1

        
          

        

      

      
        
        

      

    

    ANNEX
      I (Section
      11.10)

     

    to

     

    CREDIT
      AGREEMENT

     

    NOTICE
      ADDRESSES

     

    (A)
       If
      to
      Agent or GE Capital, at

    

    General
      Electric Capital Corporation

    201
      Merritt 7

    Norwalk,
      CT 06851

    Attention:
      Scott Tricarico, Account Manager

    Telecopier
      No.: 203-956-4125

    Telephone
      No.: 203-956-4543

    

    with
      a
      copy to:

    

    Dewey
      Ballantine LLP

    1301
      Avenue of the Americas

    New
      York,
      New York 10019

    Attention:
      Fred Bass, Esq.

    Telecopier
      No.: 212-259-6333

    Telephone
      No.: 212-259-6330

    

    and

    

    General
      Electric Capital Corporation

    201
      Merritt 7

    Norwalk,
      CT 06851

    Attention:
      Corporate Counsel-Global Media & Communications

    Telecopier
      No.: 203-956-4258

    Telephone
      No.: 203-956-4785

    

    (B) 
       If
      to AIG
      Annuity Insurance Company,

    

    Payment
      notices to:

    

    AIG
      Global Investment Group

    c/o
      The
      Bank of New York

    Attn:
      P
& I Department

    P.O.
      Box
      19266 

    Newark,
      NJ 07195

    Telephone:
      718-315-3026

    Fax:
      718-315-3076

    
      
        
        

      

      
        I-1

        
          

        

      

      
        
        

      

    

    

    Duplicate
      payment notices and compliance
      information
      to:

    

    AIG
      Annuity Reinsurance

    c/o
      AIG
      Global Investment Group

    2929
      Allen Parkway, A36-04 

    Houston,
      Texas 77019-2155

    Attn:
      Private Placement Department

    Fax:
      713-831-1072

    

    All
      other
      correspondence to:

    

    AIG
      Global Investment Group

    2929
      Allen Parkway, A36-01

    Houston,
      Texas 77019-2155

    Attn:
      Legal Department - Investment Management

    Fax:
      (713) 831-2328

    

    (C) If
      to
      CoBank, ACB, at

    

    CoBank,
      ACB

    5500
      South Quebec Street

    Greenwood
      Village, Colorado 80111

    Attention:
      Communications and Energy Banking Group

    Telecopier
      No.: 303-224-2639

    

    (D) If
      to
      Borrower, at

    

    Otelco
      Inc.

    505
      3rd
      Avenue East

    Oneonta,
      Alabama 35121

    Attention:
      President

    Telecopier
      No.: 205-274-8999

    Telephone
      No.: 205-625-3574

    

    with
      a
      copy to:

    

    Dorsey
      & Whitney LLP

    250
      Park
      Avenue

    New
      York,
      New York 10177

    Attention:
      Steven Khadavi

    Telecopier
      No.: 212-953-7201

    Telephone
      No.: 212-415-9200

    
      
        
        

      

      
        I-2

        
          

        

      

      
        
        

      

    

    

    (E) If
      to any
      other Credit Party, at

    

    c/o
      Otelco Inc.

    505
      3rd
      Avenue East

    Oneonta,
      Alabama 35121

    Attention:
      President

    Telecopier
      No.: 205-274-8999

    Telephone
      No.: 205-625-3574

    

    with
      a
      copy to:

    

    Dorsey
      & Whitney LLP

    250
      Park
      Avenue

    New
      York,
      New York 10177

    Attention:
      Steven Khadavi

    Telecopier
      No.: 212-953-7201

    Telephone
      No.: 212-415-9200

    
      
        
        

      

      
        I-3

        
          

        

      

      
        
        

      

    

    ANNEX
      J (from Annex A - Commitments definition)

     

    to

     

    CREDIT
      AGREEMENT

    

    Lender(s):

    

      
        	
                GENERAL
                  ELECTRIC CAPITAL CORPORATION

              
	 	 	 	 	 	 	 	 
	
                Revolving
                  Loan Commitment: 

              	 	 	 	 	
                $

              	
                7,500,000.00

              	 
	
                Original
                  Term Loan Commitment: 

              	 	 	 	 	
                $

              	
                27,500,000.00

              	 
	
                Additional
                  Term Loan Commitment: 

              	 	 	 	 	
                $

              	
                14,736,842.10

              	 
	
                Total
                  Term Loan Commitment: 

              	 	 	 	 	
                $

              	
                42,236,842.10

              	 
	 	 	 	 	 	 	 	 
	
                AIG
                  ANNUITY INSURANCE COMPANY

              	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 
	
                Revolving
                  Loan Commitment: 

              	 	 	 	 	
                $

              	
                0

              	 

      

       

      
        	
                Original
                  Term Loan Commitment: 

              	 	
                $

              	
                30,000,000.00

              	 
	
                Additional
                  Term Loan Commitment: 

              	 	
                $

              	
                12,631,578.95

              	 
	
                Total
                  Term Loan Commitment: 

              	 	
                $

              	
                42,631,578.95

              	 
	 	 	 	 	 
	
                COBANK,
                  ACB 

              	 	 	 	 
	 	 	 	 	 
	
                Revolving
                  Loan Commitment (including a Swing Line Commitment of $1,500,000):
                  

              	 	
                $

              	
                7,500,000.00

              	 
	
                Original
                  Term Loan Commitment: 

              	 	
                $

              	
                22,500,000.00

              	 
	
                Additional
                  Term Loan Commitment: 

              	 	
                $

              	
                12,631,578.95

              	 
	
                Total
                  Term Loan Commitment: 

              	 	
                $

              	
                35,131,578.95

              	 

      

    

     

    
      
        
        

      

      
        J-1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00106-of-00352.parquet"}]]