Document:

Amended and Restated Financing Agreement

 Exhibit 10.1 
 U.S. $80,000,000 
 AMENDED AND RESTATED FINANCING AGREEMENT, 
 dated as of February 15, 2007 
 among

 THE LENDERS FROM TIME TO TIME PARTY TO THIS AGREEMENT, 
 U.S. BANK NATIONAL ASSOCIATION, 
 as Agent 
 and 
 CLAYMONT STEEL, INC., 
 as Borrower 

 TABLE OF CONTENTS 
  

							
	1.	  	DEFINITIONS	  	2
				
		  	1.1  	  	DEFINED TERMS	  	2
		  	1.2  	  	ENVIRONMENTAL DEFINITIONS	  	25
		  	1.3  	  	OTHER DEFINITIONAL PROVISIONS; CONSTRUCTION	  	26
		  	1.4  	  	CLASSES AND TYPES OF LOANS	  	27
			
	2.	  	LOANS AND OTHER FINANCIAL ACCOMMODATIONS	  	28
				
		  	2.1  	  	TOTAL FACILITY	  	28
		  	2.2  	  	REVOLVING LOANS; TERM LOAN	  	28
		  	2.3  	  	TERM LOAN	  	28
		  	2.3  	  	LETTERS OF CREDIT	  	28
		  	2.4  	  	ADVANCE REQUESTS 	  	32
		  	2.5  	  	LIBOR ELECTION; UNAVAILABILITY OF LIBOR LOANS	  	32
		  	2.6  	  	FUNDING OF LOANS 	  	34
		  	2.7  	  	NOTES; RECORDS OF ADVANCES OF CREDIT 	  	36
		  	2.8  	  	No LIMITATION ON LIENS	  	37
		  	2.9  	  	ADVANCE RATES AND SUBLIMITS- RESERVES 	  	37
		  	2.10	  	ONE GENERAL OBLIGATION; CROSS-COLLATERALIZED	  	37
		  	2.11	  	LENDING INSTALLATIONS	  	37
		  	2.12	  	REDUCTION AND TERMINATION OF COMMITMENTS	  	38
		  	2.13	  	INCREASED COSTS	  	39
		  	2.14	  	TAXES	  	40
		  	2.15	  	MITIGATION OF OBLIGATIONS; REPLACEMENT OF LENDERS	  	42
		  	2.16	  	REPLACEMENT OF LENDER	  	42
			
	3.	  	PRINCIPAL PAYMENTS; INTEREST CHARGES; FEES	  	43
				
		  	3.1  	  	PAYMENTS AND PREPAYMENTS OF PRINCIPAL	  	43
		  	3.2  	  	INTEREST ON LOANS; MARGINS; BREAK FUNDING	  	45
		  	3.3  	  	INTEREST PAYMENT DATES	  	46
		  	3.4  	  	AGENT FEES	  	47
		  	3.5  	  	CLOSING FEE 	  	47
		  	3.6  	  	UNUSED COMMITMENT FEE	  	47
		  	3.7  	  	LETTER OF CREDIT FEES	  	47
		  	3.8  	  	CALCULATION OF CERTAIN CHARGES	  	47
		  	3.9  	  	PAYMENT IN FULL ON MATURITY DATE	  	48
		  	3.10	  	MAXIMUM RATE	  	48
			
	4.	  	PAYMENTS; APPORTIONMENT OF PAYMENTS; DEFAULTING LENDER	  	48
				
		  	4.1  	  	PAYMENTS BY BORROWER	  	48
		  	4.2  	  	SETTLEMENT WITH LENDERS	  	49
		  	4.3  	  	PRO RATA TREATMENT; APPLICATION OF PAYMENTS	  	50
		  	4.4  	  	NON-RECEIPT OF FUNDS FROM BORROWER	  	51
		  	4.5  	  	PAYMENTS TO DEFAULTING LENDER	  	51
		  	4.6  	  	No THIRD PARTY BENEFICIARY	  	51
			
	5.	  	PRECONDITIONS TO CREDIT EXTENSIONS	  	52
				
		  	5.1  	  	INITIAL CREDIT EXTENSIONS	  	52

  

 -i- 

							
		  	5.2  	  	GENERAL CONDITIONS	  	54
			
	6.	  	SECURITY	  	55
				
		  	6.1  	  	SECURITY DOCUMENTS	  	55
		  	6.2  	  	AFFILIATE AND HOLDING CO. GUARANTIES AND SECURITY DOCUMENTS	  	55
		  	6.3  	  	ADDITIONAL COVENANTS	  	55
			
	7.	  	RECEIVABLES; INVENTORY; COLLECTION OF RECEIVABLES; DISPUTED RECEIVABLES; PROCEEDS OF
INVENTORY	  	55
				
		  	7.1  	  	AGREEMENTS REGARDING RECEIVABLES	  	55
		  	7.2  	  	AGREEMENTS REGARDING INVENTORY	  	56
		  	7.3  	  	LOCKED BOX 	  	56
		  	7.4  	  	SPECIAL ACCOUNT	  	57
		  	7.5  	  	CREDITING OF REMITTANCES	  	57
		  	7.6  	  	COST OF COLLECTION	  	58
		  	7.7  	  	CASH MANAGEMENT SERVICES 	  	58
		  	7.8  	  	FEES FOR AGENT’S ACCOUNT	  	58
		  	7.9  	  	MONTHLY ACTIVITY	  	58
			
	8.	  	EXAMINATION OF LOAN COLLATERAL; REPORTING	  	58
				
		  	8.1  	  	MAINTENANCE OF BOOKS AND RECORDS	  	58
		  	8.2  	  	ACCESS AND INSPECTION; APPRAISAL	  	58
		  	8.3  	  	REPORTING REGARDING RECEIVABLES AND NOTES RECEIVABLE	  	59
		  	8.4  	  	REPORTING REGARDING INVENTORY	  	59
		  	8.5  	  	INTERIM FINANCIAL STATEMENTS; PAYABLE INFORMATION	  	60
		  	8.6  	  	ANNUAL PROJECTIONS	  	60
		  	8.7  	  	ANNUAL FINANCIAL STATEMENTS	  	60
		  	8.8  	  	MANAGEMENT REPORTS	  	61
		  	8.9  	  	COMPARISONS TO FINANCIALS; CERTIFICATES	  	61
		  	8.10	  	TAX RETURNS; ADDITIONAL INFORMATION	  	61
		  	8.11	  	SEC FILINGS	  	61
			
	9.	  	WARRANTIES AND REPRESENTATIONS AND COVENANTS	  	61
				
		  	9.1  	  	CORPORATE STATUS	  	61
		  	9.2  	  	DUE AUTHORIZATION; VALIDITY	  	62
		  	9.3  	  	No VIOLATION	  	62
		  	9.4  	  	USE OF LOAN PROCEEDS	  	62
		  	9.5  	  	MANAGEMENT; OWNERSHIP OF ASSETS; LICENSES; PATENTS	  	62
		  	9.6  	  	INDEBTEDNESS	  	62
		  	9.7  	  	TITLE TO PROPERTY; No LIENS	  	63
		  	9.8  	  	RESTRICTIONS; LABOR DISPUTES; LABOR CONTRACTS	  	63
		  	9.9  	  	No VIOLATION OF LAW	  	63
		  	9.10	  	HAZARDOUS SUBSTANCES	  	63
		  	9.11	  	ABSENCE OF DEFAULT	  	64
		  	9.12	  	ACCURACY OF FINANCIALS; NO MATERIAL CHANGES	  	64
		  	9.13	  	PENSION PLANS	  	64
		  	9.14	  	TAXES AND OTHER CHARGES	  	64
		  	9.15	  	No LITIGATION	  	65
		  	9.16	  	No BROKERAGE FEE	  	65

  

 -ii- 

							
		  	9.17	  	AFFILIATES	  	65
		  	9.18	  	CAPITALIZATION; WARRANTS	  	65
		  	9.19	  	NONCOMPETITION AGREEMENTS	  	65
		  	9.20	  	DEPOSIT AND OTHER ACCOUNTS	  	65
		  	9.21	  	SOLVENCY	  	65
		  	9.22	  	FULL DISCLOSURE	  	65
		  	9.23	  	CASUALTIES	  	66
		  	9.24	  	LEASES	  	66
		  	9.25	  	INSURANCE POLICIES 	  	66
		  	9.26	  	CONSENTS	  	66
		  	9.27	  	TAX REGULATIONS	  	66
		  	9.28	  	ANTI-TERRORISM LAWS	  	66
		  	9.29	  	UPDATING REPRESENTATIONS AND WARRANTIES	  	67
			
	10.	  	COVENANTS	  	67
				
		  	10.1  	  	PAYMENT OF CERTAIN EXPENSES	  	67
		  	10.2  	  	NOTICE OF LITIGATION 	  	67
		  	10.3  	  	NOTICE OF ERISA EVENTS	  	67
		  	10.4  	  	NOTICE OF LABOR DISPUTES	  	67
		  	10.5  	  	COMPLIANCE WITH LAWS	  	67
		  	10.6  	  	NOTICE OF VIOLATIONS OF LAW, TAX ASSESSMENTS	  	67
		  	10.7  	  	NOTICE OF VIOLATIONS OF CERTAIN AGREEMENTS	  	68
		  	10.8  	  	NOTICE OF CUSTOMER DEFAULTS	  	68
		  	10.9  	  	TAXES AND CHARGES	  	68
		  	10.10	  	INDEBTEDNESS; GUARANTIES	  	68
		  	10.11	  	RESTRICTIONS; LABOR DISPUTES	  	70
		  	10.12	  	PENSION PLANS	  	70
		  	10.13	  	SOLVENCY	  	70
		  	10.14	  	PROPERTY INSURANCE	  	70
		  	10.15	  	LIABILITY INSURANCE	  	70
		  	10.16	  	MERGERS; ACQUISITIONS	  	70
		  	10.17	  	INVESTMENTS	  	71
		  	10.18	  	DISTRIBUTIONS; LOANS; FEES	  	71
		  	10.19	  	REDEMPTION OF STOCK	  	72
		  	10.20	  	STOCK RIGHTS	  	72
		  	10.21	  	CAPITAL STRUCTURE; FISCAL YEAR	  	72
		  	10.22	  	AFFILIATE TRANSACTIONS	  	73
		  	10.23	  	OPERATING ACCOUNTS	  	73
		  	10.24	  	SALE OF ASSETS	  	73
		  	10.25	  	[RESERVED]	  	73
		  	10.26	  	LEVY AGAINST LOAN COLLATERAL	  	73
		  	10.27	  	JUDGMENTS	  	74
		  	10.28	  	FINANCIAL COVENANTS	  	74
		  	10.29	  	PAYMENTS ON SENIOR NOTES AND CHANGES TO SENIOR NOTES
DOCUMENTS	  	74
		  	10.30	  	TAX SHELTER REGULATIONS	  	74
		  	10.31	  	LIMITATION ON RATE HEDGING AGREEMENTS	  	75
		  	10.32	  	ANTI-TERRORISM LAWS	  	75
		  	10.33	  	FURTHER ASSURANCES	  	75

  

 -iii- 

							
	11.	  	EVENTS OF DEFAULT	  	75
				
		  	11.1  	  	EVENTS OF DEFAULT	  	75
		  	11.2  	  	CURE PERIODS	  	77
			
	12.	  	LENDERS’ RIGHTS AND REMEDIES	  	78
				
		  	12.1  	  	ACCELERATION	  	78
		  	12.2  	  	FEES AND EXPENSES	  	79
		  	12.3  	  	ACTIONS IN RESPECT OF LETTERS OF CREDIT 	  	79
			
	13.	  	AGENT	  	79
				
		  	13.1  	  	APPOINTMENT	  	79
		  	13.2  	  	DELEGATION OF DUTIES	  	79
		  	13.3  	  	EXCULPATORY PROVISIONS	  	80
		  	13.4  	  	RELIANCE BY AGENT	  	80
		  	13.5  	  	NOTICE OF DEFAULT	  	80
		  	13.6  	  	NON-RELIANCE ON AGENT AND OTHER LENDERS	  	81
		  	13.7  	  	INDEMNIFICATION	  	81
		  	13.8  	  	AGENT IN ITS INDIVIDUAL CAPACITY	  	81
		  	13.9  	  	RESIGNATION OF AGENT	  	81
		  	13.10	  	LOAN COLLATERAL MATTERS	  	82
		  	13.11	  	OVERADVANCES	  	84
		  	13.12	  	No THIRD PARTY BENEFICIARY	  	84
		  	13.13	  	No RELIANCE ON AGENT’S CUSTOMER IDENTIFICATION PROGRAM	  	84
		  	13.14	  	USA PATRIOT ACT	  	85
			
	14.	  	AMENDMENTS; WAIVERS; ASSIGNMENTS; PARTICIPATIONS	  	85
				
		  	14.1  	  	AMENDMENTS AND WAIVERS 	  	85
		  	14.2  	  	ASSIGNMENT	  	87
		  	14.3  	  	PARTICIPATIONS	  	88
		  	14.4  	  	LAW REQUIREMENTS	  	89
			
	15.	  	GENERAL	  	89
				
		  	15.1  	  	SEVERABILITY	  	89
		  	15.2  	  	GOVERNING LAW	  	89
		  	15.3  	  	WAIVER OF JURISDICTION	  	90
		  	15.4  	  	SURVIVAL	  	90
		  	15.5  	  	APPLICATION OF PAYMENTS; REVIVAL OF OBLIGATIONS	  	90
		  	15.6  	  	FEES AND EXPENSES	  	90
		  	15.7  	  	NOTICES; ELECTRONIC MAIL	  	91
		  	15.8  	  	INDEMNIFICATION	  	92
		  	15.9  	  	ADDITIONAL WAIVERS BY BORROWER	  	93
		  	15.10	  	EQUITABLE RELIEF	  	93
		  	15.11	  	ENTIRE AGREEMENT	  	93
		  	15.12	  	HEADINGS	  	93
		  	15.13	  	CUMULATIVE REMEDIES	  	93
		  	15.14	  	RECOURSE TO DIRECTORS OR OFFICERS	  	93
		  	15.15	  	WAIVER OF JURY TRIAL	  	94
		  	15.16	  	PATRIOT ACT NOTICE	  	94

  

 -iv- 

 EXHIBITS 
  

			
	 Exhibit A
	  	Revolving Loan Note Form
		
	 Exhibit B
	  	Term Loan Note Form
		
	 Exhibit C
	  	Advance Request Form
		
	 Exhibit D
	  	Borrowing Base Certificate Form
		
	 Exhibit E
	  	Officer’s Certificate Form
		
	 Exhibit F
	  	Financial Covenants
		
	 Exhibit G
	  	Assignment and Acceptance Form
	
	SCHEDULES
		
	 Schedule 1
	  	Lender Commitments
		
	 Schedule 2
	  	Financial Statements
		
	 Schedule 3
	  	Borrower’s Facilities
		
	 Schedule 9.1
	  	List of Jurisdictions of Incorporation and Qualification
		
	 Schedule 9.5
	  	Licenses; Trademarks; Patents; Copyrights
		
	 Schedule 9.7
	  	Permitted Liens
		
	 Schedule 9.8
	  	Labor Matters
		
	 Schedule 9.9
	  	Compliance With Laws
		
	 Schedule 9.10
	  	Environmental Matters
		
	 Schedule 9.13
	  	Pension Matters
		
	 Schedule 9.14
	  	Tax Matters
		
	 Schedule 9.15
	  	Litigation Matters
		
	 Schedule 9.17
	  	Affiliates; Affiliate Transactions
		
	 Schedule 9.18
	  	Stockholders
		
	 Schedule 9.20
	  	Bank Accounts
		
	 Schedule 9.24
	  	Leases
		
	 Schedule 9.25
	  	Insurance Policies
		
	 Schedule 10.10
	  	Existing Indebtedness
		
	 Schedule 10.17
	  	Existing Investments
		
	 Schedule 10.31
	  	Rate Hedging Agreements

  

 -v- 

 AMENDED AND RESTATED FINANCING AGREEMENT 
 THIS AMENDED AND RESTATED FINANCING AGREEMENT (this “Agreement”), dated as of February 15, 2007, by and among CLAYMONT STEEL, INC.,
a Delaware corporation (formerly known as CitiSteel USA, Inc.) (“Borrower”), each of the Lenders from time to time party hereto, and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as LC Issuer and as Agent, is as
follows: 
 Preliminary Statements 
 A. Borrower, Agent and the Lenders are parties to a Financing Agreement dated as of August 25, 2005, as amended by the First Amendment to Financing Agreement dated as of April 21, 2006, the Second
Amendment to Financing Agreement dated as of July 6, 2006, and the Third Amendment to Financing Agreement dated as of December 22, 2006 (as amended, the “Existing Financing Agreement”). 
 B. In connection with an offering of $105,000,000 of senior unsecured notes due February 15, 2015, to be consummated on or about the Closing
Date, Borrower will repurchase all of the Senior Notes (as defined in the Existing Financing Agreement) and pay the associated fees and expenses thereof with (i) the proceeds of (a) such new senior notes offering and (b) the Loans
made by the Lenders hereunder on the Closing Date, and (ii) existing cash of Borrower. 
 C. Holding Co. and Borrower have
requested that Agent and the Lenders amend and restate the Existing Financing Agreement and provide a revolving credit facility of up to an aggregate amount of $60,000,000 (with a $10,000,000 sublimit for letters of credit) and a term loan of
$20,000,000, each as more specifically set forth herein. 
 D. Agent and the Lenders are willing to consent to such requests and so
amend and restate the Existing Financing Agreement, all as contemplated by the terms, and subject to the conditions, of this Agreement. 
 Amendment and Restatement 
 The Existing Financing Agreement is hereby amended and restated in its entirety by this
Agreement. This Agreement, the Exhibits and Schedules attached hereto, and the other Loan Documents will govern the present relationship among Borrower, Agent, and the Lenders party hereto. This Agreement, however, is in no way intended, nor shall
it be construed, to affect, replace, impair or extinguish the creation, attachment, perfection or priority of the security interests in, and other Liens on, the Loan Collateral granted to, or held by, Agent, on behalf of itself and the Lenders,
which security interests and other Liens Borrower, by this Agreement, acknowledges, reaffirms and confirms to Agent and the Lenders. In addition, all obligations, liabilities and indebtedness created or existing under, pursuant to, or as a result
of, the Existing Financing Agreement shall continue in existence within the definition of “Obligations” under this Agreement, which obligations, liabilities and indebtedness Borrower, by this Agreement, acknowledges, reaffirms and
confirms. This Agreement shall not be deemed to evidence a novation or a payment and refunding of the outstanding Obligations. The existing Loan Documents, except as amended, or as amended and restated, by this Agreement or by a separate agreement,
shall remain in full force and effect and are hereby ratified and confirmed. References in any of the Loan Documents to the Existing Financing Agreement shall, after the Closing Date, be deemed to be references to this Agreement. Interest and fees
accrued but not paid under the Existing Financing Agreement and the other Loan Documents remain accrued and unpaid hereunder and do not constitute any part of the principal amount of the Loans due hereunder. Capitalized terms used, but not defined,
in this Paragraph have the meanings given this Agreement. 

	1.	DEFINITIONS. 

 1.1 Defined Terms. In addition
to the other terms defined in this Agreement, whenever the following capitalized terms (whether or not underscored) are used, they shall be defined as follows: 
 “Additional Subordinated Debt” means all Indebtedness of any member of the Borrower Consolidated Group that is
subordinated to the Obligations pursuant to written agreements on terms consistent with, and that is incurred in compliance with, Section 10.10(i)(i). 
 “Adjusted EBITDA” has the meaning given on Exhibit F. 
 “Advance Rate” means a percentage, subject to change by Agent from time to time in accordance with
Section 2.9, which is applied to Eligible Receivables (the “Receivables Advance Rate”) and to Eligible Inventory (the “Inventory Advance Rate”) for purposes of determining the Borrowing Base. Subject to
Section 2.9, the advance rates are as follows: the Receivables Advance Rate is 85%, and the Inventory Advance Rate is 70%. Agent may establish, in its discretion exercised in good faith, one or more additional Inventory Advance Rate
which may be applied severally against specific categories or types of Eligible Inventory. 
 “Advance
Request” has the meaning given in Section 2.4. 
 “Affected Lender” has the meaning
given in Section 2.5.2. 
 “Affiliate” means, as to any Person (the “Subject
Person”), any other Person which, directly or indirectly, is in control of, is controlled by, or is under common control with, the Subject Person. For purposes of this definition, “control” of a Person means the power, direct or
indirect, (i) to vote 20% or more of the securities (or other ownership interests) having ordinary voting power for the election of directors (or managers in the case of a limited liability company) of the Person or (ii) otherwise to
direct or cause the direction of the management and policies of the Person, whether by contract or otherwise. Without limiting the generality of the foregoing, each of the following will be deemed an Affiliate of Borrower for purposes of this
Agreement: (i) all of Borrower’s and CitiSteel PA’s respective officers, stockholders, and directors and (ii) Holding Co. and its officers and directors. Notwithstanding the foregoing, the following Persons will not be deemed to
be an Affiliate of Borrower for purposes of this Agreement: any Person controlled by H.I.G. exclusive of (a) H.I.G. Parent Authority, Holding Co., Borrower, or any Subsidiary of H.I.G. Parent Authority, Holding Co., or Borrower, (b) any
stockholder or other equity interest holder of H.I.G. Parent Authority or Holding Co., or (c) a Person listed, or required to be listed, on Schedule 9.17. 
 “Affiliate Guarantor” means CitiSteel PA. 
 “Affiliate Guarantor Security Agreement” has the meaning given in Section 6.2. 
 “Affiliate Guaranty Agreement” has the meaning given in Section 6.2. 
 “Agent” means U.S. Bank in its capacity as contractual representative of LC Issuer and the Lenders pursuant to
Section 13, and not in its individual capacity as a Lender, and any successor Agent appointed pursuant to Section 13. 
  

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 “Agent Advance” has the meaning given in Section 13.10.6.

 “Agent Advance Exposure” means, with respect to any Lender at any time, an amount equal to (i) the
outstanding amount of Agent Advances held by such Lender at such time plus (ii) such Lender’s Agent Advance Exposure Percentage of the total outstanding Agent Advances held by Agent at such time. 
 “Agent Advance Exposure Percentage” means, with respect to any Lender at any time, the ratio of (i) the sum of
(a) the Revolving Credit Commitment of such Lender at such time or, if the Revolving Credit Commitments are terminated, the Revolving Credit Exposure of such Lender at such time, plus (b) the outstanding principal amount of the Term
Loan held by such Lender at such time to (ii) the sum of (a) the Revolving Credit Commitments then in effect at such time or, if the Revolving Credit Commitments are terminated, the Revolving Credit Exposure of all of the Lenders at such
time plus (b) the outstanding principal amount of the Term Loan at such time. 
 “Agent’s
Liens”, “Lien in favor of Agent”, “Lien granted to Agent”, “security interest of Agent” or words of similar import mean the Liens granted to Agent, for the benefit of: Agent, LC Issuer and
Lenders; LC Issuer; and Agent pursuant to this Agreement and the other Loan Documents. 
 “Anti-Terrorism
Laws” means any law, rule or regulation relating to terrorism or money laundering, including Executive Order No. 13224, the USA Patriot Act, the laws, rules and regulations compromising or implementing the Bank Secrecy Act and the
laws, rules and regulations administered by the United States Treasury Department’s Office of Foreign Asset Control. 
 “Applicable Agreement” means any agreement, commitment, arrangement or instrument (including any note, indenture, loan agreement, mortgage, lease, or deed) to which, as of any relevant date, Borrower is a party or by which
Borrower or any of its properties is bound, in each case, the performance or non-performance of which could reasonably be expected to have a Material Adverse Effect. 
 “Applicable LIBOR Rate Margin”. “Applicable LOC Fee”, and “Applicable Prime Rate
Margin” means, as of any date, with respect to: (i) a LIBOR Rate Revolving Loan, a Prime Rate Revolving Loan, or the Applicable LOC Fee, the applicable per annum rate shown in the applicable column in Section 3.2.5 based on
the then applicable Excess Availability; (ii) a LIBOR Rate Term Loan, 2.50% per annum; and (iii) a Prime Rate Term Loan, 0.00% per annum. 
 “Assignment and Acceptance” has the meaning given in Section 14.2.2. 
 “Attorneys’ Fees” means the reasonable fees, costs and expenses of all attorneys (and all paralegals and other staff employed by such attorneys) retained by Agent, LC Issuer or any Lender from time to time; provided
that, unless an Event of Default exists and except as expressly provided in this Agreement and the other Loan Documents, “Attorneys’ Fees” shall only refer to the fees, costs and expenses of all attorneys (and all paralegals and
other staff employed by such attorneys) retained by Agent. 
 “Authorized Representative” means any of
(i) the Chief Executive Officer, (ii) the President, (iii) the principal financial officer, (iv) the Treasurer, or (v) any other employee, officer or director of Borrower which has been so designated by Borrower in writing
and delivered to Agent. 
 “Basket Amount” means, with respect to: (i) Section 10.9. the
lesser of: (a) $500,000 or (b) that portion of a Reserve Amount implemented by Agent, for any unpaid Taxes which are not being 

  

 -3- 

 
contested in accordance with the conditions set forth in Section 10.9. which causes a Deficiency; (ii) Section 10.26. the lesser
of: (a) $1,000,000 or (b) that portion of a Reserve Amount implemented by Agent, for any amounts which are the subjects of Section 10.26, which causes a Deficiency; or (iii) Section 1 l.l(i)(j), the lesser of:
(a) $500,000 or (b) that portion of a Reserve Amount implemented by Agent, for any amounts secured by an ERISA Lien, which causes a Deficiency. In each of the foregoing cases, if a Deficiency does not result after giving effect to the
Reserve Amount and, therefore, each of the clauses (i)(b), (ii)(b), and (iii)(b) would otherwise be zero, then the applicable Basket Amount will be $500,000 or, as applicable, $1,000,000. 
 “Blocked Person” means any Person (i) that is listed in the annex to, or is otherwise subject to the provisions of,
Executive Order No. 13224; (ii) owned or controlled by, or acting for or on behalf of, any Person that is listed in the annex to, or is otherwise subject to the provisions of, Executive Order No. 13224; (iii) with which any
Lender is prohibited from dealing or otherwise engaging in any transaction by any Anti-Terrorism Law; (iv) that commits, threatens or conspires to commit or supports “terrorism” as defined in Executive Order No. 13224;
(v) that is named as a “specially designated national” on the most current list published by the U.S. Treasury Department Office of Foreign Asset Control at its official website or any replacement website or other replacement official
publication of such list; or (vi) who is affiliated or associated with a person or entity listed above. 
 “Borrower Consolidated Group” means Borrower and each of its Subsidiaries. 
 “Borrower
Security Agreement” has the meaning given in Section 6.1. 
 “Borrower’s
Facilities” means, collectively, those facilities described on Schedule 3 which are owned or leased by Borrower. “Borrower’s Facility” means each of the foregoing facilities. 
 “Borrowing Base” means, as of any time, an amount in Dollars equal to the sum of: 
 (i) the Receivables Advance Rate applied to the then Net Amount of Eligible Receivables of Borrower then outstanding; 
 plus (ii) the lesser of: (a) the applicable Inventory Advance Rate applied, with respect to the applicable categories of
Eligible Inventory, to the then Eligible Inventory, and (b) 85% of the Net Orderly Liquidation Value, as of any applicable date, of the then aggregate amount of Eligible Inventory; and 
 less (iii) the then Reserve Amount. 
 “Borrowing Base Certificate” has the meaning given in Section 8.3. 
 “Borrowing Base Deficiency” means the failure, as of any time, of the Revolving Credit Availability to be greater than or
equal to zero Dollars. 
 “Borrowing Date” means a date on which a Credit Extension is made hereunder and
thereafter shall be the effective date of the most recent conversion or continuation of such Credit Extension. 
 “Business Day” means (i) any day on which commercial banks in Cincinnati, Ohio are required by law to be open for business, and (ii) with respect to all notices and determinations in connection with, and payments
of principal and interest on, LIBOR Rate Loans, any day (other than a Saturday or Sunday) on which commercial banks are open for business in New York, New York and that is also a day on which dealings in Dollar deposits are carried out in the London
interbank market. Periods of days referred to in this Agreement will be counted in calendar days unless Business Days are expressly prescribed. 
  

 -4- 

 “Capital Stock” means all shares, interests, participations, rights to
purchase, options, warrants, general or limited partnership interests, or limited liability company interests or other equivalents (regardless of how designated) of or in a corporation, partnership, limited liability company or equivalent entity,
whether voting or nonvoting, including common stock, preferred stock or any other “equity security” (as such term is defined in Rule 3al1-1 of the Rules and Regulations promulgated by the Securities and Exchange Commission (17 C.F.R.
§ 240.3all-l) under the Securities and Exchange Act of 1934, as the same shall be from time to time amended, renewed, extended or replaced, and securities convertible or exchangeable into any of the foregoing. 
 “Change in Law” means (i) the adoption of any law, rule or regulation after the date of this Agreement,
(ii) any change in any law, rule or regulation or in the interpretation or application thereof by any Governmental Authority after the date of this Agreement or any change in the applicability of such law, rule or regulation, on the
interpretation thereof, with respect to Agent, LC Issuer, a Lender or any applicable Lending Installation, or (iii) compliance by Agent, LC Issuer, any Lender or any applicable Lending Installation with any request, guideline or directive
(whether or not having the force of law) of any Governmental Authority made or issued after the date of this Agreement. 
 “Change of Control” means any of the following (or any combination of the following) whether arising from any single transaction or event or any series of transactions or events (whether as the most recent transaction in a
series of transactions) which, individually or in the aggregate, results in: 
 (i) any Person or group, but excluding H.I.G.
Parent Authority or the H.l.G. Owners, either (a) becoming the beneficial owner, directly or indirectly, of Capital Stock representing more than fifty percent (50%) of the aggregate ordinary voting power represented by the issued and
outstanding Capital Stock of Holding Co. or (b) otherwise having the ability, directly or indirectly, to elect a majority of the Board of Directors of Holding Co.; 
 (ii) during any period of 24 consecutive months, individuals who at the beginning of such period constituted the Board of Directors of
Holding Co. (together with any new or replacement directors whose election to the Board of Directors, or whose nomination for election by the stockholders, was approved by a vote of at least a majority of the directors then still in office who were
either directors at the beginning of such period or whose election or nomination for reelection was previously so approved) ceasing for any reason to constitute a majority of the directors then in office; 
 (iii) any Person or group, but excluding H.I.G. Parent Authority or the H.I.G. Owners, possessing the power to direct or cause the
direction of the management or policies of Holding Co., whether through the ability to exercise voting power, by contract or otherwise; 
 (iv) a change in the ownership of Borrower, such that Holding Co. fails to (a) own legally and beneficially, free and clear of any Liens (except the Liens in favor Agent), 100%, on a fully diluted basis, of the
issued and outstanding voting and non-voting securities of, and other equity interests in, Borrower or (b) have the power to direct or cause the direction of the management and policies of Borrower; or 
 (v) any change which results in a “Change of Control” as defined in the Senior Notes Indenture. 
  

 -5- 

 For purposes of this definition, the terms “group” and “beneficial owner” shall have the respective
meanings ascribed to them pursuant to Section 13(d) of the Securities Exchange Act of 1934, as amended, and the rules of the Securities Exchange Commission promulgated thereunder, except that a Person or group shall be deemed to
“beneficially own” or be the “beneficial owner” of all securities that such Person or group has the right to acquire, whether such right is exercisable immediately or after a passage of time. 
 “CitiSteel PA” means CitiSteel PA, Inc., a Pennsylvania corporation. 
 “Class” has the meaning given in Section 1.4. 
 “Closing Date” means the date upon which all of the conditions precedent to the effectiveness of this Agreement contained
in Section 5.1 are satisfied or waived by the Agent, the LC Issuer and each of the Lenders. 
 “Code” means the Uniform Commercial Code, as enacted in the State of Ohio, § 1301 et seq. of the Ohio Revised Code, as the same shall be from time to time be amended, renewed, extended or replaced. 

“Collateral” has the meaning given in the Borrower Security Agreement. 
 “Commercial Letter of Credit” has the meaning given in Section 2.3.1. 
 “Commitments” means the Revolving Credit Commitments or the Term Loan Commitments or any combination thereof (as the
context requires). “Commitment” means, when used with reference to a particular Lender, its Revolving Credit Commitment and Term Loan Commitment or any combination thereof (as the context requires). 
 “Consolidated”, when used with reference to any term, means that term as applied to the accounts of Holding Co., Borrower
(or other specified Person) and all of their respective Subsidiaries (or other specified group of Persons), or such of their respective Subsidiaries as may be specified, consolidated (or combined), in accordance with GAAP and with appropriate
deductions for minority interests in Subsidiaries. 
 “Controlled Disbursement Accounts” means account
number: 130103012626 established at Agent, which will be structured and utilized as a non-interest bearing, controlled disbursement account in accordance with Agent’s controlled disbursement account policies and procedures from time to time in
effect. 
 “Controlled Group” means all members of a controlled group of corporations and other entities and
all trades or businesses (whether or not incorporated) under common control which, together with Borrower, are treated as a single employer under Section 414(b) or 414(c) of the Internal Revenue Code or Section 4001 of ERISA. 

“Credit Exposure” means, with respect to any Lender at any time, an amount equal to (i) the Revolving Credit
Exposure of such Lender at such time, plus (ii) the amount of the outstanding Term Loan held by such Lender at such time, plus (iii) the Agent Advance Exposure of such Lender at such time. 
 “Credit Extension” means the making of any Loan or the issuance of a Letter of Credit hereunder. 
  

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 “Default Rate” has the meaning given in Section 3.2.6.

 “Defaulting Lender” means any Lender that fails to make any Loan (or other extension of credit) that it is
required to make hereunder on the date that it is required to do so hereunder. 
 “Deficiency” means
(collectively and individually) a Borrowing Base Deficiency and a Letter of Credit Deficiency. 
 “Dollars”
and “$” means dollars in lawful currency of the United States of America unless otherwise indicated. 
 “EBITDA” has the meaning given on Exhibit F. 
 “Eligible Inventory” means
Borrower’s Inventory which meets the criteria in clause (i) below of this definition and is not ineligible pursuant to clause (ii) below. Eligible Inventory will be valued, for purposes of determining the Borrowing Base (other than
with respect to determining the Net Orderly Liquidation Value thereof), at the lower of market value or cost, determined in accordance with a “first in-first out” cost accounting system. 
 (i) Except as otherwise provided in clause (ii) below, Inventory is eligible if it is, and continues to be,
(a) (1) finished goods comprised of steel plates (“Finished Goods”) owned and held by Borrower at a Borrower’s Facility for sale in the ordinary course of Borrower’s business or (2) raw materials or
work-in-process inventory owned and held by Borrower at a Borrower’s Facility, comprised of steel scrap in case of raw materials (“Raw Materials”) and melted-down steel scrap in the form of slabs that have not yet been rolled
or cut to make steel plates in the case of work-in-process (“WIP”) that, in each case, will be converted or fabricated into Finished Goods in the ordinary course of Borrower’s business as presently conducted by it and
(b) subject to a valid and prior, fully perfected security interest of Agent, free and clear of all Liens of any Person (except to the extent, if any, of any Permitted Liens of the type described in clause (i) of that definition).

 (ii) The following Inventory will not, in any event, constitute Eligible Inventory (provided that the value of any
ineligible Inventory will not be subtracted from Eligible Inventory more than once, as of any date, for purposes of determining Eligible Inventory even though such Inventory is ineligible under more than one of the ineligible items (a) through
(k) below of this clause (ii)): 
 (a) Finished Goods (I) which are not readily saleable in the ordinary course of
Borrower’s business, (2) which are slow-moving or obsolete as determined by Agent, in its discretion exercised in good faith, or (3) which are subject to defects which would affect their market value but only to the extent such defect
actually reduces the market value thereof (including all Finished Goods for which reserves for obsolescence have been provided for in Borrower’s financial statements or for which obsolescence reserves are anticipated); 
 (b) Raw Materials or WIP (1) which are not in good condition or not usable in Borrower’s business, (2) which are
slow-moving or obsolete as determined by Agent, in its discretion exercised in good faith, or (3) which are subject to defects which would affect their market value but only to the extent such defect actually reduces the market value thereof
(including all Raw Materials and WIP for which reserves for obsolescence have been provided for in Borrower’s financial statements or for which obsolescence reserves are anticipated); 
 (c) supplies and packaging materials; spare parts; display items; or rack samples; 
  

 -7- 

 (d) Inventory that is located outside of the United States; 
 (e) (1) Inventory which has been consigned to Borrower or has been sold to Borrower in any sale on approval or sale and return transaction
or (2) Inventory which has been consigned by Borrower (“Consigned Inventory”) to a third party (“Consignee”); provided that for such Consigned Inventory to be Eligible Inventory: (A) such Consigned
Inventory must otherwise be Eligible Inventory (i.e., but for being Consigned Inventory) and (B) Agent shall have received: (I) UCC financing statements between such Consignee, as consignee, and Borrower, as consignor, in form and
substance satisfactory to Agent in its discretion exercised in good faith, which have been duly filed and duly assigned to Agent, (II) a written collateral access and waiver agreement with such Consignee, in form and substance satisfactory to Agent
in its discretion exercised in good faith, and (III) a written notice to each secured party of such Consignee of the first priority security interest of Agent in such Consigned Inventory shall have been given to each such secured party; 

(f) Inventory that is located on any premises not owned by Borrower or is in the possession of any Person other than Borrower except
(subject to any additional requirements imposed by Agent, in its discretion exercised in good faith, to protect Borrower’s title thereto or Agent’s Liens thereon): (1) Eligible Inventory in the possession of a warehouseman or other
bailee (including an inventory processor) if Agent has received a bailee waiver letter acceptable to Agent, in Agent’s judgment exercised in good faith, from such warehouseman or bailee and such warehousemen or bailee has not issued a
negotiable document of title as to any of the Eligible Inventory and (2) Eligible Inventory located on premises leased by Borrower if Agent has received a landlord’s waiver acceptable to Agent, in Agent’s judgment exercised in good
faith, with respect to such premises; provided that if Agent elects to implement a Reserve Amount for rent with respect to such leased premises for the longer of: (A) three months or (B) the period under applicable law for which
such landlord has been granted a Lien, then such Inventory, if otherwise eligible, will not be deemed ineligible solely as a result of the absence of an acceptable landlord’s waiver so long as the value of the Inventory at such leased location
does not exceed, when added to all other similarly situated locations, $500,000 in the aggregate as of any date; 
 (g)
Inventory that is subject to any trademark, trade name, patent or licensing arrangement, any contractual arrangement, or any law, rule or regulation that could, in any instance in Agent’s judgment exercised in good faith, limit or impair the
ability of Agent to promptly exercise any of its rights with respect thereto; 
 (h) Inventory (1) with respect to which
insurance proceeds, if any, are not payable to Agent as mortgagee or loss payee in accordance with the Loan Documents or (2) which is subject to a negotiable warehouse receipt or other negotiable instrument; 
 (i) Inventory that is in transit, other than from one of the Borrower’s Facilities to another of the Borrower’s Facilities or to
another location that is subject to a warehouse or bailment agreement in favor of, and satisfactory to, Agent in Agent’s judgment exercised in good faith; 
 (j) Inventory which is custom made for a particular customer of Borrower for which Borrower’s customer did not issue a purchase order
to Borrower or enter into another binding contract with Borrower in the ordinary course of Borrower’s business, unless such Inventory is otherwise saleable in the ordinary course of business of Borrower; or 
 (k) Inventory as to which Agent, in its discretion exercised in good faith, deems to be ineligible because of type, category, value, or
quantity or any other credit or collateral considerations which the Business Credit Group of Agent makes applicable from time to time. 
  

 -8- 

 “Eligible Receivables” means such of the Receivables owing to Borrower
that meet the criteria in clause (i) below of this definition and are not ineligible pursuant to clause (ii) below. 
 (i) Except as provided in clause (ii) below, Receivables which meet, and continue to meet, all of the following criteria are Eligible Receivables: 
 (a) Receivables which consist of ordinary trade accounts receivable owned solely by Borrower, evidenced by Borrower’s standard
invoice therefor, payable in cash in Dollars and which arise out of an outright, bona fide, lawful and final sale of Finished Goods or the provision of services in each case in the ordinary course of Borrower’s business as presently conducted
by it to a Person who is not an Affiliate of Borrower (or who otherwise is controlled by Borrower or by an Affiliate of Borrower) who has issued a valid and binding purchase order therefor to, or entered into a binding contract with, Borrower;

 (b) Receivables which are due and payable absolutely and unconditionally within (1) Borrower’s standard terms of
net 30 days from the date of the invoice applicable thereto, or (2) such extended terms that Agent, in its discretion exercised in good faith, approves after prior notice from Borrower; 
 (c) Receivables with respect to which (I) the services covered thereby have been rendered and accepted by the account debtor or its
designee or (2) the Finished Goods covered thereby have been shipped to the account debtor or its designee in accordance with the terms of the applicable contract and accepted by such account debtor or designee; and 
 (d) Receivables with respect to which not more than 60 days have elapsed since the due date thereof and not more than 90 days have elapsed
since the date of the original invoice applicable thereto. 
 (ii) The following Receivables will not, in any event,
constitute Eligible Receivables (provided that the value of any ineligible Receivables will not be subtracted from Eligible Receivables more than once, as of any date, for purposes of determining Eligible Receivables even though such
Receivables is ineligible under more than one of the ineligible items (a) through (p) below of this clause (ii): 
 (a) Receivables with respect to which the account debtor or any Affiliate of the account debtor has filed or had filed against it a pending petition in bankruptcy or for reorganization, made an assignment for the benefit of creditors, or
failed, suspended business operations, become insolvent or in respect of which a receiver, custodian, or a trustee was appointed for a significant portion of its assets or affairs, or Receivables with respect to which the account debtor is
incompetent or has died; 
 (b) Receivables with respect to which (1) the account debtor is not registered to do business
in one or more States of the United States of America or any Canadian provinces or (2) the account debtor has its principal place of business or chief executive office outside of the United States of America or any Canadian provinces unless, in
either or both of such events (1) or (2), the Receivable is either supported by (A) an irrevocable, clean letter of credit or acceptance issued (I) by a financial institution satisfactory to Agent in its discretion exercised in good
faith and (II) on terms acceptable to Agent in its discretion exercised in good faith, and, if so requested by Agent, delivered to Agent in pledge for negotiation and presentment or (B) foreign credit insurance satisfactory to Agent in its
discretion exercised in good faith and as to which Agent is named as the loss payee; 
  

 -9- 

 (c) Receivables owing from the same account debtor, either alone or together with its
Affiliates, if 50% or more of such Receivables are ineligible for any reason; 
 (d) Receivables owing from any single account
debtor to the extent, as of any date, that the total amount of such account debtor’s Indebtedness to Borrower (whether evidenced by such Receivables or otherwise) exceeds 20% of the face amount (less maximum discounts, credits and allowances
which may be taken by, or granted to, such account debtor in connection therewith) of the then outstanding Eligible Receivables of Borrower but only in the amount of such excess; 
 (e) Receivables with respect to which the account debtor is a Governmental Authority (“Government Receivables”), unless
with respect to such Government Receivables the Assignment of Claims Act of 1940, as the same shall be from time to time be amended, renewed, extended or replaced (31 U.S.C. § 3727 and 41 U.S.C. § 15) or, as applicable, comparable state
statute or regulation has been complied with to Agent’s satisfaction in its discretion exercised in good faith; 
 (f)
Receivables which (1) consist (or to the extent consisting) of deposits or C.O.D. sales, (2) consist (or to the extent consisting) of vendor warranty claims, (3) consist (or to the extent consisting) of finance charges, service
charges, or interest on delinquent accounts, (4) are proceeds of consigned Inventory, (5) are employee, officer, director or other Affiliate Receivables, or (6) are (or to the extent consisting of) debit memoranda; 
 (g) Receivables with respect to which the terms or conditions prohibit or restrict assignment or collection rights or which are evidenced
by a promissory note, chattel paper or other instrument; 
 (h) Receivables (1) which are subject to bona-fide set-off,
credit, contras, allowance or adjustment by the account debtor (except discounts allowed for prompt payment), or (2) with respect to which the account debtor has returned any of the Inventory from the sale from which the Receivables arose,
provided that in either or both of such events (1) or (2), the net amount owed by such account debtor to Borrower in respect of such Receivable, as determined by Agent in its discretion exercised in good faith, will, if otherwise
eligible, be an Eligible Receivable; 
 (i) Receivables which are generated by a sale on approval, a bill and hold sale, a
sale on consignment, or other type of conditional sale or which are subject to progress billing; 
 (j) Receivables which are
not subject to the first priority security interest of Agent or are subject to any Lien of any Person (except to the extent, if any, of any Permitted Liens of the type described in clause (i) of that definition); 
 (k) Receivables with respect to which the account debtor (the “Subject Customer”) is located in any one or more of
New Jersey, Minnesota, or West Virginia (1) to the extent that the Receivables owing from the Subject Customer exceed 5% of the face amount of the then outstanding Eligible Receivables owing to Borrower (whether evidenced by such Receivables or
otherwise) and (2) (A) if the Subject Customer is located in New Jersey and all Receivables owing from all account debtors located in New Jersey exceed 15% of the face amount of the then outstanding Eligible Receivables owing to Borrower
(whether evidenced by such Receivables or otherwise), unless Borrower has properly qualified to do business in New Jersey or has filed a Notice of Business Activities Report with the New Jersey Division of Taxation for the then current year,
(B) if the Subject Customer is located in Minnesota and all Receivables owing from all account debtors located in Minnesota exceed 15% of the face amount of the then outstanding Eligible Receivables owing to Borrower (whether evidenced by such
Receivables or otherwise), unless Borrower has properly qualified to do business in Minnesota or has 

  

 -10- 

 
filed a Notice of Business Activities Report with the Minnesota Division of Taxation for the then current year, or (C) if the Subject Customer is
located in West Virginia and all Receivables owing from all account debtors located in West Virginia exceed 15% of the face amount of the then outstanding Eligible Receivables owing to Borrower (whether evidenced by such Receivables or otherwise),
unless Borrower has filed, or is exempt from filing, a Business Activity Report with the Tax Commissioner of the State of West Virginia for the then current year; 
 (1) Receivables with respect to which the account debtor has sold or is selling substantially all of its assets and has not established
adequate reserves or made provisions for the payment of all amounts owed to such account debtor’s trade creditors, as determined by Agent in its discretion exercised in good faith; 
 (m) Receivables with respect to which Agent has received a check for payment of such Receivable which has been returned uncollected, or
Receivables with respect to which Agent, in its discretion exercised in good faith, believes that the collection of such Receivable is in doubt or impaired or that such Receivable may not be paid by reason of the account debtor’s financial
inability to pay; 
 (n) Receivables with respect to which the account debtor is located in any state or provinces requiring
the filing by Borrower of an application to qualify to do business or a fictitious name report in order to permit Borrower to seek judicial enforcement in such state or provinces of payment of that Receivable, unless Borrower has qualified to do
business in such state or has filed a fictitious name report; 
 (o) Receivables with respect to which an invoice for the
agreed-on purchase price has been issued to the account debtor greater than or equal to ten Business Days after the services covered thereby have been rendered or the Finished Goods covered thereby have been (or were originally) delivered to the
account debtor or its designee; or 
 (p) Receivables which Agent, in its discretion exercised in good faith, deems to be
ineligible based on those credit or collateral considerations which the Business Credit Group of Agent makes applicable from time to time. 
 “Equipment” means equipment as defined in the Code. 
 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 
 “Event of
Default” has the meaning given in Section 11, whether any requirement for the giving of notice, the lapse of time, the satisfaction of any other condition, or all of them, have been satisfied. 
 “Event of Loss” means, with respect to any Equipment or Mortgaged Real Estate, any of the following: (i) any loss,
destruction or damage of such Equipment or Mortgaged Real Estate or (ii) any condemnation or taking by exercise of the power of eminent domain of such Equipment or Mortgaged Real Estate by any Governmental Authority. 
 “Excess Availability” means Borrower’s average Revolving Credit Availability as measured for the applicable time
period. 
  

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 “Excess Cash Flow” means, for each applicable Fiscal Quarter, an amount
equal to the sum of: (i) Borrower’s Adjusted EBITDA for the applicable Fiscal Quarter minus (ii) Borrower’s Fixed Charges for such Fiscal Quarter. 
 “Excess Cash Flow Payment” has the meaning given in Section 3.1.4(i)(a). 
 “Excess Cash Flow Payment Date” has the meaning given in Section 3.1.4(i)(a). 
 “Excluded Taxes” means, with respect to Agent, LC Issuer and any Lender or any other recipient of any payment to be made
by or on account of any obligation of Borrower hereunder or any of the other Loan Documents: (i) Taxes imposed on its overall revenue or net income, and franchise Taxes imposed on it, by (a) the jurisdiction under the laws of which such
Lender, LC Issuer or Agent is incorporated or organized or (b) the jurisdiction in which such Lender, LC Issuer or Agent’s applicable Lending Installation is located; (ii) Taxes to the extent that such Taxes would not have been
imposed had a Lender, LC Issuer or Agent provided forms or certifications that it was legally obligated to provide; and (iii) Taxes to the extent that such Taxes would not have been imposed but for a connection between a Lender, LC Issuer or
Agent and the taxing jurisdiction other than a connection resulting solely from this Agreement or any other Loan Document. 
 “Executive Order No. 13224” means the Executive Order No. 13224 on Terrorist Financing, effective September 24, 2001. 
 “Existing Letter of Credit” means the Letter of Credit No. SLCLSTL01841, in the stated amount of $550,000 with an
expiration date of June 1, 2007. 
 “Federal Funds Rate” means, for any day, an interest 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 for such day (or, if such day is not a Business Day, for the
immediately preceding Business Day) by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Business Day, the average of the quotations at approximately 10:00 a.m. Cincinnati, Ohio time on such day on
such transactions received by Agent from three Federal funds brokers of recognized standing selected by Agent in its sole discretion. 
 “Fee Letter” means the letter agreement of even date herewith by and between Borrower and Agent. 
 “Financial Covenants” has the meaning given in Section 10.28. 
 “Financials” means those financial statements attached as Schedule 2. 
 “Fiscal
Month” has the meaning given on Exhibit F. 
 “Fiscal Quarter” has the meaning given on
Exhibit F. 
 “Fiscal Year” has the meaning given on Exhibit F. 
 “Fixed Charges” has the meaning given on Exhibit F. 
 “Fixed Charge Coverage Ratio” has the meaning given on Exhibit F; provided, however, that for purposes of
determining (i) any Permitted Dividends under Section 10.18, the amount of any Excess Cash Flow Payment made for the applicable period will be included as a Fixed Charge and (ii) the Excess Cash Flow Payment under
Section 3.1.4(i)(a). the amount of any Voluntary Term Loan Payment made for the applicable period will be included as a Fixed Charge. 
  

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 “Foreign Lender” means any Lender or LC Issuer that (i) is not a
“United States person” within the meaning of Section 7701(a)(30) of the Internal Revenue Code or (ii) is a “United States person” within the meaning of Section 7701(a)(30) of the Internal Revenue Code to the extent
that interest payments are directly or indirectly beneficially owned or allocable to a person who is not a “United States person” within the meaning of Section 7701(a)(30) of the Internal Revenue Code. 
 “GAAP” has the meaning given in Section 1.3. 
 “General Intangibles” means general intangibles as defined in the Code. 
 “Governmental Authority” means any nation or government, any state or other political subdivision thereof, and any entity
exercising executive, legislative, judicial, regulatory or administrative functions of, or pertaining to, government or any agency or instrumentality thereof (including any central bank). 
 “H.I.G.” means H.I.G. Capital L.L.C., a Delaware limited liability company and its successors and assigns. 
 “H.I.G. Owners” means, collectively, (i) (a) H.I.G. Capital Partners II, L.P., a Delaware limited partnership,
(b) H.I.G. Investment Group II, L.P., a Cayman Islands limited partnership, (c) H.I.G. Capital Partners III, L.P., a Delaware limited partnership, and (d) any other fund managed and arranged by H.I.G. in a manner substantially
consistent with the foregoing Persons (i)(a) through (c) and (ii) (a) any one or more of the employees of H.I.G. (“H.I.G. Employees”) or spouse thereof, (b) any child or lineal descendant of any H.I.G. Employee
or any spouse thereof, or (c) any trust established by any H.I.G. Employee, any child or lineal descendant of any H.I.G. Employee, or any spouse thereof for the exclusive benefit of any H.I.G. Employee, any child or lineal descendant of any
H.I.G. Employee, or any spouse thereof. 
 “H.I.G. Parent Authority” means H.I.G. Capital LLC, Inc., a Cayman
Islands corporation and its successors and assigns. 
 “Holding Co.” means Claymont Steel Holdings, Inc.
(formerly known as CitiSteel USA Holdings, Inc. and H.I.G. Steelco Holdings, Inc.), a Delaware corporation and its successors and assigns. 
 “Holding Co. Consolidated Group” means Holding Co. and each of its Subsidiaries. 
 “Holding Co. Guaranty” has the meaning given in Section 6.2. 
 “Indebtedness” means all of a Person’s monetary obligations, indebtedness and liabilities to any other Person, including all debts, claims and indebtedness, contingent, fixed or otherwise, heretofore, now and from time
to time hereafter owing, due or payable, however evidenced, created, incurred, acquired or owing and however arising, whether under written or oral agreement, operation of law or otherwise. Borrower’s Indebtedness includes: (i) the
Obligations, (ii) obligations or liabilities of any Person secured by a Lien on property owned by Borrower, even though Borrower has not assumed or become liable for the payment therefor, (iii) obligations or liabilities created or arising
under any lease of real or personal property, any conditional sales contract or other title retention agreement with respect to property used or acquired by Borrower, even though the rights and remedies of the lessor, seller, or lender thereunder
are limited to repossession of such property, and (iv) the net cost (without duplication) to Borrower under any interest rate, commodity or foreign currency exchange, swap, collar, cap or similar agreements. 
  

 13 

 ‘Indemnified Taxes” means Taxes other than Excluded Taxes. 

“Intercreditor Agreement” means the Intercreditor Agreement among Borrower, Holding Co., CitiSteel PA, The Bank of New
York, as Trustee and as Collateral Agent under the Senior Notes Indenture, and its successors and assigns, and Agent dated as of August 25, 2005. 
 “Interest Payment Date” means the first day of each month in each year, the first of which shall be the first such day after the Closing Date. 
 “Interim Advance” has the meaning given in Section 2.6.1. 
 “Interim Advance Exposure” means, with respect to any Lender at any time, such Lender’s Revolving Credit Commitment
Percentage of the total Interim Advances outstanding at such time. 
 “Internal Revenue Code” means the
Internal Revenue Code of 1986, as amended and codified at 26 U.S.C. §1 etseq. 
 “Inventory”
means inventory as defined in the Code. 
 “Lenders” means each of the financial institutions that is a
signatory hereto identified under the caption “LENDERS” on the signature pages of this Agreement, and each financial institution that becomes a “Lender” after the date hereof pursuant to Section 14.2. 
 “Lending Installation” means, with respect to Agent, a Lender or LC Issuer, the office, branch, subsidiary or Affiliate
of Agent, such Lender or LC Issuer listed on the signature pages hereof or otherwise selected by Agent, such Lender or LC Issuer pursuant to Section 2.11. 
 “LC Issuer” means U.S. Bank, as the issuer of Letters of Credit under Section 2.3, together with its
successors and assigns in such capacity. 
 “LC Payment Date” has the meaning given in
Section 2.3.5. 
 “Letter of Credit” means a Standby Letter of Credit (as defined in
Section 2.3) issued by LC Issuer pursuant to Section 2.3 or a Commercial Letter of Credit (as defined in Section 2.3”) issued by LC Issuer pursuant to Section 2.3. 
 “Letter of Credit Availability” means, as at any time, an amount equal to the lesser of (i) an amount equal
to (a) $10,000,000 less (b) the then Letter of Credit Exposure and (ii) the then Revolving Credit Availability. 
 “Letter of Credit Collateral Account” has the meaning given in Section 2.3.11. 
 “Letter of Credit Deficiency” means any failure of the Letter of Credit Availability to be greater than or equal to zero Dollars. 
 “Letter of Credit Documents” means, with respect to each and every Letter of Credit, (i) a letter of credit
application and reimbursement agreement on LC Issuer’s then customary form (the “Letter of Credit Application”) and (ii) any other agreements, certificates, documents and information as LC Issuer may reasonably request
relating to a Letter of Credit. 
  

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 “Letter of Credit Exposure” means, as at any time, the sum of
(i) the Letter of Credit Face Amount of all outstanding Letters of Credit, including the Existing Letter of Credit and (ii) all unreimbursed drawings under any Letters of Credit (whether or not outstanding). The Letter of Credit Exposure
of any Lender at any time shall be its Revolving Credit Commitment Percentage of the total Letter of Credit Exposure at such time. 
 “Letter of Credit Face Amount” of any Letter of Credit means, at any time, the face amount of the Letter of Credit, after giving effect to all drawings paid thereunder and other reductions of the face amount and to all
reinstatements of the face amount effected, pursuant to the terms of the Letter of Credit, prior to such time. 
 “Letter of Credit Obligations” means, at any time, the sum of (i) the Letter of Credit Exposure plus (ii) the aggregate amount of Borrower’s other unpaid obligations in respect of all Letters of Credit
(whether or not outstanding) under this Agreement and the Letter of Credit Documents, including any Indebtedness incurred or arising in connection with any Letters of Credit (including any drafts or acceptances thereunder, all amounts charged or
chargeable to Borrower or LC Issuer, including any and all charges, expenses, fees and commissions, and all duties and Taxes and costs of insurance which may pertain either directly or indirectly to such Letters of Credit). 
 “LIBOR Amount” means a Dollar amount of each LIBOR Rate Loan as designated by Borrower from time to time in a then
effective LIBOR Election; provided, however, that if, at any time that a LIBOR Election is in effect, the principal balance of any LIBOR Rate Loan is, for any reason, reduced below the then effective LIBOR Amount, thereby triggering a
“LIBOR Prepayment Fee” as provided in of Section 3.2.4, then, immediately after the triggering of such LIBOR Prepayment Fee, the LIBOR Amount shall be reduced to the principal balance of the LIBOR Rate Loans used as the basis
for determining the LIBOR Prepayment Fee. 
 “LIBOR-Based Rate” means an annual rate of interest equal to the
sum of (i) the LIBOR Rate in effect as of the first day of the LIBOR Period for which the LIBOR-Based Rate is being determined plus (ii) the Applicable LIBOR Rate Margin then in effect. 
 “LIBOR Election” means an election by Borrower to have the principal balance of the Loans, up to the LIBOR Amount as
designated therein, bear interest at the LIBOR-Based Rate for the LIBOR Period as designated therein in accordance with the provisions of Section 2.5. 
 “LIBOR Period” means the period commencing on the advance date of the applicable LIBOR Rate Loan and ending on the
numerically corresponding day one (1), two (2), or three (3) months thereafter matching the interest rate term selected by Borrower in the applicable LIBOR Election; provided, however, (i) if any LIBOR Period would otherwise end on
a day which is not a Business Day, then the LIBOR Period shall end on the next succeeding Business Day unless the next succeeding Business Day falls in another calendar month, in which case the LIBOR Period shall end on the immediately preceding
Business Day or (ii) if any LIBOR Period 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 the LIBOR Period), then the LIBOR Period shall end
on the last Business Day of the calendar month at the end of such LIBOR Period. 
 “LIBOR Rate” means, with
respect to any LIBOR Period for any LIBOR Rate Loan, an interest rate per annum equal to (i) the rate of interest Agent may quote to Borrower, from time to time 

  

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and subject to change without notice, in effect at approximately 11:00 a.m., London time, two Business Days prior to the commencement of the proposed LIBOR
Period which is determined by Agent from Telerate Page 3750 (or any successor thereto) for Dollar deposits in the London interbank market with respect to an amount comparable to the requested LIBOR Amount for the requested LIBOR Period,
divided by (ii) a number equal to one minus the aggregate (without duplication) of the rates (expressed as a decimal fraction) of the LIBOR Reserve Requirements current on the date two Business Days prior to the commencement of the LIBOR
Period. 
 “LIBOR Rate Loan” means the applicable portion of the Loans, as designated by Borrower from time
to time in a then effective LIBOR Election, bearing interest during the LIBOR Period applicable to that Loan, at a rate determined by reference to the applicable LIBOR-Based Rate. 
 “LIBOR Rate Revolving Loan” means the applicable portion of the Revolving Loans bearing interest, as of any date, at a
rate determined by reference to the applicable LIBOR-Based Rate. 
 “LIBOR Rate Term Loan” means the
applicable portion of the Term Loan bearing interest, as of any date, at a rate determined by reference to the applicable LIBOR-Based Rate. 
 “LIBOR Reserve Requirements” means, for any LIBOR Period for which a LIBOR Election is effective, the maximum reserves (whether basic, supplemental, marginal, emergency or otherwise) prescribed by the
Board of Governors of the Federal Reserve System (or any successor) with respect to liabilities or assets consisting of or including “Eurocurrency liabilities” (as defined in Regulation D of the Board of Governors of the Federal Reserve
System) or against any other category of liabilities, which includes deposits, by reference to which the interest rate on LIBOR Rate Loans is determined. 
 “Lien” means any mortgage, deed of trust, pledge, hypothecation, assignment, deposit arrangement, charge, security interest, encumbrance, lien (statutory or other), or any preference, priority or
other security agreement or any preferential arrangement of any kind or nature whatsoever (including any conditional sale or other title retention agreement, any lease deemed under the UCC to be intended for security, and the authorized filing by or
against a Person as debtor of any financing statement under the UCC or comparable law of any jurisdiction). 
 “Loan” means each Revolving Loan (including each Overadvance), each Interim Advance, the Term Loan, and each Agent Advance, and the total of all such Credit Extensions outstanding at any time may be referred to as
“Loans”. 
 “Loan Collateral” means the Collateral, the Property (as defined in the
Mortgage), the Pledged Collateral (as defined in the Stock Pledge Agreement), the Collateral (as defined in the Affiliate Guarantor Security Agreement), and any other security or collateral provided from time to time by, or on behalf of, Borrower or
any other Person for the Obligations. 
 “Loan Documents” means this Agreement, the Notes, the Letter of
Credit Documents, the Affiliate Guaranty Agreement, the Holding Co. Guaranty, the Rate Hedging Agreements between a Borrower and a Lender or any Affiliate of a Lender, the Security Documents, the Fee Letter, and all other agreements, instruments and
documents relating to the Credit Extensions, including mortgages, deeds of trust, security agreements, subordination agreements, intercreditor agreements, pledges, powers of attorney, consents, collateral assignments, locked box and cash management
agreements, letter agreements, contracts, notices, leases, financing statements and letters of credit and applications therefor and all other writings, which have been, are as of the date of this Agreement, or will in the future be signed by, or on
behalf of, Borrower and delivered to Agent, LC Issuer, or the Lenders. 
  

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 “LOC Fee” has the meaning given in Section 3.7. 

“Material Adverse Effect” means a material adverse effect, as determined by Agent in its discretion exercised in good
faith, on (i) Borrower’s (a) business, property, assets, operations or financial condition, taken as a whole or (b) ability to perform any of its payment or other Obligations under this Agreement or any of the other Loan
Documents, (ii) the total recoverable value of the Loan Collateral or Agent’s, LC Issuer’s or Lenders’ rights or interests therein, (iii) the enforceability of any of the Loan Documents, or (iv) the ability of Agent, LC
Issuer or Lenders practically to realize their rights or remedies under the Loan Documents or provided by law. 
 “Maturity Date” means the earlier to occur of (i) February 15, 2012 and (ii) the Voluntary Termination Date. 
 “Mortgage” means the Amended and Restated Mortgage, Security Agreement, Assignment of Rents, and Fixture Filing dated as of the date of this Agreement granted by Borrower to Agent on Borrower’s
fee simple interest in its owned real property situated in New Castle County, Delaware which secures all of the Obligations. 
 “Mortgaged Real Estate” means the “Property”, as defined in the Mortgage. 
 “Net
Amount of Eligible Receivables” means, at any time, the gross amount of Eligible Receivables less sales, excise or similar Taxes, and less returns, discounts, claims, credits and allowances of any nature at any time issued, owing, granted,
outstanding, available or claimed. 
 “Net Orderly Liquidation Value” means, as of any applicable date, with
respect to the Inventory of Borrower, the orderly liquidation value thereof pursuant to the then current appraisal, as determined by Great American Group (or, if Great American Group is no longer acceptable to either Agent or Borrower in their
respective judgment exercised in good faith, then another appraiser who is satisfactory to both Agent and Borrower in their respective judgment exercised in good faith), net of all costs of liquidation thereof as determined by such appraisal;
provided that, after the occurrence and during the continuance of an Event of Default, if Great American Group (or any replacement selected by Borrower and Agent as provided above) is no longer acceptable to Agent in its discretion exercised
in good faith, Agent may select any nationally recognized firm in its discretion exercised in good faith. 
 “Net
Proceeds” means any payments, proceeds, or other amounts received by Holding Co. or any member of the Borrower Consolidated Group with respect to any of the matters described in Section 3.1.4(0, net of (i) any applicable
Taxes paid by Holding Co. or any member of the Borrower Consolidated Group thereon, (ii) any payment required on any Permitted Purchase Money Indebtedness secured by a Lien on any Equipment on which Agent does not have a first priority security
interest to the extent permitted by this Agreement, and (iii) any reasonable out-of-pocket expense incurred by Holding Co. or any of member of the Borrower Consolidated Group, including reasonable attorneys’ fees, to obtain such payment,
proceed or other amount. 
 “Non-financed Capital Expenditures” means the total amount of capital
expenditures for any period, as determined in accordance with GAAP, made by Borrower determined exclusive of those capital expenditures made from (i) funds borrowed by Borrower (for purposes of this clause (i) “funds borrowed”
will not include funds borrowed from the Lenders as a Revolving Loan) or pursuant to any capitalized lease, (ii) cash capital contributions (i.e., equity) made by Holding Co. in Borrower during the applicable period to the
stockholders’ equity of Borrower (exclusive of cash capital contributions made as of the Closing Date), (iii) the proceeds of sales of assets permitted by Section 10.24, or (iv) the proceeds of condemnation or eminent
domain proceedings or any insurance proceeds resulting from any Event of Loss. 
  

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 “Notes’” means the Revolving Loan Notes and the Term Loan Notes
(each as defined in Section 2.7). 
 “Obligations” means the Loans, the Letter of Credit
Obligations, and Rate Hedging Obligations owing to Agent, LC Issuer or any Lender or any Affiliate of any such Persons and all other loans, advances, debts, liabilities, obligations, indemnities, covenants and duties owing to Agent, LC Issuer and
the Lenders from Borrower and its Subsidiaries (individually and collectively) of any kind, present or future, evidenced by or arising out of this Agreement or any of the other Loan Documents, and whether for the payment of money, whether arising
out of overdrafts on checking, deposit or other accounts or electronic funds transfers (whether through automatic clearing houses or otherwise) or out of Agent, LC Issuer’s or Lenders’ non-receipt of, or inability to collect, funds or
otherwise not being made whole in connection with depository transfer checks or other similar arrangements and whether direct or indirect (including acquired by assignment), related or unrelated, absolute or contingent, due or to become due, now
existing or hereafter arising and however acquired, and including all interest, charges, expenses, fees and any other sums chargeable to Borrower and its Subsidiaries (individually and collectively) in connection with any of the foregoing, and all
Attorneys’ Fees. 
 “Other Cash Dividends” has the meaning given in Section 10.18(d).

 “Other Taxes” means any and 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 from the execution, delivery, filing or enforcement of, or otherwise with respect to, this Agreement or the other Loan Documents. 
 “Overadvance” has the meaning given in Section 13.11. 
 “Pension Plan” means a “pension plan”, as such term is defined in section 3(2) of ERISA, as to which Borrower
or any corporation or other entity, trade or business that is, along with Borrower, a member of a Controlled Group may have any liability, including any liability by reason of having been a substantial employer within the meaning of section 4063 of
ERISA at any time during any preceding six year period, or by reason of being deemed to be a contributing sponsor under section 4069 of ERISA. 
 “Permitted Dividends” means, as applicable, Other Cash Dividends and Repurchase Dividends if the terms of Section 10.18 have first been complied with by Borrower before making such
dividends. 
 “Permitted Investments” has the meaning given in Section 10.17. 
 “Permitted Liens” means Agent’s Liens and each of the following: 
 (i) Liens arising by operation of law for Taxes not yet due and payable; 
 (ii) Liens of mechanics, materialmen, shippers and warehousemen for services or materials for which payment is not yet due; 
 (iii) Liens incurred or deposits made in the ordinary course of business in connection with workers’ compensation, unemployment
insurance and other types of social security; 
  

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 (iv) Liens, if any, specifically permitted by the Required Lenders from time to time in
writing; 
 (v) Liens on Equipment securing Permitted Purchase Money Indebtedness; 
 (vi) Liens for Taxes to the extent payment thereof shall not at the time be required to be made in accordance with the provisions of
Section 10.9; 
 (vii) those Liens described on Schedule 9.7; provided that those Liens secure only
the Indebtedness which the Liens secured on the Closing Date or any Refinancing Debt thereof; 
 (viii) Liens arising from the
claims or demands of materialmen, mechanics, carriers, warehousemen, landlords, bailees and other like Persons (“Third Party Claims”) if each of the following conditions is met: (a) the validity or amount of the Third Party
Claim is being contested in good faith and by appropriate and lawful proceedings promptly initiated and diligently conducted, (b) Borrower has given prior notice to Agent of the Third Party Claim, (c) Borrower has established appropriate
reserves for the Third Party Claim in accordance with GAAP, (d) levy, attachment, garnishment and execution on the Third Party Claim have been and continue to be stayed, (e) the Third Party Claim does not prevent Agent from having a
perfected first priority security interest in, or a first priority mortgage lien on, the Loan Collateral provided by Borrower or with respect to future advances made under this Agreement, and (f) Borrower’s title to, and its right to use,
any of the Loan Collateral provided by Borrower are not, in Agent’s judgment exercised in good faith, materially affected thereby; and, provided, further, that Borrower must promptly pay each such Third Party Claim to the extent the
dispute is finally settled in favor of the claimant thereof; 
 (ix) Liens on cash deposits in connection with bids, tenders
or real property leases or as security for surety or appeal bonds in the ordinary course of business; 
 (x) Liens resulting
from any judgment that is not an Event of Default; 
 (xi) Easements, rights of way and other real property restrictions that
do not materially interfere with or impair the use or operation of Borrower’s Facilities; and 
 (xii) Liens on cash
deposits to collateralize solely reimbursement obligations entered into with respect to standby letters of credit issued by a lender that is not a Lender hereunder to the extent permitted by Sections 2.3.3 and 10.10(i). 
 “Permitted Overadvance” has the meaning given in Section 13.11. 
 “Permitted Purchase Money Indebtedness” means purchase money or capital lease Indebtedness incurred by Borrower to
acquire any Equipment if each of the conditions is satisfied: (i) the total amount of obligations secured by the purchase money security interests or the subject of capitalized leases during any period does not exceed (a) an aggregate
amount equal to $2,750,000 in any calendar year; provided, however, that in no event shall the amount of such Indebtedness outstanding at any time exceed $8,250,000 in the aggregate; (ii) such purchase money Indebtedness or capitalized
lease Indebtedness will not be secured by any of the Loan Collateral other than the property so acquired and any identifiable proceeds; (iii) any Liens relating to such purchase money Indebtedness or capitalized lease Indebtedness will not
extend to or cover any property of Borrower other than the property so acquired and any identifiable proceeds, and (iv) the principal amount of such capitalized lease or purchase money Indebtedness will not, at the time of the incurrence
thereof, exceed the value of the property so acquired. 
  

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 “Person” means any individual, sole proprietorship, partnership, joint
venture, trust, unincorporated organization, association, limited liability company, corporation, institution, entity, party or Governmental Authority. 
 “Prime-Based Rate” means an annual rate of interest equal to the sum of (i) the Prime Rate as in effect from time to time plus (ii) the Applicable Prime Rate Margin then in effect.

 “Prime Rate” means the rate of interest per annum established by U.S. Bank from time to time as its prime
lending rate (for reference purposes only) with any change thereto being effective as of the opening of business on the date of change (or if not a Business Day, the beginning of the day). The Prime Rate is determined solely by U.S. Bank pursuant to
market factors and its own operating needs and is not necessarily U.S. Bank’s best or most favorable rate for commercial or other loans. 
 “Prime Rate Loan” means the applicable portion of the Loans bearing interest, as of any date, at a rate determined by reference to the applicable Prime-Based Rate. 
 “Prime Rate Revolving Loan” means the applicable portion of the Revolving Loans bearing interest, as of any date, at a
rate determined by reference to the applicable Prime-Based Rate. 
 “Prime Rate Term Loan” means the
applicable portion of the Term Loan bearing interest, as of any date, at a rate determined by reference to the applicable Prime-Based Rate. 
 “Principal Payment Date” has the meaning given in Section 3.1.1(ii). 
 “Rate Hedging Obligations” of a Person means any and all Indebtedness of such Person, whether absolute or contingent and howsoever and whensoever created, arising, evidenced or acquired (including all renewals, extensions
and modifications thereof and substitutions therefor), under (i) any and all agreements, devices or arrangements (“Rate Hedging Agreements”) designed to protect at least one of the parties thereto from the fluctuations of
interest rates, exchange rates or forward rates applicable to such party’s assets, liabilities or exchange transactions, including dollar-denominated or cross-currency interest rate exchange agreements, forward currency exchange agreements,
interest rate cap or collar protection agreements, forward rate currency or interest rate options, puts and warrants, and (ii) any and all cancellations, buy backs, reversals, terminations or assignments of any of the foregoing. 
 “Receivables” means accounts as defined in the Code. 
 “Refinance” means, in respect of any Indebtedness, to refinance, extend, renew, defease, amend, modify, supplement,
restructure, replace, refund or repay (in full), or to issue other Indebtedness in exchange or replacement for, such Indebtedness in whole or in part. “Refinanced” and “Refinancing” shall have correlative meanings. 
 “Refinancing Debt” means, as to any Indebtedness, the Refinancing of such Indebtedness, provided that the
following conditions are satisfied with respect to such Refinancing Indebtedness: 
 (i) the Weighted Average Life to Maturity
of such Refinancing Debt shall be greater than or equal to the Weighted Average Life to Maturity of the Indebtedness being refinanced; 
 (ii) the principal amount of such Refinancing Debt shall be less than or equal to the sum of the principal amount then outstanding of, plus accrued and unpaid interest on and financing fees related to, the
Indebtedness being refinanced; 
  

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 (iii) the respective obligor or obligors shall be the same on the Refinancing Debt as on
the Indebtedness being refinanced; 
 (iv) the priority of payment of such Refinancing Debt shall be the same as or lower than
the ranking of the Indebtedness being Refinanced; 
 (v) the security, if any, for the Refinancing Debt shall be the same as
that for the Indebtedness being refinanced (except to the extent that less security is granted to holders of the Refinancing Debt); 
 (vi) the terms of such Refinancing Debt (including covenants, events of default and remedies) are no less favorable to Borrower than the terms of this Agreement at the time such Indebtedness is being Refinanced; 
 (vii) Borrower is in compliance with the Financial Covenants, on a pro forma basis, after giving effect to the incurrence of
such Refinancing Debt and the repayment of the Indebtedness being Refinanced. To determine whether there is pro forma compliance with the Financial Covenants, Borrower will, on a pro forma basis, (a) restate the financial
statements received by Agent for the Fiscal Months or Fiscal Quarters, as applicable, ended most closely before the date such Refinancing Debt is proposed to be incurred as if the proposed Refinancing Debt had been made, and the Indebtedness had
been Refinanced, at the beginning of the applicable 6-Month Period and Test Period and (b) calculate the Fixed Charge Coverage Ratio under Section 1 of Exhibit F taking into account such proposed Refinancing Debt as if the
proposed Refinancing Debt had been made, and the Indebtedness had been refinanced, at the beginning of the applicable 6-Month Period and Test Period; and 
 (viii) additionally, in the case of any Refinancing of the Senior Notes Obligations, the interest rate on, and fees with respect to, such Refinancing Debt are less than or equal to the interest rate on, and fees with
respect to, the Senior Notes Obligations. 
 “Remittances” has the meaning given in Section 7.3.

 “Reportable Event” means an event described in Section 4043 of ERISA and the regulations issued
thereunder (other than a Reportable Event not subject to the provision for 30 day notice to the Pension Benefit Guaranty Corporation under such regulations). 
 “Repurchase Dividends” has the meaning given in Section 10.18(c). 
 “Required Lenders” means, at any time, Lenders holding more than
66 2/3% of the sum of: (i) the then outstanding principal amount of the Term Loan plus (ii) the
Revolving Credit Commitments then in effect at such time or, if the Revolving Credit Commitments are terminated, the aggregate Revolving Credit Exposure of all of the Lenders then outstanding; provided that as long as there are only two
Lenders, Required Lenders means both Lenders. 
 “Reserve Amount” means, as at any time, the amounts
that Agent, in its discretion exercised in good faith (including in the manner described in this definition) may from time to time establish in determining the Borrowing Base based on such credit and collateral considerations as the Business Credit
Group of Agent deems, in its discretion exercised in good faith, appropriate from time to time, based on market conditions, or to reflect contingencies or risks which could reasonably be expected to affect any or all of the Loan Collateral, the
business, operations, or financial condition of Borrower or the security of the Loans. For purposes of this definition and determining the Borrowing Base and 

  

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without limiting Agent’s other discretion as described above, Agent will be deemed to have exercised its discretion in good faith if reserves are
established in respect of any one or more of the following: 
 (i) the occurrence and continuance of an Event of Default;

 (ii) the payment of Obligations then due and payable and unpaid; 
 (iii) for price adjustments, damages, unearned discounts, returned Inventory, credit memoranda (issued or unissued), credits, contras and
other similar offsets to Borrower’s accounts receivable except to the extent that any of the foregoing in this item (iii) has been dealt with by Agent by designating a specific Receivable or Receivables as being ineligible pursuant to the
terms of this Agreement as opposed to the establishment of a reserve general in nature; 
 (iv) for any claims, interests, or
rights (including Liens other than Permitted Liens) of any Person (“Priming Interests”) which (a) as of the date Agent learns or is notified of the existence of the applicable Priming Interest, has priority over Agent’s
Liens on any or all of the Loan Collateral or (b) will have priority over Agent’s Liens on any or all of the Loan Collateral after any required notice or filing, the passage of time, the satisfaction of any other condition, or otherwise;

 (v) for aged credits maintained by Borrower in respect of its accounts receivable except to the extent that any of the
foregoing in this item (v) has been dealt with by Agent by designating a specific Receivable or Receivables as being ineligible pursuant to the terms of this Agreement as opposed to the establishment of a reserve general in nature; 

(vi) for any amounts expended by Agent to protect or preserve any Loan Collateral or Agent’s or any Lender’s rights under the
Loan Documents which have not been reimbursed by Borrower; 
 (vii) 100% of the aggregate mark-to-market exposure, as
determined by Agent, of all Rate Hedging Obligations then owing by Borrower to one or more Lenders (or their Affiliates) under a Rate Hedging Agreement; or 
 (viii) for amounts owing to International Mill Service, Inc. or its successors (“International Mill”) which are delinquent, provided that if any Event of Default has occurred and is continuing,
then Agent may increase such reserve by an amount which, in Agent’s discretion exercised in good faith, will protect any inventory from any claims of International Mill. 
 “Revolving Credit Availability” means, as of any time, an amount, in Dollars, equal to the sum of: 
 (i) an amount equal to the lesser of: (a) the then applicable Borrowing Base or (b) the then effective Revolving Credit
Commitments; 
 less (ii) the then aggregate outstanding principal amount of all Revolving Loans (including
Overadvances) and Interim Advances and all due but unpaid interest on the Loans, and all fees, commissions, expenses and other charges posted to Borrower’s loan account with Agent; 
 less (iii) the then applicable Letter of Credit Exposure. 
 “Revolving Credit Commitment” means, when used with reference to a particular Lender, its obligation to make Revolving
Loans and to participate in Letters of Credit and Interim Advances. The maximum amount of each Lender’s Revolving Credit Commitment is set forth on 

  

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Schedule 1, as such commitment may be (i) reduced or increased from time to time pursuant to assignments by or to such Lender pursuant to
Section 14.2, (ii) reduced from time to time pursuant to Section 3.1.4(ii)., (iii) terminated pursuant to Section 2.12, and (iv) terminated pursuant to Section 12. “Revolving
Credit Commitments” means, collectively, the aggregate amount of all Revolving Credit Commitments of the Lenders. 
 “Revolving Credit Commitment Percentage” means, with respect to any Revolving Credit Lender at any time, the ratio of (i) the amount of the Revolving Credit Commitment of such Lender at such time to (ii) the
Revolving Credit Commitments then in effect at such time; provided, however, if all the Revolving Credit Commitments have been terminated, the “Revolving Credit Commitment Percentage” shall be determined according to the
Revolving Credit Commitments in effect immediately prior to such termination, giving effect to any assignments. 
 “Revolving Credit Commitment Period” means the period from and including the Closing Date to, but not including, the Revolving Credit Commitment Termination Date. 
 “Revolving Credit Commitment Termination Date” means the Maturity Date or such earlier date on which the Revolving Credit
Commitments shall be terminated in accordance with this Agreement. 
 “Revolving Credit Exposure” means, with
respect to any Lender at any time, an amount equal to (i) the outstanding principal amount of such Lender’s Revolving Loans, plus (ii) the Letter of Credit Exposure of such Lender, plus (iii) the Interim Advance
Exposure of such Lender. 
 “Revolving Credit Lenders” means (i) on the date hereof, the Lenders having
Revolving Credit Commitments on Schedule 1 and (ii) thereafter, the Lenders from time to time holding Revolving Credit Exposure and Revolving Credit Commitments after giving effect to any assignments thereof permitted by
Section 14.2. 
 “Revolving Loans” has the meaning given in Section 2.2.1, and shall
include, subject to the terms hereof, all Overadvances. 
 “Security Documents” means the Borrower Security
Agreement, the Affiliate Guarantor Security Agreement, the Mortgage, and the Stock Pledge Agreement and any other agreements, instruments or documents executed and delivered from time to time by, or on behalf of, Borrower or any other Person as
collateral security for the Obligations. 
 “Senior Notes” means Borrower’s Senior Notes in the original
aggregate principal amount of $105,000,000 issued on February 15, 2007 due February 15, 2015 and issued under the Senior Notes Indenture (the “Initial Notes”) and, subject to the terms of this Agreement, (i) any and
all Exchange Notes, as defined in the Senior Notes Indenture and (ii) any and all replacement Notes (as defined in the Senior Notes Indenture) issued for any of the Initial Notes or the Exchange Notes but exclusive of, for the avoidance of any
doubt, any Additional Notes (as defined in the Senior Notes Indenture). 
 “Senior Notes Default” means any
of the following (or any combination of the following): (i) a default or breach of or under any of the Senior Notes Documents, (ii) any event or circumstance that would become a default or breach on the Trustee’s (as defined in the
Senior Notes Indenture) or the Holders’ (as defined in the Senior Notes Indenture) of at least 25% in principal amount of the outstanding Senior Notes election or would become a default or breach after notice, the lapse of time, or on the
satisfaction of any other condition, or all of the foregoing, including one or more Events of Default (as defined in the Senior Notes Indenture) or (iii) any acceleration of the Senior Notes Obligations. 
  

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 “Senior Notes Documents” means, collectively, the Senior Notes
Indenture, the Senior Notes, the purchase agreements entered thereunder with respect to the issuance of the Senior Notes, and the other Indenture Documents (as defined in the Senior Notes Indenture) and each of the other agreements, documents and
instruments providing for or evidencing any other Senior Notes Obligation, and any other document or instrument executed or delivered at any time in connection with any Senior Notes Obligations, as any or all of the foregoing documents, instruments,
and agreements are now in effect or, subject to Section 10.29, as at any time after the date of this Agreement amended, modified, supplemented, restated, renewed, extended, replaced or otherwise changed and any documents, instruments, or
agreements given, subject to Section 10.29, in substitution of any of them. 
 “Senior Notes
Indenture” means the Indenture dated February 15, 2007 relating to the issuance of the Senior Notes among Borrower, the Guarantor named in such Indenture and The Bank of New York, as Trustee, and its successors and assigns. 

“Senior Notes Obligations” means all obligations of every nature of each member of the Borrower Consolidated Group, as
applicable, from time to time owed to the Trustee (as defined in the Senior Notes Indenture) and each Holder (as defined in the Senior Notes Indenture) of Senior Notes, or any of them or their respective Affiliates, in each case under the Senior
Notes Documents, whether for principal, interest, fees, expenses, indemnification or otherwise and all guarantees of any of the foregoing, including the “Indebtedness”, as defined in the Senior Notes Indenture, under the Senior Notes.

 “Senior Notes Offering” means the offer by Borrower to sell Senior Notes pursuant to the Offering Circular
dated February 5, 2007. 
 “Solvent” means, with respect to any Person, that the Person is not insolvent
as defined or construed under any and all applicable laws. In computing the amount of contingent liabilities at any time, it is intended that they be computed at the amount that, in light of all the facts and circumstances existing at the time,
represents the amount that can reasonably be expected to become an actual or matured liability. 
 “Special
Account” has the meaning given in Section 7.4. 
 “Stated Advance Rate Change” has the
meaning given in Section 2.9.2. 
 “Stock Pledge Agreement” has the meaning given in
Section 6.1. 
 “Subsidiary” means any Person as to which Borrower owns, directly or indirectly,
at least 50% of the outstanding shares of Capital Stock or other interests having ordinary voting power for the election of directors, officers, managers, trustees or other controlling Persons or an equivalent controlling interest in Agent’s
judgment. 
 “Taxes” means any and all present or future taxes, levies, imposts, duties, deductions, charges
or withholdings imposed by any Governmental Authority. 
 “Tax Refund” means any refund of any Taxes, or fees
or interest in respect thereof which (i) are paid to Holding Co. by any Governmental Authority to the extent attributable to losses, deductions, credits, or payments of, or by, Borrower or any of its Subsidiaries or (ii) are paid directly
to Borrower by any Governmental Authority. 
  

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 “Tax Sharing Agreement” means the Tax Sharing Agreement dated as of
July 6, 2006 by and among Holding Co., Borrower and CitiSteel PA. 
 “Term Loan” has the meaning given
in Section 2.2.2. 
 “Term Loan Commitment” means, when used with reference to a particular
Lender, its obligation to make the Term Loan. The amount of each Lender’s Term Loan Commitment is set forth on Schedule 1. “Term Loan Commitments” means, collectively, the aggregate amount of all Term Loan Commitments of
the Lenders. 
 “Term Loan Lenders” means (i) on the date hereof, the Lenders having Term Loan
Commitments on Schedule 1 and (ii) thereafter, the Lenders from time to time holding the Term Loan after giving effect to any assignments thereof permitted by Section 14.2. 
 “Test Period” has the meaning given in Exhibit F. 
 “6-Month Period” has the meaning given in Exhibit F. 
 “Total Credit Exposure” means, at any time, the aggregate Credit Exposure of all of the Lenders at such time. 

“Total Exposure Percentage” means, with respect to any Lender at any time, the ratio of (i) such Lender’s
Credit Exposure at such time to (ii) the Total Credit Exposure at such time. 
 “Type” has the meaning
given in Section 1.4. 
 “USA Patriot Act” means the Uniting and Strengthening America by
Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56. 
 “U.S.
Bank” means U.S. Bank National Association, a national banking association. 
 “Voluntary Term Loan
Payment” has the meaning given on Exhibit F. 
 “Weighted Average Life to Maturity” means,
when applied to any Indebtedness at any date, the number of years obtained by dividing (i) the then outstanding aggregate principal amount of such Indebtedness into (ii) the sum of the total of the products obtained by multiplying:

 (a) the amount of each then remaining installment, sinking fund, serial maturity or other required payment of principal,
including payment at final maturity, in respect thereof, by. 
 (b) the number of years (calculated to the nearest
one-twelfth) which will elapse between such date and the making of such payment. 
 1.2 Environmental Definitions. 
 “Environmental Activity” means any actual, proposed or threatened storage, holding, existence, Release, emission,
discharge, generation, manufacturing, producing, refining, creating, processing, abatement, removal, disposition, handling, transportation or disposal of any Hazardous Substance from, under, into or on any of Borrower’s property or any Use of
any of Borrower’s property which is regulated by or for which standards of conduct or liability are imposed by any Environmental Requirements or which may or does create a hazard to human or animal health or the environment. 
  

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 “Environmental Law” means the Comprehensive Environmental Response,
Compensation and Liability Act (“CERCLA”), 42 U.S.C. §9601 et seq., the Resource Conservation and Recovery Act, 42 U.S.C. §6901 et seq., the Hazardous Materials Transportation Act, 49 U.S.C. §1802 et seq.,
the Toxic Substances Control Act, 15 U.S.C. §2601 et seq., the Federal Water Pollution Control Act, 33 U.S.C. §1251 et seq., the Clean Water Act, 33 U.S.C. §1321 et seq., the Clean Air Act, 42 U.S.C.
§7401 et seq., the Occupational Safety and Health Act of 1970, 29 U.S.C. § 651 et seq., regulations promulgated thereunder, and any other federal, state, county, municipal, local or other statute, law, ordinance or
regulation, or any common law (including common law that may impose strict liability), which relates to human health, the environment, natural resources, or Hazardous Substances, all as may be from time to time be amended, renewed, extended or
replaced. 
 “Environmental Liability” means any Indebtedness, or duty of, any claim or demand against, any
requirement imposed on, or any amount owed by or payable from, Borrower, which is based on, results from, is in connection with, arises out of, or otherwise is related to any Environmental Activity, whether the foregoing described liability now
exists or arises in the future, is contingent or absolute, primary or secondary, liquidated or unliquidated, due or to become due, and however created, incurred, acquired, owing or arising. 
 “Environmental Requirements” means all present and future laws, including Environmental Laws, authorizations, approvals,
judgments, injunctions, decrees, concessions, grants, orders, franchises, agreements and other restrictions and requirements (whether or not arising under statutes or regulations) relating to any Hazardous Substances or Environmental Activity.

 “Hazardous Substances” means, at any time, (i) any “hazardous substance” as defined in
§101(14) of CERCLA (42 U.S.C. §9601(14)) or regulations promulgated thereunder; (ii) any “solid waste,” “hazardous waste,” or “infectious waste,” as such terms are defined in any Environmental Law at such
time; (iii) asbestos, urea-formaldehyde, polychlorinated biphenyls (“PCBs”), nuclear fuel or material, chemical waste, radioactive material, explosives, known carcinogens, petroleum products and by-products and other dangerous, toxic
or hazardous pollutants, contaminants, chemicals, materials or substances which are hazardous to human health or animal health or the environment or which are listed or identified in, or regulated by, any Environmental Law; and (iv) any
additional substances or materials which at such time are classified or considered to be hazardous or toxic under any Environmental Law. 
 “Release” means spilling, leaking, pumping, pouring, paving, emitting, emptying, discharging, injecting, escaping, contaminating, leaching, disposing, releasing or dumping into the environment.

 “Use” includes, but is not limited to, use, ownership, development, construction, maintenance, management,
operation or occupancy. 
 1.3 Other Definitional Provisions; Construction. Unless otherwise specified, 
 (i) All terms defined in this Agreement, whether or not defined in this Section 1, have the defined meanings provided in this
Agreement when used in this Agreement, in any other of the Loan Documents, or any other certificate, instrument or other document made or delivered pursuant to this Agreement or any other Loan Document, unless otherwise defined therein. 

(ii) As used in this Agreement, in any other of the Loan Documents, or in any other certificate, instrument or document made or
delivered pursuant hereto or thereto, accounting terms relating to Borrower not defined in this Agreement have the respective meanings given to them in accordance with generally accepted accounting principles in the United States of America as in
effect at the time any determination is made or financial statement or information is required or furnished under this Agreement (“GAAP”). 
  

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 (iii) References to the Uniform Commercial Code, or UCC, mean as enacted in the
particular jurisdiction(s) encompassed by the reference. 
 (iv) The definition of any agreement, document or instrument
includes all schedules, attachments and exhibits thereto and all renewals, extensions, supplements, modifications, restatements and amendments thereof but only to the extent such renewals, extensions, supplements, modifications, restatements or
amendments thereof are not prohibited by the terms of any Loan Document. All references to statutes include (a) all rules and regulations promulgated thereunder, (b) any amendments, renewals, extensions or replacements of such statutes,
rules or regulations promulgated thereunder, and (c) any successor statutes, rules and regulations, including any comparable provision of the applicable statute, ordinance, code, regulation or other law as the same shall be from time to time be
amended, renewed, extended or replaced after the date of this Agreement. 
 (v) “Hereunder,” “herein,”
“hereto,” “this Agreement” and words of similar import refer to this entire document; “including” is used by way of illustration and not by way of limitation, unless the context clearly indicates the contrary; the
singular includes the plural and conversely; and any action required to be taken by a Person is to be taken promptly, unless the context clearly indicates the contrary. 
 (vi) All of the uncapitalized terms contained in the Loan Documents which are now or hereafter defined under the Code will, unless defined
in the Loan Documents or the context indicates otherwise, have the meanings now or hereafter provided for in the Code. 
 (vii) The term “good faith” means, as applicable, (i) with reference to Agent, any Lender or the LC Issuer, honesty in fact, the observance of reasonable commercial standards from the perspective of a secured asset-based
lender, and not acting in an arbitrary or capricious manner and (ii) with reference to any other Person, including Borrower, honesty in fact, the observance of reasonable commercial standards, and not acting in an arbitrary or capricious
manner. 
 (viii) All Exhibits and Schedules attached to this Agreement are incorporated into, made and form an integral part
of, this Agreement for all purposes. 
 (ix) The existence of references to Borrower’s Subsidiaries throughout this
Agreement is for a matter of convenience only. Any references to Subsidiaries of Borrower set forth herein shall not in any way be construed as consent by Agent, LC Issuer or the Lenders to the establishment, maintenance or acquisition of any
Subsidiary. 
 (x) Whenever the sense of this Agreement or any of the other Loan Documents so require, the masculine or
feminine gender will be substituted for, or be deemed to include, the neuter, the feminine gender will be substituted for the masculine, or the masculine will be deemed to include the feminine, and the neuter gender will be substituted for, or be
deemed to include, the masculine or, as applicable, feminine gender. 
 1.4 Classes and Types of Loans. Loans hereunder are
distinguished by “Class” and by “Type”. Commitments hereunder are distinguished by “Class”. The “Class” of a Loan refers to whether such Loan is a Revolving Loan, the Term Loan, an Interim Advance or an Agent
Advance, each of which constitutes a Class of Loan. The “Type” of a Loan refers to whether such Loan is a Prime Rate Loan or a LIBOR Rate Loan, each of which constitutes a Type. Loans may be identified by both Class and Type. 

 

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 The “Class” of a Commitment refers to whether such Commitment is a Revolving Credit Commitment or a Term Loan
Commitment. 
 2. LOANS AND OTHER FINANCIAL ACCOMMODATIONS. 
 2.1 Total Facility. Subject to the terms and conditions of this Agreement, LC Issuer and the Lenders will make up to $80,000,000 in total credit available to, or for the benefit of, Borrower in the form of the
following credit extensions advanced or to be made under the following facilities: (i) Revolving Loans, (ii) the Letter of Credit subfacility, and (iii) the Term Loan, all as more particularly described below. 
 2.2 Revolving Loans; Term Loan. 
 2.2.1 Revolving Loans. During the Revolving Credit Commitment Period, and subject to the other terms and conditions of this Agreement, each Revolving Credit Lender, severally and not jointly, agrees to make
loans (“Revolving Loans”) to Borrower in an amount not exceeding such Lender’s Revolving Credit Commitment Percentage of the Revolving Credit Availability then in effect; provided that after giving effect to the making
of any such Revolving Loan (i) such Revolving Credit Lender’s Revolving Credit Exposure will not exceed such Lender’s Revolving Credit Commitment and (ii) the Revolving Credit Exposure of all of the Lenders will not exceed the
total Revolving Credit Commitments. At no time shall a Revolving Loan be made if, after giving effect thereto, the Revolving Credit Availability would be less than $0. Within the foregoing limits, and subject to the other terms and conditions of
this Agreement, Borrower may reborrow Revolving Loans after the repayment thereof. 
 2.2.2 Term Loan. Subject to the
other terms and conditions of this Agreement, each Term Loan Lender, severally and not jointly, agrees to make a single loan (the “Term Loan”) to Borrower on the Closing Date, in an amount not to exceed the Term Loan Commitment of
such Lender. No part of the Term Loan made to Borrower may, on the repayment thereof, be redrawn or reborrowed by Borrower. 
 2.3 Letters
of Credit. 
 2.3.1 Letter of Credit Subfacility. The LC Issuer has issued the Existing Letter of Credit as of the
Closing Date which shall be a Letter of Credit for all purposes of the Loan Documents. During the Revolving Credit Commitment Period and subject to the other terms and conditions of this Agreement, Borrower may request LC Issuer to issue one or more
of its standard standby letters of credit (“Standby Letter of Credit”) or its standard commercial letters of credit (“Commercial Letter of Credit”) in favor of such beneficiary(ies) as are designated by Borrower by
delivering to LC Issuer, with a copy to Agent: (i) a Letter of Credit Application completed to the satisfaction of LC Issuer, together with the proposed form of the Letter of Credit (which, in all respects, will comply with the applicable
requirements of Section 2.3.2), (ii) a Borrowing Base Certificate which calculates the Letter of Credit Availability by giving effect to the proposed Letter of Credit, and (iii) such other Letter of Credit Documents that LC
Issuer then requires. LC Issuer, in addition to the other terms of this Agreement, will have no obligation to issue the proposed Letter of Credit if, after giving effect to such proposed Letter of Credit, the Letter of Credit Availability will be
less than zero Dollars. The making of each Letter of Credit request by Borrower will be deemed to be a representation by Borrower that the Letter of Credit may be issued in accordance with, and will not violate the terms of, this
Section 2.3.1. Letters of Credit issued hereunder shall constitute a utilization of the Revolving Credit Commitments. 
 2.3.2 Terms of Letter of Credit. Each Letter of Credit issued under this Agreement will, among other things, (i) be in such form requested by Borrower as is acceptable to LC Issuer in its discretion exercised in good faith,
(ii) be denominated in Dollars, and (iii) be issued to support 

  

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Borrower’s obligations that finance its business needs incurred in the ordinary course of Borrower’s business as presently conducted by it. In no
event will any Standby Letter of Credit have a term of more than one year or any Commercial Letter of Credit have a term of more than 180 days; furthermore, and, in addition to the foregoing term limitation, LC Issuer will have no obligation to
issue any Letter of Credit with an expiry date later than 30 days prior to the last day of the Revolving Credit Commitment Period; provided that a Letter of Credit may be subject to one or more renewal terms so long as any such renewal term
does not extend beyond the last day of the Revolving Credit Commitment Period. 
 2.3.3 Advice of Issuance or
Non-Issuance. Upon receipt of a request from Borrower to open any Letter of Credit and of all attendant Letter of Credit Documents satisfactorily completed, LC Issuer, within three Business Days, may either (i) issue the requested Letter of
Credit to the beneficiary thereof and transmit a copy to Borrower, or (ii) elect, in its discretion exercised in good faith, not to issue the proposed Letter of Credit. If LC Issuer elects not to issue such Letter of Credit, (a) LC Issuer
will communicate in writing to Borrower the reason(s) why LC Issuer has declined such request and (b) Borrower will be permitted to seek the issuance of a letter of credit from a third-party financial institution and provide cash collateral
therefor in the manner and to the extent provided in Section 10.10(i) 
 2.3.4 Reimbursement by Borrower.
Borrower shall be irrevocably and unconditionally obligated to reimburse LC Issuer on or before the applicable LC Payment Date for any amounts to be paid by LC Issuer upon any drawing under any Letter of Credit, without presentment, demand, protest
or other formalities of any kind; provided, however, that neither Borrower nor any Lender shall hereby be precluded from asserting any claim for direct (but not consequential) damages suffered by Borrower or such Lender to the extent, but
only to the extent, caused by (i) the willful misconduct or gross negligence of LC Issuer in determining whether a request presented under any Letter of Credit issued by it complied with the terms of such Letter of Credit or (ii) LC
Issuer’s failure to pay under any Letter of Credit issued by it after the presentation to it of a request strictly complying with the terms and conditions of such Letter of Credit. LC Issuer will pay to each Lender ratably in accordance with
its Revolving Credit Commitment Percentage all amounts received by it from Borrower for application in payment, in whole or in part, of the reimbursement obligation in respect of any Letter of Credit issued by LC Issuer, but only to the extent such
Lender has made payment to LC Issuer in respect of such Letter of Credit pursuant to Section 2.3.5. Subject to the terms and conditions of this Agreement (including the submission of an Advance Request and the satisfaction of the
applicable conditions precedent set forth in Section 5.2), Borrower may request a Revolving Loan hereunder for the purpose of satisfying any reimbursement obligation. 
 2.3.5 Administration; Reimbursement by Lenders. Upon receipt from the beneficiary of any Letter of Credit of any demand for payment
under a Letter of Credit, LC Issuer shall notify Agent and Agent shall promptly notify Borrower and each other Lender as to the amount to be paid by LC Issuer as a result of such demand and the proposed payment date (the “LC Payment
Date”). The responsibility of LC Issuer to Borrower and each Lender shall be only to determine that the documents (including each demand for payment) delivered under each Letter of Credit in connection with such presentment shall be in
conformity in all material respects with such Letter of Credit. LC Issuer shall endeavor to exercise the same care in the issuance and administration of the Letters of Credit as it does with respect to letters of credit in which no participations
are granted, it being understood that in the absence of any gross negligence or willful misconduct by LC Issuer, each Lender shall be unconditionally and irrevocably liable without regard to the occurrence of any Event of Default or any condition
precedent whatsoever, to reimburse LC Issuer on demand for (i) such Lender’s Revolving Credit Commitment Percentage of the amount of each payment made by LC Issuer under each Letter of Credit to the extent such amount is not reimbursed by
Borrower pursuant to Section 2.3.4, plus (ii) interest on the foregoing amount to be reimbursed by such Lender, for each day from the date of LC Issuer’s demand for such reimbursement (or, if such demand is made after 2:00 p.m.
Cincinnati, Ohio time) on such date, from the next succeeding 

  

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Business Day) to the date on which such Lender pays the amount to be reimbursed by it, at a rate of interest per annum equal to the Federal Funds Rate for
the first three days and, thereafter, at a rate of interest equal to the rate applicable to Prime Rate Revolving Loans. 
 2.3.6 Obligations Absolute. Borrower’s obligations under this Section 2.3 shall be absolute and unconditional under any and all circumstances and irrespective of any setoff, counterclaim or defense to payment which
Borrower may have or have had against LC Issuer, any Lender or any beneficiary of a Letter of Credit. Borrower further agrees with LC Issuer and the Lenders that LC Issuer and the Lenders shall not be responsible for, and Borrower’s
reimbursement obligation in respect of any Letter of Credit shall not be affected by, among other things, the validity or genuineness of documents or of any endorsements thereon, even if such documents should in fact prove to be in any or all
respects invalid, fraudulent or forged, or any dispute between or among Borrower, any of its Affiliates, the beneficiary of any Letter of Credit or any financing institution or other party to whom any Letter of Credit may be transferred or any
claims or defenses whatsoever of Borrower or of any of its Affiliates against the beneficiary of any Letter of Credit or any such transferee. LC Issuer shall not be liable for any error, omission, interruption or delay in transmission, dispatch or
delivery of any message or advice, however transmitted, in connection with any Letter of Credit. Borrower agrees that any action taken or omitted by LC Issuer or any Lender under or in connection with each Letter of Credit and the related drafts and
documents, if done without gross negligence or willful misconduct, shall be binding upon Borrower and shall not put LC Issuer or any Lender under any liability to Borrower. Nothing in this Section 2.3.6 is intended to limit the right of
Borrower to make a claim against LC Issuer for damages as contemplated by the proviso to the first sentence of Section 2.3.4. 
 2.3.7 Actions of LC Issuer. LC Issuer shall be entitled to rely, and shall be fully protected in relying, upon any Letter of Credit, draft, writing, resolution, notice, consent, certificate, affidavit, letter,
cablegram, telegram, facsimile, telex or teletype message, statement, order or other document believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or Persons, and upon advice and statements of legal
counsel, independent accountants and other experts selected by LC Issuer. LC Issuer shall be fully justified in failing or refusing to take any action under this Agreement unless it shall first have received such advice or concurrence of the
Required Lenders as it reasonably deems appropriate or it shall first be indemnified to its reasonable satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any
such action. Notwithstanding any other provision of this Section 2.3, LC Issuer shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement in accordance with a request of the Required Lenders, and
such request and any action taken or failure to act pursuant thereto shall be binding upon the Lenders and any future holders of a participation in any Letter of Credit. 
 2.3.8 Indemnification. Borrower hereby agrees to indemnify and hold harmless each Lender, LC Issuer and Agent, and their respective
directors, officers, agents and employees from and against any and all claims and damages, losses, liabilities, costs or reasonable expenses which such Lender, LC Issuer or Agent may incur (or which may be claimed against such Lender, LC Issuer or
Agent by any Person whatsoever) by reason of or in connection with the issuance, execution and delivery or transfer of or payment or failure to pay under any Letter of Credit or any actual or proposed use of any Letter of Credit, including, without
limitation, any claims, damages, losses, liabilities, costs or reasonable expenses which LC Issuer may incur by reason of or in connection with (i) the failure of any other Lender to fulfill or comply with its obligations to LC Issuer hereunder
(but nothing herein contained shall affect any rights Borrower may have against any Defaulting Lender) or (ii) by reason of or on account of LC Issuer issuing any Letter of Credit which specifies that the term “Beneficiary” included
therein includes any successor by operation of law of the named Beneficiary, but which Letter of Credit does not require that any drawing by any such successor Beneficiary be accompanied by a copy of a legal document, 

  

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satisfactory to LC Issuer, evidencing the appointment of such successor Beneficiary; provided that Borrower shall not be required to indemnify any
Lender, LC Issuer or Agent for any claims, damages, losses, liabilities, costs or reasonable expenses to the extent, but only to the extent, caused by (a) the willful misconduct or gross negligence of LC Issuer in determining whether a request
presented under any Letter of Credit complied with the terms of such Letter of Credit or (b) LC Issuer’s failure to pay under any Letter of Credit after the presentation to it of a request strictly complying with the terms and conditions
of such Letter of Credit. Nothing in this Section 2.3.8 is intended to limit the obligations of Borrower under any other provision of this Agreement. The Obligations described under this Section 2.3.8 shall survive any
termination of this Agreement. 
 2.3.9 Lenders’ Indemnification. Each Revolving Credit Lender shall, ratably in
accordance with its Revolving Credit Commitment Percentage, indemnify LC Issuer, its Affiliates and their respective directors, officers, agents and employees (to the extent not reimbursed by Borrower) against any cost, reasonable expense (including
Attorneys’ Fees), claim, demand, action, loss or liability (except such as result from such indemnitees’ gross negligence or willful misconduct or LC Issuer’s failure to pay under any Letter of Credit after the presentation to it of a
request strictly complying with the terms and conditions of the Letter of Credit) that such indemnitees may suffer or incur in connection with this Section 2.3 or any action taken or omitted by such indemnitees hereunder. The obligations
of the Lenders described under this Section 2.3.9 shall survive any termination of this Agreement. 
 2.3.10
Participations. By the issuance of a Letter of Credit (or an amendment to a Letter of Credit increasing the amount thereof) and without any further action on the part of LC Issuer or the Lenders, LC Issuer hereby grants to each Revolving
Credit Lender, and each Revolving Credit Lender hereby acquires from LC Issuer, a participation in such Letter of Credit equal to such Revolving Credit Lender’s Revolving Credit Commitment Percentage of the aggregate amount available to be
drawn under such Letter of Credit. In consideration and in furtherance of the foregoing, each Revolving Credit Lender hereby absolutely and unconditionally agrees to pay to Agent, for the account of LC Issuer, such Revolving Credit Lender’s
Revolving Credit Commitment Percentage of each unreimbursed drawing under any Letter of Credit, or of any reimbursement payment required to be refunded to Borrower for any reason. Each Revolving Credit Lender acknowledges and agrees that its
obligation to acquire participations pursuant to this paragraph in respect of Letters of Credit is absolute and unconditional and shall not be affected by any circumstance whatsoever, including any amendment, renewal or extension of any Letter of
Credit or the occurrence and continuance of an Event of Default, the failure of any condition in Section 5 to be satisfied, or any reduction or termination of the Commitments, and that each such payment shall be made without any offset,
abatement, withholding or reduction whatsoever. Following receipt by Agent of any payment by Borrower in respect of any unreimbursed drawing or of any refunded reimbursement payment, Agent shall disburse such payment to LC Issuer, or to the extent
that the Lenders have made payments pursuant to this Section 2.3.10 to LC Issuer, then to such Lenders and LC Issuer, as their interest may appear. The purchase of participations in Letters of Credit pursuant to this
Section 2.3.10 shall not constitute a Loan and shall not relieve Borrower of its reimbursement and other obligations under this Section 2.3. 
 2.3.11 Actions in Respect of Letters of Credit. If a Letter of Credit Deficiency shall have occurred and be continuing, Agent may
make demand upon Borrower to, and forthwith upon such demand Borrower will, pay to Agent in same day funds at Agent’s office designated in such demand, for deposit in a special non-interest bearing cash collateral account (the “Letter
of Credit Collateral Account”) to be maintained at such office of Agent, an amount equal to the amount by which the Letter of Credit Availability is less than zero. The Letter of Credit Collateral Account shall be in the name of Agent (as a
cash collateral account), and under the sole dominion and control of Agent exercised in good faith (with sole right of withdrawal) and subject to the terms of this Agreement and the other Loan Documents. On each drawing under a Letter of Credit
during which a Letter of Credit Deficiency is 

  

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continuing, Agent shall seek reimbursement from any amounts then on deposit in the Letter of Credit Collateral Account; however, if (i) no
amounts are then on deposit in the Letter of Credit Collateral Account, (ii) the amount then on deposit in the Letter of Credit Collateral Account is insufficient to pay the amount of such drawing, or (iii) Agent is legally prevented or
restrained from immediately applying amounts on deposit in the Letter of Credit Collateral Account, then the amount of each unreimbursed drawing under such Letter of Credit and payment required to be made under this Section 2.3.11 shall
automatically be converted into a Prime Rate Revolving Loan made on the date of such drawing for all purposes of this Agreement. To the extent that Agent applies amounts on deposit in the Letter of Credit Collateral Account as provided in this
Section 2.3.11, and, thereafter, such application (or any portion thereof) is rescinded or any amount so applied must otherwise be returned by Agent upon the insolvency, bankruptcy or reorganization of Borrower or otherwise, then the
amount so rescinded or returned shall automatically be converted into a Prime Rate Revolving Loan made on the date of such drawing for all purposes of this Agreement. 
 2.3.12 Letter of Credit Obligations. All Letter of Credit Obligations will constitute part of the Obligations and be secured by the
Loan Collateral. 
 2.4 Advance Requests. To obtain the Term Loan and each advance of Revolving Loans, Borrower shall give written
notice (an “Advance Request”) in the form of Exhibit C attached hereto, specifying: 
 (i) the total
amount of the requested advance of such Class of Loans; 
 (ii) the Borrowing Date of such Loan, which shall be a
Business Day; 
 (iii) subject to Section 2.5. whether such Loan is to be a Prime Rate Loan or a LIBOR Rate Loan;

 (iv) that on the date of, and after giving effect to, such Loan, no Event of Default has occurred and is continuing to
Borrower’s knowledge; and 
 (v) that on the date of, and after giving effect to, such Loan, all of the representations
and warranties of Borrower contained in this Agreement and in the other Loan Documents are, to Borrower’s knowledge, true and correct in all material respects on and as of such date of such Loan as if made on and as of the date of such Loan
(except where such representations and warranties speak solely as of an earlier date). 
 Each such Advance Request by Borrower shall be irrevocable. Each
Advance Request for a Prime Rate Revolving Loan shall be given to Agent by no later than 10:00 a.m. (Cincinnati, Ohio time) on the Business Day of such Prime Rate Revolving Loan. Each Advance Request for a LIBOR Rate Revolving Loan shall be given to
Agent by no later than the time specified in Section 2.5 and be accompanied by a LIBOR Election. If Borrower fails to specify the Type of Revolving Loan, then the requested Revolving Loan shall be a Prime Rate Loan. If Borrower fails to
specify the duration of the LIBOR Period for a requested LIBOR Rate Revolving Loan, Borrower shall be deemed to have requested that such LIBOR Rate Revolving Loan be made with a LIBOR Period of one month. Each Advance Request must be signed by an
Authorized Representative. 
 2.5 Interest Election; Unavailability of LIBOR Loans 
 2.5.1 Interest Election. Loans made on the Closing Date shall be Prime Rate Loans. Each Revolving Loan made after the Closing Date
shall initially be of the Type specified in the applicable 

  

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Advance Request for such Revolving Loan. From time to time after the Closing Date Borrower may make a LIBOR Election with respect to all or any portion of
any Loan in accordance with the following provisions of this Section 2.5.1. Any LIBOR Election, in order to be effective, must be made by written notice, signed by Borrower’s Authorized Representative, given to Agent and actually
received by Agent, must (i) be received not later than 12:00 noon (Cincinnati, Ohio time), two Business Days prior to the requested Borrowing Date, (ii) with respect to such LIBOR Rate Loan designate the duration of the LIBOR Period
applicable thereto, subject to the provisions of the definition of LIBOR Period, and (iii) designate the LIBOR Amount with respect to such Loan. Any LIBOR Election shall remain effective until a subsequent LIBOR Election becomes effective with
respect to such LIBOR Rate Loan or, if no LIBOR Election is made with respect to such LIBOR Rate Loan, the last day of the LIBOR Period applicable thereto; however, in the absence of the delivery of a subsequent LIBOR Election in compliance
with this Section 2.5.1 not less than two (Business Days before the end of the LIBOR Period then in effect, Borrower will be deemed to have elected that such LIBOR Rate Loan be converted into a Prime Rate Loan at the end of that LIBOR
Period, but until such conversion, the funds advanced under such LIBOR Rate Loan shall continue to accrue interest at the same rate as the interest rate in effect for such LIBOR Rate Loan prior to the end of the LIBOR Period. Other than with the
consent of Agent, (a) Borrower may not, in the aggregate, have more than eight LIBOR Rate Loans outstanding at any time, and any LIBOR Election that would result in more than eight LIBOR Rate Loans being outstanding shall not be effective;
(b) each LIBOR Rate Loan will be in a minimum principal amount of $1,000,000 and in integral multiples of $100,000; (c) no portion of the Loans which represents Agent Advances, Interim Advances, or any unreimbursed drawings under any
Letter of Credit can be made as, converted into, or continued as, a LIBOR Rate Loan; and (d) no Loan will be made as, converted into, or continued as, a LIBOR Rate Loan: (1) when an Event of Default has occurred and is continuing,
(2) during a period that, pursuant to Section 2.5.2. Agent has notified Borrower that a LIBOR Rate Loan is not available, (3) from an Affected Lender which has notified Borrower under Section 2.5.2 that it is
unlawful for the Affected Lender to make such LIBOR Rate Loan, (4) which has a LIBOR Period ending on or after the Maturity Date, or (5) with respect to the Term Loan, which has a LIBOR Period ending after any Principal Payment Date
unless, after giving effect thereto, the aggregate principal amount of the Term Loan having LIBOR Periods that end after such Principal Payment Date shall be equal to or less than the aggregate principal amount of the Term Loan permitted to be
outstanding after giving effect to the payment of principal required to be made on such Principal Payment Date. 
 2.5.2
Unavailability of LIBOR Rate Loans. Notwithstanding any other provisions of this Section 2.5 to the contrary, if Agent determines, at any time, in its discretion exercised in good faith, that (i) deposits in Dollars for the
LIBOR Period are not available in the London interbank market or (ii) by reason of: (a) national or international financial, political or economic conditions or (b) any applicable law, treaty, rule or regulation (whether domestic or
foreign) now or hereafter in effect or the interpretation or administration thereof by any Governmental Authority charged with the interpretation or administration thereof or compliance by a Lender with any request or directive of such authority
(whether or not having the force of law), including exchange controls, (1) it is impracticable, unlawful or impossible for the Lenders to maintain the LIBOR Amount of the LIBOR Rate Loan at an interest rate based on the LIBOR Rate,
(2) adequate and fair means do not exist for ascertaining the interest rate applicable hereunder to LIBOR Rate Loans, or (3) the LIBOR Rate determined by Agent will not adequately and fairly reflect the cost to the Lenders of making or
maintaining any LIBOR Rate Loans, then Agent will give Borrower prompt notice thereof (and will thereafter give Borrower prompt notice of the cessation, if any, of such condition), and, so long as such condition remains in effect as determined by
Agent, the obligations of the Lenders to make or to continue to fund or maintain LIBOR Rate Loans will terminate, and Borrower will prepay in full (by converting to Prime Rate Loans) all outstanding LIBOR Rate Loans owing to the Lenders on the last
days of each applicable LIBOR Period (or within such earlier period as required by law), together with accrued interest and the payment of any LIBOR Prepayment Fee as provided for in Section 3.2.4. Moreover, notwithstanding any other
provisions of this Section 2.5 to 

  

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the contrary, if any individual Lender determines, in the exercise of its discretion in good faith, that it is unlawful under applicable law to make or
maintain LIBOR Rate Loans as contemplated by this Agreement, the affected Lender (the “Affected Lender”) will provide prompt written notice of such determination to Borrower and (A) the Affected Lender’s commitment
hereunder to make LIBOR Rate Loans, continue LIBOR Rate Loans as such and convert Prime Rate Loans to LIBOR Rate Loans will thereupon terminate and (B) the Affected Lender’s Loans then outstanding as LIBOR Rate Loans, if any, will be
converted automatically to Prime Rate Loans on the respective last days of the then current LIBOR Period with respect to such Loans. 
 2.6
Funding of Loans 
 2.6.1 Funding of Loans. Each Term Loan Lender shall remit to Agent the amount of its Term
Loan Commitment of the amount of the Term Loan requested by Borrower in the initial Advance Request, on or prior to 12:00 noon (Cincinnati, Ohio time) on the Closing Date. With respect to any Revolving Loans requested by Borrower hereunder, each
Lender agrees that the Agent may in its sole discretion, but shall not be obligated to, make such requested Revolving Loans to Borrower on behalf of Lenders as an Interim Advance. If Borrower makes a request for a Revolving Loan as provided herein,
Agent, at its option and in its discretion, shall do either of the following: 
 (i) with respect to a Prime Rate Revolving
Loan, at its sole discretion, advance the amount of the proposed Revolving Loan to Borrower disproportionately (an “Interim Advance”) out of Agent’s own funds on behalf of Lenders, which advance shall be on the Borrowing Date
specified in the relevant Advance Request, and thereby elect settlement in accordance with Section 4.2 such that upon such settlement each Lender’s share of the outstanding Revolving Loans (including the amount of any such Interim
Advance settled on such date) equals its Revolving Credit Commitment Percentage of the then outstanding Revolving Loans. Interim Advances constitute Loans bearing interest at the rate applicable from time to time to Prime Rate Revolving Loans, are
secured by the Loan Collateral and Obligations hereunder and constitute a utilization of the Revolving Credit Commitments. All payments on any Interim Advance shall be payable to Agent solely for its own account (and for the account of the holder of
any participation interest with respect to such Interim Advance). No part of any Interim Advance may, on the repayment thereof, be redrawn or reborrowed by Borrower, except as a result of an election by Agent in its sole discretion, to have such
amounts advanced as a new Interim Advance in accordance with this Section 2.6.1 pursuant to an effective Advance Request; or 
 (ii) notify each Lender by facsimile, electronic mail or other similar form of teletransmission of the proposed Revolving Loan (a) with respect to Prime Rate Revolving Loans, on the same day, and (b) with
respect to any LIBOR Rate Loan, on the Business Day following the Business Day, in each case, that Agent is notified or deemed notified by Borrower of its request for such proposed a Revolving Loan pursuant to this Agreement, and thereupon each
Lender shall remit to, so that Agent shall have received, (1) with respect to Prime Rate Revolving Loans, on or prior to 2:00 p.m. (Cincinnati, Ohio time), on the date such Prime Rate Revolving Loans are to be advanced, and (2) with
respect to LIBOR Rate Loans, on or prior to 2:00 p.m. (Cincinnati, Ohio time), on the date such LIBOR Rate Loans are to be advanced, immediately available funds in an amount equal to such Lender’s Revolving Credit Commitment Percentage of such
Revolving Loan. 
 2.6.2. Operating Account. Borrower irrevocably authorizes Agent to make all disbursements of
Revolving Loans after the Closing Date into a non-interest bearing, DDA operating account maintained by Agent, Account No. 130107146776 (the “Operating Account”), that will be structured and utilized for that purpose in
accordance with Agent’s policies and procedures from time to time in effect. Unless other arrangements are made with, and expressly agreed to by, Agent (e.g., disbursements of Revolving Loans by wire transfer), all advances of the
Revolving Loans, will be 

  

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credited to the Operating Account at the end of the applicable Business Day on which the advance is made. With respect to advances requested by Borrower to
cover Presentments in the Controlled Disbursement Account, Borrower hereby irrevocably authorizes Agent, without any further written or oral request of Borrower, to transfer funds automatically from the Operating Account to the Controlled
Disbursement Account in amounts necessary for the payment of checks and other items drawn on the Controlled Disbursement Account as such checks and other items (“Presentments”) are presented to Agent for payment. If any Presentments
in the Controlled Disbursement Account are paid by Agent in excess of funds available in the Operating Account for any reason, including the failure of Borrower to determine the correct amount of Presentments in its Advance Request, the amounts so
paid by Agent will be deemed to be an advance of Revolving Loans as a Prime Rate Revolving Loan for all purposes of this Agreement and are hereby ratified and approved by Borrower; however, under no circumstances will Agent have any
obligation to pay any Presentments in the Controlled Disbursement Account in excess of funds available in the Operating Account. Notwithstanding anything to the contrary in this Section 2.6.2, Agent may, at any time hereafter on oral or
written notice to Borrower, elect to discontinue the automatic sweeping of funds from the Operating Account to the Controlled Disbursement Account, but Agent instead may disburse proceeds of a Revolving Loan by crediting only the Operating Account.
Furthermore, Agent reserves the right to discontinue providing controlled disbursement accounts to its customers, including Borrower. Each request submitted by Borrower for a new advance of a Revolving Loan via wire transfer of funds must be
initiated with Agent’s wire transfer department (or by telephone or on-line functions made available by Agent’s wire transfer department from time to time) via a duly completed and signed outgoing wire transfer form (or any replacement
form promulgated by Agent). 
 2.6.3 Availability of Loans. The failure of any Lender to make any Loan required to be
made by it shall not relieve any other Lender of its obligations hereunder; provided, however, that the Commitments of the Lenders are several and no Lender shall be responsible for any other Lender’ failure to make Loans as required.
Unless Agent shall have been notified by a Lender prior to the time a Loan is to be made hereunder that such Lender does not intend to make its share of such Loan available to Agent, Agent may assume that such Lender will make its share of such Loan
available to Agent, and Agent may in reliance upon such assumption make available to Borrower a corresponding amount. If such corresponding amount is not in fact made available to Agent by such Lender and Agent has made such amount available to
Borrower, Agent shall be entitled to receive such amount from such Lender forthwith upon its demand, together with interest thereon in respect of each day during the period from and including the date such amount was made available to Borrower to
but excluding the date Agent recovers such amount from such Lender at a rate per annum equal to the Federal Funds Rate for the first three days and, thereafter, at a rate per annum equal to the rate applicable to a Prime Rate Revolving Loan or Prime
Rate Term Loan, as applicable. If such amount is not in fact made available to Agent by such Lender upon such demand, Agent shall be entitled to receive such amount from Borrower upon five (5) Business Days written notice, together with
interest thereon at the rate specified in the Advance Request for such Loan in respect of each day during the period commencing on the date such amount was made available to Borrower and ending on but excluding the date Agent recovers such amount
from Borrower. 
 2.6.4 Loans on Prepayment Dates. If Lenders are required to make a new Loan hereunder to Borrower on
a day on which Borrower is required to or has elected to repay all or any part of an outstanding Loan from Lenders, Lenders shall apply the proceeds of the new Loan to make such repayment and only an amount equal to the difference (if any) between
the amount being borrowed and the amount being repaid shall be made available by Lenders to Borrower as provided in Section 2.6.2. 
 2.6.5 Authority of Individuals. Borrower hereby irrevocably authorizes Agent and each Lender to rely on telephonic, telegraphic, facsimile, telex or written instructions of any individual who is an Authorized
Representative to request a Credit Extension or a repayment hereunder with respect to any request to make a Credit Extension or a repayment hereunder, and on any signature which Agent or 

  

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any such Lender believes, in their judgment exercised reasonably, to be genuine, and Borrower shall be bound thereby in the same manner as if such person
were actually authorized or such signature were genuine. Borrower also hereby agrees to indemnify Agent and each of the Lenders and hold Agent and each of the Lenders harmless from and against any and all claims, demands, damages, liabilities,
losses, costs and expenses (including, without limitation, reasonable attorneys’ fees and expenses) relating to or arising out of or in connection with the acceptance of instructions for making Credit Extensions or repayments hereunder from
such individuals except to the extent any such claims, demands, damages, liabilities, losses, costs and expenses were caused by the gross negligence or willful misconduct of Agent or such Lender. The Obligations described under this
Section 2.6.5 shall survive any termination of this Agreement. 
 2.6.6 Participation in Interim Advances.
By the making of an Interim Advance and without any further action on the part of Agent or the Revolving Credit Lenders, Agent hereby grants to each Revolving Credit Lender, and each Revolving Credit Lender hereby acquires from Agent, a
participation in such Interim Advance equal to such Revolving Credit Lender’s Revolving Credit Commitment Percentage of such Interim Advance. In consideration and in furtherance of the foregoing, each Revolving Credit Lender hereby absolutely
and unconditionally agrees to pay to Agent, for the account of Agent, such Revolving Credit Lender’s Revolving Credit Commitment Percentage of each Interim Advance, or of any payment on any Interim Advance required to be refunded to Borrower
for any reason. Each Revolving Credit Lender acknowledges and agrees that its obligation to acquire participations pursuant to this paragraph in respect of Interim Advances is absolute and unconditional and shall not be affected by any circumstance
whatsoever, including the occurrence and continuance of an Event of Default, the failure of any condition in Section 5 to be satisfied, or any reduction or termination of the Commitments or a reduction in the Revolving Credit
Availability, and that each such payment shall be made without any offset, abatement, withholding or reduction whatsoever. Following receipt by Agent of any payment by Borrower in respect of any Interim Advance, Agent shall apply such amounts to the
then outstanding Agent Advances and, to the extent that the Revolving Credit Lenders have made payments pursuant to this Section 2.6.6 to Agent, to the Revolving Credit Lenders, as their interest may appear. The purchase of
participations in an Interim Advance pursuant to this Section 2.6.6 shall not relieve Borrower of any default in the payment thereof. 
 2.7 Notes; Records of Advances of Credit. Borrower’s obligation to pay the principal of, and interest on, the Revolving Loans and the Term Loan made by the Lenders shall be evidenced: (i) if Revolving Loans, by a promissory
note duly executed and delivered by Borrower substantially in the form of Exhibit A with blanks appropriately completed in conformity herewith and as amended and restated, as applicable, upon the issuance thereof (each a “Revolving
Loan Note”) and (ii) if the Term Loan, by a promissory note duly executed and delivered by Borrower substantially in the form of Exhibit B with blanks appropriately completed in conformity herewith and as amended and restated,
as applicable, upon the issuance thereof (each a “Term Loan Note”). Agent and each Lender is hereby authorized to record the date and amount of each advance of the Loans, and the date and amount of each payment or prepayment
thereof, by any or all of the following: (1) on a schedule constituting a part of the applicable Note which schedule may be attached thereto and made a part thereof, (2) by entries made into Agent and each Lender’s electronic systems,
or (3) on internal memoranda maintained by Agent and each Lender, and any such recordation will be rebuttably presumptive evidence of the accuracy of the information so recorded absent manifest error; however, the failure of Agent or any
Lender to make any such recordation will not affect the unconditional obligation of Borrower to repay the outstanding principal, interest, or other Obligations due under this Agreement, under the Notes, or the other Loan Documents in accordance with
the terms of this Agreement and the other Loan Documents. 
  

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 2.8 No Limitation on Liens. The limits on outstanding advances against the Borrowing Base are not
intended and shall not be deemed to limit in any way Agent’s Liens on the Receivables, Inventory, Equipment, General Intangibles, or any other Loan Collateral. 
 2.9 Advance Rates and Sublimits; Reserves. 
 2.9.1 Changes. Borrower
acknowledges that Agent, from time to time, may do any one or more of the following in its discretion exercised in good faith: (i) decrease the dollar limits or percentages applicable to any Inventory or Receivables advance limits or
(ii) decrease the Advance Rates, in each case, only if one or more of the following events occur or conditions exist: (a) an Event of Default has occurred and is continuing; (b) with regard to the Receivables Advance Rate,
(1) the dilution percentage with respect to Borrower’s Eligible Receivables (i.e., reductions in the amount of accounts receivable because of returns, discounts, price adjustments, credit memoranda, credits, contras and other
similar offsets) exceeds 5%, (2) the percentage of accounts receivable which are 90 days or more past the date of the original invoices applicable thereto increases, in comparison to the percentage of accounts receivable which are within 90
days from the date of the original invoices applicable thereto, by an amount which Agent, in its discretion exercised in good faith, determines is material, or (3) any material change occurs, determined by Agent, in its discretion exercised in
good faith, from the Closing Date in respect of the credit rating or credit quality of Borrower’s account debtors; or (c) with respect to the Inventory Advance Rate, there occurs a material change, as determined by Agent in its discretion,
in the type, quantity, or quality of Borrower’s Eligible Inventory as the same is constituted on the Closing Date. 
 2.9.2 Notice. If, at any time, Agent decreases any of the dollar limits or percentages applicable to any Inventory or Receivables advance limits or decreases the Advance Rates from that which, in any case, is expressly stated in
clauses (i) or (ii) of the definition of the Borrowing Base (i.e., exclusive of those changes which result from the effect of applying applicable eligibility criteria and Reserve Amounts) (“Stated Advance Rate
Change”), Agent will give Borrower 15 days advance written notice of such Stated Advance Rate Change, unless an Event of Default then exists, in which case Agent will give Borrower contemporaneous oral or written notice of such Stated
Advance Rate Change. If, at any time, Agent elects to implement any Reserve Amounts, Agent will give Borrower 7 days advance written notice of the implementation of such Reserve Amounts, unless an Event of Default then exists, in which case Agent
will give Borrower contemporaneous oral or written notice of the implementation of such Reserve Amounts. 
 2.9.3 Resulting
Deficiency. If a Deficiency was caused solely by the exercise of Agent’s discretion to (i) effect a Stated Advance Rate Change under Section 2.9.1 and the Stated Advance Rate Change was not made during the existence of, or
in response to, an Event of Default or (ii) implement a Reserve Amount and the Reserve Amount was not made during the existence of, or in response to, an Event of Default, then, in each case, Borrower shall, notwithstanding anything to the
contrary set forth in Section 3.1.2, have up to 30 days after the expiration of the applicable notice period under Section 2.9.2 before such Deficiency results in an Event of Default, to reduce the then outstanding balance of
the Obligations so that such Deficiency shall no longer exist. 
 2.10 One General Obligation; Cross-Collateralized. All advances of
credit by Agent, LC Issuer and Lenders to, or for the benefit of, Borrower under this Agreement and under any other Loan Document constitute one loan, and all of the Obligations constitute one obligation. The Loans and Letter of Credit Exposure and
all other advances or extensions of credit to, or for the benefit of, Borrower under this Agreement or the other Loan Documents are made on the security of all of the Loan Collateral. 
 2.11 Lending Installations. Agent and each Lender may book its Loans and other Credit Exposure, if any, and LC Issuer may book the Letter of
Credits, at any Lending Installation selected by 

  

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Agent, such Lender or LC Issuer, as the case may be, and may change its Lending Installation from time to time. All terms of this Agreement shall apply to
any such Lending Installation and the Loans, Letters of Credit, and other Credit Exposure, and any Notes issued hereunder shall be deemed held by Agent, each Lender or LC Issuer, as the case may be, for the benefit of any such Lending Installation.
Agent, each Lender and LC Issuer may, by written notice to Agent and Borrower in accordance with Section 15.7, designate replacement or additional Lending Installations through which Loans will be made by it or Letters of Credit and
other Credit Exposure will be issued or maintained by it and for whose account payments are to be made. 
 2.12 Reduction and Termination
of Commitments. 
 2.12.1 Voluntary Termination of Commitments. Borrower may voluntarily terminate the Commitments
in total by (i) giving the Agent 90 days advance notice (“Termination Notice”) of the date on which the Commitments are to terminate (“Voluntary Termination Date”), and (ii) paying and satisfying on the
Voluntary Termination Date: (a) all Loans and other Obligations (which shall include the cancellation and return of all outstanding Letters of Credit, or provision made for the cash collateralization of all such Letters of Credit on terms
reasonably acceptable to Agent and the LC Issuer) other than contingent Obligations that survive the termination of this Agreement for which Agent has not given notice thereof to Borrower, (b) any LIBOR Prepayment Fee under
Section 3.2.4, and (c) if such Voluntary Termination Date is earlier than the third anniversary of the date of this Agreement, paying, as compensation to the Lenders for loss of bargain with respect to the credit advanced hereunder,
and not as a penalty, a termination fee (“Termination Fee”) in the amounts set forth below: 
  

				
	 Voluntary Termination Date
	  	Termination Fee
	 On or before February 15, 2008
	  	$	800,000;
	 After February 15, 2008 but on or before February 15, 2009
	  	$	400,000;
	 After February 15, 2009 but before February 15, 2010
	  	$	200,000;

 provided, however, that no Termination Fee shall be due if the payment in full of the then outstanding
Loans and other Obligations is being simultaneously effected from the proceeds attributable to (1) the sale or other disposition of (“Sale Transaction”) all or substantially all of the assets of Borrower paid by the purchaser
(not an Affiliate of Borrower) (“Third Party Purchaser”) or any lender whose financing the Third Party Purchaser arranged in connection with that Sale Transaction or (2) a Change of Control irrespective of whether Lenders
accelerate the due date of the Obligations in response to such Change of Control. Borrower may not terminate any Commitment in part. For purposes of this Section 2.12.1. such cash collateralization of all outstanding Letters of Credit
shall be in an amount equal to one hundred five (105%) percent of the then Letter of Credit Exposure plus the amount of any LOC Fees and other fees and expenses set forth in Section 3.7 payable in connection therewith through
the end of the latest expiration date of such Letters of Credit. 
 2.12.2 Scheduled Termination of Commitments. The
Term Loan Commitments will automatically terminate at 5:00 p.m. (Cincinnati, Ohio time) on the Closing Date. The Revolving Credit Commitments will automatically terminate on the Revolving Credit Commitment Termination Date. 
 2.12.3 Permanent Reduction of Commitments. Each termination of Commitments shall be permanent. 
  

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 2.12.4 Borrower Remains Liable. Notwithstanding any termination of the Commitments
under this Agreement, until all of the Obligations (other than contingent Obligations that survive the termination of this Agreement for which Agent has not given notice thereof to Borrower) have been fully performed, paid and satisfied (and all
Letters of Credit cancelled and returned to LC Issuer), Borrower shall remain liable for the full and prompt performance and payment of the Obligations, and Agent, LC Issuer and the Lenders shall retain all of their respective individual and
collectively rights and privileges under the Loan Documents, including the retention of Agent’s Liens on and interest in and to all of the Loan Collateral until all of the Obligations have been fully performed, paid and satisfied (and all
Letters of Credit have been cancelled and returned to LC Issuer). 
 2.13 Increased Costs. 
 2.13.1. Increased Costs Generally. If any Change in Law shall: 
 (i) impose, modify or deem applicable any reserve, special deposit or similar requirement against assets of, deposits with or for the
account of, or credit extended by any Lender, LC Issuer or any applicable Lending Installation (except any such reserve requirement reflected in the LIBOR Rate); or 
 (ii) impose on any Lender, LC Issuer or any applicable Lending Installation or the London interbank market any other condition affecting
this Agreement or LIBOR Rate Loans made by such Lender or applicable Lending Installation 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 or applicable Lending Installation of making or maintaining any LIBOR Rate Loan (or of maintaining its obligation to make any such Loan) or to increase the cost to such Lender, LC
Issuer or applicable Lending Installation of participating in, issuing or maintaining any Letter of Credit or to reduce the amount of any sum received or receivable by such Lender, LC Issuer or applicable Lending Installation hereunder (whether of
principal, interest or otherwise), then Borrower will pay to such Lender or LC Issuer, as the case may be, such additional amount or amounts as will compensate such Lender or LC Issuer, as the case may be, for such additional costs incurred or
reduction suffered. 
 2.13.2. Costs Attributable to Regulatory Change or Risk-Based Capital Guidelines. If Agent, any
Lender or LC Issuer determines that any Change in Law regarding capital requirements has or would have the effect of reducing the rate of return on Agent’s, such Lender’s or LC Issuer’s capital or on the capital of Agent’s, such
Lender’s or LC Issuer’s holding company, if any, as a consequence of this Agreement or the Loans made by or participation in Letters of Credit held by Agent, such Lender, or the Letters of Credit issued by LC Issuer, to a level below that
which Agent, such Lender or LC Issuer or Agent’s, such Lender’s or LC Issuer’s holding company could have achieved but for such Change in Law (taking into consideration Agent’s, such Lender’s or LC Issuer’s policies and
the policies of Agent’s, such Lender’s or LC Issuer’s holding company with respect to capital adequacy), then from time to time Borrower will pay to Agent, such Lender or LC Issuer such additional amount or amounts as will compensate
Agent, such Lender or LC Issuer or Agent’s, such Lender’s or LC Issuer’s holding company for any such reduction suffered. 
 2.13.3 Certification. A certificate of Agent, a Lender or LC Issuer setting forth the amount or amounts necessary to compensate Agent, such Lender or LC Issuer or its holding company, as the case may be, as
specified in Sections 2.13.1 and 2.13.2 of this Section shall be delivered to Borrower and shall be conclusive absent manifest error. Borrower shall pay Agent, such Lender or LC Issuer, as the case may be, the amount shown as due on
any such certificate within 10 Business Days after receipt thereof. 
  

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 2.13.4 Delay in Requests. Failure or delay on the part of Agent, any Lender or LC
Issuer to demand compensation pursuant to this Section 2.13 shall not constitute a waiver of Agent’s, such Lender’s or LC Issuer’s right to demand such compensation; provided that Borrower shall not be required to
compensate Agent, a Lender or LC Issuer pursuant to this Section for any increased costs or reductions incurred more than one year prior to the date that Agent, such Lender or LC Issuer notifies Borrower of the Change in Law giving rise to such
increased costs or reductions and of Agent’s such Lender’s or LC Issuer’s intention to claim compensation therefor; provided further that, if the Change in Law giving rise to such increased costs or reductions is retroactive,
then the one year period referred to above shall be extended to include the period of retroactive effect thereof. 
 2.13.5.
Survival. The Obligations described under this Section 2.13 shall survive any termination of this Agreement. 
 2.14
Taxes. 
 2.14.1. Gross-Up. Any and all payments by or on account of any obligation of Borrower hereunder shall
be made free and clear of and without deduction for any Indemnified Taxes or Other Taxes; provided that if Borrower shall be required to deduct any Indemnified Taxes or Other Taxes from such payments, then (i) the sum payable shall be
increased as necessary so that after making all required deductions (including deductions applicable to additional sums payable under this Section) Agent, Lender or LC Issuer (as the case may be) receives an amount equal to the sum it would have
received had no such deductions been made, (ii) Borrower shall make such deductions and (iii) Borrower shall pay the full amount deducted to the relevant Governmental Authority in accordance with applicable law. 
 2.14.2. Other Taxes. In addition, Borrower shall pay any Other Taxes to the relevant Governmental Authority in accordance with
applicable law. 
 2.14.3. Indemnity for Taxes. Borrower shall indemnify Agent, each Lender and LC Issuer, within 30
days after written demand therefor, for the full amount of any Indemnified Taxes or Other Taxes paid by Agent, such Lender or LC Issuer, as the case may be, on or with respect to any payment by or on account of any obligation of Borrower hereunder
(including Indemnified Taxes or Other Taxes imposed or asserted on or attributable to amounts payable under this Section) 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 but not to the extent such Indemnified Taxes or Other Taxes were incurred as a result of the gross negligence or willful misconduct of Agent,
such Lender or LC Issuer. A certificate as to the amount of such payment or liability delivered to Borrower by a Lender or LC Issuer, or by Agent on its own behalf or on behalf of a Lender or LC Issuer, shall be prima facie evidence of the
existence and amounts of the obligations recorded therein. 
 2.14.4. Evidence of Payment. As soon as practicable after
any payment of Indemnified Taxes or Other Taxes by Borrower to a Governmental Authority, Borrower shall deliver to Agent the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the
return reporting such payment or other evidence of such payment reasonably satisfactory to Agent. 
 2.14.5. Foreign
Lenders. 
 (i) Each Foreign Lender shall provide Borrower (with a copy to Agent) on or prior to the date of execution and
delivery of this Agreement in the case of each such Foreign Lender listed on the signature pages hereof and on or prior to the date on which it becomes a Foreign Lender in 
  

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the case of each such other Foreign Lender, and thereafter as reasonably requested from time to time by Borrower or Agent and upon the obsolescence of any
previously provided forms, duly completed copies of one of the following: 
 (A) Internal Revenue Service Form W8-BEN (or
successor form), certifying that such Foreign Lender is entitled to benefits under an income tax treaty to which the United States is a party that reduces to zero the rate of withholding of United States federal income Tax on interest to be received
by such Foreign Lender under this Agreement and any other Loan Document; or 
 (B) Internal Revenue Service Form W-8ECI (or
successor form) with respect to payments of interest to be received by such Foreign Lender under this Agreement or any other Loan Document; or 
 (C) (I) Internal Revenue Service Form W8-BEN (or successor form); and 
 (II) A certificate
to the effect that such Foreign Lender is eligible for complete exemption from withholding or United States federal income Tax under Section 881(h) or Section 881(c) of the Internal Revenue Code on payments of interest to be received by
such Foreign Lender under this Agreement and any other Loan Document and is neither (x) a “bank” within the meaning of Section 881(c)(3)(A) of the Internal Revenue Code, nor (y) a “10 percent shareholder” of
Borrower within the meaning of Section 881(c)(3)(B) of the Internal Revenue Code, nor (C) a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Internal Revenue Code; or 
 (D) Any other form or certificate required under the Internal Revenue Code or the Treasury Regulations certifying that such Foreign
Lender or (if applicable) each of its direct and indirect beneficial owners is entitled to a complete exemption from withholding of United States federal income Tax on payments of interest to be received by such Foreign Lender under this Agreement
or any Loan Document. 
 (ii) Notwithstanding the provisions of Section 2.14.5(i), a Foreign Lender shall not be
required to deliver any form or certificate pursuant to Section 2.14.5(i) if such Foreign Lender is not legally able to deliver, in which case, the following rules shall apply: 
 (A) Such Foreign Lender shall nonetheless be entitled to receive additional amounts or indemnification under Section 2.14.1
or 2.14.3 for any period with respect to which such Foreign Lender failed to comply with the provisions of Section 2.14.5(i) with respect to United States federal income Tax (or withholding of such Tax) on interest payments made
to such Foreign Lender with respect to such period under this Agreement and any Loan Documents, if such Foreign Lender has failed to comply with the provisions of Section 2.14.5(i) as a result of a change in the United States federal
income Tax laws or an income tax treaty to which the United States is a party that occurred subsequent to the later of: 
 (I) The date on which such Foreign Lender became a Lender; or 
 (II) If such change resulted in a Person that is a
direct or indirect beneficial owner of such Foreign Lender or holds an interest in such Foreign Lender being legally unable to provide a form or certificate required in order for such Foreign Lender to comply with the provisions of Section
2.14.5(i) the date on which such person acquired such direct or indirect beneficial ownership interest in such Foreign Lender or such interest held through the Foreign Lender. 
  

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 (B) Such Foreign Lender shall not be entitled to receive additional amounts or
indemnification under Section 2.14.1 or 2.14.3 for any period with respect to which such Foreign Lender failed to comply with the provisions of Section 2.14.5(i) with respect to United States federal income Tax (or
withholding of such Tax) on interest payments made to such Foreign Lender with respect to such period under this Agreement and any Loan Documents, in any other circumstance, unless: 
 (I) The indemnity payments or additional amounts any Lender would be entitled to receive (without regard to this
Section 2.14.5(ii)) do not exceed the indemnity payment or additional amounts that the person making the assignment, participation or transfer to such Lender would have been entitled to receive in the absence of such assignment,
participation or transfer; or 
 (II) Such assignment, participation or transfer has been requested by Borrower. 

2.14.6. Survival. The Obligations described under this Section 2.14 shall survive any termination of this Agreement.

 2.15 Mitigation of Obligations. If Borrower is required to pay any additional amount to any Lender or any Governmental Authority
for the account of any Lender pursuant to Sections 2.13 or 2.14, then such Lender shall use reasonable efforts to designate a different lending office for funding or booking its Loans and other Credit Exposure hereunder or to assign
its rights and obligations hereunder to another of its offices, branches or affiliates, if, in the judgment of such Lender, such designation or assignment (i) would eliminate or reduce amounts payable pursuant to Sections 2.13 or, as
applicable, 2.14, in the future and (ii) would not subject such Lender to any unreimbursed cost or expense and would not otherwise be disadvantageous to such Lender. 
 2.16 Replacement of Lender. If during the term of this Agreement, any Lender (i) demands compensation pursuant to Section 2.13 or
Section 2.14 (such Lender being a “Designated Lender”) or (ii) is a Defaulting Lender, Borrower, so long as no Event of Default then exists and is continuing, may: (a) request Agent to use reasonable efforts to
identify a replacement bank or other financial institution satisfactory to Borrower to acquire and assume all or a ratable part of all of such Designated Lender’s or, as applicable, Defaulting Lender’s Loans and Commitments (a
“Replacement Lender”), provided that Agent will have no duty to undertake a formal syndication or any underwriting obligations of any nature with respect to any proposed Replacement Lender requested by Borrower;
(b) request, without any obligation by a Lender to do so, one or more of the other Lenders to acquire and assume all or part of such Designated Lender’s or, as applicable, Defaulting Lender’s Loans and Commitment; or
(c) designate a Replacement Lender. Any such designation of a Replacement Lender under clause (a) or (c) shall be subject to the prior consent of Agent and the LC Issuer. Borrower and the Lenders further acknowledge that Agent assumes
no responsibility for ensuring that Agent will be able to locate any Replacement Lender or that any Person designated as a Replacement Lender becomes a Lender under this Agreement. If Agent gives notice to such Designated Lender or, as applicable,
Defaulting Lender that a Replacement Lender has been obtained, then such Designated Lender’s or, as applicable, Defaulting Lender must immediately sell all of such Designated Lender’s or, as applicable, Defaulting Lender’s Loans,
other Credit Exposure and Commitments to the Replacement Lender for an amount equal to the unpaid principal balance of the Loans held by such Designated Lender or, as applicable, Defaulting Lender plus all accrued interest and fees, if any, then due
to such Designated Lender or, as applicable, Defaulting Lender as set forth in this Agreement; provided, however, such Designated Lender or, as applicable, Defaulting Lender shall not be required to make any such assignment and delegation if,
prior thereto, the circumstances entitling Borrower to require such assignment and delegation cease to apply or, in the case of a Designated Lender, such Designated Lender elects to waive such circumstances. 
  

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 3. PRINCIPAL PAYMENTS; INTEREST CHARGES; FEES 
 3.1 Payments and Prepayments of Principal. 
 3.1.1 Repayment of Principal. 
 (i) Borrower hereby promises to pay the entire unpaid
principal balance of the Revolving Loans, and the unpaid principal of each Revolving Loan will be due and payable, on the earlier to occur of (a) the Maturity Date and (b) the date the Revolving Loans are due and payable pursuant to
Section 12. 
 (ii) Borrower hereby promises to pay the unpaid principal balance of the Term Loan, and the
principal balance of the Term Loan will be due and payable, in 36 consecutive equal monthly installments in the amount of $555,555.55 each on the first Business Day of each month, commencing on March 1, 2007 and continuing until
February 1, 2010 (each a “Principal Payment Date”). The entire unpaid principal balance of the Term Loan, if not sooner repaid, will be due and payable on the earlier to occur of (a) February 1, 2010 and (b) the date
the Term Loan is due and payable pursuant to Section 12. 
 (iii) Borrower hereby promises to pay (subject to
settlement thereof by the Lenders as provided in Section 4.2) the entire outstanding principal balance of each Interim Advance, and each Interim Advance shall be due and payable, on the earliest to occur of (a) the next succeeding
Settlement Date following such Interim Advance, (b) the Maturity Date, and (c) the date the Interim Advances are due and payable pursuant to Section 12. 
 (iv) Borrower hereby promises to pay the entire outstanding principal balance of each Agent Advance, and each Agent Advance shall be due
and payable, within 10 Business Days after the date requested by Agent in writing. 
 (v) Borrower hereby promises to pay the
entire outstanding principal balance of any other Obligations at the times provided in the Loan Documents or, if not so provided, within 10 Business Days after the date requested by Agent in writing. 
 3.1.2 Correction of Deficiency. Notwithstanding anything in this Agreement to the contrary, if, as at any time, a Deficiency occurs
or exists, Borrower will immediately, without demand or notice, reduce the sum of the then outstanding principal balance of the Loans so that a Deficiency no longer exists unless the Deficiency results solely from any Permitted Overadvance. Any
payments made by Borrower in respect of a Deficiency will be applied to the Revolving Loans until a Deficiency no longer exists. 
 3.1.3 Optional Prepayments of Loans. Borrower may from time to time optionally prepay the principal balance of any Loan. Any prepayment of the Term Loan shall be applied to the last to mature of the monthly payments required under
Section 3.1. At the time of any prepayment of any LIBOR Rate Loan, Borrower shall pay any applicable LIBOR Prepayment Fee under Section 3.2.4. 
  

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 3.1.4 Mandatory Prepayments. 
 (i) In addition to the scheduled payments of principal on the Term Loan as set forth in Section 3.1.1(ii), the following
payments shall be made to, or retained by, Agent and applied as provided in Section 3.1.4(ii): 
 (a) On the earlier (the earlier date being the “Excess Cash Flow Payment
Date”) of (1) Agent’s receipt of the financial statements for each Applicable Fiscal Quarter (as defined below) pursuant to Section 8.5 and (2) the date which is the forty-fifth (45th) day after the end of each and every Applicable Fiscal Quarter occurring the term of this Agreement until the payment in
full of the Term Loan, 50% of Borrower’s Excess Cash Flow shall be paid by Borrower to Agent (“Excess Cash Flow Payment”) for each Applicable Fiscal Quarter then ended, commencing with the Applicable Fiscal Quarter ending on
June 30, 2007. Excess Cash Flow will be based on Borrower’s financial statements provided to Agent pursuant to Section 8.5 for each Applicable Fiscal Quarter. The “Applicable Fiscal Quarter” means the Fiscal Quarter
of Borrower that ended approximately 45 days immediately before each scheduled Excess Cash Flow Payment Date (e.g., if the Excess Cash Flow Payment Date is August 15, 2007, the Applicable Fiscal Quarter would be the Fiscal Quarter ending
June 30, 2007); 
 (b) On the date of receipt thereof by Borrower, an amount equal to 100% of the Net Proceeds from any
sale of any asset (other than (1) sales of Inventory in the ordinary course of business, (2) sales of obsolete Inventory, (3) sales or other dispositions of Equipment in connection with the replacement of such Equipment as
contemplated by Section 10.24. or (4) dispositions of Permitted Investments of the types described in clauses (i), (ii). (iii), or (vi) of Section 10.17 so long as the proceeds thereof are
reinvested in other Permitted Investments that are permitted to be owned or made as provided in Section 10.17); 
 (c) On the date of receipt thereof by Borrower or any of its Subsidiaries, an amount equal to 100% of any dividend or distribution to Borrower or any of its Subsidiaries from a Person other than any member of the Holding Co. Consolidated
Group; 
 (d) (1) On the date of receipt thereof by Holding Co. of a Tax Refund, an amount equal to 50% of the Net Proceeds
from any Tax Refund and (2) on the date of receipt thereof by Borrower of a Tax Refund, an indemnification or contribution payment, or a pension plan reversion, an amount equal to 50% of the Net Proceeds from any Tax Refund, indemnification or
contribution payment, or pension plan reversion; and 
 (e) On the date of receipt thereof by Holding Co. or any member of
the Borrower Consolidated Group, 100% of the Net Proceeds from any insurance or condemnation proceeds payable in respect of, or arising out of, any loss or damage to any member of the Borrower Consolidated Group’s properties (other than
dispositions of any Equipment or Mortgaged Real Estate, which is the subject of an Event of Loss, in connection with the replacement or repair of such Equipment as contemplated by Section 10.24 or the replacement or repair of such Mortgaged
Real Estate as contemplated under the Mortgage). 
 (ii) With respect to mandatory prepayments described in Sections
3.1.4(i)(a) through 3.1.4(i)(e), such prepayments shall, absent the occurrence and continuance of an Event of Default: (i) first, be applied to the remaining installments of principal under the Term Loan, in the inverse order of
maturity, until the Term Loan has been paid in full, (ii) second, at any time after the Term Loan shall have been repaid in full, such payments shall be applied in repayment of the Revolving Loans and the other Obligations then due and payable,
and (iii) third, after all such Revolving Loans and other Obligations have been paid in full, such payments shall be applied to cash collateralize outstanding Letter of Credit Obligations. If, and to the extent, required by the Senior Notes
Indenture, the Revolving Credit Commitment will be contemporaneously reduced dollar-for-dollar by the amount of such proceeds, if any, so applied by Agent to the Revolving Loans. Nothing in this Section 3.1.4 shall be construed to
constitute Agent’s or any Lender’s consent to any transaction that is not permitted by other provisions of this Agreement or the other Loan Documents. No partial prepayment under this Section 3.1.4 will change the due dates or
the amount of the monthly principal payments on the Term Loan otherwise required by Section 3.1.1(ii). 
  

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 (iii) If the application of any payment made in accordance with the provisions of this
Section 3.1.4, at a time when no Event of Default has occurred and is continuing, would result in termination of a LIBOR Rate Loan prior to the last day of the LIBOR Period for such LIBOR Rate Loan, the amount of such prepayment shall
not be applied to such LIBOR Rate Loan, but will, at Borrower’s option, be held by Agent in a non-interest bearing account at U.S. Bank, to be applied as such amount would otherwise have been applied under this Section 3.1.4 at the
earlier to occur of (a) the last day of the relevant LIBOR Period or (b) the occurrence of an Event of Default. 
 3.2 Interest
on Obligations; Margins; Break Funding. Borrower will pay Lenders interest on the Obligations as follows: 
 3.2.1
LIBOR Rate Loans. At any time that a LIBOR Election is in effect for any portion of a Loan, the principal balance of the applicable LIBOR Rate Loan, up to the LIBOR Amount, will bear interest at an annual rate equal to the applicable
LIBOR-Based Rate in effect for such LIBOR Rate Loan for the LIBOR Period for which the interest rate is being determined. The foregoing provisions of this Section 3.2.1 are subject to Section 3.2.6. 
 3.2.2 Prime Rate Loans and Other Obligations. The principal balance of the Loans, or portions thereof, as to which a LIBOR Election
is not in effect and the balance of all other outstanding Obligations (except that portion of the Obligations, if any, arising under any agreement other than this Agreement if such other agreement provides for the payment of interest at a rate
specified therein) will bear interest at an annual rate equal to the applicable Prime-Based Rate as in effect from time to time. The foregoing provisions of this Section 3.2.2 are subject to Section 3.2.6. 
 3.2.3 Rate Adjustments. Any adjustment in the rate of interest resulting from a change in the Prime Rate will become effective on
the date of such change in the Prime Rate. Any adjustment in the rate of interest resulting from a change in the LIBOR Rate will become effective on the first Business Day of each LIBOR Period to reflect the LIBOR Rate determined as of the date
which is two Business Days before the first Business Day of such LIBOR Period. Agent’s internal records of applicable interest rates shall be determinative in the absence of manifest error. 
 3.2.4 Break Funding. If, at any time that a LIBOR Election is in effect, the principal balance of the applicable LIBOR Rate Loan
is, for any reason whatsoever and whether or not within the control of Borrower, reduced below the LIBOR Amount applicable to that LIBOR Rate Loan, then Borrower shall pay to Lenders, in addition to any other Obligations, all costs and expenses
incurred by Lenders arising out of that prepayment and a “LIBOR Prepayment Fee” which shall be equal to the “Interest Differential”. The term “Interest Differential” shall mean that sum, as
determined by Agent, equal to the greater of zero or the financial loss incurred by the Lenders (as determined by Agent) resulting from prepayment, calculated as the difference between the amount of interest Lenders would have earned (from like
investments in the Money Markets as of the first day of the LIBOR Rate Loan) had prepayment not occurred and the interest Lenders will actually earn (from like investments in the Money Markets as of the date of prepayment) as a result of the
redeployment of funds from the prepayment. Borrower agrees that the Interest Differential shall not be discounted to its present value. The term “Money Markets” refers to one or more wholesale funding markets available to Agent,
including negotiable certificates of deposit, commercial paper, eurodollar deposits, bank notes, federal funds, interest rate swaps or others. A certificate as to such Interest Differential submitted by Agent to Borrower shall be conclusive, absent
manifest error, as to the amount thereof. The Obligations described under this Section 3.2.4 shall survive any termination of this Agreement. 
  

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 3.2.5 Applicable LIBOR Rate Margin, Applicable Prime Rate Margin, Application LOC
Fee. Each of the Applicable LIBOR Rate Margin and the Applicable Prime Rate Margin with respect to a LIBOR Rate Revolving Loan or a Prime Rate Revolving Loan, and the Applicable LOC Fee will be determined from time to time by reference to the
table set forth below on the basis of the then Fixed Charge Coverage Ratio as described in this Section 3.2.5. 
  

									
	Pricing
Level	  	 Excess Availability
	  	 Applicable LIBOR
Rate Margin For
LIBOR Rate
Revolving
Loans
	  	 Applicable Prime
Rate Margin For
Prime Rate
Revolving
Loans
	  	 Applicable LOC
Fee

	1	  	>$20,000,000	  	1.00%	  	0.00%	  	1.00%
	2	  	> $15,000,000 £ $20,000,000	  	1.25%	  	0.00%	  	1.25%
	3	  	> $10,000,000 £ $15,000,000	  	1.50%	  	0.00%	  	1.50%
	4	  	£ $ 10,000,000	  	1.75%	  	0.25%	  	1.75%

 For purposes of determining the Applicable LIBOR Rate Margin and the Applicable Prime Rate Margin, Excess
Availability will, after the date of this Agreement, be determined as of the end of each calendar quarter occurring during the term of this Agreement (the end of each calendar quarter being a “Determination Date”) based on
Borrower’s Excess Availability during the preceding calendar quarter (i.e., a 90-day period). The first Determination Date after the date of this Agreement is June 30, 2007 for the calendar quarter ending June 30, 2007. The
Applicable LIBOR Rate Margin and the Applicable Prime Rate Margin and the Applicable LOC Fee will be subject to adjustment in accordance with the table set forth in this Section 3.2.5 based on Borrower’s Excess Availability for the
calendar quarter then ended so long as no Event of Default is existing as of the applicable Determination Date or as of the effective date of adjustment. The foregoing adjustment, if applicable, to the Applicable LIBOR Rate Margin and the Applicable
Prime Rate Margin and the Applicable LOC Fee, will become effective for LIBOR Elections made, the unpaid principal balance of Prime Rate Revolving Loans and other Obligations outstanding (exclusive of a LIBOR Rate Term Loan or a Prime Rate Term
Loan), and LOC Fees due with respect to Letters of Credit issued or renewed, on and after the first day of the first calendar month immediately following the end of each calendar quarter until the next succeeding effective date of adjustment
pursuant to this Section 3.2.5. As of the date of this Agreement, (a) the Applicable LIBOR Rate Margin is 1.50% per annum; (b) the Applicable Prime Rate Margin is 0% per annum; and (c) the Applicable LOC Fee is
1.500% per annum. 
 3.2.6 Default Rate. The per annum rates of interest applicable at all times after the
occurrence and during the continuance of an Event of Default shall be the applicable rates of interest set forth above in Sections 3.2.1 and 3.2.2 plus an additional 2.0% with respect to all Obligations (“Default
Rate”). 
 3.3 Interest Payment Dates. Interest accrued on each Loan shall be payable as follows: 
 3.3.1 Prime Rate Loans. In the case of Prime Rate Loans, monthly on each Interest Payment Date. 
 3.3.2 LIBOR Rate Loans. In the case of each LIBOR Rate Loan, monthly on each Interest Payment Date; provided, however, if
any LIBOR Period ends (“Expiring LIBOR Period”) on a day other than the last day of a calendar month, then Agent will charge, and Borrower will pay, all accrued and unpaid interest for the LIBOR Amount attributable to that Expiring
LIBOR Period on the date that the Expiring LIBOR Period ends. 
  

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 3.3.3 Payment and Conversion of Loans. In the case of all Loans, upon the payment
or prepayment thereof or the conversion of such Loan to a Loan of another Type. 
 3.3.4 Default Rate. Notwithstanding
Sections 3.3.1. 3.3.2 and 3.3.3, interest payable as provided in Section 3.2.6 shall be payable from time to time on written demand. 
 3.4 Agent Fees. Borrower will pay to Agent the fees as set forth in the Fee Letter. 
 3.5 Closing
Fee. Borrower will pay to Agent a non-refundable, fully-earned closing fee in the amount set forth in the Fee Letter. 
 3.6 Unused
Commitment Fee. Commencing on the first day of the first calendar month immediately following the Closing Date and continuing on the first Business Day of each and every calendar month thereafter until the Obligations are fully paid and
satisfied (and all Letters of Credit have been cancelled and returned to the LC Issuer) and the Revolving Credit Commitments are terminated, Borrower will pay to Agent for the account of the Revolving Credit Lenders (ratably in accordance with their
respective Revolving Credit Commitment Percentages) a fee (“Unused Commitment Fee”) in an amount equal to the result obtained by multiplying (i) the difference between (a) the then Revolving Credit Commitments and
(b) the average daily Revolving Loans advanced to Borrower during the preceding calendar month (or portion thereof during which any portion of the Revolving Loans (including any Interim Advances and the then Letter of Credit Exposure) was
outstanding or during which this Agreement was in full force and effect) for which the Unused Commitment Fee is being determined by (ii) the result obtained (expressed as a percentage) by multiplying 0.250% by a fraction, the numerator
of which is the sum of days in such calendar month during which this Agreement was in full force and effect (or during which any portion of the Revolving Loans [including any Interim Advances and the then Letter of Credit Exposure] was outstanding)
and the denominator of which is 360. 
 3.7 Letter of Credit Fees. Borrower will pay to (i) LC Issuer for its own account, with
respect to each Letter of Credit, a fronting fee (“Fronting Fee”) equal to 0.125% of the face amount of each such Letter of Credit and (ii) Agent for the account of the Revolving Credit Lenders (ratably in accordance with their
respective Revolving Credit Commitment Percentages) a fee (“LOC Fee”) equal to (a) the then Applicable LOC Fee on the amount available to be drawn under each Standby Letter of Credit from, and including, the issuance date of
such Standby Letter of Credit to and including the expiry date thereof and (b) the then customary letter of credit fee charged by the LC Issuer on the amount available to be drawn under each Commercial Letter of Credit. In addition, Borrower
will pay to LC Issuer, on its demand for payment, LC Issuer’s then current issuance, opening, closing, transfer, amendment, draw, renewal, negotiation and other letter of credit administration fees, charges and out of pocket expenses with
respect to each Letter of Credit. The Fronting Fee is fully earned by LC Issuer when paid and will be due and payable upon issuance, and each renewal, of each Letter of Credit. The LOC Fee is fully earned by Agent for the benefit of the Lenders when
paid and will be due and payable in advance on the issuance and each renewal of each Letter of Credit. The LOC Fee will be calculated on the basis of the actual number of days elapsed in a 360-day year. If any Letter of Credit is cancelled for any
reason before the stated expiry date thereof, any LOC Fee paid in advance will not be refunded and will be retained by Agent and the Lenders solely for their account. 
 3.8 Calculation of Certain Charges. Accrued interest charges will be computed on the basis of a year of 360 days and applied to actual days elapsed. Except the fees and expenses set forth in Sections
2.13, 2.14. 3.2.4, 3.4, 3.5, 3.7 which shall be paid in accordance with such Sections, all such charges and other fees shall be paid in arrears. 
  

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 3.9 Payment in Full on Maturity Date. On the Maturity Date, (i) all Loans and all other
Obligations will automatically and immediately become due and payable, and (ii) Agent’s and the Lenders’ obligations under this Agreement and the other Loan Documents will automatically and immediately terminate, without notice or
demand, which Borrower hereby expressly waives. On the Maturity Date, Borrower will pay in full in immediately available funds and otherwise satisfy all Obligations. 
 3.10 Maximum Rate. If, at any time, the rate of interest contracted for, and computed in the manner provided, in this Section 3 (“Applicable Rate”), together with all fees and
charges as provided for herein or in any other Loan Document (collectively, the “Charges”), which are treated as interest under applicable law, exceeds the maximum lawful rate (the “Maximum Rate”) allowed under
applicable law, it is agreed that such contracting for, charging or receiving of such excess amount was an accidental and bona fide error and the provisions of this Section 3.10 will govern and control. The rate of interest payable
hereunder, together with all Charges, shall be limited to the Maximum Rate; provided, however, that any subsequent reduction in the Prime-Based Rate or the LIBOR-Based Rate shall not reduce the Applicable Rate below the Maximum Rate until the
total amount of interest earned hereunder, together with all Charges, equals the total amount of interest which would have accrued at the Applicable Rate if the Applicable Rate had at all times been in effect. If any payment hereunder, for any
reason, results in Borrower having paid interest in excess of that permitted by applicable law, then all excess amounts theretofore collected by Agent shall be credited on the principal balance of the Obligations (or, if all sums owing hereunder
have been paid in full, refunded to Borrower), and the amounts thereafter collectible hereunder shall immediately be deemed reduced, without the necessity of the execution of any new document, so as to comply with applicable law and permit the
recovery of the fullest amount otherwise called for hereunder. 
 4. PAYMENTS; APPORTIONMENT OF PAYMENTS; DEFAULTING LENDER. 
 4.1 Payments by Borrower. 
 4.1.1. Payment. Except to the extent otherwise provided herein, all payments of principal, interest and other amounts to be made by Borrower under this Agreement and the Notes, and, except to the extent otherwise provided therein,
all payments to be made by Borrower under any other Loan Document, shall be made in Dollars, in immediately available funds, without deduction, set-off, offset, recoupment or counterclaim, to Agent, not later than 2:00 p.m. (Cincinnati, Ohio time),
on the date on which such payment shall become due (each such payment made after such time on such due date to be deemed to have been made on the next succeeding Business Day) and any applicable interest or fee shall continue to accrue until such
following Business Day. 
 4.1.2. Business Days. If any payment under this Agreement becomes due and payable on a day
other than a Business Day, the maturity of the payment will be extended to the next succeeding Business Day, and, with respect to payments of principal, interest thereon will be payable at the then applicable rate during that extension. 

4.1.3. Charging of Accounts. Borrower hereby irrevocably authorizes Agent, at Agent’s option, to charge any account of
Borrower at U.S. Bank or charge or increase the Revolving Loans (as Prime Rate Revolving Loans) for the payment or repayment of any interest or principal of the Loans, any fees, charges, expenses, or other amounts due to Agent, Lenders or LC Issuer
under the Loan Documents, and any or all of the other Obligations. 
  

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 4.2 Settlement with Lenders. On a weekly basis (or more frequently if required by Agent) (a
“Settlement Date”), Agent shall provide each Lender with a statement of the outstanding balance of the Revolving Loans (including any Overadvances) and any Interim Advances and any Agent Advances as of the end of the Business Day
preceding the Settlement Date (the “Pre-Settlement Determination Date”) and the current balance of the Revolving Loans (including Overadvances) and any Agent Advances actually funded by each Lender (whether made directly by such
Lender to Borrower or constituting a settlement by such Lender of a previous Interim Advance made by Agent on behalf of such Lender to Borrower). Agent will provide such statement to each Lender at or prior to 10:00 a.m. (Cincinnati, Ohio time) on
each Settlement Date. If such statement discloses that (i) such Lender’s current balance of the Revolving Loans (including any Overadvances) exceeds such Lender’s Revolving Credit Commitment Percentage of the Revolving Loans
(including any Overadvances) and Interim Advances or (ii) any Agent Advances actually funded by such Lender as of the Pre-Settlement Determination Date exceeds such Lender’s Agent Advance Exposure Percentage of any Agent Advances
outstanding as of the Pre-Settlement Determination Date, then Agent shall on the Settlement Date, transfer, by wire transfer to be received at or prior to 2:00 p.m. (Cincinnati, Ohio time) on such Settlement Date, the net amount due to such Lender
in accordance with such Lender’s instructions. If such statement discloses that (a) such Lender’s current balance of the Revolving Loans (including any Overadvances) as of the Pre-Settlement Determination Date is less than such
Lender’s Revolving Credit Commitment Percentage of the Revolving Loans (including any Overadvances) and Interim Advances or (b) such Lender’s Agent Advances actually funded by such Lender as of the Pre-Settlement Determination Date is
less than such Lender’s Agent Advance Exposure Percentage of the Agent Advances outstanding as of the Pre-Settlement Determination Date, then such Lender shall on the Settlement Date, transfer, by wire transfer to be received at or prior to
2:00 p.m. (Cincinnati, Ohio time) on such Settlement Date, the net amount due to Agent in accordance with Agent’s instructions. Each Lender acknowledges and agrees that its obligation to make payments under this paragraph in respect of settled
Loans is absolute and unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and continuance of an Event of Default, the failure of any condition in Section 5 to be satisfied, any reduction or
termination of the Commitments or a reduction in the Revolving Credit Availability, and that each such payment shall be made without offset, abatement, withholding or reduction whatsoever. The statements provided by Agent to Lenders pursuant to this
Section 4.2 shall be prima facie evidence of the existence and amounts set forth therein. In addition, payments actually received by Agent with respect to the following items shall be distributed by Agent to Lenders as follows:

 (1) Within one (1) Business Day after receipt thereof by Agent, payments to be applied to principal on the Term Loan
as set forth in Sections 3.1.1(ii) and 3.1.4(ii); 
 (2) Within one (1) Business Day after receipt thereof
by Agent, payments to be applied to interest on the Loans, subject to any adjustments for any Interim Advances and Agent Advances so that Agent shall receive interest on the Interim Advances and Agent Advances during such period as Agent has
advanced such funds (which payments shall be payable solely for Agent’s own account) and each Lender shall only receive interest on the amount of funds actually advanced by such Lender; 
 (3) Within one (1) Business Day after receipt thereof by Agent, payment to be applied to the Unused Commitment Fee set forth in
Section 3.6; and 
 (4) Within one (1) Business Day after receipt thereof by Agent, payment to be applied to
the LOC Fee set forth in Section 3.7. 
  

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 4.3 Pro Rata Treatment; Application of Payments. 
 4.3.1 Apportionment of Payments. Subject to Section 4.2 and except as otherwise provided with respect to Defaulting
Lenders and as otherwise provided herein and in the other Loan Documents, (i) each borrowing of Loans of a particular Class from the Lenders shall be made from the relevant Lenders and each termination or reduction of the amount of the
Commitments of a particular Class of Loans shall be applied to the respective Commitments of such Class of the relevant Lenders, pro rata according to the amounts of their respective Commitments of such Class; (ii) each payment or prepayment of
principal of Loans of any Class by Borrower shall be made for account of the relevant Lenders pro rata in accordance with the respective unpaid principal amounts of the Loans of such Class held by them; and (iii) each payment of interest on
Loans of any Class by Borrower shall be made for account of the relevant Lenders pro rata in accordance with the amounts of interest on such Loans then due and payable to the respective Lenders. Except as otherwise provided in the Loan Documents,
payments of fees and expenses shall be made ratably among the parties entitled thereto in accordance with the amount of fees and expenses then due. Following the occurrence of an Event of Default and acceleration of the Loans, all payments shall be
remitted to Agent and all such payments and all proceeds of Loan Collateral received by Agent, shall be applied as follows: 
 (a) first, to pay any Agent Advances or Interim Advances, interest, fees, expenses or indemnities due to Agent under the Loan Documents, until paid in full; 
 (b) second, to pay any Letter of Credit Obligations, fees, expenses or indemnities then due to LC Issuer under the Loan Documents,
until paid in full; 
 (c) third, to pay any expenses or indemnities then due to any or all of the Lenders under the
Loan Documents, until paid in full; 
 (d) fourth, to pay any fees then due to any or all of the Lenders under the Loan
Documents, including fees and premiums with respect to any Rate Hedging Agreement, until paid in full; 
 (e) fifth, to
pay interest due to any or all of the Lenders under the Loan Documents in respect of the Obligations and, with respect to any Rate Hedging Agreement, any premiums, scheduled periodic payments and any interest thereon; 
 (f) sixth, to pay any other Obligations due to the Lenders until paid in full, including principal of the Loans, ratably in
accordance with their Total Exposure Percentage; 
 (g) seventh, with respect to any Rate Hedging Agreement, to pay any
breakage, termination or payment due under such Rate Hedging Agreement to the Lenders; and 
 (h) eighth, to Borrower
or such other Person entitled thereto under applicable law. 
 Agent will distribute to each Lender at its address set forth on the applicable signature page
of this Agreement, or at any other address as a Lender may request in writing, the amount of funds as the Lender may be entitled to receive in accordance with the terms of this Agreement and the settlement procedures set forth in
Section 4.2. 
 4.3.2 Sharing of Payments or Collateral. If any Lender (a “benefited Lender”) at any time
receives any payment of all or part of its Loans or other Obligations owing to it, any interest on those amounts, or any collateral in respect of any or all of the foregoing (whether voluntarily or involuntarily, by set-off, pursuant to events or
proceedings of the nature referred to in Sections 11.1(i)(e) or 11.1(i)(f), 

  

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or otherwise), in a greater proportion than any payment to or collateral received by any other Lender, if any, in respect of the other Lender’s Loans or
other Obligations owing to it, as the case may be, or any interest on those amounts, the benefited Lender will (i) purchase for cash from the other Lenders a participating interest in that portion of each other Lender’s Loans or other
Obligations owing to each of them, as the case may be, or (ii) provide the other Lenders with the benefits of any collateral, or the proceeds of any collateral obtained by the benefited Lender, as is necessary to cause the benefited Lender to
share the excess payment or benefits of the applicable collateral or proceeds ratably with each of the Lenders; however, if all or any portion of that excess payment or benefits is thereafter recovered from the benefited Lender, the purchase
by the benefited Lender from the other Lenders will be rescinded, and the purchase price and benefits returned, to the extent of such recovery, but without interest unless the benefited Lender is obligated to pay interest to the applicable Person in
which case the other Lenders will pay their pro rata share of the interest payment. 
 4.4 Non-Receipt of Funds from Borrower. Unless
Agent shall have received notice from Borrower prior to the date on which any payment is due to Agent for the account of the Lenders, LC Issuer or Agent hereunder that Borrower will not make such payment, Agent may assume that Borrower has made such
payment on such date in accordance herewith and may, in reliance upon such assumption, distribute to the Lenders, LC Issuer or Agent, as the case may be, the amount due. In such event, if Borrower has not in fact made such payment, then each of the
Lenders, LC Issuer or Agent, as the case may be, severally agrees to repay to Agent forthwith on demand the amount so distributed to such Lender, LC Issuer or Agent 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 Agent, at the greater of the Federal Funds Rate and a rate determined by Agent in accordance with banking industry rules on interbank compensation, it being understood that the return by the
Lenders, LC Issuer or Agent, as the case may be, of such payment shall not limit the obligation of Borrower under Section 3.2 to pay interest at the rate set forth therein in respect of such payment. 
 4.5 Payments to Defaulting Lender. Agent shall not be obligated to transfer to any Defaulting Lender any payments made by Borrower to Agent for
the Defaulting Lender’s benefit; nor will a Defaulting Lender be entitled to the sharing of any payments hereunder. Amounts payable to a Defaulting Lender shall instead be paid to or retained by Agent. Agent may hold and, in its discretion,
re-lend to Borrower the amount of all such payments received or retained by it for the account of such Defaulting Lender. Any amounts so re-lent to Borrower shall bear interest at the rate applicable to Prime Rate Revolving Loans and for all other
purposes of this Agreement shall be treated as if they were Revolving Loans; provided, however, that for purposes of voting or consenting to matters with respect to the Loan Documents and determining ratable shares, such Defaulting Lender
shall be deemed not to be a “Lender”, and each of such Defaulting Lender’s Commitments and the unpaid principal balance of the Loans owing to such Defaulting Lender shall be deemed to be zero (-0-). Until a Defaulting Lender cures its
failure to fund its share of any Loan (i) such Defaulting Lender shall not be entitled to any portion of the Unused Commitment Fee or LOC Fee and (ii) the Unused Commitment Fee or LOC Fee shall accrue in favor of Lenders which have funded
their respective pro rata share of such requested Loan and shall be allocated among such performing Lenders ratably based upon their relative Commitments. This Section shall remain effective with respect to such Lender until such time as the
Defaulting Lender shall no longer be in default of any of its obligations under this Agreement. The terms of this Section shall not be construed to increase or otherwise affect the Commitment of any Lender, or relieve or excuse the performance by
Borrower of its duties and obligations hereunder or under any of the other Loan Documents. 
 4.6 No Third Party Beneficiary. The
provisions of Sections 4.2, 4.3, 4.4 and 4.5 are solely for the benefit of Agent, LC Issuer and the Lenders, and Borrower will not have any rights as third party beneficiary of any of the provisions thereof. 

 

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 5. PRECONDITIONS TO CREDIT EXTENSIONS. 
 5.1 Initial Credit Extensions. Notwithstanding any provision contained in this Agreement to the contrary, the Lenders and LC Issuer shall have no
obligation to make the initial Credit Extensions under this Agreement unless Agent, LC Issuer and the Lenders shall have first received: 
 (i) Borrower’s current interim financial statements through the Fiscal Month of December, 2006, in each case with results satisfactory to Agent and the Lenders; 
 (ii) a solvency certificate acceptable to Agent and the Lenders after giving effect to all of the contemplated transactions; 

(iii) evidence of the absence of any litigation, proceeding, arbitration, or action is pending or threatened at closing which
(a) challenges the Senior Notes Offering or (b) challenges the validity or the enforceability of any of the actions or transactions contemplated by this Agreement, which might, in Agent’s or any Lender’s judgment exercised
reasonably, could reasonably be expected to result in any material adverse change in Borrower’s financial condition or which could be reasonably expected to materially and adversely affect Borrower’s operations, Borrower’s assets or
Agent’s Liens or interests therein; 
 (iv) (a) evidence of Borrower’s capital structure and material
agreements and terms and conditions of all Indebtedness (including the Senior Notes) of Borrower, acceptable to Agent and the Lenders and (b) evidence, satisfactory to Agent and Lenders in their judgment exercised reasonably, that
(1) Borrower has simultaneously herewith paid in full and otherwise satisfied all Indebtedness in respect of the Senior Notes (as defined in the Existing Financing Agreement) on final terms satisfactory to Agent and the Lenders and all Liens
securing the same have been terminated and (b) the Intercreditor Agreement is terminated; 
 (v) evidence, satisfactory
to Agent and Lenders in their judgment exercised reasonably, that Borrower has simultaneously herewith closed the proposed Senior Notes Offering (on final terms satisfactory to Agent and the Lenders) and shall have received no less than $102,375,000
in that financing transaction; 
 (vi) this Agreement and the Notes, each duly executed by Borrower; 
 (vii) the other Loan Documents, each duly executed and delivered by Borrower, Holding Co., the Affiliate Guarantor and the other Persons
party thereto; 
 (viii) (a) a copy of resolutions of the Board of Directors of Borrower, duly adopted, which authorize
the execution, delivery and performance by Borrower of this Agreement, the Notes and the other Loan Documents to which Borrower is a party, certified by the Secretary of Borrower; (b) a copy of the Certificate of Incorporation of Borrower,
including any amendments thereto, certified by the Secretary of State of the State of Delaware; (c) a copy of the Bylaws of Borrower, including any amendments thereto, certified by the Secretary of Borrower; (d) an incumbency certificate,
executed by the Secretary of Borrower, which shall identify by name and title and bear the signatures of all of the officers of Borrower executing any of the Loan Documents to which Borrower is a party; and (e) certificates of corporate good
standing of Borrower issued by the Secretary of State of the State of Delaware; 
 (ix) (a) a copy of resolutions of the
Board of Directors of Holding Co., duly adopted, which authorize the execution, delivery and performance by Holding Co. of the Loan Documents to 

  

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which Holding Co. is a party, certified by the Secretary of Holding Co.; (b) a copy of the Certificate of Incorporation of Holding Co., including any
amendments thereto, certified by the Secretary of State of the State of Delaware; (c) a copy of the Bylaws of Holding Co., including any amendments thereto, certified by the Secretary of Holding Co.; (d) an incumbency certificate, executed
by the Secretary of Holding Co., which shall identify by name and title and bear the signatures of all of the officers of Holding Co. executing any of the Loan Documents to which Holding Co. is a party; and (e) certificates of corporate good
standing of Holding Co. issued by the Delaware Secretary of State; 
 (x) (a) a copy of resolutions of the Board of
Directors of the Affiliate Guarantor, duly adopted, which authorize the execution, delivery and performance by the Affiliate Guarantor of the Loan Documents to which the Affiliate Guarantor is a party, certified by the Secretary of the Affiliate
Guarantor; (b) a copy of the Articles or Certificate of Incorporation of the Affiliate Guarantor, including any amendments thereto, certified by the Secretary of State of the Commonwealth of Pennsylvania; (c) a copy of the Bylaws of the
Affiliate Guarantor, including any amendments thereto, certified by the Secretary of the Affiliate Guarantor; (d) an incumbency certificate, executed by the Secretary of the Affiliate Guarantor, which shall identify by name and title and bear
the signatures of all of the officers of the Affiliate Guarantor executing any of the Loan Documents to which the Affiliate Guarantor is a party; and (e) certificates of corporate good standing of the Affiliate Guarantor issued by the Secretary
of State of the Commonwealth of Pennsylvania; 
 (xi) an opinion of counsel of Morgan, Lewis & Bockius LLP and Young
Conaway Stargatt & Taylor, LLP, outside counsel to Borrower, Holding Co., and the Affiliate Guarantor, in form and substance reasonably satisfactory to Agent and Agent’s counsel; 
 (xii) the initial Borrowing Base Certificate required by Section 8.3; 
 (xiii) the initial Advance Request required by Section 2.4; 
 (xiv) evidence of the proper filing of financing statements perfecting first priority security interests in favor of Agent for the ratable
benefit of the Lenders in all of the Loan Collateral; 
 (xv) termination statements for all financing statements filed of
record against Borrower, Holding Co., and the Affiliate Guarantor other than financing statements relating to Permitted Liens or permitted under the Affiliate Guarantor Security Agreement; 
 (xvi) evidence reasonably satisfactory to Agent of the insurance required by this Agreement and the other Loan Documents together with
endorsements in form and substance reasonably satisfactory to Agent, duly executed by the insurance company; 
 (xvii) copies
of all financial statements and other Exhibits and Schedules required by this Agreement and the other Loan Documents; 
 (xviii) with respect to each parcel of real property which is required to be subject to a Lien in favor of Agent, each of the following, in form and substance reasonably satisfactory to Agent: 
  

	 	(a)	evidence that a counterpart of the Mortgage has been recorded in the place necessary, in Agent’s judgment, to create a valid and enforceable second priority Lien in favor of
Agent for the benefit of itself and the Lenders; 

  

	 	(b)	evidence of compliance with applicable federal regulations governing loans in areas having special flood hazards; and 

  

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	 	(c)	such other information, documentation, and certifications as may be reasonably required by Agent. 

 (xix) evidence satisfactory to Agent and the Lenders that at closing that there is excess Revolving Credit Availability of at least
$6,500,000 (i.e., taking into account all applicable borrowing limits, Reserve Amounts, ineligibles and closing costs, whether or not paid at closing and on disbursement of funds and repayment of debts to be paid at closing) and after
subtracting therefrom the total, as of such date, of the amount, if any, of (a) Borrower’s accounts payable which remain unpaid greater than 90 days past the date of the original invoices applicable thereto, or with respect to accounts
payable for which Borrower has received extended terms, which remain unpaid as of the due date thereof, and (b) any book overdraft of Borrower relating to accounts payable more than 90 days past the date of the original invoices applicable
thereto; 
 (xx) a take-over/build-up audit, including customer and supplier contacts, satisfactory to Agent; 
 (xxi) an appraisal of Borrower’s inventory from a firm selected by Agent, in a manner and with results satisfactory to Agent and the
Lenders; and 
 (xxi) such other agreements, documents, instruments and certificates as Lenders may reasonably request.

 5.2 General Conditions. In addition to any other provisions contained in this Agreement, the making of any Credit Extension under
this Agreement will be subject to the continued existence or fulfillment to the satisfaction of Agent, LC Issuer and the Lenders of each of the following conditions throughout the term of this Agreement: 
 (i) After giving effect to any such Credit Extension, no Deficiency exists, unless the Deficiency results solely from any Permitted
Overadvance; 
 (ii) No Event of Default has occurred and is continuing; 
 (iii) No law or regulation prohibits, and no order, judgment or decree of any arbitrator or Governmental Authority enjoins or restrains
Agent or the Lenders, from making the requested advance; and 
 (iv) Borrower’s representations and warranties contained
in this Agreement and the other Loan Documents to which it is a party are complete and correct as of the date of this Agreement and continue to be true and correct in all material respects throughout the term of this Agreement with the same effect
as though such representations and warranties had been made again on and as of each day of the term of this Agreement (except where such representations and warranties speak solely as of an earlier date) subject to such changes as are not prohibited
hereby or do not constitute Events of Default under this Agreement. 
 The giving of each Advance Request and request for the issuance of a Letter of Credit
by Borrower hereunder shall constitute a certification by Borrower to the effect set forth in the preceding sentence (both as of the date of such Advance Request or request and, unless Borrower otherwise notifies Agent prior to the date of such
borrowing or issuance, as of the date of such borrowing or issuance). 
  

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	6.	SECURITY. 

 6.1 Security Documents. The
Obligations shall be secured (in such order as may be determined by Agent in its discretion) by a first priority Lien on all Loan Collateral (subject to Permitted Liens), including: 
 (i) (a) a first priority security interest in all of the Collateral pursuant to the Amended and Restated Security Agreement dated as
of the date of this Agreement between Borrower and Agent (the “Borrower Security Agreement”) and accompanying financing statements; 
 (ii) a first priority mortgage Lien on Borrower’s fee simple interest in its owned real property situated in New Castle County, Delaware under the Mortgage. Borrower will cause a nationally recognized title
insurance company, acceptable to Agent, on the Closing Date to have irrevocably committed itself in writing to deliver to Agent an endorsement to the existing title insurance policy issued by Commonwealth Land Title Insurance Company, policy no.
H65-0085140, dated August 25, 2005 (the “Title Policy”), dating down the Title Policy to the Closing Date. The Title Policy must show as exceptions only items acceptable to Agent in its discretion exercised in good faith and
contain those additional endorsements which are required by Agent in its discretion exercised reasonably; and 
 (iii) a first
security interest in all of the Capital Stock of Borrower and all of the other Pledged Collateral as defined in the Amended and Restated Stock Pledge Agreement dated as of the date of this Agreement between Holding Co. and Agent (the “Stock
Pledge Agreement”). 
 6.2 Affiliate and Holding Co. Guaranties and Security Documents. Borrower acknowledges that Agent, LC
Issuer and the Lenders are being induced to accept the Loan Documents and to advance credit to Borrower based, in part, on reliance on the agreement of (i) the Affiliate Guarantor to sign and deliver to Agent contemporaneously with this
Agreement: (a) an irrevocable and unconditional payment guaranty (the “Affiliate Guaranty Agreement”), dated the date of this Agreement guaranteeing the full and prompt payment and performance of all Obligations and (b) an
Amended and Restated Security Agreement dated the date of this Agreement pursuant to which a first priority security interest in the property of the Affiliate Guarantor is granted to Agent (the “Affiliate Guarantor Security
Agreement”) and (ii) Holding Co. to sign and deliver to Agent contemporaneously with this Agreement: (a) an irrevocable and unconditional non-recourse guaranty dated the date of this Agreement, guaranteeing the full and prompt
payment and performance of all Obligations (the “Holding Co. Guaranty”) and (b) the Stock Pledge Agreement. 
 6.3
Additional Covenants. With respect to that portion of the Property referred to as “Parcel 6” that is located in Pennsylvania (“PA Parcel 6”), if Borrower obtains record title to such PA Parcel 6, Borrower will
promptly execute and deliver a mortgage on such PA Parcel 6 on substantially the same terms as set forth in the Mortgage. In addition, if Borrower acquires any other real property after the Closing Date, Borrower will promptly execute and deliver a
mortgage on such additional real property on substantially the same terms as set forth in the Mortgage. 
 7. RECEIVABLES; INVENTORY; COLLECTION OF
RECEIVABLES; DISPUTED RECEIVABLES: PROCEEDS OF INVENTORY. 
 7.1 Agreements Regarding Receivables. Borrower may not backdate,
postdate or redate any of its invoices or statements except that Borrower may redate an invoice only under the following conditions: (i) Borrower will clearly identify any redated invoices (including providing the original invoice dates
thereof) on each Borrowing Base Certificate submitted to Agent and (ii) any redated invoice, if otherwise an Eligible Receivable as of any applicable date, will automatically become 

  

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ineligible on the 90th
day after the date of the original invoice applicable thereto (or sooner if ineligible based on the application of any of the other criteria set forth in the definition of Eligible Receivables). Borrower may not make any sales on extended dating or
credit terms beyond a total of 120 days after invoice date. If between the date Borrower has delivered a Borrowing Base Certificate to Agent and the date the next Borrowing Base Certificate is due under this Agreement, Borrower learns that any
Eligible Receivable in an amount equal to or greater than $250,000 has become ineligible for any reason, other than the aging of such Receivable, then Borrower shall notify Agent promptly upon Borrower’s learning thereof. Without obtaining
Agent’s prior consent (which consent will not be unreasonably withheld or delayed), Borrower will not grant: (a) any discount, credit or allowance in respect of its Receivables included in the Borrowing Base (1) which is outside the
ordinary course of business and (2) which discount, credit or allowance exceeds an amount equal to $50,000 in the aggregate with respect to any individual Receivable or (b) any materially adverse extension, compromise or settlement to any
customer or account debtor with respect to any then Eligible Receivable which is outside the ordinary course of business. Nothing permitted by this Section 7.1 or Section 7.2, however, may be construed to alter in any way the
criteria for Eligible Receivables or Eligible Inventory provided in Section 1.1. 
 7.2 Agreements Regarding Inventory. If
between the date Borrower has delivered a Borrowing Base Certificate to Agent and the date the next Borrowing Base Certificate is due under this Agreement, Borrower learns of inventory, in an aggregate amount equal to or greater than $250,000, that
has been returned to Borrower by its customer, then Borrower shall notify Agent promptly upon Borrower’s learning thereof. Without obtaining Agent’s prior consent (which consent will not be unreasonably withheld or delayed) and being in
compliance with the applicable terms of the Borrower Security Agreement, Borrower will not: (i) accept any returns of Inventory included in the Borrowing Base outside the ordinary course of business, (ii) enter into any agreement,
practice, arrangement, or transaction under which title to, or ownership of, any Inventory included in the Borrowing Base which is being sold by Borrower is, or purports to be, transferred to, or held by, a Person other than Borrower before such
Inventory is delivered to such Person by Borrower, or (iii) store any Inventory included in the Borrowing Base with, or place any Inventory in the possession or control of, any bailee, processor, warehouseman, consignee or any other Person, not
a party to a bailee, warehouseman or similar agreement with Agent, under any arrangement, practice or agreement (oral or written). Borrower may, in the ordinary course of business, make a sale of Inventory to any customer on a bill-and-hold,
guaranteed sale, sale and return, sale on approval, consignment or any other repurchase or return basis except that (a) any Receivables arising from such sales will be ineligible Receivables for Borrowing Base purposes and (b) any
Inventory pertaining thereto will be ineligible for Borrowing Base purposes except any Consigned Inventory which is otherwise Eligible Inventory under clause (ii)(e) of the definition of Eligible Inventory. 
 7.3 Locked Box. Borrower has obtained and shall continue to maintain during the term of this Agreement the post office box at the U.S. Post Office
bearing the following address: Claymont Steel, Inc., P O Box 643507, Cincinnati, OH 45264-3507, or such other address as Agent may notify Borrower from time to time (the “Locked Box”). Borrower shall notify all of its customers and
account debtors to forward all remittances of every kind due Borrower (“Remittances”) to the Locked Box (such notices to be in such form and substance as Agent may require from time to time). Promptly upon receipt thereof, Borrower
shall deposit all other proceeds of Receivables or other Loan Collateral into the Locked Box (or into the Special Account, as defined below). Agent shall have sole access to the Locked Box at all times, and Borrower shall take all action necessary
to grant Agent such sole access. At no time shall Borrower remove any item from the Locked Box without Agent’s prior written consent (which consent will not be unreasonably withheld or delayed), and Borrower shall not notify any customer or
account debtor to pay any Remittance to any other place or address without Agent’s prior written consent (which consent will not be unreasonably withheld or delayed). If Borrower should neglect or refuse to notify any customer or account debtor
to pay any Remittance to the Locked Box, Agent shall be entitled to make such 

  

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notification. Borrower hereby grants to Agent an irrevocable power of attorney, coupled with an interest, to take in Borrower’s name all action
necessary (a) to grant Agent sole access to the Locked Box, (b) to contact account debtors to pay any Remittance to the Locked Box in the event that any such account debtor is not paying any such Remittance to the Locked Box, (c) to
contact account debtors for any reason upon the occurrence of an Event of Default, and (d) to endorse each Remittance delivered to the Locked Box for deposit to the Special Account. 
 7.4 Special Account. Upon collection of Remittances and other proceeds of Receivables and other Loan Collateral from the Locked Box, Agent shall
deposit the same in a non-interest bearing account at Agent in the name of “Claymont Steel, Inc. pledged to U.S. Bank N.A.” with Borrower’s federal identification number, Account No. 130107146677 (the “Special
Account”). Any Remittance or other proceeds of Receivables or other Loan Collateral received by Borrower shall be deemed held by Borrower in trust and as fiduciary for Agent, and Borrower promptly shall deliver the same, in its original
form, to Agent into the Locked Box by overnight delivery carrier. Pending such deposit, Borrower agrees that it will not commingle any such Remittance or other proceeds of Receivables or other Loan Collateral with any of Borrower’s other funds
or property, but will hold it separate and apart therefrom in trust for Agent until deposit is made into the Locked Box or Special Account or until delivery is made to Agent by overnight delivery carrier as described above. All deposits to the
Special Account and the Locked Box shall be Agent’s property and shall be subject only to the signing authority designated from time to time by Agent, and Borrower shall have no interest therein or control over such deposits or funds. Agent
shall have sole access to the Special Account and the Locked Box, and Borrower shall have no access thereto. Agent shall have, and Borrower hereby grants to Agent, a Lien on and security interest in all funds held in the Special Account and the
Locked Box as security for the Obligations. The Special Account shall not be subject to any deduction, set-off, bank’s lien or any other right in favor of any Person other than Agent. Deposits to the Special Account shall be applied to the
Obligations in accordance with Section 4.3.1 (subject to Section 3.1.4(ii)). Any funds in the Special Account remaining after the applications set forth in the preceding sentence (“Available Funds”) will be
paid over by Agent to Borrower; however, at any time on and after the occurrence and during the continuation of an Event of Default, all Available Funds may, at Agent’s option, be retained in the Special Account as continuing security
for the Obligations. If any Remittance deposited in the Special Account is dishonored or returned unpaid for any reason, Agent, in its discretion, may charge the amount of such dishonored or returned Remittance directly against Borrower and any
account maintained by Borrower with Agent and such amount shall be deemed part of the Obligations. Agent shall not be liable for any loss or damage resulting from any error, omission, failure or negligence on the part of Agent with respect to the
operation of the Special Account, the Locked Box, or the services to be provided by Agent under this Agreement, except to the extent, but only to the extent, of any direct, as opposed to any consequential, special or lost profit damages suffered by
Borrower from Agent’s gross negligence or willful misconduct. Until a payment is received by Agent for Agent’s account in finally collected funds, all risks associated with such payment will be borne solely by Borrower. From time to time,
Agent may adopt such regulations and procedures as it may deem reasonable and appropriate with respect to the operation of the Special Account, the Locked Box, and the services to be provided by Agent under this Agreement so long as the adoption of
such regulations and procedures will not change the material terms of this Agreement and are applied to similarly situated borrowers. 
 7.5
Crediting of Remittances. For the purpose of calculating interest, all Remittances and other proceeds of Receivables and other Loan Collateral shall be credited (conditional on final collection) against the unpaid Revolving Loan balance on
the first Business Day after the Business Day that Agent received the same into the Special Account in Cincinnati, Ohio. For the purpose of determining Revolving Credit Availability, all Remittances and other proceeds of Receivables and other Loan
Collateral shall be credited (conditional on final collection) against the amount of Borrower’s Eligible Receivables and unpaid Revolving Loan balance on the same Business Day that Agent received the same 

  

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into the Special Account in Cincinnati, Ohio (subject to applicable Business Day cut-offs established from time to time by Agent). Notwithstanding anything
to the contrary in this Section 7.5, Borrower acknowledges and agrees that deposits made and other items credited to the Special Account are subject to applicable laws and regulations governing availability of funds and Agent’s
funds availability polices and may not be immediately available for application to the Loans or the other Obligations. 
 7.6 Cost of
Collection. All reasonable costs of collection of Borrower’s Receivables, including Attorneys’ Fees, out-of-pocket expenses, administrative and recordkeeping costs, and all service charges and costs related to the establishment and
maintenance of the Locked Box and the Special Account shall be the sole responsibility of Borrower, whether the same are incurred by Agent or Borrower, and Agent, at its discretion, may charge the same against Borrower and any account maintained by
Borrower with Agent and the same shall be deemed part of the Obligations. 
 7.7 Cash Management Services. During the term of this
Agreement, Borrower will contract with Agent to obtain Agent’s then current (i) automated balance and information reporting system in connection with the operation of the various cash management systems contemplated by this Agreement and
(ii) positive pay, reverse positive pay, check filter, ACH filter and block, and other similar anti-fraud, cash management products, in each case, in connection with the operation of the various cash management systems contemplated by this
Agreement. 
 7.8 Fees for Agent’s Account. Any fees, charges or income created by, or resulting from, the cash management or
treasury services, Borrower’s Locked Box, the Special Account, and any other accounts to be provided by Agent under or as a result of the application or operation of the terms or conditions of this Section 7 are, as among the Agent
and the Lenders, for the sole benefit and account of the Agent. 
 7.9 Monthly Activity. Agent will provide Borrower monthly with a
statement of advances, charges and payments made pursuant to this Agreement, and such account rendered by Agent shall be conclusive evidence of the amount of the Obligations owing and unpaid by Borrower and shall be deemed to be an account stated
and binding as against Borrower unless a written statement of Borrower’s or Agent’s exceptions is received by the other within 30 days after the statement is mailed to Borrower; however, Agent will have no obligation to correct any
error or errors specified by Borrower unless Agent, in its discretion exercised reasonably, believes that an error was made. If any error is a manifest error, Borrower or Agent shall have one year to raise the exception. 
 8. EXAMINATION OF LOAN COLLATERAL; REPORTING. 
 8.1
Maintenance of Books and Records. Borrower shall keep and maintain complete books of account, records and files with respect to its business in accordance with GAAP consistently applied and shall accurately and completely record all
transactions therein. Borrower will maintain a perpetual inventory system in respect of its Inventory. 
 8.2 Access and Inspection;
Appraisal. Agent, and following the occurrence and during the continuation of an Event of Default, the Lenders, may at all times during normal business hours have (i) access to, and the right to examine and inspect, all of Borrower’s
real and personal property and (ii) access to, and the right to inspect, audit and make extracts from, all of Borrower’s records, files and books of account, and Borrower shall execute and deliver at the reasonable request of any Agent,
or, if applicable, the Lenders, such instruments as may be necessary for Agent or such Lender to obtain such information concerning the business of Borrower as Agent or such Lender may require from any Person; however, unless an Event of
Default has occurred or exists, Agent will give Borrower reasonable advance notice before it makes the inspections and examinations at any office or place of business of Borrower. 
  

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 Borrower shall furnish Agent, and, following the occurrence and during the continuation of an Event of Default, the
Lenders at reasonable intervals with such statements and reports regarding Borrower’s financial condition and the results of Borrower’s operations, in addition to those hereinafter required, and such other information as Agent and,
following the occurrence and during the continuation of an Event of Default, the Lenders may reasonably request from time to time. Whenever an Event of Default exists (and at such other times not more frequently than once per calendar year) as Agent
requests, Agent may, at the sole expense of Borrower, obtain a Net Orderly Liquidation Value appraisal of Borrower’s Inventory. From and after the date Agent receives and approves the most recent appraisal undertaken pursuant to this
Section 8.2, the Net Orderly Liquidation Value of Borrower’s Inventory will, for purposes of determining the Borrowing Base, equal the Net Orderly Liquidation Value of Borrower’s Inventory established by the most recent
appraisal. Agent will provide Borrower and each Lender a copy of the most recent appraisal promptly on the receipt of it by Agent. If Borrower’s Excess Availability is less than an aggregate of $5,000,000 over a period of thirty
(30) consecutive days during the term of this Agreement while the Term Loan is outstanding, Agent may require an appraisal, by an appraiser selected by the Agent, of the value of Borrower’s Equipment and Mortgaged Real Estate, all at
Borrower’s cost therefor. 
 8.3 Reporting Regarding Receivables and Notes
Receivable. Not less frequently than monthly (and more frequently if Borrower shall so elect or weekly if Agent shall require if the Revolving Credit Availability is, as of any time, less than $10,000,000 or an Event of Default occurs and is
continuing): (i) a borrowing base certificate in the form of Exhibit D (a “Borrowing Base Certificate”) by no later than the 15th day after the end of each calendar month based on values as of the end of the immediately
preceding calendar month (or, if more frequent reporting is in effect under this Section 8.3 as provided above, by the deadlines and based on the values then established by Agent) and (ii) reports of Borrower’s sales, credits
to sales or credit memoranda applicable to sales, collections and non-cash charges (from whatever source, including sales and noncash journals or other credits to Receivables) for the applicable period, and acceptable supporting documentation
thereto (including, a report indicating the Dollar value of Borrower’s Eligible Receivables, and all other information deemed necessary by Agent to determine levels of that which is and is not Eligible Receivables). By no later than the
15th day after the end of each calendar month, or sooner if available, Borrower shall deliver to Agent monthly
agings, broken down by due date, of Receivables listed by invoice date, in each case reconciled to the Borrowing Base Certificate for the end of such month and Borrower’s general ledger, and setting forth any changes in the reserves made for
bad accounts or any extensions of the maturity of, any refinancing of, or any other material changes in the terms of any Receivables in such format as is specified by Agent from time to time, together with such further information with respect
thereto in such format as Agent may then reasonably require. 
 8.4 Reporting Regarding Inventory. Borrower will undertake a physical
count of its Inventory at least one time each calendar year in accordance with procedures approved by Borrower’s independent certified public accountants and Agent. By no later than the 15th day after the end of each calendar month, or sooner
if available, Borrower shall submit to Agent a perpetual inventory report (other than with respect to Raw Materials which will be reported by its standard roll-forward method) reconciled to (i) the Borrowing Base Certificate for the end of such
month, (ii) Borrower’s inventory records, and (iii) Borrower’s general ledger, broken down into such detail and with such categories as Agent shall reasonably require (including a report indicating the type, location, and dollar
value of Borrower’s Raw Materials, WIP and Finished Goods Inventory, and all other information deemed necessary by Agent to determine levels of that which is and is not Eligible Inventory). Values shown on reports of Inventory shall be at the
lower of cost or market value determined in accordance with a “first in-first out” cost accounting system. Not less frequently than monthly (and more frequently if Borrower shall so elect or weekly if Agent shall require if the Revolving
Credit Availability is, as of any time, less than $10,000,000 or an Event of Default occurs and is continuing), Borrower shall deliver to Agent a Borrowing Base 

  

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Certificate, and acceptable supporting documentation thereto, by no later than the 15th day after the end of each calendar month, reporting the value of
Borrower’s Inventory as of the end of the immediately preceding calendar month (or, if more frequent reporting is in effect under this Section 8.4 as provided above, by the deadlines and based on the values then established by
Agent). 
 8.5 Interim Financial Statements; Payable Information. Promptly when available and in any event not later than 30 days
after the end of each Fiscal Month and each Fiscal Quarter, Borrower shall furnish to Agent, with sufficient copies for each Lender, a monthly consolidated income statement, balance sheet and changes in cash flows, (a) showing the Borrower
Consolidated Group’s financial condition and the results of operations for the periods covered by such statements in such detail as Agent may from time to time require, (b) prepared in accordance with GAAP consistently applied (except as
otherwise disclosed to Agent to the extent such exceptions are reasonably acceptable to Agent), (c) containing all disclosures required to fully and accurately present the financial position and results of operations of the Borrower
Consolidated Group (subject to normal year-end adjustments and the omission of footnotes) and to make such statements not misleading under the circumstances, and (d) setting forth in each case in comparative form, the figures for the
corresponding Fiscal Month (and, as applicable, Fiscal Quarter) and the corresponding portion of the Borrower Consolidated Group’s previous Fiscal Year. By no later than the 15th day after the end of each Fiscal Month, Borrower shall deliver to
Agent monthly agings of accounts payable listed by due date, in each case reconciled to Borrower’s general ledger for the end of such month, in such format as is specified by Agent from time to time. 
 8.6 Annual Projections. Promptly when available in final form and in any event not later than 30 days after the end of each of Borrower’s
Fiscal Years, Borrower shall furnish to Agent, with sufficient copies for each Lender, detailed projections for the next Fiscal Year, in consolidated form, setting forth projected income and cash flow for each month, the monthly operating budget,
the monthly balance sheet, and the monthly borrowing availability, in each case accompanied by a certificate of the Borrower Consolidated Group’s principal financial officer, stating: (i) the assumptions on which the projections were
prepared, (ii) that the assumptions, except as otherwise noted, were prepared on a consistent basis with the operation of the Borrower Consolidated Group’s business during the immediately preceding Fiscal Year and adjusted by factors known
to exist as of the date of the certificate or reasonably anticipated to exist during the periods covered by the projections, and (iii) that the officer signing the certificate have no knowledge that the projections are incorrect or misleading
in any material respect; provided that it is expressly understood that no expressed or implied representations are being made that Borrower’s actual financial results will be in accordance with such projections. Notwithstanding anything
to the contrary in this Section 8.6, any difference between Borrower’s projected results set forth in such projections and Borrower’s actual results for the applicable period that results in a violation of the Financial
Covenants or other provisions of this Agreement is an Event of Default. 
 8.7 Annual Financial Statements. Promptly when available
and in any event not later than 90 days after the end of each of the Borrower Consolidated Group’s Fiscal Years, Borrower shall submit to Agent, with sufficient copies for each Lender, financial statements showing the financial condition, the
results of the Borrower Consolidated Group’s operations, a balance sheet and related statements of income, stockholders’ equity, and changes in the Borrower Consolidated Group’s cash flows and financial position for the year then
ended, all on a Consolidated basis among the Borrower Consolidated Group only, and setting forth in comparative form, the figures for the previous Fiscal Year. All of the foregoing annual financial statements must be audited in accordance with
generally accepted auditing standards by an independent certified public accounting firm acceptable to Agent (“Auditors”) and shall be prepared and presented in accordance with GAAP consistently applied and shall be accompanied by
an audit report of the Borrower Consolidated Group’s independent certified public accountants. 
  

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 8.8 Management Reports. Borrower shall furnish to Agent, with sufficient copies for each Lender,
promptly on receipt copies of all management letters and any other material reports provided by Borrower’s Auditors. Borrower hereby authorizes Agent, in its discretion exercised reasonably, to communicate directly with Borrower’s Auditors
to discuss Borrower’s affairs, finances, accounts and such other matters as Agent, in its discretion exercised reasonably, deems necessary. Agent shall provide Borrower with courtesy notice of any such direct communications with Borrower’s
independent accountants. 
 8.9 Comparisons to Financials; Certificates. With each monthly or annual financial statement submitted by
Borrower to Agent under Sections 8.5 and 8.7, Borrower will deliver to Agent, with sufficient copies for each Lender: (i) a comparison prepared by Borrower of the projected financial position and results of operations of Borrower
provided for in Section 8.6 with the actual financial position and results of operations of Borrower for the applicable period and an explanation of any material variations between them; and (ii) a comparison prepared by Borrower
between actual calculated results for the applicable period and the covenanted results for each of the Financial Covenants. Borrower shall also furnish Agent together with all materials required pursuant to Sections 8.5, 8.6, and
8.7, a certificate signed by the chief financial officer of Borrower in the form of Exhibit E. 
 8.10 Tax Returns;
Additional Information. Promptly upon Agent’s request after Borrower has filed its Tax returns with each applicable Governmental Authority, Borrower shall deliver to Agent, with sufficient copies for each Lender, a copy of all federal (and
at Agent’s request all state and local) income Tax returns and schedules filed by Borrower in respect of each taxable year ending on and after December 31, 2006. Borrower shall furnish all other Tax and financial information as Agent may
reasonably request from time to time. 
 8.11 SEC Filings. Promptly upon the filing thereof and in any event within 10 days after
filing therewith, Borrower shall deliver to Agent, with sufficient copies for each Lender, copies of all registration statements and other reports or filings which any member of the Holding Co. Consolidated Group files with the Securities and
Exchange Commission. 
 9. WARRANTIES AND REPRESENTATIONS AND COVENANTS. In order to induce Agent, the Lenders and LC Issuer to enter into this
Agreement and to make Credit Extensions hereunder, Borrower warrants, represents and covenants that, as of the date hereof, any date upon which a Credit Extension is made hereunder, and until the Obligations are fully paid, performed and satisfied
(and all Letters of Credit have been cancelled and returned to LC Issuer) and no Commitment of any Lender exists, the representations, warranties and covenants set forth in this Section 9 are and shall remain true in all material
respects. 
 9.1 Corporate Status. Borrower (i) is duly organized and is and shall remain validly existing and in good standing
under the laws of its state of organization, and is and shall remain qualified to do business as a foreign corporation under the laws of the jurisdictions listed on Schedule 9.1 and under the laws of each other jurisdiction in which the
failure to be so qualified and in good standing could reasonably be expected to have a Material Adverse Effect, and (ii) has and shall maintain all requisite power and authority, corporate or otherwise, to conduct its business, to own its
property, to execute, deliver and perform all of its obligations under this Agreement and each of the other Loan Documents, and to grant the Liens on the Loan Collateral provided by it. Borrower is not (a) an “investment company”,
(b) an “investment adviser”, (c) a company “controlled” by an “investment company” as such terms are defined in the Investment Company Act of 1940, as amended, or (d) a “holding company” as that
term is defined in, and is not otherwise subject to regulation under, the Public Utility Holding Company Act of 1935, as amended. CitiSteel PA is not an operating company and does not have any Indebtedness. 
  

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 9.2 Due Authorization; Validity. The signing and delivery of the Loan Documents, the performance
by Borrower of its Obligations under the Loan Documents, and the grant of the Liens on or security interests in, the Loan Collateral provided by Borrower have been duly authorized by all requisite corporate or other action of Borrower. This
Agreement and each of the other Loan Documents have been duly executed and delivered by Borrower, and each will constitute, upon the due execution and delivery thereof, the legal, valid, and binding obligations of Borrower enforceable in accordance
with their respective terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights generally. 
 9.3 No Violation. The execution, delivery and performance by Borrower of this Agreement and the other Loan Documents and the grant of the Liens on
or security interests in the Loan Collateral provided by Borrower, do not and will not (i) constitute a violation of any applicable law except where such violation, in each case, could not reasonably be expected to have a Material Adverse
Effect, (ii) constitute a breach of any provision contained in Borrower’s Certificate of Incorporation or Bylaws or any governing or other organization documents of Borrower or contained in any Applicable Agreement, (iii) constitute a
violation of any order of any court or other Governmental Authority except where such violation, in each case, could not reasonably be expected to have a Material Adverse Effect, or (iv) result in the creation or imposition of any Lien on any
of Borrower’s properties (other than (a) Agent’s Liens and (b) any other Permitted Lien). 
 9.4 Use of Loan
Proceeds. Borrower’s uses of the proceeds of the Credit Extensions to Borrower pursuant to this Agreement are, and will continue to be, legal and proper uses (duly authorized by Borrower’s Boards of Directors). Such uses do not and
shall not violate any applicable laws or statutes as in effect as of the date hereof or hereafter. The Loans are not and shall not be secured, directly or indirectly, by any stock for the purpose of purchasing or carrying any margin stock or for any
purpose which would violate either Regulation U, 12 C.F.R. Part 221, or Regulation X, 12 C.F.R. Part 224, promulgated by the Board of Governors of the Federal Reserve System. 
 9.5 Management; Ownership of Assets; Licenses; Patents. Borrower employs and shall continue to employ active, full-time, professional management
adequate to handle its affairs, and Borrower has, and will continue to have, adequate employees, assets, governmental approvals, licenses, permits, patents, copyrights, trademarks and trade names necessary to continue to conduct its business as
heretofore and hereafter conducted by it. All of Borrower’s registered patents, copyrights, trademarks and trade names and all licenses (whether as licensor or licensee) of any registered patents, trademarks, and copyrights by Borrower existing
as of the Closing Date are described in Schedule 9.5. 
 9.6 Indebtedness. Except for (i) Indebtedness identified on
Schedule 10.10, (ii) the Obligations, (iii) Indebtedness (a) which is unsecured, (b) which is not for borrowed money, (c) which has been incurred in the ordinary course of business, (d) which is not otherwise
prohibited under any provision of this Agreement, and (e) the nonpayment of or other default under which could not reasonably be expected to have a Material Adverse Effect, and (iv) other Indebtedness permitted to be incurred or paid by
Borrower pursuant to Section 10.10, Borrower has no Indebtedness. Except as otherwise set forth or reflected in the Financials, Borrower has not guaranteed the obligations of any Person (except by indorsement of negotiable instruments
payable at sight for deposit or collection or similar banking transactions in the usual course of Borrower’s business). 
  

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 9.7 Title to Property; No Liens. Borrower has (i) good and indefeasible title to, and
ownership of, all of its personal property (exclusive of that property for which it has only a leasehold estate), including the Loan Collateral provided by it and (ii) good and marketable fee simple title to all of its real property, in each
case, free and clear of all Liens except to the extent of Permitted Liens. 
 9.8 Restrictions; Labor Disputes; Labor Contracts.
Except as described in Schedule 9.8, Borrower, to its knowledge, is not as of the Closing Date a party or subject to, any charge, corporate restriction, judgment, decree or order for which Borrower’s compliance or non-compliance could
reasonably be expected to have a Material Adverse Effect. Except as described on Schedule 9.8, Borrower is not, as of the Closing Date: (i) a party to any written employment contract or labor contract or (ii) the subject of any
labor dispute. Borrower is not a party to any collective bargaining agreement as of the Closing Date. To Borrower’s knowledge, no union or other labor organization is seeking to organize, or to be recognized as, a collective bargaining unit of
employees of Borrower or any of its Subsidiaries or for any similar purpose. To Borrower’s knowledge, after due inquiry, no key employee of Borrower is subject to any agreement in favor of anyone other than Borrower which restricts or limits
that individual’s right to engage in the type of business activity conducted by Borrower in any manner which could materially impair the ability of such individual to carry out his or her duties with Borrower or to use any property or
confidential information or which grants to any Person, other than Borrower, any rights to inventions or other ideas susceptible to legal protection developed or conceived by any such key employee of Borrower. 
 9.9 No Violation of Law. Except as described on Schedule 9.9, Borrower is not in violation of any applicable statute, regulation or
ordinance of any Governmental Authority (excluding any such statute, regulation or ordinance relating to ecology, human health or the environment to the extent the subject of Section 9.10), which violation could reasonably be expected to
have a Material Adverse Effect. All Inventory manufactured and produced by Borrower as of the Closing Date has, to its knowledge, been manufactured and produced in compliance with all applicable requirements of Sections 6, 7 and 12 of the Fair Labor
Standards Act, as amended, and all regulations and orders of the United States Department of Labor. All Inventory manufactured and produced by Borrower after the Closing Date will be manufactured and produced in compliance with all applicable
requirements of Sections 6, 7 and 12 of the Fair Labor Standards Act, as amended, and all regulations and orders of the United States Department of Labor. 
 9.10 Hazardous Substances. Except as described on Schedule 9.10, to Borrower’s knowledge: (i) no investigations, inquiries, orders, hearings, actions or other proceedings by or before any
Governmental Authority are, as of the Closing Date, pending or threatened in connection with any Environmental Activity or alleged Environmental Activity; (ii) no Hazardous Substances have been integrated into any of Borrower’s Facilities
in such manner or quantity which could reasonably be expected to or in fact does: (a) violate any applicable Environmental Requirement as of the Closing Date or (b) materially and adversely affect the value of any of Borrower’s
Facilities as of the Closing Date; (iii) the use of Borrower’s Facilities does not result in any Environmental Activity in violation of any applicable Environmental Requirements as of the Closing Date; (iv) no occurrence or condition
on any real property adjoining or in the vicinity of any of Borrower’s Facilities exists which could reasonably be expected to cause any of Borrower’s Facilities to be subject to any restrictions on ownership, occupancy, transferability or
operation under any Environmental Requirements as of the Closing Date; (v) none of Borrower’s Facilities, prior to when Borrower has owned or leased them, has been used for the disposal of Hazardous Substances or was the site of any
Release of Hazardous Substances, in each case, in violation of any Environmental Requirements and such violation existed as of the Closing Date; (vi) none of Borrower’s business operations have contaminated the lands, waters or other
property of others, as of the Closing Date, with Hazardous Substances except in compliance with applicable Environmental Requirements; (vii) no underground or above ground storage tank (regardless of contents) has been in the 

  

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past, or, as of the Closing Date, is, located on, at or beneath any of Borrower’s Facilities; and (viii) none of Borrower’s Facilities since
Borrower has owned or leased them has been used by Borrower for the production, treatment, storage, generation, disposal or Release of any Hazardous Substance other than in accordance with applicable Environmental Requirements as of the Closing
Date. 
 9.11 Absence of Default. As of the Closing Date, Borrower is not in default under any Applicable Agreement and has not
received any notice of bona-fide breach, termination or acceleration or demand for adequate assurances under any Applicable Agreement except where such default could not reasonably be expected to have a Material Adverse Effect. 
 9.12 Accuracy of Financials; No Material Changes. The Financials (i) have been prepared in accordance with GAAP consistently applied and are
true, correct and complete in all material respects and (ii) fairly present Borrower’s assets, liabilities and financial condition and results of operations and those of such other Persons described therein as of the date thereof (subject
to normal year-end adjustments and the lack of footnotes in the case of monthly or pro forma Financials). There are no omissions from the Financials or other facts or circumstances not reflected in the Financials which are or may be material,
and there has been no material and adverse change in Borrower’s assets, liabilities or financial condition since the date of the Financials nor has there been any material damage to or loss of Borrower’s assets or properties since such
date. Borrower’s outstanding advances to any Person do not constitute any equity or long term investment in any Person which is not reflected in the Financials. Borrower’s fiscal year is from January 1 st to December 31st.

 9.13 Pension Plans. Except as described on Schedule 9.13, neither Borrower nor any Controlled Group member has ever
sponsored, maintained, or contributed (or become obligated to sponsor, maintain, or contribute) to a Pension Plan subject to Title IV of ERISA. Neither Borrower nor any Controlled Group member has ever sponsored, maintained, or contributed (or
become obligated to sponsor, maintain, or contribute) to any “multiemployer plan” (as defined in ERISA). To Borrower’s knowledge, no “prohibited transaction,” or “reportable event”, as those terms are defined by
ERISA, has occurred or is continuing as to any Pension Plan of Borrower or any Controlled Group member, which poses a threat of the imposition of Taxes or penalties against such Pension Plans (or trusts related thereto), Borrower or any Controlled
Group member, the imposition or payment of which could reasonably be expected to have a Material Adverse Effect. Each Pension Plan that is intended to meet the requirements of qualified pension benefit plans under Sections 401(a) and 501(a) of the
Internal Revenue Code has received a current favorable determination letter to that effect under the Internal Revenue Code, and neither Borrower nor, to Borrower’s knowledge (after making due inquiries), any Controlled Group member has violated
such requirements with respect to any Pension Plan. 
 9.14 Taxes and Other Charges. Holding Co. is the parent of a consolidated group
for United States federal income Tax purposes. In such capacity, Holding Co. is responsible for filing a consolidated return for United States federal income Tax purposes on behalf of the Holding Co. Consolidated Group. The Holding Co. Consolidated
Group has filed all federal, state and local Tax returns and other reports which it is required by law to file except where the failure to so file could not reasonably be expected to have a Material Adverse Effect. All of such Tax returns and
reports accurately and properly reflect the Taxes due for the periods covered thereby. Except as described on Schedule 9.14, the Holding Co. Consolidated Group has paid all Taxes that are due and payable as of the Closing Date except for any
such Taxes which are being contested in good faith in accordance with the terms of Section 10.9 and other Taxes where the failure to pay such Taxes could not reasonably be expected to have a Material Adverse Effect. Except as disclosed
on Schedule 9.14, the Holding Co. Consolidated Group has withheld all employment and similar Taxes which it is required by law to withhold and has maintained adequate reserves for the payment of all Taxes. Except as described on Schedule
9.14, no Tax Liens have been filed with respect to the Holding Co. Consolidated Group and, to the knowledge of the Holding Co. 

  

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Consolidated Group, no claims are being asserted with respect to any such Taxes (and no basis exists for any such claims). There are not in effect any
waivers of applicable statutes of limitations for federal, foreign, state or local Taxes for any period. No member of the Holding Co. Consolidated Group is a party to any Tax-sharing agreement or arrangement except the Tax Sharing Agreement.

 9.15 No Litigation. Except as described on Schedule 9.15, there is not, as of the Closing Date, any litigation, action or
proceeding pending or, to Borrower’s knowledge (after due inquiry), threatened in writing, against Borrower. 
 9.16 No Brokerage
Fee. No brokerage, finder’s or similar fee or commission is due to any Person by reason of Borrower entering into this Agreement or by reason of any of the financing transactions contemplated by the Loan Documents, and Borrower shall
indemnify and hold Agent, the Lenders and LC Issuer harmless from all such fees and commissions. 
 9.17 Affiliates. All Persons who
are Borrower’s Affiliates are identified in Schedule 9.17. Other than CitiSteel PA, Borrower has no Subsidiaries. Except as set forth on Schedule 9.17, no Affiliate of Borrower: (i) sells or leases any goods or real property
to Borrower, (ii) sells any services to Borrower, (iii) purchases or leases any goods or real property, or purchases any services from Borrower, or (iv) is a party to any contract or commitment with Borrower. 
 9.18 Capitalization; Warrants. Schedule 9.18 sets forth the number of shares of Capital Stock of Borrower which are authorized and the
number of such shares which are outstanding. Each outstanding share of Capital Stock is a common share and is duly authorized, validly issued, fully paid and nonassessable. Set forth in Schedule 9.18 is a complete and accurate list of all
Persons who are record and beneficial owners of the Capital Stock of Borrower. All warrants, subscriptions, options, instruments, rights and agreements under which any shares of Capital Stock of Borrower are or may be redeemed, retired, converted,
encumbered, bought, sold or issued are described in Schedule 9.18. 
 9.19 Noncompetition Agreements. To Borrower’s
knowledge, Borrower is not, as of the Closing Date, subject to any contract or agreement containing a covenant not to compete in any line of business with any Person. 
 9.20 Deposit and Other Accounts. All of the accounts maintained by Borrower with any bank, brokerage house or other financial institution are set forth in Schedule 9.20, and none of such other accounts
(other than accounts designated as “Payroll Accounts” or “Disbursement Accounts”) is subject to withdrawal other than by transfers of amounts therein to the Locked Box or the Special Account. 
 9.21 Solvency. Each of Holding Co., Borrower and CitiSteel PA will be Solvent after (i) the issuance of the Senior Notes, (ii) the
receipt and application of the Loans in accordance with the terms of this Agreement, (iii) the execution and delivery of this Agreement and the other Loan Documents to which any of them is a party, and (iv) the filing of any financing
statements or other perfecting notices or actions in connection with this Agreement. 
 9.22 Full Disclosure. With respect to facts,
events, or circumstances occurring before the Closing Date, no representation or warranty made by Borrower or any of its Affiliates, as the case may be, in this Agreement or in any of the other Loan Documents to which it is a party contains, to the
knowledge of any of Holding Co. or Borrower or its Subsidiaries, as of the Closing Date, any untrue statement of a material fact or omits to state any material fact necessary to make the statements herein or therein not misleading when read as a
whole together with all other representations and warranties related thereto. With respect to facts, events, or circumstances occurring after the Closing Date, no representation or warranty made by Borrower or any of its Affiliates, as the case may
be, in this 

  

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Agreement or in any of the other Loan Documents to which it is a party will contain, when made, any untrue statement of a material fact or will omit to state
any material fact necessary to make the statements herein or therein not misleading when read as a whole together with all other representations and warranties related thereto. Should Borrower become aware that changes are necessitated to such
representations and warranties to avoid the inclusion therein of any untrue statement of a material fact or the omission of any material fact necessary to make the statements therein not misleading when read as a whole together with all other
representations and warranties related thereto, Borrower will promptly notify Agent of such required changes to such representations and warranties. The ability of Borrower to provide Agent with notice of such changes under this
Section 9.22 is not, and may not be construed to be, a cure of any Event of Default occurring prior to any such notification, existing at the time of any such notification, or arising from a breach of such representation or warranty as
changed without, in each case, the written waiver of such Event of Default by the Lenders or Agent with the consent of the Lenders as provided herein. 
 9.23 Casualties. Neither the business nor the properties of Borrower are affected by any fire, explosion, accident, drought, storm, hail, earthquake, embargo, act of God or of the public enemy or other casualty
loss (whether or not covered by insurance) which could reasonably be expected to have a Material Adverse Effect. 
 9.24 Leases.
Except as listed on Schedule 9.24, Borrower is not a party to any lease, assignment, sublease, or other agreement relating to any real property or leasehold interest in real property, or any material equipment or other material personal
property. Schedule 9.24 correctly sets forth each lease, assignment, sublease and other agreement, existing as of the Closing Date, to which Borrower is a party relating to (i) any real property or leasehold interest in real property or
(ii) any material equipment or other material personal property. 
 9.25 Insurance Policies. Schedule 9.25 correctly sets
forth, as of the Closing Date, all of the insurance policies maintained by Borrower, including the carriers thereof, and the types of coverage and insured amounts covered thereby. 
 9.26 Consents. No authorization or approval or other action by, and no notice to or filing with, any Governmental Authority or any other Person is
required for the due execution, delivery and performance by Borrower of any Loan Document to which it is or will be a party. 
 9.27 Tax
Regulations. Borrower does not intend to treat the Loans, or any related transactions contemplated by this Agreement, as being a “reportable transaction” (within the meaning of Treasury Regulation Section 1.6011-4). 
 9.28 Anti-Terrorism Laws. None of Borrower or any Subsidiary or any Affiliate of Borrower is in violation of any Anti-Terrorism Law or engages in
or conspires to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law. None of Borrower nor any Subsidiary or Affiliate of
Borrower or, to the knowledge of Borrower, their respective agents acting or benefiting in any capacity in connection with the Credit Extensions or other transactions hereunder, is a Blocked Person. None of Borrower nor, to the knowledge of
Borrower, any of its agents acting in any capacity in connection with the Credit Extensions or other transactions hereunder (i) conducts any business or engages in making or receiving any contribution of funds, goods or services to or for the
benefit of any Blocked Person, or (ii) deals in, or otherwise engages in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order No. 13224. 
  

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 9.29 Updating Representations and Warranties. To the extent necessary to cause the representations
and warranties set forth in this Section 9 to remain true, complete and accurate as of the date hereof and as of each day on which a Loan is made hereunder, Borrower shall update in writing any Exhibits provided for in this
Section 9 promptly upon learning of any circumstance which may have the effect of making any such representation or warranty contained in this Section 9 materially untrue or misleading. The requirement of Borrower to update
any Exhibit provided for herein is not, and may not be construed to be, a cure of any Event of Default occurring prior to any such update or existing at the time of any such update without the written waiver of such Event of Default by the Lenders
or Agent with the consent of the Lenders as provided herein. 
 10. COVENANTS. Until the Obligations are fully paid, performed and satisfied (other
than contingent Obligations that survive the termination of this Agreement for which Agent has not given notice thereof to Borrower) (and all Letters of Credit have been cancelled and returned to LC Issuer) and no Commitment of any Lender exists,
Borrower will observe, perform, and comply with each of the covenants set forth below in this Section 10. 
 10.1 Payment of
Certain Expenses. Borrower will pay to Agent and LC Issuer, and, following the occurrence and during the continuation of an Event of Default, each of the Lenders immediately on Agent’s prior written demand any and all fees, costs and
expenses which Agent, LC Issuer, and each of the Lenders pays to a bank or other similar institution arising out of or in connection with (i) the forwarding to Borrower, or any other Person on Borrower’s behalf, by Agent, any Lender or LC
Issuer of proceeds of any Credit Extension made to Borrower pursuant to this Agreement, and (ii) the depositing for collection by Agent, any Lender or LC Issuer of any check or item of payment received or delivered to Agent, any Lender or LC
Issuer on account of the Obligations. Borrower will reimburse Agent, any Lender and LC Issuer, promptly, for any claims asserted by any bank at which a blocked account is established for the deposit of proceeds of the Loan Collateral in connection
with such blocked account or any returned or uncollected checks received by such bank as proceeds of the Loan Collateral. 
 10.2 Notice
of Litigation. Borrower will notify Agent in writing, promptly on Borrower’s learning thereof, of any litigation, suit or administrative proceeding which could reasonably be expected to have a Material Adverse Effect, whether or not the
claim is considered by Borrower to be covered by insurance. 
 10.3 Notice of ERISA Events. Borrower will notify Agent in writing
(i) at least 5 days prior to the adoption by Borrower or any Controlled Group member of any Pension Plan subject to Title IV of ERISA; (ii) promptly on the occurrence of any Reportable Event, and (iii) 60 days prior to any
termination, partial termination or merger of a Pension Plan or a transfer of a Pension Plan’s assets. 
 10.4 Notice of Labor
Disputes. Borrower will notify Agent in writing (i), promptly upon Borrower’s learning thereof, of (a) any labor dispute to which Borrower may become a party and which could reasonably be expected to have a Material Adverse Effect or
(b) any strikes, walkouts, or lockouts relating to any of its plants or other facilities, and (ii) the entering into of any material labor contract relating to any of its plants or other facilities. 
 10.5 Compliance with Laws. Borrower will comply with the requirements of all applicable laws, statutes, regulations, rules or ordinances of any
Governmental Authority, the noncompliance with which could reasonably be expected to have a Material Adverse Effect. 
 10.6 Notice of
Violations of Law, Tax Assessments. Borrower will notify Agent in writing, promptly upon Borrower’s learning thereof, of any violation of any law, statute, regulation, rule or ordinance of any Governmental Authority, and of the imposition
of any federal, state or local Tax 

  

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withholding or assessment, applicable to Borrower, the violation or imposition of which could reasonably be expected to have a Material Adverse Effect.
Borrower will (i) provide Agent with copies of all material communications between Borrower and any Governmental Authorities which relate to Environmental Activities, Environmental Requirements, or Hazardous Substances affecting Borrower; and
(ii) notify Agent promptly after obtaining knowledge of the Release or alleged Release in a reportable quantity (as defined under applicable Environmental Law) of any Hazardous Substances on, in, under or affecting Borrower’s property or
any surrounding area, and any noncompliance with any Environmental Requirement. 
 10.7 Notice of Violations of Certain Agreements.
Borrower will notify Agent in writing, within three Business Days after the earlier of when Borrower learns, or is notified of the occurrence, of any material breach by Borrower of, a notice of termination or acceleration, or any demand for adequate
assurances under, any Applicable Agreement. 
 10.8 Notice of Customer Defaults. Borrower will notify Agent in writing, promptly upon
Borrower’s learning thereof, of any default by any obligor under any material note or other evidence of debt payable to Borrower or of anything which might have a material adverse effect on the ability of any obligor of Borrower to pay any
Indebtedness owing to Borrower. 
 10.9 Taxes and Charges. The Holding Co. Consolidated Group will: (i) file all federal, state
and local Tax returns and other reports which it is required by law to file except where such failure to file could not reasonably be expected to involve Taxes in an aggregate amount, as of any date, greater than the Basket Amount applicable to this
Section 10.9, (ii) pay all Taxes that are due and payable except where the failure to pay such Taxes could not reasonably be expected to exceed an aggregate amount, as of any date, greater than the Basket Amount applicable to this
Section 10.9, (iii) withhold all employment and similar Taxes which it is required by law to withhold, and (iv) maintain adequate reserves for the payment of all Taxes; provided, however, that no such Taxes need be paid
during such period as they are being contested in good faith by the Holding Co. Consolidated Group, in appropriate proceedings promptly commenced and diligently prosecuted, if adequate reserves in accordance with GAAP have been set aside on the
books of the members of the Holding Co. Consolidated Group, and the continuance of any such contest does not (a) result in any part of the Loan Collateral or any other property of any member of the Holding Co. Consolidated Group being made the
subject of (1) any proceeding in foreclosure, (2) any levy or execution (which shall not have been stayed or dismissed), or (3) any seizure or other loss and (b) prevent Agent from having a perfected first priority security
interest in, or as applicable, mortgage Lien on, the Loan Collateral or with respect to future advances made hereunder; and provided, further, that the Holding Co. Consolidated Group will promptly pay such Tax when the dispute is finally
settled. 
 10.10 Indebtedness; Guaranties. 
 (i) Other than the Obligations, Borrower will not incur any Indebtedness other than: 
 (a) existing Indebtedness identified on Schedule 10.10 which is otherwise not expressly provided for in this
Section 10.10 and any Refinancing Debt in respect thereof; 
 (b) Indebtedness and any Refinancing Debt in respect
thereof: (1) which is unsecured, (2) which is not for borrowed money, or the issuance of any letter of credit, acceptance transaction, or similar credit instrument or facility, (3) which is incurred in the ordinary course of business,
(4) which is not otherwise prohibited under any provision of this Agreement, and (5) the incurrence of which could not reasonably be expected to have a Material Adverse Effect; 
  

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 (c) Indebtedness in respect of Taxes or other governmental charges to the extent that
payment thereof shall not at the time be required to be made in accordance with the provisions of Section 10.9; 
 (d) Indebtedness in respect of judgments, orders for the payment of money, or awards in the manner and to the extent permitted by Section 10.27; 
 (e) Permitted Purchase Money Indebtedness and any Refinancing Debt in respect thereof; 
 (f) The Senior Notes subject to the terms of this Agreement and any Refinancing Debt in respect thereof; provided, that the maximum
principal amount of the Senior Notes Obligations and any Refinancing Debt in respect thereof may not exceed an aggregate of $105,000,000 minus the amount of any payments of the principal amount of the Senior Notes Obligations, including as a
result of any voluntary or mandatory redemptions, repurchases, defeasance or re-acquisitions of the Senior Notes Obligations; 
 (g) Indebtedness secured by Liens of carriers, warehouses, mechanics, landlords and other Persons to the extent holding a Permitted Lien; 
 (h) Indebtedness arising from reimbursement obligations entered into with respect to standby letters of credit issued by a lender that is not a Lender hereunder to the extent permitted by Section 2.3.3;

 (i) Additional Subordinated Debt, so long as (1) any such Additional Subordinated Debt: (A) is unsecured;
(B) is subordinated to the Obligations pursuant to a subordination agreement in form and substance satisfactory to Agent and the Required Lenders; and (C) has a maturity date not less than six months after the Maturity Date and does not
provide for any earlier cash payments; (2) the incurrence of any such Additional Subordinated Debt does not violate the Senior Notes Indenture; and (3) Borrower is in compliance with the Financial Covenants, on a pro forma basis,
after giving effect to the incurrence of such Additional Subordinated Debt. To determine whether there is pro forma compliance with the Financial Covenants, Borrower will, on a pro forma basis, (x) restate the financial
statements received by Agent for the Fiscal Months or Fiscal Quarters, as applicable, ended most closely before the date such Additional Subordinated Debt is proposed to be incurred as if the proposed Additional Subordinated Debt had been made at
the beginning of the applicable 6-Month Period and Test Period and (y) calculate the Fixed Charge Coverage Ratio under Section 1 of Exhibit F taking into account such proposed Additional Subordinated Debt as if the proposed
Additional Subordinated Debt had been made at the beginning of the applicable 6-Month Period and Test Period; and 
 (j) Other
unsecured Indebtedness of Borrower not to exceed $1,000,000 in the aggregate at any one time outstanding. 
 provided, that no Indebtedness otherwise
permitted under this Section 10.10 to be incurred shall be permitted to be incurred if, after giving effect to the incurrence thereof, any Event of Default shall have occurred and be continuing. 
 (ii) Borrower will not guaranty or enter into any agreements of guaranty or indemnity of the obligations of any Person (except by
indorsement of negotiable instruments payable at sight for deposit or collection or similar banking transactions in the usual course of Borrower’s business). 
  

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 10.11 Restrictions; Labor Disputes. Borrower will not become a party or subject to any charge,
corporate restriction, judgment, decree or order or any labor dispute or enter into any contract, agreement or arrangement which, in any case, could reasonably be expected to have a Material Adverse Effect. 
 10.12 Pension Plans. Borrower will not, and will not allow any Controlled Group member to, permit any Reportable Event or “prohibited
transaction” (as defined by ERISA) for which no statutory or class exemption exists under Sections 407 or 408 of ERISA or Sections 4975(c)(2) or 4975(d) of the Internal Revenue Code to occur or to continue as to any Pension Plan of Borrower or
any Controlled Group member, which poses a threat of: (i) termination of such Pension Plans (or trusts related thereto), which termination could reasonably be expected to have a Material Adverse Effect or (ii) the imposition of Taxes or
penalties against such Pension Plans (or trusts related thereto), Borrower, or any Controlled Group member, the imposition or payment of which could reasonably be expected to have a Material Adverse Effect. With respect to each Pension Plan that is
intended to meet the requirements of qualified pension benefit plans under Sections 401(a) and 501(a) of the Internal Revenue Code, Borrower and the applicable Controlled Group members shall continue to maintain the qualified status of such Pension
Plans, and all contributions to Pension Plans which Borrower or any member of the Controlled Group is obligated to make shall be timely made when due, unless the failure to do so could not reasonably be expected to have a Material Adverse Effect.
Borrower may not, and Borrower will not permit any Controlled Group member to, incur any liability to the Pension Benefit Guaranty Corporation, the incurrence of which could reasonably be expected to have a Material Adverse Effect. 
 10.13 Solvency. Borrower will continue to be, and will cause CitiSteel PA to continue to be, Solvent. 
 10.14 Property Insurance. Borrower will insure all of its real and personal property, including the Loan Collateral provided by Borrower and the
Affiliate Guarantor, against loss or damage by fire, theft, burglary, pilferage, loss in transit and such other extended coverage hazards as Agent shall specify in amounts and under policies by insurers reasonably acceptable to Agent. The policies
or a certificate thereof signed by the insurer evidencing that such insurance coverage is in effect for periods of not less than one year (as measured from the date of renewal) shall be delivered to Agent within 5 Business Days after the issuance of
the policies to Borrower and after each renewal thereof. All premiums thereon shall be paid by Borrower when due so as to keep such insurance in full force and effect at all times. Each such policy shall name Agent (and no other parties) as loss
payee and, as appropriate, mortgagee under a New York standard mortgagee clause or other similar clause acceptable to Agent and shall provide that such policy may not be amended or canceled without 30 days prior written notice to Agent. If Borrower
fails to do so, Agent may (but shall not be required to) procure such insurance and charge the cost to Borrower’s loan account as part of the Obligations payable on demand and secured by the Loan Collateral. 
 10.15 Liability Insurance. Borrower will, at all times, maintain in full force and effect such liability insurance with respect to its activities
and business interruption, product liability and other insurance as may be reasonably required by Agent, such insurance to be provided by insurer(s) reasonably acceptable to Agent. Such insurance shall name Agent as an additional insured containing
a severability of interest/cross-liability endorsement acceptable to Agent. 
 10.16 Mergers; Acquisitions. Borrower will not merge or
consolidate or be merged or consolidated with or into any other Person, or otherwise reorganize, liquidate or wind-up or dissolve itself. Borrower will not (i) purchase or otherwise acquire (a) all or substantially all of the assets of any
Person or the assets comprising any line of business or business unit or division or (b) any partnership, joint venture or limited liability company interest in or with any Person or (ii) purchase the securities of, create, invest in, or
form any Person (including a Subsidiary). 
  

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 10.17 Investments. Borrower will not, and will not permit any Subsidiary to, invest in any Person,
whether payment therefor is made in cash or Capital Stock of Borrower or any Subsidiary, and whether such investment is by acquisition of Capital Stock or Indebtedness, or by loan, advance, transfer of property out of the ordinary course of
business, capital contribution, equity or other profit sharing interest, extension of credit on terms other than those normal in the ordinary course of business or otherwise, or deposit with a financial institution except the following and after
compliance with the applicable terms of the Borrower Security Agreement (a “Permitted Investment”): (i) any evidence of indebtedness issued or directly and fully guaranteed or insured by the United States of America or any
agency or instrumentality thereof (provided that the full faith and credit of the United States of America is pledged in support thereof) in each case maturing not more than three months from the date of acquisition thereof;
(ii) certificates of deposit or acceptances of any financial institution that is a member of the Federal Reserve System having combined capital and surplus and undivided profits of not less than $500,000,000 in each case maturing not more than
three months from the date of acquisition thereof; (iii) commercial paper issued by a corporation that is not an Affiliate of Borrower and is organized under the laws of any state of the United States or the District of Columbia and rated at
least A-1 by Standard & Poor’s Rating Services or at least P-1 by Moody’s Investors Services, Inc. in each case maturing not more than three months from the date of acquisition thereof; (iv) equity investments by Holding Co.
and its Subsidiaries in and to Holding Co. and the Affiliate Guarantor; (v) investments existing on the date hereof and listed on Schedule 10.17; (vi) repurchase agreements, having terms of less than 90 days, for government
obligations of the type specified in clauses (i), (ii), or (iii) of this Section 10.17 with a commercial bank or trust company which is rated at least A-2/A by Standard & Poor’s Rating Services; and (vii) except
as permitted under Section 10.18; provided, that no Permitted Investments under clauses (i), (ii), (iii), or (vi) of this Section 10.17 otherwise permitted under this Section 10.17 may be made if
(a) any Event of Default has occurred and is continuing or is created thereby or (b) after making the Permitted Investment, any Revolving Loans or Interim Advances are then outstanding. 
 10.18 Distributions; Loans; Fees. Borrower will not (i) declare or pay cash or stock distributions (including any return of capital) or
dividends upon any of Borrower’s Capital Stock (including any preferred stock now or hereafter issued by Borrower), (ii) make any distributions of Borrower’s assets, (iii) incur, permit, or make any loans, advances or extensions
of credit to any Person, including any of Borrower’s Affiliates, officers, employees, or directors, or (iv) pay any consulting, management or directors’ fees to or for the account of any stockholder, director, officer, or other
Affiliate of Borrower, except that Borrower may: 
 (a) make advances to its officers and employees with respect to expenses
incurred by those officers and employees which (1) expenses are (A) ordinary and necessary business expenses and (B) reimbursable by Borrower and (2) do not exceed in the aggregate, $100,000, outstanding at any one time;

 (b) make cash payments to Holding Co. solely in order, and in such amounts sufficient, to pay (i) the federal, state
and local income Tax liabilities of Borrower which are then due and any state franchise Taxes of Holding Co. and CitiSteel PA which are then due, all in accordance with the Tax Sharing Agreement as in effect on July 6, 2006 and
(ii) professional fees, including but not limited to accountant’s fees and attorney’s fees, and other overhead and administrative expenses of Holding Co., in each case, incurred by Holding Co. on behalf of Borrower and its
Subsidiaries in the ordinary course; 
 (c) Borrower may pay dividends (“Repurchase Dividends”) to Holding
Co. to fund Holding Co.’s repurchase of stock issued to employees, officers and independent directors of Borrower, in each case issued pursuant to employee stock option or employee stock incentive arrangements previously approved by Agent, if,
and to the extent, that each of the following conditions have been met: (1) such repurchase is required under the terms of such arrangements, (2) is in connection 

  

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with the cessation of the applicable recipient’s employment by Borrower or Holding Co., as applicable, (3) the aggregate Repurchase Dividends made
in any Fiscal Year do not exceed $1,000,000 after giving effect to the proposed Repurchase Dividends, (4) no Event of Default has occurred and is continuing as of such repurchase, (5) if, after giving effect to such Repurchase Dividends,
Revolving Credit Availability is equal to or greater than an aggregate amount equal to $3,000,000, (6) such Repurchase Dividends are permitted under the Senior Notes Indenture, and (7) Borrower is in compliance with the Financial
Covenants, on a pro forma basis, after giving effect to the payment of such Repurchase Dividends. To determine whether there is pro forma compliance with the Financial Covenants, Borrower will, on a pro forma basis,
(A) restate the financial statements received by Agent for the Fiscal Months or Fiscal Quarters, as applicable, ended most closely before the date such Repurchase Dividends are proposed to be made as if the proposed Repurchase Dividends had
been made at the beginning of the applicable Test Period and (B) calculate the Fixed Charge Coverage Ratio under Section 1 of Exhibit F taking into account such proposed Repurchase Dividends as if the proposed Repurchase
Dividends had been made at the beginning of the applicable Test Period; and 
 (d) Borrower may pay dividends (“Other
Cash Dividends”) to Holding Co., in addition to Repurchase Dividends, if, and to the extent, that each of the following conditions have been met: (1) such Other Cash Dividends are permitted under the Senior Notes Indenture,
(2) such Other Cash Dividends are paid no more frequently than on a Fiscal Quarterly basis, commencing after the Excess Cash Flow Payment Date for the Applicable Fiscal Quarter (as defined in Section 3.1.4(i)(a)) ending on
September 29, 2007, and are paid after each Excess Cash Flow Payment for the Applicable Fiscal Quarter (as defined in Section 3.1.4(i)(a)) then ended, (3) no Event of Default has occurred and is continuing as of the date of
declaration or the date of payment of the proposed Other Cash Dividends, (4) if, after giving effect to such Other Cash Dividends, Revolving Credit Availability is equal to or greater than an aggregate amount equal to $15,000,000, and
(5) Borrower is in compliance with the Fixed Charge Coverage Ratio, on a pro forma basis, after giving effect to the payment of such Other Cash Dividends. To determine whether there is pro forma compliance with the Fixed Charge
Coverage Ratio, Borrower will, on a pro forma basis, (A) restate the financial statements received by Agent for the Fiscal Months or the Fiscal Quarters, as applicable, ended most closely before the date such Other Cash Dividends are
proposed to be made as if the proposed Other Cash Dividends had been made at the beginning of the applicable Test Period and (B) calculate the Fixed Charge Coverage Ratio under Section 1 of Exhibit F taking into account such
proposed Other Cash Dividends as if the proposed Other Cash Dividends had been made at the beginning of the applicable Test Period. 
 10.19
Redemption of Stock. Borrower will not voluntarily or pursuant to any contractual or other obligations, redeem, retire, purchase, repurchase or otherwise acquire, directly or indirectly, or exercise any call rights relating to,
Borrower’s Capital Stock or any other securities now or hereafter issued by Borrower (including any warrants or options for any Capital Stock of Borrower. 
 10.20 Stock Rights. Borrower will not (i) change the rights or obligations associated with, or the terms of, any class of Capital Stock now issued by Borrower or (ii) issue any new class of Capital
Stock of Borrower. 
 10.21 Capital Structure; Fiscal Year. Borrower will not make any change in (i) Borrower’s capital
structure or (ii) any of Borrower’s business objectives, purposes and operations which could reasonably be expected to have a Material Adverse Effect. Borrower will not change Borrower’s fiscal year. Borrower will not change the
manner in which Borrower establishes its fiscal month end or any fiscal quarter end (i.e., a 5-week, 4-week, 4-week fiscal quarter running Saturday to Saturday) from that in existence on the Closing Date. 
  

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 10.22 Affiliate Transactions. Borrower will not enter into, or be a party to, any transaction with
any of Borrower’s Affiliates, except (i) transactions (a) in the ordinary course of business pursuant to the reasonable requirements of Borrower’s business and (b) upon fair and reasonable terms which are fully disclosed to
Agent and are no less favorable to Borrower than Borrower could obtain in a comparable arm’s length transaction with a Person who is not Borrower’s Affiliate; however, Borrower may not (1) extend credit to, or have amounts
owing from, its Affiliates or (2) pay in whole or in part any Indebtedness of Borrower to any Affiliate and (ii) in the manner and to the extent permitted by Section 10.18. 
 10.23 Operating Accounts. At all times until the Obligations are fully paid and satisfied, Borrower will maintain its primary operating accounts,
including the proceeds of all Collateral, with Agent. Other than the payroll accounts set forth on Schedule 9.20, Borrower will wire transfer to Agent, simultaneously with the closing of the initial advance of the Loans, all cash in all of
the accounts set forth on Schedule 9.20. 
 10.24 Sale of Assets. Borrower will not sell, lease or otherwise dispose of or
transfer, whether by sale, merger, consolidation, liquidation, dissolution, or otherwise (including by a sale-leaseback transaction), any of its assets, including the Loan Collateral provided by Borrower except: (i) the sale of Inventory in the
ordinary course of business; however, a sale in the ordinary course of business will not include a transfer in total or partial satisfaction of Indebtedness, and (ii) dispositions of Equipment (a) which has suffered an Event of Loss
or (b) which is obsolete and not used or useful in Borrower’s business for cash in an arm’s-length transaction having a fair market value of less than $500,000 (or, when added to all other dispositions of similar Equipment made in any
12 month period, does not exceed an aggregate fair market value equal to $5,000,000) so long as, in each instance, all proceeds thereof (“Disposition Proceeds”) are paid to Agent (exclusive of any Equipment which is the subject of a
Permitted Lien on which Agent does not have a first priority security interest) to be applied by Agent to the Obligations in accordance with Section 3.1.4(ii) and, after payment in full of the Term Loan, in accordance with
Section 4.3.1; provided, however, Borrower may use Disposition Proceeds to either: 
 (1) repair such
Equipment; or 
 (2) purchase replacement Equipment so long as: (A) such replacement Equipment is either (I) new and
is of equal or greater value than the Equipment which was sold or otherwise disposed of by Borrower or (II) used and is not materially less in value than the Equipment which was sold or otherwise disposed of by Borrower; (B) no Event of Default
then exists, (C) such replacement Equipment (I) is free and clear of all Liens except: (x) a first priority security interest in favor of Agent and (y) any other Permitted Lien exclusive of a Lien arising from any
Permitted Purchase Money Indebtedness and (II) will not be a fixture under applicable law, (D) Borrower effects the replacement within 180 days after such disposition and provides notices thereof to Lender, and (E) all Disposition Proceeds
with respect to any Equipment (exclusive of any Equipment which is the subject of a Permitted Lien on which Agent does not have a first priority security interest to the extent permitted by this Agreement) are paid to Agent for application to the
Revolving Loans (subject to the establishment of a Reserve Amount under the Borrowing Base therefor in the amount thereof) pending such replacement by Borrower. 
 10.25 [Reserved]. 
 10.26 Levy Against Loan Collateral. Borrower will not permit (i) any
attachment, garnishment, execution, levy or distraint of any Loan Collateral having an aggregate fair market value of greater than the Basket Amount applicable to this Section 10.26 to occur or (ii) any Loan Collateral having an
aggregate fair market value of greater than the Basket Amount applicable to this Section 10.26 to become subject, at any time, to any mandatory court order or other legal process. 
  

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 10.27 Judgments. Borrower will not permit any final judgment, order for the payment of money or
award (“Judgment”) to be rendered against it: (i) (a) in excess of $500,000 (or any number of Judgments in excess of $500,000 in the aggregate) of any available insurance coverage, as determined by Agent in its discretion
exercised in good faith, in effect to satisfy such Judgments for which the insurer has admitted in writing its liability for the full amount thereof or (b) which has a Material Adverse Effect (regardless of monetary amount or insurance
coverage) and (ii) which (a) has not been vacated, discharged or satisfied within 30 days of the entry thereof so long as during the time period such Judgment is not vacated, discharge, or satisfied, the holder of such Judgment does not
become a lien creditor within the meaning of the Uniform Commercial Code or (b) if appealable by Borrower, Borrower: (1) has not appealed such Judgment within the time allotted for such appeal under applicable law, (2) has ceased
prosecuting such appeal diligently and in good faith, (3) has not bonded or obtained a stay of such Judgment pending such appeal, or (4) the holder of such Judgment has become a lien creditor within the meaning of the Uniform Commercial
Code. 
 10.28 Financial Covenants. Borrower will observe, perform and comply with all of the financial covenants contained in
Exhibit F (the “Financial Covenants”). 
 10.29 Payments on Senior Notes and Changes to Senior Notes
Documents. 
 10.29.1 Payments on Senior Notes. Borrower will not (i) make any payment (including any
principal, premium, interest, fee or charge) with respect to any of the Senior Notes Obligations except (a) regularly scheduled interest payments on the Senior Notes, (b) a mandatory repurchase of Senior Notes upon a Change of Control (as
defined in the Senior Notes Indenture) under Section 4.19 of the Senior Notes Indenture, together with accrued but unpaid interest on such Senior Notes in accordance with such section of the Senior Notes Indenture; provided that no
proceeds from any Loan may be used to make such mandatory repurchase, and (c) a mandatory repurchase of Senior Notes upon an Asset Sale (as defined in the Senior Notes Indenture) under Section 4.10 of the Senior Notes Indenture, together
with accrued but unpaid interest on such Senior Notes in accordance with such section of the Senior Notes Indenture; provided that no proceeds from any Loan may be used to make such mandatory repurchase or (ii) repurchase, redeem,
defease, acquire or reacquire for value any of the Senior Notes except a mandatory repurchase under clause (i)(b) or (i)(c) above in the manner, and to the extent, provided therein. 
 10.29.2 Changes to Senior Notes Documents. None of Borrower or any of its Subsidiaries will seek, agree to or permit, directly or
indirectly, the amendment, waiver or other change to: (i) any of the terms of payment (including, principal, interest or premium provisions) of or applicable to, or the provisions governing the priority of or security for the payment and
performance of the obligations under or applicable to, or acceleration, termination, financial or negative covenant, or default provisions of or applicable to, any of the Senior Notes Documents or (ii) any other material term of or applicable
to any of the Senior Notes Documents. For purposes of this Section 10.29.2, “material” means any modification, waiver, or amendment of any of the Senior Notes Documents which, in the judgment of Agent exercised in good faith,
would (a) adversely affect any of any Lender’s rights or remedies under the Loan Documents or the Liens in favor of Agent on the Loan Collateral (including the priority of the Agent’s Liens) or (b) create or result in an Event of
Default. 
 10.30 Tax Shelter Regulations. Borrower does not intend to treat the Credit Extensions and related transactions as being a
“reportable transaction” (within the meaning of Treasury Regulation Section 1.6011-4). If Borrower determines to take any action inconsistent with such intention, it will promptly notify Agent thereof. If Borrower so notifies Agent,
Borrower acknowledges that any one or more of Agent and Lenders may treat its Loans and/or its other Credit Exposure and LC Issuer may treat the issuance of Letters of Credit as part of a transaction that is subject to Treasury Regulation Section
301.6112-1, and Agent and such Lender or Lenders, and LC Issuer, as applicable, will maintain the lists and other records required by such Treasury Regulation. 
  

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 10.31 Limitation on Rate Hedging Agreements. Borrower will not at any time enter into any Rate
Hedging Agreement except those listed on Schedule 10.31 without the consent of the Required Lenders, which consent will not be unreasonably withheld or delayed. 
 10.32 Anti-Terrorism Laws. Borrower will not, and will not cause or permit any Subsidiary to, (i) conduct any business or engage in any transaction or dealing with any Blocked Person, including the making
or receiving any contribution of funds, goods or services to or for the benefit of any Blocked Person, (ii) deal in, or otherwise engage in any transaction relating to, any property or interests in property blocked pursuant to Executive Order
No. 13224, or (iii) engage in or conspire to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in Executive Order No. 13224, the USA
Patriot Act or any other Anti-Terrorism Law. Borrower shall deliver to Agent, LC Issuer and the Lenders any certification or other evidence requested from time to time by Agent, LC Issuer or the Lenders in their discretion exercised reasonably,
confirming compliance with this Section 10.32. 
 10.33 Further Assurances. Borrower will execute and deliver or cause to
be executed and delivered any and all further documents and instruments and to take any and all further actions as may be determined by Agent to be necessary or appropriate to the transactions contemplated herein or in the other Loan Documents.

 11. EVENTS OF DEFAULT. 
 11.1
Events of Default. (i) Each of the following events, whether or not caused by or within the control of Borrower, will constitute an “Event of Default” under this Agreement: 
 (a) Borrower does not pay, when due, any of the Obligations, including any amounts required to be paid under Section 3.1.2;

 (b) (1) Borrower does not observe, perform, or comply with any of the Financial Covenants, (2) any of the Loan
Documents cease, for any reason, to be in full force and effect, or Borrower or any other Person which is a party to any of the Loan Documents so asserts in writing, (3) any of the Liens created by any of the Loan Documents ceases to be
enforceable in accordance with its terms, or (4) any Loan Document ceases to be effective to grant perfected Liens on the collateral described therein with the priority purported or warranted to be created thereby; 
 (c) Borrower, Holding Co., or the Affiliate Guarantor does not observe, perform, or comply with any term or provision of this Agreement or
of any of the other Loan Documents to which it is a party (exclusive of those defaults covered by the other clauses of this Section 11.1 (i) and Section 11.1(iii); 
 (d) Any representation, warranty or statement made by, or on behalf of Borrower, Holding Co., or the Affiliate Guarantor, (1) in this
Agreement, in connection with this Agreement, in connection with any transaction relating to this Agreement or in any of the other Loan Documents to which it is a party was false in any material respect, in the judgment of Agent or the Required
Lenders, exercised reasonably, when made or furnished or when treated as being made or furnished or (2) to induce Lenders to make any Loan or LC Issuer to issue any Letter of Credit was false in any material respect, in the judgment of Agent or
the Required Lenders, exercised reasonably, when made or furnished or when treated as being made or furnished; 
  

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 (e) Borrower: (1) is, as of any date, not Solvent, (2) becomes generally unable
to pay its debts as they become due, (3) makes a general assignment for the benefit of creditors, or (4) calls a meeting of creditors for the composition of debts; or the Board of Directors of Borrower (or any committee thereof) adopts a
resolution authorizing or has otherwise authorized the actions described in subitems (3) or (4) of this clause (e); 
 (f)(1) There is filed by Borrower any case, petition, proceeding or other action (“Bankruptcy Case”) under any existing or future bankruptcy, insolvency, reorganization, liquidation or arrangement or readjustment of debt
law or any similar existing or future law of any applicable jurisdiction (“Insolvency Law”), (2) an involuntary Bankruptcy Case (“Involuntary Proceeding”) is commenced against Borrower under any Insolvency Law
and the Involuntary Proceeding is not controverted within 20 days, or is not dismissed within 60 days, after the commencement of the Bankruptcy Case, or (3) a custodian, receiver, trustee, sequestrator, or agent is appointed or authorized to
take charge of any of Borrower’s properties; 
 (g)(1) The Required Lenders, in their judgment exercised reasonably,
determine that there has occurred any material and adverse change in the business operations, or financial condition of Borrower or in Borrower’s ability to perform any of its payment or other Obligations under this Agreement or any of the
other Loan Documents to which it is a party or (2) the Required Lenders, in their judgment exercised in good faith, determine that there has occurred any material and adverse change in the aggregate value of, or Agent, the Lenders or LC
Issuer’s rights or interests in, the Loan Collateral with the result that Agent, the Lenders or LC Issuer’s security for the Obligations is materially diminished; 
 (h) There occurs an uninsured and unreserved (on Borrower’s books) casualty loss with respect to any of the Loan Collateral having an
aggregate fair market value of greater than $500,000; 
 (i) (1) Any Indebtedness of Borrower, in an aggregate amount
exceeding $500,000 which represents any borrowing or financing from, by or with any Person, is accelerated or (2) there occurs a material breach by Borrower under any Applicable Agreement (other than the ones described in subitem (1) of
this clause (i) or in clause (q) of this Section 11.1(i)), the result of which breach is to permit or cause the suspension of the other parties’ performance thereunder, the delivery of a notice of acceleration, or the
termination of such Applicable Agreement; 
 (j) A contribution failure occurs with respect to any Pension Plan sufficient to
give rise to a Lien under Section 302(f) of ERISA in an aggregate amount in excess of the Basket Amount applicable to this Section 11.1(i)(j); 
 (k)(1) There is instituted against Borrower any criminal proceeding for which forfeiture of any asset, having an aggregate fair
market value of greater than $500,000, is a potential penalty, (2) there occurs any seizure by, or the vesting of or intervention by or under the jurisdiction of, any Governmental Authority by which Borrower’s management is displaced, or
(3) Borrower is enjoined, restrained or in any way prevented by order of any Governmental Authority from conducting any material part of its business affairs and such order is not completely stayed, to the satisfaction of Agent, or dissolved
within one Business Day from the effective date of such order; 
 (l) Borrower shall voluntarily dissolve or cease to exist,
or any final and nonappealable order or judgment shall be entered against Borrower decreeing its involuntary dissolution; 
 (m) There occurs a Change of Control; 
  

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 (n) The audit report required pursuant to Section 8.7 is not an unqualified
audit report; 
 (o) Borrower or any of its Subsidiaries discovers, identifies, is given notice by any Person, or otherwise
has knowledge of (1) the existence of any Environmental Liability or (2) any one or more Releases of Hazardous Substances on, about or affecting a Borrower’s Facility or Borrower’s business operations, which (A) is not
entirely covered by insurance for which Agent is the loss payee and (B) by itself or in the aggregate, will or could reasonably be estimated to subject Borrower to indebtedness, liability, or obligations in excess of $500,000 during the term of
this Agreement except to the extent set forth on Schedule 9.10: 
 (p)(1) There is filed by Holding Co. or the
Affiliate Guarantor any Bankruptcy Case under any Insolvency Law; (2) an Involuntary Proceeding is commenced against Holding Co. or the Affiliate Guarantor under any Insolvency Law and the Involuntary Proceeding is not controverted within 20
days, or is not dismissed within 60 days, after the commencement of the Involuntary Proceeding; (3) a custodian, receiver, trustee, sequestrator, or agent is appointed or authorized to take charge of any of Holding Co.’s or the Affiliate
Guarantor’s properties; (4) the Affiliate Guarantor defaults under the Affiliate Guaranty Agreement or the Affiliate Guarantor Security Agreement; (5) Holding Co. or the Affiliate Guarantor dissolves, ceases to exist, or is wound up;
(6) the Affiliate Guarantor (A) denies its obligation to guarantee the Guaranteed Obligations (as defined in the Affiliate Guaranty Agreement) or to grant security interests in its property under the Affiliate Guaranty Security Agreement
or (B) attempts to limit or terminate its obligation to guarantee the Guaranteed Obligations; (7) Holding Co. (A) defaults under the Stock Pledge Agreement, (B) denies its obligation to guarantee the Guaranteed Obligations (as
defined in the Holding Co. Guaranty) subject to the terms of the Holding Co. Guaranty or to grant security interests in its Pledged Collateral under the Stock Pledge Agreement, (C) attempts to limit or terminate its obligation to guarantee the
Guaranteed Obligations (as defined in the Holding Co. Guaranty), or (D) is in default of any Indebtedness, in an aggregate amount exceeding $20,000,000, which represents any borrowing or financing from, by or with any Person, and such default
occurs at any point in time before the payment in full of the Term Loan; or (8) Holding Co. or the Affiliate Guarantor is, as of any date, not Solvent; or 
 (q) There occurs a Senior Notes Default. 
 (ii) Each Event of Default will be deemed continuing until it is waived in writing by, or cured to the written satisfaction of, the Lenders in accordance with Section 14.1. 
 (iii) Borrower shall, within three (3) Business Days after its knowledge thereof, give notice to Agent of the occurrence of any event
or the existence of any condition which would be, after notice, the lapse of applicable cure periods, or the satisfaction of any other condition, an Event of Default. 
 11.2 Cure Periods. 
 (i) Subject to Section 11.2(ii), 
 (a) an event or condition of the type described in clause (c) of Section 11.1 (i) (exclusive of a default arising under
Sections 8.2, 8.3, 8.4, 8.5, 8.6, 8.7, insofar as insurance coverage is no longer in effect, Sections 10.14 or 10.15, or Section 10.28) will be considered an Event of Default for
purposes of Section 12.1 of this Agreement only if Borrower fails to cure the default within 30 days after the date on which Agent notifies Borrower of the existence of such event or condition; however, if a period of cure is
provided for in any of the other Loan Documents with respect to a default under such other Loan Documents, the period of cure set forth in this Section 11.2(i)(a) will not be 

  

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applicable to such default. A default arising under (I) Section 8.2, insofar as insurance coverage is no longer in effect, Sections
10.14 or 10.15, or Section 10.28 will not be the subject of any notice or opportunity for cure and thereby will be an immediate Event of Default, (2) Sections 8.3 or 8.4 will have a cure period of up
to three (3) Business Days after the date on which Agent notifies Borrower of the existence of such event or condition, or (3) Sections 8.5, 8.6 or 8.7 will have a cure period of up to 15 Business Days after the date
on which Agent notifies Borrower of the existence of such event or condition; 
 (b) if, based solely on an event, condition,
or circumstance which occurs after the date of this Agreement and not based on any knowledge as of the Closing Date, Borrower is in breach of any of Sections 9.1 (insofar as Delaware good standing or any foreign qualification under Section
9.1). 9.5, 9.6, 9.8, 9.9, 9.10, 9.13, 9.14, or 9.23, and, as a result thereof, an Event of Default under clause (d) of Section 11.1(i) has otherwise occurred, such breach of such representation or warranty will be
considered an Event of Default for purposes of Section 12.1 of this Agreement only if Borrower fails to cure such breach (if curable) within 30 days after the date Agent notifies Borrower of such breach; and 
 (c) an event or condition of the type described in clause (g) of Section 11.1(i) will be considered an Event of Default for
purposes of Section 12.1 of this Agreement only if (1) Agent shall have first given written notice thereof to Borrower, and (2) either (A) Borrower shall fail, within 30 days after the delivery of such notice from Agent,
to deliver a business plan to Agent which, to the Required Lenders’ sole satisfaction, shall provide an acceptable means to cure such default or (B) Borrower fails to cure such default to Required Lenders’ sole satisfaction within the
time frame outlined in such business plan if Agent gives Borrower written approval of such business plan. Nothing in this clause (c) of Section 11.2(i), however, obligates Required Lenders under any circumstances to
(w) support any business plan proposed by Borrower, (x) consider any more than the original business plan proposed by Borrower, or (y) consider any business plan proposed by Borrower if any other Event of Default
has occurred or then exists. 
 (ii) Section 11.2(i) will not be applicable with regard to (a) any default
which by its nature is not susceptible of cure, (b) a default if, within the six (6) calendar months immediately preceding the occurrence of such default, Borrower has previously breached the same provision of this Agreement, or
(c) any default, as a result of which, the Required Lenders believe, in the exercise of their judgment in good faith, that there exists an immediate and material risk, threat, or danger to the value of the Loan Collateral, Agent, LC
Issuer’s or the Lenders’ interests in the Loan Collateral, or the collectibility of the Obligations. 
 (iii)
Notwithstanding any period of cure as provided in Section 11.2(i), all of Agent’s, LC Issuer’s and Lenders’ rights under the Loan Documents during the continuance of an Event of Default (subject to Sections 11.2(i)
and 11.2(i), including the Default Rate of interest described in Section 3.2.6 applicable during the continuance of an Event of Default, will, at the Required Lenders’ option, be applicable until any such event is cured to
the written satisfaction of the Lenders in accordance with Section 14.1. 
 12. LENDERS’ RIGHTS AND REMEDIES. 
 12.1 Acceleration. Upon the occurrence of any Event of Default, in addition to all other rights and remedies provided in the Loan Documents or
available at law or in equity, Agent, without further notice or demand but subject to Section 11.2, (i) may, and will (if requested by the Required Lenders), (a) declare the Loans and all other Obligations to be immediately due
and payable, whereupon the Loans and all other Obligations shall be immediately due and payable, and (b) terminate the obligation and power of LC Issuer to issue Letters of Credit and terminate all or any portion of the Commitments, and
thereupon 

  

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such obligations, powers and Commitments shall terminate immediately (except that with respect to any Event of Default under Section 11.1(i)(e) or (f)
(exclusive of an Involuntary Proceeding), such acceleration of the Loans and other Obligations, termination of the obligation and power of LC Issuer to issue Letters of Credit and termination of the Commitments shall be automatic), (ii) may
terminate this Agreement, and (iii) will have all rights to realize upon, and exercise Agent’s, LC Issuer’s and the Lenders’ rights with respect to, the Loan Collateral pursuant to this Agreement and the other Loan Documents, and
as otherwise provided by applicable law. 
 12.2 Fees and Expenses. Borrower shall pay to Agent, immediately and as part of the
Obligations, all reasonable costs and expenses, including court costs, Attorneys’ Fees and costs of sale, incurred by Agent, LC Issuer or the Lenders in exercising any of their default rights or remedies under the Loan Documents. 
 12.3 Actions in Respect of Letters of Credit. If any Event of Default shall have occurred and be continuing, Agent may, whether in addition to
taking any of the actions described in Section 12.1 or otherwise, make demand upon Borrower to, and forthwith upon such demand Borrower will, pay to Agent in same day funds at Agent’s office designated in such demand, for deposit in
the Letter of Credit Collateral Account, an amount equal to the Letter of Credit Exposure from time to time in existence. On each drawing under a Letter of Credit, Agent shall seek reimbursement from any amounts then on deposit in the Letter of
Credit Collateral Account; however, if (i) no amounts are then on deposit in the Letter of Credit Collateral Account, (ii) the amount then on deposit in the Letter of Credit Collateral Account is insufficient to pay the amount of
such drawing, or (iii) Agent is legally prevented or restrained from immediately applying amounts on deposit in the Letter of Credit Collateral Account, then the amount of each unreimbursed drawing under such Letter of Credit and payment
required to be made under this Section 12.3 shall automatically be converted into a Revolving Loan made on the date of such drawing for all purposes of this Agreement. To the extent that Agent applies amounts on deposit in the Letter of
Credit Collateral Account as provided in this Section 12.3, and, thereafter, such application (or any portion thereof) is rescinded or any amount so applied must otherwise be returned by Agent upon the insolvency, bankruptcy or
reorganization of Borrower or otherwise, then the amount so rescinded or returned shall automatically be converted into a Revolving Loan made on the date of such drawing for all purposes of this Agreement. 
 13. AGENT. 
 13.1 Appointment. Each Lender and
LC Issuer hereby irrevocably designates and appoints U.S. Bank, as the contractual representative of each Lender and LC Issuer under this Agreement and the other Loan Documents (in such capacity, the “Agent”). Each Lender and LC
Issuer irrevocably authorizes U.S. Bank, as agent for each Lender and LC Issuer, to take any and all actions on its behalf under the provisions of this Agreement and the other Loan Documents and to exercise any and all powers and perform any and all
duties as are expressly delegated to Agent by the terms of this Agreement and the other Loan Documents together with any and all other powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary elsewhere in this
Agreement, Agent will not have any duties or responsibilities except those expressly set forth in this Agreement or any fiduciary relationship with any Lender or LC Issuer, and no implied covenants, functions, responsibilities, duties, obligations
or liabilities may be read into this Agreement or any other Loan Document or otherwise exist against Agent. Each Lender and LC Issuer authorizes and directs Agent, on behalf the Lenders and LC Issuer, to enter into each of the Loan Documents.

 13.2 Delegation of Duties. Agent may execute any of its duties under this Agreement and the other Loan Documents by or through
agents, contractors, or attorneys-in-fact and will be entitled to advice of counsel concerning all matters pertaining to those duties. Agent will not be responsible for the negligence or misconduct of any agents, contractors, or attorneys-in-fact
selected by it in good faith. 
  

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 13.3 Exculpatory Provisions. Neither Agent nor any of its officers, directors, employees, agents,
attorneys-in-fact or Affiliates may be (i) liable for any action lawfully taken or omitted to be taken by it or such Person under or in connection with this Agreement or any other Loan Document (except to the extent of any direct damages
suffered from its or such Person’s own gross negligence or willful misconduct) or (ii) responsible in any manner to any of the Lenders or LC Issuer (a) for any recitals, statements, representations or warranties made by Borrower or
any officer of Borrower contained in this Agreement or any other Loan Document or in any certificate, report, statement or other document or electronic transmission referred to, or provided for in, or received by Agent under or in connection with,
this Agreement or any other Loan Document, (b) for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other Loan Document, (c) the value of the Loan Collateral, the perfection or
priority of any interest of Agent, the Lenders or LC Issuer in the Loan Collateral purported to be created or perfected by the Loan Documents, or with respect to rights and interests pertaining to the Loan Documents, (d) for any failure of
Borrower to perform its obligations under this Agreement or any other Loan Document, (e) for any loss or depreciation of, lack of insurance on, or failure to realize on, any Loan Collateral or for the failure or delay in collecting or receiving
payment of any sums from Borrower, or for any mistake, omission, or error of judgment in passing upon or accepting any Loan Collateral, or in the making of any examination, or for granting extensions or indulgences to Borrower permitted to be made
hereunder, (f) for any apportionment or distributions of payments made by it pursuant to Section 4 hereof, absent gross negligence or willful misconduct or, (g) with respect to the income or withholding Tax status with respect
to any interest on, or fees in respect of, the Loans. Agent will not be under any obligation to any Lender or LC Issuer to ascertain or to inquire as to the observance or performance of any of the agreements contained in, or conditions of, this
Agreement or any other Loan Document, or to inspect the properties, books or records of Borrower. 
 13.4 Reliance by Agent. Agent
will be entitled to rely, and will be fully protected in relying, on any agreement, instrument, writing, resolution, notice, consent, certificate, affidavit, letter, facsimile, telex, teletype, or email message, statement, order or other document or
conversation believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or Persons and on advice and statements of legal counsel (including counsel to Borrower), independent accountants and other experts
selected by Agent. Agent may deem and treat each Lender as the owner of its Loans for all purposes unless an assignment thereof has been made in accordance with the terms of this Agreement. As to any matters not expressly provided for by this
Agreement and the other Loan Documents (including without limitation enforcement and collection of the Notes), Agent may, but shall not be required to, exercise any discretion or take any action, but Agent shall, subject to the terms of this
Agreement, be required to act or to refrain from acting (and shall be fully protected in so acting or refraining from acting) upon the instructions of the Required Lenders, whenever such instruction shall be requested by Agent or required hereunder,
or a greater or lesser number of the Lenders if so required hereunder, and such instructions shall be binding upon all Lenders and all future holders of the Obligations; provided, that Agent will be fully justified as between itself and the
Lenders and LC Issuer in failing or refusing to take any action under this Agreement or any other Loan Document unless Agent has first received such advice or concurrence of the Required Lenders as Agent deems appropriate or Agent has been first
indemnified to its satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason of taking or continuing to take any such action. 
 13.5 Notice of Default. Agent will be deemed not to have knowledge or notice of the occurrence of any Event of Default unless Agent has received
notice from a Lender or Borrower referring to this Agreement, describing the Event of Default and stating that the notice is a “notice of default”. If Agent receives such a notice, Agent will give notice thereof to the Lenders. Subject to
the terms of this 

  

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Agreement, Agent will take such action reasonably promptly with respect to such Event of Default as is reasonably directed by the Required Lenders;
however, unless and until Agent has received such directions, Agent may (but shall not be obligated to) take such action, or refrain from taking such action, with respect to such Event of Default as it believes advisable in the best interests
of the Lenders. Notwithstanding anything to the contrary in this Section 13, at no time will Agent be required under any circumstance to take any action that, in its sole and absolute judgment, (i) is contrary to the terms of the
Loan Documents or applicable law, or (ii) would expose Agent to liability. 
 13.6 Non-Reliance on Agent and Other Lenders. Each
Lender and LC Issuer expressly acknowledges that neither Agent nor any of its officers, directors, employees, agents, attorneys-in-fact or Affiliates has made any representations or warranties to any Lender or LC Issuer and that no act by Agent in
the future taken, including any review of the affairs of Borrower, will be deemed to constitute any representation or warranty by Agent to any Lender or LC Issuer. Each Lender and LC Issuer represents to Agent that the Lender and LC Issuer has,
independently and without reliance on Agent or any other Lender, and based on such documents and information as the Lender or LC Issuer has deemed appropriate, made its own appraisal of and investigation into the business, operations, property,
financial and other condition and creditworthiness of Borrower and made its own decision to make its Credit Extensions under this Agreement and enter into this Agreement. Each Lender and LC Issuer also represents that it will, independently and
without reliance on Agent or any other Lender, and based on such documents and information as each Lender or LC Issuer deems appropriate at the time, continue to make its own credit analysis, appraisals and decisions in taking or not taking action
under this Agreement and the other Loan Documents, and to make such investigation as it deems necessary to inform itself as to the business, prospects, operations, property, financial and other condition and creditworthiness of Borrower. 

13.7 Indemnification. The Lenders will indemnify Agent in its capacity as such (to the extent not reimbursed by Borrower and without limiting
the obligation of Borrower to do so), ratably according to their Total Exposure Percentage in effect on the date on which indemnification is sought under this Section 13.7 (or, if indemnification is sought after the date on which the
Revolving Credit Commitments have terminated and the Loans shall have been paid in full, ratably in accordance with their Total Exposure Percentage immediately before that date), from and against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind whatsoever which may at any time (including at any time following the payment of the Obligations) be imposed on, incurred by or asserted against Agent in any
way relating to or arising out of this Agreement, any of the other Loan Documents or any documents contemplated by or referred to in this Agreement or in any of the other Loan Documents or the transactions contemplated by this Agreement or by any of
the other Loan Documents or any action taken or omitted by Agent under or in connection with any of the foregoing; provided that a Lender will not be liable for the payment of any portion of such liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements to the extent resulting from Agent’s gross negligence or willful misconduct so long as the Lender had no part in such action or omission by Agent and did not receive any
benefit from such action or omission by Agent. The agreements in this Section 13.7 will survive the payment of the Obligations. 
 13.8 Agent in Its Individual Capacity. Agent and its Affiliates may make loans to, accept deposits from and generally engage in any kind of business with Borrower and their Affiliates as though Agent were not an agent under this
Agreement and under the other Loan Documents. With respect to its Loans made or renewed by it, Agent will have the same rights and powers under this Agreement and the other Loan Documents as any Lender and may exercise the same as though it were not
Agent, and the terms “Lender” and “Lenders” will include Agent in its individual capacity. 
  

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 13.9 Resignation of Agent. Agent may resign as Agent on 30 days advance notice to the Lenders, LC
Issuer, and Borrower and will resign as Agent if U.S. Bank, in its capacity as a Lender, no longer has any Loans outstanding. If Agent resigns as Agent under this Agreement and the other Loan Documents, then the Required Lenders will, within 30 days
after notice of Agent’s resignation, appoint from among the Lenders a successor agent for the Lenders, which, unless an Event of Default has occurred and is continuing, successor agent must be approved by Borrower (which approval shall not be
unreasonably withheld, delayed or conditioned), whereupon (i) such successor agent will succeed to the rights, powers and duties of Agent, (ii) the term “Agent” will mean such successor agent effective on such appointment and
approval, and (iii) the former Agent’s rights, powers and duties as Agent will be terminated, without any other or further act or deed on the part of such former Agent or any of the parties to this Agreement or any holders of the
Obligations; however, if a successor agent has not so been appointed within that 30 day period, the retiring Agent will have the right to appoint a successor agent, which shall be a commercial bank organized under the laws of the United
States of America or of any state thereof and having a combined capital and surplus of at least $500,000,000 who will serve as “Agent” until the time, if ever, as the Required Lenders appoint a successor Agent as provided in this
Section 13.9. After any retiring Agent’s resignation as Agent, (a) the provisions of this Section 13 will inure to its benefit as to any actions taken or omitted to be taken by it while it was Agent under this
Agreement and the other Loan Documents and (b) the retiring Agent will be relieved of all further duties and obligations as Agent. 
 13.10 Loan Collateral Matters. 
 13.10.1 Perfection/Enforcement Actions. Agent will hold the Loan
Collateral under the Security Documents as agent for the benefit of Agent, the LC Issuer and Lenders, subject to the terms of this Agreement and the Security Documents. Agent is hereby authorized on behalf of all of the Lenders and LC Issuer,
without the necessity of any notice to or further consent from any Lender or the LC Issuer, from time to time, to take any action with respect to any Loan Collateral which may be necessary or desirable to perfect and maintain perfected the security
interest in and Liens on the Loan Collateral granted pursuant to the Loan Documents. Payment and performance of the Obligations under this Agreement and the other Loan Documents may be enforced only by the action of Agent, and no Lender or LC Issuer
will have any right individually to seek to enforce or to enforce payment or performance of the Obligations or any of those agreements, it being understood and agreed that such rights and remedies may be exercised only by Agent, for the benefit of
Agent, LC Issuer and the Lenders, upon the terms of those agreements and this Agreement. 
 13.10.2 Release of Loan
Collateral. The Lenders and LC Issuer hereby authorize Agent, at its option and in its discretion, to release any of Agent’s Liens on any Loan Collateral (i) on termination of the Commitments and payment and satisfaction of all of the
Obligations (and all Letters of Credit have been cancelled and returned to LC Issuer) at any time arising under or in respect of this Agreement or the other Loan Documents or the transactions contemplated hereby or thereby other than contingent
Obligations that survive the termination of this Agreement for which Agent has not given notice thereof to Borrower, (ii) constituting property in which Borrower, Holding Co., or the Affiliate Guarantor did not own an interest at the time the
Lien was granted to Agent, (iii) to the extent required to effect any sale or other disposition of any Loan Collateral in connection with any exercise of remedies of Agent and Lenders pursuant to the Loan Documents, (iv) owned by or leased
to Borrower or any of its Subsidiaries which is subject to a purchase money security interest or which is the subject of a capital lease, in either case, entered into pursuant to Section 10.10(i)(e), (v) constituting property leased
to Borrower under a lease which has expired or been terminated in a transaction permitted under this Agreement or is about to expire and which has not been, and is not intended by Borrower to be, renewed or extended, or (vi) other than on all
or a substantial part of the Loan Collateral, if (a) not in an amount in excess of $1,000,000 in the aggregate in any 12 month period and (b) after giving effect thereto a 

  

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Deficiency does not exist (but this clause (iii) shall not be deemed to require such approval to the extent such release is expressly authorized under
this Agreement). On request by Agent at any time, the Lenders and LC Issuer will confirm in writing Agent’s authority to release particular types or items of Loan Collateral pursuant to this Section 13.10. In the event of any sale
or transfer of Loan Collateral, or any foreclosure with respect to any of the Loan Collateral, Agent is authorized to deduct all of the expenses incurred by Agent from the proceeds of any such sale, transfer or foreclosure. 
 13.10.3 Automatic Release of Loan Collateral. The Lenders and LC Issuer hereby agree that Agent’s Liens in any property sold
or disposed of in accordance with the provisions of Section 10.24 will, if no Event of Default then exists, be automatically released. 
 13.10.4 Execution of Release Documents. To the extent, pursuant to the provisions of Sections 13.10.2 and 13.10.3, Agent’s execution of a release is required to release Agent’s Liens on
any sale and transfer of Loan Collateral which is expressly permitted pursuant to the terms of this Agreement, or consented to in writing by the Required Lenders or by all of the Lenders, as applicable, and on at least five (5) Business Days
prior written request by Borrower, Agent will (and is hereby irrevocably authorized by the Lenders to) execute such documents as may be necessary to evidence the release of Agent’s Liens in the Loan Documents on the Loan Collateral that was
sold or transferred; provided that (i) Agent will not be required to execute any such document on terms which, in Agent’s opinion, would expose Agent to liability or create any obligation or entail any consequence other than the
release of such Liens without recourse or warranty and (ii) such release will not in any manner discharge, affect or impair the Obligations or any Liens on (or obligations of Borrower in respect of) all interests retained by Borrower, including
the proceeds of the sale, all of which will continue to constitute part of the Loan Collateral. 
 13.10.5 Agency for
Perfection by Possession. Each Lender and LC Issuer hereby appoints each other Lender and LC Issuer as agent for the purpose of perfecting Agent’s Liens on property which, in accordance with the UCC or other applicable law, can be perfected
only by possession or control. Should any Lender or LC Issuer (other than Agent but inclusive of any Lender’s Participant) obtain possession of any collateral or security for the Obligations, that Lender or LC Issuer will notify Agent and,
promptly on Agent’s request, that Lender or LC Issuer will deliver the collateral to Agent or in accordance with Agent’s instructions. 
 13.10.6 Agent Expenditures. 
 (i) Subject to the limitations set forth in this
Section 13.10.6, Agent is hereby authorized by Borrower and the Lenders, from time to time in Agent’s discretion, (a) during the existence of an Event of Default, or (b) at any time that any of the other applicable
conditions precedent set forth in Section 5.2 have not been satisfied, to make advances to Borrower on behalf of the Lenders which Agent, in its judgment, deems necessary or desirable (1) to preserve or protect the Loan Collateral,
or any portion thereof, (2) to collect any of the Obligations, (3) to sell, liquidate, dispose of, or otherwise realize on, any of the Loan Collateral, (4) to preserve, interpret, enforce, or defend any rights or remedies of Agent,
the Lenders, or any of them, conferred by the Loan Documents, (5) to enhance the likelihood of, or maximize the amount of, repayment of the Loans and other Obligations, or (6) to pay any other amount chargeable to Borrower pursuant to the
terms of this Agreement, including costs, fees and expenses as described in Section 15.6 (any of the advances described in this Section 13.10.6 being hereinafter referred to as “Agent Advances”); provided
that the Required Lenders may at any time revoke Agent’s authorization contained in this Section 13.10.6 to make the Agent Advances, any such revocation to be in writing and to become effective prospectively upon Agent’s
receipt thereof; and, provided, further, that Agent shall not make Agent Advances for purposes described in clauses (2) through (5) above which would, if such Agent Advances were treated as Revolving Loans for purposes of the

  

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definition of “Revolving Credit Availability” cause the Revolving Credit Availability to be a negative number greater than $3,000,000. Agent shall
promptly notify each Lender in writing of each such Agent Advance. Each Agent Advance will be evidenced solely by entries upon Agent’s books and records. 
 (ii) Each Agent Advance shall be secured by the Loan Collateral and shall constitute a Loan and an Obligation bearing interest at the
Applicable Prime Rate Margin for Prime Rate Revolving Loans plus the Prime Rate. No part of any Agent Advance may, on the repayment thereof, be redrawn or reborrowed by Borrower. 
 (iii) By the making of an Agent Advance and without any further action on the part of Agent or the Lenders, Agent hereby grants to each
Lender, and each Lender hereby acquires from Agent, a participation in such Agent Advance equal to such Lender’s Agent Advance Exposure Percentage of such Agent Advance. In consideration and in furtherance of the foregoing, each Lender hereby
absolutely and unconditionally agrees to pay to Agent, for the account of Agent, such Lender’s Agent Advance Exposure Percentage of each Agent Advance, or of any payment on an Agent Advance required to be refunded to Borrower for any reason.
Each Lender acknowledges and agrees that its obligation to acquire participations pursuant to this paragraph in respect of Agent Advances is absolute and unconditional and shall not be affected by any circumstance whatsoever, including the
occurrence and continuance of an Event of Default, the failure of any condition in Section 5 to be satisfied, or any reduction or termination of the Commitments, and that each such payment shall be made without any offset, abatement,
withholding or reduction whatsoever. Following receipt by Agent of any payment by Borrower in respect of any Agent Advance, Agent shall apply such payments to such Agent Advance and, to the extent that the Lenders have made payments pursuant to this
Section 13.10.6(iii) to Agent, then to Agent and such Lenders, as their interest may appear. The purchase of participations in any Agent Advance pursuant to this Section 13.10.6(iii) shall not relieve Borrower of any default
in the payment thereof. 
 13.11 Overadvances. Notwithstanding anything to the contrary in this Agreement, Borrower and the Lenders
agree that Agent in its sole discretion may, but shall not be obligated to, elect on behalf of the Lenders, on one or more occasions, to exceed the limits of the Borrowing Base and thereby increase the Revolving Credit Availability by such amount
from time to time (each Revolving Loan resulting therefrom, an “Overadvance”); provided that (i) no Overadvance shall be for a period longer than 60 days and (ii) all such Overadvances outstanding as of any date
shall not exceed an amount equal to $3,000,000 in the aggregate (Overadvances meeting those conditions, being “Permitted Overadvances”). All Overadvances shall constitute Revolving Loans for all purposes of this Agreement. The
making of any Overadvance shall not constitute a waiver by Agent, LC Issuer or the Lenders of their right to refuse the making of any further Credit Extensions at any time any Overadvance exists. 
 13.12 No Third Party Beneficiary. The provisions of this Section 13 are solely for the benefit of Agent, the Lenders and LC Issuer,
and Borrower will not have any rights as a third party beneficiary of any of the provisions of this Section 13. In performing its functions and duties as Agent under this Agreement and the other Loan Documents, Agent acts solely as the
contractual representative of the Lenders and LC Issuer and does not assume and will not be deemed to have assumed any obligation toward, or relationship of agency or trust with or for, Borrower or any Affiliate of Borrower. 
 13.13 No Reliance on Agent’s Customer Identification Program Each Lender acknowledges and agrees that neither such Lender, nor any of its
Affiliates, participants or assignees, may rely on the Agent to carry out such Lender’s, Affiliate’s, participant’s or assignee’s customer identification program, or other obligations required or imposed under or pursuant to the
USA Patriot Act or the regulations thereunder, including the regulations contained in 31 C.F.R. Section 103.121 (as hereafter amended or replaced, the “CIP Regulations”), or any other Anti-Terrorism Law, including any programs
involving 

  

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any of the following items relating to or in connection with Borrower, its Affiliates or their agents, this Agreement or the Loan Documents or the
transactions hereunder or contemplated hereby: (1) any identity verification procedures, (2) any recordkeeping, (3) comparisons with government lists, (4) customer notices or (5) other procedures required under the CIP
Regulations or such other laws. 
 13.14 USA Patriot Act. Each Lender or assignee or participant of a Lender that is not incorporated
under the Laws of the United States of America or a state thereof (and is not excepted from the certification requirement contained in Section 313 of the USA Patriot Act and the applicable regulations because it is both (i) an affiliate of
a depository institution or foreign Lender that maintains a physical presence in the United States or foreign county, and (ii) subject to supervision by a banking authority regulating such affiliated depository institution or foreign Lender)
shall deliver to the Agent the certification, or, if applicable, recertification, certifying that such Lender is not a ‘“shell” and certifying to other matters as required by Section 313 of the USA Patriot Act and the applicable
regulations: (1) within 10 days after the Closing Date, and (2) as such other times as are required under the USA Patriot Act. 
 14.
AMENDMENTS: WAIVERS: ASSIGNMENTS; PARTICIPATIONS. 
 14.1 Amendments and Waivers. 
 14.1.1 Amendments Permitted by Consent of Required Lenders. Neither this Agreement, any other Loan Document, nor any terms of this
Agreement or any other Loan Document may be amended, supplemented or modified except in writing and in accordance with the provisions of this Section 14.1. The Required Lenders may, or, with the written consent of the Required Lenders,
Agent may, from time to time, (i) enter into with Borrower written amendments, supplements or modifications to this Agreement and the other Loan Documents for the purpose of adding any provisions to this Agreement or the other Loan Documents or
changing in any manner the rights or obligations of the Lenders or of Borrower under this Agreement or under any of the other Loan Documents or (ii) waive at Borrower’s request, on the terms and conditions as the Required Lenders or Agent,
as the case may be, may specify in the applicable instrument, any of the requirements of this Agreement or the other Loan Documents or any Event of Default and its consequences. Notwithstanding anything to the contrary contained in this
Section 14.1.1, for purposes of this Section 14.1, a waiver, amendment, supplement, or modification of an Rate Hedging Agreement, if between Borrower and any Lender, will only be done with the consent of Borrower and the
Lender party thereto notwithstanding that such Rate Hedging Agreement is a Loan Document. 
 14.1.2 Amendments Permitted by
Consent of Affected Lenders. No proposed waiver and no amendment, supplement or modification of this Agreement or any of the other Loan Documents pursuant to Section 14.1.1 may be agreed to if the waiver, amendment, supplement, or
modification would: 
 (i) (a) (1) reduce the amount of, or extend the time for payment of, any payment of principal
or interest due under this Agreement (exclusive of any decrease in interest resulting from the cancellation of the Default Rate), (2) reduce the stated rate of any interest (except as provided in Section 3.2.5) or fee (except as
provided in Section 14.1.2(viii)) payable under this Agreement or any other Loan Document, (3) increase the aggregate Commitments exclusive of any increase which may result from a Permitted Overadvance or Agent Advance,
(4) waive any requirement for the reduction or termination of any of the Commitments (it being understood that a waiver of an Event of Default will not constitute a change in the terms of any Commitment of any Lender), (5) extend the
scheduled Maturity Date, or (6) amend, modify, or waive any provision in Section 5.2 or waive any Event of Default (or amend any of the Loan Documents to effectively waive any Event of Default) if the effect of such waiver is that
the Lenders shall be required to make a Credit Extension when such Lenders would otherwise not 

  

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be required to do so, in each case without the written consent of all Lenders or (b) increase the Commitments of any Lender over the amount of the
applicable Commitment then in effect exclusive of any increase which may result from a Permitted Overadvance or an Agent Advance (it being understood that a waiver of an Event of Default will not constitute a change in the terms of any Commitment of
any Lender), without the consent of such Lender; 
 (ii) increase any Advance Rate above that amount expressly stated to be
the maximum thereof in the definition of “Advance Rate” (exclusive of any increase which, in any instance, may result from a Permitted Overadvance), in each case without the written consent of all Lenders; 
 (iii) amend, modify or waive any provision of this Section 14.1 or reduce the percentage specified in the definition of
Required Lenders, in each case without the written consent of all Lenders; 
 (iv) release any Loan Collateral from the Liens
created by the Loan Documents except as expressly permitted by Section 13.10 without the consent of all Lenders; 
 (v) amend, modify or waive any provision of Section 13 or of any other provision relating to the rights or obligations of the then Agent without the written consent of the then Agent; 
 (vi) amend, modify or waive any provision of Section 4.3.1 without the written consent of all of the Lenders; 
 (vii) amend, modify or waive any provision relating to LC Issuer without the consent of LC Issuer; 
 (viii) except as provided in Section 3.2.5, reduce the amount of, or extend the time for payment of the Unused Commitment Fee
or the LOC Fee or reduce the stated rate of the Unused Commitment Fee or the LOC Fee payable under this Agreement without the consent of all Lenders; 
 (ix) permit Borrower or any Guarantor to assign, transfer or dispose of any of its rights or obligations under any Loan Document without the written consent of all Lenders, or 
 (x) release any guarantor of any obligations except as expressly permitted herein or in the other Loan Documents, without the written
consent of all Lenders. 
 In each case above, the required consent of all or any of the Lenders shall be exclusive of a Defaulting Lender. Notwithstanding
the fact that the consent of all the Lenders is required in certain circumstances as set forth above, (I) each Lender acknowledges that the provisions of Section 1126(c) of The Bankruptcy Code of 1978, as amended, 11 U.S.C. § 101
et seq., as amended, supersedes the unanimous consent provisions set forth herein and (II) the Required Lenders may consent to allow Borrower or any Guarantor to use cash collateral in the context of a Bankruptcy Case. 
 14.1.3 Consent Matters. 
 (i) If (a) Agent requests a Lender’s written consent to any proposed waiver (including any waiver of any Event of Default), amendment, supplement or modification of this Agreement or any of the other Loan
Documents pursuant to Sections 14.1.1 or 14.1.2 or for any other matter relating to the Obligations or any of the Loan Documents and (b) the Lender does not notify Agent of the Lender’s refusal to grant the consent requested
by Agent within 10 Business Days after receipt of 

  

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Agent’s request for the Lender’s consent, then the Lender’s consent will be treated as having been granted unless such amendment, supplement
or modification would require the consent of all of the Lenders, and Agent and the other Lenders will thereafter be permitted to take the actions described in the request for consent as though the Lender had affirmatively consented to the requested
actions. 
 (ii) If (a) Agent requests a Lender’s written
consent to any proposed waiver (including any waiver of any Event of Default), amendment, supplement or modification of this Agreement or any of the other Loan Documents pursuant to Sections 14.1.1 or 14.1.2 or for any other matter
relating to the Obligations or any of the Loan Documents and (b) the Lender refuses to give its consent, Agent, at its option, may, at any time within 45 days after the Lender notifies Agent of the Lender’s refusal to grant the requested
consent, acquire on notice to the applicable Lender (a “Buy-Out Notice”) all, but not less than
all, of that Lender’s Loans, other Credit Exposure and Commitments by paying to that Lender an amount equal to the unpaid principal balance of the Loans held by that Lender plus all accrued interest and fees then due to the Lender as set forth
in this Agreement. From and after the date on which Agent delivers a Buy-Out Notice to the Lender, Agent and the other Lenders may amend, modify, and supplement the Loan Documents or waive any of the provisions of the Loan Documents (including any
Event of Default), or all of the foregoing, as though the non-consenting Lender had, in fact, affirmatively consented to the requested actions. 
 14.1.4 Binding Effect. Any waiver and any amendment, supplement or modification pursuant to this Section 14.1 will apply to each of the Lenders and shall be binding on Borrower, the Lenders, LC
Issuer and Agent and all future holders of the Obligations. 
 14.1.5 No Waiver. Failure by Agent, LC Issuer or any
Lender to exercise any right, remedy or option under this Agreement or in any Loan Document or delay by Agent, LC Issuer or any Lender in exercising the same shall not operate as a waiver by Agent, LC Issuer or any Lender of its right to exercise
any such right, remedy or option. 
 14.2 Assignment. 
 14.2.1 Borrower Assignments. Borrower may not assign, transfer or otherwise dispose of any of its rights or obligations hereunder
or under any other Loan Document, by operation of law or otherwise without the consent of Agent, LC Issuer and each Lender, and any such assignment, transfer or other disposition without the consent of Agent, LC Issuer and each Lender shall be void.

 14.2.2 Lender Assignments. 
 (i) Any Lender may, in the ordinary course of its business and in accordance with applicable law, at any time assign to one or more banks
or other entities (“Purchasers”) all or a portion of its rights and obligations under this Agreement (including all or a portion of its Commitments and Credit Exposure) in accordance with the provisions of this
Section 14.2.2. Each assignment shall be on a constant, and not a varying, ratable percentage of the assigning Lender’s rights and obligations assigned under this Agreement. Each assignment by a Lender of Loans or Commitments shall
be made only if, after giving effect thereto, such Lender continues to hold an equal ratable percentage of each Class of all Loans and Commitments under this Agreement. Borrower will not have any obligation to reimburse any Lender for any costs,
fees or expenses incurred by a Lender (exclusive of any expenses of Agent in its capacity as Agent) in connection with the assignment by that Lender of any portion of its Commitment or any Loans owing to it. 
 (ii) Each assignment (an “Assignment and Acceptance”) shall be substantially in the form of Exhibit G and shall
not be permitted hereunder unless such assignment is 

  

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(a) either for all of such Lender’s rights and obligations under the Loan Documents or involves Loans, other Credit Exposure and Commitments in an
aggregate amount of at least $10,000,000 and (b) such assignment to any single Purchaser is of an equal ratable percentage of each Class of all Loans and Commitments under this Agreement. Unless an Event of Default has occurred and is
continuing, U.S. Bank will not effect an assignment of its Commitments that would cause its remaining Commitment to be less than the Commitment of the Lender then having the lowest Commitment. Notice to Agent and consent of Agent and, in the case of
an assignment of a Revolving Credit Commitment, LC Issuer (which consent shall not be unreasonably withheld or delayed) and consent of Borrower (unless an Event of Default has occurred and is continuing) shall be required prior to an assignment
becoming effective with respect to a Purchaser which is not a Lender or a Person controlling or controlled by a Lender and if the Purchaser is a Foreign Lender, such Lender shall deliver any documentation required to be delivered by the Purchaser
pursuant to Section 2.14.5, duly completed and executed by the Purchaser. 
 (iii) Effect; Effective Date.
Upon (a) delivery to Agent of a notice of assignment (a “Notice of Assignment”), together with any consent required by Section 14.2.2(ii), and (b) payment of a $3,500 fee to Agent for processing such
assignment, such assignment shall become effective on the effective date specified in such Notice of Assignment. On and after the effective date of such assignment, such Purchaser, if not already a Lender, shall for all purposes be a Lender party to
this Agreement and any other Loan Documents executed by the Lenders and shall have all the rights and obligations of a Lender under the Loan Documents, to the same extent as if it were an original party hereto, and no further consent or action by
Borrower, the Lenders, LC Issuer or Agent shall be required to release the transferor Lender with respect to the percentage of the Commitments and Loans assigned to such Purchaser. Borrower and each Lender, on the request of Agent, will enter into
an amendment of Schedule 1 to this Agreement to reflect the Commitments of the Purchaser. 
 (iv) The Register.
Agent shall maintain at its address referred to in Section 15.7 a copy of each assignment delivered to and accepted by it pursuant to this Section 14.2.2 and a register (the “Register”) for the recordation of the
names and addresses of the Lenders and the Commitment and Credit Exposure of and principal amount of the Loans owing to, each Lender from time to time and whether such Lender is an original Lender or the assignee of another Lender pursuant to an
assignment under this Section 14.2.2. The entries in the Register shall be conclusive and binding for all purposes, absent manifest error, and Borrower, Agent, LC Issuer and the Lenders may treat each Person whose name is recorded in the
Register as a Lender hereunder for all purposes of this Agreement. The Register shall be available for inspection by Borrower, LC Issuer or any Lender at any reasonable time and from time to time upon reasonable prior notice. 
 14.2.3. Benefit; Binding Effect. All of the rights, privileges, remedies and options given to LC Issuer and the Lenders under the
Loan Documents shall inure to the benefit of LC Issuer and each Lender’s successors and assigns, and all the terms, conditions, covenants, provisions and warranties herein shall inure to the benefit of and bind the permitted successors and
assigns of Borrower and LC Issuer and the Lenders, respectively. 
 14.3 Participations. 
 14.3.1 Permitted Participations. Notwithstanding anything to the contrary in Section 14.2, any Lender may at any time,
with the written consent of Agent, sell to one or more banks or commercial finance companies which are Affiliates of that Lender (a “Participant”) participating interests in its Loans, other Credit Exposure, Commitments, and the
other rights and interests of that Lender (the “Originating Lender”) hereunder and under the other Loan Documents; provided, however, that (i) the Originating Lender shall remain a “Lender” for all purposes of
this Agreement and the other Loan Documents and the Participant receiving the participating interest in the Loans, other Credit Exposure, 

  

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Commitments, and the other rights and interests of the Originating Lender hereunder shall not constitute a “Lender” hereunder or under the other
Loan Documents and the Originating Lender’s obligations under this Agreement shall remain unchanged, (ii) the Originating Lender shall remain solely responsible for the performance of such obligations, (iii) Borrower, Agent, LC Issuer
and the Lenders shall continue to deal solely and directly with the Originating Lender in connection with the Originating Lender’s rights and obligations under this Agreement and the other Loan Documents, (iv) no Lender shall transfer or
grant any participating interest under which the Participant has the right to approve any amendment to, or any consent or waiver with respect to, this Agreement or any other Loan Document, except to the extent such amendment to, or consent or waiver
with respect to this Agreement or of any other Loan Document would require the consent of all of the Lenders; and (v) subject to Section 14.3.2, all amounts payable by Borrower hereunder shall be determined as if such Lender had not
sold such participation. The rights of any Participant only shall be derivative through the Originating Lender with whom such Participant participates and no Participant shall have any rights under this Agreement or the other Loan Documents or any
direct rights as to the other Lenders, LC Issuer, Agent, Borrower, the Loan Collateral, or otherwise in respect of the Obligations. No Participant shall have the right to participate directly in the making of decisions by the Lenders among
themselves. 
 14.3.2 Set Off Right. Borrower agrees that if amounts outstanding under this Agreement are due and
unpaid or have been declared or have become due and payable, each Participant, to the extent permitted by applicable law, will be deemed to have the right of setoff in respect of its participating interest in amounts owing under this Agreement to
the same extent as if the amount of its participating interest were owing directly to it as a Lender under this Agreement; provided that any Participant exercising that right will be obligated to share with the Lenders, as if such participant
were a “Lender’ under this Agreement, the amount of any such setoff; and provided, further, that if all or any portion of such excess payment or other recovery is thereafter recovered from the Participant by or on behalf of
Borrower, the Participant’s obligation to share such excess payment will be rescinded and such payment shall be returned to Participant to the extent of such recovery. No Participant may exercise any such right of setoff except with the consent
of the Required Lenders. 
 14.3.3 Disclosure of Information. Borrower authorizes each Lender granting a participation
to disclose to any Participant any and all financial information in the Lender’s possession concerning Borrower which has been delivered to the Lender by Borrower pursuant to the Loan Documents or in connection with the Lender’s credit
evaluation of Borrower or which has been obtained independently by the Lender in its credit evaluation or audit of Borrower. Each Participant must agree to keep confidential the information received by it from a Lender regarding Borrower (i) in
the same manner that it keeps confidential the business and financial information of its other commercial customers and (ii) as required by law. 
 14.4 Law Requirements. Nothing in the Loan Documents will prohibit any Lender from pledging or assigning its interests in the Loans to any Federal Reserve Bank in accordance with applicable law. 
 15. GENERAL. 
 15.1 Severability. If any term
of this Agreement is found invalid under Ohio law or laws of mandatory application by a court of competent jurisdiction, the invalid term will be considered excluded from this Agreement and will not invalidate the remaining terms of this Agreement.

 15.2 Governing Law. THIS AGREEMENT HAS BEEN DELIVERED AND ACCEPTED AT AND SHALL BE DEEMED TO HAVE BEEN MADE AT CINCINNATI, OHIO.
THIS AGREEMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BY THE INTERNAL LAWS OF THE STATE OF OHIO (WITHOUT REFERENCE TO CONFLICTS OF LAW PRINCIPLES). 
  

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 15.3 WAIVER OF JURISDICTION. AS A SPECIFICALLY BARGAINED INDUCEMENT FOR AGENT, LC ISSUER AND THE
LENDERS TO ENTER INTO THIS AGREEMENT AND EXTEND CREDIT TO BORROWER, BORROWER, AGENT, LC ISSUER AND THE LENDERS AGREE THAT ANY ACTION, SUIT OR PROCEEDING IN RESPECT OF OR ARISING OUT OF THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS, THEIR VALIDITY OR
PERFORMANCE, AND WITHOUT LIMITATION ON THE ABILITY OF AGENT, LC ISSUER AND LENDERS, THEIR SUCCESSORS AND ASSIGNS, TO EXERCISE ALL RIGHTS AS TO THE LOAN COLLATERAL AND TO INITIATE AND PROSECUTE IN ANY APPLICABLE JURISDICTION ACTIONS RELATED TO
REPAYMENT AND COLLECTION OF THE OBLIGATIONS, SHALL BE INITIATED AND PROSECUTED AS TO ALL PARTIES AND THEIR SUCCESSORS AND ASSIGNS AT CINCINNATI, OHIO. BORROWER, AGENT, LC ISSUER AND THE LENDERS EACH CONSENT TO AND SUBMIT TO THE EXERCISE OF
JURISDICTION OVER ITS PERSON BY ANY COURT SITUATED AT CINCINNATI, OHIO HAVING JURISDICTION OVER THE SUBJECT MATTER, AND CONSENTS THAT ALL SERVICE OF PROCESS BE MADE BY CERTIFIED MAIL DIRECTED TO BORROWER, AGENT, LC ISSUER, AND LENDERS AT THEIR
RESPECTIVE ADDRESSES SET FORTH IN SECTION 15.7 OR AS OTHERWISE PROVIDED UNDER THE LAWS OF THE STATE OF OHIO. BORROWER, AGENT, LC ISSUER AND THE LENDERS WAIVE ANY OBJECTION BASED ON FORUM NON CONVENIENS, AND ANY OBJECTION TO VENUE OF
ANY ACTION INSTITUTED HEREUNDER, AND CONSENT TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY THE COURT. 
 15.4
Survival. All of Borrower’s covenants, agreements, and representations and warranties contained in this Agreement, the other Loan Documents and in the certificates or other instruments delivered in connection herewith and therewith shall
be considered to have been relied upon by the parties hereto and shall survive the execution, delivery and acceptance of this Agreement and the making of any Credit Extensions, regardless of any investigation made by any such party or on its behalf
and notwithstanding that Agent, LC Issuer or any Lender may have notice or knowledge of any Event of Default or incorrect representation or warranty at the time any credit is extended hereunder, and shall continue in full force and effect until the
Obligations are fully performed, paid and satisfied (and all Letters of Credit have been cancelled and returned to LC Issuer) and no Commitment of any Lender exists. 
 15.5 Application of Payments; Revival of Obligations. Agent, LC Issuer and the Lenders shall have the continuing right to apply or reverse and reapply any payments to any portion of the Obligations. To the
extent Borrower makes a payment or payments to Agent, LC Issuer or any Lender or Agent, LC Issuer or any Lender receives any payment or proceeds of the Loan Collateral or any other security for Borrower’s benefit, which payment(s) or proceeds
or any part thereof are subsequently voided, invalidated, declared to be fraudulent or preferential, set aside or required to be repaid to a trustee, receiver or any other party under any bankruptcy act, state or federal law, common law or equitable
cause, then, to the extent of such payment or proceeds received, the Obligations or part thereof intended to be satisfied shall be revived and shall continue in full force and effect, as if such payment or proceeds had not been received. 

 

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 15.6 Fees and Expenses. 
 (i) Borrower shall pay or, as applicable, reimburse Agent, LC Issuer, the Lenders, or any one or more of them, for the following costs,
fees, expenses and obligations (“Expenses”): 
 (a) Borrower will pay or, as applicable, reimburse Agent and
LC Issuer for all reasonable costs, fees, expenses and obligations incurred by Agent or LC Issuer, whether an Event of Default then exists, in connection with, arising out of, or related to: (1) the entering into, negotiation, preparation,
closing, administration (including amendment, waiver, or other consent with respect to) of this Agreement or any of the other Loan Documents, the credit facilities provided hereby, or the exercise of any of the rights or remedies of Agent, LC Issuer
or the Lenders hereunder and thereunder (including the printing and distribution of materials to the Lenders and all costs associated with bank meetings); (2) any Credit Extensions made by the Lenders hereunder and the issuance of Letters of
Credit by LC Issuer; (3) any transaction contemplated by this Agreement or the other Loan Documents; (4) any inspection, audit, appraisal, or verification of the Loan Collateral or Borrower or any Guarantor (Agent currently charges, in
addition to any field examination fee that may be provided pursuant to the terms of this Agreement, $850.00 per diem based on an 8 hour day plus out-of-pocket expenses per auditor or field examiner for the services of its auditors and field
examiners and a potentially greater amount if the auditor is not an Agent employee); or (5) any liability under Section 3505 of the Internal Revenue Code and all other local, state and federal statutes of similar import; and 
 (b) Borrower will pay or, as applicable, reimburse Agent, LC Issuer, the Lenders, or any one or more of them, for all reasonable costs,
fees, expenses and obligations incurred by Agent, LC Issuer, the Lenders, or any one or more of them, following the occurrence and during the continuance of an Event of Default, which are in connection with, arise out of, or are related to:
(1) enforcing any Obligation or in foreclosing against any of the Loan Collateral or exercising, enforcing or preserving any other right or remedy available by reason of any Event of Default, (2) any refinancing or restructuring of the
credit arrangements provided under this Agreement in the nature of a “work-out” or in any insolvency or bankruptcy proceeding, (3) commencing, defending or intervening in any litigation or in filing a petition, complaint, answer,
motion or other pleadings in any legal proceeding relating to Borrower and related to or arising out of the transactions contemplated hereby or by any of the Loan Documents, (4) taking any other action in or with respect to any suit or
proceeding (whether in bankruptcy or otherwise), (5) protecting, preserving, collecting, leasing, selling, taking possession of, or liquidating any of the Loan Collateral, or (6) attempting to enforce or enforcing any of Agent’s Liens
on any of the Loan Collateral or any other rights under the Loan Documents. 
 (ii) The Expenses (a) will include
Attorneys’ Fees and fees of other professionals, all lien search and title search fees, all filing and recording fees and all travel expenses and (b) are part of the Obligations, payable upon Agent’s demand, and will be secured by the
Loan Collateral. 
 (iii) The Obligations described under this Section 15.6 shall survive any termination of this
Agreement. 
 15.7 Notices; Electronic Mail. 
 15.7.1 Notice. Any notice required, permitted or contemplated hereunder shall, except as expressly provided in this Agreement or
the other Loan Documents, be in writing and addressed to the party to be notified at the address set forth below or at such other address as each party may designate for itself from time to time by notice hereunder, and shall be deemed validly given
(i) three days following deposit in the U.S. certified mails (return receipt requested), with proper postage prepaid, or (ii) the next Business Day after such notice was delivered to a regularly scheduled overnight delivery carrier with
delivery fees either prepaid or an arrangement satisfactory with such carrier, made for the payment thereof, or (iii) upon receipt of notice given by facsimile or personal delivery: To Agent, a Lender, LC Issuer, and Borrower at its address
listed on the applicable signature page of this Agreement. 
  

 -91- 

 15.7.2 Electronic Mail. Agent may, in its discretion, elect, from time to time, to
receive certain routine information, including reports, otherwise required by the terms of this Agreement or the other Loan Documents (“Reports”) from Borrower via electronic mail transmission (“e-mail”). Agent will
designate from time to time its e-mail address to Borrower (the “Agent E-mail Address”). All e-mail transmissions of Reports from Borrower shall contain the information as specified in this Agreement, shall be formatted or displayed
in a manner and order substantially similar to that shown in this Agreement or otherwise required by Agent and shall conform to the specifications described in this Agreement. Borrower will be solely responsible for the confidentiality of the
contents of e-mail transmissions during transmission to the Agent E-mail Address, as Borrower acknowledges that none of Agent or any Lender is responsible for any compromise of data transmitted across public computer networks or telecommunications
facilities, including the Internet. Borrower will be responsible for the accuracy of all information provided to Agent via e-mail transmission to the Agent E-mail Address, and any information so received by Agent will be deemed to have been
submitted by and received from Borrower. In the event of a failure of the transmission of the Reports, it is the responsibility of Borrower to transmit the contents of any pending transmission to Agent using an alternative method which is timely and
in accordance with this Agreement. Borrower agrees that, by sending Agent the Reports via e-mail transmission, Borrower is certifying the truthfulness and accuracy of the Reports submitted each and every time Borrower sends Agent the Reports.
Borrower further agrees that, on each occasion when Borrower sends Agent e-mail transmissions containing Reports, Borrower is warranting and representing to Agent the truthfulness and accuracy of the representations and warranties relevant to that
Report set forth in the relevant Loan Document. Borrower consents to and represents that it is Borrower’s intent that by Borrower’s insertion of Borrower’s name in the subject line of the transmitting e-mail, or on the Reports
(including the header and/or the certification line), Borrower intends such to constitute a legally binding and enforceable signature of Borrower, and in all aspects the legal equivalent of Borrower’s handwritten signature. 
 15.8 Indemnification. In consideration of the execution and delivery of this Agreement by Agent, LC Issuer and the Lenders and the making of any
Loan and the issuance of any Letter of Credit hereunder, Borrower hereby indemnifies, exonerates and holds Agent, LC Issuer and the Lenders and each of their officers, directors, employees, Affiliates, and agents (collectively the
“Indemnified Parties” and, individually, as “Indemnified Party”) free and harmless from and against any and all actions, causes of action, suits, demands, investigations, obligations, judgments, losses, costs,
liabilities, damages, and expenses (irrespective of whether such Indemnified Party is a party to the action for which indemnification hereunder is sought), including Attorneys’ Fees and disbursements (the “Indemnified
Liabilities”), which are incurred by, accrued, asserted, made or brought against, charged to, or recoverable from the Indemnified Parties or any of them as a result of, or arising out of, or relating to, or as a direct or indirect result
of: 
 (i) any transaction financed or to be financed in whole or in part or directly or indirectly with the proceeds of any
Loan; 
 (ii) the entering into and performance of this Agreement and the other Loan Documents by any of the Indemnified
Parties; 
 (iii) any breach by Borrower of any term, provision, representation, warranty or covenant of this Agreement or the
other Loan Documents; 
 (iv) any Environmental Law, regardless of whether or not caused by, or within the control of,
Borrower; or 
  

 -92- 

 (v) any Remittance deposited in the Special Account which is dishonored or returned
unpaid for any reason; 
 except to the extent that the Indemnified Liability is caused by or results from the gross negligence or willful misconduct of the
Indemnified Party, as determined by a court of competent jurisdiction in a final non-appealable judgment or order. If and to the extent that the foregoing undertaking may be unenforceable for any reason, Borrower hereby agrees to make the maximum
contribution to the payment and satisfaction of each of the Indemnified Liabilities which is permissible under applicable law, except to the extent that such Indemnified Liabilities have arisen by reason of an Indemnified Party’s gross
negligence or willful misconduct, as determined by a court of competent jurisdiction in a final non-appealable judgment or order. The Obligations described under this Section 15.8 will survive any termination of this Agreement and shall
be due and payable on demand. 
 15.9 Additional Waivers by Borrower. Borrower waives presentment and protest of any instrument and
notice thereof, and, except as expressly provided in the Loan Documents, demand, notice of default and all other notices to which Borrower might otherwise be entitled. Borrower agrees that it shall assert no claim against Agent, LC Issuer or any
Lender on any theory of liability for consequential, special, indirect or punitive damages. 
 15.10 Equitable Relief. Borrower
recognizes that, in the event Borrower fails to perform, observe or discharge any of its obligations or liabilities under this Agreement, any remedy at law may prove to be inadequate relief to Agent, LC Issuer and the Lenders; therefore, Borrower
agrees that Agent, LC Issuer and Lenders, if Agent, LC Issuer and the Lenders so request, shall be entitled to temporary and permanent injunctive relief in any such case without the necessity of proving actual damages. 
 15.11 Entire Agreement. This Agreement and the other Loan Documents set forth the entire agreement of the parties with respect to its subject
matter and supersede all previous understandings, written or oral, in respect thereof. Two or more duplicate originals of this Agreement may be signed by the parties, each of which shall be an original but all of which together shall constitute one
and the same instrument. Any documents delivered by, or on behalf of, Borrower by fax transmission or other electronic delivery of an image file reflecting the execution hereof: (i) may be relied on by Agent, LC Issuer and the Lenders as if the
document were a manually signed original and (ii) will be binding on Borrower for all purposes of the Loan Documents. 
 15.12
Headings. Section headings in this Agreement are included for convenience of reference only and shall not relate to the interpretation or construction of this Agreement. 
 15.13 Cumulative Remedies. The remedies provided in this Agreement and the other Loan Documents are cumulative and not exclusive of any remedies
provided by law. Exercise of one or more remedy(ies) by Agent, LC Issuer or Lenders does not require that all or any other remedy(ies) be exercised and does not preclude later exercise of the same remedy. If there is any conflict, ambiguity, or
inconsistency, in Agent’s judgment, between the terms of this Agreement or any of the other Loan Documents, then the applicable terms and provisions, in Agent’s judgment, providing Agent, LC Issuer and the Lenders with greater rights,
remedies, powers, privileges, or benefits will control. 
 15.14 Recourse to Directors or Officers. The obligations of Agent, LC
Issuer and the Lenders under this Agreement are solely the corporate obligations of Agent, LC Issuer and the Lenders. No recourse shall be had for the payment of any amount owing in respect to this Agreement or for the payment of any fee hereunder
or for any other obligation or claim arising out of or based upon this Agreement against any stockholder, employee, officer, or director of Agent, LC Issuer and the Lenders. 
  

 -93- 

 15.15 WAIVER OF JURY TRIAL AS A SPECIFICALLY BARGAINED INDUCEMENT FOR AGENT, LC ISSUER AND THE
LENDERS TO ENTER INTO THIS AGREEMENT AND EXTEND CREDIT TO BORROWER, BORROWER AND AGENT, LC ISSUER AND THE LENDERS EACH WAIVE TRIAL BY JURY WITH RESPECT TO ANY ACTION, CLAIM, SUIT OR PROCEEDING IN RESPECT OF OR ARISING OUT OF THIS AGREEMENT AND THE
OTHER LOAN DOCUMENTS OR THE CONDUCT OF THE RELATIONSHIP BETWEEN OR AMONG AGENT, LC ISSUER, THE LENDERS AND BORROWER. 
 15.16 PATRIOT ACT
NOTICE. To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify, and record information that identifies each party who opens an account. Agent will
ask each party to a financial transaction their name, address and other information that will allow Agent to identify such party. Agent may also ask to see other documents that substantiate a party’s identity. 
 {Signature Page Follows} 
  

 -94- 

 IN WITNESS WHEREOF, this Agreement has been duly executed by the parties hereto as of the day and year
first above written. 
  

			
	BORROWER:
	
	CLAYMONT STEEL, INC.
		
	By:	 	/s/ Allen Egner
		 	Allen Egner, Treasurer and Secretary
	
	Address for notices:
	
	Claymont Steel, Inc.
	4001 Philadelphia Pike.
	Claymont, Delaware 19703
	Attention: Allen Egner
	Facsimile: (302) 792-1195

	
	with a copy to Borrower’s counsel (“Counsel”)
	
	Morgan, Lewis & Bockius LLP
	1701 Market Street
	Philadelphia, PA 19103
	Attention: Michael J. Pedrick, Esq.
	Facsimile: (215) 963-4808

 provided, that (i) notice given to Borrower’s Counsel is not deemed notice to Borrower and (ii)
Agent’s failure to deliver any notice to Borrower’s Counsel will not affect the validity or effectiveness of any notice or notification given to Borrower. 
 SIGNATURE PAGE TO FINANCING AGREEMENT 

			
	LENDERS:
	
	U.S. BANK NATIONAL ASSOCIATION, AS A LENDER
		
	By:	 	/s/ Suzanne E. Geiger
		 	Suzanne E. Geiger, Senior Vice President
	
	U.S. Bank National Association
	Location CN-OH-W14S
	425 Walnut Street
	Cincinnati, Ohio 45202
	Attn:	 	Ms. Suzanne E. Geiger, Senior Vice President
		 	Mr. Jeffrey A. Kessler, Vice President
	Telephone: (513) 632-2170 and (513) 632-3271
	Facsimile: (513) 632-2040

 SIGNATURE PAGE TO FINANCING
AGREEMENT 

			
	AGENT:
	
	U.S. BANK NATIONAL ASSOCIATION, AS AGENT
		
	By:	 	/s/ Suzanne E. Geiger
		 	Suzanne E. Geiger, Senior Vice President
	
	U.S. Bank National Association
	Location CN-OH-W14S
	425 Walnut Street
	Cincinnati, Ohio 45202
	Attn:	 	Ms. Suzanne E. Geiger, Senior Vice President
		 	Mr. Jeffrey A. Kessler, Vice President
	Telephone: (513) 632-2170 and (513) 632-3271
	Facsimile: (513) 632-2040
	
	LC ISSUER:
	
	U.S. BANK NATIONAL ASSOCIATION, AS LC ISSUER
		
	By:	 	/s/ Suzanne E. Geiger
		 	Suzanne E. Geiger, Senior Vice President
	
	U.S. Bank National Association
	Location CN-OH-W14S
	425 Walnut Street
	Cincinnati, Ohio 45202
	Attn:	 	Ms. Suzanne E. Geiger, Senior Vice President
		 	Mr. Jeffrey A. Kessler, Vice President
	Telephone: (513) 632-2170 and (513) 632-3271
	Facsimile: (513) 632-2040

 SIGNATURE PAGE TO FINANCING
AGREEMENTPurchase Agreement dated as of February 5, 2007

 EXHIBIT 10.2 
 $105,000,000 
 CLAYMONT STEEL, INC. 
 8.875% Senior Notes due 2015 
 PURCHASE AGREEMENT 
 February 5, 2007 
 JEFFERIES & COMPANY, INC.

 520 Madison Avenue, 12th Floor 
 New York, New York 10022 
 CIBC World Markets Corp. 
 300 Madison Avenue, 4th Floor 
 New York, New York 10017 
 Ladies and Gentlemen: 
 Claymont Steel, Inc., a Delaware corporation (the “Company”), and CitiSteel PA, Inc., a Pennsylvania corporation (the
“Subsidiary Guarantor”) hereby agree with you as follows: 
 Issuance of Notes. Subject to the terms and
conditions herein contained, the Company proposes to issue and sell to Jefferies & Company, Inc. and CIBC World Markets Corp. (the “Initial Purchasers”), severally and not jointly, $105,000,000 aggregate principal amount of
8.875%Senior Notes due 2015 (each a “Note” and, collectively, the “Notes”). The Notes will be issued pursuant to an indenture (the “Indenture”), to be dated as of the Closing Date (as defined in
Section 2 hereof), by and among the Company, the Subsidiary Guarantor, and The Bank of New York, as trustee (in such capacity, the “Trustee”). Capitalized terms used, but not defined herein, shall have the meanings set
forth in the Indenture. 
 The Notes will be offered and sold to the Initial Purchasers pursuant to an exemption from the registration
requirements under the Securities Act of 1933, as amended (the “Act”). Upon original issuance thereof, and until such time as the same is no longer required under the applicable requirements of the Act, the Notes shall bear the
legends set forth in the final offering circular, dated the date hereof (the “Final Offering Circular”), relating to the offer and sale of the Notes (the “Offering”). The Company has prepared a preliminary offering
circular, dated February 5, 2007 (the “Preliminary Offering Circular”), relating to the Offering. “Offering Circular” means, as of any date or time referred to in this Agreement, the most recent offering
circular (whether the Preliminary Offering Circular or the Final Offering Circular, and any amendment or supplement to either such document), including, without limitation, exhibits and schedules thereto. 
 In connection with the sale of the Notes and on the Closing Date, the Company will, among other things, (i) use a portion of the proceeds from the
Offering to repay all existing indebtedness, together with related interest and fees under that certain note purchase agreement, dated as of August 18, 2005 (the “Note Purchase Agreement”), among the Company, the Subsidiary
Guarantor and the purchasers listed therein and (b) terminate its existing senior secured credit facility under that certain financing agreement, dated as of August 25, 2005 (the “Existing Credit Agreement”), among the
Company, the lenders party 

 
thereto and U.S. Bank National Association (“U.S. Bank”), as Agent, (ii) enter into a credit agreement (the “New Senior Secured
Revolving Credit Facility”), among the Company, the lenders party thereto and U.S. Bank, as Agent, governing a new $60.0 million revolving credit facility and a $20.0 million term loan and (iii) use a portion of the proceeds from the
Offering to pay fees and expenses related to the Offering and the transactions described in this paragraph. 
 1. Terms of
Offering. The Initial Purchasers have advised the Company, and the Company understands, that the Initial Purchasers will make offers to sell (the “Exempt Resales”) some or all of the Notes purchased by the Initial Purchasers
hereunder on the terms set forth in the Final Offering Circular, as amended or supplemented, to persons (the “Subsequent Purchasers”) whom the Initial Purchasers (i) reasonably believe to be “qualified institutional
buyers” as defined in Rule 144A under the Act, as such Rule may be amended from time to time (“QIBs”), (ii) reasonably believe (based upon written representations made by such persons to the Initial Purchasers) to be
institutional “accredited investors” (“Accredited Investors”) as defined in Rule 501(a)(1), (2), (3) or (7) under the Act or (iii) reasonably believe to be non-U.S. persons in reliance upon Regulation S
under the Act. 
 Pursuant to the Indenture, all existing and future Domestic Restricted Subsidiaries (as defined in the Indenture) of the
Company, including the Subsidiary Guarantor, jointly and severally, shall fully and unconditionally guarantee, on a senior unsecured basis, to each holder of the Notes and the Trustee, the payment and performance of the Company’s obligations
under the Indenture and the Notes (such guarantee being referred to herein as the “Guarantee”). 
 Holders of the Notes
(including Subsequent Purchasers) will have the registration rights set forth in the registration rights agreement applicable to the Notes (the “Registration Rights Agreement”), to be executed on and dated as of the Closing Date
(defined below). Pursuant to the Registration Rights Agreement, the Company and the Subsidiary Guarantor will agree, among other things, to file with the Securities and Exchange Commission (the “SEC”) (a) a registration
statement under the Act relating to senior notes (the “Exchange Notes”) which shall be identical in all material respects to the Notes (except that the Exchange Notes shall have been registered pursuant to such registration
statement and will not be subject to restrictions on transfer or contain additional interest provisions) and the related guarantees (the “Exchange Guarantees”), which shall be identical in all material respects to the Guarantee,
each to be offered in exchange for the Notes and the Guarantee, respectively (such offer to exchange being referred to as the “Exchange Offer”), and/or (b) under certain circumstances, a shelf registration statement pursuant to
Rule 415 under the Act (the “Shelf Registration Statement”) relating to the resale by certain holders of the Notes and the Guarantee. If required under the Registration Rights Agreement, the Company will issue Exchange Notes and
Exchange Guarantees to the Initial Purchasers (the “Private Exchange Notes” and the “Private Exchange Guarantees,” respectively). If the Company and the Subsidiary Guarantor fail to satisfy their respective
obligations under the Registration Rights Agreement, they will be required to pay additional interest to the holders of the Notes under certain circumstances. 
 This Agreement, the New Senior Secured Revolving Credit Facility, the Indenture, the Registration Rights Agreement, the Notes, the Guarantee, the Exchange Notes, the Exchange Guarantees, the Private Exchange Notes and
the Private Exchange Guarantees are referred to herein as the “Documents.” 
 2. Purchase, Sale and Delivery.
On the basis of the representations, warranties, agreements and covenants herein contained and subject to the selling restrictions, terms and conditions herein set forth, the Company agrees to issue and sell to the Initial Purchasers, and the
Initial Purchasers, severally and not jointly, agree to purchase from the Company, the principal amount of Notes set forth opposite the name of each Initial Purchaser on Exhibit C hereto at a purchase price of $102,375,000. Delivery to the
Initial Purchasers of and payment for the Notes shall be made at a Closing (the “Closing”) 

  

 2 

 
to be held at 10:00 a.m., New York time, on February 15, 2007, or such other date as shall be agreed upon by the Initial Purchasers and the Company (the
“Closing Date”), at the New York offices of Morgan, Lewis & Bockius LLP. 
 The Company shall deliver to the
Initial Purchasers one or more certificates representing the Notes in definitive form, registered in such names and denominations as the Initial Purchasers may request, against payment by the Initial Purchasers of the purchase price therefor by
immediately available Federal funds bank wire transfer to such bank account or accounts as the Company shall designate to the Initial Purchasers at least two business days prior to the Closing. The certificates representing the Notes in definitive
form shall be made available to the Initial Purchasers for inspection at the New York offices of Mayer, Brown, Rowe & Maw LLP (or such other place as shall be reasonably acceptable to the Initial Purchasers) not later than 10:00 a.m. one
business day immediately preceding the Closing Date. Notes to be represented by one or more definitive global securities in book-entry form will be deposited on the Closing Date, by or on behalf of the Company, with The Depository Trust Company
(“DTC”) or its designated custodian, and registered in the name of Cede & Co. 
 3. Representations and
Warranties of the Company and the Subsidiary Guarantor. The Company and the Subsidiary Guarantor jointly and severally represent and warrant to the Initial Purchasers that, as of the date hereof and as of the Closing Date: 
  

	(a)	As of the Applicable Time (as defined below), neither (x) the Preliminary Offering Circular, as supplemented by the final pricing term sheet in the form attached hereto as
Exhibit A (the “Pricing Supplement”), all considered together (collectively, the “Time of Sale Circular”), nor (y) any individual Supplemental Offering Materials (as defined below), when considered
together with the Time of Sale Circular, contain any untrue statement of a material fact, or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not
misleading. “Applicable Time” means 4:00 P.M. (Eastern time) on February 5, 2007 or such other time as agreed by the Company and the Initial Purchaser. 

 “Supplemental Offering Materials” means any “written communication” (within the meaning of the Act and the rules and
regulations thereunder) prepared by or on behalf of the Company, or used or referred to by the Company, that constitutes an offer to sell or a solicitation of an offer to buy the Notes other than the Offering Circular or amendments or supplements
thereto (including the Pricing Supplement), including, without limitation, any road show relating to the Notes that constitutes such a written communication. 
  

	(b)	The Final Offering Circular does not and at the Closing Date will not, and each amendment or supplement thereto as of its date will not, contain any untrue statement of a material
fact, or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. The representations and warranties set forth in this Section 3(b)
do not apply to statements or omissions made in reliance upon and in conformity with information relating to the Initial Purchasers and furnished to the Company in writing by the Initial Purchasers expressly for use in the Time of Sale Circular or
the Final Offering Circular or any amendment or supplement thereto. No injunction or order has been issued that either (i) asserts that any of the transactions contemplated by the Documents is subject to the registration requirements of the Act
or (ii) would prevent or suspend the issuance or sale of the Notes or the use of the Time of Sale Circular, the Final Offering Circular or any amendment or supplement thereto (including the Pricing Supplement), in any jurisdiction. Each of the
Time of Sale Circular and the Final Offering Circular, as of their respective dates, contained, and the Final Offering Circular, as amended or supplemented as of the Closing Date, will contain, all the information specified in, and meet the
requirements of, Rule 144A(d)(4) under the Act. 

  

 3 

	(c)	The only corporation, partnership, or other entity in which the Company, directly or indirectly, owns more than fifty percent (50%) of any class of equity securities or
interests is the Subsidiary Guarantor. 

  

	(d)	Each of the Company and the Subsidiary Guarantor (i) has been duly organized, is validly existing and is in good standing under the laws of its jurisdiction of organization,
(ii) has all requisite power and authority to carry on its business and to own, lease and operate its properties and assets, and (iii) is duly qualified or licensed to do business and is in good standing as a foreign corporation,
authorized to do business in each jurisdiction in which the nature of such businesses or the ownership or leasing of such properties requires such qualification, except where the failure to be so qualified would not, individually or in the
aggregate, have or result in a material adverse effect on (A) the properties, business, prospects, operations, earnings, assets, liabilities or financial condition of the Company and the Subsidiary Guarantor, taken as a whole, (B) the
ability of the Company or the Subsidiary Guarantor to perform their respective obligations in all material respects under any of the Documents and (C) the validity or enforceability of any of the Documents or the consummation of any of the
transactions contemplated under any of the Documents (each, a “Material Adverse Effect”). 

  

	(e)	All of the issued and outstanding shares of capital stock of the Company have been duly authorized and validly issued, are fully paid and nonassessable, and were not issued in
violation of, and are not subject to, any preemptive or similar rights. The column entitled “Actual” in the table under the caption “Capitalization” in the Time of Sale Circular and in the Final Offering Circular
(including the footnotes thereto) sets forth, as of its date, the cash and cash equivalents and capitalization of the Company. All of the outstanding shares of capital stock or other equity interests of the Subsidiary Guarantor are owned, directly
or indirectly, by the Company, free and clear of all liens, security interests, mortgages, pledges, charges, equities, claims or restrictions on transferability or encumbrances of any kind (collectively, “Liens”), other than those
imposed by the Act and the securities or “Blue Sky” laws of certain domestic or foreign jurisdictions and Liens arising under the Existing Credit Agreement, which will be extinguished on the Closing Date. There are no outstanding
(A) options, warrants or other rights to purchase from the Company or the Subsidiary Guarantor, (B) agreements, contracts, arrangements or other obligations of the Company or the Subsidiary Guarantor to issue or (C) other rights to
convert any obligation into or exchange any securities for, in the case of each of clauses (A) through (C), shares of capital stock of or other ownership or equity interests in the Company or the Subsidiary Guarantor. 

 

	(f)	No holder of securities of the Company or the Subsidiary Guarantor will be entitled to have such securities registered under the registration statements required to be filed by the
Company and the Subsidiary Guarantor with respect to the Notes pursuant to the Registration Rights Agreement. 

  

	(g)	The Company and the Subsidiary Guarantor have all requisite corporate power and authority to execute, deliver and perform their obligations under the Documents to which they are a
party and to consummate the transactions contemplated thereby. 

  

	(h)	 This Agreement has been duly and validly authorized, executed and delivered by the Company and the Subsidiary Guarantor. Each of the Indenture and the New Senior
Secured Revolving Credit Facility have been duly and validly authorized by the Company and the Subsidiary Guarantor. Each of the Indenture and the New Senior Secured Revolving Facility, when executed and delivered by the Company and the Subsidiary
Guarantor, will constitute a legal, valid and binding obligation of each of the Company and the Subsidiary Guarantor, enforceable against each of the Company and the Subsidiary Guarantor in accordance with its terms, except that the 

  

 4 

	 	 
enforcement thereof may be subject to (i) bankruptcy, insolvency, reorganization, receivership, moratorium, fraudulent conveyance or other similar laws
now or hereafter in effect relating to creditors’ rights generally and (ii) general principles of equity (whether applied by a court of law or equity) and the discretion of the court before which any proceeding therefor may be brought.

  

	(i)	The Registration Rights Agreement has been duly and validly authorized by the Company and the Subsidiary Guarantor. The Registration Rights Agreement, when executed and delivered by
the Company and the Subsidiary Guarantor, will constitute a legal, valid and binding obligation of the Company and the Subsidiary Guarantor, enforceable against the Company and the Subsidiary Guarantor in accordance with its terms, except that
(A) the enforcement thereof may be subject to (i) bankruptcy, insolvency, reorganization, receivership, moratorium, fraudulent conveyance or other similar laws now or hereafter in effect relating to creditors’ rights generally and
(ii) general principles of equity (whether applied by a court of law or equity) and the discretion of the court before which any proceeding therefor may be brought and (B) any rights to indemnity or contribution thereunder may be limited
by federal and state securities laws and public policy considerations. 

  

	(j)	The Notes, when issued, will be in the form contemplated by the Indenture. On the Closing Date, the Indenture will meet the requirements for qualification under the Trust Indenture
Act of 1939, as amended (the “TIA”). The Notes, the Exchange Notes and the Private Exchange Notes have each been duly and validly authorized by the Company and, in the case of the Notes, when delivered to and paid for by the Initial
Purchasers in accordance with the terms of this Agreement and the Indenture, will have been duly executed, issued and delivered and will be legal, valid and binding obligations of the Company, entitled to the benefit of the Indenture and the
Registration Rights Agreement, and enforceable against the Company in accordance with their terms, except that the enforcement thereof may be subject to (i) bankruptcy, insolvency, reorganization, receivership, moratorium, fraudulent conveyance
or other similar laws now or hereafter in effect relating to creditors’ rights generally and (ii) general principles of equity (whether applied by a court of law or equity) and the discretion of the court before which any proceeding
therefor may be brought. 

  

	(k)	The Guarantee, the Exchange Guarantee and the Private Exchange Guarantee of the Subsidiary Guarantor have been duly and validly authorized by the Subsidiary Guarantor and, in the
case of the Guarantee, when executed, issued and delivered to the Initial Purchasers by the Subsidiary Guarantor in accordance with the terms of this Agreement and the Indenture, will have been duly executed, issued and delivered and will be a
legal, valid and binding obligation of the Subsidiary Guarantor, entitled to the benefit of the Indenture and the Registration Rights Agreement and enforceable against the Subsidiary Guarantor in accordance with its terms, except that the
enforcement thereof may be subject to (i) bankruptcy, insolvency, reorganization, receivership, moratorium, fraudulent conveyance or other similar laws now or hereafter in effect relating to creditors’ rights generally and
(ii) general principles of equity (whether applied by a court of law or equity) and the discretion of the court before which any proceeding therefor may be brought. 

  

	(l)	 Neither the Company nor the Subsidiary Guarantor is in violation of its certificate of incorporation, by-laws or other organizational documents (the
“Charter Documents”). Neither the Company nor the Subsidiary Guarantor is (i) in violation of any Federal, state, local or foreign statute, law (including, without limitation, common law) or ordinance, or any judgment, decree,
rule, regulation or order (collectively, “Applicable Law”) of any federal, state, local or other governmental authority, governmental or regulatory agency or body, court, arbitrator or self-regulatory organization, domestic or
foreign (each, a “Governmental Authority”), or (ii) in breach of or default in the performance or observance of any obligation, agreement, covenant or condition contained in any bond, debenture, note or other evidence of
indebtedness, indenture, 

  

 5 

	 	 
mortgage, deed of trust, lease or any other agreement or instrument to which any of them is a party or by which any of them or their respective property is
bound (collectively, “Applicable Agreements”), other than as disclosed in the Time of Sale Circular and the Final Offering Circular and except for any such violations, breaches or defaults that would not reasonably be expected to
have a Material Adverse Effect. There exists no condition that, with the passage of time or otherwise, would constitute (a) a violation of such (i) Charter Documents or (ii) Applicable Laws, (b) a breach of or default under any
Applicable Agreement or (c) result in the imposition of any penalty or the acceleration of any indebtedness and, in the case of clause (a)(ii), (b) or (c) above, would reasonably be expected to have a Material Adverse Effect.

  

	(m)	Neither the execution, delivery or performance of the Documents nor the consummation of any transactions contemplated therein will conflict with, violate, constitute a breach of or
a default (with the passage of time or otherwise) under, require the consent of any person (other than consents already obtained and in full force and effect, and the order of the SEC declaring the Exchange Offer Registration Statement or the Shelf
Registration Statement effective) under, result in the imposition of a Lien on any assets of the Company or the Subsidiary Guarantor (except for Permitted Liens (as defined in the Indenture)), or result in an acceleration of indebtedness under or
pursuant to (i) the Charter Documents of the Company or the Subsidiary Guarantor, (ii) any Applicable Agreement, or (iii) any Applicable Law, except in the cases of clauses (ii) and (iii), any conflict, violation, breach,
default, consent, Lien imposition or acceleration of indebtedness that would not reasonably be expected to have a Material Adverse Effect. After consummation of the Offering and transactions contemplated in the Documents, no Default or Event of
Default (each, as defined in the Indenture) will exist. 

  

	(n)	When executed and delivered, the Documents will conform in all material respects to the descriptions thereof in the Final Offering Circular. 

  

	(o)	No consent, approval, authorization or order of any Governmental Authority or third party is required for the issuance and sale by the Company of the Notes to the Initial Purchasers
or the consummation by the Company of the other transactions contemplated hereby, except for the order of the SEC declaring the Exchange Offer Registration Statement or the Shelf Registration Statement effective, except such as have been obtained
and such as may be required under state securities or “Blue Sky” laws in connection with the purchase and resale of the Notes by the Initial Purchasers. 

  

	(p)	Except as disclosed in the Time of Sale Circular and the Final Offering Circular, there is no action, claim, suit, demand, hearing, notice of violation or deficiency, or proceeding,
domestic or foreign (collectively, “Proceedings”), pending or, to the knowledge of the Company or the Subsidiary Guarantor, threatened, that either (i) seeks to restrain, enjoin, prevent the consummation of, or otherwise
challenge any of the Documents or any of the transactions contemplated therein, or (ii) would, individually or in the aggregate, have or result in a Material Adverse Effect. The Company is not subject to any judgment, order, decree, rule or
regulation of any Governmental Authority that would, individually or in the aggregate, have or result in a Material Adverse Effect. 

  

	(q)	 Each of the Company and the Subsidiary Guarantor possesses all licenses, permits, certificates, consents, orders, approvals and other authorizations from, and has
made all declarations and filings with, all Governmental Authorities, presently required or necessary to own or lease, as the case may be, and to operate their respective properties and to carry on their respective businesses as now or proposed to
be conducted as set forth in the Time of Sale Circular and the Final Offering Circular (“Permits”), except where the failure to possess or file such Permits would not, individually or in the aggregate, have or result in a Material
Adverse Effect; each of the Company 

  

 6 

	 	 
and the Subsidiary Guarantor has fulfilled and performed all of its obligations with respect to such Permits and no event has occurred which allows, or after
notice or lapse of time would allow, revocation or termination thereof or results in any other material impairment of the rights of the holder of any such Permit that would reasonably be expected to have a Material Adverse Effect; and neither the
Company nor the Subsidiary Guarantor has received any notice of any proceeding relating to revocation or modification of any such Permit, except as described in the Time of Sale Circular and the Final Offering Circular or except where such
revocation or modification would not, individually or in the aggregate, have or result in a Material Adverse Effect. 

  

	(r)	Each of the Company and the Subsidiary Guarantor has good and marketable title to all real property owned by it and good title to all personal property owned by it and good and
indefeasible title to all leasehold estates in real and personal property being leased by it and, as of the Closing Date, will be free and clear of all Liens (other than Permitted Liens). All Applicable Agreements to which the Company or the
Subsidiary Guarantor is a party or by which any of them is bound are valid and enforceable against each of the Company or the Subsidiary Guarantor, as applicable, and are valid and enforceable against the other party or parties thereto and are in
full force and effect with only such exceptions as would not, individually or in the aggregate, have or result in a Material Adverse Effect. 

  

	(s)	All Tax returns required to be filed by the Company and the Subsidiary Guarantor have been filed and all such returns are true, complete, and correct in all material respects. All
material Taxes that are due from the Company and the Subsidiary Guarantor have been paid other than those (i) currently payable without penalty or interest or (ii) being contested in good faith and by appropriate proceedings and for which
adequate reserves have been established in accordance with generally accepted accounting principles of the United States, consistently applied (“GAAP”). To the knowledge of the Company, after reasonable inquiry, there are no
proposed Tax assessments against the Company or the Subsidiary Guarantor that would, individually or in the aggregate, have or result in a Material Adverse Effect. The accruals and reserves on the books and records of the Company and the Subsidiary
Guarantor in respect of any material Tax liability for any period not finally determined are adequate to meet any assessments of Tax for any such period. For purposes of this Agreement, the term “Tax” and “Taxes” shall mean all
Federal, state, local and foreign taxes, and other assessments of a similar nature (whether imposed directly or through withholding), including any interest, additions to tax, or penalties applicable thereto. 

  

	(t)	Each of the Company and the Subsidiary Guarantor owns, or is licensed under, and has the right to use, all patents, patent rights, licenses, inventions, copyrights, know-how
(including trade secrets and other unpatented and/or unpatentable proprietary or confidential information, systems or procedures), trademarks, service marks and trade names (collectively, “Intellectual Property”) necessary for the
conduct of its businesses and, as of the Closing Date, will be free and clear of all Liens, other than Permitted Liens, except where the failure to do so would not reasonably be expected to have a Material Adverse Effect. No claims or notices of any
potential claim have been asserted by any person challenging the use of any such Intellectual Property by the Company or the Subsidiary Guarantor or questioning the validity or effectiveness of the Intellectual Property or any license or agreement
related thereto (other than any claims that, if successful, would not, individually or in the aggregate, have or result in a Material Adverse Effect). The use of such Intellectual Property by the Company or the Subsidiary Guarantor will not infringe
on the Intellectual Property rights of any other person. 

  

	(u)	 The Company maintains a system of internal accounting controls sufficient to provide reasonable assurance that (i) material transactions are executed in
accordance with management’s general or specific authorization, (ii) material transactions are recorded as necessary to permit preparation of 

  

 7 

	 	 
financial statements in conformity with GAAP, and to maintain asset accountability, (iii) access to assets is permitted only in accordance with
management’s general or specific authorization and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any material differences.

  

	(v)	The audited consolidated financial statements and related notes of the Company and the Subsidiary Guarantor contained in the Time of Sale Circular and the Final Offering Circular
(the “Financial Statements”) present fairly the financial position, results of operations, stockholder’s equity and cash flows of the Company and the Subsidiary Guarantor, as applicable, as of the respective dates and for the
respective periods to which they apply and have been prepared in accordance with GAAP and the requirements of Regulation S-X of the Act. The financial data set forth under “Summary Historical and Unaudited Pro Forma Consolidated Financial and
Operating Data,” “Summary Historical Consolidated Financial Data,” “Unaudited Pro Forma Financial Data” and “Selected Historical Consolidated Financial and Operating Data” included in the Time of Sale Circular and
the Final Offering Circular has been prepared on a basis consistent with that of the Financial Statements and present fairly the financial position and results of operations of the Company and the Subsidiary Guarantor as of the respective dates and
for the respective periods indicated. The unaudited pro forma financial information and related notes of the Company contained in the Time of Sale Circular and the Final Offering Circular have been prepared in accordance with the requirements of
Regulation S-X and give effect to assumptions used in the preparation thereof on a reasonable basis and in good faith. All other financial, statistical, and market and industry-related data included in the Time of Sale Circular and the Final
Offering Circular are fairly and accurately presented and are based on or derived from sources that the Company believes to be reliable and accurate. 

  

	(w)	Subsequent to the respective dates as of which information is given in the Time of Sale Circular and the Final Offering Circular, except as disclosed therein, (i) neither the
Company nor the Subsidiary Guarantor has incurred any liabilities, direct or contingent, that are material, individually or in the aggregate, to the Company, or has entered into any transactions not in the ordinary course of business,
(ii) there has not been any material decrease in the capital stock or any material increase in long-term indebtedness or any material increase in short-term indebtedness of the Company, or any payment of or declaration to pay any dividends or
any other distribution with respect to the Company, and (iii) there has not been any material adverse change in the properties, business, prospects, operations, earnings, assets, liabilities or condition (financial or otherwise) of the Company
and the Subsidiary Guarantor in the aggregate (each of clauses (i), (ii) and (iii), a “Material Adverse Change”). To the knowledge of the Company after reasonable inquiry, there is no event that is reasonably likely to occur,
which if it were to occur, would, individually or in the aggregate, have or result in a Material Adverse Change except such events that have been disclosed in the Time of Sale Circular and the Final Offering Circular. 

  

	(x)	No “nationally recognized statistical rating organization” (as such term is defined for purposes of Rule 436(g)(2) under the Act) (i) has imposed (or has informed the
Company that it is considering imposing) any condition (financial or otherwise) on the Company retaining any rating assigned to the Company or the Subsidiary Guarantor or to any securities of the Company or the Subsidiary Guarantor, or (ii) has
indicated to the Company that it is considering (A) the downgrading, suspension, or withdrawal of, or any review for a possible change that does not indicate the direction of the possible change in, any rating so assigned, or (B) any
change in the outlook for any rating of the Company or the Subsidiary Guarantor or any securities of the Company or the Subsidiary Guarantor. 

  

	(y)	 All indebtedness represented by the Notes is being incurred for proper purposes and in good faith. On the Closing Date, the Company (i) will be solvent,
(ii) will have sufficient capital for carrying 

  

 8 

	 	 
on its business and (iii) will be able to pay its debts as they mature. As used in this paragraph, the term “solvent” means, with respect to
the Closing Date, that on such date (i) the present fair market value (or present fair saleable value) of the assets of the Company and the Subsidiary Guarantor is not less than the total amount required to pay the liabilities of the Company
and the Subsidiary Guarantor on its total existing debts and liabilities (including contingent liabilities) as they become absolute and matured; (ii) the Company and the Subsidiary Guarantor are able to pay their debts and other liabilities,
contingent obligations and commitments as they mature and become due in the normal course of business; (iii) assuming consummation of the issuance of the Notes as contemplated by this Agreement and the Offering Circular, neither the Company nor
the subsidiary Guarantor is incurring debts or liabilities beyond its ability to pay as such debts and liabilities mature; and (iv) neither the Company nor the Subsidiary Guarantor is engaged in any business or transaction, for which its
property would constitute unreasonably small capital after giving due consideration to the prevailing practice in the industry in which the Company or the Subsidiary Guarantor is engaged. 

  

	(z)	The Company has not and, to its knowledge, no one acting on its behalf has, (i) taken, directly or indirectly, any action designed to cause or to result in, or that has
constituted or which might reasonably be expected to constitute, the stabilization or manipulation of the price of any security of the Company to facilitate the sale or resale of any of the Notes, (ii) sold, bid for, purchased, or paid anyone
any compensation for soliciting purchases of, any of the Notes or (iii) except as disclosed in the Time of Sale Circular and the Final Offering Circular, paid or agreed to pay to any person any compensation for soliciting another to purchase
any other securities of the Company. 

  

	(aa)	Without limiting any provision herein, no registration under the Act and no qualification of the Indenture under the TIA is required for the sale of the Notes to the Initial
Purchasers as contemplated hereby or for the Exempt Resales, assuming (i) that the purchasers in the Exempt Resales are QIBs or Accredited Investors or non-U.S. persons (as defined in Rule 902 under the Act) and (ii) the accuracy of the
Initial Purchasers’ representations contained in clauses (a), (b) and (c) of Section 5 hereof. 

  

	(bb)	The Notes are eligible for resale pursuant to Rule 144A under the Act and no other securities of the Company are of the same class (within the meaning of Rule 144A under the Act) as
the Notes and listed on a national securities exchange registered under Section 6 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or quoted in a U.S. automated inter-dealer quotation system. No
securities of the Company of the same class as the Notes have been offered, issued or sold by the Company or any of its affiliates, as such term is defined in Rule 501(b) of the Act (each, an “Affiliate”) within the six-month period
immediately prior to the date hereof. 

  

	(cc)	Neither the Company nor any of its Affiliates or other person acting on behalf of the Company has offered or sold the Notes by means of any general solicitation or general
advertising within the meaning of Rule 502(c) under the Act or, with respect to Notes sold outside the United States to non-U.S. persons, by means of any directed selling efforts within the meaning of Rule 902 under the Act, and the Company, any
Affiliate of the Company and any person acting on behalf of the Company have complied with and will implement the “offering restrictions” within the meaning of such Rule 902; provided, that no representation is made in this
subsection with respect to the actions of the Initial Purchasers. 

  

	(dd)	 Each of the Company, the Subsidiary Guarantor, and each ERISA Affiliate (as defined below) has fulfilled its obligations, if any, under the minimum funding
standards of Section 302 of the United States Employee Retirement Income Security Act of 1974, as amended (“ERISA”) with 

  

 9 

	 	 
respect to each “pension plan” (as defined in Section 3(2) of ERISA), subject to Section 302 of ERISA which the Company, the Subsidiary
Guarantor, or any ERISA Affiliate sponsors or maintains, or with respect to which it has (or within the last three years had) any obligation to make contributions, and each such plan is in compliance in all material respects with the presently
applicable provisions of ERISA and the Internal Revenue Code of 1986, amended (the “Code”). Neither the Company, the Subsidiary Guarantor, nor any ERISA Affiliate has incurred any unpaid liability to the Pension Benefit Guaranty
Corporation (other than for the payment of premiums in the ordinary course) or to any such plan under Title IV of ERISA. “ERISA Affiliate” means a corporation, trade or business that is, along with the Company or the Subsidiary
Guarantor, a member of a controlled group of corporations or a controlled group of trades or businesses, as described in Section 414 of the Code or Section 4001 of ERISA. Each “pension plan” (as defined in section 3(2) of ERISA)
that is maintained by the Company or the Subsidiary Guarantor and which is intended to be tax-qualified under section 401(a) of the Code complies in all material respects with Code section 401(a). 

  

	(ee)	(i) Neither the Company nor the Subsidiary Guarantor is party to or bound by any collective bargaining agreement with any labor organization; (ii) there is no union
representation question existing with respect to the employees of the Company or the Subsidiary Guarantor, and, to the knowledge of the Company after due inquiry, no union organizing activities are taking place that, could, individually or in the
aggregate, have or result in a Material Adverse Effect; (iii) to the Company’s knowledge, no union organizing or decertification efforts are underway or threatened against the Company or the Subsidiary Guarantor; (iv) no labor strike,
work stoppage, slowdown, or other material labor dispute is pending against the Company or the Subsidiary Guarantor, or, to the knowledge of the Company, threatened against the Company or the Subsidiary Guarantor; (iv) there is no worker’s
compensation liability, experience or matter that could be reasonably expected to have or result in a Material Adverse Effect; (v) to the knowledge of the Company, after due inquiry, there is no threatened or pending liability against the
Company or the Subsidiary Guarantor pursuant to the Worker Adjustment Retraining and Notification Act of 1988, as amended (“WARN”), or any similar state or local law; (vi) there is no employment-related charge, complaint,
grievance, investigation, unfair labor practice claim, or inquiry of any kind, pending against the Company or the Subsidiary Guarantor that would reasonably be expected to, individually or in the aggregate, have or result in a Material Adverse
Effect; (vii) to the knowledge of the Company, after due inquiry, no employee or agent of the Company or the Subsidiary Guarantor has committed any act or omission giving rise to liability for any violation identified in subsection (v) and
(vi) above, other than such acts or omissions that would not, individually or in the aggregate, have or result in a Material Adverse Effect; and (viii) no term or condition of employment exists through arbitration awards, settlement
agreements, or side agreement that is contrary to the express terms of any applicable collective bargaining agreement. 

  

	(ff)	None of the transactions contemplated in the Documents or the application of the proceeds as described in “Use of Proceeds” in the Time of Sale Circular and the
Final Offering Circular will violate or result in a violation of Section 7 of the Exchange Act, (including, without limitation, Regulation T (12 C.F.R. Part 220), Regulation U (12 C.F.R. Part 221) or Regulation X (12 C.F.R. Part 224) of the
Board of Governors of the Federal Reserve System). 

  

	(gg)	The Company is not an open-end investment company, unit investment trust or face-amount certificate company that is or is required to be registered under Section 8 of the
United States Investment Company Act of 1940 (the “Investment Company Act”); and the Company is not and, after giving effect to the offering and sale of the Notes and the application of the proceeds thereof as described in
“Use of Proceeds” in the Time of Sale Circular and the Final Offering Circular, will not be an “investment company” as defined in the Investment Company Act. 

  

 10 

	(hh)	The Company has not engaged any broker, finder, commission agent or other person (other than the Initial Purchasers) in connection with the Offering or any of the transactions
contemplated in the Documents, and the Company is not under any obligation to pay any broker’s fee or commission in connection with such transactions (other than commissions or fees to the Initial Purchasers). 

  

	(ii)	Except as disclosed in the Time of Sale Circular and the Final Offering Circular, each of the Company and the Subsidiary Guarantor is (i) in compliance with any and all
applicable foreign, federal, state and local laws and regulations relating to the protection of the environment or hazardous or toxic substances of wastes, pollutants or contaminants (“Environmental Laws”), (ii) has received
and is in compliance with all permits, licenses or other approvals required of them under applicable Environmental Laws to conduct its respective businesses and (iii) has not received notice of any actual or potential liability for the
investigation or remediation of any disposal or release of hazardous or toxic substances or wastes, pollutants or contaminants, except where such non-compliance with Environmental Laws, failure to receive required permits, licenses or other
approvals, or liability would not, individually or in the aggregate, have or result in a Material Adverse Effect, whether or not arising from transactions in the ordinary course of business. Neither the Company nor the Subsidiary Guarantor has been
named as a “potentially responsible party” under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended. 

 In the ordinary course of its business, the Company periodically reviews the effects of Environmental Laws on the business, operations and properties of the Company and the Subsidiary Guarantor and identifies and
evaluates associated costs and liabilities (including, without limitation, any capital or operating expenditures required for clean-up, closure of properties or compliance with Environmental Laws, or any permit, license or approval, any related
constraints on operating activities and any potential liabilities to third parties). On the basis of such review, the Company has reasonably concluded that such associated costs would not have or result in a Material Adverse Effect. 
  

	(jj)	Except as provided in the New Senior Secured Revolving Credit Facility or as described in the Time of Sale Circular and the Final Offering Circular, as of the Closing Date, there
will be no encumbrances or restrictions on the ability of any subsidiary of the Company (x) to pay dividends or make other distributions on such subsidiary’s capital stock or to pay any indebtedness to the Company or any other subsidiary
of the Company, (y) to make loans or advances or pay any indebtedness to, or investments in, the Company or any other subsidiary of the Company or (z) to transfer any of its property or assets to the Company or any other subsidiary of the
Company. 

  

	(kk)	To the knowledge of the Company, Crowe Chizek & Company LLC and Deloitte & Touche LLP, the accountants who have audited the financial statements of the Company and
the Subsidiary Guarantor, included as part of the Time of Sale Circular and the Final Offering Circular, are independent certified public accountants with respect to the Company and the Subsidiary Guarantor under Rule 101 of the American Institute
of Certified Public Accountants’ code of professional conduct and its interpretations and rulings, during the periods covered by the financial statements on which they reported included in the Preliminary Offering Circular.

  

	(ll)	Each certificate signed by any officer of the Company, or the Subsidiary Guarantor, delivered to the Initial Purchasers shall be deemed a representation and warranty by the Company
or the Subsidiary Guarantor (and not individually by such officer) to the Initial Purchasers with respect to the matters covered thereby. 

  

 11 

	(mm)	Each of the Company and the Subsidiary Guarantor are insured by insurers of recognized financial responsibility against such losses and risks and in such amounts as are prudent and
customary in the businesses in which they are engaged. All policies of insurance insuring the Company or the Subsidiary Guarantor or their respective businesses, assets, employees, officers and directors are in full force and effect. The Company and
the Subsidiary Guarantor are in compliance with the terms of such policies and instruments in all material respects, and there are no claims by the Company or the Subsidiary Guarantor under any such policy or instrument as to which any insurance
company is denying liability or defending under a reservation of rights clause. Neither the Company nor the Subsidiary Guarantor has been refused any insurance coverage sought or applied for, and neither the Company nor the Subsidiary Guarantor has
any reason to believe that it will not be able to renew its existing insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue its business at a cost that would not,
individually or in the aggregate, have or result in a Material Adverse Effect. 

  

	(nn)	The use of proceeds from the Offering as described in “Use of Proceeds” in the Time of Sale Circular and the Final Offering Circular shall have been validly
authorized by the Company prior to the application of such proceeds as therein described. 

  

	(oo)	Neither the Company, nor any of its Subsidiaries, nor any director, officer, agent, Affiliate or employee of the Company or any of its Subsidiaries has taken any action which would
cause the Company or any of its Subsidiaries or any of its Affiliates to be in violation of the Foreign Corrupt Practices Act of 1977. 

 4. Covenants of the Company. The Company, on behalf of itself and the Subsidiary Guarantor, hereby agrees: 
  

	(a)	To (i) advise the Initial Purchasers promptly after obtaining knowledge (and, if requested by the Initial Purchasers, confirm such advice in writing) of (A) the issuance
by any state securities commission of any stop order suspending the qualification or exemption from qualification of any of the Notes for offer or sale in any jurisdiction, or the initiation of any proceeding for such purpose by any state securities
commission or other regulatory authority, or (B) the happening of any event that makes any statement of a material fact made in the Time of Sale Circular, any Offering Circular or any Supplemental Offering Material untrue or that requires the
making of any additions to or changes in the Final Offering Circular in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, (ii) use its reasonable best efforts to prevent the
issuance of any stop order or order suspending the qualification or exemption from qualification of any of the Notes under any state securities or Blue Sky laws, and (iii) if, at any time, any state securities commission or other regulatory
authority shall issue an order suspending the qualification or exemption from qualification of any of the Notes under any such laws, use its reasonable best efforts to obtain the withdrawal or lifting of such order at the earliest possible time.

  

	(b)	 To (i) furnish the Initial Purchasers, without charge, as many copies of the Preliminary Offering Circular and the Final Offering Circular, and any amendments
or supplements thereto, as the Initial Purchasers may reasonably request, (ii) promptly prepare the Pricing Supplement, in form and substance satisfactory to the Initial Purchasers, and to furnish to the Initial Purchasers as soon as
practicable, but no later than one hour prior to the Time of Sale, as many copies of the Pricing Supplement as the Initial Purchasers may reasonably request, and (ii) promptly prepare, upon the Initial Purchasers’ reasonable request, any
amendment or supplement to the Final Offering Circular that the Initial Purchasers, upon advice of legal counsel, determine may be necessary in 

  

 12 

	 	 
connection with Exempt Resales (and the Company hereby consents to the use of the Time of Sale Circular and the Final Offering Circular, and any amendments
and supplements thereto, by the Initial Purchasers in connection with Exempt Resales). 

  

	(c)	Not to amend or supplement the Final Offering Circular prior to the Closing Date, or at any time prior to the completion of the resale by the Initial Purchasers of all the Notes
purchased by the Initial Purchasers, unless the Initial Purchasers shall previously have been advised thereof and shall have provided their written consent thereto (which consent shall not be unreasonably withheld or delayed). The Company represents
and agrees that, unless it obtains the prior consent of the Initial Purchasers, it has not made and will not make any offer relating to the Notes by means of any Supplemental Offering Materials. 

  

	(d)	At any time prior to the completion of the resale of the Notes by the Initial Purchasers, (i) if any event shall occur as a result of which, in the reasonable judgment of the
Company or the Initial Purchasers, it becomes necessary or advisable to amend or supplement the Final Offering Circular in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, or if it
is necessary to amend or supplement the Final Offering Circular to comply with Applicable Law, to prepare, at the expense of the Company, an appropriate amendment or supplement to the Final Offering Circular (in form and substance reasonably
satisfactory to the Initial Purchasers) so that (A) as so amended or supplemented, the Final Offering Circular will not include an untrue statement of material fact or omit to state a material fact necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading, and (B) the Final Offering Circular will comply with Applicable Law and (ii) if in the reasonable judgment of the Company it becomes necessary or
advisable to amend or supplement the Final Offering Circular so that the Final Offering Circular will contain all of the information specified in, and meet the requirements of, Rule 144A(d)(4) of the Act, to prepare an appropriate amendment or
supplement to the Final Offering Circular (in form and substance reasonably satisfactory to the Initial Purchasers) so that the Final Offering Circular, as so amended or supplemented, will contain the information specified in, and meet the
requirements of, such Rule. 

  

	(e)	To cooperate with the Initial Purchasers and the Initial Purchasers’ counsel in connection with the qualification of the Notes under the securities or Blue Sky laws of such
jurisdictions as the Initial Purchasers may request and continue such qualification in effect so long as reasonably required for Exempt Resales, provided that the Company shall not be obligated to file any general consent to service of
process or to qualify as a foreign corporation or as a dealer in securities (or otherwise subject itself taxation) in any jurisdiction in which it is not otherwise so subject. 

  

	(f)	 Whether or not any of the Offering or the transactions contemplated under the Documents are consummated or this Agreement is terminated, to pay (i) all costs,
expenses, fees and taxes incident to and in connection with: (A) the preparation, printing and distribution of the Time of Sale Circular, the Final Offering Circular and all amendments and supplements thereto (including, without limitation,
financial statements and exhibits), any Supplemental Offering Material and all other agreements, memoranda, correspondence and other documents prepared and delivered in connection herewith, (B) the printing, processing and distribution
(including, without limitation, word processing and duplication costs) and delivery of, each of the Documents, (C) the preparation, issuance and delivery of the Notes, (D) the qualification of the Notes for offer and sale under the
securities or Blue Sky laws of the several states (including, without limitation, the fees and disbursements of the Initial Purchasers’ counsel relating to such registration or qualification), (E) furnishing such copies of the Time of Sale
Circular, any Offering Circular, and all amendments and supplements thereto, as may reasonably be requested for use by the Initial Purchasers and (F) the performance of the obligations of the Company and 

  

 13 

	 	 
the Subsidiary Guarantor of their respective obligations under the Registration Rights Agreement, including but not limited to the Exchange Offer, the
Exchange Offer Registration Statement and any Shelf Registration Statement, (ii) all fees and expenses of the counsel, accountants and any other experts or advisors retained by the Company, (iii) all expenses and listing fees in connection
with the application for quotation of the Notes in PORTAL, (iv) all fees and expenses (including fees and expenses of counsel) of the Company in connection with approval of the Notes by DTC for “book-entry” transfer, (v) all fees
charged by rating agencies in connection with the rating of the Notes and (vi) all fees and expenses (including reasonable fees and expenses of counsel) of the Trustee and all collateral agents. If the sale of the Notes provided for herein is
not consummated because any condition to the obligations of the Initial Purchasers set forth in Section 6 hereof is not satisfied, because this Agreement is terminated pursuant to Section 8 hereof or because of any failure,
refusal or inability on the part of the Company to perform all obligations and satisfy all conditions on its part to be performed or satisfied hereunder (other than in each such case solely by reason of a default by the Initial Purchasers on their
obligations hereunder after all conditions hereunder have been satisfied in accordance herewith), the Company agrees to promptly reimburse the Initial Purchasers in cash upon demand for all fees, disbursements and out-of-pocket expenses (including
fees, disbursements and charges of Mayer, Brown, Rowe & Maw LLP, counsel for the Initial Purchasers to be paid in cash that shall have been incurred by the Initial Purchasers in connection with the proposed purchase and sale of the Notes.

  

	(g)	To use the proceeds of the Offering in the manner described in the Time of Sale Circular under the caption “Use of Proceeds.” 

  

	(h)	To do and perform all things required to be done and performed under the Documents prior to and after the Closing Date. 

  

	(i)	Not to, and to ensure that no Affiliate of the Company will, sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any “security” (as defined
in the Act) that would be integrated with the sale of the Notes in a manner that would require the registration under the Act of the sale to the Initial Purchasers or to the Subsequent Purchasers of the Notes. 

  

	(j)	For so long as any of the Notes remain outstanding, during any period in which the Company is not subject to Section 13 or 15(d) of the Exchange Act, to make available, upon
request, to any owner of the Notes in connection with any sale thereof and any prospective Subsequent Purchasers of such Notes from such owner, the information required by Rule 144A(d)(4) under the Act. 

  

	(k)	To comply with the representation letter of the Company to DTC relating to the approval of the Notes by DTC for “book entry” transfer. 

  

	(l)	To use its reasonable best efforts to effect the inclusion of the Notes in Private Offerings Resales and Trading through Automated Linkages Market (“PORTAL”).

  

	(m)	For so long as any of the Notes remain outstanding, the Company will furnish to the Initial Purchasers copies of all reports and other communications (financial or otherwise)
furnished by the Company to the Trustee or to the holders of the Notes and, as soon as available, copies of any reports or financial statements furnished to or filed by the Company with the SEC or any national securities exchange on which any class
of securities of the Company may be listed. 

  

 14 

	(n)	Except in connection with the Exchange Offer or the filing of the Shelf Registration Statement, not to, and not to authorize or permit any person acting on its behalf to,
(i) distribute any offering material in connection with the offer and sale of the Notes other than the Time of Sale Circular, the Final Offering Circular and any amendments and supplements to the Final Offering Circular prepared in compliance
with this Agreement, or (ii) solicit any offer to buy or offer to sell the Notes by means of any form of general solicitation or general advertising (including, without limitation, as such terms are used in Regulation D under the Act) or in any
manner involving a public offering within the meaning of Section 4(2) of the Act. 

  

	(o)	During the two year period after the Closing Date (or such shorter period as may be provided for in Rule 144(k) under the Act, as the same may be in effect from time to time), to
not, and to not permit any current or future subsidiaries of either the Company or any other Affiliate controlled by the Company to, resell any of the Notes which constitute “restricted securities” under Rule 144 that have been reacquired
by the Company, any current or future Subsidiaries of the Company or any other Affiliate controlled by the Company, except pursuant to an effective registration statement under the Act. 

  

	(p)	The Company shall pay all stamp, documentary and transfer taxes (other than federal, state and local income taxes of the Initial Purchasers), if any, which may be imposed by the
United States or any political subdivision thereof or taxing authority thereof or therein with respect to the issuance of the Notes or the sale thereof to the Initial Purchasers. 

  

	(q)	When subject to the Exchange Act, the Company shall maintain disclosure controls and procedures (as defined in Rule 13a-14 of the Exchange Act) designed to ensure that information
required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported in accordance with the Exchange Act and the rules and regulations thereunder. When subject to the
Exchange Act, the Company shall carry out evaluations, under supervision and with the participation of the Company’s management, of effectiveness of the design and operation of the Company’s disclosure controls and procedures in accordance
with 13a-15 of the Exchange Act, as applicable. 

 5. Representations and Warranties of the Initial Purchasers.
The Initial Purchasers represent and warrant that: 
  

	(a)	Each of the Initial Purchasers is a QIB as defined in Rule 144A under the Act and each Initial Purchaser will offer the Notes for resale only upon the selling restrictions, terms
and conditions set forth in this Agreement and in the Final Offering Circular. 

  

	(b)	They are not acquiring the Notes with a view to any distribution thereof that would violate the Act or the securities laws of any state of the United States or any other applicable
jurisdiction. In connection with the Exempt Resales, they will solicit offers to buy the Notes only from, and will offer and sell the Notes only to, (A) persons reasonably believed by the Initial Purchasers to be QIBs or (B) persons
reasonably believed by the Initial Purchasers to be Accredited Investors or (C) non-U.S. persons reasonably believed by the Initial Purchasers to be a purchaser referred to in Regulation S under the Act; provided, however, that in
purchasing such Notes, such persons are deemed to have represented and agreed as provided under the caption “Notice to Investors” contained in the Final Offering Circular. 

  

	(c)	 No form of general solicitation or general advertising in violation of the Act has been or will be used nor will any offers in any manner involving a public
offering within the meaning of Section 4(2) of the Act or, with respect to Notes to be sold in reliance on Regulation S, by means of any 

  

 15 

	 	 
directed selling efforts be made by such Initial Purchasers or any of their representatives in connection with the offer and sale of any of the Notes.

  

	(d)	The Initial Purchasers will deliver to each Subsequent Purchaser of the Notes, in connection with their original distribution of the Notes, a copy of the Final Offering Circular, as
amended and supplemented at the date of such delivery. 

 6. Conditions. The obligations of the Initial
Purchasers to purchase the Notes under this Agreement are subject to the satisfaction (or waiver by the Initial Purchasers) of each of the following conditions: 
  

	(a)	All the representations and warranties of the Company and the Subsidiary Guarantor contained in this Agreement and in each of the Documents shall be true and correct as of the date
hereof and at the Closing Date. On or prior to the Closing Date, the Company and each other party to the Documents (other than the Initial Purchasers) shall have performed or complied with all of the agreements and satisfied all conditions on their
respective parts to be performed, complied with or satisfied pursuant to the Documents (other than conditions to be satisfied by such other parties, which the failure to so satisfy would not, individually or in the aggregate, have or result in a
Material Adverse Effect). 

  

	(b)	No injunction, restraining order or order of any nature by a Governmental Authority shall have been issued as of the Closing Date that would prevent or materially interfere with the
consummation of the Offering or any of the transactions contemplated under the Documents; and no stop order suspending the qualification or exemption from qualification of any of the Notes in any jurisdiction shall have been issued and no Proceeding
for that purpose shall have been commenced or, to the knowledge of the Company, be pending or contemplated as of the Closing Date. 

  

	(c)	No action shall have been taken and no Applicable Law shall have been enacted, adopted or issued that would, as of the Closing Date, prevent the consummation of the Offering or any
of the transactions contemplated under the Documents. No Proceeding shall be pending or, to the knowledge of the Company, threatened other than Proceedings that (A) if adversely determined would not, individually or in the aggregate, adversely
affect the issuance or marketability of the Notes, and (B) would not, individually or in the aggregate, have or result in a Material Adverse Effect. 

  

	(d)	Subsequent to the respective dates as of which data and information is given in the Time of Sale Circular and Final Offering Circular, there shall not have been any Material Adverse
Change. 

  

	(e)	The Notes shall have been designated PORTAL securities in accordance with the rules and regulations adopted by the National Association of Securities Dealers, Inc. relating to
trading in PORTAL. 

  

	(f)	 On or after the date hereof, (i) there shall not have occurred any downgrading, suspension or withdrawal of, nor shall any notice have been given of any
potential or intended downgrading, suspension or withdrawal of, or of any review (or of any potential or intended review) for a possible change that does not indicate the direction of the possible change in, any rating of the Company or any
securities of the Company (including, without limitation, the placing of any of the foregoing ratings on credit watch with negative or developing implications or under review with an uncertain direction) by any “nationally recognized
statistical rating organization” as such term is defined for purposes of Rule 436(g)(2) under the Act, (ii) there shall not have occurred 

  

 16 

	 	 
any change, nor shall any notice have been given of any potential or intended change, in the outlook for any rating of the Company or any securities of the
Company by any such rating organization and (iii) no such rating organization shall have given notice that it has assigned (or is considering assigning) a lower rating to the Notes than that on which the Notes were marketed.

  

	(g)	The Initial Purchasers shall have received on the Closing Date: 

  

	 	(i)	certificates dated the Closing Date, signed by (1) the Chief Executive Officer and (2) the principal financial or accounting officer of the Company, on behalf of the
Company, to the effect that (a) the representations and warranties set forth in Section 3 hereof and in each of the Documents are true and correct in all material respects with the same force and effect as though expressly made at
and as of the Closing Date, (b) the Company has performed and complied with all agreements and satisfied all conditions in all material respects on its part to be performed or satisfied at or prior to the Closing Date, (c) at the Closing
Date, since the date hereof or since the date of the most recent financial statements in the Final Offering Circular (exclusive of any amendment or supplement thereto after the date hereof), to the knowledge of such officers, no event or events have
occurred, no information has become known nor does any condition exist that, individually or in the aggregate, would have or result in a Material Adverse Effect, (d) since the date of the most recent financial statements in the Final Offering
Circular (exclusive of any amendment or supplement thereto after the date hereof), other than as described in the Final Offering Circular or contemplated hereby, neither the Company nor the Subsidiary Guarantor has incurred any liabilities or
obligations, direct or contingent, not in the ordinary course of business, that are material to the Company and its Subsidiaries, taken as a whole, or entered into any transactions not in the ordinary course of business that are material to the
business, condition (financial or otherwise) or results of operations or prospects of the Company and the Subsidiary Guarantor, taken as a whole, and there has not been any change in the capital stock or long-term indebtedness of the Company or the
Subsidiary Guarantor that is material to the business, condition (financial or otherwise) or results of operations or prospects of the Company and the Subsidiary Guarantor, taken as a whole, and (e) the sale of the Notes has not been enjoined
(temporarily or permanently). 

  

	 	(ii)	a certificate, dated the Closing Date, executed by the Secretary of the Company and the Subsidiary Guarantor, certifying such matters as the Initial Purchasers may reasonably
request. 

  

	 	(iii)	a certificate of solvency, dated the Closing Date, executed by the principal financial or accounting officer of the Company substantially in the form previously approved by the
Initial Purchasers. 

  

	 	(iv)	the opinion of Morgan, Lewis & Bockius LLP, counsel to the Company, dated the Closing Date, substantially in the form of Exhibit B hereto with such changes that are
agreed to. 

  

	 	(v)	an opinion, dated the Closing Date, of Mayer, Brown, Rowe & Maw LLP, counsel to the Initial Purchasers, in form satisfactory to the Initial Purchasers covering such matters
as are customarily covered in such opinions. 

  

	(h)	 The Initial Purchasers shall have received from Crowe Chizek & Company LLC, independent public accountants under the standards established by the American
Institute of Certified Public Accountants, with respect to the Company, (A) a customary comfort letter, dated the date of this 

  

 17 

	 	 
Agreement, in form and substance reasonably satisfactory to the Initial Purchasers, with respect to certain financial statements and certain financial
information contained in the Time of Sale Circular, (B) a customary comfort letter, dated the date of the Final Offering Circular, in the form reasonably satisfactory to the Initial Purchasers, with respect to certain financial statements and
certain financial information contained in the Final Offering Circular, (C) a customary comfort letter, dated the Closing Date, in form and substance reasonably satisfactory to the Initial Purchasers, to the effect that Crowe Chizek &
Company LLC reaffirms the statements made in its letter furnished pursuant to clause (B). 

  

	(i)	The Initial Purchasers shall have received from Deloitte & Touche LLP, independent public accountants under the standards established by the American Institute of Certified
Public Accountants, with respect to the Company, (A) a customary comfort letter, dated the date of this Agreement, in form and substance reasonably satisfactory to the Initial Purchasers, with respect to certain financial statements and certain
financial information contained in the Time of Sale Circular, (B) a customary comfort letter, dated the date of the Final Offering Circular, in the form reasonably satisfactory to the Initial Purchasers, with respect to certain financial
statements and certain financial information contained in the Final Offering Circular, (C) a customary comfort letter, dated the Closing Date, in form and substance reasonably satisfactory to the Initial Purchasers, to the effect that
Deloitte & Touche LLP reaffirms the statements made in its letter furnished pursuant to clause (B). 

  

	(j)	Each of this Agreement, the New Senior Secured Revolving Credit Facility, the Indenture, the Registration Rights Agreement, the Notes and the Guarantees shall have been executed and
delivered by all parties thereto, and the Initial Purchasers shall have received a fully executed original of each of the Documents. 

  

	(k)	The Initial Purchasers shall have received copies of all opinions, certificates, letters and other documents delivered under or in connection with the Offering or any transaction
contemplated in the Documents. 

  

	(l)	The terms of each Document shall conform in all material respects to the description thereof in the Time of Sale Circular. 

 7. Indemnification and Contribution. 
  

	(a)	The Company and the Subsidiary Guarantor jointly and severally agree to indemnify and hold harmless the Initial Purchasers, and each person, if any, who controls the Initial
Purchasers within the meaning of Section 15 of the Act or Section 20 of the Exchange Act, against any losses, claims, damages or liabilities of any kind to which the Initial Purchasers or such controlling person may become subject under
the Act, the Exchange Act or otherwise, insofar as any such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon: 

  

	 	(i)	any untrue statement or alleged untrue statement of any material fact contained in the Time of Sale Circular, any Offering Circular or any amendment or supplement thereto or any
Supplemental Offering Materials; or 

  

	 	(ii)	the omission or alleged omission to state, in the Time of Sale Circular, any Offering Circular or any amendment or supplement thereto or any Supplemental Offering Materials, a
material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; 

  

 18 

 and, subject to the provisions hereof, will reimburse, as incurred, the Initial Purchasers and each such
controlling person for any legal or other expenses reasonably incurred by the Initial Purchasers or such controlling person in connection with investigating, defending against or appearing as a third-party witness in connection with any such loss,
claim, damage, liability or action in respect thereof; provided, however, the Company and the Subsidiary Guarantor will not be liable in any such case to the extent (but only to the extent) that any such loss, claim, damage or
liability is judicially determined by a court of competent jurisdiction in a final, unappealable judgment, to have resulted solely from any untrue statement or alleged untrue statement or omission or alleged omission made in the Time of Sale
Circular, any Offering Circular or any amendment or supplement thereto or any Supplemental Offering Materials in reliance upon and in conformity with written information concerning the Initial Purchasers furnished to the Company by the Initial
Purchasers specifically for use therein. This indemnity agreement will be in addition to any liability that the Company and the Subsidiary Guarantor may otherwise have to the indemnified parties. The Company and the Subsidiary Guarantor shall not be
liable under this Section 7 for any settlement of any claim or action effected without their prior written consent, which shall not be unreasonably withheld. 
  

	(b)	The Initial Purchasers agree, severally and not jointly, to indemnify and hold harmless each of the Company, the Subsidiary Guarantor and their respective directors, officers and
each person, if any, who controls the Company within the meaning of Section 15 of the Act or Section 20 of the Exchange Act against any losses, claims, damages or liabilities to which the Company, the Subsidiary Guarantor or any such
director, officer or controlling person may become subject under the Act, the Exchange Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) are finally judicially determined by a court of competent
jurisdiction in a final, unappealable judgment, to have resulted solely from (i) any untrue statement or alleged untrue statement of any material fact contained in the Time of Sale Circular, any Offering Circular or any amendment or supplement
thereto or any Supplemental Offering Materials or (ii) the omission or the alleged omission to state therein a material fact required to be stated in the Time of Sale Circular, any Offering Circular or any amendment or supplement thereto or any
Supplemental Offering Materials or necessary to make the statements therein not misleading, in each case to the extent (but only to the extent) that such untrue statement or alleged untrue statement or omission or alleged omission was made in
reliance upon and in conformity with written information concerning such Initial Purchasers, furnished to the Company or its agents by the Initial Purchasers specifically for use therein; and, subject to the limitation set forth immediately
preceding this clause, will reimburse, as incurred, any legal or other expenses incurred by the Company, the Subsidiary Guarantor or any such director, officer or controlling person in connection with any such loss, claim, damage, liability or
action in respect thereof. This indemnity agreement will be in addition to any liability that the Initial Purchasers may otherwise have to the indemnified parties. 

  

	(c)	 As promptly as reasonably practical after receipt by an indemnified party under this Section 7 of notice of the commencement of any action for which
such indemnified party is entitled to indemnification under this Section 7, such indemnified party will, if a claim in respect thereof is to be made against the indemnifying party under this Section 7, notify the indemnifying
party of the commencement thereof in writing; but the omission to so notify the indemnifying party (i) will not relieve such indemnifying party from any liability under paragraph (a) or (b) above unless and only to the extent it is
materially prejudiced as a result thereof and (ii) will not, in any event, relieve the indemnifying party from any obligations to any indemnified party other than the indemnification obligation provided in paragraphs (a) and
(b) above. In case any such action is brought against any indemnified party, and it notifies the indemnifying party of the commencement thereof, the indemnifying party will be entitled to participate therein and, to the extent that it may
determine, jointly with any other indemnifying party similarly notified, to 

  

 19 

	 	 
assume the defense thereof, with counsel reasonably satisfactory to such indemnified party; provided, however, that if (i) the use of
counsel chosen by the indemnifying party to represent the indemnified party would present such counsel with a conflict of interest, (ii) the defendants in any such action include both the indemnified party and the indemnifying party, and the
indemnified party shall have been advised by counsel in writing that there may be one or more legal defenses available to it and/or other indemnified parties that are different from or additional to those available to the indemnifying party, or
(iii) the indemnifying party shall not have employed counsel reasonably satisfactory to the indemnified party to represent the indemnified party within a reasonable time after receipt by the indemnifying party of notice of the institution of
such action, then, in each such case, the indemnifying party shall not have the right to direct the defense of such action on behalf of such indemnified party or parties and such indemnified party or parties shall have the right to select separate
counsel to defend such action on behalf of such indemnified party or parties at the expense of the indemnifying party. After notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof and approval
by such indemnified party of counsel appointed to defend such action, the indemnifying party will not be liable to such indemnified party under this Section 7 for any legal or other expenses, other than reasonable costs of investigation,
subsequently incurred by such indemnified party in connection with the defense thereof, unless (i) the indemnified party shall have employed separate counsel in accordance with the proviso to the immediately preceding sentence (it being
understood, however, that in connection with such action the indemnifying party shall not be liable for the expenses of more than one separate counsel (in addition to local counsel) in any one action or separate but substantially similar actions in
the same jurisdiction arising out of the same general allegations or circumstances, designated by the Initial Purchasers in the case of paragraph (a) of this Section 7 or the Company in the case of paragraph (b) of this
Section 7, representing the indemnified parties under such paragraph (a) or paragraph (b), as the case may be, who are parties to such action or actions) or (ii) the indemnifying party has authorized in writing the employment
of counsel for the indemnified party at the expense of the indemnifying party. After such notice from the indemnifying party to such indemnified party, the indemnifying party will not be liable for the costs and expenses of any settlement of such
action effected by such indemnified party without the prior written consent of the indemnifying party (which consent shall not be unreasonably withheld), unless such indemnified party waived in writing its rights under this Section 7, in
which case the indemnified party may effect such a settlement without such consent. 

  

	(d)	No indemnifying party shall be liable under this Section 7 for any settlement of any claim or action (or threatened claim or action) effected without its written
consent, which shall not be unreasonably withheld, but if a claim or action is settled with its written consent, or if there be a final judgment for the plaintiff with respect to any such claim or action, each indemnifying party jointly and
severally agrees (other than the Initial Purchasers whose agreement is several but not joint), subject to the exceptions and limitations set forth above, to indemnify and hold harmless each indemnified party from and against any and all losses,
claims, damages or liabilities (and legal and other expenses as set forth above) incurred by reason of such settlement or judgment. No indemnifying party shall, without the prior written consent of the indemnified party (which consent shall not be
unreasonably withheld), effect any settlement or compromise of any pending or threatened proceeding in respect of which the indemnified party is or could have been a party, or indemnity could have been sought hereunder by the indemnified party,
unless such settlement (A) includes an unconditional written release of the indemnified party, in form and substance satisfactory to the indemnified party, from all liability on claims that are the subject matter of such proceeding and
(B) does not include any statement as to an admission of fault, culpability or failure to act by or on behalf of the indemnified party. 

  

 20 

	(e)	In circumstances in which the indemnity agreement provided for in the preceding paragraphs of this Section 7 is unavailable to, or insufficient to hold harmless, an
indemnified party in respect of any losses, claims, damages or liabilities (or actions in respect thereof), each indemnifying party, in order to provide for just and equitable contributions, shall contribute to the amount paid or payable by such
indemnified party as a result of such losses, claims, damages or liabilities (or actions in respect thereof) in such proportion as is appropriate to reflect (i) the relative benefits received by the indemnifying party or parties, on the one
hand, and the indemnified party, on the other, from the Offering or (ii) if the allocation provided by the foregoing clause (i) is not permitted by applicable law, not only such relative benefits but also the relative fault of the
indemnifying party or parties, on the one hand, and the indemnified party, on the other, in connection with the statements or omissions or alleged statements or omissions that resulted in such losses, claims, damages or liabilities (or actions in
respect thereof). The relative benefits received by the Company, on the one hand, and each Initial Purchaser, on the other, shall be deemed to be in the same proportion as the total proceeds from the Offering (before deducting expenses) received by
the Company bear to the total discounts and commissions received by the Initial Purchasers. The relative fault of the parties shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact
or the omission or alleged omission to state a material fact relates to information supplied by the Company, on the one hand, or the Initial Purchasers, on the other, the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent such statement or omission or alleged statement or omissions, and any other equitable considerations appropriate in the circumstances. The obligations of the Initial Purchasers to contribute pursuant to this
Section 7(e) are several in proportion to the respective number of Notes to be purchased by each of the Initial Purchasers hereunder and not joint. 

  

	(f)	The Company, the Subsidiary Guarantor and the Initial Purchasers agree that it would not be equitable if the amount of such contribution determined pursuant to the immediately
preceding paragraph (e) were determined by pro rata or per capita allocation or by any other method of allocation that does not take into account the equitable considerations referred to in the first sentence of the immediately preceding
paragraph (e). Notwithstanding any other provision of this Section 7, the Initial Purchasers shall not be obligated to make contributions hereunder that in the aggregate exceed the total discounts, commissions and other compensation
received by such Initial Purchasers under this Agreement, less the aggregate amount of any damages that such Initial Purchasers have otherwise been required to pay by reason of the untrue or alleged untrue statements or the omissions or alleged
omissions to state a material fact. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. For
purposes of the immediately preceding paragraph (e), each person, if any, who controls the Initial Purchasers within the meaning of Section 15 of the Act or Section 20 of the Exchange Act shall have the same rights to contribution as the
Initial Purchasers, and each director of the Company and the Subsidiary Guarantor, each officer of the Company and the Subsidiary Guarantor and each person, if any, who controls the Company or the Subsidiary Guarantor within the meaning of
Section 15 of the Act or Section 20 of the Exchange Act, shall have the same rights to contribution as the Company. 

 8. Termination. The Initial Purchasers may terminate this Agreement at any time prior to the Closing Date by written notice to the Company if any of the following has occurred: 
  

	(a)	 since the date hereof, any Material Adverse Effect or development involving or reasonably expected to result in a prospective Material Adverse Effect that could, in
the Initial Purchasers’ reasonable judgment, be expected to (i) make it impracticable or inadvisable to proceed with the 

  

 21 

	 	 
offering or delivery of the Notes on the terms and in the manner contemplated in the Final Offering Circular or (ii) materially impair the investment
quality of any of the Notes; 

  

	(b)	the failure of the Company or the Subsidiary Guarantor to satisfy the conditions contained in Section 6(a) hereof on or prior to the Closing Date;

  

	(c)	any outbreak or escalation of hostilities or other national or international calamity or crisis, including acts of terrorism, or material adverse change or disruption in economic
conditions in, or in the financial markets of, the United States (it being understood that any such change or disruption shall be relative to such conditions and markets as in effect on the date hereof), if the effect of such outbreak, escalation,
calamity, crisis, act or material adverse change in the economic conditions in, or in the financial markets of, the United States could be reasonably expected to make it, in the Initial Purchasers’ judgment, impracticable or inadvisable to
market or proceed with the offering or delivery of the Notes on the terms and in the manner contemplated in the Final Offering Circular or to enforce contracts for the sale of any of the Notes; 

  

	(d)	the suspension or limitation of trading generally in securities on the New York Stock Exchange, the American Stock Exchange or the NASDAQ National Market or any setting of
limitations on prices for securities on any such exchange or NASDAQ National Market; 

  

	(e)	the enactment, publication, decree or other promulgation after the date hereof of any Applicable Law that in the Initial Purchasers’ counsel’s reasonable opinion
materially and adversely affects, or could be reasonably expected to materially and adversely affect, the properties, business, prospects, operations, earnings, assets, liabilities or condition (financial or otherwise) of the Company and the
Subsidiary Guarantor, taken as a whole; 

  

	(f)	any securities of the Company shall have been downgraded or placed on any “watch list” for possible downgrading by any “nationally recognized statistical rating
organization,” as such term is defined for purposes of Rule 436(g)(2) under the Act; or 

  

	(g)	the declaration of a banking moratorium by any Governmental Authority; or the taking of any action by any Governmental Authority after the date hereof in respect of its monetary or
fiscal affairs that in the Initial Purchasers’ opinion could reasonably be expected to have a material adverse effect on the financial markets in the United States or elsewhere. 

 9. Survival of Representations and Indemnities. The representations and warranties, covenants, indemnities and contribution and expense
reimbursement provisions and other agreements, representations and warranties of the Company and the Subsidiary Guarantor set forth in or made pursuant to this Agreement shall remain operative and in full force and effect, and will survive,
regardless of (i) any investigation, or statement as to the results thereof, made by or on behalf of the Initial Purchasers, (ii) acceptance of the Notes, and payment for them hereunder, and (iii) any termination of this Agreement.

 10. Default by an Initial Purchaser. If an Initial Purchaser shall breach its obligations to purchase the Notes that it has
agreed to purchase hereunder on the Closing Date and arrangements satisfactory to the Company for the purchase of such Notes are not made within 36 hours after such default, this Agreement shall terminate with respect to such Initial Purchaser
without liability on the part of the Company or the non-defaulting Initial Purchaser. Nothing herein shall relieve the defaulting Initial Purchaser from liability for its default. 
  

 22 

 11. Information Supplied by the Initial Purchasers. The statements set forth on the cover
page with respect to price and in the first and second sentences of the third paragraph, the sixth and seventh sentence of the fifth paragraph, the sixth paragraph and the seventh paragraph under the heading “Plan of Distribution” in the
Preliminary Offering Circular and the Final Offering Circular (to the extent such statements relate to the Initial Purchasers) constitute the only information furnished by the Initial Purchasers to the Company or the Subsidiary Guarantor for the
purposes of Sections 3(a) and 11 hereof. 
 12. Miscellaneous. 
  

	 (a)
	 Notices given pursuant to any provision of this Agreement shall be addressed as follows: (i) if to the Company, to:
4001 Philadelphia Pike, Claymont, Delaware 19703, Attention: Allen Egner, with a copy to: Morgan, Lewis & Bockius LLP, One Oxford Centre, 301 Grant Street 32nd Floor, Pittsburgh, PA 15219, Attention: Kimberly A. Taylor, Esq., and (ii) if to the Initial Purchasers, to: (a) Jefferies & Company, Inc.,
520 Madison Avenue, 12th Floor, New York, New York 10022, Attention: Lloyd H. Feller, Esq. and (b) CIBC World
Markets Corp., 300 Madison Avenue, 4th Floor, New York, New York 10017, Attention: Mark Henkels, with a copy to:
Mayer, Brown, Rowe & Maw LLP, 1675 Broadway, New York, New York 10019-5820, Attention: Ronald S. Brody, Esq., (or in any case to such other address as the person to be notified may have requested in writing). 

 

	(b)	This Agreement has been and is made solely for the benefit of and shall be binding upon the Company, the Subsidiary Guarantor, the Initial Purchasers and, to the extent provided in
Section 7 hereof, the controlling persons, officers, directors, partners, employees, representatives and agents referred to in Section 7, and their respective heirs, executors, administrators, successors and assigns, all as
and to the extent provided in this Agreement, and no other person shall acquire or have any right under or by virtue of this Agreement. The term “successors and assigns” shall not include a purchaser of any of the Notes from the Initial
Purchasers merely because of such purchase. Notwithstanding the foregoing, it is expressly understood and agreed that each purchaser who purchases Notes from the Initial Purchasers is intended to be a beneficiary of the Company’s covenants
contained in the Registration Rights Agreement to the same extent as if the Notes were sold and those covenants were made directly to such purchaser by the Company, and each such purchaser shall have the right to take action against the Company to
enforce, and obtain damages for any breach of, those covenants. 

  

	(c)	THE VALIDITY AND INTERPRETATION OF THIS AGREEMENT, AND THE TERMS AND CONDITIONS SET FORTH HEREIN SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
NEW YORK APPLICABLE TO CONTRACTS MADE AND TO BE PERFORMED WHOLLY THEREIN, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW. 

  

	(d)	This Agreement may be signed in various counterparts, which together shall constitute one and the same instrument. 

  

	(e)	The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof. 

  

	(f)	 If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the
remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their best efforts to find and 

  

 23 

	 	 
employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision, covenant or restriction. It is
hereby stipulated and declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared invalid, illegal, void or
unenforceable. 

  

	(g)	This Agreement may be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may be given, provided that the same are in writing and
signed by all of the signatories hereto. 

  

 24 

 Please confirm that the foregoing correctly sets forth the agreement among the Company, the Subsidiary
Guarantor and the Initial Purchasers. 
  

			
	Very truly yours,
	
	CLAYMONT STEEL, INC.
		
	By:	 	/s/ Jeff Bradley
		 	Name: Jeff Bradley
		 	Title:   Chief Executive Officer
	
	CITISTEEL PA, INC., as Guarantor
		
	By:	 	/s/ Jeff Bradley
		 	Name: Jeff Bradley
		 	Title:   President

 Purchase Agreement 

			
	Accepted and Agreed to:
	
	JEFFERIES & COMPANY, INC.
		
	By:	 	/s/ Peter J. Scott
		 	Name: Peter J. Scott
		 	Title:   Managing Director

 Purchase Agreement 

			
	CIBC WORLD MARKETS CORP.
		
	By:	 	/s/ Brian S. Perman
		 	Name: Brian S. Perman
		 	Title:   Managing Director

 Purchase Agreement 

 EXHIBIT A 
 PRICING SUPPLEMENT 
  

					
	Confidential – Summary of Final Terms	  	$ 105,000,000	  	February 5, 2007

 

 
 8.875% Senior Notes due 2015 
  

 This summary pricing sheet relates only to the
securities described below and should only be read together with the Preliminary Offering Circular, dated February 5, 2007, relating to these securities. Capitalized terms not defined herein have the meanings assigned to them in the Preliminary
Offering Circular. 
  

							
	 Issuer
	  	Claymont Steel, Inc.
		
	 Security Description
	  	Senior Notes.
	 Distribution
	  	144A / IAI / Regulation S – With Registration Rights.
		
	 Principal Amount
	  	$105,000,000.
	 Gross Proceeds
	  	$105,000,000.
		
	 Coupon
	  	8.875%.
		
	 Maturity Date
	  	February 15, 2015.
		
	 Issue Price
	  	100%.
	 Yield to Maturity
	  	8.875%.
		
	 Ratings (Moody’s / S&P)
	  	B3 / CCC+.
		
	 Interest Payment Dates
	  	February 15 and August 15, commencing August 15, 2007
		
	 Call Features
	  	Non-callable for four years and thereafter at the following prices:
	  	  	 For the Period Below
	  	Percentage
		  	 On or after February 15, 2011
	  	104.438%
		  	 On or after February 15, 2012
	  	102.219%
		  	 On or after February 15, 2013
	  	100.000%
	 Equity Clawback
	  	35% at 108.875% (prior to February 15, 2010).
		
	 Change of Control Offer
	  	101%.
		
	 Trade Date
	  	Monday, February 5, 2007.
	 Settlement Date
	  	Thursday, February 15, 2007 (T+8).
	  	  	 144A
	  	IAI	  	 Regulation S

	 CUSIP Numbers
	  	18382QAA0	  	18382QAB8	  	U1821CAA3
		
	 Sole Book-Running Manager
	  	Jefferies & Company, Inc.
	 Co-Manager
	  	CIBC World Markets Corp.

 THE NOTES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY OTHER STATE SECURITIES LAWS. UNLESS THEY ARE REGISTERED, THE NOTES MAY BE OFFERED ONLY IN TRANSACTIONS EXEMPT FROM OR NOT SUBJECT TO REGISTRATION UNDER THE SECURITIES ACT, OR ANY OTHER STATE SECURITIES LAWS. ACCORDINGLY, THE NOTES
HAVE BEEN OFFERED ONLY TO QUALIFIED INSTITUTIONAL BUYERS AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT, TO NON-U.S. PERSONS OUTSIDE THE UNITED STATES UNDER REGULATION S OF THE SECURITIES ACT OR TO INSTITUTIONAL “ACCREDITED INVESTORS”
WITHIN THE MEANING OF RULE 501(a)(1), (2), (3), OR (7) OF THE SECURITIES ACT WHO HAVE DELIVERED A LETTER IN THE FORM ATTACHED AS ANNEX A TO THE PRELIMINARY OFFERING CIRCULAR. 
  

 

 

 EXHIBIT B 
 FORM OF OPINIONS OF 
 MORGAN, LEWIS & BOCKIUS LLP 
 Set forth below are the proposed opinions to be included in the proposed form of opinion of Morgan, Lewis & Bockius LLP. This Exhibit B will
be replaced with the actual form of opinion and it is our intent to negotiate the form of such opinion in its entirety (including the assumptions, qualifications and limitations to be contained therein). 
 (i) The Company is a corporation validly existing and in good standing under the laws of the State of Delaware, with the requisite corporate power and
authority to own, lease and operate its properties and to conduct its business as described in the Time of Sale Circular and the Offering Circular, to execute and deliver the Documents to which it is a party, and to issue, sell and deliver the Notes
as contemplated by the Purchase Agreement. 
 (ii) The Guarantor is a corporation validly subsisting under the laws of the Commonwealth of
Pennsylvania, with the requisite corporate power and authority to own, lease and operate its properties and to conduct its business as described in the Offering Circular and to execute and deliver the Documents to which it is a party, and to issue
and deliver its Guarantee as contemplated by the Purchase Agreement. 
 (iii) Each of the Company and the Guarantor is duly qualified to do
business as a foreign corporation in the jurisdictions listed opposite its name on Schedule I hereto. 
 (iv) The Notes have been duly
authorized and, when executed and authenticated in accordance with the provisions of the Indenture and delivered to and paid for by the Initial Purchasers under the Purchase Agreement, will constitute legal, valid and binding obligations of the
Company enforceable against the Company in accordance with their terms and entitled to the benefits of the Indenture and the Registration Rights Agreement. 
 (v) The Guarantee has been duly authorized by the Guarantor and, when executed and delivered and upon delivery of the Notes to the Initial Purchasers in accordance with the Indenture and the Purchase Agreement, will
constitute legal, valid and binding obligations of the Guarantor enforceable against the Guarantor in accordance with its terms and entitled to the benefits of the Indenture and the Registration Rights Agreement. 
 (vi) The execution, delivery and performance of the Exchange Notes and the Private Exchange Notes have been duly and validly authorized by the Company,
and if and when executed and delivered by the Company in accordance with the terms of the Registration Rights Agreement and of the Indenture will be the valid and legally binding obligations of the Company, entitled to the benefits of the Indenture
and the Registration Rights Agreement, and enforceable against the Company in accordance with their terms. 
 (vii) The execution, delivery
and performance of the Exchange Guarantee and the Private Exchange Guarantee have been duly and validly authorized by the Guarantor, and when executed and delivered by the Guarantor in accordance with the terms of the Registration Rights Agreement
and the Indenture will be legal, valid and binding obligations of the Guarantor, entitled to the benefits of the Indenture and the Registration Rights Agreement, and enforceable against the Guarantor in accordance with their terms. 

 (viii) The Registration Rights Agreement has been duly authorized, executed and delivered by the Company
and the Guarantor and constitutes the legal, valid and binding obligation of the Company and the Guarantor, enforceable against the Company and the Guarantor in accordance with its terms. 
 (ix) The Purchase Agreement has been duly authorized, executed and delivered by the Company and the Guarantor. 
 (x) The Indenture has been duly authorized, executed and delivered by the Company and the Guarantor and constitutes a legal, valid and binding obligation
of the Company and the Guarantor enforceable against the Company and the Guarantor in accordance with its terms. 
 (xi) The New Senior
Secured Revolving Credit Facility has been duly authorized, executed and delivered by the Company and the Guarantor and constitutes a legal, valid and binding obligation of the Company and the Guarantor enforceable against the Company and the
Guarantor in accordance with its terms. 
 (xii) The statements set forth under the heading “Description of the Notes” and
“Exchange Offer and Registration Rights Relating to the Notes” set forth in the Time of Sale Circular and the Final Offering Circular, in so far as such statements purport to summarize certain provisions of the Notes, the Guarantee, the
Indenture and the Registration Rights Agreement, provide a fair summary of such provisions in all material respects. 
 (xiii) The
description in the Time of Sale Circular and the Final Offering Circular under the caption “United States Federal Taxation,” to the extent that it relates to matters of United States federal income tax law, is accurate in all material
respects. 
 IRS Circular 230 Disclosure. To ensure compliance with the requirements imposed by the Internal Revenue Service, we inform
you that any United States federal tax advice contained herein does not deal with a taxpayer’s particular circumstances. Further, such advice was written in connection with the promotion, marketing or recommending of the transactions or matters
described herein. This advice was not intended or written to be used, and cannot be used, for the purpose of avoiding penalties under the Internal Revenue Code. Taxpayers should consult their own tax advisors regarding the tax consequences to them
of their own particular circumstances. 
 (xiv) The descriptions in the Time of Sale Circular, the Preliminary Offering Circular and the
Final Offering Circular under the headings, “Certain Relationships and Related Transactions” and “Plan of Distribution,” in each case, insofar as such descriptions constitute terms of agreements, provide fair descriptions of such
terms in all material respects. 
 (xv) The execution, delivery and performance by the Company or the Guarantor of the Documents to which the
Company or the Guarantor is a party, the issuance and sale of the Notes and the Guarantee and the consummation by the Company and the Guarantor of the other transactions contemplated therein, do not and will not conflict with, violate, constitute a
breach of or a default (with the passage of time or otherwise) under, result in the imposition of a Lien on the assets of the Company or the Guarantor (except for Permitted Liens), or result in an acceleration of indebtedness under or pursuant to
(i) result in a violation of the Certificate of Incorporation or Articles of Incorporation or Bylaws of the Company or the Guarantor, (ii) any agreement listed on Schedule II hereto, (iii) any federal law of the United States or any
law of the State of New York or the Commonwealth of Pennsylvania or any regulation thereunder or any provision of the Delaware General Corporation Law or (iv) any judicial or administrative judgment, order or decree known to us to which the
Company or the Guarantor is subject. 

 (xvi) No consent, authorization, approval or order of or filing with any federal or state governmental or
regulatory commission, board, body, authority or agency is required to be obtained or made by the Company or any Guarantor in connection with the execution, delivery or performance by the Company or the Guarantor of any of the Documents to which it
is a party, the issuance and sale of the Notes and the Guarantee, and the consummation by the Company and the Guarantor of the other transactions contemplated by the Documents (other than the filing of a registration statement by the Company and the
Guarantor pursuant to the Securities Act as required by the Registration Rights Agreement); provided, however, that we express no opinion as to state securities or blue sky laws. 
 (xvii) Assuming the accuracy of the representations and warranties of the Initial Purchasers and compliance with the agreements of the Initial Purchasers
contained in the Purchase Agreement, no registration of the Notes under the Securities Act, and no qualification of an indenture under the Trust Indenture Act, is required for (i) the offer and sale of the Notes to the Initial Purchasers and
(ii) the initial offer and sale by the Initial Purchasers of the Notes in the manner contemplated by the Purchase Agreement. 
 (xviii)
The issuance and sale by the Company of the Notes as contemplated by the Purchase Agreement does not violate Regulation T, U or X of the Board of Governors of the Federal Reserve System. 
 (xix) Neither the Company nor the Subsidiary Guarantor is and, after giving effect to the issuance and sale of the Notes, will be, an “investment
company,” as such term is defined in the Investment Company Act of 1940, as amended. 
 In addition to the foregoing opinions, we advise
you supplementally that we have participated in conferences with officers and other representatives of the Company, representatives of the Initial Purchasers and their counsel, and representatives of the independent registered accounting firm of the
Company, at which conferences the contents of the Time of Sale Circular and Final Offering Circular were discussed. Although we are not passing upon and do not assume any responsibility for the accuracy, completeness or fairness of the statements
contained in the Time of Sale Circular and the Offering Circular (except as and to the extent set forth in paragraphs xiv and xvi above), on the basis of the foregoing and the information disclosed to us, but without independent check and
verification, and relying as to materiality on representations and statements of officers and other representatives of the Company, we confirm to you that no fact has come to our attention that has led us to believe that the Final Offering Circular,
as of its date and at the date hereof, contained or contains any untrue statement of a material fact, or omitted or omits to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they
were made, not misleading (it being understood that we do not express any belief with respect to the financial statements, schedules, notes, and other financial and accounting data, included in the Final Offering Circular) or that the Time of Sale
Circular, as of the Applicable Time, contained an untrue statement of a material fact or omitted to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading
(it being understood that we do not express any belief with respect to the financial statements, schedules, notes, and other financial and accounting data, included in the Time of Sale Circular). 

 EXHIBIT C 
  

							
	 Initial Purchaser
	  	Principal Amount	  	Purchase Price
	 Jefferies & Company, Inc.
	  	$	94,500,000	  	$	92,137,500
	 CIBC World Markets Corp.
	  	$	10,500,000	  	$	10,237,500

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