Document:

Exhibit 4.2.1

	
  

  	
  
CLIFFORD CHANCE S/C 
   Cosultores em Direito Estrangeiro
  

EXECUTION VERSION

RESTATEMENT AGREEMENT

dated 27 September 2006

for

VOTORANTIM CELULOSE E PAPEL S.A.
 as Borrower

and

THE OTHER PARTIES
 named herein

 

relating to the
 ABN AMRO Facility Agreements and the ABN Loan No. 3
 as defined herein

CONTENTS

	
  Clause
  	
  
 
  	
  
Page
  
	
  

  	
  
 
  	
  

  
	
  
1.
  	
  
Definitions and Interpretation
  	
  
 
  	
  
1
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
2.
  	
  
Restatement
  	
  
 
  	
  
3
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
3.
  	
  
Continuity and Further Assurance
  	
  
 
  	
  
4
  
	
   
  	
  
 
  	
  
 
  	
   
 
	
  
4.
  	
  
Costs and Expenses
  	
  
 
  	
  
4
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
5.
  	
  
Notices
  	
  
 
  	
  
4
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
6.
  	
  
Partial Invalidity
  	
  
 
  	
  
6
  
	
   
  	
  
 
  	
  
 
  	
   
 
	
  
7.
  	
  
Remedies and Waivers
  	
  
 
  	
  
6
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
8.
  	
  
Counterparts
  	
  
 
  	
  
6
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
9.
  	
  
Governing Law
  	
  
 
  	
  
6
  
	
   
  	
  
 
  	
  
 
  	
   
 
	
  
10.
  	
  
Enforcement
  	
  
 
  	
  
6
  
	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
Schedule   1          Conditions   Precedent
  	
  
 
  	
  
7
  
	
  
 
  	
  
 
  	
   
 
	
  
Schedule   2          Restated   Agreement
  	
  
 
  	
  
9
  

	
  
THIS AGREEMENT is dated 27 September   2006 and made between:
  
	
  
 
  
	
  
(1)
  	
  
VOTORANTIM CELULOSE E PAPEL S.A., a company incorporated under the laws of the Federative Republic   of Brazil, having its principal place of business located at Alameda Santos,   1357 – 7, Sao Paulo – SP, enrolled with the CNPJ/MF under number   60.643.228/0001-21, as borrower (the “Borrower”);
  
	
  
 
  	
  
 
  
	
  
(2)
  	
  
VCP OVERSEAS HOLDING LTD. BUDAPEST, BAAR BRANCH, a   branch of VCP Overseas Holding KFT (a company organised under the laws of   Hungary), licensed in the commercial register of the canton of Zug,   Switzerland, as guarantor (the “Guarantor”);
  
	
  
 
  	
  
 
  
	
  
(3)
  	
  
ABN AMRO BANK N.V., as lender (the
“Existing Lender”);
 
	
   
  	
  
 
  
	
  
(4)
  	
  
ABN AMRO BANK N.V., as arranger
under the Restated Agreement (as defined below) (the
“Arranger”);
 
	
  
 
  	
  
 
  
	
  
(5)
  	
  
ABN AMRO BANK N.V., as   agent under the Restated Agreement (as defined below) (the “Agent”); and
  
	
  
 
  	
  
 
  
	
  
(6)
  	
  
ABN AMRO BANK N.V., as   trustee under the Restated Agreement (as defined below) (the “Trustee”).
  

	
  
BACKGROUND:
  
	
  
 
  
	
  
(A)
  	
  
The ABN Loans (as defined below) are outstanding   from the Borrower to the Existing Lender.
  
	
   
  	
  
 
  
	
  
(B)
  	
  
The parties hereto wish to (i) restate the terms and   conditions upon which the ABN Loans (as defined below) are outstanding in   relation to, in particular (but without limitation), pricing and tenor and   (ii) release the Security granted pursuant to the ABN Facility Agreements (as   defined below) and replace it with new Security to the granted pursuant to   the New Security Agreements to be entered into on the Restatement Date (as   defined below).
  
	
  
 
  	
  
 
  
	
  
(C)
  	
  
Accordingly, the parties hereto have agreed to enter   into this Agreement in order to give effect to the wishes described in   paragraph (B) above.
  

	
  
IT IS AGREED as follows:
  
	
  
 
  
	
  
1.
  	
  
DEFINITIONS AND INTERPRETATION
  
	
  
 
  	
  
 
  
	
  1.1
  	
  
Definitions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
In this Agreement:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Facility   Agreement No. 1” means the $50,000,000 Export Prepayment Agreement   No. G-3605/03 dated December 3, 2003 between VCP Exportadora e Participações   S.A. (now Votorantim Celulose e Papel S.A.), as Borrower and ABN AMRO Bank   N.V. as Bank”.
  

- 1 -

	
  
 
  	
  
“ABN Facility   Agreement No. 2” means the $50,000,000 Export Prepayment Agreement   No. G-0852/05 dated March 29, 2005 between Votorantim Celulose e Papel S.A.   as Borrower and ABN AMRO Bank N.V. as Bank.
  
	
  
 
  	
  
 
  
	
   
  	
  
“ABN Facility   Agreements” means the ABN Facility Agreement No.1 and the ABN   Facility Agreement No. 2.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 1”   means the $50,000,000 principal amount outstanding from the Borrower to ABN   AMRO Bank N.V. with respect to the loan made available to the Borrower under   the ABN Facility Agreement No. 1 and originally registered with ROF number   TA300227.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 2”   means the $50,000,000 principal amount outstanding from the Borrower to ABN   AMRO Bank N.V. with respect to the loan made available to the Borrower under   the ABN Facility Agreement No. 2 and originally registered with ROF number   TA331696.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 3”   means the $123,000,000 principal amount outstanding from the Borrower to ABN   AMRO Bank N.V. with respect to the loan made available by ABN AMRO Bank N.V   to the Borrower on 27 June 2006 and registered with ROF numbers TA383445,   TA383447 and TA383450.
  
	
   
  	
  
 
  
	
  
 
  	
  
“ABN Loans”   means the ABN Loan No.1, the ABN Loan No. 2 and the ABN Loan No. 3.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Business Day”   means a day (other than a Saturday or Sunday) on which banks are open for   general business in Amsterdam, New York and São Paulo.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Finance Party”   means each of the Existing Lender, the Arranger, the Agent and the Trustee.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“New Security   Agreements” means the Assignment Agreement (as defined in the   Restated Agreement) and the Collection Account Security Agreement (as defined   in the Restated Agreement).
  
	
  
 
  	
  
 
  
	
   
  	
  
“Obligor”   means each of the Borrower and the Guarantor.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Party”   means a party to this Agreement.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Person”   means any individual, firm, company, corporation, partnership (whether or not   having separate legal personality), trust, unincorporated organisation, joint   stock company or other legal entity or organisation and any government or agency   or political subdivision thereof.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Restated Agreement” means the ABN   Facility Agreements and the agreement pursuant to which the ABN Loan No. 3   was advanced, as restated by this Agreement, the terms of which are set out   in Schedule 2 (Restated Agreement).
  

- 2 -

	
  
 
  	
  
“Restatement Date”   means the date of this Agreement, provided that the Restatement Date shall   only occur if the Agent had confirmed to the Existing Lender the Borrower that it has received each of the documents and evidence   listed in Schedule 1 (Conditions Precedent) in a form and   substance satisfactory to the Agent.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ROF” means the electronic registration with the Central Bank   of Brazil, obtained through the Module Registration of Financial Transactions   (Module RDE-ROF (“Modulo RDE-ROF”)   in the SISBACEN system), of the relevant financial terms and conditions of a   loan, as such registration may be amended from time to time.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Security”   means a mortgage, charge, pledge, lien or other security interest securing   any obligation of any Person or any other agreement having a similar effect.
  

	
  1.2
  	
  
Construction
  

	
  
 
  	
  
(a)
  	
  
Unless a contrary indication appears any reference   in this Agreement to:
  

	
  
 
  	
  
(i)
  	
  
“Existing Lender”,   “Arranger”, “Agent”, “Trustee”, “Finance Party”,   or any “Party” shall be   construed so as to include its successors in title, permitted assigns and   permitted transferees; and
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(ii)
  	
  
a provision of law is a reference to that provision   as amended or re-enacted.
  

	
  
 
  	
  
(b)
  	
  
Words importing the plural shall include the   singular and vice versa.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Section, Clause and Schedule headings are for ease   of reference only.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
Capitalised terms used herein shall have the   meanings ascribed thereto in Clause 1.1 (Definitions)   or in the Schedules hereto unless otherwise stated herein.
  

	
  
1.3
  	
  
Currency Symbols and Definitions
  
	
  
 
  	
  
“$” and   “dollars” denote lawful currency   of the United States of America.
  

	
  
1.4
  	
  
Third party rights
  
	
  
 
  	
  
A person who is not a Party to this Agreement has no   right under the Contracts (Rights of Third Parties) Act 1999 to enforce or to   enjoy the benefit of any term of this Agreement.
  

	
  2.
  	
  
RESTATEMENT
  
	
  
 
  	
  
 
  
	
  
 
  	
  
With effect from the Restatement Date:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the terms and conditions upon which the ABN   Loans  are outstanding shall be   restated so that they shall be read and construed for all purposes as set out   in Schedule 2 (Restated Agreement);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
notwithstanding anything contained in this Clause 2, the outstanding principal amounts   outstanding from the Borrower to the Existing Lender with respect to the ABN   Loans shall remain outstanding and repayable by the Borrower to the Existing   Lender on the terms and conditions of the Restated Agreement;
  

- 3 -

	
  
 
  	
  
(c)
  	
  
the Existing Lender without recourse, representation   or warranty of title (i) releases all the assets and undertaking of the   Borrower from the Security created pursuant to the ABN Facility Agreements   and (ii) reassigns all the assets and undertaking of the Borrower assigned to   the Existing Lender pursuant to the ABN Facility Agreements; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
the Existing Lender appoints the Borrower as its   agent for the sole purpose of giving notice (at the cost and expense of the   Borrower) on behalf of the Existing Lender of reassignment to any person on   notice of the assignment of any of the Borrower’s assets or undertaking by or   pursuant to the ABN Facility Agreements.
  

	
  3.
  	
  
REPRESENTATIONS, CONTINUITY AND FURTHER ASSURANCE
  
	
  
 
  	
  
 
  
	
  
3.1
  	
  
Representations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor makes the representations and   warranties set out in clause 16 (Representations)   of the Restated Agreement to each Finance Party on the Restatement Date.
  
	
  
 
  	
  
 
  
	
  
3.2
  	
  
Continuing obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Until the occurrence of the Restatement Date, the   provisions of the ABN Facility Agreements and the agreement pursuant to which   the ABN Loan No. 3 was advanced shall continue in full force and effect.
  
	
   
  	
  
 
  
	
  
3.3
  	
  
Further assurance
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower shall, at the request of the Agent and   at its own expense, do all such acts and things necessary or desirable to   give effect to this Agreement.
  
	
  
 
  	
  
 
  
	
  
4.
  	
  
COSTS AND EXPENSES
  
	
  
 
  	
  
 
  
	
  
4.1
  	
  
Enforcement costs
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower shall, within five Business Days of   demand, pay to each Finance Party the amount of all costs and expenses   (including legal fees) incurred by that Finance Party in connection with the   enforcement of, or the preservation of any rights under, this Agreement.
  
	
   
  	
  
 
  
	
  
4.2
  	
  
Stamp taxes
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower shall pay and, within three Business   Days of demand, indemnify each Finance Party against any cost, loss or   liability that Finance Party incurs in relation to all stamp duty,   registration and other similar taxes payable in respect of this Agreement.
  
	
  
 
  	
  
 
  
	
  
5.
  	
  
NOTICES
  
	
  
 
  	
  
 
  
	
  
5.1
  	
  
Communications in writing
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any communication to be made under or in connection   with this Agreement shall be made in writing and, unless otherwise stated,   may be made by fax or letter.
  
	
   
  	
  
 
  
	
  
5.2
  	
  
Addresses
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The address and fax number (and the department or   officer, if any, for whose attention the communication is to be made) of each   Party for any communication or document to be made or delivered under or in   connection with this Agreement is that identified with its name below or any   substitute address, fax number or department or officer as the Party may   notify to the Agent, who shall on receipt, notify the other Parties (or the   Agent may notify to the other Parties, if a change is made by the Agent) by   not less than five Business Days’ notice.
  

- 4 -

	
  
5.3
  	
  
Delivery
  

	
   
  	
  
(a)
  	
  
Any communication or document made or delivered by   one Party to another under or in connection with this Agreement will only be   effective:
  

	
  
 
  	
  
(i)
  	
  
if by way of fax, when received in legible form; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(ii)
  	
  
if by way of letter, when it has been left at the   relevant address or seven Business Days after being deposited in the post   postage prepaid in an envelope addressed to it at that address,
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
and, if a particular department or officer is specified   as part of its address details provided under Clause 5.2 (Addresses), if addressed to that   department or officer.
  

	
  
 
  	
  
(b)
  	
  
Any notice delivered under or in connection with   this Agreement after 4.00 p.m. on a Business Day, or on a day which is not a   Business Day, shall be deemed to have been delivered at 10.00 a.m. on the   next Business Day.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Any communication or document to be made or   delivered to the Agent or Trustee will be effective only when actually   received by the Agent or Trustee and then only if it is expressly marked for   the attention of the department or officer identified with the Agent or   Trustee’s signature below (or any substitute department or officer as the   Agent or Trustee shall specify for this purpose).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
All notices from or to the Borrower and the   Guarantor or to any Party shall be sent through the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
All notices to a Lender from the Trustee shall be   sent through the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
Any communication or document made or delivered to   the Borrower in accordance with this Clause 5.3 will be deemed to have been   made or delivered to each of the Obligors.
  

	
  5.4
  	
  
Notification of address and fax number
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Promptly upon receipt of   notification of an address or fax number or change of address or fax number   pursuant to Clause 5.2 (Addresses)   or changing its own address or fax number, the Agent shall notify the other   Parties.
  
	
  
 
  	
  
 
  
	
  
5.5
  	
  
English language
  

	
  
 
  	
  
(a)
  	
  
Any notice given under or in connection with this   Agreement must be in English.
  
	  
	  
	  

	
  
 
  	
  
(b)
  	
  
All other documents provided under or in connection   with this Agreement must be:
  

	
  
 
  	
  
(i)
  	
  
in English; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(ii)
  	
  
if not in English, and if so required by the Agent,   accompanied by a certified English translation and, in this case, the English   translation will prevail unless the document is a constitutional, statutory   or other official document.
  

- 5 -

	
  
6.
  	
  
PARTIAL INVALIDITY
  
	
   
  	
  
 
  
	
  
 
  	
  
If, at any time, any provision of this Agreement is   or becomes illegal, invalid or unenforceable in any respect under any law of   any jurisdiction, neither the legality, validity or enforceability of the   remaining provisions nor the legality, validity or enforceability of such   provision under the law of any other jurisdiction will in any way be affected   or impaired.
  
	
  
 
  	
  
 
  
	
  
7.
  	
  
REMEDIES AND WAIVERS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No failure to exercise, nor any delay in exercising,   on the part of any Finance Party, any right or remedy under this Agreement   shall operate as a waiver, nor shall any single or partial exercise of any   right or remedy prevent any further or other exercise or the exercise of any   other right or remedy.  The rights and   remedies provided in this Agreement are cumulative and not exclusive of any rights   or remedies provided by law.
  
	
  
 
  	
  
 
  
	
  8.
  	
  
COUNTERPARTS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
This Agreement may be executed in any number of   counterparts, and this has the same effect as if the signatures on the   counterparts were on a single copy of this Agreement.
  
	
  
 
  	
  
 
  
	
  
9.
  	
  
GOVERNING LAW
  
	
  
 
  	
  
 
  
	
  
 
  	
  
This Agreement is governed by English law. For the   purposes of article 9 of Brazilian Decree-Law No. 4,657 dated 4 September   1942, and for no other purpose whatsoever, the transactions contemplated   hereby have been proposed by the Agent.
  
	
  
 
  	
  
 
  
	
  
10.
  	
  
ENFORCEMENT
  
	
   
  	
  
 
  
	
  
10.1
  	
  
Jurisdiction
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The courts of England have exclusive jurisdiction to   settle any dispute arising out of or in connection with this Agreement   (including a dispute regarding the existence, validity or termination of this   Agreement) (a “Dispute”).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Parties agree that the courts of England are the   most appropriate and convenient courts to settle Disputes and accordingly no   Party will argue to the contrary.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
This Clause 10 is for the benefit of the Finance   Parties only.  As a result, no Finance   Party shall be prevented from taking proceedings relating to a Dispute in any   other courts with jurisdiction.  To   the extent allowed by law, the Finance Parties may take concurrent   proceedings in any number of jurisdictions.
  
	
   
  	
  
 
  	
  
 
  
	
  
10.2
  	
  
Service of process
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Without prejudice to any other mode of service   allowed under any relevant law, the Borrower and the Guarantor each:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
irrevocably appoints Law Debenture Corporate Services Limited of 100 Wood Street, Fifth   Floor, London EC2V 7EX, England as its agent for service of   process in relation to any proceedings before the English courts in   connection with this Agreement; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
agrees that failure by an agent for service of   process to notify it of the process will not invalidate the proceedings   concerned.
  

This Agreement has been entered into on the date stated at the beginning of this Agreement.

- 6 -

SCHEDULE 1       
 CONDITIONS PRECEDENT

	
  
1.
  	
  
The Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
A copy of the constitutional documents of each   Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
To the extent required by its constitutional   documents, a copy of a resolution of the board of directors or other   competent body of each Obligor:
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
approving the terms of, and the transactions   contemplated by, the Transaction Documents (as defined in the Restated   Agreement) to which it is a party and resolving that it execute the   Transaction Documents (as defined in the Restated Agreement) to which it is a   party;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
authorising a specified Person or persons to execute   the Transaction Documents (as defined in the Restated Agreement) to which it   is a party on its behalf; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
authorising a specified Person or persons, on its   behalf, to sign and/or despatch all documents and notices to be signed and/or   despatched by it under or in connection with the Transaction Documents (as   defined in the Restated Agreement) to which it is a party.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
A specimen of the signature of each Person   authorised to sign the Transaction Documents to which each Obligor is a party   on behalf of such Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
To the extent required by an Obligor’s   constitutional documents, a copy of a resolution signed by all the holders of   the issued shares in each Obligor, approving the terms of, and the   transactions contemplated by, the Finance Documents (as defined in the   Restated Agreement) to which the Obligor is a party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
A certificate of each Obligor (signed by a director)   confirming that borrowing or guaranteeing the Loans (as defined in the   Restated Agreement) does or would not cause any borrowing, guaranteeing or   similar limit binding on the Obligor to be exceeded.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
A certificate of an authorised signatory of each   Obligor certifying that each copy document relating to it specified in this   Schedule 1 is correct, complete and in full force and effect as at the date   of this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
2.
  	
  
Legal opinions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
A legal opinion of the legal advisers to the   Existing Lender in England and Brazil and legal advisers to the Guarantor in   Hungary and Switzerland substantially in the forms distributed to the   Existing Lender prior to signing this Agreement.
  

- 7 -

	
  3.
  	
  
Finance Documents
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
A copy of this Agreement duly signed by all the   parties hereto.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
A copy of each New Security Document duly signed by all   the parties thereto
  
	
  
 
  	
  
 
  	
  
 
  
	
  
4.
  	
  
Other documents and evidence
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
Evidence that any agent for service of process   referred to in clause 38.2 (Service of   process) of the Restated Agreement and Clause 10.2 (Service of process) of this Agreement   has accepted its appointment.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
A copy of any other Authorisation (as defined in the   Restated Agreement) or other document, opinion or assurance which the Agent   reasonably considers to be necessary or desirable (if it has notified the   Borrower accordingly) in connection with the entry into and performance of   the transactions contemplated by any Transaction Document (as defined in the   Restated Agreement) or for the validity and enforceability of any Transaction   Document (as defined in the Restated Agreement) (including, without   limitation, a copy of any governmental approval, licence or authorisation   required for the transaction).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The Original Financial Statements (as defined in the   Restated Agreement) of the Borrower and the Guarantor.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
Evidence that the Collection Account (as defined in   the Restated Agreement) has been opened.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
A copy of the approvals of the Central Bank of   Brazil (ROF).
  

- 8 -

SCHEDULE 2
 RESTATED AGREEMENT

- 9 -

SIGNATURES

	
  THE BORROWER
  
	
  
 
  
	
  
VOTORANTIM CELULOSE E PAPEL S.A.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
By:
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Name:
  	
  
 
  	
  
 
  
	
  
Title:
  	
  
 
  	
  
 
  
	
  
Address:
  	
  
 
  	
  
Alameda   Santos 1357, 8th Floor
  
	
  
 
  	
  
 
  	
  
Sao   Paulo SP 01419-908
  
	
   
  	
  
 
  	
  
Brazil
  
	
  
Fax:
  	
  
 
  	
  
+ 55 11 2138   4066
  
	
  
Tel:
  	
  
 
  	
  
+ 55 11 2138 4218
  
	
  
Attention:
  	
  
 
  	
  
Ricardo   Akeda
  

	
  
THE GUARANTOR
  
	
  
 
  
	
  
VCP OVERSEAS HOLDING LTD. BUDAPEST,   BAAR BRANCH
  
	
  
 
  	
  
 
  	
  
 
  
	
  By:
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Name:
  	
  
 
  	
  
 
  
	
  
Title:
  	
  
 
  	
  
 
  
	
  
Address:
  	
  
 
  	
  
Baarenstrasse   8, 6300
  
	
  
 
  	
  
 
  	
  
Zug,   Switzerland
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Fax:
  	
  
 
  	
  
+ 41 41 725 4725
  
	
  Tel:
  	
  
 
  	
  
+ 41 41 725 4711
  
	
  
Attention:
  	
  
 
  	
  
Guilherme   Moralles
  

- 10 -

	
  
THE EXISTING LENDER
  
	
  
 
  	
  
 
  	
  
 
  
	
  
ABN AMRO BANK N.V.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
By:
  	
  
 
  	
  
 
  
	
  Name:
  	
  
 
  	
  
 
  
	
  
Title:
  	
  
 
  	
  
 
  
	
  
Address:
  	
  
 
  	
  
Gustav   Mahlerlaan 10
  
	
  
 
  	
  
 
  	
  
1000   EA Amsterdam
  
	
  
 
  	
  
 
  	
  
The   Netherlands
  
	
  
Fax:
  	
  
 
  	
  
+ 31 20 383 3455
  
	
  
Tel:
  	
  
 
  	
  
+ 31 20 628 1478 / 8520
  
	
  
Attention:
  	
  
 
  	
  
Vincent   Zimmermann / Robert Kuiken
  
	
   
  	
  
 
  	
  
 
  
	
  
THE AGENT
  
	
  
 
  	
  
 
  	
  
 
  
	
  
ABN AMRO BANK N.V.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
By:
  	
  
 
  	
  
 
  
	
  
Name:
  	
  
 
  	
  
 
  
	
  
Title:
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
 
  
	
  Address:
  	
  
 
  	
  
Gustav   Mahlerlaan 10
  
	
  
 
  	
  
 
  	
  
1000   EA Amsterdam
  
	
  
 
  	
  
 
  	
  
The   Netherlands
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Fax:
  	
  
 
  	
  
+ 31 20 383 3455
  
	
  
Tel:
  	
  
 
  	
  
+ 31 20 628 1478 / 8520
  
	
  
Attention:
  	
  
 
  	
  
Vincent   Zimmermann / Robert Kuiken
  

- 11 -

	
  
THE TRUSTEE
  
	
  
 
  	
  
 
  	
  
 
  
	
  
ABN AMRO BANK N.V.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
By:
  	
  
 
  	
  
 
  
	
  
Name:
  	
  
 
  	
  
 
  
	
  
Title:
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
 
  
	
  Address:
  	
  
 
  	
  
Gustav   Mahlerlaan 10
  
	
  
 
  	
  
 
  	
  
1000   EA Amsterdam
  
	
  
 
  	
  
 
  	
  
The   Netherlands
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Fax:
  	
  
 
  	
  
+ 31 20 383 3455
  
	
  
Tel:
  	
  
 
  	
  
+ 31 20 628 1478 / 8520
  
	
  
Attention:
  	
  
 
  	
  
Vincent   Zimmermann / Robert Kuiken
  

- 12 -Exhibit 4.2.2

EXECUTION VERSION

RESTATED

$223,000,000

PRE-EXPORT FINANCE AGREEMENT

as restated on 27 September, 2006
 pursuant to a Restatement Agreement
 dated 27 September, 2006

for

VOTORANTIM CELULOSE E PAPEL S.A.

arranged by

ABN AMRO BANK N.V.

with

ABN AMRO BANK N.V.

as Agent and Trustee

CONTENTS

	
  
1.
  	
  
Definitions   and Interpretation
  	
  
  5
  
	
  
 
  	
  
 
  	
  
 
  
	
  
2.
  	
  
Loan Amounts
  	
  
22
  
	
   
  	
  
 
  	
  
 
  
	
  
3.
  	
  
Purpose
  	
  
23
  
	
  
 
  	
  
 
  	
  
 
  
	
  
4.
  	
  
Repayment
  	
  
23
  
	
  
 
  	
  
 
  	
  
 
  
	
  
5.
  	
  
Prepayment
  	
  
24
  
	
  
 
  	
  
 
  	
  
 
  
	
  
6.
  	
  
Interest
  	
  
25
  
	
   
  	
  
 
  	
  
 
  
	
  
7.
  	
  
Interest   Periods
  	
  
27
  
	
  
 
  	
  
 
  	
  
 
  
	
  
8.
  	
  
Changes to   the Calculation of Interest
  	
  
28
  
	
  
 
  	
  
 
  	
  
 
  
	
  
9.
  	
  
Not Used
  	
  
29
  
	
  
 
  	
  
 
  	
  
 
  
	
  
10.
  	
  
Tax Gross-Up   and Indemnities
  	
  
29
  
	
   
  	
  
 
  	
  
 
  
	
  
11.
  	
  
Increased   Costs
  	
  
30
  
	
  
 
  	
  
 
  	
  
 
  
	
  
12.
  	
  
Other   Indemnities
  	
  
31
  
	
  
 
  	
  
 
  	
  
 
  
	
  
13.
  	
  
Mitigation   by the Lenders
  	
  
33
  
	
  
 
  	
  
 
  	
  
 
  
	
  
14.
  	
  
Costs and   Expenses
  	
  
33
  
	
   
  	
  
 
  	
  
 
  
	
  
15.
  	
  
Guarantee   and Indemnity
  	
  
34
  
	
  
 
  	
  
 
  	
  
 
  
	
  
16.
  	
  
Representations
  	
  
36
  
	
  
 
  	
  
 
  	
  
 
  
	
  
17.
  	
  
Information   Undertakings
  	
  
42
  
	
  
 
  	
  
 
  	
  
 
  
	
  
18.
  	
  
Financial   Covenants
  	
  
45
  
	
   
  	
  
 
  	
  
 
  
	
  
19.
  	
  
General   Undertakings
  	
  
45
  
	
  
 
  	
  
 
  	
  
 
  
	
  
20.
  	
  
Debt Service   Undertakings
  	
  
52
  
	
  
 
  	
  
 
  	
  
 
  
	
  
21.
  	
  
Events of   Default
  	
  
54
  
	
  
 
  	
  
 
  	
  
 
  
	
  
22.
  	
  
Changes to   the Lenders
  	
  
58
  
	
   
  	
  
 
  	
  
 
  
	
  
23.
  	
  
Changes to   the Obligors
  	
  
62
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.
  	
  
Role of the   Agent and the Arranger
  	
  
62
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.
  	
  
Role of   Trustee
  	
  
68
  
	
  
 
  	
  
 
  	
  
 
  
	
  
26.
  	
  
Conduct of   Business by the Finance Parties
  	
  
75
  
	
   
  	
  
 
  	
  
 
  
	
  
27.
  	
  
Sharing   among the Finance Parties
  	
  
75
  
	
  
 
  	
  
 
  	
  
 
  
	
  
28.
  	
  
Payment   Mechanics
  	
  
77
  
	
  
 
  	
  
 
  	
  
 
  
	
  
29.
  	
  
Set-Off
  	
  
79
  
	
  
 
  	
  
 
  	
  
 
  
	
  
30.
  	
  
Application   of Proceeds
  	
  
79
  
	
   
  	
  
 
  	
  
 
  
	
  
31.
  	
  
Notices
  	
  
81
  
	
  
 
  	
  
 
  	
  
 
  
	
  
32.
  	
  
Calculations   and Certificates
  	
  
83
  
	
  
 
  	
  
 
  	
  
 
  
	
  
33.
  	
  
Partial   Invalidity
  	
  
83
  
	
  
 
  	
  
 
  	
  
 
  
	
  
34.
  	
  
Remedies and   Waivers
  	
  
83
  

- 2 -

	
  
35.
  	
  
Amendments   and Waivers
  	
  
84
  
	
  
 
  	
  
 
  	
  
 
  
	
  
36.
  	
  
Counterparts
  	
  
84
  
	
  
 
  	
  
 
  	
  
 
  
	
  
37.
  	
  
Governing   Law
  	
  
85
  
	
  
 
  	
  
 
  	
  
 
  
	
  38.
  	
  
Enforcement
  	
  
85
  

	
  
Schedule 1
  	
  
The Existing Lenders
  	
  
86
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Schedule 2
  	
  
Form of Transfer   Certificate
  	
  
87
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Schedule 3
  	
  
Form of Compliance   Certificate
  	
  
89
  
	
   
  	
  
 
  	
  
 
  
	
  
Schedule 4
  	
  
Payment Dates
  	
  
90
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Schedule   5
  	
  
Initial   Buyers
  	
  
91
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Schedule 6
  	
  
Form of Irrevocable Payment   Instructions
  	
  
92
  
	
  
 
  	
  
 
  	
  
 
  
	
  
Schedule 7
  	
  
Form of Sales Contract   Designation Notice
  	
  
93
  

- 3 -

THIS AGREEMENT is dated 27 September 2006 and made between:

	
  
(1)
  	
  
VOTORANTIM CELULOSE E PAPEL S.A., a company   incorporated under the laws of the Federative Republic of Brazil, having its   principal place of business located at Alameda Santos, 1357 – 7, São Paulo –   SP, enrolled with the CNPJ/MF under number 60.643.228/0001-21, as borrower   (the “Borrower”);
  
	
  
 
  	
  
 
  
	
  
(2)
  	
  
VCP OVERSEAS HOLDING LTD. BUDAPEST, BAAR BRANCH, a branch of VCP Overseas   Holding KFT (a company organised under the laws of Hungary), licensed in the   commercial register of the canton of Zug, Switzerland, as guarantor (the “Guarantor”);
  
	
  
 
  	
  
 
  
	
  
(3)
  	
  
ABN AMRO BANK N.V., as arranger (the “Arranger”);
  
	
  
 
  	
  
 
  
	
  (4)
  	
  
THE FINANCIAL INSTITUTIONS listed in   Schedule 1 as Lenders (the “Existing   Lenders”);
  
	
  
 
  	
  
 
  
	
  
(5)
  	
  
ABN AMRO BANK N.V., as agent of the other   Finance Parties (the “Agent”);   and
  
	
  
 
  	
  
 
  
	
  
(6)
  	
  
ABN AMRO BANK N.V. as trustee for the   Secured Parties (the “Trustee”).
  
	
  
 
  	
  
 
  
	
  
BACKGROUND:
  
	
  
 
  	
  
 
  
	
  
(A)
  	
  
The ABN   Loans (as defined below) are outstanding from the Borrower to the Existing   Lenders.
  
	
  
 
  	
  
 
  
	
  (B)
  	
  
The parties   hereto wished to restate the terms and conditions upon which the ABN Loans   (as defined below) are outstanding in relation to, in particular (but without   limitation), pricing and tenor.
  
	
  
 
  	
  
 
  
	
  
(C)
  	
  
The Borrower   has entered or will enter into one or more purchase agreements with the   Guarantor, pursuant to which the Borrower will sell or cause to sell goods   from Brazil to the Gurantor.
  
	
  
 
  	
  
 
  
	
  
(D)
  	
  
The   Guarantor has entered into or will enter into one or more sales agreements   with third party buyers, pursuant to which the Guarantor will sell or cause   to sell goods supplied by the Borrower to such third party buyers, the   proceeds of which sales are intended to be used to repay the ABN Loans (as   defined below).
  
	
  
 
  	
  
 
  
	
  
(E)
  	
  
The   Guarantor will provide a guarantee with respect to the liabilities and   obligations of the Borrower in the form contained in Clause 15 (Guarantee and Indemnity) of this   Agreement.
  
	
   
  	
  
 
  
	
  
(F)
  	
  
The   Guarantor has agreed to assign to the Trustee, for the benefit of the Secured   Parties (as defined below) certain deposits and sales receivables   pursuant to the Security Documents (as defined below).
  
	
  
 
  	
  
 
  
	
  
(G)
  	
  
Accordingly,   the parties have entered into the Restatement Agreement (as defined below) in   order to restate the terms and conditions upon which the ABN Loans (as   defined below) are outstanding on the terms and conditions of this Agreement   and to give effect to the wishes described in paragraphs (B), (C), (D), (E)   and (F) above as of the Restatement Date (as defined below).
  

- 4 -

	
  
IT IS AGREED as follows:
  
	
  
 
  	
  
 
  
	
  
1.
  	
  
DEFINITIONS   AND INTERPRETATION
  
	
   
  	
  
 
  
	
  
1.1
  	
  
Definitions
  

	
  
 
  	
  
In this   Agreement:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A Loan” means the A1 Loan, the A2 Loan or   the A3 Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A1 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “A1 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
   
  	
  
“A2 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “A2 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A3 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “A3 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A1 Loan Interest Payment Date” means 13   November 2006, the Consolidation Date and each of the dates specified in   Schedule 4 (Payment Dates) as   an Interest Payment Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A2 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
   
  	
  
 
  
	
  
 
  	
  
“A3 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“A Loan Repayment Date” means each of the   Interest Payment Dates set out in Schedule 4 (Payment Dates) on which an amount of principal specified   in the column headed “A Loan Principal Payment Amount” is to be repaid on the   A Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Facility Agreement No. 1” means the   $50,000,000 Export Prepayment Agreement No. G-3605/03 dated December 3, 2003   between VCP Exportadora e Participações S.A. (now Votorantim Celulose e Papel   S.A.), as Borrower and ABN AMRO Bank N.V. as Bank.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Facility Agreement No. 2” means the   $50,000,000 Export Prepayment Agreement No. G-0852/05 dated March 29, 2005   between Votorantim Celulose e Papel S.A. as Borrower and ABN AMRO Bank N.V.   as Bank.
  

- 5 -

	
  
 
  	
  
“ABN Facility Agreements” means the ABN   Facility Agreement No.1 and the ABN Facility Agreement No. 2.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 1” means the $50,000,000   principal amount outstanding from the Borrower to ABN AMRO Bank N.V. with   respect to the loan made available to the Borrower under the ABN Facility   Agreement No. 1 and originally registered with ROF number TA300227.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 1 Accrued Interest Amount”   means the amount of interest accrued but unpaid with respect to the ABN Loan   No. 1 as of the Restatement Date, being $1,075,072.92.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 2” means the $50,000,000   principal amount outstanding from the Borrower to ABN AMRO Bank N.V. with   respect to the loan made available to the Borrower under the ABN Facility   Agreement No. 2 and originally registered with ROF number TA331696.
  
	
   
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 2 Accrued Interest Amount”   means the amount of interest accrued but unpaid with respect to the ABN Loan   No. 2 as of the Restatement Date, being $56,729.17.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 3” means the $123,000,000   principal amount outstanding from the Borrower to ABN AMRO Bank N.V. with   respect to the loan made available by ABN AMRO Bank N.V to the Borrower on 27   June 2006 and registered with ROF numbers TA383445, TA383447 and TA383450.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loan No. 3 Accrued Interest Amount”   means the amount of interest accrued but unpaid with respect to the ABN Loan   No. 3 as of the Restatement Date, being $722,548.74.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“ABN Loans” means the ABN Loan No.1, the   ABN Loan No. 2 and the ABN Loan No. 3.
  
	
   
  	
  
 
  
	
  
 
  	
  
“Aggregate Sales Value” means, with   respect to any Coverage Period, the amount which is the aggregate of the   Sales Value of each Sales Contract for that Coverage Period.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Affiliate” means, in relation to any   Person, a Subsidiary of that Person or a Holding Company of that Person or   any other Subsidiary of that Holding Company.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Applicable Law” means any applicable   statute, law, regulation, ordinance, rule, judgment, rule of common law,   order, decree, approval (including any Governmental Approval), concession,   grant, franchise, license, agreement, directive, guideline, policy,   requirement or other governmental restriction or any similar form of decision   of, or determination by (or any interpretation or administration of any of   the foregoing by), any Governmental Authority, whether in effect as of the   date hereof or hereafter.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Assignment Agreement” means the   assignment agreement dated the Restatement Date between the Guarantor as   assignor and the Trustee as assignee.
  

- 6 -

	
  
 
  	
  
“Authorisation” means an authorisation,   consent, approval, resolution, licence, exemption, filing, notarisation or   registration.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B Loan” means the B1 Loan, the B2 Loan or   the B3 Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B1 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “B1 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B2 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “B2 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
   
  	
  
 
  
	
  
 
  	
  
“B3 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “B3 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B1 Loan Interest Payment Date” means 13   November 2006, the Consolidation Date and each of the dates specified in   Schedule 4 (Payment Dates) as   an Interest Payment Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B2 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“B3 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
   
  	
  
 
  
	
  
 
  	
  
“B Loan Repayment Date” means each of the   Interest Payment Dates set out in Schedule 4 (Payment Dates) on which an amount of principal specified   in the column headed “B Loan Principal Payment Amount” is to be repaid on the   B Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Brazil” means the Federative Republic of   Brazil.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Break Costs” means the amount (if any) by   which:
  

	
  
 
  	
  
(a)
  	
  
the interest   which a Lender should have received for the period from the date of receipt   of all or any part of a Loan or Unpaid Sum to the last day of the current   Interest Period in respect of that Loan or Unpaid Sum, had the principal   amount or Unpaid Sum received been paid on the last day of that Interest   Period;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
exceeds:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the amount   which that Lender would be able to obtain by placing an amount equal to the   principal amount or Unpaid Sum received by it on deposit with a leading bank   in the Relevant Interbank Market for a period starting on the Business Day   following receipt or recovery and ending on the last day of the current   Interest Period,
  

- 7 -

	
  
 
  	
  
provided   that for the purpose of paragraph (a) above, the interest which a Lender   should have received for any period shall be calculated on the basis that the   relevant Lender should not have received the Margin element of such interest   for such period.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Business Day” means a day (other than a   Saturday or Sunday) on which banks are open for general business in   Amsterdam, New York and São Paulo.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Buyer” means each of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the Persons   listed in Schedule 5 (Initial Buyers);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any Covered   Buyer;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
any Payment   Pre-shipment Buyer; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
any other   Person or Persons agreed between the Borrower and the Agent to be a “Buyer”.
  

	
  
 
  	
  
“C Loan” means the C1 Loan, the C2 Loan or   the C3 Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“C1 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “C1 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
   
  	
  
 
  
	
  
 
  	
  
“C2 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “C2 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“C3 Loan” means the term loan being the   aggregate of the principal amounts outstanding to each Existing Lender set   opposite its name in the column headed “C3 Loan” in Schedule 1 (The Existing Lenders) or the principal   amount outstanding for the time being of that loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“C1 Loan Interest Payment Date” means 13   November 2006, the Consolidation Date and each of the dates specified in   Schedule 4 (Payment Dates) as   an Interest Payment Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“C2 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
   
  	
  
 
  
	
  
 
  	
  
“C3 Loan Interest Payment Date” means the   Consolidation Date and each of the dates specified in Schedule 4 (Payment Dates) as an Interest Payment   Date.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“C Loan Repayment Date” means each of the   Interest Payment Dates set out in Schedule 4 (Payment Dates) on which an amount of principal specified   in the column headed “C Principal Payment Amount” is to be repaid on the C   Loan.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Capital Lease Obligations” means, as to a   Person, the obligations of such Person to pay rent or other amounts under a   lease of (or other agreement conveying the right to use) real and/or personal   property, which obligations are required to be classified and accounted for   as a capital lease on a balance sheet of such Person under GAAP and, for the   purposes of this Agreement, the amount of such obligations shall be the   capitalised amount thereof determined in accordance with GAAP.
  

- 8 -

	
  
 
  	
  
“Capital Stock” means, as to any Person,   any and all shares, interests, participations, quotas or other equivalents   (however designated) of capital stock of a corporation, any and all ownership   interests in a Person other than a corporation and any and all warrants or   options to purchase any of the foregoing.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Cash Equivalents” means any of the   following:
  

	
  
 
  	
  
(a)
  	
  
readily   marketable direct obligations of the government of the United States of   America or any agency or instrumentality thereof or obligations   unconditionally guaranteed by the full faith and credit of the government of   the United States;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
insured   certificates of deposit of or time deposits with a Lender or a member of the   Federal Reserve System, which member issues (or the parent of which member   issues) commercial paper rated as described in paragraph (c) below, is   organised under the laws of the United States of America or any State (or the   District of Colombia) thereof and has a combined capital surplus of at least   $1,000,000,000,000;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
commercial   paper in an aggregate amount of no more than $10,000,000 per issue   outstanding at any time, issued by any corporation organised under the laws   of any State (or the District of Colombia) of the United States of America   and rated at least “Prime-1” (or the then equivalent grade) by Moody’s and   “A-1” (or the then equivalent grade) by S&P; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
other   investments considered as cash equivalents under GAAP.
  

	
  
 
  	
  
“Collection Account” means the dollar   account with ABN AMRO Bank N.V. in Amsterdam in the name of the Guarantor   with account number 56.42.26.475 USD (and any other renewal or redesignation   thereof) or such other account as may be designated as the “Collection   Account” from time to time by the Trustee.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Collection Account Amount” means, at any   time, the amount then standing to the credit of the Collection Account.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Collection Account Security Agreement”   means the Collection Account pledge agreement governed by the laws of The   Netherlands dated the Restatement Date between the Guarantor as pledgor and   the Trustee as pledgee, pursuant to which the Guarantor grants a security   interest over, inter alia, all   amounts standing to the credit of the Collection Account in favour of the   Trustee to secure each of the Obligor’s obligations under the Finance   Documents.
  
	
  
 
  	
  
 
  
	
   
  	
  
“Compliance Certificate” means a   certificate substantially in the form set out in Schedule 3 (Form of Compliance Certificate).
  

- 9 -

	
  
 
  	
  
“Confidentiality Undertaking” means a   confidentiality undertaking substantially in the then current recommended   form of the LMA or in any form agreed between the Borrower and the Agent.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Consolidated Net Tangible Assets” means,   on a consolidated basis, the Borrower’s total assets, less current   liabilities, less depreciation, amortisation and depletion, less goodwill,   trade names, trademarks, patents and other intangibles, calculated based on   the most recent balance sheet delivered by the Borrower to the Agent pursuant   to this Agreement.
  
	
  
 
  	
  
 
  
	
  
 
  	
  

“Consolidation Date” means 20 November 2006.
 
	
   
  	
  
 
  
	
  
 
  	
  

“Coverage Period” means the period commencing on the Restatement
Date and ending on the Consolidation Date and thereafter each successive period
commencing on the last day of the preceding Coverage Period and ending on the
next succeeding date specified in Schedule 4 (Payment Dates) as an
Interest Payment Date.
 
	
  
 
  	
  
 
  
	
  
 
  	
  
“Covered Buyer” means any Person that   purchases Products from the Guarantor with the support of a letter or letters   of credit or an insurance policy or policies issued by a Permitted Covering   Institution covering the full amount of the purchase price due to the   Guarantor for such Products.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Debt” means, with respect to any Person   (determined without duplication):
  

	
   
  	
  
(a)
  	
  
all   indebtedness of such Person for borrowed money;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
all   obligations of such Person for the deferred purchase price of property or   services (other than (i) trade payables (whether payable to Affiliates or   other Persons) incurred in the ordinary course of such Person’s business, but   only if and for so long as such trade payables remain payable on customary   trade terms and (ii) accrued expenses incurred in the ordinary course of   business);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
all   obligations of such Person evidenced by notes, bonds, debentures or other   similar documents;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(d)
  	
  
all   obligations, contingent or otherwise, of such Person in connection with any   securitization of any products, receivables or other property;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
all   obligations of such Person created or arising under any conditional sale or   other title retention agreement with respect to property acquired by such   Person (even though the rights and remedies of the seller or the lender under   such agreement in an event of default are limited to repossession or sale of   such property);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
all Capital   Lease Obligations and similar obligations under “synthetic leases” of such   Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(g)
  	
  
all   obligations, contingent or otherwise, of such Person in respect of   acceptances, letters of credit, financial guarantee insurance policies or   similar extensions of credit (excluding trade payables to the extent excluded   from paragraph (b) above);
  

- 10 -

	
  
 
  	
  
(h)
  	
  
all   obligations of such Person to redeem, retire, defease or otherwise make any   payment in respect of any capital stock of such Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
all net   obligations of such Person in respect of any interest rate protection   agreement or any currency swap, cap or collar agreement or similar   arrangement entered into by such Person providing for the transfer or   mitigation of interest rate or currency risks either generally or under   specific contingencies (but without regard to any notional principal amount   relating thereto);
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(j)
  	
  
all Debt of   other Persons of a type referred to in paragraphs (a) to (i) or paragraph (k)   that is guaranteed by such Person; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(k)
  	
  
all Debt   referred to in paragraphs (a) to (j) secured by (or for which the holder of   such Debt has an existing right, contingent or otherwise, to be secured by)   any Security on property of such Person even though such Person has not   assumed or become liable for the payment of such Debt,
  

	
  
 
  	
  
in each case   whether incurred as principal or as surety and whether present or future,   actual or contingent; provided that   “Debt” shall exclude any unsecured guarantee made for the benefit of any   Person pursuant to a vendor financing transaction for the sale of Products to   such Person and in no event shall “Debt” include any liability for Taxes.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Debt Service Coverage Ratio” means, as of   the last day of any Fiscal Semester, the ratio (expressed as a decimal) of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the sum of:   (i) EBITDA for the two Fiscal Semesters ending on such day plus (ii) the   amount of cash on the Borrower’s consolidated balance sheet as of such day   plus (iii) the sum of, for each marketable security (including Cash   Equivalents) on the Borrower’s consolidated balance sheet as of such day,   calculated at the lower of: (A) the face value and (B) the market value of   such marketable security as of such day; to
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the   aggregate amount of Debt of the Borrower (on a consolidated basis) that   matured during the two Fiscal Semesters ending on such day plus the aggregate   amount of actual Interest Expense during such two Fiscal Semesters.  For the purpose of clarification, the   calculation of the Debt Service Coverage Ratio (and all components thereof)   shall be made using GAAP.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Debt Service Obligation” means:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
with respect   to any completed Coverage Period, the aggregate of (i) the amount of the   scheduled (i.e. without regard to any increase paid or payable under the   Finance Documents due to a prepayment (whether voluntary or otherwise))   instalment of principal (if any) which fell due for payment on the last day   of such Coverage Period and (ii) the amount of accrued interest which fell   due for payment during or on the last day of that Coverage Period; and
  

- 11 -

	
  
 
  	
  
(b)
  	
  
with respect   to any Coverage Period which has not yet been completed, the aggregate of (i)   the amount of the scheduled (i.e. without regard to any increase paid or   payable under the Finance Documents due to a prepayment (whether voluntary or   otherwise)) instalment of principal (if any) which will fall due for payment   on the last day of that Coverage Period and (ii) the amount of accrued   interest which will, in the absence of any unanticipated acceleration or   unanticipated prepayment of a Loan prior to the last day of that Coverage   Period, fall due for payment during or on the last day of that Coverage Period   (and for the purposes of any calculation under this part (ii) it shall, to   the extent necessary, be assumed that LIBOR applicable with respect to any   Interest Period for a Loan which has not yet commenced shall be equal to   LIBOR applicable with respect to the then current Interest Period for that   Loan).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Default” means an Event of Default or any   event or circumstance specified in Clause 21 (Events of Default) which would (with the expiry of a grace   period, the giving of notice, the making of any determination under the   Finance Documents or any combination of any of the foregoing) be an Event of   Default.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Delegate” means any delegate, agent,   attorney or co-trustee appointed by the Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Designated Subsidiary” means any Person   which is a Subsidiary of the Borrower and accounts for 20% or more of the   total assets of the Borrower and its consolidated Subsidiaries as determined   in accordance with GAAP.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“EBITDA” means, during any period, the   total earnings of the Borrower (on a consolidated basis and without   duplication) before income taxes, Interest Expense, depreciation and   amortisation during such period, eliminating from the calculation of such   earnings:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any net   income or gain (or net loss), net of any tax effect, during such period from   any extraordinary items;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any interest   income during such period;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
gains or   losses during such period on the sale of property (other than the sale of   inventory in the ordinary course of business);
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
any other   extraordinary non-cash items deducted from or included in the calculation of   pre-tax net income for such period (other than items that will require cash   payments and for which an accrual or reserve has been, or is required by GAAP   to be, made); and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
any net   income or gain (or net loss) on any foreign exchange transactions or net   monetary positions.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Environmental Claim” means any claim,   proceeding or investigation by any Person in respect of any Environmental   Law.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Environmental Law” means any applicable   law in any jurisdiction in which any member of the Group conducts business   which relates to the pollution or protection of the environment or harm to or   the protection of human health or the health of animals or plants.
  

- 12 -

	
  
 
  	
  
“Environmental Permits” means any permit,   licence, consent, approval and other authorisation and the filing of any   notification, report or assessment required under any Environmental Law for   the operation of the business of any member of the Group conducted on or from   the properties owned or used by the relevant member of the Group.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Event of Default” means any event or   circumstance specified as such in Clause 21 (Events   of Default).
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Facility Office” means the office or   offices notified by a Lender to the Agent in writing on or before the date it   becomes a Lender (or, following that date, by not less than five Business   Days’ written notice) as the office or offices through which it will perform   its obligations under this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Finance Document” means this Agreement,   the Restatement Agreement, each Security Document, each Sales Contract   Designation Notice, each Irrevocable Payment Instructions with respect to   each Sales Contract and any other document designated as such by the Agent   and the Borrower.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Finance Party” means each of the Agent,   the Arranger, the Trustee and each Lender.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Fiscal Semester” means each period from   and including 1 January to and including 30 June of each year and from and   including 1 July to and including 31 December of each year.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“GAAP” means, with respect to (i) the   Borrower, generally accepted accounting principles (as in effect from time to   time) in Brazil and (ii) the Guarantor, generally accepted according   principles (as in effect from time to time) in the United States of America.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Governmental Authority” means any nation   or government, any state or municipality, any multi-lateral or similar   organisation or any other agency, instrumentality or political subdivision   thereof and any entity exercising executive, legislative, judicial, monetary,   regulatory or administrative functions of or pertaining to government.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Group” means the Borrower and its   Subsidiaries for the time being.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Holding Company” means, in relation to a   company or corporation, any other company or corporation in respect of which   it is a Subsidiary.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Increased Costs” means:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
a reduction   in the rate of return from a Loan or on a Lender’s (or its Affiliate’s)   overall capital;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
an additional   or increased cost; or
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
a reduction   of any amount due and payable under any Finance Document.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Interest Expense” means, for any period,   interest (or similar) expense on Debt of the Borrower (on a consolidated   basis) including (without duplication):
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
fees   (including commitment fees);
  

- 13 -

	
  
 
  	
  
(b)
  	
  
net payments   under any interest rate protection agreement or other hedging agreement;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the interest   portion of any deferred payment obligations;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
all fees and   charges owed with respect to letters of credit or performance or other bonds;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
all accrued   or capitalised interest;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
any   amortisation of debt discount; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(g)
  	
  
all but the   principal component of payments relating to Capital Lease Obligations.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
For the   purpose of clarification, the calculation of Interest Expense (and all   components thereof) shall be made using GAAP.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Interest Payment Date” means, with   respect to the A1 Loan, each A1 Loan Interest Payment Date; with respect to   the A2 Loan, each A2 Loan Interest Payment Date; with respect to the A3 Loan,   each A3 Loan Interest Payment Date; with respect to the B1 Loan, each B1 Loan   Interest Payment Date; with respect to the B2 Loan, each B2 Loan Interest   Payment Date; with respect to the B3 Loan, each B3 Loan Interest Payment   Date; with respect to the C1 Loan, each C1 Loan Interest Payment Date; with   respect to the C2 Loan, each C2 Loan Interest Payment Date; and with respect   to the C3 Loan, each C3 Loan Interest Payment Date.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Interest Period” means, in relation to a   Loan, each period determined in accordance with Clause 7 (Interest Periods) and, in relation to an   Unpaid Sum, each period determined in accordance with Clause 6.3 (Default interest).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Irrevocable Payment Instructions” means,   with respect to any Sales Contract, a notice of assignment and irrevocable   payment instructions given or to be given by the Guarantor to the relevant   Buyer with respect to that Sales Contract substantially in the form set out   in Schedule 6 (Form of Irrevocable Payment   Instructions).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Lender” means:
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
any Existing   Lender; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any bank,   financial institution, trust, fund or other entity which has become a Party   in accordance with Clause 22 (Changes to   the Lenders),
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
which in   each case has not ceased to be a Party in accordance with the terms of this   Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“LIBOR” shall mean, for any Interest   Period, an interest rate per annum determined on the basis of the London   interbank offered rate for deposits in dollars for a period of time   comparable to the relevant Interest Period, as shown on the display page   designated British Bankers Association Interest Settlement Rates, “LIBOR 01”   Page, on the Reuters screen (or such other page on the Reuters screen as may   customarily be used from 
  

- 14 -

	
  
 
  	
  
time to time   in the Relevant Interbank Market to determine LIBOR for dollars) or such   other page or service which displays such a rate for deposits of dollars as   the Agent, after consultation with the Borrower, shall select, at   approximately 11:00 a.m., London time, 2 London Business Days prior to the   first day of such Interest Period. In the event that such rate does not   appear on such LIBOR 01 Reuters screen page, or such other page as may   replace that page in that service or be selected by the Agent after   consultation with the Borrower, then LIBOR shall be the arithmetic mean   (expressed as an annual rate and rounded upwards, if necessary, to the   nearest 1/16 of 1%) of the rates quoted at approximately 11:00 a.m. London   time on that day by Reference Banks, chosen by the Agent, as the rate at   which deposits in dollars are offered to prime banks, in the London interbank   market for a period of time comparable to the relevant Interest
Period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“LMA” means the Loan Market Association.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Loan” means an A Loan, B Loan or C Loan.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“London Business Day” means a day (other   than a Saturday or Sunday) on which banks are open for general business in   London.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  

“Majority Lenders” means a Lender or Lenders whose
participations in the Loans outstanding aggregate more than 662/3% of all
the Loans outstanding.
 
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Margin” means:
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
in relation   to an A Loan, 0.25 per cent. per annum;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
in relation   to a B Loan, 0.425 per cent. per annum; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
in relation   to a C Loan, 0.75 per cent. per annum.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Market Disruption Event” means before   close of business in London on the Quotation Day for the relevant Interest   Period where LIBOR is determined on the basis of quotations supplied by the   Reference Banks (i) none, or one only, of the Reference Banks supplies a rate   for the purposes of determining LIBOR or (ii) a Lender reasonably determines   that, by reason of circumstances affecting the Relevant Interbank Market,   adequate and fair means do not exist for ascertaining the rate of interest by   reference to LIBOR.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Material Adverse Effect” means a material   adverse effect on:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   business, operations, property, condition (financial or otherwise) or   prospects of the Obligors and the Designated Subsidiaries taken as a whole   which will, in the opinion of the Agent (as explained in writing), adversely   affect the ability of any Obligor to perform any of its obligations under any   Finance Document; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the validity   or enforceability of any Finance Document or any rights or remedies of any   Finance Party under any Finance Document.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Month” means a period starting on one day   in a calendar month and ending on the numerically corresponding day in the   next calendar month, except that:
  

- 15 -

	
  
 
  	
  
(a)
  	
  
(subject to   paragraph (c) below) if the numerically corresponding day is not a Business   Day, that period shall end on the next Business Day in that calendar month in   which that period is to end if there is one, or if there is not, on the   immediately preceding Business Day;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
if there is   no numerically corresponding day in the calendar month in which that period   is to end, that period shall end on the last Business Day in that calendar   month; and
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
if an   Interest Period begins on the last Business Day of a calendar month, that   Interest Period shall end on the last Business Day in the calendar month in   which that Interest Period is to end.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The above   rules will only apply to the last Month of any period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Moody’s” means Moody’s Investors Service,   Inc. or any successor organisation thereto.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Net Debt” means, as of the last day of   any Fiscal Semester, Total Debt as of such day minus the sum of: (a) the   aggregate amount of cash on the Borrower’s consolidated balance sheet as of   such day plus (b) the sum of, for each marketable security (including Cash   Equivalents) on the Borrower’s consolidated balance sheet as of such day, the   lower of: (i) the face value and (ii) the market value of such marketable   security as of such day. For the purpose of clarification, the calculation of   Net Debt (and all components thereof) shall be made using GAAP.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Net Debt to EBITDA Ratio” means, as of   the last day of any Fiscal Semester, the ratio (expressed as a decimal) of   (a) Net Debt as of such day to (b) EBITDA for the two Fiscal Semesters ending   on such day.  For the purpose of   clarification, the calculation of the Net Debt to EBITDA Ratio (and all components   thereof) shall be made using GAAP.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Obligor” means each of the Borrower and   the Guarantor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Original Financial Statements” means the   audited consolidated financial statements of the Borrower and the Guarantor   for the financial year ended 31 December 2005.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Parent” means Votorantim Participações   S.A.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Party” means a party to this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Payment Pre-shipment Buyer” means any   Person which is acceptable to the Trustee and which:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
is not   listed on the “Specially Designated Nationals and Blocked Persons” list   maintained by the Office of Foreign Assets Control of the United States   Department of the Treasury (“OFAC”)   or domiciled in a jurisdiction with respect to which OFAC or the United   Nations maintains sanctions programs restricting the purchase, sale or   financing of goods; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
purchases   Products from the Guarantor on terms that payment of the purchase price for   such Products must be made in full prior to shipment of such Products to such   Person.
  

- 16 -

	
  
 
  	
  
“Payment Testing   Date” means each of the days falling three Business Days prior to   the last day of a Coverage Period.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Permitted Covering Institution” means, at   any time:
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
a financial   institution with a long term senior credit rating of at least A from S&P   or A2 from Moody’s; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any other   financial institution agreed from time to time between the Borrower and the   Agent to be a “Permitted Covering Institution”.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Permitted Security” means:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any Security   imposed by applicable law that were incurred in the ordinary course of   business, including carriers’, warehousemen’s and mechanics’ liens, statutory   landlord’s liens and other similar liens and encumbrances arising in the   ordinary course of business, in each case that:  (i) do not in the aggregate materially detract from the value   of the assets subject thereto or materially impair the use thereof in the   operations of the business of the Person owning such assets; or (ii) are   being contested in good faith by appropriate proceedings promptly initiated   and diligently conducted, which proceedings have the effect of preventing the   forfeiture or sale of the assets subject to such liens and/or encumbrances;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any Security   securing taxes, assessments and other governmental charges or levies, in each   case the payment of which is not yet due or is being contested in good faith   by appropriate proceedings and diligently conducted and for which such   reserve or other appropriate provisions, if any, as shall be required by GAAP   shall have been made;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
pledges or   deposits made in the ordinary course of business in connection with workers’   compensation, unemployment insurance or other similar social security   legislation;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
encumbrances,   security deposits or reserves maintained in the ordinary course of business   and required by applicable law; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
survey   exceptions, encumbrances, easements or reservations of, or rights of others   for, licenses, rights of way, sewers, electric lines, telegraph and telephone   lines and other similar purposes, or zoning or other restrictions as to the   use of real property or Security incidental to the ownership of assets which   were not incurred in connection with indebtedness and which do not in the   aggregate materially adversely affect the value of said properties or   materially impair the use of the assets affected thereby.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Person” shall mean any individual, firm,   company, corporation, partnership (whether or not having separate legal   personality), trust, unincorporated organisation, joint stock company or   other legal entity or organisation and any government or agency or political   subdivision thereof.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Products” means bleached eucalyptus kraft   pulp and paper products.
  

- 17 -

	
  
 
  	
  
“Quotation Day” means, in relation to any period   for which an interest rate is to be determined, two London Business Days   before the first day of that period (excluding such first day).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Receiver” means a receiver or receiver   and manager or administrative receiver of the whole or any part of the   Secured Property.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Reference   Banks” means three or more banks active in the Eurodollar   interbank market whose S&P rating (or the equivalent rating from Moody’s   or Fitch) is the same as or higher than that of the Administrative Agent on   the date hereof.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Relevant Interbank Market” means the   London interbank market.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Repeating Representations” means each of   the representations set out in Clauses 16.1 (Status)   to 16.6 (Governing law and enforcement),   Clause 16.9 (No default),   paragraph (d) of Clause 16.11 (No   misleading information), paragraph (d) of Clause 16.12 (Financial Statements), Clause 16.13 (Pari passu ranking), paragraph (b) of   Clause 16.17 (Taxation) and   Clauses 16.20 (Ranking) to   16.23 (Ownership).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Restatement Agreement” means the   restatement agreement dated 27 September, 2006 pursuant to which the parties   hereto agreed to restate the terms and conditions upon which the ABN Loans   are outstanding on the terms and conditions of this Agreement as of the   Restatement Date.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Restatement Date” has the meaning given   to such term in the Restatement Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Sales Contract” means each agreement   (which may be formed or confirmed by delivery of an invoice, exchange of   letters and/or other correspondence) for the sale of Products by the   Guarantor to a Buyer which has been designated a “Sales Contract” for the   purpose of the Finance Documents by the Guarantor by delivery to the Trustee   of a duly executed Sales Contract Designation Notice together with the   documentation referred to in such Sales Contract Designation Notice.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Sales Contract Designation Notice” means   a notice given by the Guarantor to the Agent substantially in the form of   Schedule 7 (Form of Sales Contract   Designation Notice).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Sales Value” means, with respect to any   Sales Contract and any Coverage Period, the amount which is the quantity of   Products delivered or to be delivered by the Guarantor under that Sales   Contract during that Coverage Period multiplied by the fixed price for the   relevant Products as specified in that Sales Contract or, if in any case no   fixed price is specified, the market price for the relevant Products as at   the time that the relevant calculation of the Sales Value is made.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Sales Value Testing Date” means each of the days falling thirty days   prior to the last day of a Coverage Period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Secured Obligations” means all   obligations at any time due, owing or incurred by any Obligor to any Secured   Party under the Finance Documents, whether present or future, actual or   contingent (and whether incurred solely or jointly and whether as principal   or as surety or in some other capacity).
  

- 18 -

	
  
 
  	
  
“Secured Parties” means the Trustee, any   Receiver or Delegate, the Agent and each Lender from time to time party to   this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Secured Property” means all right, title   and interest in or to any of the assets which are subject to (or purported to   be subject to) the Security Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Security” means a mortgage, charge,   pledge, lien or other security interest securing any obligation of any Person   or any other agreement or arrangement having a similar effect.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Security Documents” means each of the   Collection Account Security Agreement and the Assignment Agreement together   with any other document entered into by an Obligor creating or expressed to   create any Security over all or any part of its assets in respect of the   obligations of the Obligors under any of the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“S&P” means Standard & Poor’s   Rating Group, a division of McGraw Hill, Inc. a New York corporation or any   successor organisation thereto.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Subsidiary” means in relation to any   company or corporation, a company or corporation:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
which is   controlled, directly or indirectly, by the first mentioned company or   corporation;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
more than   half the issued voting share capital of which is beneficially owned, directly   or indirectly by the first mentioned company or corporation; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
which is a   Subsidiary of another Subsidiary of the first mentioned company or   corporation,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
and for this   purpose, a company or corporation shall be treated as being controlled by   another if that other company or corporation is able to direct its affairs   and/or to control the composition of its board of directors or equivalent   body.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Tax” means any tax, levy, impost, duty or   other charge or withholding of a similar nature (including any penalty or   interest payable in connection with any failure to pay or any delay in paying   any of the same).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Total Capitalisation” means, as of the   last day of any Fiscal Semester, the sum of: (a) Total Debt as of such day   plus (b) the aggregate of shareholders’ equity of the Borrower (on a   consolidated basis) as of such day plus (c) without duplication of clause   (b), the sum of minority interests of other Persons held in the Borrower (on   a consolidated basis) as of such day.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Total Debt” means, as of the last day of   any Fiscal Semester, the aggregate outstanding principal amount of Debt of   the Borrower (on a consolidated basis) as of such day.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Total Debt to Total Capitalisation Ratio”   means, as of the last day of any Fiscal Semester, the ratio (expressed as a   decimal) of: (a) Total Debt as of such day to (b) Total Capitalisation as of   such day. For the purpose of clarification, the calculation of the Total Debt   to Total Capitalisation Ratio (and all components thereof) shall be made   using GAAP.
  

- 19 -

	
  
 
  	
  
“Transaction Documents” means each Finance   Document and each Sales Contract.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Transaction Security” means the Security   created or expressed to be created in favour of the Trustee pursuant to the   Security Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“Transfer Certificate” means a certificate   substantially in the form set out in Schedule 2 (Form of Transfer Certificate) or any   other form approved by the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Transfer Date” means, in relation to a   transfer, the later of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the proposed   Transfer Date specified in the Transfer Certificate; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the date on   which the Agent executes the Transfer Certificate.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Unencumbered Payment” means, at any time,   a payment under a contract or agreement for the sale of Products by the   Guarantor which payment is not subject to any Security and which neither   Obligor has not dedicated to the payment of any specific indebtedness at such   time.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Unencumbered Payment Amount” means, at   any time, the aggregate amount of all Unencumbered Payments which the   Guarantor is due to receive during the then current Coverage Period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
“Unpaid Sum” means any sum due and payable   but unpaid by an Obligor under the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“VAT” means value added tax and any other   tax of a similar nature.
  
	
  
 
  	
  
 
  
	
  
 
  	
  
“Votorantim Party” means each Obligor and   each of its Designated Subsidiaries.
  
	
  
 
  	
  
 
  
	
  
1.2
  	
  
Construction
  

	
  
 
  	
  
(a)
  	
  
Unless a   contrary indication appears any reference in this Agreement to:
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(i)
  	
  
the “Agent”, the “Arranger”, the “Trustee”,   any “Finance Party”, any “Secured Party”, any “Lender”, or any “Party” shall be construed so as to   include its successors in title, permitted assigns and permitted transferees   and, in the case of the Trustee, any Person for the time being appointed as   trustee or trustees in accordance with this Agreement;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
“assets” includes present and future   properties, revenues and rights of every description;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
“indebtedness” includes any obligation   (whether incurred as principal or as surety) for the payment or repayment of   money, whether present or future, actual or contingent;
  

- 20 -

	
  
 
  	
  
 
  	
  
(iv)
  	
  
a “Finance Document” or any other agreement   or instrument is a reference to that Finance Document or other agreement or   instrument as amended or novated;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(v)
  	
  
a “regulation” includes any regulation,   rule, official directive, request or guideline (whether or not having the   force of law) of any governmental, intergovernmental or supranational body,   agency, department or regulatory, self-regulatory or other authority or   organisation;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(vi)
  	
  
a provision   of law is a reference to that provision as amended or re-enacted; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(vii)
  	
  
a time of   day is a reference to London time.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Section,   Clause and Schedule headings are for ease of reference only.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
Unless a   contrary indication appears, a term used in any other Finance Document or in   any notice given under or in connection with any Finance Document has the   same meaning in that Finance Document or notice as in this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
A Default   (other than an Event of Default) is “continuing”   if it has not been remedied or waived and an Event of Default is “continuing” if it has not been waived.
  

	
  
1.3
  	
  
Currency Symbols and Definitions
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
“$” and “dollars”   denote lawful currency of the United States of America.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
1.4
  	
  
Third party rights
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
A Person who   is not a Party has no right under the Contracts (Rights of Third Parties) Act   1999 to enforce or enjoy the benefit of any term of this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
2.
  	
  
LOAN AMOUNTS
  
	
  
 
  	
  
 
  	
  
 
  
	
  2.1
  	
  
Loan Amounts
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
Each of the   Borrower and the Lenders hereby agrees that on and as of the Restatement Date   the principal amounts outstanding to each of the Lenders under this Agreement   in respect of each Loan shall be equal to the amount set opposite such   Lender’s name in the applicable column in Schedule 1 (The Existing Lenders).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
2.2
  	
  
Finance Parties’ rights and obligations
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The   obligations of each Finance Party under the Finance Documents are   several.  Failure by a Finance Party   to perform its obligations under the Finance Documents does not affect the   obligations of any other Party under the Finance Documents.  No Finance Party is responsible for the   obligations of any other Finance Party under the Finance Documents.
  

- 21 -

	
  
 
  	
  
(b)
  	
  
The rights   of each Finance Party under or in connection with the Finance Documents are   separate and independent rights and any debt arising under the Finance   Documents to a Finance Party from an Obligor shall be a separate and   independent debt.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
A Finance   Party may, except as otherwise stated in the Finance Documents, separately   enforce its rights under the Finance Documents.
  

	
  
2.3
  	
  
Power of Attorney
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The   Guarantor may from time to time appoint on a case by case basis the Borrower   to act on its behalf as its agent in relation to the Finance Documents and   may authorise:
  

	
  
 
  	
  
 
  	
  
(i)
  	
  
the Borrower   on its behalf to supply information concerning itself contemplated by this   Agreement to the Finance Parties and to give notices and instructions, to   make such agreements and to effect the relevant amendments, supplements and   variations capable of being given, made or effected by any Obligor   notwithstanding that they may affect the Guarantor, without further reference   to or the consent of the Guarantor; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(ii)
  	
  
each Finance   Party to give any notice, demand or other communication to the Guarantor   pursuant to the Finance Documents to the Borrower,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
and in each   case the Guarantor shall be bound as though the Guarantor itself had given   the notices and instructions or executed or made the agreements or effected   the amendments, supplements or variations, or received the relevant notice,   demand or other communication.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Every act,   omission, agreement, undertaking, settlement, waiver, amendment, supplement,   variation, notice or other communication given or made by, or given to, the   Borrower under any Finance Document on behalf of the Guarantor or in   connection with any Finance Document (whether or not known to the Guarantor)   shall be binding for all purposes on the Guarantor as if the Guarantor had   expressly made, given or concurred with it. In the event of any conflict   between any notices or other communications of the Borrower on behalf of the   Guarantor and the Guarantor, those of the Borrower shall prevail.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
3.
  	
  
PURPOSE
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall apply all of the proceeds of the Loans towards financing investments   and its working capital needs.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
4.
  	
  
REPAYMENT
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  4.1
  	
  
Repayment of Loans
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall repay the A Loans in ten instalments by repaying on each A Loan Repayment   Date the principal amount specified in the column headed “A Loan Principal   Payment Amount” in Schedule 4 (Payment   Dates).
  

- 22 -

	
  
 
  	
  
(b)
  	
  
The Borrower   shall repay the B Loans in ten instalments by repaying on each B Loan   Repayment Date the principal amount specified in the column headed “B Loan   Principal Payment Amount” in Schedule 4 (Payment   Dates).
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
The Borrower   shall repay the C Loans in ten instalments by repaying on each C Loan   Repayment Date the principal amount specified in the Column headed “C Loan   Principal Payment Amount” in Schedule 4 (Payment   Dates).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
4.2
  	
  
Reborrowing
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   may not reborrow any part of a Loan which is repaid.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
5.
  	
  
PREPAYMENT
  
	
  
 
  	
  
 
  	
  
 
  
	
  5.1
  	
  
Illegality
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
If, after   the Restatement Date, the introduction of, or any change in, any applicable   law, rule or regulation or in the interpretation or administration thereof by   any governmental authority charged with the interpretation or administration   thereof, or compliance by any Lender with any request or directive (whether   or not having the force of law) of any such authority, shall make it unlawful   or impossible for any Lender to maintain its participation in any Loan, and   after the Lender has (to the extent it can lawfully do so without prejudice   to its own position) made reasonable efforts to maintain such Loan using   other alternatives such as lending offices in other jurisdictions (provided   that the Lender shall be under no obligation to take any such action if, in   its opinion, to do so may have an adverse effect upon its business,   operations or financial condition), then such Lender shall forthwith so   notify the Agent (who shall notify the
Borrower) in writing, whereupon:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   obligation of such Lender to maintain such Loan shall be terminated; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the Borrower   shall prepay such Loan on the later of (i) the last day of the then current   Interest Period for such Loan and (ii) 30 Business Days after the date of   such notification, provided that the Borrower shall prepay the Loan on any   earlier date that the relevant Lender may notify to the Borrower if such   Lender considers that it is unlawful for the Loan to be maintained beyond   such date.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
5.2
  	
  
Voluntary prepayment
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   may, if it gives the Agent not less than 3 Business Days’ (or such shorter   period as the Majority Lenders may agree) prior notice, prepay the whole or   any part of any Loan (but, if in part, being an amount that reduces the   amount of the Loan by a minimum amount of $5,000,000 and an integral multiple   of $1,000,000).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
A Loan may   only be prepaid after the Consolidation Date.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Any   prepayment under this Clause 5.2 shall satisfy the obligations under Clause   4.1 (Repayment of Loans) in   inverse chronological order.
  

- 23 -

	
  
5.3
  	
  
Restrictions
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
Any notice   of prepayment given by any Party under this Clause 5 shall be irrevocable   and, unless a contrary indication appears in this Agreement, shall specify   the date or dates upon which the relevant prepayment is to be made and the   amount of that prepayment.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any   prepayment under this Agreement shall be made together with accrued interest   on the amount prepaid and, if applicable, any Break Costs.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The Borrower   may not reborrow any part of a Loan which is prepaid.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The Borrower   shall not repay or prepay all or any part of a Loan except at the times and   in the manner expressly provided for in this Agreement.
  
	
   
  	
  
 
  	
  
 
  
	
  
6.
  	
  
INTEREST
  
	
  
 
  	
  
 
  	
  
 
  
	
  
6.1
  	
  
Calculation of interest
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The rate of   interest on the A1 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.27875 per cent. per annum; and, thereafter, the rate   of interest on the A1 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
The rate of   interest on the A2 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.36 per cent. per annum; and, thereafter, the rate of   interest on the A2 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The rate of   interest on the A3 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.39938 per cent. per annum; and, thereafter, the rate   of interest on the A3 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The rate of   interest on the B1 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.27875 per cent. per annum; and, thereafter, the rate   of interest on the B1 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The rate of   interest on the B2 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.36 per cent. per annum; and, thereafter, the rate of   interest on the B2 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  

- 24 -

	
  
 
  	
  
(f)
  	
  
The rate of   interest on the B3 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.39938 per cent. per annum; and, thereafter, the rate   of interest on the B3 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(g)
  	
  
The rate of   interest on the C1 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.27875 per cent. per annum; and, thereafter, the rate   of interest on the C1 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(h)
  	
  
The rate of   interest on the C2 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.36 per cent. per annum; and, thereafter, the rate of   interest on the C2 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
The rate of   interest on the C3 Loan for the first Interest Period in respect of such loan   shall be the percentage rate per annum which is the aggregate of the   applicable Margin and 5.39938 per cent. per annum; and, thereafter, the rate   of interest on the C3 Loan for each subsequent Interest Period shall be the   percentage rate per annum which is the aggregate of the applicable Margin and   LIBOR.
  
	
   
  	
  
 
  	
  
 
  
	
  
6.2
  	
  
Payment of interest
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall pay accrued interest on each Loan on the last day of each Interest   Period relating to that Loan.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Borrower   shall pay:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
the Existing   ABN Loan No. 1 Accrued Interest Amount to the Existing Lenders (pro rata in   accordance with their respective participations in the Loans as of the   Restatement Date) on 13 November 2006;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(ii)
  	
  
the Existing   ABN Loan No. 2 Accrued Interest Amount to the Existing Lenders (pro rata in   accordance with their respective participations in the Loans as of the   Restatement Date) on the Consolidation Date; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(iii)
  	
  
the Existing   ABN Loan No. 3 Accrued Interest Amount to the Existing Lenders (pro rata in   accordance with their respective participations in the Loans as of the   Restatement Date) on the Consolidation Date.
  

- 25 -

	
  
6.3
  	
  
Default interest
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
If an   Obligor fails to pay any amount payable by it under a Finance Document on its   due date, interest shall accrue on the overdue amount from the due date up to   the date of actual payment (both before and after judgment) at a rate which,   subject to paragraph (b) below, is one per cent higher than the rate which   would have been payable if the overdue amount had, during the period of   non-payment, constituted a Loan in the currency of the overdue amount for   successive Interest Periods, each of a duration selected by the Agent (acting   reasonably).  Any interest accruing   under this Clause 6.3 shall be immediately payable by that Obligor on demand   by the Agent.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
If any   overdue amount consists of all or part of a Loan which became due on a day   which was not the last day of an Interest Period relating to that Loan:
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(i)
  	
  
the first   Interest Period for that overdue amount shall be for the period equal to the   unexpired portion of the current Interest Period relating to that Loan; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
the rate of   interest applying to the overdue amount during that first Interest Period   shall be one per cent higher than the rate which would have applied if the   overdue amount had not become due.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Default   interest (if unpaid) arising on an overdue amount will be compounded with the   overdue amount at the end of each Interest Period applicable to that overdue   amount but will remain immediately due and payable.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
6.4
  	
  
Notification of rates of interest
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The Agent   shall promptly notify the Borrower of the applicable interest rate for each   Interest Period and in any event no later than two Business Days after (and   excluding) the date such interest rate is determined.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
7.
  	
  
INTEREST   PERIODS
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  7.1
  	
  
Interest Periods
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
Subject to   this Clause 7, the Interest Period for each Loan will be, initially, the   period commencing on the Restatement Date and ending on the first Interest   Payment Date in respect of that Loan and, thereafter, each successive period   commencing on the last day of the preceding Interest Period and ending on the   next Interest Payment Date in respect of that Loan.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
7.2
  	
  
Non-Business Days
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
If an   Interest Period would otherwise end on a day which is not a Business Day,   that Interest Period will instead end on the next Business Day in that   calendar month (if there is one) or the preceding Business Day (if there is   not).
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
7.3
  	
  
Consolidation of Loans
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
On and from   the Consolidation Date:
  

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(a)
  	
  
the A Loans   will be consolidated into and treated as a single A Loan;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
the B Loans   will be consolidated into and treated as a single B Loan; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the C Loans   will be consolidated into and treated as a single C Loan.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
8.
  	
  
CHANGES TO THE CALCULATION OF INTEREST
  
	
  
 
  	
  
 
  	
  
 
  
	
  
8.1
  	
  
Market disruption
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
If a Market   Disruption Event occurs in relation to a Loan for any Interest Period, then   the Agent and the Borrower shall negotiate (for a period of not more than   thirty days) with a view to agreeing a substitute basis for determining the   rate of interest. The rate of interest on each Lender’s share of that Loan   for the relevant Interest Period shall be the rate per annum which is the sum   of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
(if an   alternative rate is so agreed within such period) the Margin plus such rate;   or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
(if an   alternative rate is not so agreed within such period) the Margin plus the   rate notified to the Borrower by the Agent as soon as practicable and in any   event before interest is due to be paid in respect of that Interest Period,   to be that which expresses as a percentage rate per annum the cost to the   relevant Lender of funding the Loan from whatever source it may reasonably   select.
  
	
  
 
  	
  
 
  	
  
 
  
	
  8.2
  	
  
Alternative basis of interest or funding
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
Any   alternative basis agreed pursuant to Clause 8.1 (Market disruption) above shall, with the prior consent of   all Lenders, be binding on all Parties.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
8.3
  	
  
Break Costs
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall, within five Business Days of written demand by a Finance Party, pay to   that Finance Party its Break Costs attributable to all or any part of a Loan   or Unpaid Sum being paid by the Borrower on a day other than the last day of   an Interest Period for that Loan or Unpaid Sum subject at all times to the   exceptions in Clause 5 (Prepayment)   and the Lender having provided in its demand, written calculations showing   how any such Break Costs have been calculated.
  
	
   
  	
  
 
  	
  
 
  
	
  
9.
  	
  
NOT USED
  
	
  
 
  	
  
 
  	
  
 
  
	
  
10.
  	
  
TAX GROSS-UP AND INDEMNITIES
  
	
  
 
  	
  
 
  	
  
 
  
	
  
10.1
  	
  
Tax gross-up
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
All payments   to be made by an Obligor to any Finance Party under a Finance Document shall   be made free and clear of and without deduction for or on account of Tax   unless that Obligor is required to make such a payment subject to the   deduction or withholding of Tax, in which case the sum payable by that   Obligor (in respect of which such deduction or withholding is required to be   made) shall be increased to the extent necessary to ensure that the Finance   Party receives a sum net of any deduction or withholding equal to the sum   which it would have received had no such deduction or withholding been made   or required to be made.
  

- 27 -

	
  
10.2
  	
  
Tax indemnity
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If a Finance Party is required to make any
payment of or on account of Tax on or in relation to any sum received or
receivable under any Finance Document (including any sum deemed for purposes of
Tax to be received or receivable by the Finance Party whether or not actually
received or receivable) or if any liability in respect of such payment is
asserted, imposed, levied or assessed against the Finance Party, the Borrower
shall, upon demand of the Finance Party, promptly indemnify the Finance Party
against such payment or liability, together with any interest, penalties, costs
and expenses payable or incurred in connection therewith, provided that this
Clause 10.2 shall not apply to:
 
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any Tax   imposed on and calculated by reference to the net income actually received or   receivable by the Finance Party (but, for the avoidance of doubt, not   including any sum deeded for purposes of Tax to be received or receivable by   the Finance Party but not actually received) by the jurisdiction of   incorporation in which the Finance Party is incorporated; or
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any Tax   imposed on and calculated by reference to the net income of the Facility   Office of the Finance Party actually received or receivable by the Finance   Party (but, for the avoidance of doubt, not including any sum deeded for   purposes of Tax to be received or receivable by the Finance Party but not   actually receivable) by the jurisdiction in which its Facility Office is   located; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  

the extent a loss, liability or cost is compensated for by an increased payment
under Clause 10.1 (Tax gross-up).
 
	
  
 
  	
  
 
  	
  
 
  
	
  
10.3
  	
  
Tax Credit
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  

If an Obligor makes a payment under Clause 10.1 (Tax gross-up) (a
“Tax Payment”) and the relevant Finance Party determines
that:
 
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
it has   received a credit against, relief or remission for, or repayment of, any Tax   (a “Tax Credit”) which is   attributable either to an increased payment of which that Tax Payment forms   part, or to that Tax Payment; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
that Finance   Party has obtained, utilised and retained that Tax Credit,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
the relevant   Finance Party shall pay an amount to that Obligor which the Finance Party   determines will leave it (after that payment) in the same after-Tax position   as it would have been in had the Tax Payment not been required to be made by   that Obligor.
  

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10.4
  	
  
Tax receipts
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
All Taxes   required by law to be deducted or withheld by an Obligor from any amounts   paid or payable under the Finance Documents shall be paid by that Obligor   when due and that Obligor shall, upon request of any Finance Party, promptly   deliver to the Finance Party evidence satisfactory to the Finance Party that   the payment has been duly remitted to the appropriate authority.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
10.5
  	
  
Stamp taxes
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
The Borrower   shall pay and, within three Business Days of demand, indemnify any Finance   Party against any cost, loss or liability that the Finance Party incurs in   relation to all stamp duty, registration and other similar Taxes payable in   respect of any Finance Document.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
10.6
  	
  
Value added tax
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
Any amount   (including costs and expenses) expressed to be payable under a Finance   Document by an Obligor to a Finance Party shall be deemed to be exclusive of   any VAT or any other Tax of a similar nature which might be chargeable in   connection with that amount. If any such Tax is chargeable on any supply made   by a Finance Party to an Obligor under a Finance Document, that Obligor shall   pay to the Finance Party (in addition to and at the same time as paying the   consideration) an amount equal to the amount of that Tax.
  
	
  
 
  	
  
 
  	
  
 
  
	
  11.
  	
  
INCREASED COSTS
  
	
  
 
  	
  
 
  	
  
 
  
	
  
11.1
  	
  
Increased costs
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If by reason   of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any change   in or introduction of law, decree, rule or regulation or in the   interpretation, administration or application thereof; and/or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
compliance   with any request from or requirement of any central bank or other fiscal,   monetary or other authority (including, without limitation, a request or   requirement which affects the manner in which a Finance Party is required to   or does maintain capital resources having regard to that Finance Party’s   obligations hereunder and to amounts owing to it hereunder),
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
a Finance   Party or any of its Affiliates:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
incurs a   cost as a result of it having entered into and/or performed its obligations   under this Agreement and/or assuming or maintaining a Loan under this   Agreement;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(ii)
  	
  
becomes   liable to make any payment on account of any Taxes which are calculated by   reference to the amount of a Loan and/or any sum received or receivable by it   under any Finance Document; or
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(iii)
  	
  
suffers any   other Increased Cost,
  

- 29 -

	
  
 
  	
  
then the   Borrower shall, within three Business Days of a demand by that Finance Party,   pay for the account of that Finance Party the amount of any such costs or   amounts suffered or incurred by that Finance Party or any of its Affiliates.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
12.
  	
  
OTHER INDEMNITIES
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  12.1
  	
  
Currency indemnity
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
If any sum   due from an Obligor under the Finance Documents (a “Sum”), or any order, judgment or award   given or made in relation to a Sum, has to be converted from the currency   (the “First Currency”) in which   that Sum is payable into another currency (the “Second Currency”) for the purpose of:
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
making or   filing a claim or proof against that Obligor; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(ii)
  	
  
obtaining or   enforcing an order, judgment or award in relation to any litigation or   arbitration proceedings,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
that Obligor   shall as an independent obligation, within three Business Days of demand,   indemnify each Secured Party and the Arranger to whom that Sum is due against   any cost, loss or liability arising out of or as a result of the conversion   including any discrepancy between (i) the rate of exchange used to convert   that Sum from the First Currency into the Second Currency and (ii) the rate or   rates of exchange available to that Person at the time of its receipt of that   Sum.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each Obligor   waives, to the full extent possible by applicable law, any right it may have   in any jurisdiction to pay any amount under the Finance Documents in a currency   or currency unit other than that in which it is expressed to be payable.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
12.2
  	
  
Other indemnities
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall, within three Business Days of demand, indemnify each Secured Party and   the Arranger against any cost, loss or liability incurred by that Secured   Party or Arranger as a result of:
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
the   occurrence of any Event of Default;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(ii)
  	
  
a failure by   an Obligor to pay any amount due under a Finance Document on its due date,   including without limitation, any cost, loss or liability arising as a result   of Clause 27 (Sharing Among the Finance   Parties); or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(iii)
  	
  
a Loan (or   part of a Loan) not being prepaid in accordance with a notice of prepayment   given by the Borrower.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
12.3
  	
  
Indemnity to the Agent
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
The Borrower   shall promptly indemnify the Agent against any cost, loss or liability   incurred by the Agent (acting reasonably) as a result of:
  

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(i)
  	
  
investigating   any event which it reasonably believes is a Default; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
acting or   relying on any notice, request or instruction which it reasonably believes to   be genuine, correct and appropriately authorised,
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
provided   that the Borrower shall not be obliged to indemnify the Agent against any   cost, loss or liability where that cost, loss or liability arises directly as   a result of the gross negligence or wilful misconduct of the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
If paragraph   (a) of this Clause 12.3 applies, the Agent will (i) promptly inform the   Borrower that it intends to conduct such an investigation and (ii) as soon as   reasonably practicable supply the Borrower with an estimate of the costs,   expenses, losses or liabilities that the Borrower may incur as a result of   the Agent conducting such investigations.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
12.4
  	
  
Indemnity to the Trustee
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall promptly indemnify the Trustee and every Receiver and Delegate against   any cost, loss or liability incurred by any of them as a result of:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
the taking,   holding, protection or enforcement of the Transaction Security;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
the exercise   of any of the rights, powers, discretions and remedies vested in the Trustee   and each Receiver and Delegate by the Finance Documents or by law; and
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
any default   by an Obligor in the performance of any of the obligations expressed to be   assumed by it in the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 (b)
  	

  
  The Trustee   may, in priority to any payment to the Secured Parties, indemnify itself out   of the Secured Property in respect of, and pay and retain, all sums necessary   to give effect to the indemnity in paragraph (a) above and shall have a lien   on the Transaction Security and the proceeds of the enforcement of the   Transaction Security for all moneys payable to it.

	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  13.
  	
  
MITIGATION BY THE LENDERS
  
	
  
 
  	
  
 
  
	
  
13.1
  	
  
Mitigation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Each Finance   Party shall, in consultation with the Borrower, take all reasonable steps to   mitigate any circumstances which arise and which would result in any amount   becoming payable under or pursuant to any of Clause 10 (Tax gross-up and indemnities) or Clause   11 (Increased costs) including   (but not limited to) transferring its rights and obligations under the   Finance Documents to another Affiliate or Facility Office.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Paragraph   (a) of this Clause 13.1 does not in any way limit the obligations of any Obligor   under the Finance Documents.
  

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13.2
  	
  
Limitation of liability
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall indemnify any Finance Party for all costs and expenses reasonably   incurred by that Finance Party as a result of steps taken by it under Clause   13.1 (Mitigation).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
A Finance   Party is not obliged to take any steps under Clause 13.1 (Mitigation) if, in the opinion of that   Finance Party (acting reasonably), to do so might be prejudicial to it.
  
	
  
 
  	
  
 
  	
  
 
  
	
  14.
  	
  
COSTS AND EXPENSES
  
	
  
 
  	
  
 
  
	
  
14.1
  	
  
Transaction expenses
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall promptly on demand pay each Finance Party the amount of all costs and   expenses (including, subject to any pre-agreed caps, legal fees) reasonably   incurred by that Finance Party in connection with the negotiation, preparation,   printing, execution and perfection of:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
this   Agreement, the Security Documents and any other documents referred to in this   Agreement and the Transaction Security; and
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
any other   Finance Documents executed after the Restatement Date.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
14.2
  	
  
Amendment costs
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
If the   Borrower requests an amendment, waiver or consent, the Borrower shall, within   five Business Days of demand, reimburse the Agent and/or the Trustee for the   amount of all costs and expenses (including legal fees) reasonably incurred   by the Agent and/or the Trustee in responding to, evaluating, negotiating or   complying with that request or requirement.    Without prejudice to the Borrower’s reimbursement obligation under   this paragraph (a), if the Borrower requests an amendment, waiver or consent,   the Agent shall promptly notify the Borrower if at any time the Agent   reasonably considers that the aggregate amount of all costs and expenses   (including legal fees) which will be incurred by the Agent and the Trustee in   responding to, evaluating, negotiating or complying with that request or   requirement will be more than $25,000.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
If an   amendment (not requested by the Borrower) is required to the Finance   Documents, the Agent shall (i) notify the Borrower of the need thereof and   (ii) send the Borrower an estimate of the costs and expenses that will be   incurred.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
14.3
  	
  
Enforcement costs
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall, within five Business Days of demand, pay to each Secured Party and the   Arranger the amount of all costs and expenses (including legal fees) incurred   by that Secured Party or Arranger in connection with the enforcement of, or   the preservation of any rights under, any Finance Document.
  
	
  
 
  	
  
 
  
	
  
15.
  	
  
GUARANTEE AND INDEMNITY
  
	
  
 
  	
  
 
  
	
  15.1
  	
  
Guarantee and indemnity
  

- 32 -

	
  
 
  	
  
The   Guarantor irrevocably and unconditionally:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
guarantees   to each Finance Party punctual performance by the Borrower of all the   Borrower’s obligations under the Finance Documents;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
undertakes   with each Finance Party that whenever the Borrower does not pay any amount   when due under or in connection with any Finance Document, it shall   immediately on demand pay that amount as if it was the principal obligor; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
indemnifies   each Finance Party immediately on demand against any cost, loss or liability   suffered by that Finance Party if any obligation guaranteed by it is or   becomes unenforceable, invalid or illegal.    The amount of the cost, loss or liability shall be equal to the amount   which that Finance Party would otherwise have been entitled to recover.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
15.2
  	
  
Continuing Guarantee
  
	
  
 
  	
  
 
  
	
  
 
  	
  
This   guarantee is a continuing guarantee and will extend to the ultimate balance   of sums payable by the Borrower under the Finance Documents, regardless of   any intermediate payment or discharge in whole or in part.
  
	
  
 
  	
  
 
  
	
  15.3
  	
  
Reinstatement
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If any   payment by the Borrower or any discharge given by a Finance Party (whether in   respect of the obligations of the Borrower or any security for those   obligations or otherwise) is avoided or reduced as a result of insolvency or   any similar event:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   liability of the Guarantor shall continue as if the payment, discharge,   avoidance or reduction had not occurred; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
each Finance   Party shall be entitled to recover the value or amount of that security or   payment from the Guarantor, as if the payment, discharge, avoidance or   reduction had not occurred.
  
	
   
  	
  
 
  	
  
 
  
	
  
15.4
  	
  
Waiver of defences
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   obligations of the Guarantor under this Clause 15 will not be affected by an   act, omission, matter or thing which, but for this Clause 15, would reduce,   release or prejudice any of its obligations under this Clause 15 (without   limitation and whether or not known to it or any Finance Party) including:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any time,   waiver or consent granted to, or composition with, the Borrower or other   Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the release   of the Borrower or any other Person under the terms of any composition or   arrangement with any creditor of any member of the Group;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the taking,   variation, compromise, exchange, renewal or release of, or refusal or neglect   to perfect, take up or enforce, any rights against, or security over assets   of, the Borrower or other Person or any non-presentation or non-observance of   any formality or other requirement in respect of any instrument or any   failure to realise the full value of any security;
  

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(d)
  	
  
any   incapacity or lack of power, authority or legal personality of or dissolution   or change in the members or status of the Borrower or any other Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
any   amendment, novation, supplement, extension (whether of maturity or otherwise)   or restatement (in each case, however fundamental and of whatsoever nature)   or replacement of a Finance Document or any other document or security;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
any unenforceability,   illegality or invalidity of any obligation of any Person under any Finance   Document or any other document or security; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(g)
  	
  
any   insolvency or similar proceedings.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
15.5
  	
  
Immediate recourse
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   Guarantor waives any right it may have of first requiring any Finance Party   (or any trustee or agent on its behalf) to proceed against or enforce any   other rights or security or claim payment from any Person before claiming   from the Guarantor under this Clause 15.    This waiver applies irrespective of any law or any provision of a   Finance Document to the contrary.
  
	
   
  	
  
 
  
	
  
15.6
  	
  
Appropriations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Until all   amounts which may be or become payable by the Borrower under or in connection   with the Finance Documents have been irrevocably paid in full, each Finance   Party (or any trustee or agent on its behalf) may:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
refrain from   applying or enforcing any other moneys, security or rights held or received   by that Finance Party (or any trustee or agent on its behalf) in respect of   those amounts, or apply and enforce the same in such manner and order as it   sees fit (whether against those amounts or otherwise) and the Guarantor shall   not be entitled to the benefit of the same; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
hold in an   interest-bearing suspense account any money received from the Guarantor or on   account of the Guarantor’s liability under this Clause 15.
  
	
   
  	
  
 
  	
  
 
  
	
  
15.7
  	
  
Deferral of Guarantors’ rights
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Until all   amounts which may be or become payable by the Borrower under or in connection   with the Finance Documents have been irrevocably paid in full and unless the   Agent otherwise directs, the Guarantor will not exercise any rights which it   may have by reason of performance by it of its obligations under the Finance   Documents:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
to be   indemnified by the Borrower;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
to claim any   contribution from any other guarantor of the Borrower’s obligations under the   Finance Documents; and/or
  

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(c)
  	
  
to take the   benefit (in whole or in part and whether by way of subrogation or otherwise)   of any rights of the Finance Parties under the Finance Documents or of any   other guarantee or security taken pursuant to, or in connection with, the   Finance Documents by any Finance Party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
15.8
  	
  
Additional security
  
	
  
 
  	
  
 
  
	
  
 
  	
  
This   guarantee is in addition to and is not in any way prejudiced by any other   guarantee or security now or subsequently held by any Finance Party.
  
	
  
 
  	
  
 
  
	
  16.
  	
  
REPRESENTATIONS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   makes the representations and warranties set out in this Clause 16 to each   Finance Party on the Restatement Date.
  
	
  
 
  	
  
 
  
	
  
16.1
  	
  
Status
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
It is a   corporation, duly incorporated and validly existing under the law of its   jurisdiction of incorporation.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
It and each   of the Designated Subsidiaries has the power to own its assets and carry on   its business as it is being conducted.
  
	
   
  	
  
 
  	
  
 
  
	
  
16.2
  	
  
Binding obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   obligations expressed to be assumed by it in each Transaction Document are,   subject to any general principles of law as at the Restatement Date limiting   its obligations which are specifically referred to in any legal opinion   delivered pursuant to Schedule 1 (Conditions   Precedent) of the Restatement Agreement, legal, valid, binding and   enforceable obligations.
  
	
  
 
  	
  
 
  
	
  
16.3
  	
  
Non-conflict with other obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The entry   into and performance by it of, and the transactions contemplated by, the   Transaction Documents do not and will not conflict with:
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any law or   regulation applicable to it, except to the extent that any such conflict is   not reasonably likely to have a Material Adverse Effect;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
its   constitutional documents, or, except to the extent that any such conflict is   not reasonably likely to have a Material Adverse Effect, any Designated   Subsidiary’s constitutional documents; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
any   agreement or instrument binding upon it or any Designated Subsidiary or its   or any Designated Subsidiary’s assets, except to the extent that any such   conflict is not reasonably likely to have a Material Adverse Effect.
  
	
  
 
  	
  
 
  	
  
 
  
	
  16.4
  	
  
Power and authority
  
	
  
 
  	
  
 
  
	
  
 
  	
  
It has the   power to enter into, perform and deliver, and has taken all necessary   corporate action to authorise its entry into, performance and delivery of,   the Transaction Documents to which it is a party and the transactions   contemplated by those Transaction Documents.
  

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16.5
  	
  
Validity and admissibility in evidence
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
All   Authorisations required or desirable:
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
to enable it   lawfully to enter into, exercise its rights and comply with its obligations   in the Transaction Documents to which it is a party; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
to make the   Transaction Documents to which it is a party admissible in evidence in its   jurisdiction of incorporation,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
have been   obtained or effected and are in full force and effect, except (x) for any   further authorisation from, notice to or registration with, as the case may   be, the Central Bank of Brazil which will enable the Borrower (1) to make   payments under this Agreement that are specifically covered by the   Registration of Financial Transactions (ROF in the SISBACEN system)of   the relevant terms and conditions of the Loans (the “ROF”) and the registration   of the schedules of payment within the ROF with the Central Bank of Brazil   which will enable the Borrower to make remittances from Brazil to repay the   scheduled principal of and interest on the Loans and the fees, expenses and   commissions referred to therein that will not be paid on the date of the   entrance of the funds into Brazil (the “Schedules of Payment”) earlier than their   respective due dates, whether upon acceleration or otherwise, or on a date   which is
after the 120th day from the original scheduled principal   repayment date of such payment; and (2) to make remittances from Brazil to   make payments contemplated by this Agreement not specifically covered by the   ROF and the Schedules of Payment; and (y) with respect to paragraph (a)(ii)   of this Clause 16.5, for the enforceability or admission in evidence of any   Transaction Document before Brazilian courts: (A) the signatures of the   parties signing such document outside Brazil must be notarised by a notary   public qualified as such under the laws of the place of signing and the   signature of such notary public must be authenticated by a Brazilian consular   officer at the competent Brazilian consulate and (B) such Transaction Document   must be translated into Portuguese by a sworn translator.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
 (b)
  	

  
  All   Authorisations necessary for the conduct of its business, trade and ordinary   activities and those of each other Votorantim Party have been obtained or   effected and are in full force and effect, except where failure to have any   such Authorisations (in the aggregate) could not reasonably be expected to   have a Material Adverse Effect.

	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
16.6
  	
  
Governing law and enforcement
  
	
  
 
  	
  
 
  
	
  
 
  	
  
 (a)
  	

  
  The relevant   law selected as the governing law of each of the Finance Documents will be   recognised and enforced in its jurisdiction of incorporation to the extent   that, with respect to enforcement in Brazil, such law is not deemed to be   against Brazilian national sovereignty, good morals or public policy.

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(b)
  	
  
Any judgment   obtained in England in relation to a Finance Document will be recognised and   enforced in its jurisdiction of incorporation, provided that, with respect to   enforcement in Brazil, it is previously confirmed by the Superior Court of   Justice in Brazil, such confirmation being available only if: (i) the   judgment fulfills all formalities required for its enforceability under the   laws of the country where the same was issued; (ii) the judgment was issued   by a competent court after due service of process upon the parties to the   action; (iii) the judgment is not subject to appeal; (iv) the judgment was   authenticated by a Brazilian consulate in the country where the same was   issued; and (v) the judgment is not contrary to Brazilian national   sovereignty, good morals or public policy.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
16.7
  	
  
Deduction of Tax
  
	
  
 
  	
  
 
  
	
   
  	
  
It is not   required to make any deduction for or on account of Tax from any payment it   may make under any Finance Document, except that (a) interest and fees paid   by the Borrower under the Finance Documents will be subject to income tax in   Brazil at a zero percent rate if the Loan is repaid with exports from Brazil   and, should the Loan not be repaid with exports from Brazil, interest and   fees paid by the Borrower under the Finance Documents may be subject to   Brazilian withholding tax at a rate of up to 25% in addition to penalties   levied thereon, and (b) payments of other expenses under the Finance   Documents made by the Borrower will generally be subject to withholding   income tax at the rate of 15%.
  
	
  
 
  	
  
 
  
	
  
16.8
  	
  
No filing or stamp taxes
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Under the   law of its jurisdiction of incorporation it is not necessary that any of the   Transaction Documents be filed, recorded or enrolled with any court or other   authority in that jurisdiction or that any stamp, registration or similar tax   be paid on or in relation to any of the Transaction Documents or the   transactions contemplated by any of the Transaction Documents, except for   certain court costs and deposits to guarantee judgment that may be due if a   proceeding is brought against the Borrower in Brazil.
  
	
  
 
  	
  
 
  
	
  16.9
  	
  
No default
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
No Event of   Default is continuing.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
No other   event or circumstance is outstanding which constitutes a default under any   other agreement or instrument which is binding on it or to which its assets   are subject which might have a Material Adverse Effect.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
16.10
  	
  
No insolvency
  
	
  
 
  	
  
 
  
	
   
  	
  
No Obligor   has taken any corporate action nor have any other steps been taken or legal   proceedings been started or (to the best of its  knowledge and belief) threatened against any Obligor for its   winding-up, dissolution, administration or re-organisation (whether by   voluntary arrangement, scheme of arrangement or otherwise) or for the   appointment of a receiver, administrator, administrative receiver,   conservator, custodian, trustee or similar officer of it or of any or all its   assets or revenues. Neither Obligor is engaged, nor is it about to engage, in   any business or transaction for which the assets retained by it shall be an   unreasonably small capital, taking into consideration its obligations   incurred hereunder and under the other Transaction Documents to which it is a   party.
  

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16.11
  	
  
No misleading information
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any factual   information provided to the Finance Parties prior to the Restatement Date by   (or on behalf of) any Obligor was true and accurate in all material respects   as at the date it was provided or as at the date (if any) at which it is   stated.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
All   financial projections provided to the Finance Parties prior to the   Restatement Date by the Borrower have been prepared on the basis of recent   historical information and on the basis of reasonable assumptions.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Nothing has   occurred or been omitted from any factual information and no information has   been given or withheld that results in the information, taken as a whole,   provided to the Finance Parties prior to the Restatement Date being untrue or   misleading in any material respect.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
All written   information (other than the information provided pursuant paragraphs (a) to   (c) above) supplied by (or on behalf of) any Obligor to any Finance Party is,   taken as a whole, true, complete and accurate in all material respects as at   the date it was given and is not misleading in any respect.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
16.12
  	
  
Financial statements
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Original   Financial Statements were prepared in accordance with GAAP consistently   applied.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Original   Financial Statements fairly represent the consolidated financial condition   and operations of the Group (in the case of the Borrower’s Original Financial   Statements) or the Guarantor and its Subsidiaries (if any) for the time being   (in the case of the Guarantor’s Original Financial Statements) during the   relevant financial year.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Its most   recent financial statements delivered pursuant to Clause 17.1 (Financial statements):
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
have been   prepared in accordance with GAAP consistently applied; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
give a true   and fair view of (if audited) or fairly present (if unaudited) its   consolidated financial condition as at the end of, and consolidated results   of operations for, the period to which they relate.
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
There has   been no material adverse change in (i) its business, condition (financial or   otherwise), operations, performance or properties or (ii) the financial   markets in Brazil that directly or indirectly affects or is reasonably   expected to affect its ability to perform its obligations under the Finance   Documents, in each case since the date of the Original Financial Statements.
  

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16.13
  	
  
Pari passu ranking
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Its payment   obligations under the Finance Documents rank at least pari passu with the   claims of all its other unsecured and unsubordinated creditors, except for   obligations mandatorily preferred by law applying to companies generally.
  
	
   
  	
  
 
  
	
  
16.14
  	
  
No proceedings pending or threatened
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No   litigation, arbitration or administrative proceedings of or before any court,   arbitral body or agency which, if adversely determined, might reasonably be   expected to have a Material Adverse Effect have (to the best of its knowledge   and belief) been started or threatened against it or any other Votorantim   Party.
  
	
  
 
  	
  
 
  
	
  
16.15
  	
  
Environmental compliance
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   has performed and observed in all material respects all Environmental Law,   Environmental Permits and all other material covenants, conditions,   restrictions or agreements directly or indirectly concerned with any   contamination, pollution or waste or the release or discharge of any toxic or   hazardous substance in connection with any real property which is or was at   any time owned, leased or occupied by any Obligor or on which any Obligor has   conducted any activity where failure to do so might reasonably be expected to   have a Material Adverse Effect.
  
	
   
  	
  
 
  
	
  
16.16
  	
  
Environmental Claims
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No   Environmental Claim has been commenced or (to the best of its knowledge and   belief) is threatened against any Votorantim Party where that claim would be   reasonably likely, if determined against that Votorantim Party, to have a   Material Adverse Effect.
  
	
  
 
  	
  
 
  
	
  
16.17
  	
  
Taxation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
It has duly   and punctually paid and discharged all Taxes imposed upon it or its assets   within the time period allowed without incurring penalties (except to the   extent that (a) such payment is being contested in good faith, (b) it has   maintained adequate reserves for those Taxes and (c) such payment can be   lawfully withheld).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
It is not   materially overdue in the filing of any Tax returns.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
No claims are   being or are reasonably likely to be asserted against it with respect to   Taxes which, if determined against it, could reasonably be expected to have a   Material Adverse Effect.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
16.18
  	
  
No Immunity
  
	
  
 
  	
  
 
  
	
  
 
  	
  
In any   proceedings taken in its jurisdiction of incorporation in relation to this   Agreement, it will not be entitled to claim for itself or any of its assets   immunity from suit, execution, attachment or other legal process.
  

- 39 -

	
  
16.19
  	
  
Private and commercial acts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Its   execution of the Finance Documents constitutes, and its exercise of its   rights and performance of its obligations hereunder will constitute, private   and commercial acts done and performed for private and commercial purposes.
  
	
  
 
  	
  
 
  
	
  
16.20
  	
  
Ranking
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   Transaction Security has or will have first ranking priority and it is not   subject to any prior ranking or pari passu ranking Security.
  
	
   
  	
  
 
  
	
  
16.21
  	
  
Transaction Security
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each   Security Document to which it is a party validly creates the Security which   is expressed to be created by that Security Document and evidences the   Security it is expressed to evidence, subject to satisfaction of any   necessary filing or registration requirements.
  
	
  
 
  	
  
 
  
	
  
16.22
  	
  
Legal and Beneficial Owner
  
	
  
 
  	
  
 
  
	
  
 
  	
  
It is the   absolute legal and beneficial owner of the assets subject to the Security   Documents to which it is a party.
  
	
  
 
  	
  
 
  
	
  16.23
  	
  
Ownership
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   is a Subsidiary of the Parent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The   Guarantor is a Subsidiary of the Borrower.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
16.24
  	
  
Repetition
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   Repeating Representations are deemed to be made by each Obligor (by reference   to the facts and circumstances then existing) on the Restatement Date and the   first day of each Interest Period.
  
	
   
  	
  
 
  
	
  
17.
  	
  
INFORMATION UNDERTAKINGS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   undertakings in this Clause 17 remain in force from the Restatement Date for   so long as any amount is outstanding under the Finance Documents.
  
	
  
 
  	
  
 
  
	
  
17.1
  	
  
Financial statements
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each of the   Obligors shall supply to the Agent:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
as soon as   the same become available, but in any event within 90 days after the end of   each of its financial years its audited consolidated financial statements for   that financial year; and
  
	
   
  	
  
 
  	
  
 
  
	
   
 	
  
(b)
  	
  
as soon as   the same become available, but in any event within 60 days after the end of   each half of each of its financial years its financial statements for that   financial half year.
  

- 40 -

	
  
17.2
  	
  
Compliance Certificate
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall supply to the Agent, with each set of financial statements delivered   pursuant to paragraphs (a) and (b) of Clause 17.1 (Financial statements), a Compliance Certificate setting   out (in reasonable detail) computations as to compliance with Clause 18 (Financial covenants) as at the date as   at which those financial statements were drawn up.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each   Compliance Certificate shall be signed by the Chief Financial Officer and   Treasurer of the Borrower (or by a Person validly appointed by them who has   authority under the Borrower’s constitutional documents to sign such   documents).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
17.3
  	
  
Requirements as to financial statements
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Each set of   financial statements delivered by the Obligors pursuant to Clause 17.1 (Financial statements) shall be certified   by a director of the relevant Obligor as fairly representing its financial   condition as at the date as at which those financial statements were drawn   up.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
The Obligors   shall procure that each set of financial statements delivered pursuant to   Clause 17.1 (Financial statements)   is prepared using GAAP.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
17.4
  	
  
Information: miscellaneous
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall supply to the Agent (in sufficient copies for all of the Lenders if the   Agent so requests):
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
all   documents dispatched by such Obligor to its creditors generally at the same   time as they are dispatched (which, for the avoidance of doubt, shall not   include documents which are specific to other facilities);
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
promptly   upon becoming aware of them, the details of any litigation, arbitration or   administrative proceedings which are current, threatened or pending against   any Votorantim Party, and which might, if adversely determined, have a   Material Adverse Effect;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
promptly   (and, in any event, within five Business Days) after either Obligor’s   knowledge thereof, notice of any other event or development that could   reasonably be expected to have a Material Adverse Effect;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
promptly   upon request of the Agent at any time after the commencement of a Coverage   Period and prior to the Sales Value Testing Date falling in that Coverage   Period, evidence that the Unencumbered Payment Amount at such time, when   aggregated with the Aggregate Sales Value at such time, is not less than the   amount which is 115% of the Debt Service Obligation for that Coverage Period;   and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
promptly,   such further information regarding the financial condition, business and   operations of the Obligors as any Finance Party (through the Agent) may   reasonably request.
  

- 41 -

	
  
17.5
  	
  
Notification of default
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Each Obligor   shall notify the Agent of:
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(i)
  	
  
any Default;   and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
any default   by it or any Buyer under any Sales Contract,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(and the   steps, if any, being taken to remedy it) promptly upon becoming aware of its   occurrence.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
Promptly   upon a request by the Agent, the Borrower shall supply to the Agent a certificate   signed by two of its directors or senior officers on its behalf certifying   that no Default is continuing (or if a Default is continuing, specifying the   Default and the steps, if any, being taken to remedy it).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Promptly   upon a request by the Agent, the Guarantor shall supply to the Agent a   certificate signed by two of its directors or senior officers on its behalf   certifying that no default under any Sales Contract has occurred (or if a   default under a Sales Contract has occurred, specifying the default under   such Sales Contract and the steps, if any, being taken to remedy it).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
17.6
  	
  
“Know your customer” checks
  
	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
If:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
the   introduction of or any change in (or in the interpretation, administration or   application of) any law or regulation made after the Restatement Date;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
any change   in the status of an Obligor or the composition of the shareholders of an   Obligor after the Restatement Date; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(iii)
  	
  
a proposed   assignment by a Lender of any of its rights and obligations under this   Agreement to a party that is not a Lender prior to such assignment or   transfer,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
obliges the   Agent or any Lender (or, in the case of paragraph (iii) above, any   prospective new Lender) to comply with “know your customer” or similar   identification procedures in circumstances where the necessary information is   not already available to it, each Obligor shall promptly upon the request of   the Agent or any Lender supply, or procure the supply of, such documentation   and other evidence as is reasonably requested by the Agent (for itself or on   behalf of any Lender) or any Lender (for itself or, in the case of the event   described in paragraph (iii) above, on behalf of any prospective new Lender)   in order for the Agent, such Lender or, in the case of the event described in   paragraph (iii) above, any prospective new Lender to carry out and be   satisfied it has complied with all necessary “know your customer” or other   similar checks under all applicable laws and regulations pursuant to the transactions
contemplated in the Finance Documents.
  

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(b)
  	
  
Each Lender   shall promptly upon the request of the Agent supply, or procure the supply   of, such documentation and other evidence as is reasonably requested by the   Agent (for itself) in order for the Agent to carry out and be satisfied it   has complied with all necessary “know your customer” or other similar checks   under all applicable laws and regulations pursuant to the transactions   contemplated in the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
18
  	
  
FINANCIAL COVENANTS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall ensure that:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the Debt   Service Coverage Ratio as of the last day of each Fiscal Semester shall be   not less than 1.0:1.0;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the Net Debt   to EBITDA Ratio as of the last day of each Fiscal Semester shall not be   greater than 3.0:1.0; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the Total   Debt to Total Capitalisation Ratio as of the last day of each Fiscal Semester   shall not exceed 0.7:1.0.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
The   financial covenants set out above shall be tested by reference to each of the   financial statements and/or each Compliance Certificate delivered pursuant to   Clause 17.1 (Financial Statements)   and Clause 17.2 (Compliance Certificate).   Notwithstanding the foregoing any breach of such financial covenants shall be   considered to have begun as of the last day of the relevant Fiscal Semester.   The calculation of the above ratios (and all components thereof) shall be   made using GAAP.
  
	
   
  	
  
 
  
	
  
19.
  	
  
GENERAL UNDERTAKINGS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   undertakings in this Clause 19 remain in force from the Restatement Date for   so long as any amount is outstanding under the Finance Documents.
  
	
  
 
  	
  
 
  
	
  
19.1
  	
  
Authorisations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall promptly:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
obtain,   comply with and do all that is necessary to maintain in full force and   effect; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
supply   certified copies to the Agent of,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
any   Authorisation required under any law or regulation of its jurisdiction of   incorporation to enable it to perform its obligations under the Transaction   Documents and to ensure the legality, validity, enforceability or   admissibility in evidence in its jurisdiction of incorporation of any   Transaction Document (except for those contemplated in sub-clause (y) of   paragraph (a) of Clause 16.5 (Validity and admissibility in evidence)).
  

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19.2
  	
  
Compliance with laws
  
	
   
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall (and shall cause each of its respective Subsidiaries to) comply with   the requirements of all Applicable Laws (including export regulations) and   orders of any Governmental Authority and with all material contractual   obligations applicable to it (or its Subsidiaries), in each case to the   extent that failure to comply therewith could (in the aggregate) reasonably   be expected to have a Material Adverse Effect, except where (and for so long   as) the necessity of compliance therewith is being contested in good faith by   appropriate proceedings.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
19.3
  	
  
Negative pledge
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No Obligor   shall create, assume or suffer to exist any Security (other than the   Transaction Security) over any of its rights under or with respect to any   Sales Contract or the Collection Account.    In addition, no Obligor shall create, assume or suffer to exist (and   the Borrower shall not permit any Designated Subsidiary to create, assume or   suffer to exist), any Security on any of its other assets, whether now owned   or hereafter acquired by it, except:
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Permitted   Security and the Transaction Security;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
any Security   on the inventory or receivables (other than those described in paragraph (f)   below) of any Obligor or any Designated Subsidiary securing obligations:  (i) under any short term lines of credit,   entered into in the normal course of business; or (ii) under any working   capital facility;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
any Security   in respect of legal proceedings which have been submitted to a competent   court and are being contested in good faith;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(d)
  	
  
any Security   created solely for the purpose of securing the payment of all or a part of   the purchase price of assets (including Capital Stock of any Person) acquired   or constructed after the Restatement Date, provided that (i) the aggregate   principal amount of Debt secured by such Security shall not exceed the   purchase price of the assets so acquired or constructed; and (ii) such   Security shall not encumber any assets other than the assets so acquired and   shall attach to such assets within 90 days of the construction or acquisition   of such assets;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
any Security   which arises pursuant to a final judgment or judgments that do not constitute   an Event of Default under Clause 21.9 (Judgments);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
any Security   on accounts receivable and related assets in connection with export, import   or other trade transactions or in connection with any securitization   transaction, provided that the aggregate amount of any receivables permitted   pursuant to this paragraph (f) securing Debt shall not exceed (i) with   respect to transactions related to revenues from exports, 80% of such Obligor   or Designated Subsidiary’s consolidated net sales from exports; or (ii) with   respect to transactions related to revenues from domestic sales, 80% of such   Obligor or Designated Subsidiary’s consolidated net sales within Brazil;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(g)
  	
  
any Security   granted to secure borrowings from (i) Banco Nacional de Desenvolvimento   Econômico e Social-BNDES, or any other Brazilian governmental development   bank; or (ii) any international development bank or Governmental Authority;
  

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(h)
  	
  
any Security   existing on the Restatement Date;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(i)
  	
  
any Security   extending, renewing or replacing, in whole or in part, any Security   outstanding on the Restatement Date;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(j)
  	
  
any Security   on assets or shares of Capital Stock of another Person at the time such other   Person becomes a Subsidiary, provided that such Security may not extend to   any other assets owned by such Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(k)
  	
  
any Security   on assets at the time such Obligor or Designated Subsidiary acquires such   assets, including any acquisition by means of a merger or consolidation with   or into such Obligor or Designated Subsidiary, provided that any such   Security may not extend to any other assets owned by such Obligor or   Designated Subsidiary;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(l)
  	
  
any Security   securing Debt or other obligations of a Subsidiary of any Obligor owing to   such Obligor or a wholly-owned Subsidiary of such Obligor;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(m)
  	
  
any Security   in favour of surety bonds or letters of credit issued pursuant to the request   of, and for the account of, such Obligor or Designated Subsidiary in the   ordinary course of its business; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(n)
  	
  
any Security   not otherwise described in paragraphs (a) to (m) above, provided that the   aggregate principal amount of Debt at any time outstanding secured by such   Security not otherwise described in paragraphs (a) to (m) above does not   exceed the greater of (i) $200,000,000 (or its equivalent in any other   currency), or (ii) 10% of Consolidated Net Tangible Assets.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
19.4
  	
  
Mergers and disposals
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
Each Obligor   agrees that it will not enter into any transaction of merger or   consolidation, or liquidate, wind up or dissolve itself (or suffer any   liquidation or dissolution), or sell, transfer, lease or otherwise dispose of   (in one transaction or in a series of transactions) all or substantially all   of its assets, provided that either Obligor may merge or consolidate with or   into, or sell or transfer all or substantially all of its assets to, any   other Person (1) that is organised and existing in a country which is a   member of the Organisation for Economic Co-operation and Development or, if   not a country which is a member of the Organization for Economic Co-operation   and Development, such Obligor’s current jurisdiction of organisation or (2)   has a rating of not less than BBB- from S&P and is not organised or   existing in a jurisdiction with which dealings are generally prohibited by   the laws of the United States of America or
resolution of the United Nations,   if, immediately after giving effect thereto:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
(A) with   respect to any merger or consolidation, it is the surviving Person or, if   not, the surviving Person has validly assumed the relevant Obligor’s   obligations under the Finance Documents to which it is a party, or (B) with   respect to a sale, transfer, lease or other disposition of all or   substantially all of its assets, the Person to whom the assets have been   sold, transferred, leased or otherwise disposed has validly assumed in a   manner reasonably satisfactory to the Agent all obligations under the Finance   Documents to which the relevant Obligor is a 
  

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party (which   assumption may constitute a novation of such obligations under applicable   law), provided that, with respect to both sub-clauses (A) and (B), with   respect to the Guarantor, the Borrower directly or indirectly owns a majority   of the voting stock of the surviving Person and has the power to direct or   cause the direction of the management and policies of such surviving Person;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
no Default   exists or would exist immediately after such merger, consolidation, sale,   transfer, lease or other disposition;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  

there would not be a Default relating to: (i) the Total Debt to Total
Capitalization Ratio under paragraph (c) of Clause 18 (Financial
Covenants) if such ratio was determined as if the date on which such merger,
consolidation, sale, transfer, lease or other disposition was effected was the
last day of a Fiscal Semester of the Borrower or (ii) the Debt Service Coverage
Ratio under paragraph (a) of Clause 18 (Financial Covenants) and/or the
Net Debt to EBITDA Ratio under paragraph (b) of Clause 18 (Financial
Covenants) if such ratios were determined on a pro forma basis giving effect
to such merger, consolidation, sale, transfer, lease or other disposition with
respect to the then most recently completed two Fiscal Semesters of the
Borrower;
 
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
to the   extent reasonably requested by the Agent, the Finance Documents shall have been   amended (or amended and restated) to reflect such merger, consolidation,   sale, transfer, lease or other disposition; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
the Agent   shall have received any other opinions, evidence of security interest filings   and other documents or evidence as it may reasonably request in connection   therewith.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
For the   avoidance of doubt, nothing in this Clause 19.4 shall restrict an Obligor   from selling, leasing, transferring or otherwise disposing of obsolete or   worn-out property or equipment no longer used or useful in its business or   any inventory or other assets sold or disposed of in the ordinary course of   its business.
  
	
   
  	
  
 
  
	
  
19.5
  	
  
Transactions with Affiliates
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No Obligor   shall (nor shall permit any of its Subsidiaries to) enter into any   transaction or series of related transactions with any of its Affiliates   other than in the ordinary course of such Obligor’s (or such Subsidiary’s)   business and on terms and conditions substantially as favourable to such   Obligor (or such Subsidiary) as would reasonably be obtained at that time in   a comparable arm’s-length transaction with a Person other than such   Affiliate. This Clause 19.5 shall not apply to:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
any loan or   similar financial transaction (or series of related financial transactions)   entered into for the sole purpose of performing cash management or other   financial management functions of an Affiliate; and/or
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
tax   allocation agreements entered into from time to time between an Obligor and   an Affiliate,
  

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unless the   same would materially impair the ability of an Obligor to comply with any of   its obligations under any of the Finance Documents.
  
	
  
 
  	
  
 
  
	
  
19.6
  	
  
Change of business
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Borrower   shall procure that no substantial change is made to the general nature of the   business of the Obligors from that carried on at the Restatement Date.
  
	
   
  	
  
 
  
	
  
19.7
  	
  
Maintenance of Assets
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall (and the Borrower shall ensure that each member of the Group will)   maintain all of its assets used in its business in good working order and   condition, ordinary wear and tear excepted, and shall maintain insurances on   and in relation to its business and assets with reputable independent   underwriters or insurance companies against those risks and to the extent as   is usual for companies carrying on the same or substantially similar business   where failure to do so might reasonably be expected to have a Material   Adverse Effect.
  
	
  
 
  	
  
 
  
	
  
19.8
  	
  
Environmental Compliance
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall (and the Borrower shall ensure that each member of the Group will)   comply in all material respects with all Environmental Law and obtain and   maintain any Environmental Permits and take all reasonable steps in   anticipation of known or expected future changes to or obligations under the   same where failure to do so might reasonably be expected to have a Material   Adverse Effect.
  
	
   
  	
  
 
  
	
  
19.9
  	
  
Environmental Claims
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall inform the Agent in writing as soon as reasonably practicable upon   becoming aware of the same:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
if any   Environmental Claim has been commenced or (to the best of its knowledge and   belief) is threatened against any Votorantim Party; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
of any facts   or circumstances which will or are reasonably likely to result in any   Environmental Claim being commenced or threatened against any Votorantim   Party,
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
where the   claim would be reasonably likely, if determined against that Votorantim   Party, to have a Material Adverse Effect.
  
	
  
 
  	
  
 
  
	
  
19.10
  	
  
Taxation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall (and the Borrower shall ensure that each member of the Group will) duly   and punctually pay and discharge all Taxes imposed upon it or its assets   within the time period allowed without incurring penalties (except (a) to the   extent that (i) such payment is being contested in good faith, (ii) adequate   reserves are being maintained for those Taxes and (iii) such payment can be   lawfully withheld or (b) where the failure to pay or discharge such Taxes   could not (in the aggregate) reasonably be expected to have a Material   Adverse Effect).
  

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  19.11
  	
  
Pari passu ranking
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Obligor   shall ensure that at all times all unsecured and unsubordinated claims of the   Lenders against it under each Finance Document rank at least pari passu with   the claims of all its other unsecured and unsubordinated creditors except   those creditors whose claims are mandatorily preferred by laws of general   application to companies.
  
	
  
 
  	
  
 
  
	
  
19.12
  	
  
Access and Inspection: Books and Records
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Borrower   shall ensure that (not more than once in every financial year unless the   Agent reasonably suspects a Default is continuing or may occur) the Agent   and/or the Trustee and/or its accountants or other professional advisers and   contractors has free access at all reasonable times and on reasonable notice   at the risk and cost of the Borrower (i) to the premises, assets, books,   accounts and records of each Obligor and (ii) to meet and discuss matters   with senior management.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each of the   Obligors shall (and the Borrower shall cause each of the Designated   Subsidiaries to) (i) engage internationally recognised independent   accountants to audit its financial statements, and (ii) maintain a system of   accounting in which full and correct entries shall be made of all of its   financial transactions, assets and liabilities in accordance with applicable   GAAP.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
No Obligor   shall (and the Borrower shall not permit any Designated Subsidiary to) amend,   modify or otherwise change any of its estatutos   sociais, by-laws or other similar documents in any way that would   adversely affect the Finance Parties without the prior written consent (which   consent shall not be unreasonably withheld or delayed) of the Majority   Lenders.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
No Obligor   shall (and the Borrower shall not permit any Designated Subsidiary to) take   any action, or conduct its affairs in a manner, that would reasonably be   expected to result in its corporate existence being ignored by any court of   competent jurisdiction or in its assets and/or liabilities being   substantively consolidated with those of any other Person in a bankruptcy,   reorganisation or other insolvency proceeding.
  
	
   
  	
  
 
  	
  
 
  
	
  
19.13
  	
  
Sales Contracts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
As soon as   the same becomes available, the Guarantor shall deliver, or procure that   there is delivered, to the Trustee:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
to the   extent not previously delivered together with the Sales Contract Designation   Notice relating to that Sales Contract, a copy of any and all documentation   evidencing a Sales Contract;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the details   of any litigation, arbitration or administrative proceedings which are   current, threatened or pending in relation to any Sales Contract; and
  

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(c)
  	
  
a copy of   any and all documentation delivered to the Guarantor pursuant to any of the   Sales Contracts which might reasonably be expected to affect the calculation   of the Sales Value of any Sales Contract for any Coverage Period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
19.14
  	
  
Compliance with Sales Contracts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   Guarantor will duly observe and perform all of the covenants, obligations and   conditions which are required to be observed and performed by it under the   Sales Contracts and will pursue all claims to which it is entitled under the   Sales Contracts.
  
	
  
 
  	
  
 
  
	
  19.15
  	
  
No amendment of Sales Contracts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Guarantor shall not:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
permit or suffer to occur any alteration or waiver of or amendment to   or departure from the terms of any Sales Contract (other than where (i) such   alteration, waiver, amendment or departure occurs in the normal course of the   Guarantor’s day-to-day commercial operations and (ii) either (A) such   alteration, waiver, amendment or departure does not involve a reduction in   the amount payable under that Sales Contract or a postponement of the due   date for payment of any amount payable under that Sales Contract or (B)   immediately after such alteration, waiver, amendment or departure the   Aggregate Sales Value with respect to the then current Coverage Period is not   less than the amount which is 126.5% of the Debt Service Obligation for that   Coverage Period); or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
avoid, release, rescind, terminate or otherwise cancel in whole or in   part (or agree to any of the foregoing or acquiesce in any of the foregoing)   any Sales Contract (other than where (i) such avoidance, release, rescission,   termination or cancellation occurs in the normal course of the Guarantor’s   day-to-day commercial operations and (ii) immediately after such avoidance,   release, rescission, termination or cancellation the Aggregate Sales Value   with respect to the then current Coverage Period is not less than the amount   which is 126.5% of the Debt Service Obligation for that Coverage Period).
  
	
   
  	
  
 
  	
  
 
  
	
  
20.
  	
  
DEBT SERVICE UNDERTAKINGS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   undertakings in this Clause 20 remain in force from the Restatement Date for   so long as any amount is outstanding under the Finance Documents.
  
	
  
 
  	
  
 
  
	
  
20.1
  	
  
Irrevocable Payment Instructions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Forthwith   upon delivery of any Sales Contract Designation Notice with respect to any   Sales Contract, the Guarantor shall deliver an original duly executed   Irrevocable Payment Instructions with respect to that Sales Contract to the   relevant Buyer and, in the case of a Covered Buyer, the Permitted Covering   Institution issuing the letter or letters of credit or the insurance policy   or policies (as applicable) supporting the relevant Covered Buyer’s payment   obligations under that Sales Contract (with, in each case, a copy to the   Trustee).
  

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20.2
  	
  
Sales Information
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Obligors   shall deliver, or procure that there is delivered, to the Trustee:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
on each   Sales Value Testing Date, a report detailing all of the projected sales of   Products (including details as to scheduled delivery dates, Products,   tonnage, sales prices, Buyers and any relevant vessel nominations) made or to   be made by the Guarantor under the Sales Contracts during the then current   Coverage Period; and
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
on demand,   such additional financial or sales information relating to the sale of   Products to Buyers by the Guarantor as may reasonably be requested by the   Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
20.3
  	
  
Shipping Documents
  
	
  
 
  	
  
 
  
	
  
 
  	
  
As soon as   the same are available, the Guarantor shall deliver to the Trustee copies of   any and all Documents of Title relating to Products to be delivered to a   Buyer under a Sales Contract and any other document required to be delivered   by the Guarantor to the Buyer in relation to such Products.
  
	
  
 
  	
  
 
  
	
  
20.4
  	
  
Collection Account
  
	
  
 
  	
  
 
  
	
   
  	
  
The Obligors   shall procure and ensure that all amounts paid by or on behalf of a Buyer in   respect of Products delivered or to be delivered to a Buyer under a Sales   Contract are made directly into the Collection Account.  Without prejudice to the foregoing, in the   event that any amount paid by or on behalf of a Buyer in respect of Products   delivered or to be delivered to a Buyer under a Sales Contract is not paid   directly into the Collection Account and is instead otherwise received by an   Obligor, that Obligor shall forthwith pay such amount to the Collection   Account (and until such payment to the Collection Account the relevant amount   shall be held in trust by the relevant Obligor for the benefit of the   Trustee).
  
	
  
 
  	
  
 
  
	
  
20.5
  	
  
Debt Service Coverage
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Subject to   Clause 20.7 (“Top-Up” Clause),   the Obligors shall procure that:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
on each   Sales Value Testing Date, the Aggregate Sales Value with respect to the then   current Coverage Period is not less than the amount which is 115% of the Debt   Service Obligation for that Coverage Period; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the amounts   which are credited to the Collection Account pursuant to Clause 20.4 (Collection Account) are such that the   Collection Account Amount on each Payment Testing Date is not less than the   amount which is 115% of the Debt Service Obligation for the Coverage Period   in which that Payment Testing Date falls.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
20.6
  	
  
Sales Contracts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   Guarantor shall enter into and designate such Sales Contracts as are   necessary to enable it to comply with its obligations under Clause 20.5 (Debt Service Coverage).
  

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  20.7
  	
  
“Top-Up”   Clause
  
	
  
 
  	
  
 
  
	
  
 
  	
  
In the event   that the Obligors fail to comply with the requirements set out under   paragraph (a) of Clause 20.5 (Debt Service   Coverage) on any Sales Value Testing Date, no breach of this   Agreement shall be deemed to have occurred as a result of such failure if, on   or before the day (the “Back-Stop Date”)   which is ten days after that Sales Value Testing Date, either:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   Guarantor designates and delivers copies of further Sales Contracts to the   Trustee; and/or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the Borrower   prepays all or part of the Loans in accordance with Clause 5.2 (Voluntary Prepayment),
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
so that on   the Back-Stop Date the Aggregate Sales Value for the Coverage Period in which   the Back-Stop Date falls is not less than the amount which is 115% of the   Debt Service Obligation for that Coverage Period.
  
	
  
 
  	
  
 
  
	
  
20.8
  	
  
Payments from Collection Account on Interest Payment Dates
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Without   prejudice to any of the rights and remedies of the Finance Parties under the   Finance Documents, on each Interest Payment Date with respect to each Loan:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the Trustee   shall be entitled to (and, provided that the Collection Account Amount at   such time is sufficient to discharge all principal, interest and other sums   due and payable by the Obligors under the Finance Documents at such time,   shall) debit from the Collection Account any amount then standing to the   credit of the Collection Account and shall apply any amount so debited in or   towards the discharge of principal, interest and all other sums due and   payable by the Obligors under the Finance Documents at such time; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
immediately   after application of the amount(s) referred to in paragraph (a) above, and   provided that no Default is continuing at such time, the Guarantor shall be   entitled to withdraw from the Collection Account the surplus (if any)   remaining after application of the above amount(s) referred to in paragraph   (a) above.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
20.9
  	
  
Authorisation of the Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each of the   Obligors specifically authorises the Trustee to make the payments and   transfers specified in Clause 20.8 (Payments   from Collection Account on Interest Payment Dates).
  
	
  
 
  	
  
 
  
	
  
20.10
  	
  
No Withdrawal
  
	
   
  	
  
 
  
	
  
 
  	
  
The Obligors   shall not at any time be entitled to withdraw or receive any amount standing   to the credit of the Collection Account except as specifically provided in   Clause 20.8 (Payments from Collection   Account on Interest Payment Dates).
  
	
  
 
  	
  
 
  
	
  
21.
  	
  
EVENTS OF DEFAULT
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each of the   events or circumstances set out in this Clause 21 is an Event of Default.
  

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21.1
  	
  
Non-payment
  
	
   
  	
  
 
  
	
  
 
  	
  
An Obligor   does not pay on the due date any amount payable pursuant to a Finance   Document at the place at and in the currency in which it is expressed to be   payable unless:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
its failure   to pay is caused by administrative or technical error; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
payment is   made within 2 Business Days of its due date.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
21.2
  	
  
Financial and other covenants
  
	
   
  	
  
 
  
	
  
 
  	
  
Any   requirement of Clauses 18 (Financial   Covenants) or Clause 20 (Debt   Service Undertaking) is not satisfied.
  
	
  
 
  	
  
 
  
	
  
21.3
  	
  
Other obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
An Obligor   does not comply with any provision of the Finance Documents (other than those   referred to in Clause 21.1 (Non-payment)   and Clause 21.2 (Financial and other   covenants)).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
No Event of   Default under paragraph (a) above in relation to Clause 19 (General Undertakings) will occur if the   failure to comply is capable of remedy and is remedied within 30 days of the   earlier of (i) the relevant Obligor receiving notice of the failure to comply   from the Agent and (ii) the relevant Obligor otherwise becoming aware of the   failure to comply.
  
	
   
  	
  
 
  	
  
 
  
	
  
21.4
  	
  
Misrepresentation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any   representation or statement made or deemed to be made by an Obligor in any   Finance Document or any other document delivered by or on behalf of any   Obligor under or in connection with any Finance Document is or proves to have   been incorrect or misleading in any material respect when made or deemed to   be made.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
No Event of   Default under paragraph (a) above will occur if the failure to comply is   capable of remedy and is remedied within 5 Business Days of the earlier of   the Agent giving notice to the relevant Obligor or the relevant Obligor   becoming aware of the failure to comply.
  
	
  
 
  	
  
 
  	
  
 
  
	
  21.5
  	
  
Cross default
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any Debt of   any Votorantim Party or any of the consolidated subsidiaries of the Borrower   as determined in accordance with GAAP is not paid when due nor within any   originally applicable grace period.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any Debt of   any Votorantim Party or any of the consolidated subsidiaries of the Borrower   as determined in accordance with GAAP is declared to be or otherwise becomes   due and payable prior to its specified maturity as a result of an event of   default (however described).
  

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(c)
  	
  
Any   commitment for any Debt of any Votorantim Party or any of the consolidated   subsidiaries of the Borrower as determined in accordance with GAAP is   cancelled or suspended by a creditor of any Votorantim Party or any of the   consolidated subsidiaries of the Borrower as determined in accordance with   GAAP as a result of an event of default (however described).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
Any creditor   of any Votorantim Party or any of the consolidated subsidiaries of the Borrower   as determined in accordance with GAAP has declared any Debt of any Votorantim   Party or any of the consolidated subsidiaries of the Borrower as determined   in accordance with GAAP due and payable prior to its specified maturity as a   result of an event of default (however described).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
No Event of   Default will occur under this Clause 21.5 if the aggregate amount of Debt or   commitments for Debt falling within paragraphs (a) to (d) above is equal to   or less than $50,000,000 (or its equivalent in any other currency or   currencies).
  
	
   
  	
  
 
  	
  
 
  
	
  
21.6
  	
  
Insolvency
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
A Votorantim   Party is unable or admits inability to pay its debts as they fall due,   suspends making payments on any of its debts or, by reason of actual or   anticipated financial difficulties, commences negotiations with one or more   of its creditors with a view to rescheduling any of its indebtedness.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The value of   the assets of any Votorantim Party is less than its liabilities (taking into   account contingent and prospective liabilities).
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
A moratorium   is declared in respect of any indebtedness of any Votorantim Party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
21.7
  	
  
Insolvency proceedings
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any   corporate action, legal proceedings or other procedure or step is taken in   relation to:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   suspension of payments, a moratorium of any indebtedness, winding-up,   dissolution, administration or reorganisation (by way of voluntary   arrangement, scheme of arrangement or otherwise) of any Votorantim Party   other than a solvent liquidation or reorganisation of any Votorantim Party   which is not an Obligor;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
a   composition, compromise, assignment or arrangement with any creditor of any   Votorantim Party;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the   appointment of a liquidator (other than in respect of a solvent liquidation   of a member of the Group which is not an Obligor), receiver, administrative   receiver, administrator or other similar officer in respect of any Votorantim   Party or any of its assets; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
enforcement   of any Security over all or any substantial part of the assets of any Votorantim   Party,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
or any   analogous procedure or step is taken in any jurisdiction.
  

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21.8
  	
  
Creditors’ process
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any   expropriation, attachment, sequestration, distress or execution affects any   asset or assets (other than any assets the subject of a Sales Contract or the   Assignment Agreement) of a Votorantim Party which may reasonably be expected   to have a Material Adverse Effect.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any   expropriation, attachment, sequestration, distress or execution affects any   assets the subject of a Sales Contract or the Assignment Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  21.9
  	
  
Judgments
  
	
  
 
  	
  
 
  
	
  
 
  	
  
One or more   judgment(s), order(s), decree(s), award(s), settlement(s) and/or agreement(s)   to settle (including any relating to any arbitration) is/are rendered against   any Votorantim Party in an amount exceeding $50,000,000 (or its equivalent in   any other currency) in the aggregate and shall remain unsatisfied,   undischarged and in effect for a period of 60 or more days without a stay of   execution, unless the same is either (i) adequately bonded or covered by   insurance where the surety or the insurer, as the case may be, has admitted   liability in respect of such judgment(s), order(s), decree(s), award(s),   settlement(s) and/or agreement(s) to settle or (ii) is being contested by   appropriate proceedings properly instituted and diligently conducted and, in   either case, such process is not being executed against any assets of such   Votorantim Party.
  
	
  
 
  	
  
 
  
	
  
21.10
  	
  
Ownership of the Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Either   Obligor ceases to be:
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
a Subsidiary   of the Parent; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
directly or   indirectly controlled by the Parent,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
and, in   either case, in the opinion of the Majority Lenders (i) the credit risk in   providing a Loan has adversely changed as a result of such event or (ii) such   event may reasonably be expected to have a Material Adverse Effect.
  
	
  
 
  	
  
 
  
	
  
21.11
  	
  
Unlawfulness
  
	
   
  	
  
 
  
	
  
 
  	
  
It is or   becomes unlawful for an Obligor to perform any of its material obligations   under the Finance Documents or any Obligor shall so assert in writing.
  
	
  
 
  	
  
 
  
	
  
21.12
  	
  
Repudiation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
An Obligor   repudiates or rescinds a Transaction Document or evidences an intention to   repudiate or rescind a Transaction Document.
  
	
  
 
  	
  
 
  
	
  
21.13
  	
  
Cessation of business
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any Obligor   or any Designated Subsidiary suspends or ceases to carry on (or threatens to   suspend or cease to carry on) all or a material part of its business.
  

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21.14
  	
  
Effectiveness of documents
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any Finance   Document ceases to be in full force and effect or any Transaction Document   which is not a Finance Document ceases to be in full force and effect as   against an Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any   Transaction Document is alleged by an Obligor to be ineffective for any   reason.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
A Security   Document does not or ceases to create the valid, first ranking, fully   perfected security it purports to create.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
Any   Transaction Document is terminated, cancelled, suspended or revoked by an   Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
No Event of   Default will occur under paragraphs (a) to (c) above if the event in question   is capable of remedy and is remedied (to the satisfaction of the Agent)   within 10 Business Days from the date the event occurred.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
21.15
  	
  
Governmental Intervention
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The   authority or ability of any Obligor or any Designated Subsidiary to conduct   its business in any respect that is material to its day to day business   activities is limited or wholly or substantially curtailed by any seizure,   expropriation, nationalisation, intervention, restriction or other action by   or on behalf of any governmental, regulatory or other authority or Person in   relation to any Obligor or any Designated Subsidiary or any of their   respective assets.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
By or under   the authority of any government:
  

	 	 	(i)	the management of any Obligor or any Designated Subsidiary (which management is material to its day to day business activities) is wholly or substantially displaced or the authority of any Obligor or any Designated Subsidiary in the conduct of its business is wholly or substantially curtailed; or
	
   
  	
   
  	
   
  	
   
  
	
   
  	
  
 
  	
  
 (ii)
  	
  all or a majority of the issued shares of any Obligor or any Designated Subsidiary or the whole or any part (the book value of which is 20 per cent. or more of the book value of the whole) of any of their respective revenues or assets is seized, nationalised, expropriated or compulsorily acquired.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 21.16
  	
  
    Acceleration

  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
On and at any time after the occurrence of an Event of Default which is continuing the Agent may, and shall if so directed by the Majority Lenders, by notice to the Borrower:

  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	

  
  declare that all or part of any Loan, together with accrued interest, and all other amounts accrued or outstanding under the Finance Documents be immediately due and payable, whereupon they shall become immediately due and payable; and/or

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(b)
  	
  
declare that   all or part of any Loan be payable on demand, whereupon they shall   immediately become payable on demand by the Agent on the instructions of the   Majority Lenders; and/or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
exercise, or   direct the Trustee to exercise, any or all of its rights, remedies and powers   under any of the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
22.
  	
  
CHANGES TO THE LENDERS
  
	
  
 
  	
  
 
  
	
  22.1
  	
  
Assignments and transfers by the Lenders
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Subject to   this Clause 22, a Lender (the “Existing   Lender”) may:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
assign any   of its rights; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
transfer by   novation any of its rights and obligations,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
to another   bank or financial institution or to a trust, fund or other entity which is   regularly engaged in or established for the purpose of making, purchasing or   investing in loans, securities or other financial assets (the “New Lender”).
  
	
   
  	
  
 
  
	
  
22.2
  	
  
Conditions of assignment or transfer
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The consent   of the Borrower is required for an assignment or transfer by an Existing   Lender, unless the assignment is to another Lender or an Affiliate of a   Lender or an Event of Default has occurred and is continuing.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The consent   of the Borrower to an assignment must not be unreasonably withheld or   delayed.  The Borrower will be deemed   to have given its consent ten Business Days after the Borrower has received   the Existing Lender’s request unless such request has been refused by the   Borrower within that time.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
An   assignment will only be effective on:
  

	  
	  
	 (i)
	 receipt by the Agent of written confirmation from the New Lender (in form and substance satisfactory to the Agent) that the New Lender will assume the same obligations to the other Finance Parties and the other Secured Parties as it would have been under if it was an Existing Lender; and

	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	 	 	(ii)	performance by the Agent of all necessary “know your customer” or other similar checks under all applicable laws and regulations in relation to such assignment to a New Lender, the completion of which the Agent shall promptly notify to the Existing Lender and the New Lender.
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	 	(d)	A transfer will only be effective if the procedure set out in Clause 22.5 (Procedure for transfer) is complied with.

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(e)
  	
  
If:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
a Lender   assigns or transfers any of its rights or obligations under the Finance Documents   or changes its Facility Office; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(ii)
  	
  
as a result   of circumstances existing at the date the assignment, transfer or change   occurs, an Obligor would be obliged to make a payment to the New Lender or   Lender acting through its new Facility Office under Clause 10 (Tax gross-up and indemnities) or Clause   11 (Increased costs),
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
then the New   Lender or Lender acting through its new Facility Office is only entitled to   receive payment under those Clauses to the same extent as the Existing Lender   or Lender acting through its previous Facility Office would have been if the   assignment, transfer or change had not occurred.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
22.3
  	
  
Assignment or transfer fee
  
	
  
 
  	
  
 
  
	
   
  	
  
The New   Lender shall, on the date upon which an assignment or transfer takes effect,   pay to the Agent (for its own account) a fee of $5,000.
  
	
  
 
  	
  
 
  
	
  
22.4
  	
  
Limitation of responsibility of Existing Lenders
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Unless   expressly agreed to the contrary, an Existing Lender makes no representation   or warranty and assumes no responsibility to a New Lender for:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
the   legality, validity, effectiveness, adequacy or enforceability of the   Transaction Documents, the Transaction Security or any other documents;
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
the   financial condition of any Obligor or any Buyer;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
the performance   and observance by any Obligor or any Buyer of its obligations under the   Transaction Documents or any other documents; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iv)
  	
  
the accuracy   of any statements (whether written or oral) made in or in connection with any   Transaction Document or any other document,
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
and any   representations or warranties implied by law are excluded.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each New   Lender confirms to the Existing Lender and the other Finance Parties that it:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
has made   (and shall continue to make) its own independent investigation and assessment   of the financial condition and affairs of each Obligor and each Buyer and   their related entities in connection with its participation in this Agreement   and has not relied exclusively on any information provided to it by the   Existing Lender in connection with any Transaction Documents; and
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
will   continue to make its own independent appraisal of the creditworthiness of   each Obligor and each Buyer and their related entities whilst any amount is   or may be outstanding under the Finance Documents.
  

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(c)
  	
  
Nothing in   any Finance Document obliges an Existing Lender to:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
accept a   re-transfer from a New Lender of any of the rights and obligations assigned   or transferred under this Clause 22; or
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
support any   losses directly or indirectly incurred by the New Lender by reason of the   non-performance by any Obligor of its obligations under the Finance Documents   or otherwise.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
22.5
  	
  
Procedure for transfer
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Subject to   the conditions set out in Clause 22.2 (Conditions   of assignment or transfer) a transfer is effected in accordance   with paragraph (c) below when the Agent executes an otherwise duly completed   Transfer Certificate delivered to it by the Existing Lender and the New   Lender.  The Agent shall, as soon as   reasonably practicable after receipt by it of a duly completed Transfer   Certificate appearing on its face to comply with the terms of this Agreement   and delivered in accordance with the terms of this Agreement, execute that   Transfer Certificate.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Agent   shall only be obliged to execute a Transfer Certificate delivered to it by   the Existing Lender and the New Lender once it is satisfied it has complied   with all necessary “know your customer” or other similar checks under all   applicable laws and regulations in relation to the transfer to such New   Lender.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
On the   Transfer Date:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
to the   extent that in the Transfer Certificate the Existing Lender seeks to transfer   by novation its rights and obligations under the Finance Documents and in   respect of the Transaction Security each of the Obligors and the Existing   Lender shall be released from further obligations towards one another under   the Finance Documents and in respect of the Transaction Security and their   respective rights against one another shall be cancelled (being the “Discharged Rights and Obligations”);
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
each of the   Obligors and the New Lender shall assume obligations towards one another   and/or acquire rights against one another which differ from the Discharged   Rights and Obligations only insofar as that Obligor and the New Lender have   assumed and/or acquired the same in place of that Obligor and the Existing   Lender;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
the Agent,   the Arranger, the Trustee, the New Lender and other Lenders shall acquire the   same rights and assume the same obligations between themselves and in respect   of the Transaction Security as they would have 
  

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acquired and   assumed had the New Lender been an Existing Lender with the rights and/or   obligations acquired or assumed by it as a result of the transfer and to that   extent the Agent, the Arranger, the Trustee and the Existing Lender shall   each be released from further obligations to each other under the Finance   Documents; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iv)
  	
  
the New   Lender shall become a Party as a “Lender”.
  

	
  22.6
  	
  
Copy of Transfer Certificate to Borrower
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Agent   shall, as soon as reasonably practicable after it has executed a Transfer   Certificate, send to the Borrower a copy of that Transfer Certificate.
  
	
  
 
  	
  
 
  
	
  
22.7
  	
  
Disclosure of information
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any Lender   may disclose to any of its Affiliates and any other Person:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
to (or   through) whom that Lender assigns or transfers (or may potentially assign or   transfer) all or any of its rights and obligations under this Agreement;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
with (or   through) whom that Lender enters into (or may potentially enter into) any   sub-participation in relation to, or any other transaction under which   payments are to be made by reference to, this Agreement or any Obligor; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
to whom, and   to the extent that, information is required to be disclosed by any applicable   law or regulation, and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
any   information about any Obligor, the Group or any Buyer and the Transaction   Documents as that Lender shall, in its reasonable opinion, consider   appropriate if, in relation to paragraphs (a) and (b) above, the Person to   whom the information is to be given has entered into a Confidentiality   Undertaking.
  
	
   
  	
  
 
  
	
  
22.8
  	
  
Participations by Lenders
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any Lender   may enter into any sub-participation in relation to any of the Finance   Documents or the Obligors or any other contractual arrangements with third   parties in respect of any Loan or to reduce its credit exposure to the   Obligors without the consent of the Obligors.  The relevant Lender shall notify the Agent (which shall notify   the Borrower) of each such sub-participation that is entered into within 5   Business Days from the date it is entered into.
  
	
  
 
  	
  
 
  
	
  
23.
  	
  
CHANGES TO THE OBLIGORS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No Obligor   may assign any of its rights or transfer any of its rights or obligations   under the Finance Documents unless each of the Lenders has given its prior   written consent to such assignment or transfer.
  
	
   
  	
  
 
  
	
  
24.
  	
  
ROLE OF THE AGENT AND THE ARRANGER
  
	
  
 
  	
  
 
  
	
  
24.1
  	
  
Appointment of the Agent
  

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(a)
  	
  
Each other   Finance Party (other than the Trustee) appoints the Agent to act as its agent   under and in connection with the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each other   Finance Party authorises the Agent to exercise the rights, powers,   authorities and discretions specifically given to the Agent under or in   connection with the Finance Documents together with any other incidental   rights, powers, authorities and discretions.
  
	
   
  	
  
 
  	
  
 
  
	
  
24.2
  	
  
Duties of the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Agent   shall promptly forward to a Party the original or a copy of any document   which is delivered to the Agent for that Party by any other Party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Except where   a Finance Document specifically provides otherwise, the Agent is not obliged   to review or check the adequacy, accuracy or completeness of any document it   forwards to another Party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
If the Agent   receives notice from a Party referring to this Agreement, describing a   Default and stating that the circumstance described is a Default, it shall   promptly notify the other Finance Parties.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
If the Agent   is aware of the non-payment of any principal, interest or any fee payable to   a Finance Party (other than the Agent, the Arranger or the Trustee) under   this Agreement it shall promptly notify the other Finance Parties.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The Agent’s   duties under the Finance Documents are solely mechanical and administrative   in nature.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.3
  	
  
Role of the Arranger
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Except as   specifically provided in the Finance Documents, the Arranger has no   obligations of any kind to any other Party under or in connection with any   Finance Document.
  
	
   
  	
  
 
  
	
  
24.4
  	
  
No fiduciary duties
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Nothing in   this Agreement constitutes the Agent or the Arranger as a trustee or   fiduciary of any other Person.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Neither the   Agent nor the Arranger shall be bound to account to any Lender for any sum or   the profit element of any sum received by it for its own account.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.5
  	
  
Business with the Group
  
	
   
  	
  
 
  
	
  
 
  	
  
The Agent   and the Arranger may accept deposits from, lend money to and generally engage   in any kind of banking or other business with any member of the Group.
  
	
  
 
  	
  
 
  
	
  
24.6
  	
  
Rights and discretions of the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Agent   may rely on:
  

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(i)
  	
  
any   representation, notice or document believed by it to be genuine, correct and   appropriately authorised; and
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
any   statement made by a director, authorised signatory or employee of any Person   regarding any matters which may reasonably be assumed to be within his   knowledge or within his power to verify.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Agent   may assume (unless it has received notice to the contrary in its capacity as   agent for the Lenders) that:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
no Default   has occurred (unless it has actual knowledge of a Default arising under   Clause 21.1 (Non-payment));
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
any right,   power, authority or discretion vested in any Party or the Majority Lenders   has not been exercised; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
any notice   or request made by the Borrower is made on behalf of and with the consent and   knowledge of the Guarantor.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Without   prejudice to the Borrower’s obligations under Clause 14 (Costs and Expenses), the Agent may   engage, pay for and rely on the advice or services of any lawyers,   accountants, surveyors or other experts.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The Agent   may act in relation to the Finance Documents through its personnel and   agents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The Agent   may disclose to any other Party any information it reasonably believes it has   received as agent under this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
Notwithstanding   any other provision of any Finance Document to the contrary, neither the   Agent nor the Arranger is obliged to do or omit to do anything if it would or   might in its reasonable opinion constitute a breach of any law or regulation   or a breach of a fiduciary duty or duty of confidentiality.
  
	
   
  	
  
 
  	
  
 
  
	
  
24.7
  	
  
Majority Lenders’ instructions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Unless a   contrary indication appears in a Finance Document, the Agent shall (i)   exercise any right, power, authority or discretion vested in it as Agent in   accordance with any instructions given to it by the Majority Lenders (or, if   so instructed by the Majority Lenders, refrain from exercising any right,   power, authority or discretion vested in it as Agent) and (ii) not be liable   for any act (or omission) if it acts (or refrains from taking any action) in   accordance with an instruction of the Majority Lenders.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Unless a   contrary indication appears in a Finance Document, any instructions given by   the Majority Lenders will be binding on all the Finance Parties other than   the Trustee.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The Agent   may refrain from acting in accordance with the instructions of the Majority   Lenders (or, if appropriate, the Lenders) until it has received such security   as it may require for any cost, loss or liability (together with any associated   VAT) which it may incur in complying with the instructions.
  

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(d)
  	
  
In the   absence of instructions from the Majority Lenders, (or, if appropriate, the   Lenders) the Agent may act (or refrain from taking action) as it considers to   be in the best interest of the Lenders.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The Agent is   not authorised to act on behalf of a Lender (without first obtaining that   Lender’s consent) in any legal or arbitration proceedings relating to any   Finance Document.
  
	
   
  	
  
 
  	
  
 
  
	
  
24.8
  	
  
Responsibility for documentation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
None of the   Agent, the Arranger and the Trustee:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
is   responsible for the adequacy, accuracy and/or completeness of any information   (whether oral or written) supplied by the Agent, the Arranger, the Trustee,   an Obligor or any other Person given in or in connection with any Transaction   Documents or the transactions contemplated in the Transaction Documents; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
is   responsible for the legality, validity, effectiveness, adequacy or   enforceability of any Transaction Documents or the Transaction Security or   any other agreement, arrangement or document entered into, made or executed   in anticipation of or in connection with any Transaction Documents or the   Transaction Security.
  
	
   
  	
  
 
  	
  
 
  
	
  
24.9
  	
  
Exclusion of liability
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Without   limiting paragraph (b) below, neither the Agent nor the Trustee will be   liable for any action taken by it under or in connection with any Transaction   Documents or the Transaction Security, unless directly caused by its gross   negligence or wilful misconduct.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
No Party   (other than the Agent or, as the case may be, the Trustee) may take any   proceedings against any officer, employee or agent of the Agent or the   Trustee in respect of any claim it might have against the Agent or Trustee or   in respect of any act or omission of any kind by that officer, employee or   agent in relation to any Transaction Documents or any Transaction Security.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
The Agent   will not be liable for any delay (or any related consequences) in crediting   an account with an amount required under the Finance Documents to be paid by   the Agent if the Agent has taken all necessary steps as soon as reasonably   practicable to comply with the regulations or operating procedures of any   recognised clearing or settlement system used by the Agent for that purpose.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The Trustee   will not be liable for any losses to any Person or any liability arising as a   result of taking or refraining from taking any action in relation to any of   the Transaction Documents or the Transaction Security or otherwise, whether   in accordance with an instruction from the Agent or otherwise, unless   directly caused by its gross negligence or wilful misconduct.
  

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(e)
  	
  
The Trustee   will not be liable for (i) the exercise of, or the failure to exercise, any   judgment, discretion or power given to it by or in connection with any of the   Transaction Documents, the Transaction Security or any other agreement,   arrangement or document entered into, made or executed in anticipation of, or   in connection with the Transaction Documents or the Transaction Security or   (ii) any shortfall which arises on the enforcement of the Transaction   Security.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
Nothing in   this Agreement shall oblige the Agent, the Arranger or the Trustee to carry   out any “know your customer” or other checks in relation to the identity of   any Person on behalf of any Lender and each Lender confirms to the Agent, the   Arranger or the Trustee that it is solely responsible for any such checks it   is required to carry out and that it may not rely on any statement in   relation to such checks made by the Agent, the Arranger or the Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.10
  	
  
Lenders’ indemnity to the Agent and Trustee
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Lender   shall (in proportion to its participation in all Loans then outstanding)   indemnify each of the Agent and the Trustee, within three Business Days of   demand, against any cost, loss or liability incurred by the Agent or the   Trustee (otherwise than by reason of the Agent’s or the Trustee’s gross   negligence or wilful misconduct) in acting as Agent or as Trustee under the   Finance Documents (unless the Agent or the Trustee has been reimbursed by an   Obligor pursuant to a Finance Document).
  
	
   
  	
  
 
  
	
  
24.11
  	
  
Resignation of the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Agent   may resign and appoint one of its Affiliates as successor by giving notice to   the other Finance Parties and the Borrower.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Alternatively   the Agent may resign by giving notice to the other Finance Parties and the   Borrower, in which case the Majority Lenders (after consultation with the   Borrower) may appoint a successor Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
If the   Majority Lenders have not appointed a successor Agent in accordance with   paragraph (b) above within 30 days after notice of resignation was given, the   Agent (after consultation with the Borrower) may appoint a successor Agent.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The retiring   Agent shall, at its own cost, make available to the successor Agent such   documents and records and provide such assistance as the successor Agent may   reasonably request for the purposes of performing its functions as Agent   under the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The Agent’s   resignation notice shall only take effect upon the appointment of a   successor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
Upon the   appointment of a successor, the retiring Agent shall be discharged from any   further obligation in respect of the Finance Documents but shall remain   entitled to the benefit of this Clause 24.    Its successor and each of the other Parties shall have the same rights   and obligations amongst themselves as they would have had if such successor   had been an original Party.
  

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(g)
  	
  
After   consultation with the Borrower, the Majority Lenders may, by notice to the   Agent, require it to resign in accordance with paragraph (b) above.  In this event, the Agent shall resign in   accordance with paragraph (b) above.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.12
  	
  
Confidentiality
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
In acting as   agent for the Finance Parties or, as the case may be, trustee for the Secured   Parties, the Agent and the Trustee shall be regarded as acting through its   agency division, or as appropriate, trustee division which shall be treated   as a separate entity from any other of its divisions or departments.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
If   information is received by another division or department of the Agent or the   Trustee, it may be treated as confidential to that division or department and   neither the Agent nor the Trustee shall be deemed to have notice of it.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.13
  	
  
Relationship with the Lenders
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Agent   may treat each Lender as a Lender, entitled to payments under this Agreement   and acting through its Facility Office unless it has received not less than   ten Business Days prior notice from that Lender to the contrary in accordance   with the terms of this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
Each Secured   Party shall supply the Agent with any information that the Trustee may reasonably   specify (through the Agent) as being necessary or desirable to enable the   Trustee to perform its functions as trustee.    Each Lender shall deal with the Trustee exclusively through the Agent   and shall not deal directly with the Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.14
  	
  
Credit appraisal by the Secured Parties
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Without   affecting the responsibility of any Obligor for information supplied by it or   on its behalf in connection with any Transaction Document, each Secured Party   confirms to the Agent, the Arranger and the Trustee that it has been, and   will continue to be, solely responsible for making its own independent   appraisal and investigation of all risks arising under or in connection with   any Transaction Document including but not limited to:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   financial condition, status and nature of each member of the Group and the   Buyers;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the   legality, validity, effectiveness, adequacy or enforceability of any   Transaction Document and the Transaction Security and any other agreement,   arrangement or document entered into, made or executed in anticipation of,   under or in connection with any Transaction Document or the Transaction   Security;
  

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(c)
  	
  
whether that   Secured Party has recourse, and the nature and extent of that recourse,   against any Party or any of its respective assets under or in connection with   any Transaction Document, the Transaction Security, the transactions   contemplated by the Transaction Document or any other agreement, arrangement   or document entered into, made or executed in anticipation of, under or in   connection with any Transaction Document;
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(d)
  	
  
the   adequacy, accuracy and/or completeness of any information provided by the   Agent, the Trustee, any Party or by any other Person under or in connection   with any Transaction Document, the transactions contemplated by the   Transaction Document or any other agreement, arrangement or document entered   into, made or executed in anticipation of, under or in connection with any   Transaction Documents; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
the right or   title of any Person in or to, or the value or sufficiency of any part of the   Secured Property, the priority of any of the Transaction Security or the   existence of any Security affecting the Secured Property.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
24.15
  	
  
Deduction from amounts payable by the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If any Party   owes an amount to the Agent under the Finance Documents the Agent may, after   giving notice to that Party, deduct an amount not exceeding that amount from   any payment to that Party which the Agent would otherwise be obliged to make   under the Finance Documents and apply the amount deducted in or towards   satisfaction of the amount owed.  For   the purposes of the Finance Documents that Party shall be regarded as having   received any amount so deducted.
  
	
   
  	
  
 
  
	
  
25.
  	
  
ROLE OF TRUSTEE
  
	
  
 
  	
  
 
  
	
  
25.1
  	
  
Trust
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   declares that it shall hold the Transaction Security on trust for the Secured   Parties on the terms contained in this Agreement.  Each of the parties to this Agreement agrees that the Trustee   shall have only those duties, obligations and responsibilities expressly   specified in this Agreement or in the Security Documents (and no others shall   be implied).
  
	
  
 
  	
  
 
  
	
  
25.2
  	
  
No Independent Power
  
	
  
 
  	
  
 
  
	
   
  	
  
The Secured   Parties shall not have any independent power to enforce, or have recourse to,   any of the Transaction Security or to exercise any rights or powers arising   under the Security Documents except through the Trustee.
  
	
  
 
  	
  
 
  
	
  
25.3
  	
  
Trustee’s Instructions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
unless a   contrary indication appears in a Finance Document, act in accordance with any   instructions given to it by the Agent and shall be entitled to assume that   (i) any instructions received by it from the Agent are duly given by or on   behalf of the Majority Lenders or, as the case may be, the Lenders in   accordance with the terms of the Finance Documents and (ii) unless it has   received actual notice of revocation that any instructions or directions   given by the Agent have not been revoked;
  

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(b)
  	
  
be entitled   to request instructions, or clarification of any direction, from the Agent as   to whether, and in what manner, it should exercise or refrain from exercising   any rights, powers and discretions and the Trustee may refrain from acting   unless and until those instructions or clarification are received by it; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
be entitled   to carry out all dealings with the Lenders through the Agent and may give to   the Agent any notice or other communication required to be given by the   Trustee to the Lenders.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.4
  	
  
Trustee’s Actions
  
	
   
  	
  
 
  
	
  
 
  	
  
Subject to   the provisions of this Clause 25:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the Trustee   may, in the absence of any instructions to the contrary, take such action in   the exercise of any of its powers and duties under the Finance Documents   which in its absolute discretion it considers to be for the protection and   benefit of all the Secured Parties; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
at any time   after receipt by the Trustee of notice from the Agent directing the Trustee   to exercise all or any of its rights, remedies, powers or discretions under   any of the Finance Documents, the Trustee may, and shall if so directed by   the Agent, take any action as in its sole discretion it thinks fit to enforce   the Transaction Security.
  
	
  
 
  	
  
 
  	
  
 
  
	
  25.5
  	
  
Trustee’s Discretions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Trustee   may assume (unless it has received actual notice to the contrary in its   capacity as trustee for the Secured Parties) that:
  

	
  
 
  	
  
 
  	
  
(i)
  	
  
    no Default has occurred and none of the Obligors or the Buyers is in breach of or default under its obligations under any of the Transaction Documents; and
  
	
   
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
    any right, power, authority or discretion vested in any Person has not been exercised.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  The Trustee may, if it receives any instructions or directions from the Agent to take any action in relation to the Transaction Security, assume that all applicable conditions under the Finance Documents for taking that action have been satisfied.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
    Without prejudice to the Borrower’s obligations under Clause 14 (Costs and Expenses), the Trustee may engage, pay for and rely on the advice or services of any lawyers, accountants, surveyors or other experts (whether obtained by the Trustee or by any other Secured Party).
  

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(d)
  	
  
The Trustee   may rely upon any communication or document believed by it to be genuine and,   as to any matters of fact which might reasonably be expected to be within the   knowledge of a Secured Party or an Obligor, upon a certificate signed by or   on behalf of that Person.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The Trustee   may refrain from acting in accordance with the instructions of the Agent or   Lenders (including bringing any legal action or proceeding arising out of or   in connection with the Transaction Documents) until it has received any   indemnification and/or security that it may in its absolute discretion   require (whether by way of payment in advance or otherwise) for all costs,   losses and liabilities which it may incur in bringing such action or   proceedings.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.6
  	
  
Trustee’s Obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall promptly inform the Agent of:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the contents   of any notice or document received by it in its capacity as Trustee from any   Obligor or any Buyer under any Transaction Document; and
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the   occurrence of any Default of which the Trustee has received notice from any   other party to this Agreement.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.7
  	
  
Excluded Obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall not:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
be bound to   enquire as to the occurrence or otherwise of any Default or the performance,   default or any breach by an Obligor or a Buyer of its obligations under any   of the Transaction Documents;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
be bound to   account to any other Secured Party for any sum or the profit element of any   sum received by it for its own account;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
be bound to   disclose to any other Person (including any Secured Party) (i) any   confidential information or (ii) any other information if disclosure would,   or might in its reasonable opinion, constitute a breach of any law or be a   breach of fiduciary duty;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
be under any   obligations other than those which are specifically provided for in the   Finance Documents; or
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(e)
  	
  
have or be   deemed to have any duty, obligation or responsibility to, or relationship of   trust or agency with, any Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.8
  	
  
No responsibility to perfect Transaction Security
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall not be liable for any failure to:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
require the   deposit with it of any deed or document certifying, representing or   constituting the title of any Obligor to any of the Secured Property;
  

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(b)
  	
  
obtain any   licence, consent or other authority for the execution, delivery, legality, validity,   enforceability or admissibility in evidence of any of the Transaction   Documents or the Transaction Security;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
register,   file or record or otherwise protect any of the Transaction Security (or the   priority of any of the Transaction Security) under any applicable laws in any   jurisdiction or to give notice to any Person of the execution of any of the   Transaction Documents or of the Transaction Security;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
take, or to   require any of the Obligors to take, any steps to perfect its title to any of   the Secured Property or to render the Transaction Security effective or to   secure the creation of any ancillary Security under the laws of any   jurisdiction; or
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
require any   further assurances in relation to any of the Security Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.9
  	
  
Insurance by Trustee
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Trustee   shall not be under any obligation to insure any of the Secured Property, to   require any other Person to maintain any insurance or to verify any   obligation to arrange or maintain insurance contained in the Transaction   Documents.  The Trustee shall not be   responsible for any loss which may be suffered by any Person as a result of   the lack of or inadequacy of any such insurance.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
If the   Trustee is named on any insurance policy as an insured party, it shall not be   responsible for any loss which may be suffered by reason of, directly or   indirectly, its failure to notify the insurers of any material fact relating   to the risk assumed by the insurers or any other information of any kind,   unless any Secured Party has requested it to do so in writing and the Trustee   has failed to do so within fourteen days after receipt of that request.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.10
  	
  
Custodians and Nominees
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   may appoint and pay any Person to act as a custodian or nominee on any terms   in relation to any assets of the trust as the Trustee may determine,   including for the purpose of depositing with a custodian this Agreement or   any document relating to the trust created under this Agreement and the   Trustee shall not be responsible for any loss, liability, expense, demand,   cost, claim or proceedings incurred by reason of the misconduct, omission or   default on the part of any Person appointed by it under this Agreement or be   bound to supervise the proceedings or acts of any Person.
  
	
  
 
  	
  
 
  
	
  25.11
  	
  
Acceptance of Title
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall be entitled to accept without enquiry, and shall not be obliged to   investigate, the right and title as each of the Obligors may have to any of   the Secured Property and shall not be liable for or bound to require any   Obligor to remedy any defect in its right or title.
  

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25.12
  	
  
Refrain from Illegality
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   may refrain from doing anything which in its opinion will or may be contrary   to any relevant law, directive or regulation of any jurisdiction which would   or might otherwise render it liable to any Person, and the Trustee may do   anything which is, in its opinion, necessary to comply with any law,   directive or regulation.
  
	
   
  	
  
 
  
	
  
25.13
  	
  
Business with the Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   may accept deposits from, lend money to, and generally engage in any kind of   banking or other business with any of the Obligors.
  
	
  
 
  	
  
 
  
	
  
25.14
  	
  
Releases
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Upon a   disposal of any of the Secured Property:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
pursuant to   the enforcement of the Transaction Security by a Receiver or the Trustee; or
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
if that   disposal is permitted under the Finance Documents,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
the Trustee   shall (at the cost of the Borrower) release that property from the   Transaction Security and is authorised to execute, without the need for any   further authority from the Secured Parties, any release of the Transaction   Security or other claim over that asset and to issue any certificates of   non-crystallisation of floating charges that may be required or desirable.
  
	
  
 
  	
  
 
  
	
  
25.15
  	
  
Winding up of Trust
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If the   Trustee, with the approval of the Majority Lenders, determines that (a) all   of the Secured Obligations and all other obligations secured by any of the   Security Documents have been fully and finally discharged and (b) none of the   Secured Parties is under any commitment, obligation or liability (actual or   contingent) to make advances or provide other financial accommodation to any   Obligor pursuant to the Finance Documents, the trusts set out in this   Agreement shall be wound up and the Trustee shall release, without recourse   or warranty, all of the Transaction Security and the rights of the Trustee   under each of the Security Documents.
  
	
   
  	
  
 
  
	
  
25.16
  	
  
Perpetuity Period
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The   perpetuity period under the rule against perpetuities, if applicable to this   Agreement, shall be the period of eighty years from the Restatement Date.
  
	
  
 
  	
  
 
  
	
  
25.17
  	
  
Powers Supplemental
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The rights,   powers and discretions conferred upon the Trustee by this Agreement shall be   supplemental to the Trustee Acts 1925 and 2000 and in addition to any which   may be vested in the Trustee by general law or otherwise.
  
	
  
 
  	
  
 
  
	
  25.18
  	
  
Disapplication
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Section 1 of   the Trustee Act 2000 shall not apply to the duties of the Trustee in relation   to the trusts constituted by this Agreement.    Where there are any inconsistencies between the Trustee Acts 1925 and   2000 and the provisions of this Agreement, the provisions of this Agreement   shall, to the extent allowed by law, prevail and, in the case of any   inconsistency with the Trustee Act 2000, the provisions of this Agreement   shall constitute a restriction or exclusion for the purposes of that Act.
  

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25.19
  	
  
Resignation of Trustee
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Trustee   may resign and appoint one of its Affiliates as successor by giving notice to   the other Parties (or to the Agent on behalf of the Lenders).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Alternatively   the Trustee may resign by giving notice to the other Parties (or to the Agent   on behalf of the Lenders) in which case the Majority Lenders may appoint a   successor Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
If the   Majority Lenders have not appointed a successor Trustee in accordance with   paragraph (b) above within 30 days after the notice of resignation was given,   the Trustee (after consultation with the Agent) may appoint a successor   Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
The retiring   Trustee shall, at its own cost, make available to the successor Trustee such   documents and records and provide such assistance as the successor Trustee   may reasonably request for the purposes of performing its functions as   Trustee under the Finance Documents.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
The   Trustee’s resignation notice shall only take effect upon (i) the appointment   of a successor and (ii) the transfer of all of the Transaction Security to   that successor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(f)
  	
  
Upon the   appointment of a successor, the retiring Trustee shall be discharged from any   further obligation in respect of the Finance Documents but shall remain   entitled to the benefit of Clauses 24 (Role   of the Agent and Arranger) and 25 (Role of Trustee).    Its successor and each of the other Parties shall have the same rights   and obligations amongst themselves as they would have had if such successor   had been an original Party.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(g)
  	
  
The Majority   Lenders may, by notice to the Trustee, require it to resign in accordance   with paragraph (b) above.  In this   event, the Trustee shall resign in accordance with paragraph (b) above.
  
	
   
  	
  
 
  	
  
 
  
	
  
25.20
  	
  
Delegation
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Trustee   may, at any time, delegate by power of attorney or otherwise to any Person   for any period, all or any of the rights, powers and discretions vested in it   by any of the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The   delegation may be made upon any terms and conditions (including the power to   sub-delegate) and subject to any restrictions as the Trustee may think fit in   the interests of the Secured Parties and it shall not be bound to supervise,   or be in any way responsible for any loss incurred by reason of any   misconduct or default on the part of any delegate or sub-delegate.
  

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25.21
  	
  
Additional Trustees
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Trustee   may at any time appoint (and subsequently remove) any Person to act as a   separate trustee or as a co-trustee jointly with it (i) if it considers that   appointment to be in the interests of the Secured Parties or (ii) for the   purposes of conforming to any legal requirements, restrictions or conditions   which the Trustee deems to be relevant or (iii) for obtaining or enforcing   any judgment in any jurisdiction, and the Trustee shall give prior notice to   the Borrower and the Agent of that appointment.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any Person   so appointed shall have the rights, powers and discretions (not exceeding   those conferred on the Trustee by this Agreement) and the duties and   obligations that are conferred or imposed by the instrument of appointment.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The remuneration   that the Trustee may pay to any Person, and any costs and expenses incurred   by that Person in performing its functions pursuant to that appointment   shall, for the purposes of this Agreement, be treated as costs and expenses   incurred by the Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
25.22
  	
  
Parallel Debt (Covenant to pay the Trustee)
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Notwithstanding   any other provision of this Agreement, each Obligor hereby irrevocably and   unconditionally undertakes to pay to the Trustee, as creditor in its own   right and not as representative of the other Finance Parties, sums equal to   and in the currency of each amount payable by such Obligor to each of the   Finance Parties under each of the Finance Documents as and when that amount   falls due for payment under the relevant Finance Document.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Trustee   shall have its own independent right to demand payment of the amounts payable   by each Obligor under this Clause 25.22.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Any amount   due and payable by an Obligor to the Trustee under this Clause 25.22 shall be   decreased to the extent that the other Finance Parties have received (and are   able to retain) payment in full of the corresponding amount under the other   provisions of the Finance Documents and any amount due and payable by an   Obligor to the other Finance Parties under those provisions shall be   decreased to the extent that the Trustee has received (and is able to retain)   payment in full of the corresponding amount under this Clause 25.22.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
26.
  	
  
CONDUCT OF BUSINESS BY THE FINANCE PARTIES
  
	
   
  	
  
 
  
	
  
 
  	
  
No provision   of this Agreement will:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
interfere   with the right of any Finance Party to arrange its affairs (tax or otherwise)   in whatever manner it thinks fit;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
oblige any   Finance Party to investigate or claim any credit, relief, remission or   repayment available to it or the extent, order and manner of any claim; or
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
oblige any   Finance Party to disclose any information relating to its affairs (tax or   otherwise) or any computations in respect of Tax.
  

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27.
  	
  
SHARING AMONG THE FINANCE PARTIES
  
	
  
 
  	
  
 
  
	
  
27.1
  	
  
Payments to Finance Parties
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If a Finance   Party (a “Recovering Finance Party”)   receives or recovers any amount from an Obligor other than in accordance with   Clause 28 (Payment mechanics)   or Clause 30 (Application of Proceeds)   and applies that amount to a payment due under the Finance Documents then:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
the   Recovering Finance Party shall, within three Business Days, notify details of   the receipt or recovery, to the Agent;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
the Agent   shall determine whether the receipt or recovery is in excess of the amount   the Recovering Finance Party would have been paid had the receipt or recovery   been received or made by the Agent and distributed in accordance with Clause   28 (Payment mechanics), without   taking account of any Tax which would be imposed on the Agent in relation to   the receipt, recovery or distribution; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
the   Recovering Finance Party shall, within three Business Days of demand by the   Agent, pay to the Agent an amount (the “Sharing   Payment”) equal to such receipt or recovery less any amount which   the Agent determines may be retained by the Recovering Finance Party as its   share of any payment to be made, in accordance with Clause 28.5 (Partial payments).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
27.2
  	
  
Redistribution of payments
  
	
   
  	
  
 
  
	
  
 
  	
  
The Agent   shall treat the Sharing Payment as if it had been paid by the relevant   Obligor and distribute it between the Finance Parties (other than the   Recovering Finance Party) in accordance with Clause 28.5 (Partial payments).
  
	
  
 
  	
  
 
  
	
  
27.3
  	
  
Recovering Finance Party’s rights
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
On a   distribution by the Agent under Clause 27.2 (Redistribution   of payments), the Recovering Finance Party will be subrogated to   the rights of the Finance Parties which have shared in the redistribution.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
If and to   the extent that the Recovering Finance Party is not able to rely on its   rights under paragraph (a) above, the relevant Obligor shall be liable to the   Recovering Finance Party for a debt equal to the Sharing Payment which is   immediately due and payable.
  
	
   
  	
  
 
  	
  
 
  
	
  
27.4
  	
  
Reversal of redistribution
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If any part   of the Sharing Payment received or recovered by a Recovering Finance Party   becomes repayable and is repaid by that Recovering Finance Party, then:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
each Finance   Party which has received a share of the relevant Sharing Payment pursuant to   Clause 27.2 (Redistribution of payments)   shall, upon request of the Agent, pay to the Agent for account of that   Recovering Finance Party an amount equal to the appropriate part of its share   of the  Sharing Payment (together with   an amount as is necessary to reimburse that Recovering Finance Party for its   proportion of any interest on the Sharing Payment which that Recovering   Finance Party is required to pay); and
  

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	 (b)
	 that Recovering Finance Party’s rights of subrogation in respect of any reimbursement shall be cancelled and the Borrower will be liable to the reimbursing Finance Party for the amount so reimbursed.

	  
	  
	  

	 27.5
	 Exceptions

	  
	  

	  
	 (a)
	 This Clause 27 shall not apply to the extent that the Recovering Finance Party would not, after making any payment pursuant to this Clause, have a valid and enforceable claim against the relevant Obligor.

	  
	  
	  

	 
	 (b)
	 A Recovering Finance Party is not obliged to share with any other Finance Party any amount which the Recovering Finance Party has received or recovered as a result of taking legal or arbitration proceedings, if:

	  
	 (i)
	 it notified that other Finance Party of the legal or arbitration proceedings; and

	  
	  
	  

	  
	 (ii)
	 that other Finance Party had an opportunity to participate in those legal or arbitration proceedings but did not do so as soon as reasonably practicable having received notice and did not take separate legal or arbitration proceedings.

	
  
28.
  	
  
PAYMENT MECHANICS
  
	
   
  	
  
 
  
	
  
28.1
  	
  
Payments to the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
On each date   on which an Obligor or a Lender is required to make a payment under a Finance   Document, that Obligor or Lender shall make the same available to the Agent   (unless a contrary indication appears in a Finance Document) for value on the   due date at the time and in such funds specified by the Agent as being   customary at the time for settlement of transactions in the relevant currency   in the place of payment.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Payment   shall be made to such account as the Agent specifies from time to time.
  
	
  
 
  	
  
 
  	
  
 
  
	
  28.2
  	
  
Distributions by the Agent
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each payment   received by the Agent under the Finance Documents for another Party shall,   subject to Clause 28.3 (Distributions to   an Obligor), Clause 28.4 (Clawback)   and Clause 24.15 (Deduction from amounts   payable by the Agent) be made available by the Agent as soon as   practicable after receipt to the Party entitled to receive payment in   accordance with this Agreement (in the case of a Lender, for the account of   its Facility Office), to such account as that Party may notify to the Agent   by not less than five Business Days’ notice with a bank in the principal   financial centre of the country of that currency.
  

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28.3
  	
  
Distributions to an Obligor
  
	
  
 
  	
  
 
  
	
   
  	
  
The Agent   may (with the consent of the relevant Obligor or in accordance with Clause 29   (Set-off)) apply any amount   received by it for that Obligor in or towards payment (on the date and in the   currency and funds of receipt) of any amount due from that Obligor under the   Finance Documents or in or towards purchase of any amount of any currency to   be so applied.
  
	
  
 
  	
  
 
  
	
  
28.4
  	
  
Clawback
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Where a sum   is to be paid to the Agent under the Finance Documents for another Party, the   Agent is not obliged to pay that sum to that other Party (or to enter into or   perform any related exchange contract) until it has been able to establish to   its satisfaction that it has actually received that sum.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
If the Agent   pays an amount to another Party and it proves to be the case that the Agent   had not actually received that amount, then the Party to whom that amount (or   the proceeds of any related exchange contract) was paid by the Agent shall on   demand refund the same to the Agent together with interest on that amount   from the date of payment to the date of receipt by the Agent, calculated by   the Agent to reflect its cost of funds.
  
	
   
  	
  
 
  	
  
 
  
	
  
28.5
  	
  
Partial payments
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
If the Agent   receives a payment that is insufficient to discharge all the amounts then due   and payable by an Obligor under the Finance Documents, the Agent shall apply that   payment towards the obligations of that Obligor under the Finance Documents   in the following order:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
first, in or towards payment pro rata of any   unpaid fees, costs and expenses of the Agent, the Trustee (including any   Receiver or Delegate and the Arranger) under the Finance Documents;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(ii)
  	
  
secondly, in or towards payment pro rata of   any accrued interest or commission due but unpaid under this Agreement;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
thirdly, in or towards payment pro rata of   any principal due but unpaid under this Agreement; and
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iv)
  	
  
fourthly, in or towards payment pro rata of   any other sum due but unpaid under the Finance Documents.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
The Agent   shall, if so directed by the Majority Lenders, vary the order set out in   sub-paragraphs (i) to (iv) of paragraph (a) above.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Paragraphs   (a) and (b) above will override any appropriation made by an Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
28.6
  	
  
No set-off by the Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
All payments   to be made by an Obligor under the Finance Documents shall be calculated and   be made without (and free and clear of any deduction for) set-off or   counterclaim.
  

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28.7
  	
  
Payment on Business Days
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any payment   which is due to be made on a day that is not a Business Day shall be made on   the next Business Day in the same calendar month (if there is one) or the   preceding Business Day (if there is not).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
During any   extension of the due date for payment of any principal or Unpaid Sum under   this Agreement interest is payable on the principal or Unpaid Sum at the rate   payable on the original due date.
  
	
  
 
  	
  
 
  	
  
 
  
	
  28.8
  	
  
Currency of account
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Subject to   paragraphs (b) and (c) below, dollars is the currency of account and payment   for any sum due from an Obligor under any Finance Document.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Each payment   in respect of costs, expenses or Taxes shall be made in the currency in which   the costs, expenses or Taxes are incurred.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
Any amount   expressed to be payable in a currency other than dollars shall be paid in   that other currency.
  

	28.9	Change of currency
	
   
  	
   
  	
   
  	
   
  
	 	(a)	Unless otherwise prohibited by law, if more than one currency or currency unit are at the same time recognised by the central bank of any country as the lawful currency of that country, then:
	
   
  	
   
  	
   
  	
   
  
	  
	  
	(i)
	any   reference in the Finance Documents to, and any obligations arising under the   Finance Documents in, the currency of that country shall be translated into,   or paid in, the currency or currency unit of that country designated by the   Agent (after consultation with the Borrower); and
  

	  
	  
	  
	  

	 	 	(ii)	any translation from one currency or currency unit to another shall be at the official rate of exchange recognised by the central bank for the conversion of that currency or currency unit into the other, rounded up or down by the Agent (acting reasonably).
	  
	  
	  
	  

	 	(b)	If a change in any currency of a country occurs, this Agreement will, to the extent the Agent (acting reasonably and after consultation with the Borrower) specifies to be necessary, be amended to comply with any generally accepted conventions and market practice in the Relevant Interbank Market and otherwise to reflect the change in currency.
	  
	  
	  
	  

	29.	SET-OFF
	  
	  
	  
	  

	 	A Finance Party may set off any matured obligation due from an Obligor under the Finance Documents (to the extent beneficially owned by that Finance Party) against any matured obligation owed by that Finance Party to that Obligor, regardless of the place of payment, booking branch or currency of either obligation.  If the obligations are in different currencies, that Finance Party may convert either obligation at a market rate of exchange in its usual course of business for the purpose of the set-off.

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30.
  	
  
APPLICATION OF PROCEEDS
  
	
  
 
  	
  
 
  
	
  
30.1
  	
  
Order of Application
  
	
  
 
  	
  
 
  
	
  
 
  	
  
All moneys   from time to time received or recovered by the Trustee under Clause 25.22 (Parallel Debt (Covenant to pay Trustee))   and/or in connection with the realisation or enforcement of all or any part   of the Transaction Security shall be held by the Trustee on trust to apply   them at such times as the Trustee sees fit, to the extent permitted by   applicable law, in the following order of priority:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
in   discharging any sums owing to the Trustee (in its capacity as trustee), any   Receiver or any Delegate;
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
in payment   to the Agent, on behalf of the Secured Parties, for application towards the   discharge of all sums due and payable by any Obligor under any of the Finance   Documents in accordance with Clause 28.5 (Partial   Payments);
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
if none of   the Obligors is under any further actual or contingent liability under any   Finance Document, in payment to any Person to whom the Trustee is obliged to   pay in priority to any Obligor; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
the balance,   if any, in payment to the relevant Obligor.
  
	
  
 
  	
  
 
  	
  
 
  
	
  30.2
  	
  
Investment of Proceeds
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Prior to the   application of the proceeds of the Transaction Security in accordance with   Clause 30.1 (Order of Application)   the Trustee may, at its discretion, hold all or part of those proceeds in an   interest bearing suspense or impersonal account(s) in the name of the Trustee   or the Agent with any financial institution (including itself) and for so   long as the Trustee thinks fit (the interest being credited to the relevant   account) pending the application from time to time of those monies at the   Trustee’s discretion in accordance with the provisions of this Clause 30.
  
	
  
 
  	
  
 
  
	
  
30.3
  	
  
Currency Conversion
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
For the   purpose of or pending the discharge of any of the Secured Obligations the   Trustee may convert any moneys received or recovered by the Trustee from one   currency to another, at the spot rate at which the Trustee is able to   purchase the currency in which the Secured Obligations are due with the   amount received.
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The   obligations of an Obligor to pay in the due currency shall only be satisfied   to the extent of the amount of the due currency purchased after deducting the   costs of conversion.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
30.4
  	
  
Permitted Deductions
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The Trustee   shall be entitled (a) to set aside by way of reserve amounts required to meet   and (b) to make and pay, any deductions and withholdings (on account of Tax   or otherwise) which it is or may be required by any applicable law to make   from any distribution or payment made by it under this Agreement, and to pay   all Tax which may be assessed against it in respect of any of the Secured   Property, or as a consequence of performing its duties, or by virtue of its   capacity as Trustee under any of the Finance Documents or otherwise (except   in connection with its remuneration for performing its duties under this   Agreement).
  

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30.5
  	
  
Discharge of Secured Obligations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any payment   to be made in respect of the Secured Obligations by the Trustee may be made   to the Agent on behalf of the Lenders and that payment shall be a good   discharge to the extent of that payment, to the Trustee.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Trustee   is under no obligation to make payment to the Agent in the same currency as   that in which any Unpaid Sum is denominated.
  
	
  
 
  	
  
 
  	
  
 
  
	
  30.6
  	
  
Sums received by the Obligors
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If an   Obligor receives any sum which, pursuant to any of the Finance Documents,   should have been paid to the Trustee, that sum shall promptly be paid to the   Trustee for application in accordance with this Clause 30.
  
	
  
 
  	
  
 
  
	
  
30.7
  	
  
Application and consideration
  
	
  
 
  	
  
 
  
	
  
 
  	
  
In   consideration for the covenants given to the Trustee by each Obligor in   Clause 25.22 (Parallel Debt (Covenant to   pay the Trustee)), the Trustee agrees with each Obligor to apply   all moneys from time to time paid by such Obligor to the Trustee in   accordance with the provisions of Clause 30.1 (Order of Application).
  
	
  
 
  	
  
 
  
	
  31.
  	
  
NOTICES
  
	
  
 
  	
  
 
  
	
  
31.1
  	
  
Communications in writing
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any   communication to be made under or in connection with the Finance Documents   shall be made in writing and, unless otherwise stated, may be made by fax or   letter.
  
	
  
 
  	
  
 
  
	
  
31.2
  	
  
Addresses
  
	
  
 
  	
  
 
  
	
  
 
  	
  
The address   and fax number (and the department or officer, if any, for whose attention   the communication is to be made) of each Party for any communication or   document to be made or delivered under or in connection with the Finance   Documents is:
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
in the case   of an Obligor, that identified with its name below;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
in the case   of each Lender, that notified in writing to the Agent on or prior to the date   on which it becomes a Party; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
in the case   of the Arranger, the Agent and the Trustee, that identified with its name   below,
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
or any   substitute address or fax number or department or officer as the Party may   notify to the Agent (or the Agent may notify to the other Parties, if a   change is made by the Agent) by not less than five Business Days’ notice.
  

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31.3
  	
  
Delivery
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any   communication or document made or delivered by one Person to another under or   in connection with the Finance Documents will only be effective:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
if by way of   fax, when received in legible form; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(ii)
  	
  
if by way of   letter, when it has been left at the relevant address or seven Business Days   after being deposited in the post postage prepaid in an envelope addressed to   it at that address,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
and, if a   particular department or officer is specified as part of its address details   provided under Clause 31.2 (Addresses),   if addressed to that department or officer.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
Any notice   delivered under or in connection with the Finance Documents after 4.00 p.m.   on a Business Day, or on a day which is not a Business Day, shall be deemed   to have been delivered at 10.00 a.m. on the next Business Day.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  
Any   communication or document to be made or delivered to the Agent or Trustee   will be effective only when actually received by the Agent or Trustee and   then only if it is expressly marked for the attention of the department or   officer identified with the Agent or Trustee’s signature below (or any   substitute department or officer as the Agent or Trustee shall specify for   this purpose).
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(d)
  	
  
All notices   from or to an Obligor shall be sent through the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(e)
  	
  
All notices   to a Lender from the Trustee shall be sent through the Agent.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(f)
  	
  
Any   communication or document made or delivered to the Borrower in accordance   with this Clause 31.3 will be deemed to have been made or delivered to each   of the Obligors.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
31.4
  	
  
Notification of address and fax number
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Promptly   upon receipt of notification of an address or fax number or change of address   or fax number pursuant to Clause 31.2 (Addresses)   or changing its own address or fax number, the Agent shall notify the other   Parties.
  
	
  
 
  	
  
 
  
	
  
31.5
  	
  
Use of websites
  
	
  
 
  	
  
 
  
	
   
  	
  
(a)
  	
  
The Agent   may deliver any information under the Finance Documents to a Lender by posting   it on an electronic website designated by the Agent for this purpose.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Agent   will supply each Lender with the address of the electronic website and any   relevant password specifications required for access.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The Agent   must promptly, upon becoming aware of its occurrence, notify the Lenders if:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
the website   cannot be accessed;
  

- 78 -

	
  
 
  	
  
 
  	
  
(ii)
  	
  
the website   or any information on the website is infected by any electronic virus or   similar software;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iii)
  	
  
the relevant   password specification for the website is changed; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(iv)
  	
  
any   information to be supplied under the Finance Documents is posted on the   website or amended after being posted.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
31.6
  	
  
English language
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Any notice   given under or in connection with any Finance Document must be in English.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
All other   documents provided under or in connection with any Finance Document must be:
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
in English;   or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
if not in   English, and if so required by the Agent, accompanied by a certified English   translation and, in this case, the English translation will prevail unless   the document is a constitutional, statutory or other official document.
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
32.
  	
  
CALCULATIONS AND CERTIFICATES
  
	
   
  	
  
 
  
	
  
32.1
  	
  
Accounts
  
	
  
 
  	
  
 
  
	
  
 
  	
  
In any litigation   or arbitration proceedings arising out of or in connection with a Finance   Document, the entries made in the accounts maintained by a Finance Party are   prima facie evidence of the matters to which they relate.
  
	
  
 
  	
  
 
  
	
  
32.2
  	
  
Certificates and Determinations
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Any   certification or determination by a Finance Party of a rate or amount under   any Finance Document is, in the absence of manifest error, conclusive   evidence of the matters to which it relates.
  
	
  
 
  	
  
 
  
	
  32.3
  	
  
Day count convention

  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
Any   interest, commission or fee accruing under a Finance Document will accrue   from day to day and is calculated on the basis of the actual number of days   elapsed and a year of 360 days or, in any case where the practice in the   Relevant Interbank Market differs, in accordance with that market practice.
  
	
  
 
  	
  
 
  
	
  
33.
  	
  
PARTIAL INVALIDITY
  
	
  
 
  	
  
 
  
	
  
 
  	
  
If, at any   time, any provision of the Finance Documents is or becomes illegal, invalid   or unenforceable in any respect under any law of any jurisdiction, neither   the legality, validity or enforceability of the remaining provisions nor the   legality, validity or enforceability of such provision under the law of any   other jurisdiction will in any way be affected or impaired.
  

- 79 -

	
  
34.
  	
  
REMEDIES AND WAIVERS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
No failure   to exercise, nor any delay in exercising, on the part of any Secured Party or   the Arranger, any right or remedy under the Finance Documents shall operate   as a waiver, nor shall any single or partial exercise of any right or remedy   prevent any further or other exercise or the exercise of any other right or   remedy.  The rights and remedies   provided in this Agreement are cumulative and not exclusive of any rights or   remedies provided by law.
  
	
  
 
  	
  
 
  
	
  
35.
  	
  
AMENDMENTS   AND WAIVERS
  
	
  
 
  	
  
 
  
	
  35.1
  	
  
Required consents
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
Subject to   Clause 35.2 (Exceptions) and   Clause 25.14 (Releases) any   term of the Finance Documents may be amended or waived only with the consent   of the Majority Lenders and the Borrower and any such amendment or waiver   will be binding on all Parties.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Agent,   or in respect of the Security Documents the Trustee, may effect, on behalf of   any Finance Party, any amendment or waiver permitted by this Clause 35.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
35.2
  	
  
Exceptions
  
	
   
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
An amendment   or waiver that has the effect of changing or which relates to:
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(i)
  	
  
the   definition of “Majority Lenders”   in Clause 1.1 (Definitions);
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(ii)
  	
  
an extension   to the date of payment of any amount under the Finance Documents;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(iii)
  	
  
a reduction   in the Margin or a reduction in the amount of any payment of principal,   interest, fees or commission payable;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(iv)
  	
  
a change of   an Obligor;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(v)
  	
  
any   provision which expressly requires the consent of all the Lenders;
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
 
  	
  
(vi)
  	
  
Clause 2.2 (Finance Parties’ rights and obligations),   Clause 22 (Changes to the Lenders)   or this Clause 35; or
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
(vii)
  	
  
the nature   or scope of the Secured Property or the manner in which the proceeds of   enforcement of the Transaction Security are distributed,
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
 
  	
  
shall not be   made without the prior consent of all the Lenders.
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
An amendment   or waiver which relates to the rights or obligations of the Agent, the   Trustee or the Arranger may not be effected without the consent of the Agent,   the Trustee or the Arranger.
  

- 80 -

	
  
36.
  	
  
COUNTERPARTS
  
	
  
 
  	
  
 
  
	
  
 
  	
  
Each Finance   Document may be executed in any number of counterparts, and this has the same   effect as if the signatures on the counterparts were on a single copy of the   Finance Document.
  
	
  
 
  	
  
 
  
	
  
37.
  	
  
GOVERNING LAW
  
	
   
  	
  
 
  
	
  
 
  	
  
This   Agreement is governed by English law.    For the purposes of article 9 of Brazilian Decree-Law No. 4,657 dated   4 September 1942, and for no other purpose whatsoever, the transactions   contemplated hereby have been proposed by the Agent.
  
	
  
 
  	
  
 
  
	
  
38.
  	
  
ENFORCEMENT
  
	
  
 
  	
  
 
  
	
  
38.1
  	
  
Jurisdiction
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The courts   of England have exclusive jurisdiction to settle any dispute arising out of   or in connection with this Agreement (including a dispute regarding the   existence, validity or termination of this Agreement) (a “Dispute”).
  
	
   
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
The Parties   agree that the courts of England are the most appropriate and convenient   courts to settle Disputes and accordingly no Party will argue to the   contrary.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
This Clause   38.1 is for the benefit of the Finance Parties only.  As a result, no Finance Party shall be   prevented from taking proceedings relating to a Dispute in any other courts   with jurisdiction.  To the extent   allowed by law, the Finance Parties may take concurrent proceedings in any   number of jurisdictions.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
38.2
  	
  
Service of process
  
	
  
 
  	
  
 
  
	
   
  	
  
Without prejudice   to any other mode of service allowed under any relevant law, each Obligor:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
irrevocably   appoints Law Debenture Corporate Services   Limited of 100 Wood Street, Fifth Floor, London EC2V 7EX, England   as its agent for service of process in relation to any proceedings before the   English courts in connection with any Finance Document; and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
agrees that   failure by an agent for service of process to notify the relevant Obligor of   the process will not invalidate the proceedings concerned.
  
	
  
 
  	
  
 
  	
  
 
  
	

  
  This Agreement has been entered into on the date stated at the   beginning of this Agreement.

- 81 -

SCHEDULE 1

THE EXISTING LENDERS

	
  
Name of   Existing Lender
  	
   
 	
  
A1 Loan   ($)
  	
   
 	
  
A2 Loan   ($)
  	
   
 	
  
A3 Loan   ($)
  
	
  

  	
   
 	
  

  	
   
 	
  

  	
   
 	
  

  
	
  ABN AMRO Bank N.V.
  	
  
 
  	
  
16,666,666.66
  	
   
 	
  
16,666,666.66
  	
   
 	
  
41,000,000.00
  
	
  
 
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
   
 
	
  
Name of   Existing Lender
  	
   
 	
  
B1 Loan   ($)
  	
   
 	
  
B2 Loan   ($)
  	
   
 	
  
B3 Loan   ($)
  
	
  

  	
   
 	
  

  	
   
 	
  

  	
   
 	
  

  
	
  ABN AMRO Bank N.V.
  	
  
 
  	
  
16,666,666.67
  	
   
 	
  
16,666,666.67
  	
   
 	
  
41,000,000.00
  
	
  
 
  	
  
 
  	
  
 
  	
  
 
  	
  
 
  	
  
 
  	
   
 
	
  
Name of   Existing Lender
  	
   
 	
  
C1 Loan   ($)
  	
   
 	
  
C2 Loan   ($)
  	
   
 	
  
C3 Loan   ($)
  
	
  

  	
   
 	
  

  	
   
 	
  

  	
   
 	
  

  
	
  ABN AMRO Bank N.V.
  	
  
 
  	
  
16,666,666.67
  	
   
 	
  
16,666,666.67
  	
   
 	
  
41,000,000.00
  
	
  
 
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
   
 

- 82 -

SCHEDULE 2

FORM OF TRANSFER CERTIFICATE

To:          ABN AMRO Bank N.V. as Agent

From:     [The Existing Lender] (the “Existing Lender”) and [The New Lender] (the “New Lender”)

Dated:

Votorantim Celulose e Papel S.A. – Restated $223,000,000 Pre-Export Finance Agreement (the “Agreement”), as restated pursuant to a restatement agreement dated [•] 2006

	
  
1.
  	
  
We refer to   the Agreement.  This is a Transfer   Certificate.  Terms defined in the   Agreement have the same meaning in this Transfer Certificate unless given a   different meaning in this Transfer Certificate.
  
	
  
 
  	
  
 
  
	
  
2.
  	
  
We refer to   Clause 22.5 (Procedure for transfer):
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
The Existing   Lender and the New Lender agree to the Existing Lender transferring to the   New Lender by novation all or part of the Existing Lender’s rights and   obligations referred to in the Schedule in accordance with Clause 22.5 (Procedure for transfer).
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(b)
  	
  
The proposed   Transfer Date is [•].
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(c)
  	
  
The Facility   Office and address, fax number and attention details for notices of the New   Lender for the purposes of Clause 31.2 (Addresses)   are set out in the Schedule.
  
	
  
 
  	
  
 
  	
  
 
  
	
  
3.
  	
  
The New   Lender expressly acknowledges the limitations on the Existing Lender’s   obligations set out in paragraph (c) of Clause 22.4 (Limitation of responsibility of Existing Lenders).
  
	
  
 
  	
  
 
  
	
  
4.
  	
  
This   Transfer Certificate may be executed in any number of counterparts and this   has the same effect as if the signatures on the counterparts were on a single   copy of this Transfer Certificate.
  
	
   
  	
  
 
  
	
  
5.
  	
  
This   Transfer Certificate is governed by English law.
  

- 83 -

THE SCHEDULE

Rights and obligations to be transferred

[insert relevant details]

[Facility Office address, fax number and attention details for notices and account details for payments,]

	
  
[Existing   Lender]
  	
  
[New Lender]
  
	
  
 
  	
  
 
  
	
  
By:
  	
  
By
  
	
  
 
  	
  
 
  

This Transfer Certificate is accepted by the Agent and the Transfer Date is confirmed as [•].

The Agent

ABN AMRO Bank N.V.

By:

- 84 -

SCHEDULE 3

FORM OF COMPLIANCE CERTIFICATE

To:           ABN AMRO Bank N.V. as Agent

From:      Votorantim Celulose e Papel S.A. (the “Borrower”) as Borrower

Dated: [•]

Dear Sirs

Votorantim Celulose e Papel S.A. – Restated $223,000,000 Pre-Export Finance Agreement (the “Agreement”), as restated pursuant to a restatement agreement dated [•] 2006

	
  
1.
  	
  
We refer to   the Agreement.  This is a Compliance   Certificate.  Terms defined in the   Agreement have the same meaning in this Compliance Certificate unless given a   different meaning in this Compliance Certificate.
  
	
  
 
  	
  
 
  
	
  
2.
  	
  
We confirm   that:
  
	
   
  	
  
 
  
	
  
 
  	
  
[insert details of financial covenants and whether   the Borrower is in compliance with those covenants.]
  
	
  
 
  	
  
 
  
	
  
3.
  	
  
[We confirm   that no Default is continuing.]1
  

	
  
Signed:   ...............
  	
  
...............
  
	
  
 
  	
  
 
  
	
  
Chief   Financial Officer of Borrower
  	
  
Treasurer of   Borrower
  
	
  
 
  	
  
 
  
	
  
 
  	
  
 
  
	
  [insert applicable certification language]
  	
  
 
  

	
  

  
	
  
1
  	
  
If this   statement cannot be made, the certificate should identify and Default that is   continuing and the steps, if any, being taken to remedy it.
  

- 85 -

SCHEDULE 4

PAYMENT DATES

	
  
Interest   Payment Date
  	
   
 	
  
A Loan   Principal
   Payment Amount ($)
  	
   
 	
  
B Loan   Principal
   Payment Amount ($)
  	
   
 	
  
C Loan   Principal
   Payment Amount ($)
  
	
  

  	
   
 	
  

  	
   
 	
  

  	
   
 	
  

  
	
  19 February 2007
  	
  
 
  	
  
7,433,333.26
  	
   
 	
   
 	
   
 	
   
 
	
  
18 May 2007
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
20 August 2007
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  19 November 2007
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
18 February 2008
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
19 May 2008
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
18 August 2008
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  18 November 2008
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
18 February 2009
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
18 May 2009
  	
  
 
  	
  
7,433,333.34
  	
   
 	
   
 	
   
 	
   
 
	
  
18 August 2009
  	
  
 
  	
   
 	
   
 	
  
7,433,333.28
  	
   
 	
   
 
	
  18 November 2009
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 February 2010
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 May 2010
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 August 2010
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  18 November 2010
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 February 2011
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 May 2011
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
18 August 2011
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  18 November 2011
  	
  
 
  	
   
 	
   
 	
  
7,433,333.34
  	
   
 	
   
 
	
  
20 February 2012
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
18 May 2012
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
20 August 2012
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  19 November 2012
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
18 February 2013
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
20 May 2013
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
19 August 2013
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  18 November 2013
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
18 February 2014
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.34
  
	
  
19 May 2014
  	
  
 
  	
   
 	
   
 	
   
 	
   
 	
  
7,433,333.28
  

- 86 -

SCHEDULE 5

INITIAL BUYERS

 

	
  
BUYER
  	
  
 
  	
  
JURISDICTION OF INCORPORATION
  
	
  

  	
  
 
  	
  

  
	
  
AHLSTROM   CORP.
  	
  
 
  	
  
GERMANY /   FRANCE
  
	
  
ALLCART   S.R.L.
  	
  
 
  	
  
ITALY
  
	
  
ANTALIS   S.N.C.
  	
  
 
  	
  
FRANCE
  
	
  
ARJO WIGGINS   LIMITED
  	
  
 
  	
  
FRANCE
  
	
  FEDRIGONI   CARTIERE SPA
  	
  
 
  	
  
ITALY
  
	
  
GEORGIA-PACIFIC   CORP.
  	
  
 
  	
  
USA / FRANCE   / NETHERLANDS / ITALY / GREECE / TURKEY / UK
  
	
  
GOULD PAPER   CORPORATION
  	
  
 
  	
  
USA
  
	
  
IMPECO S.L.
  	
  
 
  	
  
SPAIN
  
	
  
ITOCHU   CORPORATION
  	
  
 
  	
  
KOREA /   JAPAN
  
	
  
J.   MC’NAUGHTON PAPER GROUP
  	
  
 
  	
  
UK
  
	
  
KANZAN GMBH
  	
  
 
  	
  
GERMANY
  
	
  KARTOGROUP   DEUTSCHLAND GMBH
  	
  
 
  	
  
GERMANY
  
	
  
KARTOGROUP   SPA
  	
  
 
  	
  
ITALY
  
	
  
LINDENMEYR   MUNROE
  	
  
 
  	
  
USA
  
	
  
MARUBENI   CORPORATION
  	
  
 
  	
  
JAPAN
  
	
  
M-REAL   CORPORATION
  	
  
 
  	
  
SWITZERLAND
  
	
  
PAPETERIES   DE CLAIREFONTAINE
  	
  
 
  	
  
FRANCE
  
	
  
PKS (KOEHLER   AG)
  	
  
 
  	
  
GERMANY
  
	
  
PKS   (SCHEUFELEN)
  	
  
 
  	
  
GERMANY
  
	
  RADECE PAPIR
  	
  
 
  	
  
SLOVENIA
  
	
  
SAPPI EUROPE   S.A.
  	
  
 
  	
  
AUSTRIA / UK
  
	
  
SCA HYGIENE   PRODUCTS
  	
  
 
  	
  
BELGIUM /   NETHERLANDS / FRANCE / ITALY / UK
  
	
  
TRENT PAPER   SALES
  	
  
 
  	
  
UK
  
	
  
UPM-KYMMENE   (NORDLAND PAPIER AG)
  	
  
 
  	
  
GERMANY
  
	
  
UPM-KYMMENE (PAPETERIES DE DOCELLES)
  	
  
 
  	
  
FRANCE
  

- 87 -

SCHEDULE 6

FORM OF IRREVOCABLE PAYMENT INSTRUCTIONS

To:          [Insert name of Buyer]

[To:         [Insert name of Permitted Covering Institution if Buyer is a Covered Buyer]] 

From:      VCP Overseas Holding Ltd. Budapest, Baar Branch

Date:       [Insert date]

Dear Sirs,

We hereby give you notice that by an assignment agreement dated [•] 2006 entered into between, among others, ourselves and ABN AMRO Bank N.V. as trustee, we have irrevocably assigned to ABN AMRO Bank N.V. all our right, title and interest, present and future, under the [Specify name of Sales Contract] (the “Assigned Contract”) dated [Insert date of Sales Contract] between us and [Insert name of Buyer].

With effect from your receipt of this notice all payments made by or on behalf of you to us under or arising from the Assigned Contract should be made on the due date for payment of the same by wire transfer to the following account:

[Insert wire instructions for payments to Collection Account]

We confirm that with effect from the date of this notice any previous or existing payment instructions affecting the payments under or arising from the Assigned Contract are to be terminated and we irrevocably confirm that the instructions contained herein can only be revoked or amended with the prior written consent of ABN AMRO Bank N.V.

This letter shall be governed by and construed in accordance with the laws of England.  

Yours faithfully

	
   
  	
  
 
  
	
  

  	
  
 
  
	
  
for and on   behalf of
  	
  
 
  
	
  
VCP Overseas Holding Ltd. 
   Budapest, Baar Branch
  	
  
 
  

- 88 -

SCHEDULE 7

FORM OF SALES CONTRACT DESIGNATION NOTICE

To:         ABN AMRO Bank N.V. as Trustee

From:     VCP Overseas Holding Ltd. Budapest, Baar Branch

Dated:

Dear Sirs

Votorantim Celulose e Papel S.A. - Restated $223,000,000 Pre-Export Finance Agreement, as restated on pursuant to a restatement agreement dated [•] 2006 (the “Agreement”)

	
  
1.
  	
  
We refer to   the Agreement.  This is a Sales   Contract Designation Notice.  Terms   defined in the Agreement have the same meaning when used in this Sales   Contract Designation Notice unless given a different meaning in this Sales   Contract Designation Notice.
  
	
   
  	
  
 
  
	
  
2.
  	
  
We hereby   deliver to you true and complete copies of:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
all   documentation evidencing a binding agreement or agreements between VCP   Overseas Holding Ltd. Budapest, Baar Branch and [Insert name of Buyer or Buyers, as applicable] (the “Buyer(s)”) for the sale of Products by   VCP Overseas Holding Ltd. Budapest, Baar Branch to the Buyer(s); and
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
duly   executed Irrevocable Payment Instructions with respect to each agreement evidenced   by the documentation referred to in paragraph 2(a) above.
  
	
  
 
  	
  
 
  	
  
 
  
	
  3.
  	
  
We hereby   designate each agreement evidenced by the documentation referred to in   paragraph 2(a) above to be a “Sales Contract” for the purposes of the Finance   Documents and confirm that:
  
	
  
 
  	
  
 
  
	
  
 
  	
  
(a)
  	
  
we have   irrevocably assigned to you all our right, title and interest, present and   future, under each Sales Contract designated in this Sales Contract   Designation Notice in accordance with and upon the terms of the Assignment   Agreement;
  
	
  
 
  	
  
 
  	
  
 
  
	
  
 
  	
  
(b)
  	
  
each Sales   Contract designated in this Sales Contract Designation Notice is in full   force and effect as against VCP Overseas Holding Ltd. Budapest, Baar Branch,   and, to the best of our knowledge and belief, as against the Buyer(s), upon   the terms set out in documentation referred to in paragraph 2(a) above; and
  
	
  
 
  	
  
 
  	
  
 
  
	
   
  	
  
(c)
  	
  

forthwith upon delivery of this Sales Contract Designation Notice to you, we
will deliver the original(s) of the Irrevocable Payment Instructions referred to
in paragraph 2(b) above to the Buyer(s) [and the Permitted Covering
Institution(s) issuing the letter or letters of credit or the insurance policy
or policies (as applicable) supporting the Buyer(s) payment obligations under
each such Sales Contract]*.
 
	
  
 
  	
  
 
  	
  
 
  
	
  

  
	
  
*
  	
  
Insert the   languages in square brackets if the Buyer is a Covered Buyer.
  

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4.
  	
  
This Sales   Contract Designation Notice shall be governed by and construed in accordance   with the laws of England.
  
	
   
  	
   
  

	
  Yours   faithfully
  	
   
  
	 	 
	
   
  	
   
  
	
  

  	
   
  
	
  for and on   behalf of
  	
   
  
	
  VCP Overseas Holding Ltd. 
   Budapest, Baar Branch
  	
   
  

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