Document:

Exhibit
10.1

 

 

 

SECOND
AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT

BY AND
AMONG

NEW PLAN
EXCEL REALTY TRUST, INC.,

THE
LENDERS PARTY HERETO,

BANK OF
AMERICA, N.A.,

AS ADMINISTRATIVE AGENT, AND

BANC OF
AMERICA SECURITIES LLC AND

BNY CAPITAL MARKETS, INC,

AS JOINT LEAD ARRANGERS

BANC OF
AMERICA SECURITIES LLC,

AS SOLE BOOK MANAGER,

THE BANK
OF NEW YORK AND

KEYBANK NATIONAL ASSOCIATION,

AS CO-SYNDICATION AGENTS

JPMORGAN
CHASE BANK, N.A. AND

SUNRTRUST BANK,

AS CO-DOCUMENTATION
AGENTS,

DATED AS
OF AUGUST 25, 2006

 

 

 

	
  1.

  	
   

  	
  DEFINITIONS

  	
   

  	
  6

  
	
   

  	
   

  	
  1.1

  	
   

  	
  Defined Terms

  	
   

  	
  6

  
	
   

  	
   

  	
  1.2

  	
   

  	
  Other Interpretive Provisions

  	
   

  	
  25

  
	
   

  	
   

  	
  1.3

  	
   

  	
  Accounting Terms

  	
   

  	
  26

  
	
   

  	
   

  	
  1.4

  	
   

  	
  Rounding

  	
   

  	
  26

  
	
   

  	
   

  	
  1.5

  	
   

  	
  Times of Day

  	
   

  	
  26

  
	
   

  	
   

  	
  1.6

  	
   

  	
  Letter of Credit Amounts

  	
   

  	
  26

  
	
   

  	
   

  	
  1.7

  	
   

  	
  Clarification Concerning Calculations for Joint
  Ventures

  	
   

  	
  27

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
   

  	
  AMOUNT AND TERMS OF LOANS

  	
   

  	
  27

  
	
   

  	
   

  	
  2.1

  	
   

  	
  Revolving Credit Loans

  	
   

  	
  27

  
	
   

  	
   

  	
  2.1A

  	
   

  	
  Swing Loan Commitment

  	
   

  	
  27

  
	
   

  	
   

  	
  2.2

  	
   

  	
  Notes

  	
   

  	
  29

  
	
   

  	
   

  	
  2.3

  	
   

  	
  Procedure for Revolving Credit Loan Borrowings Other
  than Competitive Advances

  	
   

  	
  30

  
	
   

  	
   

  	
  2.4

  	
   

  	
  Competitive Advances

  	
   

  	
  32

  
	
   

  	
   

  	
  2.5

  	
   

  	
  Letters of Credit

  	
   

  	
  34

  
	
   

  	
   

  	
  2.6

  	
   

  	
  Repayment of Loans; Evidence of Debt

  	
   

  	
  38

  
	
   

  	
   

  	
  2.7

  	
   

  	
  Prepayments of the Loans

  	
   

  	
  38

  
	
   

  	
   

  	
  2.8

  	
   

  	
  Conversions

  	
   

  	
  39

  
	
   

  	
   

  	
  2.9

  	
   

  	
  Interest Rate and Payment Dates

  	
   

  	
  40

  
	
   

  	
   

  	
  2.10

  	
   

  	
  Substituted Interest Rate

  	
   

  	
  41

  
	
   

  	
   

  	
  2.11

  	
   

  	
  Taxes; Net Payments

  	
   

  	
  41

  
	
   

  	
   

  	
  2.12

  	
   

  	
  Illegality

  	
   

  	
  42

  
	
   

  	
   

  	
  2.13

  	
   

  	
  Increased Costs

  	
   

  	
  42

  
	
   

  	
   

  	
  2.14

  	
   

  	
  Indemnification for Break Funding Losses

  	
   

  	
  43

  
	
   

  	
   

  	
  2.15

  	
   

  	
  Use of Proceeds

  	
   

  	
  44

  
	
   

  	
   

  	
  2.16

  	
   

  	
  Capital Adequacy

  	
   

  	
  44

  
	
   

  	
   

  	
  2.17

  	
   

  	
  Administrative Agent’s Records

  	
   

  	
  44

  
	
   

  	
   

  	
  2.18

  	
   

  	
  Extension of Maturity Date

  	
   

  	
  44

  
	
   

  	
   

  	
  2.19

  	
   

  	
  Representative of Borrower

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
   

  	
  FEES; PAYMENTS

  	
   

  	
  45

  
	
   

  	
   

  	
  3.1

  	
   

  	
  Fees

  	
   

  	
  45

  
	
   

  	
   

  	
  3.2

  	
   

  	
  Payments; Application of Payments

  	
   

  	
  46

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
   

  	
  REPRESENTATIONS AND WARRANTIES

  	
   

  	
  46

  
	
   

  	
   

  	
  4.1

  	
   

  	
  Existence and Power

  	
   

  	
  46

  
	
   

  	
   

  	
  4.2

  	
   

  	
  Authority

  	
   

  	
  47

  
	
   

  	
   

  	
  4.3

  	
   

  	
  Binding Agreement

  	
   

  	
  47

  
	
   

  	
   

  	
  4.4

  	
   

  	
  Subsidiaries; DownREIT Partnerships

  	
   

  	
  47

  
	
   

  	
   

  	
  4.5

  	
   

  	
  Litigation

  	
   

  	
  47

  
	
   

  	
   

  	
  4.6

  	
   

  	
  Required Consents

  	
   

  	
  48

  
	
   

  	
   

  	
  4.7

  	
   

  	
  No Conflicting Agreements

  	
   

  	
  48

  
	
   

  	
   

  	
  4.8

  	
   

  	
  Compliance with Applicable Laws

  	
   

  	
  48

  
	
   

  	
   

  	
  4.9

  	
   

  	
  Taxes

  	
   

  	
  48

  
	
   

  	
   

  	
  4.10

  	
   

  	
  Governmental Regulations

  	
   

  	
  48

  
	
   

  	
   

  	
  4.11

  	
   

  	
  Federal Reserve Regulations; Use of Loan Proceeds

  	
   

  	
  48

  
	
   

  	
   

  	
  4.12

  	
   

  	
  Plans; Multiemployer Plans

  	
   

  	
  49

  
	
   

  	
   

  	
  4.13

  	
   

  	
  Financial Statements

  	
   

  	
  49

  
	
   

  	
   

  	
  4.14

  	
   

  	
  Property

  	
   

  	
  49

  
	
   

  	
   

  	
  4.15

  	
   

  	
  Franchises, Intellectual Property, Etc.

  	
   

  	
  49

  
	
   

  	
   

  	
  4.16

  	
   

  	
  Environmental Matters

  	
   

  	
  50

  
	
   

  	
   

  	
  4.17

  	
   

  	
  Labor Relations

  	
   

  	
  50

  
	
   

  	
   

  	
  4.18

  	
   

  	
  [Intentionally Omitted.]

  	
   

  	
  51

  
	
   

  	
   

  	
  4.19

  	
   

  	
  Solvency

  	
   

  	
  51

  

 

 2
 

 

 

	
  

  	
   

  	
  4.20

  	
   

  	
  REIT Status

  	
   

  	
  51

  
	
   

  	
   

  	
  4.21

  	
   

  	
  List of Unencumbered Assets

  	
   

  	
  51

  
	
   

  	
   

  	
  4.22

  	
   

  	
  Operation of Business

  	
   

  	
  51

  
	
   

  	
   

  	
  4.23

  	
   

  	
  No Misrepresentation

  	
   

  	
  51

  
	
   

  	
   

  	
  4.24

  	
   

  	
  Taxpayer ID

  	
   

  	
  51

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
   

  	
  CONDITIONS TO EFFECTIVENESS OF THIS AGREEMENT

  	
   

  	
  51

  
	
   

  	
   

  	
  5.1

  	
   

  	
  Evidence of Action

  	
   

  	
  52

  
	
   

  	
   

  	
  5.2

  	
   

  	
  This Agreement

  	
   

  	
  52

  
	
   

  	
   

  	
  5.3

  	
   

  	
  Notes

  	
   

  	
  52

  
	
   

  	
   

  	
  5.4

  	
   

  	
  Guaranty

  	
   

  	
  52

  
	
   

  	
   

  	
  5.5

  	
   

  	
  Litigation

  	
   

  	
  52

  
	
   

  	
   

  	
  5.6

  	
   

  	
  Opinion of Counsel to the Borrower

  	
   

  	
  53

  
	
   

  	
   

  	
  5.7

  	
   

  	
  Fees

  	
   

  	
  53

  
	
   

  	
   

  	
  5.8

  	
   

  	
  Fees and Expenses of Special Counsel

  	
   

  	
  53

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  6.

  	
   

  	
  CONDITIONS OF LENDING — ALL LOANS

  	
   

  	
  53

  
	
   

  	
   

  	
  6.1

  	
   

  	
  Compliance

  	
   

  	
  53

  
	
   

  	
   

  	
  6.2

  	
   

  	
  Loan Closings

  	
   

  	
  53

  
	
   

  	
   

  	
  6.3

  	
   

  	
  Requests

  	
   

  	
  54

  
	
   

  	
   

  	
  6.4

  	
   

  	
  Documentation and Proceedings

  	
   

  	
  54

  
	
   

  	
   

  	
  6.5

  	
   

  	
  Required Acts and Conditions

  	
   

  	
  54

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  7.

  	
   

  	
  AFFIRMATIVE COVENANTS

  	
   

  	
  54

  
	
   

  	
   

  	
  7.1

  	
   

  	
  Financial Statements

  	
   

  	
  54

  
	
   

  	
   

  	
  7.2

  	
   

  	
  Certificates; Other Information

  	
   

  	
  55

  
	
   

  	
   

  	
  7.3

  	
   

  	
  Legal Existence

  	
   

  	
  58

  
	
   

  	
   

  	
  7.4

  	
   

  	
  Taxes

  	
   

  	
  58

  
	
   

  	
   

  	
  7.5

  	
   

  	
  Insurance

  	
   

  	
  58

  
	
   

  	
   

  	
  7.6

  	
   

  	
  Payment of Indebtedness and Performance of
  Obligations

  	
   

  	
  58

  
	
   

  	
   

  	
  7.7

  	
   

  	
  Maintenance of Property; Environmental
  Investigations

  	
   

  	
  59

  
	
   

  	
   

  	
  7.8

  	
   

  	
  Observance of Legal Requirements

  	
   

  	
  59

  
	
   

  	
   

  	
  7.10

  	
   

  	
  Licenses, Intellectual Property

  	
   

  	
  60

  
	
   

  	
   

  	
  7.11

  	
   

  	
  Additional Guarantors

  	
   

  	
  60

  
	
   

  	
   

  	
  7.12

  	
   

  	
  REIT Status; Operation of Business

  	
   

  	
  60

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  8.

  	
   

  	
  NEGATIVE COVENANTS

  	
   

  	
  60

  
	
   

  	
   

  	
  8.1

  	
   

  	
  Liens

  	
   

  	
  60

  
	
   

  	
   

  	
  8.2

  	
   

  	
  Merger, Consolidation and Certain Dispositions of
  Property

  	
   

  	
  61

  
	
   

  	
   

  	
  8.3

  	
   

  	
  Investments, Loans, Etc.

  	
   

  	
  63

  
	
   

  	
   

  	
  8.4

  	
   

  	
  Business Changes

  	
   

  	
  64

  
	
   

  	
   

  	
  8.5

  	
   

  	
  Amendments to Organizational Documents

  	
   

  	
  64

  
	
   

  	
   

  	
  8.6

  	
   

  	
  Anti-Terrorism Laws; FCPA

  	
   

  	
  65

  
	
   

  	
   

  	
  8.7

  	
   

  	
  Sale and Leaseback

  	
   

  	
  65

  
	
   

  	
   

  	
  8.8

  	
   

  	
  Transactions with Affiliates

  	
   

  	
  65

  
	
   

  	
   

  	
  8.9

  	
   

  	
  Issuance of Additional Capital Stock by Subsidiary
  Guarantors

  	
   

  	
  65

  
	
   

  	
   

  	
  8.10

  	
   

  	
  Hedging Agreements

  	
   

  	
  65

  
	
   

  	
   

  	
  8.11

  	
   

  	
  Restricted Payments

  	
   

  	
  65

  
	
   

  	
   

  	
  8.12

  	
   

  	
  Intentionally Omitted

  	
   

  	
  66

  
	
   

  	
   

  	
  8.13

  	
   

  	
  Fixed Charge Coverage Ratio

  	
   

  	
  66

  
	
   

  	
   

  	
  8.14

  	
   

  	
  Minimum Tangible Net Worth

  	
   

  	
  66

  
	
   

  	
   

  	
  8.15

  	
   

  	
  Total Indebtedness to Total Assets; Secured Indebtedness
  to Total Assets

  	
   

  	
  66

  
	
   

  	
   

  	
  8.16

  	
   

  	
  Indebtedness to Unencumbered Assets Ratio

  	
   

  	
  66

  
	
   

  	
   

  	
  8.17

  	
   

  	
  Maximum Book Value of Ancillary Assets

  	
   

  	
  67

  
	
   

  	
   

  	
  8.18

  	
   

  	
  Development Activity

  	
   

  	
  67

  

 

 3
 

 

 

	
  9.

  	
   

  	
  DEFAULT

  	
   

  	
  67

  
	
   

  	
   

  	
  9.1

  	
   

  	
  Events of Default

  	
   

  	
  67

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  10.

  	
   

  	
  THE AGENT

  	
   

  	
  70

  
	
   

  	
   

  	
  10.1

  	
   

  	
  Appointment and Authority

  	
   

  	
  70

  
	
   

  	
   

  	
  10.2

  	
   

  	
  Rights as a Lender

  	
   

  	
  70

  
	
   

  	
   

  	
  10.3

  	
   

  	
  Exculpatory Provisions

  	
   

  	
  70

  
	
   

  	
   

  	
  10.4

  	
   

  	
  Reliance by Administrative Agent

  	
   

  	
  71

  
	
   

  	
   

  	
  10.5

  	
   

  	
  Notice of Default

  	
   

  	
  71

  
	
   

  	
   

  	
  10.6

  	
   

  	
  Delegation of Duties

  	
   

  	
  71

  
	
   

  	
   

  	
  10.7

  	
   

  	
  Indemnification

  	
   

  	
  71

  
	
   

  	
   

  	
  10.8

  	
   

  	
  Successor Administrative Agent

  	
   

  	
  72

  
	
   

  	
   

  	
  10.9

  	
   

  	
  Non-Reliance on Administrative Agent and Other
  Lenders

  	
   

  	
  73

  
	
   

  	
   

  	
  10.10

  	
   

  	
  No Other Duties, Etc.

  	
   

  	
  73

  
	
   

  	
   

  	
  10.11

  	
   

  	
  Administrative Agent May File Proofs of Claim

  	
   

  	
  73

  
	
   

  	
   

  	
  10.12

  	
   

  	
  Guaranty Matters

  	
   

  	
  74

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  11.

  	
   

  	
  OTHER PROVISIONS

  	
   

  	
  74

  
	
   

  	
   

  	
  11.1

  	
   

  	
  Amendments and Waivers

  	
   

  	
  74

  
	
   

  	
   

  	
  11.2

  	
   

  	
  Notices

  	
   

  	
  75

  
	
   

  	
   

  	
  11.3

  	
   

  	
  No Waiver; Cumulative Remedies

  	
   

  	
  76

  
	
   

  	
   

  	
  11.4

  	
   

  	
  Survival of Representations and Warranties

  	
   

  	
  76

  
	
   

  	
   

  	
  11.5

  	
   

  	
  Payment of Expenses and Taxes

  	
   

  	
  76

  
	
   

  	
   

  	
  11.6

  	
   

  	
  Lending Offices

  	
   

  	
  77

  
	
   

  	
   

  	
  11.7

  	
   

  	
  Successors and Assigns

  	
   

  	
  77

  
	
   

  	
   

  	
  11.8

  	
   

  	
  [Intentionally Omitted]

  	
   

  	
  81

  
	
   

  	
   

  	
  11.9

  	
   

  	
  Counterparts; Integration; Effectiveness

  	
   

  	
  81

  
	
   

  	
   

  	
  11.10

  	
   

  	
  Adjustments; Set-off

  	
   

  	
  82

  
	
   

  	
   

  	
  11.11

  	
   

  	
  Lenders’ Representations

  	
   

  	
  82

  
	
   

  	
   

  	
  11.12

  	
   

  	
  Indemnity

  	
   

  	
  82

  
	
   

  	
   

  	
  11.13

  	
   

  	
  Governing Law

  	
   

  	
  83

  
	
   

  	
   

  	
  11.14

  	
   

  	
  Headings Descriptive

  	
   

  	
  83

  
	
   

  	
   

  	
  11.15

  	
   

  	
  Severability

  	
   

  	
  83

  
	
   

  	
   

  	
  11.16

  	
   

  	
  Confidential Information

  	
   

  	
  83

  
	
   

  	
   

  	
  11.17

  	
   

  	
  Consent to Jurisdiction

  	
   

  	
  84

  
	
   

  	
   

  	
  11.18

  	
   

  	
  Service of Process

  	
   

  	
  84

  
	
   

  	
   

  	
  11.19

  	
   

  	
  No Limitation on Service or Suit

  	
   

  	
  84

  
	
   

  	
   

  	
  11.20

  	
   

  	
  WAIVER OF TRIAL BY JURY

  	
   

  	
  84

  
	
   

  	
   

  	
  11.21

  	
   

  	
  Termination

  	
   

  	
  85

  
	
   

  	
   

  	
  11.22

  	
   

  	
  Replacement Notes

  	
   

  	
  85

  
	
   

  	
   

  	
  11.23

  	
   

  	
  USA PATRIOT Act Notice

  	
   

  	
  85

  
	
   

  	
   

  	
  11.24

  	
   

  	
  Replacement of Lenders

  	
   

  	
  85

  
	
   

  	
   

  	
  11.25

  	
   

  	
  No Advisory or Fiduciary Relationships

  	
   

  	
  86

  

 

 4
 

 

LIST OF EXHIBITS AND
SCHEDULES

	
  EXHIBITS:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A

  	
   

  	
  —

  	
   

  	
  Assignment and Assumption

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B

  	
   

  	
  —

  	
   

  	
  Borrowing Request

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit C

  	
   

  	
  —

  	
   

  	
  Commitments and Domestic LIBOR Lending Offices

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit D

  	
   

  	
  —

  	
   

  	
  Competitive Advance Note

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit E

  	
   

  	
  —

  	
   

  	
  Competitive Bid

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit F

  	
   

  	
  —

  	
   

  	
  Competitive Bid Request

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit G

  	
   

  	
  —

  	
   

  	
  Compliance Certificate

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit H

  	
   

  	
  —

  	
   

  	
  Guaranty

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit I

  	
   

  	
  —

  	
   

  	
  Reserved

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit J

  	
   

  	
  —

  	
   

  	
  Swing Loan Note

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit K

  	
   

  	
  —

  	
   

  	
  Revolving Credit Note

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit L

  	
   

  	
  —

  	
   

  	
  Letter of Credit Request

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit M

  	
   

  	
  —

  	
   

  	
  Form of Notice of Conversion

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit N

  	
   

  	
  —

  	
   

  	
  Reserved

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit O

  	
   

  	
  —

  	
   

  	
  Secretary’s Certificate Borrower

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit P

  	
   

  	
  —

  	
   

  	
  Secretary’s Certificate Guarantor

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULES:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 1.1

  	
   

  	
  —

  	
   

  	
  Closing Date Approved Management Contracts

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 1.2

  	
   

  	
  —

  	
   

  	
  Existing Letters of Credit

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 4.4

  	
   

  	
  —

  	
   

  	
  Subsidiaries (including Subsidiary Guarantors)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 4.5

  	
   

  	
  —

  	
   

  	
  Litigation

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 4.12

  	
   

  	
  —

  	
   

  	
  Plans

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 4.21

  	
   

  	
  —

  	
   

  	
  List of Unencumbered Assets

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 11.2

  	
   

  	
  —

  	
   

  	
  Notice Addresses

  

 

 5

 

 

SECOND
AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT, dated as of August 25, 2006,
by and among NEW PLAN EXCEL REALTY TRUST, INC., a Maryland corporation (the “Borrower”),
each lender party hereto or which becomes a “Lender” pursuant to the provisions
of Section 11.7 (each a “Lender” and, collectively, the “Lenders”), and BANK OF
AMERICA, N.A. (“Bank of America”), as administrative agent for the Lenders (in
such capacity, the “Administrative Agent”).

RECITALS

WHEREAS,
Borrower, Bank of America, as administrative agent and as a lender, and certain
other lenders, entered into that certain First Amended and Restated Revolving
Credit Agreement dated as of June 29, 2004, as amended by that certain First
Amendment to First Amended and Restated Revolving Credit Agreement dated as of
July 19, 2005 (as the same may have been otherwise amended, restated,
supplemented or modified prior to the date hereof, the “Replaced Credit
Agreement”);

WHEREAS,
Borrower has requested that the Lenders and Administrative Agent agree to amend
certain provisions of the Replaced Credit Agreement; and

WHEREAS,
in connection therewith, Administrative Agent, Borrower and the Lenders desire
to amend and restate the Replaced Credit Agreement in its entirety;

NOW,
THEREFORE, in consideration of the recitals herein and the mutual covenants
contained herein, the parties hereto hereby amend and restate the Replaced
Credit Agreement in its entirety as follows:

1.             DEFINITIONS

                1.1           Defined Terms.

As
used in this Agreement, terms defined in the preamble have the meanings therein
indicated, and the following terms have the following meanings:

“Absolute
Rate Bid”:  as defined in Section
2.4(b).

“Accountants”:  any of PricewaterhouseCoopers LLP; Deloitte
& Touche LLP; Ernst & Young LLP; KPMG LLP; or any successor to any of
the foregoing; or such other firm of certified public accountants selected by
the Borrower and satisfactory to the Administrative Agent.

“Adjusted
Consolidated Total Assets”: 
determined on a Consolidated basis in accordance with GAAP for Borrower
and its Subsidiaries, the sum (without duplication) of the following:

(a)           the Operating Property Value; plus

(b)           the book value of Land Assets,
Redevelopment Assets, and Notes Receivable of Borrower and its Subsidiaries
(including, without limitation, all capitalized costs incurred in connection
therewith) on the last day of the fiscal quarter just ended; plus

(c)           the aggregate amount of the unpledged
portion of (i) all unrestricted cash and marketable securities of Borrower and
its Subsidiaries (including, without limitation, Investments described in
Section 8.3(a) through (f)) plus (ii) all restricted cash held by any
Person serving as a “qualified intermediary” for purposes of an exchange
pursuant to Section 1031 of the Code on behalf of Borrower or any of its
Subsidiaries; plus

(d)           the book value of properties acquired
during the previous 12 months (until the one-year anniversary date for acquired
properties) and New Construction Assets valued at cost; plus

(e)           the Management Fee Value.

 6
 

 

Adjusted
Consolidated Total Assets shall be calculated on a pro forma basis as if assets
acquired during the relevant period were owned as of the beginning of the
relevant period, and all assets disposed of during the relevant period were not
owned during any portion of the relevant period.

“Adjusted
Net Operating Income”:  for any
period, the aggregate amount of the Net Operating Income from each Unencumbered
Asset or Operating Property, as applicable, during such period, less the
Capital Expense Reserve for such Unencumbered Asset or Operating Property, as
applicable, during such period.

“Administrative
Agent’s Office”: the Administrative Agent’s address as set forth in Section
11.2, or such other address as the Administrative Agent may from time to time
notify to the Borrower and the Lenders.

“Administrative
Questionnaire”: an Administrative Questionnaire in a form supplied by the
Administrative Agent.

“Advance”:  a Prime Rate Loan, a LIBOR Loan or a
Competitive Advance, as the case may be.

“Affected
Advance”:  as defined in Section
2.10.

“Affected
Principal Amount”:  in the event that
(a) the Borrower shall fail for any reason to borrow or convert into a LIBOR
Loan after it shall have notified the Administrative Agent of its intent to do
so (whether it shall have requested a LIBOR Loan on the Effective Date or
pursuant to Section 2.3 or 2.8, or a Swing Loan pursuant to Section 2.1A, or
shall have accepted one or more offers of Competitive Advances under Section
2.4), an amount equal to the principal amount of such LIBOR Loan, Swing Loan or
Competitive Advance; (b) a LIBOR Loan, Swing Loan or Competitive Advance shall
terminate for any reason prior to the last day of the Interest Period
applicable thereto, an amount equal to the principal amount of such LIBOR Loan,
Swing Loan or Competitive Advance; or (c) the Borrower shall prepay or repay
all or any part of the principal amount of a LIBOR Loan, Swing Loan or
Competitive Advance prior to the last day of the Interest Period applicable
thereto (including, without limitation, any mandatory prepayment or a
prepayment resulting from acceleration or illegality), an amount equal to the
principal amount of such LIBOR Loan, Swing Loan or Competitive Advance so
prepaid or repaid.

“Affiliate”:  as to any Person, any other Person which,
directly or indirectly, is in control of, is controlled by, or is under common
control with, such Person.  For purposes
of this definition, control of a Person shall mean the power, direct or
indirect, (i) to vote 10% or more of the securities having ordinary voting
power for the election of directors of such Person or (ii) to direct or cause
the direction of the management and policies of such Person, whether by
contract or otherwise.

“Agreement”:  this Second Amended and Restated Revolving
Credit Agreement, as the same may be amended, supplemented or otherwise
modified from time to time.

“Agreement
Regarding Fees”:  that certain
Agreement Regarding Fees dated June 19, 2006 among Bank of America, Banc of
America Securities LLC and the Borrower.

“Ancillary
Assets”:  at any time (without
duplication), (a) all Real Property of the Borrower and its Subsidiaries which
is (i) a mortgage, (ii) a New Construction Asset, or (iii) any other Real
Property other than an open air shopping center or a single tenant retail
property, and (b) all Investments of the Borrower and its Subsidiaries of the
type described in Section 8.3(h) and (q), including, without limitation, all
Investments of the Borrower and its Subsidiaries in any FIN 46 Entities.

“Applicable
Lending Office”:  (a) in respect of
any Lender, (i) in the case of such Lender’s Prime Rate Loans and Competitive
Advances, its Domestic Lending Office and (ii) in the case of such Lender’s
LIBOR Loans, its LIBOR Lending Office, and (b) in respect of the Swing Loan
Lender and the Issuing Lender, the Domestic Lending Office of each thereof.

“Applicable
Margin”:  (a) with respect to the
unpaid principal balance of Prime Rate Loans or LIBOR Loans, at all times
during which the applicable Pricing Level set forth below is in effect, (b)
with respect to the calculation of the Facility Fee pursuant to Section 3.1, at
all times during which the applicable Pricing Level set 

 7
 

 

forth below is in
effect (the “Applicable Facility Fee Percentage”), and (c) with respect to the
calculation of the Letter of Credit Commission Fees pursuant to Section 2.5(f),
at all times during which the applicable Pricing Level set forth below is in
effect, the respective percentage set forth below next to such Pricing Level:

	
  Pricing Level

  	
   

  	
  LIBOR Loans/

  Letter of Credit 

  Commission Fee

  	
   

  	
  Prime Rate Loans

  	
   

  	
  Applicable Facility Fee

  Percentage

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Pricing Level I

  	
   

  	
  0.375

  	
  %

  	
  0

  	
  %

  	
  0.125

  	
  %

  
	
  Pricing Level II

  	
   

  	
  0.425

  	
  %

  	
  0

  	
  %

  	
  0.150

  	
  %

  
	
  Pricing Level
  III

  	
   

  	
  0.550

  	
  %

  	
  0

  	
  %

  	
  0.150

  	
  %

  
	
  Pricing Level IV

  	
   

  	
  0.750

  	
  %

  	
  0

  	
  %

  	
  0.200

  	
  %

  
	
  Pricing Level V

  	
   

  	
  1.000

  	
  %

  	
  0.250

  	
  %

  	
  0.250

  	
  %

  

 

Changes in the
Applicable Margin resulting from a change in a Pricing Level shall become
effective as of the opening of business upon the date of any change in the
Senior Debt Rating of the Borrower, as determined by S&P, Moody’s and/or
Fitch, as the case may be, which would affect the applicable Pricing Level.

“Approved
Fund”: means any Fund that is administered or managed by (a) a Lender, (b)
an Affiliate of a Lender or (c) an entity or an Affiliate of an entity that
administers or manages a Lender.

“Approved
Management Contracts”:  those
contracts listed on Schedule 1.1 attached hereto and any other property
management contracts between the Borrower or one of its consolidated
Subsidiaries and a third party (a) in which the Borrower or one of its
consolidated Subsidiaries has an equity ownership interest, or (b) that has
been approved by the Administrative Agent in its reasonable discretion.

“Assignment
and Assumption Agreement”:  an
assignment and assumption entered into by a Lender and an assignee (with the
consent of any party whose consent is required by Section 11.7), and accepted
by the Administrative Agent, in substantially the form of Exhibit A or
any other form approved by the Administrative Agent.

“Assignee
Group” means two or more Eligible Assignees that are Affiliates of one
another or two or more Approved Funds managed by the same investment advisor.

“Authorized
Signatory”:  the chairman of the
board, the chief executive officer, the president, any executive vice
president, the Chief Financial Officer or any other duly authorized officer
(acceptable to the Administrative Agent) of the Borrower.

“Available
Commitment Amount”: on any day, an amount equal to the Total Commitment
Amount at such time minus the total of all Competitive Advances outstanding on
such date.

“Bank
of America”:  Bank of America, N.A.

“BAS”:  Banc of America Securities LLC, in its
capacity as a Joint Lead Arranger and Book Manager.

“Benefited
Lender”:  as defined in Section 11.10.

“Borrower
Materials”: as defined in Section 7.2.

“Borrower’s
Interest”:  for any period, (a) with
respect to Unencumbered Assets or Operating Properties, as applicable, owned by
a DownREIT Partnership or a wholly owned Subsidiary of a DownREIT Partnership,
a fraction, expressed as a percentage, the numerator of which is the Net
Operating Income of such Unencumbered Assets or Operating Properties, as
applicable, for such period, less any distributions required to be made,
directly or indirectly, to partners or members of such DownREIT Partnership,
other than the Borrower and its Subsidiaries, and the denominator of which is
the Net Operating Income of such Unencumbered Assets or Operating Properties,
as applicable, for such period, and (b) with respect to any Ancillary Asset or
Redevelopment Asset, the Borrower’s pro rata share (based on its beneficial
ownership (direct or indirect) of the applicable Person holding such asset(s))
of the applicable amount being calculated for such period.

 8
 

 

“Borrowing
Date”:  any Business Day specified in
a Borrowing Request delivered pursuant to Sections 2.1, 2.1A or 2.3, or in a
Competitive Bid Request delivered pursuant Section 2.4, as the case may be, as
a date on which the Borrower requests the Lenders or the Swingline Lender to
make Loans.

“Borrowing
Request”:  a borrowing request in the
form of Exhibit B hereto.

“Business
Day”:  any day other than a Saturday,
Sunday or other day on which commercial banks are authorized to close under the
Laws of, or are in fact closed in, the state where the Administrative Agent’s
Office is located and, if such day relates to any LIBOR Loan, means any such
day on which dealings in Dollar deposits are conducted by and between banks in
the London interbank eurodollar market.

“Capital
Expense Reserve”:  during any period,
with respect to each Unencumbered Asset or Operating Property, as applicable,
an amount equal to (a) a per annum rate of $.15, multiplied by (b) the total
Net Rentable Area of such Unencumbered Asset or Operating Property, as
applicable (in each case whether or not such reserves are actually established
by the Borrower).

“Capital
Leases”:  leases which have been, or
under GAAP are required to be, capitalized.

“Cash
Collateralize”:  to pledge and
deposit with or deliver to Administrative Agent, for the benefit of Issuing
Lender and the Lenders, as collateral for the Letter of Credit Exposure, cash
or deposit account balances pursuant to documentation in form and substance
satisfactory to Administrative Agent and Issuing Lender (which documents are
hereby consented to by the Lenders). 
Borrower hereby grants Administrative Agent, for the ratable benefit of
the Issuing Lender and Lenders, a first priority lien on all such cash and
deposit account balances.  Cash
collateral shall be maintained in blocked, non-interest bearing deposit
accounts at Administrative Agent.

“Change
of Control”:  the occurrence of any
one of the following events:

(a)           any Person or Persons acting as a
group shall acquire direct or indirect ownership of 30% or more of the Borrower’s
common Stock; or

(b)           during any twelve month period on or
after the Effective Date, individuals who at the beginning of such period
constituted the Board of Directors of the Borrower (together with any new
directors whose election by the Board of Directors or whose nomination for
election by the shareholders of the Borrower was approved by a vote of at least
a majority of the members of the Board of Directors then in office who either
were members of the Board of Directors at the beginning of such period or whose
election or nomination for election was previously so approved) cease for any
reason to constitute a majority of the members of the Board of Directors then
in office; or

(c)           there occurs a change of control of
the Borrower of a nature that would be required to be reported in response to
Item 5.01 of Form 8-K in effect on the date hereof (or any successor
provision) filed pursuant to Section 13 or 15 under the Securities Exchange Act
of 1934, or in any other filing by the Borrower with the Securities and
Exchange Commission; or

(d)           the Borrower consolidates with, is
acquired by, or merges into or with any Person (other than a merger permitted
by Section 8.2).

“Chief
Financial Officer”:  at any time, the
chief financial officer of the Borrower, or if the Borrower does not have a
chief financial officer at such time, the officer designated by the Borrower as
its principal financial officer or such other officer of the Borrower that is
acceptable to the Administrative Agent.

“Code”:  the Internal Revenue Code of 1986, as the
same may be amended from time to time, or any successor thereto, and the rules
and regulations issued thereunder, as from time to time in effect.

 9
 

 

“Co-Documentation
Agents”:  JPMorgan Chase Bank, N.A.
and SunTrust Bank, and their respective successors in such capacity.

“Commitment”:  in respect of any Lender, such Lender’s
undertaking to make Loans (other than Swing Loans), or purchase participations
or subparticipations in Letters of Credit issued by the Issuing Lender or
purchase participations in Swing Loans to the Borrower, subject to the terms
and conditions hereof, in an aggregate outstanding principal amount not
exceeding such Lender’s Commitment Amount.

“Commitment
Amount”:  the amount set forth next to
the name of such Lender in Exhibit C under the heading “Commitments”
as such Lender’s Commitment Amount, as the same may be reduced pursuant to
Section 2.3(g) or increased pursuant to Section 2.3(h), and as the same may
otherwise be changed in accordance with the terms of this Agreement.

“Commitment
Percentage”:  on any day, and as to
any Lender, the quotient of (a) such Lender’s Commitment Amount on such day,
divided by (b) the Commitment Amounts of all Lenders on such day.

“Competitive
Advance”: means an Advance made to Borrower by any Lender not determined by
that Lender’s Commitment Percentage pursuant to Section 2.4.

“Competitive
Advance Note”: means the promissory note made by Borrower in favor of a
Lender to evidence the Competitive Advances made by that Lender, substantially
in the form of Exhibit D, either as originally executed or as the
same may from time to time be supplemented, modified, amended, renewed,
extended or supplanted.

“Competitive
Bid”: means a written bid to provide a Competitive Advance substantially in
the form of Exhibit E, signed by a Responsible Official of a Lender
and properly completed to provide all information required to be included
therein.

“Competitive
Bid Request”: means a written request submitted by Borrower to the Administrative
Agent to provide a Competitive Bid, substantially in the form of Exhibit F
signed by an Authorized Signatory of Borrower and properly completed to provide
all information required to be included therein.

“Compliance
Certificate”:  a certificate
substantially in the form of Exhibit G.

“Consolidated”:  the Borrower and its Subsidiaries which are
consolidated for financial reporting purposes. 
Notwithstanding anything contained herein to the contrary, for purposes
of this Agreement, the phrase “Borrower and its Subsidiaries determined on a
Consolidated basis in accordance with GAAP” (and similar phrases having the
same meaning) shall not be deemed to include the consolidation of FIN 46
Entities (other than the inclusion of the applicable pro-rata share of assets,
liabilities, income or loss attributable to such FIN 46 Entities to the extent
required pursuant to this Agreement).

“Consolidated
EBITDA”:  with respect to any period
an amount equal to the EBITDA of Borrower and its Subsidiaries for such period,
determined on a Consolidated basis in accordance with GAAP.

“Consolidated
Fixed Charges”:  during any period,
the sum of each of the following with respect to the Borrower and its
Subsidiaries (without duplication), determined on a Consolidated basis in
accordance with GAAP:  (a) the aggregate
amount of all interest expense, both expensed and capitalized (including
Consolidated Interest Expense) for such period, (b) the aggregate of all
scheduled principal amounts that become payable during such period in respect
of any Indebtedness of the Borrower or its Subsidiaries (excluding balloon
payments at maturity) and (c) the aggregate amount of all cash dividends paid
during such period in respect of preferred equity of the Borrower or its
Subsidiaries (including, without limitation, in respect of preferred operating
units).

“Consolidated
Interest Expense”:  for any period,
interest and fees accrued, accreted or paid by the Borrower and its
Subsidiaries during such period in respect of Consolidated Total Indebtedness,
determined in accordance with GAAP, including (a) the amortization of debt
discounts to the extent included in interest expense in accordance with GAAP,
(b) the amortization of all fees (including fees with respect to Hedging
Agreements entered 

 10
 

 

into by the
Borrower or any of its Subsidiaries) payable in connection with the incurrence
of any Indebtedness to the extent included in interest expense in accordance
with GAAP and (c) the portion of any rents payable under capital leases
allocable to interest expense in accordance with GAAP.

“Consolidated
Total Indebtedness”:  as of any date,
the aggregate principal amount of all
Indebtedness of the Borrower and its Subsidiaries determined on a Consolidated
basis in accordance with GAAP, plus, if not otherwise required to be reflected
in the Borrower’s Consolidated balance sheet (and without duplication) (a)
Contingent Obligations of the Borrower and its Subsidiaries on such date which
are required in accordance with GAAP to be disclosed in a footnote to any such
balance sheet, and (b) any guarantee (other than guarantees of carve-outs that
constitute Non-Recourse Exclusions until a claim is made with respect thereto,
and then only to the extent of the amount of such claim) by the Borrower of any
Indebtedness of an unconsolidated Subsidiary or Joint Venture in which the
Borrower is a direct or indirect investor (to the full extent of the amount of
such guaranteed Indebtedness on such date); provided, however, that with
respect to any Joint Ventures in which Borrower is a direct or indirect
investor that are not consolidated in the Borrower’s Consolidated balance sheet
or any Joint Ventures that are FIN 46 Entities, Consolidated Total Indebtedness
shall, in any case, (x) include (but without duplication) (i) the aggregate
principal amount of all Indebtedness of such Joint Ventures that is recourse (other than guarantees of carve-outs that
constitute Non-Recourse Exclusions until a claim is made with respect thereto,
and then only to the extent of the amount of such claim) to the Borrower
or one of its Subsidiaries, and (ii) Borrower’s pro rata share (as calculated
in accordance with Section 1.7) of the aggregate principal amount of all
Indebtedness of such Joint Ventures that is Non-Recourse Indebtedness, and (y)
exclude all other Indebtedness of such Joint Ventures.  Notwithstanding the foregoing, unfunded
portions of the Total Commitment Amount or of any other Indebtedness (and any
Contingent Obligations relating solely to such unfunded amounts) shall not be
included in Consolidated Total Indebtedness.

“Contingent
Obligation”:  as to any Person, any
obligation of such Person guaranteeing or in effect guaranteeing any
Indebtedness, leases, dividends or other obligations (“Primary Obligations”) of
any other Person (the “Primary Obligor”) in any manner, whether directly or
indirectly, and whether arising from partnership or keep-well agreements,
including, without limitation, any obligation of such Person, whether
contingent or not contingent (without duplication) (a) to purchase any such
Primary Obligation or any Property constituting direct or indirect security
therefor, (b) to 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 net worth, solvency or other
financial statement condition of the Primary Obligor, (c) to purchase Property,
securities or services primarily for the purpose of assuring the beneficiary of
any such Primary Obligation of the ability of the Primary Obligor to make
payment of such Primary Obligation, or (d) otherwise to assure, protect from
loss or hold harmless the beneficiary of such Primary Obligation against loss
in respect thereof; provided, however, that the term Contingent Obligation
shall not include (x) the endorsement of instruments for deposit or
collection in the ordinary course of business, (y) guarantees or
carve-outs that constitute Non-Recourse Exclusions until a claim is made with
respect thereto, and then shall be included only to the extent of the amount of
such claim or (z) commitments to make capital contributions to Joint
Ventures.  The term Contingent Obligation
shall also include the liability of a general partner in respect of the liabilities
of the partnership in which it is a general partner, but shall not include the
liability of a member (managing or otherwise) of a limited liability company in
respect of the liabilities of such limited liability company to the extent not
imposed by agreement or by law.  The
amount of any Contingent Obligation of a Person shall be deemed to be an amount
equal to the stated or determinable amount of the Primary Obligation in respect
of which such Contingent Obligation is made or, if not stated or determinable,
the maximum reasonably anticipated liability in respect thereof as determined
by such Person in good faith.

“Conversion
Date”:  the date on which a LIBOR
Loan is converted to a Prime Rate Loan, or the date on which a Prime Rate Loan
is converted to a LIBOR Loan, or the date on which a LIBOR Loan is converted to
a new LIBOR Loan, all in accordance with Section 2.8.

“Co-Syndication
Agents”: The Bank of New York and KeyBank National Association, and their
successors, in their respective capacities as Co-Syndication Agents hereunder.

“Credit
Party”:  the Administrative Agent,
the Joint Lead Arrangers, each Lender, the Swing Loan Lender, the Issuing
Lender, the Co-Documentation Agents, the Co-Syndication Agents, the Book
Manager and their successors and assigns.

 11
 

 

“Default”:  any event or condition which constitutes an
Event of Default or which, with the giving of notice, the lapse of time, or any
other condition, would, unless cured or waived, become an Event of Default.

“Defaulting
Lender”:  at any time, any Lender
that, at such time, (a) has failed to comply with any of its obligations to
make a Loan, fund its share of any payment made by the Issuing Lender pursuant
to a Letter of Credit or acquire a participation in any Swing Loan as required
pursuant to this Agreement within one (1) Business Day of the date required to
be funded by it hereunder unless such failure has been cured, (b) has failed to
pay to the Administrative Agent or any Lender any other amount owed by such
Lender pursuant to the terms of this Agreement or any of the other Loan
Documents within one (1) Business Day of the date when due, unless the subject
of a good faith dispute unless such failure has been cured, or (c) has been
deemed insolvent or become subject to a bankruptcy or insolvency proceeding.

“Dollars”
and “$”:  lawful currency of the
United States of America.

“Domestic
Lending Office”:  in respect of any
Lender, the Swing Loan Lender and the Issuing Lender, initially, the office or
offices of such Lender, the Swing Loan Lender and the Issuing Lender,
designated as such on Exhibit C; thereafter, such other office of such
Lender, the Swing Loan Lender and the Issuing Lender, through which it shall be
making or maintaining Prime Rate Loans, making Swing Loans or issuing Letters of
Credit, as reported by such Lender, the Swing Loan Lender and the Issuing
Lender, to the Administrative Agent and the Borrower.

“Domestic
Reference Lender”:  Bank of America
or such other Lender as may become the Administrative Agent hereunder.

“DownREIT
Partnership”:  Excel Realty Partners,
L.P. and any other partnership or limited liability company hereafter created
by the Borrower for the purpose of acquiring assets qualifying as “real estate
assets” under Section 856(c) of the Code through the issuance of partnership or
limited liability company units in such partnership or limited liability
company to third parties, provided that, in the case of each such entity
(including Excel Realty Partners, L.P.) (a) the Borrower or a wholly owned
Subsidiary of the Borrower is the sole general partner or managing member of
such partnership or limited liability company, as the case may be, and (b) the
Borrower or such wholly owned
Subsidiary shall be entitled to receive not less than 95% of the net income and
gains before depreciation, if any, from such partnership or limited liability
company after the limited partners or non-managing members of such
partnership or limited liability company receive a stipulated distribution. Any
partnership or limited liability company created after the Effective Date must
be approved by the Administrative Agent as a “DownREIT Partnership” for
purposes of being included in this definition.

“EBITDA”:  with respect to a Person or a Subsidiary of a
Person (or any asset of a Person or a Subsidiary of such Person) for any
period, an amount equal to the sum of (a) the net income (or loss) of such
Person (or attributable to such asset) for such period plus (b)
depreciation and amortization, interest, and any extraordinary or non-recurring
losses or charges for impairment of real estate deducted in calculating such
net income minus (c) any extraordinary or non-recurring gains included
in calculating such net income, all as determined in accordance with GAAP.  EBITDA shall be calculated on a pro forma
basis as if assets acquired during the relevant period were owned as of the
beginning of the relevant period, and all assets disposed of during the
relevant period were not owned during any portion of the relevant period.  Adjustments for unconsolidated partnerships,
Joint Ventures and FIN 46 Entities will be calculated to reflect EBITDA on the
same basis.

“Effective
Date”:  the date of this Agreement.

“EITF
04-05”:  Emerging Issues Task Force
Consensus on Issue No. 04-05, “Determining Whether a General Partner, or
the General Partners as a Group, Controls a Limited Partnership or Similar
Entity When the Limited Partners Have Certain Rights” as adopted in July, 2005
by the Emerging Issues Task Force created by the Financial Accounting Standards
Board.

“Eligible
Assignee”:  any Person that meets the
requirements to be an assignee under Section 11.7(b)(iii), (v) and (vi)
(subject to such consents, if any, as may be required under Section
11.7(b)(iii)).

 12
 

 

“Environmental
Laws”:  any and all federal, state
and local laws relating to the environment, the use, storage, transporting,
manufacturing, handling, discharge, disposal or recycling of hazardous
substances, materials or pollutants or industrial hygiene and including,
without limitation, (a) the Comprehensive Environmental Response, Compensation
and Liability Act, as amended, 42 USCA §9601 et seq.; (b) the Resource
Conservation and Recovery Act of 1976, as amended, 42 USCA §6901 et seq.; (c)
the Toxic Substance Control Act, as amended, 15 USCA §2601 et seq.; (d) the
Water Pollution Control Act, as amended, 33 USCA §1251 et seq.; (e) the Clean
Air Act, as amended, 42 USCA §7401 et seq.; (f) the Hazardous Material
Transportation Act, as amended, 49 USCA §1801 et seq. and (g) all rules,
regulations, judgments, decrees, injunctions and restrictions thereunder and
any analogous state law.

“Environmental
Risk Property”:  any Real Property of
the Borrower, a Subsidiary, a DownREIT Partnership or a Subsidiary of a
DownREIT Partnership in respect of which, at any time:

(a)           Hazardous Substances are (i)
generated or manufactured on, transported to or from, treated at, stored at or
discharged from such Real Property in violation of any Environmental Laws; (ii)
discharged into subsurface waters under such Real Property in violation of any
Environmental Laws; or (iii) discharged from such Real Property on or into
property or waters (including subsurface waters) adjacent to such Real Property
in violation of any Environmental Laws, and any of the foregoing events in (i),
(ii) or (iii) has an Adverse Environmental Impact; or

(b)           there exists with respect to such
Real Property (i) a claim, demand, suit, action, proceeding, condition, report,
directive, lien, violation, or non-compliance concerning any liability
(including, without limitation, potential liability for enforcement,
investigatory costs, cleanup costs, government response costs, removal costs,
remedial costs, natural resources damages, property damages, personal injuries
or penalties) arising in connection with: 
(x) any non-compliance with or violation of the requirements of
any applicable Environmental Laws, or (y) the presence of any Hazardous
Substance on such Real Property or the release of any Hazardous Substance into
the environment from such Real Property, or (ii) any actual liability in
connection with the presence of any Hazardous Substance on such Real Property
or the release of any Hazardous Substance into the environment from such Real
Property, and any of the foregoing events in (i) or (ii) has an Adverse
Environmental Impact.

For purposes of
this definition, the term “Adverse Environmental Impact” shall mean any
event described in clauses (i), (ii) or (iii) of paragraph (a) above or clauses
(i) or (ii) of paragraph (b) above which could reasonably be expected to have a
material adverse effect on (1) the value of such Real Property, (2) the
marketability of such Real Property, or (3) the ability to finance or refinance
such Real Property.

“ERISA”:  the Employee Retirement Income Security Act
of 1974, as amended from time to time, and the rules and regulations issued
thereunder, as from time to time in effect.

“ERISA
Affiliate”:  any Person which is a
member of any group of organizations (a) described in Section 414(b) or (c) of
the Code of which the Borrower is a member, or (b) solely for purposes of
potential liability under Section 302(c)(11) of ERISA and Section 412(c)(11) of
the Code and the Lien created under Section 302(f) of ERISA and Section 412(n)
of the Code, described in Section 414(m) or (o) of the Code of which the
Borrower is a member.

“ERISA
Liabilities”:  without duplication,
the aggregate of all unfunded vested benefits under all Plans and all potential
withdrawal liabilities under all Multiemployer Plans.

“Event
of Default”:  any of the events
specified in Section 9, provided that any requirement for the giving of notice,
the lapse of time or any other condition specified in Section 9 has
occurred or been satisfied.

“Excluded
Subsidiary”:  (a) any DownREIT
Partnership and any wholly owned Subsidiary of a DownREIT Partnership, (b) CA
New Plan Fixed Rate Partnership, L.P., a Delaware limited partnership, and (c)
any other Subsidiary, other than a wholly-owned Subsidiary that owns an
Unencumbered Asset.

 13
 

 

“Existing
Letters of Credit”:  those certain
Letters of Credit outstanding on the Effective Date which were issued pursuant
to the Replaced Credit Agreement as more particularly described on Schedule
1.2 attached hereto and by this reference incorporated herein.

“Existing
Loan Agreement”: that certain Second Amended and Restated Term Loan
Agreement dated as of even date herewith among the Borrower, Bank of America as
Administrative Agent, and the lenders signatory thereto, as subsequently
amended from time to time, and any restatements, consolidations, replacements
or refinancings thereof.

“FAS
141”:  Financial Accounting Standard
141 entitled “Business Combinations” adopted by the Financial Accounting
Standards Board, as the same may be amended, modified or supplemented from time
to time.

“Facility
Fee”:  as defined in Section 3.1.

“Federal
Funds Rate”:  for any day, the rate
per annum equal to the weighted average of the rates on overnight federal funds
transactions with members of the Federal Reserve System arranged by federal
funds brokers on such day, as published by the Federal Reserve Bank of New York
on the Business Day next succeeding such day; provided that (a) if
such day is not a Business Day, the Federal Funds Rate for such day shall be
such rate on such transactions on the next preceding Business Day as so
published on the next succeeding Business Day, and (b) if no such rate is
so published on such next succeeding Business Day, the Federal Funds Rate for
such day shall be the average rate (rounded upward, if necessary, to a whole
multiple of 1/100 of 1%) charged to Administrative Agent on such day on such
transactions as determined by the Administrative Agent.

“FIN
46”:  the pronouncement entitled
Financial Interpretation 46 “Consolidation of Variable Interest Entities” by
the Financial Accounting Standards Board on January 17, 2003, as revised from
time to time.

“FIN
46 Entities”:  any entity in which
Borrower or any Subsidiary directly or indirectly owns an interest that is not
a Subsidiary, but that is nonetheless consolidated with Borrower or any
Subsidiary for financial reporting purposes as a result of the application of
FIN 46 or EITF 04-05.

“Financial
Statements”:  as defined in Section
4.13.

“Fitch”:  Fitch Group and any successor thereto.

“Fixed
Charge Coverage Ratio”:  on any date
of determination, for the period of four (4) fiscal quarters just ended prior
to the date of determination, the ratio of (i) Consolidated EBITDA for
such period to (ii) Consolidated Fixed Charges for such period.

“Fund”:
any Person (other than a natural person) that is (or will be) engaged in
making, purchasing, holding or otherwise investing in commercial loans and
similar extensions of credit in the ordinary course of its business.

“Funds
from Operations”:  with respect to
any Person for any fiscal period, the sum of (a) the net income of such Person
for such fiscal period (computed in accordance with GAAP), excluding (i) gains
(or losses) from debt restructuring and sales of property and (ii) charges for
impairment of real estate, (b) depreciation and amortization, and (c) other non-cash
items, and after adjustments for unconsolidated partnerships, Joint Ventures
and FIN 46 Entities.  Adjustments for
unconsolidated partnerships, Joint Ventures and FIN 46 Entities will be
calculated to reflect funds from operations on the same basis.

“GAAP”:  generally accepted accounting principles set
forth in the opinions and pronouncements of the Accounting Principles Board and
the American Institute of Certified Public Accountants and statements and
pronouncements of the Financial Accounting Standards Board or in such other
statement by such other entity as may be approved by a significant segment of
the accounting profession, which are applicable to the circumstances as of the
date of determination, consistently applied.

“Governmental
Authority”:  the government of the
United States or any other nation, or of any political subdivision thereof,
whether state or local, and any agency, authority, instrumentality, regulatory
body, court, central 

 14
 

 

bank or other
entity exercising executive, legislative, judicial, taxing, regulatory or
administrative powers or functions of or pertaining to government (including
any supra-national bodies such as the European Union or the European Central
Bank).

“Granting
Lender”: as defined in Section 11.7(k).

“Ground
Lease”:  a ground lease in favor of
the Borrower, a wholly owned Subsidiary of Borrower, a DownREIT Partnership, a
wholly owned Subsidiary of a DownREIT Partnership or a Joint Venture, which (a)
either (i) has an unexpired term of 30 years or more (inclusive of any tenant-controlled
renewal options) or (ii) has a lesser term, but includes an absolute and
non-conditional right of purchase in favor of the Borrower or such other lessee
that, at some point during the term of such Ground Lease, allows for the
purchase of the underlying real property for a de minimus purchase price and
(b) which includes within its terms those rights customarily required by
mortgagees making a loan secured by the interest of the holder of the leasehold
estate demised pursuant to such ground lease.

“Guaranty”:  collectively, (a) the Second Amended and
Restated Guaranty, substantially in the form of Exhibit H executed by
each of the Subsidiary Guarantors identified on Schedule 4.4 and
delivered to the Administrative Agent for the benefit of the Lenders on or
prior to the Effective Date, and (b) each additional Guaranty substantially in
the form of Exhibit H executed by each Required Additional Guarantor and
delivered to the Administrative Agent for the benefit of the Lenders after the
Effective Date.

“Hazardous
Substance”:  any hazardous or toxic
substance, material or waste, including, but not limited to, (a) those
substances, materials, and wastes listed in the United States Department of
Transportation Hazardous Materials Table (49 CFR 172.101) or by the
Environmental Protection Agency as hazardous substances (40 CFR Part 302) and
amendments thereto and replacements therefor, (b) any substance, pollutant or
material defined as, or designated in, any Environmental Law as a “hazardous
substance,” “toxic substance,” “hazardous material,” “hazardous waste,” “restricted
hazardous waste,” “pollutant,” “toxic pollutant” or words of similar import and
(c) toxic mold.

“Hedging
Agreement”:  any interest rate
protection agreement, foreign currency exchange agreement, commodity price
protection agreement or other interest or currency exchange rate or commodity
price hedging arrangement.

“Highest
Lawful Rate”:  with respect to any
Lender and the Swing Loan Lender, the maximum rate of interest, if any, that at
any time or from time to time may be contracted for, taken, charged or received
by such Lender or the Swing Loan Lender on its Note or which may be owing to
such Lender or the Swing Loan Lender pursuant to this Agreement under the laws
applicable to such Lender or the Swing Loan Lender and this Agreement.

       “Increase Effective Date”: as
defined in Section 2.3(h)(iv).

“Indebtedness”:  as to any Person, at a particular time, all
items which constitute, without duplication, (a) indebtedness for borrowed
money (including, without limitation, indebtedness under this Agreement and the
Notes) or the deferred purchase price of Property (other than trade payables
incurred in the ordinary course of business), (b) indebtedness evidenced by
notes, bonds, debentures or similar instruments, (c) obligations with respect
to any conditional sale or title retention agreement, (d) indebtedness arising
under acceptance facilities and the amount available to be drawn under all
letters of credit issued for the account of such Person and, without
duplication, all drafts drawn thereunder to the extent such Person shall not
have reimbursed the issuer in respect of the issuer’s payment of such drafts,
(e) all liabilities secured by any Lien on any Property owned by such Person
even though such Person has not assumed or otherwise become liable for the
payment thereof (other than carriers’, warehousemen’s, mechanics’, repairmen’s
or other like non-consensual statutory Liens arising in the ordinary course
of business), (f) obligations under Capital Leases, (g) Contingent Obligations,
(h) ERISA Liabilities and (i) all indebtedness, obligations or other
liabilities under or with respect to any Hedging Agreements that in accordance
with GAAP should be classified upon such Person’s balance sheet as liabilities,
or to which reference should be made by footnotes thereto; provided, however,
that the term Indebtedness shall not include guarantees or carve-outs with
respect to claims of the types referenced in (a)-(d) of the definition of
Non-Recourse Exclusions until a claim is made with respect thereto, and then
shall be included only to the extent of the amount of such claim.

 15
 

 

“Indemnified
Person”:  as defined in Section
11.12.

“Intellectual
Property”:  all copyrights,
trademarks, patents, trade names and service names.

“Interest
Payment Date”:  (a) as to any
Loan other than a Prime Rate Loan, the last day of each Interest Period
applicable to such Loan and the Maturity Date; provided, however,
that if any Interest Period for a LIBOR Loan exceeds three months, the
respective dates that fall every three months after the beginning of such
Interest Period shall also be Interest Payment Dates; and (b) as to any
Prime Rate Loan (including a Swing Line Loan), the last Business Day of each
March, June, September and December and the Maturity Date.

“Interest
Period”:  (a) with respect to
any LIBOR Loans requested by the Borrower, the period commencing on, as the
case may be, the Effective Date, Borrowing Date or Conversion Date with respect
to such LIBOR Loans and ending one, two, three or six months thereafter, as
selected by the Borrower in its irrevocable Borrowing Request as provided in
Section 2.3 or its irrevocable notice of conversion as provided in Section 2.8;
and (b) as to each Competitive Advance, a period of not less than 7 days
and not more than 180 days as selected by the Borrower in its Competitive Bid
Request; provided, however, that all of the foregoing provisions relating to
Interest Periods are subject to the following:

(a)           any Interest Period that would
otherwise end on a day that is not a Business Day shall be extended to the next
succeeding Business Day unless, in the case of a LIBOR Loan, such Business Day
falls in another calendar month, in which case such Interest Period shall end
on the immediately preceding Business Day;

(b)           if, with respect to the borrowing of
any Loan as a LIBOR Loan or the conversion of one Advance to another pursuant
to Section 2.8, the Borrower shall fail to give due notice as provided in
Section 2.3 or 2.8, as the case may be, the Borrower shall be deemed to have
elected that such Loan or Advance shall be made as a Prime Rate Loan;

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

(d)           with respect to any Interest Period
applicable to a LIBOR Loan, no such Interest Period shall end after the
Maturity Date; and

(e)           the Borrower shall select Interest
Periods so as not to have more than ten (10) different Interest Periods
outstanding at any one time with respect to LIBOR Loans and four (4) different Interest
Periods outstanding at any one time with respect to Competitive Advances.

“Investments”:  with respect to the Borrower or any of its
Subsidiaries, as applicable, any of (a) the purchase, acquisition, holding or
investment by the Borrower or any such Subsidiary in the Stock of, or any other
interest in, any Person, or the making of any loan or any advance to, or the
entering into any arrangement for the purpose of acquiring, holding or
investing in or loaning or advancing to, or the making of any other investment,
whether by way of capital contribution, time deposit or otherwise, in or with
any Person, or (b) the purchase, acquisition, holding or investment in any real
or personal property by the Borrower or any such Subsidiary; provided, that the
provision by Borrower or any such Subsidiary of guarantees and/or letters of
credit to other Persons shall not constitute Investments but shall instead
constitute Indebtedness.

“ISP”:  with respect to any Letter of Credit, the “International
Standby Practices 1998” published by the Institute of International Banking Law
& Practice (or such later version thereof as may be in effect at the time
of issuance).

“Issuer
Documents”:  with respect to any
Letter of Credit, the Letter of Credit application, and any other document,
agreement and instrument entered into by the Issuing Lender and the Borrower
(or any Subsidiary) or in favor of the Issuing Lender and relating to any such
Letter of Credit.

 16
 

 

“Issuing
Lender”:  Bank of America in its
capacity as (a) the Lender issuing the Letters of Credit and (b) the owner of a
one hundred percent (100%) participation interest in and to the Existing
Letters of Credit, and any successor issuer of the Letters of Credit hereunder.

“Joint
Lead Arrangers”:  Banc of America
Securities LLC and BNY Capital Markets, Inc., and their successors, in their
respective capacities as Joint Lead Arranger hereunder.

“Joint
Venture”:  an Investment by Borrower
or any of its Subsidiaries with third persons in joint ventures, general
partnerships, limited partnerships, limited liability companies or any other
business association.  Joint Ventures
include non-wholly owned Subsidiaries of Borrower and FIN 46 Entities, but
exclude DownREIT Partnerships.

“Land
Assets”:  any land of the Borrower or
its Subsidiaries, or in which the Borrower or any of its Subsidiaries has an
interest (either directly or indirectly, through a Joint Venture or otherwise)
with respect to which the commencement of grading, construction of improvements
or infrastructure has not yet commenced, and all unimproved land according to
GAAP.

“Laws”:  collectively, all international, foreign,
Federal, state and local statutes, treaties, rules, guidelines, regulations,
ordinances, codes and administrative or judicial precedents or authorities,
including the interpretation or administration thereof by any Governmental
Authority charged with the enforcement, interpretation or administration
thereof, and all applicable administrative orders, directed duties, requests,
licenses, authorizations and permits of, and agreements with, any Governmental
Authority, in each case whether or not having the force of law.

“Letters
of Credit”:  irrevocable standby
letters of credit in respect of obligations of the Borrower incurred pursuant
to contracts made or performances undertaken or to be undertaken in the
ordinary course of the Borrower’s business which are payable upon presentation
of a sight draft and other documents described in such Letters of Credit, if
any, as originally issued pursuant to this Agreement or the Replaced Credit
Agreement (which shall include the Existing Letters of Credit) or as amended,
modified, extended, renewed or supplemented.

“Letter
of Credit Exposure”:  at any time,
the sum of (a) the aggregate undrawn amount of all outstanding Letters of
Credit at such time plus (b) the aggregate amount of all unreimbursed
drawings under Letters of Credit at such time.

“Letter
of Credit Request”:  See Section
2.5(a).

“LIBOR”:  for any Interest Period with respect to any
LIBOR Loan:

(a)           the rate per annum equal to the
British Bankers Association LIBOR Rate (“BBA LIBOR”), as published by Reuters
(or other commercially available source providing quotations of BBA LIBOR as
designated by the Administrative Agent from time to time) at approximately
11:00 a.m., London time, two Business Days prior to the commencement of
such Interest Period, for Dollar deposits (for delivery on the first day of
such Interest Period) with a term equivalent to such Interest Period, or

(b)           if the rate referenced in the
preceding clause (a) does not appear on such page or service or such page or
service shall not be available, the rate per annum equal to the rate determined
by the Administrative Agent to be the offered rate on such other page or other
service that displays an average British Bankers Association Interest
Settlement Rate for deposits in Dollars (for delivery on the first day of such
Interest Period) with a term equivalent to such Interest Period, determined as
of approximately 11:00 a.m. (London time) two Business Days prior to the first
day of such Interest Period, or

(c)           if the rates referenced in the
preceding clauses (a) and (b) are not available, the rate per annum determined
by the Administrative Agent as the rate of interest at which deposits in Dollars
for delivery on the first day of such Interest Period in same day funds in the
approximate amount of the LIBOR Loan being made, continued, or converted by
Administrative Agent’s (or, in the case of a Competitive Advance Loan, the
applicable Lender with respect to such Competitive Advance) and with a term 

 17
 

 

equivalent to such Interest Period would be offered by
Administrative Agent’s (or such Competitive Advance Lender’s) London Branch to
major banks in the London interbank eurodollar market at their request at
approximately 4:00 p.m. (London time) two Business Days prior to the first day
of such Interest Period.  In the event
that the Board of Governors of the Federal Reserve System shall impose a
Reserve Percentage with respect to LIBOR deposits of Administrative Agent, then
for any period during which such Reserve Percentage shall apply, LIBOR shall be
equal to the amount determined above divided by an amount equal to 1 minus the
Reserve Percentage.

“LIBOR
Lending Office”:  initially, the
office of each Lender designated as such in Exhibit C hereto;
thereafter, such other office of such Lender, if any, that shall be making or
maintaining LIBOR Loans.

“LIBOR
Loans”:  loans bearing interest
calculated by reference to a LIBOR.

“Lien”:  any mortgage, pledge, hypothecation,
assignment, deposit or preferential arrangement, encumbrance, lien (statutory
or other), or other security agreement or security interest of any kind or
nature whatsoever, including, without limitation, any conditional sale or other
title retention agreement and any capital or financing lease having
substantially the same economic effect as any of the foregoing.

“Loan”
and “Loans”:  an individual loan
or the aggregate loans (including a Revolving Credit Loan (or Loans), a Swing
Loan (or Loans) and a Competitive Advance (or Advances)), as the case may be,
to be made by the Lenders hereunder.  All
Loans shall be made in Dollars.  Amounts
drawn under a Letter of Credit shall also be considered Loans as provided in
Section 2.5.

“Loan
Documents”:  collectively, this
Agreement, the Guaranty (and each Guaranty subsequently delivered pursuant to
Section 7.11), the Notes and all other documents, instruments or agreements now
or hereafter executed or delivered by or on behalf of the Borrower, any Subsidiary
Guarantor or any of their respective Subsidiaries evidencing or otherwise
relating to the Loans to which Administrative Agent and/or the Lenders are a
party or an intended beneficiary.

“Management
Fee Value”  the amount of management
fees from any existing Approved Management Contracts actually paid by third
parties to the Borrower and its Subsidiaries (valued by annualizing such fees
for the most recent quarter for which the Borrower has provided financial
information, but excluding income from any contracts terminated during such
quarter), multiplied by six (6); provided, however, that Management Fee Value
shall, for purposes of this Agreement, be reduced to the extent it accounts for
more than 10% of Adjusted Consolidated Total Assets (such that Management Fee
Value shall equal no more than 10% of the final calculated Adjusted
Consolidated Total Assets).

“Margin
Stock”:  any “margin stock”, as said
term is defined in Regulation U of the Board of Governors of the Federal
Reserve System, as the same may be amended or supplemented from time to time.

“Material
Acquisition”:  any purchase or other acquisition, whether by
acquisition of assets, merger, business combination or other similar
transaction, of an interest in any portfolio of Real Properties or the equity
interests of any one or more entities owning any such portfolio of Real
Properties (i) by Borrower and/or any of its Subsidiaries, where the purchase
price or aggregate value is in excess of $250 million, or (ii) by any Joint
Venture, where the purchase price or aggregate value multiplied by Borrower’s
pro rata share (based on its beneficial ownership (direct or indirect) of such
Joint Venture) is in excess of $250 million.

“Material
Adverse Effect”:  a material adverse
effect on (a) the financial condition, operations, business, or Properties of
(i) the Borrower or (ii) the Borrower and its Subsidiaries taken as a whole,
(b) the ability of the Borrower to perform any of its material obligations
under the Loan Documents or the ability of the Subsidiary Guarantors, taken as
a whole, to perform their material obligations under the Guaranty or (c) the
ability of the Administrative Agent and the Lenders to enforce the Loan
Documents.

“Maturity
Date”:  the earlier of (a) August 25,
2010 (as such date may be extended as provided in Section 2.18), or
(ii) the date on which the Notes shall become due and payable, whether by
acceleration or otherwise; provided, however, that, in each case, if such date is not a Business Day, the
Maturity Date shall be the next succeeding Business Day.

 18
 

 

“Maximum
Competitive Advance”:  means, with
respect to any Competitive Bid made by a Lender, the amount set forth therein
as the maximum Competitive Advance which that Lender is willing to make in
response to the related Competitive Bid Request.

“Moody’s”:  Moody’s Investors Services, Inc. and any
successor thereto.

“Multiemployer
Plan”:  a plan defined as such
Section 3(37) of ERISA to which contributions have been made by the Borrower or
any ERISA Affiliate and which is covered by Title IV of ERISA.

“Net
Operating Income”:  for any period
and with respect to all assets which are Unencumbered Assets or Operating
Properties during such period, the sum of (a) net income for such period,
determined in accordance with GAAP, attributable to Unencumbered Assets or
Operating Properties, as applicable (excluding management fees and other
allocated management costs), plus (b) depreciation and amortization, interest
expense and any extraordinary or non-recurring losses or charges for
impairment of real estate deducted in calculating such net income, minus (c)
extraordinary or non-recurring gains and payments (including rent
insurance proceeds and condemnation awards) included in such net income, minus
(d) any portion of such net income attributable to rents paid by any tenant
which is an Affiliate of the Borrower, minus (e) an assumed management fee with respect to such Unencumbered Assets and
Operating Properties in the amount of 3.5% of operating income.  For purposes of any calculation of Net
Operating Income, real estate taxes, ground rent and insurance shall be
included only at their stabilized, recurring levels.

“Net
Rentable Area”:  with respect to any
Real Property, the floor area of any buildings, structures or improvements
thereof (expressed in square feet) available for leasing to tenants, as
determined in accordance with the leases or site plans or leasing plans for
such Real Property, or if such leases or site plans or leasing plans do not set
forth the floor area demised thereunder (or if such Real Property is not
subject to a lease), then as determined by the Borrower in accordance with an
industry-accepted protocol approved by the Administrative Agent.

“New
Construction Asset”:  any Property of
the Borrower or its Subsidiaries, or in which the Borrower or any of its
Subsidiaries has an interest (either directly or indirectly, through a Joint
Venture or otherwise) which is new ground-up construction (but not including an
expansion of an existing Property). 
Notwithstanding the foregoing, any such new construction which shall
have been a New Construction Asset under the criteria of this definition shall
no longer be a New Construction Asset upon the earlier of (a) such time as at
least 60% of the Net Rentable Area (determined on an “as completed” basis) of
such construction is initially leased to tenants who have taken possession
thereof and commenced rental payments and (b) the date which is twelve months
(12) following the date on which a certificate of occupancy, whether permanent
or temporary, (or its functional equivalent) has been issued with respect to at
least 60% of the Net Rentable Area of such Property.

“Non-Recourse
Exclusions”:  with respect to any
Non-Recourse Indebtedness of any Person, any usual and customary exclusions from
the non-recourse limitations governing such Indebtedness, including,
without limitation, exclusions for claims that (a) are based on fraud,
intentional misrepresentation, misapplication of funds, gross negligence or
willful misconduct, (b) result from intentional mismanagement of or waste at
the Real Property securing such Non-Recourse Indebtedness, (c) arise from the
presence of Hazardous Substances on the Real Property securing such
Non-Recourse Indebtedness; or (d) are the result of any unpaid real estate
taxes and assessments.

“Non-Recourse
Indebtedness”:  at any time,
Indebtedness of the Borrower, its Subsidiaries or a Joint Venture at such time
which is secured by one or more parcels of Real Property or interests therein
and which is not a general obligation of the Borrower or such Subsidiary, the
holder of such Indebtedness having recourse solely to the parcels of Real
Property, or interests therein, securing such Indebtedness, the leases thereon
and the rents, profits and equity thereof (except for recourse against the
general credit of the Borrower or its Subsidiaries for any Non-Recourse
Exclusions), provided that in calculating the amount of Non-Recourse
Indebtedness at any time, the amount of any Non-Recourse Exclusions which
are the subject of a final judgment shall not be included in Non-Recourse
Indebtedness.

 19
 

 

“Note”
and “Notes”:  collectively, the
Revolving Credit Notes, the Swing Loan Note and the Competitive Advance Notes.

“Notes
Receivable”:  mortgage and notes
receivable and reimbursement agreements (to the extent obligations are payable
under such reimbursement agreements), including interest payments thereunder,
of Borrower or any Subsidiary in a Person (other than Borrower or its
Subsidiaries).

“Operating
Property”:  any Real Property which
at any time (a) is an income-producing property in operating condition
and in respect of which no material part thereof has been (i) damaged by fire
or other casualty (unless such damage has been or is in the process of being
repaired) or (ii) condemned in a manner that materially interferes with the
operation thereof (unless such condemnation has been restored), (b) is a retail
shopping center (including single tenant retail properties), and (c) for which
a certificate of occupancy, whether temporary or permanent, or the functional
equivalent thereof, has been issued for the operating portions of the
improvements comprising the same (if required by law to occupy the same) and
are in full force and effect, and “Operating Properties” means all such
Operating Properties, collectively.  An
Operating Property shall not include any Redevelopment Asset or any New
Construction Asset or properties acquired during the previous twelve (12)
months (until the one year anniversary date for acquired properties).

“Operating
Property Value”:  as of any date of
determination the quotient of (a) an amount equal to the Adjusted Net Operating
Income for all Operating Properties in the aggregate for the four fiscal
quarters of the Borrower most recently ending as of such date, divided by (b) 8.25%. 
For purposes of any determination of Operating Property Value, the
following limitations and methodology shall apply:  (i) the Adjusted Net Operating Income of any
Operating Property owned by a DownREIT Partnership or a Subsidiary of a
DownREIT Partnership shall be based on the Borrower’s Interest in the Adjusted
Net Operating Income for each such Operating Property for the four fiscal
quarters having most recently ended as of such date; (ii) in the event more
than 15% of the gross base rents payable under all leases for Properties of the
Borrower, its Subsidiaries, DownREIT Partnerships and Subsidiaries of DownREIT
Partnerships (including the Borrower’s Interest in any Properties) shall be
payable by one tenant and its Subsidiaries, then Operating Property Value shall
be reduced by the percentage amount of such excess multiplied by the Operating
Property Value attributable to the Properties leased or controlled by such
tenant and its Subsidiaries; and (iii) to the extent that a New Construction
Asset or Redevelopment Asset becomes an Operating Property during the relevant
period, the Adjusted Net Operating Income of such Operating Property during
such period and the following periods shall be annualized in a manner
reasonably satisfactory to the Administrative Agent until such time as such
Operating Property has performed as an Operating Property for four (4) full
fiscal quarters.  Notwithstanding the
foregoing, to the extent any Real Property is an Operating Property as a result
of being held by a non-Subsidiary Joint Venture of the Borrower (whether
directly or indirectly), the Operating Property Value derived from such Real
Property shall be Borrower’s pro rata share (based on its beneficial ownership
of the applicable Joint Venture) of the otherwise calculated Operating Property
Value of such Operating Property.

“Organization
Documents” (a) with respect to any corporation, the certificate or articles
of incorporation and the bylaws (or equivalent or comparable constitutive
documents with respect to any non-U.S. jurisdiction); (b) with respect to any
limited liability company, the certificate or articles of formation or
organization and operating agreement; and (c) with respect to any partnership,
joint venture, trust or other form of business entity, the partnership, joint
venture or other applicable agreement of formation or organization and any
agreement, instrument, filing or notice with respect thereto filed in
connection with its formation or organization with the applicable Governmental
Authority in the jurisdiction of its formation or organization and, if
applicable, any certificate or articles of formation or organization of such
entity.

“Participant”
has the meaning specified in Section 11.7(d).

“PBGC”:  the Pension Benefit Guaranty Corporation
established pursuant to Subtitle A of Title IV of ERISA, or any Governmental
Authority succeeding to the functions thereof.

“PCAOB”
means the Public Company Accounting Oversight Board.

 20
 

 

“Permitted
Liens”:  Liens permitted to exist
under Section 8.1.

“Person”:  an individual, a partnership, a corporation,
a business trust, a limited liability company, a joint stock company, a trust,
an unincorporated association, a joint venture, a Governmental Authority or any
other entity of whatever nature.

“Plan”:  any employee benefit or other plan
established or maintained by the Borrower or any ERISA Affiliate and which is
covered by or subject to the minimum funding standards of Title IV of ERISA,
other than a Multiemployer Plan.

“Platform”:
as defined in Section 7.2.

“Pricing
Level”:  one of the following five
pricing levels, as applicable, provided that if (a) if the Borrower receives
only two ratings and these ratings are not equivalent, the Pricing Level is
determined by the higher of the two ratings; (b) if the Borrower receives more
than two ratings, the Pricing Level is determined by the second highest rating and (c) if the Borrower fails to
maintain a Senior Debt Rating from at least two of S&P, Moody’s or Fitch, Pricing
Level V would be the applicable Pricing Level:

“Pricing
Level I”:  the Pricing Level which
would be applicable for so long as the Senior Debt Rating is greater than or
equal to A-/A3;

“Pricing
Level II”:  the Pricing Level which
would be applicable for so long as the Senior Debt Rating is equal to
BBB+/Baa1;

“Pricing
Level III”:  the Pricing Level which
would be applicable for so long as the Senior Debt Rating is equal to BBB/Baa2;

“Pricing
Level IV”:  the Pricing Level which
would be applicable for so long as the Senior Debt Rating is equal to BBB-/Baa3;
and

“Pricing
Level V”:  the Pricing Level which
would be applicable for so long as the Senior Debt Rating is less than BBB-/Baa3
or there is no Senior Debt Rating for the Borrower from at least two of S&P, Moody’s or Fitch.

“Prime
Rate”:  for any day a fluctuating
rate per annum equal to the higher of (a) the Federal Funds Rate plus 1/2
of 1% and (b) the rate of interest in effect for such day as publicly
announced from time to time by Administrative Agent as its “prime rate.”  The “prime rate” is a rate set by
Administrative Agent based upon various factors including Administrative Agent’s
costs and desired return, general economic conditions and other factors, and is
used as a reference point for pricing some loans, which may be priced at,
above, or below such announced rate.  Any
change in such rate announced by Administrative Agent shall take effect at the
opening of business on the day specified in the public announcement of such
change.

“Prime
Rate Loans”:  those Loans bearing
interest calculated by reference to the Prime Rate.

“Property”:  all types of real, personal, tangible,
intangible or mixed property.

“Proposed
Bid Rate”: as applied to any Remaining Interest Period with respect to a
Lender’s Competitive Advance, or the interest rate applicable to a Swing Loan,
the rate per annum that such Lender or Swing Loan Lender in good faith would
have quoted to the Borrower had the Borrower requested that such Lender or
Swing Loan Lender offer to make a Competitive Advance or Swing Loan on the
first day of such Remaining Interest Period, assuming no Default or Event of
Default existed on such day and that the Borrower had the right to borrow
hereunder on such day; each such rate to be determined by such Lender or Swing
Loan Lender, as the case may be, in good faith in its sole discretion.

“Public
Lender”: as defined in Section 7.2(m).

 21
 

 

“Real
Property”:  all real Property, and
all interests in real Property, now or hereafter owned, leased or held by the
Borrower or any Subsidiary of the Borrower, including, without limitation (and
as applicable), interests held indirectly through Joint Ventures.

“Redevelopment
Asset”:  any Property of the Borrower
or its Subsidiaries, or in which the Borrower or any of its Subsidiaries has an
interest (either directly or indirectly, through a Joint Venture or otherwise)
(a) which is not a New Construction Asset and (b) which is undergoing either
(i) a renovation or redevelopment in respect of which (x) the cost is greater
than 25% of the book value of such Property and (y) at least one anchor tenant
lease shall have been executed, which such lease shall provide for occupancy
during the period immediately following the completion of such renovation or
redevelopment or (ii) an expansion which will increase the Net Rentable Area of
such Property by 20,000 square feet or more (provided that with respect to any
Property which is under expansion, if the balance thereof is a fully
integrated, rentable property, then only the portion of such Property that is
under expansion shall be a Redevelopment Asset pursuant to this clause
(b)(ii)).  Notwithstanding the foregoing,
any such renovation, redevelopment or expansion which shall have been a
Redevelopment Asset under the criteria set forth in clause (i) or (ii) of this
definition shall no longer be a Redevelopment Asset (A) in the case of a
renovation or redevelopment described in clause (i), upon the earlier of (1)
such time as the applicable anchor tenant has taken possession thereof and
commenced rental payments and (2) the date which is twelve months (12)
following the date on which a new certificate of occupancy, whether permanent
or temporary, (or its functional equivalent) has been issued with respect to
the applicable anchor tenant space and (B) in the case of an expansion
described in clause (ii), upon the earlier of (1) such time as at least 60% of
the Net Rentable Area (determined on an “as completed” basis) of such expansion
is initially leased to tenants who have taken possession thereof and commenced
rental payments and (2) the date which is twelve months (12) following the date
on which a certificate of occupancy, whether permanent or temporary, (or its
functional equivalent) has been issued with respect to at least 60% of the Net
Rentable Area of such Property.  A
Property shall not be considered a “Redevelopment Asset” solely because such
Property is being restored to its prior condition following a casualty or
condemnation, but may qualify as a “Redevelopment Asset” despite any such
casualty or condemnation to the extent the conditions set forth above in this
definition for qualification as a “Redevelopment Asset” have been satisfied.

“REIT”:  a Person qualifying as a real estate
investment trust under sections 856-859 of the Code and the regulations
and rulings of the Internal Revenue Service issued thereunder.

“Related
Parties”:  with respect to any
Person, such Person’s Affiliates and the partners, directors, officers,
employees, agents and advisors of such Person and of such Person’s Affiliates.

“Remaining
Interest Period”:  (a) in the event
that the Borrower shall fail for any reason to borrow a Loan in respect of
which it shall have requested a LIBOR Loan or a Swing Loan or to convert an
Advance to a LIBOR Loan after it shall have notified the Administrative Agent
of its intent to do so with respect to the Loans to be made pursuant to
Sections 2.1A, 2.3 or 2.8 or accepted one or more Competitive Advances under
Section 2.4 or with respect to a conversion pursuant to Section 2.8, a period
equal to the Interest Period that the Borrower elected in respect of such LIBOR
Loan, Swing Loan or Competitive Advance; or (b) in the event that a LIBOR Loan,
Swing Loan or Competitive Advance shall terminate for any reason prior to the
last day of the Interest Period applicable thereto, a period equal to the
remaining portion of such Interest Period if such Interest Period had not been
so terminated; or (c) in the event that the Borrower shall prepay or repay all
or any part of the principal amount of a LIBOR Loan, Swing Loan or Competitive
Advance (including, without limitation, any mandatory prepayment or a
prepayment resulting from acceleration or illegality) prior to the last day of
the Interest Period applicable thereto, a period equal to the period from and
including the date of such prepayment or repayment to but excluding the last
day of such Interest Period.

“Rent
Roll”:  a schedule prepared by the
Borrower from time to time identifying (a) the Real Property owned by the
Borrower or its Subsidiaries and stating whether such items of Real Property
are Unencumbered Assets at such time, (b) the annual base rent payable under
each lease of Real Property owned by the Borrower or any of its Subsidiaries,
(c) the commencement and termination dates of the term of each such lease, (d)
any renewal options with respect to such lease, (e) the Net Rentable Area of
the space demised under each such lease and (f) such other information as the
Administrative Agent may reasonably require.

“Replaced
Credit Agreement”:  as defined in the
Recitals hereof.

 22
 

 

“Required
Additional Guarantors”:  any
Subsidiary required to execute and deliver a Guaranty pursuant to Section 7.11.

“Required
Lenders”:  the Lenders whose
aggregate Commitment Percentage equals or exceeds fifty-one percent (51%),
notwithstanding any termination of the Total Commitment (in which case the
Commitment Percentage immediately preceding such termination shall be
utilized), provided that the Commitment of any Defaulting Lender shall
be excluded from the calculations of Commitment Amount and Total Commitment
Amount for purposes of making a determination of Required Lenders.

“Reserve
Percentage”:  for any day with
respect to a LIBOR Loan, the maximum rate (expressed as a decimal) at which any
lender subject thereto would be required to maintain reserves (including,
without limitation, all base, supplemental, marginal and other reserves) under
Regulation D of the Board of Governors of the Federal Reserve System (or any
successor or similar regulations relating to such reserve requirements) against
“Eurocurrency Liabilities” (as that term is used in Regulation D or any
successor or similar regulation), if such liabilities were outstanding.  The Reserve Percentage shall be adjusted
automatically on and as of the effective date of any change in the Reserve
Percentage.

“Responsible
Official”: (a) when used with reference to a Person other than an
individual, any corporate officer of such Person, general partner or managing
member of such Person, corporate officer of a corporate general partner or
managing member of such Person, or corporate officer of a corporate general
partner of a partnership that is a general partner of such Person or corporate
managing member of a limited liability company that is a managing member of
such Person, or any other responsible official thereof duly acting on behalf
thereof, and (b) when used with reference to a Person who is an
individual, such Person.

“Restricted
Payment”:  as to any Person, any
dividend or other distribution by such Person (whether in cash, securities or
other property) with respect to any shares of any class of equity securities or
beneficial interests of such Person, or any payment (whether in cash,
securities or other property), including any sinking fund or similar deposit,
on account of the purchase, redemption, retirement, acquisition, cancellation
or termination of any such shares or beneficial interests or any option,
warrant or other right to acquire any such shares or beneficial interests.

“Revolving
Credit Loan” and “Revolving Credit Loans”:  as defined in Section 2.1.

“Revolving
Credit Note” and “Revolving Credit Notes”:  as defined in Section 2.2.

“Sarbanes-Oxley”:  the Sarbanes-Oxley Act of 2002.

“SEC”:  the Securities and Exchange Commission, or
any Governmental Authority succeeding to any of its principal functions.

“Securities
Laws”:  the Securities Act of 1933,
the Securities Exchange Act of 1934, Sarbanes-Oxley and the applicable
accounting and auditing principles, rules, standards and practices promulgated,
approved or incorporated by the SEC or the PCAOB.

“Senior
Debt Rating”:  the senior unsecured
non-credit-enhanced debt rating of the Borrower as determined by
S&P, Moody’s and/or Fitch from time to time; provided, that (a) if the
Borrower receives only two ratings and these ratings are not equivalent, the
Pricing Level is determined by the higher of the two ratings; (b) if the
Borrower receives more than two ratings, the Pricing Level is determined by the
second highest rating and (c) if the
Borrower fails to maintain a Senior Debt Rating from at least two of S&P,
Moody’s or Fitch, the Pricing Level would be the rating level at less than
BBB-/Baa3.

“Sole
Book Manager”:  Banc of America
Securities LLC, together with its successors in such capacity.

“SPC”:
as defined in Section 11.7(k).

“Special
Counsel”:  Moore & Van Allen
PLLC, special counsel to Bank of America.

 23
 

 

“S&P”:  Standard & Poor’s Ratings Group and any
successor thereto.

“Stock”:  any and all shares, rights, interests,
participations, warrants, depositary receipts or other equivalents (however
designated) of corporate stock, including, without limitation, so-called “phantom
stock,” preferred stock and common stock.

“Subsidiary”:  as to any Person, any corporation,
association, partnership, limited liability company, joint venture or other
business entity (a) which is required pursuant to GAAP to be consolidated with
such Person for financial reporting purposes, and (b) of which such Person,
directly or indirectly, either (i) in respect of a corporation, owns or
controls more than 50% of the outstanding Stock having ordinary voting power to
elect a majority of the board of directors or similar managing body,
irrespective of whether a class or classes shall or might have voting power by
reason of the happening of any contingency, or (ii) in respect of an
association, partnership, limited liability company, joint venture or other
business entity (other than a corporation which is provided for in
(i) above), is entitled to share, either directly or indirectly through an
entity described in clause (i) above, in more than 50% of the profits and
losses, however determined (without taking into account returns of capital to
such Person as an equity investor or payment of fees to such Person for
services rendered to such entity). 
References to “Subsidiaries” contained herein without further express
clarification shall be deemed to be references to Subsidiaries of the Borrower.

“Subsidiary
Guarantor”: the Subsidiaries of the Borrower listed on Schedule 4.4
and designated thereon as a Subsidiary Guarantor, each Required Additional
Guarantor, and their successors and assigns; and “Subsidiary Guarantors” shall
mean all such guarantors, collectively.

“Swing
Loans”:  as defined in Section 2.1A.

“Swing
Loan Lender”:  Bank of America, in
its capacity as Swing Loan Lender.

“Swing
Loan Commitment”:  the sum of
$25,000,000.00, as the same may be changed from time to time in accordance with
the terms of this Agreement.

“Swing
Loan Note”:  as defined in Section
2.1A.

“Tangible
Net Worth”:  as of any date of
determination thereof with respect to the Borrower and its Subsidiaries,
determined on a Consolidated basis in accordance with GAAP, the remainder of
(a) the amounts which would, in conformity with GAAP, be included under “shareholder’s
equity” (or any like caption) on a Consolidated balance sheet of the Borrower
and its Subsidiaries as at such date, minus (b) the net book value of all
assets of the Borrower and its Subsidiaries on a Consolidated basis (to the
extent reflected in the Consolidated balance sheet of the Borrower at such
date) which would be treated as intangibles under GAAP, including, without
limitation, goodwill (whether representing the excess cost over book value of
assets acquired or otherwise), patents, trademarks, trade names, franchises,
copyrights, licenses, service marks, rights with respect to the foregoing and
deferred charges (including, without limitation, unamortized debt discount and
expense, organization costs and research and development costs); provided,
however, that to the extent FAS 141 requires treatment of the value of leases
associated with purchased real property as intangible assets, such value shall,
notwithstanding FAS 141, be treated as part of the tangible value of such real
property to the extent such value would, in the absence of FAS 141, have
otherwise been included in such determination.

“Taxes”:  any present or future income, stamp or other
taxes, levies, imposts, duties, fees, assessments, deductions, withholdings, or
other charges of whatever nature, now or hereafter imposed, levied, collected,
withheld, or assessed by any Governmental Authority.

“Total
Commitment Amount”:  on any day, the
sum of the Commitment Amounts of all Lenders on such day.

“Unencumbered
Asset”:  any Operating Property which
Borrower desires to have treated as an Unencumbered Asset and which at any time
(a) is wholly owned in fee simple by the Borrower, a DownREIT 

 24
 

 

Partnership, a
direct or indirect wholly owned Subsidiary of the Borrower or a DownREIT
Partnership or a Joint Venture (or is the subject of a Ground Lease), (b) is
free and clear of all Liens, including any Liens on any direct or indirect
interest of Borrower or any Subsidiary therein (other than Liens permitted
under clauses (a), (b), (c), (d), (e) (f), (h), (i) and (j) of Section 8.1),
(c) does not have applicable to it (or to any such Ground Lease) any
restriction on the pledge, transfer, mortgage or assignment of such Operating
Property or Ground Lease (including any restriction imposed by the organizational
documents of any such Subsidiary or DownREIT Partnership, but excluding (i) any
requirement in a Ground Lease that such Ground Lease be assumed upon the
assignment thereof and (ii) any restrictions on transfers applicable to an
Operating Property or Ground Lease owned by a DownREIT Partnership or a wholly
owned Subsidiary of a DownREIT Partnership, so long as any such transfer
restrictions shall not prohibit such DownREIT Partnership or such wholly owned
Subsidiary of a DownREIT Partnership from transferring such Operating Property
or Ground Lease either (A) in a manner that does not trigger the built in gains
of the applicable unit holders in such DownREIT Partnership, including, without
limitation, exchanges pursuant to Section 1031 of the Code, or (B) subject only
to the payment of any tax liability and related expenses of the applicable unit
holders in such DownREIT Partnership in connection with such transfers,
including a reimbursement for taxes imposed upon the applicable unit holders as
a result of such payment), (d) if owned by any such Subsidiary or DownREIT
Partnership, the Stock, partnership interests or membership interests, as the
case may be, of such Subsidiary or DownREIT Partnership that are owned by the
Borrower, any Subsidiary or any DownREIT Partnership are not subject to any
pledge or security interest in favor of any Person other than the Borrower or a
Subsidiary Guarantor, (e) is not an Environmental Risk Property, (f) does not
have, to the best of the Borrower’s knowledge, any title, survey, or other
defect which could reasonably be expected to materially and adversely affect
the value, use, financeability or marketability thereof, and (g) is located
within the contiguous 48 states of the continental United States; and “Unencumbered
Assets” means all such Unencumbered Assets, collectively.  The Unencumbered Assets which are retail
shopping centers shall on an aggregate basis have an occupancy level of tenants
in possession and operating and which are paying base, minimum or similar regularly
scheduled fixed payments of rent (but not pass-throughs of common area
maintenance charges, operating expenses, taxes, insurance and similar charges)
in accordance with the terms of their leases of at least eighty percent (80%)
of the Net Rentable Area within such Unencumbered Assets based on bona fide
arms-length tenant leases requiring current rental payments.

“Unencumbered
Asset Value”:  as of any date, the
sum of (a) the quotient of (i) an amount equal to the Adjusted Net Operating
Income for all Unencumbered Assets in the aggregate for the four fiscal
quarters of the Borrower most recently ending as of such date, divided by (ii)
8.25%, plus (b) Management Fee Value.
For purposes of any determination of Unencumbered Asset Value, the following
limitations and methodology shall apply: 
(A) the Adjusted Net Operating Income of any Unencumbered Asset owned by
a DownREIT Partnership or a wholly owned Subsidiary of a DownREIT Partnership
shall be based on the Borrower’s Interest in the Adjusted Net Operating Income
for each such Unencumbered Asset for the four fiscal quarters having most
recently ended as of such date; (B) the Adjusted Net Operating Income of any
Unencumbered Asset owned by a Joint Venture shall be based on the Borrower’s
Interest in the Adjusted Net Operating Income for each Unencumbered Asset for
the four fiscal quarters having most recently ended as of such date; (C) in the
event more than 15% of the gross base rents payable under all leases for
Properties of the Borrower, its Subsidiaries, DownREIT Partnerships and wholly
owned Subsidiaries of DownREIT Partnerships (including the Borrower’s Interest
in any Properties) shall be payable by one tenant and its Subsidiaries, then
Unencumbered Asset Value shall be reduced by the percentage amount of such
excess multiplied by the Unencumbered Asset Value attributable to the
Properties leased or controlled by such tenant and its Subsidiaries; and (D) to
the extent that a New Construction Asset or Redevelopment Asset becomes an
Operating Property during the relevant period, the Adjusted Net Operating
Income of such Operating Property during such period and the following periods
shall be annualized until such time as such Operating Property has performed as
an Operating Property for four (4) full fiscal quarters.  Notwithstanding the foregoing, to the extent
any Real Property is an Unencumbered Asset and is held by a non-Subsidiary
Joint Venture of the Borrower (whether directly or indirectly), the Unencumbered
Asset Value derived from such Real Property shall be Borrower’s pro rata share
(based on its beneficial ownership of the applicable Joint Venture) of the
otherwise calculated Unencumbered Asset Value of such Unencumbered Asset.

1.2           Other Interpretive Provisions.  With reference to this Agreement and each
other Loan Document, unless otherwise specified herein or in such other Loan
Document:

(a)           The definitions of terms herein shall
apply equally to the singular and plural forms of the terms defined.  Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and 

 25
 

 

neuter forms.  The words “include,” “includes”
and “including” shall be deemed to be followed by the phrase “without
limitation.”  The word “will”
shall be construed to have the same meaning and effect as the word “shall.”  Unless the context requires otherwise, (i)
any definition of or reference to any agreement, instrument or other document
(including any Organization Document) shall be construed as referring to such
agreement, instrument or other document as from time to time amended,
supplemented or otherwise modified (subject to any restrictions on such
amendments, supplements or modifications set forth herein or in any other Loan
Document), (ii) any reference herein to any Person shall be construed to
include such Person’s successors and assigns, (iii) the words “herein,” “hereof”
and “hereunder,” and words of similar import when used in any Loan
Document, shall be construed to refer to such Loan Document in its entirety and
not to any particular provision thereof, (iv) all references in a Loan Document
to Articles, Sections, Exhibits and Schedules shall be construed to refer to
Articles and Sections of, and Exhibits and Schedules to, the Loan Document in
which such references appear, (v) any reference to any law shall include all
statutory and regulatory provisions consolidating, amending replacing or
interpreting such law and any reference to any law or regulation shall, unless
otherwise specified, refer to such law or regulation as amended, modified or
supplemented from time to time, and (vi) the words “asset” and “property”
shall be construed to have the same meaning and effect and to refer to any and
all tangible and intangible assets and properties, including cash, securities,
accounts and contract rights.

(b)           In the computation of periods of time
from a specified date to a later specified date, the word “from” means “from
and including;” the words “to” and “until” each mean “to
but excluding;” and the word “through” means “to and including.”

(c)           Section headings herein and in the
other Loan Documents are included for convenience of reference only and shall
not affect the interpretation of this Agreement or any other Loan Document.

1.3           Accounting Terms.

(a)           Generally.  All accounting terms not specifically or
completely defined herein shall be construed in conformity with, and all
financial data (including financial ratios and other financial calculations)
required to be submitted pursuant to this Agreement shall be prepared in
conformity with, GAAP applied on a consistent basis, as in effect from time to
time, applied in a manner consistent with that used in preparing the audited
Financial Statements pursuant to Section 4.13, except as otherwise
specifically prescribed herein.

(b)           Changes in GAAP.  If at any time any change in GAAP would
affect the computation of any financial ratio or requirement set forth in any
Loan Document, and either the Borrower or the Required Lenders shall so
request, the Administrative Agent, the Lenders and the Borrower shall negotiate
in good faith to amend such ratio or requirement to preserve the original
intent thereof in light of such change in GAAP (subject to the approval of the
Required Lenders); provided  that, until so amended, (i) such
ratio or requirement shall continue to be computed in accordance with GAAP
prior to such change therein and (ii) the Borrower shall provide to the
Administrative Agent and the Lenders financial statements and other documents
required under this Agreement or as reasonably requested hereunder setting
forth a reconciliation between calculations of such ratio or requirement made
before and after giving effect to such change in GAAP.

1.4           Rounding.  Any financial ratios required to be
maintained by the Borrower pursuant to this Agreement shall be calculated by
dividing the appropriate component by the other component, carrying the result
to one place more than the number of places by which such ratio is expressed
herein and rounding the result up or down to the nearest number (with a rounding-up
if there is no nearest number).

1.5           Times of Day.  Unless otherwise specified, all references
herein to times of day shall be references to Eastern time (daylight or
standard, as applicable).

1.6           Letter of Credit Amounts.  Unless otherwise specified, all references
herein to the amount of a Letter of Credit at any time shall be deemed to mean
the maximum face amount of such Letter of Credit after giving effect to all
increases thereof contemplated by such Letter of Credit or the Issuer Documents
related thereto, whether or not such maximum face amount is in effect at such
time.

 

 26

 

 

1.7           Clarification Concerning
Calculations for Joint Ventures.  Notwithstanding anything contained in the
foregoing, to the extent any Real Property is held by a non-Subsidiary Joint
Venture of the Borrower or any of its Subsidiaries and is an Unencumbered
Asset, Operating Property, Land Asset, Redevelopment Asset, New Construction
Asset or Real Property purchased within the last 12 months, the Adjusted Net
Operating Income, Operating Property Value, Unencumbered Asset Value, book
value or cost of such asset derived from such Real Property shall be Borrower’s
pro rata share (based on its beneficial ownership of the applicable Joint
Venture) of the otherwise calculated amount for such Real Property.

2.             AMOUNT
AND TERMS OF LOANS.

2.1           Revolving Credit Loans.  Subject to the terms and conditions hereof,
each Lender severally agrees to make revolving credit loans (each a “Revolving
Credit Loan” and, as the context may require, collectively with all
Revolving Credit Loans of such Lender and with the Revolving Credit Loans of
all other Lenders, the “Revolving Credit Loans”) to the Borrower from
time to time between the Effective Date and the Maturity Date, in an aggregate
principal amount, together with such Lender’s share of the Letter of Credit
Exposure and Swing Loans outstanding at such time, not to exceed at any time
(exclusive of any Competitive Advances of such Lender at such time) such Lender’s
Commitment Amount for the purposes set forth in Section 2.15.  The Revolving Credit Loans shall be made pro
rata in accordance with each Lender’s Commitment Percentage.  The acceptance by Borrower of the Revolving
Credit Loans hereunder shall constitute a representation and warranty that all
of the conditions set forth in Sections 5 (with respect to Revolving Credit
Loans made on the Effective Date) and 6 (with respect to all other Revolving
Credit Loans) have been satisfied.  At no
time shall the aggregate outstanding principal amount of the Revolving Credit
Loans of all Lenders (including the amount of Competitive Advances) plus the
Letter of Credit Exposure plus the aggregate principal amount of all Swing
Loans exceed the Total Commitment Amount. 
Between the Effective Date and the Maturity Date, the Borrower may
borrow, prepay in whole or in part and reborrow under the Commitments at any
time and from time to time, all in accordance with the terms and conditions of
this Agreement.  Subject to the
provisions of Sections 2.3, 2.4 and 2.8, Revolving Credit Loans may be (a)
Prime Rate Loans, (b) LIBOR Loans, (c) Competitive Advances or (d) any
combination thereof.

                2.1A        Swing Loan Commitment.

(a)           Subject to the terms and conditions
set forth in this Agreement, Swing Loan Lender agrees to lend to the Borrower,
and the Borrower may borrow (and repay and reborrow) from time to time between
the Effective Date and the Maturity Date upon notice by the Borrower to the
Swing Loan Lender given in accordance with this Section 2.1A, such sums as are
requested by the Borrower for the purposes set forth in Section 2.15 in an
aggregate principal amount at any one time outstanding not exceeding the Swing
Loan Commitment (the “Swing Loans”); provided that (i)
after giving effect to any such Swing Loan, the aggregate principal balance of
any Lender’s Commitment Percentage of all outstanding Loans (after giving
effect to the Letter of Credit Exposure) plus such Lender’s Commitment
Percentage of all Swing Loans, shall not exceed such Lender’s Commitment; (ii) in all events no Default or Event of Default shall
have occurred and be continuing; (iii) the aggregate principal amount
outstanding under the Notes (after giving effect to all amounts requested
thereunder) plus the Letter of Credit Exposure shall not at any time
exceed the Total Commitment Amount; (iv) no Swing Loan shall be used to repay a
Swing Loan; and (v) no Lender shall be in default of its obligations under this
Agreement.  Swing Loans shall constitute “Loans”
for all purposes hereunder, but shall not be considered the utilization of a
Lender’s Commitment.  The funding of a
Swing Loan hereunder shall constitute a representation and warranty by the
Borrower that all of the conditions set forth in Sections 5 (with respect to
any Swing Loans made on the Effective Date) and Section 6 (with respect to all
other Swing Loans) have been satisfied on the date of such funding.

(b)           The Swing Loans shall be evidenced by
a separate promissory note of the Borrower in substantially the form of Exhibit
J hereto (the “Swing Loan Note”), dated the date of this Agreement and
completed with appropriate insertions. 
The Swing Loan Note shall be payable to the order of the Swing Loan
Lender in such amount as may be outstanding from time to time thereunder and
shall be payable as set forth below.  The
Borrower irrevocably authorizes the Swing Loan Lender to make or cause to be
made, at or about the time of the Borrowing Date of any Swing Loan or at the
time of receipt of any payment of principal thereof, an appropriate notation on
the Swing Loan Lender’s record reflecting the making of such Swing Loan or (as
the case may be) the receipt of such payment. 
The outstanding amount of the Swing Loans set forth on the Swing Loan
Lender’s record shall be prima  facie evidence of the principal
amount thereof owing and unpaid to the Swing Loan Lender, but the failure to record,

 27
 

 

or any error in so
recording, any such amount on the Swing Loan Lender’s record shall not limit or
otherwise affect the obligations of the Borrower hereunder or under the Swing
Loan Note to make payments of principal of or interest on any Swing Loan Note
when due.

(c)           Each borrowing of a Swing Loan shall
be subject to the limits and restrictions for Prime Rate Loans and LIBOR Loans
set forth in this Agreement.  Borrower
shall request a Swing Loan by delivering to the Swing Loan Lender a Borrowing
Request (or a telephonic request confirmed promptly by hand delivery or
telecopy to the Swing Loan Lender of a written Borrowing Request signed by
Borrower) no later than 12:00 p.m. (i) on the requested Borrowing Date
with respect to a Prime Rate Loan, and (ii) three (3) Business Days prior to
the requested Borrowing Date, with respect to a LIBOR Loan, specifying the
amount of the requested Swing Loan.  The
Borrowing Request shall also contain the statements and certifications required
by Section 2.3(b)(i)-(v) (provided, however, the minimum amount for such
requested Swing Loan shall be $100,000.00). 
Each such Borrowing Request shall be irrevocable and binding on the
Borrower and shall obligate the Borrower to accept such Swing Loan on the
Borrowing Date.  Notwithstanding anything
herein to the contrary, a Swing Loan shall either be a Prime Rate Loan or, if
the Borrower has requested a LIBOR Loan (of any interest period) in the  Borrowing Request delivered in connection with
such Swing Loan, a LIBOR Loan having an Interest Period of seven (7) days
(regardless of the Interest Period so requested), and in the event that the
Borrower fails to specify whether it has selected a Prime Rate Loan or a LIBOR
Loan, the Borrower shall be deemed conclusively to have selected a Prime Rate
Loan.  If the Borrower requests a LIBOR
Loan in the Borrowing Request delivered in connection with such Swing Loan,
then upon the date that the Lenders shall be required to fund the Loans
pursuant to Section 2.1A(d) to refund such Swing Loan, the interest rate
shall be reset to correspond to the rate applicable to a LIBOR Loan with an
Interest Period as specified in the Borrowing Request given by the Borrower to
the Administrative Agent in connection with such Swing Loan (such Interest Period
to commence on the date of such funding of Loans by the Lenders to fund such
Swing Loan), or if no Interest Period is so specified, then as a Prime Rate
Loan.  The proceeds of the Swing Loan
will be made available by the Swing Loan Lender to the Borrower at the office
of the Administrative Agent specified in Section 11.2 by crediting the account
of the Borrower at such office with such proceeds.  Each Swing Loan shall be deemed a LIBOR Loan
or Prime Rate Loan, as applicable, for purposes of this Agreement.

(d)           The Swing Loan Lender shall within
three (3) days after the Borrowing Date with respect to such Swing Loan request
each Lender, including the Swing Loan Lender, to make a Revolving Credit Loan
pursuant to Section 2.1 in an amount equal to such Lender’s Commitment
Percentage of the amount of the Swing Loan outstanding on the date such notice
is given, unless the Borrower has advised Administrative Agent in the Borrowing
Request for such Swing Loan that Borrower shall repay such Swing Loan in full
on the date that is seven (7) days after the making of such Swing Loan.  Such request shall be made in writing and in
accordance with the requirements of Section 2.3 without regard to the
minimum and multiples specified therein for the principal amount for Prime Rate
Loans and LIBOR Loans, but subject to the unutilized portion of the Total
Commitment Amount and the conditions set forth in Sections 5 and 6.  Borrower hereby irrevocably authorizes and
directs the Swing Loan Lender to so act on its behalf, and agrees that any
amount advanced to the Administrative Agent for the benefit of the Swing Loan
Lender pursuant to this Section 2.1A(d) shall be considered a Loan pursuant to
Section 2.1.  Unless any of the events
described in paragraph (h) or (i) of Section 9.1 shall have occurred (in which
event the procedures of Section 2.1A(e) shall apply), each Lender shall make
the proceeds of its Loan available to the Swing Loan Lender for the account of
the Swing Loan Lender at the office of the Administrative Agent specified in
Section 11.2 prior to 1:00 p.m. in funds immediately available on the date
specified in such request just as if the Lenders were funding directly to the
Borrower, so that thereafter such obligations of Borrower with respect to such
Swing Loan shall be evidenced by the Revolving Credit Notes.  The proceeds of such Loan shall be
immediately applied to repay the Swing Loans. 
Administrative Agent may, at its option, also request that the Lenders
make a Loan as provided herein in the event that the Borrower fails to repay a
Swing Loan on its maturity date after having indicated that it would so repay
such Swing Loan.  Until such Loans
pursuant to Section 2.1 are made pursuant to this paragraph, interest shall
accrue under the Swing Loan only.

(e)           If (i) prior to the making of a
Loan pursuant to Section 2.1A(d) by all of the Lenders, one of the events
described in Section 9.1(h) or (i) shall have occurred, or (ii) for any
reason any Swing Loan cannot be refinanced by a Revolving Credit Loan in accordance
with Section 2.1A(d), each Lender will, on the date such Loan pursuant to
Section 2.1A(d) was to have been made, purchase an undivided participating
interest in the Swing Loan in an amount equal to its Commitment Percentage of
such Swing Loan.  Each Lender will, on
the date such Loan 

 28
 

 

pursuant to
Section 2.1A(d) was to have been made, transfer to the Swing Loan Lender in
immediately available funds the amount of its participation and upon receipt
thereof the Swing Loan Lender will deliver to such Lender a Swing Loan
participation certificate dated the date of receipt of such funds and in such
amount.

(f)            Whenever at any time after the Swing
Loan Lender has received from any Lender such Lender’s participating interest
in a Swing Loan, the Swing Loan Lender receives any payment on account thereof,
the Swing Loan Lender will promptly distribute to such Lender its participating
interest in such amount (appropriately adjusted in the case of interest
payments to reflect the period of time during which such Lender’s participating
interest was outstanding and funded); provided, however, that in
the event that such payment received by the Swing Loan Lender is required to be
returned, such Lender will return to the Swing Loan Lender any portion thereof
previously distributed by the Swing Loan Lender to it.

(g)           Each Lender’s obligation to fund a
Loan as provided in Section 2.1A(d) or to purchase participating interests
pursuant to Section 2.1A(e) shall be absolute and unconditional and shall not
be affected by any circumstance, including, without limitation, (i) any setoff,
counterclaim, recoupment, defense or other right which such Lender or the
Borrower or any Subsidiary Guarantor may have against the Swing Loan Lender,
the Borrower or any Subsidiary Guarantor or anyone else for any reason
whatsoever; (ii) the occurrence or continuance of a Default or an Event of
Default arising after the relevant Swing Loan was advanced by the Swing Loan
Lender; (iii) any adverse change in the condition (financial or otherwise) of
the Borrower or any Subsidiary Guarantor or any of their respective
Subsidiaries; (iv) any breach of this Agreement or any of the other Loan
Documents by the Borrower or any Subsidiary Guarantor or any Lender; or (v) any
other circumstance, happening or event whatsoever, whether or not similar to
any of the foregoing.  Any portions of a
Swing Loan not so purchased or converted may be treated by the Swing Loan
Lender as a Loan which was not funded by the non-purchasing Lender as
contemplated in Section 9.1.  Each Swing
Loan, once so sold or converted, shall cease to be a Swing Loan for the
purposes of this Agreement, but shall be a Loan made by each Lender under its
Commitment.

                2.2           Notes.

(a)           Revolving Credit Notes.  The Loans (other than the Swing Loans and
Competitive Advances) of each Lender shall, if requested by such Lender, be
evidenced by a promissory note of the Borrower, substantially in the form of Exhibit
K, with appropriate insertions therein as to date and principal amount
(each, as endorsed or modified from time to time, a “Revolving Credit Note”
and, collectively with the Revolving Credit Notes of all other Lenders, the “Revolving
Credit Notes”), payable to the order of such Lender for the account of its
Applicable Lending Office in the initial principal face amount equal to the
original amount of the Commitment of such Lender and representing the
obligation of the Borrower to pay the lesser of (i) the original amount of the
Commitment of such Lender and (ii) the aggregate unpaid principal balance of all
Revolving Credit Loans of such Lender and such Lender’s share of any payments
made by the Issuing Lender pursuant to any Letters of Credit and such Lender’s
pro rata percentage of the aggregate principal amount of all Swing Loans based
on its Commitment Percentage, plus interest and other amounts due and owing to
the Lenders under the Loan Documents.  No
Lender shall have any obligation to make Loans to the Borrower of more than the
principal face amount of its Revolving Credit Note.

(b)           The Revolving Credit Notes
Generally.  Each Revolving Credit
Note shall bear interest from the date thereof on the unpaid principal balance
thereof at the applicable interest rate or rates per annum determined as
provided in Section 2.9 and shall be stated to mature on the Maturity
Date.  The following information shall be
recorded by each Lender on its books: 
(i) the date and amount of each Loan of such Lender; (ii) its character
as a Prime Rate Loan, a LIBOR Loan or a combination thereof; (iii) the interest
rate and Interest Period applicable to LIBOR Loans; and (iv) each payment and
prepayment of the principal thereof; provided, that the failure of such Lender
to make any such recordation or endorsement shall not affect the obligations of
the Borrower to make payment when due of any amount owing under the Loan
Documents.

(c)           No Novation.  By delivery of the Notes, there shall not be
deemed to have occurred, and there has not otherwise occurred, any payment,
satisfaction or novation of the indebtedness evidenced by the “Notes” as
defined in the Replaced Credit Agreement, which indebtedness is instead
allocated among the Lenders as of the date hereof and evidenced by the Notes in
accordance with their respective Commitment Percentages.

 29
 

 

                2.3           Procedure
for Revolving Credit Loan Borrowings Other than Competitive Advances.

(a)           Revolving Credit Loans.  Except for (i) Revolving Credit Loans which
the Borrower has requested to be made as Competitive Advances (as to which the
provisions of Section 2.4 shall apply), and (ii) Revolving Credit Loans
which the Borrower has requested to be made as Swing Loans (as to which
provisions of Section 2.1A shall apply), and subject to the limitations set
forth in Sections 2.1 and 2.3(c), the Borrower may borrow under the Commitments
on any Business Day between the Effective Date and the Maturity Date by
providing notice thereof in accordance with Section 2.3(b).

(b)           Borrowing Requests.  To request Revolving Credit Loans pursuant to
Section 2.3(a), the Borrower shall notify the Administrative Agent of such
request by telephone (i) in the case of a LIBOR Loan, not later than 12:00 noon
three (3) Business Days before the date of the proposed borrowing of Revolving
Credit Loans or (ii) in the case of a Prime Rate Loan, not later than 12:00
noon one (1) Business Day before the date of such proposed advance.  Each such telephonic Borrowing Request shall
be irrevocable and shall be confirmed promptly by hand delivery or telecopy to
the Administrative Agent of a written Borrowing Request signed by the Borrower.  Each such telephonic and written Borrowing
Request shall specify the following information: (A) the aggregate amount of
the requested borrowing of Revolving Credit Loans; (B) the date of such
borrowing of Revolving Credit Loans, which shall be a Business Day;
(C) whether the requested Revolving Credit Loan is to be a Prime Rate Loan
or a LIBOR Loan; (D) in the case of a LIBOR Loan, the initial Interest Period
to be applicable thereto, which shall be a period contemplated by the
definition of the term “Interest Period”; and (E) the location and number of
the Borrower’s account to which funds are to be disbursed, which shall comply
with the requirements of Section 2.3(d).

(c)           Limits on Advances.  Each borrowing of (i) Prime Rate Loans shall
be in a minimum aggregate principal amount equal to $1,000,000 or such amount
plus a whole multiple of $100,000 in excess thereof, or, if less, the Available
Commitment Amount, and (ii) LIBOR Loans shall be in an aggregate principal
amount equal to $5,000,000 or such amount plus a whole multiple of $100,000 in
excess thereof, or, if less, the Available Commitment Amount.

(d)           Funding of Revolving Credit Loans.  Upon receipt of each Borrowing Request from
the Borrower, the Administrative Agent shall promptly notify each Lender of the
contents thereof.  Subject to its receipt
of the notice referred to in the preceding sentence, each Lender will make the
amount of its Commitment Percentage of each borrowing of Revolving Credit Loans
pursuant to this Section available to the Administrative Agent for the account
of the Borrower at the office of the Administrative Agent set forth in Section
11.2 not later than 11:00 a.m. on the relevant Borrowing Date requested by the
Borrower in funds immediately available to the Administrative Agent at such
office.  The amounts so made available to
the Administrative Agent on the Borrowing Date will then, subject to the
satisfaction of the terms and conditions of this Agreement, as determined by
the Administrative Agent, be made available on such date to the Borrower by the
Administrative Agent at the office of the Administrative Agent specified in
Section 11.2 by crediting the account of the Borrower on the books of such
office with the aggregate of said amounts received by the Administrative Agent,
provided that Revolving Credit Loans made to finance the reimbursement of a
payment made by the Issuing Lender pursuant to a Letter of Credit as provided
in Section 2.5 shall be remitted by the Administrative Agent to the Issuing
Lender.

(e)           Effect of Incomplete Borrowing
Request.  If no election is made as
to the whether the Revolving Credit Loans shall be Prime Rate Loans or LIBOR
Loans, then the requested Revolving Credit Loans shall be Prime Rate
Loans.  If no Interest Period is
specified with respect to any requested borrowing of LIBOR Loans, then the
Borrower shall be deemed to have selected an Interest Period of one month’s
duration.

(f)            Administrative Agent’s Assumption.  Unless the Administrative Agent shall have
received prior notice from a Lender (by telephone or otherwise, such notice to
be promptly confirmed by telecopy or other writing) that such Lender will not
make available to the Administrative Agent such Lender’s pro rata share of the
Loans (including, without limitation, Revolving Credit Loans, Swing Loans and
Competitive Advances), the Administrative Agent may assume that such Lender has
made such share available to the Administrative Agent on the Borrowing Date in
accordance with this Section, provided that such Lender received notice of the
proposed borrowing from the Administrative Agent, and the Administrative Agent
may, in reliance upon such assumption, make available to the Borrower on the
Borrowing Date a corresponding amount. 
If and to the extent such Lender 

 30
 

 

shall not have so
made such pro rata share available to the Administrative Agent, such Lender and
the Borrower severally agree to pay to the Administrative Agent forthwith on
demand such corresponding amount (to the extent not previously paid by the
other), together with interest thereon for each day from the date such amount
is made available to the Borrower until the date such amount is paid to the
Administrative Agent, at a rate per annum equal to, in the case of the
Borrower, the applicable interest rate set forth in Section 2.9 for Prime
Rate Loans or LIBOR Loans, as initially requested by Borrower, and, in the case
of a payment to be made by such Lender, the greater of the Federal Funds Rate
and a rate determined by the Administrative Agent in accordance with banking
industry rules on interbank compensation plus any administrative, processing or
similar fees customarily charged by the Administrative Agent in connection with
the foregoing.  Such payment by the
Borrower, however, shall be without prejudice to its rights against such
Lender.  If such Lender shall pay to the
Administrative Agent such corresponding amount, such amount so paid shall
constitute such Lender’s Loan as part of the Loans for purposes of this
Agreement, which Loan shall be deemed to have been made by such Lender on the
Borrowing Date applicable to such Loans, but without prejudice to the Borrower’s
rights against such Lender.

(g)           Voluntary Reduction or Termination
of Commitments.

(i)            The Borrower shall have the right,
upon at least three Business Days’ prior written notice to the Administrative
Agent, at any time to terminate the Commitments or from time to time to
permanently reduce the Commitments, provided that (A) the Total Commitment
Amount shall not be reduced below an amount equal to the sum of the aggregate
principal balance of the Loans plus the Letter of Credit Exposure plus
the aggregate principal amount of all Swing Loans (in each case after giving
effect to any contemporaneous prepayment of the Loans) then outstanding
thereunder, and (B) any such reduction of the Commitments shall be in the
minimum amount of $5,000,000 or such amount plus a whole multiple of $100,000
in excess thereof.  In the event that the
Total Commitment Amount is reduced below the Swing Loan Commitment, the Swing
Loan Commitment shall be reduced to an amount equal to the Total Commitment
Amount, as reduced.  Upon receipt of each
such notice of termination or permanent reduction of Commitments from the
Borrower, the Administrative Agent shall promptly notify each Lender of the
contents thereof.

(ii)           Reductions of the Commitments shall
be applied pro rata according to the Commitments of each Lender, as the case
may be.  Simultaneously with each
reduction or termination of the Commitments under this Section, the Borrower
shall prepay the Loans outstanding thereunder by the amount, if any, by which
the aggregate unpaid principal balance of such Loans plus the Letter of
Credit Exposure exceeds the amount of the Commitments, as so reduced.  Simultaneously with a termination of the
Commitments under this Section, the Borrower shall pay the Facility Fee accrued
(but not yet paid) with respect to the portion of the Commitment being
terminated at such time.  If any
prepayment is made under this Section with respect to any LIBOR Loans, in whole
or in part, prior to the last day of the applicable Interest Period, the
Borrower agrees to indemnify the Lenders in accordance with Section 2.14.  No reduction or termination of the
Commitments may be reinstated.

       (h)           Increases in Commitments.

(i)            Request for Increase.  Provided there exists no Default, upon notice
to the Administrative Agent (which shall promptly notify the Lenders), the
Borrower may request increases in the Total Commitment Amount by an amount not
exceeding, in the aggregate (for all such requests), $150,000,000; provided
that (A) any such request for an increase shall be in a minimum amount of
$25,000,000, (B) such written request shall be delivered to the Administrative
Agent during the period which is not more than thirty-six (36) calendar months
following the Closing Date and (C) Borrower may not make such a request more
than two (2) times per year during the term hereof.  To achieve the full amount of a requested
increase and subject to the approval of the Administrative Agent, the Issuing
Lender and the Swing Loan Lender (which approvals shall not be unreasonably
withheld), the Borrower may also invite additional Eligible Assignees to become
Lenders pursuant to a joinder agreement in form and substance satisfactory to the
Administrative Agent and its counsel.  At
the time of sending such request, to the extent Lenders or other Eligible
Assignees have not already been identified as those that will assume the
increases in the Commitments) the Borrower (in consultation with the
Administrative Agent) shall specify the time period within which each Lender is
requested to respond (which, in any case, shall in no event be less than ten
(10) Business Days (or such shorter period as may be agreed to by the
Administrative Agent) from the date of delivery of such notice to the Lenders).

 31
 

 

(ii)           Lender Elections to Increase.  To the extent any Lender receives a
notification and request for an increase in its Commitment, each such Lender
shall notify the Administrative Agent within the time period provided in such
notice whether or not it agrees to increase its Commitment and, if so, whether
by an amount equal to, greater than, or less than its Commitment Percentage
(before giving effect to the requested increase) of such requested increase.  Any Lender not responding within such time
period shall be deemed to have declined to increase its Commitment.

(iii)          Notification by Administrative
Agent; Additional Lenders.  The
Administrative Agent shall notify the Borrowers and each Lender of the Lenders’
responses to each request made hereunder.

(iv)          Effective Date and Allocations.  If the Aggregate Commitments are increased in
accordance with this Section, the Administrative Agent and the Borrowers shall
determine the effective date (the “Increase Effective Date”) and the final
allocation of such increase.  The
Administrative Agent shall promptly notify the Borrowers and the Lenders of the
final allocation of such increase and the Increase Effective Date.

(v)           Conditions to Effectiveness of
Increase.  As a condition precedent
to such increase, the Borrowers shall deliver to the Administrative Agent a
certificate of the Borrower and each Subsidiary Guarantor dated as of the
Increase Effective Date (in sufficient copies for each Lender) signed by a Responsible
Officer of such Person (A) certifying and attaching the resolutions adopted by
such Person approving or consenting to such increase, and (B) in the case of
the Borrower, certifying that, before and after giving effect to such increase,
(1) the representations and warranties contained in Section 4 and in the other
Loan Documents are true and correct in all material respects on and as of the
Increase Effective Date, except to the extent that such representations and
warranties specifically refer to an earlier date, in which case they are true
and correct in all material respects as of such earlier date, and (2) no
Default exists.  The Borrowers shall
prepay any Loans outstanding on the Increase Effective Date (and pay any
additional amounts required pursuant to the terms hereof) to the extent
necessary to keep the outstanding principal of the Loans ratable with any
revised Commitment Percentages arising from any nonratable increase in the
Commitments under this Section.

(vi)          Conflicting Provisions.  This Section shall supersede any
provisions in Sections 3.2 or 11.1 hereof to the contrary.

                2.4           Competitive Advances.

(a)           Subject to the terms and conditions
hereof, at any time and from time to time from the Effective Date through the
Maturity Date, and provided that no Default or Event of Default shall have
occurred and be continuing, each Lender may in its sole and absolute discretion
make Competitive Advances to Borrower in such principal amounts as Borrower may
request pursuant to a Competitive Bid Request that do not result in (i) the
aggregate principal amount outstanding under the Competitive Advance Notes
(after giving effect to all amounts requested thereunder) being in excess of
50% of the Total Commitment Amount, and (ii) the aggregate principal amount
outstanding under the Notes (after giving effect to all amounts requested
thereunder) plus the Letter of Credit Exposure being in excess of the
Total Commitment Amount.  A Lender
lending to the Borrower pursuant to this Section 2.4 shall remain obligated to
make Loans in accordance with its Commitment Percentage as provided in Section
2.1.

(b)           Borrower shall request Competitive
Advances by submitting a duly completed Competitive Bid Request to the
Administrative Agent, which Competitive Bid Request shall specify the relevant
date, amount and maturity for the proposed Competitive Advance and shall state
whether a Competitive Bid is requested on the basis of a fixed rate of interest
expressed in multiples of 1/100th of
one basis point (a “Absolute Rate Bid”) or on the basis of a margin over LIBOR
(a “LIBOR Margin Bid”).  If a LIBOR
Margin Bid is requested, the maturity date shall be one of the Interest
Periods, and any such advance shall be a LIBOR Loan.  The proposed funding date shall be a Business
Day.  The Administrative Agent shall
incur no liability whatsoever hereunder in acting upon any 

 32
 

 

Competitive Bid
Request purportedly made by an Authorized Signatory of Borrower, which hereby
agrees to indemnify the Administrative Agent from any loss, cost, expense or
liability as a result of so acting.  The
Competitive Bid Request must be received by the Administrative Agent not later
than 12:00 noon on a Business Day that is at least five (5) Business Days prior
to the date of the proposed Competitive Advance.

(c)           Unless the Administrative Agent
otherwise agrees, in its sole and absolute discretion, no Competitive Bid
Request shall be made by Borrower if Borrower has within the current calendar
month submitted five (5) or more Competitive Bid Requests.

(d)           Each Competitive Bid Request must be
made for a Competitive Advance of at least $5,000,000 and shall be in an
integral multiple of $1,000,000.

(e)           No Competitive Bid Request shall be
made for a Competitive Advance with a maturity of less than 7 days or more
than 180 days, or with a maturity date subsequent to the Maturity
Date.  The Borrower may request offers to
make Competitive Advances for up to four (4) Interest Periods in a single
Competitive Bid Request, provided that in no event shall Borrower be permitted
to have more than four (4) different Interest Periods outstanding at any one
time with respect to all Competitive Advances.

(f)            Upon receipt of each Competitive Bid
Request from the Borrower, the Administrative Agent shall promptly notify each
Lender of the contents thereof.  Any
Lender may, by written notice to the Administrative Agent, advise the
Administrative Agent that it elects not to be so notified of Competitive Bid
Requests, in which case the Administrative Agent shall not notify such Lender of
the Competitive Bid Request.

(g)           Each Lender receiving a Competitive
Bid Request may, in its sole and absolute discretion, make or not make a
Competitive Bid responsive to the Competitive Bid Request.  Each Competitive Bid shall be submitted so as
to be received by the Administrative Agent not later than 12:00 noon (or, in
the case of the Domestic Reference Lender, not later than 11:00 a.m.) on the
date which is four (4) Business Days prior to the requested Competitive
Advance.  Any Competitive Bid received by
the Administrative Agent after 12:00 noon (or 11:00 a.m. in the case of the
Domestic Reference Lender) on such date shall be disregarded for purposes of
this Agreement.  The Administrative Agent
shall incur no liability whatsoever hereunder in acting upon any Competitive
Bid purportedly made by a Responsible Official of a Lender, each of which
hereby agrees to indemnify the Administrative Agent from any loss, cost,
expense or liability as a result of so acting with respect to that Lender.

(h)           Each Competitive Bid shall specify
the fixed interest rate or the margin over LIBOR, as applicable, for the
offered Maximum Competitive Advance set forth in the Competitive Bid.  The Maximum Competitive Advance offered by a Lender
in a Competitive Bid shall not exceed the Competitive Advance requested and may
be less than the Competitive Advance requested by Borrower in the Competitive
Bid Request, but shall be an integral multiple of $1,000,000.  Any Competitive Bid which offers an interest
rate other than a fixed interest rate or a margin over LIBOR, is in a form
other than as set forth in Exhibit E or which otherwise contains any
term, condition, qualification or provision not contained in the Competitive
Bid Request (including without limitation a requirement of a minimum advance)
or is received after the time set forth in Section 2.4(g) shall be disregarded
for purposes of this Agreement.  A
Competitive Bid once submitted to the Administrative Agent shall, subject to
the terms of Sections 2.12 and Section 6, be irrevocable until 12:00 noon on
the date which is three (3) Business Days prior to the requested Competitive
Advance set forth in the related Competitive Bid Request, and shall expire by
its terms at such time unless accepted by Borrower on or prior thereto.

(i)            Promptly after 12:00 noon
(a) on the date which is four (4) Business Days prior to the date of the
proposed Competitive Advance, the Administrative Agent shall notify Borrower of
the names of the Lenders providing Competitive Bids to the Administrative Agent
at or before 12:00 noon on that date (or 11:00 a.m. in the case of the Domestic
Reference Lender) and satisfying the conditions of this Section 2.4 and the
Maximum Competitive Advance and fixed interest rate or margin over LIBOR set
forth by each such Lender in its Competitive Bid.

(j)            Borrower may, in its sole and
absolute discretion, reject any or all of the Competitive Bids.  If Borrower accepts any Competitive Bid, by
telephone or in writing (provided that any acceptance by telephone shall be confirmed
promptly by hand delivery or telecopy of such acceptance signed by Borrower),
the following shall 

 33
 

 

apply:  (i) Borrower must accept all Absolute
Rate Bids at all lower fixed interest rates before accepting any portion of a
Absolute Rate Bid at a higher fixed interest rate, (ii) Borrower must
accept all LIBOR Margin Bids at all lower margins over LIBOR before accepting
any portion of a LIBOR Margin Bid at a higher margin over LIBOR, (iii) if
two or more Lenders have submitted a Competitive Bid at the same fixed interest
rate or margin, then Borrowers must accept either all of such Competitive Bids
or accept such Competitive Bids in the same proportion as the Maximum
Competitive Advance of each Lender bears to the aggregate Maximum Competitive
Advances of all such Lenders, (iv) Borrower may not accept Competitive
Bids for an aggregate amount in excess of the requested Competitive Advance set
forth in the Competitive Bid Request, and (v) the principal amount of the
Competitive Bids accepted must be at least $5,000,000 and shall be in an
integral multiple of $1,000,000. 
Acceptance by Borrower of a LIBOR Margin Bid or Absolute Rate Bid must
be made prior to 12:00 noon on the date which is three (3) Business Days prior
to the requested Competitive Advance. 
Acceptance of a Competitive Bid by Borrower shall be accomplished by
telephonic or written notification thereof to the Administrative Agent
(provided that any acceptance by telephone shall be confirmed promptly by hand
delivery or telecopy of such acceptance signed by Borrower) and shall be
irrevocable upon such notification.  The
Administrative Agent shall promptly notify each of the Lenders whose
Competitive Bid has been accepted by Borrower by telephone, which notification
shall promptly be confirmed in writing delivered in person or by telecopier to
such Lenders.  Any Competitive Bid not
accepted or rejected by Borrower by 12:00 noon on the date which is three (3)
Business Days prior to the proposed Competitive Advance, shall be deemed
rejected.

(k)           In the case of a LIBOR Margin Bid,
the Administrative Agent shall determine LIBOR for the relevant Interest Period
on the date which is three (3) Business Days prior to the date of the proposed
Competitive Advance, and shall promptly thereafter notify Borrower and the
Lenders whose LIBOR Margin Bids were accepted by Borrower of such LIBOR rate.

(l)            A Lender whose Competitive Bid has
been accepted by Borrower shall make the Competitive Advance in accordance with
the Competitive Bid Request and with its Competitive Bid, subject to the
applicable conditions set forth in this Agreement, by making funds immediately
available to the Administrative Agent at the office of the Administrative Agent
set forth in Section 11.2 in the amount of such Competitive Advance not later
than 1:00 p.m. on the date set forth in the Competitive Bid Request.  The Administrative Agent shall then promptly
make available to the Borrower the aggregate amount of the Competitive Advances
made available to the Administrative Agent by crediting such amount in
immediately available funds to the account of the Borrower on the books of such
office of Administrative Agent.

(m)          The Administrative Agent shall notify
Borrower and the Lenders promptly after any Competitive Advance is made of the
amounts and maturity of such Competitive Advances and the identity of the
Lenders making such Competitive Advances.

(n)           The Competitive Advances made by a
Lender shall, if requested by such Lender, be evidenced by that Lender’s
Competitive Advance Note.

(o)           Each Competitive Advance shall be
subject to all of the provisions of this Agreement generally, provided,
however, that a Competitive Advance shall not reduce a Lender’s obligation to
fund its Commitment Percentage of any Loan. 
No Competitive Advance may be prepaid without the prior written consent
of the affected Lender.

                2.5           Letters of Credit.

(a)           Subject to the terms and conditions
set forth in this Agreement, at any time and from time to time from the
Effective Date through the day that is seven (7) days prior to the Maturity
Date, the Issuing Lender shall issue such Letters of Credit as the Borrower may
request upon the delivery of a written request in the form of Exhibit L
hereto (a “Letter of Credit Request”) to the Issuing Lender, provided
that (i) no Default or Event of Default shall have occurred and be continuing,
(ii) upon issuance of such Letter of Credit, the outstanding Letters of Credit
(including Letters of Credit accepted but unpaid) shall not exceed Fifty
Million and No/100 Dollars ($50,000,000.00), (iii) in no event shall the amount
of the Loans outstanding and the amount of Letters of Credit outstanding (after
giving effect to the Letter of Credit Exposure) exceed the Total Commitment
Amount, (iv) the conditions set forth in Sections 5 and 6 shall have been
satisfied, and (v) in no event shall any amount drawn under a 

 34
 

 

Letter
of Credit be available for reinstatement or a subsequent drawing under such
Letter of Credit.  Each Letter of Credit
Request shall be executed by an Authorized Signatory of the Borrower.  The Issuing Lender shall not be required to
issue any Letter of Credit if any Lender is at such time a Defaulting Lender
hereunder, unless the Issuing Lender has entered into satisfactory arrangements
with the Borrower or such Defaulting Lender to eliminate the Issuing Lender’s
risk with respect to such Defaulting Lender. 
The Issuing Lender shall not be under any obligation to issue any Letter
of Credit if any order, judgment or decree of any Governmental Authority or
arbitrator shall by its terms purport to enjoin or restrain the Issuing Lender
from issuing such Letter of Credit, or any Law applicable to the Issuing Lender
or any request or directive (whether or not having the force of law) from any
Governmental Authority with jurisdiction over the Issuing Lender shall
prohibit, or request that the Issuing Lender refrain from, the issuance of
letters of credit generally or such Letter of Credit in particular or shall
impose upon the Issuing Lender with respect to such Letter of Credit any
restriction, reserve or capital requirement (for which the Issuing Lender is
not otherwise compensated hereunder) not in effect on the Effective Date, or
shall impose upon the Issuing Lender any unreimbursed loss, cost or expense
which was not applicable on the Effective Date and which the Issuing Lender in
good faith deems material to it.  In
addition, the Issuing Lender shall not be required to issue any Letter of
Credit if the issuance of such Letter of Credit would violate one or more
policies of the Issuing Lender applicable to letters of credit generally.  The Issuing Lender shall be entitled to
conclusively rely on such Person’s authority to request a Letter of Credit on
behalf of such Borrower.  The Issuing
Lender shall have no duty to verify the authenticity of any signature appearing
on a Letter of Credit Request.  The
Borrower assumes all risks with respect to the use of the Letters of
Credit.  Unless the Issuing Lender and
the Required Lenders otherwise consent, the term of any Letter of Credit (other
than any extension of the original term of any Letter of Credit pursuant to
Section 2.5(d)) shall not exceed a period of time commencing on the issuance of
the Letter of Credit and ending on the date which is seven (7) days prior to
the Maturity Date (but in any event the term shall not extend beyond the
Maturity Date).  The amount available to
be drawn under any Letter of Credit shall reduce on a dollar for dollar basis
the amount available to be drawn under the Total Commitment Amount as a
Loan.  All Existing Letters of Credit
shall be deemed to have been issued pursuant hereto as Letters of Credit, and
from and after the Effective Date shall be subject to and governed by the terms
and conditions hereof.

(b)           Each Letter of Credit Request shall
be submitted to the Issuing Lender no later than 11:00 a.m. at least five (5)
Business Days (or such later time as may be permitted by the Issuing Lender, in
its discretion) prior to the date upon which the requested Letter of Credit is
to be issued.  Each such Letter of Credit
Request shall contain (i) a statement as to the purpose for which such Letter
of Credit shall be used (which purpose shall be in accordance with the terms of
Section 2.15 of this Agreement), and (ii) a certification by an Authorized Signatory
of the Borrower that the Borrower is and will be in compliance with all
covenants under the Loan Documents after giving effect to the issuance of such
Letter of Credit.  The Borrower shall
further deliver to the Issuing Lender such additional applications and
documents as the Issuing Lender may require, in conformity with the then
standard practices of its letter of credit department, in connection with the
issuance of such Letter of Credit; provided that in the event of any conflict,
the terms of this Agreement shall control.

(c)           Promptly after receipt of any Letter
of Credit Request, the Issuing Lender will confirm with the Administrative
Agent (by telephone or in writing) that the Administrative Agent has received a
copy of such Letter of Credit Request from the Borrower and, if not, the
Issuing Lender will provide the Administrative Agent with a copy thereof.  Unless the Issuing Lender has received
written notice from any Lender, the Administrative Agent, the Borrower or any
Subsidiary Guarantor, at least one Business Day prior to the requested date of
issuance or amendment of the applicable Letter of Credit, that one or more
applicable conditions contained in Section 6 shall not then be satisfied, then,
subject to the terms and conditions set forth in this Agreement (including
without limitation approval by Issuing Lender of the content of the Letter of
Credit Request), the Issuing Lender shall, on the requested date, issue a
Letter of Credit for the account of the Borrower or enter into the applicable
amendment, as the case may be, in each case in accordance with the Issuing
Lender’s usual and customary business practices.  Each Letter of Credit shall be in form and
substance satisfactory to the Issuing Lender in its sole discretion.  Upon issuance of a Letter of Credit, the
Issuing Lender shall provide copies of each Letter of Credit to the Lenders.

(d)           If the Borrower so requests in any
applicable Letter of Credit Request, the Issuing Lender shall, subject to the
terms and conditions hereof with respect to the issuance of Letters of Credit,
agree to issue a Letter of Credit that has automatic extension provisions
(each, an “Auto-Extension Letter of Credit”); provided that any such
Auto-Extension Letter of Credit must permit the Issuing Lender to prevent any
such extension at least once in each twelve-month period (commencing with the
date of issuance of such Letter of Credit) by giving at least thirty (30) 

 35
 

 

days’ prior
written notice to the beneficiary thereof (the “Non-Extension Notice Date”) in
each such twelve-month period.  Unless
otherwise directed by the Issuing Lender, the Borrower shall not be required to
make a specific request to the Issuing Lender for any such extension.  Once an Auto-Extension Letter of Credit has
been issued, the Lenders shall be deemed to have authorized (but may not
require) the Issuing Lender to permit the extension of such Letter of Credit,
at any time to an expiry date that may or may not extend beyond the Maturity
Date; provided, however, that the Issuing Lender shall not permit any such
extension if (i) the Issuing Lender has determined that it would not be
permitted, or would have no obligation, at such time to issue such Letter of
Credit in its revised form (as extended) under the terms hereof (by reason of
the provisions of Section 2.05(a) or otherwise), or (ii) it has received notice
(which may be by telephone or in writing) on or before the day that is thirty
(30) Business Days before the Non-Extension Notice Date (A) from the
Administrative Agent that the Required Lenders have elected not to permit such
extension or (B) from the Administrative Agent, any Lender or the Borrower that
one or more of the applicable conditions specified in Section 6 is not then
satisfied, and in each such case directing the Issuing Lender not to permit
such extension, and provided further, however, that in the event that the
expiry date of such extended Letter of Credit shall extend beyond the date that
is after the Maturity Date and if as of the date that is seven (7) days prior
to the Maturity Date, any such Letter of Credit may for any reason remain
outstanding and partially or wholly undrawn, the Borrower shall immediately
Cash Collateralize the Letter of Credit Exposure (in an amount equal to such
Letter of Credit Exposure).

(e)           Upon the issuance of a Letter of
Credit, each Lender shall be deemed to have purchased a participation therein
from Issuing Lender in an amount equal to its respective Commitment Percentage
of the amount of such Letter of Credit, provided, however, that with respect to
the Existing Letters of Credit, on the Effective Date, each Lender shall be
deemed to have purchased a subparticipation therein from the Issuing Lender in
an amount equal to its respective Commitment Percentage of the amount of the
Existing Letters of Credit.  No Lender’s
obligation to participate or subparticipate, as applicable, in a Letter of
Credit shall be affected by any other Lender’s failure to perform as required
herein with respect to such Letter of Credit or any other Letter of Credit.

(f)            In connection with the issuance of
each Letter of Credit, the Borrower shall pay (i) directly to the Issuing
Lender for its own account, a fee calculated at the rate of one-eighth of one
percent (0.125%) per annum times the daily maximum amount available to be drawn
under such Letter of Credit (which fee shall not, on an annual basis, be less
than $500.00 in any event) (the “Letter of Credit Fronting Fees”), and
(ii) the Administrative Agent for the accounts of the Lenders in
accordance with their respective percentage shares of participation or
subparticipation, as applicable, in such Letter of Credit, a fee equal to the
Applicable Margin times the daily maximum amount available to be drawn under
such Letter of Credit (the “Letter of Credit Commission Fees”).  The Letter of Credit Fronting Fees payable
under clause (i) above shall be (A) calculated on the basis of a 360-day year
and (B) payable (w) quarterly in arrears on the last Business Day of each
March, June, September, and December, (x) upon the expiration or return of any
Letter of Credit, (y) on any termination of the Total Commitment Amount, and
(z) on the Maturity Date.  The Letter of
Credit Commission Fees payable under clause (ii) above shall be (A) calculated
on the basis of a 360-day year and (B) payable (x) quarterly in arrears on the
last Business Day of each March, June, September, and December, (y) on any
termination of the Total Commitment Amount, and (z) on the Maturity Date.  In addition to and concurrently with the
payment of the Letter of Credit Commission Fees and the Letter of Credit
Fronting Fees, Borrower shall pay directly to, the applicable Issuing Lender
its customary issuance, presentation, amendment, and other processing fees, and
all other standard costs and charges of such Issuing Lender relating to letters
of credit as from time to time in effect (such charges not to exceed $500.00).

(g)           In the event that any amount is drawn
under a Letter of Credit by the beneficiary thereof, the Borrower shall
reimburse the Issuing Lender not later than 11:00 a.m. on the date of such
payment by the Issuing Lender through the Administrative Agent in an amount
equal to the amount of such drawing.  If
the Borrower fails to so reimburse the Issuing Lender by such time, Borrower
shall be deemed to have requested a Prime Rate Loan on such date in an amount
equal to the amount of such drawing and such amount drawn shall be treated as
an outstanding Prime Rate Loan under this Agreement and the Administrative
Agent shall promptly notify each Lender by telex, telecopy, telegram, telephone
(confirmed in writing) or other similar means of transmission, and each Lender
shall promptly and unconditionally pay to the Administrative Agent, for the
Issuing Lender’s own account, an amount equal to such Lender’s Commitment
Percentage of such Letter of Credit (to the extent of the amount drawn).  If and to the extent any Lender shall not
make such amount available on the Business Day on which such draw occurs, such
Lender agrees to pay such amount to the Administrative Agent forthwith on
demand, together with interest thereon, for each day from the date on which
such draw occurred until the date on which such amount

 36
 

 

is paid to the
Administrative Agent, at a rate per annum equal to the greater of the Federal
Funds Effective Rate and a rate determined by the Issuing Lender in accordance
with banking industry rules on interbank compensation, plus any administrative,
processing or similar fees customarily charged by the Issuing Lender in
connection with the foregoing.  Further,
such Lender shall be deemed to have assigned any and all payments made of
principal and interest on its Loans, amounts due with respect to its
participations and subparticipations in Letters of Credit and any other amounts
due to it hereunder to the Administrative Agent to fund the amount of any drawn
Letter of Credit which such Lender was required to fund pursuant to this
Section 2.5(g) until such amount has been funded (as a result of such
assignment or otherwise).  In the event
of any such failure or refusal, the Lenders not so failing or refusing shall be
entitled to a priority position for such amounts as provided in Section
9.1.  The failure of any Lender to make
funds available to the Administrative Agent in such amount shall not relieve any
other Lender of its obligation hereunder to make funds available to the
Administrative Agent pursuant to this Section 2.5(g).

(h)           If after the issuance of a Letter of
Credit pursuant to Section 2.5(c) by the Issuing Lender, but prior to the
funding of any portion thereof by a Lender pursuant to Section 2.5(g), one of
the events described in Section 9.1(h) or (i) shall have occurred, each Lender
will, on the date such Loan pursuant to Section 2.5(g) was to have been made,
transfer to the Issuing Lender in immediately available funds the amount of its
participation or subparticipation, as applicable, based on that Loan that it
was to have made on such date and upon receipt thereof the Issuing Lender will
deliver to such Lender a Letter of Credit participation certificate or
subparticipation certificate, as applicable, dated the date of receipt of such
funds and in such amount.

(i)            Whenever at any time after the
Issuing Lender has received from any Lender such Lender’s payment of funds
under a Letter of Credit and thereafter the Issuing Lender receives any payment
on account thereof, then the Issuing Lender will distribute to such Lender its
participating interest or subparticipating interest, as applicable, in such
amount (appropriately adjusted in the case of interest payments to reflect the
period of time during which such Lender’s participating interest or
subparticipating interest, as applicable, was outstanding and funded); provided,
however, that in the event that such payment received by the Issuing Lender
is required to be returned, such Lender will return to the Issuing Lender any
portion thereof previously distributed by the Issuing Lender to it.

(j)            The issuance of any supplement,
modification, amendment, renewal or extension to or of any Letter of Credit
shall be treated in all respects the same as the issuance of a new Letter of
Credit.

(k)           The obligations of the Borrower to
the Lenders under this Agreement with respect to Letters of Credit shall be
absolute, unconditional and irrevocable, and shall be paid and performed
strictly in accordance with the terms of this Agreement, under all
circumstances whatsoever, including, without limitation, the following
circumstances:  (i) any improper use
which may be made of any Letter of Credit or any improper acts or omissions of
any beneficiary or transferee of any Letter of Credit in connection therewith;
(ii) the existence of any claim, set-off, defense or any right which the
Borrower may have at any time against any beneficiary or any transferee of any
Letter of Credit (or persons or entities for whom any such beneficiary or any
such transferee may be acting) or the Lenders (other than the defense of
payment to the Lenders in accordance with the terms of this Agreement) or any
other person, whether in connection with any Letter of Credit, this Agreement,
any other Loan Document, or any unrelated transaction; (iii) any statement or
any other documents presented under any Letter of Credit proving to be
insufficient, forged, fraudulent or invalid in any respect or any statement
therein being untrue or inaccurate in any respect whatsoever; (iv) any breach
of any agreement between Borrower and any beneficiary or transferee of any
Letter of Credit; (v) any irregularity in the transaction with respect to which
any Letter of Credit is issued, including any fraud by the beneficiary or any
transferee of such Letter of Credit; (vi) payment by the Issuing Lender under
any Letter of Credit against presentation of a sight draft or a certificate
which does not comply with the terms of such Letter of Credit, provided that
such payment shall not have constituted gross negligence or willful misconduct
on the part of the Issuing Lender, and (vii) any other circumstance or
happening whatsoever, whether or not similar to any of the foregoing, provided
that such other circumstances or happenings shall not have been the result of
gross negligence or willful misconduct on the part of the Issuing Lender.

(l)            Borrower assumes all risks of the
acts, omissions, or misuse of any Letter of Credit by the beneficiary
thereof.  Neither Administrative Agent,
Issuing Lender nor any Lender will be responsible for (i) the form, validity,
sufficiency, accuracy, genuineness or legal effect of any Letter of Credit or
any document submitted by any party in connection with the issuance of any
Letter of Credit, even if such document should in fact prove to 

 37
 

 

be in any or all
respects invalid, insufficient, inaccurate, fraudulent or forged; (ii) the
form, validity, sufficiency, accuracy, genuineness or legal effect of any
instrument transferring or assigning or purporting to transfer or assign any
Letter of Credit or the rights or benefits thereunder or proceeds thereof in
whole or in part, which may prove to be invalid or ineffective for any reason;
(iii) failure of any beneficiary of any Letter of Credit to comply fully with
the conditions required in order to demand payment under a Letter of Credit;
(iv) errors, omissions, interruptions or delays in transmission or delivery of
any messages, by mail, cable, telegraph, telex or otherwise; (v) errors in
interpretation of technical terms; (vi) any loss or delay in the transmission
or otherwise of any document or draft required by or from a beneficiary in
order to make a disbursement under a Letter of Credit or the proceeds thereof;
(vii) the misapplication by the beneficiary of any Letter of Credit of the
proceeds of any drawing under such Letter of Credit; and (viii) any
consequences arising from causes beyond the control of Administrative Agent or
any Lender.  None of the foregoing will
affect, impair or prevent the vesting of any of the rights or powers granted to
Administrative Agent, Issuing Lender or the Lenders hereunder.  In furtherance and extension and not in limitation
or derogation of any of the foregoing, any act taken or omitted to be taken by
Administrative Agent, Issuing Lender or the other Lenders in good faith will be
binding on Borrower and will not put Administrative Agent, Issuing Lender or
the other Lenders under any resulting liability to Borrower.

(m)          Unless otherwise expressly agreed by
the Issuing Lender and the Borrower, when a Letter of Credit is issued
(including any such agreement applicable to an Existing Letter of Credit), the
rules of the ISP shall apply to each Letter of Credit.

                2.6           Repayment of Loans; Evidence of
Debt.

(a)           Promise to Pay.  The Borrower hereby unconditionally promises
to pay to the Administrative Agent for the account of each Lender the then
unpaid principal amount of each Loan on the Maturity Date; provided, however,
that Swing Loans shall be paid pursuant to Section 2.1A and Competitive
Advances shall be paid pursuant to Section 2.4.

(b)           Lenders’ Accounts.  Each Lender shall maintain in accordance with
its usual practice an account or accounts evidencing the debt of the Borrower
to such Lender resulting from each Loan made by such Lender, including the
amounts of principal and interest payable and paid to such Lender from time to
time hereunder.

(c)           Administrative Agent’s Accounts.  The Administrative Agent shall maintain
accounts in which it shall record (i) the amount of each Loan, Competitive
Advance and payment made by the Issuing Lender pursuant to a Letter of Credit
made hereunder, the type of Advance thereof and the Interest Period applicable
thereto, (ii) the amount of any principal or interest due and payable or to
become due and payable from the Borrower to each Lender hereunder and (iii) the
amount of any other sum received by the Administrative Agent hereunder for the
account of the Lenders and each Lender’s share thereof.

(d)           Entries Made in Accounts.  The entries made in the accounts maintained
pursuant to paragraphs (b) and (c) of this Section shall, to the extent not
inconsistent with any entries made in any Note and absent manifest error, be
prima facie evidence of the existence and amounts of the obligations recorded
therein, provided that the failure of any Lender, the Swing Loan Lender or the
Administrative Agent, to maintain such accounts or any error therein shall not
in any manner affect the obligation of the Borrower to repay the Loans or any
payment made by the Issuing Lender pursuant to a Letter of Credit in accordance
with the terms of this Agreement or otherwise to make any payments in
accordance with the Loan Documents.

(e)           Loans Evidenced by Notes.  The Loans and interest thereon shall, upon
request of the applicable Lenders, be evidenced by one or more Notes in like
form payable to the order of the payee named therein and its registered
assigns.

                2.7           Prepayments of the Loans.

(a)           Voluntary Prepayments. The
Borrower may, at its option, prepay the Prime Rate Loans and LIBOR Loans, in
whole or in part, without premium or penalty (other than any indemnification
amounts, as provided for in Section 2.14) at any time and from time to time by
notifying the Administrative Agent in writing not later than the Business Day
on which Loans consisting of Prime Rate Loans are prepaid and at least three
Business 

 38
 

 

Days prior to the
proposed prepayment date in the case of Loans consisting of LIBOR Loans, specifying
the Loans to be prepaid consisting of Prime Rate Loans, LIBOR Loans or a
combination thereof, the amount to be prepaid and the date of prepayment.  Upon receipt of such notice, the
Administrative Agent shall promptly notify each Lender of the contents
thereof.  Partial prepayments of (i)
Prime Rate Loans and/or LIBOR Loans shall be in an aggregate minimum principal
amount of $500,000 or such amount plus a whole multiple of $500,000 in excess
thereof and (ii) Swing Loans shall be in a minimum principal amount of
$100,000, or, if less, the outstanding principal balance thereof.  After giving effect to any partial prepayment
with respect to LIBOR Loans which were converted on the same date and which had
the same Interest Period, the outstanding principal amount of such LIBOR Loans
shall be at least (subject to Section 2.8(a)) $1,000,000 or such amount plus a
whole multiple of $100,000 in excess thereof. 
Any Loans prepaid may be reborrowed as provided in Section 2.1, 2.1A and
2.4.  Notwithstanding the foregoing, no
prior notice shall be required for the prepayment of any Swing Loan.

(b)           Mandatory Prepayments.  If not sooner paid, the principal
Indebtedness evidenced by the Notes shall be payable as follows:

(i)            the amount, if any, by which the
principal Indebtedness evidenced by the Revolving Credit Notes (after giving
effect to all amounts disbursed thereunder) plus the Letter of Credit
Exposure plus the aggregate amount of Swing Loans outstanding, at any
time exceeds the Total Commitment Amount shall be payable immediately;

(ii)           the amount, if any, by which the
outstanding principal amount of the Revolving Credit Loans plus the
Letter of Credit Exposure plus the aggregate amount of Swing Loans
outstanding, at any time exceeds the Total Commitment Amount shall be payable
immediately;

(iii)          the principal Indebtedness evidenced
by each Competitive Advance Note shall be payable on the maturity date of each
Competitive Advance in the amount of such Competitive Advance; and

(iv)          the principal Indebtedness evidenced
by the Notes shall in any event be payable on the Maturity Date.

Upon the
occurrence of an event described in Section 2.7(b)(i) or (ii) above, Borrower
shall immediately upon demand from Administrative Agent pay the amount of such
excess to the Administrative Agent first for the account of Swing Loan Lender
for application to outstanding Swing Loans and second for the respective
accounts of the Lenders for application first to Prime Rate Loans and then to
LIBOR Loans

(c)           In General.  If any prepayment is made in respect of any
Advance, in whole or in part, prior to the last day of the applicable Interest
Period, the Borrower agrees to indemnify the Lenders in accordance with Section
2.14.

(d)           Partial Prepayments.  Each partial prepayment of the Loans (other
than Prime Rate Loans) under Section 2.7(a) shall be accompanied by the payment
of accrued interest on the principal prepaid to the date of payment and, after
payment of such interest, shall be applied, in the absence of instruction by
the Borrower, first to the principal of any outstanding Swing Loans, and then
to the Lenders in accordance with the provisions of Section 3.2.

                2.8           Conversions.

(a)           Conversion Elections.  The Borrower may elect from time to time to
convert LIBOR Loans to Prime Rate Loans by giving the Administrative Agent at
least one Business Day’s prior irrevocable notice of such election, specifying
the amount to be so converted, provided, that any such conversion of LIBOR
Loans shall only be made on the last day of the Interest Period applicable
thereto.  In addition, the Borrower may
elect from time to time to convert Prime Rate Loans to LIBOR Loans or to
convert LIBOR Loans to new LIBOR Loans by giving the Administrative Agent at
least three (3) Business Days prior irrevocable notice of such election,
specifying the amount to be so converted and the initial Interest Period
relating thereto, provided that any such conversion of Prime Rate Loans to
LIBOR Loans shall only be made on a Business Day and any such conversion of
LIBOR Loans to 

 39
 

 

new LIBOR Loans
shall only be made on the last day of the Interest Period applicable to the
LIBOR Loans which are to be converted to such new LIBOR Loans.  Each such notice shall be in the form of Exhibit
M and must be delivered to the Administrative Agent prior to 12:00 noon on
the Business Day required by this Section for the delivery of such notices to
the Administrative Agent.  The
Administrative Agent shall promptly provide the Lenders with notice of any such
election.  Prime Rate Loans and LIBOR
Loans may be converted pursuant to this Section in whole or in part, provided
that conversions of Prime Rate Loans to LIBOR Loans, or LIBOR Loans to new
LIBOR Loans, shall be in an aggregate principal amount of $5,000,000 or such
amount plus a whole multiple of $100,000 in excess thereof.  This Section shall not apply to Competitive
Advances or Swing Loans, which may not be converted or continued beyond the
Interest Period applicable thereto.

(b)           Effect on Conversions if an Event
of Default.  Notwithstanding anything
in this Section to the contrary, no Prime Rate Loan may be converted to a LIBOR
Loan, and no LIBOR Loan may be converted to a new LIBOR Loan, if a Default or
Event of Default has occurred and is continuing either (i) at the time the
Borrower shall notify the Administrative Agent of its election to convert or
(ii) on the requested Conversion Date. 
In such event, such Prime Rate Loan shall be automatically continued as
a Prime Rate Loan or such LIBOR Loan shall be automatically converted to a
Prime Rate Loan on the last day of the Interest Period applicable to such LIBOR
Loan.

(c)           Conversion not a Borrowing.  Each conversion shall be effected by each
Lender by applying the proceeds of its new Prime Rate Loan or LIBOR Loan, as
the case may be, to its Advances (or portion thereof) being converted (it being
understood that such conversion shall not constitute a borrowing for purposes
of Sections 4, 5 or 6).

                2.9           Interest Rate and Payment Dates.

(a)           Prior to Maturity.  Except as otherwise provided in Section
2.9(b), prior to the Maturity Date, the Loans shall bear interest on the
outstanding principal balance thereof at the applicable interest rate or rates
per annum set forth below:

	
  ADVANCES

  	
   

  	
  RATE

  
	
   

  	
   

  	
   

  
	
  Each Prime Rate
  Loan

  	
   

  	
  Prime Rate plus the Applicable Margin.

  
	
   

  	
   

  	
   

  
	
  Each LIBOR Loan

  	
   

  	
  LIBOR for the applicable Interest Period plus the
  Applicable Margin.

  
	
   

  	
   

  	
   

  
	
  Each Competitive
  Advance

  	
   

  	
  The rate for the applicable Competitive Advance
  determined pursuant to Section 2.4.

  
	
   

  	
   

  	
   

  
	
  Swing Loans

  	
   

  	
  The rate for the applicable Swing Loan determined
  pursuant to Section 2.1A.

  

 

(b)           Event of Default.  After the occurrence and during the
continuance of an Event of Default, the outstanding principal balance of (i)
the LIBOR Rate Loans and any overdue interest with respect thereto shall bear
interest, whether before or after the entry of any judgment thereon, at a rate
per annum equal to LIBOR for the applicable Interest Period plus the Applicable
Margin plus 2% and (ii) the Prime Rate Loans and any overdue interest with
respect thereto or other overdue amount payable under the Loan Documents shall
bear interest, whether before or after the entry of any judgment thereon, at a
rate per annum equal to the Prime Rate plus 2% (the “Default Rate”).

(c)           Interest Payment Dates.  Accrued interest on each Loan shall be
payable in arrears on each Interest Payment Date for such Loan, provided that
(i) interest accrued pursuant to paragraph (b) of this Section shall be payable
on demand, (ii) in the event of any repayment or prepayment of any Loan,
accrued interest on the principal amount repaid or prepaid shall be payable on
the date of such repayment or prepayment and (iii) in the event of any
conversion of any LIBOR Loans prior to the end of the current Interest Period therefor,
accrued interest on such Loan shall be payable on the effective date of such
conversion.

(d)           General.  Interest on (i) Prime Rate Loans shall be
calculated on the basis of a year of 365 or 366 days, as the case may be, and
(ii) LIBOR Loans shall be calculated on the basis of a 360-day year, in
each case for 

 40
 

 

the actual number
of days elapsed, including the first day but excluding the last.  Any change in the interest rate on the Loans
resulting from a change in the Prime Rate or a Pricing Level shall become
effective as of the opening of business on the day on which such change shall
become effective.  The Administrative
Agent shall, as soon as practicable, notify the Borrower and the Lenders of the
effective date and the amount of each such change in the Prime Rate or a
Pricing Level, but any failure to so notify shall not in any manner affect the
obligation of the Borrower to pay interest on the Loans in the amounts and on
the dates required.  Each determination
of the Prime Rate, a LIBOR or a Pricing Level by the Administrative Agent
pursuant to this Agreement shall be conclusive and binding on the Borrower and
the Lenders absent manifest error.  At no
time shall the interest rate payable on the Loans of any Lender (including
Swing Loan Lender), together with the Facility Fee and all other amounts
payable under the Loan Documents, to the extent the same are construed to
constitute interest, exceed the Highest Lawful Rate.  If interest payable to a Lender (including
Swing Loan Lender) on any date would exceed the maximum amount permitted by the
Highest Lawful Rate, such interest payment shall automatically be reduced to
such maximum permitted amount, and interest for any subsequent period, to the
extent less than the maximum amount permitted for such period by the Highest
Lawful Rate, shall be increased by the unpaid amount of such reduction.  Any interest actually received for any period
in excess of such maximum allowable amount for such period shall be deemed to
have been applied as a prepayment of the Loans. 
The Borrower acknowledges that the Prime Rate is only one of the bases
for computing interest on loans made by the Lenders, and by basing interest
payable on Prime Rate Loans on the Prime Rate, the Lenders have not committed
to charge, and the Borrower has not in any way bargained for, interest based on
a lower or the lowest rate at which the Lenders may now or in the future make
loans to other borrowers.

                2.10         Substituted Interest Rate.

In
the event that (i) the Administrative Agent shall have reasonably determined
(which determination shall be conclusive and binding upon the Borrower) that by
reason of circumstances affecting the interbank eurodollar market adequate and
reasonable means do not exist for ascertaining the LIBOR applicable pursuant to
Section 2.9 or (ii) the Required Lenders shall have notified the Administrative
Agent that they have reasonably determined (which determination shall be
conclusive and binding on the Borrower) that the applicable LIBOR will not
adequately and fairly reflect the cost to such Lenders of maintaining or
funding loans bearing interest based on such LIBOR, with respect to any portion
of the Loans that the Borrower has requested be made as LIBOR Loans or LIBOR
Loans that will result from the requested conversion of any portion of the
Advances into LIBOR Loans (each, an “Affected Advance”), the Administrative
Agent shall promptly notify the Borrower and the Lenders (by telephone or
otherwise, to be promptly confirmed in writing) of such determination, on or, to
the extent practicable, prior to the requested Borrowing Date or Conversion
Date for such Affected Advances.  If the
Administrative Agent shall give such notice, (a) any Affected Advances shall be
made as Prime Rate Loans, (b) the Advances (or any portion thereof) that were
to have been converted to Affected Advances shall be converted to or continued
as Prime Rate Loans and (c) any outstanding Affected Advances shall be
converted, on the last day of the then current Interest Period with respect thereto,
to Prime Rate Loans.  Until any notice
under clauses (i) or (ii), as the case may be, of this Section has been
withdrawn by the Administrative Agent (by notice to the Borrower promptly upon
either (x) the Administrative Agent having determined that such circumstances
affecting the LIBOR market no longer exist and that adequate and reasonable
means do exist for determining the LIBOR pursuant to Section 2.9 or (y) the
Administrative Agent having been notified by such Required Lenders that
circumstances no longer render the Advances (or any portion thereof) Affected
Advances), no further LIBOR Loans shall be required to be made by the Lenders
nor shall the Borrower have the right to convert all or any portion of the
Loans to LIBOR Loans.

                2.11         Taxes; Net Payments.

(a)           All payments made by the Borrower or
any Subsidiary Guarantor under the Loan Documents shall be made free and clear
of, and without reduction for or on account of, any taxes, levies, imposts,
deductions, charges or withholdings required by law to be withheld from any
amounts payable under the Loan Documents. 
A statement setting forth the calculations of any amounts payable
pursuant to this paragraph submitted by a Lender to the Borrower shall be
conclusive absent manifest error.  The
obligations of the Borrower under this Section shall survive the termination of
this Agreement and the Commitments and the payment of the Notes and all other
amounts payable under the Loan Documents.

 41
 

 

(b)           Each Lender which is a foreign
corporation within the meaning of Section 1442 of the Code shall deliver to the
Borrower such certificates, documents or other evidence as the Borrower may
reasonably require from time to time as are necessary to establish that such
Lender is not subject to withholding under Section 1441 or 1442 of the Code or
as may be necessary to establish, under any law hereafter imposing upon the
Borrower, an obligation to withhold any portion of the payments made by the
Borrower under the Loan Documents, that payments to the Administrative Agent on
behalf of such Lender are not subject to withholding.

                2.12         Illegality.

Notwithstanding
any other provisions herein, if any law, regulation, treaty or directive
hereafter enacted, promulgated, approved or issued, or any change in any
presently existing law, regulation, treaty or directive, or in the
interpretation or application thereof, shall make it unlawful for any Credit
Party to make or maintain its LIBOR Loans as contemplated by this Agreement,
such Credit Party shall so notify the Administrative Agent and the
Administrative Agent shall forthwith give notice thereof to the other Credit
Parties and the Borrower, whereupon (a) the commitment of such Credit Party
hereunder to make LIBOR Loans or convert Prime Rate Loans to LIBOR Loans shall
forthwith be suspended and (b) such Credit Party’s Loans then outstanding as
LIBOR Loans affected hereby, if any, shall be converted automatically to Prime
Rate Loans on the last day of the then current Interest Period applicable
thereto or within such earlier period as required by law.  If the commitment of any Credit Party with
respect to LIBOR Loans is suspended pursuant to this Section and thereafter it
is once again legal for such Credit Party to make or maintain LIBOR Loans, such
Credit Party’s commitment to make or maintain LIBOR Loans shall be reinstated
and such Credit Party shall notify the Administrative Agent and the Borrower of
such event.  Notwithstanding the
foregoing, to the extent that the conditions giving rise to the notice
requirement set forth in this Section can be eliminated by the transfer of such
Credit Party’s Loans or Commitment to another of its branches, and to the
extent that such transfer is not inconsistent with such Credit Party’s internal
policies of general application and only if, as determined by such Credit Party
in its sole discretion, the transfer of such Loan or Commitment, as the case
may be, would not otherwise adversely affect such Loans or such Credit Party,
the Borrower may request, and such Credit Party shall use reasonable efforts to
effect, such transfer.

                2.13         Increased Costs.

In
the event that any law, regulation, treaty or directive hereafter enacted,
promulgated, approved or issued or any change in any presently existing law,
regulation, treaty or directive therein or in the interpretation or application
thereof by any Governmental Authority charged with the administration thereof
or compliance by any Credit Party (or any corporation directly or indirectly
owning or controlling such Credit Party) with any request or directive, whether
or not having the force of law, from any central bank or other Governmental
Authority, agency or instrumentality:

(a)           does or shall subject any Credit
Party to any Taxes of any kind whatsoever with respect to any LIBOR Loans or
any Letter of Credit or participation or subparticipation therein or its
obligations under this Agreement to make LIBOR Loans, issue Letters of Credit
or participate or subparticipate therein, or change the basis of taxation of
payments to any Credit Party of principal, interest or any other amount payable
hereunder in respect of its LIBOR Loans or Letters of Credit or participations
or subparticipations therein, including any Taxes required to be withheld from
any amounts payable under the Loan Documents (except for (i) imposition
of, or change in the rate of, tax on the overall net income of such Credit
Party or its Applicable Lending Office for any of such Advances by any
jurisdiction, including, in the case of Credit Parties incorporated in any
State of the United States, such tax imposed by the United States and (ii) any
franchise, unincorporated business or gains taxes); or

(b)           does or shall impose, modify or make
applicable any reserve, special deposit, compulsory loan, assessment, increased
cost or similar requirement against assets held by, or deposits of, or advances
or loans by, or other credit extended by, or any other acquisition of funds by,
any office of such Credit Party in respect of its LIBOR Loans or Letters of
Credit or participations or subparticipations therein, which, in the case of
LIBOR Loans, is not otherwise included in the determination of the LIBOR;

and the result of
any of the foregoing is to increase the cost to such Credit Party of making,
issuing, renewing, converting or maintaining its LIBOR Loans, issuing Letters
of Credit or participating or subparticipating therein, or its commitment to
make such LIBOR Loans, issue Letters of Credit or participate or subparticipate
therein, or to 

 42
 

 

reduce any amount
receivable hereunder in respect of its LIBOR Loans, Letters of Credit or
participation or subparticipation therein, then, in any such case, the Borrower
shall pay such Credit Party, upon its demand, any additional amounts necessary
to compensate such Credit Party for such additional cost or reduction in such
amount receivable which such Credit Party deems to be material as reasonably
determined by such Credit Party; provided, however, that nothing in this
Section shall require the Borrower to indemnify the Credit Parties with respect
to withholding Taxes for which the Borrower has no obligation under Section
2.11.  No failure by any Credit Party to
demand compensation for any increased cost during any Interest Period shall
constitute a waiver of such Credit Party’s right to demand such compensation at
any time.  A statement setting forth the
calculations of any additional amounts payable pursuant to the foregoing
sentence submitted by a Credit Party to the Borrower shall be conclusive absent
manifest error.  The obligations of the
Borrower under this Section shall survive the termination of this Agreement and
any of the Commitments or the payment of the Notes and all other amounts
payable under the Loan Documents for a period of one hundred eighty (180) days
and shall thereafter terminate forever. 
Failure to demand compensation pursuant to this Section shall not
constitute a waiver of such Credit Party’s right to demand such
compensation.  To the extent that any
increased costs of the type referred to in this Section are being incurred by a
Credit Party and such costs can be eliminated or reduced by the transfer of
such Credit Party’s Loans or Commitment to another of its branches, and to the
extent that such transfer is not inconsistent with such Credit Party’s internal
policies of general application and only if, as determined by such Credit Party
in its sole discretion, the transfer of such Loan or Commitment, as the case
may be, would not otherwise materially adversely affect such Loan or such
Credit Party, the Borrower may request, and such Lender shall use reasonable
efforts to effect, such transfer.

                2.14         Indemnification for Break Funding
Losses.

Notwithstanding
anything contained herein to the contrary, if (a) the Borrower shall fail to
borrow on the Borrowing Date, if it shall have requested a LIBOR Loan, or shall
fail to convert on a Conversion Date, after it shall have given notice to do so
in which it shall have requested a LIBOR Loan pursuant to Section 2.3 or 2.8,
(b) the Borrower shall fail to borrow after having accepted one or more offers
of Competitive Advances under Section 2.4, or (c) a LIBOR Loan or Competitive
Advance shall be terminated or prepaid for any reason prior to the last day of
the Interest Period applicable thereto (including, without limitation, any
mandatory prepayment or a prepayment resulting from acceleration or
illegality), the Borrower agrees to indemnify each Credit Party against, and to
pay on demand directly to such Credit Party, any loss or expense suffered by
such Credit Party as a result of such failure to borrow or convert, or such
termination or repayment, including, without limitation, an amount, if greater
than zero, equal to:

A x (B-C) x D/360

where:

“A” equals such Credit Party’s pro rata share of the
Affected Principal Amount;

“B” equals the applicable LIBOR or the rate which such
Competitive Advance bears to such Loan, as the case may be;

“C” equals the applicable LIBOR or Proposed Bid Rate
(in each case, expressed as a decimal), as the case may be, in effect on or
about the first day of the applicable Remaining Interest Period, based on the
applicable rates offered or bid, as the case may be, on or about such date, for
deposits (or in the case of a Proposed Bid Rate, based on the rate such Credit
Party would have quoted) in an amount equal approximately to such Credit Party’s
pro rata share of the Affected Principal Amount with an Interest Period equal
approximately to the applicable Remaining Interest Period, as determined by
such Credit Party;

“D” equals the number of days from and including the
first day of the applicable Remaining Interest Period to but excluding the last
day of such Remaining Interest Period;

and any other out
of pocket loss or expense (including any internal processing charge customarily
charged by such Credit Party) suffered by such Credit Party in connection with
such LIBOR Loan or Competitive Advance including, without limitation, in
liquidating or employing deposits acquired to fund or maintain the funding of
its pro rata share of the Affected Principal Amount, or redeploying funds prepaid
or repaid, in amounts which correspond to 

 43
 

 

its pro rata share
of the Affected Principal Amount.  A
statement setting forth the calculations of any amounts payable pursuant to
this Section submitted by a Credit Party to the Borrower shall be conclusive
and binding on the Borrower absent manifest error.  The obligations of the Borrower under this
Section shall survive the termination of this Agreement and the Commitments and
the payment of the Notes and all other amounts payable under the Loan Documents.

                2.15         Use of Proceeds.

The
proceeds of Loans and the issuances of Letters of Credit shall be used solely
(a) to repay other Indebtedness; and (b) for general business purposes,
including, without limitation, working capital.

                2.16         Capital Adequacy.

If (a)
after the date hereof, the enactment or promulgation of, or any change or
phasing in of, any United States or foreign law or regulation or in the
interpretation thereof by any Governmental Authority charged with the
administration thereof, (b) compliance with any directive or guideline from any
central bank or United States or foreign Governmental Authority (whether or not
having the force of law) promulgated or made after the date hereof, or (c)
compliance with the Risk-Based Capital Guidelines of the Board of
Governors of the Federal Reserve System as set forth in 12 CFR Parts 208 and
225, or of the Comptroller of the Currency, Department of the Treasury, as set
forth in 12 CFR Part 3, or similar legislation, rules, guidelines, directives
or regulations under any applicable United States or foreign Governmental
Authority affects or would affect the amount of capital required to be
maintained by a Credit Party (or any lending office of such Credit Party) or
any corporation directly or indirectly owning or controlling such Credit Party
or imposes any restriction on or otherwise adversely affects such Credit Party
(or any lending office of such Credit Party) or any corporation directly or
indirectly owning or controlling such Credit Party and such Credit Party shall
have reasonably determined that such enactment, promulgation, change or
compliance has the effect of reducing the rate of return on such Credit Party’s
capital or the asset value to such Credit Party of any Loan made by such Credit
Party, or Letter of Credit issued by such Credit Party (or participation or
subparticipation therein) as a consequence, directly or indirectly, of its
obligations to make and maintain the funding of its Loans or issue Letters of
Credit or participate or subparticipate therein at a level below that which
such Credit Party could have achieved but for such enactment, promulgation,
change or compliance (after taking into account such Credit Party’s policies
regarding capital adequacy) by an amount deemed by such Credit Party to be
material, then, upon demand by such Credit Party, the Borrower shall promptly
pay to such Credit Party such additional amount or amounts as shall be
sufficient to compensate such Credit Party for such reduction in such rate of
return or asset value.  A certificate in
reasonable detail as to such amounts submitted to the Borrower and the
Administrative Agent setting forth the determination of such amount or amounts
that will compensate such Credit Party for such reductions shall be presumed
correct absent manifest error.  No
failure by any Credit Party to demand compensation for such amounts hereunder
shall constitute a waiver of such Credit Party’s right to demand such
compensation at any time.  Such Credit
Party shall, however, use reasonable efforts to notify the Borrower of such
claim within 90 days after the officer of such Credit Party having primary
responsibility for this Agreement has obtained knowledge of the events giving
rise to such claim.  The obligations of
the Borrower under this Section shall survive the termination of this Agreement
and the Commitments and the payment of the Notes and all other amounts payable
under the Loan Documents.

                2.17         Administrative Agent’s Records.

The
Administrative Agent’s records with respect to the Loans, the interest rates
applicable thereto, each payment by the Borrower of principal and interest on
the Loans, and fees, expenses and any other amounts due and payable in
connection with this Agreement shall be presumptively correct absent manifest
error as to the amount of the Loans, and the amount of principal and interest
paid by the Borrower in respect of such Loans and as to the other information
relating to the Loans, and amounts paid and payable by the Borrower hereunder
and under the Notes.  The Administrative
Agent will when requested by the Borrower advise the Borrower of the principal
and interest outstanding under the Loans as of the date of such request and the
dates on which such payments are due.

2.18         Extension of Maturity Date.

 44
 

 

The
Borrower shall have the one-time right and option to extend the Maturity Date
to August 25, 2011, upon satisfaction of the following conditions precedent,
which must be satisfied prior to the effectiveness of any extension of the
Maturity Date:

(a)           Extension Request.  The Borrower shall deliver written notice of
such request (the “Extension Request”) to the Administrative Agent not earlier
than the date which is two hundred seventy (270) days and not later than the
date which is ninety (90) days prior to the Maturity Date (as determined
without regard to such extension).  Any
such Extension Request shall be irrevocable and binding on the Borrower.  Upon the Administrative Agent’s receipt of
such Extension Request, the Administrative Agent shall promptly notify the
Lenders of the contents thereof.

(b)           Payment of Extension Fee.  The Borrower shall pay to the Administrative
Agent for the pro  rata accounts of the Lenders in accordance with
their respective Commitments an extension fee in an amount equal to twelve and
one-half (12.5) basis points on the Total Commitment Amount in effect on the
Maturity Date (as determined without regard to such extension), which fee
shall, when paid, be fully earned and non-refundable under any circumstances.

(c)           No Default.  On the date the Extension Request is given
and on the Maturity Date (as determined without regard to such extension) there
shall exist (i) no Default or Event of Default and (ii) no Default or Event of
Default (as such terms are defined in the Existing Loan Agreement).

(d)           Representations and Warranties.  The representations and warranties made by
the Borrower and the Subsidiary Guarantors in the Loan Documents or otherwise
made by or on behalf of the Borrower and the Subsidiary Guarantors in
connection therewith or after the date thereof shall have been true and correct
in all material respects when made and shall also be true and correct in all
material respects on the Maturity Date (as determined without regard to such
extension) other than for changes in the ordinary course of business permitted
by this Agreement that have not had a Material Adverse Effect.

2.19         Representative of Borrower.

Borrower
hereby appoints each of the Authorized Signatories as its agent, attorney-in-fact
and representative for the purpose of making Borrowing Requests, Competitive
Bid Requests, acceptance of Competitive Bids, Letter of Credit Requests,
payment and prepayment of Loans and Competitive Advances, the giving and
receipt of notices by and to Borrower under this Agreement and all other purposes
incidental to any of the foregoing. 
Borrower agrees that any action taken by any such Authorized Signatory
as the agent, attorney-in-fact and representative of Borrower shall be
binding on Borrower to the same extent as if directly taken by Borrower.

3.             FEES;
PAYMENTS.

                3.1           Fees.

(a)           The Borrower agrees to pay to the
Administrative Agent, for the account of the Lenders in accordance with each
Lender’s Commitment Percentage, a fee (the “Facility Fee”), from the Effective
Date through the Maturity Date, computed as follows: while any Loans are
outstanding, an amount, determined periodically as hereinafter set forth, equal
to the product of (i) the Applicable Facility Fee Percentage times (ii) the
average daily Total Commitment Amount during the quarter for which the Facility
Fee is being paid times (iii) a fraction equal to the number of days elapsed
during such quarter (or portion thereof during which this Agreement was in
effect) divided by 360.  The Facility Fee
shall be payable quarterly in arrears on the last Business Day of each March,
June, September and December of each year, commencing on the first such day
following the Effective Date, on any termination of the Total Commitment
Amount, and on the Maturity Date.  The
Facility Fee (and the Applicable Facility Fee Percentage) shall be calculated
on the basis of a 360 day year for the actual number of days elapsed without
regard to the amount of Loans outstanding during any period for which the
Facility Fee is computed.

(b)           The Borrower agrees to pay to Bank of
America and BAS on the Effective Date, an all arrangement, commitment and loan
structuring fees (collectively, the “Bank of America Fee”), as provided in the
Agreement Regarding Fees.  Bank of
America shall pay to the other Lenders a commitment and loan structuring fee in
accordance with their respective separate agreements.

 45
 

 

(c)           The Borrower agrees to pay any other
fees payable to any Credit Party under any separate agreement at the times so
agreed upon in such separate agreements.

(d)           The Bank of America Fee shall be paid
on the date due, in immediately available funds, to Bank of America.  All fees and other amounts payable under
paragraph (a) of this Section shall be paid on the dates due, in immediately available
funds, to the Administrative Agent for distribution, in the case of the
Facility Fee and participation fees described therein, and other fees and
amounts payable under this Section shall be payable directly to the Credit
Party to whom such fees and other amounts are payable.  The Bank of America Fee, the Facility Fee and
all other fees and amounts paid shall not be refundable under any
circumstances.

                3.2           Payments; Application of Payments.

Each
payment, including each prepayment, of principal and interest on the Loans and
the Facility Fee, the Bank of America Fee, the Administrative Agent’s fees,
Letter of Credit fees and any other amounts due hereunder shall be made by the
Borrower to the Administrative Agent or Bank of America, as applicable, without
set-off, deduction or counterclaim, at its office set forth in Section
11.2 in funds immediately available to the Administrative Agent at such office
by 12:00 noon on the due date for such payment. 
Promptly upon receipt thereof by the Administrative Agent, the
Administrative Agent shall remit, in like funds as received, (a) to the Lenders
who maintain any of their Loans as Prime Rate Loans or LIBOR Loans, each such
Lender’s pro rata share of such payments which are in respect of principal or
interest due on such Prime Rate Loans or LIBOR Loans, (b) to the Lenders who
maintain any of their Revolving Credit Loans as Competitive Advances, each such
Lender’s pro rata share of such payments which are in respect of principal or
interest due on such Competitive Advances in accordance with Section 2.4, (c)
in the case of the Facility Fee, to all Lenders pro rata in accordance with
each Lenders Commitment Percentage thereof, (d) in the case of Swing Loan fees,
to the Swing Loan Lender, and (e) in the case of Letter of Credit fees, to the
Issuing Lender and the Lenders as provided in Section 2.5; provided that any
such payment shall, to the extent distributed after the Business Day following
the Administrative Agent’s receipt thereof, be accompanied by interest on such
payment amount (payable by the Administrative Agent) calculated at the Federal
Funds Rate commencing as of the date which is two (2) days following the
Business Day following the Administrative Agent’s receipt of such payment
through the date on which the Administrative Agent makes such payment to the
applicable Lender(s).  The failure of the
Borrower to make any such payment by such time shall not constitute a default
hereunder, provided that such payment is made on such due date, but any such
payment made after 12:00 noon on such due date shall be deemed to have been
made on the next Business Day for the purpose of calculating interest on
amounts outstanding on the Loans.  If any
payment hereunder or under the Notes shall be due and payable on a day which is
not a Business Day, the due date thereof (except as otherwise provided in the
definition of Interest Period) shall be extended to the next Business Day and
interest shall be payable at the applicable rate specified herein during such
extension.  If any payment is made with
respect to any LIBOR Loans or Competitive Advances prior to the last day of the
applicable Interest Period, the Borrower shall indemnify each Lender in
accordance with Section 2.14.

4.             REPRESENTATIONS
AND WARRANTIES.

In
order to induce the Administrative Agent and the Lenders to enter into this
Agreement and to make the Loans the Borrower makes the following
representations and warranties to the Administrative Agent and each Lender:

                4.1           Existence and Power.

(a)           The Borrower (i) is a Maryland
corporation duly organized and validly existing and in good standing under the
laws of Maryland, (ii) has all requisite power and authority to own its
Property and to carry on its business as now conducted, and (iii) is in
good standing and authorized to do business in each jurisdiction in which the
nature of the business conducted therein or the Property owned therein make
such qualification necessary, except where such failure to qualify could not
reasonably be expected to have a Material Adverse Effect.

 46
 

 

(b)           Each Subsidiary of the Borrower
(including each Subsidiary Guarantor) (i) is a corporation, partnership,
limited liability company, real estate investment trust or business trust, is
validly existing and in good standing under the laws of the jurisdiction of its
organization and has all requisite power and authority to own its Property and
to carry on its business as now conducted, and (ii) is in good standing
and authorized to do business in each other jurisdiction in which the nature of
the business conducted therein or the Property owned therein make such
qualification necessary, except where such failure to qualify could not
reasonably be expected to have a Material Adverse Effect.

                4.2           Authority.

The
Borrower has full legal power and authority to enter into, execute, deliver and
perform the terms of the Loan Documents to which it is a party and to make the
borrowings contemplated thereby, to execute, deliver and carry out the terms of
the Notes and to incur the obligations provided for herein and therein, all of
which have been duly authorized by all proper and necessary corporate action.

                4.3           Binding Agreement.

(a)           The Loan Documents to which the
Borrower is a party constitute the valid and legally binding obligations of the
Borrower, enforceable in accordance with their respective terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency,
reorganization or other similar laws affecting the enforcement of creditors’
rights generally.

(b)           The execution, delivery and
performance by the Borrower of the Loan Documents to which it is a party do not
violate the provisions of any applicable statute, law (including, without
limitation, any applicable usury or similar law), rule or regulation of any
Governmental Authority.

                4.4           Subsidiaries; DownREIT Partnerships.

As
of the Effective Date, the Borrower has only the Subsidiaries set forth on Schedule 4.4.  Schedule 4.4 sets forth the name of,
and the ownership interest of the Borrower in, each Subsidiary of the Borrower
and identifies each Subsidiary that is a Subsidiary Guarantor, in each case as
of the Effective Date. The shares of each corporate Subsidiary of the Borrower
that are owned by the Borrower are duly authorized, validly issued, fully paid
and nonassessable and are owned free and clear of any Liens.  The interest of the Borrower in each non-corporate
Subsidiary is owned free and clear of any Liens (other than Liens applicable to
a partner under the terms of any partnership agreement, or those applicable to
a member under the terms of any limited liability company operating
agreement,  to secure the Borrower’s
obligation to make capital contributions or similar payments thereunder).  As of the Effective Date, the only DownREIT
Partnership is Excel Realty Partners, L.P. and the only Subsidiaries of Excel
Realty Partners, L.P. are as set forth on Schedule 4.4.  As of the Effective Date, there is no
Subsidiary of the Borrower (other than ERT Development Corporation) that is a
guarantor of any unsecured Indebtedness of Borrower (other than the Loans) that
is not also a Subsidiary Guarantor.

                4.5           Litigation.

(a)           There are no actions, suits or
proceedings at law or in equity or by or before any Governmental Authority
(whether or not purportedly on behalf of the Borrower or any Subsidiary of the
Borrower) pending or, to the knowledge of the Borrower, threatened against the
Borrower or any Subsidiary of the Borrower or any of their respective
Properties or rights, which (i) could reasonably be expected to have a Material
Adverse Effect, (ii) call into question the validity or enforceability of any
of the Loan Documents, or (iii) could reasonably be expected to result in the
rescission, termination or cancellation of any franchise, right, license,
permit or similar authorization held by the Borrower or any Subsidiary of the
Borrower, which rescission, termination or cancellation could reasonably be
expected to have a Material Adverse Effect.

(b)           As of the date hereof, Schedule
4.5 sets forth all actions, suits and proceedings at law or in equity or by
or before any Governmental Authority (whether or not purportedly on behalf of
the Borrower or any Subsidiary of the Borrower) pending or, to the knowledge of
the Borrower, threatened against the Borrower, any Subsidiary of the Borrower
or any of their respective Properties or rights which, if adversely determined,
could reasonably be expected to have a Material Adverse Effect.

 

 47

 

 

                4.6           Required Consents.

No
consent, authorization or approval of, filing with, notice to, or exemption by,
stockholders, any Governmental Authority or any other Person not obtained is
required to be obtained by the Borrower to authorize, or  (except for filings required to be made with
the SEC) is required in connection with the execution, delivery and performance
of the Loan Documents or is required to be obtained by the Borrower as a
condition to the validity or enforceability of the Loan Documents.

                4.7           No Conflicting Agreements.

Neither
the Borrower nor any Subsidiary of the Borrower is in default beyond any
applicable grace or cure period under any mortgage, indenture, contract or
agreement to which it is a party or by which it or any of its Property is
bound, the effect of which default could reasonably be expected to have a
Material Adverse Effect.  The execution,
delivery or carrying out of the terms of the Loan Documents will not constitute
a default under, or result in the creation or imposition of, or obligation to
create, any Lien upon any Property of the Borrower or any Subsidiary of the
Borrower pursuant to the terms of any such mortgage, indenture, contract or
agreement.

                4.8           Compliance with Applicable Laws.

Neither
the Borrower nor any Subsidiary of the Borrower is in default with respect to
any judgment, order, writ, injunction, decree or decision of any Governmental
Authority which default could reasonably be expected to have a Material Adverse
Effect. The Borrower and each Subsidiary of the Borrower is in compliance in
all material respects with all statutes, regulations, rules and orders
applicable to Borrower or such Subsidiary of all Governmental Authorities,
including, without limitation, (a) Environmental Laws and ERISA, a violation of
which could reasonably be expected to have a Material Adverse Effect and (b)
§§856-860 of the Code, compliance with which is required to preserve the
Borrower’s status as a REIT.

                4.9           Taxes.

Each
of the Borrower and its Subsidiaries has filed or caused to be filed all
material tax returns required to be filed and has paid, or has filed
appropriate extensions and has made adequate provision for the payment of, all
taxes shown to be due and payable on said returns or in any assessments made
against it (other than those being contested as permitted under Section 7.4) in
which the failure to pay could reasonably be expected to have a Material
Adverse Effect, and no tax Liens have been filed with respect thereto.  The charges, accruals and reserves on the
books of the Borrower and each Subsidiary of the Borrower with respect to all
federal, state, local and other taxes are, to the best knowledge of the
Borrower, adequate for the payment of all such taxes, and the Borrower knows of
no unpaid assessment which is due and payable against it or any of its
Subsidiaries or any claims being asserted which could reasonably be expected to
have a Material Adverse Effect.

                4.10         Governmental Regulations.

Neither
the Borrower nor any Subsidiary of the Borrower is subject to regulation under
the Federal Power Act, as amended, or the Investment Company Act of 1940, as
amended, and neither the Borrower nor any Subsidiary of the Borrower is subject
to any statute or regulation which prohibits or restricts the incurrence of
Indebtedness under the Loan Documents, including, without limitation, statutes
or regulations relative to common or contract carriers or to the sale of
electricity, gas, steam, water, telephone, telegraph or other public utility
services.

                4.11         Federal Reserve Regulations; Use of
Loan Proceeds.

Neither
the Borrower nor any Subsidiary of the Borrower is engaged principally, or as
one of its important activities, in the business of extending credit for the
purpose of purchasing or carrying any Margin Stock.  No part of the proceeds of the Loans will be
used, directly or indirectly, for a purpose which violates any law, rule or
regulation of any Governmental Authority, including, without limitation, the
provisions of Regulations T, U or X of the Board 

 48
 

 

of Governors of the
Federal Reserve System, as amended.  No
part of the proceeds of the Loans will be used, directly or indirectly, to
purchase or carry Margin Stock or to extend credit to others for the purpose of
purchasing or carrying Margin Stock.

                4.12         Plans; Multiemployer Plans.

As
of the Effective Date, each of the Borrower and its ERISA Affiliates maintains
or makes contributions only to the Plans and Multiemployer Plans listed on Schedule
4.12.  Each Plan, and, to the best
knowledge of the Borrower, each Multiemployer Plan, is in compliance in all
material respects with, and has been administered in all material respects in
compliance with, the applicable provisions of ERISA, the Code and any other
applicable Federal or state law, and no event or condition is occurring or
exists concerning which the Borrower would be under an obligation to furnish a
report to the Administrative Agent and each Lender as required by Section
7.2(d).  As of May 31, 2006, each Plan
was “fully funded”, which for purposes of this Section means that the fair
market value of the assets of such Plan is not less than the present value of
the accrued benefits of all participants in the Plan, computed on a plan
termination basis.  To the best knowledge
of the Borrower, no Plan has ceased being fully funded.

                4.13         Financial Statements.

The
Borrower has heretofore delivered to the Administrative Agent and the Lenders
(a) copies of the audited Consolidated Balance Sheet of the Borrower and its
Consolidated Subsidiaries as of December 31, 2003, December 31, 2004 and
December 31, 2005, and the unaudited Consolidated Statements of Operations,
Stockholders’ Equity and Cash Flows for the Borrower and its Consolidated
Subsidiaries for the three months ended March 31, 2006, and (b) the unaudited
Consolidated Statements of Income and Cash Flows for the Borrower and its
Consolidated Subsidiaries for the three months ended March 31, 2006, certified
by its Chief Financial Officer (collectively, with the related notes and
schedules, the “Financial Statements”). 
The Financial Statements fairly present in all material respects the
Consolidated financial condition and results of the operations of the Borrower
and its Consolidated Subsidiaries as of the dates and for the periods indicated
therein and have been prepared in conformity with GAAP (subject, in the case of
quarterly financial statements, to the absence of footnotes and to normal
year-end adjustments).  Except as
reflected in the Financial Statements or in the notes thereto, neither the
Borrower nor any Subsidiary of the Borrower has any obligation or liability of
any kind (whether fixed, accrued, contingent, unmatured or otherwise) involving
material amounts which, in accordance with GAAP, should have been shown on the
Financial Statements and was not.  Since
March 31, 2006 there has been no material adverse change in the condition
(financial or otherwise), operations, prospects or business of the Borrower and
its Subsidiaries taken as a whole.

                4.14         Property.

Each
of the Borrower and its Subsidiaries has good and marketable title to all of
its Property, title to which is material to the Borrower or such Subsidiary,
subject to no Liens, except Permitted Liens. 
There are no unpaid or outstanding real estate or similar taxes or
assessments on or against any Real Property other than (a) real estate or other
taxes or assessments that are not yet due and payable, and (b) such taxes as
the Borrower or any Subsidiary of the Borrower is contesting in good faith or
which individually or in the aggregate could not reasonably be expected to have
a Materially Adverse Effect.  There are
no pending eminent domain proceedings against any Real Property, and, to the
knowledge of the Borrower, no such proceedings are presently threatened or contemplated
by any Governmental Authority against any Real Property, which pending,
threatened or contemplated proceedings individually or in the aggregate, could
reasonably be expected to have a Material Adverse Effect.  None of the Real Property is now damaged as a
result of any fire, explosion, accident, flood or other casualty which
individually or in the aggregate could reasonably be expected to have a
Material Adverse Effect.

                4.15         Franchises, Intellectual Property,
Etc.

Each
of the Borrower and its Subsidiaries possesses or has the right to use all
franchises, Intellectual Property, licenses and other rights, in each case that
are material and necessary for the conduct of its business, with no known
conflict with the valid rights of others which could reasonably be expected to
have a Material Adverse Effect.  No event
has occurred which permits or, to the best knowledge of the Borrower, after
notice or the lapse of time or both, or any other condition, could reasonably
be expected to permit, the revocation or termination of any such franchise,
Intellectual Property, license or other right and which revocation or
termination could reasonably be expected to have a Material Adverse Effect.

 49
 

 

                4.16         Environmental
Matters.

(a)           The Borrower and each of its
Subsidiaries is in compliance with the requirements of all applicable
Environmental Laws except for such non-compliance which could not, either
individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect.

(b)           No Hazardous Substances have been (i)
generated or manufactured on, transported to or from, treated at, stored at or
discharged from any Real Property in violation of any Environmental Laws; (ii)
discharged into subsurface waters under any Real Property in violation of any
Environmental Laws; or (iii) discharged from any Real Property on or into
property or waters (including subsurface waters) adjacent to any Real Property
in violation of any Environmental Laws, which violation, in the case of any of
(i), (ii) or (iii) could, either individually or in the aggregate, reasonably
be expected to have a Material Adverse Effect.

(c)           Neither the Borrower nor any of its
Subsidiaries (i) has received notice (written or oral) or otherwise learned of
any claim, demand, suit, action, proceeding, event, condition, report, directive,
lien, violation, non-compliance or investigation indicating or concerning
any potential or actual liability (including, without limitation, potential
liability for enforcement, investigatory costs, cleanup costs, government
response costs, removal costs, remedial costs, natural resources damages,
property damages, personal injuries or penalties) arising in connection with
(x) any non-compliance with or violation of the requirements of any
applicable Environmental Laws, or (y) the presence of any Hazardous Substance
on any Real Property (or any Real Property previously owned by the Borrower or
any Subsidiary of the Borrower) or the release or threatened release of any
Hazardous Substance into the environment which, in either case, could, either
individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect, (ii) has any threatened or actual liability in connection with
the presence of any Hazardous Substance on any Real Property (or any Real
Property previously owned by the Borrower or any Subsidiary of the Borrower) or
the release or threatened release of any Hazardous Substance into the
environment which, in either case, could, either individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect, (iii) has
received notice of any federal or state investigation evaluating whether any
remedial action is needed to respond to the presence of any Hazardous Substance
on any Real Property (or any Real Property previously owned by the Borrower or
any Subsidiary of the Borrower) or a release or threatened release of any
Hazardous Substance into the environment for which the Borrower or any
Subsidiary of the Borrower is or may be liable the results of which could, in
either case, either individually or in the aggregate, reasonably be expected to
have a Material Adverse Effect, or (iv) has received notice that the Borrower
or any Subsidiary of the Borrower is or may be liable to any Person under any
Environmental Law which liability could, either individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect.

(d)           To the best of the Borrower’s
knowledge, no Real Property is located in an area identified by the Secretary
of Housing and Urban Development as an area having special flood hazards, or if
any such Real Property is located in such a special flood hazard area, then the
Borrower has obtained all insurance that is required to be maintained by law or
which is customarily maintained by Persons engaged in similar businesses and
owning similar Properties in the same general areas in which the Borrower
operates.

                4.17         Labor Relations.

Neither
the Borrower nor any of its Subsidiaries is a party to any collective
bargaining agreement, other than the collective bargaining agreement covering fewer
than 25 employees at the Roosevelt Mall Shopping Center in Philadelphia,
Pennsylvania, and, to the best knowledge of the Borrower, no petition has been
filed or proceedings instituted by any employee or group of employees with any
labor relations board seeking recognition of a bargaining representative with
respect to the Borrower or such Subsidiary. 
There are no material controversies pending between the Borrower or any
Subsidiary and any of their respective employees, which could reasonably be
expected to have a Material Adverse Effect.

 50
 

 

                4.18         [Intentionally
Omitted.]

                4.19         Solvency.

On
the Effective Date and immediately following the making of each Loan (assuming
for the purposes of this paragraph that the Letter of Credit Exposure is
included as a part of the Loans), and after giving effect to the application of
the proceeds of such Loan:  (a) the fair
value of the assets of the Borrower and its Subsidiaries, taken as a whole, at
a fair valuation, will exceed the debts and liabilities, including Contingent
Obligations, of the Borrower and its Subsidiaries, taken as a whole; (b) the
present fair saleable value of the Property of the Borrower and its
Subsidiaries, taken as a whole, will be greater than the amount that will be
required to pay the probable liability of the debts and other liabilities,
subordinated, contingent or otherwise of the Borrower and its Subsidiaries, as
such debts and other liabilities become absolute and mature; (c) the Borrower
and its Subsidiaries, taken as a whole, will be able to pay its debts and
liabilities, subordinated, contingent or otherwise, as such debts and
liabilities become absolute and mature; and (d) the Borrower and its
Subsidiaries, taken as a whole, will not have unreasonably small capital with
which to conduct the business in which they are engaged as such business is now
conducted and is proposed to be conducted hereafter.

                4.20         REIT Status.

The
Borrower (a) has made an election pursuant to Section 856 of the Code to
qualify as a REIT, (b) has satisfied and continues to satisfy all of the
requirements under §§ 856-859 of the Code and the regulations and rulings
issued thereunder which must be satisfied for the Borrower to maintain its
status as a REIT, and (c) is in compliance in all material respects with all
Code sections applicable to REITs generally and the regulations and rulings
issued thereunder.

                4.21         List of Unencumbered Assets.

A
list of all the Unencumbered Assets as of the date of this Agreement is
attached hereto as Schedule 4.21.

                4.22         Operation of Business.

The
Borrower is a self-advised and self-managed REIT.

                4.23         No Misrepresentation.

No
representation or warranty contained herein and no certificate or report
furnished or to be furnished by the Borrower or any Subsidiary of the Borrower
in connection with the transactions contemplated hereby, when taken together
with all other information furnished by the Borrower or any Subsidiary of the
Borrower in connection herewith, contains or will contain a misstatement of
material fact, or, to the best knowledge of the Borrower, omits or will omit to
state a material fact required to be stated in order to make the statements
herein or therein contained not materially misleading in the light of the
circumstances under which made; provided, that with respect to projected
financial information, the Borrower represents only that such information was
prepared in good faith based on assumptions believed to be reasonable at the
time made.

                4.24         Taxpayer ID.

The
Borrower’s true and correct U.S. taxpayer identification number is set forth on
Schedule 11.2

5.             CONDITIONS
TO EFFECTIVENESS OF THIS AGREEMENT.

In
addition to the conditions precedent set forth in Section 6, the obligation of
each Lender to make its initial Loan, or the Swing Loan Lender to make the
initial Swing Loan or the Issuing Lender to issue the initial Letter of Credit
shall be subject to the fulfillment of the following conditions precedent:

 51
 

 

                5.1           Evidence
of Action.

(a)           The Administrative Agent shall have
received a certificate, dated the Effective Date, of the Secretary or Assistant
Secretary of the Borrower substantially in the form of Exhibit O (i)
attaching a true and complete copy of the resolutions of its Board of Directors
authorizing the execution and delivery of the Loan Documents by the Borrower
and the performance of the Borrower’s obligations thereunder, and of all other
documents evidencing other necessary action (in form and substance reasonably
satisfactory to the Administrative Agent) taken by it to authorize the Loan
Documents and the transactions contemplated thereby, (ii) attaching a true and
complete copy of its articles of incorporation and by-laws, (iii) setting
forth the incumbency of its officer or officers who may sign the Loan
Documents, including therein a signature specimen of such officer or officers,
and (iv) certifying that said corporate charter and by-laws are true and
complete copies thereof, are in full force and effect and have not been amended
or modified.

(b)           The Administrative Agent shall have
received a certificate, dated the Effective Date, of the Secretary or Assistant
Secretary of each Subsidiary Guarantor (or such Subsidiary Guarantor’s managing
partner, general partner or managing member, as applicable) substantially in
the form of Exhibit P (i) attaching a true and complete copy of the
resolutions of its Board of Directors, Trustees or Managers, as the case may
be, authorizing its execution and delivery of the Guaranty and the performance
of its obligations thereunder, and of all other documents evidencing other
necessary action (in form and substance reasonably satisfactory to the
Administrative Agent) taken by it to authorize the Guaranty and the
transactions contemplated thereby, (ii) attaching a true and complete copy of
its articles of incorporation or corporate charter, declaration of trust or
certificate of formation and, if applicable, by-laws, operating agreement
or agreement of limited liability company, and if such certificate is from such
Subsidiary Guarantor’s managing partner, general partner or managing member,
attaching a true and complete copy of the applicable Subsidiary Guarantor’s
partnership agreement or operating agreement and other organizational
documents, (iii) setting forth the incumbency of its officer or officers who
may sign the Guaranty, including therein a signature specimen of such officer
or officers, and (iv) certifying that said organizational documents are true
and complete copies thereof, are in full force and effect and have not been
amended or modified.

(c)           The Administrative Agent shall have
received certificates of good standing for the Borrower from the Maryland State
Department of Assessments and Taxation and for each Subsidiary Guarantor from
the Secretary of State for the State in which such Subsidiary Guarantor is incorporated,
and for the Borrower from each jurisdiction other than Maryland in which the
Borrower is qualified to do business.

                5.2           This Agreement.

The
Administrative Agent shall have received counterparts of this Agreement signed
by each of the parties hereto (or receipt by the Administrative Agent from a
party hereto of a facsimile signature page signed by such party which shall
have agreed to promptly provide the Administrative Agent with originally
executed counterparts hereof).

                5.3           Notes.

To
the extent the same have been requested, the Administrative Agent shall have
received, for the benefit of each Lender and the Swing Loan Lender, as the case
may be, a Revolving Credit Note and Competitive Advance Note in favor of each
Lender, and the Swing Loan Note in favor of Swing Loan Lender, each of the
Notes, duly executed by an Authorized Signatory of the Borrower.

                5.4           Guaranty.

The
Administrative Agent shall have received counterparts of the Guaranty signed by
each of the Subsidiary Guarantors (or receipt by the Administrative Agent from
a party hereto of a facsimile signature page signed by such party which shall
have agreed to promptly provide the Administrative Agent with originally
executed counterparts thereof).

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                5.5           Litigation.

There
shall be no injunction, writ, preliminary restraining order or other order of
any nature issued by any Governmental Authority in any respect affecting the
transactions provided for herein and no action or proceeding by or before any
Governmental Authority shall have been commenced and be pending or, to the
knowledge of the Borrower, threatened, seeking to prevent or delay the
transactions contemplated by the Loan Documents or challenging any other terms
and provisions hereof or thereof or seeking any damages in connection therewith
and the Administrative Agent shall have received a certificate of an Authorized
Signatory of the Borrower to the foregoing effects.

                5.6           Opinion of Counsel to the Borrower.

The
Administrative Agent shall have received an opinion of (a) Hogan & Hartson,
L.L.P., outside counsel to the Borrower, and (b) Steven F. Siegel, Esq., in-house
counsel to the Borrower, and (c) counsel to each Subsidiary Guarantor, and
their respective general partners, managing partners or managing members, as
applicable, each addressed to the Administrative Agent and the Lenders, and
each dated the Effective Date, and each in form and substance satisfactory to
Administrative Agent, covering such matters as Administrative Agent may
reasonably request.

                5.7           Fees.

The
Bank of America Fee and all other fees payable to the Administrative Agent,
BAS, any other Joint Lead Arranger, the Lenders, the Swing Loan Lender and the
Issuing Lender shall have been paid.

                5.8           Fees and Expenses of Special
Counsel.

The
fees and expenses of Special Counsel in connection with the preparation,
negotiation and closing of the Loan Documents shall have been paid.

6.             CONDITIONS
OF LENDING — ALL LOANS.

The
obligation of each Lender to make any Loan or of the Swing Loan Lender to make
a Swing Loan or an Issuing Lender to issue any Letters of Credit is subject to
the satisfaction of the following conditions precedent as of the date of such
Loan or issuance of such Letter of Credit:

                6.1           Compliance.

On
each Borrowing Date and after giving effect to the Loans to be made or created,
and after the issuance of any Letter of Credit, (a) the Borrower shall be in
compliance with all of the terms, covenants and conditions hereof, (b) there
shall not exist and be continuing any Default or Event of Default, (c) the
representations and warranties contained in the Loan Documents shall be true
and correct with the same effect as though such representations and warranties
had been made on such Borrowing Date (except for representations and warranties
that speak as of a specific date, which need only be true and correct as of
such date), (d) the aggregate outstanding principal balance of the Loans plus
the Letter of Credit Exposure plus the aggregate principal amount of all Swing
Loans shall not exceed the Total Commitment Amount, and (e) the aggregate
outstanding principal balance of the Swing Loans shall not exceed the Swing
Loan Commitment.  Each notice requesting
a Revolving Credit Loan, a Competitive Advance, a Swing Loan or a Letter of
Credit shall be deemed to constitute a representation and warranty by the
Borrower on the date thereof that each of the foregoing matters is true and
correct in all respects.

                6.2           Loan Closings.

All
documents required by the provisions of the Loan Documents to be executed or
delivered to the Administrative Agent on or before the applicable Borrowing
Date or prior to the issuance of a Letter of Credit shall have been executed
and shall have been delivered at the office of the Administrative Agent set
forth in Section 11.2 on or before such Borrowing Date or prior to the issuance
of a Letter of Credit.

 53
 

 

                6.3           Requests.

With
respect to each borrowing of a Loan or issuance of a Letter of Credit, the
Administrative Agent shall have timely received a Borrowing Request, a
Competitive Bid Request or Letter of Credit Request, as the case may be, duly
executed by an Authorized Signatory of the Borrower and otherwise in compliance
with the terms of this Agreement.

                6.4           Documentation and Proceedings.

All
corporate matters and legal proceedings and all documents and papers in
connection with the transactions contemplated by the Loan Documents shall be
reasonably satisfactory in form and substance to the Administrative Agent and
the Administrative Agent shall have received all information and copies of all
documents which the Administrative Agent or the Required Lenders may reasonably
have requested in connection therewith, such documents (where appropriate) to
be certified by an Authorized Signatory of the Borrower or proper Governmental
Authorities.

                6.5           Required Acts and Conditions.

All
acts, conditions and things (including, without limitation, the obtaining of
any necessary regulatory approvals and the making of any filings, recordings or
registrations) required to be done or performed by the Borrower and to have
happened on or prior to such Borrowing Date or prior to the issuance of a
Letter of Credit and which are necessary for the continued effectiveness of the
Loan Documents, shall have been done or performed and shall have happened in
due compliance with all applicable laws.

7.             AFFIRMATIVE
COVENANTS.

The
Borrower agrees that, so long as any Loan remains outstanding and unpaid or
there exists any Letter of Credit Exposure, or any other amount is owing under
any Loan Document to any Lender or the Administrative Agent, or any Lender has
any obligation to make any Loans, or the Swing Loan Lender has any obligation
to make any Swing Loans or the Issuing Lender has any obligation to issue any
Letters of Credit, the Borrower shall:

                7.1           Financial Statements.

Maintain
a standard system of accounting in accordance with GAAP, and furnish or cause
to be furnished to the Administrative Agent:

(a)           Annual Statements.  As soon as available, but in any event within
120 days after the end of each fiscal year of the Borrower, a copy of its
Consolidated Balance Sheet as at the end of such fiscal year, together with the
related Consolidated Statements of Income, Stockholders’ Equity and Cash Flows
as of and through the end of such fiscal year, setting forth in each case in
comparative form the figures for the preceding fiscal year.  The Consolidated Balance Sheets and
Consolidated Statements of Income, Stockholders’ Equity and Cash Flows shall be
audited and accompanied by (i) a report and opinion of the Accountants, which
report and opinion shall be prepared in accordance with generally accepted
auditing standards and applicable Securities Laws and shall not be subject to
any “going concern” or like qualification or exception or any qualification or
exception as to the scope of such audit or with respect to the absence of any
material misstatement (including the opinion of such Accountants that such
Consolidated financial statements present fairly, in all material respects, the
Consolidated financial position of the Borrower and its Subsidiaries, as of the
date of such Consolidated financial statements, and the Consolidated results of
their operations and their cash flows for each of the years identified therein
in conformity with GAAP (subject to any change in the requirements of GAAP))
and (ii) an attestation report of the Accountants as to the Borrower’s internal
controls pursuant to Section 404 of Sarbanes-Oxley.

(b)           Annual Operating Statements and
Rent Roll.  As soon as available, but
in any event within 120 days after the end of each fiscal year of the Borrower,
and, if requested by Administrative Agent, within sixty (60) days after the end
of the first three fiscal quarters of each year of the Borrower, copies of (i)
the operating statements (in a form reasonably satisfactory to the
Administrative Agent) for all Real Property of the Borrower, and (ii) a Rent
Roll, each of which shall be certified by the Chief Financial Officer to be
true, correct and complete in all material respects.  Additionally, upon the request of the Administrative
Agent, the Borrower shall deliver to the Administrative Agent a Rent Roll

 54
 

 

(c)           Quarterly Statements.  As soon as available, but in any event within
60 days after the end of the first three fiscal quarters of each year of the
Borrower, a copy of the unaudited Consolidated Balance Sheet of the Borrower as
at the end of each such quarterly period, together with the related unaudited
Consolidated Statements of Income and Cash Flows for the elapsed portion of the
fiscal year through the end of such period, setting forth in each case in
comparative form the figures for the corresponding periods of the preceding
fiscal year, certified by the Chief Financial Officer as being true, correct
and complete in all material respects and as presenting fairly the Consolidated
financial condition and the Consolidated results of operations of the Borrower
and its Subsidiaries.

(d)           Quarterly Information Regarding
Unencumbered Assets.  Concurrently
with the delivery of the financial statements referred to in Sections 7.1(a)
and 7.1(c), a list of all the Unencumbered Assets owned by the Borrower, any
wholly owned Subsidiary of the Borrower, each DownREIT Partnership and any
wholly owned Subsidiary of a DownREIT Partnership as of the last day of such
fiscal quarter setting forth the following information with respect to each
such Unencumbered Asset as of such date: 
(i) location; (ii) percentage of the Unencumbered Asset owned by the
Borrower, any wholly owned Subsidiary of the Borrower, each DownREIT
Partnership and any wholly owned Subsidiary of a DownREIT Partnership; and
(iii) the Net Operating Income for such Unencumbered Asset during such fiscal
quarter.

(e)           Compliance Certificate.  Concurrently with the delivery of the
financial statements referred to in Sections 7.1(a) and 7.1(c), a Compliance
Certificate, certified by the Chief Financial Officer, setting forth in
reasonable detail the computations demonstrating the Borrower’s compliance with
the provisions of Sections 8.13, 8.14, 8.15, 8.16, 8.17 and 8.18.

(f)            Other Information.  Such other information as the Administrative
Agent or any Lender may reasonably request from time to time (it being
understood that Public Lenders shall not be entitled to receive any material
non-public information).

Administrative
Agent, the Lenders and Borrower acknowledge and agree that the Consolidated
financial statements of the Borrower that are required to be delivered pursuant
hereto may include FIN 46 Entities, provided, however, that the Borrower
covenants and agrees to provide to the Administrative Agent and the Lenders
simultaneously with the delivery of such financial statements the back-up
information and calculations utilized by the Borrower in performing the
calculations set forth in the Compliance Certificate (in a form reasonably
satisfactory to the Administrative Agent).

                7.2           Certificates; Other Information.

Furnish
to the Administrative Agent:

(a)           Defaults Under Other Indebtedness.  Prompt written notice if:  (i) any Indebtedness of the Borrower or any
Subsidiary of the Borrower is declared or shall become due and payable prior to
its stated maturity, or called and not paid when due, or (ii) a default that
extends beyond any applicable notice or grace period shall have occurred under
any note (other than the Notes) or the holder of any such note, or other
evidence of Indebtedness, certificate or security evidencing any such
Indebtedness or any obligee with respect to any other Indebtedness of the
Borrower or any Subsidiary of the Borrower has the right to declare any such Indebtedness
due and payable prior to its stated maturity, and, in the case of either (i) or
(ii), the Indebtedness that is the subject of (i) or (ii) is, in the aggregate,
$15,000,000 or more;

(b)           Action of Governmental Authorities.  Prompt written notice of:  (i) receipt of any citation, summons,
subpoena, order to show cause or other document naming the Borrower or any
Subsidiary of the Borrower a party to any proceeding before any Governmental
Authority which could reasonably be expected to have a Material Adverse Effect
or which calls into question the validity or enforceability of any of the Loan
Documents, and include with such notice a copy of such citation, summons,
subpoena, order to show cause or other document; (ii) any lapse or other
termination of any Intellectual Property, license, permit, franchise or other
authorization issued to the Borrower or any Subsidiary of the Borrower by any
Person or Governmental Authority, which lapse or 

 55
 

 

termination could
reasonably be expected to have a Material Adverse Effect; and (iii) any refusal
by any Person or Governmental Authority to renew or extend any such material
Intellectual Property, license, permit, franchise or other authorization, which
refusal could reasonably be expected to have a Material Adverse Effect;

(c)           SEC or other Governmental Reports
and Filings.  Promptly upon becoming
available, if requested by the Administrative Agent or any Lender, copies of
all regular, periodic or special reports which the Borrower or any Subsidiary
of the Borrower may now or hereafter be required to file with or deliver to any
securities exchange or the Securities and Exchange Commission, or any other
Governmental Authority succeeding to the functions thereof, pursuant to the
Securities Exchange Act of 1934, as amended.

(d)           ERISA Information.  Promptly, and in any event within ten
Business Days, after the Borrower knows or has reason to know that any of the
events or conditions enumerated below with respect to any Plan or Multiemployer
Plan has occurred or exists, a statement signed by the Chief Financial Officer
setting forth details with respect to such event or condition and the action,
if any, which the Borrower or an ERISA Affiliate proposes to take with respect
thereto; provided, however, that if such event or condition is required to be
reported or noticed to the PBGC, such statement, together with a copy of the
relevant report or notice to the PBGC, shall be furnished promptly and in any
event not later than ten days after it is reported or noticed to the PBGC:

(i)            any reportable event, as defined in
Section 4043(b) of ERISA with respect to a Plan, as to which the PBGC has not
by regulation waived the requirement of Section 4043(a) of ERISA that it be
notified within thirty days of the occurrence of such event (provided that a
failure to meet the minimum funding standard of Section 412 of the Code or of
Section 302 of ERISA, including, without limitation, the failure to make, on or
before its due date, a required installment under Section 412(m) of the Code or
Section 302(e) of ERISA or the disqualification of such Plan for purposes of
Section 4043(b)(1) of ERISA, shall be a reportable event regardless of the
issuance of any waivers in accordance with Section 412(d) of the Code) and any
request for a waiver under Section 412(d) of the Code for any Plan;

(ii)           the distribution under Section 4041
of ERISA of a notice of intent to terminate any Plan or any action taken by the
Borrower or any ERISA Affiliate to terminate any Plan;

(iii)          the institution by the PBGC of proceedings
under Section 4042 of ERISA for the termination of, or the appointment of a
trustee to administer, any Plan, or the receipt by the Borrower or any ERISA
Affiliate of a notice from a Multiemployer Plan that such action has been taken
by the PBGC with respect to such Multiemployer Plan;

(iv)          the complete or partial withdrawal
from a Multiemployer Plan by the Borrower or any ERISA Affiliate that results
in liability under Section 4201 or 4204 of ERISA (including the obligation to
satisfy secondary liability as a result of a purchaser default) or the receipt
of the Borrower or any ERISA Affiliate of notice from a Multiemployer Plan that
it is in reorganization or insolvency pursuant to Section 4241 or 4245 of ERISA
or that it intends to terminate or has terminated under Section 4041A of ERISA;

(v)           the institution of a proceeding by a
fiduciary of any Multiemployer Plan against the Borrower or any ERISA Affiliate
to enforce Section 515 of ERISA, which proceeding is not dismissed within
thirty days from its commencement;

(vi)          the adoption of an amendment to any
Plan pursuant to Section 401(a)(29) of the Code or Section 307 of ERISA that
would result in the loss of the tax-exempt status of the trust of which
such Plan is a part or the Borrower or any ERISA Affiliate fails to timely
provide security to such Plan in accordance with the provisions of said
Sections; and

(vii)         any event or circumstance exists which
may reasonably be expected to constitute grounds for the incurrence of material
liability by the Borrower or any ERISA Affiliate under Title IV of ERISA or
under Sections 412(c)(11) or 412(n) of the Code with respect to any employee
benefit plan;

(e)           ERISA Reports.  Promptly after the request of the
Administrative Agent or any Lender, copies of each annual report filed pursuant
to Section 104 of ERISA with respect to each Plan (including, to the extent 

 56
 

 

required by
Section 104 of ERISA, the related financial and actuarial statements and
opinions and other supporting statements, certifications, schedules and
information referred to in Section 103 of ERISA) and each annual report filed
with respect to each Plan under Section 4065 of ERISA; provided, however, that
in the case of a Multiemployer Plan, such annual reports shall be furnished
only if they are available to the Borrower or any ERISA Affiliate;

(f)            Notice of Sales or Transfers.  Quarterly, on each date that a Compliance
Certificate is to be delivered pursuant to Section 7.1(e), a list of all sales
or transfers of any Unencumbered Assets that occurred during such quarter;
provided that, if during any fiscal quarter of the Borrower any sale or
transfer of an Unencumbered Asset, which combined with all other such sales or
transfers of Unencumbered Assets during such fiscal quarter, would exceed
$100,000,000 in the aggregate, then the Borrower shall promptly provide such
list and a certification of the Chief Financial Officer as to the Borrower’s
compliance with Section 8.16;

(g)           Casualties or Condemnations.  Prompt written notice of any casualty or
condemnation of any Real Property, if such casualty or condemnation,
individually or together with any other casualty or condemnation of any Real
Property in the aggregate, could reasonably be expected to have a Material
Adverse Effect;

(h)           Environmental Law Notices.  Prompt written notice of any order, notice,
claim or proceeding received by, or brought against, the Borrower or any
Subsidiary of the Borrower, or with respect to any of the Real Property, under
any Environmental Law, which could reasonably be expected to have a Material
Adverse Effect;

(i)            Management Letters and Reports.  If requested by the Administrative Agent,
promptly thereafter, copies of all material management letters and similar
material reports provided to the Borrower by the Accountants;

(j)            New Subsidiary Guarantors.  Notice of any Subsidiary (i) which Borrower
is adding as a Subsidiary Guarantor in the event that the Borrower and the then
current Subsidiary Guarantors contribute less than 80% of Adjusted Net
Operating Income (as further described in Section 7.11) as of the end of
any fiscal quarter of Borrower, or (ii) that has become a guarantor under any
existing or future unsecured Indebtedness of Borrower (as further described in
Section 7.11), such notice to be delivered to the Administrative Agent
concurrently with the delivery of the Compliance Certificate with respect to
such quarter;

(k)           Changes in Name or Fiscal Year.  Prompt written notice of (i) any change in
the Borrower’s name, with copies of all filings with respect to such name
change attached thereto, and (ii) any change in its fiscal year from that in
effect on the Effective Date.

(l)            Defaults or Events of Default.  Prompt written notice if there shall occur
and be continuing a Default or an Event of Default; and

(m)          Other Information.  Such other information as the Administrative
Agent or any Lender shall reasonably request from time to time.

Documents
required to be delivered pursuant to Section 7.2(c) hereunder or that are
otherwise required to be filed with the SEC and are subject to electronic
filing with the SEC may be delivered electronically and, if so delivered, shall
be deemed to have been delivered on the date (i) on which the Borrower posts
such documents, or provides a link thereto on the Borrower’s website on the
Internet at the website address specified pursuant to Section 11.2; or (ii) on
which such documents are posted on the Borrower’s behalf on an Internet or
intranet website, if any, to which each Lender and the Administrative Agent
have access (whether a commercial, third-party website or whether sponsored by
the Administrative Agent); provided that: (i) the Borrower shall deliver
paper copies of such documents to the Administrative Agent or any Lender that
requests the Borrower to deliver such paper copies until a written request to
cease delivering paper copies is given by the Administrative Agent or such
Lender and (ii) the Borrower shall notify the Administrative Agent and each
Lender (by telecopier or electronic mail) of the posting of any such documents
and provide to the Administrative Agent by electronic mail electronic versions
(i.e., soft copies) of such documents. 
The Administrative Agent shall have no obligation to request the
delivery or to maintain copies of the documents referred to above, and in any
event shall have no responsibility to monitor compliance by the Borrower with
any such request for delivery, and each Lender shall be solely responsible for
requesting delivery to it or maintaining its copies of such documents.

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The
Borrower hereby acknowledges that (a) the Administrative Agent and/or BAS will
make available to the Lenders and the Issuing Lender materials and/or
information provided by or on behalf of the Borrower hereunder (collectively, “Borrower
Materials”) by posting the Borrower Materials on IntraLinks or another similar
electronic system (the “Platform”) and (b) certain of the Lenders may be “public-side”
Lenders (i.e., Lenders that do
not wish to receive material non-public information with respect to the
Borrower or its securities) (each, a “Public Lender”).  The Borrower hereby agrees that (w) all
Borrower Materials that are to be made available to Public Lenders shall be
clearly and conspicuously marked “PUBLIC” which, at a minimum, shall mean that
the word “PUBLIC” shall appear prominently on the first page thereof; (x) by
marking Borrower Materials “PUBLIC,” the Borrower shall be deemed to have
authorized the Administrative Agent, the Arranger, the Issuing Lender and the
Lenders to treat such Borrower Materials as not containing any material
non-public information with respect to the Borrower or its securities for
purposes of United States Federal and state securities laws; (y) all Borrower
Materials marked “PUBLIC” are permitted to be made available through a portion
of the Platform designated “Public Investor;” and (z) the Administrative Agent
and BAS shall treat any Borrower Materials that are not marked “PUBLIC” as
being suitable only for posting on a portion of the Platform not designated “Public
Investor.”

                7.3           Legal Existence.

(a)           Borrower’s Legal Existence.  Maintain its status as a Maryland corporation
in good standing in the State of Maryland and in each other jurisdiction in
which the failure so to do could reasonably be expected to have a Material
Adverse Effect.

(b)           Legal Existence of Subsidiaries.  Cause each Subsidiary of the Borrower to
maintain its status as a real estate investment trust, business trust,
corporation, limited liability company or partnership, as the case may be, in
good standing in its state of formation and in each other jurisdiction in which
the failure so to do could reasonably be expected to have a Material Adverse
Effect; provided, that Borrower may cause any Subsidiary (other than a
Subsidiary Guarantor, except as allowed by Section 8.2) to be liquidated
or dissolved.

                7.4           Taxes.

Pay
and discharge when due, and cause each Subsidiary of the Borrower so to do, all
Taxes, assessments and governmental charges, license fees and levies upon, or
with respect to, the Borrower or such Subsidiary and all Taxes upon the income,
profits and Property of the Borrower and its Subsidiaries, which if unpaid,
could reasonably be expected to have a Material Adverse Effect, unless and to
the extent only that such Taxes, assessments, governmental charges, license
fees and levies shall be contested in good faith and by appropriate proceedings
diligently conducted by the Borrower or such Subsidiary and such contest has
the effect of staying the collection of any Lien from any Property of the
Borrower or its Subsidiaries arising from such non-payment, and provided
that the Borrower shall give the Administrative Agent prompt notice of such
contest and that such reserve or other appropriate provision as shall be
required in accordance with GAAP (as determined by the Accountants) shall have
been made therefor.

                7.5           Insurance.

Maintain,
and cause each Subsidiary of the Borrower to maintain, insurance on its
Property against such risks and in such amounts as is customarily maintained by
Persons engaged in similar businesses and owning similar Properties in the same
general areas in which the Borrower or the relevant Subsidiary operates, and
file with the Administrative Agent within 10 Business Days after request
therefor a detailed list of such insurance then in effect, stating the names of
the carriers thereof, the policy numbers, the insureds thereunder, the amounts
of insurance, dates of expiration thereof, and the Property and risks covered
thereby, together with a certificate of the Chief Financial Officer certifying that
in the opinion of such officer such insurance complies with the obligations of
the Borrower under this Section, and is in full force and effect.

                7.6           Payment of Indebtedness and
Performance of Obligations.

Pay
and discharge when due, and cause each Subsidiary of the Borrower to pay and
discharge, all lawful Indebtedness, obligations and claims for labor, materials
and supplies or otherwise which, if unpaid, could 

 58
 

 

reasonably be
expected to have a Material Adverse Effect, unless such Indebtedness, obligations
or claims shall be contested in good faith and by appropriate proceedings
diligently conducted by the Borrower or such Subsidiary and such contest has
the effect of staying the collection of any Lien from any Property of the
Borrower or its Subsidiaries arising from such non-payment, and provided
that the Borrower shall give the Administrative Agent prompt notice of such
contest and that such reserve or other appropriate provision as shall be
required in accordance with GAAP (as determined by the Accountants) shall have
been made therefor.

                7.7           Maintenance of Property;
Environmental Investigations.

(a)           In all material respects, at all
times, maintain, protect and keep in good repair, working order and condition
(ordinary wear and tear and casualty events excepted), and cause each
Subsidiary of the Borrower so to do, all Property necessary to the operation of
the Borrower’s or such Subsidiary’s business.

(b)           In the event that the Administrative
Agent shall have a reasonable basis for believing that Hazardous Substances may
be on, at, under or around any Real Property in violation of any applicable
Environmental Law which, individually or in the aggregate could reasonably be
expected to have a Material Adverse Effect, promptly conduct and complete (at
the Borrower’s expense) all investigations, studies, samplings and testings
relative to such Hazardous Substances as the Administrative Agent may
reasonably request.

                7.8           Observance of Legal Requirements.

(a)           Observe and comply in all respects,
and cause each Subsidiary of the Borrower so to do, with all laws, ordinances,
orders, judgments, rules, regulations, certifications, franchises, permits,
licenses, directions and requirements of all Governmental Authorities, which
now or at any time hereafter may be applicable to it, except (i) where
noncompliance with any of the foregoing (individually or in the aggregate)
could not reasonably be expected to have a Material Adverse Effect, or (ii)
such thereof as shall be contested in good faith and by appropriate proceedings
diligently conducted by it and such contest has the effect of staying the
collection of any Lien from any Property of the Borrower or its Subsidiaries
arising from such noncompliance, and provided that the Borrower shall give the
Administrative Agent prompt notice of any contest with respect to clause (ii)
to the extent that noncompliance could reasonably be expected to have a
Material Adverse Effect and that such reserve or other appropriate provision as
shall be required in accordance with GAAP (as determined by the Accountants)
shall have been made therefor.

(b)           Use and operate all of its facilities
and property in compliance with all Environmental Laws and cause each of its
Subsidiaries so to do, and keep all necessary permits, approvals, certificates,
licenses and other authorizations relating to environmental matters in effect
and remain in compliance therewith and cause each of its Subsidiaries so to do,
and handle all Hazardous Materials in compliance with all applicable
Environmental Laws and cause each of its Subsidiaries so to do, except where
noncompliance with any of the foregoing (individually or in the aggregate)
could not reasonably be expected to have a Material Adverse Effect.

7.9           Inspection
of Property; Books and Records; Discussions.

Keep,
and cause its Subsidiaries to keep, proper books of record and account in which
full, true and correct entries in conformity with GAAP and all requirements of
law shall be made of all dealings and transactions in relation to its and its
Subsidiaries’ business and activities and permit representatives of the
Administrative Agent and any Lender (other than Public Lenders) during normal
business hours and on reasonable prior notice to visit its offices and its
Subsidiaries’ offices, to inspect any of its Property and any of its
Subsidiaries’ Property and to examine and make copies or abstracts from any of
its and its Subsidiaries’ books and records as often as may reasonably be
required under the circumstances, and to discuss the business, operations, prospects,
licenses, Property and financial condition of the Borrower and its Subsidiaries
with the officers thereof and the Accountants. 
Borrower may have a representative accompany Administrative Agent or any
Lender on any such visit, inspection or discussion.

 59
 

 

                7.10         Licenses,
Intellectual Property.

Maintain,
and cause each Subsidiary of the Borrower to maintain, in full force and
effect, all licenses, franchises, Intellectual Property, permits,
authorizations and other rights as are necessary for the conduct of its
business, the loss of which could reasonably be expected to have a Material
Adverse Effect.

                7.11         Additional Guarantors.

At
any time after the date hereof, in the event that, during any fiscal quarter of
Borrower, Borrower and the Subsidiary Guarantors do not own Unencumbered Assets
which contribute at least eighty percent (80%) of the Adjusted Net Operating
Income for all Unencumbered Assets of the Borrower and its Subsidiaries
determined on a Consolidated basis in accordance with GAAP, then, at the time
that Borrower is to provide the Compliance Certificate with respect to such
quarter to Administrative Agent, Borrower shall cause such Subsidiaries of
Borrower, as designated by the Borrower and approved by Administrative Agent
(such approval not to be unreasonably withheld), to execute and deliver a
Guaranty to the Administrative Agent, for the benefit of the Lenders, duly
executed by such Subsidiaries (together with certificates and attachments of a
nature similar to those described in Section 5.1(b) and (c) with
respect to such Subsidiaries and an opinion of counsel of a nature similar to
those in the form required pursuant to Section 5.6 (c)) so that
Borrower and the Subsidiary Guarantors will again own Unencumbered Assets which
contribute at least 80% of the Adjusted Net Operating Income for all
Unencumbered Assets of the Borrower and its Subsidiaries on a Consolidated
basis.  Additionally, in the event that
any Subsidiary of the Borrower, whether presently existing or hereafter formed
or acquired, which is not a Subsidiary Guarantor at such time, shall after the
date hereof become a guarantor under any existing or future unsecured
Indebtedness of Borrower, then promptly after the Administrative Agent’s
request therefor, Borrower shall cause such Subsidiary to execute and deliver a
Guaranty to the Administrative Agent, for the benefit of the Lenders, duly
executed by such Subsidiaries (together with certificates and attachments of a
nature similar to those described in Section 5.1(b) and (c) with
respect to such Subsidiaries and an opinion of counsel of a nature similar to
those in the form required pursuant to Section 5.6 (c)).  Notwithstanding the foregoing, the foregoing
Adjusted Net Operating Income for all Unencumbered Assets threshold of this
Section shall not be applicable from and after the occurrence of, and during
the continuance of, (i) an Event of Default, or (ii) a reduction by
S&P of its Senior Debt Rating below BBB- or a reduction by Moody’s of its
Senior Debt Rating below Baa3 (it being understood that at such time, the
Administrative Agent can require any Subsidiary of the Borrower (other than an
Excluded Subsidiary) which has not executed a Guaranty to immediately comply
with requirements of this Section).

                7.12         REIT Status; Operation of Business.

(a)           Maintain its status under §§856 et seq. of the Code as a REIT.

(b)           Carry on all business operations of
the Borrower as a self-advised, self-managed REIT.

(c)           Manage, or cause one or more of its
Subsidiaries at all times to manage, at least 90% of all Properties of the
Borrower and its Subsidiaries.

(d)           Cause the common stock of Borrower at
all times to be listed for trading and to be traded on the New York Stock
Exchange, the American Stock Exchange or another nationally recognized stock
exchange.

8.             NEGATIVE
COVENANTS.

The
Borrower agrees that, so long as any Loan remains outstanding and unpaid, or
there exists any Letter of Credit Exposure, or any other amount is owing under
any Loan Document to any Lender or the Administrative Agent, or any Lender has
any obligation to make any Loans or the Issuing Lender has any obligation to
issue any Letters of Credit, the Borrower shall not, directly or indirectly:

                8.1           Liens.

Create,
incur, assume or suffer to exist any Lien upon any of its Property, whether now
owned or hereafter acquired, or permit any Subsidiary of the Borrower so to do,
except the following “Permitted Liens”:

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(a)           Liens for Taxes, assessments or
similar charges incurred in the ordinary course of business which are not
delinquent or the existence of which do not otherwise violate the covenants in
Section 7.4,

(b)           Liens in connection with workers’
compensation, unemployment insurance or other social security obligations (but
not ERISA and other types of similar statutory obligations incurred in the
ordinary course of business),

(c)           Liens, deposits or pledges to secure
bids, tenders, contracts (other than contracts for the payment of money),
leases, statutory obligations, surety or appeal bonds, performance bonds,
completion bonds or other obligations of like nature arising in the ordinary
course of business,

(d)           zoning ordinances, easements, rights
of way, use restrictions, exclusive use limitations in any lease of Real
Property, reciprocal easement agreements, minor defects, irregularities, and
other restrictions, charges or encumbrances affecting Real Property (whether or
not recorded), which (i) in the case of Real Property that does not qualify as
an Operating Property, do not materially adversely affect the value of such
Real Property in a manner that causes the fair market value of such Real
Property to be materially less than the book value of such Real Property; or
(ii) in the case of a Real Property that is an Operating Property, materially
impair such Real Property’s use for the operation of the business of the
Borrower or such Subsidiary,

(e)           statutory Liens arising by operation
of law such as mechanics’, materialmen’s, carriers’, warehousemen’s liens
incurred in the ordinary course of business which are not delinquent or the
existence of which do not otherwise violate the covenants in Section 7.6,

(f)            Liens arising out of judgments or
decrees which are being contested in accordance with Section 7.8(a) or the
existence of which do not otherwise violate the covenants in Section 7.8(a) or
result in a default pursuant to Section 9.1(j),

(g)           mortgages and related financing
statements and security agreements (i) on Real Property and associated other
Property, provided that the existence of such mortgages, and the
Indebtedness secured thereby, does not cause the Borrower to be in violation of
Section 8.15 or 8.16 or (ii) securing the Existing Loan Agreement,

(h)           Liens in favor of the Borrower or any
Subsidiary Guarantor, provided that the Indebtedness secured by any such Lien
is held by the Borrower or such Subsidiary Guarantor,

(i)            the interests of lessees, lessors,
licensees and licensors under leases or licenses of real or personal property
made in the ordinary course of business which could not reasonably be expected
(individually or in the aggregate) to have a Material Adverse Effect,

(j)            Liens on the interests of Borrower
or any Subsidiary of Borrower in any Joint Venture (including, without
limitation, in any FIN 46 Entity) or in any Subsidiary of Borrower, provided
that the existence of such Liens, and the Indebtedness secured thereby, does
not cause the Borrower to be in violation of Section 8.15,

(k)           Liens under Capital Leases, provided
that the existence of such Capital Lease, and the indebtedness secured thereby,
does not cause the Borrower to be in violation of Section 8.15, and

(l)            Liens not otherwise permitted by
clauses (a) through (k) of this Section which do not in the aggregate exceed,
in principal amount, $15,000,000.

                8.2           Merger, Consolidation and Certain
Dispositions of Property.

(a)           Merger of Borrower or Subsidiary
Guarantors.  Consolidate with, be
acquired by, or merge into or with any Person, or sell, lease or otherwise
dispose of all or substantially all of its Property (in one transaction or a
series of transactions), or permit any Subsidiary Guarantor so to do, or
liquidate or dissolve, except, subject to the last sentence of this Section
8.2(a),

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(i)            the merger or consolidation of any
Subsidiary Guarantor into or with the Borrower,

(ii)           the merger or consolidation of any
two or more Subsidiary Guarantors (including any Subsidiaries that become
Subsidiary Guarantors upon the consummation of such a transaction with a
Subsidiary Guarantor),

(iii)          the merger or consolidation of the
Borrower or a Subsidiary Guarantor with any other Person, provided that (A) the
Borrower or such Subsidiary Guarantor is the surviving entity in such merger or
consolidation, or contemporaneously with the consummation of such transaction
the surviving entity becomes a Subsidiary Guarantor, (B) the total book value
of the assets of the entity which is merged into or consolidated with the
Borrower or such Subsidiary Guarantor is less than 35% of the total book value
of the assets of the Borrower and its Subsidiaries determined on a Consolidated
basis in accordance with GAAP immediately following such merger or
consolidation, (C) immediately prior to such merger or consolidation the
Borrower shall have provided to the Administrative Agent a Compliance
Certificate prepared on a pro-forma basis (and adjusted in the best good
faith estimate of the Borrower to give effect to such merger or consolidation)
demonstrating that after giving effect to such merger or consolidation, no
Default shall exist with respect to any of the covenants set forth in Sections
8.13, 8.14, 8.15, 8.16, 8.17 and 8.18 and (D) after giving effect to such
merger or consolidation, no Event of Default shall then exist, or

(iv)          the merger or consolidation of a
Subsidiary Guarantor with any other Person in which such other Person shall be
the surviving entity, the liquidation or dissolution of a Subsidiary Guarantor,
or the sale, lease or other disposition by a Subsidiary Guarantor of all or
substantially all of its Property, so long as, after giving effect to such
transaction, (A) no Default or Event of Default shall then exist, (B) such
transaction does not violate Section 8.2(b) and (C) Borrower and/or the
remaining Subsidiary Guarantors (including any new Subsidiary Guarantors
provided by the Borrower pursuant to Section 7.11 in connection with such
transaction) own Unencumbered Assets which contribute at least 80% of the
Adjusted Net Operating Income for all Unencumbered Assets of the Borrower and
its Subsidiaries determined on a Consolidated basis in accordance with GAAP.  In the event that a Subsidiary Guarantor
shall engage in a transaction permitted by Section 8.2(a)(iv) (other than a
lease of all or substantially all of its assets), then such Subsidiary
Guarantor shall be released by Administrative Agent from liability under the
Guaranty, provided that (1) the Borrower shall deliver to Administrative
Agent evidence satisfactory to Administrative Agent that the Borrower will be
in compliance with all covenants of this Agreement after giving effect to such
transaction and (2) the net cash proceeds from such sale or disposition
are being distributed to Borrower as part of such dissolution.

Except as set
forth in the following sentence, nothing in this Section 8.2(a) shall in any
way restrict the activities of a Subsidiary that is not a Subsidiary
Guarantor.  Notwithstanding anything
contained herein to the contrary, the Borrower shall not, directly or
indirectly, permit any merger or consolidation of any Subsidiary which owns any
Unencumbered Assets with CA New Plan Fixed Rate Partnership, L.P., any DownREIT
Partnership or any Subsidiary of a DownREIT Partnership.

(b)           Dispositions by Borrower and
Subsidiaries.  Except as expressly
permitted by Section 8.2(a), sell, transfer, contribute, master lease or
dispose of any of its Property, either directly or indirectly, or permit any
Subsidiary Guarantor so to do, except, subject to the last sentence of this
Section 8.2(b), that if at the time thereof and immediately after giving effect
thereto, no Default shall have occurred and be continuing,

(i)            any Subsidiary Guarantor may sell,
transfer, contribute, master lease or otherwise dispose of its assets to the
Borrower or to any other Subsidiary Guarantor,

(ii)           the Borrower may sell, transfer,
contribute, master lease or otherwise dispose of its assets to any Subsidiary
Guarantor,

(iii)          in connection with any transaction
pursuant to which a Real Property asset of Borrower or any Subsidiary Guarantor
is or will be encumbered with a mortgage (as permitted under
Section 8.1(g)), the Borrower or any Subsidiary Guarantor may transfer
such asset to any Subsidiary,

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(iv)          Borrower or any Subsidiary Guarantor
may sell, transfer, contribute or dispose of worn-out, obsolete or surplus
Property,

(v)           Borrower or any Subsidiary Guarantor
may sell, transfer, contribute, master lease or otherwise dispose of any of its
assets to any Subsidiary, so long as, after giving effect to such transaction,
Borrower and/or the Subsidiary Guarantors (including any new Subsidiary
Guarantors provided by the Borrower pursuant to Section 7.11 in connection
with such transaction) own Unencumbered Assets which contribute at least 80% of
the Adjusted Net Operating Income for all Unencumbered Assets of the Borrower
and its Subsidiaries determined on a Consolidated basis in accordance with
GAAP,

(vi)          the Borrower or any Subsidiary of the
Borrower may sell, transfer, contribute, master lease or otherwise dispose of
Property in an arm’s length transaction (or, if the transaction involves an
Affiliate of the Borrower, if the transaction complies with Section 8.8),
including, without limitation, a disposition of Property pursuant to a merger
or consolidation (so long as such merger or consolidation is not prohibited by
Section 8.2(a)), provided, however, that for any fiscal year of the Borrower,
any sale, transfer, master lease, contribution or other disposition of Property
in reliance on this clause (vi) which when combined with all other sales,
transfers, master leases, contributions or dispositions of Property in reliance
on this clause (vi) made in such fiscal year shall not exceed 25% of the total
book value of all Property of the Borrower and its Subsidiaries determined as
of the last day of the preceding fiscal year;

(vii)         the Borrower and its Subsidiaries may
exchange Property held by the Borrower or a Subsidiary for one or more
Properties of any Person; provided, that the Board of Directors or
Investment Committee of the Borrower has determined in good faith that the fair
market value of the assets received by the Borrower or any such Subsidiary are
approximately equal to the fair market value of the assets exchanged by the
Borrower or such Subsidiary; and

(viii)        the Borrower and its Subsidiaries may,
in the ordinary course of business, lease Properties to tenants and dispose of
inventory acquired and held for resale.

Except as set
forth in the following sentence, nothing in this Section 8.2(b) (other than
clause (vi)) shall in any way restrict the activities of a Subsidiary that is
not a Subsidiary Guarantor or prohibit the making of any Investment permitted
by Section 8.3.  Notwithstanding anything
contained herein to the contrary, neither the Borrower nor any Subsidiary of
the Borrower shall, directly, or indirectly, sell, transfer, contribute, master
lease or dispose of any Unencumbered Assets to CA New Plan Fixed Rate
Partnership, L.P., any DownREIT Partnership or any Subsidiary of a DownREIT
Partnership other than in connection with any transaction which is otherwise
permitted pursuant to this Section 8.2(b) pursuant to which such Unencumbered
Asset will no longer constitute an Unencumbered Asset as a result of such
transaction.

                8.3           Investments, Loans, Etc.

At
any time, make any Investments (or permit any of its Subsidiaries to so do),
except the following (to the extent that maintaining any thereof would not at
any time violate the requirements of Section 856(c) of the Code):

(a)           demand deposits, certificates of
deposit, bankers acceptances and domestic and eurodollar time deposits with any
Lender, or any other commercial bank, trust company or national banking
association incorporated under the laws of the United States or any State
thereof and having undivided capital, surplus and undivided profits exceeding
$500,000,000 and a long term debt rating of A or A2, as determined, respectively,
by S&P and Moody’s;

(b)           short-term direct obligations
of the United States of America or agencies thereof whose obligations are
guaranteed by the United States of America;

(c)           securities commonly known as “commercial
paper” issued by a corporation organized and existing under the laws of the
United States or any State thereof which at the time of purchase are rated by
S&P or Moody’s at not less than “A1” or “P1,” respectively;

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(d)           mortgage-backed securities
guaranteed by the Governmental National Mortgage Association, the Federal
National Mortgage Association or the Federal Home Loan Mortgage Corporation and
other mortgage-backed bonds which at the time of purchase are rated by
S&P or Moody’s at not less than “Aa” or “AA,” respectively;

(e)           repurchase agreements having a term
not greater than 90 days and fully secured by securities described in the
foregoing paragraph (b) or (d) with banks described in the foregoing paragraph
(a) or with financial institutions or other corporations having total assets in
excess of $50,000,000;

(f)            shares of “money market funds”
registered with the SEC under the Investment Company Act of 1940 which maintain
a level per-share value, invest principally in the investments described
in one or more of the foregoing paragraphs (a) through (e) and have total
assets of in excess of $50,000,000;

(g)           Real Property;

(h)           Subject to Section 8.17, equity
investments in any Person (other than Subsidiaries) and Notes Receivable
investments;

(i)            Subject to Section 8.17, Investments
(debt or equity) in Subsidiaries of the Borrower;

(j)            investments in respect of (i)
equipment, inventory and other tangible personal property or intangible
property acquired in the ordinary course of business, (ii) trade and customer
accounts receivable for services rendered in the ordinary course of business,
(iii) advances to employees for travel expenses other company-related
expenses, and (iv) prepaid expenses made in the ordinary course of business;

(k)           Hedging Agreements made in connection
with any Indebtedness;

(l)            repurchases of any common or
preferred stock or other equity interests (or securities convertible into such
interests) in the Borrower which do not exceed, in any calendar year, (i) 10%
of the aggregate outstanding shares of common and preferred stock and other
equity interests in Borrower as of the date hereof, in any combination, plus
(ii) 10% of the aggregate of any additional shares of common and preferred
stock and other equity interests in Borrower issued after the date hereof, in
any combination;

(m)          redemptions of preferred stock of the
Borrower in accordance with the terms thereof;

(n)           redemptions for cash or common Stock
of the Borrower of units of limited partner interests or limited liability
company interests in a DownREIT Partnership;

(o)           loans or advances to employees of the
Borrower, provided that all such loans in the aggregate do not at any time
exceed $25,000,000 in the aggregate;

(p)           Capital Leases; and

(q)           subject to Section 8.17, any other
Investments not included in paragraphs (a) through (p) deemed appropriate by
the Borrower (provided that in no event shall Investments made in reliance upon
the exception set forth in this paragraph (q) exceed $75,000,000 in any fiscal
year of Borrower).

                8.4           Business Changes.

Change
in any material respect the nature of the business of the Borrower and its
Subsidiaries, taken as a whole, as conducted on the Effective Date.

                8.5           Amendments to Organizational
Documents.

Amend
or otherwise modify its corporate charter or by-laws in any way (other
than in connection with the issuance or classification of preferred stock of
the Borrower) which would adversely affect the interests of the Administrative
Agent and the Lenders under any of the Loan Documents, or permit any Subsidiary
of the Borrower to amend its organizational documents in a manner which could
reasonably be expected to have the same result.

                

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                8.6           Anti-Terrorism
Laws; FCPA

(a)           Be an
“enemy” or an “ally of the enemy” within the meaning of Section 2 of the
Trading with the Enemy Act of the United States of America (50 U.S.C. App. §§ 1
et seq.), as amended; violate or
permit any  Subsidiary of the Borrower to
violate (i) the Trading with the Enemy Act, as amended, (ii) any of the foreign
assets control regulations of the United States Treasury Department (31 CFR,
Subtitle B, Chapter V, as amended) or any enabling legislation or executive
order relating thereto or (iii) the  Act
(as defined in Section 11.23); or

(b)           fail
to be in compliance with the Foreign Corrupt Practices Act, 15 U.S.C. §§
78dd-1, et seq., and any foreign
counterpart thereto.

                8.7           Sale and Leaseback.

Enter
into any arrangement with any Person providing for the leasing by it of
Property which has been or is to be sold or transferred by it to such Person or
to any other Person to whom funds have been or are to be advanced by such
Person on the security of such Property or its rental obligations, or permit
any Subsidiary of the Borrower so to do, except for sale and leasing
transactions described herein for which the combined selling price of all
Property subject to all such transactions does not exceed $100,000,000 in any
fiscal year of Borrower.

                8.8           Transactions with Affiliates.

Become
a party to any transaction in an amount that exceeds $100,000 with an Affiliate
(other than in connection with Investments in Joint Ventures that are otherwise
permitted hereunder and any documents, instruments or agreements entered into
with Joint Ventures pursuant to the business of such Joint Ventures (and to the
extent the other owners of such Joint Ventures are not Affiliates of the
Borrower)) unless the terms and conditions relating thereto (a) have been
approved by a majority of the disinterested directors of the Borrower, (b) have
been approved by a majority of votes cast by the stockholders of the Borrower,
or (c) are upon fair and reasonable terms, no less favorable to the Borrower or
its Subsidiaries than would be obtained in a comparable arm’s-length
transaction with a Person not an Affiliate of the Borrower or a Subsidiary, or
permit any Subsidiary of the Borrower so to do.

                8.9           Issuance of Additional Capital
Stock by Subsidiary Guarantors.

Permit
any Subsidiary Guarantor to issue any additional Stock or other equity interest
of such Subsidiary Guarantor, other than the issuance of partnership or limited
liability company units in a DownREIT Partnership which is a Subsidiary
Guarantor, provided that such units are issued in consideration of the
contribution to the DownREIT Partnership of assets qualifying as “real estate
assets” under Section 856(c) of the Code.

                8.10         Hedging Agreements.

Enter
into, or permit any of its Subsidiaries to enter into, any Hedging Agreement,
other than Hedging Agreements entered into in the ordinary course of business
to hedge or mitigate interest rate risks to which the Borrower or any
Subsidiary of the Borrower is exposed in the conduct of its business or the
management of its liabilities.

                8.11         Restricted Payments.

Make
Restricted Payments, except that:

(a)           except as set forth in clause (b)
below, the Borrower may declare and pay dividends payable with respect to its
equity securities in any fiscal quarter of the Borrower if after giving effect
to such dividend, such dividend, when added to the amount of all other such
dividends paid in the same fiscal quarter and the preceding three (3) fiscal
quarters, would not exceed the greater of (i) ninety-five percent (95%) of its
Funds from Operations 

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for the four
fiscal quarters ending prior to the quarter in which such dividend is paid or
(ii) the minimum amount of such dividends required under the Code to enable the
Borrower to continue to maintain its status under the Code as a REIT, as
evidenced (in the case of clause (ii)) by a certification of Chief Financial
Officer containing calculations in reasonable detail reasonably satisfactory in
form and substance to Administrative Agent;

(b)           if an Event of Default under Section
9.1(a) or (b) has occurred and is continuing, the Borrower may declare and pay
dividends with respect to its equity securities which shall not exceed the
minimum amount of such dividends required under the Code to enable the Borrower
to continue to maintain its status under the Code as a REIT, as evidenced by a
certification of Chief Financial Officer containing calculations in reasonable detail
reasonably satisfactory in form and substance to Administrative Agent;

(c)           the Borrower may effect Stock
repurchases and redemptions to the extent permitted by Sections 8.3(l) or
8.3(m);

(d)           the Borrower may effect “cashless
exercises” of options granted under the Borrower’s stock option plans;

(e)           the Borrower may distribute rights or
equity securities under any rights plan adopted by the Borrower; and

(f)            the Borrower may declare and pay
dividends (or effect Stock splits or reverse Stock splits) with respect to its
equity securities payable solely in additional shares of its equity securities.

                8.12         Intentionally Omitted

                8.13         Fixed Charge Coverage Ratio.

Permit
the Fixed Charge Coverage Ratio to be less than 1.60:1.0 at any time.

                8.14         Minimum Tangible Net Worth.

Permit
the Tangible Net Worth of the Borrower and its Subsidiaries on a Consolidated
basis in accordance with GAAP at any time to be less than the sum of (a)
$1,225,000,000.00, plus (b) 80% of the aggregate net proceeds received by the
Borrower from and after the Effective Date in connection with the issuance of
any capital stock of the Borrower.

                8.15         Total Indebtedness to Total Assets;
Secured Indebtedness to Total Assets.

(a)           Permit the ratio of Consolidated
Total Indebtedness to Adjusted Consolidated Total Assets, at any time, to
exceed 60%; provided, however, that up to two times during the term hereof,
such ratio of Consolidated Total Indebtedness to Adjusted Consolidated Total
Assets may, during the 180 day period following any Material Acquisition,
exceed 60%, but shall not, in any case, exceed 65%; or

(b)           Permit at any time the portion of the
Consolidated Total Indebtedness (which shall exclude Indebtedness of FIN 46
Entities and other Joint Ventures that are not Subsidiaries) consisting of
Consolidated secured Indebtedness of Borrower and its Subsidiaries at such time
to exceed 40% of Adjusted Consolidated Total Assets at such time.

                8.16         Indebtedness to Unencumbered Assets
Ratio.

Permit
the ratio of Consolidated Total Indebtedness consisting of Consolidated
unsecured Indebtedness of the Borrower and its Subsidiaries to Unencumbered
Asset Value to, at any time, to exceed 60%; provided, however, that up to two
times during the term hereof, such ratio of Consolidated Total Indebtedness consisting
of Consolidated unsecured Indebtedness of the Borrower and its Subsidiaries to
Unencumbered Asset Value may, during any 180 day period following any Material
Acquisition, exceed 60%, but shall not, in any case, exceed 65%.

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                8.17         Maximum
Book Value of Ancillary Assets.

Permit
the book value of the Ancillary Assets at any time to be more than 25% of the
Adjusted Consolidated Total Assets of the Borrower and its Subsidiaries
determined on a Consolidated basis in accordance with GAAP at such time.  For purposes of this Section 8.17 the book
value of any Ancillary Asset not owned 100%, directly or indirectly, by the
Borrower or any of its Subsidiaries shall be adjusted by multiplying the same
by the Borrower’s Interest in such Ancillary Asset during the fiscal quarter of
the Borrower ending as of any date of determination of such book value.

                8.18         Development Activity.

Engage,
directly or indirectly, or permit any Subsidiary or Joint Venture to engage, in
the ground-up development of Real Property except for the ground-up development
of New Construction Assets to be used principally as a retail shopping center, provided
that the cost of New Construction Assets by Borrower and its Subsidiaries and
Joint Ventures shall not at any time exceed fifteen percent (15%) of the
Borrower’s Adjusted Consolidated Total Assets. 
For purposes of this Section 8.18 the book value of any New
Construction Assets not owned 100%, directly or indirectly, by the Borrower or
any of its Subsidiaries shall be adjusted by multiplying the same by the
Borrower’s Interest in such New Construction Asset during the fiscal quarter of
the Borrower ending as of any date of determination of such book value.

9.             DEFAULT.

                9.1           Events of Default.

The
following shall each constitute an “Event of Default”:

(a)           The failure of the Borrower to pay
any installment of principal on any Note on the date when due and payable; or

(b)           The failure of the Borrower to pay
any installment of interest, any reimbursement obligations under the Letters of
Credit (other than obligations included in Section 9.1(a)), or any other fees,
expenses or other charges payable under any Loan Document within five Business
Days of the date when due and payable; or

(c)           The use of the proceeds of any Loan
in a manner inconsistent with or in violation of Section 2.15; or

(d)           The failure of the Borrower to
observe or perform any covenant or agreement contained in Section 7.12(a),
7.12(b), or 8 (other than Sections 8.1, 8.3, 8.5,
8.7, 8.8 and 8.10 as to which the provisions of paragraph (e)
below shall apply); or

(e)           The failure of Borrower or any of its
Subsidiaries to observe or perform any other term, covenant, or agreement
contained in any Loan Document and such failure shall have continued unremedied
for a period of 30 days after notice thereof from the Administrative Agent to
the Borrower, provided that if Borrower shall have exercised reasonable
diligence to cure such failure and such failure cannot be cured within such 30
day period despite such reasonable diligence, Borrower shall have the right to
cure such failure within 90 days after the date of such notice from
Administrative Agent provided Borrower diligently and continuously pursues the
completion of such cure (unless any such default is excluded from any provision
of a grace period or cure of defaults contained in any other Loan Document or
unless a shorter cure period is specified in any other Loan Document with
respect to such default); or

(f)            Any representation or warranty of
the Borrower (or of any officer of the Borrower on its behalf) made in any Loan
Document to which it is a party or in any certificate, report, opinion (other
than an opinion of counsel) or other document delivered or to be delivered
pursuant thereto, shall prove to have been incorrect or misleading (whether
because of misstatement or omission) in any material respect when made; or

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(g)           Any obligation of the Borrower (other
than its obligations under the Notes) or any Subsidiary of the Borrower,
whether as principal, guarantor, surety or other obligor, for the payment of
any Indebtedness shall (i) become or shall be declared to be due and payable
prior to the expressed maturity thereof, or (ii) shall not be paid when due or
within any grace period for the payment thereof, or (iii) shall be subject, by
the holder of the obligation evidencing such Indebtedness, to acceleration
(after the expiration of any applicable notice and cure periods) prior to the
expressed maturity thereof, and the sum of all such Indebtedness which is the
subject of paragraphs (i) - (iii) inclusive exceeds (A) at any time, in
the case of Indebtedness other than Non-Recourse Indebtedness,
$15,000,000, and (B) in any calendar year, in the case of Non-Recourse
Indebtedness, $50,000,000 in the aggregate during such year;  or

(h)           The Borrower or any Subsidiary of the
Borrower shall (i) suspend or discontinue its business (except as permitted by
Section 7.3 or 8.2), (ii) make an assignment for the benefit of creditors,
(iii) generally not be paying its debts as such debts become due, (iv) admit in
writing its inability to pay its debts as they become due, (v) file a voluntary
petition in bankruptcy, (vi) become insolvent (however such insolvency shall be
evidenced), (vii) file any petition or answer seeking for itself any
reorganization, arrangement, composition, readjustment of debt, liquidation or
dissolution or similar relief under any present or future statute, law or
regulation of any jurisdiction, (viii) petition or apply to any tribunal for
any receiver, custodian or any trustee for any substantial part of its
Property, (ix) be the subject of any such proceeding filed against it which
remains undismissed for a period of 60 days, (x) file any answer admitting or
not contesting the material allegations of any such petition filed against it
or any order, judgment or decree approving such petition in any such
proceeding, (xi) seek, approve, consent to, or acquiesce in any such
proceeding, or in the appointment of any trustee, receiver, custodian,
liquidator, or fiscal agent for it, or any substantial part of its Property, or
an order is entered appointing any such trustee, receiver, custodian,
liquidator or fiscal agent and such order remains in effect for 60 days, or
(xii) take any formal action for the purpose of effecting any of the foregoing;
provided that the events described in this Section 9.1(h) as to any
Subsidiary of the Borrower that is not a Subsidiary Guarantor shall not
constitute an Event of Default unless the aggregate book value of Borrower’s
direct or indirect equity Investment in all such Subsidiaries exceeds
$50,000,000; or

(i)            An order for relief is entered under
the United States bankruptcy laws or any other decree or order is entered by a
court having jurisdiction (i) adjudging the Borrower or any Subsidiary bankrupt
or insolvent, (ii) approving as properly filed a petition seeking
reorganization, liquidation, arrangement, adjustment or composition of or in
respect of the Borrower or any Subsidiary under the United States bankruptcy
laws or any other applicable Federal or state law, (iii) appointing a receiver,
liquidator, assignee, trustee, custodian, sequestrator (or other similar
official) of the Borrower or any Subsidiary or of any substantial part of the
Property thereof, or (iv) ordering the winding up or liquidation of the affairs
of the Borrower or any Subsidiary, and any such decree or order continues
unstayed and in effect for a period of 60 days; provided that the events
described in this Section 9.1(i) as to any Subsidiary of the Borrower that is
not a Subsidiary Guarantor shall not constitute an Event of Default unless the
aggregate book value of Borrower’s direct or indirect equity Investment in all
such Subsidiaries exceeds $50,000,000; or

(j)            Judgments or decrees against the
Borrower or any Subsidiary of the Borrower not covered by insurance aggregating
in excess of $15,000,000 shall not be paid, stayed on appeal, discharged,
bonded or dismissed for a period of 45 days; or

(k)           Any Loan Document shall cease, for
any reason (other than in accordance with its terms), to be in full force and
effect, or the Borrower shall so assert in writing or shall disavow any of its
obligations thereunder; or

(l)            An event or condition specified in
Section 7.2(d) shall occur or exist with respect to any Plan or Multiemployer
Plan and, as a result of such event or condition, together with all other such
events or conditions, the Borrower shall be reasonably likely to incur a
liability to a Plan, a Multiemployer Plan, the PBGC, or any combination
thereof, equal to or in excess of $15,000,000 individually or in the aggregate;
or

(m)          There shall occur a Change of Control;
or

(n)           If any Loan Document (i) is
determined by any court or Governmental Authority to be illegal, invalid or
unenforceable in accordance with its terms, or (ii) shall be canceled,
terminated, revoked or rescinded other than in accordance with its terms or
with the written consent or approval of the Lenders; or

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(o)           (i) Any Subsidiary Guarantor
shall fail to comply in any material respect with any covenant made by it in
the Guaranty or if at any time any representation or warranty made by any
Subsidiary Guarantor in the Guaranty or in any other document, statement or
writing made to the Administrative Agent, the Lead Arranger or the Lenders
shall prove to have been incorrect or misleading in any material respect when
made, or (ii) if a default by any Subsidiary Guarantor shall occur under the
Guaranty after the expiration of any applicable notice and grace period; or
(iii) if any Subsidiary Guarantor shall revoke or attempt to revoke, contest,
commence any action or raise any defense (other than the defense of payment)
against its obligations under the Guaranty; or

(p)           There shall occur and be continuing
an Event of Default under and as defined in the Existing Loan Agreement.

Upon the
occurrence of an Event of Default or at any time thereafter during the
continuance thereof, (a) if such event is an Event of Default specified in
clause (h) or (i) above, the Commitments shall immediately and automatically
terminate, and the Loans, all accrued and unpaid interest thereon, and all
other amounts owing under the Loan Documents shall immediately become due and
payable, and the Administrative Agent may, and upon the direction of the
Required Lenders shall, exercise any and all remedies and other rights provided
in the Loan Documents, and (b) if such event is any other Event of Default, any
or all of the following actions may be taken: (i) with the consent of the
Required Lenders, Administrative Agent may, and upon the direction of the
Required Lenders shall, by notice to the Borrower, declare the Commitments to
be terminated forthwith, whereupon the Commitments shall immediately terminate,
and (ii) with the consent of the Required Lenders, the Administrative Agent
may, and upon the direction of the Required Lenders shall, by notice of default
to the Borrower, declare the Loans, all accrued and unpaid interest thereon and
all other amounts owing under the Loan Documents to be due and payable
forthwith, whereupon the same shall immediately become due and payable, and the
Administrative Agent may, and upon the direction of the Required Lenders shall,
exercise any and all remedies and other rights provided pursuant to the Loan
Documents.  Except as otherwise provided
in this Section, presentment, demand, protest and all other notices of any kind
are hereby expressly waived.  The
Borrower hereby further expressly waives and covenants not to assert any
appraisement, valuation, stay, extension, redemption or similar laws, now or at
any time hereafter in force which might delay, prevent or otherwise impede the
performance or enforcement of any Loan Document.  Notwithstanding anything contained herein to
the contrary, if demanded by Administrative Agent or the Required Lenders in
their sole and absolute discretion (a) after the occurrence and during the
continuation of an Event of Default or (b) if the Issuing Lender has
honored any full or partial drawing request under any Letter of Credit and such
drawing has not been reimbursed on the date when made or refinanced as a Prime
Rate Loan, Borrower will deposit with and pledge to Administrative Agent cash
in an amount equal to the amount of all undrawn Letters of Credit.  Such amounts will be pledged to and held by
Administrative Agent for the benefit of the Lenders as security for any amounts
that become payable under the Letters of Credit and all other obligations
hereunder.  Upon any draws under Letters
of Credit, at Administrative Agent’s sole discretion, Administrative Agent may
apply any such amounts to the repayment of amounts drawn thereunder and upon
the expiration of the Letters of Credit any remaining amounts will be applied
to the payment of all other obligations of Borrower under the Loan Documents or
if there are no such outstanding obligations and Lenders have no further
obligation to make Loans or issue Letters of Credit or if such excess no longer
exists, such proceeds deposited by Borrower will be released to Borrower.

In
the event that the Commitments shall have been terminated or the Notes shall
have been declared due and payable pursuant to the provisions of this Section,
any funds received by the Administrative Agent and the Lenders from or on
behalf of the Borrower shall be applied by the Administrative Agent and the
Lenders in liquidation of the Loans and the obligations of the Borrower under
the Loan Documents in the following manner and order:  (i) first, to the payment of interest on and
then the principal portion of any Loans which the Administrative Agent may have
advanced on behalf of any Lender for which the Administrative Agent has not
then been reimbursed by such Lender or the Borrower; (ii) second, to reimburse
the Administrative Agent and the Lenders for any expenses due from the Borrower
pursuant to the provisions of Section 11.5; (iii) third, to the payment of
all other fees, expenses and amounts due under the Loan Documents (other than
principal and interest on the Notes); provided, however, that distributions in
respect of such fees and expenses due to the Administrative Agent from the
Borrower shall be made pari passu with respect to the payment of any other
fees, expenses or amounts due the Lenders from the Borrower; (iv) fourth, to
the payment of interest due on the Swing Note; (v) fifth, to the payment
of principal outstanding on the Swing Note; (vi) sixth, to the payment of
interest due on the Notes; (vii) seventh, to 

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the payment of
principal outstanding on the Notes; and (viii) eighth, to the payment of any
other amounts owing to the Administrative Agent, the Lead Arranger and the
Lenders under any Loan Document or other document or agreement entered into in
connection with the transactions contemplated thereby.  In the event that any Lender shall have
wrongfully failed or refused to make an advance under Section 2.1, 2.1A, 2.3,
2.4 or 2.5 and such failure or refusal shall be continuing, advances made by
the other Lenders during the pendency of such failure or refusal shall be
entitled to be repaid as to principal and accrued interest in priority to the
other obligations described in subsections (ii) — (viii) in the preceding
sentence.

10.           THE
AGENT.

                10.1         Appointment and Authority.

Each
of the Lenders and the Issuing Lender hereby irrevocably appoints Bank of
America to act on its behalf as the Administrative Agent hereunder and under
the other Loan Documents and authorizes the Administrative Agent to take such
actions on its behalf and to exercise such powers as are delegated to the
Administrative Agent by the terms hereof or thereof, together with such actions
and powers as are reasonably incidental thereto.  Except as provided in Section 10.8 and 10.12,
the provisions of this Article are solely for the benefit of the Administrative
Agent, the Lenders, and the Issuing Lender, and neither the Borrower nor any
Subsidiary Guarantor shall have rights as a third party beneficiary of any of
such provisions.

                10.2         Rights as a Lender.

The
Person serving as the Administrative Agent hereunder shall have the same rights
and powers in its capacity as a Lender as any other Lender and may exercise the
same as though it were not the Administrative Agent and the term “Lender” or “Lenders”
shall, unless otherwise expressly indicated or unless the context otherwise
requires, include the Person serving as the Administrative Agent hereunder in
its individual capacity.  Such Person and
its Affiliates may accept deposits from, lend money to, act as the financial
advisor or in any other advisory capacity for and generally engage in any kind
of business with the Borrower or any Subsidiary or other Affiliate thereof as
if such Person were not the Administrative Agent hereunder and without any duty
to account therefor to the Lenders.

                10.3         Exculpatory Provisions.

The
Administrative Agent shall not have any duties or obligations except those expressly
set forth herein and in the other Loan Documents.  Without limiting the generality of the
foregoing, the Administrative Agent:

(a)           shall not be subject to any fiduciary
or other implied duties, regardless of whether a Default has occurred and is
continuing;

(b)           shall not have any duty to take any
discretionary action or exercise any discretionary powers, except discretionary
rights and powers expressly contemplated hereby or by the other Loan Documents
that the Administrative Agent is required to exercise as directed in writing by
the Required Lenders (or such other number or percentage of the Lenders as
shall be expressly provided for herein or in the other Loan Documents),
provided that the Administrative Agent shall not be required to take any action
that, in its opinion or the opinion of its counsel, may expose the
Administrative Agent to liability or that is contrary to any Loan Document or
applicable law; and

(c)           shall not, except as expressly set
forth herein and in the other Loan Documents, have any duty to disclose, and
shall not be liable for the failure to disclose, any information relating to
the Borrower or any of its Affiliates that is communicated to or obtained by
the Person serving as the Administrative Agent or any of its Affiliates in any
capacity.

The
Administrative Agent shall not be liable for any action taken or not taken by
it (i) with the consent or at the request of the Required Lenders (or such
other number or percentage of the Lenders as shall be necessary, or as the
Administrative Agent shall believe in good faith shall be necessary, under the
circumstances as provided in Sections 11.1 and 9.1) or (ii) in the absence of
its own gross negligence or willful misconduct.

 

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The
Administrative Agent shall not be responsible for or have any duty to ascertain
or inquire into (i) any statement, warranty or representation made in or in
connection with this Agreement or any other Loan Document, (ii) the contents of
any certificate, report or other document delivered hereunder or thereunder or
in connection herewith or therewith, (iii) the performance or observance of any
of the covenants, agreements or other terms or conditions set forth herein or
therein or the occurrence of any Default, (iv) the validity, enforceability,
effectiveness or genuineness of this Agreement, any other Loan Document or any
other agreement, instrument or document or (v) the satisfaction of any
condition set forth in Article V, Article VI or elsewhere herein,
other than to confirm receipt of items expressly required to be delivered to
the Administrative Agent.  To the extent
any Lender requests any materials or information provided to the Administrative
Agent by the Borrower pursuant to the terms hereof, the Administrative Agent
shall make reasonable good faith efforts to deliver such materials or
information to such Lender promptly following such request.

                10.4         Reliance by Administrative Agent.

The
Administrative Agent shall be entitled to rely upon, and shall not incur any
liability for relying in good faith upon, any notice, request, certificate,
consent, statement, instrument, document or other writing (including any
electronic message, Internet or intranet website posting or other distribution)
believed by it to be genuine and to have been signed, sent or otherwise
authenticated by the proper Person.  The
Administrative Agent also may rely upon any statement made to it orally or by
telephone and believed by it to have been made by the proper Person, and shall
not incur any liability for relying thereon. 
In determining compliance with any condition hereunder to the making of
a Loan, that by its terms must be fulfilled to the satisfaction of a Lender,
the Administrative Agent may presume that such condition is satisfactory to
such Lender unless the Administrative Agent shall have received notice to the
contrary from such Lender prior to the making of such Loan.  The Administrative Agent may consult with
legal counsel, independent accountants and other experts selected by it, and
shall not be liable for any action taken or not taken by it in accordance with
the advice of any such counsel, accountants or experts.

10.5         Notice of Default.

The
Administrative Agent shall not be deemed to have knowledge or notice of the
occurrence of any Default or Event of Default, except with respect to defaults
in the payment of principal, interest and fees required to be paid to the
Administrative Agent for the account of the Lenders, unless the Administrative
Agent has received written notice thereof from a Lender or the Borrower.  In the event that the Administrative Agent
receives such a notice, the Administrative Agent shall promptly give notice
thereof to the Lenders.  The
Administrative Agent shall take such action with respect to such Default or
Event of Default as shall be reasonably directed by the Required Lenders,
provided, however, that unless and until the Administrative Agent shall have
received such directions, the Administrative Agent may (but shall not be
obligated to) take such action, or refrain from taking such action, with
respect to such Default or Event of Default as it shall deem to be in the best
interests of the Lenders.

                10.6         Delegation of Duties.

The
Administrative Agent may perform any and all of its duties and exercise its
rights and powers hereunder or under any other Loan Document by or through its
Related Parties.  The exculpatory
provisions of this Article shall apply to any such Related Parties of the
Administrative Agent, and shall apply to any such Related Parties’ activities
in connection with the syndication of the credit facilities provided for herein
as well as activities as Administrative Agent.

10.7         Indemnification.

Each
Lender agrees to indemnify and reimburse the Administrative Agent in its capacity
as such (to the extent not promptly reimbursed by the Borrower and without
limiting the obligation of the Borrower to do so), pro rata according to its
Commitment, from and against any and all liabilities, obligations, claims,
losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind whatsoever including, without limitation, any amounts
paid to the Lenders (through the Administrative Agent) by the Borrower, any
Subsidiary Guarantor pursuant to the terms of the Loan Documents, that are
subsequently rescinded or avoided, or must otherwise be restored or returned)
which may at any time (including, without limitation, at any time following the
payment of the Notes) be imposed on, incurred by or asserted against the
Administrative Agent in any way relating 

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to or arising out
of the Loan Documents or any other documents contemplated by or referred to
therein or the transactions contemplated thereby or any action taken or omitted
to be taken by the Administrative Agent under or in connection with any of the
foregoing; provided, however, that no Lender shall be liable for the payment of
any portion of such liabilities, obligations, claims, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements to the
extent resulting solely from the gross negligence or willful misconduct of the
Administrative Agent.  The agreements in
this Section shall survive the payment of all amounts payable under the Loan Documents.

                10.8         Successor Administrative Agent.

The
Administrative Agent may at any time give notice of its resignation to the
Lenders, the Issuing Lender and the Borrower. 
Upon receipt of any such notice of resignation, the Required Lenders
shall have the right, in consultation with the Borrower, to appoint a
successor, which shall be a bank with an office in the United States, or an
Affiliate of any such bank with an office in the United States.  If no such successor shall have been so
appointed by the Required Lenders and shall have accepted such appointment in
writing within 30 days after the retiring Administrative Agent gives notice of
its resignation, then the retiring Administrative Agent shall, in consultation
with the Borrower, appoint a successor Administrative Agent on behalf of the Lenders
and the Issuing Lender prior to the end of the 60th day from such notice from
among any of the Lenders who shall have at such time agreed to act as the
successor Administrative Agent and shall have at such time a Commitment of at
least $10,000,000 (an “Approved Successor”).  If no Lender has a Commitment of at least
$10,000,000 (or no Lender whose Commitment is at least $10,000,000 shall agree
to accept such appointment), then the retiring Administrative Agent shall, in
consultation with the Borrower (unless an Event of Default has occurred and is
continuing), appoint any other Lender or any other commercial bank organized
under the laws of the United States of America or any State thereof and having
a combined capital and surplus of at least $100,000,000 as a successor
Administrative Agent.  Any appointment of
a successor Administrative Agent shall be subject to the approval of the
Borrower, which approval shall not be unreasonably withheld or delayed, and
shall be given in any event prior to the end of the 60th day from the date of
the retiring Administrative Agent’s notice of removal or resignation, provided
that during any period in which there exists and is continuing an Event of
Default, no consultation with, or approval from, the Borrower with respect to
the appointment of an Approved Successor shall be required.  Upon the acceptance of an appointment as
Administrative Agent hereunder by a successor Administrative Agent and any
required approval of such successor Administrative Agent by the Borrower in
accordance with the terms of this Section, such successor Administrative Agent
shall thereupon succeed to and become vested with all of the rights, powers,
privileges and duties of the retiring (or retired) Administrative Agent, and
the retiring Administrative Agent shall be discharged from all of its duties
and obligations as Administrative Agent hereunder or under the other Loan
Documents (if not already discharged therefrom as provided above in this
Section).  The fees payable by the
Borrower to a successor Administrative Agent shall be the same as those payable
to its predecessor unless otherwise agreed between the Borrower and such
successor.  The Required Lenders may
remove the Administrative Agent from its capacity as administrative agent in
the event of the Administrative Agent’s willful misconduct or gross
negligence.  Such removal shall be
effective upon appointment and acceptance of a successor Administrative Agent
selected by the Required Lenders.  Any
successor Administrative Agent must satisfy the conditions set forth in this
Section 10.8 (including, without limitation, the consultation with, and
approval from, the Borrower, to the extent required under this Section
10.8).  Upon the acceptance of any
appointment as Administrative Agent hereunder by a successor Administrative
Agent, such successor Administrative Agent shall thereupon succeed to and
become vested with all rights, powers, privileges and duties of the removed
Administrative Agent, and the removed Administrative Agent shall be discharged
from all further duties and obligations as Administrative Agent under this
Agreement and the Loan Documents, provided that the Administrative Agent shall
remain liable to the extent provided in the Loan Documents for its actions and
omissions occurring prior to such removal. 
The Commitment of the Lender which is acting as Administrative Agent
shall not be taken into account in the calculation of Required Lenders for the
purposes of removing Administrative Agent in the event of the Administrative Agent’s
willful misconduct or gross negligence. 
After the retiring or removed Administrative Agent’s resignation or
removal hereunder and under the other Loan Documents, the provisions of this
Article and Sections 11.5 and 11.12 shall continue in effect for the benefit of
such retiring or removed Administrative Agent, its sub agents and their
respective Related Parties in respect of any actions taken or omitted to be
taken by any of them while the retiring or removed Administrative Agent was
acting as Administrative Agent.

Any
resignation by, or removal of, Bank of America as Administrative Agent pursuant
to this Section shall also constitute its resignation or removal, as
applicable, as Issuing Lender and Swing Loan Lender.  Upon the 

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acceptance of a
successor’s appointment as Administrative Agent hereunder, (a) such
successor shall succeed to and become vested with all of the rights, powers,
privileges and duties of the retiring or removed Issuing Lender and Swing Loan
Lender, (b) the retiring or removed Issuing Lender and Swing Loan Lender
shall be discharged from all of their respective duties and obligations
hereunder or under the other Loan Documents, and (c) the successor Issuing
Lender shall issue letters of credit in substitution for the Letters of Credit,
if any, outstanding at the time of such succession or make other arrangement
satisfactory to the retiring or removed Issuing Lender to effectively assume,
at the time of such succession, the obligations of the retiring or removed
Issuing Lender with respect to such Letters of Credit.  After the retiring Issuing Lender’s and Swing
Lender’s resignation hereunder and under the other Loan Documents, the
provisions of this Article and Sections 11.5 and 11.12 shall continue in effect
for the benefit of such retiring Issuing Lender and Swing Lender, their sub
agents and their respective Related Parties in respect of any actions taken or
omitted to be taken by any of them while the retiring Issuing Lender and Swing
Lender were acting as Issuing Lender and Swing Lender, respectively.

                10.9         Non-Reliance on Administrative Agent
and Other Lenders.

Each
Lender and the Issuing Lender acknowledges that it has, independently and
without reliance upon the Administrative Agent or any other Lender or any of
their Related Parties and based on such documents and information as it has
deemed appropriate, made its own credit analysis and decision to enter into
this Agreement.  Each Lender and the
Issuing Lender also acknowledges that it will, independently and without
reliance upon the Administrative Agent or any other Lender or any of their
Related Parties and based on such documents and information as it shall from
time to time deem appropriate, continue to make its own decisions in taking or
not taking action under or based upon this Agreement, any other Loan Document
or any related agreement or any document furnished hereunder or thereunder.

                10.10       No Other Duties, Etc.

Anything
herein to the contrary notwithstanding, none of the Book Manager, Lead
Arrangers, Co-Syndication Agents or Co-Documentation Agents listed on the cover
page hereof shall have any powers, duties or responsibilities under this
Agreement or any of the other Loan Documents, except in its capacity, as
applicable, as the Administrative Agent, a Lender or the Issuing Lender
hereunder.

                10.11       Administrative Agent May File Proofs
of Claim.

In
case of the pendency of any receivership, insolvency, liquidation, bankruptcy,
reorganization, arrangement, adjustment, composition or other judicial
proceeding relative to the Borrower or any Subsidiary Guarantor, the
Administrative Agent (irrespective of whether the principal of any Loan or
Letter of Credit Exposure shall then be due and payable as herein expressed or
by declaration or otherwise and irrespective of whether the Administrative
Agent shall have made any demand on the Borrower) shall be entitled and
empowered, by intervention in such proceeding or otherwise:

(a)           to file and prove a claim for the
whole amount of the principal and interest owing and unpaid in respect of the
Loans or Letter of Credit Exposure and all other obligations of the Borrower
and the Subsidiary Guarantors under the Loan Documents that are owing and
unpaid and to file such other documents as may be necessary or advisable in
order to have the claims of the Lenders, the Issuing Lender and the
Administrative Agent (including any claim for the reasonable compensation,
expenses, disbursements and advances of the Lenders, the Issuing Lender and the
Administrative Agent and their respective agents and counsel and all other
amounts due the Lenders, the Issuing Lender and the Administrative Agent under
Sections 2.5(f) 3.1, 11.5 and 11.12) allowed in such judicial proceeding; and

(b)           to collect and receive any monies or
other property payable or deliverable on any such claims and to distribute the
same;

and any custodian,
receiver, assignee, trustee, liquidator, sequestrator or other similar official
in any such judicial proceeding is hereby authorized by each Lender and the
Issuing Lender to make such payments to the Administrative Agent and, in the
event that the Administrative Agent shall consent to the making of such
payments directly to the Lenders and the Issuing Lender, to pay to the
Administrative Agent any amount due for the reasonable compensation, expenses,
disbursements and advances of the Administrative Agent and its agents and
counsel, and any other amounts due the Administrative Agent under Sections  3.1, 11.5 and 11.12.

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Nothing contained
herein shall be deemed to authorize the Administrative Agent to authorize or
consent to or accept or adopt on behalf of any Lender, or the Issuing Lender
any plan of reorganization, arrangement, adjustment or composition affecting
the obligations of the Borrower and the Subsidiary Guarantors under the Loan Documents
or the rights of any Lender or to authorize the Administrative Agent to vote in
respect of the claim of any Lender in any such proceeding.

10.12       Guaranty Matters.

The
Lenders and the Issuing Lender irrevocably authorize the Administrative Agent to
release any Subsidiary Guarantor from its obligations under the Guaranty if (i)
such Person ceases to be a Subsidiary or own any assets (other than assets of
nominal value) as a result of a transaction permitted hereunder, or (ii) the
Borrower otherwise requests such release and provides evidence satisfactory to
the Administrative Agent that after giving effect to such release the Borrower
will be in compliance with all covenants under this Agreement, including,
without limitation, the obligations under Section 7.11.

Upon
request by the Administrative Agent at any time, the Required Lenders will
confirm in writing the Administrative Agent’s authority to release any
Subsidiary Guarantor from its obligations under the Guaranty pursuant to this Section
10.12.

11.           OTHER
PROVISIONS.

                11.1         Amendments and Waivers.

With
the written consent of the Required Lenders, the Administrative Agent and the
Borrower may, from time to time, enter into written amendments, supplements or
modifications of the Loan Documents and, with the consent of the Required
Lenders, the Administrative Agent on behalf of the Lenders may execute and
deliver to any such parties a written instrument waiving or a consent to a
departure from, on such terms and conditions as the Administrative Agent may
specify in such instrument, any of the requirements of the Loan Documents or
any Default or Event of Default and its consequences; provided, however,
that no such amendment, supplement, modification, waiver or consent shall,
without the consent of all of the Lenders: 
(a) extend the Maturity Date; (b) decrease the rate, or extend the time
of payment, of interest of, or change or forgive the principal amount of, or
change the requirement that payments and prepayments of principal on, and
payments of interest on, the Notes be made pro rata to the Lenders on the basis
of the outstanding principal amount of the Loans, (c) amend the definitions of “Required
Lender”, (d) amend any provision of this Agreement or the Loan Documents which
requires the approval of all of the Lenders or the Required Lenders to require
a lesser number of Lenders to approve such action, (e) release any Subsidiary
Guarantor from its obligations under a Guaranty except as provided in Sections
8.2 or 10.12, or (f) reduce any fee payable for the account of the Lenders
pursuant to Section 3.1 or change the provisions of this Section 11.1; and
provided further that no such amendment, supplement, modification, waiver or
consent shall amend, modify, waive or consent to a departure from any provision
of Section 10 or otherwise change any of the rights or obligations of the
Administrative Agent under the Loan Documents without the written consent of
the Administrative Agent.  In addition,
no Commitment of any Lender may be increased or decreased without the approval
of such Lender except, with respect to decreases of a Lender’s Commitment, in
connection with a pro rata reduction of the Total Commitment Amount in
accordance with the terms of this Agreement. 
The Administrative Agent shall cause a copy of each written request for
such an amendment, supplement or modification delivered by the Borrower to it
to be delivered to each Lender.  Any such
amendment, supplement, modification, waiver or consent shall apply equally to
each of the Lenders and shall be binding upon the parties to the applicable
agreement, the Lenders, the Administrative Agent and all future holders of the
Notes.  In the case of any waiver, the
parties to the applicable agreement, the Lenders and the Administrative Agent
shall be restored to their former position and rights under the Loan Documents,
and any Default or Event of Default waived shall not extend to any subsequent
or other Default or Event of Default, or impair any right consequent thereon.  Notwithstanding anything contained herein to
the contrary, (i) there shall be no amendment, modification or waiver of any
provisions in the Loan Documents governing the rights and duties of any Lender
specifically with respect to Swing Loans, Competitive Advances or Letters of
Credit  without the consent of the Swing
Loan Lender, or any Lender then holding a 

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Competitive
Advance, or Issuing Lender, respectively and (ii) no Defaulting Lender shall
have the right to approve or disapprove any amendment waiver or consent
hereunder, except that the Commitment of such Lender may not be increased or
extended without the consent of such Lender.

                11.2         Notices.

       (a)           Notices
Generally.  Except in the case of
notices and other communications expressly permitted to be given by telephone
(and except as provided in subsection (b) below), all notices and other
communications provided for herein shall be in writing and shall be delivered
by hand or overnight courier service, mailed by certified or registered mail or
sent by telecopier as follows, and all notices and other communications
expressly permitted hereunder to be given by telephone shall be made to the
applicable telephone number, as follows:

(i)            if to the Borrower, the
Administrative Agent, the Issuing Lender or the Swing Loan Lender, to the address,
telecopier number, electronic mail address or telephone number specified for
such Person on Schedule 11.2; and

(ii)           if to any other Lender, to the
address, telecopier number, electronic mail address or telephone number
specified in its Administrative Questionnaire.

Notices sent by
hand or overnight courier service, or mailed by certified or registered mail,
shall be deemed to have been given when received; notices sent by telecopier
shall be deemed to have been given when sent (except that, if not given during
normal business hours for the recipient, shall be deemed to have been given at
the opening of business on the next business day for the recipient).  Notices delivered through electronic
communications to the extent provided in subsection (b) below, shall be
effective as provided in such subsection (b).

(b)           Electronic Communications.  Notices and other communications to the
Lenders and the Issuing Lender hereunder may be delivered or furnished by
electronic communication (including e-mail and Internet or intranet
websites) pursuant to procedures approved by the Administrative Agent, provided
that the foregoing shall not apply to notices to any Lender or the Issuing
Lender pursuant to Section 2 if such Lender or the Issuing Lender, as
applicable, has notified the Administrative Agent that it is incapable of
receiving notices under such Section by electronic communication.  The Administrative Agent or the Borrower may,
in its discretion, agree to accept notices and other communications to it
hereunder by electronic communications pursuant to procedures approved by it, provided
that approval of such procedures may be limited to particular notices or
communications.

Unless the
Administrative Agent otherwise prescribes, (i) notices and other
communications sent to an e-mail address shall be deemed received upon the
sender’s receipt of an acknowledgement from the intended recipient (such as by
the “return receipt requested” function, as available, return e-mail or other
written acknowledgement), provided that if such notice or other
communication is not sent during the normal business hours of the recipient,
such notice or communication shall be deemed to have been sent at the opening
of business on the next business day for the recipient, and (ii) notices or
communications posted to an Internet or intranet website shall be deemed
received upon the deemed receipt by the intended recipient at its e-mail
address as described in the foregoing clause (i) of notification that such
notice or communication is available and identifying the website address
therefor.

(c)           The Platform.  THE PLATFORM IS PROVIDED “AS IS” AND “AS
AVAILABLE.”  THE AGENT PARTIES (AS
DEFINED BELOW) DO NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE BORROWER
MATERIALS OR THE ADEQUACY OF THE PLATFORM, AND EXPRESSLY DISCLAIM LIABILITY FOR
ERRORS IN OR OMISSIONS FROM THE BORROWER MATERIALS.  NO WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR
STATUTORY, INCLUDING ANY WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR
PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR FREEDOM FROM VIRUSES OR
OTHER CODE DEFECTS, IS MADE BY ANY AGENT PARTY IN CONNECTION WITH THE BORROWER
MATERIALS OR THE PLATFORM.  In no event
shall the Administrative Agent or any of its Related Parties (collectively, the
“Agent Parties”) have any liability to the Borrower, any Lender, the Issuing
Lender or any other Person for losses, claims, damages, liabilities or expenses
of any kind (whether in tort, contract or otherwise) arising out of the
Borrower’s or the Administrative Agent’s transmission of Borrower Materials
through the Internet, except to the extent that such losses, claims, damages,
liabilities or expenses are determined by a court of competent jurisdiction by
a final and nonappealable judgment to 

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have resulted from
the gross negligence or willful misconduct of such Agent Party; provided,
however, that in no event shall any Agent Party have any liability to
the Borrower, any Lender, the Issuing Lender or any other Person for indirect,
special, incidental, consequential or punitive damages (as opposed to direct or
actual damages).

(d)           Change of Address, Etc.  Each of the Borrower, the Administrative
Agent, the Issuing Lender and the Swing Loan Lender may change its address,
electronic mail address, telecopier or telephone number for notices and other
communications hereunder by notice to the other parties hereto.  Each Lender may change its address,
electronic mail address, telecopier or telephone number for notices and other
communications hereunder by notice to the Borrower, the Administrative Agent,
the Issuing Lender and the Swing Loan Lender. 
In addition, each Lender agrees to notify the Administrative Agent from
time to time to ensure that the Administrative Agent has on record (i) an
effective address, contact name, telephone number, telecopier number and
electronic mail address to which notices and other communications may be sent
and (ii) accurate wire instructions for such Lender.

(e)           Reliance by Administrative Agent,
Issuing Lender and Lenders.  The Administrative Agent, the
Issuing Lender and the Lenders shall be entitled to rely and act upon any
notices (including telephonic Borrowing Requests) purportedly given by or on
behalf of the Borrower even if (i) such notices were not made in a manner
specified herein, were incomplete or were not preceded or followed by any other
form of notice specified herein, or (ii) the terms thereof, as understood by
the recipient, varied from any confirmation thereof.  The Borrower shall indemnify the
Administrative Agent, the Issuing Lender, each Lender and the Related Parties
of each of them from all losses, costs, expenses and liabilities resulting from
the reliance by such Person on each notice purportedly given by or on behalf of
the Borrower.  All telephonic notices to
and other telephonic communications with the Administrative Agent may be
recorded by the Administrative Agent, and each of the parties hereto hereby
consents to such recording.

                11.3         No Waiver; Cumulative Remedies.

No
failure to exercise and no delay in exercising any right, remedy, power or
privilege under any Loan Document shall operate as a waiver thereof; nor shall
any single or partial exercise of any right, remedy, power or privilege under
any Loan Document preclude any other or further exercise thereof or the exercise
of any other right, remedy, power or privilege. 
The rights, remedies, powers and privileges under the Loan Documents are
cumulative and not exclusive of any rights, remedies, powers and privileges
provided by law.

                11.4         Survival of Representations and
Warranties.

All
representations and warranties made hereunder and in any other Loan Document or
other document delivered pursuant hereto or thereto or in connection herewith
or therewith shall survive the execution and delivery hereof and thereof.  Such representations and warranties have been
or will be relied upon by the Administrative Agent and each Lender, regardless
of any investigation made by the Administrative Agent or any Lender or on their
behalf and notwithstanding that the Administrative Agent or any Lender may have
had notice or knowledge of any Default at the time of the making of any Loan,
and shall continue in full force and effect as long as any Loan or any other
obligation of the Borrower, any Subsidiary Guarantor or any of their respective
Subsidiaries or Affiliates hereunder shall remain unpaid or unsatisfied or any
Letter of Credit shall remain outstanding.

                11.5         Payment of Expenses and Taxes.

The
Borrower agrees, promptly upon presentation of a statement or invoice therefor,
and whether any Loan is made (a)to pay or reimburse Bank of America,
Administrative Agent and Bank of America in its capacity as Lead Arranger for
all of their reasonable out-of-pocket costs and expenses reasonably
incurred in connection with the development, preparation, negotiation and
execution of, the Loan Documents, the syndication of the loan transaction
evidenced by this Agreement (whether or not such syndication is completed) and
any amendment, supplement or modification hereto (whether or not executed), any
documents prepared in connection therewith and the consummation of the
transactions contemplated thereby, including, without limitation, the
reasonable fees and disbursements of Special Counsel, (b) to pay or reimburse
each Credit Party for all of its respective reasonable costs and expenses,
including, without limitation, reasonable fees and disbursements of counsel,
reasonably incurred in connection with (i) any enforcement or collection
proceedings resulting from any Event of Default (including, without limitation,
any reasonable costs incurred after the entry of judgment in an attempt to
collect money due in 

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the judgment) or
in connection with the negotiation of any restructuring or “work-out”
(whether consummated or not) of the obligations of the Borrower under any of
the Loan Documents and (ii)the enforcement of this Section, (c) to pay,
indemnify, and hold each Credit Party harmless from and against, any and all
recording and filing fees and any and all liabilities with respect to, or
resulting from any delay in paying, stamp, excise and other similar taxes, if
any, which may be payable or determined to be payable in connection with the
execution and delivery of, or consummation of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver
or consent under or in respect of, the Loan Documents and any such other
documents, and (d) to pay, indemnify and hold each Credit Party and each of
their respective officers, directors, employees, affiliates, agents, controlling
persons and attorneys (as used in this Section, each an “indemnified person”)
harmless from and against any and all other liabilities, obligations, claims,
losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind or nature whatsoever (including, without limitation,
reasonable counsel fees and disbursements) with respect to any claim,
investigation or proceeding from any third party relating to this Agreement or
the Loan Documents, including the enforcement and performance of the Loan
Documents and the use of the proceeds of the Loans (all the foregoing,
collectively, the “indemnified liabilities”), whether or not any such
indemnified person is a party to this Agreement or the Loan Documents, and to
reimburse each indemnified person for all reasonable legal and other expenses
incurred in connection with investigating or defending any indemnified
liabilities, and, if and to the extent that the foregoing indemnity may be
unenforceable for any reason, the Borrower agrees to make the maximum payment
permitted or not prohibited under applicable law; provided, however, that the
Borrower shall have no obligation hereunder to pay indemnified liabilities to
any Credit Party arising from (A) the gross negligence or willful misconduct of
such Credit Party or (B) disputes solely between the Credit Parties and which
are not related to any act or failure to act on the part of the Borrower or the
failure of the Borrower to perform any of its obligations under this Agreement
or the Loan Documents.

Notwithstanding
the foregoing, the fees and expenses referred to in clause (d) of the preceding
paragraph shall not be payable by the Borrower if (x) any such enforcement
action brought by such Credit Party is dismissed, with prejudice, on the
pleadings or pursuant to a motion made by the Borrower for summary judgment,
and (y) if such Credit Party appeals such dismissal, such dismissal is affirmed
and the time for any further appeals has expired.  The obligations of the Borrower under this
Section shall survive the termination of this Agreement and the Commitments and
the payment of the Notes and all other amounts payable under the Loan
Documents.

                11.6         Lending Offices.

Each
Lender shall have the right at any time and from time to time to transfer its
Loans to a different office, provided that such Lender shall promptly notify
the Administrative Agent and the Borrower of any such change of office.  Such office shall thereupon become such
Lender’s Domestic Lending Office or LIBOR Lending Office, as the case may be;
provided, however, that no such Lender shall be entitled to receive any greater
amount under Section 2.13, 2.14 or 2.16 as a result of a transfer of any such
Loans to a different office of such Lender than it would be entitled to
immediately prior thereto unless such claim would have arisen even if such
transfer had not occurred.

                11.7         Successors and Assigns.

(a)           Successors and Assigns Generally.  The provisions of this Agreement shall be
binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns permitted hereby, except that neither the
Borrower nor any Subsidiary Guarantor may assign or otherwise transfer any of
its rights or obligations hereunder without the prior written consent of the
Administrative Agent and each Lender and no Lender may assign or otherwise
transfer any of its rights or obligations hereunder except (i) to an Eligible
Assignee in accordance with the provisions of subsection (b) of this Section,
(ii) by way of participation in accordance with the provisions of subsection
(d) of this Section, (iii) by way of pledge, assignment or grant of a security
interest subject to the restrictions of subsection (f) of this Section or (iv)
to an SPC in accordance with the provisions of subsection (k) of this Section
(and any other attempted assignment or transfer by any party hereto shall be
null and void).  Nothing in this
Agreement, expressed or implied, shall be construed to confer upon any Person
(other than the parties hereto, their respective successors and assigns
permitted hereby, Participants to the extent provided in subsection (d) of this
Section and, to the extent expressly contemplated hereby, the Related Parties
of each of the Administrative Agent, the Issuing Lender and the Lenders) any
legal or equitable right, remedy or claim under or by reason of this Agreement.

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(b)           Assignments by Lenders.  Any Lender may at any time assign to one or
more assignees all or a portion of its rights and obligations under this
Agreement (including all or a portion of its Commitment and the Loans
(including for purposes of this subsection (b), participations in the Letter of
Credit Exposure and in Swing Line Loans) at the time owing to it); provided
that any such assignment shall be subject to the following conditions:

(i)            Minimum Amounts.

(A)          in the case of an assignment of the
entire remaining amount of the assigning Lender’s Commitment and the Loans at
the time owing to it or in the case of an assignment to a Lender, an Affiliate
of a Lender or an Approved Fund, no minimum amount need be assigned; and

(B)           in any case not described in
subsection (b)(i)(A) of this Section, the aggregate amount of the Commitment
(which for this purpose includes Loans outstanding thereunder) or, if the
Commitment is not then in effect, the principal outstanding balance of the
Loans of the assigning Lender subject to each such assignment, determined as of
the date the Assignment and Assumption with respect to such assignment is
delivered to the Administrative Agent or, if “Trade Date” is specified in the
Assignment and Assumption, as of the Trade Date, shall not be less than
$5,000,000 (or such amount plus a whole multiple
of $1,000,000 in excess thereof) unless each of
the Administrative Agent and, so long as no Event of Default has occurred and
is continuing, the Borrower otherwise consents (each such consent not to be
unreasonably withheld or delayed); provided, however, that
concurrent assignments to members of an Assignee Group and concurrent
assignments from members of an Assignee Group to a single assignee (or to an
assignee and members of its Assignee Group) will be treated as a single
assignment for purposes of determining whether such minimum amount has been
met.

(ii)           Proportionate Amounts.  Each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender’s rights and
obligations under this Agreement with respect to the Loans or the Commitment
assigned, except that this clause (ii) shall not apply to the Swing Loan Lender’s
rights and obligations in respect of Swing Line Loans;

(iii)          Required Consents.  No consent shall be required for any
assignment except to the extent required by subsection (b)(i)(B) of this
Section and, in addition:

(A)          the consent of the Borrower (such
consent not to be unreasonably withheld or delayed; provided, that the parties
hereto acknowledge and agree that the Borrower has a reasonable basis for
rejecting a proposed Lender that is a Public Lender as a result of the
potential difficulties that could arise in the connection with such Public
Lender’s participation in this Agreement, but that this provision shall not
prohibit the Borrower’s approval of such a Public Lender or the assignment of
rights and obligations hereunder to a Public Lender under circumstances where
the Borrower’s consent is not otherwise required) shall be required unless (1)
an Event of Default has occurred and is continuing at the time of such
assignment or (2) such assignment is to a Lender, an Affiliate of a Lender or
an Approved Fund;

(B)           the consent of the Administrative
Agent (such consent not to be unreasonably withheld or delayed) shall be
required if such assignment is to a Person that is not a Lender, an Affiliate
of such Lender or an Approved Fund with respect to such Lender;

(C)           the consent of the Issuing Lender
(such consent not to be unreasonably withheld or delayed) shall be required for
any assignment that increases the obligation of the assignee to participate in
exposure under one or more Letters of Credit (whether or not then outstanding);
and

(D)          the consent of the Swing Loan Lender
(such consent not to be unreasonably withheld or delayed) shall be required for
any assignment.

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(iv)          Assignment and Assumption.  The parties to each assignment shall execute
and deliver to the Administrative Agent an Assignment and Assumption, together
with a processing and recordation fee in the amount of $3,500; provided,
however, that the Administrative Agent may, in its sole discretion,
elect to waive such processing and recordation fee in the case of any
assignment.  The assignee, if it is not a
Lender, shall deliver to the Administrative Agent an Administrative
Questionnaire.

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

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

In
connection with such assignment, the assignor may assign all or any portion of
its Competitive Advance Note and the Competitive Advances at the time owing to
it, which, if so assigned, shall be assigned in such proportion as the assignor
and assignee agree, but in no event shall the assignee acquire an interest in
the Competitive Advances of the assignor of less than $5,000,000.00; provided,
however, that in the event such assignor assigns all of its Commitment, such
assignor shall assign all of its Competitive Advance Note and Competitive
Advances, if any, in connection therewith. 
In the event that a portion of a Competitive Advance is assigned to such
assignee, the Borrower shall upon the request of such assignee execute and
deliver to such assignee a Competitive Advance Note, dated the effective date
of such assignment and which shall otherwise be in substantially the form of
the Competitive Advance Notes.

Subject
to acceptance and recording thereof by the Administrative Agent pursuant to
subsection (c) of this Section, from and after the effective date specified in
each Assignment and Assumption, the assignee thereunder shall be a party to
this Agreement and, to the extent of the interest assigned by such Assignment
and Assumption, have the rights and obligations of a Lender under this
Agreement, and the assigning Lender thereunder shall, to the extent of the
interest assigned by such Assignment and Assumption, be released from its
obligations under this Agreement (and, in the case of an Assignment and
Assumption covering all of the assigning Lender’s rights and obligations under
this Agreement, such Lender shall cease to be a party hereto) but shall
continue to be entitled to the benefits of Sections 2.11, 2.13, 2.14, 11.5 and
11.12 with respect to facts and circumstances occurring prior to the effective
date of such assignment.  Upon request,
the Borrower (at its expense) shall execute and deliver a Note (i) to the
assignee Lender and (ii) to the assignor Lender if such assignment is less than
such assignor Lender’s entire commitment. 
Any assignment or transfer by a Lender of rights or obligations under
this Agreement that does not comply with this subsection shall be treated for
purposes of this Agreement as a sale by such Lender of a participation in such
rights and obligations in accordance with subsection (d) of this Section.

(c)           Register.  The Administrative Agent, acting solely for
this purpose as an agent of the Borrower, shall maintain at the Administrative
Agent’s Office a copy of each Assignment and Assumption delivered to it and a
register for the recordation of the names and addresses of the Lenders, and the
Commitments of, and principal amounts of the Loans and Letter of Credit
Exposure owing to, each Lender pursuant to the terms hereof from time to time
(the “Register”).  The entries in the
Register shall be conclusive, in the absence of manifest error, and the Borrower,
the Administrative Agent and the Lenders may treat each Person whose name is
recorded in the Register pursuant to the terms hereof as a Lender hereunder for
all purposes of this Agreement, notwithstanding notice to the contrary.  The Register shall be available for
inspection by each of the Borrower and the Issuing Lender at any reasonable
time and from time to time upon reasonable prior notice.  In addition, at any time that a request for a
consent for a material or substantive change to the Loan Documents is pending,
any Lender wishing to consult with other Lenders in connection therewith may
request and receive from the Administrative Agent a copy of the Register.

(d)           Participations.  Any Lender may at any time, without the
consent of, or notice to, the Borrower, the Administrative Agent or any other
party hereto, sell participations to any Person (other than a natural person or
the Borrower, any Subsidiary Guarantor or any of the Borrower’s or any
Subsidiary Guarantor’s Affiliates or Subsidiaries) (each, a “Participant”)
in all or a portion of such Lender’s rights and/or obligations under this
Agreement (including all or a portion of its Commitment and/or the Loans
(including such Lender’s participations and subparticipations in any Letter of
Credit Exposure and/or Swing Loans) owing to it); provided that (i) such
Lender’s obligations under this Agreement shall remain unchanged, (ii) such
Lender shall remain solely responsible 

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to the other
parties hereto for the performance of such obligations and (iii) the Borrower,
the Administrative Agent, the Lenders and the Issuing Lender shall continue to
deal solely and directly with such Lender in connection with such Lender’s
rights and obligations under this Agreement.

Any
agreement or instrument pursuant to which a Lender sells such a participation
shall provide that such Lender shall retain the sole right to enforce this
Agreement and to approve any amendment, modification or waiver of any  provision of this Agreement; provided
that such agreement or instrument may provide that such Lender will not,
without the consent of the Participant, agree to any amendment, waiver or other
modification described in the first proviso to Section 11.1 that affects such
Participant.  Subject to subsection (e)
of this Section, the Borrower agrees that each Participant shall be entitled to
the benefits of Sections 2.11, 2.13 and 2.14 to the same extent as if it were a
Lender and had acquired its interest by assignment pursuant to subsection (b)
of this Section.  To the extent permitted
by law, each Participant also shall be entitled to the benefits of Section
11.10 as though it were a Lender, provided such Participant agrees to be
subject to Sections 2.3(d) and (f) as though it were a Lender.

(e)           Limitations upon Participant
Rights.  A Participant shall not be
entitled to receive any greater payment under Section 2.11 or 2.13
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.  A Participant that would be a foreign
corporation (as referred to in Section 2.11(b)) if it were a Lender shall not
be entitled to the benefits of Section 2.11 unless the Borrower is
notified of the participation sold to such Participant and such Participant,
for the benefit of the Borrower, complies with Section 2.11(b) as though
it were a Lender.

(f)            Certain Pledges.  Any Lender may at any time pledge or assign a
security interest in all or any portion of its rights under this Agreement
(including under its Note) to secure obligations of such Lender, including any
pledge or assignment to secure obligations to a Federal Reserve Bank; provided
that no such pledge or assignment shall release such Lender from any of its
obligations hereunder or substitute any such pledgee or assignee for such
Lender as a party hereto.

(g)           Electronic Execution of
Assignments.  The words “execution,” “signed,”
“signature,” and words of like import in any Assignment and Assumption shall be
deemed to include electronic signatures or the keeping of records in electronic
form, each of which shall be of the same legal effect, validity or
enforceability as a manually executed signature or the use of a paper-based
recordkeeping system, as the case may be, to the extent and as provided for in
any applicable law, including the Federal Electronic Signatures in Global and
National Commerce Act, the New York State Electronic Signatures and Records
Act, or any other similar state laws based on the Uniform Electronic
Transactions Act.

(h)           Resignation as Issuing Lender or
Swing Loan Lender after Assignment. 
Notwithstanding anything to the contrary contained herein, if at any
time Bank of America assigns all of its Commitment and Loans pursuant to
subsection (b) above, Bank of America may, (i) upon 30 days’ notice to the
Borrower and the Lenders, resign as Issuing Lender and/or (ii) upon 30 days’
notice to the Borrower, resign as Swing Loan Lender.  In the event of any such resignation as
Issuing Lender or Swing Loan Lender, the Borrower shall be entitled to appoint
from among the Lenders a successor Issuing Lender or Swing Loan Lender
hereunder subject to the acceptance of such appointed Lender in writing,
provided, however, in the event that no Lender shall agree to accept such
appointment, then the Person serving as Administrative Agent following such
assignment by Bank of America shall serve as the Issuing Lender and/or Swing
Lender; provided  further, however, that no failure by the
Borrower to appoint, or Administrative Agent to accept, any such successor
shall affect the resignation of Bank of America as Issuing Lender or Swing Loan
Lender, as the case may be.  If Bank of
America resigns as Issuing Lender, it shall retain all the rights and
obligations of the Issuing Lender hereunder with respect to all Letters of
Credit outstanding as of the effective date of its resignation as Issuing
Lender and all Letters of Credit Exposure with respect thereto (including the right
to require the Lenders to make Prime Rate Loans or fund risk participations or
subparticipations in unreimbursed amounts pursuant to Sections 2.5(g)
and 2.5(h)).  If Bank of America
resigns as Swing Loan Lender, it shall retain all the rights of the Swing Loan
Lender provided for hereunder with respect to Swing Loans made by it and
outstanding as of the effective date of such resignation, including the right
to require the Lenders to make Prime Rate Loans or fund risk participations in
outstanding Swing Loans pursuant to Sections 2.1(A)(d) and 2.1(A)(e).

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(i)            Resignation by Administrative
Agent.  In the event that any Lender
acting as Administrative Agent or any successor Lender acting as Administrative
Agent shall at any time hold a Commitment of less than $10,000,000.00, then
such Administrative Agent shall promptly provide written notice thereof to the
Lenders, and the Required Lenders shall have the right, to be exercised within
fifteen (15) days of delivery of such notice by such Administrative Agent, to
elect to remove such Administrative Agent as Administrative Agent and replace
such Administrative Agent under the Loan Documents, subject to the terms of
Section 10.8 (including, without limitation, the consultation with, and
approval from, the Borrower, to the extent required under Section 10.8.

(j)            Resignation by other Agents.  In the event that a Lender that is also a
Co-Syndication Agent, Co-Documentation Agent, Joint Lead Arranger or Book
Manager assigns all of its Commitment, contemporaneously with the effectiveness
of such assignment, such Lender shall no longer serve in such capacity as
Co-Syndication Agent, Co-Documentation Agent, Joint Lead Arranger or Book
Manager, as applicable.

(k)           Special Purpose Funding Vehicles.  Notwithstanding anything to the contrary
contained herein, any Lender (a “Granting Lender”) may grant to a special
purpose funding vehicle identified as such in writing from time to time by such
Granting Lender to the Administrative Agent and the Borrower (an “SPC”) the
option to provide all or any part of any Loan that such Granting Lender would
otherwise be obligated to make pursuant to this Agreement; provided that
(i) nothing herein shall constitute a commitment by any SPC to fund any Loan,
and (ii) if an SPC elects not to exercise such option or otherwise fails to
make all or any part of such Loan, such Granting Lender shall be obligated to
make such Loan pursuant to the terms hereof or, if it fails to do so, to make
such payment to the Administrative Agent as is required pursuant to the terms
of this Agreement.  Each party hereto
hereby agrees that (i) neither the grant to any SPC nor the exercise by any SPC
of such option shall increase the costs or expenses or otherwise increase or
change the obligations of the Borrower under this Agreement (including its
obligations under Section 2.11 or 2.13), (ii) no SPC shall be liable for any
indemnity or similar payment obligation under this Agreement for which a Lender
would be liable, and (iii) a Granting Lender shall for all purposes, including
the approval of any amendment, waiver or other modification of any provision of
any Loan Document, remain the lender of record hereunder.  The making of a Loan by an SPC hereunder
shall utilize the Commitment of the applicable Granting Lender to the same
extent, and as if, such Loan were made by such Granting Lender.  In furtherance of the foregoing, each party
hereto hereby agrees (which agreement shall survive the termination of this
Agreement) that, prior to the date that is one year and one day after the
payment in full of all outstanding commercial paper or other senior debt of any
SPC, it will not institute against, or join any other Person in instituting
against, such SPC any bankruptcy, reorganization, arrangement, insolvency, or
liquidation proceeding under the laws of the United States or any State
thereof.  Notwithstanding anything to the
contrary contained herein, any SPC may (i) with notice to, but without prior
consent of, the Borrower and the Administrative Agent and with the payment of a
processing fee in the amount of $2,500, assign all or any portion of its right
to receive payment with respect to any Loan to the applicable Granting Lender
and (ii) disclose on a confidential basis any non-public information relating
to its funding of Loans to any rating agency, commercial paper dealer or
provider of any surety or Guarantee or credit or liquidity enhancement to such
SPC.

                11.8         [Intentionally Omitted].

                11.9         Counterparts; Integration;
Effectiveness.

This
Agreement may be executed in counterparts (and by different parties hereto in
different counterparts), each of which shall constitute an original, but all of
which when taken together shall constitute a single contract.  This Agreement and the other Loan Documents
constitute the entire contract among the parties relating to the subject matter
hereof and supersede any and all previous agreements and understandings, oral
or written, relating to the subject matter hereof.  Except as provided in Article V, this
Agreement shall become effective when it shall have been executed by the
Administrative Agent and when the Administrative Agent shall have received
counterparts hereof that, when taken together, bear the signatures of each of
the other parties hereto.  Delivery of an
executed counterpart of a signature page of this Agreement by telecopy shall be
effective as delivery of a manually executed counterpart of this
Agreement.  A telecopied counterpart of
any Loan Document or to any document evidencing, and of any an amendment,
modification, consent or waiver to or of any Loan Document shall be deemed to
be an originally executed counterpart.  A
set of the copies of the Loan Documents signed by all the parties thereto shall
be deposited with each of the Borrower and the Administrative Agent.  Any party to a Loan Document may rely upon
the signatures of any other party thereto which are transmitted by telecopier
or other electronic means to the same extent as if originally signed.

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                11.10       Adjustments;
Set-off.

(a)           If any Lender, including Swing Loan
Lender (a “Benefited Lender”), shall at any time receive any payment of all or
any part of its Loans or participation or subparticipation in payments made by
the Issuing Lender pursuant to a Letter of Credit or Swing Loans, or interest
thereon, or receive any collateral in respect thereof (whether voluntarily or
involuntarily, by set-off, pursuant to events or proceedings of the
nature referred to in Section 9.1(h) or (i), or otherwise) in a greater
proportion than any such payment to and collateral received by any other Lender
in respect of such other Lender’s Loans or participation or subparticipation in
payments made by the Issuing Lender pursuant to a Letter of Credit or Swing
Loans, or interest thereon, such Benefited Lender shall purchase for cash from
each of the other Lenders such portion of each such other Lender’s Loans and
participation and subparticipation in payments made by the Issuing Lender
pursuant to a Letter of Credit or Swing Loans, and shall provide each of such
other Lenders with the benefits of any such collateral, or the proceeds
thereof, as shall be necessary to cause such Benefited Lender to share the
excess payment or benefits of such collateral or proceeds ratably with each of
the Lenders, provided, however, that if all or any portion of such excess
payment or benefits is thereafter recovered from such Benefited Lender, such
purchase shall be rescinded, and the purchase price and benefits returned, to
the extent of such recovery, but without interest.  The Borrower agrees that each Lender so
purchasing a portion of another Lender’s Loans or participations or
subparticipations in payments by the Issuing Lender pursuant to a Letter of
Credit or Swing Loans may exercise all rights of payment (including, without
limitation, rights of set-off, to the extent not prohibited by law) with
respect to such portion as fully as if such Lender were the direct holder of
such portion.

(b)           In addition to any rights and
remedies of the Lenders provided by law, upon the occurrence of an Event of Default
and the acceleration of the obligations owing in connection with the Loan
Documents, or at any time upon the occurrence and during the continuance of an
Event of Default under Section 9.1(a) or (b), each Lender shall have the right,
without prior notice to the Borrower, any such notice being expressly waived by
the Borrower to the extent not prohibited by applicable law, to set-off
and apply against any indebtedness, whether matured or unmatured, of the
Borrower to such Lender, any amount owing from such Lender to the Borrower, at,
or at any time after, the happening of any of the above-mentioned
events.  To the extent not prohibited by
applicable law, the aforesaid right of set-off may be exercised by such
Lender against the Borrower or against any trustee in bankruptcy, custodian,
debtor in possession, assignee for the benefit of creditors, receiver, or
execution, judgment or attachment creditor of the Borrower, or against anyone
else claiming through or against the Borrower or such trustee in bankruptcy,
custodian, debtor in possession, assignee for the benefit of creditors,
receivers, or execution, judgment or attachment creditor, notwithstanding the
fact that such right of set-off shall not have been exercised by such
Lender prior to the making, filing or issuance, or service upon such Lender of,
or of notice of, any such petition, assignment for the benefit of creditors,
appointment or application for the appointment of a receiver, or issuance of
execution, subpoena, order or warrant. 
Each Lender agrees promptly to notify the Borrower and the
Administrative Agent after any such set-off and application made by such
Lender, provided that the failure to give such notice shall not affect the
validity of such set-off and application.

                11.11       Lenders’ Representations.

Each
Lender represents to the Administrative Agent that, in acquiring its Note, it
is acquiring the same for its own account for the purpose of investment and not
with a view to selling the same in connection with any distribution thereof,
provided that the disposition of each Lender’s own Property shall at all times
be and remain within its control.

                11.12       Indemnity.

The
Borrower agrees to indemnify and hold harmless each Credit Party and its
affiliates, directors, officers, employees, affiliates, agents, controlling
persons and attorneys (each an “Indemnified Person”) from and against
any loss, reasonable cost, liability, damage or reasonable expense (including
the reasonable fees and disbursements of counsel of such Indemnified Person,
including all local counsel hired by any such counsel) incurred by such
Indemnified Person in investigating, preparing for, defending against, or
providing evidence, producing documents 

 82
 

 

or taking any
other action in respect of, any commenced or threatened litigation,
administrative proceeding or investigation under any federal securities or tax
laws or any other statute of any jurisdiction, or any regulation, or at common
law or otherwise, which is alleged to arise out of or is based upon:  (a) any untrue statement of any material fact
by the Borrower in any document or schedule executed or filed with any
Governmental Authority by or on behalf of the Borrower; (b) any omission to
state any material fact required to be stated in such document or schedule, or
necessary to make the statements made therein, in light of the circumstances
under which made, not misleading; or (c) any acts, practices or omissions of
the Borrower or its agents relating to the use of the proceeds of any or all
borrowings made by the Borrower which are alleged to be in violation of Section
2.15, or in violation of any federal securities or tax laws or of any other
statute, regulation or other law of any jurisdiction applicable thereto,
whether or not such Indemnified Person is a party thereto.  The indemnity set forth herein shall be in
addition to any other obligations, liabilities or other indemnifications of the
Borrower to each Indemnified Person under the Loan Documents or at common law
or otherwise, and shall survive any termination of the Loan Documents, the
expiration of the Commitments and the payment of all indebtedness of the
Borrower under the Loan Documents, provided that the Borrower shall have no
obligation under this Section to an Indemnified Person with respect to any of
the foregoing to the extent found in a final judgment of a court having
jurisdiction to have resulted from the gross negligence or willful misconduct
of such Indemnified Person or arising solely from claims between one such
Indemnified Person and another such Indemnified Person.

                11.13       Governing Law.

The
Loan Documents and the rights and obligations of the parties thereunder shall
be governed by, and construed and interpreted in accordance with, the internal
laws of the State of New York, without regard to principles of conflict of
laws.

                11.14       Headings Descriptive.

Section
headings have been inserted in the Loan Documents for convenience only and
shall not be construed to be a part thereof.

                11.15       Severability.

If
any provision of this Agreement or the other Loan Documents is held to be
illegal, invalid or unenforceable, (a) the legality, validity and
enforceability of the remaining provisions of this Agreement and the other Loan
Documents shall not be affected or impaired thereby and (b) the parties shall
endeavor in good faith negotiations to replace the illegal, invalid or
unenforceable provisions with valid provisions the economic effect of which
comes as close as possible to that of the illegal, invalid or unenforceable
provisions.  The invalidity of a provision
in a particular jurisdiction shall not invalidate or render unenforceable such
provision in any other jurisdiction.

                11.16       Confidential Information.

Each
of the Administrative Agent, the Lenders, the Swing Loan Lender and the Issuing
Lender agrees to maintain the confidentiality of the Information (as defined
below), except that Information may be disclosed (a) to its and its Affiliates’
directors, officers, employees and agents, including accountants, legal counsel
and other advisors (it being understood that the Persons to whom such
disclosure is made will be informed of the confidential nature of such
Information and must agree (or, by acceptance of such materials, be deemed to
have agreed) to keep such Information confidential); (b) to the extent requested
by any regulatory authority; (c) to the extent required by applicable laws or
regulations or by any subpoena or similar legal process; (d) to any other party
to this Agreement that is not a Public Lender; (e) in connection with the
exercise of any remedies hereunder or any suit, action or proceeding relating
to this Agreement or the enforcement of rights hereunder; (f) subject to an
agreement containing provisions substantially the same as those of this
Section, to (i) any assignee of or Participant in, or any prospective assignee
of or Participant in, any of its right or obligations under this Agreement or
(ii) any direct or indirect contractual counterparty or prospective contractual
counterparty (or such contractual counterparty’s or prospective contractual
counterparty’s professional advisor) to any credit derivative transaction
relating to obligations of the Borrower or its Subsidiaries; (g) with the
consent of the Borrower; (h) to the extent such Information (i) becomes
publicly available other than as a result of a breach of this Section (or an
agreement executed pursuant to this 

 83
 

 

Section) or (ii)
becomes available to the Administrative Agent, any of the Lenders, the Swing
Loan Lender or the Issuing Lender on a nonconfidential basis from a source
other than the Borrower or its Subsidiaries; or (i) to the National Association
of Insurance Commissioners or any other similar organization or any nationally
recognized rating agency that requires access to information about a Lender’s
or its Affiliates’ investment portfolio in connection with ratings issued with
respect to such Lender or its Affiliates. 
In addition, the Administrative Agent, any of the Lenders, the Swing
Loan Lender or the Issuing Lender may disclose the existence of this Agreement
and information about this Agreement to market date collectors, similar service
providers to the lending industry, and service providers to the Administrative
Agent, any of the Lenders, the Swing Loan Lender or the Issuing Lender in
connection with the administration and management of this Agreement, the other
Loan Documents and the Commitments.  For
purposes of this Section, “Information” means all information received from the
Borrower or any Subsidiary relating to the Borrower or any Subsidiary or any of
their respective businesses, other than any such information that is available
to the Administrative Agent, any Lender, the Swing Loan Lender or the Issuing
Lender on a nonconfidential basis prior to disclosure by the Borrower or any
Subsidiary.  Any Person required to
maintain the confidentiality of Information as provided in this
Section shall be considered to have complied with its obligation to do so
if such Person has exercised the same degree of care to maintain the
confidentiality of such Information as such Person would accord to its own
confidential information.

                11.17       Consent to Jurisdiction.

The
Borrower and each of the Credit Parties hereby irrevocably submit to the
jurisdiction of any New York State or Federal court sitting in the City of New
York over any suit, action or proceeding arising out of or relating to the Loan
Documents.  The Borrower and each of the
Credit Parties hereby irrevocably waive, to the fullest extent permitted or not
prohibited by law, any objection which any of them may now or hereafter have to
the laying of the venue of any such suit, action or proceeding brought in such
a court and any claim that any such suit, action or proceeding brought in such
a court has been brought in an inconvenient forum.  The parties intend that Section 5-1402 of the
New York General Obligations Law shall apply to this Section 11.17.

                11.18       Service of Process.

The
Borrower hereby agrees that process may be served against it in any suit,
action or proceeding referred to in Section 11.17 by sending the same by first
class mail, return receipt requested or by overnight courier service, to the
address of the Borrower specified pursuant to Section 11.2 or in the applicable
Loan Document executed by the Borrower. 
The Borrower hereby agrees that any such service (i) shall be deemed in
every respect effective service of process upon it in any such suit, action, or
proceeding, and (ii) shall to the fullest extent enforceable by law, be taken
and held to be valid personal service upon and personal delivery to it.

                11.19       No Limitation on Service or Suit.

Nothing
in the Loan Documents or any modification, waiver, consent or amendment thereto
shall affect the right of the Administrative Agent or any Lender to serve
process in any manner permitted by law or limit the right of the Administrative
Agent or any Lender to bring proceedings against the Borrower in the courts of
any jurisdiction or jurisdictions in which the Borrower may be served.

                11.20       WAIVER OF TRIAL BY JURY.

THE
ADMINISTRATIVE AGENT, THE LENDERS AND THE BORROWER HEREBY KNOWINGLY,
VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT ANY OF THEM MAY HAVE TO A TRIAL
BY JURY IN RESPECT OF ANY LITIGATION ARISING OUT OF, UNDER OR IN CONNECTION
WITH THE LOAN DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED THEREIN.  FURTHER, THE BORROWER HEREBY CERTIFIES THAT
NO REPRESENTATIVE OR AGENT OF THE ADMINISTRATIVE AGENT, THE LENDERS, OR COUNSEL
TO THE ADMINISTRATIVE AGENT OR THE LENDERS, HAS REPRESENTED, EXPRESSLY OR
OTHERWISE, THAT THE ADMINISTRATIVE AGENT OR THE LENDERS WOULD NOT, IN THE EVENT
OF SUCH LITIGATION, SEEK TO ENFORCE THIS WAIVER OF RIGHT TO JURY TRIAL
PROVISION.  THE BORROWER ACKNOWLEDGES
THAT THE ADMINISTRATIVE AGENT AND THE LENDERS HAVE BEEN INDUCED TO ENTER INTO
THIS AGREEMENT BY, INTER ALIA, THE PROVISIONS OF THIS SECTION.

 84
 

 

                11.21       Termination.

After
the termination of this Agreement in accordance with its terms, without any
extension thereof, and the payment in full of all obligations of the Borrower
under the Loan Documents (including without limitation, all principal,
interest, Facility Fees and other amounts payable hereunder and under the
Notes), the obligations of the Borrower hereunder (other than those which are
stated herein to survive any termination of this Agreement) shall terminate,
except that the foregoing shall not apply with respect to any claim, action or
proceeding made or brought under any other provision of the Loan Documents
prior to such termination or payment.  At
the request of the Borrower, each Lender whose obligations under the Notes have
been fully paid shall promptly return to the Borrower its Note marked “paid” or
shall deliver other evidence that such Lender has received full payment of such
obligations or, in the case of any Lender that is not able to return such Note,
such Lender shall deliver a lost note affidavit and confirmation of payment
with respect to such Note in form and substance reasonably acceptable to the
Borrower.

                11.22       Replacement Notes.

Upon
receipt of evidence reasonably satisfactory to the Borrower of the loss, theft,
destruction or mutilation of any Note, and in the case of any such loss, theft
or destruction, upon delivery by the relevant Lender of an indemnity agreement
reasonably satisfactory to the Borrower or, in the case of any such mutilation,
upon surrender and cancellation of the applicable Note, the Borrower will
execute and deliver, in lieu thereof, a replacement Note, identical in form and
substance to the applicable Note and dated as of the date of the applicable
Note and upon such execution and delivery all references in the Loan Documents
to such Note shall be deemed to refer to such replacement Note.

11.23       USA PATRIOT Act Notice.

Each
Lender that is subject to the Act (as hereinafter defined) and the
Administrative Agent (for itself and not on behalf of any Lender) hereby
notifies the Borrower that pursuant to the requirements of the USA Patriot Act
(Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Act”),
it is required to obtain, verify and record information that identifies the Borrower,
which information includes the name and address of the Borrower and other
information that will allow such Lender or the Administrative Agent, as
applicable, to identify the Borrower in accordance with the Act.

11.24       Replacement of Lenders.

If
any Lender requests compensation under Section 2.13, or if the Borrower is
required to pay any additional amount to any Lender or any Governmental
Authority for the account of any Lender pursuant to Section 2.11, or if any
Lender is a Defaulting Lender or in the case of a refusal by a Lender to
consent to a proposed change, waiver, discharge or termination with respect to
this Agreement or any other Loan Document that has been approved by the
Required Lenders (as determined prior to any removal of such Lender in
connection with this Section 11.24), then the Borrower may, at its sole expense
and effort, upon notice to such Lender and the Administrative Agent, require
such Lender to assign and delegate, without recourse (in accordance with and
subject to the restrictions and other requirements contained in, and consents
required by, Section 11.7), all of its interests, rights and obligations under
this Agreement and the related Loan Documents to an assignee that shall assume
such obligations (which assignee may be, but is not required to be, another
Lender, if a Lender accepts such assignment), provided that:

(a)           the Borrower shall have paid to the
Administrative Agent the assignment fee specified in Section 11.7;

(b)           such Lender shall have received
payment of an amount equal to the outstanding principal of its Loans, accrued
interest thereon, accrued fees and all other amounts payable to it hereunder
and under the other Loan Documents (including any amounts under Section 2.14)
from the assignee (to the extent of such outstanding principal and accrued
interest and fees) or the Borrower (in the case of all other amounts);

 85
 

 

(c)           in the case of any such assignment
resulting from a claim for compensation under Section 2.13 or payments required
to be made pursuant to Section 2.11, such assignment will result in a reduction
in such compensation or payments thereafter;

(d)           such assignment does not conflict
with applicable Laws; and

(e)           from and after the effective date of
such assignment the assigning Lender shall be released from its obligations
under this Agreement (and shall cease to be a party hereto) but shall continue
to be entitled to the benefits of Sections 2.11, 2.13, 2.14, 11.5 and 11.12
with respect to facts and circumstances occurring prior to the effective date of
such assignment.

A
Lender shall not be required to make any such assignment or delegation if,
prior thereto, as a result of a waiver by such Lender or otherwise, the
circumstances entitling the Borrower to require such assignment and delegation
cease to apply.

11.25       No Advisory or Fiduciary Relationships.

In
connection with all aspects of each transaction contemplated hereby, each of
the Borrower and each Subsidiary Guarantor acknowledges and agrees, and acknowledges its Affiliates’
understanding (to the extent of Borrower’s or such Subsidiary Guarantor’s
interest in such Affiliates), that: (a) the credit facility provided for hereunder and
any related arranging or other services in connection therewith (including in
connection with any amendment, waiver or other modification hereof or of any
other Loan Document) are an arm’s-length commercial transaction between the
Borrower, each Subsidiary
Guarantor and their respective
Affiliates, on the one hand, and the Administrative Agent, the Lenders and BAS, on the other hand, and each
of the Borrower and each
Subsidiary Guarantor is capable of evaluating and understanding and understands
and accepts the terms, risks and conditions of the transactions contemplated
hereby and by the other Loan Documents (including any amendment, waiver or
other modification hereof or thereof); (b) in connection with the process
leading to such transaction, the Administrative Agent, each Lender and BAS each is and has been acting
solely as a principal and is not the financial advisor, agent or fiduciary, for
the Borrower, any Subsidiary Guarantor
or any of their respective
Affiliates, stockholders, creditors or employees or any other Person; (c)
neither the Administrative Agent nor any Lender nor BAS has assumed or will assume an advisory, agency or
fiduciary responsibility in favor of the Borrower or any Subsidiary Guarantor with respect to any of the
transactions contemplated hereby or the process leading thereto, including with
respect to any amendment, waiver or other modification hereof or of any other
Loan Document (irrespective of whether the Administrative Agent, any Lender or BAS has advised or is currently
advising the Borrower, any Subsidiary
Guarantor or any of their
respective Affiliates on other matters) and neither the Administrative
Agent nor any Lender nor BAS has
any obligation to the Borrower, any
Subsidiary Guarantor or any of their
respective Affiliates with respect to the transactions contemplated
hereby except those obligations expressly set forth herein and in the other
Loan Documents; (d) the Administrative Agent, the Lenders and BAS and their respective
Affiliates may be engaged in a broad range of transactions that involve
interests that differ from those of the Borrower, the Subsidiary Guarantors and their respective Affiliates, and neither the Administrative Agent
nor any Lender nor BAS has any
obligation to disclose any of such interests by virtue of any advisory, agency
or fiduciary relationship; and (e) the Administrative Agent, the Lenders and BAS have not provided and will not
provide any legal, accounting, regulatory or tax advice with respect to any of
the transactions contemplated hereby (including any amendment, waiver or other
modification hereof or of any other Loan Document) and each of the Borrower and each of the Subsidiary Guarantors
has consulted its own legal, accounting, regulatory and tax advisors to the
extent it has deemed appropriate.  Each of the Borrower and each of the Subsidiary Guarantors
hereby waives and releases, to the fullest extent permitted by law, any claims
that it may have against the Administrative Agent, the Lenders and BAS with respect to any breach or
alleged breach of agency or fiduciary duty.

[SIGNATURES
COMMENCE ON FOLLOWING PAGE]

 

 86

 

 

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

	
  

  	
  NEW PLAN EXCEL REALTY TRUST, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ John B. Roche

  
	
   

  	
   

  	
  John B. Roche,

  
	
   

  	
   

  	
  Chief Financial Officer

  

 

 

 87
 

 

 

	
  

  	
  BANK OF AMERICA, N.A., a national banking
  association, individually and as Administrative Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Mark A. Mokelke

  
	
   

  	
  Name: 

  	
  Mark A. Mokelke

  
	
   

  	
  Title:

  	
  Vice President

  

 

Bank of America, N.A.

Agency Management

One Independence Center

101 N. Tryon Street

Charlotte, NC  28255-0001

Attention:  Anne-Brooke Lazorik

Telecopy:  (704) 409-0632

and

Bank of America,
N.A.

231 South LaSalle Street, 10th Floor

Chicago, Illinois 60697

Attn:  Mark A. Mokelke

Telecopy:  (312) 974-4970

 88
 

 

 

	
  

  	
   

  	
  THE BANK OF NEW YORK,
  individually and as 

  
	
   

  	
   

  	
  Co-Syndication Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ David V. Fowler

  
	
   

  	
   

  	
  Name:

  	
   

  	
  David V. Fowler

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Managing Director

  

 

 89
 

 

 

	
  

  	
   

  	
  KEYBANK NATIONAL ASSOCIATION,
  a national banking 

  
	
   

  	
   

  	
  association, individually and as Co-Syndication
  Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Daniel P. Stegemoeller

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Daniel P. Stegemoeller

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Sr. Banker

  

 

 90
 

 

 

	
  

  	
   

  	
  JPMORGAN CHASE, N.A., individually
  and as 

  
	
   

  	
   

  	
  Co-Documentation Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Marc E. Costantino

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Marc E. Costantino

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 91
 

 

 

	
  

  	
   

  	
  SUNTRUST BANK, individually
  and as Co-Documentation Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Nancy B. Richards

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Nancy B. Richards

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Senior Vice President

  

 

 92
 

 

 

	
  

  	
   

  	
  CITICORP NORTH AMERICA, INC.,
  individually and as 

  
	
   

  	
   

  	
  Co-Documentation Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Malav Kakad

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Malav Kakad

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 93
 

 

 

	
  

  	
   

  	
  WACHOVIA BANK, NATIONAL
  ASSOCIATION, 

  
	
   

  	
   

  	
  individually and as
  Co-Documentation Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Cynthia A. Bean

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Cynthia A. Bean

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 94
 

 

 

	
  

  	
   

  	
  WELLS FARGO BANK NATIONAL
  ASSOCIATION, 

  
	
   

  	
   

  	
  individually and as Co-Documentation Agent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ William Jordan

  
	
   

  	
   

  	
  Name:

  	
   

  	
  William Jordan

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 95
 

 

 

	
  

  	
   

  	
  CITIZENS BANK OF RHODE ISLAND

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Craig E. Schermerhorn

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Craig E. Schermerhorn

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 96
 

 

 

	
  

  	
   

  	
  US BANK NATIONAL ASSOCIATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Joann St. Peter

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Joann St. Peter

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 97
 

 

 

	
  

  	
   

  	
  THE GOVERNOR AND COMPANY OF THE
  BANK OF IRELAND

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Frank Schmitt

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Frank Schmitt

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Authorized Signatory

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Aoife M. Quinn

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Aoife M. Quinn

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Authorized Signatory

  

 

 98
 

 

 

	
  

  	
   

  	
  UBS LOAN FINANCE LLC

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Richard L. Tavrow

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Richard L. Tavrow

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Director

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Irja R. Otsa

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Irja R. Otsa

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Associate Director

  

 

 99
 

 

 

	
  

  	
   

  	
  PNC BANK, NATIONAL ASSOCIATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Brian P. Kelly

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Brian P. Kelly

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 100
 

 

 

	
  

  	
   

  	
  SUMITOMO MITSUI BANKING CORPORATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Masakazu Hasegawa

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Masakazu Hasegawa

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Joint General Manager

  

 

 101
 

 

 

	
  

  	
   

  	
  CHANG HWA COMMERCIAL BANK, LTD., 

  
	
   

  	
   

  	
  NEW YORK BRANCH

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Karl Yang

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Karl Yang

  
	
   

  	
   

  	
  Title:

  	
   

  	
  AVP & AGM

  

 

 102
 

 

 

	
  

  	
   

  	
  CHEVY CHASE BANK, FSB

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Sadhvi K. Subramanian

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Sadhvi K. Subramanian

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Group Vice President

  

 

 103
 

 

 

	
  

  	
   

  	
  MIZUHO CORPORATE BANK (USA)

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Makoto Murata

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Makoto Murata

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Deputy General Manager

  

 

 104
 

 

 

	
  

  	
   

  	
  PEOPLE’S BANK

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Anne Kuchinski

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Anne Kuchinski

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 105
 

 

 

	
  

  	
   

  	
  EMIGRANT BANK

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Russell Wyman

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Russell Wyman

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 106
 

 

 

	
  

  	
   

  	
  FIRST COMMERCIAL BANK NEW YORK AGENCY

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Bruce Ju

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Bruce Ju

  
	
   

  	
   

  	
  Title:

  	
   

  	
  VP & General Manager

  

 

 107
 

 

 

	
  

  	
   

  	
  FIRST HORIZON BANK, A DIVISION OF
  FIRST 

  
	
   

  	
   

  	
  TENNESSEE BANK, N.A.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Kenneth W. Rub

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Kenneth W. Rub

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 108
 

 

 

	
  

  	
   

  	
  THE NORTHERN
  TRUST COMPANY

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Robert W. Wiarda

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Robert W. Wiarda

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Vice President

  

 

 109Exhibit
10.2

SECOND AMENDED AND RESTATED GUARANTY

Re: Second Amended
and Restated Revolving Credit Agreement

SECOND AMENDED AND RESTATED GUARANTY (as the same may
be amended, supplemented or otherwise modified from time to time, this “Guaranty”), dated as of August 25,
2006, by and among each of the Subsidiaries listed on Schedule I hereto
(collectively, the “Subsidiary Guarantors”) and
BANK OF AMERICA, N.A., as administrative agent 
(in such capacity, the “Administrative Agent”)
on behalf of the Lenders under and as defined in the Loan Agreement
(hereinafter defined).

RECITALS

(A)          Reference
is made to that certain First Amended and Restated Revolving Credit Agreement,
dated as of June 29, 2004 by and among New Plan Excel Realty Trust, Inc., a
Maryland corporation (the “Borrower”),
the Lenders party thereto, and the Administrative Agent (as the same may have
been previously amended, supplemented or otherwise modified from time to time,
the “Replaced Loan Agreement”).

(B)           Borrower,
the Lenders and the Administrative Agent have entered into that certain Second
Amended and Restated Revolving Credit Agreement, dated as of August 25, 2006,
(as the same may be amended, supplemented or otherwise modified from time to
time, the “Loan Agreement”).

(C)           In
connection with the execution and delivery of the Loan Agreement, the
Subsidiary Guarantors and the Administrative Agent desire to amend and restate
in its entirety that certain First Amended and Restated Guaranty dated as of
June 29, 2004 by certain of the Subsidiary Guarantors in favor of the
Administrative Agent for the benefit of the Lenders under the Replaced Loan
Agreement and each other Guaranty executed by any Subsidiary Guarantor since
June 29, 2004 pursuant to Section 7.11 of the Replaced Loan Agreement, in each
case to the extent the applicable Subsidiary Guarantor(s) have not been
released prior to the date hereof pursuant to the terms and conditions of the
Replaced Loan Agreement (collectively, the “Replaced
Guaranties”).

(D)          The
Administrative Agent and Lenders have made it a condition precedent to the
effectiveness of the Loan Agreement that each Subsidiary Guarantor execute and
deliver this Guaranty.

(E)           Each
Subsidiary Guarantor expects to continue to derive substantial benefit from the
Loan Agreement and the transactions contemplated thereby and, in furtherance
thereof, has agreed to execute and deliver this Guaranty.

Therefore, in consideration of the Recitals, the terms
and conditions herein contained and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, each of the
Subsidiary Guarantors and the Administrative Agent hereby covenant and agree as
follows:

1.             Defined Terms

(a)           Capitalized terms used herein which
are not otherwise defined herein shall have the respective meanings ascribed
thereto in the Loan Agreement.

(b)           When used in this Guaranty, the
following capitalized terms shall have the respective meanings ascribed thereto
as follows:

“Borrower Obligations”
means all present and future obligations and liabilities, whether deemed
principal, interest, additional interest, fees, expenses or otherwise of the
Borrower to the Administrative Agent and the Lenders, including, without
limitation, all obligations under (i) the Loan Agreement, (ii) the Notes, and
(iii) all other Loan Documents.

“Guarantor Obligations” means,
with respect to each Subsidiary Guarantor, all of the obligations and
liabilities of such Subsidiary Guarantor hereunder, whether fixed, contingent,
now existing or hereafter arising, created, assumed, incurred or acquired.

 1
 

 

2.             Guarantee

(a)           Subject to Section 2(b), each
Subsidiary Guarantor hereby absolutely, irrevocably and unconditionally
guarantees the full and prompt payment when due (whether at stated maturity, by
acceleration or otherwise) of the Borrower Obligations.  The agreements of each Subsidiary Guarantor
in this Guaranty constitute a guarantee of payment, and no Credit Party shall
have any obligation to enforce any Loan Document or exercise any right or
remedy with respect to any collateral security thereunder by any action,
including making or perfecting any claim against any Person or any collateral
security for any of the Borrower Obligations prior to being entitled to the
benefits of this Guaranty.  The
Administrative Agent may, at its option, proceed against the Subsidiary
Guarantors, or any one or more of them, in the first instance, to enforce the
Guarantor Obligations without first proceeding against the Borrower or any
other Person, and without first resorting to any other rights or remedies, as
the Administrative Agent may deem advisable. 
In furtherance hereof, if any Credit Party is prevented by law from
collecting or otherwise hindered from collecting or otherwise enforcing any Borrower
Obligation in accordance with its terms, such Credit Party shall be entitled to
receive hereunder from the Subsidiary Guarantors after demand therefor, the
sums which would have been otherwise due had such collection or enforcement not
been prevented or hindered.

(b)           Notwithstanding anything to the
contrary contained herein, the maximum aggregate amount of the obligations of
each Subsidiary Guarantor hereunder shall not, as of any date of determination,
exceed the lesser of  the greatest amount
that is valid and enforceable against such Subsidiary Guarantor under
principles of New York State contract law and 
the greatest amount that would not render such Subsidiary Guarantor’s
liability hereunder subject to avoidance as a fraudulent transfer or conveyance
under Section 548 of Title 11 of the United States Code or any provisions of
applicable state law (collectively, the “Fraudulent Transfer Laws”), in each
case after giving effect to all other liabilities of such Subsidiary Guarantor,
contingent or otherwise, that are relevant under the Fraudulent Transfer Laws
(specifically excluding, however, any liability (A) in respect of intercompany
indebtedness to the Borrower or any Affiliate or Subsidiary of the Borrower, to
the extent that such intercompany indebtedness would be discharged to the extent
payment is made by such Subsidiary Guarantor hereunder, and (B) under any
guarantee of (1) senior unsecured indebtedness or (2) indebtedness subordinated
in right of payment to any Borrower Obligation, in either case which contains a
limitation as to maximum liability similar to that set forth in this Section
2(b) and pursuant to which the liability of such Subsidiary Guarantor hereunder
is included in the liabilities taken into account in determining such maximum
liability) and after giving effect as assets to the value (as determined under
the applicable provisions of the Fraudulent Transfer Laws) of any rights to
subrogation, contribution, reimbursement, indemnity or similar rights of such
Subsidiary Guarantor pursuant to applicable law or any agreement providing for
an equitable allocation among such Subsidiary Guarantor and other Affiliates or
Subsidiaries of the Borrower of obligations arising under guarantees by such
parties.

(c)           Each Subsidiary Guarantor agrees that
the Guarantor Obligations may at any time and from time to time exceed the
maximum aggregate amount of the obligations of such Subsidiary Guarantor
hereunder without impairing this Guaranty or affecting the rights and remedies
of any Credit Party hereunder.

3.             Absolute Obligation

Except as provided by Section 8.2 and/or 10.12 of the
Loan Agreement, no Subsidiary Guarantor shall be released from liability
hereunder unless and until the Commitments of the Lenders have terminated and
either (i) the Borrower shall have paid in full the outstanding principal
balance of the Loans, together with all accrued and unpaid interest thereon,
and all other amounts then due and owing under the Loan Documents, or (ii) the
Guarantor Obligations of such Subsidiary Guarantor shall have been paid in full
in cash.  Each Subsidiary Guarantor
acknowledges and agrees that (a) no Credit Party has made any representation or
warranty to such Subsidiary Guarantor with respect to the Borrower, any of its
Subsidiaries, any Loan Document, or any agreement, instrument or document
executed or delivered in connection therewith, or any other matter whatsoever,
and (b) such Subsidiary Guarantor shall be liable hereunder, and such liability
shall not be affected or impaired, irrespective of (A) the validity or
enforceability of any Loan Document, or any agreement, instrument or document
executed or delivered in connection therewith, or the collectability of any of
the Borrower Obligations, (B) the preference or priority ranking with respect
to any of the Borrower Obligations, (C) the existence, validity, enforceability
or perfection of any security interest or collateral security under any Loan
Document, or the release, exchange, substitution or loss or impairment of any
such security interest or collateral security, (D) any failure, delay, neglect
or omission by any Credit Party to realize upon or protect any direct or
indirect collateral security, indebtedness, liability or obligation, 

 2
 

 

any Loan Document, or any agreement, instrument or
document executed or delivered in connection therewith, or any of the Borrower
Obligations, (E) the existence or exercise of any right of set-off by any
Credit Party, (F) the existence, validity or enforceability of any other
guarantee with respect to any of the Borrower Obligations, the liability of any
other Person in respect of any of the Borrower Obligations, or the release of
any such Person or any other guarantor of any of the Borrower Obligations, (G)
any act or omission of any Credit Party in connection with the administration
of any Loan Document or any of the Borrower Obligations, (H) the bankruptcy,
insolvency, reorganization or receivership of, or any other proceeding for the
relief of debtors commenced by or against, any Person, (I) the disaffirmance or
rejection, or the purported disaffirmance or purported rejection, of any of the
Borrower Obligations, any Loan Document, or any agreement, instrument or
document executed or delivered in connection therewith, in any bankruptcy,
insolvency, reorganization or receivership, or any other proceeding for the
relief of debtor, relating to any Person, (J) any law, regulation or decree now
or hereafter in effect which might in any manner affect any of the terms or
provisions of any Loan Document, or any agreement, instrument or document executed
or delivered in connection therewith or any of the Borrower Obligations, or
which might cause or permit to be invoked any alteration in the time, amount,
manner or payment or performance of any of the Borrower’s obligations and
liabilities (including the Borrower Obligations), (K) the merger or
consolidation of the Borrower into or with any Person, (L) the sale by the
Borrower of all or any part of its assets, (M) the fact that at any time and
from time to time none of the Borrower Obligations may be outstanding or owing
to any Credit Party, (N) any amendment or modification of, or supplement to,
any Loan Document, or (O) any other reason or circumstance which might
otherwise constitute a defense available to or a discharge of the Borrower in
respect of its obligations or liabilities (including the Borrower Obligations)
or of such Subsidiary Guarantor in respect of any of the Guarantor Obligations
(other than by the performance in full thereof).

4.             Representations and Warranties

(a)           Each of the Subsidiary Guarantors
represents and warrants as to itself that all representations and warranties
relating to it contained in the Loan Agreement are true and correct.

(b)           Each of the Subsidiary Guarantors
represents and warrants as to itself that it has full legal power and authority
to enter into, execute, deliver and perform the terms of this Guaranty, all of
which have been duly authorized by all proper and necessary corporate or trust
action.

(c)           Each of the Subsidiary Guarantors
represents and warrants as to itself that this Guaranty constitutes the valid
and legally binding obligations of such Subsidiary Guarantor, and is
enforceable in accordance with its terms, except as such enforceability may be
limited by applicable bankruptcy, insolvency, reorganization, or other similar
laws affecting the enforcement of creditors’ rights generally; and that the
execution, delivery and performance by such Subsidiary Guarantor of this
Guaranty does not violate the provisions of any applicable statute, law, rule
or regulation of any Governmental Authority.

(d)           Each of the Subsidiary Guarantors
represents and warrants as to itself that no consent, authorization or approval
of, filing with, notice to, or exemption by, stockholders, any Governmental
Authority or any other Person not obtained is required to be obtained by such
Subsidiary Guarantor to authorize, or is required in connection with, the
execution, delivery and performance of this Guaranty or is required to be
obtained by such Subsidiary Guarantor as a condition to the validity or
enforceability of this Guaranty.

5.             Notices

Except as otherwise specifically provided herein, all
notices, requests, consents, demands, waivers and other communications
hereunder shall be in writing (including facsimile) and shall be given in the
manner set forth in Section 11.2 of the Loan Agreement (i) in the case of the
Administrative Agent, to the address set forth in Section 11.2 of the Loan
Agreement, (ii) in the case of a Subsidiary Guarantor, to the address set forth
in Schedule I hereto, or (iii) in the case of each party hereto, to such other
addresses as to which the Administrative Agent may be hereafter notified by the
respective parties hereto.

 3
 

 

6.             Expenses

Each Subsidiary Guarantor agrees that it shall,
promptly after demand, pay to the Administrative Agent any and all reasonable
out-of-pocket sums, costs and expenses, which any Credit Party may
pay or incur defending, protecting or enforcing this Guaranty (whether suit is
instituted or not), reasonable attorneys’ fees and disbursements.  All sums, costs and expenses which are due
and payable pursuant to this Section shall bear interest, payable on demand, at
the highest rate then payable on the Borrower Obligations.

7.             Repayment in Bankruptcy, etc.

If, at any time or times subsequent to the payment of
all or any part of the Borrower Obligations or the Guarantor Obligations, any
Credit Party shall be required to repay any amounts previously paid by or on
behalf of the Borrower or any Subsidiary Guarantor in reduction thereof by
virtue of an order of any court having jurisdiction in the premises, including
as a result of an adjudication that such amounts constituted preferential
payments or fraudulent conveyances, the Subsidiary Guarantors unconditionally
agree to pay to the Administrative Agent, within 10 days after demand, a sum in
cash equal to the amount of such repayment, together with interest on such
amount from the date of such repayment by such Credit Party to the date of
payment to the Administrative Agent at the applicable after-maturity rate
set forth in the Loan Agreement.

8.             Miscellaneous

(a)           Except as otherwise expressly
provided in this Guaranty, each Subsidiary Guarantor hereby waives presentment,
demand for payment, notice of default, nonperformance and dishonor, protest and
notice of protest of or in respect of this Guaranty, the other Loan Documents
and the Borrower Obligations, notice of acceptance of this Guaranty and
reliance hereupon by any Credit Party, and the incurrence of any of the
Borrower Obligations, notice of any sale of collateral security or any default
of any sort.

(b)           No Subsidiary Guarantor is relying
upon any Credit Party to provide to such Subsidiary Guarantor any information
concerning the Borrower or any of its Subsidiaries, and each Subsidiary Guarantor
has made arrangements satisfactory to such Subsidiary Guarantor to obtain from
the Borrower on a continuing basis such information concerning the Borrower and
its Subsidiaries as such Subsidiary Guarantor may desire.

(c)           Each Subsidiary Guarantor agrees that
any statement of account with respect to the Borrower Obligations from any
Credit Party to the Borrower which binds the Borrower shall also be binding
upon such Subsidiary Guarantor, and that copies of said statements of account
maintained in the regular course of or such Credit Party’s business may be used
in evidence against such Subsidiary Guarantor in order to establish its
Guarantor Obligations.

(d)           Each Subsidiary Guarantor
acknowledges that it has received a copy of the Loan Documents and has approved
of the same.  In addition, each
Subsidiary Guarantor acknowledges having read each Loan Document and having had
the advice of counsel in connection with all matters concerning its execution
and delivery of this Guaranty.

(e)           This Guaranty shall be binding upon
each Subsidiary Guarantor and its successors and inure to the benefit of, and
be enforceable by the Administrative Agent, Lenders and their respective
successors, transferees and assigns.  No
Subsidiary Guarantor may assign any right, or delegate any duty, it may have
under this Guaranty.

(f)            Subject to the limitations set forth
in Section 2(b), the Guarantor Obligations shall be joint and several.

(g)           This Guaranty is the “Guaranty”
referred to in the Loan Agreement, and is subject to, and should be construed
in accordance with, the provisions thereof. 
Each of the parties hereto acknowledges and agrees that the following
provisions of the Loan Agreement are made applicable to this Guaranty and all
such provisions are incorporated by reference herein as if fully set forth
herein, including Sections 1 (Definitions),
2.11 (Taxes; Net Payments), 9.1 (Events of Default), 11.1 (Amendments
and Waivers), 11.3 (No Waiver; Cumulative
Remedies), 11.5 (Payment of Expenses and
Taxes), 11.7 (Successors and Assigns),
11.9 (Counterparts), 11.12 (Indemnity), 11.13 (Governing Law),
11.14, (Headings Descriptive), 11.15 (Severability), 11.16 (Integration),
11.17 (Consent to Jurisdiction), 11.18 (Service of Process), 11.19 (No
Limitation on Service or Suit), 11.20 (WAIVER OF
TRIAL BY JURY) and 11.25 (No Advisory or Fiduciary
Relationship) thereof.

 4
 

 

(h)           Each Subsidiary Guarantor agrees that
(i) the execution and delivery of a Guaranty by any additional Required
Additional Guarantor after the date hereof shall not affect the obligations of
the Subsidiary Guarantors hereunder, and (ii) the Subsidiary Guarantors and
each such additional Required Additional Guarantor shall, subject to Section
2(b), be jointly and severally liable for all of the Borrower Obligations.

(i)            If, notwithstanding the provisions
of Section 8(g) above, this Guaranty is deemed to be governed by California
law, then the following shall apply but shall not in any way limit the
generality of any other provisions contained in this Guaranty.

The Subsidiary Guarantors hereby waive (a) any defense
of the Subsidiary Guarantors based upon a Credit Party’s election of any remedy
against the Subsidiary Guarantors or Borrower or both; (b) any defense
based upon a Credit Party’s failure to disclose to the Subsidiary Guarantors
any information concerning Borrower’s financial condition or any other
circumstances bearing on Borrower’s ability to pay all sums payable under the
Loan Documents; (c) any defense based upon any statute or rule of law
which provides that the obligation of a surety must be neither larger in amount
nor in any other respects more burdensome than that of a principal;
(d) any defense based upon a Credit Party’s election, in any proceeding
instituted under Title 11, U.S.C.A., as amended from time to time or any
successor thereto (the “Bankruptcy Code”), of the application of Section
1111(b)(2) of the Bankruptcy Code or any successor statute; (e) any right
of subrogation, any right to enforce any remedy which a Credit Party may have
against Borrower and any right to participate in, or benefit from, any security
for any of the Loan Documents now or hereafter held by the Credit Parties; and
(f) benefit of any statute of limitations affecting the liability of the
Subsidiary Guarantors hereunder or the enforcement hereof.  Without limiting the generality of the
foregoing or any other provision hereof, the Subsidiary Guarantors expressly
waive any and all benefits which might otherwise be available to the Subsidiary
Guarantors under Sections 2787 to 2855, inclusive, of the California Civil
Code, including without limitation, Sections 2809, 2810, 2819, 2839, 2845, 2849
and 2850, and all benefits which might otherwise be available to the Subsidiary
Guarantors under Sections 2899 and 3433 of the California Civil Code and the
California Code of Civil Procedure Sections 580a, 580b, 580d and 726, or any of
such sections.  Furthermore, without
limitation of any waiver otherwise set forth herein, the Subsidiary Guarantors
waive all rights and defenses arising out of an election of remedies by the
Credit Parties even though that election of remedies, such as a nonjudicial
foreclosure with respect to the security for a guaranteed obligation, has
destroyed the Subsidiary Guarantors’ rights of subrogation and reimbursement
against the principal by operation of Section 580d of the California Code of
Civil Procedure or otherwise.

[SIGNATURES
COMMENCE ON FOLLOWING PAGE]

 .

 5
 

 

IN EVIDENCE of the agreement by the parties hereto to
the terms and conditions herein contained, each such party has caused this
Guaranty to be duly executed on its behalf.

	
  

  	
   

  	
  NEW PLAN REALTY TRUST,
  a Massachusetts 

  
	
   

  	
   

  	
  business trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
					

 

 

	
  

  	
   

  	
  EXCEL REALTY TRUST -
  ST, INC., a Delaware 

  
	
   

  	
   

  	
  corporation

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  [CORPORATE SEAL]

  
					

 

 

	
  

  	
  CA NEW PLAN ASSET PARTNERSHIP IV, L.P.,

  
	
   

  	
  a Delaware limited partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  CA New Plan Asset, Inc., a Delaware

  
	
   

  	
   

  	
   

  	
  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

	
  

  	
  EXCEL REALTY TRUST-NC, a North Carolina general 

  
	
   

  	
  partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  NC Properties #1 Inc., a Delaware corporation,

  
	
   

  	
   

  	
   

  	
  its managing partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

 6
 

 

 

	
  

  	
  NP OF TENNESSEE, L.P., a Delaware limited partnership

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  New Plan of Tennessee, Inc., a Delaware corporation,
  

  
	
   

  	
   

  	
   

  	
  its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

	
  

  	
  POINTE ORLANDO DEVELOPMENT COMPANY, a 

  
	
   

  	
  California general partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  ERT Development Corporation, a Delaware corporation,
  

  
	
   

  	
   

  	
   

  	
  general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

	
  

  	
  By:

  	
   

  	
  ERT Pointe Orlando, Inc., a New York Corporation, a 

  
	
   

  	
   

  	
   

  	
  New York corporation, general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

	
  

  	
  CA NEW PLAN TEXAS ASSETS, L.P., a Delaware 

  
	
   

  	
  limited partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  CA New Plan Floating Rate SPE, Inc., a Delaware 

  
	
   

  	
   

  	
   

  	
  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  [CORPORATE SEAL]

  
						

 

 

	
  

  	
   

  	
  HK NEW PLAN EXCHANGE
  PROPERTY OWNER I, 

  
	
   

  	
   

  	
  LLC, a Delaware limited
  liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
					

 

 7
 

 

 

	
  

  	
   

  	
  NEW PLAN OF ILLINOIS,
  LLC, a Delaware limited 

  
	
   

  	
   

  	
  liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
					

 

	
  

  	
   

  	
  NEW PLAN PROPERTY
  HOLDING COMPANY, a 

  
	
   

  	
   

  	
  Maryland real estate
  investment trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
					

 

	
  

  	
   

  	
  NEW PLAN OF MICHIGAN,
  LLC, a Delaware limited 

  
	
   

  	
   

  	
  liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
  Name: 

  	
  John Roche

  
	
   

  	
   

  	
  Title: 

  	
  EVP

  
					

 

	
  

  	
  HK NEW PLAN EXCHANGE PROPERTY OWNER II, L.P., 

  
	
   

  	
  a Delaware limited partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
  HK New Plan Lower Tier OH, LLC, a Delaware limited 

  
	
   

  	
   

  	
   

  	
  liability company, its general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ John Roche

  
	
   

  	
   

  	
   

  	
  Name:

  	
  John Roche

  
	
   

  	
   

  	
   

  	
  Title:

  	
  EVP

  
						

 

 

 8
 

 

 

	
  

  	
   

  	
  BANK OF AMERICA, N.A.,
  as Administrative Agent

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Mark A. Mokelke

  
	
   

  	
   

  	
  Name: 

  	
  Mark A. Mokelke

  
	
   

  	
   

  	
  Title: 

  	
  Vice President

  
					

 

 

 9

 

 

SCHEDULE
I

TO SUBSIDIARY GUARANTY

SUBSIDIARY GUARANTORS

UNDER SECOND AMENDED AND
RESTATED GUARANTY

DATED AS OF AUGUST 25, 2006

	
  

  Name

  	
   

  	
  Jurisdiction of 

  Incorporation or Formation

  	
   

  	
  Address for Notices

  
	
  New Plan Realty Trust

  	
   

  	
  Massachusetts

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc.

  420 Lexington Avenue

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Excel Realty Trust — ST, Inc.

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc.

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  CA New Plan Asset Partnership IV, L.P.

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Excel Realty Trust-NC

  	
   

  	
  North Carolina

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  NP of Tennessee, L.P.

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Pointe Orlando Development Company

  	
   

  	
  California

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  CA New Plan Texas Assets, L.P.

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  HK New Plan Exchange Property Owner I, LLC

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  New Plan of Illinois, LLC

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  

 

 

	
  

  Name

  	
   

  	
  Jurisdiction of 

  Incorporation or Formation

  	
   

  	
  Address for Notices

  
	
  New Plan Property Holdings Company

  	
   

  	
  Maryland

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  New Plan of Michigan, LLC

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  HK New Plan Exchange Property Owner II, L.P.

  	
   

  	
  Delaware

  	
   

  	
  c/o New Plan Excel Realty Trust, Inc. 

  420 Lexington Avenue 

  New York, New York 10170

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}]]