Document:

exv10w1

Exhibit 10.1

[EXECUTION COPY]

Published CUSIP Number: 69946EAD3

 

CREDIT AGREEMENT

Dated as of June 30, 2011

among

PAREXEL INTERNATIONAL CORPORATION,

and

CERTAIN SUBSIDIARIES

as Borrowers,

THE SUBSIDIARY GUARANTORS PARTY HERETO,

BANK OF AMERICA, N.A.,

as Administrative Agent, Swing Line Lender

and

L/C Issuer,

and

THE OTHER LENDERS PARTY HERETO

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED,

J.P. MORGAN SECURITIES LLC,

and

HSBC BANK USA, NATIONAL ASSOCIATION

as Joint Lead Arrangers and Joint Book Managers

JPMORGAN CHASE BANK, N.A. and HSBC BANK USA, NATIONAL ASSOCIATION

as, Joint Syndication Agents

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	ARTICLE I. DEFINITIONS AND ACCOUNTING TERMS
	 	 	1	 
	1.01. Defined Terms
	 	 	1	 
	1.02. Other Interpretive Provisions
	 	 	31	 
	1.03. Accounting Terms
	 	 	32	 
	1.04. Rounding
	 	 	33	 
	1.05. Exchange Rates; Currency Equivalents
	 	 	33	 
	1.06. Additional Alternative Currencies
	 	 	33	 
	1.07. Change of Currency
	 	 	34	 
	1.08. Times of Day
	 	 	35	 
	1.09. Letter of Credit Amounts
	 	 	35	 
	 
	 
	ARTICLE II. THE COMMITMENTS AND CREDIT EXTENSIONS
	 	 	35	 
	2.01. The Loans
	 	 	35	 
	2.02. Borrowings, Conversions and Continuations of Loans
	 	 	36	 
	2.03. Letters of Credit
	 	 	38	 
	2.04. Swing Line Loans
	 	 	48	 
	2.05. Prepayments
	 	 	51	 
	2.06. Termination or Reduction of Commitments
	 	 	53	 
	2.07. Repayment of Loans
	 	 	54	 
	2.08. Interest
	 	 	54	 
	2.09. Fees
	 	 	55	 
	2.10. Computation of Interest and Fees; Retroactive Adjustments of Applicable Rate
	 	 	56	 
	2.11. Evidence of Debt
	 	 	56	 
	2.12. Payments Generally; Administrative Agent’s Clawback
	 	 	57	 
	2.13. Sharing of Payments by Lenders
	 	 	59	 
	2.14. Cash Collateral
	 	 	60	 
	2.15. Defaulting Lenders
	 	 	61	 
	2.16. Designated Borrowers
	 	 	63	 
	2.17. Increase in Revolving Credit Facility
	 	 	64	 
	2.18. Increase in Term Facility
	 	 	66	 

i 

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	ARTICLE III. TAXES, YIELD PROTECTION AND ILLEGALITY
	 	 	68	 
	3.01. Taxes
	 	 	68	 
	3.02. Illegality
	 	 	72	 
	3.03. Inability to Determine Rates
	 	 	73	 
	3.04. Increased Costs; Reserves on Eurocurrency Rate Loans
	 	 	74	 
	3.05. Compensation for Losses
	 	 	76	 
	3.06. Mitigation Obligations; Replacement of Lenders
	 	 	76	 
	3.07. Survival
	 	 	77	 
	 
	ARTICLE IV. CONDITIONS PRECEDENT TO CREDIT EXTENSIONS
	 	 	77	 
	4.01. Conditions of Initial Credit Extension
	 	 	77	 
	4.02. Conditions to all Credit Extensions
	 	 	79	 
	 
	ARTICLE V. REPRESENTATIONS AND WARRANTIES
	 	 	80	 
	5.01. Organization; Powers
	 	 	80	 
	5.02. Authorization; Enforceability
	 	 	80	 
	5.03. Governmental Approvals; No Conflicts
	 	 	81	 
	5.04. Financial Statements; No Material Adverse Effect
	 	 	81	 
	5.05. Properties
	 	 	81	 
	5.06. Litigation and Environmental Matters
	 	 	82	 
	5.07. Compliance with Laws and Agreements; No Default
	 	 	82	 
	5.08. Investment Company Status
	 	 	82	 
	5.09. Taxes
	 	 	82	 
	5.10. ERISA Compliance
	 	 	82	 
	5.11. Disclosure
	 	 	84	 
	5.12. Subsidiaries
	 	 	84	 
	5.13. Margin Regulations
	 	 	84	 
	5.14. Material CF Subsidiaries
	 	 	84	 
	5.15. Specially Designated Nationals or Blocked Persons List
	 	 	84	 
	5.16. Representations as to Foreign Obligors
	 	 	84	 
	 
	ARTICLE VI. AFFIRMATIVE COVENANTS
	 	 	85	 
	6.01. Financial Statements
	 	 	85	 

ii 

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	6.02. Certificates; Other Information
	 	 	86	 
	6.03. Notices
	 	 	87	 
	6.04. Existence; Conduct of Business
	 	 	88	 
	6.05. Payment of Obligations
	 	 	88	 
	6.06. Maintenance of Properties; Insurance
	 	 	88	 
	6.07. Books and Records; Inspection Rights
	 	 	88	 
	6.08. Compliance with Laws
	 	 	88	 
	6.09. Use of Proceeds
	 	 	88	 
	6.10. Additional Subsidiaries
	 	 	89	 
	 
	ARTICLE VII. NEGATIVE COVENANTS
	 	 	89	 
	7.01. Indebtedness
	 	 	89	 
	7.02. Liens
	 	 	90	 
	7.03. Fundamental Changes
	 	 	91	 
	7.04. Investments
	 	 	92	 
	7.05. Swap Contracts
	 	 	93	 
	7.06. Restricted Payments
	 	 	93	 
	7.07. Change in Nature of Business
	 	 	93	 
	7.08. Transactions with Affiliates
	 	 	93	 
	7.09. Burdensome Agreements
	 	 	94	 
	7.10. Use of Proceeds
	 	 	94	 
	7.11. Financial Covenants
	 	 	94	 
	7.12. Transfers from Credit Parties to Non-Credit Parties
	 	 	95	 
	7.13. Fiscal Year
	 	 	95	 
	7.14. Amendments
	 	 	95	 
	 
	ARTICLE VIII. EVENTS OF DEFAULT AND REMEDIES
	 	 	95	 
	8.01. Events of Default
	 	 	95	 
	8.02. Remedies upon Event of Default
	 	 	97	 
	8.03. Application of Funds
	 	 	98	 
	 
	ARTICLE IX. ADMINISTRATIVE AGENT
	 	 	99	 
	9.01. Appointment and Authority
	 	 	99	 

iii 

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	9.02. Rights as a Lender
	 	 	99	 
	9.03. Exculpatory Provisions
	 	 	99	 
	9.04. Reliance by Administrative Agent
	 	 	100	 
	9.05. Delegation of Duties
	 	 	100	 
	9.06. Resignation of Administrative Agent
	 	 	100	 
	9.07. Non-Reliance on Administrative Agent and Other Lenders
	 	 	102	 
	9.08. No Other Duties, Etc
	 	 	102	 
	9.09. Administrative Agent May File Proofs of Claim
	 	 	102	 
	9.10. Collateral and Guaranty Matters
	 	 	103	 
	 
	ARTICLE X. GUARANTY
	 	 	103	 
	10.01. Company Guaranty
	 	 	103	 
	10.02. Subsidiary Guaranty
	 	 	107	 
	 
	ARTICLE XI. MISCELLANEOUS
	 	 	110	 
	11.01. Amendments, Etc
	 	 	110	 
	11.02. Notices; Effectiveness; Electronic Communications
	 	 	112	 
	11.03. No Waiver; Cumulative Remedies; Enforcement
	 	 	115	 
	11.04. Expenses; Indemnity; Damage Waiver
	 	 	115	 
	11.05. Payments Set Aside
	 	 	117	 
	11.06. Successors and Assigns
	 	 	118	 
	11.07. Treatment of Certain Information; Confidentiality
	 	 	122	 
	11.08. Right of Setoff
	 	 	123	 
	11.09. Interest Rate Limitation
	 	 	124	 
	11.10. Counterparts; Integration; Effectiveness
	 	 	124	 
	11.11. Survival of Representations and Warranties
	 	 	124	 
	11.12. Severability
	 	 	125	 
	11.13. Replacement of Lenders
	 	 	125	 
	11.14. Governing Law; Jurisdiction; Etc
	 	 	126	 
	11.15. Waiver of Jury Trial
	 	 	127	 
	11.16. No Advisory or Fiduciary Responsibility
	 	 	127	 
	11.17. Electronic Execution of Assignments and Certain Other Documents
	 	 	128	 

iv 

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	11.18. USA PATRIOT Act
	 	 	128	 
	11.19. Judgment Currency
	 	 	128	 
	11.20. Liability for Obligations
	 	 	128	 
	11.21. ENTIRE AGREEMENT
	 	 	129	 

v 

 

SCHEDULES

	 	 	 	 	 

	 	1.01	(b)	 	Mandatory Cost

	 	1.01	(p)	 	Permitted Investments

	 	2.01	 	 	Commitments and Applicable Percentages

	 	5.06	 	 	Disclosed Matters

	 	5.12	 	 	Subsidiaries; Loan Parties

	 	7.01	 	 	Existing Indebtedness

	 	7.02	 	 	Existing Liens

	 	7.04	 	 	Existing Investments

	 	7.08	 	 	Affiliate Transactions

	 	7.09	 	 	Burdensome Agreements

	 	11.02	 	 	Administrative Agent’s Office, Certain Addresses for Notices

EXHIBITS

	 	 	 	 	 

	 	Form of
	 	 
	 	A	 	 	Committed Loan Notice

	 	B	 	 	Term Note

	 	C	 	 	Revolving Credit Note

	 	D	 	 	Compliance Certificate

	 	E	 	 	Assignment and Assumption

	 	F	 	 	Swing Line Loan Notice

	 	G	 	 	Designated Borrower Request and Assumption Agreement

	 	H	 	 	Designated Borrower Notice

 

 

CREDIT AGREEMENT

     This CREDIT AGREEMENT (“Agreement”) is entered into as of June 30, 2011, among PAREXEL
INTERNATIONAL CORPORATION, a Massachusetts Corporation (the “Company”), certain
Subsidiaries of the Company party hereto pursuant to Section 2.16 (each a “Designated
Borrower” and, together with the Company, collectively, the “Borrowers” and, each,
individually, a “Borrower”), certain Subsidiaries of the Company from time to time party
hereto as Subsidiary Guarantors, each lender from time to time party hereto (collectively, the
“Lenders” and, each, individually, a “Lender”), and BANK OF AMERICA, N.A., as
Administrative Agent, Swing Line Lender and L/C Issuer.

PRELIMINARY STATEMENTS:

     The Borrowers have requested that the Lenders provide a term loan facility and a revolving
credit facility, and the Lenders have indicated their willingness to lend and the L/C Issuer has
indicated its willingness to issue letters of credit, in each case, on the terms and subject to the
conditions set forth herein.

     In consideration of the mutual covenants and agreements herein contained, the parties hereto
covenant and agree as follows:

ARTICLE I.

DEFINITIONS AND ACCOUNTING TERMS

     1.01. Defined Terms. As used in this Agreement, the following terms shall have the meanings
set forth below:

     “AC Swing Line Loan” means a Swing Line Loan denominated in an Alternative Currency.

     “AC Swing Rate” means for any day a fluctuating rate of interest per annum at which
overnight deposits in the applicable Alternative Currency, in an amount approximately equal to the
amount with respect to which such rate is being determined, would be offered for such day by a
branch or Affiliate of Bank of America in the applicable offshore interbank market for such
currency to major banks in such interbank market.

     “Acquisition” means, with respect to any Person, the purchase or other acquisition (in
one transaction or a series of transactions) of (a) the assets of another Person that constitute a
business unit or all or substantial part of the business of, such Person or (b) the acquisition of
more than 50% of the Equity Interests with ordinary voting power of another Person.

     “Administrative Agent” means Bank of America in its capacity as administrative agent
under the Loan Documents, or any successor administrative agent.

     “Administrative Agent’s Office” means, with respect to any currency, the
Administrative Agent’s address and, as appropriate, account as set forth on Schedule 11.02
with respect to such currency, or such other address or account with respect to such currency as
the Administrative Agent may from time to time notify to the Company and the Lenders.

 

 

     “Administrative Questionnaire” means an Administrative Questionnaire in a form from
time to time supplied by the Administrative Agent.

     “Advance Funding Arrangements” means any arrangements requested by the Borrowers and
acceptable to the Administrative Agent in its reasonable discretion for the delivery of funds by
Lenders to or for the account of the Administrative Agent for safekeeping pending their delivery by
the Administrative Agent to the Borrowers on the Closing Date to fund Loans of such Lenders on such
date.

     “Advance Funding Documentation” means such funding indemnities or other documentation
as the Administrative Agent may reasonably require in connection with Advance Funding Arrangements.

     “Affiliate” means, with respect to any Person, another Person that directly, or
indirectly through one or more intermediaries, Controls or is Controlled by or is under common
Control with the Person specified.

     “Aggregate Commitments” means the Commitments of all the Lenders. As of the Closing
Date, the Aggregate Commitments are $400,000,000.

     “Agreement” means this Credit Agreement.

     “Agreement Currency” has the meaning specified in Section 11.19.

     “Alternative Currency” means each of Euro, Sterling and Yen and each other currency
(other than Dollars) that is approved in accordance with Section 1.06.

     “Alternative Currency Equivalent” means, at any time, with respect to any amount
denominated in Dollars, the equivalent amount thereof in the applicable Alternative Currency as
determined by the Administrative Agent, the Swing Line Lender or the L/C Issuer, as the case may
be, at such time on the basis of the Spot Rate (determined in respect of the most recent
Revaluation Date) for the purchase of such Alternative Currency with Dollars.

     “Applicable Foreign Obligor Documents” has the meaning specified in Section
5.16(a).

     “Applicable Percentage” means (a) in respect of the Term Facility, with respect to any
Term Lender at any time, the percentage (carried out to the ninth decimal place) of the Term
Facility represented by (i) on or prior to the Closing Date, such Term Lender’s Closing Date Term
Commitment at such time and (ii) thereafter, the principal amount of such Term Lender’s Term Loans
(after giving effect to any Incremental Term Loans made or to be made with respect to any
Incremental Term Commitment of such Lender) at such time, and (b) in respect of the Revolving
Credit Facility, with respect to any Revolving Credit Lender at any time, the percentage (carried
out to the ninth decimal place) of the Revolving Credit Facility represented by such Revolving
Credit Lender’s Revolving Credit Commitment at such time, subject to adjustment as provided in
Section 2.15. If the commitment of each Revolving Credit Lender to make Revolving Credit
Loans and the obligation of the L/C Issuer to make L/C Credit Extensions have been terminated
pursuant to Section 8.02, or if the Revolving Credit Commitments have expired, then the
Applicable Percentage of each Revolving Credit Lender in

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respect of the Revolving Credit Facility shall be determined based on the Applicable
Percentage of such Revolving Credit Lender in respect of the Revolving Credit Facility most
recently in effect, giving effect to any subsequent assignments. The initial Applicable Percentage
of each Lender in respect of each Facility is set forth opposite the name of such Lender on
Schedule 2.01 or in the Assignment and Assumption pursuant to which such Lender becomes a
party hereto, as applicable.

     “Applicable Rate” means the following percentages per annum, based upon the
Consolidated Leverage Ratio as set forth in the most recent Compliance Certificate received by the
Administrative Agent pursuant to Section 6.02(a):

	 	 	 	 	 	 	 	 	 
	 	 	 	 	Eurocurrency	 	 	 	 
	 	 	 	 	Loans/Letter of	 	 	 	 
	Pricing Level	 	Consolidated Leverage Ratio	 	Credit Fees	 	Base Rate Loans	 	Commitment Fee
	I
	 	< 1.00:1.00	 	0.75%	 	0.00%	 	0.20%
	II
	 	≥ 1.00:1.00 but < 1.50:1.00	 	1.00%	 	0.00%	 	0.25%
	III
	 	≥ 1.50:1.00 but < 2.00:1.00	 	1.25%	 	0.25%	 	0.30%
	IV
	 	≥ 2.00:1.00 but < 2.50:1.00	 	1.50%	 	0.50%	 	0.35%
	V
	 	≥ 2.50:1.00	 	1.75%	 	0.75%	 	0.40%

Any increase or decrease in the Applicable Rate resulting from a change in the Consolidated
Leverage Ratio shall become effective as of the first Business Day immediately following the date a
Compliance Certificate is delivered pursuant to Section 6.02(a); provided,
however, that if a Compliance Certificate is not delivered when due in accordance with such
Section, then, upon the request of the Required Lenders, Pricing Level V shall apply as of the
first Business Day after the date on which such Compliance Certificate was required to have been
delivered and shall remain in effect until the date on which such Compliance Certificate is
delivered. The Applicable Rate in effect from the Closing Date through June 30, 2011 shall be
determined based upon Pricing Level III.

     Notwithstanding anything to the contrary contained in this definition, the determination of
the Applicable Rate for any period shall be subject to the provisions of Section 2.10(b).

     “Applicable Revolving Credit Percentage” means with respect to any Revolving Credit
Lender at any time, such Revolving Credit Lender’s Applicable Percentage in respect of the
Revolving Credit Facility at such time.

     “Applicable Time” means, with respect to any borrowings and payments in any
Alternative Currency, the local time in the place of settlement for such Alternative Currency as
may be determined by the Administrative Agent, the Swing Line Lender or the L/C Issuer, as the case
may be, to be necessary for timely settlement on the relevant date in accordance with normal
banking procedures in the place of payment.

     “Applicant Borrower” has the meaning specified in Section 2.16.

     “Appropriate Lender” means, at any time, (a) with respect to any of the Term Facility
or the Revolving Credit Facility, a Lender that has a Commitment with respect to such Facility or

-3-

 

holds a Term Loan or a Revolving Credit Loan, respectively, at such time, and (b) with respect
to the Letter of Credit Sublimit, (i) the L/C Issuer and (ii) if any Letters of Credit have been
issued pursuant to Section 2.03(a), the Revolving Credit Lenders.

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

     “Arrangers” means, collectively, MLPFS, J.P. Morgan Securities LLC and HSBC Bank USA,
National Association, in their capacities as joint lead arrangers and joint book managers.

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

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

     “Audited Financial Statements” means the audited consolidated balance sheet of the
Company and its Subsidiaries for the fiscal year ended June 30, 2010, and the related consolidated
statements of income or operations, shareholders’ equity and cash flows for such fiscal year of the
Company and its Subsidiaries, including the notes thereto.

     “Availability Period” means in respect of the Revolving Credit Facility, the period
from and including the Closing Date to the earliest of (a) the Maturity Date, (b) the date of
termination of the Revolving Credit Commitments pursuant to Section 2.06, and (c) the date
of termination of the commitment of each Revolving Credit Lender to make Revolving Credit Loans and
of the obligation of the L/C Issuer to make L/C Credit Extensions pursuant to Section 8.02.

     “Bank of America” means Bank of America, N.A. and its successors.

     “Base Rate” means for any day a fluctuating rate per annum equal to the highest of (a)
the Federal Funds Rate plus 1/2 of 1%, (b) the rate of interest in effect for such day as publicly
announced from time to time by Bank of America as its “prime rate,” and (c) the Eurocurrency Rate
plus 1.00%. The “prime rate” is a rate set by Bank of America based upon various factors
including Bank of America’s costs and desired return, general economic conditions and other
factors, and is used as a reference point for pricing some loans, which may be priced at, above, or
below such announced rate. Any change in such prime rate announced by Bank of America shall take
effect at the opening of business on the day specified in the public announcement of such change.

     “Base Rate Loan” means a Loan that bears interest based on the Base Rate. All Base
Rate Loans shall be denominated in Dollars.

     “Borrower” and “Borrowers” each has the meaning specified in the introductory
paragraph hereto.

-4-

 

     “Borrower Materials” has the meaning specified in Section 6.02.

     “Borrowing” means a Revolving Credit Borrowing, a Term Borrowing or a Swing Line
Borrowing, as the context may require.

     “Business Day” means any day other than a Saturday, Sunday or other day on which
commercial banks are authorized to close under the Laws of, or are in fact closed in, the State of
New York and:

(a) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in Dollars, any fundings, disbursements, settlements and payments in Dollars in
respect of any such Eurocurrency Rate Loan, or any other dealings in Dollars to be carried
out pursuant to this Agreement in respect of any such Eurocurrency Rate Loan, means any such
day that is also a London Banking Day;

(b) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in Euro, any fundings, disbursements, settlements and payments in Euro in
respect of any such Eurocurrency Rate Loan, or any other dealings in Euro to be carried out
pursuant to this Agreement in respect of any such Eurocurrency Rate Loan, means a TARGET
Day;

(c) if such day relates to any interest rate settings as to a Eurocurrency Rate Loan
denominated in a currency other than Dollars or Euro, means any such day on which dealings
in deposits in the relevant currency are conducted by and between banks in the London or
other applicable offshore interbank market for such currency; and

(d) if such day relates to any fundings, disbursements, settlements and payments in a
currency other than Dollars or Euro in respect of a Eurocurrency Rate Loan denominated in a
currency other than Dollars or Euro, or any other dealings in any currency other than
Dollars or Euro to be carried out pursuant to this Agreement in respect of any such
Eurocurrency Rate Loan (other than any interest rate settings), means any such day on which
banks are open for foreign exchange business in the principal financial center of the
country of such currency.

     “Capital Lease Obligations” of any Person means the obligations of such Person to pay
rent or other amounts under any lease of (or other arrangement conveying the right to use) real or
personal property, or a combination thereof, which obligations are required to be classified and
accounted for as capital leases on a balance sheet of such Person under GAAP, and the amount of
such obligations shall be the capitalized amount thereof determined in accordance with GAAP.

     “Cash Pooling Financing” means one or more customary corporate treasury cash pooling
overdraft facilities established by the Company or a Subsidiary.

     “Cash Collateralize” means to pledge and deposit with or deliver to the Administrative
Agent, for the benefit of the Administrative Agent, L/C Issuer or Swing Line Lender (as applicable)
and the Lenders, as collateral for L/C Obligations, Obligations in respect of Swing Line Loans, or
obligations of Lenders to fund participations in respect of either thereof (as the

-5-

 

context may require), cash or deposit account balances or, if the L/C Issuer or Swing Line
Lender benefitting from such collateral shall agree in its sole discretion, other credit support,
in each case pursuant to documentation in form and substance satisfactory to (a) the Administrative
Agent and (b) the L/C Issuer or the Swing Line Lender (as applicable). “Cash Collateral” shall have
a meaning correlative to the foregoing and shall include the proceeds of such cash collateral and
other credit support.

     “CCT” means California Clinical Trials Medical Group, Inc., a California corporation.

     “CCT Agreements” “ means collectively, (a) that certain Management Agreement, dated as
of November 15, 2006, by and between Parexel International, LLC and CCT, (b) that certain Stock
Transfer Restriction Agreement, dated as of March 5, 2008, by and among Parexel International, LLC,
CCT, Lev Grigorievich Gertsik, MD and the stockholder of CCT, and (c) that certain Stock Transfer
Restriction Agreement, dated as of March 5, 2008, by and among Parexel International, LLC, CCT
Holding Company Medical Group, Inc. and Lev Grigorievich Gertsik, MD.

     “CCT Transactions” means the CCT Agreements, any modifications, replacements or
supplements to the CCT Agreements that are not materially adverse to the Company, and the
performance of obligations of the parties under the CCT Agreements, as modified.

     “Change in Law” means the occurrence, after the date of this Agreement, of any of the
following: (a) the adoption or taking effect of any law, rule, regulation or treaty, (b) any change
in any law, rule, regulation or treaty or in the administration, interpretation or application
thereof by any Governmental Authority or (c) the making or issuance of any request, guideline or
directive (whether or not having the force of law) by any Governmental Authority; provided,
however, that notwithstanding anything herein to the contrary, (x) the Dodd-Frank Wall
Street Reform and Consumer Protection Act and all requests, rules, regulations, guidelines,
interpretations or directives thereunder or issued in connection therewith (whether or not having
the force of Law) and (y) all requests, rules, regulations, guidelines, interpretations or
directives promulgated by the Bank for International Settlements, the Basel Committee on Banking
Supervision (or any successor or similar authority) or the United States or foreign regulatory
authorities (whether or not having the force of Law), in each case pursuant to Basel III, shall, in
the case of the foregoing clauses (x) and (y), be deemed to be a Change in Law regardless of the
date enacted, adopted, issued, promulgated or implemented.

     “Change of Control” means an event or series of events by which:

     (a) any “person” or “group” (as such terms are used in Sections 13(d) and 14(d) of the
Securities Exchange Act of 1934, but excluding any employee benefit plan of such person or its
subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary
or administrator of any such plan) becomes the “beneficial owner” (as defined in Rules 13d-3 and
13d-5 under the Securities Exchange Act of 1934, except that a person or group shall be deemed to
have “beneficial ownership” of all securities that such person or group has the right to acquire,
whether such right is exercisable immediately or only after the passage of time (such right, an
“option right”)), directly or indirectly, of 35% or more of the equity securities of the
Company entitled to vote for members of the board of directors or equivalent governing body of

-6-

 

the Company on a fully-diluted basis (and taking into account all such securities that such
“person” or “group” has the right to acquire pursuant to any option right); or

     (b) during any period of 12 consecutive months, a majority of the members of the board of
directors or other equivalent governing body of the Company cease to be composed of individuals (i)
who were members of that board or equivalent governing body on the first day of such period, (ii)
whose election or nomination to that board or equivalent governing body was approved by individuals
referred to in clause (i) above constituting at the time of such election or nomination at least a
majority of that board or equivalent governing body or (iii) whose election or nomination to that
board or other equivalent governing body was approved by individuals referred to in clauses (i) and
(ii) above constituting at the time of such election or nomination at least a majority of that
board or equivalent governing body (excluding, in the case of both clause (ii) and clause (iii),
any individual whose initial nomination for, or assumption of office as, a member of that board or
equivalent governing body occurs during the relevant 12 month period as a result of an actual or
threatened solicitation of proxies or consents for the election or removal of one or more directors
by any person or group other than a solicitation for the election of one or more directors by or on
behalf of the board of directors); or

     (c) the acquisition of direct or indirect Control of the Company by any Person or group.

     “Closing Date” means the first date all the conditions precedent in Section
4.01 are satisfied or waived in accordance with Section 11.01.

     “Closing Date Term Commitment” means, as to each Term Lender, its obligation to make
Term Loans to the Borrower pursuant to Section 2.01(a) in an aggregate principal amount at
any one time outstanding not to exceed the amount set forth opposite such Term Lender’s name on
Schedule 2.01 under the caption “Closing Date Term Commitment”.

     “Code” means the Internal Revenue Code of 1986, as amended.

     “Commitment” means a Term Commitment or a Revolving Credit Commitment, as the context
may require.

     “Commitment Fee” has the meaning set forth in Section 2.09.

     “Committed Loan Notice” means a notice of (a) a Term Borrowing, (b) a Revolving Credit
Borrowing, (c) a conversion of Loans from one Type to the other, or (d) a continuation of
Eurocurrency Rate Loans, pursuant to Section 2.02(a), which, if in writing, shall be
substantially in the form of Exhibit A.

     “Company” has the meaning specified in the introductory paragraph hereto.

     “Company Guaranty” means the Guarantee of the Guaranteed Designated Borrower
Obligations made by the Company under Section 10.1 in favor of the Lender Parties.

     “Compliance Certificate” means a certificate substantially in the form of Exhibit
D.

-7-

 

     “Consolidated EBITDA” means, for any period, for the Company and its
Subsidiaries on a consolidated basis, an amount equal to Consolidated Net Income for such period
plus the following to the extent deducted in calculating such Consolidated Net Income and
without duplication: (a) Consolidated Interest Charges for such period, (b) the provision for
federal, state, local and foreign income taxes payable by the Company and its Subsidiaries for such
period, (c) depreciation and amortization expense, (d) non-cash compensation charges arising from
any grant of stock, stock options or other equity-based awards for such period, and (e) for any
period which includes any portion of the 2011 calendar year, non-recurring restructuring charges of
the Company and its Subsidiaries incurred during such portion of the 2011 calendar year so
included; provided that the aggregate amount of all such restructuring charges for the
entire 2011 calendar year which shall be added back pursuant to this clause (e) shall not exceed
$15,000,000.

     For purposes of determining the Consolidated Leverage Ratio and Consolidated Interest Coverage
Ratio for any period, in connection with any Acquisition or Disposition, there shall be (i)
included in Consolidated EBITDA, all Consolidated EBITDA attributable to any Person or business
acquired by the Company or any Subsidiary of the Company pursuant to an Acquisition during such
period as if such Person or business had been acquired on the day before the first day of such
period and (ii) excluded from such Consolidated EBITDA, all Consolidated EBITDA attributable to any
Person or business Disposed of by the Company or any Subsidiary of the Company during such period
as if such Person or business were Disposed of on the first day of such period.

     “Consolidated Funded Indebtedness” means, as of any date of determination, the
outstanding principal amount of all Indebtedness of the Company and its Subsidiaries, on a
consolidated basis.

     “Consolidated Interest Charges” means, for any period, for the Company and its
Subsidiaries on a consolidated basis, the sum of (a) all interest, premium payments, debt discount,
fees, charges and related expenses of the Company and its Subsidiaries during such period in
connection with borrowed money (including capitalized interest) or in connection with the deferred
purchase price of assets, in each case to the extent treated as interest in accordance with GAAP,
and (b) the portion of rent expense of the Company and its Subsidiaries with respect to such period
under Capitalized Leases that is treated as interest in accordance with GAAP.

     “Consolidated Interest Coverage Ratio” means, as of any date of determination for any
period, the ratio of (a) Consolidated EBITDA for such period to (b) Consolidated Interest Charges
for such period.

     “Consolidated Leverage Ratio” means, as of any date of determination, the ratio of (a)
Consolidated Funded Indebtedness as of such date to (b) Consolidated EBITDA for the period of the
four fiscal quarters ended on such date.

     “Consolidated Net Income” means, for any period, for the Company and its Subsidiaries
on a consolidated basis, the net income of the Company and its Subsidiaries (excluding
extraordinary gains and extraordinary non-cash losses) for that period.

-8-

 

     “Contractual Obligation” means, as to any Person, any provision of any security issued
by such Person or of any agreement, instrument or other undertaking to which such Person is a party
or by which it or any of its property is bound.

     “Control” means the possession, directly or indirectly, of the power to direct or
cause the direction of the management or policies of a Person, whether through the ability to
exercise voting power, by contract or otherwise. “Controlling” and “Controlled”
have meanings correlative thereto.

     “Credit Extension” means each of the following: (a) a Borrowing and (b) an L/C Credit
Extension.

     “Credit Party” means each of the Company, each Designated Borrower that is a Domestic
Subsidiary, and each Subsidiary that is party to a Subsidiary Guaranty.

     “Debtor Relief Laws” means the Bankruptcy Code of the United States, and all other
liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium,
rearrangement, receivership, insolvency, reorganization, or similar debtor relief Laws of the
United States or other applicable jurisdictions from time to time in effect and affecting the
rights of creditors generally.

     “Default” means any event or condition that constitutes an Event of Default or that,
with the giving of any notice, the passage of time, or both, would be an Event of Default.

     “Default Rate” means (a) when used with respect to Obligations other than Letter of
Credit Fees and Swing Line Loans, an interest rate equal to (i) the Base Rate plus (ii) the
Applicable Rate, if any, applicable to Base Rate Loans plus (iii) 2% per annum;
provided, however, that with respect to a Eurocurrency Rate Loan, the Default Rate
shall be an interest rate equal to the interest rate (including any Applicable Rate and any
Mandatory Cost) otherwise applicable to such Loan plus 2% per annum, (b) when used with
respect to Letter of Credit Fees, a rate equal to the Applicable Rate applicable to Eurocurrency
Rate Loans plus 2% per annum, and (c) when used with respect to Swing Line Loan, a rate
equal to the rate of interest otherwise applicable to such Swing Line Loan plus 2% per
annum.

     “Defaulting Lender” means, subject to Section 2.15(b), any Lender that, as
determined by the Administrative Agent, (a) has failed to perform any of its funding obligations
hereunder, including in respect of its Loans or participations in respect of Letters of Credit or
Swing Line Loans, within three Business Days of the date required to be funded by it hereunder,
unless such obligation is the subject of a good faith dispute, (b) has notified a Borrower, or the
Administrative Agent or any Lender that it does not intend to comply with its funding obligations
or has made a public statement to that effect with respect to its funding obligations hereunder or
under other agreements in which it commits to extend credit, (c) has failed, within three Business
Days after request by the Administrative Agent, to confirm in a manner reasonably satisfactory to
the Administrative Agent that it will comply with its funding obligations (provided that
such Lender shall cease to be a Defaulting Lender upon receipt of such confirmation by the
Administrative Agent), or (d) has, or has a direct or indirect parent company that has, (i) become
the subject of a proceeding under any Debtor Relief Law, (ii) had a receiver,

-9-

 

conservator, trustee, administrator, assignee for the benefit of creditors or similar Person
charged with reorganization or liquidation of its business or a custodian appointed for it, or
(iii) taken any action in furtherance of, or indicated its consent to, approval of or acquiescence
in any such proceeding or appointment referenced in subclause (i) or (ii) of this clause (d);
provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership
or acquisition of any equity interest in that Lender or any direct or indirect parent company
thereof by a Governmental Authority.

     “Designated Borrower” has the meaning specified in the introductory paragraph hereto.

     “Designated Borrower Notice” has the meaning specified in Section 2.16.

     “Disclosed Matters” has the meaning specified in Section 5.06.

     “Disposition” or “Dispose” means the sale, transfer, license, lease or other
disposition (including any sale and leaseback transaction) of any property by any Person, including
any sale, assignment, transfer or other disposal, with or without recourse, of any notes or
accounts receivable or any rights and claims associated therewith.

     “Dollar” and “$” mean lawful money of the United States.

     “Dollar Equivalent” means, at any time, (a) with respect to any amount denominated in
Dollars, such amount, and (b) with respect to any amount denominated in any Alternative Currency,
the equivalent amount thereof in Dollars as determined by the Administrative Agent, the L/C Issuer
or the L/C Issuer, as the case may be, at such time on the basis of the Spot Rate (determined in
respect of the most recent Revaluation Date) for the purchase of Dollars with such Alternative
Currency.

     “Domestic Subsidiary” means any Subsidiary that is organized under the laws of any
political subdivision of the United States.

     “Eligible Assignee” means any Person that meets the requirements to be an assignee
under Section 11.06(b)(iii) and (v) (subject to such consents, if any, as may be
required under Section 11.06(b)(iii)).

     “EMU” means the economic and monetary union in accordance with the Treaty of Rome
1957, as amended by the Single European Act 1986, the Maastricht Treaty of 1992 and the Amsterdam
Treaty of 1998.

     “EMU Legislation” means the legislative measures of the European Council for the
introduction of, changeover to or operation of a single or unified European currency.

     “Environmental Laws” means all laws, rules, regulations, codes, ordinances, orders,
decrees, judgments, injunctions, notices or binding agreements issued, promulgated or entered into
by any Governmental Authority, relating in any way to the environment, preservation or reclamation
of natural resources, the management, release or threatened release of any Hazardous Material or to
health and safety matters.

-10-

 

     “Environmental Liability” means any liability, contingent or otherwise (including any
liability for damages, costs of environmental remediation, fines, penalties or indemnities), of the
Administrative Borrower or any Subsidiary directly or indirectly resulting from or based upon (a)
violation of any Environmental Law, (b) the generation, use, handling, transportation, storage,
treatment or disposal of any Hazardous Materials, (c) exposure to any Hazardous Materials, (d) the
release or threatened release of any Hazardous Materials into the environment or (e) any contract,
agreement or other consensual arrangement pursuant to which liability is assumed or imposed with
respect to any of the foregoing.

     “Equity Interests” means, with respect to any Person, all of the shares of capital
stock of (or other ownership or profit interests in) such Person, all of the warrants, options or
other rights for the purchase or acquisition from such Person of shares of capital stock of (or
other ownership or profit interests in) such Person, all other rights to acquire any of the
foregoing of such Person, and all of the other ownership or profit interests in such Person
(including partnership, member or trust interests therein), whether voting or nonvoting, and
whether or not such shares, warrants, options, rights or other interests are outstanding on any
date of determination.

     “ERISA” means the Employee Retirement Income Security Act of 1974.

     “ERISA Affiliate” means any trade or business (whether or not incorporated) under
common control with the Company within the meaning of Section 414(b) or (c) of the Code (and
Sections 414(m) and (o) of the Code for purposes of provisions relating to Section 412 of the
Code).

     “ERISA Event” means (a) a Reportable Event with respect to a Pension Plan; (b) the
withdrawal of the Company or any ERISA Affiliate from a Pension Plan subject to Section 4063 of
ERISA during a plan year in which such entity was a “substantial employer” as defined in Section
4001(a)(2) of ERISA or a cessation of operations that is treated as such a withdrawal under Section
4062(e) of ERISA; (c) a complete or partial withdrawal by the Company or any ERISA Affiliate from a
Multiemployer Plan or notification that a Multiemployer Plan is in reorganization; (d) the filing
of a notice of intent to terminate or the treatment of a Pension Plan amendment as a termination
under Section 4041 or 4041A of ERISA; (e) the institution by the PBGC of proceedings to terminate a
Pension Plan; (f) any event or condition which constitutes grounds under Section 4042 of ERISA for
the termination of, or the appointment of a trustee to administer, any Pension Plan; (g) the
determination that any Pension Plan is considered an at-risk plan or a plan in endangered or
critical status within the meaning of Sections 430, 431 and 432 of the Code or Sections 303, 304
and 305 of ERISA; or (h) the imposition of any liability under Title IV of ERISA, other than for
PBGC premiums due but not delinquent under Section 4007 of ERISA, upon the Company or any ERISA
Affiliate.

     “Euro” and “EUR” mean the lawful currency of the Participating Member States
introduced in accordance with the EMU Legislation.

     “Eurocurrency Rate” means:

     (a) means, for any Interest Period with respect to a Eurocurrency Rate Loan, the rate per
annum equal to (i) the British Bankers Association LIBOR Rate (“BBA LIBOR”), as

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published by Reuters (or other commercially available source providing quotations of BBA LIBOR
as designated by the Administrative Agent from time to time) at approximately 11:00 a.m., London
time, two Business Days prior to the commencement of such Interest Period, for deposits in the
relevant currency (for delivery on the first day of such Interest Period) with a term equivalent to
such Interest Period or (ii) if such rate is not available at such time for any reason, then the
“Eurocurrency Rate” for such Interest Period shall be the rate per annum determined by the
Administrative Agent to be the rate at which deposits in the relevant currency for delivery on the
first day of such Interest Period in Same Day Funds in the approximate amount of the Eurocurrency
Rate Loan being made, continued or converted by Bank of America and with a term equivalent to such
Interest Period would be offered by Bank of America’s London Branch (or other Bank of America
branch or Affiliate) to major banks in the London or other offshore interbank market for such
currency at their request at approximately 11:00 a.m. (London time) two Business Days prior to the
commencement of such Interest Period; and

     (b) for any interest calculation with respect to a Base Rate Loan on any date, the rate per
annum equal to (i) BBA LIBOR, at approximately 11:00 a.m., London time determined two London
Banking Days prior to such date for Dollar deposits being delivered in the London interbank market
for a term of one month commencing that day or (ii) if such published rate is not available at such
time for any reason, the rate per annum determined by the Administrative Agent to be the rate at
which deposits in Dollars for delivery on the date of determination in same day funds in the
approximate amount of the Base Rate Loan being made or maintained and with a term equal to one
month would be offered by Bank of America’s London Branch to major banks in the London interbank
eurodollar market at their request at the date and time of determination.

     “Eurocurrency Rate Loan” means a Revolving Credit Loan or a Term Loan that bears
interest at a rate based on clause (a) of the definition of “Eurocurrency Rate.” Eurocurrency Rate
Loans may be denominated in Dollars or in an Alternative Currency. All Loans denominated in an
Alternative Currency must be Eurocurrency Rate Loans, except AC Swing Line Loans, which shall bear
interest at the rate set forth in Section 2.08(a).

     “Event of Default” has the meaning specified in Section 8.01.

     “Excluded Taxes” means, with respect to the Administrative Agent, any Lender, the L/C
Issuer or any other recipient of any payment to be made by or on account of any obligation of any
Borrower hereunder, (a) taxes imposed on or measured by its overall net income (however
denominated), and franchise taxes imposed on it (in lieu of net income taxes), by the jurisdiction
(or any political subdivision thereof) under the Laws of which such recipient is organized or in
which its principal office is located or by any jurisdiction as a result of a present or former
connection between such recipient and the jurisdiction imposing such tax (or any political
subdivision thereof), other than any such connection arising solely from such recipient having
executed, delivered or performed its obligations or received a payment under, or enforced, this
Agreement or any other Loan Document, or in the case of any Lender, by the jurisdiction in which
its applicable Lending Office is located, (b) any branch profits taxes imposed by the United States
or any similar tax imposed by any other jurisdiction in which such Borrower is located or by any
jurisdiction described in (a), (c) any backup withholding tax that is required by the Code to be
withheld from amounts payable to a Lender, (d) in the case of a Lender (other

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than an assignee pursuant to a request by the Company under Section 11.13), any
withholding tax imposed by the United States or the Netherlands that (i) is required to be imposed
on amounts payable to such Lender pursuant to the Laws in force at the time such Lender becomes a
party hereto (or designates a new Lending Office) or (ii) is attributable to such Lender’s failure
or inability (other than as a result of a Change in Law) to comply with Section 3.01(e),
except to the extent that such Lender (or its assignor, if any) was entitled, at the time of
designation of a new Lending Office (or assignment), to receive additional amounts from such
Borrower with respect to such withholding tax pursuant to Section 3.01(a)(ii) or (iii), or
(e) any Taxes that arise under FATCA.

     “Existing Credit Agreement” means that certain Credit Agreement, dated as of June 13,
2008 (as amended by the First Amendment dated as of July 10, 2008 and as amended and restated as of
August 14, 2008), among the Company, Parexel International Holding B.V. and Parexel International
Holding UK Limited, as borrowers, the Subsidiaries of the Company from time to time party thereto
as subsidiary guarantors, the lenders from time to time party thereto, JPMorgan Chase Bank, N.A. as
administrative agent, and the other agents and arrangers from time to time party thereto.

     “Existing Term Facilities” means, collectively, the bi-lateral term loan facilities of
the Company with each of Bank of America, JPMorgan Chase Bank, N.A. and HSBC Bank USA, National
Association, in an aggregate principal amount of $75,000,000, as such term loan facilities may be
amended, restated, supplemented or replaced or refinanced prior to the Closing Date.

     “Facility” means the Term Facility or the Revolving Credit Facility, as the context
may require.

     “FASB ASC” means the Accounting Standards Codification of the Financial Accounting
Standards Board.

     “FATCA” means sections 1471 through 1474 of the Code, as of the date of this Agreement
(and any amended or successor version that is substantively comparable and not materially more
onerous to comply with), and any current or future regulations (whether temporary or proposed) that
are issued thereunder or official governmental interpretations thereof.

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

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     “Fee Letter” means the letter agreement, dated as of June 9, 2011, as amended from
time to time, among the Borrower, Parexel International Holding B.V., the Administrative Agent and
MLPFS.

     “Financial Officer” means the chief financial officer, principal accounting officer,
treasurer or controller of the Company.

     “Foreign Lender” means, with respect to any Borrower, any Lender that is organized
under the Laws of a jurisdiction other than that in which such Borrower is resident for tax
purposes (including such a Lender when acting in the capacity of the L/C Issuer). For purposes of
this definition, the United States, each State thereof and the District of Columbia shall be deemed
to constitute a single jurisdiction.

     “Foreign Obligor” means a Loan Party that is a Foreign Subsidiary.

     “Foreign Subsidiary” means any Subsidiary that is organized under the laws of a
jurisdiction other than the United States, a State thereof or the District of Columbia.

     “FRB” means the Board of Governors of the Federal Reserve System of the United States.

     “Fronting Exposure” means, at any time there is a Revolving Credit Lender that is a
Defaulting Lender, (a) with respect to the L/C Issuer, such Defaulting Lender’s Applicable
Percentage of the outstanding L/C Obligations other than L/C Obligations as to which such
Defaulting Lender’s participation obligation has been reallocated to other Revolving Credit Lenders
or Cash Collateralized in accordance with the terms hereof, and (b) with respect to the Swing Line
Lender, such Defaulting Lender’s Applicable Percentage of Swing Line Loans other than Swing Line
Loans as to which such Defaulting Lender’s participation obligation has been reallocated to other
Revolving Credit Lenders or Cash Collateralized in accordance with the terms hereof.

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

     “GAAP” means generally accepted accounting principles in the United States consistent
with the opinions and pronouncements of the Accounting Principles Board and the American Institute
of Certified Public Accountants and statements and pronouncements of the Financial Accounting
Standards Board or such other principles as may be approved by a significant segment of the
accounting profession in the United States, that are applicable to the circumstances as of the date
of determination, consistently applied.

     “Governmental Authority” means the government of the United States or any other
nation, or of any political subdivision thereof, whether state or local, any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising executive,
legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to
government (including any supra-national bodies such as the European Union or the European Central
Bank) and any group or body charged with setting financial accounting or regulatory

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capital rules or standards (including, without limitation, the Financial Accounting Standards
Board, the Bank for International Settlements or the Basel Committee on Banking Supervision or any
successor or similar authority to any of the foregoing).

     “Guarantee” means, as to any Person, any (a) any obligation, contingent or otherwise,
of such Person guaranteeing or having the economic effect of guaranteeing any Indebtedness of
another Person (the “primary obligor”) in any manner, whether directly or indirectly, and
including any obligation of such Person, direct or indirect, (i) to purchase or pay (or advance or
supply funds for the purchase or payment of) such Indebtedness, (ii) to purchase or lease property,
securities or services for the purpose of assuring the obligee in respect of such Indebtedness the
payment thereof, (iii) to maintain working capital, equity capital or any other financial statement
condition or liquidity or level of income or cash flow of the primary obligor so as to enable the
primary obligor to pay such Indebtedness, or (iv) entered into for the purpose of assuring in any
other manner the obligee in respect of such Indebtedness of the payment thereof (including, without
limitation, joining as an account party in respect of any letter of credit or letter of guaranty
issued to support such Indebtedness), provided that the term Guarantee shall not include
endorsements for collection or deposit in the ordinary course of business, or (b) any Lien on any
assets of such Person securing any Indebtedness of any other Person, whether or not such
Indebtedness is assumed by such Person. The amount of any Guarantee shall be deemed to be an
amount equal to the stated or determinable amount of the related primary obligation, or portion
thereof, in respect of which such Guarantee is made or, if not stated or determinable, the maximum
reasonably anticipated liability in respect thereof as determined by the guaranteeing Person in
good faith. The term “Guarantee” as a verb has a corresponding meaning.

     “Guaranteed Designated Borrower Obligations” has the meaning specified in Section
10.01(a).

     “Guaranties” means, collectively, the Company Guaranty and the Subsidiary Guaranty.

     “Hazardous Materials” means all explosive or radioactive substances or wastes and all
hazardous or toxic substances, wastes or other pollutants, including petroleum or petroleum
distillates, asbestos or asbestos containing materials, polychlorinated biphenyls, radon gas,
infectious or medical wastes and all other substances or wastes of any nature regulated pursuant to
any Environmental Law.

     “Increasing Revolving Credit Lender” has the meaning specified in Section
2.17(c).

     “Increasing Term Lender” has the meaning specified in Section 2.18(c).

     “Incremental Term Commitment” shall mean any Increasing Term Lender’s commitment to
make any Incremental Term Loans pursuant to Section 2.18.

     “Incremental Term Loan” shall mean, with respect to each Increasing Term Lender, any
incremental term loan made by such Increasing Term Lender pursuant to Section 2.18 in
accordance with its Incremental Term Commitment.

     “Indebtedness” of any Person means, without duplication, (a) all obligations of such
Person for borrowed money, (b) all obligations of such Person evidenced by bonds, debentures,

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notes or similar instruments, (c) all obligations of such Person upon which interest charges
are customarily paid, (d) all obligations of such Person under conditional sale or other title
retention agreements relating to property acquired by such Person, (e) all obligations of such
Person in respect of the deferred purchase price of property or services (excluding current
accounts payable incurred in the ordinary course of business and payment obligations incurred in
the ordinary course of business under Specified Licensing Arrangements), (f) all Indebtedness of
others secured by (or for which the holder of such Indebtedness has an existing right, contingent
or otherwise, to be secured by) any Lien on property owned or acquired by such Person, whether or
not the Indebtedness secured thereby has been assumed, (g) all Guarantees by such Person of
Indebtedness of others, (h) all Capital Lease Obligations of such Person, (i) all obligations,
contingent or otherwise, of such Person as an account party in respect of letters of credit and
letters of guaranty and (j) all obligations, contingent or otherwise, of such Person in respect of
bankers’ acceptances. The Indebtedness of any Person shall include the Indebtedness of any other
entity (including any partnership in which such Person is a general partner) to the extent such
Person is liable therefor as a result of such Person’s ownership interest in or other relationship
with such entity, except to the extent the terms of such Indebtedness provide that such Person is
not liable therefor.

     “Indemnified Taxes” means Taxes other than Excluded Taxes.

     “Indemnitees” has the meaning specified in Section 11.04(b).

     “Information” has the meaning specified in Section 11.07.

     “Interest Payment Date” means, (a) as to any Loan other than a Base Rate Loan and any
AC Swing Line Loan, the last day of each Interest Period applicable to such Loan and the Maturity
Date; provided, however, that if any Interest Period for a Eurocurrency Rate Loan
exceeds three months, the respective dates that fall every three months after the beginning of such
Interest Period shall also be Interest Payment Dates; (b) as to any Base Rate Loan (including a
Swing Line Loan bearing interest at the Base Rate), the last Business Day of each March, June,
September and December and the Maturity Date; and (c) as to any AC Swing Line Loan, the date such
AC Swing Line Loan shall be prepaid pursuant to Section 2.05(b) or repaid pursuant to
Section 2.07(c) and the Maturity Date.

     “Interest Period” means, as to each Eurocurrency Rate Loan, the period commencing on
the date such Eurocurrency Rate Loan is disbursed or converted to or continued as a Eurocurrency
Rate Loan and ending on the date one, two, three or six months thereafter, as selected by the
Company in its Committed Loan Notice or such other period that is twelve months or less requested
by the Company and consented to by all the Lenders; provided that:

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

     (b) any Interest Period that begins on the last Business Day of a calendar month (or on a day
for which there is no numerically corresponding day in the calendar month at the end of

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such Interest Period) shall end on the last Business Day of the calendar month at the end of
such Interest Period; and

     (c) no Interest Period shall extend beyond the Maturity Date.

     “Investment” means, as to any Person, any direct or indirect acquisition or investment
by such Person, whether by means of (a) the purchase or other acquisition of Equity Interests of
another Person, (b) a loan, advance or capital contribution to, or the Guarantee or assumption of
Indebtedness of, or purchase or other acquisition of any other Indebtedness of, another Person, or
(c) any Acquisition. For purposes of covenant compliance, at any time of determination, the amount
of any Investment shall be the excess, if any, of (x) the amount actually invested by a Person
(without adjustment for subsequent increases or decreases in the value of such Investment)
over (y) all returns of principal or capital thereof received in cash on or prior to such
time of determination by such Person in respect of such Investment (including all cash dividends,
cash distributions and cash repayments of Indebtedness received by such Person).

     “IRS” means the United States Internal Revenue Service.

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

     “Issuer Documents” means with respect to any Letter of Credit, the Letter of Credit
Application, and any other document, agreement and instrument entered into by the L/C Issuer and
the Company (or any Subsidiary) or in favor of the L/C Issuer and relating to such Letter of
Credit.

     “Judgment Currency” has the meaning specified in Section 11.19.

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

     “L/C Advance” means, with respect to each Revolving Credit Lender, such Lender’s
funding of its participation in any L/C Borrowing in accordance with its Applicable Revolving
Credit Percentage. All L/C Advances shall be denominated in Dollars.

     “L/C Borrowing” means an extension of credit resulting from a drawing under any Letter
of Credit which has not been reimbursed on the date when made or refinanced as a Revolving Credit
Borrowing. All L/C Borrowings shall be denominated in Dollars.

     “L/C Credit Extension” means, with respect to any Letter of Credit, the issuance
thereof or extension of the expiry date thereof, or the increase of the amount thereof.

-17-

 

     “L/C Issuer” means Bank of America in its capacity as issuer of Letters of Credit
hereunder, or any successor issuer of Letters of Credit hereunder.

     “L/C Obligations” means, as at any date of determination, the aggregate amount
available to be drawn under all outstanding Letters of Credit plus the aggregate of all
Unreimbursed Amounts, including all L/C Borrowings. For purposes of computing the amount available
to be drawn under any Letter of Credit, the amount of such Letter of Credit shall be determined in
accordance with Section 1.09. For all purposes of this Agreement, if on any date of
determination a Letter of Credit has expired by its terms but any amount may still be drawn
thereunder by reason of the operation of Rule 3.14 of the ISP, such Letter of Credit shall be
deemed to be “outstanding” in the amount so remaining available to be drawn.

     “Lender” has the meaning specified in the introductory paragraph hereto and, as the
context requires, includes the Swing Line Lender.

     “Lender Parties” means, collectively, the Administrative Agent, the Lenders (including
the Swing line Lender), the L/C Issuer and each co-agent or sub-agent appointed by the
Administrative Agent from time to time pursuant to Section 9.05.

     “Lending Office” means, as to any Lender, the office or offices of such Lender
described as such in such Lender’s Administrative Questionnaire, or such other office or offices as
a Lender may from time to time notify the Company and the Administrative Agent.

     “Letter of Credit” means any standby letter of credit issued hereunder. Letters of
Credit may be issued in Dollars or in an Alternative Currency.

     “Letter of Credit Application” means an application and agreement for the issuance or
amendment of a Letter of Credit in the form from time to time in use by the L/C Issuer.

     “Letter of Credit Expiration Date” means the day that is seven days prior to the
Maturity Date then in effect (or, if such day is not a Business Day, the next preceding Business
Day).

     “Letter of Credit Fee” has the meaning specified in Section 2.03(i).

     “Letter of Credit Sublimit” means an amount equal to $10,000,000. The Letter of
Credit Sublimit is part of, and not in addition to, the Revolving Credit Facility.

     “Lien” means any mortgage, pledge, hypothecation, assignment, deposit arrangement,
encumbrance, lien (statutory or other), charge or other security interest or preferential
arrangement in the nature of a security interest of any kind or nature whatsoever (including any
conditional sale or other title retention agreement, any easement, right of way or other
encumbrance on title to real property, and any financing lease having substantially the same
economic effect as any of the foregoing), but not including the retained interest of a lessor under
an operating lease in the property that is the subject of such lease.

     “Loan” means an extension of credit by a Lender to a Borrower under Article II
in the form of a Term Loan, a Revolving Credit Loan or a Swing Line Loan (including an AC Swing
Line Loan).

-18-

 

     “Loan Documents” means, collectively, this Agreement, each Designated Borrower Request
and Assumption Agreement, each Note, each Issuer Document, the Fee Letter, the Guaranties and any
agreement creating or perfecting rights in Cash Collateral pursuant to the provisions of
Section 2.14 of this Agreement, and any other agreement now or hereafter executed and
delivered in connection herewith and designated as a “Loan Document”.

     “Loan Parties” means, collectively, the Borrowers and the Subsidiary Guarantors.

     “London Banking Day” means any day on which dealings in Dollar deposits are conducted
by and between banks in the London interbank eurodollar market.

     “Mandatory Cost” means, with respect to any period, the percentage rate per annum
determined in accordance with Schedule 1.01(b) hereto.

     “Material Adverse Effect” means a material adverse effect on (a) the business, assets,
operations or financial condition, of the Company and its Subsidiaries taken as a whole, or (b) the
validity, legality, binding effect or enforceability of this Agreement or any of the other Loan
Documents or the rights or remedies of the Administrative Agent and the Lenders hereunder or
thereunder.

     “Material CF Subsidiaries” means PAREXEL International GmbH, PAREXEL International
Holding B.V., Perceptive Informatics Inc, Parexel International Inc., a Japanese company, PAREXEL
International Limited, Clinphone Limited, Perceptive eClinical Ltd., PAREXEL International (India)
Private Limited, PAREXEL International Co., Ltd., Parexel International LLC, Clinphone California
Inc., Clinphone Inc., and Datalabs Inc.

     “Material Foreign Subsidiary” means any Foreign Subsidiary which, (a) is a Borrower,
(b) has been designated by the Company as a Material Foreign Subsidiary in a written notice to the
Administrative Agent or (c) by itself or together with its Subsidiaries, accounts (excluding
intercompany receivables and goodwill) for 5% or more of the Company’s consolidated total assets or
Consolidated EBITDA for the most recently ended period of four fiscal quarters for which financial
statements have been furnished to the Administrative Agent under Section 6.01(a) or
Section 6.01(b) (or, prior to the delivery of any such statements, for the period of four
fiscal quarters ended on March 31, 2011); provided that if for any period of four fiscal
quarters the combined consolidated total assets or combined Consolidated EBITDA of all Foreign
Subsidiaries that neither (x) have been designated under clause (b) above nor (y) would constitute
“Material Foreign Subsidiaries” under clause (c) above, shall have exceeded 10% of the consolidated
total assets of the Company or 10% of the Consolidated EBITDA of the Company, then one or more of
such excluded Foreign Subsidiaries shall for all purposes of this Agreement be deemed to be
Material Foreign Subsidiaries in descending order based on the amounts of their consolidated total
assets until such excess shall have been eliminated. As of the Closing Date, the Material Foreign
Subsidiaries are PAREXEL International GmbH, PAREXEL International Holding B.V., Parexel
International Inc., a Japanese company, PAREXEL International Limited, Clinphone Limited,
Perceptive eClinical Ltd., PAREXEL International (India) Private Limited, and PAREXEL International
Co., Ltd.

-19-

 

     “Material Subsidiaries” means, collectively, the Material Foreign Subsidiaries and the
Material US Subsidiaries.

     “Material US Subsidiary” means a Domestic Subsidiary (other than Parexel International
Dutch Holding LLC and Parexel International Holding Corporation) which (a) has been designated by
the Company as a Material US Subsidiary in a written notice to the Administrative Agent or (b) by
itself or together with its subsidiaries, accounts for 5% or more of the Company’s Consolidated
EBITDA or consolidated total assets for the most recently ended period of four fiscal quarters for
which financial statements have been furnished to the Administrative Agent under Section
6.01(a) or Section 6.01(b) (or, prior to the delivery of any such statements, for the
period of four fiscal quarters ended on March 31, 2011); provided that if for any period of
four fiscal quarters the combined consolidated total assets or combined Consolidated EBITDA of all
Domestic Subsidiaries that neither (x) have been designated under clause (a) above nor (y) would
constitute “Material US Subsidiaries” under clause (b) above, shall have exceeded 10% of the
consolidated total assets of the Company or 10% of the Consolidated EBITDA of the Company, then one
or more of such excluded Domestic Subsidiaries shall for all purposes of this Agreement be deemed
to be Material US Subsidiaries in descending order based on the amounts of their consolidated total
assets until such excess shall have been eliminated. As of the Closing Date, the Material US
Subsidiaries are Parexel International LLC, Perceptive Informatics Inc, DataLabs, Inc., Clinphone
California, Inc. and Perceptive Services, Inc.

     “Maturity Date” means June 30, 2016; provided, however, that if such
date is not a Business Day, the Maturity Date shall be the next preceding Business Day.

     “Medicaid” means that government-sponsored entitlement program under Title XIX, P.L.
89-97 of the Social Security Act, which provides federal grants to states for medical assistance
based on specific eligibility criteria, as set forth on Section 1396, et seq. of Title 42 of the
United States Code.

     “Medicare” means that government-sponsored insurance program under Title XVIII, P.L.
89-97, of the Social Security Act, which provides for a health insurance system for eligible
elderly and disabled individuals, as set forth at Section 1395, et seq. of Title 42 of the United
States Code.

     “MLPFS” means Merrill Lynch, Pierce, Fenner & Smith Incorporated.

     “Moody’s” means Moody’s Investors Service, Inc. and any successor thereto.

     “Multiemployer Plan” means any employee benefit plan of the type described in Section
4001(a)(3) of ERISA, to which the Company or any ERISA Affiliate makes or is obligated to make
contributions, or during the preceding five plan years, has made or been obligated to make
contributions.

     “Multiple Employer Plan” means a Plan which has two or more contributing sponsors
(including the Company or any ERISA Affiliate) at least two of whom are not under common control,
as such a plan is described in Section 4064 of ERISA.

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     “Non-Credit Party” means any Subsidiary of the Company that is not a Credit Party.

     “Non-U.S. Plan” shall mean any plan, fund (including, without limitation, any
superannuation fund) or other similar program established, contributed to (regardless of whether
through direct contributions or through employee withholding) or maintained outside the United
States by any Loan Party or Subsidiary of any Loan Party primarily for the benefit of employees of
the Loan Party or any such Subsidiary residing outside the United States, which plan, fund or other
similar program provides, or results in, retirement income, a deferral of income in contemplation
of retirement or payments to be made upon termination of employment, and which plan is not subject
to ERISA or the Code.

     “Note” means a Term Note or a Revolving Credit Note, as the context may require.

     “NPL” means the National Priorities List under CERCLA.

     “Obligations” means all advances to, and debts, liabilities, obligations, covenants
and duties of, any Loan Party arising under any Loan Document or otherwise with respect to any Loan
or Letter of Credit, whether direct or indirect (including those acquired by assumption), absolute
or contingent, due or to become due, now existing or hereafter arising and including interest and
fees that accrue after the commencement by or against any Loan Party of any proceeding under any
Debtor Relief Laws naming such Person as the debtor in such proceeding, regardless of whether such
interest and fees are allowed claims in such proceeding.

     “OFAC” means the United States Department of Treasury Office of Foreign Assets
Control.

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

     “Other Taxes” means all present or future stamp or documentary taxes or any other
excise or property taxes, charges or similar levies arising from any payment made hereunder or
under any other Loan Document or from the execution, delivery or enforcement of, or otherwise with
respect to, this Agreement or any other Loan Document (but, for the avoidance of doubt, excluding
any Excluded Taxes).

     “Outstanding Amount” means (a) with respect to Term Loans and Revolving Credit Loans
on any date, the Dollar Equivalent amount of the aggregate outstanding principal amount thereof
after giving effect to any borrowings and prepayments or repayments of Term Loans and Revolving
Credit Loans, as the case may be, occurring on such date; (b) with respect to Swing Line Loans on
any date, the Dollar Equivalent amount of the aggregate outstanding principal amount thereof after
giving effect to any borrowings and prepayments or repayments of such

-21-

 

Swing Line Loans occurring on such date; and (c) with respect to any L/C Obligations on any
date, the Dollar Equivalent amount of the aggregate outstanding amount of such L/C Obligations on
such date after giving effect to any L/C Credit Extension occurring on such date and any other
changes in the aggregate amount of the L/C Obligations as of such date, including as a result of
any reimbursements by the Borrower of Unreimbursed Amounts.

     “Overnight Rate” means, for any day, (a) with respect to any amount denominated in
Dollars, the greater of (i) the Federal Funds Rate and (ii) an overnight rate determined by the
Administrative Agent, the L/C Issuer, or the Swing Line Lender, as the case may be, in accordance
with banking industry rules on interbank compensation, and (b) with respect to any amount
denominated in an Alternative Currency (including any AC Swing Line Loan), the rate of interest per
annum at which overnight deposits in the applicable Alternative Currency, in an amount
approximately equal to the amount with respect to which such rate is being determined, would be
offered for such day by a branch or Affiliate of Bank of America in the applicable offshore
interbank market for such currency to major banks in such interbank market.

     “Participant” has the meaning specified in Section 11.06(d).

     “Participating Member State” means each state so described in any EMU Legislation.

     “PBGC” means the Pension Benefit Guaranty Corporation.

     “Pension Act” means the Pension Protection Act of 2006, as amended.

     “Pension Funding Rules” means the rules of the Code and ERISA regarding minimum
required contributions (including any installment payment thereof) to Pension Plans and set forth
in, with respect to plan years ending prior to the effective date of the Pension Act, Section 412
of the Code and Section 302 of ERISA, each as in effect prior to the Pension Act and, thereafter,
Section 412, 430, 431, 432 and 436 of the Code and Sections 302, 303, 304 and 305 of ERISA.

     “Pension Plan” means any employee pension benefit plan (including a Multiple Employer
Plan or a Multiemployer Plan) that is maintained or is contributed to (or required to be
contributed to) by the Company or any ERISA Affiliate and is either covered by Title IV of ERISA or
is subject to the minimum funding standards under Section 412 of the Code.

     “Permitted Acquisition” means an Acquisition where (a) the Company has notified the
Administrative Agent of such proposed Acquisition; (b) the business to be acquired would not
subject the Administrative Agent or the Lenders to any additional regulatory or third party
approvals in connection with the exercise of its rights and remedies under this Agreement or any
other Loan Document; (c) no contingent liabilities will be incurred or assumed in connection with
such Acquisition which could reasonably be expected to have a Material Adverse Effect; (d) the
board of directors and the shareholders (if required by applicable law), or the equivalent, of the
applicable Loan Party or other Subsidiary and the Person to be acquired has approved such merger,
consolidation or Acquisition); (e) the Company individually, and the Company and its Subsidiaries
on a consolidated basis, will be Solvent upon the consummation of the Permitted Acquisition; (f)
the Company and its Subsidiaries shall be in compliance with Section 7.11(a) and
(b) on a pro forma basis as at the end of and for the most recently ended period of four
fiscal quarters for which financial statements have been furnished to the Administrative Agent
under

-22-

 

Section 6.01(a) or Section 6.01(b) (or, prior to the delivery of any such
statements, for the period of four fiscal quarters ended on March 31, 2011); (g) after giving
effect to the Acquisition, Consolidated EBITDA (determined on a pro-forma basis for the period of
four fiscal quarters most recently ended for which financial statements have been furnished to the
Administrative Agent under Section 6.01(a) or Section 6.01(b) (or, prior to the
delivery of any such statements, for the period of four fiscal quarters ended on March 31, 2011)),
is not more than 10% lower than Consolidated EBITDA for the period of four fiscal quarters most
recently ended for which financial statements have been furnished to the Administrative Agent under
Section 6.01(a) or Section 6.01(b) (or, prior to the delivery of any such
statements, for the period of four fiscal quarters ended on March 31, 2011) without giving effect
to such Acquisition; (h) no Default or Event of Default then exists or would result after giving
effect to such Acquisition; and (i) in the case of a Permitted Material Acquisition, the Company
shall have delivered a certificate of a Financial Officer to the Administrative Agent (and
attaching calculations reasonably satisfactory to the Administrative Agent, as appropriate) (i)
certifying as to clauses (e) through (h) above, and (ii) demonstrating that after giving effect to
the Acquisition, the Consolidated Leverage Ratio (determined on a pro-forma basis for the period of
four fiscal quarters most recently ended for which financial statements have been furnished to the
Administrative Agent under Section 6.01(a) or Section 6.01(b) (or, prior to the
delivery of any such statements, for the period of four fiscal quarters ended on March 31, 2011),
shall not be greater than 2.75 to 1.00.

     “Permitted Encumbrances” means:

     (a) Liens imposed by law for taxes that are not yet due or are being contested in
compliance with Section 6.05;

     (b) carriers’, warehousemen’s, mechanics’, materialmen’s, repairmen’s and other like
Liens imposed by law, arising in the ordinary course of business and securing obligations
that are not overdue by more than 60 days or are being contested in compliance with
Section 6.05;

     (c) pledges and deposits made in the ordinary course of business in compliance with
workers’ compensation, unemployment insurance and other social security laws or regulations;

     (d) deposits or pledges to secure the performance of bids, trade contracts, leases,
statutory obligations, surety and appeal bonds, performance bonds and other obligations of a
like nature, in each case in the ordinary course of business;

     (e) judgment liens in respect of judgments that do not constitute an Event of Default
under Section 8.01(h);

     (f) easements, zoning restrictions, rights-of-way and similar encumbrances on real
property imposed by law or arising in the ordinary course of business that do not secure any
monetary obligations and do not materially detract from the value of the affected property
or interfere with the ordinary conduct of business of the Company or any Subsidiary; and

-23-

 

     (g) the filing of Uniform Commercial Code financing statements and similar filings made
solely as a precautionary measure in connection with an operating lease, provided
that such filings shall relate solely to the assets which are the subject of such lease.

provided that the term “Permitted Encumbrances” shall not include any Lien securing
Indebtedness.

          “Permitted Investments” means:

     (a) direct obligations of, or obligations the principal of and interest on which are
unconditionally guaranteed by, the United States of America (or by any agency thereof to the
extent such obligations are backed by the full faith and credit of the United States of
America), in each case maturing within one year from the date of acquisition thereof;

     (b) investments in commercial paper maturing within 270 days from the date of
acquisition thereof and having, at such date of acquisition, the highest credit rating
obtainable from S&P or from Moody’s;

     (c) investments in certificates of deposit, banker’s acceptances and time deposits
maturing within 180 days from the date of acquisition thereof issued or guaranteed by or
placed with, and money market deposit accounts issued or offered by, any domestic office of
any commercial bank organized under the laws of the United States or any state thereof which
has a combined capital and surplus and undivided profits of not less than $500,000,000;

     (d) fully collateralized repurchase agreements with a term of not more than 30 days for
securities described in clause (a) above and entered into with a financial institution
satisfying the criteria described in clause (c) above;

     (e) money market funds that (i) comply with the criteria set forth in Securities and
Exchange Commission Rule 2a-7 under the Investment Company Act of 1940, and (ii) are rated
AAA by S&P and Aaa by Moody’s; and

     (f) investments described on Schedule 1.01(p).

     “Permitted Material Acquisition” means any individual Acquisitions which would
otherwise be a Permitted Acquisition that exceeds an aggregate purchase price of $75,000,000.

     “Permitted Stock Repurchases” means any buybacks or repurchases of Equity Interests
issued by the Company or any other Loan Party during any fiscal year in an aggregate amount not to
exceed 30% of Consolidated Net Income for the preceding fiscal year.

     “Person” means any natural person, corporation, limited liability company, trust,
joint venture, association, company, partnership, Governmental Authority or other entity.

-24-

 

     “Plan” means any employee benefit plan within the meaning of Section 3(3) of ERISA
(including a Pension Plan), maintained for employees of the Borrower or any Loan Party or any such
Plan to which the Borrower or any Loan Party is required to contribute on behalf of any of its
employees.

     “Platform” has the meaning specified in Section 6.02.

     “Public Lender” has the meaning specified in Section 6.02.

     “Register” has the meaning specified in Section 11.06(c).

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

     “Removal Effective Date” has the meaning specified in Section 9.06.

     “Reportable Event” means any of the events set forth in Section 4043(c) of ERISA,
other than events for which the 30 day notice period has been waived.

     “Request for Credit Extension” means (a) with respect to a Borrowing, conversion or
continuation of Term Loans or Revolving Credit Loans, a Committed Loan Notice, (b) with respect to
an L/C Credit Extension, a Letter of Credit Application, and (c) with respect to a Swing Line Loan,
a Swing Line Loan Notice..

     “Required Lenders” means, as of any date of determination, Lenders holding more than
50% of the sum of the (a) Total Outstandings (with the aggregate amount of each Revolving Credit
Lender’s risk participation and funded participation in L/C Obligations being deemed “held” by such
Revolving Credit Lender for purposes of this definition) and (b) aggregate unused Revolving Credit
Commitments; provided that the unused Revolving Credit Commitment of, and the portion of
the Total Outstandings held or deemed held by, any Defaulting Lender shall be excluded for purposes
of making a determination of Required Lenders.

     “Required Revolving Lenders” means, as of any date of determination, Revolving Credit
Lenders holding more than 50% of the sum of the (a) Total Revolving Credit Outstandings (with the
aggregate amount of each Revolving Credit Lender’s risk participation and funded participation in
L/C Obligations and Swing Line Loans being deemed “held” by such Revolving Credit Lender for
purposes of this definition) and (b) aggregate unused Revolving Credit Commitments;
provided that the unused Revolving Credit Commitment of, and the portion of the Total
Revolving Credit Outstandings held or deemed held by, any Defaulting Lender shall be excluded for
purposes of making a determination of Required Revolving Lenders.

     “Required Term Lenders” means, as of any date of determination, Term Lenders holding
more than 50% of the Term Facility on such date; provided that the portion of the Term
Facility held by any Defaulting Lender shall be excluded for purposes of making a determination of
Required Term Lenders.

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     “Responsible Officer” means (a) the chief executive officer, president, chief
financial officer, treasurer, managing director, assistant treasurer or controller of a Loan Party,
and (b)(i) solely for purposes of the delivery of incumbency certificates pursuant to Section
4.01, the secretary or any assistant secretary of a Loan Party, (ii) solely for purposes of
notices given pursuant to Article II, any other officer or employee of the applicable Loan Party so
designated by any of the foregoing officers described in clause (a) in a notice to the
Administrative Agent, and, (iii) solely with respect to the Company, the Vice President of
Corporate Finance or its general counsel. Any document delivered hereunder that is signed by a
Responsible Officer of a Loan Party shall be conclusively presumed to have been authorized by all
necessary corporate, partnership and/or other action on the part of such Loan Party and such
Responsible Officer shall be conclusively presumed to have acted on behalf of such Loan Party.

     “Restricted Payment” means any dividend or other distribution (whether in cash,
securities or other property) on any Equity Interest of the Company or any Subsidiary, or any
payment (whether in cash, securities or other property), including any sinking fund or similar
deposit, on account of the purchase, redemption, retirement, defeasance, acquisition, cancellation
or termination of any such Equity Interest, or on account of any return of capital to the Company’s
stockholders in their capacity as such.

     “Revaluation Date” means (a) with respect to any Loan, each of the following: (i)
each date of a Borrowing of a Eurocurrency Rate Loan denominated in an Alternative Currency, (ii)
each date of a Borrowing of an AC Swing Line Loan, (iii) each date of a continuation of a
Eurocurrency Rate Loan denominated in an Alternative Currency pursuant to Section 2.02, and
(iii) such additional dates as the Administrative Agent shall determine or the Required Lenders
shall require; and (b) with respect to any Letter of Credit, each of the following: (i) each date
of issuance of a Letter of Credit denominated in an Alternative Currency, (ii) each date of an
amendment of any such Letter of Credit having the effect of increasing the amount thereof (solely
with respect to the increased amount), (iii) each date of any payment by the L/C Issuer under any
Letter of Credit denominated in an Alternative Currency, and (iv) such additional dates as the
Administrative Agent or the L/C Issuer shall determine or the Required Lenders shall require.

     “Revolving Credit Borrowing” means a borrowing consisting of simultaneous Revolving
Credit Loans of the same Type, in the same currency and, in the case of Eurocurrency Rate Loans,
having the same Interest Period made by each of the Revolving Credit Lenders pursuant to
Section 2.01(b).

     “Revolving Credit Commitment” means, as to each Revolving Credit Lender, its
obligation to (a) make Revolving Credit Loans to the Borrower pursuant to Section 2.01(b),
(b) purchase participations in L/C Obligations, and (c) purchase participations in Swing Line
Loans, in an aggregate principal amount at any one time outstanding not to exceed the Dollar amount
set forth opposite such Lender’s name on Schedule 2.01 under the caption “Revolving Credit
Commitment” or opposite such caption in the Assignment and Assumption pursuant to which such Lender
becomes a party hereto, as applicable, as such amount may be adjusted from time to time in
accordance with this Agreement.

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     “Revolving Credit Facility” means, at any time, the aggregate amount of the Revolving
Credit Lenders’ Revolving Credit Commitments at such time. The amount of the Revolving Credit
Facility on the Closing Date is $300,000,000.

     “Revolving Credit Increase Effective Date” has the meaning specified in Section
2.17(d).

     “Revolving Credit Lender” means, at any time, any Lender that has a Revolving Credit
Commitment at such time.

     “Revolving Credit Loan” has the meaning specified in Section 2.01(b).

     “Revolving Credit Note” means a promissory note made by the Borrower in favor of a
Revolving Credit Lender evidencing Revolving Credit Loans made by such Revolving Credit Lender,
substantially in the form of Exhibit C.

     “Same Day Funds” means (a) with respect to disbursements and payments in Dollars,
immediately available funds, and (b) with respect to disbursements and payments in an Alternative
Currency, same day or other funds as may be determined by the Administrative Agent, the Swing Line
Loan or the L/C Issuer, as the case may be, to be customary in the place of disbursement or payment
for the settlement of international banking transactions in the relevant Alternative Currency.

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

     “Social Security Act” means the Social Security Act of 1965.

     “Solvent” and “Solvency” mean, with respect to any Person on any date of
determination, that on such date (a) the fair value of the property of such Person is greater than
the total amount of liabilities, including contingent liabilities, of such Person, (b) the present
fair salable value of the assets of such Person is not less than the amount that will be required
to pay the probable liability of such Person on its debts as they become absolute and matured, (c)
such Person does not intend to incur debts or liabilities beyond such Person’s ability to pay such
debts and liabilities as they mature, (d) such Person is not engaged in business or a transaction
for which such Person’s property would constitute an unreasonably small capital, and (e) such
Person is able to pay its debts and liabilities and contingent obligations as they mature in the
ordinary course of business. The amount of contingent liabilities at any time shall be computed as
the amount that, in the light of all the facts and circumstances existing at such time, represents
the amount that can reasonably be expected to become an actual or matured liability.

     “S&P” means Standard & Poor’s Ratings Services, a division of The McGraw-Hill
Companies, Inc. and any successor thereto.

     “Special Interest Period” has the meaning specified in Section 2.02(a).

     “Special Notice Currency” means at any time an Alternative Currency, other than the
currency of a country that is a member of the Organization for Economic Cooperation and Development
at such time located in North America or Europe.

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     “Specified Licensing Arrangement” means each nonexclusive commercial third party
software licensing arrangement entered into by the Company or any other Subsidiary of the Company,
as a licensee, in the ordinary course of business, consistent with past practice; provided
that (x) such licensing arrangement is terminable upon the giving of required notice, without
penalty or acceleration any other payments otherwise due in any future period and (y) there are no
earned amounts that are unpaid thereunder (other than earned amounts in the ordinary course that
would be classified as current accounts payable).

     “Spot Rate” for a currency means the rate determined by the Administrative Agent, the
Swing Line Lender or the L/C Issuer, as applicable, to be the rate quoted by the Person acting in
such capacity as the spot rate for the purchase by such Person of such currency with another
currency through its principal foreign exchange trading office at approximately 11:00 a.m. on the
date two Business Days prior to the date as of which the foreign exchange computation is made;
provided that the Administrative Agent, the Swing Line Lender or the L/C Issuer may obtain
such spot rate from another financial institution designated by the Administrative Agent, the Swing
Line Lender or the L/C Issuer if the Person acting in such capacity does not have as of the date of
determination a spot buying rate for any such currency; and provided further that
the (x) L/C Issuer may use such spot rate quoted on the date as of which the foreign exchange
computation is made in the case of any Letter of Credit denominated in an Alternative Currency and
(y) Swing Line Lender may use such spot rate quoted on the date as of which the foreign exchange
computation is made in the case of any AC Swing Line Loan.

     “Sterling” and “£” mean the lawful currency of the United Kingdom.

     “Subsidiary” of a Person means a corporation, partnership, joint venture, limited
liability company or other business entity of which a majority of the shares of Equity Securities
having ordinary voting power for the election of directors or other governing body (other than
Equity Securities having such power only by reason of the happening of a contingency) are at the
time beneficially owned, or the management of which is otherwise controlled, directly, or
indirectly through one or more intermediaries, or both, by such Person. Unless otherwise
specified, all references herein to a “Subsidiary” or to “Subsidiaries” shall refer
to a Subsidiary or Subsidiaries of the Company.

     “Subsidiary Guarantors” means, collectively, each Material US Subsidiary as of the
Closing Date, and each other Subsidiary of the Company that shall be required to execute and
deliver a guaranty or guaranty supplement pursuant to Section 6.10. As of the Closing
Date, the Subsidiary Guarantors are Parexel International, LLC, Perceptive Informatics, Inc,
DataLabs Inc., Clinphone California Inc. and Perceptive Services, Inc.

     “Subsidiary Guaranty” means, collectively, the Guarantee of the Guaranteed Borrower
Obligations made by the Subsidiary Guarantors under Section 10.02 in favor of the Lender
Parties, together with each other guaranty and guaranty supplement, in form and substance
reasonably satisfactory to the Administrative Agent, delivered pursuant to Section 6.10 for
the benefit of the Lender Parties.

     “Swap Contract” means (a) any and all rate swap transactions, basis swaps, credit
derivative transactions, forward rate transactions, commodity swaps, commodity options,

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forward commodity contracts, equity or equity index swaps or options, bond or bond price or
bond index swaps or options or forward bond or forward bond price or forward bond index
transactions, interest rate options, forward foreign exchange transactions, cap transactions, floor
transactions, collar transactions, currency swap transactions, cross-currency rate swap
transactions, currency options, spot contracts, or any other similar transactions or any
combination of any of the foregoing (including any options to enter into any of the foregoing),
whether or not any such transaction is governed by or subject to any master agreement, and (b) any
and all transactions of any kind, and the related confirmations, which are subject to the terms and
conditions of, or governed by, any form of master agreement published by the International Swaps
and Derivatives Association, Inc., any International Foreign Exchange Master Agreement, or any
other similar master agreement used to document transactions of the type specified in clause (a)
(any such master agreement, together with any related schedules, a “Master Agreement”),
including any such obligations or liabilities under any Master Agreement; provided,
however, that no phantom stock or similar plan providing for payments only on account of
services provided by current or former directors, officers, employees or consultants of the
Administrative Borrower or the Subsidiaries shall be a Swap Agreement.

     “Swap Termination Value” means, in respect of any one or more Swap Contracts, after
taking into account the effect of any legally enforceable netting agreement relating to such Swap
Contracts, (a) for any date on or after the date such Swap Contracts have been closed out and
termination value(s) determined in accordance therewith, such termination value(s), and (b) for any
date prior to the date referenced in clause (a), the amount(s) determined as the mark-to-market
value(s) for such Swap Contracts, as determined based upon one or more mid-market or other readily
available quotations provided by any recognized dealer in such Swap Contracts (which may include a
Lender or any Affiliate of a Lender).

     “Swing Line Borrowing” means a borrowing of a Swing Line Loan pursuant to Section
2.04.

     “Swing Line Lender” means Bank of America in its capacity as provider of Swing Line
Loans, or any successor swing line lender hereunder.

     “Swing Line Loan” has the meaning specified in Section 2.04(a), and shall
include each AC Swing Line Loan.

     “Swing Line Loan Notice” means a notice of a Swing Line Borrowing pursuant to
Section 2.04(b), which, if in writing, shall be substantially in the form of Exhibit
F.

     “Swing Line Sublimit” means an amount equal to the lesser of (a) $50,000,000 and (b)
the aggregate amount of the Revolving Credit Facility. The Swing Line Sublimit is part of, and not
in addition to, the Revolving Credit Facility.

     “TARGET Day” means any day on which the Trans-European Automated Real-time Gross
Settlement Express Transfer (TARGET) payment system (or, if such payment system ceases to be
operative, such other payment system (if any) determined by the Administrative Agent to be a
suitable replacement) is open for the settlement of payments in Euro.

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     “Taxes” means all present or future taxes, levies, imposts, duties, deductions,
withholdings (including backup withholding), assessments, fees or other charges imposed by any
Governmental Authority, including any interest, additions to tax or penalties applicable thereto.

     “Term Borrowing” means a borrowing consisting of simultaneous Term Loans of the same
Type and, in the case of Eurocurrency Rate Loans, having the same Interest Period made by each of
the Term Lenders pursuant to Section 2.01(a). All Term Borrowings shall be denominated in
Dollars.

     “Term Commitment” shall mean, with respect to each Term Lender, collectively its (a)
Closing Date Term Commitment and (b) Incremental Term Commitment, if any.

     “Term Facility” means, at any time, (a) on the Closing Date, the aggregate amount of
the Closing Date Term Commitments at such time and (b) thereafter, the aggregate principal amount
of the Term Loans of all Term Lenders outstanding at such time (after giving effect to any
Incremental Term Loans made or to be made with respect to any Incremental Term Commitment). As of
the Closing Date, the Term Facility is $100,000,000.

     “Term Lender” means (a) on the Closing Date, any Lender that has a Term Commitment at
such time and (b) at any time after the Closing Date, any Lender that holds Term Loans or
Incremental Term Loan Commitment at such time.

     “Term Loan” means an advance made by any Term Lender under the Term Facility
(including any Incremental Term Loans made pursuant to Section 2.18).

     “Term Loan Amortization Amount” means an amount equal to the product of (a) the sum of
(x) the Total Loan Facility on the Closing Date plus (y) the aggregate amount of all
Incremental Term Loans made pursuant to Section 2.18 (solely to the extent such Incremental
Term Loans are made on the same terms as the Term Loan Facility as in effect on the Closing Date
(i.e., without utilizing the proviso set forth in Section 2.18(f)) times (b) (i)
1.25%, in the case of any quarterly Term Loan amortization payment made pursuant to Section
2.07(a) on or prior to the second anniversary of the Closing Date, (ii) 2.50%, in the case of
any quarterly Term Loan amortization payment made pursuant to Section 2.07(a) after the
second anniversary of the Closing Date, but on or prior to the third anniversary of the Closing
Date, (iii) 5.00%, in the case of any quarterly Term Loan amortization payment made pursuant to
Section 2.07(a) after the third anniversary of the Closing Date, but on or prior to the
fourth anniversary of the Closing Date and (iv) 15.00%, in the case of any quarterly Term Loan
amortization payment made pursuant to Section 2.07(a) after the fourth anniversary of the
Closing Date.

     “Term Loan Increase Effective Date” has the meaning specified in Section
2.18(d).

     “Term Note” means a promissory note made by the Borrower in favor of a Term Lender
evidencing Term Loans made by such Term Lender, substantially in the form of Exhibit B.

     “Threshold Amount” means $20,000,000.

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     “Total Revolving Credit Outstandings” means the aggregate Outstanding Amount of all
Revolving Credit Loans, Swing Line Loans (including any AC Swing Line Loans) and L/C Obligations.

     “Total Outstandings” means the aggregate Outstanding Amount of all Loans and all L/C
Obligations.

     “Transaction” means, collectively, the execution, delivery and performance by the Loan
Parties and their applicable Subsidiaries of the Loan Documents to which they are a party, the
borrowing of Loans by each Borrower, the use of the proceeds thereof and the incurrence of Letters
of Credit hereunder.

     “Type” means, with respect to a Loan, its character as a Base Rate Loan or a
Eurocurrency Rate Loan.

     “United States” and “U.S.” mean the United States of America.

     “Unreimbursed Amount” has the meaning specified in Section 2.03(c)(i).

     “Yen” and “¥” mean the lawful currency of Japan.

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

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

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

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

     1.03. Accounting Terms. (a) Generally. All accounting terms not specifically or completely
defined herein shall be construed in conformity with, and all financial data (including financial
ratios and other financial calculations) required to be submitted pursuant to this Agreement shall
be prepared in conformity with, GAAP applied on a consistent basis, as in effect from time to time,
applied in a manner consistent with that used in preparing the Audited Financial Statements,
except as otherwise specifically prescribed herein. Notwithstanding the foregoing, for
purposes of determining compliance with any covenant (including the computation of any financial
covenant) contained herein, Indebtedness of the Borrower and its Subsidiaries shall be deemed to be
carried at 100% of the outstanding principal amount thereof, and the effects of FASB ASC 825 on
financial liabilities shall be disregarded.

     (b) Changes in GAAP. If at any time any change in GAAP would affect the computation
of any financial ratio or requirement set forth in any Loan Document, and either the Company or
the Required Lenders shall so request, the Administrative Agent, the Lenders and the Company shall
negotiate in good faith to amend such ratio or requirement to preserve the original intent thereof
in light of such change in GAAP (subject to the approval of the Required Lenders); provided that,
until so amended, (i) such ratio or requirement shall continue to be computed in accordance with
GAAP prior to such change therein and (ii) the Company shall provide to the Administrative Agent
for distribution to the Lenders a written reconciliation between calculations of such ratio or
requirement made before and after giving effect to such change in GAAP. Notwithstanding the
foregoing if at any time any change in GAAP would require operating leases or real estate leases
to be capitalized, the GAAP treatment of operating and real estate leases on the Closing Date
shall continue to apply for purposes of this Agreement and the other Loan Documents, including for
purposes of the definitions of “Consolidated EBITDA”, “Consolidated Interest Charges” and
“Consolidated Funded Indebtedness” and the calculation of the financial covenants under this
Agreement.

     (c) Consolidation of Variable Interest Entities. All references herein to
consolidated financial statements of the Company and its Subsidiaries or to the determination of
any amount for the Company and its Subsidiaries on a consolidated basis or any similar reference
shall, in each case, be deemed to include each variable interest entity that the Company is
required to consolidate pursuant to FASB ASC 810 as if such variable interest entity were a
Subsidiary as defined herein.

     (d) CCT. The Company has advised the Administrative Agent that it does, and is
required to, consolidate CCT in its consolidated financial statements, but that the Company does
not have the power to control CCT. Accordingly, financial position, results of operations and
cash flows of CCT shall be included for the purpose of (a) the definitions of “Consolidated
EBITDA”, “Consolidated Interest Charges” and “Consolidated Funded Indebtedness”, (b) the

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financial statements and reporting requirements in Section 6.01 and (c) determining
compliance with the financial covenants in Section 7.11. CCT shall not be deemed to be a
Subsidiary for the purposes of the closing conditions in Article IV, the representations
and warranties in Article V, the affirmative covenants in Article VI, the negative
covenants in Article VII, and the events of default in Article VIII.

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

     1.05. Exchange Rates; Currency Equivalents.

          (a) The Administrative Agent, the Swing Line Lender or the L/C Issuer, as applicable, shall
determine the Spot Rates as of each Revaluation Date to be used for calculating Dollar Equivalent
amounts of Credit Extensions and Outstanding Amounts denominated in Alternative Currencies. Such
Spot Rates shall become effective as of such Revaluation Date and shall be the Spot Rates employed
in converting any amounts between the applicable currencies until the next Revaluation Date to
occur. Except for purposes of financial statements delivered by Loan Parties hereunder or
calculating financial covenants hereunder or except as otherwise provided herein, the applicable
amount of any currency (other than Dollars) for purposes of the Loan Documents shall be such Dollar
Equivalent amount as so determined by the Administrative Agent, the Swing Line Lender or the L/C
Issuer, as applicable.

          (b) Wherever in this Agreement in connection with a Borrowing, conversion, continuation or
prepayment of a Eurocurrency Rate Loan, AC Swing Line Loan or the issuance, amendment or extension
of a Letter of Credit, an amount, such as a required minimum or multiple amount, is expressed in
Dollars, but such Borrowing, AC Swing Line Loan, Eurocurrency Rate Loan or Letter of Credit is
denominated in an Alternative Currency, such amount shall be the relevant Alternative Currency
Equivalent of such Dollar amount (rounded to the nearest unit of such Alternative Currency, with
0.5 of a unit being rounded upward), as determined by the Administrative Agent, the Swing Line
Lender or the L/C Issuer, as the case may be.

     1.06. Additional Alternative Currencies.

     (a) The Company may from time to time request that Eurocurrency Rate Loans, AC Swing Line
Loans be made and/or Letters of Credit be issued in a currency other than those specifically listed
in the definition of “Alternative Currency;” provided that such requested currency is a lawful
currency (other than Dollars) that is readily available and freely transferable and convertible
into Dollars. In the case of any such request with respect to the making of Eurocurrency Rate
Loans, such request shall be subject to the approval of the Administrative Agent and the Lenders;
with respect to the making of AC Swing Line Loans, such request shall be subject to the approval of
the Administrative Agent and the Swing Line Lender; and in the case of any such request with
respect to the issuance of Letters of Credit, such request shall be subject to the approval of the
Administrative Agent and the L/C Issuer.

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     (b) Any such request shall be made to the Administrative Agent not later than 11:00 a.m., 20
Business Days prior to the date of the desired Credit Extension (or such other time or date as may
be agreed by the Administrative Agent and, in the case of any such request pertaining to (x)
Letters of Credit, the L/C Issuer and (y) A/C Swing Line Loan, the Swing Line Lender, in each case,
in its or their sole discretion). In the case of any such request pertaining to (x) Eurocurrency
Rate Loans, the Administrative Agent shall promptly notify each Lender thereof; (y) AC Swing Line
Loans, the Administrative Agent shall promptly notify the Swing Line Lender thereof; and (z)
Letters of Credit, the Administrative Agent shall promptly notify the L/C Issuer thereof. Each
Lender (in the case of any such request pertaining to Eurocurrency Rate Loans), the Swing Line
Lender (in the case of any such request pertaining to AC Swing Line Loans) or the L/C Issuer (in
the case of a request pertaining to Letters of Credit) shall notify the Administrative Agent, not
later than 11:00 a.m., ten Business Days after receipt of such request whether it consents, in its
sole discretion, to the making of Eurocurrency Rate Loans, AC Swing Line Loans or the issuance of
Letters of Credit, as the case may be, in such requested currency.

     (c) Any failure by a Lender, the Swing Line Lender or the L/C Issuer, as the case may be, to
respond to such request within the time period specified in the preceding sentence shall be deemed
to be a refusal by such Lender, the Swing Line Lender or the L/C Issuer, as the case may be, to
permit Eurocurrency Rate Loans to be made or Letters of Credit to be issued in such requested
currency. If the Administrative Agent and all the Lenders consent to making Eurocurrency Rate
Loans in such requested currency, the Administrative Agent shall so notify the Company and such
currency shall thereupon be deemed for all purposes to be an Alternative Currency hereunder for
purposes of any Committed Borrowings of Eurocurrency Rate Loans; if the Administrative Agent and
the Swing Line Lender consent to the making of AC Swing Line Loans in such requested currency, the
Administrative Agent shall so notify the Company and such currency shall thereupon be deemed for
all purposes to be an Alternative Currency hereunder for purposes of any AC Swing Line Loan; and if
the Administrative Agent and the L/C Issuer consent to the issuance of Letters of Credit in such
requested currency, the Administrative Agent shall so notify the Company and such currency shall
thereupon be deemed for all purposes to be an Alternative Currency hereunder for purposes of any
Letter of Credit issuances. If the Administrative Agent shall fail to obtain consent to any request
for an additional currency under this Section 1.06, the Administrative Agent shall promptly
so notify the Company.

     1.07. Change of Currency.

     (a) Each obligation of the Borrowers to make a payment denominated in the national currency
unit of any member state of the European Union that adopts the Euro as its lawful currency after
the date hereof shall be redenominated into Euro at the time of such adoption (in accordance with
the EMU Legislation). If, in relation to the currency of any such member state, the basis of
accrual of interest expressed in this Agreement in respect of that currency shall be inconsistent
with any convention or practice in the London interbank market for the basis of accrual of
interest in respect of the Euro, such expressed basis shall be replaced by such convention or
practice with effect from the date on which such member state adopts the Euro as its lawful
currency; provided that if any Borrowing in the currency of such member

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state is outstanding immediately prior to such date, such replacement shall take effect, with
respect to such Borrowing, at the end of the then current Interest Period.

     (b) Each provision of this Agreement shall be subject to such reasonable changes of
construction as the Administrative Agent, in consultation with the Company, may from time to time
reasonably specify to be appropriate to reflect the adoption of the Euro by any member state of
the European Union and any relevant market conventions or practices relating to the Euro.

     (c) Each provision of this Agreement also shall be subject to such reasonable changes of
construction as the Administrative Agent, in consultation with the Company, may from time to time
reasonably specify to be appropriate to reflect a change in currency of any other country and any
relevant market conventions or practices relating to the change in currency.

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

     1.09. Letter of Credit Amounts. Unless otherwise specified herein, the amount of a Letter of
Credit at any time shall be deemed to be the Dollar Equivalent of the stated amount of such Letter
of Credit in effect at such time; provided, however, that with respect to any
Letter of Credit that, by its terms or the terms of any Issuer Document related thereto, provides
for one or more automatic increases in the stated amount thereof, the amount of such Letter of
Credit shall be deemed to be the Dollar Equivalent of the maximum stated amount of such Letter of
Credit after giving effect to all such increases, whether or not such maximum stated amount is in
effect at such time.

ARTICLE II.

THE COMMITMENTS AND CREDIT EXTENSIONS

     2.01. The Loans. (a) The Term Borrowing. Subject to the terms and conditions set
forth herein, each Term Lender severally agrees to make a single loan denominated in Dollars to the
Borrower on the Closing Date in an amount not to exceed such Term Lender’s Closing Date Term
Commitment. The Term Borrowing on the Closing Date shall consist of Term Loans made simultaneously
by the Term Lenders in accordance with their respective Closing Date Term Commitment. Amounts
borrowed under this Section 2.01(a) and repaid or prepaid may not be reborrowed. Term
Loans may be Base Rate Loans or Eurocurrency Rate Loans, as further provided herein.

     (b) The Revolving Credit Borrowings. Subject to the terms and conditions set forth
herein, each Revolving Credit Lender severally agrees to make loans (each such loan, a
“Revolving Credit Loan”) to the Borrowers in Dollars or in one or more Alternative
Currencies from time to time, on any Business Day during the Availability Period, in an aggregate
amount not to exceed at any time outstanding the amount of such Lender’s Revolving Credit
Commitment; provided, however, that after giving effect to any Revolving Credit
Borrowing, (i) the Total Revolving Credit Outstandings shall not exceed the Revolving Credit
Facility, and (ii) the aggregate Outstanding Amount of the Revolving Credit Loans of any Lender,
plus such

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Revolving Credit Lender’s Applicable Revolving Credit Percentage of the Outstanding Amount of
all L/C Obligations, plus such Revolving Credit Lender’s Applicable Revolving Credit
Percentage of the Outstanding Amount of all Swing Line Loans shall not exceed such Revolving
Credit Lender’s Revolving Credit Commitment. Within the limits of each Revolving Credit Lender’s
Revolving Credit Commitment, and subject to the other terms and conditions hereof, the Borrowers
may borrow under this Section 2.01(b), prepay under Section 2.05, and reborrow
under this Section 2.01(b). Revolving Credit Loans may be Base Rate Loans or Eurocurrency
Rate Loans, as further provided herein.

     2.02. Borrowings, Conversions and Continuations of Loans. (a) Each Term Borrowing, each
Revolving Credit Borrowing, each conversion of Term Loans or Revolving Credit Loans from one Type
to the other, and each continuation of Eurocurrency Rate Loans shall be made upon the Company’s
irrevocable notice to the Administrative Agent, which may be given by telephone. Each such notice
must be received by the Administrative Agent not later than 11:00 a.m. (i) three Business Days
prior to the requested date of any Borrowing of, conversion to or continuation of Eurocurrency Rate
Loans denominated in Dollars or of any conversion of Eurocurrency Rate Loans denominated in Dollars
to Base Rate Loans, (ii) three Business Days (or four Business Days in the case of a Special Notice
Currency) prior to the requested date of any Borrowing or continuation of Eurocurrency Rate Loans
denominated in Alternative Currencies, and (iii) on the requested date of any Borrowing of Base
Rate Loans; provided, however, that if the Company wishes to request Eurocurrency
Rate Loans having an Interest Period other than one, two, three or six months in duration as
provided in the definition of “Interest Period” (a “Special Interest Period”), the
applicable notice must be received by the Administrative Agent not later than 11:00 a.m. (i) four
Business Days prior to the requested date of such Borrowing, conversion or continuation of
Eurocurrency Rate Loans denominated in Dollars, or (ii) four Business Days (or five Business days
in the case of a Special Notice Currency) prior to the requested date of such Borrowing, conversion
or continuation of Eurocurrency Rate Loans denominated in Alternative Currencies, whereupon the
Administrative Agent shall give prompt notice to the Lenders of such request and determine whether
the requested Special Interest Period is acceptable to all of them. Not later than 11:00 a.m., (i)
three Business Days before the requested date of such Borrowing, conversion or continuation of
Eurocurrency Rate Loans denominated in Dollars, or (ii) three Business Days (or four Business days
in the case of a Special Notice Currency) prior to the requested date of such Borrowing, conversion
or continuation of Eurocurrency Rate Loans denominated in Alternative Currencies, the
Administrative Agent shall notify the Company (which notice may be by telephone) whether or not the
requested Special Interest Period has been consented to by all the Lenders. Each telephonic notice
by the Company pursuant to this Section 2.02(a) must be confirmed promptly by delivery to
the Administrative Agent of a written Committed Loan Notice, appropriately completed and signed by
a Responsible Officer of the Company. Each Borrowing of, conversion to or continuation of
Eurocurrency Rate Loans shall be in a principal amount of $2,000,000 or a whole multiple of
$1,000,000 in excess thereof. Except as provided in Section 2.03(c) and 2.04(c),
each Borrowing of or conversion to Base Rate Loans shall be in a principal amount of $500,000 or a
whole multiple of $100,000 in excess thereof. Each Committed Loan Notice (whether telephonic or
written) shall specify (i) whether the Company is requesting a Term Borrowing, a Revolving Credit
Borrowing, a conversion of Term Loans or Revolving Credit Loans from one Type to the other, or a
continuation of Eurocurrency Rate Loans, (ii) the requested date of the Borrowing, conversion or
continuation, as the case may be (which shall be

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a Business Day), (iii) the principal amount of Loans to be borrowed, converted or continued,
(iv) the Type of Loans to be borrowed or to which existing Term Loans or Revolving Credit Loans are
to be converted, (v) if applicable, the duration of the Interest Period with respect thereto, (vi)
the currency of the Loan to be borrowed or continued and (vii) if applicable, the Designated
Borrower. If the Company fails to specify a currency in a Committed Loan Notice requesting a
Borrowing, then the Loans so requested shall be made in Dollars. If the Company fails to specify a
Type of Loan in a Committed Loan Notice or if the Company fails to give a timely notice requesting
a conversion or continuation, then the applicable Term Loans or Revolving Credit Loans shall be
made as, or converted to, Base Rate Loans; provided, however, that in the case of a
failure to timely request a continuation of Loans denominated in an Alternative Currency, such
Loans shall be continued as Eurocurrency Rate Loans in their original currency with an Interest
Period of one month. Any such automatic conversion to Base Rate Loans shall be effective as of the
last day of the Interest Period then in effect with respect to the applicable Eurocurrency Rate
Loans. If the Company requests a Borrowing of, conversion to, or continuation of Eurocurrency Rate
Loans in any such Committed Loan Notice, but fails to specify an Interest Period, it will be deemed
to have specified an Interest Period of one month. No Loans may be converted into or continued as
Loans denominated in a different currency, but instead must be prepaid in the original currency of
such Loans and reborrowed in the other currency.

     (b) Following receipt of a Committed Loan Notice, the Administrative Agent shall promptly
notify each Lender of the amount (and currency) of its Applicable Percentage under the applicable
Facility of the applicable Term Loans or Revolving Credit Loans, and if no timely notice of a
conversion or continuation is provided by the Company, the Administrative Agent shall notify each
Lender of the details of any automatic conversion to Base Rate Loans or continuation of Loans
denominated in a currency other than Dollars, in each case as described in Section
2.02(a). In the case of a Term Borrowing or a Revolving Credit Borrowing, each Lender shall
make the amount of its Loan available to the Administrative Agent in Same Day Funds at the
Administrative Agent’s Office for the applicable currency not later than 1:00 p.m., in the case of
any Loans denominated in Dollars, and not later than the Applicable Time specified by the
Administrative Agent in the case of any Loans in an Alternative Currency, on the Business Day
specified in the applicable Committed Loan Notice or, as to Loans to be made on the Closing Date
as to which Advance Funding Arrangements are in effect, in accordance with the terms thereof.
Upon satisfaction of the applicable conditions set forth in Section 4.02 (and, if such
Borrowing is the initial Credit Extension, Section 4.01), the Administrative Agent shall
make all funds so received available to the Company or the other applicable Borrower in like funds
as received by the Administrative Agent either by (i) crediting the account of such Borrower on
the books of Bank of America with the amount of such funds or (ii) wire transfer of such funds, in
each case in accordance with instructions provided to (and reasonably acceptable to) the
Administrative Agent by the Company; provided, however, that if, on the date a
Committed Loan Notice with respect to a Revolving Credit Borrowing denominated in Dollars is given
by the Company, there are L/C Borrowings outstanding, then the proceeds of such Revolving Credit
Borrowing, first, shall be applied to the payment in full of any such L/C Borrowings, and,
second, shall be made available to the applicable Borrower as provided above.

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     (c) During the existence of an Event of Default, no Loans may be converted to Eurocurrency
Rate Loans (whether in Dollars or any Alternative Currency) without the consent of the Required
Lenders, and the Required Lenders may demand that (i) any or all of the then outstanding
Eurocurrency Rate Loans denominated in an Alternative Currency be prepaid, or redenominated into
Dollars in the amount of the Dollar Equivalent thereof, on the last day of the then current
Interest Period with respect thereto and/or (ii) any or all of the then outstanding Eurocurrency
Rate Loans be converted to Base Rate Loans, on the last day of the then current Interest Period
with respect thereto.

     (d) The Administrative Agent shall promptly notify the Company and the Lenders of the
interest rate applicable to any Interest Period for Eurocurrency Rate Loans upon determination of
such interest rate. At any time that Base Rate Loans are outstanding, the Administrative Agent
shall notify the Company and the Lenders of any change in Bank of America’s prime rate used in
determining the Base Rate promptly following the public announcement of such change.

     (e) After giving effect to all Term Borrowings, all conversions of Term Loans from one Type
to the other, and all continuations of Term Loans as the same Type, there shall not be more than
seven (7) Interest Periods in effect in respect of the Term Facility. After giving effect to all
Revolving Credit Borrowings, all conversions of Revolving Credit Loans from one Type to the other,
and all continuations of Revolving Credit Loans as the same Type, there shall not be more than
twelve (12) Interest Periods in effect in respect of the Revolving Credit Facility.

     2.03. Letters of Credit. (a)The Letter of Credit Commitment. (i) Subject to the terms and
conditions set forth herein, (A) the L/C Issuer agrees, in reliance upon the agreements of the
Revolving Credit Lenders set forth in this Section 2.03, (1) from time to time on any
Business Day during the period from the Closing Date until the Letter of Credit Expiration Date, to
issue Letters of Credit denominated in Dollars or in one or more Alternative Currencies for the
account of the Company or its Subsidiaries, and to amend or extend Letters of Credit previously
issued by it, in accordance with Section 2.03(b), and (2) to honor drawings under the
Letters of Credit; and (B) the Revolving Credit Lenders severally agree to participate in Letters
of Credit issued for the account of the Company or its Subsidiaries and any drawings thereunder;
provided that after giving effect to any L/C Credit Extension with respect to any Letter of
Credit, (x) the Total Revolving Credit Outstandings shall not exceed the Revolving Credit Facility,
(y) the aggregate Outstanding Amount of the Revolving Credit Loans of any Lender, plus such
Revolving Credit Lender’s Applicable Revolving Credit Percentage of the Outstanding Amount of all
L/C Obligations, plus such Revolving Credit Lender’s Applicable Revolving Credit Percentage
of the Outstanding Amount of all Swing Line Loans shall not exceed such Revolving Credit Lender’s
Revolving Credit Commitment, and (z) the Outstanding Amount of the L/C Obligations shall not exceed
the Letter of Credit Sublimit. Each request by the Company for the issuance or amendment of a
Letter of Credit shall be deemed to be a representation by the Company that the L/C Credit
Extension so requested complies with the conditions set forth in the proviso to the preceding
sentence. Within the foregoing limits, and subject to the terms and conditions hereof, the
Company’s ability to obtain Letters of Credit shall be fully revolving, and accordingly the Company
may, during the foregoing period, obtain Letters of Credit to replace Letters of Credit that have
expired or that have been drawn upon and reimbursed.

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     (ii) The L/C Issuer shall not issue any Letter of Credit if:

     (A) subject to Section 2.03(b)(iii), the expiry date of such requested
Letter of Credit would occur more than twelve months after the date of issuance or
last extension, unless the Required Revolving Lenders have approved such expiry
date; or

     (B) the expiry date of such requested Letter of Credit would occur after the
Letter of Credit Expiration Date, unless the Administrative Agent and the L/C Issuer
have approved such expiry date (it being understood that in the event the expiry
date of any requested Letter of Credit would occur after the Letter of Credit
Expiration Date, from and after the Letter of Credit Expiration Date, the Company
shall immediately Cash Collateralize the then Outstanding Amount of all L/C
Obligations in respect of such Letters of Credit in accordance with Section
2.14).

     (iii) The L/C Issuer shall not be under any obligation to issue any Letter of Credit
if:

     (A) any order, judgment or decree of any Governmental Authority or arbitrator
shall by its terms purport to enjoin or restrain the L/C Issuer from issuing such
Letter of Credit, or any Law applicable to the L/C Issuer or any request or
directive (whether or not having the force of law) from any Governmental Authority
with jurisdiction over the L/C Issuer shall prohibit, or request that the L/C Issuer
refrain from, the issuance of letters of credit generally or such Letter of Credit
in particular or shall impose upon the L/C Issuer with respect to such Letter of
Credit any restriction, reserve or capital requirement (for which the L/C Issuer is
not otherwise compensated hereunder) not in effect on the Closing Date, or shall
impose upon the L/C Issuer any unreimbursed loss, cost or expense which was not
applicable on the Closing Date and which the L/C Issuer in good faith deems material
to it;

     (B) the issuance of such Letter of Credit would violate one or more policies of
the L/C Issuer applicable to letters of credit generally;

     (C) except as otherwise agreed by the Administrative Agent and the L/C Issuer,
such Letter of Credit is in an initial stated amount less than $500,000;

     (D) any Revolving Credit Lender is at that time a Defaulting Lender, unless the
L/C Issuer has entered into arrangements, including the delivery of Cash Collateral,
satisfactory to the L/C Issuer (in its sole discretion) with the Borrowers or such
Revolving Credit Lender to eliminate the L/C Issuer’s actual or potential Fronting
Exposure (after giving effect to Section 2.15(a)(iv)) with respect to the
Defaulting Lender arising from either the Letter of Credit then proposed to be
issued or that Letter of Credit and all other L/C Obligations as to which the L/C
Issuer has actual or potential Fronting Exposure, as it may elect in its sole
discretion;

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     (E) except as otherwise agreed by the Administrative Agent and the L/C Issuer,
such Letter of Credit is to be denominated in a currency other than Dollars or an
Alternative Currency; or

     (F) other than with respect to Euro, Sterling and Yen, the L/C Issuer does not
as of the issuance date of such requested Letter of Credit issue Letters of Credit
in the requested currency.

     (iv) The L/C Issuer shall not amend any Letter of Credit if the L/C Issuer would not be
permitted at such time to issue such Letter of Credit in its amended form under the terms
hereof.

     (v) The L/C Issuer shall be under no obligation to amend any Letter of Credit if (A)
the L/C Issuer would have no obligation at such time to issue such Letter of Credit in its
amended form under the terms hereof, or (B) the beneficiary of such Letter of Credit does
not accept the proposed amendment to such Letter of Credit.

     (vi) The L/C Issuer shall act on behalf of the Revolving Credit Lenders with respect to
any Letters of Credit issued by it and the documents associated therewith, and the L/C
Issuer shall have all of the benefits and immunities (A) provided to the Administrative
Agent in Article IX with respect to any acts taken or omissions suffered by the L/C
Issuer in connection with Letters of Credit issued by it or proposed to be issued by it and
Issuer Documents pertaining to such Letters of Credit as fully as if the term
“Administrative Agent” as used in Article IX included the L/C Issuer with respect to
such acts or omissions, and (B) as additionally provided herein with respect to the L/C
Issuer.

     (b) Procedures for Issuance and Amendment of Letters of Credit; Auto-Extension Letters of
Credit.

     (i) Each Letter of Credit shall be issued or amended, as the case may be, upon the
request of the Company delivered to the L/C Issuer (with a copy to the Administrative Agent)
in the form of a Letter of Credit Application, appropriately completed and signed by a
Responsible Officer of the Company. Such Letter of Credit Application must be received by
the L/C Issuer and the Administrative Agent not later than 11:00 a.m. at least three
Business Days (or such later date and time as the Administrative Agent and the L/C Issuer
may agree in a particular instance in their sole discretion) prior to the proposed issuance
date or date of amendment, as the case may be. In the case of a request for an initial
issuance of a Letter of Credit, such Letter of Credit Application shall specify in form and
detail reasonably satisfactory to the L/C Issuer: (A) the proposed issuance date of the
requested Letter of Credit (which shall be a Business Day); (B) the amount and currency
thereof; (C) the expiry date thereof; (D) the name and address of the beneficiary thereof;
(E) the documents to be presented by such beneficiary in case of any drawing thereunder; (F)
the full text of any certificate to be presented by such beneficiary in case of any drawing
thereunder; (G) the purpose and nature of the requested Letter of Credit; and (H) such other
matters as the L/C Issuer may reasonably request. In the case of a request for an amendment
of any outstanding Letter of Credit, such Letter of Credit

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Application shall specify in form and detail satisfactory to the L/C Issuer (1) the
Letter of Credit to be amended; (2) the proposed date of amendment thereof (which shall be a
Business Day); (3) the nature of the proposed amendment; and (4) such other matters as the
L/C Issuer may reasonably request. Additionally, the Company shall furnish to the L/C
Issuer and the Administrative Agent such other documents and information pertaining to such
requested Letter of Credit issuance or amendment, including any Issuer Documents, as the L/C
Issuer or the Administrative Agent may require. In the event that any Letter of Credit
Application or other Issuer Documents include representations and warranties, covenants
and/or events of default that do not contain the materiality qualifiers, exceptions or
thresholds that are applicable to the analogous provisions of this Agreement or other Loan
Documents, or are otherwise more restrictive, the relevant qualifiers, exceptions and
thresholds contained herein shall be incorporated therein or, to the extent more
restrictive, shall be deemed for the purposes of such Letter of Credit Application or other
Issuer Documents to be the same as the analogous provisions herein.

     (ii) Promptly after receipt of any Letter of Credit Application, the L/C Issuer will
confirm with the Administrative Agent (by telephone or in writing) that the Administrative
Agent has received a copy of such Letter of Credit Application from the Company and, if not,
the L/C Issuer will provide the Administrative Agent with a copy thereof. Unless the L/C
Issuer has received written notice from any Revolving Credit Lender, the Administrative
Agent or any Loan Party, at least one Business Day prior to the requested date of issuance
or amendment of the applicable Letter of Credit, that one or more applicable conditions
contained in Article IV shall not then be satisfied, then, subject to the terms and
conditions hereof, the L/C Issuer shall, on the requested date, issue a Letter of Credit for
the account of the Company (or the applicable Subsidiary) or enter into the applicable
amendment, as the case may be, in each case in accordance with the L/C Issuer’s usual and
customary business practices. Immediately upon the issuance of each Letter of Credit, each
Revolving Credit Lender shall be deemed to, and hereby irrevocably and unconditionally
agrees to, purchase from the L/C Issuer a risk participation in such Letter of Credit in an
amount equal to the product of such Revolving Credit Lender’s Applicable Revolving Credit
Percentage times the amount of such Letter of Credit.

     (iii) If the Company so requests in any applicable Letter of Credit Application, the
L/C Issuer may, in its sole and absolute discretion, agree to issue a Letter of Credit that
has automatic extension provisions (each, an “Auto-Extension Letter of Credit”);
provided that any such Auto-Extension Letter of Credit must permit the L/C Issuer to
prevent any such extension at least once in each twelve-month period (commencing with the
date of issuance of such Letter of Credit) by giving prior notice to the beneficiary thereof
not later than a day (the “Non-Extension Notice Date”) in each such twelve-month
period to be agreed upon at the time such Letter of Credit is issued. Unless otherwise
directed by the L/C Issuer, the Company shall not be required to make a specific request to
the L/C Issuer for any such extension. Once an Auto-Extension Letter of Credit has been
issued, the Revolving Credit Lenders shall be deemed to have authorized (but may not
require) the L/C Issuer to permit the extension of such Letter of Credit at any time to an
expiry date not later than the Letter of Credit Expiration Date; provided,
however, that the L/C Issuer shall not permit any such extension if (A) the L/C

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Issuer has determined that it would not be permitted, or would have no obligation at
such time to issue such Letter of Credit in its revised form (as extended) under the terms
hereof (by reason of the provisions of clause (ii) or (iii) of Section 2.03(a) or
otherwise), or (B) it has received notice (which may be by telephone or in writing) on or
before the day that is seven Business Days before the Non-Extension Notice Date from the
Administrative Agent, any Revolving Credit Lender or the Company that one or more of the
applicable conditions specified in Section 4.02 is not then satisfied, and in each
such case directing the L/C Issuer not to permit such extension.

     (iv) Promptly after its delivery of any Letter of Credit or any amendment to a Letter
of Credit to an advising bank with respect thereto or to the beneficiary thereof, the L/C
Issuer will also deliver to the Company and the Administrative Agent a true and complete
copy of such Letter of Credit or amendment.

     (c) Drawings and Reimbursements; Funding of Participations. (i) Upon receipt from
the beneficiary of any Letter of Credit of any notice of a drawing under such Letter of Credit,
the L/C Issuer shall notify the Company and the Administrative Agent thereof. In the case of a
Letter of Credit denominated in an Alternative Currency, the Company shall reimburse the L/C
Issuer in such Alternative Currency, unless (A) the L/C Issuer (at its option) shall have
specified in such notice that it will require reimbursement in Dollars, or (B) in the absence of
any such requirement for reimbursement in Dollars, the Company shall have notified the L/C Issuer
promptly following receipt of the notice of drawing that the Company will reimburse the L/C Issuer
in Dollars. In the case of any such reimbursement in Dollars of a drawing under a Letter of
Credit denominated in an Alternative Currency, the L/C Issuer shall notify the Company of the
Dollar Equivalent of the amount of the drawing promptly following the determination thereof. Not
later than 12:00 noon on the date of any payment by the L/C Issuer under a Letter of Credit to be
reimbursed in Dollars, or the Applicable Time on the date of any payment by the L/C Issuer under a
Letter of Credit to be reimbursed in an Alternative Currency (each such date, an “Honor
Date”), the Company shall reimburse the L/C Issuer through the Administrative Agent in an
amount equal to the amount of such drawing and in the applicable currency, provided,
however, that if the Company shall have received notice of such payment by the L/C issuer
under a Letter of Credit less than one hour prior to the required time for payment set forth
above, the Company shall reimburse the L/C Issuer through the Administrative Agent in an amount
equal to the amount of such drawing and in the applicable currency not later than 12:00 noon or
the Applicable Time, as the case may be, on the immediately succeeding Business Day (together with
interest thereon (at the rate otherwise applicable to a Base Rate Loan), which shall be solely for
the account of the L/C Issuer). If the Company fails to so reimburse the L/C Issuer by such time,
the Administrative Agent shall promptly notify each Revolving Credit Lender of the Honor Date, the
amount of the unreimbursed drawing (expressed in Dollars in the amount of the Dollar Equivalent
thereof in the case of a Letter of Credit denominated in an Alternative Currency) (the
“Unreimbursed Amount”), and the amount of such Revolving Credit Lender’s Applicable
Revolving Credit Percentage thereof. In such event, the Company shall be deemed to have requested
a Revolving Credit Borrowing of Base Rate Loans to be disbursed on the Honor Date in an amount
equal to the Unreimbursed Amount, without regard to the minimum and multiples specified in
Section 2.02 for the principal amount of Base Rate Loans, but subject to the amount of the
unutilized portion of the Revolving Credit Commitments and the conditions set forth in Section
4.02

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(other than the delivery of a Committed Loan Notice). Any notice given by the L/C Issuer or
the Administrative Agent pursuant to this Section 2.03(c)(i) may be given by telephone if
immediately confirmed in writing; provided that the lack of such an immediate confirmation
shall not affect the conclusiveness or binding effect of such notice.

     (ii) Each Revolving Credit Lender shall upon any notice pursuant to Section
2.03(c)(i) make funds available (and the Administrative Agent may apply Cash Collateral
provided for this purpose) for the account of the L/C Issuer, in Dollars, at the
Administrative Agent’s Office for Dollar-denominated payments in an amount equal to its
Applicable Revolving Credit Percentage of the Unreimbursed Amount not later than 1:00 p.m.
on the Business Day specified in such notice by the Administrative Agent, whereupon, subject
to the provisions of Section 2.03(c)(iii), each Revolving Credit Lender that so
makes funds available shall be deemed to have made a Base Rate Loan to the Company in such
amount. The Administrative Agent shall remit the funds so received to the L/C Issuer in
Dollars.

     (iii) With respect to any Unreimbursed Amount that is not fully refinanced by a
Revolving Credit Borrowing of Base Rate Loans because the conditions set forth in
Section 4.02 cannot be satisfied or for any other reason, the Company shall be
deemed to have incurred from the L/C Issuer an L/C Borrowing in the amount of the
Unreimbursed Amount that is not so refinanced, which L/C Borrowing shall be due and payable
on demand (together with interest) and shall bear interest at the Default Rate. In such
event, each Revolving Credit Lender’s payment to the Administrative Agent for the account of
the L/C Issuer pursuant to Section 2.03(c)(ii) shall be deemed payment in respect of
its participation in such L/C Borrowing and shall constitute an L/C Advance from such Lender
in satisfaction of its participation obligation under this Section 2.03.

     (iv) Until each Revolving Credit Lender funds its Revolving Credit Loan or L/C Advance
pursuant to this Section 2.03(c) to reimburse the L/C Issuer for any amount drawn
under any Letter of Credit, interest in respect of such Lender’s Applicable Revolving Credit
Percentage of such amount shall be solely for the account of the L/C Issuer.

     (v) Each Revolving Credit Lender’s obligation to make Revolving Credit Loans or L/C
Advances to reimburse the L/C Issuer for amounts drawn under Letters of Credit, as
contemplated by this Section 2.03(c), shall be absolute and unconditional and shall
not be affected by any circumstance, including (A) any setoff, counterclaim, recoupment,
defense or other right which such Lender may have against the L/C Issuer, the Company, any
Subsidiary or any other Person for any reason whatsoever; (B) the occurrence or continuance
of a Default, or (C) any other occurrence, event or condition, whether or not similar to any
of the foregoing; provided, however, that each Revolving Credit Lender’s
obligation to make Revolving Credit Loans pursuant to this Section 2.03(c) is
subject to the conditions set forth in Section 4.02 (other than delivery by the
Company of a Committed Loan Notice). No such making of an L/C Advance shall relieve or
otherwise impair the obligation of the Company to reimburse the L/C Issuer for the amount of
any payment made by the L/C Issuer under any Letter of Credit, together with interest as
provided herein.

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     (vi) If any Revolving Credit Lender fails to make available to the Administrative Agent
for the account of the L/C Issuer any amount required to be paid by such Lender pursuant to
the foregoing provisions of this Section 2.03(c) by the time specified in
Section 2.03(c)(ii), then, without limiting the other provisions of this Agreement,
the L/C Issuer shall be entitled to recover from such Lender (acting through the
Administrative Agent), on demand, such amount with interest thereon for the period from the
date such payment is required to the date on which such payment is immediately available to
the L/C Issuer at a rate per annum equal to the applicable Overnight Rate from time to time
in effect, plus any administrative, processing or similar fees customarily charged by the
L/C Issuer in connection with the foregoing. If such Lender pays such amount (with interest
and fees as aforesaid), the amount so paid (other than such interest and fees) shall
constitute such Lender’s Committed Loan included in the relevant Committed Borrowing or L/C
Advance in respect of the relevant L/C Borrowing, as the case may be. A certificate of the
L/C Issuer submitted to any Revolving Credit Lender (through the Administrative Agent) with
respect to any amounts owing under this Section 2.03(c)(vi) shall be conclusive
absent manifest error.

     (d) Repayment of Participations. (i) At any time after the L/C Issuer has made a
payment under any Letter of Credit and has received from any Revolving Credit Lender such
Revolving Credit Lender’s L/C Advance in respect of such payment in accordance with Section
2.03(c), if the Administrative Agent receives for the account of the L/C Issuer any payment in
respect of the related Unreimbursed Amount or interest thereon (whether directly from the Company
or otherwise, including proceeds of Cash Collateral applied thereto by the Administrative Agent),
the Administrative Agent will distribute to such Lender its Applicable Revolving Credit Percentage
of the Dollar Equivalent of such payment.

     (ii) If any payment received by the Administrative Agent for the account of the L/C
Issuer pursuant to Section 2.03(c)(i) is required to be returned under any of the
circumstances described in Section 11.05 (including pursuant to any settlement
entered into by the L/C Issuer in its discretion), each Revolving Credit Lender shall pay to
the Administrative Agent for the account of the L/C Issuer its Applicable Revolving Credit
Percentage thereof on demand of the Administrative Agent, plus interest thereon from
the date of such demand to the date such amount is returned by such Lender, at a rate per
annum equal to the applicable Overnight Rate from time to time in effect. The obligations
of the Lenders under this clause shall survive the payment in full of the Obligations and
the termination of this Agreement.

     (e) Obligations Absolute. The obligation of the Company to reimburse the L/C Issuer
for each drawing under each Letter of Credit and to repay each L/C Borrowing shall be absolute,
unconditional and irrevocable, and shall be paid strictly in accordance with the terms of this
Agreement under all circumstances, including the following:

     (i) any lack of validity or enforceability of such Letter of Credit, this Agreement, or
any other Loan Document;

     (ii) the existence of any claim, counterclaim, setoff, defense or other right that the
Company or any Subsidiary may have at any time against any beneficiary or any

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transferee of such Letter of Credit (or any Person for whom any such beneficiary or any
such transferee may be acting), the L/C Issuer or any other Person, whether in connection
with this Agreement, the transactions contemplated hereby or by such Letter of Credit or any
agreement or instrument relating thereto, or any unrelated transaction; provided
that the Company and its Subsidiaries shall not be precluded from pursuing their rights and
remedies in separate actions;

     (iii) any draft, demand, certificate or other document presented under such Letter of
Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any
statement therein being untrue or inaccurate in any respect; or any loss or delay in the
transmission or otherwise of any document required in order to make a drawing under such
Letter of Credit;

     (iv) any payment by the L/C Issuer under such Letter of Credit against presentation of
a draft or certificate that does not strictly comply with the terms of such Letter of
Credit; or any payment made by the L/C Issuer under such Letter of Credit to any Person
purporting to be a trustee in bankruptcy, debtor-in-possession, assignee for the benefit of
creditors, liquidator, receiver or other representative of or successor to any beneficiary
or any transferee of such Letter of Credit, including any arising in connection with any
proceeding under any Debtor Relief Law; or

     (v) any adverse change in the relevant exchange rates or in the availability of the
relevant Alternative Currency to the Company or any of its Subsidiary or in the relevant
currency markets generally; or

     (vi) any other circumstance or happening whatsoever, whether or not similar to any of
the foregoing, including any other circumstance that might otherwise constitute a defense
available to, or a discharge of, the Company or any of its Subsidiaries.

     The Company shall promptly examine a copy of each Letter of Credit and each amendment thereto
that is delivered to it and, in the event of any claim of noncompliance with the Company’s
instructions or other irregularity, the Company will immediately notify the L/C Issuer. The
Company shall be conclusively deemed to have waived any such claim against the L/C Issuer and its
correspondents unless such notice is given as aforesaid.

     (f) Role of L/C Issuer. Each Lender and the Company agree that, in paying any
drawing under a Letter of Credit, the L/C Issuer shall not have any responsibility to obtain any
document (other than any sight draft, certificates and documents expressly required by the Letter
of Credit) or to ascertain or inquire as to the validity or accuracy of any such document or the
authority of the Person executing or delivering any such document. None of the L/C Issuer, the
Administrative Agent, any of their respective Related Parties nor any correspondent, participant
or assignee of the L/C Issuer shall be liable to any Lender for (i) any action taken or omitted in
connection herewith at the request or with the approval of the Revolving Credit Lenders or the
Required Revolving Lenders, as applicable; (ii) any action taken or omitted in the absence of
gross negligence or willful misconduct; or (iii) the due execution, effectiveness, validity or
enforceability of any document or instrument related to any Letter of Credit or Issuer Document.
The Company hereby assumes all risks of the acts or omissions of any beneficiary

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or transferee with respect to its use of any Letter of Credit; provided,
however, that this assumption is not intended to, and shall not, preclude the Company’s
pursuing such rights and remedies as it may have against the beneficiary or transferee at law or
under any other agreement. None of the L/C Issuer, the Administrative Agent, any of their
respective Related Parties nor any correspondent, participant or assignee of the L/C Issuer shall
be liable or responsible for any of the matters described in clauses (i) through (vi) of
Section 2.03(e); provided, however, that anything in such clauses to the
contrary notwithstanding, the Company may have a claim against the L/C Issuer, and the L/C Issuer
may be liable to the Company, to the extent, but only to the extent, of any direct, as opposed to
consequential or exemplary, damages suffered by the Company which the Company proves were caused
by the L/C Issuer’s willful misconduct or gross negligence or the L/C Issuer’s willful or grossly
negligent failure to pay under any Letter of Credit after the presentation to it by the
beneficiary of a sight draft and certificate(s) strictly complying with the terms and conditions
of a Letter of Credit. In furtherance and not in limitation of the foregoing, the L/C Issuer may
accept documents that appear on their face to be in order, without responsibility for further
investigation, regardless of any notice or information to the contrary, and the L/C Issuer shall
not be responsible for the validity or sufficiency of any instrument transferring or assigning or
purporting to transfer or assign a Letter of Credit or the rights or benefits thereunder or
proceeds thereof, in whole or in part, which may prove to be invalid or ineffective for any
reason.

     (g) Release of Lenders’ Obligations. Notwithstanding anything to the contrary
contained herein or in any other Loan Document, in the event that (i) the L/C Issuer shall have
issued, in accordance with Section 2.03(a)(ii)(B), a Letter of Credit with an expiry date
occurring after the Letter of Credit Expiration Date and (ii) the Company shall have Cash
Collateralized the Outstanding Amount of all such L/C Obligations in respect of such Letter of
Credit pursuant to Section 2.14, then, upon the provision of such Cash Collateral and
without any further action, each Lender hereunder shall be automatically released from any further
obligation to the L/C Issuer in respect of such Letter of Credit, including, without limitation,
any obligation of any such Lender to reimburse the L/C Issuer for amounts drawn under such Letter
of Credit or to purchase any risk participation therein; provided, however, that
all such obligations of each Lender hereunder to the L/C Issuer in respect of such Letter of
Credit shall be revived if any Cash Collateral provided by the Company in respect of such Letter
of Credit is subsequently invalidated, declared to be fraudulent or preferential, set aside or
required (including pursuant to any settlement entered into by the Administrative Agent or the L/C
Issuer) to be repaid to a trustee, receiver or any other party, in connection with any proceeding
under any Debtor Relief Laws or otherwise, all as if such Cash Collateral had not been provided.
The obligations of the Lenders under this paragraph shall survive termination of this Agreement.

     (h) Applicability of ISP. Unless otherwise expressly agreed by the L/C Issuer and
the Company when a Letter of Credit is issued, the rules of the ISP shall apply to each Letter of
Credit.

     (i) Letter of Credit Fees. The Company shall pay to the Administrative Agent for the
account of each Revolving Credit Lender in accordance with its Applicable Revolving Credit
Percentage, in Dollars, a Letter of Credit fee (the “Letter of Credit Fee”) for each
Letter of Credit equal to the Applicable Rate times the Dollar Equivalent of the daily
amount available

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to be drawn under such Letter of Credit; provided, however, that any Letter
of Credit Fees otherwise payable for the account of a Defaulting Lender with respect to any Letter
of Credit as to which such Defaulting Lender has not provided Cash Collateral satisfactory to the
L/C Issuer pursuant to this Section 2.03 shall be payable, to the maximum extent permitted
by applicable Law, to the other Revolving Credit Lenders in accordance with the upward adjustments
in their respective Applicable Percentages allocable to such Letter of Credit pursuant to
Section 2.15(a)(iv), with the balance of such fee, if any, payable to the L/C Issuer for
its own account. For purposes of computing the daily amount available to be drawn under any
Letter of Credit, the amount of such Letter of Credit shall be determined in accordance with
Section 1.09. Letter of Credit Fees shall be (i) due and payable on the last Business Day
of each of March, June, September and December, commencing with the first such date to occur after
the issuance of such Letter of Credit, on the Letter of Credit Expiration Date and thereafter on
demand and (ii) computed on a quarterly basis in arrears. If there is any change in the
Applicable Rate during any quarter, the daily amount available to be drawn under each Letter of
Credit shall be computed and multiplied by the Applicable Rate separately for each period during
such quarter that such Applicable Rate was in effect. Notwithstanding anything to the contrary
contained herein, upon the request of the Required Revolving Lenders, while any Event of Default
exists, all Letter of Credit Fees shall accrue at the Default Rate.

     (j) Fronting Fee and Documentary and Processing Charges Payable to L/C Issuer. The
Company shall pay directly to the L/C Issuer for its own account, in Dollars, a fronting fee with
respect to each Letter of Credit, at the rate per annum specified in the Fee Letter, computed on
the Dollar Equivalent of the daily amount available to be drawn under such Letter of Credit on a
quarterly basis in arrears. Such fronting fee shall be due and payable on the tenth Business Day
after the end of each March, June, September and December in respect of the most recently-ended
quarterly period (or portion thereof, in the case of the first payment), commencing with the first
such date to occur after the issuance of such Letter of Credit, on the Letter of Credit Expiration
Date and thereafter on demand. For purposes of computing the daily amount available to be drawn
under any Letter of Credit, the amount of such Letter of Credit shall be determined in accordance
with Section 1.09. In addition, the Company shall pay directly to the L/C Issuer for its
own account, in Dollars, the customary issuance, presentation, amendment and other processing
fees, and other standard costs and charges, of the L/C Issuer relating to letters of credit as
from time to time in effect. Such customary fees and standard costs and charges are due and
payable within three Business Days of demand and are nonrefundable.

     (k) Conflict with Issuer Documents. In the event of any conflict between the terms
hereof and the terms of any Issuer Document, the terms hereof shall control.

     (l) Letters of Credit Issued for Subsidiaries. Notwithstanding that a Letter of
Credit issued or outstanding hereunder is in support of any obligations of, or is for the account
of, a Subsidiary, the Company shall be obligated to reimburse the L/C Issuer hereunder for any and
all drawings under such Letter of Credit and shall, at the option of the L/C Issuer, be listed as
an account party thereto. The Company hereby acknowledges that the issuance of Letters of Credit
for the account of Subsidiaries inures to the benefit of the Company, and that the Company’s
business derives substantial benefits from the businesses of such Subsidiaries.

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     2.04. Swing Line Loans.

     (a) The Swing Line. Subject to the terms and conditions set forth herein, the Swing
Line Lender agrees, in reliance upon the agreements of the other Revolving Credit Lenders set
forth in this Section 2.04, to make loans in Dollars or in one or more Alternative
Currencies (each such loan, a “Swing Line Loan”) to the Borrowers from time to time on any
Business Day during the Availability Period, notwithstanding the fact that such Swing Line Loans,
when aggregated with the Applicable Revolving Credit Percentage of the Outstanding Amount of
Revolving Credit Loans and L/C Obligations of the Revolving Credit Lender acting as Swing Line
Lender, may exceed the amount of such Revolving Credit Lender’s Revolving Credit Commitment;
provided, however, that after giving effect to any Swing Line Loan, (i) the Total
Revolving Credit Outstandings shall not exceed the Revolving Credit Facility, (ii) the aggregate
Outstanding Amount of the Revolving Credit Loans of any Lender, plus such Revolving Credit
Lender’s Applicable Revolving Credit Percentage of the Outstanding Amount of all L/C Obligations,
plus such Revolving Credit Lender’s Applicable Revolving Credit Percentage of the
Outstanding Amount of all Swing Line Loans shall not exceed such Revolving Credit Lender’s
Revolving Credit Commitment, and (iii) the Outstanding Amount of the Swing Line Loans shall not
exceed the Swing Line Sublimit, and provided, further, that the Borrowers shall
not use the proceeds of any Swing Line Loan to refinance any outstanding Swing Line Loan. Within
the foregoing limits, and subject to the other terms and conditions hereof, the Borrowers may
borrow under this Section 2.04, prepay under Section 2.05, and reborrow under this
Section 2.04. Each Swing Line Loan (other than an AC Swing Line Loan) shall be a Base
Rate Loan and each AC Swing Line Loan shall bear interest as provided in Section 2.08(a).
Immediately upon the making of a Swing Line Loan, each Revolving Credit Lender shall be deemed to,
and hereby irrevocably and unconditionally agrees to, purchase from the Swing Line Lender a risk
participation in such Swing Line Loan in an amount equal to the product of such Revolving Credit
Lender’s Applicable Revolving Credit Percentage times the Dollar Equivalent of such Swing
Line Loan.

     (b) Borrowing Procedures. Each Swing Line Borrowing shall be made upon the Company’s
irrevocable notice to the Swing Line Lender and the Administrative Agent, which may be given by
telephone in the case of any Swing Line Loan to be denominated in Dollars. Each such notice must
be received by the Swing Line Lender and the Administrative Agent not later than 1:00 p.m., in the
case of any Swing Line Loans denominated in Dollars, and not later than the Applicable Time, in
the case of any AC Swing Line Loan, on the requested borrowing date, and shall specify (i) the
amount to be borrowed, which shall be a minimum of $500,000, (ii) the requested borrowing date,
which shall be a Business Day, (iii) the currency of any AC Swing Line Loan to be borrowed and
(iv) if applicable, the Designated Borrower. Each such telephonic notice for any Swing Line Loan
to be denominated in Dollars must be confirmed promptly by delivery to the Swing Line Lender and
the Administrative Agent of a written Swing Line Loan Notice, appropriately completed and signed
by a Responsible Officer of the Company. Promptly after receipt by the Swing Line Lender of any
telephonic Swing Line Loan Notice for any Swing Line Loan to be denominated in Dollars, the Swing
Line Lender will confirm with the Administrative Agent (by telephone or in writing) that the
Administrative Agent has also received such Swing Line Loan Notice and, if not, the Swing Line
Lender will notify the Administrative Agent (by telephone or in writing) of the contents thereof.
Unless the Swing Line Lender has received notice (by telephone or in writing) from the
Administrative

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Agent (including at the request of any Lender) prior to 2:00 p.m. on the date of the proposed
Swing Line Borrowing, in the case of any Swing Line Loans denominated in Dollars, and such other
time as may be specified from time to time by the Administrative Agent in the case of any AC Swing
Line Loans, (A) directing the Swing Line Lender not to make such Swing Line Loan as a result of
the limitations set forth in the first proviso to the first sentence of Section 2.04(a),
or (B) that one or more of the applicable conditions specified in Article IV is not then
satisfied, then, subject to the terms and conditions hereof, the Swing Line Lender will, not later
than 3:00 p.m., in the case of any Swing Line Loans denominated in Dollars, and not later than the
Applicable Time specified by the Administrative Agent in the case of any AC Swing Line Loan, on
the borrowing date specified in such Swing Line Loan Notice, make the amount of its Swing Line
Loan available to the Company or the other applicable Borrower at its office by crediting the
account of the Company or such other Borrower on the books of the Swing Line Lender in Same Day
Funds.

     (c) Refinancing of Swing Line Loans.

     (i) The Swing Line Lender at any time in its sole and absolute discretion may request,
on behalf of the Company (which hereby irrevocably authorize the Swing Line Lender to so
request on its behalf), that each Revolving Credit Lender make a Base Rate Loan denominated
in Dollars in an amount equal to such Lender’s Applicable Revolving Credit Percentage of the
Dollar Equivalent of the Swing Line Loans then outstanding. Such request shall be made in
writing (which written request shall be deemed to be a Committed Loan Notice for purposes
hereof) and in accordance with the requirements of Section 2.02, without regard to
the minimum and multiples specified therein for the principal amount of Base Rate Loans, but
subject to the unutilized portion of the Revolving Credit Facility and the conditions set
forth in Section 4.02. The Swing Line Lender shall furnish the Company with a copy
of the applicable Committed Loan Notice promptly after delivering such notice to the
Administrative Agent. Each Revolving Credit Lender shall make funds available (and the
Administrative Agent may apply Cash Collateral provided for this purpose) for the account of
Swing line Lender, in Dollars, at the Administrative Agent’s Office for Dollar-denominated
payments in an amount equal to its Applicable Revolving Credit Percentage of the amount
specified in such Committed Loan Notice not later than 1:00 p.m. on the day specified in
such Committed Loan Notice, whereupon, subject to Section 2.04(c)(ii), each
Revolving Credit Lender that so makes funds available shall be deemed to have made a Base
Rate Loan to the Borrowers in such amount. The Administrative Agent shall remit the funds
so received to the Swing Line Lender.

     (ii) If for any reason any Swing Line Loan cannot be refinanced by such a Revolving
Credit Borrowing in accordance with Section 2.04(c)(i), the request for Base Rate
Loans denominated in Dollars submitted by the Swing Line Lender as set forth herein shall be
deemed to be a request by the Swing Line Lender that each of the Revolving Credit Lenders
fund its risk participation in the relevant Swing Line Loans and each Revolving Credit
Lender’s payment to the Administrative Agent for the account of the Swing Line Lender
pursuant to Section 2.04(c)(i) shall be deemed payment in respect of such
participation.

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     (iii) If any Revolving Credit Lender fails to make available to the Administrative
Agent for the account of the Swing Line Lender any amount required to be paid by such
Revolving Credit Lender pursuant to the foregoing provisions of this Section 2.04(c)
by the time specified in Section 2.04(c)(i), the Swing Line Lender shall be entitled
to recover from such Revolving Credit Lender (acting through the Administrative Agent), on
demand, such amount with interest thereon for the period from the date such payment is
required to the date on which such payment is immediately available to the Swing Line Lender
at a rate per annum equal to the applicable Overnight Rate from time to time in effect,
plus any administrative, processing or similar fees customarily charged by the Swing
Line Lender in connection with the foregoing. If such Revolving Credit Lender pays such
amount (with interest and fees as aforesaid), the amount so paid (other than such interest
and fees) shall constitute such Lender’s Revolving Credit Loan included in the relevant
Revolving Credit Borrowing or funded participation in the relevant Swing Line Loan, as the
case may be. A certificate of the Swing Line Lender submitted to any Revolving Credit
Lender (through the Administrative Agent) with respect to any amounts owing under this
clause (iii) shall be conclusive absent manifest error.

     (iv) Each Lender’s obligation to make Revolving Credit Loans or to purchase and fund
risk participations in Swing Line Loans pursuant to this Section 2.04(c) shall be
absolute and unconditional and shall not be affected by any circumstance, including (A) any
setoff, counterclaim, recoupment, defense or other right which such Lender may have against
the Swing Line Lender, the Company, any Subsidiary or any other Person for any reason
whatsoever, (B) the occurrence or continuance of a Default, or (C) any other occurrence,
event or condition, whether or not similar to any of the foregoing; provided,
however, that each Lender’s obligation to make Revolving Credit Loans pursuant to
this Section 2.04(c) is subject to the conditions set forth in Section 4.02.
No such funding of risk participations shall relieve or otherwise impair the obligation of
the Company and the other Borrowers to repay Swing Line Loans, together with interest as
provided herein.

     (d) Repayment of Participations.

     (i) At any time after any Revolving Credit Lender has purchased and funded a risk
participation in a Swing Line Loan, if the Swing Line Lender receives any payment on account
of such Swing Line Loan or interest thereon (whether directly from the Company or otherwise,
including proceeds of Cash Collateral applied thereto by the Administrative Agent), the
Swing Line Lender will distribute to such Revolving Credit Lender its Applicable Revolving
Credit Percentage of the Dollar Equivalent of such payment.

     (ii) If any payment received by the Swing Line Lender in respect of principal or
interest on any Swing Line Loan is required to be returned by the Swing Line Lender under
any of the circumstances described in Section 11.05 (including pursuant to any
settlement entered into by the Swing Line Lender in its discretion), each Revolving Credit
Lender shall pay to the Swing Line Lender its Applicable Revolving Credit Percentage of the
Dollar Equivalent thereof on demand of the Administrative Agent, plus interest
thereon from the date of such demand to the date such amount is returned, at a

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rate per annum equal to the applicable Overnight Rate. The Administrative Agent will
make such demand upon the request of the Swing Line Lender. The obligations of the
Revolving Credit Lenders under this clause shall survive the payment in full of the
Obligations and the termination of this Agreement.

     (e) Interest for Account of Swing Line Lender. The Swing Line Lender shall be
responsible for invoicing the Company for interest on the Swing Line Loans. Until each Lender
funds its Base Rate Loan or risk participation pursuant to this Section 2.04 to refinance
such Lender’s Applicable Revolving Credit Percentage of any Swing Line Loan, interest in respect
of such Applicable Revolving Credit Percentage shall be solely for the account of the Swing Line
Lender.

     (f) Payments Directly to Swing Line Lender. The Company shall make all payments of
principal and interest in respect of the Swing Line Loans directly to the Swing Line Lender.

     (g) Restrictions of Certain Alternative Currencies. Notwithstanding anything to the
Contrary contained herein, the Company and each other Borrower hereby acknowledge and agree that
any AC Swing Line Loan denominated in any currency other than Euro and Sterling shall be made at
the sole discretion and approval of the Swing Line Lender in all respects.

     (h) Defaulting Lender. If at any time there shall exist a Revolving Credit Lender
that is a Defaulting Lender, each Loan Party hereby agrees that the Swing Line Lender shall be
permitted, in its sole discretion, to retain such amount of any requested Swing Line Loan as may
be necessary to fully Cash Collateralize the then outstanding Fronting Exposure of the Swing Line
Lender with respect to such Defaulting Lender. The amount of any Swing Line Loan so retained by
the Swing Line Lender shall be deemed to be Cash Collateral provided by the Borrowers pursuant to
Section 2.14 and subject to the provisions thereof. In any such event, the Borrowers
shall be deemed to have received and the Swing Line Lender shall be deemed to have made, the
entire principal amount of the Swing Line Loan so requested, provided that only the portion not
retained by the Swing Line Lender as Cash Collateral shall actually be disbursed to the Borrowers.
Notwithstanding anything to the contrary contained in this Agreement, any portion of a Swing Line
Loan retained to cash collateralize Fronting Exposure of the Swing Line Lender shall (i) be made
as a Swing Line Loan in Dollars, (ii) bear interest at a rate per annum equal to the Base Rate
(excluding the Applicable Rate with respect thereto) and (iii) shall be excluded from the
determination the Consolidated Interest Coverage Ratio and the Consolidated Leverage Ratio.

     2.05. Prepayments.

     (a) Optional Prepayments of Term Loans and Revolving Credit Loans. Each Borrower
may, upon notice from the Company to the Administrative Agent, at any time or from time to time
voluntarily prepay Term Loans and Revolving Credit Loans in whole or in part without premium or
penalty; provided that (A) such notice must be received by the Administrative Agent not
later than 11:00 a.m. (1) three Business Days prior to any date of prepayment of Eurocurrency Rate
Loans denominated in Dollars, (2) three Business Days (or four, in the case of prepayment of Loans
denominated in Special Notice Currencies) prior to

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any date of prepayment of Eurocurrency Rate Loans denominated in Alternative Currencies, and
(3) on the date of prepayment of Base Rate Loans; (B) any prepayment of Eurocurrency Rate Loans
denominated in Dollars shall be in a minimum principal amount of $2,000,000 or a whole multiple of
$1,000,000 in excess thereof; (C) any prepayment of Eurocurrency Rate Loans denominated in
Alternative Currencies shall be in a minimum principal amount of $2,000,000 or a whole multiple of
$1,000,000 in excess thereof; (D) any prepayment of Base Rate Loans shall be in a principal amount
of $500,000 or a whole multiple of $100,000 in excess thereof or, in each case, if less, the
entire principal amount thereof then outstanding; and (E) if a notice of prepayment is given in
connection with a conditional notice of termination contemplated by Section 2.06(a), then
such notice of prepayment may be revoked if such notice of termination is revoked in accordance
with Section 2.06(a) (it being understood that the Company shall be responsible for the
payment of all amounts required pursuant to Section 3.05 in connection with any such
revocation and the failure to make any such prepayment on the date so specified). Each such
notice shall specify the date and amount of such prepayment and the Type(s) of Loans to be prepaid
and, if Eurocurrency Rate Loans are to be prepaid, the Interest Period(s) of such Loans. The
Administrative Agent will promptly notify each Lender of its receipt of each such notice, and of
the amount of such Lender’s ratable portion of such prepayment (based on such Lender’s Applicable
Percentage in respect of the relevant Facility). If such notice is given by the Company, the
applicable Borrower shall make such prepayment and the payment amount specified in such notice
shall be due and payable on the date specified therein. Any prepayment of a Eurocurrency Rate
Loan shall be accompanied by all accrued interest on the amount prepaid, together with any
additional amounts required pursuant to Section 3.05. Subject to Section 2.15(a),
each prepayment of the outstanding Term Loans pursuant to this Section 2.05(a) shall be
applied to the principal repayment installments thereof in inverse order of maturity, and each
such prepayment shall be paid to the Lenders in accordance with their respective Applicable
Percentage in respect of the Term Facility.

     (b) Optional Prepayments of Swing Line Loans. Each Borrower may, upon notice from
the Company to the Swing Line Lender (with a copy to the Administrative Agent), at any time or
from time to time, voluntarily prepay Swing Line Loans in whole or in part without premium or
penalty; provided that (i) such notice must be received by the Swing Line Lender and the
Administrative Agent not later than 1:00 p.m., in the case of any Swing Line Loans denominated in
Dollars, and not later than the Applicable Time specified by the Administrative Agent in the case
of any AC Swing Line Loan, on the date of the prepayment, (ii) any such prepayment shall be in a
minimum principal amount of $100,000 and (iii) if a notice of prepayment is given in connection
with a conditional notice of termination contemplated by Section 2.06(a), then such notice
of prepayment may be revoked if such notice of termination is revoked in accordance with
Section 2.06(a). Each such notice shall specify the date and amount of such prepayment.
If such notice is given by the Company, the applicable Borrower shall make such prepayment and the
payment amount specified in such notice shall be due and payable on the date specified therein.

     (c) Mandatory. If the Administrative Agent notifies the Company at any time that (i)
the Total Revolving Credit Outstandings at such time exceed an amount equal to 105% of the
Revolving Credit Facility then in effect, then, within three Business Days after receipt of such
notice, the Borrowers shall prepay Revolving Credit Loans, Swing Line Loans and/or the Company
shall Cash Collateralize the L/C Obligations in an aggregate amount sufficient to

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reduce the Total Revolving Credit Outstandings as of such date of payment to an amount not to
exceed 100% of the Revolving Credit Facility then in effect; provided, however,
that, subject to clause (ii) below and the provisions of Section 2.14(a), the Company
shall not be required to Cash Collateralize the L/C Obligations pursuant to this Section
2.05(c) unless after the prepayment in full of the Revolving Credit Loans and the Swing Line
Loans the Total Revolving Credit Outstandings exceed the Revolving Credit Facility then in effect
or (ii) the L/C Obligations at such time exceed an amount equal to 105% of the Letter of Credit
Sublimit then in effect, then, within three Business Days after receipt of such notice, the
Company shall Cash Collateralize the L/C Obligations in an aggregate amount sufficient to
eliminate such excess as of such date of provision of such Cash Collateral. The Administrative
Agent may, at any time and from time to time after the initial deposit of such Cash Collateral,
request that additional Cash Collateral be provided in accordance with this Section
2.05(c) in order to protect against the results of further exchange rate fluctuations.

     2.06. Termination or Reduction of Commitments. (a) Optional. The Company may, upon
notice to the Administrative Agent, terminate the Revolving Credit Facility, the Letter of Credit
Sublimit or the Swing Line Sublimit, or from time to time permanently reduce the Revolving Credit
Facility, the Letter of Credit Sublimit or the Swing Line Sublimit; provided that (i) any
such notice shall be received by the Administrative Agent not later than 11:00 a.m. three Business
Days prior to the date of termination or reduction, (ii) any such partial reduction shall be in an
aggregate amount of $5,000,000 or any whole multiple of $1,000,000 in excess thereof, (iii) the
Company shall not terminate or reduce (A) the Revolving Credit Facility if, after giving effect
thereto and to any concurrent prepayments hereunder, the Total Revolving Credit Outstandings would
exceed the Revolving Credit Facility, (B) the Letter of Credit Sublimit if, after giving effect
thereto, the Outstanding Amount of L/C Obligations not fully Cash Collateralized hereunder would
exceed the Letter of Credit Sublimit, or (C) the Swing Line Sublimit if, after giving effect
thereto, the Outstanding Amount of Swing Line Loans hereunder would exceed the Swing Line Sublimit
and (iv) a notice of termination under this Section 2.06(a) may state that such notice is
conditioned up on the effectiveness of other credit facilities, in which case such notice may be
revoked by the Company (by notice to the Administrative Agent on or prior to the specified
effective date) if such condition is not satisfied.

     (b) Mandatory. (i) The aggregate Closing Date Term Commitments shall be
automatically and permanently reduced to zero on the Closing Date upon the making of the Term
Loans to be made on the Closing Date.

     (ii) The aggregate Incremental Term Commitments shall be automatically and permanently
reduced to zero on the Term Loan Increase Effective Date applicable thereto upon the making
of such Incremental Term Loans.

     (iii) If after giving effect to any reduction or termination of Revolving Credit
Facility under this Section 2.06, the Letter of Credit Sublimit or the Swing Line
Sublimit exceeds the Revolving Credit Facility at such time, the Letter of Credit Sublimit
and/or the Swing Line Sublimit shall be automatically reduced by the amount of such excess.

     (c) Application of Commitment Reductions; Payment of Fees. The Administrative Agent
will promptly notify the Lenders of any termination or reduction of the Revolving Credit

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Facility, Swing Line Sublimit or the Letter of Credit Sublimit under this Section
2.06. Upon any reduction of the Revolving Credit Facility, the Revolving Credit Commitment of
each Revolving Credit Lender shall be reduced by such Lender’s Applicable Revolving Credit
Percentage of such reduction amount. All fees in respect of the Revolving Credit Facility accrued
until the effective date of any termination or reduction of the Revolving Credit Facility shall be
paid on the effective date of such termination or reduction.

     2.07. Repayment of Loans. (a) Term Loans. On the last Business Day of each March,
June, September and December (commencing September 30, 2011), the Borrowers shall repay the
principal amount of the Term Loans in installments equal to the Term Loan Amortization Amount
(which shall be reduced as a result of the application of prepayments in accordance with the order
of priority set forth in Section 2.05(a)); provided, however, that the
final principal repayment installment of the Term Loans shall be paid on the Maturity Date and in
any event shall be in an amount equal to the aggregate principal amount of all Term Loans
outstanding on such date.

     (b) Revolving Credit Loans. Each Borrower shall repay to the Revolving Credit
Lenders on the Maturity Date for the Revolving Credit Facility, the aggregate principal amount of
all Revolving Credit Loans made to such Borrower outstanding on such date.

     (c) Swing Line Loans. Each Borrower shall repay each Swing Line Loan made to such
Borrower on the earlier to occur of (i) the date ten Business Days after such Loan is made and
(ii) the Maturity Date.

     2.08. Interest. (a) Subject to the provisions of Section 2.08(b), (i) each
Eurocurrency Rate Loan shall bear interest on the outstanding principal amount thereof for each
Interest Period at a rate per annum equal to the Eurocurrency Rate for such Interest Period
plus the Applicable Rate for Eurocurrency Rate Loans plus (in the case of a
Eurocurrency Rate Loan of any Lender which is lent from a Lending Office in the United Kingdom or a
Participating Member State) the Mandatory Cost; (ii) each Base Rate Loan shall bear interest on the
outstanding principal amount thereof from the applicable borrowing date at a rate per annum equal
to the Base Rate plus the Applicable Rate for Base Rate Loans; (iii) subject to Section
2.04(h), each Swing Line Loan (other than any AC Swing Line Loan) shall bear interest on the
outstanding principal amount thereof from the applicable borrowing date at a rate per annum equal
to the Base Rate plus the Applicable Rate for Base Rate Loans; and (iv) each AC Swing Line
Loan shall bear interest on the outstanding principal amount thereof from the applicable borrowing
date at a rate per annum equal to the AC Swing Rate plus the Applicable Rate for
Eurocurrency Rate Loans plus (in the case of an AC Swing Line Loan of the Swing Line Lender
which is lent from a Lending Office in the United Kingdom or a Participating Member State) the
Mandatory Cost.

     (b) (i) If any amount of principal of any Loan is not paid when due (without regard to any
applicable grace periods), whether at stated maturity, by acceleration or otherwise, such amount
shall thereafter bear interest at a fluctuating interest rate per annum at all times equal to the
Default Rate to the fullest extent permitted by applicable Laws.

     (ii) If any amount (other than principal of any Loan) payable by any Borrower under any
Loan Document is not paid when due (without regard to any applicable grace

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periods), whether at stated maturity, by acceleration or otherwise, then upon the
request of the Required Lenders, such amount shall thereafter bear interest at a fluctuating
interest rate per annum at all times equal to the Default Rate to the fullest extent
permitted by applicable Laws.

     (iii) Upon the request of the Required Lenders, while any Event of Default exists, the
Borrowers shall pay interest on the principal amount of all outstanding Obligations
hereunder at a fluctuating interest rate per annum at all times equal to the Default Rate to
the fullest extent permitted by applicable Laws.

     (iv) Accrued and unpaid interest on past due amounts (including interest on past due
interest) shall be due and payable upon demand.

     (c) Interest on each Loan shall be due and payable in arrears on each Interest Payment Date
applicable thereto and at such other times as may be specified herein. Interest hereunder shall
be due and payable in accordance with the terms hereof before and after judgment, and before and
after the commencement of any proceeding under any Debtor Relief Law.

     2.09. Fees. In addition to certain fees described in Sections 2.03(i) and
(j):

     (a) Commitment Fee. The Company shall pay to the Administrative Agent for the
account of each Revolving Credit Lender in accordance with its Applicable Revolving Credit
Percentage, a commitment fee (the “Commitment Fee”) in Dollars equal to the Applicable
Rate for Commitment Fees times the actual daily amount by which the Revolving Credit
Facility exceeds the sum of (i) the Outstanding Amount of Revolving Credit Loans and (ii) the
Outstanding Amount of L/C Obligations, subject to adjustment as provided in Section 2.15.
The Commitment Fee shall accrue at all times during the Availability Period, including at any time
during which one or more of the conditions in Article IV is not met, and shall be due and
payable quarterly in arrears on the last Business Day of each March, June, September and December,
commencing with September 30, 2011, and on the last day of the Availability Period. The
Commitment Fee shall be calculated quarterly in arrears, and if there is any change in the
Applicable Rate during any quarter, the actual daily amount shall be computed and multiplied by
the Applicable Rate separately for each period during such quarter that such Applicable Rate was
in effect.

     (b) Other Fees. (i) The Company shall pay to MLPFS and the Administrative Agent for
their own respective accounts, in Dollars, fees in the amounts and at the times specified in the
Fee Letter. Such fees shall be fully earned when paid and shall not be refundable for any reason
whatsoever.

     (ii) The Company shall pay to the Arrangers (other than MLPFS), in Dollars, such fees as
shall have been separately agreed upon on or prior to the Closing Date in writing in
connection with this Agreement in the amounts and at the times so specified. Such fees
shall be fully earned when paid and shall not be refundable for any reason whatsoever.

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     2.10. Computation of Interest and Fees; Retroactive Adjustments of Applicable Rate.

     (a) All computations of interest for Base Rate Loans (including Base Rate Loans determined by
reference to the Eurocurrency Rate) shall be made on the basis of a year of 365 or 366 days, as
the case may be, and actual days elapsed. All other computations of fees and interest shall be
made on the basis of a 360-day year and actual days elapsed (which results in more fees or
interest, as applicable, being paid than if computed on the basis of a 365-day year), or, in the
case of interest in respect of Loans denominated in Alternative Currencies as to which market
practice differs from the foregoing, in accordance with such market practice. Interest shall
accrue on each Loan for the day on which the Loan is made, and shall not accrue on a Loan, or any
portion thereof, for the day on which the Loan or such portion is paid, provided that any
Loan that is repaid on the same day on which it is made shall, subject to Section 2.12(a),
bear interest for one day. Each determination by the Administrative Agent of an interest rate or
fee hereunder shall be prima facie evidence for all purposes, absent demonstrable error.

     (b) If, as a result of any restatement of or other adjustment to the financial statements of
the Company or for any other reason (other than a restatement of or adjustment to such financial
statements by reason of a required change in GAAP), the Company or the Lenders determine that (i)
the Consolidated Leverage Ratio as calculated by the Company as of any applicable date was
inaccurate and (ii) a proper calculation of the Consolidated Leverage Ratio would have resulted in
higher pricing for such period, the Company shall immediately and retroactively be obligated to
pay to the Administrative Agent for the account of the applicable Lenders or the L/C Issuer, as
the case may be, promptly on demand by the Administrative Agent (or, after the occurrence of an
actual or deemed entry of an order for relief with respect to the Company under the Bankruptcy
Code of the United States, automatically and without further action by the Administrative Agent,
any Lender or the L/C Issuer), an amount equal to the excess of the amount of interest and fees
that should have been paid for such period over the amount of interest and fees actually paid for
such period. This paragraph shall not limit the rights of the Administrative Agent, any Lender or
the L/C Issuer, as the case may be, under Section 2.03(i) or 2.08(b)or under
Article VIII. The Company’s obligations under this paragraph shall survive the
termination of the Aggregate Commitments and the repayment of all other Obligations hereunder for
the limited period ending one month following the date of the annual audited financial statements
of the Company and its Subsidiaries that include the period during which such termination and
repayment occurred.

     2.11. Evidence of Debt. (a) The Credit Extensions made by each Lender shall be evidenced by
one or more accounts or records maintained by such Lender and by the Administrative Agent in the
ordinary course of business. The accounts or records maintained by the Administrative Agent and
each Lender shall be conclusive absent manifest error of the amount of the Credit Extensions made
by the Lenders to the Borrowers and the interest and payments thereon. Any failure to so record or
any error in doing so shall not, however, limit or otherwise affect the obligation of the Borrowers
hereunder to pay any amount owing with respect to the Obligations. In the event of any conflict
between the accounts and records maintained by any Lender and the accounts and records of the
Administrative Agent in respect of such matters, the accounts and records of the Administrative
Agent shall control in the absence of manifest

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error. Upon the request of any Lender to a Borrower made through the Administrative Agent,
such Borrower shall execute and deliver to such Lender (through the Administrative Agent) a Note,
which shall evidence such Lender’s Loans to such Borrower in addition to such accounts or records.
Each Lender may attach schedules to a Note and endorse thereon the date, Type (if applicable),
amount, currency and maturity of its Loans and payments with respect thereto.

     (b) In addition to the accounts and records referred to in Section 2.11(a), each
Lender and the Administrative Agent shall maintain in accordance with its usual practice accounts
or records evidencing the purchases and sales by such Lender of participations in Letters of
Credit and Swing Line Loans. In the event of any conflict between the accounts and records
maintained by the Administrative Agent and the accounts and records of any Lender in respect of
such matters, the accounts and records of the Administrative Agent shall control in the absence of
manifest error.

     2.12. Payments Generally; Administrative Agent’s Clawback. (a) General. All payments
to be made by the Borrowers shall be made without condition or deduction for any counterclaim,
defense, recoupment or setoff. Except as otherwise expressly provided herein and except with
respect to principal of and interest on Loans denominated in an Alternative Currency, all payments
by the Borrowers hereunder shall be made to the Administrative Agent, for the account of the
respective Lenders to which such payment is owed, at the applicable Administrative Agent’s Office
in Dollars and in Same Day Funds not later than 2:00 p.m. on the date specified herein. Except as
otherwise expressly provided herein, all payments by the Borrowers hereunder with respect to
principal and interest on Loans denominated in an Alternative Currency shall be made to the
Administrative Agent, for the account of the respective Lenders to which such payment is owed, at
the applicable Administrative Agent’s Office in such Alternative Currency and in Same Day Funds not
later than the Applicable Time specified by the Administrative Agent on the dates specified herein.
Without limiting the generality of the foregoing, the Administrative Agent may require that any
payments due under this Agreement be made in the United States. If, for any reason, any Borrower
is prohibited by any Law from making any required payment hereunder in an Alternative Currency,
such Borrower shall make such payment in Dollars for the Dollar Equivalent of the Alternative
Currency payment amount. The Administrative Agent will promptly distribute to each Lender its
Applicable Percentage in respect of the relevant Facility (or other applicable share as provided
herein) of such payment in like funds as received by wire transfer to such Lender’s Lending Office.
All payments received by the Administrative Agent (i) after 2:00 p.m., in the case of payments in
Dollars, or (ii) after the Applicable Time specified by the Administrative Agent in the case of
payments in an Alternative Currency, shall in each case be deemed received on the next succeeding
Business Day and any applicable interest or fee shall continue to accrue. If any payment to be
made by any Borrower shall come due on a day other than a Business Day, payment shall be made on
the next following Business Day, and such extension of time shall be reflected in computing
interest or fees, as the case may be.

     (b) (i) Funding by Lenders; Presumption by Administrative Agent. Unless the
Administrative Agent shall have received notice from a Lender prior to the proposed date of any
Borrowing of Eurocurrency Rate Loans (or, in the case of any Borrowing of Base Rate Loans, prior
to 12:00 noon on the date of such Borrowing) that such Lender will not make available to the
Administrative Agent such Lender’s share of such Borrowing, the

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Administrative Agent may assume that such Lender has made such share available on such date
in accordance with Section 2.02 (or, in the case of a Borrowing of Base Rate Loans, that
such Lender has made such share available in accordance with and at the time required by
Section 2.02) and may, in reliance upon such assumption, make available to the applicable
Borrower a corresponding amount. In such event, if a Lender has not in fact made its share of the
applicable Borrowing available to the Administrative Agent, then the applicable Lender and the
applicable Borrower severally agree to pay to the Administrative Agent forthwith on demand such
corresponding amount in Same Day Funds with interest thereon, for each day from and including the
date such amount is made available to such Borrower to but excluding the date of payment to the
Administrative Agent, at (A) in the case of a payment to be made by such Lender, the Overnight
Rate, plus any administrative, processing or similar fees customarily charged by the
Administrative Agent in connection with the foregoing, and (B) in the case of a payment to be made
by such Borrower, the interest rate applicable to Base Rate Loans. If such Borrower and such
Lender shall pay such interest to the Administrative Agent for the same or an overlapping period,
the Administrative Agent shall promptly remit to such Borrower the amount of such interest paid by
such Borrower for such period. If such Lender pays its share of the applicable Borrowing to the
Administrative Agent, then the amount so paid shall constitute such Lender’s Loan included in such
Borrowing. Any payment by such Borrower shall be without prejudice to any claim such Borrower may
have against a Lender that shall have failed to make such payment to the Administrative Agent.

     (ii) Payments by Borrowers; Presumptions by Administrative Agent. Unless the
Administrative Agent shall have received notice from a Borrower prior to the date on which
any payment is due to the Administrative Agent for the account of the Lenders or the L/C
Issuer hereunder that such Borrower will not make such payment, the Administrative Agent may
assume that such Borrower has made such payment on such date in accordance herewith and may,
in reliance upon such assumption, distribute to the Appropriate Lenders or the L/C Issuer,
as the case may be, the amount due. In such event, if such Borrower has not in fact made
such payment, then each of the Appropriate Lenders or the L/C Issuer, as the case may be,
severally agrees to repay to the Administrative Agent forthwith on demand the amount so
distributed to such Lender or the L/C Issuer, in Same Day Funds with interest thereon, for
each day from and including the date such amount is distributed to it to but excluding the
date of payment to the Administrative Agent, at the Overnight Rate.

     A notice of the Administrative Agent to any Lender or any Borrower with respect to any amount
owing under this subsection (b) shall be conclusive, absent manifest error.

     (c) [Reserved].

     (d) Failure to Satisfy Conditions Precedent. If any Lender makes available to the
Administrative Agent funds for any Loan to be made by such Lender to any Borrower as provided in
the foregoing provisions of this Article II, and such funds are not made available to such
Borrower by the Administrative Agent because the conditions to the applicable Credit Extension set
forth in Article IV are not satisfied or waived in accordance with the terms hereof, the
Administrative Agent shall return such funds (in like funds as received from such Lender) to such
Lender, without interest.

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     (e) Obligations of Lenders Several. The obligations of the Lenders hereunder to make
Term Loans and Revolving Credit Loans, to fund participations in Letters of Credit and Swing Line
Loans and to make payments pursuant to Section 11.04(c) are several and not joint. The
failure of any Lender to make any Loan, to fund any such participation or to make any payment
under Section 11.04(c) on any date required hereunder shall not relieve any other Lender
of its corresponding obligation to do so on such date, and no Lender shall be responsible for the
failure of any other Lender to so make its Loan, to purchase its participation or to make its
payment under Section 11.04(c).

     (f) Funding Source. Nothing herein shall be deemed to obligate any Lender to obtain
the funds for any Loan in any particular place or manner or to constitute a representation by any
Lender that it has obtained or will obtain the funds for any Loan in any particular place or
manner.

     (g) Insufficient Funds. If at any time insufficient funds are received by and
available to the Administrative Agent to pay fully all amounts of principal, L/C Borrowings,
interest and fees then due hereunder, such funds shall be applied (i) first, toward
payment of interest and fees then due hereunder, ratably among the parties entitled thereto in
accordance with the amounts of interest and fees then due to such parties, and (ii)
second, toward payment of principal and L/C Borrowings then due hereunder, ratably among
the parties entitled thereto in accordance with the amounts of principal and L/C Borrowings then
due to such parties.

     2.13. Sharing of Payments by Lenders. If any Lender shall, by exercising any right of setoff
or counterclaim or otherwise, obtain payment in respect of (a) Obligations in respect of any the
Facilities due and payable to such Lender hereunder and under the other Loan Documents at such time
in excess of its ratable share (according to the proportion of (i) the amount of such Obligations
due and payable to such Lender at such time to (ii) the aggregate amount of the Obligations in
respect of the Facilities due and payable to all Lenders hereunder and under the other Loan
Documents at such time) of payments on account of the Obligations in respect of the Facilities due
and payable to all Lenders hereunder and under the other Loan Documents at such time obtained by
all the Lenders at such time or (b) Obligations in respect of any of the Facilities owing (but not
due and payable) to such Lender hereunder and under the other Loan Documents at such time in excess
of its ratable share (according to the proportion of (i) the amount of such Obligations owing (but
not due and payable) to such Lender at such time to (ii) the aggregate amount of the Obligations in
respect of the Facilities owing (but not due and payable) to all Lenders hereunder and under the
other Loan Documents at such time) of payment on account of the Obligations in respect of the
Facilities owing (but not due and payable) to all Lenders hereunder and under the other Loan
Documents at such time obtained by all of the Lenders at such time then the Lender receiving such
greater proportion shall (a) notify the Administrative Agent of such fact, and (b) purchase (for
cash at face value) participations in the Loans and subparticipations in L/C Obligations and Swing
Line Loans of the other Lenders, or make such other adjustments as shall be equitable, so that the
benefit of all such payments shall be shared by the Lenders ratably in accordance with the
aggregate amount of Obligations in respect of the Facilities then due and payable to the Lenders or
owing (but not due and payable) to the Lenders, as the case may be, provided that:

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     (i) if any such participations or subparticipations are purchased and all or any
portion of the payment giving rise thereto is recovered, such participations or
subparticipations shall be rescinded and the purchase price restored to the extent of such
recovery, without interest; and

     (ii) the provisions of this Section shall not be construed to apply to (w) any payment
made by or on behalf of a Borrower pursuant to and in accordance with the express terms of
this Agreement (including the application of funds arising from the existence of a
Defaulting Lender), (x) the application of Cash Collateral provided for in Section
2.14, or (y) any payment obtained by a Lender as consideration for the assignment of or
sale of a participation in any of its Loans or subparticipations in L/C Obligations or Swing
Line Loans to any assignee or participant, other than an assignment to the Company or any
Affiliate thereof (as to which the provisions of this Section shall apply), or (z) any
payment of consideration for executing any amendment, waiver or consent in connection with
this Agreement so long as such consideration has been offered to all consenting Lenders.

     Each Loan Party consents to the foregoing and agrees, to the extent it may effectively do so
under applicable law, that any Lender acquiring a participation pursuant to the foregoing
arrangements may exercise against such Loan Party rights of setoff and counterclaim with respect to
such participation as fully as if such Lender were a direct creditor of such Loan Party in the
amount of such participation.

     2.14. Cash Collateral.

     (a) Certain Credit Support Events. Upon the request of the Administrative Agent or
the L/C Issuer (i) if the L/C Issuer has honored any full or partial drawing request under any
Letter of Credit and such drawing has resulted in an L/C Borrowing, or (ii) if, as of the Letter
of Credit Expiration Date, any L/C Obligation for any reason remains outstanding, the Borrowers
shall, in each case, immediately Cash Collateralize the then Outstanding Amount of all L/C
Obligations. At any time that there shall exist a Revolving Credit Lender that is a Defaulting
Lender, immediately upon the request of the Administrative Agent, the L/C Issuer or the Swing Line
Lender, the Borrowers shall deliver to the Administrative Agent Cash Collateral in an amount
sufficient to cover all Fronting Exposure (after giving effect to Section 2.15(a)(iv) and
any Cash Collateral provided by such Defaulting Lender) (it being understood that the
Administrative Agent may, at any time and from time to time after the initial deposit of Cash
Collateral, request that additional Cash Collateral be provided in accordance with this
Section 2.14(a) in order to protect against the results of exchange rate fluctuations).

     (b) Grant of Security Interest. All Cash Collateral (other than credit support not
constituting funds subject to deposit) shall be maintained in blocked, non-interest bearing
deposit accounts at Bank of America. Each Borrower, and to the extent provided by any Revolving
Credit Lender, such Revolving Credit Lender, will grant to (and subjects to the control of) the
Administrative Agent, for the benefit of the Administrative Agent, the L/C Issuer and the
Revolving Credit Lenders (including the Swing Line Lender), and will agree to maintain, a first
priority security interest in all such cash, deposit accounts and all balances therein, and all
other property so provided as collateral pursuant hereto, and in all proceeds of

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the foregoing, all as security for the obligations to which such Cash Collateral may be
applied pursuant to Section 2.14(c). If at any time the Administrative Agent determines
that Cash Collateral is subject to any right or claim of any Person other than the Administrative
Agent as herein provided, or that the total amount of such Cash Collateral is less than the
applicable Fronting Exposure and other obligations secured thereby, the Borrowers or the relevant
Defaulting Lender will, promptly upon demand by the Administrative Agent, pay or provide to the
Administrative Agent additional Cash Collateral in an amount sufficient to eliminate such
deficiency.

     (c) Application. Notwithstanding anything to the contrary contained in this
Agreement (except for and subject to Section 2.14(d)), Cash Collateral provided under any
of this Section 2.14 or Sections 2.03, 2.04, 2.05, 2.15 or
8.02 in respect of Letters of Credit or Swing Line Loans shall be held and applied to the
satisfaction of the specific L/C Obligations, or Swing Line Loans, obligations to fund
participations therein (including, as to Cash Collateral provided by a Defaulting Lender, any
interest accrued on such obligation) and other obligations for which the Cash Collateral was so
provided, prior to any other application of such property as may be provided for herein.

     (d) Release. Cash Collateral (or the appropriate portion thereof) provided to reduce
Fronting Exposure or other obligations shall be released promptly following (i) the elimination of
the applicable Fronting Exposure or other obligations giving rise thereto (including by the
termination of Defaulting Lender status of the applicable Revolving Credit Lender (or, as
appropriate, its assignee following compliance with Section 11.06(b)(vi))) or (ii) the
Administrative Agent’s good faith determination that there exists excess Cash Collateral;
provided, however, (x) that Cash Collateral furnished by or on behalf of a Loan
Party shall not be released during the continuance of a Default or Event of Default (and following
application as provided in this Section 2.14 may be otherwise applied in accordance with
Section 8.03), and (y) the Person providing Cash Collateral and the L/C Issuer or Swing
Line Lender, as applicable, may agree that Cash Collateral shall not be released but instead held
to support future anticipated Fronting Exposure or other obligations.

     2.15. Defaulting Lenders.

     (a) Adjustments. Notwithstanding anything to the contrary contained in this
Agreement, if any Lender becomes a Defaulting Lender, then, until such time as that Lender is no
longer a Defaulting Lender, to the extent permitted by applicable Law:

     (i) Waivers and Amendments. That Defaulting Lender’s right to approve or
disapprove any amendment, waiver or consent with respect to this Agreement shall be
restricted as set forth in Section 11.01.

     (ii) Reallocation of Payments. Any payment of principal, interest, fees or
other amounts received by the Administrative Agent for the account of that Defaulting Lender
(whether voluntary or mandatory, at maturity, pursuant to Article VIII or otherwise,
and including any amounts made available to the Administrative Agent by that Defaulting
Lender pursuant to Section 11.08), shall be applied at such time or times as may be
determined by the Administrative Agent as follows: first, to the payment of any

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amounts owing by that Defaulting Lender to the Administrative Agent hereunder; second,
to the payment on a pro rata basis of any amounts owing by that Defaulting Lender to the L/C
Issuer or Swing Line Lender hereunder; third, if so determined by the Administrative Agent
or requested by the L/C Issuer or Swing Line Lender, to be held as Cash Collateral for
future funding obligations of that Defaulting Lender of any participation in any Swing Line
Loan or Letter of Credit; fourth, as the Company may request (so long as no Default or Event
of Default exists), to the funding of any Loan in respect of which that Defaulting Lender
has failed to fund its portion thereof as required by this Agreement, as determined by the
Administrative Agent; fifth, if so determined by the Administrative Agent and the Company,
to be held in a non-interest bearing deposit account and released in order to satisfy
obligations of that Defaulting Lender to fund Loans under this Agreement; sixth, to the
payment of any amounts owing to the Lenders, the L/C Issuer or Swing Line Lender as a result
of any judgment of a court of competent jurisdiction obtained by any Lender, the L/C Issuer
or Swing Line Lender against that Defaulting Lender as a result of that Defaulting Lender’s
breach of its obligations under this Agreement; seventh, to the payment of any amounts owing
to any Borrower as a result of any judgment of a court of competent jurisdiction obtained by
such Borrower against that Defaulting Lender as a result of that Defaulting Lender’s breach
of its obligations under this Agreement; and eighth, to that Defaulting Lender or as
otherwise directed by a court of competent jurisdiction; provided that if (x) such
payment is a payment of the principal amount of any Loans or L/C Borrowings in respect of
which that Defaulting Lender has not fully funded its appropriate share and (y) such Loans
or L/C Borrowings were made at a time when the conditions set forth in Section 4.02
were satisfied or waived, such payment shall be applied solely to pay the Loans of, and L/C
Borrowings owed to, all non-Defaulting Lenders on a pro rata basis prior to being applied to
the payment of any Loans of, or L/C Borrowings owed to, that Defaulting Lender. Any
payments, prepayments or other amounts paid or payable to a Defaulting Lender that are
applied (or held) to pay amounts owed by a Defaulting Lender or to post Cash Collateral
pursuant to this Section 2.15(a)(ii) shall be deemed paid to and redirected by that
Defaulting Lender, and each Lender irrevocably consents hereto.

     (iii) Certain Fees. That Defaulting Lender (x) shall not be entitled to
receive any Commitment Fee pursuant to Section 2.09(a) for any period during which
that Lender is a Defaulting Lender (and the Company shall not be required to pay any such
fee that otherwise would have been required to have been paid to that Defaulting Lender) and
(y) shall be limited in its right to receive Letter of Credit Fees as provided in
Section 2.03(i).

     (iv) Reallocation of Applicable Revolving Credit Percentages to Reduce Fronting
Exposure. During any period in which there is a Revolving Credit Lender that is a
Defaulting Lender, for purposes of computing the amount of the obligation of each
non-Defaulting Lender to acquire, refinance or fund participations in Letters of Credit or
Swing Line Loans pursuant to Sections 2.03 and 2.04, the “Applicable
Revolving Credit Percentage” of each non-Defaulting Lender shall be computed without giving
effect to the Revolving Credit Commitment of that Defaulting Lender; provided, that,
(i) each such reallocation shall be given effect only if, at the date the applicable Lender
becomes a Defaulting Lender, no Default or Event of Default exists; and (ii) the aggregate
obligation

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of each non-Defaulting Lender to acquire, refinance or fund participations in Letters
of Credit and Swing Line Loans shall not exceed the positive difference, if any, of (1) the
Revolving Credit Commitment of that non-Defaulting Lender minus (2) the aggregate
Outstanding Amount of the Revolving Credit Loans of that Revolving Credit Lender.

     (b) Defaulting Lender Cure. If the Company, the Administrative Agent, and in the case
of the Revolving Credit Lender that is a Defaulting Lender, the Swing Line Lender and the L/C
Issuer, agree in writing in their sole discretion that a Defaulting Lender should no longer be
deemed to be a Defaulting Lender, the Administrative Agent will so notify the parties hereto,
whereupon as of the effective date specified in such notice and subject to any conditions set forth
therein (which may include arrangements with respect to any Cash Collateral), that Lender will, to
the extent applicable, purchase that portion of outstanding Loans of the other Lenders or take such
other actions as the Administrative Agent may determine to be necessary to cause the Loans and
funded and unfunded participations in Letters of Credit and Swing Line Loans to be held on a pro
rata basis by the Lenders in accordance with their Applicable Percentages (without giving effect to
Section 2.15(a)(iv)), whereupon that Lender will cease to be a Defaulting Lender; provided
that no adjustments will be made retroactively with respect to fees accrued or payments made by or
on behalf of any Borrower while that Lender was a Defaulting Lender; and provided,
further, that except to the extent otherwise expressly agreed by the affected parties, no
change hereunder from Defaulting Lender to Lender will constitute a waiver or release of any claim
of any party hereunder arising from that Lender’s having been a Defaulting Lender.

     2.16. Designated Borrowers.

     (a) Effective as of the date hereof Parexel International Holding, B.V., a private company
with limited liability (besloten vennootschap met beperkte aansprakelijkheid) organized under the
laws of the Netherlands, shall be a “Designated Borrower” hereunder and may receive Loans for its
account on the terms and conditions set forth in this Agreement.

     (b) The Company may at any time, upon not less than 10 Business Days’ notice from the Company
to the Administrative Agent (or such shorter period as may be agreed by the Administrative Agent
in its sole discretion), designate any one or more additional Subsidiaries of the Company (an
“Applicant Borrower”) as a Designated Borrower to receive Loans hereunder by delivering to
the Administrative Agent (which shall promptly deliver counterparts thereof to each Lender) a duly
executed notice and agreement in substantially the form of Exhibit G (a “Designated
Borrower Request and Assumption Agreement”). The parties hereto acknowledge and agree that
prior to any Applicant Borrower becoming entitled to utilize the credit facilities provided for
herein the Administrative Agent and the Lenders shall have received such supporting resolutions,
incumbency certificates, opinions of counsel and other documents or information, in form, content
and scope reasonably satisfactory to the Administrative Agent, as may be required by the
Administrative Agent or the Required Lenders in their reasonable discretion, and Notes signed by
such new Borrowers to the extent any Lenders so require. If the Administrative Agent and the
Required Lenders agree that an Applicant Borrower shall be entitled to receive Loans hereunder,
then promptly following receipt of all such requested resolutions, incumbency certificates,
opinions of counsel and other documents or information, the Administrative Agent shall send a
notice in substantially the form of Exhibit H (a “Designated Borrower Notice”) to
the Company and the Lenders

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specifying the effective date upon which the Applicant Borrower shall constitute a Designated
Borrower for purposes hereof, whereupon each of the Lenders agrees to permit such Designated
Borrower to receive Loans hereunder, on the terms and conditions set forth herein, and each of the
parties agrees that such Designated Borrower otherwise shall be a Borrower for all purposes of
this Agreement; provided that no Committed Loan Notice or Letter of Credit Application may
be submitted by or on behalf of such Designated Borrower until the date five Business Days after
such effective date; and provided further, that effective as of the date hereof,
the Administrative Agent and the Required Lenders agree that each of the Subsidiaries listed on
Schedule 5.12 may become a “Designated Borrower” pursuant hereto (subject to satisfaction
of the other conditions set forth in this Section 2.16) without any requirement of further
consent from the Required Lenders or the Administrative Agent so long as such Subsidiary is either
a Domestic Subsidiary or a Subsidiary organized under the laws of the United Kingdom, the
Netherlands, or a jurisdiction in which each Lender is permitted under applicable Law to make
Loans and other Credit Extensions to such Subsidiary in accordance with the terms of this
Agreement and the other Loan Documents.

     (c) The Obligations of the Company and each Designated Borrower that is a Domestic Subsidiary
shall be joint and several in nature. The Obligations of all Designated Borrowers that are
Foreign Subsidiaries shall be several in nature.

     (d) Each Subsidiary of the Company that is or becomes a “Designated Borrower” pursuant to
this Section 2.16 hereby irrevocably appoints the Company as its agent for all purposes
relevant to this Agreement and each of the other Loan Documents, including (i) the giving and
receipt of notices, (ii) the execution and delivery of all documents, instruments and certificates
contemplated herein and all modifications hereto, and (iii) the receipt of the proceeds of any
Loans made by the Lenders to any such Designated Borrower hereunder. Any acknowledgment, consent,
direction, certification or other action which might otherwise be valid or effective only if given
or taken by all Borrowers, or by each Borrower acting singly, shall be valid and effective if
given or taken only by the Company, whether or not any such other Borrower joins therein. Any
notice, demand, consent, acknowledgement, direction, certification or other communication
delivered to the Company in accordance with the terms of this Agreement shall be deemed to have
been delivered to each Designated Borrower.

     (e) The Company may from time to time, upon not less than 10 Business Days’ notice from the
Company to the Administrative Agent (or such shorter period as may be agreed by the Administrative
Agent in its sole discretion), terminate a Designated Borrower’s status as such, provided that
there are no outstanding Loans payable by such Designated Borrower, or other amounts payable by
such Designated Borrower on account of any Loans made to it, as of the effective date of such
termination. The Administrative Agent will promptly notify the Lenders of any such termination of
a Designated Borrower’s status and shall execute such instruments or agreements reasonably
requested by the Company evidencing such release.

     2.17. Increase in Revolving Credit Facility.

     (a) Request for Increase. Provided there exists no Default or Event of Default, upon
notice to the Administrative Agent (which shall promptly notify the Revolving Credit Lenders), the
Company may, not more than four (4) times (including all such requests made pursuant to

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Section 2.18(a) below) after the Closing Date over the term of this Agreement,
request an increase in the Revolving Credit Facility by an aggregate amount (for all such
requests) not to exceed $100,000,000; provided that (i) in no event shall the Revolving
Credit Facility (after giving effect to all requested increases therein) exceed $400,000,000 and
(ii) in no event shall the aggregate amount of increases in respect of the Revolving Credit
Facility effected under this Section 2.17(a), plus the aggregate amount of
increases in respect of the Term Facility effected under Section 2.18(a) exceed
$100,000,000. At the time of sending such notice, the Company (in consultation with the
Administrative Agent) shall specify the time period within which each Revolving Credit Lender is
requested to respond (which shall in no event be less than ten Business Days from the date of
delivery of such notice to the Revolving Credit Lenders).

     (b) Lender Elections to Increase. Each Revolving Credit Lender shall notify the
Administrative Agent within such time period whether or not it agrees to increase its Revolving
Credit Commitment and, if so, whether by an amount equal to, greater than, or less than its
Applicable Revolving Credit Percentage of such requested increase. Any Revolving Credit Lender
not responding within such time period shall be deemed to have declined to increase its Revolving
Credit Commitment.

     (c) Notification by Administrative Agent; Additional Revolving Credit Lenders. The
Administrative Agent shall notify the Company and each Revolving Credit Lender of the Revolving
Credit Lenders’ responses to each request made hereunder. To achieve the full amount of a
requested increase, and subject to the approval of the Administrative Agent, the Swing Line Lender
and the L/C Issuer (which approvals shall not be unreasonably withheld), the Company may also
invite additional Eligible Assignees, or any other Person (other than the Company or any Affiliate
of the Borrower) reasonably acceptable to the Administrative Agent, the Swing Line Lender and the
L/C Issuer (together with any existing Revolving Credit Lender participating in any such increase,
each, an “Increasing Revolving Credit Lender”) to become Revolving Credit Lenders pursuant
to a joinder agreement in form and substance reasonably satisfactory to the Administrative Agent
and its counsel.

     (d) Effective Date and Allocations. If the Revolving Credit Facility is increased in
accordance with this Section, the Administrative Agent and the Company shall determine (i) the
final allocation of such increase among Increasing Revolving Credit Lenders and Schedule
2.01 shall be automatically updated to reflect the same and (ii) the effective date (the
“Revolving Credit Increase Effective Date”) of any such increase. The Administrative
Agent shall promptly notify the Company and the Revolving Credit Lenders of the final allocation
of such increase and the Revolving Credit Increase Effective Date.

     (e) Conditions to Effectiveness of Increase. As a condition precedent to such
increase, the Company shall deliver to the Administrative Agent a certificate of each Loan Party
dated as of the Revolving Credit Increase Effective Date signed by a Responsible Officer of such
Loan Party (i) certifying and attaching the resolutions adopted by such Loan Party approving or
consenting to such increase, and (ii) in the case of the Company, certifying that, before and
after giving effect to such increase, (A) the representations and warranties contained in
Article V and the other Loan Documents are true and correct on and as of the Revolving
Credit Increase Effective Date, except to the extent that such representations and warranties
specifically refer to an earlier date, in which case they are true and correct as of such earlier

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date, and except that for purposes of this Section 2.17, the representations and
warranties contained in subsections (a) and (b) of Section 5.04 shall be deemed to refer
to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of
Section 6.01, (B) the Company shall be in pro forma compliance with each of the financial
covenants set forth in Section 7.11 after giving effect to any such increase and (C) no
Default or Event of Default exists. The Borrowers shall prepay any Revolving Credit Loans
outstanding on the Revolving Credit Increase Effective Date (and pay any additional amounts
required pursuant to Section 3.05) to the extent necessary to keep the outstanding
Revolving Credit Loans ratable with any revised Applicable Revolving Credit Percentages arising
from any nonratable increase in the Revolving Credit Commitments under this Section.

     (f) Term of Increase. Any incremental Revolving Credit Loans made pursuant to any
increase in the Revolving Credit Facility shall be made on the same terms (including, without
limitation, interest terms, payment terms and maturity terms), and shall be subject to the same
conditions as existing Revolving Credit Loans (it being understood that customary arrangement or
commitment fees payable to one or more Arrangers (or their Affiliates) or one or more Increasing
Revolving Credit Lenders, as the case may be, may be different than those paid with respect to the
Lenders under the Revolving Credit Facility on or prior to the Closing Date or with respect to any
other Increasing Revolving Credit Lender in connection with any other increase in the Revolving
Credit Facility pursuant to this Section 2.17).

     (g) Conflicting Provisions. This Section shall supersede any provisions in
Section 2.13 or 11.01 to the contrary.

     2.18. Increase in Term Facility.

     (a) Request for Increase. Provided there exists no Default or Event of Default, upon
notice to the Administrative Agent (which shall promptly notify the Term Lenders), the Company
may, not more than four (4) times (including all such requests made pursuant to Section
2.17(a) above) after the Closing Date over the term of this Agreement, request an increase in
the Term Facility by an aggregate amount (for all such requests) not to exceed $100,000,000;
provided that (i) in no event shall the Term Facility (after giving effect to all
requested increases therein) exceed an amount equal to $200,000,000 and (ii) in no event shall the
aggregate amount of increases in respect of the Term Facility effected under this Section
2.18(a), plus the aggregate amount of increases in respect of the Revolving Credit
Facility effected under Section 2.17(a) exceed $100,000,000. At the time of sending such
notice, the Company (in consultation with the Administrative Agent) shall specify the time period
within which each Term Lender is requested to respond (which shall in no event be less than ten
Business Days from the date of delivery of such notice to the Term Lenders).

     (b) Lender Elections to Increase. Each Term Lender shall notify the Administrative
Agent within such time period whether or not it agrees to participate in such increase in the Term
Facility and, if so, whether by an amount equal to, greater than, or less than its Applicable
Percentage of such requested increase. Any Term Lender not responding within such time period
shall be deemed to have declined to participate in such increase in the Term Facility.

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     (c) Notification by Administrative Agent; Additional Term Lenders. The
Administrative Agent shall notify the Company and each Term Lender of the Term Lenders’ responses
to each request made hereunder. To achieve the full amount of a requested increase, and subject
to the approval of the Administrative Agent (which approval shall not be unreasonably withheld),
the Company may also invite additional Eligible Assignees or any other Person (other than the
Company or any Affiliate of the Borrower) reasonably acceptable to the Administrative Agent
(together with any existing Term Lender participating in any such increase, each, an
“Increasing Term Lender”) to become Term Lenders pursuant to a joinder agreement in form
and substance reasonably satisfactory to the Administrative Agent and its counsel.

     (d) Effective Date and Allocations. If the Term Facility is increased in accordance
with this Section, the Administrative Agent and the Borrowers shall determine (i) the final
allocation of such increase among Increasing Term Lenders and Schedule 2.01 shall be
automatically updated to reflect the same and (ii) the effective date (the “Term Loan Increase
Effective Date”) of any such increase. The Administrative Agent shall promptly notify the
Company and the Term Lenders of the final allocation of such increase and the Term Loan Increase
Effective Date.

     (e) Conditions to Effectiveness of Increase. As a condition precedent to such
increase, the Company shall deliver to the Administrative Agent a certificate of each Loan Party
dated as of the Term Loan Increase Effective Date signed by a Responsible Officer of such Loan
Party (i) certifying and attaching the resolutions adopted by such Loan Party approving or
consenting to such increase, and (ii) in the case of the Company, certifying that, before and
after giving effect to such increase, (A) the representations and warranties contained in
Article V and the other Loan Documents are true and correct on and as of the Term Loan
Increase Effective Date, except to the extent that such representations and warranties
specifically refer to an earlier date, in which case they are true and correct as of such earlier
date, and except that for purposes of this Section 2.18, the representations and
warranties contained in subsections (a) and (b) of Section 5.04 shall be deemed to refer
to the most recent statements furnished pursuant to clauses (a) and (b), respectively, of
Section 6.01, (B) the Company shall be in pro forma compliance with each of the financial
covenants set forth in Section 7.11 after giving effect to any such increase and (C) no
Default exists.

     (f) Term of Increase. Any Incremental Term Loans made pursuant to any increase in
the Term Facility shall be made on the same terms (including, without limitation, interest terms,
payment terms and maturity terms), and shall be subject to the same conditions as existing Term
Loans (it being understood that customary arrangement or commitment fees payable to one or more
arrangers (or their affiliates) or one or more Increasing Term Lenders, as the case may be, may be
different than those paid with respect to the Lenders under the Term Facility on or prior to the
Closing Date or with respect to any other Increasing Term Lender in connection with any other
increase in the Term Facility pursuant to this Section 2.18) provided,
however, that at the election of the Company the Incremental Term Loans may be implemented
through additional new tranches of term loans instead of being implemented as an increase in the
existing Term Facility with (i) a final maturity date occurring later than the Maturity Date for
the existing Term Facility, (ii) a longer weighted average life to maturity of the Incremental
Term Loans than the weighted average life to maturity of the existing Term Loans, (iii) interest

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rates and amortization schedules applicable to the Incremental Term Loans determined by
the Company and the Increasing Term Lenders, and (iv) with such other changes as may be approved
by the Required Lenders.

     (g) Conflicting Provisions. This Section shall supersede any provisions in
Section 2.13 or 11.01 to the contrary. Notwithstanding any other provision of any
Loan Document to the contrary, the Loan Documents may be amended by the Administrative Agent, the
Company and the applicable Increasing Term Lenders to provide for terms applicable to each
Incremental Term Loan in accordance with the terms set forth in Section 2.18(f) as the
Company and the Administrative Agent shall deem necessary or advisable to reflect the
establishment of any such new tranche of Incremental Term Loans. The Incremental Term Loans shall
in all cases rank pari passu in right of payment with the Revolving Credit Loans and the existing
Term Loans

ARTICLE III.

TAXES, YIELD PROTECTION AND ILLEGALITY

     3.01. Taxes. (a) Payments Free of Taxes; Obligation to Withhold; Payments on Account of
Taxes. (i) Any and all payments by or on account of any obligation of the respective Borrowers
hereunder or under any other Loan Document shall to the extent permitted by applicable Laws be made
free and clear of and without reduction or withholding for any Taxes. If, however, applicable Laws
require any Borrower or the Administrative Agent to withhold or deduct any Tax, such Tax shall be
withheld or deducted in accordance with such Laws as determined by such Borrower or the
Administrative Agent, as the case may be, upon the basis of the information and documentation to be
delivered pursuant to subsection (e) below.

     (ii) If any Borrower or the Administrative Agent shall be required by the Code to
withhold or deduct any Taxes, including both United States Federal backup withholding and
withholding taxes, from any payment, then (A) the Administrative Agent shall withhold or
make such deductions as are determined by the Administrative Agent to be required based upon
the information and documentation it has received pursuant to subsection (e) below, (B) the
Administrative Agent shall timely pay the full amount withheld or deducted to the relevant
Governmental Authority in accordance with the Code, and (C) to the extent that the
withholding or deduction is made on account of Indemnified Taxes or Other Taxes, the sum
payable by such Borrower shall be increased as necessary so that after any required
withholding or the making of all required deductions with respect to Indemnified Taxes or
Other Taxes (including deductions with respect to Indemnified Taxes or Other Taxes
applicable to additional sums payable under this Section) the Administrative Agent, Lender
or L/C Issuer, as the case may be, receives an amount equal to the sum it would have
received had no such withholding or deduction been made.

     (iii) If any Borrower or the Administrative Agent shall be required by any applicable
Laws other than the Code to withhold or deduct any Taxes from any payment, then (A) such
Borrower or the Administrative Agent, as required by such Laws, shall withhold or make such
deductions as are determined by it to be required based upon the information and
documentation it has received pursuant to subsection (e) below, (B) such Borrower or the
Administrative Agent, to the extent required by such Laws, shall timely

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pay the full amount so withheld or deducted by it to the relevant Governmental Authority in
accordance with such Laws, and (C) to the extent that the withholding or deduction is made
on account of Indemnified Taxes or Other Taxes, the sum payable by such Borrower shall be
increased as necessary so that after any required withholding or the making of all required
deductions with respect to Indemnified Taxes or Other Taxes (including deductions with
respect to Indemnified Taxes or Other Taxes applicable to additional sums payable under this
Section) the Administrative Agent, Lender or L/C Issuer, as the case may be, receives an
amount equal to the sum it would have received had no such withholding or deduction been
made.

     (b) Payment of Other Taxes by the Borrowers. Without limiting the provisions of
subsection (a) above, each Borrower shall timely pay any Other Taxes to the relevant Governmental
Authority in accordance with applicable Laws.

     (c) Tax Indemnifications. (i) Without limiting the provisions of subsection (a) or
(b) above, each Borrower shall, and does hereby, indemnify the Administrative Agent, each Lender
and the L/C Issuer, and shall make payment in respect thereof within 10 days after demand
therefor, for the full amount of any Indemnified Taxes or Other Taxes (including Indemnified Taxes
or Other Taxes imposed or asserted on or attributable to amounts payable under this Section)
withheld or deducted by such Borrower or the Administrative Agent or paid by the Administrative
Agent, such Lender or the L/C Issuer, as the case may be, and any penalties, interest and
reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified
Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant Governmental
Authority. Each Borrower shall also, and does hereby, indemnify the Administrative Agent, and
shall make payment in respect thereof within 10 days after demand therefor, for any amount which a
Lender or the L/C Issuer for any reason fails to pay indefeasibly to the Administrative Agent as
required by clause (ii) of this subsection. A reasonably detailed certificate as to the amount of
any such payment or liability and the reasons therefor delivered to a Borrower by a Lender or the
L/C Issuer (with a copy to the Administrative Agent), or by the Administrative Agent on its own
behalf or on behalf of a Lender or the L/C Issuer, shall be conclusive absent manifest error. Any
such claim against a Borrower must be made within 180 days of the payment by the Administrative
Agent, the Lender, or the L/C Issuer to which such claim relates.

     (ii) Without limiting the provisions of subsection (a) or (b) above, each Lender and the
L/C Issuer shall, and does hereby, indemnify each Borrower and the Administrative Agent, and
shall make payment in respect thereof within 10 days after demand therefor, against any and
all Taxes and any and all related losses, claims, liabilities, penalties, interest and
expenses (including the fees, charges and disbursements of any counsel for such Borrower or
the Administrative Agent) incurred by or asserted against such Borrower or the
Administrative Agent by any Governmental Authority as a result of the failure by such Lender
or the L/C Issuer, as the case may be, to deliver, or as a result of the inaccuracy,
inadequacy or deficiency of, any documentation required to be delivered by such Lender or
the L/C Issuer, as the case may be, to such Borrower or the Administrative Agent pursuant to
subsection (e). Each Lender and the L/C Issuer hereby authorizes the Administrative Agent
to set off and apply any and all amounts at any time owing to such Lender or the L/C Issuer,
as the case may be, under this Agreement or any

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other Loan Document against any amount due to the Administrative Agent under this clause
(ii). The agreements in this clause (ii) shall survive the resignation and/or replacement
of the Administrative Agent, any assignment of rights by, or the replacement of, a Lender or
the L/C Issuer, the termination of the Aggregate Commitments and the repayment, satisfaction
or discharge of all other Obligations.

     (d) Evidence of Payments. Upon request by a Borrower or the Administrative Agent, as
the case may be, after any payment of Taxes by such Borrower or by the Administrative Agent to a
Governmental Authority as provided in this Section 3.01, such Borrower shall deliver to the
Administrative Agent or the Administrative Agent shall deliver to such Borrower, as the case may
be, the original or a certified copy of a receipt issued by such Governmental Authority evidencing
such payment, a copy of any return required by Laws to report such payment or other evidence of
such payment reasonably satisfactory to such Borrower or the Administrative Agent, as the case may
be.

     (e) Status of Lenders; Tax Documentation.

     (i) Each Lender shall deliver to the Company and to the Administrative Agent, at the
time or times prescribed by applicable Laws or when reasonably requested by the Company or
the Administrative Agent, such properly completed and executed documentation prescribed by
applicable Laws or by the taxing authorities of any jurisdiction and such other reasonably
requested information as will permit the Company or the Administrative Agent, as the case
may be, to determine (A) whether or not payments made by the respective Borrowers hereunder
or under any other Loan Document are subject to Taxes, (B) if applicable, the required rate
of withholding or deduction, and (C) such Lender’s entitlement to any available exemption
from, or reduction of, applicable Taxes in respect of all payments to be made to such Lender
by the respective Borrowers pursuant to this Agreement or otherwise to establish such
Lender’s status for withholding tax purposes in the applicable jurisdictions.

     (ii) Without limiting the generality of the foregoing, if a Borrower is resident for
tax purposes in the United States,

     (A) any Lender that is a “United States person” within the meaning of Section
7701(a)(30) of the Code shall deliver to the Company and the Administrative Agent
executed originals of Internal Revenue Service Form W-9 or such other documentation
or information prescribed by applicable Laws or reasonably requested by the Company
on behalf of such Borrower or the Administrative Agent as will enable such Borrower
or the Administrative Agent, as the case may be, to determine whether or not such
Lender is subject to backup withholding or information reporting requirements; and

     (B) each Foreign Lender that is entitled under the Code or any applicable
treaty to an exemption from or reduction of withholding tax with respect to payments
hereunder or under any other Loan Document shall deliver to the Company and the
Administrative Agent (in such number of copies as shall be requested by the
recipient) on or prior to the date on which such Foreign Lender

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becomes a Lender under this Agreement (and from time to time thereafter upon the
request of the Company on behalf of such Borrower or the Administrative Agent, but
only if such Foreign Lender is legally entitled to do so), whichever of the
following is applicable:

     (I) executed originals of Internal Revenue Service Form W-8BEN claiming
eligibility for benefits of an income tax treaty to which the United States
is a party,

     (II) executed originals of Internal Revenue Service Form W-8ECI,

     (III) executed originals of Internal Revenue Service Form W-8IMY and
all required supporting documentation,

     (IV) in the case of a Foreign Lender claiming the benefits of the
exemption for portfolio interest under section 881(c) of the Code, (x) a
certificate to the effect that such Foreign Lender is not (A) a “bank”
within the meaning of section 881(c)(3)(A) of the Code, (B) a “10 percent
shareholder” of such Borrower within the meaning of section 881(c)(3)(B) of
the Code, or (C) a “controlled foreign corporation” described in section
881(c)(3)(C) of the Code and (y) executed originals of Internal Revenue
Service Form W-8BEN, or

     (V) executed originals of any other form prescribed by applicable Laws
as a basis for claiming exemption from or a reduction in United States
Federal withholding tax together with such supplementary documentation as
may be prescribed by applicable Laws to permit such Borrower or the
Administrative Agent to determine the withholding or deduction required to
be made.

     (iii) If a payment made to a Foreign Lender under this Agreement or the other Loan
Documents would be subject to U.S. federal withholding Tax imposed by FATCA if such Foreign
Lender were to fail to comply with the applicable reporting requirements of FATCA (including
those contained in Section 1471(b) or 1472(b) of the Code, as applicable), such Foreign
Lender shall deliver to the Company or the Administrative Agent, at the time or times
prescribed by Law and at such time or times reasonably requested by the Company or the
Administrative Agent, such documentation prescribed by applicable law (including as
prescribed by Section 1471(b)(3)(C)(i) of the Code) and such additional documentation
reasonably requested by the Company or the Administrative Agent as may be necessary for the
Borrowers or the Administrative Agent to comply with its obligations under FATCA, to
determine that such Foreign Lender has or has not complied with such Foreign Lender’s
obligations under FATCA and, as necessary, to determine the amount to deduct and withhold
from such payment.

     (iv) Each Lender shall promptly (A) notify the Company and the Administrative Agent of
any change in circumstances which would modify or render

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invalid any claimed exemption or reduction, and (B) take such steps as shall not be
materially disadvantageous to it, in the reasonable judgment of such Lender, and as may be
reasonably necessary (including the re-designation of its Lending Office) to avoid any
requirement of applicable Laws of any jurisdiction that any Borrower or the Administrative
Agent make any withholding or deduction for taxes from amounts payable to such Lender.

     (v) Each of the Borrowers shall promptly deliver to the Administrative Agent or any
Lender, as the Administrative Agent or such Lender shall reasonably request, on or prior to
the Closing Date (or such later date on which it first becomes a Borrower), and in a timely
fashion thereafter, such documents and forms required by any relevant taxing authorities
under the Laws of any jurisdiction, duly executed and completed by such Borrower, as are
required to be furnished by such Lender or the Administrative Agent under such Laws in
connection with any payment by the Administrative Agent or any Lender of Taxes or Other
Taxes, or otherwise in connection with the Loan Documents, with respect to such
jurisdiction.

     (f) Treatment of Certain Refunds. Unless required by applicable Laws, at no time
shall the Administrative Agent have any obligation to file for or otherwise pursue on behalf of a
Lender or the L/C Issuer, or have any obligation to pay to any Lender or the L/C Issuer, any
refund of Taxes withheld or deducted from funds paid for the account of such Lender or the L/C
Issuer, as the case may be. If the Administrative Agent, any Lender or the L/C Issuer determines,
in its sole discretion (exercised in good faith), that it has received a refund of any Taxes or
Other Taxes as to which it has been indemnified by any Borrower or with respect to which any
Borrower has paid additional amounts pursuant to this Section, it shall pay to such Borrower an
amount equal to such refund (but only to the extent of indemnity payments made, or additional
amounts paid, by such Borrower under this Section with respect to the Taxes or Other Taxes giving
rise to such refund), net of all out-of-pocket expenses and net of any loss or gain realized in
the conversion of such funds from or to another currency incurred by the Administrative Agent,
such Lender or the L/C Issuer, as the case may be, and without interest (other than any interest
paid by the relevant Governmental Authority with respect to such refund), provided that
each Borrower, upon the request of the Administrative Agent, such Lender or the L/C Issuer, agrees
to repay the amount paid over to such Borrower (plus any penalties, interest or other charges
imposed by the relevant Governmental Authority) to the Administrative Agent, such Lender or the
L/C Issuer in the event the Administrative Agent, such Lender or the L/C Issuer is required to
repay such refund to such Governmental Authority. This subsection shall not be construed to
require the Administrative Agent, any Lender or the L/C Issuer to make available its tax returns
(or any other information relating to its taxes that it deems confidential) to any Borrower or any
other Person.

     3.02. Illegality. If any Lender determines that any Law has made it unlawful, or that any
Governmental Authority has asserted that it is unlawful, for any Lender or its applicable Lending
Office to make, maintain or fund Loans (whether denominated in Dollars or an Alternative Currency)
whose interest is determined by reference to the Eurocurrency Rate (or the Swing Rate, in the case
of any AC Swing Line Loan), or to determine or charge interest rates based upon the Eurocurrency
Rate (or the Swing Rate, in the case of any AC Swing Loan), or any Governmental Authority has
imposed material restrictions on the authority of such Lender to

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purchase or sell, or to take deposits of, Dollars or any Alternative Currency in the applicable
interbank market, then, on notice thereof by such Lender to the Company through the Administrative
Agent, (i) any obligation of such Lender to make or continue Eurocurrency Rate Loans (or AC Swing
Loans) in the affected currency or currencies or, in the case of Eurocurrency Rate Loans in
Dollars, to convert Base Rate Loans to Eurocurrency Rate Loans shall be suspended, and (ii) if such
notice asserts the illegality of such Lender making or maintaining Base Rate Loans the interest
rate on which is determined by reference to the Eurocurrency Rate component of the Base Rate, the
interest rate on which Base Rate Loans of such Lender shall, if necessary to avoid such illegality,
be determined by the Administrative Agent without reference to the Eurocurrency Rate component of
the Base Rate, in each case until such Lender notifies the Administrative Agent and the Company
that the circumstances giving rise to such determination no longer exist. Upon receipt of such
notice, (x) the Borrowers shall, upon demand from such Lender (with a copy to the Administrative
Agent), prepay all such Eurocurrency Rate Loans (or AC Swing Line Loans) or, if applicable and such
Loans are denominated in Dollars, convert all such Eurocurrency Rate Loans of such Lender to Base
Rate Loans (the interest rate on which Base Rate Loans of such Lender shall, if necessary to avoid
such illegality, be determined by the Administrative Agent without reference to the Eurocurrency
Rate component of the Base Rate), either on the last day of the Interest Period therefor, if such
Lender may lawfully continue to maintain such Eurocurrency Rate Loans to such day, or immediately,
if such Lender may not lawfully continue to maintain such Eurocurrency Rate Loans and (y) if such
notice asserts the illegality of such Lender determining or charging interest rates based upon the
Eurocurrency Rate, the Administrative Agent shall during the period of such suspension compute the
Base Rate applicable to such Lender without reference to the Eurocurrency Rate component thereof
until the Administrative is advised in writing by such Lender that it is no longer illegal for
such Lender to determine or charge interest rates based upon the Eurocurrency Rate. Upon any such
prepayment or conversion, the Borrowers shall also pay accrued interest on the amount so prepaid or
converted.

     3.03. Inability to Determine Rates. If the Required Lenders determine that for any reason in
connection with any request for an AC Swing Line Loan or a Eurocurrency Rate Loan or a conversion
to or continuation thereof that (a) deposits (whether in Dollars or an Alternative Currency) are
not being offered to banks in the applicable offshore interbank market for such currency for the
applicable amount and Interest Period of such AC Swing Line Loan or Eurocurrency Rate Loan, (b)
adequate and reasonable means do not exist for determining the Eurocurrency Rate for any requested
Interest Period with respect to a proposed Eurocurrency Rate Loan (whether denominated in Dollars
or an Alternative Currency), the Swing Rate in connection with an AC Swing Line Loan or in
connection with an existing or proposed Base Rate Loan, or (c) the Eurocurrency Rate for any
requested Interest Period with respect to a proposed Eurocurrency Rate Loan or the Swing Rate in
connection with an AC Swing Line Loan does not adequately and fairly reflect the cost to such
Lenders of funding such Loan, the Administrative Agent will promptly so notify the Company and each
Lender. Thereafter, (x) the obligation of the Lenders to make or maintain Eurocurrency Rate Loans
and the obligation of the Swing Line Lender to make or maintain AC Swing Line Loans in the affected
currency or currencies shall be suspended, and (y) in the event of a determination described in the
preceding sentence with respect to the Eurocurrency Rate component of the Base Rate, the
utilization of the Eurocurrency Rate component in determining the Base Rate shall be suspended, in
each case until the Administrative Agent (upon the instruction of the Required Lenders) revokes
such

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notice. Upon receipt of such notice, the Company may revoke any pending request for a Borrowing
of, conversion to or continuation of Eurocurrency Rate Loans or any Borrowing of any AC Swing Line
Loan in the affected currency or currencies or, failing that, will be deemed to have converted such
request into a request for a Borrowing of Base Rate Loans (in the case of any Eurocurrency Rate
Loan) or a Borrowing of Swing Line Loans denominated in Dollars (in the case of any AC Swing Line
Loan) in the amount specified therein.

     3.04. Increased Costs; Reserves on Eurocurrency Rate Loans.

     (a) Increased Costs Generally. If any Change in Law shall:

     (i) impose, modify or deem applicable any reserve, special deposit, compulsory loan,
insurance charge or similar requirement against assets of, deposits with or for the account
of, or credit extended or participated in by, any Lender (except (A) any reserve requirement
contemplated by Section 3.04(e) and (B) the requirements of the Bank of England and
the Financial Services Authority or the European Central Bank reflected in the Mandatory
Cost, other than as set forth below) or the L/C Issuer;

     (ii) subject any Lender or the L/C Issuer to any tax of any kind whatsoever with
respect to this Agreement, any Letter of Credit, any participation in a Letter of Credit, AC
line Loan or any Eurocurrency Rate Loan made by it, or change the basis of taxation of
payments to such Lender or the L/C Issuer in respect thereof (except for Indemnified Taxes
or Other Taxes covered by Section 3.01 and the imposition of, or any change in the
rate of, any Excluded Tax payable by such Lender or the L/C Issuer);

     (iii) result in the failure of the Mandatory Cost, as calculated hereunder, to
represent the cost to any Lender of complying with the requirements of the Bank of England
and/or the Financial Services Authority or the European Central Bank in relation to its
making, funding or maintaining Eurocurrency Rate Loans or any AC Swing Line Loan; or

     (iv) impose on any Lender or the L/C Issuer or the London interbank market any other
condition, cost or expense affecting this Agreement or Eurocurrency Rate Loans or AC Swing
Line Loans made by such Lender or any Letter of Credit or participation therein;

and the result of any of the foregoing shall be to increase the cost to such Lender of making or
maintaining any AC Swing line Loan or any Loan the interest on which is determined by reference to
the Eurocurrency Rate (or of maintaining its obligation to make any such Loan), or to increase the
cost to such Lender or the L/C Issuer of participating in, issuing or maintaining any Letter of
Credit or any AC Swing line Loan (or of maintaining its obligation to participate in Letter of
Credit or any AC Swing Line Loan or to issue any Letter of Credit), or to reduce the amount of any
sum received or receivable by such Lender or the L/C Issuer hereunder (whether of principal,
interest or any other amount) then, upon request of such Lender or the L/C Issuer, the Company will
pay (or cause the applicable Designated Borrower to pay) to such Lender (including, the Swing line
Lender) or the L/C Issuer, as the case may be, such additional amount

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or amounts as will compensate such Lender or the L/C Issuer, as the case may be, for such
additional costs incurred or reduction suffered.

     (b) Capital Requirements. If any Lender or the L/C Issuer determines that any Change
in Law affecting such Lender or the L/C Issuer or any Lending Office of such Lender or such
Lender’s or the L/C Issuer’s holding company, if any, regarding capital requirements has or would
have the effect of reducing the rate of return on such Lender’s or the L/C Issuer’s capital or on
the capital of such Lender’s or the L/C Issuer’s holding company, if any, as a consequence of this
Agreement, the Commitments of such Lender or the Loans made by, or participations in Letters of
Credit held by, such Lender, or the Letters of Credit issued by the L/C Issuer, to a level below
that which such Lender or the L/C Issuer or such Lender’s or the L/C Issuer’s holding company
could have achieved but for such Change in Law (taking into consideration such Lender’s or the L/C
Issuer’s policies and the policies of such Lender’s or the L/C Issuer’s holding company with
respect to capital adequacy), then from time to time the Company will pay (or cause the applicable
Designated Borrower to pay) to such Lender or the L/C Issuer, as the case may be, such additional
amount or amounts as will compensate such Lender or the L/C Issuer or such Lender’s or the L/C
Issuer’s holding company for any such reduction suffered.

     (c) Certificates for Reimbursement. A certificate of a Lender or the L/C Issuer
setting forth the amount or amounts necessary to compensate such Lender or the L/C Issuer or its
holding company, as the case may be, as specified in subsection (a) or (b) of this Section and
delivered to the Company shall be conclusive absent manifest error. The Company shall pay (or
cause the applicable Designated Borrower to pay) such Lender or the L/C Issuer, as the case may
be, the amount shown as due on any such certificate within 10 days after receipt thereof.

     (d) Delay in Requests. Failure or delay on the part of any Lender or the L/C Issuer
to demand compensation pursuant to the foregoing provisions of this Section shall not constitute a
waiver of such Lender’s or the L/C Issuer’s right to demand such compensation, provided
that no Borrower shall be required to compensate a Lender or the L/C Issuer pursuant to the
foregoing provisions of this Section for any increased costs incurred or reductions suffered more
than 180 days prior to the date that such Lender or the L/C Issuer, as the case may be, notifies
the Company of the Change in Law giving rise to such increased costs or reductions and of such
Lender’s or the L/C Issuer’s intention to claim compensation therefor (except that, if the Change
in Law giving rise to such increased costs or reductions is retroactive, then the 180-day period
referred to above shall be extended to include the period of retroactive effect thereof).

     (e) Reserves. The Company shall pay (or cause the applicable Designated Borrower to
pay) to each Lender (without duplication of any amounts otherwise paid to such Lender and
attributable to Mandatory Costs), (i) as long as such Lender shall be required to maintain
reserves with respect to liabilities or assets consisting of or including Eurocurrency funds or
deposits (currently known as “Eurocurrency liabilities”), additional interest on the unpaid
principal amount of each Eurocurrency Rate Loan or AC Swing Line Loan equal to the actual costs of
such reserves allocated to such Loan by such Lender (as determined by such Lender in good faith,
which determination shall be conclusive absent manifest error), and (ii) as long as such Lender
shall be required to comply with any reserve ratio requirement or analogous

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requirement of any other central banking or financial regulatory authority imposed in respect of
the maintenance of the Commitments or the funding of the Eurocurrency Rate Loans and AC Swing Line
Loans, such additional costs (expressed as a percentage per annum and rounded upwards, if
necessary, to the nearest five decimal places) equal to the actual costs allocated to such
Commitment or Loan by such Lender (as determined by such Lender in good faith, which determination
shall be conclusive), which in each case shall be due and payable on each date on which interest
is payable on such Loan, provided the Company shall have received at least 10 days’ prior
notice (with a copy to the Administrative Agent) of such additional interest or costs from such
Lender. If a Lender fails to give notice 10 days prior to the relevant Interest Payment Date,
such additional interest or costs shall be due and payable 10 days from receipt of such notice.

     3.05. Compensation for Losses. Upon demand of any Lender (with a copy to the Administrative
Agent) from time to time, the Company shall promptly compensate (or cause the applicable Designated
Borrower to compensate) such Lender for and hold such Lender harmless from any loss, cost or
expense incurred by it as a result of:

     (a) any continuation, conversion, payment or prepayment of any Loan other than a Base Rate
Loan on a day other than the last day of the Interest Period for such Loan (whether voluntary,
mandatory, automatic, by reason of acceleration, or otherwise);

     (b) any failure by any Borrower (for a reason other than the failure of such Lender to make a
Loan) to prepay, borrow, continue or convert any Loan other than a Base Rate Loan on the date or
in the amount notified by the Company or the applicable Designated Borrower;

     (c) any failure by any Borrower to make payment of any Loan or drawing under any Letter of
Credit (or interest due thereon) denominated in an Alternative Currency on its scheduled due date
or any payment thereof in a different currency; or

     (d) any assignment of a Eurocurrency Rate Loan on a day other than the last day of the
Interest Period therefor as a result of a request by the Company pursuant to Section
11.13;

including any foreign exchange losses and any loss or expense arising from the liquidation or
reemployment of funds obtained by it to maintain such Loan, from fees payable to terminate the
deposits from which such funds were obtained or from the performance of any foreign exchange
contract. The Company shall also pay (or cause the applicable Designated Borrower to pay) any
customary administrative fees charged by such Lender in connection with the foregoing.

For purposes of calculating amounts payable by the Company (or the applicable Designated Borrower)
to the Lenders under this Section 3.05, each Lender shall be deemed to have funded each
Eurocurrency Rate Loan made by it at the Eurocurrency Rate for such Loan by a matching deposit or
other borrowing in the applicable offshore interbank market for such currency for a comparable
amount and for a comparable period, whether or not such Eurocurrency Rate Loan was in fact so
funded.

     3.06. Mitigation Obligations; Replacement of Lenders. (a) Designation of a Different
Lending Office. If any Lender requests compensation under Section 3.04, charges a
Borrower for Mandatory Costs hereunder, or any Borrower is required to pay any additional

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amount to any Lender, the L/C Issuer, or any Governmental Authority for the account of any Lender
or the L/C Issuer pursuant to Section 3.01, or if any Lender gives a notice pursuant to
Section 3.02, then such Lender or the L/C Issuer shall, as applicable, use reasonable
efforts to designate a different Lending Office for funding or booking its Loans hereunder or to
assign its rights and obligations hereunder to another of its offices, branches or affiliates, if,
in the judgment of such Lender or the L/C Issuer, such designation or assignment (i) would
eliminate or reduce amounts payable pursuant to Section 3.01 or 3.04, as the case
may be, in the future, or eliminate the need for the notice pursuant to Section 3.02, as
applicable, and (ii) in each case, would not subject such Lender or the L/C Issuer, as the case may
be, to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender
or the L/C Issuer, as the case may be. The Company hereby agrees to pay (or to cause the
applicable Designated Borrower to pay) all reasonable costs and expenses incurred by any Lender or
the L/C Issuer in connection with any such designation or assignment.

     (b) Replacement of Lenders. If any Lender requests compensation under Section
3.04, or provides a notice under Section 3.02, or if any Borrower is required to pay
any additional amount to any Lender or any Governmental Authority for the account of any Lender
pursuant to Section 3.01, the Company may replace such Lender in accordance with
Section 11.13.

     3.07. Survival. All of the Borrowers’ obligations under this Article III shall
survive termination of the Aggregate Commitments, repayment of all other Obligations hereunder, and
resignation of the Administrative Agent.

ARTICLE IV.

CONDITIONS PRECEDENT TO CREDIT EXTENSIONS

     4.01. Conditions of Initial Credit Extension. The obligation of the L/C Issuer and each
Lender to make its initial Credit Extension hereunder is subject to satisfaction of the following
conditions precedent:

     (a) The Administrative Agent’s receipt of the following, each of which shall be originals or
telecopies (followed promptly by originals) unless otherwise specified, each properly executed by
a Responsible Officer of the signing Loan Party, each dated the Closing Date (or, in the case of
certificates of governmental officials, a recent date before the Closing Date) and each in form
and substance satisfactory to the Administrative Agent and each of the Lenders:

     (i) executed counterparts of this Agreement, sufficient in number for distribution to
the Administrative Agent, each Lender and the Company and, if Advance Funding Arrangements
shall exist with respect to funding on the Closing Date, executed Advance Funding
Documentation in form and number reasonably acceptable to the Administrative Agent;

     (ii) Notes executed by the Borrowers in favor of each Lender requesting Notes;

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     (iii) such certificates of resolutions or other action, incumbency certificates and/or
other certificates of Responsible Officers of each Loan Party as the Administrative Agent
may require evidencing the identity, authority and capacity of each Responsible Officer
thereof authorized to act as a Responsible Officer in connection with this Agreement and the
other Loan Documents to which such Loan Party is a party or is to be a party;

     (iv) such documents and certifications as the Administrative Agent may reasonably
require to evidence that each Loan Party is duly organized or formed, and that Loan Party is
validly existing, in good standing and qualified to engage in business in its jurisdiction
formation or incorporation and each other jurisdiction reasonably requested by the
Administrative Agent;

     (v) a favorable opinion of Wilmer Cutler Pickering Hale and Dorr LLP, counsel to the
Loan Parties, addressed to the Administrative Agent and each Lender, in form and substance
reasonably satisfactory to the Administrative Agent and the Lenders, covering such matters
relating to the Loan Documents and the transactions contemplated thereby as the
Administrative Agent and the Lenders shall reasonably request and such opinion shall
expressly allow permitted successors and assigns of the Administrative Agent and the Lenders
to rely on such opinion;

     (vi) a favorable opinion of Stek Advocaten B.V., special counsel to the Administrative
Agent, addressed to the Administrative Agent and each Lender, in form and substance
reasonably satisfactory to the Administrative Agent and the Lenders, covering such matters
relating to the Loan Documents and the transactions contemplated thereby as the
Administrative Agent and the Lenders shall reasonably request;

     (vii) a favorable opinion of Baker & McKenzie Amsterdam N.V., counsel to Parexel
International Holding B.V., addressed to the Administrative Agent and each Lender, in form
and substance reasonably satisfactory to the Administrative Agent and the Lenders, covering
such matters relating to the Loan Documents and the transactions contemplated thereby as the
Administrative Agent and the Lenders shall reasonably request and such opinion shall
expressly allow permitted successors and assigns of the Administrative Agent and the Lenders
to rely on such opinion;

     (viii) a certificate signed by a Responsible Officer of the Company certifying (A) that
the conditions specified in Sections 4.02(a) and (b) have been satisfied and
(B) that there has been no event or circumstance since the date of the Audited Financial
Statements that has had, either individually or in the aggregate, a Material Adverse Effect;

     (ix) certificate of a Financial Officer the Company, certifying that the Company is,
and the Company and its Subsidiaries on a consolidated basis are, Solvent both before and
after giving effect to the Transactions;

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     (x) evidence that the Existing Credit Agreement and the Existing Term Loan Facilities
have been or substantially concurrently with the Closing Date are being terminated; and

     (xi) such other assurances, certificates, documents, consents or opinions as the
Administrative Agent, the L/C Issuer, the Swing Line Lender or any Lender reasonably may
require.

     (b) (i) All fees required to be paid to the Administrative Agent and the Arrangers on or
before the Closing Date shall have been paid, (ii) all fees required to be paid to the Lenders on
or before the Closing Date shall have been paid and (iii) unless waived by the Administrative
Agent, the Company shall have paid all reasonable fees, charges and disbursements of counsel to
the Administrative Agent (directly to such counsel if requested by the Administrative Agent).

Without limiting the generality of the provisions of the last paragraph of Section 9.03,
(i) for purposes of determining compliance with the conditions specified in this Section
4.01, each Lender that has signed this Agreement shall be deemed to have consented to, approved
or accepted or to be satisfied with, each document or other matter required thereunder to be
consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative
Agent shall have received notice from such Lender prior to the proposed Closing Date specifying its
objection thereto and (ii) in the event that Advance Funding Arrangements shall exist, the delivery
by any Lender (x) of funds pursuant to such Advance Funding Arrangements (“Advance Funds”)
and (y) its signature page to this Agreement shall constitute the request, consent and direction by
such Lender to the Administrative Agent (unless expressly revoked by written notice from such
Lender received by the Administrative Agent prior to the earlier to occur of funding or the
Administrative Agent’s declaration that this Agreement is effective) to withdraw and release to the
Borrowers on the Closing Date the applicable funds of such Lender to be applied to the funding of
Loans by such Lender in accordance with Section 2.02 upon the Administrative Agent’s
determination (made in accordance with and subject to the terms of this Agreement) that it has
received all items expressly required to be delivered to it under this Section 4.01.

     4.02. Conditions to all Credit Extensions. The obligation of each Lender to honor any Request
for Credit Extension (other than a Committed Loan Notice requesting only a conversion of Loans to
the other Type, or a continuation of Eurocurrency Rate Loans) is subject to the following
conditions precedent:

     (a) The representations and warranties of the Borrowers and each other Loan Party contained
in this Agreement, shall be true and correct on and as of the date of such Credit Extension,
except to the extent that such representations and warranties specifically refer to an earlier
date, in which case they shall be true and correct as of such earlier date, and except that for
purposes of this Section 4.02, the representations and warranties contained in
Sections 5.04(a) and (b) shall be deemed to refer to the most recent statements
furnished pursuant to Sections 6.01(a) and (b), respectively.

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     (b) No Default or Event of Default shall exist, or would result from such proposed Credit
Extension or from the application of the proceeds thereof.

     (c) The Administrative Agent and, if applicable, the L/C Issuer or the Swing Line Lender
shall have received a Request for Credit Extension in accordance with the requirements hereof.

     (d) If the applicable Borrower is a Designated Borrower (other than Parexel International
Holding B.V.), then the conditions of Section 2.16 to the designation of such Borrower as
a Designated Borrower shall have been met to the satisfaction of the Administrative Agent.

     (e) In the case of a Credit Extension to be denominated in an Alternative Currency, there
shall not have occurred any change in national or international financial, political or economic
conditions or currency exchange rates or exchange controls which in the reasonable opinion of the
Administrative Agent, the Required Lenders (in the case of any Loans to be denominated in an
Alternative Currency), the Swing Line Lender (in the case of Swing Line Loans to be denominated in
an Alternative Currency), or the L/C Issuer (in the case of any Letter of Credit to be denominated
in an Alternative Currency) would make it impracticable for such Credit Extension to be
denominated in the relevant Alternative Currency.

     Each Request for Credit Extension (other than a Committed Loan Notice requesting only a
conversion of Loans to the other Type or a continuation of Eurocurrency Rate Loans) submitted by
the Company shall be deemed to be a representation and warranty by the Company that the conditions
specified in Sections 4.02(a) and (b) have been satisfied on and as of the date of
the applicable Credit Extension.

ARTICLE V.

REPRESENTATIONS AND WARRANTIES

     The Company and each other Loan Party represents and warrants to the Administrative Agent and
the Lenders that:

     5.01. Organization; Powers. Each Borrower and each Material Subsidiary is duly organized,
validly existing and in good standing (to the extent such good standing is recognized under an
applicable jurisdiction) under the laws of the jurisdiction of its organization, and has all
requisite power and authority to carry on its business as now conducted. Each Subsidiary other
than a Material Subsidiary is duly organized, validly existing and in good standing (to the extent
such good standing is recognized under an applicable jurisdiction) under the laws of the
jurisdiction of its organization, and has all requisite power and authority to carry on its
business as now conducted, except where the failure to do so, individually or in the aggregate,
could not reasonably be expected to result in a Material Adverse Effect. Except where the failure
to do so, individually or in the aggregate, could not reasonably be expected to result in a
Material Adverse Effect, each Loan Party and each Subsidiary is qualified to do business in, and is
in good standing in, every jurisdiction where such qualification is required.

     5.02. Authorization; Enforceability. The Transactions are within each Loan Party’s corporate
powers and have been duly authorized by all necessary corporate and, if required,

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stockholder action. This Agreement has been, and each other Loan Document, when delivered
hereunder, will have been, duly executed and delivered by each Loan Party that is party thereto.
This Agreement constitutes, and each other Loan Document when so delivered will constitute, a
legal, valid and binding obligation of each such Loan Party, enforceable against each such Loan
Party that is party thereto in accordance with its terms, subject to applicable bankruptcy,
insolvency, reorganization, moratorium or other Laws affecting creditors’ rights generally and
subject to general principles of equity, regardless of whether considered in a proceeding in equity
or at Law.

     5.03. Governmental Approvals; No Conflicts. The Transactions (a) do not require any consent
or approval of, registration or filing with, or any other action by, any Governmental Authority,
except such as have been obtained or made and are in full force and effect, (b) will not violate
any applicable Law or the Organizational Documents of the Company or any of its Subsidiaries or any
order of any Governmental Authority, (c) will not violate or result in a default under any
indenture, agreement or other instrument binding upon the Company or any of its Subsidiaries or
their assets, or give rise to a right thereunder to require any payment to be made by the Company
or any of its Subsidiaries, and (d) will not result in the creation or imposition of any Lien on
any asset of the Company or any of its Subsidiaries.

     5.04. Financial Statements; No Material Adverse Effect. (a) The Audited Financial Statements
(i) were prepared in accordance with GAAP consistently applied throughout the period covered
thereby, except as otherwise expressly noted therein; (ii) fairly present in all material respects
the financial condition of the Company and its Subsidiaries as of the date thereof and their
results of operations for the period covered thereby in accordance with GAAP consistently applied
throughout the period covered thereby, except as otherwise expressly noted therein; and (iii) show
all material indebtedness and other liabilities, direct or contingent, of the Company and its
Subsidiaries as of the date thereof, including material liabilities for taxes, material commitments
and material Indebtedness.

     (b) The unaudited consolidated balance sheet of the Company and its Subsidiaries dated March
31, 2011, and the related consolidated statements of income or operations, shareholders’ equity
and cash flows for the fiscal quarter ended on that date (i) were prepared in accordance with GAAP
consistently applied throughout the period covered thereby, except as otherwise expressly noted
therein, and (ii) fairly present in all material respects the financial condition of the Company
and its Subsidiaries as of the date thereof and their results of operations for the period covered
thereby, subject, in the case of clauses (i) and (ii), to the absence of footnotes and to normal
year-end audit adjustments.

     (c) Since the date of the Audited Financial Statements, there has been no event or
circumstance, either individually or in the aggregate, that has had a Material Adverse Effect.

     5.05. Properties.

     (a) Each of the Company and its Subsidiaries has good title to, or valid leasehold interests
in, all its real and personal property material to its business, except for minor defects in title
that do not interfere with its ability to conduct its business as currently conducted or to
utilize such properties for their intended purposes.

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     (b) The Company and its Subsidiaries owns, or is licensed to use, all trademarks, tradenames,
copyrights, patents and other intellectual property for its business, and the use thereof by the
Company and its Subsidiaries does not infringe upon the rights of any other Person, except where
the failure to so own or license or such infringements, individually or in the aggregate, could
not reasonably be expected to result in a Material Adverse Effect.

     5.06. Litigation and Environmental Matters.

     (a) There are no actions, suits or proceedings by or before any arbitrator or Governmental
Authority pending against or, to the knowledge of any Loan Party, threatened against or affecting
the Company or any of its Subsidiaries (i) that would reasonably be expected, individually or in
the aggregate, to result in a Material Adverse Effect (other than such matters disclosed on
Schedule 5.06 (collectively, the “Disclosed Matters”)) or (ii) that involve this
Agreement, the other Loan Documents or any of the Transactions.

     (b) Except for the Disclosed Matters and except with respect to any other matters that,
individually or in the aggregate, could not reasonably be expected to result in a Material Adverse
Effect, neither the Company nor any of its Subsidiaries (i) has failed to comply with any
Environmental Law or to obtain, maintain or comply with any permit, license or other approval
required under any Environmental Law, (ii) has become subject to any Environmental Liability,
(iii) has received notice of any claim with respect to any Environmental Liability or (iv) knows
of any basis for any Environmental Liability.

     (c) Since the date of this Agreement, there has been no change in the status of the Disclosed
Matters that, individually or in the aggregate, has resulted in, or materially increased the
likelihood of, a Material Adverse Effect.

     5.07. Compliance with Laws and Agreements; No Default. Each of the Company and its
Subsidiaries is in compliance with all Laws applicable to it or its property and all indentures,
agreements and other instruments binding upon it or its property, except where the failure to do
so, individually or in the aggregate, could not reasonably be expected to result in a Material
Adverse Effect. No Default has occurred and is continuing.

     5.08. Investment Company Status. Neither the Company nor any of its Subsidiaries is an
“investment company” as defined in, or subject to regulation under, the Investment Company Act of
1940.

     5.09. Taxes. Each of the Company and its Subsidiaries has timely filed or caused to be filed
all Tax returns and reports required to have been filed (within any applicable extension) and has
paid or caused to be paid all Taxes required to have been paid by it, except (a) Taxes that are
being contested in good faith by appropriate proceedings and for which the Company or such
Subsidiary, as applicable, has set aside on its books adequate reserves or (b) to the extent that
the failure to do so could not reasonably be expected to result in a Material Adverse Effect.

     5.10. ERISA Compliance. (a) Each Plan is in compliance in all respects with the applicable
provisions of ERISA, the Code and other Federal or state laws, except in each case where the
failure to do so could not reasonably be expected to result in a Material Adverse Effect. Each
Pension Plan that is intended to be a qualified plan under Section 401(a) of the

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Code has received a favorable determination or opinion letter from the Internal Revenue
Service to the effect that the form (or prototype form) of such Pension Plan is qualified under
Section 401(a) of the Code and the trust related thereto has been determined by the Internal
Revenue Service to be exempt from Federal income tax under Section 501(a) of the Code, or an
application for such a letter is currently being processed by the Internal Revenue Service or is
not yet due. To the best knowledge of the Loan Parties, nothing has occurred that would prevent or
cause the loss of such tax-qualified status. The representations in this Section 5.10(a)
are limited with respect to Multiemployer Plans by events that a Loan Party knows about.

     (b) There are no pending or, to the best knowledge of the Loan Parties, threatened claims,
actions or lawsuits, or action by any Governmental Authority, with respect to any Plan that could
reasonably be expected to have a Material Adverse Effect. There has been no prohibited
transaction or violation of the fiduciary responsibility rules with respect to any Plan that has
resulted or could reasonably be expected to result in a Material Adverse Effect.

     (c) (i) No ERISA Event has occurred, and neither the Loan Parties nor any ERISA Affiliate has
knowledge of any fact, event or circumstance that could reasonably be expected to constitute or
result in an ERISA Event with respect to any Pension Plan; (ii) each Loan Party and each ERISA
Affiliate has met all applicable requirements under the Pension Funding Rules in respect of each
Pension Plan, and no waiver of the minimum funding standards under the Pension Funding Rules has
been applied for or obtained; (iii) as of the most recent valuation date for any Pension Plan, the
funding target attainment percentage (as defined in Section 430(d)(2) of the Code) is 60% or
higher and neither the Loan Parties nor any ERISA Affiliate knows of any facts or circumstances
that could reasonably be expected to cause the funding target attainment percentage for any such
plan to drop below 60% as of the most recent valuation date; (iv) neither the Loan Parties nor any
ERISA Affiliate has incurred any liability to the PBGC other than for the payment of premiums, and
there are no premium payments which have become due that are unpaid; (v) neither the Loan Parties
nor any ERISA Affiliate has engaged in a transaction that could be subject to Section 4069 or
Section 4212(c) of ERISA; and (vi) no Pension Plan has been terminated by the plan administrator
thereof nor by the PBGC, and (vii) no event or circumstance has occurred or exists that could
reasonably be expected to cause the PBGC to institute proceedings under Title IV of ERISA to
terminate any Pension Plan; in each case, provided that this Section 5.10(c) is
limited only as to events that a Loan Party knows with respect to any Multiemployer Plan.

     (d) Neither the Loan Parties nor any ERISA Affiliate maintains or contributes to, or has any
unsatisfied obligation to contribute to, or liability under, any active or terminated Pension Plan
other than Pension Plans not otherwise prohibited by this Agreement.

     (e) (e) Each Non-U.S. Plan has been maintained in compliance with its terms and with the
requirements of any and all applicable laws, statutes, rules, regulations and orders and has been
maintained, where required, in good standing with applicable regulatory authorities, except as
could not reasonably be expected to result in a Material Adverse Effect. All contributions
required to be made with respect to a Non-U.S. Plan have been timely made, except as could not
reasonably be expected to result in a Material Adverse Effect. No Loan Party, nor any Subsidiary
of any Loan Party, has incurred any obligation in connection with the termination of, or
withdrawal from, any Non-U.S. Plan, except as could not reasonably be

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expected to result in a Material Adverse Effect. The present value of the accrued benefit
liabilities (whether or not vested) under each Non-U.S. Plan, does not exceed the current value of
the assets of such Non-U.S. Plan allocable to such benefit liabilities, except as could not
reasonably be expected to result in a Material Adverse Effect.

     5.11. Disclosure. No report, financial statement, certificate or other information furnished
by or on behalf of any Loan Party to the Administrative Agent or any Lender in connection with the
negotiation of this Agreement or delivered hereunder (as modified or supplemented by other
information so furnished) contains any material misstatement of fact or omits to state any material
fact necessary to make the statements therein, in the light of the circumstances under which they
were made, not misleading; provided that (a) with respect to projected financial
information, each Loan Party represents only that such information was prepared in good faith based
upon assumptions believed to be reasonable at the time, and (b) to the extent the representations
made in this Section 5.11 relate to CCT or Behavioral and Medical Research, LLC, such
representations are made to the best of the knowledge of each Loan Party.

     5.12. Subsidiaries. As of the date hereof, Schedule 5.12 is a complete list of each
of the Company’s Subsidiaries and such Subsidiary’s jurisdiction of incorporation.

     5.13. Margin Regulations. Neither the Company nor any of its Subsidiaries is engaged or will
engage in any activities, nor shall use any portion of the proceeds of the Loans be used for any
purpose, which in either case violate or are inconsistent with the provisions of Regulations U and
X of the FRB as now and from time to time hereafter in effect.

     5.14. Material CF Subsidiaries. The Company hereby represents and warrants that (a) the
Material CF Subsidiaries are the only Subsidiaries that, together with their own Subsidiaries,
accounted for 5% or more of Consolidated EBITDA for the period of four fiscal quarters ended on
March 31, 2011, and (b) no Event of Default in respect of the Material CF Subsidiaries exists under
Section 7.02 on the date of this Agreement.

     5.15. Specially Designated Nationals or Blocked Persons List. None of the Borrowers, the
Subsidiaries or any Affiliates of the Company are named on OFAC’s list of Specially Designated
Nationals and Blocked Persons.

     5.16. Representations as to Foreign Obligors. Each of the Company and each Foreign Obligor
represents and warrants to the Administrative Agent and the Lenders that:

     (a) Such Foreign Obligor is subject to civil and commercial Laws with respect to its
obligations under this Agreement and the other Loan Documents to which it is a party (collectively
as to such Foreign Obligor, the “Applicable Foreign Obligor Documents”), and the
execution, delivery and performance by such Foreign Obligor of the Applicable Foreign Obligor
Documents constitute and will constitute private and commercial acts and not public or
governmental acts. Neither such Foreign Obligor nor any of its property has any immunity from
jurisdiction of any court or from any legal process (whether through service or notice, attachment
prior to judgment, attachment in aid of execution, execution or otherwise) under the laws of the
jurisdiction in which such Foreign Obligor is organized and existing in respect of its obligations
under the Applicable Foreign Obligor Documents.

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     (b) The Applicable Foreign Obligor Documents are in proper legal form under the Laws of the
jurisdiction in which such Foreign Obligor is organized and existing for the enforcement thereof
against such Foreign Obligor under the Laws of such jurisdiction (and such other law as shall be
specified in such documents), and to ensure the legality, validity, enforceability, priority or
admissibility in evidence of the Applicable Foreign Obligor Documents. It is not necessary to
ensure the legality, validity, enforceability, priority or admissibility in evidence of the
Applicable Foreign Obligor Documents that the Applicable Foreign Obligor Documents be filed,
registered or recorded with, or executed or notarized before, any court or other authority in the
jurisdiction in which such Foreign Obligor is organized and existing or that any registration
charge or stamp or similar tax be paid on or in respect of the Applicable Foreign Obligor
Documents or any other document, except for (i) any such filing, registration, recording,
execution or notarization as has been made or is not required to be made until the Applicable
Foreign Obligor Document or any other document is sought to be enforced and (ii) any charge or tax
as has been timely paid.

     (c) There is no tax, levy, impost, duty, fee, assessment or other governmental charge, or any
deduction or withholding, imposed by any Governmental Authority in or of the jurisdiction in which
such Foreign Obligor is organized and existing either (i) on or by virtue of the execution or
delivery of the Applicable Foreign Obligor Documents or (ii) on any payment to be made by such
Foreign Obligor pursuant to the Applicable Foreign Obligor Documents, except as has been disclosed
to the Administrative Agent.

     (d) The execution, delivery and performance of the Applicable Foreign Obligor Documents
executed by such Foreign Obligor are, under applicable foreign exchange control regulations of the
jurisdiction in which such Foreign Obligor is organized and existing, not subject to any
notification or authorization except (i) such as have been made or obtained or (ii) such as cannot
be made or obtained until a later date (provided that any notification or authorization described
in clause (ii) shall be made or obtained as soon as is reasonably practicable).

ARTICLE VI.

AFFIRMATIVE COVENANTS

     So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation
hereunder shall remain unpaid or unsatisfied, or any Letter of Credit shall remain outstanding,
(except as expressly set forth herein) each Loan Party shall, and shall cause each Subsidiary to:

     6.01. Financial Statements. The Company will deliver to the Administrative Agent for further
distribution to each Lender:

     (a) within 90 days after the end of each fiscal year of the Company, its audited consolidated
balance sheet and related statements of operations, stockholders’ equity and cash flows as of the
end of and for such year, setting forth in each case in comparative form the figures for the
previous fiscal year, all reported on by Ernst & Young LLP or other independent public accountants
of recognized national standing (without a “going concern” or like qualification or exception and
without any qualification or exception as to the scope of such

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audit) to the effect that such consolidated financial statements present fairly in all
material respects the financial condition and results of operations of the Company and its
consolidated Subsidiaries on a consolidated basis in accordance with GAAP consistently applied;
and

     (b) within 45 days after the end of each of the first three fiscal quarters of each fiscal
year of the Company, its consolidated balance sheet and related statements of operations,
stockholders’ equity and cash flows as of the end of and for such fiscal quarter and the then
elapsed portion of the fiscal year, setting forth in each case in comparative form the figures for
the corresponding period or periods of (or, in the case of the balance sheet, as of the end of)
the previous fiscal year, all certified by one of its Financial Officers as presenting fairly in
all material respects the financial condition and results of operations of the Company and its
consolidated Subsidiaries on a consolidated basis in accordance with GAAP consistently applied,
subject to normal year-end audit adjustments and the absence of footnotes.

     6.02. Certificates; Other Information. The Company will deliver to the Administrative Agent
for further distribution to each Lender:

     (a) concurrently with the delivery of the financial statements referred to in Sections
6.01(a) and (b) (commencing with the delivery of the financial statements for the
fiscal year of the Company ended June 30, 2011), a duly completed Compliance Certificate, in form
and substance reasonably satisfactory to the Administrative Agent, signed by a Financial Officer
of the Company, and in the event of any change in GAAP used in the preparation of such financial
statements or in the application thereof, specifying the effect of such change on the financial
statements accompanying such certificate (which delivery may, unless the Administrative Agent, or
a Lender requests executed originals, be by electronic communication including fax or email and
shall be deemed to be an original authentic counterpart thereof for all purposes);

     (b) promptly after the same become publicly available, copies of all periodic and other
reports, proxy statements and other materials filed by the Company or any Subsidiary with the SEC,
or any Governmental Authority succeeding to any or all of the functions of the SEC, or with any
national securities exchange, or distributed by the Company to its shareholders generally, as the
case may be;

     (c) promptly, such additional information regarding the business, financial, legal or
corporate affairs of any Loan Party or any Subsidiary thereof, or compliance with the terms of the
Loan Documents, as the Administrative Agent may from time to time reasonably request.

     Documents required to be delivered pursuant to Section 6.01(a) or (b) or
Section 6.02(a) and 6.02(b) (to the extent any such documents are included in
materials otherwise filed with the SEC) may be delivered electronically and if so delivered, shall
be deemed to have been delivered on the date (i) on which the Company posts such documents, or
provides a link thereto on the Company’s website on the Internet at the website address listed on
Schedule 11.02; or (ii) on which such documents are posted on the Company’s behalf on an
Internet or intranet website, if any, to which each Lender and the Administrative Agent have access
(whether a commercial, third-party website or whether sponsored by the Administrative Agent).
Except for such Compliance Certificates, the Administrative Agent shall have no obligation to
request the

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delivery or to maintain copies of the documents referred to above, and in any event
shall have no responsibility to monitor compliance by the Company with any such request for delivery, and
each Lender shall be solely responsible for requesting delivery to it or maintaining its copies of
such documents.

     Each Borrower hereby acknowledges that (a) the Administrative Agent and/or MLPFS will make
available to the Lenders and the L/C Issuer materials and/or information provided by or on behalf
of such Borrower hereunder (collectively, “Borrower Materials”) by posting the Borrower
Materials on IntraLinks or another similar electronic system (the “Platform”) and (b)
certain of the Lenders (each, a “Public Lender”) may have personnel who do not wish to
receive material non-public information with respect to any of the Borrowers or their respective
Affiliates, or the respective securities of any of the foregoing, and who may be engaged in
investment and other market-related activities with respect to such Persons’ securities. Each
Borrower hereby agrees that (w) all Borrower Materials that are to be made available to Public
Lenders shall be clearly and conspicuously marked “PUBLIC” which, at a minimum, shall mean that the
word “PUBLIC” shall appear prominently on the first page thereof; (x) by marking Borrower Materials
“PUBLIC,” the Borrowers shall be deemed to have authorized the Administrative Agent, MLPFS, the L/C
Issuer and the Lenders to treat such Borrower Materials as not containing any material non-public
information with respect to the Borrowers or their respective securities for purposes of United
States Federal and state securities laws (provided, however, that to the extent
such Borrower Materials constitute Information, they shall be treated as set forth in Section
11.07); (y) all Borrower Materials marked “PUBLIC” are permitted to be made available through a
portion of the Platform designated “Public Side Information;” and (z) the Administrative Agent and
MLPFS shall be entitled to treat any Borrower Materials that are not marked “PUBLIC” as being
suitable only for posting on a portion of the Platform not designated “Public Side Information.”
Notwithstanding the foregoing, no Borrower shall be under any obligation to mark any Borrower
Materials “PUBLIC.”

     6.03. Notices. The Company will promptly notify the Administrative Agent (who shall promptly
notify each Lender):

     (a) of the occurrence of any Default or Event of Default;

     (b) the filing or commencement of any action, suit or proceeding by or before any arbitrator
or Governmental Authority against or affecting any Borrower or any Affiliate thereof that could
reasonably be expected to result in a Material Adverse Effect;

     (c) the occurrence of any ERISA Event that, alone or together with any other ERISA Events
that have occurred, could reasonably be expected to result in liability of the Company and its
Subsidiaries in an aggregate amount exceeding $10,000,000; and

     (d) any other development that results in, or could reasonably be expected to result in, a
Material Adverse Effect.

     Each notice pursuant to Section 6.03 shall be accompanied by a statement of a
Responsible Officer of the Company setting forth details of the occurrence referred to therein and
stating what action the Company has taken and proposes to take with respect thereto.

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     6.04. Existence; Conduct of Business.

     (a) Preserve, renew and keep in full force and effect its legal existence; provided
that the foregoing shall not prohibit any merger, consolidation, liquidation or dissolution not
prohibited under Section 7.03.

     (b) Preserve, renew and keep in full force and effect its rights, licenses, permits,
privileges and franchises material to the conduct of the business of the Company and its
Subsidiaries, taken as a whole, except where the failure to do so could not reasonably be expected
to result in a Material Adverse Effect.

     6.05. Payment of Obligations. Pay its obligations, including Tax liabilities, that, if not
paid, could reasonably be expected to result in a Material Adverse Effect before the same shall
become delinquent or in default, except where (a) the validity or amount thereof is being contested
in good faith by appropriate proceedings, (b) the Company or the applicable Subsidiary has set
aside on its books adequate reserves with respect thereto in accordance with GAAP and (c) the
failure to make payment pending such contest could not reasonably be expected to result in a
Material Adverse Effect.

     6.06. Maintenance of Properties; Insurance. (a) Keep and maintain all property material to
the conduct of the business of the Company and its Subsidiaries, taken as a whole, in good working
order and condition, ordinary wear and tear excepted, and (b) maintain, with financially sound and
reputable insurance companies, insurance in such amounts and against such risks as are customarily
maintained by companies engaged in the same or similar businesses operating in the same or similar
locations.

     6.07. Books and Records; Inspection Rights.

     (a) Keep proper books of record and account in which full, true and correct entries are made
of all dealings and transactions in relation to its business and activities.

     (b) Permit any representatives designated by the Administrative Agent or the Required
Lenders, upon reasonable prior notice, to visit and inspect its properties, to examine and make
extracts from its books and records, and to discuss its affairs, finances and condition with its
officers and independent accountants, all at such reasonable times and as often as reasonably
requested, provided that such visits shall not occur more than once per calendar year
unless an Event of Default has occurred and is continuing

     6.08. Compliance with Laws. Comply with all laws, rules, regulations and orders of any
Governmental Authority applicable to it or its property, except where the failure to do so,
individually or in the aggregate, could not reasonably be expected to result in a Material Adverse
Effect.

     6.09. Use of Proceeds. Use the proceeds of the Credit Extensions to (a) refinance
Indebtedness under the Existing Credit Agreement and the Existing Term Facilities, (b) to finance
Permitted Stock Repurchases, and (c) for general corporate purposes (including, without limitation,
for purposes of financing Permitted Acquisitions) not in contravention of any Law or of any Loan
Document. No part of the proceeds of any Credit Extension will be used, whether

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     directly or
indirectly, for any purpose that entails a violation of any of the regulations of the FRB,
including Regulations T, U and X.

     6.10. Additional Subsidiaries. In the event the Company acquires, designates or creates any
Material US Subsidiaries or if any existing Subsidiary becomes or is designated as or is deemed to
be a Material US Subsidiary after the date hereof, the Company shall forthwith promptly (and in any
event within 15 Business Days after knowledge of such Subsidiary being or being designated or
deemed to be a Material US Subsidiary) cause such Subsidiary to become a Subsidiary Guarantor;
provided that, at the reasonable discretion of the Administrative Agent, no such Material
US Subsidiary shall be required to become a Subsidiary Guarantor to the extent that doing so would
be reasonably likely to cause material adverse tax consequences to the Company and its
Subsidiaries.

ARTICLE VII.

NEGATIVE COVENANTS

     So long as any Lender shall have any Commitment hereunder, any Loan or other Obligation
hereunder shall remain unpaid or unsatisfied, or any Letter of Credit shall remain outstanding, the
Loan Parties shall not, nor shall any Loan Party permit any Subsidiary to:

     7.01. Indebtedness. Create, incur, assume or suffer to exist any Indebtedness, except:

     (a) Indebtedness set forth in Schedule 7.01, and any extensions, renewals or
replacements of any such Indebtedness to the extent the principal amount thereof is not increased
except by an amount equal to a reasonable premium or other reasonable amount paid, and fees and
expenses reasonably incurred, in connection with such refinancing and by an amount equal to any
existing commitments unutilized thereunder;

     (b) Indebtedness of (i) a Credit Party to a Credit Party, (ii) a Non-Credit Party to a
Non-Credit Party, (iii) a Credit Party to a Non-Credit Party, and (iv) a Non-Credit Party to a
Credit Party in an amount not to exceed the amount provided for in Section 7.12;

     (c) Guarantees by (i) a Credit Party of Indebtedness of a Credit Party, (ii) a Non-Credit
Party of Indebtedness of a Non-Credit Party, (iii) a Non-Credit Party of the Indebtedness of a
Credit Party, and (iv) a Credit Party of Indebtedness of a Non-Credit Party in an amount not to
exceed the amount provided for in Section 7.12;

     (d) Indebtedness of the Company or any Subsidiary (i) incurred to finance the acquisition,
construction or improvement of any fixed or capital assets, including Capital Lease Obligations or
(ii) assumed in connection with any Acquisition or any acquisition of a fixed or capital asset;
provided that (x) such Indebtedness described in clause (i) above is incurred prior to or
within 90 days after such acquisition or the completion of such construction or improvement, (y)
such Indebtedness described in clause (ii) above is not incurred solely in contemplation of such
Acquisition or other acquisition and (z) the aggregate principal amount of Indebtedness permitted
by this clause (d) shall not exceed $40,000,000 at any time outstanding;

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     (e) Indebtedness of any Credit Party not otherwise contemplated in the foregoing clauses
provided that (i) the Company is, and the Company and its Subsidiaries on a consolidated basis
are, Solvent upon the incurrence of such Indebtedness; (ii) the Credit Parties shall be in
compliance with each of the financial covenants set forth in Section 7.11 on a pro
forma basis as at the end of and for the most recently ended period of for fiscal quarters
for which financial statements have been furnished to the Administrative Agent under Section
6.01(a) or Section 6.01(b) (or, prior to the delivery of any such statements, for the
period of four fiscal quarters ended on March 31, 2011) (and, at the request of the Administrative
Agent, the Company shall deliver to the Administrative Agent a certificate of a Financial Officer
certifying the foregoing in reasonable detail), and (iii) no Default or Event of Default then
exists or would result after giving effect to the incurrence of such Indebtedness;

     (f) Indebtedness of the Company or any Subsidiary as an account party in respect of (i) trade
letters of credit and bank guarantees issued on account of trade obligations, (ii) standby letters
of credit and bank guarantees issued in respect of bids, trade contracts, governmental contracts
and leases (other than Indebtedness for borrowed money), statutory obligations, surety, customs
and appeal bonds, performance bonds and other obligations of a like nature incurred in the
ordinary course of business and (iii) surety, customs and appeal bonds, performance bonds and
other obligations of a like nature incurred in the ordinary course of business;

     (g) Indebtedness in respect of obligations under one or more customary Cash Pooling
Financings;

     (h) Indebtedness of Non-Credit Parties in a principal amount not to exceed $40,000,000;

     (i) Indebtedness under the Loan Documents; and

     (j) Indebtedness not otherwise permitted by this Section 7.01, in an aggregate
principal amount not to exceed $10,000,000 at any time outstanding.

     7.02. Liens. Create, incur, assume or suffer to exist any Lien upon any of its property,
assets or revenues, whether now owned or hereafter acquired, other than the following:

     (a) Permitted Encumbrances;

     (b) any Lien on any property or asset of the Company or any Subsidiary set forth in
Schedule 7.02; provided that (i) such Lien shall not apply to any other property
or asset of the Company or any Subsidiary and (ii) the amount secured or benefited thereby is not
increased except as contemplated by Section 7.01(a), and (iii) any renewal or extension of
the obligations secured or benefited thereby is permitted by Section 7.01(a);

     (c) any Lien existing on any property or asset prior to the acquisition thereof by the
Company or any Subsidiary or existing on any property or asset of any Person that becomes a
Subsidiary after the date hereof prior to the time such Person becomes a Subsidiary;
provided that (i) such Lien is not created in contemplation of or in connection with such
acquisition or such Person becoming a Subsidiary, as the case may be, (ii) such Lien shall not
apply to any

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other property or assets of the Company or any other Subsidiary and (iii) such Lien
shall secure only those obligations which it secures on the date of such acquisition or the date
such Person becomes a Subsidiary (or any refinancing or replacement of such obligations which does
not increase the principal amount of such obligations), as the case may be;

     (d) (i) Liens securing Indebtedness permitted by Section 7.01(d)(i), provided that
(x) such Liens are incurred prior to or within 90 days after such acquisition or the completion of
such construction or improvement, (y) the Indebtedness secured thereby does not exceed the cost or
fair market value, whichever is lower, of the property being acquired on the date of acquisition
and (z) such Liens do not at any time encumber any property other than the property financed by
such Indebtedness and (ii) Liens securing Indebtedness permitted by Section 7.01(d)(ii),
provided that (x) such Liens were not created in contemplation of such Acquisition or such
other acquisition and (y) such Liens do not extend to any assets other than those of the Person so
acquired or the assets so acquired;

     (e) any Liens in the form of cash collateral securing letters of credit; provided
that the Indebtedness secured thereby shall not exceed $20,000,000;

     (f) Liens securing Indebtedness permitted by clause (h) of Section 7.01;

     (g) Liens on the related accounts and assets contained in such accounts securing a Cash
Pooling Financing;

     (h) (i) rights of pledge and set-off arising pursuant to the general banking conditions
declared applicable to Dutch bank accounts and (ii) Liens in favor of a banking institution
arising as a matter of Law encumbering deposits (including the right of set-off) and which are
within the general parameters customary in the banking industry; and

     (i) Liens not otherwise permitted by this Section 7.02, securing Indebtedness and
other obligations in an aggregate principal amount not to exceed $10,000,000 at any time
outstanding.

     7.03. Fundamental Changes. Merge, dissolve, liquidate, consolidate with or into another
Person, or Dispose of (whether in one transaction or in a series of transactions) all or
substantially all of its assets (whether now owned or hereafter acquired) to or in favor of any
Person, except that, if at the time thereof and immediately after giving effect thereto no Default
or Event of Default shall have occurred and be continuing:

     (a) any Subsidiary may merge or consolidate with the Company in a transaction in which the
Company is the surviving corporation;

     (b) any Credit Party may (i) sell, transfer, lease or otherwise Dispose of its assets (A) to
a Credit Party or (B) to a Non-Credit Party in an amount not to exceed the maximum amount
permitted under Section 7.12, or (ii) merge into or consolidate with a Credit Party (other
than the Company);

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     (c) any Non-Credit Party may (i) sell, transfer, lease or otherwise Dispose of its assets to
a Non-Credit Party or a Credit Party, or (ii) merge into or consolidate with a Non-Credit Party,
or (iii) merge with a Credit Party if a Credit Party is the survivor;

     (d) any Subsidiary (other than a Borrower) may liquidate or dissolve if the Company
determines in good faith that such liquidation or dissolution is in the best interests of the
Borrowers taken as a whole and is not materially disadvantageous to the Lenders, provided
that the assets of any such Subsidiary so liquidated or dissolved shall be distributed to the
Company or a wholly-owned Subsidiary of the Company;

     (e) any Subsidiary may sell, transfer, lease or otherwise Dispose of (in one transaction or
in a series of transactions), assets and properties (including Equity Interests of any Subsidiary)
so long as:

     (i) if any such Disposition shall constitute more than 2% of the consolidated tangible
assets of the Company and its Subsidiaries (as measured at the time of such Disposition at
the end of the most recently ended fiscal quarter for which financial statements have been
furnished to the Administrative Agent under Section 6.01(a) or Section
6.01(b) (or, prior to the delivery of any such statements, for the fiscal quarter ended
on March 31, 2011)), then (i) the Company shall deliver to the Administrative Agent a
certificate of a Financial Officer attaching calculations reasonably satisfactory to the
Administrative Agent evidencing compliance with Section 7.11 on a pro forma basis as
at the end of and for the most recently ended period of four fiscal quarters for which
financial statements have been furnished to the Administrative Agent under Section
6.01(a) or Section 6.01(b) (or, prior to the delivery of any such statements,
for the period of four fiscal quarters ended on March 31, 2011), (iii) demonstrating that
pro-forma Consolidated EBITDA for the period of four fiscal quarters most recently ended for
which financial statements have been furnished to the Administrative Agent under Section
6.01(a) or Section 6.01(b) (or, prior to the delivery of any such statements,
for the period of four fiscal quarters ended on March 31, 2011) after giving effect to any
such disposition is not more than 10% lower than Consolidated EBITDA for such period without
giving effect to such Disposition, and (iv) certifying that no Default or Event of Default
then exists or would result after giving effect to such Disposition; and

     (ii) such Dispositions shall not, in the aggregate, exceed an amount equal to 10% of
the Company’s consolidated tangible assets as set forth on the Company’s most recently (at
the time of such Disposition) delivered audited financial statements referred to in
Section 6.01(a); and

     (f) any Person that is not a Subsidiary may merge with and into the Company or any of its
wholly-owned Subsidiaries in a Permitted Acquisition or consolidate with any of its wholly-owned
Subsidiaries; provided that if such Subsidiary is a Credit Party the survivor shall be a
Credit Party.

     7.04. Investments. Make or hold any Investments, except:

     (a) Permitted Investments;

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     (b) Investments by the Company existing on the date hereof in the capital stock of its
Subsidiaries;

     (c) investments in, including loans and advances made by (i) a Credit Party to any other
Credit Party, (ii) a Non-Credit Party to a Non-Credit Party, (iii) a Non-Credit Party to a Credit
Party, and (iv) a Credit Party to a Non-Credit Party to the extent permitted by Section
7.12;

     (d) Guarantees and other Indebtedness (to the extent constituting an Investment) permitted by
Section 7.01;

     (e) Investments consisting of Permitted Acquisitions;

     (f) investments in the capital stock or other securities of a Person (not constituting a
Permitted Acquisition) in an amount not to exceed $30,000,000 for the period from and after the
Closing Date;

     (g) the Guaranties;

     (h) Investments set forth on Schedule 7.04; and

     (i) Investments not otherwise permitted by this Section 7.04 in an aggregate amount
not to exceed $10,000,000 at any time outstanding.

     7.05. Swap Contracts. Enter into any Swap Contract, except (a) Swap Contracts entered into to
hedge or mitigate risks to which the Company or any Subsidiary has actual exposure (other than
those in respect of Equity Interests of the Company or any of its Subsidiaries), and (b) Swap
Contracts entered into in order to effectively cap, collar or exchange interest rates (from fixed
to floating rates, from one floating rate to another floating rate or otherwise) with respect to
any interest-bearing liability or investment of the Company or any Subsidiary.

     7.06. Restricted Payments. Declare or make, directly or indirectly, any Restricted Payment,
except (a) the Company may declare and pay dividends with respect to its Equity Interests payable
solely in additional shares of its common stock, (b) Subsidiaries may declare and pay dividends and
other distributions ratably with respect to their Equity Interests, (c) the Company may make
Restricted Payments pursuant to and in accordance with stock option plans or other benefit plans
for management or employees of the Company and its Subsidiaries, and (d) Permitted Stock
Repurchases.

     7.07. Change in Nature of Business. Engage to any material extent in any business other than
businesses of the type conducted by the Company and its Subsidiaries on the date of execution of
this Agreement and businesses reasonably related thereto.

     7.08. Transactions with Affiliates. Enter into any transaction of any kind with any of its
Affiliates, except (a) whether or not in the ordinary course of business, (i) at prices and on
terms and conditions not materially less favorable to the Company or such Subsidiary than could be
obtained on an arm’s-length basis from unrelated third parties, (ii) transactions between or

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among
the Company and its wholly owned Subsidiaries not involving any other Affiliate and (iii) any
Restricted Payment permitted by Section 7.06, (b) (i) employment and severance arrangements
between the Company and its Subsidiaries and their respective officers and employees in the
ordinary course of business and (ii) the payment of customary fees, compensation, and out-of-pocket
costs to, and indemnities provided on behalf of, directors, officers and employees of the Company
and its Subsidiaries in the ordinary course of business, and (c) the matters described in
Schedule 7.08 hereof. The CCT Transactions shall not be prohibited by this Section
7.08.

     7.09. Burdensome Agreements. Enter into, incur or permit to exist any agreement or other
arrangement that prohibits, restricts or imposes any condition upon (a) the ability of the Company
or any Subsidiary to create, incur or permit to exist any Lien upon any of its property or assets
to secure the Obligations, or (b) the ability of any Subsidiary to pay dividends or other
distributions with respect to any shares of its capital stock or to make or repay loans or advances
to the Company or any other Subsidiary or to Guarantee Indebtedness of the Company or any other
Subsidiary; provided that (i) the foregoing shall not apply to restrictions and conditions
imposed by law or by this Agreement or the other Loan Documents, (ii) the foregoing shall not apply
to restrictions and conditions (x) in those documents, instruments and agreements identified on
Schedule 7.09 and any extension or renewal of, or any amendment or modification or (in the
case of any such documents, instruments and agreements relating to Indebtedness) refinancing
thereof, so long as the scope of any such restriction or condition is not expanded or (y) pursuant
to the provisions governing Indebtedness permitted pursuant to clause (e) or (h) of Section
7.01, so long as such restrictions are not more restrictive than any restriction in this
Agreement, (iii) the foregoing shall not apply to customary restrictions and conditions contained
in agreements relating to the sale of the Equity Interests in a Subsidiary or the assets of the
Company or a Subsidiary pending such sale, provided such restrictions and conditions apply
only to the Equity Interests or assets that is to be sold and such sale is permitted hereunder,
(iv) clause (a) of the foregoing shall not apply to restrictions or conditions imposed by any
agreement relating to secured Indebtedness permitted by this Agreement if such restrictions or
conditions apply only to the property or assets securing such Indebtedness; (v) clause (a) of the
foregoing shall not apply to customary provisions in leases and other contracts restricting the
assignment thereof; and (vi) the foregoing shall not apply to customary restrictions and conditions
contained in agreements relating to a Cash Pooling Financing.

     7.10. Use of Proceeds. Use the proceeds of any Credit Extension, whether directly or
indirectly, for any purpose that entails a violation of any of the regulations of the FRB,
including Regulations T, U and X.

     7.11. Financial Covenants.

     (a) Consolidated Interest Coverage Ratio. Permit the Consolidated Interest Coverage
Ratio as of the end of any period of four fiscal quarters of the Company to be less 3.50 to 1.00.

     (b) Consolidated Leverage Ratio. Permit the Consolidated Leverage Ratio as of the
end of any period of four fiscal quarters of the Company to be greater than 3.00 to 1.00:

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     7.12. Transfers from Credit Parties to Non-Credit Parties. The Credit Parties will not allow
the sum of (a) outstanding Indebtedness of a Non-Credit Party to a Credit Party incurred pursuant
to Section 7.01(b)(iv), plus (b) the outstanding Guarantees of Indebtedness of a
Non-Credit Party by a Credit Party incurred pursuant to Section 7.01(c)(iv), plus (c) the
fair market value of any assets disposed of by a Credit Party to a Non-Credit Party pursuant to
Section 7.03(b)(i)(B), net of any transfer to such Credit Party in consideration of such
disposition, plus (d) without duplication of amounts referenced in clause (c) above,
Investments by a Credit Party to a Non-Credit Party pursuant to Section 7.04(c)(iv), net of
any transfer to such Credit Party in consideration of such Investment, to exceed $50,000,000 at any
time.

     7.13. Fiscal Year. Make any change in the manner of determining the date on which their
respective fiscal year ends without giving prior notice to the Administrative Agent.

     7.14. Amendments. The Company shall not and shall ensure that no Subsidiary will amend, vary,
novate, supplement, supersede, waive or terminate any term of any Organization Document except in
writing (a) with the prior written consent of the Required Lenders and the Administrative Agent or
(b) in a way which could not be reasonably expected to materially and adversely affect the
interests of the Administrative Agent, the Lenders or the L/C Issuer.

ARTICLE VIII.

EVENTS OF DEFAULT AND REMEDIES

     8.01. Events of Default. Any of the following shall constitute an Event of Default:

     (a) Non-Payment. The Borrower or any other Loan Party fails to (i) pay when and as
required to be paid herein, and in the currency required hereunder, any amount of principal of any
Loan or any L/C Obligation or deposit any funds as Cash Collateral as and when required hereunder,
or (ii) pay within three Business Days after the same becomes due, any interest on any Loan or on
any L/C Obligation, any fee due hereunder or any other amount payable hereunder or under any other
Loan Document; or

     (b) Specific Covenants. (i) The Borrower fails to perform or observe any term,
covenant or agreement contained in any of Section 2.14(a), 2.14(b), 6.03,
6.04(a) (with respect to any Borrower’s existence), 6.09 or Article VII;
or

     (c) Other Defaults. Any Borrower or any other Loan Party fails to perform or observe
any other covenant or agreement (not specified in Section 8.01(a) or (b) above)
contained in any Loan Document on its part to be performed or observed and such failure continues
for 30 days after notice thereof from the Administrative Agent to any Borrower (which notice will
be given at the request of any Lender); or

     (d) Representations and Warranties. Any representation, warranty, certification or
statement of fact made or deemed made by or on behalf of the Company or any Subsidiary herein, in
any other Loan Document, or in any document delivered in connection herewith or therewith shall be
incorrect or misleading in any material respect when made or deemed made; or

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     (e) Cross-Default. (i) Any Loan Party or any Subsidiary thereof fails to make any
payment when due (whether by scheduled maturity, required prepayment, acceleration, demand, or
otherwise) in respect of any Indebtedness (including, without limitation, Indebtedness under any
Guarantee) in excess of the Threshold Amount, or fails to observe or perform any other agreement
or condition relating to any such Indebtedness or contained in any instrument or agreement
evidencing, securing or relating thereto, or any other event occurs, the effect of which default
or other event is to cause, or to permit the holder or holders of such Indebtedness (or the
beneficiary or beneficiaries of a Guarantee) (or a trustee or agent on behalf of such holder or
holders or beneficiary or beneficiaries) to cause, with the giving of notice if required, such
Indebtedness to be demanded or to become due or to be repurchased, prepaid, defeased or redeemed
(automatically or otherwise), or an offer to repurchase, prepay, defease or
redeem such Indebtedness to be made, prior to its stated maturity (or such Guarantee to
become payable) or cash collateral in lieu of any such repurchase, prepayment, defeasance or
redemption to be demanded, provided that this clause (i) shall not apply to secured Indebtedness
that becomes due as a result of the voluntary sale or transfer of the property or assets securing
such Indebtedness or as a result of the voluntary sale or transfer of Equity Interests owned by
the Company or any Subsidiary in a transaction not prohibited hereunder; or (ii) there occurs
under any Swap Contract an Early Termination Date (as defined in such Swap Contract) resulting
from (A) any event of default under such Swap Contract as to which a Loan Party or any Subsidiary
thereof is the Defaulting Party (as defined in such Swap Contract) or (B) any Termination Event
(as so defined) under such Swap Contract as to which a Loan Party or any Subsidiary thereof is an
Affected Party (as so defined) and, in either event, the Swap Termination Value owed by such Loan
Party or such Subsidiary as a result thereof is greater than the Threshold Amount; or

     (f) Insolvency Proceedings, Etc. (i) Any Borrower or any Material Subsidiary shall
(A) voluntarily commence any proceeding or file any petition seeking liquidation, reorganization
or other relief under any Debtor Relief Law now or hereafter in effect, (B) consent to the
institution of, or fail to contest in a timely and appropriate manner, any proceeding or petition
described in clause (ii) below, (C) apply for or consent to the appointment of a receiver,
trustee, custodian, sequestrator, conservator or similar official for any Borrower or any Material
Subsidiary or for a substantial part of its assets, (D) file an answer admitting the material
allegations of a petition filed against it in any such proceeding, (E) make a general assignment
for the benefit of creditors or (F) take any action for the purpose of effecting any of the
foregoing or (ii) an involuntary proceeding shall be commenced or an involuntary petition shall be
filed seeking (A) liquidation, reorganization or other relief in respect of any Borrower or any
Material Subsidiary or its debts, or of a substantial part of its assets, under any Debtor Relief
Law now or hereafter in effect or (B) the appointment of a receiver, trustee, custodian,
sequestrator, conservator or similar official for the Borrowers or any Material Subsidiary or for
a substantial part of its assets, and, in any such case, such proceeding or petition shall
continue undismissed for 60 days or an order or decree approving or ordering any of the foregoing
shall be entered; or

     (g) Inability to Pay Debts; Attachment. Any Borrower or any Material Subsidiary
thereof admits in writing its inability to pay its debts as they become due; or

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     (h) Judgments. There is entered against any Borrower or any Subsidiary one or more
judgments for the payment of money in an aggregate amount (for all such judgments) in excess of
the Threshold Amount and the same shall remain undischarged or unsatisfied for a period of 30
consecutive days during which execution shall not be effectively stayed, or any action shall be
legally taken by a judgment creditor to attach or levy upon any assets of any Borrower or any
Subsidiary to enforce any such judgment that is not promptly stayed; or

     (i) ERISA. (i) An ERISA Event occurs with respect to a Pension Plan or Multiemployer
Plan which has resulted or could reasonably be expected to result in liability of any Loan Party
under Title IV of ERISA to the Pension Plan, Multiemployer Plan or the PBGC in an aggregate amount
in excess of the Threshold Amount, or (ii) any Loan Party or any ERISA Affiliate fails to pay when
due, after the expiration of any applicable grace period, any
installment payment with respect to its withdrawal liability under Section 4201 of ERISA
under a Multiemployer Plan in an aggregate amount in excess of the Threshold Amount; or

     (j) Invalidity of Loan Documents. Any material provision of any Loan Document, at
any time after its execution and delivery and for any reason other than as expressly permitted
hereunder or thereunder or satisfaction in full of all the Obligations, ceases to be in full force
and effect; or any Loan Party contests in writing the validity or enforceability of any provision
of any Loan Document; or any Loan Party denies in writing that it has any or further liability or
obligation under any provision of any Loan Document, or purports in writing to revoke, terminate
or rescind any provision of any Loan Document; or

     (k) Change of Control. There occurs any Change of Control.

     8.02. Remedies upon Event of Default. If any Event of Default occurs and is continuing, the
Administrative Agent shall, at the request of, or may, with the consent of, the Required Lenders,
take any or all of the following actions:

     (a) declare the commitment of each Lender to make Loans and any obligation of the L/C Issuer
to make L/C Credit Extensions to be terminated, whereupon such commitments and obligation shall be
terminated;

     (b) declare the unpaid principal amount of all outstanding Loans, all interest accrued and
unpaid thereon, and all other amounts owing or payable hereunder or under any other Loan Document
to be immediately due and payable, without presentment, demand, protest or other notice of any
kind, all of which are hereby expressly waived by the Borrowers;

     (c) require that the Company Cash Collateralize the L/C Obligations (in an amount equal to
the then Outstanding Amount thereof); and

     (d) exercise on behalf of itself, the Lenders and the L/C Issuer all rights and remedies
available to it, the Lenders and the L/C Issuer under the Loan Documents;

provided, however, that upon the occurrence of an actual or deemed entry of an
order for relief with respect to any Borrower under the Bankruptcy Code of the United States, the
obligation of each Lender to make Loans and any obligation of the L/C Issuer to make L/C Credit
Extensions shall automatically terminate, the unpaid principal amount of all outstanding Loans and
all

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interest and other amounts as aforesaid shall automatically become due and payable, and the
obligation of the Company to Cash Collateralize the L/C Obligations as aforesaid shall
automatically become effective, in each case without further act of the Administrative Agent or any
Lender.

     8.03. Application of Funds. After the exercise of remedies provided for in Section
8.02 (or after the Loans have automatically become immediately due and payable and the L/C
Obligations have automatically been required to be Cash Collateralized as set forth in the proviso
to Section 8.02), any amounts received on account of the Obligations shall, subject to
Sections 2.14 and 2.15, be applied by the Administrative Agent in the following
order:

     First, to payment of that portion of the Obligations constituting fees, indemnities,
expenses and other amounts (including fees, charges and disbursements of counsel to the
Administrative Agent and amounts payable under Article III) payable to the Administrative
Agent in its capacity as such;

     Second, to payment of that portion of the Obligations constituting fees, indemnities
and other amounts (other than principal, interest and Letter of Credit Fees) payable to the Lenders
and the L/C Issuer (including fees, charges and disbursements of counsel to the respective Lenders
and the L/C Issuer and amounts payable under Article III, ratably among them in proportion
to the respective amounts described in this clause Second payable to them;

     Third, to payment of that portion of the Obligations constituting accrued and unpaid
Letter of Credit Fees and interest on the Loans, L/C Borrowings and other Obligations, ratably
among the Lenders and the L/C Issuer in proportion to the respective amounts described in this
clause Third payable to them;

     Fourth, to payment of that portion of the Obligations constituting unpaid principal of
the Loans and L/C Borrowings, ratably among the Lenders and the L/C Issuer in proportion to the
respective amounts described in this clause Fourth held by them;

     Fifth, to the Administrative Agent for the account of the L/C Issuer, to Cash
Collateralize that portion of L/C Obligations comprised of the aggregate undrawn amount of Letters
of Credit;

     Last, the balance, if any, after all of the Obligations have been indefeasibly paid in
full, to the Company or as otherwise required by Law.

Subject to Section 2.03(c), amounts used to Cash Collateralize the aggregate undrawn amount
of Letters of Credit pursuant to clause Fifth above shall be applied to satisfy drawings
under such Letters of Credit as they occur. If any amount remains on deposit as Cash Collateral
after all Letters of Credit have either been fully drawn or expired, such remaining amount shall be
applied to the other Obligations, if any, in the order set forth above.

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ARTICLE IX.

ADMINISTRATIVE AGENT

     9.01. Appointment and Authority.

     Each of the Lenders and the L/C Issuer hereby irrevocably appoints Bank of America to act on
its behalf as the Administrative Agent hereunder and under the other Loan Documents and authorizes
the Administrative Agent to take such actions on its behalf and to exercise such powers as are
delegated to the Administrative Agent by the terms hereof or thereof, together with such actions
and powers as are reasonably incidental thereto. The provisions of this Article are solely for the
benefit of the Administrative Agent, the Lenders and the L/C Issuer, and neither any Borrower nor
any other Loan Party shall have rights as a third party beneficiary of any of such provisions.

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

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

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

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

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

     The Administrative Agent shall not be liable for any action taken or not taken by it (i) with
the consent or at the request of the Required Lenders (or such other number or percentage

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of the Lenders as shall be necessary, or as the Administrative Agent shall believe in good
faith shall be necessary, under the circumstances as provided in Sections 11.01 and
8.02) or (ii) in the absence of its own gross negligence or willful misconduct. The
Administrative Agent shall be deemed not to have knowledge of any Default unless and until notice
describing such Default is given to the Administrative Agent by the Company, a Lender or the L/C
Issuer.

     The Administrative Agent shall not be responsible for or have any duty to ascertain or inquire
into (i) any statement, warranty or representation made in or in connection with this Agreement or
any other Loan Document, (ii) the contents of any certificate, report or other document delivered
hereunder or thereunder or in connection herewith or therewith, (iii) the performance or observance
of any of the covenants, agreements or other terms or conditions set forth herein or therein or the
occurrence of any Default, (iv) the validity, enforceability, effectiveness or genuineness of this
Agreement, any other Loan Document or any other agreement, instrument or document, or (v) the
satisfaction of any condition set forth in Article IV or elsewhere herein, other than to
confirm receipt of items expressly required to be delivered to the Administrative Agent.

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

     9.05. Delegation of Duties. The Administrative Agent may perform any and all of its duties
and exercise its rights and powers hereunder or under any other Loan Document by or through any one
or more sub-agents appointed by the Administrative Agent. The Administrative Agent and any such
sub-agent may perform any and all of its duties and exercise its rights and powers by or through
their respective Related Parties. The exculpatory provisions of this Article shall apply to any
such sub-agent and to the Related Parties of the Administrative Agent and any such sub-agent, and
shall apply to their respective activities in connection with the syndication of the credit
facilities provided for herein as well as activities as Administrative Agent.

     9.06. Resignation of Administrative Agent. The Administrative Agent may at any time give
notice of its resignation to the Lenders, the L/C Issuer and the Company. Upon receipt of any such
notice of resignation, the Required Lenders shall have the right, with the consent of the Company
unless an Event of Default has occurred and is continuing (such consent not to be

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unreasonably withheld), to appoint a successor, which shall be a bank with an office in the
United States, or an Affiliate of any such bank with an office in the United States. If no such
successor shall have been so appointed by the Required Lenders and shall have accepted such
appointment within 30 days after the retiring Administrative Agent gives notice of its resignation,
then the retiring Administrative Agent may on behalf of the Lenders and the L/C Issuer, with the
consent of the Company unless an Event of Default has occurred and is continuing (such consent not
to be unreasonably withheld), appoint a successor Administrative Agent meeting the qualifications
set forth above; provided that if the Administrative Agent shall notify the Company and the Lenders
that no qualifying Person has accepted such appointment, then such resignation shall nonetheless
become effective in accordance with such notice and (1) the retiring Administrative Agent shall be
discharged from its duties and obligations hereunder and under the other Loan Documents (except
that in the case of any collateral security held by the Administrative Agent on behalf of the
Lenders or the L/C Issuer under any of the Loan Documents, the retiring Administrative Agent shall
continue to hold such collateral security until such time as a successor Administrative Agent is
appointed) and (2) all payments, communications and determinations provided to be made by, to or
through the Administrative Agent shall instead be made by or to each Lender and the L/C Issuer
directly, until such time as the Required Lenders appoint a successor Administrative Agent as
provided for above in this Section. Upon the acceptance of a successor’s appointment as
Administrative Agent hereunder, such successor shall succeed to and become vested with all of the
rights, powers, privileges and duties of the retiring (or retired) Administrative Agent, and the
retiring Administrative Agent shall be discharged from all of its duties and obligations hereunder
or under the other Loan Documents (if not already discharged therefrom as provided above in this
Section). The fees payable by the Company to a successor Administrative Agent shall be the same as
those payable to its predecessor unless otherwise agreed between the Company and such successor.
After the retiring Administrative Agent’s resignation hereunder and under the other Loan Documents,
the provisions of this Article and Section 11.04 shall continue in effect for the benefit
of such retiring Administrative Agent, its sub-agents and their respective Related Parties in
respect of any actions taken or omitted to be taken by any of them while the retiring
Administrative Agent was acting as Administrative Agent.

     Any resignation by Bank of America as Administrative Agent pursuant to this Section shall also
constitute its resignation as L/C Issuer and Swing Line Lender. Upon the acceptance of a
successor’s appointment as Administrative Agent hereunder, (a) such successor shall succeed to and
become vested with all of the rights, powers, privileges and duties of the retiring L/C Issuer and
Swing Line Lender, (b) the retiring L/C Issuer and Swing Line Lender shall be discharged from all
of their respective duties and obligations hereunder or under the other Loan Documents, and (c) the
successor L/C Issuer shall issue letters of credit in substitution for the Letters of Credit, if
any, outstanding at the time of such succession or make other arrangements satisfactory to the
retiring L/C Issuer to effectively assume the obligations of the retiring L/C Issuer with respect
to such Letters of Credit.

     If the Person serving as Administrative Agent is a Defaulting Lender pursuant to clause (d) of
the definition of Defaulting Lender, the Required Lenders may, to the extent permitted by
applicable Law, by notice in writing to the Company and such Person, remove such Person as
Administrative Agent and, with the consent of the Company unless an Event of Default has occurred
and is continuing (such consent not to be unreasonably withheld), appoint a successor

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Administrative Agent. If no such successor shall have been appointed and shall have accepted
such appointment within thirty (30) days (or such earlier day as shall be agreed by the Required
Lenders) (the “Removal Effective Date”), then such removal shall nonetheless become
effective in accordance with notice on the Removal Effective Date.

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

     9.08. No Other Duties, Etc. Anything herein to the contrary notwithstanding, none of the
Arrangers, Book Managers or Syndication Agents listed on the cover page hereof shall have any
powers, duties or responsibilities under this Agreement or any of the other Loan Documents, except
in its capacity, as applicable, as the Administrative Agent, a Lender or the L/C Issuer hereunder.

     9.09. Administrative Agent May File Proofs of Claim. In case of the pendency of any
proceeding under any Debtor Relief Law or any other judicial proceeding relative to any Loan Party,
the Administrative Agent (irrespective of whether the principal of any Loan or L/C Obligation shall
then be due and payable as herein expressed or by declaration or otherwise and irrespective of
whether the Administrative Agent shall have made any demand on any Borrower) shall be entitled and
empowered, by intervention in such proceeding or otherwise

     (a) to file and prove a claim for the whole amount of the principal and interest owing and
unpaid in respect of the Loans, L/C Obligations and all other Obligations that are owing and
unpaid and to file such other documents as may be necessary or advisable in order to have the
claims of the Lenders, the L/C Issuer and the Administrative Agent (including any claim for the
reasonable compensation, expenses, disbursements and advances of the Lenders, the L/C Issuer and
the Administrative Agent and their respective agents and counsel and all other amounts due the
Lenders, the L/C Issuer and the Administrative Agent under Sections 2.03(i) and
(j), 2.09 and 11.04) allowed in such judicial proceeding; and

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

and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official
in any such judicial proceeding is hereby authorized by each Lender and the L/C Issuer to make such
payments to the Administrative Agent and, if the Administrative Agent shall consent to the making
of such payments directly to the Lenders and the L/C Issuer, to pay to the Administrative Agent any
amount due for the reasonable compensation, expenses, disbursements and advances

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of the Administrative Agent and its agents and counsel, and any other amounts due the
Administrative Agent under Sections 2.09 and 11.04.

     Nothing contained herein shall be deemed to authorize the Administrative Agent to authorize or
consent to or accept or adopt on behalf of any Lender or the L/C Issuer any plan of reorganization,
arrangement, adjustment or composition affecting the Obligations or the rights of any Lender or the
L/C Issuer to authorize the Administrative Agent to vote in respect of the claim of any Lender or
the L/C Issuer or in any such proceeding.

     9.10. Collateral and Guaranty Matters. The Lenders and the L/C Issuer irrevocably authorize
the Administrative Agent, at its option and in its discretion,

     (a) to release any Lien on any property granted to or held by the Administrative Agent under
any Loan Document (i) upon termination of the Aggregate Commitments and payment in full of all
Obligations (other than contingent indemnification obligations) and the expiration or termination
of all Letters of Credit (other than Letters of Credit as to which other arrangements satisfactory
to the Administrative Agent and the L/C Issuer shall have been made), (ii) that is sold or to be
sold as part of or in connection with any sale permitted hereunder or under any other Loan
Document, or (iii) if approved, authorized or ratified in writing in accordance with Section
11.01;

     (b) to subordinate any Lien on any property granted to or held by the Administrative Agent
under any Loan Document to the holder of any Lien on such property that is permitted by
Section 7.02(d);

     (c) to release any Subsidiary Guarantor from its obligations under the Subsidiary Guaranty if
(i) such Person ceases to be a Subsidiary as a result of a transaction not prohibitted hereunder
or (ii) such Person shall cease to be a Material US Subsidiary (it being understood that all
Material US Subsidiaries shall at times be a party to the Subsidiary Guaranty); and

     (d) to release any Designated Borrower from its obligations under this Agreement (subject to
compliance with Section 2.16(e)) (i) if such Person ceases to be a Subsidiary as a result
of a transaction not prohibitted hereunder or (ii) in accordance with Section 2.16(e).

     Upon request by the Administrative Agent at any time, the Required Lenders will confirm in
writing the Administrative Agent’s authority to release or subordinate its interest in particular
types or items of property, or to release any Subsidiary Guarantor or Designated Borrower from its
obligations under the Subsidiary Guaranty or this Agreement, as applicable, pursuant to this
Section 9.10.

ARTICLE X.

GUARANTY

     10.01. Company Guaranty.

     (a) Guaranty. The Company hereby absolutely and unconditionally guarantees, as a
guaranty of payment and performance and not merely as a guaranty of collection, prompt payment
when due, whether at stated maturity, by required prepayment, upon acceleration,

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demand or otherwise, and at all times thereafter, of any and all of the Obligations, whether
for principal, interest, premiums, fees, indemnities, damages, costs, expenses or otherwise, of
each of the Designated Borrowers to the Lender Parties, and whether arising hereunder or under any
other Loan Document (including all renewals, extensions, amendments and other modifications
thereof and all costs, attorneys’ fees and expenses incurred by the Lender Parties in connection
with the collection or enforcement thereof) and whether recovery upon such Obligations may be or
hereafter become unenforceable or shall be an allowed or disallowed claim under any proceeding or
case commenced by or against the Company or any Designated Borrower under any Debtor Relief Laws,
and including interest that accrues after the commencement by or against any Designated Borrower
of any proceeding under any Debtor Relief Laws (collectively, the “Guaranteed Designated
Borrower Obligations”). The Administrative Agent’s books and records showing the amount of
the Guaranteed Designated Borrower Obligations shall be admissible in evidence in any action or
proceeding, and shall be binding upon the Company, and conclusive for the purpose of establishing
the amount of such Guaranteed Designated Borrower Obligations. This Company Guaranty shall not be
affected by the genuineness, validity, regularity or enforceability of the Guaranteed Designated
Borrower Obligations or any instrument or agreement evidencing any Guaranteed Designated Borrower
Obligations, or by the existence, validity, enforceability, perfection, non-perfection or extent
of any collateral therefor, or by any fact or circumstance relating to the Guaranteed Designated
Borrower Obligations which might otherwise constitute a defense to the obligations of the Company
under this Company Guaranty, and the Company hereby irrevocably waives any defenses it may now
have or hereafter acquire in any way relating to any or all of the foregoing.

     (b) Rights of Lender Parties. The Company consents and agrees that the Lender
Parties may, at any time and from time to time, without notice or demand, and without affecting
the enforceability or continuing effectiveness hereof: (i) amend, extend, renew, compromise,
discharge, accelerate or otherwise change the time for payment or the terms of the Guaranteed
Designated Borrower Obligations or any part thereof; (ii) take, hold, exchange, enforce, waive,
release, fail to perfect, sell, or otherwise dispose of any security for the payment of this
Company Guaranty or any Guaranteed Designated Borrower Obligations; (iii) apply such security and
direct the order or manner of sale thereof as the Administrative Agent, the L/C Issuer and the
Lenders in their sole discretion may determine; and (iv) release or substitute one or more of any
endorsers or other guarantors of any of the Guaranteed Designated Borrower Obligations. Without
limiting the generality of the foregoing, the Company consents to the taking of, or failure to
take, any action which might in any manner or to any extent vary the risks of the Company under
this Company Guaranty or which, but for this provision, might operate as a discharge of the
Company.

     (c) Certain Waivers. The Company waives (i) any defense arising by reason of any
disability or other defense of any Designated Borrower or any other guarantor, or the cessation
from any cause whatsoever (including any act or omission of any Lender Party) of the liability of
any Designated Borrower; (ii) any defense based on any claim that the Company’s obligations exceed
or are more burdensome than those of any Designated Borrower; (iii) the benefit of any statute of
limitations affecting any Designated Borrower’s liability hereunder; (iv) except as expressly set
forth in Section 10.01(f) below, any right to proceed against any Designated Borrower,
proceed against or exhaust any security for the Guaranteed Designated

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Borrower Obligations, or pursue any other remedy in the power of any Lender Party whatsoever;
(v) except as expressly set forth in Section 10.01(f) below, any benefit of and any right
to participate in any security now or hereafter held by any Lender Party; and (vi) to the fullest
extent permitted by law, any and all other defenses or benefits that may be derived from or
afforded by applicable law limiting the liability of or exonerating guarantors or sureties. The
Company expressly waives all setoffs and counterclaims and all presentments, demands for payment
or performance, notices of nonpayment or nonperformance, protests, notices of protest, notices of
dishonor and all other notices or demands of any kind or nature whatsoever with respect to the
Guaranteed Designated Borrower Obligations, and all notices of acceptance of this Company Guaranty
or of the existence, creation or incurrence of new or additional Guaranteed Designated Borrower
Obligations.

     (d) Obligations Independent. The obligations of the Company under this Company
Guaranty are those of primary obligor, and not merely as surety, and are independent of the
Guaranteed Designated Borrower Obligations and the obligations of any other guarantor, and a
separate action may be brought against the Company to enforce this Company Guaranty whether or not
any Designated Borrower or any other Person or entity is joined as a party.

     (e) Payments. All payments by the Company shall be made in the manner under this
Company Guaranty, at the place and in the currency (the “Payment Currency”) required by
this Agreement and the other Loan Documents; provided, however, that (if the
Payment Currency is other than Dollars) the Company may, at its option (or, if for any reason
whatsoever the Company is unable to effect payments in the foregoing manner, the Company shall be
obligated to) pay to the Administrative Agent at the Administrative Agent’s Office in Dollars the
Dollar Equivalent of the amount of such Guaranteed Designated Borrower Obligation together with
any other amounts due pursuant to Section 3.05. In any case in which the Company makes or
is obligated to make payment in Dollars, the Company shall hold the Administrative Agent harmless
from any loss incurred by the Administrative Agent arising from any change in the value of Dollars
in relation to the Payment Currency between the date the Guaranteed Designated Borrower Obligation
becomes due and the date the Administrative Agent is actually able, following the conversion of
the Dollars paid by the Company into the Payment Currency and remittance of such Payment Currency
to the place where such Guaranteed Designated Borrower Obligation is payable, to apply such
Payment Currency to such Guaranteed Designated Borrower Obligation. The obligations of the
Company hereunder shall not be affected by any acts of any legislative body or Governmental
Authority affecting the Company or any Designated Borrower, including but not limited to, any
restrictions on the conversion of currency or repatriation or control of funds or any total or
partial expropriation of the Company’s or any Designated Borrower’s property, or by economic,
political, regulatory or other events in the countries where the Company or any Designated
Borrower is located.

     (f) Subrogation. The Company shall not exercise any right of subrogation,
contribution, indemnity, reimbursement or similar rights with respect to any payments it makes
under this Company Guaranty until all of the Guaranteed Designated Borrower Obligations and any
amounts payable under this Company Guaranty have been paid and performed in full in cash and the
Commitments and the Facilities are terminated. If any amounts are paid to the Company in
violation of the foregoing limitation, then such amounts shall be held in trust for

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the benefit of the Lender Parties and shall forthwith be paid to the Lender Parties to reduce
the amount of the Guaranteed Designated Borrower Obligations, whether matured or unmatured.

     (g) Termination; Reinstatement. This Company Guaranty is a continuing and
irrevocable guaranty of all Guaranteed Designated Borrower Obligations now or hereafter existing
and shall remain in full force and effect until all Guaranteed Designated Borrower Obligations and
any other amounts payable under this Company Guaranty are indefeasibly paid in full in cash and
the Commitments and the Facilities with respect to the Guaranteed Designated Borrower Obligations
are terminated. Notwithstanding the foregoing, this Company Guaranty shall continue in full force
and effect or be revived, as the case may be, if any payment by or on behalf of any Designated
Borrower or the Company is made, or any of the Lender Parties exercises its right of setoff, in
respect of the Guaranteed Designated Borrower Obligations and such payment or the proceeds of such
setoff or any part thereof is subsequently invalidated, declared to be fraudulent or preferential,
set aside or required (including pursuant to any settlement entered into by any of the Lender
Parties in their discretion) to be repaid to a trustee, receiver or any other party, in connection
with any proceeding under any Debtor Relief Laws or otherwise, all as if such payment had not been
made or such setoff had not occurred and whether or not the Lender Parties are in possession of or
have released this Company Guaranty and regardless of any prior revocation, rescission,
termination or reduction. The obligations of the Company under this paragraph shall survive
termination of this Company Guaranty.

     (h) Subordination. The Company hereby subordinates the payment of all obligations
and indebtedness of each Designated Borrower owing to the Company, whether now existing or
hereafter arising, including but not limited to any obligation of any Designated Borrower to the
Company as subrogee of the Lender Parties or resulting from the Company’s performance under this
Company Guaranty, to the payment in full in cash of all Guaranteed Designated Borrower
Obligations, provided, however, that the foregoing subordination shall not be
given effect until such time as the Lender Parties shall have made a request to the Company
pursuant to the second sentence of this Section 10.01(h). At any time any Event of
Default shall have occurred and be continuing, if the Lender Parties so request, any such
obligation or indebtedness of any Designated Borrower to the Company shall be enforced and
performance received by the Company as trustee for the Lender Parties and the proceeds thereof
shall be paid over to the Lender Parties on account of the applicable Guaranteed Designated
Borrower Obligations, but without reducing or affecting in any manner the liability of the Company
under this Company Guaranty.

     (i) Stay of Acceleration. If acceleration of the time for payment of any of the
Guaranteed Designated Borrower Obligations is stayed, in connection with any case commenced by or
against the Company or any Designated Borrower under any Debtor Relief Laws, or otherwise, all
such amounts shall nonetheless be payable by the Company immediately upon demand by the Lender
Parties.

     (j) Condition of Borrowers. The Company acknowledges and agrees that it has the sole
responsibility for, and has adequate means of, obtaining from the Designated Borrowers and any
other guarantor such information concerning the financial condition, business and operations of
each Designated Borrower and any such other guarantor as the Company requires,

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and that none of the Lender Parties has any duty, and the Company is not relying on the
Lender Parties at any time, to disclose to the Company any information relating to the business,
operations or financial condition of any Designated Borrower or any other guarantor (the Company
waiving any duty on the part of the Lender Parties to disclose such information and any defense
relating to the failure to provide the same).

     10.02. Subsidiary Guaranty.

     (a) Guaranty. Each Subsidiary Guarantor hereby absolutely and unconditionally
guarantees, as a guaranty of payment and performance and not merely as a guaranty of collection,
prompt payment when due, whether at stated maturity, by required prepayment, upon acceleration,
demand or otherwise, and at all times thereafter, of any and all of the Obligations, whether for
principal, interest, premiums, fees, indemnities, damages, costs, expenses or otherwise, of the
Borrowers to the Lender Parties, and whether arising hereunder or under any other Loan Document
(including all renewals, extensions, amendments and other modifications thereof and all costs,
attorneys’ fees and expenses incurred by the Lender Parties in connection with the collection or
enforcement thereof) and whether recovery upon such Obligations may be or hereafter become
unenforceable or shall be an allowed or disallowed claim under any proceeding or case commenced by
or against any Subsidiary Guarantor or any Borrower under any Debtor Relief Laws, and including
interest that accrues after the commencement by or against any Borrower of any proceeding under
any Debtor Relief Laws (collectively, the “Guaranteed Borrower Obligations”). The
Administrative Agent’s books and records showing the amount of the Guaranteed Borrower Obligations
shall be admissible in evidence in any action or proceeding, and shall be binding upon each
Subsidiary Guarantor, and conclusive for the purpose of establishing the amount of the Guaranteed
Borrower Obligations. This Subsidiary Guaranty shall not be affected by the genuineness,
validity, regularity or enforceability of the Guaranteed Borrower Obligations or any instrument or
agreement evidencing any Guaranteed Borrower Obligations, or by the existence, validity,
enforceability, perfection, non-perfection or extent of any collateral therefor, or by any fact or
circumstance relating to the Guaranteed Borrower Obligations which might otherwise constitute a
defense to the obligations of any Subsidiary Guarantor under this Subsidiary Guaranty, and each
Subsidiary Guarantor hereby irrevocably waives any defenses it may now have or hereafter acquire
in any way relating to any or all of the foregoing. Anything contained herein to the contrary
notwithstanding, the obligations of each Subsidiary Guarantor hereunder at any time shall be
limited to an aggregate amount equal to the largest amount that would not render its obligations
under this Subsidiary Guaranty subject to avoidance as a fraudulent transfer or conveyance under
Section 548 of the Bankruptcy Code (Title 11, United States Code) or any comparable provisions of
any similar federal or state Law.

     (b) Rights of Lender Parties. Each Subsidiary Guarantor consents and agrees that the
Lender Parties may, at any time and from time to time, without notice or demand, and without
affecting the enforceability or continuing effectiveness hereof: (i) amend, extend, renew,
compromise, discharge, accelerate or otherwise change the time for payment or the terms of the
Guaranteed Borrower Obligations or any part thereof; (ii) take, hold, exchange, enforce, waive,
release, fail to perfect, sell, or otherwise dispose of any security for the payment of this
Subsidiary Guaranty or any Guaranteed Borrower Obligations; (iii) apply such security and direct
the order or manner of sale thereof as the Administrative Agent, the L/C Issuer and

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the Lenders in their sole discretion may determine; and (iv) release or substitute one or
more of any endorsers or other guarantors of any of the Guaranteed Borrower Obligations. Without
limiting the generality of the foregoing, each Subsidiary Guarantor consents to the taking of, or
failure to take, any action which might in any manner or to any extent vary the risks of such
Subsidiary Guarantor under this Subsidiary Guaranty or which, but for this provision, might
operate as a discharge of such Subsidiary Guarantor.

     (c) Certain Waivers. Each Subsidiary Guarantor waives (i) any defense arising by
reason of any disability or other defense of any Borrower or any other guarantor, or the cessation
from any cause whatsoever (including any act or omission of any Lender Party) of the liability of
any Borrower; (ii) any defense based on any claim that such Subsidiary Guarantor’s obligations
exceed or are more burdensome than those of any Borrower; (iii) the benefit of any statute of
limitations affecting such Subsidiary Guarantor’s liability hereunder; (iv) except as expressly
set forth in Section 10.02(g) below, any right to proceed against any Borrower, proceed
against or exhaust any security for the Guaranteed Borrower Obligations, or pursue any other
remedy in the power of any Lender Party whatsoever; (v) except as expressly set forth in
Section 10.02(g) below, any benefit of and any right to participate in any security now or
hereafter held by any Lender Party; and (vi) to the fullest extent permitted by law, any and all
other defenses or benefits that may be derived from or afforded by applicable law limiting the
liability of or exonerating guarantors or sureties. Each Subsidiary Guarantor expressly waives
all setoffs and counterclaims and all presentments, demands for payment or performance, notices of
nonpayment or nonperformance, protests, notices of protest, notices of dishonor and all other
notices or demands of any kind or nature whatsoever with respect to the Guaranteed Borrower
Obligations, and all notices of acceptance of this Subsidiary Guaranty or of the existence,
creation or incurrence of new or additional Guaranteed Borrower Obligations.

     (d) Obligations Independent. The obligations of each Subsidiary Guarantor under this
Subsidiary Guaranty are those of primary obligor, and not merely as surety, and are independent of
the Guaranteed Borrower Obligations and the obligations of any other guarantor, and a separate
action may be brought against such Subsidiary Guarantor to enforce this Subsidiary Guaranty
whether or not any Borrower or any other Person or entity is joined as a party.

     (e) Payments. All payments by a Subsidiary Guarantor under this Subsidiary Guaranty
shall be made in the manner, at the place and in the Payment Currency required by this
Agreement and the other Loan Documents; provided, however, that (if the Payment
Currency is other than Dollars) such Subsidiary Guarantor may, at its option (or, if for any
reason whatsoever such Subsidiary Guarantor is unable to effect payments in the foregoing manner,
such Subsidiary Guarantor shall be obligated to) pay to the Administrative Agent at the
Administrative Agent’s Office the Dollar Equivalent of the amount of such Guaranteed Borrower
Obligation together with any other amounts due pursuant to Section 3.05. In any case in
which a Subsidiary Guarantor makes or is obligated to make payment in Dollars, such Subsidiary
Guarantor shall hold the Administrative Agent harmless from any loss incurred by the
Administrative Agent arising from any change in the value of Dollars in relation to the Payment
Currency between the date the Guaranteed Borrower Obligation becomes due and the date the
Administrative Agent is actually able, following the conversion of the Dollars paid by such
Subsidiary Guarantor into the Payment Currency and remittance of such Payment

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Currency to the place where such Guaranteed Borrower Obligation is payable, to apply such
Payment Currency to such Guaranteed Borrower Obligation. The obligations of each Subsidiary
Guarantor hereunder shall not be affected by any acts of any legislative body or Governmental
Authority affecting such Subsidiary Guarantor or any Borrower, including but not limited to, any
restrictions on the conversion of currency or repatriation or control of funds or any total or
partial expropriation of such Subsidiary Guarantor’s or any Borrower’s property, or by economic,
political, regulatory or other events in the countries where such Subsidiary Guarantor or any
Borrower is located.

     (f) Certain Taxes. Each Subsidiary Guarantor further agrees that all payments to be
made hereunder shall be made without setoff or counterclaim and free and clear of, and without
deduction for, any Indemnified Taxes or Other Taxes. If any Indemnified Taxes or Other Taxes are
required to be withheld from any amounts payable to the Lender Parties hereunder, the amounts so
payable to the Lender Parties shall be increased to the extent necessary to yield to the Lender
Parties (after payment of all Indemnified Taxes and Other Taxes) the amounts payable hereunder in
the full amounts so to be paid. Whenever any Indemnified Taxes or Other Taxes are paid by a
Subsidiary Guarantor, as promptly as possible thereafter, such Subsidiary Guarantor shall send the
Administrative Agent an official receipt showing payment thereof, together with such additional
documentary evidence as may be required from time to time by the Administrative Agent. The
obligations of the Subsidiary Guarantors under this paragraph shall survive the payment in full of
the Guaranteed Borrower Obligations and termination of this Subsidiary Guaranty.

     (g) Subrogation. Each Subsidiary Guarantor shall not exercise any right of
subrogation, contribution, indemnity, reimbursement or similar rights with respect to any payments
it makes under this Subsidiary Guaranty until all of the Guaranteed Borrower Obligations and any
amounts payable under this Subsidiary Guaranty have been paid and performed in full in cash and
the Commitments and the Facilities are terminated. If any amounts are paid to any Subsidiary
Guarantor in violation of the foregoing limitation, then such amounts shall be held in trust for
the benefit of the Lender Parties and shall forthwith be paid to the Lender Parties to reduce the
amount of the Guaranteed Borrower Obligations, whether matured or unmatured.

     (h) Termination; Reinstatement. This Subsidiary Guaranty is a continuing and
irrevocable guaranty of all Guaranteed Borrower Obligations now or hereafter existing and shall
remain in full force and effect until all Guaranteed Borrower Obligations and any other amounts
payable under this Subsidiary Guaranty are paid in full in cash and the Commitments and the
Facilities with respect to the Guaranteed Borrower Obligations are terminated. Notwithstanding
the foregoing, this Subsidiary Guaranty shall continue in full force and effect or be revived, as
the case may be, if any payment by or on behalf of any Borrower or any Subsidiary Guarantor is
made, or any of the Lender Parties exercises its right of setoff, in respect of the Guaranteed
Borrower Obligations and such payment or the proceeds of such setoff or any part thereof is
subsequently invalidated, declared to be fraudulent or preferential, set aside or required
(including pursuant to any settlement entered into by any of the Lender Parties in their
discretion) to be repaid to a trustee, receiver or any other party, in connection with any
proceeding under any Debtor Relief Laws or otherwise, all as if such payment had not been made or
such setoff had not occurred and whether or not the Lender Parties are in

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possession of or have released this Subsidiary Guaranty and regardless of any prior
revocation, rescission, termination or reduction. The obligations of each Subsidiary Guarantor
under this paragraph shall survive termination of this Subsidiary Guaranty.

     (i) Subordination. Each Subsidiary Guarantor hereby subordinates the payment of all
obligations and indebtedness of each Borrower owing to such Subsidiary Guarantor, whether now
existing or hereafter arising, including but not limited to any obligation of any Borrower to such
Subsidiary Guarantor as subrogee of the Lender Parties or resulting from such Subsidiary
Guarantor’s performance under this Subsidiary Guaranty, to the payment in full in cash of all
Guaranteed Borrower Obligations; provided, however, that the foregoing
subordination shall not be given effect until such time as the Lender Parties shall have made a
request to the Company pursuant to the second sentence of this Section 10.01(h). At any
time any Event of Default shall have occurred and be continuing, if the Lender Parties so request,
any such obligation or indebtedness of any Borrower to any Subsidiary Guarantor shall be enforced
and performance received by such Subsidiary Guarantor as trustee for the Lender Parties and the
proceeds thereof shall be paid over to the Lender Parties on account of the applicable Guaranteed
Borrower Obligations, but without reducing or affecting in any manner the liability of such
Subsidiary Guarantor under this Subsidiary Guaranty.

     (j) Stay of Acceleration. If acceleration of the time for payment of any of the
Guaranteed Borrower Obligations is stayed, in connection with any case commenced by or against any
Subsidiary Guarantor or any Borrower under any Debtor Relief Laws, or otherwise, all such amounts
shall nonetheless be payable by such Subsidiary Guarantor immediately upon demand by the Lender
Parties.

     (k) Condition of Borrowers. Each Subsidiary Guarantor acknowledges and agrees that
it has the sole responsibility for, and has adequate means of, obtaining from the Borrowers and
any other guarantor such information concerning the financial condition, business and operations
of each Borrower and any such other guarantor as such Subsidiary Guarantor requires, and that none
of the Lender Parties has any duty, and such Subsidiary Guarantor is not relying on the Lender
Parties at any time, to disclose to such Subsidiary Guarantor any information relating to the
business, operations or financial condition of any Borrower or any other guarantor (such
Subsidiary Guarantor waiving any duty on the part of the Lender Parties to disclose such
information and any defense relating to the failure to provide the same).

ARTICLE XI.

MISCELLANEOUS

     11.01. Amendments, Etc. No amendment or waiver of any provision of this Agreement or any
other Loan Document, and no consent to any departure by the Company or any other Loan Party
therefrom, shall be effective unless in writing signed by the Required Lenders and the Company or
the applicable Loan Party, as the case may be, and acknowledged by the Administrative Agent, and
each such waiver or consent shall be effective only in the specific instance and for the specific
purpose for which given; provided, however, that no such amendment, waiver or
consent shall:

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     (a) waive any condition set forth in Section 4.01 (other than Section
4.01(c)(i) or (c)(iii)), and, in the case of the initial Credit Extension, Section
4.02, without the written consent of each Lender;

     (b) without limiting the generality of clause (a) above, waive any condition set forth in
Section 4.02 as to any Credit Extension under a particular Facility without the written
consent of the Required Revolving Lenders or the Required Term Lenders, as the case may be;

     (c) extend or increase the Commitment of any Lender (or reinstate any Commitment terminated
pursuant to Section 8.02) without the written consent of such Lender;

     (d) postpone any date fixed by this Agreement or any other Loan Document for any payment
(excluding mandatory prepayments) of principal, interest, fees or other amounts due to the Lenders
(or any of them) or any scheduled or mandatory reduction of any Commitments hereunder or under
such other Loan Document without the written consent of each Lender directly affected thereby (it
being understood that any vote to rescind any acceleration of amounts owing with respect to the
Loans and other Obligations under the Loan Documents shall only require the consent of the
Required Lenders);

     (e) reduce the principal of, or the rate of interest specified herein on, any Loan or L/C
Borrowing, or (subject to clause (iv) of the last proviso to this Section 11.01) any fees
or other amounts payable hereunder or under any other Loan Document without the written consent of
each Lender directly affected thereby; provided, however, that only the consent of
the Required Lenders shall be necessary (i) to amend the definition of “Default Rate” or to waive
any obligation of any Borrower to pay interest or Letter of Credit Fees at the Default Rate or
(ii) to amend any financial covenant hereunder (or any defined term used therein) even if the
effect of such amendment would be to reduce the rate of interest on any Loan or L/C Borrowing or
to reduce any fee payable hereunder;

     (f) change (i) Section 8.03 in a manner that would alter the pro rata sharing of
payments required thereby without the written consent of each Lender directly affected thereby or
(ii) the order of application of any reduction in the Commitments from the application thereof set
forth in the applicable provisions of Section 2.06(b) or 2.06(c), respectively, in
any manner that materially and adversely affects the Lenders under a Facility without the written
consent of (x) if such Facility is the Term Facility, the Required Term Lenders and (y) if such
Facility is the Revolving Credit Facility, the Required Revolving Lenders;

     (g) amend Section 1.06 or the definition of “Alternative Currency” without the
written consent of each Revolving Credit Lender;

     (h) subject to Sections 2.17 and 2.18, change (i) any provision of this
Section 11.01 or the definition of “Required Lenders” or any other provision hereof
specifying the number or percentage of Lenders required to amend, waive or otherwise modify any
rights hereunder or make any determination or grant any consent hereunder (other than the
definitions specified in clause (ii) of this Section 11.01(h)), without the written
consent of each Lender or (ii) the definition of “Required Revolving Lenders” or “Required Term
Lenders” without the written consent of each Lender under the applicable Facility;

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     (i) release the Company from the Company Guaranty or release all or substantially all of the
value of the Subsidiary Guaranty, without the written consent of each Lender, except to the extent
the release of any Subsidiary Guarantor from the Subsidiary Guaranty is permitted pursuant to
Section 9.10 (in which case such release may be made by the Administrative Agent acting
alone);

     (j) release any Designated Borrower under this Agreement, without the written consent of each
Lender, except to the extent such release is permitted pursuant to Section 9.10 (in which
case such release may be made by the Administrative Agent acting alone); or

     (k) impose any greater restriction on the ability of any Lender under a Facility to assign
any of its rights or obligations hereunder without the written consent of (i) if such Facility is
the Term Facility, the Required Term Lenders and (ii) if such Facility is the Revolving Credit
Facility, the Required Revolving Lenders;

and, provided further, that (i) no amendment, waiver or consent shall, unless in
writing and signed by the L/C Issuer in addition to the Lenders required above, affect the rights
or duties of the L/C Issuer under this Agreement or any Issuer Document relating to any Letter of
Credit issued or to be issued by it; (ii) no amendment, waiver or consent shall, unless in writing
and signed by the Swing Line Lender in addition to the Lenders required above, affect the rights or
duties of the Swing Line Lender under this Agreement; (iii) no amendment, waiver or consent shall,
unless in writing and signed by the Administrative Agent in addition to the Lenders required above,
affect the rights or duties of the Administrative Agent under this Agreement or any other Loan
Document; (iv) the Fee Letter may be amended, or rights or privileges thereunder waived, in a
writing executed only by the parties thereto and (v) the Administrative Agent and the Company may
effect any amendment to the Loan Documents to reflect terms applicable to any Incremental Term Loan
as provided in Section 2.18(g) without the consent of any other Lender. Notwithstanding
anything to the contrary herein, no Defaulting Lender shall have any right to approve or disapprove
any amendment, waiver or consent hereunder (and any amendment, waiver or consent which by its terms
requires the consent of all Lenders or each affected Lender may be effected with the consent of the
applicable Lenders other than Defaulting Lenders), except that (x) the Commitment of any Defaulting
Lender may not be increased or extended without the consent of such Lender and (y) any waiver,
amendment or modification requiring the consent of all Lenders or each affected Lender that by its
terms affects any Defaulting Lender more adversely than other affected Lenders shall require the
consent of such Defaulting Lender.

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

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     (i) if to a Borrower, the Administrative Agent, the L/C Issuer or the Swing Line
Lender, to the address, telecopier number, electronic mail address or telephone number
specified for such Person on Schedule 11.02; and

     (ii) if to any other Lender, to the address, telecopier number, electronic mail address
or telephone number specified in its Administrative Questionnaire as provided to the
Administrative Agent and the Company (including, as appropriate, notices delivered solely to
the Person designated by a Lender on its Administrative Questionnaire then in effect for the
delivery of notices that may contain material non-public information relating to the Loan
Parties).

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

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

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

     (c) The Platform. THE PLATFORM IS PROVIDED “AS IS” AND “AS AVAILABLE.” THE AGENT
PARTIES (AS DEFINED BELOW) DO NOT WARRANT THE ACCURACY OR COMPLETENESS OF THE BORROWER MATERIALS
OR THE ADEQUACY OF THE PLATFORM, AND EXPRESSLY DISCLAIM LIABILITY FOR ERRORS IN OR OMISSIONS FROM
THE BORROWER MATERIALS. NO WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY
WARRANTY

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OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS
OR FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS, IS MADE BY ANY AGENT PARTY IN CONNECTION WITH THE
BORROWER MATERIALS OR THE PLATFORM. In no event shall the Administrative Agent or any of its
Related Parties (collectively, the “Agent Parties”) have any liability to any Borrower, any
Lender, the L/C Issuer or any other Person for losses, claims, damages, liabilities or expenses of
any kind (whether in tort, contract or otherwise) arising out of any Borrower’s or the
Administrative Agent’s transmission of Borrower Materials through the Internet, except to the
extent that such losses, claims, damages, liabilities or expenses are determined by a court of
competent jurisdiction by a final and nonappealable judgment to have resulted from the gross
negligence or willful misconduct (including any willful breach of this Agreement) of such Agent
Party; provided, however, that in no event shall any Agent Party have any
liability to any Borrower, any Lender, the L/C Issuer or any other Person for indirect, special,
incidental, consequential or punitive damages (as opposed to direct or actual damages).

     (d) Change of Address, Etc. Each of the Borrowers, the Administrative Agent, the L/C
Issuer and the Swing Line Lender may change its address, telecopier or telephone number for
notices and other communications hereunder by notice to the other parties hereto. Each other
Lender may change its address, telecopier or telephone number for notices and other communications
hereunder by notice to the Company, the Administrative Agent, the L/C Issuer and the Swing Line
Lender. In addition, each Lender agrees to notify the Administrative Agent from time to time to
ensure that the Administrative Agent has on record (i) an effective address, contact name,
telephone number, telecopier number and electronic mail address to which notices and other
communications may be sent and (ii) accurate wire instructions for such Lender. Furthermore, each
Public Lender agrees to cause at least one individual at or on behalf of such Public Lender to at
all times have selected the “Private Side Information” or similar designation on the content
declaration screen of the Platform in order to enable such Public Lender or its delegate, in
accordance with such Public Lender’s compliance procedures and applicable Law, including United
States Federal and state securities Laws, to make reference to Borrower Materials that are not
made available through the “Public Side Information” portion of the Platform and that may contain
material non-public information with respect to the Borrower or its securities for purposes of
United States Federal or state securities laws.

     (e) Reliance by Administrative Agent, L/C Issuer and Lenders. The Administrative
Agent, the L/C Issuer and the Lenders, if acting in good faith, shall be entitled to rely and act
upon any notices (including telephonic Committed Loan Notices and Swing Line Loan Notices)
purportedly given by or on behalf of any Borrower even if (i) such notices were not made in a
manner specified herein, were incomplete or were not preceded or followed by any other form of
notice specified herein, or (ii) the terms thereof, as understood by the recipient, varied from
any confirmation thereof. The Company shall indemnify the Administrative Agent, the L/C Issuer,
each Lender and the Related Parties of each of them from all losses, costs, expenses and
liabilities resulting from the reliance by such Person on each notice purportedly given by or on
behalf of any Borrower, except to the extent that such losses, costs, expenses and liabilities are
determined by a court of competent jurisdiction by a final and nonappealable judgment to have
resulted from the gross negligence or willful misconduct (including any willful breach of this
Agreement) by the Person claiming such indemnification. All telephonic notices to and other

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telephonic communications with the Administrative Agent may be recorded by the Administrative
Agent, and each of the parties hereto hereby consents to such recording.

     11.03. No Waiver; Cumulative Remedies; Enforcement. No failure by any Lender, the L/C Issuer
or the Administrative Agent to exercise, and no delay by any such Person in exercising, any right,
remedy, power or privilege hereunder or under any other Loan Document shall operate as a waiver
thereof; nor shall any single or partial exercise of any right, remedy, power or privilege
hereunder preclude any other or further exercise thereof or the exercise of any other right,
remedy, power or privilege. The rights, remedies, powers and privileges herein provided, and
provided under each other Loan Document, are cumulative and not exclusive of any rights, remedies,
powers and privileges provided by law.

     Notwithstanding anything to the contrary contained herein or in any other Loan Document, the
authority to enforce rights and remedies hereunder and under the other Loan Documents against the
Loan Parties or any of them shall be vested exclusively in, and all actions and proceedings at law
in connection with such enforcement shall be instituted and maintained exclusively by, the
Administrative Agent in accordance with Section 8.02 for the benefit of all the Lenders and
the L/C Issuer; provided, however, that the foregoing shall not prohibit (a) the
Administrative Agent from exercising on its own behalf the rights and remedies that inure to its
benefit (solely in its capacity as Administrative Agent) hereunder and under the other Loan
Documents, (b) the L/C Issuer or the Swing Line Lender from exercising the rights and remedies that
inure to its benefit (solely in its capacity as L/C Issuer or Swing Line Lender, as the case may
be) hereunder and under the other Loan Documents, (c) any Lender from exercising setoff rights in
accordance with Section 11.08 (subject to the terms of Section 2.13), or (d) any
Lender from filing proofs of claim or appearing and filing pleadings on its own behalf during the
pendency of a proceeding relative to any Loan Party under any Debtor Relief Law; and
provided, further, that if at any time there is no Person acting as Administrative
Agent hereunder and under the other Loan Documents, then (i) the Required Lenders shall have the
rights otherwise ascribed to the Administrative Agent pursuant to Section 8.02 and (ii) in
addition to the matters set forth in clauses (b), (c) and (d) of the preceding proviso and subject
to Section 2.13, any Lender may, with the consent of the Required Lenders, enforce any
rights and remedies available to it under this Agreement, the other Loan Documents and under
applicable Law as authorized by the Required Lenders.

     11.04. Expenses; Indemnity; Damage Waiver. (a) Costs and Expenses. Other than with
respect to Taxes, which shall be governed solely by Section 3.01, the Company shall pay (i)
all reasonable out-of-pocket expenses incurred by the Administrative Agent and its Affiliates
(including the reasonable fees, charges and disbursements of counsel for the Administrative Agent),
in connection with the syndication of the credit facilities provided for herein, the preparation,
negotiation, execution, delivery and administration of this Agreement and the other Loan Documents
or any amendments, modifications or waivers of the provisions hereof or thereof (whether or not the
transactions contemplated hereby or thereby shall be consummated), (ii) all reasonable
out-of-pocket expenses incurred by the L/C Issuer in connection with the issuance, amendment,
renewal or extension of any Letter of Credit or any demand for payment thereunder and (iii) all
out-of-pocket expenses incurred by the Administrative Agent, any Lender or the L/C Issuer
(including the fees, charges and disbursements of any counsel for the Administrative Agent, any
Lender or the L/C Issuer) in connection with the enforcement or

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protection of its rights (A) in connection with this Agreement and the other Loan Documents,
including its rights under this Section, or (B) in connection with Loans made or Letters of Credit
issued hereunder, including all such out-of-pocket expenses incurred during any workout,
restructuring or negotiations in respect of such Loans or Letters of Credit.

     (b) Indemnification by the Company. Other than with respect to Taxes, which shall be
governed solely by Section 3.01, the Company shall indemnify the Administrative Agent (and
any sub-agent thereof), each Lender and the L/C Issuer, and each Related Party of any of the
foregoing Persons (each such Person being called an “Indemnitee”) against, and hold each
Indemnitee harmless from, any and all losses, claims, damages, liabilities and related expenses
(including the fees, charges and disbursements of any counsel for any Indemnitee), incurred by any
Indemnitee or asserted against any Indemnitee by any third party or by any Borrower or any other
Loan Party arising out of, in connection with, or as a result of (i) the execution or delivery of
this Agreement, any other Loan Document or any agreement or instrument contemplated hereby or
thereby, the performance by the parties hereto of their respective obligations hereunder or
thereunder or the consummation of the transactions contemplated hereby or thereby, or, in the case
of the Administrative Agent (and any sub-agent thereof) and its Related Parties only, the
administration of this Agreement and the other Loan Documents, (ii) any Loan or Letter of Credit
or the use or proposed use of the proceeds therefrom (including any refusal by the L/C Issuer to
honor a demand for payment under a Letter of Credit if the documents presented in connection with
such demand do not strictly comply with the terms of such Letter of Credit), (iii) any actual or
alleged presence or release of Hazardous Materials on or from any property owned or operated by
any Borrower or any of its Subsidiaries, or any Environmental Liability related in any way to any
Borrower or any of its Subsidiaries, or (iv) any actual or prospective claim, litigation,
investigation or proceeding relating to any of the foregoing, whether based on contract, tort or
any other theory, whether brought by a third party or by the Company or any other Loan Party or
any of the Company’s or such Loan Party’s directors, shareholders or creditors, and regardless of
whether any Indemnitee is a party thereto, IN ALL CASES, WHETHER OR NOT CAUSED BY OR ARISING, IN
WHOLE OR IN PART, OUT OF THE COMPARATIVE, CONTRIBUTORY OR SOLE NEGLIGENCE OF THE INDEMNITEE;
provided that such indemnity shall not, as to any Indemnitee, be available to the extent
that such losses, claims, damages, liabilities or related expenses (x) are determined by a court
of competent jurisdiction by final and nonappealable judgment to have resulted from the gross
negligence or willful misconduct (including any willful breach of this Agreement) of such
Indemnitee or (y) result from a claim brought by the Company or any other Loan Party against an
Indemnitee for breach in bad faith of such Indemnitee’s obligations hereunder or under any other
Loan Document, if the Company or such other Loan Party has obtained a final and nonappealable
judgment in its favor on such claim as determined by a court of competent jurisdiction.

     (c) Reimbursement by Lenders. To the extent that the Company for any reason fails to
indefeasibly pay any amount required under subsection (a) or (b) of this Section to be paid by it
to the Administrative Agent (or any sub-agent thereof), the L/C Issuer or any Related Party of any
of the foregoing, each Lender severally agrees to pay to the Administrative Agent (or any such
sub-agent), the L/C Issuer or such Related Party, as the case may be, such Lender’s Applicable
Percentage (determined as of the time that the applicable unreimbursed expense or indemnity
payment is sought) of such unpaid amount, provided that the unreimbursed expense

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or indemnified loss, claim, damage, liability or related expense, as the case may be, was
incurred by or asserted against the Administrative Agent (or any such sub-agent) or the L/C Issuer
in its capacity as such, or against any Related Party of any of the foregoing acting for the
Administrative Agent (or any such sub-agent) or L/C Issuer in connection with such capacity. The
obligations of the Lenders under this subsection (c) are subject to the provisions of Section
2.12(e).

     (d) Waiver of Consequential Damages, Etc. To the fullest extent permitted by
applicable law, no Loan Party shall assert, and each Loan Party hereby waives, any claim against
any Indemnitee, on any theory of liability, for special, indirect, consequential or punitive
damages (as opposed to direct or actual damages) arising out of, in connection with, or as a
result of, this Agreement, any other Loan Document or any agreement or instrument contemplated
hereby, the transactions contemplated hereby or thereby, any Loan or Letter of Credit or the use
of the proceeds thereof. No Indemnitee referred to in subsection (b) above shall be liable for
any damages arising from the use by unintended recipients of any information or other materials
distributed to such unintended recipients by such Indemnitee through telecommunications,
electronic or other information transmission systems in connection with this Agreement or the
other Loan Documents or the transactions contemplated hereby or thereby other than for direct or
actual damages resulting from the gross negligence or willful misconduct (including any willful
breach of this Agreement) of such Indemnitee as determined by a final and nonappealable judgment
of a court of competent jurisdiction.

     (e) Payments. All amounts due under this Section shall be payable not later than ten
Business Days after demand therefor.

     (f) Survival. The agreements in this Section shall survive the resignation of the
Administrative Agent, the L/C Issuer and the Swing Line Lender, the replacement of any Lender, the
termination of the Aggregate Commitments and the repayment, satisfaction or discharge of all the
other Obligations.

     11.05. Payments Set Aside. To the extent that any payment by or on behalf of any Borrower is
made to the Administrative Agent, the L/C Issuer or any Lender, or the Administrative Agent, the
L/C Issuer or any Lender exercises its right of setoff, and such payment or the proceeds of such
setoff or any part thereof is subsequently invalidated, declared to be fraudulent or preferential,
set aside or required (including pursuant to any settlement entered into by the Administrative
Agent, the L/C Issuer or such Lender in its discretion) to be repaid to a trustee, receiver or any
other party, in connection with any proceeding under any Debtor Relief Law or otherwise, then (a)
to the extent of such recovery, the obligation or part thereof originally intended to be satisfied
shall be revived and continued in full force and effect as if such payment had not been made or
such setoff had not occurred, and (b) each Lender and the L/C Issuer severally agrees to pay to the
Administrative Agent upon demand its applicable share (without duplication) of any amount so
recovered from or repaid by the Administrative Agent, plus interest thereon from the date
of such demand to the date such payment is made at a rate per annum equal to the applicable
Overnight Rate from time to time in effect, in the applicable currency of such recovery or payment.
The obligations of the Lenders and the L/C Issuer under clause (b) of the preceding sentence shall
survive the payment in full of the Obligations and the termination of this Agreement.

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     11.06. Successors and Assigns. (a) Successors and Assigns Generally. The provisions
of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns permitted hereby, except that neither any Borrower nor any other
Loan Party may assign or otherwise transfer any of its rights or obligations hereunder without the
prior written consent of the Administrative Agent and each Lender and no Lender may assign or
otherwise transfer any of its rights or obligations hereunder except (i) to an assignee in
accordance with the provisions of Section 11.06(b), (ii) by way of participation in
accordance with the provisions of Section 11.06(d), or (iii) by way of pledge or assignment
of a security interest subject to the restrictions of Section 11.06(f) (and any other
attempted assignment or transfer by any party hereto shall be null and void). Nothing in this
Agreement, expressed or implied, shall be construed to confer upon any Person (other than the
parties hereto, their respective successors and assigns permitted hereby, Participants to the
extent provided in subsection (d) of this Section and, to the extent expressly contemplated hereby,
the Related Parties of each of the Administrative Agent, the L/C Issuer and the Lenders) any legal
or equitable right, remedy or claim under or by reason of this Agreement.

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

     (i) Minimum Amounts.

     (A) in the case of an assignment of the entire remaining amount of the
assigning Lender’s Commitment under any Facility and the Loans at the time owing to
it under such Facility or in the case of an assignment to a Lender, an Affiliate of
a Lender or an Approved Fund, no minimum amount need be assigned, provided
that such assignment of Commitment under any Facility and the Loans at the time
owing to it by the Designated Borrower under such Facility must be in a minimum
amount equivalent to Euro 100,000 or any other amount which becomes applicable at
any time as per Wijzigingsbesluit financiële markten 2012; and

     (B) in any case not described in subsection (b)(i)(A) of this Section, the
aggregate amount of the Commitment (which for this purpose includes Loans
outstanding thereunder) or, if the Commitment is not then in effect, the principal
outstanding balance of the Loans of the assigning Lender subject to each such
assignment, determined as of the date the Assignment and Assumption with respect to
such assignment is delivered to the Administrative Agent or, if “Trade Date” is
specified in the Assignment and Assumption, as of the Trade Date, shall not be less
than $5,000,000, in the case of any assignment in respect of the Revolving Credit
Facility, or $1,000,000, in the case of any assignment in respect of the Term
Facility, unless each of the Administrative Agent and, so long as no Event of
Default has occurred and is continuing, the Company otherwise consents (each such
consent not to be unreasonably withheld or delayed); provided,
however, that concurrent assignments to members of an Assignee Group and

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concurrent assignments from members of an Assignee Group to a single Eligible
Assignee (or to an Eligible Assignee and members of its Assignee Group) will be
treated as a single assignment for purposes of determining whether such minimum
amount has been met;

     (ii) Proportionate Amounts. Each partial assignment shall be made as an
assignment of a proportionate part of all the assigning Lender’s rights and obligations
under this Agreement with respect to the Loans or the Commitment assigned, except that this
clause (ii) shall not (A) apply to the Swing Line Lender’s rights and obligations in respect
of Swing Line Loans or (B) prohibit any Lender from assigning all or a portion of its rights
and obligations among separate Facilities on a non-pro rata basis;

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

     (A) the consent of the Company (such consent not to be unreasonably withheld or
delayed) shall be required unless (1) an Event of Default has occurred and is
continuing at the time of such assignment or (2) such assignment is to a Lender, an
Affiliate of a Lender or an Approved Fund;

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

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

     (D) the consent of the Swing Line Lender (such consent not to be unreasonably
withheld or delayed) shall be required for any assignment in respect of the
Revolving Credit Facility

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

     (v) No Assignment to Certain Persons. No such assignment shall be made (A) to
the Company or any of the Company’s Affiliates or Subsidiaries, or (B) to any Defaulting
Lender or any of its Subsidiaries, or any Person who, upon becoming a Lender hereunder,
would constitute any of the foregoing Persons described in this clause (B), (C) to a natural
person, (D) to any Person that, through its Lending Offices, is not capable of lending the
applicable Alternative Currencies to relevant Borrowers without the imposition of any
additional Indemnified Taxes or Other Taxes, or (E) unless (x) an

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Event of Default has occurred and is continuing or (y) otherwise consented to by the
Company in writing, to any Person that, at the time of such assignment, would require any
greater payment under Sections 3.01 or 3.04 than the assigning Lender.

     (vi) Certain Additional Payments. In connection with any assignment of rights
and obligations of any Defaulting Lender hereunder, no such assignment shall be effective
unless and until, in addition to the other conditions thereto set forth herein, the parties
to the assignment shall make such additional payments to the Administrative Agent in an
aggregate amount sufficient, upon distribution thereof as appropriate (which may be outright
payment, purchases by the assignee of participations or subparticipations, or other
compensating actions, including funding, with the consent of the Company and the
Administrative Agent, the applicable pro rata share of Loans previously requested but not
funded by the Defaulting Lender, to each of which the applicable assignee and assignor
hereby irrevocably consent), to (x) pay and satisfy in full all payment liabilities then
owed by such Defaulting Lender to the Administrative Agent or any Lender hereunder (and
interest accrued thereon) and (y) acquire (and fund as appropriate) its full pro rata share
of all Loans and participations in Letters of Credit in accordance with its Applicable
Percentage. Notwithstanding the foregoing, in the event that any assignment of rights and
obligations of any Defaulting Lender hereunder shall become effective under applicable Law
without compliance with the provisions of this paragraph, then the assignee of such interest
shall be deemed to be a Defaulting Lender for all purposes of this Agreement until such
compliance occurs.

Subject to acceptance and recording thereof by the Administrative Agent pursuant to subsection (c)
of this Section, from and after the effective date specified in each Assignment and Assumption, the
assignee thereunder shall be a party to this Agreement and, to the extent of the interest assigned
by such Assignment and Assumption, have the rights and obligations of a Lender under this
Agreement, and the assigning Lender thereunder shall, to the extent of the interest assigned by
such Assignment and Assumption, be released from its obligations under this Agreement (and, in the
case of an Assignment and Assumption covering all of the assigning Lender’s rights and obligations
under this Agreement, such Lender shall cease to be a party hereto) but shall continue to be
subject to the obligations under and entitled to the benefits of Sections 3.01,
3.04, 3.05 and 11.04 with respect to facts and circumstances occurring
prior to the effective date of such assignment. Upon request, the Borrowers (at their expense)
shall execute and deliver Notes to the assignee Lender. Any assignment or transfer by a Lender of
rights or obligations under this Agreement that does not comply with this subsection shall be
treated for purposes of this Agreement as a sale by such Lender of a participation in such rights
and obligations in accordance with Section 11.06(d).

     (c) Register. The Administrative Agent, acting solely for this purpose as an agent
of the Borrowers (and such agency being solely for tax purposes), shall maintain at the
Administrative Agent’s Office a copy of each Assignment and Assumption delivered to it and a
register for the recordation of the names and addresses of the Lenders, and the Commitments of,
and principal amounts of the Loans and L/C Obligations owing to, each Lender pursuant to the terms
hereof from time to time (the “Register”). The entries in the Register shall be
conclusive, and the Borrowers, the Administrative Agent and the Lenders may treat each Person
whose name is recorded in the Register pursuant to the terms hereof as a Lender

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hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. In
addition, the Administrative Agent shall maintain on the Register information regarding the
designation, and revocation of designation, of any Lender as a Defaulting Lender. The Register
shall be available for inspection by the Borrowers and any Lender, at any reasonable time and from
time to time upon reasonable prior notice.

     (d) Participations. Any Lender may at any time, without the consent of, or notice
to, any Borrower or the Administrative Agent, sell participations to any Person (other than a
natural person, a Defaulting Lender or the Company or any of the Company’s Affiliates or
Subsidiaries) (each, a “Participant”) in all or a portion of such Lender’s rights and/or
obligations under this Agreement (including all or a portion of its Commitment and/or the Loans
(including such Lender’s participations in L/C Obligations and/or Swing Line Loans) owing to it);
provided that (i) such Lender’s obligations under this Agreement shall remain unchanged,
(ii) such Lender shall remain solely responsible to the other parties hereto for the performance
of such obligations and (iii) the Borrowers, the Administrative Agent, the Lenders and the L/C
Issuer shall continue to deal solely and directly with such Lender in connection with such
Lender’s rights and obligations under this Agreement. Any agreement or instrument pursuant to
which a Lender sells such a participation shall provide that such Lender shall retain the sole
right to enforce this Agreement and to approve any amendment, modification or waiver of any
provision of this Agreement; provided that such agreement or instrument may provide that
such Lender will not, without the consent of the Participant, agree to any amendment, waiver or
other modification described in the first proviso to Section 11.01 that affects such
Participant (it being understood that (i) any vote to rescind any acceleration made pursuant to
Section 8.02 of amounts owing with respect to the Loans and other Obligations and (ii) any
modifications of the provisions relating to amounts, timing or application of prepayments of Loans
and other Obligations shall not require the approval of such Participant). Subject to
subsection (e) of this Section, each Borrower agrees that each Participant shall be
entitled to the benefits of and subject to the obligations of Sections 3.01, 3.04
and 3.05 to the same extent as if it were a Lender and had acquired its interest by
assignment pursuant to Section 11.06(b). To the extent permitted by law, each Participant
also shall be entitled to the benefits of Section 11.08 as though it were a Lender,
provided such Participant agrees to be subject to Section 2.13 as though it were a
Lender.

     (e) Limitations upon Participant Rights. A Participant shall not be entitled to
receive any greater payment under Section 3.01 or 3.04 than the applicable Lender
would have been entitled to receive with respect to the participation sold to such Participant,
unless the sale of the participation to such Participant is made with the Company’s prior written
consent. A Participant shall not be entitled to the benefits of Section 3.01 unless the
Company is notified of the participation sold to such Participant and such Participant agrees, for
the benefit of the Borrowers, to comply with Section 3.01(e) as though it were a Lender.

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

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     (g) Resignation as L/C Issuer after Assignment. Notwithstanding anything to
the contrary contained herein, if at any time Bank of America assigns all of its Revolving Credit
Commitment and Revolving Credit Loans pursuant to subsection (b) above, Bank of America may, (i)
upon 30 days’ notice to the Company and the Lenders, resign as L/C Issuer and/or (ii) upon 30
days’ notice to the Company, resign as Swing Line Lender. In the event of any such resignation as
L/C Issuer or Swing Line Lender, the Company shall be entitled to appoint from among the Lenders a
successor L/C Issuer or Swing Line Lender hereunder; provided, however, that no failure by the
Company to appoint any such successor shall affect the resignation of Bank of America as L/C
Issuer or Swing Line Lender, as the case may be. If Bank of America resigns as L/C Issuer, it
shall retain all the rights, powers, privileges and duties of the L/C Issuer hereunder with
respect to all Letters of Credit outstanding as of the effective date of its resignation as L/C
Issuer and all L/C Obligations with respect thereto (including the right to require the Lenders to
make Base Rate Committed Loans or fund risk participations in Unreimbursed Amounts pursuant to
Section 2.03(c)). If Bank of America resigns as Swing Line Lender, it shall retain all
the rights of the Swing Line Lender provided for hereunder with respect to Swing Line Loans made
by it and outstanding as of the effective date of such resignation, including the right to require
the Lenders to make Base Rate Committed Loans or fund risk participations in outstanding Swing
Line Loans pursuant to Section 2.04(c). Upon the appointment of a successor L/C Issuer
and/or Swing Line Lender, (a) such successor shall succeed to and become vested with all of the
rights, powers, privileges and duties of the retiring L/C Issuer or Swing Line Lender, as the case
may be, and (b) the successor L/C Issuer shall issue letters of credit in substitution for the
Letters of Credit, if any, outstanding at the time of such succession or make other arrangements
satisfactory to Bank of America to effectively assume the obligations of Bank of America with
respect to such Letters of Credit.

     11.07. Treatment of Certain Information; Confidentiality. Each of the Administrative Agent,
the Lenders and the L/C Issuer agrees to maintain the confidentiality of the Information (as
defined below), except that Information may be disclosed (a) to its Affiliates and to its and its
Affiliates’ respective partners, directors, officers, employees, agents, trustees, advisors and
representatives (it being understood that the Persons to whom such disclosure is made will be
informed of the confidential nature of such Information and instructed to keep such Information
confidential), (b) to the extent requested by any regulatory authority purporting to have
jurisdiction over it (including any self-regulatory authority, such as the National Association of
Insurance Commissioners), (c) to the extent required by applicable laws or regulations or by any
subpoena or similar legal process, (d) to any other party hereto, (e) in connection with the
exercise of any remedies hereunder or under any other Loan Document or any action or proceeding
relating to this Agreement or any other Loan Document or the enforcement of rights hereunder or
thereunder, (f) subject to an agreement containing provisions substantially the same as those of
this Section, to (i) any assignee of or Participant in, or any prospective assignee of or
Participant in, any of its rights or obligations under this Agreement or any Eligible Assignee
invited to be a Lender pursuant to Section 2.17 or 2.18 or (ii) any actual or
prospective counterparty (or its advisors) to any swap or derivative transaction relating to a
Borrower and its obligations, (g) with the consent of the Company or (h) to the extent such
Information (i) becomes publicly available other than as a result of a breach of this Section or
(ii) becomes available to the Administrative Agent, any Lender, the L/C Issuer or any of their
respective Affiliates on a nonconfidential basis from a source other than the Company or any of its
Subsidiaries; provided, however, that each of the Administrative Agent, the Lenders
and the

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L/C Issuer agrees that, to the extent permitted by applicable Law, such Person shall use
reasonable commercial efforts to provide the Company with prior notice of any disclosure of
Information referred to in clauses (b) and (c) above to allow the Company to seek a protective
order preventing such disclosure.

     For purposes of this Agreement, “Information” means all information received by or on behalf
of the Company or any Subsidiary relating to the Company or any Subsidiary or any of their
respective businesses, other than any such information that is available to the Administrative
Agent, any Lender or the L/C Issuer on a nonconfidential basis prior to disclosure by the Company
or any Subsidiary. Any Person required to maintain the confidentiality of Information as provided
in this Section shall be considered to have complied with its obligation to do so if such Person
has exercised the same degree of care to maintain the confidentiality of such Information as such
Person would accord to its own confidential information.

     Each of the Administrative Agent, the Lenders and the L/C Issuer acknowledges that (a) the
Information may include material non-public information concerning a Loan Party or a Subsidiary
thereof, as the case may be, (b) it has developed compliance procedures regarding the use of
material non-public information and (c) it will handle such material non-public information in
accordance with applicable Law, including United States Federal and state securities Laws.

     EACH LENDER REPRESENTS TO THE COMPANY AND THE ADMINISTRATIVE AGENT THAT IT HAS IDENTIFIED IN
ITS ADMINISTRATIVE QUESTIONNAIRE A CREDIT CONTACT WHO MAY RECEIVE INFORMATION THAT MAY CONTAIN
MATERIAL NON-PUBLIC INFORMATION IN ACCORDANCE WITH ITS COMPLIANCE PROCEDURES AND APPLICABLE LAW.

     11.08. Right of Setoff. If an Event of Default shall have occurred and be continuing, each
Lender, the L/C Issuer and each of their respective Affiliates is hereby authorized at any time and
from time to time, to the fullest extent permitted by applicable law, to set off and apply any and
all deposits (general or special, time or demand, provisional or final, in whatever currency) at
any time held and other obligations (in whatever currency) at any time owing by such Lender, the
L/C Issuer or any such Affiliate to or for the credit or the account of any Borrower or any other
Loan Party against any and all of the obligations of such Borrower or such Loan Party now or
hereafter existing under this Agreement or any other Loan Document to such Lender or the L/C
Issuer, irrespective of whether or not such Lender or the L/C Issuer shall have made any demand
under this Agreement or any other Loan Document and although such obligations of such Borrower or
such Loan Party may be contingent or unmatured or are owed to a branch or office of such Lender or
the L/C Issuer different from the branch or office holding such deposit or obligated on such
indebtedness; provided, that in the event that any Defaulting Lender shall exercise any
such right of setoff, (x) all amounts so set off shall be paid over immediately to the
Administrative Agent for further application in accordance with the provisions of Section
2.15 and, pending such payment, shall be segregated by such Defaulting Lender from its other
funds and deemed held in trust for the benefit of the Administrative Agent and the Lenders, and (y)
the Defaulting Lender shall provide promptly to the Administrative Agent a statement describing in
reasonable detail the Obligations owing to such Defaulting Lender as to which it exercised such
right of setoff. The rights of each Lender, the L/C Issuer

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and their respective Affiliates under this Section are in addition to other rights and
remedies (including other rights of setoff) that such Lender, the L/C Issuer or their respective
Affiliates may have. Each Lender and the L/C Issuer agrees to notify the Company and the
Administrative Agent promptly after any such setoff and application, provided that the
failure to give such notice shall not affect the validity of such setoff and application.
Notwithstanding the provisions of this Section 11.08, if at any time any Lender, the L/C
Issuer or any of their respective Affiliates maintains one or more deposit accounts for any
Borrower or any other Loan Party into which Medicare and/or Medicaid receivables are deposited,
such Lender, the L/C Issuer or Affiliate hereby waive the right of setoff set forth herein.

     11.09. Interest Rate Limitation. Notwithstanding anything to the contrary contained in any
Loan Document, the interest paid or agreed to be paid under the Loan Documents shall not exceed the
maximum rate of non-usurious interest permitted by applicable Law (the “Maximum Rate”). If
the Administrative Agent or any Lender shall receive interest in an amount that exceeds the Maximum
Rate, to the extent not prohibited by applicable Law, the excess interest shall be applied to the
principal of the Loans or, if it exceeds such unpaid principal, refunded to the Company. In
determining whether the interest contracted for, charged, or received by the Administrative Agent
or a Lender exceeds the Maximum Rate, such Person may, to the extent permitted by applicable Law,
(a) characterize any payment that is not principal as an expense, fee, or premium rather than
interest, (b) exclude voluntary prepayments and the effects thereof, and (c) amortize, prorate,
allocate, and spread in equal or unequal parts the total amount of interest throughout the
contemplated term of the Obligations hereunder.

     11.10. Counterparts; Integration; Effectiveness. This Agreement may be executed in
counterparts (and by different parties hereto in different counterparts), each of which shall
constitute an original, but all of which when taken together shall constitute a single contract.
This Agreement and the other Loan Documents constitute the entire contract among the parties
relating to the subject matter hereof and supersede any and all previous agreements and
understandings, oral or written, relating to the subject matter hereof. Except as provided in
Section 4.01, this Agreement shall become effective when it shall have been executed by the
Administrative Agent and when the Administrative Agent shall have received counterparts hereof
that, when taken together, bear the signatures of each of the other parties hereto. Delivery of an
executed counterpart of a signature page of this Agreement by telecopy or other electronic imaging
means shall be effective as delivery of a manually executed counterpart of this Agreement.

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

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     11.12. Severability. If any provision of this Agreement or the other Loan Documents is held
to be illegal, invalid or unenforceable, (a) the legality, validity and enforceability of the
remaining provisions of this Agreement and the other Loan Documents shall not be affected or
impaired thereby and (b) the parties shall endeavor in good faith negotiations to replace the
illegal, invalid or unenforceable provisions with valid provisions the economic effect of which
comes as close as possible to that of the illegal, invalid or unenforceable provisions. The
invalidity of a provision in a particular jurisdiction shall not invalidate or render unenforceable
such provision in any other jurisdiction. Without limiting the foregoing provisions of this
Section 11.12, if and to the extent that the enforceability of any provisions in this
Agreement relating to Defaulting Lenders shall be limited by Debtor Relief Laws, as determined in
good faith by the Administrative Agent or the L/C Issuer, as applicable, then such provisions shall
be deemed to be in effect only to the extent not so limited.

     11.13. Replacement of Lenders. If (a) any Lender requests compensation under Section
3.04, or provides notice under Section 3.02, or if any Borrower is required to pay any
additional amount to any Lender or any Governmental Authority for the account of any Lender
pursuant to Section 3.01, (b) any Lender does not consent to a proposed amendment or
supplement to, or waiver of or other modification of, this Agreement or any other Loan Document
that (i) requires the approval of all Lenders (or all Revolving Credit Lenders, Term Lenders or all
affected Lenders, as applicable) and (ii) has been approved by the Required Lenders (or the
Required Revolving Lenders or the Required Term Lenders, as applicable), (c) if any Lender is a
Defaulting Lender, or (d) if any other circumstance exists hereunder that gives the Company the
right to replace a Lender, then the Company may, at its sole expense and effort, upon notice to
such Lender and the Administrative Agent, require such Lender to assign and delegate, without
recourse (in accordance with and subject to the restrictions contained in, and consents required
by, Section 11.06), all of its interests, rights and obligations under this Agreement and
the related Loan Documents to an assignee that shall assume such obligations (which assignee may be
another Lender, if a Lender accepts such assignment), provided that:

     (a) unless waived or modified by the Administrative Agent, the Company shall have paid (or
caused a Designated Borrower to pay) to the Administrative Agent the assignment fee specified in
Section 11.06(b);

     (b) such Lender shall have received payment of an amount equal to the outstanding principal
of its Loans and L/C Advances, accrued interest thereon, accrued fees and all other amounts
payable to it hereunder and under the other Loan Documents (including any amounts under
Section 3.05) from the assignee (to the extent of such outstanding principal and accrued
interest and fees) or the Company or applicable Designated Borrower (in the case of all other
amounts);

     (c) in the case of any such assignment resulting from a claim for compensation under
Section 3.04 or payments required to be made pursuant to Section 3.01, such
assignment will result in a reduction in such compensation or payments thereafter; and

     (d) such assignment does not conflict with applicable Laws.

-125-

 

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

     11.14. Governing Law; Jurisdiction; Etc. (a) GOVERNING LAW. THIS AGREEMENT SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK (WITHOUT GIVING
EFFECT TO ANY CHOICE OR CONFLICT OF LAW PROVISION OR RULE THAT WOULD CAUSE THE APPLICATION OF THE
DOMESTIC SUBSTANTIVE LAWS OF ANY OTHER STATE).

     (a) SUBMISSION TO JURISDICTION. EACH BORROWER AND EACH OTHER LOAN PARTY IRREVOCABLY
AND UNCONDITIONALLY SUBMITS, FOR ITSELF AND ITS PROPERTY, TO THE NONEXCLUSIVE JURISDICTION OF THE
COURTS OF THE STATE OF NEW YORK SITTING IN NEW YORK COUNTY AND OF THE UNITED STATES DISTRICT COURT
OF THE SOUTHERN DISTRICT OF NEW YORK, AND ANY APPELLATE COURT FROM ANY THEREOF, IN ANY ACTION OR
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT, OR FOR
RECOGNITION OR ENFORCEMENT OF ANY JUDGMENT, AND EACH OF THE PARTIES HERETO IRREVOCABLY AND
UNCONDITIONALLY AGREES THAT ALL CLAIMS IN RESPECT OF ANY SUCH ACTION OR PROCEEDING MAY BE HEARD
AND DETERMINED IN SUCH NEW YORK STATE COURT OR, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW,
IN SUCH FEDERAL COURT. EACH OF THE PARTIES HERETO AGREES THAT A FINAL JUDGMENT IN ANY SUCH ACTION
OR PROCEEDING SHALL BE CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE
JUDGMENT OR IN ANY OTHER MANNER PROVIDED BY LAW. NOTHING IN THIS AGREEMENT OR IN ANY OTHER LOAN
DOCUMENT SHALL AFFECT ANY RIGHT THAT THE ADMINISTRATIVE AGENT, ANY LENDER OR THE L/C ISSUER MAY
OTHERWISE HAVE TO BRING ANY ACTION OR PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT AGAINST ANY BORROWER OR ANY OTHER LOAN PARTY OR ITS PROPERTIES IN THE COURTS OF ANY
JURISDICTION.

     (b) WAIVER OF VENUE. EACH BORROWER AND EACH OTHER LOAN PARTY IRREVOCABLY AND
UNCONDITIONALLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY OBJECTION THAT IT
MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY ACTION OR PROCEEDING ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT IN ANY COURT REFERRED TO IN PARAGRAPH (B) OF
THIS SECTION. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT
PERMITTED BY APPLICABLE LAW, THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH
ACTION OR PROCEEDING IN ANY SUCH COURT.

     (c) SERVICE OF PROCESS. EACH PARTY HERETO IRREVOCABLY CONSENTS TO SERVICE OF PROCESS
IN THE MANNER PROVIDED FOR NOTICES IN SECTION 11.02. NOTHING IN THIS AGREEMENT WILL
AFFECT THE RIGHT OF

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ANY PARTY HERETO TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.

     11.15. Waiver of Jury Trial. EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST
EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL
PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY
OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY
OTHER PERSON HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD NOT, IN THE
EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE
OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS
BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

     11.16. No Advisory or Fiduciary Responsibility. In connection with all aspects of each
transaction contemplated hereby (including in connection with any amendment, waiver or other
modification hereof or of any other Loan Document), each Borrower and each other Loan Party
acknowledges and agrees, and acknowledges its Affiliates’ understanding, that: (i) (A) the
arranging and other services regarding this Agreement provided by the Administrative Agent , MLPFS,
and the other Arrangers are arm’s-length commercial transactions between such Borrower , each other
Loan Party and their respective Affiliates, on the one hand, and the Administrative Agent, MLPFS,
and the other Arrangers, on the other hand, (B) each of such Borrower and the other Loan Parties
has consulted its own legal, accounting, regulatory and tax advisors to the extent it has deemed
appropriate, and (C) such Borrower and each other Loan Party is capable of evaluating, and
understands and accepts, the terms, risks and conditions of the transactions contemplated hereby
and by the other Loan Documents; (ii) (A) the Administrative Agent, MLPFS, and each other Arranger
each is and has been acting solely as a principal and, except as expressly agreed in writing by the
relevant parties, has not been, is not, and will not be acting as an advisor, agent or fiduciary
for such Borrower, any other Loan Party or any of their respective Affiliates, or any other Person
and (B) neither the Administrative Agent, MLPFS nor any other Arranger has any obligation to such
Borrower, any other Loan Party or any of their respective Affiliates with respect to the
transactions contemplated hereby except those obligations expressly set forth herein and in the
other Loan Documents; and (iii) the Administrative Agent, MLPFS and the other Arrangers and their
respective Affiliates may be engaged in a broad range of transactions that involve interests that
differ from those of such Borrower, the other Loan Parties and their respective Affiliates, and
neither the Administrative Agent, MLPFS nor any other Arranger has any obligation to disclose any
of such interests to the Borrower, any other Loan Party or any of their respective Affiliates. To
the fullest extent permitted by law, each of the Borrowers and the other Loan Parties hereby waives
and releases any claims that it may have against the Administrative Agent, MLPFS and the other
Arrangers with respect to any breach or alleged breach of agency or fiduciary duty in connection
with any aspect of any transaction contemplated hereby.

-127-

 

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

     11.18. USA PATRIOT Act. Each Lender that is subject to the Act (as hereinafter defined) and
the Administrative Agent (for itself and not on behalf of any Lender) hereby notifies the Borrowers
that pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into
law October 26, 2001)) (the “Act”), it is required to obtain, verify and record information that
identifies each Loan Party, which information includes the name and address of each Loan Party and
other information that will allow such Lender or the Administrative Agent, as applicable, to
identify each Loan Party in accordance with the Act. Each Borrower shall, promptly following a
request by the Administrative Agent or any Lender, provide all documentation and other information
that the Administrative Agent or such Lender requests in order to comply with its ongoing
obligations under applicable “know your customer” and anti-money laundering rules and regulations,
including the Act.

     11.19. Judgment Currency. If, for the purposes of obtaining judgment in any court, it is
necessary to convert a sum due hereunder or any other Loan Document in one currency into another
currency, the rate of exchange used shall be that at which in accordance with normal banking
procedures the Administrative Agent could purchase the first currency with such other currency on
the Business Day preceding that on which final judgment is given. The obligation of each Borrower
in respect of any such sum due from it to the Administrative Agent or any Lender hereunder or under
the other Loan Documents shall, notwithstanding any judgment in a currency (the “Judgment
Currency”) other than that in which such sum is denominated in accordance with the applicable
provisions of this Agreement (the “Agreement Currency”), be discharged only to the extent
that on the Business Day following receipt by the Administrative Agent or such Lender, as the case
may be, of any sum adjudged to be so due in the Judgment Currency, the Administrative Agent or such
Lender, as the case may be, may in accordance with normal banking procedures purchase the Agreement
Currency with the Judgment Currency. If the amount of the Agreement Currency so purchased is less
than the sum originally due to the Administrative Agent or any Lender from any Borrower in the
Agreement Currency, such Borrower agrees, as a separate obligation and notwithstanding any such
judgment, to indemnify the Administrative Agent or such Lender, as the case may be, against such
loss. If the amount of the Agreement Currency so purchased is greater than the sum originally due
to the Administrative Agent or any Lender in such currency, the Administrative Agent or such
Lender, as the case may be, agrees to return the amount of any excess to such Borrower (or to any
other Person who may be entitled thereto under applicable law).

     11.20. Liability for Obligations. Notwithstanding anything to the contrary contained in this
Agreement or in the other Loan Documents, the parties agree that: (a) no Designated Borrower that
is a Foreign Obligor shall be liable for any obligation of the Company or any

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Subsidiary Guarantor arising under or with respect to any of the Loan Documents; (b) each
Designated Borrower that is a Foreign Obligor shall be severally liable only for the obligations of
such Person; and (c) neither the Administrative Agent, any Lender, the L/C Issuer nor any Affiliate
thereof, may set-off or apply any deposits of a Designated Borrower that is a Foreign Obligor or
any other obligations at the time owing to or for the credit of the account of any Designated
Borrower that is a Foreign Obligor by the Administrative Agent, such Lender, the L/C Issuer or such
Affiliate thereof, against any or all of the obligations of the Company or any Subsidiary
Guarantor.

     11.21. ENTIRE AGREEMENT. THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL
AGREEMENT AMONG THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR
SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS AMONG THE
PARTIES.

[Remainder of Page Left Intentionally Blank]

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     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of
the date first above written.

	 	 	 	 	 
	 	BORROWERS:

PAREXEL INTERNATIONAL CORPORATION

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	SVP & CFO 	 
	 
	 	PAREXEL INTERNATIONAL HOLDING, B.V.

 	 
	 	By:  	/s/ Peter Rietman
 	 
	 	 	Name:  	Peter Rietman 	 
	 	 	Title:  	Managing Director 	 
	 
	 	SUBSIDIARY GUARANTORS:

PAREXEL INTERNATIONAL, LLC

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	Treasurer 	 
	 
	 	PERCEPTIVE INFORMATICS, INC

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	Treasurer 	 
	 
	 	DATALABS INC.

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	Treasurer 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	CLINPHONE CALIFORNIA INC.

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	Treasurer 	 
	 
	 	PERCEPTIVE SERVICES, INC.

 	 
	 	By:  	/s/ James F. Winschel, Jr.
 	 
	 	 	Name:  	James F. Winschel, Jr. 	 
	 	 	Title:  	Treasurer 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	BANK OF AMERICA, N.A., AS

ADMINISTRATIVE AGENT

 	 
	 	By:  	/s/ Maurice Washington
 	 
	 	 	Name:  	Maurice Washington 	 
	 	 	Title:  	Vice President 	 
	 
	 	BANK OF AMERICA, N.A., as a Lender, L/C Issuer and

Swing Line Lender

 	 
	 	By:  	/s/ Linda Alto
 	 
	 	 	Name:  	Linda Alto 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	JPMORGAN CHASE BANK, N.A., as a Lender

 	 
	 	By:  	/s/ David Gibbs
 	 
	 	 	Name:  	David Gibbs 	 
	 	 	Title:  	Managing Director 	 

 

 

	 	 	 	 	 
	 	HSBC BANK USA, NATIONAL ASSOCIATION, 

as a Lender

 	 
	 	By:  	Elise Russo
 	 
	 	 	Name:  	Elise Russo 	 
	 	 	Title:  	Senior Global Relationship Manager 	 

 

 

	 	 	 	 	 
	 	RBS CITIZENS, NATIONAL ASSOCIATION, 

as a Lender

 	 
	 	By:  	/s/ Cindy Chen
 	 
	 	 	Name:  	Cindy Chen 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	U.S. BANK NATIONAL ASSOCIATION, as a Lender

 	 
	 	By:  	/s/ Nathan Hall
 	 
	 	 	Name:  	Nathan Hall 	 
	 	 	Title:  	AVP 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	SOVEREIGN BANK, as a Lender

 	 
	 	By:  	/s/ Karen Ng
 	 
	 	 	Name:  	Karen Ng 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	FIFTH THIRD BANK, as a Lender

 	 
	 	By:  	/s/ Joshua Livingston
 	 
	 	 	Name:  	Joshua Livingston 	 
	 	 	Title:  	Assistant Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	TD BANK, N.A., as a Lender

 	 
	 	By:  	/s/ Marla Willner
 	 
	 	 	Name:  	Marla Willner 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	PNC BANK, NATIONAL ASSOCIATION, as a Lender

 	 
	 	By:  	/s/ Robert Martin
 	 
	 	 	Name:  	Robert Martin 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	THE HUNTINGTON NATIONAL BANK, as a Lender

 	 
	 	By:  	/s/ Kristy Ahee
 	 
	 	 	Name:  	Kristy Ahee 	 
	 	 	Title:  	Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	PEOPLE’S UNITED BANK, as a Lender

 	 
	 	By:  	/s/ Robert Hazard
 	 
	 	 	Name:  	Robert Hazard 	 
	 	 	Title:  	Senior Vice President 	 

 

 

	 	 	 	 	 

	 	 	 	 	 
	 	THE NORTHERN TRUST COMPANY, as a Lender

 	 
	 	By:  	/s/ Clifford Hoppe
 	 
	 	 	Name:  	Clifford Hoppe 	 
	 	 	Title:  	2nd Vice Presidentexv10w1

Exhibit 10.1

The Men’s Wearhouse, Inc.

401(k) Savings Plan

 

 

Table of Contents

	 	 	 	 	 

	Article 1	 	-1-
	Definitions	 	-1-
	1.1

	 	ACP Test
	 	-1-
	1.2

	 	ACP Safe Harbor Matching Contribution
	 	-1-
	1.3

	 	ACP Safe Harbor Matching Contribution Account
	 	-1-
	1.4

	 	Actual Contribution Percentage
	 	-1-
	1.5

	 	Actual Contribution Percentage Test
	 	-1-
	1.6

	 	Actual Deferral Percentage
	 	-2-
	1.7

	 	Actual Deferral Percentage Test
	 	-2-
	1.8

	 	Administrator
	 	-2-
	1.9

	 	Adopting Employer
	 	-2-
	1.10

	 	ADP Safe Harbor Contribution
	 	-2-
	1.11

	 	ADP Safe Harbor Matching Contribution
	 	-2-
	1.12

	 	ADP Safe Harbor Matching Contribution Account
	 	-3-
	1.13

	 	ADP Safe Harbor Non-Elective Contribution
	 	-3-
	1.14

	 	ADP Safe Harbor Non-Elective Contribution Account
	 	-3-
	1.15

	 	ADP Test
	 	-3-
	1.16

	 	Affiliated Employer
	 	-4-
	1.17

	 	Age
	 	-4-
	1.18

	 	Aggregate Normal Allocation Rate
	 	-4-
	1.19

	 	Allocation Period
	 	-4-
	1.20

	 	Allocation Rate
	 	-4-
	1.21

	 	Anniversary Date
	 	-4-
	1.22

	 	Annuity Starting Date
	 	-4-
	1.23

	 	Annual Additions
	 	-4-
	1.24

	 	Applicable Contribution Rate
	 	-5-
	1.25

	 	Applicable Plan Year
	 	-5-
	1.26

	 	Beneficiary
	 	-5-
	1.27

	 	Benefiting Participant
	 	-5-
	1.28

	 	Break in Service
	 	-5-
	1.29

	 	Broadly Available Allocation Rates
	 	-6-
	1.30

	 	Broadly Available Separate Plans
	 	-6-
	1.31

	 	Cash or Deferred Contribution
	 	-6-
	1.32

	 	Catch-Up Contribution
	 	-6-
	1.33

	 	Catch-Up Contribution Limit
	 	-6-
	1.34

	 	Code
	 	-6-
	1.35

	 	Code §3401 Compensation
	 	-7-
	1.36

	 	Code §401(a)(17) Compensation Limit
	 	-7-
	1.37

	 	Code §414(s) Compensation
	 	-7-
	1.38

	 	Code §415(c)(3) Compensation
	 	-7-
	1.39

	 	Committee
	 	-8-
	1.40

	 	Compensation
	 	-8-
	1.41

	 	Compensation Determination Period
	 	-9-
	1.42

	 	Contribution Percentage
	 	-9-
	1.43

	 	Contribution Percentage Amounts
	 	-9-
	1.44

	 	Counting of Hours Method
	 	-11-
	1.45

	 	Current Year Testing Method
	 	-11-
	1.46

	 	Deemed Code §125 Compensation
	 	-11-
	1.47

	 	Deemed IRA Contribution
	 	-11-
	1.48

	 	Deemed IRA Account
	 	-11-
	1.49

	 	Designated Beneficiary
	 	-11-
	1.50

	 	Determination Date
	 	-11-
	1.51

	 	Disability
	 	-11-
	1.52

	 	Distribution Calendar Year
	 	-11-
	1.53

	 	Early Retirement Age
	 	-12-
	1.54

	 	Earned Income
	 	-12-
	1.55

	 	Elapsed Time Method
	 	-12-
	1.56

	 	Elective Deferral
	 	-12-
	1.57

	 	Eligibility Computation Period
	 	-12-
	1.58

	 	Eligible Employee
	 	-12-
	1.59

	 	Employee
	 	-12-
	1.60

	 	Employee Contribution
	 	-13-
	1.61

	 	Employer
	 	-13-
	1.62

	 	Employment Commencement Date
	 	-13-
	1.63

	 	Equivalent Accrual Rate
	 	-13-
	1.64

	 	ERISA
	 	-13-

 

 

	 	 	 	 	 

	1.65

	 	Excess Annual Additions
	 	-13-
	1.66

	 	Excess Aggregate Contributions
	 	-14-
	1.67

	 	Excess Contributions
	 	-14-
	1.68

	 	Excess Elective Deferrals
	 	-14-
	1.69

	 	401(k) Plan
	 	-14-
	1.70

	 	401(m) Plan
	 	-14-
	1.71

	 	Fiscal Year
	 	-14-
	1.72

	 	Forfeiture
	 	-14-
	1.73

	 	Forfeiture Account
	 	-14-
	1.74

	 	Form W-2 Compensation
	 	-14-
	1.75

	 	Gradually Increasing Age or Service Schedule
	 	-15-
	1.76

	 	HCE
	 	-15-
	1.77

	 	Highly Compensated Employee
	 	-15-
	1.78

	 	Hour of Service
	 	-16-
	1.79

	 	Hypothetical Entry Date
	 	-16-
	1.80

	 	Immediately Distributable
	 	-17-
	1.81

	 	Independent Contractor
	 	-17-
	1.82

	 	Key Employee
	 	-17-
	1.83

	 	Leased Employee
	 	-17-
	1.84

	 	Life Expectancy
	 	-18-
	1.85

	 	Limitation Year
	 	-18-
	1.86

	 	Matching Contribution
	 	-18-
	1.87

	 	Matching Contribution Account
	 	-18-
	1.88

	 	Matching Rate
	 	-18-
	1.89

	 	Maternity or Paternity Leave
	 	-18-
	1.90

	 	Minimum Aggregate Allocation Gateway
	 	-18-
	1.91

	 	Minimum Allocation Gateway
	 	-19-
	1.92

	 	Named Fiduciary
	 	-20-
	1.93

	 	NHCE
	 	-20-
	1.94

	 	Non-Elective Contribution
	 	-20-
	1.95

	 	Non-Highly Compensated Employee
	 	-20-
	1.96

	 	Non-Key Employee
	 	-20-
	1.97

	 	Non-Safe Harbor 401(k) Plan
	 	-20-
	1.98

	 	Non-Safe Harbor 401(m) Plan
	 	-20-
	1.99

	 	Non-Safe Harbor Matching Contribution
	 	-20-
	1.100

	 	Non-Safe Harbor Matching Contribution Account
	 	-20-
	1.101

	 	Non-Safe Harbor Non-Elective Contribution
	 	-20-
	1.102

	 	Non-Safe Harbor Non-Elective Contribution Account
	 	-21-
	1.103

	 	Normal Accrual Rate
	 	-21-
	1.104

	 	Normal Form of Distribution
	 	-21-
	1.105

	 	Normal Retirement Age
	 	-21-
	1.106

	 	Normal Retirement Date
	 	-21-
	1.107

	 	Otherwise Excludable Participant
	 	-21-
	1.108

	 	Optional Form of Distribution
	 	-21-
	1.109

	 	Participant
	 	-21-
	1.110

	 	Participant’s Account
	 	-21-
	1.111

	 	Participant’s Account Balance
	 	-21-
	1.112

	 	Period of Service
	 	-22-
	1.113

	 	Period of Severance
	 	-24-
	1.114

	 	Permissive Aggregation Group
	 	-24-
	1.115

	 	Plan
	 	-24-
	1.116

	 	Plan Year
	 	-24-
	1.117

	 	Policy
	 	-24-
	1.118

	 	Post-Severance Compensation
	 	-24-
	1.119

	 	Pre-Tax Elective Deferral
	 	-25-
	1.120

	 	Pre-Tax Elective Deferral Account
	 	-25-
	1.121

	 	Primarily Defined Benefit in Character
	 	-25-
	1.122

	 	Prior Year Testing Method
	 	-25-
	1.123

	 	QJSA
	 	-25-
	1.124

	 	QMAC
	 	-25-
	1.125

	 	QMAC Account
	 	-25-
	1.126

	 	QNEC
	 	-25-
	1.127

	 	QNEC Account
	 	-25-
	1.128

	 	QPSA
	 	-25-
	1.129

	 	Qualified Joint and Survivor Annuity
	 	-25-
	1.130

	 	Qualified Matching Contribution
	 	-25-
	1.131

	 	Qualified Matching Contribution Account
	 	-26-
	1.132

	 	Qualified Non-Elective Contribution
	 	-26-
	1.133

	 	Qualified Non-Elective Contribution Account
	 	-26-

 

 

	 	 	 	 	 

	1.134

	 	Qualified Pre-Retirement Survivor Annuity
	 	-26-
	1.135

	 	Reemployment Commencement Date
	 	-26-
	1.136

	 	Regulation
	 	-27-
	1.137

	 	Representative Contribution Rate
	 	-27-
	1.138

	 	Representative Matching Rate
	 	-27-
	1.139

	 	Required Aggregation Group
	 	-27-
	1.140

	 	Required Beginning Date
	 	-27-
	1.141

	 	Rollover
	 	-28-
	1.142

	 	Rollover Contribution
	 	-28-
	1.143

	 	Rollover Contribution Account
	 	-28-
	1.144

	 	Rollover Participant
	 	-28-
	1.145

	 	Roth Elective Deferral
	 	-28-
	1.146

	 	Roth Elective Deferral Account
	 	-28-
	1.147

	 	Rule of Parity
	 	-28-
	1.148

	 	Safe Harbor Code §415 Compensation
	 	-29-
	1.149

	 	Safe Harbor 401(k) Contribution
	 	-29-
	1.150

	 	Safe Harbor 401(k) Plan
	 	-29-
	1.151

	 	Safe Harbor 401(m) Plan
	 	-29-
	1.152

	 	Safe Harbor Notice
	 	-29-
	1.153

	 	Safe Harbor Participant
	 	-29-
	1.154

	 	Self-Employed Individual
	 	-30-
	1.155

	 	Service
	 	-30-
	1.156

	 	Sponsor Stock. The term Sponsor Stock means the common stock of the Sponsoring Employer	 	-30-
	1.157

	 	Sponsoring Employer
	 	-30-
	1.158

	 	Spousal
	 	-30-
	1.159

	 	Spouse
	 	-30-
	1.160

	 	Statutory Code §415 Compensation
	 	-30-
	1.161

	 	Substantially Equal
	 	-31-
	1.162

	 	Terminated (or Terminates) Employment
	 	-31-
	1.163

	 	Terminated Participant
	 	-31-
	1.164

	 	Termination of Employment
	 	-31-
	1.165

	 	Top Heavy
	 	-31-
	1.166

	 	Top Heavy Minimum Allocation
	 	-31-
	1.167

	 	Top Heavy Ratio
	 	-32-
	1.168

	 	Transfer Contribution
	 	-33-
	1.169

	 	Transfer Contribution Account
	 	-33-
	1.170

	 	Trustee
	 	-33-
	1.171

	 	Trust (or Trust Fund)
	 	-33-
	1.172

	 	Valuation Calendar Year
	 	-33-
	1.173

	 	Valuation Date
	 	-33-
	1.174

	 	Vested Aggregate Account
	 	-33-
	1.175

	 	Vested, Vested Interest or Vesting
	 	-33-
	1.176

	 	Vesting Computation Period
	 	-33-
	1.177

	 	Voluntary Employee Contribution
	 	-33-
	1.178

	 	Voluntary Employee Contribution Account
	 	-33-
	1.179

	 	Year of Service
	 	-34-
	 
	 	 	 	 
	Article 2	 	-37-
	Plan Participation	 	-37-
	2.1

	 	Eligibility and Entry Date Requirements
	 	-37-
	2.2

	 	Waiver of Participation
	 	-38-
	2.3

	 	Reemployment After Termination
	 	-38-
	 
	 	 	 	 
	Article 3	 	-39-
	Contributions and Allocations	 	-39-
	3.1

	 	General Contribution and Allocation Provisions
	 	-39-
	3.2

	 	Elective Deferrals
	 	-40-
	3.3

	 	Non-Safe Harbor Matching Contributions
	 	-41-
	3.4

	 	Non-Safe Harbor Non-Elective Contributions
	 	-43-
	3.5

	 	Qualified Matching Contributions
	 	-43-
	3.6

	 	Qualified Non-Elective Contributions
	 	-44-
	3.7

	 	Safe Harbor 401(k) Contributions
	 	-44-
	3.8

	 	Rollover Contributions
	 	-45-
	3.9

	 	Voluntary Employee Contributions
	 	-45-
	3.10

	 	Allocation of Earnings and Losses
	 	-45-
	3.11

	 	Forfeitures and Their Usage
	 	-46-
	3.12

	 	Top Heavy Minimum Allocation
	 	-46-
	3.13

	 	Failsafe Allocation
	 	-48-
	3.14

	 	Actual Deferral Percentage Test and Correction
	 	-48-
	3.15

	 	Actual Contribution Percentage Test and Correction
	 	-50-

 

 

	 	 	 	 	 

	3.16

	 	ADP Safe Harbor Contributions
	 	-52-
	3.17

	 	ACP Safe Harbor Contributions
	 	-57-
	3.18

	 	General Non-Discrimination Test Requirements
	 	-58-
	3.19

	 	Annual Overall and Cumulative Permitted Disparity Limit
	 	-59-
	3.20

	 	Deemed IRA Contributions
	 	-61-
	 
	 	 	 	 
	Article 4	 	-62-
	Plan Benefits	 	-62-
	4.1

	 	Benefit Upon Normal Retirement
	 	-62-
	4.2

	 	Benefit Upon Late Retirement
	 	-62-
	4.3

	 	Benefit Upon Death
	 	-62-
	4.4

	 	Benefit Upon Disability
	 	-62-
	4.5

	 	Benefit Upon Termination of Employment
	 	-62-
	4.6

	 	Determination of Vested Interest
	 	-62-
	 
	 	 	 	 
	Article 5	 	-65-
	Distribution of Benefits	 	-65-
	5.1

	 	Distribution of Benefit Upon Retirement
	 	-65-
	5.2

	 	Distribution of Benefit Upon Death
	 	-65-
	5.3

	 	Distribution of Benefit Upon Disability
	 	-66-
	5.4

	 	Distribution of Benefit Upon Termination of Employment
	 	-66-
	5.5

	 	Mandatory Cash-Out of Benefits
	 	-67-
	5.6

	 	Restrictions on Immediate Distributions
	 	-68-
	5.7

	 	Accounts of Rehired Participants
	 	-69-
	5.8

	 	Spousal Consent Requirements
	 	-70-
	5.9

	 	Required Minimum Distributions
	 	-72-
	5.10

	 	Statutory Commencement of Benefits
	 	-74-
	5.11

	 	Earnings Before Benefit Distribution
	 	-74-
	5.12

	 	Distribution in the Event of Legal Incapacity
	 	-75-
	5.13

	 	Missing Payees and Unclaimed Benefits
	 	-75-
	5.14

	 	Direct Rollovers
	 	-75-
	5.15

	 	Distribution of Property
	 	-76-
	5.16

	 	Financial Hardship Distributions
	 	-76-
	5.17

	 	Pre-Retirement Distributions
	 	-77-
	5.18

	 	Distribution of Excess Elective Deferrals
	 	-77-
	5.19

	 	Distribution of Excess Contributions
	 	-78-
	5.20

	 	Distribution of Excess Aggregate Contributions
	 	-79-
	5.21

	 	Distribution of Rollover Contributions
	 	-81-
	5.22

	 	Distribution of Transfer Contributions
	 	-81-
	5.23

	 	Distribution of Voluntary Employee Contributions
	 	-82-
	 
	 	 	 	 
	Article 6	 	-83-
	Code § 415 Limitations	 	-83-
	6.1

	 	Maximum Annual Additions
	 	-83-
	6.2

	 	Adjustments to Maximum Annual Addition
	 	-83-
	6.3

	 	Multiple Plans and Multiple Employers
	 	-83-
	6.4

	 	Adjustment for Excessive Annual Additions
	 	-83-
	 
	 	 	 	 
	Article 7	 	-85-
	Loans, Insurance and Directed Investments	 	-85-
	7.1

	 	Loans to Participants
	 	-85-
	7.2

	 	Insurance on Participants
	 	-86-
	7.3

	 	Key Man Insurance
	 	-86-
	7.4

	 	Directed Investment Accounts
	 	-86-
	 
	 	 	 	 
	Article 8	 	-87-
	Duties of the Administrator	 	-87-
	8.1

	 	Appointment, Resignation, Removal and Succession
	 	-87-
	8.2

	 	General Powers and Duties
	 	-87-
	8.3

	 	Functioning of the Committee
	 	-87-
	8.4

	 	Multiple Administrators
	 	-87-
	8.5

	 	Correcting Administrative Errors
	 	-87-
	8.6

	 	Promulgating Notices and Procedures
	 	-87-
	8.7

	 	Employment of Agents and Counsel
	 	-88-
	8.8

	 	Compensation and Expenses
	 	-88-
	8.9

	 	Claims Procedures
	 	-88-
	8.10

	 	Qualified Domestic Relations Orders
	 	-88-
	8.11

	 	Appointment of Investment Manager
	 	-88-
	 
	 	 	 	 
	Article 9	 	-89-
	Trustee Provisions	 	-89-
	9.1

	 	Appointment, Resignation, Removal and Succession
	 	-89-

 

 

	 	 	 	 	 

	9.2

	 	Powers and Duties of the Trustee
	 	-89-
	 
	 	 	 	 
	Article 10	 	-90-
	Adopting Employer Provisions	 	-90-
	10.1

	 	Plan Contributions
	 	-90-
	10.2

	 	Plan Amendments
	 	-90-
	10.3

	 	Plan Expenses
	 	-90-
	10.4

	 	Employee Transfers
	 	-90-
	10.5

	 	Multiple Employer Provisions Under Code §413(c)
	 	-90-
	10.6

	 	Termination of Adoption
	 	-90-
	 
	 	 	 	 
	Article 11	 	-91-
	Amendment, Termination and Merger	 	-91-
	11.1

	 	Plan Amendment
	 	-91-
	11.2

	 	Termination By Sponsoring Employer
	 	-93-
	11.3

	 	Merger or Consolidation
	 	-93-
	11.4

	 	Plan-to-Plan Elective Transfers
	 	-94-
	 
	 	 	 	 
	Article 12	 	-95-
	Miscellaneous Provisions	 	-95-
	12.1

	 	No Contract of Employment
	 	-95-
	12.2

	 	Title to Assets
	 	-95-
	12.3

	 	Qualified Military Service
	 	-95-
	12.4

	 	Fiduciaries and Bonding
	 	-95-
	12.5

	 	Severability of Provisions
	 	-95-
	12.6

	 	Interpretation of the Plan and Trust
	 	-95-
	12.7

	 	Costs of Legal Action
	 	-96-
	12.8

	 	Qualified Plan Status
	 	-96-
	12.9

	 	Mailing of Notices to Administrator, Employer or Trustee
	 	-96-
	12.10

	 	Participant Notices and Waivers of Notices
	 	-96-
	12.11

	 	No Duplication of Benefits
	 	-96-
	12.12

	 	Evidence Furnished Conclusive
	 	-96-
	12.13

	 	Release of Claims
	 	-96-
	12.14

	 	Discontinued Contributions
	 	-96-
	12.15

	 	Multiple Copies of Plan And/or Trust
	 	-96-
	12.16

	 	Limitation of Liability and Indemnification
	 	-96-
	12.17

	 	Written Elections and Forms
	 	-97-
	12.18

	 	Assignment and Alienation of Benefits
	 	-97-
	12.19

	 	Exclusive Benefit Rule
	 	-97-
	12.20

	 	Prior Provisions of Amended and Restated Plans
	 	-97-
	12.21

	 	Dual and Multiple Trusts
	 	-97-
	12.22

	 	Loss of Volume Submitter Status
	 	-97-

 

 

The Men’s Wearhouse, Inc.

401(k) Savings Plan

This
Agreement is made and entered into as of the
1st day
of July,
2011 by The Men’s Wearhouse, Inc. (hereafter referred to as the “Sponsoring Employer”).

Introduction

The Sponsoring Employer previously established a profit sharing plan which includes a cash or
deferred arrangement under Code §401(k) (hereafter referred to as the “Plan”), effective February
1, 1978, which the Sponsoring Employer wishes to amend. Therefore, effective July 1, 2011 (except
for those specific provisions that have an earlier effective date), the Sponsoring Employer hereby
amends and restates the Plan. This amended and restated Plan is intended to comply with the
requirements of the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code
of 1986, as amended by subsequent legislation, including The Economic Growth and Tax Relief
Reconciliation Act of 2001 and the Job Creation and Workers Assistance Act of 2002, and it is also
intended to comply with all applicable rulings and Regulations promulgated thereunder.

Article 1

Definitions

	1.1	 	ACP Test. The term ACP Test means the Actual Contribution Percentage Test.
	 
	1.2	 	ACP Safe Harbor Matching Contribution. The term ACP Safe Harbor Matching
Contribution means an Employer contribution (including an ADP Safe Harbor Matching
Contribution) made to this or any other defined contribution plan on behalf of a Participant
on account of a Participant’s Elective Deferrals and/or a Participant’s Employee Contributions
made by such Participant under a plan maintained by the Sponsoring Employer, which falls
within the requirements of the ACP Safe Harbor as set forth in Code §401(m)(11) and Section
3.17 of the Plan and which is intended to automatically satisfy the requirements of the ACP
Test for a Plan Year.
	 
	1.3	 	ACP Safe Harbor Matching Contribution Account. The term ACP Safe Harbor Matching
Contribution Account means the account to which a Participant’s ACP Safe Harbor Matching
Contributions are credited.
	 
	1.4	 	Actual Contribution Percentage. The term Actual Contribution Percentage means,
for a specified group of Participants (either Highly Compensated Employees or Non-Highly
Compensated Employees) for a Plan Year, the average of the Contribution Percentages of the
“Eligible Participants” in a group. An Actual Contribution Percentage for a specified group of
Participants will be calculated to the nearest hundredth of a percentage point. For purposes
of this definition, the term “Eligible Participant” means any Employee (either a Highly
Compensated Employee or a Non-Highly Compensated Employee) who is eligible (a) to make a
Voluntary Employee Contribution, (b) to make a Mandatory Employee Contribution, (c) to make an
Elective Deferral (if the Sponsoring Employer takes such Elective Deferrals into account in
the calculation of the Contribution Percentage), (d) to receive a Matching Contribution
(including Forfeitures that are contingent upon the Participant making Elective Deferrals or
Employee Contributions), or (e) to receive a Qualified Matching Contribution. If an Employee
Contribution is required as a condition of participation in the Plan, then any Employee who
would be a Participant if such Employee made such a contribution will be treated as an
“Eligible Participant” on behalf of whom no Employee Contributions are made.
	 
	1.5	 	Actual Contribution Percentage Test. The term Actual Contribution Percentage Test
means the nondiscrimination test of Section 3.15 that is performed each Plan Year on a
Non-Safe Harbor 401(m) Plan. The Plan uses the Prior Year Testing Method to apply the Actual
Contribution Percentage Test. In any Plan Year, if ACP Safe Harbor Matching Contributions
(including, if applicable, ADP Safe Harbor Matching Contributions) satisfy the requirements of
Section 3.17, then the Actual Contribution Percentage Test will be deemed to be satisfied with
respect to such ACP Safe Harbor Matching Contributions for that Plan Year. Notwithstanding the
foregoing, a Plan that makes ACP Safe Harbor Matching Contributions that satisfy the
requirements of Section 3.17 is deemed to have elected the Current Year Testing Method.

-1-

 

	1.6	 	Actual Deferral Percentage. The term Actual Deferral Percentage means, for a
specified group of Participants (either Highly Compensated Employees or Non-Highly Compensated
Employees) for a Plan Year, the average of the ratios (calculated separately to the nearest
hundredth of a percentage point for each Participant in such group) of (a) the amount of
Employer contributions actually paid over to the Trust on behalf of such Participant for the
Plan Year to (b) the Code §414(s) Compensation of such Participant for such Plan Year. For
purposes of computing Actual Deferral Percentages, an Employee who would be a Participant but
for the failure to make Elective Deferrals will be treated as a Participant on whose behalf no
Elective Deferrals are made and such Participant’s ratio will equal zero (0). An Actual
Deferral Percentage for a specified group of Participants will be calculated to the nearest
hundredth of a percentage point. Employer contributions actually paid over to the Trust on
behalf of such Participant (either a HCE or a NHCE) for the Plan Year will include the
following:

	 	(a)	 	Elective Deferrals. Any Elective Deferrals made pursuant to the Participant’s
deferral election (including Excess Elective Deferrals of Highly Compensated Employees),
but excluding the following: (1) Excess Elective Deferrals of NHCEs that arise solely
from Elective Deferrals made under this Plan or plans of this Sponsoring Employer; (2)
Elective Deferrals that are treated as Catch-Up Contributions under Code §414(v) because
the Elective Deferrals exceed a statutory limit or employer-provided limit (within the
meaning of Regulation §1.414(v)—1(b)(1)) for the Plan Year for which the Elective
Deferrals were made, or for any other Plan Year; (3) Elective Deferrals that are taken
into account in the Actual Contribution Percentage Test (provided the ADP Test is
satisfied both with and without the exclusion of these Elective Deferrals); and (4)
additional Elective Deferrals that are made pursuant to Code §414(u) by reason of a
Participant’s qualified military service for the Plan Year for which the contributions
are made, or for any other Plan Year.
	 
	 	(b)	 	QNECs and QMACs. In the discretion of the Sponsoring Employer, Qualified
Non-Elective Contributions and Qualified Matching Contributions.

	1.7	 	Actual Deferral Percentage Test. The term Actual Deferral Percentage Test means
the nondiscrimination test of Section 3.14 that is performed each Plan Year on a Non-Safe
Harbor 401(k) Plan. The Plan uses the Prior Year Testing Method to apply the Actual Deferral
Percentage Test. In any Plan Year, if ADP Safe Harbor Contributions satisfy the requirements
of Section 3.16, then the Actual Deferral Percentage Test will be deemed to be satisfied with
respect to any Elective Deferrals of that Plan Year. Notwithstanding the foregoing, a Plan
that makes ADP Safe Harbor Matching Contributions that satisfy the requirements of Section
3.16 is deemed to have elected the Current Year Testing Method.
	 
	1.8	 	Administrator. The term Administrator means the Sponsoring Employer unless the
Sponsoring Employer appoints another Administrator under Section 8.1. The term “Administrator”
also means a Qualified Termination Administrator (“QTA”) charged with the task of holding the
assets of an orphan plan as permitted by the Department of Labor. A QTA will be an eligible
custodian such as a bank, mutual fund house, or insurance company. Third party record-keepers
cannot be QTAs. However, in the case of a one participant-owner only plan, the spouse of a
deceased owner can continue to operate the Plan, pursuant to Revenue Procedure 2006-27.
	 
	1.9	 	Adopting Employer. The term Adopting Employer means any entity which adopts this
Plan with the consent of the Sponsoring Employer. In addition to all other terms and
conditions in the Plan, Adopting Employers must comply with the terms and conditions set forth
in Article 10. An Affiliated Employer is not considered an Adopting Employer unless such
Affiliated Employer has specifically adopted the Plan.
	 
	1.10	 	ADP Safe Harbor Contribution. The term ADP Safe Harbor Contribution means an ADP
Safe Harbor Matching Contribution and/or an ADP Safe Harbor Non-Elective Contribution.
	 
	1.11	 	ADP Safe Harbor Matching Contribution. The term ADP Safe Harbor Matching
Contribution means an Employer contribution made to this or any other defined contribution
plan on behalf of a Participant (a) on account of a Participant’s Elective Deferrals made by
such Participant under a plan maintained by the Sponsoring Employer, (b) in which a
Participant will have a 100% Vested Interest at all times, and (c) which falls within the
requirements of the ADP Safe Harbor as set forth in Code §401(k)(12) and Section 3.16 of the
Plan and which is intended to automatically satisfy the requirements of the ADP Test and the
ACP Test for a Plan Year. ADP Safe Harbor Matching Contributions can be either “Basic” or
“Enhanced” as set forth in a Safe Harbor 401(k) Addendum. ADP Safe Harbor Matching
Contributions can only be distributed upon the earliest to occur of the following dates: (a) a
Participant Terminates Employment (separates from service, for Plan Years beginning before
2002) with the Employer; (b) a Participant dies; (c) a Participant suffers a Disability; (d)
an event that is described in Code §401(k)(10) occurs; or (e) a Participant reaches Age 591/2
(if on or before such date, a pre-

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	 	 	retirement in-service withdrawal of ADP Safe Harbor Matching Contributions is permitted under
Section 5.17). With respect to clause (d) of the prior sentence, ADP Safe Harbor Matching
Contributions can be distributed (in a lump sum only) upon termination of the Plan, so long as
the Sponsoring Employer (or an Affiliated Employer) does not maintain an alternative defined
contribution plan at any time during the period beginning on the date of Plan termination and
ending 12 months after all assets have been distributed from the terminated Plan. However, if
at all times during the 24-month period beginning 12 months before the date of Plan’s
termination, fewer than 2% of the Employees eligible to participate in the 401(k) Plan as of
the date of the Plan’s termination are eligible to participate in the other defined
contribution plan, then the other defined contribution plan is not an alternative defined
contribution plan. In addition, a defined contribution plan is not an alternative defined
contribution plan if it is an employee stock ownership plan as defined in Code §4975(e)(7) or
Code §409(a), a simplified employee pension as defined in Code §408(k), a SIMPLE IRA plan as
defined in Code §408(p), a plan or contract that is described in Code §403(b), or a plan that
is described in Code §457(b) or Code §457(f). For Plan Years beginning before 2002, ADP Safe
Harbor Matching Contributions could also be distributed (in a lump sum only) upon (a) the
disposition by a corporation to an unrelated corporation of substantially all of the assets
(within the meaning of Code §409(d)(2)) used in a trade or business of such corporation if
such corporation continues to maintain the Plan after the disposition, but only with respect
to employees who continue employment with the corporation acquiring such assets; or (b) the
disposition by a corporation to an unrelated entity of such corporation’s interest in a
subsidiary (within the meaning of Code §409(d)(3)) if such corporation continues to maintain
the Plan, but only with respect to employees who continue employment with such subsidiary.

	1.12	 	ADP Safe Harbor Matching Contribution Account. The term ADP Safe Harbor Matching
Contribution Account means the account to which a Participant’s ADP Safe Harbor Matching
Contributions are credited.
	 
	1.13	 	ADP Safe Harbor Non-Elective Contribution. The term ADP Safe Harbor Non-Elective
Contribution means a Non-Elective Contribution in which a Participant will have a 100% Vested
Interest at all times, which falls within the requirements of the ADP Safe Harbor as set forth
in Code §401(k)(12) and Section 3.16 of the Plan, and which is intended to automatically
satisfy the requirements of the ADP Test for a Plan Year. ADP Safe Harbor Non-Elective
Contributions can only be distributed upon the earliest to occur of the following dates: (a) a
Participant Terminates Employment (separates from service, for Plan Years beginning before
2002) with the Employer; (b) a Participant dies; (c) a Participant suffers a Disability; (d)
an event that is described in Code §401(k)(10) occurs; or (e) a Participant reaches Age 591/2
(if on or before such date, a pre-retirement in-service withdrawal of ADP Safe Harbor
Non-Elective Contributions is permitted under Section 5.17). With respect to clause (d) of the
prior sentence, ADP Safe Harbor Non-Elective Contributions can be distributed (in a lump sum
only) upon termination of the Plan, so long as the Sponsoring Employer (or an Affiliated
Employer) does not maintain an alternative defined contribution plan at any time during the
period beginning on the date of Plan termination and ending 12 months after all assets have
been distributed from the terminated Plan. However, if at all times during the 24-month period
beginning 12 months before the date of Plan’s termination, fewer than 2% of the Employees who
were eligible to participate in the 401(k) Plan as of the date of the Plan’s termination are
eligible to participate in the other defined contribution plan, then the other defined
contribution plan is not an alternative defined contribution plan. In addition, a defined
contribution plan is not an alternative defined contribution plan if it is an employee stock
ownership plan as defined in Code §4975(e)(7) or Code §409(a), a simplified employee pension
as defined in Code §408(k), a SIMPLE IRA plan as defined in Code §408(p), a plan or contract
that is described in Code §403(b), or a plan that is described in Code §457(b) or Code
§457(f). For Plan Years beginning before 2002, ADP Safe Harbor Non-Elective Contributions
could also be distributed (in a lump sum only) upon (a) the disposition by a corporation to an
unrelated corporation of substantially all of the assets (within the meaning of Code
§409(d)(2)) used in a trade or business of such corporation if it continues to maintain the
Plan after the disposition, but only with respect to employees who continue employment with
the corporation acquiring such assets; or (b) the disposition by a corporation to an unrelated
entity of such corporation’s interest in a subsidiary (within the meaning of Code §409(d)(3))
if such corporation continues to maintain the Plan, but only with respect to employees who
continue employment with such subsidiary.
	 
	1.14	 	ADP Safe Harbor Non-Elective Contribution Account. The term ADP Safe Harbor
Non-Elective Contribution Account means the account to which a Participant’s ADP Safe Harbor
Non-Elective Contributions are credited.
	 
	1.15	 	ADP Test. The term ADP Test means the Actual Deferral Percentage Test.

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	1.16	 	Affiliated Employer. The term Affiliated Employer means any of the following:
(1) a controlled group of corporations as defined in Code §414(b); (2) a trade or business
(whether or not incorporated) under common control as described in Code §414(c); (3) any
organization (whether or not incorporated) which is a member of an affiliated service group as
described in Code §414(m); and (4) any other entity required to be aggregated as described in
Code §414(o). Any Periods of Service or Years of Service with an Affiliated Employer will only
be taken into account as otherwise provided under the Plan.
	 
	1.17	 	Age. The term Age means actual age attained unless otherwise specified.
	 
	1.18	 	Aggregate Normal Allocation Rate. The term Aggregate Normal Allocation Rate
means the sum of the Employee’s Allocation Rate under the defined contribution plan(s) and the
equivalent normal allocation rate under the defined benefit plan(s), determined in the
following manner:

	 	(a)	 	Aggregate Allocation Rates. An Employee’s Aggregate Normal Allocation Rate is
determined by treating all defined contribution plans that are part of the combination of
defined benefit plan(s) and defined contribution plan(s) as a single plan, and all
defined benefit plans that are part of the combination of defined benefit plan(s) and
defined contribution plan(s) as a separate single plan. Furthermore, an equivalent normal
allocation rate for the Employee is determined pursuant to Regulation
§1.401(a)(4)—8(c)(2).
	 
	 	(b)	 	Options Applied on an Aggregate Basis. The optional rules in Regulation
§1.401(a)(4)—2(c)(2)(iv) (imputation of permitted disparity) and (v) (grouping of rates)
may not be used to determine an Employee’s allocation or equivalent normal allocation
rate, but may be applied to determine an Employee’s Aggregate Normal Allocation Rate by
substituting the Aggregate Normal Allocation Rate (determined without regard to the
option) for the Employee’s Allocation Rate in that Regulation section where appropriate.
	 
	 	(c)	 	Consistency Rule. Aggregate Normal Allocation Rates must be determined in a
consistent manner for all employees for the Plan Year. The same measurement periods and
interest rates must be used, and any available options must be applied consistently, if
at all, for the entire combination of defined benefit and defined contribution plan(s).
Options that are not permitted to be used under Regulation §1.401(a)(4)—8 in
cross-testing a defined contribution plan or a defined benefit plan (such as measurement
periods that include future periods, non-standard interest rates, the option to disregard
compensation adjustments described in §1.401(a)(4)—13(d), or the option to disregard
Plan provisions providing for actuarial increases after normal retirement age under
Regulation §1.401(a)(4)—3(f)(3)) may not be used in testing a combination of defined
benefit and defined contribution plan(s) on either a benefits or contributions basis,
because their use would inevitably result in inconsistent determinations under the
defined contribution and defined benefit plan(s).

	1.19	 	Allocation Period. The term Allocation Period means a period of 12 consecutive
months or less for which (a) an Employer contribution is made and allocated under the terms of
the Plan; (b) Forfeitures are allocated under the terms of the Plan; and/or (c) earnings and
losses are allocated under the terms of the Plan.
	 
	1.20	 	Allocation Rate. The term Allocation Rate means, for a Participant for a Plan
Year, the sum of the allocations to the Participant’s Account for the Plan Year, expressed as
a percentage of Code §414(s) Compensation, subject to the following: (a) the allocations used
to determine an Allocation Rate for a Plan Year include all Employer contributions and
forfeitures that are allocated or treated as allocated to the Participant’s Account for the
Plan Year, other than amounts described in clause (b) below. For this purpose, Employer
contributions include Annual Additions described in Regulation §1.415-6(b)(2)(i) (regarding
amounts arising from certain transactions between the Plan and the Employer); and (b)
allocations of income, expenses, gains, and losses attributable to the balance in a
Participant’s Account are not used to determine an Allocation Rate.
	 
	1.21	 	Anniversary Date. The term Anniversary Date means December 31st.
	 
	1.22	 	Annuity Starting Date. The term Annuity Starting Date means the first day of the
first period for which a benefit is paid as an annuity, in the case of a benefit not payable
as an annuity, the first day all events have occurred which entitle the Participant to the
benefit. The first day of the first period for which a benefit is to be paid by reason of
Disability will be treated as the Annuity Starting Date only if it is not an auxiliary
benefit.
	 
	1.23	 	Annual Additions. The term Annual Additions means the sum of the following
amounts credited to a Participant’s Account for any Limitation Year: (a) Employer
contributions; (b) Employee contributions; (c) Forfeitures; (d) amounts allocated to an
individual medical account, as defined in Code §415(l)(2), which is part

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	 	 	of a pension or annuity plan maintained by the Employer; and (e) amounts derived from
contributions paid or accrued that are attributable to post-retirement medical benefits,
allocated to the separate account of a Key Employee, as defined in Code §419A(d)(3), under a
welfare fund, as defined in Code §419(e), maintained by the Employer. Notwithstanding the
foregoing, a Participant’s Annual Additions do not include a Participant’s rollovers, loan
repayments, Catch-up Contributions, repayments of either prior Plan distributions or prior
distributions of Mandatory Employee Contributions, direct transfers of contributions from
another plan to this Plan, deductible contributions to a simplified employee pension plan, or
voluntary deductible contributions.
	 
	1.24	 	Applicable Contribution Rate. The term Applicable Contribution Rate, for a
Participant who is a Non-Highly Compensated Employee, means (a) for purposes of the ADP Test,
the sum of the Qualified Matching Contributions used in the ADP Test for the Participant who
is a Non-Highly Compensated Employee for the Plan Year and the Qualified Non-Elective
Contributions made for the Participant who is a Non-Highly Compensated Employee for the Plan
Year, divided by the Participant’s Code §414(s) Compensation for the Plan Year; and (b) for
purposes of the ACP Test, the sum of the Matching Contributions used under the Contribution
Percentage Amounts for the Participant who is a Non-Highly Compensated Employee for the Plan
Year and the Qualified Non-Elective Contributions made for the Participant who is a Non-Highly
Compensated Employee for the Plan Year, divided by the Participant’s Code §414(s) Compensation
for the Plan Year.

	1.25	 	Applicable Plan Year. The term Applicable Plan Year means (a) for any Plan Year
in which the Prior Year Testing Method is being used, the Plan Year prior to the Plan Year
that is being tested; and (b) for any Plan Year in which the Current Year Testing Method is
being used, the Plan Year that is being tested.
	 
	1.26	 	Beneficiary. The term Beneficiary means the recipient designated by a
Participant to receive the benefit payable upon the Participant’s death, or the recipient
designated by a Beneficiary to receive any benefit which may be payable in the event of the
Beneficiary’s death prior to receiving the entire death benefit to which the Beneficiary is
entitled. All such Beneficiary designations will be made in accordance with the following
provisions:

	 	(a)	 	Beneficiary Designations by a Participant. Subject to the provisions of Section
5.8 regarding the rights of a Participant’s Spouse, each Participant may designate a
Beneficiary in writing with the Administrator. If a Participant designates his or her
Spouse and the Participant and his or her Spouse are legally divorced subsequent to the
date of the designation, then the designation of such Spouse as a Beneficiary hereunder
will be deemed null and void unless the Participant, subsequent to the legal divorce,
reaffirms the designation in writing. In the absence of any other designation, the
Participant will be deemed to have designated the following Beneficiaries in the
following order, provided however, that with respect to clauses (1) and (2) following,
such Beneficiaries are then living: (1) the Participant’s Spouse, (2) the Participant’s
estate; and (3) any of the Participant’s or former Participant’s heirs at law, if there
is no administration of the Participant’s or former Participant’s estate known to, or
reasonably expected by, the Committee.
	 
	 	(b)	 	Beneficiary Designations by a Beneficiary. In the absence of a Beneficiary
designation or other directive from a Participant to the contrary, any Beneficiary may
name his or her own Beneficiary under Section 5.2(d) of the Plan to receive any benefits
payable in the event of the Beneficiary’s death prior to the receipt of all the
Participant’s death benefits to which the Beneficiary was entitled.
	 
	 	(c)	 	Beneficiaries Considered Contingent Until the Death of the Participant.
Notwithstanding any provision in this Section to the contrary, any Beneficiary named
hereunder will be considered a contingent Beneficiary until the death of the Participant
(or Beneficiary, as the case may be), and until such time will have no rights granted to
Beneficiaries under the Plan.

	1.27	 	Benefiting Participant. The term Benefiting Participant means a Participant who
is eligible to receive an allocation of any type of Employer contributions or related
Forfeitures as of the last day of an Allocation Period in accordance with the allocation
conditions set forth in Article 3 of the Plan. Whether a Participant is a Benefiting
Participant for any Allocation Period is determined separately for each type of contribution.
	 
	1.28	 	Break in Service. The term Break in Service means (a) in determining eligibility
under Section 2.1, a 1-Year Period of Severance; and (b) in determining Vesting under Section
4.6, a Vesting Computation Period during which an Employee is not credited with more than 500
Hours of Service. If any computation period is less than 12 months, then the Hours of Service
threshold set forth in the preceding sentence will be proportionately reduced if the Hours of
Service threshold is greater than one. With respect to the Elective Deferral component of a
401(k) Plan, a Participant who incurs a Break in Service but who does not Terminate Employment
may

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	 	 	continue to have Elective Deferrals made on his or her behalf to the Plan. However, such
Participant will not be eligible to receive an allocation of any Non-Safe Harbor Matching
Contributions and/or Non-Safe Harbor Non-Elective Contributions (if any) unless such
Participant is also a Benefiting Participant.

	1.29	 	Broadly Available Allocation Rates. The term Broadly Available Allocation Rates
means, for Plan Years beginning on or after January 1, 2002, that each Allocation Rate is
currently available during the Plan Year (within the meaning of Regulation
§1.401(a)(4)-4(b)(2)) to a group of Employees that satisfies the requirements of Code §410(b)
without regard to the average benefit percentage test of Regulation §1.410(b)-5. If two
Allocation Rates could be permissively aggregated under Regulation §1.401(a)(4)-4(d)(4),
assuming that the Allocation Rates were treated as benefits, rights, or features, then the
Allocation Rates may be aggregated and treated as a single Allocation Rate. However, the
disregarding of the age and service conditions as set forth in Regulation
§1.401(a)(4)-4(b)(2)(ii)(A) does not apply for purposes of this definition. Furthermore, in
determining whether the Plan has Broadly Available Allocation Rates, differences in Allocation
Rates attributable solely to the use of permitted disparity as described in Regulation
§1.401(1)-2 are disregarded.
	 
	1.30	 	Broadly Available Separate Plans. The term Broadly Available Separate Plans
means, for Plan Years beginning on or after January 1, 2002, a combination of defined benefit
and defined contribution plans that satisfy the requirements of Code §410(b) and the
nondiscrimination in amount requirement of Regulation §1.401(a)(4)—1(b)(2) if each plan were
tested separately and assuming that the average benefit percentage test of Regulation
§1.410(b)—5 were satisfied. For this purpose, all defined contribution plans that are part of
the combination of defined benefit and defined contribution plans are treated as a single
defined contribution plan, and all defined benefit plans that are part of the combination of
defined benefit and defined contribution plans are treated as a single defined benefit plan.
If permitted disparity under Regulation §1.401(a)(4)—7 is used for a Participant for purposes
of satisfying the separate testing requirement for plans of one type, permitted disparity may
not be used in satisfying the separate testing requirement for plans of the other type for the
Participant.
	 
	1.31	 	Cash or Deferred Contribution. The term Cash or Deferred Contribution means an
Employer amount that the Participant can elect, subject to the provisions of Section 3.2(b),
to have the Employer either (a) provide to the Participant as cash; or (b) contribute to the
Plan as an Elective Deferral on behalf of the Participant, which contribution defers the
receipt of Compensation by the Participant.
	 
	1.32	 	Catch-Up Contribution. The term Catch-Up Contribution means Elective Deferrals
made to the Plan that are in excess of an otherwise applicable Plan limit and that are made by
Participants who are age 50 or over by the end of their taxable year. An otherwise applicable
Plan limit is a limit in the Plan that applies to Elective Deferrals without regard to
Catch-Up Contributions, such as (a) the limit on Annual Additions; (b) the dollar limit on
Elective Deferrals under Code §402(g) (not counting Catch-Up Contributions); (c) the limit
imposed by the ADP Test under § 401(k)(3); or (d) a Plan imposed limit set forth in a
resolution properly executed by the Employer which is considered to be an amendment to the
Plan. Catch-Up Contributions are not subject to the limit on Annual Additions, are not counted
in the ADP Test, and are not counted in determining the Top Heavy Minimum Allocations under
Code §416. However, Catch-Up Contributions made in prior years are counted in determining
whether the Plan is Top-Heavy. Provisions in the Plan relating to Catch-Up Contributions apply
to Elective Deferrals made to the Plan after 2001. The total amount of Catch-Up Contributions
for any taxable year will not exceed the Catch-Up Contribution Limit.
	 
	1.33	 	Catch-Up Contribution Limit. The term Catch-Up Contribution Limit means the
statutory limit on Catch-Up Contributions for a Participant for any taxable year. A
Participant’s Catch-Up Contributions for a taxable year may not exceed (a) the dollar limit on
Catch-Up Contributions under Code §414(v)(2)(B)(i) for the taxable year, or (b) when added to
other Elective Deferrals, 100% of the Participant’s Compensation for the taxable year. The
dollar limit on Catch-Up Contributions under Code §414(v)(2)(B)(i) is $1,000 for taxable years
beginning in 2002, increasing by $1,000 for each year thereafter up to $5,000 for taxable
years beginning in 2006 and later years. After 2006, the $5,000 limit will be adjusted by the
Secretary of the Treasury for cost-of-living increases under Code §414(v)(2)(C). Any such
adjustments will be in multiples of $500. Different limits apply to Catch-Up Contributions
under SIMPLE 401(k) plans.
	 
	1.34	 	Code. The term Code means the Internal Revenue Code of 1986, as amended, the
Regulations, and rulings promulgated thereunder by the Internal Revenue Service. All citations
to sections of the Code and Regulations are to such sections as they may from time to time be
amended or renumbered.

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	1.35	 	Code §3401 Compensation. The term Code §3401 Compensation means wages within the
meaning of Code §3401(a) (for purposes of income tax withholding at the source), but
determined without regard to any rules that limit the remuneration included in wages based on
the nature or location of the employment or the services performed (such as the exception for
agricultural labor in Code §3401(a)(2)).
	 
	1.36	 	Code §401(a)(17) Compensation Limit. The term Code §401(a)(17) Compensation
Limit means, for any Plan Year and/or Limitation Year which begins on or after January 1,
2002, the statutory limit that applies to each Participant’s annual Compensation for a
specific Compensation Determination Period; such annual Compensation will not exceed $200,000.
However, the $200,000 statutory limit on annual Compensation will be adjusted for
cost-of-living increases in accordance with Code §401(a)(17)(B). The cost-of-living adjustment
in effect for a calendar year applies to annual Compensation for the Compensation
Determination Period that begins with or within such calendar year. If a Compensation
Determination Period is less than 12 consecutive months, then the Code §401(a)(17)
Compensation Limit will be multiplied by a fraction, the numerator of which is the number of
months in the Compensation Determination Period, and the denominator of which is 12. If
Compensation for any prior Compensation Determination Period is used in determining a
Participant’s Plan benefits for the current Plan Year, then the annual Compensation for such
prior Compensation Determination Period is subject to the applicable Code §401(a)(17)
Compensation Limit as in effect for that prior Compensation Determination Period.
	 
	1.37	 	Code §414(s) Compensation. The term Code §414(s) Compensation means, for testing
purposes (including, but not limited to, the ADP Test and the ACP Test), any compensation that
qualifies as a nondiscriminatory definition of compensation under Code §414(s) and the
Regulations thereunder. The Administrator is not bound by any other definition of compensation
in the Plan in determining Code §414(s) Compensation. The Administrator may determine on an
annual basis (and within its discretion) Code §414(s) Compensation, which will be applied
consistently to all Participants for a Plan Year; to all applicable tests that are
administered for such Plan Year; and to all plans (including this Plan) of the Sponsoring
Employer and Adopting Employers for such Plan Year. Code §414(s) Compensation may be
determined over the Plan Year for which the applicable test is being performed or the calendar
year ending within such Plan Year. In determining Code §414(s) Compensation, the Administrator
within its discretion may take into consideration only the Compensation received while the
Employee is a Participant under the component of the Plan being tested, and/or only the
Compensation for the portion of the Plan Year during which the Plan was a 401(k) Plan.
	 
	1.38	 	Code §415(c)(3) Compensation. The term Code §415(c)(3) Compensation means the
following:

	 	(a)	 	Top Heavy Allocations and Key Employee Determinations. In determining any Top
Heavy Minimum Allocation and whether an Employee is a Key Employee, the term Code
§415(c)(3) Compensation means Code §3401 Compensation during the entire Compensation
Determination Period that statutorily applies.
	 
	 	(b)	 	Code §415 Limitations. In determining a Participant’s Code §415 limitation for
any Limitation Year, the term Code §415(c)(3) Compensation means Code §3401 Compensation
during the entire Compensation Determination Period that statutorily applies.
	 
	 	(c)	 	Highly Compensated Employee Determination. In determining whether a Participant
is a Highly Compensated Employee (or for any other statutory determination not described
in paragraphs (a) and (b) above), the term Code §415(c)(3) Compensation means Code §3401
Compensation during the entire Compensation Determination Period that statutorily
applies.
	 
	 	(d)	 	Exclusions to Compensation Do Not Apply. Code §415(c)(3) Compensation includes
any amounts that are excluded from Compensation under Section 1.40 of the Plan.
	 
	 	(e)	 	Inclusion of Certain Amounts. Code §415(c)(3) Compensation includes any elective
deferral as defined in Code §402(g)(3) and any amount contributed or deferred by the
Employer at the election of the Employee which is not includible in gross income by
reason of Code §125, Code §132(f)(4), or Code §457.
	 
	 	(f)	 	Self-Employed Individuals. Code §415(c)(3) Compensation of a Self-Employed
Individual will be equal to his or her Earned Income, plus amounts deferred at the
election of the Self-Employed Individual that would be includible in gross income but for
the rules of Code §402(e)(3), §402(h)(1)(B), §402(k), or §457(b).
	 
	 	(g)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005, Code
§415(c)(3) Compensation includes Post-Severance Compensation.

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	1.39	 	Committee. The term Committee means the administrative/advisory group that the
Sponsoring Employer may establish, to which the Sponsoring Employer may delegate certain of
the Sponsoring Employer’s responsibilities as Administrator. The Sponsoring Employer is
permitted to select another name for such administrative/advisory group. The Sponsoring
Employer may appoint one or more members to the Committee. Members of the Committee need not
be Participants or Beneficiaries, and officers and directors of the Sponsoring Employer are
not precluded from serving as members of the Committee.
	 
	1.40	 	Compensation. The term Compensation means the following with respect to
determining the amount of, and the allocation of, the various Employer contributions permitted
under the terms of the Plan:

	 	(a)	 	Compensation for Elective Deferral Purposes. In determining the amount of a
Participant’s Elective Deferrals, the term Compensation means a Participant’s Code §3401
Compensation received during a Compensation Determination Period. For purposes of this
paragraph, (1) a Compensation Determination Period is the Plan Year; and (2) any elective
deferrals as defined under Code §402(g) and any amount contributed or deferred by the
Employer at the election of the Employee which is not includible in gross income by
reason of Code §125, Code §132(f)(4) or Code §457, will be included in Compensation. In
addition, any amount received under the following circumstances will not be considered
Compensation for purposes of this paragraph: (1) amounts set forth in Regulation
§1.414(s)-1(c)(3) (i.e., reimbursements or other expense allowances, including fringe
benefits (cash and non-cash), moving expenses, deferred compensation and welfare
benefits, even if includible in gross income); (2) amounts received as bonuses; and (3)
any amount received as awards and tax gross-up payments; and (4) Post Severance
Compensation.
	 
	 	(b)	 	Compensation for Non-Safe Harbor Matching Contribution Purposes. In determining
Non-Safe Harbor Matching Contributions, the term Compensation means a Participant’s Code
§3401 Compensation received during a Compensation Determination Period. For purposes of
this paragraph, (1) a Compensation Determination Period is the Plan Year; and (2) any
elective deferrals as defined under Code §402(g) and any amount contributed or deferred
by the Employer at the election of the Employee which is not includible in gross income
by reason of Code §125, Code §132(f)(4) or Code §457, will be included in Compensation.
In addition, any amount received under the following circumstances will not be considered
Compensation for purposes of this paragraph: (1) amounts set forth in Regulation
§1.414(s)-1(c)(3) (i.e., reimbursements or other expense allowances, including fringe
benefits (cash and non-cash), moving expenses, deferred compensation and welfare
benefits, even if includible in gross income); (2) amounts received as bonuses; and (3)
any amount received as awards and tax gross-up payments; and (4) Post Severance
Compensation.
	 
	 	(c)	 	Compensation Used to Determine Safe Harbor 401(k) Contributions. For any year in
which this is a Safe Harbor 401(k) Plan or a Safe Harbor 401(m) Plan, the Compensation
used in determining the Safe Harbor 401(k) Contribution will be set forth in a Safe
Harbor 401(k) Addendum executed by the Sponsoring Employer, except that no dollar limit,
other than the Code §401(a)(17) Limit, applies to the Compensation of a NHCE.
Compensation for a Safe Harbor 401(k) Plan or Safe Harbor 401(m) Plan must qualify as a
nondiscriminatory definition of compensation under Code §414(s) and the Regulations
thereunder.
	 
	 	(d)	 	Compensation of Self-Employed Individuals. For purposes of this Plan, the
Compensation of a Self-Employed Individual will be equal to his or her Earned Income;
however, such Compensation will not exceed the Code §401(a)(17) Compensation Limit.
	 
	 	(e)	 	Code §401(a)(17) Compensation Limit. In determining Compensation for all purposes
other than for Elective Deferral purposes under Code §402(g), a Participant’s
Compensation for any Compensation Determination Period will not exceed the Code
§401(a)(17) Compensation Limit.
	 
	 	(f)	 	Compensation for Permitted Disparity Purposes. If a Non-Safe Harbor Non-Elective
Contribution is determined and/or allocated according to the rules of permitted disparity
under Code §401(l) and the Regulations thereunder, then Compensation for such purposes
must qualify as a nondiscriminatory definition of compensation under Code §414(s) and the
Regulations thereunder.

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	1.41	 	Compensation Determination Period. The term Compensation Determination Period
means, for each definition of Compensation as it relates to a particular component or type of
contribution under the Plan, either the Plan Year, the Fiscal Year ending with or within the
Plan Year, or the calendar year ending with or within the Plan Year, as specifically set forth
in the Plan with respect to the particular component or type of contribution. However, for
purposes of a specific statutory determination (e.g. whether an Employee is a Highly
Compensated Employee), the term “Compensation Determination Period” means the period that is
stated in this Plan.
	 
	1.42	 	Contribution Percentage. The term Contribution Percentage means the ratio
(expressed as a percentage and calculated to the nearest hundredth of a percentage point) of
the Participant’s Contribution Percentage Amounts to the Participant’s Code §414(s)
Compensation for the Plan Year, subject to the following rules:

	 	(a)	 	Highly Compensated Employees in Multiple 401(m) Plans of the Sponsoring Employer.
The Contribution Percentage for any Participant who is a Highly Compensated Employee for
the Plan Year and who is eligible to have Contribution Percentage Amounts allocated to
such Participant’s accounts under two or more Code §401(m) plans that are maintained by
the Sponsoring Employer, will be determined as if the total of such Contribution
Percentage Amounts was made under each 401(m) plan. If a Highly Compensated Employee
participates in two or more Code §401(m) plans of the Sponsoring Employer that have
different plan years, all Contribution Percentage Amounts made during the Plan Year under
all such Code §401(m) plans will be aggregated. For Plan Years beginning prior to 2006
(or the year of such earlier effective date as may be provided in a separate amendment
for implementing the final §401(m) Regulations and as permitted by such Regulations), all
such Code §401(m) plans ending with or within the same calendar year will be treated as a
single Code §401(m) plan. Notwithstanding the foregoing, certain plans will be treated as
separate if mandatorily disaggregated under the Code §401(m) Regulations.
	 
	 	(b)	 	Participants Without Contributions. If no Employee Contributions, Matching
Contributions, Elective Contributions, or Qualified Non-Elective Contributions are taken
into account in the ACP Test with respect to a Participant for the Plan Year, then the
Contribution Percentage of the Participant is zero (0).

	1.43	 	Contribution Percentage Amounts. The term Contribution Percentage Amounts means
the sum of the Employee Contributions, Non-Safe Harbor Matching Contributions, Qualified
Matching Contributions, Elective Deferrals, and Qualified Non-Elective Contributions made
under the Plan on behalf of the Participant for the Plan Year. The calculation of a
Participant’s Contribution Percentage Amounts is subject to the following rules:

	 	(a)	 	Timing of Employee Contributions. An amount withheld from an Employee’s pay (or a
payment by the Employee to a Plan agent) is treated as an Employee Contribution at the
time of withholding (or payment) if the paid funds are transmitted to the Trust within a
reasonable period after withholding (or payment).
	 
	 	(b)	 	Recharacterized Elective Contributions Are Included. Excess Contributions which
are recharacterized in accordance with Regulation §1.401(k)—2(b)(3) are taken into
account as Employee Contributions for the Plan Year that includes the time at which the
Excess Contribution is includible in the gross income of the Employee under Regulation
§1.401(k)—2(b)(3)(ii).
	 
	 	(c)	 	Matching Contributions That Are Included. A Matching Contribution is used in
determining a Participant’s Contribution Percentage Amount for a Plan Year only if each
of the following requirements is satisfied: (1) the contribution is allocated to the
Employee’s Matching Contribution Account under the terms of the Plan as of an allocation
date within that Plan Year; (2) the contribution is made on account of (or the Matching
Contribution is allocated on the basis of) the Participant’s Elective Deferrals or
Employee Contributions for that Plan Year; and (3) the contribution is actually paid to
the Trust no later than the end of the 12-month period immediately following the Plan
Year that contains the allocation date for the Matching Contribution.
	 
	 	(d)	 	Elective Deferrals May Be Included in the Contribution Percentage Amounts. The
Sponsoring Employer also may elect to use Elective Deferrals in the Contribution
Percentage Amounts so long as (a) the ADP Test is met before the Elective Deferrals are
used in the ACP Test, and (b) the ADP Test continues to be met following the exclusion of
the Elective Deferrals used to meet the ACP Test, subject to the following rules: (1)
Elective Deferrals in a Safe Harbor 401(k) Plan described in Regulation §1.401(k)—3
cannot be used as Contribution Percentage Amounts; (2) the plan that provides for
Employee Contributions and/or Matching Contributions and the plan to which the Elective
Deferrals are made are plans that would be permitted to be aggregated under Regulation
§1.401(m)—1(b)(4); and (3) if the Plan Year of the plan that provides for Employee
Contributions and/or Matching Contributions is changed to satisfy the requirement under

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	 	 	 	Regulation §1.410(b)—7(d)(5) that aggregated plans have the same Plan Year, then Elective
Deferrals may be taken into account in the resulting short Plan Year, but only if such
Elective Deferrals could have been taken into account under an ADP Test for a plan with
that same short Plan Year.

	 	(e)	 	Qualified Non-Elective Contributions That May be Used. Qualified Non-Elective
Contributions may be taken into account in determining a Participant’s Contribution
Percentage Amounts for a Plan Year, but only to the extent that the Qualified
Non-Elective Contributions satisfy the following requirements:

	 	(1)	 	Timing of Allocation. The Qualified Non-Elective Contribution is
allocated to the Participant’s Account as of a date within that Plan Year (within the
meaning of Regulation §1.401(k)—2(a)(4)(i)(A)). In order to be used in calculating
the Contribution Percentage Amounts for a Participant who is a Non-Highly Compensated
Employees for an Applicable Plan Year, the Qualified Non-Elective Contribution must
be contributed no later than the end of the 12-month period following the Applicable
Plan Year.
	 
	 	(2)	 	QNECs Must Satisfy Code §401(a)(4). The amount of Qualified
Non-Elective Contributions satisfies the requirements of Code §401(a)(4) and
Regulation §1.401(a)(4)—1(b)(2). If the Sponsoring Employer is applying the special
rule for Employer-wide plans in Regulation §1.414(r)—1(c)(2)(ii) with respect to the
Plan, then the determination of whether the Qualified Non-Elective Contributions
satisfy the requirements of Code §401(a)(4) must be made on an Employer-wide basis,
regardless of whether the plans to which the Qualified Non-Elective Contributions are
made are satisfying the requirements of Code §410(b) on an Employer-wide basis. If
the Sponsoring Employer is treated as operating qualified separate lines of business
and does not apply the special rule for Employer-wide plans in Regulation
§1.414(r)—1(c)(2)(ii) with respect to the Plan, then the determination of whether
the Qualified Non-Elective Contributions satisfy the requirements of Code §401(a)(4)
is not permitted to be made on an Employer-wide basis regardless of whether the plans
to which the Qualified Non-Elective Contributions are made are satisfying the
requirements of Code §410(b) on an Employer-wide basis.
	 
	 	(3)	 	Aggregation Must Be Permitted. The plan that provides for Employee
Contributions and/or Matching Contributions and the plan to which the Qualified
Non-Elective Contributions are made, are plans that would be permitted to be
aggregated under Regulation §1.401(m)—1(b)(4). If the Plan Year of the plan that
provides for Employee Contributions and/or Matching Contributions is changed to
satisfy the requirement under Regulation §1.410(b)—7(d)(5) that aggregated plans
have the same Plan Year, then Qualified Non-Elective Contributions may be taken into
account in the resulting short Plan Year, but only if such Qualified Non-Elective
Contributions could have been taken into account under an ADP Test for a plan with
that same short Plan Year.
	 
	 	(4)	 	Limitation on Disproportionate QNECs. Qualified Non-Elective
Contributions cannot be taken into account as Contribution Percentage Amounts of a
Plan Year for a Non-Highly Compensated Employee to the extent the QNECs exceed the
product of (i) that Non-Highly Compensated Employee’s Code §414(s) Compensation,
multiplied by (i) the greater of (A) 5% (or 10% of a Non-Highly Compensated
Employee’s Code §414(s) Compensation with respect to an Employer’s obligation to make
Prevailing Wage Contributions to the Plan), or (B) two times the Plan’s
Representative Contribution Rate. Any Qualified Non-Elective Contribution used under
an ADP Test under Regulation §1.401(k)—2(a)(6) (including the determination of the
Representative Contribution Rate for purposes of Regulation
§1.401(k)—2(a)(6)(iv)(B)), is not permitted to be taken into account for purposes of
the ACP Test (including the determination of the Representative Contribution Rate for
purposes of the ACP Test).
	 
	 	(5)	 	Prohibition Against Double-Counting. Qualified Non-Elective
Contributions cannot be taken into account for purposes of the Contribution
Percentage Amounts to the extent such contributions are taken into account for
purposes of satisfying any other ACP Test, any ADP Test, or the requirements of
Regulation §1.401(k)—3, §1.401(m)—3 or §1.401(k)—4. Qualified Non-Elective
Contributions that are made pursuant to Regulation §1.401(k)—3(b) cannot be taken
into account under the ACP Test.
	 
	 	(6)	 	Switching the Testing Method. If this Plan switches from the
Current Year Testing Method to the Prior Year Testing Method pursuant to Regulation
§1.401(m)—2(c)(1), Qualified Non-Elective Contributions that are taken into account
under the Current Year Testing Method for a Plan Year may not be taken into account
under the Prior Year Testing Method for the next Plan Year.

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	 	(f)	 	Qualified Matching Contributions Used to Satisfy ADP Test Are Excluded. Qualified
Matching Contributions that are taken into account for the ADP Test of Code §401(k)(3)
under Regulation §1.401(k)—2(a)(6) are not taken into account in determining a
Participant’s Contribution Percentage Amounts.
	 
	 	(g)	 	Forfeited Matching Contributions Are Excluded. Contribution Percentage Amounts
will not include either the non-Vested portion of Matching Contributions that are
forfeited to correct Excess Aggregate Contributions, or Matching Contributions (both the
Vested and non-Vested portions) that are forfeited because they relate to Excess
Deferrals, Excess Contributions, or Excess Aggregate Contributions.
	 
	 	(h)	 	Additional Employee Contributions or Matching Contributions of Code §414(u) Are
Excluded. Contribution Percentage Amounts will not include additional Employee
Contributions and Matching Contributions that are made by reason of a Participant’s
qualified military service under Code §414(u) for the Plan Year for which the
contributions are made, or for any other Plan Year.

	1.44	 	Counting of Hours Method. The term Counting of Hours Method means a method for
crediting service for eligibility, for Vesting, for determining a Participant’s allocation,
and/or for applying the allocation conditions for an Employer contribution or Forfeiture.
Under the Counting of Hours Method, an Employee is credited with the number of Hours of
Service for which the Employee is paid or entitled to payment (or such other circumstances for
which Hours of Service are credited), pursuant to the definition of Hour of Service.
	 
	1.45	 	Current Year Testing Method. The term Current Year Testing Method means the
nondiscrimination testing method in which (a) for purposes of the ADP Test, the ADP for
Participants who are Highly Compensated Employees for the Plan Year that is being tested is
compared to the ADP for Participants who are Non-Highly Compensated Employees for the Plan
Year that is being tested; and (b) for purposes of the ACP Test, the ACP for Participants who
are Highly Compensated Employees for the Plan Year that is being tested is compared to the ACP
for Participants who are Non-Highly Compensated Employees for the Plan Year that is being
tested.
	 
	1.46	 	Deemed Code §125 Compensation. The term Deemed Code §125 Compensation means an
amount that is excludable from the gross income of the Employee under Code §106 and that is
not available to the Employee in cash in lieu of group health coverage under a Code §125
arrangement solely because that Employee is not able to certify that he or she has other
health coverage. Amounts are Deemed Code §125 Compensation only if the Employer does not
otherwise request or collect information regarding the Employee’s other health coverage as
part of the enrollment process for the health plan.
	 
	1.47	 	Deemed IRA Contribution. The term Deemed IRA Contribution means an Individual
Retirement Account contribution made to this Plan.
	 
	1.48	 	Deemed IRA Account. The term Deemed IRA Contribution Account means the account
to which a Participant’s Deemed IRA Contributions are allocated.
	 
	1.49	 	Designated Beneficiary. The term Designated Beneficiary means, for purposes of
required minimum distributions under Section 5.9 of the Plan, the individual who is designated
as the Beneficiary pursuant to the provisions of the Plan and is the Designated Beneficiary
under Code §401(a)(9), the previously final Regulation §1.401(a)(9)-1, Q&A-4, and the final
Regulation §1.401(a)(9)-4.
	 
	1.50	 	Determination Date. The term Determination Date means, for any Plan Year
subsequent to the first Plan Year of the Plan, the last day of the preceding Plan Year. For
the first Plan Year of the Plan, the term “Determination Date” means the last day of that
first Plan Year.
	 
	1.51	 	Disability. The term Disability means a physical or mental impairment arising
after an Employee has become a Participant which, in the opinion of the Social Security
Administration qualifies the participant for disability benefits under the Social Security Act
in effect on the date the Participant suffers the mental or physical impairment.
	 
	1.52	 	Distribution Calendar Year. The term Distribution Calendar Year means, for
purposes of required minimum distributions under Section 5.9, a calendar year for which a
minimum distribution is required. For distributions beginning before the Participant’s death,
the first Distribution Calendar Year is the calendar year immediately preceding the calendar
year that contains the Participant’s Required Beginning Date.

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	1.53	 	Early Retirement Age. There is no Early Retirement Age under the Plan.
	 
	1.54	 	Earned Income. The term Earned Income means the net earnings from
self-employment in the trade or business with respect to which the Plan is established, for
which personal services of the individual are a material income-producing factor. Net earnings
will be determined without regard to items not included in gross income and the deductions
allocable thereto. Net earnings will be reduced by deductible contributions by the Employer to
a qualified retirement plan. Net earnings will be determined with regard to the deduction
allowed to the Employer by Code §164(f) for taxable years beginning after December 31, 1989.
	 
	1.55	 	Elapsed Time Method. The term Elapsed Time Method means a method for crediting
service for eligibility, for Vesting, for determining a Participant’s allocation, and/or for
applying the allocation conditions for an Employer contribution or Forfeiture, pursuant to the
definition of Period of Service.
	 
	1.56	 	Elective Deferral. The term Elective Deferral means Employer contributions made
to the Plan at the election of the Participant in lieu of cash Compensation, and will include
contributions made pursuant to a salary deferral agreement or other deferral mechanism. In any
taxable year, a Participant’s Elective Deferral is the sum of all Employer contributions made
on behalf of such Participant pursuant to an election to defer under (a) any qualified cash or
deferred arrangement under Code §401(k); (b) any salary reduction simplified employee pension
described in Code §408(k)(6); (c) any SIMPLE IRA Plan described in Code §408(p); (d) any plan
under Code §501(c)(18); and (e) any Employer contributions made on the behalf of a Participant
for the purchase of an annuity contract under Code §403(b) pursuant to a Salary Deferral
Agreement. For years beginning after 2005, the term “Elective Deferral” includes Pre-Tax
Elective Deferrals and Roth Elective Deferrals. An Elective Deferral must relate to
Compensation that either (a) would have been received by the Employee in the Plan Year but for
the Employee’s election to defer; or (b) if elected by the Sponsoring Employer for purposes of
the ADP Test, is attributable to services performed by the Employee in the Plan Year and, but
for the Employee’s election to defer, would have been received by the Employee within 21/2
months after the close of the Plan Year. If elected by the Sponsoring Employer for purposes of
the ADP Test, then this Plan will provide for Elective Deferrals that relate to Compensation
that would have been received after the close of a Plan Year to be considered for such prior
Plan Year rather than the Plan Year in which the Compensation would have been received.
	 
	1.57	 	Eligibility Computation Period. The term Eligibility Computation Period means a
period of 12 consecutive months which is used for purposes of eligibility to participate in
the Plan (or a component of the Plan). An Employee’s initial Eligibility Computation Period
will begin on his or her Employment Commencement Date. Each subsequent Eligibility Computation
Period will begin on each anniversary of the Employee’s Employment Commencement Date.
	 
	1.58	 	Eligible Employee. The term Eligible Employee means any Employee who is a member
of an eligible class of Employees and who is not excluded from participating in the Plan (or a
component of the Plan). Furthermore, the Sponsoring Employer may elect at any time to
reclassify any Employee who had been excluded from participating in the Plan (or a component
of the Plan) to be an Eligible Employee through a Plan amendment that is retroactively applied
for one or more prior Plan Years because the Plan (or a component of the Plan) failed to
satisfy for such Plan Year one of the tests set forth in Code §410(b)(1)(A), (B) or (C), or
for any other reason required to maintain the tax exempt status of the Plan.
	 
	1.59	 	Employee. The term Employee means (a) any person who is reported on the payroll
records of the Employer as an employee and who is deemed by the Employer to be a common law
employee; (b) any person who is reported on the payroll records of an Affiliated Employer as
an employee and who is deemed by the Affiliated Employer to be a common law employee (even if
the Affiliated Employer is not an Adopting Employer), except for purposes of determining
eligibility to participate in the Plan; (c) any Self-Employed Individual who derives Earned
Income from the Employer; and (d) any person who is considered a Leased Employee but who (1)
is not covered by a plan described in Code §414(n)(5), or (2) is covered by a plan described
in Code §414(n)(5) but Leased Employees constitute more than 20% of the Employer’s non-highly
compensated workforce. However, the term “Employee” will not include an Independent
Contractor. If an Independent Contractor is later determined by the Employer, a court, or
governmental agency to be an Employee or to have been an Employee of the Employer or an
Affiliated Employer, and so long as such individual is an Eligible Employee, then such
individual will only be eligible to participate in the Plan in accordance with the
requirements of the Employee Plans Compliance Resolution System (EPCRS) under Revenue
Procedure 2006-27 and subsequent guidance.

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	1.60	 	Employee Contribution. The term Employee Contribution means any contribution
made to the Plan by or on behalf of a Participant that is included in the Participant’s gross
income in the year in which the contribution is made (other than Roth Elective Deferrals) and
that is maintained under a separate account to which earnings and losses are allocated.
Employee Contributions include Voluntary Employee Contributions.
	 
	1.61	 	Employer. The term Employer means the Sponsoring Employer and any Adopting
Employer.
	 
	1.62	 	Employment Commencement Date. The term Employment Commencement Date means the
first day that an Employee is credited with an Hour of Service for an Employer or an
Affiliated Employer.
	 
	1.63	 	Equivalent Accrual Rate. The term Equivalent Accrual Rate means the annual
benefit that is the result of normalizing the increase in the Participant’s Account balance
during the measurement period, divided by the number of years in which the Participant
benefited under the Plan during the measurement period, and expressed either as a dollar
amount or as a percentage of the Participant’s average annual Code §414(s) Compensation. A
measurement period that includes future years may not be used. For purposes of determining an
Equivalent Accrual Rate, the following rules apply:

	 	(a)	 	Determination of Account Balance. The increase in the Participant’s Account
balance during the measurement period taken into account does not include income,
expenses, gains, or losses allocated during the measurement period that are attributable
to the Participant’s Account balance as of the beginning of the measurement period, but
does include any additional amounts that would have been included in the increase in the
Participant’s Account balance but for the fact that the additional amounts were
previously distributed (including a reasonable adjustment for interest). If the
measurement period is the current Plan Year, the Sponsoring Employer may also elect to
disregard the income, expenses, gains, and losses allocated during the current Plan Year
that are attributable to the increase in the Participant’s Account balance since the
beginning of the Plan Year, and thus determine the increase in Participant’s Account
balance during the Plan Year taking into account only allocations described in Regulation
§1.401(a)(4)-2(c)(2)(ii). In addition, the Sponsoring Employer may disregard
distributions to a Non-Highly Compensated Employee as well as distributions to any
Employee in Plan Years beginning before a selected date no later than January 1, 1986.
	 
	 	(b)	 	Normalization. The Participant’s Account balance determined under paragraph (a)
is normalized into a single-sum benefit that is immediately and unconditionally payable
to the Employee. A standard interest rate, and a straight life annuity factor that is
based on the same or a different standard interest rate and on a standard mortality
table, must be used in normalizing this benefit. In addition, no mortality may be assumed
prior to the Employee’s testing age.
	 
	 	(c)	 	Options. Any of the optional rules in Regulation §1.401(a)(4)-3(d)(3) (e.g.,
imputation of permitted disparity) may be applied in determining an Employee’s Equivalent
Accrual Rate by substituting the Employee’s Equivalent Accrual Rate (determined without
regard to this option) for the Employee’s Normal Accrual Rate where appropriate. For this
purpose, however, the last sentence of the fresh-start alternative in Regulation
§1.401(a)(4)-3(d)(3)(iii)(A) (dealing with Compensation adjustments to the frozen accrued
benefit) is not applicable. No other options are available in determining an Employee’s
Equivalent Accrual Rate except those (e.g., selection of alternative measurement periods)
specifically provided in this definition. None of the optional special rules in
Regulation §1.401(a)(4)-3(f) (e.g., determination of benefits on other than a Plan Year
basis under Regulation §1.401(a)(4)-3(f)(6)) is available.
	 
	 	(d)	 	Consistency Rule. Equivalent Accrual Rates must be determined in a consistent
manner for all Employees for the Plan Year. The same measurement periods and standard
interest rates must be used, and any available options must be applied consistently if at
all.

	1.64	 	ERISA. The term ERISA means the Employee Retirement Income Security Act of 1974,
as amended, the Department of Labor Regulations, and Advisory Opinions and other rulings
promulgated by the Department of Labor (or any agency thereunder). All citations to sections
of ERISA and the Department of Labor Regulations are to such sections as they may from time to
time be amended or renumbered.
	 
	1.65	 	Excess Annual Additions. The term Excess Annual Additions means an amount of
Annual Additions credited to a Participant’s Account that exceeds the maximum Annual Additions
limitation set forth in Section 6.1 for any Limitation Year. If Excess Annual Additions are
treated according to Section 6.4, then such Excess Annual Additions will not be deemed Annual
Additions.

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	1.66	 	Excess Aggregate Contributions. The term Excess Aggregate Contributions means,
with respect to any Plan Year, the excess of (a) the aggregate Contribution Percentage Amounts
used in computing the numerator of the Contribution Percentage actually made on behalf of
Participants who are HCEs for such Plan Year, over (b) the maximum Contribution Percentage
Amounts permitted by the ACP Test (determined by hypothetically reducing Contribution
Percentage Amounts made on behalf of Participants who are HCEs in order of their Contribution
Percentages beginning with the highest of such Contribution Percentages). Such determination
will be made after first determining Excess Elective Deferrals and then determining Excess
Contributions.
	 
	1.67	 	Excess Contributions. The term Excess Contributions means, with respect to any
Plan Year, the excess of (a) the aggregate amount of Employer contributions actually taken
into account in computing the Actual Deferral Percentage of HCEs for such Plan Year, over (b)
the maximum amount of such contributions permitted by the ADP Test (determined by
hypothetically reducing contributions made on behalf of HCEs in the order of their Actual
Deferral Percentages, beginning with the highest of such percentages).
	 
	1.68	 	Excess Elective Deferrals. The term Excess Elective Deferrals means those
Elective Deferrals of a Participant that either (a) are made during the Participant’s taxable
year and exceed the dollar limitation under Code §402(g) (including, if applicable, the
Catch-up Contribution Limit as defined in Code §414(v)) for such taxable year; or (b) are made
during a calendar year and exceed the dollar limitation under Code §402(g) (including, if
applicable, the Catch-Up Contribution Limit as defined in Code §414(v)) for the Participant’s
taxable year beginning in such calendar year, counting only Elective Deferrals made under this
Plan and any other plan, contract or arrangement maintained by the Sponsoring Employer.
	 
	1.69	 	401(k) Plan. The term 401(k) Plan means a plan which permits the plan’s
participants to have Elective Deferrals made on their behalf to the plan.
	 
	1.70	 	401(m) Plan. The term 401(m) Plan means a plan which permits or requires the
plan’s participants to make Employee Contributions to the plan, and/or which allocates
Matching Contributions to participants in the plan.
	 
	1.71	 	Fiscal Year. The term Fiscal Year means the Sponsoring Employer’s 12 consecutive
month accounting year beginning January 1st and ending the following December 31st. If the
Fiscal Year is changed, a short Fiscal Year is established beginning the day after the last
day of the Fiscal Year in effect before this change and ending on the last day of the new
Fiscal Year.
	 
	1.72	 	Forfeiture. The term Forfeiture means generally the amount by which a
Participant’s Account balance attributable to Employer contributions exceeds his or her Vested
Interest in the Participant’s Account balance attributable to Employer contributions as of the
date set forth in Section 3.11. Furthermore, the term “Forfeiture” means the non-Vested
portion of Matching Contributions that are removed from a Participant’s Account to correct
Excess Aggregate Contributions, and Matching Contributions (both the Vested and non-Vested
portions) removed from a Participant’s Account because such Matching Contributions relate to
Excess Deferrals, Excess Contributions, or Excess Aggregate Contributions. Lastly, the term
“Forfeiture” means any amount that is removed from a Participant’s Account pursuant to any
Employee Plans Compliance Resolution System (EPCRS) program or any other correction guidance
that is issued by the Internal Revenue Service. No Forfeitures will occur solely because (a) a
Participant withdraws Employee Contributions from the Plan; (b) a Participant withdraws
Elective Deferrals from the Plan; or (c) a Participant transfers employment from the
Sponsoring Employer to an Affiliated Employer or Adopting Employer (or vice versa).
	 
	1.73	 	Forfeiture Account. The term Forfeiture Account means the notational bookkeeping
account into which all Forfeitures are placed pending allocation (or other use) pursuant to
Section 3.11(c).
	 
	1.74	 	Form W-2 Compensation. The term Form W-2 Compensation means wages within the
meaning of Code §3401(a) and all other payments of compensation to an Employee by the Employer
(in the course of the Employer’s trade or business) which is actually paid or made available
and is included in the Employee’s gross income for which the Employer is required to furnish
the Employee a Form W-2 under Code §6041(d), §6051(a)(3) and §6052. Form W-2 Compensation must
be determined without regard to any rules under Code §3401(a) that limit remuneration included
in wages based on the nature or location of the employment or services performed (such as the
exception for agricultural labor in Code §3401(a)(2)).

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	1.75	 	Gradually Increasing Age or Service Schedule. The term Gradually Increasing Age
or Service Schedule means, for Plan Years beginning on or after January 1, 2002, that the
allocation formula for all Participants under the Plan provides for a single schedule of
Allocation Rates under which:

	 	(a)	 	Series of Bands. The schedule defines a series of bands based on Age, Years of
Service (or Periods of Service), or the number of points representing the sum of Age and
Years of Service (or Periods of Service) with respect to age and service points, under
which the same Allocation Rate applies to all employees whose Age, Years of Service (or
Periods of Service), or Age and service points are within each band; and
	 
	 	(b)	 	Smoothly Increasing at Regular Intervals. The Allocation Rates under the schedule
increase smoothly at regular intervals, within the following meanings:

	 	(1)	 	Smoothly Increasing Schedule of Allocation Rates. A schedule of
Allocation Rates increases smoothly if the Allocation Rate for each band within the
schedule is greater than the Allocation Rate for the immediately preceding band
(i.e., the band with the next lower number of years of Age, Years of Service (or
Periods of Service), or Age and service points) by no more than 5 percent (5%).
However, a schedule of Allocation Rates will not be treated as increasing smoothly if
the ratio of the allocation rate for any band to the rate for the immediately
preceding band is more than 2.0 or if it exceeds the ratio of Allocation Rates
between the two immediately preceding bands.
	 
	 	(2)	 	Regular Intervals. A schedule of Allocation Rates has regular
intervals of Age, Years of Service (or Periods of Service), or Age and service
points, if each band, other than the band associated with the highest Age, Years of
Service (or Periods of Service), or Age and service points, is the same length. For
this purpose, if the schedule is based on Age, the first band is deemed to be of the
same length as the other bands if it ends at or before age 25. If the first age band
ends after Age 25, then, in determining whether the length of the first band is the
same as the length of other bands, the starting age for the first age band is
permitted to be treated as Age 25 or any Age earlier than 25. For a schedule of
allocation rates based on Age and service points, the rules of the preceding two
sentences are applied by substituting 25 Age and service points for age 25. For a
schedule of allocation rates based on service, the starting service for the first
service band is permitted to be treated as one Year of Service (or Period of Service)
or any lesser amount of service.

	 	(c)	 	Minimum Allocation Rates Permitted. A schedule of Allocation Rates under the Plan
is considered to increase smoothly at regular intervals if a minimum uniform Allocation
Rate is provided for all Participants or the Top Heavy Minimum Allocation described in
Code §416(c)(2) is provided for all Non-Key Employees (either because the Plan is Top
Heavy or without regard to whether the Plan is Top Heavy) if the schedule satisfies one
of the following conditions:

	 	(1)	 	Hypothetical Schedule. The Allocation Rates under the Plan that
are greater than the minimum Allocation Rate can be included in a hypothetical
schedule of Allocation Rates that increases smoothly at regular intervals, where the
hypothetical schedule has a lowest allocation rate no lower than 1% of Code §414(s)
Compensation; or
	 
	 	(2)	 	Schedule of Allocation Rates Based on Age. If the Plan is using a
schedule of Allocation Rates based on Age, for each Age band in the schedule that
provides an Allocation Rate greater than the minimum Allocation Rate, then there
could be a Participant in that Age band with an Equivalent Accrual Rate that is less
than or equal to the Equivalent Accrual Rate that would apply to a Participant whose
Age is the highest Age for which the Allocation Rate equals the minimum Allocation
Rate.

	1.76	 	HCE. The term HCE means a Highly Compensated Employee.
	 
	1.77	 	Highly Compensated Employee. The term Highly Compensated Employee
means any Employee who (a) was a 5% owner as defined in Code §416(i)(1)(B)(i) at any time
during the Plan Year or during the look-back year. In determining whether an Employee is a
Highly Compensated Employee based on his or her status as a 5% owner, the look-back year will
be the 12-month period immediately preceding the Plan Year for which the determination is
being made; or (b) for the look-back year, had Code §415(c)(3) Compensation in excess of
$80,000 as adjusted under Code §415(d) (except that the base period will be the calendar
quarter ending September 30, 1996). In determining if an Employee is a Highly Compensated
Employee based on Code §415(c)(3) Compensation, the look-back year will be the 12-month period
immediately preceding the Plan Year for which the determination is

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	 	 	being made, and the top paid group election in Code §414(q)(3) will not be applied. In
determining if an individual is a highly compensated former Employee, the rules for
determining which Employees are Highly Compensated Employees for the Plan Year for which the
determination is being made (in accordance with Temporary Regulation §1.414(q)-1T, A-4 and
Notice 97-45) will be applied. If the Employer maintains more than one qualified retirement
plan, this Section will be applied in a uniform, consistent manner to all such plans.

	1.78	 	Hour of Service. The term Hour of Service means, with respect to any provision
of the Plan in which service is determined by the elapsed time method, each hour for which an
Employee is paid, or is entitled to payment, by the Employer or an Affiliated Employer for the
performance of duties. With respect to any provision of the Plan in which service is
determined by counting an Employee’s Hours of Service, the meaning of the term Hour of Service
will be determined in accordance with the following provisions:

	 	(a)	 	Determination of Hours. The term Hour of Service means (1) each hour for which an
Employee is paid, or entitled to payment, for the performance of duties for the Employer
or an Affiliated Employer, which will be credited to the Employee for the computation
period in which the duties are performed; (2) each hour for which an Employee is paid, or
entitled to payment, by the Employer or an Affiliated Employer on account of a period of
time during which no duties are performed (irrespective of whether the employment
relationship has terminated) due to vacation, holiday, illness, incapacity (including
disability), layoff, jury duty, military duty or leave of absence, except that no more
than 501 Hours of Service will be credited under this clause (2) for any single
continuous period (regardless of whether such period occurs in a single computation
period); and (3) each hour for which back pay, irrespective of mitigation of damages, is
either awarded or agreed to by the Employer or an Affiliated Employer, except that the
same Hours of Service will not be credited both under clause (1) or clause (2), as the
case may be, and under this clause (3), and these Hours of Service will be credited to
the Employee for the computation period or periods to which the award or agreement
pertains rather than the computation period in which the award, agreement or payment is
made. Hours of Service under this paragraph will be calculated and credited pursuant to
Department of Labor Regulation §2530.200b-2, which is incorporated herein by reference.
Furthermore, Hours of Service will be credited for any individual who is considered to be
an Employee under Code §414(n) for purposes of this Plan.
	 
	 	(b)	 	Maternity or Paternity Leave. Solely for purposes of determining whether a Break
in Service has occurred in a computation period for purposes of an Employee’s eligibility
for Plan participation, Vesting, and benefit accrual/allocation, an individual on
Maternity or Paternity Leave will receive credit for up to 501 Hours of Service which
would otherwise have been credited to such individual but for such absence, or in any
case in which such hours cannot be determined, eight (8) Hours of Service per day of such
absence. The Hours of Service credited for a Maternity or Paternity Leave will be
credited in the computation period in which the absence begins if the crediting is
necessary to prevent a Break in Service in that computation period, or in all other
cases, in the following computation period.
	 
	 	(c)	 	Use of Equivalencies. Notwithstanding paragraph (a), the Administrator may elect
for all Employees or for one or more different classifications of Employees (provided
such classifications are reasonable, are consistently applied, and are nondiscriminatory)
to apply one or more of the following equivalency methods in determining an Employee’s
Hours of Service. Under such equivalency methods, an Employee will be credited with (1)
190 Hours of Service for each month that he or she is credited with at least one Hour of
Service during that month; (2) 95 Hours of Service for each semi-monthly period that he
or she is credited with at least one Hour of Service during that semi-monthly period; (3)
45 Hours of Service for each week that he or she is credited with at least one Hour of
Service during that week; and/or (4) 10 Hours of Service for each day that he or she is
credited with at least one Hour of Service during that day.

	1.79	 	Hypothetical Entry Date. The term Hypothetical Entry Date means, with respect to
a Plan (or a component of a Plan) that provides that Otherwise Excludable Participants are
eligible to participate in the Plan (or component of the Plan), the date that an Otherwise
Excludable Participant would hypothetically enter the Plan (or component of the Plan) and
would no longer be considered an Otherwise Excludable Participant had the Plan (or component
of the Plan) used the statutory maximum age and service requirements of Code §410(a)(1)(A) as
the eligibility requirements for the Plan (or component of the Plan). The Hypothetical Entry
Date for purposes of this Plan is the Employee’s maximum statutory entry date under Code
§410(a)(4) after the Employee satisfies the maximum statutory age and service requirements
under Code §410(a)(1)(A).

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	1.80	 	Immediately Distributable. The term Immediately Distributable means any part of
the Participant’s benefit that could be distributed to the Participant (or the Participant’s
surviving Spouse) before the Participant reaches (or would have reached if not deceased) the
later of his or her Normal Retirement Age or Age 62.
	 
	1.81	 	Independent Contractor. The term Independent Contractor means an individual who
is not reported on the payroll records of the Employer or an Affiliated Employer as a common
law employee. The determination of whether an individual is an Independent Contractor will be
based upon the facts and circumstances and upon the guidance of Revenue Ruling 87-41.
	 
	1.82	 	Key Employee. The term Key Employee means, in determining whether the Plan is
Top Heavy for Plan Years beginning on or after January 1, 2002, any Employee, former Employee
or deceased Employee who at any time during the Plan Year that includes the Determination Date
is (a) an officer of the Employer having annual Code §415(c)(3) Compensation greater than
$130,000 (as adjusted under Code §416(i)(1)(A) for Plan Years beginning after December 31,
2002); (b) a 5% owner as defined in Code §416(i)(1)(B)(i); or (c) a 1% owner as defined in
Code §416(i)(1)(B)(ii) whose annual Code §415(c)(3) Compensation is more than $150,000. The
determination of who is a Key Employee will be made in accordance with Code §416(i)(1), the
applicable Regulations, and other guidance issued thereunder. With respect to Employees who
are treated as Key Employees by reason of being officers pursuant to clause (a), the following
rules apply:

	 	(a)	 	Definition of Officer. The term “officer” means generally an administrative
executive who is in regular and continued service (a continuity of service), and excludes
an individual who is employed for a special and single transaction. Whether an individual
is an officer will be determined upon the basis of all the facts and circumstances,
including the source of the individual’s authority, the term for which the individual is
elected or appointed, and the nature and extent of the individual’s duties. An Employee
who merely has the title of an officer but not the authority of an officer is not an
officer for purposes of determining whether the Employee is a Key Employee. Similarly, an
Employee who does not have the title of an officer but has the authority of an officer is
an officer for purposes of determining whether the Employee is a Key Employee.
	 
	 	(b)	 	Number of Officers Taken Into Account. There is no minimum number of officers
that must be taken into account. After aggregating all Employees (including Leased
Employees) of the Sponsoring Employer and Affiliated Employers, there is a maximum limit
to the number of officers that are to be taken into account as officers for the entire
group consisting of the Sponsoring Employer and Affiliated Employers. The number of
Employees that the Sponsoring Employer and Affiliated Employers has for the Plan Year
containing the Determination Date is the greatest number of Employees the Sponsoring
Employer and Affiliated Employers had during that Plan Year, and Employees include only
those individuals who perform services for the Sponsoring Employer and Affiliated
Employers during that Plan Year. However, in determining the number of officers taken
into account, Employees described in Code §414(q)(5) will be excluded. If the number of
Employees (including part-time Employees) of the Sponsoring Employer and Affiliated
Employers is less than or equal to 30 Employees, then no more than 3 Employees will be
treated as Key Employees for the Plan Year containing the Determination Date by reason of
being officers. If the number of Employees of the Sponsoring Employer and Affiliated
Employers is greater than 30 but less than or equal to 500, then no more than 10% of the
number of Employees will be treated as Key Employees by reason of being officers. If 10%
of the number of Employees is not an integer, then the maximum number of individuals to
be treated as Key Employees by reason of being officers will be increased to the next
integer. If the number of Employees of the Sponsoring Employer and Affiliated Employers
exceeds 500, then no more than 50 Employees will be treated as Key Employees for the Plan
Year containing the Determination Date by reason of being officers. This limited number
of officers is comprised of the individual officers, selected from the group of all
individuals who are officers in the Plan Year containing the Determination Date, who have
annual Code §415(c)(3) Compensation during the Plan Year containing the Determination
Date greater than $130,000 (as adjusted under Code §416(i)(1) for Plan Years beginning
after December 31, 2002), and who had the largest annual Code §415(c)(3) Compensation
during the Plan Year containing the Determination Date.

	1.83	 	Leased Employee. The term Leased Employee means any person (other than an
Employee of the recipient-Employer) who pursuant to an agreement between the
recipient-Employer and other person (known as the “Leasing Organization”) has performed
services for the recipient-Employer (or for the recipient-Employer and related persons
determined in accordance with Code §414(n)(6)) on a substantially full time basis for a period
of at least one year, and such services are performed under primary direction or control by
the recipient-Employer. Contributions or benefits provided to a Leased Employee by the Leasing
Organization attributable to services performed for the recipient-Employer will be treated as
provided by the recipient-Employer. A Leased Employee

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	 	 	will not be considered an Employee of the recipient-Employer if (a) the Leased Employee is
covered by a money purchase plan providing (1) a non-integrated Employer contribution of at
least 10% of the Leased Employee’s Code §415(c)(3) Compensation; (2) immediate participation;
and (3) full and immediate vesting; and (b) Leased Employees do not constitute more than 20%
of the recipient-Employer’s non-highly compensated work force.

	1.84	 	Life Expectancy. The term Life Expectancy means, for purposes of required
minimum distributions under Section 5.9, life expectancy as computed by use of the Single Life
Table in Regulation §1.401(a)(9)-9, Q&A 1.
	 
	1.85	 	Limitation Year. The term Limitation Year means the Plan Year. If the Limitation
Year is amended to a different 12-consecutive month period, then the new Limitation Year must
begin on a date within the Limitation Year in which the amendment is made.
	 
	1.86	 	Matching Contribution. The term Matching Contribution means either (a) an ADP
Safe Harbor Matching Contribution; (b) an ACP Safe Harbor Matching Contribution; (c) a
Qualified Matching Contribution; or (d) a Non-Safe Harbor Matching Contribution, depending on
the context in which the term is used in the Plan.
	 
	1.87	 	Matching Contribution Account. The term Matching Contribution Account means the
sub-account to which a Participant’s Matching Contributions are allocated.
	 
	1.88	 	Matching Rate. The term Matching Rate means:

	 	(a)	 	Matching Contributions With Respect to Elective Deferrals. If the Plan provides a
Matching Contribution with respect to a Participant’s Elective Deferrals (but not
Employee Contributions), then generally the Non-Safe Harbor Matching Contributions made
for a Participant divided by the Participant’s Elective Deferrals for the Plan Year. If
the Matching Rate is not the same for all levels of Elective Deferrals for a Participant,
the Participant’s Matching Rate is determined by assuming that a Participant’s Elective
Deferrals are equal to 6% of such Participant’s Code §414(s) Compensation.
	 
	 	(b)	 	Matching Contributions With Respect to Elective Deferrals and Employee
Contributions. If the Plan provides a Matching Contribution with respect to a
Participant’s Employee Contributions and Elective Deferrals, then generally the Non-Safe
Harbor Matching Contributions made for a Participant divided by the sum of the
Participant’s Employee Contributions and Elective Deferrals for the Plan Year. If the
Matching Rate is not the same for all levels of Employee Contributions and Elective
Deferrals for a Participant, the Participant’s Matching Rate is determined by assuming
that the sum of a Participant’s Employee Contributions and Elective Deferrals is equal to
6% of the Participant’s Code §414(s) Compensation.
	 
	 	(c)	 	Matching Contributions With Respect to Employee Contributions. If the Plan
provides a Matching Contribution with respect to a Participant’s Employee Contributions
(but not Elective Deferrals), then generally the Non-Safe Harbor Matching Contributions
made for a Participant divided by the Participant’s Employee Contributions for the Plan
Year. If the Matching Rate is not the same for all levels of Employee Contributions for a
Participant, the Participant’s Matching Rate is determined by assuming that a
Participant’s Employee Contributions are equal to 6% of such Participant’s Code §414(s)
Compensation.

	1.89	 	Maternity or Paternity Leave. The term Maternity or Paternity Leave means an
Employee’s absence from work because of (a) the Employee’s pregnancy; (b) the birth of the
Employee’s child; (c) the placement of a child with the Employee in connection with the
adoption of such child by the Employee; or (d) the need to care for such child for a period
beginning immediately following the child’s birth or placement as set forth above.
	 
	1.90	 	Minimum Aggregate Allocation Gateway. The term Minimum Aggregate Allocation
Gateway means, for Plan Years beginning on or after January 1, 2002, in the case where this
Plan (or any other defined contribution plan that is aggregated with this Plan) is aggregated
with any defined benefit plan for purposes of applying the general test for non-discrimination
based upon Equivalent Accrual Rates for the defined contribution plan(s), a minimum Aggregate
Normal Allocation Rate that must be provided to each Non-Highly Compensated Employee.
Notwithstanding the above, in determining the Benefiting Participants for purposes of the
Minimum Aggregate Allocation Gateway, the permissive disaggregation rules under Regulation
§1.410(b)-6(b)(3)(ii) and §1.410(b)-7(c)(3) will be applied. The Minimum Aggregate Allocation
Gateway is subject to the following rules:

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	 	(a)	 	Minimum Aggregate Allocation Gateway Amount. The amount of the Minimum Aggregate
Allocation Gateway is equal to the lesser of (1) 7.5% of Code §415(c)(3) Compensation; or
(2) an Aggregate Normal Allocation Rate based upon the following formula:

	 	(1)	 	One-Third Formula. If the Aggregate Normal Allocation Rate of the
HCE with the highest aggregate allocation rate is less than 15%, then the Aggregate
Normal Allocation Rate for each NHCE must be at least one-third (1/3) of the
Aggregate Normal Allocation Rate of the HCE with the highest Aggregate Normal
Allocation Rate.
	 
	 	(2)	 	5% Formula. If the Aggregate Normal Allocation Rate of the HCE
with the highest Aggregate Normal Allocation Rate is between 15% and 25%, then the
Aggregate Normal Allocation Rate for each NHCE must be at least 5% of Code §415(c)(3)
Compensation.
	 
	 	(3)	 	5% Plus Formula. If the Aggregate Normal Allocation Rate of the
HCE with the highest Aggregate Normal Allocation Rate exceeds 25%, then the Aggregate
Normal Allocation Rate for each NHCE must be at least 5% plus one percentage point
for each five percentage point increment (or portion thereof) by which the Aggregate
Normal Allocation Rate of the HCE with the highest Aggregate Normal Allocation Rate
exceeds 25% (e.g., if the Aggregate Normal Allocation Rate of the HCE with the
highest Aggregate Normal Allocation Rate exceeds 25% but not 30%, then the Aggregate
Normal Allocation Rate for each NHCE must be at least 6%; if the Aggregate Normal
Allocation Rate of the HCE with the highest Aggregate Normal Allocation Rate exceeds
30% but not 35%, then the Aggregate Normal Allocation Rate for each NHCE must be at
least 7%).

	 	(b)	 	Averaging of Equivalent Allocation Rates for NHCEs. For purposes of this
definition, the Plan is permitted to treat each Non-Highly Compensated Employee who
benefits under the defined benefit plan as having an equivalent normal allocation rate
equal to the average of the equivalent normal allocation rates under the defined benefit
plan for all Non-Highly Compensated Employees benefiting under that plan.
	 
	 	(c)	 	No Permitted Disparity. For purposes of this definition, the Aggregate Normal
Allocation Rate must not take into account the imputation of permitted disparity under
Regulation §1.401(a)(4)-7.
	 
	 	(d)	 	Compensation Limited to Compensation After Entry Date. For purposes of
determining if the Minimum Aggregate Allocation Gateway of paragraph (a) has been
satisfied, Code §415(c)(3) Compensation will be limited to the Participant’s Code
§415(c)(3) Compensation on and after a Participant’s Entry Date of the Plan’s component
subject to the Minimum Aggregate Allocation Gateway.
	 
	 	(e)	 	Treatment of Otherwise Excludable Participants. For purposes of the Minimum
Aggregate Allocation Gateway, Otherwise Excludable Participants will not be considered.

	1.91	 	Minimum Allocation Gateway. The term Minimum Allocation Gateway means, for Plan
Years beginning on or after January 1, 2002, a minimum allocation that must be provided to
each Non-Highly Compensated Employee who receives an allocation of any Non-Elective
Contribution (including any ADP Safe Harbor Non-Elective Contribution) or any Qualified
Non-Elective Contribution under this Plan (or any other defined contribution plan that is
aggregated with this Plan) that performs the general test for non-discrimination based upon
Equivalent Accrual Rates as set forth in Regulation §1.401(a)(4)-8. Notwithstanding the above,
in determining the Benefiting Participants for purposes of the Minimum Allocation Gateway, the
permissive disaggregation rules under Regulation §1.410(b)-6(b)(3)(ii) and §1.410(b)-7(c)(3)
will be applied. The Minimum Allocation Gateway is subject to the following rules:

	 	(a)	 	Minimum Allocation Gateway Satisfied So Long As This Plan Is Not Aggregated With Any
Defined Benefit Plan. The Minimum Allocation Gateway can be utilized so long as
neither this Plan nor any other defined contribution plan (that is aggregated with this
Plan) is aggregated with any defined benefit plan in applying the general test for
non-discrimination based upon Equivalent Accrual Rates for the defined contribution
plan(s). If this Plan or any other defined contribution plan (that is aggregated with
this Plan) is aggregated with any defined benefit plan for purposes of applying the
general test for non-discrimination based upon Equivalent Accrual Rates for the defined
contribution plan(s), then the Minimum Allocation Gateway pursuant to this definition
will not satisfy the requirements of Regulation §1.401(a)(4)-9.

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	 	(b)	 	Minimum Allocation Gateway Amount. The amount of the Minimum Allocation Gateway
is equal to the lesser of (1) five percent (5%) of the Participant’s Code §415(c)(3)
Compensation; or (2) one-third of the Allocation Rate of the Highly Compensated Employee
with the highest Allocation Rate.
	 
	 	(c)	 	Satisfaction of Minimum Allocation Gateway. The Minimum Allocation Gateway may be
satisfied with any Non-Elective Contributions (including any ADP Safe Harbor Non-Elective
Contributions) or any Qualified Non-Elective Contributions.
	 
	 	(d)	 	No Permitted Disparity. For purposes of this definition, allocations and
Allocation Rates must not take into account the imputation of permitted disparity under
§1.401(a)(4)-7.
	 
	 	(e)	 	Compensation Limited to Compensation After Entry Date. For purposes of
determining if the Minimum Allocation Gateway of paragraph (b) has been satisfied, Code
§415(c)(3) Compensation will be limited to the Participant’s Code §415(c)(3) Compensation
on and after a Participant’s Entry Date of the Plan’s component subject to the Minimum
Allocation Gateway.
	 
	 	(f)	 	Treatment of Otherwise Excludable Participants. For purposes of the Minimum
Allocation Gateway, Otherwise Excludable Participants will not be considered.

	1.92	 	Named Fiduciary. The term Named Fiduciary means the Administrator or other
fiduciary named by the Administrator to control and manage the operation and administration of
the Plan. To the extent authorized by the Administrator, a Named Fiduciary may delegate its
responsibilities to a third party or parties. The Employer is also a Named Fiduciary.
	 
	1.93	 	NHCE. The term NHCE means a Non-Highly Compensated Employee.
	 
	1.94	 	Non-Elective Contribution. The term Non-Elective Contribution means an ADP Safe
Harbor Non-Elective Contribution, and/or a Non-Safe Harbor Non-Elective Contribution,
depending on the context in which the term is used in the Plan. Furthermore, the term
Non-Elective Contribution means any Top Heavy Minimum Allocation that may be required under
the terms of the Plan.
	 
	1.95	 	Non-Highly Compensated Employee. The term Non-Highly Compensated Employee means
any Employee who is not a Highly Compensated Employee.
	 
	1.96	 	Non-Key Employee. The term Non-Key Employee means any Employee who is not a Key
Employee. A former Key Employee (a Key Employee during any Plan Year prior to the Plan Year
that includes the Determination Date) is a Non-Key Employee for purposes of determining
whether such former Key Employee is required to receive a Top Heavy Minimum Allocation;
however, a former Key Employee is ignored for purposes of determining whether the Plan is Top
Heavy.
	 
	1.97	 	Non-Safe Harbor 401(k) Plan. The term Non-Safe Harbor 401(k) Plan means a 401(k)
Plan which does not automatically satisfy the ADP Test under Code §401(k).
	 
	1.98	 	Non-Safe Harbor 401(m) Plan. The term Non-Safe Harbor 401(m) Plan means a 401(m)
Plan which does not automatically satisfy the ADP Test under Code §401(m).
	 
	1.99	 	Non-Safe Harbor Matching Contribution. The term Non-Safe Harbor Matching
Contribution means an Employer contribution made to this or any other defined contribution
plan on behalf of a Participant on account of a Participant’s Elective Deferrals and/or a
Participant’s Voluntary Employee Contributions made by such Participant under a plan
maintained by the Sponsoring Employer. Non-Safe Harbor Matching Contributions are not intended
to automatically satisfy the ACP Test.
	 
	1.100	 	Non-Safe Harbor Matching Contribution Account. The term Non-Safe Harbor
Matching Contribution Account means the account to which a Participant’s Non-Safe Harbor
Matching Contributions are allocated.
	 
	1.101	 	Non-Safe Harbor Non-Elective Contribution. The term Non-Safe Harbor
Non-Elective Contribution means an Employer contribution that (a) is allocated to a
Participant’s Non-Safe Harbor Non-Elective Contribution Account, (b) the Participant may not
elect to receive in cash until such contributions are distributed from the Plan; and (c) is
not intended to be used to automatically satisfy the ADP Test.

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	1.102	 	Non-Safe Harbor Non-Elective Contribution Account. The term Non-Safe Harbor
Non-Elective Contribution Account means the account to which a Participant’s Non-Safe Harbor
Non-Elective Contributions are allocated.
	 
	1.103	 	Normal Accrual Rate. The term Normal Accrual Rate means, for a Participant for
a Plan Year, the increase in the Participant’s accrued benefit (within the meaning of Code
§411(a)(7)(A)(i)) during the measurement period, divided by the Participant’s testing service
during the measurement period, and expressed either as a dollar amount or as a percentage of
the Participant’s average annual Code §414(s) Compensation.
	 
	1.104	 	Normal Form of Distribution. The term Normal Form of Distribution means the
form in which a Participant’s benefit will be distributed absent an election to the contrary,
as set forth in Sections 5.1, 5.3 and 5.4.
	 
	1.105	 	Normal Retirement Age. The term Normal Retirement Age means Age 65. There is no
mandatory retirement Age under the terms of the Plan.
	 
	1.106	 	Normal Retirement Date. The term Normal Retirement Date means the same date a
Participant reaches Normal Retirement Age.
	 
	1.107	 	Otherwise Excludable Participant. The term Otherwise Excludable Participant
means a Participant in the Plan (or a component of the Plan) who (a) has not satisfied the
statutory maximum age and service requirements set forth in Code §410(a)(1)(A), and (b) has
not reached such Participant’s Hypothetical Entry Date.
	 
	1.108	 	Optional Form of Distribution. The term Optional Form of Distribution means a
form of distribution other than the Normal Form of Distribution as set forth in Sections 5.1,
5.3 and 5.4.
	 
	1.109	 	Participant. The term Participant means anyone who has met the eligibility and
participation requirements under Article 2 of the Plan. In addition, if the Plan utilizes the
failsafe allocation provisions of Section 3.13, then the term Participant means any Employee
who receives a failsafe allocation, even if such Employee is not an Eligible Employee and/or
has not satisfied the eligibility and participation requirements of the Plan. Furthermore, the
Sponsoring Employer may elect at any time to reclassify any Employee who had been excluded
from participating in the Plan (or a component of the Plan) to be a Participant through a Plan
amendment that is retroactively applied for one or more prior Plan Years because the Plan (or
a component of the Plan) failed to satisfy for such Plan Year one of the tests set forth in
Code §410(b)(1)(A), (B) or (C), or for any other reason required to maintain the tax exempt
status of the Plan. However, an individual who is no longer an Employee will cease to be a
Participant if his or her entire Plan benefit (a) is fully guaranteed by an insurance company
and legally enforceable at the sole choice of such individual against such insurance company,
provided that a contract, Policy, or certificate describing the individual’s Plan benefits has
been issued to such individual; (b) is paid in a lump sum distribution which represents such
individual’s entire interest in the Plan; or (c) is paid in some other form of distribution
and the final payment thereunder has been made.
	 
	1.110	 	Participant’s Account. The term Participant’s Account means the account to
which is allocated a Participant’s share of Employer contributions and Employee Contributions;
earnings or losses; and, if applicable, Forfeitures. A Participant’s Account will also include
the proceeds of any Policies purchased on the Participant’s life under Section 7.2. Each
Participant’s Account will be divided (where applicable) into the following sub-accounts for
accounting purposes: the Pre-Tax Elective Deferral Account; the Roth Elective Deferral
Account; the Non-Safe Harbor Matching Contribution Account; the Non-Safe Harbor Non-Elective
Contribution Account; the Qualified Matching Contribution Account; the Qualified Non-Elective
Contribution Account; the ADP Safe Harbor Matching Contribution Account; the ADP Safe Harbor
Non-Elective Contribution Account; the ACP Safe Harbor Matching Contribution Account; the
Voluntary Employee Contribution Account; the Mandatory Employee Contribution Account; the
Deemed IRA Contribution Account; the Rollover Contribution Account; the Transfer Account; and
any other sub-accounts the Administrator may determine necessary from time to time.
	 
	1.111	 	Participant’s Account Balance. The term Participant’s Account Balance means,
for purposes of required minimum distributions under Section 5.9, the balance of the
Participant’s Account as of the last Valuation Date in the Valuation Calendar Year, increased
by any contributions made and allocated or forfeitures allocated to the Account as of dates in
the Valuation Calendar Year after the Valuation Date and decreased by distributions made in
the Valuation Calendar Year after the Valuation Date. The Participant’s Account Balance for
the Valuation Calendar Year includes any amounts rolled over or transferred to the Plan either
in the Valuation Calendar Year or in the Distribution Calendar Year if distributed or
transferred in the Valuation Calendar Year.

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	1.112	 	Period of Service. The term Period of Service means, with respect to any
provision of the Plan in which service is determined by the Elapsed Time Method, a period of
time during which the Employee is employed with the Employer or an Affiliated Employer (or any
business entity which was an Adopting Employer) commencing on an Employee’s Employment
Commencement Date or Reemployment Commencement Date and ending on the date that the Employee’s
Period of Severance begins, and a 1-Year Period of Service and all other Periods of Service
will be determined in accordance with the following provisions:

	 	(a)	 	Definition of Period of Severance and 1-Year Period of Severance. The term Period
of Severance means a continuous period of time during which the Employee is not employed
by the Employer. A Period of Severance begins on the earlier of (1) the date on which an
Employee retires, dies, quits or is discharged from employment by the Employer or an
Affiliated Employer, or (2) the first anniversary of the first date on which an Employee
remains absent from service with the Employer or an Affiliated Employer (with or without
pay) for any reason other than the Employee retiring, dying, quitting or being discharged
from employment by the Employer or an Affiliated Employer, such as for vacation, holiday,
illness, incapacity (including disability), layoff, jury duty, military duty or leave of
absence. However, in the case of an Employee who is absent from work for Maternity or
Paternity Leave, the 12-consecutive month period beginning on the first anniversary of
the first date of such absence under clause (2) of the previous sentence will not
constitute a Period of Severance. A Period of Severance ends as of an Employee’s
Reemployment Commencement Date. The term 1-Year Period of Severance means a
12-consecutive month Period of Severance during which an Employee fails to perform an
Hour of Service.
	 
	 	(b)	 	Hours of Service During a Period of Severance. If an Employee performs an Hour of
Service during a period which would otherwise be considered a Period of Severance under
paragraph (a), then the Plan must count such period as a Period of Service and the
Employee will receive credit for such Period of Service.
	 
	 	(c)	 	Definition of 1-Year Period of Service. The term 1-Year Period of Service means a
12-consecutive month Period of Service. An Employee will receive credit for Periods of
Service of less than 12-consecutive months by aggregating (subject to the limitations
below) all non-successive Periods of Service and all Periods of Service which are
fractional years or which do not constitute a whole 1-Year Period of Service, regardless
of whether consecutive. Fractional periods of a year are expressed in terms of days, on
the basis that a day of service is credited if an Employee is credited with an Hour of
Service during such day, and on the basis that 12 months of service (30 days being deemed
to be a month of service in the case of the aggregation of fractional months of service)
or 365 days of service equals a 1-Year Period of Service. An Employee will also be
credited for all purposes, as applicable, with a fractional Period of Service for any
Period of Severance that is less than a 1-Year Period of Severance.
	 
	 	(d)	 	Prior Service Credit. For purposes of determining an Employee’s eligibility to
participate in the Plan under Section 2.1 and determining an Employee’s vesting under
Section 4.6, an Employee who was employed by After Hours Formalwear, Inc. on April 9,
2007, shall also receive for a computation period an Hour of Service credit for each
“Hour of Service” (as that term was defined in the After Hours Formalwear Profit Sharing
Plan) that was credited to such Employee under the After Hours Formalwear Profit Sharing
Plan as of April 9, 2007.
	 
	 	(e)	 	Reemployment of an Employee Before a Break In Service and Before Eligibility
Requirements Are Satisfied. For any Plan Year in which the eligibility requirements
in Section 2.1 are based on the Elapsed Time Method, if an Employee Terminates Employment
with the Employer prior to satisfying the eligibility requirements in Section 2.1 and the
Employee is subsequently reemployed by the Employer before incurring a Break in Service,
then the Employee’s pre-termination Period of Service will be counted in determining the
satisfaction of such eligibility requirements and for all other purposes, as applicable.
Furthermore, the Employee will also be credited for all purposes, as applicable, with a
fractional Period of Service for any Period of Severance that is less than a 1-Year
Period of Severance. If the Employee has satisfied the eligibility requirements in
Section 2.1 when such fractional Period of Service of the previous sentence is added to
such Employee’s pre-termination Period of Service, then the Employee will become a
Participant in the Plan as of the later of (1) the date that the Employee would enter the
Plan had the Employee not Terminated Employment with the Employer, or (2) the Employee’s
Reemployment Commencement Date.
	 
	 	(f)	 	Re-employment of an Employee Before a Break In Service and After Eligibility
Requirements Are Satisfied. For any Plan Year in which the eligibility requirements
in Section 2.1 are based on the Elapsed

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	 	 	 	Time Method, if an Employee Terminates Employment prior to the Employee’s Entry Date in
Section 2.1, the Employee had satisfied the eligibility requirements in Section 2.1 as of
the Employee’s Termination of Employment, and the Employee is subsequently reemployed by
the Employer before incurring a Break in Service, then (1) the Employee will become a
Participant as of the later of (A) the date the Employee would enter the Plan had the
Employee not Terminated Employment with the Employer, or (B) the Employee’s Reemployment
Commencement Date, and (2) the Employee’s pre-termination Period of Service will be
counted for all purposes. The Employee will also be credited for all purposes, as
applicable, with a fractional Period of Service for any Period of Severance less than a
1-Year Period of Severance.

	 	(g)	 	Reemployment of a Participant Before a Break In Service. For any Plan Year in
which the eligibility requirements in Section 2.1 are based on the Elapsed Time Method,
if an Employee Terminates Employment after becoming a Participant and is subsequently
reemployed by the Employer before incurring a Break in Service, then (1) the reemployed
Employee will reenter the Plan as of the Employee’s Reemployment Commencement Date, and
(2) the Employee’s pre-termination Period of Service will be counted for all purposes, as
applicable. Furthermore, the Employee will also be credited for all purposes, as
applicable, with a fractional Period of Service for any Period of Severance that is less
than a 1-Year Period of Severance.
	 
	 	(h)	 	Reemployment of an Employee After a Break In Service and Before the Entry Date.
For any Plan Year in which the eligibility requirements in Section 2.1 are based on the
Elapsed Time Method, if an Employee Terminates Employment with the Employer either prior
to or after satisfying the eligibility requirements in Section 2.1 (but before the
Employee’s Entry Date in Section 2.1) and the Employee is subsequently reemployed by the
Employer after incurring a Break in Service, then the Employee’s Period of Service that
was completed prior to the Break in Service will be recognized, subject to the following
provisions:

	 	(1)	 	Determination of Period of Service for Eligibility Purposes. Any
Period of Service that was completed prior to an Employee’s Break(s) in Service will
not be counted in determining an Employee’s eligibility to participate in the Plan if
that Period of Service is disregarded pursuant to the Rule of Parity. If such former
Employee’s Period of Service is disregarded under the Rule of Parity, then the
reemployed Employee will be treated as a new Employee for purposes of Section 2.1 as
of the Employee’s Reemployment Commencement Date. If the Employee has not satisfied
the eligibility requirements in Section 2.1 as of the Employee’s Reemployment
Commencement Date and such former Employee’s Period of Service is not disregarded
under the Rule of Parity, then the Employee will become a Participant in the Plan as
of the Entry Date in Section 2.1 after the Employee has satisfied the eligibility
requirements in Section 2.1. If the Employee has satisfied the eligibility
requirements in Section 2.1 as of the Employee’s Reemployment Commencement Date and
such former Employee’s Period of Service is not disregarded under the Rule of Parity,
then the reemployed Employee will enter the Plan as of the Employee’s Reemployment
Commencement Date.
	 
	 	(2)	 	Determination of Period of Service for Vesting Purposes. Any
Period of Service completed prior to an Employee’s Break(s) in Service will not be
counted in determining an Employee’s Vesting Interest in the Participant’s Account
balance if that Period of Service is disregarded pursuant to the Rule of Parity. If
such former Employee’s Period of Service is disregarded under the Rule of Parity,
then the reemployed Employee will be treated as a new Employee for purposes of
determining an Employee’s Vesting Interest in the Participant’s Account balance as of
the Employee’s Reemployment Commencement Date.
	 
	 	(3)	 	Determination of Period of Service for Benefit Accrual/Allocation
Purposes. Any Period of Service completed prior to an Employee’s Break(s) in
Service will not be counted for benefit accrual or allocation purposes if that Period
of Service is disregarded pursuant to the Rule of Parity. If such former Employee’s
Period of Service is disregarded under the Rule of Parity, then the reemployed
Employee will be treated as a new Employee for benefit accrual or allocation purposes
as of the Employee’s Reemployment Commencement Date.

	 	(i)	 	Reemployment of a Participant After a Break In Service. With respect to any
provision of the Plan in which service is determined by the Elapsed Time Method, if an
Employee (1) was a Participant in the Plan, (2) Terminates Employment with the Employer,
and (3) is subsequently reemployed by the Employer after incurring a Break in Service,
then the Employee’s Period of Service that was completed prior to the Break in Service
will be recognized, subject to the following provisions:

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	 	(1)	 	Determination of Period of Service for Eligibility Purposes. Any
Period of Service completed prior to an Employee’s Break(s) in Service will not be
counted in determining an Employee’s eligibility to participate in the Plan if that
Period of Service is disregarded under the Rule of Parity. If such former Employee’s
Period of Service is disregarded under the Rule of Parity, the reemployed Employee
will be treated as a new Employee for purposes of Section 2.1 as of the Employee’s
Reemployment Commencement Date. If such former Employee’s Period of Service is not
disregarded under the Rule of Parity, the reemployed Employee will reenter the Plan
as of the Employee’s Reemployment Commencement Date.
	 
	 	(2)	 	Determination of Period of Service for Vesting Purposes. Any
Period of Service completed prior to an Employee’s Break(s) in Service will not be
counted in determining an Employee’s Vesting Interest in the Participant’s Account
balance if that Period of Service is disregarded pursuant to the Rule of Parity. If
such former Employee’s Period of Service is disregarded under the Rule of Parity,
then the reemployed Employee will be treated as a new Employee for purposes of
determining an Employee’s Vesting Interest in the Participant’s Account balance as of
the Employee’s Reemployment Commencement Date.
	 
	 	(3)	 	Determination of Period of Service for Benefit Accrual/Allocation
Purposes. Any Period of Service completed prior to an Employee’s Break(s) in
Service will not be counted for benefit accrual or allocation purposes if that Period
of Service is disregarded pursuant to the Rule of Parity. If such former Employee’s
Period of Service is disregarded under the Rule of Parity, then the reemployed
Employee will be treated as a new Employee for benefit accrual or allocation purposes
as of the Employee’s Reemployment Commencement Date.

	 	(j)	 	Ignoring Service for Eligibility If Service Requirement for Eligibility Is More Than a
1-Year Period of Service. Notwithstanding anything in the Plan to the contrary, if
this Plan (or a component of the Plan) at any time provides that (1) an Employee must
complete more than either a 1-Year Period of Service or a 12-month Period of Service for
eligibility purposes, and (2) such Employee will have a 100% Vested Interest in the
Participant’s Account (or the sub-Account that relates to such component) upon becoming a
Participant in the Plan, then with respect to an Employee who incurs a Break in Service
before satisfying such eligibility requirement, the Employee’s Period of Service that was
completed prior to the Employee’s Break(s) in Service will not be counted for eligibility
purposes.

	1.113	 	Period of Severance. See the definition Period of Service in Section 1.112
above.
	 
	1.114	 	Permissive Aggregation Group. The term Permissive Aggregation Group means a
group consisting of the Required Aggregation Group plus any other plan or plans of the
Employer which, when considered as a group with the Required Aggregation Group, would continue
to satisfy the requirements of Code §401(a)(4) and §410.
	 
	1.115	 	Plan. The term Plan means The Men’s Wearhouse, Inc. 401(k) Savings Plan, as
amended from time to time.
	 
	1.116	 	Plan Year. The term Plan Year means the Plan’s 12 consecutive month accounting
year beginning January 1st and ending the following December 31st. If the Plan Year is
changed, a short Plan Year will be established beginning the day after the last day of the
Plan Year in effect before the change and ending on the last day of the new Plan Year.
	 
	1.117	 	Policy. The term Policy means a life insurance policy or annuity contract
purchased by the Plan pursuant to the provisions of Section 7.2 of the Plan.
	 
	1.118	 	Post-Severance Compensation. The term Post-Severance Compensation means the
following amounts that are paid within 21/2 months after an Employee’s Termination of
Employment: (a) payments that, absent a Termination of Employment, would have been paid to the
Employee while the Employee continued in employment with the Employer and are regular
compensation for services during the Employee’s regular working hours, compensation for
services outside the employee’s regular working hours (such as overtime or shift
differential), commissions, bonuses, or other similar compensation; and (b) payments for
accrued bona fide sick, vacation, or other leave, but only if the Employee would have been
able to use the leave if employment had continued. Any other payment that is not described in
clause (a) above and clause (b) above is not considered Post-Severance Compensation if paid
after Termination of Employment, even if it is paid within 21/2 months following Termination of
Employment; for example, Post-Severance Compensation does not include amounts paid after
Termination of

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	 	 	Employment that are severance pay, unfunded nonqualified deferred compensation, or parachute
payments within the meaning of Code §280G(b)(2). However, the rule of the prior sentence does
not apply to payments to an individual who does not currently perform services for the
Employer by reason of qualified military service (as that term is used in Code §414(u)(1)) to
the extent those payments do not exceed the amounts the individual would have received if the
individual had continued to perform services for the Employer rather than entering qualified
military service; those payments are considered Compensation.

	1.119	 	Pre-Tax Elective Deferral. The term Pre-Tax Elective Deferral means an Elective
Deferral that is not includible in gross income at the time deferred.
	 
	1.120	 	Pre-Tax Elective Deferral Account. The term Pre-Tax Elective Deferral Account
means the sub-account of a Participant’s Account to which his or her Pre-Tax Elective
Deferrals are allocated.
	 
	1.121	 	Primarily Defined Benefit in Character. The term Primarily Defined Benefit in
Character means, for Plan Years beginning on or after January 1, 2002, a combination of
defined benefit plan(s) and defined contribution plan(s) in which, for more than 50% of
Non-Highly Compensated Employees benefiting under the combination of defined benefit and
defined contribution plans, the Normal Accrual Rate for the Non-Highly Compensated Employees
which is attributable to benefits provided by the defined benefit plan(s) that are part of the
combination exceeds the Equivalent Accrual Rate for the Non-Highly Compensated Employees which
is attributable to contributions under the defined contribution plan(s) that are part of the
combination.
	 
	1.122	 	Prior Year Testing Method. The term Prior Year Testing Method means the
nondiscrimination testing method in which (a) for purposes of the ADP Test, the ADP for
Participants who are HCEs for the Plan Year being tested is compared to the ADP for
Participants who are NHCEs for the Plan Year prior to the Plan Year being tested; and (b) for
purposes of the ACP Test, the ACP for Participants who are HCEs for the Plan Year being tested
is compared to the ACP for Participants who are NHCEs for the Plan Year prior to the Plan Year
being tested.

	1.123	 	QJSA. The term QJSA means a Qualified Joint and Survivor Annuity.
	 
	1.124	 	QMAC. The term QMAC means a Qualified Matching Contribution.
	 
	1.125	 	QMAC Account. The term QMAC Account means a Qualified Matching Contribution Account.
	 
	1.126	 	QNEC. The term QNEC means a Qualified Non-Elective Contribution.
	 
	1.127	 	QNEC Account. The term QNEC Account means a Qualified Non-Elective Contribution Account.
	 
	1.128	 	QPSA. The term QPSA means a Qualified Pre-Retirement Survivor Annuity.
	 
	1.129	 	Qualified Joint and Survivor Annuity. The term Qualified Joint and Survivor
Annuity means, with respect to a Participant who is married on the Annuity Starting Date and
has not died before such date, an immediate annuity for the life of the Participant with a
survivor benefit for the life of the Participant’s surviving Spouse which is not less than 50%
nor more than 100% of the annuity that is payable during the joint lives of the Participant
and his or her Spouse and which is the amount of benefit which can be purchased with the
Participant’s Vested Aggregate Account balance. The survivor benefit will be 50% unless a
higher percentage is elected by the Participant at the time that the Qualified Joint and
Survivor Annuity is to be distributed. With respect to a Participant who is not married on the
Annuity Starting Date and has not died before such date, the term “Qualified Joint and
Survivor Annuity” means an immediate annuity for his or her life.
	 
	1.130	 	Qualified Matching Contribution. The term Qualified Matching Contribution means
an Employer contribution made to this or any other defined contribution plan on behalf of a
Participant on account of Elective Deferrals, Voluntary Employee Contributions, and/or
Mandatory Employee Contributions made by such Participant under a plan maintained by the
Sponsoring Employer, that is subject to the distribution (but financial hardship distributions
are not permitted) and nonforfeitability requirements of Code §401(k) when made to the Plan.
Qualified Matching Contributions are available for either the ADP Test or the ACP Test.
Qualified Matching Contributions may be used to satisfy the Top Heavy Minimum Allocation
requirement pursuant to Section 3.12(e). Qualified Matching Contributions can only be
distributed upon the earliest to occur of the following dates: (a) a Participant Terminates
Employment (separates from service, for Plan Years beginning before 2002) with the Employer;
(b) a Participant dies; (c) a Participant suffers a Disability; (d) an event that is described
in

-25-

 

	 	 	Code §401(k)(10) occurs; or (e) a Participant reaches Age 591/2 (if on or before such date, a
pre-retirement in-service withdrawal of Qualified Matching Contributions is permitted under
Section 5.17). With respect to clause (d) of the prior sentence, Qualified Matching
Contributions can be distributed (in a lump sum only) upon termination of the Plan, so long as
the Sponsoring Employer (or an Affiliated Employer) does not maintain an alternative defined
contribution plan at any time during the period beginning on the date of Plan termination and
ending 12 months after all assets have been distributed from the terminated Plan. However, if
at all times during the 24-month period beginning 12 months before the date of Plan’s
termination, fewer than 2% of the Employees who were eligible to participate in the 401(k)
Plan as of the date of the Plan’s termination are eligible to participate in the other defined
contribution plan, the other defined contribution plan is not an alternative defined
contribution plan. In addition, a defined contribution plan is not an alternative defined
contribution plan if the defined contribution plan is an employee stock ownership plan as
defined in Code §4975(e)(7) or Code §409(a), a simplified employee pension as defined in Code
§408(k), a SIMPLE IRA plan as defined in Code §408(p), a plan or contract that is described in
Code §403(b), or a plan that is described in Code §457(b) or Code §457(f).

	1.131	 	Qualified Matching Contribution Account. The term Qualified Matching
Contribution Account means the sub-account of a Participant’s Account to which his or her
Qualified Matching Contributions are allocated.
	 
	1.132	 	Qualified Non-Elective Contribution. The term Qualified Non-Elective
Contribution means an Employer contribution (other than a Matching Contribution or a Qualified
Matching Contribution) that is allocated to Participant’s Account and that satisfies the
following requirements: (a) a Qualified Non-Elective Contribution may be used for the purpose
of satisfying either the ADP or ACP Test; (b) a Participant may not elect to receive a
Qualified Non-Elective Contribution in cash until distributed from the Plan; (c) a Qualified
Non-Elective Contribution is subject to the distribution (but financial hardship distributions
are not permitted) and nonforfeitability requirements of Code §401(k) when made to the Plan.
Qualified Non-Elective Contributions may be used to satisfy the Top Heavy Minimum Allocation
requirement under Section 3.12(e). Any allocation formula for a Qualified Non-Elective
Contribution must satisfy the additional requirements in Regulation §1.401(k)-2(a)(6) in order
to be used in the ADP Test and Regulation §1.401(m)-2(a)(6) in order to be used in the ACP
Test. Qualified Non-Elective Contributions can only be distributed upon the earliest to occur
of the following dates: (a) a Participant Terminates Employment (separates from service, for
Plan Years beginning before 2002) with the Employer; (b) a Participant dies; (c) a Participant
suffers a Disability; (d) an event that is described in Code §401(k)(10) occurs; or (e) a
Participant reaches Age 591/2 (if on or before such date, a pre-retirement in-service withdrawal
of Qualified Non-Elective Contributions is permitted under Section 5.17). With respect to
clause (d) of the prior sentence, Qualified Non-Elective Contributions can be distributed (in
a lump sum only) upon Plan termination so long as the Sponsoring Employer (or an Affiliated
Employer) does not maintain an alternative defined contribution plan at any time during the
period beginning on the date of Plan termination and ending 12 months after all assets have
been distributed from the terminated Plan. However, if at all times during the 24-month period
beginning 12 months before the date of Plan termination, fewer than 2% of the Employees who
were eligible to participate in the 401(k) Plan as of the date of Plan termination are
eligible to participate in the other defined contribution plan, the other defined contribution
plan is not an alternative defined contribution plan. A defined contribution plan is also not
an alternative defined contribution plan if the defined contribution plan is an employee stock
ownership plan as defined in Code §4975(e)(7) or Code §409(a), a simplified employee pension
as defined in Code §408(k), a SIMPLE IRA plan as defined in Code §408(p), a plan or contract
that is described in Code §403(b), or a plan described in Code §457(b) or §457(f).
	 
	1.133	 	Qualified Non-Elective Contribution Account. The term Qualified Non-Elective
Contribution Account means the sub-account of a Participant’s Account to which Qualified
Non-Elective Contributions are allocated.
	 
	1.134	 	Qualified Pre-Retirement Survivor Annuity. The term Qualified Pre-Retirement
Survivor Annuity means a survivor annuity for the life of a deceased Participant’s surviving
Spouse which is equal to the amount of benefit which can be purchased by 100% of the deceased
Participant’s Vested Aggregate Account determined at the date of death. In determining a
Participant’s Vested Aggregate Account hereunder, any security interest held by the Plan
because of a loan outstanding to the Participant will be taken into consideration and, if
applicable, the Participant’s own deductible contributions made for Plan Years prior to
January 1, 1989 will be disregarded.
	 
	1.135	 	Reemployment Commencement Date. The term Reemployment Commencement Date means the
first day on which an Employee performs an Hour of Service for an Employer or an Affiliated
Employer following the Employee’s Termination of Employment.

-26-

 

	1.136	 	Regulation. The term Regulation means any regulation as promulgated by the Secretary of the
Treasury or delegates of the Treasury Department, as amended and/or renumbered from time to
time. If this Plan references a regulation that is promulgated by any other Department,
Agency, Commission, or other federal entity, then the name of such Department, Agency,
Commission, or other federal entity will be referenced with such regulation.

	1.137	 	Representative Contribution Rate. The term Representative Contribution Rate means the lowest Applicable Contribution Rate
of any Participant who is a NHCE among a group of Participants who are NHCEs that consists of
half of all Participants who are NHCEs for the Plan Year (or, if greater, the lowest
Applicable Contribution Rate of any Participant who is a NHCE in the group of all Participants
who are NHCEs for the Plan Year and who is employed by the Sponsoring Employer on the last day
of the Plan Year).

	1.138	 	Representative Matching Rate. The term Representative Matching Rate means the following:

	 	(a)	 	Matching Contributions With Respect to Elective Deferrals. If the Plan
provides a Matching Contribution with respect to a Participant’s Elective Deferrals, then
the lowest Matching Rate for any Participant who is a NHCE among a group of Participants
who are NHCEs that consists of half of all Participants who are NHCEs in the Plan for the
Plan Year who make Elective Deferrals for the Plan Year (or, if greater, the lowest
Matching Rate for all Participants who are NHCEs in the Plan who are employed by the
Sponsoring Employer on the last day of the Plan Year and who make Elective Deferrals for
the Plan Year).
	 
	 	(b)	 	Matching Contributions With Respect to Elective Deferrals and Employee
Contributions. If the Plan provides a Matching Contribution with respect to the sum
of a Participant’s Employee Contributions and Elective Deferrals, then the lowest
Matching Rate for any Participant who is a NHCE among a group of Participants who are
NHCEs that consists of half of all Participants who are NHCEs in the Plan for the Plan
Year who make either Employee Contributions or Elective Deferrals for the Plan Year (or,
if greater, the lowest Matching Rate for all Participants who are NHCEs in the Plan who
are employed by the Sponsoring Employer on the last day of the Plan Year and who make
either Employee Contributions or Elective Deferrals for the Plan Year).
	 
	 	(c)	 	Matching Contributions With Respect to Employee Contributions. If the Plan
provides a Matching Contribution with respect to a Participant’s Employee Contributions
(but not Elective Deferrals), then the lowest Matching Rate for any Participant who is a
NHCE among a group of Participants who are NHCEs that consists of half of all
Participants who are NHCEs in the Plan for the Plan Year who make Employee Contributions
for the Plan Year (or, if greater, the lowest Matching Rate for all Participants who are
NHCEs in the Plan who are employed by the Sponsoring Employer on the last day of the Plan
Year and who make Employee Contributions for the Plan Year).

	1.139	 	Required Aggregation Group. The term Required Aggregation Group means a group consisting of (a) each qualified plan
of the Employer in which at least one Key Employee participates or participated at any time
during the Plan Year containing the Determination Date or any of the four preceding Plan Years
(regardless of whether the plan has terminated); and (b) any other qualified plan of the
Employer which enables a plan described in clause (a) above to satisfy the requirements of
Code §401(a)(4) or §410.
	 
	1.140	 	Required Beginning Date. The term Required Beginning Date means, with respect to a Participant who is a 5% owner
as defined in Code §416(i)(1)(B)(i), April 1st of the calendar year following the calendar
year in which the Participant reaches Age 701/2. With respect to Participants who are not 5%
owners, Required Beginning Date means April 1st of the calendar year following the later of
the calendar year in which the Participant reaches Age 701/2 or the calendar year in which the
Participant actually retires, subject to paragraphs (a), (b) and (c) below:

	 	(a)	 	Election to Defer Distribution. Any Participant (other than a 5% owner)
who attains Age 701/2 in years after 1995 may elect by April 1 of the calendar year
following the year in which the Participant attains Age 701/2 (or by December 31, 1997 in
the case of a Participant who attains Age 701/2 in 1996), to defer distributions until
April 1 of the calendar year following the calendar year in which the Participant
retires. If no such
election is made, the Participant will begin receiving distributions by April 1 of the
calendar year following the calendar year in which the Participant attains Age 701/2.
	 
	 	(b)	 	Election to Suspend Distribution. Any Participant (other than a 5% owner)
who attains age 701/2 in years prior to 1997 may elect to stop distributions and then
recommence such distributions by April 1 of the calendar year following the calendar year
in which the Participant retires. In such an event, the Administrator

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	 	 	 	may, on a uniform
non-discriminatory basis, elect that a new Annuity Starting Date will begin upon the
Participant’s distribution recommencement date.

	 	(c)	 	Elimination of Pre-Retirement Age 701/2 Distribution Option. The
pre-retirement Age 701/2 distribution option will only be eliminated for Employees who
reach Age 701/2 in or after a calendar year that begins after the later of December 31,
1998, or the adoption date of this amended Plan. The pre-retirement Age 701/2 distribution
option is an optional form of benefit under which benefits payable in a particular
distribution form (including any modifications that may be elected after benefit
commencement) begin at a time during the period that begins on or after January 1st of
the calendar year in which an Employee reaches Age 701/2 and ends April 1 of the
immediately following calendar year.

	1.141	 	Rollover . The term Rollover means a Rollover Contribution.
	 
	1.142	 	Rollover Contribution. The term Rollover Contribution means an amount which is eligible for tax free rollover
treatment and is transferred to this Plan from one or more of the plans the Sponsoring
Employer elects, which plans, effective as of January 1, 2002 (or such later date pursuant to
written procedures established and adopted by the Administrator), may include (a) a qualified
plan under Code §401(a); (b) a qualified annuity plan under Code §403(a); (c) a qualified
annuity under Code §403(b); (d) an individual retirement account under Code §408(a), without
regard to whether the individual retirement account is a “conduit individual retirement
account”; (e) an individual retirement annuity under Code §408(b), without regard to whether
the individual retirement annuity is a “conduit individual retirement annuity”; and (f) an
eligible plan under Code §457(b) which is maintained by a state, political subdivision of a
state, or any agency or instrumentality of a state or political subdivision of a state. If
this Plan accepts a Rollover Contribution of Roth Elective Deferrals, it will separately
account for the Roth Elective Deferrals and for any prior (and subsequent) earnings or losses
attributable to such Roth Elective Deferrals. A direct or indirect transfer as defined in Code
§401(a)(11) of assets from a defined benefit plan, a money purchase plan, a target benefit
plan, a stock bonus plan, or a profit sharing plan that provided for a life annuity form of
payment to the Participant will not be considered a Rollover Contribution, but will be
considered a Transfer Contribution. Similarly, any Elective Deferrals (including QNECs, QMACs,
and ADP Safe Harbor Contributions) which are transferred to this Plan in a direct or indirect
trustee-to-trustee transfer from another qualified plan and which are subject to the
limitations in Regulation §1.401(k)-1(d) will not be considered a Rollover Contribution but a
Transfer Contribution.
	 
	1.143	 	Rollover Contribution Account. The term Rollover Contribution Account means the account to which a Participant’s
Rollover Contributions, if any, are allocated.
	 
	1.144	 	Rollover Participant. The term Rollover Participant means an Employee who has made a Rollover Contribution
into the Plan but who is not eligible to participate in any other component of the Plan.
	 
	1.145	 	Roth Elective Deferral. The term Roth Elective Deferral means a Participant’s Elective Deferral that (a) is
includible in the Participant’s gross income at the time that the Elective Deferral is
deferred, and (b) has been irrevocably designated as a Roth Elective Deferral by the
Participant in his or her deferral election.
	 
	1.146	 	Roth Elective Deferral Account. The term Roth Elective Deferral Account means the account into which a Participant’s
Roth Elective Deferrals are allocated and deposited. No contributions other than Roth Elective
Deferrals and properly attributable earnings will be credited to each Participant’s Roth
Elective Deferral Account; and gains, losses and other credits or charges will be allocated on
a reasonable and consistent basis to such Roth Elective Deferral Account. The Plan will
maintain a record of the amount of Roth Elective Deferrals in each Participant’s Roth Elective
Deferral Account. Distributions from a Participant’s Roth Elective Deferral Account (other
than corrective distributions)
are not includible in the Participant’s gross income if the distribution is made after 5 years
and after the Participant’s death, disability, or age 591/2. Earnings on corrective
distributions of Roth Elective Deferrals are includible in the Participant’s gross income in
the same manner as earnings on corrective distributions of Pre-tax Elective Deferrals;
however, corrective distributions of Roth Elective Deferrals are not includible in the
Participant’s gross income.
	 
	1.147	 	Rule of Parity. The term Rule of Parity means a rule that is used for purposes of determining an
Employee’s eligibility to participate in the Plan, Vesting, and benefit accrual/allocation (if
applicable) to determine the Year(s) of Service or 1-Year Period(s) of Service of a non-Vested
Employee who Terminates Employment and is subsequently reemployed by the Employer after
incurring a Break in Service, determined as follows: Year(s) of Service or 1-Year Period(s) of
Service, as applicable, completed prior to the Employee’s Break(s) in Service will

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	 	 	not be
counted if the Employee’s total number of consecutive Break(s) in Service equals or exceeds
the greater of (a) five, or (b) the Employee’s aggregate number of Year(s) of Service or
1-Year Period(s) of Service, as applicable, credited prior to incurring the Break(s) in
Service. In computing an Employee’s aggregate number of Year(s) of Service or 1-Year Period(s)
of Service under this Section, Year(s) of Service or 1-Year Period(s) of Service, as
applicable, previously disregarded under prior applications of the Rule of Parity will not be
counted.

	1.148	 	Safe Harbor Code §415 Compensation. The term Safe Harbor Code §415 Compensation means an Employee’s compensation as
determined under Regulation §1.415-2(d)(10), to wit: Earned Income, wages, salaries, fees for
professional services and other amounts received (without regard to whether or not an amount
is paid in cash) for personal services actually rendered in the course of employment with the
Sponsoring Employer maintaining the Plan to the extent that the amounts are includable in
gross income (including, but not limited to, commissions paid salespersons, compensation for
services based on a percentage of profits, commissions on insurance premiums, tips, bonuses,
fringe benefits, and reimbursements, or other expense allowances under a non-accountable plan
as described in Regulation §1.62-2(c)). Safe Harbor Code §415 Compensation includes amounts
paid or made available to the Employee. An Employee’s Safe Harbor Code §415 Compensation will
be determined in accordance with the following provisions:

	 	(a)	 	Exclusion of Certain Amounts. Safe Harbor Code §415 Compensation does not
include the following: (1) Employer contributions made by the Employer to a plan of
deferred compensation to the extent that, before the application of the Code §415
limitations to that plan, the contributions are not includible in the Employee’s gross
income for the taxable year in which contributed; Employer contributions made on behalf
of an Employee to a simplified employee pension described in Code §408(k) for the taxable
year in which contributed; and any distributions from a plan of deferred compensation
for Code §415 purposes, regardless of whether such amounts are includible in the
Employee’s gross income when distributed; (2) Amounts realized from the exercise of a
non-qualified stock option, or when restricted stock (or property) held by an Employee
either becomes freely transferable or is no longer subject to a substantial risk of
forfeiture; (3) Amounts realized from the sale, exchange or other disposition of stock
acquired under a qualified stock option; and (4) Other amounts which receive special tax
benefits, such as premiums for group-term life insurance (but only to the extent that the
premiums are not includible in the gross income of the employee), or contributions made
by an Employer (whether or not under a salary deferral agreement) towards the purchase of
an annuity described in Code §403(b) (regardless of whether such the contributions are
excludible from an Employee’s gross income).
	 
	 	(b)	 	Inclusion of Certain Amounts. Safe Harbor Code §415 Compensation includes
any elective deferral as defined in Code §402(g)(3) and any amount which is contributed
or deferred by the Employer at the election of the Employee which are not includible in
gross income by reason of Code §125 (including Deemed Code §125 Compensation), Code
§132(f)(4), or Code §457.
	 
	 	(c)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005, Safe
Harbor Code §415 Compensation includes Post-Severance Compensation.

	1.149	 	Safe Harbor 401(k) Contribution. The term Safe Harbor 401(k) Contribution means, collectively or separately, depending
on the context in which the term is used, an ACP Safe Harbor Matching Contribution, an ADP
Safe Harbor Matching Contribution, and/or an ADP Safe Harbor Non-Elective Contribution.
	 
	1.150	 	Safe Harbor 401(k) Plan.  The term Safe Harbor 401(k) Plan means a 401(k) Plan which automatically satisfies the
ADP Test under Code §401(k), pursuant to Section 3.16.
	 
	1.151	 	Safe Harbor 401(m) Plan. The term Safe Harbor 401(m) Plan means a 401(m) Plan which automatically satisfies the
ACP Test under Code §401(m), pursuant to Section 3.17.
	 
	1.152	 	Safe Harbor Notice. The term Safe Harbor Notice means a written notice provided by the Employer to all
Eligible Employees in accordance with Regulation §1.401(k)-3(d) and/or §1.401(m)-3(e) and
complies with the requirements of Section 3.16 and/or 3.17. In addition to any other election
periods that may be provided under the Plan, each Eligible Employee may make an initial
Elective Deferral election or modify a prior Elective Deferral election during the 30-day
period immediately following his or her receipt of a Safe Harbor Notice.
	 
	1.153	 	Safe Harbor Participant. The term Safe Harbor Participant means each Employee who satisfies all of the following
conditions: (a) the Employee is an Eligible Employee for Safe Harbor 401(k) Contribution
purposes as

-29-

 

	 	 	set forth in a Safe Harbor 401(k) Addendum; (b) the Employee has satisfied the age
and/or service requirements for Safe Harbor 401(k) Contribution purposes as set forth in a
Safe Harbor 401(k) Addendum (unless such requirements have been waived with respect to the
Employee as set forth in a Safe Harbor 401(k) Addendum; (c) the Employee has entered the Plan
as a Participant for Safe Harbor 401(k) Contribution purposes as set forth in a Safe Harbor
401(k) Addendum; and (d) the Employee is eligible to make an Elective Deferral to the Plan at
any time during the Plan Year or would be eligible to make Elective Deferrals but for a
suspension due to a financial hardship distribution or a statutory limitation (such as the
limits of Code §402(g) or §415).

	1.154	 	Self-Employed Individual. The term Self-Employed Individual means an individual who owns an interest in the
Employer (other than a stock interest) and has Earned Income for the taxable year from the
trade or business for which the Plan is established or would have had Earned Income but for
the fact that the trade or business had no net profits for the taxable year.
	 
	1.155	 	Service. The term Service means Years of Service when the Counting of Hours Method is being used
and Periods of Service when the Elapsed Time Method is being used.
	 
	1.156	 	Sponsor Stock. The term Sponsor Stock means the common stock of the Sponsoring
Employer.
	 
	1.157	 	Sponsoring Employer. The term Sponsoring Employer means The Men’s Wearhouse, Inc. (and any successor thereto
that elects to assume sponsorship of this Plan).
	 
	1.158	 	Spousal. The term Spousal means of, or related to, a Spouse.
	 
	1.159	 	Spouse. The term Spouse means the person to whom a Participant is legally married. Furthermore,
a former Spouse will be treated as the Participant’s Spouse or surviving Spouse to the extent
provided under a qualified domestic relations order as described in Code §414(p).
	 
	1.160	 	Statutory Code §415 Compensation. The term Statutory Code §415 Compensation means, in applying the Code §415 limits, an
Employee’s compensation as determined under Regulation §1.415-2(d)(2) and (3), to wit:

	 	(a)	 	Amounts Includable as Statutory Code §415 Compensation. Statutory Code
§415 Compensation includes all of the following: (1) wages, salaries, fees for
professional services and other amounts received (without regard to whether or not an
amount is paid in cash) for personal services actually rendered in the course of
employment with the Sponsoring Employer maintaining the Plan to the extent that the
amounts are includable in gross income (including, but not limited to, commissions paid
salespersons, compensation for services based on a percentage of profits, commissions on
insurance premiums, tips, bonuses, fringe benefits,
and reimbursements, or other expense allowances under a non-accountable plan as described
in Regulation §1.62-2(c)); (2) in the case of a Self-Employed Individual, Earned Income;
(3) amounts described in Code §104(a)(3), §105(a) and 105(h), but only to the extent these
amounts are includible in the gross income of the Employee; (4) amounts paid or reimbursed
by the Employer for moving expenses incurred by the Employee, but only to the extent that
at the time of the payment it is reasonable to believe that these amounts are not
deductible by the Employee under Code §217; (5) the value of a non-qualified stock option
granted to an Employee by the Employer, but only to the extent that the value of the
option is includible in the gross income of the Employee for the taxable year in which
granted; and (6) the amount includible in the gross income of an Employee upon making the
election described in Code §83(b). Clauses (1) and (2) above include foreign earned income
(as defined in Code §911(b)), regardless of whether excludible from gross income under
Code §911. Compensation determined under clause (1) above is to be determined without
regard to the exclusions from gross income in Code §931 and §933. Similar principles are
to be applied with respect to income subject to Code §931 and §933 in determining
compensation described in clause (2). Statutory Code §415 Compensation includes amounts
paid or made available to the Employee.
	 
	 	(b)	 	Exclusion of Certain Amounts. Statutory Code §415 Compensation does not
include (1) Employer contributions made by the Employer to a plan of deferred
compensation to the extent that, before the application of the Code §415 limitations to
that plan, the contributions are not includible in the Employee’s gross income for the
taxable year in which contributed; Employer contributions made on behalf of an Employee
to a simplified employee pension described in Code §408(k) for the taxable year in which
contributed; and any distributions from a plan of deferred compensation for Code §415
purposes, regardless of whether such amounts are includible in the Employee’s gross
income when distributed; (2) amounts realized from the exercise of a non-qualified stock
option, or when restricted stock (or property) held by an

-30-

 

	 	 	 	Employee either becomes freely
transferable or is no longer subject to a substantial risk of forfeiture; (3) amounts
realized from the sale, exchange or other disposition of stock acquired under a qualified
stock option; and (4) other amounts which receive special tax benefits, such as premiums
for group-term life insurance (but only to the extent that the premiums are not
includible in the gross income of the employee), or contributions made by an Employer
(whether or not under a salary deferral agreement) towards the purchase of an annuity
described in Code §403(b) (regardless of whether such the contributions are excludible
from an Employee’s gross income).

	 	(c)	 	Inclusion of Certain Amounts. Statutory Code §415 Compensation includes
any elective deferral as defined in Code §402(g)(3) and any amount which is contributed
or deferred by the Employer at the election of the Employee which are not includible in
gross income by reason of Code §125 (including Deemed Code §125 Compensation), Code
§132(f)(4), or Code §457.
	 
	 	(d)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005,
Statutory Code §415 Compensation includes Post-Severance Compensation.

	1.161	 	Substantially Equal. The term Substantially Equal means a series of installment payments in which a single
installment payment is equal to the Participant’s Account balance as of the most recent
Valuation Date divided by the remaining duration of the installment payments; or such other
method to determine a series of installment payments that are substantially equal that may be
established by the Administrator.
	 
	1.162	 	Terminated (or Terminates) Employment. The terms Terminated Employment and Terminates Employment mean that a person has
incurred a Termination of Employment.
	 
	1.163	 	Terminated Participant. The term Terminated Participant means a Participant who has Terminated Employment for
reasons other than retirement, death or Disability.
	 
	1.164	 	Termination of Employment. The term Termination of Employment means that a person ceases to be an Employee with
the Employer or an Affiliated Employer, taking into account the following: (1) the existence
of a controlled group; (2) the existence of an affiliated service group; (3) whether the
person has gone to work for an Adopting Employer; (4) whether the person’s new employer has
been substituted as the sponsor of the Plan (or a spun-off portion of the Plan); and
(5) whether there has been a transfer of Plan assets and liabilities of the person’s benefits
from this Plan to a plan sponsored by the person’s new employer.
	 
	1.165	 	Top Heavy. The term Top Heavy means for the Plan Year containing the Determination Date that (a)
the Top Heavy Ratio for this Plan exceeds 60% and this Plan is not part of any Required
Aggregation Group or Permissive Aggregation Group; or (b) this Plan is a part of a Required
Aggregation Group but not part of a Permissive Aggregation Group and the Top Heavy Ratio for
the Required Aggregation Group exceeds 60%; or (c) this Plan is a part of a Required
Aggregation Group and part of a Permissive Aggregation Group and the Top Heavy Ratio for the
Permissive Aggregation Group exceeds 60%.
	 
	1.166	 	Top Heavy Minimum Allocation. The term Top Heavy Minimum Allocation means an amount of Employer contributions and
Forfeitures that is subject to the following rules:

	 	(a)	 	DB Plan not Part of Required Aggregation Group or Permissive Aggregation Group
with This Plan. If a defined benefit plan is not part of a Required Aggregation
Group or a Permissive Aggregation Group with this Plan, then the Top Heavy Minimum
Allocation equals an Employee’s Code §415(c)(3) Compensation multiplied by the lesser of
(1) three percent (3%), or (2) the largest percentage of Employer contributions
(including any Elective Deferrals made on behalf of a Key Employee to a 401(k) Plan
maintained by the Employer) and Forfeitures that are allocated to the Participant’s
Account of a Key Employee for that Plan Year, expressed as a percentage of such Key
Employee’s Code §415(c)(3) Compensation.
	 
	 	(b)	 	Certain Contributions Cannot Be Used to Satisfy Top Heavy Minimum
Allocation. Elective Deferrals that are made on behalf of a Participant to a 401(k)
Plan (and, for Plan Years beginning before 2002, Matching Contributions) cannot be used
to satisfy the Top Heavy Minimum Allocation.
	 
	 	(c)	 	Social Security Contribution Disregarded. The Top Heavy Minimum Allocation
is determined without regard to any Social Security contribution.

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	 	(d)	 	Forfeiture of Top Heavy Minimum Allocation. The Top Heavy Minimum
Allocation (to the extent required to be nonforfeitable under Code §416(b)) may not be
forfeited under Code §411(a)(3)(B) or §411(a)(3)(D).

	1.167	 	Top Heavy Ratio. The term Top Heavy Ratio means for Plan Years beginning on or after January 1, 2002, in
determining if this Plan is Top Heavy, a ratio that is calculated in accordance with the
following provisions:

	 	(a)	 	Employer Only Maintains DC Plans. If the Employer maintains one or more
defined contribution plans (including any Simplified Employee Pension Plan) and the
Employer has not maintained any defined benefit plan which during the 5-year period
ending on the Determination Date(s) has or has had accrued benefits, then the Top Heavy
Ratio for this Plan alone, for the Required Aggregation Group, or for the Permissive
Aggregation Group as appropriate is a fraction, the numerator of which is the sum of the
Participant’s Account balances of all Key Employees as of the Determination Date(s)
(including any part of any Participant’s Account balance distributed during the 1-year
period ending on the Determination Date(s); however, including any part of any
Participant’s Account balance distributed during the 5-year period ending on the
Determination Date in the case of a distribution made for a reason other than Termination
of Employment, death, or Disability), and the denominator of which is the sum of all
Participant’s Account balances (including any part of any Participant’s Account balance
distributed in the 1-year period ending on the Determination Date(s); however, including
any part of any Participant’s Account balance distributed during the 5-year period ending
on the Determination Date in the case of a distribution made for a reason other than
Termination of Employment, death, or Disability), both computed in accordance with Code
§416 and the Regulations thereunder. Both the numerator and denominator of the Top Heavy
Ratio are increased to reflect any contribution that is not actually made as of the
Determination Date, but which is required to be taken into account on that Determination
Date under Code §416 and the Regulations thereunder.
	 
	 	(b)	 	Employer Maintains Both DB and DC Plans. If the Employer maintains one or
more defined contribution plans (including any Simplified Employee Pension Plan) and the
Employer maintains or has maintained one or more defined benefit plans which during the
5-year period ending on the Determination Date(s) has or has had any accrued benefits,
then the Top Heavy Ratio for any Required Aggregation Group or for any
Permissive Aggregation Group as appropriate is a fraction, the numerator of which is the
sum of the Participant’s Account balances under the aggregated defined contribution plan
or plans for all Key Employees, determined in accordance with paragraph (a) above, and the
present value of accrued benefits under the aggregated defined benefit plan or plans for
all Key Employees as of the Determination Date(s), and the denominator of which is the sum
of the Participant’s Account balances under the aggregated defined contribution plan or
plans for all Participants, determined in accordance with paragraph (a) above, and the
present value of accrued benefits under the defined benefit plan or plans for all
Participants as of the Determination Date(s), all determined in accordance with Code §416
and the Regulations thereunder. The accrued benefits under a defined benefit plan in both
the numerator and denominator of the Top Heavy Ratio are increased for any distribution of
an accrued benefit made in the 1-year period ending on the Determination Date (or the
5-year period ending on the Determination Date in the case of a distribution made for a
reason other than Termination of Employment, death, or Disability).
	 
	 	(c)	 	Value of Participant’s Account Balances and the Present Value of Accrued
Benefits. For purposes of paragraphs (a) and (b), the value of the Participant’s
Account balances and the present value of accrued benefits will be determined as of the
most recent Valuation Date that falls within or ends with the 12-month period ending on
the Determination Date, except as provided in Code §416 and the Regulations for the first
and second Plan Years of a defined benefit plan. The Participant’s Account balances and
accrued benefits will be disregarded for a Participant (1) who is not a Key Employee
during the 12-month period ending on the Determination Date but was a Key Employee in a
prior year, or (2) who has not been credited with at least one Hour of Service with any
Employer maintaining the Plan at any time during the 1-year period ending on the
Determination Date. The calculation of the Top Heavy Ratio and the extent to which
distributions, Rollover Contributions, and Transfer Contributions are taken into account
will be made in accordance with Code §416 and the Regulations thereunder. Deductible
employee contributions will not be taken into account in computing the Top Heavy Ratio.
When aggregating plans, the value of the Participant’s Account balances and accrued
benefits will be calculated with reference to the Determination Dates that fall within
the same calendar year. The accrued benefit of a Participant other than a Key Employee
will be determined under (1) the method, if any, that uniformly applies for accrual
purposes under all defined benefit plans maintained by the Employer, or (2) if there is
no such method, then as if such benefit accrued not more rapidly than the slowest accrual
rate permitted under the fractional rule of Code §411(b)(1)(C).

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	 	(d)	 	Computing Present Values. In establishing the present value of accrued
benefits to compute the Top Heavy Ratio, benefits not in pay status are handled on the
basis that retirement occurs on the automatic vesting date or, if later, the date of
reference. Benefits are discounted only for interest and mortality. Unless different
actuarial assumptions are elected in an administrative policy that is promulgated under
Section 8.6 by the Administrator, the following factors apply: (1) with respect to the
interest assumption: (i) pre-retirement: 6% interest, and (ii) post-retirement: 5%
interest; and (2) with respect to the mortality assumption: (i) pre-retirement: no
mortality assumption, and (ii) post-retirement: the mortality assumption will be the
1994 Group Annuity Reserving Mortality Table projected to 2002 based on a fixed blend of
50% of the unloaded Male mortality rates and 50% of the unloaded Female mortality rates
(the 1994 GAR Mortality Table) as set forth in Revenue Ruling 2001-62.

	1.168	 	Transfer Contribution. The term Transfer Contribution means a non-taxable transfer of a Participant’s benefit
directly or indirectly from another qualified plan to this Plan. Transfer Contributions
include assets transferred to this Plan from another plan as a result of a merger or similar
transaction involving this Plan and the other plan. Any direct or indirect transfer as defined
in Code §401(a)(11) of assets from a defined benefit plan, a money purchase plan, a target
benefit plan, a stock bonus plan, or a profit sharing plan that provided for a life annuity
form of payment to the Participant will be considered a Transfer Contribution. Elective
Deferrals (including QNECs, QMACs, and ADP Safe Harbor Contributions) which are transferred to
this Plan in a direct or indirect trustee-to-trustee transfer from another qualified plan and
which remain subject to the limitations in Regulation §1.401(k)-1(d) will be considered a
Transfer Contribution. The assets that are transferred from another qualified plan in a
plan-to-plan elective transfer pursuant to Section 11.4 will also be considered a Transfer
Contribution.
	 
	1.169	 	Transfer Contribution Account. The term Transfer Contribution Account means the account to which a Participant’s
Transfer Contributions, if any, are allocated.
	 
	1.170	 	Trustee. The term Trustee means the persons or entity named as trustee or trustees of the Trust.
	 
	1.171	 	Trust (or Trust Fund). The term Trust or Trust Fund means the assets of the Plan.
	 
	1.172	 	Valuation Calendar Year. The term Valuation Calendar Year means, for purposes of required minimum distributions
under Section 5.9, the calendar year immediately preceding a Distribution Calendar Year.
	 
	1.173	 	Valuation Date. The term Valuation Date means the date when the Trustee determines the value of the
Trust Fund. A Valuation Date of the Trust Fund must occur as of the last day of each Plan
Year. However, the Administrator can value all or any portion of the assets of the Trust Fund
more frequently, including, but not limited to, semi-annually, quarterly, monthly, or daily;
the Administrator may implement any additional Valuation Dates for any reason. For purposes of
calculating the Top Heavy Ratio, the term “Valuation Date” means the date when the
Participant’s Account balances or accrued benefits are valued.
	 
	1.174	 	Vested Aggregate Account. The term Vested Aggregate Account means a Participant’s Vested Interest in the
aggregate value of his or her Participant’s Account and any accounts attributable to the
Participant’s own Plan contributions (including the Participant’s Rollover Contribution
Account and Transfer Contribution Account).
	 
	1.175	 	Vested, Vested Interest or Vesting. The terms Vested, Vested Interest and Vesting mean a Participant’s nonforfeitable
percentage in an account maintained on his or her behalf under the Plan. A Participant’s
Vested Interest in his or her Participant’s Account will be determined in accordance with
Section 4.6.
	 
	1.176	 	Vesting Computation Period. The term Vesting Computation Period means a period of twelve consecutive months which
is used for purposes of determining a Participant’s Vested Interest in the Plan (or a
component of the Plan). An Employee’s initial Vesting Computation Period will begin on the
Employee’s Employment Commencement Date, and each subsequent Vesting Computation Period will
begin on each anniversary of the Employee’s Employment Commencement Date.
	 
	1.177	 	Voluntary Employee Contribution. The term Voluntary Employee Contribution means an Employee Contribution which is made
voluntarily to the Plan by a Participant.
	 
	1.178	 	Voluntary Employee Contribution Account. The term Voluntary Employee Contribution Account means the sub-account to which a
Participant’s Voluntary Employee Contributions, if any, are allocated.

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	1.179	 	Year of Service. The term Year of Service means, with respect to any provision of the Plan in which
service is determined by the Counting of Hours Method, a 12-consecutive month computation
period during which an Employee is credited with at least a specified number of Hours of
Service with the Employer, an Affiliated Employer, or an Adopting Employer,
determined in accordance with the following provisions:

	 	(a)	 	Year of Service for Eligibility. For any Plan Year in which the
eligibility requirements under Section 2.1 are based on Years of Service, a Year of
Service is an Eligibility Computation Period during which an Employee is credited with at
least 1,000 Hours of Service. An Employee’s initial Eligibility Computation Period will
begin on his or her Employment Commencement Date. If the Employee is credited with at
least 1,000 Hours of Service in both the initial Eligibility Computation Period and the
second Eligibility Computation Period, the Employee will be credited with two Years of
Service for eligibility purposes. If any Eligibility Computation Period is less than 12
consecutive months, the Hours of Service requirement set forth herein will be
proportionately reduced (if it is greater than one) in determining whether an Employee is
credited with a Year of Service during such short Eligibility Computation Period. In
determining the eligibility requirements and the applicable entry date under Section 2.1,
an Employee will be deemed to have completed a Year of Service on the last day of the
applicable Eligibility Computation Period during which the Employee is credited with the
required Hours of Service.
	 
	 	(b)	 	Year of Service for Vesting. For any Plan Year in which a Participant’s
Vested Interest under Section 4.6 is based on Years of Service, a Year of Service is a
Vesting Computation Period during which an Employee is credited with at least 1,000 Hours
of Service. If a Vesting Computation Period is less than 12 consecutive months, the Hours
of Service requirement set forth herein will be proportionately reduced (if it is greater
than one) in determining whether an Employee is credited with a Year of Service during
such short Vesting Computation Period. Alternatively, with respect to a short Vesting
Computation Period, an Employee will be credited with a Year of Service pursuant to
Department of Labor Regulation §2530.203 2(c).
	 
	 	(c)	 	Prior Service Credit. For purposes of determining an Employee’s
eligibility to participate in the Plan under Section 2.1 and determining an Employee’s
vesting under Section 4.6, an Employee who was employed by After Hours Formalwear, Inc.
on April 9, 2007, shall also receive for a computation period an Hour of Service credit
for each “Hour of Service” (as that term was defined in the After Hours Formalwear Profit
Sharing Plan) that was credited to such Employee under the After Hours Formalwear Profit
Sharing Plan as of April 9, 2007.
	 
	 	(d)	 	Reemployment of an Employee Before a Break In Service and Before Eligibility
Requirements Are Satisfied. For any Plan Year in which the eligibility requirements
under Section 2.1 are based on Years of Service, if an Employee Terminates Employment
with the Employer prior to satisfying the eligibility requirements in Section 2.1 and the
Employee is subsequently reemployed by the Employer before incurring a Break in Service,
then (1) the Employee’s pre-termination Year(s) of Service (and Hours of Service during
any computation period) will be counted in determining the satisfaction of such
eligibility requirements, and for all other purposes, as applicable, and (2) the
Eligibility Computation Period, Vesting Computation Period, and/or benefit accrual
computation period, as applicable, will remain unchanged.
	 
	 	(e)	 	Reemployment of an Employee Before a Break In Service and After Eligibility
Requirements Are Satisfied. For any Plan Year in which the eligibility requirements
under Section 2.1 are based on Years of Service, if an Employee Terminates Employment
prior to the Employee’s Entry Date in Section 2.1, the Employee had satisfied the
eligibility requirements in Section 2.1 as of the Employee’s Termination of Employment,
and the Employee is subsequently reemployed by the Employer before incurring a Break in
Service, then (1) the Employee will become a Participant as of the later of (A) the date
that the Employee would enter the Plan had he or she not Terminated Employment with the
Employer, or (B) the Employee’s Reemployment Commencement Date, (2) the Employee’s
pre-termination Year(s) of Service (and Hours of Service during any computation period)
will be counted for all purposes, and (3) the Vesting Computation Period and/or benefit
accrual computation period, as applicable, will remain unchanged.
	 
	 	(f)	 	Reemployment of a Participant Before a Break In Service. For any Plan Year
in which the eligibility requirements under Section 2.1 are based on Years of Service, if
an Employee Terminates Employment after becoming a Participant and is subsequently
reemployed by the Employer before incurring a Break in Service, then (1) the reemployed
Employee will reenter the Plan as of the Employee’s Reemployment Commencement Date, (2)
the Employee’s pre-termination Year(s) of Service (and Hours of Service during

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	 	 	 	any
computation period) will be counted for all purposes, as applicable, and (3) the Vesting
Computation Period and/or benefit accrual computation period, as applicable, will remain
unchanged.

	 	(g)	 	Reemployment of an Employee After a Break In Service and Before the Entry
Date. For any Plan Year in which the eligibility requirements in Section 2.1 are
based on Years of Service, if an Employee Terminates Employment with the Employer either
prior to or after satisfying the eligibility requirements in Section 2.1 (but before the
Employee’s Entry Date in Section 2.1) and the Employee is subsequently reemployed by the
Employer after incurring a Break in Service, then the Employee’s Years of Service that
were completed prior to the Break in Service will be recognized, subject to the following
provisions:

	 	(1)	 	Determination of Years of Service for Eligibility Using the Rule of
Parity. Any Years of Service completed prior to an Employee’s Break(s) in
Service will not be counted in determining an Employee’s eligibility to participate
in the Plan if those Year(s) of Service are disregarded pursuant to the Rule of
Parity. If such former Employee’s Year(s) of Service are disregarded under the Rule
of Parity, then (A) the reemployed Employee will be treated as a new Employee for
purposes of Section 2.1 and (B) the Employee’s Eligibility Computation Period will
commence on the Employee’s Reemployment Commencement Date and subsequent Eligibility
Computation Periods will be based upon the provisions of the definition of
Eligibility Computation Period (with the Reemployment Commencement Date
substituted for the Employment Commencement Date, if applicable). If the Employee has
not satisfied the eligibility requirements in Section 2.1 as of the Employee’s
Reemployment Commencement Date and such former Employee’s Year(s) of Service are not
disregarded under the Rule of Parity, then the Eligibility Computation Periods will
remain unchanged. If the Employee has satisfied the eligibility requirements in
Section 2.1 as of the Employee’s Reemployment Commencement Date and such former
Employee’s Year(s) of Service are not disregarded under the Rule of Parity, the
reemployed Employee will enter the Plan as of the Employee’s Reemployment Commencement
Date.
	 
	 	(2)	 	Determination of Years of Service for Vesting. Any Years of
Service completed prior to an Employee’s Break(s) in Service will not be counted in
determining an Employee’s Vesting Interest in the Participant’s Account balance if
those Year(s) of Service are disregarded pursuant to the Rule of Parity. If such
former Employee’s Year(s) of Service are disregarded under the Rule of Parity, then
the Employee’s Vesting Computation Period will commence on the Employee’s
Reemployment Commencement Date (and subsequent Vesting Computation Periods will
commence on anniversaries of the Employee’s Reemployment Commencement Date). If such
former Employee’s Year(s) of Service are not disregarded under the Rule of Parity,
then the Vesting Computation Periods will remain unchanged.
	 
	 	(3)	 	Determination of Years of Service for Benefit Accrual/Allocation
Purposes. Any Years of Service completed prior to an Employee’s Break(s) in
Service will not be counted for benefit accrual or allocation purposes if those
Year(s) of Service are disregarded pursuant to the Rule of Parity.

	 	(h)	 	Reemployment of a Participant After a Break In Service. For any Plan Year
in which the eligibility requirements under Section 2.1 are based on Years of Service, if
an Employee (1) was a Participant in the Plan, (2) Terminates Employment with the
Employer, and (3) is subsequently reemployed by the Employer after incurring a Break in
Service, then the Employee’s Year(s) of Service that were completed prior to the Break in
Service will be recognized, subject to the following provisions:

	 	(1)	 	Determination of Years of Service for Eligibility Purposes. Any
Year(s) of Service completed prior to an Employee’s Break(s) in Service will not be
counted in determining an Employee’s eligibility to participate in the Plan if those
Year(s) of Service are disregarded pursuant to the Rule of Parity. If such Employee’s
Year(s) of Service are disregarded under the Rule of Parity, then (A) the reemployed
Employee will be treated as a new Employee for purposes of Section 2.1 and (B) the
Employee’s Eligibility Computation Period will commence on the Employee’s
Reemployment Commencement Date and subsequent Eligibility Computation Periods will be
based upon the provisions of the definition of Eligibility Computation Period (with
the Reemployment Commencement Date substituted for the Employment Commencement Date,
if applicable). If such former Employee’s Year(s) of Service are not disregarded
under the Rule of Parity, then the reemployed Employee will reenter the Plan as of
the Employee’s Reemployment Commencement Date.
	 
	 	(2)	 	Determination of Years of Service for Vesting Purposes. Any
Year(s) of Service that were completed prior to an Employee’s Break(s) in Service
will not be counted for purposes of determining an

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	 	 	 	Employee’s Vesting Interest in the
Participant’s Account balance if those Year(s) of Service are disregarded pursuant to
the Rule of Parity. If such former Employee’s Year(s) of Service are disregarded
under the Rule of Parity, then the Employee’s Vesting Computation Period will
commence on the Employee’s Reemployment Commencement Date (and subsequent Vesting
Computation Periods will commence on anniversaries of the Employee’s Reemployment
Commencement Date). If such former Employee’s Year(s) of Service are not disregarded
under the Rule of Parity, then the Vesting Computation Periods will remain unchanged.

	 	(3)	 	Determination of Years of Service for Benefit Accrual/Allocation
Purposes. Any Year(s) of Service that were completed prior to an Employee’s
Break(s) in Service will not be counted for benefit accrual or allocation purposes if
those Year(s) of Service are disregarded pursuant to the Rule of Parity.

	 	(i)	 	Ignoring Service for Eligibility If Service Requirement for Eligibility Is More
Than 1 Year of Service. Notwithstanding anything in the Plan to the contrary, if
this Plan (or a component of the Plan) provides at any time that an Employee must
complete more than one (1) Year of Service for eligibility purposes, and such Employee
will have a 100% Vested Interest in the Participant’s Account (or the sub-Account that
relates to such component) upon becoming a Participant in the Plan, then with respect to
an Employee who incurs a Break in Service before satisfying such eligibility requirement
(1) the Employee’s Year(s) of Service (and Hours of Service) that were completed prior to
the Employee’s Break(s) in Service will not be counted for eligibility purposes, and (2)
the Employee’s Eligibility Computation Period will commence on the Employee’s
Reemployment Commencement Date and subsequent Eligibility Computation Periods will be
based upon the provisions of the definition of Eligibility Computation Period (with the
Reemployment Commencement Date substituted for the Employment Commencement Date, if
applicable).

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Article 2

Plan Participation

	2.1	 	Eligibility and Entry Date Requirements . An Eligible Employee who was a Participant on June 30, 2011 will continue to
participate in the Plan. Otherwise, an Eligible Employee will become eligible to enter the
Plan as a Participant in accordance with the following provisions:

	 	(a)	 	Elective Deferrals. An Eligible Employee will be eligible to enter the
Elective Deferral component of the Plan as a Participant in accordance with the following
provisions:

	 	(1)	 	Eligible Employees. For purposes of this Section 2.1(a), all
Employees are Eligible Employees except for the following ineligible classes of
Employees: (A) Employees whose employment is governed by a collective bargaining
agreement between Employee representatives and the Employer in which retirement
benefits were the subject of good faith bargaining unless such collective bargaining
agreement expressly provides for the inclusion of such Employees as Participants; (B)
any person who is considered a Leased Employee but who (i) is not covered by a plan
described in Code §414(n)(5), or (ii) is covered by a plan described in Code
§414(n)(5) but Leased Employees constitute more than 20% of the Employer’s non-highly
compensated workforce; and (C) any Employee who is classified as an independent
contractor. An employee who is a nonresident alien and receives no earned income
from any affiliated employer that constitutes income from sources within the United
States is not eligible to participate. An employee who is a nonresident alien and
who does receive earned income from any affiliated employer that constitutes income
from sources within the United States all of which is exempt from the United States
income tax under an applicable tax convention is not eligible to participate. An
employee who is expatriated to the United States from another country for so long as
he continues to accrue deferred compensation or retirement benefits under any
agreement or program to which an affiliated employer other than an employer is a
party is not eligible to participate. An employee who is employed outside the United
States is not eligible to participate unless the committee elects to permit him to
participate in the plan..
	 
	 	(2)	 	Eligibility Requirements. For purposes of this Section 2.1(a), an
Eligible Employee described in Section 2.1(a)(1) will be eligible to enter the Plan
as a Participant on the applicable entry date described in Section 2.1(a)(3) upon
being credited with a 90-day Period of Service.
	 
	 	(3)	 	Entry Date. For purposes of this Section 2.1(a), an Eligible
Employee described in Section 2.1(a)(1) who has satisfied the eligibility
requirements in Section 2.1(a)(2) will enter the Plan as a Participant on the same
date such requirements are satisfied.

	 	(b)	 	Non-Safe Harbor Matching Contributions. An Eligible Employee will be
eligible to enter the Plan as a Participant for the purpose of receiving allocations of
any Non-Safe Harbor Matching Contributions made to the Plan in accordance with the
following provisions:

	 	(1)	 	Eligible Employees. For purposes of this Section 2.1(b), all
Employees are Eligible Employees except for the following ineligible classes of
Employees: (A) Employees whose employment is governed by a collective bargaining
agreement between Employee representatives and the Employer in which retirement
benefits were the subject of good faith bargaining unless such collective bargaining
agreement expressly provides for the inclusion of such Employees as Participants; (B)
any person who is considered a Leased Employee but who (i) is not covered by a plan
described in Code §414(n)(5), or (ii) is covered by a plan described in Code
§414(n)(5) but Leased Employees constitute more than 20% of the Employer’s non-highly
compensated workforce; and (C) any Employee who is classified as an independent
contractor. An employee who is a nonresident alien and receives no earned income
from any affiliated employer that constitutes income from sources within the United
States is not eligible to participate. An employee who is a nonresident alien and
who does receive earned income from any affiliated employer that constitutes income
from sources within the United States all of which is exempt from the United States
income tax under an applicable tax convention is not eligible to participate. An
employee who is expatriated to the United States from another country for so long as
he continues to accrue deferred compensation or retirement benefits under any
agreement or program to which an affiliated employer other than an employer is a
party is not eligible to participate. An employee who is
employed outside the United States is not eligible to participate unless the committee
elects to permit him to participate in the plan..

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	 	(2)	 	Eligibility Requirements. For purposes of this Section 2.1(b), an
Eligible Employee described in Section 2.1(b)(1) will be eligible to enter the Plan
as a Participant on the applicable entry date described in Section 2.1(b)(3) upon
being credited with a 90-day Period of Service.
	 
	 	(3)	 	Entry Date. For purposes of this Section 2.1(b), an Eligible
Employee described in Section 2.1(b)(1) who has satisfied the eligibility
requirements in Section 2.1(b)(2) will enter the Plan as a Participant on the same
date such requirements are satisfied.

	 	(c)	 	Safe Harbor 401(k) Contributions. For any year in which this is a Safe
Harbor 401(k) Plan, the eligibility requirements and entry date for the purpose, and only
for the purpose, of entering the Plan as a Participant in order to receive an allocation
of Safe Harbor 401(k) Contributions are as set forth in a Safe Harbor 401(k) Addendum
executed by the Sponsoring Employer.
	 
	 	(d)	 	Participation By Employees Whose Status Changes. If an Employee who is not
an Eligible Employee with respect to a particular type of contribution (or a component of
the Plan) becomes an Eligible Employee for such contribution (or component), then the
Employee will participate in the Plan immediately with respect to that type of
contribution (or component), so long as (1) the Employee has satisfied the minimum age
and service requirements for that type of contribution (or component) and (2) the
Employee would have previously become a Participant with respect to that type of
contribution (or component) had the Employee always been an Eligible Employee for that
type of contribution (or component). The participation of a Participant who is no longer
an Eligible Employee with respect to a particular type of contribution (or component)
will be suspended and such Participant will be entitled to an allocation of that type of
contribution (and any applicable Forfeitures) for the Allocation Period only to the
extent of any applicable Hours of Service completed while an Eligible Employee for that
type of contribution (or component). Upon again becoming an Eligible Employee with
respect to that type of contribution (or component), a suspended Participant will
immediately resume eligibility with respect to that type of contribution. Years of
Service or Periods of Service while an Employee is not an Eligible Employee will be
recognized for purposes of determining the Vested Interest of such Employee with respect
to a particular type of contribution (or component) in accordance with Section 4.6.

	2.2	 	Waiver of Participation. An Employee who has satisfied the eligibility requirements set forth in Section 2.1 is
not permitted to waive participation in the Plan.
	 
	2.3	 	Reemployment After Termination. If an Employee terminates employment and is subsequently reemployed by the Employer or
an Affiliated Employer, such Employee’s Periods of Service for purposes of eligibility (as
well as the time such Employee enters or reenters the Plan as a Participant) will be
determined in accordance with the rules described in the definition of Period of Service in
Section 1.112.

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Article 3

Contributions and Allocations

	3.1	 	General Contribution and Allocation Provisions. The Employer intends to make contributions to the Plan, unless the Plan is a frozen
Plan, subject to the following provisions:

	 	(a)	 	Types and Amount of Contributions. The type and the amount of the
contribution will be determined by the Employer, and such determination by the Employer
will be binding on the Trustee, Administrator and all Participants and may not be
reviewed in any manner.
	 
	 	(b)	 	No Guarantee. The Employer does not guarantee either the making of
Employer contributions or the payment of benefits under the Plan. The Employer reserves
the right to reduce, suspend or discontinue contributions for any reason at any time;
however, if the Plan is deemed to be terminated as a result of such reduction, suspension
or discontinuance, then the provisions of Article 11 will become effective.
	 
	 	(c)	 	Limitations on Contributions. Notwithstanding any provision of this
Article, (1) no Employer contribution will be made for any Participant who is not a
Benefiting Participant for an Allocation Period unless otherwise required by the Top
Heavy Minimum Allocation provisions in Section 3.12; and (2) if the Plan provides
contributions or benefits for Employees some or all of whom are owner-employees as
defined in Code §401(c)(3), such contributions or benefits can only be provided with
respect to the Earned Income of such owner-employees derived from the trade or business
with respect to which the Plan is established.
	 
	 	(d)	 	Frequency of Contributions and Allocations. Any Employer contribution that
is made under the terms of the Plan may, at the election of the Administrator, be
contributed (1) each payroll period; (2) each month; (3) each Plan quarter; (4) on an
annual basis; or (5) on any Allocation Period as determined by the Employer, provided
that such Allocation Period does not discriminate in favor of Highly Compensated
Employees. The Employer may elect a different Allocation Period for each type of Employer
contribution. Employer contributions will be allocated based on the applicable Allocation
Period.
	 
	 	(e)	 	Form of Contribution. If the contribution is not used to reduce an
obligation or liability of an Employer to the Plan, and the contribution is unencumbered
and discretionary, then the contribution (if any) may consist of (1) cash; (2) cash
equivalencies (3) qualifying employer real property and/or qualifying employer securities
as defined in ERISA §407(d)(4) and ERISA §407(d)(5), provided the acquisition of such
qualifying employer real property and/or qualifying employer securities satisfies the
requirements of ERISA §408(e); or (4) any other property that is not prohibited under
Code §4975 and is acceptable to the Trustee. If the contribution is used to reduce an
obligation or liability of an Employer or the contribution is encumbered and not
discretionary, then the contribution will consist of (1) cash; or (2) cash equivalencies;
such Employer’s contribution will not consist of any non-cash or non-cash equivalency
assets to the Trust.
	 
	 	(f)	 	Refund of Contributions. Contributions that are made to the Plan by the
Employer can only be returned to the Employer in accordance with the following
provisions:

	 	(1)	 	Failure of Plan to Initially Qualify. If the Plan fails to
initially satisfy the requirements of Code §401(a) and the Employer declines to amend
the Plan to satisfy such requirements, then contributions that were made prior to the
date such qualification is denied must be returned to the Employer within one year of
the date of such denial, but only if the application for the qualification is made by
the time prescribed by law for filing the Employer’s tax return for the taxable year
in which the Plan is adopted, or by such later date as the Secretary of the Treasury
may prescribe.
	 
	 	(2)	 	Contributions Made Under a Mistake of Fact. If a contribution is
attributable in whole or in part to a good faith mistake of fact, including a good
faith mistake in determining the deductibility of the contribution under Code §404,
an amount may be returned to the Employer equal to the excess of the amount that had
been contributed over the amount that would have been contributed if the mistake of
fact had not occurred (which excess will hereafter be known as a “Mistaken
Contribution”). Earnings attributable to a Mistaken Contribution will not be
returned, but losses attributable to the Mistaken Contribution will reduce the amount
so returned. The Mistaken Contribution will be returned within one year of the date
the Mistaken Contribution was made or the deduction disallowed, as the case may be.

-39-

 

	 	(3)	 	Nondeductible Contributions. Except to the extent that an Employer
may intentionally make a nondeductible contribution, for example, to correct an
administrative error, or restore a Forfeiture, Employer contributions are conditioned
on deductibility and will otherwise be returned to the Employer.

	3.2	 	Elective Deferrals. The Employer will contribute each Participant’s Elective Deferrals to the Plan,
determined in accordance with, and determined subject to, the following provisions:

	 	(a)	 	Amount of Elective Deferrals. Each Participant may enter into and submit
to the Administrator at any time a Salary Deferral Agreement authorizing the Employer to
withhold all or a portion of the Participant’s Compensation, specifying the amount
(either in whole percentage increments of Compensation or in whole dollar amounts as
designated by the Participant; but the Administrator will have the right to direct that
such increments of Compensation be rounded to the next highest or lowest dollar or
percentage) and type (either Roth Elective Deferrals (if permitted by the Plan), Pre-Tax
Elective Deferrals, or a specific combination of Roth Elective Deferrals (if permitted by
the Plan) and Pre-Tax Elective Deferrals). The amount withheld will be deemed an Elective
Deferral that the Employer will contribute to the Plan on behalf of the Participant. Such
Salary Deferral Agreement will be effective as soon as administratively feasible after
receipt of the Salary Deferral Agreement, unless a later pay period is specified by the
Participant. A Participant’s Salary Deferral Agreement will remain in effect until
superseded by another Salary Deferral Agreement (subject to the Automatic Enrollment
provisions of paragraph (g) below). The Administrator, pursuant to an administrative
policy regarding Elective Deferrals that is promulgated under Section 8.6, will designate
the effective date of such elections that are submitted to the Administrator, and the
frequency of such elections (and the frequency of modifications to such elections) but
not less frequently than once per Plan Year. In addition, other Elective Deferral
provisions may be set forth in such administrative policy, including, but not limited to,
provisions that (1) set the maximum Elective Deferral percentage for Participants who are
Highly Compensated Employees (if such percentage is less than the maximum percentage set
forth above); (2) describe a program of automatic increases to a Participants’ Elective
Deferral percentage as elected by the Administrator and/or the Participant; and (3)
permit a Participant to identify separate components of the Participant’s Compensation
(such as base salary, bonuses, etc.) and to specify that a different Elective Deferral
percentage (or dollar amount) apply to each such component.
	 
	 	(b)	 	Cash or Deferred Option. For any Plan Year, the Employer may declare a
Cash or Deferred Contribution. In such event, the Employer will provide each Participant
who is entitled to this Cash or Deferred Contribution the right to elect to receive as
cash some or all of such Participant’s Cash or Deferred Contribution. Any amount that a
Participant elects not to receive as cash will be deemed an Elective Deferral of the
Participant, will be contributed to the Plan within 21/2 months after the end of the Plan
Year, and will be allocated to the Participant’s Elective Deferral Account.
	 
	 	(c)	 	Roth Elective Deferrals. Roth Elective Deferrals are not permitted.
	 
	 	(d)	 	Reclassification Not Permitted. An Elective Deferral contributed to the
Plan as one type of Elective Deferral (either a Roth Elective Deferral or a Pre-Tax
Elective Deferral) may not later be reclassified as the other type of Elective Deferral.
	 
	 	(e)	 	Catch-Up Contributions. Catch-Up Contributions are permitted and
Participants who are age 50 or over by the end of their taxable years will be eligible.
If this Plan is a Safe Harbor 401(k) Plan, Catch-Up Contributions will be treated as
Elective Deferrals and will be matched in accordance with the Safe Harbor Matching
Contribution formula(s), if any, set forth in a Safe Harbor 401(k) Addendum. If this is a
Non-Safe Harbor 401(k) Plan, Catch-Up Contributions will be matched.
	 
	 	(f)	 	Limitations on Elective Deferrals. In no event may Elective Deferrals be
more than the maximum dollar amount permitted for the Participant’s taxable year
beginning in that calendar year under Code §402(g). Elective Deferrals that exceed the
applicable Code §402(g) limit are Excess Elective Deferrals and will be distributed to
the affected Participants under Section 5.18. No Participant will be permitted to have
Elective Deferrals made under this Plan, or any other plan, contract or arrangement
maintained by the Sponsoring Employer, during any calendar year, in excess of the dollar
limit in Code §402(g) in effect for the Participant’s taxable year beginning in such
calendar year. The dollar limitation in Code §402(g) is $11,000 for taxable years
beginning in 2002, and increasing by $1,000 each taxable year thereafter up to $15,000
for taxable years beginning in 2006 and later years. After 2006, the $15,000 limit will
be adjusted by the

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	 	 	 	Secretary of the Treasury for cost-of-living increases under Code §402(g)(4). Adjustments
will be in multiples of $500. Catch-Up Contributions will not be used in determining the
Code §402(g) limitations.

	 	(g)	 	Automatic Enrollment. The Employer may establish an automatic enrollment
program. The terms of the automatic enrollment program (which may include, but are not
limited to, the Elective Deferral percentage or amount, any automatic increases that
apply to that Elective Deferral percentage or amount, the portion of the Elective
Deferral which is considered a Pre-Tax Elective Deferral and, if available in this Plan,
the portion which is considered a Roth Elective Deferral, and the Participants to whom
the automatic enrollment program applies) will be set forth from time to time in an
administrative policy regarding Elective Deferrals that is promulgated under Section 8.6
by the Administrator; if the Administrator does not adopt such administrative policy,
then the terms of the notice that is issued to Participants regarding the automatic
enrollment program will define the terms and conditions of the automatic enrollment
program regarding Elective Deferrals for the Plan Year.
	 
	 	(h)	 	Salary Deferral Agreement. Salary Deferral Agreements may be entered into
as of such date or dates (but at least once per Plan Year) as established by the
Administrator in an administrative policy regarding Elective Deferrals promulgated under
Section 8.6. A Participant may thereafter modify a Salary Deferral Agreement to increase
or decrease the percentage or amount being withheld as permitted under such
administrative policy. The Participant may also at any time suspend or cancel his or her
Salary Deferral Agreement upon reasonable written notice to the Administrator. If a
Participant cancels or suspends his or her Salary Deferral Agreement, the Participant
will not be permitted to put a new Salary Deferral Agreement into effect until such time
as set forth in such administrative policy. If necessary to insure that the Plan
satisfies the ADP Test or upon a Participant reaching the Elective Deferral limit of Code
§402(g) with respect to such Participant’s Elective Deferrals in the Plan, then the
Sponsoring Employer may temporarily suspend a Participant’s Salary Deferral Agreement
upon notice to the Participant. An Elective Deferral will constitute a payroll deduction
authorization for purposes of applicable state law. If automatic enrollment is
implemented by the Sponsoring Employer pursuant to paragraph (g) above, then the
Participant must be given an effective opportunity to elect a different amount (including
no amount).
	 
	 	(i)	 	ADP Testing. Elective Deferrals in a Non-Safe Harbor 401(k) Plan must
satisfy the ADP Test of Section 3.14 for a Plan Year, and Elective Deferrals in a
Non-Safe Harbor 401(k) Plan that do not satisfy the ADP Test for a Plan Year will utilize
the correction methods of such Section.
	 
	 	(j)	 	Distribution of Elective Deferrals. Elective Deferrals can only be
distributed upon the earliest to occur of the following dates: (1) a Participant
Terminates Employment (separates from service, for Plan Years beginning before 2002) with
the Employer; (2) a Participant dies; (3) a Participant suffers a Disability; (4) an
event that is described in Code §401(k)(10) occurs; (5) a Participant reaches Age 591/2 (if
on or before such date, a pre-retirement in-service withdrawal of Elective Deferrals is
permitted under Section 5.17); or (6) if financial hardship distributions are permitted
under Section 5.16, the Participant qualifies for a financial hardship distribution. With
respect to clause (4) of the prior sentence, Elective Deferrals can be distributed (in a
lump sum only) upon Plan termination so long as the Sponsoring Employer (or an Affiliated
Employer) does not maintain an alternative defined contribution plan at any time during
the period beginning on the date of Plan termination and ending 12 months after all
assets have been distributed from the terminated Plan. However, if at all times during
the 24-month period beginning 12 months before the date of Plan’s termination, fewer than
2% of the Employees who were eligible to participate in the 401(k) Plan as of the date of
the Plan’s termination are eligible to participate in the other defined contribution
plan, the other defined contribution plan is not an alternative defined contribution
plan. A defined contribution plan is also not an alternative defined contribution plan if
it is an employee stock ownership plan as defined in Code §4975(e)(7) or Code §409(a), a
simplified employee pension as defined in Code §408(k), a SIMPLE IRA plan as defined in
Code §408(p), a plan or contract that is described in Code§ 403(b), or a plan that is
described in Code §457(b) or Code §457(f).
	 
	 	(k)	 	Allocation of Elective Deferrals. Participant’s Pre-tax Elective Deferrals
will be allocated to the Participant’s Pre-Tax Elective Deferral Account. Each
Participant’s Roth Elective Deferrals (if any) will be allocated to the Participant’s
Roth Elective Deferral Account.

	3.3	 	Non-Safe Harbor Matching Contributions. The Employer may make Non-Safe Harbor Matching Contributions, subject to the following
provisions:

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	 	(a)	 	Contribution Formula. Except as otherwise provided in this Section, the
Employer’s Non-Safe Harbor Matching Contribution for any Allocation Period is totally
discretionary. The Employer’s discretion in establishing a formula for any Allocation
Period includes, but is not limited to, establishing the amount of the contribution, the
rate of match, as well as establishing a maximum Non-Safe Harbor Matching Contribution
per Participant (either as a dollar maximum per Participant, a maximum percentage of each
Participant’s Compensation, and/or a maximum amount of each Participant’s Elective
Deferrals that will be recognized for matching purposes). The Employer must also, on or
before the due date (plus any extensions) for filing the Employer’s tax return, adopt a
written resolution (or other written action) which describes the rate of match and the
maximum limitations, if any, imposed on the Matching Contribution for the Allocation
Period. Any such Matching Contribution will then be allocated to each Benefiting
Participant’s Non-Safe Harbor Matching Contribution Account in the ratio that his or her
Elective Deferrals for the Allocation Period bears to the total Elective Deferrals of all
Benefiting Participants for the Allocation Period, subject to any maximum limitations
imposed on the allocation in the written resolution (or other written action).
	 
	 	(b)	 	ACP Testing. Non-Safe Harbor Matching Contributions made for a Plan Year
must satisfy the ACP Test of Section 3.15 for a Plan Year. Non-Safe Harbor Matching
Contributions that do not satisfy the ACP Test will utilize the correction methods of
such Section.
	 
	 	(c)	 	Treatment as QMACs. The Administrator may elect to treat all or any
portion of a Non-Safe Harbor Matching Contribution as a QMAC sufficient to satisfy the
ADP Test, to the extent that such QMAC is not used to satisfy the ACP Test (but, so long
as the QMAC is not precluded from being used in the ACP Test pursuant to Section
3.15(j)(4)(B)).
	 
	 	(d)	 	True-Ups. If (1) the Allocation Period for Non-Safe Harbor Matching
Contributions is a computation period that is less than the Plan Year, and (2) on the
last day of any Plan Year, the dollar amount of the Non-Safe Harbor Matching
Contributions made on behalf of a Benefiting Participant is less than the dollar amount
that would have been made had the Non-Safe Harbor Matching Contributions been contributed
for an Allocation Period of a Plan Year, then the Employer may elect, pursuant to the
Employer’s discretion, for any Plan Year to make an additional Non-Safe Harbor Matching
Contribution so that the Non-Safe Harbor Matching Contribution contributed for a
Benefiting Participant is equal to the Non-Safe Harbor Matching Contribution that would
have been made had the Non-Safe Harbor Matching Contributions been contributed for an
Allocation Period of the Plan Year. However, any such additional Non-Safe Harbor Matching
Contributions can only be made to the Plan on a uniform, nondiscriminatory basis. In
order to determine the group of Participants who are eligible to receive the additional
Non-Safe Harbor Matching Contributions of this paragraph, the Employer may impose
allocation conditions that are different from the allocation conditions used to
determining Benefiting Participants for purposes of other Non-Safe Harbor Matching
Contributions.
	 
	 	(e)	 	Prorating the Code §401(a)(17) Compensation Limit for Each Allocation
Period. If the Allocation Period for Non-Safe Harbor Matching Contributions is a
computation period that is less than the Plan Year, then the Employer may elect, pursuant
to the Employer’s discretion, for any Plan Year to prorate the Code §401(a)(17)
Compensation Limit to each Allocation Period of the Plan Year. However, any prorating of
the Code §401(a)(17) Compensation Limit can only be made on a uniform, nondiscriminatory
basis.
	 
	 	(f)	 	Excess Elective Deferrals and Excess Contributions Not Required to Be
Matched. Notwithstanding the above, to the extent Non-Safe Harbor Matching
Contributions (including Qualified Matching Contributions) are contributed on an annual
basis, no Non-Safe Harbor Matching Contribution (including Qualified Matching
Contributions) will be required with respect to that portion of an Elective Deferral
which for that Plan Year is determined to be either an Excess Elective Deferral (unless
the Excess Elective Deferral is for a Non-Highly Compensated Employee) or an Excess
Contribution. Furthermore, Matching Contributions (including Qualified Matching
Contributions) that have been allocated to a Participant’s Account must be forfeited if
the contributions to which they relate are Excess Deferrals (unless the Excess Elective
Deferrals are for Non-Highly Compensated Employees), Excess Contributions, or Excess
Aggregate Contributions.
	 
	 	(g)	 	Right to Each Rate of Match. The right to each rate of Non-Safe Harbor
Matching Contributions (determining the rate using the amount of Non-Safe Harbor Matching
Contributions, Elective Deferrals, Voluntary Employee Contributions, and Mandatory
Employee Contributions determined after any corrections under Regulation
§1.401(k)—2(b)(1)(i) and §1.401(m)—2(b)(1)(i), and treating different rates as existing
if they are based on definitions of Compensation or other requirements or formulas that
are not substantially the same) must not discriminate in favor of Highly Compensated
Employees.

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	 	(h)	 	Allocation of Non-Safe Harbor Matching Contributions. Non-Safe Harbor
Matching Contributions contributed on a Participant’s behalf will be allocated to the
Participant’s Non-Safe Harbor Matching Contribution Account. A Participant who makes an
Elective Deferral during the Allocation Period will be a Benefiting Participant under
this Section and thus be eligible to receive an allocation of Non-Safe Harbor Matching
Contributions for that Allocation Period in accordance with the following provisions:

	 	(1)	 	Participants Employed on the Last Day of the Allocation Period.
Any Participant who is an Employee on the last day of the Allocation Period and who
at any time during the Allocation Period is an Eligible Employee under Section
2.1(b)(1) will be a Benefiting Participant for that Allocation Period regardless of
the number of Hours of Service with which he or she is credited during the Allocation
Period.
	 
	 	(2)	 	Participants Who Terminate Before the Last Day of the Allocation
Period. Any Participant who Terminates Employment with the Employer before the
last day of the Allocation Period and who at anytime during the Allocation Period is
an Eligible Employee under Section 2.1(b)(1) will only be a Benefiting Participant
for that Allocation Period as follows: (A) a Participant who Terminates Employment
because of retirement on or after Normal Retirement Age will be a Benefiting
Participant regardless of the number of Hours of Service with which he or she is
credited during the Allocation Period; (B) a Participant who Terminates Employment
because of his or her death will be a Benefiting Participant regardless of the number
of Hours of Service with which he or she is credited during the Allocation Period;
(C) a Participant who Terminates Employment because of his or her Disability will be
a Benefiting Participant regardless of the number of Hours of Service with which he
or she is credited during the Allocation Period; and (D) a Participant who Terminates
Employment for reasons other than retirement on or after Normal Retirement Age, death
or Disability will be a Benefiting Participant regardless of the number of Hours of
Service with which he or she is credited during the Allocation Period.

	3.4	 	Non-Safe Harbor Non-Elective Contributions. Non-Safe Harbor Non-Elective Contributions are not permitted.
	 
	3.5	 	Qualified Matching Contributions . The Employer may make a Qualified Matching Contribution in such amount as the Employer,
in its sole discretion, may determine, subject to the following provisions:

	 	(a)	 	Contributions Treated as Qualified Matching Contributions. The Employer
may elect to treat all or any portion of a Matching Contribution as a Qualified Matching
Contribution.
	 
	 	(b)	 	Allocation of Qualified Matching Contributions. Qualified Matching
Contributions (QMACs), and any Non-Safe Harbor Matching Contributions that are treated as
QMACs, will be allocated to the Qualified Matching Contribution Account of each Eligible
Participant for that Allocation Period. Such contributions will be allocated in the
manner elected by the Administrator, subject to the following:

	 	(1)	 	Permissible Methods of Allocation. The Administrator may elect to
make the allocation from one of the following allocation methods: (A) pro-rata based
on the Compensation of each Eligible Participant; (B) pro-rata based on the
Compensation of each Eligible Participant starting with the Eligible Participant with
the lowest amount of Compensation and working up until the ADP Test or the ACP Test
is satisfied; (C) pro-rata based on the Elective Deferrals of each Eligible
Participant starting with the Eligible Participant with the lowest amount of Elective
Deferrals and working up until the ADP Test or the ACP Test is satisfied; (D) per
capita to each Eligible Participant; (E) per capita based on the Compensation of each
Eligible Participant starting with the Eligible Participant with the lowest amount of
Compensation and working up until the ADP Test or the ACP Test is satisfied; or (F)
per capita based on the Elective Deferrals of each Eligible Participant starting with
the Eligible Participant with the lowest amount of Elective Deferrals and working up
until the ADP Test or the ACP Test is satisfied.
	 
	 	(2)	 	Maximum Permissible Allocation. Notwithstanding anything in this
paragraph (b) to the contrary, the Sponsoring Employer may limit the maximum amount
of QMACs that will be allocated for any Allocation Period to an Eligible Participant,
to the limitation on disproportionate QMACs as described in Section 3.14(j)(3)(B) for
purposes of the ADP Test or the limitation on disproportionate Matching Contributions
as described in Sections 3.15(h) or 3.15(i) for purposes of the ACP Test.

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	 	(3)	 	Eligible Participants. As used in this paragraph (b), the term
“Eligible Participant” means any Participant who is a NHCE and who makes an Elective
Deferral during the Allocation Period being tested. Furthermore, the Administrator
may elect to limit the allocations of QMACs only to Eligible Participants who are
employed on the last day of the Allocation Period. In addition, if this 401(k) Plan
and/or this 401(m) Plan provides that Otherwise Excludable Participants are eligible
to participate and if the Plan applies Code §410(b)(4)(B) in determining whether the
401(k) Plan and/or the 401(m) Plan meets the requirements of Code §410(b)(1), then
the Administrator may elect to limit the allocations of QMACs only to either: (A)
Participants who are Non-Highly Compensated Employees and who are Otherwise
Excludable Participants; or (B) Participants who are Non-Highly Compensated Employees
and who are not Otherwise Excludable Participants. The Administrator may also elect
to allocate QMACs to one or more Participants who are Highly Compensated Employees.

	3.6	 	Qualified Non-Elective Contributions. The Employer may make a Qualified Non-Elective Contribution to the Plan in such amount
as the Employer, in its sole discretion, may determine, subject to the following provisions:

	 	(a)	 	Contributions Treated as Qualified Non-Elective Contributions. The
Employer may elect to treat all or any portion of a Non-Safe Harbor Non-Elective
Contribution as a Qualified Non-Elective Contribution.
	 
	 	(b)	 	Allocation of Qualified Non-Elective Contributions. Qualified Non-Elective
Contributions (QNECS), Non-Safe Harbor Non-Elective Contributions that are treated as
QNECS, and Prevailing Wage Contributions that are treated as QNECS will be allocated to
the Qualified Non-Elective Contribution Account of each Eligible Participant for that
Allocation Period. Such contributions will be allocated in the manner elected by the
Administrator, subject to the following provisions:

	 	(1)	 	Permissible Methods of Allocation. The Administrator may elect to
make the allocation from one of the following allocation methods: (A) pro-rata based
on the Compensation of each Eligible Participant; (B) pro-rata based on the
Compensation of each Eligible Participant starting with the Eligible Participant with
the lowest amount of Compensation and working up until the ADP Test or the ACP Test
is satisfied; (C) per capita to each Eligible Participant; or (D) per capita based on
the Compensation of each Eligible Participant starting with the Eligible Participant
with the lowest amount of Compensation and working up until the ADP Test or the ACP
Test is satisfied.
	 
	 	(2)	 	Maximum Permissible Allocation. Notwithstanding anything in this
paragraph (b) to the contrary, the Sponsoring Employer may limit the maximum amount
of QNECs to be allocated for any Allocation Period to an Eligible Participant, to the
limitation on disproportionate QNECs as described in paragraph 3.14(j)(3)(A) for
purposes of the ADP Test or Section 1.43(e)(4) for purposes of the ACP Test.
	 
	 	(3)	 	Eligible Participants. As used in this paragraph (b), the term
“Eligible Participant” means any Participant (A) who is a NHCE, and (B) who is
eligible, in the Administrator’s discretion, either to make an Elective Deferral
(regardless of whether such Participant actually makes an Elective Deferral) and/or
to receive a Non-Safe Harbor Matching Contribution (regardless of whether such
Participant actually receives a Non-Safe Harbor Matching Contribution) during the
Allocation Period being tested. Furthermore, the Administrator may elect to limit the
allocations of QNECs only to Eligible Participants who are employed on the last day
of the Allocation Period. In addition, if this 401(k) Plan and/or this 401(m) Plan
provides that Otherwise Excludable Participants are eligible to participate and if
the plan applies Code §410(b)(4)(B) in determining whether the 401(k) Plan and/or the
401(m) Plan meets the requirements of Code §410(b)(1), then the Administrator may
elect to limit the allocations of QNECs only to either: (A) Participants who are
Non-Highly Compensated Employees and who are Otherwise Excludable Participants; or
(B) Participants who are Non-Highly Compensated Employees and who are not Otherwise
Excludable Participants. Lastly, the Administrator may elect to allocate QNECs to one
or more Participants who are Highly Compensated Employees.

	3.7	 	Safe Harbor 401(k) Contributions. The Employer may make Safe Harbor 401(k) Contributions as set forth from time to time
in a Safe Harbor 401(k) Addendum, subject to the following provisions:

	 	(a)	 	ADP Safe Harbor Non-Elective Contributions. To the extent set forth in a
Safe Harbor 401(k) Addendum (or to the extent the Employer amends the Plan either by
executing a Safe Harbor 401(k) Addendum or via the Safe Harbor Notice), the Employer will
make an ADP Safe Harbor Non-Elective Contribution equal to 3% (or such higher percentage
as elected by the Employer) of the Compensation of each Safe Harbor

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	 	 	 	Participant. The
Employer may elect in a Safe Harbor 401(k) Addendum to make this ADP Safe Harbor
Non-Elective Contribution to a money purchase plan named in such addendum. For any
Allocation Period in which the Employer elects to make an ADP Safe Harbor Non-Elective
Contribution to the named money purchase plan, an ADP Safe Harbor Non-Elective
Contribution will be made to this Plan in lieu of the ADP Safe Harbor Non-Elective
Contribution to the money purchase plan unless each Safe Harbor Participant under this
Plan also participates in such other plan and such other plan has the same Plan Year as
this Plan. Such ADP Safe Harbor Non-Elective Contribution will be subject to the
provisions of Section 3.16.

	 	(b)	 	ADP Safe Harbor Matching Contributions. To the extent set forth in a Safe
Harbor 401(k) Addendum, an ADP Safe Harbor Matching Contribution (whether “Basic” or
“Enhanced”) will be made that is equal to the amount specified in a Safe Harbor 401(k)
Addendum, subject to the provisions of Section 3.16.
	 
	 	(c)	 	ACP Safe Harbor Matching Contributions. To the extent set forth in a Safe
Harbor 401(k) Addendum, the Employer may also make additional ACP Safe Harbor Matching
Contributions for each Allocation Period. Such ACP Safe Harbor Matching Contribution will
be subject to the provisions of Section 3.17.
	 
	 	(d)	 	True-Ups. If (1) the Allocation Period for either ADP Safe Harbor Matching
Contributions and/or ACP Safe Harbor Matching Contributions (which contributions, for
purposes of this paragraph, will hereafter be known as “Safe Harbor Matching
Contributions”) is a computation period that is less than the Plan Year, and (2) on the
last day of any Plan Year, the dollar amount of the Safe Harbor Matching Contributions
made on behalf of a Benefiting Participant is less than the dollar amount that would have
been made had the Safe Harbor Matching Contributions been contributed for an Allocation
Period of a Plan Year, then the Employer may elect, pursuant to the Employer’s discretion
and subject to any Safe Harbor Notice requirements, for any Plan Year to make an
additional Safe Harbor Matching Contribution so that the Safe Harbor Matching
Contribution contributed for a Benefiting Participant is equal to the Safe Harbor
Matching Contribution that would have been made had the Safe Harbor Matching
Contributions been contributed for an Allocation Period of the Plan Year. However, any
such additional Safe Harbor Matching Contributions can only be made to the Plan on a
uniform, nondiscriminatory basis.
	 
	 	(e)	 	Prorating the Code §401(a)(17) Compensation Limit for Each Allocation
Period. If the Allocation Period for either ADP Safe Harbor Matching Contributions
and/or ACP Safe Harbor Matching Contributions is a computation period that is less than
the Plan Year, then the Employer may elect, pursuant to the Employer’s discretion and
subject to any Safe Harbor Notice requirements, for any Plan Year to prorate the Code
§401(a)(17) Compensation Limit to each Allocation Period of the Plan Year. However, any
prorating of the Code §401(a)(17) Compensation Limit can only be made on a uniform,
nondiscriminatory basis.
	 
	 	(f)	 	Allocation of Safe Harbor 401(k) Contributions. Safe Harbor 401(k)
Contributions will be allocated as follows: (1) ADP Safe Harbor Matching Contributions
will be allocated to a Participant’s ADP Safe Harbor Matching Contribution Account; (2)
ADP Safe Harbor Non-Elective Contributions will be allocated to a Participant’s ADP Safe
Harbor Non-Elective Contribution Account; and (3) ACP Safe Harbor Matching Contributions
will be allocated to a Participant’s ACP Safe Harbor Matching Contribution Account.

	3.8	 	Rollover Contributions. Subject to any changes, limitations, or effective dates adopted by written notice
and/or procedures established and adopted by the Administrator pursuant to Section 8.6, any
Eligible Employee (whether a Participant or not) is permitted to make Rollover Contributions
to the Plan. In addition, the Administrator may permit Rollover Contributions by an Eligible
Employee or former Eligible Employee from The Men’s Wearhouse, Inc. Employee Stock Ownership
Plan on behalf of Eligible Employees and former Eligible Employees. Rollover Contributions
will be allocated to an Employee’s Rollover Contribution Account in which the Employee will
have a 100% Vested Interest. The Administrator may choose for investment purposes either to
segregate Rollover Contribution Accounts into separate interest bearing accounts or to invest
Rollover Contribution Accounts as part of the
general Trust Fund, except for that portion of an Employee’s Rollover Contribution Account
which an Employee may be permitted to self-direct pursuant to Section 7.4.

	3.9	 	Voluntary Employee Contributions. Voluntary Employee Contributions are not permitted.
	 
	3.10	 	Allocation of Earnings and Losses. As of each Valuation Date, amounts in Participants’ accounts/sub-accounts which have
not been segregated from the general Trust Fund for investment purposes (accounts which have
been segregated include any Directed Investment Accounts established under Section 7.4) and
which have not been distributed since the prior Valuation Date will have the net income of the
Trust Fund that has been earned since

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	 	 	the prior Valuation Date allocated in accordance with
such rules and procedures that are established by the Administrator and that are applied in a
uniform and nondiscriminatory manner based upon the investments of the Trust Fund and the
Participants’ accounts/sub-accounts to which the net income is allocated. For purposes of this
Section, the term “net income” means the net of any interest, dividends, unrealized
appreciation and depreciation, capital gains and losses, and investment expenses of the Trust
Fund determined on each Valuation Date. However, Participants’ accounts and/or sub-accounts
which have been segregated from the general Trust Fund for investment purposes (accounts which
have been segregated include any Directed Investment Accounts established under Section 7.4)
will only have the net income earned thereon allocated thereto. Policy dividends or credits
will be allocated to the Participant’s Account for whose benefit the Policy is held.

	3.11	 	Forfeitures and Their Usage. The following provisions relate to Forfeitures and their usage and
allocation:

	 	(a)	 	When Forfeitures Occur. The date upon which a Forfeiture occurs of the
amount by which a Participant’s Account balance attributable to Employer contributions
exceeds his or her Vested Interest in the Participant’s Account balance attributable to
Employer contributions is the earlier of (1) the date that the Participant who Terminated
Employment receives a distribution of his or her Vested Interest under Article 5; or (2)
the date that the Participant incurs five consecutive Breaks in Service after Termination
of Employment. Effective as of the first day of Plan Year beginning in 2006 (or such
earlier effective date as may be provided in a separate amendment for implementing the
final Code §401(k) Regulations and as permitted by such Regulations), a Forfeiture of the
non-Vested portion of the Participant’s Account balance attributable to Employer
contributions will not occur pursuant to clause (1) of the preceding sentence unless the
entire Elective Deferral Account of the Participant who Terminated Employment is or has
been distributed. However, if a Participant’s Vested Interest in the entire Participant’s
Account balance attributable to Employer contributions is zero on the date that the
Participant Terminates Employment, then the Participant will be deemed to have received a
distribution of such Vested Interest on the date of Termination of Employment and a
Forfeiture of the Participant’s Account balance attributable to Employer contributions
will occur pursuant to the provisions of this paragraph on the date of such Termination
of Employment.
	 
	 	(b)	 	Grandfather Provision. Notwithstanding paragraph (a) to the contrary, with
respect to Participants who Terminate Employment prior to the execution date of the
pre-approved Plan restatement intended to initially comply with the requirements of the
Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA), the provisions of the
Plan in effect prior to such EGTRRA restatement execution date will be applied in
determining when Forfeitures occur if such provisions conflict with the preceding
paragraph.
	 
	 	(c)	 	Usage and Allocation of Forfeitures. On each annual Valuation Date, the
Administrator may elect to use all or any portion of the Forfeiture Account to pay
administrative expenses incurred by the Plan. The portion of the Forfeiture Account that
is not used to pay administrative expenses will be used first to restore previous
Forfeitures of Participants’ Accounts pursuant to Section 5.7 and/or to restore
Participants’ Accounts pursuant to Section 5.13. The portion of the Forfeiture Account
that is not used to pay administrative expenses and is not used to satisfy the provisions
of the previous sentence will then be allocated/used in accordance with the following
provisions:

	 	(1)	 	Forfeitures of Non-Safe Harbor Matching Contributions. Forfeitures
attributable to Non-Safe Harbor Matching Contributions will be used to reduce any
Employer contribution or combination of contributions, as determined by the
Administrator.
	 
	 	(2)	 	Forfeitures of ACP Safe Harbor Matching Contributions. Forfeitures
attributable to ACP Safe Harbor Matching Contributions, if any, will be used in the
manner described in a Safe Harbor 401(k) Addendum executed by the Sponsoring Employer
from time to time.

	3.12	 	Top Heavy Minimum Allocation. In any Plan Year in which the Plan is Top Heavy and a Key Employee receives an
allocation of Employer contributions or Forfeitures, each Participant who is described in
paragraph (a) below will receive a Top Heavy Minimum Allocation determined in accordance with
the following:

	 	(a)	 	Participants Who Must Receive the Top Heavy Minimum Allocation. The Top
Heavy Minimum Allocation will be made for each Participant who is a Non-Key Employee who
is employed by an Employer on the last day of the Plan Year, even if such Participant (1)
fails to complete any minimum Hours of Service/Period of Service required to receive an
allocation of Employer contributions or Forfeitures for the Plan Year; (2) fails to make
Elective Deferrals to the Plan in the case of a 401(k) plan; (3) receives 

-46-

 

	 	 	 	Compensation
that is less than a stated amount; or (4) declines to make a mandatory employee
contribution to the Plan. The Top Heavy Minimum Allocation is not required for a
Participant whose participation is limited to a Rollover Contribution.

	 	(b)	 	Participation in Multiple Defined Contribution Plans. If (1) this Plan is
not part of a Required Aggregation Group or a Permissive Aggregation Group with a defined
benefit plan, (2) this Plan is part of a Required Aggregation Group or a Permissive
Aggregation Group with one or more defined contribution plans, (3) a Participant who is
described in paragraph (a) participates in this Plan and in one or more defined
contribution plans that are part of the Required Aggregation Group or the Permissive
Aggregation Group, and (4) the allocation of Employer contributions and Forfeitures of
each plan that is part of the Required Aggregation Group or the Permissive Aggregation
Group (when each plan is considered separately) is insufficient to satisfy the Top Heavy
Minimum Allocation requirement with respect to such Participant, the Top Heavy Minimum
Allocation requirement will nevertheless be satisfied if the aggregate allocation of
Employer contributions and Forfeitures that are made on behalf of such Participant under
this Plan and all other defined contribution plans that are part of the Required
Aggregation Group or the Permissive Aggregation Group (and any other defined contribution
plan that is sponsored by the Employer) is sufficient to satisfy the Top Heavy Minimum
Allocation requirement. However, if the aggregate allocation of Employer contributions
and Forfeitures that are made on behalf of a Participant under this Plan and all other
defined contribution plans that are part of the Required Aggregation Group or the
Permissive Aggregation Group (and any other defined contribution plan that is sponsored
by the Employer) is not sufficient to satisfy the Top Heavy Minimum Allocation
requirement, then the Employer will make an additional contribution on behalf of such
Participant to this Plan and/or to one or more defined contribution plans that are part
of the Required Aggregation Group or the Permissive Aggregation Group (or any other
defined contribution plan that is sponsored by the Employer) in order that the aggregate
allocation of Employer contributions and Forfeitures that are made on behalf of such
Participant under this Plan and all defined contribution plans that are part of the
Required Aggregation Group or the Permissive Aggregation Group (and any other defined
contribution plan that is sponsored by the Employer) satisfies the Top Heavy Minimum
Allocation requirement.
	 
	 	(c)	 	Required Aggregation Group or Permissive Aggregation Group With a DB Plan.
If this Plan is part of a Required Aggregation Group or a Permissive Aggregation Group
with a defined benefit plan, then the Sponsoring Employer may, in the Sponsoring
Employer’s discretion and in a uniform non-discriminatory manner which is intended to
satisfy the requirements of Code §416(f) regarding the preclusion of required duplication
and inappropriate omission of Top Heavy minimum benefits or Top Heavy Minimum
Allocations, determine to satisfy the requirements of Code §416 with respect to each
Participant described in paragraph (a) who participates in this Plan and in the defined
benefit plan which is part of the Required Aggregation Group or the Permissive
Aggregation Group, by any of the following methods:

	 	(1)	 	Defined Benefit Minimum Benefit. A defined benefit minimum, which
is an accrued benefit at any point in time equal to at least the product of (A) an
Employee’s average annual Code §415(c)(3) Compensation for the period of consecutive
years (not exceeding five) when the Employee had the highest aggregate Code
§415(c)(3) Compensation from the Employer and (B) the lesser of 2% per Year of
Service or 1-Year Period of Service, as applicable, with the Employer or 20%, subject
to the rules of Code §416 and the Regulations thereunder.
	 
	 	(2)	 	Floor Offset Arrangement. A floor offset approach, pursuant to
Revenue Ruling 76-259, under which the defined benefit minimum of the defined benefit
plan that is provided pursuant to paragraph (c)(1) is offset by the benefits provided
under the defined contribution plan.
	 
	 	(3)	 	Using Comparability. A demonstration, using a comparability
analysis pursuant to Revenue Ruling 81-202, that the plans are providing benefits at
least equal to the defined benefit minimum that is provided pursuant to paragraph
(c)(1) above.
	 
	 	(4)	 	5% Defined Contribution Allocation. An allocation of Employer
contributions and Forfeitures that are made on behalf of such Participant under this
Plan (or any defined contribution plan that is sponsored by the Employer) equal to 5%
of an Employee’s Code §415(c)(3) Compensation for each Plan Year that the Required
Aggregation Group or the Permissive Aggregation Group is Top Heavy.

	 	(d)	 	Frozen DB Plan After December 31, 2001. In determining Top Heavy minimum
benefits or Top Heavy Minimum Allocations in any Plan Year which begins after December
31, 2001, a defined benefit plan in

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	 	 	 	which no Key Employee and no former Key Employee
benefits (within the meaning of Code §410(b)) in the defined benefit plan during a Plan
Year will be disregarded in determining whether the defined benefit plan is part of a
Required Aggregation Group or a Permissive Aggregation Group with this Plan.

	 	(e)	 	Contributions That Can Be Used to Satisfy Top Heavy Minimum. All Employer
contributions to the Plan (other than (1) Elective Deferrals that are made on behalf of a
Participant and (2) for Plan Years beginning before 2002, Matching Contributions) will be
taken into account in determining if the Employer has satisfied the Top Heavy minimum
benefit and/or Top Heavy Minimum Allocation requirements of this Section. Furthermore,
the following Employer contributions that are made on behalf of a Participant to a 401(k)
Plan may be taken into account in determining whether the Top Heavy minimum benefit
and/or Top Heavy Minimum Allocation requirements have been satisfied: Non-Safe Harbor
Non-Elective Contributions; Qualified Non-Elective Contributions; ADP Safe Harbor
Non-Elective Contributions; for Plan Years beginning after 2001, Matching Contributions
(including Qualified Matching Contributions); and any other Employer contributions as may
be permitted by law.
	 
	 	(f)	 	Safe Harbor Plan and SIMPLE 401(k) Plan Exceptions. The Top Heavy Minimum
Allocation requirements will not apply to the Plan for any Plan Year in which the Plan is
a 401(k) Plan that consists solely of Elective Deferrals, ADP Safe Harbor Contributions
which meet the requirements of Code §401(k)(12), and, if applicable, ACP Safe Harbor
Matching Contributions (including ADP Safe Harbor Matching Contributions) which meet the
requirements of Code §401(m)(11), so long as each Participant (1) who is a Non-Key
Employee and (2) who is eligible to make Elective Deferrals is also a Safe Harbor
Participant for such Plan Year. Also, a SIMPLE 401(k) Plan is not subject to the Top
Heavy Minimum Allocation requirements.

	3.13	 	Failsafe Allocation. If the Plan fails to satisfy the minimum coverage requirements of Code §410(b), no
automatic “failsafe” is provided under the Plan. Rather, the Sponsoring Employer must timely
execute a corrective amendment pursuant to Section 11.1(f) of the Plan.

	3.14	 	Actual Deferral Percentage Test and Correction. If a 401(k) Plan is subject to the Actual Deferral Percentage Test (ADP Test) for
a Plan Year, then the following rules will apply:

	 	(a)	 	The ADP Test. The ADP for Participants who are Highly Compensated
Employees for the Plan Year that is being tested and the ADP for Participants who are
Non-Highly Compensated Employees for the Applicable Plan Year must satisfy one of the
following tests:

	 	(1)	 	1.25 Test. The ADP for Participants who are Highly Compensated
Employees for the Plan Year that is being tested will not exceed the ADP for
Participants who are Non-Highly Compensated Employees for the Applicable Plan Year
multiplied by 1.25; or
	 
	 	(2)	 	Multiplied By 2 or 2% Test. The ADP for Participants who are
Highly Compensated Employees for the Plan Year that is being tested will not exceed
the ADP for Participants who are Non-Highly Compensated Employees for the Applicable
Plan Year multiplied by 2.0, provided, that the ADP for Participants who are Highly
Compensated Employees for the Plan Year that is being tested does not exceed the ADP
for Participants who are Non-Highly Compensated Employees for the Applicable Plan
Year by more than 2 percentage points.

	 	(b)	 	Testing Methods and Restriction. The Sponsoring Employer may elect either
the Prior Year Testing Method or Current Year Testing Method. However, once the
Sponsoring Employer has elected the Current Year Testing Method, the Sponsoring Employer
can elect the Prior Year Testing Method for a Plan Year only if the Plan has used the
Current Year Testing Method for each of the preceding five (5) Plan Years (or if lesser,
the number of Plan Years that the Plan has been in existence) or if, as a result of a
merger or acquisition described in Code §410(b)(6)(C)(i), the Employer maintains both a
401(k) plan using the Prior Year Testing Method and a 401(k) plan using Current Year
Testing Method and the change is made within the transition period described in Code
§410(b)(6)(C)(ii).
	 
	 	(c)	 	Prior Year Testing Method for the First Plan Year. If the Sponsoring
Employer has elected the Prior Year Testing Method for the first Plan Year that the Plan
permits any Participant to make Elective Deferrals (and this is not a successor plan),
then the ADP for Participants who are Non-Highly Compensated Employees for the prior Plan
Year will be the greater of (1) three percent (3%), or (2) the ADP for Participants who
are Non-Highly Compensated Employees for the first Plan Year.

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	 	(d)	 	HCEs as Sole Participants in Plan Year Being Tested. If the Sponsoring
Employer has elected the Prior Year Testing Method and if there are no Participants who
were Non-Highly Compensated Employees in the prior Plan Year, then the Plan will be
deemed to satisfy the ADP Test for the Plan Year that is being tested. Similarly, if the
Sponsoring Employer has elected the Current Year Testing Method and if there are no
Participants who are Non-Highly Compensated Employees in the current Plan Year, then the
Plan will be deemed to satisfy the ADP Test for the Plan Year that is being tested. The
provisions of this paragraph may be utilized with the permissive disaggregation rule of
Section 3.14(e)(2).
	 
	 	(e)	 	Special Rule for Early Participation. If this 401(k) Plan provides that
Otherwise Excludable Participants are eligible to participate and if the Plan applies
Code §410(b)(4)(B) in determining whether the 401(k) Plan meets the requirements of Code
§410(b)(1), then in determining whether the 401(k) Plan satisfies the ADP Test, the
Sponsoring Employer may, in the Sponsoring Employer’s discretion (but is not required
to), either:

	 	(1)	 	Early Participation Rule. Pursuant to Code §401(k)(3)(F), perform
the ADP Test for the Plan (determined without regard to disaggregation under
Regulation §1.410(b)—7(c)(3)), by using the ADP for all Participants who are Highly
Compensated Employees for the Plan Year and the ADP for Participants who are
Non-Highly Compensated Employees for the Applicable Plan Year, disregarding all
Otherwise Excludable Participants who are Non-Highly Compensated Employees; or
	 
	 	(2)	 	Permissive Disaggregation Rule. Pursuant to Regulation
§1.401(k)—1(b)(4), disaggregate the Plan into separate plans and perform the ADP
Test separately for all Participants who are Otherwise Excludable Participants and
for all Participants who are not Otherwise Excludable Participants.

	 	(f)	 	HCEs and NHCEs for a Particular Plan Year. A Participant is a Highly
Compensated Employee for a particular Plan Year if that Participant meets the definition
of a Highly Compensated Employee in effect for that Plan Year. Similarly, a Participant
is a Non-Highly Compensated Employee for a particular Plan Year if the Participant does
not meet the definition of a Highly Compensated Employee in effect for that Plan Year.
	 
	 	(g)	 	ADP for an HCE in Multiple CODAs of the Sponsoring Employer. The ADP for
any Participant who is a Highly Compensated Employee for the Plan Year and who is
eligible to have Elective Deferrals (and Qualified Non-Elective Contributions or
Qualified Matching Contributions, or both, if treated as Elective Deferrals for purposes
of the ADP Test) allocated to such Participant’s accounts under two or more cash or
deferral arrangements (CODAs) described in Code §401(k), that are maintained by the
Sponsoring Employer, will be determined as if such Elective Deferrals (and, if
applicable, such Qualified Non-Elective Contributions or Qualified Matching
Contributions, or both) were made under a single arrangement. If a Highly Compensated
Employee participates in two or more CODAs of the Sponsoring Employer that have different
plan years, all Elective Deferrals made during the Plan Year under all such arrangements
will be
aggregated. For Plan Years beginning prior to 2006 (or the year of such earlier effective
date as may be provided in a separate amendment for implementing the final §401(k)
Regulations and as permitted by such Regulations), all such CODAs ending with or within
the same calendar year will be treated as a single arrangement. Notwithstanding the
foregoing, certain plans will be treated as separate if mandatorily disaggregated under
the §401(k) Regulations.
	 
	 	(h)	 	Plan Aggregation and Coverage Change Rules. If this Plan satisfies the
requirements of Code §401(k), §401(a)(4), or §410(b) only by being aggregated with one or
more other plans of the Sponsoring Employer, or if one or more other plans satisfy the
requirements of Code §401(k), §401(a)(4), or §410(b) only by being aggregated with this
Plan, then this Section will be applied by determining the ADP of the Employees as if all
such plans (including this Plan) were a single plan. If the Prior Year Testing Method is
being used and if more than 10% of the Employer’s NHCEs are involved in a plan coverage
change as defined in Regulation §1.401(k)-2(c)(4), then any adjustments to the Non-Highly
Compensated Employees’ ADP for the prior Plan Year will be made in accordance with such
Regulations. Plans may be aggregated in order to satisfy Code §401(k) only if they have
the same Plan Year and use the same ADP testing method (the Prior Year Testing Method or
the Current Year Testing Method).
	 
	 	(i)	 	Contributions Must Be Made Within 12 Months. Elective Deferrals, Qualified
Non-Elective Contributions, and Qualified Matching Contributions must be made, for
purposes of determining the ADP Test, by the end of the 12-month period immediately
following the Plan Year to which the contributions relate.

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	 	(j)	 	Correction Methods for Failed ADP Test. If a 401(k) Plan is subject to the
Actual Deferral Percentage Test (ADP Test) for a Plan Year and the Plan fails to satisfy
the ADP Test for such Plan Year, then the Sponsoring Employer will use one or more of the
following correction methods to satisfy the ADP Test for such Plan Year (and the
Sponsoring Employer has the discretion to determine which one or more of the correction
methods may be used to satisfy the ADP Test):

	 	(1)	 	Distribution of Excess Contributions Plus Income or Loss. Excess
Contributions of Highly Compensated Employee(s), plus any income and minus any loss
allocable to such Excess Contributions, may be distributed pursuant to Section 5.19.
	 
	 	(2)	 	Recharacterization as Catch-Up Contributions. To the extent that a
catch-up eligible Participant who is a Highly Compensated Employee is to receive a
distribution of Excess Contributions, and to the extent that such catch-up eligible
Participant has not exceeded the Participant’s Catch-Up Contribution Limit, the
Excess Contributions of such Participant may be recharacterized as Catch-Up
Contributions (to the extent that the recharacterized Catch-Up Contributions do not
cause the Catch-Up Contribution Limit to be exceeded for the taxable year of the
Participant).
	 
	 	(3)	 	QMACs and QNECs. The Sponsoring Employer may make Qualified
Matching Contributions pursuant to Section 3.5 and/or Qualified Non-Elective
Contributions pursuant to Section 3.6 to satisfy the ADP Test, subject to the
following limitations:

	 	(A)	 	Limitation on Disproportionate QNECs. Qualified
Non-Elective Contributions cannot be taken into account in the ADP Test of a Plan
Year for a NHCE to the extent the QNECs exceed the product of (i) that NHCE’s
Code §414(s) Compensation, multiplied by (ii) the greater of [a] 5% (or 10% of a
NHCE’s Code §414(s) Compensation with respect to an Employer’s obligation to make
Prevailing Wage Contributions to the Plan), or [b] two times the Plan’s
Representative Contribution Rate. Any QNEC used in an ACP Test under Regulation
§1.401(m)—2(a)(6) (including the determination of the Representative
Contribution Rate for purposes of Regulation §1.401(m)—2(a)(6)(v)(B)), cannot be
used for purposes of the ADP Test (including the determination of the
Representative Contribution Rate for purposes of the ADP Test).
	 
	 	(B)	 	Limitation on QMACs. Qualified Matching Contributions are
permitted to be used in the ADP Test only to the extent that such Qualified
Matching Contributions are Matching Contributions that are not precluded from
being taken into account under the ACP Test for the Plan Year under the rules of
Regulation §1.401(m)—2(a)(5)(ii).
	 
	 	(C)	 	Prohibition Against Double-Counting. Qualified
Non-Elective Contributions and Qualified Matching Contributions cannot be taken
into account in the ADP Test to the extent such
contributions are taken into account for purposes of satisfying any other ADP Test,
any ACP Test, or the requirements of Regulation §1.401(k)—3, §1.401(m)—3 or
§1.401(k)—4. Matching Contributions that are made pursuant to Regulation
§1.401(k)—3(c) cannot be taken into account under the ADP Test. Furthermore, if
this Plan switches from the Current Year Testing Method to the Prior Year Testing
Method pursuant to Regulation §1.401(k)—2(c), then Qualified Non-Elective
Contributions that are taken into account under the Current Year Testing Method for
a Plan Year may not be taken into account under the Prior Year Testing Method for
the next Plan Year.

	3.15	 	Actual Contribution Percentage Test and Correction. If a 401(m) Plan is subject to the Actual Contribution Percentage Test (ACP Test)
for a Plan Year, then the following rules will apply:

	 	(a)	 	The ACP Test. The ACP for Participants who are Highly Compensated
Employees for the Plan Year that is being tested and the ACP for Participants who are
Non-Highly Compensated Employees for the Applicable Plan Year must satisfy one of the
following tests:

	 	(1)	 	1.25 Test. The ACP for Participants who are Highly Compensated
Employees for the Plan Year that is being tested will not exceed the ACP for
Participants who are Non-Highly Compensated Employees for the Applicable Plan Year
multiplied by 1.25; or

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	 	(2)	 	Multiplied By 2 or 2% Test. The ACP for Participants who are
Highly Compensated Employees for the Plan Year that is being tested will not exceed
the ACP for Participants who are Non-Highly Compensated Employees for the Applicable
Plan Year multiplied by 2.0, provided, that the ACP for Participants who are Highly
Compensated Employees for the Plan Year that is being tested does not exceed the ACP
for Participants who are Non-Highly Compensated Employees for the Applicable Plan
Year by more than 2 percentage points.

	 	(b)	 	Testing Methods and Restriction. The Sponsoring Employer may elect either
the Prior Year Testing Method or Current Year Testing Method. However, once the
Sponsoring Employer has elected the Current Year Testing Method, the Sponsoring Employer
can elect the Prior Year Testing Method for a Plan Year only if the Plan has used the
Current Year Testing Method for each of the preceding five (5) Plan Years (or if lesser,
the number of Plan Years that the Plan has been in existence) or if, as a result of a
merger or acquisition described in Code §410(b)(6)(C)(i), the Employer maintains both a
401(m) plan using the Prior Year Testing Method and a 401(m) plan using Current Year
Testing Method and the change is made within the transition period described in Code
§410(b)(6)(C)(ii).
	 
	 	(c)	 	Prior Year Testing Method for the First Plan Year. If the Sponsoring
Employer has elected the Prior Year Testing Method for the first Plan Year that the Plan
permits any Participant to make Employee Contributions, provides for Non-Safe Harbor
Matching Contributions, or both (and this is not a successor plan), then the ACP for
Participants who are Non-Highly Compensated Employees for the prior Plan Year will be the
greater of (1) three percent (3%), or (2) the ACP for Participants who are Non-Highly
Compensated Employees for the first Plan Year.
	 
	 	(d)	 	HCEs as Sole Participants in Plan Year Being Tested. If the Sponsoring
Employer has elected the Prior Year Testing Method and if there are no Participants who
were Non-Highly Compensated Employees in the prior Plan Year, then the Plan will be
deemed to satisfy the ACP Test for the Plan Year that is being tested. Similarly, if the
Sponsoring Employer has elected the Current Year Testing Method and if there are no
Participants who are Non-Highly Compensated Employees in the current Plan Year, then the
Plan will be deemed to satisfy the ACP Test for the Plan Year that is being tested. The
provisions of this paragraph may be utilized with the permissive disaggregation rule of
Section 3.15(e)(2).
	 
	 	(e)	 	Special Rule for Early Participation. If this 401(m) Plan provides that
Otherwise Excludable Participants are eligible to participate and if the Plan applies
Code §410(b)(4)(B) in determining whether the 401(m) Plan meets the requirements of Code
§410(b)(1), then in determining whether the 401(m) Plan satisfies the ACP Test, the
Sponsoring Employer may, in the Sponsoring Employer’s discretion (but is not required
to), either:

	 	(1)	 	Early Participation Rule. Pursuant to Code §401(m)(5)(C), perform
the ACP Test for the Plan (determined without regard to disaggregation under
Regulation §1.410(b)—7(c)(3)), by using the ACP for all Participants who are Highly
Compensated Employees for the Plan Year and the ACP for Participants who are
Non-Highly Compensated Employees for the Applicable Plan Year, disregarding all
Otherwise Excludable Participants who are Non-Highly Compensated Employees; or
	 
	 	(2)	 	Permissive Disaggregation Rule. Pursuant to Regulation
§1.401(m)—1(b)(4), disaggregate the Plan into separate plans and perform the ACP
Test separately for all Participants who are Otherwise Excludable Participants and
for all Participants who are not Otherwise Excludable Participants.

	 	(f)	 	HCEs and NHCEs for a Particular Plan Year. A Participant is a Highly
Compensated Employee for a particular Plan Year if that Participant meets the definition
of a Highly Compensated Employee in effect for that Plan Year. Similarly, a Participant
is a Non-Highly Compensated Employee for a particular Plan Year if the Participant does
not meet the definition of a Highly Compensated Employee in effect for that Plan Year.
	 
	 	(g)	 	Plan Aggregation and Coverage Change Rules. If this Plan satisfies the
requirements of Code §401(m), §401(a)(4), or §410(b) only by being aggregated with one or
more other plans of the Sponsoring Employer, or if one or more other plans satisfy the
requirements of Code §401(m), §401(a)(4), or §410(b) only by being aggregated with this
Plan, this Section will be applied by determining the ACP of the Employees as if all such
plans (including this Plan) were a single plan. If the Plan uses the Prior Year Testing
Method and if more than 10% of the Employer’s NHCEs are involved in a plan coverage
change as defined in Regulation §1.401(m)-2(c)(4), any adjustments to the NHCEs’ ACP for
the prior Plan Year will be made in accordance

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	 	 	 	with such Regulations. Plans may be aggregated to satisfy Code §401(m) only if they have
the same Plan Year and use the same ACP testing method (Prior Year Testing Method or
Current Year Testing Method).

	 	(h)	 	Disproportionate Matching Contributions With Respect to Elective Deferrals
Excluded From ACP Test. A Matching Contribution with respect to an Elective Deferral
for a Participant who is a Non-Highly Compensated Employee is not taken into account
under the ACP Test for a Plan Year to the extent that the Matching Contribution exceeds
the greatest of (1) 5% of such Participant’s Code §414(s) Compensation; (2) 100% of the
Participant’s Elective Deferrals for the Plan Year; and (3) the product of 2 times the
Plan’s Representative Matching Rate and the Participant’s Elective Deferrals for the Plan
Year.
	 
	 	(i)	 	Disproportionate Matching Contributions With Respect to Employee Contributions
Excluded From ACP Test. If the Plan provides a Matching Contribution with respect to
the sum of a Participant’s Employee Contributions and Elective Deferrals, then the sum of
the Participant’s Employee Contributions and Elective Deferrals is substituted for the
amount of the Participant’s Elective Deferrals in paragraph (h). Similarly, if the Plan
provides a Matching Contribution with respect to a Participant’s Employee Contributions
(but not Elective Deferrals), then the Participant’s Employee Contributions are
substituted for the amount of the Participant’s Elective Deferrals in paragraph (h).
	 
	 	(j)	 	Matching Contributions Taken Into Account Under Safe Harbor Provisions. If
this Plan satisfies the ACP safe harbor requirements of Code §401(m)(11) for a Plan Year
but nonetheless must satisfy the ACP Test because the Plan provides for Employee
Contributions for such Plan Year, then the Sponsoring Employer is permitted (but is not
required) to apply the ACP Test by disregarding all Matching Contributions with respect
to all Participants. In addition, if this Plan satisfies the ADP safe harbor requirements
of Regulation §1.401(k)—3 for a Plan Year using ADP Safe Harbor Matching Contributions
but does not satisfy the ACP safe harbor requirements of Code §401(m)(11) for such Plan
Year, then the Sponsoring Employer is permitted (but is not required) to apply the ACP
Test by excluding Matching Contributions with respect to all Participants that do not
exceed 4% of each Participant’s Code §414(s) Compensation. If the Plan disregards any
Matching Contributions pursuant to this paragraph, then this disregard must be applied to
all Participants.
	 
	 	(k)	 	Multiple Use Test. Effective for Plan Years beginning after December 31,
2001, the multiple use test is repealed and does not apply to this Plan, pursuant to
EGTRRA §666.
	 
	 	(l)	 	Correction Methods for Failed ACP Test. If a 401(m) Plan is subject to the
Actual Contribution Percentage Test (ACP Test) for a Plan Year and the Plan fails to
satisfy the ACP Test for such Plan Year, then the Sponsoring Employer will use one or
more of the following correction methods to satisfy the ACP Test for such Plan Year (and
the Sponsoring Employer has the discretion to determine which one or more of the
correction methods may be used to satisfy the ACP Test):

	 	(1)	 	Distribution of Excess Aggregate Contributions Plus Income or
Loss. Excess Aggregate Contributions of Highly Compensated Employee(s), plus any
income and minus any loss allocable to such Excess Aggregate Contributions, may be
forfeited (if forfeitable) and may be distributed (if non-forfeitable), pursuant to
Section 5.20.
	 
	 	(2)	 	QNECs and QMACs. The Sponsoring Employer may make Qualified
Matching Contributions pursuant to Section 3.5 and/or Qualified Non-Elective
Contributions pursuant to Section 3.6 to satisfy the ACP Test, subject to the
following limitations: (A) Qualified Non-Elective Contributions are permitted to be
used in the ACP Test only to the extent that such Qualified Non-Elective
Contributions satisfy the limitations of Section 1.43(e); and (B) Qualified Matching
Contributions are permitted to be used in the ACP Test only to the extent that such
Qualified Matching Contributions satisfy the limitations of Section 1.43(c), 1.43(f),
1.43(g), and either 3.15(h) or 3.15(i).

	3.16	 	ADP Safe Harbor Contributions. A 401(k) Plan that satisfies the ADP Safe Harbor Contribution requirements of Code
§401(k)(12) for a Plan Year is a Safe Harbor 401(k) Plan if it satisfies the following
requirements:

	 	(a)	 	ADP Safe Harbor Contribution. The Sponsoring Employer makes an ADP Safe
Harbor Contribution on behalf of each Safe Harbor Participant, equal to either an ADP
Safe Harbor Non-Elective Contribution or an ADP Safe Harbor Matching Contribution, that
satisfies the following requirements:

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	 	(1)	 	ADP Safe Harbor Non-Elective Contribution. An ADP Safe Harbor
Non-Elective Contribution equal to at least three percent (3%) of the Safe Harbor
Participant’s Compensation for the Plan Year; or
	 
	 	(2)	 	ADP Safe Harbor Matching Contribution. An ADP Safe Harbor Matching
Contribution in an amount determined under either a basic matching formula or an
enhanced matching formula, that satisfies the following requirements:

	 	(A)	 	Basic Matching Formula. An ADP Safe Harbor Matching
Contribution in an amount equal to the sum of (i) 100% of the amount of the Safe
Harbor Participant’s Elective Deferrals that do not exceed 3% of the Safe Harbor
Participant’s Compensation; plus (ii) 50% of the amount of the Safe Harbor
Participant’s Elective Deferrals that exceed 3% of the Safe Harbor Participant’s
Compensation but that do not exceed 5% of the Safe Harbor Participant’s
Compensation.
	 
	 	(B)	 	Enhanced Matching Formula. An ADP Safe Harbor Matching
Contribution formula that, at any rate of the Safe Harbor Participant’s Elective
Deferrals, provides an aggregate amount of ADP Safe Harbor Matching Contributions
that is at least equal to the aggregate amount of ADP Safe Harbor Matching
Contributions that would have been provided under the basic matching formula of
subparagraph (a)(2)(A) above. Furthermore, the ratio of a Safe Harbor
Participant’s ADP Safe Harbor Matching Contributions under the enhanced matching
formula for a Plan Year to the Safe Harbor Participant’s Elective Deferrals may
not increase as the amount of a Safe Harbor Participant’s Elective Deferrals
increases.
	 
	 	(C)	 	Limitation on HCE Matching Contributions. The ratio of ADP
Safe Harbor Matching Contributions to Elective Deferrals of a Safe Harbor
Participant who is a Highly Compensated Employee must not exceed the ratio of ADP
Safe Harbor Matching Contributions to Elective Deferrals of any Safe Harbor
Participant who is a Non-Highly Compensated Employee with Elective Deferrals at
the same percentage of Compensation as any Highly Compensated Employee.
	 
	 	(D)	 	ADP Safe Harbor Matching Contributions on Employee
Contributions. ADP Safe Harbor Matching Contributions may be made on both
Elective Deferrals and Employee Contributions if the ADP Safe Harbor Matching
Contributions are made on the sum of Elective Deferrals and Employee
Contributions on the same terms as ADP Safe Harbor Matching Contributions that
are made with respect to Elective Deferrals alone. Alternatively, ADP Safe Harbor
Matching Contributions may be made on Elective Deferrals and Employee
Contributions if ADP Safe Harbor Matching Contributions on Elective Deferrals are
not affected by the amount of Employee Contributions.
	 
	 	(E)	 	Periodic Matching Contributions. If the Employer elects to
contribute and allocate separately ADP Safe Harbor Matching Contributions for an
Allocation Period of less than the Plan Year (e.g., each payroll period or with
respect to all payroll periods ending with or within each month or quarter of a
Plan Year), then such ADP Safe Harbor Matching Contributions with respect to any
Elective Deferrals made during a Plan Year quarter will be contributed to the
Plan by the last day of the immediately following Plan Year quarter.
	 
	 	(F)	 	Catch-Up Contributions. Catch-Up Contributions will be
treated as any other Elective Deferrals and will be matched according to the ADP
Safe Harbor Matching Contribution formula as if the Catch-Up Contributions were
any other Elective Deferrals.
	 
	 	(G)	 	Permissible Restrictions on Elective Deferrals by NHCEs.
Elective Deferrals by Safe Harbor Participants who are NHCEs cannot be
restricted, except pursuant to the following rules:

	 	(i)	 	Restrictions on Election Periods. The Plan may limit
the frequency and duration of periods in which Safe Harbor Participants may
make or change cash or deferred elections under the Plan. However, a Safe
Harbor Participant must have a reasonable opportunity (including a reasonable
period after receipt of the Safe Harbor Notice) to make or change a cash or
deferred election for the Plan Year. A 30-day period is deemed to be a
reasonable period to make or change a cash or deferred election.
	 
	 	(ii)	 	Restrictions on Amount of Elective Deferrals. The
Plan may limit the amount of Elective Deferrals that may be made by a Safe
Harbor Participant, provided that each Safe Harbor

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	 	 	 	Participant who is a NHCE
is permitted (unless restricted under paragraph (a)(2)(G)(iv)) to make
Elective Deferrals in an amount that is at least sufficient to receive the
maximum amount of ADP Safe Harbor Matching Contributions available under the
Plan for the Plan Year, and the Safe Harbor Participant who is a NHCE is
permitted to elect any lesser amount of Elective Deferrals. However, the Plan
may limit cash or deferred elections to whole percentages of Compensation or
whole dollar amounts.
	 
	 	(iii)	 	Restrictions on Types of Compensation that May Be
Deferred. The Plan may limit the types of Compensation that may be
deferred by a Safe Harbor Participant, provided that each Safe Harbor
Participant who is a Non-Highly Compensated Employee is permitted to make
Elective Deferrals under a definition of Compensation that is a reasonable
definition of compensation within the meaning of Regulation
§1.414(s)—1(d)(2). Therefore, the definition of Compensation from which
Elective Deferrals may be made is not required to satisfy the
nondiscrimination requirement of Regulation §1.414(s)—1(d)(3).
	 
	 	(iv)	 	Restrictions Due to Limitations Under the Code. The
Plan may limit the amount of Elective Deferrals made by an a Safe Harbor
Participant under the Plan either [a] because of the limitations of Code
§402(g) or §415; or [b] because, on account of a financial hardship
distribution, the Safe Harbor Participant’s ability to make Elective Deferrals
has been suspended for 6 months in accordance with Regulation
§1.401(k)—1(d)(3)(iv)(E).

	 	(b)	 	Safe Harbor Notice. The Sponsoring Employer must give a Safe Harbor Notice
to each Safe Harbor Participant, which must satisfy the following content and timing
requirements:

	 	(1)	 	Safe Harbor Notice Must Be Written. The Safe Harbor Notice must be
in writing or in such other form of communication as permitted by Regulation
§1.401(a)—21.
	 
	 	(2)	 	Content Requirements. The content requirement for a Safe Harbor
Notice is satisfied if the Safe Harbor Notice is sufficiently accurate and
comprehensive to inform the Safe Harbor Participant of the Safe Harbor Participant’s
rights and obligations under the Plan; and the Safe Harbor Notice is written in a
manner calculated to be understood by the average Safe Harbor Participant in the
Plan. A Safe Harbor Notice will satisfy this content requirement if the Safe Harbor
Notice accurately describes (A) the ADP Safe Harbor Contribution formula used by the
Plan (including a description of the levels of ADP Safe Harbor Matching
Contributions, if any, available under the Plan); (B) any other contributions under
the Plan or Matching Contributions to another plan on account of Elective Deferrals
or Employee Contributions under this Plan (including the potential for discretionary
Matching Contributions) and the conditions under which such contributions are made;
(C) the plan to which the ADP Safe Harbor Contribution will be made (if different
than this Plan); (D) the type and amount of Compensation that may be deferred under
the Plan; (E) how to make cash or deferred elections, including any administrative
requirements that apply to such elections; (F) the periods available under the Plan
for making cash or deferred elections; (G) the distribution and Vesting provisions
applicable to contributions under the Plan; and (H) information that makes it easy to
obtain additional information about the Plan (including an additional copy of the
summary plan description) such as telephone numbers, addresses and, if applicable,
electronic addresses, of individuals or offices from whom Safe Harbor Participants
can obtain such Plan information. The Safe Harbor Notice may cross-reference relevant
portions of a summary plan description that provides the same information that would
be provided (or is concurrently provided) to Safe Harbor Participants, with respect
to information described in (i) paragraph (b)(2)(B) (relating to any other
contributions under the Plan); (ii) paragraph (b)(2)(C) (relating to the plan to
which safe harbor contributions will be made); and/or (iii) paragraph (b)(2)(D)
(relating to the type and amount of Compensation that may be deferred under the
Plan).
	 
	 	(3)	 	Timing Requirement. The timing requirement for a Safe Harbor
Notice is satisfied if the Safe Harbor Notice is provided within a reasonable period
before the beginning of the Plan Year (or, in the Plan Year in which an Employee will
become a Safe Harbor Participant, within a reasonable period before the Employee
becomes a Safe Harbor Participant). The determination of whether a Safe Harbor Notice
satisfies the timing requirement is based on all of the relevant facts and
circumstances. However, this timing requirement is deemed to be satisfied if at least
30 days, but not more than 90 days, or any other reasonable period, before the
beginning of a Plan Year, the Safe Harbor Notice is given to each Safe Harbor
Participant for the Plan Year. In the case of an Employee who does not receive the Safe Harbor

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	 	 	 	Notice within the period described in the previous sentence because the
Employee becomes a Safe Harbor Participant after the 90th day before the beginning of
the Plan Year, the timing requirement is deemed to be satisfied if the Safe Harbor
Notice is provided no more than 90 days before the Employee becomes a Safe Harbor
Participant (and no later than the date that the Employee becomes a Safe Harbor
Participant). The preceding sentence would apply in the case of any Employee who
becomes a Safe Harbor Participant for the first Plan Year under a newly established
plan that provides for Elective Deferrals, or would apply in the case of the first
Plan Year in which an Employee becomes a Safe Harbor Participant under an existing
plan that provides for Elective Deferrals.

	 	(c)	 	Plan Year Requirement. Except as provided in this paragraph or paragraph
(d), the Sponsoring Employer must adopt ADP Safe Harbor Contribution provisions before
the first day of the Plan Year and remain in effect for an entire 12-month Plan Year. In
addition, except as provided in paragraph (e), if the Plan includes ADP Safe Harbor
Contribution provisions, then the Plan cannot be amended to change such provisions for
that Plan Year. Moreover, if ADP Safe Harbor Non-Elective Contributions or ADP Safe
Harbor Matching Contributions will be made to another plan for a Plan Year, provisions
under that other plan that specify that the ADP Safe Harbor Contributions will be made
and provide that the contributions will be ADP Safe Harbor Non-Elective Contributions or
ADP Safe Harbor Matching Contributions must also be adopted before the first day of that
Plan Year. A 401(k) Plan will be considered to be a Safe Harbor 401(k) Plan for a Plan
Year of less than 12 months, pursuant to the following rules:

	 	(1)	 	Initial Plan Year. If this Plan is a newly established plan (other
than a successor plan within the meaning of Regulation §1.401(k)—2(c)(2)(iii)), then
the Plan Year may be less than 12 months, provided that the Plan Year is at least 3
months long (or, in the case of a newly established Employer that establishes the
Plan as soon as administratively feasible after the employer comes into existence, a
shorter period). Similarly, a cash or deferred arrangement may be added to an
existing profit sharing, stock bonus, or pre-ERISA money purchase pension plan for
the first time during that Plan Year, provided that (A) the Plan is not a successor
plan; and (B) the cash or deferred arrangement is made effective no later than 3
months prior to the end of the Plan Year.
	 
	 	(2)	 	Change of Plan Year. If the Plan has a short Plan Year as a result
of changing its Plan Year, then the Plan Year may be less than 12 months, provided
that (A) the Plan satisfied the requirements of this Section for the immediately
preceding Plan Year; and (B) the Plan satisfies the requirements of this Section
(determined without regard to paragraph (e)) for the immediately following Plan Year
(or for the immediately following 12 months if the immediately following Plan Year is
less than 12 months).
	 
	 	(3)	 	Final Plan Year. If the Plan terminates during a Plan Year, then
the final Plan Year may be less than 12 months, provided that the Plan satisfies the
requirement of this Section through the date of termination and either (A) the Plan
satisfies the requirements of paragraph (e), treating the termination of the Plan as
a reduction or suspension of ADP Safe Harbor Matching Contributions, other than the
requirement that Safe Harbor Participants have a reasonable opportunity to change
their cash or deferred elections and, if applicable, Employee Contribution elections;
or (B) the Plan termination is in connection with a transaction described in Code
§410(b)(6)(C) or the employer incurs a substantial business hardship comparable to a
substantial business hardship described in Code §412(d).

	 	(d)	 	Contingent ADP Safe Harbor Non-Elective Contributions. Notwithstanding
paragraph (c), if the Plan provides for the use of the Current Year Testing Method, then
the Plan may be amended after the first day of the Plan Year and no later than 30 days
before the last day of the Plan Year to adopt ADP Safe Harbor Non-Elective Contributions
for the Plan Year, effective as of the first day of the Plan Year, but only if the Plan
provides the contingent Safe Harbor Notice and follow-up Safe Harbor Notice:

	 	(1)	 	Contingent Safe Harbor Notice Provided. The requirement to provide
the contingent Safe Harbor Notice is satisfied, if the Sponsoring Employer provides a
Safe Harbor Notice that would satisfy the requirements of paragraph (b), except that,
in lieu of setting forth the ADP Safe Harbor Contributions used under the Plan as set
forth in paragraph (b)(2)(A), the Safe Harbor Notice specifies that the Plan may be
amended during the Plan Year to include the ADP Safe Harbor Non-Elective Contribution
and that, if the Plan is amended, a follow-up Safe Harbor Notice will be provided.

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	 	(2)	 	Follow-up Safe Harbor Notice Requirement. The requirement to
provide the follow-up Safe Harbor Notice is satisfied if, no later than 30 days
before the last day of the Plan Year, each Safe Harbor Participant is given a Safe
Harbor Notice that states that the ADP Safe Harbor Non-Elective Contribution will be
made for the Plan Year. The Safe Harbor Notice must be in writing or in such other
form of communication as permitted by Regulation §1.401(a)—21 and is permitted to be
combined with a contingent Safe Harbor Notice for the next Plan Year.

	 	(e)	 	Permissible Reduction or Suspension of ADP Safe Harbor Matching
Contributions. If the Plan provides for ADP Safe Harbor Matching Contributions for a
Plan Year, then the Plan may be amended during the Plan Year to reduce or suspend ADP
Safe Harbor Matching Contributions on future Elective Deferrals (and, if applicable,
Employee Contributions), provided that:

	 	(1)	 	Supplemental Notice. All Safe Harbor Participants are provided a
supplemental notice in writing or in such other form of communication as permitted by
Regulation §1.401(a)—21, that explains (A) the consequences of the amendment which
reduces or suspends ADP Safe Harbor Matching Contributions on future Elective
Deferrals and, if applicable, Employee Contributions; (B) the procedures for changing
their cash or deferred election and, if applicable, their Employee Contribution
elections; and (C) the effective date of the amendment.
	 
	 	(2)	 	Effective Date. The reduction or suspension of ADP Safe Harbor
Matching Contributions is effective no earlier than the later of (A) 30 days after
Safe Harbor Participants are provided the supplemental notice, or (B) the date that
the amendment is adopted.
	 
	 	(3)	 	Opportunity to Change Deferral Elections. Safe Harbor Participants
are given a reasonable opportunity (including a reasonable period after receipt of
the supplemental notice) prior to the reduction or suspension of safe harbor matching
contributions to change their cash or deferred elections and, if applicable, their
Employee Contribution elections.
	 
	 	(4)	 	Satisfaction of ADP Test. The Plan is amended to provide that the
ADP Test will be satisfied for the entire Plan Year in which the reduction or
suspension occurs using the Current Year Testing Method.
	 
	 	(5)	 	Satisfaction Through Effective Date. The Plan satisfies the
requirements of this Section (other than this paragraph) with respect to Elective
Deferrals and/or Employee Contributions through the effective date of the amendment.

	 	(f)	 	Additional Rules. The following additional rules apply to ADP Safe Harbor
Contributions:

	 	(1)	 	ADP Safe Harbor Contributions Taken into Account. An ADP Safe
Harbor Contribution is taken into account for purposes of this Section for a Plan
Year if the ADP Safe Harbor Contribution would be taken into account for such Plan
Year under the rules of Regulation §1.401(k)—2(a) or §1.401(m)—2(a). Thus, an ADP
Safe Harbor Matching Contribution must be made within 12 months after the end of the
Plan Year. Similarly, an Elective Deferral that would be taken into account for a
Plan Year under Regulation §1.401(k)—2(a)(4)(i)(B)(2) must be taken into account for
such Plan Year for purposes of this Section, even if the Compensation would have been
received after the close of the Plan Year.
	 
	 	(2)	 	Use of ADP Safe Harbor Non-Elective Contributions for Other
Non-Discrimination Tests. ADP Safe Harbor Non-Elective Contributions may also be
taken into account for purposes of determining whether the Plan satisfies Code
§401(a)(4). Thus, ADP Safe Harbor Non-Elective Contributions are not subject to the
limitations on Qualified Non-Elective Contributions under Regulation
§1.401(k)—2(a)(6)(ii), but are subject to the rules generally applicable to
Non-Elective Contributions under Code §401(a)(4) and Regulation
§1.401(a)(4)—1(b)(2)(ii). However, pursuant to Code §401(k)(12)(E)(ii), ADP Safe
Harbor Matching Contributions and ADP Safe Harbor Non-Elective Contributions may not
be taken into
account under the Plan (or any other plan) for purposes of Code §401(l) (including the
imputation of permitted disparity under Regulation §1.401(a)(4)—7).
	 
	 	(3)	 	Early Participation Rule. The Plan is permitted to apply the rules
of Code §410(b)(4)(B) to treat the Plan as two separate plans for purposes of Code
§410(b) and apply the safe harbor requirements to one plan and apply the requirements
of Regulation §1.401(k)—2 to the other plan.

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	 	(4)	 	Satisfying ADP Safe Harbor Contribution Requirements Under Another
Plan. ADP Safe Harbor Non-Elective Contributions or ADP Safe Harbor Matching
Contributions may be made to this Plan or to another defined contribution plan that
satisfies Code §401(a) or §403(a). If ADP Safe Harbor Contributions are made to
another defined contribution plan, then this Plan must specify the plan to which the
ADP Safe Harbor Contributions are being made and the ADP Safe Harbor Contribution
requirements of paragraph (a) must be satisfied in the other defined contribution
plan in the same manner as if the ADP Safe Harbor Contributions were made to this
Plan. The plan to which the ADP Safe Harbor Contributions are being made must have
the same Plan Year as this Plan, and each Safe Harbor Participant under this Plan
must be eligible under the same conditions under the other defined contribution plan.
The plan to which the ADP Safe Harbor Contributions are being made need not be a plan
that can be aggregated with this Plan.
	 
	 	(5)	 	Contributions Used Only Once. ADP Safe Harbor Non-Elective
Contributions or ADP Safe Harbor Matching Contributions cannot be used to satisfy the
ADP Safe Harbor Contribution requirements for more than one plan.

	3.17	 	ACP Safe Harbor Contributions. Matching Contributions (including, if applicable, ADP Safe Harbor Matching
Contributions) that satisfy the ACP Safe Harbor Matching Contribution requirements of Code
§401(m)(11) for a Plan Year are ACP Safe Harbor Matching Contributions in a Safe Harbor 401(m)
Plan if such contributions (including, if applicable, ADP Safe Harbor Matching Contributions)
satisfy the following requirements:

	 	(a)	 	Satisfaction of ADP Safe Harbor Contribution Requirements. The Plan must
satisfy the ADP Safe Harbor Contribution requirements of Section 3.16 with either ADP
Safe Harbor Non-Elective Contributions (including contingent ADP Safe Harbor Non-Elective
Contributions of Section 3.16(d)) or ADP Safe Harbor Matching Contributions. Pursuant to
Code §401(k)(12)(E)(ii), the ADP Safe Harbor Contribution requirements must be satisfied
without regard to Code §401(l).
	 
	 	(b)	 	Limitation on Matching Contributions. The Plan that provides for ACP Safe
Harbor Matching Contributions must satisfy the following limitations:

	 	(1)	 	Matching Contribution Rate Must Not Increase. The ratio of
Matching Contributions on behalf of a Safe Harbor Participant for a Plan Year to the
Safe Harbor Participant’s Elective Deferrals and Employee Contributions, cannot
increase as the amount of a Safe Harbor Participant’s Elective Deferrals and Employee
Contributions increases;
	 
	 	(2)	 	Matching Contribution Cannot Be Made for Deferrals in Excess of 6% of
Compensation. Matching Contributions cannot be made with respect to Elective
Deferrals or Employee Contributions that exceed six percent (6%) of the Safe Harbor
Participant’s Compensation;
	 
	 	(3)	 	Discretionary Matching Contribution Cannot Exceed 4% of
Compensation. If Matching Contributions are discretionary, then the
discretionary Matching Contributions cannot exceed 4% of the Safe Harbor
Participant’s Compensation; and
	 
	 	(4)	 	Limitation on Rate of Match. The ratio of Matching Contributions
on behalf of a Safe Harbor Participant who is a HCE to his or her Elective Deferrals
or Employee Contributions (or to the sum thereof) for that Plan Year is no greater
than the ratio of Matching Contributions to Elective Deferrals or Employee
Contributions (or the sum of Elective Deferrals and Employee Contributions) that
would apply with respect to any Safe Harbor Participant who is a NHCE for whom the
Elective Deferrals or Employee Contributions (or the sum of Elective Deferrals and
Employee Contributions) are the same percentage of Compensation. The determination of
the rate of Matching Contributions will be made pursuant to the rules of Regulation
§1.401(m)-3(d)(4) and §1.401(m)-3(d)(5).
	 
	 	(5)	 	Catch-Up Contributions. With respect to ACP Safe Harbor Matching
Contributions, Catch-Up Contributions will be treated as any other Elective Deferrals
and will be matched according to the ACP Safe Harbor Matching Contribution formula as
if the Catch-Up Contributions were Elective Deferrals.

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	 	(6)	 	Permissible Restrictions on Elective Deferrals or Employee
Contributions by NHCEs. Elective Deferrals and/or Employee Contributions by Safe
Harbor Participants who are NHCEs cannot be restricted, except pursuant to the rules
of Section 3.16(a)(2)(G) (which rules will apply to Elective Deferrals and/or
Employee Contributions) and Regulation §1.401(m)-3(d)(6).

	 	(c)	 	Safe Harbor Notice. The Sponsoring Employer must give a Safe Harbor Notice
to each Safe Harbor Participant that satisfies the content and timing requirements of
Section 3.16(b) and Reg. §1.401(k)-3(d).
	 
	 	(d)	 	Plan Year Requirement. The Sponsoring Employer must adopt ACP Safe Harbor
Matching Contributions provisions before the first day of the Plan Year and remain in
effect for an entire 12-month Plan Year, subject to the rules and exceptions of Section
3.16(c) (which will apply to ACP Safe Harbor Matching Contributions) and Regulation
§1.401(m)-3(f). For purposes of an initial Plan Year of a Plan, the amendment providing
for ACP Safe Harbor Matching Contributions must be made effective at the same time as the
adoption of a cash or deferred arrangement that satisfies the requirements of Regulation
§1.401(k)-3.
	 
	 	(e)	 	Permissible Reduction or Suspension of ACP Safe Harbor Matching
Contributions. If the Plan provides for ACP Safe Harbor Matching Contributions for a
Plan Year, then the Plan may be amended during the Plan Year to reduce or suspend ACP
Safe Harbor Matching Contributions on future Elective Deferrals (and, if applicable,
Employee Contributions), subject to the rules of Section 3.16(e) (which rules will apply
to ACP Safe Harbor Matching Contributions) and Regulation §1.401(m)-3(h).
	 
	 	(f)	 	Additional Rules. The following additional rules apply to ACP Safe Harbor
Matching Contributions:

	 	(1)	 	ACP Safe Harbor Matching Contributions Taken into Account. An ACP
Safe Harbor Matching Contribution is taken into account for purposes of this Section
for a Plan Year, pursuant to the same rules of Section 3.16(f)(1) and Regulation
§1.401(k)-3(h)(1).
	 
	 	(2)	 	Early Participation Rule. The Plan is permitted to apply the rules
of Code §410(b)(4)(B) to treat the 401(m) Plan as two separate plans for purposes of
Code §410(b) and apply the safe harbor requirements to one plan and apply the
requirements of Regulation §1.401(m)—2 to the other plan.
	 
	 	(3)	 	Satisfying ACP Safe Harbor Matching Contribution Requirements Under
Another Plan. ACP Safe Harbor Matching Contributions may be made to this Plan or
to another defined contribution plan that satisfies Code §401(a) or §403(a), pursuant
to the same rules of Section 3.16(f)(4) and Regulation §1.401(k)-3(h)(4).
Consequently, each Safe Harbor Participant who is a NHCE under the plan providing for
ACP Safe Harbor Matching Contributions must be eligible under the same conditions
under the other defined contribution plan and the plan to which the contributions are
made must have the same Plan Year as the plan providing the ACP Safe Harbor Matching
Contributions.
	 
	 	(4)	 	ACP Safe Harbor Matching Contributions Used Only Once. ACP Safe
Harbor Matching Contributions cannot be used to satisfy the ACP Safe Harbor Matching
Contribution requirements for more than one plan.
	 
	 	(5)	 	Plan Must Satisfy ACP Test With Respect to Employee Contributions.
If this Plan permits Employee Contributions, then in addition to satisfying the
requirements of this Section, the Plan must also satisfy the ACP Test. However, the
ACP Test is permitted to be performed disregarding some or all ACP Safe Harbor
Matching Contributions when this Section is satisfied with respect to the ACP Safe
Harbor Matching Contributions, pursuant to Section 3.15(j) and Regulation
§1.401(m)-2(a)(5)(iv).

	3.18	 	General Non-Discrimination Test Requirements. For Plan Years beginning on or after January 1, 2002, if the Sponsoring Employer
applies the general test for non-discrimination as set forth in Code §401(a)(4) based upon
Equivalent Accrual Rates to demonstrate that a Non-Safe Harbor Non-Elective Contribution that
is made to this Plan is non-discriminatory, or if a Non-Safe Harbor Non-Elective Contribution
that is made to this Plan is aggregated with one or more other plans of the
Sponsoring Employer so that the Sponsoring Employer can apply the general test for
non-discrimination set forth in Code §401(a)(4) based upon Equivalent Accrual Rates for the
defined contribution plan(s) (including this Plan) to demonstrate that the plans (including
this Plan) are non-discriminatory, then the following rules will apply:

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	 	(a)	 	Defined Contribution Rule. If this Plan (or any defined contribution
plan(s) which are aggregated with this Plan) is not aggregated with any defined benefit
plan of the Sponsoring Employer for purposes of applying the general test for
non-discrimination based upon Equivalent Accrual Rates for this Plan (or any defined
contribution plan(s) which are aggregated with this Plan), then any NHCE who is a
Participant in this Plan (or, if any defined contribution plan(s) are aggregated with
this Plan, any NHCE who is a Participant in this Plan or the other defined contribution
plan(s)) and who receives an allocation of Non-Elective Contributions and/or QNECs must
receive an allocation of Non-Elective Contributions and/or QNECs that is at least equal
to the Minimum Allocation Gateway for the Plan Year, subject to the following provisions:

	 	(1)	 	Circumstances When Minimum Allocation Gateway Not Required. The
Minimum Allocation Gateway requirement need not be satisfied if this Plan (or the
group of any defined contribution plan(s) which are aggregated with this Plan) has
Broadly Available Allocation Rates or a Gradually Increasing Age or Service Schedule.
	 
	 	(2)	 	Treatment of Otherwise Excludable Participants. For purposes of
this paragraph (a), Otherwise Excludable Participants will not be considered.

	 	(b)	 	Combination of Defined Benefit/Defined Contribution Rule. If this Plan (or
any defined contribution plan(s) which are aggregated with this Plan) is aggregated with
any defined benefit plan for purposes of applying the general test for non-discrimination
based upon Equivalent Accrual Rates for this Plan (or any defined contribution plan(s)
which are aggregated with this Plan), then the Aggregate Normal Allocation Rate of each
Non-Highly Compensated Employee in any plan that is part of the aggregated defined
benefit plan(s) and defined contribution plan(s) (including this Plan) must be at least
equal to the Minimum Aggregate Allocation Gateway for the Plan Year, subject to the
following provisions:

	 	(1)	 	Circumstances When Minimum Aggregate Allocation Gateway Not
Required. The Minimum Aggregate Allocation Gateway requirement need not be
satisfied if the aggregated combination of defined benefit plan(s) and defined
contribution plan(s) (including this Plan) either is Primarily Defined Benefit in
Character or consists of Broadly Available Separate Plans.
	 
	 	(2)	 	Treatment of Otherwise Excludable Participants. For purposes of
this paragraph (b), Otherwise Excludable Participants will not be considered.

	3.19	 	Annual Overall and Cumulative Permitted Disparity Limit. In any Plan Year, if an Employee benefits under more than one plan, then the
annual overall permitted disparity limit of this Section is satisfied only if an Employee’s
Total Annual Disparity Fraction does not exceed one. Furthermore, the cumulative permitted
disparity limit for a Participant is 35 Total Cumulative Permitted Disparity Years. The
following rules apply in determining compliance with the two prior sentences:

	 	(a)	 	Plans Taken into Account. All plans of the Employer are taken into
account. In addition, all plans of any other employer are taken into account for all
Service with the other employer for which the Employee receives credit for purposes of
allocations/benefit accruals under any plan of the current Employer.
	 
	 	(b)	 	Application of the Limit. The limit of this Section takes into account the
disparity provided under a section 401(l) plan as defined in Regulation §1.401(a)(4)-12
and the permitted disparity imputed under a plan that satisfies Code §401(a)(4) by
relying on Regulation §1.401(a)(4)-7.
	 
	 	(c)	 	Total Annual Disparity Fraction. The term “Total Annual Disparity
Fraction” means the sum of the Employee’s Annual Disparity Fractions for a Plan Year. An
Employee’s Total Annual Disparity Fraction is determined as of the end of each Plan Year,
based on the Employee’s Annual Disparity Fractions under all plans with plan years ending
in the current Plan Year. The following subparagraphs determine an Employee’s Annual
Disparity Fractions:

	 	(1)	 	Annual Disparity Fraction for a Defined Contribution Plan. The
Annual Disparity Fraction for an Employee benefiting under a defined contribution
plan that is a section 401(l) plan, as defined in Regulation §1.401(a)(4)-12, is a
fraction: (A) the numerator of which is the disparity provided under the plan for the
Plan Year; and (B) the denominator of which is the maximum excess allowance under
Regulation §1.401(l)-2(b)(2) for the Plan Year.

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	 	(2)	 	Annual Disparity Fraction for a Defined Benefit Excess Plan. The
Annual Disparity Fraction for an Employee benefiting under a defined benefit excess
plan that is a section 401(l) plan, as defined in Regulation §1.401(a)(4)-12, is a
fraction: (A) the numerator of which is the disparity provided under the plan for the
Plan Year; and (B) the denominator of which is the maximum excess allowance under
Regulation §1.401(l)-3(b)(2) for the Plan Year.
	 
	 	(3)	 	Annual Disparity Fraction for a Defined Benefit Offset Plan. In
general, the Annual Disparity Fraction for an Employee benefiting under a defined
benefit offset plan that is a section 401(l) plan, as defined in Regulation
§1.401(a)(4)-12, is a fraction: (A) the numerator of which is the disparity provided
under the plan for the Plan Year; and (B) the denominator of which is the maximum
offset allowance under Regulation §1.401(l)-3(b)(3) for the Plan Year. However, if a
defined benefit offset plan applies an offset of a specified percentage of the
employee’s PIA, as permitted under Regulation §1.401(l)-3(c)(2)(ix), then the
numerator of the prior sentence is the offset percentage used in the Code §401(l)
overlay under the plan.
	 
	 	(4)	 	Annual Disparity Fraction for a Plan that Imputes Disparity. The
Annual Disparity Fraction for an Employee benefiting under a plan that imputes
permitted disparity with respect to the Employee under Regulation §1.401(a)(4)-7 is
one.
	 
	 	(5)	 	Annual Disparity Fraction for a Plan That Is Neither a Section 401(l)
Plan Nor Imputes Disparity. The Annual Disparity Fraction for an Employee
benefiting under a plan that neither is a section 401(l) plan as defined in
Regulation §1.401(a)(4)-12 nor imputes permitted disparity under Regulation
§1.401(a)(4)-7 is zero.
	 
	 	(6)	 	Determination of Annual Disparity Fractions. Generally, a separate
Annual Disparity Fraction is determined for each plan under which the Employee
benefits. If two plans are aggregated and treated as a single plan for purposes of
Code §401(a)(4), a single annual disparity fraction applies to the aggregated plan.
However, if a plan provides an allocation or benefit equal to the sum of two or more
formulas, then each formula is considered a separate plan for purposes of this
Section. If a plan provides an allocation or benefit equal to the greater of two or
more formulas, then an Annual Disparity Fraction is calculated for the Employee under
each formula and the largest of the fractions is the Employee’s Annual Disparity
Fraction under the plan.

	 	(d)	 	Adjustment to Plans if the Total Annual Disparity Fraction Exceeds One. If
(1) this Plan utilizes the disparity provided under a section 401(l) plan as defined in
Regulation §1.401(a)(4)-12 and/or the permitted disparity imputed under a plan that
satisfies Code §401(a)(4) by relying on Regulation §1.401(a)(4)-7, and (2) the Total
Annual Disparity Fraction exceeds one, then the following provisions will apply in a
uniform manner for all Employees:

	 	(1)	 	Other Plan(s) Have Adjustment Method. If the other plan(s) have a
method to adjust Employer-provided contributions or benefits to assure that the Total
Annual Disparity Fraction does not exceed one, the adjustment method of the other
plan(s) will apply.
	 
	 	(2)	 	Other Plan(s) Do Not Have Adjustment Method. If the other plan(s)
do not have a method to adjust employer-provided contributions or benefits to assure
that the Total Annual Disparity Fraction does not exceed one, then the Sponsoring
Employer will establish a administrative policy that is promulgated under Section 8.6
that adjusts Employer-provided contributions or benefits so that the Total Annual
Disparity Fraction does not exceed one.

	 	(e)	 	Cumulative Permitted Disparity Limit. Effective for Plan Years beginning
on or after January 1, 1995, the cumulative permitted disparity limit for a Participant
is 35 Total Cumulative Permitted Disparity Years. The term “Total Cumulative Permitted
Disparity Years” means the number of Plan Years credited to the Participant for
allocation or accrual purposes under this Plan, and under any other qualified plan or
simplified employee pension plan (whether or not terminated) ever maintained by the
Employer. For purposes of determining the Participant’s cumulative permitted disparity
limit, all Plan Years ending in the same calendar year are treated as the same Plan Year.
If the Participant has not benefited under a defined benefit or target benefit plan for
any year beginning on or after January 1, 1994, then the Participant has no cumulative
disparity limit. For purposes of the prior sentence, a Participant is not treated as
benefiting under a defined benefit plan for a Plan Year if the defined benefit plan was
not a section 401(l) plan within the

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	 	 	 	meaning of Regulation §1.401(a)(4)-12 for that Plan
Year and did not impute permitted disparity under Regulation §1.401(a)(4)-7 for that Plan
Year.

	3.20	 	Deemed IRA Contributions. Deemed IRA Contributions are not permitted.

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Article 4

Plan Benefits

	4.1	 	Benefit Upon Normal Retirement. Every Participant who has reached Normal Retirement Age will be entitled upon
subsequent Termination of Employment with the Employer to receive his or her Vested Aggregate
Account balance determined as of the most recent Valuation Date coinciding with or immediately
preceding the date of distribution. Distribution will be made under Section 5.1.
	 
	4.2	 	Benefit Upon Late Retirement. A Participant who has reached Normal Retirement Age may elect to remain employed by the
Employer and retire at a later date. Such Participant will continue to participate in the Plan
and his or her Participant’s Account will continue to receive allocations under Article 3.
Upon actual retirement, the Participant will be entitled to his or her Vested Aggregate
Account balance determined as of the most recent Valuation Date coinciding with or immediately
preceding the date of distribution. A Participant who elects late retirement may at any time
(1) choose to have distributed prior to actual retirement all or part of his or her Vested
Aggregate Account determined as of the most recent Valuation Date coinciding with or
immediately preceding the date of distribution; or (2) choose to have such Vested Aggregate
Account transferred to another qualified retirement plan maintained by the Employer. Upon
actual retirement, the Participant will be entitled to his or her undistributed Vested
Aggregate Account balance determined as of the most recent Valuation Date coinciding with or
immediately preceding the date of distribution. Distribution will be made in accordance with
Section 5.1.
	 
	4.3	 	Benefit Upon Death. Upon the death of a Participant prior to Termination of Employment with the Employer,
or upon the death of a Terminated Participant prior to distribution of his or her Vested
Aggregate Account, his or her Beneficiary will be entitled to the Participant’s Vested
Aggregate Account balance determined as of the most recent Valuation Date coinciding with or
immediately preceding the date of distribution. If any Beneficiary who is living on the date
of the Participant’s death dies prior to receiving his or her entire death benefit, the
portion of such death benefit will be paid in a lump sum to the estate of such deceased
Beneficiary. The Administrator’s determination that a Participant has died and that a
particular person has a right to receive a death benefit will be final. Distribution will be
made under Section 5.2.
	 
	4.4	 	Benefit Upon Disability. If a Participant suffers a Disability prior to Termination of Employment with the
Employer, or if a Terminated Participant suffers a Disability prior to distribution of his or
her Vested Aggregate Account, he or she will be entitled to his or her Vested Aggregate
Account balance determined as of the most recent Valuation Date coinciding with or immediately
preceding the date of distribution. Distribution will be made under Section 5.3.
	 
	4.5	 	Benefit Upon Termination of Employment. A Terminated Participant will be entitled to his or her Vested Aggregate Account
balance as of the most recent Valuation Date coinciding with or immediately preceding the date
of distribution. Distribution to a Terminated Participant who does not die prior to
distribution or who does not suffer a Disability prior to distribution will be made under
Section 5.4.
	 
	4.6	 	Determination of Vested Interest. A Participant’s Vested Interest in his or her Participant’s Account will be determined
in accordance with the following provisions:

	 	(a)	 	Vesting Upon Retirement, Death or Disability. A Participant will have a
100% Vested Interest in his or her Participant’s Account upon reaching Normal Retirement
Age prior to Termination of Employment. A Participant will also have a 100% Vested
Interest therein (1) upon his or her Disability prior to Termination of Employment; and
(2) upon his or her death prior to Termination of Employment.
	 
	 	(b)	 	Vesting of Elective Deferrals, QMACs and QNECs and Certain Other Accounts.
A Participant will at all times have a 100% Vested Interest in his or her Elective
Deferral Account, ADP Safe Harbor Non-Elective Contribution Account, ADP Safe Harbor
Matching Contribution Account, Qualified Matching Contribution Account, Qualified
Non-Elective Contribution Account, Voluntary Employee Contribution Account, Rollover
Contribution Account, and Deemed IRA Contribution Account.
	 
	 	(c)	 	Vesting of ACP Safe Harbor Matching Contribution Account. A Participant’s
Vested Interest in his or her ACP Safe Harbor Matching Contribution Account is described
in the Safe Harbor 401(k) Contribution Addendum executed by the Sponsoring Employer from
time to time.

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	 	(d)	 	Vesting of Non-Safe Harbor Matching Contributions. A Participant’s Vested
Interest in his or her Non-Safe Harbor Matching Contribution Account will be determined
by the vesting schedule immediately following this paragraph. A Participant’s Vested
Interest under this paragraph will be based on the Participant’s credited Years of
Service with the Employer, and all such Years of Service will be counted in determining a
Participant’s Vested Interest under this paragraph.

			
	 	 	 
	1 Year of Service 

2 Years of Service
	 	0% Vested

100% Vested

	 	 	 	Notwithstanding the above, Employer Matching Contributions made to the Plan prior to April
1, 2007 are 100% vested.
	 
	 	 	 	Notwithstanding the above, employer matching contributions attributable to salary deferral
contributions made under the After Hours FormalWear Profit Sharing Plan (which was merged
into the MW 401(k) Plan effective at the close of business December 31, 2007) are subject
to the following vesting schedule:

	 	 	 	 	 
	Years of Vesting Service	 	Vested Percentage
	Less than two years
	 	 	0	%
	Two years, but less than three years
	 	 	50	%
	Three years, but less than four years
	 	 	75	%
	Four years or more
	 	 	100	%

	 	(e)	 	Vesting of Non-Safe Harbor Non-Elective Contributions. A Participant’s Vested
Interest in his or her Employer Non-Safe Harbor Non-Elective Contributions made under the
After Hours FormalWear Profit Sharing Plan (which was merged into the MW 401(k) Plan
effective at the close of business December 31, 2007) are subject to the following
vesting schedule:

	 	 	 	 	 
	Years of Vesting Service	 	Vested Percentage
	Less than two years
	 	 	0	%
	Two years, but less than three years
	 	 	50	%
	Three years, but less than four years
	 	 	75	%
	Four years or more
	 	 	100	%

	 	(f)	 	Vesting Requirement Upon Complete Termination or Upon Discontinuance of
Contributions. Upon a complete termination of the Plan or upon a complete
discontinuance of contributions under the Plan, the following Participants will have a
100% Vested Interest in their Participants’ Accounts: (1) Participants who are affected
by such complete termination or, if applicable, such complete discontinuance of
contributions; (2) Participants who have not Terminated Employment with the Employer; and
(3) Participants who have Terminated Employment with the Employer and who (A) have not
incurred five consecutive Breaks in Service and (B) have not received a complete
distribution of their Vested Aggregate Account balance.
	 
	 	(g)	 	Vesting Requirement Upon Partial Termination. Upon partial termination of
the Plan, only a Participant who has Terminated Employment because of the event which
causes the partial termination but who has not incurred five consecutive Breaks in
Service will have a 100% Vested Interest in his or her unpaid Participant’s Account as of
the date of partial termination.
	 
	 	(h)	 	Amendments to the Vesting Schedule. No amendment to the Plan may directly
or indirectly reduce a Participant’s Vested Interest in his or her Participant’s Account.
If the Plan is amended in any way that directly or indirectly affects the computation of
a Participant’s Vested Interest in his or her Participant’s Account, or the Plan is
deemed amended by an automatic change to or from a Top Heavy Vesting schedule, then the
following provisions will apply:

	 	(1)	 	Participant Election. Any Participant with at least three Years of
Service may, by filing a written request with the Administrator, elect to have the
Vested Interest in his or her Participant’s Account
computed by the Vesting schedule in effect prior to the amendment. A Participant who
fails to make an election will have the Vested Interest in his or her Participant’s
Account computed under the new schedule. The period in which the election may be made
will begin on the date the amendment is adopted or is deemed to be made and will end
on the latest of (A) 60 days after the amendment is

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	 	 	 	adopted; (B) 60 days after the
amendment becomes effective; or (C) 60 days after the Participant is issued written
notice of the amendment by the Employer or Administrator.

	 	(2)	 	Preservation of Vested Interest. Notwithstanding the foregoing to
the contrary, if the vesting schedule is amended, then in the case of an Employee who
is a Participant as of the later of the date such amendment is adopted or the date it
becomes effective, the Vested Interest in his or her Participant’s Account determined
as of such date will not be less than his or her Vested Interest computed under the
Plan without regard to such amendment.

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Article 5

Distribution of Benefits

	5.1	 	Distribution of Benefit Upon Retirement. Unless a cash-out occurs under Section 5.5, the retirement benefit a Participant is
entitled to receive under Section 4.1 or 4.2 will be distributed in the following manner:

	 	(a)	 	Normal Form of Distribution. The Normal Form of Distribution is a lump sum
payment.
	 
	 	(b)	 	Optional Forms of Distribution. A Participant may waive the Normal Form
of Distribution and elect to have his or her benefit distributed in an Optional Form of
Distribution. The Optional Forms of Distribution are (1) Substantially Equal monthly,
quarterly, semi-annual or annual cash installment payments over a period certain which
does not extend beyond the life of the Participant; the joint lives of the Participant
and a designated Beneficiary; or a period certain not extending beyond the life
expectancy of the Participant and a designated Beneficiary. The lump sum value of the
Participant’s benefit either may be segregated and separately invested and the
Substantially Equal installments will be paid from the Plan; may remain invested in the
Trust’s assets and the Substantially Equal installments will be paid from the Plan; or
may be used to purchase a nontransferable immediate or deferred annuity that is selected
by the Employer and that complies with the terms of the Plan from an insurance company to
provide for such Substantially Equal installments; and (2) designated sums from time to
time as elected by the Participant. Optional Forms of Distribution are available on a
non-discriminatory basis and are not subject to the Administrator’s discretion.
	 
	 	(c)	 	Partial Distributions. If a Participant receives a distribution of less
than 100% of his or her Vested Aggregate Account balance, the Administrator will
determine the portion (including zero) of the distribution that will be made from each of
the Participant’s sub-accounts, provided that any such determination is made in a uniform
nondiscriminatory manner.
	 
	 	(d)	 	Time of Distribution. Distribution will be made under this Section within
a reasonable time after the Participant’s actual retirement on or after the Normal
Retirement Date; or within a reasonable time after the date a Participant who elects late
retirement under Section 4.2 requests payment as permitted thereunder.

	5.2	 	Distribution of Benefit Upon Death. Unless a mandatory cash-out occurs under Section 5.5, the death benefit a deceased
Participant’s Beneficiary is entitled to receive under Section 4.3 will be distributed as
follows:

	 	(a)	 	Surviving Spouse. If a Participant has a surviving Spouse on the date of
the Participant’s death, then the deceased Participant’s surviving Spouse will be
entitled to receive a death benefit determined in accordance with the following
provisions:

	 	(1)	 	Form of Distribution. If a Participant dies before the Annuity
Starting Date, and the Participant has a surviving Spouse on the date of the
Participant’s death, then notwithstanding any other Beneficiary designation made by
the Participant, the deceased Participant’s surviving Spouse will be entitled to
receive 100% of the deceased Participant’s death benefit unless the surviving Spouse
has waived that right in accordance with Section 5.8. The benefit will be distributed
in a lump sum payment.
	 
	 	(2)	 	Time of Distribution. Any death benefit payable to a surviving
Spouse will be distributed within a reasonable time after the death of the
Participant, but not later than December 31st of the calendar year which contains the
fifth anniversary of the date of the Participant’s death pursuant to Section
5.9(b)(2)(A), if required minimum distributions to the Participant have not begun.
	 
	 	(3)	 	Death of Surviving Spouse Before Distribution Begins. If the
surviving Spouse dies before distribution begins, then distribution will be made as
if the surviving Spouse were the Participant.

	 	(b)	 	Non-Spouse Beneficiary. Any death benefit payable to a non-Spouse
Beneficiary will be distributed to the Beneficiary in accordance with the following
provisions:

	 	(1)	 	Form of Distribution. Any such death benefit will be distributed
in a lump sum payment.

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	 	(2)	 	Time of Distribution. Any death benefit payable to a non-Spouse
Beneficiary will be distributed within a reasonable time after the death of the
Participant, but not later than December 31st of the calendar year which contains the
fifth anniversary of the date of the Participant’s death pursuant to Section
5.9(b)(2)(A), if required minimum distributions to the Participant have not begun.

	 	(c)	 	Distribution If the Participant or Other Payee Is In Pay Status. If a
Participant or Beneficiary who has begun receiving distribution of his or her benefit
dies before the entire benefit is distributed, then the balance thereof will be
distributed to the Participant’s Beneficiary (or Beneficiary’s Beneficiary) at least as
rapidly as under the method of distribution being used on the date of the Participant’s
or Beneficiary’s death.
	 
	 	(d)	 	Payments to a Beneficiary of a Beneficiary. In the absence of a
Beneficiary designation or other directive from the deceased Participant to the contrary,
any Beneficiary may name his or her own Beneficiary to receive any benefits payable in
the event of the Beneficiary’s death prior to receiving the entire death benefit to which
the Beneficiary is entitled; if a Beneficiary has not named his or her own Beneficiary,
then the Beneficiary’s estate will be the Beneficiary. If any benefit is payable under
this paragraph to a Beneficiary of the deceased Participant’s Beneficiary, to the estate
of the deceased Participant’s Beneficiary, or to any other Beneficiary or the estate
thereof, then subject to the limitations regarding the latest dates for benefit payment
of this Section and Section 5.9, the Administrator may (1) continue to pay the remaining
value of such benefits in the amount and form that has already commenced, (2) pay such
benefits in any other manner permitted under the Plan for distribution of benefits upon
death, and/or (3) if payments have not already commenced, pay such benefits in any other
manner permitted under the Plan for distribution of benefits upon death. Distribution to
the Beneficiary of a Beneficiary must begin no later than the date that a distribution
would have been made to the Participant’s Beneficiary. The Administrator’s determination
under this paragraph will be final and will be applied in a uniform manner that does not
discriminate in favor of Participants who are Highly Compensated Employees.

	5.3	 	Distribution of Benefit Upon Disability. Unless a mandatory cash-out occurs under Section 5.5, the Disability benefit a
Participant is entitled to receive under Section 4.4 will be distributed in the following
manner:

	 	(a)	 	Normal Form of Distribution. The Normal Form of Distribution is a lump sum
payment.
	 
	 	(b)	 	Optional Forms of Distribution. A Participant may waive the Normal Form
of Distribution and elect to have his or her benefit distributed in an Optional Form of
Distribution. The Optional Forms of Distribution are (1) Substantially Equal monthly,
quarterly, semi-annual or annual cash installment payments over a period certain which
does not extend beyond the life of the Participant; the joint lives of the Participant
and a designated Beneficiary; or a period certain not extending beyond the life
expectancy of the Participant and a designated Beneficiary. The lump sum value of the
Participant’s benefit either may be segregated and separately invested and the
Substantially Equal installments will be paid from the Plan; may remain invested in the
Trust’s assets and the Substantially Equal installments will be paid from the Plan; or
may be used to purchase a nontransferable immediate or deferred annuity that is selected
by the Employer and that complies with the terms of the Plan from an insurance company to
provide for such Substantially Equal installments; and (2) designated sums from time to
time as elected by the Participant. Optional Forms of Distribution are available on a
non-discriminatory basis and are not subject to the Administrator’s discretion.
	 
	 	(c)	 	Partial Distributions. If a Participant receives a distribution of less
than 100% of his or her Vested Aggregate Account balance, then the Administrator will
determine the portion (including zero) of the distribution that will be made from each of
the Participant’s sub-accounts, provided that any such determination is made in a uniform
nondiscriminatory manner.
	 
	 	(d)	 	Time of Distribution. Distribution will be made under this Section on the
date that a distribution is to be made to a Terminated Participant under Section 5.4.

	5.4	 	Distribution of Benefit Upon Termination of Employment. Unless a mandatory cash-out occurs under Section 5.5 or a distribution occurs under
Sections 5.1, 5.2, or 5.3, the benefit that a Terminated Participant is entitled to receive
under Section 4.5 will be distributed in the following manner:

	 	(a)	 	Normal Form of Distribution. The Normal Form of Distribution is a lump sum
payment.

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	 	(b)	 	Optional Forms of Distribution. A Participant may waive the Normal Form
of Distribution and elect to have his or her benefit distributed in an Optional Form of
Distribution. The Optional Forms of Distribution are (1) Substantially Equal monthly,
quarterly, semi-annual or annual cash installment payments over a period certain which
does not extend beyond the life of the Participant; the joint lives of the Participant
and a designated Beneficiary; or a period certain not extending beyond the life
expectancy of the Participant and a designated Beneficiary. The lump sum value of the
Participant’s benefit either may be segregated and separately invested and the
Substantially Equal installments will be paid from the Plan; may remain invested in the
Trust’s assets and the Substantially Equal installments will be paid from the Plan; or
may be used to purchase a nontransferable immediate or deferred annuity that is selected
by the Employer and that complies with the terms of the Plan from an insurance company to
provide for such Substantially Equal installments; and (2) designated sums from time to
time as elected by the Participant. Optional Forms of Distribution are available on a
non-discriminatory basis and are not subject to the Administrator’s discretion.
	 
	 	(c)	 	Partial Distributions. If a Participant receives a distribution of less
than 100% of his or her Vested Aggregate Account balance, then the Administrator will
determine the portion (including zero) of the distribution that will be made from each of
the Participant’s sub-accounts, provided that any such determination is made in a uniform
nondiscriminatory manner.
	 
	 	(d)	 	Time of Distribution. Distribution will be made under this Section within
an administratively reasonable time after the Participant requests payment.

	5.5	 	Mandatory Cash-Out of Benefits. Mandatory cash-outs prior to March 28, 2005 will be governed by the terms of the Plan
(including amendments) as in effect prior to such date. Effective on or after such date, the
Vested Aggregate Account of a Participant who has Terminated Employment, who is entitled to a
distribution and who satisfies the requirements of this Section will be distributed without
the Participant’s consent in accordance with the following provisions:

	 	(a)	 	Cashout Threshold. Distribution can only be made under this Section if a
Participant’s Vested Aggregate Account on or after the date of Termination of Employment
does not exceed $5,000 (the “cash-out threshold”), which will be determined by including
the Participant’s Rollover Contribution Account (if any).
	 
	 	(b)	 	Time of Distribution. Distribution will be made under this Section as soon
as administratively feasible after the Participant Terminates Employment. Notwithstanding
the foregoing, if a Participant would have received a distribution under the preceding
sentence but for the fact that his or her Vested Aggregate Account exceeded the cash-out
threshold, and if at a later time the Participant’s Vested Aggregate Account is reduced
to an amount not greater than the cash-out threshold, the Administrator will distribute
such Vested Aggregate Account in a lump sum without the Participant’s consent as soon as
administratively feasible after the date the Participant’s Vested Aggregate Account no
longer exceeds the cash-out threshold.
	 
	 	(c)	 	Form of Distribution. Distribution under this Section will, at the
election of the Participant, be made as a lump sum cash payment or as a direct rollover
under Section 5.14. However, if the Participant does not elect to have the distribution
made as a lump sum cash payment or as a direct rollover under Section 5.14, then the
following provisions will apply: (1) if the amount of the distribution is $1,000 or less
(including the Participant’s Rollover Contribution Account), distribution will be made in
the form of a lump sum cash payment not less than 30 days and not more than 90 days (or
such other time as permitted by law) after the Code §402(f) notice is provided to the
Participant; and (2) if the amount of the distribution exceeds $1,000 (including the
Participant’s Rollover Contribution Account), then the Administrator will pay the
distribution in an automatic direct rollover to an individual retirement plan designated
by the Administrator. Such individual retirement plan, as defined in Code §7701(a)(37),
may be either an individual retirement account within the meaning of Code §408(a) or an
individual retirement annuity within the meaning of Code §408(b) (either of which will
subsequently be referred to in this paragraph as an IRA). The Administrator will
establish the IRA at a qualified financial institution by selecting an IRA trustee,
custodian or issuer that is unrelated to the Employer or the Administrator (unless
subsequent rules or Regulations permit otherwise), and will make the initial investment
choices for the IRA. An automatic direct rollover will occur not less than 30 days and
not more than 90 days (or such other time as permitted by law) after the Code §402(f)
notice with the explanation of the automatic direct rollover is provided to the
Participant.

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	5.6	 	Restrictions on Immediate Distributions. If a Participant’s Vested Aggregate Account balance exceeds the amount set forth in
paragraph (a) of this Section and is Immediately Distributable, then such account can only be
distributed in accordance with the following provisions:

	 	(a)	 	General Rule. If (1) the Vested Aggregate Account balance (effective
January 1, 2002, determined before taking into account the Participant’s Rollover
Contribution Account) of a Participant who has Terminated Employment exceeds $5,000, or
if there are remaining payments to be made with respect to a particular distribution
option that previously commenced, and (2) such amount is Immediately Distributable, then
the Participant (and, with respect to any portion of the Participant’s Account which is
subject to the Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and
Code §417, the Participant’s Spouse, if any [or where either the Participant or Spouse
has died, the survivor]), must consent to any distribution of such amount. If (1) the
Vested Aggregate Account balance (effective January 1, 2002, determined before taking
into account the Participant’s Rollover Contribution Account) of a Participant who has
Terminated Employment does not exceed $5,000, but (if applicable) exceeds the cash-out
threshold set forth in Section 5.5(a), and (2) such amount is Immediately Distributable,
then only the Participant (or where the Participant has died, the Participant’s Spouse or
Beneficiary) must consent to any distribution of such amount.
	 
	 	(b)	 	General Consent Requirement. The consent of the Participant (and, with
respect to any portion of the Participant’s Account which is subject to the Qualified
Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417, the
Participant’s Spouse, if any [or where either the Participant or Spouse has died, the
survivor]) to any benefit that is Immediately Distributable must be obtained in writing
within the 90-day period (or such other period as may be required by law) ending on the
Annuity Starting Date. However, (1) with respect to any portion of the Participant’s
Account which is not subject to the Qualified Joint and Survivor Annuity requirements of
Code §401(a)(11) and Code §417, the Participant will not be required to consent to a
distribution that is required by Code §401(a)(9) or §415; and (2) with respect to any
portion of the Participant’s Account subject to the Qualified Joint and Survivor Annuity
requirements of Code §401(a)(11) and Code §417, (A) only the Participant must consent to
the distribution of a Qualified Joint and Survivor Annuity while the benefit is
Immediately Distributable, and (B) neither the Participant (nor the Participant’s Spouse)
is required to consent to a distribution required by Code §401(a)(9) or §415.
	 
	 	(c)	 	Notification Requirement. The Administrator must notify the Participant
(and, with respect to any portion of the Participant’s Account which is subject to the
Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417, the
Participant’s Spouse) of the right to defer any distribution until it is no longer
Immediately Distributable. Notification will include a general explanation of the
material features and relative values of the optional forms of benefit that are available
under the Plan in a manner that would satisfy the notice requirements of Code §417(a)(3),
and any such notification will be provided no less than 30 days or more than 90 days (or
such other period as may be required by law) prior to the Annuity Starting Date.
Notwithstanding the other requirements of this Section, the notices prescribed by this
Section need not be given to a Participant if (1) the Plan “fully subsidizes” the costs
of a Qualified Joint and Survivor Annuity or Qualified Pre-Retirement Survivor Annuity;
(2) the Plan does not allow the Participant to waive the Qualified Joint and Survivor
Annuity or Qualified Pre-Retirement Survivor Annuity; and (3) the Plan does not allow a
Participant who has a Spouse to designate a non-Spouse Beneficiary. For purposes of this
Section, a plan fully subsidizes the costs of a benefit if no increases in cost, or
decreases in benefits to the Participant may result from the Participant’s failure to
elect another benefit.
	 
	 	(d)	 	Waiver of 30-Day Requirement. Distribution of a Participant’s benefit may
begin less than 30 days after the notice described in paragraph (c) is given the
Participant if (1) the Administrator clearly informs the Participant that the Participant
has a right to a period of at least 30 days after receiving notice to consider the
decision of whether or not to elect a distribution; (2) the Participant, after receiving
the notice, affirmatively elects a distribution (or a particular distribution option);
and (3) with respect to any portion of the Participant’s Account which is subject to the
Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417, the
Participant does not revoke the election at any time prior to the expiration of the 7-day
period that begins on the date the notice is given.
	 
	 	(e)	 	Consent Not Needed on Plan Termination. If upon Plan termination neither
the Employer nor an Affiliated Employer maintains another defined contribution plan
(other than an employee stock ownership plan (ESOP) as defined in Code §4975(e)(7)), then
the Participant’s benefit will, without the Participant’s consent (and,
with respect to any portion of the Participant’s Account which is subject to the Qualified
Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417, without consent
of the Participant’s Spouse), be 

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	 	 	 	distributed to the Participant. If the Employer or an
Affiliated Employer maintains another defined contribution plan (other than an ESOP), then
the Participant’s benefit will, without the Participant’s consent (and, with respect to
any portion of the Participant’s Account which is subject to the Qualified Joint and
Survivor Annuity requirements of Code §401(a)(11) and Code §417, without consent of the
Participant’s Spouse), be transferred to the other plan if the Participant does not
consent to an immediate distribution under this Section. Notwithstanding the foregoing,
this paragraph will not apply to any portion of the Participant’s Account which is subject
to the Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417
if the Plan, upon termination, offers an annuity option purchased from a commercial
provider with respect to such portion of the Participant’s Account.

	5.7	 	Accounts of Rehired Participants. If a Participant who is not 100% Vested in his or her Participant’s Account Terminates
Employment, a Forfeiture of all or a portion of the Participant’s Account of the Participant
who has Terminated Employment may have occurred, and the Participant is subsequently
reemployed by the Employer, then his or her Participant’s Account will be administered in
accordance with the following provisions:

	 	(a)	 	Reemployment of a Participant After 5 Consecutive Breaks in Service. If
the Participant is reemployed by the Employer after incurring five consecutive Breaks in
Service, then any previous Forfeiture of the Participant’s Account will not be restored
under the terms of this Plan.
	 
	 	(b)	 	Reemployment of a Non-Vested Participant Before 5 Consecutive Breaks in
Service. If a Participant’s Vested Interest in the entire Participant’s Account
attributable to Employer contributions is 0% on the date that the Participant Terminates
Employment, the Participant is deemed to have received a distribution of such Vested
Interest on the date of such Termination of Employment pursuant to the Section 3.11(a), a
Forfeiture of the Participant’s Account attributable to Employer contributions occurs on
the date of such Termination of Employment pursuant to Section 3.11(a), and the
Participant is subsequently reemployed by the Employer before incurring five consecutive
Breaks in Service, then the previous Forfeiture of such Participant’s Account
attributable to Employer contributions will be restored, calculated as of the date that
the Forfeiture occurred (unadjusted by subsequent gains and losses). Such restoration of
the previous Forfeiture of such Participant’s Account attributable to Employer
contributions will occur in the Plan Year that such Participant is reemployed by the
Employer.
	 
	 	(c)	 	Reemployment of a Vested Participant Before 5 Consecutive Breaks in
Service. If a Participant’s Vested Interest in the Participant’s Account balance
attributable to Employer contributions is less than 100% (but greater than 0%) on the
date that the Participant Terminates Employment, a Forfeiture of the non-Vested portion
of the Participant’s Account balance attributable to Employer contributions of the
Participant who has Terminated Employment may have occurred, and the Participant is
subsequently reemployed by the Employer before incurring five consecutive Breaks in
Service, then the following provisions will apply:

	 	(1)	 	Distribution Has Occurred But No Forfeiture Has Occurred. If a
Forfeiture of the non-Vested portion of the Participant’s Account attributable to
Employer contributions has not occurred but a distribution of all or a portion of the
Participant’s Account of the Participant who has Terminated Employment has occurred,
then a separate bookkeeping account will be established for the Participant’s Account
at the time of distribution; the Participant’s Vested Interest in the separate
bookkeeping account at any relevant time will be an amount (“X”) determined according
to the following formula: X = P(AB + (R x D)) — (R x D)). In applying the formula,
“P” is the Vested Interest at the relevant time, “AB” is the respective account
balance at the relevant time, “D” is the amount of the distribution, and “R” is the
ratio of the respective account balance at the relevant time to the respective
account balance after the distribution.
	 
	 	(2)	 	Both Distribution and Forfeiture Have Occurred. If a distribution
of all or a portion of the Vested Interest in the Participant’s Account of a
Participant who has Terminated Employment has occurred and Forfeiture of the
non-Vested portion of the Participant’s Account attributable to Employer
contributions has occurred (which may not necessarily occur at the same time that the
distribution occurs), then the previous Forfeiture of such Participant’s Account
balance attributable to Employer contributions will be restored, calculated as of the
date the Forfeiture occurred (unadjusted by subsequent gains and losses) and based
upon the Sponsoring Employer’s decision whether the Participant is required to repay
to the Plan the full amount of all distribution(s) which were attributable to
Employer contributions (and
effective as of the first day of Plan Year beginning in 2006 [or such earlier
effective date as may be provided in a separate amendment for implementing the final
Code §401(k) Regulations and as permitted by such Regulations], including Elective
Deferrals). With respect to such decision of the

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	 	 	 	Sponsoring Employer whether the
Participant is required to repay to the Plan the full amount of all distribution(s)
which were attributable to Employer contributions (and effective as of the first day
of Plan Year beginning in 2006 [or such earlier effective date as may be provided in a
separate amendment for implementing the final Code §401(k) Regulations and as
permitted by such Regulations], including Elective Deferrals) in order to have the
previous Forfeiture of such Participant’s Account balance attributable to Employer
contributions be restored, the following provisions will apply:

	 	(A)	 	Precedent Established. Once such decision by the
Sponsoring Employer has been made, such decision will establish precedence for
the Plan and cannot be changed, altered or modified.
	 
	 	(B)	 	Time of Restoration If Repayment Is Not Required. If,
based upon the Sponsoring Employer’s decision, the Participant is not required to
repay to the Plan the full amount of all distribution(s) which were attributable
to Employer contributions (and effective as of the first day of Plan Year
beginning in 2006 [or such earlier effective date as may be provided in a
separate amendment for implementing the final Code §401(k) Regulations and as
permitted by such Regulations], including Elective Deferrals) in order to have
the previous Forfeiture of such Participant’s Account balance attributable to
Employer contributions be restored, then such restoration will occur in the Plan
Year in which the Participant is reemployed by the Employer.
	 
	 	(C)	 	Time of Restoration If Repayment Is Required. The
Participant is required to repay to the Plan the full amount of all
distribution(s) which were attributable to Employer contributions (and effective
as of the first day of Plan Year beginning in 2006 [or such earlier effective
date as may be provided in a separate amendment for implementing the final Code
§401(k) Regulations and as permitted by such Regulations], including Elective
Deferrals) in order to have the previous Forfeiture of such Participant’s Account
balance attributable to Employer contributions be restored, then, such repayment
by the Participant must be made before the earlier of (i) five years after the
Participant’s Reemployment Commencement Date, or (ii) the date on which the
Participant incurs five consecutive Breaks in Service following the date of
distribution of either the entire or the remaining Vested Interest in the
Participant’s Account. Such restoration of the previous Forfeiture of such
Participant’s Account balance attributable to Employer contributions will occur
in the Plan Year that the Participant repays to the Plan the full (or any
remaining) amount of the distribution which was attributable to Employer
contributions (and effective as of the first day of Plan Year beginning in 2006
[or such earlier effective date as may be provided in a separate amendment for
implementing the final Code §401(k) Regulations and as permitted by such
Regulations], including Elective Deferrals).

	 	(d)	 	Sources of Restoration of Previously Forfeited Amounts. The sources to
restore a previous Forfeiture of the non-Vested portion of the Participant’s Account
balance attributable to Employer contributions pursuant to this Section will be made
first by using available Forfeitures to restore the previous Forfeiture and, if such
available Forfeitures are insufficient to restore the previous Forfeiture, by the
Employer making a special Employer contribution to the Plan to the extent necessary to
restore the previous Forfeiture.

	5.8	 	Spousal Consent Requirements. The following provisions apply to a Participant’s (or, where applicable, a
Participant’s Spouse’s) waiver of benefits under the Plan:

	 	(a)	 	Normal Form of Distribution Is Not a Qualified Joint and Survivor Annuity.
If the Normal Form of Distribution under the Plan is not a Qualified Joint and Survivor
Annuity, all distributions can be made from the Plan to a Participant without the consent
of the Participant’s Spouse, except for any portion of the Participant’s Account which is
subject to the Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and
Code §417. Subject to the provisions of the next sentence, with regard to a death benefit
payable to a Spouse, a Spouse can elect to waive such death benefit under Section 5.2 of
the Plan, but the election will not be effective unless (1) the election is in writing;
(2) the election designates a specific Beneficiary or form of benefit which may not be
changed without Spousal consent (or the Spouse’s consent expressly permits designations
by the Participant without any requirement of further Spousal consent); and (3) the
Spouse’s consent acknowledges the effect of the election and is witnessed by the
Administrator or a
notary public. With regard to a distribution of any portion of a Participant’s Account
which is subject to the Qualified Joint and Survivor Annuity and/or the Qualified
Pre-Retirement Survivor Annuity requirements of Code §401(a)(11) and Code §417, the
provisions set forth in paragraph (b) below apply.

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	 	(b)	 	Normal Form of Distribution Is a Qualified Joint and Survivor Annuity. If
the Normal Form of Distribution under the Plan is a Qualified Joint and Survivor Annuity,
or with respect to any portion of the Participant’s Account which is subject to the
Qualified Joint and Survivor Annuity requirements of Code §401(a)(11) and Code §417, then
the following provisions will apply:

	 	(1)	 	Election to Waive a QJSA. A married Participant’s election to
waive a Qualified Joint and Survivor Annuity, or an unmarried Participant’s election
to waive a life annuity, must be in writing and must be made during the 90-day period
(or such other period as may be required by law) ending on the Annuity Starting Date.
The election may be revoked in writing and a new election may be made at any time and
any number of times during the election period.
	 
	 	(2)	 	Election to Waive a QPSA. A married Participant’s election to
waive a Qualified Pre-Retirement Survivor Annuity must be in writing and must be made
during an election period beginning on the first day of the Plan Year in which the
Participant reaches Age 35 and ending on the date of his or her death. The election
may be revoked in writing and a new election made at any time and any number of times
during the election period. A Terminated Participant’s election period concerning the
Vested Aggregate Account before Termination of Employment will not begin later than
such date. If the Participant has not completed a designation form specifying the
time and/or form of payment of the Qualified Pre-Retirement Survivor Annuity prior to
the Participant’s death, the surviving Spouse may elect to receive the Qualified
Pre-Retirement Survivor Annuity in any optional form permitted in Section 5.2. A
Participant who has not yet reached Age 35 as of the end of any current Plan Year may
make a special election to waive a Qualified Pre-Retirement Survivor Annuity for the
period beginning on the date of such election and ending on the first day of the Plan
Year in which such Participant reaches Age 35. This election will not be valid unless
the Participant receives the same written explanation of the Qualified Pre-Retirement
Survivor Annuity as described in subparagraph (3). Qualified Pre-Retirement Survivor
Annuity coverage will be automatically reinstated as of the first day of the Plan
Year in which the Participant reaches Age 35. A new election to waive a Qualified
Pre-Retirement Survivor Annuity on or after such date is subject to the full
requirements of this Section.
	 
	 	(3)	 	Required Written Explanation. In the case of a Qualified Joint and
Survivor Annuity, the Administrator will no less than 30 days and no more than 90
days (or such other period as may be required by law) prior to the Annuity Starting
Date provide to each Participant a written explanation of: (A) the terms and
conditions of a Qualified Joint and Survivor Annuity; (B) the Participant’s right to
make and the effect of an election to waive the Qualified Joint and Survivor Annuity
form of benefit; (C) the rights of a Participant’s Spouse; and (D) the right to make,
and the effect of, a revocation of a previous election to waive the Qualified Joint
and Survivor Annuity. The Annuity Starting Date for a distribution in a form other
than a Qualified Joint and Survivor Annuity may be less than 30 days after receipt of
the written explanation described in the preceding sentence provided: (A) the
Participant has been provided with information that clearly indicates that the
Participant has at least 30 days to consider whether to waive the Qualified Joint and
Survivor Annuity and elect (with Spousal consent) to a form of distribution other
than a Qualified Joint and Survivor Annuity; (B) the Participant is permitted to
revoke any affirmative distribution election at least until the Annuity Starting Date
or, if later, at any time prior to the expiration of the 7-day period that begins the
day after the explanation of the Qualified Joint and Survivor Annuity is provided to
the Participant; and (C) the Annuity Starting Date is a date after the date that the
written explanation was provided to the Participant. In the case of a Qualified
Pre-Retirement Survivor Annuity, the Administrator will provide each Participant
within the Applicable Period under subparagraph (4) with a written explanation of the
Qualified Pre-Retirement Survivor Annuity in such terms and manner as would be
comparable to the written explanation applicable to a Qualified Joint and Survivor
Annuity.
	 
	 	(4)	 	Applicable Period. The term “Applicable Period” means whichever of
the following periods ends last: (A) the period beginning with the first day of the
Plan Year in which the Participant attains Age 32 and ending with the close of the
Plan Year preceding the Plan Year in which the Participant attains Age 35; (B) a
reasonable period after the individual becomes a Participant in the Plan; (C) a
reasonable period ending after the requirements of Code §401(a)(11) apply to the
Participant; or (D) a reasonable period ending after the requirements of Code
§417(a)(5) cease to apply with respect to the Participant. For
purposes of this subparagraph, a reasonable period means the end of the two year
period beginning one year prior to the date the applicable event occurs, and ending
one year after that date.

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	 	(5)	 	Participants Who Terminate Before Age 35. If a Participant
Terminates Employment before the Plan Year in which he or she reaches Age 35, the
notice required under subparagraph (3) will be provided within the two year period
beginning one year prior to such Termination of Employment and ending one year after
such Termination of Employment. If such Participant thereafter returns to employment
with the Employer, the Applicable Period for such Participant will be re-determined.
	 
	 	(6)	 	Elections Must Have Spousal Consent. A Participant’s election not
to receive a Qualified Joint and Survivor Annuity or a Participant’s election not to
receive a Qualified Pre-Retirement Survivor Annuity will not be effective unless (A)
the Participant’s Spouse consents in writing to the election; (B) the election
designates a specific Beneficiary (or form of benefit) which may not be changed
without Spousal consent (or the consent of the Spouse expressly permits designations
by the Participant without any requirement of further Spousal consent); and (C) the
Spouse’s consent acknowledges the effect of the election and is witnessed by the
Administrator or a notary public.
	 
	 	(7)	 	Additional Requirements and Exceptions for Spousal Consent.
Notwithstanding subparagraph (6) above, a Spouse’s consent will not be required if
there is no Spouse, if the Spouse cannot be located, or if there are other
circumstances (as set forth in the Code or Regulations) which preclude the necessity
of such Spouse’s consent. Any consent by a Participant’s Spouse (or establishment
that consent cannot be obtained) will be effective only with respect to such Spouse.
A consent that permits designations by the Participant without any requirement of
further Spousal consent must acknowledge that the Spouse has the right to limit
consent to a specific Beneficiary, and a specific form of benefit where applicable,
and that the Spouse voluntarily elects to relinquish either or both of such rights. A
revocation of a prior election may be made by a Participant without the Spouse’s
consent at any time before benefits begin. No Spouse’s consent obtained under
subparagraph (6) above will be valid unless the Participant has received notice as
provided in subparagraph (3) above.

	5.9	 	Required Minimum Distributions. All distributions from the Plan will be determined and made in accordance with the
final and temporary Regulations under Code §401(a)(9) on April 17, 2002. Pursuant to those
Regulations, all distributions will be determined in accordance with the following provisions:

	 	(a)	 	General Rules. All distributions under this section will be made in
accordance with these general rules:

	 	(1)	 	Effective Date. The provisions of this Section will apply for
purposes of determining required minimum distributions for calendar years beginning
with the 2003 calendar year, and also to distributions made on or after December 31,
2001.
	 
	 	(2)	 	Coordination with Minimum Distribution Requirements Previously in
Effect. Required minimum distributions made on or after December 31, 2001 but
prior to January 1, 2003 will be determined as follows: If the total amount of 2002
required minimum distributions under the Plan made to the distributee prior to the
effective date of this Section equals or exceeds the required minimum distributions
determined under this Section, then no additional distributions will be required to
be made for 2002 on or after such date to the distributee. If the total amount of
2002 required minimum distributions under the plan made to the distributee prior to
the effective date of this Section is less than the amount determined under this
Section, then required minimum distributions for 2002 on and after such date will be
determined so that the total amount of required minimum distributions for 2002 made
to the distributee will be the amount determined under this Section.
	 
	 	(3)	 	Precedence. The requirements of this Section will take precedence
over any inconsistent provisions of the Plan and any prior Plan amendments.
	 
	 	(4)	 	Requirements of Regulations Incorporated. All distributions
required under this Section will be determined and made in accordance with the
Regulations under Code §401(a)(9).
	 
	 	(5)	 	TEFRA §242(b)(2) Elections. Notwithstanding the other provisions
of this Section, distributions may be made under a designation made before January 1,
1984, in accordance with Tax Equity and Fiscal Responsibility Act (TEFRA) §242(b)(2)
and the provisions of the Plan that relate to TEFRA §242(b)(2).

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	 	(b)	 	Time and Manner of Distribution. All required minimum distributions will
be made from the Plan in the following time and in the following manner, provided,
however, that for the 2009 Plan Year the provisions of this Section 5.9 shall not apply
and no required minimum distributions shall be required as authorized under section
401(a)(9)(h) of the Code if the Participant or former Participant so elects in accordance
with procedures adopted by the Committee:

	 	(1)	 	Required Beginning Date. The Participant’s entire interest will be
distributed, or begin to be distributed, to the Participant no later than the
Participant’s Required Beginning Date.
	 
	 	(2)	 	Death of Participant Before Distributions Begin. If the
Participant dies before distribution begins, the Participant’s entire interest will
be distributed (or begin to be distributed) not later than as follows:

	 	(A)	 	5-Year Rule Applies to All Distributions to Designated
Beneficiaries. If the Participant dies before distributions begin and there
is a Designated Beneficiary, the Participant’s entire interest will be
distributed to the Designated Beneficiary by December 31 of the calendar year
containing the fifth anniversary of the Participant’s death. If the Participant’s
surviving Spouse is the sole Designated Beneficiary and the surviving Spouse dies
after the Participant but before distributions to either the Participant or the
surviving Spouse begin, this subparagraph will apply as if the surviving Spouse
were the Participant. This subparagraph also applies to all distributions.
	 
	 	(B)	 	Date Distributions Are Deemed To Begin. For purposes of
this subparagraph (b)(2) and paragraph (d), distributions are considered to begin
on the Participant’s Required Beginning Date. If distributions under an annuity
purchased from an insurance company irrevocably commence to the Participant
before the Participant’s Required Beginning Date, then the date distributions are
considered to begin is the date distributions actually commence.

	 	(3)	 	Forms of Distribution. Unless the Participant’s interest is
distributed as an annuity purchased from an insurance company or in a single sum on
or before the Required Beginning Date, as of the first Distribution Calendar Year
distributions will be made in accordance with paragraphs (c) and (d). If the
Participant’s interest is distributed as an annuity purchased from an insurance
company, distributions thereunder will be made in accordance with the requirements of
Code §401(a)(9) and the Regulations.

	 	(c)	 	Required Minimum Distributions During the Participant’s Lifetime. The
amount of required minimum distributions during a Participant’s lifetime will be
determined as follows:

	 	(1)	 	Amount of Required Distribution for Each Distribution Calendar
Year. During the Participant’s lifetime, the minimum amount that will be
distributed each Distribution Calendar Year is the lesser of (A) the quotient
obtained by dividing the Participant’s Account Balance by the distribution period in
the Uniform Lifetime Table set forth in Regulation §1.401(a)(9)-9, using the
Participant’s age as of the Participant’s birthday in the Distribution Calendar Year;
or (B) if the Participant’s sole Designated Beneficiary for the Distribution Calendar
Year is the Participant’s Spouse, then the quotient obtained by dividing the
Participant’s Account Balance by the number in the Joint and Last Survivor Table set
forth in Regulation §1.401(a)(9)-9, using the Participant’s and Spouse’s attained
ages as of the Participant’s and Spouse’s birthdays in the Distribution Calendar
Year.
	 
	 	(2)	 	Required Minimum Distributions Continue Through Year of Death.
Required minimum distributions will be determined under this paragraph (c) beginning
with the first Distribution Calendar Year and up to and including the Distribution
Calendar Year that includes the Participant’s date of death.

	 	(d)	 	Required Minimum Distributions After the Participant’s Death. Required
minimum distributions will be made after a Participant’s death in accordance with the
following provisions:

	 	(1)	 	Death On or After Date Distribution Begins. If a Participant dies
on or after the date distribution begins, then the amount of a required minimum
distribution will be determined as follows:

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	 	(A)	 	Participant Survived by Designated Beneficiary. If the
Participant dies on or after the date distributions begin and there is a
Designated Beneficiary, then the minimum amount that will be distributed for each
Distribution Calendar Year after the year of the Participant’s death is the
quotient obtained by dividing the Participant’s Account Balance by the longer of
the remaining Life Expectancy of the Participant or the remaining Life Expectancy
of the Designated Beneficiary, determined in accordance with the following
provisions:

	 	(i)	 	Calculation of Remaining Life Expectancy. The
Participant’s remaining Life Expectancy is calculated using his or her age in
the year of death, reduced by one for each subsequent year.
	 
	 	(ii)	 	Surviving Spouse Is the Sole Designated Beneficiary.
If the Participant’s surviving Spouse is the Participant’s sole Designated
Beneficiary, then the remaining Life Expectancy of the surviving Spouse is
calculated for each Distribution Calendar Year after the year of the
Participant’s death using the surviving Spouse’s age as of the Spouse’s
birthday in that Distribution Calendar Year. For Distribution Calendar Years
after the year of the surviving Spouse’s death, the remaining Life Expectancy
of the surviving Spouse is calculated using the age of the surviving Spouse as
of the Spouse’s birthday in the calendar year of the Spouse’s death, reduced
by one for each subsequent calendar year.
	 
	 	(iii)	 	Surviving Spouse Is the Not Sole Designated
Beneficiary. If the Participant’s surviving Spouse is not the
Participant’s sole Designated Beneficiary, then the Designated Beneficiary’s
remaining Life Expectancy is calculated using the age of the Beneficiary in
the year following the year of the Participant’s death, reduced by one for
each subsequent calendar year.

	 	(B)	 	No Designated Beneficiary. If the Participant dies on or
after the date distributions begin and there is no Designated Beneficiary as of
September 30 of the year after the year of the Participant’s death, then the
minimum amount that will be distributed for each Distribution Calendar Year after
the year of the Participant’s death is the quotient obtained by dividing the
Participant’s Account Balance by the Participant’s remaining Life Expectancy
calculated using the age of the Participant in the year of death, reduced by one
each subsequent year.

	 	(2)	 	Death Before the Date Distribution Begins. If a Participant dies
before the date distribution begins, then the amount of a required minimum
distribution will be determined as follows: If a Participant dies before the date
distributions begin and there is no Designated Beneficiary as of September 30 of the
year following the year of the Participant’s death, distribution of the Participant’s
entire interest will be completed by December 31 of the calendar year containing the
fifth anniversary of such death.

	5.10	 	Statutory Commencement of Benefits. Unless the Participant otherwise elects, distribution of a Participant’s benefit must
begin no later than the 60th day after the latest of the close of the Plan Year in which the
Participant (a) reaches the earlier of Age 65 or Normal Retirement Age; (b) reaches the 10th
anniversary of the year that the Participant commenced Plan participation; or (c) Terminates
Employment with the Employer. However, the failure of a Participant (and, with respect to any
portion of the Participant’s Account which is subject to the Qualified Joint and Survivor
Annuity requirements of Code §401(a)(11) and Code §417, the Participant’s Spouse) to consent
to a distribution while a benefit is Immediately Distributable will be deemed to be an
election to defer the payment (or the commencement of the payment) of any benefit sufficient
to satisfy this Section. In addition, if this Plan provides for an Early Retirement Date, then
a Participant who satisfied the service requirement (if applicable) for Early Retirement Age
prior to Termination of Employment will be entitled to receive his or her Vested Aggregate
Account balance, if any, upon (a) the satisfaction of the age requirement (if applicable) for
Early Retirement Age, and (b) reaching the Participant’s Early Retirement Date.

	5.11	 	Earnings Before Benefit Distribution. As of the Valuation Date coinciding with or next following the date a Participant
Terminates Employment with the Employer for any reason, the Administrator will, until a
distribution is made to the Participant or the Participant’s Beneficiary in accordance with
Sections 5.1, 5.2, 5.3, 5.4, or 5.5, direct the Trustee in a uniform nondiscriminatory manner
to either (a) invest the Participant’s Vested Aggregate Account balance determined as of such
Valuation Date in a separate interest bearing account; or (b) leave the Participant’s Vested
Aggregate Account balance as part of the general Trust Fund. If the Participant’s Vested
Aggregate Account balance remains as part of the general Trust Fund, then such account will
either (a) share in the allocation of net earnings
and losses under Section 3.10 as a non-segregated account, or (b) be granted interest at a
rate consistent with the interest bearing investments of the Trust Fund.

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	5.12	 	Distribution in the Event of Legal Incapacity. If any person entitled to benefits (the “Payee”) is under any legal incapacity by
virtue of age or mental condition, then payments may be made in one or more of the following
ways as directed by the Administrator: (a) to a court-appointed guardian of the Payee; (b) to
the person or entity having a valid power of attorney of the Payee or the Payee’s estate; (c)
to any other person or entity authorized under State (or Commonwealth) law to receive benefits
on behalf of the Payee; or (d) if the Payee is a minor, to the authorized person or entity of
the Payee (e.g., custodian or guardian) under any State’s (or Commonwealth’s) Uniform
Transfers to Minors Act or Uniform Gifts to Minors Act.
	 
	5.13	 	Missing Payees and Unclaimed Benefits. With respect to a Participant or Beneficiary who has not claimed any benefit (the
“missing payee”) to which such missing payee is entitled, and with respect to any Participant
or Beneficiary who has not satisfied the administrative requirements for benefit payment, the
Administrator may elect to either (a) segregate the benefit into an interest bearing account,
in which event an annual maintenance fee as may be set from time to time in a policy
established by the Sponsoring Employer may be assessed against the segregated account; (b)
subject to a policy established by the Administrator, distribute the benefit at any time in
any manner which is sanctioned by the Internal Revenue Service and/or the Department of Labor,
which may include (but not be limited to) (1) distribute the benefit in a automatic direct
rollover to an individual retirement plan designated by the Administrator; such individual
retirement plan, as defined in Code §7701(a)(37), may be either an individual retirement
account within the meaning of Code §408(a) or an individual retirement annuity within the
meaning of Code §408(b); or (2) distribute the benefit to the Pension Benefit Guarantee
Corporation or any other authorized Federal Department or agency; (c) distribute the benefit
to any person or entity who is appointed under State (or Commonwealth) law to act as a duly
authorized guardian, legal representative, conservator, or power of attorney; or (d) treat the
entire benefit as a Forfeiture. If a missing payee whose benefit has been forfeited is
located, or if a payee whose benefit has been forfeited for failure to satisfy the
administrative requirements for benefit payment subsequently satisfies such administrative
requirements and claims his or her benefit, and if the Plan has not terminated (or if the Plan
has terminated, all benefits have not yet been paid), then the benefit will be restored. The
Administrator, on a case by case basis, may elect to restore the benefit by the use of
earnings from non-segregated assets of the Fund, by Employer contributions, by available
Forfeitures of the Forfeiture Account, or by any combination thereof. However, if any such
payee has not been located (or satisfied the administrative requirements for benefit payment)
by the time the Plan terminates and all benefits have been distributed from the Plan, then the
Forfeiture of such unpaid benefit will not be restored.
	 
	5.14	 	Direct Rollovers. This Section applies to distributions made after December 31, 2001. Notwithstanding any
provision of the Plan to the contrary that would otherwise limit a distributee’s election, a
distributee may elect, at the time and in the manner prescribed by the Plan, to have any
portion of an eligible rollover distribution paid directly to an eligible retirement plan
specified by the distributee in a direct rollover.

	 	(a)	 	Eligible Rollover Distribution. The term “eligible rollover distribution”
means any distribution of all or any portion of the balance to the credit of the
distributee, except that an eligible rollover distribution does not include (1) any
distribution that is one of a series of substantially equal periodic payments (not less
frequently than annually) made for the life (or life expectancy) of the distributee or
the joint lives (or joint life expectancies) of the distributee and the distributee’s
designated beneficiary, or for a specified period of ten years or more; (2) any
distribution to the extent such distribution is required under Code §401(a)(9); (3) the
portion of any distribution that is not includible in gross income (determined without
regard to the exclusion for net unrealized appreciation with respect to Employer
securities); (4) the portion of any distribution which is attributable to a financial
hardship distribution; and (5) any other distribution that is reasonably expected to
total less than $200 during a year.
	 
	 	(b)	 	Voluntary Employee Contributions as Eligible Rollover Distributions.
Notwithstanding anything in the Plan to the contrary, with respect to distributions made
after December 31, 2001, an eligible rollover distribution may include Voluntary Employee
Contributions (if any) which are not includible in gross income; however, the portion of
an eligible rollover distribution attributable to Voluntary Employee Contributions can be
paid only to an individual retirement account or annuity described in Code §408(a) or
(b), or to a qualified defined contribution plan described in Code §401(a) or §403(a)
that agrees to separately
account for amounts so transferred, including separately accounting for the portion of
such distribution which is includible in gross income and the portion of such distribution
which is not so includible. Furthermore, in accordance with the Job Creation and Worker
Assistance Act of 2002, when a distribution includes Voluntary Employee Contributions
which are not includible in gross income, the amount that is rolled over will first be
attributed to amounts includible in gross income.

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	 	(c)	 	Definition of Eligible Retirement Plan. With respect to distributions made
after December 31, 2001, the term “eligible retirement plan” means an individual
retirement account described in Code §408(a); an individual retirement annuity described
in Code §408(b); an annuity plan described in Code §403(a); an annuity contract described
in Code §403(b); a qualified trust described in Code §401(a); or an eligible deferred
compensation plan under Code §457(b) which is maintained by a state, political
subdivision of a state, or any agency or instrumentality of a state or political
subdivision of a state and which agrees to separately account for amounts transferred
into such plan from this Plan. This definition of eligible retirement plan will also
apply in the case of a distribution to a surviving Spouse, or to a Spouse or former
Spouse who is the alternate payee under a qualified domestic relation order, as defined
in Code §414(p); such distribution will be made in the same manner as if the Spouse was
the Employee. If any portion of an eligible rollover distribution is attributable to
payments or distributions from an individual’s Roth Elective Deferral Account, if any,
(or the segregated portion of an individual’s Rollover Contribution Account that is
attributable to Roth Elective Deferrals, if any), then an eligible retirement plan with
respect to such portion will only be either another plan’s designated Roth account of the
individual from whose account the payments or distributions were made, or such
individual’s Roth IRA.
	 
	 	(d)	 	Definition of Distributee. The term “distributee” means an Employee or
former Employee. In addition, an Employee’s or former Employee’s surviving Spouse and an
Employee’s or former Employee’s Spouse or former Spouse who is the alternate payee under
a qualified domestic relations order as defined in Code §414(p), are distributees with
regard to the interest of the Spouse or former Spouse. With respect to any portion of a
distribution that is made after December 31, 2006 from an eligible retirement plan of a
deceased Employee, a distributee for purposes of a direct trustee-to trustee transfer
will include an individual who is the Designated Beneficiary of the Employee and who is
not the surviving Spouse of the Employee.
	 
	 	(e)	 	Definition of Direct Rollover. The term “Direct Rollover” means a payment
by the Plan to the eligible retirement plan that is specified by the distributee.
	 
	 	(f)	 	Direct Rollover Rules for Roth Elective Deferral Account. The Plan will
not provide for a direct rollover for distributions from a Participant’s Roth Elective
Deferral Account, if any, if the amount of the distributions that are eligible rollover
distributions are reasonably expected to total less than $200 during a year. In addition,
any distribution from a Participant’s Roth Elective Deferral Account is not taken into
account in determining whether distributions from the other Participant’s Account(s) are
reasonably expected to total less than $200 during a year.

	5.15	 	Distribution of Property. The determination to pay any distribution in property will be made by the Administrator
in its sole discretion applied in a nondiscriminatory manner that does not discriminate in
favor of Participants who are HCEs. A Participant, Beneficiary or alternate payee may elect to
receive amounts invested in Sponsor Stock in an in-kind distribution of Sponsor Stock.
However, if this is an amended or restated Plan, then the payee will have the right to elect a
full or partial distribution in property pursuant to and limited by the provisions of Section
11.1(e).
	 
	5.16	 	Financial Hardship Distributions. Subject to rules and procedures established by the Administrator in an administrative
policy regarding hardship distributions, a Participant who is still an Employee may make a
written request to the Administrator that a distribution be made to the Participant because of
his or her immediate and heavy financial hardship. Any such distribution will be made in
accordance with the provisions of an administrative policy regarding financial hardship
distributions that is promulgated under Section 8.6 by the Administrator; such administrative
policy will include (but not be limited to) (a) the Participant’s accounts (or sub-accounts)
that are available for financial hardship distributions; (b) the maximum percentages of such
accounts (or sub-accounts) that may be distributed for financial hardships; and (c) the
standards to be used in determining if a Participant has incurred a financial hardship for
purposes of financial hardship distributions. Such standards must be based on
non-discriminatory and objective criteria. Any distribution under this Section of a
Participant’s Pre-Tax Elective Deferrals may include any allocable earnings that are credited
to such Participant’s Pre-Tax Elective Deferral Account as of the
later of December 31, 1988 or the end of the last Plan Year ending before July 1, 1989, any
Qualified Non-Elective Contributions (and allocable earnings) as of the later of December 31,
1988 or the end of the last Plan Year ending before July 1, 1989, and any Qualified Matching
Contributions (and allocable earnings) as of the later of December 31, 1988 or the end of the
last Plan Year ending before July 1, 1989.

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	5.17	 	Pre-Retirement Distributions. A Participant who is still an Employee may request in writing to the Administrator
that up to 100% of the Participant’s Vested Interest in the accounts set forth below be
distributed to the Participant prior to Normal Retirement Age, subject to the following
provisions:

	 	(a)	 	Amount and Form of Distribution. The amount of a Participant’s Vested
Interest for distribution under this Section will be determined as of the Valuation Date
which coincides with or immediately precedes the date of distribution. Any distribution
under this Section will be made to the Participant in a single payment. When feasible,
any such distribution will be paid at the Participant’s direction within 60 days of his
or her request, but not later than a date as soon as administratively practical following
the next Valuation date after the Administrator’s receipt of such request.
	 
	 	(b)	 	Elective Deferral, QMAC/QNEC Accounts. A Participant who has reached Age
591/2 can take a distribution of up to 100% of his or her Elective Deferral Account,
Qualified Matching Contribution Account and Qualified Non-Elective Contribution Account.
	 
	 	(c)	 	Non-Safe Harbor Matching Contribution Accounts. A Participant who
satisfies the following requirements can take a distribution of up to 100% of his or her
Non-Safe Harbor Matching Contribution Account: the Participant must have reached Age 591/2.
	 
	 	(d)	 	Safe Harbor 401(k) Contributions. Distribution under this Section with
respect to Safe Harbor 401(k) Contributions will only be permitted as set forth in a Safe
Harbor 401(k) Addendum executed by the Sponsoring Employer from time to time. However,
the minimum attained age requirement with respect to the distribution of amounts
attributable to a Participant’s ADP Safe Harbor Non-Elective Contributions and/or ADP
Safe Harbor Matching Contributions is age 591/2.
	 
	 	(e)	 	Frequency of Pre-Retirement Distributions. The frequency of pre-retirement
distributions to any Participant under this Section will be determined pursuant to an
administrative policy regarding pre-retirement distributions that is promulgated under
Section 8.6 by the Administrator.
	 
	 	(f)	 	Participants Who Are Not 100% Vested. If a distribution is made under this
Section at a time when the Participant has less than a 100% Vested Interest in his or her
Non-Safe Harbor Non-Elective Contribution sub-account and Matching Contribution
sub-account and such Vested Interest may increase, a separate account will be established
for the Participant’s Non-Safe Harbor Non-Elective Contribution sub-account balance and
the Participant’s Matching Contribution sub-account balance at the time of distribution,
and at any relevant time the Participant’s Vested Interest in the separate account will
be equal to an amount (“X”) determined by the following formula: X = P(AB + (R x D)) — (R
x D). In applying the formula, “P” is the Vested Interest at the relevant time, “AB” is
the respective account balance at the relevant time, “D” is the amount of the
distribution, and “R” is the ratio of the respective account balance at the relevant time
to the respective account balance after distribution.
	 
	 	(g)	 	Restriction on Certain Transfer Contributions Account. Notwithstanding
anything in this Section to the contrary, no pre-retirement distribution can be made
under this Section with respect to Transfer Contribution Accounts (including
post-transfer earnings thereon) that are transferred into this Plan from a money purchase
plan or target benefit plan (other than any portion thereof which is attributable to
Voluntary Employee Contributions). Furthermore, if the Transfer Contributions are
Elective Deferrals (including QNECs, QMACs, and ADP Safe Harbor Contributions) which are
transferred to this Plan in a direct or indirect trustee-to-trustee transfer from another
qualified plan and which are subject to the limitations in Regulation §1.401(k)-1(d),
then the distribution of such Transfer Contributions (including post-transfer earnings
thereon) will be subject to the limitations in Regulation §1.401(k)-1(d).

	5.18	 	Distribution of Excess Elective Deferrals. Excess Elective Deferrals, plus any income and minus any loss allocable thereto, will
be distributed no later than April 15th to any Participant to whose account Excess Elective
Deferrals were allocated for the preceding taxable year or calendar year and who claims Excess
Elective Deferrals for such taxable year or calendar year. Distribution of Excess Elective
Deferrals will be made in accordance with the following provisions:

	 	(a)	 	Assignment of Excess Elective Deferrals. A Participant may assign to this
Plan any Excess Elective Deferrals made during a taxable year of the Participant by
notifying the Administrator on or before March 15th (or such later date as established by
the Administrator) of the subsequent year of the amount of the

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	 	 	 	Excess Elective Deferrals
to be assigned to the Plan. A Participant will be deemed to notify the Administrator of
any Excess Elective Deferrals that arise by taking into account only those Elective
Deferrals made to this Plan and any other plan, contract or arrangement of the Sponsoring
Employer. Notwithstanding any other provision of the Plan, Excess Elective Deferrals,
plus any income and minus any loss allocable to such Excess Elective Deferrals, will be
distributed no later than April 15 to any Participant to whose account Excess Elective
Deferrals were assigned for the preceding year and who claims Excess Elective Deferrals
for such taxable year or calendar year.

	 	(b)	 	Determination of Income or Loss. Excess Elective Deferrals will be
adjusted for any income or loss up to the last day of the Plan Year, without considering
the gap period or any adjustment for income or loss during the gap period (the period
between the end of the Participant’s taxable year and the date of distribution). The Plan
may use any reasonable method for computing income or loss allocable to Excess Elective
Deferrals, provided such method is used consistently for all Participants and for all
corrective distributions under the Plan for the Plan Year, and is used by the Plan for
allocating income or loss to Participants’ Accounts:
	 
	 	(c)	 	Source of Distribution. Distribution of Excess Elective Deferrals will be
taken from a Participant’s investment options (if any) based on rules established by the
Administrator. In addition, for years beginning after 2005, unless another rule is
established by the Administrator, distribution of Excess Elective Deferrals will first be
made from a Participant’s Roth Elective Deferral Account, if any, before the
Participant’s Pre-Tax Elective Deferral Account, to the extent Roth Elective Deferrals
were made for the year, unless the Administrator permits the Participant to specify
otherwise.

	5.19	 	Distribution of Excess Contributions. Notwithstanding any other provision of the Plan, Excess Contributions, plus any income
and minus any loss allocable thereto, will be distributed no later than 12 months after a Plan
Year to Participants to whose accounts such Excess Contributions were allocated for such Plan
Year, except to the extent such Excess Contributions are classified as Catch-up Contributions.

	 	(a)	 	Allocation to Highly Compensated Employees. Excess Contributions will be
allocated to the Highly Compensated Employees with the largest amounts of Employer
contributions taken into account in calculating the ADP Test for the Plan Year in which
the Excess Contributions arose, beginning with the Highly Compensated Employee with the
largest amount of such Employer contributions and continuing in descending order until
all the Excess Contributions have been allocated. For purposes of the preceding sentence,
the “largest amount” is determined by including and excluding such Employer contributions
actually paid over to the Trust on behalf of such Participant for the Plan Year that are
described in Section 1.6. To the extent a Highly Compensated Employee has not reached his
or her Catch-Up Contribution Limit, Excess Contributions allocated to such Highly
Compensated Employee are Catch-Up Contributions and will not be treated as Excess
Contributions. Excess Contributions will be treated as Annual Additions, even if such
Excess Contributions are distributed.
	 
	 	(b)	 	Distribution of Excess Contributions After 21/2 Months. If Excess
Contributions (other than Catch-up Contributions) are distributed more than 21/2 months (or
such later time as may be granted by future governmental guidance) after the last day of
the Plan Year in which such Excess Contributions arose, then a 10% excise tax will be
imposed on the Sponsoring Employer with respect to such Excess Contributions.
	 
	 	(c)	 	Determination of Net Income or Loss. For Plan Years beginning prior to
January 1, 2006 (or such earlier effective date as may be provided in a separate
amendment implementing the final §401(k) Regulations and as permitted by such
Regulations), Excess Contributions will be adjusted for any income or loss up to the end
of the Plan Year and, at the discretion of the Administrator, may be adjusted for income
or loss during the period, if any, between the end of the Plan Year and the actual date
of distribution (the “gap period”). However, effective as of the first day of the first
Plan Year beginning on or after January 1, 2006 (or such
earlier effective date as may be provided in a separate amendment implementing the final
§401(k) Regulations and as permitted by such Regulations), Excess Contributions will be
adjusted for any income or loss up to the end of the Plan Year and during the gap period.
Any adjustment for income or loss during the gap period will be allocated in a consistent
manner to all Participants, and to all corrective distributions made for the Plan Year,
and will be the amount determined by one of the methods set forth either in subparagraph
(1), subparagraph (2), or subparagraph (3) below, as elected by the Administrator:

	 	(1)	 	Method 1. The amount determined by multiplying the income or loss
allocable to the Participant’s Elective Deferrals (and QNECs or QMACs, or both, if
such contributions are used in the ADP Test) for

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	 	 	 	the Plan Year and the gap period, by
a fraction, the numerator of which is the Participant’s Excess Contributions for the
Plan Year and the denominator of which is the Participant’s Elective Deferral Account
balance (and QNECs or QMACs, or both, if such contributions are used in the ADP Test)
as of the beginning of the Plan Year plus any Elective Deferrals (and QNECs or QMACs,
or both, if such contributions are used in the ADP Test) allocated to the Participant
during the Plan Year and gap period.

	 	(2)	 	Method 2. The sum of (A) and (B): (A) the amount determined by
multiplying the income or loss allocable to the Participant’s Elective Deferrals (and
QNECs or QMACs, or both, if such contributions are used in the ADP Test) for the Plan
Year, by a fraction, the numerator of which is the Participant’s Excess Contributions
for the Plan Year and the denominator of which is the Participant’s Elective Deferral
Account balance (and QNECs or QMACs, or both, if such contributions are used in the
ADP Test) as of the beginning of the Plan Year plus any Elective Deferrals (and QNECs
or QMACs, or both, if such contributions are used in the ADP Test) allocated to the
Participant during such Plan Year; plus (B) the amount of gap period income or loss
equal to 10% of the amount determined under clause (A) above multiplied by the number
of whole months between the end of the Plan Year and the distribution date, counting
the month of distribution if the distribution occurs after the 15th day of such
month.
	 
	 	(3)	 	Method 3. The amount determined by any reasonable method of
allocating income or loss to the Participant’s Excess Contributions for the Plan Year
and the gap period, provided the method used is the same method used for allocating
income or losses to Participants’ Accounts. This Plan will not fail to use a
reasonable method for computing the income allocable to Excess Contributions merely
because the income allocable thereto is determined on a date that is no more than 7
days before the distribution.

	 	(d)	 	Accounting for Excess Contributions. Excess Contributions allocated to a
Participant will be distributed from the Participant’s Elective Deferral Account and QMAC
Account in proportion to the Participant’s Elective Deferrals and QMACs (to the extent
used in the ADP Test) for the Plan Year. Excess Contributions will be distributed from
the Participant’s QNEC Account only to the extent that the Excess Contributions exceed
the balance in the Participant’s Elective Deferral Account and QMAC Account.
	 
	 	(e)	 	Source and Ordering of Distribution. Distribution of Excess Contributions
will be taken from a Participant’s investment options (if any) based on rules established
by the Administrator. For purposes of determining the sources of a distribution of Excess
Contributions, the sources will be distributed in the following order (unless a policy
for the order of the sources to distribute Excess Contributions is established by the
Administrator and such policy will control): (1) unmatched Elective Deferrals, (2)
matched Elective Deferrals, (3) Qualified Matching Contributions (that are tested in the
ACP Test and that are utilized in (or shifted into) the ADP Test), and (4) Qualified
Non-Elective Contributions (to the extent that such contributions are utilized in the ADP
Test). In addition, for Plan Years beginning after 2005, unless a different rule is
established by the Administrator, distribution of Elective Deferrals that are Excess
Contributions will first be made from a Participant’s Roth Elective Deferral Account, if
any, before the Participant’s Pre-Tax Elective Deferral Account, to the extent that Roth
Elective Deferrals were made for the Plan Year, unless the Administrator permits the
Participant to specify otherwise.

	5.20	 	Distribution of Excess Aggregate Contributions. Excess Aggregate Contributions, plus any income and minus any loss allocable thereto,
will be forfeited, if forfeitable, or if not forfeitable, distributed no later than 12 months
after a Plan Year to Participants to whose Accounts such Excess Aggregate Contributions were
allocated for such Plan Year. Distribution will be made in accordance with the following
provisions:

	 	(a)	 	Allocation to Highly Compensated Employees. Excess Aggregate Contributions
will be allocated to the Highly Compensated Employees with the largest Contribution
Percentage Amounts taken into account in
calculating the ACP Test for the Plan Year in which the Excess Aggregate Contributions
arose, beginning with the Highly Compensated Employee with the largest amount of such
Contribution Percentage Amounts and continuing in descending order until all the Excess
Aggregate Contributions have been allocated. For purposes of the preceding sentence, the
“largest amount” is determined by including and excluding such Employer contributions and
allocations that are described in the definition of “Contribution Percentage Amounts.”
Excess Aggregate Contributions will be treated as Annual Additions, even if such Excess
Aggregate Contributions are distributed.

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	 	(b)	 	Distribution of Excess Aggregate Contributions After 21/2 Months. If Excess
Aggregate Contributions are distributed more than 21/2 months after the last day of the
Plan Year in which such Excess Aggregate Contributions arose, then a ten percent (10%)
excise tax will be imposed on the Sponsoring Employer maintaining the Plan with respect
to such Excess Aggregate Contributions.
	 
	 	(c)	 	Forfeitures of Excess Aggregate Contributions. Forfeitures of Excess
Aggregate Contributions will be used and/or allocated pursuant to the provisions of
Section 3.11(c).
	 
	 	(d)	 	Determination of Net Income or Loss. For Plan Years beginning prior to
January 1, 2006 (or such earlier effective date as may be provided in a separate
amendment implementing the final §401(m) Regulations and as permitted by such
Regulations), Excess Aggregate Contributions will be adjusted for any income or loss up
to the end of the Plan Year and, at the discretion of the Administrator, may be adjusted
for income or loss during the period, if any, between the end of the Plan Year and the
actual date of distribution (the “gap period”). However, effective as of the first day of
the first Plan Year beginning on or after January 1, 2006 (or such earlier effective date
as may be provided in a separate amendment implementing the final §401(m) Regulations and
as permitted by such Regulations), Excess Aggregate Contributions will be adjusted for
any income or loss up to the end of the Plan Year and during the gap period. Any
adjustment for income or loss during the gap period will be allocated in a consistent
manner to all Participants, and to all corrective distributions made for the Plan Year,
and will be the amount determined by one of the methods set forth either in subparagraph
(1), subparagraph (2), or subparagraph (3) below, as elected by the Administrator:

	 	(1)	 	Method 1. The amount determined by multiplying the income or loss
allocable to the Participant’s Voluntary Employee Contributions, Mandatory Employee
Contributions, Matching Contributions (if not used in the ADP Test), QNECs (if not
used in the ADP Test) and, to the extent applicable, Elective Deferrals for the Plan
Year and the gap period, by a fraction, the numerator of which is such Participant’s
Excess Aggregate Contributions for the Plan Year and the denominator of which is the
Participant’s Account balance(s) attributable to Contribution Percentage Amounts as
of the beginning of the Plan Year, plus any additional amounts attributable to
Contribution Percentage Amounts allocated to the Participant during such Plan Year
and the gap period.
	 
	 	(2)	 	Method 2. The sum of (A) and (B) as follows: (A) the amount
determined by multiplying the income or loss allocable to the Participant’s Voluntary
Employee Contributions, Mandatory Employee Contributions, Matching Contributions (if
not used in the ADP Test), QNECs (if not used in the ADP Test) and, to the extent
applicable, Elective Deferrals for the Plan Year, by a fraction, the numerator of
which is such Participant’s Excess Aggregate Contributions for the Plan Year and the
denominator of which is the Participant’s Account balance(s) attributable to
Contribution Percentage Amounts as of the beginning of the Plan Year, plus any
additional amounts attributable to Contribution Percentage Amounts allocated to the
Participant during such Plan Year; plus (B) the amount of gap period income or loss
equal to 10% of the amount determined under clause (A) above multiplied by the number
of whole months between the end of the Plan Year and the distribution date, counting
the month of distribution if the distribution occurs after the 15th day of such
month.
	 
	 	(3)	 	Method 3. The amount determined by any reasonable method of
allocating income or loss to the Participant’s Excess Aggregate Contributions for the
Plan Year and for the gap period, provided the method used is the same method used
for allocating income or losses to Participants’ Accounts. This Plan will not fail to
use a reasonable method for computing the income allocable to Excess Aggregate
Contributions merely because the income allocable to a Participant’s Excess Aggregate
Contributions is determined on a date that is no more than 7 days before the
distribution.

	 	(e)	 	Accounting for Excess Aggregate Contributions. Excess Aggregate
Contributions that are allocated to a Participant will be forfeited, if forfeitable, or
will be distributed on a pro-rata basis from the Participant’s Voluntary Employee
Contribution Account, Mandatory Employee Contribution Account, Matching Contribution
Account and Qualified Matching Contribution Account (and if applicable, from the
Participant’s Qualified Non-Elective Contribution Account, Pre-Tax Elective Deferral
Account, Roth Elective Deferral Account, or any combination thereof).
	 
	 	(f)	 	Source and Ordering of Distribution. Distribution of Excess Aggregate
Contributions will be taken from a Participant’s investment options (if any) based on
rules established by the Administrator. In determining the sources of a distribution of
Excess Aggregate Contributions, the sources will be distributed in the following

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	 	 	 	order
(unless a policy for the order of the sources to distribute Excess Aggregate
Contributions is established by the Administrator and such policy will control): (1)
unmatched Voluntary Employee Contributions; (2) unmatched Mandatory Employee
Contributions; (3) unmatched Elective Deferrals (that are tested in the ADP Test and that
are utilized in (or shifted into) the ACP Test); (4) matched Voluntary Employee
Contributions and the Matching Contributions that relate to such Voluntary Employee
Contributions; (5) matched Mandatory Employee Contributions and the Matching
Contributions that relate to such Mandatory Employee Contributions; (6) matched Elective
Deferrals (that are tested in the ADP Test and that are utilized in (or shifted into) the
ACP Test) and the Matching Contributions that relate to such Elective Deferrals; (7)
Non-Safe Harbor Matching Contributions; (8) ACP Safe Harbor Matching Contributions (to
the extent that such contributions are subject to the ACP Test); (9) ADP Safe Harbor
Matching Contributions (to the extent that such contributions are subject to the ACP
Test); (10) Qualified Matching Contributions, and (11) Qualified Non-Elective
Contributions (to the extent that such contributions are utilized in the ACP Test). With
respect to Elective Deferrals that are tested in the ADP Test, that are utilized in (or
shifted into) the ACP Test, and that become Excess Aggregate Contributions, then for Plan
Years beginning after 2005, unless a different rule is established by the Administrator,
distribution of such Elective Deferrals that are Excess Aggregate Contributions will
first be made from a Participant’s Roth Elective Deferral Account, if any, before the
Participant’s Pre-Tax Elective Deferral Account, to the extent that Roth Elective
Deferrals were made for the Plan Year, unless the Administrator permits the Participant
to specify otherwise.

	5.21	 	Distribution of Rollover Contributions. An Employee’s Rollover Contribution Account will be distributed from the
Plan in accordance with the following provisions:

	 	(a)	 	Time of Distribution. An Employee may request in writing a withdrawal of
all or any portion of his or her Rollover Contribution Account at any time prior to
becoming a Participant, and thereafter upon the earlier of (1) the date the Employee is
entitled to a distribution of his or her Participant’s benefits under the provisions of
Article 5, or (2) the soonest possible administratively practical date after the
Participant’s Termination of Employment. In addition, the Employee may also withdraw all
or any portion of his or her Rollover Contribution Account at any time. The Administrator
may require advance notice of a reasonable period not to exceed 60 days prior to the
requested date of withdrawal. Any amount withdrawn cannot be redeposited to the
Employee’s Rollover Contribution Account. A withdrawal of all or any portion of an
Employee’s Rollover Contribution Account will not prevent an Employee from accruing any
future benefit attributable to Employer contributions. The Administrator may establish
rules or procedures regarding withdrawals from an Employee’s Rollover Contribution
Account.
	 
	 	(b)	 	Spousal Consent Requirements Upon Withdrawal. All or any portion of an
Employee’s Rollover Contribution Account can be withdrawn from the Plan without the
consent of the Employee’s Spouse.
	 
	 	(c)	 	Form of Distribution. A distribution of all or any portion of an
Employee’s Rollover Contribution Account prior to the time that the Employee is entitled
to a distribution of his or her Participant Account will only be made as a lump sum
payment. Any amount remaining in an Employee’s Rollover Contribution Account at the time
the Employee is entitled to a distribution of his or her Participant Account will be
distributed, at the election of the Participant, in a lump sum payment or in the same
manner as the Participant Account is distributed under the other provisions of this
Article 5.

	5.22	 	Distribution of Transfer Contributions. A Participant’s Transfer Contribution Account will be distributed from the Plan at the
same time and in the same manner as the Participant’s Account is distributed under Section
5.1, 5.2, 5.3, 5.4, subject to the following rules:

	 	(a)	 	Spousal Consent Requirements Upon Withdrawal. The following provisions
apply to the requirement of consent by the Participant’s Spouse with respect to a
withdrawal of all or any portion of a Participant’s Transfer Contribution Account from
the Plan:

	 	(1)	 	Transfer Was Subject to Code §401(a)(11). If the Transfer
Contribution was a direct or indirect transfer as defined in Code §401(a)(11) from a
defined benefit plan, a money purchase plan, a target benefit plan, a stock bonus
plan, or a profit sharing plan that provided for a life annuity form of payment to
the Participant, then a withdrawal of all or any portion of such Transfer
Contribution (and post-transfer earnings thereon) will be subject to the Spousal
consent requirements set forth in Section 5.8(b).

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	 	(2)	 	Transfer Was Not Subject to Code §401(a)(11). If the Transfer
Contribution was not a direct or indirect transfer as defined in Code §401(a)(11)
from a defined benefit plan; a money purchase plan; a target benefit plan; or a stock
bonus plan or a profit sharing plan that provided for a joint and survivor annuity or
a life annuity form of payment to the Participant, then all or any portion of such
Transfer Contribution (and post-transfer earnings thereon) can be withdrawn by the
Participant without the consent of the Participant’s Spouse.

	 	(b)	 	Form of Distribution. A withdrawal of all or any portion of a
Participant’s Transfer Contribution Account may also be made in the same manner as the
Participant’s Account under the other provisions of this Article 5, subject to the
Spousal consent requirements set forth in paragraph (a) above and Section 5.8. However,
notwithstanding the foregoing sentence to the contrary, if the Transfer Contribution was
a direct or indirect transfer as defined in Code §401(a)(11) from a defined benefit plan,
a money purchase plan, a target benefit plan, or a stock bonus plan or a profit sharing
plan that provided for a joint and survivor annuity or a life annuity form of payment to
the Participant, then regardless of the Normal Form of Distribution, a withdrawal of all
or any portion of such Transfer Contribution will be subject to the Qualified Joint and
Survivor Annuity and Qualified Pre-Retirement Survivor Annuity requirements of Code
§401(a)(11) and Code §417, and will be distributed in accordance with following
provisions:

	 	(1)	 	Distributions Other Than Death. If the Participant is married on
the Annuity Starting Date and has not died before such date, then such portion of the
Participant’s Transfer Contribution Account will be distributed in the form of a
Qualified Joint and Survivor Annuity. If the Participant is unmarried on the Annuity
Starting Date and has not died before such date, then such portion of the
Participant’s Transfer Contribution Account will be distributed as a life annuity. If
a Participant elects not to receive the annuity form of payment described above, then
such portion of the Participant’s Transfer Contribution Account will be distributed
in the manner described in Sections 5.1 through 5.4, as applicable. Any such election
by a Participant not to receive the annuity form of benefit described in this
paragraph must be made in accordance with the provisions set forth in Section 5.8(b)
of the Plan.
	 
	 	(2)	 	Distributions Upon Death. Notwithstanding any other Beneficiary
designation made by a Participant to the contrary, if a Participant is married on the
date of his or her death and dies before the Annuity Starting Date, then with respect
to such portion of a deceased Participant’s Transfer Contribution Account, the
Participant’s surviving Spouse will receive a minimum death benefit as a Qualified
Pre-Retirement Survivor Annuity unless such annuity has been waived under Section
5.8(b), in which event such death benefit will be distributed to the surviving Spouse
in the manner described in Section 5.2.

	 	(c)	 	Special Rule for Withdrawal of Elective Deferral Transfers.
Notwithstanding anything in this Section to the contrary, if the Transfer Contributions
are Elective Deferrals (including QNECs, QMACs, and ADP Safe Harbor Contributions) which
are transferred to this Plan in a direct or indirect trustee-to-trustee transfer from
another qualified plan and which are subject to the limitations in Regulation
§1.401(k)-1(d), then the distribution of such Transfer Contributions (including
post-transfer earnings thereon) will be subject to the limitations in Regulation
§1.401(k)-1(d).

	5.23	 	Distribution of Voluntary Employee Contributions. Voluntary Employee Contributions are not permitted.

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Article 6

Code § 415 Limitations

	6.1	 	Maximum Annual Additions. Subject to Sections 6.2 and 6.3, the maximum Annual Additions made to a Participant’s
various accounts maintained under the Plan for any Limitation Year will not exceed the lesser
of the Dollar Limitation of paragraph (a) or the Compensation Limitation of paragraph (b)
below, as follows:

	 	(a)	 	Dollar Limitation. For Limitation Years beginning on or after January 1,
2002, the Dollar Limitation is $40,000 as adjusted in accordance with Code §415(d).
	 
	 	(b)	 	Compensation Limitation. For Limitation Years beginning on or after
January 1, 2002, the Compensation Limitation is 100% of the Participant’s Code §415(c)(3)
Compensation, but this limit does not apply to any contribution for medical benefits
within the meaning of Code §401(h) or §419A(f)(2) after Termination of Employment which
is otherwise treated as an Annual Addition under Code §415(l)(1) or §419A(d)(2).

	6.2	 	Adjustments to Maximum Annual Addition. In applying the limitation on Annual Additions set forth in Section 6.1, the following
adjustments must be made:

	 	(a)	 	Short Limitation Year. If a Limitation Year is less than 12 months, then
the Dollar Limitation of Section 6.1(a) will be adjusted by multiplying the Dollar
Limitation by a fraction, the numerator of which is the number of months (including any
fractional parts of a month) in the short Limitation Year and the denominator of which is
12.
	 
	 	(b)	 	Multiple Defined Contribution Plans. If a Participant participates in
multiple defined contribution plans sponsored by the Employer which have different
Anniversary Dates, the maximum Annual Addition in this Plan for the Limitation Year will
be reduced by the Annual Additions credited to the Participant’s accounts in the other
defined contribution plans during the Limitation Year. If a Participant participates in
multiple defined contribution plans sponsored by the Employer which have the same
Anniversary Date, then (1) if only one of the plans is subject to Code §412, Annual
Additions will first be credited to the Participant’s accounts in the plan subject to
Code §412; and (2) if none of the plans are subject to Code §412, the maximum Annual
Addition in this Plan for a given Limitation Year will either (A) equal the product of
(i) the maximum Annual Addition for such Limitation Year minus any other Annual Additions
previously credited to the Participant’s account(s), multiplied by (ii) a fraction, the
numerator of which is the Annual Additions which would be credited to a Participant’s
accounts hereunder without regard to the Annual Additions limitation of Section 6.1 and
the denominator of which is the Annual Additions for all plans described in this
paragraph, or (B) be reduced by the Annual Additions credited to the Participant’s
accounts in the other defined contribution plans for such Limitation Year.

	6.3	 	Multiple Plans and Multiple Employers. All defined contribution plans (whether terminated or not) sponsored by the Employer
will be treated as one defined contribution plan. In addition, all Affiliated Employers will
be considered a single Employer.

	6.4	 	Adjustment for Excessive Annual Additions. For any Limitation Year, if the Annual Additions allocated to a Participant’s Account
exceed the Annual Additions limitation of Section 6.1 because of an allocation of Forfeitures,
a reasonable error in estimating a Participant’s Compensation, a reasonable error in
determining the amount of elective contributions (within the meaning of Code §402(g)(3)), or
because of other limited facts and circumstances that the Commissioner finds justify the
availability of the rules set forth in this Section, then such Participant’s Account will be
adjusted as follows in order to reduce the Excess Annual Additions:

	 	(a)	 	Catch-Up Contributions. First, if Catch-Up Contributions are permitted, a
catch-up eligible Participant who has Excess Annual Additions which include Elective
Deferrals and who has not reached his or her Catch-Up Contribution Limit can
recharacterize such Excess Annual Additions as Catch-Up Contributions.
	 
	 	(b)	 	Return of Employee Contributions. Next, Voluntary Employee Contributions,
if any, and next, the amount of Elective Deferrals and corresponding Employer Matching
Contributions, if any, to the extent that they would reduce the excess amount, will be
calculated. Such Elective Deferrals and Voluntary Employee Contributions plus earnings
attributable thereto, will be returned to the Participant. Any Employer Matching
Contribution amount will be applied as described in paragraphs (c) or (d) below,
depending on whether the Participant is covered by the Plan at the end of the Limitation
Year.

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	 	(c)	 	Excess Used To Reduce Employer Contributions If Participant Is Still Covered By
The Plan. If, after the application of paragraphs (a) and (b) above, Excess Annual
Additions still exist and the Participant is covered by the Plan at the end of the
Limitation Year, the Excess Annual Additions in the Participant’s Account will be used to
reduce Employer contributions (including any allocation of Forfeitures) for such
Participant in the next Limitation Year, and in each succeeding Limitation Year if
necessary.
	 
	 	(d)	 	Excess Used To Reduce Employer Contributions If Participant Is Not Covered By
The Plan. If, after the application of paragraphs (a) and (b) above, Excess Annual
Additions still exist and the Participant is not covered by the Plan at the end of a
Limitation Year, the Excess Annual Additions will be held unallocated in a suspense
account. The suspense account will be applied to reduce future Employer contributions
(including the allocation of any Forfeitures) for all remaining Participants in the next
Limitation Year, and in each succeeding Limitation Year if necessary.
	 
	 	(e)	 	Suspense Account. If a suspense account is in existence at any time during
a Limitation Year pursuant to this Section, then such suspense account will not
participate in the allocation of the Trust’s investment gains and losses. If a suspense
account is in existence at any time during a particular Limitation Year, then all amounts
in the suspense account must be allocated and reallocated to Participants’ Accounts
before any Employer Contributions or any Employee contributions may be made to the Plan
for that Limitation Year. A suspense account may not be distributed to Participants or
former Participants.

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Article 7

Loans, Insurance and Directed Investments

	7.1	 	Loans to Participants. Loans may be made from the Trust Fund to Participants and Beneficiaries who make
application to the Administrator requesting a loan. The Administrator has the sole right to
approve or disapprove the application. All loans must be evidenced by a legally enforceable
agreement (which may include more than one document) set forth in writing or in such other
form as may be approved by the Internal Revenue Service, and the terms of such agreement must
specify the amount and term of the loan, and the repayment schedule. Loans will only be made
in accordance with a separate written loan program which satisfies the requirements of Code
§72(p) and the Regulations promulgated thereunder, and the following provisions:

	 	(a)	 	General Rules. Loans (1) will be made available to all Participants and
Beneficiaries on a reasonably equivalent, non-discriminatory basis; (2) will not be made
available to HCEs in an amount greater than the amount made available to other Employees;
(3) must be adequately secured and bear a reasonable interest rate; and (4) cannot exceed
the present value of the Participant’s Vested Aggregate Account balance.
	 
	 	(b)	 	Spousal Consent. A Participant must obtain the consent of his or her
Spouse, if any, as set forth in Section 5.8 or Section 5.22 of the Plan in order to use
the remaining Vested Interest of the Participant’s Account balance as security for a loan
taken from the portion of the Participant’s Account which is subject to Code §401(a)(11)
and Code §417 at the time the loan is made, if any. Any such Spousal consent will be
obtained no earlier than the beginning of the 90-day period that ends on the date on
which the loan is to be so secured. The consent must be in writing, must acknowledge the
effect of the loan, and must be witnessed by a Plan representative or notary public. Such
consent will thereafter be binding upon the consenting Spouse or any subsequent Spouse
with respect to that loan. A new consent will be required if the remaining Participant’s
Account balance is used for renegotiation, extension, renewal, or other revision of the
loan. If valid Spousal consent has been obtained in accordance with this paragraph, then,
notwithstanding any other provision of this Plan to the contrary, the Vested portion of
the Participant’s Account balance that is used as a security interest held by the Plan by
reason of a loan that is outstanding to the Participant will be taken into account in
determining the amount of the Vested portion of the Participant’s Account balance payable
at the time of death or distribution, but only if the reduction is used as repayment of
the loan. If less than 100% of the Participant’s Account (determined without regard to
the preceding sentence) is payable to the surviving Spouse, then the death benefit will
be adjusted by first reducing the Vested portion of the Participant’s Account balance by
the amount of the security that is used for the loan.
	 
	 	(c)	 	Maximum Loan. No loan to a Participant or Beneficiary can be made to the
extent such loan, when added to the outstanding balance of all other loans to the
Participant or Beneficiary, would exceed the lesser of (1) $50,000 reduced by the excess
(if any) of the highest outstanding balance of loans during the one-year period ending on
the day before the loan is made, over the outstanding balance of loans from the Plan on
the date the loan is made; or (2) one-half the present value of the Vested Portion of the
Participant’s Vested Aggregate Account. However, notwithstanding the limitation in clause
(2) of the preceding sentence, the written loan policy may permit a Participant whose
Vested Aggregate Account balance is $20,000 or less to borrow an amount that does not
exceed the lesser of $10,000 or 100% of the Participant’s Vested Aggregate Account
balance if adequate security is provided on the loan amount in excess of that determined
under clause (2). For the purpose of the limitations set forth in this paragraph, all
loans from the plans (including this Plan) of the Sponsoring Employer and other
Affiliated Employers are aggregated.
	 
	 	(d)	 	Minimum Loan. The written loan policy may provide for a minimum loan not
to exceed $1,000.
	 
	 	(e)	 	Loan Repayments. Any loan by its terms will require that repayment (of
both principal and interest) be amortized in level payments, not less frequently than
quarterly, over a period not extending beyond five years from the date of the loan,
unless such loan is used to acquire a dwelling unit which within a reasonable time
(determined at the time the loan is made) will be used as the principal residence of the
Participant. In the event of default, then foreclosure on the note and attachment of
security will not occur until a distributable event occurs in the Plan. However,
notwithstanding the foregoing to the contrary, loan repayments will be suspended as
permitted under Code §414(u)(4)).
	 
	 	(f)	 	Assignments and Pledges Treated as Loans. An assignment or pledge of any
portion of the Participant’s interest in the Plan and a loan, pledge, or assignment with
respect to any insurance contract purchased under the Plan, will be treated as a loan
under this Section.

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	 	(g)	 	Restrictions Eliminated. Effective for Plan loans made after December 31,
2001, any prior Plan provisions that prohibited or otherwise restricted loans to any
owner-employee (as defined in Code §401(c)(3)) or shareholder-employee (as defined in
Code §4975(f)(6)(C)) will cease to apply. For this purpose, a shareholder-employee means
an Employee or officer of an electing small business (Subchapter S) corporation who owns
(or is considered as owning within the meaning of Code §318(a)(1)), on any day during the
taxable year of such corporation, more than 5% of the outstanding stock of the
corporation.

	7.2	 	Insurance on Participants. The purchase of Policies is not permitted except to the extent otherwise provided
under Section 7.3 of the Plan with respect to “key man” insurance.
	 
	7.3	 	Key Man Insurance. The Administrator may instruct the Trustee to purchase insurance Policies on the life
of any Participant whose employment is deemed to be key to the Employer’s financial success.
Such key man Policies will be deemed to be an investment of the Trust Fund and will be payable
to the Trust Fund as the beneficiary thereof. The Trustee may exercise any and all rights
granted under such Policies. Neither the Trustee, Employer, Administrator, nor any fiduciary
(including any Named Fiduciary) will be responsible for the validity of any Policy or the
failure of any insurer to make payments thereunder, or for the action of any person which
delays payment or renders a Policy void in whole or in part. No insurer which issues a Policy
will be deemed to be a party to this Plan for any purpose or to be responsible for its
validity; nor will any such insurer be required to look into the terms of the Plan nor to
question any action of the Trustee. The obligations of the insurer will be determined solely
by the Policy’s terms and any other written agreements between it and the Trustee. The insurer
will act only at the written direction of the Trustee, and will be discharged from all
liability with respect to any amount paid to the Trustee. The insurer will not be obligated to
see that any money paid by it to the Trustee or any other person is properly distributed or
applied.
	 
	7.4	 	Directed Investment Accounts. Pursuant to any rules or procedures promulgated under Section 8.6 by the
Administrator, Participants can direct the investment of a portion of (or all of) one or more
of their accounts (hereafter called Directed Investment Accounts) established under the terms
of the Plan. Investment directives will only be given in accordance with an administrative
policy regarding Directed Investment Accounts that is promulgated under Section 8.6 by the
Administrator. With respect to any Participant who fails to exercise the right to direct the
investment of his or her Directed Investment Accounts, such Directed Investment Accounts will
be invested by the Trustee at the direction of the Administrator in a “default investment”
which has been selected by the Administrator and which is expected to produce a favorable rate
of return and that minimizes the overall risk of losing money. With respect to Directed
Investment Accounts, fiduciaries will only be protected by ERISA §404(c) for a Plan Year if
all of the requirements of ERISA §404(c) and the Department of Labor Regulations promulgated
thereunder are complied with on each day of the Plan Year.

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Article 8

Duties of the Administrator

	8.1	 	Appointment, Resignation, Removal and Succession. The Sponsoring Employer will serve as the Administrator unless the Sponsoring Employer
elects to appoint another Administrator. Each Administrator that is appointed will continue
until his death, resignation, or removal, and any Administrator may resign by giving 30 days
written notice to the Sponsoring Employer. If an Administrator dies, resigns, or is removed,
his successor will be appointed as promptly as possible and such appointment will become
effective upon its acceptance in writing by such successor. Pending the appointment and
acceptance of any successor Administrator, any then acting or remaining Administrator will
have full power to act.
	 
	8.2	 	General Powers and Duties. The powers and duties of the Administrator include (a) appointing the Plan’s attorney,
accountant, actuary, or any other party needed to administer the Plan; (b) directing the
Trustees with respect to payments from the Trust Fund; (c) deciding if a Participant is
entitled to a benefit; (d) communicating with Employees regarding their participation and
benefits under the Plan, including the administration of all claims procedures; (e) filing any
returns and reports with the Internal Revenue Service, Department of Labor, or any other
governmental agency; (f) reviewing and approving any financial reports, investment reviews, or
other reports prepared by any party under clause (a) above; (g) establishing a funding policy
and investment objectives consistent with the purposes of the Plan and ERISA; (h) construing
and resolving any question of Plan interpretation; and (i) making any findings of fact the
Administrator deems necessary to proper Plan administration. Notwithstanding any contrary
provision of this Plan, benefits under this Plan will be paid only if the Administrator
decides in its discretion that the applicant is entitled to them. The Administrator’s
interpretation of Plan provisions, and any findings of fact, including eligibility to
participate and eligibility for benefits, are final and will not be subject to “de novo”
review unless shown to be arbitrary and capricious.
	 
	8.3	 	Functioning of the Committee. If a Committee is established, a member of the Committee will serve until his or her
death, disability, removal by the Sponsoring Employer, or resignation. In the event of any
vacancy arising from the death, disability, removal, or resignation of a member of the
Committee, the Sponsoring Employer may, but is not required to, appoint a successor to serve
in his or her place. The Committee will select a chairman and secretary from among its
members. Members of the Committee will serve without compensation. The Committee will act by
majority vote. The proper expenses of the Committee, and the compensation of its agents, if
any, that are appointed pursuant to Section 8.7, will be paid directly by the Employer.
	 
	8.4	 	Multiple Administrators. If more than one Administrator has been appointed by the Sponsoring Employer, the
Administrators may delegate specific responsibilities among themselves, including the
authority to execute documents unless the Sponsoring Employer revokes such delegation. The
Sponsoring Employer and Trustee will be notified in writing of any such delegation of
responsibilities, and the Trustee thereafter may rely upon any documents executed by the
appropriate Administrator.
	 
	8.5	 	Correcting Administrative Errors. The Administrator will take such steps as the Administrator considers necessary and
appropriate to remedy administrative or operational errors, including, but not be limited to,
the following: (a) any action pursuant to (1) any Employee Plans Compliance Resolution System
(EPCRS) that is issued by the Internal Revenue Service, (2) any asset management or fiduciary
conduct error correction program that is issued by the Department of Labor, or (3) any other
correction program issued by any Department or governmental agency; (b) a reallocation of Plan
assets; (c) an adjustment in the amount of future payments to any Participant, Beneficiary or
Alternate Payee; and (d) the institution, prosecution, and/or settlement of legal actions to
recover benefit payments made in error or on the basis of incorrect or incomplete information.
	 
	8.6	 	Promulgating Notices and Procedures. The Sponsoring Employer and Administrator are given the power and responsibility
to promulgate certain written notices, policies and/or procedures under the terms of the Plan
and disseminate them to Participants, and the Administrator may satisfy such responsibility by
the preparation of any such notice, policy and/or procedure in a written form which can be
published and communicated to a Participant in one or more of the following ways: (a) by
distribution in hard copy; (b) through distribution of a summary plan description or summary
of
material modifications thereto which sets forth the policy or procedure with respect to a
right, benefit or feature offered under the Plan; (c) by e-mail, either to a Participant’s
personal e-mail address or his or her Employer-maintained e-mail address; and (d) by
publication on a web-site accessible by the Participant, provided the Participant is notified
of said web-site publication. Any notice, policy and/or procedure provided through an
electronic medium will only be valid if the electronic medium which is used is reasonably

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	 	 	designed to provide the notice, policy and/or procedure in a manner no less understandable to
the Participant than a written document, and under such medium, at the time the notice, policy
and/or procedure is provided, the Employee may request and receive the notice, policy and/or
procedure on a written paper document at no charge.

	8.7	 	Employment of Agents and Counsel. The Administrator may appoint such actuaries, accountants, custodians, counsel, agents,
consultants, service companies and other persons deemed necessary or desirable in connection
with the administration and operation of the Plan. Any person or company so appointed will
exercise no discretionary authority over investments or the disposition of Trust assets, and
their services and duties will be ministerial only and will be to provide the Plan with those
things required by law or by the terms of the Plan without in any way exercising any fiduciary
authority or responsibility under the Plan. The duties of a third party Administrator will be
to safe-keep the individual records for all Participants and to prepare all required actuarial
services and disclosure forms under the supervision of the Administrator and any fiduciaries
of the Plan. It is expressly stated that the third party Administrator’s services are only
ministerial in nature and that under no circumstances will such third party Administrator (a)
exercise any discretionary authority whatsoever over Plan Participants, Plan investments, or
Plan benefits; or (b) be given any authority or discretion concerning the management and
operation of the Plan that would cause them to become fiduciaries of the Plan.
	 
	8.8	 	Compensation and Expenses. The Administrator may receive such compensation as agreed upon between the Sponsoring
Employer and the Administrator, provided that any person who already receives full-time pay
from the Employer may not receive any fees from the Plan for services to the Plan as
Administrator or in any other capacity, except for reimbursement for expenses actually and
properly incurred. The Sponsoring Employer will pay all “settlor” expenses (as described in
Department of Labor Advisory Opinion 2001-01-A) incurred by the Administrator, the Committee
or any party that is appointed under Section 8.7 in the performance of their duties. The
Sponsoring Employer may pay, but is not required to pay, all “non-settlor” expenses incurred
by the Administrator, the Committee, or any party that is appointed under Section 8.7 in the
performance of their duties. Any “non-settlor” expenses incurred by the Administrator, the
Committee or any party that is appointed under Section 8.7 that the Sponsoring Employer elects
not to pay will be reimbursed from Trust Fund assets. Any expenses paid from the Trust Fund
will be charged to each Adopting Employer in the ratio that each Adopting Employer’s
Participants’ Accounts bears to the total of all the Participants’ Accounts maintained by this
Plan, or in any other reasonable method elected by the Administrator.
	 
	8.9	 	Claims Procedures. The claims procedure required under ERISA §503 and Department of Labor Regulations
thereunder is set forth in an administrative policy regarding claims procedures that is
promulgated under Section 8.6 by the Administrator. Such administrative policy will be the
sole and exclusive remedy for an Employee, Participant or Beneficiary (“Claimant”) to make a
claim for benefits under the Plan.
	 
	8.10	 	Qualified Domestic Relations Orders. A Qualified Domestic Relations Order, or QDRO, is a signed domestic relations order
issued by a State or a Commonwealth court which creates, recognizes or assigns to an alternate
payee(s) the right to receive all or part of a Participant’s Plan benefit. An alternate payee
is a Spouse, former Spouse, child, or other dependent of a Participant who is treated as a
Beneficiary under the Plan as a result of the QDRO. The Administrator will determine if a
domestic relations order received by the Plan is a Qualified Domestic Relations Order based on
an administrative policy regarding Qualified Domestic Relations Orders that is promulgated
under Section 8.6 by the Administrator.
	 
	8.11	 	Appointment of Investment Manager. The Administrator, with the consent of the Sponsoring Employer, may appoint an
Investment Manager to manage and control the investment of all or any portion of the assets of
the Trust. Each Investment Manager must be a person (other than the Trustee) who (a) has the
power to manage, acquire, or dispose of Plan assets, (b) is an investment adviser, a bank, or
an insurance company as described in ERISA §3(38)(B), and (c) acknowledges fiduciary
responsibility to the Plan in writing. The Administrator will enter into an agreement with an
Investment Manager that specifies the duties and compensation of the Investment Manager and
specifies any other terms and conditions under which the Investment Manager will be retained.
The Trustee is not liable for any act or omission of an Investment Manager and is not liable
for following an Investment Manager’s advice with respect to duties delegated by the
Administrator to the Investment Manager. The Administrator can determine the portion of the
Plan’s assets to be invested by a designated Investment Manager and can establish investment
objectives and guidelines for the Investment Manager to follow.

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Article 9

Trustee Provisions

	9.1	 	Appointment, Resignation, Removal and Succession. The Trust established under the Plan will have one or more individual Trustees, a
corporate Trustee, or any combination thereof, appointed as follows:

	 	(a)	 	Appointment. Each Trustee will be appointed and will serve until a
successor has been named or until such Trustee’s resignation, death, incapacity, or
removal, in which event the Sponsoring Employer will name a successor Trustee. The term
Trustee will include the original and any successor Trustees.
	 
	 	(b)	 	Resignation. A Trustee may resign at any time by giving written notice to
the Sponsoring Employer, unless such notice is waived by the Sponsoring Employer. The
Sponsoring Employer may remove a Trustee at any time by giving such Trustee written
notice. Such removal may be with or without cause. Unless waived in writing by the
Sponsor, if any Trustee who is an Employee or an elected or appointed official resigns or
terminates employment with the Sponsoring Employer or an Adopting Employer, such
termination will constitute an immediate resignation as a Trustee of the Plan.
	 
	 	(c)	 	Successor Trustee. Each successor Trustee will succeed to the title to the
Trust by accepting the appointment in writing and by filing such written acceptance with
the former Trustee and the Sponsoring Employer. The former Trustee, upon receipt of such
acceptance, will execute all documents and perform all acts necessary to vest the Trust
Fund’s title of record in any successor Trustee. No successor Trustee will be personally
liable for any act or failure to act of any predecessor Trustee.
	 
	 	(d)	 	Merger. If any corporate Trustee, before or after qualification, changes
its name, consolidates or merges with another corporation, or otherwise reorganizes, any
resulting corporation that succeeds to the retirement plan trustee business of such
Trustee will become a Trustee hereunder in lieu of such corporate Trustee.

	9.2	 	Powers and Duties of the Trustee. The specific powers and duties of the Trustee will be governed under the terms of a
separate trust instrument entered between the Sponsoring Employer and the Trustee.

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Article 10

Adopting Employer Provisions

	10.1	 	Plan Contributions. Unless otherwise agreed to by the parties, or unless otherwise required by law, no
Employer will have any obligation to make contributions to this Plan for or on behalf of the
Employees of any other Employer. If an Employee is employed by more than one Employer, any
contributions made on his or her behalf will be prorated between those Employers on the basis
of the Compensation that the Employee received from each Employer. If any Employer is unable
to make a contribution for any Plan Year, any Employer which is an Affiliated Employer of such
Employer may make an additional contribution to the Plan on behalf of any Employee of the
non-contributing Employer.
	 
	10.2	 	Plan Amendments. Any amendment to this Plan that is adopted by the Sponsoring Employer, at any time,
will be deemed to be accepted by any Adopting Employer, unless such Adopting Employer is not
an Affiliated Employer and elects not to adopt a discretionary Plan amendment.
	 
	10.3	 	Plan Expenses. Any expenses paid from the Trust will be charged to each Adopting Employer in the
ratio that each Adopting Employer’s Participants’ Accounts bears to the total of all the
Participants’ Accounts maintained by this Plan, or in any other reasonable method elected by
the Administrator.
	 
	10.4	 	Employee Transfers. An Employee’s transfer to or from an Employer or Adopting Employer will not affect his
or her Participant’s Account balance and total Years of Service and Periods of Service.
	 
	10.5	 	Multiple Employer Provisions Under Code §413(c). Notwithstanding any other provision in the Plan, unless the Plan is a collectively
bargained plan under Regulation §1.413-1(a), the following provisions apply to any Adopting
Employer that is not also an Affiliated Employer:

	 	(a)	 	Instances of Separate Employer Testing. Employees of any such Adopting
Employer will be treated separately for testing under Code §401(a)(4), §401(k), §401(m)
and, if the Sponsoring Employer and the Adopting Employer do not share Employees, Code
§416. Furthermore, the terms of Code §410(b) will be applied separately on an
employer-by-employer basis by the Sponsoring Employer (and the Adopting Employers which
are part of the Affiliated Group which includes the Sponsoring Employer) and each
Adopting Employer that is not an Affiliated Employer of the Sponsoring Employer, taking
into account the generally applicable rules described in Code §401(a)(5), §414(b) and
§414(c).
	 
	 	(b)	 	Instances of Single Employer Testing. Employees of the Adopting Employer
will be treated as part of a single Employer plan for purposes of eligibility to
participate under Article 2 and under the provisions of Code §410(a). Furthermore, the
terms of Code §411 relating to Vesting will be applied as if all Employees of all such
Adopting Employers and the Sponsoring Employer were employed by a single Employer, except
that the rules regarding Breaks in Service will be applied under the Department of Labor
Regulations.
	 
	 	(c)	 	Common Provisions. Contributions made by any Adopting Employer will be
held in a common Trust Fund with contributions made by the Sponsoring Employer, and all
such contributions will be available to pay the benefits of any Participant (or
Beneficiary thereof) who is an Employee of the Sponsoring Employer or any such Adopting
Employer. The failure of the Sponsoring Employer or an Adopting Employer to satisfy the
qualification requirements under the provisions of Code §401(a), as modified by the
provisions of Code §413(c), will result in the disqualification of the Plan for all such
Employers maintaining the Plan.

	10.6	 	Termination of Adoption. An Adopting Employer may terminate its adoption of the Plan by delivering written
notice to the Sponsoring Employer, to the Administrator and to the Trustee. Upon termination
of adoption by an Adopting Employer, the Adopting Employer may request a transfer of Trust
Fund assets attributable to its Employees to a successor qualified retirement plan maintained
by the Adopting Employer or its successor. If such request is not made by the Adopting
Employer, or if the Administrator refuses to make the transfer because in its opinion a
transfer would operate to the detriment of any Participant, would jeopardize the continued
qualification of the Plan, or
would not comply with any requirements of the Code, Regulations, or rules promulgated by the
Department of Treasury or Internal Revenue Service, then termination of adoption by an
Adopting Employer as described herein will not be considered a distributable event;
distribution of a Participant’s Account of an Employee of the Adopting Employer will be made
in accordance with the provisions of Article 5 upon the death, retirement, Disability, or the
Termination of Employment from the Adopting Employer or former Adopting Employer, as if
termination of adoption by the Adopting Employer had not occurred.

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Article 11

Amendment, Termination and Merger

	11.1	 	Plan Amendment. The Plan can be amended at any time in accordance with the following provisions:

	 	(a)	 	Amendment by the Volume Submitter Sponsor. Subject to the requirements and
limitations set forth in subparagraphs (1), (2) and (3) below, and in paragraphs (d) and
(e) below, the Volume Submitter Sponsor can amend any part of the Plan without the
consent of the Sponsoring Employer or any Adopting Employer, nor does the Sponsoring
Employer have to reexecute the Plan. The Volume Submitter Sponsor will provide each
Sponsoring Employer a copy of the amended Plan (either by providing an amendment,
substitute or additional pages, or by providing a restated Plan). For purposes of
amendments made by the Volume Submitter Sponsor, the Sponsoring Employer can override any
such amendment by executing another amendment by the end of the applicable remedial
amendment period that applies to such amendment.

	 	(1)	 	Scope of Amendments. Any such amendments by the Volume Submitter
Sponsor will amend the plan on behalf of all adopting Employers, including those
Employers who have adopted the plan prior to this amendment, for changes in the Code,
regulations, revenue rulings, other statements published by the Internal Revenue
Service, including model, sample or other required good faith amendments, but only if
their adoption will not cause the Plan to be individually designed, and for
corrections of prior approved plans. These amendments will be applied to all
Employers who have adopted the Plan.
	 
	 	(2)	 	Cessation of Amendment Authority. The Volume Submitter Sponsor
will no longer have the authority to amend the Plan on behalf of any adopting
Employer as of either (1) the date the Internal Revenue Service requires the Employer
to file Form 5300 as an individually designed plan as a result of an Employer
amendment to the Plan to incorporate a type of plan not allowable in the Volume
Submitter program, as described in Revenue Procedure 2005-16, or (2) as of the date
the Plan is otherwise considered an individually designed plan due to the nature and
extent of the amendments. If the Employer is required to obtain a determination
letter for any reason in order to maintain reliance on the advisory letter, the
Volume Submitter Sponsor’s authority to amend the Plan on behalf of the adopting
Employer is conditioned on the Plan receiving a favorable determination letter.
	 
	 	(3)	 	Recordkeeping. The Volume Submitter Sponsor will maintain, or have
maintained on its behalf, a record of the Employers that have adopted the Plan, and
will make reasonable and diligent efforts to ensure that adopting Employers have
actually received and are aware of all Plan amendments and that such Employers adopt
new documents when necessary. This amendment supersedes other provisions of the Plan
to the extent those other provisions are inconsistent with this amendment.

	 	(b)	 	Amendment by the Sponsoring Employer. Subject to the requirements and
limitations set forth in paragraphs (c) and (d) below, the Sponsoring Employer will have
the right at any time to amend the Plan in the following manner without affecting the
Plan’s status as a Volume Submitter Plan: (1) the Sponsoring Employer may change any
optional selections under the Plan; (2) the Sponsoring Employer may add additional
language where authorized under the Plan including language necessary to satisfy Code
§415 or Code §416 due to the aggregation of multiple plans; (3) the Sponsoring Employer
may change the addendums to the Plan from time to time without having to reexecute of the
Plan; (4) the Sponsoring Employer may adopt any model, sample and/or “good faith”
amendments promulgated/suggested by the IRS, for which the IRS has provided guidance that
their adoption will not cause the Plan to be treated as an individually designed plan;
(5) the Sponsoring Employer may adopt any amendments that it deems necessary to resolve
qualification failures under any Employee Plans Compliance Resolution System (EPCRS) that
is promulgated by the Internal Revenue Service; and (6) the Sponsoring Employer may adopt
an amendment to cure a coverage or nondiscrimination testing failure, as permitted under
applicable Regulations. The Sponsoring Employer may also amend the Plan at any time for
any other reason. The ability to amend the Plan as authorized under this Section applies
only to the Sponsoring Employer that executes the signature page of the Plan. Any
amendment to the Plan by the Sponsoring Employer under this Section applies to any
Affiliated Employer that participates under the Plan as an Adopting Employer. The
Sponsoring Employer’s amendment of the Plan from one type of defined contribution plan
(e.g., a money purchase plan) into another type of defined contribution plan (e.g., a
profit sharing plan) will not result in a partial termination or any other event that
would require full Vesting of some or all Plan Participants.

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	 	(c)	 	Manner of Amendment. Any amendments by the Volume Submitter Sponsor or
Sponsoring Employer can be made by (1) substituting pages with the new elections (or new
addendum) and executing an “Amendment By Page Substitution” and attaching it as part of
the Plan; (2) executing an “Amendment By Section Replication” in which the section or
sections (or addendum or addendums) to be changed are reproduced with the new elections
indicated, and attaching it as part of the Plan; (3) executing a properly worded
corporate resolution and attaching it as part of the Plan; or (4) creating and
distributing a Safe Harbor Notice (other than a contingent Safe Harbor Notice as
described in Section 3.16(d)) to Safe Harbor Participants.
	 
	 	(d)	 	General Requirements. An amendment by the Volume Submitter Sponsor or the
Sponsoring Employer must be in writing. However, no such amendment or modification (1)
can increase the responsibilities of the Trustee or the Administrator without their
written consent; (2) can deprive any Participant or Beneficiary of the benefits to which
he or she is entitled from the Plan; (3) can result in a decrease in the amount of any
Participant’s Account except as may be permitted under the terms of Code §412(c)(8) if
applicable; or (4) can, except as otherwise provided, permit any part of the Trust Fund
(other than as required to pay taxes and administration expenses) to be used for or
diverted to purposes other than the exclusive benefit of the Participants or their
Beneficiaries, or cause or permit any portion of the Trust Fund to revert to or become
the property of the Employer. In addition, unless the provisions of paragraph (e) below
are satisfied, no amendment to the Plan will have the effect of eliminating or
restricting the ability of a Participant or other payee to receive payment of his or her
Account balance or benefit entitlement from the Plan under a particular optional form of
benefit provided under the Plan.
	 
	 	(e)	 	Elimination of Optional Forms of Benefit. No Plan amendment will be
effective to eliminate or restrict an optional form of benefit. The preceding sentence
will not apply to a Plan amendment that eliminates or restricts the ability of a
Participant to receive payment of the Participant’s Account balance under a particular
optional form of benefit (including annuities and installments) if the amendment provides
a single-sum distribution form that is otherwise identical to the optional form of
benefit being eliminated or restricted. For this purpose, a single-sum distribution form
is otherwise identical only if the single-sum distribution form is identical in all
respects to the eliminated or restricted optional form of benefit (or would be identical
except that it provides greater rights to the Participant) except with respect to the
timing of payments after commencement. With respect to the modification or elimination of
an optional form of benefit under which benefits are distributable to a Participant in a
medium other than cash, the following provisions will apply:

	 	(1)	 	Eliminating Distributions Payable in Marketable Securities (Other Than
Employer Securities). If the Plan includes an optional form of benefit under
which benefits are distributed in the form of Marketable Securities (other than
Securities of the Employer), then that optional form of benefit may be eliminated by
a Plan amendment (or the Plan’s amendment and restatement) by substituting cash for
the Marketable Securities as the medium of distribution.
	 
	 	(2)	 	Amendments to Specify Medium of Distribution. If the Plan includes
an optional form of benefit under which benefits are distributable to a Participant
in a medium other than cash, then the Plan may be amended (or may be amended and
restated) to limit the types of property in which distributions may be made to the
Participant to the types of property specified in the amendment (or the amendment and
restatement). For this purpose, the types of property specified in the amendment (or
the amendment and restatement) must include all types of property (other than
marketable securities that are not securities of the Employer) that are allocated to
the Participant’s Account on the effective date of the amendment (or the amendment
and restatement) and in which the Participant would be able to receive a distribution
immediately before the effective date of the amendment (or the amendment and
restatement) if a distributable event occurred. In addition, a Plan amendment (or the
Plan’s amendment and restatement) may provide that the Participant’s right to receive
a distribution in the form of specified types of property is limited to the property
allocated to the Participant’s Account at the time of distribution that consists of
property of those specified types.
	 
	 	(3)	 	In-Kind Distributions After Plan Termination. If the Plan includes
an optional form of benefit under which benefits are distributed in specified
property, then that optional form of benefit may be modified for distributions after
Plan termination by substituting cash for the specified property as the medium of
distribution to the extent that, on Plan termination, an Employee has the opportunity
to receive the optional form of benefit in the form of the specified property.
However, if the Employer that maintains the terminating Plan also maintains another
plan that provides an optional form of benefit under which benefits are distributed
in the specified property, then this exception is not available.

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	 	(4)	 	Definitions of Marketable Securities and Securities of the
Employer. For purposes of this paragraph, the term “Marketable Securities” means
marketable securities as defined in Code §731(c)(2). The term “Securities of the
Employer” means securities of the Employer as defined in Code §402(e)(4)(E)(ii).

	 	(f)	 	Certain Corrective Amendments. To satisfy the minimum coverage
requirements of Code §410(b), the nondiscriminatory amount requirement of Regulation
§1.401(a)(4)-1(b)(2), or the nondiscriminatory plan amendment requirement of Regulation
§1.401(a)(4)-1(b)(4), a corrective amendment may retroactively increase allocations for
Employees who benefited under the Plan during the Plan Year being corrected, or may grant
allocations to Employees who did not benefit under the Plan during the Plan Year being
corrected. To satisfy the nondiscriminatory current availability requirement of
Regulation §1.401(a)(4)-4(b) for benefits, rights or features, a corrective amendment may
make a benefit, right or feature available to Employees to whom it was previously not
available. A corrective amendment will not be effective prior to the date of adoption
unless it satisfies the applicable requirements of Regulation §1.401(a)(4)-11(g)(3)(ii)
through (vii), including the requirement that, in order to be effective for the preceding
Plan Year, such amendment must be adopted by the 15th day of the 10th month after the
close of the preceding Plan Year.

	11.2	 	Termination By Sponsoring Employer. The Sponsoring Employer at any time can terminate the Plan and Trust in whole or in
part in accordance with the following provisions:

	 	(a)	 	Termination of Plan. The Sponsoring Employer can terminate the Plan and
Trust by filing written notice thereof with the Administrator and Trustee and by
completely discontinuing contributions to the Plan. Upon any such termination, the Trust
Fund will continue to be administered until complete distribution has been made to the
Participants and other payees, which distribution must occur as soon as administratively
feasible after the termination of the Plan, and must be made in accordance with the
provisions of Article 5 of the Plan, including Section 5.6 where applicable. However, the
Administrator may elect not to distribute the Accounts of Participants and other payees
upon termination of the Plan but instead to transfer the entire Trust Fund assets and
liabilities attributable to this terminated Plan to another qualified plan maintained by
the Employer or its successor.
	 
	 	(b)	 	Vesting Requirement Upon Complete Termination or Upon Discontinuance of
Contributions. Upon a complete termination of the Plan or upon a complete
discontinuance of contributions under the Plan, the following Participants will have a
100% Vested Interest in their Participants’ Accounts: (1) Participants who are affected
by such complete termination or, if applicable, such complete discontinuance of
contributions; (2) Participants who have not Terminated Employment with the Employer; and
(3) Participants who have Terminated Employment with the Employer and who (A) have not
incurred five consecutive Breaks in Service and (B) have not received a complete
distribution of their Vested Aggregate Account balance.
	 
	 	(c)	 	Vesting Requirement on Partial Termination. Upon partial termination of
the Plan, only a Participant who has Terminated Employment because of the event which
causes the partial termination but who has not incurred five consecutive Breaks in
Service will have a 100% Vested Interest in his or her unpaid Participant’s Account as of
the date of partial termination.
	 
	 	(d)	 	Discontinuance of Contributions. The Sponsoring Employer may at any time
completely discontinue contributions to the Plan but continue the Plan in operation in
all other respects, in which event the Trust Fund will continue to be administered until
eventual full distribution of all benefits has been made to the Participants and other
payees in accordance with Article 5 after their Termination of Employment for any reason.
Discontinuance of contributions without an additional notice of termination from the
Sponsoring Employer to the Administrator and Trustee will not constitute a termination of
the Plan.

	11.3	 	Merger or Consolidation. This Plan may not be merged or consolidated with, nor may any of its assets or
liabilities be transferred to, any other plan, unless the benefits payable to each Participant
if the Plan was terminated immediately after such action would be equal to or greater than the
benefits to which such Participant would have been entitled if this Plan had been terminated
immediately before such action. For purposes of this Section, the term “Code §410(b)(6)(C)
Transaction” means an asset or stock acquisition, merger, or similar transaction involving a
change in the employer of the employees of a business. If the Employer acquires another
company in a Code §410(b)(6)(C) Transaction, employees of the acquired company may be excluded
from this Plan regardless of the
provisions of Section 2.1 during the period beginning on the date of the transaction and
ending on the last day of the Plan Year that begins after the date of the Code §410(b)(6)(C)
Transaction.

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	11.4	 	Plan-to-Plan Elective Transfers. To permit Participants to consolidate all qualified defined contribution plan accounts
into a single plan for investments, distributions, loans and other administrative purposes,
the Sponsoring Employer may permit Participants to transfer amounts to and from this Plan
under the following rules:

	 	(a)	 	Transfers to This Plan. If permitted by the Sponsoring Employer and
subject to the provisions of this Section, then a Participant may request that such
Participant’s entire account balance (both the vested interest and the non-vested
interest) in another qualified defined contribution plan maintained by the Sponsoring
Employer (or an Adopting Employer) be transferred in cash or in property into this Plan.
Such transferred amount into this Plan will be considered a Transfer Contribution.
	 
	 	(b)	 	Transfers From This Plan. If permitted by the Sponsoring Employer, then a
Participant may request that such Participant’s Account balance (both the Vested Interest
and the Non-Vested Interest) in this Plan be transferred in cash or in property into
another qualified defined contribution plan of the Sponsoring Employer (or an Adopting
Employer).
	 
	 	(c)	 	Limitation on Transfers. A transfer into or from this Plan pursuant to
this Section is only permitted if the Participant is ineligible to actively participate
at the same time in the Sponsoring Employer’s (or an Adopting Employer’s) plan from which
the transfer is being made (the transferor plan) and the Sponsoring Employer’s (or an
Adopting Employer’s) plan into which the transfer is being made (the transferee plan).
	 
	 	(d)	 	Plan Accounts. Transfer Contributions from another qualified defined
contribution plan into this Plan will maintain their identity as Elective Deferrals,
Matching Contributions, Voluntary Employee Contributions, Non-Safe Harbor Non-Elective
Contributions, Qualified Non-Elective Contributions, Qualified Matching Contributions,
Safe Harbor 401(k) Contributions, and Rollover Contributions in this Plan. Such Transfer
Contributions will be accounted for separately in this Plan.
	 
	 	(e)	 	Protected Benefits. Any Transfer Contributions into this Plan that have
benefits, rights and features (including, but not limited to, certain optional forms of
benefit payments, such as annuities) required to be preserved by Code §411(d)(6) will
continue to be preserved and protected in this Plan to the extent required by Code
§411(d)(6). The Sponsoring Employer (or an Adopting Employer) reserves the right to
eliminate any benefits, rights and features (including, but not limited to, certain
optional forms of benefit payments) of any Transfer Contributions into this Plan, to the
extent permitted under Code §411(d)(6).
	 
	 	(f)	 	Vesting. Transfer Contributions into this Plan must Vest at least as
rapidly under this Plan (the transferee plan) as they would Vest under the plan from
which the transfer is being made (the transferor plan), as if the transfer had not
occurred. If this Plan is the transferee plan and the Vesting schedule under the
transferor plan for a specific source of transferred amounts (Matching Contributions or
Non-Safe Harbor Non-Elective Contributions) is less favorable than the Vesting schedule
that applies to the same component (Matching Contributions or Non-Safe Harbor
Non-Elective Contributions) in this Plan, the Administrator may apply, in a
non-discriminatory manner, the Vesting schedule of this Plan’s component (Matching
Contributions or Non-Safe Harbor Non-Elective Contributions) to that portion of the
Transfer Contributions.
	 
	 	(g)	 	Transfer Requests Subject to Administrative Approval. Any transfer into or
from this Plan must be made in cash or property acceptable to the Trustee. Any benefits,
rights and features of a Transfer Contribution required to be protected by Code
§411(d)(6) must be acceptable to and approved by the Administrator.
	 
	 	(h)	 	Application of this Section. The provisions of this Section will apply to
all Transfer Contributions, regardless of whether a Transfer Contribution was an elective
transfer initiated by the Participant.

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Article 12

Miscellaneous Provisions

	12.1	 	No Contract of Employment. Except as otherwise provided by law, neither the establishment of this Plan, any
modification hereto, the creation of any fund or account, nor the payment of any benefits,
will be construed as giving any Participant or other person any legal or equitable rights
against the Employer, any officer or Employee thereof, or the Trustee, except as herein
provided. Further, under no circumstances will the terms of employment of any Participant be
modified or otherwise affected by this Plan.
	 
	12.2	 	Title to Assets. No Participant or Beneficiary will have any right to, or any interest in, any assets of
the Trust upon separation from service with the Employer, Affiliated Employer, or Adopting
Employer, except as otherwise provided by the terms of the Plan.
	 
	12.3	 	Qualified Military Service. Notwithstanding any provision of this Plan to the contrary, contributions, benefits and
service credit with respect to qualified military service will be provided in accordance with
Code §414(u).
	 
	12.4	 	Fiduciaries and Bonding. Fiduciaries (including Named Fiduciaries) of the Plan will have only those powers and
duties specifically given to them under the terms of this Plan. Every fiduciary other than a
bank, an insurance company, or a fiduciary of an Employer which has no common-law employees,
will be bonded in an amount not less than 10% of the amount of funds under the fiduciary’s
supervision, but the bond will not be less than $1,000 or more than $500,000 or such other
amount that may be required by law. The bond will provide protection to the Plan against any
loss for acts of fraud or dishonesty by a fiduciary acting alone or in concert with others.
The cost of such bond will be an expense of either the Employer or the Trust, at the election
of the Sponsoring Employer.
	 
	12.5	 	Severability of Provisions. If any Plan provision is held invalid or unenforceable, such invalidity or
unenforceability will not affect any other provision of this Plan, and this Plan will be
construed and enforced as if such provision had not been included.
	 
	12.6	 	Interpretation of the Plan and Trust. The following provisions apply to the interpretation of the Plan and Trust:

	 	(a)	 	Names. Names that are used in this Plan should be used consistently in any
appendixes, policies, procedures, and/or any other documents which are legally binding
upon the Plan. However, in documents that are not considered to be part of this Plan,
appendixes, policies or procedures that are not legally binding upon the Plan; and that
may be are distributed to individuals (such as the SPDs, SMMs, notices, and election
forms), names may use plain English terms. These terms include, but are not limited to,
the following: in the case of a profit sharing plan, the Non-Elective Contribution may be
called the Employer contribution or the profit sharing contribution. Similarly, the
Non-Elective Contribution Account may be called the Participant’s Account or the
Participant’s profit sharing account.
	 
	 	(b)	 	Gender. Words that are used in the masculine gender may be construed as
though they are also used in the feminine or neuter gender, where applicable (and vice
versa).
	 
	 	(c)	 	Number. Words that are used in the singular form may be construed as
though they are also used in the plural form, where applicable (and vice versa).
	 
	 	(d)	 	Headings and Subheadings. Headings and subheadings are inserted for
convenience of reference. Headings and subheadings constitute no part of this Plan and
are not to be considered in its construction or interpretation.
	 
	 	(e)	 	Single Subparagraphs. This Plan may have Sections and/or paragraphs that
contain a single subparagraph; such document construction will not constitute a
Scrivener’s error.
	 
	 	(f)	 	Application of Law. This Plan will be construed and interpreted in
accordance with the Code and ERISA. However, if the Plan and/or Trust needs to be
construed and interpreted according to a State’s or Commonwealth’s laws (to the extent
that such laws are not preempted by the provisions of the Code and ERISA), then this Plan
and/or Trust will be construed and interpreted according to the laws of the State or
Commonwealth in which the Sponsoring Employer maintains its principal place of business.

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	 	(g)	 	Effective Dates. This Plan contains various effective dates, which
include, but are not limited to: (1) the effective date of the Plan and, if applicable,
the effective date of the amended and restated Plan; and (2) the effective dates of
legally required or permitted provisions.

	12.7	 	Costs of Legal Action. Unless otherwise prohibited by law, either the Sponsoring Employer or the Trust, in the
sole discretion of the Sponsoring Employer, will reimburse the Trustee and/or the
Administrator for all costs, attorneys fees and other expenses associated with any claim, suit
or proceeding.
	 
	12.8	 	Qualified Plan Status. This Plan and Trust are intended to be a qualified retirement plan under the provisions
of Code §401(a) and §501(a).
	 
	12.9	 	Mailing of Notices to Administrator, Employer or Trustee. Notices, documents or forms required to be given to or filed with the Administrator,
the Employer or the Committee will be either hand delivered or mailed by first class mail,
postage prepaid, to the Committee or the Employer, at the Employer’s principal place of
business. Any notices, documents or forms required to be given to or filed with the Trustee
will be either be hand delivered or mailed by first class mail, postage prepaid, to the
Trustee at its principal place of business.
	 
	12.10	 	Participant Notices and Waivers of Notices. Whenever written notice is required to be given under the terms of this Plan, such
notice will be deemed to be given on the date that such written notice is either hand
delivered to the recipient or deposited at a United States Postal Service Station, first class
mail, postage paid. Notice may be waived by any party entitled to receive written notice
concerning any matter under the terms of this Plan.
	 
	12.11	 	No Duplication of Benefits. There will be no duplication of benefits under the Plan because of employment by more
than one participating Employer.
	 
	12.12	 	Evidence Furnished Conclusive. Anyone required to give evidence under the terms of the Plan may do so by certificate,
affidavit, document or other information that the person to act in reliance may consider
pertinent, reliable and genuine, and to have been signed, made or presented by the proper
party or parties. The fiduciaries of the Plan will be fully protected in acting and relying
upon any evidence described under this Section.
	 
	12.13	 	Release of Claims. Any payment to a Participant or Beneficiary, his or her legal representative, or to a
guardian or committee appointed for such Participant or Beneficiary, will, to the extent
thereof, be in full satisfaction of all claims hereunder against the Administrator and the
Trustee, either of whom may require such Participant, legal representative, Beneficiary,
guardian or committee, as a condition precedent to such payment, to execute a receipt and
release thereof in such form as determined by the Administrator or the Trustee.
	 
	12.14	 	Discontinued Contributions. Any Participants’ Accounts (or sub-Accounts) that were established for specific
contributions to the Plan which are (or were) subsequently discontinued will continue to be
administered in accordance with the Vesting and Forfeiture provisions of the Plan in effect on
the date that such contributions are (or were) discontinued.
	 
	12.15	 	Multiple Copies of Plan And/or Trust. This Plan may be executed in any number of counterparts, each of which will be deemed
an original, but all of which will constitute one and the same Agreement and will be binding
on the respective successors and assigns of the Employer and all other parties.
	 
	12.16	 	Limitation of Liability and Indemnification. In addition to and in furtherance of any other limitations provided in the Plan, and to
the extent permitted by applicable law, the Employer will indemnify and hold harmless its
board of directors (collectively and individually), if any, the Administrative/Advisory
Committee (collectively and individually), if any, and its officers, Employees, and agents
against and with respect to any and all expenses, losses, liabilities, costs, and claims,
including legal fees to defend against such liabilities and claims, arising out of their
good-faith discharge of responsibilities under or incident to the Plan, excepting only
expenses and liabilities resulting from willful misconduct. This indemnity will not preclude
such further indemnities as may be available under insurance purchased by the Employer or as
may be provided by the Employer under any by-law, agreement, vote of shareholders or
disinterested directors, or otherwise, as such indemnities are permitted under state law.
Payments with respect to any indemnity and payment of expenses or fees under this Section will
be made only from assets of the Employer, and will not be made directly or indirectly from
assets of the Trust.

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	12.17	 	Written Elections and Forms. Whenever the word “written” or the words “in writing” are used, such words will include
any method of communication permitted by the DOL with respect to such documentation. In a
similar manner, the word “form” will include any other method of election permitted under
current law. Such alternative methods will include, but not be limited to, electronic modes to
the extent permitted by law.
	 
	12.18	 	Assignment and Alienation of Benefits. Except as may otherwise be permitted under Code §401(a)(13)(C), as may otherwise be
permitted under a Qualified Domestic Relations Order as provided in Section 8.10, or as may
otherwise be permitted under Section 7.1 relating to loans to Participants, no right or claim
to, or interest in, any part of the Trust Fund, or any payment therefrom, will be assignable,
transferable, or subject to sale, mortgage, pledge, hypothecation, commutation, anticipation,
garnishment, attachment, execution, or levy of any kind, and the Trustees will not recognize
any attempt to assign, transfer, sell, mortgage, pledge, hypothecate, commute, or anticipate
the same, except to the extent required by law.
	 
	12.19	 	Exclusive Benefit Rule. All contributions made by the Employer or an Affiliated Employer to the Trust Fund will
be used for the exclusive benefit of the Participants who are Employees of the Employer or
Affiliated Employer and for their Beneficiaries and will not be used for nor diverted to any
other purpose except the payment of the costs of maintaining the Plan. All contributions made
by an Adopting Employer who is not an Affiliated Employer will be used for the exclusive
benefit of the Participants who are Employees of the Adopting Employer and for their
Beneficiaries and will not be used for nor diverted to any other purpose except the payment of
the Adopting Employers’ proportionate costs of maintaining the Plan.
	 
	12.20	 	Prior Provisions of Amended and Restated Plans. If the Plan’s effective date is prior to the first day of the first Plan Year beginning
on or after January 1, 2002 and this is an amendment and restatement of the Plan, then the
provisions of the prior Plan document in effect prior to the first day of the first Plan Year
beginning on or after January 1, 2002 will apply to this Plan; however, if any provisions of
the prior Plan document contradict any provisions of this Plan, then the provisions of this
Plan will apply.
	 
	12.21	 	Dual and Multiple Trusts. Plan assets may be held in two or more separate trusts, or in trust and by an insurance
company or by a trust and under a custodial agreement. Plan assets may also be held in a
common trust.
	 
	12.22	 	Loss of Volume Submitter Status. Notwithstanding any provision in this Plan to the contrary, if this Plan is provided to
the Sponsoring Employer by a third party (e.g., a law firm, an actuarial firm, an insurance
company, an accounting firm, a third party administration firm, etc.) rather than by the
Volume Submitter Sponsor directly, and (a) such third party subsequently terminates its
business relationship with the Volume Submitter Sponsor for any reason, (b) the Volume
Submitter Sponsor subsequently terminates its business relationship with such third party for
any reason, or (c) the Sponsoring Employer subsequently terminates its business relationship
with such third party, then this Plan will no longer be considered a pre-approved volume
submitter plan, but rather will be considered an individually designed plan, and the Volume
Submitter Sponsor will have no further responsibilities or obligations with respect to the
Plan or the Sponsoring Employer.

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This Plan has been executed by the Sponsoring Employer as of the day, month and year set
forth on page 1 of this Agreement.

	 	 	 	 	 
	 	The Men’s Wearhouse, Inc.

 	 
	 	By  	/s/ KIRK WARREN
 	 
	 
	 	Date JUNE 30, 2011 	 
	 	 	 	 
	 

-98-

 

Post-EGTRRA “Good Faith” Amendment for Defined Contribution Plans

Election Form

Plan Name The Men’s Wearhouse, Inc. 401(k) Savings Plan

All references to the “Amendment” are to the Post-EGTRRA “Good Faith” Amendment for Defined
Contribution Plans attached to this Election Form. Adoption of the Amendment is accomplished by the
execution of this Election Form. This Election Form supersedes any other election form executed
prior to the date of this Election Form to the extent such prior election form (or any election
made therein) conflicts with the provisions of this Election Form.

Section 1. Post-EGTRRA Elections Initially Effective in 2006 or Earlier 

	 	1.1	o 	 Revised Definition of Financial Hardship. Section 1.5 of
the Amendment regarding hardship distributions to a
Participant’s Primary Beneficiary is adopted effective _____________
	 
	 	1.2	o 	 Distributions to a Qualified Reservist. Section 1.6 of the
Amendment regarding distributions to a Qualified
Reservist is adopted effective ______________
	 
	 	1.3	o 	 Hurricane Provisions. Section 1.7 of the Amendment
regarding distributions made from the Plan on account of Hurricanes Katrina, Rita, or Wilma is
adopted, subject to the following elections: (check any that apply)

	 	 	o 	The special financial hardship distribution provision in Section 1.7(c) of the Amendment applies
	 
	 	 	o 	The Participant loan provision in Section 1.7(d) of the Amendment applies
	 
	 	 	o 	The re-contribution of Qualified Hurricane Distributions provision in Section 1.7(e) of the Amendment applies
	 
	 	 	o 	The re-contribution of Qualified Distributions provision in Section 1.7(f) of the Amendment applies

	 	1.4	o 	 Revocation of Prior Amendment On Account Of Heinz. Section 1.8 of the Amendment regarding the revocation
of an Original Amendment on account of the Heinz decision is adopted effective __________________. The
Original Amendment is hereby revoked retroactively with respect to: (check one)

	 	 	o 	All accrued benefits, which are allocations that were accrued as of the Applicable Amendment
Date and allocations that were accrued after the Applicable Amendment Date.
	 
	 	 	o 	Only accrued benefits as of the Applicable Amendment Date, which are allocations that were accrued
as of the Applicable Amendment Date. Allocations accrued after the Applicable Amendment Date will
continue to be subject to the restrictions on the form or timing of distributions as set forth in
the Original Amendment.

	 	1.5	o 	 Exclusion of 403(b) Participants. Section 1.9 of the
Amendment regarding the exclusion from the Plan of certain Employees who participate in a
403(b) plan sponsored by the tax-exempt Employer is adopted.

Section 2. Post-EGTRRA Elections Initially Effective in 2007 

	 	2.1	o 	 Direct Rollovers and the $500 Threshold. Pursuant to
Section 2.2 of the Amendment, if a Distributee elects to have only a portion of an Eligible
Rollover Distribution paid to an Eligible Retirement Plan in a Direct Rollover, then that
portion must equal or exceed $500.

	 	2.2	 	Code §415 Limitations under the Final §415 Regulations.

	 	(a)	 	Code §415(c)(3) Compensation for Top Heavy Allocation Purposes and Key Employee
Determinations.
	 
	 	 	 	Pursuant to Section 2.5(c)(2) of the Amendment, an Employee’s Code §415(c)(3)
Compensation which is used to determine any Top Heavy Minimum Allocations and whether an
Employee is also a Key Employee is: (check one)

	 	 	o 	Form W-2 Compensation
	 
	 	 	þ 	Code §3401 Compensation
	 
	 	 	o 	Safe Harbor Code §415 Compensation
	 
	 	 	o 	Statutory Code §415 Compensation

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 1 of 6

 

 

	 	(b)	 	Code §415(c)(3) Compensation for Code §415 Limitation Determinations.
Pursuant to Section 2.5(c)(2) of the Amendment, an Employee’s Code §415(c)(3)
Compensation used to determine the Employee’s Annual Addition limitation under Article 6 of
the Basic Plan is based on the selection below.

	 	 	o 	Form W-2 Compensation
	 
	 	 	þ 	Code §3401 Compensation
	 
	 	 	o 	Safe Harbor Code §415 Compensation
	 
	 	 	o 	Statutory Code §415 Compensation

	 	(c)	 	Code §415(c)(3) Compensation for Highly Compensated Employee Determinations and Other
Statutory Purposes. Pursuant to Section 2.5(c)(2) of the Amendment, an Employee’s Code
§415(c)(3) Compensation used to determine whether the Employee is also a Highly Compensated
Employee, and for other statutory purposes that do not appear elsewhere in this Adoption
Agreement, is based on the selection below.

	 	 	o 	Form W-2 Compensation
	 
	 	 	þ 	Code §3401 Compensation
	 
	 	 	o 	Safe Harbor
Code §415 Compensation
	 
	 	 	o 	Statutory
Code §415 Compensation

	 	(d)	o  	Compensation Earned in Limitation Year but Paid in Next Limitation
Year. Section 2.5(c)(2)(E) of the Amendment defines Code §415(c)(3) Compensation for a
Limitation Year to include any amounts earned during that Limitation Year but not paid until
the next Limitation Year.
	 
	 	(e)	Post-Severance Compensation. For all Plan purposes, Section 2.5(c)(6) of the
Amendment defines Post-Severance Compensation as including regular pay after Termination of
Employment during the timeframe permitted by the Regulations, plus any/all of the items
selected below: (check all that apply)

	 	 	o 	Leave cash-outs and deferred compensation under Section 2.5(c)(6)(B) of
the Amendment
	 
	 	 	o 	Imputed compensation when the Participant becomes disabled under
Section 2.5(c)(6)(C) of the Amendment
	 
	 	 	o 	Continuation of compensation while in qualified military service under
Section 2.5(c)(6)(D) of the Amendment

	 	2.2	o 	 Vesting of Non-Safe Harbor Non-Elective Contributions.
Pursuant to Section 2.6 of the Amendment and PPA §904, the Vesting Schedule that applies
to Non-Safe Harbor Non-Elective Contribution Accounts is effective as of the first day of the
first Plan Year beginning after December 31, 2006, subject to the following elections:

	 	(a)	 	Participants to Whom the Post-2006 Vesting Schedule Relates. Under Section
2.6(a) of the Amendment, the Post-2006 Vesting Schedule applies to the Non-Safe Harbor
Non-Elective Contribution Account of:

	 	 	o 	 Any Participant who completes an Hour of Service in any Plan Year
beginning after December 31, 2006.
	 
	 	 	o 	 Any Participant (regardless of whether he or she has Terminated
Employment) who has a Non-Safe Harbor Non-Elective Contribution Account balance in any Plan
Year beginning after December 31, 2006 and whose Non-Safe Harbor Non-Elective Contribution
Account has not become subject to the Forfeiture provisions of the Plan prior to the first
day of the first Plan Year beginning after December 31, 2006.

	 	(b)	 	Account Balances to Which the Post-2006 Vesting Schedule Relates. Under
Section 2.6(b) of the Amendment, the Post-2006 Vesting Schedule applies to:

	 	 	o 	 The entire Non-Safe Harbor Non-Elective Contribution Account.
	 
	 	 	o 	 The portion of the Non-Safe Harbor Non-Elective Contribution
Account to which is allocated Non-Safe Harbor Non-Elective Contributions, Forfeitures,
and earnings for Plan Years beginning after December 31, 2006 (and subsequent earnings
attributable to such allocations). The portion of the Non-Safe Harbor NonElective
Contribution Account to which was allocated Non-Safe Harbor Non-Elective
Contributions, Forfeitures, and earnings for Plan Years beginning prior to January 1,
2007 (and subsequent earnings attributable to such allocations) will remain subject to
the Pre-2007 Vesting Schedule, without regard to this Section or the Vesting schedule
enumerated in the current Plan document that applies to Non-Safe Harbor Non-Elective
Contribution Accounts.

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 2 of 6

 

 

	 	(c)	 	Pre-2007 Vesting Schedule. Under Section 2.6(0(3) of the Amendment, the
Pre-2007 Vesting Schedule was:

	 	 	o 	7 Year Graded
	 
	 	 	o 	5 Year Cliff
	 
	 	 	o 	 The schedule set forth below

	 	 	 

	          1 Year / Period of Service

	 	                     %
	          2 Years / Periods of Service

	 	                     %
	          3 Years / Periods of Service

	 	                     % (must be at least 20% unless 100% Vesting occurs at 5 years)
	          4 Years / Periods of Service

	 	                     % (must be at least 40% unless 100% Vesting occurs at 5 years)
	          5 Years / Periods of Service

	 	                     % (must be at least 60%)
	          6 Years / Periods of Service

	 	                     % (must be at least 80%)
	          7 Years / Periods of Service

	 	                     % (must be 100%)

	 	2.3	o 	 Money Purchase or Target Benefit Plan In-Service Distributions.
Section 2.10 of the Amendment regarding in-service distributions from a money purchase
or target benefit plan is adopted effective. A Participant who has reached Age (cannot be
earlier than Age 62) and who has not yet Terminated Employment may elect to receive a
distribution of his or her Vested Account Balance.
	 
	 	2.4	þ 	 Qualified Default Investment Alternative. Section 2.11 of
the Amendment (as amended by Section 4.3 of the
Amendment) regarding a Qualified Default Investment Arrangement is adopted effective
Dec 24, 2007. 
	 
	 	2.5	o 	 Modification of Normal Retirement Age. Section 2.12 of the
Amendment regarding the definition of Normal
Retirement Age is adopted effective                     ,subject to the following provisions:

	 	(a)	 	Normal Retirement Age Amended in Plan or this Amendment. Under
Section 2.12(a) of the Amendment, the definition of Normal Retirement Age is amended
as of the effective date above to be:

	 	 	o  	The definition selected in the Adoption Agreement.
	 
	 	 	o  	Age __ (max. 65)

	 	 	o  	Or the ________ (maximum. 5th) anniversary of becoming a Participant in the Plan, if later.
	 
	 	 	o  	Or the date the Participant is credited with at least _______ Years of Service/Periods of Service, if later,
but in no event later than the later of Age 65 or the 5th anniversary of becoming a Participant.
	 
	 	 	o  	Or __________, but in no event later than the later of Age 65
or the 5th anniversary of becoming a Participant in the Plan.

	 	(b)	o  	Plan Provisions for Code §411(a)(10) and/or Code §411(d)(6)
Compliance. Under Section 2.12(c) of the
Amendment, the Plan is amended by the following additional provisions: __________________

Section 3. Post-EGTRRA Elections Initially Effective in 2008

	 	3.1	o 	 Qualified Automatic Contribution Arrangement. Section 3.4 of the Amendment regarding a Qualified Automatic Contribution Arrangement is adopted effective _____________, subject to the following:

	 	(a)	 	QACA Contribution Requirement. Pursuant to Section 3.4(a) of the
Amendment, the Employer will make the following QACA Contribution to the following
Participants: (check one)

	 	 	o  	QACA Non-Elective Contribution. The Employer will make a
QACA Non-Elective Contribution equal to 3% (or such higher percentage as may be
elected by the Employer by resolution) of Compensation for the Plan Year. Such QACA
Non-Elective Contribution will be made on behalf of: (check one)

	 	 	o  	Any Participant in the Elective Deferral component of the Plan who is a NHCE, regardless of
whether he or she makes Elective Deferrals or Voluntary Employee Contributions.
	 
	 	 	o  	Any Participant in the Elective Deferral component of the Plan, regardless of whether such
Participant makes Elective Deferrals or Voluntary Employee Contributions.

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 3 of 6

 

 

	 	 	o  	The following Participants ________________________________________________________

(Any Participant in the Elective Deferral component of the Plan who is a NHCE must be
included regardless of whether he or she makes Elective Deferrals or Voluntary Employee
Contributions)

	 	 	o  	QACA “Basic” Matching Contributions. The Employer will make a QACA
Matching Contribution equal to the sum of (1) 100% of the Participant’s Elective Deferrals
that do not exceed 1% of Compensation for the Allocation Period, plus (2) 50% of the
Participant’s Elective Deferrals that exceed 1% of Compensation for the Allocation Period
but do not exceed 6% percent of Compensation for the Allocation Period. Such QACA Matching
Contribution will be made on behalf of: (check one)

	 	 	o  	Any Participant in the Elective Deferral component of the Plan who is a NHCE and on whose
behalf Elective Deferrals are made to the Plan.
	 
	 	 	o  	Any Participant in the Elective Deferral component of the Plan and on whose behalf Elective
Deferrals are made to the Plan.
	 
	 	 	o  	The following Participants _______________________________________________________

(Any Participant in the Elective Deferral component of the Plan who is a NHCE must be included
regardless of whether he or she makes Elective Deferrals or Voluntary Employee Contributions)

	 	 	o  	QACA “Enhanced” Matching Contributions. The Employer will make a
QACA Matching Contribution equal to (1) 100% of the Participant’s Elective Deferrals that do
not exceed __ % (must be at least 1% but not greater than 6%) of Compensation for the
Allocation Period; plus, if applicable, (2) __ % of Elective Deferrals that exceed __ % (must
be at least 1% but not greater than 6%) of Compensation but do not exceed __ % (must be
greater than 1% but not greater than 6%) of Compensation for the Allocation Period; plus, if
applicable, (3) __ % of Elective Deferrals that exceed __ % (must be greater than 1% but not
greater than 6%) of Compensation but do not exceed __ % (must be greater than 1% but not
greater than 6%) of Compensation for the Allocation Period.
	 
	 	 	 	Note: If applicable, the first blank in (2) and the first blank in (3)
must be completed so that, at any rate of elective deferrals, the QACA “Enhanced” Matching
Contribution is at least equal to the Matching Contribution receivable if the Employer was
making the QACA “Basic” Matching Contributions, but the rate of Matching Contributions cannot
increase as Elective Deferrals increase.
	 
	 	 	 	Such QACA Matching Contribution will be made on behalf of:

	 	 	o  	Any Participant in the Elective Deferral component of the Plan who is a NHCE and on whose
behalf Elective Deferrals are made to the Plan.
	 
	 	 	o  	Any Participant in the Elective Deferral component of the Plan and on whose behalf Elective
Deferrals are made to the Plan.
	 
	 	 	o  	The following Participants ___________________________________________________
	 
	 	 	  	(Any Participant in the Elective Deferral component of the Plan who is a NHCE must be included
regardless of whether he or she makes Elective Deferrals or Voluntary Employee Contributions)

	 	(b)	 	Plan to Which QACA Contribution Will Be Made. Pursuant to Section 3.4(a)(2) of
the Amendment, the QACA Contribution will be made to: (check one)

	 	 	o  	This Plan
	 
	 	 	o  	The following plan, so long as that other plan meets the requirements of Code §401(k)(12)(F) and the
Regulations thereunder ____________________________________________________________

	 	(c)	 	Compensation for QACA Contribution Purposes. Pursuant to Section 3.4(a)(5) of
the Amendment, a Participant’s Compensation for QACA Contribution purposes is determined by
the provisions selected below:

	 	(1)	 	Compensation is defined as: (check one)

	 	 	o 	 Form W -2 Compensation
	 
	 	 	o 	  Code §3401 Compensation
	 
	 	 	o 	  Safe Harbor Code §415 Compensation

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 4 of 6

 

 

	 	(2)	 	Elective contributions under Code §125, §132(f)(4), §401(k), §402(h), §403(b), §457(b)
and §414(h)(2) will: (check one)

	 	 	o 	  Be included as Compensation
	 
	 	 	o 	  Not be included as Compensation

	 	(3)	 	The Compensation measuring period is the: (check one)

	 	 	o 	  Plan Year
	 
	 	 	o 	  Fiscal Year ending on or
within the Plan Year
	 
	 	 	o 	  Calendar year ending on or
within the Plan Year

	 	(4)	o 	 The following categories will not be counted as Compensation:
(check all that apply)

	 	 	o  	A) Compensation received prior
to becoming a Participant
	 
	 	 	o  	B) Compensation received
while an ineligible Employee
	 
	 	 	o  	C) All items in Regulation §1.414(s)-I(c)(3) (i.e.,
expense allowances,jringe benefit, etc.)
	 
	 	 	o  	D) Post-Severance Compensation 1
	 
	 	 	o  	E) Deemed 125 Compensation 1
	 
	 	 	o  	F) Bonuses 1
	 
	 	 	o  	G) Overtime 1
	 
	 	 	o  	H) Commissions 1
	 
	 	 	o  	I) Other (describe) 1                                   

 

			
	1	 	If checked, the Plan’s definition of compensation may fail to satisfy the safe harbor
requirements unless such compensation is excluded only with respect to HCEs under
paragraph (5) below.

	 	(5)	o 	The amounts excluded under (4)(D) — (I) are only excluded with
respect to: (check all that apply)

	 	 	o  	Highly Compensated Employees
	 
	 	 	o  	Other (cannot be a class that only includes NHCEs)

	 	(d)	 	Vesting of QACA Contribution Account. Pursuant to Section 3.4(b) of the
Amendment, a Participant’s Vested Interest in his or her QACA Contribution Account will be
determined by the provisions selected below:

	 	(1)	The Vesting schedule for the QACA Contribution Account is: (check one)

	 	 	o 	  100% full and immediate
	 
	 	 	o 	   2-year cliff Vesting (1
year/0%; 2 years/100%)
	 
	 	 	o 	  The
Vesting schedule set forth below:

	 	 	 	 	 

	1 Year/Period of Service
	 	 	________ 	%
	2 Years/Periods of Service
	 	 	100	%

	 	(2)	o 	 Service Excluded for Vesting. All Service with the Employer is
counted in determining a Participant’s Vested Interest in the QACA Contribution Account except the
following: (check all that apply)

	 	 	o  	Service before age 18
	 
	 	 	o  	Service before the Employer maintained this Plan or a predecessor plan

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 5 of 6

 

 

	 	(e)	 	Usage of Forfeitures of QACA Contribution Account. If the Vesting schedule
selected in Section 3.1(d) above is other than 100% full and immediate, then pursuant to
Section 3A(c) of the Amendment, Forfeitures that are not used for the purposes
described in Section 3 A( c) of the Amendment will be: (check one)

	 		o 	  Used to reduce any, or any combination of, Employer contributions, as determined by the Administrator
	 
	 		o 	 Added to any, or any combination of, Employer contributions, as determined by the Administrator

	 	3.2	o 	 Eligible Automatic Contribution Arrangement. Section 3.5 of the Amendment regarding an Eligible Automatic
Contribution Arrangement is adopted effective _________________
	 
	 	3.3	o 	 Participant’s Election for Permissible Withdrawal. Section 3.6 of the Amendment regarding a Participant’s
election for a Permissible Withdrawal is adopted effective __________________. (The date cannot be earlier
than the effective date of either Section 3.1 or Section 3.2 above)

Signature of the Sponsoring Employer

	 	 	 	 	 	 	 

	By

	 	/s/ KIRK WARREN
	 	Title: VP Benefits & Administration
	 	 
	 

	 	 

	 	 	 	 
	 	 	Print Name Kirk Warren	 	Date June 30, 2011	 	 

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment Election Form
	 	Page 6 of 6

 

 

HEART Amendment

For Compliance With the HEART Act of 2008 and Notice 2010-15

Plan Name The Men’s Wearhouse, Inc. 401(k) Savings Plan

This HEART Amendment (the “Amendment”) is intended as good faith compliance with the HEART
Act of 2008 and with guidance related thereto issued by the Internal Revenue Service in Notice
2010-15. This Amendment supersedes any conflicting provisions of the Plan set forth above, any
administrative policy promulgated by the Plan, and/or any previously-adopted “good faith” amendment
of the same subject matter, as applicable. This is a “good faith” amendment, is not part of the
pre-approved Plan to which it is attached, and while it has not been reviewed by the Internal
Revenue Service, its adoption does not, pursuant to Revenue Procedure 2007-44, affect the status of
reliance upon the pre-approved provisions of the Plan.

Section 1. Definitions

	1.1	 	Deemed Deferrals. The term Deemed Deferrals means, to the extent the Employer elects to make contributions
to the Plan, the amount of Post-Tax or Pre-Tax Employee Contributions a Participant is deemed
to have made during his or her period of Qualified Military Service. Deemed Deferrals will be
equal to the lesser of (a) the average actual Post-Tax or Pre-Tax Employee Contributions he
or she made to the Plan during the 12-month period immediately preceding his or her Qualified
Military Service; or (b) if the Participant had less than 12 months of service with the
Employer before commencing Qualified Military Service, the average Post-Tax or Pre-Tax
Employee Contributions the Participant made during his or her actual length of continuous
service with the Employer.
	 
	1.2	 	Differential Wage Payment. The term Differential Wage Payments means any
payment as defined in Code
§3401(h) which is made by the Employer for a remuneration period after December 31, 2008
which (a) is made to an individual with respect to any period during which an individual is
performing service in the uniformed services (as defined in chapter 43 of title 38, United
States Code) while on active duty for a period of more than 30 days; and (b) represents all
or a portion of the remuneration such individual would have received from the Employer if the
individual was performing services for the Employer.
	 
	1.3	 	Post-Tax or Pre-Tax Employee Contributions. The term Post-Tax or Pre-Tax
Employee Contributions
means any Elective Deferrals and/or Employee Voluntary Contributions permitted under the
terms of the Plan which a Participant performing Qualified Military Service would be entitled
to make if the Participant was performing services for the Employer.
	 
	1.4	 	Qualified Military Service. The term Qualified Military Service means any
service in the uniformed services
(as defined in chapter 43 of title 38, United States Code) by any individual if such
individual is entitled to USERRA Reemployment Rights under such chapter with respect to such
service.
	 
	1.5	 	Qualified Reservist. The term Qualified Reservist means an individual who is a
member of a reserve
component (as defined in §101 of title 37, United States Code) and who is ordered or called
to active duty after September 11, 2001 either for a period in excess of 179 days or for an
indefinite period.
	 
	1.6	 	Qualified Reservist Distribution. The term Qualified Reservist Distribution
means a distribution of Elective
Deferrals made from a 401(k) plan to a Qualified Reservist made during the period beginning
on the date of the call-up order and ending at the close of the active duty period.
	 
	1.7	 	USERRA Reemployment Rights. The term USERRA Reemployment Rights means the
rights and benefits to
which an individual covered under USERRA is entitled upon his or her return from Qualified
Military Service. An individual will not be entitled to USERRA Reemployment Rights if (a)
such individual did not provide advance notice of his or her military service to the
Employer; or (b) such individual had more than five years of cumulative Qualified Military
Service measured from his or her date of hire to his or her date of return to employment with
the Employer.

			
	 	 	 
	HEART Act Amendment
	 	Page 1 of 4

 

 

Section 2. Death Benefits

	2.1	 	Deemed Reemployment Date. A Participant who dies on or after January 1, 2007 while performing
Qualified Military Service will be deemed (a) to have resumed employment with the Employer as
of the day preceding the date of his or her death (the “Deemed Reemployment Date” for purposes
of this Section); and (b) to have Terminated Employment on the date of his or her death.
	 
	2.2	 	Additional Benefits. To the extent the Plan provides for (a) accelerated
vesting upon a Participant’s death, (b)
ancillary life insurance benefits, and (c) any other benefits that are contingent upon the
Participant’s death, then an individual described in Section 2.1 will be provided with such
benefits. Such benefits must be provided to all such similarly-situated individuals in a
uniform, non-discriminatory manner.
	 
	2.3	 	Employer Contributions. An individual described in Section 2.1 will not receive any additional contributions
under the terms of the Plan unless this box o is checked, in which event any such additional contributions
will be provided effective                                          (must be on or after January 1, 2007) on a reasonably
equivalent basis to all such similarly situated individuals in accordance with the following
provisions:

	 	(a)	 	If the Plan is a money purchase plan or a profit sharing plan without a 401(k)
feature, then the Employer will make a contribution on behalf of such individual which is
equal to the contribution that would have otherwise been made under the terms of the Plan
on such individual’s behalf had he or she actually been reemployed by the Employer on the
date of such individual’s death, based on the Compensation such individual would have
received from the Employer during his or her period of Qualified Military Service.
	 
	 	(b)	 	If the Plan is a profit sharing plan with a 401(k) feature, then (1) the Employer
will make a Non-Elective Contribution on behalf of such individual which is equal to the
Non-Elective Contribution that would have otherwise been made under the terms of the Plan
on such individual’s behalf had he or she actually been reemployed by the Employer on the
date of such individual’s death, based on the Compensation such individual would have
received from the Employer during his or her period of Qualified Military Service; and
(2) the Employer will make a Matching Contribution on behalf of such individual which is
equal to the Matching Contribution that would have otherwise been made under the terms of
the Plan on such individual’s behalf had he or she actually been reemployed by the
Employer on the date of such individual’s death, based on such individual’s Deemed
Deferrals.

	2.4	 	Vesting Service. An individual who is described in Section 2.1 will, upon his
or her Deemed Reemployment
Date, receive credit for Vesting purposes with respect to his or her period of Qualified
Military Service.

Section 3. Disability Benefits 

	3.1	 	Deemed Reemployment Date. If this
box o is
checked, then effective                                         
(must be on
or after January 1, 2007), a Participant who suffers a Disability while performing Qualified
Military Service will be deemed (a) to have resumed employment with the Employer as of the day
preceding the date of his or her Disability (the “Deemed Reemployment Date” for purposes of
this Section); and (b) to have Terminated Employment on the date of his or her Disability.
	 
	3.2	 	Employer Contributions. An individual described in Section 3.1 will not receive any additional contributions
under the terms of the Plan unless this box o is checked, in which event any such additional contributions
will be provided effective                                          (must be on or after January 1, 2007) on a reasonably
equivalent basis to all such similarly situated individuals in accordance with the following
provisions:

	 	(a)	 	If the Plan is a money purchase plan or a profit sharing plan without a 401(k)
feature, then the Employer will make a contribution on behalf of such individual which is
equal to the contribution that would have otherwise been made under the terms of the Plan
on such individual’s behalf had he or she actually been employed by the Employer on the
date of such individual’s Disability, based on the Compensation such individual would
have received from the Employer during his or her period of Qualified Military Service.

			
	 	 	 
	HEART Act Amendment
	 	Page 2 of 4

 

 

	 	(b)	 	If the Plan is a profit sharing plan with a 401(k) feature, then (1) the Employer
will make a Non-Elective Contribution on behalf of such individual which is equal to the
Non-Elective Contribution that would have otherwise been made under the terms of the
Plan on such individual’s behalf had he or she actually been employed by the Employer on
the date of such individual’s Disability, based on the Compensation such individual
would have received from the Employer during his or her period of Qualified Military
Service; and (2) the Employer will make a Matching Contribution on behalf of such
individual which is equal to the Matching Contribution that would have otherwise been
made under the terms of the Plan on such individual’s behalf had he or she actually been
employed by the Employer on the date of such individual’s Disability, based on such
individual’s Deemed Deferrals. Alternatively, if this box o
is checked and a Participant is permitted to make Post-Tax or Pre-Tax
Employee Contributions for periods of Qualified Military Service, then the Matching
Contribution will be based on the actual Post-Tax or Pre-Tax Employee Contributions made
to the Plan by the Participant.

	3.3	 	Vesting Service. An individual described in Section 3.1 will not be entitled to credit for Vesting purposes with
respect to the period of Qualified Military Service unless this
box o is
checked, in which event such Vesting
credit will be applied to all similarly-situated individuals in a uniform, non-discriminatory manner.

Section 4. Differential Wage Payments

	4.1	 	Employee Status. Effective January 1, 2009, an individual receiving Differential Wage Payments from the
Employer will be treated as an Employee of the Employer making such Differential Wage
Payments, except as otherwise provided under Section 5 below.
	 
	4.2	 	Compensation. The term Compensation as used in the Plan will not include any
amounts paid by the Employer as a Differential Wage Payment, and the Plan’s definition of
Compensation will not fail to satisfy Code §414(s) merely because such payments are excluded
from the Plan’s definition of Compensation. Notwithstanding the foregoing, if this box
o is checked, the Employer elects to treat Differential
Wage Payments as Compensation for Plan purposes then effective                      (must be on or after January
1, 2009) (but only to the extent the payments do not exceed the amount the
individual would have received had he or she continued to perform services for the Employer).
Selection of this option does not preclude treatment of any payments which may have been made
to Participants as Compensation under the Plan during a prior period of military leave.
	 
	4.3	 	Code §415(c)(3) Compensation. Effective January 1,2009, the term Code §415(c)(3) Compensation as used in the Plan will include any amounts paid by the
Employer as a Differential Wage Payment (but only to the extent the payments do not exceed the amount the individual would have received had he or she continued to
perform services for the Employer).

Section 5. Special Distribution Rules

	5.1	 	Qualified Reservist Distributions. If this box o is checked then Qualified Reservist Distributions may be
made from the Plan, effective                                          (must be on or after January 1, 2007), and all
references in the Plan restricting Qualified Reservist Distributions to individuals ordered or
called to active duty before December 31, 2007 are removed effective December 31,2007.
	 
	5.2	 	Active Duty Severance Distributions. If this
box o is
checked and the Plan is a profit sharing plan with a
401(k) feature, then effective                                          (must be on or after January 1, 2009), an individual
performing service in the uniformed services (as defined in chapter 43 of title 38, United
States Code) while on active duty for a period of more than 30 days will be treated as having
incurred a severance from employment under Code §401(k)(2)(B)(i)(I), and may elect a
distribution of some or all of his or her Elective Deferral accounts (including Roth Elective
Deferrals), subject to the following provisions:

	 	(a)	 	If a Participant receives a distribution pursuant to this Section 5.2, he or she
will be barred from making Elective Deferrals and/or Employee Contributions for a period
of 6 months after the distribution.

			
	 	 	 
	HEART Act Amendment
	 	Page 3 of 4

 

 

	 	(b)	 	An individual who is considered an Employee because he or she is receiving Differential
Wage Payments will still be treated as having incurred a severance from employment for
purposes of this Section 5.2.
	 
	 	(c)	 	The availability of such distribution shall not cause any Participant to be treated as having
incurred a severance from employment for any other purpose under the Plan or any other Code
section.
	 
	 	(d)	 	If a Participant who takes a distribution pursuant to this Section 5.2 is considered to have
Terminated Employment under the terms of the Plan, such individual is eligible for all
distribution options available upon Termination of Employment under the Plan, and not this
Section 5.2.
	 
	 	(e)	 	If a Participant is eligible to receive a Qualified Reservist Distribution and a distribution
under this Section 5.2, any distribution of some or all of his or her Elective Deferral
Accounts (including Roth Elective Deferrals) that meets the definition of a Qualified
Reservist Distribution will be treated as a Qualified Reservist Distribution rather than a
distribution under this Section 5.2.
	 
	 	(f)	 	Any distribution made pursuant to this Section 5.2 is an Eligible Rollover Distribution under
the terms of the Plan unless one of the exceptions (other than the exception for hardship
distributions under Code §401(k)(2)(B)(i)(IV)) listed under Code §402(c)(4) applies.
	 
	 	(g)	 	Nothing contained in this Section will affect a Participant’s right to take other in-service
distributions (including hardship distributions) to the extent he or she is eligible for such
distributions under the terms of the Plan.

Signature of the Sponsoring Employer

	 	 	 	 	 
	 	 	 
	By  	/s/ KIRK WARREN
 	 	Title: VP Benefits & Administration             
	 	Print Name          Kirk Warren
 	 	Date June 30, 2011 
	 

			
	 	 	 
	HEART Act Amendment
	 	Page 4 of 4

 

 

Diversification Requirements Amendment

For Compliance With the Final Regulations Under Code §401 (a)(35)

Plan Name The Men’s Wearhouse, Inc. 401(k) Savings Plan

This Diversification Requirements Amendment (the “Amendment”) is intended as good faith
compliance with the final regulations issued by the Internal Revenue Service under Code
§401(a)(35), and is effective for Plan Years beginning on or after January 1, 2011. This Amendment
supersedes any conflicting provisions of the Plan, any administrative policy promulgated by the
Plan, and/or any previous “good faith” amendment of the same subject matter (including any
Post-EGTRRA “Good Faith” Amendment for Defined Contribution Plans executed prior to, or
contemporaneously with, this Amendment), as applicable. This is a “good faith” amendment, is not
part of the preapproved Plan to which it is attached, and while it has not been reviewed by the
Internal Revenue Service, its adoption does not, pursuant to Revenue Procedure 2007 -44, affect
the status of reliance upon the pre-approved Plan.

Section 1. Definitions

	1.1	 	Applicable Defined Contribution Plan. The term Applicable Defined Contribution Plan means any defined
contribution plan, other than certain ESOPs, that holds Employer Securities that are Publicly
Traded, subject to (a) and (b) below.

	 	(a)	 	One-Participant Plan. A one-Participant retirement plan as defined in Code
§401(a)(35)(E)(iv) is not
treated as an Applicable Defined Contribution Plan.
	 
	 	(b)	 	Treatment of Certain Plans Holding Employer Securities That Are Not Publicly
Traded. A Plan holding Employer Securities that are not Publicly Traded is treated
as an Applicable Defined Contribution Plan if any Employer maintaining the Plan or any
member of a controlled group of corporations that includes an Employer maintaining the
Plan has issued a class of stock that is Publicly Traded unless (1) no Employer
maintaining the Plan (or a parent corporation with respect to such Employer) has issued
stock that is Publicly Traded; and (2) no Employer maintaining the Plan (or a parent
corporation with respect to such Employer) has issued any special class of stock which
grants to the holder or issuer particular rights, or bears particular risks for the
holder or issuer, with respect to any Employer maintaining the Plan (or any member of a
controlled group of corporations that includes such Employer) which has issued Publicly
Traded stock. For purposes of this paragraph, a controlled group of corporations is
defined under Code §1563(a) except that 50% is substituted for 80%.

	1.2	 	Applicable Individual. The term “Applicable Individual” means (a) a Participant; (b) an alternate payee who
has an Account under the Plan; or (c) a Beneficiary of a deceased Participant.
	 
	1.3	 	Employer Security. The term “Employer Security” means any employer security as defined under the
Employee Retirement Income Security Act (ERISA) §407(d)(1).
	 
	1.4	 	Publicly Traded. The term Publicly Traded means an Employer Security that is (a) traded on a national
securities exchange that is registered under §6 of the Securities Exchange Act of 1934; or
(b) the security is traded on a foreign national securities exchange that is officially
recognized, sanctioned, or supervised by a governmental authority and the security is deemed
by the SEC as having a “ready market.”
	 
	1.5	 	Stable Value or Similar Fund. The term Stable Value or Similar Fund means an
investment product or fund
designed to preserve or guarantee principal and provide a reasonable rate of return, while
providing liquidity for benefit distributions or transfers to other investment alternatives
(such as a product or fund described in Department of Labor Regulation
§2550.404c-5(e)(4)(iv)(A) or (v)(A)).

			
	 	 	 
	Diversification Requirements Amendment
	 	Page 1 of 4

 

 

Section 2. General Diversification Requirements under Code §401 (a)(35)

	2.1	 	Diversification Rights. Applicable Defined Contribution Plans holding Employer Securities are subject to
the diversification requirements under Code §40I(a)(35) with respect to Elective Deferrals,
Rollover Contributions, Employee Contributions, and Employer contributions (other than
Elective Deferrals). All Applicable Defined Contribution Plans must also satisfy the
investment option requirements and must not apply any impermissible restrictions or conditions
on investments of Employer Securities.
	 
	2.2	 	Notice Requirement. The Administrator must furnish a notice to Applicable
Individuals not later than 30
days before the first date on which an Applicable Individual is eligible to exercise his or
her right to divest Employer Securities with respect to any type of contributions.

Section 3. Investment Option Requirements

	3.1	 	Investment Options. If the Plan is an Applicable Defined Contribution Plan, pursuant to written procedures
established and adopted by the Administrator, the Plan must offer Applicable Individuals at
least three (3) investment options, other than Employer Securities, to which Applicable
Individuals may direct the proceeds from the divestment of Employer Securities. Each
investment option will be diverse from the other investment options, and have materially
different risk and return characteristics.
	 
	3.2	 	Frequency. If the Plan is an Applicable Defined Contribution Plan, then
pursuant to written procedures
adopted by the Administrator, the Plan must allow Applicable Individuals to divest Employer
Securities and reinvest the proceeds at periodic, reasonable opportunities occurring no less
frequently than quarterly.

Section 4. Diversification Requirements

	4.1	 	Elective Deferral, Rollover and Employee Contributions. If the Plan is an Applicable Defined Contribution
Plan, and any portion of an Applicable Individual’s Account thereunder which is attributable
to Elective Deferrals, Rollover Contributions, and Employee Contributions is invested in
Employer Securities, then subject to Section 4.3 below, the Applicable Individual may elect to
divest those Employer Securities and reinvest an equivalent amount in other investment
options.
	 
	4.2	 	Diversification Requirements for Employer Contributions (Other than Elective
Deferrals). If the Plan is
an Applicable Defined Contribution Plan, an Applicable Individual who is (a) a Participant who
has completed at least three Years of Service if the Plan uses the Counting of Hours Method
(or, in the case of a Plan that uses the Elapsed Time Method, three I-Year Periods of
Service), (b) an alternate payee who has an Account under the Plan attributable to a
Participant who has completed at least three Years of Service (or three I-Year Periods of
Service, as applicable), or (c) a Beneficiary of a deceased Participant, has the right to
divest the portion of his or her Participant’s Account attributable to Employer contributions
(other than Elective Deferrals) which are invested in Employer Securities. The Plan may
provide the right to divest earlier than the time period noted in (a) and (b) above.
	 
	4.3	 	Diversification Amount.

	 	(a)	 	Employer Securities Acquired on or After January 1, 2007. To the extent
that all or a portion of a Participant’s Account attributable to Employer contributions
(other than a Participant’s Elective Deferral Account) consists of Employer Securities
that were acquired in a Plan Year beginning on or after January 1, 2007, the divestment
requirements will apply to the total amount of the Employer Securities acquired with such
Employer contributions.
	 
	 	(b)	 	Employer Securities Acquired Before January 1, 2007. To the extent that
all or a portion of a Participant’s Account attributable to Employer contributions (other
than a Participant’s Elective Deferral Account) consists of Employer Securities acquired
in a Plan Year beginning before January 1,2007, the divestment requirements only apply to
a portion of the Employer Securities acquired with such Employer contributions. Such
portion will be equal to at least 33% of such Employer Securities for the first Plan
Year, at least 66% for the second such Plan Year, and 100% for the third Plan Year.

			
	 	 	 
	Diversification Requirements Amendment
	 	Page 2 of 4

 

 

	 	(c)	 	Restrictions Applied Separately to Each Class of Employer Securities.
The special restrictions and conditions set forth in paragraphs (a) and (b) above
will be applied separately with respect to each class of Employer Securities held in an
Applicable Participant’s Participant Account. The special restrictions and conditions set
forth in paragraphs (a) and (b) above will not apply to the extent that an Applicable
Participant has attained age 55 or completed at least three Years of Service (or three
I-Year Periods of Service, as applicable) before the first Plan Year beginning after
December 31, 2005.

Section 5. Restrictions and Conditions on Investments in Employer Securities

	5.1	 	Impermissible Restrictions and Conditions. Subject to any conforming rules and procedures that may be
established by the Administrator, if the Plan is an Applicable Defined Contribution Plan, the
Plan may not impose direct or indirect restrictions or conditions with respect to the
investment of Employer Securities that are not imposed on the investment of other assets of
the Plan. A restriction or condition with respect to Employer Securities means (a) a
restriction on an Applicable Individual’s right to divest an investment in Employer
Securities that is not imposed on an investment that is not an Employer Security; or (b) a
benefit conditioned on the investment of Employer Securities.
	 
	5.2	 	Permissible Restrictions and Conditions. Subject to any conforming rules and
procedures that may be
established by the Administrator, if the Plan is an Applicable Defined Contribution Plan, the
Plan may impose restrictions or conditions with respect to the investment of Employer
Securities as follows:

	 	(a)	 	Securities Laws. The Plan may impose a restriction or condition on the
divestiture of Employer Securities that is either required in order to ensure compliance
with applicable securities laws or is reasonably designed to ensure compliance with
applicable securities laws.
	 
	 	(b)	 	Deferred Application of the Diversification Requirements. The Plan may
restrict the application of
the diversification requirements of Code §401(a)(35) for up to 90 days after the Plan
becomes an Applicable Defined Contribution Plan.
	 
	 	(c)	 	Indirect Investments in Employer Securities. If a fund that indirectly
holds Employer Securities fails to meet the requirement that the investment be
independent of the Employer (including a fund which no longer meets the percentage
limitation rule), the Plan will not fail to satisfy the requirements of Code §401(a)(35)
merely because it does not offer those rights for up to 90 days after the investment
fund is treated as holding Employer Securities.
	 
	 	(d)	 	Limitation on Investment in Employer Securities. The Plan may limit
the extent to which an Applicable Individual’s Account balance can be invested in
Employer Securities, provided the limitation applies without regard to a prior exercise
of rights to divest Employer Securities.
	 
	 	(e)	 	Trading Frequency. The Plan may impose reasonable restrictions on the
timing and number of investment elections that an Applicable Individual can make to
invest in Employer Securities, provided that the restrictions are designed to limit
short-term trading in the Employer Securities.
	 
	 	(f)	 	Imposition of Fees. The Plan may impose a reasonable fee for the divestment of
Employer Securities.
	 
	 	(g)	 	Stable Value or Similar Fund. The Plan may allow transfers to be made
into or out of Stable Value or Similar Funds more frequently than a fund invested in
Employer Securities (taking into account any restrictions or conditions imposed on the
other investment options under the Plan).
	 
	 	(h)	 	Transfer out of a Qualified Default Investment. The Plan may provide
for transfers out of a QDIA (within the meaning of Department of Labor Regulation
§2550A04c-5(e)) more frequently than a fund invested in Employer Securities.
	 
	 	(i)	 	Frozen Funds. The Plan may prohibit any further investment in Employer
Securities, including
prohibiting a Participant that divests Employer Securities from reinvesting in Employer
Securities, but only if the Plan does not permit additional contributions or other
investments to be invested in Employer Securities (other than the reinvestment of
dividends paid on the Employer Securities).

			
	 	 	 
	Diversification Requirements Amendment
	 	Page 3 of 4

 

 

	 	(j)	 	Tax Consequences. Any tax consequences are disregarded in determining
whether the Plan imposes an indirect restriction or condition on an Applicable
Individual’s right to divest Employer Securities. The Plan may restrict an Applicable
Individual from reinvestment of divested amounts in the same Employer Securities account
if it provides that the Applicable Individual may invest such divested amounts in
another Employer Securities account assuming the only relevant difference between the
Employer Securities accounts is the Code §402(e)(4) cost (or other basis) in the
respective shares.
	 
	 	(k)	 	Additional Restrictions or Conditions. The Plan may provide for such additional
restrictions or conditions
as permitted from time to time by the Commissioner of the Internal Revenue Service.

Section 6. Defined Contribution Plans or Investment Funds Not Treated as Holding Employer Securities

	6.1	 	Employer Securities Held Indirectly. Subject to Section 6.2 below, if the Plan is an Applicable Defined
Contribution Plan, the Plan will not be treated as holding Employer Securities to the extent
the Employer Securities are held indirectly as part of a broader fund that is (a) a regulated
investment company described in Code §851(a); (b) a common or collective trust fund or pooled
investment fund maintained by a bank or trust company supervised by a State or Federal agency;
(c) a pooled investment fund of an insurance company that is qualified to do business in a
State; (d) an investment fund managed by an investment manager within the meaning of ERISA
§3(38) for a multiemployer plan; (e) any other investment fund designated by the Commissioner
in Revenue Rulings, notices or other guidance published in the Internal Revenue Bulletin.
	 
	6.2	 	Additional Requirements. The investment in Employer Securities must be held in
a fund under which (a)
there are stated investment objectives of the fund; and (b) the investment is independent of
the Employer (or Employers) and any affiliate thereof. For purposes of this section, an
investment in Employer Securities in a fund is not considered to be independent of the
Employer (or Employers) and any affiliate thereof if the aggregate value of the Employer
Securities held in the fund is in excess of 10% of the total value of all of the fund’s
investments for the Plan Year. The determination of whether the value of Employer Securities
exceeds 10% of the total value of the fund’s investments for the Plan Year is made as of the
end of the preceding Plan Year. The determination can be based on the information in the
latest disclosure of the fund’s portfolio holdings that was filed with the Securities and
Exchange Commission in that preceding Plan Year.

Signature of the Sponsoring Employer

	 	 	 	 	 
	 	 	 
	By  	/s/ KIRK WARREN
 	 	Title: VP Benefits & Administration             
	 	Print Name Kirk Warren
 	 	Date June 30, 2011 
	 

			
	 	 	 
	Diversification Requirements Amendment
	 	Page 4 of 4

 

 

Post-EGTRRA “GOOD FAITH” AMENDMENT FOR

DEFINED CONTRIBUTION PLANS

(INCLUDING PENSION PROTECTION ACT TECHNICAL CORRECTIONS)

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 

	Article 1	 	 	1	 
	Post-EGTRRA Provisions Initially Effective 2006 And Earlier	 	 	1	 
	1.1

	 	Bonding Requirements
	 	 	1	 
	1.2

	 	Service for Vesting Purposes When Previously Frozen Plan Resumes Allocations
	 	 	1	 
	1.3

	 	Eliminating Forms of Distribution
	 	 	2	 
	1.4

	 	Application of Code §411 (a) With Respect to Protected Benefits
	 	 	3	 
	1.5

	 	Financial Hardship Distributions
	 	 	3	 
	1.6

	 	Distribution to a Qualified Reservist
	 	 	4	 
	1.7

	 	Hurricane Provisions
	 	 	4	 
	1.8

	 	Retroactive Revocation of Prior Amendment on account of the Heinz Decision
	 	 	9	 
	1.9

	 	Certain Employees of Tax Exempt Entity Excluded From 401 (k) Plan or 401 (m) Plan
	 	 	10	 
	Article 2	 	 	10	 
	Post-EGTRRA Provisions Initially Effective 2007	 	 	10	 
	2.1

	 	Notice and Consent Requirements
	 	 	10	 
	2.2

	 	Direct Rollovers
	 	 	13	 
	2.3

	 	Qualified Domestic Relations Orders
	 	 	14	 
	2.4

	 	Determination Whether Partial Termination of the Plan Has Occurred
	 	 	14	 
	2.5

	 	Code §415 Limitations Under the Final Code §415 Regulations
	 	 	15	 
	2.6

	 	Vesting of Non-Safe Harbor Non-Elective Contribution Accounts
	 	 	22	 
	2.7

	 	Diversification Requirements
	 	 	24	 
	2.8

	 	Calculation of Gap Period Income for Excess Elective Deferrals
	 	 	25	 
	2.9

	 	Rollover by a Non-Spouse Designated Beneficiary
	 	 	25	 
	2.10

	 	Money Purchase or Target Benefit Plan In-Service Distributions
	 	 	26	 
	2.11

	 	Qualified Default Investment Alternative
	 	 	26	 
	2.12

	 	Modification to Normal Retirement Age
	 	 	28	 
	2.13

	 	Mid-Year Changes Permitted for Safe Harbor 401 (k) Plan
	 	 	29	 
	Article 3 	 	 	29	 
	Post-EGTRRA Provisions Initially Effective 2008	 	 	29	 
	3.1

	 	Elimination of Gap Period Income for Excess Contributions
	 	 	29	 
	3.2

	 	Elimination of Gap Period Income for Excess Aggregate Contributions
	 	 	29	 
	3.3

	 	Elimination of Gap Period Income for Excess Elective Deferrals
	 	 	29	 
	3.4

	 	Qualified Automatic Contribution Arrangement
	 	 	30	 
	3.5

	 	Eligible Automatic Contribution Arrangement
	 	 	33	 
	3.6

	 	Eligible Participant’s Election for Permissible Withdrawal
	 	 	34	 
	3.7

	 	Qualified Optional Survivor Annuity
	 	 	35	 

 

 

Introduction

This Post-EGTRRA “Good Faith” Amendment (the “Amendment”) is intended as good faith
compliance with various post-EGTRRA provisions, including the Pension Protection Act of 2006
(PPA), the PPA technical corrections provisions set forth in the Worker, Retiree and Employer
Recovery Act of 2008 (WRERA), and applicable Regulations.

The Amendment consists of this document (the Post-EGTRRA “Good Faith” Amendment) and the
Post-EGTRRA “Good Faith” Amendment Election Form (the “Election Form”) attached hereto. While each
Article of the Amendment is based upon the earliest effective year that a specific Section (or
specific paragraph of a Section) can apply to the Plan, the effective year of an Article is used
for reference purposes only. The actual effective date of a specific Section of this Amendment, a
specific paragraph in a Section of this Amendment, or a specific Section of the Election Form,
applies to the Plan and overrides any conflict with the effective year of an Article. Furthermore,
the rules of the Plan’s Section entitled “Interpretation of the Plan and Trust” apply to this
Amendment.

Except as may otherwise be provided in this Amendment, the terms of this Amendment supersede any
conflicting provisions of the Plan, any administrative policy promulgated by the Plan, the Plan’s
funding policy, and/or any previously-adopted “good faith” amendment of the same subject matter,
as applicable. If this Amendment establishes/memorializes an Automatic Contribution Arrangement,
then this Amendment supersedes any State (or Commonwealth) law that would directly or indirectly
prohibit or restrict the inclusion of an Automatic Contribution Arrangement in the Plan, pursuant
to ERISA §514(e)(I) and Department of Labor Regulation §2550A04c-5(t).

This Amendment is a “good faith” amendment to the Plan set forth on page 1 of the Election Form,
and while this Amendment has not been reviewed by the Internal Revenue Service, its adoption does
not, pursuant to Revenue Procedure 2007 -44, affect the status of reliance upon the pre-approved
terms of the Plan.

Article 1

Post-EGTRRA Provisions Initially Effective 2006 And Earlier

	 
	1.1	 	Bonding Requirements. Paragraph (a) below is
effective as of the first day of the first Plan Year beginning after August 17,
2006. Furthermore, paragraph (b) below is effective as of the first day of the
first Plan Year beginning after December 31, 2007.

	 	(a)	 	Determination of Amount. Every Plan fiduciary other than a bank, an
insurance company, a broker-dealer who is registered under the Securities Exchange Act of
1934 §15(b) and who is subject to the fidelity bond requirements of a self-regulatory
organization as defined in ERISA §412(a) as amended by PPA, or a fiduciary of a
Sponsoring Employer that has no common-law employees, will be bonded in an amount that is
not less than 10% of the amount of funds under such Plan fiduciary’s direct or indirect
control; however, such bond will not be less than $1,000 nor more than $500,000 (or such
other amount as may be required by law). The bond will provide protection to the Plan
against any loss for acts of fraud or dishonesty by a Plan fiduciary acting alone or in
concert with others. The cost of such bond will be an expense of either the Sponsoring
Employer or the Plan, at the election of the Sponsoring Employer.

	 	(b)	 	Investment in Employer Securities. If the Plan holds employer
securities as defined in ERISA §407(d)(I), the maximum bond described in paragraph (a) is
increased to $1,000,000 unless the Department of Labor prescribes a larger amount after
notice and an opportunity for interested parties to be heard.

	1.2	 	Service for Vesting Purposes When Previously Frozen Plan Resumes Allocations.
If (a) the Plan becomes frozen; (b) the freezing of allocations under the Plan causes a partial termination of the
Plan to occur; and (c) allocations later resume under the previously-frozen Plan, then all
Years of Service or I-Year Periods of Service, as applicable, after the Plan was established
must be recognized for Vesting purposes. In addition, if allocations are made under a new plan
maintained by the same Employer and if the new plan is merged with the frozen Plan, then all
Years of Service or I-Year Periods of Service, as applicable, after the frozen Plan was
established must be recognized for Vesting purposes for any allocations under the new plan
after the merger. The provisions of this Section comply with Revenue Ruling 2003-65.

			
	 	 	 
	Post-EGTRRA “Good Faith” Amendment
	 	Page 1 of 35

 

 

	1.3	 	Eliminating Forms of Distribution. In addition to rules that are enumerated by
Regulations and other guidance concerning the modification of the Plan’s Normal Form of Distribution and the modification
and/or the elimination of the Plan’s Optional Forms of Distribution, for any applicable Plan
amendment that is adopted on or after August 12, 2005 (except as otherwise provided), the Plan
may be amended to eliminate a form of distribution, subject to the following rules:

	 	(a)	 	General Rule for Eliminating a Form of Distribution.The Plan may eliminate a
form of distribution previously available to Participants, so long as:

	 	(1)	 	Single Sum Available. A single sum payment is available to Participants at
the same time or times as the form of distribution being eliminated;
	 
	 	(2)	 	Same or Greater Portion of Participant’s Account. Such single sum payment
is based upon the same or greater portion of the Participant’s Account as the form of
distribution being eliminated; and
	 
	 	(3)	 	Single Sum Otherwise Identical. Such single-sum distribution form is
otherwise identical to the form of benefit being eliminated or restricted. For purposes of
this subparagraph, a single-sum distribution form is otherwise identical to the form of
benefit that is eliminated or restricted only if the single-sum distribution form is
identical in all respects to the eliminated or restricted form of distribution (or would be
identical except that it provides greater rights to the Participant) except with respect to
the timing of payments after commencement. However, an otherwise identical distribution
form need not retain rights or features of the form of benefit that is eliminated or
restricted to the extent that those rights or features would not be protected from
elimination or restriction under Code §411(d)(6).

	 	(b)	 	Eliminating Optional Forms of Distribution Through Utilization Test. If the Plan
is a money purchase plan or a target benefit plan, then in addition to the provisions of
paragraph (a) above, for any applicable Plan amendment adopted after December 31, 2006, the
Plan may eliminate any/all Optional Forms of Distribution that comprise a Generalized
Optional Form for a Participant with respect to allocations that occurred before the
Applicable Amendment Date under the “Utilization Test” of Regulation §1.411(d)-3(f). The
elimination of Optional Forms of Distribution of this paragraph (b) is subject to the
following:

	 	(1)	 	Not a Core Benefit. The Optional Forms of Distribution being eliminated cannot
be a Core Option.
	 
	 	(2)	 	Timeframe for Amendment. The Plan amendment is not applicable with respect
to an Optional Form of Distribution with an Annuity Starting Date that is earlier than the
number of days in the maximum Applicable Election Period after the date that the amendment
is adopted.
	 
	 	(3)	 	Requirements. During the Look-Back Period, (1) the Generalized Optional
Form has been available to at least the Applicable Number of Participants; and (2) no
Participant has elected any Optional Form of Distribution that is part of the Generalized
Optional Form with an Annuity Starting Date that is within the Look-Back Period.

	 	(c)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Applicable Amendment Date. The term “Applicable Amendment Date” means the
later of the effective date of the amendment or the date that the amendment is adopted.
	 
	 	(2)	 	Applicable Election Period. The term “Applicable Election Period” means the
period described in Code §417(a)(6), to wit: with respect to an election to waive the
Qualified Joint and Survivor Annuity, the period that begins not later than 180 days prior
to the Annuity Starting Date (unless future guidance requires/permits otherwise).
	 
	 	(3)	 	Applicable Number of Participants. The term “Applicable Number of
Participants” means 50 Participants. However, the Applicable Number of Participants may
include Participants Taken Into Account who elected an Optional Form of Distribution that
included a single-sum distribution that applied with respect to at least 25% of the
Participant’s Account, but only if the Applicable Number of Participants is increased to
1,000 Participants.

			
	 	 	 
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	 	(4)	 	Core Option. The term “Core Option” means (A) a straight life
annuity Generalized Optional Form under which the Participant is entitled to a level
life annuity with no benefit payable after the Participant’s death; (B) a 75% joint
and contingent annuity Generalized Optional Form under which the Participant is
entitled to a life annuity with a survivor annuity for any individual designated by
the Participant (including a non-Spousal contingent annuitant) that is 75% of the
amount payable during the Participant’s life; (C) a lO-year term certain and life
annuity Generalized Optional Form under which the Participant is entitled to a life
annuity with a guarantee that payments will continue to any person designated by the
Participant for the remainder of a fixed period of 10 years if the Participant dies
before the end of the lO-year period; and (D) the most valuable option for a
Participant with a short life expectancy, as defined in Regulation
§1.4ll(d)-3(g)(5)(iii). The rules of Regulation §1.4ll(d)-3(g)(5) apply to the
determination of Core Options.
	 
	 	(5)	 	Generalized Optional Form. The term “Generalized Optional Form”
means a group of Optional Forms of Distribution that are identical except for
differences due to actuarial factors used to determine the amount of the
distributions under those Optional Forms of Distribution and the Annuity Starting
Dates.
	 
	 	(6)	 	Look-Back Period. The term “Look-Back Period” means the period
that includes: (A) the portion of the Plan Year in which such Plan amendment is
adopted that precedes the date of adoption (known as the “Pre-Adoption Period”); and
(B) the 2 Plan Years immediately preceding the Pre-Adoption Period. With regard to
the Look-Back Period, the following rules apply: (A) in the Look-Back Period, at
least 1 of the Plan Years must be a 12-month Plan Year; (B) the Plan may exclude,
pursuant to an administrative policy that is promulgated by the Administrator, the
calendar month in which the amendment is adopted from the Look-Back Period and the
preceding 1 or 2 calendar months to the extent those preceding months are contained
within the Pre-Adoption Period; and (C) in order to have a Look-Back Period that
satisfies the requirement of the minimum Applicable Number of Participants, the
Look-Back Period may be expanded pursuant to an administrative policy that is
promulgated by the Administrator, to include the 3, 4, or 5 Plan Years immediately
preceding the Plan Year in which the amendment is adopted. However, if the Plan does
not satisfy the requirement of the minimum Applicable Number of Participants using
the Pre-Adoption Period and the immediately preceding 5 Plan Years, then the Plan is
not permitted to be amended in accordance with the Utilization Test of this Section.
	 
	 	(7)	 	Participant Taken Into Account. The term “Participant Taken
Into Account” means a Participant who was eligible to elect to commence payment of an
Optional Form of Distribution that is part of the Generalized Optional Form being
eliminated with an Annuity Starting Date that is within the Look-Back Period. A
Participant is not a Participant Taken Into Account if the Participant (A) did not
elect any Optional Form of Distribution with an Annuity Starting Date that was within
the Look-Back Period; (B) elected an Optional Form of Distribution that included a
single-sum distribution that applied with respect to at least 25% of the
Participant’s Account; (C) elected an Optional Form of Distribution that was only
available during a limited period of time and that contained a retirement-type
subsidy where the subsidy that is part of the Generalized Optional Form being
eliminated was not extended to any Optional Form of Distribution with the same
Annuity Starting Date; or (D) elected an Optional Form of Distribution with an
Annuity Starting Date that was more than 10 years before Normal Retirement Age.

	1.4	 	Application of Code §411 (a) With Respect to Protected Benefits. Any
applicable Plan amendment adopted after August 9, 2006 which decreases a Participant’s Account balance, or otherwise places
greater restrictions or conditions on a Participant’s rights to Code §4ll(d)(6) protected
benefits is not permitted, even if the Plan amendment merely adds a restriction or condition
that is permitted under the Vesting rules in Code §4ll(a)(3) through (11). However, a Plan
amendment does not violate Code §4ll(d)(6) to the extent that the amendment applies to
allocations after the Applicable Amendment Date. Notwithstanding the first sentence of this
Section, a Plan amendment that satisfies the requirements of Department of Labor Regulation
2530.203-2(c) (relating to Vesting Computation Periods) does not violate the requirements of
Code §4ll(d)(6) even though the Plan amendment changes the Plan’s Vesting Computation
Periods. For purposes of this Section, the term “Applicable Amendment Date” means the later
of the effective date of the amendment or the date the amendment is adopted.
	 
	1.5	 	Financial Hardship Distributions. If the Plan is either a profit sharing plan
or a 401(k) Plan and if elected by the Sponsoring Employer in the Election Form, then this Section is effective as of the effective
date elected in the Election Form, and the following provisions apply to the Plan:

			
	 	 	 
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	 	(a)	 	Revised Definition of Financial Hardship. With respect to financial hardship
distributions made on or after the effective date of this Section, the determination of any
deemed immediate and heavy financial need described in Regulation §1.401(k)-I(d)(3)(iii)(B)
will be expanded to include any immediate and heavy financial need (expenses described in
Regulation §1.401(k)-I(d)(3)(iii)(B)(I), (3), or (5), which relate to medical, tuition, and
funeral expenses, respectively) of a Participant’s Primary Beneficiary. For purposes of this
Section, the term “Primary Beneficiary” means the individual(s) who is named and designated
as a Beneficiary under the terms of the Plan and who has an unconditional right to all or a
portion of the Participant’s Account balance upon the Participant’s death.
	 
	 	(b)	 	Amounts to Which the Revised Definition of Financial Hardship Applies. The
provisions of this Section apply to financial hardship distributions under the provisions of
an administrative policy regarding financial hardship distributions that is promulgated by
the Administrator.

	1.6	 	Distribution to a Qualified Reservist. If the Plan is a 40 1 (k) Plan and if
elected by the Sponsoring Employer in the Election Form, then this Section is effective with respect to any Qualified Reservist
Distribution that is taken after September 11, 2001 but before December 31, 2007 (but the
December 31, 2007 date has been eliminated by the Heroes Earnings Assistance and Relief Tax
Act of 2008 (HEART)), as follows:

	 	(a)	 	Qualified Reservist Distribution Permitted for Any Reason. A Qualified Reservist
Distribution may be made to a Qualified Reservist under any circumstance and/or for any
reason without violating the distribution restrictions of Code §401(k)(2)(B)(i).
	 
	 	(b)	 	Qualified Reservist Distribution Not Subject To Excise Tax and May Be Repaid To an
IRA.
	 
	 	 	 	Notwithstanding anything in the Plan to the contrary, to the extent that any distribution
is a Qualified Reservist Distribution, the otherwise applicable 10% excise tax of Code
§72(t)(I) on early distributions will not apply. In addition, at any time during the two-year
period beginning on the day after the last day of the Qualified Reservist’s active duty (but
the two-year period will end no earlier than August 17, 2008), a Qualified Reservist who has
received one or more Qualified Reservist Distributions may make one or more repayment
contributions to an IRA in an aggregate amount not to exceed the total amount of such Qualified
Reservists Distributions. The dollar or compensation limitations otherwise applicable to
contributions to an IRA will not apply to a repayment contribution of Qualified Reservist
Distributions. No deduction is allowed for a repayment contribution of Qualified Reservist
Distributions.
	 
	 	(c)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Qualified Reservist. The term “Qualified Reservist” means an individual
who is a member of a reserve component, as defined in §101 of title 37, United States
Code, and who is ordered or called to active duty after September 11, 2001 and before
December 31, 2007 (but the December 31, 2007 date has been eliminated by the Heroes
Earnings Assistance and Relief Tax Act of 2008 (HEART)) either for a period in excess of
179 days or for an indefinite period.
	 
	 	(2)	 	Qualified Reservist Distribution. The term “Qualified Reservist
Distribution” means a distribution of Elective Deferrals to a Qualified Reservist that is
made during the period beginning on the date that the Qualified Reservist is ordered or
called to duty and ending on the last day of active duty.

	1.7	 	Hurricane Provisions. If elected by the Sponsoring Employer in the Post-EGTRRA
“Good Faith” Amendment Election Form, then except as otherwise provided in paragraphs (c) through (0 below, this
Section applies to any Participant in the Plan that was affected by Hurricanes Katrina, Rita,
or Wilma:

	 	(a)	 	Qualified Hurricane Distributions. The following provisions apply to Qualified
Hurricane Distributions:

	 	(1)	 	Qualified Hurricane Distribution Not Subject to Code §72(t). Any Qualified
Hurricane Distribution will not be subject to Code §72(t). The aggregate amount of
distributions received by an individual which may be treated as Qualified Hurricane
Distributions for any taxable year shall not exceed the excess (if any) of (A) $100,000,
minus (B) the aggregate amounts treated as Qualified Hurricane Distributions received by
such individual for all prior taxable years.

			
	 	 	 
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	 	(2)	 	Clarification of Qualified Hurricane Distribution. If a distribution to an
individual would (without regard to subparagraph (c)(I)) be a Qualified Hurricane
Distribution, then this Plan shall not be treated as violating any requirement of
subparagraph (c)(I) merely because the Plan treats such distribution as a Qualified
Hurricane Distribution, unless the aggregate amount of such distributions from all plans
(including this Plan) maintained by the Sponsor Employer (and any Affiliated Employer of
the Sponsoring Employer) to such individual exceeds $100,000.
	 
	 	(3)	 	Exemption of Qualified Hurricane Distributions from Trustee to Trustee Transfer
and Withholding Rules. For purposes of Code §401(a)(31), §402(t), and §3405,
Qualified Hurricane Distributions shall not be treated as eligible rollover distributions.
	 
	 	(4)	 	Qualified Hurricane Distributions Treated as Meeting Plan Distribution
Requirements. A Qualified Hurricane Distribution will be treated as meeting the
requirements of Code §401(k)(2)(B)(i), §403(b)(7)(A)(ii), §403(b)(1l), and §457(d)(I)(A).

	 	(b)	 	Procedural Requirements. Any otherwise applicable procedural requirements that are
imposed by the Plan, any administrative policy, or any procedure may be disregarded with
respect to any provision of this Section, so long as the Administrator makes a good-faith
effort under the circumstances to comply with such requirements of the Plan, administrative
policy, or procedure and makes a reasonable attempt to assemble any required documentation as
soon as practical including, if applicable, Spousal consent.
	 
	 	(c)	 	Special Financial Hardship Distributions on Account of Hurricane Disasters. If
elected by the Sponsoring Employer in the Election Form, then regardless of any other
distribution provisions in the Plan to the contrary, a Participant or former Participant (1)
whose Principal Place of Abode is/was located in the Hurricane Katrina Disaster Area,
Hurricane Rita Disaster Area, or Hurricane Wilma Disaster Area; (2) whose place of employment
is/was located in the Hurricane Katrina Disaster Area, Hurricane Rita Disaster Area, or
Hurricane Wilma Disaster Area; or (3) whose lineal ascendant or descendant, dependent or
Spouse has/had a Principal Place of Abode or place of employment in the Hurricane Katrina
Disaster Area, Hurricane Rita Disaster Area, or Hurricane Wilma Disaster Area; and the
Participant or former Participant, or the Participant’s (or former Participant’s) lineal
ascendant or descendant, dependent, or Spouse faces an immediate and heavy financial need,
may receive a special financial hardship distribution on or after August 29, 2005 and not
later than March 31, 2006 of the Participant’s Elective Deferrals (as well as the
Participant’s Vested Interest in the Participant’s Account or any sub-account of the
Participant’s Account that is not prohibited by law or Regulation from being distributed as a
hardship distribution). The determination of whether a Participant or former Participant, or
the Participant’s (or former Participant’s) lineal ascendant or descendant, dependent, or
Spouse has an immediate and heavy financial need will be made by the Administrator, subject
to the following provisions:

	 	(1)	 	Immediate and Heavy Financial Need. The determination by the Administrator
of an immediate and heavy financial need will be based upon such severity that a
Participant or former Participant, or the Participant’s (or former Participant’s) lineal
ascendant or descendant, dependent, or Spouse is confronted or endangered by present or
impending financial ruin, present or impending want, or privation. The Administrator will
determine whether an immediate and heavy financial need exists based on all relevant facts
and circumstances in a nondiscriminatory manner, and will not be limited to the
circumstances enumerated in subparagraph (2) below. The Participant or former Participant
must demonstrate the immediate and heavy financial need with positive evidence submitted
to the Administrator, if positive evidence is readily available. However, the
Administrator may rely upon representations from the Participant or former Participant as
to the need for and amount of a financial hardship distribution, unless the Administrator
has actual knowledge to the contrary.
	 
	 	(2)	 	Deemed Immediate and Heavy Financial Need. A distribution is deemed to be
on account of an immediate and heavy financial need of a Participant or former
Participant, or the Participant’s (or former Participant’s) lineal ascendant or
descendant, dependent, or Spouse if the distribution is for (A) expenses for (or necessary
to obtain) medical care that would be deductible under Code §213(d) (determined without
regard to whether the expenses exceed 7.5% of adjusted gross income); (B) costs directly
related to the purchase of a principal residence (excluding mortgage payments); (C)
payment of tuition, related educational fees, and room and board expenses, for up to the
next 12 months of post-secondary education; (D) payments necessary to prevent the eviction
from the principal residence or foreclosure on the mortgage on that
residence; (E) payments
for burial or funeral

			
	 	 	 
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	 	Page 5 of 35

 

 

expenses; or (F) expenses for the repair of damage to the principal residence that would
qualify for the casualty deduction under Code §I65 (determined without regard to whether the
loss exceeds 10% of adjusted gross income).

	 	(3)	 	Certain Restrictions Do Not Apply to Special Financial Hardship Distributions. If
this Plan (or any other plan of the Sponsoring Employer) is a 40I(k) Plan or permits Voluntary
Employee Contributions, then a Participant who receives a special financial hardship
distribution of Elective Deferrals pursuant to this paragraph (c) is not prohibited from
making Elective Deferrals or Voluntary Employee Contributions to the Plan (or any other plan
of the Sponsoring Employer) at any time after receipt of the special financial hardship
distribution.

	 	(d)	 	Participant Loans. If elected by the Sponsoring Employer in the Election Form,
then the following provisions apply to a Qualified Individual with respect to loans made
during the Applicable Period:

	 	(1)	 	Increase in Limit on Loans Not Treated as Distributions. In the case of any
Participant loan to a Qualified Individual made during the Applicable Period, the following
Participant loan limits that are contained in the separate written loan program are increased
as follows: (A) the $50,000 aggregate limit on a Participant’s loans of Code §72(p)(2)(A)(i)
is increased to $100,000; and (B) the aggregate amount of a Participant’s loans which is
limited to 50% of the Participant’s Vested Account balance of Code §72(p)(2)(A)(ii) is
increased to 100% of the Participant’s Vested Account balance.
	 
	 	(2)	 	Adequate Security. The requirements of ERISA with respect to adequate loan
security are not enforced with respect to any Participant loan to a Qualified Individual
during the Applicable Period.
	 
	 	(3)	 	Delay of Repayment. In the case of a Qualified Individual with an outstanding
Participant loan from this Plan on or after the Qualified Beginning Date, the following will
apply: (A) if the due date for any repayment with respect to such Participant loan pursuant to
Code §72(p)(2)(B) and (C) occurs during the period beginning on the Qualified Beginning Date
and ending on December 31,2006, then such due date for any repayment will be delayed for one
(1) year. Such I-year delay period will not trigger a deemed distribution of the Participant
loan under the Plan or the Regulations; (B) in determining the 5 year period (assuming that the
Participant loan is not a principal residence loan) and the term of a Participant loan under
Code §72(p)(2)(B) and (C), the I-year delay period described in subparagraph (A) shall be
disregarded; and (C) any subsequent repayments with respect to any such Participant loan will
be appropriately adjusted to reflect the delay in the due date for any repayment under
subparagraph (A) and any interest accruing during such delay. After the I-year period
described in subparagraph (A), the Participant loan shall be repaid by amortizing the
outstanding balance (including accrued interest) in substantially level installments over the
remaining period of the Participant loan (i.e., five (5) years from the date of the
origination of the Participant loan (assuming that the Participant loan is not a principal
residence loan) plus the I-year delay period).
	 
	 	(4)	 	Applicable Period and Qualified Beginning Date. In applying this paragraph (d),
the following will apply: (A) in the case of any Qualified Hurricane Katrina Individual, the
Applicable Period is the period beginning on September 24,2005 and ending on December 31, 2006
and the Qualified Beginning Date is August 25,2005; (B) in the case of any Qualified Hurricane
Rita Individual, the Applicable Period is the period beginning on December 21, 2005 and ending
on December 31, 2006 and the Qualified Beginning Date is September 23, 2005; and (C) in the
case of any Qualified Hurricane Wilma Individual, the Applicable Period is the period
beginning on December 21, 2005 and ending on December 31, 2006 and the Qualified Beginning
Date is October 23,2005.

	 	(e)	 	Re-Contribution of Prior Qualified Hurricane Distributions to the Plan. If
elected by the Sponsoring Employer in the Election Form, then the following provisions apply
to the re-contribution of Qualified Hurricane Distributions to the Plan:

	 	(1)	 	Re-Contribution of Qualified Hurricane Distribution. Any individual who receives
a Qualified Hurricane Distribution may make, at any time during the 3-year period beginning on
the day after the date on which such distribution was received, one or more re-contributions
in an aggregate amount not to exceed the amount of such Qualified Hurricane Distribution to
this Plan (which is an eligible retirement plan as defined in Code

			
	 	 	 
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§402(c)(8)(B)), so long as such individual is a beneficiary of the Plan and such Qualified
Hurricane Distribution is (or is deemed to be, pursuant to subparagraph (2)) an eligible
rollover distribution as described in Code §402(c)(4) from the Plan.

	 	(2)	 	Treatment of Repayments of Distributions from Eligible Retirement Plan. If
a re-contribution is made pursuant to subparagraph (1) with respect to a Qualified
Hurricane Distribution from an eligible retirement plan, then the individual will, to the
extent of the amount of the re-contribution, be treated as having received the Qualified
Hurricane Distribution in an eligible rollover distribution (as defined in Code §402(c)(4))
and as having transferred the amount to the eligible retirement plan in a direct trustee to
trustee transfer within 60 days of distribution. The following rules apply to any such
re-contribution of a prior Qualified Hurricane Distribution: (A) required minimum
distributions of Code §401(a)(9) are not permitted to be re-contributed to this Plan or any
eligible retirement plan; (B) any Qualified Hurricane Distribution paid to an individual as
a Beneficiary of a Participant (other than the surviving Spouse of a Participant) cannot be
re-contributed to the Plan. However, any Qualified Hurricane Distribution paid to the
surviving Spouse of a Participant can be re-contributed to the Plan (unless prohibited by
clause (A) above); and (C) any financial hardship distribution that is a Qualified
Hurricane Distribution will not be treated as being made on account of hardship for
purposes of the Plan and the Code; any portion of such financial hardship distribution is
permitted to be re-contributed to this Plan.

	 	(f)	 	Re-Contribution of Prior Qualified Distributions for Home Purchases to the Plan.
If elected by the Sponsoring Employer in the Election Form, then this paragraph (f)
apply to the re-contribution of prior Qualified Distributions. Any individual who received a
Qualified Distribution may, during the Applicable Period, make one or more re-contributions to
this Plan (which is an eligible retirement plan as defined in Code §402(c)(8)(B)) in an
aggregate amount not to exceed the amount of such Qualified Distribution, so long as such
individual is a beneficiary in the Plan and such Qualified Distribution is (or is deemed to
be, pursuant to subparagraph (e)(2)) an eligible rollover distribution as described in Code
§402(c)(4). Rules similar those in subparagraph (e)(2) will apply to such re-contributions.
For purposes of this paragraph, the term “Applicable Period” means (1) with respect to any
Qualified Katrina Distribution, the period beginning on August 25, 2005 and ending on February
28, 2006; (2) with respect to any Qualified Rita Distribution, the period beginning on
September 23, 2005 and ending on February 28, 2006; and (3) with respect to any Qualified
Wilma Distribution, the period beginning on October 23, 2005 and ending on February 28, 2006.
	 
	 	(g)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Hurricane Katrina Disaster Area. The term “Hurricane Katrina Disaster Area”
means an area with respect to which a major disaster has been declared by the President
before September 14, 2005 by reason of Hurricane Katrina, including the states of
Louisiana, Mississippi, Alabama, and Florida.
	 
	 	(2)	 	Hurricane Rita Disaster Area. The term “Hurricane Rita Disaster Area” means
an area with respect to which a major disaster has been declared by the President before
October 6, 2005 by reason of Hurricane Rita.
	 
	 	(3)	 	Hurricane Wilma Disaster Area. The term “Hurricane Wilma Disaster Area”
means an area with respect to which a major disaster has been declared by the President
before November 14, 2005 by reason of Hurricane Wilma.
	 
	 	(4)	 	Principal Place of Abode.The term “Principal Place of Abode” means the
household where a Qualified Individual lives. A temporary absence by a Qualified Individual
from the Principal Place of Abode due to special circumstances, such as illness, education,
business, vacation, or military service, will not change a Qualified Individual’s Principal
Place of Abode. The following provisions apply to a Qualified Individual’s Principal Place
of Abode:

	 	(A)	 	Hurricane Katrina. If a Qualified Individual’s Principal Place of
Abode was in the Hurricane Katrina Disaster Area immediately before August 28, 2005,
and the Qualified Individual evacuated because of Hurricane Katrina, then the Qualified
Individual’s Principal Place of Abode will be considered to be in the Hurricane Katrina
Disaster Area on August 28, 2005.

			
	 	 	 
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	 	(B)	 	Hurricane Rita. If a Qualified Individual’s Principal Place of Abode was in
the Hurricane Rita Disaster Area immediately before September 23, 2005, and the Qualified
Individual evacuated because of Hurricane Rita, then the Qualified Individual’s Principal
Place of Abode will be considered to be in the Hurricane Rita Disaster Area on September
23,2005.
	 
	 	(C)	 	Hurricane Wilma. If a Qualified Individual’s Principal Place of Abode was
in the Hurricane Wilma Disaster Area immediately before October 23, 2005, and the Qualified
Individual evacuated because of Hurricane Wilma, then the Qualified Individual’s Principal
Place of Abode will be considered to be in the Hurricane Wilma Disaster Area on October
23,2005.

	 	(5)	 	Qualified Distribution. The term “Qualified Distribution” means any Qualified
Katrina Distribution, Qualified Rita Distribution, and Qualified Wilma Distribution. For
purposes of this definition:

	 	(A)	 	Qualified Katrina Distribution. The term “Qualified Katrina Distribution”
means any distribution (i) described in Code §401(k)(2)(B)(i)(IV), §403(b)(7)(A)(ii) (but
only to the extent it relates to financial hardship), §403(b)(1l)(B), or §72(t)(2)(F); (ii)
received after February 28, 2005 and before August 29, 2005; and (iii) which was to be used
to purchase or construct a principal residence in the Hurricane Katrina Disaster Area, but
which was not so purchased or constructed on account of Hurricane Katrina.
	 
	 	(B)	 	Qualified Rita Distribution. The term “Qualified Rita Distribution” means
any distribution (other than a Qualified Katrina Distribution) (i) described in Code
§401(k)(2)(B)(i)(IV), §403(b)(7)(A)(ii) (but only to the extent it relates to financial
hardship), §403(b)(1l)(B), or §72(t)(2)(F); (ii)received after February 28, 2005 and before
September 24,2005; and (iii) which was to be used to purchase or construct a principal
residence in the Hurricane Rita Disaster Area, but which was not so purchased or
constructed on account of Hurricane Rita.
	 
	 	(C)	 	Qualified Wilma Distribution. The term “Qualified Wilma Distribution” means
any distribution (other than a Qualified Katrina Distribution or a Qualified Rita
Distribution) (i) described in Code §401(k)(2)(B)(i)(IV), §403(b)(7)(A)(ii) (but only to
the extent it relates to financial hardship), §403(b)(1l)(B), or §72(t)(2)(F); (ii)
received after February 28, 2005 and before October 24, 2005; and (iii) which was to be
used to purchase or construct a principal residence in the Hurricane Wilma Disaster Area,
but which was not so purchased or constructed on account of Hurricane Wilma.

	 	(6)	 	Qualified Hurricane Distribution. The term “Qualified Hurricane Distribution”
means (A) any distribution from an eligible retirement plan made on or after August 25, 2005
and before January 1, 2007, to an individual whose Principal Place of Abode on August 28, 2005
is located in the Hurricane Katrina Disaster Area and who has sustained an economic loss by
reason of Hurricane Katrina; (B) any distribution which is not described in subparagraph (A)
from an eligible retirement plan made on or after September 23, 2005 and before January 1,
2007, to an individual whose Principal Place of Abode on September 23, 2005 is located in the
Hurricane Rita Disaster Area and who has sustained an economic loss by reason of Hurricane
Rita; and (C) any distribution which is not described in subparagraphs (A) or (B) from an
eligible retirement plan made on or after October 23,2005 and before January 1,2007, to an
individual whose Principal Place of Abode on October 23, 2005 is located in the Hurricane
Wilma Disaster Area and who has sustained an economic loss by reason of Hurricane Wilma. An
individual is permitted to designate any distribution as a Qualified Hurricane Distribution.
Qualified Hurricane Distributions are permitted to be periodic payments and required minimum
distributions. A Qualified Hurricane Distribution is permitted to be a distribution received
by an individual as a Beneficiary.
	 
	 	(7)	 	Qualified Individual. The term “Qualified Individual” means any Qualified
Hurricane Katrina Individual, any Qualified Hurricane Rita Individual, and any Qualified
Hurricane Wilma Individual. For purposes of this definition:

	 	(A)	 	Qualified Hurricane Katrina Individual. A “Qualified Hurricane Katrina
Individual” means an individual whose Principal Place of Abode on August 28, 2005, was
located in the Hurricane Katrina Disaster Area and who has sustained an economic loss by
reason of Hurricane Katrina.

			
	 	 	 
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	 	(B)	 	Qualified Hurricane Rita Individual. A “Qualified Hurricane Rita
Individual” means an individual (other than a Qualified Hurricane Katrina Individual)
whose Principal Place of Abode on September 23, 2005, was located in the Hurricane Rita
Disaster Area and who has sustained an economic loss by reason of Hurricane Rita.
	 
	 	(C)	 	Qualified Hurricane Wilma Individual. A “Qualified Hurricane Wilma
Individual” means an individual (other than a Qualified Hurricane Katrina Individual or
a Qualified Hurricane Rita Individual) whose Principal Place of Abode on October 23,
2005, was located in the Hurricane Wilma Disaster Area and who has sustained an
economic loss by reason of Hurricane Wilma.

	1.8	 	Retroactive Revocation of Prior Amendment on account of the Heinz Decision. If
elected by the Sponsoring Employer in the Election Form, then this Section is effective as of the effective date elected
in the Election Form. This Section is based upon the Supreme Court decision of Central
Laborers’ Pension Fund v. Heinz, et al. that was decided on June 7,2004 and Regulation
§1.411(d)-3(b)(4) that became effective June 7,2004. The Plan is subject to the following
rules and provisions:

	 	(a)	 	Retroactive Revocation. As elected by the Sponsoring Employer in the Election
Form, the Original Amendment is hereby revoked retroactively with respect to either (1) all
accrued benefits, which are allocations that had accrued as the Applicable Amendment Date and
allocations that have accrued after the Applicable Amendment Date; or (2) only accrued
benefits as the Applicable Amendment Date, which are allocations that had accrued as the
Applicable Amendment Date. Allocations that have accrued after the Applicable Amendment Date
will continue to be subject to the restrictions with respect to the form or timing of
distributions from the Plan as enumerated in the Original Amendment.
	 
	 	(b)	 	Effect of Revocation on Benefits to Affected Participants. Benefit payments
(including any appropriate interest or actuarial increase) will resume to Affected
Participants on the execution date of this Section in the applicable optional form of benefit.
	 
	 	(c)	 	Opportunity for Eligible Participants. An Eligible Participant must be given an
opportunity to elect retroactively the commencement of payment of benefits as of the first
date on which (1) this Section is effective and (2) the Participant was eligible to commence
receipt of benefits. The following provisions apply to Eligible Participants:

	 	(1)	 	Election Period. The election period begins within a reasonable time period
after Eligible Participants have received notification of the option in accordance with
paragraph (2) below and ends no sooner than six months after notification. Reasonable
efforts must be taken to notify all Eligible Participants, including the use of the
Internal Revenue Service Letter Forwarding Program.
	 
	 	(2)	 	Notification Requirement. The Plan must provide notice of the option set
forth in this paragraph to each Eligible Participant. In addition to satisfying generally
applicable notice requirements, the notice of the option to commence payment of benefits
must be designed to be readily understood by the average Participant, and it must explain
the period for making the election as described in subparagraph (1).

	 	(d)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Affected Participant. The term “Affected Participant” means either (A) a
Participant who commenced receipt of benefits and whose benefit payments had ceased as a
result of the Original Amendment, or (B) a Participant who had applied for benefits
(including election of the optional form of benefit) and whose application for benefits
(including the form of payment) either was approved but benefits were suspended before
payments commenced as a result of the Original Amendment, or was denied as a result of the
Original Amendment.
	 
	 	(2)	 	Applicable Amendment Date. The term “Applicable Amendment Date” means the
later of the effective date of the Original Amendment or the date that the Original
Amendment was adopted.

			
	 	 	 
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	 	(3)	 	Eligible Participant. The term “Eligible Participant” is a
Participant who (A) at any time after the Applicable Amendment Date, was eligible to
commence the receipt of benefits under the Plan, determined without regard to the
suspension of benefit provisions of the Original Amendment; (B) at the same time,
engaged in service for which benefits were not permitted to commence, as determined
taking into account the Original Amendment; and (C) is not an Affected Participant
(e.g., is a Participant who did not apply for benefits).
	 
	 	(4)	 	Original Amendment. The term “Original Amendment” means a
previously-executed amendment that impermissibly restricted the form or timing of
distributions from the Plan.

	1.9	 	Certain Employees of Tax Exempt Entity Excluded From 401 (k) Plan or 401 (m) Plan.
If (a) the Plan is a Code §401(k) Plan and/or a Code §401(m) Plan; (b) the Sponsoring Employer and/or an Adopting
Employer is a tax-exempt entity described in Code §403(b)(I)(A)(i); (c) the Plan excludes
Employees who participate in a Code §403(b) plan; and (d) if elected by the Sponsoring
Employer in the Election Form, then this Section is effective for Plan Years beginning after
December 31, 1996. Employees of the tax-exempt Employer who are eligible to make Elective
Deferrals to a Code §403(b) plan are treated as excludable with respect to the Code §401(k)
Plan and/or the Code §401(m) Plan that is provided under the same general arrangement as the
Code §401(k) Plan, pursuant to Regulation §1.41O(b)-6(g)(3) that was modified July 21, 2006,
provided (a) Employees of the tax-exempt Employer are not Eligible Employees in the Code
§401(k) Plan and/or the Code §401(m) Plan; and (b) at least 95% of the Employees who are not
Employees of the tax-exempt Employer are Eligible Employees in the Code §401(k) Plan and/or
the Code §401(m) Plan.

Article 2

Post-EGTRRA Provisions Initially Effective 2007

	 
	2.1	 	Notice and Consent Requirements. This Section applies
to any Notices/Forms and Participant Elections under the
Plan and is effective as of January 1,2007:

	 	(a)	 	Right to Defer Distribution. Notices/Forms that relate to distributions
will include a description of a Participant’s right (if any) to defer receipt of a
distribution and will describe the consequences of failing to defer receipt of the
distribution, pursuant to the Regulations and other guidance provided by the Treasury
and/or Labor. Notices/Forms that are delivered to Participants before the 90th day after
the issuance of Regulations (unless future guidance requires otherwise) will include at a
minimum: (1) a description indicating the investment options available under the Plan
(including fees) that will be available if the Participant defers distribution; and (2)
the portion of the summary plan description that contains any special rules that might
materially affect a Participant’s decision to defer.
	 
	 	(b)	 	Electronic Notice and Consent. The use of an electronic medium to
provide Notices/Forms and to make Participant Elections with respect to the Plan is
permitted pursuant to the rules of this Section.

	 	(1)	 	Requirements of Electronic System. The following rules relate
to the design of an electronic system used to deliver Forms/Notices and to make
Participant Elections:

	 	(A)	 	Understandable as Paper Document. The electronic
system must be reasonably designed to provide the information in the Form/Notice
to a Recipient in a manner that is no less understandable to the Recipient than
a written paper document.
	 
	 	(B)	 	Significance of Form/Notice. The electronic system
must be designed to alert the Recipient, at the time that a Form/Notice is
provided, to the significance of the information in the Form/Notice (including
identification of the subject matter of the Form/Notice), and provide any
instructions needed to access the Form/Notice, in a manner that is readily
understandable.

	 	(2)	 	Consumer Consent Requirements. With respect to a Notice/Form,
the following consumer consent requirements must be satisfied and, in accordance with
E-SIGN §101(c)(6), the Notice/Form is not provided through the use of oral
communication or a recording of an oral communication:

			
	 	 	 
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	 	(A)	 	Consent to Electronic Delivery. The Recipient must affirmatively consent to the
delivery of the Notice/Form using an electronic medium. This consent must be either (i) made
electronically in a manner that reasonably demonstrates that the Recipient can access the
Notice/Form in the electronic medium in the form that will be used to provide the notice; or
(ii) made using a written paper document (or any other permitted form under the Regulations),
but only if the Recipient confirms the consent electronically in a manner that reasonably
demonstrates that the Recipient can access the Notice/Form in the electronic medium in the
form that will be used to provide the notice.
	 
	 	(B)	 	Withdrawal of Consumer Consent. The consent under paragraph (A) to receive
electronic delivery of Notices/Forms may be withdrawn by the Recipient at any time, and
subsequent Notices/Forms cannot be delivered electronically.
	 
	 	(C)	 	Required Disclosure Statement. The Recipient, prior to consenting under
paragraph (A), must be provided with a clear and conspicuous statement containing the
following disclosures:

	 	(i)	 	Right to Receive Paper Document. The statement informs the Recipient [a]
of any right to have the Notice/Form provided using a written paper document or other
non-electronic form; and [b] how, after having provided consent to receive the Notice/Form
electronically, the Recipient may, upon request, obtain a paper copy of the Notice/Form
and whether any fee will be charged for such copy.
	 
	 	(ii)	 	Right to Withdraw Consumer Consent. The statement informs the Recipient of
the right to withdraw consent to receive electronic delivery of a Notice/Form on a
prospective basis at any time and explains the procedures for withdrawing that consent and
any conditions, consequences, or fees in the event of the withdrawal.
	 
	 	(iii)	 	Scope of Consumer Consent. The statement informs the Recipient whether the
consent to receive electronic delivery of a Notice/Form applies only to the particular
transaction that gave rise to the Notice/Form or to other identified transactions that may
be provided or made available during the course of the parties’ relationship. The statement
may provide that a Recipient’s consent to receive electronic delivery will apply to all
future Forms/Notices of the Recipient relating to the Plan until the Recipient is no longer
a Participant in the Plan (or withdraws the consent).
	 
	 	(iv)	 	Description of the Contact Procedures. The statement describes the
procedures to update information needed to contact the Recipient electronically.
	 
	 	(v)	 	Hardware or Software Requirements. The statement describes the hardware
and software requirements needed to access and retain the Notice/Form.

	 	(D)	 	Post-Consent Change in Hardware or Software Requirements. If there is a change in
the hardware or software requirements needed to access or retain the Notice/Form after a
Recipient provides consent to receive electronic delivery and such change creates a material
risk that the Recipient will not be able to access or retain the Notice/Form in electronic
format, then (i) the Recipient must receive a statement of [a] the revised hardware or
software requirements for access to and retention of the Notice/Form; and [b] the right to
withdraw consent to receive electronic delivery without the imposition of any fees for the
withdrawal and without the imposition of any condition or consequence that was not previously
disclosed in paragraph (C); and (ii) The Recipient must reaffirm consent to receive electronic
delivery in accordance with subparagraph (A).
	 
	 	(E)	 	Exemption from Consumer Consent Requirements. If the requirements of this
paragraph (E) are satisfied, then the other requirements of paragraph (2) do not apply. This
paragraph (E) constitutes an exemption from the Consumer Consent Requirements of E-SIGN
§101(c).

	 	(i)	 	Effective Ability to Access. The electronic medium used to provide a
Notice/Form must be a medium that the Recipient has the effective ability to access; and

			
	 	 	 
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	 	(ii)	 	Free Paper Copy of Notice/Form. At the time that the
Notice/Form is provided, the Recipient must be advised that he or she may request
and receive the Notice/Form in writing on paper at no charge, and, upon request,
that Notice/Form must be provided to the Recipient at no charge.

	 	(3)	 	Participant Elections via Electronic Delivery. Participant Elections may
be made electronically, subject to the following rules:

	 	(A)	 	Effective Ability to Access. The electronic medium used to make a
Participant Election must be a medium that the person eligible to make the election is
effectively able to access. If the appropriate individual is not effectively able to
access the electronic medium for making the Participant Election, then the Participant
Election will not be treated as made available to that individual.
	 
	 	(B)	 	Authentication. The electronic system used in making Participant
Elections must be reasonably designed to preclude any person other than the appropriate
individual from making the election, based upon the facts and circumstances, including,
but not limited to, whether the Participant Election has the potential for a conflict
of interest between the individuals involved in the election.
	 
	 	(C)	 	Opportunity to Review. The electronic system used in making
Participant Elections must provide the person making the Participant Election with a
reasonable opportunity to review, confirm, modify, or rescind the terms of the election
before the election becomes effective.
	 
	 	(D)	 	Confirmation of Action. The person making the Participant Election
must receive, within a reasonable time, a confirmation of the effect of the election
through a written paper document or an electronic medium under a system that satisfies
the requirements of subparagraph (2) above.
	 
	 	(E)	 	Witnessing by a Plan Representative or Notary Public. If a
Participant Election is required to be witnessed by a Plan representative or a notary
public (such as a spousal consent under Code §417), then the signature of the
individual making the Participant Election must be witnessed in the physical presence
of a Plan representative or a notary public. An electronic notarization acknowledging a
signature (in accordance with E-SIGN §101(g) and state law applicable to notary
publics) will be given legal effect if the signature of the individual is witnessed in
the physical presence of a notary public. Future guidance by the Treasury will apply to
this paragraph, without the necessity of amending this paragraph.

	 	(4)	 	Non-applicability of Rules. The rules of this Section do not apply to any
notice, election, consent, disclosure, or obligation required under the provisions of
Title I or IV of ERISA, over which the Department of Labor or the Pension Benefit Guaranty
Corporation has interpretative and enforcement authority. The rules in this Section also
do not apply to Code §411(a)(3)(B) (relating to suspension of benefits) or any other Code
provision over which Department of Labor or the Pension Benefit Guaranty Corporation has
similar interpretative authority.
	 
	 	(5)	 	Retention of Electronic Records. If an electronic record of a Notice/Form
or a Participant Election is not maintained in a form that can be retained and accurately
reproduced for later reference, the legal effect, validity, or enforceability of such
electronic record may be denied, pursuant to E-SIGN §101(e).

	 	(c)	 	Notification Period. With respect to any Notice/Form that describes the Normal
Form of Distribution and/or the Optional Forms of Distribution, and any Participant Election
with respect to any distribution delivered to a Participant, the window for giving such
Notice/Forms and Participant Elections will begin not later than 180 days and not earlier than
30 days prior to the Annuity Starting Date (unless future guidance requires/permits
otherwise). Notwithstanding anything in this Section to the contrary, distribution of a
benefit may begin less than 30 days after such Notice/Form and/or Participant Election is
given if (1) the Administrator clearly informs the Participant that he or she has a right to a
period of at least 30 days after receiving such Noticel/Form and/or Participant Election to
consider the decision of whether or not to elect a distribution; (2) the Participant, after
receiving such Notice/Form and/or Participant Election, affirmatively elects a distribution
(or a particular distribution option); and (3) if the Plan is a money purchase plan or the
Normal Form of Distribution is a Qualified Joint and Survivor Annuity, the Participant does
not revoke the election at any time prior to the expiration of the 7-day period that begins on
the date such Notice/Form and/or Participant Election is given.

			
	 	 	 
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	 	(d)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Notice/Form. The term “Notice/Form” means any notice, report, statement, or
other document required to be provided to a Recipient under this Plan.
	 
	 	(2)	 	Participant Election. The term “Participant Election” includes any consent,
election, request, agreement, or similar communication made by or from a Participant,
Beneficiary, alternate payee, or an individual entitled to benefits under the Plan.
	 
	 	(3)	 	Recipient. The term “Recipient” means a Plan Participant, Beneficiary,
Employee, alternate payee, or any other person to whom a Notice/Form is to be provided.

	2.2	 	Direct Rollovers. This Section is effective for tax years beginning after
December 31, 2006 except as otherwise provided. Notwithstanding any provision of the Plan to the contrary that would otherwise limit
a Distributee’s election, a Distributee may elect, at the time and in the manner prescribed by
the Plan, to have any portion of an Eligible Rollover Distribution that is equal to at least
$500 paid directly to an Eligible Retirement Plan specified by the Distributee in a Direct
Rollover. If an Eligible Rollover Distribution is less than $500, a Distributee cannot make
the election described in the preceding sentence to rollover a portion of the Eligible
Rollover Distribution.

	 	(a)	 	Voluntary and Mandatory Employee Contributions as Eligible Rollover Distributions.
An Eligible Rollover Distribution may include Voluntary Employee Contributions,
Mandatory Employee Contributions, or other nontaxable amounts which are not includible in
gross income; however, the portion of an Eligible Rollover Distribution attributable to
Voluntary Employee Contributions, Mandatory Employee Contributions, or other nontaxable
amounts can be paid only in a direct Trustee-to-trustee transfer to (1) an individual
retirement account or annuity described in Code §408(a) or Code §408(b); (2) a qualified
defined contribution plan described in Code §401(a) or Code §403(a); (3) effective for tax
years beginning after December 31, 2006, a qualified defined benefit plan described in Code
§401(a) or Code §403(a); or (4) effective for tax years beginning after December 31,2006, to
an annuity contract described in Code §403(b). Such transferee plan, trust, IRA or contract
must provide separate accounting for amounts so transferred (and earnings thereon), including
separately accounting for the portion of such distribution which is includible in gross income
and the portion of such distribution which is not so includible. Furthermore, in accordance
with the Job Creation and Worker Assistance Act of 2002, when a distribution includes
Voluntary Employee Contributions, Mandatory Employee Contributions, or other nontaxable
amounts which are not includible in gross income, the amount that is rolled over will first be
attributed to amounts includible in gross income.
	 
	 	(b)	 	Direct Rollover Rules for Roth Elective Deferral Account. If the Plan permits
Roth Elective Deferrals to be made on behalf of Participants, then the provisions of this
paragraph apply to the Plan. The Plan will not provide for a Direct Rollover for distributions
from a Participant’s Roth Elective Deferral Account if the amount of the distributions that
are Eligible Rollover Distributions are reasonably expected to total less than $200 during a
year. In addition, any distribution from a Participant’s Roth Elective Deferral Account is not
taken into account in determining whether distributions from the other Participant’s
Account(s) are reasonably expected to total less than $200 during a year. Furthermore, if the
$500 threshold is elected by the Sponsoring Employer in the Election Form, then the provision
of this Section that allows a Participant to elect a Direct Rollover of only a portion of an
Eligible Rollover Distribution (but only if the amount rolled over is at least $500) is
applied by treating any amount distributed from the Participant’s Roth Elective Deferral
Account as a separate distribution from any amount distributed from the other Participant’s
Account(s), even if the amounts are distributed at the same time.
	 
	 	(c)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Direct Rollover. The term “Direct Rollover” means a payment by the Plan to
the Eligible Retirement Plan that is specified by the Distributee.
	 
	 	(2)	 	Distributee. The term “Distributee” means an Employee or former Employee.
In addition, an Employee’s or former Employee’s surviving Spouse and an Employee’s or
former Employee’s Spouse or former Spouse who is the alternate payee under a qualified
domestic relations order as defined in Code §414(p), are Distributees with regard to the
interest of the Spouse or former Spouse.

			
	 	 	 
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	 	(3)	 	Eligible Retirement Plan. The term “Eligible Retirement Plan” means, with
respect to any portion of an Eligible Rollover Distribution that is paid in a Direct
Rollover: (A) an individual retirement account described in Code §408(a); (B) an individual
retirement annuity described in Code §408(b); (C) an annuity plan described in Code
§403(a); (D) an annuity contract described in Code §403(b); (E) a qualified trust described
in Code §401(a); (F) an eligible deferred compensation plan under Code §457(b) which is
maintained by a State (or Commonwealth), a political subdivision of a State (or
Commonwealth), or any agency or instrumentality of a State (or Commonwealth) or political
subdivision of a State (or Commonwealth); and which agrees to separately account for
amounts transferred into such plan from this Plan; or (G) effective January 1,2008, a Roth
individual retirement account as described in Code §408A(b), subject to the restrictions of
Code §408A(c)(3)(B) for tax years beginning prior to January 1, 2010. This definition of
Eligible Retirement Plan will also apply in the case of a distribution to a surviving
Spouse, or to a Spouse or former Spouse who is the alternate payee under a qualified
domestic relation order, as defined in Code §414(p); such distribution will be made in the
same manner as if the Spouse was the Employee. If any portion of an Eligible Rollover
Distribution is attributable to payments or distributions from an individual’s Roth
Elective Deferral Account (or the segregated portion of an individual’s Rollover
Contribution Account that is attributable to Roth Elective Deferrals), then an Eligible
Retirement Plan with respect to such portion will only be either another plan’s designated
Roth account of the individual from whose account the payments or distributions were made,
or such individual’s Roth individual retirement account as described in Code §408A(b).
	 
	 	(4)	 	Eligible Rollover Distribution. The term “Eligible Rollover Distribution”
means any distribution of all or any portion of the balance to the credit of the
Distributee, except that an Eligible Rollover Distribution does not include: (A) any
distribution that is one of a series of substantially equal periodic payments (not less
frequently than annually) made for the life (or life expectancy) of the Distributee or the
joint lives (or joint life expectancies) of the Distributee and the Distributee’s
designated beneficiary, or for a specified period of ten years or more; (B) any
distribution to the extent that such distribution is a required minimum distribution under
Code §401(a)(9); (C) if applicable to the Plan, the portion of any distribution that is not
includible in gross income (determined without regard to the exclusion for net unrealized
appreciation with respect to Employer securities); (D) if applicable to the Plan,
corrective distributions of: (i) Excess Deferrals as described in Regulation
§1.402(g)-I(e)(3) including any income allocable to such corrective distributions; (ii)
Excess Contributions under a 401(k) Plan described in Regulation §1.401(k)-I(t)(4)
including any income allocable to such corrective distributions; and (iii) Excess Aggregate
Contributions described in Regulation §1.401(m)-2(b)(2) including any income allocable to
such distributions; (E) if applicable to the Plan, loans that are treated as deemed
distributions pursuant to Code §72(p) (F) if applicable to the Plan, dividends paid on
Employer securities as described in Code §404(k); (G) if applicable to the Plan, the costs
of life insurance coverage (P.S. 58 costs); (H) if applicable to the Plan, prohibited
allocations that are treated as deemed distributions pursuant to Code §409(p); (I) if
applicable to the Plan, the portion of any distribution which is attributable to a
financial hardship distribution; (J) if applicable to the Plan, effective for Plan Years
beginning on or after January 1, 2008, a distribution that is a permissible withdrawal from
an eligible automatic contribution arrangement within the meaning of Code §414(w); and (K)
any other distribution that is reasonably expected to total less than $200 during a year.

	2.3	 	Qualified Domestic Relations Orders. This Section is effective as of April 6,
2007. The term “Qualified Domestic Relations Order” or “QRDO” is amended to include (a) an order that is issued with
respect to another domestic relations order or QDRO, including an order that revises or
amends a prior order; (b) an order issued after the Participant’s Annuity Starting Date or
death; or (c) an order that names as the alternate payee a person deemed financially
dependent upon the Participant, provided that the other requirements for a QDRO as set forth
in the Plan’s QDRO procedure and/or as defined in Code §414(p) are satisfied.
	 
	2.4	 	Determination Whether Partial Termination of the Plan Has Occurred. The
determination of whether a partial termination of the Plan has occurred under Code §411(d)(3) depends on the facts and
circumstances, pursuant to Revenue Ruling 2007-43. This determination is based upon the
following provisions:

	 	(a)	 	Extent to which Participants have a Termination of Employment. If the Turnover
Rate is at least 20 percent, there is a presumption that a partial termination of the Plan
has occurred.

			
	 	 	 
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	 	(b)	 	Transfer to Affiliated Employer. Employees who have a Termination of Employment
with the Employer on account of a transfer to an Affiliated Employer are not considered as
having a Termination of Employment for purposes of calculating the Turnover Rate, if those
Employees continue to be covered by the Plan or a plan that is a continuation of the Plan
under which they were previously covered.
	 
	 	(c)	 	Facts and Circumstances. Whether a partial termination of the Plan occurs on
account of Participant turnover (and the time of such event) depends on all the facts and
circumstances in a particular case. Facts and circumstances indicating that the Turnover Rate
for an Applicable Period is routine for the Employer favor a finding that there is no partial
termination for that Applicable Period. For this purpose, information as to the Turnover Rate
in other Applicable Periods and the extent to which Employees who Terminated Employment were
actually replaced, whether the new Employees performed the same functions, had the same job
classification or title, and received comparable Compensation are relevant to determining
whether the turnover is routine for the Employer.
	 
	 	(d)	 	Effect of Partial Termination. If a partial termination occurs on account of
turnover during an Applicable Period, then all Participants who had a Termination of
Employment during the Applicable Period must be fully Vested in the amounts credited to their
Participant’s Accounts.
	 
	 	(e)	 	Other Circumstances that May Trigger Partial Termination. A partial termination
of the Plan can also occur for reasons other than turnover. A partial termination can occur
due to Plan amendments that adversely affect the rights of Employees to Vest in benefits
under the Plan, or Plan amendments that exclude a group of Employees who have previously been
covered by the Plan.
	 
	 	(f)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Applicable Period. The term “Applicable Period” means a period that
depends upon the facts and circumstances: the Applicable Period is a Plan Year (or, if a
Plan Year that is less than 12 consecutive months, then the Plan Year plus the immediately
preceding Plan Year) or a longer period if there are a series of related Terminations of
Employment.
	 
	 	(2)	 	Employer-Initiated Termination of Employment. The term “Employer-Initiated
Termination of Employment” means generally any Termination of Employment other than a
Termination of Employment on account of death, Disability, or retirement on or after
Normal Retirement Age. An Employee’s Termination of Employment is an Employer-Initiated
Termination of Employment even if it is caused by an event outside of the Employer’s
control, such as Termination of Employment due to depressed economic conditions. In
certain situations, the Employer may be able to verify that a Termination of Employment is
not an Employer-Initiated Termination of Employment; a claim that a Termination of
Employment is purely voluntary can be supported through items such as information from
personnel files, Employee statements, and other corporate records.
	 
	 	(3)	 	Turnover Rate. The term “Turnover Rate” means the percentage equal to the
number of Participants who had an Employer-Initiated Termination of Employment during the
Applicable Period, divided by the sum of (A) all Participants at the start of the
Applicable Period, plus (B) the Employees who became Participants during the Applicable
Period. All Participants are taken into account in calculating the Turnover Rate,
including Vested Participants and non Vested Participants.

	2.5	 	Code §415 Limitations Under the Final Code §415 Regulations. This Section is
effective as of the first day of the first Limitation Year beginning on or after July 1,2007 except as may otherwise be
provided herein, and this Section applies for all Plan purposes.

	 	(a)	 	Maximum Annual Addition. The maximum Annual Addition made to a Participant’s
Account maintained under the Plan for any Limitation Year will not exceed the lesser of the
Dollar Limitation set forth in paragraph (a)(I) or the Compensation Limitation set forth in
paragraph (a)(2), as adjusted in the remainder of this Section (a), as follows:

	 	(1)	 	Dollar Limitation. The Dollar Limitation is $40,000, as adjusted by the
Treasury in accordance with Code §415(d).

			
	 	 	 
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	 	(2)	 	Compensation Limitation. The Compensation Limitation is an amount equal to 100%
of the Participant’s Code §415(c)(3) Compensation for the Limitation Year. However, this
limitation will not apply to any contribution made for medical benefits within the meaning of
Code §401(h) or Code §419A(t)(2) after separation from service which is otherwise treated as
an Annual Addition under Code §415(1)(1) or Code §419A(d)(2).
	 
	 	(3)	 	Adjustments to Maximum Annual Addition. In applying the limitation on Annual
Additions set forth herein, the following adjustments must be made:

	 	(A)	 	Short Limitation Year. In a Limitation Year of less than 12 months, the
Defined Contribution Dollar Limitation in paragraph (a)(I) will be adjusted by multiplying
it by the ratio that the number of months in the short Limitation Year bears to 12.
	 
	 	(B)	 	Plans with Different Limitation Years. If a Participant participates in
multiple Defined Contribution Plans sponsored by the Employer with different Limitation
Years, the maximum Annual Addition in this Plan for the Limitation Year will be reduced by
the Annual Additions credited to the Participant’s accounts in the other plans for such
Limitation Year.
	 
	 	(C)	 	Plans with the Same Limitation Year. If a Participant participates in
multiple Defined Contribution Plans sponsored by the Employer which have the same
Limitation Year, then (i) if only one of the plans is subject to Code §412, Annual
Additions will first be credited to the Participant’s accounts in the plan so subject; and
(ii) if none of the plans are subject to Code §412, the maximum Annual Addition in this
Plan for a given Limitation Year will either [a] equal the product of the maximum Annual
Addition for such Limitation Year minus any other Annual Additions previously credited to
the Participant’s account, multiplied by the ratio that the Annual Additions which would
be credited to a Participant’s accounts hereunder without regard to the limitations
regarding the Aggregation of Plans in paragraph (b) bears to the Annual Additions for all
plans described in this paragraph, or [b] be reduced by the Annual Additions credited to
the Participant’s accounts in the other plans for such Limitation Year.
	 
	 	(D)	 	Adjustment for Excessive Annual Additions. If for any Limitation Year the
Annual Additions allocated to a Participant’s Account exceeds the maximum Annual Addition
permitted under this Section, then the Sponsoring Employer will follow the rules of any
Employee Plans Compliance Resolution System (EPCRS) that is issued by the Internal Revenue
Service.

	 	(b)	 	Aggregation of Plans. This Section (b) aggregates plans for purposes of applying
the provisions of this Section and the rules of Regulation § 1.415(t)-1.

	 	(1)	 	General Rule. Except as provided in this Section and Regulation §1.415(t)-1, for
purposes of applying the limitations of this Section and Code §415(c) applicable to a
Participant for a particular Limitation Year (A) all Defined Contribution Plans (without
regard to whether a plan has been terminated) ever maintained by the Employer (or a
predecessor Employer) under which the Participant receives Annual Additions are treated as
one Defined Contribution Plan; and (B) all 403(b) annuity contracts purchased by an Employer
(including plans purchased through salary reduction contributions) for the Participant are
treated as one 403(b) annuity contract.
	 
	 	(2)	 	Affiliated Employers and Leased Employees. All Employees of all Affiliated
Employers are treated as employed by a single Employer for Code §415 purposes. Any Defined
Contribution Plan maintained by any Affiliated Employer is deemed maintained by all
Affiliated Employers. Furthermore, under Code §414(n), with respect to any recipient for whom
a Leased Employee performs services, the Leased Employee is treated as an Employee of the
recipient, but contributions or benefits provided by the leasing organization that are
attributable to services performed for the recipient are treated as provided under the plan
maintained by the recipient. However, under Code §414(n)(5), the rule of the previous
sentence does not apply to a Leased Employee with respect to services performed for a
recipient if (A) the Leased Employee is covered by a plan that is maintained by the leasing
organization and that meets the requirements of Code §414(n)(5)(B); and (B) Leased Employees
do not constitute more than 20% of the recipient’s non-highly compensated workforce.

			
	 	 	 
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	 	(3)	 	Formerly Affiliated Plan of an Employer. A Formerly Affiliated Plan of an
Employer is taken into account for purposes of applying the aggregation rules of this Section
to the Employer, but the Formerly Affiliated Plan of an Employer is treated as if it had
terminated immediately prior to the cessation of affiliation, and had purchased annuities to
provide benefits. For purposes of this paragraph, the term “Formerly Affiliated Plan of an
Employer” means a plan that, immediately prior to the Cessation of Affiliation, was actually
maintained by one or more of the entities that constitute the Employer (as determined under
the employer affiliation rules described in Regulation §1.415(a)-I(f)(I) and (2)), and
immediately after the Cessation of Affiliation, is not actually maintained by any of the
entities that constitute the Employer (as determined under the employer affiliation rules
described in Regulation § 1.415(a)-I(f)(I) and (2)). For purposes of this paragraph, the term
“Cessation of Affiliation” means the event that causes an entity to no longer be aggregated
with one or more other entities as a single Employer under the employer affiliation rules
described in Regulation §1.415(a)-I(f)(I) and (2) (such as the sale of a subsidiary outside a
controlled group), or that causes a plan to not actually be maintained by any of the entities
that constitute the Employer under the employer affiliation rules of Regulation §
1.415(a)-I(f)(I) and (2) (such as a transfer of plan sponsorship outside of a controlled
group).
	 
	 	(4)	 	Predecessor Employer. For purposes of Code §415 and Regulations promulgated
thereunder, a former employer is a predecessor employer with respect to a Participant in the
Plan maintained by the Employer if the Employer maintains the Plan under which the
Participant had accrued a benefit while performing services for the former employer (for
example, the Employer assumed sponsorship of the former employer’s plan, or the Plan received
a transfer of benefits from the former employer’s plan), but only if that benefit is provided
under the Plan maintained by the Employer. In applying the limitations of Code §415 to a
Participant in the Plan maintained by the Employer, the Plan must take into account benefits
provided to the Participant under plans that are maintained by the predecessor employer and
that are not maintained by the Employer; the Employer and predecessor employer constituted a
single Employer under the rules described in Regulation §1.415(a)-I(f)(I) and (2) immediately
prior to the cessation of affiliation (as if they constituted two, unrelated employers under
the rules described in Regulation §1.415(a)-I(f)(I) and (2) immediately after the cessation
of affiliation) and cessation of affiliation was the event that gives rise to the predecessor
employer relationship, such as a transfer of benefits or plan sponsorship. However, with
respect to the Employer of the Participant, a former entity that antedates the Employer is a
predecessor employer with respect to the Participant if, under the facts and circumstances,
the Employer constitutes a continuation of all or a portion of the trade or business of the
former entity. This occurs where formation of the Employer constitutes a mere formal or
technical change in the employment relationship and continuity otherwise exists in the
substance and administration of the business operations of the former entity and the
Employer.
	 
	 	(5)	 	Nonduplication. In applying the limitations of Code §415 to the Plan
maintained by an Employer, if the Plan is aggregated with another plan pursuant to the
aggregation rules of this Section, then a Participant’s benefits are not counted more than
once in determining the Participant’s aggregate Annual Additions, pursuant to the rules of
Regulation § 1.415(f)-I(d)(I).
	 
	 	(6)	 	Previously Unaggregated Plans. The following rule applies to situations in
which two or more existing plans, which previously were not required to be aggregated
pursuant to Code §415(f), are aggregated during a particular Limitation Year and, as a
result, the limitations of Code §415(b) or (c) are exceeded for that Limitation Year. Two or
more Defined Contribution Plans that are not required to be aggregated pursuant to Code
§415(f) as of the first day of a Limitation Year satisfy the requirements of Code §415 with
respect to a Participant for the Limitation Year if they are aggregated later in that
Limitation Year, provided that no Annual Additions are credited to the Participant’s Account
after the date on which the plans are required to be aggregated.
	 
	 	(7)	 	Multiple Plan Fraction. The provisions of Code §415(e) shall not apply to
this Plan for Limitation Years beginning on or after January 1,2000 (or, if later, the first
day of the Limitation Year in which Code §415(e) is not applicable to the Plan in whole or in
part, pursuant to the provisions of the prior Plan document or separate Plan amendment).

			
	 	 	 
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	 	(c)	 	Definitions. As used in this Section and for all Plan purposes, the following
words and phrases have the following meanings:

	 	(1)	 	Annual Additions. The term “Annual Additions” means the sum of the following
amounts credited to a Participant’s Account for the Limitation Year:

	 	(A)	 	Amounts That Are Included. The following amounts are included as Annual
Additions: (i) Employer contributions, even if such contributions are Excess Contributions
(as described in Code §401(k)(8)(B)) or Excess Aggregate Contributions (as described in Code
§401(m)(6)(B)), or such Excess Contributions or Excess Aggregate Contributions are corrected
through distribution; (ii) Employee Contributions, including Mandatory Employee Contributions
(as defined in Code §411(c)(2)(C) and the Regulations thereunder) and Voluntary Employee
Contributions; (iii) Forfeitures; (iv) contributions allocated to any individual medical
account, as defined in Code §415(1)(2), which is part of a pension or annuity plan
established pursuant to Code §401(h) and maintained by the Employer; (v) amounts attributable
to post-retirement medical benefits allocated to a separate account for a Key Employee (any
Employee who, at any time during the plan year or any preceding plan year, is or was a Key
Employee pursuant to Code §419A(d)), maintained by the Employer; and (vi) effective as of the
first day of the first Limitation Year beginning on or after July 1, 2007, the difference
between the value of any assets transferred to the Plan and the consideration, where an
Employee or the Employer transfers assets to the Plan in exchange for consideration that is
less than the fair market value of the assets transferred to the Plan.
	 
	 	(B)	 	Amounts That Are Not Included. Notwithstanding subparagraph (A), a Participant’s
Annual Additions do not include the following: (i) the restoration of an Employee’s accrued
benefit by the Employer under Code §411(a)(3)(D) or Code §411(a)(7)(C) or resulting from the
repayment of cashouts (as described in Code §415(k)(3)) under a governmental plan (as defined
in Code §414(d)) for the Limitation Year in which the restoration occurs, regardless of
whether the Plan restricts the timing of repayments to the maximum extent allowed by Code
§411(a); (ii) Catch-Up Contributions made under Code §414(v) and Regulation §1.414(v)-I;
(iii) effective as of the first day of the first Limitation Year beginning on or after July
1, 2007, a Restorative Payment that is allocated to a Participant’s Account. For purposes of
this clause, the term “Restorative Payment” means a payment made to restore some or all of
the Plan’s losses resulting from an action (or a failure to act) by a fiduciary for which
there is reasonable risk of liability for breach of a fiduciary duty (other than a breach of
fiduciary duty arising from failure to remit contributions to the Plan) under ERISA or under
other applicable federal or state law, where Participants who are similarly situated are
treated similarly with respect to the payments. This includes payments to the Plan made
pursuant to a Department of Labor order, the Department of Labor’s Voluntary Fiduciary
Correction Program, or a court-approved settlement, to restore losses to a qualified Defined
Contribution Plan. Payments made to the Plan to make up for losses due merely to market
fluctuations and other payments that are not made on account of a reasonable risk of
liability for breach of a fiduciary duty under Title I of ERISA are not Restorative Payments
and generally constitute contributions that give rise to Annual Additions; (iv) Excess
Elective Deferrals that are distributed in accordance with Regulation §1.402(g)-I(e)(2) or
(3); (v) Rollover Contributions (as described in Code §401(a)(31), §402(c)(I), §403(a)(4),
§403(b)(8), §408(d)(3), and §457(e)(16)); (vi) repayments of loans made to a Participant from
the Plan; (vii) repayments of prior Plan distributions described in Code §411(a)(7)(B) (in
accordance with Code §411(a)(7)(C)) and Code §411(a)(3)(D) or repayment of contributions to a
governmental plan (as defined in Code §414(d)) as described in Code §415(k)(3); (viii)
Transfer Contributions from a qualified plan to a Defined Contribution Plan; (ix) the
reinvestment of dividends on Employer securities under an employee stock ownership plan
pursuant to Code §404(k)(2)(A)(iii)(II); and (x) Employee contributions to a qualified cost
of living arrangement within the meaning of Code §415(k)(2)(B).

	 	(2)	 	Code §415(c)(3) Compensation. The term “Code §415(c)(3) Compensation” means, for
the specific purposes and as elected by the Sponsoring Employer in the Election Form, either
Form W-2 Compensation, Code §3401 Compensation, Safe Harbor Code §415 Compensation, or
Statutory Code §415 Compensation during the entire Compensation Determination Period that
statutorily applies, subject to the following rules:

			
	 	 	 
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	 	(A)	 	Exclusions to Compensation Do Not Apply. Code §415(c)(3) Compensation
includes any amounts that may be excluded from Compensation for purposes of allocation
purposes.
	 
	 	(B)	 	Inclusion of Certain Amounts. Code §415(c)(3) Compensation includes any
Elective Deferral as defined in Code §402(g)(3) and any amount which is contributed or
deferred by the Employer at the election of the Employee which are not includible in gross
income by reason of Code §125 (and Deemed Code §125 Compensation), Code §132(t)(4), or Code
§457.
	 
	 	(C)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005, Code
§415(c)(3) Compensation includes Post-Severance Compensation.
	 
	 	(D)	 	Code §401 (a)(17) Annual Compensation Limit. Effective as of the first day
of the first Limitation Year beginning on or after July 1, 2007, Code §415(c)(3)
Compensation for any Limitation Year shall not exceed the Code §401(a)(17) Compensation
Limit that applies to that Limitation Year. If the Limitation Year is not the calendar
year, then the Code §401(a)(17) Compensation Limit that applies to such Limitation Year is
the Code §401(a)(17) Compensation Limit in effect for the respective calendar year in which
such Limitation Year begins.
	 
	 	(E)	 	Compensation Earned in Limitation Year but Paid in Next Limitation Year. If
elected by the Sponsoring Employer in the Election Form, then effective as of the first day
of the first Limitation Year beginning on or after July 1, 2007, Code §415(c)(3)
Compensation for any Limitation Year will include any amounts earned during that Limitation
Year but not paid during that Limitation Year solely because of the timing of pay periods
and pay dates if: (i) these amounts are paid during the first few weeks of the next
Limitation Year; (ii) the amounts are included on a uniform and consistent basis with
respect to all similarly situated Employees; and (iii) no Code §415(c)(3) Compensation is
included in more than one Limitation Year.
	 
	 	(F)	 	Self-Employed Individuals. Code §415(c)(3) Compensation of a Self-Employed
Individual will be equal to his or her Earned Income, plus amounts deferred at the election
of the Self-Employed Individual that would be includible in gross income but for the rules
of Code §402(e)(3), §402(h)(I)(B), §402(k), or §457(b).

	 	(3)	 	Defined Contribution Plan. The term “Defined Contribution Plan” means a defined
contribution plan within the meaning of Code §414(i) (including the portion of a plan treated
as a defined contribution plan under the rules of Code §414(k)) that is (A) a plan described
in Code §401(a) which includes a trust which is exempt from tax under Code §501(a); (B) an
annuity plan described in Code §403(a); (C) a simplified employee pension described in Code
§408(k); (D) an arrangement which is treated as a Defined Contribution Plan for purposes of
this Section, Code §415 and the Regulations promulgated thereunder, according to the following
rules: (i) Mandatory Employee Contributions (as defined in Code §411(c)(2)(C) and Regulation
§1.411(c)-I(c)(4), regardless of whether the Plan is subject to the requirements of Code §411)
to a defined benefit plan, are treated as contributions to a Defined Contribution Plan. For
this purpose, contributions that are picked up by the Employer as described in Code §414(h)(2)
are not considered Employee Contributions; (ii) contributions allocated to any individual
medical benefit account which is part of a pension or annuity plan established pursuant to
Code §401(h) are treated as contributions to a Defined Contribution Plan pursuant to Code
§415(1)(1); (iii) amounts attributable to post-retirement medical benefits allocated to an
account established for a Key Employee (any Employee who, at any time during the plan year or
any preceding plan year, is or was a Key Employee pursuant to Code §419A(d)(I)) are treated as
contributions to a Defined Contribution Plan pursuant to Code §419A(d)(2); and (iv) Annual
Additions under an annuity contract described in Code §403(b) are treated as Annual Additions
under a Defined Contribution Plan.
	 
	 	(4)	 	Safe Harbor Code §415 Compensation. The term “Safe Harbor Code §415 Compensation”
means an Employee’s compensation determined under Regulation §1.415(c)-2(d)(2), to wit: the
Employee’s wages, salaries, fees for professional services, and other amounts received
(without regard to whether or not an amount is paid in cash) for personal services actually
rendered in the course of employment with the Employer maintaining the Plan, to the extent
that the amounts are includible in gross income (or to the extent amounts would have been
received and includible in gross income but for an election under

			
	 	 	 
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Code §125(a), 132(t)(4), 402(e)(3), 402(h)(I)(B), 402(k), or 457(b)). These amounts include, but
are not limited to, commissions paid to salespersons, compensation for services on the basis of a
percentage of profits, commissions on insurance premiums, tips, bonuses, fringe benefits, and
reimbursements or other expense allowances under a non-accountable plan as described in Regulation
§1.62-2(c); and in the case of an Employee who is an Employee within the meaning of Code §401(c)(I)
and Regulations promulgated under Code §401(c)(I), the Employee’s Earned Income (as described in
Code §401(c)(2) and Regulations promulgated under Code §401(c)(2)), plus amounts deferred at the
election of the Employee that would be includible in gross income but for the rules of Code
§402(e)(3), 402(h)(I)(B), 402(k), or 457(b); An Employee’s Safe Harbor Code §415 Compensation will
be determined in accordance with the following provisions:

	 	(A)	 	Exclusion of Certain Amounts. Safe Harbor Code §415 Compensation does not
include (1) Contributions (other than elective contributions described in Code §402(e)(3),
§408(k)(6), §408(p)(2)(A)(i), or §457(b)) made by the Employer to a plan of deferred
compensation (including a simplified employee pension described in Code §408(k) or a simple
retirement account described in Code §408(p), and whether or not qualified) to the extent
that the contributions are not includible in the gross income of the Employee for the taxable
year in which contributed. In addition, any distributions from a plan of deferred
compensation (whether or not qualified) are not considered Safe Harbor Code §415
Compensation, regardless of whether such amounts are includible in the gross income of the
Employee when distributed. However, any amounts received by an Employee pursuant to a
nonqualified unfunded deferred compensation plan are Safe Harbor Code §415 Compensation in
the year the amounts are actually received, but only to the extent such amounts are
includible in the Employee’s gross income; (2) Amounts realized from the exercise of a
nonstatutory option (which is an option other than a statutory option as defined in
Regulation §1.421-1(b)), or when restricted stock or other property held by an Employee
either becomes freely transferable or is no longer subject to a substantial risk of
forfeiture pursuant to Code §83 and Regulations promulgated under Code §83); (3) Amounts
realized from the sale, exchange, or other disposition of stock acquired under a statutory
stock option (as defined in Regulation §1.421-1(b)); (4) Other amounts that receive special
tax benefits, such as premiums for group term life insurance (but only to the extent that the
premiums are not includible in the gross income of the Employee and are not salary reduction
amounts that are described in Code §125); and (5) Other items of remuneration that are
similar to any of the items listed in clauses (1) through (4) of this paragraph.
	 
	 	(B)	 	Inclusion of Certain Amounts. Safe Harbor Code §415 Compensation includes any
Elective Deferral as defined in Code §402(g)(3) and any amount which is contributed or
deferred by the Employer at the election of the Employee which are not includible in gross
income by reason of Code §125 (and Deemed Code §125 Compensation), Code §132(t)(4), or Code
§457.
	 
	 	(C)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005, Safe
Harbor Code §415 Compensation includes Post-Severance Compensation.

	 	(5)	 	Statutory Code §415 Compensation. The term “Statutory Code §415 Compensation”
means, in applying the Code §415 limits, an Employee’s compensation as determined under
Regulation §1.415(c)2(b) and (c), to wit:

	 	(A)	 	Amounts Includable. Statutory Code §415 Compensation includes remuneration
for services of the following types: (1) The Employee’s wages, salaries, fees for
professional services, and other amounts received (without regard to whether or not an amount
is paid in cash) for personal services actually rendered in the course of employment with the
Employer maintaining the Plan, to the extent that the amounts are includible in gross income
(or to the extent amounts would have been received and includible in gross income but for an
election under Code §125(a), 132(t)(4), 402(e)(3), 402(h)(I)(B), 402(k), or 457(b)). These
amounts include, but are not limited to, commissions paid to salespersons, compensation for
services on the basis of a percentage of profits, commissions on insurance premiums, tips,
bonuses, fringe benefits, and reimbursements or other expense allowances under a
nonaccountable plan as described in Regulation §1.62-2(c); (2) In the case of an Employee who
is an Employee within the meaning of Code §401(c)(I) and Regulations promulgated under Code
§401(c)(I), the Employee’s Earned Income (as described in Code §401(c)(2) and Regulations
promulgated under Code §401(c)(2)), plus amounts deferred at the election of the Employee
that would be includible in gross income but for the rules of

			
	 	 	 
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Code §402(e)(3), 402(h)(I)(B), 402(k), or 457(b); (3) Amounts described in Code §104(a)(3),
105(a), or 105(h), but only to the extent that these amounts are includible in the gross income
of the Employee; (4) Amounts paid or reimbursed by the Employer for moving expenses incurred by
an Employee, but only to the extent that at the time of the payment it is reasonable to believe
that these amounts are not deductible by the Employee under Code §217; (5) The value of a
nonstatutory option (which is an option other than a statutory option as defined in Regulation
§1.421-1(b)) granted to an Employee by the Employer, but only to the extent that the value of
the option is includible in the gross income of the Employee for the taxable year in which
granted; (6) the amount includible in the gross income of an Employee upon making the election
described in Code §83(b); and (7) Amounts that are includible in the gross income of an Employee
under the rules of Code §409A or §457(f)(I)(A) or because the amounts are constructively
received by the Employee.

	 	(B)	 	Exclusion of Certain Amounts. Statutory Code §415 Compensation does not include
(1) Contributions (other than elective contributions described in Code §402(e)(3),
§408(k)(6), §408(p)(2)(A)(i), or §457(b)) made by the Employer to a plan of deferred
compensation (including a simplified employee pension described in Code §408(k) or a simple
retirement account described in Code §408(p), and whether or not qualified) to the extent
that the contributions are not includible in the gross income of the Employee for the taxable
year in which contributed. In addition, any distributions from a plan of deferred
compensation (whether or not qualified) are not considered Statutory Code §415 Compensation,
regardless of whether such amounts are includible in the gross income of the Employee when
distributed. However, any amounts received by an Employee pursuant to a nonqualified unfunded
deferred compensation plan are Statutory Code §415 Compensation in the year the amounts are
actually received, but only to the extent such amounts are includible in the Employee’s gross
income; (2) Amounts realized from the exercise of a nonstatutory option (which is an option
other than a statutory option as defined in Regulation §1.421-1(b)), or when restricted stock
or other property held by an Employee either becomes freely transferable or is no longer
subject to a substantial risk of forfeiture pursuant to Code §83 and Regulations promulgated
under Code §83); (3) Amounts realized from the sale, exchange, or other disposition of stock
acquired under a statutory stock option (as defined in Regulation §1.421-1(b)); (4) Other
amounts that receive special tax benefits, such as premiums for group term life insurance
(but only to the extent that the premiums are not includible in the gross income of the
Employee and are not salary reduction amounts that are described in Code §125); and (5) Other
items of remuneration that are similar to any of the items listed in clauses (1) through (4)
of this paragraph.
	 
	 	(C)	 	Inclusion of Certain Amounts. Statutory Code §415 Compensation includes any
Elective Deferral as defined in Code §402(g)(3) and any amount which is contributed or
deferred by the Employer at the election of the Employee which are not includible in gross
income by reason of Code § 125 (and Deemed Code §125 Compensation), Code §132(f)(4), or Code
§457.
	 
	 	(D)	 	Treatment of Post-Severance Compensation. Effective January 1, 2005, Statutory
Code §415 Compensation includes Post-Severance Compensation.

	 	(6)	 	Post-Severance Compensation. The term “Post-Severance Compensation” means, for
Limitation Years beginning on or after July 1,2007, the following amounts that would have
been included as Code §415(c)(3) Compensation if the amounts were paid prior to the
Employee’s Termination of Employment and that are paid to the Employee by the later of 2V2
months after Termination of Employment or the end of the Limitation Year that includes the
Employee’s date of Termination of Employment:

	 	(A)	 	Regular Pay After Termination. Regular pay after Termination of Employment will
be considered Post-Severance Compensation if (i) the payment is regular compensation for
services during the Employee’s regular working hours, or compensation for services outside
the Employee’s regular working hours (such as overtime or shift differential), commissions,
bonuses, or other similar payments; and (ii) the payment would have been paid prior to
Termination of Employment if the Employee had continued in employment with the Employer.

			
	 	 	 
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	 	(B)	 	Leave Cashouts and Deferred Compensation. If elected by the
Sponsoring Employer in the Election Form, then leave cashouts and deferred compensation
will be considered Post-Severance Compensation if the amount is either (i) payment for
unused accrued bona fide sick, vacation, or other leave, but only if the Employee would
have been able to use the leave if employment had continued; or (ii) received by an
Employee pursuant to a nonqualified unfunded deferred compensation plan, but only if
the payment would have been paid to the Employee at the same time if the Employee had
continued in employment with the Employer and only to the extent that the payment is
includible in the Employee’s gross income.
	 
	 	(C)	 	Imputed Compensation when Participant Becomes Disabled. If elected
by the Sponsoring Employer in the Election Form and a Participant in a Defined
Contribution Plan becomes permanently and totally disabled as defined in Code
§22(e)(3), then notwithstanding anything in the Plan or this Section to the contrary,
Code §415(c)(3) Compensation will be imputed during the time the Participant is
permanently and totally disabled. The rate that Code §415(c)(3) Compensation will be
imputed to such Participant is equal to the rate of Code §415(c)(3) Compensation that
was paid to the Participant immediately before becoming permanently and totally
disabled. The total period in which Code §415(c)(3) Compensation will be imputed to a
Participant in the Defined Contribution Plan who becomes permanently and totally
disabled will be determined pursuant to a nondiscriminatory policy established by the
Administrator; however, if Code §415(c)(3) Compensation is imputed to a Participant who
is a Highly Compensated Employee pursuant to this paragraph, then the continuation of
any Non-Safe Harbor Non-Elective Contributions to such Participant will be for a fixed
or determinable period pursuant to Code §415(c)(3)(C).
	 
	 	(D)	 	Continuation of Compensation while in Qualified Military Service.
If elected by the Sponsoring Employer in the Election Form, then notwithstanding
anything in the Plan or this Section to the contrary, Code §415(c)(3) Compensation
includes payments by the Employer to an individual who does not currently perform
services for the Employer by reason of qualified military service (as that term is used
in Code §414(u)(I)), to the extent those payments do not exceed the amounts the
individual would have received if the individual had continued to perform services for
the Employer rather than entering qualified military service.

	2.6	 	Vesting of Non-Safe Harbor Non-Elective Contribution Accounts. If elected by
the Sponsoring Employer in the Election Form, then this Section is effective as of the first day of the first Plan Year
beginning after December 31, 2006. This Section applies to the Non-Safe Harbor Non-Elective
Contribution Accounts of the Plan, subject to the following rules and provisions:

	 	(a)	 	Participants to Whom the Post-2006 Vesting Schedule Relates. As elected by the
Sponsoring Employer in the Election Form, the Post-2006 Vesting Schedule applies to the
Non-Safe Harbor Non-Elective Contribution Account of either: (1) any Participant who completes
an Hour of Service during any Plan Year beginning after December 31, 2006; or (2) any
Participant (regardless of whether such Participant has Terminated Employment) who has a
Non-Safe Harbor Non-Elective Contribution Account balance during any Plan Year beginning after
December 31,2006 and whose Non-Safe Harbor Non-Elective Contribution Account has not become
subject to the Forfeiture provisions of the Plan prior to the first day of the first Plan Year
beginning after December 31,2006.
	 
	 	(b)	 	Account Balances to Which the Post-2006 Vesting Schedule Relates. As elected by
the Sponsoring Employer in the Election Form, the Post-2006 Vesting Schedule applies to either
(1) the entire Non-Safe Harbor Non-Elective Contribution Account; or (2) the portion of the
Non-Safe Harbor Non-Elective Contribution Account to which is allocated Non-Safe Harbor
Non-Elective Contributions, Forfeitures, and earnings for Plan Years beginning after December
31, 2006 (and subsequent earnings attributable to such allocations). The portion of the
Non-Safe Harbor Non-Elective Contribution Account to which was allocated Non-Safe Harbor
Non-Elective Contributions, Forfeitures, and earnings for Plan Years beginning prior to
January 1, 2007 (and subsequent earnings attributable to such allocations) will remain subject
to the Pre2007 Vesting Schedule without regard to this Section or the Vesting schedule
selected in the current Plan document that applies to Non-Safe Harbor Non-Elective
Contribution Accounts.

			
	 	 	 
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	 	(c)	 	Protection of Participant’s Vested Interest. This Section will not directly or
indirectly reduce a Participant’s Vested Interest in his or her Non-Safe Harbor Non-Elective
Contribution Account. Notwithstanding the foregoing, in the case of an Employee who is a
Participant as of the later of (1) the date that this Section is adopted or (2) the date that
this Section becomes effective, the Participant’s Vested Interest in his or her Non-Safe
Harbor Non-Elective Contribution Account determined as of such date will not be less than the
Participant’s Vested Interest in his or her Non-Safe Harbor Non-Elective Contribution Account
computed by using the Pre-2007 Vesting Schedule.
	 
	 	(d)	 	Participant’s Special Election. Any Participant with at least three Years of
Service or I-Year Periods of Service, as applicable, for Vesting purposes may, by filing a
written request with the Administrator, elect to have the Vested Interest in his or her
Non-Safe Harbor Non-Elective Contribution Account computed by using the Pre-2007 Vesting
Schedule. A Participant who fails to make an election will have the Vested Interest in his or
her Non-Safe Harbor Non-Elective Contribution Account computed by using the Post-2006 Vesting
Schedule. The period in which the election may be made will begin on the date that this
Section is adopted or is deemed to have been made and will end on the latest of: (1) sixty
days after this Section is adopted; (2) sixty (60) days after this Section becomes effective;
or (3) sixty days after the Participant is given written notice of this Section by the
Sponsoring Employer or Administrator. However, no election need be provided to any
Participant whose Vested percentage on and after the first day of the first Plan Year
beginning after December 31, 2006, at any time is not less than the Vested percentage
computed by using the Pre-2007 Vesting Schedule. Notwithstanding anything in this Section to
the contrary, a Participant with at least three Years of Service or I-Year Periods of
Service, as applicable, for Vesting purposes will be provided at all times with a Vested
percentage of his or her Non-Safe Harbor Non-Elective Contribution Account that is not less
than the Vested percentage of his or her Non-Safe Harbor Non-Elective Contribution Account
computed by using Post-2006 Vesting Schedule and the Vesting percentage of his or her
Non-Safe Harbor Non-Elective Contribution Account computed by using the Pre-2007 Vesting
Schedule.
	 
	 	(e)	 	Application of this Section to the Participant’s Account. If the Plan is a
profit sharing volume submitter plan, a money purchase volume submitter plan, or a target
benefit volume submitter plan, then the “Employer’s contribution” is substituted for the
“Non-Safe Harbor Non-Elective Contribution;” and the “Participant’s Account” is substituted
for the “Non-Safe Harbor Non-Elective Contribution Account” throughout this Section.
Furthermore, if the Plan had Prevailing Wage Accounts that did not comply with the Vesting
requirements of PPA§ 904 as of the first day of the first Plan Year beginning after December
31, 2006, then the “Prevailing Wage Contribution” is substituted for the “Non-Safe Harbor
Non-Elective Contribution;” and the “Prevailing Wage Account” is substituted for the
“Non-Safe Harbor Non-Elective Contribution Account” throughout this Section
	 
	 	(f)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Post-2006 Vesting Schedule. The term “Post-2006 Vesting Schedule” means
the Vesting schedule that applies to the Non-Safe Harbor Non-Elective Contribution
Accounts as set forth in the Plan document.
	 
	 	(2)	 	PPA. The term “PP A” means the Pension Protection Act of 2006.
	 
	 	(3)	 	Pre-2007 Vesting Schedule. The term “Pre-2007 Vesting Schedule” means the
Vesting schedule that applied to the Non-Safe Harbor Non-Elective Contribution Accounts
which was enumerated in the prior Plan document. As elected by the Sponsoring Employer in
the Election Form, the Pre-2007 Vesting Schedule was either subparagraphs (A), (B) or (C)
below:

	 	 	 	 	 

	(A)     7 Year Graded.

	 	1 Year/Period of Service
	 	0% Vested Interest
	 

	 	2 Years/Periods of Service
	 	0% Vested Interest
	 

	 	3 Years/Periods of Service
	 	20% Vested Interest
	 

	 	4 Years/Periods of Service
	 	40% Vested Interest
	 

	 	5 Years/Periods of Service
	 	60% Vested Interest
	 

	 	6 Years/Periods of Service
	 	80% Vested Interest
	 

	 	7 Years/Periods of Service
	 	100% Vested Interest

			
	 	 	 
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	(B)     5 Year Cliff.

	 	1 Year/Period of Service
	 	0% Vested Interest
	 

	 	2 Years/Periods of Service
	 	0% Vested Interest
	 

	 	3 Years/Periods of Service
	 	0% Vested Interest
	 

	 	4 Years/Periods of Service
	 	0% Vested Interest
	 

	 	5 Years/Periods of Service
	 	100% Vested Interest

	 	(C)	 	Other. A Participant’s Non-Safe Harbor Non-Elective Contribution
Account will be Vested in accordance with the schedule selected in the Election Form,
provided that any schedule selected for a non-Top Heavy Plan Year must be at least as
favorable as either the 7 Year Graded Vesting schedule or the 5 Year Cliff Vesting
schedule of set forth in (A) or (B) above.

	2.7	 	Diversification Requirements. If all or a portion of a Participant’s Account
is invested in Employer Securities on or after the first day of the first Plan Year beginning after December 31, 2006, then this
Section is effective as of the first day of the first Plan Year beginning after December 31,
2006, and the Plan is subject to the following:

	 	(a)	 	General Divestment Provisions. Subject to paragraph (b) below, the Participant
(and the Participant’s Beneficiary who has an account in the Plan with respect to which the
Beneficiary is entitled to exercise the rights of the Participant) may elect to divest the
Participant’s Account of Employer Securities and reinvest the proceeds in alternative
investment options described in paragraph (c) below. Notice must be given to Participants
and/or Beneficiaries not later than 30 days prior to the date on which they will have the
right to divest Employer Securities. Furthermore, this paragraph applies to a Participant’s
Voluntary Employee Contribution Account, Mandatory Employee Contribution Account, and/or
Elective Deferral Account, if applicable to the Plan, without applying the restrictions of
paragraph (b).
	 
	 	(b)	 	Special Restrictions and Conditions on Employer Contributions (Other Than Elective
Deferrals). Special restrictions and conditions apply to a Participant’s Account attributable to
Employer contributions (other than a Participant’s Elective Deferral Account) that are invested
in Employer Securities:

	 	(1)	 	Individuals Who Are Affected. The individuals who will have the right to
divest a Participant’s Account of amounts attributable to Employer contributions (other
than Elective Deferrals) that are invested in Employer Securities will be limited to the
following: (A) a Participant who has completed at least three (3) Years of Service or
I-Year Periods of Service, as applicable; (B) a Beneficiary of a Participant who has
completed at least three (3) Years of Service or I-Year Periods of Service, as applicable;
and (C) a Beneficiary of a deceased Participant.
	 
	 	(2)	 	Employer Securities Acquired on or After January 1, 2007. To the extent
that all or a portion of a Participant’s Account attributable to Employer contributions
(other than a Participant’s Elective Deferral Account) consists of Employer Securities
that were acquired in a Plan Year beginning on or after January 1, 2007, the divestment
requirements will apply to the total amount of the Employer Securities acquired with such
Employer contributions.
	 
	 	(3)	 	Employer Securities Acquired Before January 1, 2007. To the extent that
all or a portion of a Participant’s Account attributable to Employer contributions (other
than a Participant’s Elective Deferral Account) consists of Employer Securities acquired
in a Plan Year beginning before January 1,2007, the divestment requirements only apply to
a portion of the Employer Securities acquired with such Employer contributions. Such
portion will be equal to 33% of such Employer Securities for the first Plan Year, 66% for
the second such Plan Year, and 100% for the third Plan Year.
	 
	 	(4)	 	Restrictions Applied Separately to Each Class of Employer Securities. The
special restrictions and conditions of this paragraph (b) will be applied separately with
respect to each class of Employer Securities held in the Participant’s Account.
Furthermore, the special restrictions and conditions of this paragraph (b) will not apply
to the extent that a Participant has attained age 55 or completed at least three (3) Years
of Service or I-Year Periods of Service, as applicable, before the first Plan Year
beginning after December 31,2005; instead, paragraph (a) will apply.

			
	 	 	 
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	 	(c)	 	Alternative Investment Options. The Plan will offer at
least three (3) investment options other than Employer Securities, to which a
Participant or, if applicable, his or her Beneficiary can direct the proceeds from the
divestment of Employer Securities. Each investment option will be diverse from the
other investment options, having materially different risk and return characteristics.
The divestment direction can be limited to periodic, reasonable opportunities no less
frequently than quarterly, in accordance with procedures set forth by the
Administrator. The Plan will not impose restrictions or conditions with respect to the
investment of Employer Securities which are not imposed on the investment of other
assets of the Plan, except as required by securities laws or other Regulations.
	 
	 	(d)	 	Definitions. As used in this Section, the term “Employer
Securities” means employer securities as defined ERISA §407(d)(I) that are readily
tradable on an established securities market.

	2.8	 	Calculation of Gap Period Income for Excess Elective Deferrals. If the Plan is
a Code §401(k) Plan, then this
Section is effective for distributions of Excess Elective Deferrals (as defined in Code
§402(g)(2)(A)) in taxable years beginning on or after January 1, 2007, and will apply to
Excess Elective Deferrals that occur in taxable years beginning on or after January 1,2006.
Excess Elective Deferrals will be adjusted for any income or loss up to the end of the Plan
Year and during the end of the Plan Year and the actual date of distribution (the “gap
period”), until repealed by any Regulation, IRS pronouncement, or statute. Any adjustment for
income or loss during the gap period will be allocated in a consistent manner to all
Participants and to all corrective distributions of Excess Elective Deferrals made for the
Plan Year, and will be the amount determined by one of the methods set forth in paragraphs
(a), (b) or (c), as elected by the Administrator:

	 	(a)	 	Method 1. The amount determined by multiplying the income or loss
allocable to the Participant’s Elective Deferrals for the taxable year and the gap
period, by a fraction, the numerator of which is the Participant’s Excess Elective
Deferrals for the taxable year and the denominator of which is the Participant’s
Elective Deferral Account balance as of the beginning of the Participant’s taxable year
plus any Elective Deferrals allocated to the Participant during the taxable year and the
gap period.
	 
	 	(b)	 	Method 2. The sum of (1) and (2) as follows: (1) the amount
determined by multiplying the income or loss allocable to the Participant’s Elective
Deferrals for the taxable year, by a fraction, the numerator of which is the
Participant’s Excess Elective Deferrals for the taxable year and the denominator of
which is the Participant’s Elective Deferral Account balance as of the beginning of the
Participant’s taxable year plus any Elective Deferrals allocated to the Participant
during such taxable year; plus (2) the amount of gap period income or loss equal to 10%
of the amount determined under clause (1) above multiplied by the number of whole months
between the end of the Participant’s taxable year and the distribution date, counting
the month of distribution if the distribution occurs after the 15th day of such month.
	 
	 	(c)	 	Method 3. The amount determined by any reasonable method of
allocating income or loss to the Participant’s Excess Elective Deferrals for the taxable
year and for the gap period, provided the method used is the same method used for
allocating income or losses to the Participant’s Account (or any sub-account of the
Participant’s Account). This Plan will not fail to use a reasonable method for computing
the income allocable to excess deferrals merely because the income allocable to such
excess deferrals is determined on a date that is no more than 7 days before the
distribution.

	2.9	 	Rollover by a Non-Spouse Designated Beneficiary. Unless an earlier date was
selected by the Sponsoring Employer
in a prior Election Form or amendment executed prior to the date this Amendment is executed,
then effective for Plan Years beginning on or after January 1, 2010, a Beneficiary who (a) is
other than the Participant’s Spouse and (b) is considered to be a Designated Beneficiary
under Code §401(a)(9)(E) (known as a “Non-Spouse Designated Beneficiary”) may establish an
individual retirement account under Code §408(a) or an individual retirement annuity under
Code §408(b) (known as an “Inherited IRA”) into which all or a portion of a death benefit (to
which such Non-Spouse Designated Beneficiary is entitled) can be transferred in a direct
trustee-to trustee transfer (a direct rollover). Notwithstanding the above, any amount
payable to a Non-Spouse Designated Beneficiary that is deemed to be a required minimum
distribution pursuant to Code §401(a)(9) may not be transferred into such Inherited IRA. The
Non-Spouse Designated Beneficiary may deposit into such Inherited IRA all or any portion of
the death benefit that is deemed to be an eligible rollover distribution (but for the fact
that the distribution is not an eligible rollover distribution because the distribution is
being paid to a Non-Spouse Designated Beneficiary). In determining the portion of such death
benefit that is considered to be a

			
	 	 	 
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Faith” Amendment
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	 	 	required minimum distribution that must be made from the Inherited IRA, the Non-Spouse
Designated Beneficiary may elect to use either the 5-year rule or the life expectancy rule,
pursuant to Regulation §1.401(a)(9)-3, Q&A-4(c). Any distribution made pursuant to this
Section is not subject to the direct rollover requirements of Code §401(a)(31), the notice
requirements of Code §402(f), or the mandatory withholding requirements of Code §3405(c). If a
Non-Spouse Designated Beneficiary receives a distribution from the Plan, then the distribution
is not eligible for the “60-day” rollover rule, which is available to a Beneficiary who is a
Spouse. If the Participant’s Non-Spouse Designated Beneficiary is a trust, then the Plan may
make a direct rollover to an IRA on behalf of the trust, provided the trust satisfies the
requirements to be a Designated Beneficiary within the meaning of Code §401(a)(9)(E). In order
to be able to roll over the distribution, the distribution otherwise must satisfy the
definition of an eligible rollover distribution. Any distribution made prior to January 1,
2010 is not subject to the direct rollover requirements of Code §401(a)(31) (including Code
§401(a)(31)(B), the notice requirements of Code §402(f) or the mandatory withholding
requirements of Code §3405(c)). If a non-spouse Beneficiary receives a distribution from the
Plan, the distribution is not eligible for a “60-day” rollover. If the Participant’s named
Beneficiary is a trust, the Plan may make a direct rollover to an individual retirement
account on behalf of the trust, provided the trust satisfies the requirements to be a
Designated Beneficiary within the meaning of Code §401(a)(9)(E).
	 
	2.10	 	Money Purchase or Target Benefit Plan In-Service Distributions. If the Plan is
either a money purchase plan or a target benefit plan and if elected by the Sponsoring
Employer in the Election Form, then this Section is effective as of the effective date elected
in the Election Form. A Participant who has attained the Age that is elected by the Sponsoring
Employer in the Election Form and who has not yet Terminated Employment may elect to receive a
distribution of his or her Vested Account Balance.
	 
	2.11	 	Qualified Default Investment Alternative. If elected by the Sponsoring Employer in
the Election Form, then Section 2.11 is effective as of the date set forth in the Election
Form. If the Plan gives Participants or Beneficiaries the opportunity to direct the investment
of any assets in the Participant’s Account (or any subaccount thereof), and if any Participant
or Beneficiary does not direct the investment of such assets, then such assets will be
invested in a Qualified Default Investment Alternative (“QDIA”), subject to the existing terms
of paragraphs (a) through (e) of Section 2.11, subject to the following provisions:

	 	(a)	 	Transfer from QDIA. Any Participant or Beneficiary on whose behalf
assets are invested in a QDIA may transfer, in whole or in part, such assets to any other
investment alternative available under the Plan with a frequency consistent with that
afforded to a Participant or Beneficiary who elected to invest in the QDIA, but not less
frequently than once within any 3-month period.

	 	(1)	 	No Fees During First 90 Days. A Participant’s or Beneficiary’s
election to make such transfer from the QDIA during the 90-day period beginning on
the date of the first investment in a QDIA on behalf of a Participant or Beneficiary
or, if the Participant has the opportunity to receive a Permissible Withdrawal, a
Permissible Withdrawal during the 90-day period beginning on the date of the
Participant’s first Elective Deferral under Code §414(w)(2)(B), will not be subject
to any restrictions, fees or expenses (including surrender charges, liquidation or
exchange fees, redemption fees and similar expenses charged in connection with the
liquidation of, or transfer from, the investment), except as permitted in Department
of Labor Regulation §2550.404c-5(c)(5)(ii)(B).
	 
	 	(2)	 	Limited Fees after First 90 Days. Following the end of the
90-day period described in paragraph (1), any transfer from the QDIA or, if the
Participant has the opportunity to receive a Permissible Withdrawal, a Permissible
Withdrawal, will not be subject to any restrictions, fees or expenses not otherwise
applicable to a Participant or Beneficiary who elected to invest in that QDIA.

	 	(b)	 	Broad Range of Investment Alternatives. The Plan must offer a “broad
range of investment alternatives” within the meaning of Department of Labor Regulation
§2550.404c-1(b )(3).
	 
	 	(c)	 	Materials Must Be Provided. A fiduciary must provide to a Participant
or Beneficiary the materials in Department of Labor Regulation
§2550.404c-1(b)(2)(i)(B)(1)(viii) and (ix) and Department of Labor Regulation §404c-1(b
)(2)(i)(B)(2) relating to a Participant’s or Beneficiary’s investment in a QDIA.

			
	 	 	 
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	 	(d)	 	Content and Timing of Notice. The following provisions apply to the notice required
by a QDIA:

	 	(1)	 	Manner and Content. Such notice must be written in a manner calculated to be
understood by the average Participant, and must contain the following: (A) a description of
the circumstances under which assets in the Participant’s Account (or any sub-account of the
Participant’s Account) of a Participant or Beneficiary may be invested on behalf of the
Participant or Beneficiary in a QDIA; and, if applicable, an explanation of the circumstances
under which Elective Deferrals will be made on behalf of a Participant, the percentage of such
Elective Deferrals, and the right of the Participant to elect not to have such Elective
Deferrals made on the Participant’s behalf (or to elect to have such Elective Deferrals made
at a different percentage); (B) an explanation of the right of Participants and Beneficiaries
to direct the investment of assets in their Participant’s Accounts (or any sub-accounts of the
Participant’s Account); (C) a description of the QDIA, including a description of the
investment objectives, risk and return characteristics (if applicable), and fees and expenses
attendant to the QDIA; (D) a description of the right of the Participants and Beneficiaries on
whose behalf assets are invested in a QDIA to direct the investment of those assets to any
other investment alternative under the Plan, including a description of any applicable
restrictions, fees or expenses in connection with such transfer; and (E) an explanation of
where the Participants and Beneficiaries can obtain investment information concerning the
other investment alternatives available under the Plan.
	 
	 	(2)	 	Timing. The Participant or Beneficiary on whose behalf an investment in a QDIA
may be made must be furnished such notice during the following periods: (A) at least 30 days
in advance of the Participant’s Entry Date of the Plan (or any component of the Plan in which
a Participant’s Account (or any subaccount of the Participant’s Account) may be invested in a
QDIA); or at least 30 days in advance of the date of any first investment in a QDIA on behalf
of a Participant or Beneficiary; or if the Participant has the opportunity to receive a
Permissible Withdrawal, on or before the Participant’s Entry Date of the Elective Deferral
component of the Plan; and (B) within a reasonable period of time of at least 30 days in
advance of each subsequent Plan Year.

	 	(e)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Eligible Automatic Contribution Arrangement. The term “Eligible Automatic
Contribution Arrangement” means the definition of Section 304 of this Amendment.
	 
	 	(2)	 	Permissible Withdrawal. The term “Permissible Withdrawal” means the definition
of Section 3.5 of this Amendment.
	 
	 	(3)	 	QDIA. The term “QDIA” means a qualified default investment alternative as
described in Department of Labor Regulation § 25500404c-5, which is an investment
alternative available to Participants and Beneficiaries, subject to the following rules:

	 	(A)	 	No Employer Securities. The QDIA cannot hold or permit the acquisition of
Employer securities, except as permitted by Department of Labor Regulation
§25500404c-5(e)(I)(ii);
	 
	 	(B)	 	Transfer Permitted. The QDIA permits a Participant or Beneficiary to
transfer, in whole or in part, his or her investment from the QDIA to any other investment
alternative available under the Plan, pursuant to the rules of Department of Labor
Regulation §25500404c-5(c)(5);
	 
	 	(C)	 	Management. The QDIA is (i) managed by an investment manager, within the
meaning of ERISA §3(38), a Plan Trustee that meets the requirements of ERISA §3(38)(A),
(B) and (C), or the Sponsor Employer who is a named fiduciary within the meaning of ERISA
§402(a)(2); (ii) an investment company registered under the Investment Company Act of
1940; or (iii) an investment product or fund described in Department of Labor Regulation
§25500404c-5(e)(4)(iv) or (v).
	 
	 	(D)	 	Types of Permitted Investments. The QDIA is one of the following:

	 	(i)	 	An investment fund product or model portfolio that applies generally accepted
investment theories, is diversified so as to minimize the risk of large losses and
that is designed to provide varying degrees of long-term appreciation and capital
preservation through a mix of equity and

			
	 	 	 
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	 	 	 	fixed income exposures based on the Participant’s age, target retirement date (such as
Normal Retirement Age under the Plan) or life expectancy, but is not required to take into
account risk tolerances, investments or other preferences of an individual Participant or
Beneficiary.
	 
	 	(ii)	 	An investment fund product or model portfolio that applies generally accepted
investment theories, is diversified so as to minimize the risk of large losses and that is
designed to provide long-term appreciation and capital preservation through a mix of
equity and fixed income exposures consistent with a target level of risk appropriate for
Participants of the Plan as a whole, but is not required to take into account the age,
risk tolerances, investments or other preferences of an individual Participant or
Beneficiary.
	 
	 	(iii)	 	An investment management service with respect to which a fiduciary, within the
meaning of Department of Labor Regulation §2550.404c-5(e)(3)(i), applying generally
accepted investment theories, allocates the assets of a Participant’s Account to achieve
varying degrees of long-term appreciation and capital preservation through a mix of equity
and fixed income exposures, offered through investment alternatives available under the
Plan, based on the Participant’s age, target retirement date (such as Normal Retirement
Age under the Plan) or life expectancy, but is not required to take into account risk
tolerances, investments or other preferences of an individual Participant.
	 
	 	(iv)	 	An investment product or fund designed to preserve principal and provide a reasonable
rate of return, whether or not such return is guaranteed, consistent with liquidity. Such
investment product will seek to maintain, over the term of the investment, the dollar
value that is equal to the amount invested in the product, and be offered by a State or
federally regulated financial institution. Such investment product or fund described in
this paragraph shall constitute a QDIA for not more than 120 days after the date of the
first investment; or the Participant’s first Elective Deferral as determined under Code
§414(w)(2)(B).
	 
	 	(v)	 	An investment product or fund designed to guarantee principal and a rate of return
generally consistent with that earned on intermediate investment grade bonds, while
providing liquidity for withdrawals by Participants and Beneficiaries, including transfers
to other investment alternatives. Such investment product must meet the following
requirements: [a] there are no fees or surrender charges imposed in connection with
withdrawals initiated by a Participant or Beneficiary; and [b] principal and rates of
return are guaranteed by a State or federally regulated financial institution. Such
product or fund described herein will constitute a QDIA solely for purposes of assets
invested in such product or fund before December 24, 2007.

	 	 	 	An investment fund product or model portfolio that meets the requirements of this paragraph (4)
may be offered through variable annuity or similar contracts, common or collective trust funds,
or pooled investment funds without regard to whether such contracts or funds provide annuity
purchase rights, investment guarantees, death benefit guarantees, or other features ancillary
to the investment fund product or model portfolio.

	2.12	 	Modification to Normal Retirement Age. If the Plan is either a money purchase
plan or a target benefit plan and if elected by the Sponsoring Employer in the Election Form,
then the Plan is subject to the following:

	 	(a)	 	Revised Normal Retirement Age. As elected by the Sponsoring Employer in the
Election Form, either:

	 	(1)	 	Normal Retirement Age Enumerated in Plan. The definition of “Normal Retirement
Age” as set forth in the amended and restated Plan is effective as of the date elected in the
Election Form; or
	 
	 	(2)	 	Normal Retirement Age Amended by this Section. Effective as of the date elected
in the Election Form, the Plan’s definition of “Normal Retirement Age” is amended and means,
as elected by the Sponsoring Employer in the Election Form, either:

	 	(A)	 	Age Only. The time that a Participant attains the Age that is elected by the
Sponsoring Employer in the Election Form.

			
	 	 	 
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	 	(B)	 	Age and Participation. The later of (i) the time that a Participant
attains the Age that is elected by the Sponsoring Employer in the Election Form,
or (ii) the anniversary that is elected by the Sponsoring Employer in the
Election Form of becoming a Participant in the Plan.
	 
	 	(C)	 	Age and Years/Periods of Service. The later of (i) the time that a
Participant attains the Age elected by the Sponsoring Employer in the Election
Form, or (ii) the date the Participant is credited with at least the number of
Years of Service/Periods of Service elected by the Sponsoring Employer in the
Election Form; but in no event later than the later of Age 65 or the 5th
anniversary of becoming a Participant in the Plan.
	 
	 	(D)	 	Other. The time elected in the Election Form, but in no
event later than the later of the time that a Participant attains Age 65 or the
5th anniversary of becoming a Participant in the Plan.

	 	(b)	 	Limited Exemption from Code §411(d)(6). Although either the amended
Plan or this Section, as applicable, has amended/amends the definition of “Normal
Retirement Age” to a later “Normal Retirement Age” under Regulation §1.401(a)-I(b)(2)
which may eliminate a right to an in-service distribution prior to the effective date of
the amended definition of “Normal Retirement Age,” the Plan and this Section do not
violate Code §411(d)(6) pursuant to Regulation §1.411(d)-4, Q&A-12 with respect to
in-service distributions.
	 
	 	(c)	 	No Exemption from Other Code Provisions. The Plan and this Section are
not exempt from the requirements of Code §411(a)(1O) (if this Section changes the Plan’s
vesting rules) and/or Code §411(d)(6) (other than elimination of the right to an
in-service distribution prior to the amended Normal Retirement Age). If elected by the
Sponsoring Employer in the Election Form, then the Plan is amended by the additional
provision(s) as elected by the Sponsoring Employer in the Election Form.

	2.13	 	Mid-Year Changes Permitted for Safe Harbor 401(k) Plan. If the Plan is a Safe
Harbor 401(k) Plan, then the Plan will continue to satisfy the requirements of Code
§401(k)(12) and will continue to be a Safe Harbor 401(k) Plan even if mid-year design changes
are implemented to permit Roth Elective Deferrals or to amend the definition of financial
hardship distributions under Notice 2007-7, Part III. This Section does not implement such
mid-year design changes but only confirms the continuing status of the Plan as a Safe Harbor
401(k) Plan should such mid-year Plan design changes occur pursuant to IRS Announcement
2007-59.

Article 3

Post-EGTRRA Provisions Initially Effective 2008

	3.1	 	Elimination of Gap Period Income for Excess Contributions. If the Plan is a 401(k) plan, then effective for
Plan Years beginning on or after January 1,2008, Excess Contributions will be adjusted for any
income or loss up to the last day of the Plan Year, without regard to the gap period (the
period between the end of the Plan Year and the date of distribution) or any adjustment for
income or loss during the gap period.
	 
	3.2	 	Elimination of Gap Period Income for Excess Aggregate Contributions. If the
Plan is a 401(k) Plan, then
effective for Plan Years beginning on or after January 1, 2008, Excess Aggregate Contributions
will be adjusted for any income or loss up to the last day of the Plan Year, without regard to
the gap period (the period between the end of the Plan Year and the date of distribution) or
any adjustment for income or loss during the gap period.
	 
	3.3	 	Elimination of Gap Period Income for Excess Elective Deferrals. If the Plan is
a Code §401(k) Plan, then
notwithstanding Section 2.8 of this Amendment to the contrary, Excess Elective Deferrals (as
defined in Code §402(g)(2)(A)) which are distributed with respect to the 2008 Plan Year, or
with respect to any later Plan Year, will be adjusted for any income or loss up to the last
day of the Plan Year to which the distribution relates, without regard to the gap period (the
period between the end of the Plan Year and the date of distribution) or any adjustment for
income or loss during the gap period.

			
	 	 	 
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	3.4	 	Qualified Automatic Contribution Arrangement. If elected by the Sponsoring
Employer in the Election Form,
this Section establishes/memorializes a Qualified Automatic Contribution Arrangement (“QACA”)
and is effective as of the date elected in the Election Form, and the Plan is subject to the
following provisions:

	 	(a)	 	QACA Contribution Requirement. The Employer will make a QACA Contribution as
elected by the Sponsoring Employer in the Election Form, to the Participants as elected by the
Sponsoring Employer in the Election Form. The QACA Contribution is subject to the following
rules and provisions:

	 	(1)	 	Rules of QACA Matching Contribution. If the QACA Contribution is satisfied with a
QACA Matching Contribution, then the ratio of QACA Matching Contributions to Elective
Deferrals of any Participant who is a Highly Compensated Employee must not exceed the ratio of
QACA Matching Contributions to Elective Deferrals of any Participant who is a Non-Highly
Compensated Employee with Elective Deferrals at the same percentage of Compensation as any
Highly Compensated Employee. Also, the ratio of a Participant’s QACA Matching Contributions to
the Participant’s Elective Deferrals may not increase as the amount of a Participant’s
Elective Deferrals increases.
	 
	 	(2)	 	Plan to Which QACA Contribution Will Be Made. As elected by the Sponsoring
Employer in the Election Form, the QACA Contribution will be made to either (A) this Plan; or
(B) another plan as elected by the Sponsoring Employer in the Election Form, so long as that
other plan meets the requirements of Code §401(k)(12)(F) and the Regulations thereunder.
	 
	 	(3)	 	QACA Contribution Subject to Withdrawal Restrictions. The QACA Contribution is
subject to the withdrawal restrictions set forth in Code §40 1 (k)(2)(B) and Regulation §
1.40 l(k)-1 (d).
	 
	 	(4)	 	QACA Contribution Must Not Be Used for Permitted Disparity Purposes. The QACA
Contribution will be met without regard to Code §401(1); furthermore, the QACA Contribution
will not be taken into account for purposes of Code §401(1).
	 
	 	(5)	 	Compensation for QACA Contribution Purposes. The term “Compensation” means, for
purposes of the QACA Contribution, an Employee’s Form W -2 Compensation, Code §3401
Compensation, or Safe Harbor Code §415 Compensation, as elected by the Sponsoring Employer in
the Election Form, for the Compensation Determination Period as elected by the Sponsoring
Employer in the Election Form, subject to the following provisions:

	 	(A)	 	Treatment of Elective Deferrals and Certain Other Amounts. Any Elective
Deferral as defined in Code §402(g)(3) and any amount which is contributed or deferred by
the Employer at the election of the Employee which are not includible in gross income by
reason of Code § 125 (and if elected in the in the Election Form, Deemed Code §125
Compensation), Code §132(t)(4), or Code §457 will be included in Compensation or will be
excluded from Compensation, as elected by the Sponsoring Employer in the Election Form.
	 
	 	(B)	 	Compensation Prior to Becoming a Participant. If the Sponsoring Employer
elects in the Election Form that Compensation received prior to becoming a Participant is
not taken in account for purposes of the QACA Contribution, then the Entry Date when an
Eligible Employee becomes a Participant in the Elective Deferral component of the Plan set
forth in Section 2.2 of the Plan will be used to determined the Entry Date when an Eligible
Employee becomes a Participant for purposes of the QACA Contribution.
	 
	 	(C)	 	Compensation of Self-Employed Individuals. For purposes of the QACA
Contribution, the Compensation of a Self-Employed Individual is equal to his or her Earned
Income; however, such Compensation will not exceed the Code §401(a)(17) Compensation Limit.
	 
	 	(D)	 	Code §401(a)(17) Compensation Limit. In determining Compensation for
purposes of the QACA Contribution, a Participant’s Compensation for any Compensation
Determination Period will not exceed the Code §401(a)(17) Compensation Limit.

			
	 	 	 
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	 	(E)	 	Compensation for QACA Contribution Must Comply With Code §414(s).
Compensation for QACA Contribution purposes excludes the amounts, if any,
elected by the Sponsoring Employer in the Election Form. However, such Compensation
must qualify as a nondiscriminatory definition of compensation under Code §414(s) and
the Regulations thereunder. Furthermore, no dollar limit, other than the Code
§401(a)(17) Compensation Limit, applies to the Compensation of a NHCE.

	 	(b)	 	Vesting of QACA Contribution Account. A Participant’s Vested Interest in a QACA
Contribution Account will be determined by the Vesting schedule elected by the Sponsoring
Employer in the Election Form. If the Counting of Hours Method is used for Vesting purposes,
then a Participant’s Vested Interest will be based on the Years of Service that are credited
to such Participant. If the Elapsed Time Method is used for Vesting purposes, then a
Participant’s Vested Interest will be based on the I-Year Periods of Service that are
credited to the Participant. If elected by the Sponsoring Employer in the Election Form, then
in determining a Participant’s Vested Interest under this paragraph, a Participant’s Years of
Service or I-Year Periods of Service will be disregarded: (1) during any period for which the
Employer did not maintain this Plan or a predecessor plan; (2) if the Counting of Hours
Method is used for Vesting purposes, then before the Vesting Computation Period in which the
Participant attains Age 18; and/or (3) if the Elapsed Time Method is used for Vesting
purposes, then before the I-Year Period of Service in which the Participant attains Age 18.
The Vesting schedules available in the Election Form are:

	 	(1)	 	100% Full and Immediate. A Participant’s QACA Contribution Account will be
100% Vested upon the Participant entering the Elective Deferral component of Plan and at
all times thereafter.
	 
	 	(2)	 	2 Year Cliff.      1 Year/Period of Service                   0% Vested Interest

                        2 Years/Periods of Service            100% Vested Interest
	 
	 	(3)	 	Other. A Participant’s QACA Contribution Account will be Vested in
accordance with the schedule selected in the Election Form, provided that the
Participant’s QACA Contribution Account is 100% Vested upon the Participant being credited
with at least 2 Years/I-Year Periods of Service.

	 	(c)	 	Usage of Forfeitures. If the QACA Contribution is subject to a Vesting schedule
other than 100% Vested upon the Participant entering the Elective Deferral component of Plan
and at all times thereafter, then with respect to any Forfeiture of the non-Vested Interest
in a Participant’s QACA Contribution Account, the Administrator may elect to use all or a
portion of the Forfeitures to pay administrative expenses incurred by the Plan. The portion
that is not used to pay administrative expenses may be used to restore previous Forfeitures
of Participants’ Accounts as necessary and permitted pursuant to the provisions of the Plan.
As elected by the Sponsoring Employer in the Election Form, the portion of the Forfeitures
that are not used to pay administrative expenses and are not used to satisfy the provisions
of the previous sentence then either: (1) will be used to reduce any Employer contribution or
combination of Employer contributions, as determined by the Administrator; or (2) will be
added to any Employer contribution or combination of Employer contributions, as determined by
the Administrator.
	 
	 	(d)	 	Exemption from ADP Test. Notwithstanding anything in the Plan or this Amendment
to the contrary, the Plan will be treated as meeting the ADP Test as set forth in Code
§401(k)(3)(A)(ii) in any Plan Year in which the Plan includes a Qualified Automatic
Contribution Arrangement pursuant to PPA §902(a), which added Code §401(k)(13)(A).
	 
	 	(e)	 	Limited Exemption from ACP Test. Notwithstanding anything in the Plan or this
Amendment to the contrary, the Plan will be treated as having satisfied the ACP Test under
Code §401(m)(2) only with respect to the QACA Matching Contributions in any Plan Year in
which the Plan includes a Qualified Automatic Contribution Arrangement pursuant to PPA
§902(b), which revised Code §401(m)(12).
	 
	 	(0 	 	Limited Exemption from Top Heavy. Notwithstanding anything in the Plan or this
Amendment to the contrary, with respect to any Plan Year in which the allocations of the Plan
consist solely of (1) Elective Deferrals under a Qualified Automatic Contribution Arrangement
which meets the requirements of Code §401(k)(13); and (2) either (A) QACA Non-Elective
Contributions which meet the requirements of Code §401(k)(13), or (B) QACA Matching
Contributions which meet the requirements of Code §401(m)(12), then the Plan will not be
treated as a Top Heavy

			
	 	 	 
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	 	Page 31 of 35

 

 

	 	 	 	Plan and is exempt from the Top Heavy requirements of Code §416. Furthermore, if the Plan (but
for the prior sentence) would be treated as a Top Heavy Plan because the Plan is a member of
either a Required Aggregation Group which is a Top Heavy or a Permissive Aggregation Group
which is a Top Heavy, then the QACA Contributions under this Plan may be taken into account in
determining whether any other plan in either the Required Aggregation Group or the Permissive
Aggregation Group meets the Top Heavy requirements of Code §416.
	 
	 	(g)	 	QDIA. If (1) a Participant or Beneficiary has the opportunity to direct the
investment of the assets in his or her Elective Deferral Account (and/or any other assets in
the Participant’s Account (or any sub-account) that the Participant or Beneficiary can direct
the investment); (2) any Participant or Beneficiary does not direct the investment of the
assets described in clause (1); and (3) the Sponsoring Employer elects in the Election Form
that the provisions of Section 2.11 (QDIA) apply to the Plan, then the assets described in
clause (1) will be invested in a QDIA pursuant to Section 2.11 of this Amendment.
	 
	 	(h)	 	Permissible Withdrawal. If (1) a Participant or Beneficiary has the opportunity
to direct the investment of the assets in his or her Elective Deferral Account; (2) the
Sponsoring Employer elects in the Election Form that the provisions of Section 2.11 (QDIA)
apply to the Plan; and (3) the Sponsoring Employer elects in the Election Form that the
provisions of Section 3.6 (Permissible Withdrawal) apply to the Plan, then an Eligible
Participant may elect to receive a Permissible Withdrawal pursuant to Section 3.6 hereof.
	 
	 	(i)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Automatic Contribution Arrangement. The term “Automatic Contribution
Arrangement” means any arrangement under which (A) a Participant may elect to have the
Employer make payments as Elective Deferrals under the Plan on his or her behalf, or to
receive such payments directly in cash, and (B) an Eligible Participant is treated as
having elected to have the Employer make Elective Deferrals to the Plan, in an amount equal
to a specified percentage of Compensation until such Eligible Participant executes an
Automatic Contribution Overriding Election as defined in the administrative policy
regarding Elective Deferrals; such percentage is set forth in either the administrative
policy regarding Elective Deferrals or such other Plan documentation as permitted by the
Plan or law. An Automatic Contribution Arrangement includes a QACA.
	 
	 	(2)	 	Eligible Participant. The term “Eligible Participant” means a Participant
who is subject to the Qualified Automatic Contribution Arrangement as described in the
administrative policy regarding Elective Deferrals.
	 
	 	(3)	 	Permissible Withdrawal. The term “Permissible Withdrawal” means the
definition of Section 3.6 of this Amendment.
	 
	 	(4)	 	PPA. The term “PP A” means the Pension Protection Act of 2006.
	 
	 	(5)	 	QACA Contribution. The term “QACA Contribution” means either a QACA
Matching Contribution or a QACA Non-Elective Contribution.
	 
	 	(6)	 	QACA Contribution Account. The term “QACA Contribution Account” means the
account to which a Participant’s QACA Contributions are credited.
	 
	 	(7)	 	QACA Matching Contribution. The term “QACA Matching Contribution” means a
Matching Contribution which meet the requirements of Code §401(m)(12).
	 
	 	(8)	 	QACA Non-Elective Contribution. The term “QACA Non-Elective Contribution”
means a NonElective Contribution which meet the requirements of Code §401(k)(13).
	 
	 	(9)	 	QDIA. The term “QDIA” means the definition of Section 2.11 of this Amendment.

			
	 	 	 
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	 	(10)	 	Qualified Automatic Contribution Arrangement. The term “Qualified Automatic
Contribution Arrangement” means an Automatic Contribution Arrangement that meets all of the
requirements set forth in Code §401(k)(13)(B) including, but not limited to, the applicable
Qualified Percentage for the Applicable Plan Year (which terms are defined in the
administrative policy regarding Elective Deferrals), the required QACA Contributions, and
the applicable notice requirements.

	3.5	 	Eligible Automatic Contribution Arrangement. If elected by the Sponsoring
Employer in the Election Form,
then this Section establishes/memorializes an Eligible Automatic Contribution Arrangement in
the Plan and is effective as of the date elected in the Election Form, and the Plan is
subject to the following:

	 	(a)	 	Extension of Time for Correcting Failed ADP and/or ACP Test. Notwithstanding
anything in the Plan or this Amendment to the contrary, in any Plan Year in which the Plan
includes an Eligible Automatic Contribution Arrangement, the excise tax in Code §4979 on
Excess Contributions and/or Excess Aggregate Contributions does not apply to the Employer if
the Excess Contributions and/or Excess Aggregate Contributions (and earnings attributable
thereto) are distributed or forfeited (based upon the Participant’s Vested Interest in such
Excess Contributions and/or Excess Aggregate Contributions) within 6 months after the end of
the Plan Year. Any Excess Contributions and/or Excess Aggregate Contributions (and earnings
attributable thereto) that are distributed within this 6-month period are treated as earned
and received by the Participant in the Participant’s taxable year in which the distribution
was made. Only income or loss through the end of the Plan Year to which the Excess
Contributions and/or Excess Aggregate Contributions relate must be distributed, without regard
to any income or loss during the “gap period” (the period between the end of the Plan Year and
the date of distribution).
	 
	 	(b)	 	Mandatory Directed Investments and QDIA. In order for an Eligible Automatic
Contribution Arrangement to be established/memorialized in the Plan, the Plan must give
Participants or Beneficiaries the opportunity to direct the investment of his or her Elective
Deferral Account (and may permit Participants or Beneficiaries to direct the investment of
other assets in the Participant’s Account (or any sub-account of the Participant’s Account)).
If any Participant or Beneficiary does not direct the investment of the assets described in
the first sentence, then those assets must be invested in a QDIA pursuant to Section 2.11 of
this Amendment.
	 
	 	(c)	 	Permissible Withdrawal. If the Sponsoring Employer elects in the Election Form
that the provisions of Section 3.5 (Permissible Withdrawal) apply to the Plan, then an
Eligible Participant may elect to receive a Permissible Withdrawal pursuant to Section 3.6 of
this Amendment.
	 
	 	(d)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Automatic Contribution Arrangement. The term “Automatic Contribution
Arrangement” means any arrangement under which (A) a Participant may elect to have the
Employer make payments as Elective Deferrals on his or her behalf, or to receive such
payments directly in cash, and (b) an Eligible Participant is treated as having elected to
have the Employer make Elective Deferrals to the Plan, in an amount equal to a specified
percentage of Compensation until such Eligible Participant executes an Automatic
Contribution Overriding Election as defined in the administrative policy regarding Elective
Deferrals; such percentage is set forth in either the administrative policy regarding
Elective Deferrals or such other Plan documentation as permitted by the Plan or law. An
Automatic Contribution Arrangement includes an Eligible Automatic Contribution Arrangement.
	 
	 	(2)	 	Eligible Automatic Contribution Arrangement. The term “Eligible Automatic
Contribution Arrangement” means an Automatic Contribution Arrangement that meets all of the
requirements of Code §414(w)(3) including, but limited to, a QDIA and the applicable notice
requirements.
	 
	 	(3)	 	Eligible Participant. The term “Eligible Participant” means a Participant
who is subject to the Eligible Automatic Contribution Arrangement as described in the
Elective Deferral administrative policy.
	 
	 	(4)	 	Permissible Withdrawal. The term “Permissible Withdrawal” means the
definition of Section 3.6 of this Amendment.

			
	 	 	 
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	 	(5)	 	QDIA. The term “QDIA” means the definition of Section 2.11 of this Amendment.

	3.6	 	Eligible Participant’s Election for Permissible Withdrawal. If (a) elected by
the Sponsoring Employer in the
Election Form and (b) the Plan has an Eligible Automatic Contribution Arrangement, then this
Section is effective as of the date elected in the Election Form. Alternatively, if (a)
elected by the Sponsoring Employer in the Election Form; (b) the Plan has a Qualified
Automatic Contribution Arrangement; (c) a Participant or Beneficiary has the opportunity to
direct the investment of the assets in his or her Elective Deferral Account; and (d) the
Sponsoring Employer elects in the Election Form that the provisions of Section 2.11 (QDIA)
apply to the Plan, then this Section is effective as of the effective date elected in the
Election Form. The Plan permits an Eligible Participant to elect to receive a Permissible
Withdrawal, subject to the following:

	 	(a)	 	Includable in Gross Income. The amount of such Permissible Withdrawal is includible
in the gross income of the Eligible Participant for the taxable year of the Eligible Participant in
which the distribution is made.
	 
	 	(b)	 	No Premature Distribution Excise Tax. No premature distribution excise tax will
be imposed under Code §72(t) with respect to the Permissible Withdrawal.
	 
	 	(c)	 	Distribution Restrictions Not Violated. The Plan does not violate the
distribution restrictions of Code §401(k)(2)(B)(i) with respect to Elective Deferrals, even
though the Plan allows Permissible Withdrawals.
	 
	 	(d)	 	Matching Contributions Forfeited. If a Permissible Withdrawal is made to an
Eligible Participant and such Elective Deferrals are matched, then any related Matching
Contributions will be forfeited or subject to such other treatment as the Treasury may
prescribe.
	 
	 	(e)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Eligible Automatic Contribution Arrangement. The term “Eligible Automatic
Contribution Arrangement” means the definition of Section 3.4 of this Amendment.
	 
	 	(2)	 	Eligible Participant. The term “Eligible Participant” means a Participant
who is subject to either the Qualified Automatic Contribution Arrangement or the Eligible
Automatic Contribution Arrangement, as applicable, as described in the administrative
policy regarding Elective Deferrals.
	 
	 	(3)	 	Permissible Withdrawal. The term “Permissible Withdrawal” means any
withdrawal of Elective Deferrals from either the Qualified Automatic Contribution
Arrangement or the Eligible Automatic Contribution Arrangement, as applicable, which meets
the following requirements:

	 	(A)	 	Employee’s Election and Timing. The distribution is made pursuant
to an election by an Eligible Participant, and such election is made no later than 90
days after the date of the first Elective Deferral with respect to the Eligible
Participant under either the Qualified Automatic Contribution Arrangement or the
Eligible Automatic Contribution Arrangement, as applicable;
	 
	 	(B)	 	Only Elective Deferrals and Earnings. The distribution consists of
only Elective Deferrals (and earnings attributable thereto);
	 
	 	(C)	 	Amount of Distribution. The amount of the distribution is equal to
the amount of Elective Deferrals made with respect to the first payroll period to
which either the Qualified Automatic Contribution Arrangement or the Eligible
Automatic Contribution Arrangement, as applicable, applies to the Eligible Participant
and any succeeding payroll period beginning before the effective date of the election
pursuant to paragraph (A) (and earnings attributable thereto).

	 	(4)	 	QDIA. The term “QDIA” means the definition of Section 2.11 of this Amendment.
	 
	 	(5)	 	Qualified Automatic Contribution Arrangement. The term “Qualified
Automatic Contribution Arrangement” means the definition of Section 3.4 of this Amendment.

			
	 	 	 
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	 	Page 34 of 35

 

 

	3.7	 	Qualified Optional Survivor Annuity. If the Plan is (a) a money purchase plan,
(b) a target benefit plan, (c) a 401(k)
Plan in which either the Normal Form of Distribution is a Qualified Joint and Survivor Annuity
or an Optional Form of Distribution is annuities, or (d) a profit sharing plan in which either
the Normal Form of Distribution is a Qualified Joint and Survivor Annuity or an Optional Form
of Distribution is annuities, then this Section is effective as of first day of the first Plan
Year beginning after December 31, 2007 and the Plan is to subject to the following rules and
provisions:

	 	(a)	 	Election to Waive. Unless a mandatory cash-out of benefits is permitted and
occurs under the Plan, subject to the Spousal consent requirements of the Plan and provided
the required written explanations of paragraph (b) are given, each Participant (1) may elect
at any time during the Applicable Election Period to waive the Qualified Joint and Survivor
Annuity form of benefit or the Qualified Pre-Retirement Survivor Annuity form of benefit (or
both); (2) if the Participant elects a waiver under subparagraph (1) above, may elect the
Qualified Optional Survivor Annuity at any time during the Applicable Election Period; and (3)
may revoke any such election at any time during the Applicable Election Period.
	 
	 	(b)	 	Written Explanations. The Plan will provide to each Participant, within a
reasonable period of time before the Annuity Starting Date and consistent with Regulations, a
written explanation of: (1) the terms and conditions of the Qualified Joint and Survivor
Annuity and the Qualified Optional Survivor Annuity; (2) the Participant’s right to make and
the effect of an election to waive the Qualified Joint and Survivor Annuity form of benefit;
(3) the rights of a Participant’s Spouse; and (4) the right to make, and the effect of, a
revocation of a previous election to waive the Qualified Joint and Survivor Annuity.
	 
	 	(c)	 	Definitions. As used in this Section, the following words and phrases have the
following meanings:

	 	(1)	 	Applicable Election Period. The term “Applicable Election Period” means
the period described in Code §417(a)(6), to wit: with respect to an election to waive the
Qualified Joint and Survivor Annuity, the period that begins not later than 180 days prior
to the Annuity Starting Date (unless future guidance requires/permits otherwise).
	 
	 	(2)	 	Applicable Percentage. The term “Applicable Percentage” means the
following: (A) if the Survivor Annuity Percentage is less than 75%, then the Applicable
Percentage is 75%; and (B) if the Survivor Annuity Percentage is greater than or equal to
75%, then the Applicable Percentage is 50%.
	 
	 	(3)	 	Qualified Optional Survivor Annuity. The term “Qualified Optional Survivor
Annuity” means an annuity (A) for the life of the Participant with a survivor annuity for
the life of the Participant’s Spouse which is equal to the Applicable Percentage of the
amount of the annuity which is payable during the joint lives of the Participant and the
Participant’s Spouse; and (B) which is the actuarial equivalent of a single annuity for
the life of the Participant. Such term also includes any annuity in a form having the
effect of an annuity described in this Section.
	 
	 	(4)	 	Survivor Annuity Percentage. The term “Survivor Annuity Percentage” means
the percentage which the survivor annuity under the Plan’s Qualified Joint and Survivor
Annuity bears to the annuity payable the joint lives of the Participant and the
Participant’s Spouse.

			
	 	 	 
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	 	Page 35 of 35

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