Document:

exv10w3

Exhibit 10.3

 

NOTE PURCHASE AGREEMENT

among

BRAVO DEVELOPMENT, INC.

as Borrower,

BRAVO DEVELOPMENT HOLDINGS LLC,

and

THE DOMESTIC SUBSIDIARIES OF THE BORROWER

FROM TIME TO TIME PARTIES HERETO,

as Guarantors,

THE PURCHASERS PARTIES HERETO,

and

GOLUB CAPITAL INCORPORATED,

as Administrative Agent,

Dated as of June 29, 2006

$27,500,000

13.25% SENIOR SUBORDINATED SECURED NOTES

DUE DECEMBER 29, 2012

 

THIS AGREEMENT IS SUBORDINATED TO THE PRIOR PAYMENT AND SATISFACTION IN CASH OF ALL SENIOR
INDEBTEDNESS, AS DEFINED IN THE INTERCREDITOR AGREEMENT DATED AS OF JUNE 29, 2006, AS THE SAME MAY
BE AMENDED, MODIFIED, RESTATED OR SUPPLEMENTED FROM TIME TO TIME, TO THE EXTENT, AND IN THE MANNER
PROVIDED IN SUCH INTERCREDITOR AGREEMENT.

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	ARTICLE I DEFINITIONS
	 	 	1	 
	 
	 	 	 	 
	Section 1.1 Defined Terms
	 	 	1	 
	Section 1.2 Other Definitional Provisions
	 	 	23	 
	Section 1.3 Accounting Terms
	 	 	23	 
	Section 1.4 Time References
	 	 	24	 
	 
	 	 	 	 
	ARTICLE II PURCHASE AND SALE; TERMS OF THE NOTES
	 	 	24	 
	 
	 	 	 	 
	Section 2.1 Note Register; Notes
	 	 	24	 
	Section 2.2 Payment of Purchase Price
	 	 	25	 
	Section 2.3 Fees, Costs and Expenses
	 	 	25	 
	Section 2.4 Manner of Payment
	 	 	25	 
	Section 2.5 Terms of the Notes
	 	 	25	 
	Section 2.6 Use of Proceeds
	 	 	29	 
	 
	 	 	 	 
	ARTICLE III REPRESENTATIONS AND WARRANTIES
	 	 	30	 
	 
	 	 	 	 
	Section 3.1 Financial Condition; Projections
	 	 	30	 
	Section 3.2 No Change
	 	 	31	 
	Section 3.3 Corporate Existence
	 	 	31	 
	Section 3.4 Corporate Power; Authorization; Enforceable Obligations
	 	 	31	 
	Section 3.5 Compliance with Laws; No Conflict; No Default
	 	 	32	 
	Section 3.6 No Material Litigation
	 	 	32	 
	Section 3.7 Investment Company Act; Etc
	 	 	33	 
	Section 3.8 Margin Regulations
	 	 	33	 
	Section 3.9 ERISA
	 	 	33	 
	Section 3.10 Environmental Matters
	 	 	33	 
	Section 3.11 Subsidiaries; Capitalization
	 	 	34	 
	Section 3.12 Ownership of Property and Assets
	 	 	35	 
	Section 3.13 Taxes
	 	 	35	 
	Section 3.14 Intellectual Property Rights
	 	 	36	 
	Section 3.15 Solvency
	 	 	36	 
	Section 3.16 Location of Collateral, Etc
	 	 	36	 
	Section 3.17 No Burdensome Restrictions
	 	 	37	 
	Section 3.18 Labor Matters
	 	 	37	 
	Section 3.19 Accuracy and Completeness of Information
	 	 	37	 
	Section 3.20 Material Contracts
	 	 	37	 
	Section 3.21 Insurance
	 	 	37	 
	Section 3.22 Security Documents
	 	 	38	 
	Section 3.23 Regulation H
	 	 	38	 
	Section 3.24 Classification of Senior Indebtedness
	 	 	38	 
	Section 3.25 Foreign Assets Control Regulations, Etc
	 	 	38	 
	Section 3.26 Compliance with OFAC Rules and Regulations
	 	 	38	 

-i-

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	Section 3.27 Consummation of Recapitalization; Representations and Warranties from
Other Documents
	 	 	39	 
	Section 3.28 Certain Transactions
	 	 	39	 
	Section 3.29 Use of Proceeds
	 	 	39	 
	Section 3.30 Small Business Concern
	 	 	39	 
	 
	 	 	 	 
	ARTICLE IV CONDITIONS PRECEDENT
	 	 	40	 
	 
	 	 	 	 
	Section 4.1 Conditions to Closing Date
	 	 	40	 
	 
	 	 	 	 
	ARTICLE V AFFIRMATIVE COVENANTS
	 	 	45	 
	 
	 	 	 	 
	Section 5.1 Financial Statements
	 	 	45	 
	Section 5.2 Certificates; Other Information
	 	 	47	 
	Section 5.3 Payment of Taxes and Other Obligations
	 	 	48	 
	Section 5.4 Conduct of Business and Maintenance of Existence
	 	 	48	 
	Section 5.5 Maintenance of Property; Insurance
	 	 	49	 
	Section 5.6 Inspection of Property; Books and Records; Discussions
	 	 	49	 
	Section 5.7 Notices
	 	 	50	 
	Section 5.8 Environmental Laws
	 	 	51	 
	Section 5.9 Financial Covenants
	 	 	51	 
	Section 5.10 Additional Guarantors
	 	 	53	 
	Section 5.11 Compliance with Law
	 	 	54	 
	Section 5.12 Pledged Assets
	 	 	54	 
	Section 5.13 Hedging Agreements
	 	 	55	 
	Section 5.14 Covenants Regarding Patents, Trademarks and Copyrights
	 	 	55	 
	Section 5.15 Use of Proceeds
	 	 	56	 
	Section 5.16 Further Assurances
	 	 	56	 
	Section 5.17 Observation Rights
	 	 	56	 
	Section 5.18 Exercise of Rights
	 	 	57	 
	Section 5.19 Amendments and Modifications to the Senior Debt Documents
	 	 	57	 
	Section 5.20 Further Assurances Regarding Real Property
	 	 	58	 
	Section 5.21 Payment of Certain Indebtedness
	 	 	58	 
	 
	 	 	 	 
	ARTICLE VI NEGATIVE COVENANTS
	 	 	59	 
	 
	 	 	 	 
	Section 6.1 Indebtedness
	 	 	59	 
	Section 6.2 Liens
	 	 	60	 
	Section 6.3 Nature of Business
	 	 	60	 
	Section 6.4 Consolidation, Merger, Sale or Purchase of Assets, etc
	 	 	60	 
	Section 6.5 Advances, Investments and Loans
	 	 	61	 
	Section 6.6 Transactions with Affiliates
	 	 	61	 
	Section 6.7 Ownership of Subsidiaries; Restrictions
	 	 	62	 
	Section 6.8 Fiscal Year; Organizational Documents; Material Contracts; Etc
	 	 	62	 
	Section 6.9 Limitation on Restricted Actions
	 	 	62	 

-ii-

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	Section 6.10 Restricted Payments; Prepayments of Other Indebtedness
	 	 	62	 
	Section 6.11 Amendment of Debt or Recapitalization Documents
	 	 	64	 
	Section 6.12 Sale Leaseback Transactions
	 	 	65	 
	Section 6.13 No Further Negative Pledges
	 	 	65	 
	Section 6.14 Management Fees
	 	 	66	 
	Section 6.15 Restrictions on Holdings
	 	 	66	 
	Section 6.16 Use of Proceeds
	 	 	66	 
	Section 6.17 Equity Documents
	 	 	66	 
	Section 6.18 Financial Assistance to Senior Lender
	 	 	67	 
	Section 6.19 SBIC Covenants
	 	 	67	 
	 
	 	 	 	 
	ARTICLE VII EVENTS OF DEFAULT
	 	 	67	 
	 
	 	 	 	 
	Section 7.1 Events of Default
	 	 	67	 
	Section 7.2 Acceleration; Remedies
	 	 	70	 
	 
	 	 	 	 
	ARTICLE VIII THE ADMINISTRATIVE AGENT
	 	 	70	 
	 
	 	 	 	 
	Section 8.1 Appointment
	 	 	70	 
	Section 8.2 Delegation of Duties
	 	 	71	 
	Section 8.3 Exculpatory Provisions
	 	 	71	 
	Section 8.4 Reliance by Administrative Agent
	 	 	71	 
	Section 8.5 Notice of Default
	 	 	72	 
	Section 8.6 Non Reliance on Administrative Agent and Other Purchasers
	 	 	72	 
	Section 8.7 Indemnification
	 	 	73	 
	Section 8.8 The Administrative Agent in Its Individual Capacity
	 	 	73	 
	Section 8.9 Successor Administrative Agent
	 	 	73	 
	Section 8.10 Other Agents
	 	 	74	 
	Section 8.11 Intercreditor Agreement
	 	 	74	 
	Section 8.12 Collateral and Guaranty Matters
	 	 	74	 
	 
	 	 	 	 
	ARTICLE IX MISCELLANEOUS
	 	 	75	 
	 
	 	 	 	 
	Section 9.1 Amendments, Waivers and Release of Collateral
	 	 	75	 
	Section 9.2 Notices
	 	 	77	 
	Section 9.3 No Waiver; Cumulative Remedies
	 	 	79	 
	Section 9.4 Survival of Representations and Warranties
	 	 	79	 
	Section 9.5 Payment of Expenses and Taxes
	 	 	79	 
	Section 9.6 Successors and Assigns; Participations; Securitization; Transfers
	 	 	80	 
	Section 9.7 Adjustments; Set off
	 	 	82	 
	Section 9.8 Table of Contents and Section Headings
	 	 	83	 
	Section 9.9 Counterparts
	 	 	83	 
	Section 9.10 Integration; Effectiveness; Continuing Agreement
	 	 	83	 
	Section 9.11 Severability
	 	 	84	 
	Section 9.12 Governing Law
	 	 	84	 
	Section 9.13 Consent to Jurisdiction and Service of Process
	 	 	85	 

-iii-

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page	 
	Section 9.14 [Intentionally Omitted.]
	 	 	85	 
	Section 9.15 Confidentiality
	 	 	85	 
	Section 9.16 Acknowledgments
	 	 	86	 
	Section 9.17 Waivers of Jury Trial; Waiver of Consequential Damages
	 	 	86	 
	Section 9.18 Patriot Act Notice
	 	 	86	 
	Section 9.19 Subordination of Intercompany Debt
	 	 	87	 
	 
	 	 	 	 
	ARTICLE X GUARANTY
	 	 	87	 
	 
	 	 	 	 
	Section 10.1 The Guaranty
	 	 	87	 
	Section 10.2 Bankruptcy
	 	 	88	 
	Section 10.3 Nature of Liability
	 	 	88	 
	Section 10.4 Independent Obligation
	 	 	88	 
	Section 10.5 Authorization
	 	 	89	 
	Section 10.6 Reliance
	 	 	89	 
	Section 10.7 Waiver
	 	 	89	 
	Section 10.8 Limitation on Enforcement
	 	 	90	 
	Section 10.9 Confirmation of Payment
	 	 	90	 

-iv-

 

TABLE OF CONTENTS

(continued)

	 	 	 
	Schedules
	 	 
	 
	 	 
	Schedule 1.1(a)

	 	Existing Investments
	Schedule 1.1(b)

	 	Existing Liens
	Schedule 1.1(c)

	 	Scheduled Financial Information
	Schedule 2.1(a)

	 	Purchasers
	Schedule 2.1(c)

	 	Form of Note
	Schedule 2.3

	 	Fees, Costs and Expenses
	Schedule 3.11(a)

	 	Subsidiaries
	Schedule 3.11(b)

	 	Capitalization
	Schedule 3.14

	 	Intellectual Property
	Schedule 3.16(a)

	 	Location of Real Property
	Schedule 3.16(b)

	 	Location of Collateral
	Schedule 3.16(c)

	 	States of Incorporation, Chief Executive Offices, etc.
	Schedule 3.18

	 	Labor Matters
	Schedule 3.20

	 	Material Contracts
	Schedule 3.21

	 	Insurance
	Schedule 3.28

	 	Certain Transactions
	Schedule 3.30

	 	Small Business Concern
	Schedule 4.1(b)

	 	Form of Secretary’s Certificate
	Schedule 4.1(i)

	 	Form of Solvency Certificate
	Schedule 4.1(u)

	 	Adjusted Run Rate EBITDA
	Schedule 5.2(b)

	 	Form of Officer’s Compliance Certificate
	Schedule 5.10

	 	Form of Joinder Agreement
	Schedule 6.1(b)

	 	Existing Indebtedness
	Schedule 6.12

	 	Existing Sale Leaseback Transactions
	Schedule 9.6(c)

	 	Form of Transfer Supplement

-V-

 

     NOTE PURCHASE AGREEMENT, dated as of June 29, 2006, among BRAVO DEVELOPMENT, INC., an
Ohio corporation (the “Borrower”), BRAVO DEVELOPMENT HOLDINGS LLC (“Holdings”), a
Delaware limited liability company, and each of those Domestic Subsidiaries of the Borrower
identified as a “Guarantor” on the signature pages hereto and such other Domestic Subsidiaries of
the Borrower as may from time to time become a party hereto (together with Holdings, collectively
the “Guarantors” and individually a “Guarantor”), the purchasers from time to time
parties to this Note Purchase Agreement (collectively the “Purchasers” and individually a
“Purchaser”), and GOLUB CAPITAL INCORPORATED, a New York corporation, as administrative
agent for the Purchasers hereunder (in such capacity, the “Administrative Agent” or the
“Agent”).

W I T N E S S E T H:

     WHEREAS, the Borrower has requested that the Purchasers make loans and other financial
accommodations to the Borrower in the amount of up to $27,500,000, as more particularly described
herein;

     WHEREAS, the Purchasers have agreed to make such loans and other financial accommodations to
the Borrower on the terms and conditions contained herein;

     NOW, THEREFORE, in consideration of the premises and the mutual covenants contained herein,
the parties hereto hereby agree as follows:

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged by the parties hereto, such parties hereby agree as follows:

ARTICLE I

DEFINITIONS

     Section 1.1 Defined Terms.

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

     “Acquisition” shall mean the recapitalization of the Borrower pursuant to the
Acquisition Documents.

     “Acquisition Documents” shall mean the Purchase Agreement and any other material
agreement, document or instrument executed in connection with the foregoing (other than the Senior
Debt Documents and the Note Purchase Documents), in each case as amended, modified or supplemented
from time to time.

     “Additional Credit Party” shall mean each Person that becomes a Guarantor by execution
of a Joinder Agreement in accordance with Section 5.10.

 

 

     “Administrative Agent” or “Agent” shall have the meaning set forth in the
first paragraph of this Note Purchase Agreement and any successors in such capacity.

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

     “Agreement” or “Note Purchase Agreement” shall mean this Note Purchase
Agreement, as amended, restated, amended and restated, modified or supplemented from time to time
in accordance with its terms.

     “Applicable Cash Percentage” shall have the meaning set forth in Section 2.5(c).

     “Bankruptcy Code” shall mean the Bankruptcy Code in Title 11 of the United States
Code, as amended, modified, succeeded or replaced from time to time.

     “Bankruptcy Event” shall mean any of the events described in Section 7.1(f).

     “Board Observer” shall have the meaning set forth in Section 5.17.

     “Borrower” shall have the meaning set forth in the first paragraph of this Note
Purchase Agreement.

     “BRS Management Agreement” shall mean the Management Agreement dated as of the Closing
Date between the Borrower and Bruckmann, Rosser, Sherrill & Co. L.L.C., as in effect on the date
hereof.

     “Business” shall have the meaning set forth in Section 3.10.

     “Business Day” shall mean a day other than a Saturday, Sunday or other day on which
commercial banks in New York, New York are authorized or required by law to close.

     “Calculation Date” means the date of the applicable Specified Transaction which gives
rise to the requirement to calculate the financial covenants set forth in Section 5.9(a) (c) on a
Pro Forma Basis.

     “Calculation Period” means, in respect of any Calculation Date, the period of four
fiscal quarters of the Borrower and its Subsidiaries ended as of the last day of the most recent
fiscal quarter of the Borrower and its Subsidiaries preceding such Calculation Date for which the
Administrative Agent shall have received (a) the financial statements required to be delivered
pursuant to Section 5.1(a) or (b) for such fiscal period or quarter, and (b) the certificate of a
Responsible Officer of the Borrower required by Section 5.2(b) to be delivered with the financial
statements described in clause (a) above.

2

 

     “Capital Lease” shall mean any lease of property, real or personal, the obligations
with respect to which are required to be capitalized on a balance sheet of the lessee in accordance
with GAAP; provided that no lease shall be deemed to be a Capital Lease solely as a result of the
“continued involvement” of Borrower as such term is used in SFAS 98.

     “Capital Lease Obligations” shall mean the capitalized lease obligations relating to a
Capital Lease determined in accordance with GAAP.

     “Capital Stock” shall mean (a) in the case of a corporation, capital stock, (b) in the
case of an association or business entity, any and all shares, interests, participations, rights or
other equivalents (however designated) of capital stock, (c) in the case of a partnership,
partnership interests (whether general or limited), (d) in the case of a limited liability company,
membership interests and (e) any other interest or participation that confers on a Person the right
to receive a share of the profits and losses of, or distributions of assets of, the issuing Person.

     “Cash Equivalents” shall mean (a) securities 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) having
maturities of not more than twelve months from the date of acquisition (“Government
Obligations”), (b) Dollar denominated (or foreign currency fully hedged to the Dollar) time
deposits, certificates of deposit, Eurodollar time deposits and Eurodollar certificates of deposit
of (i) any domestic commercial bank of recognized standing having capital and surplus in excess of
$250,000,000 or (ii) any bank whose short term commercial paper rating from S&P is at least A-1 or
the equivalent thereof or from Moody’s is at least P-1 or the equivalent thereof (any such bank
being an “Approved Bank”), in each case with maturities of not more than 364 days from the
date of acquisition, (c) commercial paper and variable or fixed rate notes issued by any Approved
Bank (or by the parent company thereof) or any variable rate notes issued by, or guaranteed by any
domestic corporation rated A-1 (or the equivalent thereof) or better by S&P or P-1 (or the
equivalent thereof) or better by Moody’s and maturing within six months of the date of acquisition,
(d) repurchase agreements with a bank or trust company or a recognized securities dealer having
capital and surplus in excess of $500,000,000 for direct obligations issued by or fully guaranteed
by the United States of America, (e) obligations of any State of the United States or any political
subdivision thereof for the payment of the principal and redemption price of and interest on which
there shall have been irrevocably deposited Government Obligations maturing as to principal and
interest at times and in amounts sufficient to provide such payment and (f) Investments, classified
in accordance with GAAP as current assets, in money market investment programs registered under the
Investment Company Act of 1940, as amended, which are administered by reputable financial
institutions having capital of at least $250,000,000 and the portfolios of which are limited to
Investments of the character described in the foregoing clauses (a) through (e).

     “Cash Management Agreements” shall mean, with respect to any Person, any agreement to
provide cash management services, including treasury, depository, overdraft, credit or debit card,
electronic funds transfer or other cash management arrangements.

     “CH Management Agreement” means the Management Agreement dated as of the Closing Date
between the Borrower and Castle Harlan, Inc., as in effect on the date hereof.

3

 

     “Change
of Control” shall mean the occurrence of any of the following events:

     (a) (i) the failure of the Sponsors, collectively or individually, to maintain
beneficial ownership, directly or indirectly, of the Voting Stock and economic interests of
Holdings representing at least 51% of the combined voting power of all Voting Stock and
economic interests of Holdings; (ii) Sponsors, collectively or individually cease to possess
the power, directly or indirectly, to elect a majority of the members of the board of
directors of Borrower and each Subsidiary; (iii) the replacement of a majority of the board
of directors of the Borrower over a two-year period from the directors who constituted the
board of directors of the Borrower, as applicable, at the beginning of such period, and such
replacement shall not (1) have been approved by a vote of at least a majority of the board
of directors of the Borrower, then still in office who either were members of such board of
directors at the beginning of such period or whose election as a member of such board of
directors was previously so approved, or (2) have been elected or nominated for election by
the Sponsors; (iv) the failure of Holdings to own, directly or indirectly, more than 50% of
the outstanding Capital Stock of the Borrower; (v) the failure of the Borrower to own,
directly or indirectly, all of the Capital Stock and economic interests of each Subsidiary;
or (vi) the consummation of an IPO; or

     (b) there shall have occurred (i) under any indenture or other instrument evidencing
any Indebtedness in excess of $1,000,000 any “change in control” or similar provision (as
set forth in the indenture, agreement or other evidence of such Indebtedness) obligating
Holdings or the Borrower to repurchase, redeem or repay all or any part of the Indebtedness
or Capital Stock provided for therein, or (ii) the Borrower’s certificate of incorporation
any liquidation, dissolution or winding up of the Borrower, or any consolidation, merger or
other event that is deemed to be a liquidation, dissolution or winding up of the Borrower
pursuant to the Borrower’s certificate of incorporation.

As used in this definition, “beneficial ownership” shall have the meaning provided in Rule
13d 3 of the Securities and Exchange Commission promulgated under the Securities Exchange
Act of 1934.

     “Closing Date” shall mean the date of this Note Purchase Agreement.

     “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.

     “Collateral” shall mean a collective reference to the collateral which is identified
in, and at any time will be covered by, the Security Documents and any other collateral that may
from time to time secure the Credit Party Obligations.

     “Commonly Controlled Entity” shall mean an entity, whether or not incorporated, which
is under common control with the Borrower within the meaning of Section 4001 of ERISA or is part of
a group which includes the Borrower and which is treated as a single employer under Section 414 of
the Code.

     “Consolidated” shall mean, when used with reference to financial statements or
financial statement items of the Borrower and its Subsidiaries or any other Person, such statements
or items on a consolidated basis in accordance with the consolidation principles of GAAP.

4

 

     “Consolidated Capital Expenditures” shall mean, for any period, all expenditures of
the Borrower and its Subsidiaries on a Consolidated basis for such period that in accordance with
GAAP would be classified as capital expenditures, including without limitation, Capital Lease
Obligations. The term “Consolidated Capital Expenditures” shall not include (a) any Permitted
Acquisition or (b) capital expenditures in respect of the reinvestment of proceeds from Recovery
Events in accordance with the terms of Section 2.7(b)(vi) of the Senior Credit Agreement as in
effect on the date hereof or (c) interest expense incurred during construction of a new Restaurant
to the extent required to be capitalized in accordance with GAAP.

     “Consolidated Cash Interest Expense” shall mean, for any period, all cash interest
expense (excluding amortization of debt discount and premium, but including the interest component
under Capital Leases) for such period of the Borrower and its Subsidiaries on a Consolidated basis.
Notwithstanding the foregoing, for purposes of calculating Consolidated Cash Interest Expense for
the fiscal quarters ending September 30, 2006, December 31, 2006 and March 31, 2007, Consolidated
Cash Interest Expense shall be annualized during such fiscal quarters such that (a) for the
calculation of Consolidated Cash Interest Expense as of September 30, 2006, Consolidated Cash
Interest Expense for the fiscal quarter then ending will be multiplied by four (4), (b) for the
calculation of Consolidated Cash Interest Expense as of December 31, 2006, Consolidated Cash
Interest Expense for the two fiscal quarter period then ending will be multiplied by two (2) and
(c) for the calculation of Consolidated Cash Interest Expense as of March 31, 2007, Consolidated
Cash Interest Expense for the three fiscal quarter period then ending will be multiplied by one and
one third (1 1/3).

     “Consolidated EBITDA” means, for any period, the sum of the following determined on a
Consolidated basis, without duplication, for the Borrower and its Subsidiaries in accordance with
GAAP: (a) Consolidated Net Income for such period plus (b) the sum of the following to the extent
deducted in determining Consolidated Net Income: (i) income taxes, (ii) Consolidated Interest
Expense, (iii) amortization, depreciation and other non cash charges (except to the extent that
such non cash charges are reserved for cash charges to be taken in the future), (iv) extraordinary
or unusual losses as determined in accordance with GAAP, and other non-recurring or unusual losses
or charges reasonably acceptable to the Administrative Agent, (v) Transaction Costs in an aggregate
amount not to exceed $7,000,000, (vi) Pre Opening Costs incurred during such period in an aggregate
amount not to exceed $475,000 per new Restaurant in any period, (vii) any charges related to
Hedging Agreements permitted under Section 6.1(d), (viii) any non-cash charges related to option
plans, (ix) management fees paid by the Borrower pursuant to the Management Agreements and
permitted under Section 6.14 and (x) any non-cash charges relating to Strategic Partner Plan
Appreciation expense less (c) the sum of the following to the extent included in determining
Consolidated Net Income: (i) interest income, (ii) cash charges relating to Strategic Partner Plan
Appreciation expense and (iii) any extraordinary, non recurring, unusual or non-cash gains.
Notwithstanding the foregoing, Consolidated EBITDA for the historical fiscal periods set forth in
Schedule 1.1(c) shall be as set forth in such schedule.

     “Consolidated EBITDAR” means, for any period, the sum of (i) the Consolidated EBITDA
of the Borrower and its Subsidiaries for such period plus (ii) Consolidated Rental Expense
for such period.

5

 

     “Consolidated Fixed Charges” shall mean, for any period, the sum of (a) Consolidated
Income Cash Taxes for such period, plus (b) Consolidated Cash Interest Expense for such period plus
(c) Consolidated Rental Expense for such period, plus (d) Consolidated Scheduled Debt
Payments for such period, plus (e) Management Fees payable during such period.
Notwithstanding the foregoing, Consolidated Fixed Charges for the historical fiscal periods set
forth in Schedule 1.1(c) shall be as set forth in such schedule.

     “Consolidated Fixed Charge Coverage Ratio” shall mean, as of the end of each fiscal
quarter of the Borrower and its Subsidiaries on a consolidated basis, the ratio of (a) Consolidated
EBITDAR for the four fiscal quarter period ending on such date minus Consolidated
Maintenance Capital Expenditures for such period to (b) Consolidated Fixed Charges for such period.

     “Consolidated Funded Debt” shall mean, on any date of calculation, Funded Debt of the
Borrower and its Subsidiaries on a Consolidated basis.

     “Consolidated Growth Capital Expenditures” shall mean (a) Consolidated Capital
Expenditures relating to the construction, acquisition or opening of new Restaurants operated by
Borrower and its Subsidiaries after the Closing Date, plus (b) to the extent not included
in the calculation of Consolidated Capital Expenditures, Pre Opening Costs, minus (c) any
capitalized interest expense included in Consolidated Interest Expense with respect to expenditures
described in the foregoing clauses (a) and (b).

     “Consolidated Income Cash Taxes” shall mean, for any period, the aggregate of all
income taxes (including, without limitation, any federal, state, local and foreign income taxes)
actually paid by the Borrower and its Subsidiaries on a Consolidated basis during such period.

     “Consolidated Interest Expense” shall mean, for any period, the gross interest expense
(excluding amortization of debt discount and premium, but including the interest component under
Capital Leases) for such period of the Borrower and its Subsidiaries on a Consolidated basis.
Notwithstanding the foregoing, for purposes of calculating Consolidated Interest Expense for the
fiscal quarters ending September 30, 2006, December 31, 2006 and March 31, 2007, Consolidated
Interest Expense shall be annualized during such fiscal quarters such that (a) for the calculation
of Consolidated Interest Expense as of September 30, 2006, Consolidated Interest Expense for the
fiscal quarter then ending will be multiplied by four (4), (b) for the calculation of Consolidated
Interest Expense as of December 31, 2006, Consolidated Interest Expense for the two fiscal quarter
period then ending will be multiplied by two (2) and (c) for the calculation of Consolidated
Interest Expense as of March 31, 2007, Consolidated Interest Expense for the three fiscal quarter
period then ending will be multiplied by one and one third (1 1/3).

     “Consolidated Maintenance Capital Expenditures” shall mean, any Consolidated Capital
Expenditures that are not Consolidated Growth Capital Expenditures, minus, without duplication, any
capitalized interest expense included in Consolidated Interest Expense with respect to such
Consolidated Capital Expenditures.

     “Consolidated Net Income” shall mean, for any period, for the Borrower and its
Subsidiaries, the net income (or loss) of the Borrower and its Subsidiaries on a Consolidated

6

 

basis; -provided that there shall be excluded from Consolidated Net Income (a) any restoration
to income of any contingency reserve, except to the extent that provision for such reserve was made
out of Consolidated Net Income accrued at any time during such period, (b) the net income (or loss)
of any Person that is not a Subsidiary, in which the Borrower or any of its Subsidiaries has a
joint interest with a third party, except to the extent such net income is actually paid in cash to
the Borrower or any of its Subsidiaries by dividend or other distribution during such period and
(c) the net income (if positive) of any Subsidiary to the extent that the declaration or payment of
dividends or similar distributions by such Subsidiary to the Borrower or any of its Subsidiaries of
such net income is not at the time permitted by operation of the terms of its charter or any
agreement or instrument applicable to such Subsidiary or Requirement of Law.

     “Consolidated Rental Expense” shall mean, for any period, all GAAP rental expense for
such period of the Borrower and its Subsidiaries on a Consolidated basis.

     “Consolidated Scheduled Debt Payments” shall mean, for any period, the sum of all
scheduled payments of principal on Consolidated Funded Debt for such period; it being understood
that scheduled payments on Consolidated Funded Debt shall not include optional prepayments or the
mandatory prepayments required pursuant to Section 2.7 of the Senior Credit Agreement.
Notwithstanding the foregoing, for purposes of calculating Consolidated Scheduled Debt Payments for
the fiscal quarters ending September 30, 2006, December 31, 2006 and March 31, 2007, Consolidated
Scheduled Debt Payments shall be annualized during such fiscal quarters such that (i) for the
calculation of Consolidated Scheduled Debt Payments as of September 30, 2006, Consolidated
Scheduled Debt Payments for the fiscal quarter then ending will be multiplied by four (4), (ii) for
the calculation of Consolidated Scheduled Debt Payments as of December 31, 2006, Consolidated
Scheduled Debt Payments for the two fiscal quarter period then ending will be multiplied by two (2)
and (iii) for the calculation of Consolidated Scheduled Debt Payments as of March 31, 2007,
Consolidated Scheduled Debt Payments for the three fiscal quarter period then ending will be
multiplied by one and one third (1 1/3).

     “Consolidated Senior Leverage Ratio” shall mean, as of the end of each fiscal quarter
of the Borrower and its Subsidiaries on a Consolidated basis, the ratio of (a) Consolidated Funded
Debt (other than the Notes and Subordinated Debt) as of such date to (b) Consolidated EBITDA for
the four fiscal quarter period then ended.

     “Consolidated Total Leverage Ratio” shall mean, as of the end of each fiscal quarter
of the Borrower and its Subsidiaries on a Consolidated basis, the ratio of (a) Consolidated Funded
Debt as of such date to (b) Consolidated EBITDA for the four fiscal quarter period then ended.

     “Consolidated Working Capital” shall mean, as of any date of determination, the excess
of (a) current assets (excluding cash and Cash Equivalents) of the Borrower and its Subsidiaries on
a consolidated basis at such time less (b) current liabilities (excluding current maturities of
long term debt) of the Borrower and its Subsidiaries on a consolidated basis at such time, all as
determined in accordance with GAAP; provided, however, that the calculation of Consolidated Working
Capital for the purposes of this Credit Agreement shall not include any changes in assets and/or
liabilities associated with gift card sales.

7

 

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

     “Control Agent” shall have the meaning assigned to such term in the Intercreditor
Agreement.

     “Copyright Licenses” shall mean any agreement, whether written or oral, providing for
the grant by or to a Person of any right under any Copyright, including, without limitation, any
thereof referred to in Schedule 3.14 to this Note Purchase Agreement.

     “Copyrights” shall mean all copyrights of the Credit Parties and their Subsidiaries in
all works, now existing or hereafter created or acquired, all registrations and recordings thereof,
and all applications in connection therewith, whether in the United States Copyright Office or in
any similar office or agency of the United States, any state thereof or any other country or any
political subdivision thereof, or otherwise, including, without limitation, any thereof referred to
in Schedule 3.14 and all renewals thereof.

     “Credit Party” shall mean any of the Borrower or the Guarantors.

     “Credit Party Obligations” shall mean, without duplication, all of the obligations,
indebtedness and liabilities of the Credit Parties to the Purchasers and the Administrative Agent,
whenever arising, under this Note Purchase Agreement, the Notes or any of the other Note Purchase
Documents, including principal, interest, fees, reimbursements and indemnification obligations and
other amounts (including, but not limited to, any interest accruing after the occurrence of a
filing of a petition of bankruptcy under the Bankruptcy Code with respect to any Credit Party,
regardless of whether such interest is an allowed claim under the Bankruptcy Code).

     “Default” shall mean any of the events specified in Section 7.1, whether or not any
requirement for the giving of notice or the lapse of time, or both, or any other condition, has
been satisfied.

     “Dollars” and “$” shall mean dollars in lawful currency of the United States
of America.

     “Domestic Subsidiary” shall mean any Subsidiary that is organized and existing under
the laws of the United States or any state or commonwealth thereof or under the laws of the
District of Columbia.

     “Environmental Laws” shall mean any and all applicable foreign, federal, state, local
or municipal laws, rules, orders, regulations, statutes, ordinances, codes, decrees, requirements
of any Governmental Authority or other Requirement of Law (including common law) regulating,
relating to or imposing liability or standards of conduct concerning protection of human health
from exposure to Materials of Environmental Concern or the pollution or protection of the
environment, as now or may at any time be in effect during the term of this Note Purchase
Agreement.

8

 

     “Equity Documents” shall mean the Stockholders Agreements, the Registration Rights
Agreement and the certificate of incorporation and by laws or other organizational or governing
documents of any Credit Party.

     “Equity Retention” shall mean, after giving effect to the Acquisition, the retention
by the Management Investors and/or purchase by the Management Investors with option proceeds on the
Closing Date, collectively, of approximately 19.9% of the Borrower’s outstanding Capital Stock
valued at approximately $13,930,000.

     “Equity Retention Documents” shall mean the Purchase Agreement and each other document
executed and delivered in connection with the consummation of the Equity Retention.

     “ERISA” shall mean the Employee Retirement Income Security Act of 1974, as amended
from time to time.

     “Escrow Account” means the Earn Out Escrow Account (as defined in the Purchase
Agreement) established pursuant to the Escrow Agreement and holding $12,500,000 of the purchase
price payable by Holdings to in connection with the Acquisition.

     “Escrow Agreement” means the Escrow Agreement dated as of the Closing Date among
Holdings, the Borrower, Mark Sheridan, as seller representative and KeyBank, N.A., as Escrow Agent,
in the form attached as an Exhibit to the Purchase Agreement.

     “Event of Default” shall mean any of the events specified in Section 7.1;
provided, however, that any requirement for the giving of notice or the lapse of time, or
both, or any other condition, has been satisfied.

     “Existing Mortgage Debt” shall mean the Indebtedness owned by the Borrower to The
Huntington National Bank in an aggregate amount not to exceed $1,300,000 and secured by mortgages
on the four (4) owned real Properties listed on Schedule 3.16(a).

     “Flood Hazard Property” shall have the meaning set forth in Section 4.1(e)(iv).

     “Foreign Subsidiary” shall mean any Subsidiary that is not a Domestic Subsidiary.

     “Funded Debt” shall mean, with respect to any Person, without duplication, all
Indebtedness of such Person other than Indebtedness of the types referred to in clauses (i) and (j)
(so long as undrawn) of the definition of “Indebtedness”.

     “GAAP” shall mean generally accepted accounting principles in effect in the United
States of America applied on a consistent basis, subject, however, in the case of determination of
compliance with the financial covenants set out in Section 5.9 to the provisions of Section 1.3.

     “GCI” has the meaning set forth in Section 8.1.

     “Governmental Approvals” shall mean all authorizations, consents, approvals, permits,
licenses and exemptions of, registrations and filings with, and reports to, all Governmental
Authorities.

9

 

     “Governmental Authority” shall mean 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.

     “Guarantor” shall have the meaning set forth in the first paragraph of this Note
Purchase Agreement.

     “Guaranty” shall mean the guaranty of the Guarantors set forth in Article X.

     “Guaranty Obligations” shall mean, with respect to any Person, without duplication,
any obligations of such Person (other than endorsements in the ordinary course of business of
negotiable instruments for deposit or collection) guaranteeing or intended to guarantee any
Indebtedness of any other Person in any manner, whether direct or indirect, and including without
limitation any obligation, whether or not contingent, (a) to purchase any such Indebtedness or any
property constituting security therefor, (b) to advance or provide funds or other support for the
payment or purchase of any such Indebtedness or to maintain working capital, solvency or other
balance sheet condition of such other Person (including without limitation keep well agreements,
maintenance agreements, comfort letters or similar agreements or arrangements) for the benefit of
any holder of Indebtedness of such other Person, (c) to lease or purchase property, securities or
services primarily for the purpose of assuring the holder of such Indebtedness, or (d) to otherwise
assure or hold harmless the holder of such Indebtedness against loss in respect thereof. The
amount of any Guaranty Obligation hereunder shall (subject to any limitations set forth therein) be
deemed to be an amount equal to the outstanding principal amount (or maximum principal amount, if
larger) of the Indebtedness in respect of which such Guaranty Obligation is made.

     “Hedging Agreements” shall mean, with respect to any Person, any agreement entered
into to protect such Person against fluctuations in interest rates, or currency or raw materials
values, including, without limitation, any interest rate swap, cap or collar agreement or similar
arrangement between such Person and one or more counterparties, any foreign currency exchange
agreement, currency protection agreements, commodity purchase or option agreements or other
interest or exchange rate hedging agreements.

     “Holdings” shall have the meaning set forth in the first paragraph of this Note
Purchase Agreement.

     “Incurrence Ratio” shall mean, at any date of determination, the maximum Consolidated
Total Leverage Ratio permitted. under Section 5.9(a) of the Senior Credit Agreement as in effect
on the date hereof as at the end of the most recently ended fiscal quarter for which the Borrowers
have delivered a compliance certificate pursuant to Section 5.2(b), less 0.125.

     “Indebtedness” shall mean, with respect to any Person, without duplication, (a) all
obligations of such Person for borrowed money, (b) all obligations of such Person evidenced by
bonds, debentures, notes or similar instruments, or upon which interest payments are customarily
made, (c) all obligations of such Person under conditional sale or other title retention agreements
relating to property purchased by such Person (other than customary reservations or retentions of
title under agreements with suppliers entered into in the ordinary course of business), (d) all

10

 

obligations (including, without limitation, earnout obligations and obligations under non
competition or similar agreements that have not been paid within 30 days of becoming fixed and
matured) of such Person incurred, issued or assumed as the deferred purchase price of property or
services purchased by such Person (other than trade debt incurred in the ordinary course of
business and due within six months of the incurrence thereof) which would appear as liabilities on
a balance sheet of such Person, (e) all obligations of such Person under take or pay or similar
arrangements or under commodities agreements, (f) all Indebtedness of others secured by (or for
which the holder of such Indebtedness has an existing right, contingent or otherwise, to be secured
by) any Lien on, or payable out of the proceeds of production from, property owned or acquired by
such Person, whether or not the obligations secured thereby have been assumed, (g) all Guaranty
Obligations of such Person with respect to Indebtedness of another Person, (h) the principal
portion of all Capital Lease Obligations of such Person, (i) all obligations of such Person under
Hedging Agreements, excluding any portion thereof which would be accounted for as interest expense
under GAAP, (j) the maximum amount of all letters of credit issued or bankers’ acceptances
facilities created for the account of such Person and, without duplication, all drafts drawn
thereunder (to the extent unreimbursed), (k) all preferred Capital Stock issued by such Person and
which by the terms thereof could at any time prior to the Maturity Date be (at the request of the
holders thereof or otherwise) subject to mandatory sinking fund payments, redemption or other
acceleration, (1) the principal balance outstanding under any synthetic lease, tax retention
operating lease, off balance sheet loan or similar off balance sheet financing product and (m) the
Indebtedness of any partnership or unincorporated joint venture in which such Person is a general
partner or a joint venturer.

     “Insolvency” shall mean, with respect to any Multiemployer Plan, the condition that
such Plan is insolvent within the meaning of such term as used in Section 4245 of ERISA.

     “Intellectual Property” shall mean the Copyrights, Copyright Licenses, Patents, Patent
Licenses, Trademarks and Trademark Licenses of the Credit Parties and their Subsidiaries, all
goodwill associated therewith and all rights to sue for infringement thereof.

     “Intercreditor Agreement” means the Intercreditor Agreement, dated as of the Closing
Date by and among the Administrative Agent, the Senior Agent, the Control Agent and the Credit
Parties, as amended, modified, supplemented or restated from time to time.

     “Interest Payment Date” shall mean the last day of each calendar month, or, if any
such date shall not be a Business Day, on the next succeeding Business Day, but interest shall
continue to accrue on any applicable payment until payment is made.

     “Investment” shall mean (a) the acquisition (whether for cash, property, services,
assumption of Indebtedness, securities or otherwise) of shares of Capital Stock, other ownership
interests or other securities of any Person or bonds, notes, debentures or all or substantially all
of the assets of any Person or (b) any deposit with, or advance, loan or other extension of credit
to, any Person (other than deposits made in the ordinary course of business) or (c) any other
capital contribution to or investment in any Person, including, without limitation, any Guaranty
Obligation (including any support for a letter of credit issued on behalf of such Person) incurred
for the benefit of such Person.

11

 

     “IPO” means a bona fide underwritten initial public offering of voting common Capital
Stock in the Borrower or a direct or indirect parent of the Borrower.

     “Joinder Agreement” shall mean a Joinder Agreement in substantially the form of
Schedule 5.10, executed and delivered by an Additional Credit Party in accordance with the
provisions of Section 5.10.

     “Lien” shall mean any mortgage, pledge, hypothecation, assignment, deposit
arrangement, encumbrance, lien (statutory or other), charge or other security interest or any
preference, priority or other security agreement or preferential arrangement of any kind or nature
whatsoever (including, without limitation, any conditional sale or other title retention agreement
and any Capital Lease having substantially the same economic effect as any of the foregoing).

     “Management Agreements” shall mean, collectively, the BRS Management Agreement and the
CH Management Agreement.

     “Management Investors” shall mean collectively, (i) those employees of the Borrower
and its subsidiaries from time to time holding shares of the Capital Stock of the Borrower, and
(ii) any former employee of the Borrower holding the Capital Stock of the Borrower that was an
employee of the Borrower at the time any such Person acquired such Capital Stock of the Borrower.

     “Material Adverse Effect” shall mean a material adverse effect on (a) the business,
results of operations or financial condition of the Holdings, the Borrower and the Subsidiaries of
the Borrower, taken as a whole, (b) the ability of the Borrower and the Guarantors, taken as a
whole, to perform their obligations, when such obligations are required to be performed, under this
Note Purchase Agreement, any of the Notes or any other Note Purchase Document or (c) the validity
or enforceability of this Note Purchase Agreement, any of the Notes or any of the other Note
Purchase Documents or the rights or remedies of the Administrative Agent or the Purchasers
hereunder or thereunder.

     “Material Contract” shall mean (a) any contract or other agreement, written or oral,
of the Credit Parties or any of their Subsidiaries involving monetary liability of or to any such
Person in an amount in excess of $1,000,000 per annum (including, without limitation, the Senior
Debt Documents) and (b) any other contract, agreement, permit or license, written or oral, of the
Credit Parties or any of their Subsidiaries as to which the breach, nonperformance, cancellation of
failure to renew by any party thereto, individually or in the aggregate, could reasonably be
expected to have a Material Adverse Effect.

     “Materials of Environmental Concern” shall mean any gasoline or petroleum (including
crude oil or any fraction thereof), petroleum products, asbestos, materials containing asbestos,
pesticides, lead-based paint, radon, radioactive materials, polychlorinated biphenyls and urea
formaldehyde and any hazardous or toxic substances, chemicals, materials or wastes, defined or
regulated in or under any Environmental Law.

     “Maturity Date” shall have the meaning set forth in Section 2.1(a).

     “Maximum Accrual” shall have the meaning set forth in Section 2.5(b)(iv).

12

 

     “Moody’s” shall mean Moody’s Investors Service, Inc.

     “Mortgage Instrument” shall mean any mortgage, deed of trust or deed to secure debt
executed by a Credit Party in favor of the Administrative Agent pursuant to the terms of Section
4.1(e)(i), 5.10 or 5.12, as the same may be amended, modified, restated or supplemented from time
to time.

     “Mortgaged Property” shall mean any owned or leased real property of a Credit Party
with respect to which such Credit Party executes a Mortgage Instrument in favor of the
Administrative Agent.

     “Multiemployer Plan” shall mean a Plan that is a multiemployer plan as defined in
Section 4001(a)(3) of ERISA.

     “New Property” shall mean any Property that was not owned, operated or leased by the
Credit Parties or their Subsidiaries as of the Closing Date.

     “Note” or “Notes” shall have the meaning set forth in Section 2.1(c).

     “Note Purchase Documents” shall mean this Note Purchase Agreement, each of the Notes,
any Joinder Agreement, the Intercreditor Agreement, the Security Documents and all other documents,
certificates and instruments delivered to the Administrative Agent or any Purchaser by any Credit
Party in connection therewith.

     “OFAC” shall mean the U.S. Department of the Treasury’s Office of Foreign Assets
Control.

     “Operating Lease” shall mean, as applied to any Person, any lease (including, without
limitation, leases which may be terminated by the lessee at any time) of any property (whether
real, personal or mixed) which is not a Capital Lease other than any such lease in which that
Person is the lessor.

     “Participant” shall have the meaning set forth in Section 9.6(b).

     “Patent Licenses” shall mean all agreements, whether written or oral, providing for
the grant by or to a Person of any, right to manufacture, use or sell any invention covered by a
Patent, including, without limitation, any thereof referred to in Schedule 3.14 to this
Note Purchase Agreement.

     “Patents” shall mean (a) all letters patent of the United States or any other country,
now existing or hereafter arising, and all improvement patents, reissues, reexaminations, patents
of additions, renewals and extensions thereof, including, without limitation, any thereof referred
to in Schedule 3.14 to this Note Purchase Agreement, and (b) all applications for letters
patent of the United States or any other country, now existing or hereafter arising, and all
provisionals, divisions, continuations and continuations in part and substitutes thereof,
including, without limitation, any thereof referred to in Schedule 3.14 to this Note
Purchase Agreement.

13

 

     “PBGC” shall mean the Pension Benefit Guaranty Corporation established pursuant to
Subtitle A of Title IV of ERISA.

     “Perfection Certificate” shall mean the perfection certificate, dated as of the date
hereof and delivered to the Agent.

     “Permitted Acquisition” shall mean an acquisition or any series of related
acquisitions by a Credit Party of (a) all or substantially all of the assets or a majority of the
outstanding Voting Stock or economic interests of a Person that is incorporated, formed or
organized in the United States or (b) any division, line of business or other business unit of a
Person that is incorporated, formed or organized in the United States (such Person or such
division, line of business or other business unit of such Person shall be referred to herein as the
“Target”), in each case that is a type of business (or assets used in a type of business)
permitted to be engaged in by the Credit Parties and their Subsidiaries pursuant to Section 6.3, so
long as (i) no Default or Event of Default then exists or would exist after giving effect thereto,
(ii) the Credit Parties shall demonstrate to the reasonable satisfaction of the Administrative
Agent and the Required Purchasers that, after giving effect to the acquisition on a Pro Forma Basis
the Credit Parties are in compliance with each of the financial covenants set forth in Section 5.9
and with the Incurrence Ratio, (iii) the Administrative Agent, on behalf of the Purchasers, shall
have received (or shall receive in connection with the closing of such acquisition) a first
priority (subject only to the Lien in favor of the Senior Agent securing the Senior Debt) perfected
security interest in all property (including, without limitation, Capital Stock) acquired with
respect to the Target in accordance with the terms of Sections 5.10 and 5.12 and the Target, if a
Person, shall have executed a Joinder Agreement in accordance with the terms of Section 5.10, (iv)
the Administrative Agent and the Purchasers shall have received (A) a description of the material
terms of such acquisition, (B) audited financial statements (or, if unavailable, management
prepared financial statements) of the Target for its two most recent fiscal years and for any
fiscal quarters ended within the fiscal year to date and (C) consolidated projected income
statements of Borrower and its Consolidated Subsidiaries (giving effect to such acquisition), all
in form and substance reasonably satisfactory to the Administrative Agent, (v) the Target shall
have earnings before interest, taxes, depreciation and amortization for the four fiscal quarter
period prior to the acquisition date in an amount greater than $0, (vi) such acquisition shall not
be a “hostile” acquisition and shall have been approved by the Board of Directors and/or
shareholders of the applicable Credit Party and the Target, (vii) after giving effect to such
acquisition, there shall be at least $10,000,000 of borrowing availability under the Revolving
Committed Amount (as such term is defined in the Senior Credit Agreement, as in effect on the date
hereof) and (viii) the aggregate consideration (including without limitation equity consideration,
earn outs or deferred compensation or non competition arrangements and the amount of Indebtedness
and other liabilities assumed by the Credit Parties and their Subsidiaries) paid by the Credit
Parties and their Subsidiaries (A) in connection with any such acquisition shall not exceed
$5,000,000, (B) for all such acquisitions made during any period of twelve (12) consecutive months
shall not exceed $10,000,000 and (C) for all acquisitions made during the term of this Agreement
shall not exceed $15,000,000.

     “Permitted Investments” shall mean:

     (a) cash and Cash Equivalents;

14

 

     (b) Investments set forth on Schedule 1.1(a);

     (c) receivables owing to the Credit Parties or any of their Subsidiaries or any
receivables and advances to suppliers, in each case if created, acquired or made in the
ordinary course of business and payable or dischargeable in accordance with customary trade
terms;

     (d) Investments in and loans to any Credit Party (other than Holdings);

     (e) loans and advances to officers, directors and employees of the Borrower or any of
its Subsidiaries in an aggregate amount not to exceed $500,000 at any time outstanding;
provided that such loans and advances shall comply with all applicable Requirements of Law;

     (f) Investments (including debt obligations) received in connection with the bankruptcy
or reorganization of suppliers and customers and in settlement of delinquent obligations of,
and other disputes with, customers and suppliers arising in the ordinary course of business;

     (g) Investments, acquisitions or transactions permitted under Section 6.4(b) (including
any Investments owned by a Person acquired in a Permitted Acquisition);

     (h) Hedging Agreements to the extent permitted hereunder; and

     (i) additional loan advances and/or Investments of a nature not contemplated by the
foregoing clauses hereof; provided that such loans, advances and/or Investments made after
the Closing Date pursuant to this clause (i) shall not exceed an aggregate amount of
$5,000,000.

     “Permitted Liens” shall mean:

     (a) Liens created by or otherwise existing under or in connection with this Note
Purchase Agreement or the other Note Purchase Documents in favor of the Secured Parties;

     (b) Liens securing purchase money indebtedness and Capital Lease Obligations (and
refinancings thereof) to the extent permitted under Section 6.1(c); provided, that (A) any
such Lien attaches to such property concurrently with or within 30 days after the
acquisition thereof and (B) such Lien attaches solely to the property so acquired in such
transaction;

     (c) Liens for taxes, assessments, charges or other governmental levies not yet due or
as to which the period of grace (not to exceed 60 days), if any, related thereto has not
expired or which are being contested in good faith by appropriate proceedings;
provided that adequate reserves with respect thereto are maintained on the books of
the Borrower or its Subsidiaries, as the case may be, in conformity with GAAP (or, in the
case of Foreign Subsidiaries with significant operations outside the United States of

15

 

America, generally accepted accounting principles in effect from time to time in their
respective jurisdictions of incorporation);

     (d) statutory Liens such as carriers’, warehousemen’s, mechanics’, materialmen’s,
landlords’, repairmen’s or other like Liens arising in the ordinary course of business which
are not overdue for a period of more than 30 days or which are being contested in good faith
by appropriate proceedings; provided that a reserve or other appropriate provision shall
have been made therefor and the aggregate amount of such Liens is less than $500,000 (other
than landlord’s liens for rent not overdue);

     (e) pledges or deposits in connection with workers’ compensation, unemployment
insurance and other social security legislation and deposits securing liability to insurance
carriers under insurance or self insurance arrangements in an aggregate amount not to exceed
$100,000;

     (f) deposits to secure the performance of bids, trade contracts (other than for
borrowed money), leases, statutory obligations, surety and appeal bonds, performance bonds
and other obligations of a like nature incurred in the ordinary course of business;

     (g) Liens granted pursuant to the Senior Debt Documents to the extent such Liens secure
Senior Debt;

     (h) easements, rights of way, restrictions and other similar encumbrances affecting
real property which, in the aggregate, are not substantial in amount, and which do not in
any case materially detract from the value of the property subject thereto or materially
interfere with the ordinary conduct of the business of the applicable Person;

     (i) any extension, renewal or replacement (or successive extensions, renewals or
replacements), in whole or in part, of any Lien referred to in this definition (other than
Liens set forth on Schedule 1.1(b)); provided that such extension, renewal or replacement
Lien shall be limited to all or a part of the property which secured the Lien so extended,
renewed or replaced (plus improvements on such property); provided, further, that any Liens
with respect to any such extension, renewal or replacement of the Senior Obligations shall
be a Permitted Lien only if such extension, renewal or replacement constitutes Senior Debt;

     (j) Liens existing on the Closing Date and set forth on Schedule 1.1(b); provided that
(i) no such Lien shall at any time be extended to cover property or assets other than the
property or assets subject thereto on the Closing Date and improvements thereon and (ii) the
principal amount of the Indebtedness secured by such Lien shall not be extended, renewed,
refunded or refinanced;

     (k) Liens arising in the ordinary course of business by virtue of any contractual,
statutory or common law provision relating to banker’s Liens, rights of set off or similar
rights and remedies covering deposit or securities accounts (including funds or other assets
credited thereto) or other funds maintained with a depository institution or securities
intermediary;

16

 

     (l) any zoning, building or similar laws or rights reserved to or vested in any
Governmental Authority;

     (m) restrictions on transfers of securities imposed by applicable securities laws;

     (n) Liens arising out of judgments or awards not resulting in a Default;
provided that the Borrower or any applicable Subsidiary shall in good faith be
prosecuting an appeal or proceedings for review;

     (o) any interest or title of a lessor, licensor or sublessor under any lease, license
or sublease entered into by the Borrower or any other Subsidiary in the ordinary course of
its business and covering only the assets so leased, licensed or subleased;

     (p) assignments of insurance or condemnation proceeds provided to landlords (or their
mortgagees) pursuant to the terms of any lease and Liens or rights reserved in any lease for
rent or for compliance with the terms of such lease; and

     (q) additional Liens so long as the principal amount of Indebtedness and other
obligations secured thereby does not exceed $1,000,000 in the aggregate.

     “Permitted Management Capital Stock” means the Capital Stock of the Borrower held by
the Management Investors.

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

     “Plan” shall mean, at any particular time, any employee benefit plan which is covered
by Title IV of ERISA and in respect of which the Borrower or a Commonly Controlled Entity is (or,
if such plan were terminated at such time, would under Section 4069 of ERISA be deemed to be) an
“employer” as defined in Section 3(5) of ERISA.

     “Pledge Agreement” shall mean the Pledge Agreement dated as of the Closing Date given
by the Borrower and the Guarantors to the Administrative Agent, for the benefit of the Secured
Parties, as the same may from time to time be amended, restated, amended and restated, supplemented
or otherwise modified in accordance with the terms hereof and thereof.

     “Pre Opening Costs” means “start up costs” (such term used herein as defined in SOP
98-5 published by the American Institute of Certified Public Accountants) related to the
acquisition, opening and organizing of new restaurants, including, without limitation, the cost of
feasibility studies, staff training, and recruiting, travel costs for employees engaged in such
start up activities advertising and rent accrued prior to opening.

     “Principal Increase” shall have the meaning set forth in Section 2.5(c).

     “Pro Forma Basis” means, in connection with the calculation as of the applicable
Calculation Date (utilizing the principles set forth in the last paragraph of Section 5.9) of the

17

 

financial covenants set forth in Section 5.9(a) (c) in respect of a proposed transaction (a
“Specified Transaction”) as of the date on which such Specified Transaction is to be
effected, the making of such calculation after giving effect on a pro forma basis to:

     (a) the consummation of such Specified Transaction as of the first day of the
applicable Calculation Period;

     (b) the assumption, incurrence or issuance of any Indebtedness by the Borrower or any
of its Subsidiaries (including any Person which became a Subsidiary pursuant to or in
connection with such Specified Transaction) in connection with such Specified Transaction,
as if such Indebtedness had been assumed, incurred or issued (and the proceeds thereof
applied) on the first day of such Calculation Period (with any such Indebtedness bearing
interest at a floating rate being deemed to have an implied rate of interest for the
applicable period equal to the rate which is or would be in effect with respect to such
Indebtedness as of the applicable Calculation Date);

     (c) the permanent repayment, retirement or redemption of any Indebtedness (other than
revolving Indebtedness, except to the extent accompanied by a permanent commitment
reduction) by the Borrower or any of its Subsidiaries (including any Person which became a
Subsidiary pursuant to or in connection with such Specified Transaction) in connection with
such Specified Transaction, as if such Indebtedness had been repaid, retired or redeemed on
the first day of such Calculation Period;

     (d) other than in connection with such Specified Transaction, any assumption,
incurrence or issuance of any Indebtedness by the Borrower or any of its Subsidiaries during
the period beginning with the first day of the applicable Calculation Period through and
including the applicable Calculation Date, as if such Indebtedness had been assumed,
incurred or issued (and the proceeds thereof applied) on the first day of such Calculation
Period (with any such Indebtedness bearing interest at a floating rate being deemed to have
an implied rate of interest for the applicable period equal to the weighted average of the
interest rates actually in effect with respect to such Indebtedness during the portion of
such period that such Indebtedness was outstanding); and

     (e) other than in connection with such Specified Transaction, the permanent repayment,
retirement or redemption of any Indebtedness (other than revolving Indebtedness, except to
the extent accompanied by a permanent commitment reduction) by the Borrower or any of its
Subsidiaries during the period beginning with the first day of the applicable Calculation
Period through and including the applicable Calculation Date, as if such Indebtedness had
been repaid, retired or redeemed on the first day of such Calculation Period.

     “Properties” shall mean the assets, facilities and properties owned, leased or
operated by any of the Credit Parties.

     “Purchase Agreement” means the Agreement and Plan of Merger dated as of June 2, 2006
by and among Holdings, BDI Acquisition Corp., an Ohio corporation, the Borrower and the other
Persons party thereto.

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     “Recapitalization” shall mean the Acquisition, the Equity Retention and the
transactions related thereto.

     “Recapitalization Documents” shall mean the Acquisition Documents and the Equity
Retention Documents.

     “Recovery Event” shall mean the receipt by the Credit Parties or any of their
Subsidiaries of any cash insurance proceeds or condemnation or expropriation award payable by
reason of theft, loss, physical destruction or damage, taking or similar event with respect to any
of their respective property or assets other than obsolete property or assets no longer used or
useful in the business of the Credit Parties or any of their Subsidiaries.

     “Register” shall have the meaning set forth in Section 2.1(b).

     “Reorganization” shall mean, with respect to any Multiemployer Plan, the condition
that such Plan is in reorganization within the meaning of such term as used in Section 4241 of
ERISA.

     “Reportable Event” shall mean any of the events set forth in Section 4043(c) of ERISA,
other than those events as to which the thirty day notice period is waived under PBGC Reg. §4043.

     “Required Purchasers” shall mean Purchasers holding in the aggregate more than 50% of
the Notes, based upon the principal amount of the Notes then outstanding at such time.

     “Requirement of Law” shall mean, as to any Person, the Certificate of Incorporation
and By laws or other organizational or governing documents of such Person, and each law, treaty,
rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in
each case applicable to or binding upon such Person or any of its property or to which such Person
or any of its property is subject.

     “Responsible Officer” shall mean, as to (a) the Borrower, the president, the chief
financial officer or the chief operating officer or (b) any other Credit Party, any duly authorized
officer thereof.

     “Restaurant” means a particular restaurant at a particular location that is owned or
operated by the Borrower or one of its Subsidiaries.

     “Restricted Payment” shall mean (a) the payment or declaration of any dividend or
other distribution, direct or indirect, on account of any shares of any class of Capital Stock of
any Credit Party or any of its Subsidiaries, now or hereafter outstanding, (b) any redemption,
retirement, sinking fund or similar payment, purchase or other acquisition for value, direct or
indirect, of any shares of any class of Capital Stock of any Credit Party or any of its
Subsidiaries, now or hereafter outstanding, (c) any payment made to retire, or to obtain the
surrender of, any outstanding warrants, options or other rights to acquire shares of any class of
Capital Stock of any Credit Party or any of its Subsidiaries, now or hereafter outstanding, (d) any
payment with respect to any earnout obligation, (e) any payment, prepayment, redemption or similar
payment with respect to any Subordinated Debt of any Credit Party or any of its Subsidiaries and
(f) the

19

 

payment by any Credit Party or any of its Subsidiaries of any management, advisory or
consulting fee to any Person or the payment of any extraordinary salary, bonus or other form of
compensation to any Person who is directly or indirectly a significant partner, shareholder, owner
or executive officer of any such Person, to the extent such extraordinary salary, bonus or other
form of compensation is not included in the corporate overhead of such Credit Party or such
Subsidiary.

     “Revolving Loan” shall have the meaning given to such term in the Senior Credit
Agreement, as in effect on the date hereof.

     “S&P” shall mean Standard & Poor’s Ratings Services, a division of The McGraw Hill
Companies, Inc.

     “Sale Leaseback Transaction” shall have the meaning set forth in Section 6.12.

     “Sanctioned Country” shall mean a country subject to a sanctions program identified on
the list maintained by OFAC and available at

     http://www.treas.gov/offices/eotffc/ofac/sanctions/index.html, or as otherwise
published from time to time.

     “Sanctioned Person” shall mean (i) a Person named on the list of “Specially Designated
Nationals and Blocked Persons” maintained by OFAC available at
http://www.treas.gov/offices/eotffc/ofac/sdn/index.html, or as otherwise published from time to
time, or (ii)(A) an agency of the government of a Sanctioned Country, (B) an organization
controlled by a Sanctioned Country, or (C) a person resident in a Sanctioned Country, to the extent
subject to a sanctions program administered by OFAC.

     “SBA Loans” shall mean the Indebtedness owned by the Borrower to Mid City Pioneer
Corporation and guaranteed by the Small Business Administration in an aggregate amount not to
exceed $271,000 as disclosed on Schedule 6.1(b).

     “Secured Parties” shall mean the Administrative Agent and the Purchasers.

     “Security Agreement” shall mean the Security Agreement dated as of the Closing Date
given by the Borrower and the Guarantors to the Administrative Agent, for the benefit of the
Secured Parties, as amended, restated, amended and restated, modified or supplemented from time to
time in accordance with its terms.

     “Security Documents” shall mean the Security Agreement, the Pledge Agreement, the
Mortgage Instruments, the Perfection Certificate and such other documents executed and delivered
and/or filed in connection with the attachment and perfection of the Administrative Agent’s
security interests and liens arising thereunder, including, without limitation, UCC financing
statements and patent, trademark and copyright filings.

     “Senior Agent” shall mean the Administrative Agent, as such term is defined in the
Senior Credit Agreement as in effect on the date hereof, and any successor with respect thereto.

20

 

     “Senior
Credit Agreement” shall mean the credit agreement, dated as of the date
hereof, among the Credit Parties, Senior Agent and the lenders party thereto, as amended, modified,
supplemented or restated in accordance with the terms of this Note Purchase Agreement.

     “Senior Debt” shall mean “Senior Indebtedness”, as defined in the Intercreditor
Agreement (as in effect on the Closing Date or as otherwise modified with the consent of the
Borrower).

     “Senior Debt Documents” shall mean the Senior Credit Agreement and all other
agreements, documents, certificates and instruments delivered to the Senior Agent or any Senior
Lender by any Credit Party or Affiliate thereof in connection therewith (other than any agreement,
document, certificate or instrument related to a Hedging Agreement), in each case as amended,
modified, supplemented or restated in accordance with the terms of this Note Purchase Agreement.

     “Senior Lenders” shall mean the “Lenders” as such term is defined in the Senior Credit
Agreement as in effect on the date hereof.

     “Senior Obligations” shall mean the “Credit Party Obligations” as such term is defined
in the Senior Credit Agreement as in effect on the date hereof.

     “Single Employer Plan” shall mean any Plan that is not a Multiemployer Plan.

     “Specified Sales” shall mean (a) the sale, transfer, lease or other disposition of
inventory and materials in the ordinary course of business, (b) the sale, transfer, lease or other
disposition of obsolete or worn out property or assets in the ordinary course of business and (c)
the sale, transfer or other disposition of cash into Cash Equivalents or Cash Equivalents into
cash.

     “Specified Transaction” has the meaning specified in the definition of “Pro Forma
Basis” set forth in this Section 1.1.

     “Sponsors” shall mean Castle Harlan, Inc. and Bruckmann, Rosser, Sherrill & Co.
L.L.C., together with their respective Affiliates.

     “Strategic Partner Plan” shall mean the Borrower’s employee incentive plan for certain
key operating employees of the Borrower.

     “Strategic Partner Plan Appreciation” shall mean the value of amounts accrued by
employees participating in the Strategic Partner Plan, determined on the basis of improved same
store sale performance and other criteria set forth in the Strategic Partner Plan and vested as set
forth in the Strategic Partner Plan.

     “Stockholders Agreements” shall mean, collectively, the New Investor Securities
Holders Agreement (as defined in the Purchase Agreement) and the Securities Holders Agreement (as
defined in the Purchase Agreement), in each case in the form attached as an Exhibit to the Purchase
Agreement.

21

 

     “Subordinated Debt” shall mean any indebtedness incurred by any Credit Party which by
its terms is specifically subordinated in right of payment to the prior payment of the Credit Party
Obligations and contains subordination and other terms acceptable to the Administrative Agent.

     “Subsidiary” shall mean, as to any Person, a corporation, partnership, limited
liability company or other entity of which shares of stock or other ownership interests having
ordinary voting power (other than stock or such other ownership interests having such power only by
reason of the happening of a contingency) to elect a majority of the board of directors or other
managers of such corporation, partnership or other entity are at the time owned, or the management
of which is otherwise controlled, directly or indirectly through one or more intermediaries, or
both, by such Person. Unless otherwise qualified, all references to a “Subsidiary” or to
“Subsidiaries” in this Note Purchase Agreement shall refer to a Subsidiary or Subsidiaries of the
Borrower.

     “Swingline Loan” shall have the meaning given to such term in the Senior Credit
Agreement, as in effect on the date hereof.

     “Target” shall have the meaning specified in the definition of “Permitted Acquisition”
set forth in this Section 1.1.

     “Term Loan” shall have the meaning given to such term in the Senior Credit Agreement,
as in effect on the date hereof.

     “Testing Date” shall have the meaning set forth in Section 2.5(b)(iv).

     “Trademark License” shall mean any agreement, whether written or oral, providing for
the grant by or to a Person of any right to use any Trademark, including, without limitation, any
thereof referred to in Schedule 3.14 to this Note Purchase Agreement.

     “Trademarks” shall mean (a) all trademarks, trade names, corporate names, company
names, business names, fictitious business names, service marks, elements of package or trade dress
of goods or services, logos and other source or business identifiers, together with the goodwill
associated therewith, now existing or hereafter adopted or acquired, all registrations and
recordings thereof, and all applications in connection therewith, whether in the United States
Patent and Trademark Office or in any similar office or agency of the United States, any State
thereof or any other country or any political subdivision thereof, including, without limitation,
any thereof referred to in Schedule 3.14 to this Note Purchase Agreement, and (b) all renewals
thereof including, without limitation, any thereof referred to in Schedule 3.14.

     “Transaction Costs” shall mean all one time legal, accounting, consulting and
professional fees and expenses incurred by the Credit Parties in connection with the Transactions.

     “Transactions” shall mean the closing of this Agreement and the other Note Purchase
Documents, the closing of the Senior Debt and the Senior Debt Documents and the consummation of the
Recapitalization and the other transactions contemplated hereby to occur in connection with such
closing and Recapitalization (including, without limitation, the issuance of

22

 

the Notes under the Note Purchase Documents, the incurrence of the Senior Debt and the payment
of fees and expenses in connection with all of the foregoing).

     “Transfer Effective Date” shall have the meaning set forth in each Transfer
Supplement.

     “Transfer Supplement” shall mean a Transfer Supplement, in substantially the form of
Schedule 9.6(c).

     “UCC” shall mean the Uniform Commercial Code from time to time in effect in any
applicable jurisdiction.

     “Voting Stock” shall mean, with respect to any Person, Capital Stock issued by such
Person the holders of which are ordinarily, in the absence of contingencies, entitled to vote for
the election of directors (or persons performing similar functions) of such Person, even though the
right so to vote may be or have been suspended by the happening of such a contingency.

     Section 1.2 Other Definitional Provisions.

     (a) Unless otherwise specified therein, all terms defined in this Note Purchase Agreement
shall have the defined meanings when used in the Notes or other Note Purchase Documents or any
certificate or other document made or delivered pursuant hereto.

     (b) The words “hereof’, “herein” and “hereunder” and words of similar import when used in this
Note Purchase Agreement shall refer to this Note Purchase Agreement as a whole and not to any
particular provision of this Note Purchase Agreement, and Section, subsection, Schedule and Exhibit
references are to this Note Purchase Agreement unless otherwise specified.

     (c) The meanings given to terms defined herein shall be equally applicable to both the
singular and plural forms of such terms.

     Section 1.3 Accounting Terms.

     Unless otherwise specified herein, all accounting terms used herein shall be interpreted, all
accounting determinations hereunder shall be made, and all financial statements required to be
delivered hereunder shall be prepared in accordance with GAAP applied on a basis consistent with
the most recent audited Consolidated financial statements of the Borrower delivered to the
Purchasers; provided that, if the Borrower notifies the Administrative Agent that it wishes
to amend any covenant in Section 5.9 to eliminate the effect of any change in GAAP on the operation
of such covenant (or if the Administrative Agent notifies the Borrower that the Required Purchasers
wish to amend Section 5.9 for such purpose), then the Borrower’s compliance with such covenant
shall be determined on the basis of GAAP in effect immediately before the relevant change in GAAP
became effective, until either such notice is withdrawn or such covenant is amended in a manner
satisfactory to the Borrower and the Required Purchasers.

     The Borrower shall deliver to the Administrative Agent and each Purchaser at the same time as
the delivery of any annual or quarterly financial statements given in accordance with the
provisions of Section 5.1, (i) a description in reasonable detail of any material change in the
application of accounting principles employed in the preparation of such financial statements

23

 

from those applied in the most recently preceding quarterly or annual financial statements as
to which no objection shall have been made in accordance with the provisions above and (ii) a
reasonable estimate of the effect on the financial statements on account of such changes in
application.

     For purposes of computing the financial covenants set forth in Section 5.9 for any applicable
test period, the Acquisition and any Permitted Acquisition or permitted sale of assets (including a
stock sale) shall have been deemed to have taken place as of the first day of such applicable test
period.

     Section 1.4 Time References.

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

ARTICLE II

PURCHASE AND SALE; TERMS OF THE NOTES.

     Section 2.1 Note Register; Notes.

     (a) Purchase and Sale of the Notes. Subject to the terms and conditions set forth
herein, the Borrower agrees to sell to each Purchaser, and each Purchaser severally agrees to
purchase from the Borrower, on the Closing Date, at par, the Borrower’s 13.25% Senior Subordinated
Secured Notes in the amount set forth opposite such Purchaser’s name on Schedule 2.1(a).
Each Note shall mature on December 29, 2012 (the “Maturity Date”); provided, that such
final installment shall in any event be in an amount equal to all remaining principal of and
accrued but unpaid interest (and any unpaid penalties, fees or other charges) on such Note,
including all Principal Increases associated therewith.

     (b) Note Register. The Administrative Agent shall maintain at Administrative Agent’s
office a register for the recordation of the names and addresses of the Purchasers, the initial
principal amount owing to each such Purchaser, any Principal Increases added to such principal
amount from time to time pursuant to the terms hereof and any assignments by any Purchaser made in
accordance with the terms of this Agreement (the “Register”). The entries in the Register
shall be conclusive and binding for all purposes, absent manifest error, and the Borrower, the
Administrative Agent and the Purchasers may treat each Person whose name is recorded in the
Register pursuant to the terms hereof as a Purchaser hereunder for all purposes of this Agreement,
notwithstanding notice to the contrary. The Register shall be available for inspection by the
Borrower at any reasonable time and from time to time upon reasonable prior notice to the
Administrative Agent. In addition, at any time that a request for a consent for a material or
substantive change to the Note Purchase Documents is pending, any Purchaser may request and receive
from the Administrative Agent a copy of the Register.

     (c) Evidence of Debt; Notes. Entries made in good faith by the Administrative Agent
in the Register pursuant to subsection (b) above shall be prima facie evidence of the amount of
principal and interest due and payable or to become due and payable from the Borrower to each
Purchaser under this Agreement, absent manifest error; provided, however, that the
failure of the

24

 

Administrative Agent to make an entry, or any finding that an entry is incorrect, in the
Register shall not limit or otherwise affect the obligations of the Borrower under this Agreement.
The Borrower agrees that upon notice by any Purchaser (with a copy of such notice to the
Administrative Agent) requesting to the effect that a promissory note or other evidence of
indebtedness is required or appropriate in order for such Purchaser to evidence (whether for
purposes of pledge, enforcement or otherwise) the obligations owing to such Purchaser by the
Borrower under this Agreement, the Borrower shall promptly execute and deliver to such Purchaser,
with a copy to the Administrative Agent, a Note substantially in the form of Schedule
2.1(c) (each, a “Note” and collectively, the “Notes”), payable to the order of
such Purchaser. All references to a Note or the Notes in the Note Purchase Documents shall be
deemed to refer to the obligations of the Borrower hereunder as evidenced by the Register and/or
any Notes to the extent issued hereunder, as applicable.

     Section 2.2 Payment of Purchase Price.

     The purchase price for the Notes shall be payable on the Closing Date in cash by wire transfer
of immediately available funds pursuant to the Borrower’s written instructions.

     Section 2.3 Fees, Costs and Expenses.

     On the Closing Date, the Borrower agrees to pay: (i) the commitment fee of $550,000 due and
payable to such Persons set forth on Schedule 2.3, in such amounts set forth opposite each such
Person’s name, and (ii) the costs and expenses of the Purchasers and the Administrative Agent, as
set forth in Section 9.6.

     Section 2.4 Manner of Payment.

     All payments and prepayments of principal or premium, if any, and interest on the Notes, and
all fees and other payments due under the Note Purchase Documents, shall be made without setoff or
counterclaim to the applicable Purchasers (or any other party, in the case of such fees and other
payments) by wire transfer or other transfer or delivery of funds, in accordance with each
Purchaser’s (or other party’s) instructions from time to time, so that such funds are received by
and available to the Purchasers (or other party, as the case may be) on or before the due date of
each such payment. Any principal, interest or other amount payable under the Note Purchase
Documents that becomes due on a day that is not a Business Day shall be payable on the next
Business Day.

     Section 2.5 Terms of the Notes.

     (a) Optional Prepayments. Subject to the provisions of the Intercreditor Agreement,
the Borrower shall have the right at any time and from time to time, upon at least ten (10)
Business Days’ prior written notice to the Administrative Agent, to prepay the Notes in whole or in
part, in an amount specified in such notice, by payment of the principal amount of the Notes (or
portion thereof) to be prepaid, together with accrued interest thereon to the date of such
prepayment and all Principal Increases (attributable to the portion of the Notes being prepaid)
incurred to the date of the prepayment, plus a premium equal to the applicable percentage of the
principal amount to be prepaid, determined as follows:

25

 

	 	 	 	 	 
	If Prepaid During 12 Month Period Ending On:	 	Applicable Percentage	 
	the first anniversary of the Closing Date
	 	 	3	%
	the second anniversary of the Closing Date
	 	 	2	%
	the third anniversary of the Closing Date
	 	 	1	%
	Thereafter
	 	 	0	%

     Any optional partial prepayment of the Notes shall be in the aggregate principal amount of not
less than $5,000,000, or any greater amount which is a multiple of $1,000,000, and shall be
accompanied by a written certification or other evidence reasonably satisfactory to the
Administrative Agent from the Senior Agent stating that such optional prepayment is permitted
pursuant to the Intercreditor Agreement, if such Intercreditor Agreement is still in effect. Each
notice of prepayment shall be irrevocable and shall require the specified payment to be made not
more than 15 Business Days and not less than 10 Business Days after such notice. Partial
prepayments of the Notes made as provided in this Section 2.5(a) shall, to the extent thereof, be
applied as set forth in Section 2.5(f).

     (b) Prepayments at Option of Holder, Mandatory Prepayments. Subject to the provisions
of the Intercreditor Agreement:

     (i) If there shall occur a Change of Control, then upon the request of the
Administrative Agent, the Borrower shall, upon the occurrence of such Change of
Control, prepay the Notes in full, together with accrued interest thereon to the
date of such prepayment (including the amount of all Principal Increases), together
with the applicable premium set forth in the table in Section 2.5(a).

     (ii) If there shall occur a merger or consolidation of the Borrower, or a sale
or divestiture of 50% or more of the Borrower’s or any of its Subsidiaries’ assets,
or other transaction which effectively accomplishes such a sale or divestiture, then
upon the request of the Administrative Agent the Borrower shall, on the closing date
of such transaction, prepay the Notes in full, together with accrued interest
thereon to the date of such prepayment (including the amount of all Principal
Increases), together with the applicable premium set forth in the table in Section
2.5(a).

     (iii) Immediately upon receipt by the Borrower or any other Credit Party of any
amounts from the Escrow Account in accordance with the terms of the Escrow
Agreement, then upon the request of the Administrative Agent, the Borrower shall
prepay the Notes as follows: (A) except as otherwise provided in the following
clause (B), apply at least 40% of such amounts released from the Escrow Account (1)
first, to prepay all Principal Increases and accrued interest with respect to the
Notes and (2) second, to permanently prepay the Notes and the Senior Term Loan on a
pro rata basis, and (B) if at the time of the receipt by the Credit Parties of
amounts from the Escrow Account the Consolidated Total Leverage Ratio (determined as
of the end of the fiscal quarter of the Borrower for which the Administrative Agent
shall have received the financial statements required to be delivered pursuant to
Section 5.1(a) or (b) and as certified in the compliance certificate delivered
pursuant to Section 5.2(b) in connection

26

 

therewith) is greater than 5.00 to 1.00, the. Borrower shall apply (or cause
to be applied) up to 100% (and in no event less than 40%) of such amounts released
from the Escrow Account (1) first, to prepay all Principal Increases and accrued
interest with respect to the Notes and (2) second, to permanently prepay the Notes
and the Senior Term Loan on a pro rata basis in a sufficient amount so that, after
giving effect to such payments on a Pro Forma Basis, the Consolidated Total Leverage
Ratio would be less than or equal to 5.00 to 1.00; provided, however, that if the
Senior Agent and/or Senior Lenders waive or otherwise do not accept a portion of the
corresponding prepayment of the Senior Term. Loan from the Escrow Account proceeds
in connection with the foregoing application of proceeds pursuant to this Section
2.5(b)(iii), then, at the request of the Administrative Agent, any such amounts that
would otherwise be applied to the Senior Term Loan shall be used to prepay the
Notes. Any prepayment of the Notes required by the Administrative Agent pursuant to
this Section 2.5(b)(iii) shall not require the payment of any premium set forth in
the table in Section 2.5(a).

     (iv) Notwithstanding anything to the contrary contained in Section 2.5(c)(ii)
below, if (1) the Notes remain outstanding after the fifth anniversary of the
initial issuance thereof and (2) the aggregate amount of the accrued but unpaid
interest on the Notes (including any amounts treated as interest for federal income
tax purposes, such as “original issue discount”) as of any Testing Date occurring
after such fifth anniversary exceeds an amount equal to the Maximum Accrual, then
all such accrued but unpaid interest on the Notes (including any amounts treated as
interest for federal income tax purposes, such as “original issue discount”) as of
such time in excess of an amount equal to the Maximum Accrual shall be paid in cash
by the Borrower to the holders thereof on such Testing Date, it being the intent of
the parties hereto that the deductibility of interest under the Notes shall not be
limited or deferred by reason of Section 163(i) of the Code. For these purposes,
the “Maximum Accrual” is an amount equal to the product of such Notes’ issue
price (as defined in Code Sections 1273(b) and 1274(a)) and their yield to maturity,
and a “Testing Date” is any Interest Payment Date and the date on which any
“accrual period” (within the meaning of Section 1272(a)(5) of the Code) closes. Any
accrued interest which for any reason has not theretofore been paid shall be paid in
full on the date on which the final principal payment on a Note is made.

     (c) Interest. Subject to the provisions of the Intercreditor Agreement:

     (i) From the Closing Date through and including the twelfth Interest Payment
Date (as defined below), interest on each Note shall accrue at the rate of 13.25%
per annum and shall be paid in cash on each such Interest Payment Date by wire
transfer of immediately available funds to an account designated by the holder of
such Note; provided, however, that the Borrower may, at its option,
elect, by written notice delivered to the Administrative Agent at least five (5)
Business Days prior to any such Interest Payment Date, to pay all, but not less than
all, of the accrued interest on the Notes otherwise due and payable on such

27

 

Interest Payment Date by increasing the outstanding principal amount of such
Note on such Interest Payment Date by an amount (the “Principal Increase”)
equal to 14.25% per annum on such Interest Payment Date. Each holder of Notes may
elect, in its sole discretion, to have any Principal Increase above paid in the form
of notes substantially similar to the Notes; provided, however, that
the failure to deliver any Note in connection with a standing request to have all
such Principal Increases payable in respect of this Section 2.5(c)(i) paid in the
form of a note (as opposed to a one-time request) shall not constitute an Event of
Default hereunder until such time as the Borrower is notified of its failure to
comply with such request and fails to comply with such request within a reasonable
period of time after such notice is delivered.

     (ii) Subject to Section 2.5(d) below, after the twelfth Interest Payment Date,
interest on each Note shall accrue at the rate of 13.25% per annum and shall be paid
as follows: (I) the Applicable Cash Percentage (as defined below) of the interest on
such Note shall be paid in cash on each Interest Payment Date (as defined below) by
wire transfer of immediately available funds to an account designated by the holder
of such Note, and (II) a Principal Increase equal to any portion of the interest on
such Note not paid in cash pursuant to the preceding clause (I) on such Interest
Payment Date (provided that the foregoing shall not be construed to excuse
the payment of cash interest on each Interest Payment Date in accordance with the
provisions of the preceding clause (I)). Each holder of Notes may elect, in its
sole discretion, to have any interest payable in respect of clause (H) above paid in
the form of notes substantially similar to the Notes; provided,
however, that the failure to deliver any Note in connection with a standing
request to have all interest payable in respect of clause (II) above paid in the
form of a note (as opposed to a one-time request) shall not constitute an Event of
Default hereunder until such time as the Borrower is notified of its failure to
comply with such request and fails to comply with such request within a reasonable
period of time after such notice is delivered. Notwithstanding the foregoing, the
Borrower may, at its option, elect to pay an amount in excess of the Applicable Cash
Percentage of the interest on the Notes in cash on each Interest Payment Date,
provided that such payment shall be accompanied by a written certification or other
evidence reasonably satisfactory to the Administrative Agent from the Senior Agent
stating that such additional cash payment is permitted pursuant to the Intercreditor
Agreement, if such Intercreditor Agreement is still in effect.

     (iii) Interest on the Notes shall accrue from the Closing Date until repayment
of the principal (including all Principal Increases) and payment of all accrued
interest in full. Interest shall be computed on the basis of a 360 day year of
twelve 30-day months and shall compound monthly.

     (iv) “Applicable Cash Percentage” shall be equal to 67.925%.

     (d) Default Rate of Interest. If any principal of or interest on the Notes is not
paid when due or there exists any other Default or Event of Default, the Notes shall bear interest
thereafter at the rate of three percent (3.0%) per annum in excess of the rate specified in Section

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2.5(c) above until either the date on which such overdue principal or interest is paid in full
or the date on which such other Default or Event of Default is cured. Notwithstanding anything
contained herein to the contrary, at the election of the Administrative Agent acting in its sole
discretion, all payments of additional interest on the Notes pursuant to this Section 2.5(d) may be
paid in-kind as Principal Increases with respect to the Notes.

     (e) Maximum Legal Rate of Interest. Nothing in this Agreement or in the Notes shall
require the Borrower to pay interest at a rate in excess of the maximum rate permitted by
applicable law and the interest rate otherwise applicable to the Notes (including any default rate
of interest) shall be reduced, if necessary, to conform to such maximum rate.

     (f) Application of Payments. All cash payments received in respect of the Notes shall
be applied (to the extent thereof) as follows: (i) first, to all costs and expenses of the
Purchasers and the Administrative Agent that are payable by the Borrower hereunder, (ii) second, to
accrued and unpaid interest on the Notes, (iii) third, to any prepayment premium due as a result of
such payment, and (iv) fourth, to the payment of the then outstanding principal balance of the
Notes. Unless otherwise agreed among the holders of the Notes, and evidenced in writing to the
Borrower prior to the payment date, all payments applied pursuant to clauses (i), (ii), (iii) or
(iv) above shall be applied among the Notes pro rata based on the principal amount of the Notes
outstanding and held by each holder thereof.

     (g) Agreements Between Note Holders and Subordination Agreements. The Borrower agrees
to acknowledge and abide by the terms and conditions of any allocation, participation, sharing or
subordination agreements now or hereafter entered into between and among the holders of the Notes,
or between the holders of the Notes and any other creditor of the Borrower (of which it has prior
written notice in adequate detail to so comply or to which it is a party), and shall join in any
such agreements at the request of the holders of the Notes.

     (h) No Acquisition of Notes or Senior Obligations. The Credit Parties shall not
permit any of their Affiliates (including any Sponsor) to purchase, redeem, prepay, tender for or
otherwise acquire, directly or indirectly, any of the outstanding Notes or Senior Obligations. The
Borrower will promptly cancel all Notes or Senior Obligations acquired by it, any other Credit
Party, or any Subsidiary or Affiliate (including any Sponsor) pursuant to any purchase, redemption,
prepayment or tender for the Notes or Senior Obligations pursuant to any provision of this
Agreement or otherwise and no Notes or Senior Obligations may be issued in substitution or exchange
for any such Notes or Senior Obligations.

     Section 2.6 Use of Proceeds.

     The Borrower will use the proceeds from the sale of the Notes solely in accordance with the
statement of sources and uses provided to the Administrative Agent pursuant to Section 3.29 hereof.

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ARTICLE III

REPRESENTATIONS AND WARRANTIES

     To induce the Purchasers to enter into this Note Purchase Agreement and to consummate the
transactions contemplated hereby, each of the Credit Parties hereby represents and warrants to the
Administrative Agent and to each Purchaser that:

     Section 3.1 Financial Condition; Projections.

     (a) Financial Condition. The Borrower has delivered the following financial
statements to the Administrative Agent:

     (i) balance sheets and the related statements of income and of cash flows for
the fiscal year ended December 25, 2005 for the Borrower and its Subsidiaries,
audited by nationally recognized independent certified public accountants;

     (ii) company prepared unaudited quarterly balance sheets and related -
statements of income and cash flows for the Borrower and its Subsidiaries through
March 26, 2006;

     (iii) company prepared unaudited monthly balance sheets and related statements
of income for the Borrower and its Subsidiaries through May 21, 2006; and

     (iv) (A) company prepared unaudited monthly balance sheets and related
statements of income for the Borrower and its Subsidiaries for each month of the
12 month period ending May 21, 2006 and (B) an opening pro forma balance sheet of
the Borrower and its Subsidiaries as of May 21, 2006, each giving effect to the
transactions contemplated hereby and the other Transactions to occur on the Closing
Date.

     The financial statements referred to in subsections (i), (ii), (iii) and (iv) above are
complete and correct in all material respects and present fairly the financial condition of the
Borrower and its Subsidiaries as of such dates. All such financial statements, including the
related schedules and notes thereto, have been prepared in accordance with GAAP applied
consistently throughout the periods involved (except as disclosed therein), subject, in the case of
interim statements, to the absence of footnotes and normal year end audit adjustments.

     (b) Projections. The projections of the annual operating budgets of the Borrower and
its Subsidiaries on a Consolidated basis, balance sheets and cash flow statements for the 2006 to
2011 fiscal years, copies of which have been delivered to the Administrative Agent, disclose all
assumptions made with respect to general economic, financial and market conditions used in
formulating such projections on the pro forma balance sheet referred to in Section 3.1(a)(iv)(B)
above. To the knowledge of the Credit Parties, no facts exist that (individually or in the
aggregate) would result in any material change in any of such projections or the pro forma balance
sheet. The projections are based upon reasonable estimates and assumptions, have been

30

 

prepared on the basis of the assumptions stated therein and reflect the reasonable estimates
of the Borrower and its Subsidiaries of the results of operations and other information projected
therein.

     Section 3.2 No Change.

     Since December 25, 2005, there has been no development or event which, either individually or
in the aggregate, has had or could reasonably be expected to have a Material Adverse Effect.
Except as disclosed in the financial statements provided to the Administrative Agent prior to the
Closing Date, from December 25, 2005 through the Closing Date, there has occurred no materially
adverse change in the financial condition or business of the Borrower and its Subsidiaries as shown
on or reflected in the balance sheet of Borrower and its Subsidiaries as at December 25, 2005, or
the statement of income for the fiscal period then ended, other than changes in the ordinary course
of business that have not had any materially adverse effect either individually or in the aggregate
on the business or financial condition of Borrower and its Subsidiaries.

     Section 3.3 Corporate Existence.

     Each of the Credit Parties (a) is duly organized, validly existing and in good standing under
the laws of the jurisdiction of its organization, (b) has the requisite power and authority and the
legal right to own and operate all its material property, to lease the material property it
operates as lessee and to conduct the business in which it is currently engaged, and (c) is duly
qualified to conduct business and in good standing under the laws of each jurisdiction where its
ownership, lease or operation of property or the conduct of its business requires such
qualification, except where the failure to be so qualified could not, individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect.

     Section 3.4 Corporate Power; Authorization; Enforceable Obligations.

     Each of the Credit Parties has full power and authority and the legal right to make, deliver
and perform the Note Purchase Documents to which it is party and has taken all necessary action to
authorize the execution, delivery and performance by it of the Note Purchase Documents to which it
is party. No consent or authorization of, filing with, notice to or other act by or in respect of,
any Governmental Authority or any other Person is required in connection with the borrowings
hereunder or with the execution, delivery or performance of any Note Purchase Document by any of
the Credit Parties (other than those which have been obtained) or with the validity or
enforceability of any Note Purchase Document against any of the Credit Parties (except such filings
as are necessary in connection with the perfection of the Liens created by such Note Purchase
Documents). Each Note Purchase Document to which it is a party has been duly executed and
delivered on behalf of the applicable Credit Party. Each Note Purchase Document to which it is a
party constitutes a legal, valid and binding obligation of each such Credit Party, enforceable
against such Credit Party in accordance with its terms, except as enforceability may be limited by
applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the
enforcement of creditors’ rights generally and by general equitable principles (whether enforcement
is sought by proceedings in equity or at law).

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     Section 3.5 Compliance with Laws; No Conflict; No Default.

     (a) The execution, delivery and performance by each Credit Party of the Note Purchase
Documents to which such Credit Party is a party, in accordance with their respective terms, the
borrowings hereunder and the transactions contemplated hereby do not and will not, by the passage
of time, the giving of notice or otherwise, (i) require any Governmental Approval (other than such
Governmental Approvals that have been obtained or made and not subject to suspension, revocation or
termination) or violate any Requirement of Law relating to such Credit Party, (ii) conflict with,
result in a breach of or constitute a default under the articles of incorporation, bylaws, articles
of organization, operating agreement or other organizational documents of such Credit Party or the
Senior Debt Documents or any material indenture, agreement or other instrument to which such Person
is a party or by which any of its properties may be bound or any Governmental Approval relating to
such Person, or (iii) result in or require the creation or imposition of any Lien upon or with
respect to any property now owned or hereafter acquired by such Person other than Liens arising
under the Note Purchase Documents and the Senior Debt Documents.

     (b) Each Credit Party (i)(x) has all Governmental Approvals required by law for it to conduct
its business, each of which is in full force and effect, (y) each such Governmental Approval is
final and not subject to review on appeal and (z) each such Governmental Approval is not the
subject of any pending or, to the best of its knowledge, threatened attack by direct or collateral
proceeding, in each case except to the extent as could not reasonably be expected to have a
Material Adverse Effect and (ii) is in compliance with each Governmental Approval applicable to it
and in compliance with all other Requirements of Law relating to it or any of its respective
properties, in each case except to the extent the failure to comply with such Governmental Approval
or Requirement of Law could not reasonably be expected to have a Material Adverse Effect. Each
Credit Party possesses or has the right to use, all leaseholds, licenses, easements and franchises
and all authorizations and other rights that are material to and necessary for the conduct of its
business. Except to the extent noncompliance with the foregoing leaseholds, easements and
franchises could not reasonably be expected to have a Material Adverse Effect, all of the foregoing
are in full force and effect, and the Credit Parties are in substantial compliance with the
foregoing without any known conflict with the valid rights of others. No event has occurred which
permits, or after notice or lapse of time or both would permit, the revocation or termination of
any such Governmental Approval, leasehold, license, easement, franchise or other right, which
termination or revocation could, individually or in the aggregate, reasonably be expected to have
Material Adverse Effect.

     (c) None of the Credit Parties is in default under or with respect to any of its Material
Contracts or under or with respect to any of its other Contractual Obligations, or any judgment,
order or decree to which it is a party, in any respect which could reasonably be expected to have a
Material Adverse Effect. No Default or Event of Default has occurred and is continuing.

     Section 3.6 No Material Litigation.

     No litigation, investigation or proceeding of or before any arbitrator or Governmental
Authority is pending or, to the knowledge of the Credit Parties, threatened by or against any
Credit Party or any Subsidiaries of the Credit Parties or against any of its or their respective

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properties or revenues (a) with respect to the Note Purchase Documents or any of the
transactions contemplated hereby, or (b) which could reasonably be expected to have a Material
Adverse Effect. No permanent injunction, temporary restraining order or similar decree has been
issued against Holdings, the Borrower or any of their Subsidiaries that could reasonably be
expected to have a Material Adverse Effect.

     Section 3.7 Investment Company Act; Etc.

     None of the Credit Parties is (a) an “investment company”, or a company “controlled” by an
“investment company”, within the meaning of the Investment Company Act of 1940, as amended, or (b)
subject to any other law or regulation limiting its ability to incur Indebtedness and/or the Credit
Party Obligations.

     Section 3.8 Margin Regulations.

     No part of the proceeds of any Notes will be used directly or indirectly for any purpose which
violates, or which would be inconsistent with, the provisions of Regulation T, U or X of the Board
of Governors of the Federal Reserve System as now and from time to time hereafter in effect. The
Credit Parties are not engaged, principally or as one of its important activities, in the business
of extending credit for the purpose of “purchasing” or “carrying” “margin stock” within the
respective meanings of each of such terms under Regulation U.

     Section 3.9 ERISA.

     Neither a Reportable Event nor an “accumulated funding deficiency” (within the meaning of
Section 412 of the Code or Section 302 of ERISA) has occurred during the five year period prior to
the date on which this representation is made or deemed made with respect to any Plan, and each
Plan has complied in all material respects with the applicable provisions of ERISA and the Code,
except to the extent that any such occurrence or failure to comply could not reasonably be expected
to have a Material Adverse Effect. No termination of a Single Employer Plan has occurred resulting
in any liability that has remained underfunded, and no Lien in favor of the PBGC or a Plan has
arisen, during such five year period which could reasonably be expected to have a Material Adverse
Effect. The present value of all accrued benefits under each Single Employer Plan (based on those
assumptions used to fund such Plans) did not, as of the last annual valuation date prior to the
date on which this representation is made or deemed made, exceed the value of the assets of such
Plan allocable to such accrued benefits by an amount which, as determined in accordance with GAAP,
could reasonably be expected to have a Material Adverse Effect. None of the Credit Parties, none
of the Subsidiaries of the Borrower and no Commonly Controlled Entity is currently subject to any
liability for a complete or partial withdrawal from a Multiemployer Plan that could reasonably be
expected to have a Material Adverse Effect.

     Section 3.10 Environmental Matters.

     (a) Except where such violation or liability could not, individually or in the aggregate,
reasonably be expected to have a Material Adverse Effect, the Properties do not contain any
Materials of Environmental Concern in amounts or concentrations which (i) constitute a violation
of, or (ii) could give rise to liability under, any Environmental Law.

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     (b) Except where such violation, individually or in the aggregate, could not reasonably be
expected to have a Material Adverse Effect, the Properties and all operations of the Credit Parties
at the Properties are in compliance, and have been in compliance, with all applicable Environmental
Laws, except for any non-compliances that are no longer outstanding or unresolved, and there has
been no release of Materials of Environmental Concern by the Credit Parties or, to the knowledge of
the Credit Parties, any other Person at, under or about the Properties or violation by the Credit
Parties of any Environmental Law with respect to the Properties or the business operated by the any
of the Credit Parties (the “Business”).

     (c) None of the Credit Parties has received any written notice of violation, alleged
violation, non compliance, liability or potential liability regarding an actual or threatened
release of Materials of Environmental Concern or compliance with Environmental Laws with regard to
any of the Properties or the Business which, individually or in the aggregate, could reasonably be
expected to have a Material Adverse Effect, nor does any of the Credit Parties have knowledge of
any such threatened notice.

     (d) Except where such violation or liability, individually or in the aggregate, could not
reasonably be expected to have a Material Adverse Effect, Materials of Environmental Concern have
not been transported or disposed of from the Properties in violation of, or in a manner or to a
location which could give rise to liability under any Environmental Law, nor have any Materials of
Environmental Concern been generated, treated, stored or disposed of at, on or under any of the
Properties in violation of, or in a manner that could give rise to liability under, any applicable
Environmental Law.

     (e) No judicial proceeding or governmental or administrative action is pending or, to the
knowledge of any Credit Party, threatened, under any Environmental Law to which any of the Credit
Parties is, or to the knowledge of the Credit Parties will be, named as a party with respect to the
Properties or the Business, nor are the Credit Parties liable for the fulfillment of any
outstanding requirements of any consent decrees or other decrees, consent orders, administrative
orders or other orders, under any Environmental Law with respect to the Properties or the Business
which could, individually or in the aggregate, reasonably be expected to have a Material Adverse
Effect.

     (f) Except where such violation or liability, individually or in the aggregate, could not
reasonably be expected to have a Material Adverse Effect, there has been no release or threat of
release of Materials of Environmental Concern at or from the Properties, or arising from or related
to the operations of any of the Credit Parties in connection with the Properties or otherwise in
connection with the Business, in violation of or in amounts or in a manner that could give rise to
liability under Environmental Laws.

     Section 3.11 Subsidiaries; Capitalization.

     (a) Set forth on Schedule 3.11(a) is a complete and accurate list of all Subsidiaries
of the Credit Parties as of the Closing Date. Information on such Schedule includes the number of
shares of each class of Capital Stock or other equity interests outstanding; the number and
percentage of outstanding shares of each class of stock owned by the Credit Parties or any of their
Subsidiaries as of the Closing Date; the number and effect, if exercised, of all outstanding

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options, warrants, rights of conversion or purchase and similar rights. The outstanding
Capital Stock and other equity interests of all such Subsidiaries is validly issued, fully paid and
non assessable and is owned, free and clear of all Liens (other than those arising under or
contemplated in connection with the Senior Debt Documents and the Note Purchase Documents).

     (b) On the Closing Date, immediately after giving effect to the Transactions, (i) the Capital
Stock of Borrower will consist of 3,000,000 shares of Common Stock, all of which will have been
duly authorized and 1,050,000 of which will be issued and outstanding and owned of record and
beneficially as set forth on Schedule 3.11(b), 100,000 shares of Preferred Stock, all of which will
have been duly authorized and 59,500 of which will be issued and outstanding and owned of record
and beneficially as set forth on Schedule 3.11(b), (ii) such issued and outstanding shares will be
validly issued by Borrower and fully paid, non-assessable and free of preemptive rights (except as
provided in the Stockholders Agreements), and (iii) except as set forth on Schedule 3.11(b), there
will be no options, warrants or other rights to acquire Capital Stock from the Borrower, or
agreements or other rights binding upon the Borrower to issue or sell Capital Stock of the
Borrower, whether on conversion or exchange of convertible securities or otherwise.

     Section 3.12 Ownership of Property and Assets.

     Each of the Credit Parties is the owner of, and has good and marketable title to, all of its
respective assets, which, together with assets leased or licensed by the Credit Parties, represents
all assets individually or in the aggregate material to the conduct of the businesses of the Credit
Parties, taken as a whole on the date hereof, and none of such assets is subject to any Lien other
than Permitted Liens. Each Credit Party enjoys peaceful and undisturbed possession under all of
its leases and all such leases are valid and subsisting and in full force and effect except where
any such failure could not reasonably be expected to have a Material Adverse Effect. The Credit
Parties have delivered to the Administrative Agent complete and accurate copies of all material
leases in effect as of the Closing Date.

     Section 3.13 Taxes.

     Each of the Credit Parties has filed, or caused to be filed, all federal, state and other
material tax returns required to be filed and paid (a) all federal, state and other material
amounts of taxes shown thereon to be due (including interest and penalties) and (b) all other
taxes, fees, assessments and other governmental charges (including mortgage recording taxes,
documentary stamp taxes and intangibles taxes) known by such Credit Party to be owing by it, except
for such taxes (i) which are not yet delinquent or (ii) that are being contested in good faith and
by proper proceedings, and against which adequate reserves are being maintained in accordance with
GAAP. None of the Credit Parties is aware as of the Closing Date of any proposed tax assessments
against it or any of its Subsidiaries which could, individually or in the aggregate, reasonably be
expected to have a Material Adverse Effect.

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     Section 3.14 Intellectual Property Rights.

     Each of the Credit Parties and their Subsidiaries owns, or has the legal right to use, the
Intellectual Property necessary for each of them to conduct its business as currently conducted.
Set forth on Schedule 3.14 is a list of all registered or issued Intellectual Property
owned by each of the Credit Parties and their Subsidiaries and all applications for registration or
issuance of Intellectual Property filed on the name of the Credit Parties or their Subsidiaries.
Except as disclosed in Schedule 3.14 hereto, (a) one or more of the Credit Parties has the
right to use the Intellectual Property disclosed in Schedule 3.14 hereto without payment of
royalties and (b) all registrations with and applications to Governmental Authorities in respect of
such Intellectual Property are in full force and effect. Except as in each case could not
reasonably be expected to have a Material Adverse Effect, none of the Credit Parties is in default
(or with the giving of notice or lapse of time or both, would be in default) under any license to
use any Intellectual Property; no claim has been asserted in writing or is pending by any Person
challenging or questioning the use of any Intellectual Property in their business or the validity
or effectiveness of any Intellectual Property, nor does the Credit Parties or any of their
Subsidiaries know of any claim; and, to the knowledge of the Credit Parties or any of their
Subsidiaries, the use of such Intellectual Property by the Credit Parties or any of their
Subsidiaries does not infringe on the rights of any Person. Schedule 3.14 may be updated
from time to time by the Borrower to include new Intellectual Property acquired after the Closing
Date by giving written notice thereof to the Administrative Agent.

     Section 3.15 Solvency.

     After giving effect to the Transactions, the fair saleable value of the Credit Parties assets,
measured on a going concern basis, exceeds all probable liabilities, including those to be incurred
pursuant to this Note Purchase Agreement. After giving effect to the Transactions, the Credit
Parties, taken as a whole (a) do not have unreasonably small capital in relation to the business in
which it is or proposes to be engaged or (b) have not incurred, and do not believe that they will
incur after giving effect to the Recapitalization, the incurrence of the Senior Obligations and the
other transactions contemplated by this Note Purchase Agreement, debts beyond their ability to pay
such debts as they become due. In executing the Note Purchase Documents and consummating the
Transactions, none of the Credit Parties intends to hinder, delay or defraud either present or
future creditors or other Persons to which one or more of the Credit Parties is or will become
indebted.

     Section 3.16 Location of Collateral, Etc.

     Set forth on Schedule 3.16(a) is a list of the owned and leased real Properties of the
Credit Parties and their Subsidiaries as of the Closing Date with street address, county and state
where located. Set forth on Schedule 3.16(b) is a list of all locations where any tangible
personal property of the Credit Parties and their Subsidiaries is located as of the Closing Date,
including county and state where located. Set forth on Schedule 3.16(c) is the state of
incorporation or formation, chief executive office and principal place of business and federal tax
identification number of each of the Credit Parties as of the Closing Date.

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     Section 3.17 No Burdensome Restrictions.

     None of the Credit Parties is a party to any agreement or instrument or subject to any other
obligation or any charter or corporate restriction or any provision of any applicable law, rule or
regulation which, individually or in the aggregate, could reasonably be expected to have a Material
Adverse Effect.

     Section 3.18 Labor Matters.

     There are no collective bargaining agreements or Multiemployer Plans covering the employees of
the Credit Parties as of the Closing Date, other than as set forth in Schedule 3.18 hereto, and as
of the Closing Date none of the Credit Parties has suffered any strikes, walkouts, work stoppages
or other material labor difficulty within the last five years, other than as set forth in Schedule
3.18 hereto. There are no strikes, walkouts, work stoppages or other material labor difficulty
pending or threatened against the Borrower or any Subsidiary except such as could not, individually
or in the aggregate, reasonably be expected to have a Material Adverse Effect.

     Section 3.19 Accuracy and Completeness of Information.

     All factual information heretofore, contemporaneously or hereafter furnished by or on behalf
of the Credit Parties in writing to the Administrative Agent or any Purchaser for purposes of or in
connection with this Note Purchase Agreement or any other Note Purchase Document, or any
transaction contemplated hereby or thereby, is or will be true and accurate in all material
respects and not incomplete by omitting to state any material fact necessary to make such
information not misleading. There is no fact now known to any of the Credit Parties which has, or
could reasonably be expected to have, a Material Adverse Effect which fact has not been set forth
herein, in the financial statements of the Credit Parties furnished to the Administrative Agent
and/or the Purchasers, or in any certificate, opinion or other written statement made or furnished
by or on behalf of the Credit Parties to the Administrative Agent and/or the Purchasers.

     Section 3.20 Material Contracts.

     Schedule 3.20 sets forth a complete and accurate list of all Material Contracts of the
Credit Parties and their Subsidiaries in effect as of the Closing Date. Other than as set forth in
Schedule 3.20, each such Material Contract is, and after giving effect to the Transactions
will be, in full force and effect in accordance with the terms thereof. The Credit Parties and
their Subsidiaries have delivered to the Administrative Agent a true and complete copy of each
Material Contract. Schedule 3.20 may be updated from time to time by the Borrower to
include new Material Contracts by giving written notice thereof to the Administrative Agent.

     Section 3.21 Insurance.

     The insurance coverage of the Credit Parties and their Subsidiaries as of the Closing Date is
outlined as to carrier, policy number, expiration date, type and amount on Schedule 3.21
and such insurance coverage complies with the requirements set forth in Section 5.5(b).

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     Section 3.22 Security Documents.

     The Security Documents create valid security interests in, and Liens on, the Collateral
purported to be covered thereby, which security interests and Liens are currently (or will be, upon
the execution of control agreements with respect to deposit and securities accounts and the filing
or recording of appropriate financing statements, Mortgage Instruments and notices of grants of
security interests in Intellectual Property, in each case in favor of the Administrative Agent on
behalf of the Secured Parties) perfected security interests and Liens, prior to all other Liens
other than Permitted Liens.

     Section 3.23 Regulation H.

     Except as previously disclosed to the Administrative Agent, no Mortgaged Property is a Flood
Hazard Property.

     Section 3.24 Classification of Senior Indebtedness.

     The Credit Party Obligations constitute “Senior Indebtedness” under and as defined in any
agreement governing any Subordinated Debt and the subordination provisions set forth in each such
agreement are legally valid and enforceable against the parties thereto.

     Section 3.25 Foreign Assets Control Regulations, Etc.

     Neither any Credit Party nor any of its Subsidiaries is an “enemy” or an “ally of the enemy”
within the meaning of Section 2 of the Trading with the Enemy Act of the United States of America
(50 U.S.C. App. §§ 1 et seq.), as amended. Neither any Credit Party nor any or its Subsidiaries
is in violation of (a) the Trading with the Enemy Act, as amended, (b) any of the foreign assets
control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as
amended) or any enabling legislation or executive order relating thereto or (c) the Patriot Act (as
defined in Section 9.18). None of the Credit Parties (i) is a blocked person described in section
1 of the Anti Terrorism Order or (ii) to the best of its knowledge, engages in any dealings or
transactions, or is otherwise associated, with any such blocked person.

     Section 3.26 Compliance with OFAC Rules and Regulations.

     None of Holdings, the Borrower, any Subsidiary of the Borrower or any Affiliate of the
Borrower or any Guarantor (i) is a Sanctioned Person, (ii) has any assets in Sanctioned Countries,
(iii) derives any of its operating income from investments in, or transactions, with Sanctioned
Countries, (iv) derives more than 15% of its operating income from investments in, or transactions
with Sanctioned Persons, or (v) to the knowledge of the Credit Parties, derives any of its
operating income from investments in, or transactions with Sanctioned Persons. No part of the
proceeds of any extension of credit hereunder will be used directly or indirectly to fund any
operations in, finance any investments or activities in or make any payments to, a Sanctioned
Person or a Sanctioned Country.

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     Section 3.27 Consummation of Recapitalization; Representations and Warranties from Other
Documents.

     The Recapitalization and related transactions and the incurrence of the Senior Obligations
have been consummated substantially in accordance with the terms of the Recapitalization Documents
and the Senior Debt Documents. As of the Closing Date, the Recapitalization Documents have not
been altered, amended or otherwise modified or supplemented or any condition thereof waived in a
manner adverse to the Purchasers without the prior written consent of the Administrative Agent. As
of the date hereof, to the knowledge of the Credit Parties, each of the representations and
warranties made in the Recapitalization Documents by each of the parties thereto is true and
correct in all material respects except for representations and warranties that relate to a
particular date and, with regard to such representations and warranties, the same were true and
correct as of such date. On the Closing Date, each of the representations and warranties made in
the Senior Debt Documents by the Credit Parties is true and correct in all material respects except
for representations and warranties that relate to a particular date and, with regard to such
representations and warranties, the same were true and correct as of such date.

     Section 3.28 Certain Transactions.

     Except for transactions set forth on Schedule 3.28 hereto, none of the Affiliates, officers,
directors, or employees of the Credit Parties or any of their Subsidiaries is presently a party to
any transaction with any Credit Party or any of their Subsidiaries (other than for services as
employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal
property to or from, or otherwise requiring payments to or from any officer, director or such
employee or, to the knowledge of the Credit Parties, any corporation, partnership, trust or other
entity in which any officer, director, or any such employee has a substantial interest or is an
officer, director, trustee or partner.

     Section 3.29 Use of Proceeds.

     On the Closing Date, the proceeds of the Notes shall be used, together with the proceeds from
the incurrence of the Senior Obligations (i) to finance in part the Recapitalization, (ii) to pay
certain costs, fees and expenses in connection with the Transactions, (iii) to refinance certain
existing Indebtedness of the Borrower, (iv) to pay any fees and expenses associated with this Note
Purchase Agreement on the Closing Date and (v) for working capital and other general corporate
purposes (including, without limitation, Capital Expenditures permitted hereunder), in each case
not in contravention of any Law or Note Purchase Document.

     Section 3.30 Small Business Concern.

     The Credit Parties together with their “affiliates” (as that term is defined in Section
121.103 of Title 13 of the Code of Federal Regulations) are a “small business concern” within the
meaning of the Small Business Investment Act of 1958, as amended (“SBIA”), and the
regulations thereunder (the “SBIC Regulations”), including Title 13, C.F.R. Section
121.301(c). The information pertaining to the Credit Parties set forth in Small Business
Administration Form

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1031 delivered to each Purchaser that is a Small Business Investment Company (“SBIC”)
licensed by the United States Small Business Administration (each an “SBIC Lender”) is
accurate and complete. The Credit Parties do not presently engage in, or shall hereafter engage
in, any activities, nor shall the Credit Parties use the proceeds of the sale of the Notes directly
or indirectly for any purpose for which an SBIC is prohibited from providing funds by the
regulations under the SBIC Regulations (including, without limitation, 13 C.F.R. Section 107.720).
To the knowledge of the Credit Parties, each SBIC that owns any securities issued by the Borrower,
together with a description of the kinds and amounts of securities held, are listed on Schedule
3.30 hereto.

ARTICLE IV

CONDITIONS PRECEDENT

     Section 4.1 Conditions to Closing Date.

     This Credit Agreement shall become effective upon, and the obligation of each Purchaser to
purchase the Notes on the Closing Date is subject to, the satisfaction of the following conditions
precedent:

     (a) Execution of Note Purchase Agreement and Note Purchase Documents. The
Administrative Agent shall have received (i) counterparts of this Note Purchase Agreement, executed
by a duly authorized officer of each party hereto, (ii) for the account of each Purchaser
requesting a promissory note, a Note, (iii) counterparts of the Security Agreement and the Pledge
Agreement, in each case conforming to the requirements of this Note Purchase Agreement and executed
by duly authorized officers of the Credit Parties or other Person, as applicable, (iv) counterparts
of the Intercreditor Agreement, executed by a duly authorized officer of each party thereto and (v)
counterparts of any other Note Purchase Document, executed by the duly authorized officers of the
parties thereto.

     (b) Authority Documents. The Administrative Agent shall have received the following:

     (i) Articles of Incorporation; Partnership Agreement. Copies of the
articles of incorporation, partnership agreement or other charter documents of each
Credit Party certified to be true and complete as of a recent date by the
appropriate governmental authority of the state of its incorporation or formation.

     (ii) Resolutions. Copies of resolutions of the board of directors or
other comparable managing body of each Credit Party approving and adopting the Note
Purchase Documents, the transactions contemplated therein and authorizing execution
and delivery thereof, certified by an officer or managing member of such Credit
Party as of the Closing Date to be true and correct and in force and effect as of
such date.

     (iii) Bylaws. A copy of the bylaws or other operating agreement of
each Credit Party certified by an officer or managing member of such Credit Party

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as of the Closing Date to be true and correct and in force and effect as of
such date.

     (iv) Good Standing. Copies of (i) certificates of good standing,
existence or its equivalent with respect to the each Credit Party certified as of a
recent date by the appropriate governmental authorities of the state of
incorporation or formation, as the case may be, and each other state in which the
failure of such Credit Party to be qualified to do business could reasonably be
expected to have a Material Adverse Effect and (ii) to the extent readily available,
a certificate indicating payment of all corporate and other franchise taxes
certified as of a recent date by the appropriate governmental taxing authorities.

     (v) Incumbency. An incumbency certificate of each Credit Party
certified by a secretary or assistant secretary to be true and correct as of the
Closing Date.

     Each officer’s certificate delivered pursuant to this Section 4.1(b) shall be substantially in
the form of Schedule 4.1(b) hereto.

     (c) Legal Opinion of Counsel. The Administrative Agent shall have received, in each
case, dated the Closing Date and addressed to the Administrative Agent and the Purchasers and in
form and substance acceptable to the Administrative Agent:

     (i) a legal opinion of Dechert LLP, counsel for the Credit Parties; and

     (ii) a legal opinion of special local counsel for the Borrower and each other
Credit Party incorporated or organized in the State of Ohio.

     (d) Personal Property Collateral. The Administrative Agent shall have received, in
form and substance satisfactory to the Administrative Agent:

     (i) searches of UCC filings in the jurisdiction of the chief executive office
and jurisdiction of formation of each Credit Party and each jurisdiction where any
Collateral is located or where a filing would need to be made in order to perfect
the Administrative Agent’s security interest in the Collateral, copies of the
financing statements on file in such jurisdictions and evidence that no Liens exist
other than Permitted Liens and Liens that are to be terminated on the Closing Date;

     (ii) UCC financing statements for each appropriate jurisdiction as is
necessary, in the Administrative Agent’s sole discretion, to perfect the
Administrative Agent’s security interest in the Collateral;

     (iii) searches of ownership of Intellectual Property in the appropriate
governmental offices;

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     (iv) such patent/trademark/copyright filings as requested by the
Administrative Agent in order to perfect the Administrative Agent’s security
interest in the Intellectual Property;

     (v) all stock certificates, if any, evidencing the Capital Stock pledged to the
Administrative Agent pursuant to the Pledge Agreement, together with duly executed
in blank undated stock powers attached thereto, shall be delivered to the Control
Agent, who shall hold such items for the benefit of the Secured Parties pursuant to
the Intercreditor Agreement;

     (vi) all instruments and chattel paper in the possession of any of the Credit
Parties, together with allonges or assignments as may be necessary or appropriate to
perfect the Administrative Agent’s security interest in the Collateral, shall be
delivered to the Control Agent, who shall hold such items for the benefit of the
Secured Parties pursuant to the Intercreditor Agreement; and

     (vii) duly executed consents as are necessary, in the Administrative Agent’s
sole discretion, to perfect the Purchasers’ security interest in the Collateral.

     (e) [Intentionally Omitted.]

     (f) Liability and Casualty Insurance. The Administrative Agent shall have received
copies of insurance policies or certificates of insurance evidencing liability and casualty
insurance (including, but not limited to, business interruption insurance) meeting the requirements
set forth herein or in the Security Documents. The Control Agent (for the benefit of the Secured
Parties) shall be named as lender’s loss payee on all casualty insurance policies providing
coverage in respect of any Collateral and as additional insured on all liability insurance
policies, in each case for the benefit of the Purchasers.

     (g) Reliance. The Administrative Agent shall have received a copy of each opinion,
report, agreement, and other document required to be delivered pursuant to the Recapitalization
Documents in connection with the Recapitalization and related transactions.

     (h) Litigation. There shall not exist any pending litigation or investigation
affecting or relating to (i) any Credit Party or any of its Subsidiaries that in the reasonable
judgment of the Administrative Agent and Purchasers could materially adversely affect the any
Credit Party or any of its Subsidiaries, this Agreement or the other Note Purchase Documents, that
has not been settled, dismissed, vacated, discharged or terminated prior to the Closing Date or
(ii) this Agreement, the other Note Purchase Documents, the Senior Debt or the Recapitalization
that has not been settled, dismissed, vacated, discharged or terminated prior to the Closing Date.

     (i) Solvency Certificate. The Administrative Agent shall have received an officer’s
certificate prepared by the chief financial officer of the Borrower as to the financial condition,
solvency and related matters of the Credit Parties and their Subsidiaries, after giving effect to
the Recapitalization, the issuance of the Notes and the initial borrowings under the Senior Debt
Documents, in substantially the form of Schedule 4.1(i) hereto.

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     (j) Organizational Structure. The corporate and capital and ownership structure of
the Borrower and its Subsidiaries (after giving effect to the Transactions) shall be as described
in Schedule 3.11(a) and/or Schedule 3.11(b). The Administrative Agent shall be
reasonably satisfied with the management structure, legal structure, voting control, liquidity,
total leverage and total capitalization of the Credit Parties.

     (k) Recapitalization Documents. The Administrative Agent shall have reviewed and
approved in its sole discretion all of the Recapitalization Documents (it being acknowledged the
form of Purchase Agreement as executed (including all exhibits and schedules) has been approved by
the Administrative Agent) and there shall not have been any material modification, amendment,
supplement or waiver to the Recapitalization Documents without the prior written consent of the
Administrative Agent, and the Recapitalization shall have been consummated in accordance with the
terms of the Recapitalization Documents (without waiver of any conditions precedent to the
obligations of any party thereto). The Administrative Agent shall have received a copy, certified
by an officer of the Borrower as true and complete, of each Recapitalization Document as originally
executed and delivered, together with all exhibits and schedules thereto.

     (l) Consents. The Administrative Agent shall have received evidence that all boards
of directors (including, without limitation, the board of directors of the Borrower prior to
Recapitalization), governmental, shareholder and material third party consents and approvals
necessary in connection with the Transactions have been obtained and all applicable waiting periods
have expired without any action being taken by any authority that could restrain, prevent or impose
any material adverse conditions on such transactions or that could seek or threaten any of the
foregoing.

     (m) Compliance with Laws. The financings and other Transactions contemplated hereby
shall be in compliance with all applicable laws and regulations (including all applicable
securities and banking laws, rules and regulations).

     (n) Bankruptcy. There shall be no bankruptcy or insolvency proceedings with respect
to Credit Parties or any of their Subsidiaries.

     (o) Senior Debt. The Borrower, the Senior Agent and the Senior Lenders shall have
entered into documentation with respect to the issuance of the Senior Debt in form and substance
(including, but not limited to, the composition, intercreditor and right of payment terms)
reasonably satisfactory to the Administrative Agent and the Purchasers. The Administrative Agent
shall have received a copy, certified by an officer of the Borrower as true and complete, of each
Senior Debt Document as originally executed and delivered, together with all exhibits and schedules
thereto. There shall not have been any material modification, amendment, supplement or waiver to
the Senior Debt Documents without the prior written consent of the Administrative Agent and
Purchasers. The Borrower shall have received gross cash proceeds from the issuance of the Senior
Debt in an amount equal to $82,500,000 and the Borrower shall have at least $17,000,000 available
for borrowing under the Revolving Loans.

     (p) Existing Indebtedness of the Credit Parties. All of the existing Indebtedness for
borrowed money of Holdings and its Subsidiaries (other than Indebtedness permitted to exist

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pursuant to Section 6.1) shall be repaid in full and all security interests related thereto
shall be terminated on the Closing Date.

     (q) Financial Statements. The Administrative Agent and the Purchasers shall have
received copies of the financial statements and projections referred to in Section 3.1 hereof, each
in form and substance reasonably satisfactory to it.

     (r) No Material Adverse Change. Since December 25, 2005, there has been no material
adverse change in the business, results of operations or financial condition of Holdings, the
Borrower or the Subsidiaries of the Borrower, taken as a whole.

     (s) Financial Condition Certificate. The Administrative Agent shall have received a
certificate or certificates executed by a Responsible Officer of the Borrower as of the Closing
Date stating that (i) no action, suit, investigation or proceeding is pending, ongoing or, to the
knowledge of any Credit Party, threatened in any court or before any other Governmental Authority
that purports to affect any Credit Party or any transaction contemplated by the Note Purchase
Documents, which action, suit, investigation or proceeding could reasonably be expected to have a
Material Adverse Effect and (ii) immediately after giving effect to this Note Purchase Agreement,
the other Note Purchase Documents, and all the Transactions contemplated to occur on such date, (A)
no Default or Event of Default exists, (B) all representations and warranties contained herein and
in the other Note Purchase Documents are true and correct in all respects, and (C) the Credit
Parties are in pro forma compliance with each of the initial financial covenants set forth in
Section 5.9 (as evidenced through detailed calculations of such financial covenants on a schedule
to such certificate) as of the last day of the month immediately preceding the Closing Date.

     (t) Equity Contribution. The Administrative Agent shall have received evidence that
the Borrower shall have received from the Sponsors and the Management Investors an equity
contribution in cash (and the value of the Equity Retention) of at least $69,000,000 (at least 75%
of which shall be provided by the Sponsors), and such equity contribution shall constitute not less
than 30% of the total capitalization of the Borrower, in each case on terms and conditions
acceptable to the Administrative Agent.

     (u) Adjusted Leverage Ratios. The Administrative Agent shall have received evidence
that the ratio of (A) Consolidated Funded Debt of the Borrower and its Subsidiaries as of the
Closing Date to (B) Adjusted Run Rate EBITDA of the Borrower and its Subsidiaries for the 12 month
period ended April 30, 2006, does not exceed 5.00 to 1.00. “Adjusted Run-Rate EBITDA”
shall mean the EBITDA of the Borrower and its Subsidiaries for the applicable period on a
Consolidated basis, calculated on the manner set forth on Schedule 4.1(u).

     (v) Usage of Revolving Commitments. After giving effect to the Transactions,
including the issuance of the Notes hereunder on the Closing Date, (i) the aggregate principal
amount of outstanding Revolving Loans, plus outstanding Swingline Loans plus outstanding
LOC Obligations shall not exceed $5,900,000, and (ii) the aggregate principal amount of outstanding
Revolving Loans and Swingline Loans shall not exceed $1,000,000.

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     (w) Patriot Act Certificate. The Administrative Agent shall have received a
certificate satisfactory thereto, for benefit of itself and the Purchasers, provided by the
Borrower that sets forth information required by the Patriot Act (as defined in Section 9.18)
including, without limitation, the identity of the Borrower, the name and address of the Borrower
and other information that will allow the Administrative Agent or any Lender, as applicable, to
identify the Borrower in accordance with the Patriot Act.

     (x) Fees. The Administrative Agent and the Purchasers shall have received all fees,
if any, owing pursuant to Section 2.6.

     (y) Certain Existing Indebtedness. The Administrative Agent shall have received true,
correct and complete copies, as certified by an officer of the Borrower, of all material
agreements, notes, instruments and other documents with respect to the (a) Existing Mortgage Debt
and (b) the SBA Loans.

     (z) Additional Matters. All other documents and legal matters in connection with the
transactions contemplated by this Note Purchase Agreement shall be reasonably satisfactory in form
and substance to the Administrative Agent and its counsel.

ARTICLE V

AFFIRMATIVE COVENANTS

     The Credit Parties hereby covenant and agree that on the Closing Date, and thereafter for so
long as this Note Purchase Agreement is in effect and until the Credit Party Obligations have been
paid in full, the Credit Parties shall, and shall cause each of their Subsidiaries to:

     Section 5.1 Financial Statements.

     Furnish to the Administrative Agent and each of the Purchasers:

     (a) Annual Financial Statements. As soon as available, but in any event within one
hundred twenty (120) days after the end of each fiscal year of the Borrower, (i) a copy of the
Consolidated balance sheet of the Borrower and its Consolidated Subsidiaries as at the end of such
fiscal year and the related Consolidated statements of income and retained earnings and of cash
flows of the Borrower and its Consolidated Subsidiaries for such year, audited by a firm of
independent certified public accountants reasonably acceptable to the Administrative Agent, setting
forth in each case in comparative form the figures for the preceding fiscal year and the
projections for such fiscal year and all such consolidated statements to be in reasonable detail,
prepared in accordance with GAAP, together with management discussion and analysis relating to
important operational and financial developments during such fiscal period, reported on without a
“going concern” or like qualification or exception, or qualification indicating that the scope of
the audit was inadequate to permit such independent certified public accountants to certify such
financial statements without such qualification and (ii) a list of any new Restaurants acquired or
opened (or any Restaurants closed or sold) within the last fiscal quarter of such fiscal year and,
if applicable, an amended Schedule 3.16(a) reflecting the addition of any new owned or
leased Properties (or the deletion of any owned or leased Properties) as applicable, which

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amended Schedule 3.16(a) shall, upon consummation of the applicable acquisition or
opening, or closing or sale, be substituted as a replacement Schedule 3.16(a);

     (b) Quarterly Financial Statements. As soon as available and in any event within
forty five (45) days after the end of each of the fiscal quarters of the Borrower, (i) a company
prepared Consolidated balance sheet of the Borrower and its Consolidated Subsidiaries as at the end
of such period and related company prepared Consolidated statements of income and retained earnings
and of cash flows for the Borrower and its Consolidated Subsidiaries for such quarterly period and
for the portion of the fiscal year ending with such period, in each case setting forth in
comparative form the figures for the corresponding period or periods of the preceding fiscal year
(subject to normal recurring year end audit adjustments) and the projections for such quarterly
period and for the portion of the fiscal year ending with such period, all in reasonable detail and
prepared in accordance with GAAP, together with management discussion and analysis relating to
important operational and financial developments during such fiscal period and (ii) a list of any
new Restaurants acquired or opened (or any Restaurants closed or sold) within such fiscal quarter
and, if applicable, an amended Schedule 3.16(a) reflecting the addition of any new owned or
leased Properties (or the deletion of any owned or leased Properties) as applicable, which amended
Schedule 3.16(a) shall, upon consummation of the applicable acquisition or opening, or
closing or sale, be substituted as a replacement Schedule 3.16(a);

     (c) Monthly Financial Statements. As soon as available, but in any event within
thirty (30) days after the end of each fiscal month of the Borrower, (i) a company prepared
consolidated balance sheet of the Borrower and its Consolidated Subsidiaries as at the end of such
period and related company prepared statements of income and retained earnings and of cash flows
for the Borrower and its Consolidated Subsidiaries for such monthly period and for the portion of
the fiscal year ending with such period, in each case setting forth in comparative form
consolidated figures for the corresponding period or periods of the preceding fiscal year (subject
to normal recurring quarterly adjustments and year end audit adjustments and the absence of
footnotes) and the projections for such fiscal month all in reasonable detail and prepared in
accordance with GAAP, together with management discussion and analysis relating to important
operational and financial developments during such fiscal period and a certification by the
principal financial or accounting officer of Borrower that the information contained in such
financial statements fairly presents the financial condition of Borrower and its Consolidated
Subsidiaries on the date thereof (subject to year-end adjustments) and (ii) monthly profit and loss
statements for each Restaurant in electronic format or in such other manner as the Administrative
Agent shall reasonably request; and

     (d) Annual Financial Plans. As soon as practicable and in any event within thirty
(30) days after the end of each fiscal year, a Consolidated budget and cash flow projections
prepared on a monthly basis of the Borrower and its Consolidated Subsidiaries for the following
fiscal year, in form and detail reasonably acceptable to the Administrative Agent and the Required
Purchasers, such budget to be prepared by the Borrower in a manner consistent with GAAP and to
include an operating and capital budget, a summary of the material assumptions made in the
preparation of such budget. Such budget shall be accompanied by a certificate of the managing
partner or chief financial officer of the Borrower to the effect that the budgets and other
financial data are based on reasonable estimates and assumptions, all of which are fair in

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light of the conditions which existed at the time the budget was made, have been prepared on
the basis of the assumptions stated therein, and reflect, as of the time so furnished, the
reasonable estimate of the Borrower and its Consolidated Subsidiaries of the budgeted results of
the operations and other information budgeted therein;

all such financial statements to fairly present in all material respects the financial condition
and results from operations of the entities and for the periods specified and to be prepared in
reasonable detail and in accordance with GAAP (subject, in the case of interim statements, to
normal recurring year end audit adjustments and the absence of footnotes) applied consistently
throughout the periods reflected therein and further accompanied by a description of, and an
estimation of the effect on the financial statements on account of, a change in the application of
accounting principles as provided in Section 1.3.

     Section 5.2 Certificates; Other Information.

     Furnish to the Administrative Agent and each of the Purchasers:

     (a) concurrently with the delivery of the financial statements referred to in Section 5.1(a)
above, a certificate of the independent certified public accountants reporting on such financial
statements stating that in making the examination necessary therefor no knowledge was obtained of
any Default or Event of Default under this Note Purchase Agreement, except as specified in such
certificate;

     (b) concurrently with the delivery of the financial statements referred to in Sections 5.1(a)
and 5.1(b) above (commencing with the delivery of the financial statements for the fiscal year
ending December 31, 2006), a certificate of a Responsible Officer substantially in the form of
Schedule 5.2(b) (i) stating that (A) such financial statements present fairly the financial
position of the Borrower and its Consolidated Subsidiaries for the periods indicated in conformity
with GAAP applied on a consistent basis (subject, in the case of interim financial statements, to
normal year end audit adjustments and the absence of footnotes), (B) each of the Credit Parties
during such period observed or performed in all material respects all of its covenants and other
agreements, and satisfied in all material respects every condition, contained in this Note Purchase
Agreement to be observed, performed or satisfied by it, and (C) such Responsible Officer has
obtained no knowledge of any Default or Event of Default except as specified in such certificate
and (ii) providing calculations in reasonable detail required to indicate compliance with Section
5.9 as of the last day of such period;

     (c) promptly after the same are available, copies of each annual report, proxy or financial
statement or other report or communication sent to the stockholders of the Borrower, and copies of
all annual, regular, periodic and special reports and registration statements which the Borrower
may file or be required to file with the Securities and Exchange Commission under Section 13 or
15(d) of the Securities Exchange Act of 1934, or with any national securities exchange, and in any
case not otherwise required to be delivered to the Administrative Agent pursuant hereto;

     (d) within one hundred twenty (120) days after the end of each fiscal year of the Borrower, a
certificate containing information regarding (i) the calculation of Excess Cash Flow

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(as defined in the Senior Credit Agreement) (beginning with the fiscal year ending December
31, 2007) and (ii) the amount of all Asset Dispositions, Debt Issuances, and Equity Issuances (as
such terms are defined in the Senior Credit Agreement) that were made during the prior fiscal year
and amounts received in connection with any Recovery Event during the prior fiscal year;

     (e) promptly upon receipt thereof, a copy or summary of any other report, or “management
letter” submitted or presented by independent accountants to Holdings, the Borrower or any of their
respective Subsidiaries in connection with any annual, interim or special audit of the books of
such Person;

     (f) promptly upon receipt thereof, copies of all notices delivered to the Borrower or any
other Credit Party or sent by or on behalf of the Borrower or any other Credit Party with respect
to the Senior Obligations;

     (g) promptly upon their becoming available, copies of (i) all press releases and other
statements made available generally by the Credit Parties to the public concerning material
developments in the business of the Credit Parties and their Subsidiaries and (ii) any non routine
correspondence or official notices received by the Credit Parties or any of their Subsidiaries from
any federal, state or local governmental authority which regulates the operations of the Credit
Parties and their Subsidiaries;

     (h) promptly, upon the request of the Administrative Agent, the current version of the
registry of holders of the Senior Obligations; and

     (i) promptly, such additional financial and other information as the Administrative Agent, on
behalf of any Purchaser, may from time to time reasonably request.

     Section 5.3 Payment of Taxes and Other Obligations.

     Pay, discharge or otherwise satisfy at or before maturity or before they become delinquent, as
the case may be, in accordance with industry practice (subject, where applicable, to specified
grace periods) all its taxes (Federal, state, local and any other taxes) and other obligations and
liabilities of whatever nature and any additional costs that are imposed as a result of any failure
to so pay, discharge or otherwise satisfy such taxes, obligations and liabilities, except when the
amount or validity of any such taxes, obligations and liabilities is currently being contested in
good faith by appropriate proceedings and reserves, if applicable, in conformity with GAAP with
respect thereto have been provided on the books of the Credit Parties.

     Section 5.4 Conduct of Business and Maintenance of Existence.

     Continue to engage in business of the same general type as now conducted by it on the Closing
Date (and other businesses ancillary or related thereto) and preserve, renew and keep in full force
and effect its existence and good standing take all reasonable action to maintain all rights,
privileges and franchises necessary or desirable in the normal conduct of its business and to
maintain its goodwill; comply with all Contractual Obligations and Requirements of Law applicable
to it except to the extent that failure to comply therewith could not, in the aggregate, reasonably
be expected to have a Material Adverse Effect.

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     Section 5.5 Maintenance of Property; Insurance.

     (a) Keep all material property useful and necessary in its business in good working order and
condition (ordinary wear and tear and obsolescence excepted).

     (b) Maintain with financially sound and reputable insurance companies insurance on all its
property (including without limitation its tangible Collateral) in at least such amounts and
against at least such risks as are usually insured against in the same geographical area by
companies engaged in the same or a similar business (including, without limitation, business
interruption insurance); and furnish to the Administrative Agent, upon written request, full
information as to the insurance carried. The Control Agent (for the benefit of the Secured
Parties) shall be named as loss payee or mortgagee, as its interest may appear, with respect to any
such casualty insurance providing coverage in respect of any Collateral, and each of the Senior
Agent and Control Agent (for the benefit of the Secured Parties) shall be named as an additional
insured with respect to any liability insurance, and each provider of any such insurance shall
agree, by endorsement upon the policy or policies issued by it or by independent instruments
furnished to the Administrative Agent and Control Agent, that it will give the Administrative Agent
or Control Agent, as applicable, thirty (30) days prior written notice before any such policy or
policies shall be altered or canceled, and that no act or default of any Credit Party or any other
Person shall affect the rights of the Administrative Agent, Control Agent or the Purchasers under
such policy or policies.

     (c) In case of any material loss, damage to or destruction of the Collateral of any Credit
Party or any part thereof, such Credit Party shall promptly give written notice thereof to the
Administrative Agent generally describing the nature and extent of such damage or destruction. In
case of any loss, damage to or destruction of the Collateral of any Credit Party or any part
thereof, such Credit Party, whether or not the insurance proceeds, if any, received on account of
such damage or destruction shall be sufficient for that purpose, at such Credit Party’s cost and
expense, will promptly repair or replace the Collateral of such Credit Party so lost, damaged or
destroyed unless such Credit Party shall have reasonably determined that such repair or replacement
of the affected Collateral is not economically feasible or is not deemed in the best business
interest of such Credit Party.

     Section 5.6 Inspection of Property; Books and Records; Discussions.

     Keep proper books of records and account in which full, true and correct entries in conformity
with GAAP and all Requirements of Law shall be made of all dealings and transactions in relation to
its businesses and activities; and permit, during regular business hours and upon reasonable notice
by the Administrative Agent, the Administrative Agent and any of its representatives (including,
without limitation, counsel, accountants, environmental consultants or engineers and other
professional advisers) to visit and inspect any of its properties and examine and make abstracts
from any of its books and records at any reasonable time (at the Borrower’s sole cost and expense
only for the initial visit and inspection each calendar year, except as otherwise provided below)
and upon reasonable notice and as often as may reasonably be desired, and to discuss the business,
operations, properties and financial and other condition of the Credit Parties with officers and
employees of the Credit Parties and with their independent certified public accountants; provided,
however, that when an Event of Default exists the

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Administrative Agent or any Purchaser (or any of their respective representatives or
independent contractors) may do any of the foregoing at the sole cost and expense of the Borrower
at any time during normal business hours, with reasonable advance notice.

     Section 5.7 Notices.

     (a) Immediately after any Credit Party obtains actual knowledge thereof, provide written
notice to the Administrative Agent (which shall transmit such notice to each Purchaser as soon as
practicable) of the occurrence of any Default or Event of Default.

     (b) Promptly (but in no event later than five (5) Business Days after any Credit Party obtains
actual knowledge thereof) provide written notice of the following to the Administrative Agent
(which shall transmit such notice to each Purchaser as soon as practicable):

     (i) the occurrence of any default or event of default under any Contractual
Obligation of any of the Credit Parties which could reasonably be expected to have a
Material Adverse Effect or involve a monetary claim in excess of $1,000,000;

     (ii) any litigation, or any investigation or proceeding (A) affecting any of
the Credit Parties and involving amounts in controversy in excess of $1,000,000 or
involving injunctions or requesting injunctive relief by or against any Credit Party
or any Subsidiary of the Credit Parties or (B) affecting or with respect to this
Note Purchase Agreement, any other Note Purchase Document or any Recapitalization
Document;

     (iii) (A) the occurrence or expected occurrence of any Reportable Event with
respect to any Plan, a failure to make any required contribution to a Plan, the
creation of any Lien in favor of the PBGC (other than a Permitted Lien) or a Plan or
any withdrawal from, or the termination, Reorganization or Insolvency of, any
Multiemployer Plan or (B) the institution of proceedings or the taking of any other
action by the PBGC or any Credit Party or any Commonly Controlled Entity or any
Multiemployer Plan with respect to the withdrawal from, or the terminating,
Reorganization or Insolvency of, any Plan;

     (iv) any notice of any material violation received by any Credit Party from any
Governmental Authority including, without limitation, any notice of material
violation of Environmental Laws;

     (v) any labor controversy that has resulted in, or threatens to result in, a
strike or other work action against any Credit Party which could reasonably be
expected to have a Material Adverse Effect;

     (vi) any attachment, judgment, lien, levy or order exceeding $1,000,000 that
may be assessed against or threatened against any Credit Party other than Permitted
Liens; and

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     (vii) any other development or event which could reasonably be expected to have
a Material Adverse Effect.

     Each notice pursuant to this Section shall be accompanied by a statement of a Responsible
Officer setting forth details of the occurrence referred to therein and stating what action the
Borrower proposes to take with respect thereto. in the case of any notice of a Default or Event of
Default, the Borrower shall specify that such notice is a Default or Event of Default notice on the
face thereof.

     Section 5.8 Environmental Laws.

     (a) Comply in all material respects with all applicable Environmental Laws and obtain and
comply in all material respects with and maintain any and all material licenses, approvals,
notifications, registrations or permits required by applicable Environmental Laws;
provided, however, that the any failure(s) to comply with this Section 5.8 shall
not constitute a breach of this Section 5.8 until such time as the possible liabilities,
obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or
disbursements of any kind that may be incurred in connection therewith exceed $1,000,000
individually or in the aggregate.

     (b) Conduct and complete all investigations, studies, sampling and testing, and all remedial,
removal and other actions required under Environmental Laws and promptly comply in all material
respects with all lawful orders and directives of all Governmental Authorities regarding
Environmental Laws except to the extent that the same are being contested in good faith by
appropriate proceedings and the pendency of such proceedings, individually or in the aggregate,
could not reasonably be expected to have a material and adverse effect on the Properties or the
operation thereof.

     (c) Defend, indemnify and hold harmless the Administrative Agent and the Purchasers, and their
respective employees, agents, officers and directors, from and against any and all claims, demands,
penalties, fines, liabilities, settlements, damages, costs and expenses of whatever kind or nature
known or unknown, contingent or otherwise, arising out of, or in any way relating to the violation
of, noncompliance with or liability (in each case, whether threatened or actual) under, any
Environmental Law applicable to the operations of the Credit Parties or the Properties, or any
orders, requirements or demands of Governmental Authorities related thereto, including, without
limitation, reasonable attorney’s and consultant’s fees, investigation and laboratory fees,
response costs, court costs and litigation expenses, except to the extent that any of the foregoing
arise out of the gross negligence or willful misconduct of the party seeking indemnification
therefor. The agreements in this paragraph shall survive repayment of the Notes and all other
amounts payable hereunder.

     Section 5.9 Financial Covenants.

     Comply with the following financial covenants:

     (a) Consolidated Total Leverage Ratio. As of the end of each fiscal quarter ending
during the following periods, the Consolidated Total Leverage Ratio shall be less than or equal to:

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	Period	 	Maximum Ratio
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	6.45 to 1.00	 
	April 1, 2007 through December 31, 2007
	 	 	6.15 to 1.00	 
	January 1, 2008 through December 31, 2008
	 	 	5.45 to 1.00	 
	January 1, 2009 through December 31, 2009
	 	 	4.75 to 1.00	 
	January 1, 2010 through December 31, 2010
	 	 	4.10 to 1.00	 
	January 1, 2011 and thereafter
	 	 	3.90 to 1.00	 

     (b) Consolidated Senior Leverage Ratio. As of the end of each fiscal quarter ending
during the following periods, the Consolidated Senior Leverage Ratio shall be less than or equal
to:

	 	 	 	 	 
	Period	 	Maximum Ratio
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	4.80 to 1.00	 
	April 1, 2007 through December 31, 2007
	 	 	4.60 to 1.00	 
	January 1, 2008 through December 31, 2008
	 	 	4.10 to 1.00	 
	January 1, 2009 through December 31, 2009
	 	 	3.60 to 1.00	 
	January 1, 2010 through December 31, 2010
	 	 	3.05 to 1.00	 
	January 1, 2011 and thereafter
	 	 	2.75 to 1.00	 

     (c) Consolidated Fixed Charge Coverage Ratio. As of the end of each fiscal quarter
ending during the following periods, the Consolidated Fixed Charge Coverage Ratio shall be greater
than or equal to:

	 	 	 	 	 
	Period	 	Minimum Ratio
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	1.00 to 1.00	 
	April 1, 2007 through September 30, 2007
	 	 	1.10 to 1.00	 
	October 1, 2007 through December 31, 2008
	 	 	1.20 to 1.00	 
	January 1, 2009 and thereafter
	 	 	1.30 to 1.00	 

     (d) Consolidated Capital Expenditures. The sum of (a) Consolidated Capital
Expenditures for any fiscal year less (b) the amount of payments for tenant incentives
actually received by the Borrower and its subsidiaries during such fiscal year, shall be less than
or equal to the amounts set forth in the table below opposite such fiscal year; provided
that the maximum amount of Consolidated Capital Expenditures permitted in each fiscal year shall be
increased by one hundred (100%) of the unused Consolidated Capital Expenditures from the
immediately preceding fiscal year (calculated without reference to any amounts carried forward to
such preceding year from any earlier year pursuant to this proviso); provided
further, however, that to the extent that less than seventy percent (70%) of the
permitted Consolidated Capital Expenditures for any fiscal year is utilized, the Borrower shall
only be permitted to carry forward to the following fiscal year fifty percent (50%) of such unused
Consolidated Capital Expenditures from such immediately preceding fiscal year (calculated without
reference to any amounts carried forward from prior years pursuant to this proviso):

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	Fiscal Year 	 	Amount
	Fiscal Year 2006
	 	$	24,200,000	 
	Fiscal Year 2007
	 	$	22,300,000	 
	Fiscal Year 2008
	 	$	22,300,000	 
	Fiscal Year 2009
	 	$	22,900,000	 
	Fiscal Year 2010
	 	$	23,500,000	 
	Fiscal Year 2011 and thereafter
	 	$	23,600,000	 

     Notwithstanding the foregoing, the Borrower will not (and will not permit any of its
Subsidiaries to) commit to open any new Restaurants (including without limitation entering into any
lease, purchase agreement, construction contract or other agreement or arrangement relating to the
lease, acquisition, build-out or refurbishment of any property in connection with the opening or
anticipated opened of a new Restaurant (other than leases which are subject to a binding written
commitment)) if at such time, the Consolidated Total Leverage Ratio as at the end of the most
recently ended fiscal quarter for which the Borrower has delivered the required financial
statements pursuant to Section 5.1(b) and a compliance certificate pursuant to Section 5.2(b)
exceeds the Incurrence Ratio, or if any Default or Event of Default then exists or would result
therefrom; provided, however, that if at any time, the Consolidated Total Leverage
Ratio as at the end of the most recently ended fiscal quarter for which the Borrower has delivered
the required financial statements pursuant to Section 5.1(b) and a compliance certificate pursuant
to Section 5.1(b) exceeds the Incurrence Ratio, the Borrower shall use commercially reasonable
efforts to minimize Consolidated Growth Capital Expenditures.

     Notwithstanding the above, the parties hereto acknowledge and agree that, for purposes of all
calculations made in determining compliance for any applicable period with the financial covenants
set forth in this Section 5.9 (including, without limitation for the purposes of the definition of
“Pro Forma Basis” set forth in Section 1.1), (i) after consummation of any Permitted Acquisition,
(A) income statement items and other balance sheet items (whether positive or negative)
attributable to the Target acquired in such transaction shall be included in such calculations to
the extent relating to such applicable period, subject to adjustments mutually acceptable to the
Borrower and the Required Purchasers, and (B) Indebtedness of a Target which is retired in
connection with the Acquisition or any Permitted Acquisition shall be excluded from such
calculations and deemed to have been retired as of the first day of such applicable period and (ii)
after any asset disposition permitted by Section 6.4(a)(vi), (A) income statement items, cash flow
statement items and other balance sheet items (whether positive or negative) attributable to the
property or assets disposed of shall be excluded in such calculations to the extent relating to
such applicable period, subject to adjustments mutually acceptable to the Borrower and the
Administrative Agent (after consultation with the Purchasers) and (B) Indebtedness that is repaid
with the proceeds of such asset disposition shall be excluded from such calculations and deemed to
have been repaid as of the first day of such applicable period.

     Section 5.10 Additional Guarantors.

     The Credit Parties will cause each of their Domestic Subsidiaries, whether newly formed, after
acquired or otherwise existing, and each other entity that guarantees the Senior Obligations to
promptly (and in any event within thirty (30) days after such Domestic Subsidiary is formed or
acquired (or such longer period of time as agreed to by the Administrative Agent in its

53

 

reasonable discretion)) become a Guarantor hereunder by way of execution of a Joinder
Agreement. In connection therewith, the Credit Parties shall give notice to the Administrative
Agent not less than ten (10) days prior to creating a Domestic Subsidiary (or such shorter period
of time as agreed to by the Administrative Agent in its reasonable discretion), or acquiring the
Capital Stock of any other Person. The Credit Party obligations shall be secured by, among other
things, a first priority (subject only to the Lien in favor of the Senior Agent securing the Senior
Debt) perfected security interest in the Collateral of such new Guarantor and a pledge of 100% of
the Capital Stock of such new Guarantor and its Domestic Subsidiaries and 65% (or such higher
percentage that would not result in material adverse tax consequences for such new Guarantor) of
the voting Capital Stock and 100% of the non voting Capital Stock of its first tier Foreign
Subsidiaries. In connection with the foregoing, the Credit Parties shall deliver to the
Administrative Agent, with respect to each new Guarantor to the extent applicable, substantially
the same documentation required pursuant to Sections 4.1(b) (f) and 5.12 and such other documents
or agreements as the Administrative Agent may reasonably request.

     Section 5.11 Compliance with Law.

     Comply with all laws, rules, regulations and orders, and all applicable restrictions imposed
by all Governmental Authorities, applicable to it and its property, except in such instances in
which (a) such law, rule, regulation, order or restriction is being contested in good faith by
appropriate proceedings diligently conducted or (b) such noncompliance with any such law, rule,
regulation, order or restriction, either individually or in the aggregate, could not reasonably be
expected to have a Material Adverse Effect.

     Section 5.12 Pledged Assets.

     (a) Cause 100% of the Capital Stock in each of its direct or indirect Domestic Subsidiaries
(other than, with respect to the Capital Stock of the Borrower, any Permitted Management Capital
Stock) and 65% of the Capital Stock in each of its Foreign Subsidiaries to be subject at all times
to a first priority (subject only to the Lien in favor of the Senior Agent securing the Senior
Debt), perfected Lien in favor of the Administrative Agent pursuant to the terms and conditions of
the Security Documents or such other security documents as the Administrative Agent shall
reasonably request.

     (b) If, subsequent to the Closing Date, a Credit Party shall acquire any real property or any
securities, instruments, chattel paper or other personal property required for perfection to be
delivered to the Administrative Agent (or, as the case may be, to the Control Agent, for the
benefit of the Secured Parties pursuant to the Intercreditor Agreement) as Collateral hereunder or
under any of the Security Documents, promptly (and in any event within three (3) Business Days)
after any Responsible Officer of a Credit Party acquires knowledge of same notify the
Administrative Agent of same.

     (c) Each Credit Party shall, and shall cause each of its Subsidiaries to, take such action at
its own expense as requested by the Administrative Agent (including, without limitation, any of the
actions described in Section 4.1(d) or (e) hereof and delivery of opinions of counsel) to ensure
that the Administrative Agent has a first priority perfected Lien (subject to Permitted Liens) to
secure the Credit Party Obligations in (i) all personal property of the Credit

54

 

Parties located in the United States, (ii) to the extent deemed to be material by the
Administrative Agent or the Required Purchasers in its or their sole reasonable discretion, all
other personal property of the Credit Parties, (iii) subject to Section 5.20, all owned real
property of the Credit Parties located in the United States and (iv) subject to Section 5.20, all
leased real property of the Credit Parties located in the United States. Each Credit Party shall,
and shall cause each of its Subsidiaries to, adhere to the covenants regarding the location of
personal property as set forth in the Security Documents.

     Section 5.13 Hedging Agreements.

     Within 90 days following the Closing Date, the Borrower shall obtain interest rate protection,
pursuant to Hedging Agreements for a term of at least three (3) years with a counterparty and on
terms acceptable to the Administrative Agent, such that at least 50% of the Borrower’s total
capitalization consists of Indebtedness bearing interest at a fixed rate.

     Section 5.14 Covenants Regarding Patents, Trademarks and Copyrights.

     (a) Notify the Administrative Agent promptly if it knows or has reason to know that any
application, letters patent or registration relating to any Patent, Patent License, Trademark or
Trademark License of the Credit Parties or any of their Subsidiaries may become abandoned, or of
any adverse determination or development (including, without limitation, the institution of, or any
such determination or development in, any proceeding in the United States Patent and Trademark
Office or any court) regarding a Credit Party’s or any of its Subsidiary’s ownership of any Patent
or Trademark, its right to patent or register the same, or to enforce, keep and maintain the same,
or its rights under any Patent License or Trademark License, in each case to the extent any such
developments could reasonably be expected to have a Material Adverse Effect.

     (b) Notify the Administrative Agent promptly after it knows or has reason to know of any
adverse determination or development (including, without limitation, the institution of, or any
such determination or development in, any proceeding in any court) regarding any Copyright or
Copyright License of the Credit Parties or any of their Subsidiaries, whether (i) such Copyright or
Copyright License may become invalid or unenforceable prior to its expiration or termination, or
(ii) such Credit Party’s or any of its Subsidiary’s ownership of such Copyright, its right to
register the same or to enforce, keep and maintain the same, or its rights under such Copyright
License, may become affected, in each case to the extent any such developments could reasonably be
expected to have a Material Adverse Effect.

     (c) (i) Promptly notify the Administrative Agent of any filing by any Credit Party or any of
its Subsidiaries, either itself or through any agent, employee, licensee or designee (but in no
event later than the 30th day following such filing), of any application for registration by a
Credit Party of any Intellectual Property with the United States Copyright Office or United States
Patent and Trademark Office or any similar office or agency in any other country or any political
subdivision thereof.

     (i) Concurrently, with the delivery of quarterly and annual financial
statements of the Borrower pursuant to Section 5.1 hereof, provide the

55

 

Administrative Agent and its counsel a complete and correct list of all
Intellectual Property owned by the Credit Parties or any of their Subsidiaries that
have not been set forth as annexes of such documents and instruments.

     (ii) Upon request of the Administrative Agent, execute and deliver any and all
agreements, instruments, documents, and papers as the Administrative Agent may
reasonably request to evidence the Administrative Agent’s security interest in the
Intellectual Property and the general intangibles referred to in clauses (i) and
(ii) owned by the Credit Parties.

     (d) Take all necessary actions, including, without limitation, in any proceeding before the
United States Patent and Trademark Office or the United States Copyright Office, to maintain each
material item of Intellectual Property owned by the Credit Parties and their Subsidiaries,
including, without limitation, payment of maintenance fees, filing of applications for renewal,
affidavits of use, affidavits of incontestability and opposition, interference and cancellation
proceedings.

     (e) In the event that any Credit Party becomes aware that any Intellectual Property owned by a
Credit Party is infringed, misappropriated or diluted by a third party in any material respect,
notify the Administrative Agent promptly after it learns thereof and, unless the Credit Parties
shall reasonably determine that such Intellectual Property is not material to the business of the
Credit Parties and their Subsidiaries taken as a whole take such actions as the Credit Parties
shall reasonably deem appropriate under the circumstances to protect such Intellectual Property.

     Section 5.15 Use of Proceeds.

     Use the proceeds from the issuance of the Notes (i) to finance in part the Recapitalization,
(ii) to pay certain costs, fees and expenses in connection with the Transactions, (iii) to
refinance certain existing Indebtedness of the Borrower, (iv) to pay any fees and expenses
associated with this Note Purchase Agreement on the Closing Date and (v) for working capital and
other general corporate purposes (including, without limitation, Capital Expenditures permitted
hereunder), in each case not in contravention of any Law or Note Purchase Document.

     Section 5.16 Further Assurances.

     Upon the reasonable request of the Administrative Agent, promptly perform or cause to be
performed any and all acts and execute or cause to be executed any and all documents for filing
under the provisions of the Uniform Commercial Code or any other Requirement of Law which are
necessary or advisable to maintain in favor of the Administrative Agent, for the benefit of the
Secured Parties, Liens on the Collateral that are duly perfected in accordance with the
requirements of, or the obligations of the Credit Parties under, the Note Purchase Documents and
all applicable Requirements of Law.

     Section 5.17 Observation Rights.

     The Credit Parties shall allow one representative of the Purchasers to attend and participate
in all meetings and other activities of the boards of directors (including any

56

 

comparable governing body) of each of the Credit Parties and their Subsidiaries and all
committees thereof (the “Board Observer”); provided, however, that upon the
occurrence of a Default or Event of Default the number of any such Board Observers of the
Purchasers shall be increased to two. The Credit Parties shall (i) give the Administrative Agent
notice of all such meetings, at the same time as furnished to board members of each Credit Party
and Subsidiary, as the case may be, (ii) pay the reasonable out-of-pocket costs and expenses of the
Board Observer in connection with his attendance at such meetings or other activities, and
indemnify the Board Observer to the extent as their other board members, (iii) provide to the Board
Observer all notices, documents and information furnished to the board members of each such Credit
Party and Subsidiary, as the case may be, whether at or in anticipation of a meeting, an action by
written consents or otherwise, at the same time furnished to such board members, (iv) notify the
Board Observer and permit the Board Observer to participate by telephone in, emergency meetings of
such boards of directors and all committees thereof, (v) provide the Board Observer copies of the
minutes of all such meetings at the time such minutes are furnished to the board of directors of
each such Credit Party or Subsidiary, as the case may be, and (vi) cause regularly-scheduled
meetings of the Boards of Directors of each of the Borrower to be held.

     Section 5.18 Exercise of Rights.

     The Credit Parties will, and will cause each of their Subsidiaries to, enforce all of the
Credit Parties’ and their Subsidiaries’ material rights, including, without limitation, all
material indemnification rights under the Recapitalization Documents, and pursue all material
remedies available to the Credit Parties and their Subsidiaries with diligence and in good faith in
connection with the enforcement of any such rights, in each case in accordance with the reasonable
business judgment of their respective boards of directors after taking into account the interests
of the Purchasers and the Administrative Agent.

     Section 5.19 Amendments and Modifications to the Senior Debt Documents.

     The Credit Parties shall promptly, and in any event within one Business Day of the occurrence
of the same, notify the Administrative Agent of any amendment, supplement, modification (pursuant
to a waiver or otherwise) or refinancing the terms of the Senior Obligations or the Senior Debt
Documents, which notice shall include a certified copy of such amendment, supplement, modification,
waiver or refinancing. If any amendment or modification to the Senior Debt Documents amends or
modifies any covenant (including any financial covenant) or event of default contained in the
Senior Debt Documents (or any related definitions), in each case, in a manner that is more
restrictive than the applicable provisions permit as of the date hereof; or if any amendment or
modification to the Senior Credit Agreement or other Senior Debt Document adds an additional
covenant or event of default therein, the Credit Parties shall permit the Purchasers to make a
similar amendment or modification to the corresponding covenant or Event of Default in this
Agreement or such other Note Purchase Document or insert a corresponding new covenant or event of
default in this Agreement or such other Note Purchase Document without the need for any further
action or consent by the Borrower; provided that, in the case of any amendment or modification to
any financial covenant, following such amendment or modification, the ratio that the original ratio
in

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the Senior Credit Agreement bears to the corresponding ratio in this Agreement in effect as of
the date hereof remains the same.

     Section 5.20 Further Assurances Regarding Real Property.

     (a) Within (x) sixty (60) days after the Closing Date, in the case of owned real property, and
(y) one hundred twenty (120), in the case of leased real property, subject to subsection (b) below
(or in each case such later date as may be agreed by the Administrative Agent), the Administrative
Agent shall have received the following, in each case in form and substance reasonably satisfactory
to the Administrative Agent:

     (i) fully executed and notarized Mortgage Instruments encumbering the owned and
leased real Properties listed in Schedule 3.16(a);

     (ii) a title commitment obtained by the Credit Parties in respect of each of
the owned and leased real Properties listed in Schedule 3.161a);

     (iii) surveys of the owned real Properties listed in Schedule 3.16(a);

     (iv) an opinion of counsel to the Credit Parties for each jurisdiction in which
the owned and leased real Properties listed on Schedule 3.16(a) is located;
and

     (v) with respect to the owned Real Properties listed in Schedule 3.16(a), an
intercreditor agreement between the Administrative Agent and The Huntington National
Bank.

     (b) Notwithstanding the foregoing, with respect to any leased real property, the Credit
Parties shall only be required to use commercially reasonable efforts to obtain the consents of the
applicable landlords to mortgages on such leased real property and the failure of any such landlord
to give its consent thereto shall not, in and of itself; be deemed a Default or Event of Default
hereunder. In the event that any such landlord will not give its consent to a mortgage on such
leased real property, then, to the extent there is located at such any such leased location any
personal property Collateral, the Borrower shall use its commercially reasonable efforts to obtain
a landlord waiver, in each case, in form and substance satisfactory to the Administrative Agent;
provided that the failure of any such landlord to provide such waiver shall not, in and of
itself, be deemed a Default or Event of Default hereunder.

     Section 5.21 Payment of Certain Indebtedness.

     Within sixty (60) days of the Closing Date (or, if sooner, as required by the documents with
respect thereto), the Borrower shall have repaid the SBA Loans in full and provided to the
Administrative Agent evidence in form and substance satisfactory to the Administrative Agent that
all liens, security interests and other encumbrances related thereto have been terminated.

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ARTICLE VI

NEGATIVE COVENANTS

     The Credit Parties hereby covenant and agree that on the Closing Date, and thereafter for so
long as this Note Purchase Agreement is in effect and until the Credit Party Obligations have been
paid in full, that:

     Section 6.1 Indebtedness.

     The Credit Parties will not, nor will they permit any Subsidiary to, contract, create, incur,
assume or permit to exist any Indebtedness, except:

     (a) Indebtedness arising or existing under this Note Purchase Agreement and the other Note
Purchase Documents;

     (b) Indebtedness (excluding the Senior Obligations) existing as of the Closing Date as set
forth on Schedule 6.1(b) and any renewals, refinancings or extensions thereof in a
principal amount not in excess of that outstanding as of the date of such renewal, refinancing or
extension;

     (c) Indebtedness incurred after the Closing Date consisting of Capital Leases or Indebtedness
incurred to provide all or a portion of the purchase price or cost of construction of an asset;
provided that (i) such Indebtedness when incurred shall not exceed the purchase price or
cost of construction of such asset; (ii) no such Indebtedness shall be refinanced for a principal
amount in excess of the principal balance outstanding thereon at the time of such refinancing; and
(iii) the total amount of all such Indebtedness (excluding any such Indebtedness consisting of a
Sale-Leaseback Transaction permitted under Section 6.12 to the extent such lease is deemed to be a
Capital Lease) shall not exceed $2,500,000 at any time outstanding;

     (d) Indebtedness and obligations owing under Hedging Agreements entered into in order to
manage existing or anticipated interest rate or exchange rate risks and not for speculative
purposes;

     (e) Indebtedness owed from a Credit Party to another Credit Party (other than Holdings);

     (f) the Senior Debt;

     (g) Guaranty Obligations in respect of Indebtedness of the Borrower or a Subsidiary to the
extent such Indebtedness is permitted to exist or be incurred pursuant to this Section 6.1, in each
case to the extent the related Investment made by the provider of such Guaranty Obligation is
permitted under Section 6.5; and

     (h) other unsecured Indebtedness of Credit Parties which does not exceed $5,000,000 in the
aggregate at any time outstanding; provided, however, that the Indebtedness
permitted pursuant to this clause (h) shall not exceed $2,000,000 in the aggregate at any time
outstanding unless, as of the date of such incurrence, after giving effect to the incurrence of any
such Indebtedness on a Pro Forma Basis as of the end of the most recently ended fiscal quarter for

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which the Borrower has delivered the required financial statements pursuant to Section 5.1(b)
and a compliance certificate pursuant to Section 5.2(b), the Consolidated Leverage Ratio does not
exceed the Incurrence Ratio.

     Section 6.2 Liens.

     The Credit Parties will not, nor will they permit any Subsidiary to, contract, create, incur,
assume or permit to exist any Lien with respect to any of their respective property or assets of
any kind (whether real or personal, tangible or intangible), whether now owned or hereafter
acquired, except for Permitted Liens. Notwithstanding the foregoing, if a Credit Party shall grant
a Lien on any of its assets in violation of this Section 6.2, then it shall be deemed to have
simultaneously granted an equal and ratable Lien on any such assets in favor of the Administrative
Agent for the benefit of the Purchasers.

     Section 6.3 Nature of Business.

     The Credit Parties will not, nor will they permit any of their Subsidiaries to, engage
directly or indirectly (whether through Subsidiaries or otherwise) in any type of business other
than the businesses conducted by them on the Closing Date and in ancillary or related businesses.

     Section 6.4 Consolidation, Merger, Sale or Purchase of Assets, etc.

     The Credit Parties will not, nor will they permit any Subsidiary to:

     (a) dissolve, liquidate or wind up its affairs, consolidate or merge with another Person, or
sell, transfer, lease or otherwise dispose of its property or assets or agree to do so at a future
time except the following, without duplication, shall be expressly permitted:

     (i) Specified Sales;

     (ii) the disposition of property or assets as a result of a Recovery Event to
the extent the Net Cash Proceeds therefrom are used to repay Senior Debt pursuant to
Section 2.7(b)(vi) of the Senior Credit Agreement as in effect on the date hereof
without giving effect to any waiver or consent with respect thereto or repair or
replace damaged property or to purchase or otherwise acquire new assets or property
in accordance with the terms of Section 2.7(b)(vi) of the Senior Credit Agreement as
in effect on the date hereof without giving effect to any waiver or consent with
respect thereto;

     (iii) the sale, lease or transfer of property or assets from a Credit Party to
another Credit Party (other than Holdings); provided that prior to or simultaneously
with any such sale, lease or transfer, all actions reasonably required by the
Administrative Agent shall be taken to insure the continued perfection and priority
of the Administrative Agent’s Liens on such property and assets;

     (iv) the consolidation, liquidation or merger of a Credit Party into the
Borrower or a wholly owned Subsidiary of the Borrower or any Subsidiary into

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the Borrower or a wholly owned Subsidiary of the Borrower; provided that (A)
prior to or simultaneously with any such consolidation, liquidation or merger, all
actions reasonably required by the Administrative Agent shall be taken to insure the
continued perfection and priority of the Administrative Agent’s Liens on the
property and assets of each such Credit Party and (B) if such consolidation,
liquidation or merger involves the Borrower, the Borrower shall be the surviving
entity;

     (v) the termination of any Hedging Agreement permitted pursuant to Section 6.1;

     (vi) Sale Leaseback Transactions permitted pursuant to Section 6.12(ii);

     (vii) the sale, transfer or other disposition of property or assets in
connection with the closing or relocation of restaurants not to exceed $5,000,000 in
any fiscal year or $10,000,000 in the aggregate during the term of this Note
Purchase Agreement; and

     (viii) other sales, leases or transfers of property or assets (excluding sale
and lease back transactions) in an amount not to exceed $10,000,000 in the aggregate
during the term of this Note Purchase Agreement;

provided, that, with respect to clauses (i), (ii) and (vi) above, at least 75% of the
consideration received therefor by such Credit Party shall be in the form of cash or Cash
Equivalents; or

     (b) (i) purchase, lease or otherwise acquire (in a single transaction or a series of related
transactions) the property or assets of any Person (other than purchases or other acquisitions of
inventory, leases, materials, property and equipment in the ordinary course of business, except as
otherwise limited or prohibited herein) or (ii) enter into any transaction of merger or
consolidation, except for (A) transactions permitted pursuant to Section 6.4(a), (3) Investments
permitted pursuant to Section 6.5, and (C) Permitted Acquisitions.

     Section 6.5 Advances, Investments and Loans.

     The Credit Parties will not, nor will they permit any Subsidiary to, lend money or extend
credit or make advances to any Person, or purchase or acquire any stock, obligations or securities
of, or any other interest in, or make any capital contribution to, any Person except for Permitted
Investments.

     Section 6.6 Transactions with Affiliates.

     Except for transactions expressly permitted hereunder, the Credit Parties will not, nor will
they permit any Subsidiary to, enter into any transaction or series of transactions, whether or not
in the ordinary course of business, with any officer, director, shareholder or Affiliate other than
on terms and conditions substantially as favorable as would be obtainable in a comparable arm’s
length transaction with a Person other than an officer, director, shareholder or Affiliate;
provided that the Credit Parties shall provide the Administrative Agent with a written
notice of any such

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proposed permitted transaction a reasonable number of Business Days in advance of the
consummation of such transaction (which written notice shall set forth a summary of the material
terms of such transaction and a copy of all documentation proposed to be executed or delivered in
connection therewith); and provided further that so long as no Default or Event of
Default is continuing the foregoing restriction shall not apply to management fees and expenses
permitted by Section 6.14.

     Section 6.7 Ownership of Subsidiaries; Restrictions.

     The Credit Parties will not, nor will they permit any Subsidiary to, (a) permit any person
(other than the Borrower or any a wholly owned Subsidiary of the Borrower) to own any Capital Stock
of any Subsidiary of the Borrower, (b) permit any Subsidiary of the Borrower to issue or have
outstanding any shares of preferred Capital Stock, (c) permit, create, incur or assume or suffer to
exist any Lien on any Capital Stock of any Subsidiary of the Borrower, except for Permitted Liens,
(d) create, form or acquire any Foreign Subsidiaries or (e) become a general partner in a
partnership.

     Section 6.8 Fiscal Year; Organizational Documents; Material Contracts; Etc.

     No Credit Party will, nor will they permit any of its Subsidiaries to, (a) change its fiscal
year, (b) amend, modify or change its articles of incorporation, certificate of designation (or
corporate charter or other similar organizational document) operating agreement or bylaws (or other
similar document) in any respect adverse to the interests of the Purchasers without the prior
written consent of the Required Purchasers, (c) change its state of incorporation, organization or
formation or have more than one state of incorporation, organization or formation, or (d) make any
change in accounting polices or reporting practices, except as required by GAAP.

     Section 6.9 Limitation on Restricted Actions.

     The Credit Parties will not, nor will they permit any Subsidiary to, directly or indirectly,
create or otherwise cause or suffer to exist or become effective any encumbrance or restriction on
the ability of any such Person to (a) declare or pay dividends or any other distributions to any
Credit Party (other than Holdings) on its Capital Stock or with respect to any other interest or
participation in, or measured by, its profits, (b) pay any Indebtedness or other obligation owed to
any Credit Party, (c) make loans or advances to any Credit Party, (d) sell, lease or transfer any
of its properties or assets to any Credit Party, or (e) act as a Guarantor or encumber its assets
pursuant to the Note Purchase Documents, except (in respect of any of the matters referred to in
clauses (a) (d) above) for such encumbrances or restrictions existing under or by reason of (i)
this Note Purchase Agreement and the other Note Purchase Documents, (ii) applicable law, (iii) any
document or instrument governing Indebtedness incurred pursuant to Section 6.1(c); provided that
any such restriction contained therein relates only to the asset or assets constructed or acquired
in connection therewith, (iv) the Senior Debt Documents or (v) any Permitted Lien or any document
or instrument governing any Permitted Lien; provided that any such restriction contained
therein relates only to the asset or assets subject to such Permitted Lien.

     Section 6.10 Restricted Payments; Prepayments of Other Indebtedness.

     The Credit Parties will not, nor will they permit any Subsidiary to, directly or indirectly:

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     (a) declare, order, make or set apart any sum for or pay any Restricted Payment, except:

     (i) to make dividends payable solely in the same class of Capital Stock of such
Person;

     (ii) to make dividends or other distributions payable to any Credit Party
(other than Holdings);

     (iii) so long as no Default or Event of Default shall have occurred and be
continuing or would result therefrom, the Borrower may pay such amounts as are
permitted under Section 6.14;

     (iv) the Borrower may make payments to Holdings to pay (A) franchise taxes,
directors fees (to someone not otherwise an Affiliate of any Sponsor (other than a
portfolio company of the Sponsors) or Credit Party) and reasonable accounting, legal
and other administrative expenses incurred in the ordinary course of operating a
holding company of Holdings when due, in an aggregate amount not to exceed $500,000
in any fiscal year, and (B) all federal, state and local income taxes payable by
Holdings to the extent attributable to the operations of the Borrower and its
Subsidiaries;

     (v) the Borrower may repurchase, redeem, or otherwise acquire for value any
Capital Stock of the Borrower, and the Borrower may make distributions, loans and
advances to Holdings to enable the repurchase, redemption or other acquisition or
retirement for value of any Capital Stock of Holdings held by (A) any current or
former officer, director, consultant or employee of Holdings, the Borrower or any of
the Subsidiaries of the Borrower (or heirs or other permitted transferees thereof);
provided that the aggregate amount of Restricted Payments made by the
Borrower pursuant to this clause (v) may not exceed (A) $2,500,000 million in any
fiscal year, and (B) $5,000,000 for all such Restricted Payments made after the
Closing Date; provided, further, that no Default or Event of Default
then exists or would exist after giving effect to any Restricted Payment made
pursuant to this clause (v), and the Credit Parties shall demonstrate to the
reasonable satisfaction of the Administrative Agent that, after giving effect to
such payment on a Pro Forma Basis the Credit Parties are in compliance with each of
the financial covenants set forth in Section 5.9;

     (vi) there shall be permitted hereunder (i) the repurchase of Capital Stock by
the Borrower deemed to occur upon the exercise of options, warrants or other
convertible securities to the extent such Capital Stock represents a portion of the
exercise price of those options, warrants or other convertible securities, and (ii)
cash payments in lieu of the issuance of fractional shares in connection with the
exercise of options, warrants or other convertible securities; and

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     (vii) the Borrower may repay the Senior Debt in accordance with the terms
hereof and of the Intercreditor Agreement (as in effect on the Closing Date or as
otherwise modified with the consent of the Borrower).

     (b) if any Default or Event of Default has occurred and is continuing or would be directly or
indirectly caused as a result thereof, make (or give any notice with respect thereto) any
voluntary, optional or other non scheduled payment, prepayment, redemption, acquisition for value
(including without limitation, by way of depositing money or securities with the trustee with
respect thereto before due for the purpose of paying when due), refund, refinance or exchange of
any Indebtedness of such Person (other than Indebtedness under the Note Purchase Documents or the
Senior Debt Documents) (in each case, whether or not mandatory);

     (c) make any payment in respect of any Subordinated Debt in violation of the relevant
subordination provisions; or

     (d) make any payment or prepayment of principal of, or premium or interest on, any
Indebtedness of such Person held by a Sponsor or any of its Affiliates (other than the Borrower or
any Subsidiary of the Borrower).

     Section 6.11 Amendment of Debt or Recapitalization Documents.

     The Credit Parties will not, nor will they permit any Subsidiary to, directly or indirectly:

     (a) if any Default or Event of Default has occurred and is continuing or would be directly or
indirectly caused as a result thereof, amend or modify any of the terms of any Indebtedness of such
Person (other than Indebtedness under the Note Purchase Documents, the Senior Debt Documents and
the documents governing the Existing Mortgage Debt) if such amendment or modification would add or
change any terms in a manner adverse to such Person, or shorten the final maturity or average life
to maturity or require any payment to be made sooner than originally scheduled or increase the
interest rate applicable thereto;

     (b) amend or modify any Senior Debt Document, except in accordance with the terms of and as
specifically permitted by the Intercreditor Agreement (as in effect on the Closing Date or as
otherwise modified with the consent of the Borrower);

     (c) amend or modify any of the terms of any Subordinated Debt of such Person if such amendment
or modification would add or change any terms in a manner adverse to such Person, shorten the final
maturity or average life to maturity thereof or require any payment to be made sooner than
originally scheduled or increase the interest rate applicable thereto or change any subordination
provision thereof;

     (d) enter into, or permit to become effective, any amendment, supplement, restatement or other
modification to or waiver of any Recapitalization Document that is materially adverse to the
interests of the Purchasers; or

     (e) amend or modify the terms with respect to the Existing Mortgage Debt.

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     Section 6.12 Sale Leaseback Transactions.

     The Credit Parties will not, nor will they permit any Subsidiary to, directly or indirectly,
become or remain liable as lessee or as a guarantor or other surety with respect to any lease,
whether an Operating Lease or a Capital Lease, of any property (whether real, personal or mixed),
whether now owned or hereafter acquired, (a) which any Credit Party or any of their Subsidiaries
has sold or transferred or is to sell or transfer to any other Person (other than the Borrower or
any of its Subsidiaries) or (b) which the Borrower or any of its Subsidiaries intends to use for
substantially the same purpose as any other property which has been or is to be sold or transferred
by the Borrower or any of its Subsidiaries to any Person (other than the Borrower or any of its
Subsidiaries) in connection with such lease (any such transaction, a “Sale-Leaseback
Transaction”); provided that:

     (i) the Credit Parties may remain liable as lessee or as a guarantor or other
surety with respect to any lease entered into by any such Credit Party prior to the
Closing Date and set forth on Schedule 6.12 hereto; and

     (ii) to the extent such Sale Leaseback Transaction relates to a New Property,
the Credit Parties may become liable as lessee, guarantor or other surety with
respect to a new lease that would otherwise be prohibited by this Section 6.12 to
the extent that (A) such lease, if a Capital Lease, is permitted pursuant to Section
6.1(c), (B) the consideration received shall be at least equal to the fair market
value of the property sold as determined in good faith by the Credit Party’s board
of directors or other comparable managing body, (C) such Sale Leaseback Transaction
shall be completed on an arm’s length basis on terms reasonably acceptable to the
Administrative Agent, (D) no Default or Event of Default shall exist or would exist
after giving effect thereto, (E) the Credit Parties shall be in pro forma compliance
with the financial covenants set forth in Section 5.9, (F) such Sale Leaseback
Transaction shall be completed within 360 days of the acquisition or completion of
construction, improvement or remodeling, as the case may be, of such property or
asset by the Credit Parties; (G) the aggregate amount of assets sold pursuant to all
Sale Leaseback Transactions made under this subsection (ii) shall not exceed
$10,000,000 during the term of this Note Purchase Agreement.

     Section 6.13 No Further Negative Pledges.

     The Credit Parties will not, nor will they permit any Subsidiary to, enter into, assume or
become subject to any agreement prohibiting or otherwise restricting the creation or assumption of
any Lien upon its properties or assets, whether now owned or hereafter acquired, or requiring the
grant of any security for such obligation if security is given for some other obligation, except
(a) pursuant to this Note Purchase Agreement and the other Note Purchase Documents, (b) pursuant to
the Senior Debt Documents, (c) pursuant to any document or instrument governing Indebtedness
incurred pursuant to Section 6.1(c); provided that any such restriction contained therein relates
only to the asset or assets constructed or acquired in connection therewith, and (d) in connection
with any Permitted Lien or any document or instrument governing any Permitted

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Lien; provided that any such restriction contained therein relates only to the asset or assets
subject to such Permitted Lien.

     Section 6.14 Management Fees.

     The Credit Parties shall not, nor will they permit any Subsidiary to, directly or indirectly,
pay any management, consulting or similar fees to any Affiliate or to any manager, director,
officer or employee of the Credit Parties or any of their Subsidiaries; provided that so
long as no Default or Event of Default shall have occurred and be continuing or would result
therefrom on an actual or Pro Forma Basis (including compliance on a Pro Forma Basis with the
financial covenants set forth in Section 5.9), the Credit Parties may pay (a) on the Closing Date,
the “Closing Fee” due to each Sponsor under the applicable Management Agreement in an aggregate
amount for both such fees not to exceed $3,100,000 and (b) after the Closing Date, the “Annual
Fees,” fees for “Significant Transactions” and “Out-of-Pocket Expenses” payable to each Sponsor as
provided for and in accordance with the applicable Management Agreement between the Borrower and
such Sponsor as in effect on the Closing Date. For the purposes of this Section 6.14, the terms
“Closing Fee,” “Annual Fees,” “Significant Transactions” and “Out-of-Pocket Expenses” shall mean,
with respect to each Sponsor, the meaning given to such terms in the applicable Management
Agreement between the Borrower and such Sponsor as in effect on the Closing Date.

     Section 6.15 Restrictions on Holdings.

     Holdings shall not incur any Indebtedness nor grant any Liens upon any of its properties or
assets nor engage in any operations, business or activity (including, without limitation, any
issuance of additional shares of its Capital Stock or other equity interests) other than holding a
majority of the Capital Stock of the Borrower and its Subsidiaries, pledging its interests therein
to the Administrative Agent on behalf of the Lenders, executing the Security Agreement and the
Pledge Agreement in favor of the Administrative Agent on behalf of the Purchasers, guaranteeing the
Credit Party Obligations as provided herein, and executing a security agreement in favor of the
Senior Agent securing the Senior Debt and guaranteeing the Senior Debt as provided herein.

     Section 6.16 Use of Proceeds.

     The Credit Parties will not, and will not permit any Subsidiary to, use the proceeds of the
sale of the Notes, whether directly or indirectly, and whether immediately, incidentally or
ultimately, to purchase or carry margin stock (within the meaning of Regulation U of the Board of
Governors of the Federal Reserve System) or to extend credit to others for the purpose of
purchasing or carrying margin stock or to refund indebtedness originally incurred for such purpose.

     Section 6.17 Equity Documents.

     The Credit Parties will not, and will not permit any of their Subsidiaries to, amend,
supplement or otherwise modify (pursuant to a waiver or otherwise) the terms and conditions of any
of the Equity Documents without the prior written consent of the Administrative Agent if such
change could reasonably be expected to adversely affect the Administrative Agent’s or any

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Purchaser’s rights or interests, or the Credit Parties’ or any Subsidiary’s ability to fulfill
their obligations under the Note Purchase Documents, or could otherwise reasonably be expected to
have a Material Adverse Effect. Without limiting the foregoing, the Credit Parties will not, and
will not permit any of their Subsidiaries to amend, supplement or otherwise modify (pursuant to a
waiver or otherwise) the terms of the Equity Documents in any manner which would (i) create a
mandatory obligation to make any Restricted Payment thereunder or with respect to any Capital Stock
which such Credit Party or Subsidiaries is not obligated to make on the Closing Date or (ii)
increase the amount of, or accelerate the timing of, the Credit Parties’ or any Subsidiary’s
obligation to make any Restricted Payment thereunder or with respect to any Capital Stock.

     Section 6.18 Financial Assistance to Senior Lender.

     The Credit Parties shall not, and will not cause or permit any Subsidiary or Affiliate to,
guarantee or otherwise provide credit support for any portion of the Senior Obligations unless a
similar guarantee or credit support is offered to the holders of the Notes.

     Section 6.19 SBIC Covenants.

     (a) Without the consent of each SBIC Lender, the Borrower will not issue securities to any
SBIC in the future if such issuance would cause such SBIC Lender to be deemed to be a member of an
“Investor Group” in “Control” of the Borrower (as such terms are defined in 13 C.F.R. § 107.865).

     (b) The Borrower shall permit representatives of each SBIC Lender reasonable access to the
Borrower’s records. Upon the request of an SBIC Lender or any of its affiliates, the Borrower will
furnish to such person all information reasonably requested by it in order for it to comply with
its record keeping, reporting and other obligations under the SBIA or any SBIC Regulation.

     (c) For a period of one year following the date hereof, the Borrower will not change its
business activity if such change would render the Borrower ineligible to receive financial
assistance from an SBIC under the SBIA and the regulations thereunder (within the meanings of 13
C.F.R. §§ 107.720 and 107.760(b)).

     (d) The Borrower will at all times comply with the non-discrimination requirements of 13
C.F.R., Parts 112, 113 and 117.

ARTICLE VII

EVENTS OF DEFAULT 

     Section 7.1 Events of Default.

     An Event of Default shall exist upon the occurrence of any of the following specified events
(each an “Event of Default”):

     (a) Payment Default. The Borrower shall fail to pay any principal on any Note when
due (whether at maturity, by reason of acceleration or otherwise) in accordance with the terms
thereof or hereof; or the Borrower shall fail to pay any interest on any Note or any fee or other

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amount payable hereunder when due (whether at maturity, by reason of acceleration or
otherwise) in accordance with the terms thereof or hereof and such failure shall continue
unremedied for three (3) Business Days; or any Guarantor shall fail to pay on the Guaranty in
respect of any of the foregoing or in respect of any other Guaranty Obligations thereunder.

     (b) Misrepresentation. Any representation or warranty made or deemed made herein, in
the Security Documents or in any of the other Note Purchase Documents or which is contained in any
certificate, document or financial or other statement furnished at any time under or in connection
with this Note Purchase Agreement shall prove to have been incorrect, false or misleading in any
material respect on or as of the date made or deemed made.

     (c) Covenant Default. (i) Any Credit Party shall fail to perform, comply with or
observe any term, covenant or agreement applicable to it contained in Sections 2.5(h), 5.1, 5.2,
5.4, 5.6, 5.7, 5.9, 5.11, 5.13, 5.17 or Article VI hereof; or (ii) any Credit Party shall fail to
comply with any other covenant contained in this Note Purchase Agreement or the other Note Purchase
Documents or any other agreement, document or instrument among any Credit Party, the Administrative
Agent and the Purchasers or executed by any Credit Party in favor of the Administrative Agent or
the Purchasers (other than as described in Sections 7.1(a) or 7.1(c)(i) above), and such breach or
failure to comply is not cured within thirty (30) days of its occurrence.

     (d) Debt Cross Default. (i) any Credit Party shall default in the payment of any
principal of or any interest on the Existing Mortgage Debt, (ii) any Credit Party shall default in
any payment of principal of or interest on any Indebtedness (other than the Senior Debt, the Notes,
the Guaranty and the Existing Mortgage Debt) in a principal amount outstanding of at least
$1,000,000 for the Borrower and any of its Subsidiaries in the aggregate beyond any applicable
grace period (not to exceed 30 days), if any, provided in the instrument or agreement under which
such Indebtedness was created; or (iii) any Credit Party shall default in the observance or
performance of any other agreement or condition relating to any Indebtedness (other than the Senior
Debt, the Notes, Guaranty and the Existing Mortgage Debt) in a principal amount outstanding of at
least $1,000,000 in the aggregate for the Credit Parties and their Subsidiaries or contained in any
instrument or agreement evidencing, securing or relating thereto, or any other event shall occur or
condition exist, the effect of which default or other event or condition is to cause, or to permit
the holder or holders of such Indebtedness or beneficiary or beneficiaries of such Indebtedness (or
a trustee or agent on behalf of such holder or holders or beneficiary or beneficiaries) to cause,
with the giving of notice if required, such Indebtedness to become due prior to its stated
maturity.

     (e) [Intentionally Omitted.]

     (f) Bankruptcy Default. (i) The Credit Parties or any of their Subsidiaries shall
commence any case, proceeding or other action (A) under any existing or future law of any
jurisdiction, domestic or foreign, relating to bankruptcy, insolvency, reorganization or relief of
debtors, seeking to have an order for relief entered with respect to it, or seeking to have it
judged bankrupt or insolvent, or seeking reorganization, arrangement, adjustment, winding up,
liquidation, dissolution, composition or other relief with respect to it or its debts, or (B)
seeking appointment of a receiver, trustee, custodian, conservator or other similar official for it
or for all

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or any substantial part of its assets, or the Credit Parties or any of their Subsidiaries
shall make a general assignment for the benefit of its creditors; or (ii) there shall be commenced
against the any Credit Party or any of its Subsidiaries any case, proceeding or other action of a
nature referred to in clause (i) above which (A) results in the entry of an order for relief or any
such adjudication or appointment or (B) remains undismissed, undischarged or unbonded for a period
of 60 days; or (iii) there shall be commenced against any Credit Party or any of its Subsidiaries
any case, proceeding or other action seeking issuance of a warrant of attachment, execution,
distraint or similar process against all or any substantial part of its assets which results in the
entry of an order for any such relief which shall not have been vacated, discharged, or stayed or
bonded pending appeal within 60 days from the entry thereof; or (iv) the Credit Parties or any of
their Subsidiaries shall take any action in furtherance of, or indicating its consent to, approval
of, or acquiescence in, any of the acts set forth in clause (i), (ii) or (iii) above; or (v) the
Credit Parties or any of their Subsidiaries shall generally not, or shall be unable to, or shall
admit in writing its inability to, pay its debts as they become due.

     (g) Judgment Default. One or more judgments, orders, decrees or arbitration awards
shall be entered against the Credit Parties or any of their Subsidiaries involving in the aggregate
a liability (to the extent not paid when due or covered by insurance) of $2,000,000 or more and all
such judgments, orders, decrees or arbitration awards shall not have been paid and satisfied,
vacated, discharged, stayed or bonded pending appeal within 30 days from the entry thereof.

     (h) ERISA Default. (i) Any Person shall engage in any “prohibited transaction” (as
defined in Section 406 of ERISA or Section 4975 of the Code) involving any Plan, (ii) any
“accumulated funding deficiency” (as defined in Section 302 of ERISA), whether or not waived, shall
exist with respect to any Plan or any Lien in favor of the PBGC or a Plan (other than a Permitted
Lien) shall arise on the assets of the Borrower, any of its Subsidiaries or any Commonly Controlled
Entity, (iii) a Reportable Event shall occur with respect to, or proceedings shall commence to have
a trustee appointed, or a trustee shall be appointed, to administer or to terminate, any Single
Employer Plan, which Reportable Event or commencement of proceedings or appointment of a Trustee
is, in the reasonable opinion of the Required Purchasers, likely to result in the termination of
such Plan for purposes of Title IV of ERISA, (iv) any Single Employer Plan shall terminate for
purposes of Title IV of ERISA, (v) the Borrower, any of its Subsidiaries or any Commonly Controlled
Entity shall, or in the reasonable opinion of the Required Purchasers is likely to, incur any
liability in connection with a withdrawal from, or the Insolvency or Reorganization of, any
Multiemployer Plan or (vi) any other similar event or condition shall occur or exist with respect
to a Plan; and in each case in clauses (i) through (vi) above, such event or condition, together
with all other such events or conditions, if any, could reasonably be expected to have a Material
Adverse Effect.

     (i) Change of Control. A Change of Control shall have occurred.

     (j) Failure of Note Purchase Documents. This Note Purchase Agreement (including the
Guaranty) or any other Note Purchase Document or any provision hereof or thereof shall cease to be
in full force and effect (other than in accordance with its terms) or to give the Administrative
Agent and/or the Purchasers the security interests, liens, rights, powers and privileges purported
to be created thereby, or any Credit Party or any Person acting by or on behalf of any Credit Party
shall (i) deny or disaffirm any Credit Party’s obligations under this

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Note Purchase Agreement or any other Note Purchase Document or (ii) assert the invalidity or
lack of perfection or priority of any Lien granted to the Administrative Agent pursuant to the
Security Documents.

     (k) [Intentionally Omitted.]

     (l) Subordinated Debt. Any default (which is not waived or cured within the
applicable period of grace) or event of default shall occur under any Subordinated Debt or the
subordination provisions contained therein shall cease to be in full force and effect or to give
the Purchasers the rights, powers and privileges purported to be created thereby.

     (m) Acceleration of Senior Obligations. The maturity of any of the Senior Obligations
is accelerated.

     Section 7.2 Acceleration; Remedies.

     Upon the occurrence and during the continuation of an Event of Default, then, and in any such
event, (a) if such event is a Bankruptcy Event, automatically the Notes (with accrued interest
thereon), and all other amounts under the Note Purchase Documents shall immediately become due and
payable, and (b) if such event is any other Event of Default, subject to the terms of Section 8.5,
with the written consent of the Required Purchasers, the Administrative Agent may, or upon the
written request of the Required Purchasers, the Administrative Agent shall, take any or all of the
following actions: (i) by notice of default to the Borrower declare the Notes (with accrued
interest thereon) and all other amounts owing under this Note Purchase Agreement and the other Note
Purchase Documents to be due and payable forthwith, whereupon the same shall immediately become due
and payable; and/or (ii) exercise on behalf of the Purchasers all of its other rights and remedies
under this Note Purchase Agreement, the other Note Purchase Documents and applicable law. Except
as expressly provided above in this Section 7.2, presentment, demand, protest and all other notices
of any kind are hereby expressly waived by the Credit Parties.

ARTICLE VIII

THE ADMINISTRATIVE AGENT

     Section 8.1 Appointment.

     Each Purchaser hereby irrevocably designates and appoints Golub Capital Incorporated (“GCI”)
as the Administrative Agent of such Purchaser under this Note Purchase Agreement, and each such
Purchaser irrevocably authorizes GCI, as the Administrative Agent for such Purchaser, to take such
action on its behalf under the provisions of this Note Purchase Agreement and to exercise such
powers and perform such duties as are expressly delegated to the Administrative Agent by the terms
of this Note Purchase Agreement, together with such other powers as are reasonably incidental
thereto. Notwithstanding any provision to the contrary elsewhere in this Note Purchase Agreement,
the Administrative Agent shall not have any duties or responsibilities, except those expressly set
forth herein, or any fiduciary relationship with any Purchaser, and no implied covenants,
functions, responsibilities, duties, obligations or liabilities

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shall be read into this Note Purchase Agreement or otherwise exist against the Administrative
Agent.

     Section 8.2 Delegation of Duties.

     The Administrative Agent may execute any of its duties under this Note Purchase Agreement by
or through agents or attorneys in fact and shall be entitled to advice of counsel concerning all
matters pertaining to such duties. The Administrative Agent shall not be responsible for the
negligence or misconduct of any agents or attorneys in fact selected by it with reasonable care.
Without limiting the foregoing, the Administrative Agent may appoint one of its affiliates as its
agent to perform the functions of the Administrative Agent hereunder relating to the advancing of
funds to the Borrower and distribution of funds to the Purchasers and to perform such other related
functions of the Administrative Agent hereunder as are reasonably incidental to such functions.

     Section 8.3 Exculpatory Provisions.

     Neither the Administrative Agent nor any of its officers, directors, employees, agents,
attorneys in fact, Subsidiaries or affiliates shall be (a) liable for any action lawfully taken or
omitted to be taken by it or such Person under or in connection with this Note Purchase Agreement
(except for its or such Person’s own gross negligence or willful misconduct) or (b) responsible in
any manner to any of the Purchasers for any recitals, statements, representations or warranties
made by any Credit Party or any officer thereof contained in this Note Purchase Agreement or in any
certificate, report, statement or other document referred to or provided for in, or received by the
Administrative Agent under or in connection with, this Note Purchase Agreement or for the value,
validity, effectiveness, genuineness, enforceability or sufficiency of any of the Note Purchase
Documents or for any failure of any Credit Party to perform its obligations hereunder or
thereunder. The Administrative Agent shall not be under any obligation to any Purchaser to
ascertain or to inquire as to the observance or performance by any Credit Party of any of the
agreements contained in, or conditions of, this Note Purchase Agreement, or to inspect the
properties, books or records of any Credit Party.

     Section 8.4 Reliance by Administrative Agent.

     (a) The Administrative Agent shall be entitled to rely, and shall be fully protected in
relying, upon any note, writing, resolution, notice, consent, certificate, affidavit, letter,
cablegram, telegram, telecopy, telex or teletype message, statement, order or other document or
conversation believed by it in good faith 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 (including,
without limitation, counsel to the Credit Parties), independent accountants and other experts
selected by the Administrative Agent. The Administrative Agent may deem and treat the payee of any
Note as the owner thereof for all purposes unless an executed Transfer Supplement has been filed
with the Administrative Agent pursuant to Section 9.6(c) with respect to such Note. The
Administrative Agent shall be fully justified in failing or refusing to take any action under this
Note Purchase Agreement unless it shall first receive such advice or concurrence of the Required
Purchasers as it deems appropriate or it shall first be indemnified to its satisfaction by the
Purchasers against any and all liability and expense which may be incurred by it by reason

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of taking or continuing to take any such action. The Administrative Agent shall in all cases
be fully protected in acting, or in refraining from acting, under any of the Note Purchase
Documents in accordance with a request of the Required Purchasers or all of the Purchasers, as may
be required under this Note Purchase Agreement, and such request and any action taken or failure to
act pursuant thereto shall be binding upon all the Purchasers and all future holders of the Notes.

     (b) For purposes of determining compliance with the conditions specified in Section 4.1, each
Purchaser that has signed this Note Purchase Agreement shall be deemed to have consented to,
approved or accepted or to be satisfied with, each document or other matter required thereunder to
be consented to or approved by or acceptable or satisfactory to a Purchaser.

     Section 8.5 Notice of Default.

     The Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of
any Default or Event of Default hereunder unless the Administrative Agent has received written
notice from a Purchaser or the Borrower referring to this Note Purchase Agreement, describing such
Default or Event of Default and stating that such notice is a “notice of default”. In the event
that the Administrative Agent receives such a notice, the Administrative Agent shall give prompt
notice thereof to the Purchasers. The Administrative Agent shall take such action with respect to
such Default or Event of Default as shall be reasonably directed by the Required Purchasers;
provided, however, that unless and until the Administrative Agent shall have received such
directions, the Administrative Agent may (but shall not be obligated to) take such action, or
refrain from taking such action, with respect to such Default or Event of Default as it shall deem
advisable in the best interests of the Purchasers except to the extent that this Note Purchase
Agreement expressly requires that such action be taken, or not taken, only with the consent or upon
the authorization of the Required Purchasers, or all of the Purchasers, as the case maybe.

     Section 8.6 Non Reliance on Administrative Agent and Other Purchasers.

     Each Purchaser expressly acknowledges that neither the Administrative Agent nor any of its
officers, directors, employees, agents, attorneys in fact or affiliates has made any representation
or warranty to it and that no act by the Administrative Agent hereinafter taken, including any
review of the affairs of any Credit Party, shall be deemed to constitute any representation or
warranty by the Administrative Agent to any Purchaser. Each Purchaser represents to the
Administrative Agent that it has, independently and without reliance upon the Administrative Agent
or any other Purchaser, and based on such documents and information as it has deemed appropriate,
made its own appraisal of and investigation into the business, operations, property, financial and
other condition and creditworthiness of the Borrower or any other Credit Party and made its own
decision to purchase the Notes hereunder and enter into this Note Purchase Agreement. Each
Purchaser also represents that it will, independently and without reliance upon the Administrative
Agent or any other Purchaser, and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit analysis, appraisals and decisions in
taking or not taking action under this Note Purchase Agreement, and to make such investigation as
it deems necessary to inform itself as to the business, operations, property, financial and other
condition and creditworthiness of the

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Borrower and the other Credit Parties. Except for notices, reports and other documents
expressly required to be furnished to the Purchasers by the Administrative Agent hereunder, the
Administrative Agent shall not have any duty or responsibility to provide any Purchaser with any
credit or other information concerning the business, operations, property, condition (financial or
otherwise), prospects or creditworthiness of the Borrower or any other Credit Party which may come
into the possession of the Administrative Agent or any of its officers, directors, employees,
agents, attorneys in fact or affiliates.

     Section 8.7 Indemnification.

     The Purchasers agree to indemnify the Administrative Agent in its capacity hereunder (to the
extent not reimbursed by the Borrower and without limiting the obligation of the Borrower to do
so), ratably according to the principal amount of the Notes outstanding on the date on which
indemnification is sought under this Section, 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, without limitation, at any
time following the payment of the Notes) be imposed on, incurred by or asserted against the
Administrative Agent in any way relating to or arising out of any Note Purchase Document or any
documents contemplated by or referred to herein or therein or the transactions contemplated hereby
or thereby or any action taken or omitted by the Administrative Agent under or in connection with
any of the foregoing; provided, however, that no Purchaser shall 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 the Administrative Agent’s gross
negligence or willful misconduct, as determined by a court of competent jurisdiction. The
agreements in this Section 8.7 shall survive the termination of this Note Purchase Agreement and
payment of the Notes and all other amounts payable hereunder.

     Section 8.8 The Administrative Agent in Its Individual Capacity.

     The Administrative Agent and its affiliates may make loans to, accept payments from and
generally engage in any kind of business with the Borrower and the other Credit Parties as though
the Administrative Agent were not the Administrative Agent hereunder. With respect to any Note
issued to it, the Administrative Agent shall have the same rights and powers under this Note
Purchase Agreement as any Purchaser and may exercise the same as though it were not the
Administrative Agent, and the terms “Purchaser” and “Purchasers” shall include the Administrative
Agent in its individual capacity.

     Section 8.9 Successor Administrative Agent.

     The Administrative Agent may resign as Administrative Agent upon 30 days’ prior written notice
to the Borrower and the Purchasers. If the Administrative Agent shall resign as Administrative
Agent under this Note Purchase Agreement and the other Note Purchase Documents, then the Required
Purchasers shall appoint from among the Purchasers a successor administrative agent for the
Purchasers, which appointment shall be subject to the Borrower’s approval (such approval not to be
unreasonably withheld) so long as no Default or Event of Default has occurred and is continuing,
whereupon such successor administrative agent shall succeed to the rights, powers and duties of the
Administrative Agent, and the term

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“Administrative Agent” shall mean such successor administrative agent effective upon such
appointment and approval, and the former Administrative Agent’s rights, powers and duties as
Administrative Agent shall be terminated, without any other or further act or deed on the part of
such former Administrative Agent or any of the parties to this Note Purchase Agreement or any
holders of the Notes. If no successor Administrative Agent has accepted appointment as
Administrative Agent within thirty (30) days after the retiring Administrative Agent’s giving
notice of resignation, the retiring Administrative Agent shall have the right, on behalf of the
Purchasers, to appoint a successor administrative agent, which appointment shall be subject to the
Borrower’s approval (such approval not to be unreasonably withheld) so long as no Default or Event
of Default has occurred and is continuing; provided that such successor administrative agent has
minimum capital and surplus of at least $500,000,000. If no successor administrative agent has
accepted appointment as Administrative Agent within sixty (60) days after the retiring
Administrative Agent’s giving notice of resignation, the retiring Administrative Agent’s
resignation shall nevertheless become effective and the Purchasers shall perform all duties of the
Administrative Agent hereunder until such time, if any, as the Required Purchasers appoint a
successor administrative agent as provided for above. After any retiring Administrative Agent’s
resignation as Administrative Agent, the indemnification provisions of this Note Purchase Agreement
and the other Note Purchase Documents and the provisions of this Article VIII shall inure to its
benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent
under this Note Purchase Agreement.

     Section 8.10 Other Agents.

     None of the Purchasers or other Persons identified on the facing page or signature pages of
this Agreement as a “syndication agent,” “documentation agent,” “co—agent,” “book manager,” “book
runner,” “lead manager,” “arranger,” “lead arranger” or “co—lead arranger” shall have any right,
power, obligation, liability, responsibility or duty under this Agreement other than, in the case
of such Purchasers, those applicable to all Purchasers as such. Without limiting the foregoing,
none of the Purchasers or other Persons so identified shall have or be deemed to have any fiduciary
relationship with any Purchaser. Each Purchaser acknowledges that it has not relied, and will not
rely, on any of the Purchasers or other Persons so identified in deciding to enter into this
Agreement or in taking or not taking action hereunder.

     Section 8.11 Intercreditor Agreement.

     Each of the Purchasers hereby acknowledges that it has received and reviewed the Intercreditor
Agreement and agrees to be bound by the terms thereof. Each Purchaser (and each Person that
becomes a Purchaser hereunder pursuant to Section 9.6(c)) hereby authorizes the Administrative
Agent to enter into the Intercreditor Agreement on behalf of such Purchaser and agrees that the
Administrative Agent may take such actions on its behalf as is contemplated by the terms of the
Intercreditor Agreement.

     Section 8.12 Collateral and Guaranty Matters.

     (a) The Purchasers irrevocably authorize and direct the Administrative Agent:

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     (i) to release any Lien on any Property granted to or held by the
Administrative Agent under any Note Purchase Document (i) upon the payment in full
of all Credit Party Obligations (other than contingent indemnification obligations),
(ii) that is transferred or to be transferred as part of or in connection with any
sale or other disposition permitted under Section 6.4, or (iii) subject to Section
9.1, if approved, authorized or ratified in writing by the Required Purchasers;

     (ii) to subordinate any Lien on any Property granted to or held by the such
Agent under any Note Purchase Document to the holder of any Lien on such Property
that is permitted described under clause (b) of the definition of Permitted Lien in
the Senior Credit Agreement as in effect on the date hereof and permitted by Section
6.2 hereof;

     (iii) to release any Guarantor from its obligations under the applicable
Guaranty if such Person ceases to be a Guarantor as a result of a transaction
permitted hereunder; and

     (iv) to release any Lien or release any Guarantor to the extent required under
the Intercreditor Agreement.

     (b) In connection with a termination or release pursuant to this Section 8.12, the
Administrative Agent shall promptly execute and deliver to the applicable Credit Party, at the
Borrower’s expense, all documents that the applicable Credit Party shall reasonably request to
evidence such termination or release. Upon request by the Administrative Agent at any time, the
Required Purchasers will confirm in writing such Agent’s authority to release or subordinate its
interest in particular types or items of Property, or to release any Guarantor from its obligations
under the Guaranty pursuant to this Section 8.12.

ARTICLE IX

MISCELLANEOUS

     Section 9.1 Amendments, Waivers and Release of Collateral.

     Neither this Note Purchase Agreement, nor any of the Notes, nor any of the other Note Purchase
Documents, nor any terms hereof or thereof may be amended, supplemented, waived or modified except
in accordance with the provisions of this Section nor may the Borrower or any Guarantor be released
except in accordance with the provisions of this Section 9.1. The Required Purchasers may, or,
with the written consent of the Required Purchasers, the Administrative Agent may, from time to
time, (a) enter into with the Borrower or any other Credit Party written amendments, supplements or
modifications hereto and to the other Note Purchase Documents for the purpose of adding any
provisions to this Note Purchase Agreement or the other Note Purchase Documents or changing in any
manner the rights of the Purchasers or of the Borrower or any other Credit Party hereunder or
thereunder or (b) waive, on such terms and conditions as the Required Purchasers may specify in
such instrument, any of the requirements of this Note Purchase Agreement or the other Note Purchase
Documents or any

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Default or Event of Default and its consequences; provided, however, that no
such waiver and no such amendment, waiver, supplement, modification or release shall:

     (i) reduce the amount or extend the scheduled date of maturity of any Note or
any installment thereon, or reduce the stated rate of any interest or fee payable
hereunder (except in connection with a waiver of interest at the increased post
default rate set forth in Section 2.5(d) which shall be determined by a vote of the
Required Purchasers) or extend the scheduled date of any payment thereof, in each
case without the written consent of each Purchaser directly affected thereby;
provided that, it is understood and agreed that no waiver, reduction or deferral of
a mandatory prepayment required pursuant to Section 2.5, nor any amendment of
Section 2.5 or the definition of Change of Control, shall constitute a reduction of
the amount of, or an extension of the scheduled date of, any principal installment
of any Note; or

     (ii) amend, modify or waive any provision of this Section 9.1 or reduce the
percentage specified in the definition of Required Purchasers, without the written
consent of all the Purchasers; or

     (iii) amend, modify or waive any provision of Article VIII without the written
consent of the then Administrative Agent; or

     (iv) except as otherwise provided in Section 8.12, release the Borrower or all
or substantially all of the Guarantors from their respective obligations hereunder
or under the Guaranty, without the written consent of all of the Purchasers; or

     (v) except as otherwise provided in Section 8.12 or Section 9.6(a), release all
or substantially all of the Collateral without the written consent of all of the
Secured Parties; or

     (vi) subordinate the Notes or other Credit Party Obligations to any other
Indebtedness without the written consent of all of the Purchasers; or

     (vii) permit the Borrower to assign or transfer any of its rights or
obligations under this Note Purchase Agreement or other Note Purchase Documents
without the written consent of all of the Purchasers; or

     (viii) amend, modify or waive any provision of the Note Purchase Documents
requiring consent, approval or request of the Required Purchasers or all Purchasers
without the written consent of the Required Purchasers or all the Purchasers as
appropriate; or

     (ix) amend, modify or waive the order in which Credit Party Obligations are
paid in Section 2.5(f) or the pro rata treatment of payments in Section 2.5(f),
without the written consent of the Required Purchasers;

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     provided, further, that no amendment, waiver or consent affecting the rights
or duties of the Administrative Agent under any Note Purchase Document shall in any event be
effective, unless in writing and signed by the Administrative Agent, in addition to the Purchasers
required hereinabove to take such action.

     Any such waiver, any such amendment, supplement or modification and any such release shall
apply equally to each of the Purchasers and shall be binding upon the Borrower, the other Credit
Parties, the Purchasers, the Administrative Agent and all future holders of the Notes. In the case
of any waiver, the Borrower, the other Credit Parties, the Purchasers and the Administrative Agent
shall be restored to their former position and rights hereunder and under the outstanding Notes and
other Note Purchase Documents, and any Default or Event of Default waived shall be deemed to be
cured and not continuing; but no such waiver shall extend to any subsequent or other Default or
Event of Default, or impair any right consequent thereon.

     Notwithstanding any of the foregoing to the contrary, the consent of the Credit Parties shall
not be required for any amendment, modification or waiver of the provisions of Article VIII (other
than the provisions of Section 8.9); provided, however, that the Administrative Agent will provide
written notice to the Borrower of any such amendment, modification or waiver.

     Notwithstanding the fact that the consent of all the Purchasers is required in certain
circumstances as set forth above, (x) each Purchaser is entitled to vote as such Purchaser sees fit
on any bankruptcy reorganization plan that affects the Notes, and each Purchaser acknowledges that
the provisions of Section 1126(c) of the Bankruptcy Code supersede the unanimous consent provisions
set forth herein and (y) the Required Purchasers may consent to allow a Credit Party to use cash
collateral in the context of a bankruptcy or insolvency proceeding.

     Section 9.2 Notices.

     (a) Except as otherwise provided in Article II, all notices, requests and demands to or upon
the respective parties hereto to be effective shall be in writing (including by telecopy or other
electronic communications as provided below), and, unless otherwise expressly provided herein,
shall be deemed to have been duly given or made (a) when delivered by hand, (b) when transmitted
via telecopy (or other facsimile device) to the number set out herein, (c) the Business Day
following the day on which the same has been delivered prepaid (or pursuant to an invoice
arrangement) to a reputable national overnight air courier service, or (d) the third Business Day
following the day on which the same is sent by certified or registered mail, postage prepaid, in
each case, addressed as follows in the case of the Borrower, the other Credit Parties, the
Administrative Agent and the Purchasers, or to such other address as may be hereafter notified by
the respective parties hereto and any future holders of the Notes:

	 	 	 

	The Borrower and
the other Credit Parties:

	 	Bravo Development, Inc.
	 

	 	777 Goodale Boulevard
	 

	 	Columbus, Ohio 43212
	 

	 	Attention: Jerry Henderson
	 

	 	Fax: (614) 340-7923
	 

	 	Tele: (614) 340-9218

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	 	with a copy to:
	 
	 	 
	 

	 	Bravo Development Holdings, LLC
	 

	 	c/o Bruckmann, Rosser, Sherril & Co.
	 

	 	126 East 56th Street, 29th Floor
	 

	 	New York, New York 10022
	 

	 	Attention: Richard Leonard
	 

	 	Telecopier: (212) 521-3799
	 

	 	Telephone: (212) 521-3791
	 
	 	 
	The Administrative
Agent and any Purchaser:

	 	Golub Capital Incorporated
	 

	 	551 Madison Avenue, 6th Floor
	 

	 	New York, NY 10022
	 

	 	Attention: Gregory W. Cashman
	 

	 	                 Russell C. Zomback
	 

	 	Telecopier: 212-750-5505
	 

	 	Telephone: 212-660-7270
	 
	 	 
	 

	 	with a copy to:
	 
	 	 
	 

	 	Proskauer Rose LLP
	 

	 	One International Place
	 

	 	Boston, MA 02110
	 

	 	Attention: Steven M. Ellis
	 

	 	Telecopier: 617-526-9899
	 

	 	Telephone: 617- 526-9660

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

     Unless the Administrative Agent otherwise prescribes, (i) notices and other communications
sent to an e mail address shall be deemed to have been delivered upon the sender’s receipt of an
acknowledgement from the intended recipient (such as by the “return receipt requested” function, as
available, return e mail or other written acknowledgement); provided that if such notice or other
communication is not sent during the normal business hours

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of the recipient, such notice or communication shall be deemed to have been delivered at later
of the opening of business on the next Business Day for the recipient or the sender’s receipt of
such acknowledgement, and (ii) notices or communications posted to an Internet or intranet website
shall be deemed received upon the deemed receipt by the intended recipient at its e mail address as
described in the foregoing clause (i) of notification that such notice or communication is
available and identifying the website address therefor.

     Section 9.3 No Waiver; Cumulative Remedies.

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

     Section 9.4 Survival of Representations and Warranties.

     All representations and warranties made hereunder and in any document, certificate or
statement delivered pursuant hereto or in connection herewith shall survive the execution and
delivery of this Note Purchase Agreement and the Notes; provided that all such representations and
warranties shall terminate on the date upon which all amounts owing hereunder and under any Notes
have been paid in full.

     Section 9.5 Payment of Expenses and Taxes.

     The Credit Parties agree (a) to pay or reimburse the Administrative Agent for all reasonable
out of pocket costs and expenses incurred in connection with the development, preparation,
negotiation, printing and execution of, and any amendment, supplement or modification (in any case,
whether executed or proposed) to, this Note Purchase Agreement and the other Note Purchase
Documents and any other documents prepared in connection herewith or therewith, and the
consummation and administration of the transactions contemplated hereby and thereby, together with
the reasonable fees and disbursements of counsel to the Administrative Agent, (b) to pay or
reimburse each Purchaser and the Administrative Agent for all its costs and expenses incurred in
connection with the enforcement or preservation of any rights under this Note Purchase Agreement,
the Notes and any such other documents, including, without limitation, the reasonable fees and
disbursements of counsel to the Administrative Agent and to the Purchasers (including reasonable
allocated costs of in house legal counsel), (c) on demand, to pay, indemnify, and hold each
Purchaser and the Administrative Agent harmless from, any and all recording and filing fees and any
and all liabilities with respect to, or resulting from any delay in paying stamp, excise and other
similar taxes, if any, which may be payable or determined to be payable in connection with the
execution and delivery of, or consummation or administration of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver or consent under or
in respect of, the Note Purchase Documents and any such other documents, and (d) to pay, indemnify,
and hold each Purchaser and the Administrative Agent and their Affiliates harmless from and
against, any and all other liabilities, obligations, losses, damages, penalties, actions,
judgments, suits, costs, expenses or disbursements of any kind or

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nature whatsoever with respect to the execution, delivery, enforcement, performance and
administration of the Note Purchase Documents and any such other documents and the use, or proposed
use, of proceeds of the Notes (all of the foregoing, collectively, the “indemnified liabilities”);
provided, however, that the Borrower shall not have any obligation hereunder to the
Administrative Agent or any Purchaser with respect to indemnified liabilities arising from the
gross negligence or willful misconduct of the Administrative Agent or such Purchaser, as determined
by a court of competent jurisdiction. The agreements in this Section 9.5 shall survive repayment
of the Notes and all other amounts payable hereunder.

     Section 9.6 Successors and Assigns; Participations; Securitization; Transfers.

     (a) This Credit Agreement shall be binding upon and inure to the benefit of the Borrower, the
Purchasers, the Administrative Agent, all future holders of the Notes and their respective
successors and assigns, except that the Borrower may not assign or transfer any of its rights or
obligations under this Note Purchase Agreement or the other Note Purchase Documents without the
prior written consent of each Purchaser.

     (b) Any Purchaser may, in the ordinary course of its business and in accordance with
applicable law, at any time sell to one or more banks or other entities (“Participants”)
participating interests in any Note held by such Purchaser or any other interest of such Purchaser
hereunder, in each case in minimum amounts of $1,000,000 (or, if less, the entire principal amount
of such Purchaser’s Note or the entire amount of such other interests). In the event of any such
sale by a Purchaser of participating interests to a Participant, such Purchaser’s obligations under
this Note Purchase Agreement to the other parties to this Note Purchase Agreement shall remain
unchanged, such Purchaser shall remain solely responsible for the performance thereof, such
Purchaser shall remain the holder of any such Note for all purposes under this Note Purchase
Agreement, and the Borrower and the Administrative Agent shall continue to deal solely and
directly with such Purchaser in connection with such Purchaser’s rights and obligations under this
Note Purchase Agreement. No Purchaser shall transfer or grant any participation under which the
Participant shall have rights to approve any amendment to or waiver of this Note Purchase Agreement
or any other Note Purchase Document except to the extent such amendment or waiver would (i) extend
the scheduled maturity of any Note or other interest in which such Participant is participating, or
reduce the stated rate or extend the time of payment of interest or fees thereon (except in
connection with a waiver of interest at the increased post default rate) or reduce the principal
amount thereof or any other amount payable with respect thereto (it being understood that a waiver
of any Default or Event of Default shall not constitute a change in the terms of such
participation), (ii) release any material Guarantor from its obligations under the Guaranty, (iii)
release any material portion of the Collateral, or (iv) consent to the assignment or transfer by
the Borrower of any of its rights and obligations under this Note Purchase Agreement. In the case
of any such participation, the Participant shall not have any rights under this Note Purchase
Agreement or any of the other Note Purchase Documents (the Participant’s rights against such
Purchaser in respect of such participation to be those set forth in the agreement executed by such
Purchaser in favor of the Participant relating thereto) and all amounts payable by the Borrower
hereunder shall be determined as if such Purchaser had not sold such participation; provided that
each Participant shall be entitled to the benefits of Section 9.5 with respect to its participation
in the Notes outstanding from time to time; provided, that no Participant shall be entitled to
receive any greater amount pursuant to

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such Sections than the transferor Purchaser would have been entitled to receive in respect of
the amount of the participation transferred by such transferor Purchaser to such Participant had no
such transfer occurred. If at any time a Purchaser wishes to assign and transfer of record into
the name of any Participant its participation and related rights and obligations arising under the
Note Purchase Documents, the Credit Parties and the other Purchasers will execute and deliver such
agreements and instruments as such Purchaser may reasonably request (including without limitation
new Notes in such amounts as such Purchaser may request) to effect the assignment and transfer to
such Participant (in its own name) of such participation, or such part thereof as may be so
assigned and transferred.

     (c) Each Purchaser shall be entitled to assign and transfer all or any part of its Notes, or
any interest or participation therein, and its related rights under the Note Purchase Documents to
one or more Eligible Transferees (as defined below) by the execution of a Transfer Supplement;
provided, however, that any assignment and transfer of a Note (or portion thereof)
to any Person other than an Affiliate of any Purchaser shall be in a principal amount not less than
the lesser of (i) $1,000,000 and (ii) the remaining principal amount with respect to such Note.
Upon the assignment or transfer by such Purchaser of all or any part of its Notes or its interest
therein, the term “Purchaser” as used herein shall thereafter include, to the extent of the
interest so assigned or transferred, the assignee or transferee of such interest. “Eligible
Transferee” shall mean: (i) a commercial bank organized under the laws of the United States, or
any state thereof, and having total assets in excess of $250,000,000, (ii) a commercial bank
organized under the laws of any other country which is a member of the Organization for Economic
Cooperation and Development or a political subdivision of any such country and which has total
assets in excess of $250,000,000, provided that such bank is acting through a branch or
agency located in the United States, (iii) a finance company, insurance company or other financial
institution or investment fund that is engaged in making, purchasing or otherwise investing in
loans or debt securities, provided that any such entity shall be subject to the Borrower’s approval
(not to be unreasonably withheld, delayed or conditioned) so long as no Event of Default has
occurred and is continuing, unless GCI continues to be the Administrative Agent for such entity,
(iv) any other Purchaser, (v) any Affiliate (other than individuals) of a Purchaser and any
Purchaser’s Related Funds, and (vi) any other Person, provided that any such other Person shall be
subject to the Borrower’s approval (not to be unreasonably withheld, delayed or conditioned) so
long as no Event of Default has occurred and is continuing. “Related Fund” shall mean a
fund, special purpose investment vehicle, securitization vehicle, money market account, investment
account or other account managed or serviced by a Purchaser or an Affiliate of such Purchaser or
its investment manager, or any other entity in which a Purchaser or an Affiliate of such Purchaser
has a substantial equity interest.

     (d) The Credit Parties hereby acknowledge that the Purchasers and each of their Affiliates may
sell or securitize all or any part of the Notes (a “Securitization”) through the pledge of
all or any part of the Notes as collateral security for loans to such Purchasers or their
Affiliates or through the sale of all or any part of the Notes or the issuance of direct or
indirect interests in all or any part of the Notes, which loans to such Purchasers or their
Affiliate or direct or indirect interests may be rated by Moody’s, S&P or one or more other rating
agencies (the “Rating Agencies”). The Credit Parties shall cooperate with such Purchasers
and their Affiliates to effect the Securitization, including by (a) amending this Agreement and the
other Note Purchase Documents, and executing such additional documents, as reasonably requested by
such

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Purchasers in connection with the Securitization, provided that (i) any such amendment
or additional documentation does not impose additional costs on the Credit Parties (other than de
minimus costs) and (ii) any such amendment or additional documentation does not adversely affect
the rights, or increase the obligations, of the Credit Parties under the Note Purchase Documents or
change or affect in a manner adverse to the Credit Parties the financial terms of the Notes, and
(b) providing such information as may be reasonably requested by such Purchasers in connection with
the rating of the Notes or the Securitization.

     (e) Upon its receipt of a duly executed Transfer Supplement, together with payment to the
Administrative Agent by the transferor Purchaser or the Purchasing Purchaser (except for any
assignment by a Purchaser to an Affiliate of such Purchaser), as agreed between them, of a
registration and processing fee of $3,500 for each transferee listed in such Transfer Supplement
and the Notes subject to such Transfer Supplement, the Administrative Agent shall (i) accept such
Transfer Supplement and (ii) record the information contained therein in the Register.

     (f) Each Credit Party authorizes each Purchaser to disclose to any Participant or transferee
(each, a “Transferee”) and any prospective Transferee any and all financial information in
such Purchaser’s possession concerning the Credit Parties and their Affiliates which has been
delivered to such Purchaser by or on behalf of a Credit Party pursuant to this Note Purchase
Agreement or which has been delivered to such Purchaser by or on behalf of a Credit Party in
connection with such Purchaser’s credit evaluation of the Credit Parties and their Affiliates prior
to becoming a party to this Note Purchase Agreement, in each case subject to Section 9.15.

     (g) [Intentionally Omitted.]

     (h) Nothing herein shall prohibit any Purchaser from pledging or assigning any of its rights
under this Note Purchase Agreement (including, without limitation, any right to payment of
principal and interest under any Note) to any Federal Reserve Bank in accordance with applicable
laws.

     Section 9.7 Adjustments; Set off.

     (a) Each Purchaser agrees that if any Purchaser (a “benefited Purchaser”) shall at any
time receive any payment of all or part of its Notes, or interest thereon, or receive any
collateral in respect thereof (whether voluntarily or involuntarily, by set off, pursuant to events
or proceedings of the nature referred to in Section 7.1(f), or otherwise) in a greater proportion
than any such payment to or collateral received by any other Purchaser, if any, in respect of such
other Purchaser’s Notes, or interest thereon, such benefited Purchaser shall purchase for cash from
the other Purchasers a participating interest in such portion of each such other Purchaser’s Note,
or shall provide such other Purchasers with the benefits of any such collateral, or the proceeds
thereof, as shall be necessary to cause such benefited Purchaser to share the excess payment or
benefits of such collateral or proceeds ratably with each of the Purchasers; provided, however,
that if all or any portion of such excess payment or benefits is thereafter recovered from such
benefited Purchaser, such purchase shall be rescinded, and the purchase price and benefits
returned, to the extent of such recovery, but without interest. The Borrower agrees that each
Purchaser so purchasing a portion of another Purchaser’s Notes may exercise all rights of

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payment (including, without limitation, rights of set off) with respect to such portion as
fully as if such Purchaser were the direct holder of such portion.

     (b) In addition to any rights and remedies of the Purchasers provided by law (including,
without limitation, other rights of set off), each Purchaser shall have the right, without prior
notice to the Borrower, any such notice being expressly waived by the Borrower to the extent
permitted by applicable law, upon the occurrence of any Event of Default, to setoff and appropriate
and apply any and all deposits (general or special, time or demand, provisional or final), in any
currency, and any other credits, indebtedness or claims, in any currency, in each case whether
direct or indirect, absolute or contingent, matured or unmatured, at any time held by or owing to
such Purchaser or any branch or agency thereof to or for the credit or the account of the Borrower
or any other Credit Party, or any part thereof in such amounts as such Purchaser may elect, against
and on account of the Notes and other Credit Party Obligations of the Borrower and the other Credit
Parties to such Purchaser hereunder and claims of every nature and description of such Purchaser
against the Borrower and the other Credit Parties, in any currency, whether arising hereunder,
under any other Note Purchase Document or any Hedging Agreement provided by such Purchaser pursuant
to the terms of this Agreement, as such Purchaser may elect, whether or not such Purchaser has made
any demand for payment and although such obligations, liabilities and claims may be contingent or
unmatured. The aforesaid right of set off may be exercised by such Purchaser against the Borrower,
any other Credit Party or against any trustee in bankruptcy, debtor in possession, assignee for the
benefit of creditors, receiver or execution, judgment or attachment creditor of the Borrower or any
other Credit Party, or against anyone else claiming through or against the Borrower, any other
Credit Party or any such trustee in bankruptcy, debtor in possession, assignee for the benefit of
creditors, receiver, or execution, judgment or attachment creditor, notwithstanding the fact that
such right of set off shall not have been exercised by such Purchaser prior to the occurrence of
any Event of Default. Each Purchaser agrees promptly to notify the Borrower and the Administrative
Agent after any such set off and application made by such Purchaser; provided,
however, that the failure to give such notice shall not affect the validity of such set off
and application.

     Section 9.8 Table of Contents and Section Headings.

     The table of contents and the Section and subsection headings herein are intended for
convenience only and shall be ignored in construing this Note Purchase Agreement.

     Section 9.9 Counterparts.

     This Credit Agreement may be executed by one or more of the parties to this Note Purchase
Agreement on any number of separate counterparts, and all of said counterparts taken together shall
be deemed to constitute one and the same instrument. A set of the copies of this Note Purchase
Agreement signed by all the parties shall be lodged with the Borrower and the Administrative Agent.

     Section 9.10 Integration; Effectiveness; Continuing Agreement.

     (a) This Credit Agreement, together with the other Note Purchase Documents, comprises the
complete and integrated agreement of the parties on the subject matter hereof and

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thereof and supersedes all prior agreements, written or oral, on such subject matter. In the
event of any conflict between the provisions of this Note Purchase Agreement and those of any other
Note Purchase Document, the provisions of this Note Purchase Agreement shall control;
provided that the inclusion of supplemental rights or remedies in favor of the
Administrative Agent or the Purchasers in any other Note Purchase Document shall not be deemed a
conflict with this Note Purchase Agreement. Each Note Purchase Document was drafted with the joint
participation of the respective parties thereto and shall be construed neither against nor in favor
of any party, but rather in accordance with the fair meaning thereof.

     (b) This Credit Agreement shall become effective at such time when all of the conditions set
forth in Section 4.1 have been satisfied or waived by the Purchasers and it shall have been
executed by the Borrower, the Guarantors and the Administrative Agent, and the Administrative Agent
shall have received copies hereof (telefaxed or otherwise) which, when taken together, bear the
signatures of each Purchaser, and thereafter this Note Purchase Agreement shall be binding upon and
inure to the benefit of the Borrower, the Guarantors, the Administrative Agent and each Purchaser
and their respective successors and permitted assigns.

     (c) This Credit Agreement shall be a continuing agreement and shall remain in full force and
effect until all Notes, interest, fees and other Credit Party Obligations (other than those
obligations that expressly survive the termination of this Note Purchase Agreement) have been paid
in full. Upon termination, the Credit Parties shall have no further obligations (other than those
obligations that expressly survive the termination of this Note Purchase Agreement) under the Note
Purchase Documents and the Administrative Agent shall, at the request and expense of the Borrower,
deliver all the Collateral in its possession to the Borrower and release all Liens on the
Collateral; provided that should any payment, in whole or in part, of the Credit Party Obligations
be rescinded or otherwise required to be restored or returned by the Administrative Agent or any
Purchaser, whether as a result of any proceedings in bankruptcy or reorganization or otherwise,
then the Note Purchase Documents shall automatically be reinstated and all Liens of the
Administrative Agent shall reattach to the Collateral and all amounts required to be restored or
returned and all costs and expenses incurred by the Administrative Agent or any Purchaser in
connection therewith shall be deemed included as part of the Credit Party Obligations.

     Section 9.11 Severability.

     Any provision of this Note Purchase Agreement which is prohibited or unenforceable in any
jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or
unenforceability without invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in
any other jurisdiction.

     Section 9.12 Governing Law.

     This Credit Agreement and the Notes and the rights and obligations of the parties under this
Note Purchase Agreement and the Notes shall be governed by, and construed and interpreted in
accordance with, the law of the State of New York.

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     Section 9.13 Consent to Jurisdiction and Service of Process.

     All judicial proceedings brought against the Borrower and/or any other Credit Party with
respect to this Note Purchase Agreement, any Note or any of the other Note Purchase Documents may
be brought in any state or federal court of competent jurisdiction in the State of New York, and,
by execution and delivery of this Note Purchase Agreement, each of the Borrower and the other
Credit Parties accepts, for itself and in connection with its properties, generally and
unconditionally, the non exclusive jurisdiction of the aforesaid courts and irrevocably agrees to
be bound by any final judgment rendered thereby in connection with this Note Purchase Agreement
from which no appeal has been taken or is available. Each of the Borrower and the other Credit
Parties irrevocably agrees that all service of process in any such proceedings in any such court
may be effected by mailing a copy thereof by registered or certified, mail (or any substantially
similar form of mail), postage prepaid, to it at its address set forth in Section 9.2 or at such
other address of which the Administrative Agent shall have been notified pursuant thereto, such
service being hereby acknowledged by the each of the Borrower and the other Credit Parties to be
effective and binding service in every respect. Each of the Borrower, the other Credit Parties,
the Administrative Agent and the Purchasers irrevocably waives any objection, including, without
limitation, any objection to the laying of venue or based on the grounds of forum non conveniens,
which it may now or hereafter have to the bringing of any such action or proceeding in any such
jurisdiction. Nothing herein shall affect the right to serve process in any other manner permitted
by law or shall limit the right of any Purchaser to bring proceedings against the Borrower or the
other Credit Parties in the court of any other jurisdiction.

     Section 9.14 [Intentionally Omitted.]

     Section 9.15 Confidentiality.

     The Administrative Agent and each of the Purchasers agrees that, without the prior consent of
the Borrower, it will not disclose any information with respect to the Credit Parties which is
furnished pursuant to this Note Purchase Agreement, any other Note Purchase Document or any
documents contemplated by or referred to herein or therein and which is designated by the Borrower
to the Purchasers in writing as confidential or as to which it is otherwise reasonably clear such
information is not public, except that the Administrative Agent and any Purchaser may disclose any
such information (a) to its employees, Affiliates, auditors and counsel or to another Purchaser,
(b) as has become generally available to the public other than by a breach of this Section 9.15,
(c) as may be required or appropriate in any report, statement or testimony submitted to any
municipal, state or federal regulatory body having or claiming to have jurisdiction over such
Purchaser or to the Federal Reserve Board or the Federal Deposit Insurance Corporation or the OCC
or the NAIC or similar organizations (whether in the United States or elsewhere) or their
successors, (d) as may be required or appropriate in response to any summons or subpoena or any
law, order, regulation or ruling applicable to such Purchaser, (e) to any prospective Participant,
Transferee or assignee in connection with any contemplated transfer, assignment, participation or
Securitization pursuant to Section 9.6; provided that such prospective transferee shall have been
made aware of this Section 9.15 and shall have agreed to be bound by its provisions as if it were a
party to this Note Purchase Agreement, (f) to Gold Sheets and other similar bank trade
publications; such information to consist of deal terms and other information regarding the credit
facilities evidenced by this Note Purchase Agreement

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customarily found in such publications), (g) in connection with any suit, action or proceeding
for the purpose of defending itself, reducing its liability, or protecting or exercising any of its
claims, rights, remedies or interests under or in connection with the Note Purchase Documents or
any Hedging Agreement, (h) to any direct or indirect contractual counterparty in swap agreements or
such contractual counterparty’s professional advisor (so long as such contractual counterparty or
professional advisor to such contractual counterparty agrees to be bound by the provisions of this
Section 9.15), (i) to the National Association of Insurance Commissioners or any similar
organization or any nationally recognized rating agency that requires access to information about a
Purchaser’s investment portfolio in connection with ratings issued with respect to such Purchaser,
and (j) to its actual or prospective limited partners or members in the ordinary course of their
operations as an investment fund, subject to reasonable and customary confidentiality precautions.

     Section 9.16 Acknowledgments.

     The Borrower and the other Credit Parties each hereby acknowledges that:

     (a) it has been advised by counsel in the negotiation, execution and delivery of each Note
Purchase Document;

     (b) neither the Administrative Agent nor any Purchaser has any fiduciary relationship with or
duty to the Borrower or any other Credit Party arising out of or in connection with this Note
Purchase Agreement and the relationship between Administrative Agent and Purchasers, on one hand,
and the Borrower and the other Credit Parties, on the other hand, in connection herewith is solely
that of debtor and creditor; and

     (c) no joint venture exists among the Purchasers or among the Borrower or the other Credit
Parties and the Purchasers.

     Section 9.17 Waivers of Jury Trial; Waiver of Consequential Damages.

     THE BORROWER, THE OTHER CREDIT PARTIES, THE ADMINISTRATIVE AGENT AND THE PURCHASERS HEREBY
IRREVOCABLY AND UNCONDITIONALLY WAIVE, TO THE EXTENT PERMITTED BY APPLICABLE LAW, TRIAL BY JURY IN
ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS CREDIT AGREEMENT OR ANY OTHER NOTE PURCHASE
DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN. Each of the Borrower and the other Credit Parties agree
not to assert any claim against any other party to this Note Purchase Agreement or any of their
respective directors, officers, employees, attorneys, Affiliates or agents, on any theory of
liability, for special, indirect, consequential or punitive damages arising out of or otherwise
relating to any of the transactions contemplated herein.

     Section 9.18 Patriot Act Notice.

     Each Purchaser and the Administrative Agent (for itself and not on behalf of any other party)
hereby notifies the Borrower that, pursuant to the requirements of the USA Patriot Act, Title III
of Pub. L. 107 56, signed into law October 26, 2001 (the “Patriot Act”), it is required
to obtain, verify and record information that identifies the Borrower, which information includes

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the name and address of the Borrower and other information that will allow such Purchaser or
the Administrative Agent, as applicable, to identify the Borrower in accordance with the Patriot
Act.

     Section 9.19 Subordination of Intercompany Debt.

     Each Credit Party agrees that all intercompany Indebtedness among Credit Parties (the
“Intercompany Debt”) is subordinated in right of payment, to the prior payment in fall of
all Credit Party Obligations. Notwithstanding any provision of this Agreement to the contrary,
provided that no Event of Default has occurred and is continuing, Credit Parties may make
and receive payments with respect to the Intercompany Debt to the extent otherwise permitted by
this Agreement; provided that in the event of and during the continuation of any Event of
Default, no payment shall be made by or on behalf of any Credit Party on account of any
Intercompany Debt. In the event that any Credit Party receives any payment of any Intercompany
Debt at a time when such payment is prohibited by this Section 9.19, such payment shall be held by
such Credit Party, in trust for the benefit of, and shall be paid forthwith over and delivered,
upon written request, to, the Administrative Agent.

ARTICLE X

GUARANTY

     Section 10.1 The Guaranty.

     In order to induce the Purchasers to enter into this Note Purchase Agreement and the other
Note Purchase Documents and to extend credit hereunder and thereunder, and in recognition of the
direct benefits to be received by the Guarantors from the extensions of credit hereunder, each of
the Guarantors hereby agrees with the Administrative Agent and the Purchasers as follows: Each
Guarantor hereby unconditionally and irrevocably jointly and severally guarantees as primary
obligor and not merely as surety the full and prompt payment when due, whether upon maturity, by
acceleration or otherwise, of any and all indebtedness of the Borrower to the Administrative Agent
or any Purchaser. If any or all of the indebtedness becomes due and payable hereunder, each
Guarantor unconditionally promises to pay such indebtedness to the Administrative Agent, the
Secured Parties or their respective order, on demand, together with any and all reasonable expenses
which may be incurred by the Administrative Agent or the Secured Parties in collecting any of the
Credit Party Obligations. The word “indebtedness” is used in this Article X in its most
comprehensive sense and means any and all advances, debts, obligations and liabilities of the
Borrower arising in connection with this Note Purchase Agreement or any other Note Purchase
Documents, including specifically all Credit Party Obligations, in each case, heretofore, now, or
hereafter made, incurred or created, whether voluntarily or involuntarily, absolute or contingent,
liquidated or unliquidated, determined or undetermined, whether or not such indebtedness is from
time to time reduced, or extinguished and thereafter increased or incurred, whether the Borrower
may be liable individually or jointly with others, whether or not recovery upon such indebtedness
may be or hereafter become barred by any statute of limitations, and whether or not such
indebtedness may be or hereafter become otherwise unenforceable.

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     Notwithstanding any provision to the contrary contained herein or in any other of the Note
Purchase Documents, to the extent the obligations of a Guarantor shall be adjudicated to be invalid
or unenforceable for any reason (including, without limitation, because of any applicable state or
federal law relating to fraudulent conveyances or transfers) then the obligations of each such
Guarantor hereunder shall be limited to the maximum amount that is permissible under applicable law
(whether federal or state and including, without limitation, Bankruptcy Laws).

     Section 10.2 Bankruptcy.

     Additionally, each of the Guarantors unconditionally and irrevocably guarantees jointly and
severally the payment of any and all Credit Party Obligations of the Borrower to the Secured
Parties whether or not due or payable by the Borrower upon the occurrence of any of the events
specified in Section 7.1(f), and unconditionally promises to pay such Credit Party Obligations to
the Administrative Agent for the account of the Secured Parties, or order, on demand, in lawful
money of the United States. Each of the Guarantors further agrees that to the extent that the
Borrower or a Guarantor shall make a payment or a transfer of an interest in any property to the
Administrative Agent or any Secured Party, which payment or transfer or any part thereof is
subsequently invalidated, declared to be fraudulent or preferential, or otherwise is avoided,
and/or required to be repaid to the Borrower or a Guarantor, the estate of the Borrower or a
Guarantor, a trustee, receiver or any other party under any bankruptcy law, state or federal law,
common law or equitable cause, then to the extent of such avoidance or repayment, the obligation or
part thereof intended to be satisfied shall be revived and continued in full force and effect as if
said payment had not been made.

     Section 10.3 Nature of Liability.

     The liability of each Guarantor hereunder is exclusive and independent of any security for or
other guaranty of the Credit Party Obligations of the Borrower whether executed by any such
Guarantor, any other guarantor or by any other party, and no Guarantor’s liability hereunder shall
be affected or impaired by (a) any direction as to application of payment by the Borrower or by any
other party, or (b) any other continuing or other guaranty, undertaking or maximum liability of a
guarantor or of any other party as to the Credit Party Obligations of the Borrower, or (c) any
payment on or in reduction of any such other guaranty or undertaking, or (d) any dissolution,
termination or increase, decrease or change in personnel by the Borrower, or (e) any payment made
to the Administrative Agent or any Secured Party on the Credit Party Obligations which the
Administrative Agent or such Secured Party repays the Borrower pursuant to court order in any
bankruptcy, reorganization, arrangement, moratorium or other debtor relief proceeding, and each of
the Guarantors waives any right to the deferral or modification of its obligations hereunder by
reason of any such proceeding.

     Section 10.4 Independent Obligation.

     The obligations of each Guarantor hereunder are independent of the obligations of any other
Guarantor or the Borrower, and a separate action or actions may be brought and prosecuted against
each Guarantor whether or not action is brought against any other Guarantor or the Borrower and
whether or not any other Guarantor or the Borrower is joined in any such action or actions.

88

 

     Section 10.5 Authorization.

     Each of the Guarantors authorizes the Administrative Agent and each Secured Party without
notice or demand (except as shall be required by applicable statute and cannot be waived), and
without affecting or impairing its liability hereunder, from time to time to renew, compromise,
extend, increase, accelerate or otherwise change the time for payment of, or otherwise change the
terms of the Credit Party Obligations or any part thereof in accordance with this Note Purchase
Agreement, including any increase or decrease of the rate of interest thereon, (b) take and hold
security from any Guarantor or any other party for the payment of this Guaranty or the Credit Party
Obligations and exchange, enforce waive and release any such security, (c) apply such security and
direct the order or manner of sale thereof as the Administrative Agent and the Purchasers in their
discretion may determine and (d) release or substitute any one or more endorsers, Guarantors, the
Borrower or other obligors.

     Section 10.6 Reliance.

     It is not necessary for the Administrative Agent or any Secured Party to inquire into the
capacity or powers of the Borrower or the officers, directors, members, partners or agents acting
or purporting to act on its behalf, and any Credit Party Obligations made or created in reliance
upon the professed exercise of such powers shall be guaranteed hereunder.

     Section 10.7 Waiver.

     (a) Each of the Guarantors waives any right (except as shall be required by applicable statute
and cannot be waived) to require the Administrative Agent or any Secured Party to (i) proceed
against the Borrower, any other guarantor or any other party, (ii) proceed against or exhaust any
security held from the Borrower, any other guarantor or any other party, or (iii) pursue any other
remedy in the Administrative Agent’s or any Secured Party’s power whatsoever. Each of the
Guarantors waives any defense based on or arising out of any defense of the Borrower, any other
guarantor or any other party other than payment in full of the Credit Party Obligations (other than
contingent indemnity obligations), including without limitation any defense based on or arising out
of the disability of the Borrower, any other guarantor or any other party, or the unenforceability
of the Credit Party Obligations or any part thereof from any cause, or the cessation from any cause
of the liability of the Borrower other than payment in full of the Credit Party Obligations. The
Administrative Agent may, at its election, foreclose on any security held by the Administrative
Agent by one or more judicial or nonjudicial sales (to the extent such sale is permitted by
applicable law), or exercise any other right or remedy the Administrative Agent or any Purchaser
may have against the Borrower or any other party, or any security, without affecting or impairing
in any way the liability of any Guarantor hereunder except to the extent the Credit Party
Obligations have been paid in full. Each of the Guarantors waives any defense arising out of any
such election by the Administrative Agent or any of the Purchasers, even though such election
operates to impair or extinguish any right of reimbursement or subrogation or other right or remedy
of the Guarantors against the Borrower or any other party or any security.

     (b) Each of the Guarantors waives all presentments, demands for performance, protests and
notices, including without limitation notices of nonperformance, notice of protest,

89

 

notices of dishonor, notices of acceptance of this Guaranty, and notices of the existence,
creation or incurring of new or additional Credit Party Obligations. Each Guarantor assumes all
responsibility for being and keeping itself informed of the Borrower’s financial condition and
assets, and of all other circumstances bearing upon the risk of nonpayment of the Credit Party
Obligations and the nature, scope and extent of the risks which such Guarantor assumes and incurs
hereunder, and agrees that neither the Administrative Agent nor any Purchaser shall have any duty
to advise such Guarantor of information known to it regarding such circumstances or risks.

     (c) Each of the Guarantors hereby agrees it will not exercise any rights of subrogation which
it may at any time otherwise have as a result of this Guaranty (whether contractual, under Section
509 of the Bankruptcy Code, or otherwise) to the claims of any Secured Party against the Borrower
or any other guarantor of the Credit Party Obligations of the Borrower owing to such Secured Party
(collectively, the “Other Parties”) and all contractual, statutory or common law rights of
reimbursement, contribution or indemnity from any Other Party which it may at any time otherwise
have as a result of this Guaranty until such time as the Credit Party Obligations shall have been
paid in full. Each of the Guarantors hereby further agrees not to exercise any right to enforce
any other remedy which the Administrative Agent or any Secured Party now have or may hereafter have
against any Other Party, any endorser or any other guarantor of all or any part of the Credit Party
Obligations of the Borrower and any benefit of, and any right to participate in, any security or
collateral given to or for the benefit of the Secured Parties to secure payment of the Credit Party
Obligations of the Borrower until such time as the Credit Party Obligations (other than contingent
indemnity obligations) shall have been paid in full.

     Section 10.8 Limitation on Enforcement.

     The Secured Parties agree that this Guaranty may be enforced only by the action of the
Administrative Agent acting upon the instructions of the Required Purchasers and that no Secured
Party shall have any right individually to seek to enforce or to enforce this Guaranty, it being
understood and agreed that such rights and remedies may be exercised by the Administrative Agent
for the benefit of the Secured Parties under the terms of this Note Purchase Agreement. The
Secured Parties further agree that this Guaranty may not be enforced against any director, officer,
employee or stockholder of the Guarantors.

     Section 10.9 Confirmation of Payment.

     The Administrative Agent and the Purchasers will, upon request after the irrevocable payment
of the indebtedness and obligations which are the subject of this Guaranty in full, confirm to the
Borrower, the Guarantors or any other Person that such indebtedness and obligations have been paid,
subject to the provisions of Section 10.2.

[REMAINDER OF PAGE INTENTIONALLY BLANK]

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

	 	 	 	 	 
	BORROWER:	 BRAVO DEVELOPMENT, INC.,

an Ohio Corporation

 	 
	 	By:  	

/s/ Jerome P. Henderson
 	 
	 	 	Name:  	Jerome P. Henderson 	 
	 	 	Title:  	Chief Financial Officer and Treasurer 	 
	 
	HOLDINGS:	 BRAVO DEVELOPMENT HOLDINGS LLC

a Delaware limited liability company

 	 
	 	By:  	

/s/ Harold O. Rosser
 	 
	 	 	Name:  	Harold O. Rosser 	 
	 	 	Title:  	Advisor 	 
	 
	GUARANTORS:	 CUCINA CONSTRUCTION, INC.

an Ohio corporation

 	 
	 	By:  	

/s/ Jerome P. Henderson
 	 
	 	 	Name:  	Jerome P. Henderson 	 
	 	 	Title:  	Chief Financial Officer and Treasurer 	 
	 
	 	BRAVO DEVELOPMENT OF KANSAS, INC.

a Kansas corporation

 	 
	 	By:  	/s/ Jerome P. Henderson
 	 
	 	 	Name:  	Jerome P. Henderson 	 
	 	 	Title:  	Vice President 	 
	 
	 	BRIO TUSCAN GRILLE OF WOODLANDS, INC.

a Texas corporation

 	 
	 	By:  	/s/ Laura A. Tappen
 	 
	 	 	Name:  	Laura A. Tappen 	 
	 	 	Title:  	President, Secretary and Treasurer 	 
	 

Note Purchase Agreement Signature Page

 

 

	 	 	 	 	 
	ADMINISTRATIVE AGENT:	 GOLUB CAPITAL INCORPORATED,

a New York Corporation

 	 
	 	By:  	

/s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 
	PURCHASERS:	 GOLUB CAPITAL CP FUNDING LLC,

 	 
	 	By:  	

/s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Chief Investment Officer 	 
	 
	 	GOLUB CAPITAL LOAN TRUST 2005-1

 	 
	 	By:  	Golub Capital Incorporated, as Servicer
 	 

	 	 	 	 	 
	 	By:  	                                /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Chief Investment Officer 	 
	 
	 	LEG PARTNERS DEBENTURE SBIC, L.P.

 	 
	 	By:  	Golub Debenture GP, LLC, 
its General Partner
 	 
	 
	 	By:  	                                /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 
	 	LEG PARTNERS III SBIC, L.P.

 	 
	 	By:  	Golub PS-GP, LLC, 
its General Partner
 	 
	 
	 	By:  	                                /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 

Note Purchase Agreement Signature Page

 

 

Schedule 1.1(a)

Existing Investments

None.

 

 

Schedule 1.1(b)

Existing Liens

Existing Liens

Liens on various equipment disclosed in the chart below.

	 	 	 	 	 	 	 	 	 
	Debtor Name	 	Filing State	 	Secured Party	 	Filing Number	 	Collateral
	Bravo Development, Inc.

	 	Ohio
	 	Fleet Business 

Credit Corporation
	 	OH00039488572
	 	Equipment
	 
	 	 	 	 	 	 	 	 
	Bravo Development, Inc.

	 	Ohio
	 	Fleet Business 

Credit Corporation
	 	OH00039526059
	 	Equipment
	 
	 	 	 	 	 	 	 	 
	Bravo Development, Inc.

	 	Ohio
	 	CIT Bank
	 	OH00098345652
	 	Equipment

Liens on the real property and fixtures with respect thereto pursuant to the mortgages and
loans disclosed on Schedule 6.1(b).

 

 

Schedule 1.1(c)

Scheduled Financial Information

	1.	 	Consolidated Fixed Charges for fiscal quarter ending:
	 
	 	 	March 31, 2006:           $2,475,000
	 
	2.	 	Consolidated EBITDA for fiscal quarter ending:
	 
	 	 	March 31, 2006:           $3,867,000

 

 

Schedule 2.1(a)

Purchasers

	 	 	 	 	 
	Purchaser	 	Note	 
	Golub Capital CP Funding LLC
	 	$	12,250,000.00	 
	Golub Capital Loan Trust 2005-1
	 	$	2,500,000.00	 
	LEG Partners Debenture SBIC, L.P.
	 	$	10,000,000.00	 
	LEG Partners III SBIC, L.P.
	 	$	2,750,000.00	 
	TOTAL:
	 	$	27,500,000.00	 

 

 

Schedule 2.1(c)

[FORM OF NOTE]

THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AS AMENDED OR THE SECURITIES
LAWS OF ANY STATE AND MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF REGISTRATION THEREUNDER OR
AN EXEMPTION THEREFROM AS PROVIDED IN THE PURCHASE AGREEMENT REFERRED TO HEREIN.

THIS NOTE IS SUBORDINATED TO THE PRIOR PAYMENT AND SATISFACTION IN CASH OF ALL SENIOR INDEBTEDNESS,
AS DEFINED IN THE INTERCREDITOR AGREEMENT DATED AS OF JUNE 26, 2006, AS THE SAME MAY BE AMENDED,
MODIFIED, RESTATED OR SUPPLEMENTED FROM TIME TO TIME (THE “INTERCREDITOR AGREEMENT”), TO THE
EXTENT, AND IN THE MANNER PROVIDED IN THE INTERCREDITOR AGREEMENT.

BRAVO DEVELOPMENT, INC.

13.25% Senior Subordinated Secured Note

			
	$                     
	 	                    , 2006

FOR VALUE RECEIVED, the undersigned, Bravo Development, Inc., an Ohio corporation (the
“Borrower”), hereby unconditionally promises to pay to the order of [                    ] (together
with any successors and/or assigns, the “Purchaser”), in lawful money of the United States of
America and in immediately available funds, the principal amount of
[                              ] DOLLARS ($                    ), with interest thereon from time to time as
provided herein.

     The undersigned further agrees to pay interest in like money at such office on the unpaid
principal amount hereof at the rates per annum and on the dates specified in Sections 2.5(c) and
(d) of the Purchase Agreement (as hereinafter defined) until paid in full. A portion of the
interest payable on this Note shall be paid by increasing the principal amount of this Note, as
provided in Section 2.5(c) of the Purchase Agreement.

     All payments hereunder shall be made for the account of the Purchaser at its office located at
551 Madison Avenue, 6th Floor, New York, NY 10022, or to such other address as the Purchaser may
designate in accordance with the terms of the Purchase Agreement.

     If any principal of or interest on this Note is not paid when due or there exists an Event of
Default under the Purchase Agreement, certain additional interest may be payable on this Note in
accordance with the provisions of Section 2.5(d) of the Purchase Agreement.

 

 

     This Note is one of the 13.25% Senior Subordinated Secured Notes, identical in all respects
except as to principal amount and payee, issued by the Borrower pursuant to and subject
to the terms of a certain Note Purchase Agreement dated as of June 26, 2006 (the “Purchase
Agreement”) among the Borrower, the guarantors party thereto and the original Purchasers listed
on Schedule 2.1(a) thereto. Capitalized terms used but not otherwise defined herein shall
have the meanings set forth in the Purchase Agreement.

     Reference is made to the Purchase Agreement for a description of the agreements of the
parties, the circumstances under which the maturity of this Note may be accelerated, and the
obligations of the Borrower to pay the costs of enforcement of this Note (including reasonable fees
and expenses of counsel) incurred by or on behalf of the holder of this Note. In the event that
this Note becomes or is declared due and payable prior to its stated maturity, this Note shall
become due and payable without presentment, demand, protest or other notice of any kind, all of
which are hereby expressly waived.

     The Borrower has the right under certain circumstances to prepay this Note in whole or in
part, and is obligated to make certain mandatory prepayments on this Note, in each case as provided
in the Purchase Agreement.

     This Note is secured by and entitled to the benefit of the Security Documents and reference is
hereby made to the Note Purchase Agreement and such Security Documents for a description of the
properties mortgaged, pledged and assigned, the nature and extent of the Collateral and the rights
of the parties to the Security Documents in respect of such Collateral.

     This Note was issued with original issue discount (as defined in Section 1273(a) of the
Internal Revenue Code of 1986, as amended.(the “IRC”) and Regulation Section 1-1273-1
promulgated thereunder). The Purchaser can obtain the information described in Regulation Section
1.1275-3 promulgated under the IRC by writing to: Chief Financial Officer, bravo Development, Inc.,
777 Goodale Boulevard, Suite 100, Columbus, OH 43212.

 

 

     This Note is to be construed and interpreted in accordance with and governed by the internal
laws of the State of New York.

	 	 	 	 	 
	 	BRAVO DEVELOPMENT, ]NC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

 

	 	 	 	 	 

Schedule 2.3

Commitment Fee

	 	 	 	 	 
	Recipient	 	Amount	 
	Golub Associates, LLC
	 	$	295,000	 
	 
	 	 	 	 
	wire transfer instructions:

First Republic Bank

Branch 79

ABA #321 081 669

Account Number: 97900006812

Account Name: Golub Associates, LLC

	 	 	 	 
	 
	 	 	 	 
	LEG Partners Debenture SBIC, L.P.
	 	$	200,000	 
	 
	 	 	 	 
	wire transfer instructions:

First Republic Bank

Branch 79

ABA #321 081 669

Account Number: 97900006705

Account Name: LEG Partners Debenture SBIC, L.P.
	 	 	 	 
	 
	 	 	 	 
	LEG Partners III SBIC, L.P.
	 	$	55,000	 
	 
	 	 	 	 
	wire transfer instructions:

First Republic Bank

Branch 79

ABA #321 081 669

Account Number: 97900006713

Account Name: LEG Partners III SBIC, L.P.
	 	 	 	 
	 
	 	 	 	 
	Total:
	 	$	550,000	 

 

 

Schedule 3.11(a)

Subsidiaries

	 	 	 	 	 
	Subsidiary	 	Outstanding Shares	 	Ownership
	Cucina Construction, Inc.

	 	20 shares of Common
Stock
	 	100% by Bravo
Development, Inc.
	Bravo Development of
Kansas, Inc.

	 	100 shares of Common
Stock
	 	100% by Bravo
Development, Inc.
	Brio Tuscan Grille of
Woodlands, Inc.

	 	100 shares of Common
stock
	 	100% by Bravo
Development, Inc.

 

 

Schedule 3.11(b)

Capitalization

	 	 	 	 	 	 	 	 	 
	 	 	Preferred Stock	 	Number of	 	Common Stock	 	Number of
	Name of	 	Certificate	 	Shares of	 	Certificate	 	Shares of
	Stockholder	 	Number	 	Preferred Stock	 	Number	 	Common Stock
	Bravo Development 

Holdings LLC
	 	1
	 	47,659.50
	 	1
	 	841,050
	Alton F. Doody, III
	 	2
	 	5,678.00
	 	2
	 	100,200
	John C. Doody
	 	3
	 	2,095.25
	 	3
	 	36,975
	Philip S. Yandolino
	 	4
	 	833.00
	 	4
	 	14,700
	Jerry Henderson
	 	5
	 	510.00
	 	5
	 	9,000
	Michael Moser
	 	6
	 	335.75
	 	6
	 	5,925
	Matt Harding
	 	7
	 	208.25
	 	7
	 	3,675
	Jim MacKenzie
	 	8
	 	208.25
	 	8
	 	3,675
	Ron Dee
	 	9
	 	187.00
	 	9
	 	3,300
	Brian O’Malley
	 	10
	 	165.75
	 	10
	 	2,925
	Vernessa Gates
	 	11
	 	165.75
	 	11
	 	2,925
	Jeff Ramm
	 	12
	 	127.50
	 	12
	 	2,250
	Joe Isbell
	 	13
	 	127.50
	 	13
	 	2,250
	Mike Creedon
	 	14
	 	127.50
	 	14
	 	2,250
	Mike Woodburn
	 	15
	 	127.50
	 	15
	 	2,250
	Debbie Ticknor
	 	16
	 	127.50
	 	16
	 	2,250
	Lance Juhas
	 	17
	 	127.50
	 	17
	 	2,250
	Tom Vahle
	 	18
	 	127.50
	 	18
	 	2,250
	Lou Rios
	 	19
	 	127.50
	 	19
	 	2,250
	Bret Adams
	 	20
	 	127.50
	 	20
	 	2,250
	Justin Stratford
	 	21
	 	106.25
	 	21
	 	1,875
	Laura Tappen
	 	22
	 	63.75
	 	22
	 	1,125
	Dave Whisler
	 	23
	 	38.25
	 	23
	 	675
	Karen Brennan
	 	24
	 	34.00
	 	24
	 	600
	Nicole Fessler Roope
	 	25
	 	21.25
	 	25
	 	375
	Brian Hunter
	 	26
	 	21.25
	 	26
	 	375
	David Petrill
	 	27
	 	21.25
	 	27
	 	375

 

 

Schedule 3.14

Intellectual Property

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Application/	 	Application/
	Owner	 	Mark	 	Jurisdiction	 	Registration Number	 	Registration Date
	Bravo
	 	BRIO	 	US	 	74/725916	 	9/7/1995
	Development, Inc.
	 	 	 	 	 	2018983	 	11/26/1996
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BRAVO! CUCINA	 	US	 	76/048342	 	5/15/2000
	Development, Inc
	 	ITALIANA	 	 	 	2622987	 	9/24/2002
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	CUCINA BRAVO!	 	US	 	76/048071	 	5/15/2000
	Development, Inc
	 	ITALIANA	 	 	 	2622985	 	9/24/2002
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BON VIE	 	US	 	76/225708	 	3/16/2001
	Development, Inc
	 	 	 	 	 	2773908	 	10/14/2003
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BON VIE (LOGO)	 	US	 	76/314784	 	9/18/2001
	Development, Inc
	 	 	 	 	 	2668498	 	12/31/2002
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BRAVO CUCINA &	 	US	 	75/924274	 	2/19/2002
	Development, Inc
	 	Design	 	 	 	2731038	 	7/1/2003
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BRIO	 	US	 	76/603870	 	7/23/2004
	Development, Inc
	 	 	 	 	 	2996778	 	9/20/2005
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BRAVO!	 	US	 	76/603862	 	7/23/2004
	Development, Inc
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Bravo
	 	BRIO & Design	 	US	 	78/605918	 	4/11/2005
	Development, Inc
	 	 	 	 	 	 	 	 

Domain Name: www.bestitalianusa.com

 

 

Schedule 3.16(a)

Location of Real Property

	 	 	 	 	 
	Property	 	Address	 	County
	Development Office

	 	18 North Main Street, Suite 4

Chagrin Falls, OH 44022-3059
	 	Cuyahoga
	 
	 	 	 	 
	Warehouse

	 	8315B Washington Street

Chagrin Falls, OH 44023
	 	Geauga
	 
	 	 	 	 
	Home Office

	 	777 Goodale Boulevard - Suite 100

Columbus, OH 43212
	 	Franklin
	 
	 	 	 	 
	Bravo! Bethel #2 (owned)

	 	3000 Hayden Road 

Columbus, OH 43235
	 	Franklin
	 
	 	 	 	 
	Bravo! Castleton #3 (owned)

	 	8651 Castlecreek Pkwy. E. Drive

Indianapolis, IN 46250
	 	Marion
	 
	 	 	 	 
	Bravo! Dayton #4 (scheduled
to move 9/4/06)

	 	2148 Miamisburg-Centerville

Centerville, OH 45459
	 	Montgomery
	 
	 	 	 	 
	Bravo! Dayton #4 (new
address starting 9/4/06)

	 	2779 Miamisburg – Centerville Road

Dayton, Ohio 45439
	 	Montgomery
	 
	 	 	 	 
	Bravo! Crosswoods #5 (owned)

	 	7470 Vantage Drive

Columbus, OH 43235
	 	Franklin
	 
	 	 	 	 
	Bravo! Cincinnati #6

	 	12110 Montgomery Road

Cincinnati, OH 45249
	 	Hamilton
	 
	 	 	 	 
	Bravo! McKnight #7 (owned)

	 	4976 McKnight Road

Pittsburgh, PA 15237
	 	Allegheny
	 
	 	 	 	 
	Bravo! Willowlake #9

	 	2658 Lake Circle Drive

Indianapolis, IN 46268
	 	Marion
	 
	 	 	 	 
	Bravo! Metairie #10

	 	3413 Veteran’s Memorial Blvd

Metairie, LA 70002
	 	Jefferson
	 
	 	 	 	 
	Brio Easton #11

	 	3993 Easton Station

Columbus, OH 43219
	 	Franklin
	 
	 	 	 	 
	Bravo! Robinson #12

	 	211 Summit Park Drive

Pittsburgh, PA 15275
	 	Allegheny
	 
	 	 	 	 
	Bravo! Cranberry #13

	 	2001 – Route #19

Cranberry Township, PA 16066
	 	Butler
	 
	 	 	 	 
	 
	 	 	 	 
	Brio Winter Park #14

	 	480 N. Orlando Avenue – Ste. #108

Winter Park, FL 32789
	 	Orange
	 
	 	 	 	 
	Brio Buckhead #15

	 	2964 Peachtree Road N.W.

Atlanta, GA 30305
	 	Fulton
	 
	 	 	 	 
	Bravo! Waterfront #16

	 	250 W. Bridge St.

W. Homestead, PA 15120
	 	Allegheny
	 
	 	 	 	 
	Bon Vie Easton #17

	 	4089 The Strand East

Columbus, OH 43219
	 	Franklin

 

 

	 	 	 	 	 
	Property	 	Address	 	County
	Brio Birmingham #18

	 	591 Brookwood Village

Birmingham, AL 35209
	 	Jefferson
	 
	 	 	 	 
	Lindey’s Polaris #19

	 	1500 Polaris Parkway, Ste. 200

Columbus, OH 43240
	 	Delaware
	 
	 	 	 	 
	Brio Newport #20

	 	1 Levee Way – Ste. #1140

Newport, KY 41071
	 	Campbell
	 
	 	 	 	 
	Bravo! Lansing #21

	 	2970 Towne Centre Blvd.

Lansing, MI 48912
	 	Ingham
	 
	 	 	 	 
	Brio Millenia #22

	 	The Mall at Millenia 

4200 Conroy Rd., Ste. 154

Orlando, FL 32839
	 	Orange
	 
	 	 	 	 
	Bravo! Rochester #23

	 	Village of Rochester Hills

286 N. Adams Rd.

Rochester Hills, MI 48309-1359
	 	Oakland
	 
	 	 	 	 
	Brio Perimeter #24

	 	700 Ashwood Parkway

Atlanta, GA 30338
	 	Dekalb
	 
	 	 	 	 
	Brio Crocker Park #25

	 	200 Crocker Park Blvd.

Westlake, OH 44145
	 	Cuyahoga
	 
	 	 	 	 
	Bravo! Eton #26

	 	28889 Chagrin Blvd.

Woodmere, OH 44122
	 	Cuyahoga
	 
	 	 	 	 
	Bravo! Leawood #27

	 	5005 West 117th St.

Leawood, Kansas 66211
	 	Johnson
	 
	 	 	 	 
	Bravo! Louisville #28

	 	206 Bullitt Lane

Louisville, KY 40222
	 	Jefferson
	 
	 	 	 	 
	Brio Legacy #29

	 	24325 Cedar Road, Legacy Village

Lyndhurst, OH 44124
	 	Cuyahoga
	 
	 	 	 	 
	Brio West Palm #30

	 	The Gardens Mall

3101 PGA Blvd.

Palm Beach Gardens, FL 33410
	 	Palm Beach
	 
	 	 	 	 
	Bravo! West Chester #31

	 	9436 Waterfront Dr.

West Chester, OH 45069
	 	Butler
	 
	 	 	 	 
	Brio Frontenac #32

	 	1601 South Lindbergh Blvd.

St. Louis, MO 63131
	 	Saint Louis
	 
	 	 	 	 
	Brio Stony Point #33

	 	9210 Stony Point Parkway

Richmond, VA 23235
	 	Chesterfield
	 
	 	 	 	 
	Bravo! Galleria #34

	 	1500 Washington Rd.

Pittsburgh, PA 15228
	 	Allegheny
	 
	 	 	 	 
	Brio Woodlands #35

	 	1201 Lake Woodlands Dr. Ste. 303

(Woodlands Shopping Center)

The Woodlands, TX 77380
	 	Montgomery

 

 

	 	 	 	 	 
	Property	 	Address	 	County
	Bravo! Knoxville #36

	 	106 Major Reynolds Place

(Knollwood Commercial Park)

Knoxville, TN 37919-4853
	 	Knox
	 
	 	 	 	 
	Bravo! Glenview #37

	 	2600 Navy Blvd.

Glenview, IL 60025
	 	Cook
	 
	 	 	 	 
	Bravo! Zona Rosa #38

	 	7301 N.W. 87th Street

Kansas City, MO 64153
	 	Platte
	 
	 	 	 	 
	Bravo! Virginia Beach #39

	 	193 Central Park Avenue

Virginia Beach, VA 23462
	 	Virginia Beach City
	 
	 	 	 	 
	Bravo! Jordan Creek #40

	 	Jordan Creek Town Center

120 South Jordan Creek Parkway

West Des Moines, IA 50266
	 	Dallas
	 
	 	 	 	 
	Brio Country Club #41

	 	Country Club Plaza 

502 Nichols Drive

Kansas City, MO 64112
	 	Jackson
	 
	 	 	 	 
	Bravo! Livonia #42

	 	17700 Haggerty Road 

Livonia, MI 48152
	 	Wayne
	 
	 	 	 	 
	Bravo! Mentor #43

	 	7787 Reynolds Road

Mentor, OH 44060
	 	Lake
	 
	 	 	 	 
	Bravo! Memorial Square #44

	 	13810 North Pennsylvania Avenue

Oklahoma City, OK 73134
	 	Oklahoma
	 
	 	 	 	 
	Bravo! Brookfield Square #45

	 	Brookfield Square, Unit D68

95 N. Moorland A147

Brookfield, WI 53005
	 	Waukesha
	 
	 	 	 	 
	Bravo! Franklin Park #46

	 	5001 Monroe Street, Suite R-3

Toledo, OH 43623
	 	Lucas
	 
	 	 	 	 
	Brio Somerset #47

	 	Somerset Collection

2801 West Big Beaver Road, Suite

E150

Troy, MI 48084-3201
	 	Oakland
	 
	 	 	 	 
	Brio Tysons Corner #48

	 	7854L Tysons Corner Center

McLean, VA 22102
	 	Fairfax
	 
	 	 	 	 
	Bravo! La Cantera #49

	 	The Shops at La Cantera

15900 La Cantera Parkway,

Bldg #11, Suite 11200

San Antonio, TX 78256
	 	Bexar
	 
	 	 	 	 
	Bravo! Northlake Mall #50

	 	North Lake Mall

6851 North Lake Mall Drive

Charlotte, NC 28216
	 	Mecklenburg
	 
	 	 	 	 
	Bon Vie Somerset #51

	 	2801 W. Big Beaver Road, Suite J230 

Troy, MI 48084
	 	Oakland

 

 

	 	 	 	 	 
	Property	 	Address	 	County
	Bravo! Belden Village #52

	 	4224 Everhard Road NW

Canton, OH 44718
	 	Stark
	 
	 	 	 	 
	Brio Waterside #53

	 	5505 Tamiami Trail N Suite J1

Naples, FL 34108
	 	Collier
	 
	 	 	 	 
	Brio Southlake #54

	 	Southlake Town Square 

1431 Plaza Place

Southlake, TX 76092
	 	Tarrant
	 
	 	 	 	 
	Brio Piedmont #55**
(scheduled to open 6/26/06)

	 	4720 Piedmont Row Drive, Suite 150

Charlotte, NC 28209
	 	Mecklenburg
	 
	 	 	 	 
	Brio The Green #56**
(scheduled to open 8/24/06)

	 	4459 Cedar Park Drive

Beaver Creek, OH 45440
	 	Greene
	 
	 	 	 	 
	Bravo! Greensboro #57**
(scheduled to open 9/18/06)

	 	3324 West Friendly Avenue

Greensboro, NC	 	 
	 
	 	 	 	 
	Bravo! Walden #58**
(scheduled op open
10/16/06)

	 	Sublot: TH133

One Walden Galleria

Buffalo, NY 14225
	 	Erie
	 
	 	 	 	 
	Bravo! Bayshore #59**
(scheduled to open 11/2/06)
	 	 	 	 
	 
	 	 	 	 
	Bravo! Uptown #60**
(scheduled to open
11/13/06)

	 	2220 Louisiana Boulevard, NE

Albuquerque, NM
	 	Bernalillo
	 
	 	 	 	 
	Bravo! Partridge Creek**
(scheduled to open in 2007)

	 	Partridge Creek Fashion Mall

Space #R-100

Clinton Township, MI 48038
	 	Macomb

 

			
	*	 	all properties are leased unless otherwise indicated
	 
	**	 	addresses for stores not yet open may change

 

 

Schedule 3.16(b)

Location of Collateral

All locations disclosed on Schedule 3.16(a)

 

 

Schedule 3.16(c)

States of Incorporation, Chief Executive Offices, etc.

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Federal Tax
	 	 	State of	 	Chief Executive	 	Principal Place	 	Identification
	Credit Party	 	Incorporation	 	Office	 	of Business	 	Number
	Bravo Development,
Inc.

	 	Ohio
	 	777 Goodale
Boulevard- Suite 100
Columbus, OH
	 	Same
	 	34-1566328
	Bravo Development 

Holdings, LLC

	 	Delaware
	 	c/o Bruckmann,
Rosser, Sherrill &
Co., Inc., 126
East 56th Street,
New York, New
York 10022
	 	Same
	 	11-3781466
	Cucina
Construction, Inc.

	 	Ohio
	 	777 Goodale
Boulevard- Suite 100
Columbus, OH
	 	Same
	 	31-1691227
	Bravo Development
of Kansas, Inc.

	 	Kansas
	 	777 Goodale
Boulevard- Suite 100
Columbus, OH
	 	Same
	 	None
	Brio Tuscan Grille
of Woodlands, Inc.

	 	Texas
	 	777 Goodale
Boulevard- Suite 100
Columbus, OH
	 	Same
	 	None

 

 

Schedule 3.18

Labor Matters

None.

 

 

Schedule 3.20

Material Contracts

Leases

18 N. Main Street

Lease with Newbury Triangle, dated August 23, 2002

8315B Washington

Lease with F.A.O., Inc., dated February 28, 2003, as amended September 8, 2005 and February 13, 2006

777 W. Goodale

Lease with 777 Goodale Partners, LLC, dated April 5, 2005, as amended February 1, 2006

Dayton (#4)

Lease with Dayton Mall Venture, LLC, dated March 2, 2006

Cincinnati (#6)

Lease with Dittos-Montgomery Limited Partnership, Inc., dated October 21, 1998

Willowlake (#9)

Lease by Willow Lake East, LLC and Indianapolis Barocco Partners, LLC, as amended October 1, 1998

Metairie (#10)

Lease with Greater Lakeside Corp., dated August 26, 1998

Brio Easton (#11)

Lease with Easton Town Center LLC, dated November 12,1998

Robinson (#12)

Lease with Lafayette Partners, dated August 31, 1998, as amended February 2, 1999

Cranberry (#13)

Lease by Express Hotel Associates and the Company (“Landlord”), and THM Management Associates (“Tenant”), dated May 18, 1999

Winter Park (#14)

Lease with Winter Park Town Center, Ltd., dated April 13, 1999

Buckhead (#15)

Lease with Sheffield Inc., dated December 17, 1999

 

 

Waterfront (#16)

Lease with The Waterfront Partners, LLC, dated September 18, 2000, as amended September 4, 2001

Bon Vie Easton (#17)

Lease with Easton Town Center LLC, dated March 8, 2001, as amended August 6, 2001 and November 3, 2003

Birmingham (#18)

Lease with Colonial Realty Limited Partnership, dated March 12, 2001, as amended March 20, 2001 and October 24, 2002

Lindey’s Polaris (#19)

Lease with Polaris Mall, LLC, dated June 4, 2001, as amended August 3, 2001 and August 17, 2001

Newport (#20)

Lease with Newport on the Levee LLC, dated May 18, 2001, as amended January 7, 2002

Lansing (#21)

Lease with Lansing Pavilion, LLC, dated July 17, 2001

Millenia (#22)

Lease with Forbes Taubman Orlando, L.L.C., dated January 17, 2002

Rochester (#23)

Lease with Meadowbrook Associates, L.L.C., dated March 11, 2002

Perimeter (#24)

Lease with Mony Life Insurance Company, dated May 29, 2002

Crocker Park (#25)

Lease with Crocker Park, LLC, dated June 17, 2002, as amended September 6, 2002, January 13, 2003 and December 13, 2004.

Eton (#26)

Lease with Chagrin Retail, LLC, dated June 17, 2002, as amended August 11, 2003

Leawood (#27)

Lease with Town Center Plaza, L.L.C., dated July 17, 2002

Louisville (#28)

Lease with PNC Bank, National Association, Stock Yards Bank & Trust Company, dated October 1, 2002

 

 

Legacy (#29)

Lease with Legacy Village Partners, LLC, dated August 23, 2002

West Palm (#30)

Lease with Forbes/Cohen Florida Properties Limited Partnership, dated October 15, 2002, as amended July 9, 2003

Westchester (#31)

Lease with Cincinnati Specialty Centers, LLC, dated November 5, 2002

Frontenac (#32)

Lease with Davis Street Land Company of Missouri L.L.C., dated February 26, 2003

Stony Point (#33)

Lease with Stony Point Associates, LLC, dated December 2, 2002

Galleria (#34)

Lease with Continental/Galleria, LP, dated June 26, 2003, as amended February 29, 2004

Woodlands (#35)

Lease with The Woodlands Mall Associates, dated August 26, 2003, as amended October 7, 2004

Knoxville (#36)

Lease with Spartan Holdings, LLC, dated November 17, 2003

Glenview (#37)

Lease with Oliver McMillan Glenview, LLC, dated May 18, 2003

Zona Rosa (#38)

Lease with Zona Rosa Development, LLC, dated October 31, 2003, as amended June 4, 2004

Virginia Beach (#39)

Lease with Town Center Associates 8, L.L.C., dated November 6, 2003, as amended November 1, 2004, November 19, 2004 and June 15, 2005.

Jordan Creek (#40)

Lease with GGP Gordon Creek L.L.C., dated April 20, 2004

Country Club (#41)

Lease with Highwoods Realty Limited Partnership, dated June 25, 2004, as amended December 7, 2004

Livonia (#42)

Lease with Schoolcraft Commons Unit 3, L.L.C., dated April 2, 2004

 

 

Mentor (#43)

Lease with Torrent Properties, LLC, dated April 13, 2004

Memorial Square (#44)

Lease with Memorial Square SC, LLC, dated September 23, 2004

Brookfield Square (#45)

Lease with Brookfield Square Joint Venture, dated September 14, 2004

Franklin Park (#46)

Lease with Westfield Franklin Park Mall LLC, dated December 13, 2004, as amended May 18, 2005

Brio Somerset (#47)

Lease with Somerset Collection Limited Partnership, dated October 28, 2004

Tysons Corner (#48)

Lease with Tysons Corner Holdings LLC, dated April 6, 2005

La Cantera (#49)

Lease with La Cantera Retail Limited Partnership, dated April 14, 2005

Northlake Mall (#50)

Lease with TRG Charlotte LLC, dated March 17, 2005, as amended August 18, 2005

Bon Vie Somerset (#51)

Lease with Somerset Collection Limited Partnership, dated February 22, 2005

Belden Village (#52)

Lease with WEA Belden LLC, dated May 18, 2005, as amended August 18, 2005

Naples (#53)

Lease with Waterside Shops at Pelican Bay Trust, dated October 14, 2005

Southlake (#54)

Lease with SLTS Grand Avenue, L.P., dated June 15, 2005

Piedmont (#55)

Lease with Piedmont Town Center One, LLC, dated December 20, 2005

Dayton the Greene (#56)

Lease with Greene Town Center, LLC, dated September 2, 2005

Greensboro (#57)

Lease with Hobbs Street Properties, LLC, dated April 19, 2006

 

 

Walden (#58)

Lease with Pyramid Walden Company, L.P., dated September 15, 2005, as modified April 17, 2006

Bayshore (#59)

Lease with Bayshore Town Center, LLC, dated September 1, 2005

Uptown (#60)

Lease with Hunt Uptown, LLC, dated February 23, 2006

Partridge Creek

Lease with Partridge Creek Fashion Park, LLC, dated November 1, 2005

Other Agreements

“Crosswoods”

Promissory Note by Encore Bravo, Ltd. in favor of The Huntington National Bank, dated

July 11, 1995, and associated Mortgage and Assignment of Rents and Security Agreement, dated July

11, 1995, and the Note and Mortgage Modification Agreement dated November 11, 1995.

“Hayden Road/Bethel Road”

Promissory Note by Alton F. Doody, III in favor of The Huntington National Bank, dated May 29,
1992, and associated Mortgage, Assignment of Rents and Security Agreement.

“Indianapolis/Castleton”

Mortgage, by and between Arcadia Properties, LLC and Mid City Pioneers Corporation, dated November
10, 1994, and associated Security Agreement dated November 10, 1994.

Promissory Note, by Arcadia Properties, LLC, in favor of The Huntington National Bank of Indiana,
dated April 12, 1994.

Loan Agreement, by and among Bravo Cucina of Indianapolis, Inc., Bravo Cucina, Inc., Arcadia
Properties, LLC, Alton F. Doody, III, John C. Doody, and Mid City Pioneer Corporation, dated
November 10, 1994.

“Pittsburgh/McKnight”

Promissory Note by Pittsburgh Bacco Partners, L.P. in favor of The Huntington National Bank dated
January 6, 1997, and associated Mortgage, Assignment of Rents and Security Agreement dated January
6, 1997, Security Agreement dated January 6, 1997, and Reamortization Agreement, dated July 6,
1997.

 

 

Master Consulting Services Agreement by and between Bravo Development, Inc. and CIBER, Inc., dated
May 17, 2006, and associated Statement of Work.

Agreement by and between the Borrower and Zelinko Construction, made as of January 1, 2006.

Agreement by and between the Borrower and Venture Construction Company, made as of

April 3, 2006.

Agreement by and between the Borrower and Zelinko Construction, for commencement date of April 12,
2006.

Letter of Intent by the Borrower to Venture Construction, dated April 12, 2006.

Agreement by and between the Borrower and STM Development, LLC, made as of May 4, 2006.

Letter of Intent by the Borrower to Arlington Construction, dated April 12, 2006.

Fountain Beverage Sales Agreement by and between Pepsi-Cola Company and the Borrower, effective
January 1, 2002.

Foodservice Distribution Agreement by and between Distribution Market Advantage, Inc. and the
Borrower, dated June 18, 2006.

Senior Credit Agreement

Management Agreement dated as of the Closing Date among Castle Harlan, Inc., Bruckmann, Rosser,
Sherrill & Co. and the Borrower.

Management Agreement dated as of the Closing Date among Bruckmann, Rosser, Sherrill & Co., Castle
Harlan, Inc. and the Borrower.

 

 

Schedule 3.21

Insurance

	 	 	 	 	 	 	 	 	 	 	 
	Coverage Type	 	Carrier	 	Policy Number	 	Expiration Date	 	Amount
	Primary Umbrella

	 	Continental Casualty Company
	 	 	2068204222	 	 	04/01/2007
	 	$10,000.000 each incident;

$10,000,000 aggregate
	General Liability

	 	Continental Casualty Company
	 	 	2088596839	 	 	04/01/2007
	 	$1,000,000 each incident;

$2,000,000 aggregate
	Automobile Liability

	 	Continental Casualty Company
	 	 	2088596842	 	 	04/01/2007
	 	$1,000,000 each accident
	Employers Liability

	 	Transportation Insurance
	 	 	2088596871	 	 	04/01/2007
	 	$1,000,000 each accident
	Liquor Liability

	 	Continental Casualty Company
	 	 	2088596839	 	 	04/01/2007
	 	$1,000,000 each accident;

$2,000,000 aggregate
	Employee Benefit Liability

	 	Continental Casualty Company
	 	 	2088596839	 	 	04/01/2007
	 	$1,000,000 each employee;

$2,000,000 aggregate
	Excess Umbrella

	 	Federal Insurance Company
	 	 	79815113	 	 	04/01/2007
	 	$25,000,000 each occurrence;

$25,000,000 aggregate
	Deductible Workers’ Compensation and Employers Liability

	 	American Casualty Company of Reading
	 	 	2088596808	 	 	04/01/2007
	 	$1,000,000 each accident;

$1,000,000 aggregate
	Retrospective Workers’ Compensation and Employers Liability

	 	Transportation Insurance Company
	 	 	2088596871	 	 	04/01/2007
	 	$1,000,000 each accident;
$1,000,000 aggregate
	Retrospective Stop Gap Liability

	 	Transportation Insurance Company
	 	 	2088596825	 	 	04/01/2007
	 	$1,000,000 occurrence;

$1,000,000 aggregate
	Commercial Property Coverage

	 	CNA Insurance
	 	 	2072437497	 	 	04/01/2007
	 	Various;

$2,000,000 aggregate / Blanket
	Inland Marine

	 	CNA Insurance
	 	 	2072437497	 	 	04/01/2007
	 	Various
	Commercial Crime

	 	CNA Insurance
	 	 	2072437497	 	 	04/01/2007
	 	Various
	Garagekeepers Liability

	 	Continental Casualty Company
	 	 	2088596842	 	 	04/01/2007
	 	$75,000 each vehicle
	Trade Name Restoration (Loss of Business Income)

	 	Lloyds of London
	 	 	330030052355	 	 	9/01/2006
	 	$10,000,000 aggregate
	Ohio Excess Coverage Compensation

	 	Midwest Employers Casualty Company
	 	EWC006258
	 	03/01/2007
	 	Statutory — workers’ compensation;

$1,000,000 Employers Liability
	Private Company Protection

	 	Philadelphia Indemnity
	 	PHSD188693
	 	4/28/2007
	 	$5,000,000 D&O liability, Employment Practices, Fiduciary Liability;

$10,000,000 aggregate, all parts

 

 

Schedule 3.28

Certain Transactions

	1.	 	St. Charles Lease by and between Doody, Doody & Doody, L.L.C. and New Orleans Baracco
Partners L.L.C., dated November 1, 1997.
	 
	2.	 	Termination of Lease and Security Agreement and Agreement Relating to Removal of Equipment by
and between Doody, Doody & Doody, L.L.C. and Borrower, dated November 30, 2005.
	 
	3.	 	Common Share Purchase Agreement by and among Alton F. Doody, III, John C. Doody and Borrower,
dated November 9, 2000.
	 
	4.	 	Trade Name License Agreement by and between Borrower and Grant Avenue Investments, Inc.,
dated April 2004 (unexecuted).
	 
	5.	 	Employee Leasing Agreement by and between Borrower and Grant Avenue Investments, Inc., dated
January 1, 2004.
	 
	6.	 	Management Agreement dated as of the Closing Date among Castle Harlan, Inc., Bruckmann,
Rosser, Sherrill & Co. and the Borrower.
	 
	7.	 	Management Agreement dated as of the Closing Date among Bruckmann, Rosser, Sherrill & Co.,
Castle Harlan, Inc. and the Borrower.

 

 

Schedule 3.30

Small Business Concern

	1.	 	LEG Partners Debenture SBIC, L.P.
	 
	2.	 	LEG Partners III SBIC, L.P.

 

 

Schedule 4.1(b)

[FORM OF]

SECRETARY’S CERTIFICATE

[INSERT NAME OF CREDIT PARTY]

June 26, 2006

     Pursuant to that certain Note Purchase Agreement dated as of June 26, 2006 (as amended,
restated or otherwise modified, the “Note Purchase Agreement”), by and among Bravo
Development, Inc., an Ohio corporation (the “Borrower”), Bravo Development Holdings, LLC, a
Delaware limited liability company (“Holdings”), the Domestic Subsidiaries of the Borrower
from time to time parties thereto (together with Holdings, collectively the “Guarantors”),
the Purchasers from time to time parties thereto, and Golub Capital Incorporated, as administrative
agent for the Purchasers (the “Administrative Agent”), the undersigned hereby certifies
that he/she is the duly elected, qualified, and acting Secretary of [Insert name of Credit Party],
a [Insert state of incorporation/formation] [corporation] [limited liability company] [limited
partnership] (the “Company”) and that, as such, he/she is familiar with the facts herein
certified and is duly authorized to certify the same and does hereby certify in his/her capacity as
Secretary of the Company, and not individually, as follows:

     1. Attached hereto as Exhibit A is a true and complete copy of the [Articles of
Incorporation] [Certificate of Formation] of the Company and all amendments thereto as in full
force and effect on the date hereof.

     2. Attached hereto as Exhibit B is a true and complete copy of the [Bylaws] [Operating
Agreement] [Partnership Agreement] of the Company, together with all amendments thereto, which were
duly adopted and are full force and in effect on the date hereof.

     3. Attached hereto as Exhibit C is a true and complete copy of resolutions duly
adopted by [Insert governing body] of the Company approving the execution, delivery and performance
of the Note Purchase Agreement and the other Note Purchase Documents. Such resolutions have not in
any way been amended, modified, rescinded or changed in any respect since their adoption to and
including the date hereof and are now in full force and effect as of the date hereof. Such
resolutions are the only corporate proceedings of the Company now in force relating to or affecting
the matters referred to therein.

     4. Each of the following persons is now a duly elected and qualified officer of the Company,
holding the office indicated next to his/her name below, the signature appearing opposite his/her
name below is his/her true and genuine signature, and each such officer is duly authorized to
execute and deliver on behalf of the Company each of the Note Purchase Documents to which it is a
party and any certificate or other document to be delivered by the Company pursuant to the Note
Purchase Documents to which it is a party:

 

 

	 	 	 	 	 
	Title	 	Typed Name	 	Signature
	 
	 	 
	 	 
	 	 	 	 	 
	 
	 	 
	 	 
	 	 	 	 	 
	 
	 	 
	 	 
	 	 	 	 	 
	 
	 	 
	 	 

     IN WITNESS WHEREOF, I hereunder subscribe my name effective as of the date set forth above.

	 	 	 	 	 
	 	 	 
	 	  	
 	 
	 	 	Secretary of [Insert name of Credit Party] 	 
	 	 	 	 
	 

     I,                     , the duly elected                      of the Company, do hereby certify that
is the duly elected and qualified Secretary of the Company and, as such, is authorized to execute
this Secretary’s Certificate on behalf of the Company and that his/her true signature is set forth
above.

     IN WITNESS WHEREOF, I hereunder subscribe my name effective as of the date set forth above.

	 	 	 	 	 
	 	 	 
	 	  	
 	 
	 	 	                     of [Insert name of Credit Party] 	 
	 	 	 	 
	 

Secretary Certificate — Note Purchase Agreement

 

 

Schedule 4.1(i)

[FORM OF]

SOLVENCY CERTIFICATE

June 2006

Golub Capital Incorporated

   as Agent

551 Madison Avenue, 6th Floor

New York, New York 10022

Attention: Gregory W. Cashman

cc: Russell C. Zomback

	 	 	Re: Solvency Certificate under the Note Purchase Agreement, dated as of June ___, 2006

Ladies and Gentlemen:

     Please refer to that certain Note Purchase Agreement, dated as of June 2006 (as amended and in
effect from time to time, the “Note Purchase Agreement”), among Bravo Development, Inc.
(“Borrower”), Bravo Development Holdings, LLC (“Holdings”), each of the purchasers
listed on Exhibit 2.1(a) thereto (the “Purchasers”) and Golub Capital Incorporated
as agent (the “Agent”). Capitalized terms defined in the Note Purchase Agreement and used
in this certificate without definition shall have for purposes of this certificate the meanings
assigned to them in the Note Purchase Agreement.

     This certificate (this “Certificate”) is delivered pursuant to Section 4.1(i) of the
Note Purchase Agreement. The undersigned hereby certifies that he or she is the chief financial
officer of Borrower (the “Undersigned”), and is familiar with the financial affairs of
Borrower and each of its Subsidiaries, and that, as such, he or she is authorized to execute this
Certificate on behalf of Borrower and its Subsidiaries, and further certifies and represents to the
Agent on behalf of Borrower and its Subsidiaries, and without personal liability that, as of the
Closing Date:

     (a) The Undersigned has continued to monitor the financial condition and operations of the
Borrowers and its Subsidiaries; and the Undersigned has knowledge of the development and
negotiation of the transactions contemplated by the Note Purchase Documents.

     (b) The Undersigned has reviewed and is familiar with (a) the Note Purchase Agreement, the
Notes, and the other Note Purchase Documents executed in connection therewith, (b) all credit
agreements, loan agreements, note purchase agreements, leases, indentures, mortgages and other
documents pursuant to which any other Indebtedness of the Borrower or its Subsidiaries has been
issued or is outstanding or otherwise binding upon or affecting the Borrower or its Subsidiaries or
their assets, (c) all other material contracts, undertakings or agreements of the Borrower or its
Subsidiaries, (d) the projections of the annual

 

 

operating budgets of the Borrower and its Subsidiaries on a consolidated basis, balance sheets
and cash flow statements for the 2006 to 2011 fiscal years (the “Pro Forma Projections”),
prepared under my supervision and (e) the Pro Forma Balance Sheet prepared under my supervision.

     (c) The Undersigned and members of my financial staff have prepared the Pro Forma Projections,
all of which have been prepared under my supervision and are based on good faith estimates and
assumptions as stated therein. In preparing the Pro Forma Projections, (a) the Undersigned has
confirmed that the Pro Forma Projections take into account the probable liability of existing debts
(including “off-balance sheet liabilities”) as they become absolute and mature and the probable
liability of all existing contingent liabilities (including guaranties and other similar
obligations), (b) the Undersigned has reviewed the availability of historical and projected cash
flow deriving from the realization of current assets in the ordinary course of business of the
Borrower and its Subsidiaries and has compared such availability against current and long-term
liabilities of the Borrower and its Subsidiaries, and (c) the Undersigned has evaluated the need
for capital in the business of the Borrower and its Subsidiaries, taking into account the nature of
their business and a reasonably anticipated availability of such capital in light of projections
and available borrowings.

     (d) The Undersigned has analyzed the value of the Borrower’s and its Subsidiaries’ assets,
considering competitive strengths and weaknesses, using standards of valuation including discounted
cash flow and comparable market multiples after giving effect to the transactions contemplated
under the Note Purchase Agreement.

     (e) The Undersigned has considered, in consultation with counsel to the Borrower and its
Subsidiaries, whether there are any material liabilities or loss contingencies that are required to
be accrued or disclosed by SFAS No. 5 or that would be material to the Borrower or its
Subsidiaries.

     (f) The Undersigned has considered the Borrower’s or its Subsidiary’s rights of contribution
from each other with respect to any amounts paid by the Borrower or its Subsidiary as to which the
Borrower or its Subsidiary is jointly and severally liable.

     (g) After giving effect to the Transactions, the fair saleable value of the Credit Parties
assets, measured on a going concern basis, exceeds all probable liabilities, including those to be
incurred pursuant to the Note Purchase Agreement.

     (h) After giving effect to the Transactions, the Credit Parties, taken as a whole (a) do not
have unreasonably small capital in relation to the business in which it is or proposes to be
engaged or (b) have not incurred, and do not believe that they will incur after giving effect to
the Recapitalization, the incurrence of the Senior Obligations and the other transactions
contemplated by the Note Purchase Agreement, debts beyond their ability to pay such debts as they
become due.

 

 

     (i) In executing the Note Purchase Documents and consummating the Transactions, none of the
Credit Parties intends to hinder, delay or defraud either present or future creditors or other
Persons to which one or more of the Credit Parties is or will become indebted.

     (j) The Undersigned has carefully reviewed the contents of this Certificate, and the
Undersigned has conferred with counsel for the Borrower and its Subsidiaries for the purpose of
discussing the meaning of its contents.

     (k) The Undersigned hereby acknowledges that the Agent and the Borrower have relied and will
rely upon the statements contained herein, and the Undersigned, on behalf of the Borrower and its
Subsidiaries consents to such reliance.

[Remainder of page intentionally left blank]

 

 

     IN WITNESS WHEREOF, the undersigned has signed this Solvency Certificate as of the date set
forth above.

	 	 	 	 	 
	 	BRAVO DEVELOPMENT, INC.

 	 
	 	By  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	Chief Financial Officer 	 
	 

 

 

Schedule 4.1 (u)

($ In thousands)

     

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Bon Vie	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Bravo Additions	 	 	Brio Additions	 	 	Addition	 	 	 	 
	 	 	 	 	 	 	Subtract	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Run-Rate	 
	 	 	PF LTM	 	 	LTM 05 & 06	 	 	Adjusted	 	 	 	 	 	 	Memorial	 	 	 	 	 	 	Franklin	 	 	 	 	 	 	 	 	 	 	Belden	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	LTM	 
	 	 	4/23/06	 	 	New Stores	 	 	LTM	 	 	Mentor	 	 	Square	 	 	Brookfield	 	 	Park	 	 	La Cantera	 	 	North Lake	 	 	Village	 	 	Crocker Park	 	 	Somerset	 	 	Tyson’s Corner	 	 	Naples	 	 	Southlake	 	 	Somerset	 	 	Adjusted	 
	Net Revenues
	 	$	218,070	 	 	$	34,263	 	 	$	183,806	 	 	$	3,812	 	 	$	3,372	 	 	$	4,517	 	 	$	4,384	 	 	$	3,543	 	 	$	3,292	 	 	$	5,092	 	 	$	5,745	 	 	$	5,474	 	 	$	5,625	 	 	$	6,250	 	 	$	5,750	 	 	$	2,381	 	 	$	243,041	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Restaurant Level
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	EBITDA
	 	$	32,020	 	 	$	3,223	 	 	$	28,797	 	 	$	609	 	 	$	301	 	 	$	814	 	 	$	747	 	 	$	28	 	 	$	567	 	 	$	737	 	 	$	1,222	 	 	$	725	 	 	$	521	 	 	$	956	 	 	$	690	 	 	$	0	 	 	$	36,715	 
	% margin
	 	 	14.7	%	 	 	9.4	%	 	 	15.7	%	 	 	16.0	%	 	 	8.9	%	 	 	18.0	%	 	 	17.0	%	 	 	0.8	%	 	 	17.2	%	 	 	14.5	%	 	 	21.3	%	 	 	13.2	%	 	 	9.3	%	 	 	15.3	%	 	 	12.0	%	 	 	0.0	%	 	 	15.1	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Less: GSA
	 	 	13,118	 	 	 	—	 	 	 	13,118	 	 	 	11	 	 	 	15	 	 	 	15	 	 	 	11	 	 	 	15	 	 	 	15	 	 	 	15	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	15	 	 	 	13,331	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	EBITDA
	 	$	18,902	 	 	$	3,223	 	 	$	15,679	 	 	$	597	 	 	$	286	 	 	$	799	 	 	$	736	 	 	$	13	 	 	$	552	 	 	$	722	 	 	$	1,202	 	 	$	705	 	 	$	501	 	 	$	936	 	 	$	670	 	 	 	($15	)	 	$	23,384	 
	% margin
	 	 	8.7	%	 	 	9.4	%	 	 	8.5	%	 	 	15.7	%	 	 	8.5	%	 	 	17.7	%	 	 	16.8	%	 	 	0.4	%	 	 	16.8	%	 	 	14.2	%	 	 	20.9	%	 	 	12.9	%	 	 	8.9	%	 	 	15.0	%	 	 	11.6	%	 	 	(0.6	%)	 	 	9.6	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

 

Schedule 5.2(b)

[FORM OF]

OFFICER’S COMPLIANCE CERTIFICATE

Financial Statement Date: [                      ]

	To: Golub Capital Incorporated, as Administrative Agent

Ladies and Gentlemen:

     Reference is hereby made ‘to the Note Purchase Agreement, dated as of June 29, 2006, among
Bravo Development, Inc., an Ohio corporation (the “Borrower”), Bravo Development Holdings,
LLC, a Delaware limited liability company (“Holdings”), the Domestic Subsidiaries of the
Borrower from time to time parties thereto (together with Holdings, collectively the
“Guarantors”), the Purchasers from time to time parties thereto, and Golub Capital
Incorporated, as administrative agent for the Purchasers (the “Administrative Agent”).

     The undersigned Responsible Officer hereby certifies as of the date hereof that he/she is the
President, the Chief Financial Officer and/or the Chief Operating Officer of the Borrower, and
that, as such, he/she is authorized to execute and deliver this Officer’s Compliance Certificate to
the Administrative Agent on behalf of the Credit Parties, and that:

     1. Attached hereto as Schedule 1 are the [annual][quarterly] financial statements of
the Borrower and its consolidated Subsidiaries required to be delivered by Section 5.1 of
the Note Purchase Agreement for the reporting period ended as of the above date. Such financial
statements fairly present in all material respects the consolidated financial condition of the
Borrower and its Subsidiaries in accordance with GAAP as of such date and for such period, subject
only to normal year-end audit adjustments and the absence of footnotes if the attached financial
statements are quarterly financial statements.

     2. The undersigned has reviewed and is familiar with the terms of the Note Purchase Agreement
and has made, or has caused to be made under his supervision, a detailed review of the transactions
and condition (financial or otherwise) of the Borrower and its consolidated Subsidiaries during the
accounting period covered by the attached financial statements.

     3. A review of the activities of the Credit Parties during such fiscal period has been made
under the supervision of the undersigned Responsible Officer and, to the best of such Responsible
Officer’s knowledge, each of the Credit Parties during such period observed or performed in all
material respects all of its covenants and other agreements, and satisfied in all material respects
every condition, contained in the Note Purchase Agreement to be observed, performed or satisfied by
it, and such Responsible Officer has obtained no knowledge of any Default or Event of Default
except as specified below:

 

 

     4. The financial covenant analyses and information set forth on Schedule 2 attached
hereto are true and accurate on and as of the date of this Certificate and indicate compliance with
Section 5.9 of the Note Purchase Agreement as of the last day of the reporting period ended
as of the above date and the financial information provided has been prepared in accordance with
GAAP applied consistently for the periods related thereto.

     IN WITNESS WHEREOF, the undersigned has executed this Officer’s Compliance Certificate as of
the date set forth above.

	 	 	 	 	 
	 	BRAVO DEVELOPMENT, INC.,

an Ohio corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

 

 

Schedule 2

to Compliance Certificate

Part I

CONSOLIDATED TOTAL LEVERAGE RATIO

As of             , 20___

Computation Date

	 	 	 	 	 

	A.
Consolidated Funded Debt outstanding as of Computation Date
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	B. Consolidated EBITDA for the four fiscal quarter period (the “Computation Period”) ending on the Computation Date:
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(1) Consolidated Net Income for the Computation Period
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(2) to the extent deducted in determining Consolidated Net Income for the Computation
Period, the sum of:
	 	 	 	 
	 
	 	 	 	 
	(i) income taxes
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(ii) Consolidated Interest Expense
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(iii) amortization, depreciation and other non-cash
charges (except to the extent that such non-cash charges
are reserved for cash charges to be taken in the future)
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(iv) extraordinary or unusual losses as determined in
accordance with GAAP, and other non-recurring or unusual
losses or charges reasonably acceptable to the
Administrative Agent
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(v) Transaction Costs1
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(vi) Pre-Opening Costs2
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(vii) any charges related to Hedging Agreements permitted
under Section 6.1(d)
	 	$	 	 
	 
	 	 	 

 

			
	1 	 	Note to exceed $7,000,000 in the aggregate for all
such charges
	 
	2 	 	Not to exceed $475,000 per new Restaurant in any
period

 

 

	 	 	 	 	 

	(viii) any non-cash charges related to option plans
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(ix) management fees paid by the Borrower pursuant to the
Management Agreements and permitted under Section 6.14
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(x) any non-cash charges related to Strategic Partner
Plan expense
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(xi) The sum of Items B(2)(i) through (x)
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(3) The sum of Items B(1) and B(2)(xi)
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(4) to the extent included in determining Consolidated Net Income for the Computation
Period, the sum of:
	 	 	 	 
	 
	 	 	 	 
	(i) interest income
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(ii) cash charges related to Strategic Partner Plan
expense
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(iii) extraordinary, non-recurring, unusual or non-cash
gains
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(iv) The sum of Items B(4)(i) through (iii)
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	(5) Consolidated EBITDA (Item B(3) minus Item B(4)(iv))
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	C. Consolidated Total Leverage Ratio as of Computation Date:
	 	 	 	 
	 
	 	 	 	 
	The ratio of Item A to Item B(5)
	 	 	: 1.00	 
	 
	 	
	 

Complete the following table for the current period and all prior periods:

	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	FQ4 2006

	 	6.45 to 1.00	 	 
	FQ1 2007

	 	6.45 to 1.00	 	 
	FQ2 2007

	 	6.15 to 1.00	 	 
	FQ3 2007

	 	6.15 to 1.00	 	 
	FQ4 2007

	 	6.15 to 1.00	 	 
	FQ1 2008

	 	5.45 to 1.00	 	 
	FQ2 2008

	 	5.45 to 1.00	 	 
	FQ3 2008

	 	5.45 to 1.00	 	 

 

 

	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	FQ4 2008

	 	5.45 to 1.00	 	 
	FQ1 2009

	 	4.75 to 1.00	 	 
	FQ2 2009

	 	4.75 to 1.00	 	 
	FQ3 2009

	 	4.75 to 1.00	 	 
	FQ4 2009

	 	4.75 to 1.00	 	 
	FQ1 2010

	 	4.10 to 1.00	 	 
	FQ2 2010

	 	4.10 to 1.00	 	 
	FQ3 2010

	 	4.10 to 1.00	 	 
	FQ4 2010

	 	4.10 to 1.00	 	 
	FQ1 2011

	 	3.90 to 1.00	 	 
	FQ2 2011

	 	3.90 to 1.00	 	 
	FQ3 2011

	 	3.90 to 1.00	 	 
	FQ4 2011

	 	3.90 to 1.00	 	 
	FQ1 2012

	 	3.90 to 1.00	 	 
	FQ2 2012

	 	3.90 to 1.00	 	 
	FQ3 2012

	 	3.90 to 1.00	 	 
	FQ4 2012

	 	3.90 to 1.00	 	 

 

 

Maximum Permitted:

	 	 	 	 	 
	Each Fiscal Quarter Ending 	 	Maximum Ratio	 
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	6.45 to 1.00	 
	April 1, 2007 through. December 31, 2007
	 	 	6.15 to 1.00	 
	January 1, 2008 through December 31, 2008
	 	 	5.45 to 1.00	 
	January 1, 2009 through December 31, 2009
	 	 	4.75 to 1.00	 
	January 1, 2010 through December 31, 2010
	 	 	4.10 to 1.00	 
	January 1, 2010 and thereafter
	 	 	3.90 to 1.00	 

 

 

Part II

CONSOLIDATED SENIOR LEVERAGE RATIO

As of                     , 20___

Computation Date

	 	 	 	 	 

	A. Consolidated Funded Debt outstanding as of Computation Date (the amount set forth in Item A of
Part I of Compliance Certificate)
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	B. Subordinated Indebtedness outstanding as of Computation Date
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	C. principal amount of Notes outstanding as of Computation Date
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	D. Consolidated EBITDA for the Computation Period (the amount set forth in Item B(5) of Part I of
Compliance Certificate
	 	$	 	 
	 
	 	 	 
	 
	 	 	 	 
	E. Consolidated Senior Leverage Ratio as of Computation Date:
	 	 	 	 
	 
	 	 	 	 
	The ratio of (i) Item A minus Item B minus Item C to (ii) Item D 
	 	 	                    : 1.00 

Complete the following table for the current period and all prior periods:

	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	FQ4 2006	 	4.80 to 1.00	 	 
	FQ1 2007
	 	4.80 to 1.00	 	 
	FQ2 2007
	 	4.60 to 1.00	 	 
	FQ3 2007
	 	4.60 to 1.00	 	 
	FQ4 2007
	 	4.60 to 1.00	 	 
	FQ1 2008
	 	4.10 to 1.00	 	 
	FQ2 2008
	 	4.10 to 1.00	 	 
	FQ3 2008
	 	4.10 to 1.00	 	 
	FQ4 2008
	 	4.10 to 1.00	 	 
	FQ1 2009
	 	3.60 to 1.00	 	 
	FQ2 2009
	 	3.60 to 1.00	 	 
	FQ3 2009
	 	3.60 to 1.00	 	 
	FQ4 2009
	 	3.60 to 1.00	 	 
	FQ1 2010
	 	3.05 to 1.00	 	 
	FQ2 2010
	 	3.05 to 1.00	 	 
	FQ3 2010
	 	3.05 to 1.00	 	 
	FQ4 2010
	 	3.05 to 1.00	 	 
	FQ1 2011
	 	2.75 to 1.00	 	 
	FQ2 2011
	 	2.75 to 1.00	 	 
	FQ3 2011
	 	2.75 to 1.00	 	 
	FQ4 2011
	 	2.75 to 1.00	 	 
	FQ1 2012
	 	2.75 to 1.00	 	 
	FQ2 2012
	 	2.75 to L00	 	 
	FQ3 2012
	 	2.75 to 1.00	 	 
	FQ4 2012
	 	2.75 to 1.00	 	 

 

 

Maximum Permitted:

	 	 	 	 	 
	Each Fiscal Quarter Ending 	 	Maximum Ratio	 
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	4.80 to 1.00	 
	April 1, 2007 through December 31, 2007
	 	 	4.60 to 1.00	 
	January 1, 2008 through December 31, 2008
	 	 	4.10 to 1.00	 
	January 1, 2009 through December 31, 2009
	 	 	3.60 to 1.00	 
	January 1, 2010 through December 31, 2010
	 	 	3.05 to 1.00	 
	January 1, 2011 and thereafter
	 	 	2.75 to 1.00	 

 

 

Part III

CONSOLIDATED FIXED CHARGE COVERAGE RATIO

As of                            , 20                    

Computation Date

	 	 	 	 	 	 	 	 	 

	A.	 	Consolidated EBITDA for the Computation Period:	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(1	)	 	Consolidated EBITDA for the Computation Period (the amount set forth in Item B(5)
of Part I of Compliance Certificate)
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(2	)	 	Consolidated Rental Expense for the Computation Period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(3	)	 	Consolidated EBITDAR (Item A(1) plus A(2))
	 	$                    
	 
	 	 	 	 	 	 	 	 
	B.	 	Consolidated Maintenance Capital Expenditures for Computation Period	 	$                    
	 
	 	 	 	 	 	 	 	 
	C.	 	Consolidated Fixed Charges for Computation Period:	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(1	)	 	Consolidated Income Cash Taxes for such period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(2	)	 	Consolidated Cash Interest Expense for such period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(3	)	 	Consolidated Rental Expense for such period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(4	)	 	Consolidated Scheduled Debt Payments for such period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(5	)	 	Management Fees payable during such period
	 	$                    
	 
	 	 	 	 	 	 	 	 
	 

	 	 	(6	)	 	Consolidated Fixed Charges (sum of Items C(1) through C(5))
	 	$                    
	 
	 	 	 	 	 	 	 	 
	D.	 	Consolidated Fixed Charge Coverage Ratio:	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	The ratio of (i) Item A minus Item B to (ii) Item C(6)
	 	                    : 1.00

Complete the following table for the current period and all prior periods:

	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	FQ4 2006

	 	1.00 to 1.00	 	 
	FQ1 2007

	 	1.00 to 1.00	 	 
	FQ2 2007

	 	1.10 to 1.00	 	 
	FQ3 2007

	 	1.20 to 1.00	 	 

 

 

	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	FQ4 2007

	 	1.20 to 1.00	 	 
	FQ1 2008

	 	1.20 to 1.00	 	 
	FQ2 2008

	 	1.20 to 1.00	 	 
	FQ3 2008

	 	1.20 to 1.00	 	 
	FQ4 2008

	 	1.20 to 1.00	 	 
	FQ1 2009

	 	1.30 to 1.00	 	 
	FQ2 2009

	 	1.30 to 1.00	 	 
	FQ3 2009

	 	1.30 to 1.00	 	 
	FQ4 2009

	 	1.30 to 1.00	 	 
	FQ1 2010

	 	1.30 to 1.00	 	 
	FQ2 2010

	 	1.30 to 1.00	 	 
	FQ3 2010

	 	1.30 to 1.00	 	 
	FQ4 2010

	 	1.30 to 1.00	 	 
	FQ1 2011

	 	1.30 to 1.00	 	 
	FQ2 2011

	 	1.30 to 1.00	 	 
	FQ3 2011

	 	1.30 to 1.00	 	 
	FQ4 2011

	 	1.30 to 1.00	 	 
	FQ1 2012

	 	1.30 to 1.00	 	 
	FQ2 2012

	 	1.30 to 1.00	 	 
	FQ3 2012

	 	1.30 to 1.00	 	 
	FQ4 2012

	 	1.30 to 1.00	 	 

Maximum Permitted:

	 	 	 	 	 
	Each Fiscal Quarter Ending	 	Minimum Ratio	 
	Closing Date through March 31, 2007 (excluding the fiscal
quarter ending September 30, 2006)
	 	 	1.00 to 1.00	 
	April 1, 2007 through September 30, 2007
	 	 	1.10 to 1.00	 
	October 1, 2007 through December 31, 2008
	 	 	1.20 to 1.00	 
	January 1, 2009 and thereafter
	 	 	1.30 to 1.00	 

 

 

Part IV

CONSOLIDATED CAPITAL EXPENDITURES

As of                , 20       

Computation Date

	 	 	 	 	 

	A.

	 	Consolidated Capital Expenditures made during fiscal year to date:
	 	$                    
	 
	 	 	 	 
	B.

	 	Carry-forward amount from immediately preceding fiscal year (to the extent permitted to be
carried forward pursuant to Section 5.9(d) of the Credit Agreement):
	 	$                    
	 
	 	 	 	 
	C.

	 	Maximum Permitted for current fiscal year:	 	 
	 
	 	 	 	 
	 

	 	$                                                            (insert applicable amount from
chart below) plus Item B
	 	$                    

Complete the following table for the current period and all prior periods:

	 	 	 	 	 	 	 
	Fiscal Quarter ending:	 	Maximum Permitted Ratio	 	Actual Ratio
	Fiscal Year 2006

	 	$	24,200,000	 	 	 
	Fiscal Year 2007

	 	$	22,300,000	 	 	 
	Fiscal Year 2008

	 	$	22,300,000	 	 	 
	Fiscal Year 2009

	 	$	22,900,000	 	 	 
	Fiscal Year 2010

	 	$	23,500,000	 	 	 
	Fiscal Year 2011

	 	$	23,600,000	 	 	 
	Fiscal Year 2012

	 	$	23,600,000	 	 	 

	 	 	 	 	 

	D.

	 	Excess (deficient) for covenant compliance (Item C plus Item B minus Item A)
	 	$                    

	 	 	 	 	 
	Fiscal Year:	 	Amount
	Fiscal Year 2006

	 	$	24,200,000	 
	Fiscal Year 2007

	 	$	22,300,000	 
	Fiscal Year 2008

	 	$	22,300,000	 
	Fiscal Year 2009

	 	$	22,900,000	 
	Fiscal Year 2010

	 	$	23,500,000	 
	Fiscal Year 2011 and thereafter

	 	$	23,600,000	 

	E.	 	Incurrence Ratio as of the Computation Date: Consolidated Total Leverage Ratio at
Computation Date (the ratio set forth in Item C of Part I of Compliance Certificate) minus
0.125                     : 1.00

 

 

Schedule 5.10

[FORM OF]

JOINDER AGREEMENT

     THIS JOINDER AGREEMENT (this “Agreement”), dated as of                                         ,
                    , is by and between                                         , a
                                         (the “Subsidiary Guarantor”), Bravo Development,
Inc., an Ohio corporation (the “Borrower”), Bravo Development Holdings, LLC, a Delaware
limited liability company (“Holdings”), the Domestic Subsidiaries of the Borrower from time
to time parties thereto (together with Holdings, collectively the “Guarantors”), the
purchasers from time to time parties thereto, and Golub Capital Incorporated, as administrative
agent for the Purchasers (the “Administrative Agent”). Capitalized terms used herein but
not otherwise defined shall have the meanings provided in the Note Purchase Agreement.

     The Subsidiary Guarantor is an Additional Credit Party, and, consequently, the Credit Parties
are required by Section 5.10 of the Note Purchase Agreement to cause the Subsidiary
Guarantor to become a “Guarantor” thereunder.

     Accordingly, the Subsidiary Guarantor and the Borrower hereby agree as follows with the
Administrative Agent, for the benefit of the Lenders:

     1. The Subsidiary Guarantor hereby acknowledges, agrees and confirms that, by its execution of
this Agreement, the Subsidiary Guarantor will be deemed to be a party to and a “Guarantor” under
Article X of the Note Purchase Agreement and shall have all of the obligations of a
Guarantor thereunder as if it had executed the Note Purchase Agreement. The Subsidiary Guarantor
hereby ratifies, as of the date hereof, and agrees to be bound by, all of the terms; provisions and
conditions contained in the applicable Note Purchase Documents, including without limitation (a)
all of the representations and warranties set forth in Article III of the Note Purchase
Agreement and (b) all of the affirmative and negative covenants set forth in Articles V and
VI of the Note Purchase Agreement. Without limiting the generality of the foregoing terms
of this Paragraph 1, the Subsidiary Guarantor hereby guarantees, jointly and severally together
with the other Guarantors, the prompt payment of the Credit Party Obligations in accordance with
Article X of the Note Purchase Agreement.

     2. The Subsidiary Guarantor hereby acknowledges, agrees and confirms that, by its execution of
this Agreement, the Subsidiary Guarantor will be deemed to be a party to the Security Agreement,
and shall have all the rights and obligations of an “Obligor” (as such term is defined in the
Security Agreement) thereunder as if it had executed the Security Agreement. The Subsidiary
Guarantor hereby ratifies, as of the date hereof, and agrees to be bound by, all of the terms,
provisions and conditions contained in the Security Agreement. The information on the schedules to
the Security Agreement is hereby supplemented to reflection the information shown on the attached
Schedule A.

 

 

     3. The Subsidiary Guarantor hereby acknowledges, agrees and confirms that, by its execution of
this Agreement, the Subsidiary Guarantor will be deemed to be a party to the Pledge Agreement, and
shall have all the rights and obligations of an “Pledgor” (as such term is defined in the Pledge
Agreement) thereunder as if it had executed the Pledge Agreement The Subsidiary Guarantor hereby
ratifies, as of the date hereof, and agrees to be bound by, all of the terms, provisions and
conditions contained in the Pledge Agreement. The information on the schedules to the Pledge
Agreement is hereby supplemented to reflection the information shown on the attached Schedule
B.

     4. The Subsidiary Guarantor acknowledges and confirms that it has received a copy of the Note
Purchase Agreement and the schedules and exhibits thereto. The information on the schedules to the
Note Purchase Agreement is hereby supplemented to reflect the information shown on the attached
Schedule C.

     5. The Borrower confirms that the Note Purchase Agreement is, and upon the Subsidiary
Guarantor becoming a Guarantor, shall continue to be, in full force and effect. The parties hereto
confirm and agree that immediately upon the Subsidiary Guarantor becoming a Guarantor the term
“Credit Party Obligations,” as used in the Note Purchase Agreement, shall include all obligations
of the Subsidiary Guarantor under the Note Purchase Agreement and under each other Note Purchase
Document.

     6. This Agreement may be executed in two or more counterparts, each of which shall constitute
an original but all of which when taken together shall constitute one contract.

     7. This Agreement shall be governed by and construed and interpreted in accordance with the
laws of the State of New York without regard to principles of conflicts of laws that would call for
the application of the laws of any other jurisdiction.

 

 

     IN WITNESS WHEREOF, each of the Borrower and the Subsidiary Guarantor has caused this Joinder
Agreement to be duly executed .by its authorized officer, and the Administrative Agent, for the
benefit of the Purchasers, has caused the same to be accepted by its authorized officer, as of the
day and year first above written.

	 	 	 	 	 
	 	[SUBSIDIARY GUARANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	BRAVO DEVELOPMENT, INC.,

an Ohio corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 

 

 

	 	 	 	 	 

Acknowledged, accepted and agreed:

	 	 	 	 	 
	GOLUB CAPITAL INCORPORATED,

as Administrative Agent

 	 
	By:  	 	 
	 	Name:  	Gregory W. Cashman 	 
	 	Title:  	Vice President 	 

 

 

	 	 	 	 	 

SCHEDULE A

to

Joinder Agreement

Schedules to Security Agreement

SCHEDULE B

to

Joinder Agreement

Schedules to Pledge Agreement

SCHEDULE C

to

Joinder Agreement

Schedules to Note Purchase Agreement

 

 

Schedule 6.1(b)

Existing Indebtedness

	 	 	 	 	 
	Debt Arrangement	 	Balance as of June 13, 2006	 
	Mortgage Debt with the Huntington National
Bank (“Crosswoods”)
	 	$	516,260.35	 
	 
	 	 	 	 
	Mortgage Debt with the Huntington National
Bank (“Hayden/Bethel Road”)
	 	$	68,112.16	 
	 
	 	 	 	 
	Mortgage Debt with the Huntington National
Bank (“McKnight/Pittsburgh”)
	 	$	557,621.77	 
	 
	 	 	 	 
	Mortgage Debt with the Huntington National
Bank (“Indianapolis/Castleton”)
	 	$	139,683.40	 
	 
	 	 	 	 
	U.S. Small Business Administration Loan
(“Indianapolis/ Castleton”)*
	 	$	270,891.57	 

 

			
	*	 	This Indebtedness will be repaid in full, and all liens with respect thereto shall be released
pursuant to Section 5.21 of this Note Purchase Agreement.

 

 

Schedule 6.12

Existing Sale-Leaseback Transactions

None.

 

 

Schedule 9.6(c)

[FORM OF]

TRANSFER SUPPLEMENT

     Reference is hereby made to the. Note Purchase Agreement, dated as of June 26, 2006 (as
amended, restated or otherwise modified, the “Note Purchase Agreement”), Bravo Development,
Inc., an Ohio corporation (the “Borrower”), Bravo Development Holdings, LLC, a Delaware
limited liability company (“Holdings”), the Domestic Subsidiaries of the Borrower from time
to time parties thereto (together with Holdings, collectively the “Guarantors”), the
Purchasers from time to time parties thereto, and Golub Capital Incorporated, as administrative
agent for the Purchasers (the “Administrative Agent”). Unless otherwise defined herein,
terms defined in the Note Purchase Agreement and used herein shall have the meanings provided in
the Note Purchase Agreement.

                                              (the “Transferor”) and
                                         (the “Transferee”) agree as follows:

     1. For an agreed consideration, the Transferor hereby irrevocably sells and assigns to the
Transferee, and the Transferee hereby irrevocably purchases and assumes from the Transferor, as of
the Transfer Funding Date (as defined below), (a) all of the Transferor’s rights and obligations
under the Note Purchase Agreement with respect to those Notes (or portions thereof) set forth on
Schedule 1, and all instruments delivered pursuant thereto to the extent related to the
principal amount set forth on Schedule 1 attached hereto of all of such outstanding rights
and obligations of the Transferor under the respective Notes set forth on Schedule 1 and
(b) to the extent permitted to be assigned under applicable law, all claims, suits, causes of
action and any other right of the Transferor (in its capacity as a Purchaser) against any Person,
whether known or unknown, arising under or in connection with the Note Purchase Agreement, any
other documents or instruments delivered pursuant thereto or the transactions governed thereby or
in any way based on or related to any of the foregoing, including, but not limited to, contract
claims, tort claims, malpractice claims, statutory claims and all other claims at law or in equity
related to the rights and obligations sold and assigned pursuant to clause (a) above (the rights
and obligations sold and assigned pursuant to clauses (a) and (b) above being referred to herein
collectively as, the “Assigned Interest”). Such sale and assignment is without recourse to
the Transferor and, except as expressly provided in this Transfer Supplement, without
representation or warranty by the Transferor.

     2. The Transferor (a) represents and warrants that (i) it is the legal and beneficial owner of
the Assigned Interest, (ii) the Assigned Interest is free and clear of any lien, encumbrance or
other adverse. claim and (iii) it has full power and authority, and has taken all action necessary,
to execute and deliver’ this Transfer Supplement and to consummate the transactions contemplated
hereby; (b) assumes no responsibility with respect to (i) any statements, warranties or
representations made in or in connection with the Note Purchase Agreement or any other Note
Purchase Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency
or value of the Note Purchase Documents or any collateral thereunder, (iii) the financial condition
of the Borrower, any of its Subsidiaries or Affiliates or any other Person obligated in respect of
any Note Purchase Document or (iv) the

 

 

performance or observance by the Borrower, any of its Subsidiaries or Affiliates or any other
Person of any of their respective obligations under the Note Purchase Documents; and (c) attaches
any Note(s) held by it evidencing the Assigned Interest and requests that the Administrative Agent
exchange the attached Note(s) for a new Note(s) payable to the Transferee, and, if the Assigned
Interest does not constitute the entire principal amount of the Note(s) held by the Transferor (or
as reflected on the Register), then a new Note(s) payable to the Transferor for the amount so
retained by the Transferor.

     3. The Transferee (a) represents and warrants that (i) it has full power and authority, and
has taken all action necessary, to execute and deliver this Transfer Supplement and to consummate
the transactions contemplated hereby and to become a Purchaser under the Note Purchase Agreement,
(ii) from and after the Effective Date (as defined below), it shall be bound by the provisions of
the Note Purchase Documents as a Purchaser thereunder and, to the extent of the Assigned Interest,
shall have the obligations of a Purchaser thereunder and (iii) it has received a copy of the Note
Purchase Agreement, together with copies of the financial statements referred to in Section
3.1 thereof, the financial statements delivered pursuant to Section 5.1 thereof, if
any, aid such other documents and information as it has deemed appropriate to make its own credit
analysis and decision to enter into this Transfer Supplement and to purchase the Assigned Interest
on the basis of which it has made such analysis and decision independently and without reliance on
the Administrative Agent or any other Purchaser; (b) agrees that it will (i) independently and
without reliance upon the Transferor, the Administrative Agent or any other Purchaser and based on
such documents and information as it shall deem appropriate at the time, continue to make its own
credit decisions in taking or not taking action under the Note Purchase Agreement, the other Note
Purchase Documents or any other instrument or document furnished pursuant hereto or thereto and
(ii) perform in accordance with its terms all the obligations which by the terms of the Note
Purchase Documents are required to be performed by it as a Purchaser including, if it is organized
under the laws of a jurisdiction outside the United States, its obligations pursuant to Section
2.8 of the Note Purchase Agreement; and (c) appoints and authorizes the Administrative Agent to
take such action as agent on its behalf and to exercise such powers and discretion under the Note
Purchase Agreement, the other Note Purchase Documents or any other instrument or document furnished
pursuant hereto or thereto as are delegated to the Administrative Agent by the terms thereof,
together with such powers as are incidental thereto.

     4. The effective date of this Transfer Supplement shall be
                 
           ,
            (the “Effective Date”). Following the execution of this
Transfer Supplement, it will be delivered to the Administrative Agent for acceptance by it and
recording by the Administrative Agent pursuant to the Note Purchase Agreement, effective as of the
Effective Date.

     5. The funding date for this Transfer Supplement shall be
                 
           ,
            (the “Transfer Funding Date”). On the Transfer Funding
Date, any registration and processing fee shall be due and payable to the Administrative Agent
pursuant to Section 9.6 of the Note Purchase Agreement.

     6. Upon such acceptance, recording and payment of applicable registration and processing fees,
from and after the Transfer Funding Date, the Borrower shall make all payments in respect of the
Assigned Interest (including payments of principal, interest, fees and other

 

 

amounts) to the Transferee whether such amounts have accrued prior to the Transfer Funding
Date or accrue subsequent to the Transfer Funding Date. The Transferor and the Transferee shall
make all appropriate adjustments in payments by the Borrower for periods prior to the Transfer
Funding Date or, with respect to the making of this assignment, directly between themselves.

     7. From and after the Transfer Funding Date, (a) the Transferee shall be a party to the Note
Purchase Agreement and, to the extent provided in this Transfer Supplement, have the rights and
obligations of a Purchaser thereunder and under the other Note Purchase Documents and shall be
bound by the provisions thereof and (b) the Transferor shall, to the extent provided in this
Transfer Supplement, relinquish its rights and be released from its obligations under the Note
Purchase Agreement, except for accrued obligations prior to the date of this Transfer Suppleinent.

     8. This Transfer supplement shall be governed by and construed in accordance with the laws of
the State of New York.

     IN WITNESS WHEREOF, the parties hereto have caused this Transfer Supplement to be executed as
of the date first above written by their respective duly authorized officers on Schedule 1
hereto.

 

 

SCHEDULE 1

TO TRANSFER SUPPLEMENT

EFFECTIVE DATE:                     ,             

Name of Transferor:                                                            

Name of Transferee:                                                            

Transfer Funding Date of Assignment:                                                            

Assigned Interest:

	 	 	 	 	 
	 	 	Principal Amount of
	 	 	Notes Assigned 
	 	 	(including all Principal 
	 	 	Increases prior to the
	Note Assigned	 	 Effective Date)
	 
	 	$ 	 	 
	 	 	 	 	 
	 	 	 	 	 

	 	 	 	 	 	 	 

	[NAME OF ELIGIBLE TRANSFEREE]	 	[NAME OR TRANSFEROR PURCHASER]
	 
	 	 	 	 	 	 
	By

	 	 	 	By	 	 
	 

	 	 
	 	 	 	 
	 

	 	Name:
	 	 	 	Name:
	 

	 	Title:
	 	 	 	Title:
	 
	 	 	 	 	 	 
	Accepted (if required):	 	Consented to (if required):
	 
	 	 	 	 	 	 
	GOLUB CAPITAL INCORPORATED, 

as Administrative Agent	 	BRAVO DEVELOPMENT, INC.

as Borrower
	 
	 	 	 	 	 	 
	By

	 	 	 	By	 	 
	 

	 	 
	 	 	 	 
	 

	 	Name: Gregory W. Cashman
	 	 	 	Name:
	 

	 	Title: Vice President
	 	 	 	Title:exv10w4

Exhibit 10.4

FIRST AMENDMENT TO NOTE PURCHASE AGREEMENT

     THIS FIRST AMENDMENT TO NOTE PURCHASE AGREEMENT dated as of March 17, 2008 (the
“Amendment”), by and among Bravo Development, Inc., an Ohio corporation (the
“Borrower”), Bravo Development Holdings, LLC, a Delaware limited liability company
(“Holdings”), the Guarantors, the Purchasers and Golub Capital Incorporated, as
Administrative Agent for the Purchasers. All capitalized terms used herein and not otherwise
defined herein shall have the meanings given to such terms in the Note Purchase Agreement (as
defined below).

RECITALS

     WHEREAS, the Borrower, Holdings, the Guarantors, the Purchasers and the Administrative Agent
entered into that certain Note Purchase Agreement dated as June 29, 2006 (the “Note Purchase
Agreement”):

     WHEREAS, the Borrower has requested that the Purchasers amend the Note Purchase Agreement as
set forth below; and

     WHEREAS, the Purchasers are willing to amend the Note Purchase Agreement, on the terms and
subject to the conditions set forth herein.

     NOW, THEREFORE, in consideration of the premises and the mutual covenants contained herein,
and for other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

     1. Amendments.

     (a) Section 2.5(a) of the Note Purchase Agreement is hereby amended by inserting the
following to the end of such section:

     Notwithstanding anything contained herein to the contrary, the Borrower may not prepay
the Notes, in whole or in part, until the earlier to occur of (i) June 30, 2010, (ii) an
event described in clause (a) of the definition of “Change of Control”, (iii) an
acquisition or series of related acquisitions by a Credit Party of a Target if, and only
if, (A) the Administrative Agent and its Affiliates are provided with a right of first
refusal with respect to any subordinated debt or preferred equity financing that is
incurred by any Credit Party, the Target or any successor or Affiliate of the foregoing in
connection with such acquisition, (B) the Administrative Agent and its Affiliates, if they
elect not to provide all of such financing in connection with such right of first refusal,
are provided with the right to participate in any such financing in an amount at least
equal to the then outstanding principal amount of the Notes (including any Principal
Increases) and (C) if the Administrative Agent and its Affiliates elect not to provide or
participate in such financing in connection with clauses (A) and (B) of this clause (iii),
then the applicable premium set forth in the table above that is payable in connection with
any such prepayment shall be increased by 1.5% of the principal amount to be prepaid, and
(iv) an Event of Default arising as a result of a breach

 

 

of Section 5.9 hereof, if and only if, (A) the corresponding event of default arising
under the Senior Credit Agreement has been waived and the Administrative Agent notifies the
Borrower that it is not willing to waive such Event of Default on terms no less favorable
to the Borrower than those agreed to by the Senior Agent and the Senior Lenders in respect
thereof or (B) (I) the corresponding event of default arising under the Senior Credit
Agreement has not been waived, (II) the Borrower repays the entire Senior Debt then
outstanding in connection therewith and (III) the Administrative Agent notifies the
Borrower that it is not willing to waive such Event of Default on commercially reasonable
terms. If the Borrower elects to prepay the Notes pursuant to clauses (ii), (iii) or (iv)
of this paragraph, the Borrower shall prepay the Notes in full (but not in part), together
with accrued interest thereon to the date of such prepayment (including the amount of all
Principal Increases), together with the applicable premium set forth in the table above (as
increased by clause (iii)(C) in the case of a prepayment in connection with clause (iii)).

     (b) Section 5.9(d) of the Note Purchase Agreement is hereby amended and restated in
its entirety to read as follows:

     (d) Consolidated Capital Expenditures. The sum of (a) Consolidated
Capital Expenditures for any fiscal year less (b) the amount of payments of
tenant incentives actually received by the Borrower and its subsidiaries during
such fiscal year, shall be less than or equal to the amounts set forth in the table
below opposite such fiscal year; provided that the maximum amount of
Consolidated Capital Expenditures permitted in each fiscal year shall be increased
by one hundred (100%) of the unused Consolidated Capital Expenditures from the
immediately preceding fiscal year (calculated without reference to any amounts
carried forward to such preceding year from any earlier year pursuant to this
proviso); provided further, however, that to the extent
that less than seventy percent (70%) of the permitted Consolidated Capital
Expenditures for any fiscal year is utilized, the Borrower shall only be permitted
to carry forward to the following fiscal year fifty percent (50%) of such unused
Consolidated Capital Expenditures from such immediately preceding fiscal year
(calculated without reference to any amounts carried forward from prior years
pursuant to this proviso):

	 	 	 
	Fiscal Year	 	Amount
	Fiscal Year 2006
	 	$24,200,000
	Fiscal Year 2007
	 	$22,300,000
	Fiscal Year 2008
	 	$28,900,000
	Fiscal Year 2009
	 	$28,900,000
	Fiscal Year 2010
	 	$23,500,000
	Fiscal Year 2011 and thereafter
	 	$23,600,000

     Notwithstanding the foregoing, the Borrower will not (and will not permit any
of its Subsidiaries to) commit to open any new Restaurants

2

 

(including without limitation entering into any lease, purchase agreement,
construction contract or other agreement or arrangement relating to the lease,
acquisition, build-out or refurbishment of any property in connection with the
opening or anticipated opened of a new Restaurant (other than leases which are
subject to a binding written commitment)) if at such time, the Consolidated Total
Leverage Ratio as at the end of the most recently ended fiscal quarter for which
the Borrower has delivered the required financial statements pursuant to Section
5.1(b) and a compliance certificate pursuant to Section 5.2(b) exceeds the
Incurrence Ratio, or if any Default or Event of Default then exists or would result
therefrom; provided, however, that if any time the Consolidated
Total Leverage Ratio as at the end of the most recently ended fiscal quarter for
which the Borrower has delivered the required financial statements pursuant to
Section 5.1(b) and a compliance certificate pursuant to Section 5.2(b) exceeds the
Incurrence Ratio, the Borrower shall use commercially reasonable efforts to
minimize Consolidated Growth Capital Expenditures.

     Notwithstanding the above, the parties hereto acknowledge and agree that, for
purposes of all calculations made in determining compliance for any applicable
period with the financial covenants set forth in this Section 5.9 (including,
without limitation for the purposes of the definition of “Pro Forma Basis” set
forth in Section 1.1), (i) after consummation of any Permitted Acquisition, (A)
income statement items and other balance sheet items (whether positive or negative)
attributable to the Target acquired in such transaction shall be included in such
calculations to the extent relating to such applicable period, subject to
adjustments mutually acceptable to the Borrower and the Required Purchasers, and
(B) Indebtedness of a Target which is retired in connection with the Acquisition or
any Permitted Acquisition shall be excluded from such calculations and deemed to
have been retired as of the first day of such applicable period and (ii) after any
asset disposition permitted by Section 6.4(a)(vi), (A) income statement items, cash
flow statement items and other balance sheet items (whether positive or negative)
attributable to the property or assets disposed of shall be excluded in such
calculations to the extent relating to such applicable period, subject to
adjustments mutually acceptable to the Borrower and the Administrative Agent (after
consultation with the Purchasers) and (B) Indebtedness that is repaid with the
proceeds of such asset disposition shall be excluded from such calculations and
deemed to have been repaid as of the first day of such applicable period.

3

 

     (c) A new subsection (e) is hereby added to Section 5.9 of the Note Purchase
Agreement:

     (e) Consolidated EBITDA. As of the end of each fiscal quarter ending
during the following periods, Consolidated EBITDA for the four fiscal quarter
period ending on such date shall be greater than or equal to:

	 	 	 
	Period	 	Amount
	October 1, 2008 through December 31, 2008
	 	$23,850,000
	January 1, 2009 and thereafter
	 	$24,750,000

     2. Conditions Precedent. This Amendment shall be effective upon receipt by the
Administrative Agent of the following:

     (a) counterparts of this Amendment duly executed by the Borrower, the Guarantors, the
Required Purchasers and the Administrative Agent; and

     (b) satisfactory evidence that the Senior Credit Agreement shall have been (or
simultaneously with the effective date of this Amendment shall be) amended pursuant to the
form of amendment attached hereto as Exhibit A (“Amendment to Senior Credit
Agreement”), which shall include a consent by the Senior Agent and the Required Lenders
(as defined in the Senior Credit Agreement) to the transactions contemplated hereby.

     3. Miscellaneous.

     (a) The Note Purchase Agreement, and the obligations of the Credit Parties thereunder
and under the other Note Purchase Documents, are hereby ratified and confirmed and shall
remain in full force and effect according to their terms.

     (b) Each Guarantor (i) acknowledges and consents to all of the terms and conditions of
this Amendment, (ii) affirms all of its obligations under the Note Purchase Documents and
(iii) agrees that this Amendment and all documents executed in connection herewith do not
operate to reduce or discharge its obligations under the Note Purchase Agreement or the
other Note Purchase Documents.

     (c) The Borrower and each of the Guarantors hereby represent and warrant as follows:

     (i) Each Credit Party has taken all necessary action to authorize the
execution, delivery and performance of this Amendment;

     (ii) This Amendment has been duly executed and delivered by the Credit Parties
and constitutes each of the Credit Parties’ legal, valid and binding obligations,
enforceable in accordance with its terms, except as such enforceability may be
subject to (A) bankruptcy, insolvency,

4

 

reorganization, fraudulent conveyance or
transfer, moratorium or similar laws affecting creditors’ rights generally and (B)
general principles of equity (regardless of whether such enforceability is
considered in a proceeding at law or in equity);

     (iii) No consent, approval, authorization or order of, or filing, registration
or qualification with, any court or governmental authority or
third party is required in connection with the execution, delivery or
performance by any Credit Party of this Amendment; and

     (iv) None of the Credit Parties, nor, to the knowledge of any of the Credit
Parties, any Affiliate or Subsidiary of any Credit Party, nor, to the knowledge of
any of the Credit Parties, any director, officer or employee of any Credit Party or
any Subsidiary of a Credit Party, or any of their Affiliates, respectively, has
entered into any side agreement or understanding, either oral or written, with any
individual or entity, pursuant to which the director, officer, employee, Borrower,
Subsidiary or Affiliate agreed to do anything beyond the requirements of the
Amendment to Senior Credit Agreement to be executed by the Credit Parties in
accordance with Section 2(b) hereof.

     (d) The Credit Parties represent and warrant to the Purchasers that (i) the
representations and warranties of the Credit Parties set forth in Article III of the Note
Purchase Agreement and in each other Note Purchase Document are true and correct as of the
date hereof with the same effect as if made on and as of the date hereof, except to the
extent such representations and warranties expressly relate solely to an earlier date and
(ii) no event has occurred and is continuing which constitutes a Default or an Event of
Default. By its signature below, each Credit Party agrees that it shall constitute an
Event of Default if any representation or warranty made by any Credit Party in this
Amendment should be false or misleading in any material respect when made.

     (e) At such time as this Amendment shall become effective pursuant to the terms of
Paragraph 2 hereof, all references in the Note Purchase Documents to the “Note
Purchase Agreement” shall be deemed to refer to the Note Purchase Agreement as hereby
amended.

     (f) This Amendment may be executed in any number of counterparts, each of which when
so executed and delivered shall be an original, but all of which shall constitute one and
the same instrument. Delivery of an executed counterpart of this Amendment by telecopy
shall be effective as an original and shall constitute a representation that an executed
original shall be delivered.

     (g) Pursuant to Section 9.5 of the Note Purchase Agreement, all costs and expenses
incurred or sustained by the Administrative Agent in connection with this Amendment,
including the reasonable fees and disbursements of counsel

5

 

to the Administrative Agent in
connection therewith, will be for the account of the Borrowers whether or not this
Amendment is consummated.

     (h) The Credit Parties acknowledge and confirm (a) that, as of the date hereof, the
aggregate outstanding principal amount of the Notes is $27,500,000 plus all Principal
Increases prior to the date hereof and the Credit Parties’ obligations to repay such
outstanding principal amount plus any accrued and unpaid interest thereon are unconditional
and not subject to any offsets, defenses
or counterclaims, (b) that the Purchasers and the Administrative Agent have performed
fully all of their respective obligations under the Note Purchase Agreement and the other
Note Purchase Documents, and (c) by entering into this Amendment, neither the
Administrative Agent nor the Purchasers waive any term or condition of the Note Purchase
Agreement or any of the other Note Purchase Documents or any of their rights or remedies
under such Note Purchase Documents or applicable law or any of the obligations of the
Credit Parties thereunder.

     (i) The Credit Parties hereby remise, release, acquit, satisfy and forever discharge
the Purchasers, the Administrative Agent, and their respective agents, employees, officers,
directors, predecessors, attorneys and all others acting or purporting to act on behalf of
or at the direction of the Purchasers or the Administrative Agent, of and from any and all
manner of actions, causes of action, suit, debts, accounts, covenants, contracts,
controversies, agreements, variances, damages, judgments, claims and demands whatsoever, in
law or in equity, which any of such parties ever had, now has or, to the extent arising
from or in connection with any act, omission or state of facts taken or existing on or
prior to the date hereof, may have after the date hereof against the Purchasers, the
Administrative Agent, their respective agents, employees, officers, directors, attorneys
and all persons acting or purporting to act on behalf of or at the direction of the
Purchasers or the Agent (“Releasees”), for, upon or by reason of any matter, cause
or thing whatsoever arising from, in connection with or in relation to the Note Purchase
Agreement or any of the other Note Purchase Documents (including this Amendment) through
the date hereof. Without limiting the generality of the foregoing, the Credit Parties
waive and affirmatively agree not to allege or otherwise pursue any defenses, affirmative
defenses, counterclaims, claims, causes of action, setoffs or other rights they do, shall
or may have as of the date hereof, including, but not limited to, the rights to contest any
conduct of the Purchasers, Administrative Agent or other Releasees on or prior to the date
hereof.

     (j) THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE
GOVERNED BY AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW
YORK.

[remainder of page intentionally left blank]

6

 

     Each of the parties hereto has caused a counterpart of this Amendment to be duly executed and
delivered as of the date first above written.

	 	 	 	 	 
	BORROWER: 	BRAVO DEVELOPMENT, INC.,

an Ohio corporation

 	 
	 	By:  	/s/ James J. O’Connor
 	 
	 	 	Name:  	James J. O’Connor 	 
	 	 	Title:  	Chief Financial Officer, Treasurer and Secretary 	 
	 
	HOLDINGS: 	BRAVO DEVELOPMENT HOLDINGS LLC,

a Delaware limited liability company

 	 
	 	By:  	/s/ Harold O. Rosser
 	 
	 	 	Name:  	Harold O. Rosser 	 
	 	 	 	 
	 
	GUARANTORS: 	BRAVO DEVELOPMENT OF KANSAS, INC.,

a Kansas corporation

 	 
	 	By:  	/s/ James J. O’Connor
 	 
	 	 	Name:  	James J. O’Connor 	 
	 	 	Title:  	Chief Financial Officer, Treasurer and Secretary 	 
	 
	 	BRIO TUSCAN GRILLE OF WOODLANDS, INC.,

a Texas corporation

 	 
	 	By:  	/s/ Laura Tappen
 	 
	 	 	Name:  	Laura Tappen 	 
	 	 	Title:  	President 	 
	 

BRAVO DEVELOPMENT, INC.

FIRST AMENDMENT TO NOTE PURCHASE AGREEMENT

 

 

	 	 	 	 	 
	PURCHASERS: 	GOLUB CAPITAL PARTNERS FUNDING 2007-1

 	 
	 	By:  	 Golub Capital Incorporated, as Servicer
 	 
	 	 	 
	 	By:  	
/s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Chief Investment Officer 	 
	 
	 	GOLUB INTERNATIONAL LOAN LTD. I

 	 
	 	By:  	 GOLUB CAPITAL INTERNATIONAL MANAGEMENT LLC, as Collateral Manger
 	 
	 	 	 
	 	By:  	                      /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Secretary 	 
	 
	 	GOLUB CAPITAL LOAN TRUST 2005-1

 	 
	 	By:  	 Golub Capital Incorporated, as Servicer
 	 
	 	 	 
	 	By:  	                      /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Chief Investment Officer 	 
	 
	 	LEG PARTNERS DEBENTURE SBIC, L.P.

 	 
	 	By:  	Golub Debenture GP, LLC,
 	 
	 	 	its General Partner 	 
	 	 	 
	 	By:  	                      /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 
	 	LEG PARTNERS III SBIC, L.P.

 	 
	 	By:  	 Golub PS-GP, LLC,
 	 
	 	 	its General Partner 	 
	 	 	 
	 	By:  	                      /s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 

BRAVO DEVELOPMENT, INC.

FIRST AMENDMENT TO NOTE PURCHASE AGREEMENT

 

 

	 	 	 	 	 
	ADMINISTRATIVE AGENT: 	GOLUB CAPITAL INCORPORATED,

as Administrative Agent

 	 
	 	By:  	/s/ Gregory W. Cashman
 	 
	 	 	Name:  	Gregory W. Cashman 	 
	 	 	Title:  	Vice President 	 
	 

BRAVO DEVELOPMENT, INC.

FIRST AMENDMENT TO NOTE PURCHASE AGREEMENT

 

 

Exhibit A

Amendment to Senior Credit Agreement

[attached hereto.]

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